CLAUSES FOR FIXED-PRICE R&D CONTRACTS 7.304-6 [Reserved] 7.304-7 [Reserved] 7.304-8 Warranty. In accordance with 1.324, an appropriate warranty clause may be inserted. 7.304-50 Notice of Delay. In accordance with the instructions in 7.20550, the clause set forth therein is authorized for use. 7.304-51 Limitation of Government's Obligation. The clause set forth below is authorized for use when all of the following conditions are present: (i) the total fixed price of the contract (including options as defined in Part 1, Subpart 15) is $1,000,000 or more; (ii) the period of performance under the contract is in excess of twelve months or the period of performance overlaps the succeeding fiscal year; (iii) funds are not available to fund the total fixed-price of the contract at the time of entering into the contract; and (iv) initial funding of the contract is not less than fifty percent of the total fixed-price. Notwithstanding the grant of authority to use the clause under the foregoing circumstances, it is emphasized that fixed-price contracts shall be fully funded whereverpossible and that, accordingly, incremental funding of such contracts should be kept to the absolute minimum. Contracting officers are authorized, in appropriate cases, to revise paragraphs (a), (b), and (g) of the clause to specify the work required under the contract in lieu of contract item numbers. LIMITATION OF GOVERNMENT'S OBLIGATION(SEPTEMBER 1974) (a) of the total price of items..... through the sum of $..... is presently available for payment and allotted to this contract. It is anticipated that from time to time additional funds will be allotted to this contract in accordance with the following schedule until the total price of said items is allotted. SCHEDULE FOR ALLOTMENT OF FUNDS (b) The Contractor agrees to perform or have performed work on said items up to the point at which, in the event of termination of this contract pursuant to the clause hereof entitled "Termination for Convenience of the Government," the total amount payable by the Government, (including amounts payable in respect of subcontracts and settlement costs) pursuant to paragraph (e) thereof, would in the exercise of reasonable judgment by the Contractor approximate the total amount at the time allotted to the contract. The Contractor shall not be obligated to continue performance of the work beyond such point. The Government shall not be obligated in any event to pay or reimburse the Contractor in excess of the amount from time to time allotted to the contract, anything to the contrary in the clause hereof entitled "Termination for Convenience of the Government" notwithstanding. (c) It is contemplated that funds presently allotted to this contract will cover the work to be performed until ..... In the event funds allotted are considered by the Contractor to be inadequate to cover the work to be performed until the above date, or an agreed date in substitution thereof, the Contractor shall notify the Contracting Officer in writing when within the next thirty (30) days the work will reach a point at which, in the event of termination of this contract pursuant to the clause hereof entitled "Termination for Convenience of the Government," the total amount payable by the Government (including amounts payable in respect of subcontracts and settlement costs) pursuant to paragraph (e) thereof, will approx NASA PROCUREMENT REGULATION 7.304-51 CONTRACT CLAUSES imate eighty-five percent (85%) of the total amount then allotted to the contract. The notice shall state the estimated date when such point will be reached and the estimated amount of additional funds required to continue performance to the above or an agreed substituted date. The Contractor shall, thirty (30) days prior to the date above written or agreed substituted date, advise the Contracting Officer in writing as to the estimated amount of additional funds which will be required for the timely performance of the contract for a further period as may be specified in the contract or otherwise agreed to by the parties. If after such latter notification, additional funds are not allotted by the date above written or by an agreed date in substitution thereof, the Contracting Officer will, upon written request of the Contractor, terminate this contract on such date or the date set forth in the request, whichever is later, pursuant to the provisions of the clause of this contract entitled "Termination for Convenience of the Government." (d) When additional funds are allotted from time to time for continued perfomance of the work under this contract, the parties shall agree on the applicable period of contract performance which shall be covered by such funds. The provisions of paragraphs (b) and (c) above shall apply to such additional allotted funds and substituted date pertaining thereto and the contract amended accordingly. (e) If the Contractor incurs additional costs, or is delayed in the performance of the work under this contract, solely by reason of the failure of the Government to allot additional funds in amounts sufficient for the timely performance of this contract, and if additional funds are allotted, an equitable adjustment shall be made in the price or prices (including appropriate target, billing and ceiling prices where applicable) of said items or in the time of delivery or both. Failure to agree to any such equitable adjustment hereunder shall be a dispute concerning a question of fact within the meaning of the clause of this contract entitled "Disputes." (f) The Government may at any time prior to termination, and, with the consent of the Contractor, after notice of termination, allot additional funds for this contract. (g) The provisions of this clause with respect to termination shall in no way be deemed to limit the rights of the Government under the clause hereof entitled "Default." The provisions of this clause are limited to the work on and allotment of funds for the items set forth in (a) above. This clause shall become inoperative upon the allotment of funds for the total price of said work except for rights and obligations then existing under this clause. (h) Nothing in this clause shall affect the right of the Government to terminate this contract pursuant to the clause of this contract entitled "Termination for Convenience of the Government." 7.304-52 through 7.304-58 [Reserved] 7.304-59 Price Escalation. The clauses set forth in 7.106 and 7.107 are authorized for use in accordance with the instructions set forth therein. 7.304-60 Incentive Price Revision. The clause set forth in 7.108 is authorized for use in accordance with the instructions set forth therein. 7.304-61 Special Tooling. Where special tooling is to be acquired by the contractor, the clause set forth in 13.704 is authorized for use in accordance with instructions contained therein. 7.350 Short Form Clauses for Fixed-Price Research Contracts With Nonprofit Institutions. Notwithstanding the provisions of 7.302 and 7.303, the short form clauses set forth or referred to in this paragraph 7.350 shall be used in fixed-price contracts for basic or applied research with nonprofit institutions of higher education, or with nonprofit institutions whose primary purpose is the conduct of scientific research, when a short form contract is desired. 7.350-1 Definitions. Insert the clause set forth in 7.103-1. 7.350-2 Payment. 7.304-52 CFR TITLE 41 CHAPTER 18 CLAUSES FOR FIXED-PRICE R&D CONTRACTS PAYMENT (MARCH 1969) (a) Payment will be made to the Contractor as set forth in the Schedule upon submission of status reports indicating the portion of the work which has been performed and after acceptance by the Contracting officer. The status reports shall also contain a concise statement of the work which has been performed. (b) A prerequisite to final payment is the submission by the Contractor of a statement of the amount of funds expended in the performance of this contract and the furnishing to the Contracting Officer, a nd his acceptance, of the technical reports and patent reports required by this contract. be (c) Status reports, statements of funds expended, and technical reports required by this contract shall submitted by the Contractor directly to the Contracting Officer for the purpose of determining acceptability of such reports and statements. the 7.350-3 Fights in Data. Insert the appropriate clause as prescribed by 9.203. 7.350-4 Government-Furnished Property. In accordance with the requirements of 13.710, insert the clause set forth therein. 7.350-5 Release of Information. RELEASE OF INFORMATION (SEPTEMBER 1962) It is the intent of NASA that the useful research information obtained under this contract be published either by NASA or in technical journals. Reports to be published by NASA should be prepared insofar as practicable in accordance with NASA editorial forn. Three (3) copies of the manuscript containing research information obtained under this contract shall be furnished to NASA prior to release of the information by formal oral presentation or for publication in a technical journal. Appropriate credits to NASA will be included in any formal oral presentation or published article. Twenty (20) reprints of articles published in journals shall be furnished to NASA. 7.350-6 Security. If SECURITY (SEPTEMBER 1962) the subject matter of this contract is classified in the interest of national security, or if it appears NASA PROCUREMENT REGULATION CONTRACT CLAUSES that performance on the contract will require access to classified information, the Contractor shall be governed by a Department of Defense Security Agreement (DD Form 441), and the attachment thereto, "The Industrial Security Manual for Safeguarding Classified Information." Further, if information or Baterial is developed pursuant to this contract which appears to require protection in the interest of national security, the Contractor shall notify NASA immediately in order that the appropriate classification category may be assigned, and a Security Agreement executed, if necessary. 7.350-7 New Technology, Insert the "New Technology" (Short Form) clause of 9.107-6. 7.350-8 Disputes. Insert the clause set forth in 7.103-12. 7.350-9 Termination at the Option of the Government. TERMINATION AT THE OPTION OF THE GOVERNMENT The performance of work under this contract may be terminated by the Government in whole or in part, whenever the Contracting Officer shall determine that such action is in the best interest of the Government. If this contract is so terminated, fair compensation for work performed will be provided for the Contractor. 7.350-10 Authorization and Consent. Insert the clause set forth in 9.102 (b). 7.350-11 Notice and Assistance Regarding Patent and Copyright Infringement. Insert the clause set forth in 9.104. 7.350-12 Buy American Act. Insert the clause set forth in 6.104-5. 7.350-13 Exa ni nation of Records by Comptroller General. Insert the clause set forth in 7.104-15. 7.350-14 Equal Opportunity. In accordance with the provisions of 12.804, insert the appropriate clause set forth therein 7.350-15 Covenant Against Contingent Fees. Insert the clause set forth in 1.503. 7.350-16 Officials Not To Benefit. Insert the clause set forth in 7.103-19. 7.350-17 Convict Labor. In accordance with Part 12, Subpart 2, insert the clause set forth in 7.104-17. CFR TITLE 41 CHAPTER 18 CLAUSES FOR FIXED-PRICE R&D CONTRACTS 7.350-18 Audit By National Aeronautics and Space Administration In accordance with 7. 104-42 (a), insert the clause set forth therein. 7.350-19 Cost Accounting Standards. In accordance with 3.1204, insert the clause set forth in 7.104-55. 2.350-20 Additional Clauses. When circumstances justify it, the clauses prescribed in 7.302, 7.303, and 7.304 may be added to or substituted for the clauses set forth in 7.350-1 through 7.350-19; however, care should be exercised to en sure that there are Do inconsistencies. 7.350-21 Clean Air and Water. Insert the clause set forth in 1.2302-2 7.350-22 Notice of Intent to Disallow or Not Recognize Costa. Insert the clause in 7.203-30 in all fixed-price incentive contracts and contracts providing for price redeter■ination. NASA PROCUREMENT REGULATION |