SPECIFICATIONS FOR PAINTING OF WATER TOWER

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP86-00800R000200150001-0
• Release Decision: RIPPUB
• Original Classification: K
• Document Page Count: 75
• Document Creation Date: December 16, 2016
• Document Release Date: June 16, 2005
• Sequence Number: 1
• Publication Date: March 14, 1978
• Content Type: REQ

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STAT
SPECIFICATIONS
FOR
PAINTING OF
WATER TOWER
STAT ` SPECIFICATIONS NO:
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II'NST'RUCTEONS O BEI? all's
(coi n.rt?cte" CG?:3tt'a .t,
l c Ja
1. EXPLANATION TO BIDDERS .. .... ............... . .................... 2. CONDITIONS AFFECTING THE WORK ....... ? ... .....
3. F,IDDFR'S C,IJALIF I C A -1110 N,S ... ... . .. .... .
4. BID GUARANTEE .. ... .. .. . .. .. . .. . .
5. V% ARAT ION OF 1314)S .. ...... ... ... .. . . .... ............ .........
6. SUBMISSION OF BIDS ... ...... .. ..
7. LATE RIDS, MODIFICATIONS OF B I D S OR WITHDRAWAL OF BIDS (April 1977 - - - - - . i
8. RFSF:RVEI) .............................................
9.
10.
11.
12.
13.
14.
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PUBLIC OPENING OF BIDS ... ... ........ ... .. .
AWARD OF CON TI RACY . ........ . .. ... ... ... . ..... .
CONTRACT AND BONDS ... . . . . . . .. .. .. .. . .... . .. . .
RID SUP`a1ISSTON ....... . . . .. ........ 2
BID G '? ARANTY .. ... . ....... ... . ....... .. ... .. .... .. ...... . 2
CONTRACT AND BONDS .. . ..... ... . .. . .
AFFIRMATIVE ACTION R' QUIREn1F,NT .. ...... . .. . .. ...... ? .. _ . 2
CER +IFICA T ION OF NONSEGREGATED FACILITIES .... ........... .... .. .:.. 2
LISTING OF EMPLOYMENT OPENINGS .. . . . ........ ... ........ _ . ... ... 3
COST LIMITATIONS . .... . .................. .. ........... . ... 3
REQUIREMENT FOR FULL, ACCURATE, AND COMPLETE INFORMATION ........... _ . 3
BIDS-ACCEP'T'ANCE PERIOD (1960 APR.) .. .. ....... . ..... ...... ... .. . 3
ADDITIVE OR DE')TX'TIVE ITEMS (1968 APR) .. ........ ... . .......... .... .
SPECIAL PROVISIONS-SF 19 ....... . ... . . . ....... ....... .........
MODIFICATIONS PPIOR TO DATE SET FOR OPj7N`NG BIDS ... ..... . . .
24. PA''.FNT COMPr"-.NY . .. ... . . . ...... .......... .. .
. . . . .. . .. .
26. r `"RTIFr .ATI(1N .tND I'?"`?.T'I'.'~ C'vT P; IC1. DI:TFrMINATION
27. C2NT1N FNT FF?. . ... ... .... , .. . . .. .
28. NO''!CF REGARTM ti;G BUY AMERICAN ACT 6 '0 SEP)
2 R.!'`^:PT F AAA A':rl*TF.':r
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NOTICE :
Bids to be opened at
2:00 pm, EDST,
The Contractor shall follow the provisions. set forth. in the specifications and
all applicable regulations and orders of Business and Defense Services Admin-
istration in obtaining controlled materials and other products and materials
needed to perform this contract.
All questions- concerning the bidding or any other phase of the plans and
qnPrjfj=ions occurring for to bid opening shall be presented. to the
es ions
requiring interpretations of drawings. and must be submitted at.
least 7 days before bid opening. Interpretations or modifications to specifi-
,cations made as a result of questions will be made by' addendum only, and unless
so done, all bidders should base their bids on the plans and specifications as
issued.
To inspect the site of the work before bid opening
prior appointment must be
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INDEX ,
Section 1A - Bidding Information
Section 2A - Instructions to Bidders,
Construction Contract
Page
Ci)
Section 3A - General Provisions (Construction Contract) (iii)
Alterations to General Provisions. (Pages 1-5)
Labor Standards Provisions (Construction Contract)
Alterations to Labor Standard Provisions (Page l-3)
Section 4A - Special Paragraphs (iv)
Division 1 - Detail Requirements
Section 1 - Materials and Field Work (v)
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Section 1A
Table of Contents
Page
1. General Intention....... .................. .............. 1
2. General Description ......................................... 1
3. Location........... ............. ...........:................ 1
6. Notice of Total Small Business Set-Aside (1972 Jul)........ 1
4.. Commencement, Prosecution, and Completion of Work.......... 1
5. Sketch Accompanying Specification....... .... ........... 1
10. Specifications and Standards.. ............................. 2
11. Factory Inspection.................................... 3
12. Samples...... . .............. ........ ............... 3
13. Special Requirements............ ........................ 3
114. Personnel Requirements... ............ .............. 3
15. Security Requirements........... ...................... ...... 4
16. Minimum Wage Rates and Other Labor Standards................. 4
17. Definitions.... ........ ....... ......................... 4
18. Protection and Repairs................................... 4
19. Operation of Station Utilities ................ ... ... 4
9. Mandatory Insurance Coverage... .. ...... ................ 2
Definition of Small Business .. ...................... ... 2
8. Liquidated Damages ................. .:... ................ 2
20.
2.1.
22.
23.
24.
25.
26.
27.
Storm Protection. ......... .................. .. 5
.Disposal or Work Removed... ................: .............
Methods and Schedules of.Procedure:.....,................. S
Work Outside Regular Hours...................... ............. 5
Safety Requirements ............... . ............ 5
Examination of Premises.................................... 6
Payrolls and Affidavits......:........ ....................... 6
Payroll............. ................................... 6
Contractors Weekly Statement of Compliance................
Subcontractors and Personnel.`.........................
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SECTION 1A
Bidding Information
STAT
GENERAL INTENTION
It is the declared and acknowledged intention and meaning to provide and
secure painting of water tower, complete and ready for use.
2. GENERAL DESCRIPTION
The work includes the exterior painting of a 150,000 gallon elevated
water tower, including tank, columns, risers, rods and turnbuckles,
railings, ladders, balcony, valve pit cover, and incidental related work.
The work shall be complete. It includes all contractor's labor, materials,
equipment, tools, supplies and services, and performing all operations
necessary for or incidental.. to a complete project in conformity with the
attached sketch and these specifications.
LOCATION
4. COMMENCEMENT, PROSECUTION, AND COMPLETION OF NJUKK
The contractor will be required to commence work under this contract within
20 calendar days after the date of receipt by him of notice to proceed, to
prosecute said work diligently, and to complete the entire work ready for
use within 60 calendar days after date of receipt of a notice of award or
any other communication authorizing the.contractor to.proceed. The time
stated for completion shall include final clean up of the premises.
5. SKETCH ACCOMPANYING SPECIFICATION
STAT Sketch No. M-37a accompanies these specifications and is a part thereof..
The sketch is the property of the Government and shall not be used for any
purpose other than that contemplated. by the specifications.
6. NOTICE OF TOTAL SMALL BUSINESS SET-ASIDE (1972 Jul)
(a) RESTRICTION. Offers under this procurement are solicited from small
business concerns only and this procurement is to be awarded only to one or
more small business concerns. This action is based on a determination by
the Contracting Officer, alone or in conjunction with a representative of the
Small Business Administration that it is in the interest of maintaining. or
-mobilizing the Nation's full productive capacity, in:..the interest of war or
national defense programs, or in the interest of assuring that a fair pro-
portion of Government procurement is placed with small business concerns.
Offers:::, received from firms which are not small business concerns shall
be considered nonresponsive and shall be rejected.
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(b) DEFINITION. A "Small Business Concern" is a concern., including its
affiliates, which is independently owned and operated, is not dominant in
the field of operation in which it is offering on Government contracts, and
can further qualify under the criteria set forth in regulations of the
Small Business Administration (Code of Federal Regulations, Title 13,
Section 121.3-8). In addition to meeting these criteria, a manufacturer
or a regular dealer submitting offers in his own name must agree to furnish
in the performance of the contract end items manufactured or produced by
small business concerns: PROVIDED, that this additional requirement does
not apply in connection with construction or service contracts.
7. DEFINITION OF SMALL BUSINESS'
For procurement, a small business concern is a concern that is certified as
a small business concern by the Small Business Administration, and as a
Special Trade Contractor, the annual receipts of the concern and its affil
ates for the preceding three fiscal years must not exceed $5,000,000.
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STAT
LIQUIDATED DAMAGES
In case of failure on the part of the contractor to complete the work within
.the time fixed in the contract or any extensions thereof, the contractorshall
pay to the Government as liquidated damages pursuant to Clause 5 of Standard.
Form 25-A the sum of $10.00 for each day of delay. The Government will take
no action pursuant to Clause 5 to terminate the right of the Contractor to
proceed or to assess liquidated or.' actual damage where the failures of the
contractor to complete the work within the time specified elsewhere in this
contract is due solely to the operation of the priorities and allocations
system. and is not otherwise caused by the fault or negligence of the contrac-
tor. Such delays will be excusable within the meaning of Clause S and the
Contractor will be entitled to a time extension by reason thereof.
MANDATORY
INSURANCE COVERAGE
. Within 15 days after the award of this
furnish to the
I I a certificate of insurance as evidence of the existance of
coverage in amounts not I
tions to General Provision" page 4.
worded as follows: "The insurance company waives any right of subrogation
The comprehensive and automobile liability policies shall contain a provision
against the United States of American which may arise by reason of any pay-
STAT
STAT
ment under the policy." The certificate of all policies shall provide for
notice of cancellation to th
The specifications and standards referenced in this specification (including
addenda, amendments, and errata listed) shall govern in all cases where
references thereto are made. In cases of difference between the referenced
10. SPECIFICATIONS AND STANDARDS
provision: has been included.
d the certificates-shall indicate that the above
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contract, the successful bidder shall
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-specifications or standards and this specification or its accompanying
drawings, this specification and its accompanying drawings shall govern
to the extent of such difference; otherwise, the referenced specifications
and standards shall apply. The requirements for packaging, marking, and
preparation for shipment or delivery included in the referenced specifi-
cations shall apply only to materials and equipment that are furnished
directly to the Government and not to materials and equipment that are
to be furnished and installed by the. contractor. Unless specified other-
wise in this specification, the requirements included in referenced
specifications are modified as follows:
Radio-interference suppression: Not required.
Fungus Control: Not required.
Identification or name plant: Manufacturer's standard acceptable.
Technical publications:. In lieu of tests performed on a production
test model, such test, if required at the manufacturer's plant, shall be
performed onthe equipment being furnished under this specification.
Factory inspection of material and equipment for which tests at the place
of manufacture are required by referenced standards will be waived, pro-
vided notorized copies of factory tests reports are furnished which show
compliance with the specification requirements.
12. SAMPLES
The contractor shall submit, for approval, samples of the following and
of such other materials and equipment as may be required whether mentioned
specifically herein or not:
Paint
STAT
STAT,
13. SPECIAL REQUIREMENTS
(a) The contractor shall abide by.all security requirements of the Activity.
(b) Once work has begun, it shall proceed uninterrupted tocompletion unless
halted by the Public Works Officer or his designated representative. _ STAT
least 7 days in advance of planned operations.
:. (c) The contractor shall notify the
14. PERSONNEL REQUIRE NS
The contractor and all personnel employed by him shall be fully qualified
and experienced in their particular field of work. Full name, date, place
of birth-.and current address of each employee shall, be supplied to the
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15. SECURITY REQUIREMENTS
No employee or representative of the contractor will be admitted to, the. site
unless he furnishes satisfactory proof that he is a citizen of the United
States . This Activity operates. under strict security regulations and d-all
persons admitted to the Activity must be accompanied by an official escort,
designated by the Activity's Security Officer, at all times. The Security
Officer may authorize issuance of badges to selected responsible employees
of the Contractor, which will permit the person issued the badge to act as
escort for other contractor personnel.
16. MINIMUM WAGE RATES AND OTHER LABOR STANDARDS
The provisions of this paragraph do not apply when the contract amount is
$2,000 or less. The contractor shall pay mechanics and laborers employed
or working directly upon the site of the work wage rates not less than
those contained in the wage determination decision of the Secretary of
Labor, No.Vgrn-3o9i which is attached hereto or any sub smut chanps 4 ?
17. DEFINITIONS
There "as shown," "as indicated," "as detailed," or words of similar import
are used, it shall be understood that reference is made to the drawings
accompanying this specification unless stated otherwise. Where "as directed,"
"as required," "as permitted,-r "approved," "acceptance," or words of similar
import are used, it shall be understood that the direction, requirement,
permission, approval, or acceptance of the Public Works Officer is intended
unless stated otherwise. As used in this specification "provide" shall be
understood to mean "provide complete in place," that is, "furnish and
install."
18. PROTECTION AND REPAIRS
The contractor shall comply with the fire prevention requirements, security
rules and regulations of the Activity, and shall provide approved means
necessary for the protection of all Government and private property, including
contents of buildings affected directly or indirectly by his operations. All
`damage to. Government or private property, resulting directly or indirectly
from the contractor's operations shall be made good by him without expense
to the Government. The contractor shall protect the materials and work from
deterioration and damage during construction and shall store and secure
inflammable material.from fire, remove oil rags, waste and refuse from
.building each night and during cold weather furnish all heat necessary for
the proper conduct of work. He shall provide and maintain all temporary
walkways, roadways, trench covers, barricades, colored lights, danger signals,
and other devices necessary to provide for safety and traffic.
19. OPERATION OF STATION UTILITIES
The contractor shall not operate nor disturb the setting of any control
devices in the station utilities systems, including water,, sewer, electrical
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all openings, removing all loose materials, tools and/or equipment from'
exposed locations, and removing or securing scaffolding and other temporary
work.
shall take every practicable precaution'to jam.'m ze danger to pe sgns, tc
the work, and to adjacent property. These.. precautions shall include cling
and steam services:' The. Gove:?rnment w:i ..l operate the contra. device*,
as required for normal. conduct of work-. The*contracto' shad note
the Public Works Officer giving reasonable advance nQtite when such.
operation is required.
20. STORM PROTECTION
Should warnings of winds of gale force or .stronger:Tae issued, the contractQr
21. DISPOSAL OF WORK REMOVED
Except where specifically designated as being retained by the Government,
or to be reinstalled in the new construction, all materials, fixed equipment
and/or debris resulting. from demolition and removal operations shall become
the property of the contractor and be removed from. the limits of the Govern-
ment reservation at such times during the progress of the work as directed.
22.' METHODS. AND. SCHEDULES OF PROCEDURE
The work shall be executed in a manner and at such times that will cause the
least practicable disturbance to the occupants of the buildings and, the normal
activities of the station. Before starting any work, the sequence of operations
and the methods of conducting the work shall have been approved.
23. WORK OUTSIDE REGULAR HOURS
Normal working hours at this Activity are 0800 to 1630 hours Monday through
Friday. If 'the contractor desires to carry on work outside of regular hours
or on Saturdays, Sundays, or Holidays, he shall submit application to the
.Public Works Officer, but shall allow ample time to enable satisfactory
arrangements to be made by the Government for inspecting the work, in progress.
At night,. he shall light the different parts of the work in an approved manner.
to Contractor for Preparation of Supervisor's Report of Accidents," the
"Instructions" and the required.forms will be furnished by the Officer in Charge.
The contractor shall comply with the Department of the Army, Corps of Engineers,
"General Safety Requirements," revised March 1958. The contractor and his
subcontractors shall maintain an accurate record of, and shall report to the
Officer in Charge, exposure data and all accidents resulting in death, trau-
matic. injury, occupational disease, or damage to property, materials,. supplies,
and equipment incident to work performed under this contract- The report shall
be submitted on Standard Form 92 and shall be in accordance with "Instructions
24. SAFETY REQUIREMENTS
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. 25. EXAMINATION OF PREMISES
i.s;reasonably obtainable.
26. PAYROLLS AND AFFIDAVITS
`Before submitting proposals, bidders are expected to visit and inspect
the, site of work and satisfy themselves as to the physical conditions at
tle'site, the general and local conditions, including availability of labor,
the nature and extent of the work, the character and effect of existing
adjoining and/or adjacent work, and other factors that can affect the cost
o-f,the performance of the contract to the extent that such information .
precedent to payment for any amounts due under the contract.
Weekly Payroll Statement, covering the payroll to the Officer in Charge of
Construction within seven (7) days after the regular payment date of the pay
roll, period. The receipt of these payrolls and statements is made a condition
tv"submit a copy of each weekly payroll together with Contractors - 25,
The prime contractor, subcontractor, and sub-subcontractors will be required
acurately and completely for each employee, his name, classification, social
security number, rate of pay, daily and weekly hours worked, wages earned, all
deductions from such wages and the actual weekly wages paid. Contractors
are required to. submit employee's address with the payroll on which the
employee'.s name first appears.
=Tie payroll shall be identified by the name of the contractor, contract
number, and the location of the, site of the work. Payrolls shall state
27. PAYROLL
amount of the deductions.
28. CONTRACTORS WEEKLY STATEMENT OF COMPLIANCE
Contractors weekly statement of compliance shall be executed on the form.
furnished for the purpose by the Officer in Charge. Contractors shall list
by title or name, all deductions made, omitting from the listing the dollar
Promptly after the award of the contract, the contractor shall submit to
of .the contractor and subcontractors together with their home
'`work each is to.perform. On this form shall appear the names of the key
the. Officer in Charge, in triplicate, a list of his subcontractors and the
time to time as changes occur and additional information becomes available,
the contractor shall amplify, correct, and change the information contained
addresses and telephone numbers for use in the event of any emergency. From
in=previous lists.
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 %
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INSTRUCTIONS TO BIDDERS
(Construction Contract)
(Instructions 1 through It are those prescribed by the General Services Administration in Standard Form 22, October
1969 Edition, as amended pursuant to the latest revisions of the Armed Services Procurement Regulation.)
1. EXPLANATIONS TO BIDDERS
Any explanation desired by a bidder regarding the meaning
or interpretation of the invitation for bids, drawings, specifications,
etc., must be requested in writing and with sufficient time allowed
for a reply to reach bidders before the submission of their bids. Any
interpretation made will be in the form of an amendment or the
invitation for bids, drawings, specifications, etc., and will be
furnished to alt prospective bidders; Its receipt by the bidder must
be acknowledged in the space provided on the Bid Form (Standard
Form 21) or by letter or telegram received before the time set for
opening of bids. Oral explanations or instructions given before the
award of the contract will not be binding.
2. CONDITIONS AFFECTING THE WORK
Bidders should visit the site and take such other steps as may
be reasonably necessary to ascertain the nature and location of the
work, and the general and local conditions which can affect the
work or the cost thereof. Failure to do so will not relieve bidders
from responsibility for estimating property the difficulty or cost of
successfully performing the work. The Government will assume no
responsibility for any understanding or representations concerning
conditions made by any of its officers or agents prior to the
execution of the contract, unless included in the invitation for bids,
the specifications, or related documents.
3. BIDDER'S QUALIFICATIONS
Before a bid is considered for award, the bidder may be
requested by the Government to submit a statement regarding his
previous experience in performing comparable work, his business
and technical organization, financial resources, and plant available
to be used in performing the work.
Where a bid guarantee is required by the invitation for bids,
failure to furnish a bid guarantee, in the proper form and amount, by
the time set for opening of bids, may be cause for rejection of the
bid.
A bid guarantee shall be in the form of a firm commitment,
such as a bid bond, postal money order, certified check, cashier's
check, irrevocable letter of credit or in accordance with Treasury
Department regulations, certain bonds or notes of thg United States.
Bid guarantees, other than bid bonds, will be returned (a) to
unsuccessful bidders as soon as practicable after the opening of bids,
and (b) to the successful bidder upon execution of such further
contractual documents and bonds as may be required by the bids as
accepted.
If the successful bidder, upon acceptance of his bid by the
Government within the period specified therein for acceptance
(sixty days if no period is specified) fails to execute such further
.contractual documents, if any, and give such bond(s) as may be
required by the terms of the bid as accepted within the time
specified (ten days if no period is specified) after receipt of the
forms by him, his contract may be terminated for default. In such
event he shall be liable for any cost of procuring the work which
exceeds the amount of his bid,. and the bid guarantee shall be
available toward offsetting such difference.
5. PREPARATION OF BIDS
(a) Bids shalt be submitted on the forms ?urn-ished, or
copies thereof, and must be manually signed. If erasures or other
changes appear on the forms, each erasure or change must be
initialed by the person signing the bid. Unless specifically authorized
in the invitation for bids, telegraphic bids will not be considered.
(b) The bid form may provide for submission of a price or
prices for one or more items, which may be Jump sum bids,
alternate prices, scheduled items resulting ire a bid on a unit of
construction or a combination thereof, etc. Where the bid form
explicitly requires that the bidder bid on all items, failure to do so
will disqualify the bid. When submission of a price an all items is
not required, bidders should insert the words "no bid" in the space
provided for any item on which no price is submitted.
(c) Unless called for, alternate bids will not be considered.
(d) Modifications of bids already submitted wilt be con-
sidered if received at the office designated in the invitation for bids
by the time set for opening of bids. Telegraphic modifications wilt
be considered, but should not reveal the amount of the original. or
revised bid.
6. SUBMISSION OF BIDS
Bids must be sealed, marked, and addressed as directed in the,
invitation for bids, Failure to do so may result in a premature
opening of, or a failure to open, such bid.
7. . LATE BIDS, MODIFICATIONS OF BIDS OR WITH
DRAWAL OF BIDS (1974 SEP)
(a) Any bid received at the office designated in the
solicitation after the exact time specified for receipt will not be
considered unless it is received before award is made and either.
(i) It was sent by registered or certified mail not
later than the fifth calendar day prior to the date specified for the
receipt of bids (e.g., a bid submitted in response to a solicitation
requiring receipt of bids by the 20th of the month must have been
mailed by the 15th or earlier); or,
(ii) it was sent by mail (or telegram if authorized)
and it is determined by the Government that the late receipt was
due solely to mishandling by the Government after receipt at the
Government installation.
(b) Any modification or withdrawal of bid is subject to
the same conditions as in (a) above except that withdrawal of bids
by telegram is authorized. A bid may also be withdrawn in person
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 Instructions to Bidders- April. 1977 j
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by a bidder or his authorized representative, provided his identity is
made known and he signs a receipt for the bid, but only if the
withdrawal is made prior to the exact time set for receipt of bids.
(c) The only acceptable evidence to establish:
(i) the date of mailing of a late bid, modification
or withdrawal sent either by registered or certified mail is the U.S.
Postal Service Postmark on the wrapper or on the original receipt
from the U.S. Postal Service. If neither postmark shows a legible
date, the bid, modification or withdrawal shall be deemed to have
been mailed late. (The term "postmark" means a printed, stamped,
or otherwise placed impression that is readily identifiable without
further action as having been supplied and affixed on the date of
mailing by employees of the U.S. Postal Service.)
(ii) the time of receipt at the Government installa-
tion is the time/date stamp of such installation on the bid wrapper
or other documentary evidence of receipt maintained by the
installation.
(d) Notwithstanding .the above, a late modification of an.
otherwise successful bid which makes its terms more favorable to
the Government h conside ed at any time it is received and
maybe accepted. N: The teen "Telegram''
a. Ru SeERVEDlgrams.
9. PUBLIC OPENING OF BIDS
Bids will be publicly opened at the time set for opening in
the invitation for bids. Their content will be made public for the
information of bidders and others interested, who may be present
either in person or by representative.
10. AWARD OF CONTRACT
(a) Award of contract will be made to that responsible
bidder whose bid, conforming to the invitation for bids, is most
advantageous to the Government, price and other factors con-
sidered.
(b) The Government may, when in its interest, reject any
or all bids or waive any informality in bids received.
(c) The Government may accept any item or combination
of items of a bid, unless precluded by the invitation for bids or the
bidder includes in his bid a restrictive limitation.
11. CONTRACT AND BONDS
The bidder whose bid is accepted will, within the time
established in the bid, enter into a written contract with the
"Government and, if required, furnish performance and payment
bonds on Government standard forms in the amounts indicated in
the invitation for bids or the specifications.
12. BiD SUBMISSION
Bids shall be submitted only upon the items of bids stated in
the specifications; bids upon other bases will not be considered
unless specifically requested by the Government. Bids that do not
reference all amendments or that are not submitted on the
prescribed forms may be considered nonconforming. The Officer
whose duty it is to open thebids will decide when the specified time
has arrived, and no bids for modification or withdrawal of bit) will
be considered if received by the Navy after the reading, of the bids
has begun except as provided in the "Late Bids and Modifications or
Withdrawals' provisions of this invitation. Discrepancies, arobigu-
ities, errors, or omissions to the bidding data should be rerted
promptly to the office front which the data were obtained. -
13. BID GUARANTY
(Applicable only to bids of 52,000 or more.) To assrre the
execution of the contract and the performance and payment 'bonds,
each bidder shall submit with its bid a guaranty bond (St"idard
Form 24) executed by a surety company holding a certificate of
authority from the Secretary of the Treasury as an acceptable
surety, or other security as provided in paragraph 4 of Instrtions
to Bidders. Security shall be in the sum of 20 percent of the 16arg '..
amount for which award can be made under the bid submitted, hstr
in no case to exceed $3,000,000. The bid guaranty bond .s, Il be
accompanied by a verifax or other facsimile copy of the 2 gent's
authority to sign bonds for the surety company.
14. CONTRACT AND BONDS
(Applicable only to bids of $2,000 at more.) Within: 10 days
after the prescribed forms are presented to him for st ature, the
bidder to whom award is made shall enter. into a writtencont=ct on
the form prescribed by the specification and shall urniaa two
bonds, each with satisfactory security; namely, a performance bond
(Standard. Form 25) and a payment bond (Standard Form 25A).
The performance bond shall be in a penal sum equal to 100 percent
of the contract price. The payment bond shall be equal to 50
percent of the contract price, except that it shall be 40 pcrccnt of
the contract price if that price is more than $1,000,000 and not
more than $5,000,000, and in the fixed sum of $2,50U'j l if the
contract price is more than $5,000,000. The bond of any surety
company holding a certificate of authority from the.Becrery of
the Treasury as an acceptable surety on Federal boatc!s twill be
accepted. Individual sureties will be accepted if each;- such :surety
deposits with the Contracting Officer cash, bonds, or. tesinf the
United States, or certified check drawn to the order oft a Treasurer.
of the United States, or such other security as the contacting
Officer may deem necessary for the required ?antsont eaf the
guaranty, under the agreement that the collateral so deposit shall
remain in the possession and control of the Treasurer of. the United
States for at least one year after the completion of the oontrae:3. The
contract time for purposes of fixing the completion date, default,
and liquidated damages shall begin to run 15 days frorn:the. !mailing
of acceptance, regardless of when the formal contract and buns are
executed.
15.
NOTE THE AFFIRMATIVE ACTION REQUIRE
MENT OF THE EQUAL OPPORTUNITY CI .USE
WHICH MAY APPLY TO THE CONTRACT RE-
SULTING FROM THIS SOLICITATION
16.
NOTE THE CERTIFICATION OF NON
GATED FACILITIES IN THIS SOLICITATION
GRE-
Bidders, offerors and applicants are cautioned to ewe the
"Certification. of Nonsegregated Facilities" in the sofic Lion.
Failure of a bidder or offeror to agree to the certification xiMirander
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his bid or offer nonresponsive to the terms of solicitations involvi g
awards of contracts exceeding 313,000 which are not ox;-:m!' from
the. provisions of the )equal Opportunity clause. (1969 JAN)
and any combination of his additive or deductive bid for which
funds are deterrni.-ted to be avIaile le at the time of the award,
provided that award on such combination of bid items does not
exceed the amount offered by any other conforming. responsible
bidder for the same combination of bid items.
Offerors should note that this solicitation includes a prc+vi-
sion which will be included in the contract requiring the listing of
employment openings with the local office of the State employment
set vice system if the award is for $2,500 or more.
18. COST LIMITATIONS
A bid which does not contain separate bid prices for the
items iden' led as subject to a cost limitation may be considered
nonresponsive. A bidder by signing his bid certifies that each price
kid on items subject to a cost limitation include an appropriate
apportionment of all applicable estimated costs, direct and indirect,
as well as overhead and profit. Bids may be rejected which (i) have
been materially unbalanced for the purpose of bringing affected
items within cost limitations, or (i) exceed the cost limitations
unless such limitations have been waived by the Assistant Secretary
of Defense (installations and Logistics) prior to award.
19. BIDS MUST SET FORTH FULL, ACCURATE, AND
CO;_PLETE INFORMATION AS R^'QU THR D OY
THIS INVITATION FOR BIDS (I;vN CLUD +G AT-
TACrHM I aS). THE PENALTY FOR rV KiNO
FALSE STATEMENTS IN BIDS IS PRESCRI E;) IN
IS U.S.C. 1001
20. BIDS-ACCEPTANCE PERIOD (1960 APR)
Bids offering less than the period of days specified for
acceptance by the Government from the date set for opening of bids
will be considered nonresponsive and will be rejected.
21. ADDITIVE OR DEDUCTIVE ITEMS (1964 APra)
If this invitation includes more than one bid item, the
following clause applies.
The low bidder for purposes of award shall be the conform-
ing responsible bidder offering the low aggregate amount for the
first or base bid item, plus or minus (in the order of priority listed in
the schedule) those additive or deductive bid items providing the
most features of the work within the funds determined by the
Government to be available before bids are opened. If addition of
another bid item in the listed order of priority would make the
award exceed such funds for all bidders, it shall be skipped and the
next subsequent additive bid item in a lower amount shall be added
if award thereon can be made within such funds. For example. when
the amount available is $100,00P, and a bidder's base hid and four
successive additives are $85,010, 310,000, S8,fp0, S6,000, and
$4,000, the aggregate amount of the bid for purposes of award
would be $99,000 for the base hid phis the first and fourth
additives, the second and third additives being skipped because each
of them would cause the ag.eregate hid to exceed S100,1)00. In any
case all bids shall be evaluated on the basis of the same additive or
deductive bid items, determined as above provided. The listed order
of priority need he followed only for determining the low bidder.
After determination of the low bidder as stated, award in the best
interests of the Government may be made to him on his base bid
If the successful Chid exceeds 510,000 and the contract is to
be executed on Standard Form 19, the clauses set forth in the
current Armed Services Procurement Regulation, paragraphs
11-401.1(h) (Federal, State, and Local Taxes) and 12-804(a) (Equal
Opportunity) apply.
23. MODIFICATPONS PRIOR TO DATE SET FOR
OPENING BIDS
The right is reserved, as the interest of the Government may
require, to revise or amend the specifications or drawiru s or both
prior to the date set for opening bids. Such revisions and
amendments, if any, will be announced by. an amendment or
amendments to this Invitation for Bids. If the revisions and
amendments are of a nature which requires material changes in
quantities or prices to be bid or both, the date set for opening bids
may be postponed by such r,umbcr of days as in the opinion of the
issuing officer wil: enable bidders to revise their bids. In such cases,
the an.endmcnt will include an announcement of the new date for
opening bids.
24. PARENT COMPANY
A parent company for the purpose of this offer is a company
which either owns or controls the activities and basic business
policies of the oftcror. To own another company means the parent
company must ossn at least a m.ioriry (more Char; if) percent) of
the voting rights in that company. To control another company,
such ownership is not required; if another company is able to
formulate, determine, or veto basic business policy decisions of the
offeror, such other company is considered the parent company of
the offeror. This control may be exercised through the use of
dominating minority voting rihts, use of proxy voting. contractural
arrangements or otherwise
(Applicable only to advertised solicitation c.) The offeror shall
insert in the applicable space on the offer form, if he has no parent
company, his own I:.ruployer's Identification Number (E.1. No.)
(Federal Social Security Number used on Employer's Quarterly
federal Tax Return, U.S. lTreasury Department Form 941). or, if he
has a parent company, the Employer's Identification Number of his
parent company.
26. CERTIFICATION OF INDEPENDENT PRICE
DETERMINATION
(a) This certifica!ion on the offer form is not applicable
to a foreign offerer submitting an offer for a contract which
requires performance of delivery outside the United States, its
possessions, and Puerto Rico-
(b) An offer will not be c,..nsiderec! for award where
(a)(1), (a)(3), or (b) of the certification has been deleted or
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modified. Where (a)(2) of the certification has been deleted or
modified, the offer will not be considered for award unless the
offeror furnishes with the offer a signed statement which sets forth
in detail the circumstances of the disclosure and the head of the
agency, or his designee, determines that such disclosure was not
made for the purpose of restricting competition.
27. CONTINGENT FEE
If the offeror, by checking the appropriate box provided
therefor, has represented that he has employed or retained a
company or person (other than than a full-time bone fide employee
working solely for the offeror) to solicit or secure this contract, or
that he has paid or agreed. to pay any fee, commission, percentage,
or brokerage ' fee to any company or person contingent upon or
resulting from the award of this contract, he shall furnish, in
duplicate, a complete Standard Form 119, Contractor's Statement
of Contingent or Other Fees. If offeror has previously furnished a
completed Standard Form 119 to the office issuing this solicitation,
he may accompany his offer with a signed statement (a) indicating
when such completed form was previously furnished, (b) identifying
by number the previous solicitation or contract, if any, in
connection with which such form was submitted. and (c) represent-
ing that the statement in such form is applicable to this offer.
:28. NOTICE REGARDING BUY AMERICAN ACii
(1970 SEP)
The buy American Act (41 U.S.C. 10a-10d) generally
requires that only domestic construction material be used ip the
performance of this contract. Exception from the Buy American
Act shall be permitted only in the case of nonavailabitity of
domestic construction materials. A bid or proposal offering non-
domestic construction material will not be accepted unless specific-
ally approved by the Government. When a bidder or offeror
proposes to furnish nondomestic construction material, his bid or
proposal must set forth an itemization of the quantity, unit price,
and intended use of each item of such nondomestic construction
material. When offering nondomestic construction material pursuant
to this paragraph, bids or proposals may also- offer, at stated prices,
any available comparable domestic construction material, so as to
avoid the possibility that failure of a nondornestic construction
material to be acceptable under this. paragraph will cause rejection
of the entire bid. (ASPR 7-2003.65)
29. RECEIPT OF AMENDMENTS
Each bidder is required to acknowledge receipt of all
amendments to this invitation on the Bid Form, Standard Form 21,
in the space provided, or by separate letter or telegram prior to
opening of bids. Failure to acknowledge all amendments may cause
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107: AV E AT :. $-?g~7~ o g~ uc ion [.ontractj
The General Provisions (1-77) are hereby modified as follows:
In the table of contents under 22. ADDITIONAL BOND SECURITY delete
(1975 OCT) and substitute (1976.OCT) there
fa4;
b. In the table of contents under 45. ACCID PPEVOUION delete (1967 JUN)
and substitute (1977 JUN) therefore,,
Clause 45 ACCIDENT PREVENTION (1967 JUN) is hereby delete and new
Clause 45 ACCIDENT PREVENTION (1977 JUN) attached hereto is substituted
therefor.
co In the table of contents under 66, VALUE ENGIIv v INCr'~iTIVE, delete
.(1974.APR) and substitute (1977 AUG) therefore.
Clause 66 VALUE ENGINEERING INCENTIVE (1974 APR) is hereby deleted and
new Clause 66 VALUE ENGINEERING 'INCENTIVE (1977 ' AUG) attached hereto
is substituted therefore,
d. In the table of contents under 68.
IRED INSURANCE, delete (1963 APR)
.and substitute (1977 JAN) therefore,,
Clause 68 REQUIRE INSURANCE (1968 APR) is hereby deleted and new
Clause 68 REQUIRED INSURAN;. , (1977 JAN) attached hereto is substituted
therefore.
e? In the table of contents under 79. CONPRACiOR QUALITY CONTROL (CQC),
'delete (6-72)-and substitute (4-77) therefore..
Clause 79 CONTRACTOR QUALITY CDMIBDL (CQC) (6-72) is hereby deleted
and new Clause 79 OXITRACrRR QUALITY ODNTROL (CQC) (4-77) attached
hereto is substituted therefore,
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 .45.
66.
ACCIDENT PREVENTION' 1977 ,SUN
App(r9MRgrfk$rtFf L~Mga,90"P/Ot61 ?TQr Fi~ectioP8to e an 6ih00i$f00RdOh00~d00r 5mp,oye and
other persons; for prevention of damage to property, materials, supplies, and equipment; and for
avoidance of work interruptions in the performance of this contract, the Contractor shall comply
with all pertinent provisions of Corps of Engineers Manual, EM 38 l-.1, dated 1-June 1977, on,
litlcd "General Safety Requirements", as amended, and will also take or cause to be taken such
additional measures as the Contracting Officer may determine to be reasonably necessary for the
purpose.
(b) The Contractor will maintain an accurate record of, and will report to the Contracting Of.
freer in the manner and on the. forms prescribed by the Contracting Officer, exposure data and all
accidents resulting in death, traumatic injury, occupational disease, and damage to property,
materials, supplies and equipment incident to work performed under this contract.
(c) The Contracting Officer will notify the Contractor of any noncompliance with the foregoing
provisions and the action to be taken. The Contractor shall, after receipt of such notice, im-
mediately take corrective action. Such notice, when deli?"ered to the Contractor or his representa-
tive at the site of the work, shall be deemed sufficient for the purpose.'If the Contractor fails or
refuses to comply promptly, the Contracting Officer may issue an order stopping all or part of the
work until satisfactory corrective action has been taken. No part of the time lost due to any such
stop orders shall be made the subject of claim for extension of time or for excess costs or damages
by the Contractor.
(d) Compliance with the provisions of this clause by subcontractors will be the responsibility
or the Contractor.
If the contract involves more than 6 months work or
is described as hazardous character in the Invitation for Bids,
Schedule, or Specifications, the following paragraph (e) will
apply.
will:
(e) Prior to commencement of the work the Contractor
(1) submit in writing his proposals for
effectuating this provision for accident prevention;
(2) meet in conference with representatives of
the Contracting Officer to discuss and develop mutual
understandings relative to administration of the over-all
safety program. (ASPR 7-602.42)
VALUE ENGINEERING INCENTIVE (1977 AUG)
.I
(a) Application. This clause applies to a Contractor developed and documented Value En-
gineering Change Proposal (VECP) which:
(i) requires a change to this contract to implement the VECP; and
(ii) reduces the contract price without impairing essential function or characteristics,
provided that it is not based solely on a change in deliverable end item quantities.
(b) Documentation. As a minimum, the following information shall be submitted by the Con-
tractor with each VECP:
(i) a description of the difference between the existing contract requirement and the
proposed change, and the comparative advantages and disadvantages of each; justifi-
cation where function or characteristics of a work item is being altered; and the ef-
fect of the change on the performance of the end item;
(ii) an analysis and itemization of the requirements of the contract which must be
changed if the .VECP is accepted and a recommendation as to how to make each
such change (e.g., a suggested specification revision);
(ill) a separate detailed cost estimate for both the existing contract requirement and the
proposed change to provide an estimate of the reduction in costs, If any, that will
result from acceptance of'the VECP, taking into account the costs of development
and implementation by the Contractor (including any amount attributable to subcon?
tracts in accordance with paragraph (f) below);
(Iv) a prediction of any effects the proposed change would have on related costs to the
Military Department such as Government furnished property. costs, and costs of
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(v) a statement of the time by which a change order adopting the VECP must be issued
so as to obtain the maximum cost reduction. during the remainder of this Contriet,
noting any effect on the contract completion time or delivery schedule; and
(vI) Identification of any previous submission of the VECP, including the dates submitted,
the agencies involved, the numbers of the Government contracts involved, and the
previous actions by the Government, if known.
(o) Submission. To expedite a determination. VECPs shall be submitted to the Resident En-
Eincer at the worksite with a copy to the Contracting Officer. Proposals shall be processed ex-
peditiously; however, the Government shall not be liable for any delay in acting upon any
proposal submitted pursuant to this clause. If the evaluation period is likely to exceed 45 calendar
days, the PCO shall promptly notify the Contractor of the estimated decision date and provide the
reasons for the additional time required. The Contractor has the right to withdraw, in whole or in
part, any VECP not accepted by the Government within the period specified in the VEC:'.
(d) Acceptance. The Contracting Officer may accept, in whole or in part, by contract modifica-
tion any VECP submitted pursuant to this clause, The Contracting Officer may accept the VECP
even though an agreement on price reduction has net been, reached, by issuing. the Contractor a
notice to proceed with the change. Until a notice to proceed is issued or a contract modification
applies a VECP to this contract, the Contractor shall remain obligated to perform in accordance
with this contract. Contract modifications made pursuant to this clause will to state. The decision
of the Contracting Officer as to the acceptance Qf any VECP under this contract shall be final
and shall not be subject to the "Disputes" clause of this contract.
(e) Sharing. If a VECP submitted by the Contractor pursuant to this clause Is accepted, the
contract price shall be adjusted without regard to profit in accordance with the following provi-
tions:
(i) Definition:
(A) Instant contract savings to the Contractor (ICS) are the estimated reduction in
the Contractor's cost of performance resulting from the acceptance of the
VECP. The proposed cost reduction includes estimated allowable Contractor
development and implementation costs (CC). The Contractor's development
and implementation costs include any subcontractor development and imple-
mentation costs (see (f) below). For purposes of this clause, Contractor
development costs are those costs incurred after the Contractor has identified a
specific VE project and prior to acceptance and implementation by the Govern-
ment.
(B) Government Costs (GC) are those DoD costs which directly result from
development and implementation of the VECP, such as test and evaluation of
the VECP.
(ii) Calculations and Actions. Multiply, ICS by 45% and GC by 55%. Add these two
results, e.g., (.45 ICS plus .55 GC) and subtract from the contract price.
(f) Subcontracts. The Contractor shall include appropriate VE arrangements in any subcontract
of $50,000 or greater, and may i:,cludc such arrangements in contracts of lesser value. To com
,pute any adjustment in the contract price under paragraph (e) above, the Contractor's cost of
development and implementation of a VECP which is accepted under this contract shall include
any development and implementation costs of a subcontractor which clearly pertains, to such
VECP, but shall exclude any VE incentive payments which the Contractor may make to a sub-
contractor. The Contractor may make whatever VE incentive payment. arrangements he chooses'
with his subcontractors, provided that any payments to subcontractors under such arrangements
are made from the Contractor's, and not the Government's, share of the savings resulting from
the VECP.
(g) Data. The Contractor may restrict the Government's right to use any sheet of a VECP or of
the supporting data, submitted pursuant to this clause, in accordance with the terms of the follow-
Ing legend if it is marked on such sheet:
"This data furnished pursuant to the Value Engineering incentive clause of contract
................... shall not be disclosed outside the Government, or duplicated, used, or
disclosed, in whole or in part, for any purpose other than to evaluate a VECP sub-
mitted under said clause. This restriction does not limit the Government's right to use
information contained in this data if it is or has beers obtained, or is otherwise availa-
ble, from the Contractor or from another source, without limitations."
In the event of acceptance of a VECP, the Contractor hereby grants to the Government unlimited
rights, as defined in the clause of ASPR 7-104.9(a). in the VECP and supporting data, except
that, with respect to data which qualifies as and is submitted as limited rights technical data in ac-
cordance with the clause of ASPR 7-104.90al, the Government shall have the rights specified in
the contract modification referred to in paragraph (d) hereof and the data shall be appropriately
marked.
(7-602.50)?
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 68. REQUIRED INSURANCE (1977 JAN
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79.
(a) The Contractor shall procure and maintain during the
period of his-performance under this contract the following
.minimum insurance.
COVERAGE
Type of Insurance Per Person Per Accident Property..
1. Comprehensive $100,000 $300,000 $10,000
General Liability
2. Automobile $100,000 $300,000 $10,000
Liability
3. Workmen's
As required
4. (Other as required by State law)
(b) Prior to the commencement of work hereunder, the
Contractor shall furnish 'to the Contracting Officer a certificate
or written statement of the above-required insurance. The
policies evidencing required insurance shall contain an
endorsement to the effect that cancellation or any material
change in the policies adversely affecting the interests of the
Government in such insurance shall not be effective for such
period as may be prescribed by the laws of the State in which
this contract is to he performed and in no event less than
thirty (30) days after written notice thereof to the Contracting
Officer.
(c) The Contractor agrees to insert the substance of'this
clause, including this paragraph (c), in all subcontracts hereunder.
(7-603.10)
CONTRACTOR QUALITY CONTROL (CQC)
This clause. applies only. when specific ally required by the
specifications.
(a) The contractor shall provide a quality control or_'ani-
zation and system to perform inspections. tests, and retesting in the
event of failure of all items of work, including that of his subcon-
tractors, to assure compliance with the contract provisions. Quality
control will be established for all stork, except where cpecif;c pro-
visions of the contract provide for Government approvals, inspec-
tions, and tests. The CQC system will specifically include, but not
be limited to, the inspections and tests required in the technical
provisions of the contract specifications and shall cover all cod-,
slruetion operations, inchrdine both on-cite and oft-site fabrication.
(b) The contractor shall provide a CQC' representative.
"upplenrcnted as necessary by additional personnel, o ho sh:al be
on the work at all times during progress, with complete authority to
take any action accessary to ensure Compliance with [tic contract.
The COC rcprescntative shall lie appointed by a letter addressed to
'him and signed by an olTieer of the firm. This letter shall detail
the CQC representative's authority and tespon,ibility to act for the
contractor. The ('QC: representative shalt report directly to an
officer of the firm, and shall not be the saute inditidu,,t as. nor be
subordinate to, the job superintendent or project nrana^er. The
CQC representative shall have no job-related responsibilities other
(4-77)
(c) The contractor shall furnish four copies of the COC
plan to the Contracting officer ssithin fifteen calendar days after
receipt of' the Notice of Award, l lie ('()(' plan shall detail the pro-.
seduces, instructions, and reports to he used to assure compliance
With the contract. Unless specifically authorized by the Contracting
Officer in Writing, no construction Will be started until the CQC
plan is approved. This plan st ill include, as a mininrunt:
(1) A copy of' the letter appointirw the CQC rep,
resenLitive, signed by an officer of the firm. outlining the CQC
representative's duties, responsibilities, and authority. This letter
nmust int?ludc tine authority to direct removal and replicenient of
any defective work.
(?) The quality control organization in chart form,
showing the relationship of the quality control organization to other
clemcnts of the firm.
(3) Names and qualifications of personnel in the
quality control organization.
(4) Area of responsibility and `authority of eacli
individual in the quality control organization.
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ishng u outside ureanizations such as testing
laboratories, architects, and consultinc cnr.ineers that will he cm.
ploycd by the contractor, and a description of the services these
firm's will provide.
(6) Procedures for reviewing; all shop drawings.
samples, certificates, or other submittals for contract compliance,
including the name of the person(s) authorized to sign the submittals,
for the contractor, as complying with the contract.
(7) An inspection schedule, keyed to the construc-
tion schedule and followin?_ the order of tine specification technical
vactions, indicating what inspections and tests will be performed,
procedures for the inspections and tests, the names of persons
rci).onsible for the inspection and testing for each segment of work,
and the time schedule for cacti inspection and test.
(8) The procedures for docunrentinc quality con-
trot operation, inspection, and testing, with a copy of all fonds and
reports to be used for this purpose. The contractor shall also include
a submittal status log listing all submittals required by the specifica.
Lions and stating the action required by the contractor or the
Government. The contractor shall complete columns (a) tlrrou_?h (e)
of thislor and name the persons authorized to review the submittals.
(d) Inspection procedures shall include, as a rnininlum:
(1) Preparatory' Inspection. Preparatory inspection
shall be performed before beginning any work, and in addition,
`,cforc beginning cacti seprrlent of work. Preparatory Inspection shall
,nclude a review of the contract requirements, the review and
approval of shop drawing; and other submittal data, a check to
_ssure that required control testing will be provided, a physical
i?xamination to assure that all materials and equipment conform to
approved shop drasvin:s and submittal data, and a check to assure
flat all required preliminary work has been completed.
(2) Initial inspection. An initial Inspections shall he
:'erformed as soon as a representative se.mrent of the particular item
if work has been accomplished. Initial inspection shall include per-
ornlance of scheduled tests. examination of the quality of wvork-
:rariship, a review of test results or compliance with contract
cquirements, a review for unrisciuns or dimensional errors, and
approval or rejection ut the initial segment of the murk.
(3) Follow-up inspections. Follow??ip Inspections
-hall b; performed daily, and more frequently as necessary, and
.hall include continued testing and e\ammnations to assure continued
wnplianec with the contract requirernents.
(c) ' Al least five days after the (*()C Plan is submitted, but
before construction operations are started, the contractor sh:al ,ricer
with the ('ontractirq officer and discuss the quality control require-
ments. The purpose of* the rttecting shalt be to develop a mutual
un(Icrstarldin relative to details of the system. in:l;rdin;: nis III
be used for recording the quality contipl operations, inspections,
tests, approvals, certil'icationc, adrnuristt,rti?,n of the system, and
Government surveillance. 1 his meeting shall also develop a scIicrlulc
for future weekly or hiueel:I CQ( meetings and shill establish
procedures for subrni~sion of daily reports and other records and
docutne i s.
(1) The contractor shall submit daily CQC,reports to the
Contracting Officer identifying prime and subcontractor personnel
and equipment on the site, idle equipment and personnel. material
deliveries, weather conditions, work accomplished, inspections and
tests conducted, results of inspections and tests, nature of dafccts
found, causes for rejection, proposed remedial action, and corrective
actions taken, tog.cther with the following certification: "On behalf
of the contractor. I certify that this report is complete and correct,
and all materials and equipment: used and work performed during
this reporting period are in compliance with the contract plans and
spcciticatiuns. to the best of try knosslcdge. except as noted abuse."
This certification shift be sialed for the contractor by the authorized
CQC representative.
(g) Test results provided shall cite the contract require-
ments, the' test or analysis procedures used, and the actual tests
results, and include a statement that the item tested or analyzed
conforms or fails to conl'orrn to the specification requirements.
t each report shall he conspicuously stamped on the cover sheet in
large red letters "CONI'OR\lS" or "DOES NOT CONFOR\1" to'
the specification requirements as the case may be. All test repots
shall be signed by a testing laboratory representative authorized to
sign certified rest reports. The contractor shall arrange for irnnlediate
and direct delivery of the signed original of all reports, certifications,
and other documentation to the Contracting Officer,
(h) All submittals, shop drawings, catalog cuts, samples,
etc., unless otherwise specifically noted, shall be approved and
certified by the contractor as conforming to the drawings and
spccitications. !'our copies of all shop drawings, catato cuts, or
other submittals, ssith the contractor's approval indicated thereon,
shall be sent to the Contracting Officer Mifflin one working day
of the contractor's approval.
5 of 5
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GENERAL PROVISIONS
(Construction Contract)
(Provisions 1 through 31 are those prescribed by the General Services Administration in Standard Form 23-A (Rev, 4-75), as
amended pursuant to the latest revisions of the Armed Services Procurement Regulation.)
TABLE OF CONTENTS
1. DEFINITIONS (1964 JUN) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ... . . . . . . . .
1
2. SPECIFICATIONS AND DRAWINGS (1964 JUN) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
1
3. CHANGES (1968 FEB) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
1
4. DIFFERING SITE CONDITIONS (1968 FEB) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
1
5. TERMINATION FOR DEFAULT - DAMAGES FOR DELAY - TIME EXTENSIONS (1969 AUG) . . . . . . . . . .
1
6. DISPUTES (1964 JUN) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
2
7. PAYMENTS TO CONTRACTOR (1976 MAR) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
2
8. ASSIGNMENT OF CLAIMS (1976 OCT) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
3
9. MATERIAL AND WORKMANSHIP (1964 JUN) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
3
10. INSPECTION AND ACCEPTANCE (1976 OCT) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
3
11. SUPERINTENDENCE BY CONTRACTOR (1976 OCT) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
4
12, PERMITS AND RESPONSIBILITIES (1964 JUN) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
4
4
13. CONDITIONS AFFECTING THE WORK (1964 JUN) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
4
14, OTHER CONTRACTS (1964 JUN) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
15. SHOP DRAWINGS (1976 OCT) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
4
16. USE AND POSSESSION PRIOR TO COMPLETION (1976 OCT) . . . . . . . . . . . . . . . . . . . . . . . . . . . .
5
5
17. SUSPENSION OF WORK (1968 FEB) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ... . " " "
5
18. TERMINATION FOR CONVENIENCE OF THE GOVERNMENT (1974 APR) . . . . . . . . . . . . . . . . . . . . .
7
19. PAYMENT OF INTEREST ON CONTRACTORS' CLAIMS (1976 JUL) . . . . . . . . . . . . . . . . . . . . . . . .
7
20. PRICING OF ADJUSTMENTS (1970 JUL) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
7
21. PATENT INDEMNITY (1964 JUN) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
22. ADDITIONAL BOND SECURITY (1975 OCT) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
8
23. EXAMINATION OF RECORDS BY COMPTROLLER GENERAL (1975 JUN) . . . . . . . . . . . . . . . . . . .
8
24. BUY AMERICAN (1966 OCT) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
8
25. EQUAL OPPORTUNITY (1976 JUL) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
8
9
26. COVENANT AGAINST CONTINGENT FEES (1958 JAN) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
9
27, OFFICIALS NOT TO BENEFIT (1964 JUN) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ? . . ? . ? ? ?
9
28, CONVICT LABOR (1975 OCT) . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . .. . .. . . . . ..
29, UTILIZATION OF SMALL BUSINESS CONCERNS (1958 JAN) . . . . . . . . . . . . . . . . . . . . . . . . . . . .
9
UTILIZATION OF MINORITY BUSINESS ENTERPRISES (1971 NOV) . . . . . . . . . . . . . . . . . . . . . . . .
30
9
,
31, FEDERAL, STATE, AND LOCAL TAXES (1971 NOV) . . . . . . . . . . . . . . . . . . . . . . ...
9
32. CONTRACTOR INSPECTION SYSTEM (1964 NOV) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
10
33. GRATUITIES (1952 MAR) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
10
34, RENEGOTIATION (1959 OCT) . . . . . ... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
10
0
35. NOTICE AND ASSISTANCE REGARDING PATENT AND COPYRIGHT INFRINGEMENT (1965 JAN) . . . . . . .
1
11
36. AUTHORIZATION AND CONSENT (1964 MAR) . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . .
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37. COMPOSITION OF CONTRACTOR (1965 JAN) . . . . . . . . . .. .. . . .. .. . . . . . . .. . . . . . .. . . 11
38. SITE INVESTIGATION (1965 JAN) . . . . . . . . . . .. . . . . . . .. . . .. . .. . . . . .. . .. . . . 11
39. PROTECTION OF EXISTING VEGETATION, STRUCTURES, UTILITIES, AND IMPROVEMENTS
(1965 JAN) ........................................................ 11
40. OPERATIONS AND STORAGE AREAS (1965 JAN) .. .. . . . . . . .. . . .. .. . . ... .. . .. . .. . .. 11
41. MODIFICATION PROPOSAL-PRICE BREAKDOWN (1968 APR) . . . . . . . . . . . . . . . . . . . . . . . . . . 11
42. SUBCONTRACTORS (1972 FEB) . . . . . . . . .. . .. . . . . .. . .. . . . . .. . . . . . . .. . .. . .. 12"
43. CLEANING UP (1965 JAN) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
44. ADDITIONAL DEFINITIONS (1965 JAN) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
45. ACCIDENT PREVENTION (1967 JUN) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12"
46. GOVERNMENT INSPECTORS (1965 JAN) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
47. RIGHTS IN SHOP DRAWINGS (1966 APR) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
48. PRIORITIES, ALLOCATIONS, AND ALLOTMENTS (1975 OCT) . . . . . . . . . . . . . . . . . . . . . . . . . . . 13
49. PRICE REDUCTION FOR DEFECTIVE COST OR PRICING DATA-PRICE ADJUSTMENTS (1970 JAN) . . . . . . 13
50. INTEREST (1972 MAY) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13
51. AUDIT BY DEPARTMENT OF DEFENSE (1975 JUN) . . . . . . . . . . . . . . . . . . . . . . . . . . .... . . . . 13
52. SUBCONTRACTOR COST OR PRICING DATA-PRICE ADJUSTMENTS (1970 JAN) . . . . . . . . . . . . . . .. 14
53. GOVERNMENT-FURNISHED PROPERTY (SHORT FORM) (1964 NOV) . . . . . . . . . . . . . . . . . . . . . . . 14
54. VARIATIONS IN ESTIMATED QUANTITIES (1968 APR) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14
55. SALVAGE MATERIALS AND EQUIPMENT (1965 JAN) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
56. AVAILABILITY AND USE OF UTILITY SERVICES (1967 APR) . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
57. MISPLACED MATERIAL (1965 JAN) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
58. SIGNAL LIGHTS (1965 JAN) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
59. IDENTIFICATION OF EMPLOYEES (1965 JAN) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
60. TIME EXTENSIONS (1965 JAN) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
61. RESERVED ....................................................... 15
62. PROGRESS CHARTS AND REQUIREMENTS FOR OVERTIME WORK (1965 JAN) . . . . . . . . . . . . . . . . . 15
63. PERFORMANCE OF WORK BY CONTRACTOR (1965 JAN) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16
64. LAYOUT OF WORK (1965 JAN) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16
65. WARRANTY OF CONSTRUCTION (1974 APR) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16
66. VALUE ENGINEERING INCENTIVE (1974 APR) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17
67. VALUE ENGINEERING COST COMPUTATION (1-75) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18
68. REQUIRED INSURANCE (1968 APR) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18
69. GOVERNMENT REPRESENTATIVES (6-72) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18
70. SPECIFICATIONS AND DRAWINGS (6-72) . . . . . .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18
71. PRECEDENCE (6-72) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18
72. ORAL MODIFICATION (6-72) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19
73. NO WAIVER BY GOVERNMENT (6-72) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19
74. SUPERSEDURE (6-72) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19
75. SANITATION (6-72) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19
76. TESTING FOUNDATIONS (6-72) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19
77. PAYMENT TO CONTRACTOR (6.72) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19
78. CHANGES BOARD AND ESTIMATES (.6-72) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19
79. CONTRACTOR QUALITY CONTROL (CQC) (6-72) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19
80. DAMAGES FOR DELAY-DEFENSE MATERIALS SYSTEM AND PRIORITIES (6-72) . . . ... . . . . . . . . . . . 20
81. SPECIFICATIONS AND STANDARDS (6-72) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20r
82. SECURITY REQUIREMENTS (6-72) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21
83. STATION REGULATIONS (6-72) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21
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84. ORDER OF WORK (6-72) . . . . . . . . . . . . . ... . . . . . . . . . . . . . . . . . . . . . .. . .. . . . . . . 21
85, SCHEDULE OF PRICES (6-72) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21
86. CONTRACTOR'S INVOICE AND CONTRACT PERFORMANCE STATEMENT (6.72) . . . . ... . ? . , ? 21
87. AS-BUILT RECORD OF MATERIALS USED IN BUILDINGS (6-72) . . . . . . . . . . . . . . . . . . . 21
88, OPTIONAL REQUIREMENTS (6-72) . . . . . 21
89. PROPOSED MATERIAL SUBMITTALS REQUIRED OF THE CONTRACTOR (6-72) . . . . . . . . . . . . . . . . 21
90. CATALOG DATA (6-72) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22
91. SAMPLES (6-72) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22
92. STORM PROTECTION (6-72) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22
93. CONTRACTOR'S DAILY REPORT (6-72) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22
94. WORK OUTSIDE REGULAR HOURS (6-72) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22
95. EXISTING WORK (6-72) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22
96. SMALL BUSINESS SUBCONTRACTING PROGRAM (1976 OCT) . . . . . . . . . . . . . . . . . . . . . . . . . . . 22
97. MINORITY BUSINESS ENTERPRISES SUBCONTRACTING PROGRAM (1971 NOV) . . . . . . . . . . . . . . . . 22
98. PREFERENCE FOR DOMESTIC SPECIALTY METALS (1972 NOV) . . . . . . . . . . . . . . . . . . . . . . . . . 23
99. ENVIRONMENTAL LITIGATION (12-74) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23
100. COST ACCOUNTING STANDARDS (1975 FEB) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23
101. LOCAL AFFIRMATIVE ACTION PLAN (1972 DEC) (REVISED) . . . . . . . . . . . . . . . . . . . . . . . . . . 24
102. AFFIRMATIVE ACTION FOR HANDICAPPED WORKERS (1976 MAY) . . . . . . . . . . . . . . . . . . . . . . 26
103. CLEAN AIR AND WATER (1975 OCT) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26
104. EQUITABLE ADJUSTMENTS: WAIVER AND RELEASE OF CLAIMS (7-76) . . . . . . . . . . . . . . . . . . . . . 27
105. AFFIRMATIVE ACTION FOR DISABLED VETERANS AND VETERANS OF THE
VIFTNAM ERA ( 1976 TU'L) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
106. ADMINISTRATION OF COST ACCOUNTING STANDARDS (1975 MAR) . .. . ... . .. . . ... .. . . . . . . 29
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JANUARY 1977
GENERAL PROVISIONS
(Construction Contract)
(Provisions l through 31 are those prescribed by the General Services Administration-j, Standard Forrn.23-A (Rev. 4-75), as amended.pursuant
to the latest revisions of the Armed Services Procurement Regulation.)
(a) The term "head of the agency" or "Secretary" as used
herein means the Secretary, the Under Secretary, any Assistant
Secretary, or any other head or assistant head of the executive or
military department or other Federal agency; and the term "his duly
authorized representative" means any person or persons or board
(other than the Contracting Officer) authorized to act for the head
of the agency or the Secretary.
(b) The term "Contracting Officer" as used herein means
the person executing this contract on behalf of the Government and
includes a duly appointed successor or authorized representative.
(ASPR 7-602.1)
2. SPECIFICATIONS AND DRAWINGS (1964 JUN)
The Contractor shall keep on the work a copy of the
drawings and specifications and shall at all times give the
Contracting Officer access thereto. Anything mentioned in the
specifications and not shown on the drawings, or shown on the
drawings and not mentioned in the specifications, shall be of like
effect as if shown or mentioned in both. In case of difference
between drawings and specifications, the specifications shall govern.
In case of discrepancy either in the figures, in the drawings, or in the
specifications. the matter shall be promptly submitted to the
Contracting Officer, who shall promptly make a determination in
writing. Any adjustment by the Contractor without such a
determination shall be at his own risk and expense. The Contracting
Officer shall furnish from time to time such detail drawings and
other information as he-may consider necessary, unless otherwise
provided. (ASPR 7-602.2)
3. CHANGES (1968 FEB)
(a) The Contracting Officer may, at any time, without
notice to the sureties, by written order designated or indicated to be
a change order, make any change in the work within the general
scope of the contract, including but not limited to ch.rnges:
In the specifications (including drawings and
(iiii In the Government-furnished facilities,
equipment, materials, servi,es, or site; or
(iv) Directing acceleration in the performance of
the work.
(b) Any other written order or an oral order (v,ii ch terms
as used in this paragraph .1)! shall include direction, instruction,
interpretation. or determination) irr,in the Contracting Officer,
which causes any such chaogc, shall he treated as a change order
under this clause, provided that the Contractor gives the Contracting
Officer written notice stating the date. rtrctintstances, and source of
the order and that the Contractor regards the order as a change
order,
under this clause or entitle the Contractor to an equitable
adjustment hereunder.
(d) If any change under this clause causes an increase or
decrease in the Contractor's cost of, or the.'time required for, the
performance of any part of the work under this contract, whether
or not changed by any order, an equitable adjustment shall be made
and the contract modified in writing accordingly. Provided,
however, That except for claims based on defective specifications,
no claim for any change under (b) above shall be allowed for any
costs incurred more than 20 days before the Contractor gives
written notice as therein required: And prodded further, that in the
case of defective specifications for which the Government is
responsible, the equitable adjustment shall include any increased
cost reasonably incurred by the Contractor in attempting to comply
with such defective specifications.
(e) If the Contractor intends to assert a claim for an
equitable adjustment under this clause, he must, within 30 days
after receipt of a written change order under (a) above or the
furnishing of a written notice tinder (b) above, submit to the
Contracting Officer a written statement setting forth the general
nature and monetary extent of such claim, unless this period is
extended by the Government. The statement of claim hereunder
may be included in the notice under (b) above.
(1) No claim by the Contractor for an equitable
adjustment hereunder shall be allowed if asserted after final
payment under this contract. (ASPR 7-602.3)
4. DIFFERING SITE CONDITIONS (1968 FEB)
(a) The Contractor shall promptly, and before such
conditions are disturbed, notify the Contracting officer in writing
of: (I) subsurface or latent physical conditions at the site differing
materially from those indicated in this contract, or (2) unknown
physical conditions at the site, of an unusual nature, differing
materially from those ordinarily encountered and generally
recognized as inhering in work of the character provided for in this
contract. The Contracting Officer shall promptly investigate the
conditions, and if he finds that such conditions do materially so
differ and cause an increase or decrease in the Contractor's cost of,
or the time required for. performance of any part of the work under
this contract. whether or not changed as a result of such conditions,
an equitable achrtstment shall be made and the contract modified in
writing accordingly.
lbi No claim of the Contractor under this clause shall he
allowed unless the Contractor has given the notice required in (a)
above, provided, however, the time prescribed therefor may he
extended by the Government,
(c) No claim by the Contractor . for an equitable
adjustment hereunder shall be allowed if asserted after final
payment under this contract. (ASPR 7-602.4)
5. TERMINATION FOR DEFAULT-DAMAGES FOR
DELAY-TIME EXTENSIONS (1969 AUG)
(a) If the Contractor refuses or fails to prosecute the
work, or any separable part thereof, with such diligence as will
(c) Except as herein provided. no order, statement, or insure its corn lerion within the time specified in this contract, or
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any extension thereof, or fails to complete said work within such
time, the Government may, by written notice to the Contractor,
terminate his right to proceed with the work or such part of the
work as to which there has been delay. In such event the
Government may take over the work and prosecute the same to
completion, by contract or otherwise, and may take possession of
and utilize in completing the work such materials, appliances, and
plant as may be on the site of the work and necessary therefor.
Whether or not the Contractor's right to proceed with the work is
terminated, he and his sureties shall be liable for any damage to the
Government resulting from his refusal or failure to complete the
work within the specified time.
(b) If fixed and agreed liquidated damages are provided in
the contract and if the Government so terminates the Contractor's
right to proceed, the resulting damage will consist of such liquidated
damages until such reasonable time as may be required for final
completion of the work together with any increased costs occa-
sioned the Government in completing the work.
(c) If fixed and agreed liquidated damages are provided.in
the contract, and if the Government does not so terminate the
Contractor's right to proceed, the resulting damage will consist of
such liquidated damages until the work is completed or accepted.
(d) The Contractor's right to proceed shall not be so
terminated nor the Contractor charged with resulting damage if:
(I) The delay in the completion of the work arises
from unforeseeable causes beyond the control and without the fault
or negligence of the Contractor, including but not restricted to, acts
of God, acts of the public enemv, acts of the Government in either
its sovereign or contractual capacity, acts of another contractor in
the performance of a contract with the Government, fires, floods,
epidemics, quarantine restrictions. Strikes, freight embargoes, un-
usually severe weather, or delays of subcontractors or suppliers
arising from unforeseeable causes beyond the control and without
,he fault or negligence of both the Contractor and such subcon-
tractors or suppliers; and
(2) The Contractor, within 10 days from the
beginning of any such delay (unless the Contracting Officer grants a
further period of time before the date of final payment under the
contract), notifies the Contracting Officer in writing of the causes of
delay.
The Contracting Officer shall ascertain the facts and the
extent of the delay and extend the time for completing the work
when, in his judgment, the findings of tact justify such an extension,
and his findings of fact shall he final and conclusive on the parties,
subject only to appeal as provided in the "Disputes" clause ni this
contract.
(e) If, after notice of termination of the Contractor's right
to proceed under the provisions of this clause, it is determined for
any reason that the Contractor was riot in default under the
provisions of this clause. or that the delay was excusable under the
provisions of this clause, the rights and obligations of the parties
shall, if the contract contains a clause providing for termination for
cotvenience of the Government, be the same as if the notice of
termination had been issued pursuant to such clause. If, in the
foregoing circumstances, this contract does riot contain a clause
providing for termination for convenience of the Government. the
contract shall be equitably adjusted to compensate for such
termination and the contract modified accordingly; failure to agree
to any such adjustment shall be a dispute concerning a question of
fact within the meaning of the clause of this contract entitled
"Disputes."
(f) The rights and remedies of the Government provided
in this clause are in addition to any other rights and remedies
provided by law or under this contract.
(g) As used in paragraph (d)(1) of this clause, the term
"subcontractors or suppliers" means subcontractors or suppliers at
any tier. (ASPR 7-602.5)
(al Except as otherwise provided in this contract, any
dispute concerning a question of fact arising under this contract
which is not disposed of by agreement shall be decided by the
Contracting Officer, who shall reduce his decision to writing and
mail or otherwise furnish a copy thereof to the Contractor. The
decision of the Contracting Officer shall be final and conclusive
unless, within 30 days from the date of receipt of such copy, the
Contractor mails or otherwise furnishes to the Contracting Officer a
written appeal addressed to the head of the agency involved. The
decision of the head of the agency or his duly authorised
representative for the determination of such appeals shall be final
and conclusive. This provision shall not be pleaded in any suit
involving a question of fact arising under this contract as limiting
judicial review of any such decision to cases where fraud by such
official or his representative or board is alleged: Provided, however,
that any such decision shall be final and conclusive unless the same
is fraudulent or capricious or arbitrary or so grossly erroneous as
necessarily to imply bad faith or is not supported by substantial
evidence. In connection with any appeal proceeding under this
clause, the Contractor shall be afforded an opportunity to be heard
and to offer evidence in support of his appeal Pending final decision
of a dispute hereunder. the Contractor shall proceed diligently with
the performance of the contract and in accordance with the
Contracting Officer's decision.
(b) This "Disputes" clause does not preclude consider-
ation of questions of law in connection with decisions provided for
in paragraph (a) above, Nothing in this contract, however, shall be
construed as making final the decision of any administrative official,
representative, or board on a question of law. (ASPR 7-602.6)
7. PAYMENTS TO CONTRACTOR (1976 MAR)
)ai The Government will pay the contract price as
hereinafter provided.
(b) The Government will make progress payments
monthly as the work proceeds, or at more frequent intervals as
determined by the Contracting Officer, on estimates approved by
the Contracting Officer, If requested by the Contracting Officer, the
Contractor shall furnish a breakdown of the total contract price
showing the amount included therein for each principal category of
the work, in such detail as requested, to provide a basis for deter-
mining progress payments. In the preparation of estimates the
Contracting Officer, at his discretion, may authorize material
delivered on the site and preparatory work done to be taken into
consideration. Material delivered to the Contractor at locations
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other than the site may also be taken into consideration (1) if such
consideration is specifically authorized by the contract and (2) if
the Contractor furnishes satisfactory evidence that he has acquired
title to such material and that it will be utilized on the work covered
by this contract.
(c) In making such progress payments, there shall be re-
tained 10 percent of the estimated amount until final completion
and acceptance of the contract work. However, if the Contracting
Officer finds that satisfactory progress was achieved during any
period for which a progress payment is to be made, he may autho-
rize such payment to be made in full without retention of a
percentage. Also, whenever the work is substantially complete, the
Contracting Officer shall retain an amount he considers adequate for
protection of the Government and, at his discretion, may release to
the Contractor all or a portion of any excess amount. Furthermore,
on completion and acceptance of each separate building, public
work, or other division of the contract, on which the price is stated
separately in the contract, payment may be made therefor without
retention of a percentage.
(d) All material and work covered by progress payments
made shall thereup become the sole property of the Government,
but this provision shall not be construed as relieving the Contractor
from the sole responsibility for all material and work upon which
payments have been made or the restoration of any damaged work,
or as waiving the right of the Government to require the fulfillment
of all of the terms of the contract.
. (e) Upon completion and acceptance of all work, the
amount due the Contractor under this contract shall he paid upon
the presentation of a properly executed voucher and after the
Contractor shall have furnished the Government with a release of all
claims against the Government arising by virtue of this contravt,
other than claims in stated amounts as may be specifically excepted
by the Contractor from the operation of the release. If the Contrac-
tor's claim to amounts payable under the contract has been assigned
under the Assignment of Claims Act of 1940, as amended (31
U.S.C. 203, 41 U.S.C. 1 S(, a release may also be required of the
assignee, (ASPR 7-602.7)
(at Pursuant to the provisions of the Assignment of
Claims Act of 1940, as amended (31 U.S.C. 203, 41 U.S.C. 15), if
this contract provides for payments aggregating 111.000 or more,
claims for moneys due or to become due the Contractor from the
Government under this contract may be assigned to a bank, trust
company, or other financing institution, including any Federal
lending agency, and may thereafter be further assigned and
reassigned to any such institution. Any such assignment or
reassignment shall cover all amounts payable under this contract and
not already paid. and shall not be made to more than one party,
except that any such assignment or reassignment may be made to
one party as agent or trustee for two or more parties participating in
such financing. Unless otherwise provided in this contract, payments
to an assignee of any moneys due or to become due under this
contract shall not, to the extent provided in said Act, as amended,
be subject to reduction or setoff. (The preceding sentence applies
only if this contract is made in time of war or national emergency as
defined in said Act; and is with the Department of Defense, the
General Services Administration, the Energy Research and
Development Administration, the National Aeronautics and Space
Administration, the Federal Aviation Administration, or any other
department or agency of the United States designated by the
President pursuant to Clause 4 of the proviso of Section 1 of the
Assignment of Claims Act of 1940, as amended by the Act of May
15, 1951, 65 Stat. 41.)
(b) In no event shall copies of this contract or of any
plans, specifications, or other similar documents relating to work
under this contract, if marked "Top Secret," "Secret," or
"Confidential," be furnished to any assignee of any claim arising
under this contract or to any other person not entitled to receive
the same. However, a copy of any part or all of this contract so
marked may be furnished, or any information contained therein
may be disclosed, to such assignee upon the prior written autho-
rization of the Contracting Officer.(ASPR 7-602.8)
9. MATERIAL. AND WORKMANSHIP (1964 JUN)
(a) Unless otherwise specifically provided in this contract,
all equipment, material, and articles incorporated in the work
covered by this contract are to be new and of the most suitable
grade for the purpose intended. Unless otherwise specifically
provided in this contract, reference to any equipment, material,
article, or patented process, by trade name, make, or catalog
number, shall be regarded as establishing a standard of quality and
shall not be construed as limiting competition, and the Contractor
may at his option, use any equipment, material, article, or process
which, in the judgement of the Contracting Officer, is equal to that
named. The Contractor shall furnish to the Contracting Officer for
his approval the name of the manufacturer, the model number, and
other identifying data and information respecting the performance,
capacity, nature, and rating of the machinery and mechanical and
other equipment which the Contractor contemplates incorporating
in the work. When required by this contract or when called for by
the Contracting Officer, the Contractor shall furnish the Contracting
Officer for approval full information concerning the material or
articles which he contemplates incorporating in the work. When so
directed, samples shall be submitted for approval at the Contractor's
expense. with all shipping charges prepared. Machinery, equipment,
material, and articles installed or used without required approval
shall be at the risk of subsequent rejection.
(b) All work under this contract shall be performed in a
skillful and workmanlike manner. The Contracting Officer naav, in
writing, require the Contractor to remove from the work any
employee the Contracting Officer deems incompetent, careless, or
otherwise objectionable. (ASPR 7-602.9)
(a) All work (which term includes but is not restricted to
materials, workmanship, and manufacture and fahricatinn of
components) shall be subject to inspection and test by the (;,,v
ernment at all reasonable times and at all places prior to acceptance.
Any such inspection and test is for the sole benefit of the
Government and shall not relieve the Contractor of the responsi,
bility of providing quality control measures to assure that the work
strictly complies with the contract requirements. No inspection or
test by the Government shall be construed as constituting it
implying acceptance. Inspection or test shall not relieve the
Contractor of responsibility for damage to or loss of the rnarcrial
prior to acceptance, nor in any way affect the continuing rights of
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the Government after acceptance of the completed work under the
terms of paragraph (f) of this clause, except as hereinabove
provided,
(b) The Contractor shall, without charge, replace any
material or correct any workmanship found by the Government not
to conform to the contract requirements, unless in the public
interest the Government consents to accept such material or
workmanship with an appropriate adjustment in contract price. The
Contractor shall promptly segregate and remove rejected material
from the premises.
(c) If the Contractor does not promptly replace rejected
material or correct rejected workmanship, the Government (1) may,
by contract or otherwise, replace such material or correct such
workmanship and charge the cost thereof to the Contractor, or (2)
may terminate the Contractor's right to proceed in accordance with
the clause of this contract entitled "Termination for
Default-Damages For Delay-Time Extensions"
(d) The Contractor shall furnish promptly, without addi-
tional charge, all facilities, labor, and material reasonably needed for
performing such safe andconvenient inspection and test as may be
required by the Contracting Officer. All inspection and test by the
Government shall be performed in such manner as not unnecessarily
to delay the work. Special, full size, and performance tests shall be
performed as described in this contract. The Government reserves
the right to charge to the Contractor any additional cost of in-
spection or test when material or workmanship is not ready at the
time specified by the Contractor for inspection or test or when
reinspection or retest is necessitated by prior rejection.
(e) Should it be considered necessary or advisable by the
Government at any time before acceptance of the entire work to
make an examination of work already completed, by removing or
tearing out same, the Contractor shall, on request, promptly furnish
all necessary facilities, labor, and material. If such work is found to
be defective or nonconforming in any material respect, due to the
fault of the Contractor or his subcontractors, he shall defray all the
expenses of such examination and of satisfactory reconstruction, If,
however, such work is found to meet the requirements of the
contract, and equitable adjustmentshall be made in the contract
price to compensate the Contractor for the additional services
involved in such examination and reconstruction and, if completion
of the work has been delayed thereby, he shall, in addition, be
granted a suitable extension of time.
(f) Unless otherwise provided in this contract, acceptance
by the Government shall be made as promptly as practicable after
completion and inspection of all work required by this contract, or
that portion of the work that the Contracting Officer determines
can be accepted separately. Acceptance shall be final and conclusive
except as regards latent defects, fraud, or such gross mistakes as may
amount to fraud, or as regards the Government's rights under any
warranty or guarantee. (ASPR 7-602,11)
11. SUPERINTENDENCE BY CONTRACTOR
(1976 OCT)
The Contractor, at all times during performance and until the
work is completed and accepted, shall give his personal
superintendence to the work or have on the work a competent
superintendent, satisfactory to the Contracting Officer and with
authority to act for the Contractor. (ASPR 7-602.12)
12. PERMITS AND RESPONSIBILITIES (1964 JUN)
The Contractor shall, without additional expense to the
Government, be responsible for obtaining any necessary licenses and
permits, and for complying with any applicable Federal, State, and
municipal laws, codes, and regulations, in connection with the
prosecution of the work. He shall be similarly responsible for all
damages to persons or property that occur as a result of his fault or
negligence. He. shall take proper safety and health precautions to
protect the work, the workers, the public, and the property of
others. He shall also be responsible for all materials delivered and
work performed until completion and acceptance of the entire
construction work, except for any completed unit of construction
thereof which theretofore may have been accepted. (ASPR
7-602.13)
1-3. CONDITIONS AFFECTING THE WORK (1964
JUN)
The Contractor shall be responsible for having taken steps
reasonably necessary to ascertain the nature and location of the
work, and the general and local conditions which can affect the
work or the cost thereof. Any failure by the Contractor to do so
will not relieve him from responsibility for successfully performing
the work without additional expense to the Government, The
Government assumes no responsibility for any understanding or
representations concerning conditions made by any of its officers or
agents prior to the execution of this contract, unless such
understanding or representations by the Government are expressly
stated in the contract (ASPR 7-602.14)
14. OTHER CONTRACTS (1964 JUN)
The Government may undertake or award other contracts for
additional work, and the Contractor shall fully cooperate with such
other contractors and Government employees and carefully fit his
own work to such additional work as may be directed by the
Contracting Officer. The Contractor shall not commit or permit any
act which will interfere with the performance of work by any other
contractor or by Government employees. (ASPR 7.602.15)
15. SHOP DRAWINGS (1976 OCT)
(a) The term "shop drawings" includes drawings, dia-
grarns, layouts, schematics, descriptive literature, illustrations,
schedules, performance and test data; and similar materials furn-
ished by the Contractor to explain in detail specific-portions of the
work required by the contract.
(b) If this contract requires shop drawings, the Contractor
shall coordinate all such drawings, and review them for accuracy,
completeness, and compliance with contract requirements and shall
indicate his approval thereon as evidence of such coordination and
review. Shop drawings submitted to the Contracting Officer without
evidence of the Contractor's approval may be returned for resub-
4
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mission, The Contracting Officer will indicate his approval or disap-
proval of the shop drawings and if not approved as submitted shall
indicate his reasons therefor. Any work done prior to such approval
shall be at the Contractor's risk. Approval by the Contracting
Officer shall not relies, the Contractor from any responsibility for
any errors or omissions in such drawings, nor from responsibility for
complying with the requirements of this contract. except with re-
spect to variations described and approved in tc) below.
(c) If shop drawings show variations from the contract
requirements, the Contractor shall describe such variations in
writing, separate from the drawings, at the time of submission. If
the Contracting Officer approves any such variation(s), he shall issue
an appropriate contract modification, except that, if the variation is
minor and does not involve a change in price or time of perform-
ance, a modification need not he issued.
(d) The Contractor shall submit to the Contracting Officer
for approval four copies (unless otherwise indicated herein) of all
shop drawings as called for under the various headings of these
specifications. Three sets (unless otherwise indicated herein) of all
shop drawings will be retained by the Contracting Officer and one
set will be returned to the Contractor. (ASPR 7-602.54(a))
16. USE AND POSSESSION PRIOR TO COMPLETION
(1976 OCT)
The Government shall have the right to take possession of or
use any completed or partially completed part of the work. Prior to
such possession or use, the Contracting Officer shall furnish the
Contractor an itemized list of work remaining to be performed or
corrected on such portions of the project as are to be possessed or
used by the Government, provided that failure to list any item of
work shall not relieve the Contractor of responsibility for compli-
ance with the terms of the contract. Such possession or use shall not
be deemed an acceptance of any work under the contract. While the
Government has such possession or use, the Contractor, notwith-
standing the provisions of the clause of this contract entitled
"Permits and Responsibilities," shall be relieved of the responsibility
for the loss or damage to the work resulting from the Government's
possession or use. If such prior possession or use by the Government
delays the progress of the work or causes additional expense to the
Contractor, an equitable adjustment in the contract price or the
time of completion will be made and the contract shall be modified
in writing accordingly. (ASPR 7-602.39)
(a) The Contracting Officer may order the Contractor in
writing to suspend, delay, or interrupt all or any part of the work
for such period of time as he may determine to be appropriate for
the convenience of the Government.
(b) If the performance of all or any part of the work is,
for an unreasonable period of time, suspended, delayed, or
interrupted by an act of the Contracting Officer in the adminis-
tration of this contract, or by his failure to act within the time
specified in this contract (or if no time is specified, within a
reasonable time), an adjustment shall be made for any increase in
the cost of performance of this contract (excluding profit)
necessarily caused by such unreasonable suspension. delay, or
interruption and the contract modified in writing accordingly.
However, no adjustment shall be made under this clause for any
suspension, delay, or interruption to the extent (1) that perfor-
mance would have been so suspended, delayed, or interrupted by
any other cause, including the fault or negligence of the Contractor
or (2) for which an equitable adjustment is provided for or excluded
under any other provision of this contract.
(c) No claim under this clause shall be allowed (1) for any
costs incurred more than 20 days before the Contractor shall have
notified the Contracting Officer in writing of the act or failure to
act involved (but this requirement shall not apply as to a claim
resulting from a suspension order), and (2) unless the claim, in an
amount stated, is asserted in writing as soon as practicable after the
termination of such suspension, delay, or interruption, but not later
than the date of final payment under the contract. (ASPR 7-602.46)
18. TERMINATION FOR CONVENIENCE OF THE
GOVERNMENT (1974 APR)
(a) The performance of work under this contract may be
terminated by the Government in accordance with this clause in
whole, or from time to time in part, whenever the Contracting
Officer shall determine that such termination is in the best interest
of the Government. Any such termination shall be effected by
delivery to the Contractor of a Notice of Termination specifying the
extent to which performance of work under the contract is
terminated, and the date upon which such termination becomes
effective.
(b) After receipt of a Notice of Termination, and except
as otherwise directed by' the Contracting Officer, the Contractor
shall:
(i) stop work under the contract on the date and
to the extent specified in the Notice of Termination;
(ii) place no further orders or subcontracts for
materials, services or facilities, except as may be necessary for
completion of such portion of the work under the contract as is not
terminated;
(iii) terminate all orders and subcontracts to the
extent that they relate to the performance of work terminated by
the Notice of Termination;
(iv) assign to the Government, in the manner, at the
times, and to the extent directed by the Contracting Officer, all of
the right, title, and interest of the Contractor under the orders and
subcontracts so terminated, in which case the Government shall
have the right, in its discretion, to settle or pay any or all claims
arising out of the termination of such orders and subcontracts;
(v) settle all outstanding liabilities and all claims
arising out of such termination of orders and subcontracts with the
approval or ratification of the Contracting Officer, to the extent he
may require, which approval or ratification shall be final for all the
purposes of this clause;
(vi) transfer title and deliver to the Government, in
the manner, at the times, and to the extent, if any, directed by the
Contracting Officer, (A) the fabricated or unfabricated parts, work
in process, completed work, supplies, and other material produced
as a part of, or acquired in connection with the performance of, the
work terminated by the Notice of Termination, and (B) the
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completed or partially completed plans, drawings, information, and
otherproperty which, if the contract had been completed, would
have been required to be furnished to the Government;
(vii) use his best efforts to sell, in the manner, at the
times, to the extent, and at the price or prices directed or
authorized by the Contracting Officer, any property of the types
referred to in (vi) above; provided however, that the Contractor (A)
shall not be required to extend credit to any purchaser, and (B) may
acquire any such property under the conditions prescribed by and at
a price or prices approved by the Contracting Officer, and provided
further that the proceeds of any such transfer or disposition shall be
applied in reduction of any payments to be made by the
Government to the Contractor under this contract or shall otherwise
be credited to the price or cost of the work covered by this contract
or paid in such other manner as the Contracting Officer may direct;
(viii) complete performance of such part of the work
as shall not have been terminated by the Notice of Termination; and
(ix) take such action as may be necessary, or as the
Contracting Officer may direct, for the protection and preservation
of the property related to this contract which is in the possession of
the Contractor and in which the Government has or may acquire
any interest.
At ane time after expiration of the plant clearance period, as
defined in Section VIII, Armed Services Procurement Regulation, as
it may be amended from time to time, the Contractor may submit
to the Contracting Officer a list, certified as to quantity and quality,
of any or all items of termination inventory not previously disposed
of, exclusive of items the disposition of which has been directed or
authorized by the Contracting Officer, and may request the
Government to remove such items or enter into a storage agreement
covering them. Not later than fifteen (15) days thereafter, the
Government will accept title to such items and remove them or
enter into a storage agreement covering the same; provided, that the
list submitted shall be subject to verification by the Contracting
Officer upon removal of the items, or if the items are sorted, within
forty five (45) days from the date of submission of the list, and any
necessary adjustments to correct the list as submitted shall be made
prior to final settlement.
(c) After receipt of a Notice of Termination, the Con-
tractor shall submit to the Contracting Officer his termination
claim, in the form and with certification prescribed by the
Contracting Officer. Such claim shall be submitted promptly but in
no event later than one year from the effective date of termination,
unless one or more extensions in writing are granted by the
Contracting Officer, upon request of the Contractor made in writing
within such one year period or authorized extension thereof.
However, if the Contracting Officer determines that the facts justify
such action, he may receive and act upon any such termination
claim at any time after such one year period or any extension
thereof. Upon failure of the Contractor to submit his termination
claim within the time allowed, the Contracting Officer may
determine, on the basis of information available to him, the amount,
if any, due to the Contractor by reason of the termination and shall
thereupon pay to the Contractor the amount so determined.
(d) Subject to the provisions of paragraph (c), the
Contractor and the Contracting Officer may agree upon the whole
or any part of the amount or amounts to be paid to the Contractor
allowance for profit on work done; provided, that such agreed
amount or amounts, exclusive of settlement costs, shall not exceed
the total contract price as reduced by the amount of payments
otherwise made and as further reduced by the contract price of
work not terminated. The contract shall be amended accordingly,
and the Contractor shall be paid the agreed amount. Nothing in
paragraph (e) of this clause, prescribing the amount to be paid to
the Contractor in the event of failure of the Contractor and the
Contracting Officer to agree upon the whole amount to be paid to
the Contractor by reason of the termination of work pursuant to
this clause, shall be deemed to limit, restrict, or otherwise determine
or affect the amount or amounts which may be agreed upon to be
paid to the Contractor pursuant to this paragraph (d).
(e) In the event of the failure of the Contractor and the
Contracting Officer to agree, as provided in paragraph (d), upon the
whole amount to be paid to the Contractor by reason of the
termination of workpursuant to this clause, the Contracting Officer
shall pay to the Contractor the amounts determined by the
Contracting Officer as follows, but without duplication of any
amounts agreed upon in accordance with paragraph (d):
(i) with respect to all contract work performed
prior to the effective date of the Notice of Termination, the total
(without duplication of any items) of-
(B) the cost of settling and paying claims
arising out of the termination of work
under subcontracts or orders as provided
in paragraph (b)(v) above, exclusive of
the amounts paid or payable on account
of supplies or materials delivered or
services furnished by the subcontractor
prior to the effective date of the Notice
of Termination of Work under this con-
tract, which amounts shall be included in
the cost on account of which payment is
made under (A) above; and
(C) a sum, as profit on (A) above, deter-
mined by the Contracting Officer pur-
suant to 8-303 of the Armed Services
Procurement Regulation, in effect as of
the date of execution of this contract, to
be fair and reasonable; provided, how-
ever, that if it appears that the Corr
tractor would have sustained a loss on
the entire contract had it been com-
pleted, no profit shall be included or
allowed under this subdivision (C) and
an appropriate adjustment shall be made
reducing the amount of the settlement
to reflect the indicated rate of loss; and
(ii) the reasonable cost of the preservation and
protection of property incurred pursuant, to paragraph (b)(ix); and
any other reasonable cost incidental to termination of work under
this contract, including expense incidental to the determination of
theamount due to the Contractor as the result of the termination of
work under this contract.
by reason of the total or partial termination of work pursuant to The total sum to be paid to the Contractor under (i) above shall not
this clause, which amappt rovecTVor i eiease'2'6ttt?a~922 : df `A 8`tt-b0~8~6P'06br20tt1g6'ff0i ty' the amount of
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payments otherwise made and as further reduced by the contract
price of work not terminated. Except for normal spoilage, and
except to the extent that the Government shall have otherwise
expressly assumed the risk of loss, there shall be excluded from the
amounts payable to the Contractor under (i) above, the fair value, as
determined by the Contracting officer, of property which is
destroyed, lost, stolen, or damaged so as to become undeliverable to
the Government or to a buyer pursuant to paragraph (b)(vii).
(f) Costs claimed, agreed to, or determined pursuant to
(c),(d),(e), and (i) hereof shall be in accordance with Section XV of
the Armed Services Procurement Regulation as in effect on the date
of this contract.
(g) The Contractor shall have the right of appeal, under
the clause of this contract entitled "Disputes", from any determina-
tion made by the Contracting Officer under paragraph (c),(e), or (i)
hereof, except that if the Contractor has failed to submit his claim
within the time provided in paragraph (c) or (i) hereof, and has
failed to request extension of such time, he shall have no such right
of appeaL In any case where the Contracting Officer had made a
determination of the amount due under paragraph (c),(e) or (i)
hereof, the Government shall pay to the Contractor the following:
(i) if there is no right of appeal hereunder or if no timely appeal has
been taken, the amount so determined by the Contracting Officer,
or (ii) if an appeal has been taken, the amount finally determined on
such appeal.
(h) In arriving at the amount due the Contractor under
this clause there shall be deducted (i) all unliquidated advance or
other payments on account theretofore made to the Contractor,
applicable to the terminated portion of this contract, (ii) any claim
which the Government may have against the Contractor in
connection with this contract, and (iii) the agreed price for, or the
proceeds of sale of, any materials, supplies, or other things acquired
by the Contractor or sold, pursuant to the provisions of this clause,
and not otherwise recovered by or credited to the Government.
(i) If the termination hereunder be partial, the Contractor
may file with the Contracting Officer a claim for an equitable
adjustment of the price or prices specified in the contract relating to
the continued portion of the contract (the portion not terminated
by the Notice of Termination), and such equitable adjustment as
may be agreed upon shall be made in such price or prices. Any claim
by the Contractor for an equitable adjustment under this clause
must be asserted within ninety (90) days from the effective date of
the termination notice, unless an extension is granted in writing by
the Contracting Officer.
()) The Government may from time to time, under such
terms and conditions as it may prescribe, make partial payments and
payments on account against costs incurred by the Contractor in
connection with the terminated portion of this contract whenever in
the opinion of the Contracting Officer the aggregate of such
payments shall be within the amount to which the Contractor will
be entitled hereunder. If the total of such payments is in excess of
the amount finally agreed or determined to be due under this clause,
such excess shall be payable by the Contractor to the Government
upon demand, together with interest computed at the race estab-
lished by the Secretary of the Treasury pursuant to Public Law
92-41, 85 STAT 97 for the Renegotiation Board, for the period
from the date such excess payment is received by the Contractor to
the date on which excess is repaid to the Government; provided,
however, that no interest shall be charged with respect to any such
excess payment attributable to a reduction in the Contractor's claim
by reason of retention or other disposition of termination inventory
until ten days after the date of such retention or disposition, or such
later date as determined by the Contracting Officer by reason of the
circumstances.
(k) Unless otherwise provided for in this contract, or by
applicable statute, the Contractor shall-from the effective date of
termination until the expiration of three years after final settlement
under this contract-preserve and make available to the Government
at all reasonable times at the office of the Contractor but without
direct charge to the Government, all his books, records, documents
and other evidence bearing on the costs and expenses of the
Contractor under this contract and relating to the work terminated
hereunder, or, to the extent approved by the Contracting Officer,
photographs, microphotographs, or other authentic reproductions
thereof. (ASPR 7-602.29(a))
19. PAYMENT OF INTEREST ON CONTRACTORS'
CLAIMS (1976 JUL).
(a) If an appeal is filed by the Contractor from a final
decision of the Contracting Officer under the DISPUTES clause of
this contract, denying a claim arising under the contract, simple
interest on the amount of the claim finally determined owed by the
Government shall be payable to the Contractor. Such interest shall
be at the rate established by the Secretary of the Treasury pursuant
to Public Law 92-41; 85 STAT 97, from the date the Contractor
furnishes to the Contracting Officer his written appeal under the
DISPUTES clause of this contract, to the date of (i) a final
judgment by a court of competent jurisdiction, or (ii) mailing to the
Contractor of a supplemental agreement for execution either
confirming completed negotiations between the parties or carrying
out a decision of a board of contract appeals.
(b) Notwithstanding (a) above, (i) interest shall be applied
only from the date payment was due, if such date is later than the
filing of appeal; and (ii) interest shall not be paid for any period of
time that the Contracting Officer determines the Contractor has
unduly delayed in pursuing his remedies before a board of contract
appeals or a court of competent jurisdiction. (ASPR 7-104.82)
20. PRICING OF ADJUSTMENTS (1970 JUL)
When costs are a factor in any determination of a contract
price adjustment pursuant to the "Changes" clause or any other
provision of this contract, such costs shall be in accordance with
Section XV of the Armed Services Procurement Regulation as in
effect on the date of this contract. (ASPR 7-103.26)
21. PATENT INDEMNITY (1964 JUN)
Except as otherwise provided, the Contractor agrees to
indemnify the Government and its officers, agents, and employees
against liability, including costs and expenses, for infringement upon
any Letters Patent of the United States (except Letters Patent
issued upon an application which is now or may hereafter be, for
reasons of national security, ordered by the Government to be kept
secret or otherwise withheld from issue) arising out of the perfor-
mance of this contract or out of the use or disposal by or for the
account of the Government of supplies furnished or construction
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work performed hereunder. (ASPR 7-602.16)
22. ADDITIONAL BOND SECURITY (1976 OCT)
If any surety upon any bond furnished in connection with
this contract becomes unacceptable to the Government, or if any
such surety fails to furnish reports as to his financial condition from
time to time as requested by the Government, or if the contract
price is increased to such an extent that the penal sum of any bond
becomes inadequate in the opinion of the Contracting Officer, the
Contractor shall promptly furnish such additional security as may
be required from time to time to protect the interests of the
Government and of persons supplying labor or materials in the
prosecution of the work contemplated by this contract. (ASPR 7-
602.17)
23. EXAMINATION OF RECORDS BY COMPTROL-
LER GENERAL (1975 JUN)
(a) This clause is applicable if the amount of this contract
exceeds $10,000 and was entered into by means of negotiation,
including small business restricted advertising, but is not applicable
if this contract was entered into by means of formal advertising.
(b) The Contractor agrees that the Comptroller General of
the United States or any of his duly authorized representatives shall,
until the expiration of three years after final payment under this
contract or such lesser time specified in either Appendix M of the
Armed Service Procurement Regulation or the Federal Procurement
Regulations Part 1-20, as appropriate, have access to and the right to
examine any directly pertinent books, documents, papers, and
records of the Contractor involving transactions related to this
contract,
(c) The Contractor further agrees to include in all his
subcontracts hereunder a provision to the effect that the subcon-
tractor agrees that the Comptroller General of the United States or
any of his duly authorized representatives shall, until the expiration
of three years after' final payment under the subcontract or such
lesser time specified in either Appendix M of the Armed Services
Procurement Regulation or the Federal Procurement Regulations
Part 1-20, as appropriate, have access to and the right to examine
any directly pertinent books, documents, papers, and records of
such subcontractor, involving transactions related to the subcon-
tract. The terms "subcontract" as used in this clause excludes (i)
purchase orders not exceeding 110,000 and (ii) subcontracts or
purchase orders for public utility services at rates established for
uniform applicability to the general public,
(d) The periods of access and examination described in (b)
and (c) above for records which relate to (i) appeals under the
"Disputes" clause of this contract, (ii) litigation or the settlement of
claims arising out of the performance of this contract, or (iii) costs
and expenses of this contract as to which exception has been taken
by the Comptroller General or any of his duly authorized
representatives, shall continue until such appeals, litigation, claims
or exceptions have been disposed of. (ASPR 7-104.15)
24. BUY AMERICAN (1966 OCT)
(41 U.S.C. IOa-10d), the Contractor agrees that only domestic
construction material will be used (by the Contractor, subcontrac-
tors, materialmen, and suppliers) in the performance of this
contract, except for nondomestic construction material listed in-the
"Nondomestic Construction Materials" clause, if any, of this
contract.
(b) Domestic construction material, "Construction mate-
rial" means any article, material, or supply brought to the
construction site for incorporation in the building or work. An
unmanufactured construction material is a "domestic construction
material" if it has been mined or, produced in the United States. A
manufactured construction material is a "domestic construction
material" if it has been manufactured in the United States and if the
cost of its components which have been mined, produced, or
manufactured in the United States exceeds 50 percent of the cost of
all its components. "Component" means any article, material, or
supply directly incorporated in a construction material.
(c) Domestic component. A component shall be con-
sidered to have been "mined, produced, or manufactured in the
United States" (regardless of its source in fact) if the article,
material, or supply in which it is incorporated was manufactured in
the United States and the component is of a class or kind
determined by the Government to be not mined, produced, or
manufactured in the United States in sufficient and reasonably
available commercial quantities and of a satisfactory quality. (ASPR
7-602.20)
25. EQUAL OPPORTUNITY (1976 JUL)
(The following clause is not applicable if this contract is
exempt under ASPR 12-805. Exemptions include contracts and
subcontracts not exceeding $ 10,000, and work under contracts and
subcontracts which is to be performed outside the United States by
employees who were not recruited within the United States.)
During the performance of this contract, the Contractor
agrees as follows:
(a) The Contractor will not discriminate against any
employee or applicant for employment because of race, color,
religion, sex, or national origin. The Contractor will take affirmative
action to ensure that applicants are employed, and that employees
are treated during employment, without regard to their race, color,
religion, sex, or national origin. Such action shall include, but not be
limited to, the following: Employment upgrading, demotion, or
transfer, recruitment or recruitment advertising: layoff or termina-
tion; rates of pay or other forms of compensation; selection for
training, including apprenticeship. The Contractor agrees to post in
conspicuous places, available to employees and applicants for
employment, notices to be provided by the Contracting Officer
setting forth the provisions of this Equal Opportunity clause.
(b) The Contractor will, in all solicitations or
advertisements for employees placed by or on behalf of the
Contractor, state that all qualified applicants will receive
consideration for employment without regard to race, color,
religion, sex, or national origin.
(c) The Contractor will send to each labor union or
representative of workers with which he has a collective bargaining
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agreement or other contract or understanding a notice to be
provided by the agency Contracting Officer, advising the labor
union or workers' representative of the Contractor's commitments
under this Equal Opportunity clause and shall post copies of the
notice in conspicuous places available to employees and applicants
for employment.
(d) The Contractor will comply with all provisions of
Executive Order No. 11246 of September 24, 1965, as amended by
Executive Order No. 11375 of October 13, 1967, and of the rules,
regulations, and relevant orders of the Secretary of Labor.
(e) The Contractor will furnish all information and
reports required by Executive Order No. 11246 of September 24,
1965, as amended by Executive Order No. 11375 of October 13,
1967, and by the rules, regulations, and orders of the Secretary of
Labor or pursuant thereto, and will permit access to his books,
records, and accounts by the contracting agency and the Secretary
of Labor for purposes of investigation to ascertain compliance with
such rules, regulations, and orders.
(f) In the event of the Contractor's noncompliance with
the Equal Opportunity clause of this contract or with any of the
said rules, regulations, or orders, this contract may be cancelled,
terminated, or suspended, in whole or in part, and the Contractor
may be declared ineligible for further Government contracts in
accordance with procedures authorized in Executive Order No.
11246 of September 24, 1965, as amended by Executive Order No.
11375 of October 13, 1967, and such other sanctions may be
imposed and remedies invoked as provided in Executive Order No.
11246 of September 24, 1965, as amended by Executive Order No.
11375 of October 13, 1967, or by rule, regulation, or order of the
Secretary of Labor, or as otherwise provided by law.
(g) The Contractor will include the provisions of
Paragraphs (a) through (g) in every subcontract or purchase order
unless exempted by rules, regulations, or orders of the Secretary of
Labor issued pursuant to Section 204 of Executive Order No. 11 246
of September 24, 1965, as amended by Executive Order No. 11375
of October 13, 1967, so that such provisions will be binding upon
each subcontractor or vendor, The Contractor will take such action
with respect to any subcontract or purchase order as the contracting
agency may direct as a means of enforcing such provisions, including
sanctions for noncompliance: Protided however, that in the event
the Contractor becomes involved in, or is threatened with, litigation
with a subcontractor or vendor as a result of such direction by the
contracting agency, the Contractor may request the United States to
enter into such litigation to protect the interests of the United
States,
26, COVENANT AGAINST CONTINGENT FEES (1958
JAN)
The Contractor warrants that no person or selling agency has
been employed or retained to solicit or secure this contract upon an
agreement or understanding for a commission, percentage, broker,
age, or contingent fee, excepting bona fide employees or bona fide
established commercial or selling agencies maintained by the
Contractor for the purpose of securing business. For breach or
violation of this warranty the Government shall have the right to
annul this contract without liability or in its discretion to deduct
from the contract price or consideration, or otherwise recover, the
full amount of such commission, percentage, brokerage, or contin-
gent fee. (ASPR 7-103.20)
No member of Congress or resident Commissioner shall be
admitted to any share or part of this contract, or to any benefit that
may arise therefrom; but this provision shall not be construed to
extend to this contract if made with a corporation for its general
benefit. (ASPR 7-602.19)
In connection with the performance of work under this con-
tract, the Contractor agrees not to employ any person undergoing
sentence of imprisonment except as provided by Public Law 89-176,
September 10, 1965 (18 U.S.C. 408(c)(2)) and Executive Order
11755, December 29, 1973. (ASPR 7.104.17)
29. UTILIZATION OF SMALL BUSINESS CONCERNS
(1958 JAN)
(a) It is the policy of the Government as declared by the
Congress that a fair proportion of the purchases and contracts for
supplies and services for the Government be placed with small
business concerns.
(b) The Contractor agrees to accomplish the maximum
amount of subcontracting to small business concerns that the
Contractor finds to be consistent with the efficient performance of
this contract. (ASPR 7-602.26 (a))
30. UTILIZATION OF MINORITY BUSINESS ENTER-
PRISES (1971 NOV)
(a) It is the policy of the Government that Minority
Business Enterprises shall have the maximum practicable
opportunity to participate in the performance of Government
contracts.
(b) The Contractor agrees to use his best efforts to carry
out this policy in the award of his subcontracts to the fullest extent
consistent with the efficient performance of this contract. As used
in this contract, the term "minority business enterprise" means a
business, at least 50 percent of which is owned by minority group
members or, in case of publicly-owned businesses, at least 51
percent of the stock of which is owned by minority group members.
For the purposes of this definition, minority group members are
Negroes, Spanish-speaking Americans, persons American-Orientals,
Arne rican-Indians, American Eskimos, and American Aleuts.
Contractors may rely on written representations by subcontractors
regarding their status as minority business enterprises in lieu of an
independent investigation. (ASPR 7-104.36(a))
31, FEDERAL, STATE, AND LOCAL TAXES (1971
NOV)
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the contract price includes all applicable Federal, State, and local
taxes and duties.
(b) Nevertheless, with respect to any Federal excise tax or
duty on the transactions or property covered by this contract, if a
statute, court decision, written ruling, or regulation takes effect
after the contract date and-
(1) results in the Contractor being required to pay
or bear the burden of any such Federal excise tax or duty or
increase in the rate thereof which would not otherwise have been
payable on such transactions or property, the contract price shall be
increased by the amount of such tax or duty or rate increase,
provided the Contractor warrants in writing that no amount for
such newly imposed Federal excise tax or duty or rate increase was
included in the contract price as a contingency reserve or otherwise;
or
(2) results in the Contractor not being required to
pay or bear the burden of, or in his obtaining a refund or drawback
of, any such Federal excise tax or duty which would otherwise have
been payable on such transactions or property or which was the
basis of an increase in the contract price, the contract price shall be
decreased by the amount of the relief, refund, or drawback, or that
amount shall be paid to the Government, as directed by the
Contracting Officer. The contract price shall be similarly decreased
if the Contractor, through his fault or negligence or his failure to
follow instructions of the Contracting Officer, is required to pay or
bear the burden off or does not obtain a refund or drawback of, any
such Federal excise tax or duty.
(c) Paragraph (b) above shall not be applicable to social
security taxes or to any other employment tax.
(d) No adjustment of less than $ 100 shall be made in the
contract price pursuant to paragraph (b) above.
(e) As used in paragraph (b) above, the term "contract
date" means the date set for bid opening, or if this is a negotiated
contract, the contract date. As to additional supplies or services
procured by modification to this contract, the term "contract date"
means the date of such modification.
(f) Unless there does not exist any reasonable basis to
sustain an exemption, the Government upon the request of the
Contractor shall, without further liability, furnish evidence appro-
priate to establish exemption from any Federal, State, or local tax;
provided that, evidence appropriate to establish exemption from
any Federal excise tax or duty which may give rise to either an
increase or decrease in the contract price will be furnished only at
the discretion of the Government.
(g) The Contractor shall promptly notify the Contracting
Officer of matters which will result in either an increase or decrease
in the contract price, and shall take action with respect thereto as
directed by the Contracting Officer. (ASPR 7-103.10 (a))
32. CONTRACTOR INSPECTION SYSTEM (1964 NOV)
The Contractor shall (i) maintain an adequate inspection
system and perform such inspections as will assure that the work
performed under the contract conforms to contract requirements,
and (ii) maintain and make available to the Government adequate
records of such inspection. (ASPR 7-602.10)
33. GRATUITIES (1952 MAR)
(a) The Government may, by written notice to the
Contractor, terminate the right of the Contractor to proceed under
this contract if it is found, after notice and hearing by the Secretary
or his duly authorized representative, that gratuities (in the form of
entertainment, gifts, or otherwise) were offered or given by the
Contractor, or any agent or representative of the Contractor, to any
officer or employee of the Government with a view toward securing
a contract or securing favorable treatment with respect to the
awarding or amending, or the making of any determinationswith
respect to the performing, of such contract; provided, that the
existence of the facts upon which the Secretary or his duly
authorized representative makes such findings shall be in issue and
may be reviewed in any competent court.
(b) In the event this contract is terminated as provided in
paragraph (a) hereof, the Government shall be entitled (i) to pursue
the same remedies against the Contractor as it could pursue in the
event of a breach of the contract by the Contractor, and (ii) as a
penalty in addition to any other damages to which it may be
entitled by law, to exemplary damages in an amount (as determined
by the Secretary or his duly authorized representative) which shall
be not less than three nor more than ten times the cost incurred by
the Contractor in providing any such gratuities to any such officer
or employee.
(c) The rights and remedies of the Government provided
in this clause shall not be exclusive and are in addition to any other
rights and remedies provided by law or under this contract. (ASPR
7-602.25)
34. RENEGOTIATION (1959 OCT)
(a) To the extent required by law, this contract is subject
to the Renegotiation Act of 1951 (50 U.S.C. App. 1211 et seq.) as
amended, and to any subsequent act of Congress providing for the
renegotiation of contracts. Nothing contained in this clause shall
impose any renegotiation obligation with respect to this contract or
any subcontract hereunder which is not imposed by an act of
Congress heretofore or hereafter enacted. Subject to the foregoing
this contract shall be deemed to contain all the provisions required
by Section 104 of the Renegotiation Act of 1951, and by any such
other act, without subsequent contract amendment specifically
incorporating such provisions.
(b) The Contractor agrees to insert the provisions of this
clause, including this paragraph (b), in all subcontracts, as that term
is defined in Section 103g of the Renegotiation Act of 1951, as
amended. (ASPR 7-103.13)
35. NOTICE AND ASSISTANCE REGARDING PAT-
ENT AND COPYRIGHT INFRINGEMENT (1965
JAN)
The provisions of this clause shall be applicable only if the
amount of this contract exceeds $ 10,000.
(a) The Contractor shall report to the Contracting Officer,
promptly and in reasonable written detail each notice or claim of
patent or copyright infringement based on the performance of this
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contract of which the Contractor has knowledge.
(b) In the event of any claim or suit against the
Government on account of any alleged patent or copyright
infringement arising out of the performance of this contract or out
of the use of any supplies furnished or work or services performed
hereunder, the Contractor shall furnish to the Government, when
requested by the Contracting Officer, all evidence and information
in possession of the Contractor pertaining to such suit or claim.
Such evidence and information shall be furnished at the expense of
the Government except where the Contractor has agreed to
indemnify the Government.
(c) This clause shall be included in all subcontracts.
(ASPR 7-103.23)
36. AUTHORIZATION AND CONSENT (1964 MAR)
The Government hereby gives its authorization and consent
(without prejudice to its rights of indemnification, if such rights are
provided for in the contract) for all use and manufacture, in the
performance of this contract or any part thereof or any amendment
hereto or any subcontract hereunder (including any lower-tier
subcontract), of any patented invention (i) embodied in the
structure or composition of any article the delivery of which is
accepted by the Government under this contract, or (ii) utilized in
the machinery, tools, or methods the use of which necessarily
results from compliance by the Contractor or the using subcon-
tractor with (a) specifications or written provisions now or hereafter
forming a part of this contract, or (b) specific written instructions
given by the O1CC directing the manner of performance. The
Contractor's entire liability to the Government for patent infringe-
ment shall be determined solely by the provisions of the indemnity
clause, if any, included in the contract and the Government assumes
liability for all other infringement to the extent of the authorization
and consent hereinabove granted. (ASPR 7-103.22)
If the Contractor hereunder is comprised of more than one
legal entity, each such entity shall be jointly and severally liable
hereunder. (ASPR 7-602.32)
38. SITE INVESTIGATION (1965 JAN)
The Contractor acknowledges that he has investigated and
satisfied himself as to the conditions affecting the work, including
but not restricted to those bearing upon transportation disposal,
handliog and storage of materials, availability of labor, water,
electric power, roads and uncertainties of weather, river states, tides
or similar physical conditions at the site, the conformation and
conditions of the ground, the character of equipment and facilities
needed preliminary to and during prosecution of the work. The
Contractor further acknowledges that he has satisfied himself as to
the character, quality and quantity of surface and subsurface
materials or obstacles to be encountered insofar as this information
is reasonably ascertainable from an inspection of the site, including
all exploratory work done by the Government, as well as from
information presented by the drawings and specifications made a
part of this contract. Any failure by the Contractor to acquaint
himself with the available information will not relieve him from
responsibility for estimating properly the difficulty or cost of
successfully performing the work. The Government assumes no
responsibility for any conclusions or interpretations made by the
Contractor on the basis of the information made available by the
Government. (ASPR 7-602.33)
39. PROTECTION OF EXISTING VEGETATION,
STRUCTURES, UTILITIES, AND IMPROVEMENT
(1965 JAN)
(a) The Contractor will preserve and protect all existing
vegetation such as trees, shrubs, and grass on or adjacent to the site
of work which is not to be removed and which does not
unreasonably interfere with the construction work. Care will be
taken in removing trees authorized for removal to avoid damage to
vegetation to remain in place. Any limbs or branches of trees broken
during such operations or by the careless operation of equipment, or
by workmen, shall be trimmed with a clean cut and painted with an
approved tree pruning compound as directed by the Contracting
Officer.
(b) The Contractor will protect from damage all existing
improvements or utilities at or near the site of the work, the
location of which is made known to him, and will repair or restore
any damage to such facilities, resulting from failure to comply with
the requirements of this contract or the failure to exercise
reasonable care in the performance of the work. If the Contractor
fails or refuses to repair any such damage promptly, the Contracting
Officer may have the necessary work performed and charge the cost
thereof to the Contractor. (ASPR 7-602.34)
(a) All operations of the Contractor (including storage of
materials) upon Government premises shall be confined to areas
authorized or approved by the Contracting Officer. The Contractor
shall hold and save the Government, its officers and agents, free and
harmless from liability of any nature occasioned by his operations.
(b) Temporary buildings (storage sheds, shops. offices,
etc,) may be erected by the Contractor only with the approval of
the Contracting Officer, and shall be built with labor and materials
furnished by the Contractor without expense to the Government.
Such temporary buildings and utilities shall remain the property of
the Contractor and shall be removed by him at his expense upon the
completion of the work. With the written consent of the Contract-
ing Officer, such buildings and utilities may be abandoned and need
not be removed.
(c) The Contractor shall, under regulations prescribed by
the Contracting Officer, use only established roadways or construct
and use such temporary roadways as may be authorized by the
Contracting Officer. Where materials are transported in the prosecu-
tion of the work, vehicles shall not be loaded beyond the loading
capacity recommended by the manufacturer of the vehicle or
prescribed by any Federal, State or local law or regulation. When it
is necessary to cross curbings or sidewalks, protection against
damage shall be provided by the Contractor and any damaged roads,
curbings, or sidewalks shall be repaired by or at the expense of the
Contractor. (ASPR 7-602.35)
41. MODIFICATION PROPOSALS-PRICE BREAK-
DOWN (1968 APR)
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for a contract modification, shall furnish a price breakdown,
iteiniled as required by the Contracting Officer. Unless otherwise
directed, the breakdown shall be in sufficient details to permit an
analysis of all material, labor, equipment, subcontract, and overhead
costs, as well as profit, and shall cover all work involved in the
modification, whether such work was deleted, added or changed.
Any amount claimed for subcontracts shall be supported by a
similar price breakdown. In addition, if the proposal includes a time
extension, a justification thereof shall also be furnished. The
proposal, together with the price breakdown and time extension
justification, shall be furnished by the date specified by the
Contracting Officer. (ASPR 7-602.36)
42. SUBCONTRACTORS (1972 FEB)
Within seven days after the award of any subcontract either
by himself or a subcontractor, the Contractor shall deliver to the
Contracting Officer a statement setting forth the name and address
of the subcontractor and a summary description of the work
subcontracted. The Contractor shall at the same time furnish a
statement signed by the subcontractor acknowledging the inclusion
in his subcontract of the clauses of this contract entitled "Equal
Opportunity," "Davis-Bacon Act," "Contract Work Hours and
Safety Standards Act- Overtime Compensation," "Apprentices and
Trainees," "Payrolls and Basic Records," "Compliance with Cope-
land Regulations," "Withholding of Funds," "Subcontracts" and
"Contract Termination Debarment." Nothing contained in this
contract shall create any contractual relation between the subcon-
tractor and the Government. (ASPR 7-602,37)
43. CLEANING UP (1965 JAN)
The Contractor shall at all times keep the construction area,
including storage areas used by him, free from accumulations of
waste material or rubbish and prior to completion of the work
remove any rubbish from the premises and all tools, scaffolding,
equipment, and materials not the property of the Government.
Upon completion of the construction the Contractor shall leave the
work and premises in a clean, neat and workmanlike condition
satisfactory to the Contracting Officer. (ASPR 7-602.40)
44. ADDITIONAL DEFINITIONS (1965 JAN)
(a) Wherever in the specifications or upon the drawings
the words "directed," "required." "ordered," "designated,"
"prescribed," or words of like importare used. it shall be under-
stood that the "direction." "requirement," "order," "designation,"
or "prescription," of the Contracting Officer is intended and
similarly the words "approved," "acceptable." "satisfactory" or
wordsof like import shall mean "approved by" or "acceptable to"
or "satisfactory to" the Contracting Officer, unless otherwise
expressly stated.
(b) Where "as shown," "as indicated," "as detailed," or
words of similar import are used, it shall be understood that the
reference is made to the drawings accompanying this contract unless
stated otherwise. The word "provided" as used herein shall be
understood to mean "provided complete in place," that is
"furnished and installed," (ASPR 7-602.41)
the life and health of employees and other persons; for prevention
of damage to property, materials, supplies, and equipment; and for
avoidance of work interruptions in the performance of this contract,
the. Contractor shall comply with all pertinent provisions of Corps
of Engineers Manual, EM 385 1-1, dared 1 March 1967 entitled
"General Safety Requirements," as amended, and will also take or
cause to be taken such additional measures as the Contracting
Officer may determine to be reasonably necessary for the purpose.
Copies of this Manual may be obtained from the Government
Printing Office, Wash., D,C. 20402 at 55 cents per cops.
(b) The Contractor will maintain an accurate record of,
and will report to the Contracting Officer in the manner and on the
forms prescribed by the Contracting Officer, exposure data and all
accidents resulting in death, traumatic injury, occupational disease,
and damage to property, materials, supplies and equipment incident
to work performed under this contract.
(c) The Contracting Officer will notify the Contractor of
any noncompliance with the foregoing provisions and the action to
be taken. The Contractor shall, after receipt of such notice,
immediately take corrective action. Such notice, when delivered to
the Contractor or his representative at the site of the work, shall be
deemed sufficient for the purpose. If the Contractor fails or refuses
to comply promptly, the Contracting Officer may issue an order
stopping all or part of work until satisfactory corrective action has
been taken. No part of the time lost due to any such stop orders
shall be made the subject of claim for extension of time or for
excess costs or damages by the Contractor.
(d) Compliance with the provisions of this article by
subcontractors will be the responsibility of the Contractor.
If the contract involves more than 6 months work or is
described as hazardous character in the Invitation for Bids,
Schedule, or Specifications, the following paragraph (e) will apply.
(1) submit in writing his proposals for effectuating -
this provision for accident prevention;
(2) meet in conference with representatives of the
Contracting Officer to discuss and develop mutual understandings
relative to administration of the over-all safety program. (ASPR
7-602,42)
46. GOVERNMENT INSPECTORS (1965 JAN)
The work will be conducted under the general direction of
the Contracting Officer and is subject to inspection by his appointed
inspectors to insure strict compliance with the terms of the
contract. No inspector is authorized to change any provision of the
specifications without written authorization of the Contracting
Officer, nor shall the presence or absence of an inspector relieve the
Contractor from any requirements of the contract, (ASPR
7-602,43)
47. RIGHTS IN SHOP DRAWINGS (1966 APR)
(a) Shop drawings for construction means drawings sub
mitted to the Government by the Construction Contractor. subcon-
tractor or an
lowe
ti
t
b
r
y
r
er su
contrac
o
pursuant to a construction
In order to provide safety controls for protection to
contract, showing in detail the ro osed fabrication and
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assembly of structural elements and (ii) the installation (he., form,
fit, and attachment details) of materials or equipment. The
Government may duplicate, use and disclose in any manner and for
any purpose shop drawings delivered under this contract.
(b) This clause, including this paragraph (b), shall be
included in all subcontracts hereunder at any tier. (ASPR 7-602.47)
48. PRIORITIES, ALLOCATIONS, AND ALLOT-
MENTS (1975 OCT)
(The following clause is applicable to rateable contracts.)
The Contractor shall follow the provisions of DMS Reg. 1 or
DPS Reg. I and all other applicable regulations and orders of the
Bureau of Domestic Commerce in obtaining controlled materials
and other products and materials needed to fill this order. (ASPR
7-104.18)
49. PRICE REDUCTION FOR DEFECTIVE COST OR
PRICING DATA-PRICE ADJUSTMENTS (1970
JAN)
(a) This clause shall become operative only with respect
to any modification of this contract which involves aggregate
increases and/or decreases in costs plus applicable profits in excess
of $ 100,000 unless the modification is priced on the basis of
adequate competition, established catalog or market prices of
commercial items sold in substantial quantities to the general public,
or prices set by law or regulation. The right to price reduction under
this clause is limited to defects in data relating to such modification.
(b) If any price, including profit, or fee, negotiated in
connection with any price adjustment under this contract was
increased by any significant sums because:
(i) . the Contractor furnished cost or pricing data
which was not complete, accurate and current as certified in the
Contractor's Certificate of Current Cost or Pricing Data;
(ii) a subcontractor, pursuant to the clause of this
contract entitled "Subcontractor Cost or Pricing Data" or "Subcon-
tractor Cost or Pricing Data-Price Adjustments" or any subcontract
clause therein required, furnished cost or pricing data which was not
complete, accurate and current as certified in the subcontractor's
Certificate of Current Cost or Pricing Data;
(iii) a subcontractor or prospective subcontractor
furnished cost or pricing data which was required to be complete,
accurate and current and to be submitted to support a subcontract
cost estimate furnished by the Contractor but which was not
complete, accurate and current as of the date certified in the
Contractor's Certificate of Current Cost or Pricing Data; or
tive subcontractor furnished any data, not within (i), (ii) or (iii)
above, which was not accurate, as submitted; the price shall be
reduced accordingly and the contract shall be modified in writing as
may be necessary to reflect such reduction. However, any reduction
in the contract price due to defective subcontract data of a
prospective subcontractor, when the subcontract was not sub-
sequently awarded to such subcontractor, will be limited to the
amount (plus applicable overhead and profit markup) by which the
actual subcontract, or actual cost to the Contractor if there was no
subcontract, was less than the prospective subcontract cost estimate
submitted by the Contractor, provided the actual subcontract price
was not affected by defective cost or pricing data.
Note: Since the contract is subject to reduction under this
clause by reason of defective cost or pricing data submitted in
connection with certain subcontracts, it is expected that the
Contractor may wish to include a clause in each such subcontract
requiring the subcontractor to appropriately indemnify the Contrac-
tor. However, the inclusion of such a clause and the terms thereof
are matters for negotiation and agreement between the Contractor
and the subcontractor, provided that they are consistent with ASPR
23-203 relating to Disputes provisions in subcontracts. It is also
expected that any subcontractor subject to such indemnification
will generally require substantially similar indemnification for
defective cost or pricing data required to be submitted by his lower
tier subcontractors. (ASPR 7-104.29 (b))
50. INTEREST (1972 MAY)
Notwithstanding any other provision of this contract, unless
paid within 30 days all amounts that become payable by the
Contractor to the Government under this contract (net of any
applicable tax credit under the internal Revenue Code) shall bear
interest from the date due until paid and shall be subject to
adjustments as provided by Part 6 of Appendix E of the Armed
Services Procurement Regulation, as in effect on the date of this
contract. The interest rate per annum shall be the interest rate in
effect which has been established by the Secretary of the Treasury
pursuant to Public Law 92-41; 85 STAT 97 for the Renegotiation
Board, as of the date the amount becomes due as herein provided.
Amounts shall be due upon the earliest one of (i) the date fixed
pursuant to this contract; (ii) the date of the first written demand
for payment, consistent with this contract, including demand
consequent upon default termination; (iii) the date of transmittal by
the Government to the Contractor of a proposed supplemental
agreement to confirm completed negotiations fixing the amount; or
(iv) if this contract provides for revision of prices, the date of
written notice to the Contractor stating the amount of refund
payable in connection with a pricing proposal or in connection with
a negotiated pricing agreement not confirmed by contract supple-
ment. (ASPR 7-104.39)
51. AUDIT BY DEPARTMENT OF DEFENSE (1975
JUN)
(The following clause is applicable unless this contract was
entered into by formal advertising and is not in excess of $100,000)
(a) General. The Contracting Officer or his representatives
shall have the audit and inspection rights described in the applicable
paragraphs (b). (c) and (d) below.
(b) Examination of Costs. If this is a cost reimbursement
type, incentive. time and materials, labor hour, or price redetermi-
nable contract, or any combination thereof, the Contractor shall
maintain, and the Contracting Officer or his representatives shall
have the right to examine books, records, documents, and other
evidence and accounting procedures and practices, sufficient to
reflect properly all direct and indirect costs of whatever nature
claimed to have been incurred and anticipated to be incurred for the
performance of this contract. Such right of examination shall
include inspection at all reasonable times of the Contractor's plants,
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or such parts thereof, as may be engaged in the performance of this
contract.
(c) Cost or Pricing Data. If the Contractor submitted cost
or pricing data in connection with the pricing of this contract or any
change or modification thereto, unless such pricing was based on
adequate price competition. established catalog or market prices of
commercial items sold in substantial quantities to the general public,
or prices set by law or regulation, the Contracting Officer or his
representatives who are employees of the United States Government
shall have the right to examine all books, records, documents and
other data of the Contractor related to the negotiation, pricing or
performance of such contract, change or modification, for the
purpose of evaluating the accuracy, completeness and currency of
the cost or pricing data submitted. Additionally, in the case of
pricing any change or modification exceeding $100,000 to formally
advertised contracts, the Comptroller General of the United States
or his representatives who are employees of the United States
Government shall have such rights. The right of examination shall
extend to all documents necessary to permit adequate evaluation of
the cost or pricing data submitted, along with the computations and
projections used therein.
(d) Reports. If the Contractor is required to furnish Cost
Information Reports (CIR) or Contract Fund Status Reports
(CFSR), the Contracting Officer or his representatives shall have the
right to examine books, records, documents, and supporting
materials, for the purpose of evaluating (i) the effectiveness of the
Contractor's policies and procedures to produce data compatible
with the objectives of these reports, and (ii) the data reported.
(e) Availability. The materials described in (h), (c) and (d)
above shall be made available at the office of the Contractor, at all
reasonable times, for inspection, audit, or reproduction, until the
expiration of three years from the date of final payment under this
contract or such lesser time specified in Appendix M of the Armed
Services Procurement Regulation, and for such longer period, if any,
as is required by applicable statute, or by other clauses of this
contract, or by (1) and (2) below:
(1) If this contract is completely or partially
terminated, the records relating to the work terminated shall be
made available for a period of three years from the date of any
resulting final settlement.
(2) Records which relate to appeals under the
"Disputes" clause of this contract, or litigation or the settlement of
claims arising out of the performance of this contract. shall be made
available until such appeals, litigation, or claims have been disposed
of.
(f) The Contractor shall insert a clause containing all the
provisions of this clause, including this paragraph (f, in all
subcontracts exceeding $10,000 hereunder, except altered as
necessary for proper identification of the contracting parties and the
Contracting Officer under the Government prime contract. (ASPR
7-104.41)
52. SUBCONTRACTOR COST OR PRICING
DATA-PRICE ADJUSTMENTS (1970 JAN)
(a) Paragraphs (b) and (c) of this clause shall become
operative only with respect to any modification made pursuant to
increases and/or decreases in costs plus applicable. profits expected
to exceed 5100,000. The requirements of this clause shall be limited
to such modifications. --
(b) The Contractor shall require subcontractors hereunder
to submit cost or pricing data under the following-circumstances: (i)
prior to the award of any subcontract the amount of which its
expected to exceed $100,000 when entered into; (ii) prior to the
pricing of any subcontract modification which involves aggregate
increases and/or decreases in costs plus applicable profits expected
to exceed $100,000; except where the price is based on adequate
price competition, established catalog or market prices of commer-
cial items sold in substantial quantities to the general public, or
prices set by law or regulation.
(c) The Contractor shall require subcontractors to certify
that to the best of their knowledge and belief the cost and pricing
data submitted under (b) above is accurate, complete. and current as
of the date of agreement on the negotiated price of the subcontract
or subcontract change or modification.
(d) The Contractor shall insert the substance of this clause
including this paragraph (d) in each subcontract which exceeds
$100,000. (ASPR 7-104.42 (b))
53. GOVERNMENT-FURNISHED PROPERTY (SHORT
FORM) (1964 NOV)
(a) The Government shall deliver to the Contractor, for
use only in connection with this contract, the property described in
the schedule or specifications (hereinafter referred to as "Govern-
ment-furnished property"), at the times and locations stated
therein. If the Government-furnished property, suitable for its
intended use, is not so delivered to the Contractor, the Contracting
Officer shall. upon timely written request made by the Contractor,
and if the facts warrant such action, equitably adjust any affected
provision of this contract pursuant to the procedures of the
"Changes" clause hereof.
(b) Title to Government-furnished property shall remain
in the Government. The Contractor shall maintain adequate
property control records of Government-furnished property in
accordance with sound industrial practice.
(c) Unless otherwise provided in this contract, the Con-
tractor, upon delivery to him of any Government-furnished
property, assumes the risk of, and shall be responsible for, any loss
thereof or damage thereto except for reasonable wear and tear, and
except to the extent that such property is consumed in the
performance of this contract.
(d) The Contractor shall, upon completion of this con
tract, prepare for shipment, deliver f,o.b. origin, or dispose of all
Government-furnished property not consumed in the performance
of this contract or not therefore delivered to the Government, as
may be directed or authorized by the Contracting Officer. The net
proceeds of any such disposal shall be credited to the contract price
or paid in such other manner as the Contracting Officer may direct.
(ASPR 7-104.24(f))
54. VARIATIONS IN ESTIMATED QUANTITIES (1968
APR)
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JANUARY 1977
estimated quantity and where the actual quantity of such pay item
varies more than fifteen percent (15`90) above or below the estimated
quantity stated in this contract. an equitable adjustment in the
contract price shall be made upon demand of either party. The
equitable adjustment shall be based upon any increase or decrease in
costs due solely to the variation above one hundred fifteen percent
(115%) or below righrv-five percent (85%) of the estimated
quantity. If the quantity variation is such as to cause an increase in
the time necessary for completion, the Contracting Officer shall,
upon receipt of a written request for an extension of time within
ten (10) days from the beginning of such delay, or within such
further period of time which may be granted by the Contracting
Officer prior to the date of final settlement of the contract,
ascertain the facts and make such adjustment for extending the
completion date as in his judgment the findings justify. (ASPR
7.603.27)
55. SALVAGE MATERIALS AND EQUIPMENT (1965
JAN)
The Contractor shall maintain adequate property control
records for all materials or equipment specified to be salvaged.
These records may be in accordance with the Contractor's system of
property control, if approved by the property administrator. The
Contractor shall be responsible for the adequate storage and
protection of all salvaged materials and equipment and shall replace,
at no cost to the Government, all salvage materials and equipment
which are broken or damaged during salvage operations as the result
of his negligence, or while in his care. (ASPR 7-603.29)
56. AVAILABILITY AND USE OF UTILITY
SERVICES (1967 APR)
This clause shall be applicable only if so expressly stated in
the Schedule, or specification, or Invitation for Bids.
(a) The Government will make available to the Contrac-
tor, from existing outlets and supplies, all reasonably required
amounts of utilities as specified in the Schedule or specifications.
Except as otherwise provided in the Schedule or specifications, each
utility shall be charged to or paid for by the Contractor at prevailing
rates charged to the Government or, where the utility is produced
by the Government, at reasonable rates as determined by the
Contracting Officer.
(b) The Contractor shall carefully conserve utilities fur-
nished without charge. The Contractor, at his own expense and in a
workmanlike manner satisfactory to the Contracting Officer, shall
install and maintain all necessary temporary connections and
distribution lines and, if necessary to determine charges, all meters
required to measure the amount of each utility used; and he shall
remove the same prior to final acceptance of the construction,
(ASPR 7-603.30)
Should the Contractor, during the progress of the work lose,
dump, throw overboard, sink, or misplace any material, plant,
machinery, or appliance, which in the opinion of the Contracting
Officer may be dangerous to or obstruct navigation, the Contractor
shall recover and remove the same with the utmost dispatch. The
Contractor shall give immediate notice, with description and
location of such obstructions, to the Contracting ()fficcr or
inspector, and when required shall mark or buoy such obstructions
until the same are removed. Should he refuse, neglect, or delay
compliance with the above requirements, such obstructions may be
removed by the Contracting Officer, and the cost of such removal
may be deducted from any money due or to become due the
Contractor, or may be recovered under his bond. The liability of the
Contractor for the removal of a vessel wrecked or sunk without
fault or negligence shall be limited to that provided in Sections 15,
19, and 20 of the River and Harbor Act of March 3, 1899. (33
U.S.C. 410 et seq.) (ASPR 7-603.32)
The Contractor shall display signal lights and conduct his
operations in accordance with the General Regulations of the
Department of the Army and of the Coast Guard governing lights
and day signals to be displayed by towing vessels with tows on
which no signals can be displayed, vessels working on wrecks,
dredges, and vessels engaged in laying cables or pipe or in submarine
or bank protection operations, lights to be displayed on dredge pipe
lines, and day signals to be displayed by vessels of more than 65 feet
in length moored or anchored in a fairway or channel, and the
passing by other vessels of floating plant working in navigable
channels, as approved by the Secretary of the Army (33 C.F.R.
201.1-201.16) and the Commandant, U.S. Coast Guard (33 C.F.R.
80.18-31a and 33 C.F.R. 95.51-95.70). (ASPR 7-603.33)
The Contractor shall be responsible for furnishing to each
employee and for requiring each employee engaged on the work to
display such identification as may be approved and directed by the
Contracting Officer. All prescribed identification shall immediately
be delivered to the Contracting Officer, for cancellation upon the
release of any employee. When required by the Contracting Officer
the Contractor shall obtain and submit fingerprints of all persons
employed or to be employed on the project. (ASPR 7-603.34)
Notwithstanding any other provisions of this contract it is
mutually understood that the time extensions for changes in the
work will depend upon the extent, if any, by which the changes
cause delay in the completion of the various elements of construc-
tion. The change order granting the time extension may provide that
the contract completion date will be extended only for those
specific elements so delayed and that the remaining contract
completion dates for all other portions of the work will not be
altered and may further provide for an equitable readjustment of
liquidated damages pursuant to the new completion schedule.
(ASPR 7-603.36)
62. PROGRESS CHARTS AND REQUIREMENTS FOR
OVERTIME WORK (1965 JAN)
(a) The Contractor shall within 5 days or within such time
as determined by the Contracting Officer, after date of commence-
ment of work, prepare and submit to the Contracting Officer for
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approval a practicable schedule, showing the order in which the
Contractor proposes to carry on the work, the date on which he will
start the several salient features (including procurement of materials,
plant and equipment) and the contemplated dates for completing
the same. The schedule may be in any form, at the option of the
Contractor, but shall maintain current with each submittal, at least
the following information:
(1)
down into:
a. Times projected for submittals, ap-
provals, and procurement.
(2) The work completed and the work-remaining to
be done to complete the project.
(3) Any items of work which will delay the start or
completion of other major items of work so as to delay completion
of the whole project.
The Contractor shall submit an updated copy of his schedule with
each invoice, and when required by major changes in the work. If
the Contractor fails to submit a progress schedule within the time
herein prescribed, the Contracting Officer may withhold approval of
progress payments until such time as the Contractor submits the
required progress schedule.
(b) If, in the opinion of the Contracting Officer, the
Contractor falls behind the progress schedule, the Contractor shall
take such steps as may be necessary to improve his progress and the
Contracting Officer may require him to increase the number of
shifts, or overtime operations, days of work, or the amount of
construction planned or all of them, and to submit for approval
such supplementary schedule or schedules in chart form as may be
deemed necessary-to demonstrate the manner in which the agreed
rate of progress will be regained, all withoutadditionalcost to the
Government.
(c) Failure of the Contractor to comply with the require-
ments of the Contracting Officer under this provision shall be
grounds for determination by the Contracting Officer that the
Contractor is not prosecuting the work with such diligence as will
insure completion within the time specified. Upon such determina-
tion the Contracting Officer may terminate the Contractor's right to
proceed with the work, or any separable part thereof, in accordance
with the clause of the Contract entitled "Termination for
Default-Damages for Delay-Time Extensions." (ASPR 7-603.48)
63. PERFORMANCE OF WORK BY CONTRACTOR
(1965 JAN)
The Contractor shall perform on the site, and with his own
organization, work equivalent to at least 20 percent of the total
amount of the work to be performed under the contract. If during
the progress of the work the Contractor requests a reduction in such
percentage and the Officer in Charge of Construction determines
that it would be to the Government's advantage, the percentage of
the work hereunder required to be performed by the Contractor
may be reduced, provided written approval of such reduction is
obtained from the Officer in Charge of Construction, (ASPR
7-603.15)
The Contractor shall layout his work from Government-
-established base lines and bench marks indicated on the drawings ?
and shall be responsible for all measurements in connection
therewith. The Contractor shall furnish, at his own expense, all
stakes, templates, platforms, equipment, tools, and materials and
labor as may be required in laying out any part of the work from
the base lines and bench marks established by the Government. The
Contractor will be held responsible for the execution of the work to
such lines and grades as may be established or indicated by the
Officer in Charge of Construction. It shall be the responsibility of
the Contractor to maintain and preserve all stakes and other marks
established by the Officer in Charge of Construction until author-
ized to remove them. If such marks are destroyed, by the
Contractor or through his negligence, prior to their authorized
removal, they may be replaced by the Officer in Charge of
Construction at his discretion. The expense of replacement will be
deducted from any amounts due or to become due the Contractor.
(ASPR 7-604.3)
(a) In addition to any other warranties set out elsewhere
in this contract, the Contractor warrants that work performed under
this contract conforms to the contract requirements and is free of
any defect of equipment, material or design furnished, or workman-
ship performed by the Contractor or any of his subcontractors or
suppliers at any tier. Such warranty shall continue for a period of
one year from the date of final acceptance of the work, but with
respect to any part of the work which the Government takes
possession of prior to final acceptance, such warranty shall continue
for a period of one year from the date the Government takes
possession. Under this warranty, the Contractor shall remedy at his
own expense any such failure to conform or any such defect. In
addition, the Contractor shall remedy at his own expense any
damage to Government owned or controlled real or personal
property, when that damage is the result of the Contractor's failure
to conform to contract requirements or any such defect of
equipment, material, workmanship, or design. The Contractor shall
also restore any work damaged in fulfilling the terms of this clause.
The Contractor's warranty with respect to work repaired or replaced
hereunder will run for one year from the date of such repair or
replacement.
(b) The Government shall notify the Contractor in writing
within a reasonable time after the discovery of any failure, defect,
or damage.
(c) Should the Contractor fail to remedy any failure,
defect, or damage described in (a) above within a reasonable time
after receipt of notice thereof, the Government shall have the right
to replace, repair, or otherwise remedy such failure, defect, or
damage at the Contractor's expense.
(d) In addition to the other rights and remedies provided
by this clause, all subcontractors', manufacturers', and suppliers'
warranties expressed or implied, respecting any work and materials
shall, at the direction of the Government, be enforced by the
Contractor for the benefit of the Government, In such case if the
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Contractor's warranty under (a) above has expired, any suit directeel
by the Government rq enforce a subcontractor's, manufacturer'; or
supplier's warranty shall beat the Fxperlsc of the Government, The
ti contractor shall obtain any warranties which the subcontractorst
manufacn rers, or suppliers would give in normal commercial
practice:
(e) If djrepted by the Contracting Officer, the Contractor
shall, require any such warranties to be executed in writing to the
Government
4f) Notwithstanding any other provision of this clause,
unless such a defect is caused by the negligence of the Contractor or
his subcontractors or suppliers at any tier, the Contractor shall not
be liable for the repair of any defects of material or design furnished
by the Government npr for the repair of any damage which results
from any such defect in Government furnished material or design.
(g) The warranty specified herein shall not limit the
Government's rights under the "Inspection and Acceptance'. clause
of this contract with respect, to latent fiefects, gross mistake, of
fraud,
(h) Defects in design or manufacture of equipment 1Peci-
fled by the Government on a "brans} name and model" basis, shall
not be irclu4ed in this warranty. The Contractor shall require any
subcontractors, manufacturers, or suppliers thereof to execute their
warranties m writing directly to the Government. (ASPIC 7.4Q4,4)
66. VALUE ENGINEERING INCENTIVE (1974 APR)
(a)
oped and
which:
Applications This clause applies to a Contractor devek
documented Value Engineering Change Proposal (V~CP)
(i) Requires a change to this contract to imple-
(nent the VECP; and
(ii) , redufes the contract price without impairi{tg
essential function or characteristics, provided that it is not based
solely on a change in deliverable end item quantities.
(bi Documentatipn. As a minimum, the following infor-
mation shall be submitted by the Contractor with each VECP:
(i) a desFriptipn of the tliffere.nce between the
existing eantract requirement ant the proposed change, and the
corhpar"tiv,e advantages and disadvantages of each; ?ustiflcation
where fun Stan or ch~racteristifs of a wont item 1$ s being altered;
and the effect of the change on the performance of the end item;
(ii) an analysis and itemization of the requirement
of the contrtct which must be changed if the VI;.CP is accepted and
a Fvvommendation as to how tomake each such change (e.g? a
suggested specificatlpn revision).
(iii) a separate detailed cost estimate for both the
exitFimum cost reduction curing the remainder of this contract.
noting any effect on the contract completion time or delivery
schedule: and
(v)) identification of any previous submission of the
VECP, including the dates submitted, the agencies involved, the
numbers of the Government contracts involved and the previous
actions by the Government, if known.
(c) Submission. To expedite a determination, VECPs shall
be submitted to the Resident Engineer at the syorksite with a copy
to the Contracting Officer, Proposals shall be processed expedi-
tiously;. however, the Government shall not be liable for any delay
ip acting upon any prop. osal submitted pursuant to this clause. The
Contractor has the right to withdraw, in whole or in part, any VECP
at any tithe prior to acceptance by the Government.
(d) Acceptance. The Contracting Officer may accept, in
whole or in part, by contract modification any VECP submitted
pursuant to this clause. The Contracting Officer may accept the
VECP even though an agreement on price reduction has not been
reached, by issuing the Contractor a notice to proceed with the
change. Until a notice to proceed its issued or a contract modifica-
tion applies a VPCP to this contract, the Contractor shall remain
obllgatf4 to perform in accordance. with this contract. Contract
moddificatiolss made pursuant to this clause v,ill so state. The
decision of the Contracting Officer as to the acceptance of any
VECP yrtder this contract shall be final and shall not be subject to
the "DiePutes" clause of this contract,
(e) Sharing. If a YECP submitted by the Contractor
pursuant to this clause is accepted, the contract price shall be
adjusted without regard to profit in accordance with the following
provisions:
(I) Definition:
(A) Instant Contract Savings to the Coo-
tractor (ICS) are the estimated reduction in the Contractor's cost of
performance resulting from the acceptance of the VECP, The
proposed cost reduction includes estimated allowable Contractor
development and implementation costs (CC). The Contractor's
development and implementation costs include any subcontractor
.development and implementation costs (see (f) below). For pur-
poses of this clause, Contractor development costs are those costs
incurred after the Contractor has identified a specific VE project
and prior to acceptance and implementation by the Government.
(B) Government Costs (GCs are those DOD
costs which directly result from development and implementation
of the VECP, such as test and evaluation of the VECP.
(ii) Calculations and Actions. Multiply ICS by 4S%
and GC by 55%, Add these to results, e.g., (.45 ICS plus 55 Gc,)
and subtract from the cpntrafcF price.
(f) Subcontracts, The Contractor shall include appropri
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ate VE arrlipgements in any subcontract of $50,000 or greater, and
may include such arrangements in contracts pf lgsser value. To
compute any adjustment in the contract price under paragraph (c)
above, the Contractor's cost of development and implementation of
a VEC which is accepted under this contract shall include any
development and implementation costs of a subcontractor, and any
VE incentive payments to a subcontractor, which clearly pertain to
such VpCP, hlowever, no such payment or accrual to a subcpn,
tractor will be permitted, either as a part of the Contractor's
development or implementation costs or otherwise to reduce the
Governrnent's share.
(g) Data, The Contractor may restrict the Government's
right to use any sheet of a VECP or of the supporting data, sub-
mitted pursuant to this clause, in accordance with the terms of the
following legend if it is marked on such sheet:
"This data furnished pursuant to the 'Value Engineer-
in Me' Incentive' clause of contract ............ shall not be disclosed
Outside the Government, or duplicated, used, or disclosed, in whole
or in part, (ot any purpose othgt than to evaluate a VECP submitted
under said clause. This restriction does not limit the Governments
right to use information contained in this data if it is or has been
Obtained, or is otherwise available, from the Contractor or from
another source, without limitations. If such a VECP is accepted by
the Government under said contract after the use of this data in
such an evaluation, the Government shall have the right to
du licate, use, and disclose any'data reasonably necessary to the ..full
utilation of such VEQP as accepted. in any manner and for any
"pose whatsoever, ant have others so do,"
In the event of acceptance of a VECP, the Contractor
hereby grants to the Government all rights to use, duplicate or
disclose, in whole or in part, in any manner and for any purpose
whatsoever, and to have or permit others to do so, any data reason,
ably necessary to fully utilize such VECP (ASPP, 7-602,50).
t>7,
VALUE ENGINEERING .CAST COMPUTATION
In computing the instant contract savings to the Contractor
(ICS), under Clause 66, "Value Engineering Incentive (1974 Apr)",
there shall not be taken into consideration any Value Engineering
incentive payments which the Contractor may make to the
subcontractor, Lg., such amounts will not be deemed a development
and implementation cost at any tier.
68. REQUIR90 INSURANCE (1968 APR)
(a) The Contractor shall procure and maii'ntain d ring the
entire period of this performance under this contract the following
minimum insurance.
COVERAGE
Typq of nit
JANUARY 1977
4, (Qther as required by Stato T pw)
(b) Prior to commepcemept of work hires nder, the
Contractor shall furnish to the Contracting Off4er a certificate or
written statement of thq abovg required insurance. The policies evi-
dencing required insurance Ihall contain an endorsement to the
effect that carte Lion or any material change in the policies ad-
versely affecting the interests of the Government in such insurancg
shall not be effective until 3Q days after written notice,tfiereof to
;he Contracting Officer.
(c) The Contractor agrees to insert the substagFe of this
clause, including this paragraph (c), in all subcontracts hereunder.
(ASPR 7.603.10)
69. GOVI3RNMENT REPRESENTATIVES (6-72)
(a) The work will be under the general direction of the
Contracting Officer, the commander, Naval ,Facilities Engineering
Command, who shall designate an officer of the Civil Engineer
Corps, United States Navy, or other officer or representative of the
Government, as Officer in charge of Construction, hereinafter
referred to as the "O1CC," who except in connection with the
"Disputes" clause shall be the authorized representative of the Con-
[ratting Officer and under the direction of the Contracting Officer
have complete charge of the work; and shall exercise full supervision
and general direction of the work, sq far as it affects the interest of
the Government. For the purposes of the "Dispute" clp,use the Con-
tracting Officer shall mean the Commander, Naval Facilities
Enipgering Command, the Acting Commander, their successors, or
their repTegentatives specially designated for this purpose.
(b) The provisions in this clause or elsewhere in this
contract rggarding supervision, approv$ or direction by the
Contracting Officer or thg O1CC or action taken pursuant thereto
are not intended to and shall not relieve the Contractor of resporlsi-
bility for the accomplishment of the work either as regards
sufficiency or the time of performance, except as expressly other-
wise provided herein.'
70. SPECIFICATIONS AND DRAWINGS. (6.72)
To Clause 2 add the following paragraphs:
(b) Omissions and Misdescriptions, Omissions from the
drawings or specifications or the misdescription of details of work.
which are manifestly necessary to carry out the intent of the draw-
ings and specifications, or which are customarily performed, shall
not relieve the Contractor from performing such omitted or mis-
described details of work but they shall be performed as if fully and
correctly set forth and described in the drawings and specifications,
(c) Deviations, Deviations frgm the drawings and
dimensions therein.givert, whether or not error is believed to exist,
shall be made only after written authority is obtained from the
01CC,
~er Person Per AAccene Rjqg~rt 71. PRECEDENCE (6,72)
1. comprehensive
$100,000
$300,000 ?
$10,000
in the.event of conflict pr inconsistency between any oOhe
General Liability
provisions of the various portions of this contract (the reconciliation
of which is not otherwise provided for here). precedence shall be
2. Automobile
1100,000
$300,000
$10,000
given in the following order, the provisions of any particular portion
Liability
prevailing over those of a subsequently listed portion.
3. Workmen's
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(2) the specifications referred to in Standard Form
23 (including all addenda, and mechanical and technical but not
contractual aspects of incorporated provisions) as specifically
.amended herein, if amended.
(3) printed provisions of the contract form,
including printed provisions of added slip sheets.
72. ORAL MODIFICATION (6-72)
No oral statement of any person whomsoever shall in any
manner or degree modify or otherwise affect the terms of this con-
tract.
73. NO WAIVER BY GOVERNMENT (6-72)
The failure of the Government in any one or more instances
to insist upon the strict performance of any of the terms of this
contract or to exercise any option herein conferred, shall not be
construed as a waiver or relinquishment to any extent of the right to
assert or rely upon any such terms or option on any future occasion.
74. SUPERSEDURE (6-72)
If this contract has been preceded by a Letter or Dispatch of
Intent or a Notice of Award, anticipating the execution of this
contract, then such Letter or Dispatch or Notice and all rights and
obligations of the parties thereunder are superseded and merged into
this contract. All acts of the Contractor and the Government and all
payments, if any, made by the Government under said Letter or
Dispatch or Notice shall be deemed to have been under this con-
tract..
.75. SANITATION (6-72)
Adequate sanitary conveniences of any approved type for the
use of persons employed on the work, and properly secluded from
public observation, shall be constructed and maintained by the Con-
tractor in such a manner and at such points as shall be required or
approved by the OICC. These conveniences shall be maintained at
all times without nuisance and their use shall be strictly enforced.
Upon completion of the work they shall be removed from the
premises, leaving the premises clean and free from nuisance.
76. TESTING FOUNDATIONS (6-72)
Tests of the bearing value of the material underlying the
foundation of the structure to be built shall be made at such times
and places and in such a manner as may be directed by the OiCC, As
far as practicable, test piles, when used, shall be so located that they
can become part of the finished structure. The Contractor shall
furnish OICC ample opportunity for viewing tests and making such
records as the latter may consider advisable, The Contractor shall be
entitled to compensation for making such tests in the same manner
as for a change required by the OICC under Clause 3 to the extent
the contract price does not include compensation therefor. Notice
must be given of intention to request compensation in accordance
with Clause 3.
77, PAYMENT TO CONTRACTOR (6-72)
(a) If the contract amount exceeds one million dollars
Cruse 7 PAYMENTS TO CONTRACTOR is modified as follows:
"Where the time originally specified for completion of
this contract exceeds one year, the Contracting Officer, at any time
after 50 percent of the work has been completed,-if he finds that
satisfactory progress i~ beipg made, may reduce the total amount
retained from progress payments to an amount not less than 10
percent of the estimated value of the work remaining to be done
under the contract or I'/ percept of the total contract amount
whichever is higher. In computing the total contract amount, for the
purposes of the preceding sentence, the contract amount for any
separate building, public work, or other division of the contract on
which the price is stated separately in the contract and on which
payment has been in full, including retained percentage thereon
under this clause shall be excluded."
(b) To Clause 7 add the following sentence at the end of
paragraph (b), and add paragraph (f) below:
Such payments shall be made on submission of
itemized requests by the Contractor and shall be subject to reduc-
tion for overpayments or increase for underpayment-, on preceding
payments to the Contractor.
(f) The obligation of the Government to make any of the
payments required under any of the provisions of this contract shall,
in the discretion of the OICC, be subject to (t) reasonable deduc-
tions on account of defects in material or workmanship. and (2) any
claims which the Government may have against the Contractor
under or in connection with this contract. Any overpayments to the
Contractor shall, unless otherwise adjusted, be repaid to the Covent
ment upon demand
78, CHANGES BOARD AND ESTIMATES (6-72)
In determining any equitable adjustment under Clause 3, the
O1CC shall, in those instances where the adjustment to be made in
compensation is estimated by the OICC to amount to $20,000 or
more, convene, and give full consideration to the report of an
advisory hoard of three members, consisting of two Government
representatives appointed by the OICC and one representative
appointed by the Contractor. This board shall estimate and report
to the OICC the amount of the change in cost, time, or both,
resulting from the ordered change. In making all equitable adjust-
ments under Clause 3, compensation for additions will he based
upon estimated costs at the time the work is performed and credit
for deductions will be based upon estimated costs at the time the
contract was made. To such cost estimates, 6 percent shall he added
to adjust the Contractor's profits. In arriving at the amount of the
change in price, if apy, allowance may be made for overhead and
general expenses, plant rental, and other similar iterni,
79. CONTRACTOR QUALITY CONTROL (CQC) (6-72)
This clause applies only when specifically required by the
specifications.
(a) The Contractor shall provide a quality control
organization and system to perform inspections and tests of all
items of work, including that of his subcontractors, to ensure con-
formance with the contract provisions. Quality control will be
established for all work, except where specific provisions of the
contract provide for Government approvals, inspections and tests.
The Contractor's quality control system will specifically include,
but not be limited to the inspections and tests required in the
technical provisions of the contract specifications, and shall cover all
construction operations, including both on-site and off-site.
fabrication.
(b) The Contractor shall provide a CQC representative,
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supplemented as necessary by additional personnel, who shall be on
the work at all times during progress, with complete authority to
take any action necessary to ensure conformance with the contract,
The CQC representative shall be appointed by a letter addressed to
him and signed by an officer of the firm. This letter shall detail the
CQC representative's authority and responsibility to act for the
Contractor. The CQC representative shall report directly to an
officer of the firm and shall not be subordinate to the job
superintendent or project manager.
(c) The Contractor shall furnish to the Government
within fifteen (15) calendar days after receipt of the Notice of
Award, a CQC Plan which shall detail the procedures, instructions,
and reports to be used to assure conformance with the contract.
Unless specifically authorized by the OICCIRQICC in writing, no
construction will be started until the Contractor's quality control
plan is approved. This plan will include, as a minimum:
(1) A copy of the appointing letter to the
Contractor quality control representative, outlining his duties,
responsibilities, and authority, and signed by an officer of the firm.
Included in this letter as a minimum, must be the authority to direct
removal and replacement of any defective work.
(2) The quality control organization in chart form,
showing the relationship of the quality control organization to other
elements of the company.
(3) Names and qualifications of personnel in the
quality control organization.
(4) Area of responsibility and authority of each
individual in the quality control organization.
(5) A listing of outside organizations such as testing
laboratories, architects, and consulting engineers that will be
employed by the Contractor, and a description of the service these
firms will provide.
(6) Procedures' for reviewing all shop drawings,
samples, certificates, or other submittals for contract compliance,
including the nartte of the person(s) authorized to sign the
submittals for the Contractor, as complying with the contract.
(7) An inspection schedule, keyed to the
construction schedule, indicating what test will be performed, when
testing will be performed, and by whom.
(8) Method of documenting the quality control
operation, inspection, and testing, including a copy of all forms and
reports to be used for this purpose.
(d) As a minimum, inspection procedures shall include:
(1) Preparatory Inspection. (Performed prior to
beginning any work, or segment of work.) Preparatory inspection
shall include a review of contract requirements; review and approval
of shop drawings and submittal data for the work, or segment of
work, (see paragraph (h) below); a check to assure that provisions
have been made to provide required control testing; an examination
of the work to ascertain that all preliminary work has been
completed; and a physical examination of materials and equipment
to assure that they conform to approved shop drawings or submittal
data.
(2) Initial Inspection. (Performed as soon as a
representative segment of the particular item of work has been
accomplished.) Initial inspection shall include perfotmiance of
scheduled tests, examination of the quality of workmanship, a
review of test results.fqr compliance with contract requirements, a
review for omissions or dimensional errors, and approval or rejection
of the initial segment of the work.
(3) Follow-up Inspections. (Performed daily or as
frequently as necessary.) Continued testing and examinations to
assure continuing compliance with contract requirements.
(e) After the contract is awarded, but before construction
operations are started, the Contractor shall meet with the
OICCIROICC, or his representative, and discuss the quality control
requirements. The purpose of the meeting shalt be to develop a
mutual understanding relative to details of the system, including
forms to be used for recording the quality control operations,
inspections, tests, approvals, certifications, administration of the
system, and Government surveillance. This meeting !;hall also
develop a schedule for future weekly or biweekly CQC meetings and
shall establish procedures for submission of daily reports and other
records documents.
(f) The Contractor shall submit daily CQC reports to the
OICC/ROICC, identifying prime and subcpntractor personnel and
equipment on the site, idle equipment and personnel, material
deliveries, weather conditions; the work accomplished; the
inspections and tests conducted; results of inspections and tests;
nature of defects found; causes for rejection; proposed remedial
action; and corrective actions taken; together with the following
certifications: "The above report is complete and correct and all
material and equipment used and work performed during this
reporting period are in compliance with the contract plans and
specifications, to the best of my knowledge, except as noted
above," This certification shall be signed for the Contractor by the
duly authorized CQC representatives.
(g) Where test results by a testing laboratory are provided,
they shall site the contract requirements, the actual test results, and
include a statement that the item tested conforms (or fails to
conform) to the specification requirements.
(h) All submittals, shop drawings, catalog cuts, samples,
etc., unless otherwise specifically noted, shall be approved and
certified by the Contractor as cpnforin,ing to the plans and
specifications. Four (4) copies of all shop drawings, catalog puts, or
other submittals, with the Contractor's approval indicated thereon,
shall be sent to the ROICC for record purposes, within one (1)
working day of the Contractor's approval,
80. DAMAGES FOR DELAY-DEFENSE MATERIALS
SYSTEM AND PRIORITIES (6-72)
The Government will take no action pursuant to Clause 5 of
Standard Form 23A to terminate the right of the Contractor to
proceed or to assess liquidated or actual damages where failure of
the Contractor to complete the work within the time specified is
due solely to the operation of the Defense Materials System and
Priorities, provided the Contractor and his subcontractors cornp3y
with the provisions of this System and the Contractor's lateness in
completion of the work is not otherwise caused by the fault or
negligence of the Contractor. Such delays will be excusable within
the meaning of Clause 5, and the Contractor will be entitled to a
time extension by reason thereof.
81, SPECIFICATIONS AND STANPARPS (6-72)
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specification (including addenda, amendments, and errata listed)
shall govern in all cases where references thereto are made. In case
of differences between these specifications or standards and this
specification or its accompanying drawings, this specification and its
accompanying drawings shall govern to the extent of such
differences; otherwise, the referenced specifications and standards,
shall apply. The requirement for packaging, packing, marking, and
preparation for shipment or delivery included in the referenced
specifications shall apply only to materials and equipment that are
furnished directly to the Government and not to materials and
equipment that are to be furnished and installed by the Contractor.
(a) When a number in parenthesis is suffixed to a
NAVFAC, NAVDOCKS, Military or Federal Specification, it
denotes the effective amendment or change to the document.
(b) Unless otherwise specified by this contract
specification, all tests required by the referenced specifications and
standards shall be conducted at no expense to the Government
under the supervision of and in a laboratory acceptable to the
Government.
(c) Application for specifications other than NAVFAC,
Yards and Docks, Military or Federal specifications should be made
to the organizations publishing them. NAVFAC, Yards and Docks,
Federal, and Military specifications may be ordered from
Commanding Officer, Naval Publications and Forms Center, 5801
Tabor Avenue, Philadelphia, Pennsylvania 19120. However, a copy
of all referenced documents will be available for examination only
at the office of the Officer in Charge of Construction.
82. SECURITY REQUIREMENTS (6-72)
No employee or representative of the Contractor will be
admitted to the site of the work unless he furnishes satisfactory
proof that he is a citizen of the United States or, is specifically
authorized admittance to the site of the work by the O1CC.
83. STATION REGULATIONS (6-72)
The Contractor and his employees and subcontractors shall
become familiar with and obey all Station regulations including fire,
traffic, and security regulations. All personnel employed on the
station shall keep within the limits of the work (and avenues of
ingress and egress), and shall not enter any restricted areas unless
required to do so and are cleared for such entry. The Contractor's
equipment shall be conspicuously marked for identification.
84. ORDER OF WORK (6-72)
The Contractor shall schedule his work so as to cause the
least amount of interference with Station operations. Work
schedules shall be subject to the approval of the Officer in Charge of
Construction, Permission to interrupt any Station utility service
shall be requested in writing a minimum of 5 working days prior to
the desired date of interruption.
85. SCHEDULE OF PRICES (6-72)
Within 5 days of receipt of a Notice of Award, the
Contractor shall prepare and submit to the Officer in Charge of
Construction, a Schedule of Prices (Construction Contract),
NAVFAC 433014. The schedule shall consist of a detailed
breakdown of the contract price, giving the quantities for each of
the various kinds of work, the unit prices, and the total prices
therefor. The detailed breakdown shall be segregated under each of
the construction categories given hereinafter. The required schedule
must be based on the actual breakdown of the bid price.
Accordingly, subcontractors who may be involved in work under
more than one of these categories shall be advised of this
requirement in order to assure their being In a position to furnish
these data without delay. The format, content and number of copies
required shall be as further prescribed by the Officer in Charge of
Construction and shall be subject to his approval. The submission of
the required data shall not otherwise affect the contract tertrts.
Form NAVFAC 433014 will be furnished by the Officer in Ch4FBe
of Construction.
86. CONTRACTOR'S INVOICE AND CONTRACT
PERFORMANCE STATEMENT (6-72)
Requests for payment in accordance with the terms of the
contract shall consist of:
(a) Contractor's invoice on form NAVFAC 10-7300/30,
which shall show, in summary form, the basis for arriving at the
amount of the invoice, and
(b) Contract Performance Statement on form NAVFAC
10-7300/31, which shall show in detail, the estimated cost
percentage of completion and value of completed performance for
each of the construction categories given hereinafter. The format,
content, and number of copies required shall be as further
prescribed by the Officer in Charge of Construction and shall be
subject to his approval. The submission of the required data ;hail
not otherwise affect the contract terms. Forms NAVFAC
10-7300/30 and 10.7300131 will be furnished by the Officer in
Charge of Construction.
87. AS-BUILT RECORD OF MATERIALS USED IN
BUILDINGS (6-72)
Prior to completion of the contract, the Contractor shall
furnish an "as-built" record of materials used in the construction.
Submittal of this data is made a condition for final payment under
the contract. Where several manufacturer's brands, types, qr classes
of the items listed have been used in the project, the specific areas
where each item was used shall be designated. Designations shall be
keyed to the area and space designations on the contract drawings.
88. OPTIONAL REQUIREMENTS (6-72)
Where a choice of materials and/or methods is permitted
herein, the Contractor will be given the right to exercise the option
unless stated specifically otherwise.
89. PROPOSED MATERIAL SUBMITTALS REQUIRED
OF THE CONTRACTOR (6-72)
Proposed material submittals required of the Contractor shall
be made allowing sufficient time for processing, reviews, approval.
and procurement before the Contractor is ready to use the material.
No material shall be used prior to written approval. Submittals shall
be prepared and assembled as follows:
(b)
a complete
number.
Submit 7 copies of each submittal
Present all submittals for each specification section as
bound volume, titled with project title and contract
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(c) Provide index of included items with each volume.
Title the index with applicable specification section name and
number.
(d) Clearly mark each item in volume with specification
paragraph number to which it pertains.
(e) Assemble each volume in same numerical sequence as
specifications section paragraphs.
(f) See individual technical sections for additional
information.
The Contractor shall certify on all submittals that the material being
proposed conforms to contract requirements. In the event of any
variance, the Contractor shall state specifically which portions vary,
and request approval of a substitute. The Contractor shall also
certify that all Contractor-furnished equipment can be installed in
the allocated spaces. Incomplete submittals and submittals with
inadequate data will be rejected.
90. CATALOG DATA (6-72)
Catalog data shall be printed pages or permanent copies of
the manufacturer's catalogs.
91. SAMPLES (6-72)
Samples in the number specified, shall be shipped prepaid,
and delivered as directed by the Officer in Charge of Construction.
Samples shall be marked to show name of material, name of
supplier, contract number, segment of work where material
represented by sample is to be used, and name of Contractor
submitting sample.
92. STORM PROTECTION (6.72)
Should warnings of winds of gale force or stronger be issued,
the Contractor shall take every practicable precaution to minimize
danger to person, to the work and to adjacent property.
93. CONTRACTOR'S DAILY REPORT (6-72)
,The Contractor will be required to submit a "Daily Report to
inspector," Form NAVFAC 4330/34. The forms shall be completed
daily and delivered to the Officer in Charge of Construction. Data to
be included in the form is data on workers by classification, the
move-on and move-off of construction equipment furnished by the
prime and subcontractor or furnished by the Government, and
materials and equipment delivered to the site for installation in the
work.
If Clause 79, "Contractor Quality Control" is applicable to
this contract, the information required by this clause shall be
submitted as a part of the reports required under Clause 79.,
94. WORK OUTSIDE REGULAR HOURS (6.72)
If the Contractor desires to carry on work outside regular
hours or on Saturdays, Sundays or holidays, he shall submit
application to the Officer in Charge of Construction, but shall allow
ample time to enable satisfactory arrangements to be made by the
Government for inspecting the work in progress. At night, he shall
light the different parts of the work in an approved manner. All
utility cutovers shall be made after normal working hours or on
weekends. Anticipated costs shall be included in the bid.
95. EXISTING WORK (6-72)
The disassembling, disconnecting, cutting, removal or altering
in any way of existing work shall be carried on in such a manner as
to prevent injury or damage. to all portions of existing work,
whether they are to remain in place, be-re-used in the new work, or
be salvaged and stored. All portions of existing work which have
been cut, damaged or altered in any way during construction
operations shall be repaired or replaced in kind and in an approved
manner to match existing or adjoining work. All work of this nature
shall be performed by the Contractor at his expense and shall be as
directed. Existing work shall, at the completion of all operations, be
left in a condition as good as existed before the new work started.
96. SMALL BUSINESS SUBCONTRACTING
PROGRAM (MAINTENANCE, REPAIR AND
CONSTRUCTION) (1976 OCT)
(The following clause is applicable if this contract is in excess
of .1500.000)
(a) The Contractor agrees to establish and conduct a small
business subcontracting program which will enable small business
concerns to be considered fairly as subcontractors, including
suppliers, under this contract. In this connection, the Contractor
shall designate an individual to (i) maintain liaison with the
Government on small business matters, and (ii) administer the
Contractor's "Small Business Subcontracting Program."
(b) The Contractor shall submit DD Form 1140--1 each
quarter in accordance with the instructions provided on the form,
except that where the Contractor submits the report on a corporate
basis rather than a plant basis, he may submit his reports to the
Department having the responsibility for the Small Business Sub-
contracting Program at the corporate headquarters. The reporting
requirements of this subparagraph (b) do not apply to small business
contractors, small business subcontractors or educational and non-
profit institutions.
- - -
(c) The Contractor further agrees (i) to insert - the
"Utilization of Small Business Concerns" clause in subcontracts
which offer substantial subcontracting opportunities, and (ii) to
insert in each such subcontract exceeding 1500,000 a clause
conforming substantially to the language of this clause except that
subcontractors shall submit DD Form 1140-1 direct to the
Government addressees prescribed on the Form. The Contractor will
notify the Contracting Officer of the name and address of each
subcontractor that will be required to snbmit a report on DD Form
1140-1. (ASPR 7-602.26(b))
97. MINORITY BUSINESS ENTERPRISES
SUBCONTRACTING PROGRAM (1971 NOV)
The provisions of this clause shall be applicable only if the
amount of this contract exceeds $500,000.
(a) The Contractor agrees to establish and conduct a
program which will enable minority business enterprises (as defined
in the clause, entitled, "Utilization of Minority Business
Enterprises") to be considered fairly as subcontractors and suppliers
under this contract. In this connection, the Contractor shall:
(1) Designate a liaison officer who will administer
the Contractor's "Minority Business Enterprises Program.
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the potentialities of known minority business enterprises in all
"make-or-buy" decisions.
(3) Assure that known minority business
enterprises will have an equitable opportunity to compete for
subcontracts, particularly by arranging solicitations, time for the
preparation of bids, quantities, specifications, and delivery schedules
so as to facilitate the participation of minority business enterprises.
(4) Maintain records showing (i) procedures which
have been adopted to comply with the policies set forth in this
clause, including the establishment of a source list of minority
business enterprises, (ii) awards to minority business enterprises on
the source list, and (iii) specific efforts to identify and award
contracts to minority business enterprises.
(5) Include the "Utilization of Minority Business
Enterprises" clause in subcontracts which offer substantial minority
business enterprises subcontracting opportunities.
(6) Cooperate with the Contracting Officer in any
studies and surveys of the Contractor's minority business enterprises
procedures and practices that the Contracting Officer may from
time to time conduct.
(7) Submit periodic reports of subcontracting to
known minority business enterprises with respect to the records
referred to in subparagraph (4) above, in such form and manner and
at such time (not more often than quarterly) as the Contracting
Officer may prescribe.
(b) The Contractor further agrees to insert, in any
subcontract hereunder which may exceed $500,000 provisions
which shall conform substantially to the language of this clause,
including this paragraph (b), and to notify the Contracting Officer
of the names of such subcontractors. (ASPR 7-104.36 (b))
98. PREFERENCE FOR DOMESTIC SPECIALTY
METALS (1972 NOV)
(a) The Contractor agrees that any specialty metals (as
hereinafter defined) furnished by it or purchased by it for direct
incorporation in any article delivered to the Government under this
contract shall have been melted in the United States, its possessions,
or Puerto Rico, provided that this clause shall have effect to the
extent that the Secretary or his designee determines, as to any such
articles, that a satisfactory quality and sufficient quantity cannot be
procured as and when needed at United States market prices.
(b) For the purposes of this clause, the term "specialty
metals" means:
(i) steels, where the maximum alloy content
exceeds one or more of the following limits: manganese, 1.65
percent; silicon, 0.60 percent; or copper 0.60 percent or which
contains more than 0.25 percent of any of the following elements:
aluminum, chromium, cobalt, columbium, molybdenum, nickel,
titanium, tungsten, or vanadium;
(ii) metal alloys consisting of nickel, iron-nickel
and cobalt base alloys containing a total of other alloying metals
(except iron) in excess of ten percent (10%);
(iv)
7-104.93 (b))
99. ENVIRONMENTAL LITIGATION (12-74)
(a) If the performance of all or any part of the work is
suspended, delayed, or interrrupted due to an order of a court of
competent jurisdiction as a result of environmental litigation as
defined below, the Contracting Officer, at the request of the
Contractor, shall determine whether the order is due in any part to
the acts or omissions of the Contractor or a Subcontractor at any
tier not required by the terms of this contract. If it is determined
that the order is not due in any part to acts or omissions of the
Contractor or a Subcontractor at any tier other than as required by
the terms of this contract, such suspension, delay, or interruption
shall be considered as if ordered by the Contracting Officer in the
administration of this contract under the terms of the "Suspension
of Work" clause of this contract. The period of such suspension,
delay or interruption shall be considered unreasonable, and an
adjustment shall be made for any increase in the cost of
performance of this contract (excluding profit) as provided in that
clause, subject to all the provisions thereof.
(b) The term "environmental litigation," as used herein,
means a lawsuit alleging that the work will have an adverse effect on
the environment or that the Government has not duly considered,
either substantively or procedurally, the effect of the work on the
environment.
100. COST ACCOUNTING STANDARDS (1975 FEB)
(a) Unless the Cost Accounting Standards Board has
prescribed rules or regulations exempting the Contractor or this
contract from standards, rules, and regulations promulgated
pursuant to 50 U.S.C. App. 2168 (Public Law 91-379, August 15,
1970), the Contractor, in connection with this contract shall:
(1) By submission of a Disclosure Statement,
disclose in writing his cost accounting practices as required by
regulations of the Cost Accounting Standards Board. The required
disclosures must be made prior to contract award unless the
Contracting Officer provides a written notice to the Contractor
authorizing post-award submission in accordance with regulations of
the Cost Accounting Standards Board. The practices disclosed for
this contract shall be the same as the practices currently disclosed
and applied on all other contracts and subcontracts being performed
by the Contractor and which contain this Cost Accounting
Standards clause. If the Contractor has notified the Contracting
Officer that the Disclosure Statement contains trade secrets and
commercial or financial information which is privileged and
confidential, the Disclosure Statement will be protected and will not
be released outside the Government.
(2) Follow consistently the cost accounting
practices disclosed pursuant to (1) above in accumulating and
reporting contract performance cost data concerning this contract.
If any change in disclosed practices is made for purposes of any
contract or subcontract subject to Cost Accounting Standards Board
requirements, the change must. be applied prospectively to this
contract, and the Disclosure Statement must be amended
accordingly. If the contract price or cost allowance of this contract
is affected by such changes, adjustment shall be made in accordance
with subparagraph (a)(4) or (a)(5) below, as appropriate.
(3) Comply with Il Cost Accounting Standards in
effect on the date of award of this contrpct or if the Contractor Inks
titanium and titanium alloys; or submitted cost or pricing data, on the date of final agreement on
price as shown on the Contractor's signed certificate of current cost
zirconium and zirconium base alloys. (ASPR or pricing data. The Contractor shall also comply with any Cost
li bl to a
s. e
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contract or subcontract of the Contractor. Such compliance shall be
required prospectively from the date of applicability to such
contract or subcontract.
(4) (A) Agree to an equitable adjustment as
provided in the changes clause of this contract if the contract cost is
affected by a change which, pursuant to (3) above, the Contractor is
required to make his established cost accounting practices whether
such practices are covered by a Disclosure Statement or not.
(B) Negotiate with the Contracting Officer
to determine the terms and conditions under which a change to
either a disclosed cost accounting practice or an established cost
accounting practice, other than a change under (4)(A),above, may
be made. A change to a practice may be proposed by either the
Government or the Contractor, provided however, that no agree-
ment may be made under this provision that will increase costs
paid by the United States.
(5) Agree to an adjustment of the contract price or
cost allowance, as appropriate, if he or a subcontractor fails to
comply with an applicable Cost Accounting Standard or to follow
any practice disclosed pursuant to subparagraphs (a)(1) and (a)(2)
above and such failure results in any increased costs paid by the
United States. Such adjustment shall provide for recovery of the
increased costs to the United States together with interest thereon
computed at the rate determined by the Secretary of the Treasury
pursuant to Public Law 92-41, 85 STAT. 97, or seven percent (7%)
per annum, whichever is less, from the time the payment by the
United States was made to the time the adjustment is effected.
(b) If the parties fail to agree whether the Contractor or a
subcontractor has complied with an applicable Cost Accounting
Standard, rule, or regulation of the Cost Accounting Standards
Board and as to any cost adjustment demanded by the United
States, such failure to agree shall be a dispute concerning a question
of fact within the meaning of the Disputes clause of this contract.
(c) The Contractor shall permit any authorized
representatives of the head of the agency, of the Cost Accounting
Standards Board, or of the Comptroller General of the United States
to examine and make copies of any documents, papers, or records
relating to compliance with the requirements of this clause.
(d) The Contractor shall include in all negotiated
subcontracts which he enters into the substance of this clause
except paragraph (b), and shall require such inclusion in all other
subcontracts of any tier, except that this requirement shall apply
only to negotiated subcontracts in excess of $100,000 where the
price negotiated is not-based on:
(i) established catalog or market prices of
commercial items sold in substantial quantities to the general public,
or
(ii) prices set by law or regulation and except that
the requirement shall not apply to negotiated subcontracts
otherwise exempt from the requirement to accept the Cost
Accounting Standards clause by reason of Section 331.30(b) of
Title 4 Code of Federal Regulations (4 CFR 331.30(b)).
Note: (1) Subcontractors shall be required to submit their
Disclosure Statements to the Contractor. However, if a
subcontractor has previously submitted his Disclosure Statement to
(2) In any case where a subcontractor determines
that the Disclosure Statement information is privileged and
confidential and declines to provide it to his Contractor or higher
tier subcontractor, the Contractor may authorize direct submission
of that subcontractor's Disclosure Statement to the same
Government offices to which the Contractor was required to make
submission of his Disclosure Statement, Such authorization shall in
no way relieve the Contractor of liability as provided in paragraph
(a)(5) of this clause. In view of the foregoing and since the contract
may be subject to adjustment under this clause by reason of any
failure to comply with rules, regulations, and Standards of the Cost
Accounting Standards Board in connection with covered
subcontracts, it is expected that the Contractor may wish to include
a clause in each such subcontract requiring the subcontractor to
appropriately indemnify the Contractor. However, the inclusion of
such -a clause and the terms thereof are matters for negotiation and
agreement between the Contractor and the subcontractor, provided
that they do not conflict with the duties of the Contractor under its
contract with the Government. It is also expected that any
subcontractor subject to such indemnification will generally require
substantially similar indemnification to be submitted by his
subcontractors.
(e) The terms defined in Section 331.20 of Part 331 of
Title 4, Code of Federal Regulations (4CFR 331.20) shall have the
same meanings herein. As there defined, "negotiated subcontract"
means "any subcontract except a firm fixed-price subcontract made
by a Contractor or subcontractor after receiving offers from at least
two firms not associated with each other or such Contractor or
subcontractor, providing (1) the solicitation to all competing firms
is identical, (2) price is the only consideration in selecting the
subcontractor from among the competing firms solicited, and (3)
the lowest offer received in compliance with the solicitation from
among those solicited is accepted" (ASPR 7-104.83)
101. LOCAL AFFIRMATIVE ACTION PLAN (1972
DEC) (REVISED)
(a) As used in this clause:
(1) "Hometown Plan" or "Plan" means the formal
agreement among contractors, unions, and minority representatives
described in the solicitation from which this contract resulted;
(2) "the covered area" means the geographical area
described in the solicitation from which this contract resulted;
(3) "Director, OFCC" means the Director, Office
of Federal Contract Compliance, United States Department of
Labor, or any person to whom he delegates authority; and
(4) "minority" means Negro, Spanish-surnamed
American, Oriental, and American Indian, and includes both men
and women.
(b) Whenever the Contractor, or any subcontractor at any
tier, subcontracts a portion of the work involving any construction
trade, he shall include in each such subcontract exceeding $10,000
the provisions of this clause and any applicable minority manpower
utilization goals under this contract, which shall be adopted by his
subcontractor, who shall with regard to his own employees and
subcontractors be bound thereby to the fullextent as if he were the
Contractor.
a Government Administrative Contracting Officer (ACO) he may (c) If the Contractor is signatory to the Plan either
satisfy that requirement by certifying to the Contractor the date of individually or throw h an association, his affirmative action
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paragraphs (a), (b), (c), (1) and (m) of this clause shall apply.
However, to the extent that the Contractor, or any subcontractor at
any tier, employs construction trades that are not covered by the
Plan, all of the provisions of this clause shall apply. For the purposes
of this paragraph (c), construction trades shall be considered not
covered by the Plan: (i) if the Contractor violates a substantial
requirement of the Plan or ceases to be signatory thereto; (ii) if the
Director, OFCC, determines that the Plan is no longer an acceptable
affirmative action plan; (iii) if the employing subcontractor is not or
ceases to signatory to the Plan, either individually or through an
association; (iv) if the construction trade is not one of the trades
participating in the Plan; or (v) if the construction trade, though
participating, is not subject to a specific goal for minority
manpower utilization and has not been exempted from such a goal
by the Director, OFCC.
(d) If the Contractor is not signatory to the Plan, his
affirmative action program shall be in accordance with this clause.
However, if the Contractor subsequently becomes signatory to the
Plan, his affirmative action program shall be in accordance with the
Plan, subject to the provisions of paragraph (c) above.
(e) The Contractor shall make good faith efforts to meet
at least the minimum minority manpower utilization goals set forth
in the solicitation from which this contract resulted. These goals
constitute a commitment of the manhours of employment and
training of minority workers the Contractor will undertake in each
construction trade as a percentage of the total manhours to be
worked in that construction trade on all of the Contractor's
construction work in the covered area during the term of this
contract. The percentage of manhours for minority employment
and training shall be substantially uniform throughout the term of
this contract for each construction trade and for all projects.
Minority employees or trainees shall not be transferred from
employer-to-employer or from project-to-project for the sole
purpose of meeting minority manpower utilization goals.
(f) Minority manpower utilization goals shall be satified,
whenever possible, by employment of qualified minority
journeymen; provided, however, that the Contractor shall comply
with the "Apprentices and Trainees:" clause of this contract;
(g) In order for the nonworking training hours of trainees
to be counted in meeting the minority manpower utilization goals,
such trainees must be employed by the Contractor during the
training period, the Contractor must have made a commitment to
employ the trainees at the completion of their training, and the
trainees must be trained pursuant to established training programs
which must be the equivalent, with repsect to the nature, extent and
duration of training offered, of the training programs provided for
in the Plan.
(h) The Contractor shall take affirmative action to
increase his minority manpower utilization, which action shall be
least as extensive and as specific as the following steps:
(i) Notify community organizations that the
Contractor has employment opportunities available and maintain
records of the organizations' response.
(ii) Maintain a file of the names and addresses of
(iii) Promptly notify the Director, OFCC, when any
union with whom the Contractor has a collective bargaining
agreement has not referred to the Contractor a minority worker sent
by the Contractor, or the Contractor has other information that the
union referral process has impeded him in his efforts to meet his
goal.
(iv) Participate in training programs in the area,
especially those funded by the Department of Labor.
(v) Disseminate his EEO policy within his own
organization by including it in any policy manual; by publicizing it
in company newspaper, annual report, etc.; by conducting staff,
employee and union representatives' meetings to explain and discuss
the policy; by posting of the policy; by posting of the policy; and
by specific review of the policy with minority employees.
(vi) Disseminate his EEO policy externally by
informing, and discussing it with, all recruitment sources; by
advertising in news media, specifically including minority news
media; and by notifying, and discussing it with, all subcontractors
and suppliers
(vii) Make specific and constant personal (both
written and oral) recruitment efforts directed at all minority
organizations, schools with minority students, minority recruitment
organizations and minority training organizations, within the
Contractor's recruitment area.
(viii) Make specific efforts to encourage present
minority employees to recruit their friends and relatives.
(ix) Validate all man specifications, selection
requirements, tests, etc.
(x) Make every effort to provide after-school,
summer and vacation employment to minority youths.
(xi) Develop on-the-job training opportunities and
participate and assist in any association or employer-group training
programs relevant to the Contractor's employee needs consistent
with his obligations under this Local Affirmative Action Plan clause.
(xii) Continually inventory and evaluate all minority
personnel for promotion opportunities and encourage minority
employees to seek such opportunities.
(xiii) Make sure that seniority practices, job
classifications, etc., do not have a discriminatory effect.
(xiv) Make certain all facilities and company
activities are non-segregated.
(xv) Continually monitor all personnel activities to
ensure that his EEO policy is being carried out.
(xvi) Solicit bids for subcontracts from available
minority subcontractors engaged in the trades covered by his
commitment, including circulation of minority contractor
associations
each minority worker referred to him and what action was taken (i) The Contractor shall not, in any event, utilize the
with respect to each such referred worker. if such worker was goals, timetables or affirmative action steps in such a manner as to
neither sent to the union hiring hall for referral, nor employed by cause or result in discrimination against any person on account of
the Contractor, the Contractor's file should document this fact and race, color, religion, sex or national origin
the reasons therefor.
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(j) The Contractor shall be deemed to have met his
commitment to the minority manpower utilization goals if he has
not denied equal employment opportunity and if his minority
manpower utilization rate meets the goals on the total of all of the
Contractor's work in the covered area. The minority manpower
utilization of subcontractors shall not be considered in determining
whether the Contractor has met the minority manpower utilization
goals. The Contractor shall not be found to be in noncompliance
with the obligations of the affirmative action plan solely because of
failure to meet the applicable minority manpower utilization goals.
In the event of such a failure, the Contractor shall be given the
opportunity to demonstrate that he has instituted all of the
affirmative action steps specified in (h) above and has made every
good faith effort to make these steps work toward the attaintment
of the goals, all to the purpose of expanding minority manpower
utilization on all his projects in the covered area. If the Contractor
meets the goals or if' he can demonstrate that he has made every
"good faith" effort to meet those goals, no formal sanctions or
proceedings leading toward sanctions shall be instituted unless it is
otherwise determined that he is not providing equal employment
opportunity. If the Contractor has failed to comply with the
requirements of the Executive Order 11246, as amended, the
implementing regulations, or his obligations hereunder, action will
be taken to impose such sanctions as may be appropriate under the
Executive Order and the regulations. When the Government
proceedswith such formal action, it has the burden of proving that
the Contractor has not met the requirements of his commitment
hereunder, but proof of the Contractor's failure to meet the goals
shall shift to him the requirement to come forward with evidence to
show that he has met the "good faith" requirements of his
commitment. It shall be no excuse that a union with which the
Contractor has a collective bargaining agreement providing for
exclusive referral failed to refer minority employees.
(k) In the event that any work or activity under this
contract takes place in a year later than the latest year for which an
acceptable range of minority manpower utilization was provided in
the solicitation from which this contract resulted, the goals for said
latest year shall apply.
(1) The Contractor, and his subcontractors at any tier,
shall not enter into any subcontract or subcontract modification
subject to Executive Order 11246 of September 24, 1965, as
amended, with any person or firm debarred from, or who has been
determined not to be a "responsible" bidder for, Government
contracts and federally assisted construction contracts pursuant to
the Executive Order. The Contractor, and his subcontractors at any
tier, shall carry out such sanctions and penalties for violation of the
Equal Opportunity clause of this contract, including suspension,
termination and cancellation of existing subcontracts, as may be
imposed or ordered by the Director, OFCC. The Contractor, or his
subcontractorsat any tier, shall be deemed to be in noncompliance
with this clause, the Equal Opportunity clause, and Executive Order
11246, as amended, for any failure to carry out such sanctions and
penalties.
(m) The Contractor shall keep records and file reports
relating to the provisions hereof as may be required by the
Government. (DPC 175-1, 30 Jul 1975)
102, AFFIRMATIVE ACTION FOR HANDICAPPED
WORKERS (1976 MAY)
or applicant for employment is qualified. The contractor agrees to
take affirmative action to employ, advance in employment and
otherwise treat qualified handicapped individuals without discrim-
ination based upon their physical or mental handicap in all employ-
ment practices such as the following: employment, upgrading, de-
motion or transfer, recruitment, advertising, layoff or termini.tion,
rates of pay or other forms of compensation, and selection for
training, including apprenticeship.
(b) The contractor agrees to comply with the rules, regula-
tions, and relevant orders of the Secretary of Labor issued pursuant
to the Act.
(c) In the event of the contractor's noncompliance with
the requirements of this clause, action for noncompliance may be
taken in accordance with the rules, regulations and relevant orders
of the Secretary of Labor issued pursuant to the Act.
(d) The contractor agrees to post in conspicuous places,
available to employees and applicants for employment, notices in a
form to be prescribed by the Director, provided by or through the
Contracting Officer. Such notices shall state the contractor's obli-
gation under the law to take affirmative action to employ and ad-
vance in employment qualified handicapped employees and appli-
cants for employment, and the rights of applicants and employees,
(e) The contractor will notify each labor union or repre-
sentative of workers with which it has a collective bargaining
agreement or other contract understanding, that the contractor is
bound by the terms of section 503 of the Rehabilitation Act of
1973, and is committed to take affirmative action to employ and
advance in employment physically and mentally handicapped indi-
viduals.
(f) The contractor will include the provisions of this
clause in every subcontract or purchase order of $2,500 or more
unless exempted by rules, regulations, or orders of the Secretary
issued pursuant to section 503 of the Act, so that such provisions
will be binding upon each subcontractor or vendor. The contractor
will take such action with respect to any subcontract or purchase
order as the Director of the Office of Federal Contract Compliance
Programs may direct to enforce such provisions, including action for
noncompliance. (ASPR 7-103.28)
(Applicable only if the contract exceeds $100,000, or the
Contracting Officer has determined that orders under an indefinite
quantity contract in any one year will exceed $100,000, or a facility
to be used has been the subject ofa conviction under theClean Air
Act (42 U.S.C. 1857c-8(c) (1)) or the Federal Water Pollution
Control Act 133 U.S.C. 1319(c)) and is itsted by EPA, or the
contract is not otherwise exempt.)
(a) The Contractor agrees as follows:
(i) to comply with all the requirements of section
114 of the Clean Air Act, as amended (42 U.S.C. 1857, et seq., as
amended by Public Law 91-604) and section 308 of the Federal
Water Pollution Control Act (33 U.S.C. 1251, as amended by Public
Law 92-500), respectively, relating to inspection, monitoring,
entry, reports, and information, as well as other requirements
(a) The contractor will not discriminate against any specified in section 114 and section 308 of the Air Act and the
employee or applicant for employment because of physical or Water Act, resoccttvely, and all regulations r Guidelines issued
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Environmental Protection Agency List of Violating Facilities on the
date this contract was awarded unless and until the EPA eliminates
the name of such facility or facilities from such listing;
(iii) to use his best efforts to comply with clean air
standards and clean water standards at the facilities in which the
contract is being performed; and
(iv) to insert the substance of the provisions of this
clause in any nonexempt subcontract, including this paragraph (iv).
(b) The terms used in this clause have the following
meanings.
(1) The term "Air Act" means the Clean Air Act,
as amended (42 U.S.C. 1857 et seq., as amended by Public Law
91-604).
(2) The term "Water Act" means Federal Water
Pollution Control Act, as amended (33 U.S.C. 1251 et seq., as
amended by Public Law 92-500).
(3) The term "clean air standards" means any
enforceable rules, regulations, guidelines, standards, limitations,
orders, controls, prohibitions, or other requirements which are
contained in, issued under, or otherwise adopted pursuant to the Air
Act or Executive Order 11738, an applicable implementation plan
as described in section 110(d) of the Clean Air Act (42 U.S.C.
1857c-5(d)), an approved implementation procedure or plan under
section 111(c) or section 111(d), respectively, of the Air Act (42
U.S.C. 1857c-6(c) or (d)), or an approved implementation
procedure under section 112(d) of the Air Act (42 U.S.C.
1857c-7(d)).
(4) The term "clean water standards" means any
enforceable limitation, control, condition, prohibition, standard or
other requirement which is promulgated pursuant to the Water Act
or contained in a permit issued to a discharger by the Environmental
Protection Agency or by a State under an approved program, as
authorized by section 402 of the Water Act (33 U.S.C. 1342), or by
a local government to ensure compliance with pretreatment
regulations as required by section 307 of the Water Act (33 U.S.C.
1317).
(7) The term "nonexempt contract or subcontract"
means a contract or subcontract of more than $100,000 which is
not otherwise exempted pursuant to the EPA regulations
implementing the Air Act and Water Act (40 CFR 15.5), as further
implemented in ASPR 1-2302.4 or in FPR 1-1.2302--4
(whichever is applicable) and the procedures of the Department
awarding the contract, (ASPR 7-103.29)
104. EQUITABLE ADJUSTMENTS: WAIVER AND
RELEASE OF CLAIMS (7-76)
(a) Whenever the contractor, after receipt of notification
of a change made pursuant to the clause of this contract entitled
"Changes" or after affirmation of a constructive change thereunder,
submits any claim for equitable adjustment under that clause, such
claim shall include all types of adjustments in the total amounts to
which that clause entitles the contractor, including but not limited
to adjustments arising out of delays or disruptions or both caused
by such change. Except as the parties may ? otherwise expressly
agree, the contractor shall be deemed to have waived (i) any
adjustments to which it otherwise might be entitled under the
aforesaid clause where such claim fails to request such adjustments,
and (ii) any increase in the amount of equitable adjustments
additional to those requested in its claim.
(b) Further, the contractor agrees that, if required by the
Contracting Officer, he will execute a release, in form and substance
satisfactory to the Contracting Officer, as part of the supplemental
agreement setting forth the aforesaid equitable adjustment, and that
such release shall discharge the Government, its officers, agents and
employees, from any futher claims, including but not limited to
further claims arising out of delays or disruptions or both, caused by
the aforesaid change.
105. AFFIRMATIVE ACTION FOR DISABLED
VETERANS AND VETERANS OF THE VIETNAM
ERA (1976 JUL)
(This clause is applicable pursuant to 41 C.F.R. 60.250, if
this contract is for $10,000 or more.)
(a) The contractor will not discriminate against any
employee or applicant for employment because he or she is a
disabled veteran or veteran of the Vietnam era in regard to any
position for which the employee or applicant for employment is
qualified. The contractor agrees to take affirmative action to
employ, advance in employment and otherwise treat qualified
disabled veterans and veterans of the Vietnam era without
discrimination based upon their disability or veterans status in all
employment practices such as the following: employment
upgrading, demotion or transfer, recruitment, advertising, layoff or
termination, rates of pay or other forms of compensation, and
selection for training, including apprenticeship. .
(b) The contractor agrees that all suitable employment
openings of the contractor which exist at the time of the execution
of this contract and those which occur during the performance of
this contract, including those not generated by this contract and
including those occurring at an establishment of the contractor
other than the one wherein the contract is being performed but
excluding those of independently operated corporate affiliates, shall
be listed at an appropriate local office of the State employment
service system wherein the opening occurs. The contractor further
agrees to provide such reports to such 'local office regarding
employment openings and hires as may be required.
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(5) The term "compliance" means compliance with
clean air or water standards. Compliance shall also mean compliance
with a schedule or plan ordered or approved by a court of
competent jurisdiction, the Environmental Protection Agency or an
air or water pollution control agency in accordance with the
requirement of the Air Act or Water Act and regulations issued
pursuant thereto.
(6) The term "facility" means any building, plant,
installation, structure, mine, vessel or other floating craft, location,
or site of operations, owned, leased, or supervised by a contractor,
subcontractor, to be utilized in the performance of a contract or
subcontract. Where a location or site of operations contains or
includes more than one building, plant, installation, or structure, the
entire location or site shall be deemed to be a facility except where
the Director, Office of Federal Activities, Environmental Protection
Agency, determines that independent facilities are colocated in one
geographical area.
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State and local government agencies holding Federal
contracts of $ 10,000 or more shall also list all their suitable
openings with the appropriate office of the State employment
service, but are not required to provide those reports set forth in
paragraphs (d) and (e).
(c) Listing of employment openings with the employment
service system pursuant to this clause shall be made at least
concurrently with the use of any other recruitment source or effort
and shall involve the normal obligations which attach to the placing
of a bona fide job order, including the acceptance of referrals of
veterans and nonveterans. The listing of employment openings does
not require the hiring of any particular job applicant or from any
particular group of job applicants, and nothing herein is intended to
relieve the contractor from any requirements in Executive Orders or
regulations regarding nondiscrimination in employment.
(d) The reports required by paragraph (b) of this clause
shall include, but not be limited to, periodic reports which shall be
filed at least quarterly with the appropriate local office or, where
the contractor has more than one hiring location in a State, with the
central office of that State employment service. Such reports shall
indicate for each hiring location (1) the number of individuals hired
during the reporting period, (2) the number of nondisabled veterans
of the Vietnam era hired, (3) the number of disabled veterans of the
Vietnam era hired, and (4) the total number of disabled veterans
hired. The reports should include covered veterans hired for
on-the-job training under 38 USC 1787. The contractor shall submit
a report within 30 days after the end of each reporting period
wherein any performance is made on this contract identifying data
for each hiring location. The contractor shall maintain at each hiring
location copies of the reports submitted until the expiration of one
year after final payment under the contract, during which time
these reports and related documentation shall be made available,
upon request, for examination by any authorized representatives of
the Contracting Officer or of the Secretary of Labor.
Documentation would include personnel records respecting job
openings, recruitment and placement.
(e) Whenever the contractor becomes contractually bound
to the listing provisions of this clause, it shall advise the
employment service system in each State where it has
establishments of the name and location of each hiring location in
the State. As long as the contractor is contractually bound to-these
provisions and has so advised the State system, there is no need to
advise the State system of subsequent contracts. The contractor
may advise the State system when it is no longer bound by this
contract clause.
(1) This clause does not apply to the listing of
employment openings which occur and are filled outside of the 50
States, the District of Columbia, Puerto Rico, Guam, and the Virgin
Islands.
(g) The provisions of paragraphs (b), (c), (d) and (e) of
this clause do not apply to openings which the contractor proposes
to fill from within his own organization or to fill pursuant to a
customary and traditional employer-union hiring arrangement. This
exclusion does not apply to a particular opening once an employer
decides to consider applicants outside of his own organization or
employer-union arrangement for that opening.
(1) "All suitable employment openings" includes,
but is not limited to, openings which occur in the following job
categories: production and nonproduction; plant and office;
laborers and mechanics; supervisory and nonsupervisory; technical;
and executive, administrative, and professional openings as are
compensated on a salary basis of less than $25,000 per year. This
term includes full-time employment, temporary employment of
more than 3 days' duration, and part-time employment. It does not
include openings which the contractor proposes to fill from within
his own organization or to fill pursuant to a customary and
traditional employer-union hiring arrangement nor openings in an
educational institution which are restricted to students of that
institution. Under the most compelling circumstances an
employment opening may not be suitable for listing, including such
situations where the needs of the Government cannot reasonably be
otherwise supplied, where listing would be contrary to national
security, or where the requirement of listing would otherwise not be
for the best interest of the Government.
(2) "Appropriate office of the State employment
service system" means the local office of the Federal-State national
system of public employment offices with assigned responsibility
for serving the area where the employment opening is to be filled,
including the District of Columbia, Guam, Puerto Rico, and the
Virgin Islands,
(3) "Openings which the contractor proposes to fill
from within his own organization" means employment openings for
which no consideration will be given to persons outside the
contractor's organization (including any affiliates, subsidiaries, and
the parent companies) and includes any openings which the
contractor proposes to fill from regularly established "recall" lists.
(4) "Openings which the contractor proposes to fill
pursuant to a customary and traditional employer-union hiring
arrangement" means employment openings which the contractor
proposes to fill from union halls, which is part of the customary and
traditional hiring relationship which exists between the contractor
and representatives of his employees.
(i) The contractor agrees to comply with the rules,
regulations, and relevant orders of the Secretary of Labor issued
pursuant to the Vietnam Veterans Readjustment Act, hereinafter
referred to as the "Act" (38 U.S.C. 2012).
(j) In the event of the contractor's noncompliance with
the requirements of this clause, actions for noncompliance may be
taken in accordance with the rules, regulations, and relevant orders
of the Secretary of Labor issued pursuant to the Act.
(k) The contractor agrees to post in conspicuous places,
available to employees and applicants for employment, notices in a
form to be prescribed by the Director, Office of Federal Contract
Compliance Programs, provided by or through the Contracting
Officer. Such notice shall state the contractor's obligation under the
law to take affirmative action to employ and advance in
employment qualified disabled veterans and veterans of the Vietnam
era for employment, and the rights of applicants and employees.
(1) The contractor will notify each labor union or
representative of workers with which it has-a collective bargaining
agreement or other contract understanding, that the contractor is
bound by the terms of the Vietnam Era Veterans Readjustment
Assistance Act, and is committed to take affirmative action to
employ and advance in employment qualified disabled veterans and.
veterans of the Vietnam Era.
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(m) The contractor will include the provisions of this
clause in every subcontract or purchase order of $10,000 or more
unless exempted by rules, regulations, or orders of the Secretary
issued pursuant to the Act, so that such provisions will be binding
upon each subcontractor or vendor. The contractor will take such
action with respect to any subcontract or purchase order as the
Director of the Office of Federal Contract Compliance Programs
may direct to enforce such provisions, including action for.
noncompliance. (ASPR 7-103.27)
106. ADMINISTRATION OF COST ACCOUNTING
STANDARDS (1975 MAR)
For the purpose of administering Cost Accounting Standards
requirements under this contract, the Contractor shall:
(a) Submit to the cognizant Contracting Officer a
description of the accounting change and the general dollar
magnitude of the change to reflect the sum of all increases and the
sum of all contracts containing the Cost Accounting Standards
clause (7-104,83(a)):
(i) for any change in cost accounting practices
required to comply with a new Cost Accounting Standard in
accordance with paragraphs (a)(3) and (a)(4)(A) of the clause of this
contract entitled Cost Accounting Standards within sixty (60) days
(or such other date as may be mutually agreed to) after award of a
contract requiring such change;
(fi) for any change to cost accounting practices
proposed in accordance with paragraph (a)(4)(B) of the clause of
this contract entitled Cost Accounting Standards not less than sixty
(60) days (or such other date as may be mutually agreed to) prior to
the effective date of the proposed change; or
(iii) for any failure to comply with an applicable
Cost Accounting Standard or to follow a disclosed practice as
contemplated by paragraph (a)(5) of the clause of this contract
entitled Cost Accounting Standards within sixty (60) days (or such
other date as may be mutually agreed to) after the date of
agreement of such noncompliance by the Contractor.
(b) Submit a cost impact proposal in the form and manner
specified by the cognizant Contracting Officer within sixty (60)
days (or such other date as may be mutually agreed to) after the
date of dete;urination of the adequacy, and dolnpljance of a change
submitted pursuant to (a)(i), (ii), or (iii) above.
(c) Agree to appropriate contract and subcontract
amendments to reflect adjustments established in accordance with
paragraphs (a)(4) and (a)(5) of the clause of this contract entitled
Cost Accounting Standards.
(d) Include the substance of this clause in all negotiated
subcontracts containing the clause entitled Cost Accounting
Standards. In addition, include a provision in these subcontracts
which will require such subcontractors, within thirty (30) days after
receipt of award, to submit the following information to the
Contract Administration Office cognizant of the subcontractor's
facility.
(1)
(2)
(3)
Subcontractor's name and subcontract number.
Dollar amount and date of award.
Name of Contractor making the award.
(4) A statement as to whether the subcontractor
has made or proposes to make any changes to accounting practices
that affect prime contracts or subcontracts containing the Cost
Accounting Standards clause unless such changes have already been
reported. if award of the subcontract results in making a Cost
Accounting Standard(s) effective for the first time, this shag also be
reported
(e) In the event an adjustment is required to be made to
any subcontract hereunder, notify the Contracting Officer in writing
of such adjustment and agree to an adjustment in the price or
estimated cost and fee of this contract, as appropriate, based upon
the adjustment established under the subcontract. Such notice shall
be given within thirty (30) days after receipt of the proposed
subcontract adjustment, and shall include a proposal for adjustment
to such higher tier subcontract or prime contract as appropriate.
(f) When the Cost Accounting Standards clause and this
clause are included in subcontracts, the term "Contracting Officer"
shall be suitably altered to identify the purchaser. (ASPR
7-104.83(b))
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14: ALTERNTIONS: (10-76) (C"ONSTRUCTION CONTRACT)
The Labor Sra,-Aards P sions (11-75) are hereby modified 'as follows:
.In the table of contents under 3 APPRENTICES AND T '.INEE.S delete (1975
Ai3G) a substitute (1976 CK r) therefore ,
PROMSIS*,= 3 APPi.~7TIC:E`,S AND TRA.:IMES (1975 AUG) is hereby deleted aril
new PR~'v S~CW 3 APPRE TICES AND TRAINEES (1976 O CT) attached hereto is
Substituted therefor.
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(a) Appreoticca sihatl be permitted to work as such only when they arc registered. individually.
API'RE:NTIC1?S AND TItAI,ILES (1976 OCT)
the. same labor market area, both public and private, during the performance of this contract.
addition, the Contractor who claims compliance based on the criterion set forth to paragraph
(4)(ii) of this clause shall maintain such records of erng:!oynicnt on all his construction work in
tract a number of apprentices or trainees, or both, in each occupation, which bears to the average
number of the journeymen in that occupation to he employed in the performance of the contract
the applicable ratio as set orth in paragraph (c)(6) of this clause.
(1) Tha Contractor shall assure that twenty-five percent (25%) of such apprentices or
trainees in each occupation are in their first sear of training, where feasible. Fcasibiiity here in-
volves a consideration of (i) the availability of training o2, eranities for first year apprentices.
(ii) the hazardous nature of the work for beginning workers and (it;) excessive unemployment of,
apprentices in their second and subsequent years of training.
(2) The Contractor shall, during the performance of the contract, to the greatest extent
possible, employ the number of apprentices or trainees necessary to meet currently the require-
ments of paragraphs (c) and (c)( I ) of this clause.
(3) The Contractor shall main4ain recurd.s of employrr.ent on this contract by trade of the
number or apprentices and trainees, apprcnticcs and trainees in first year of training, and of jour
neymen, and. the wages paid and hours of work of such apprcr,ticcs. trainees and journeymen. In
rate, who is not a trainee as defined in subparagraph (b) of this clause, who is not registered as
above, shall be paid lit wage rate determined by the Secretary of Labor for the classification of
work he actually performed. The Contractor shall furnish written csidencc of the registration of
his program and apprentices as well as of the ratios allowed and the wage rates required to be
paid thcreundcr for the area of construction, prior to using any apprentices in the contract work.
"Apprentice" means a person cmp loycd and individually registered in a bona.fidc apprenticeship
program registered with the United States 1)rpartment of Labor. Bureau of Apprenticeship and
Training, or with a State apprenticeship agency recognized by the Bureau, or a person in his first
90 days of probationary employment as an apprentice in such an apprenticeship program, who is
not individually regis Bred in the program. but who has been certified by the Bureau of Ap-
prenticeship and Training or a State Apprenticeship Council to be eligible for, probationary em-
ployment as an apprentice.
(b) Trainees shall be permitted to work as such when they are bona fide trainees employed pur-
suaht to a program approved by the U.S. Department of Labor, I nployment and Training Ad-
ministration, Bureau of Apprenticeship and Training. "Trainee" means a person receiving on-the-
job training in a construction occupation under a program which is approved but not necessarily
sponsored by The U.S. Department of Labor, Employment and Training Administration, Bureau
of Apprenticeship and Training, and which is reviewed from time to time by the Employment and
Training Administration to insure that the training meets adequate standards.
(c) The Contractor shall make a diligent effort to hire for performance of work under this eon-
under a bona rude apprenticeship, program registered with a State apprenticeship agcncy which is
recognised by the Bureau of Apprenticeship :and Training, United States Department of Labor;
or. if no such rccognircd agency exists in a State, under a program registered with the aforesaid
Bureau of Apprenticeship and Training. I he allowable ratio of apprentices to je urncymen in any
craft classification shall not be greater than the ratio permitted to the Contractor as to his entire
work force under the regi>tcrcd program; Any employee listed on a payroll at an apprentice wage
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U.S. l>ep:rrtmcnt of Labor's !turecru of Api'renticcship and Trsi:ur.j. (iii) For any oc.upation for
which no such rccommctrdatiuns arc found, the r,itiu of ahlaenticcs and trainees to journeymen
shall be at Icast one apprentice or trainee for every five journeynicn.
cupatio^ for which no r.ttur is found. the r.rtio of api>:entices and trarnecs to journeymen shalt be
dcIerminecl by talc Contr.ictrrr ire a e eoidlance with Itrc rceornnserr l.tionsset forth in the Standards
of the Nail coal Joint Apprenf.c ('ox rmitice ft,r the occul,atuen, t0hieu arc on file at offices ofthe
prentices and trainees to journeymen shall be equal to the predominant ratio for the occupation
In the area where the construction is being undertaken, set forth in collective bargaining scree-
ments, or otlicr employment aCrcemcnt.% and a~ailahle through the llurcau of Apprenticeshipand
Training Itcprescntative, U.S. l)epartnicnt of labor for the Inca!ity of the work. (ii) hor'any oc-
(6) The ap plicab!r ratios of apprentices and trainees to journeymen In any occupation for
the purpose of this'clausc shall be as follo