CONTRACT CLAUSES AND SOLICITATION PROVISIONS technical operating characteristics of the proposed electromagnetic radiating device to the Contracting Officer during the initial planning, experimental, or developmental phases of contractual performance. DD Form 1494, “Application for Frequency Allocation," shall be used for this purpose and shall be prepared in accordance with instructions contained on the form. (c) This clause including this paragraph (c), shall be included in all subcontracts which call for developing, producing, testing, or operating a device for which a radio frequency authorization is required. (End of clause) 7-104.62 Material Inspection and Receiving Report. Insert the following clause in all contracts which anticipate delivery of a separate and distinct object or entity whether separately priced or not. MATERIAL INSPECTION AND RECEIVING REPORT (1969 DEC) At the time of each delivery of supplies or services under this contract, the Contractor shall prepare and furnish to the Government a Material Inspection and Receiving Report in the manner and to the extent required by ASPR Appendix I, “Material Inspection and Receiving Report." (End of clause) However, when contract administration is retained by the purchasing office, the clause is not required in the following situations unless the use of a MIRR is desired by the contracting officer: (i) procurements effected under Section III, Part 6-Small Purchase and Other Simplified Purchase Procedures; (ii) negotiated subsistence procurements; (iii) procurements of fresh milk and related fresh dairy products; (iv) contracts for which the end item is a scientific or technical report; (vi) base, post, camp or station procurements; (vii) in overseas areas when the contracting officer determines that the A MIRR is not required when indefinite delivery type contracts are placed by central procurement offices which authorize only base, post, camp or station activities to issue orders, provided that such contract and orders are not assigned for administration. 7-104.63 Protection of Government Buildings, Equipment and Vegetation. Insert the following clause in all contracts which involve the performance of services on a Government installation. 7-104.63 ARMED SERVICES PROCUREMENT REGULATION CONTRACT CLAUSES AND SOLICITATION PROVISIONS PROTECTION OF GOVERNMENT BUILDINGS, EQUIPMENT AND VEGETATION (1968 FEB) The Contractor shall use reasonable care to avoid damaging existing buildings, equipment, and vegetation (such as trees, shrubs, and grass) on the Government installation. If the Contractor fails to do so and damages any such buildings, equipment, or vegetation, he shall replace or repair the damage at no expense to the Government as directed by the Contracting Officer. If he fails or refuses to make such repair or replacement, the Contractor shall be liable for the cost thereof which may be deducted from the contract price. (End of clause) 7-104.64 Recovery of Nonrecurring Costs on non-US Government Sales of Defense Equipment. In accordance with 4-109 insert the following clause as appropriate. (a) Recovery of Nonrecurring Costs on Foreign Commercial Sales. RECOVERY OF NONRECURRING COSTS ON FOREIGN COMMERCIAL SALES (1969 NOV) (a) In the event the Contractor intends to enter into foreign sales or license agreements for the items in this contract or essentially similar items, he shall promptly notify the Contracting Officer. The Contractor agrees that he will adjust this contract by an amount or amounts calculated to reimburse the Government for a pro rata share of its expenditures for nonrecurring costs applicable to the items. In the event that this contract has been finally settled, adjustment shall be accomplished by payment to the Government. (1) Nonrecurring costs include such costs as research development, test, evaluation, preproduction, facilities, special tooling, special test equipment, production engineering, product improvement, destructive testing, and pilot model production, testing and evaluation. (2) For each foreign sale or license agreement the amount to be reimbursed to the DoD for the DoD nonrecurring costs shall be determined by dividing the total DoD nonrecurring costs, incurred and projected to be incurred, by the total production quantity of the item, past and projected, including the production quantity for the DoD and multiplying the results by the quantity involved in each such sale or license agreement. (3) The phrase "foreign sales or license agreements" includes all sales to or license agreements with foreign buyers, including foreign governments and international organizations, directly by U.S. domestic firms. (b) Notwithstanding the provisions of the clauses of this contract entitled "Patents Rights(Licenses)" and "Rights in Technical Data," the Contractor agrees that his rights to enter into production for foreign sales of the items or essentially similar items are expressly contingent upon compliance with the provisions of this clause provided that the Secretary of Defense or his designec may waive the Government's rights under this clause, in whole or in part, whenever he determines that such action would be in the best interests of the Government. (End of clause) (b) Recovery of Nonrecurring Costs on Domestic Commercial Sales. RECOVERY OF NONRECURRING COSTS ON DOMESTIC COMMERCIAL SALES (1968 SEP) (a) In the event the Contractor intends to enter into domestic commercial sales or license agreements for the items in this contract or essentially similar items, he shall promptly notify the Contracting Officer. The Contractor agrees that he will adjust this contract by an amount or amounts calculated to reimburse the Government for a pro rata share of its expenditures for nonrecurring costs applicable to the items. In the event that this contract has been finally settled, adjustment shall be accomplished by payment to the Government. (1) Nonrecurring costs include such costs as research, development, test, evaluation, preproduction, facilítics, special tooling, special test equipment, production engineering, product improvement, destructive testing, and pilot model production, testing and evaluation. 7-104.64 ARMED SERVICES PROCUREMENT REGULATION CONTRACT CLAUSES AND SOLICITATION PROVISIONS (2) For each domestic commercial sale or license agreement the amount to be reimbursed to the DoD for the DoD nonrecurring costs shall be determined by dividing the total DoD nonrecurring costs, incurred and projected to be incurred, by the total production quantity of the item, past and projected, including the production quantity for the DoD and multiplying the results by the quantity involved in each such sale or license agreement. (3) The phrase "domestic commercial sales or license agreements" includes all domestic, non-U.S. Government sales or license agreements. (b) Notwithstanding the provisions of the clauses of this contract entitled "Patents Rights(Licenses)" and "Rights in Technical Data," the Contractor agrees that his rights to enter into production for domestic commercial sales of the items or essentially similar items are expressly contingent upon compliance with the provisions of this clause provided that the Secretary of Defense or his designee may waive the Government's rights under this clause, in whole or in part, whenever he determines that such action would be in the best interests of the Government. (End of clause) 7-104.65 Insurance. In accordance with 10-405, insert the following clause. INSURANCE (1968 FEB) (a) The Contractor shall, at his own expense, procure and maintain during the entire performance period of this contract insurance of at least the kinds and minimum amounts set forth in the Schedule. (b) At all times during performance, the Contractor shall maintain with the Contracting Officer a current Certificate of Insurance showing at least the insurance required by the Schedule, and providing for thirty (30) days' written notice to the Contracting Officer by the insurance company prior to cancellation or material change in policy coverage. (c) The Contractor shall also require all first-tier subcontractors who will perform work on a Government installation to procure and maintain the insurance required by the Schedule during the entire period of their performance. The Contractor shall furnish (or assure that there has been furnished) to the Contracting Officer a current Certificate of Insurance meeting the requirements of (b) above for each such first-tier subcontractor, at least five (5) days prior to entry of each such subcontractor's personnel on the Government installation. (End of clause) 7-104.66 Use of Excess and Near-Excess Currency. In accordance with 6-1110, insert the following clause. ACQUISITION AND USE OF EXCESS AND NEAR-EXCESS CURRENCY (1967 DEC) The Contractor shall not expend United States dollars for the performance of this contract in any of the countries set forth in the Schedule of this contract for the purchase of currency of such countries or for the purchase of goods or services needed for performance under this contract. The Contractor shall purchase all such currencies from United States disbursing officers in such countries at the rates of exchange used by such officers at the times of purchase. (End of clause) 7-104.67 Clauses for Preservation, Packaging, and Packing Requirements. (a) The following is an example of a clause suitable for use in a contract containing a commodity specification (see 1-1204(b)). PREPARATION FOR DELIVERY (a) Preservation-Packaging. Preservation-Packaging for item(s) shall be level shall be level of the commodity specifi of the commodity specification under which the item is procured. (b) Packing. Packing for item(s) cation under which the item is procured. (End of clause) ARMED SERVICES PROCUREMENT REGULATION CONTRACT CLAUSES AND SOLICITATION PROVISIONS (b) The following is an example of a clause suitable for use in a contract containing a nonspecification item (see 1-1204(b)). 7-104.68 Marking of Shipments. Insert the following clause together with any additional marking instructions applicable in accordance with 1–1204(d). MARKING OF SHIPMENTS (1968 JUN) The Contractor shall mark all shipments under this contract in accordance with the edition of MIL-STD-129, "Marking for Shipment and Storage," in effect as of the date of the solicitation. (Add any additional marking requirements.) (End of clause) 7-104.69 FOB Point of Delivery of Government-Furnished Property. When Government property is to be furnished under a contract and the Government will be responsible for transportation arrangements and costs, insert the following clause. F.O.B. POINT FOR DELIVERY OF GOVERNMENT-FURNISHED PROPERTY (1968 JUN) (a) Unless otherwise specified herein, any Government property furnished to the Contractor for use within the United States (excluding Alaska and Hawaii) or Canada will be delivered by the Government at a point to be specified by the Contractor in his bid (or proposal). Should the Government elect to make delivery by railroad, the f.o.b. point shall be private siding, Contractor's plant. If the Contractor's plant is not served by rail, the f.o.b. point shall be railroad cars in the same or nearest city having rail service. All linehaul transportation costs to the specified destination will be borne by the Government. The Government may choose the mode of transportation and the carriers. (b) If the destination of such Government-furnished property is a Contractor's plant located outside the 48 contiguous states, the District of Columbia and Canada, the f.o.b. point for Government delivery of Government-furnished property shall be a location in the United States (excluding Alaska and Hawaii) specified by the Contractor. If the Contractor fails to name a point, then the f.o.b. point shall be the port city in the United States, nearest to the Government source of the Government-furnished property, which has regular commercial water transportation services to the offshore port nearest Contractor's plant. (c) Unless otherwise directed by the Contracting Officer or provided in the contract, the Contractor shall return all Government-furnished equipment, supplies, and property, including all property not returned in the form of acceptable end items, to the point at which such Government property was originally furnished to the Contractor hereunder. Notwithstanding the fact that the Government may have furnished the property at the Contractor's plant, the Contracting Officer may direct the Contractor to deliver the Government property being returned to, and load, block, and brace it in, railway cars in the city in which the Contractor's plant is located, or, if the Contractor's city is not served by rail service, in the nearest city having rail service. Unless otherwise specified in the contract, all property shall be packed in containers conforming with the 7-104.69 ARMED SERVICES PROCUREMENT REGULATION CONTRACT CLAUSES AND SOLICITATION PROVISIONS rules of common carrier published tariffs so as to be free of penalty charges by the carrier designated for shipment by the Government. (End of clause) 7-104.70 FOB Origin. In accordance with 19-208.2 and 19-208.4(a) or (b), insert the following clause. F.O.B. ORIGIN (1973 APR) The Contractor is responsible for delivery to, and for loading, blocking, and bracing the supplies on, the carrier's vehicle; or for delivery to and placement on the carrier's wharf (at shipside, within reach of the ship's loading tackle, when shipping point is within a port area having water transportation service) or the carrier's freight station; or for delivery to the U. S. Postal Service facility; all at Government's option, whichever place of delivery is specified by the Government at the time of shipment. These Contractor responsibilities are specified for performance at the plant or plants at which such supplies are to be finally inspected and accepted, unless the facilities for shipment by carrier's equipment are not available at the Contractor's plant, in which case they will be performed f.o.b. the point or points in the same or nearest city where the specified carrier's facilities are available; subject, however, to the following qualifications: (i) If the Contractor's shipping plant is located in the same city (or county) listed as a (ii) If the Contractor's shipping plant is located in the State of Alaska or Hawaii, the (End of clause) 7-104.71 FOB Destination. In accordance with 19-208.3, insert the following clause. F.O.B. DESTINATION (1969 APR) Supplies shall be delivered to the destination consignee's wharf (if destination is a port city and supplies are for export), warehouse unloading platform, or receiving dock, at the expense of the Contractor. The Government shall not be liable for any delivery, storage, demurrage, accessorial, or other charges involved prior to the actual delivery (or “constructive placement" as defined in carrier tariffs) of the supplies to the destination, unless such charges are caused by an act or order of the Government acting in its contractual capacity. If rail carrier is used, supplies will be delivered to the specified unloading platform of the consignee. If motor carrier (including "piggyback") is used, supplies will be delivered to truck tailgate at the unloading platform of the consignee. If the Contractor uses rail carrier or freight forwarder for less than carload shipments, he shall assure that the carrier will furnish tailgate delivery if transfer to truck is required to complete delivery to consignee. (End of clause) 7-104.72 FOB Origin—Minimum Size of Shipments. In accordance with 19–208.4(b), insert the following clause. 7-104.72 ARMED SERVICES PROCUREMENT REGULATION |