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operation of any vehicle or other equipment by, or the action of, the Contractor, his employees, or his agents, in performing under this contract.

(b) Transportation of household goods. The following clause applies to damage or injury to property other than the household goods being transported. A separate clause is required to establish the extent to which the contractor will be liable for loss or damage to the household goods.

TRANSPORTATION OF HOUSEHOLD GOODS The Contractor assumes responsibility for all damage or injury to persons or property occasioned through the use and operation of his vehicles or other equipment by or the action of the Contractor, his employees, and agents, and the Contractor at his own expense shall maintain adequate public liability and property damage insurance during the continuance of this contract, insuring himself against all claims for injury or damage. The Contractor shall also maintain Workmen's Compensation and other legally required insurance with respect to his own employees and agents. The Government shall in no event be liable or responsible for damage or injury to any person or property occasioned through the use or operation of any vehicles or other equipment by or the action of the Contractor, his employees, and agents in performing under this contract.

CARGO INSURANCE The Contractor, at his own expense, agrees to provide and maintain, during the continuance of this contract, cargo liability insurance in the amount of $--- per vehicle to cover the value of property on each vehicle and in the amount of $--- to cover the total value of the property in the shipment. All insurance shall be written on companies acceptable to the (insert name of agency) and policies shall include such terms and conditions as may be required by the (insert name of agency). As evidence of insurance maintained, a complete duplicate certified copy of the cargo liability insurance policy or policies shall be furnished to the (insert name of agency). Evidence of acceptable cargo insurance must be furnished prior to commencing operations under this contract. Each cargo insurance policy shall include the following provision:

It is a condition of this policy that the Company shall furnish written notice to the (insert name of agency), at the address shown on the face sheet of this contract, 30 days in advance of the effective date of any reduction in or cancellation of this policy.

A complete duplicate certified copy of any renewal policy shall be furnished to the (insert name of agency) not less than 15 days prior to the expiration of any current policy on file with the (insert name of agency).

OTHER INSURANCE The Contractor, at his own expense, agrees to maintain, during the continuance of this contract, vehicular liability and general public liability insurance with limits of liability for bodily injury of not less than $--- for each person and $--- for each occurrence and property damage limits of liability of not less than $--- for each accident and $--- in the aggregate. The Contractor also agrees to maintain Workmen's Compensation and other legally required insurance with respect to his own employees and agents.

$ 1-19.702-5 Insurance requirements.

The amount of insurance the contractor shall be required to maintain will depend upon the type of service required and the value of the property to be transported. Except when the shipments move under rates subject to released valuation or declared value, the contractor shall be required to maintain sufficient cargo insurance to cover the value of each vehicle load. In every instance where the contract is with a motor carrier, the contractor shall be required to carry an appropriate amount of vehicular liability insurance. In addition, all contractors shall be required to carry an appropriate amount of general public liability insurance and any other insurance required by law. The clauses set forth below shall be used in substantially the same language (the appropriate amounts and the name and address of the agency to be inserted by the contracting officer at the time the solicitation is issued):

$ 1-19.702-6 Annotation and distribution

of shipping documents. The contractor's responsibilities with respect to annotating and distributing shipping documents shall be set forth, in detail, in accordance with the provisions of the General Accounting Office Policy and Procedures Manual for Guidance of Federal Agencies, title 5, Transportation, to the extent such provisions are applicable. Also, the contracting agency's requirements and, when appropriate, the consignee's requirements shall be set forth. Of particular importance is the cross-re

the shipment shall be returned to the origir point and no charge shall be assessed by the Contractor; however, any charges incurred for redelivery, which are in excess of the charges that would have been incurred under this contract, shall be for the Con tractor's account in accordance with the "Default” clause in the General Provisions (Transportation Contracts) attached to Standard Form 33.

ferencing of bills of lading in mass movements of property made available to the contractor at one time, so that the Government will receive the benefit of the applicable volume rates. § 1-19.702-7 Additional contractor respon.

sibilities. Additional responsibilities of the contractor will vary, depending upon the commodities to be transported, the type of service required, whether shipments will move in load or less-thanload lots, and other pertinent matters. The following clauses, to the extent they are appropriate, shall be included in the supplemental provisions:

RECEIPT OF SHIPMENT The Contractor will diligently count, examine, and receipt for all property tendered for shipment and make appropriate written exception for any and all property not in apparent good order.

$ 1-19.702-8 Government responsibilities.

Normally, the Government has certain responsibilities which have a direct bearing on the contractor's per formance under the contract, including giving notice to the contractor of dangerous and inherent vices of the property, to insure that such shipments are properly placarded. Therefore, such responsibilities shall be made a part of the supplemental provisions. The following clauses shall be used as appropriate:

ADVANCE NOTIFICATION The Government will notify the Contractor --hours in advance as to the number of pieces and weight of all normal shipments and the time the shipment will be available for pickup. On other than normal shipments the Government will furnish such additional information, such as dimension of oversized pieces, etc., as necessary to determine the amount of equipment and/or manpower needed to perform the required services.

LOADING AND UNLOADING Unless otherwise specified herein to cover store-door or inside delivery, loading and unloading of shipments will be performed by the Contractor at no additional expense to the Government. The Government or its agent will place or receive freight at the tailgate of the Contractor's vehicle. Tailgate delivery, for purposes of this contract, is de fined as that which enables a forklift truck or similar equipment, with operator only, to place or remove cargo from the tailgate of Contractor's vehicle.

BLOCKING AND BRACING When loading is the responsibility of the Contractor, the Contractor shall perform all shoring, blocking, and bracing. Dunnage shall be provided by, and at the expense of, the Contractor.

GOVERNMENT EQUIPMENT The Government will provide forklifts or other heavy lifting equipment at (insert origin, destination, or both) to assist in (insert loading, unloading, or both), when required.

RETURN OF UNDELIVERED FREIGHT When through no fault of the Contractor, a shipment cannot be delivered, the

the Contractor shall contact the shipper for disposition instructions. If such shipment is or dered returned to the origin point, the charges assessed for the return trip shall be the same as the charges assessed for the outbound trip. A record will be maintained of material which, through no fault of the Contractor, could not be delivered and is returned to the shipper. If, at a future date, such returned material is determined to be related to a claim against the Contractor, the claim will be adjusted accordingly. If, on

accordingly. If on the other hand, through the fault of the Contractor, a shipment cannot be delivered,

SUPERVISION AND MARKING The agency being moved will tag or mark property, showing floor, room number, and location where property is to be placed within the new building. The agency will W provide sufficient personnel to supervise and direct Contractor's personnel in the placement of the property at destination. § 1-19.702-9 Inspection of shipping and

receiving facilities. To insure the receipt of realistic bids, inspection of the shipping and receiving facilities should be permitted and should be encouraged. Therefore, a schedule shall be provided showing the dates (and hours, if appropriate) when the shipping facilities at origin

and the receiving facilities at destina would be provided in the section in the tion will be available for inspection by supplemented provisions entitled prospective bidders. Also, if appropri. “Rates and charges." ate, the supplemental clauses shall in- (5) The supplemental provisions clude the names, addresses, titles, and shall set forth the basis on which the telephone numbers of the Govern rates and/or charges will be evaluated; ment representatives to be contacted i.e., the formula to be used by the conat origin and destination to make ar tracting officer to determine the rangements for inspecting the facili lowest overall price quoted or offered. ties.

When multiple origins and/or destina

tions are involved, and the quantities 31-19.702-10 Rates and charges.

or weights to be shipped between each (a) A provision shall be included per origin and destination cannot be redemitting the offeror to insert prices for

termined, estimated quantities or items bid upon in accordance with the

weights shall be established for the appropriate basis or bases set forth purpose of evaluating bids or proposbelow. Such basis may be on an hourly als and an appropriate clause, in subrate, a rate per specified unit of

e per specified unit of stantially the following language, weight, a total charge for all services shall be included: required, or on a combination of fac

ESTIMATED WEIGHT tors. Certain other requirements relating to rates, as set forth below, shall

For the purpose of evaluating bids, and be considered in connection with each

for no other purpose, the following estimat.

ed quantities or weights will be considered solicitation, and the indicated provi

as the quantities or weights to be shipped sions shall be used under the specified

between each origin and destination listed: conditions.

(Insert origin, destination, and estimated (1) The following clause shall be quantity or weight.) used in all solicitations:

(6) When procurement of transporCHARGES

tation services is by negotiation, provi

sion shall be made for accepting the In no event are charges to be assessed under this contract in excess of charges

most favorable proposal without furbased on the Contractor's lowest regular ap

ther negotiation. A clause, in substanplicable rate available to the general public tially the following language, shall be or in excess of charges based on rates other- included: vise tendered to the Government by the Contractor for the same type of service.

ACCEPTANCE OF LOWEST OFFER (2) When there are various types of

If it is determined by the Government

that the most favorable proposal received in services to be provided under one con

response to this request is fair and reasontract and the basis for assessing

able, award may be made to the carrier subcharges varies with the service, the

mitting such proposal without further negosupplemental provisions shall set tiation. Accordingly, proposals should be forth the basis for submitting bids or submitted on the most favorable terms, proposals on each type of service.

from both a price and technical standpoint, (3) Whenever rates are requested on

which the offeror can initially submit to the an hourly basis, a provision shall be

Government. made for charging for fractions of an (7) When it is anticipated that labor, hour; for example, a period of 30 min in addition to that of the driver, will utes or less would be charged at one be required for loading or unloading half the hourly rate, and a period of shipments which, because of bulk or more than 30 minutes but less than an weight, are beyond the ability of the hour would be charged at the full driver alone to handle, or when other hourly rate.

circumstances will require services of (4) When shipments will vary in the contractor which are not included weight; e.g., under 1,000 pounds to in the basic rate, the conditions under over 40,000 pounds, rates shall be re- which payment will be made for addiquested on a graduated basis, and an tional services shall be stated. appropriate reference shall be made to (b) When a solicitation involves multhe table of graduated weights which tiple origins and/or destinations, de

COSU

tailed information shall be provided as to whether rates should be quoted for all origins and destinations or whether rates can be quoted for specific groups of origins and/or destinations.

(c) When multiple shipments will be tendered at one time from one origin to two or more consignees at the same destination or to various destinations along the one route, provision shall be made for charging the rate applicable to the aggregate weight; and, if otherwise appropriate, when more than one destination is involved, provision shall be made for payment of a stopoff charge for each of the intermediate destinations. The following clauses shall be included, as applicable:

Sec. 1-20.204 Costs of certain retentions under

cost-reimbursement contracts. 1-20.205 Examination of records in special

situations. 1-20.206 Identification of records. 1-20.207 Interfiled records. 1-20.208 Calculation of records retention

periods. 1-20.209 Duplicate copies of records and in

termediate data.

Subpart 1-20.3—Retention Requirements 1-20.301 Retention periods. 1-20.301-1 Financial and cost accounting

records. 1-20.301-2 Pay administration records. 1-20.301-3 Procurement and supply rec

ords. AUTHORITY: Sec. 205(c), 63 Stat. 390; 40 U.S.C. 486(c).

SOURCE: 34 FR 7148, May 1, 1969, unless otherwise noted.

MULTIPLE SHIPMENTS When multiple shipments are tendered at one time to the Contractor for movement from one origin to multiple consignees at the same destination, the rate charged for each shipment will be the rate applicable to the aggregate weight.

STOPPING IN TRANSIT FOR PARTIAL UNLOADING

When multiple shipments are tendered at one time to the Contractor for movement from one origin to two or more consignees along the route between the origin and the last destination, the rate charged will be the rate applicable to the aggregate weight, plus a charge of $---- for each shipment unloaded at an intermediate point en route to the last destination.

§ 1-20.000 Scope of part.

This Part 1-20 provides policies and procedures for the maintenance of records retained by contractors and subcontractors pursuant to specified contractual clauses included in contracts and subcontracts to satisfy certain statutory and administrative records review requirements of the Govern. ment.

Subpart 1-20.1-Purpose and

Applicability

PART 1-20—RETENTION REQUIREMENTS FOR CONTRACTOR AND SUBCONTRACTOR RECORDS

Sec. 1-20.000 Scope of part.

§ 1-20.101 Purpose.

The provisions of this part 1-20 are designed to relieve the burden of excessive records retention requirements on contractors and subcontractors while at the same time ensuring that the records review requirements of the Comptroller General of the United States and those of contracting agencies are fully met.

Subpart 1-20.1-Purpose and Applicability

1-20.101 Purpose. 1-20.102 Applicability. 1-20.102-1 General. 1-20.102-2 Exemption of Atomic Energy

Commission contracts. 1-20.102-3 Application to contracts entered

into prior to April 28, 1969.

Subpart 1-20.2–General Provisions

§ 1-20.102 Applicability. $ 1-20.102-1 General.

This Part 1-20 applies to negotiated contracts, and to formally advertised contracts expected to exceed $100,000 which may entail certain changes or other modifications in excess of $100,000 (see $ 1-3.814-2(b)), entered into on or after April 28, 1969, which

1-20.201 General retention requirements. 1-20.202 Other record retention require

ments. 1-20.203 Disposition of records after reten

tion period.

contain records retention require such period expires earlier than 3 ments set forth in the contractual years after final payment under the clauses included in contracts and sub- contract or subcontract. contracts as prescribed by the provi- (c) Section 1-20.301 identifies specifsions of the Federal Procurement Reg. ic records and designates retention peulations described and enumerated in riods for each. These retention periods $ 1-20.201(a).

may be applied by contractors and

subcontractors in complying with the $ 1-20.102-2 Exemption of Atomic Energy general records retention requireCommission contracts.

ments of $ 1-20.201 if longer retention The requirements of this part 1-20

periods are not otherwise required (see are not mandatory on the Atomic

§ 1-20.202). Energy Commission.

(34 FR 7148, May 1, 1969, as amended at 38

FR 6675, Mar. 12, 1973; 41 FR 19317, May $ 1-20.102-3 Application to contracts en 12, 1976) tered into prior to April 28, 1969.

§ 1-20.202 Other record retention requireContractors and subcontractors may

ments. follow the provisions of this part 1-20 with respect to contracts and subcon

(a) Compliance with the records retracts entered into prior to April 28,

tention requirements of the contract 1969, in complying with any of the fol

clauses set forth in the sections cited lowing contractual clauses: (a) General

in g 1-20.201 does not relieve a contracAccounting Office records examina

tor or subcontractor from retaining tion clauses pursuant to 41 U.S.C. any records for whatever longer peri254(c) and (b) records examination

ods may be required by any other clauses relating to cost and pricing

clause of the contract or subcontract, data pursuant to § 1-3.814-2.

or by other applicable statute or lawful requirement. (For example,

contract clauses and related regulaSubpart 1-20.2-General Provisions

tions issued by the Department of

Labor require contractors and subcon$ 1-20.201 General retention requirements.

tractors to retain certain records for a (a) Contractors and subcontractors stated period, such as 29 CFR 1516.3.) are required to retain and make availa (b) In this regard, contractors and ble books, records, documents, and subcontractors may find helpful the other supporting evidence to satisfy “Guide to Retention Requirements" contract negotiations, administration, published annually in the FEDERAL and audit requirements of the con REGISTER and codified in 1 CFR, Aptracting agency and the Comptroller pendix A. This is a guide in digest General of the United States as set form to the provisions of Federal laws forth in the contract clauses pre and regulations relating to the keepscribed under $$ 1-3.814-2, 1-7.103-3, ing of records by the public. It tells 1-7.103-18, 1-7.603-20, and 1-7.603-7. the user what records must be kept,

(b) These contract clauses prior to who must keep them, and how long April 28, 1969, require contractors and they must be kept. The guide does not subcontractors to retain the records have the effect of law, but is published identified therein and make them to point out legal requirements that available to the Comptroller General appear to be in effect as of January 1 of the United States or the contract of the calendar year. ing officer, respectively, or their representatives, until the expiration of 3

$ 1-20.203 Disposition of records after reyears after final payment under the

tention period. contract or subcontract. As revised ef- At the conclusion of the applicable fective April 28, 1969, the clauses also time period for which any records provide that certain of these records, must be retained, destruction or other enumerated under $ 1-20.301, need disposition of the records is at the disonly be retained until the expiration cretion of the contractor or subconof the applicable records retention tractor, and requires no authorization period authorized by this Part 1-20, if from the contracting agency. However,

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