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CONTRACT CLAUSES AND SOLICITATION PROVISIONS

Part 5-Personal Services Contracts

7-500 Scope of Part. This Part sets forth uniform contract clauses for use in personal services contracts referred to in 7-502.

7-501 Reserved.

7-502 Applicability. As used throughout this Part, the term "personal services contract" applies only to a contract entered into with an individual, other than an alien scientist, for personal services to be performed by that individual under Government supervision and paid for on a time basis. It does not apply to contracts with firms or organizations.

7-503 Required Clauses. The following clauses shall be inserted in all personal services contracts, except as indicated:

7-503.1 Definitions. Insert the contract clause in 7-103.1, omitting subparagraph (c).

7-503.2 Payments.

PAYMENTS (1958 JAN)

Payment for the services performed by the Contractor, as set forth in the Schedule of this contract, shall be made at the rates prescribed, upon the submission by the Contractor of proper invoices or time statements to the office or officer designated herein and at the time provided for herein. In addition to the foregoing the Contractor shall be paid (i) a per diem rate in lieu of subsistence for each day the Contractor is in a travel status away from his home or regular place of employment in accordance with Standardized Government Travel Regulations as authorized in appropriate Travel Orders; and (ii) such other transportation expenses as may be provided for in the Schedule.

7-503.3 Assignment of Claims.

ASSIGNMENT OF CLAIMS (1953 JAN)

(End of clause)

No claim arising under this contract shall be transferred or assigned by the Contractor.

(End of clause)

7-503.4 Disputes. In accordance with 7-103.12, insert the clause therein. 7-503.5 Officials Not To Benefit. Insert the contract clause in 7-103.19, omitting the final phrase which begins, “but this provision ***.”

7-503.6 Covenant Against Contingent Fees. Insert the contract clause in 7-103.20.

7-503.7 Termination.

TERMINATION (1953 JAN)

This contract may be terminated by the Government at any time within the period of its duration upon not less than 15 days' written notice by the Contracting Officer to the Contractor. The Contractor, with the written consent of the Contracting Officer, may terminate this contract upon not less than 15 days' written notice to the Contracting Officer, and the consent of the Contracting Officer shall not unreasonably be withheld.

(End of clause)

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7-503.8 Approval of Contract.

APPROVAL OF CONTRACT (1953 JAN)

This contract shall be subject to the written approval of the Secretary or his duly authorized representative and shall not be binding until so approved.

(End of clause)

7-503.9 Patents. In accordance with 9-108, insert the following clause.

PATENT RIGHTS (1975 AUG)

(a) For the purpose of determining the rights of the Government and the Contractor in and to inventions, the Contractor agrees to be bound by all provisions of Executive Order 10096, dated 23 January 1950, and any orders, rules, regulations, or the like issued thereunder.

(b) The Contractor shall: (i) make written disclosure promptly to the Contracting Officer of all inventions of the Contractor which are conceived or first actually reduced to practice during the term of this contract, and sign and execute all papers necessary for conveying to the Government the right to which the Government is entitled in accordance with the determination made under the provisions of Executive Order 10096, or (ii) certify to the Contracting Officer that, to the best of the Contractor's knowledge and belief, no inventions have been conceived or first actually reduced to practice during the term of this contract.

(End of clauDE)

7-503.10 Pricing of Adjustments. Insert the clause in 7-103.26.

7-504 Clauses To Be Used When Applicable.

7-504.1 Military Security Requirements.

(a) Except as provided in (b) below, insert the Military Security Requirements clause in accordance with 7-104.12.

(b) In any cost reimbursement type contract, insert the Military Security Requirements clause in accordance with 7-204.12.

7-504.2 Rights in Data. In accordance with 7-104.9, insert the appropriate clause, or clauses, therein. Specific consideration should be given to the use of the clause in 7-104.9 (e) when the duties of the contractor will involve the preparation of works in which the Government may desire to obtain copyright protection.

7-504.3 Interest. In accordance with E-620, insert the clause in 7-104.39. 7-504.4 Government Property.

(a) Fixed Price Contracts. Insert the appropriate clause or clauses in 7-104.24.

(b) Cost Reimbursement Contracts. Insert the clause in 7-203.21. 7-504.5 Order of Precedence. In accordance with 3-501(b)Sec.C(xxxi), insert the clause in 7-2003.41.

7-504.6 United States Products and Services (Balance of Payments Program). In accordance with Section VI, Part 8, insert the clause in 7-2003.53.

7-504.7 Identification of Expenditures in the United States. In accordance with 6-807, insert the clause in 7-104.58.

7-504.8 Use of Excess and Near Excess Currency. In accordance with 6-1110, insert the clause in 7-104.66.

7-504.9 Production Progress Report. In accordance with 25-202, insert the clause in 7-104.51.

7-504.10 Examination of Records by Comptroller General. In accordance with 7-104.15, insert the clause therein.

7-504.11 Management Systems Requirements. In accordance with 16–827.1, insert the clause in 7-104.50.

7-504.12 Payment of Interest on Contractors' Claims. In accordance with 1-333, insert the clause in 7-104.82.

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7-504.13 Availability of Funds. In accordance with 1-318, insert one of the clauses in 7-104.91.

7-504.14 Term of Performance or Delivery Date. When applicable, a clause in accordance with 7–104.92 may be used.

7-504.15 Preference for United States Flag Air Carriers. In accordance with 1-336.1(b), insert the clause in 7-104.95.

7-504.16 Privacy Act. In accordance with 1-327.1, insert the clause in

7-104.96.

7-504.17 Preference for Domestic Specialty Metals. In accordance with 7-104.93, insert the applicable clause therein.

7-505 Additional Clause. The following clause shall be inserted in personal services contracts in accordance with Departmental procedures when it is desired to cover the subject matter thereof in such contracts.

7-505.1 Alterations in Contract. In accordance with 7-105.1(a), insert the clause therein.

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Part 6-Construction and Architect-Engineer Contracts

7-600 Scope of Part. This Part sets forth uniform contract clauses for use in connection with the procurement of construction (see 18-100) and of architectengineer services for the production and delivery of designs, plans, drawings and specifications, or for supervision and inspection of construction, or both.

7-601 General. As used throughout this Part, the term "construction contract" means any contract (other than one entered into on Standard Form 19 or DD Form 1155 (see 16-401.2, 16-402.2, and 18-302), a letter contract, a notice of award, or a modification not effecting new procurement) which is for construction as defined in 18-101.1.

7-602 Required Clauses for Fixed-Price Construction Contracts. The following clauses shall be inserted in all fixed-price construction contracts, except as otherwise provided in this Part.

7-602.1 Definitions.

DEFINITIONS (1964 JUN)

(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 any person or persons or board (other than the Contracting Officer) authorized to act for 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 Government and includes a duly appointed successor or authorized representative. (End of clause)

Additional definitions may be included provided they are not inconsistent with the foregoing clause or the provisions of this Regulation.

7-602.2 Specifications and Drawings.

SPECIFICATIONS AND DRAWINGS (1964 JUN)

The Contractor shall keep on the work a copy of the drawings and specifications and shall at all times give the Contracting 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 specifications 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 adjustment 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.

7-602.3 Changes.

(End of clause)

CHANGES (1968 FEB)

(a) The Contracting Officer may, at any time, without notice to the suretics, 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:

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(i) in the specifications (including drawings and designs);

(ii) in the method or manner of performance of the work;

7:273

(iii) in the Government-furnished facilities, equipment, materials, services, or site; or

(iv) 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, instruction, 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 Contractor 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 change under this clause causes an increase or decrease in the Contractor's cost of, or the time required for, the performance of any part of the work under this contract, whether or not changed by any order, an equitable adjustment shall be made and the contract modified in writing 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 increased 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 this period is extended by the Government. The statement 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.

(End of clause)

In the foregoing clause, the period of “30 days” within which any claim for adjustment must be asserted may be varied in accordance with Departmental procedures. In accordance with 10 U.S.C. 2306(f), prior to the pricing of any change order that is 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, the contracting officer shall require the contractor to furnish a Certificate of Current Cost or Pricing Data (see 3-807.6) and shall assure that the contract includes or is modified to include a defective pricing data clause (see 7-104.29).

7-602.4 Differing Site Conditions.

DIFFERING SITE CONDITIONS (1968 FEB)

(a) The Contractor shall promptly, and before such conditions 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 unusual nature, differing materially from those ordinarily encountered and generally recognized as inhering in work of the character provided for in this contract. The Contracting 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.

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7-602.4

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