Number range CHAPTER**SECTION I - CONTRACT CLAUSES**

**I.1 FAR 52.252-2 CLAUSES INCORPORATED BY REFERENCE (FEB 1998)**

This contract incorporates one or more clauses by reference, with the
same force and effect as if they were given in full text. Upon request,
the Contracting Officer will make their full text available. Also, the
full text of a clause may be accessed electronically at this address:
[www.arnet.gov/far/](http://www.arnet.gov/far/)

(End of clause)

# FEDERAL ACQUISITION REGULATION (48 CFR CHAPTER I) CLAUSES

  -------------------------- ----------------------------------------------- ------------------------
  **[NUMBER]{.underline}**   **[TITLE]{.underline}**                         **[DATE]{.underline}**

  52.202-1                   DEFINITIONS                                     Jul-04

  52.203-3                   GRATUITIES                                      Apr-84

  52.203-5                   COVENANT AGAINST CONTINGENT FEES                Apr-84

  52.203.6                   RESTRICTIONS ON SUBCONTRACTOR SALES TO THE      Jul-95
                             GOVERNMENT Alternate I (October 1995)           

  52.203-7                   ANTI-KICKBACK PROCEDURES                        Jul-95

  52.203-8                   CANCELLATION, RECESSION, AND RECOVERY OF FUNDS  Jan-97
                             FOR ILLEGAL OR IMPROPER ACTIVITY                

  52.203-10                  PRICE OR FEE ADJUSTMENT FOR ILLEGAL OR IMPROPER Jan-97
                             ACTIVITY                                        

  52.203-12                  LIMITATIONS ON PAYMENTS TO INFLUENCE CERTAIN    Jun-03
                             FEDERAL TRANSACTIONS                            

  52.204-2                   SECURITY REQUIREMENTS Alternate II (April 1984) Aug-96

  52.204-4                   PRINTED OR COPIED DOUBLE-SIDE ON RECYCLE PAPER  Aug-00

  52.209-6                   PROTECTING THE GOVERNMENT\'S INTEREST WHEN      Jul-95
                             SUBCONTRACTING WITH CONTRACTORS DEBARRED,       
                             SUSPENDED, OR PROPOSED FOR DEBARMENT            

  52.211-5                   MATERIAL REQUIREMENTS                           Aug-00

  52.211-10                  COMMENCEMENT, PROSECUTION, AND COMPLETION OF    Apr-84
                             WORK Alternate I (April 1984)                   

  52.215-2                   AUDIT AND RECORDS-NEGOTIATION                   Jun-99

  52.215-8                   ORDER OF PRECEDENCE\--UNIFORM CONTRACT FORMAT   Oct-97

  52.215-9                   CHANGES OR ADDITIONS TO MAKE-OR-BUY PROGRAM     Oct-97
                             Alternate II (October 1997)                     

  52.215-10                  PRICE REDUCTION FOR DEFECTIVE COST OR PRICING   Oct-97
                             DATA                                            

  52.215-11                  PRICE REDUCTION FOR DEFECTIVE COST OR PRICING   Oct-97
                             DATA---MODIFICATIONS                            

  52.215-12                  SUBCONTRACTOR COST OR PRICING DATA              Oct-97

  52.215-13                  SUBCONTRACTOR COST OR PRICING                   Oct-97
                             DATA\--MODIFICATIONS                            

  52.215-14                  INTEGRITY OF UNIT PRICES                        Oct-97

  52.215-18                  REVERSION OR ADJUSTMENT OF PLANS FOR            Oct-97
                             POSTRETIREMENT BENEFITS (PRB) OTHER THAN        
                             PENSIONS                                        

  52.215-19                  NOTIFICATION OF OWNERSHIP CHANGES               Oct-97

  52.215-21                  REQUIREMENTS FOR COST OR PRICING DATA OR        Oct-97
                             INFORMATION OTHER THAN COST OR PRICING          
                             DATA---MODIFICATIONS                            

  52.216-7                   ALLOWABLE COST AND PAYMENT                      Dec-02

  52.216-10                  INCENTIVE FEE                                   Mar-97

  52.217-4                   EVALUATION OF OPTIONS EXERCISED AT TIME OF      Jun-88
                             CONTRACT AWARD                                  

  52.217-5                   EVALUATION OF OPTIONS                           Jul 90

  52.217-8                   OPTION TO EXTEND SERVICES                       Nov-99

  52.219-8                   UTILIZATION OF SMALL BUSINESS CONCERNS          Oct-04

  52.219-9                   SMALL BUSINESS SUBCONTRACTING PLAN Alternate II Jan-02
                             (Oct 2001)                                      

  52.219-10                  INCENTIVE SUBCONTRACTING PROGRAM                Oct-01

  52.219-16                  LIQUIDATED DAMAGES-SUBCONTRACTING PLAN          Jan-99

  52.222-1                   NOTICE TO THE GOVERNMENT OF LABOR DISPUTES      Feb-97

  52.222-2                   PAYMENT FOR OVERTIME PREMIUMS                   Jul-90

  ~~52.222-6~~               ~~DAVIS-BACON ACT~~                             ~~Feb-95~~

                                                                             

                                                                             

                                                                             

                                                                             

                                                                             

  52.222-12                  CONTRACT TERMINATION -- DEBARMENT               Feb-88

                                                                             

                                                                             

                                                                             

                                                                             

  52.222-20                  WALSH-HEALEY PUBLIC CONTRACTS ACT               Dec-96

  52.222-21                  PROHIBITION OF SEGREGATED FACILITIES            Feb-99

  52.222-26                  EQUAL OPPORTUNITY                               Apr-02

  52.222-35                  EQUAL OPPORTUNITY FOR SPECIAL DISABLED          Dec-01
                             VETERANS, VETERANS OF THE VIETNAM ERA, AND      
                             OTHER ELIGIBLE VETERANS                         

  52.222-36                  AFFIRMATIVE ACTION FOR WORKERS WITH             Jan-98
                             DISABILITIES                                    

  52.222-37                  EMPLOYMENT REPORTS ON SPECIAL DISABLED          Dec-01
                             VETERANS, VETERANS OF THE VIETNAM ERA, AND      
                             OTHER ELIGIBLE VETERANS                         

  52.222-43                  FAIR LABOR STANDARDS ACT AND SERVICE CONTRACT   May-89
                             ACT-PRICE ADJUSTMENT (MULTIPLE YEAR AND OPTION  
                             CONTRACTS                                       

  52.223-5                   POLLUTION PREVENTION AND RIGHT-TO-KNOW          Aug-03
                             INFORMATION                                     

  52.223-6                   DRUG-FREE WORKPLACE                             May-01

  52-223.10                  WASTE REDUCTION PROGRAM                         Aug-00

  52.223-14                  TOXIC CHEMICAL RELEASE REPORTING                Aug-03

  52.224-1                   PRIVACY ACT NOTIFICATION                        Apr-84

  52.224-2                   PRIVACY ACT                                     Apr-84

  52.225-1                   BUY AMERICAN ACT\--SUPPLIES                     Jun-03

  52.225-3                   BUY AMERICAN ACT-FREE TRADE AGREEMENTS-ISRAELI  Jan-05
                             TRADE ACT                                       

  52.225-12                  NOTICE OF BUY AMERICAN ACT                      Jan-05
                             REQUIREMENT-CONSTRUCTION MATERIALS UNDER TRADE  
                             AGREEMENTS                                      

  52.225-13                  RESTRICTIONS ON CERTAIN FOREIGN PURCHASES       Dec-03

  52.227-1                   AUTHORIZATION AND CONSENT                       Jul-95

  52.227-2                   NOTICE AND ASSISTANCE REGARDING PATENT AND      Aug-96
                             COPYRIGHT INFRINGEMENT                          

  52.227-3                   PATENT INDEMNITY                                Apr-84

  52.227-14                  RIGHTS IN DATA\--GENERAL,                       Jun-87

  52.227-21                  TECHNICAL DATA DECLARATION, REVISION, AND       Jan-97
                             WITHHOLDING OF PAYMENT\--MAJOR SYSTEMS          

  52.227-22                  MAJOR SYSTEM-MINIMUM RIGHTS                     Jun-87

  52.227-23                  RIGHTS TO PROPOSAL DATA (TECHNICAL)             Jun-87

  52.228-5                   INSURANCE-WORK ON A GOVERNMENT INSTALLATION     Jan-97

  52.228-7                   INSURANCE-LIABILITY TO THIRD PERSONS            Mar-96

  52.229-3                   FEDERAL, STATE, AND LOCAL TAXES                 Apr-03

  52.230-2                   COST ACCOUNTING STANDARDS                       Apr-98

  52.230-3                   DISCLOSURE AND CONSISTENCY OF COST ACCOUNTING   Apr-98
                             PRACTICES                                       

  52.230-4                   CONSISTENCY IN COST ACCOUNTING PRACTICES        Aug-92

  52.230-6                   ADMINISTRATION OF COST ACCOUNTING STANDARDS     Nov-99

  52.232-1                   PAYMENTS                                        Apr-84

                                                                             

  52.232-6                   PAYMENT UNDER COMMUNICATION SERVICE CONTRACTS   Apr-84
                             WITH COMMON CARRIERS                            

  52.232-8                   DISCOUNTS FOR PROMPT PAYMENT                    Feb-02

  52.232-16                  PROGRESS PAYMENTS                               Apr-03

  52.232-17                  INTEREST                                        Jun-96

  52.232-18                  AVAILABILITY OF FUNDS                           Apr-84

  52.232-19                  AVAILABILITY OF FUNDS FOR THE NEXT FISCAL YEAR  Apr-84

  52.232-20                  LIMITATION OF COST                              Apr-84

  52.232-22                  LIMITATION OF FUNDS                             Apr-84

  52.232-23                  ASSIGNMENT OF CLAIMS                            Jan-86

  52.232-25                  PROMPT PAYMENT                                  Oct-03

                                                                             

  52.232.33                  PAYMENT BY ELECTRONIC FUNDS TRANSFER\--CENTRAL  Oct-03
                             CONTRACTOR REGISTRATION                         

  52.233-1                   DISPUTES Alternate I (DEC 1991)                 Jul-02

  52.233-3                   PROTEST AFTER AWARD Alternate I (Jun 1985)      Aug-96

  52.236-5                   MATERIAL AND WORKMANSHIP                        Apr-84

  52.236-7                   PERMITS AND RESPONSIBILITY                      Nov-91

  52.236-12                  CLEANING UP                                     Apr-84

  52.236-13                  ACCIDENT PREVENTION                             Nov-91

  52.236-17                  LAYOUT OF WORK                                  Apr-84

                                                                             

                                                                             

  52.239-1                   PRIVACY OR SECURITY SAFEGUARDS                  Aug-96

  52.242-1                   NOTICE OF INTENT TO DISALLOW COSTS              Apr-84

  52.242-2                   PRODUCTION PROGRESS REPORTS                     Apr-91

  52.242-3                   PENALTIES FOR UNALLOWABLE COSTS                 May-01

  52.242-4                   CERTIFICATION OF FINAL INDIRECT COSTS           Jan-97

  52.242-10                  F.o.b. ORIGIN-GOVERNMENT BILLS OF LADING OR     Apr-84
                             PREPAID POSTAGE                                 

  52.242-13                  BANKRUPTCY                                      Jul-95

  52.242-14                  SUSPENSION OF WORK                              Apr-84

  52.243-1                   CHANGES-FIXED-PRICE Alternate III (Apr 1984)    Aug-87

  52.243-2                   CHANGES-COST-REIMBURSEMENT Alternate II (April  Aug-87
                             1984)                                           

  52.243-4                   CHANGES                                         Aug-87

  52.243-5                   CHANGES AND CHANGED CONDITIONS                  Apr-84

  52.243-7                   NOTIFICATION OF CHANGES                         Apr-84

  52.244-2                   SUBCONTRACTS Alternate II (Aug 1998)            Aug-98

  52.244-5                   COMPETITION IN SUBCONTRACTING                   Dec-96

  52.244-6                   SUBCONTRACTS FOR COMMERCIAL ITEMS               Dec-04

  52.245-1                   PROPERTY RECORDS                                Apr-84

  52.245-5                   GOVERNMENT PROPERTY (COST-REIMBURSEMENT,        Jun-03
                             TIME-AND-MATERIAL, OR LABOR HOUR CONTRACTS)     

                                                                             

  52.246-25                  LIMITATION OF LIABILITY-SERVICES                Feb-97

  52.247-1                   COMMERCIAL BILL OF LADING NOTATIONS             Apr-84

  52.249-2                   TERMINATION FOR CONVENIENCE OF THE GOVERNMENT   Sept-96
                             (FIXED PRICE) Alternate I (Sept 1996)           

  52.249-6                   TERMINATION FOR CONVENIENCE OF THE GOVERNMENT   Sep-96
                             (COST REIMBURSEMENT) Alternate IV (Sept 1996)   

  52.249-8                   DEFAULT (FIXED-PRICE SUPPLY AND SERVICE)        Apr-84

                                                                             

  52.249-13                  FAILURE TO PERFORM                              Apr-84

  52.249-14                  EXCUSABLE DELAYS                                Apr-84

  52.251-1                   GOVERNMENT SUPPLY SERVICES                      Apr-84

  52.253-1                   COMPUTER GENERATED FORMS                        Jan-91
  -------------------------- ----------------------------------------------- ------------------------

I.2 FAR 52.204-1 APPROVAL OF CONTRACT (DEC 1989)

This contract is subject to the written approval of the Census Bureau
and **shall** not be binding until so approved.

(End of Clause)

**I.3 FAR 52.215-19 NOTIFICATION OF OWNERSHIP CHANGES (OCT 1997)**

\(a\) The Contractor **shall** make the following notifications in
writing:

\(1\) When the Contractor becomes aware that a change in its ownership
has occurred, or is certain to occur, that could result in changes in
the valuation of its capitalized assets in the accounting records, the
Contractor **shall** notify the Administrative Contracting Officer (ACO)
within thirty (30) days.

\(2\) The Contractor **shall** also notify the ACO within thirty (30)
days whenever changes to asset valuations or any other cost changes have
occurred or are certain to occur as a result of a change in ownership.

\(b\) The Contractor **shall**:

\(1\) Maintain current, accurate, and complete inventory records of
assets and their costs;

\(2\) Provide the ACO or designated representative ready access to the
records upon request;

\(3\) Ensure that all individual and grouped assets, their capitalized
values, accumulated depreciation or amortization, and remaining useful
lives are identified accurately before and after each of the
Contractor\'s ownership changes; and

\(4\) Retain and continue to maintain depreciation and amortization
schedules based on the asset records maintained before each Contractor
ownership change.

\(c\) The Contractor **shall** include the substance of this clause in
all subcontracts under this contract that meet the applicability
requirement of FAR 15.408(k).

(End of Clause)

**I.4 CAR 1352.237-71 Security Processing Requirements for
Contractor/Subcontractor Personnel Working on a Department of Commerce
Site (High Risk Contracts) (March 2000)**

Prescription:

Use the following clause in all service contracts classified as high
risk, which will be

performed on or within Government premises

a\. Security Processing Requirement

All contractor (and subcontractor) personnel proposed to work on the
premises of a Department of Commerce site under this contract must
undergo security processing by the Department\'s Office of Security
(OSY) before he or she is eligible to work on the premises of the
Herbert C. Hoover (HCH) Building or other buildings used for Department
operations.

b\. Additional Requirements for Foreign Nationals (Non-U.S. Citizens)

> Non-U.S. citizens to be employed under this contract must:
>
> \(1\) Have legal visa status with the Immigration and Naturalization
> Service
>
> (INS);
>
> \(2\) Have advance approval from the servicing Security Officer in
> consultation
>
> with the Office of Security. (The Office of Security routinely
> consults with
>
> appropriate agencies regarding the use of non-U.S. citizens on
> contracts
>
> and can provide up-to-date information concerning this matter.)

c\. Submittal Requirements

The Contractor must complete and submit the following forms to the
Contracting

Officer's Representative (COR), who will review and forward them to the
cognizant

Security Officer:

> A Standard Form 85P (SF-85P)\--Questionnaire for Public Trust
> Positions
>
> A Form FD-258 (Fingerprint Chart with OPM ORI number)

Upon completion of the security processing, OSY, through the Security
Officer and the

COR, will notify the Contractor in writing of the individual\'s
eligibility to be given access

to the HCH Building or other DOC buildings.

Security Processing shall consist of limited personal background
inquiries pertaining to

verification of name, physical description, marital status, present and
former residences,

education, employment history, criminal record, personal references,
medical fitness,

fingerprint classification, and other pertinent information. It is the
option of OSY to

repeat the security processing on any contract employee at its
discretion.

d\. Notification of Disqualifying Information

If OSY receives disqualifying information on a contract employee, the
Contractor, upon

notification of such, must immediately remove the employee from duties,
which require

access to DOC facilities.

> Individuals may be barred from working on the premises of a facility
> for any of the following:
>
> \(1\) Conviction of a felony or a crime of violence or of a
> misdemeanor involving
>
> moral turpitude.
>
> Falsification of information entered on security screening forms or on
> other documents submitted to the Department.
>
> Improper conduct once performing on the contract, including criminal,
>
> infamous, dishonest, immoral, or notoriously disgraceful conduct or
> other
>
> conduct prejudicial to the Government regardless of whether the
> conduct
>
> directly related to the contract.
>
> Any behavior judged to pose a potential threat to departmental
> personnel or property.
>
> Failure to comply with the requirements may result in termination of
> this contract,
>
> or removal of some contracted employees from DOC facilities.
> Compliance with
>
> these requirements shall not be construed as providing a contract
> employee
>
> clearance to have access to classified information.

(End of Clause)

**I.5 FAR 52.227-17  Rights in Data---Special Works (JUNE 1987)**

\(a\) *Definitions*.

"Data," as used in this clause, means recorded information regardless of
form or the medium on which it may be recorded. The term includes
technical data and computer software. The term does not include
information incidental to contract administration, such as financial,
administrative, cost or pricing or management information.

"Unlimited rights," as used in this clause, means the right of the
Government to use, disclose, reproduce, prepare derivative works,
distribute copies to the public, and perform publicly and display
publicly, in any manner and for any purpose whatsoever, and to have or
permit others to do so.

\(b\) Allocation of Rights.

\(1\) The Government shall have---

\(i\) Unlimited rights in all data delivered under this contract, and in
all data first produced in the performance of this contract, except as
provided in paragraph (c) of this clause for copyright.

\(ii\) The right to limit exercise of claim to copyright in data first
produced in the performance of this contract, and to obtain assignment
of copyright in such data, in accordance with paragraph (c)(1) of this
clause.

\(iii\) The right to limit the release and use of certain data in
accordance with paragraph (d) of this clause.

\(2\) The Contractor shall have, to the extent permission is granted in
accordance with paragraph (c)(1) of this clause, the right to establish
claim to copyright subsisting in data first produced in the performance
of this contract.

\(c\) Copyright---

\(1\) Data first produced in the performance of this contract.

\(i\) The Contractor agrees not to assert, establish, or authorize
others to assert or establish, any claim to copyright subsisting in any
data first produced in the performance of this contract without prior
written permission of the Contracting Officer. When claim to copyright
is made, the Contractor shall affix the appropriate copyright notice of
17 U.S.C. 401 or 402 and acknowledgment of Government sponsorship
(including contract number) to such data when delivered to the
Government, as well as when the data are published or deposited for
registration as a published work in the U.S. Copyright Office. The
Contractor grants to the Government, and others acting on its behalf, a
paid-up nonexclusive, irrevocable, worldwide license for all such data
to reproduce, prepare derivative works, distribute copies to the public,
and perform publicly and display publicly, by or on behalf of the
Government.

\(ii\) If the Government desires to obtain copyright in data first
produced in the performance of this contract and permission has not been
granted as set forth in subdivision (c)(1)(i) of this clause, the
Contracting Officer may direct the Contractor to establish, or authorize
the establishment of, claim to copyright in such data and to assign, or
obtain the assignment of, such copyright to the Government or its
designated assignee.

\(2\) *Data not first produced in the performance of this contract*. The
Contractor shall not, without prior written permission of the
Contracting Officer, incorporate in data delivered under this contract
any data not first produced in the performance of this contract and
which contain the copyright notice of 17 U.S.C. 401 or 402, unless the
Contractor identifies such data and grants to the Government, or
acquires on its behalf, a license of the same scope as set forth in
paragraph (c)(1) of this clause.

\(d\) *Release and use restrictions*. Except as otherwise specifically
provided for in this contract, the Contractor shall not use for purposes
other than the performance of this contract, nor shall the Contractor
release, reproduce, distribute, or publish any data first produced in
the performance of this contract, nor authorize others to do so, without
written permission of the Contracting Officer.

\(e\) *Indemnity*. The Contractor shall indemnify the Government and its
officers, agents, and employees acting for the Government against any
liability, including costs and expenses, incurred as the result of the
violation of trade secrets, copyrights, or right of privacy or
publicity, arising out of the creation, delivery, publication, or use of
any data furnished under this contract; or any libelous or other
unlawful matter contained in such data. The provisions of this paragraph
do not apply unless the Government provides notice to the Contractor as
soon as practicable of any claim or suit, affords the Contractor an
opportunity under applicable laws, rules, or regulations to participate
in the defense thereof, and obtains the Contractor's consent to the
settlement of any suit or claim other than as required by final decree
of a court of competent jurisdiction; nor do these provisions apply to
material furnished to the Contractor by the Government and incorporated
in data to which this clause applies.

(End of clause)

**I.6 Reserved**

**I.7 Reserved**

**I.8 FAR 52.247-67 SUBMISSION OF COMMERCIAL TRANSPORTATION BILLS TO THE
GENERAL SERVICES ADMINISTRATION FOR AUDIT (JUNE 1997)**

(a)(1) In accordance with paragraph (a)(2) of this clause, the
Contractor **shall** submit to the General Services Administration (GSA)
for audit, legible copies of all paid freight bills/invoices, commercial
bills of lading (CBL\'s), passenger coupons, and other supporting
documents for transportation services on which the United States will
assume freight charges that were paid:

\(i\) By the Contractor under a cost-reimbursement contract; and

\(ii\) By a first-tier subcontractor under a cost-reimbursement
subcontract there under.

\(2\) Cost-reimbursement Contractors **shall** only submit for audit
those CBL\'s with freight shipment charges exceeding \$50.00. Bills
under \$50.00 **shall** be retained on-site by the Contractor and made
available for GSA on-site audits. This exception only applies to freight
shipment bills and is not intended to apply to bills and invoices for
any other transportation services.

\(b\) The Contractor **shall** forward copies of paid freight
bills/invoices, CBL\'s, passenger coupons, and supporting documents as
soon as possible following the end of the month, in one package to the:

> General Services Administration\
> Attn: FWA\
> 1800 F Street, NW\
> Washington, DC 20405.

The Contractor **shall** include the paid freight bills/invoices,
CBL\'s, passenger coupons, and supporting documents for first-tier
subcontractors under a cost-reimbursement contract. If the inclusion of
the paid freight bills/invoices, CBL\'s, passenger coupons, and
supporting documents for any subcontractor in the shipment is not
practicable, the documents may be forwarded to GSA in a separate
package.

\(c\) Any original transportation bills or other documents requested by
GSA **shall** be forwarded promptly by the Contractor to GSA. The
Contractor **shall** ensure that the name of the contracting agency is
stamped or written on the face of the bill before sending it to GSA.

\(d\) A statement prepared in duplicate by the Contractor **shall**
accompany each shipment of transportation documents. GSA will
acknowledge receipt of the shipment by signing and returning the copy of
the statement. The statement **shall** show:

\(1\) The name and address of the Contractor;

> \(2\) The contract number including any alphanumeric prefix
> identifying the contracting office;

\(3\) The name and address of the contracting office;

\(4\) The total number of bills submitted with the statement; and

> \(5\) A listing of the respective amounts paid or, in lieu of such
> listing, an adding machine tape of the amounts paid showing the
> Contractor\'s voucher or check numbers.

**(End of Clause)\
**

**I.9 FAR 52.252-6 AUTHORIZED DEVIATIONS IN CLAUSES (APRIL 1984).**

\
(a) The use in this solicitation or contract of any Federal Acquisition
Regulation (48 CFR Chapter 1) clause with an authorized deviation is
indicated by the addition of \"(DEVIATION)\" after the date of the
clause.

\(b\) The use in this solicitation or contract of any Federal
Acquisition Regulation (48 CFR) clause with an authorized deviation is
indicated by the addition of \"(DEVIATION)\" after the name of the
regulation.

(End of Clause)

**I.10 CAR 1352.239-73- SECURITY REQUIREMENTS FOR INFORMATION TECHNOLOGY
RESOURCES**

(a) This clause is applicable to all contracts that include information
    technology resources or services in which the Contractor must have
    physical or electronic access to DOC's sensitive or classified
    information, which is contained in systems that directly support the
    mission of the Agency. For purposes of this clause the term
    "Sensitive" is defined by the guidance set forth in:

> \(1\) The *DOC IT Security Program Policy and Minimum Implementation
> Standards* (<http://www.osec.doc.gov/cio/itmhweb/itmhweb1.html>);
>
> \(2\) The Office of Management and Budget (OMB) [Circular A-130,
> Appendix III]{.underline}, *Security of Federal Automated Information
> Resources*, (<http://csrc.nist.gov/secplcy/a130app3.txt>) which states
> that there is a "presumption that all \[general support systems\]
> contain some sensitive information."; and

(3) [The Computer Security Act of 1987]{.underline} (P.L. 100-235)
    (<http://www.epic.org/crypto/csa/csa.html>), including the following
    definition of the term sensitive information "... any information,
    the loss, misuse, or unauthorized access, to or modification of
    which could adversely affect the national interest or the, conduct
    of federal programs, or the privacy to which individuals are
    entitled under section 552 a of title 5, Unites States Code (The
    Privacy Act), but which has not been specifically authorized under
    criteria established by an Executive Order

(4) or an Act of Congress to be kept secret in the interest of national
    defense or foreign policy."

> For purposes of this clause, the term "Classified" is defined by the
> guidance set forth in:
>
> \(1\) The *DOC IT Security Program Policy and Minimum Implementation
> Standards, Section 3.3.1.4*
> (<http://www.osec.doc.gov/cio/itmhweb/itmhweb1.html>).
>
> \(2\) The *DOC Security Manual, Chapter 18*
> (<http://www.osec.doc.gov/osy/>).
>
> \(3\) Executive Order 12958, as amended, Classified National Security
> Information. Classified or national security information is
> information that has been specifically authorized to be protected from
> unauthorized disclosure in the interest of national defense or foreign
> policy under an Executive Order or Act of Congress.
>
> Information technology resources include, but are not limited to,
> hardware, application software, system software, and information
> (data). Information technology services include, but are not limited
> to, the management, operation (including input, processing,
> transmission, and output), maintenance, programming, and system
> administration of computer systems, networks, and telecommunications
> systems. The Contractor **shall** be responsible for implementing
> sufficient Information Technology security, to reasonably prevent the
> compromise of DOC IT resources for all of the contractor's systems
> that are interconnected with a DOC network or DOC systems that are
> operated by the Contractor.

(b) All Contractor personnel performing under this contract and
    Contractor equipment used to process or store DOC data, or to
    connect to DOC networks, must comply with the requirements contained
    in the DOC *Information Technology Management Handbook*
    (<http://www.osec.doc.gov/cio/itmhweb/itmhweb1.html>), or
    equivalent/more specific agency or bureau guidance as specified
    immediately hereafter \[insert agency or bureau specific guidance,
    if applicable\].

(c) For all Contractor-owned systems for which performance of the
    contract requires interconnection with a DOC network or that DOC
    data be stored or processed on them, the Contractor **Shall**:

    \(1\) Provide, implement, and maintain an IT Security Plan. This
    plan **shall** describe the processes and procedures that will be
    followed to ensure appropriate security of IT resources that are
    developed, processed, or used under this contract. The plan
    **shall** describe those parts of the contract to which this clause
    applies. The Contractor's IT Security Plan **shall** comply with
    federal laws that include, but are not limited to, the Computer
    Security Act of 1987 (40 U.S.C. 1441 *et seq*.) and the Federal
    Information Security Management Act of 2002, Pub. L. No.107-347, 116
    Stat. 2899, 2946-2961 (2002); Pub. L. No. 107-296, 116 Stat. 2135,
    2259-2273 (2002). 38 WEEKLY COMP. PRES. DOC. 51, 2174 (Dec.
    23, 2002) (providing statement by President George W. Bush regarding
    Federal Information Security Management Act of 2002). The plan
    **shall** meet IT security requirements in accordance with Federal
    and DOC policies and procedures that include, but are not limited
    to:

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(a) OMB Circular A-130, *Management of Federal Information Resources*,
    Appendix III, *Security of Federal Automated Information Resources*

    (<http://csrc.nist.gov/secplcy/a130app3.txt>);

(b) National Institute of Standards and Technology Special Publication
    800-18, *Guide for Developing Security Plans for Information
    Technology Systems*
    (<http://csrc.nist.gov/publications/nistpubs/800-18/Planguide.PDF>)
    ; and

(c) DOC Procedures and Guidelines in the *Information Technology
    Management Handbook*
    (<http://www.osec.doc.gov/cio/itmhweb/itmhweb1.html>)*.* .

(d) National Industrial Security Program Operating Manual (NISPOM) for
    classified systems (<http://www.dss.mil/isec/nispom.htm>); and

(e) \[Insert agency or bureau specific guidance\].

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```
(2) Within 14 days after contract award, the contractor **shall** submit
    for DOC approval a System Certification and Accreditation package,
    including the IT Security Plan and a system certification test plan,
    as outlined in *DOC IT Security Program Policy*, Sections 3.4 and
    3.5 (<http://home.osec.doc.gov/DOC-IT-Security-Program-Policy.htm>).
    The Certification and Accreditation Package must be consistent with
    and provide further detail for the security approach contained in
    the Offerors' proposal or sealed bid that resulted in the award of
    this contract and in compliance with the requirements stated in this
    clause.

> The Certification and Accreditation Package, as approved by the
> Contracting Officer, in consultation with the DOC IT Security

(3) Manager, or Agency/Bureau IT Security Manager/Officer, **shall** be
    incorporated as part of the contract. DOC will use the incorporated
    IT Security Plan as the basis for certification and accreditation of
    the contractor system that will process DOC data or connect to DOC
    networks. Failure to submit and receive approval of the
    Certification and Accreditation Package, as outlined in *DOC IT
    Security Program Policy*, Sections 3.4 and 3.5
    (<http://home.osec.doc.gov/DOC-IT-Security-Program-Policy.htm>) may
    result in termination of the contract.

> \(d\) The Contractor **shall** incorporate this clause in all
> subcontracts that meet the conditions in paragraph (a) of this clause.

(End of Clause)

**I.11 CAR 1352.239-74 SECURITY PROCESSING REQUIREMENTS FOR
CONTRACTORS/SUBCONTRACTORS PERSONNEL FOR ACCESSING**

**DOC INFORMATION TECHNOLOGY SYSTEMS**

(a) Contractor personnel requiring any access to systems operated by the
    Contractor for DOC or interconnected to a DOC network to perform
    contract services **shall** be screened at an appropriate level in
    accordance with Commerce Acquisition Manual 1337.70, *Security
    Processing Requirements for Service Contracts*. DOC **shall**
    provide screening using standard

> personnel screening forms, which the Contractor **shall** submit to
> the DOC Contracting Officer's Technical Representative (COTR) based on
> the following guidance:

1\) Contract personnel performing work designated Contract High Risk and
personnel performing work designated Contract Moderate Risk in the
information technology (IT) occupations and those with "global access"
to an automated information system require a favorable pre-employment
check before the start of work on the contract, regardless of the
expected duration of the contract. After a favorable pre-employment
check has been obtained, the Background Investigation (BI) for Contract
High Risk and the Minimum Background Investigation (MBI) for Contract IT
Moderate Risk positions must be initiated within three working days of
the start of work.

2\) Contract personnel performing work designated Contract Moderate Risk
who are not performing IT-related contract work do not require a
favorable pre-employment check prior to their employment; however, the
Minimum Background Investigation (MBI) must be initiated within three
working days of the subject's start of work on the contract, regardless
of the expected duration of the contract.

3\) Contract personnel performing work designated Contract Low Risk will
require a National Agency Check and Inquiries (NACI) upon the subject's
start of work on the contract if the expected duration of the contract
exceeds 365 calendar days. The NACI must be initiated within three
working days of the subject's start of work on the contract.

4\) Contract personnel performing work designated Contract Low Risk will
require a Special Agreement Check (SAC) upon the subject's start of work
on the contract if the expected duration of the contract (including
options) exceeds 180 calendar days but is less than 365 calendar days.
The SAC must be initiated within three working days of the subject's
start of work on the contract.

5\) Contract personnel performing work on contracts requiring access to
classified information must undergo investigative processing according
to the Department of Defense National Industrial Security Program
Operating Manual (NISPOM),

(<http://www.dss.mil/isec/nispom.htm>) and be granted eligibility for
access to classified information prior to beginning work on the
contract.

The security forms may be obtained from the cognizant DOC security
office servicing your bureau, operating unit, or Departmental office. At
the option of the government, interim access to DOC IT systems may be
granted pending favorable completion of a pre-employment check. Final
access may be granted only on completion of an appropriate investigation
based upon the risk level assigned to the contract by the Contracting
Officer.

(b) Within 5 days after contract award, the Contractor **shall** certify
    in writing to the COTR that its employees, in performance of the
    contract, have completed annual IT security awareness training in
    DOC IT Security policies, procedures, computer ethics, and best
    practices, in accordance with *DOC IT Security Program Policy,
    section 3.13*
    (<http://home.osec.doc.gov/DOC-IT-Security-Program-Policy.htm>). The
    COTR will inform the Contractor of any other available DOC training
    resources.

(c) Within 5 days of contract award, the Contractor **shall** provide
    the COTR with signed Nondisclosure Agreements as specified in
    Commerce Acquisition Regulation (CAR), 1352.209-72, *Restrictions
    Against Disclosures*.

(d) The Contractor **shall** afford DOC, including the Office of
    Inspector General, access to the Contractor's and subcontractor's
    facilities, installations, operations, documentation, databases, and
    personnel used in performance of the contract. Access **shall** be
    provided to the extent required to carry out a program of IT
    inspection, investigation, and audit to safeguard against threats
    and hazards to the integrity, availability, and confidentiality of
    DOC data or to the function of computer systems operated on behalf
    of DOC, and to preserve evidence of computer crime.

(e) The Contractor **shall** incorporate this clause in all subcontracts
    that meet the conditions in paragraph (a) of this clause.

(End of Clause)

\[Note -- Concerning I.12 below, in accordance with Commerce Acquisition
Manual (CAM) 1337.70, the FDCA contract has been determined to be a
"high risk" contract. CAM 337.70, Attachment 1, Section 203(a), provides
that "in instances where there is a wide variance in the risk level of
the work to be performed under one contract, individual contract
employees may be processed at a lower designation, commensurate with
their duties, when approved by the servicing security officer."
Accordingly, the Census Bureau has requested the following deviation to
CAR 1352.239-74, to provide a tiered approach for contractor and
subcontractor personnel security-processing requirements based upon the
specific function performed under the FDCA contract. Further information
concerning the status of this requested deviation may be provided in an
amendment to this RFP.\]

I.12 CAR 1352.239-74 SECURITY PROCESSING REQUIREMENTS FOR

**CONTRACTORS/SUBCONTRACTOR PERSONNEL FOR**

#  ACCESSING DOC INFORMATION TECHNOLOGY SYSTEMS (DEVIATION)

The following paragraph is hereby inserted in Section (a) of the clause:

6\) All contractor and subcontractor personnel supporting the FDCA
contract shall be deemed "Contract High Risk" unless otherwise
categorized in accordance with this paragraph. The following chart
provides examples of IT functions performed under the contract and a
corresponding IT Risk Level. The contractor or subcontractor shall
assign an IT Risk Level to personnel based upon the function being
performed under the contract. For those personnel not considered
"Contract High Risk", the contractor shall provide a list of employees,
proposed IT Risk Level, and adequate job description supporting the
proposed designation for approval by the COTR in consultation with the
security officer. The employee list shall be provided to the COTR in
sufficient time to allow for the necessary background investigations to
be performed prior to the employee commencing work. Based upon the
assigned IT Risk Level, the contractor shall adhere to the
security-processing requirements provided in paragraphs one through five
above. If contractor personnel perform multiple IT functions, the
contractor shall assign and adhere to the processing requirements
applicable to the highest IT Risk Level assigned.

+-----------------------------------+-----------------------------------+
| # IT Risk Level                   | # Examples of IT Functions        |
+-----------------------------------+-----------------------------------+
|                                   |                                   |
+-----------------------------------+-----------------------------------+
| Contract High Risk                | -   Network/System Administrator  |
|                                   |                                   |
|                                   | -   System developer              |
|                                   |                                   |
|                                   | -   IT security positions         |
+-----------------------------------+-----------------------------------+
| Contract Moderate Risk            | -   User of a system that         |
|                                   |     contains Title 13 data        |
|                                   |                                   |
|                                   | -   User of a system that has     |
|                                   |     "write" capability to a FDCA  |
|                                   |     production system             |
+-----------------------------------+-----------------------------------+
| Contract Low Risk                 | -   User that has read only       |
|                                   |     access to non-Title 13 data   |
|                                   |                                   |
|                                   | -   Capability limited to office  |
|                                   |     automation applications such  |
|                                   |     as word processing and e-mail |
|                                   |                                   |
|                                   | -   Helpdesk personnel that to    |
|                                   |     not have the capability to    |
|                                   |     remotely manage user's        |
|                                   |     machines                      |
|                                   |                                   |
|                                   | -   Personnel affiliated solely   |
|                                   |     with the configuration,       |
|                                   |     installation, and             |
|                                   |     de-installation of systems in |
|                                   |     the RCCs and LCOs and do not  |
|                                   |     retain any system             |
|                                   |     administration rights post    |
|                                   |     installation                  |
+-----------------------------------+-----------------------------------+

The COTR shall designate the IT Risk Level for contractor personnel in
the event of a dispute or question related to the proper designation.

(End of clause)

**\[End Section I\]**