Federal Supply Schedule contracts are indefinite quantity type contracts for numerous types of supplies and services which do not lend themselves to definite quantity consolidated buying or distribution from GSA stores stock. The contractors are obligated, with certain exceptions, to deliver for a definite period stated in the Schedule all supplies and services ordered under the contracts. Most contracts have stated minimum and maximum order limitations and provide for delivery only within the 48 contiguous States and the District of Columbia. § 6-5.5004-2 Applicability.

Purchasing activities of the Department are required to procure supplies and services covered by Mandatory Federal Supply Schedules except that use of these schedules is not mandatory for overseas posts nor is it required for any procurements inside the United States for use outside the United States. (See § 6-1.302-1.)

§ 6-5.5004-3 Availability.

The Federal Supply Schedule Checklist and Guide and needed Federal Supply Schedules and contractors' catalogs and price lists may be obtained by submitting GSA Form 457, Request for Federal Supply Schedules and Contractors' catalogs to General Services Administration, Federal Supply Service, National Buying Division, Washington, D.C. § 6-5.5004-4 Procedure for central supply posts.

(a) Procurement period. Purchases may be made at any time during the period of the contract. Purchase orders must, however, reach the contractor before the expiration date of the contract.

(b) Prescribed forms. Foreign Service Form 455 (Purchase Order, Receiving Report and Voucher) and Foreign Service Form 455a (Purchase Order, Receiving Report and Voucher, Continuation Sheet) shall be used to make purchases under Federal Supply Schedules. These forms are illustrated in Subpart 6-16.9.

(c) Preparation of forms. The purchase order shall be prepared as pre

66-091-72- -3

scribed thereon, subject to the following additional instructions:

(1) Disregard the reverse side of the purchase order.

(2) For Contract No. insert the contract number applicable to the contract item and the contractor from whom the purchase will be made. This number will be found in the appropriate Federal Supply Schedule, in the list of contractors, in the first or left column, opposite the name of the contractor from whom the purchase will be made. The number will always have the prefix GS-OOS. The small "o" or "s" appearing directly in front of the number should be disregarded.

(3) The date of the contract is the date shown on the cover of the appropriate Federal Supply Schedule as the beginning of the period of the Schedule.

(4) In the space provided for the place where the supplies are to be furnished, insert the name of the post to which the supplies are to be shipped. This will often be a constituent supply post rather than the procuring central supply post. If the space provided is not adequate, include this information with the words "Ship to;" with the description of the supplies ordered.

(5) Depending on the terms of the contract, insert the following instructions concerning export packing with the description of the supplies ordered:

(1) Where no extra charge is made, insert the words, "To be export packed."

(ii) Where additional charge is made, and the method of computation is shown, insert the words, "To be export packed," fill in the packing cost in the amount column, and fill in the quantity and unit price columns if the computation method permits.

(iii) Where additional charge is made, and the method of computation is shown, insert the words, "To be export packed," and the following instruction-"Export packing charges may be added to invoice, such charges to be itemized to show cost of materials and cost of labor. It is required that the invoice include a statement to the effect that allowance for domestic packing, if any, has been made in the charge for export packing."

(iv) Where the contractor will not export pack, insert the words, "Notify: U.S. Despatch Agent, 45 Broadway, New York, New York 10006, when goods are ready for delivery, domestic packed". The U.S. Despatch Agent will arrange for export packing.

(6) On all copies of the purchase order except the 2 copies sent to the contractor, insert the following information with the description of the supplies ordered:

(1) Insert the words "Estimated Ocean Freight $------," and fill in the blank space with the appropriate total based on the applicable freight factors currently in effect.

(ii) Where additional charge is made for export packing, but the method of computation is not shown in the contract, insert the words, "Estimated Export Packing Charges $------," and fill in the blank space with the estimated cost of export packing.

(iii) Insert the words, "Estimated Inland Freight $------," and fill in the blank space with the amount estimated for inland freight, on the basis of the weight or volume of the supplies and the distance between the shipping point shown on the contract and the assumed port of export.

(7) The total amount of funds to be obligated will be the figure found by adding the total cost of the supplies ordered, the estimated or actual export packing charges, the estimated ocean freight costs, and the estimated inland freight costs, if any.

(d) Distribution. The purchase order shall be prepared with sufficient copies to permit the following execution and distribution:

(1) Post fiscal office, original (manually signed by ordering and fiscal officers) and 1 copy.

(2) Contractor, 2 copies (both manually signed by ordering officer).

(3) U.S. Despatch Agent, 2 copies (1 copy manually signed by ordering and fiscal officers).

set

(e) Attachments. The clauses forth below shall be prepared, each as a separate document, and attached to the 2 copies of the purchase order sent to the Contractor. The documents taining the clauses shall be identified by the purchase order number and the rank and address of the ordering post.

(1) Instruction to vendors.

INSTRUCTIONS TO VENDORS

Foreign Service Post..

Purchase Order No.

con

1. Submission of bills: To assure prompt payment, vendors should render their bills to the ordering posts in the following

manner:

(a) Submit an original and two copies of the invoice.

(b) The invoice shall be prepared to conform with the purchase order, showing number and date of order, date of delivery, description of each item, quantity, unit cost and total amount.

(c) The invoice should also bear an invoice number or identification to enable positive and immediate association with the related payment check which will be accompanied by one copy of the invoice.

(d) Show parcel post charges, if any, as a separate item on the invoice, indicating the gross weight and shipping point. (Prepaid freight or express charges must be supported by the original freight or express receipts.)

(e) Show terms or cash discounts on the invoice, even if the terms are net.

(f) Include in invoice: Proper post designation (Embassy, etc.) and address shown on the post's purchase order in space "This Document Prepared at * * *.”

(g) Payment for materials and supplies cannot be made in advance.

2. If, by terms of the contract, inland transportation is not the responsibility of vendor and he is unwilling to add such charges to the invoice, he should request of the U.S. Despatch Agent a bill of lading to cover the shipment.

(2) Shipping instructions.
SHIPPING INSTRUCTIONS

Foreign Service Post..
Purchase Order No.

EXPORT PACKING SPECIFICATIONS

Packing box shall be of solid construction in accordance with best commercial practices and sufficiently strong in direct ratio to the weight of the contents to withstand excessively rough handling while in transit overseas. It shall be constructed of lumber that is well seasoned, reasonably sound, free from bad cross-grain and from knots or knotholes that interfere with mailing or that occupy more than 3 of the width of the piece of lumber. Box shall be constructed with three-way corners and diagonal bracing. All nails shall be cementcoated, of correct size and properly spaced to avoid splitting or warping, and shall be driven into the grain of the wood. Dimensions of lumber shall be in accordance with the following table, dependent upon the weight of the contents:

braced inside the shipping container to prevent shifting.

Packing cases weighing 1000 pounds and more must be equipped with skids. Each skid shall consist of two end sections of 2 x 6-inch lumber placed flat and a center section of 2 x 4-inch lumber placed flat and then arranged in line to provide 10-inch forklift spaces between center and end sections.

When goods are ready for shipment, prepare four (4) copies of a packing list and notify the U.S. Despatch Agent, 45 Broadway, New York 8, N.Y., by sending him three (3) copies of the packing list indicating case number, itemized list of contents, net and gross weights in pounds and kilograms and outside dimension-including all clears-of each shipping container.

The fourth copy shall be placed in the packing case number one, and this container shall be marked so that it is easily identified by the consignees. Upon receipt of the packing list the Despatch Agent will furnish export marks and instructions regarding shipment to port specified depending upon steamer services available at the time.

The export marks shall be stenciled on one side of each box reserved for that purpose and the appropriate case number stenciled in the lower left-hand corner, the purchase order number, net and gross weights in pounds and kilos shall be stenciled. (One kilogram equals 2.2046 pounds avoirdupois.) If the size of the box is too small to accommodate all stenciling on one side, the purchase order number and the weights may be stenciled on the side opposite that used for the export marks and case number.

The purchase order number must appear on all containers and papers relating to this order.

(3) Excise tax exemption statement for vendors.

EXCISE TAX EXEMPTION STATEMENT FOR
VENDORS

Foreign Service Post
Purchase Order No.

This is to certify that the item(s) covered by this purchase order is/are for export solely for the use of the American Foreign Service post shown above. It is, therefore, requested that the extra signed copy of the purchase order furnished herewith be accepted as evidence of intent to export. Final proof of exportation may be obtained from the U.S. Despatch Agent, 45 Broadway, New York 6, N.Y., such proof to be accepted in lieu of payment of excise tax.

(f) Billing. Invoices should be submitted as follows:

(1) Vendors should submit invoices directly to the ordering post in accordance with the "Instructions to Vendors."

(2) The U.S. Despatch Agent will prepare and submit to the Department, Office of Finance, all vouchers covering ex

penses incurred by him related to shipments to the ordering post. A liquidating document showing any packing and inland freight charges, and ocean freight charges, will be sent by the Department, Office of Finance, to the post. (g) Payment. Upon receipt of the vendor's invoice and a copy of the purchase order from the U.S. Despatch Agent showing receipt of the supplies by the Government, the post shall prepare a Treasury check in the amount of the invoice payable to the vendor and mail it to the vendor at the address shown on the invoice. Payment of these invoices should be expedited by posts since the prompt payment discount period commences when the supplies are received by the U.S. Despatch Agent for the Gov ernment.

6-6.1000 Scope. 6-6.1003

Requests for determinations and findings.

6-6.1004 Determinations and findings. 6-6.1050 Comptroller General concurrence. 6-6.1051 Reports to Congress. 6-6.1053 Notice to posts.

AUTHORITY: The provisions of this Part 6-6 are issued under sec. 205 (c), 63 Stat. 390, as amended, 40 U.S.C. 486 (c), sec. 4, 63 Stat. 111, 22 U.S.C. 2658.

Subpart 6-6.8-Balance of Payments Program

SOURCE: The provisions of this Subpart 6-6.8 contained in Dept. Reg. 108.568, 32 F.R. 14695, Oct. 24, 1967, unless otherwise noted. § 6-6.800 Scope.

This program applies to procurements for use outside the United States regardless of location of supplier. § 6-6.802

Definitions.

The Department keeps posts currently informed of those foreign currencies designated "excess" by circular airgram.

(a) Foreign end products and services may be procured, without regard to §§ 1-6.804 and 1-6.806 of this title, as follows:

(1) Where the estimated cost of the product does not exceed $1,000 rather than $2,500 as permitted in § 1-6.805(a) (2) of this title.

(2) Service exceptions under § 16.805(a) (5) of this title shall include any service for which a determination is made that more than 25 percent of the cost of the service (including incidental supplies used in connection therewith) would be due to performance which could not feasibly be carried out in the United States.

(3) The Department has determined that, for procurements where the domestic cost is estimated not to exceed $10,000 and the difference between the domestic cost and the foreign cost is determined to be more than 50 percent of the foreign cost, an exception exists. The Chief, Supply and Transportation Services Division, is designated as the determining official where the domestic cost is estimated to exceed $10,000 and the difference between the domestic cost and foreign cost is determined to be more than 50 percent of the foreign cost.

(4) Individually excepted products for procurement from sources outside the United States are:

(i) Fuel;

(ii) Petroleum products;

(iii) Parts for foreign origin equipment.

(b) The determinations required by § 1-6.805 (a) (3), (4), and (5) of this title shall be made:

(1) For domestic procurement, by the Chief, Supply and Transportation Services Division, upon the basis of findings, forwarded by the procuring activity;

(2) For post local and direct United States procurement, by the Principal Officer or his designee;

(3) For third country procurement, by the Principal Officer (or his designee) of the requesting post.

§ 6-6.806-1 Restricted solicitation.

(a) The Chief, Supply and Transportation Services Division, is designated to make the determination required by § 1-6.806-1(b) (1) of this title.

(b) The Department has determined that nonrestricted solicitations shall be issued when the domestic cost is not in excess of $10,000 and exceeds the foreign cost by more than 50 percent.

§ 6-6.806-2 Method of purchase.

Procurements in furtherance of this Subpart 6-6.8 between $1,000 and $2,500 may be made by small purchase methods. Subpart 6-6.10-Omission of the Ex

amination of Records Clause From Contracts With Foreign Contractors SOURCE: The provisions of this Subpart 6-6.10 contained in Dept. Reg. 108.614, 35 F.R. 1237, Jan. 30, 1970, unless otherwise noted.

(a) A request by a post for a determinations and findings to omit the Examination of Records clause may be communicated to the Department by any method the post considers necessary in view of the urgency of the procurement. It should be addressed to the Supply and Transportation Division.

(b) The facts to be reported with a request shall include the information set forth in § 1-6.1004 (a) through (d) and a recommendation for a determination as provided for in § 1-6.1004(e).

§ 6-6.1004 Determinations and findings.

The Supply and Transportation Division shall prepare and submit determinations and findings for signature in accordance with the provisions of § 6-3.302. § 6-6.1050 Comptroller General con

currence.

The Supply and Transportation Division shall prepare documents for the signature of the Assistant Secretary for

Sec.

6-7.151-15 Government delay of work. 6-7.151-16 Indemnification.

6-7.151-17 Commercial warranty. 6-7.151-18 Price warranty.

6-7.151-19 Availability of funds.

AUTHORITY: The provisions of this Part 6-7 issued under sec. 205(c), 63 Stat. 390, as amended, 40 U.S.C. 486 (c) sec. 4, 63 Stat. 111, 22 U.S.C. 2658.

SOURCE: The provisions of this Part 6-7 contained in Dept. Reg. 108.609, 34 F.R. 17166, Oct. 23, 1969, unless otherwise noted.

§ 6-7.000 Scope of part.

This part sets forth contract clauses for use in connection with the procurement of personal property and nonpersonal services (excluding construction). Subpart 6-7.1-Fixed-Price Supply Contracts

(a) The use of clauses set forth or referred to in this section and § 6-7.150 is mandatory, in addition to or, where specified in this section, in lieu of those set forth or referred to in § 1-7.101 of this title under conditions described: Provided, however, That except as otherwise specified in this section, any such clause need not be used if:

(1) Its use is prohibited by or inconsistent with local laws; or

(2) The supplies or services could not be obtained if the clause were included. (b) Justification for the exclusion of clauses shall be included in the contract file.