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§ 1-5.500

Title 41—Public Contracts, Property Management

Subpart 1-5.5-Interagency Motor cles and related services shall be given Pool Vehicles and Related Services

only under the following conditions: Available to Government Con

(1) The agency determines that pro

vision of motor pool vehicles and related tractors

services to its contractor will accomplish SOURCE: The provisions of this Subpart

agency contractual objectives and will 1-5.5 appear at 31 F.R. 12521, Sept. 22, 1966, effect demonstrable economies; unless otherwise noted.

(2) The contractor or subcontractor

shall procure automobile liability insur8 1-5.500 Scope of subpart.

ance covering bodily injury and property This subpart prescribes policies and

damage, with such limits of llability as procedures governing Federal agencies

may be required or approved by the in authorizing their prime contractors

agency, protecting the contractor, suband subcontractors thereunder to obtain

contractor, and the Government against Interagency motor pool vehicles and re

third party claims arising from the ownlated services for use in performing cost

ership, maintenance, or use of a motor reimbursement type contracts and

pool vehicle; cost-reimbursement type subcontracte

(3) Periodic checks will be made by thereunder (see § 1-3.405 of this chap

the agency to assure that authorized ter).

contractors and subcontractors are using

vehicles and related services exclusively 8 1-5.501 Policy.

under cost-reimbursement type con

tracts and subcontracts; and (a) When a Federal agency deems

(4) The contractor or subcontractor that it is in the best interest of the Gov

will assume the cost or expense of any ernment to do so, the agency contracting oficer may authorize cost-reimburse

use of motor pool vehicles and services ment type prime contractors and their

not related to the performance of the cost-reimbursement type subcontractors

contract without the right of reimburse

ment from the Government for such cost to obtain interagency motor pool vehicles

or expense. and related services, including: (1) Fue)

(b) Authorizations shall be in writing and lubricants, (2) vehicle inspection

and shall cite the number of the costo (3) maintenance and repair of vehicles

reimbursement type contract or subconvehicle storage, and (5) commercially rented vehicles for short-term

tract; specify any applicable limitations

on the authority, including the period of use.

eligibility; and (b) Complete rebuilding of major com

any other pertinent

Information. ponents of contractor-owned or contractor-leased equipment will require the ap

(c) Agencies authorizing contractor proval of the contracting officer in each

use of interagency motor pool vehicles

and related services are subject to the specific instance. Before Issuing an authorization, the agency contracting of

responsibilities and liabilities provided in ficer shall determine the advantage to

Subpart 101–39.8 of Part 101-39 of this

title. the Government to be obtained therefrom and shall take into consideration § 1-5.503 Means of obtaining service. any recommendations of the contractor.

(a) Requests for service by authorized (c) Except as otherwise specifically contractors and subcontractors shall be authorized by the Administrator of Gen

submitted in writing to the appropriate eral Services at the request of the agency General Services Administration reInvolved, Government prime contractors

glonal office, Transportation and Com. and their subcontractors shall not be au

munications Service, Motor Equipment thorized to obtain interagency motor Division. Such requests shall include the pool vehicles and related services for use following Information: in connection with the performance of

(1) Two coples of agency authorizaany contract or subcontract other than

tion to obtain vehicles or related services cost-reimbursement type.

from General Services Administration; 81-5.502 Authorization.

(2) Number of vehicles and/or related

services required and period(s) of use: (a) Authorization to cost-reimburse (3) A list of the names of employees ment type prime contractors and their of the authorized contractor who are cost-reimbursement type subcontractors eligible to request vehicles and related to obtain interagency motor pool vehl services;

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(4) A listing of the make, model, and ment List may be obtained by submitting serial number of contractor-owned or GSA Form 457, FSS Publications Mailcontractor-leased equipment authorized ing List Application, to the General to be serviced; and

Services Administration, Building 41, (5) Bulling Instructions and address. Federal Center, Denver, Colorado 80225.

(b) Requests involving unusual quan The Procurement List is identified by tities of vehicles should be submitted as Mailing Code OOSC-0002. All other corfar in advance as possible to facilitate respondence to the Committee should be making vehicles available.

addressed to the Executive Director of § 1-5.504 Use of services.

the Committee at the address listed on

the inside front cover of the ProcureUse of Interagency motor pool vehicles. ment List. their service and maintenance, and the

(39 FR 24898, July 8, 1974, as amended at use of related services by cost-relmburse 41 FR 53662, Dec. 8, 1976) ment type contractors and subcontractors shall be in accordance with Part 101 § 1-5.802 Definitions. 39 of this title and with Instructions in

As used in this subpart, the following the Operators Packet which is furnished

terms have the meanings stated. with each interagency motor pool ve

(a) "Act” means the Wagner-O'Day hicle. "Official use" of interagency motor

Act of June 25, 1938, as amended by pool vehicles and related services by authorized Government contractors and

Pub. L. 92–28, June 23, 1971, 85 Stat. 77

(41 U.S.C. 46–48c). subcontractors is defined in § 101-39.602

(b) "Committee" means the Commitof this title.

tee for Purchase from the Blind and Subpart 1-5.6 [Reserved) Other Severely Handicapped.

(c) “Central nonprofit agency" means Subpart 1-5.7— [Reserved)

an agency organized under the laws of Subpart 1-5.8-Procurement of Products

the United States or of any State, operof the Blind and Other Severely Handi

ated in the interest of the blind or other capped

severely handicapped, the net income of SOURCE: 39 FR 24898, July 8, 1974, unless

which does not inure in whole or in part otherwise noted.

to the benefit of any shareholder or other

individual, and designated by the Com§ 1-5.800 Scope of subpart.

mittee to facilitate the distribution (by This subpart prescribes policies and

direct allocation, subcontract, or other procedures for carrying out the require

means) of orders of the Government for ments of the Wagner-O'Day Act, as

commodities and services on the Proamended (Pub. L. 92-28, 85 Stat. 77 (41 curement List among workshops for the U.S.C. 46-48c)), and the rules of the blind or workshops for other severely Committee for Purchase from the Blind

handicapped, and to assist the Commitand Other Severely Handicapped (41

tee in administering these regulations. CFR Part 51; 38 FR 16316, June 21, 1973;

(d) “Government" and "entity of Gov38 FR 19045, July 16, 1973; as amended

ernment" mean any entity of the Legisby 39 FR 35365, October 1, 1974).

lative branch or Judicial branch, any (41 FR 53662, Dec. 8, 1976)

executive agency, military department,

Government corporation or independent $ 1-5.801 General.

establishment, U.S. Postal Service or any (a) The Wagner-O'Day Act provides nonappropriated fund instrumentality of for the procurement of certain commodi

the Armed Forces. ties and services from workshops for the

(e) "Ordering office" means any activblind and other severely handicapped by ity in an entity of the Government that all entities of the Federal Government. places orders for the procurement of any

(b) A listing of commodities and serv commodity or service on the Procureices which shall be purchased from ment List. workshops for the blind and other se (f) "Military resale commodities" verely handicapped is contained in the means commodities on the Procurement Procurement List published by the Com List sold for the private, individual use mittee for Purchase from the Blind and of authorized patrons of Armed Forces Other Severely Handicapped and dis commissaries or exchanges, or like actributed by the General Services Admin- tivities of other Government departistration (GSA). Copies of the Procure ments and agencies.

§ 1-5.803

Title 41—Public Contracts, Property Management

(g) "Procurement List” means a list of (1) the commodities, including military, resale commodities, produced by any workshop for the blind or by any workshop for other severely handicapped, and (2) the services provided by any such workshop, which the Committee đetermines are suitable for procurement by the Government pursuant to these regulations.

(h) “Qualified nonprofit agency for the blind" (hereinafter workshop for the blind) means an agency organized under the laws of the United States or of any State, operated in the interest of blind individuals, the net income of which does not inure in whole or in part to the benefit of any shareholder or other individual; which complies with applicable occupational health and safety standards prescribed by the Secretary of Labor; and which in the production of commodities and the provision of services (whether or not the commodities or seryices are procured under these regulations) during the fiscal year employs blind individuals for not less than 75 percent of the man-hours of direct labor required for the production or provision of the commodities or services.

(1) "Qualified nonprofit agency for other severely handicapped” (hereinafter workshop for other severely handicapped) means an agency organized under the laws of the United States or of any State, operated in the interests of severely handicapped individuals who are not blind, and the net income of which does inure in whole or in part to the benefit of any shareholder or other individuals, which complies with applicable occupational health and safety standards prescribed by the Secretary of Labor; and which in the production of commodities and the provision of seryices (whether or not the commodities or services are procured under these regulations) during the fiscal year employs severely handicapped (including the blind) for not less than 75 percent of the manhours of direct labor required for the production or provision of the commodities or services.

(j) “Allocation" means the action taken by a central nonprofit agency to designate the workshop(s) that will produce definite quantities of commodities or perform specific services upon receipt of an order from the ordering office.

(k) "Direct labor” means all work required for preparation, processing, and

packing of a commodity or work directly related to the performance of a service but not supervision, administration, inspection, or shipping. [39 FR 24898, July 8, 1974, as amended at 41 FR 53662, Dec. 8, 1976) 81-5.803 Policy. 8 1-5.803-1 Mandatory procurement of

products and services. The Wagner-O'Day Act provides that entities of the Federal Government must procure any commodity or service listed on the Procurement List from a qualified nonprofit agency for the blind or other severely handicapped, if such a commodity or service is available within the period required. When identical products and services are available from workshops for the blind and other severely handicapped and from Federal Prison Industries, Inc. within the period required, the following order of preferences shall be observed:

(a) Commodities shall be procured in accordance with the following order of preference:

(1) Federal Prison Industries, Inc. In accordance with the requirements of 18 U.S.C. 4121-4128 and the provisions of Subpart 1-5.4 of the FPR;

(2) Workshops for the blind and other severely handicapped consistent with the provisions of this Subpart 1-5.8; and

(3) Commercial sources.

(b) Services shall be procured in accordance with the following order of preference:

(1) Workshops for the blind and other severely handicapped, in accordance with the priorities set forth in § 1-5.803– 2; and

(2) Federal Prison Industries, Inc. or other commercial sources. 8 1-5.803–2 Preferences between work.

shops for the blind and workshops

for other severely handicapped. (a) In the purchase by the Government of commodities, including military resale commodities, which are produced or offered for sale by workshops for the blind and workshops for other severely handicapped, priority shall be given to commodities produced or offered for sale by workshops for the blind.

(b) In the purchase by the Government of services which are offered by workshops for the blind and workshops for other severely handicapped, priority shall until December 31, 1976, be

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accorded to services offered for sale by workshops for the blind. § 1-5.803–3 Optional procurement of

products and services. (a) Where a commodity or service not contained on the Procurement List is to be procured, the ordering office should forward a solicitation to any central nonprofit agency which is or may be quallfied to provide the product or service required.

(b) Supplies and services may be procured from the central nonprofit agency or workshop for the blind or other severely handicapped when such activity is the low responsive, responsible offeror under a solicitation issued in accordance with other authorized procurement methods. § 1-5.804 Central nonprofit agencies. § 1-5.804–1 Responsibilities.

Under the rules of the Committee, each central nonprofit agency is responsible for taking actions for its participating workshops as follows:

(a) Represent them in dealings with the Committee under the Act;

(b) Evaluate the qualifications and capabilities of its workshops and provide the Committee with pertinent data concerning its workshops, their status as qualified nonprofit agencies, their manufacturing or service capabilities, and other information required by the Committee;

(c) Recommend to the Committee with appropriate justification (including suggested prices) suitable commodities and services for procurement from its workshops;

(d) Distribute orders from Government activities among its workshops (by direct allocation, subcontract or other means) according to the Committee's policy guidelines;

(e) Maintain necessary records to allow for equitable allocation of orders; and

(1) Enter as required into contracts with Federal ocuring activities (orderIng offices) for the furnishing of commodities or services provided by its workshops. § 1-5.804–2 Names and addresses.

The following central nonprofit agencies represent all workshops providing commodities or services for sale in the Procurement List:

Agency

Symbol National Industries for the Blind, 1511 IB

K Street, NW., Suite 1043, Washing

ton, D.C. 20005. National Industries for the Severely SH

Handicapped, 4350 East-West Highway, Suite 1120, Washington, D.C.

20014. All letter requests for allocations shall be submitted to the appropriate nonprofit agency, as indicated on the Procurement List. (41 FR 53662, Dec. 8, 1976) § 1-5.805 Procurement procedures. § 1-5.805-1 General.

(a) Ordering offices shall obtain commodities and services on the Procurement List from the central nonprofit agency indicated on the list or its designated workshop(s), except for commodi. ties identified on the Procurement List as available through General Services Administration (GSA) supply distribution facilities. Orders for articles stocked in GSA supply distribution facilities shall. be submitted to GSA in accordance with procedures of the department concerned.

b) GSA supply distribution facilities shall also obtain commodities on the Procurement List from the central nonprofit agency indicated on the list or its designated workshop(s). § 1-5.805-2 Allocation and orders.

(a) Central nonprofit agencies may authorize ordering offices to transmit orders for specific commodities or sery: ices directly to the workshop(s) concerned without requesting an allocation for each order. In these cases the central nonprofit agency shall specify the normal leadtime required for orders transmitted directly to the workshop(s). This method should be used whenever possible since it eliminates double handling and decreases the order processing time.

(b) Requests for allocations for commodities and services shall include the following:

(1) Commodities. Name, stock number, latest specification, quantity, unit price, weight per shipping container and place and time of delivery.

(2) Services. Type and location of service required, latest specification, work to be performed, estimated volume. and time for completion.

(c) Ordering ofices shall request allocations in suficient time for the central nonprofit agency to reply, for orders to

§ 1-5.805-3

Title 41--Public Contracts, Property Management

as

be placed, and for the workshop to produce the commodity or provide the service (including a reasonable allowance of time for the purchase of materials, production or preparation and completion or delivery of the commodities involved).

(d) When a commodity on the Procurement List also appears on the Schedule of Products made in the Federal Penal and Correctional Institutions, the ordering office shall first obtain clearance from Federal Prison Industries, Inc. (FPI) before requesting an allocation or placing an order directly with the workshop(s).

(e) The responsible central nonprofit agency shall make allocations to the appropriate workshop(s) upon receipt of a request from the ordering office and instruct the ordering office to forward the order to the central nonprofit agency or direct to the workshop(s). All requests for allocations shall be acknowledged promptly by the central nonprofit agency. If the request for an allocation provides a delivery schedule that cannot be met, the central nonprofit agency shall immediately request a revision, which the ordering office shall grant if feasible, or the central nonprofit agency shall issue a purchase exception authorizing procurement from commercial sources, as authorized in § 1-5.805–3.

NOTE: An allocation is not an obligation to supply any commodity or service, or an obligation for an ordering office to issue an order. A workshop is not authorized to commence production until an order has been received

(f) Upon receipt of an allocation the ordering office shall promptly submit an order to the appropriate central nonprofit agency or designated workshop(s). Where this cannot be done promptly the ordering office shall immediately so advise the central nonprofit agency and the workshop(s). The ordering office shall provide to the central nonprofit agency concerned a copy of all orders to workshops.

(g) The central nonprofit agency shall keep the ordering office informed of any changes in leadtime experienced by its workshops in order to minimize requests for extensions once an order is placed by the ordering office. Where, due to unusual conditions, an order does not provide suficient leadtime, the central nonprofit agency or workshop, whichever received the order, may request an extension of the delivery or completion

date which should be granted if feasible. If extension of the delivery or completion date is not feasible, the ordering office shall notify the appropriate central nonprofit agency or workshop(s) and request the central nonprofit agency to reallocate, or to issue a purchase exception, authorizing procurement from commercial sources

authorized in 8 1-5.805–3. § 1-5.805–3 Purchase exceptions.

(a) Central nonprofit agencies will grant purchase exceptions authorizing ordering offices to procure commodities or services on the Procurement List from commercial sources when both of the following conditions exist:

(1) The central nonprofit agency can. not furnish a commodity or service within the period specified, and

(2) The commodity or service is available from commercial sources in the quantities required and at an earlier time than it is available from the workshop(s).

(b) The central nonprofit agency may grant a purchase exception when the quantity involved cannot be produced or provided economically by the workshop(s).

(c) When the conditions in paragraphs (a) or (b) are met, the central nonprofit agency will provide a purchase exception promptly and will specify the quantities and delivery period covered by the exception. The central nonprofit agency will inform the Committee prior to issuing a purchase exception to procure a commodity or service from commercial sources when the value of the procurement is $2,500 or more.

(d) When a purchase exception permitting procurement from commercial sources is granted under paragraph (a) above:

(1) The purchase action shall be taken within 15 days following the date of the purchase exception or within such additional time as may be provided by the central nonprofit agency with the concurrence of the Committee.

(2) A copy of the solicitation shall be provided to the appropriate central nonprofit agency at the time it is issued. § 1-5.805-4 Shipping and packing.

(a) Commodities, except those for milItary resale, shall be delivered aboard the vehicle of the initial carrier at the point of production (f.o.b. shipping point) for transportation to destination on Gov

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