GENERAL PROVISIONS (CONSTRUCTION CONTRACTS)

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP61-00763A000300090047-2
• Release Decision: RIFPUB
• Original Classification: K
• Document Page Count: 4
• Document Creation Date: November 11, 2016
• Document Release Date: March 22, 1999
• Sequence Number: 47
• Content Type: FORM

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MARCH 195_3~A
PRESCRIBED BY GEIA oro*d For RN A& 8 NA-ROM JIV- 4000300090047-2
SERVICES o
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GENERAL AL REGULATION NO. 13 (CONSTRUCTION CONTRACTS)
1. DEFINITIONS S. TERMINATION FOR DEFAULT-DAMAGES FOR
(a) The term "head of the department" as used herein DELAY-TIME EXTENSIONS
shall mean the head or any assistant head of the executive (a) If the Contractor refuses or fails to prosecute the
department or independent establishment involved, and the work, or any separable part thereof, with such diligence as
term "his duly authorized representative" shall mean any will insure its completion within the time specified in this
person authorized to act for him other than the Contracting contract, or any extension thereof, or fails to complete said
Officer. work within such time, the Government may, by written
(b) The term "Contracting Officer" as used herein, shall notice to the Contractor, terminate his right to proceed
include his duly appointed successor or his authorized with the work or such part of the work as to which there
representative. has been delay. In such event the Government may take
2. SPECIFICATIONS AND DRAWINGS over the work and prosecute the same to completion, by
The Contractor shall keep on the work a copy of the contract or otherwise, and the Contractor and his sureties
drawings and specifications alloks no shall at a a cos o give the shall be liable to the Government for any excess cost occa-
Contracting Officer access thereto. Anything mentioned for delay, the as fixed in Government the thereby, ace o liquidated damages
accompanying
in the specifications and not shown on the drawings, or pop rs, until fixed
such xed reasonable timtimay be a rrequired for
shown on the drawings and not mentioned in the specifica- the fin,al l completion of the er if may liquidated required damages
tions, shall be of like effect as if shown or mentioned in the final work, or es
both. In case of difference between drawings and specifi- are not so fixed, any actual damages occasioned by such
cations, the specifications bons shall delay. If the Contractor's right to proceed is so termi-
termi-
P govern. In any case of nated, the Government may take possession of and utilize
discrepancy either in the figures, in the drawings, or in the in completing the work such materials, appliances, and
specifications, the matter shall be promptly submitted. to
the Contracting Officer, who shall promptly make a deter- plant as may be on the site of the work and necessary
mination in writing. Any adjustment by the Contractor therefor.
in minate rat right of
without this determination shall be at his own risk and the (b) If the Contractor to proceed, provided otterminate
expense. The Contracting Officer shall furnish from time he, as paragraph which
which
to time such detail drawings and other information as he event t ' and the his sureties Contractor shall
shall continue
be lc be liable to the the work, Government,
may consider necessary, unless otherwise provided. evshanment,
in the amount set forth in the specifications s or accompany-
3. CHANGES ing papers, for fixed, agreed, and liquidated damages for
The Contracting Officer may at any time, by a written each calendar day of delay until the work is completed or
order, and without notice to the sureties, make changes in accepted, or if liquidated damages are not so fixed, any
the drawings and/or specifications of this contract and actual damages occasioned by such delay.
within the general scope thereof. If such changes cause (c) The right of the Contractor to proceed shall not be
an increase or decrease in the amount due under this con- terminated, as provided in paragraph (a) hereof, nor the
tract, or in the time required for its performance, an equit- Contractor charged with liquidated or actual damages, as
able adjustment shall be made and the contract shall be provided in paragraph (b) hereof because of any delays in
modified in writing accordingly. Any claim of the Con- the completion of the work due to unforeseeable causes
tractor for adjustment under this clause must be asserted beyond the control and without the fault or negligence of
in writing within 30 days from the date of receipt by the the Contractor, including, but not restricted to, acts of God,
Contractor of the notification of change: Provided, how- or of the public enemy, acts of the Government, in either
ever, That the Contracting Officer, if he determines that its sovereign or contractual capacity, acts of another con-
the facts justify such action, may receive and consider, tractor in the performance of a contract with the Govern-
and adjust any such claim asserted at any time prior to ment, fires, floods, epidemics, quarantine restrictions,
the date of final settlement of the contract. If the parties strikes, freight embargoes, and unusually severe weather,
fail to agree upon the adjustment to be made the dispute or delays of subcontractors or suppliers due to such causes:
shall be determined as provided in Clause 6 hereof. But Provided, That the Contractor shall within 10 days from
nothing provided in this clause shall excuse the Contractor the beginning of any such delay, unless the Contracting
from proceeding with the prosecution of the work as Officer shall grant a further period of time prior to the
changed. Except as otherwise herein provided, no charge date of final settlement of the contract, notify the Contract-
for any extra work or material will be allowed. ing Officer in writing of the causes of delay. The Con-
tracting Officer shall ascertain the facts and the extent of
4. CHANGED CONDITIONS the delay and extend the time for completing the work when
The Contractor shall promptly, and before such con- in his judgment the findings of fact justify such an exten-
ditions are disturbed, notify the Contracting Officer in sion, and his findings of fact thereon shall be final and
writing of: (1) subsurface or latent physical conditions conclusive on the parties hereto, subject only to appeal as
at the site differing materially from those indicated in this provided in Clause 6 hereof.
contract, or (2) unknown physical conditions at the site, of
an unusual nature, differing materially from those ordinarily 6. DISPUTES
encountered and generally recognized as inhering in work Except as otherwise provided in this contract, any
of the character provided for in this contract. The Con- dispute concerning a question of fact arising under this
tracting Officer shall promptly investigate the conditions, contract which is not disposed of by agreement shall be
and if he finds that such conditions do so materially differ decided by the Contracting Officer, who shall reduce his
and cause an increase or decrease in the cost of, or the time decision to writing and mail or otherwise furnish a copy
required for, performance of this contract, an equitable thereof to the Contractor. Within 30 days from the date
adjustment shall be made and the contract modified in of receipt of such copy, the Contractor may appeal by
writing accordingly. Any claim of the Contractor for mailing or otherwise furnishing to the Contracting Officer
adjustment hereunder shall not be allowed unless he has a written appeal addressed to the head of the department,
given notice as above required; provided that the Con- and the decision of the head of the department or his duly
tracting Officer may, if he determines the facts so justify, authorized representatives for the hearings of such appeals
consider and adjust any such claim asserted before the shall, unless determined by a court of competent jurisdiction
date of final settlement of the contract. If the parties fail to have been fraudulent, arbitrary, capricious, or so grossly
to agree upon the adjustment to be made, the dispute shall erroneous as necessarily to imply bad faith, be final and
be determined asipr'0f & r6f k'LP1ase : CIA-REYP8 1eOVr~J7~IM8OGO9OJw~'7'a to the head
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 4DDr..ovedFotReiease_:-CJA-RDP.-fiJr 90,7,6,3A- 4 A047,r
of the department is taken, h ecision o ,.re o t t
Officer shall be final and conclusive. 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 its appeal. Pending final decision
of a dispute hereunder, the Contractor shall proceed dili-
gently with the performance of the contract and in accord-
ance with the Contracting Officer's decision.
7. PAYMENTS TO CONTRACTORS
(a) Unless otherwise provided in the specifications,
partial payments will be made as the work progresses at
the end of each calendar month, or as soon thereafter as
practicable, or at more frequent intervals as determined
by the Contracting Officer, on estimates made and approved
by the Contracting Officer. In preparing estimates the
material delivered on the site and preparatory work one
may be taken into consideration.
(b) In making such partial payments there shall be
retained 10 percent on the estimated amount until final
completion and acceptance of all work covered by the
contract: Provided, however, That the Contracting
Officer, at any time after 50 percent of the work has been
completed, if he finds that satisfactory progress is being
made, may make any of the remaining partial payments in
full: And provided further, That on completion and
acceptance of each separate building, public work, or other
division of the contract, on which the price is stated sepa-
rately in the contract, payment may be made in full,
including retained percentage thereon, less authorized
deductions.
(c) All material and work covered by partial payments
made shall thereupon become the sole property of the
Government, but this provision shall not be construed as
relieving the Contractor from the sole responsibility for all
materials and work upon which payments have been made
or the restoration of any damaged work, or as a waiver of
the right of the Government to require the fulfillment of
all of the terms of the contract.
(d) Upon completion and acceptance of all work re-
quired hereunder, the amount due the Contractor under
this contract will be paid upon the presentation of a prop-
erly executed and duly certified voucher therefor, after the
Contractor shall have furnished the Government with a
release, if required, of all claims against the Government
arising under and by virtue of this contract, other than
such claims, if any, as may be specifically excepted by the
Contractor from the operation of the release in stated
amounts to be set forth therein. If the Contractor's claim
to amounts payable under the contract has been assigned
under the Assignment of Claims Act of 1940, as amended
(41 U. S. C. 15), a release may also be required of the
assignee at the option of the Contracting Officer.
8. MATERIALS AND WORKMANSHIP
Unless otherwise specifically provided for in the specifi-
cations, all equipment, materials, and articles incorporated
in the work covered by this contract are to be new and of
the most suitable grade of their respective kinds for the
purpose and all workmanship shall be first class. Where
equipment, materials, or articles are referred to in the
specifications as "equal to" any particular standard, the
Contracting Officer shall decide the question of equality.
The Contractor shall furnish to the Contracting Officer
for his approval the name of the manufacturer of machinery,
mechanical and other equipment which he contemplates
incorporating in the work, together with their performance
capacities and other pertinent information. When required
by the specifications, or when called for by the Contracting
Officer, the Contractor shall furnish the Contracting Officer
for approval full information concerning the materials or
articles which he contemplates incorporating in the work.
Samples of materials shall be submitted for approval when
so directed. Machinery, equipment, materials, and articles
installed or used without such approval shall be at the
risk of subsequent rejection. The Contracting Officer may
petent, careless, insubordinate, or otherwise objectionable,
or whose continued employment on the work is deemed by
the Contracting Officer to be contrary to the public interest.
9. INSPECTION
(a) Except as otherwise provided in paragraph (d) hereof
all material and workmanship, if not otherwise designated
by the specifications, shall be subject to inspection, exam-
ination, and test by the Contracting Officer at any and all
times during manufacture and/or construction and at any
and all places where such manufacture and/or construction
are carried on. The Government shall have the right to
reject defective material and workmanship or require its
correction. Rejected workmanship shall be satisfactorily
corrected and rejected material shall be satisfactorily re-
placed with proper material without charge therefor, and
the Contractor shall promptly segregate and remove the
rejected material from the premises. If the Contractor
fails to proceed at once with the replacement of rejected
material and/or the correction of defective workmanship
the Government may, by contract or otherwise, replace
ouch material and/or correct such workmanship and charge
the cost thereof to the Contractor, or may terminate the
right of the Contractor to proceed as provided in Clause 5
of this contract, the Contractor and surety being liable for
any damage to the same extent as provided in said Clause
5 for terminations thereunder.
(b) The Contractor shall furnish promptly without addi-
tional charge, all reasonable facilities, labor, and materials
necessary for the safe and convenient inspection and test
that may be required by the Contracting Officer. All
inspection and tests by the Government shall be performed
in such manner as not unnecessarily to delay the work.
Special, full size, and performance tests shall be as described
in the specifications. The Contractor shall be charged
with any additional cost of inspection when material and
workmanship are not ready at the time inspection is
requested by the Contractor.
(c) Should it be considered necessary or advisable by the
Government at any time before final acceptance of the
entire work to make an examination of work already com-
pleted, 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 fault of
the Contractor or his subcontractors, he shall defray all
the expenses of such examination and of satisfactory recon-
struction. If, however, such work is found to meet the
requirements of the contract, the actual direct cost of labor
and material necessarily involved in the examination and
replacement, plus 15 percent, shall be allowed the Con-
tractor and he shall, in addition, if completion of the work
has been delayed thereby, be granted a suitable extension
of time on account of the additional work involved.
(d) Inspection of material and finished articles to be
incorporated in the work at the site shall be made at the
place of production, manufacture, or shipment, whenever
the quantity justifies it, unless otherwise stated in the
specifications, and such inspection and written or other
formal acceptance, unless otherwise stated in the specifi-
cations, shall be final, except as regards latent defects,
departures from specific requirements of the contract,
damage or loss in transit, fraud, or such gross mistakes as
amount to fraud. Subject to the requirements contained
in the preceding sentence, the inspection of material and
workmanship for final acceptance as a whole or in part
shall be made at the site. Nothing contained in this
paragraph (d) shall in any way restrict the Government's
rights under any warranty or guarantee.
10. SUPERINTENDENCE BY CONTRACTOR
The Contractor shall give his personal superintendence
to the work or have a competent foreman or superintendent,
satisfactory to the Contracting Officer, on the work at all
times during progress, with authority to act for him.
Approved For Release : CIA-RDP61-00763A000300090WA2
 11. PERMITS AND K%"FI R M WORK, -~DP6l-9r o~m~9~9O ~9Q147u; , respect to
ETC. supplies excepted by the head of the department from the
The Contractor shall, without additional expense to the application of that Act, (ii) with respect to supplies for use
Government, obtain all licenses and permits required for outside the United States, or (iii) with respect to the sup-
the prosecution of the work. He shall be responsible for plies to be used in the performance of work under this
all damages to persons or property that occur as a result contract which are of a class or kind determined by the
of his fault or negligence in connection with the prosecution head of the department or his duly authorized representa-
of the work. He shall also be responsible for all materials tive not to be mined, produced, or manufactured, as the
delivered and work performed until completion and final case may be, in the United States in sufficient and reason-
acceptance, except for any completed unit thereof which ably available commercial quantities and of a satisfactory
theretofore may have been finally accepted. quality, or (iv) with respect to such supplies, from which the
12. OTHER CONTRACTS supplies to be used in the performance of work under this
contract are manufactured, as are of a class or kind de-
The Government may undertake or award other con- termined by the head of the department or his duly author-
tracts for additional work, and the Contractor shall fully ized representative not to be mined, produced, or manufac-
cooperate with such other contractors and Government tured, as the case may be, in the United States in sufficient
employees and carefully fit his own work to such additional and reasonably available commercial quantities and of a
work as may be directed by the Contracting Officer. The satisfactory quality, provided that this exception (iv) shall
interfere with the performance of work by any other con- contract of supplies manufactured outside the United
tractor or by Government employees. States if such supplies are manufactured in the United States
13. PATENT INDEMNITY in sufficient and reasonably available commercial quantities
Except as otherwise provided, the Contractor agrees to and of a satisfactory quality.
indemnify the Government and its officers, agents and em- 18. CONVICT LABOR
ployees against liability, including costs and expenses, for In connection with the performance of work under this
infringement upon any Letters Patent of the United States contract, the Contractor agrees not to employ any person
(except Letters Patent issued upon an application which is undergoing sentence of imprisonment at hard labor.
now or may hereafter be, for reasons of national security,
ordered by the Government to be kept secret or otherwise 19. NONDISCRIMINATION IN EMPLOYMENT
withheld from issue) arising out of the performance of this In connection with the performance of work under this
contract or out of the use or disposal by or for the account contract, the Contractor agrees not to discriminate against
of the Government of supplies furnished or construction any employee or applicant for employment because of race,
work performed hereunder. creed, color, or national origin; and further agrees to
14. ADDITIONAL BOND SECURITY insert the foregoing provision in all subcontracts hereunder
If any surety upon any bond furnished in connection with except subcontracts for standard commercial supplies or
this contract becomes unacceptable to the Government, for raw materials.
or if any such surety fails to furnish reports as to his finan- 20. DAVIS-BACON ACT (40 U. S. C. 276a-a(7))
cial condition from time to time as requested by the Govern- (a) All mechanics and laborers employed or working
ment, the Contractor shall promptly furnish such additional directly upon the site of the work will be paid uncondi-
security as may be required from time to time to protect tionally and not less often than once a week, and without
the interests of the Government and of persons supplying subsequent deduction or rebate on any account (except
labor or materials in the prosecution of the work contem- such payroll deductions as are permitted by the Copeland
plated by this contract. Act (Anti-Kickback) Regulations (29 CFR, Part 3)) the
15. COVENANT AGAINST CONTINGENT FEES full amounts due at time of payment, computed at wage
The Contractor warrants that no person or selling agency rates not less than those contained in the wage determina-
has been employed or retained to solicit or secure this tion decision of the Secretary of Labor which is attached
contract upon an agreement or understanding for a com- hereto and made a part hereof, regardless of any contrac-
mission, percentage, brokerage, or contingent fee, excepting tual relationship which may be alleged to exist between the
bona fide employees or bona fide established commercial Contractor or subcontractor and such laborers and me-
or selling agencies maintained by the Contractor for the chanics; and a copy of the wage determination decision
purpose of securing business. For breach or violation of shall be kept posted by the Contractor at the site of the
this warranty the Government shall have the right to annul work in a prominent place where it can be easily seen by
this contract without liability or in its discretion to deduct the workers.
from the contract price or consideration the full amount of (b) In the event it is found by the Contracting Officer
such commission, percentage, brokerage, or contingent fee. that any laborer or mechanic employed by the Contractor
or any subcontractor directly on the site of the work
16. OFFICIALS NOT TO BENEFIT covered by this contract has been or is being paid at a
No member of or Delegate to Congress, or Resident rate of wages less than the rate of wages required by para-
Commissioner, shall be admitted to any share or part of graph (a) of this clause, the Contracting Officer may (1)
this contract, or to any benefit that may arise therefrom; by written notice to the Government Prime Contractor
but this provision shall not be construed to extend to this terminate his right to proceed with the work, or such part
contract if made with a corporation for its general benefit. of the work as to which there has been a failure to pay said
required wages, and (2) prosecute the work to completion
17. BUY AMERICAN ACT by contract or otherwise, whereupon such Contractor and
The Contractor agrees that in the performance of the his sureties shall be liable to the Government for any excess
work under this contract the Contractor, subcontractors, costs occasioned the Government thereby.
material men and suppliers shall use only such unmanu- (c) Paragraphs (a) and (b) of this clause shall apply to
factured articles, materials and supplies (which term this contract to the extent that it is (1) a prime contract
"articles, materials and supplies" is hereinafter referred with the Government subject to the Davis-Bacon Act or
to in this clause as "Supplies") as have been mined or (2) a subcontract under such prime contract.
produced in the United States, and only such manufactured
supplies as have been manufactured in the United States 21. EIGHT-HOUR LAWS-OVERTIME COMPENSA-
substantially all from supplies mined, produced, or manu- TION
factured, as the case may be, in the United States. Pur- No laborer or mechanic doing any part of the work con-
suant to the Buy American Act (41 U. S. C. 10a-d), the templated by this contract, in the employ of the Contractor
Approved For Release : CIA.RDP61-00763A000300090047-2 18-(18473-1
 or any subcontractor confrillffgQdr'6'y.irY o3'~~ilw'bre
contemplated, shall be required or permitted to work more
than eight hours in any one calendar day upon such work,
except upon the condition that compensation is paid to
such laborer or mechanic in accordance with the provisions
of this clause. The wages of every laborer and mechanic
employed by the Contractor or any subcontractor engaged
in the performance of this contract shall be computed on a
basic day rate of eight hours per day and work in excess
of eight hours per day is permitted only upon the condition
that every such laborer and mechanic shall be compensated
for all hours worked in excess of eight hours per day at not
less than one and one-half times the basic rate of pay.
For each violation of the requirements of this clause a
penalty of five dollars shall be imposed for each laborer or
mechanic for every calendar day in which such employee
is required or permitted to labor more than eight hours
upon said work without receiving compensation computed
in accordance with this clause, and all penalties thus im-
posed shall be withheld for the use and benefit of the
Government: Provided, That this stipulation shall be
subject in all respects to the exceptions and provisions of
the Eight-Hour Laws as set forth in 40 U. S. C. 321, 324,
325, 325a, and 326, which relate to hours of labor and
compensation for overtime.
22. APPRENTICES
Apprentices will be permitted to work only under a bona
fide apprenticeship program registered with a State Appren-
ticeship Council which is recognized by the Federal Com-
mittee on Apprenticeship, U. S. Department of Labor; or
if no such recognized Council exists in a State, under a pro-
gram registered with the Bureau of Apprenticeship, U. S.
Department of Labor.
23. PAYROLL RECORDS AND PAYROLLS
(a) Payroll records will be maintained during the course
of the work and preserved for a period of three years there-
after for all laborers and mechanics working at the site of
the work. Such records will contain the name and address
of each such employee, his correct classification, rate of pay,
daily and weekly number of hours worked, deductions made
and actual wages paid. The Contractor will make his
employment records available for inspection by authorized
representatives of the Contracting Officer and the U. S.
Department of Labor, and will permit such representatives
to interview employees during working hours on the job.
CE,ARDrtif el 0
copy 07g31O100UP04Tm tied
weekly to the Contracting Officer. The Government Prime
Contractor will be responsible for the submission of certified
copies of the payrolls of all subcontractors. The certifi-
cation will affirm that the payrolls are correct and complete,
that the wage rates contained therein are not less than the
applicable rates contained in the wage determination deci-
sion of the Secretary of Labor attached to this contract,
and that the classifications set forth for each laborer or
mechanic conform with the work he performed.
24. COPELAND (ANTI-KICKBACK) ACT-NONRE-
BATE OF WAGES.
The regulations of the Secretary of Labor applicable to
Contractors and subcontractors (29 CFR, Part 3), made
pursuant to the Copeland Act, as amended (40 U. S. C.
276c) and to aid in the enforcement of the Anti-Kickback
Act (18 U. S. C. 874) are made a part of this contract by
reference. The Contractor will comply with these regu-
lations and any amendments or modifications thereof and
the Government Prime Contractor will be responsible for
the submission of affidavits required of subcontractors
thereunder. The foregoing shall apply except as the
Secretary of Labor may specifically provide for reasonable
limitations, variations, tolerances, and exemptions.
25. WITHHOLDING OF FUNDS TO ASSURE WAGE
PAYMENT
There may be withheld from the Contractor so much of
the accrued payments or advances as may be considered
necessary to pay laborers and mechanics employed by the
Contractor or any subcontractor the full amount of wages
required by this contract. In the event of failure to pay
any laborer or mechanic all or part of the wages required
by this contract, the Contracting Officer may take such
action as may be necessary to cause the suspension, until
such violations have ceased, of any further payment,
advance, or guarantee of funds to or for the Government
Prime Contractor.
26. SUBCONTRACTS-TERMINATION
The Contractor agrees to insert Clauses 20 through 26
hereof in all subcontracts and further agrees that a breach
of any of the requirements of these clauses may be grounds
for termination of this contract. The term "Contractor"
as used in such clauses in any subcontract shall be deemed
to refer to the subcontractor except in the phrase "Govern-
ment Prime Contractor."
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