Page images
PDF
EPUB

§ 1-7.303-58

Title 41-Public Contracts, Property Management

(b) Insert the two clauses set forth in signs, or specifications; (ii) method of ship$$ 1-3.1204–1 and 1-3.1204–2 in negoti

ment or packing; and (ili) place of inspecated contracts under the conditions con

tion, delivery, or acceptance. If any such

change causes an increase or decrease in the tained in Subpart 1-3.12.

cost of, or the time required for performance (40 FR 60030, Dec. 31, 1975)

of, this contract, or otherwise affects any 8 1-7.303–58 Labor surplus area sub

other provisions of this contract, whether

changed or not changed by any such order, contracting program.

an equitable adjustment shall be made (1) Insert the clause set forth in § 1-1.805– in the contract price or time of performance, 3(b) under the conditions and in the

or both, and (11) in such other provisions manner prescribed therein.

of the contract as may be so affected, and the

contract shall be modified in writing accord$1–7.303–59 Small business subcon ingly. Any claim by the Contractor for adtracting program.

justment under this clause must be asserted

within thirty (30) days from the date of Insert the clause set forth in § 1-1.710–

receipt by the Contractor of the notification 3(b) under the conditions and in the

of change; Provided, however, That the Conthe manner prescribed therein.

tracting Officer, if he decides that the facts

justify such action, may receive and act upon 88 1-7.303-60—1-7.303-62 [Reserved]

any such claim asserted at any time prior to § 1-7.303–63 Preference for U.S. flag

final payment under this contract. Failure air carriers.

to agree to any adjustment shall be a dispute

concerning a question of fact within the Insert the clause set forth in § 1-1.323– meaning of the clause of this contract en2 under the conditions prescribed titled “Disputes". However, nothing in this therein.

clause shall excuse the Contractor from pro

ceeding with the contract as changed. 8 1-7.303-64 Contracts with the Small Business Administration.

The period of “30 days" within which a

claim must be asserted may be varied in (a) Insert the clause set forth in

accordance with agency procedures. § 1-1.713-3(d) (1) in contracts with the Small Business Administration awarded

$ 1-7.304-2 Alterations in contract. pursuant to section 8(a) of the Small Insert the clause set forth in $ 1Business Act (15 U.S.C. 637(a)).

7.204-1. (b) Insert the clause set forth in

8 1-7.304–3 Approral of contract. § 1-1.713–3(e) in subcontracts which will be executed by the Small Business

Insert the clause set forth in $ 1

7.204-2. Administration and its subcontractors.

§ 1-7.304_4 [Reserved) § 1-7.303–65 Privacy Act.

1–7.304–5 Notice regarding late deInsert the clause prescribed by $ 1

livery. 1.327-5 under the conditions set forth therein.

Insert the clause set forth in § 1

7.204-4. (40 FR 44504, Sept. 26, 1975)

§ 1-7.304–6 Key personnel. § 1-7.303–66 Use of U.S. flag commercial vessels.

KEY PERSONNEL Insert the clause prescribed by

The personnel specified in an attachment § 1-19.108-2 under the conditions set

to this contract are considered to be essenforth therein.

tial to the work being performed hereunder.

Prior to diverting any of the specified indi(41 FR 52457, Nov. 30, 1976)

viduals to other programs, the Contractor § 1-7.304 Additional clauses.

shall notify the Contracting Officer reason

ably in advance and shall submit justificaThe following clauses may be inserted tion (including proposed substitutions) in in fixed-price research and development suficient detail to permit evaluation of the contracts when it is desired to cover the

impact on the program. No diversion shall be subject matter thereof.

made by the Contractor without the written

consent of the Contracting Officer: Provided, 8 1-7.304-1 Changes.

That the Contracting Officer may ratify in CHANGES

writing such diversion and such ratification

shall constitute the consent of the ContractThe Contracting Officer may at any time, Ing Officer required by this clause. The atby a written order, and without notice to the tachment to this contract may be amended suretles, if any, make changes, within the from time to time during the course of the general scope of this contract, in any one contract to either add or delete personnel, es or more of the following: (1) Drawings, de appropriate.

368

§ 1-7.304–7 Liquidated damages.

drawings in sufficient detall to comprehen

sively explain the results achieved under the Insert the provision set forth in § 1

contract. The final report shall be submitted 1.315–3 under the conditions and in the

in a reproducible copy plus the number of manner prescribed in § 1-1.315. Where coples specified in the Schedule. Standard Form 32 is not included in the contract, the provision set forth in § 1

Subpart 1-7.4-Cost-Reimbursement Type 1.315–3 shall be modified by replacing the

Research and Development Contracts first paragraph with appropriate refer SOURCE: 40 FR 17566, April 21, 1975, unless ences to the Default clause contained in

otherwise noted. the contract.

§ 1-7.400 Scope of subpart. § 1-7.304–8 Disposition of material.

This subpart sets forth contract clauses DISPOSITION OF MATERIAL

for use in cost-reimbursement type reUpon termination or completion of all

search and development contracts. work under this contract, the Contractor

$ 1-7.401 Applicability. shall prepare for shipment, deliver 1.0.b. destination, or dispose of all materials re As used throughout this subpart, the celved from the Government and all residual term "cost-reimbursement type research materials produced in connection with the

and development contract” means any performance of this contract as may be directed by the Contracting Officer, or as speci

contract (other than a letter contract, fied in other provisions of this contract. All

notice of award, or modification not efmaterials produced or required to be dellv

fecting new procurement) which is (a) ered under this contract become and remain entered into on a cost, cost-sharing, or the property of the Government.

cost-plus-a-fee basis, and (b) is for ex

perimental, developmental, or research $ 1-7.304–9 Reports of work.

work. Unless clearly inappropriate, these REPORTS OF WORK

clauses may also be used in other types of (a) The Contractor shall submit separato

nonpersonal services contracts; e.g., monthly progress reports of all work accom

studies, surveys, and demonstrations in plished during each month of contract per

socio-economic areas, except for (a) conformance. Reports shall be in narrative form, struction, (b) architect-engineer services, and brief and informal in content. Monthly and (c) those subject to the Service Conreports shall include:

tract Act of 1965, as amended. (1) A quantitative description of overall progress;

§ 1-7.402 Required clauses. (11) An indication of any current problems which may impede performance, and pro

The clauses set forth in this § 1-7.402 posed corrective action; and

shall be inserted, as required, in all cost(10) A discussion of the work to be per

reimbursement type research and develformed during the next monthly reporting opment contracts. period.

8 1-7.402-1 Definitions. Monthly reports shall be submitted in a reproducible copy plus the number of copies

Insert the clause set forth in § 1-7.102– specified in the Schedule.

1. Additional definitions may be included (b) The Contractor shall submit separate provided they are not inconsistent with quarterly reports of all work accomplished the clause or the provisions of these during each 3 month period of contract per regulations. formance. In addition to factual data, these reports shall include a separate analysis sec

§ 1-7.402–2 Limitation of cost or funds. tion which interprets the results obtained,

(a) Insert the clause set forth in recommends further action, and relates occurrences to the ultimate objectives of the

$ 1-7.202-3(a) in all fully funded costcontract work, Sufficient diagrams, sketches,

reimbursement type research and decurves, photographs, and drawings shall be velopment contracts which do not proIncluded to convey the intended meaning. vide for cost sharing. The clause is Quarterly reports shall be submitted in a re equally applicable to contracts not proproducible copy plus the number of coples viding for the payment of a fee, and, if specified in the schedule.

desired, may be altered to delete the (c) The Contractor shall submit a final report which documents and summarizes the

words "exclusive of fee” wherever they results of the entire contract work, including

appear. recommendations and conclusions based on

(b) Insert the following clause in fully the experience and results obtained. The funded cost-reimbursement type refinal report shall include tables, graphs, dla search and development contracts which grams, curves, sketches, photographs, and provide for cost sharing. The contract

[graphic]

total amount then allotted to the contract. walacting Officer to be allowable in accordtracting Officer shall affect the amount alted for in the Schedule.

mounts approved by the Contracting Omroer.

The Contractor may submit to an authorized lotted to the contract, whether those excess costs were incurred during the course of the presentative of the Contracting Oficer, to statements of cor

nach form and reasonable detal es sich berettore made contract or as a result of termination. When

representative may require, en invoice or tion for amount and to the extent that the amount allotted to the contract has been increased, any costs publle voucher supported by statement of tice or round

Dess, Iot the performance of this contract a Contracting Ofert incurred by the Contractor in excess of the amount previously allotted shall be allowable calmed to constitute allowable cost. For de uit, not to to the same extent as if such costs had been purpose, except as provided herrin with a permet may be incurred after such increase in the amount pect to pension contributions, we to pressed for

"posts" shell include only one zenet
costs which result, st the time of the One
for rembursement, from payment by a car de
check, or other form of satu pement for de compra
thems of services purchased directly to toe om
contract, together with an are o
tractor is not delingtent in payment of

our dading

of contract perlormance in fide any ons testing Changes clause of this contract shall not be considered an authorization to the Contrac

tourse of business) Costa nel brut satsions of (1) tor to exceed the amount allotted in the

necessarily peid, for materiais vaistas papay part Schedule in the absence of a statement in the blic Contracts, Property Management Cople -Federal Procurement Regulations of the period specified in the Schedule the dag onder

, or other contract modification, been issued from the contri Contractor will advise the Contracting on besedag the amount allotted.

ventory and placed in the pr cer in writing as to the estimated amount of 1) Nothing in this clause shall affect the for use on the contract, for additional funds, If any, that will be required

the Government to terminate this direct travel, for other dire for the timely performance of the work under most In the event this contract is ter and for properly allocables the contract or for such further period as

minated

, the Government and the Contractor direct costs, as is shown may be specified in the Schedule or otherwise del segotiate an equitable distribution of tained by the Contractor f agreed to by the parties. If, after such notif d property produced or purchased under the taining reimbursement u cation, additional funds are not allotted by matract based upon the share of costs in contracts plus the amoun the end of the period set forth in the Sched

azred by each.

ments which have been ule or an agreed date substituted therefor, g) In the event that sufficlent funds are tractor's subcontractors the Contracting Officer will, upon written re

Halotted to this contract to allow com standards. In addition, wh quest by the Contractor, terminate this con d the work contemplated by this butions are paid by the tract pursuant to the provisions of the Ter meact, the Contractor shall be entitled to retirement fund less mination clause on such date. If the con percentage of the lee set forth in the quarterly, accrued costs t' tractor, in the exercise of his reasonable sede equivalent to the percentage of cluded from indirect cost judgment, estimates that the funds available spletion of the work contemplated by this poses until such costs a will allow him to continue to discharge his

contributions are paid on obligations hereunder for a period extend

e) In the foregoing clauses set forth

frequent basis, accruals ing beyond such date, he shall specify the

cluded in indirect costs 1

paragraphs (a) and (b) of this $ 1-7.later date in his request and the Contracting

provided that they are Officer, in his discretion, may terminate this (24

, the period of "60 days” and the

within 30 days after the contract on that later date.

pauentage of "75 percent" may be varied covered. If payments a (d) Except as required by other provisions a 30 days to 90 days and 75 percent fund within such 30-day of this contract specifically citing and stated 16 percent.

tribution costs shall b to be an exception from this clause, the Gov

direct cost for payment ernment shall not be obligated to reimburse 1-12024Allowable cost, fee, and

ident has been made. T the Contractor for costs incurred in excess

payment.

ment more frequently t of the total amount from time to time al.

requirement of prior

Insert the following clause in all costlotted to the contract, and the Contractar ambursement type supply contracts all not apply when të

services purchased dir ance under the contract (including actions Sat provide for the payment of a

business concern. under the Termination clause) or other

(c) Promptly after wise to incur costs in excess of the amount

LLOWAELE COST, FIXED-FEL, AND PAYMENT

or voucher and states allotted to the contract, unless and until the

ernment sball, except Contracting Officer has notified the Con.

() For the performance of this contract,

in this contract subje tractor in writing that such allotted amount Comernment shall pay to the

Contractor:

(d), below, make pe has been increased and has specified in such The cost thereof (hereinafter referred

proved by the Contr notice an increased amount constituting the "allowable cost") determined by the

of the fixed-fee, 11 &r

Contractor as specific To the extent the amount allotted ex

vided, however, Tha ceeds the estimated cost set forth in the

O Subpart 1-15,2 of the Federal Procurefeat Regulations (41 CFR 1-15.2), ss in

percent of the fixe Schedule, such estimated cost shall be

lect on the date of this contract; and

Schedule, the Contra correspondingly increased. No notice, com

bold further payme

(U) The terms of this contract, and munication, or representation in any other

stal have been set

2 Such fixed-fee, sny, as may be proform or from any person other than the con

be considers necess (b) Payments shall be made to the co

ests of the Gover lotted to this contract.

In the
absence of the
ructor when requested es work progresses,

sball not exceed 15 specified notice, the Government shall not be

hat not more trequently than bi-wekiy, to

See, or $100,000, wh obligated to reimburse the Contractor for any

(@) At any time costs in excess of the total amount then al

ment under this

be allotted to this contract up to the full tor's corresponding share exceeds the estiestimated cost to the Government set forth in mated cost set forth in the Schedule, such the Schedule, exclusive of any fixed fee. The estimated cost shall be correspondingly inContractor agrees to periorm or have per creased. Any increase in such estimated cost formed work on this contract up to the point shall be allocated in accordance with the forat which the total amount paid and payable mula set forth in the Schedule governing by the Government pursuant to the terms of such increases. No notice, communication, this contract approximates but does not ex or representation in any other form or from ceed the total amount actually allotted by any person other than the Contracting ofthe Government to the contract.

ficer shall affect the amount allotted by the (C) If at any time the Contractor has Government to this contract. In the absence reason to believe that the costs which he of the specified notice, the Government shall expects to Incur in the performance of this not be obligated to reimburse the Contractor contract in the next succeeding 60 days, for any costs in excess of the total amount when added to all costs previously incurred,

then allotted by the Government to the conwill exceed 75 percent of the total of the tract, whether those excess costs were inamount then allotted to the contract by the curred during the course of the contract or as Government plus the Contractor's corre a result of termination. When and to the exsponding share, the Contractor shall notify

tent that the amount allotted by the Govthe Contracting Officer in writing to that ef

ernment to the contract has been increased, fect. The notice shall state the estimated any costs incurred by the Contractor in examount of additional funds required to con

cess of the total of the amount previously tinue performance for the period set forth in allotted by the Government plus the Conthe Schedule. Sixty days prior to the end of

tractor's corresponding share shall be allowthe period specified in the schedule the Con

able to the same extent and in the same per-' tractor will advise the Contracting Officer in centage as if such costs had been incurred writing as to the estimated amount of addi after such increase in the amount allotted; tional funds, if any, that will be required

unless the Contracting Officer issues a termifor the timely performance of the work under nation or other notice and directs that the the contract or for such further period as

increase is solely for the purpose of covering may be specified in the Schedule or otherwise termination or other specified expenses. agreed to by the parties. If, after such notif (e) Chango orders issued pursuant to the cation, additional funds are not allotted by Changes clause of this contract shall not be the end of the period set forth in the Sched considered an authorization to the Contracule or an agreed date substituted therefor, tor to exceed the amount allotted by the the Contracting Officer will, upon written Government in the Schedule in the absence request by the Contractor, terminate this of a statement in the change order, or other contract pursuant to the provisions of the contract modification, increasing the amount Termination clause on such date. If the Con allotted. tractor, in the exercise of his reasonable Judg

(f) Nothing in this clause shall affect the ment, estimates that the funds available will

right of the Government to terminate this allow him to continue to discharge his obli contract. In the event this contract is tergations hereunder for a period extending be minated, the Government and the Conyond such date, he shall specify the later tractor shall negotiate an equitable distribudate in his request, and the Contracting Of

tion of all property produced or purchased ficer, in his discretion, may terminate on under the contract based upon the share of that later date.

costs incurred by each. (d) Except as required by other provisions

(g) In the event that sufficient funds are. of this contract specifically citing and stated

not allotted to this contract by the Governto be an exception from this clause, the

ment to allow completion of the work conGovernment shall not be obligated to reim

templated by this contract, the Contractor burse the Contractor for costs incurred in

shall be entitled to that percentage of the excess of the amount from time to time al

fee set forth in the Schedule equivalent to lotted by the Government to the contract,

the percentage of completion of the work and the Contractor shall not be obligated to

contemplated by this contract. continue performance under the contract (including actions under the Termination (e) In accordance with agency proceclause) or otherwise to incur costs in excess

dures the percentages and time periods of the total of the amount then allotted to

stated in the foregoing clauses may be the contract by the Government plus the Contractor's corresponding share, unless and

varied respectively between 75 percent until the Contracting Officer has notified the

and 85 percent and 30 to 90 days. Contractor in writing that the amount al § 1-7.402–3 Allowable cost, fee, and lotted by the Government has been increased

payment. and has specified in such notice an increased amount constituting the total amount then

(a) Insert the clause set forth in allotted by the Government to the contract.

§ 1-7.202–4 in all cost-reimbursement To the extent the total of the amount al type contracts which provide for paylotted by the Government plus the Contrac ment of a fixed fee.

[graphic]

Government inspectors in the performance d the Contractor's directors or officers, sistance for the safety and convenience of the willful misconduct on the part of the Government shall be performed in such dents, or other equivalent representaExcept as otherwise provided in this con. Le substantially all of the Contractor's tract, acceptance of any supplies or lots of them, or (2) all or substantially all of the supplies shall be made as promptly as prac- creator's operations at any one plant or deemed to have been made no later than 80 e performed, or (3) & separate and com

14 major industrial operation in connecceptance has not been made earlier within th the performance of this contract.

Genernment may at any time also rethis contract, but not later than 6 months (of war, without cost to the Government, of

oxtection or replacement by the ConSchedule) after acceptance of the supplies of the defects or fallures are caused by

sur mere individual employees selected or lots of supplies last delivered in accordance

thed by the Contractor after any such
ATLOTT personnel has reasonable grounds
oblete that such employee is habitually
be subject to the provisions of this

Comicted supplies or replaced supplies of delivery thereof are defective in material

and the same manner and to the same

es sa supplles originally delivered under how the proposed subco Except as otherwise provided in paragraph (c) hereof, the cost of any such replacement or correction shall be included in allowable

respection work available to the Gov

hat during the performance of this concost determined as provided in the clause of

this contract entitled "Allowable Cost, Fixed

In ud Payment," but no additional fee

tract and for such long provisions of this clause shall be included in

tal de payable with respect thereto. Such specified in this contract determining the amount payable under this

pls or lots of supplies shall not be (1) Except as provide contract, notwithstanding any provision ndered thereafter for acceptance unless as may be provided in contained in the specifications or other docu

de former requirement of correction is dis Contractor shall have n ments incorporated in this contract by

dhed. I the Contractor falls to proceed with bility to correct or repla reference, designating services to be per

sixesble promptness to replace or correct supplies which at the formed or materials to be furnished by the

sah supplies or lots of supplies, the Govern defective in material Contractor at his expense or without cost to

23 (1) may by contract or otherwise re otherwise not in conform the Government.

per er correct such supplies and charge to ments of this contract. [29 FR 10192, July 24, 1964 as amended at de Contractor any increased cost occasioned (g) Except as otherw 40 FR 14913, Apr. 3, 1975; 40 FR 18996, May 1 u Government thereby, or may reduce any Schedule, the Contracto 1975)

sal lee payable under this contract (or re-rect or replace Governm § 1-7.202–5 Inspection of supplies and an in such amount as may be equitable

ens repayment of any fixed fee theretofore erty (which is property 11

acquired directly by th correction of defects.

ther the circumstances, or (2) In the case delivered or otherwise m INSPECTION OF SUPPLIES AND CORRECTION OF Amplies not delivered, may require the Contractor) shall be go DEFECTS

Litery of such supplies, and shall have the visions of the clause of t

* to reduce any fixed fee theretofore "Government Property." (a) All supplies (which term throughout al ln such amount as may be equitable this clause Includes without limitation Tax

ther the circumstances, or (3) may termi

$ 1-7.202-6 Assignm materials, components, intermediate as

2 tbls contract for default as provided semblies, and end products) shall be subject to cause of this contract entitled

Insert the clause set to inspection and test by the Government

, Tradination for Default or Convenience of under the conditions to the extent practicable at all times and

1 Comernment." Fallure to agree to the places including the period of manufacture

,
Aunt of any such increased cost to be

$ 1-7.202-7 Examin and in any event prior to acceptance. The Weed to the Contractor or to such reduc

Comptroller Gene Contractor shall provide and maintain an

ng or repayment of, the fixed fee shall Inspection system acceptable to the Governo ispute concerning a question of fact

Insert the clause ment covering the supplies, fabricating the meaning of the clause of this 7.103-3. methods, and special tooling hereunder. The rest entitled "Disputes." Government, through any authorized represeNotwithstanding the provisions of para

$ 1-7.202-8 Subcont sentative, may Inspect the plant or plants and (b) hereof

, the Government may at of the Contractor or any of his subcon the require the correction or replace

Insert the following tractors engaged in the performance of this set by the Contractor, without cost to the

reimbursement type su by the Government on the premises of the dae defective in material or workman

centment
, of supplies or lots of supplies

SUBCONT Contractor or a subcontractor, the Contractor scolherwise not in conformity with the

(a) The Contractor s shall provide and shall require subcontracteresent of this contract, I such defectes tracting Officer reasonal and as

cost-reimbursement type

or labor-hour, or (2) is of their duties. All inspections and tests by

exceeds in dollar amount

of the total estimated a manner as will not unduly delay the work

.

or (3) provides for the 1 rental, Installation, or special test equipment i

cess of $1,000 or of any after delivery thereof

facilities.

(b) In the case of a days after the date of such delivery, 1f ac

which (1) is cost-relmi such period.

and materials, or labor

volve an estimated ar btime

$10,000, including any i such other period as may be provided in the

to exceed $100,000, or ( of subcontracts under

single subcontractor for with the requirements of this contract, the

supplies or services wh Government may require the Contractor to

are expected to exceed remedy by correction or replacement, as di

notification required 1

include: rected by the Contracting Officer, any supplies or lots of supplies which at the time

(1) A description of t

to be called for by the or workmanship or otherwise not in conform

(2) Identification of ity with the requirements of this contract

.

contractor and an exp Including the degree of

(3) The proposed si gether with the Conti

analysis thereof;

« PreviousContinue »