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(c) In negotiated procurements, with § 18–13.307 Providing Government prorespect to special test equipment the duction and research property when exact nature of which is not known when disposal is limited. the contract is signed, the contract shall (a) Nonseverable property. Nonseverdefine the extent to which the contractor able Government production and rewill be responsible for acquiring special search property, other than foundations test equipment for the Government. In and similar improvements necessary for „such cases, the clause set forth in the installation of special tooling, special § 18–13.705 shall be used to permit the test equipment, and plant equipment, Government to furnish special test shall not be installed or constructed on equipment in kind and thereby obtain land not owned by the Government, in an equitable adjustment.

such fashion as to be nonseverable, un§ 18–13.306-4 Screening existing Gov

less the Director (or other head) of the ernment-owned special test equip

installation determines that such locament costing $1,000 or more.

tion is necessary. The determination to

locate such nonseverable production and In order to minimize the acquisition

research property on land not owned by of new special test equipment or compo- the Government shall be made only nents thereof, the contracting officer

when all of the conditions in ubparashall consider the utilization of the

graphs (1) through (4) of this paraDepartment of Defense Industrial Plant

graph (a) have been met: Equipment Center resources, and if the (1) Consideration has been given to time limitations and other considera

any nonrecoverable costs involved, intions permit screening existing NASA

cluding transportation and installation; owned production and research property,

(2) Consideration has been given to to ascertain whether any Government

locating the Government property on a owned property can be furnished in ac

portion of the land where it can be cordance with the policy set forth in

segregated from existing contractor§ 18–13.306–1. To accomplish such owned and Government-owned facilities screening, Department of Defense In

and where the new Government producdustrial Plant Equipment Requisition tion and research property is readily (DD Form 1419) shall be submitted to

accessible to public thoroughfares, where the Procurement Office, NASA Head

it is practical to do so, and in such cases quarters (Code KDP-3) in accordance

consideration has been given to obtainwith Subpart 18-13.50. Where special

ing a written agreement by the contractest equipment is to be acquired in the tor on whose land the property is to be manner described in § 18–13.306–3(b), placed that either the Government or the screening shall be accomplished be- another Government contractor will fore contract award. Where special test

have a right to operate the production equipment is to be acquired in the man

and research property upon termination ner described in § 18–13.306–3(c), the or completion of the work for which it contracting officer shall normally accom- was provided; and in cases where such plish the screening and notify the con- an agreement is not obtained, the negotractor of the Government's election tiation effort shall be documented to within the notice period provided in the justify the alternate proposal; Special Test Equipment clause in § 18–

(3) The contractor agrees that the 13.705. Thereafter, the Government

Government will have the right to abanowned items to be furnished shall be

don in place all nonseverable Governpromptly shipped to the contractor and

ment production and research property the contract shall be equitably adjusted

provided and that the Government, in

such event, will not have any obligation pursuant to the Special Test Equipment

to restore or rehabilitate the premises on clause. However, if the contracting officer

which the property is located, unless determines that the savings anticipated

otherwise provided in the contract with from furnishing Government-owned

the prior approval of the head of the items would be exceeded by costs that

installation (this approval authority might be incurred as a result of delays

shall not be delegated); and or administrative actions, he may, except (4) One of the circumstances in subas to items listed in $ 18-13.312, waive

divisions (i) through (iv) of this subthe screening and shall immediately paragraph nas been metadvise the contractor that the Govern- (i) The Government obtains an option ment will not furnish the equipment. to acquire the underlaying land;

(ii) The production and research offer will be subject to the policy stated :property is disposable, after the Govern- in § 18–13.304(a) (1) regading the relament's need therefor has ceased, to par- tive priorities of the work involved. ties other than the contractor for com- (b) Government production and remercial or industrial operations and the search property may be offered on an "as Government acquires from the owner a is” basis for the performance of fixedright to retain title and to dispose of all price type contracts nly if it can be facilities it has constructed, without re- inspected by bidders or proposers prior to gard to the laws of real property in the

the submission of their offers. In such jurisdiction in which the facility is lo- cases, the solicitation shall state: cated. Such right of disposition must be

(1) The availability and location of unencumbered, and will be evidenced by the property, and the conditions under written agreement or other legal instru

which it may be inspected; ment signed by the contractor or other

(2) That the property will be offered owner of the real property;

in its current condition, f.o.b. present (iii) The contractor agrees in writing

location; that he will purchase the property upon

(3) That bidders or proposers must the termination or completion of the

satisfy themselves that the property is contract under which the property is pro

suitable for their use; vided, or within a specified reasonable

(4) That any costs of transporting, time thereafter, at a price to be deter

installing, modifying, repairing, or othermined by appraisal, or at a price equal

wise making the property suitable for use to the acquisition cost of the property

shall be borne by the successful bidder less depreciation at the rate or rates

or proposer; specified in the contract (which rate or

(5) That evaluations will be made to rates shall take into account the esti

eliminate any competitive advantage mated useful life of the property) or for

from the use of the property (see Subthe scrap and salvage value of the prop

part § 18–13.5); and

(6) The bidders or proposers to whom erty if the head of the installation determines that the estimated useful life of

the property is offered, if it is not to be

offered to all. the property will not extend beyond the expiration of the facilities contract or

(c) If, in accordance with the policy

stated in $ $ 18–13.402 and 18–13.403, the the completion of the work for which

successful bidder or proposer is authorthe property was provided. Any such purchase agreement must permit the

ized to use property furnished on an “as

is” basis, the Government shall furnish Government to credit any amounts due

the property in its current condition, the contractor under the contract against

f.o.b. present location. If a facilities conthe purchase price; or

tract is used to furnish Government pro(iv) The Administrator, NASA, specif

duction and research property offered on ically approves other provisions which

an “as is” basis, the schedule shall state he considers adequate to protect the in

that the contractor shall not be reimterests of the Government in regard to

bursed thereunder for transporting, inthe production and research property.

stalling, modifying, repairing, or other(b) Property subject to patent or other

wise making the property ready for use. proprietary rights. If patent or other proprietary rights of a contractor may re

§ 18-13.309 Changing Government prostrict the disposal of Government pro

duction and research property to be duction and research property, the con

provided. dition in either paragraph (a) (4) (ii) or The amount of Government produc(iii) of this section shall be satisfied be

tion and research property specified unfore such property is provided.

der a contract to be provided may be in

creased by a bilateral modification of the § 18–13.308 Offer to furnish Govern

contract. Such increases shall be made ment production and research prop- only when approved in accordance with erty “As Is”.

the policies prescribed in this Subpart (a) Government production and re- 18–13.3 and when the Government research property may be offered on an ceives adequate consideration therefor. “as is” basis in any solicitation for fixed- Unilateral decreases in or substitutions price type contracts, whether such prop- for the Government production and reerty is in storage or in the possession of search property specified under a cona contractor. In the latter event, the tract to be provided by the Government may be ordered by the contracting offcer, subject to the equitable adjustment of the contract, in accordance with paragraph (b) of the appropriate Government Property clause in Subpart 18–13.7. § 18–13.310 Limited offers.

If it is not feasible to make Government production and research property available to all bidders or proposers, solicitations offering to furnish such

property under this subpart may limit
the offer accordingly.
$ 18-13.311 [Reserved]
§ 18–13.312 Items to be screened.

The items to be screened (see Subpart 18–50) in accordance with $ $ 18–13.301 (f) and 18–13.306–4 are listed in the following Defense Supply Agency Handbooks:

INDEX OF INDUSTRIAL PLANT EQUIPMENT HANDBOOKS (NOTE-Handbooks are for sale by the Superintendent of Documents, U.S. Government Printing Office, Washington

D.C. 20402)

FSC

Title

DSA

6625.

3220..

3415-3417,

3441-3449.

3415-3417,

3441-3449 3424, 4130.

6635.

35530, 3625.

6636.

3422, 3426.

3450, 3460, 5220. 6680, 6685.

3635.

4440

6650, 6670

3680.

Electrical and Electronic Properties.

DSAH
Measuring and Testing Instruments.

4215.1.
Woodworking Machines..

DSAH

4215. 2.
Production Equipment Directory.1
D1 Metalworking Machinery 1960.

Revision Volumes 1 and 2.
Supplement to Production Equipment 1

DSAH
Directory D1 Metalworking Machinery 1960 Revision

4215. 3.
Industrial Furnaces and Ovens

DSAH
Volumes 1 and 2.

4215.4.
Physical Properties Testing Equipment.---

DSAH

4215.6. Textile Industries Machinery and Industrial Sewing Machines...

DSAH

4215.8. Environmental Chambers

DSAH

4215.10. Rolling Mills, Drawing Machines and Metal Finishing Equipment.--- DSAH

4215.12. Portable Machine Tools and Toolroom Layout Plates and Tables.

DSAH

4215.13. Liquid and Gas, Pressure, Temperature, Humidity, and Mechanical DSAH Motion Measuring and Controlling Instruments.

4215.15. Crystal and Glass Industries Machinery.-

DSAH

4215.16. Driers, Dehydrators, and Anhydrators...

DSAH

4215. 17. Scales, Balances and Optical Instruments.

DSAH

4215.18. Foundry Equipment.---

DSAH

4215.19. Combination and Miscellaneous Instruments Including Dynamometers... DSAH

4215.21. Aircraft Maintenance and Repair Shop Specialized Equipment.

DSAH

5.23. Centrifugals, Separators and Filters....

DSAH

4215.24. Chemical Analysis and Laboratory Instruments.

DSAH

4215.30. Pulp and Paper Industries and Size Reduction Machinery..

DSAH

4215.33. Rubber and Plastics Working Machinery.

DSAH 4215.35.
Marking, Metal Container, Assembly, Clean Work Stations, and Miscel- DSAH 4215.36.

laneous Industry Machinery.
Chemical and Pharmaceutical Products Manufacturing Machinery.

DSAH 4215.37.
Miscellaneous Maintenance and Repair Shop Specialized Equipment.. DSAH 4215.38.
Specialized Ammunition and Ordnance Machinery.

DSAH 4215.39. Metalworking Saws and Filing Machines.

DSAH 4215.40. Planers and Shapers (Includes Shapers, formerly Part of FSC 3419)

DSAH 4215.41. Welding, Heat Cutting and Metalizing Equipment..

DSAH 4215.42.
Machining Centers, Way Type Machines, Electrical and Ultrasonic Erosion DSAH 4215.43.

Machines.
Miscellaneous Machine Tools

DSAH 4215.44.
Drilling and Tapping Machines

DSAH 4215.45.
Boring Machines, Broaching Machines, Gear Cutting and Finishing DSAH 4215.46.

Machines.
Motor Vehicle Maintenance and Repair Shop Specialized Equipment..... DSAH 4215.47.

6695.

4920

4330.

6630, 6640.

3615, 3660.

3620 3611, 3685, 3693,

3694, 3695. 3650. 4940. 3690, 4925 3405 3418.. 3431, 3432, 3433,

3436, 3438. 3408, 3410.

3419.
3413
3411, 3412, 3414.

4910.

1 Production Equipment Directory D1 for sale by Superintendent of Documents, U.S. Government Printing Office, Washington, D.C. 20402. For FSC 3418 and 3419, see Handbooks DSAH 4215.41 and 4215.44 respectively.

(36 F.R. 25118, Dec. 29, 1971)

Subpart 18-13.4—Use and Rental of

Government Production and Re

search Property $ 18–13.401 Policy.

It is the policy of NASA to put Government production and research property which is in the possession of a contractor or subcontractor to the greatest possible use in the performance of Government contracts or subcontracts, so long as such use does not confer a competitive advantage on the contractor or subcontractor contrary to the policies set forth in Subpart 18–13.5.

(a) Industrial Plant Equipment (IPE) is acquired by NASA for use by a contractor in performing NASA work only when the contractor is unable or unwilling to furnish the IPE, and it is deemed in the best interest of the Government to provide such equipment to meet required delivery schedules for NASA materials and services. Existing Governmentowned IPE may be provided contractors when substantial savings to the Government will accrue, and no competitive advantage is conferred.

(b) There are instances where Government-owned IPE is required to remain in a contractor's plant to perform NASA work, but where the full capacity of the equipment is not required for this work. In such instances, contractors may be authorized to make use of the equipment for commercial work under three conditions where such authorization may be in the interest of the Government:

(1) To keep the equipment in a high state of operational readiness through egular usage;

(2) Where substantial savings to the Government would accrue through overhead cost sharing and receipt of rentals, or

(3) To avoid an inequity to the contractor who is required, at the Government's request, to retain the equipment in place, often intermingled with contractor-owned plant equipment required for the production of commercial orders. § 18–13.402 Authorizing a contractor to

use Government production and re

search property without charge. (a) A contractor may use Government production and research property without charge:

(1) In the performance of

(i) Prime contracts which specifically authorize use without charge;

(ii) Subcontracts of any tier if the contracting officer having cognizance over the prime contract concerned has authorized use without charge by:

(a) Approving a subcontract specifically authorizing such use;

(b) Inc ling such authorization in the prime contract; or

(c) By otherwise approving such use in writing;

(iii) Contracts of foreign government if use without charge has been authorized in writing pursuant to § 18–13.406; or

(iv) Research, development, or educational work by nonprofit organizations if the contracting officer having cognizance of such property approves such use in writing.

(2) Provided, as to subparagraph (1) (i) and (ii) of this paragraph,

(i) The procedures set forth in Subpart 18–13.5 are complied with;

(ii) The contracting officer having cognizance of the prime contract determines that the Government will receive adequate consideration for the use of the property through reduced costs for the supplies or services or otherwise; and

(iii) A concurrence in the proposed use of the property in accordance with paragraphs (b) and (c) of this section is obtained.

(b) (1) A contracting officer desiring to authorize use of Government production and research property under the cognizance of another contracting officer may request the latter to give his concurrence in such use. If concurrence is denied, the resolution procedures set forth in paragraph (c) of this section shall be employed.

(2) Unless its use is authorized by the solicitation, each solicitation shall require that any contractor or subcontractor desiring to use Government production and research property in his possession in the performance of the proposed Government contract or subcontract shall request the contracting officer having cognizance of such property to give his written concurrence in such use. Such concurrence shall be given whenver possible and shall contain any information required by $ 18–13.502 or § 18–13.503.

(c) If the contracting officer having cognizance of Government production and research property refuses to give the concurrence called for by paragraph (b) (2) of this section, the contractor may report the matter to the contracting officer, who may then request permission

may be ordered by the contracting offcer, subject to the equitable adjustment of the contract, in accordance with paragraph (b) of the appropriate Government Property clause in Subpart 18–13.7. § 18–13.310 Limited offers.

If it is not feasible to make Government production and research property available to all bidders or proposers, solicitations offering to furnish such

property under this subpart may limit
the offer accordingly.
$ 18–13.311 [Reserved]
$ 18-13.312 Items to be screened.

The items to be screened (see Subpart 18-50) in accordance with $$ 18-13.301 (f) and 18–13.306–4 are listed in the following Defense Supply Agency Handbooks:

INDEX OF INDUSTRIAL PLANT EQUIPMENT HANDBOOKS (NOTE-Handbooks are for sale by the Superintendent of Documents, U.S. Government Printing Office, Washington

D.C. 20402)

FSC

Title

DSA

6625.

3220.

3415-3417,

3441-3449.

3415-3417,

3441-3449 3424, 4430.

6635

35530, 3625.

6636.

3422, 3426

3450, 3460, 5220 6680, 6685.

3635.

4440.

6650, 6670

3680

Electrical and Electronic Properties.

DSAH
Measuring and Testing Instruments..

4215.1.
Woodworking Machines..

DSAH

4215. 2.
Production Equipment Directory.1
D1 Metalworking Machinery 1960.

Revision Volumes 1 and 2.
Supplement to Production Equipment 1.

DSAH
Directory D1 Metalworking Machinery 1960 Revision

4215.3.
Industrial Furnaces and Ovens

DSAH
Volumes 1 and 2.

4215.4.
Physical Properties Testing Equipment..

DSAH

4215.6. Textile Industries Machinery and Industrial Sewing Machines.

DSAH

4215.8. Environmental Chambers

DSAH

4215.10. Rolling Mills, Drawing Machines and Metal Finishing Equipment. DSAH

4215.12. Portable Machine Tools and Toolroom Layout Plates and Tables...... DSAH

4215.13. Liquid and Gas, Pressure, Temperature, Humidity, and Mechanical DSAH Motion Measuring and Controlling Instruments.

4215.15. Crystal and Glass Industries Machinery..

DSAH

4215.16. Driers, Dehydrators, and Anhydrators...

DSAH

4215. 17. Scales, Balances and Optical Instruments.

DSAH

4215.18. Foundry Equipment..

DSAH

4215.19. Combination and Miscellaneous Instruments Including Dynamometers... DSAH

4215.21. Aircraft Maintenance and Repair Shop Specialized Equipment.

DSAH

4215.23. Centrifugals, Separators and Filters...

DSAH

4215.24. Chemical Analysis and Laboratory Instruments.

DSAH

4215.30. Pulp and Paper Industries and Size Reduction Machinery.

DSAH

4215.33. Rubber and Plastics Working Machinery

DSAH 4215.35. Marking, Metal Container, Assembly, Člean Work Stations, and Miscel- DSAH 4215.36.

laneous Industry Machinery. Chemical and Pharmaceutical Products Manufacturing Machinery... DSAH 4215.37. Miscellaneous Maintenance and Repair Shop Specialized Equipment...

DSAH 4215.38. Specialized Ammunition and Ordnance Machinery.

DSAH 4215.39. Metalworking Saws and Filing Machines

DSAH 4215.40. Planers and Shapers (Includes Shapers, formerly Part of FSC 3419)

DSAH 4215.41. Welding, Heat Cutting and Metalizing Equipment..

DSAH 4215.42.
Machining Centers, Way Type Machines, Electrical and Ultrasonic Erosion DSAH 4215.43.

Machines.
Miscellaneous Machine Tools..

DSAH 4215.44.
Drilling and Tapping Machines.

DSAH 4215.45.
Boring Machines, Broaching Machines, Gear Cutting and Finishing DSAH 4215.46.

Machines.
Motor Vehicle Maintenance and Repair Shop Specialized Equipment...... DSAH 4215.47.

6695.

4920

4330.

6630, 6640. 3615, 3660.

3620 3611, 3685, 3693,

3694, 3695. 3650 4940.. 3690, 4925. 3405 3418.. 3431, 3432, 3433,

3436, 3438. 3408, 3410

3419.
3413..
3411, 3412, 3414.

4910.

1 Production Equipment Directory D1 for sale by Superintendent of Documents, U.S. Government Printing Office, Washington, D.C. 20402. For FSC 3418 and 3419, see Handbooks DSAH 4216.41 and 4215.44 respectively.

(36 F.R. 25118, Dec. 29, 1971]

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