(SANITIZED)

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP89-00244R000100020002-9
• Release Decision: RIPPUB
• Original Classification: K
• Document Page Count: 71
• Document Creation Date: December 27, 2016
• Document Release Date: April 27, 2012
• Sequence Number: 2
• Publication Date: June 1, 1980
• Content Type: MF

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III. ENVIRONMENTAL
Energy Policy and Conservation Act, Pub. L. 94-163, December 27, 1975. 89 Stat.
Coastal Zone Management Act of 1972. and Amendments of 1976, Pub. L. 894:x4,
as added Pub. L. 92-58:3, Oct. 27, 1972, 86 Stat. 1280, as amended, Pub. L. 94-370,
92 Stat. 3289, 42 U.S.C. 8301 et seq.
U.S.C. 4901-4918.
Stat. 3206, 42 U.S.C. 8201 et seq.
Noise Control Act of 1972, Pub. L. 92-574, Oct. 27, 1972, -86 Stat. 1`1:34, as amended 42
1251 et seq.
2601-2629.
Federal Water Pollution Control Act ("Clean Water Act"), Act of June 30, 1948... c.
758, title V, as added, Pub.. L. 92-500, Oct. 18, 1972. 86 Stat. 8913, and amended by
Pub. L. 95-217, Dec. 27, 1977, 91 Stat. 1566 ("Clean Water Act of 19777), 33 U.S.C.
Wetland."
agement."
Executive Order No. 11593, May 15, 1971 (36 F.R. 8921; 3 CFR), "Protection and
Enforcement of the Cultural Environment."
Executive Order No. 11602, Jun. 29, 1971 (36 F.R. 12475; 3 CFR) as superseded by
Ex. Ord. No. 11739, Sep. 12, 1973 (38 F.R. 25161; 3 CFR), "Administration of the
Clean Air Act with respect to Federal Contracts. Grants. & Loans.
Executive Order No. 1.1988, May 24. 1977 (42` F.R. 26951; 3 CFR), "Floodpla.n Man-
Executive Order No. 11514. Mar. 5. 1970 (35 F.R. 4247; 3 CFR), "Protection and
Enforcement of Environmental Quality", as amended by Ex. Ord. No. 11991, May
93-773, Oct. 26, 1974, 88 Stat. 1431, as amended 42 U.S.C. 5551 et seq.
Solid Waste Disposal Act, Pub. L. 89-272, Title II, Oct. 20. 1965, 79 Stat. 997, as
amended, reorganized, and expanded by ?2 of Pub. L. 94-580, Oct..21, 1976, 90 Stat.
2796, as amended 42 U.S.C. 6901 et seq. .
IV.. MISCELLANEOUS
Anti-Deficiency Act, Act of Feb. 27, 1906, c. 510, 34 Stat. 49, as amended 31 U.S.C.
605.
Assimilative Crimes Act, Act of Jun. 25, 1948, c. 645, 62 Stat. 686, 18 U.S.C. 13.
Authentication of Government Records, Act of Jun. 25, 1948, c. 464, 62 Stat. 946, 28
U.S.C. 1733.
Declaration of Taking Act, Act of Feb. 26, 1931, c. 307, 46 Stat. 1421, 40 U.S.C. 258a,
258e.
Executive Order No. 12044; Mar. 23, 1978 (43 F.R. 12661; 3 (CFR), "Improving
Government Regulations."
False Claims Act, Act of Mar. 3, 1863, c. 67, R.S. 03490, 12 Stat. 698, 31 U.S.C. 231-233,
235.
Federal Tort Claims Act, Act of Aug. 2, 1946. c. 75:3, Title IV, 60 Stat. 842 (codified in
28 U.S.C. ?1291, 1:346(b), 2671-2680 and other sections of title 28).
National Historic Preservation Act of 1966, Pub. L. 89-665, Oct. 15, 1968, 80 Stat.
915, as amended 16 U.S.C. 470 et seq. .
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TABLE OF GENERAL AUTHORITIES
1. CONTRACT-LABOR.
Anti-Pinkerton Act, Pub. L. 89-554, Sept. 6. 1966, 80 Stat. 416. 5 U.S.C. 3108.
Buv American Act. Act of Mar. 3, 1933, c. 212, Title III, 47 Stat. 1520, as amended
41 U.S.C. lOa-lOc.
Contract Work Hours and Safety Standards Act, Pub. L. 87-581, Title I, Aug. 13,
1962, 76 Stat. 357, as amended 40 U.S.C. 327-333.
Copeland AntiKickback Act, Act of Jun. 25, 1948, c. 645, 62 Stat. 740, 18 U.S.C. 874.
Davis-Bacon Act, Act of Mar. 3, 1931, c. 411, 46 Stat. 1494, as amended 40 U.S.C.
276a-5.
Executive Order No. 11755, Jan. 3, 1974, (39 F.R. 779; 3 CFR), "Prison Labor."
Executive Order No. 12092, Nov. 1, 1978 (43 F.R. 151375; 3 CFR), "Prohibition
against Inflationary Procurement."
Miller Act, Act of August 24, 1935, c. 642, 49 Stat. 793, as amended 40 U.S.C. 270a,
270d.
Office of Federal Procurement Policy Act, Pub. L. 93-400, Aug. 24, 1974, 88 Stat. 795,
41 U.S.C. 402-412.
Randolph-Sheppard Vending Facilities Act, Pub. L. 93-516, Title II, 88 Stat. 1623,
as amended 20 U.S.C. 107-107e.
Service Contract Act of 1965, Pub. L. 89-286, October 22, 1965, 79 Stat. 1034, as
amended 41 U.S.C. 351-358.
Walsh-Healy Act, Act of June 30, 1936, c. 881, 49 Stat. 2036, as amended 41 U.S.C.
35-45.
II. PERSONNEL
Age Discrimination in Employment Act, Pub. L. 90-202, December 15, 1967, 81 Stat.
602, as amended 29 U.S.C. 621-634.
Civil Rights Act of 1964, Pub. L. 88-352, July 2, 1964, 78 Stat. 241, as amended 42
U.S.C. 2000a (Public accommodations),
-2000c (Public Education)
-2000d (Federally Assisted Programs)
-2000e (Equal Employment Opportunities)
Civil Service Reform Act of 1978, Pub. L. 95-454, Title II, October 13, 1978, 92 Stat.
1119, 5 U.S.C. 1101 et seq.
-Labor Management and Employee Relations, Pub. L. 95-454, Title VII, October
13, 1978, 92 Stat. 1192, 5 U.S.C. 7101 et seq.
Equal Pay Act of 1963, Pub. L. 88-38, Jun. 10, 1963, 77 Stat. 56, 29 U.S.C. 206.
Executive Order No. 11141; Feb. 15, 1964 (29 F.R.1 2477; 3 CFR), "Public Policy
against Discrimination on the Basis of Age."
Executive Order No. 11246, Sep. 24, 1965 (30 F.R. 12319; 3 CFR), "Equal Employ-
ment Opportunity" as amended by
-Ex. Ord. No. 12086, Oct. 5, 1978 (43 F.R. 46501; 3 CFR), "Consolidation of Contract
Compliance Functions for Equal Employment Opportunity."
Executive Order No. 11478, Aug. 8, 1969, (34 F.R. 12985; 3 CFR), "Equal Employ-
ment Opportunity in the Federal Government."
Hatch Political Activity Act, Act of Aug. 2, 1939, c. 410, 53 Stat. 1147, as amended
(codified as positive law in 5 U.S.C. 7324 and other sections of title 5).
Military Personnel and Civilian Employees' Claims Act of 1964, Pub. L. 88-558,
August 31, 1964, 78 Stat. 767, as amended 31 U.S.C. 240-243.
United States Consent to Garnishment and Similar Legal Process for Enforce-
ment of Child Support, Alimony, Pub. L. 94-647, 88 Stat. 2357, as amended 42 U.S.C.
659.
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SPECIFICATION
AND
BID FORMS
, PROJECT
PROJECT CONTROL NO.
VOLUME
BID OPENING
TIME AND DATE
CONTRACT NO.
GENERAL AND TECHNICAL REQUIREMENTS
2:00 P.M., LOCAL TIME AT
PLACE OF BID OPENING, ON
General Services Administration
National Capital Region
Bid Room (WXB)
Room 1701 GSA Regional Office Bldg.
Seventh and D Streets, SW.
Washington, DC 20407
GENERAL SERVICES ADMINISTRATION
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AVVWrA
L APPRO- Mo,
i Project Control No.
Bide will be opened P.M. Iocal time
&e9M Samcfs A MI nSTRunoe
!'Ueuc Man= suvus
TITLE PAGE-SPECIFICATION
(CONSTRUCTION CONTRACT)
^ COMSTRUCTtfM ^ tteu. A I*VRawoma
T. tMIM OfFIOE (AJirm rem. sod e~ S 4.d MO.)
General Service$ Administration
National Capital Region
Public Buildings Service
Room 2600 Division
GSgional Office Building
Seventh and D Streets, SW.
Washington, DC 20407
PHONE: [phone]
L E;r-#XATtcM To eraaoee
Bequests for clariflcatioa or interpretations
of bid documents must be submitted in "SuSicient
Time" (which, for the purposes of this Invite.
Lion, shall mean not less than 10 calendar days
prior to date for receipt of bids) and in accord-
ance with requirements of Standard Form 22, In.
struction., to Bidders, and modifications thereto.
at place of bid opening, on
The Specifications and Drawings, for which
a refundable deposit has been made, shall be
returned without marts, notes or mutilations,
within 20 days after the Bid Opening date.
f` h1OU 15 FOR CLARIFICAflOM CR iM 17ATi011 of !1O DOLiUF
uses M= TO CAN OF Ol0 OroUMti 5 OULD SE ACCIU3ED
General Services Administration
National Capital Region
Public Buildings Service
Construction Management Division
Seventh and D Streets, SW.
Washington, DC 20407 .
GSA Ft 1746 m... sari -
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VOLUME I of II
NOTICE OF TOTAL SMALL BUSINESS SET-ASIDE
*NOTICE OF TOTAL SMALL BUSINESS-LABOR SURPLUS AREA SET-ASIDE
*NOTICE OF TOTAL LABOR SURPLUS AREA SET-ASIDE
*NOTICE OF SUBCO4'TBACT 1G OPPORTIINITIES
GENERAL PROVISIONS (STD. FORM 23-A - 1975 EDITION)
MODIFICATION OF GENERAL PROVISIONS
GENERAL CONDITIONS - SECTION 0010 (GSA Form 1139 -
August 1979 Edition)
VALUE EGNEERa1G mCENTi9E CLAUSE - SECTION 0015
(GSA Form 2653 - June 1974 Edition)
LABOR STANDARDS PROVISIONS (Standard Form 19-A -
January 1979 Edition),
APPLICABLE MINLMU14 HOURLY RATES OF WAGES SECTION 0020
DIVISION 1 - GENERAL REQUIRIIKENTS
( 1) SECTION 01000 - SPECIAL CONDITIONS
DIVISION -
( ) SECTION
SECTION
DIVISION -
SECTION
( ) SECTION
*When applicable only
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DIVISION -
?
C ) SECTION
SECTION
DIVISION -
SECTION
C. ) szLTIDN
C ) SECiZGY
C )scION
C ) SECTION
SECTION
C ) S-ZcaIQN
C ) s=ox
C ) SZCZ=ON
C ) S-Z=C t
C ) sECr=QN
C ) SECTION
C .) SECTION
C ) SECI=CN
C SECT2r
C ) SEC==
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Z SECTION
C ) SECTION
C 2 SECTION
( SECTION
C I SECTION
( ) SECTION
( ) SECTION
C ) SECTION
C ) SECTION
C SECTION
C ) SECTION
V( ,mcz II OP II
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(1) CERTIFICATION OF DRAWINGS
(2) CERTIFICATION OF STANDARD DETAILS
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(a) Restriction. Bids or proposals 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 Bpsiness 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 proportion of
Government procurement is placed with small business concerns. Bids
or proposals received from firms which are not small business
concerns shall be considered nonresponsive.
(b) Definition. In connection with invitations to bid on a contract for
construction, alteration or repair (including painting and decora-
ting) of a building or buildings, a "small business concern" is a
concern, including its affiliates, which (a) is independently owned
and operated, (b) is not dominant in the field of operation in which
it is bidding on Government contracts, and (c) had average annual
receipts for the preceding three fiscal years not exceeding $12,000,000,
unless a different criterion is applicable as shown in item 1,
Standard Form 19-B.
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NOTICE OF TOTAL SMALL BUSINESS-LABOR
SURPLUS ARFA SET-ASIDE
(a) General. Bids or proposals under this procurement are solicited
from small business concerns that agree to perform as labor surplus
? area concerns. Awards will be made only to one or more small business
concerns. This set-aside 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, or
in the interest of war or national defense programs, or in the interest
of assuring that a fair proportion of Government procurement is placed
with small business concerns. Bids or proposals received from others
will be considered non-responsive.
(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 bidding on Government contracts,
and can further qualify under the criteria set forth in regulations of
the Small Business Administration (13 CFR 121..3-8). In addition to
meeting these criteria, a manufacturer or a regular dealer submitting
quotations in his own name must agree to furnish in the performance
of the contract end items manufactured or produced in the United
States, its possessions, or Puerto Rico, by small business concerns:
Provided, that this additional requirement does not apply in connection
with construction or service contracts.
For the purpose of this procurement any concern will be classified as
small business if its average annual sales or receipts for its preceding
three fiscal years do not exceed
if the concern is located in Alaska.)..
(2) The term "labor surplus area" means a geographical area
identified by the Department of Labor as an area of concentrated
unemployment or underemployment or an area of labor surplus.
(3) The term "Concern located'in a labor surplus area" means a
labor surplus area concern.
(4) The term "Labor,surpiniarea concern" m " a concern that
together with its first-tier subcontractors will perform substan-
tially in labor surplus areas.
(5) The term "perform substantially in labor surplus areas" means
that the costs incurred on account of manufacturing, production, or
appropriate services in labor surplus areas exceed-50 percent of
the 'contract price.
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,c) Agreement. The bidder or offeror agrees that, if awarded a contract,
as a labor surplus area concern, he will:
(1) Perform the. contract, or cause it to be performed, substantially
in areas. classified as labor surplus areas on the date of the solici-
tation. However, if an area selected by the bidder or offeror is no
longer classified as a labor surplus area at the time of performance,
he is encouraged to select another area for performance which is
classified at that time as a labor surplus area.'
(2) Submit a report to the Contracting Officer 30 days after the
award of the contract (if it exceeds $10,000), or such longer time
as prescribed by the Contracting Officer, which contains the follow-
ing information.
REPORT OF PERFORMANCE ni LABOR SURPLUS AREAS -
(a) Amount of the contract..... .......... ............... PERFORMANCE IN LABOR SURPLUS AREAS
(b) By the prime contractor:
......$~__
(1) (Identity of labor surplus area) ..........
(2) (Same)............ ..............................$-
..$
(3) (same) ........................ ....... ....... -4
(4) (Same)........ ...................................$
(c) By the subcontractors (first-tiei): l
(1) (Identity of labor surplus area) ................$-
(2) (Same) .........................................$
(3) (Same) ..............................,............
(4) (Same)..................... .....................
(d) Total of (b) and (c)............ ....................$
ICosts incurred by the contractor on his first-tier subcontractors
on account of production, manufacturing, or appropriate services
performed in labor surplus areas.
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GENERAL PROVISIONS
(Construction Contract)
1. DEPtNrr1ONs
(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 tracting ~ccer) author to act board 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 Govern-
ment and includes a duly appointed successor or authorized
representative.
2. SPECIFICATIONS AND DRAWINGS
The Contractor shall keep on the work a copy of the draw-
ings and specifications and shall at all times give the Con-
tracting 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 specifi-
cations 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 adjust-
ment 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.
3. CHANGES
(a) The Contracting Officer ma l, 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
changes:
(1) In the specifications (including drawings and
designs) ;
(2) In the method or manner of performance of the
work;
(3) In the Government-furnished facilities, equipment,
materials, services, or site; or
(4) Directing acceleration in the performance of the
work.
(b) Any other written order or an oral order (which terms
as used in this paragraph (b) shall include direction, instruc-
tion, interpretation, or determination) from the Contracting
Officer, which causes any such change, shall be treated as a
change order under this clause, provided that the Contractor
gives the Contracting Officer written notice stating the date,
circumstances, and source of the order and that the Con-
tractor regards the order as a change order.
(c) Except as herein provided, no order, statement, or
conduct of the Contracting Officer shall be treated as a
change under this clause or entitle the Contractor to an
equitable adjustment hereunder.
(d) If any chancre under this clause causes as increase
or decrease in the Contractor's cost of, or the time required
for, the performance of any part of the work under this con-
tract, whether or not changed by any order, an equitable
adjustment shall be made and the contract modified in writ-
ing 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 provided further, That in the case
of defective specifications for which the Government is
responsible, the equitable adjustment shall include any in-
creased 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 under (b) above,
submit to the Contracting Officer a written statement setting
forth the general nature and monetary extent of such claim,
unless is lieriod is extended by the Government. The state-
ment this
of claim hereunder may be included in the notice under
(b) above.
(f) No claim by the Contractor for an equitable adjustment
hereunder shall be allowed if asserted after final payment
under this contract.
4. DIFFE aNG SITE CONDITIONS
(a) The Contractor shall promptly, and before such con-
ditions are disturbed, notify the Contracting Officer in writing
of : (1) 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 un-
usual nature, differing materially from those ordinarily
encountered and generally recognized as inhering in work
of the character provided for in this contract. The Contract-
ing 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 adjustment shall be made and the
contract modified in writing accordingly.
(b) No claim of the Contractor under this clause shall be
allowed unless the Contractor has given the notice required
in (a) above; provided, however, the time prescribed therefor
may be 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.
5. TunMINATION Pon DEPAULT-DAMAGES von DmAr-TzMa
ErraNsI0N3
(a) If the Contractor refuses or fails to prosecute the work,
or any separable part thereof, with such diligence as will
insure its completion within the time specified in this contract,
or any extension thereof, or fails to complete said work with-
in 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 prose-
cute the same to completion, by contract or otherwise, and
ma 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 Govern-
ment 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 Con-
tractor's right to proceed, the resulting damage will consist
of such liquidated damages until such reasonable time as ma
be required for final completion of the work together with
any increased costs occasioned the Government in complet-
ing 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 com-
pleted or accepted.
(d) The Contractor's right to uroceed shall not be so ter-
minated nor the Contractor charged with resulting damage
if :
(1) 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 enemy, acts of
the Government in either its sovereign or contractual ca-
pacity, acts of another contractor In the performance of a
contract with the Government, fires, floods, epidemics, quar-
antine restrictions, strikes, frei Sht embargoes, unusually
severe weather, or delays of subcontractors or suppli
arising from unforeseeable causes beyond the control anders
without the fault or negligence of both the Contractor and
such subcontractors 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
STANDARD FORM 23-A (Rev. 478)
Prescribed by GSA. FPR (41-CFW 1-16.401
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under the contract), notifies the Contracting Officer in
writing of the causes of delay.
The Contracting Officer shall ascertain the facts and the ex-
tent of the delay and extend the time for completing the work
when, in his judgment, the findings of fact justify such an ex.
tension, and his findings of fact shall be final and conclusive
on the parties, subject only to appeal as provided in Clause 6
of these General Provisions
(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 not 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 provid-
ing for termination for convenience of the Government, be
the same as if the notice of termination had been issued pur-
suant to such clause. If, in the foregoing circumstances, this
contract does not 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
adiustment 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 sup-
pliers at any tier.
(a) Except as otherwise provided in this contract, any die-
pate 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 Contrac-
tor. 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 furnishers 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 authorized 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 rep-
resentative 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 sub-
stantial evidence. In connection with any appeal proceeding
under this clause, the Contractor shall be aforded an oppor-
tunity to be heard and to offer evidence in support of his ap-
peal Pending final decision of a dispute hereunder, the Con-
tractor 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 consideration of
questions of law in connection with decisions provided for
to paragraph (a) above. Nothing in this contract, however,
shall be construed as making final the decision of any admin-
istrative official, representative, or board on a question of law.
7. PATMZOM To CONTAACrps
af (a) The Government will pay the contract price as herein-
ter provided.
will make progress payments monthly
as the work proceeds, or at more frequent intervals as deter-
mined by the Contracting Officer, on estimates approved by
the Contracting Officer. If requested by the Contra
Officer,. the Contractor shall furnish a breakdown of the
contract price showing the amount included therein for each
principal category of the work, in such detail as requested, to
provide a basis for determining progress payments. In the
preparation of estimates the Contracting Weer, at his dis-
caetsmay authorise material delivered on the site and pre-
prderdive d to oz! thdone
Contractor at locations other than thud
may also be taken into consideration (1) If such consideration
is specifically authorized by the contract and (2) If the Con-
tractor furnishes satisfactory evidence that he has acquired
title to such material and that it will be utilized on the work
covered by this conttacLp:v~ms paym
10 percent such tau Led its' there shall re-
tained eatsma amount until final con,
om-
pletion and acceptance of the contract work. However, if
pletion
the Contracting Officer, at any time after 50 percent of the
work has been completed, finds that satisfactory progress is
being made, he may authorize payment in full of each progress
payment for work performed beyond the 60 percent stage of
completion. Also, whenever the work is substantially complete
the Contracting Officer, if he considers the amount retained
to be in excess of the amount adequate for the protection of
the Government, at his discretion, may release to the Con'aac-
tor all or a portion of such 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 there-
for without retention of a percentage.
(d) All material and work covered by progress payments
made shall thereupon become the sole property of the Gov-
ernment, but this provision shall not be construed as re-
lieving 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 be 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 contract, other than claims in stated amounts as may
of the release. the Conntrathe ctor's claimrto from the 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.15),
a release may also be required of the assignee.
8. Assrozrssz r or Cumss
(a) 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 $1,000 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, includ-
ing any Federal lending a , and may thereafter be
further assigned and reassi 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, pay-
ments to an assignee of any moneys due or to become due
wader this contract shall not, to the extent provided In said
Act, as amended, be subject to reduction or setoff. The pre-
ceding sentence applies only if this contract is made in time
of war or national em envy as defined in said Act; and is
with the Department of Decease, the General Services Ad-
ministration, the Energy Research and Development Adminis-
tration, the National Aeronautics and Space Administration,
the Federal Aviation Administration, or any other depar cent
or agency of the United States designs by the Press
pursuant to Clause 4 of the proviso of section 1 of the Assign-
ment of Claims Act of 1940, as amended by the Act of May 15,
1951, 65 Stat. 4L)
(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 as; of any claim
arising under this contract or to any Other person not en-
titled to receive the same. However, a copy of any part or all
of this contract so marked may be furnished, or any informa-
tion contained therein may be disclosed, to such assignee
upon the prior written authorization of the Contracting
Officer.
9. MArlsaraL AND WOYXXArfsE
(a) Unless otherwise specifically provided in this contract,
all equipment, material. and articles Incorporated is the
work covered by this contract are to be new and of the meet
suitable grade for the purpose intended. Unless otherwise
spedfealiv provided in this contract, reference to any equip-
ment, material, article, or patented process. by trade nam%
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 judg.
meat of the Contracting Officer. is equal to that named. The
Contractor shall furnish to the Contracting Officer for his
approval the nome of the manufacturer, the model number.
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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 Con-
tractor's expense. with all shipping charges prepaid. Ma-
chinery, 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
may, in writing. require the Contractor to remove from the
work any employee the- Contracting Officer deems incompe-
tent, careless or otherwise objectionable.
10. INSPECTION AND ACCEPTANCE
(a) All work (which term includes but is not restricted to
materials, workmanship, and manufacture and fabrication of
components) shall be subject to inspection and test by the Gov-
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
responsibility 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 or implying acceptance. Inspection or test
shall not relieve the Contractor of responsibility for damage to
or loss of the material prior to acceptance, nor in any way af-
fect the continuing rights of 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 Govern-
ment 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 Governmept
(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 "Terminatioon for accordance Dethe clause fault-Damages of contract
lay for Delay-Time Ex-
tensions."
(d) The Contractor shall furnish promptly, without addi-
tional charge, all facilities. labor, and material reasonably
needed for performing such safe and convenient 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 rejec-
tion.
(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 remov-
ing 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 exam-
ination and of satisfactory reconstruction. If. however, such
work if found to meet the requirements of the contract, an
equitable adiustment shall be made in the contract price to
compensate the Contractor for the additional services in-
volved in such examination and reconstruction and, if com-
pletion of the work has been delayed thereby, he shall, in
addition. be granted a suitable extension of time.
(fl 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 Anal 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.
1f. SupEzrNTENDENcE BY CONTRACroa
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
su rjiendent, satisfactory to the Contracting Officer and
with authority to act for the Contractor.
12. PERMTTS AND REsr'oysisrrlTrEs
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 per-
formed until completion and acceptance of the entire con-
struction work, except for any completed unit of construction
thereof which theretofore may have been accepted.
13. CoNDITroNs AFFECTING THE Woes
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 Con-
tractor to do so will not relieve him from responsibility for
successfully performing the work without additional expense
to the Government. The Government assumes no responsi-
bility 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 rep-
resentations by the Government are expressly stated in the
contract
14. OTE= CONTRACTS
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 per-
formance of work by any other contractor or by Government
employees.
15. SHOP DRAWINGS
(a) The term "shop drawings" includes drawings, diagrams,
layouts, schematics, descriptive literature, illustrations, sched-
ules, performance and test data, and similar materials fur-
nished 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 go-
curacy, completeness, and compliance with contract require-
ments and shall indicate his anoroval thereon as evidence of
such coordination and review. Shop drawings submitted to the
Contracting Officer without evidence of the Contractor's ap-
proval may be returned for resubmission. The Contracting
Officer will indicate his approval or disapproval 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 Of-
ficer shall not relieve the Contractor from responsibility for
any errors or omissions in such drawings, nor from respon-
sibility for complying with the requirements of this contract,
except with respect to variations described and approved in
accordance with (c) below.
(c) If shoo drawings show variations from the contract re-
quirements, the Contractor shall describe such variations in
writing. separate from the drawings, at the time of submis-
sion. If the Contracting Officer aanroves any such varia-
tion(s), he shall issue an appropriate contract modification,
except that. If the variation is minor and does not involve a
change in price or in time of performance, a modification need
not be issued.
16- USE AND POSSESSION PRIOR To COMPLETION
The Government shall have the right to take poss-ssion 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 protect as
are to be possessed or used by the Government. provided that
failure to list any it'm of work shall not relieve the Con-
tractor of responsibility for compliance with the terms of the
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contract. such possession or Use shall not be deemed an ac-
ceptance of any work ender the contract. While the Govern-
ment 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 re-
gonsibility for the loss or damage to the work resulting from
e 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 ad-
justment in the contract price or the time of completion will
be made and the contract stall be modified in writing accord-
ingly.
17. SUSPENSION or WORM cer work to suspend, delay,oor interryupt order all otr any part of the
work for such period of time as he may determine to be ap-
propriate 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 inter-
rupted by an act of the Contracting Officer in the administra-
tion 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 in-
crease 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 performance 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
eqM-
table adjustment is provided for or excluded under any other
provision of this contract.
(c) No claim under this clause shall be allowed (1) for an
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 chki- in an amount stated, is asserted in writing
as soon as practicable after the termination of such suspen-
sion. delay, or interruption, but not later than the date of
final payment under the contract.
18. Tz tATroN ros CoNvExrnNcz Or Tzz GovaaNMaNr
If not physically incorporated elsewhere, the clause in Sec-
tion 1-8.703 of the Federal Procurement Replations, or para-
graph 7-602.29 (a) of the Armed Services ment Rem
ulation, as applicable, in effect on the date of this contract is
hereby incorporated by reference as fully as if set forth at
length herein.
19. PAYMENT or Lvn=sT ON CoNTaAcroaS' CLAIMS
(a) If an appeal is Sled by the Contractor from a final do-
cision 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
used by the Government shall be payable to the Contractor.
Such interest shall be at the rate determined by the Secre-
tary of the Treasury pursuant to Public Law 92-41, 85 Stat.
97, from the data the Contractor furnishes to the Contract-
ing Officer his written appeal under the Disputes clause of
this contract, to the date of (1) a final judgment by a mart
of competent. Jurisdiction, or (2) mailing to the Contractor of
a supplemental amen for execution either confirming
completed negotiations between the parties or carrying out a
decision of a board of contract appeals.
(b) Notwithstanding. (a) above, (1) interest shall be ap-
plied only from the date payment was due, if such date is later
anyy pe ~ riodd mof timepthat then Con )tracc gg Office not rrmiinnes for
Contractor has unduly delayed in pursuits his remedies before
a ~ of contract. appeals or a court of competent jurisdic-
ti
20. Parcato or ADJVSTMEN1a
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 the contract cost principles and procedures in Part 1-15
of the Federal Procurement Regulations, (41 CFR 1-15) or
Section XV of the Armed Services Procurement Regulation,
as applicable, which are in effect on the date of this contract
2L PATZNr INDEMNrr r
Except as otherwise provided. the Contractor agrees to
indemnify the Government and its officers, agents, and em-
ployees 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 performance of this
contract or out of the use or disposal by or for the account of
the Government of supplies furnished or construction work
performed hereunder.
22. AmrrroNAL BOND SECuasrr
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 sup-
plying labor or materials in the prosecution of the work con-
temolated by this contract..
23. ExAMINATION or RCS ar COMPrnotL m GSr=ar.
(a) This clause is applicable if the amount of this contract
exceeds $10,000 and was entered into by means o: negotiation,
including small business restricted advertising, but is not ap-
plicable 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 representa-
tives shall. until the expiration of 3 years after final payment
under this contract or such lesser time specified in either Ap-
pendix M of the Armed Services Procurement Regulation or
the Federal Procurement Regulations Part 1-20, as appro-
priate, have access to and the right to -mine any directly
pertinent books, documents, papers, and records of the con-
tractor involving transactions related to this contract.
(e) The Contractor further agrees to include in all his sub-
contracts hereunder a proviclon to the effect that the sub-
contractor agrees that the Comptroller General of the United
States or any of his duly authorized representatives shall, until
the expiration of 3 years after final payment under the sub-
contract 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 ac-
Bess to and the right to examine any directly pertinent books,
documents, papers, and records of such subcontractor, involv-
ing transactions related to the subcontract The term "sub-
contract" as used in this clause excludes (1) purchase orders
not exceeding $10,000 and (2) subcontracts or purchase orders
for public utility services at rates established for Uniform ap-
plicability to the general public.
((d) The periods of access and examination described in (b)
and (c), above, for records which relate to (1) appeals under
the "Disputes" clause of this contract, (2) litigation or the
settlement of claims arising out of the performance of this
contract, or (3) cuts 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 dis-
posed of.
24. Buy AMpraICAN
(a) Agrsemertf. In accordance with the Buy American Act
(41 U.S.C. 10a-10d). and Executive Order 10582, December
17, 1964- (3 CFR. 1954-68 Comp., p. 230), as amended by
Executive Order 11061, September 27, 1962 (3 CFR, 1969-63
Comp.. p. 835). the Contractor agrees that only domestic con-
struction material will be used (by the Contractor, subcon-
tractors. materialmen. and suppliers) in the performance of
this contract, except for nondomestic material' listed in the
contract. (b) Domestic eonstruetiox eateriaL "Construction material"
means any article, material. or supply brought to the con-
atruedon site for incorporation in the building or work. An
nnmanufaetnred construction material is a "domestic con-
struction material" if it has been minim 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 5u percent of the cost of all its components.
"Component" means any, article, material, or supply directly
incorporated in a contraction material considered
to (c) Domestic comoonent. A
been "min produced, component
manufactured in the
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United States" (regardless of its source in fact) if the article,
material, or supply in which it is incorporated was manu-
factured in the United States and the component is of a class
or kind determined by the Government to be not mined, pro-
duced, or manufactured in the United States in sufficient and
reasonably available commercial quantities and of a satis-
factory quality.
25. EQUAL OPPOETVNITY
(The following clause is applicable unless this contract is
exempt under the rules, regulations, and relevant orders of
the Secretary of Labor (41 CFR, ch. 60).)
During the performance of this contract, the Contractor
agrees as follows:
(a) The Contractor will not discriminate against any em-
ployee 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 termination; rates of
pay or other forms of compensation; and selection for train-
ing, 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 advertise-
ments 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 repre-
sentative of workers with which he has a collective bargain-
in 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 em-
ployees and applicants for employment
(d) The Contractor will comply with all provisions of Ex-
ecutive 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 Secre-
tary of Labor for purposes of investigation to ascertain com-
pliance with such rules, reg%lations, 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
canceled. terminated, or suspended. in whole or in part, and
the Contractor may be declared ineligible for further Govern-
ment 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 pro-
vided 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.
(Q) The Contractor will include the provisions of para-
graphs (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 Execu-
tive Order No. 11246 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 will respect to any sub-
contract or purchase order as the contracting agency may di-
rect as a means of enforcing such provisions, including sanc-
tions for noncompliance: Provided, 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 re-
quest the United States to enter into such litigation to protect
the interests of the United States.
26. CovENANT AGAINsT CoNTLYGENT FEES
The Contractor warrants that no person or selling agency
has been employed or retained to solicit or secure this con-
tract upon an agreement or understanding for a commission,
percentage, brokerage, 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 con-
tract price or consideration, or otherwise recover, the full
amount of such commission, percentage, brokerage, or
contingent fee.
27. OrrxCSALS NOT To BENEFIT
No member of or delegate to Congress or resident Commis-
sioner shall be admitted to any share or part of this contract,
or to any benefit that may trise therefrom; but this provision
shall not be construed to extend to this contract if made with a
corporation for its general benefit.
28. CoxvicT LAson
In connection with the performance of work under this con-
tract, the Contractor agrees not to emnloy any person under-
going sentence of imprisonment at hard labor except as pro-vided by Public Law 89-176, September 10, 1965 (18 U.S.C.
4082(c) (2)) and Executive Order 1.1755, December 29, 1973.
29. UTrLizATxoN or SMALL BvsxNEss Coxcrn s
(a) It is the policy of the Government as declared by the
Congress that a fair proportion of the purchases and con-
tracts 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 per-
formance of this contract.
30. UTn=ATION OF MINOaITY BusxNEss ENTERPnisn
(a) It is the policy of the Government that minority busi-
ness enterprises shall have the maximum practicable oppor-
tunity 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 con-
tract As used in this contract, the term "minority business
en rise" 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 the-purposes Spanish-speaking
American American-Orientals, American-Indians,
American-imos, and American-Aleuts. Contractors may
rely on written representations by subcontractors regarding
their status as minority business enterprises in lieu of an inde-
pendent investigation.
31. FEDERAL, STATE, AND LOCAL TASEs
(a) Except as may be otherwise provided in this contract,
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, That the Contractor if requested by
the Contracting Officer, 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 bearthe 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.gontract-
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ins Officer, is required to pay or bear the burden of, or does not
obtain a refund or drawback of, any such Federal excise tax
or duty.
(c) No adjustment pursuant to paragraph b above will be
made under this contract unless the aggregate amount thereof
is or may reasonably be expected to be over $100.00.
(d) As used in paragraph b above, the term "contract date"
mesas the date set for the bid opening, or if this is a negotiated
contract, the date of this contract. As to additional supplies or
services procured by modification to this contract, the term
"contract date" means the date of such modification.
(e) Unless there does not exist any reasonable basis to
sustain an exemption, the Government, upon request of the
Contractor, without further liability, agrees, except as other-
wise provided in this contract, to furnish evidence appropriate
to establish exemption from any tax which the Contractor war-
rants in writing was excluded from the contract price. In addi-
tion, the Contracting Officer may furnish evidence-to establish
exemption from any tax that may, pursuant to this Clause, give
rise to either an increase or decrease in the contract price.
Except as otherwise provided in this contract, evidence appro-
priate to establish exemption from duties will be furnished
only at the discretion of the Contracting Officer.
(f) 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.
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. V W
G :4E2AL =WICS ADMINISTRATION "AO-8? 23-A
' 1SBINGTON, DC 20405 June 1.980
Supersedes:
MOO-S2 23-A
March 1980
M00I7ICATION CF = rRAL ??UVI31ONS
(STANDARD POR.*4 23 -A - APRIL 1375 EDITION)
L. Clause 29A, UTILIZATION OF SMALL 3DS n7E.SS CONCr:3NS AND SMALL BUSINESS C0NCrRRNS
C%ED AND CONTROLLED BY SOCIALLY AND ".=NCMICALLY CISADVA.NTAGGD IVDIVTJT UAL. shall
be included in all contracts over $10,000.
2. Clause 293. SMALL SOS=MSS AND SMALL DISACVANTA( O SIDCONTRACTING PLAN
(ADVER'"ISED) shall be included in all solicitations for formally advertised con-
struction contracts or amendments or :modifications thereto, except for total
small-business set-asides entered into through the special method of procurement
known as Small Business Restricted Advertising, which (a) offer subcontracting
opportunities, (b) are expected to exceed $1,000,000, and (c) are required to
include the clause entitled Utilization of Small Business Concerns and Small
Business Concerns Owned and Controlled by Socially and Economically Disadvantaged
Individuals. (Omission of the clause under (a) must be supported by a written
determination of the contracting officer that the proposed contract, amendment, or
modification offers no subcontracting possibilities.)
3. Clause 30A, SMALL BUSINESS AND SMALL DISADVANTAGED BUSINESS SL33CONTRACTING ?LAN
(NEGOTIATrD) shall be included in all solicitations for negotiated construction
contracts or regotiated amendments or modifications (including contracts, amend-
ments. and modifications placed on a sole source basis), except for total small-
business set-asides which (a) are expected to exceed 51,000,000, and (b) are
required to include?th a clause entitled Utilization of Small Business Concerns and
Small Business Concerns Owned and Controlled by Socially and Economically
Disadvantaged Individuals.
4. Clause 303, I*4GTTIVE SUBCONTRACTING PROGRAM FOR SMALL BCSI:iESS AND SMALL
DISAUVANTA(O BUSINESS (NEGOTIATED) may be used in negotiated contracts for which
a subcontracting plan is required.
3. Complete Clause 35, NOTICE OF RECUIRZ NT FOR AY?IRMATIVE ACTICN TO ENSURE ECOAL
EMPLO' N'a 0P?CRTUSITY (EZ=CUTIVE ORDER 11246) by:
a. Inserting the goals and timetables for females in the space provided In
paragraph (2);
b. If the contract is to be performed In a geographic area for which the
Department of Labor has issued goals for minority hiring, inserting the
applicable goals in paragraph (2); and
c. Inserting the geographic designation of the. covered area in the apace provided
in paragraph (4). The covered area, to be inserted if there are goals for
females only, is the Standard Metropolitan Statistical Area or, if there Is no
SMSA, the Economic Area as established by the Department of Commerce (see
? Department of Labor's Policy Directive 77-65, September-29, 1977). 3cuever,
whenever the contract is to be performed * at a location where minority bheiri
goals axe prescribed, the covered area for minority hiring will s the
covered area for women.
An initial list of timetables and goals for women as well as the geographical areas
with goals for minorities has been published in the Federal Register, Volume 43,
No. 68, Friday, April 7, 1978, at pages 14900 through L4905 and subsequently
modified in the Federal Register, Volume 43, No. 88, Friday, may 5, 1978. Changes,
including additions, will be published from time to time in the ?--decal Register by
the Department of Labor.
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%CD-3? 23-A
Sure 13 80
6. Causes 40, 41, 42 and 43 shall be included in every advertised It p sum cont.-act
estimated to exceed 5100,000. ?or proposals on a negotiated Lump su3 ontract cc
cost-plus-a-Cited-fee cntrar_ where the sum or the Eee is expected to exceed
$100,000 assistance should be requested of the GSA Legal Stat_.
7. Delete Clauses 44, 45 and 446 it:
(1) The contract is = be awarded by the advertised procurement method, or
(2) The contract is to be awarded by the negotiated procurement method uid
(a) is expected to be -under $100,000, or
(b) is a Small Business Set Aside.
3. Cause 47., PREPERE9CZ MR Q.S. ?LAG Ala C~SR1~35 shall be included in the cant: act
whenever international air transportation of aarsonnel and cargo will be required
in the performance of the contract. whenever international air transportation of
personnel and cargo is not required, this clause shall be deleted.
9. Clause 48, 0TZLZZA CN 4? MM-OWMD 3CSL`MSS CONCr@ts (OVER $10,000) shall be
included in all contracts expected to exceed $10,000.
L0. Clause 49, WOM N-OWM0 3CSL'DrSS CONCERNS SCB=NTRAGTZNC P?DGRAk( (OVl'R $500,000 OR
$1,000,000 MR COUSTRCCTION OP' ANY POSLZC ?ACOC,ITY) shall be tneluded in all con-
tracts, amendments or modifications expected to exceed $1,000,000 which require
the inclusion of the clause entitled Utilization of aaaen-Owned Business Concerns
(Over $10,000).
U. A vertical Line in the margin indicates a change or an addition. The vertical line
in the margin should be deleted before including this modification in the contract
spacilication.
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V
GENERAL SERVICES ADMINISTRATION MOD-SF 23-A
WASHINGTON, DC 20405 June 1980
Supersedes:
MOD-SF 23-A
March 1980
MODIFICATION OF GENERAL PROVISIONS
(STANDARD FORM 23-A - APRIL 1975 Edition)
1. Clause 4, DIFFERING SITE CONDITIONS, is supplemented by the provisions of FPR
1-18.117, which read as follows:
'ADMINISTRATION OF THE DIFFERING SITE CONDITIONS CLAUSE'
(a) Nature of the clause. The Differing Site Conditions clause in S 1-7.602-
4 provides for an equitable adjustment to the contractor or the Government which
reflects the increases or decreases in a contractor's cost of and time for perform-
ance that result from a differing site condition (as that term is defined in the
clause) encountered by the contractor. However, an equitable adjustment is only
available to the contractor if he gives the contracting officer a prompt notice in
writing before disturbing the conditions (or secures an extension of the time for
giving such notice) and asserts the claim before final payment under the contract.
(b) Notice of differing site conditions. When a contractor believes that a
differing site condition has been encountered, the clause requires that a prompt
written notice be given to the contracting officer so that the condition of the site
can be investigated, the facts can be ascertained, and a determination can be made
regarding the presence or absence of a differing site condition. The prompt notice
requirement enables the Government to examine the condition of the site and, if
necessary, (1) To modify the contract so that it will reflect the increased or
decreased cost of and time for performance or (2) to develop records concerning any
increase or decrease in the cost of and time for performance. Cost and time infor-
mation is essential for an independent Government judgment regarding an equitable
adjustment of the contract. A failure to give a timely notice could seriously
prejudice the Government's ability to determine the extent to which the contractor
or the Government is entitled to an equitable adjustment. Since the existence of a
differing site condition is not always recognizable immediately, the clause
provides that the contracting officer may extend the time for the submission of the
required notice. The purpose of the authority to extend the time for the notice is
to ensure that contractors are' not deprived of the remedy provided by the clause
because of an inadvertent failure to give the required notice. However, this
authority to extend the time for the notice does not entitle a contractor to a time
extension beyond the time when he knew, or reasonably should have known, of the
existence of a differing site condition. If the contractor gives the required
notice at the time he knew, or reasonably should have known, of the existence of the
differing site condition, he is entitled to an equitable adjustment which reflects
the increased costs and time required for performance that result from the differing
site condition. If the contractor fails to submit the required notice to the
contracting officer by the time he knew, or reasonably should have known, of the
existence of a differing site condition, he is not entitled to an equitable adjust-
ment which reflects the increased costs and time required for performance prior to
the time when he gave the notice or the time when the Government had actual notice
of the existence of a differing site condition. ,
(c) Processing of claims.
(1) Since the time required by the contractor to ascertain the amount of his
claim varies with the circumstances, no specific time for the submission of a claim
is specified in the clause or in this section. The clause simply states that no
claim will be allowed if asserted after final payment. However, contractors should
not unnecessarily postpone the submission of claims for equitable adjustments.
(2) To prevent contractors from unnecessarily postponing the submission of
claims, contracting officers shall take the following actions.
(i) When a contractor gives a prompt written notice of a differing site
condition but has not submitted a claim for an equitable adjustment, although there
has been a reasonable opportunity to ascertain the amount of the adjustment
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June 1980
involved, the contracting officer shall send a written request to the contractor (by
registered or certified mail) that he submit within a specified period of time
either a written claim or a request for an extension of the time for submission of
the claim together with the reasons why the additional time is needed.
(ii) In the event that the contractor fails to submit a claim within the time
specified in the request, or an approved time extension, the contracting officer
shall make a unilateral determination of the amount of the equitable adjustment
which the contractor is entitled to and shall notify the contractor of the deter-
mination. Such unilateral determinations may not be appealed under the Disputes
clause of the contract.`
2. Clause 6, DISPUTES, is deleted and the following substituted in lieu thereof:
'6. DISPUTES
(a) This contract is subject to the Contract Disputes Act of 1978 (41 U.S.C.
601, et seq.).
(b) Except as provided in the Act, all disputes arising under or relating to
this contract shall be resolved in accordance with this clause.
(c)(i) As used herein, 'claim' means a written demand or assertion by one of
the parties seeking, as a legal right, the payment of money, adjustment or inter-
pretation of contract terms, or other relief, arising under or relating to this
contract.
(ii) A voucher, invoice, or request for payment that is not in dispute when
submitted is not a claim for the purposes of the Act. However, where such submis-
sion is subsequently not acted upon in a reasonable time, or disputed either as to
liability or amount, it may be converted to a claim pursuant to the Act.
(iii) A claim by the contractor shall be made in writing and submitted to the
contracting officer for decision. A claim by the Government against the contractor
shall be subject to a decision by the Contracting Officer.
(d) For contractor claims of more than $50,000, the contractor shall submit
with the claim a certification that the claim is made in good faith; the supporting
data are accurate and complete to the best of the contractor's knowledge and belief;
and the amount requested accurately reflects the contract adjustment for which the
contractor believes the Government is liable. The certification shall be executed
by the contractor if an individual. When the contractor is not an individual, the
certification shall be executed by a senior company official in charge at the con-
tractor's plant or location involved, or by an officer or general partner of the
contractor having overall responsibility for the conduct of the contractor's
affairs.
(e) For contractor claims of $50,000 or less, the Contracting Officer must
render a decision within 60 days. For contractor claims in excess of $50,000, the
Contracting Officer must decide the claim within 60 days or notify the contractor of
the date when the decision will be made.
(f) The Contracting Officer's decision shall be final unless the contractor
appeals or files a suit as provided in the Act. - ?.
(g) The authority of the Contracting Officer under the Act does not extend to
claims or disputes which by statute or regulation other agencies are expressly
authorized to decide.
(h) Interest on the amount found due on a contractor claim shall be paid from
the date the claim is received by the Contracting officer until the date of payment.
(i) Except as the parties may otherwise agree, pending final resolution of a
claim by the contractor arising under the contract, the contractor shall proceed
diligently with the performance of the-contract in accordance with the contracting
officer's decision.'
3. Clause 7 is deleted in its entirety and the following is substituted in lieu
thereof:
'7. PAII4ENTS TO CONTRACTOR
(a) The Government will pay the contract price as hereinafter provided.
2
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MOD-SF 23-A
June 1980
(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 determining 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.
Materials delivered to the contractor at locations 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 retained 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 authorize 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 thereupon
become the sole property of the Government, but this provision shall not be con-
strued 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) If Miller Act (40 U.S.C. 270a-270e) performance or payment bonds are
required under this contract, the Government shall pay to the Contractor the total
premiums paid by the Contractor to obtain the bonds. This payment shall be paid at
one time to the Contractor together with the first progress payment otherwise due
after the Contractor has (1) furnished the bonds (including coinsurance and
reinsurance agreements, when applicable), (2) furnished evidence of full payment to
the surety company, and (3) submitted a request for such payment. The payment by
the Government of the bond premiums to the Contractor shall not be made as incre-
ments of the individual progress payments and shall not be, in addition to the
contract price.
(f) Upon completion and acceptance of all work, the amount due the
Contractor under this contract shall be paid upon the presentation of a properly
executed voucher and after the Contractor has furnished the Government with a
release of all claims against the Government, arising by virtue of this contract,
other than claims in stated amounts as may be specifically excepted by the
Contractor from the operation of the release. If the Contractor'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. 15), a release may also be required of
the assignee."
4. Clause 19, PAYMENT OF INTEREST ON CONTRACTORS CLAIMS, is deleted in its
entirety.
5. Clause 25, EQUAL OPPORTUNITY, is deleted in its entirety and the following
substituted in lieu thereof:
-25. EQUAL OPPORTUNITY
(The following clause is applicable unless this contract is exempt under the
rules, regulations, and relevant orders of the Secretary of Labor (41 CPR, ch. 60).)
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
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MOD-SF 23-A
June 1980
the following: Employment, upgrading, demotion, or transfer, recruitment or
recruitment advertising; layoff or termination; rates of pay or other forms of
compensation; and 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 nondiscrimination clause.
(b) The Contractor will, in all solicitations or advertisements for
employees placed by or on behalf of the Contractor, state that all qualified appli-
cants 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 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
section 202 of Executive Order 11246 of September 24, 1965, 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 11246
of September 24, 1965, 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 11246 of September 24, 1965, 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
nondiscrimination clauses of this contract or with any of such rules, regulations,
or orders, this contract may be canceled, 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 11246 of September 24,
1965, and such other sanctions may be imposed and remedies invoked as provided in
Executive Order 11246 of September 24, 1965, 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
11246 of September 24, 1965, 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 may be directed by the Secretary of Labor as a
means of enforcing such provisions including sanctions for noncompliance:
Provided, 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, the Contractor may request the United States to enter into such
litigation to protect the interests of the United States.'
6. Clause 28, CONVICT LABOR, is deleted in its entirety and the following
substituted in lieu thereof:
028. CONVICT LABOR
In connection with the performance of work under this contract, 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. 4082(c)(2))
and Executive Order 11755, December 29, 1973.0
7. Clause 29., UTILIZATION OP SMALL BUSINESS CONCERNS and Clause 30., UTILIZATION
OF MINORITY BUSINESS ENTERPRISES are deleted in their entirety and the following
substituted in lieu thereof:
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June 1980
'29A. UTILIZATION OF SMALL BUSINESS CONCERNS AND SMALL BUSINESS CONCERNS OWNED
AND CONTROLLED BY SOCIALLY AND ECONOMICALLY DISADVANTAGED INDIVIDUALS
(a) It is the policy of the United States that small business concerns and
small business concerns owned and controlled by socially and economically disadvan-
taged individuals shall have the maximum practicable opportunity to participate in
the performance of contracts let by any Federal agency.
(b) The contractor hereby agrees to carry out this policy in the awarding of
subcontracts to the fullest extent consistent with the efficient performance of
this contract. The contractor further agrees to cooperate in any studies or surveys
as may be conducted by the Small Business Administration or the contracting agency
which may be necessary to determine the extent of the contractor's compliance with
this clause.
(c)(1) As used in this contract, the term "small business concern" shall mean
a small business as defined pursuant to section 3 of the Small Business Act and
relevant regulations promulgated pursuant thereto.
(2) The term "small business concern owned and controlled by socially and
economically disadvantaged individuals" shall mean a small business concern--
W Which is at least 51 per centum owned by one or more socially and
economically disadvantaged individuals; or in the case of any publicaly owned busi-
ness, at least 51 per centum of the stock of which is owned by one or more socially
and economically disadvantaged individuals; and
(ii) whose management and daily business operations are controlled by one or
more of such individuals.
The contractor shall presume that socially and economically
disadvantaged individuals include Black Americans, Hispanic Americans, Native
Americans, Asian-Pacific Americans, and other minorities, or any other individual
found to be disadvantaged by the Small Business Administration pursuant to section
8(a) of the Small Business Act.
(d) Contractors acting in good faith may rely on written representations by
their subcontractors regarding their status as a small business concern or a small
business concern owned and controlled by socially and economically disadvantaged
individuals."
"29B. SMALL BUSINESS AND SMALL DISADVANTAGED BUSINESS SUBCONTRACTING PLAN
(ADVERTISED)
(2). The term "subcontract" means any agreement (other than one involving an
employer-employee relationship) entered into by a Federal Government prime con-
tractor or subcontractor calling for supplies or services required for the perform-
ance of the original contract or subcontract.
(3) The bidder acknowledges that it is aware of the subcontracting plan
requirement in this provision; and if selected for award, will submit within the
time specified by the contracting officer a subcontracting plan that will afford the
maximum practicable opportunity to participate in the performance of the contract
to small and small disadvantaged concerns, and will include:
(a) Percentage goals (expressed in terms of percentage of total planned
subcontracting dollars) for the utilization as subcontractors of small business
concerns and small business concerns owned and controlled by socially and economi-
cally disadvantaged individuals; (For the purposes of the subcontracting plan, the
contractor may include all purchases which contribute to the performance of the
contract, including a proportionate share of products, services, etc., whose costs
are normally allocated as indirect or overhead costs.)
As part of its establishment of percentage goals the apparent successful
bidder shall also include in its subcontracting plan:
(1) A statement of: (a) total dol._.ars planned to be subcontracted; (b) total
dollars planned to be subcontracted to small business; and (c) total dollars planned
to be subcontracted to small disadvantaged business.
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(2) A description of the principal product and service areas to be subcon-
tracted and an identification of those areas where it is planned to use (i) small
business subcontractors, and (ii) small disadvantaged business subcontractors.
(b) The name of an individual within the employ of the bidder who will
administer the bidder's subcontracting program and a description of the duties of
such individual;
(c) A description of the efforts the bidder will take to assure that small
business concerns and small business concerns owned and controlled by socially and
economically disadvantaged individuals will have an equitable opportunity to com-
plete for subcontracts;
(d) Assurances that the bidder will include the clause entitled Utilization
of Small Business Concerns and Small Business Concerns Owned and Controlled by
Socially and Economically Disadvantaged Individuals in all subcontracts which offer
further subcontracting opportunities and to require all subcontractors (except
small business concerns) which receive subcontracts in excess of $500,000, or in the
case of a contract for the construction of any public facility, $1,000,000, to adopt
and comply with a plan similar to the plan agreed to by the bidder;
(e) Assurances that the bidder will submit such periodic reports and
cooperate in any studies or surveys as may be required by the contracting agency or
the Small Business Administration in order to determine the extent of compliance by
the bidder with the subcontracting plan; and
(f) A recitation of the types of records the successful bidder will maintain
to demonstrate procedures which have been adopted to comply with the requirements
and goals set forth in the plan, including the establishment of source lists of
small business concerns and small business concerns owned and controlled by
socially and economically disadvantaged individuals; and efforts to identify and
award subcontracts to such small business concerns. The records shall include at
least the following (these records may be maintained on a plant-wide or company wide
basis unless otherwise indicated):
(1) Small and disadvantaged business source lists, guides and other data
identifying small and small disadvantaged business vendors.
(2) Organizations contacted for small and disadvantaged business sources.
(3) On a contract-by-contract basis, records on all subcontract
solicitations over $100,000, indicating on each solicitation (a) whether small
business was solicited, and if not why not; (b) whether small disadvantaged business
was solicited, and if not why not, and (c) reasons for the failure of solicited
small business or small disadvantaged business to receive the subcontract award.
(4) Records to support other outreach efforts:
? Contacts with minority and small business trade associations,
. Contacts with business development organizations,
? Attendance at small and minority business procurement conferences and
trade fairs.
'(S) Records to support internal activities to guide and encourage buyers:
Workshops, seminars, training programs,
Monitoring activities to evaluate compliance.
(6) On a contract-by-contract basis, records to support award data submitted
to the Government to include name and address of subcontractor.
(4) The bidder understands that:
(a) It agrees to carry out the government's policy to provide the maximum
practicable opportunity for small business concerns and small business concerns and
small business concerns owned and controlled by socially and economically disadvan-
taged individuals to participate in the performance of the contract, consistent
with its efficient performance.
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(b) If it does not submit a subcontracting plan within the time limits
prescribed by the contracting agency, it will be ineligible to be awarded the
contract.
(c) Prior compliance of the bidder with other such subcontracting plans
under previous contracts will be considered by the contracting officer in determin-
ing the responsibility of the offeror for award of the contract.
(d) It is the bidders responsibility to develop a subcontracting plan with
respect to both small business concerns and small business concerns owned and con-
trolled by socially and economically disadvantaged invididuals and that each such
aspect of the plan will be judged independently of the other. .
(5) The failure of any contractor or subcontractor to comply in good faith
with (a) the clause entitled Utilization of Small Business Concerns and Small
Business Concerns Owned and Controlled by Socially and Economically Disadvantaged
Individuals or (b) the terms of any subcontracting plan required by this Small
Business and Small Disadvantaged Business Subcontracting Plan (Advertised) provi-
sion, will be a material breach of the contract or subcontract.
(6) Canmercial Products. If a commercial product (defined below) is offered
the required subcontracting plan may relate to the company's or division's produc-
tion generally (both for commercial and noncommercial products) rather than solely
to the item being procured under the government contract. In such cases, the
contractor shall be required to submit one company-wide, annual plan to be reviewed
for approval by the first agency with which it enters into a prime contract (which
requires a. subcontracting plan) during the fiscal year, or by another agency satis-
factory to the contracting officer. The approved plan will remain in effect for the
company's entire fiscal year for all of the company's or division's commercial
products.
The term "commercial products" means products in regular production sold
in substantial quantities to the general public and/or industry.at established
market or catalog prices. A product which, in the opinion of the contracting
officer, differs only insignificantly from the contractor's commercial product may
be regarded for the purpose of this clause as a commercial product."
"30A. SMALL BUSINESS AND SMALL DISADVANTAGED BUSINESS SUBCONTRACTING PLAN
(NEGOTIATED)
(1) This provision does not apply to small business concerns.
(2) The term "subcontract" means any agreement (other than one involving an
employer-employee relationship) entered into by a Federal Government prime con-
tractor or subcontractor calling for supplies or services required for the
performance of the original contract or subcontract.
(3) The offeror acknowledges that it is aware of the subcontracting plan
requirements in this provision; and if it is the apparent successful offeror, and if
the contract offers subcontracting possibilities, agrees to negotiate a plan which
includes:
(a) Percentage goals (expressed in terms of percentage of total planned
subcontracting dollars) for the utilization as subcontractors of small business
concerns and small business concerns owned and controlled by socially and economi-
cally disadvantaged individuals; (For the purposes of the subcontracting plan, the
contractor may include all purchases which contribute to the performance of the
contract, including a proportionate share of products, services, etc., whose costs
are normally allocated as indirect or overhead costs.)
As part of its establishment of percentage goals the apparent successful
offeror shall also include in its subcontracting plan:
(1) A statement of: (a) total dollars planned to be subcontracted; (b) total
dollars planned to be subcontracted to small business; and (c) total dollars planned
to be subcontracted to small disadvantaged business.
(2) A description of the principal product and service areas to be
subcontracted and an identification of those areas where it is planned to use (i)
small business subcontractors, and (ii) small disadvantaged business
subcontractors.
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(3) A statement of the method used in developing proposed subcontracting
goals for (i) small business, (ii) small disadvantaged business concerns (e.g., did
the offeror use for subcontract solicitation purposes company source lists, the
small business and disadvantaged small business source identification system
provided by the Small Business Administration's Procurement Automated Source
System, the National Minority Purchasing Council Vendor Information -Service, the
Office of Minority Business Data Center in the Department of Commerce, and the
facilities of local small business and minority associations?).
(4) If the offeror includes indirect and overhead costs as an element in
establishing the goals in the subcontracting plan, the method used. in determining
the proportionate share of indirect and overhead costs incurred with (i) small
business, and (ii) small disadvantaged business subcontractors shall be explained.
(b) The name of an individual within the employ of the offeror who will
administer the subcontracting program of the offeror and a description of the duties
of such individual;
(c) A description of the efforts the offeror will take to assure that small
business concerns and all business concerns owned and controlled by socially and
economically disadvantaged individuals will have an equitable opportunity to
compete for subcontracts;
(d) Assurances that the offeror will include the clause entitled Utilization
of Small Business Concerns and Small Business Concerns Owned and Controlled by
Socially and Economically Disadvantaged Individuals in all subcontracts which offer
further subcontracting opportunities and to require all subcontractors (except
small business concerns) which receive subcontracts in excess of $500,000, or in the
case of a contract for the construction of any public facility, $1,000,000, to adopt
and comply with a plan similar to the plan agreed to by the offeror. Such
assurances shall describe the offeror's procedures for the review, approval, and
monitoring for compliance with such plans;
(e) Assurances that the offeror will submit such periodic reports and
cooperate in any studies or surveys as may be required by the contracting agency or
the Small Business Administration in order to determine the extent of compliance by
the offeror with subcontracting plan; and
(f) A recitation of the types of records the offeror will maintain to
demonstrate procedures which have been adopted to comply with the requirements and
goals set forth in the plan, including the establishment of source lists of small
business concerns and small business concerns owned and controlled by socially and
economically disadvantaged individuals; and efforts to identify and award subcon-
tracts to such small business concerns. The records shall include at least the
following (these records may be maintained on a plant-wide or company-wide basis
unless otherwise indicated):
(1) Small and disadvantaged business source lists, guides and other data
identifying small and small disadvantaged business vendors.
(2) Organizations contacted for small and disadvantaged business sources.
(3) On a contract-by-contract basis, records on all subcontract solicita-
tions over $100,000, indicating on each solicitation (a) whether small business was
solicited, and if not why not; (b) whether small disadvantaged business was
solicited, and if not why not, and (c) reasons- for the failure of solicited small
business or small disadvantaged business to receive the subcontract award.
(4) Records to support other outreach efforts:
. Contacts with minority and small business trade associations,
. Contacts with business development organizations;
. Attendance at small and minority business procurement conferences and
trade fairs;
(5) Records to support internal activities to guide and encourage buyers:
Workshops, seminars, training programs, etc.
Monitoring activities to evaluate compliance.
8
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(6) On a contract-by-contract basis, records to support award data submitted
to the Government to include name and address of subcontractor.
(4) The offeror understands that:
(a) No contract will be awarded unless and until an acceptable plan is
negotiated with the contracting officer which plan will be incorporated into the
contract, as a material part thereof.
(b) An acceptable plan must, in the determination of the contracting
officer, provide the maximum practicable opportunity for small business concerns
and small business concerns owned and controlled by socially 'and economically
disadvantaged persons to participate in the performance of the gontract.
(c) If a subcontracting plan acceptable to the contracting officer is not
negotiated within the time limits prescribed by the contracting activity and such
failure arises out of causes within the control and with the fault or negligence of
the offeror, the offeror shall be ineligible for an award. The contracting officer
shall notify the contractor in writing of his reasons for determining a subcon-
tracting plan to be unacceptable. Such notice shall be given early enough in the
negotiation process to allow the contractor to modify the plan within the time
limits prescribed.
(d) Prior compliance of the offeror with other such subcontracting plans
under previous contracts will be considered by the contracting officer in determin-
ing the responsibility of the offeror for award of the contract.
(e) It is the offeror's responsibility to develop a satisfactory subcon-
tracting plan with respect to both small business concerns and small business
concerns owned and controlled by socially and economically disadvantaged
individuals and that each such aspect of the offeror's plan will be judged
independent of the other.
(f) The offeror will submit, as required by the contracting. officer, subcon-
tracting reports in accordance with the instructions thereon, and as further
directed by the contracting officer. Subcontractors will also submit these reports
to the government's contracting officer or as otherwise directed, with a copy to the
prime contractor's designated small and disadvantaged business liaison.
(5) The failure of any contractor or subcontractor to comply in good faith
with (a) the clause entitled Utilization of Small Business Concerns and Small
Business Concerns Owned and Controlled by Socially and Economically Disadvantaged
Individuals or (b) an approved plan required by this Small Business and Small Dis-
advantaged Business Subcontracting Plan (Negotiated) provision, will be a material
breach of such contract or subcontract.
(6) Commercial Products. If a commercial product (defined below) is offered
the required subcontracting plan may relate to the company's production generally
(both for commercial and noncommercial products) rather than solely to the item
being procured under the government contract. In such cases, the contractor shall
be required to submit one company-wide, annual plan to be reviewed for approval by
the first agency with which it enters into a prime contract (which requires a
subcontracting plan) during the fiscal year, or by another agency satisfactory to
the contracting officer. The approved plan will remain in effect for the company's
entire fiscal year for all of the company's or division's commercial products.
The term "commercial products" means products in regular production sold
in substantial quantities to the general public and/or industry at established
market or catalog prices. A product which, in the opinion of the contracting
officer, differs only insignificantly from the contractor's commercial product may
be regarded for the purpose of this clause as a commercial product."
"30B. INCENTIVE SUBCONTRACTING PROGRAM FOR SMALL BUSINESS AND SMALL
DISADVANTAGED BUSINESS (NEGOTIATED)
(1) The Contractor has established, in its subcontracting plan, the
following goals for awards to small business and small disadvantaged business
concerns:
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(i) 1 percent of the total planned subcontract amount of
$ 1 to small business concerns, and _
(ii) 1 percent of the total planned subcontract amount of
$ to small business concerns owned and controlled by socially
and economically disadvantaged individuals.
(2) To the extent that the Contractor exceeds suc? subcontract goals in the
performance of this contract, it will receive percent (not to exceed 10
percent) of the dollar amount of such excesses, unless the Contracting Officer
determines that such excess was not due to efforts by the Contractor, i.e., subcon-
tractor costs in excess of those contractually agreed upon or where the actual
subcontract amount exceeds that estimated in the subcontract plan; or planned
subcontracts which were not disclosed in the subcontract plan during contract
negotiation.
(3) If the contract is a cost plus fixed fee type, the total of the fixed fee
and the incentive payments made pursuant to this clause is subject to the limita-
tions set forth in FPR 1-3.405-5(c)(2) and DAR 3-405.6(c)(2)."
8. The following clauses are added to the General Provisions:
'32. DISABLED VETERANS AND VETERANS CP THE VIETNAM ERA
(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 veteran 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 wtich 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 indepen-
dently 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.
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
'Identified elsewhere in the contract.
2Identified elsewhere in the contract.
3Exact percentage to be inserted into the contract document.
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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 vete-
rans hired for on-the-job training under 38 U.S.C. 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 by 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.
(f) 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 organi-
zation 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.
(h) As used in this clause: (1) "All suitable employment openings"
includes, but is not limited to, openings which occur in the following job cate-
gories: production and non-production; plant and office; laborers and mechanics;
supervisory and nonsupervisory; technical; and executive, administrative, and
professional openings that are compensated on a salary basis of less than $25,000
per year. The 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, sub-
sidiaries, and 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 representa-
tives 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 Act.
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(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 applic,nts for employment notices in a form to be prescribed by the
Director, 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 terms of the Vietnam Era Veteran's 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.
(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, regu-
lations, 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.
33. LMPLOMAENT OF ' Z HANDICAPPED
(a) The contractor will not discriminate against any employee or applicant
for employment because of physical or mental handicap in regard to any position for
rich the employee 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 discrimination based upon their physical
or mental handicap 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 to comply with the rules, regulations, and
relevant orders of the Secretary of Labor issued pursuant to the Rehabilitation Act
of 1973 as amended.
(c) 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.
(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, Office of Federal Contract Compliance Program, Department of Labor,
provided by or through the contracting officer. Such notices shall state the
contractor's obligation under the law to take affirmative action to employ and
advance in employment qualified handicapped employees and applicants
employment, and the rights of applicants and employees.
(e) The contractor will notify each labor union or representative of workers
with which it has a collective bargaining agreement or other contract understand-
ing, that the contractor is bound by the terms of section 503 of the Act, and is
physically
committed to take affirmative action to employ and advance in employment
and mentally handicapped individuals.
(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, regula-
tions, 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.
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34. CLEAN AIR AND WATER
(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 of a conviction
under the Clean Air Act (42.U.S.C. 1857c-8(c) (1)) or the Federal Water Pollution
Control Act (33 U.S.C. 1319(c)) and is listed by EPA, or the contract is not
otherwise exempt.)
(a) The Contractor agrees as follows:
(1) To comply with all the requirements of Section 114 of the Clean Air Act,
as amended (42 U.S.C. 1857, at seq. , as amended by Public Law 91-604) and Section
308 of the Federal Water Pollution Control Act (33 U.S.C. 1251, at seq., as amended
by Public Law 92-500), respectively, relating to inspection, monitoring, entry,
reports, and information, as well as other requirements specified in Section 114 and
Section 308 of the Air Act and the Water Act, respectively, and all regulations and
guidelines issued thereunder before the award of this contract.
(2) That no portion of the work required by this prime contract will be
performed in a facility listed on the Environmental Protection Agency List of
Violating Facilities on the date when this contract was awarded unless and until the
EPA eliminates the name of such facility or facilities from such listing.
(3) 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.
(4) To insert the substance of the provisions of this clause in any nonexempt
subcontract, including this paragraph (a)(4).
(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 at
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 at 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
reouirements 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 implemen-
tation 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 promul-
gated 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 govern-
ment to ensure compliance with pretreatment regulations as required by Section 307
of the Water Act (33 U.S.C. 1317).
(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 requirements 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 or subcontractor, to be utilized in the per-
formance of a contract or subcontract. Where a location or site of operations con-
tains 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 collocatEa in one geographical area."
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9. The provisions of the Clause 25 entitled ?BQQAL OPPORTUNITT? of the General
Provisions, Standard Porn 23-A, are supplemented by the following Clauses 35 and 36:
035. NOTICE CF REQUIRE iT FOR AFFIRMATIVE ACTI0t4 TO ENSRL EQUAL EMPLO)S.iT
OPPCRTUMITY (EX.?CUTIVE ORDER 11246)
(1) The Offeror's or Bidder's attention is called to the Equal Opportunity Clause-
and the "Standard Federal Equal Employment Specifications" as set forth herein.
,(2) The goals and timetables for minority and female participation, expressed in percent-
age terms for the Contractor's aggregate workforce in each trade on all construction work
in the covered area, are as follows:
Goals for minority a s for female
participation for participation in
each trade each trade
From 11/3/80 until further
notice ------ All trades .j . . 28.0 6.9
These goals are applicable to all the Contractor's construction work (whether or not
it is Federal or federally assisted) performed in the covered area. If the contractor performs
construction work in a geographical area located outside of the covered area, it shall apply
the goals established for such geographical area where the work Is actually performed.
With regard to this second area, the contractor also is subject to the goals for both its
federally involved and nonfederally involved construction.
The Contractor's compliance with the Executive Order and the regulations in 41 CFR
Part 60-4 shall be based on its implementation of the Equal Opportunity Clause, specific
affirmative action obligations required the the specifications set forth in 41 CFR 60-4.3(a),
and its efforts to meet the goals. The hours of minority and female employment and training
must be substantially uniform throughout the length of the contract, and in each trade,
and the contractor shall make a good faith effort to employ minorities and women evenly
on each of its projects. The transfer of minority or female employees or trainees from
Contractor to Contractor or from project to project for the sole purpose of meeting the
Contractor's goals shall be a violation of the contract, the Executive Order and regulations
in 41 CFR Part 60-d. Compliance with the goals will be measured against the total work
hours performed.
(3) The Contractor shall provide written notification to the Director of the Office
of Federal Contract Compliance Programs within 10 working days of award of any construction
subcontract in excess of $10,000 at any tier for construction work under the contract result-
ing from this solicitation. The notification shall list the name, address and telephone
number of the subcontractor, employer identification number of the subcontractor; estimated
dollar amount of the subcontractor; estimated dollar amount of the subcontract; estimated
starting and completion dates of the subcontract; and the geographical area in which the
subcontract is to be performed.
(4) As used in this Notice, and in the contract resulting from this solicitation,
the "covered area" is the Metropolitan Washington, D.C. area for minorities and females.
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36. STANDARD FEDERAL EQUAL EMPLOYMENT OPPORTUNITY CONSTRUCTION CONTRACT
SPECIFICATIONS (EXECUTIVE ORDER 11246)
? (1) As used in these specifications:
(a) "Covered area" means the geographical area described in the solicitation
from which this contract resulted;
(b) "Director" means Director; Office of Federal Contract Compliance
Programs, United States Department of Labor, or any person to whom the Director
delegates authority;
(c) "Employer identification number" means the Federal Social Security
number used on the Employer's Quarterly Federal Tax Return, U.S. Treasury Depart-
ment Form 941.
(d) "Minority" includes:
(i) Black (all persons having origins in any of the Black African racial
groups not of Hispanic origin);
(ii) Hispanic (all persons of Mexican, Puerto Rican, Cuban, Central or South
American or other Spanish Culture or origin, regardless of race);
(iii) Asian and Pacific Islander (all persons having origins in any of the
original peoples of the Far East, southeast Asia, the Indian Subcontinent, or the
Pacific Islands); and
(iv) American Indian or Alaskan Native (all persons having origins in any of
the original peoples of North America and maintaining identifiable tribal affilia-
tions through membership and participation or community identification).
(2) Whenever the Contractor, or any Subcontractor at any tier, subcontracts
a portion of the work involving any construction. trade, it shall physically include
in each subcontract in excess of $10,000 the provisions of these specifications and
the Notice which contains the applicable goals for minority and female participa-
tion and which is, set forth in the solicitations from which this contract resulted.
(3) If the Contractor is participating (pursuant to 41 CFR 60-4.5) in a
Hometown Plan approved by the U.S. Department of Labor in the covered area either
individually or through an association, its affirmative action obligations on all
work in the Plan area (including goals and timetables) shall be in accordance with
that Plan for those trades which have unions participating in the Plan. Contractors
must be able to demonstrate their participation in and compliance with the provi-
sions of any such Hometown Plan. Each Contractor or Subcontractor participating in
an approved Plan is individually required to comply with its obligations under the
EEO clause, and to make a good faith effort to achieve each goal under the Plan in
each trade in which it has employees. The overall good faith performance by other
Contractors or Subcontractors toward a goal in an approved Plan does not excuse any
covered Contractor's or Subcontractor's failure to take good faith efforts to
achieve the Plan goals and timetables.
(4) The Contractor shall implement the specific affirmative action standards
provided in paragraphs (7) (a) through (p) of these specifications. The goals set
forth in the solicitation from which this contract resulted are expressed as
percentages of the total hours of employment and training of minority and female
utilization the Contractor should reasonably be able to achieve in each construc-
tion trade in which it has employees in the covered area. The Contractor is
expected to make substantially uniform progress toward its goals in each craft
during the period specified.
(5) Neither the provisions of any collective bargaining agreement, nor the
failure by a union with whom the Contractor has a collective bargaining agreement,
to refer either minorities or women shall excuse the Contractor's obligations under
these specifications, Executive Order 11246, or the regulations promulgated
pursuant thereto.
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(6) In order for the nonworking training hours of apprentices and trainees
to be counted in meeting the goals, such apprentices and trainees must be employed
by the Contractor during the training period, and the Contractor must have made a
commitment to employ the apprentices and trainees at the completion of their
training, subject to the availability of employment opportunities. Trainees must
be trained pursuant to training programs approved by the Q.S. Department-of Labor.
(7) The Contractor shall take specific affirmative actions to ensure equal
employment opportunity. The evaluation of the Contractor's compliance with these
specifications shall be based upon its effort to achieve maximum results from its
actions. The Contractor shall document these efforts fully, and shall implement
affirmative action steps at least as extensive as the following:
(a) Ensure and maintain a working environment free of harassment,
intimidation, and coercion at all sites, and in all facilities at which the
Contractor's employees are assigned to work. The Contractor, where possible, will
assign two or more women to each construction project. The Contractor shall
specifically ensure that all foremen, superintendents, and other on-site
supervisory personnel are aware of and carry out the Contractor's obligation to
maintain such a working environment, with specific attention to minority or female
individuals working at such sites or in such facilities.
(b) Establish and maintain a current list of minority and female recruitment
sources, provide written notification to minority and female recruitment sources
and to community organizations when the Contractor or its unions have employment
opportunities available, and maintain a record of the organization's responses.
(c) Maintain a current file of the names, addresses and telephone numbers of
each minority and female off-the-street applicant and minority or female referral
from a union, a recruitment source or community organization and of what action was
taken with respect to each such individual. If such individual was sent to the
union hiring hall for referral and was not referred back to the Contractor by the
union or,. if referred, not employed by the Contractor, this shall be documented in
the file with the reason therefor, along with whatever additional actions the
Contractor may have taken.
(d) Provide immediate written notification to the Director when the union or
unions with. which the Contractor has a collective bargaining agreement has not
referred to the Contractor a minority person or woman sent by the Contractor, or
when the Contractor has other information that the union referral process has
impeded the Contractor's efforts to meet its obligations.
(e) Develop on-the-job training opportunities and/or participate in training
programs for the area which expressly include minorities and women, including
upgrading programs and apprenticeship and trainee programs relevant to the
Contractor's employment needs, especially those programs funded or approved by the
Department of Labor. The Contractor shall provide notice of these programs to the
sources compiled under (7)(b) above.
(f) Disseminate the Contractor's EEO policy by providing notice of the
policy to unions and training programs and requesting their cooperation in
assisting the Contractor in meeting its EEO obligations; by including it in any
policy manual and collective bargaining agreement; by publicizing it in the company
newspaper, annual report, etc.; by specific review of the policy with all management
personnel and with all minority and female employees at least once a year; and by
posting the company EEO policy on bulletin boards accessible to all employees at
each location where construction work is performed.
(g) Review, at least annually, the company's EEO policy and affirmative
action obligations under these specifications with all employees having any respon-
sibility for hiring, assignment, layoff, termination or other employment decisions
including specific review of these items with onsite supervisory personnel such as
Superintendents, General Foremen, etc., prior to the initiation of construction
work at any job site. A written record shall be made and maintained identifying the
time and place of these meetings, persons attending, subject matter discussed, and
disposition of the subject matter.
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(h) Disseminate the Contractor's EEO policy externally by including it in
any advertising in the news media, srecifically including minority and female news
media, and providing written notification to and discussing the Contractor's EEO
policy with other Contractors and Subcontractors with whom the Contractor does or
anticipates doing business.
(i) Direct its recruitment efforts, both oral and written, to minority,
female and community organizations, to schools with minority and female students
and to minority and female recruitment and training organizations serving the
Contractor's recruitment area and employment needs. Not later than one month prior
to the date for the acceptance of applications for apprenticeship or other training
by any recruitment source, the Contractor shall send written notification to
organizations such as the above, describing the openings, screening procedures, and
tests to be used in the selection process.
(j) Encourage present minority and female employees to recruit other
minority persons and women and, where reasonable, prbvide after school, summer and
vacation employment to minority and female youth both on the site and in other areas
of the Contractor's workforce.
(k) Validate all tests and other selection requirements where there is an
obligation to do so under 41 CFR Part 60-3.
(1) Conduct, at least annually, an inventory and evaluation at least of all
minority and female personnel for promotional opportunities and encourage these
employees to seek or to prepare for, through appropriate training, etc., such
opportunities. -
(m) Ensure that seniority practices, job classifications, work assignments
and other personnel practices do not have a discriminatory effect by continually
monitoring all personnel and employment related activities to ensure that the EEO
policy and the Contractor's obligations under these specifications are being
carried out.
(n) Ensure that all facilities and company activities are nonsegregated
except that separate or single-user toilet and necessary changing facilities shall
be provided to assure privacy between the sexes.
(o) Document and maintain a record of all solicitations of offers for
subcontracts from minority and female construction contractors and suppliers,
including circulation of solicitations to minority and female contractor asso-
ciations and other business associations.
(p) Conduct a review, at least annually, of all supervisors' adherence to
and performance under the Contractor's EEO policies and affirmative action
obligations.
(8) Contractors are encouraged to participate in voluntary associations
which assist in fulfulling one or more of their affirmative action obligations
((7)(a) through (p)). The efforts of a contractor association, joint contractor-
union, contractor-community, or other similar group of which the Contractor is a
member and participant, may be asserted as fulfilling any one or more of its obliga-
tions under (7)(a) through (p) of these specifications provided that the contractor
actively participates in the group, makes every effort to assure that the group has
a positive impact on the employment of minorities and women in the industry, ensures
that the concrete benefits of the program are reflected in the Contractor's minority
and female workforce participation, makes a good faith effort to meet its individual
goals and timetables, and can provide access to documentation which demonstrates
the effectiveness of actions taken on behalf of the Contractor. The obligation to
comply, however, is the Contractor's and failure of such a group to fulfill an
obligation shall not be a defense for the Contractor's noncompliance.
(9) A single goal for minorities and a separate single goal for women have
been established. The Contractor, however, is required to provide equal employment
opportunity and to take affirmative action for all minority groups, both male and
female, and all women, both minority and non-minority. Consequently, th e
Contractor may be in violation of the Executive Order if a particular group is
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employed in a substantially disparate manner (for example, even though the
Contractor has achieved its goals for women generally, the Contractor may be in
violation of the Executive Order if a specific minority group of women is under-
utilized).
(10) ? The Contractor shall not use the goals and timetables or affirmative
action standards to discriminate against any person because of race, color,
religion, sex, or national origin.
(11) The Contractor shall.not enter into any Subcontract with any person or
firm debarred from Government contracts pursuant to Executive Order 11246.
(12) The Contractor shall carry out such sanctions and penalties for
violation of these specifications and of the Equal Opportunity Clause, including
suspension, termination and cancellation of existing subcontracts as may be imposed
or ordered pursuant to Executive Order 11246, as amended, and its implementing
regulations, by the Office of Federal Contract Compliance Programs. Any Contractor
who fails to carry out such sanctions and penalties shall be in violation of these
specifications and Executive Order 11246, as amended.
(13) The Contractor, in fulfilling its obligations under these specifica-
tions, shall implement specific affirmative action steps, at least as extensive as
those standards prescribed in paragraph (7) of these specifications, so as to
achieve maximum results from its efforts to ensure equal employment opportunity. If
the Contractor fails to comply with the requirements of the Executive Order, the
implementing regulations, or these specifications, the Director shall proceed in
accordance with 41 CPR 60-4.8.
(14) The Contractor shall designate a. responsible official to monitor all
employment related activity to ensure that the company EEO policy is being carried
out, to submit reports relating to the provisions hereof as may be required by the
Government and to keep records. Records shall at least include for each employee
the name, address, telephone numbers, construction trade, union affiliation if any,
employee identification number when assigned, social security number, race, sex,
status (e.g., mechanic, apprentice, trainee, helper, or laborer), dates of changes
in status, hours worked per week in the indicated trade, rate of pay, and locations
at which the work was performed. Records shall be maintained in an easily under-
standable and retrievable form; however, to the degree that existing records
satisfy this requirement, contractors shall not be required to maintain separate
records.
(15) Nothing herein provided shall be construed as a limitation upon the
application of other laws which establish different standards of compliance or upon
the application of requirements for the hiring of local or other area residents
(e.g., those under the Public Works Employment Act of 1977 and the Community
Development Block Grant Program)."
9.0. The following clauses are added to the General Provisions:
?37. CERTIFICATION - ',GE AND PRIG: STANDARDS (1979 JAN)
(This clause is applicable if the - award, an order under an existing contract
or a supplemental agreement for new work is in excess of $5 million, or the expected
cumulative value of orders (when the contract is of the indefinite delivery type) is
in excess of $5 million.)
(a) The Contractor hereby certifies that, as of the date of this action, he
is in compliance with the Wage and Price Standards issued by the Council on Wage and
Price Stability (6 CFFR 705, Appendix, and Part 706).
(b) If it is later determined after notice and opportunity to be heard, that
the Contractor was willfully not in compliance with such standards as of the date of
this certification, then this contract may be terminated in accordance with the
provisions of the Termination for Default Clause.
(c) Should the Government determine that termination for default would not
be in the public interest, the Contractor agrees that he will accept an equitable
reduction of the contract price or cost allowance and profit or fee, as appropriate
under the circumstances.
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(d) The Contractor shall require a Certification - Wage and Price Standards
limited to (a) above, as a condition of award of any first tier subcontract which
exceeds $5 million. The Contractor further agrees that should any price adjustment
in subcontract prices result from the operation of this provision as to
subcontracts, he will advise the Contracting Officer and an equitable adjustment of
the contract price will be made. The operation of this provision in any subcontract
shall not excuse the Contractor from performance of this contract in accordance with
its terms and conditions. Any waiver or relaxation of the certification require-
ments with respect to such first tier subcontractors can only be made by the agency
head involved.
38. NON-USE OF FOREICN-FLAG VESSELS ENGAGED IN CUBAN OR, NORTH VIETNAM TRADE
(a) If, after the date of award, any shipment of supplies to be delivered
under this contract, or any shipment of material to be incorporated in such
supplies, or any shipment of articles, materials, or supplies to be incorporated in
a construction project, will require ocean transportation to or from the United
States, the Contractor shall not use any foreign-flag vessel which the Maritime
Administration has listed in the Federal Register as having called at a Cuban port
on or after January 1, 1963, or a North Vietnam port on or after January 25, 1966,
unless an exception has been made by the Secretary of Commerce..
(b) For the purposes of this clause, the term "United States" includes the
fifty States, Puerto Rico, possessions of the United States, and the District of
Columbia.
(c) The Contractor shall include the substance of this clause, including
this paragraph (c), in each subcontract or purchase order hereunder which may
involve ocean transportation to or from the United States.
(a) The Cargo Preference Act of 1954 (Public Law 664, August 26, 1954, 68
Stat. 832, 46 U.S.C. 1241(13)), requires that Federal departments or agencies shall
transport at least 50 percent of the gross tonnage (computed separately for dry bulk
carriers, dry cargo -liners, and tankers) of equipment, materials, or commodities
which may be transported on ocean vessels on privately owned United States flag
commercial vessels. Such transportation shall be accomplished whenever:
(1) Any equipment, materials, or commodities, within or outside the United
States, which may be transported by ocean vessel, are:
(A) Procured, contracted for, or otherwise obtained for the agency's
account; or
(B) Furnished to or for the account of any foreign nation without provision
for reimbursement.
(2) Funds or credits are advanced or the convertibility of foreign
currencies is guaranteed in connection with furnishing such equipment, materials,
or commodities which may be transported by ocean vessel.
NOTE: This requirement does not apply to small purchases as defined in 41 CPR
1-3.6 or to cargoes carried in the vessels of the Panama Canal Company.
(b) The contractor agrees as follows:
(1) To utilize privately owned United States flag commercial vessels to ship
at least 50 percent of the gross tonnage (computed separately for dry bulk carriers,
dry cargo liners, and tankers) involved whenever shipping any equipment, material,
or commodities under the conditions set forth in (a) above pursuant to this contract
to the extent such vessels are available at fair and reasonable rates. for United
States flag commercial vessels.
NOTE: Guidance regarding fair and reasonable rates for United States flag
vessels may be obtained from the Division of National Cargo, Office of Market
Development, Maritime Administration, Washington, DC 20230, Area Code 202, phone
377-3449.
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(2) To furnish, within 15 working days following the date of loading for
shipments originating within the United States or within 25 working days following
the date of loading for shipments originating outside the United States, a legible
copy of a rated, "on-board" commercial ocean bill of lading in English for each
shipment of cargo covered by the provisions in (a) above to both the Contracting
Officer (through the prime contractor in the case of subcontractor bills of lading)
and to the Division of National Cargo, Office of Market Development.
(3) To insert the substance of the provisions of this clause in all
subcontracts issued pursuant to this contract except for small purchases as defined
in 41 CFR 1-3.6.
40.1 In connection with the negotiation of any change or other modification
of this contract which involves aggregate increases and/or decreases in costs, plus
applicable profits (as explained in PPR 1-3.807-3), in excess of $100,000, and the
change is not 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 contractor shall furnish cost or pricing data
and, as soon as practicable after agreement is reached on price, shall furnish a
certification in the following form:
This is to certify that, to the best of my knowledge and belief, cost or pricing
datal submitted in writing, or specifically identified in writing if actual submis-
sion of the data is impracticable (see s1-3.807-3 (h) (2)) , to the Contracting
Officer or his representative in support of T_ are
accurate, complete, and current as of
(Date)
Firm
Name
'For definition of "cost or pricing data," sae FPR s1-3.807-3.
2Describe the proposal, quotation, request for price adjustments, or other
submission involved, giving appropriate identifying number (e.g., RFP No.
3This date shall be the date when the price negotiations were concluded and the
contract price was agreed to. The responsibility of the contractor is not limited
by the personal knowledge of the contractor's negotiator if the contractor had
information reasonably available (see 51-3.807-5(a)) at the time of agreement,
showing that the negotiated price is not based on accurate, complete, and current
data. -
41. PRICE REt1CTION FOR DEFECTIVE COST OR PRICING DATA-PRICE ADJUSTMENTS
4This date should be as close as practicable to the date when the price negotiations
were concluded and the contract price was agreed upon.
41.1 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 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 right to price reduction under this clause is limited to
defects in data relating to such codification.
41.2 If any price, including profit, or fee, negotiated in connection with
any price adjustment under this contract was increased by any significant sums
because :
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41.2.1 The Contractor furnished cost or pricing data which was not accurate,
complete and current as certified in the Contractor's Certificate of Current Cost or
Pricing Data;
41.2.2 A subcontractor, pursuant to the clause of this contract entitled
"Subcontractor Cost or Pricing Data" or "Subcontractor Cost or Pricing Data-Price
adjustments" or any subcontract clause therein required, furnished cost or pricing
data which was not accuratd, complete and current as certified in the subcon-
tractor's Certificate of Current Cost or Pricing Data,
41.2.3 A subcontractor or prospective subcontractor furnished cost or
pricing data which was required to be accurate, complete and current and to be
submitted to support a subcontract cost estimate furnished by the Contractor but
which was not accurate, complete and current as of the date certified in the
Contractor's Certificate of Current Cost or Pricing Data; or
41.2.4 The Contractor or a subcontractor or prospective subcontractor
furnished any data, not within 41.2.1, 41.2.2 or 41.2.3 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. How-
ever, any reduction in the contract price due to defective subcontract data of a
prospective subcontractor, when the subcontract was not subsequently 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 subcon-
tracts, it is expected that the Contractor may wish to include a clause in each
subcontract requiring the 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.)
41.3 Failure to agree on a reduction shall be a dispute concerning a question
of fact within the meaning of the "Disputes" clause of this contract.
* 42. AIIDIT
42.1 General. The Contracting officer or his representatives shall have the
audit and inspection rights described in the applicable paragraphs 42.2, 42.3 and
42.4, below.
42.2 Examination of costs. If this is a cost-reimbursement type, incentive,
time and materials, labor hour, or price redeterminable contract, or any combina-
tion 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
properlyall direct and indirect costs of t'k atever 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, or such parts thereof, as may be engaged in the performance of
this contract.
42.3 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 of 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.
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42.4 Availability. The materials described in 42.2 and 42.3 above, shall be
made available at the office of the Contractor, at all reasonable times, for
inspection, audit or reproduction, until the expiration of 3 years from the date of
final payment under this contract or such lesser time specified in Part 1-20 of the
Federal Procurement Regulations (41 CFR Part 1-20) 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 3 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 cut of the performance
of this contract, shall be made available until such appeals, litigation, or claims
have been disposed of.
42.5 The Contractor shall insert a clause containing all the provisions of
this clause, including this paragraph 42.5, in all subcontracts hereunder except
altered as necessary for proper identification of the contracting parties and the
Contracting Officer under the Government prime contract.
43.1 Paragraphs 43.2 and 43.3 of this clause shall become operative only with
respect to any modification made pursuant to one or more provisions of this contract
which involves aggregate increases and/or decreases in cost plus applicable profits
expected to exceed $100,000. The requirements of this clause shall be limited to
such modifications.
43.2 The Contractor shall require subcontractors hereunder to submit cost or
pricing data under the following circumstances:
(1) Prior to the award of any subcontract the amount of which-is expected to
exceed $100,000 when entered into;
(2) 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 commercial items sold in substantial
quantities to the general public, or prices set by law or regulation.
43.3 The Contractor shall require subcontracts to certify that to the best of
their knowledge and belief the cost or pricing data submitted under 43.2 above is
accurate, complete, and current as of the date of agreement on the negotiated price
of the subcontract or subcontract change or modification.
43.4 The Contractor shall insert the substance of this clause including the
paragraph 43.4 in each subcontract which exceeds $100,000.
(;MT'-O: This clause is applicable unless (1) the contract price is under
$100,000; (2) the contract price is based on established catalog or market prices of
commercial items sold in substantial quantities to the general public, or set by law
or regulation; (3) the contractor is a small business concern; (4) the contract is
to be executed and performed in its entirety outside the United States, its terri-
tories and possessions; (5) the contractor is an educational institution and is
subject to Subpart 1-15.3 of the Federal Procurement Regulations; (6) the con-
tractor is a State or local government and is subject to Subpart 1-15.7 of the
Federal Procurement Regulations; (7) the contractor is a hospital; (8) this is a
firm fixed-price contract awarded to the lowest offeror in compliance with the
solicitation, after issuance of an identical solicitation to all competing firms,
price was the only consideration in selecting the contractor from among the com-
peting firms solicited, at least two offers were received from firms not associated
with each other, and the profit center, division, or similar organizational unit of
the company to which this contract was awarded was not, on the date of the award,
performing anegotiated national defense contract or subcontract under which the
contractor is subject to cost accounting standards; (9) the contract price is under
$500,000, is the first negotiated nondefense contract or subcontract received by
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the contractor business unit, and the contractor or business unit is not performing
any other contract or subcontract under which it is subject to cost accounting
standards; (10) each negotiated national defense contract or usbonctract which the
contractor business unit is performing is under $10,0.00,000; and (11) the aggregate
of national defense contracts and/or subcontracts awarded to the contractor during
the preceding cost accounting period and under which the contractor is subject to
cost accounting standards, is less than $10,000,000 and constituted less than 10
percent of the contractor business unit's sales for the preceding period. This
clause shall be included in each subcontract except when any of the foregoing exemp-
tions are applicable.
(a) Unless the Administrator of General Services has? prescribed rules or
regulations exempting the Contractor or this contract from 'standards, rules, and
regulations promulgated by the Cost Accounting Standards Board, the Contractor, in
connection with, this contract, shall:
(1) Follow consistently the cost accounting practices established or
disclosed as required by regulations of the Cost Accounting Standards Board and
administered under the Administration of Cost Accounting Standards clause. If any
change in disclosed practices is made for purposes of any contract or subcontract
subject to those disclosure requirements, the change must be applied in a consistent
manner to this contract.
(2) Comply with all cost accounting standards which the Contractor is
required to comply with by reason of concurrent performance of any contract or
subcontract subject to the Cost Accounting Standards clause (4 CFR 331) and adminis-
tered under the Administration of Cost Accounting Standards clause. The Contractor
also shall comply with any cost accounting standard which hereafter becomes appli-
cable to such a contract or subcontract. Such compliance shall be required
prospectively from the date of applicability to such contract or subcontract.
Compliance shall continue until the Contractor completes performance of work under
this contract.
(3) Agree to an equitable adjustment (as provided in the Changes clause of
this contract, if any) if the contract cost is affected by a change which, pursuant
to (2) above, the Contractor is required to make to his established cost accounting
practices whether such practices are covered by a Disclosure Statement or not.
(4) 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 (a)(3) above or (a)
(6) below may be made. A change to a practice may be proposed by either the
Government or the Contractor, provided, however, that no agreement 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 appro-
priate, if it or a subcontractor fails to comply with the applicable Cost Accounting
Standards or to follow any practice disclosed or established pursuant to
subparagraph (a)(1) or (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, (50
U.S.C. App. 1215(b)(2)), or 7 percent per annum, whichever is less, from time the
payment by the United States was made to the time the adjustment is effected.
(6) Negotiate an equitable adjustment (as provided in the Changes clause of
this contract, if any) when the parties agree to a change to either a disclosed cost
accounting practice or an established cost accounting practice.
(b) 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 until the expiration of
3 years after final payment under this contract or such lesser time specified in the
Federal Procurement Regulations (FPR) part. 1-20.
(c) Unless a subcontract or Subcontractor is exempt under rules or
regulations prescribed by the Administrator of General Services, the Contractor:
(1) shall include the substance of this clause including this paragraph (c) in all
negotiated subcontracts under this contract with subcontractors that are currently
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performing a national defense contract or subcontract that contains the clause
entitled to Cost Acc nting Standards and that are currently required to. accept the
clause in applicable national defense awards, and (2) shall include the substance of
the Consistency of Cost Accounting Practices - Nondefense Contract clause set forth
S 1-3.1204-2(b) of the FPR in negotiated subcontracts under this contract with all
other subcontractors. The Contractor may elect to use the substance of the solici-
tation notice set forth in S 1-3.1203-2(b) of the FPR in his determination of
applicability cost accounting standards to subcontracts.
C.
(d) The terms defined in S 331.20 of Part 331 of TiQle 4, Code of Federal
Regulations, shall have the same meaning 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 considera-
tion in selecting the subcontractor from among the competing firms solicited, and
(3) the lowest offer received in compliance with the solicitation from asx ng those
solicited is accepted."
(e) The administration of this clause by the Government shall be
accomplished in conjunction with the administration of the Contractor's national
defense contracts and subcontracts subject to rules and regulations of the Cost
Accounting Standards Board, pursuant to the Administration of Cost Accounting
Standards clause. For the purposes of the Administration of Cost Accounting
Standards clause contained in this contract, references to the Cost Accounting
Standards clause shall be deemed to include this Cost Accounting Standards-Non-
defense Contract clause and reference to the Disclosure and Consistency of Cost
Accounting Practices clause shall be deemed to include the Consistency of Cost
Accounting Practices-Nondefense Contract clause.
(N3TE: This clause is applicable, if Clause 44 is inapplicable, unless any of
exemptions (1) through (10) set forth in the Note in Clause 44 is or are applicable.
This clause shall be included in each subcontract except when any of the foregoing
exemptions are applicable.)
(a) Unless the Administrator of General Services has prescribed rules or
regulations exempting the Contractor or this contract from standards, rules, or
regulations promulgated by the Cost Accounting Standards Board, the Contractor, in
connection with this contract shall:
(1) Comply with the requirements of 4 CPR Parts 401, Consistency in
Estimating, Accumulating and Reporting Costs, and 402, Consistency in Allocating
Costs Incurred for the Same Purpose, in effect on the date of award of this contract
and administered under the Administration of Cost Accounting Standards clause.
Compliance shall continue until the Contractor completes performance of work under
this contract.
(2) Follow consistently the cost accounting practices established or
disclosed as required by regulations of the Cost Accounting Standards Board and
administered under the Administration of Cost Accounting Standards clause. If any
change is made in established practice or in disclosed practices for purposes of any
contract or subcontract subject to those disclosure requirements, the change must
be applied in a consistent manner to this contract. A change to these practices may
be proposed, however, by either the Government or the Contractor and the Contractor
agrees to negotiate with the Contracting Officer the terms and conditions under
wtuich a change may be made. After the terms and conditions under wtich the change
is to be made have been agreed to, the change must be applied prospectively to this
contract. No agreement may be made under this provision that will increase costs
paid by the United States.
(3) Agree to an adjustment of the contract price or cost allowance, as appro-
priate, if it or a subcontractor fails to comply with the applicable Cost Accounting
Standards or to follow any practice disclosed or established pursuant to subpara-
graph (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 (50 U.S.C. App.
1215(b) (2)) , or 7 percent per annum, whichever is less, from the time the payment by
the United States was made to the time the adjustment is effected.
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(4) Negotiate an equitable adjustment (as provided in the Changes clause of
this contract, if any) when the parties agree to either a disclosed cost accounting
practice or an established cost accounting practice.
(b) The Contractor shall permit any authorized representatives of the head
of the agency, of the Cost Accounting Standards Board, or of the Canptroller 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 until the expiration of
3 years after final payment under this contract or such lesser time specified in the
Federal Procurement Regulations (FPR) Part 1-20.
(c) Unless a subcontract or Subcontractor is exempt under ru les or
regulations prescribed by the Administrator of General Services, the Contractor
shall include the substance of this clause including this paragraph (c) in all
negotiated subcontracts under this contract except that it shall include the sub-
stance of the Cost Accounting Standards - Nondefense Contract clause set forth in S
1-3.1204-2(a) of the FPR in negotiated subcontracts under this contract with
subcontractors that are currently performing a national defense contract or subcon-
tract that contains the clause entitled Cost Accounting Standards and that are
currently required to accept that clause in applicable negotiated national defense
contracts. The Contractor may elect to use the substance of the solicitation notice
set forth in S 1-3.1203-2(b) of the FPR in his determination of applicability of
cost accounting standards to subcontracts.
(d) The terms defined in 4 CFR 331.20 and 332.20 shall have the same meaning
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."
(e) The administration of this clause by the Government shall be
accomplished in conjunction with the administration of the Contractor's national
defense contracts and subcontracts, if any, subject to rules and regulations of the
Cost Accounting Standards Board, pursuant to the Administration of Cost Accounting
Standards clause. For the purposes of the Administration of Cost Accounting
Standards clause contained in this contract, references to the Disclosure and
Consistency of Cost Accounting Practices clause shall be deemed to include this
Consistency of Cost Accounting Practices - Nondefense Contract clauses and
references to the Cost Accounting Standards clauses shall be deemed to include the
Cost Accounting Standards - Nondefense Contract clause.
(NOTE: This clause is inapplicable if the contract is exempt from both
Clauses 44 and 45. This clause shall be included in each subcontract except when
the subcontract is exempt from both Clauses 44 and 45.)
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 decreases for all contracts containing the Cost
Accounting Standards clause or the Disclosure and Consistency of Cost Accounting
Practices clause:
(1) For any change in cost accounting practices required to comply with a new
cost accounting standard in accordance with paragraph (a) (3) and (a) (4) (A) of the
Cost Accounting Standards clause within 60 days (or such other date as may be
mutually agreed to) after award of a contract requiring such change;
(2) For any change to cost accounting practices proposed in accordance with
paragraph (a) (4) (B) or (a) (4) (c) of the Cost Accounting Standards clause or with
paragraph (a) (3) or (a) (5) of the Disclosure and Consistency of Cost Accounting
Practices clause not less than 60 days (or such other date as may be mutually agreed
to) prior to the effective date of the Proposed change; or
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(3) 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 Cost.
Accounting Standards clause or with paragraph (a) (4) of the Disclosure and Con-
sistency of Cost Accounting Practices clause within 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 determination of the adequacy and compliance
of a change submitted pursuant to (a)(1), (2), or (3), above.
(c) Agree to appropriate contract and subcontract amendments to reflect
adjustments established in accordance with paragraphs (a)(4) and (a)(5) of the Cost
Accounting Standards clause or with paragraphs (a)(3), (a)(4) or (a)(5) of the
Disclosure and Consistency of Cost Accounting Practices clause.
. (d) When the subcontract is subject to either the Cost Accounting Standards
clause of the Disclosure and Consistency of Cost Accounting Practices clause so
state in the body of the subcontract and/or in the letter of award. Self-deleting
clauses shall not be used.
(e) Include the substance of this clause in all negotiated subcontracts
containing either the Cost Accounting Standards clause or the Disclosure and
Consistency of Cost Accounting Practices clause. In addition, include a provision
in these subcontracts which will require such subcontractors, within 30 days after
receipt of award (or such other date as may be mutually agreed to) 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 or Disclosure and Consistency of
Cost Accounting Practices 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 shall also be reported.
(f) For negotiation subcontracts containing the Cost Accounting Standards
clause, require the subcontractor to comply with all Standards in effect on the date
of final agreement on price as shown on the subcontractor's signed Certificate of
Current Cost or Pricing Data or date of award, whichever is earlier.
(g) 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 appro-
priate, based upon the adjustment established under the subcontract. Such notice
shall be given within 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.
(h) When either the Cost Accounting Standards clause or the Disclosure and
Consistency of Cost Accounting Practices clause and this clause are included in
subcontracts, the term "Contracting Officer* shall be suitably altered to identify
the purchaser.
(a) Public Law 93-623 requires that all Federal agencies and Government
contractors and subcontractors will use O.S. flag air carriers for international
air transportation of personnel (and their personal effects) or property to the
extent service by such carriers is available. It further provides that the
Comptroller General of the United States shall disallow any expenditure from appro-
priated funds for international air transportation on other than a U.S. flag air
carrier in the absence of satisfactory proof of the necessity therefor.
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(b) The contractor agrees to utilize U.S. flag air carriers for
international air transportation of personnel (and their personal effects) or
property to the extent service by such carriers is available.
(c) In the event that the contractor selects d carrier other than a U.S. flag
air carrier for international air transportation, he will include a certification
on vouchers involving such transportation which is essentially as follows:
r CERTIFICATION OF UNAVAILABILITY OF U.S. FLAG AIR CARRIERS
I hereby certify that transportation service for personnel (and their
personal effects) or property by certified air carrier was unavailable for the
following reasons: (State reasons).
(d) The terms used in this clause have the following meanings:
(1) "International air transportation" means transportation of persons (and
their personal effects) or property by air between a place in the United States and
a place outside thereof or between two places both of which are outside the United
States.
(2) "U.S. flag air carrier" means one of a class of air carriers holding a
certificate of public convenience and necessity issued by the Civil Aeronautics
Board, approved by the President, authorizing operations between the United States
and/or its territories and one or more foreign countries.
(3) The term "United States" includes the fifty states, Canmonwealth of
Puerto Rico, possessions of the United States, and the District of Columbia.
(e) The contractor shall include the substance of this clause, including
this paragraph (e) in each subcontract or purchase hereunder which may involve
international air transportation.
48. UTILIZATION OF WOMEN-OWNED BUSINESS CONCERNS (OVER $10,000)
(a) It is the policy of the United States Government that women-owned
businesses shall have the maximum practicable opportunity to participate in the
performance of contracts awarded by any Federal agency.
(b) The Contractor agrees to use his best efforts to carry out this policy in
the award of subcontracts to the fullest extent consistent with the efficient per-
formance of this contract. As used in this contract, a "woman-owned business"
concern means a business that is at least 518 owned by a woman or women who also
control and operate it. "Control" in this context means exercising the power to
make policy decisions. "Operate" in this context means being actively involved in
the day-to-day. management. "Women" mean all women business owners.
49. WOMEN-OWNED BUSINESS CONCERNS SUBCONTRACTING PROGRAM (OVER $500,000 OR
$1,000,000 FOR CONSTRUCTION OF ANY PUBLIC FACILITY)
(a) The Contractor agrees to establish and conduct a program which will
enable women-owned business concerns 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 "Women-
Owned Business Concerns Program."
(2) Provide adequate and timely consideration of the potentialities of known
women-owned business concerns in all "make-or-buy" decisions.
(3) Develop a list of qualified bidders that are women-owned businesses and
assure that known women-owned business concerns have an equitable opportunity to
compete for subcontracts, particularly by making information on forthcoming
opportunities available, by arranging solicitations, time for the preparation of
bids, quantities, specifications, and delivery schedules so as to facilitate the
participation of women-owned business concerns.
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(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 women-owned business concerns; (ii) awards to women-owned businesses on the
source list by minority and non-minority women-owned business concerns; and (iii)
specific efforts to identify and award contracts to women-owned business concerns.
(5) Include the 'Utilization of Women-Owned Business Concerns' clause in
subcontracts which offer substantial subcontracting opportunities.
(6) Cooperate in any studies and surveys of the Contractor's women-owned
business concerns procedures and practices that the Contracting Officer may from
time-to-time conduct.
(7) Submit periodic reports of subcontracting to 'women-owned business
concerns with respect to the records referred to in subparagraph (4) above, in such
form and manner and at such time (not core 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 or $1,000,000 in the case of contracts for the construc-
tion of any public facility and which offers substantial subcontracting
possibilities, 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.
(c) The Contractor further agrees to require written certification by its
subcontractors that they are bona fide women-owned and controlled business concerns
in accordance with the definition of a women-owned business concern as set forth in
the Utilization Clause 1(b) above at the time of submission of bids or proposals.'
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1.1 The terms "Administration" and "Service" as
used in this contract shall mean the General Services
Administration (GSA) and the Public Buildings Service
(PBS), respectively.
2. AUTHORITIES AND LIMITATIONS
2.1 All work shall be performed under the general
direction of the Contracting Officer, who alone shall
have the power to bind the Government and to exercise
the rights, responsibilities, authorities and functions
vested in him by the contract documents, except that
he shall have the right to designate authorized repre-
sentatives to act for him. Wherever any provision in
this contract specifies an individual (such as, but not
limited to, Construction Engineer, Resident Engineer,
Inspector or Custodian) or. organization, whether
Governmental or private, to perform any act on behalf
of or in the interests of the Government, that individual
or organization shall be deemed to be the Contracting
Officer's authorized representative under this contract
but only to the extent so specified. The Contracting
Officer may, at any time during the performance of this
contract, vest in any such authorized representatives
additional power and authority to act for him or
designate additional representatives, specifying the
extent of their authority to act for him; a copy of each
document vesting additional authority in an authorized
representative or designating an additional authorized
representative shall be furnished to the Contractor.
2.2 The Contractor shall perform the contract in
accordance with any order (including but not limited to
instruction, direction, interpretation or determination)
issued by an authorized representative in accordance
with his authority to act for the Contracting Officer;
but the Contractor assumes all the risk and conse-
quences of performing the contract in accordance with
any order (including but not limited to instruction,
direction, interpretation or determination) of anyone
not authorized to issue such order.
3. CONTRACT AND BONDS
3.1 If the successful bidder fails to satisfactorily
execute the required forms of contract, performance
bond and payment bond within the time established in
the bid, the Government may proceed to have the
required work performed by contract or otherwise, and
the bidder to whom award was originally made shall be
liable for any excess cost to the Government and the
bid guarantee shall be available toward offsetting such
excess cost.
4. WORKING HOURS
4.1 It is contemplated that all work will be
performed during the customary working hours of the
trades involved unless otherwise specified in this
contract. Work performed by the Contractor at his own
volition outside such customary working hours shall be at
no additional expense to the Government.
4.2 Any requests received by the Contractor from
occupants of existing buildings to change the hours of
work shall be referred to the Contracting Officer for
determination.
5. USE OF PREMISES
5.1 If the premises are occupied, the Contractor,
his subcontractors, and their employees shall comply with
the regulations governing access to, operation of, and
conduct while in or on the premises and shall perform the
work required under this contract in such a manner as not
to unreasonably interrupt or interfere with the conduct of
Government business.
3.2 Any requests received by the Contractor from
occupants of existing buildings to change the sequence of
work shall be referred to the Contracting Officer for
determination.
3.3 If the premises are occupied, the Contractor,
his subcontractors and their employees shall not have
access to or be admitted into any building outside the
scope of this contract except with official permission.
6. MEASUREMENTS
6.1 All dimensions shown of existing work and all
dimensions required for work that is to connect with work
now in place, shall be verified by the Contractor by actual
measurement of the existing work. Any discrepancies
between the contract requirements and the existing
conditions shall be referred to the Contracting Officer
before any work affected thereby has been performed.
7. SURVEY MONUMENTS AND BENCH MARKS
7.1 The Government has established, or will
establish, such general reference points as will enable the
Contractor to proceed with the work. The Contractor will
provide new monuments where shown or specified. If the
Contractor finds that any previously established reference
points have been destroyed or displaced, or that none have
been established, he shall promptly notify the Contracting
.Officer.
7.2 The Contractor shall protect and preserve
established bench marks and monuments and shall make no
changes in locations without the written approval of the
Contracting Officer. Established reference points which
may be lost, covered, destroyed or disturbed in the course
of performance of the work under this contract or which
require shifting because of necessary changes in grades or
locations shall, subject to prior approval of the Contract-
ing Officer, be replaced and accurately located or
relocated (as appropriate) at the Contractor's expense, by
a licensed engineer or licensed land surveyor.
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7.3 New monuments shall be 6 inches square by
3 feet deep (unless otherwise specified), of concrete or
stone, with a 3-inch copper or brass pin, 3/8-inch in
diameter, in the center, and shall be set flush with the
ground or pavement in locations indicated an the site
plan.
7.4 Monuments will not be required where lines
of building(s) are coincident with property lines.
7.3 The Contractor shall verify the figures
shown on the survey and site plan before undertaking
any construction work and shall be responsible for the
accuracy of the finished work.
7.6 After completion of construction and prior
to final payment, the Contractor shall furnish to the
Government blueprints (in triplicate) of plats showing
the exact location of construction survey monuments
with reference to true property lines.
3. BUILDING CODES, FEES AND CHARGES
3.1 State and local building codes and
regulations do not apply to work inside the property
lines of Government-owned properties but generally do
apply to Government-leased properties.
3.2 The Contractor shall obtain and pay all
fees and charges for connections to outside services and
for use of property outside the site.
9d Nothing contained in the contract shall be
construed as creating any contractual relationship
between any subcontractor and the Government. The
divisions or sections of the specifications are not
intended to control the Contractor in dividing the work
among subcontractors, or to limit the work performed
by any trade.
9.2 The Contractor shall be responsible to the
Government for acts and omissions of his own em-
ployees and of subcontractors and their employees. He
shall also be responsible for the coordination of the
work of the trades, subcontractors and suppliers.
93 The Government will not undertake to
settle any differences between or among the
Contractor, subcontractors, or suppliers.
10.1 Within 30 days after receipt of notice to
proceed, the Contractor shall prepare and submit to the
Contracting Officer for approval, six copies of a
practicable progress chart. The chart shall show the
principal categories of work corresponding with those
used in the breakdown on which progress payments are
based; the order in which the Contractor proposes to
carry on the work, the date on which he will start each
of the categories of work, and the contemplated dates
for completing the same. The chart shall be in suitable
scale to indicate graphically the total percentage of
work scheduled to be in place at any time. At the end
of each progress payment period, or at such intervals as
directed by the Contracting Officer, the Contractor
shall (1) adjust the chart to reflect any changes in the
contract work, completion time, or both; as approved by
the Contracting Officer, (2) enter on the chart the total
percentage of work actually in place, and (3) submit three
copies of the adjusted chart to the Contracting Officer.
10.2 If in the opinion of the Contracting Officer
work actually in place falls behind that schedule, the
Contractor shall take such action as necessary to improve
his progress. In addition, the Contracting Officer may
require the Contractor to submit a revised chart demon-
strating his program and proposed plan to make up lag in
scheduled progress and to insure completion of work
within the contract time. If the Contracting Officer finds
the proposed plan not acceptable, he may require the
Contractor to submit a new plan. If a satisfactory plan is
not agreed upon, the Contracting Officer may require the
Contractor to increase the workforce, the construction
plant and equipment or the number of work shifts without
additional cost to the Government.
10.3 Failure of the Contractor to comply with
these requirements shall be considered grounds for deter-
mination by the Contracting Officer that the Contractor
Is failing to prosecute the work with such diligence as will
insure its completion within the time specified.
ILL The provisions of the Clause entitled
"Payments to Contractor" of the General Provisions,
Standard Form 23-A, are supplemented as follows:
11.2 Before the first progress payment under this
contract becomes due, the Contractor shall prepare a
breakdown of the contract price acceptable to the
Contracting Officer. The values in the breakdown will be
used for determining progress payments. The Contractor's
overhead and profit shall be prorated through the life of
the contract.
143 Preparatory work done (including shop
drawings) will not be taken into consideration in preparing
estimates upon which progress payments are based.
11.4 Unless otherwise provided in the
specifications, material delivered that will be incorpo-
rated into the structure will be taken into consideration in
computing progress payments, provided the material is
delivered on the site, or is delivered to the Contractor and
property stored by him in a warehouse, storage yard or
similar suitable place as may be approved by the
Contracting Officer. Before each such payment is made
for delivered material stored on the site, the Contractor
shall furnish to the Contracting Officer such evidence as
he may require as proof of the quantity and value of such
materials. Before each such payment is made for
delivered material stored off the site, the Contractor
shall furnish the Contracting Officer properly executed
bills of sale for the delivered material upon which
payment Is being made. The Contractor shall remain
responsible for such stored materials.
11:3 Estimates an which progress payments are
based shall Include the value (as determined by the
Contracting Officer) of satisfactory inplace work'
performed pursuant to a change order as to which final
agreement on the equitable price adjustment has not been
reached, provided, however, that (except in an unusual
case where a unilateral determination cannot be made, as
.provided in paragraph 23.1.6 of the Equitable Adjustments
Clause) no further progress payments shall be made under
the provisions of this paragraph 11.3 after the work is 30%
completed as determined by the Contracting Officer.
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12. CERTIFICATION OF PAYMENT
12.1 The Contractor, prior to receiving a
progress or final payment under this contract, shall
submit to the Contracting Officer a certification that
the Contractor has made payment from proceeds of
prior payments, or that he will make timely payment
from the proceeds of the progress or final payment then
due him, to his subcontractors and suppliers in
accordance with his contractual arrangements with
them.
13. ACCIDENT PREVENTION
13.1 Occupational Safety and Health Standards
issued by the Secretary of Labor pursuant to the
Williams-Steiger Occupational Safety and Health Act of
1970 are applicable to work performed by the
Contractor subject to the provisions of the Act. The
Contractor shall also comply with the provisions of the
GSA Handbook, Accident and Fire Prevention -
Construction and Alteration Work (PBS P 3900.3) and
shall take other reasonable precautions directed by the
Contracting Officer which are necessary to protect all
persons against injury at the site of the work. Where
there may be conflicting requirements, the more
stringent one will apply.
14. WORKMEN'S COMPENSATION LAWS
14.1 The Act of dune 23, 1936, 49 Stat. 1938 (40
U.S.C. 290) authorizes the constituted authority of the
several States to apply their workmen's compensation
laws to all lands and premises owned or held by the
United States.
13.1 Pursuant to the Buy American Act,
referred to in the Buy American clause of Standard
Form 23-A, General Provisions, the Administrator of
General Services has determined that the provisions of
the said clause shall not apply to the following:
Cork; sisal; hemp; flax; jute; silk; licorice root;
asbestos; English china clay; English ball clay;
carnauba wax; mica; rubber, antimony;
manganese; titanium; tungsten; zirconium;
chromium; platinum; tin; nickel and natural
nickel alloys.
16. STANDARD REFERENCES
16.1 All documents and publications (such as,
but not limited to, manuals, handbooks, codes, standards
and specifications) which are cited in this contract for
the purpose of establishing requirements applicable to
equipment, materials, or workmanship under this
contract, shall be deemed to be incorporated herein as
fully as if printed and bound with the specifications of
this contract, in accordance with the following:
16.1.1 Wherever reference is made to Standard
Specifications of the Public Buildings Service, Interim
Federal Specifications, Interim Amendments to Federal
Specifications, Interim Federal Standards, or Interim
Amendments to Federal Standards, the Contractor shall
comply with the requirements set out in the issue or
edition identified in this contract except as modified or
as otherwise provided in the specifications of this
contract.
16.1.2 Wherever reference is made to any such
document other than those specified in subparagraph
16.1.1 above, the Contractor shall comply with the
requirements set out in the edition specified in this
contract, or, if not specified, the latest edition or
revision thereof, as well as the latest amendment or
supplement thereto, in effect on the date of the
Invitation for Bids on this project, except as modified by,
as otherwise provided in, or as limited to type, class or
grade, by the specifications of this contract.
16.2 Federal Specifications, Federal Standards,
Standard Specifications of the Public Buildings Service
and Public Buildings, Service Standard Methods of Test
may be obtained frdm the Business Service Center at any
GSA Regional Office. Inquiries regarding "Commercial
Standards", ' "Product Standards", and "Simplified
Practice Recommendations" should be addressed to the
Standard Development Service Section, National Bureau
of Standards, Washington, DC, 20234. Publications of
Associations referred to in the specifications may be
obtained directly from the Associations.
16.3 Upon request the Contractor shall make
available at the job site within a reasonable time, a copy
of each trade manual and standard which is incorporated
by reference in this contract and which governs quality
and workmanship.
17. SPECIFICATIONS AND DRAWINGS
17.1 The provisions of the Clause entitled
"Specifications and Drawings" in Standard Form 23-A,
General Provisions, are supplemented as follows:
17.2 In case of difference between small and
large-scale drawings, the large-scale drawings shall
govern. Schedules on any contract drawing shall.take
precedence over conflicting information on that or any
other contract drawing. On any of the drawings where a
portion of the work is detailed or drawn out and the
remainder is shown in outline, the parts detailed or
drawn out shall apply also to all other like portions of the
work.
17.3 Where the word "similar" occurs on the
drawings, it shall have a general meaning and not be
interpreted as being identical, and all details shall be
worked out in relation to their location and their
connection with other parts of the work.
1L STANDARD DETAILS AND SPECIFICATION
DRAWINGS
18.1 Standard Details or Specification Drawings
are applicable when listed, bound with the specifications,
noted on the drawings or referenced elsewt.-e in the
specifications. Where the notes on the drawin - indicate
modifications, such modifications shall govern.
18.2 In case of difference between Standard
Details or Specification Drawings and the specifications,
the specifications will govern. In case of difference
between the Standard Details or Specification Drawings
and the drawings prepared specifically for this contract,
the later shall govern.
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19. SHOP DRAWINGS, COORDINATION DRAWINGS,
AND SCHEDULES
19.1 The provisions of the clause entitled."Shop
Drawings" in Standard Form 23-A, General Provisions,
are supplemented as follows
19.2 The Contractor shall submit shop drawings,
coordination drawings, and schedules for approval as
required by the specifications or requested by the
Contracting Officer as follows
19.3 Shop drawings shall include fabrication,
erection and setting drawings, schedule drawings, manu-
facturers' scale drawings, wiring and control diagrams,
cuts or entire catalogs, pamphlets, descriptive
literature, and performance and test data.
19.4 Drawings and schedules, other than
catalogs, pamphlets and similar printed material, shall
be submitted in reproducible form with two prints made
by a process approved by the Contracting Officer.
Upon approval, the reproducible form will be returned
to the Contractor who shall then furnish the number of
additional prints, not to exceed 10, required by the
Special Conditions of the specifications. The Coo-
tractor shall submit shop drawings in catalog, pamphlet
and similar printed form in a minimum of four copies
plus as many additional copies as the Contractor may
desire or need for his use or use by subcontractors.
19J Before submitting shop drawings on the
mechanical and electrical work, the Contractor shall
submit and obtain the Contracting Officer's approval of
such lists of mechanical and electrical equipment and
materials as may be required by the specifications.
19.6 Each shop drawing or coordination drawing
shall have a'blank area 3 by 3 inches, located adjacent
to the title block. The title block shall display the
following:
Numbei.and title of drawing
Date of drawing or revision
Name of project building or facility
Name of Contractor and (if appropriate) name of
subcontractor submitting drawing
Clear identity of contents and location on the
work
Project title and contract number
19.7 Unless otherwise provided in this contract,
or otherwise directed by the Contracting Officer, shop
drawings, coordination drawings and schedules shalt be
submitted to the Contracting Officer, with a letter in
triplicate, sufficiently in advance of construction
requirements to permit no less than 10 working days for
checking and appropriate action.
19.8 Approval of drawings and schedules will be
general and shall not be construed as permitting any
departure from the contract requirements, or as
approving departures from full-size details furnished by
the Contracting Officer.
20.1 After the award of the contract, the
Contractor shall furnish for the approval of the Con-
tracting Officer, samples required by the specifications
or by the Contracting Officer. Samples shall be
delivered to the Contracting Officer or to the Architect
as specified or as directed. ? The Contractor shall prepay
?
all shipping charges on samples. Materials or equipment
for which samples are required shall not be used in the
work until approved in writing by the Contracting
Officer.
20.2 Each sample shall have a label indicating:
20.2.1 Name of project building or facility, project.
title and contract number
20.2.2 Name of Contractor and, if appropriate,
name of subcontractor
20.2.3 Identification of material or equipment with
specification requirement
20.2.4 Place of origin
20.2.3 Name of producer and brand (if any)
Samples of finished materials shall have additional
markings that will identify them under the finish
schedules.
20.3 The Contractor shall mail under separate
cover a letter in triplicate submitting each shipment of
samples and containing the information required in 20.2
above. He shall enclose a copy of this letter with the
shipment and send a copy to the Government representa-
tive on the project. Approval of a sample shall be only
for the characteristics or use named in such approval and
shall not be construed to change or modify any contract
requirement Substitutions will not be permitted unless
they are approved in writing by the Contracting Officer.
20.4 Approved samples not destroyed in testing
will be sent to the Government representative at the
project. Approved samples of hardware in good condition
will be marked for identification and may be used in the
work. Materials and equipment, incorporated in the work
shall match the approved samples. Other samples not
destroyed in testing or not approved will be returned to
the Contractor at his expense if so requested at time of
submission.
20.3 Failure of any material to pass the specified
tests will be sufficient cause for refusal to consider,
under this contract, any further samples of the same
brand or make of that material or equipment which
previously has proved unsatisfactory in service.
20.6 Samples of various materials or equipment
delivered on the site or In place may be taken by the
Government representative for testing. Samples failing
to meet contract requirements will automatically void
previous approvals of the items tested. The Contractor
shall replace such materials or equipment found not to
have met contract requirements, or there shall be a
proper adjustment of the contract price as determined by
the Contracting Officer.
20.7 Unless otherwise specified, when tests are
required only one test of each sample proposed for use
will be made at the expense of the Government. Samples
which do not meet specification requirements will be
rejected. Testing of additional samples will be made by
the Government at the expense of the Contractor.
21J Unless otherwise specified or unless already
provided by the Government the Contractor shall:
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21.2 Provide heat as necessary to protect all
work, materials, and equipment against injury from
dampness and cold:
21.3 Protect, cover and/or heat, as may be
necessary, to produce and maintain a temperature of
not less than 30 degrees Fahrenheit (1) in the concrete
during the placing, setting and curing of concrete, and
(2) in the plaster during the application, setting and
curing of plaster, and
21.4 Provide heat as necessary in the area
where work is to be done to provide the minimum tem-
perature recommended by the supplier or manufacturer
of the material, but in no case less than 50 degrees
Fahrenheit, for a period beginning 10 days before
placing of interior finishes and finish materials and
continuing until completion or beneficial occupancy of
the area, whichever is earlier.
22.1 The Contractor shall perform on the site,
and with his own organization, work equivalent to at
least twelve percent (12%) of the total amount of work
to be performed under the contract. If, during the
progress of the work hereunder, the Contractor requests
a reduction in such percentage, and the Contracting
Officer determines that it would be to the advantage of
the Government, the percentage of the work required to
be performed by the Contractor may be reduced with
the written approval of the Contracting Officer.
23. EQUITABLE AD3USTMENTS
23.1 The provisions of the Changes clause of
Standard Form 23-A, General Provisions, are supple-
mented as follows:
23.1.1 Upon written request, the Contractor shall
submit a proposal, in accordance with the requirements
and limitations set forth in this "Equitable Adjustments"
clause, for work involving contemplated changes
covered by the request. The proposal shall be submitted
within the time limit indicated in the request or any
extension of such time limit as may be subsequently
granted. The Contractor's written statement of the
monetary extent of a claim for equitable adjustment
shall be submitted in the following form:
(I) Proposals totaling $3,000 or less shall be
submitted in the form of a lump sum proposal with
supporting information to dearly relate elements of
cost with specific items of work involved to the
satisfaction of the Contracting Officer, or his
authorized representative.
(2) For proposals in excess of $3,000, the claim
for equitable adjustment shall be submitted In the form
of a lump sum proposal supported with an itemized
breakdown. of all increases and decreases in the
contract in at least the following detail:
Direct Costs
Material quantities by trades and unit costs
(Manufacturing burden associated with material
fabrication performed off the job site will be
considered to be part of the material costs of
the fabricated item delivered to the job site)
Labor breakdown by trades and unit costs
(Identified with specific item of material to be
placed or operation to be performed)
Construction equipment exclusively necessary for
the change
Costs of preparation and/or revision to shop
drawings resulting from the change
Workmen's Compensation and Public Liability
Insurance
Employment taxes under FICA and FUTA
Bond Costs - when size of change warrants revision
Overhead, Profit and Commission
23.1.2 The maximum allowable overhead, profit
and commission percentage given in this paragraph shall
be considered to include, but are not limited to, job-site
staff and office expense, incidental job burdens, small
tools and general office overhead allocation. The
percentages for overhead, profit and commission shall be
negotiated and may vary according to the nature, extent
and complexity of the work involved, but in no case shall
exceed the following:
Overhead Profit Commission
To Contractor on work
performed by other than
his own forces
To first tier subcontrac-
tor on work performed
by his subcontractors
To Contractor and/or the
subcontractors for that
portion of the work per-
formed with their
Not more than four percentages, not to exceed the
maximum percentages shown above, will be allowed
regardless of the number of tier subcontractors.
Equitable adjustments for deleted work shall include
credits for Overhead, Profit and Commission. On
proposals covering both increases and decreases in the
amount of the contract, the application of overhead and
profit shall be an the net change in direct costs for the
Contractor or subcontractor performing the work.
23.1.3 The Contractor shall submit with the
proposal his request for time extension (if any), and shall
include sufficient information and dates to demonstrate
whether and to what extent the change will delay the
contract in its entirety.
23.1.4 In considering a proposal, the Government
shall make check estimates in detail, utilizing unit prices
where specified or agreed upon, with a view to arriving
at an equitable adjustment.
23.1.3 After receipt of a proposal the Contracting
Officer shall act thereon, within 30 days; provided,
however,, that when the necessity to proceed with a
change does not allow time properly to Fheck a proposal
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or in the event of failure to reach an agreement an a
proposal, the Government may order the Contractor to
proceed an the basis of price to be determined at the
earliest practicable date. Such price shall not be more
than the increase or less than the decrease proposed,
except that on proposals under $100,000, the increase
shall not exceed the proposed increase plus 10%.
23.1.6 If a mutually acceptable agreement cannot
be reached, the Contracting Officer may determine the
price unilaterally.
23.2 The provisions of the Differing Site
Conditions clause of Standard ? Form 23-A, General
Provisions, are supplemented as follows: The Con-
tractor shall submit all claims for equitable adjustment
in accordance with, and subject to the requirements and
limitations set out In, paragraph 23.1 of this "Equitable
Adjustments" clause.
24.1 The requirements of the Inspection and
Acceptance clause of Standard Form 23-A, General
Provisions, are supplemented to provide that the
Contractor shall give the Contracting Officer at least
10 days' advance written notice of the date the work
will be fully completed and ready for final inspection
and tests. Final inspection and tests will be started
within 10 days from the date specified in the aforesaid
notice unless the Contracting Officer determines that
the work is not ready for final inspection and so informs
the Contractor.
23.1 Unless otherwise provided in the
specifications, the Contractor guarantees all work to be
in accordance with contract requirements and free from
defective or inferior materials, equipment, and
workmanship for one year after the date of final
acceptance or the date the equipment or work was
placed in use by the Government.
23.2 If, within any guarantee period, the
Contracting Officer finds that guaranteed work needs
to be repaired or changed because of the use of
materials, equipment, or workmanship which, In his
opinion, are inferior, defective, or not in accordance
with the terms of the contract, he shall so inform the
Contractor in writing and the Contractor shall promptly
and without additional expense to the Government:
25.11 Place in asatisfactoryconditian allot such
guaranteed work;
25.2.2 Satisfactorily correct all damage to
equipment, the site, the building or contents thereof,
which is the result of such unsatisfactory guaranteed
work; and
25.2.3 Satisfactorily correct any work, materials,
and equipment that are disturbed In fulfilling the
guarantee, Including any disturbed work, materials and
equipment that may have been guaranteed under
another contract. Should the Contractor fail to proceed
promptly in accordance with the guarantee, the
Government may have such work performed at the
expense of the Contractor.
25.3 Any special guarantees that may be
required under the contract shall be subject to the
stipulations set forth above, insofar as they do not
conflict with the provisions of such special guarantees.
23.4 The Contractor shall obtain each
transferable guarantee or warranty of equipment,
materials or installation thereof which is furnished by
any manufacturer, supplier or installer in the ordinary
course of the manufacturer's; supplier's, or installer's
business or trade. In addition, the Contractor shall
obtain and furnish to the Government all information
which is required in order to make any such guarantee or
warranty legally binding and effective, and shall submit
both the information and the guarantee or warranty to
the Government in sufficient time to permit the Govern-
ment to meet any time limit requirements specified in
the guarantee or warranty or, if no time limit is
specified, prior to completion and acceptance of all work
under this contract.
26. DEBRIS AND CLEANING
26.1 The Contractor shall, during the progress of
the work, remove and dispose of the resultant dirt and
debris and keep the premises clean.
26.2 The Contractor shall, upon completion of
the work, remove all construction equipment and surplus
materials (except materials or equipment that are to
remain Government property as provided by this
contract), and except as otherwise provided in this
contract leave the premises in a broom clean condition
satisfactory to the Government.
27A If the Contractor or any subcontractor under
this contract, or the officers or agents of the Contractor
or any subcontractor, shall refuse or have refused,
except as provided by the terms of the prime contract
Involved, to furnish to any Government agency or any
establishment in the legislative or judicial branch of the
Government information or records reasonably pertinent
to this contract, or any other Government contract in
connection with which the Contractor of such subcon-
tractor has or shall have performed work or furnished
materials or supplies to undertaken so to do, the fol-
lowing action may be taken:
27.2 In the case of a refusal by the Contractor,
Its officers or agents, the Government may, after
affording an opportunity to explain or justify such
refusal, terminate the Contractor's right rights and
remedies provided in paragraphs (a) and (b) of the clause
entitled "Termination for Default - Damages for Delay -
Tune Extensions," General Provisions (Standard form 23-
A) of this contract in addition to any other rights and
remedies provided by law or under this contract;
27.3 In the case of a refusal by a subcontractor,
Its officers or agents, the Government may, after
affording an opportunity to explain or justify such
refusal, require the Contractor to terminate the subcon-
tract without cost to the Government, or if the
Contractor fails or refuses to effect such termination,
the Government may terminate the Contractor's right to
proceed with the work under this contract and thereupon
the Government may avail itself of the rights and
remedies referred to in subparagraph 27.2 above.
27.4 The term "subcontract" as used in this
paragraph means any contract entered into, or any
purchase order issued by, a prime contractor under a
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contract with the Government in connection with the
performance of the prime contractor's obligations under
such Government contract.
27.5 The term "subcontractor" as used in this
paragraph means a party to a subcontract other than
the prime contractor under the related Government
contract.
28. NON-COMPLIANCE WITH CONTRACT
REQUIREMENTS
28.1 In the event the Contractor, after
receiving written notice from the Contracting Officer
of non-compliance with any requirement of this
contract, fails to initiate promptly such action as may
be appropriate to comply with the specified require-
ment within a reasonable period of time, the
Contracting Officer shall have the right to order the
Contractor to stop any or all work under the contract
until the Contractor has complied or has initiated such
action as may be appropriate to comply within a
reasonable period of time. The Contractor will not be
entitled to any extension of contract time or payment
for any costs incurred as a result of being ordered to
stop work for such cause.
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GENERAL SERVICES ADMI;iISTRATZON MOD-LI39A
WASMNGTON, DC 20405 March 1980
Supersedes:
MOD-1139Q
August 1978
PUBLIC BUZLDINcS SERVICE
GUIDE SPECZBICATION
190DIlICATZON or ?iERAL =NDITIOSS
MA, DORM 1139 - AST 1979)
1. Delete ?MIOD-1139u? dated August 1978 in its entirety and substitute the attached
9 D-1139A
An asterisk in the left margin indicates Its= to be checked for contract
requirement.
3. A vertical line in the margin indicates a change or an addition. The vertical line
in the margin should be deleted before including this modification in the contract
specifications.
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? .. --- . _19__ .- -- _ _ ._. --. _
GE4IERAL SERVICES ADMINIST3ATI0M MOD-11'39A
WASB3NGTON, DC 20405 March 1280
Superse es:
MOD-1139 G
August 1978
PUBLIC BUILDINGS SERVICE
GDIDE S?LCI tCATION
CATION OF GENERAL CONDITIONS
(GSA FORK 1139 - A=ST 1979)
1. Clause 10., CDNSTSQCTCI PWGRL4S COAT shall be deleted (1) whenever a completion
time of 75 days or less is specified and it is determined by the Contracting Officer
that the, requirements contained in the clause should not be applied, t2) whenever a
cash flow curve requirement is included in Critical Path Method Scheduling provi-
sions, of (3) whenever GSA's Construction Management Control System (CNCS) is to be
used for scheduling the, contractor's work and determining progress.
2. Clause 22., PEn RMMCS OP 9i0RE BT CONTRACTOR shall be deleted in the manner stated
in this guide Specification whenever it is determined by the Contracting Officer
that the, nature of the project is such that it is not feasible that the Contractor
be required to pertom an the site work equivalent to 12 percent of the amount of
the contract price.
3. Clause 23., EQUITABLE AWVSTMMM shall be modified as stated in this Guide
Specification.
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GENERAL SE MCZS ADMIlYISTRATION MOD-1139A
WASHINGTON, DC 20405 March 1280
supersedes:
MOD-1139U
August 1978
MODZPICATION C? GENERAL CONDITIONS
(GSA NORM 1139 - AOGUST 1979)
* l0. CONSTRUCTION PROGRESS CS AST
Delete.
* 22. PERFORMANC: OP WORK BT CONTRACTOR
Delete.
23. EQQITASLE ADJIISTNINTS
Delete paragraph 23.1:2 and substitute the following in lieu thereof:
123.1.2 The maximum allowable overhead, profit and commission percentage
given in this paragraph shall be considered to include, but are not limited to, job-
site office expense, incidental job burdens, small tools and general office over-
head allocation. The percentages for overhead, profit and commission shall be
negotiated and may vary according to the nature, extent and complexity of the work
involved, but in no case shall exceed the following:
Overhead prof it Commission
To Contractor on work
performed by other than
his own forces
To first tier subcontractor
on work performed by his
subcontractors
To Contractor and/or the
subcontractors for that
portion of the work per-
formed with their
respective forces lot 104
Not more than four percentages, not to exceed the maximum percentages shown above,
will be allowed regardless of the number of tier subcontractors. The contractor
shall not be allowed a commission on the commission received by a first tier snbcoa
tractor.. 8quitable adjustments for deleted work shall include credits for
Overhead, Profit and Commission. on proposals covering both increases and
decreases in the amount of the contract, the application of overhead and profit
shall h}e on the net change in direct costs for the Contractor or subcontractor
performing the work.'
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1. OBJECTIVES-This clause applies to any cost reduction
proposal (hereinafter referred to as a Value Change Proposal or
VCP) initiated and developed by the Contractor for the purpose
of changing any requirement of this contract This clause does
not, however, apply to any such proposal unless it is identified
by the Contractor, at the time of its submission to the Government,
as a proposal submitted pursuant to this clause.
1.1 VCP's contemplated are those that would result in net
savings to the Government by providing either: (1) a decrease in the
cost of performance of this contact or, (2) a reduction in the cost
of ownership (hereinafter referred to as collateral costs) of the work
provided by this contract, regardless of acquisition costs. VCP's
must result in savings without impairing any required functions and
characteristics such as service life, reliability, economy of operation,
ease of maintenance, standardized features, esthetics, fire protection
features and safety features presently required by this contract.
However, nothing herein precludes the submittal of VCPs where the
Contractor considers that the required functions and characteristics
could be combined. reduced or eliminated as being nonessential or
excessive to the satisfactory function served by the work involved.
1.2' A VCP identical to one submitted under any other contract
with the Contractor or another Contractor may also be submitted
under this contract.
13 'A proposal to decrease the cost of performing the contract
solely or principally by substituting another Subcontractor for one
rated by the Contractor in his bid is not a VCP. In considering a
VCP which, as an incident thereof, would entail substitution for a
rated Subcontractor, maintaining the objective of the Subcontractor
listing will be taken into account along with factors cited in
paragraph 1.1 above.
2. SUBCONTRACTOR INCLUSION-The Contractor shall include
the provisions of this clause, with a provision for sharing arrange-
ments that mat or exceed the mimhmhm percentage contained
herein, in all first-tier subcontracts in excess of $25,000. and in any
other subcontract which. in the judgment of the Contractor, is of
such nature as to offer reasonable likelihood of value change
proposals. At the option of the first-tier Subcontractor. this clause
may be included in lower tier subcontracts. The Contractor shall
encourage submission of VCPs from Subcontractors; however, it is
not mandatory that the Contractor accept and/or transmit to the
Government VCPs proposed by his Subcontractors.
3. DATA REQUIREMENTS-As a mini-um, the following infor-
mation shall be submitted by the Contractor with each VCP:
3.1 A description of the difference between the existing
contract requirement and the proposed change, and the comparative
advantages and disadvantages of each; including justification where
-function or characteristic of a work item is being reduced;
3.2 Separate detailed cost estimates for both the existing
contract requirement and the proposed change, and an estimate of
the change in contract price including consideration of the costs of
development and implementation of the YCP and the sharing
arrangement set forth in this clause:
3.3 An estimate of the effects the VCP would have on collateral
costs to the Government, including an estimate of the sharing that
the Contractor requests be paid by the Government upon approval
of the VCP;
3.4 Architectural. engineering or other analysis, in sufficient
detail to identify and describe each requirement of the contract
which must be changed if the VCP is accepted, with recommends
tion as to how to accomplish each such change and its effect or
unchanged work;
3.5 A statement of the time by which approval of the VCP
must be issued by the Government to obtain the maximum cost
reduction during the remainder of this contract, noting any effect
on the contract completion time or delivery schedule; and.
3.6 Identification of any previous submission of the VCP
including the dates submitted, the agencies involved, the numbers of
the Government contracts involved, and the previous actions by the
Government, if known.
4. PROCESSING PROCEDURES-Six copies of each VCP shall be
submitted to the Contracting Officer. or his duly authorized
representative. VCPs will be processed expeditiously; however, the
Government will not be liable for any delay in acting upon a VCP
submitted pursuant to this clause. The Contractor may withdraw, in
whole or in part, a VCP not accepted by the Government within the
period specified in the VCP. The Government shall not be liable for
VCP development cost in the case where a VCP is rejected or
withdrawn. The decision of the Contracting Officer as to the
acceptance of a VCP under this contract shall be final and shall not
be subject to the "Disputes" clause of this contract
4.1 The Contracting Officer may modify a VCP, with the
concurrence of the Contractor, to make it acceptable, and the
Contractor's fair share will be based on the VC? as modified.
4.2 Pending written acceptance of a VCP in whole or in part,
the Contractor shad remain obligated to perform in accordance with
the terms of the existing contract
4.3 An approved VCP shall be finalized through an equitable
adjustment in the contract price and time of performance by the
execution of a contract modification pursuant to the provisions of
this clause bearing a notation so stating.
4.4 When the necessity to proceed with a VCP (in whole or
in part) does not allow sufficient time for execution of a contract
modification. the Government may issue a letter accepting the
VCP (in whole or in part), authorizing the Contractor to proceed
with the work, as changed, on the basis of contract price adjust.
ment to be determined at the earliest practicable date but not to be
less than the decrease nor more than the increase, as the case may
be, than the decrease or increase set forth in the VCP submitted
and accepted.
5. COMPUTATIONS FOR CHANGE IN CONTRACT COST OF
PERFORMANCE-Separate estimates shall be prepared for both the
existing (instant) contract requirement and the proposed change.
Each estimate shall consist of an itemized breakdown of all cosh of
the Contractor and all Subcontractors' work in sufficient detail to
show unit quantities and costs of labor, material, and equipment
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r
51 Contractor development and imputation cast for the
VCP shall be included in the estimate for the proposed change.
However. these caste will not be allowable If they are otherwise
reimbursable as a direct char-,e under this contract.
5.2 Government cats of processing or implementation of a
VCP shall not be included in the estimate.
5.3 If the difference in the estimates indicate a net reduction m'
contract price, no allowance will be made for overhead, profit and
bond. The resultant net reduction in contract cost of performance
shall be shared as provided hereinafter.
5.4 If the difference in the esttmatw indicate a net increase in
contract price, the price shag be adjusted pursuant to an equitable
adjustment that. will include Contractor's overhead and profit on
his additional work or the additional work of one of his subcon-
tractors
6. COMPUTATIONS FOR COLLATERAL COSTS-Separate sets.
mates shall be prepared for collateral cab of both the existing
contract requirement and the proposed change. Each estimate shall
condst of an itemized breakdown of all costs and the basis for the
data used in the estimate. Cost benefit to the Government include,
but are not limited to: reduced costs of operation, maintenance or
repair. extended useful service life, increases in usable floor space,
and reduction in the requirements for Government furnished
property. Increased collateral costs include the converse of such
factors Computation shall be as follows:
6.1 Coat shall be emulated over a 20-year period on a uniform
bads for each estimate and shall include Government caste of
processing or implementing the VCP.
6.2 If the difference In the estimates as approved by the
Government indicate a savings, the Contractor shall divide the
resultant amount by 20 to arrive at the average annual net collateral
savings. The resultant savings Aug hbe shared as provided here r-
after
6.3 In the event that agreement cannot be reached on the
amount of estimated collateral costa, the Contracting Officer shag
determine the amount His decision is final and is not subject to the
provisions of the "Disputes" clause of this contract
7. SHARING ARRANGEMENTS-If a YCP is accepted by the
Gorrerament, the Contractor is entitled to share in instant contract
savings and collateral savings not as alternatives. but rather to the
full extent provided for in this. clause. For the purposes of sharing
ender this clause, the term "instant contract" will include any
A to or other modifications of tide contract, executed
subsequent to acceptance of the particular VC?, by which the
Government inereaaea the quantity of any item of work or adds any
item of work. It will also include any extension of the instant
contract through exercise of an option (if any) provided under this
contract after acceptance of the YCP. The Contractor shall be
entitled to a contract modification for instant or collateral savings
shares on changes or options only at such time as a'dtange order has
been issued or an option has been exercised. y
7.1 When only the prime Contractor is involved. he shall receive
50% and the Go-erament 50% of the net reduction in the cost of
performance of this contract.
7.2 'When a first-tier Subcontractor is involved. he shall receive
a minimum of 30410, the prime Contractor a msumum of 30% and
the Government a fixed 40% of the net reduction in the cost of
performance of this contract Other Subcontractors shall receive a
portion of the flat-tier Subcontractor savings in accordance with
the terms of their contracts with the first tier Subcontractor.
7.3 When collateral savings occur the Contractor shall receive
20% of the average one years not collateral savings.
8. ADJUSTMENTS TO CONTRACT PRICE-
3.1 The method for payment of instant savings shares shall be
accomplished by reducing the contract price by an amount equal to
the Government's share of the savings.
8.2 Collateral savings shams and costs of increased work shall
be paid by increasing the contract price.
9. DATA RESTRICTION RIGHTS-The contractor may restrict
the Government's right to use any sheet of a VCP or the supporting
data, submitted pursuant to this clause, in accordance with the
terms of the following legend if it is marked on each such sheet:
The data furnished pursuant to the Value Incentive Clause of
contract No. shag not
be disclosed oumdde the Government for any purpose other than
to evaluate a VCP submitted under said clause. This restriction
does not limit the Government's right to use information
otherwise available, from the contractor or from another source
without limitations, or if release of the data is required under the
Freedom of Information Act.
In the event of acceptance of a VCP, the Government shag have the
tight fully to utilize such proposal on this and any other
Government contract
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40 ?
LABOR STANDARDS PROVISIONS
Applicable to Contacts in Eum of =000
1. DAVISBACON ACT (40 U.S.C 2760-2766-7) with co+aed by this contrail has been of is being paid-at a rate
of wages less than the rase of wages tee by paragraph (a)
(a) All mechania and laborers employed or working directly of this louse, or by the Apprentics and Trainees dame of this
upon the site of the work shall be paid unconditionally and not contract, the Contracting OZeer teary (1) by written notice to the
less often than once a week and without subsequent deduction Govensenew Prime Contractor termtrhate het right to proceed with
or rebate on any account (except such payroll deductions s? are the work, or rods part of vim week as to which there has been a
permitter by the Copeland Regulations, 29 CPR Part 3), the full failure to pay said required wages, and (2) prosecute the work
amomhas due at rime of payment computed at wage rates not less 0 completion by contract or otherwwhereupon such Con-
than the aggregst of the basic hourly rata and the rates of Oaf' tractor and his sureties shall be liable to the Government for any
menes, contributions, or cam for my fringe (melee contained in erxcess eo et ocasioneed the Goverrinment thereby.
the wage determination decision of the Secretary of Labs which (i) Paragraphs (a) through (e) of the clause shall, apply to
is attached hereto and made a part beetof, regardless of any tort- this contract to the extent that it is (1) a prime contract with the
victual relationship which may be s[le>yed to exist betweeta the
---~_-__ r wemmnh tabled to the Davis-Bacon Act, or (2) a-subcontract
W6 CoWrWtQW at the site of the -a& in 'k.prml t place
where it an be easily smt by tae workers. a e term gieclmaic 2. CONTRACT WORK HOURS AND SAFETY srrareD-
and laborers" shall be deemed to include apprentices and trainees ARDS ACT-OVERTIME COMPENSATION (40 U.S.C.
not covered by an approved program as provided by the Appren- 327-333).
tics and Trainees clause of this contract. This correct is tabjea to the Correct Work Koury sad
(b) The Contractor may discharge his obligation under this Safety Shwddrds An sad to the appiicsbiv raler, regulatiorrn, aid
clause to workers in any classification for which the wage deter- .taterprewioat of for Ssovrey of Labor.
urination decision contains: (a) The Contractor shall not require or permit any laborer or
(1) Only a basic hourly rate of pay, by making payment at mecb:nic, including apprentices, trainee, watchmen, and guards,
not less than such basic hourly rate, except as otherwise provided in any workweek in which he is employed on any work under this
in the Copeland Regulations (29 CPR Part 4); or contract to work in excess of 8 hours in any calendar day or in
(2) Both a basic hourly rate of pay and fringe benefits pay- excess of 40 hours in such workweek on work subject to the pro-
menas, by making payment in ash, by irrevocably making con- visions of the Contract Work Hours and Safety Standards Act
tributions pursuant to a fund, plan, or program for, and/or by unless such laborer or mechanic, including apprentices, trainees.
assuming an enforceable csxhnmitment.ro bur the coat of, bona watchmen, and guards, receives compensation at a rate not less
fide fringe benefits contemplated' by the Davis-Bacon Act, or by tan 11/2 time his basic rate of pay for all such hours worked
any combination thereof. Contributions .mad, or costs assumed, in excess of 8 [ants in any atenditi day or in excess of 40 hours
on other than a weekly basis shall be considered as having been in such workweek whichever is the greater number of overtime.
constructively made or assumed during a weekly period to the hours. The "basic rate of pay " as used in this clause, shall be
extent that they apply to such period. Where a fringe benefit is the amount paid ppeerr hour exclusive of the Contractor's contribu-
expressed in a wage determination in any manner other than as tion or cost for fringe benefits, and any ash payment made in
an hourly rate and the Contractor pays a. cash equivalent or pro-. lieu of providing fringe benefits, or the basic hourly rate, con-
videi an alternative fringe benefit, he shall furnish information twined in the wage determination, whichever is getter.
w c irr his
make the payrolls cash showing bow payment. he or provide that `ihe alternative i (b) in the event of any violation of the provisions of para-
fringe equal to the e cost he wi graph (a), the Contractor shall be liable to any affected employee
inge beanefit is make
is con of the wage determination aertehthe nation fringe ge
benefit. In any case where the Contractor provides a fringe bene- for any amounts due, and to the United States for liquidated
fit different from any contained in the wake dote mi.'rtrv^ he damages. Such liquidated damages shall be computed with respect
shall similarly show how he arrived at the hourly rate shown to .each individual laborer or mechanic, including an apprentice.
pro-
trainee, watchman, or guard, employed in violation of the pro-
a t of disagreement
interested In the event
anbetween or amoft. the visions of paragraph (a) ere the sum of $10 for each calendar day
interested patties an bmit.the e question, yh, fringe together benefit. the on which such employee was required or permitted to be em..
Contracting Officer to
r Omit submit .the with his' P recommendation, to the Secretary of Labor for final determination. ployed on such work in excess of 8 hours or in excess of the
(c) The assumption of an enforce" commitment to bear the standard workweek of 40 hours without payment of the overtime
cast of fringe benefits, or the ision of any fringe benefits not wages required by paragraph (a).
expressly listed in section 1(b)) of the Davis-Bacon Act or in APPRENTICES AND TRAINEES
the wage determination decision forming a part of the contort.
may be considered as payow t of wages only with the'a nil (a) Apprentices shall be permitted to work at less than the
of the Secretary of Labor pursuant to a written request-by the peedetermtned rate for the work they performed (1) when they
Contractor. The Secretary of Labor may requite the Contractor to are employed and individually registered in a bona fide appren.
set aside assets, in a separate account, to meet his obligations ticeship program registered with the U.S. Department of Labor,
under any unfunded plan or phigram. Employment and Training' Administration, Bureau of Apprentice.
(d) The Contracting Officer shall require that any class of ship and Training, or with a State Apprenticeship Agency recog-'
laboeers or mechanics, including apprentices and trainees. which 'nized by the Bureau, or (2) if a person is employed in his first.
is not listed in the wage determination decision and which is'to ? go days of probationary employment as an apprentice in such an
be employed under the contract shall be classified of reclassified apprenticeship program, who is not individually registered in the
conformably to the wage determination decision, and shall report program, but who has, been certified by the Bureau of Apprentice-
the action taken 'to the Secretary of Labor. If the interested panics ship and Training or State Apprenticeship Agency (where
cannot agree on the proper dassifi cation or reclassification of a appropriate) to be eligible for probationary employment as an
particular class of laborers of mechanic: including apprentices apprentice. The' allowable ratio of apprentices to Journeymen in
and trainees to. be used, the Contracting Officer shall submit the any craft classification shaft nor be greater than the ratio per.
question. together with his recommendation, to the Secretary of mitted to the contractor as to his entire work force under the
Labor for final determination. Apprentices and trainees may be registered program. Any employee listed on a payroll at an
added tender this clahsee''only'where they ate:emptoyed pursuant apprentice wage rate: who is not a trainee as defined in paragraph
to an apprenticeship or trainee program meeting the requisemeitts ' (b) of this clause or who. not registered or otherwise employed.
of the Apprentices and Trainees clause below. ' as stated above. shall be paid the wage rate determined by. the
(e) In the event it is found by the Contracting Officer that any Secretary of Labor for the classification of work he actually per-
laborer or mechanic including apprentices and 'trainees, employed formed. The Contractor or subcontractor shall furnish to . tl}e
by the Contractor or any subcontractor directly on the site of the Contracting Officer written evidence of the registration of his
i rAseann' POKY 19-A (Rua. 1-7 9 )
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program and apprentices as well as the appsope(te :rmins and
wage rate (eapresed in pereeerags of the jwenefmm hourly
rates) for the area of constructior. prior to erasing any apprentice
on the contract work. The wage ate paid apprentices; shall be not
less than the appropriate peresatge of the journeymen's rate
contained in the applicable wage daamiaadan.
(b) Trainees shall be permitted to work at less than the pre.
determined rate for the work performed when they are employed
pursuant to and individually registered in a program which bas
received prior approval, evidenced by formal eertiEcetion, the
U.S. Department of Labor, Employment and Training Admin.
istration. Bureau of Apprenticeship and Training. The rear
"trainee., means a person registered and receiving on-t6-job
training in a construction occupation under a program which has
been approved in advance by the U.S. Department of Labor,
Employment and Training Administration, Bureau of Apprentice-
ship and Training, as meeting is standards for on-the-job training
programs and which has been so esrtfied by the Bureau. The
ratio of trainees to journeymen on this contract shall not be
greater than the ratio permitted under the plan approved by the
Bureau of Apprenticeship and Training. Every trainee must be
paid at not less than the rate specified in the approved program
for his level of progress. Any employee listed on the payroll at a
trainee rate who is not registered and participating in a training
plan approved by the Bureau of Apprenticeship and Training
shall be paid not less than the wage rate determined by the Sec-
retary of Labor for the classification of work he actually ppeerr
formed The Contractor or subcontractor shall furnish the Con
tracting Officer written evidence of the certilcation of his pro-
gram, the registration of the trainee, and the ratios and wage
rates prescribed in that program. In the event the Bureau of
Apprenticeship and Training withdraws approval of a training
program, the Contractor shall no longer utilise trainees at less
than ate applicable predetermined rare for work performed until
an acceptable program is approved.
(c) The utilization of apprentices, trainees, and journeymen
under this clause shall be in conformity with the equal employ-
ment opportunity requirements of this contract.
(d) If at any time the Bureau of Apprenticeship and Training
determines, after opportunity for a baring, that the sandards of
a training program have not been complied with. or that such a
program fails to provide adequate training for participants, the
Contractor shall not utilise trainees at less than the predetermined
rate for the classification of work actually performed until as
acceptable program is a If the Contractor brings an
appeal pursuaritto 29 5.17 within 30 days of his receipt of a
certified letter withdrawing the Bureau of Apprenticeship and
Training's approval, the effect of the withdrawal of approval of
the program will be delayed until a decision is I on the
appeal pursuant to 29 CFR 5.17.
4. PAYROLLS AND BASIC RECORDS
(a) The Contractor shall maintain payrolls and basic records
relating thereto during the course of the work and shall preserve
them for a period of 3 years thereafter for all laborers and
mechanics. including apprentices. trainees, watchmen, and
guards working at the site of the work Such records shall contain
the name and address of each such employee, his correct classifi-
cation, rate of pay (including rates of contributing for or costs
assumed to provide, fringe benefits). daily and weekly number
of hours worked, deductions made, and actual wage paid. When.
ever the Contractor has obtained approval from the Secretary of
Labor as provided in paragraph (c) of the dame entitled "Davis.
Bacon Act", he shall maintain records which show the commit-
ment. its approval, written communication of the plan or program
to the laborer or mechanics affected, and the costs anticipated or
incurred under the plan or program.
(b) The Contractor shall submit -eddy a copy of all payrolls
to the Contracting Officer. The Government Prime Contractor
shall be responsible for the submission of copies of payrolls of
all subcontractors. The copy shall be accompanied by a statement
signed by the Contractor indicating that the payrolls are correct
and complete, that the wage rata contained therein are not less
than than determined by the Secretary of Labor. and that the
dusificstiena at forth for each laborer or mechanic including
pre and trainees conform with the work he performed.
Sabin' inn of the "Weekly Statement of Compliance'. required
under this contract and the Copeland Regulations of the Secretary
of Labor (29 CFR Part 3) shall satisfy the requirement for sub-
mission of the above statement. The Contractor shall submit also
a copy of any approval by the Secretary of Labor with respect to
fringe benefits which is required by paragraph (c) of the clause
entitled "Davis-Bacon Act". Contractors employing apprentices or
"mum under first weekly certified payrolls submittShan include ed to the contracmotation tin of the
1 certi lB agencies
that their employment is pursuant to an approved program and
shall identify the program.
(c) The Contractor shall make the records required under
this clause available for inspection by authorized representatives
of the Contracting Officer and the Department of labor, and
shall permit such representatives to interview employees during
working hours on the job. panto
ma on
NOTE: for Watchmen and Standards guards
ork Hours and Safety
for of the Comma W Act
rds
S. COMPLIANCE WITH COPELAND REGULATIONS
The Contractor WWI comply
of the Secretary of labor (29 CPR Put 3) which are lincor-
porated herein by reference.
6. WITHHOLDING OF FUNDS
(a) The Contracting Officer may withhold or cause to be with-
bold from the Government Prime Contractor so much of the
accruedPayments of advances as may be considered necessary (1)
to pay laborers and mednnics, including apprentices, trainees,
watchmen, and guards employed by the Contractor or I'M sub-
contractor on the work the full amount of wages required by the
contract, and (2) to satisfy any liability of the Contractor and
any subcontractor for liquidated damages under paragraph (b)
of the cause entitled "Con tract Work Hours and Safety Stand-
ards Act--Overtime Compensation."
(b) If the Contractor or any subcontractor fails to pay any
laborer, mechanic. apprentice, trainee. watchman, or guard em-
ployed or working on the site of work. all or part of the wages
required by the contract, the Contracting Officer may, after writ.
tat notice to the Government Prime Contractor, take such action
as may be necessary to cause suspension of any further payments
or advances until such violations lave ceased.
7. SUBCONTRACTS
The
entitled
"Davis-Bacon agrees to insert the els ""Coonttact Work Hours and Safety Standards
Act---Overtime Comperuation," Apprentices and Trainees,"
"Payrolls and Basic Records," "Compliance with Copeland Regu.
lations," "Withholding of Funds," '.Subcontracts;' and "Con-
tract Termination--Debarment" in all subcontracts. The tam
"Contractor" as used in such clauses in any subcontract shall be
deemed to refer to the subcontractor except in the phrase "Gov-
eroment Prime Contractor."
L CONTRACT TERMNATION-DEBARMENT
A breach of the clauses hereof entitled "Davis-Bacon Act."
"Con tract Work Hours and Safety Standards Act-Overtime
Compensation; "Apprentice and Trainees," "Payrolls and Basic
Records.'. "Compliance with Copeland Regulations.- "Withhold-
of Fonds," and "Subcontracts" may be grounds for termina-
tion of the contract, and for debarment as provided in 29 CPR
5.6.
9. DLSP[fiES CONCERNING LABOR STANDARDS
Disputes arising out of the labor standards provisions of this
contract shall be subject to the Disputes clause except to the
e t nt such disputes involve the manrng of classifications or
wage can contained in the wage determination decisions of the
Secretary of Labor or the applicability of the labor provisions of
this contract which questions shall be referred to the Secretary of
Labor in accordance with the procedures of the Department of
Labor.
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9
SECTION 0020
APPLICABLE MINIMUM HOURLY RATES OF WAGES
1. The attached wage determination decision of the Secretary of Labor
specifies the minimum hourly rates of wages which shall be paid to
laborers and mechanics employed or working directly upon the site of
the work, t he rates having been determined by the Secretary of Labor
in accordance with the provisions of the Davis-Bacon Act, as amended,
to be the prevailing rates for the corresponding classes of laborers and
mechanics employed on contracts of a similar character in the locality
where this work is to be performed. THESE MINIMUM HOURLY RATES
OF WAGES SHALL APPLY ONLY IF THE CONTRACT IS IN EXCESS OF
$2, 000 IN AMOUNT.
2. While the wage rates given in the attached decision are the minimum
rates required to be paid during the life of the contract, it is the respon-
sibility of bidders to inform themselves as to local labor conditions such
as the prevailing wage rates, the length of the work day and work week,
overtime compensation, fringe benefit payments, available labor supply,
and prospective changes or adjustments of wage rates. The Contractor
shall abide by and conform to all applicable laws, Executive Orders, and
rules, regulations and orders of the Secretary of Labor. No increase in
the contract price shall be allowed or authorized on account of the pay-
ment of wage rates in excess of those listed in the attached decision.
3. The wage determination decision of the Secretary of Labor is attached
solely for the purpose of setting forth the minimum hourly wage rates
required to be paid during the life of the contract and is not to be accepted
as a guarantee, warranty or representation as to the wage rates indicated.
Under no circumstances shall any mistake in attaching the appropriate
wage determination decision of the Secretary of Labor and in the wage
rates set forth entitle the successful bidder to cancellation of his bid or
contract or to an increase in the contract price or other additional payment
or recovery.
GSA AM'; 1083
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U.S. DEPARTMENT OF LABOR
OFFICE OP THE SECRETARY
WASHINGTON
DECISION OF THE SECRETARY
This can Is before Ibs Depsreatsal of Labor purasal to a request foe a wogs psodakrmloston or toquksd by law applicable to lbs west desrslbod.
A toady bar been made of wage conditions In the locality and based on Information available to the Department of Labor the wage rates and (tinge payments listed one hereby
alstsmined by The Secretary of Labor as ptrvalnng for the described classes of labor in accordance with applicable law.
This wags dslcmtlnation decision and any modifications thereof during the period prior to The baled eapkalloo data shad be made s put of every eoatrsd too perfoenuaes
of lag described work as provided by applicable law and regulations of the Secretary of Labor. and the wage tales and hinge psymeale eoaulntd to this decides. Mchrdlaig asodifka.
Ions, shall be the alabnuma to be paid under any ach contact by eontractose and subeostracloo on the work.
rho contracting officer than sequin that say clan of laborers and mechanics which Is not listed la lbe wage dssensMstlon and which it to be employed under the coattact.
shalt be milled or seclauUkd conformably to the wage determination. and a report of the action taken shad be seat by the Federal agency to the Secretary or Labor. Sc the :scat the
Mlucased par=ks cannot agree on thq proper elastlfcalion as reclassification of s particular class of laborers and mechanics to be used, lbsquestloa accompanied b/ she ncawacn.
delloa of the coassacling officer deft be referral to the Secretary for doletminalloo.
Before using apprentices an the job the contractor Shan present to the consracing omen wsIka ssldcnes of icgbtsa$aon of such esaployccs in a pac[[sam of s
state epptentkuhlp and missing agency approved and recopntred by the U.S. Bueuau of Appicalleeship and Talalpg. In Ike absence of duck a State agency. the contractor emu mbsoN
stiWcna of approval and reglattatou by dw U.S. Bureau of Appsaatkossip and TraWng.
The contractor shall subnlt S. tbs eostractIng officer written evideacs of the established appreatloyoutnsymus attoe and wage rates In the pwjeel seal. which will W tb
basis for establishing web ratios and rises for the project under lbe applicable contract psovWont.
Fringe payments include medical and hospital cure. compensation for Injuries or labels reaping (tom occupational activity, unemployment benefits. We Insurance. disability
and sickness Inwrauce. accident Matance (all deslguated as health and welfare). pensions, vacallon end holiday pay. apprenticeship or other slmla f programs anti other boas We fringe
Wad=e.
W "`A?r..ya.,
Alfscd L Genoa. Dkecloe
Rividon orwags Deleaminati ns .
Workplace Standards Administration
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GENERAL SERVICES ADMINISTRATI
WAGE RATE SCHEDULE
DEPARTMENT. AGENCY. fR BUREAU
STATE
COUNTY
DATE OF OEClSION
DESCRIPTION Of WORK
EXPIRES
SUPERSEDES DECISION NO-
'
BASIC
R
FRINGE BENEFITS PAYMENTS
R AFT
C
HOU
LY
RATES
N & w
PENSIONS
VACATION
APP. TR.
OTHERS
GSA J2oR. s 1085
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 Declassified in Part - Sanitized Copy Approved for Release 2012/04/27: CIA-RDP89-00244R000100020002-9
Public Contracts, Property Management chapter 101-Federal Property Mgmnt. Regs.
ble to a concessionaire or suita
il
d
will a parking management contractor
(concessionaire). This technique may
be used in conjunction with either
stackparking or block parking or in lo-
cations where it is deemed advanta-
geous to use a management contractor
to operate the parking facility. In in-
stances in which a parking contractor
is used. the fees for management of
the facility shall be paid by the em-
ployees using the facility.
(f) Motor pool vehicles and vehicles
on indefinite assignment to agencies
shall be subject to the same parking
procedures (suh as bumper-to-
bumper parking) as employee vehicles.
Emergency and law enforcement vehi-
cles (see ? 101-20.111-la(a)(2)) are
exempt from such procedures.
(g) The provision of facilities for
storing vehicles which are awaiting
disposal or assignment or which have
been impounded by law enforement
agencies shall be limited to outlying
locations where spaces are not at a
premium.
(See. 205(c), 63 Stat. 390: 40 U.S.C. 486(c))
[42 FR 56122, Oct. 21. 197']
? 101-20.I11-2c Billing for assigned vehi-
cle parking spaces.
(a) Official parking. Each agency
will be billed the appropriate standard.
'level user change (SLUC) for all offi-
cal parking spaces assigned in accord-
ance with ? 101-20.111-2a. Visitor,
patron, and service vehicle parking
spaces assigned specifically to an
agency will be billed at the appropri-
ate standard level user charge. Spaces
assigned or reserved for general use by
visitor, patron, and service vehicles
will be billed on a prorated basis to
using agencies.
(b) Employee parking. Employee ve-
hicle parking spaces, when requested
by an agency, will be assigned in ac-
cordance with ? 101-20.111-2a. The
agency will be billed the appropriate
standard level user charge. (NOTE:
SLUC billings will be made to agencies
and not to individual employees.) In
situations in which the number of
parking spaces exceeds the number re-
quested by using agencies, such as may
occur at Federal centers and depots,
the excess spaces will be metered,
a
ma
e ava
to an employee group by outlease or
permit, or otherwise handled as appro-
priate.
(Sec. 205(c). 63 Stat. 390; 40 U.S.C. 486(c))
(42.FR 56122. Oct. 21, 19771
? 101-20.111-3 Parking space allotments.
Allotment of areas will be made to
agencies which shall administer those
areas for parking purposes. Guidelines
for policing public buildings and
grounds, including parking areas, are
set forth in Subpart 101-20.3. If neces-
sary, and at occupant agency request,
provisions will be made by GSA to reg-
ulate the use of parking areas by polic-
ing with GSA or other Government
personnel or by arrangements with
local law enforcement authorities. Un-
usual protection requirements shall be
subject to reimbursement.
(Sec. 205(c), 63 Stat. 390: 40 U.S.C. 486(c))
[42 FR 56123. Oct. 21, 19771
? 101-20.112 Concessions.
? 101-20.112-1 Applicability.
This section applies to concessions in
buildings operated by GSA. except
vending stands operated by blind per-
sons under the Randolph-Sheppard
Act (20 U.S.C. 107 et seq.).
101-20.112-2 General.
(a) Concessions require the use of
space and the provision of various
building facilities and services. The
type and location of each concession
may seriously affect GSA costs for its
installation, as well as later costs for
building maintenance and operation.
(b) It is essential, therefore, that the
type and location of each concession
be satisfactory to GSA and that each
concession contract definitely estab-
lish the responsibilities of the conces-
sionaire with respect to costs and
other matters which affect building
maintenance and operation. It also is
imperative that consideration be given
to pertinent legislation and the terms
of existing contracts between GSA and
concessionaires.
(c) GSA will arrange for the estab-
lishment of all concessions, including
public telephones, in buildings under
its custody and control. It will provide
? 101-20.112-5
ble space for approved conces-
sions, arrange for necessary alter-
ations and installations, enter into
contracts or issue permits, and select
concessionaires.
9 101-20.112-3 Transferred buildings.
Concessions which were contracted
for or otherwise arranged for by a
Federal agency having custody and
control of a building before its trans-
fer to GSA. except concessions operat-
ed by the blind, may be continued
under the supervision of that agency
upon written approval of GSA subject
to the following:
(a) Proposed alterations and im-
provements, purchases of equipment
for replacement. and other matters af-
fecting the building structure or its
maintenance and operation, shall be
approved by GSA.
(b) GSA will arrange for periodic in-
spections to insure compliance with
safety, health, and sanitary codes.
? 101-20.112--I Supervision.
(a) Responsibility for supervision
and administration of all concessions.
except as provided in ? 101-20.112-3, is
vested in GSA.
(b) In the case of contracts and per-
mits to which GSA.is a party, officials
of occupant agencies shall not, unless
authorized by GSA, instruct conces-
sionaires concerning types of service,
articles to be sold, prices, Cr any other
phase of operations. They shall corr.-
municate their wishes and require-
ments in such matters and shall refer
suggestions and criticisms of Federal
employees to the GSA buildings man-
ager or to the appropriate regional of-
ficial of GS .A. who will take such
action in consequence thereof as may
be deemed appropriate.
? 101-20.112-5 Determination of need.
GSA will determine the need for
concessions based on the following re-
quirements:
(a) There must be adequate justifica-
tion for each concession, and suffi-
cient and satisfactory space must be
available for the concession.
(b) Subject to the other require-
ments of this section, concession serv-
ices shall be such as are satisfactory to
the building occupants and not incon.
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?
0
? 101-20.112-6 Title 41-Public Contracts, Property Management
sistent with their policies and pro-
grams. Except for blind stands, GSA
shall not place concessionaires in
space in federally owned or leased
buildings without consulting the occu-
pant agency(ies) or without the
agency(ies) requesting the services to
be provided by the concessionaires.
(c) Sufficient funds shall be legally
available, either to GSA or occupant
agencies, to defray the costs for which
the Government will be responsible.
Prior to placing concessionaires in a
building, agreement shall be reached
.with the occupant agency(ies) as to
whether funds are budgeted and ap-
propriated to the agency(ies) for pay-
ment of any expenses for which the
agency may be obligated and that any
such concession services are necessary
for the health or efficiency of the
agency's employees while on duty.
(d) It shall be possible to establish
and operate each concession in con-
formance with safety, health, and
sanitary codes.
(e) There shall be no contravention
of the provisions of law, or the terms
of any lease (except with the prior
consent of the lessor).
(f) The proposed concession shall
not be detrimental or objectionable to
other occupant agencies in the build-
ing:
(g) Commodities and services sold
shall be limited to those which Feder-
al employees may need to obtain while
on duty, which are essential to their
health, comfort, or efficiency, and
which cannot be obtained convenient-
ly from nearby existing facilities: Pro-
vided: That this requirement shall not
prevent the approval of concessions re-
quired to serve a functional need of an
occupant agency, as when the Govern-
ment provides meals to inductees into
the armed forces; or to inductees into
the armed forces: as permitted by law;
e.g., vending stands operated under 20
U.S.C. 107 by the blind.
(h) Except when unusual conditions
prevail. each concession shall be such
as will serve all Federal employees in
the building. This does not preclude
the establishment of duplicate facili-
ties when justified by the size of the
building.
? 101-20.112-6 Scheduling patronage.
. When requested by GSA, each occu-
pant agency should endeavor to sched-
ule the times at which its employees
may use concession services, so that
patronage will be distributed evenly
over a reasonable serving period.
101-20.112-7 Safety, cleanliness, and
sanitation.
(a) In the interest of safety, cleanli-
ness, and sanitation, patrons shall be
encouraged to consume foods and bev-
erages at the point of purchase. When
foods or beverages are removed from
the concession area for consumption,
agency heads shall require that:
(1) Beverages and liquid foods be in
covered containers.
(2) Empty cans be placed in recepta-
cles provided by the ' concessionaires,
or be placed alongside office waste re-
ceptacles.
(3) Liquids not be poured into waste
receptacles.
. (4) Spillage of liquids in corridors,
lobbies, or work areas be avoided.
(5) Nondisposable dishes, silverware,
and other utensils not be removed
from concession areas without the per-
mission of the concessionaire, and
those removed with his permission be
returned promptly after each use by
the person granted permission.
. (b) Violation of these requirements
may make it necessary to withdraw
the privilege of carrying foods and
beverages from concession areas.
? 101-20.112-8 Music.
(a) As in the case of other conces-
sions, the broadcasting of music in
work or concession areas shall be sub-
ject to the prior approval of GSA.
(b) Approval will be subject to the
applicable provisions of ? 101-20.112-4
and to the following requirements:
(1) The interested occupant agency
shall accept responsibility for the sat-
isfactory selection of music and other
aspects of the service.
(2) The music shall be provided
without expense to GSA, and in con-
cession areas without expense to the
concessionaire, except with his prior
concurrence.
(3) Installations incident to the pro-
vision of the music shall be satisfac-
tory to the buildings manager.
Chapter 101-Federal Property
(4) The provision of the mu s:
not unduly interfere with the s:
Cory operation of a concession.
(5) The installation shall not
for commercial advertising.
? 101-20.113 Staggering hours of
Metropolitan Washington.
(a) Applicability. (1) The prc
of this section apply to all props
establish or change the hours
in Metropolitan Washington;
ing proposals related to the e?s,
ment or relocation of a Gove:
office.
(2) For the purpose of this
20.113, Metropolitan Washing:
eludes the District of Columbia:
gomery and Prince Georges C.
in Maryland; Arlington, Fairfa
doun, and Prince William Cou
Virginia; and all municipalities
hereafter existing in Maryland
ginia within the geograph,.
bounded by the outer bound.
the combined area of said count
(b) Responsibility. Except as
wise provided, any agency cone
a schedule of hours of duty d'.
from, or in addition to, its sche
hours of duty heretofore au;
shall obtain the approval of t1-
Regional Administrator, Ree
before the proposed schedule is
in effect. The Regional Admini
in approving proposals to
hours of duty, will be guided
overall policy of maintaining P.
of staggered hours of duty in
politan Washington.
(c) Requirements. (1) The rec
agency shall submit a written
to the General Services Adn:
tion (3A), Washington, D.C.
which will include the propose,
of duty, the number of ernplo--
fected. and a detailed justifica'.
such action.
(2) The requesting agency m
coordinate with the related em
union(s) and/or the affected -
ecs in determining the percer
employees in favor of any p.
change of hours and shall su'b '
figure with the request.
(3) In addition. the GSA F
Administrator, Region 3, will
nate the proposal with app:
agencies of the District, of Cc
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