United States 

Department of 

Agriculture 

Telecommunications 

System

Rural 

Utilities 

Service 

RUS Form 515 

Construction Contract

(Labor and Materials)

September 2001 
According to the Paperwork Reduction Act of 1995, an agency may not conduct or sponsor, and a 

person is not required to respond to, a collection of information unless it displays a valid OMB 

control number. The valid OMB control number for this information collection is 0572-0059. The 

time required to complete this information collection is estimated to average 4 hours per 

response, including the time for reviewing instructions, searching existing data sources, 

gathering and maintaining the data needed, and completing and reviewing the collection of 

information. 

For sale by the Superintendent of Documents, U.S. Government Printing Office, 

Washington, DC 20402-9325
P & S SERIAL NO.______________ 

Telecommunications System 

Construction Contract

(Labor and Materials) 

RUS Contract Form 515 

SEPTEMBER 17, 2001 

U.S. Department of Agriculture 

Rural Utilities Service 
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i

TELECOMMUNICATIONS SYSTEM CONSTRUCTION CONTRACT 

(Labor and Materials) 

The Complete Construction Contract Consists of the Following: 

 I. RUS Contract Form 515, Telecommunications System 

Construction Contract, which includes: 

 A. Notice to Bidders (Page 1) 

 B. Instructions to Bidders (Page 5) 

 C. Contractor's Proposal (Page 23) 

 D. Construction Agreement (Page 115) 

 E. Engineering, Construction, and Inspection Details 

 (Page 128) 

II. One or more of the specification packets made a part of the 

Contract by reference as indicated on page 13. 

 A. RUS Form 515a, Specifications and Drawings for 

Construction of Buried Plant (RUS Bulletin 1753F-150). 

 B. RUS Form 515b, Specifications and Drawings 

for Underground Plant (RUS Bulletin 1753F-151). 

C. RUS Form 515c, Specifications and Drawings for Construction of 

Aerial Plant (RUS Bulletin 1753F-152). 

D. RUS Form 515d, Specifications and Drawings for Service 

Entrance Installations at Customer Access Locations 

(RUS Bulletin 1753F-153). 

III. Plans, including Maps, Construction Sheets and Special 

Drawings prepared by the Owner's Engineer (Current version 

of related forms to be utilized). 

Check List of Pages to be Completed

Engineer - Prior to Release for Bids Completes: 

Pages 1-3 Notice to Bidders 

Pages 5-12 Paragraphs 1, 2, 5, 8, 18c, 18d, and 18g 

Page 23 Contractor's Proposal 

Pages 25-89 Listing of Units, Quantities and Other 

information as Applicable 

Page 91 "Value and Disposition of Units to be 

Removed" Table (Columns 1-7) 

Pages 93-95 List of Special Assembly Unit Drawings and 

Special Guide Drawings, and List of Changes 

Page 97 List of Cable Plant Layout Maps 

Page 99 List of Construction Sheets 

Page 101 List of Special Arrangement Units 

Page 110 Paragraph 14 
ii

Page 111 Paragraph 17, 18 

Pages 116-117 Article II, Section 1(b) 

Page 135-137 Schedule of Acceptance Tests and Measurements 

Page 138 Article VI, Section 2 

"W" units in RUS Forms 515a, 515b, 515c, and 515d, as Applicable. 

Owner – Prior to Release for Bids Completes: 

Pages 2, and 138 Liquidated Damage Amount 

Pages 3, and 12 Signature and Date 

Page 19 Interim Financing, as Applicable 

Page 21-22 Supplement A to Construction Contract RUS 

Form 515, as Applicable 

Bidder - Prior to Submitting Bid Completes: 

Page 13 Bid Bond or Certified Check 

Page 15 Certification Regarding Debarment, 

Suspension, Ineligibility and Voluntary 

Exclusion – Lower Tier Covered Transactions 

Page 17 Certification for Contracts, Grants, Loans, 

and Cooperative Agreements (Lobbying 

Certification) 

Page 19 Interim Financing, as Applicable 

Page 21-22 Supplement A to Construction Contract RUS 

Form 515, as Applicable 

Pages 25-89 Unit Prices and Extensions, as Applicable 

Pages 103-105 Proposal Summary 

Page 109 Contractor's License, Paragraph 10 

Page 112 Paragraph 21 

Page 113 Signature, Address, Date and Seal 

Engineer - On Acceptance Completes: 

Page 115 Top of Page and Article I, Section 1 (except 

for date) 

Page 121 Article III, Section 1(b) 

Owner - On Acceptance: 

Page 115 Dates Construction Agreement 

Page 145 Signs Construction Agreement 

Bidder - Upon Notification of Acceptance: 

Page 145 Signs Construction Agreement 

Pages 151-157 Inserts executed Contractor's Bond
iii

TELECOMMUNICATIONS SYSTEM CONSTRUCTION CONTRACT (RUS FORM 515)

INDEX

 Page Page

 A

ACCEPTANCE TESTS . . . 131, 135-137 

ACCIDENTS . . . . . . . . . 125, 126 

ANTI-KICKBACK ACTS . . . . . 7, 144 

B

BIDDERS: 

 Bid Bond . . . . . . . . 8, 9, 13 

 Notice . . . . . . . . . . . . 1-3 

 Instructions . . . . . . . . 5-12 

 Qualifications . . . . . . . . . 3 

BOND: 

 Bid . . . . . . . . . . . 8, 9, 13 

 Contractors . . 7, 8, 9, 107, 109, 

 . . . . . . 121, 138, 142, 151-157 

 C 

CERTIFICATE: 

 Buy American . . . . 141, 142, 167 

 Completion . . 120, 121, 122, 140 

 Contractor's . . . . . . 122, 147 

CERTIFIED CHECK . . . . . . . . 8, 9 

CLEARING, RIGHT-OF-WAY . . . . 125 

CONTRACT: 

 Amendment . . . . . . . . 117, 165 

 Amount . . . . . . . . . . . . 121 

 Approval, by Administrator . . 145 

 Date . . . . . . . . . . . . . 115 

 Description of . . . . . . . . 116 

 Nonassignment . . . . . . . . 142 

 Price . . . . . . . . . . . . 121 

 Subcontract . . . . 123, 142, 159 

 Termination . . . . . . . . . 138 

CONSTRUCTION: 

 Agreement . . . . . . . . . . 115 

 Changes . 108, 111, 117, 121, 163 

 Cleanup . . . . . . . . . 120, 140 

 Commencement . . . . . . . . . 110 

 Completion . 2, 8, 10, 116-127, 140 

 Completion Time . . . . . . . 110 

 Corridor . 5-6, 10-11, 124, 140-141 

 Delay . . . . . 12, 110, 116, 138 

 Extension of Time . . . . . 12, 117 

 Foreman . . . . . . . . . 109, 118 

 Manner . . . . . . . . . 116, 117 

 Sequence . . . . . . . . 116, 117 

 Superintendent . . . . . 109, 118 

 Supervision . . . . . . . 118, 131 

CONTRACTORS: 

 Bond . . 7-9, 107, 109, 121, 138, 

 . . . . . . . . . . . 142, 151-157 

 Certificates . . . . . . 122, 147 

 Default . . . . . . . . . 122, 138 

 Employees . . . . . . . . . . 118 

 License . . . . . . . . . . . 109 

 Negligence . . . . . . . . 123-125 

 Proposal . . . . . . . . . . . 23 

 Qualifications . . . . . . . . . 3 

 Superintendent . . . . . 109, 118 

D

DAMAGES . . . . . . . . . . . 2, 138 

DEBARMENT & SUSPENSION . . . 15, 113 

DEFINITIONS . . . . . . . . 139-141 

DRAWINGS, LIST OF SPECIAL . . . . 93 

E

EASEMENT . . . . . . . . . . 10, 11 

ENGINEERING DETAILS . . . . . . 128 

ENVIRONMENT . . . . . . . . 117-123 

EQUAL OPPORTUNITY . . . 112, 142-144 

EXPLOSIVES . . . . . . . . . . . 127 

F

FRANCHISES . . . . . . . . . . . 144 

G

GUARANTEES . . . . . . . . . . . 127 

I

INSPECTION . . . 107, 108, 118, 119, 

 . . . . . . . . . . . . . . 128-135 

INSURANCE . . . . . . . . . 126, 127 

INTEREST . . . . . . . . . 121, 122 

INTERIM FINANCING . . . . . . . . 19 

INVENTORY . . . . . . 108, 111, 120, 

 . . . . . . . . . . . 121, 129, 140 

IRREGULARITIES . . . . . . . . . . 9 

J

JOINT USE . . . . . . . . . . 6, 143 
iv

L

LICENSE, CONTRACTOR'S . . . . . 109 

LIENS, RELEASE . . . . 120, 122, 149 

LIQUIDATED DAMAGES . . . . . 2, 138 

LOBBYING CERTIFICATE . . . . . . 17 

M

MAPS . . . . . . . . . . 95, 97, 128 

MATERIALS: 

 Acceptable List . . . . . . . 107 

 Condemned . . . . . . . . . . 119 

 Defective . . . . . 119, 120, 125 

 Eligible Country . . . . . . . 140 

 Furnished by Owner . . 10, 21, 109 

 Inspection . . . . 107, 108, 118, 

 . . . . . . . . . . . . . . 128-135 

 Prices . . . . . . . 10, 103, 105 

 Purchase . . . . . . 127, 141, 142 

N 

NONDISCRIMINATION . . . . . 142-144 

P

PATENTS . . . . . . . . . . . . 127 

PAYMENTS: 

 Contractor . . . 118, 119, 120-122 

 Final . . . . . . . . . . 118-123 

 Materialmen . . . . . . . . . 123 

 Partial . . . . . . . . . 120-122 

 Subcontractor . . . . . . 123, 141 

PERMITS . . . . . . 10, 11, 127, 144 

PRETESTING INSPECTION . . . 131-137 

PRICE: 

 Contract . . . . . . . . . . . 121 

 Labor and Material . . .10, 23-89, 

 . . . . . . . . 107, 108, 110, 111 

 Unit . . . . . . . . . .10, 23-89, 

 . . . . . . . . 107, 108, 110, 111 

PROJECT: 

 Consists of . . . . . . . . . . . 1 

 Definition . . . . . . . . . . 140 

 Delay . . . . . . . . . 2, 12, 117 

 Delivery of Possession and Control 

 . . . . . . . . . . . 125, 126, 138 

 Location . . . . . . . . . . . . 1 

PROPOSAL: 

 Acceptance . . . . . . . . . . 115 

 Contractor's . . . . . . . . . 23 

 Summary . . . . . . . . . 103, 105 

R

REMEDIES . . 119, 138, 139, 151-157 

RIGHT-OF-WAY . . . . . 10, 11, 111, 

 . . . . . . . . . . . . . 125, 144 

S 

SUBCONTRACT . . . . . 123, 142, 159 

SUPPLEMENT A . . . . . . . . . . 21 

SURETIES . . . . . 109, 138, 151-157 

T

TAXES . . . . . . . . . . . . 8, 110 

TESTS: 

 Acceptance, Outside Plant . 128-137 

 Precutover . . . . . . . . . . 126 

TRIMMING . . . . . . . . . . 123-125 

W

WORKMANSHIP . . . 118-120, 125-127, 

 . . . . . . . . . . . . . 132-135 

WORKMEN”S COMPENSATION . . 126, 127 
1

NOTICE TO BIDDERS 

TELECOMMUNICATIONS OUTSIDE PLANT PROJECT 

Sealed proposals for the construction, including the supply of 

necessary Labor, materials, and equipment, of a rural 

telecommunications project as described below: 

Project Number: _________________________________________________ 

Company Name: ___________________________________________________ 

Exchange(s): ____________________________________________________ 

_________________________________________________________________ 

County(ies): ____________________________________________________ 

State(s): ______________________________________________________; 

shall be received at the following location and time: 

Address: ________________________________________________________ 

Bid Date: _______________________________________________________ 

Time: _________________, __M, ___T, at which time the proposals 

shall be publicly opened and read. 

The project shall consist of the following miles 

[kilometers (km)] of plant: 

Aerial: __________ miles (__________ km); 

Buried: __________ miles (__________ km); 

Underground: __________ miles (__________ km); 

Conduit: __________ miles (__________ km);
2

Service Entrances __________ miles (__________ km); 

Number of Service Entrances: 

 Aerial __________; Buried __________. 

The number of cable placement operations used at any one time 

shall not exceed __________. The time for Completion of 

Construction of the Project shall be __________ calendar days 

excluding Saturdays, Sundays, and legal holidays) from the 

contract commencement date. Liquidated damages in the amount of 

____________________ per day shall apply for each and every day 

that construction is delayed after giving effect to extensions of 

time as provided for in the contract. 

The Plans, Specifications, and Construction Sheets together with 

all necessary forms and other documents for Bidders may be 

obtained from the Owner, or from the Engineer , 

at the latter's office at , 

upon payment of $ (per set). The Plans, Specifications, 

and Construction Sheets may be examined at the offices of the 

Owner or Engineer. Each set of Plans, Specifications and 

Construction Sheets will have a serial number, assigned by the 

Engineer, and the number of each set with the name of the 

purchasers will be recorded by the Engineer. Bids will be 

accepted only from original purchasers or from some other 

qualified Bidder to whom such a set has been transferred by the
3

original purchaser with the approval of the Owner, at least 

forty-eight (48) hours prior to the Pre-Bid Conference set for 

at the following location: _____________________________________ 

________________________________________________________________ 

No proposals will be considered from bidders that do not attend 

the Pre-Bid Conference unless the bidder has been notified by the 

Engineer prior to the Pre-Bid Conference that such bidder's 

attendance is not required. Notes covering the Pre-Bid 

Conference will be prepared by the Engineer and distributed to 

all bidders attending the Pre-Bid Conference. 

Bidders shall file with the Engineer at least days in 

advance of the scheduled Pre-Bid Conference, the Bidder's 

Qualifications. The Owner or Engineer will not release a set of 

Plans, Specifications, and Construction Sheets bearing a serial 

number to a bidder until after the Bidder's Qualifications have 

been approved by the Engineer on behalf of the Owner. Questions 

relating to Bidder's Qualifications shall be resolved prior to 

the Pre-Bid Conference. 

______________________ ___________________________ 

 (Date) (Borrower Name) 

 By __________________________ 

 (Signature) 
4

This page intentionally left blank.
5

INSTRUCTIONS TO BIDDERS

1. Sealed proposals for the construction, including the 

supply of necessary labor, materials, and equipment, of a rural 

telecommunications project to be financed pursuant to a Loan 

Contract between ______________________________________________ 

(hereinafter called the "Owner") and the United States of 

America by the Administrator of the Rural Utilities Service, 

dated , _____, (a copy of the Loan Contract may be 

examined at the office of the Owner) and to be known as Project 

_________________________________________________________________ 

_________________________________________________________________ 

which is to be part of the System known as_______________________ 

will be received by the Owner on or before o'clock __M., 

____T, ____________, 20 , at the following location: 

_________________________________________________________________ 

________________________________________________________________; 

at which time and place the proposals will be publicly opened and 

read. Any proposals received subsequent to the time specified 

will be promptly returned to the Bidder unopened.

2. The Project, located in the following County(ies): _____ 

________________________________________________________________; 

in the State(s) of , all as more fully 

described in the Plans, Specifications, Construction Sheets, 

Maps, Special Drawings, and Description of Assembly Units 

therefore hereinafter referred to will consist of the following 

miles (km) of telecommunication lines and associated facilities: 

a. Buried Plant - Total Route Miles ( km) 

 

 Construction Corridor 

 New Miles ( km) 

 Existing Miles ( km) 
6

b. Underground Plant - Total Route Miles ( km) 

 Conduit System: 

 Construction Corridor: 

 New Miles ( km) 

 

 Existing Miles ( km) 

 Innerducts placed in: 

 Conduit Miles ( km) 

 

 Underground Cable in Conduit Systems: 

 New Miles ( km) 

 

 Existing Miles ( km) 

 

 Manholes: _________ (number) 

c. New Aerial Plant - Total Route Miles ( km) 

 New (Including Rebuilt Miles on Which Substantially All 

 Poles Are To Be Replaced) 

 - Route Miles ( km) 

Pole Line w/ Self Supporting Fiber Optic Cable 

 - Route Miles ( km) 

Pole Line with Cable 

 - Route Miles ( km) 

Joint Use - Electric – Cable 

 - Route Miles ( km) 

Joint Use – Electric - Self Supporting Fiber Optic Cable 

 

 - Route Miles ( km) 

 Joint Use - Other than Electric Cable 

 - Route Miles ( km) 
7

d. Modification of Existing Aerial Plant – 

 - Route Miles ( km) 

(Includes all lines on which substantial number of poles 

are retained and which are not included in the above 

Classification) 

e. Service Entrances - Route Miles ( km) 

 

 Buried Service Entrances – Number_____ 

 - Route Miles ( km) 

 

 Aerial Service Entrances – Number_____ 

 - Route Miles ( km) 

3. Proposals and all supporting instruments must be 

submitted in their entirety on the forms furnished by the Owner 

and must be delivered in a sealed envelope addressed to the 

Owner. The name and address of the Bidder, its license number, 

if a license is required by the State, and the date and hour of 

the opening of Bids must appear on the envelope in which the 

Proposal is submitted. Proposals must be filled in ink or 

typewritten. No alternations or interlineations will be 

permitted, unless made before submission, and initialed and 

dated. 

4. Prior to the submission of the Proposal, the Bidder shall 

make a careful examination of the site of the Project and of the 

Plans, Specifications, Construction Sheets, Maps, Special 

Drawings, Description of Assembly Units, and forms of 

Construction Agreement and Contractor's Bond attached hereto, and 

shall become informed as to the location and nature of the 

proposed construction, the transportation facilities, the kind 

and character of the soil and terrain to be encountered, the kind 

of facilities required before and during the construction of the 

Project, general local conditions and all other matters that may 

affect the cost and the time of completion of the Project. 

Bidders will be required to comply with all applicable statutes, 

regulations, etc., including those pertaining to the licensing of 

contractors and the Anti-Kickback Acts, as amended (40 USC 276c; 

41 USC 51 et seq.) and regulations issued pursuant thereto. 

5. To facilitate the Bidder's meeting the requirements of 

Paragraph 4, a day Pre-Bid Conference is scheduled at the 

following location _____________________________________________, 

on commencing at ,___M, ___T. At the Pre-Bid 

 (Date) (Time) 
8

Conference, qualified representatives of the Engineer and/or 

Owner, and Contractor will be prepared to discuss the project 

plans in detail including previous construction experience. They 

will also provide assistance to personnel of the Bidder for 

visiting existing representative cable routes and locations, if 

any, that may require special construction planning. All Bidders 

are required to attend the Pre-Bid Conference or furnish 

information to the satisfaction of the Engineer prior to the PreBid Conference, that the Bidder, through prior visitation or 

previous construction work in the Area, has adequate familiarity 

with the site and plans for the project. 

 

No proposal shall be accepted or considered from Bidders that 

do not attend the Pre-Bid Conference or have not been notified by 

the Engineer prior to the Pre-Bid Conference, that their 

attendance is not required. 

6. Each Bidder shall include and shall be deemed to have 

included, in the price quoted in the Contractor's Proposal for 

each Assembly Unit, the amounts which it is estimated will be 

payable by the successful Bidder or by the Owner on account of 

taxes imposed by any taxing authority upon the sale, purchase, or 

use of materials, supplies and equipment, or services or labor or 

installation thereof, to be incorporated in the Project as part 

of such Assembly Unit. All taxes of the foregoing descriptions 

shall be payable by the Bidder which shall be awarded the 

Contract for the construction of the Project. 

7. The Owner reserves the right to confine its consideration 

of the several bids to one type of design regardless of alternate 

types of design which may be specified in the Plans and 

Specifications and offered in the Proposals. 

8. Where buried plant is included in the construction of the 

Project, the number of cable placement operations that may be 

used at any one time shall not exceed . 

9. The time for Completion of Construction of the Project 

shall be as specified by the Owner in the Proposal. 

10. Each Proposal must be accompanied by a Bid Bond in the 

form attached or a certified check on a bank that is a member of 

the Federal Deposit Insurance Corporation, payable to the order 

of the Owner, in an amount equal to ten percent (10%) of the 

maximum Bid price. Each Bidder agrees, provided its Proposal is 

one of the three low Proposals, that, by filing its Proposal 

together with such Bid Bond or check, in consideration of the 

Owner's receiving and considering such Proposal, said Proposal 

shall be firm and binding upon each such Bidder and such Bid Bond 
9

or check shall be held by the Owner until a Proposal is accepted 

and a satisfactory Contractor's Bond is furnished by the 

successful Bidder and such acceptance has been approved by the 

Administrator, or for a period not to exceed ninety (90) days 

from the date hereinbefore set for the opening of Proposals 

whichever period shall be the shorter. If such Proposal is not 

one of the three low Proposals, the Bid Bond or check will be 

returned in each instance within a period of ten (10) days to the 

Bidder furnishing same. 

11. The successful Bidder will be required to enter into a 

Contract with the Owner and to furnish a Contractor's Bond, in 

one of the forms attached hereto, with sureties listed by the 

United States Treasury Department as Acceptable Sureties in a 

penal sum not less than the Contract price. 

12. Should the successful Bidder fail or refuse to execute a 

Contract and to furnish a Contractor's Bond within fifteen (15) 

days after written notification of the award of the Contract by 

the Owner, the Bidder will be considered to have abandoned the 

Proposal. In such event, the Owner shall be entitled (a) to 

enforce the Bid Bond in accordance with its terms, or (b) if a 

certified check has been delivered with the Proposal, to retain 

from the proceeds of the certified check the difference between 

the amount of the Proposal and such larger amount (up to 10% of 

the Proposal) for which the Owner may in good faith contract with 

another party to construct the Project. The term "successful 

Bidder" shall be deemed to include any Bidder whose Proposal is 

accepted after another Bidder has previously refused or has been 

unable to execute the Contract or to furnish a satisfactory 

Contractor's Bond. 

13. The Contract, when executed, shall be deemed to include 

the entire agreement between the parties thereto, and the 

Contractor shall not claim any modification thereof resulting 

from any representation or promise made at any time by any 

officer, agent, or employee of the Owner or by any other person. 

14. The Owner reserves the right to waive minor 

irregularities or minor errors in any Proposal, if it appears to 

the Owner that such irregularities or errors were made through 

inadvertence. Any such irregularities or errors so waived must 

be corrected on the Proposal in which they occur prior to the 

execution of any Contract which may be awarded thereon. 

15. The Owner reserves the right to reject any or all 

Proposals. The attention of Bidders is specially called to the 

desirability of a proper balance between prices for labor and 

materials and between the total prices for the respective 
10

Assembly Units. Lack of such balance may be considered as a 

reason for rejecting a Proposal. 

16. Where the unit prices in the Contractor's Proposal are 

separated into three columns designated as "Labor", "Materials", 

and "Labor and Materials", and where a discrepancy appears 

between the sum shown in the "Labor and Materials" column and the 

correct addition of the sums appearing in the "Labor" column and 

the "Materials" column, the correct addition of the sums 

appearing in the "Labor" column and the "Materials" column shall 

control. 

17. The terms "Administrator", "Engineer", "Supervisor" 

"Contractor's Proposal", "Project", "Section", "Completion of 

Construction", "Completion of Project", "Cleanup", "Work Sector", 

"Construction Corridor", "Reduced Construction Corridor", and 

"Construction Sheets" as used throughout this Contract shall be 

defined in the Construction Agreement, Article VII, Section 1. 

18. The Owner represents: 

(a) If by other provisions of the contract documents the 

Owner shall have undertaken to furnish any materials for 

the construction of the Project, such materials are on 

hand at locations which may be determined by inquiry by 

Bidders from the Engineer or if such materials are not on 

hand they will be made available by the Owner to the 

successful Bidder before the time such materials are 

required for construction. 

(b) That all items to be accomplished by the Owner to 

facilitate construction have been accomplished or will be 

completed prior to construction activity. 

(c) Staking has been completed for the entire project, 

 except for Service Entrances, as of . (Date) 

(d) Easements and rights-of-way for the Construction 

Corridor used for the placement of buried cable have 

been obtained from property owners or public 

authorities. Public rights-of-way, totaling 

 approximately miles ( km) and 

 private rights-of-way, totaling approximately 

 miles ( km) are as shown on the 

 Construction Sheets. All rights-of-way obtained that do 

 not provide sufficient width to meet the specifications 

 for Construction Corridor as defined in the 
11

specifications are designated as "Reduced Construction 

Corridor". The actual widths available for cable 

placement in the reduced areas are shown on the 

respective Construction Sheets. Rights-of-way not 

obtained are designated as "Unobtained Construction 

Corridor" and are shown on the Construction Sheets. 

 

Where the placement of the cable is restricted within the 

Construction Corridor, these locations are designated 

"Restricted Construction Corridor". The nature of the 

restriction of the replacement of the cable is as shown 

on the Construction Sheets. When the cause of a 

restriction is the presence of existing 

telecommunications plant or foreign utilities, the 

general location of these facilities is as shown on the 

Construction Sheets. Since these facilities can be 

located definitely only by exposing them to view, all 

Construction Sheet representations as to their locations 

are approximate. 

(e) Easements and rights-of-way for placement of all Service 

Entrances have not been obtained. Such rights-of-way 

will be obtained as required to avoid delay in placement 

of such Service Entrances. 

(f) The Owner will have available all funds necessary for 

immediate payment for the construction of the Project. 

(g) Where buried plant is involved, the Owner has obtained 

permission from State and local highway and road 

authorities to bury cable and set housings on the highway 

and road rights-of-way in the Project Area. 

Notwithstanding such permission granted to the Owner, 

each Bidder is responsible for ascertaining that the 

equipment, methods of construction and repair proposed to 

be used on the Project will meet all requirements of 

public authorities having jurisdiction over highway and 

road rights-of-way. The successful Bidder will be 

required to furnish proof satisfactory to the Owner of 

compliance with this requirement. If required by the 

highway or road authorities, the successful Bidder will 

furnish to such authorities a bond or meet other guaranty 

requirements to assure the prompt repair of all damages 

to highways and roads and their associated rights-of-way 

caused by the Bidder during construction of the Project. 

This requirement is in addition to, and independent of, 

the performance bond required under this Contract. The 

approval of a Bidder's Qualifications by the Owner or the 

acceptance of a Bid from any Bidder is not to be 

construed as approval of the Bidder's equipment or 
12

proposed construction methods by, or on behalf of, the 

highway and road authorities. Bidders may obtain 

information concerning the requirements of highway and 

road authorities by communicating with the following: 

If the Owner shall fail to comply with any of the 

undertakings contained in the foregoing representations or if any 

of such representations shall be incorrect, the Bidder will be 

entitled to extension of time of completion for a period equal to 

the delay, if any, caused by the failure of the Owner to comply 

with such undertaking or by any such incorrect representation; 

provided the Bidder shall have promptly notified the Owner, in 

writing within ten (10) days, of its desire to extend the time of 

completion in accordance with the foregoing, and provided further 

that such extension, if any, of the time of completion shall be 

the sole remedy of the Bidder for the Owner's failure, because of 

conditions beyond the control and without the fault of the Owner, 

to furnish materials in accordance with subparagraph (a) hereof. 

_________________ ___________________________ 

 (Date) (Owner) 

 By ___________________________ 

 (Authorized Signature) 
According to the Paperwork Reduction Act of 1995, an agency may not conduct or sponsor, and a person is not required to respond to, a collection of information unless it displays a valid OMB 

control number. The valid OMB control number for this information collection is 0572–0107. The time required to complete this information collection is estimated to average .05 hour per 

response, including the time for reviewing instructions, searching existing data sources, gathering and maintaining the data needed, and completing and reviewing the collection of information.

13 RUS FORM 307 (Rev. 02-00)

U.S. Department of Agriculture 

Rural Utilities Service

BID BOND 

1. KNOW ALL MEN that we, __________________________________________________________________

__________________________________________________________________________ as Principal, and 

________________________________________________________________________________________ , 

 as Surety, are held and firmly bound unto _______________________________________________________

________________________________________________________________ (hereafter called the "Owner") 

in the penal sum of ten percent (10%) of the amount of the bid referred to in paragraph 2 below, but not to 

exceed __________________________________________________ dollars ($ _____________________), as 

hereinafter set forth and for the payment of which sum well and truly to be made we bind ourselves, our 

executors, administrators, successors and assigns, jointly and severally, by these presents; 

2. WHEREAS, the Principal has submitted a bid to the Owner for the construction of the Rural Utilities Service 

project known as ____________________________________________________________________. 

3. NOW, THEREFORE, the condition of this obligation is such that if the Owner shall accept the bid of the 

Principal, and 

a. the Principal shall execute such contract documents, if any, as may be required by the terms of the bid and 

give such Contractor's Bond or Bonds for the performance of the contract and for the prompt 

payment of labor and material furnished for the project as may be specified in the bid, or 

 b. in the event of the failure of the Principal to execute such contract documents, if any, and give such 

Contractor's Bond or Bonds, if the Principal shall pay to the Owner the difference, not to exceed the penal 

sum hereof, between the amount specified in the bid and such larger amount for which the Owner may in 

good faith contract with another party to construct the project, then this obligation shall be void, 

 otherwise to remain in full force and effect. 

IN WITNESS WHEREOF, the undersigned have caused this instrument to be executed and their respective 

corporate seals to be affixed and attested by their duly authorized representatives this 

____________________________________________ day of ________________________________ , 20______ . 

 (Seal) 

Principle 

ATTEST: By 

 

 Secretary Title 

 (Seal) 

 Surety 

ATTEST: By 

 Secretary Title 
14

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CERTIFICATION REGARDING DEBARMENT, SUSPENSION, INELIGIBILITY

AND VOLUNTARY EXCLUSION - LOWER TIER COVERED, TRANSACTIONS

INSTRUCTIONS FOR CERTIFICATION

1. By signing and submitting this proposal, the prospective lower tier participant is providing the

 certification act out below,

2. The certification in this clause is a material representation of fact upon which reliance was placed

 when this transaction was entered into, If it is later determined that the Prospective lower tier

 participant knowingly rendered an erroneous certification, in addition to other remedies available to

 the Federal Government the department or agency with which this transaction originated may pursue

 available remedies, including suspension and/or debarment.

3. The prospective lower tier participant shall provide immediate written notice to the person to which

this proposal is submitted if at any time the prospective lower tier participant learns that its

certification was erroneous when submitted or had become erroneous by reason of changed

circumstances.

4. The terms covered transaction, debarred, suspended, ineligible, lower tier covered transaction,

 participant, person, primary covered transaction, principal, proposal, and voluntarily excluded, as

used in this clause, have the meaning set out in the Definitions and Coverage sections Of rules

implementing Executive Order 12549. You may contact the person to which this proposal is submitted

for assistance in obtaining a copy of those regulations.

5. The prospective lower tier participant agrees by submitting this proposal that should the proposed

covered transaction be entered into, it shall not knowingly enter into any lower tier covered transaction

with a person who is proposed for debarment under 48 CFR part 9, subpart 9.4, debarred, suspended,

declared ineligible, or voluntarily excluded from participation in this covered transaction, unless

authorized by the department or agency with which this transaction originated,

6. The prospective lower tier participant further agrees by submitting this proposal that it will include this

clause titled ''Certification Regarding Debarment, Suspension, Ineligibility and Voluntary ExclusionLower Tier Covered Transaction,'' without modification, in all lower tier covered transactions and in

all solicitations for lower tier covered transactions.

7. A participant in a covered transaction may rely upon a certification of a prospective participant in a

lower tier covered transaction that it is not proposed for debarment under 48 CFR part 9, subpart 9.4,

debarred, suspended, ineligible, or voluntarily excluded from covered transactions, unless it knows

that the certification is erroneous. A participant may decide the method and frequency by which it

determines the eligibility of its principals. Each participant may, but is not required to, check the List

of Parties Excluded from Federal Procurement and Nonprocurementt Programs,

8. Nothing contained in the foregoing shall be construed to require establishment of a system of records

in order to render in good faith the certification required by this clause. The knowledge and

information of a participant is not required to exceed that which is normally possessed by a prudent

person in the ordinary course of business dealings.

Lower Tier Debarment Certification (Version 2, 6/98) Page 1 of 2
Lower Tier Debarment Certification (Computer generated facsimile, Version 2, 6/98) Page 2 of 2 

9. Except for transactions authorized under paragraph 5 of these instructions, if a participant in a 

covered transaction knowingly enters into a lower tier covered transaction with a person who is 

proposed for debarment under 48 CFR part 9, subpart 9.4, suspended, debarred, ineligible, or 

voluntarily excluded from participation in this transaction, in addition to other remedies available 

to the Federal Government, the department or agency with which this transaction originated may 

pursue available remedies, including suspension and/or debarment. 

CERTIFICATION

(1) The prospective lower tier participant certifies, by submission of this proposal, that neither it nor 

its principals is presently debarred, suspended, proposed for debarment, declared ineligible, or 

voluntarily excluded from participation in this transaction by any Federal department or agency. 

(2) Where the prospective lower tier participant is unable to certify to any of the statements in this 

certification, such prospective participant shall attach an explanation to this proposal. 

 

 Organization Name PR/Award or Project Name 

 

 Name and Title 

 

 Signature Date
17 

(PRINT ON CONTRACTOR’S LETTERHEAD) 

LOBBYING CERTIFICATION

Certification for Contracts, Grants, Loans, and Cooperative Agreements

The undersigned certifies, to the best of his or her knowledge and belief, that: 

(1) No Federal appropriated funds have been paid or will be paid, by or on behalf of the 

undersigned, to any person for influencing or attempting to influence an officer or employee of 

any agency, a Member of Congress, an officer or employee of Congress, or an employee of a 

Member of Congress in connection with the awarding of any Federal contract, the making of any 

Federal grant, the making of any Federal loan, the entering into of any cooperative agreement, 

and the extension, continuation, renewal, amendment, or modification of any Federal contract, 

grant, loan, or cooperative agreement. 

(2) If any funds other than Federal appropriated funds have been paid or will be paid to any 

person for influencing or attempting to influence an officer or employee of any agency, a 

Member of Congress, an officer or employee of Congress, or an employee of a Member of 

Congress in connection with this Federal contract, grant, loan, or cooperative agreement, the 

undersigned shall complete and submit Standard Form-LLL, “Disclosure Form to Report 

Lobbying,” in accordance with its instructions. 

(3) The undersigned shall require that the language of this certification be included in the award 

documents for all subawards at all tiers (including subcontracts, subgrants, and contracts under 

grants, loans, and cooperative agreements) and that all subrecipients shall certify and disclose 

accordingly. 

This certification is a material representation of fact upon which reliance was placed when this 

transaction was made or entered into. Submission of this certification is a prerequisite for 

making or entering into this transaction imposed by section 1352, title 31, U.S. Code. Any 

person who fails to file the required certification shall be subject to a civil penalty of not less 

than $10,000 and not more than $100,000 for each such failure. 

 

Organization Name 

Name of Authorized Official 

 

Signature Date 
18

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19

INTERIM FINANCING

If this project is financed in part by the Rural Telephone Bank, an agency of the United 

States of America, the references in the contract documents to "the United States of 

America and the Government" shall mean the "Rural Telephone Bank", as well, and the 

references to the "Administrator" shall mean the "Governor" of the Rural Telephone 

Bank as well. If the project is financed wholly by the Rural Telephone Bank, the 

reference to "the United States of America" and the "Government" shall mean the Rural 

Telephone Bank and the references to the "Administrator" shall mean the "Governor" of 

the Rural Telephone Bank. References to RUS loans or loan contracts shall include 

RUS guarantees of loans by others. 

The Owner, notwithstanding the references in the contract documents to the RUS or 

Rural Telephone Bank financing of the work herein provided for, plans to use funds 

other than RUS or Rural Telephone Bank loan funds initially and expects to be 

reimbursed subsequently with RUS or Rural Telephone Bank loan funds in whole or in 

part. It is understood that: 

1. An RUS, RTB, and/or FFB loan for this work ____has ____ has not (owner 

to check one) been made and has not been released. 

2. Arrangements have been made for other funds so that invoices may be paid 

promptly in accordance with the contract provisions. 

3. Approval of the contract by RUS or the Rural Telephone Bank shall not be 

construed as a commitment to make a loan for this purpose. 

_______________ __________________________ 

 Date Owner 

 By __________________________ 

 President 

_______________ __________________________ 

 Date Contractor 

By __________________________ 

 
20

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RUS Form 787 21

SUPPLEMENT A TO CONSTRUCTION CONTRACT 

RUS FORM 515 

The Bidder agrees that the following provisions shall be a part of the Proposal to which 

this Supplement is attached and shall supersede all provisions of the Proposal which 

are inconsistent herewith: 

1. The following Section 24 shall be added on Page 113: 

 24(a) The Bidder understands and agrees that, if this proposal is accepted, the 

Owner shall furnish to the Bidder the materials set forth in the attached "List of 

Owner's Materials on Hand" and the Bidder will give a receipt therefore in 

writing to the Owner. The Bidder further agrees, at its expense and in on behalf 

of the Owner, to promptly receive, unload, transport and handle all materials 

and equipment on the "List of Materials Ordered by Owner but Not Delivered" 

when delivered and shall be responsible for demurrage, if any, and will 

promptly forward to the Owner the Bidder's receipt in writing for such materials. 

The materials referred to above are on hand at, or will be delivered to the 

locations specified in the attached Lists and the Bidder will use such materials 

in constructing the Project. 

 (b) The Contractor's Bond shall be in a penal sum of not less than the contract 

price, which is the sum of all labor and materials including owner-furnished 

materials covered by this Supplement A. 

 (c) The references in the Construction Agreement to "materials," except in Article 

IV Section 1(f), Page 124, shall be understood to mean only materials to be 

furnished by the Bidder. 

 (d) The value of the completed Assembly Units certified to by the Bidder each 

month pursuant to article III, Section 1(a) Pages 120 and 121, of the 

Construction Agreement shall be reduced by an amount equal to the value of 

the materials installed by the Bidder during the preceding month which have 

been furnished by the Owner or the delivery of which has been accepted by the 

Bidder on behalf of the Owner. Only 95 percent of the remainder shall be paid 

prior to the completion of the Project. The value of such materials for the 

purpose of this Supplement shall be computed on the basis of the unit prices 

stated in the attached Lists, and not on the Bidder's material unit bid prices. 

Materials, if any, not required for the Project, which has been accepted by the 

Bidder on behalf of the Owner, shall be returned to the Owner by the Bidder 

upon completion of the construction of the Project. The value of all materials 

not installed in the Project or returned to the Owner shall be deducted from the 

final payment to the Bidder. 
RUS Form 787 22

 (e) The Owner shall furnish such materials, if any, as may be required for the 

Project in excess of the quantities set forth in the attached Lists. In such event, 

the value of such excess materials shall be determined on the basis of the unit 

prices stated in the attached Lists and payments to the Bidder on account of 

such excess materials furnished by the Owner shall be reduced in the manner 

provided in paragraph (d) above. 

2. Section 15, Page 110, shall be revised to read as follows: 

 15. The unit prices for Assembly Units in this Contractor's Proposal include 

provisions for the payment of all moneys which will be payable by the Bidder or 

the Owner in connection with the construction of the Project on account of 

taxes imposed by any taxing authority upon the sale, purchase, or use of 

materials, supplies and equipment or services or labor of installation thereof, to 

be incorporated in the Project as part of such Assembly Units. The Bidder 

agrees to pay all such taxes except on Owner Furnished Materials and it is 

understood that, as to Owner Furnished Materials, the values stated in the 

attached "List of Owner's Materials on Hand" and "List of Materials Ordered by 

Owner but Not Delivered" include such taxes, if applicable. The Bidder will 

furnish to the appropriate taxing authorities all required information and reports 

pertaining to materials used in construction of the project except as to Owner 

Furnished Materials. 

_____________________________ 

 Bidder 

______________________ By _____________________________ 

 Date 

_____________________________ 

 Title 

_____________________________ 

 Owner 

______________________ By _____________________________ 

 Date 

_____________________________ 

 Title 
23

CONTRACTOR'S PROPOSAL 

(Proposal Shall be Submitted in Ink or Typewritten) 

To: _____________________________________________________________

_________________________________________________________________ 

(hereinafter called the "Owner"). 

1(a) The undersigned (hereinafter called the "Bidder") 

hereby proposes to construct the rural telecommunications project 

_________________________________________________________________

in strict accordance with the Plans, Specifications, and 

Construction Sheets and Special Drawings therefore, indicated 

below, and by this reference made a part hereof, and to furnish 

all materials, machinery, tools, equipment, labor, transportation 

and other means necessary therefore, for the prices hereinafter 

stated. 

The Engineer will check the applicable Specification 

Packet(s) which become(s) a part of the Contract by this 

reference: 

 RUS Form 515a - Specifications and Drawings for Construction 

of Direct Buried Plant (RUS Bulletin 1753F-150). 

Dated: __________

 RUS Form 515b - Specifications and Drawings for Construction 

of Underground Plant (RUS Bulletin 1753F-151). 

 

Dated: __________

 RUS Form 515c - Specifications and Drawings for Construction 

of Aerial Plant (RUS Bulletin 1753F-152). 

Dated: __________

 RUS Form 515d - Specifications and Drawings for Service 

 Installations at Customer Access Locations 

(RUS Bulletin 1753F-153). 

Dated: __________

The following Standards are applicable: (Engineer to insert 

date) 

 RUS Bulletin 1753F-401 (PC-2) Dated: __________

 RUS Bulletin 1753F-201 (PC-4) Dated: __________

RUS Bulletin 1753F-801 (PC-5A) Dated: __________
24

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25

1(b) CONSTRUCTION UNITS 

Section A – POLE UNITS 

Poles will conform to the following: (Engineer to fill in) 

 Pole Plan: (Check one or more if acceptable) 

(1) Insured warranted ___ (2) Independent inspected ___ 

(3) Quality Assurance Program ___ 

 Specie of Timber: __________________________________________ 

 Kind of Preservative: ______________________________________ 

 Method of Treatment: (Check one or more if acceptable) 

 (1) Pressure ____ 

 (2) Thermal Process: a. Butt ____ b. Full Length ____ 

 

Note: If not indicated in the above spaces, the Bidder may 

select the pole plan, species, kind of preservative, 

and the method of treatment for supplying the poles. 

Poles furnished on the Project shall all be under 

the same pole plan, and of the same species, kind of 

preservative, and method of treatment, and shall 

meet the latest RUS specifications in effect at the 

time the bid is received. 

Unit Price 

Unit 

No. of 

Units Labor Materials Labor and Materials 

Extended Price 

Labor and Materials

 

Total, Section A ________________ 
26

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27

Section BA – BURIED PLANT HOUSING STUB POLE UNITS 

If wood stub pole units are to be used they will conform to the 

following: (Engineer will fill in) 

 Stub Pole Plan: (Check one or more if acceptable) 

(1) Insured warranted ___ (2) Independent inspected ___

(3) Quality Assurance Program ___

Kind of Preservative: ______________________________________

 Method of Treatment: (Check one or more if acceptable) 

 (1) Pressure ____ (2) Thermal Process: Full Length ____

Note: If not indicated in the above spaces, the Bidder may 

select the kind of preservative, and the method of 

treatment for supplying the stub pole units. Stub 

pole units furnished on the Project shall all be 

under the same pole plan, and of the same species, 

kind of preservative, and method of treatment, and 

shall meet the latest RUS specifications in effect 

at the time the bid is received. 

The minimum dimensions for stub poles are: 

Round – Top 4-1/2 inches (in.) [11.3 centimeters (cm)], 

 Bottom 5 in. (12.7 cm) (Diameter) 

Sawn - 4-1/2 in. (11.4 cm) x 3-1/2 in. (9.0 cm) 

When Stub poles are required that exceed these minimums, indicate 

the required minimum in the following spaces: Round – Bottom 

diameter ___ in. (____ cm), Top diameter ____ in. (____cm), 

Sawn ____ in. (____cm) x ____ in. (____ cm). 

Stub Poles for mounting buried plant housings shall be set 3.0 

feet (ft) [0.9 meters (m)] in either soil or solid rock. If a 

greater depth in soil is necessary for wood stub pole units, it 

shall be indicated in the following space: ____ ft (____ m) 

(Engineer to fill in). 

Unit Price 

Unit 

No. of 

Units Labor Materials Labor and Materials 

Extended Price 

Labor and Materials

 

Total, Section BA __________ 
28

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29

Section BD – BURIED PLANT HOUSING ASSEMBLY UNITS 

Unit Price 

Unit 

No. of 

Units Labor Materials

Labor 

and Materials 

Extended Price 

Labor 

and Materials 

 

______ If checked by the Engineer, sealer shall be installed in 

accordance with the manufacturer's instructions. 

______ If checked by the Engineer, ant repellent shall be 

installed in accordance with the manufacturer's instructions. 

The buried plant housings shall be green in color unless 

otherwise specified below. 

______________________ 

Total, Section BD __________ 

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30
31

Section BDO – BURIED PLANT FIBER OPTIC HOUSING ASSEMBLY UNITS 

Unit Price 

Unit 

No. of 

Units Labor Materials

Labor 

and Materials 

Extended Price 

Labor 

and Materials 

 

______ If checked by the Engineer, sealer shall be installed in 

accordance with the manufacturer's instructions. 

______ If checked by the Engineer, ant repellent shall be 

installed in accordance with the manufacturer's instructions. 

The buried plant housings shall be green in color unless 

otherwise specified below. 

______________________ 

Total, Section BDO __________ 
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33

Section BDS – SERVING AREA INTERFACE CABINET (SAIC) 

ASSEMBLY UNITS 

Unit Price 

Unit 

No. of 

Units Labor Materials

Labor 

and Materials 

Extended Price 

Labor 

and Materials 

 

______ If checked by the Engineer, sealer shall be installed in 

accordance with the manufacturer's instructions. 

______ If checked by the Engineer, ant repellent shall be 

installed in accordance with the manufacturer's instructions. 

The SAIC shall be green in color unless otherwise specified 

below. 

______________________ 

Total, Section BDS __________ 
34

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35

Section BFC – BURIED FILLED COPPER CABLE ASSEMBLY UNITS 

Unit Price 

Unit 

No. of 

Units Labor Materials 

Labor 

And Materials 

Extended Price 

Labor 

and Materials 

 
36

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37

Section BFC – BURIED FILLED COPPER CABLE ASSEMBLY UNITS 

(Continued) 

Unit Price 

Unit 

No. of 

Units Labor Materials 

Labor 

And Materials 

Extended Price 

Labor 

and Materials 

 
38

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39

Section BFC – BURIED FILLED COPPER CABLE ASSEMBLY UNITS 

(Continued) 

The depth of buried cable in soil measured from the top of the 

cable to the surface of the ground is 24 in. (61 cm) minimum. If 

the cable is to be plowed for the entire project to a minimum 

depth greater than 24 in. (61 cm), the Engineer will indicate the 

required minimum depth in the following space below: 

_______ in. (_____ cm). 

If any section of cable is to be installed to a depth greater 

than the minimum depth stated above, the applicable BFC units 

will be suffixed by the letter "E" followed by the required depth 

in parentheses. 

The cable to be used with the above buried filled cable units 

shall have a shield as indicated below: 

______ Standard, Coated Aluminum 

______ Standard, Copper 

______ Gopher Resistant, Containing Copper 

______ Gopher Resistant, Coated Aluminum/Coated Steel 

The following type(s) of conductor insulation shall be used: 

______ Solid 

______ Expanded 

______ If checked by the Engineer, preconnectorized cable may be 

 used at the option of the contractor for reel end splices. 

______ If checked by the Engineer, warning tape shall be used. 

Total, Section BFC __________ 
40

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41

Section BFO – BURIED FILLED FIBER OPTIC CABLE ASSEMBLY UNITS 

Unit Price 

Unit 

No. of 

Units Labor Materials

Labor 

and Materials 

Extended Price 

Labor 

and Materials 

 
42

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43

Section BFO – BURIED FILLED FIBER OPTIC CABLE ASSEMBLY UNITS 

(continued) 

The depth of buried cable in soil measured from the top of the 

cable to the surface of the ground is 24 in. (61 cm) minimum. If 

the cable is to be plowed for the entire project to a minimum 

depth greater than 24in. (61 cm), the Engineer will indicate the 

required minimum depth in the following space below: 

_______ in. (_____ cm). 

If any section of cable is to be installed to a depth greater 

than the minimum depth stated above, the applicable BFO units 

will be suffixed by the letter "E" followed by the required depth 

in parentheses. 

The cable to be used with the above fiber optic cable units shall 

be as specified below: 

______ Attenuation (if other than normal specification value) 

______ Bandwidth requirement for multimode fibers 

______ Multiple loose tube core construction 

____ If checked, dry filled core 

____ If checked, gel filled core 

______ Unit or central core tube construction 

______ Metallic strength members 

______ Non-metallic strength members 

Other characteristics as required: (Define) 

1. 

2. 

3. 

4. 

______ If checked by the Engineer, preconnectorized cable may be 

 used at the option of the contractor for reel end splices. 

______ If checked by the Engineer, warning tape shall be used. 

Total, Section BFO __________ 
44

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45

Section BH – BURIED HANDHOLE ASSEMBLY UNITS 

Unit Price 

Unit 

No. of 

Units Labor Materials

Labor 

and Materials 

Extended Price 

Labor 

And Materials 

 

Total, Section BH __________ 
46

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47

Section BM – MISCELLANEOUS ASSEMBLY UNITS - 

BURIED PLANT AND SERVICE ENTRANCE INSTALLATIONS 

Unit Price 

Unit 

No. of 

Units Labor Materials

Labor 

and Materials 

Extended Price 

Labor 

And Materials 

 

Total, Section BM __________ 
48

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49

Section CFO – SELF SUPPORTING FILLED FIBER OPTIC CABLE 

ASSEMBLY UNITS 

Unit Price 

Unit 

No. of 

Units Labor Materials

Labor 

and Materials 

Extended Price 

Labor 

And Materials 

 

The cable to be used with the above fiber optic cable units shall 

be as specified below: 

______ Attenuation (if other than normal specification value) 

______ Bandwidth requirement for multimode fibers 

______ Armored 

______ Unarmored 

______ Multiple loose tube core construction 

____ If checked, dry filled core 

____ If checked, gel filled core 

______ Unit or central core tube construction 

Other characteristics as required: (Define) 

 1. 

 2. 

 3. 

 4. 

______ If checked by the Engineer, the cable shall be spiraled 

around the suspension strand at all locations shown on the 

Construction Sheets. Spiraling of cable shall be in accordance 

with the Construction Guide Drawing 250-1. 

______ If checked by the Engineer, preconnectorized cable may be 

used at the option of the contractor for reel end splices. 

Total, Section CFO __________ 
50

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51

Section CO – AERIAL FILLED FIBER OPTIC CABLE ASSEMBLY UNITS 

Unit Price 

Unit 

No. of 

Units Labor Materials

Labor 

and Materials 

Extended Price 

Labor 

And Materials 

 

The cable to be used with the above fiber optic cable units shall 

be as specified below: 

______ Attenuation (if other than normal specification value) 

______ Bandwidth requirement for multimode fibers 

______ Armored 

______ Unarmored 

______ Multiple loose tube core construction 

____ If checked, dry filled core 

 ____ If checked, gel filled core 

______ Unit or central core tube construction 

______ Metallic strength members 

______ Non-metallic strength members 

Other characteristics as required: (Define) 

1. 

2. 

3. 

4. 

______ If checked by the Engineer, the cable shall be spiraled 

around the suspension strand at all locations shown on the 

Construction Sheets. Spiraling of cable shall be in accordance 

with the Construction Guide Drawing 250. 
52

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53

Section CO – AERIAL FILLED FIBER OPTIC CABLE ASSEMBLY UNITS 

(continued) 

______ If checked by the Engineer, the existing lashing wire 

shall be removed and the new and existing cables shall be double 

lashed to the existing suspension strand at all locations shown 

on the Construction Sheets. 

The lashing wire to be used with the above aerial cable shall be 

the size and materials indicated by the Engineer: ______ (______) 

stainless steel, ______ (______) aluminum. 

______ If checked by the Engineer, preconnectorized cable may be 

used at the option of the contractor for reel end splices. 

______ If checked by the Engineer, Extra High Strength (EHS) 

galvanized steel strand shall be used. 

Total, Section CO __________ 
54

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55

Section CW – AERIAL FILLED COPPER CABLE ASSEMBLY UNITS 

Unit Price 

Unit 

No. of 

Units Labor Materials

Labor 

and Materials 

Extended Price 

Labor 

and Materials 

 
56

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57

Section CW – AERIAL FILLED COPPER CABLE ASSEMBLY UNITS 

(Continued) 

The cable to be used with the above aerial cable units shall have 

a shield as indicated below: 

______ Coated Aluminum 

______ Copper 

The following type(s) of conductor insulation shall be used: 

______ Solid 

______ Expanded 

______ If checked by the Engineer, the cable shall be spiraled 

around the suspension strand at all locations shown on the 

Construction Sheets. Spiraling of cable shall be in accordance 

with the Construction Guide Drawing 250. 

______ If checked by the Engineer, the existing lashing wire 

shall be removed and the new and existing cables shall be double 

lashed to the existing suspension strand at all locations shown 

on the Construction Sheets. 

The lashing wire to be used with the above aerial cable shall be 

the size and materials indicated by the Engineer: ______ (______) 

stainless steel, ______ (______) aluminum. 

______ If checked by the Engineer, preconnectorized cable may be 

used at the option of the contractor for reel end splices. 

______ If checked by the Engineer, Extra High Strength (EHS) 

galvanized steel strand shall be used. 

Total, Section CW _________ 
58

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59

Section HA – AERIAL SPLICE CLOSURE ASSEMBLY UNITS 

Unit Price 

Unit 

No. of 

Units Labor Materials

Labor 

and Materials 

Extended Price 

Labor 

and Materials 

 

Total, Section HA __________ 

Section HBF – BURIED FILLED SPLICE CLOSURE ASSEMBLY UNITS 

Unit Price 

Unit 

No. of 

Units Labor Materials

Labor 

and Materials 

Extended Price 

Labor 

and Materials 

 

Total, Section HBF __________ 
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61

Section HC – COPPER SPLICING ASSEMBLY UNITS 

Unit Price 

Unit 

No. of 

Units Labor Materials

Labor 

and Materials 

Extended Price 

Labor 

and Materials 

 

Total, Section HC __________ 

Section HO – FIBER OPTIC SPLICING ASSEMBLY UNITS 

Unit Price 

Unit 

No. of 

Units Labor Materials

Labor 

and Materials 

Extended Price 

Labor 

and Materials 

 

Total, Section HO __________ 
62

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63

Section HR – READY ACCESS CLOSURE ASSEMBLY UNITS 

Unit Price 

Unit 

No. of 

Units Labor Materials

Labor 

and Materials 

Extended Price 

Labor 

and Materials 

 

Total, Section HR __________ 

Section HU – UNDERGROUND SPLICE CLOSURE ASSEMBLY UNITS 

Unit Price 

Unit 

No. of 

Units Labor Materials

Labor 

and Materials 

Extended Price 

Labor 

and Materials 

 

Total, Section HU __________ 
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65

Section NID – NETWORK INTERFACE DEVICE ASSEMBLY UNITS 

Unit Price 

Unit 

No. of 

Units Labor Materials

Labor 

and Materials 

Extended Price 

Labor 

and Materials 

 

Total, Section NID __________ 
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67

Section PE – GUY ASSEMBLY UNITS 

Unit Price 

Unit 

No. of 

Units Labor Materials

Labor 

and Materials 

Extended Price 

Labor 

and Materials 

 

______ If checked by the Engineer, Extra High Strength (EHS) 

galvanized steel strand shall be used. 

Total, Section PE __________ 

Section PF – ANCHOR ASSEMBLY UNITS 

Unit Price 

Unit 

No. of 

Units Labor Materials

Labor 

and Materials 

Extended Price 

Labor 

and Materials 

 

Total, Section PF __________ 
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69

Section PM – MISCELLANEOUS ASSEMBLY UNITS - 

UNDERGROUND AND AERIAL PLANT 

Unit Price 

Unit 

No. of 

Units Labor Materials

Labor 

and Materials 

Extended Price 

Labor 

and Materials 

 

Total, Section PM __________ 
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71

Section R – RIGHT-OF-WAY CLEARING AND TRIMMING UNITS – 

AERIAL PLANT 

Unit Price 

Unit 

No. of 

Units Labor Materials

Labor 

and Materials 

Extended Price 

Labor 

and Materials 

 

Note 1: Trees that are felled shall be cut to commercial wood 

length and left on the side of the right-of-way for the 

landowner. Commercial wood length means the length 

designated by the Engineer, but in no case shall be 

required to be less than _______ feet (______ meters). 

Note 2: Brush, branches, and refuse from the clearing 

operations shall, without delay, be disposed of by one 

of the following methods as directed by the Engineer: 

(Engineer to strike out methods not to be used.) 

 a. Chipped and Blown 

 b. Removed from the vicinity of the right-of-way 

 c. Piled on one side of the right-of-way in such 

manner as to not obstruct roads, ditches, etc. 

 d. Other (Describe): 

_______________________________________________ 

 

 _______________________________________________ 

Total, Section R __________ 
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73

Section SE – SERVICE ENTRANCE ASSEMBLY UNITS 

Unit Price 

Unit 

No. of 

Units Labor Materials

Labor 

and Materials 

Extended Price 

Labor 

and Materials 

 

The depth of buried service wire in soil measured from the top of 

the service wire to the surface of the ground is 12 in. (30.5 cm) 

minimum. If the service wire is to be placed for the entire 

project to a minimum depth greater than 12 in. (30.5 cm), the 

Engineer will indicate the required minimum depth in the 

following space below: 

_______ in. (_____ cm). 

If any section of service wire is to be installed to a depth 

greater than the minimum depth stated above, the unit will be 

suffixed by the letter "E" followed by the required depth in 

parentheses. 

Total, Section SE __________ 
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75

Section UD – UNDERGROUND CONDUIT ASSEMBLY UNITS 

Unit Price 

Unit 

No. of 

Units Labor Materials

Labor 

and Materials 

Extended Price 

Labor 

and Materials 

 

Total, Section UD __________ 
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77

Section UF – UNDERGROUND FILLED COPPER CABLE ASSEMBLY UNITS 

Unit Price 

Unit 

No. of 

Units Labor Materials

Labor 

and Materials 

Extended Price 

Labor 

and Materials 

 

The cable to be used with the above underground cable units shall 

have a shield as indicated below: 

______ Coated Aluminum 

______ Copper 

The following type(s) of conductor insulation shall be used: 

______ Solid 

______ Expanded 

______ If checked by the Engineer, preconnectorized cable may be 

used at the option of the contractor. 

Total, Section UF __________ 
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79

Section UH – UNDERGROUND HANDHOLE ASSEMBLY UNITS 

Unit Price 

Unit 

No. of 

Units Labor Materials

Labor 

and Materials 

Extended Price 

Labor 

And Materials 

 

Total, Section UH __________ 
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81

Section UM – PRECAST MANHOLE ASSEMBLY UNITS 

Unit Price 

Unit 

No. of 

Units Labor Materials

Labor 

and Materials 

Extended Price 

Labor 

and Materials 

 

______ If checked by the Engineer, poured-in-place manholes may 

be used. 

Total, Section UM __________ 
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83

Section UO – UNDERGROUND FILLED FIBER OPTIC CABLE ASSEMBLY UNITS 

Unit Price 

Unit 

No. of 

Units Labor Materials

Labor 

and Materials 

Extended Price 

Labor 

and Materials 

 

The cable to be used with the above fiber optic cable units shall 

be as specified below: 

______ Attenuation (if other than normal specification value) 

______ Bandwidth requirement for multimode fibers 

______ Multiple loose tube core construction 

____ If checked, dry filled core 

 ____ If checked, gel filled core 

______ Unit or central core tube construction 

______ Metallic strength members 

______ Non-metallic strength members 

 

Other characteristics as required: (Define) 

 1. 

 2. 

 3. 

 4. 

______ If checked by the Engineer, preconnectorized cable may be 

 used at the option of the contractor for reel end splices. 

Total, Section UO __________ 
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85

Section W – REARRANGEMENT UNITS 

Unit Price 

Unit 

No. of 

Units Labor Materials

Labor 

and Materials 

Extended Price 

Labor 

and Materials 

 

Total, Section W __________ 
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87

Section XX – NONREUSABLE MATERIALS REMOVAL UNITS 

Unit Price 

Unit 

No. of 

Units Labor Materials

Labor 

and Materials 

Extended Price 

Labor 

and Materials 

 

Total, Section XX __________ 
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89

Section XZ – REUSABLE MATERIALS REMOVAL UNITS 

Unit Price 

Unit 

No. of 

Units Labor Materials

Labor 

and Materials 

Extended Price 

Labor 

and Materials 

 

Total, Section XZ __________ 
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Section XZ – REUSABLE MATERIALS REMOVAL UNITS (continued)

VALUE AND DISPOSITION OF UNITS TO BE REMOVED

Charges to Contractor Credi

For Ma

Assembly 

Unit 

Designation 

Assembly 

Unit 

Material 

Value 

No. of 

Assembly 

Units 

Extended 

Value 

No. of 

Assembly Units to 

Be Reused 

No. 

Assem

Unit

1 2 3 4 5 6 Note: Columns 1 through 7 should be filled in by Engineer. 

91 
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LIST OF SPECIAL ASSEMBLY UNIT DRAWINGS AND SPECIAL GUIDE DRAWINGS

(NOTE: Engineer will indicate by listing below the special 

assembly unit drawings and special guide drawings which 

have been prepared. These drawings are considered to be a 

part of this Contract.) 

LIST OF CHANGES, ADDITIONS, AND DELETIONS

The Bidder understands that the following changes, additions, 

or deletions have been made in the Contractor's Proposal, 

Description of Assembly Units, Engineering Details, Material 

and Installation Specifications, List of Construction Sheets, 

Assembly Unit Drawings and Guide Drawings, of the standard RUS 

Form 515 and the applicable Specification Packet(s) are 

considered to be part of this contract referred to hereof: 
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95

LIST OF KEY AND DETAIL MAPS

Map Number Description 
96

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97

LIST OF CABLE PLANT LAYOUT MAPS

Map Number Description 
98

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99

LIST OF CONSTRUCTION SHEETS

Map Number Description 
100

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101

LIST OF SPECIAL ARRANGEMENT UNITS

Map Number Description 
102

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103

PROPOSAL SUMMARY 

____________________________________________________________ 

Section A . . . . . . . . . . . . . . . . . . . __________ 

Section BA . . . . . . . . . . . . . . . . . . . __________ 

Section BD . . . . . . . . . . . . . . . . . . . __________ 

Section BDO . . . . . . . . . . . . . . . . . . __________ 

Section BDS . . . . . . . . . . . . . . . . . . __________ 

Section BFC . . . . . . . . . . . . . . . . . . __________ 

Section BFO . . . . . . . . . . . . . . . . . . __________ 

Section BH . . . . . . . . . . . . . . . . . . . __________ 

Section BM . . . . . . . . . . . . . . . . . . . __________ 

Section CFO . . . . . . . . . . . . . . . . . . __________ 

Section CO . . . . . . . . . . . . . . . . . . . __________ 

Section CW . . . . . . . . . . . . . . . . . . . __________ 

Section HA . . . . . . . . . . . . . . . . . . . __________ 

Section HBF . . . . . . . . . . . . . . . . . . __________ 

Section HC . . . . . . . . . . . . . . . . . . . __________ 

Section HO . . . . . . . . . . . . . . . . . . . __________ 

Section HR . . . . . . . . . . . . . . . . . . . __________ 

Section HU . . . . . . . . . . . . . . . . . . . __________ 

Section NID . . . . . . . . . . . . . . . . . . __________ 

Section PE . . . . . . . . . . . . . . . . . . . __________ 

Section PF . . . . . . . . . . . . . . . . . . . __________ 

Section PM . . . . . . . . . . . . . . . . . . . __________ 

Section R . . . . . . . . . . . . . . . . . . . __________ 
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105

PROPOSAL SUMMARY 

(continued) 

Section SE . . . . . . . . . . . . . . . . . . . __________ 

Section UD . . . . . . . . . . . . . . . . . . . __________ 

Section UF . . . . . . . . . . . . . . . . . . . __________ 

Section UH . . . . . . . . . . . . . . . . . . . __________ 

Section UM . . . . . . . . . . . . . . . . . . . __________ 

Section UO . . . . . . . . . . . . . . . . . . . __________ 

Section W . . . . . . . . . . . . . . . . . . . __________ 

Section XX . . . . . . . . . . . . . . . . . . . __________ 

Section XZ . . . . . . . . . . . . . . . . . . . __________ 

Total $ ______________ 
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107

2. The Bidder agrees to furnish and use in the 

construction of the Project under this Proposal, in the event 

the Contract is awarded to the Bidder, only such materials and 

equipment as are included in RUS Informational Publication 

(IP) 344-2, "List of Materials Acceptable for Use on 

Telecommunications Systems of RUS Borrowers," including 

revisions adopted prior to the Bid Opening, unless specific 

written approval has been granted by the Administrator of the 

Rural Utilities Service (hereinafter called the 

"Administrator"). 

3. The Bidder understands and agrees that the various 

Assembly Units on which bids are made in this Proposal are as 

set out in the "Description of Assembly Units" of the 

Specifications, that all said bids are on a unit basis, and 

that the Owner may specify any number or combination of 

Assembly Units that the Owner, with the approval of the 

Administrator, may deem necessary for the construction of the 

Project. 

4. The Bidder has made a careful examination of the 

site of the Project to be constructed and of the Plans, 

Specifications, Descriptions of Assembly Units, Construction 

Sheets, and forms of Construction Agreement and Contractor's 

Bond attached hereto, and has become informed as to the 

location and nature of the proposed construction, the 

transportation facilities, the kind and character of soil and 

terrain to be encountered, and the kind of facilities required 

before and during the construction of the Project, and has 

become acquainted with the labor conditions which would affect 

work on the proposed construction. 

5. The Bidder understands that the location shown on 

Construction Sheets for existing telecommunications plant and 

other utilities is approximate, and that the restrictions on 

cable placement shown on the Construction Sheets may be 

altered in accordance with Article V, Section A.1.3, as 

existing underground facilities are located by the Bidder 

during construction. 

6. The Bidder agrees, in connection with pole and stub 

pole units, as follows: 

 (a) To furnish poles and stub pole units, in accordance 

with specifications, standards and requirements of 

the Administrator. 

 (b) That the prices for poles set forth herein include 

the cost of preservative treatment and inspection or 

insured warranty. 
108

 (c) To obtain from the Supplier copies of the inspection 

and treatment reports or insured warranties and to 

submit such reports or warranties to the Owner as one 

of the prerequisites to monthly and/or final 

payments. 

7. The Bidder agrees to make such changes in construction 

previously installed in the Project by the Bidder as required 

by the Owner for prices arrived at as follows: 

 (a) For manhole units, or underground conduit units, the 

compensation for such change shall be as agreed 

upon, in writing, by the Bidder and the Owner and 

approved by the Administrator prior to the 

commencement of work in connection with such change. 

 (b) For all other units, the compensation for such 

change shall be the reasonable cost thereof, but in 

no event shall it exceed two (2) times the labor 

price quoted in the Proposal for the installation of 

the unit to be changed. Such compensation shall be 

in lieu of any other payment for the installation 

and removal of the original unit. (If a new or 

replacing unit is installed, payment for such new or 

replacing unit shall be made as shown in the final 

inventory.) 

Where changes involve plant that is abandoned in place and is 

not inventoried, or where additional compensation is due as 

per the above, a Construction Change Order (RUS Form 216) 

shall be prepared and included with the Closeout Documents. 

No payment shall be made to the Bidder for materials or labor 

involved in correcting errors or omissions on the part of the 

Bidder which result in construction not in accordance with the 

Plans and Specifications. 

8. The Bidder also agrees that when it is necessary to 

construct units not shown in the Proposal it will construct 

such units for a price arrived at as follows: 

The cost of materials shall be determined by the invoices. 

The cost of labor shall be the reasonable cost thereof but 

in no event shall it exceed an amount determined by 

calculating the ratio of the total labor costs to the 

total material costs in the section of the Proposal 

involved, and multiplying the cost of materials for the 

unit in question by this ratio: Provided, however, that 

in respect of section BM, the ratio shall be calculated 
109

for only those units of the section which are similar to 

the new unit for which a price is to be determined. 

9. This Proposal is made pursuant to the provisions of 

the Instructions to Bidders attached hereto and the Bidder 

agrees to the terms and conditions thereof. 

10. The Bidder shall comply with all applicable 

construction codes. 

(a) The Bidder warrants that it possesses 

 Contractor's License No. ____ issued to it by 

 the State of _______ in which the 

 Project(s) is located and said license expires on 

 ___________, 20___. 

(b) The Bidder warrants that no license is required 

in the state in which the Project(s) is located. 

(Bidder shall cross out that subsection that does not 

apply) 

11. The Bidder warrants that this Proposal is made in 

good faith and without collusion or connection with any person 

or persons bidding for the same work. 

12. The Bidder agrees that in the event this Proposal is 

accepted it will execute a Contract in the form on file with 

the Owner and that if awarded the Contract, it will make 

available for use in connection with the proposed construction: 

 a. All necessary tools and equipment. 

 b. Qualified superintendent and foreman. 

13. The Bidder warrants that it possesses adequate 

financial resources and agrees that in the event this proposal 

is accepted it will furnish a Contractor's Bond in one of the 

forms (RUS Form 168b or 168c) attached hereto and in a penal 

sum not less than the Contract price, which is the sum of all 

labor and materials including owner-furnished materials 

installed in the Project, with a surety or sureties listed by 

the United States Treasury Department as Acceptable Sureties. 

In the event that the surety or sureties on the 

Contractor's Bond delivered to the Owner contemporaneously 

with the execution of the Contract or any bond or bonds 

delivered in substitution therefore, or in addition thereto, 

shall, at any time, become unsatisfactory to the Owner or the 
110

Administrator, the Bidder agrees to deliver to the Owner 

another or an additional bond. 

14. The Bidder agrees to commence the construction of the 

Project, on a date (hereinafter called the "Commencement 

Date") which shall be determined by the Engineer after notice, 

in writing, of approval of the Construction Contract by the 

Administrator and notice in writing from the Bidder that the 

Bidder has available sufficient materials to warrant 

commencement and continuation of construction, but in no event 

will the Commencement Date be later than _______ calendar days 

after the date of approval of the Construction Contract by the 

Administrator. 

The Bidder agrees to strive diligently to obtain materials 

to commence and maintain construction of the Project and agrees 

to prosecute diligently and to complete construction of 

the Project in strict accordance with the Plans, 

Specifications, Construction Sheets and Special Drawings 

within ____________ (________) calendar days (excluding 

Saturdays, Sundays, and legal holidays) after the Commencement 

Date. Provided, however, that the Bidder will not be required 

to dig holes, set poles, install anchors or install 

underground conduit if there are more than 6 in. (15.2 cm) of 

frost in the ground nor to perform any construction on such 

days when in the judgment of the Engineer, snow, rain, or wind 

or the results of snow, rain, or frost make it impracticable 

to perform any operation of construction; provided further 

that the Bidder will not perform any plowing for the 

installation of buried cable on public roads or highways if 

there are more than 2 in. (5.08 cm) of frost in the ground. 

To the extent of any time lost due to the conditions 

described herein and approved in writing by the Engineer, the 

time of completion set out above will be extended if the 

Bidder makes a written request therefore to the Owner as 

provided in Article II, Section 1(a) of the Construction 

Agreement. 

15. The unit prices for Assembly Units in this 

Contractor's Proposal include provisions for the payment of all 

moneys which will be payable by the Bidder or the Owner in 

connection with the construction of the Project on account of 

taxes imposed by a taxing authority upon the sale, purchase or 

use of materials, supplies and equipment, or services or labor 

of installation thereof, to be incorporated in the Project as 

part of such Assembly Units. The Bidder agrees to pay all 

such taxes and to furnish to the appropriate taxing 
111

authorities all required information and reports pertaining 

thereto. 

16. The Bidder understands and agrees that the quantities 

called for in this proposal are approximate, and that the total 

number of units upon which payment shall be made shall 

be as set forth in the inventory based on the Construction 

Sheets, both of which shall be subject to approval by the 

Administrator. 

If the Owner changes the quantity of any Assembly Unit or 

Assembly Units specified in this Proposal by more than five 

(5) percent, and the materials cost to the Bidder is increased 

thereby to an extent which would not be adequately compensated 

by application of the unit prices in this Proposal to the 

revised quantity of such unit or units, such change, to the 

extent of the quantities of such units in excess of such five 

(5) percent, shall be regarded as a change in the construction 

within the meaning of Article II, Section 1(d) of the 

Construction Contract. 

17. The Bidder understands and agrees that approximately 

_______ miles(_______ km) of proposed pole lines in the 

Project will be constructed along the same right-of-way as 

that occupied by existing telecommunications lines of the 

Owner. The Bidder will perform the work in such manner as not to 

cause interruption of service on such existing lines during 

the construction of the proposed lines of the Project 

occupying the same right-of-way. To accomplish this, the 

Bidder may "lean" or alter the position of the existing poles 

and make other temporary adjustment to line or service wires 

required so as to permit construction of the Project to 

proceed without interrupting service on the existing lines. 

The Bidder understands and agrees that the compensation for 

such temporary work is included in the unit price for Assembly 

Units in this Contractor’s Proposal required for the 

construction of Project lines occupying the same right-of-way 

as existing telecommunications lines of the Owner and that 

Rearrangement (W) Units will not be applicable to such temporary 

work. 

18. The Bidder understands and agrees that approximately 

_______ miles (_______ km) of proposed buried cable will be 

constructed along the same right-of-way and adjacent to 

existing buried telecommunications facilities of the Owner. 

The sizes and general locations of existing buried 

telecommunications facilities are shown on the Construction 

Sheets. It will be the Bidder's responsibility to perform the 

work in such a manner as not to cause interruption of service 
112

on existing buried facilities during the construction of the 

proposed buried cable. To accomplish this, the Bidder will 

furnish and operate any cable locating equipment necessary to 

establish the actual location of existing buried facilities. 

The bidder will be responsible for maintaining shield 

continuity and proper grounding of existing cables in the time 

frame between housing installation and splicing operations. 

19. The Bidder will furnish, prior to the commencement of 

buried plant construction, proof, satisfactory to the Owner, 

of compliance with requirements of highway and road 

authorities having jurisdiction, including without limitation, 

the furnishing of a bond or other guaranty, and approval by 

such authorities of the equipment and methods of construction 

and repair to be used by the Bidder. 

20. The Bidder will not perform any work hereunder on 

Saturdays, Sundays, and legal holidays unless there is urgent 

need for such work and the Owner consents thereto in writing. 

The time for completion specified in Paragraph 14 hereof shall 

not be affected in any way by inclusion of consent to work on 

the days specified above. 

21. The Bidder represents that: 

It has , does not have , 100 or more employees, and if 

it has, that 

It has , has not , furnished the Equal Employment 

Opportunity-Employers Information Report EEO-1, Standard Form 

100, required of employers with 100 or more employees pursuant 

to Executive Order 11246 and Title VII of the Civil Rights Act of 

1964. 

The Bidder agrees that if it has 100 or more employees and 

has not submitted a report on Standard Form 100 for the 

current reporting year and that if this contract will amount 

to more than $10,000, the Bidder will file such report, as 

required by law, and notify the Owner in writing of such 

filing prior to the Owner's acceptance of this Proposal. 

The Bidder agrees that it will obtain, prior to the award 

of any subcontract for more than $10,000 hereunder to a 

subcontractor with 100 or more employees, a statement, signed 

by the proposed subcontractor, that the proposed subcontractor 

has filed a current report on Standard Form 100. 

22. The Bidder certifies that it does not maintain or 

provide for its employees any segregated facilities at any of 

its establishments, and that it does not permit its employees 

to perform their services at any location, under its control, 

where segregated facilities are maintained. The Bidder 
113

certifies further that it will not maintain or provide for its 

employees any segregated facilities at any of its 

establishments, and that it will not permit its employees to 

perform their services at any location, under its control, 

where segregated facilities are maintained. The Bidder agrees 

that a breach of this certification is a violation of the 

Equal Opportunity Clause in this contract. As used in this 

certification, the term "segregated facilities" means any 

waiting rooms, work areas, rest rooms and washrooms, 

restaurants and other eating areas, timeclocks, locker rooms 

and other storage or dressing areas, parking lots, drinking 

fountains, recreation or entertainment areas, transportation, 

and housing facilities provided for employees which are 

segregated by explicit directive or are in fact segregated on 

the basis of race, color, religion, or national origin, 

because of habit, local custom, or otherwise. The Bidder 

agrees that (except where it has obtained identical 

certifications from proposed subcontractors for specific 

time periods) it will obtain identical certifications from 

proposed subcontractors prior to the award of subcontracts 

exceeding $10,000 which are not exempt from the provisions of 

the Equal Opportunity Clause, and that it will retain such 

certifications in its files. 

23. The Bidder represents that to the extent required by 

Executive Order 12549, Debarment and Suspension, and 7 CFR 

Part 3017, it has submitted to the Owner a duly executed 

Certification in the form prescribed in 7 CFR Part 3017. The 

Bidder shall not enter into any subcontract with any person or 

firm debarred from Government Contracts pursuant to Executive 

Order 11246. 

Note: The penalty for making false statements in offers is 

 prescribed in 18 U.S.C. 1001. 

 By ____________________

Attest: (Signature) 

____________________ ____________________

 (Secretary) (Name - Type or Print) 

____________________ ____________________

 (Date) (Title) 

 ___________________

 (Name and Address of Bidder) 

(The Proposal must be signed with the full name of the Bidder. 

In the case of a partnership, the Proposal must be signed in 

the firm name by each partner. In the case of a corporation 

the Proposal must be signed in the corporate name by a duly 

authorized officer and the Corporate seal affixed and attested 

by the Secretary of the Corporation.) 
114

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115

CONSTRUCTION AGREEMENT 

Agreement made __________________, 20___, by and between 

____________________________________ (hereinafter called the 

"Owner"), a corporation organized and existing under the 

laws of the State of _______________________________________

and ________________________________________________________

 *Individual *Corporation *Partnership 

*Identify applicable organization type. 

(hereinafter called the "Contractor"), organized and existing 

under the laws of the State of ___________________. 

WHEREAS, the United States of America (hereinafter called 

the "Government") by the Administrator of the Rural Utilities 

Service has entered into a loan contract (hereinafter called 

the "Loan Contract") with the Owner providing for a loan to 

the Owner for the construction of a rural telecommunications 

project designated by the Rural Utilities Service as 

_______________________________. 

NOW, THEREFORE, in consideration of the mutual 

undertakings herein contained, the parties hereto agree as 

follows: 

Article I - ACCEPTANCE OF PROPOSAL 

Section 1. Acceptance. 

The Owner accepts the Contractor's Proposal and the 

parties hereto agree that the Assembly Units which shall be 

used in the construction of the Project, and to which the Unit 

Prices as set forth in said Proposal shall apply, are as 

follows, and that the materials which shall be used in the 

construction of the Project shall be as set forth in said 

Proposal. 

Assembly Units: 

 Sections, 

 

 

 
116

For a more detailed description of said Assembly Units and 

materials reference shall be made to the Material and 

Construction Specifications, Construction Sheets and Plans, 

Special Drawings, and Description of Assembly Units. The 

Contractor shall report any error or ambiguity discovered in 

the Plans and Specifications to the Engineer before starting 

work. 

Section 2. Description of Contract. 

The Instructions to Bidders, the Proposal, Description of 

Assembly Units, Material and Construction Specifications, 

Construction Sheets and Plans, and Special Drawings are hereby 

by reference incorporated herein and together with the 

Construction Agreement constitute the Contract. 

Article II - CONSTRUCTION 

Section 1. Time and Manner of Construction. 

(a) The time for Completion of Construction set forth in 

the Contractor's Proposal shall be extended for the period of 

any reasonable delay which is due exclusively to causes beyond 

the control and without the fault of the Contractor, including 

acts of God, fires, floods, inability to obtain materials, and 

acts or omissions of the Owner with respect to matters for 

which the Owner is solely responsible: Provided, however, 

that no such extension of time for completion shall be granted 

the Contractor unless within ten (10) days after the happening 

of any event relied upon by the Contractor for such an 

extension of time the Contractor shall have made a request 

therefore in writing to the Owner, and provided further, that 

no delay in such time of completion or in the progress of the 

work which results from any of the above causes except acts or 

omissions of the Owner shall result in any liability on the 

part of the Owner. 

(b) The sequence of construction shall be as set forth 

below, the names being the designations of central office 

areas corresponding to the names shown on the maps attached 

hereto. For each central office area, the sequence of 

construction shall be designated by remote serving areas or 

Work Sectors shown on maps of the central office areas. If no 

sequence of construction is set forth below, the sequence 

shall be as determined by the Contractor, subject to the 

approval of the Engineer. 

___________________________________________________________ 

___________________________________________________________ 

___________________________________________________________ 

___________________________________________________________ 

___________________________________________________________ 
117

___________________________________________________________ 

___________________________________________________________ 

___________________________________________________________ 

___________________________________________________________ 

___________________________________________________________ 

___________________________________________________________ 

(c) The Contractor shall perform work in such a manner as 

to maximize preservation of beauty and conservation of natural 

resources and minimize marring and scarring of the landscape 

and silting of streams. The Contractor shall not deposit 

trash in streams or waterways, and shall not deposit 

herbicides or other chemicals or their containers in or near 

streams, waterways or pastures. The Owner or Engineer shall 

also make available such other environmental information 

pursuant to the project as in the Environmental Report (ER) 

covering the project. 

(d) The Owner, acting through the Engineer, and with the 

approval of the Administrator, may, from time to time, during 

the progress of the construction of the Project, make such 

changes, additions to, or subtractions from the Plans, 

Specifications, Construction Sheets, Special Drawings and 

cable placement locations which are part of the Contractor's 

Proposal and in the sequence of construction provided for in 

the preceding section as conditions may warrant: Provided, 

however, that if any change in the construction to be done 

shall require an extension of time, a reasonable extension 

will be granted if the Contractor shall make a written request 

therefore to the Owner within ten (10) days after any such 

change is made. And provided, further, that if the cost of 

materials to the Contractor is increased by such change or 

addition, the Owner shall pay the Contractor for the 

reasonable cost thereof, included, if necessary, in a 

construction contract amendment (RUS Form 526) signed by the 

Owner and the Contractor, and approved by the Administrator 

(see 7 CFR part 1753.11). Any claim for additional 

compensation for a change or addition will not be considered 

unless the Contractor shall have made a written request 

therefore and approved by the Owner prior to the commencement 

of work in connection with such change or addition (refer to 

Contractor's Proposal, Paragraph 16). 

(e) Except as otherwise agreed to by the Owner, all work 

shall be performed without interruption to or interference 

with existing telecommunications service, if any. 
118

Section 2. Supervision and Inspection. 

(a) The Contractor shall cause the construction work on 

the Project to receive constant supervision by a competent 

superintendent (hereinafter called the "Superintendent") who 

shall be present at the Project during working hours when 

construction is being carried on. The Contractor shall also 

employ, in connection with the construction of the Project, 

capable, experienced and reliable foremen and such skilled 

workmen as may be required for the various classes of work to 

be performed. Directions and instructions given to the 

Superintendent shall be binding upon the Contractor. 

(b) The Owner reserves the right to require the removal 

from the Project of any employee of the Contractor if in the 

judgment of the Owner such removal shall be necessary in order 

to protect the interest of the Owner. The Owner shall have 

the right to require the Contractor to increase the number of 

its employees and to increase or change the amount or kind of 

tools and equipment if at any time the progress of the work 

shall be unsatisfactory to the Owner; but the failure of the 

Owner to give such directions shall not relieve the Contractor 

of its obligations to complete the work within the time and in 

the manner specified in this Contract.

 

(c) The manner of construction of the Project, and all 

materials and equipment used therein, shall be subject to the 

inspection, tests and approval of the Engineer and the 

Administrator, and the Contractor shall furnish all 

information required by the Engineer or by the Administrator 

concerning the nature or source of any materials incorporated 

or to be incorporated in the Project. The Owner and the 

Administrator shall have the right to inspect all payrolls, 

invoices of materials, and other data and records of the 

Contractor and of any subcontractor, relevant to the 

construction of the Project. The Contractor shall provide all 

reasonable facilities necessary for such inspection and tests 

and shall maintain an office at the site of Project, with 

telecommunications service where obtainable, and at least one 

office employee to whom directions and instructions may be 

delivered. Delivery of such directions or instructions in 

writing to the employee of the Contractor at such office shall 

constitute delivery to the Contractor. The Contractor shall 

have an authorized agent accompany the Engineer when final 

inspection is made and, if requested by the Owner, when any 

other inspection is made. 

(d) In the event that the Owner shall determine that the 

construction contains or may contain numerous defects, it 

shall be the duty of the Contractor and the Contractor's 
119

surety or sureties to have an inspection made by an Engineer 

approved by the Owner and the Administrator for the purpose of 

determining the exact nature, extent and location of such 

defects. 

(e) The Engineer may recommend to the Owner that the 

Contractor suspend the work wholly or in part for such period 

or periods as may be deemed necessary due to unsuitable 

weather or such other conditions as are considered unfavorable 

for the satisfactory prosecution of the work or because of the 

failure of the Contractor to comply with any of the provisions 

of the Contract: Provided, however, that the Contractor shall 

not suspend work pursuant to this provision without written 

authority from the Owner so to do. The time of completion 

hereinabove set forth shall be increased by the number of days 

of any such suspension, except when such suspension is due to 

the failure of the Contractor to comply with any of the 

provisions of this Contract. In the event that work is 

suspended by the Contractor with the consent of the Owner, the 

Contractor before resuming work shall give the Owner at least 

twenty-four (24) hours notice thereof in writing. 

Section 3. Defective Workmanship and Materials. 

(a) The acceptance of any workmanship, materials, or 

equipment by the Owner or Engineer shall not preclude the 

subsequent rejection thereof if such workmanship, materials or 

equipment shall be found to be defective after delivery or 

installation, and any such workmanship, materials or equipment 

found defective before final acceptance of the construction 

shall be remedied or replaced, as the case may be, by and at 

the expense of the Contractor. Any condemned material or 

equipment shall be immediately removed from the site of the 

Project by the Contractor at the Contractor's expense. The 

Contractor shall not be entitled to any payment hereunder so 

long as any defective workmanship, materials or equipment in 

respect to the Project, of which the Contractor shall have had 

notice, shall not have been remedied or replaced, as the case 

may be. 

(b) Notwithstanding any certificate which may have been 

given by the Owner or Engineer, if any workmanship, material, 

or equipment which does not comply with the requirements of 

this Contract shall be discovered within one (1) year after 

completion of construction of the Project or Section, the 

Contractor shall remedy any such defective workmanship or 

replace such defective materials or equipment within thirty 

(30) days after notice in writing of the existence thereof 

shall have been given by the Owner. In the event of failure 

by the Contractor to do so, the Owner may remedy such 
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defective workmanship or replace such defective materials or 

equipment, as the case may be, and in such event the 

Contractor shall pay to the Owner the cost and expense 

thereof. Except as otherwise agreed to by the Owner all such 

corrective work shall be performed by the Contractor without 

interruption to or interference with existing 

telecommunications service, if any. 

Article III - PAYMENTS AND RELEASE OF LIENS 

Section 1. Payments to Contractor. 

(a) Within the first fifteen (15) days of each calendar 

month, the Owner shall make partial payment to the Contractor 

for construction accomplished which includes cleanup during 

the preceding calendar month on the basis of completed 

Assembly Units invoiced by and certified to by the Contractor, 

recommended by the Engineer and approved by the Owner solely 

for purposes of payment. Provided, however, that such 

approval shall not be deemed approval of the workmanship or 

materials. Only ninety-five percent (95%) of each such 

invoice approved during the construction of the project shall 

be paid by the Owner to the Contractor prior to completion of 

the Contract. Upon completion by the Contractor of the 

construction of the Project, the Engineer will prepare a Final 

Inventory of the project showing the total number of and 

character of Assembly Units and, after checking such Inventory 

with the Contractor, will certify it to the Owner, together 

with a certificate of the total cost of the construction 

performed. Upon the approval of such certificates by the 

Owner and the Administrator, the Owner shall make payment to 

the Contractor of all amounts to which the Contractor shall be 

entitled thereunder which shall not have been paid: Provided, 

however, that such final payment shall be made not later than 

ninety (90) days after the date of completion of construction 

of the Project, as specified in the Certificate of Completion, 

unless withheld because of the fault of the Contractor. For 

purposes of payment pursuant to this Article III, Section 

1(a), "Construction Accomplished" shall not include the 

delivery to the Project Site of cable, wire, and conduit 

materials for appropriate Assembly Units. Provided, 

however, that payments to the Contractor for such cable, 

wire, and conduit materials delivered to the Project Site 

shall be made to the extent that the aggregate amount of all 

such payments shall not exceed eighty percent (80%) of the 

material costs, as set forth in the assembly unit prices, up 

to a maximum $1,000,000. The payments shall be considered due 

and payable when placement of cable, wire, and conduit 

materials begin. When the amount of cable, wire, and conduit 

materials delivered to the Project Site exceed the $1,000,000 
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initial payment or additional cable, wire, and conduit 

materials are delivered to the Project Site subsequent to the 

initial payment, additional payments will be made up to eighty 

percent (80%) of the material unit prices, only after $100,000 

or more of the cable, wire, and conduit materials have been 

incorporated into the Project. Payments made on account of 

such material shall be subtracted from the monthly estimates 

of completed Assembly Units. 

 

(b) The Contractor shall be paid on the basis of the 

number of Assembly Units actually installed at the direction 

of the Owner, as shown by the inventory based on the 

Construction Sheets and applicable construction change orders 

(RUS Form 216 attached hereto): Provided, however, that the 

total cost shall not exceed the maximum Contract price for the 

construction of the Project as computed from the Proposal, 

unless such excess shall have been approved in writing 

by the Administrator. It is understood and agreed that this 

Contract price is 

_____________________________________________________

___________________dollars ($_____________________________). 

(c) Notwithstanding the provisions of Section 1(a) above, 

the Contractor may, by giving written notice thereof to the 

Owner, elect to receive payment in full for any Section of the 

Project upon: 

(i) completion of construction of such Section as 

certified by the Engineer and approved by the 

Owner and the Administrator; 

(ii) submission to the Owner and the Administrator of 

the releases of lien and the certificate referred 

to in Section 2 hereof; 

(iii) approval by the Owner and the Administrator of the 

Final Inventory in respect to such Section; and 

(iv) submission to the Owner and the Administrator of 

the consent in writing by the surety or sureties 

on the Contractor's Bond to payment in full for 

such Section prior to Completion of the Project. 

(d) Interest at the rate of one and one-half percent 

(1-1/2%) per annum higher than the "Prime Rate" published in 

the Wall Street Journal in its first issue of the month, but 

in no event greater than that allowed by any Federal or State 

laws shall be paid by the Owner to the Contractor on all 

unpaid balances due on monthly estimates, commencing fifteen 
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(15) days after the due date; provided the delay in payment 

beyond the due date is not caused by any condition within the 

control of the Contractor. Said interest rate shall be 

determined as of the first date interest becomes due. The due 

date for purpose of such monthly payments shall be fifteen 

(15) days after submittal by the Contractor to the Owner of 

its certification of Assembly Units completed and approval by 

the Owner within fifteen (15) days of the Contractor's 

submittal. If, for reasons not due to the Contractor's fault, 

such approval shall have been given within fifteen (15) days 

of submittal, the due date for purposes of this subsection (d) 

shall be fifteen (15) days after submittal notwithstanding the 

absence of the approval of the certification. 

(e) Interest at the rate of one and one-half percent 

(1-1/2%) per annum higher than the "Prime Rate" published in 

the Wall Street Journal in its first issue of the month, but 

in no event greater than that allowed by any Federal or State 

laws shall be paid by the Owner to the Contractor on the final 

payment for the Project or any completed Section thereof, 

commencing fifteen (15) days after the due date. Said 

interest rate shall be determined as of the first date 

interest becomes due. The due date for purposes of such final 

payment shall be the date of approval by the Administrator of 

all of the documents requiring such approval, as a condition 

precedent to the making of final payment, or ninety (90) days 

after the date of the completion of construction of the 

Project, as specified in the Certificate of Completion, unless 

withheld because of the fault of the Contractor, whichever 

date is earlier. 

(f) No payment shall be due while the Contractor is in 

default in respect of any provisions of this Contract and the 

Owner may withhold from the Contractor the amount of any claim 

by a third party against either the Contractor or the Owner 

based upon an alleged failure of the Contractor to perform the 

work hereunder in accordance with the provisions of this 

Contract. 

Section 2. Release of Liens and Certificate of Contractor. 

(See Form 224, Waiver and Release of Lien, and Form 231, 

Certificate of Contractor, attached hereto)

Upon the completion by the Contractor of the construction 

of the Project (or any Section thereof if the Contractor shall 

elect to receive payment in full for any Section when 

completed as provided above) but prior to payment to the 

Contractor of any amount in excess of ninety-five percent 

(95%) of the total cost of all Assembly Units comprising the 

completed Project or such Section, the Contractor shall 
123

deliver to the Owner, in duplicate, releases of all liens and 

of rights to claim any lien, in the form attached hereto, from 

all manufacturers, materialmen, and subcontractors furnishing 

services or materials for the Project or such Section and a 

certificate in the form attached hereto to the effect that all 

labor used on or for the Project or such Section has been paid 

and that all such releases have been submitted to the Owner. 

Section 3. Payments to Materialmen and Subcontractors. 

The Contractor shall pay each materialman, and each 

subcontractor if any, within five (5) days after receipt of 

any payment from the Owner, the amount thereof allowed the 

Contractor for and on account of materials furnished or 

construction performed by each materialman or each 

subcontractor. 

Article IV - PARTICULAR UNDERTAKINGS OF THE CONTRACTOR 

Section 1. Protection to Persons and Property. 

The Contractor shall at all times take all reasonable 

precautions for the safety of employees on the work and of the 

public, and shall comply with all applicable provisions of 

Federal, State and Municipal safety laws, environmental 

regulations, and building and construction codes. 

 

The following provisions shall not limit the generality of 

the above requirements: 

(a) The Contractor shall at no time and under no 

circumstances cause or permit any employee of the Contractor 

to perform any work upon poles carrying energized electric 

power lines, except on telecommunications system units having 

clearances from the electric power system equal to or greater 

than required by applicable provisions of Federal, State or 

Municipal laws or regulations and the National Electrical 

Safety Code (NESC). 

(b) The Contractor shall so conduct the construction of 

the Project as to cause the least possible obstruction of 

public highways. 

(c) The Contractor shall provide and maintain all such 

guard lights and other protection for the public as may be 

required by applicable statutes, ordinances and regulations or 

by local conditions.
124

(d) The Contractor shall do all things necessary or expedient 

to protect properly any and all parallel, converging 

and intersecting lines, joint line poles, highways, other 

utilities and any and all property of others from damage, and 

in the event that any such parallel, converging and 

intersecting lines, joint line poles, highways, other 

utilities or other property are damaged in the course of the 

construction of the Project the Contractor shall at its own 

expense restore any or all of such damaged property 

immediately to as good a state as before such damage occurred. 

(e) Where the construction corridor of the Project 

traverses cultivated land, the Contractor shall limit the 

movement of its crews and equipment so as to cause as little 

damage as possible to crops, orchards, or property and shall 

endeavor to avoid marring the lands. All fences which are 

necessarily opened or moved during the construction of the 

Project shall be replaced in as good condition as they were 

found and precautions shall be taken to prevent the escape of 

livestock. Except as otherwise provided in respect of buried 

plant in the description of Assembly Units, the Contractor 

shall not be responsible for loss of or damage to crops, 

orchards or property (other than livestock) on the 

construction corridor necessarily incident to the construction 

of the Project and not caused by negligence or inefficient 

operation of the Contractor. The Contractor shall be 

responsible for all other loss of or damage to crops, 

orchards, or property, whether on or off the construction 

corridor and for all loss of or damage to livestock caused by 

the construction of the Project. 

(f) The Project, from the commencement of work to 

completion of construction, or to such earlier date or dates 

when the Owner may take possession and control in whole or in 

part as hereinafter provided shall be under the charge and 

control of the Contractor and during such period of control by 

the Contractor all risks in connection with the construction 

of the Project and the materials to be used therein shall be 

borne by the Contractor. The Contractor shall make good and 

fully repair all injuries and damages to the Project or any 

portion thereof under the control of the Contractor by reason 

of any act of God or other casualty or cause whether or not 

the same shall have occurred by reason of the Contractor's 

negligence. The Contractor shall hold the Owner harmless from 

any and all claims for injuries to persons or for damage to 

property happening by reason of any negligence on the part of 

the Contractor or any of the Contractor's agents or employees 

during the control by the Contractor of the Project or any 

part thereof. 
125

(g) Any and all excess earth, rock, debris, underbrush 

and other useless material shall be removed by the Contractor 

from the site of the Project or relocated (distributed) to the 

satisfaction of the Owner as rapidly as practicable as the 

work progresses. 

(h) Upon violation by the Contractor of any of the 

provisions of this Section, after written notice of such 

violation given to the Contractor by the Engineer or the 

Owner, the Contractor shall immediately correct such 

violation. Upon failure of the Contractor to do so, the Owner 

may correct such violation at the Contractor's expense. 

Provided, however, that the Owner may, if it deems it 

necessary or advisable, correct such violation at the 

Contractor's expense without such prior notice to the 

Contractor. 

(i) The Contractor shall immediately notify the Owner of 

any accidents, giving such data as may be prescribed by the 

Owner. 

(j) The Contractor shall not proceed with the cutting of 

trees or clearing of right-of-way without written notification 

from the Owner that proper authorization has been received 

from the Owner of the Property, and the Contractor shall 

promptly notify the Owner whenever any landowner objects to 

the trimming or felling of any trees or the performance of any 

other work on its land in connection with the Project and 

shall obtain the consent in writing of the Owner before 

proceeding in any such case. 

Section 2. Delivery of Possession and Control to Owner. 

(a) Upon written request of the Owner, the Contractor 

shall deliver to the Owner full possession and control of any 

portion of the Project, provided the Contractor shall have 

been paid at least ninety-five percent (95%) of the cost of 

construction of such portion. Upon such delivery of the 

possession and control of any portion of the Project to the 

Owner, the risk and obligations of the Contractor as set forth 

in Article IV, Section 1(f) hereof, with respect to such 

portion of the Project so delivered to the Owner shall be 

terminated: Provided, however, that nothing herein contained 

shall relieve the Contractor of any liability with respect to 

defective workmanship or materials as contained in Article II, 

Section 3, hereof. 

(b) Where the construction of a Section as defined in 

Article VII, Section 1(f) shall have been completed and tested 

by the Contractor, the Owner agrees, after receipt of a 
126

written request from the Contractor, to accept delivery of 

possession and control of such Section upon the issuance by 

the Engineer of a written statement that the Section has been 

inspected and found acceptable by the Engineer. For the 

purpose of the foregoing provision only, a Section may be 

considered completed even if telecommunications set assembly 

units have not been installed because the Owner's central 

office (CO) equipment has not been installed at the time the 

Section was constructed by the Contractor. Upon such delivery 

of the possession and control of any such Section to the 

Owner, the risk and obligations of the Contractor as set forth 

in Article IV, Section 1(f) hereof, with respect to such 

Section so delivered to the Owner shall be terminated: 

Provided, however, that nothing herein contained shall relieve 

the Contractor of any liability with respect to defective 

workmanship or materials as contained in Article II, Section 

3, hereof. 

Section 3. Pre-cutover Testing of the Project. 

(a) Prior to the Completion of Construction of the 

Project, the Owner, acting in accordance with plans of the 

Engineer, upon written notice to the Contractor, may perform 

operational tests of any portion or portions thereof. During 

the period of such tests, the portion or portions of the 

Project being so tested shall be considered as within the 

possession and control of the Owner and governed by the 

Provisions of Section 2 of this Article. Upon written notice 

to the Contractor by the Owner of the completion of such tests 

said portion or portions of the Project shall be considered as 

returned to the possession and control of the Contractor 

unless the Owner shall elect to continue possession and 

control in the manner provided in Section 2 of this Article. 

(b) The Owner shall have the right to permanently place 

in service any portion or portions of the Project delivered to 

its possession and control pursuant to the provisions of 

Section 2 of this Article. 

Section 4. Insurance. 

During the Contractor's performance hereunder, the 

Contractor shall take out and maintain fully paid insurance 

providing not less than the minimum coverage required by 7 CFR 

part 1788, Subpart C. 
127

 [ ] When checked by the Owner, with respect to the insurance 

required by 7 CFR part 1788, Subpart C, the Contractor 

shall include as co-insured the Owner, and their 

personnel, and the Engineer and their personnel. The 

added costs shall be included in the bid price. 

The Owner shall have the right to require public liability 

insurance and property damage liability insurance in an amount 

greater than those required in 7 CFR Part 1788, Subpart C. 

The added costs shall be included in the bid price. 

 

Upon request by the Administrator, the Contractor shall 

furnish to the Administrator a certificate in such form as the 

Administrator may prescribe, evidencing compliance with the 

foregoing requirements. (See 7 CFR part 1788.55) 

Section 5. Purchase of Materials. 

The Contractor shall purchase all materials and supplies 

outright and not subject to any conditional sales agreement, 

bailment lease, or other agreement reserving to the seller any 

right, title, or interest therein. All materials and supplies 

shall become the property of the Owner upon acceptance. 

Section 6. Assignment of Guarantees. 

All guarantees of materials and workmanship running in 

favor of the Contractor shall be transferred and assigned to 

the Owner upon completion of construction and at such time as 

the Contractor receives final payment. 

Section 7. Patent Infringement. 

The Contractor shall save harmless and indemnify the Owner 

from any and all claims, suits and proceedings for the 

infringement of any patent or patents covering any materials 

or equipment used in construction of the Project. 

Section 8. Permits for Explosives. 

All permits necessary for the handling or use of dynamite 

or other explosives in connection with the construction of the 

Project shall be obtained by and at the expense of the 

Contractor. 

Section 9. Compliance with Statutes and Regulations. 

The Contractor shall comply with all applicable statutes, 

ordinances, rules, and regulations pertaining to the 

construction of the Project.
128

Article V - ENGINEERING, CONSTRUCTION, AND INSPECTION DETAILS 

A. Engineering and Construction. 

Section 1. Staking of the Project. 

1.1 The Engineer shall determine the locations and types 

of all unit assemblies to be installed. As a part of the 

release for construction, the Contractor shall receive from 

the Engineer five (5) complete sets of Construction Sheets 

including reference sketches showing the location of all 

assembly units. 

1.2 The Construction Sheets showing the proposed plant 

shall be jointly reviewed in the field by the Contractor and 

the Engineer prior to construction. The Contractor shall at 

that time propose any changes or clarifications he feels 

desirable. These changes, if approved by the Engineer, will 

be made at that time and so recorded on the Construction 

Sheets and initialed by the Engineer and Contractor. 

1.3 No changes in the construction proposed as set forth 

on the Construction Sheets shall be made by the Contractor 

without the prior approval of the Engineer. A representative 

of the Engineer will remain in the immediate vicinity of the 

construction activities at all times and will be available to 

consider and approve any changes proposed by the Contractor, 

if acceptable. The representative of the Engineer will also 

be available to inspect any damage to cable or wire and to 

approve the methods of repair or correction of such damage in 

accordance with the provisions of these Specifications. 

1.4 Due to the necessity of making on-the-spot 

corrections and changes on Construction Sheets, it will not be 

possible for the Engineer to issue revised Construction Sheets 

to the Contractor in all cases. When changes are made, dated, 

and initialed by the Engineer on any set of the Contractor's 

Construction Sheets, it shall be the Contractor's 

responsibility to transfer these changes to all other sets of 

Construction Sheets being used by the Contractor for 

construction purposes. 

Section 2. Construction Sheets and Maps. 

The maps showing the location of the central offices and 

the general routes and locations of all lines in the Project 

are listed separately hereinafter and are part of the Plans 

and Specifications. No deviations from these maps, except for 

minor rerouting and minor changes dictated by field conditions 

and authorized by the Engineer, shall be made. The 
129

Construction Sheets showing types and details of construction 

to be used for various conditions along the lines are also 

listed separately hereinafter and are a part of these 

specifications. 

Section 3. Cable Schematics and Assignment Information. 

3.1 The Engineer will provide the Contractor with five 

(5) copies of cable schematics for each central office area at 

the time the Contractor is furnished Construction Sheets for 

the area. The cable schematics will show the following: 

(a) Cable and wire sizes, gauges, and pair counts of 

copper cables. 

(b) Number of optical fibers. 

(c) Route designations. 

(d) Housing or splice closure numbers. 

(e) Pair counts to be terminated, spliced, or crossconnected at each housing or splice closure. 

(f) Number of optical fibers to be spliced. 

(g) Location of repeater points and electronic terminal 

equipment. 

3.2 At a time agreed to by the Engineer and Contractor 

to coordinate with the Contractor's construction schedule, the 

Engineer shall provide the Contractor with five (5) sets of 

telephone numbers and cable pair assignment data. 

Section 4. Outside Plant Inventory. 

The Contractor shall provide a competent representative to 

work with the Engineer on the ongoing and final inventory and 

inspection of outside plant units. The wire and cable shall 

be inventoried immediately after the placement operation. 

Section 5. Pre-installation Inspection of Cable. 

5.1 The Contractor and Engineer shall jointly inspect a 

representative sample of cable and wire on reels prior to 

installation. Based on the inspection, the Engineer shall 

make a determination if the cable and wire are suitable for 

construction. Unsuitable reels of cable and wire shall be 

replaced by the Contractor. In the case of nonconformance of 

a minor nature not affecting performance of the cable, the 
130

Contractor and Owner may negotiate a basis for the use of 

these nonconforming cables. In such cases, the specific 

characteristic being waived shall be noted in writing. 

5.2 The Engineer shall determine the degree of inspection 

and measurements necessary to make a judgment of cable and 

wire suitability. This judgment should be based on past 

experience, current circumstances, and the results of the 

inspection and any measurements on the cable and wire. The 

following inspection guidelines are suggested: 

a. Make sure that cable and wire are identified 

properly on the reel identification labels. Does 

it contain the proper shield, number of pairs, 

gauge size, number of fibers, etc. Bi-metallic 

shields can be detected by using a magnet. 

b. Note any physical damage to the cable and wire. 

Pay special attention to cables and wires with 

damaged or weakened reels. 

c. End caps should be secured in place on both ends of 

the cable and wire. Also, the reel wrap, when 

present, shall be retained on the reel until the 

cable and wire are ready to be placed. 

d. Compare sequential markings with labels on reels 

and double check footages. Measure sequentials on 

a spot check basis to assure correct tolerances. 

Note quality and clarity of sequentials. 

e. Filled cable and wire shall be carefully checked 

for the presence of filling compound at the ends. 

f. Check for uniform jacket thickness and tightness of 

the jacket. Note any buckling of the jacket which 

would indicate possible problems with the shield. 

g. As the circumstances warrant, make electrical 

and/or optical measurements on a sample lot of 

cable and wire to determine that the appropriate 

RUS specification requirements are met. The 

physical inspection of the cable and past history 

should be used as a guide to determine (a) if any 

electrical or optical measurements are warranted; 

or (b) what degree of electrical or optical 

measurements are warranted. In general, extensive 

measurements of cable and wire are not recommended. 
131

B. INSPECTIONS AND ACCEPTANCE TESTS 

Section 1. General. 

1.1 Except for the items mentioned in paragraph 1.2, the 

inspections and acceptance tests specified herein shall be 

made after the physical completion of the various types of 

outside plant facilities in each exchange area or work sector 

and shall not replace the normal supervision, inspection, and 

tests to be made by the Contractor and the Engineer during the 

progress of the construction work. Unless otherwise 

indicated, all inspection and acceptance tests specified 

herein shall be performed jointly by the Contractor and the 

Engineer under the direct supervision of the Engineer. 

1.2 Buried splice closures shall be individually

inspected during installation for proper encapsulation and 

flash tested when applicable. Cable and wire shield or armor 

continuity tests shall also be conducted on each length of 

cable or wire containing a buried splice immediately after 

installation and prior to backfilling. Tests for leakage, 

continuity, crosses, splits, etc., shall be made on all 

spliced pairs prior to backfilling. 

Section 2. Inspections. 

2.1 The Contractor and the Engineer shall jointly inspect 

splice closures, cable terminals, buried plant housings, 

Network Interface Devices, service entrances, and other 

housings applicable to the plant facilities constructed 

pursuant to the Contract. Except where otherwise stated these 

inspections shall be on a random sampling basis and the 

samples inspected in each instance shall consist of at least 

five percent (5%) of the specified assembly units installed in 

each exchange, but no fewer than ten (10) terminals, readyaccess closures, housings, and Network Interface Device 

installations in each exchange. A written report giving the 

date, location of the plant inspected, and tabulated results 

of the inspections, signed by the Engineer and Contractor 

shall be presented to the Owner after the inspections are 

completed. 
132

2.2 Where aerial copper cable is installed, a joint 

inspection shall be made of the sample terminals (including 

ready-access closures) selected at random throughout the 

exchange by the Engineer. This inspection shall be made to 

ensure that: 

a. All pairs are terminated properly. 

b. Splices are free from reversed, transposed and 

split pairs. 

c. Shields of aerial cables and suspension strands are 

properly bonded and grounded and that the bonding 

harnesses have been properly installed. 

d. Specified pairs have been protected and proper 

protectors used. 

e. Pair splicing in ready-access closures is made in 

accordance with pair assignment data furnished to 

the Contractor by the Engineer. 

f. Specifications for terminal and ready-access 

closure installations have been met in every aspect 

in accordance with RUS Splicing Standard Bulletin 

1753F-401 (PC-2). 

g. Good workmanship in the pole mounted terminal or 

closure installations has been performed. 

2.3 Where aerial fiber cable and self supporting fiber 

optic cable is installed, a joint inspection shall be made of 

the sample splice closures selected at random throughout the 

exchange by the Engineer. This inspection shall be made to 

ensure that: 

a. All optical fibers are terminated properly. 

b. When present, armors of aerial cables and 

suspension strands are properly bonded and grounded 

and that the bonding harnesses have been properly 

installed. 

c. The minimum bending radius of the buffer tubes is 

not exceeded. 

d. Good workmanship in the closure installations has 

been performed. 
133

2.4 Where buried copper cable or wire is installed, a 

joint inspection shall be made of the sample housings and 

splice closures selected at random throughout the exchange by 

the Engineer. This inspection shall be made to ensure that: 

a. Splices are free from reversed, transposed and 

split pairs. 

b. Pair splicing is made in accordance with pair 

assignment data issued to the Contractor by the 

Engineer. 

c. Cable and wire directional markings are as shown in 

the Construction Sheets. 

d. Shields are properly bonded and grounded and that 

the bonding harnesses have been properly installed. 

e. Specifications for cable and wire splicing 

installations have been met in every respect in 

accordance with RUS Splicing Standard Bulletin 

1753F-401(PC-2). 

f. Good workmanship in the housing installations has 

been performed. 

g. Warning, cable route, and buried splice signs, and 

housing letters and numbers are properly installed. 

h. All buried splice closures have been installed 

properly and splices flash tested, when applicable. 

These inspections may be performed during and 

immediately after installation as stated in 

Paragraph 1.2. 

i. All buried service entrances are installed properly 

in housings at premises. 

2.5 Where buried fiber optic cable is installed, a joint 

inspection shall be made of the sample housings and splice 

closures selected at random throughout the exchange by the 

Engineer. This inspection shall be made to ensure that: 

a. All optical fibers are terminated properly. 

b. Armors properly bonded and grounded and that the 

bonding harnesses have been properly installed. 

c. The minimum bending radius of the buffer tubes is 

not exceeded.
134

d. Cable directional markings are as shown in the 

Construction Sheets. 

e. Warning, cable route, and buried splice signs, and 

housing letters and numbers are properly installed. 

f. All buried splice closures have been installed 

properly. These inspections may be performed 

during and immediately after installation as stated 

in Paragraph 1.2. 

g. Good workmanship in the closure installations has 

been performed. 

2.6 Where a cable is installed over which electronic 

carrier systems will operate, an inspection shall be made 

jointly by the Engineer and the Contractor of the entire 

length of cable to ensure that: 

a. All shields and armor are properly bonded and 

grounded and that the bonding harnesses have been 

properly installed. 

b. The specified gauge and size of the copper cable 

and the number of optical fibers are installed in 

accordance with the Plans and Specifications. 

c. No loading coils have been installed on the cable 

pairs over which the carrier equipment will 

operate. 

d. The housings to which the carrier repeaters are to 

be connected are spaced at the proper intervals. 

Any minor deviations shall be noted and corrected 

on the cable schematics. 

e. Cable directional markings are as shown on the 

Construction Sheets at each housing where a cable 

carrier repeater is to be installed. 

2.7 Where Network Interface Devices are included under 

this Contract, a joint inspection shall be made of the sample 

installations selected at random throughout the exchange by 

the Engineer. The inspection shall be made to ensure that: 

a. All wire runs have required clearances. 

b. Aerial service wire spans have proper sags. 
135

c. Correct wire fasteners have been used and at 

required intervals. 

d. All wires on and in buildings have been installed 

in a neat and inconspicuous manner. 

e. The Network Interface Device (including its ground) 

has been properly located, installed, and wired and 

is of the proper type. 

f. The proper type and gauge of ground wire is used 

and properly routed and specified bonding is 

implemented. 

g. A ground rod of proper type is installed, if 

required. 

h. The buried service guard has been properly 

installed. 

i. Good workmanship has been used throughout the 

installation, and any damage to the premises or 

grounds has been adequately repaired. 

Section 3. Acceptance Tests and Measurements. 

All acceptance tests and measurements to be performed on 

the various portions of the outside plant construction 

pursuant to this Contract, and the party(s) who will 

participate in conducting the acceptance tests and 

measurements, shall be as checked in the Schedule of 

Acceptance Tests and Measurements Table listed below. All 

tests and measurements shall be conducted by the Engineer in 

accordance with RUS Bulletin 1753F-201(PC-4), “RUS Standard 

for Acceptance Tests and Measurements of Telecommunications 

Plant." A written report including the tabulated results of 

the acceptance tests and measurements on forms similar to 

those included in RUS Bulletin 1753F-201(PC-4), “RUS Standard 

for Acceptance Tests and Measurements of Telecommunications 

Plant" shall be signed by the Engineer and the Contractor and 

furnished to the Owner. Where Contractor participation is 

specified, compensation shall be included in the appropriate 

cable unit. 
136

Schedule of Acceptance Tests and Measurements

 Test or Measurement Participants 

Description of Test or 

Measurement 

Subscriber 

Loop Plant 

Trunk 

Plant Owner Engineer Contractor 

Dist. 

Pairs 

Feeder 

Pairs 

 

Copper Shield or 

Shield/Armor Continuity 

X X X P P 

Conductor Continuity X* X 7X P P 

Conductor Insulation 

Resistance 

X* X X P P 

DC Loop Resistance N/A P P 

DC Loop Resistance 

Unbalance 

 N/A P P 

Loop Measurements (Loop 

Checking) 

 N/A 

One-Person Open Circuit 

Measurement 

 N/A P P 

Cable Insertion Loss at 

Carrier Frequencies N/A P P 

Fiber Armor Continuity 

X X X P P 

Fiber Optic Splice Loss – 

Field X X X P P 

Fiber Optic Splice Loss – 

C.O. X X X P P 

End-to-End Attenuation 

X X X P P 

End-to-End Fiber Signature 

X X X P P 

Signal-to-C Notched 

Noise(S/CNN) 

Signal-to-Intermodulation 

Distortion(S/IMD) 

Envelope Delay 

Distortion(EDD) 

Amplitude Jitter(AJ) 

Phase Jitter (PJ) 

Impulse Noise 

Shield or Armor Ground 

Resistance X X X P P 
137

Schedule of Acceptance Tests and Measurements

(continued) 

 Test or Measurement Participants 

Description of Test or 

Measurement 

 

Owner Engineer Contractor 

CO and Remote Switching 

Terminal (RST) Ground 

Measurement 

 P P 

Electronic Equipment 

Ground Resistance 

 P P 

Fiber Splice loss tests to be performed at: __1310nm __1550nm 

(Engineer to check one or both wavelengths above) 

 

Engineer to check  optional tests to be made. 

X - These are standard tests and measurements required on 

facilities as designated by the Engineer, constructed or 

installed under this Contract. 

NA - Not Applicable. 

* - These tests will not be required on distribution pairs 

that are not cross-connected to feeder pairs at time of 

acceptance testing. 

P - Indicates participation in conducting acceptance tests 

and measurements. 
138

Article VI - REMEDIES 

Section 1. Completion of Contractor's Default. 

If default shall be made by the Contractor or by any 

subcontractor in the performance of any of the terms of this 

Contract, the Owner, without in any manner limiting its legal 

and equitable remedies in the circumstances, may serve upon 

the Contractor and the surety or sureties upon the 

Contractor's Bond or Bonds a written notice requiring the 

Contractor to cause such default to be corrected forthwith. 

Unless within twenty (20) days after the service of such 

notice upon the Contractor such default shall be corrected or 

arrangements for the correction thereof, satisfactory to both 

the Owner and the Administrator, shall be made by the 

Contractor or its surety or sureties, the Owner may take over 

the construction of the Project and prosecute the same to 

completion by contract or otherwise for the account and at the 

expense of the Contractor, and the Contractor and its surety 

or sureties shall be liable to the Owner for any cost or 

expense in excess of the contract price occasioned thereby. 

In such event the Owner may take possession of and utilize, in 

completing the construction of the Project, any materials, 

tools, supplies, equipment, appliances, and plant belonging to 

the Contractor or any of its subcontractors, which may be 

situated at the site of the Project. The Owner in such 

contingency may exercise any rights, claims or demands which 

the Contractor may have against third persons in connection 

with this Contract and for such purpose the Contractor does 

hereby assign, transfer, and set over unto the Owner all 

rights, claims, and demands. 

Section 2. Liquidated Damages. 

The time of the Completion of the Construction of the 

Project is of the essence of this Contract. Should the 

Contractor neglect, refuse or fail to complete the 

construction within the time herein agreed upon, after giving 

effect to extensions of time, if any, herein provided, then in 

that event and in view of the difficulty of estimating with 

exactness damages caused by such delay, the Owner shall have 

the right to deduct from and retain out of such moneys which 

may be then due, or which may become due and payable to the 

Contractor the sum of _________________________________dollars 

($__________________) per day for each and every day that such 

construction is delayed in its completion beyond the specified 

time, as liquidated damages and not as a penalty; if the 

amount due and to become due from the Owner to the Contractor
139

is insufficient to pay in full any such liquidated damages, 

the Contractor shall pay to the Owner the amount necessary to 

effect such payment in full: Provided, however, that the 

Owner shall promptly notify the Contractor in writing of the 

manner in which the amount retained, deducted, or claimed as 

liquidated damages was computed. 

Section 3. Cumulative Remedies. 

Every right or remedy herein conferred upon or reserved to 

the Owner or the Government or the Administrator shall be 

cumulative, shall be in addition to every right and remedy now 

or hereafter existing at law or in equity or by statute and 

the pursuit of any right or remedy shall not be construed as 

an election: Provided, however, that the provisions of 

Section 2 of this Article VI shall be the exclusive measure of 

damages for failure by the Contractor to complete the 

construction of the Project within the time therein agreed 

upon. 

Article VII - MISCELLANEOUS 

Section 1. Definitions. 

(a) The term "Administrator" shall mean the Administrator 

of the Rural Utilities Service of the United States of America 

and his duly authorized representatives or any other person in 

whom or authority in which may be vested the duties and 

functions which the Administrator is now authorized by law to 

perform. 

(b) The term "Engineer" shall mean the engineer employed 

by the Owner to provide engineering services for the Project, 

and said Engineer's duly authorized assistants and 

representatives. 

(c) The term "Supervisor" shall mean the person, if any, 

appointed by the Administrator as the representative of the 

Government under the provisions of the Loan Contract providing 

for such appointment in special cases. The term is limited to 

such special representative of the Government, if any, who is 

responsible exclusively to the Administrator and does not 

refer to the manager or any other person employed by the Owner 

and responsible to it. Every right or remedy conferred upon 

or reserved to the Owner hereunder may be exercised by the 

Supervisor, if any. 
140

(d) The term "Contractor's Proposal" shall mean the 

proposal of the Contractor including all accompanying 

documents as therein referred to, a copy of which is attached 

to and made a part hereof, and upon which the award of the 

Contract was made. 

(e) The term "Project" shall mean the rural telephone 

system, or portion thereof, described in the Plans and 

Specifications, Construction Sheets, and Maps. 

(f) The term "Section" shall mean a central office area 

of the Project. 

(g) The term "Completion of Construction" shall mean full 

performance by the Contractor of the Contractor's obligations 

under the Contract and all amendments and revisions thereof 

except the Contractor's obligations in respect of (i) Releases 

of Liens and Certificate of Contractor under Article III, 

Section 2, hereof; (ii) the Inventory referred to in Article 

III, Section 1, hereof; and (iii) other final documents. The 

term "Completion of the Project" or "Completion of a Section" 

shall mean full performance by the Contractor of the 

Contractor's obligations under the Contract and all amendments 

and revisions thereof. The Certificate of Completion, signed 

by the Engineer and approved in writing by the Owner and the 

Administrator, shall be the sole and conclusive evidence as to 

the date of Completion of Construction and as to the fact of 

Completion of the Project or Section. 

(h) The term "Cleanup" shall mean all work necessary to 

enable the Assembly Units called for on the Construction 

Sheets to meet specifications as built and to restore the 

terrain to an acceptable condition. 

(i) The term "Work Sector" shall mean a localized portion 

of the project for purposes of specifying sequence of 

construction and shall be shown on the maps. 

(j) The term "Construction Corridor" shall mean a minimum 

width of 1 rod (5.0 meters) along the designated route for 

buried cable and wire placement, which permits passage and 

operation of the construction equipment. Construction 

Corridors that equal or exceed the minimum width will not be 

designated on the Construction Sheets. 

(k) The term "Reduced Construction Corridor" shall mean 

widths less than the standard "Construction Corridor". The 

approximate width applicable to "Reduced Construction 

Corridor" shall be shown on the Construction Sheets. 
141

(l) The term "Restricted Construction Corridor" shall 

mean a "Construction Corridor" or "Reduced Construction 

Corridor" where the location within the corridor of cable to 

be placed is specified due to the presence of existing 

telecommunications plant or the facilities of other utilities, 

right-of-way restrictions or other factors. The nature of the 

restriction and the approximate location of the cable 

placement within the "Restricted Corridor" shall be shown on 

the Construction Sheets. 

(m) The term "Unobtained Construction Corridor" shall 

mean a "Construction Corridor" where the right-of-way has not 

been obtained. Unobtained Construction Corridors shall be 

shown on the Construction Sheets. 

(n) The term "Construction Sheets" shall mean staking 

sheets, strip maps or other sheets provided by the Engineer 

and designated as work sheets for construction purposes. 

(o) The term "Cable Placement Operation" shall mean a 

construction crew whose sole responsibility is the 

installation of telecommunications cable which requires an 

inspector present during the activity. Other activities not 

requiring an inspector, such as boring without the 

installation of a cable, pedestal installation, asphalt 

repairs, clean up, and splicing shall not be considered cable 

placement operations. 

(p) The term "Eligible Country" shall mean any country 

that applies with respect to the United States an agreement 

insuring reciprocal access for United States products and 

services and United States suppliers to the markets of that 

country, as determined by the United States Trade 

Representative. 

Section 2. Materials and Supplies. 

In the performance of this Contract there shall be used 

only such unmanufactured articles, materials, and supplies as 

have been mined or produced in the United States or an 

eligible country, and only such manufactured articles, 

materials, and supplies as have been manufactured in the 

United States or an eligible country, substantially all from 

articles, materials, or supplies mined, produced, or 

manufactured, as the case may be, in the United States or an 

eligible country; Provided, that articles, materials, or 

supplies not produced or manufactured in the United States, or 

an eligible country, may be used in the event and to the 

extent that the Administrator shall expressly in writing 

authorize such use as pursuant to the provisions of the Rural 
142

Electrification Act of 1938, being Title IV of Public 

Resolution No. 122, 75th Congress, approved June 21, 1938. 

The Contractor agrees to submit to the Owner such certificate 

or certificates (RUS Form 213, attached hereto), signed by the 

Contractor and all subcontractors, with respect to compliance 

with the foregoing provisions as the Administrator from time 

to time may require. 

Section 3. Nonassignment of Contract. 

The Contractor shall perform directly, and without 

subcontracting, not less than fifty percent (50%) of the labor 

required for the construction of the Project, to be calculated 

on the basis of that portion of the contract price 

constituting total labor costs of the Project. The Contractor 

shall not assign this Contract or any interest in any funds 

that may be due or become due hereunder or enter into any 

Contract with any person, firm, or corporation for the 

performance of the Contractor's obligations hereunder or any 

part thereof, without the approval in writing of the Owner and 

the Administrator and of the surety or sureties on any bond 

furnished by the Contractor for the faithful performance of 

the Contractor's obligations hereunder. If the Contractor, 

with the consent of the Owner, the Administrator, and any 

surety or sureties on the Contractor's Bond or Bonds, shall 

enter into a subcontract (RUS Form 282, attached hereto) with 

any subcontractor for the performance of any part of this 

Contract, the Contractor shall be as fully responsible to the 

Owner and the Government for the acts and fully responsible to 

the Owner and the Government for the acts and omissions of 

such subcontractor and of persons employed by such 

subcontractor as the Contractor would be for its own acts and 

omissions and those of persons directly employed by it. 

Section 4. Equal Opportunity Clause. 

During the performance of this contract, the Contractor 

agrees as follows: 

(a) The Contractor will not discriminate against any 

employee or applicant for employment because of race, color, 

religion, sex, or national origin. The Contractor will take 

affirmative action to ensure that applicants are employed, and 

that employees are treated during employment without regard to 

their race, color, religion, sex, or national origin. Such 

action shall include, but not be limited to, the following: 

Employment, upgrading, demotion or transfer; recruitment or 

recruitment advertising; layoff or termination; rates of pay 

or other forms of compensation; and selection for training, 

including apprenticeship. The Contractor agrees to post in 
143

conspicuous places, available to employees and applicants for 

employment, notices to be provided setting forth the 

provisions of this nondiscrimination clause. 

(b) The Contractor will, in all solicitations or 

advertisements for employees placed by or on behalf of the 

Contractor, state that all qualified applicants will receive 

consideration for employment without regard to race, color, 

religion, sex, or national origin. 

(c) The Contractor will send to each labor union or 

representative of workers with which it has a collective 

bargaining agreement or other contract or understanding, a 

notice to be provided advising the said labor union workers' 

representative of the Contractor's commitments under this 

section, and shall post copies of the notice in conspicuous 

places available to employees and applicants for employment. 

(d) The Contractor will comply with all provisions of 

Executive Order 11246 of September 24, 1965, and by rules, 

regulations, and relevant orders of the Secretary of Labor. 

(e) The Contractor will furnish all information and 

reports required by Executive Order 11246 of September 24, 

1965, and by rules, regulations, and orders of the Secretary 

of Labor, or pursuant thereto, and will permit access to its 

books, records, and accounts by the administering agency and 

the Secretary of Labor for purposes of investigation to 

ascertain compliance with such rules, regulations, and orders. 

(f) In the event of the Contractor's noncompliance with 

the nondiscrimination clauses of this contract or with any of 

the said rules, regulations, or orders, this contract may be 

canceled, terminated, or suspended in whole or in part and the 

Contractor may be declared ineligible for further Government 

contracts or federally assisted construction contracts in 

accordance with procedures authorized in Executive Order 11246 

of September 24, 1965, and such other sanctions may be imposed 

and remedies invoked as provided in Executive Order 11246 of 

September 24, 1965, or by rule, regulation or order of the 

Secretary of Labor, or as otherwise provided by law. 

(g) The Contractor will include the portion of the 

sentence immediately preceding paragraph (a) and the 

provisions of paragraphs (a) through (g) in every subcontract 

or purchase order unless exempted by rules, regulations, or 

orders of the Secretary of Labor issued pursuant to Section 

204 of Executive Order 11246 of September 24, 1965, so that 

such provisions will be binding upon each subcontractor or 

vendor. The Contractor will take such action with respect to 
144

any subcontract or purchase order as the administering agency 

may direct as a means of enforcing such provisions, including 

sanctions for noncompliance: Provided, however, that in the 

event a Contractor becomes involved in, or is threatened with, 

litigation with a subcontractor or vendor as a result of such 

direction by the administering agency, the Contractor may 

request the United States of America to enter into such 

litigation to protect the interest of the United States. 

Section 5. Anti-Kickback Acts. 

The Contractor acknowledges that it is familiar with the 

Rural Electrification Act of 1936, as amended, the AntiKickback Acts, as amended (40 USC 276c; 41 USC 51 et seq.), 

and regulations issued pursuant thereto, and 18 USC Sections 

287, 874, 1001, as amended. The Contractor understands that 

the obligations of the parties hereunder are subject to the 

applicable regulations and orders of the Governmental agencies 

having jurisdiction in the premises. 

Section 6. Franchises and Rights-of-Way. 

The Contractor shall be under no obligation to obtain or 

assist in obtaining: Any franchises, authorizations, permits, 

or approvals required to be obtained by the Owner from 

Federal, State, County, Municipal, or other authorities; any 

rights-of-way over private lands; or any agreements between 

the Owner and third parties with respect to the joint use of 

poles, crossings, or any other matter incident to the 

construction and operation of the Project. 

Section 7. Extension to Successors and Assigns. 

Each and all of the covenants and agreements herein 

contained shall extend to and be binding upon the successors 

and assigns of the parties hereto. 
145

Section 8. Approval of This Contract by the Administrator

This Contract shall become effective only upon the approval in 

writing of the Administrator: Provided, however, that no 

obligations shall arise hereinunder unless such approval is 

given within ninety (90) days from the date of execution by 

the parties as indicated herein. 

Where Contractor is a Corporation, this section to be used. 

IN WITNESS WHEREOF, the parties hereto have caused this 

Contract to be signed in their respective corporate names by 

their Presidents and their corporate seals to be hereunto 

affixed and attested by their Secretaries, all as of the day 

and year first above written. 

Attest: 

 __________________________

 (Owner) 

_____________________ By________________________

 (Secretary) (President) 

Attest: __________________________

 (Contractor) 

 ___________ __________________________ (Secretary) (President) 

Where Contractor is an individual or a partnership this 

section to be used. If partnership, all parties shall sign. 

IN WITNESS WHEREOF, the Owner has caused this Contract to be 

signed in its corporate name by its President and its 

corporate seal to be hereunto affixed and attested by its 

Secretary, and the Contractor(s) has (have) hereunto set his 

(their) hand(s), all as of the day and year first above 

written. 

Attest: 

 __________________________

 (Owner) 

_____________________ By________________________

 (Secretary) (President) 

 __________________________

 (Contractor) 

 __________________________

 (Owner or Partners) 
146

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147 RUS FORM 231 (Rev. 02-00)

U.S. Department of Agriculture 

Rural Utilities Service 

CERTIFICATE OF CONTRACTOR 

____________________________________________________________________ certifies that he or she is the 

____________________________________________ of ____________________________________________ , TITLE OF OFFICE NAME OF CONTRACTOR

the Contractor, in a Construction Contract No. _____________________________________________________ , 

dated ___________________________________________ , 20______ , entered into between the Contractor and 

_______________________________________________________________ , the Owner, for the construction of NAME OF BORROWER

a Project, which bears the Rural Utilities Service Project Designation ___________________________________ 

and that he or she is authorized to and does make this certification on behalf of said Contractor in order to induce 

the Owner to make payment to the Contractor, in accordance with the provisions of said Construction Contract. 

Undersigned further says that all persons who have furnished labor in connection with said construction have been 

paid in full, that the names of manufacturers, material suppliers, and subcontractors that furnished material or 

services or both in connection with such construction and the kind or kinds of material or services or both so 

furnished are: 

 NAME KIND OF MATERIAL OR SERVICES 

___________________________________________ ____________________________________________ 

___________________________________________ ____________________________________________ 

___________________________________________ ____________________________________________ 

___________________________________________ ____________________________________________ 

___________________________________________ ____________________________________________ 

___________________________________________ ____________________________________________ 

___________________________________________ ____________________________________________ 

___________________________________________ ____________________________________________ 

___________________________________________ ____________________________________________ 

___________________________________________ ____________________________________________ 

and that the releases of liens executed by all such manufacturers, material suppliers, and subcontractors have been 

furnished the Owner. 

_____________________________________ __________________________________________________ 

Date Signature
148

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control number. The valid OMB control number for this information collection is 0572–0107. The time required to complete this information collection is estimated to average .05 hour per 

response, including the time for reviewing instructions, searching existing data sources, gathering and maintaining the data needed, and completing and reviewing the collection of information

149 RUS FORM 224 (Rev. 02-00)

U.S. Department of Agriculture 

Rural Utilities Service 

WAIVER AND RELEASE OF LIEN 

WHEREAS the undersigned, ____________________________________________________________________ 

NAME OF MANUFACTURER, MATERIAL SUPPLIER, OR SUBCONTRACTOR

has furnished to __________________________________________________________________ the following: NAME OF CONTRACTOR 

_________________________________________________________________________________________ for KIND OF MATERIAL AND SERVICES FURNISHED 

use in the construction of a project belonging to _____________________________________________________ NAME OF BORROWER

and designated by the Rural Utilities Service as _____________________________________________________ RUS DESIGNATION

NOW, THEREFORE, the undersigned, _____________________________________________________________ 

NAME OF MANUFACTURER, MATERIAL SUPPLIER, OR SUBCONTRACTOR

for and in consideration of $________________________________________ and other good and valuable 

consideration, the receipt whereof is hereby acknowledged, do(es) hereby waive and release any and all liens, or 

right to or claim of lien, on the above described project and premises, under any law, common or statutory, on 

account of labor or materials, or both, heretofore or hereafter furnished by the undersigned to or for the account of 

said __________________________________________________________________________ for said project. NAME OF CONTRACTOR

Given under my(our) hand(s) and seal(s) this __________________ day of ____________________, 20_______. 

__________________________________________________ 

Name of Manufacturer, Material Supplier, or Subcontractor 

By __________________________________________________ 

President, Vice President, Partner or Owner 

If signed by other than one of foregoing, accompanied by 

power of attorney signed by one of the foregoing in favor of 

the signer. (Use applicable designation.) 
150

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control number. The valid OMB control number for this information collection is 0572–0107. The time required to complete this information collection is estimated to average .05 hour per 

response, including the time for reviewing instructions, searching existing data sources, gathering and maintaining the data needed, and completing and reviewing the collection of information.

 151 RUS FORM 168b (Rev. 02-00)

U.S. Department of Agriculture 

Rural Utilities Service 

CONTRACTOR'S BOND 

1. Know all men that we, __________________________________________________________________ , as 

Principal, and __________________________________________________________________ , as Surety, 

are held and firmly bound unto ______________________________________________________________ 

(hereinafter called the "Owner") and unto the United States of America (hereinafter called the "Government") 

and unto all persons, firms and corporations who or which may furnish materials for or perform labor on a 

Rural Utilities Service project known as _______________________________________________________ 

and to their successors and assigns, in the penal sum of ___________________________________________

dollars ($_____________________________), as hereinafter set forth and for the payment of which sum well 

and truly to be made we bind ourselves, our executors, administrators, successors and assigns jointly and 

severally by these presents. Said project is described in a certain construction contract (hereinafter called the 

"Construction Contract") between the Owner and the Principal, dated _______________________, 20_____, pursuant and subject to a certain loan contract (hereinafter called the "Loan Contract") between the 

Owner and the Government, acting through the Administrator of the Rural Utilities Service (hereinafter called 

the "Administrator"). 

2. The condition of this obligation is such that if the Principal shall well and truly perform and fulfill all the 

undertakings, covenants, terms, conditions and agreements of the Construction Contract and any amendments 

thereto, whether such amendments are for additions, decreases, or changes in materials, their quantity, kind or 

price, labor costs, mileage, routing or any other purpose whatsoever, and whether such amendments are made 

with or without notice to the Surety, and shall fully indemnify and save harmless the Owner and the 

Government from all costs and damages which they, or either of them, shall suffer or incur by reason of any 

failure so to do, and shall fully reimburse and repay the Owner and the Government for all outlay and expense 

which they, or either of them shall incur in making good any such failure of performance on the part of the 

Principal, and shall promptly make payment to all persons working on or supplying labor or materials for use 

in the construction of the project contemplated in the Construction Contract and any amendments thereto, in 

respect of such labor or materials furnished and used therein, to the full extent thereof, and in respect of such 

labor or materials furnished but not so used, to the extent of the quantities estimated in the Construction 

Contract and any amendments thereto to be required for the construction of the project, and shall well and 

truly reimburse the Owner and the Government, as their respective interests may appear, for any excess in cost 

of construction of said project over the cost of such construction as provided in the Construction Contract and 

any amendments thereto, occasioned by any default of the Principal under the Construction Contract and any 

amendments thereto, then this obligation shall be null and void, but otherwise shall remain in full force and 

effect. 

3. It is expressly agreed that this bond shall be deemed amended automatically and immediately, without formal 

and separate amendments hereto, upon any amendment to the Construction Contract, so as to bind the 

Principal and the Surety to the full and faithful performance of the Construction Contract as so amended, 

provided only that the total amount of all increases in the cost of construction shall not exceed 20 percent of the 

amount of the maximum price set forth in the Construction Contract. The term "Amendment," wherever used in 

this bond, and whether referring to this bond, the Construction Contract or the Loan Contract shall include any 

alteration, addition, extension, modification, amendment, rescission, waiver, release or annulment, of any 

character whatsoever. 

4. It is expressly agreed that any amendment which may be made by agreement or otherwise between the 

Principal and the Owner in the terms, provisions, covenants and conditions of the Construction Contract, or in the terms, provisions, covenants and conditions of the Loan Contract (including, without limitation, the 
152 RUS FORM 168b (Rev. 02-00)

granting by the Administrator to the Owner of any extension of time for the performance of the obligations of 

the Owner under the Loan Contract or the granting by the Administrator or the Owner to the Principal of any 

extension of time for the performance of the obligations of the Principal under the Construction Contract, or 

the failure or refusal of the Administrator or the Owner to take any action, proceeding or step to enforce any 

remedy or exercise any right under either the Construction Contract or the Loan Contract, or the taking of any 

action, proceeding or step by the Administrator or the Owner, acting in good faith upon the belief that the same 

is permitted by the provisions of the Construction Contract or the Loan Contract) shall not in any way release 

the Principal and the Surety, or either of them or their respective executors, administrators, successors or 

assigns, from liability hereunder. The Surety hereby acknowledges receipt of notice of any amendment, 

indulgence or forbearance, made, granted or permitted. 

5. This bond is made for the benefit of all persons, firms and corporations who or which may furnish any 

materials or perform any labor for or on account of the construction to be performed under the Construction 

Contract and any amendments thereto, and they, and each of them, are hereby made obligees hereunder with 

the same force and effect as if their names were written herein as such, and they and each of them may sue 

hereon. 

In witness whereof, the undersigned have caused this instrument to be executed and their respective corporate seals 

to be affixed and attested by their duly authorized representatives this 

_________________________________ day of ________________________________ , 20______ . 

 (Seal) 

Principle 

ATTEST: By 

 

 Secretary 

 (Seal) 

 Surety 

ATTEST: By 

 

 Secretary 

 

 Address of Surety's Home Office 

 By 

 Resident Agent of Surety 

 

Signatures: The Contractor's Bond must be signed with the full name of the Contractor. If the Contractor is a partnership the 

Contractor's Bond must be signed in the partnership name by a partner. If the Contractor is a corporation the Contractor's 

Bond must be signed in the corporate name by a duly authorized officer and the corporate seal affixed and attested by the 

Secretary of the corporation. A typewritten copy of all such names and signatures shall be appended. 
153 RUS FORM 168b (Rev. 02-00)

Power of Attorney: The Contractor's Bond must be accompanied by a power of attorney authorizing execution on behalf of the 

Surety and, in jurisdictions so requiring should be countersigned by a duly authorized resident agent of the Surety. 
154 

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According to the Paperwork Reduction Act of 1995, an agency may not conduct or sponsor, and a person is not required to respond to, a collection of information unless it displays a valid OMB 

control number. The valid OMB control number for this information collection is 0572–0107. The time required to complete this information collection is estimated to average .05 hour per 

response, including the time for reviewing instructions, searching existing data sources, gathering and maintaining the data needed, and completing and reviewing the collection of information.

* Small Business Administration

 155 RUS FORM 168c (Rev. 02-00)

U.S. Department of Agriculture 

Rural Utilities Service 

CONTRACTOR'S BOND 

(Use only when contract is less than $1 million and Surety has accepted an SBA* Guarantee) 

1. Know all men that we, __________________________________________________________________ , as 

Principal, and __________________________________________________________________ , as Surety, 

are held and firmly bound unto ______________________________________________________________ 

(hereinafter called the "Owner") and unto the United States of America (hereinafter called the "Government") 

and unto all persons, firms and corporations who or which may furnish materials for or perform labor 

on a 

Rural Utilities Service project known as _______________________________________________________ 

and to their successors and assigns, in the penal sum of ___________________________________________ 

dollars ($_____________________________), as hereinafter set forth and for the payment of which sum well 

and truly to be made we bind ourselves, our executors, administrators, successors and assigns jointly and 

severally by these presents. Said project is described in a certain construction contract (hereinafter called the 

"Construction Contract") between the Owner and the Principal, dated _______________________, 20_____, 

pursuant and subject to a certain loan contract (hereinafter called the "Loan Contract") between the Owner 

and the Government, acting through the Administrator of the Rural Utilities Service (hereinafter called the 

"Administrator"). 

2. The condition of this obligation is such that if the Principal shall well and truly perform and fulfill all the 

undertakings, covenants, terms, conditions and agreements of the Construction Contract and any amendments 

thereto, whether such amendments are for additions, decreases, or changes in materials, their quantity, kind or 

price, labor costs, mileage, routing or any other purpose whatsoever, and whether such amendments are made 

with or without notice to the Surety, and shall fully indemnify and save harmless the Owner and the 

Government from all costs and damages which they, or either of them, shall suffer or incur by reason of any 

failure so to do, and shall fully reimburse and repay the Owner and the Government for all outlay and expense 

which they, or either of them shall incur in making good any such failure of performance on the part of the 

Principal, and shall promptly make payment to all persons working on or supplying labor or materials for use 

in the construction of the project contemplated in the Construction Contract and any amendments thereto, in 

respect of such labor or materials furnished and used therein, to the full extent thereof, and in respect of such 

labor or materials furnished but not so used, to the extent of the quantities estimated in the Construction 

Contract and any amendments thereto to be required for the construction of the project, and shall well and 

truly reimburse the Owner and the Government, as their respective interests may appear, for any excess in cost 

of construction of said project over the cost of such construction as provided in the Construction Contract and 

any amendments thereto, occasioned by any default of the Principal under the Construction Contract and any 

amendments thereto, then this obligation shall be null and void, but otherwise shall remain in full force and 

effect. 

3. Provided, that the liability of the Principal and Surety hereunder to the Government shall be subject to the 

same limitations and defenses as may be available to them against a claim hereunder by the Owner, provided, 

however, that the Government may, at its option, perform any obligations of the Owner required by the 

contract. 

4 It is expressly agreed that this bond shall be deemed amended automatically and immediately, without formal 

and separate amendments hereto, upon any amendment to the Construction Contract, so as to bind the 
RUS FORM 168c (Rev. 02-00) 156

Principal and the Surety to the full and faithful performance of the Construction Contract as so amended, 

provided only that the total amount of all increases in the cost of construction shall not exceed 20 percent of the 

amount of the maximum price set forth in the Construction Contract. The term "Amendment," wherever used in 

this bond, and whether referring to this bond, the Construction Contract or the Loan Contract shall include any 

alteration, addition, extension, modification, amendment, rescission, waiver, release or annulment, of any 

character whatsoever. 

5. It is expressly agreed that any amendment which may be made by agreement or otherwise between the 

Principal and the Owner in the terms, provisions, covenants and conditions of the Construction Contract, or in 

the terms, provisions, covenants and conditions of the Loan Contract (including, without limitation, the 

granting by the Administrator to the Owner of any extension of time for the performance of the obligations of 

the Owner under the Loan Contract or the granting by the Administrator or the Owner to the Principal of any 

extension of time for the performance of the obligations of the Principal under the Construction Contract, or 

the failure or refusal of the Administrator or the Owner to take any action, proceeding or step to enforce any 

remedy or exercise any right under either the Construction Contract or the Loan Contract, or the taking of any 

action, proceeding or step by the Administrator or the Owner, acting in good faith upon the belief that the same 

is permitted by the provisions of the Construction Contract or the Loan Contract) shall not in any way release 

the Principal and the Surety, or either of them or their respective executors, administrators, successors or 

assigns, from liability hereunder. The Surety hereby acknowledges receipt of notice of any amendment, 

indulgence or forbearance, made, granted or permitted. 

6. This bond is made for the benefit of all persons, firms and corporations who or which may furnish any 

materials or perform any labor for or on account of the construction to be performed under the Construction 

Contract and any amendments thereto, and they, and each of them, are hereby made obligees hereunder with 

the same force and effect as if their names were written herein as such, and they and each of them may sue 

hereon. 

7. Provided, further, that no suit or action shall be commenced hereunder by any person, firm, or corporation 

who performed work or labor or who furnished materials for the project: (a) Unless such person, firm, or 

corporation, other one having a direct contract with the Principal (or with the Government in the event the 

Government is performing the obligation of the Owner), shall have given detailed written notice of claim to: 

The Principal, and the Owner, within ninety (90) days after such person, firm, or corporation did or performed 

the last of the work or labor, or furnished the last of the materials for which such claim is made. (b) After the 

expiration of one (1) year following the date on which Principal ceased work on said contract, it being 

understood, however, that if any limitation embodied in the Bond is prohibited by any law controlling the 

construction hereof, such limitation shall be deemed to be amended so as to equal to the minimum period of 

limitation permitted by such law. 

In witness whereof, the undersigned have caused this instrument to be executed and their respective corporate seals 

to be affixed and attested by their duly authorized representatives this 

_________________________________ day of ________________________________ , 20______ . 

 (Seal) 

Principle 

ATTEST: By 
RUS FORM 168c (Rev. 02-00) 157

 Secretary 

 (Seal) 

 Surety 

ATTEST: By 

 Secretary 

 

 Address of Surety's Home Office 

 By 

 Resident Agent of Surety 

 

Signatures: The Contractor's Bond must be signed with the full name of the Contractor. If the Contractor is a partnership the 

Contractor's Bond must be signed in the partnership name by a partner. If the Contractor is a corporation the Contractor's 

Bond must be signed in the corporate name by a duly authorized officer and the corporate seal affixed and attested by the 

Secretary of the corporation. A typewritten copy of all such names and signatures shall be appended. 

Power of Attorney: The Contractor's Bond must be accompanied by a power of attorney authorizing execution on behalf of the 

Surety and, in jurisdictions so requiring should be countersigned by a duly authorized resident agent of the Surety. 
158

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159 RUS FORM 282 Rev. 11-53 

U.S. Department of Agriculture 

Rural Utilities Service 

SUBCONTRACT 

(Under Construction or Equipment Contracts) 

AGREEMENT made this day of , by and 

Between a (partnership, individual, 

Corporation), (hereinafter called the “Contractor”) and

of

(hereinafter called the “Subcontractor”). 

WHEREAS, the Contractor has entered into a Construction Contract or Equipment Contract (hereinafter 

called the “Contract”) dated , , with 

;and 

WHEREAS, the Contractor and the Subcontractor desire that all of the Contractor's obligations with 

regard to certain work under the Contract be performed by the Subcontractor; 

NOW, THEREFORE, in consideration of the mutual undertakings herein contained, the parties hereto 

agree as follows: 

SECTION 1. The Subcontractor agrees to perform the Contractor's obligations under the Contract which, 

by this reference, is made a part hereof as though set out in its entirety with respect to: 

SECTION 2. The Subcontractor agrees that all of the work to be done hereunder shall be carried out as 

directed by the Engineer of the Owner in full accordance with the terms and provisions of the Contract. 
160 RUS FORM 282 Rev. 11-53 

SECTION 3. The Subcontractor shall maintain all insurance required under the Contract and shall hold 

the Contractor and the Owner harmless from any and all claims for injuries to persons or for damage to property 

happening by reason of any negligence, default or misconduct on the part of the Subcontractor, his agents or 

employees during the performance of this Agreement. 

SECTION 4. The Contractor agrees to pay the Subcontractor for the performance of the work 

Hereunder the sum of

, $ Payable as follows:

SECTION 5. The work to be performed hereunder shall be completed to the satisfaction of the Contractor 

and the Owner within the time specified in the Contract. In the event additions to or alterations in the work to be 

performed hereunder are made necessary by changes in the Contract, the Subcontractor agrees to perform such 

additional or alternative work in the same manner and under the same terms and conditions as the Contractor 

would be required so to perform. 

SECTION 6. Upon approval of this Agreement by the Owner, the surety company, if any (hereinafter called 

the “Surety”) furnishing the Performance Bond required by the Contract, and the Administrator of the Rural 

Utilities Service (hereinafter called the “Administrator”), the Subcontractor shall, if required by Contractor, 

furnish to the Contractor a Performance Bond in form and substance satisfactory to the Contractor. 
161 RUS FORM 282 Rev. 11-53 

SECTION 7. This agreement shall not become effective until consented to and approved in writing by the Owner, 

the Surety if any, and the Administrator; provided, however, that consent to and approval hereof by the Owner and 

the Administrator shall in no way operate to release the Contractor from the Contractor's duties and obligations to 

the Owner under the Contract or operate to release the Surety if any, from its obligations under the Performance 

Bond required by and relating to the Contract. 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement the day and year first above 

written. 

CONTRACTOR SUBCONTRACTOR

By By

TITLE TITLE

CONSENTED TO AND APPROVED:

 SEAL 

OWNER 

By

DATE PRESIDENT 

CONSENTED TO AND APPROVED:

 SEAL SURETY COMPANY1

By

DATE 

 

1

 Attach power of attorney in favor of person signing for Surety.
162

This page intentionally left blank. 
163

DATE

DEPARTMENT OF AGRICULTURE

RURAL UTILITIES SERVICE

CONSTRUCTION CHANGE ORDER PROJECT LINE SHEET NO.

 ORDER NO. POLES NO. REFER TO ITEM NO.

 

CHANGE

REASON FOR CHANGE

CHANGE AUTHORIZED BY: 

SYSTEM MANAGER BORROWER'S ENGINEER

ITEMIZED COST OF ABOVE ORDER

 CONTRACTOR

RUS FORM 216 REV 7- 55
164

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RUS Form 526 Rev. 8-66 165

RUS FORM 526 1. PROJECT DESIGNATION

REV. 8-66

U. S. DEPARTMENT OF AGRICULTURE

RURAL UTILITIES SERVICE

CONSTRUCTION CONTRACT AMENDMENT 2. AMENDMENT NO. 3. DATE

INSTRUCTIONS – Submit three (3) copies of this form 

And three (3) copies of all attachments. 4.

To: THE ADMINISTRATOR DETAILS OF CHANGES ARE TABULATED ON SHEET 2 

RURAL UTILITIES SERVICE T0 ATTACHED AND ARE PART OF THIS AMENDMENT. 

U. S. DEPT. OF AGRICULTURE , WASHINGTON, D.C. 20250 

5. 

THE FOLLOWING CHANGES IN CONSTRUCTION CONTRACT NUMBER DATED ,

ARE HEREBY MERELY SUBMITTED FOR YOUR APPROVAL. 

6. DATA PERTINENT TO THE ORIGINAL CONTRACT, AND AMENDMENTS INCLUDING THIS AMENDMENT ARE AS FOLLOWS (DECREASE TO 

BE PRECEDED BY (-) MINUS SIGN). 

ROUTE SUBSCRIBERS 

MILES SIGNED POTENTIAL 

PRICE 

ORIGINAL CONTRACT $ 

AMENDMENT NO.1 

AMENDMENT NO. 2 

AMENDMENT NO. 3 

AMENDMENT NO. 4 

AMENDMENT NO. 5 

AMENDMENT NO. 6 

TOTAL WITH THIS AMENDMENT $ 

7. FOR ADDITIONAL DATA REFER TO STATEMENT OF CONSTRUCTION, RUS FORM 527 DATED , , WHICH 

ARE ATTACH ED HEREBY AND MADE A PART HEREOF.

8. BOND EXTENSION ATTACHED 9. THE CONSTRUCTION PERIOD WILL BE CHANGE TO DAYS. 

YES NO 

10. NEW COUNTIES ( IF ANY)] 

11. DESCRIPTION AND REASON FOR CHANGE: 

This amendment, providing for an increase/decrease of $ in the amount of said construction 

Contract, is submitted pursuant to the provisions thereof and pursuant to the loan contract between the United States of 

America and the undersigned Borrower. You are hereby authorized to approve this amendment either in whole or in part and 

To delete such items as do not meet with your approval. To the extent the items hereof are approved by you, the construction 

Contract shall be amended.

ACCEPTED 

By By 

CONTRACTOR BORROWER

 

By 

PRESIDENT – OWNER –PARTNER* By 

PRESIDENT

APPROVED

 

DATE ENGINEER FOR THE BORROWER

*Strike out inapplicable tittle. If signed by other than above, power of attorney should be attached or on file with RUS. 
166 

RUS FORM 526 PROJECT DESIGNATION AREV 8-66 

U.S. DEPARTMENT OF AGRICULTURE RURAL UTILITIES SERVICE 

ATTACHMENT 

CONSTRUCTION CONTRACT AMENDMENT 

D E T A I LS O F C O N T R A C T A M E N D M E N T 

*CONTRACT AMENDED TO READ 

UNIT PRICE 

ITEM NO. 

ASSEMBLY 

UNIT 

DESIGNATION

QUANTITY 

PREVIOUSLY 

APPROVED 

NET CHANGE

NUMBER 

OF UNITS

NUMBER 

OF UNITS 

LABOR MATERIAL TOTAL 

TOTAL

PRICE 

**-

--

--- 

--------------------- -------------------- -------------------- --------------------- --------------- --------------- ---------------

1 2 3 4 5 6 7 8 9 

10 11 12 13 14 15 16 17 18 19 20 

TOTALS F 

NET TOTAL 

* Show quantities and prices as revised by this amendment. **Carried forward from previous page. 
According to the Paperwork Reduction Act of 1995, an agency may not conduct or sponsor, and a person is not required to respond to, a collection of information unless it displays a valid OMB control 

number. The valid OMB control number for this information collection is 0572–0107. The time required to complete this information collection is estimated to average .05 of an hour per response, 

including the time for reviewing instructions, searching existing data sources, gathering and maintaining the data needed, and completing and reviewing the collection of information. 

167 RUS FORM 213 (Rev. 11-99)

U.S. Department of Agriculture 

Rural Utilities Service 

CERTIFICATE 

______________________________ 

With respect to compliance with the second paragraph of the Rural Electrification Act of 

1938, being Title IV of the Work Relief and Public Works Appropriation Act of 1938 (Public 

Resolution No. 122, 75th Congress, approved June 21, 1938). 

______________________________ 

Rural Utilities Service Project 

The undersigned, being, the 1

,

in a certain contract No. dated , between the undersigned

and 2

,

does hereby certify that in the performance of the said contract there have been used or furnished no unmanufactured 

articles, materials or supplies which have not been mined or produced in the United States 3

or in any eligible country 

and no manufactured articles, materials or supplies which have not been manufactured in the United States or in any 

eligible country substantially all from articles, materials or supplies mined, produced or manufactured, as the case may 

be, in the United States or in any eligible country, except to the extent that compliance with the second paragraph of the 

Rural Electrification Act of 1938, being Title IV of the Work Relief and Public Works Appropriation Act of 1938 (Public 

Resolution No. 122, 75th Congress, approved June 21, 1938) has been waived by the Administrator of the Rural Utilities 

Service. For purposes of this certificate, an “eligible country” is any country that applies with respect to the United 

States an agreement ensuring reciprocal access for United States products and services and suppliers to the markets of 

that country, as determined by the Unites States Trade Representative.4

 

 By 

 

Date , 

 

1

 Insert "Contractor," "Subcontractor," "Seller," Or "Material Supplier," as the case may be.

2

 Insert the name of the RUS Borrower.

3 United States means United States, its territories and possessions. 4

 A current list of eligible countries may be obtained by contacting RUS.