The term "services" means services other than personal services including, by way of description and without limitation, nonpersonal services; educational or training services; architectural or engineering services; maintenance or repair services; transportation services; utility services; operating and management services; experimental, developmental, or research work; and construction work.

Subpart 9-1.3-General Policies

89-1.301 Methods of procurement.

(a) General. In promoting the primary objective of strengthening the common defense and security rapidly and effectively, there is a great responsibility to protect and preserve competitive enterprise. All practicable steps must be taken to provide for the equitable distribution of contracts among the maximum number of competent suppliers and to avoid the concentration of contracts among a relatively few suppliers.

(b) Procurement by formal advertising. Supplies and services shall generally be procured by formal advertising in accordance with FPR Part 1-2 and Part 9-2.

(c) Procurement by negotiation. Supplies and services may be procured without formal advertising in accordance with the requirements of FPR Part 1-3 and Part 9-3.

(a) Procurement from Government sources. Procurement of certain supplies and services may be effected by orders on Government sources referred to in FPR 1-1.302. It is the policy of the ERDA that such methods of procurement be utilized to the fullest extent practicable, in accordance with applicable laws and regulations. Procurement by the ERDA under the Economy Act of June 30, 1932, as amended (31 U.S.C. 686), shall conform to the requirements of that Act and applicable regulations of the General Accounting Office. Procedures to be followed in procuring from Government sources are set forth in Part 9-5.

(b) Procurement from local trade area sources. In soliciting quotations for small purchases, maximum utilization should be made of the provisions in FPR 1-3.603–1(b) with respect to sources within the trade area in which the procuring activity is located. Regardless of the size of the procurement, however, qualified sources of supply in the local trade area always should be considered.

§9-1.305-1 Mandatory use of Federal Specifications.

(a) The policies and procedures established by FPR 1-1.305 shall be complied with by ERDA for all direct procurement except as provided for in §9–1.305-5.

(b) The paper specification standards published by the Joint Committee on Printing for the purchase of paper to be used on Government-owned printing, binding, and duplicating equipment shall be applied to cost-type contractor procurement. The paper specification standards shall also be used in specifying paper requirements for "Federal printing" as defined in the Government Printing and Binding Regulations.

§9-1.305-3 Deviations from Federal Specifications.

Subject to the requirements of FPR 1-1.305-3, Managers of Field Offices, Heads of Divisions and Offices, Headquarters, or their representatives specifically designated for this purpose, may authorize deviations from Federal Specifications in connection with ERDA direct procurement. In those cases where use of Federal Specifications is required under §9-1.305-1(a), information required by FPR 1-1.305–3(b)(5) with respect to deviations shall be forwarded through channels to the Director of Procurement.

§9–1.305-5 Use of Federal and interim Federal Specifications in construction contracts.

When specifications for ERDA construction are prepared by private firms, Managers of Field Offices and Heads of Divisions or Offices, Headquarters, are responsible for obtaining compliance with the general policies of this subpart to the extent practicable and compatible with meeting program objectives.

89-1.306-1 Mandatory use and applications of Federal Standards.

The policies and procedures established by FPR 1-1.306 for the development and use of Federal Standards shall be complied with by ERDA to the same extent as provided for Federal Specifications in §§9–1.305–1, 9–1.305–3, and 9-1.305-5.

89-1.307 Purchase descriptions.

Specifications should be in such terms as to permit full and free competition among all potential suppliers. However, technical reasons may occasionally exist for using specifications which limit competition by requiring certain types of material or articles, such as replacement parts, auxiliary equipment and tools required for use with major equipment. Restrictive specifications may be used to meet special requirements, provided (a) ERDA needs cannot reasonably be met in any other manner, and (b) a complete justification for the restriction is reduced to writing and included in the contract file.

89-1.310 [Reserved]

89-1.314 Solicitations for informational or planning purposes.

The allowance for the cost of preparing quotations referred to in FPR 1-1.314 shall be determined in accordance with ERDA cost principles set forth in §9-15.5010–13, "Bidding expense and costs of proposals."

89-1.318 Disputes clause.

89-1.318-1 Contracting officer's decision under a Disputes clause.

(a) In addition to the information specified in FPR 1-1.318-1, a decision concerning a dispute which is or may be subject to the Disputes clause also shall include the contracting officer's written findings of fact.

(b) Such decisions shall be expeditiously prepared and transmitted to the contractor, together with a copy of 10 CFR Part 703, and a copy of any rules established by the ERDA Board of Contract Appeals pursuant to 10 CFR 703.101(b).

89-1.350 ERDA Specifications and Standards.

89-1.350-1 Special specifications and standards.

When special specifications or standards are used by a field office or Headquarters on a recurring basis or used by two or more field offices or contractors, consideration should be given to converting them to ERDA specifications. Accordingly, contracting officers are urged to bring to the attention of the Director of Procurement any such special specifications which they believe may be of use to more than one field office. The Director of Procurement will notify field offices of the existence of any ERDA specification:

89-1.351

Distribution of Federal Specifications and Standards.

(a) ERDA does not maintain a central distribution point for specifications and standards. Index of Federal Specifications, Standards, and Handbooks may be obtained by submission of an order from field offices to the Superintendent of Documents, U.S. Government Printing Office, Washington, D.C. 20402. Copies of Federal Specifications and Standards may be obtained in the same manner. Single copies of product specifica

tions required for bidding purposes are available without charge at the Business Service Centers of the General Services Administration Regional Offices. Nongovernment activities should obtain copies of the Index and of Federal Specifications and Standards from the Superintendent of Documents, U.S. Government Printing Office, Washington, D.C. 20402.

(b) Field offices and Headquarters shall maintain current copies of these indexes and supplements and shall maintain files of current copies of Federal Specifications and Standards covering all items which are purchased on a recurring basis for which specifications or standards are available. Managers of Field Offices are responsible for assuring the availability of the indexes and Federal Specifications and Standards to cost-type contrac

tors.

§9-1.352 Department of Defense Index of Specifications and Standards.

These indexes may be obtained from the Superintendent of Documents, Government Printing Office, Washington, D.C. 20402. Copies of Specifications and Standards are ordered from the cognizant Military activity developing each particular specification or standard.

89-1.353 [Reserved]

89-1.354 Prebidding and preproposal conferences.

(a) Wherever considered advantageous, particularly for the more complex, unusual, or large projects, a prebidding or preproposal conference should be held with prospective contractors and their suppliers prior to receipt of bids or proposals in connection with formally advertised or negotiated procurements.

(b) The primary objectives of such conferences are to avoid production and construction problems and contingency items in bids or proposals by:

(1) Outlining principal features of the project.

(2) Answering questions and identifying any ambiguity or obscurity concerning the proposed work and the plans and specifications.

(3) Soliciting prospective contractors' opinions on matters such as feasibility of proposed production or construction techniques and tolerances.

(4) Soliciting prospective contractors' suggested changes in design or in provisions of the proposed contract which could result in more economical production or construction. (c) Such conferences may also be held prior to the issuance of invitations for bids or requests for proposals when the main objective is to obtain the views of prospective contractors on matters such as production or construction techniques.

(d) Changes or clarifications found to be necessary as a result of a prebidding or preproposal conference shall be included in addenda to the invitation for bids or request for proposals.

Subpart 9-1.4-Procurement Authority and Responsibility

89-1.450 General responsibility of contracting officers.

Contracting officers are responsible for:

(a) Executing and administering contracts in such a manner as to safeguard the interest of the United States in contractual relationships and making determinations of fact under contracts;

(b) Advising the contractor by letter or other appropriate means:

(1) The name of any contracting officer's representative, the extent of such representative's authority and any limitations placed thereon;

(2) The name of any site representative or other technical representative designated to provide technical surveillance of the work being performed under the contract, the extent of such representative's authority and any limitations placed thereon.

(c) Using standard contract forms, as required by the FPR and ERDA-PR;

(d) Obtaining all necessary approvals and otherwise complying with applicable directives issued by the Administrator or his designee; Director of Procurement; other Division Directors; and Managers of Field Offices;

(e) Personally signing all contracts and modifications entered into by them (this authority cannot be delegated to others, nor will the signing of contractual documents be accomplished by facsimile stamps or by proxy);

(f) Exercising care, skill, and judgment in all their actions;

(g) Assuring that funds are available and that their authority to subject the Government or its property to any risk is not being exceeded;

(h) Maintaining constant cognizance with respect to contract compliance on the part of the contractor;

(i) Securing the advice of legal, technical, and administrative staffs of the ERDA as to the sufficiency of the contracts prior to their execution;

(j) Initiating any appropriate action necessary to properly assure the satisfactory performance of their contracts;

(k) Knowing and acting within the scope and limitation of their authority.

The business ethics of all persons charged with administration and expenditure of Government funds must be above reproach and suspicion in every respect at all times. It is important that all persons engaged in procurement and related duties adhere to and be guided by the ERDA's policies and instructions on personnel conduct. Detailed rules applicable to the conduct of employees are set forth in 10 CFR Part 700.

89-1.452 Disputes provisions in subcontracts under fixed-price prime contracts.

A contracting officer shall not authorize or approve the inclusion of a provision requiring his decision of disputes and providing for an appeal therefrom to the Administrator or his designee (or any component organization or board) in subcontracts under any fixed-price prime contracts.

Subpart 9-1.5—Contingent Fees

89-1.500 Scope of subpart.

This subpart prescribes the use by ERDA of the "covenant against contingent fees" and sets forth the policies in regard to ERDA direct procurement and cost-type contractor procurement.

$9-1.501 Applicability.

The policies and requirements of FPR Subpart 1-1.5 shall be applied to all ERDA direct and cost-type contractor procurement activities.

89-1.507 Use of Standard Form 119.

89-1.507-1 Form prescribed.

Each Standard Form 119 completed in connection with an ERDA direct contract, together with other relevant information shall be reviewed by the Office of the General Counsel (or the Office of the Chief Counsel in the field) prior to the initiation of appropriate action. An information copy of each such form, together with a record of action taken, shall be forwarded to the Director of Procurement.

Subpart 9-1.6-Debarred, Suspended, and Ineligible Bidders

89-1.600 Scope of subpart.

This subpart implements and supplements the policies and procedures set forth in FPR Subpart 1-1.6 relating to the debarment, suspension, or ineligibility of bidders for any cause.

89-1.602 Establishment and maintenance of a list of concerns or individuals debarred, suspended, or declared ineligible.

The Director of Procurement shall establish and maintain a list of firms or individuals debarred or ineligible for contracts with the ERDA and with ERDA cost-type prime contractors pursuant to FPR 1-1.602. This list shall be designated as the List of Disqualified Bidders and Ineligible Contractors, and its use by all ERDA procuring activities is mandatory. The Director of Procurement shall periodically publish this list and distribute it to ERDA contracting officers.

89-1.602-1 Bases for entry on debarred, suspended, or ineligible list.

The Director of Procurement, shall place all firms and individuals within the categories specified in FPR 1-1.602-1 and 1-1.604 on the List of Disqualified Bidders and Ineligible Contractors as soon as determination is made of debarment or ineligibility. ERDA debarments under FPR 1-1.604 are subject to the procedural requirements in 89-1.606.

89-1.603 Treatment to be accorded firms or individuals in debarred, suspended, or ineligible status.

The Director of Procurement, may determine, pursuant to FPR 1-1.603 (a), that an exception is essential to the public interest for a specific procurement action only. Such action shall be documented to reflect the determination and the justification therefor.

89-1.606 Agency procedure.

89-1.606-1 ERDA procedural requirements.

This section establishes ERDA internal procedures for giving effect to FPR Subpart 1-1.6 as required by FPR 1-1.606.

89-1.606-50 Reporting procedures.

All Headquarters Divisions, Offices, Managers of Field Offices, and contracting officers are responsible for reporting any evidence of offenses or irregularities which may be grounds for debarment or suspension. The report shall be made to the Director of Procurement. The report shall contain a full statement of facts, and shall be supported by appropriate exhibits. If all necessary information is not readily available, a preliminary report shall be forwarded to be followed as soon as practicable by a completely documented report.

89-1.606-51 Collection of information and investigation.

(a) The Director of Procurement, shall collect and evaluate information to determine whether an alleged offense or irregularity warrants the initiation of a debarment proceeding.

(b) The Director of Procurement may request assistance from the Division of Inspection whenever an investigation may be required. The Division of Inspection will make a thorough investigation of the circumstances as expeditiously as possible, and will report the results to the Director of Procurement.

The Director of Procurement, with the concurrence of the Office of the General Counsel, and after consultation with the Division of Inspection, and such offices as he deems appropriate, shall determine whether causes and conditions exist to initiate a debarment action or to issue a notice of suspension.