(a) The contractor, in accordance with his/her normal field communication procedures; or,

(b) The Mission Executive Officer, by use of his/her normal internal Mission information procedures. (See paragraph 5(d)(2) of this section).

5. Duties and Responsibilities (a) Contracting Officer. (1) Upon signing each contract, forwards the contract together with three completed copies of form AID 1420-2*, AID Cost-Reimbursement Contract Allowances-Applicability of Standardized Regulations, to the Office of Contract Management, Support Division (Attention: M/SER/CM/SD/SS, Statistical Section), indicating on the form whether the contractor needs to be supplied with Government travel and allowance regulations.

(2) If the Government travel and allowance regulations do apply, forwards copy No. 4 of Form AID 1420-2 to the appropriate Mission Executive Officer.

(3) Retains copy No. 5 of form AID 1420-2 for his/her record.

(b) Statistical Section, M/SER/CM/ SD/SS. (1) Maintains a current file on all cost-reimbursement contractors to which the Government travel and allowance regulations apply, and annually supplies a revised list of such contractors to the Office of Management Operations, Distribution Branch M/ SER/MO/PUM.

(2) Notifies M/SER/MO/PUM of all changes to the list using form AID 1420-2.

(c) Distribution Branch, M/SER/ MO/PUM. (1) Prepares for mailing to each contractor, upon addition of its name to the M/SER/CM/SD/SS distribution list, a complete set of the Government travel and allowance regulations.

(2) Following any change in the Government travel or allowance regulations, mails to each contractor on the current M/SER/CM/SD/SS distribution list all revisions to such regulations.

(3) Keeps the distribution list, J-27, updated as instructed by M/SER/CM/ SD/SS.

(d) Mission Executive Officer. (1) Maintains a current file of all con

tracts affected by changes in the Government travel or allowance regulations. (See paragraph 5(a) of this section.)

(2) Promptly notifies each appropriate contractor's Chief of Party in writing of all relevant changes in the Government travel or allowance regulations and their effective date.

(41 CFR 7-1.008-51)

[46 FR 31568, June 16, 1981, as amended at 48 FR 30368, July 1, 1983]]

APPENDIX E-LOGISTIC SUPPORT OVERSEAS TO AID-DIRECT CONTRACTORS

1. General

(a) Purpose. In furtherance of AID's objectives to: (1) Increase the utilization of contractors in accordance with section 621 of the Foreign Assistance Act of 1961, as amended, (FAA), (2) reduce the administration burden on the AID establishment in cooperating countries, and (3) ensure, in accordance with section 636(h) of the FAA, that to the maximum extent possible local costs are met from cooperating country funds or United States (U.S.) Government-owned local currency rather than from U.S. dollars, the following policies govern the financing and provision in kind of logistic support overseas to AID-direct contractors.

(b) Scope. "Logistic support overseas" means the financing of or furnishing to a contractor, its employees, and their dependents (in accordance with the provisions of the contract) items such as transportation of personnel, personal goods and commodities; quarters, furnishings, equipment, utilities, and supplies for residence and office; and maintenance and other supporting services, including medical facilities.

2. Policy

(a) Financing of Logistic Support. (1) Local Currency Financing. Consistent with the requirements of AID Handbook 19, Financial Management, local currencies are to be used wherever feasible in lieu of dollars to defray the costs of contractor logistic sup

port, whether such support is arranged for by the contractor, the cooperating country, or AID. Such local currencies will be contributed from the following sources in descending order of preference:

(i) The cooperating country's own budgetary or private resources;

(ii) Cooperating country-owned local currency generated through AID or Pub. L. 480 programs; and

(iii) U.S. Government-owned country-use local currency generated through AID or Pub. L. 480 programs.

(2) Dollar Financing. AID dollars are used to finance logistic support overseas only when no reasonable alternative exists by which such support can be financed with local currency or provided in kind.

(b) Arrangements for Logistics Support. Each mission should assess the local logistical support situation and determine which method is best suited for its program or individual projects. While the following three options are listed in descending order of preference, the Mission is encouraged to use the option which is in the best interest of the project:

(1) Arrangements by the contractor itself where feasible and reasonably economical. (It is assumed that this test will be met in the case of virtually all construction contracts and in most of the larger engineering and technical assistance contracts.)

(2) Arrangements by the cooperating country where these would be timely, adequate, and feasible in terms of the country's economic and administrative

resources.

(3) Arrangements by the mission alone or jointly with either or both of the other parties, in those cases where the Mission Director determines that adequate and timely logistic support at reasonable cost cannot be assured through the other options. In such cases, and when direct hire resources are inadequate, the mission is encouraged wherever feasible, to contract for assistance in providing logistic support. Guidance on logistic support contracts should be obtained from SER/ CM and GC.

(c) Medical Facilities. AID and the Department of State have an agreement whereby the latter furnishes cer

tain medical services, on an availability basis, to all eligible U.S. citizen contract personnel performing economic assistance functions abroad under the Foreign Assistance Act, and to their authorized dependents overseas with funding via Shared Administrative Support (SAS) Budgets. These services are provided at post to such personnel to the same extent as for AID direct-hire personnel. They are provided at no cost to the contractor or to the personnel. The medical services to be provided exclude: (1) Evacuation or hospitalization, and (2) entrance, in-service, fitness for duty, and separation medical examinations.

(1) Eligible Personnel. (i) Eligible contractor personnel are those U.S. citizens serving abroad, and their authorized dependents, who are engaged under a contract between a contractor and AID or who are engaged under a subcontract thereto.

(ii) Employees of other U.S. Government agencies serving under Participating Agency Service Agreement (PASA's) with AID are also eligible pursuant to the terms of General Agreements between AID and their parent agencies.

(iii) U.S. citizens serving under cooperating country contracts financed from AID loan or grant funds are not "AID contractor employees" and thus not eligible except with the approval of the Ambassador. Third country national employees of AID contractors are not U.S. citizens and thus are not eligible except with the approval of the Ambassador. Americans serving under operational expert (OPEX) type contracts to which AID is not a signatory are also not "AID contractor employees." Most OPEX employees are provided a lump-sum amount to finance their participation in a group health program in lieu of receiving any U.S. Government health services.

(iv) AID or other direct-hire U.S. Government employees working under formal detail to multilateral or other non-U.S. agencies obtain health services on the same basis as their nonU.S. co-workers unless the provisions governing detail of the U.S. employees specifically provide for their access to available U.S. Government facilities.

(v) It is recognized that emergency situations will arise involving OPEX or other Americans who are not "AID contractor personnel" as defined above. Such cases are to be handled by the Medical Officer or other post officials pursuant to their procedures for handling an emergency health problem of any non-official American requesting assistance.

(2) Services To Be Provided. Embassy physician, nurse, and health room services are provided, in countries where and when these are available, including:

(i) Immunizations and preventive health measures;

(ii) Diagnostic examinations and advice;

(iii) Emergency treatment;

(iv) Home visits as medically indicated.

(d) Other Post Privileges. Privileges such as the use of APO, PX's, commissaries, and officers clubs are established at posts abroad pursuant to agreements between the U.S. and cooperating governments. Normally, these facilities are not available to contractor employees. However, in those cases where the facilities are open to contractor personnel, they may be used.

(e) Uniformity. Every effort should be made by each mission to foster the development of country-wide standards for comparable classes of contractors. In all instances, logistic support is to be provided at the minimum level necessary to assure efficient, economical, and effective contractor perform

ance.

Exceptions.

(f) Exceptions from these policies, except as permitted by paragraph 2(b)(3) above, are made in writing by the responsible Assistant Administrator or his designee for such purposes.

3. Contract Implementation Each PIO/T shall indicate on page 3 each type of logistic support which is to be made available, either in cash or in kind, by the cooperating country, the mission, and the contractor itself. The contracting officer shall ensure that the contract reflects the information contained in the PIO/T.

4. Additional Instructions for Medical Support

(a) Notifications. (1) The AID contracting officer shall notify the contractor of any potentially available medical benefits prior to the execution of the contract.

(2) The Mission Executive Officer notifies the contractor's Chief of Party at the post of the locally available medical benefits.

(b) Identification of Eligible Persons. The Mission Executive Officer provides each eligible contractor employee and dependent with appropriate identification for use at Embassy medical facilities.

(c) Records and Insurance. (1) The Embassy medical unit maintains an appropriate register of visits to the unit. The information recorded includes the name of the contractor employee or dependent treated, the contractor's name and contract number, date of visit, and a brief description of the reason for the visit (e.g., medical consultation, injury, medical briefing, immunization). Periodically a copy of this register is forwarded to the Mission Executive Officer.

(2) If medical service provided to a contractor employee or his authorized dependents by the Embassy medical unit is eligible for recovery from an insurance company, the contractor employee shall file an appropriate claim with the insurance company and so notify the Mission Executive Officer in writing. The contractor employee pursues the claim for reimbursement. Amounts recovered are forwarded to the Mission Executive Officer for the account of the medical unit in accordance with AID regulations.

(41 CFR 7-1.008-51)

[46 FR 31566, June 16, 1981, as amended at 46 FR 62278, Dec. 23, 1981; 48 FR 30368, July 1, 1983]

APPENDIX F-DIRECT AID CONTRACTS WITH U.S. CITIZENS OR U.S. RESIDENTS FOR PERSONAL SERVICES ABROAD

1. General

(a) Purpose. This appendix and attachments set forth the authority,

(a) This appendix applies to AID contracts with U.S. citizens or U.S. residents to provide assistance abroad to cooperating countries and regional organizations under contracts which establish an employer-employee relationship. Attachment A is designed to establish that relationship.

(b) This Appendix does not apply to: (1) Contracts with U.S. citizens or U.S. residents which establish independent contractor relationships, which are covered under AID Handbook 14-Procurement Regulations.

(2) Contracts with consultants and experts, which are covered under AID Handbook 25-Employment and Promotion.

(3) Contracts with individual cooperating country or third-country nationals, which are covered under AID Handbook 31-Foreign National Personnel.

4. Policy

(a) General. AID may finance the cost of providing personal services to a cooperating country or a regional organization as part of the Agency's pro

gram of assistance to such country or organization by entering into a direct contract with an individual U.S. citizen or U.S. resident for personal services.

(b) Limitations on Personal Services Contracts-A personal services contract with an individual may be used when adequate supervision is available and for nearly any type of work except:

(1) Negotiating on behalf of the United States with AID recipient countries, organizations or entities.

(2) Making planning, budgeting, programming and policy decisions which determine the allocation of resources available to AID, or establish AID policy.

(3) Supervising the execution of functions performed by U.S. Government personnel of AID or other Government agencies.

(4) Performance of internal functions such as personnel selection and administration, agency management, and congressional presentation.

(5) Contracts entered into pursuant to this authority may not exceed 5 years.

5. Executing a Personal Services
Contract

Procuring activities, whether AID/ W or Mission, may execute personal services contracts, provided that the amount of the contract does not exceed the amount of contracting authority which has been redelegated pursuant to Delegation of Authority No. 99-To the Assistant Administrator for Program and Management Services, et al., Concerning Contracting and Related Functions (38 FR 12834). In executing a contract, the procuring activity insures that:

(a) The following approvals for the proposed contractor have been obtained:

(1) Security clearance, to the extent required by AID Handbook 6-Security.

(2) Mission and country clearance, as appropriate.

(3) Medical clearance based on certification by a licensed physician. Medical clearance requirements apply to the contractor and to each dependent

who is authorized to travel to the overseas post.

(b) Compensation for personal services provided under each contract complies with the principles and approvals set forth in the AID Procurement Regulations, § 7-15.205-6, entitled Compensation for Personal Services, in effect at the time the contract is executed (See Appendix I).

(c) The contract is modified by deleting from the General Provisions the inapplicable portion of the clauses entitled, "Allowances, Travel and Transportation Expenses," and the medical clearance of dependents residing with the contractor at post, when the contractor is a resident of the cooperating country.

(d) The block entitled, "Project No.," on the cover page of the contract format is completed by inserting the four-segment project number as prescribed in AID Handbook 18-Information Services.

(e) Necessary deviations from the prescribed contract format are properly documented and approved by the head of the procuring activity (see § 71.107 of the AID Procurement Regulations). A record of the nature of each such deviation, the justification for it, and the approval are included in the contract file and a copy is forwarded to the Office of Contract Management, Support Division (SER/CM/ SD), AID/W, which is responsible for maintaining a central record of all approved deviations.

(f) Funds for the contract are properly obligated to preclude violation of the Anti-Deficiency Act, 31 U.S.C. 665. The contracting officer assures that the contract has been properly recorded by the appropriate accounting office prior to its release for the signature of the selected contractor.

(g) The contractor receives and understands Chapter 3, Employee Responsibilities and Conduct, of AID Handbook 24-General Personnel Policy, and a copy is attached to each contract, as provided for in paragraph 2(c) of the General Provisions (Attachment B).

(h) Agency conflict of interest requirements are met by the contractor prior to his/her reporting for duty.

6. Post Audit

The Inspector General, or his designee, audits the personal services contracts of all procuring activities for the purpose of insuring conformance to approved policy and standards.

7. Contract Provisions

The attachments referred to in paragraph 1(a) above are the personal services contract formats and clauses. They are:

Attachment A-AID form 1420-36, "Schedule";

Attachment B-AID form 1420-37, "General Provisions"; and

Attachment C-AID form 1420-38, "Additional General Provisions".