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7:416

CONTRACT CLAUSES AND SOLICITATION PROVISIONS

7-1302.4 Warning, Suspension, Default and Reinstatement.

WARNING (1969 DEC)

The Government shall notify the Contractor orally or in writing of any failure to meet sanitary standards, or when two of the last four consecutive lots tested are nonconforming for the same specification requirement. Oral notifications will be confirmed in writing. When this notice is based on product nonconformance, it shall be in effect so long as two of the last four consecutive lots tested exceed the same limit of the specification. An additional sample shall be taken within fourteen (14) days of such notice, but not before three (3) days have elapsed.

(End of clause)

SUSPENSION (1969 DEC)

The Contractor's right to perform may be suspended when three out of the last five consecutive lots tested are nonconforming for the same specification requirement. This suspension shall not operate to extend the life of this contract and shall not be considered sufficient cause for the extension of any delivery time. During the period of any such suspension, the Government may procure from other sources, upon such terms and in such a manner as the Contracting Officer may deem appropriate, supplies similar to those specified in the Schedule, and the Contractor shall be liable to the Government for any excess costs for such similar supplies. It is the responsibility of the Contractor to use the period of suspension to effect corrections of deficiencies and to notify the Government when such corrections are completed. Concurrently with initial notification, or any time after notification, but prior to correction of deficiencies and notification to the Government thereof, the contractor's right to perform under this contract may be partially or wholly suspended immediately if such failure results in the production of a product which is considered to be a health hazard. Any suspension shall not exceed ten (10) days.

(End of clause)

If an indefinite quantity contract as defined in 3-409.3 is used, rather than a requirements contract, the following shall be added to the foregoing clause:

The quantity of supplies designated in the Schedule as "Minimum" shall be reduced, in the event of a suspension, by an amount proportionate to the ratio between the number of days the Contractor's right to perform is suspended and the number of days in the contract period. The quantity of supplies designated as "Maximum" shall not be reduced.

DEFAULT (1969 DEC)

If the Contractor does not correct the deficiencies within this period of suspension, the Contracting Officer may terminate the unexpired portion of this contract for default without allowing additional time for correction; notwithstanding subparagraph (a)(ii) of the clause entitled "Default."

(End of clause)

REINSTATEMENT (1969 DEC)

When the Contractor's right to perform has been suspended for product nonconformances, this right may be reinstated only after the Contractor certifies, in writing, that corrective action has been taken, and the Government has verified that the Contractor has taken corrective action to its satisfaction and has so notified the Contractor in writing.

(End of clause)

7-1302.4

ARMED SERVICES PROCUREMENT REGULATION

CONTRACT CLAUSES AND SOLICITATION PROVISIONS

7-1302.5 Chemical and Microbiological Requirements (Fresh Dairy Foods). (a) Chemical Requirements. Fresh dairy foods shall meet the chemical requirements of each fresh dairy food specification cited in the contract on the date of award.

(b) Microbiological Requirements. Milk and milk products as defined in DoD Handbook No. H-57, Supplement A, shall meet microbiological requirements stated in the Public Health Service Publication 229 in effect on the date of award. In the event of conflict between these requirements and individual product specifications, the requirements of Public Health Service Publication 229 shall

govern.

(c) Cultured Products. Cultured products shall meet the coliform requirements as specified in the Public Health Service Publication 229 in effect on the date of award. In the event of conflict between these requirements and individual product specifications, the requirements of Public Health Service Publication 229 shall govern.

7-1303 Clauses To Be Used When Applicable.

7-1303.1 Code Dating. If a Schedule or specification provision requires the labels of one or more items to show the date of pasteurization, manufacture, production, or processing, a clause substantially as follows may be included to permit the use of a coding system.

CODE DATING (1967 APR)

A code may be used to comply with the requirement set forth in the Schedule or specifications of this contract for showing a date on the labels of items delivered hereunder, provided that, prior to the use of a code, a written explanation thereof is furnished to the Contracting Officer and approved by him in writing. No changes in the code symbols, code system or explanation thereof, shall be made without the advance written approval of the Contracting Officer.

(End of clause)

7-1303.2 Marking. A clause substantially as follows shall be included, unless a provision is inserted in the Schedule specifically requiring supplies to be marked in accordance with MIL-STD-129, "Marking for Shipment and Storage."

MARKING (1967 APR)

Notwithstanding any specification references to MIL-STD-129, commercial markings are ac

ceptable.

(End of clause)

7-1303.3 Responsibility for Containers and Equipment. The following clause shall be included in contracts in which the contractor provides reusable containers and equipment.

RESPONSIBILITY FOR CONTAINERS AND EQUIPMENT (1967 APR)

The Contractor shall maintain all reusable containers and equipment in a sanitary condition and in a good state of repair and working order. At the time of each delivery, the Contractor shall remove from the premises of the Government all empty reusable containers, unless the Contracting Officer grants permission in writing for less frequent removal. The Government shall not be liable for any damage to, or loss or destruction of, containers and equipment furnished by the Con

tractor.

(End of clause)

7-1303.3

ARMED SERVICES PROCUREMENT REGULATION

CONTRACT CLAUSES AND SOLICITATION PROVISIONS

7-1303.4 Fluid Milk Contracts. All contracts which require the delivery in the United States of any item of "fluid milk for beverage purposes" and in which the period of performance exceeds three months shall include the following clause.

PRICE ADJUSTMENT FOR FLUID MILK FOR BEVERAGE PURPOSES (1967 MAR)

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(a) For the purpose of this clause the term, "fluid milk for beverage purposes,' means fresh whole milk, skim milk, buttermilk, flavored milk, flavored milk drinks, recombined milk, cream, half and half, and lowfat milk.

(b) For the purposes of this clause, action by the United States Secretary of Agriculture for which a price adjustment may be made includes, but is not limited to, amendment, suspension, institution or termination of the provisions of any applicable Federal Milk Marketing Order, and direct changes in the support prices under the dairy price support program. A price adjustment will not be made where a change in the Contractor's direct costs for fluid milk results merely from the normal operation of a price-formula contained in any applicable Federal Milk Marketing Order except as influenced by changes in the dairy price support program.

(c) In the event that action by the United States Secretary of Agriculture subsequent to the date of bid opening, if this is a contract entered into by formal advertising, or the contract date if this is a negotiated contract, causes an increase or decrease in the Contractor's direct costs of fluid milk used or to be used to furnish items of fluid milk for beverage purposes under this contract, the contract price shall direct costs of fluid milk used or to be used to furnish items of fluid milk for beverage purposes under this contract, the contract price shall be increased or decreased by an amount equal to the changes in the Contractor's direct costs of fluid milk which were caused by such action. No price adjustment shall be made with respect to deliveries during the first three (3) month period of the contract.

(d) If action by the United States Secretary of Agriculture is taken during the first or any subsequent three (3) month period of the contract, the Contractor within five (5) days after completion of the deliveries for each such period shall furnish to the Contracting Officer a written notice stating whether such action increased, decreased, or caused no change in the Contractor's direct cost for fluid milk used or to be used in the performance of the contract. This notice shall include the Contractor's proposal for a price adjustment and pertinent documentary evidence or other information explaining: (i) the effective date and the amount of any increase or decrease in the Contractor's direct cost of fluid milk used or to be used in the performance of the contract; (ii) the Contractor's direct fluid milk cost used in computing the contract price prior to adjustment; and (iii) how his direct costs for fluid milk were affected by the action of the United States Secretary of Agriculture or that such costs were unaffected by such action. The notice shall be supplemented by such additional information as the Contracting Officer may request. Within thirty (30) days from receipt of the Contractor's proposal, the Contracting Officer shall adjust the contract prices for deliveries already made (except those made during the first three (3) month period of the contract) and for deliveries to be made under the balance of the contract, or advise the Contractor why the requested adjustment will not be made.

(e) The Contracting Officer may examine the Contractor's books, records and other supporting data relevant to the Contractor's direct costs of the fluid milk used or to be used in the performance of this contract, during all reasonable times until three (3) years after final payment under this contract.

(End of clause)

7-1303.5 Solicitations for Fluid Milk. The following provision shall be included in all solicitations for fluid milk for beverage purposes which contain the clause in 7-1303.4.

7-1303.5

ARMED SERVICES PROCUREMENT REGULATION

7:419

CONTRACT CLAUSES AND SOLICITATION PROVISIONS

EVALUATION OF BIDS

Notwithstanding the provisions of the clause entitled "Price Adjustment for Fluid Milk for Beverage Purposes," bids or offers shall be evaluated on the basis of quoted prices without the possible adjustments being considered. (1967 MAR)

(End of provision)

7-1303.6 Containers and Equipment. If the contractor is to furnish cabinets for dispensing milk from bulk containers, a notice so stating shall be included in the Schedule of solicitations and resultant contracts. The notice shall state (i) the number of dispenser cabinets required, or a reasonably accurate estimate thereof, (ii) whether metal stands for the cabinets are required, (iii) the number of cabinets required with a capacity of two containers each, and (iv) the number required with a capacity of three containers each. In addition, the following clause shall be included in the contract.

CONTAINERS AND EQUIPMENT (1967 APR)

(a) Dispenser containers and filling equipment used by the Contractor in the performance of this contract, and any refrigerated bulk milk dispenser cabinets furnished by the Contractor, shall comply with MIL-STD-175, "Minimum Sanitary Standards for the Equipment and Methods for the Handling of Milk and Milk Products in Bulk Milk Dispensing Operations," as amended.

(b) Any bulk milk dispenser cabinets required by the Schedule to be furnished by the Contractor shall be installed, serviced, and maintained to the satisfaction of the Contracting Officer. All responsibility for the supply, installation, maintenance, and removal thereof, including labor and material costs, and for any damage thereto or loss or destruction, shall remain with the Contrac

tor.

(c) When, and for as long as, the Contractor fails to furnish bulk milk dispenser cabinets or milk dispenser containers as required in the Schedule, or does not properly service, maintain, and repair said dispenser cabinets, so that milk cannot be dispensed as needed by the Government, the Contractor shall deliver a sufficient quantity of milk in half-pint containers to satisfy orders for milk dispenser containers, at the price per gallon for milk dispenser containers.

(d) Any contamination, spoilage, leakage, or other loss of any contents of a dispenser container due to functional failure of the dispenser cabinets or dispenser containers, except for a general power failure at the Government installation, shall be replaced immediately by the Contractor without cost to the Government.

(e) The tare weight of dispenser containers required to be certified in accordance with paragraph (b) of the clause entitled “Examination and Testing" shall include all parts of the container delivered as a complete unit, including lids, tubes, and seals.

(End of clause)

7-1303.6

ARMED SERVICES PROCUREMENT REGULATION

CONTRACT CLAUSES AND SOLICITATION PROVISIONS

Part 14-Laundry and Dry Cleaning Contracts

7-1400 Scope of Part. This Part sets forth special uniform contract clauses for laundry and dry cleaning contracts (see Section XXII, Part 7). These clauses are to be used in addition to other required or applicable clauses prescribed by Section VII, Part 19.

7-1401 Required Clauses.

7-1401.1 Activities.

ACTIVITIES (1967 APR)

Activities to be covered by this contract are:

(End of clause)

7-1401.2 Contract Period.

CONTRACT PERIOD (1967 APR)

Any contract awarded as a result of bids submitted under this Invitation for Bids shall extend from or date of contract award, whichever is later, through both dates inclusive, unless sooner terminated under the terms of the contract.

7-1401.3 Specifications.

(End of clause)

SPECIFICATIONS (1968 FEB)

All work under this contract shall be accomplished in accordance with specifications MILSTD-665A and MIL-STD-666A, amendments or revisions thereto, and any other Federal or Military Specifications or Standards cited herein.

(End of clause)

7-1401.4 Pickup and Delivery Points and Times.

PICKUP AND DELIVERY POINTS AND TIMES (1967 APR)

The locations for pickup and delivery and the times therefor are set forth below.

Location
Pickup Time
Delivery Time

The unit prices include (do not include) all pickup and delivery charges.

7-1401.5 Count of Articles.

(End of clause)

COUNT OF ARTICLES (1967 APR)

(a) The Contractor shall be liable for return of the number and kind of articles furnished for service under this contract, in accordance with the count of the Contracting Officer, or the number and kind of articles agreed upon as a result of a joint count by the Contractor and the Contracting Officer at the time of delivery to the Contractor.

(b) Delivery tickets in the number of copies required, and in the form approved by the Contracting Officer shall be completed by the Contractor at the time of his receipt of the articles to be serviced. One copy of each delivery ticket shall accompany the Contractor's invoice.

(End of clause)
7-1401.5

ARMED SERVICES PROCUREMENT REGULATION

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