Source: https://www.cao.gov/print/18461
Timestamp: 2020-07-08 09:59:15
Document Index: 250718076

Matched Legal Cases: ['art 1846', 'ART 1846', 'ART 1846', 'ART 1846', 'ART 1846', 'ART 1846', 'art 1846', 'art 12', 'art 1846', 'art 1846', 'art 1846', 'art 1846']

Part 1846
(Revised November 6, 2015)
SUBPART 1846.1 GENERAL
1846.102 Policy.
1846.103 Contracting office responsibilities.
SUBPART 1846.3 CONTRACT CLAUSES
1846.370 NASA contract clauses.
SUBPART 1846.4 GOVERNMENT CONTRACT QUALITY ASSURANCE
1846.401 General.
1846.407 Nonconforming supplies and services.
1846.470 Contract clause.
SUBPART 1846.6 MATERIAL INSPECTION AND RECEIVING REPORTS
1846.670 Introduction.
1846.670-1 General.
1846.670-2 Applicability.
1846.670-3 Use.
1846.670-4 Multiple shipments.
1846.670-5 Forms.
1846.671 Contract quality assurance on shipments between contractors.
1846.672 Preparing DD Forms 250 and 250c.
1846.672-1 Preparation instructions.
1846.672-2 Consolidated shipments.
1846.672-3 Multiple consignee instructions.
1846.672-4 Correction instructions.
1846.672-5 Packing list instructions.
1846.672-6 Receiving instructions.
1846.673 Distribution of DD Forms 250 and 250c.
1846.674 Contract clause.
SUBPART 1846.7 WARRANTIES
1846.703 Criteria for use of warranties.
1846.703-70 Additional criteria.
1846.704 Authority for use of warranties.
1846.770 Administration.
Subpart 1846.1—General
1846.102 Policy
(f) See NPR 8735.2, Section 2.1, concerning quality assurance for critical acquisition items. Generally, the quality assurance requirements set forth in the NPR for critical acquisition items are not allowed under Part 12 procedures. See FAR 12.208.
(f) Ensuring the request originator has annotated on the NF 1707 whether the acquisition involves the procurement of safety critical parts, as defined in NPR 8735.1, Procedures for Exchanging Parts, Materials, and Safety Problem Data Utilizing the Government-Industry Data Exchange Program (GIDEP) and NASA Advisories, and that any such safety critical parts have been GIDEP screened.
Subpart 1846.3—Contract Clauses
The contracting officer shall insert the clause at 1852.246-73, Human Space Flight Item, in solicitations and contracts for human space flight hardware and flight-related equipment if the highest available quality standards are necessary to ensure astronaut safety.
Subpart 1846.4—Government Contract Quality Assurance
(a) The Government may conduct inspection and other quality requirements through "insight" or “oversight.”
(i) Insight requires the monitoring of contractor quality data and Government-identified metrics and contracted milestones, and may also involve the review of contractor work procedures and records. Insight is a continuum that can range from low intensity, such as reviewing quarterly reports, to high intensity, such as performing surveys and reviews.
(ii) Oversight occurs in line with the contractor's processes. The Government retains and exercises the right to concur or non-concur with the contractor’s decisions affecting product conformity. Non-concurrence must be resolved before the contractor can proceed. Oversight is a continuum that can range from low intensity, such as quality system audits, or Government concurrence in reviews (e.g., preliminary design review or critical design review), to high intensity oversight in which the Government has day-to-day involvement in the contractor’s decision making process (e.g., mandatory hardware inspections or process witnessing). The decision to use insight or oversight is based on an assessment of the risk inherent in the activity being surveilled. Surveillance must be conducted whether or not the contract effort has been structured as a performance-based acquisition.
(iii) The quality assurance surveillance plan (QASP) contents may range from low-intensity, insight-only functions to high-intensity oversight functions depending on the acquisition’s criticality, complexity, contractor past performance, and other risk factors. The project office prepares the QASP in conjunction with the statement of work and periodically adjusts it thereafter based on changing risk factors as the contract requirement progresses through acquisition planning, source selection, and contract administration. The QASP shall not be included in the contract. Detailed requirements and guidance concerning QASP development and administration are provided in NPR 8735.2, Management of Government Quality Assurance Functions for NASA Contracts.
(h) NASA personnel at all levels are responsible for reporting to the Office of Inspector General and the NASA Director, Acquisition Integrity Program (AIP), when they become aware of noncompliant conditions or failure experiences which may constitute evidence of fraud, malpractice, or other serious misconduct. Suspected counterfeit goods shall not be returned to the contractor without the authorization of the AIP Director.
The contracting officer may insert a clause substantially as stated at 1852.246-71, Government Contract Quality Assurance Functions, in solicitations and contracts to specify the location(s) of quality assurance functions.
Subpart 1846.6—Material Inspection and Receiving Reports
This subpart contains procedures and instructions for use of the DD Form 250, Material Inspection and Receiving Report (MIRR), (DD Form 250 series equivalents, and commercial shipping/packing lists used to document Government contract quality assurance (CQA).
(a) This subpart applies to supplies or services acquired by or for NASA when the clause at 1852.246-72, Material Inspection and Receiving Report, is included in the contract.
(a) The DD Form 250 is a multipurpose report used for—
(1) Providing evidence of CQA at origin or destination;
(2) Providing evidence of acceptance at origin or destination;
(3) Packing lists;
(4) Receiving;
(5) Shipping; and
(6) Contractor invoice support.
(b) Do not use MIRRs for shipments—
(1) By subcontractors, unless the subcontractor is shipping directly to the Government; or,
(2) Of contract inventory.
(c) The contractor prepares the DD Form 250, except for entries that an authorized Government representative is required to complete. The contractor shall furnish sufficient copies of the completed form, as directed by the Government Representative.
(a) If the "shipped to," "marked for," "shipped from," "CQA," and "acceptance" data are the same for more than one shipment made on the same day under the same contract in a single car, truck, or other vehicle, one MIRR shall be prepared to cover all such shipments.
(b) If the volume of the shipments precludes the use of a single car, truck, or other vehicle, a separate MIRR shall be provided for each vehicle.
An electronic copy of the DD Form 250 may be downloaded from the General Services Administration’s Forms Library at http://www.gsa.gov/portal/forms/type/TOP.
(a) The supplier's commercial shipping document/packing list shall indicate performance of required CQA actions at subcontract level. The following entries shall be made on the document/packing list:
Required CQA of items has been performed.
__________________________ (Signature of Authorized Government Representative)
__________________________ (Date)
__________________________ (Typed Name and Office)
(b) Distribution for Government purposes shall be one copy each—
(1) With shipment;
(2) For the Government representative at consignee (via mail); and
(3) For the Government representative at consignor.
(1) Dates shall include nine spaces consisting of the four digits of the year, the first three letters of the month, and two digits for the date (e.g., 2012SEP24).
(2) Addresses shall consist of the name, street address/P.O. box, city, State, and ZIP code.
(3) The data entered in the blocks at the top of DD Form 250c shall be identical to the comparable entries in Blocks 1, 2, 3, and 6 of the DD Form 250.
(4) Overflow data of the DD Form 250 shall be entered in Block 16 or in the body of the DD Form 250c with block cross reference. Additional DD Form 250c sheets solely for continuation of Block 23 data shall not be numbered or distributed as part of the MIRR.
(b) Classified information. Do not include classified information on the MIRR. MIRRs must not be classified.
(c) Block 1 – PROCUREMENT INSTRUMENT IDENTIFICATION (CONTRACT NUMBER) Enter the ten-character, alpha-numeric procurement identifier of the contract.
(d) Block 2 -- SHIPMENT NO.
(1) The shipment number is a three-alpha character prefix and a four-character numeric or alpha-numeric serial number.
(i) The prefix shall be controlled and assigned by the prime contractor and shall consist of three alpha characters for each "shipped from" address (Block 11). The prefix shall be different for each “Shipped From” address and shall remain constant throughout the contract period.
(ii) The serial number for the first shipment under a prime contract from each "shipped from" address shall be 0001; subsequent shipments under that prime contract shall be consecutively numbered. Alpha-numerics shall be used when more than 9,999 numbers are required. Alpha-numerics shall be serially assigned, with the alpha in the first position, followed by the three-position numeric serial number. The alpha-numeric sequence shall be (the letters I and O shall not be used) A001 through A999 (10,001 through 10,999); B001 through B999 (11,001 through 11,999); to Z999. When this series is completely used, numbering shall revert to 0001.
(2) The shipment number of the initial shipment shall be reassigned when a "replacement shipment" is involved (see (r)(4)(iv) of this section).
(3) The prime contractor shall control deliveries and on the last shipment of the contract shall suffix the shipment number with a "Z" in addition to that required for line items (see Block 17). If the contract final shipment is from other than the prime contractor's plant, the prime contractor may elect (i) to direct the subcontractor to suffix the "Z" or (ii), on receipt of the subcontractor final shipment information, to correct the DD Form 250 covering the last shipment from the prime contractor's plant by adding a "Z" to that shipment number.
(e) Block 3 -- DATE SHIPPED. Enter the date the shipment is released to the carrier or the date of completion of services. If the shipment will be released after the date of CQA and/or acceptance, enter the estimated date of release. When the date is estimated, enter an "E" after it. Distribution of the MIRR shall not be delayed for entry of the actual shipping date. Reissuance of the MIRR is not required to show the actual shipping date.
(f) Block 4 -- B/L TCN. When applicable, enter the commercial or Government bill of lading number after "B/L"; and the Transportation Control Number after "TCN."
(g) Block 5 -- DISCOUNT TERMS.
(1) The contractor may enter the discount in terms of percentages on all copies of the MIRR.
(2) When the MIRR is used as an invoice, see 1846.672-5.
(h) Block 6 -- INVOICE.
The contractor may enter the invoice number and actual or estimated date on all copies of the MIRR. When the date is estimated, enter an “E” after the date. Do not correct MIRRs to reflect the actual date of invoice submission.
(i) Block 7 -- PAGE/OF. Consecutively number the pages comprising the MIRR. On each page, enter the total number of pages of the MIRR.
(j) Block 8 -- ACCEPTANCE POINT. Enter an "S" for origin or "D" for destination as specified in the contract as the point of acceptance.
(k) Block 9 -- PRIME CONTRACTOR. Enter the Commercial and Government Entity (CAGE) code and address.
(l) Block 10 -- ADMINISTERED BY. Enter the code and address of the contracting office cited in the contract.
(m) Block 11 -- SHIPPED FROM/CODE/FOB.
(1) Enter the code and address of the "shipped from" location. If identical to Block 9, enter "See Block 9."
(2) For performance of services that do not require delivery of items upon completion, enter the code and address of the location at which the services were performed. If the DD Form 250 covers performance at multiple locations or if identical to Block 9, enter "See Block 9."
(3) Enter on the same line and to the right of "FOB" an "S" for origin or "D" for destination as specified in the contract. Enter an alphabetic "O" if the FOB point cited in the contract is other than origin or destination.
(n) Block 12 -- PAYMENT WILL BE MADE BY. Enter the address of the payment office cited in the contract.
(o) Block 13 -- SHIPPED TO/CODE. Enter the code and address from the contract or shipping instructions.
(p) Block 14 -- MARKED FOR/CODE. Enter the code and address from the contract or shipping instructions.
(q) Block 15 -- ITEM NO. Enter the item number used in the contract. If four or fewer digits are used, position them to the left of the vertical dashed line. Where a six-digit identification is used, enter the last two digits to the right of the vertical dashed line.
(r) Block 16 -- STOCK/PART NO./DESCRIPTION.
(1) Enter, as applicable, for each item, using single spacing between each line item, the following:
(i) The National Stock Number (NSN) or noncatalog number and, if applicable, prefix or suffix. When a number is not provided or it is necessary to supplement the number, include other identification such as the manufacturer's name or Federal Supply Code (as published in Cataloging Handbook H4-1), and part numbers. Additional part numbers may be shown in parentheses. Also enter the descriptive noun of the item nomenclature and, if provided, the Government-assigned management/material control code. In the case of equal-kind supply items, the first entry shall be the description without regard to kind (e.g., "Resistor"). Below this description, enter the contract item number in Block 15 and stock/part number followed by the size or type in Block 16.
(ii) On the next printing line, if required by the contract for control purposes, enter the make, model, serial number, lot, batch, hazard indicator, and/or similar description.
(iii) On the next printing line, enter the FEDSTRIP requisition number(s) when provided in the contract or shipping instructions.
(2) For service items, enter the word “SERVICE” followed by a short description of less than 20 characters. Do not complete items 4, 13, and 14 when material is not shipped.
(3) For all contracts administered by the Defense Contract Management Agency, with the exception of fast pay procedures, enter and complete the following:
Gross Shipping Wt.__ (State weight in pounds only).
(4) Enter on the next line the following as appropriate (entries may be extended through Block 20). When entries apply to more than one item in the MIRR, enter them only once after the last item and reference the applicable item numbers.
(i) Enter in capital letters any special handling instructions/limits for material environmental control (e.g., temperature, humidity, aging, freezing, and shock).
(ii) When an NSN is required by, but not cited in, a contract and has not been furnished by the Government, shipment may be made at the direction of the contracting officer. Enter the authority for the shipment.
(iii) When Government-furnished property (GFP) is included with or incorporated into the line item, enter "GFP".
(iv) When the shipment consists of replacements for supplies previously furnished, enter in capital letters "REPLACEMENT SHIPMENT" (see paragraph (s)(3) of this section for replacement indicators.)
(v) For items shipped with missing components, enter and complete the following: "Item(s) shipped short of the following component(s): FSN or comparable identification , Quantity , Estimated Value , Authority ."
(vi) When shipment is made of components that were short on a prior shipment, enter and complete the following: "These components were listed as shortages on Shipment Number , date shipped ."
(vii) When shipments involve drums, cylinders, reels, containers, skids, etc., designated as returnable under contract provisions, enter and complete the following: "Return to , Quantity , Item , Ownership (Government/contractor)."
(viii) Enter shipping container number(s), the type, and the total number of the shipping container(s) included in the shipment.
(ix) The MIRR shall be used to record and report the waivers and deviations from contract specifications, including the source and authority for the waiver or deviation (e.g., the contracting office authorizing the waiver or deviation and the identification of the authorizing document).
(x) For shipments involving discount terms, enter "DISCOUNT EXPEDITE" in at least one-inch outline-type letters.
(xi) When test/evaluation results are a condition of acceptance and are not available before shipment, the following note shall be entered if the shipment is approved by the contracting officer: "Note: Acceptance and payment are contingent upon receipt of approved test/evaluation results." The contracting officer will advise (A) the consignee of the results (approval/disapproval) and (B) the contractor to withhold invoicing pending attachment to its invoice of the approved test/evaluation results.
(xii) The copy of the DD Form 250 required to support payment for destination acceptance (top copy of the four with shipment) or Alternative Release Procedure (ARP) origin acceptance (additional copy furnished to the Quality Assurance Representative (QAR)) shall be identified by entering "PAYMENT COPY" in approximately one-half-inch outline-type letters with “FORWARD TO BLOCK 12 ADDRESS" in approximately one-quarter-inch letters immediately below. Do not obliterate any other entries.
(xiii) A double line shall be drawn completely across the form following the last entry.
(s) Block 17 -- QUANTITY SHIP/REC'D.
(1) Enter the quantity shipped, using the unit of measure indicated in the contract for payment. When a second unit of measure is used for purposes other than payment, enter the appropriate quantity directly below in parentheses.
(2) Enter a "Z" below the first digit of the quantity when the total quantity of the item is delivered, including variations within contract terms; and all shortages on items previously shipped short are delivered.
(3) If a replacement shipment is involved, enter below the first digit of the quantity the letter "A" to designate first replacement, "B" for second replacement, and so forth. The final shipment indicator "Z" shall not be used when a final line item shipment is replaced.
(t) Block 18 -- UNIT. Enter the abbreviation of the unit of measure indicated in the contract for payment. When a second unit of measure is indicated in the contract for purposes other than payment or is used for shipping purposes, enter the abbreviation of the second unit of measure directly below in parentheses. Authorized abbreviations are listed in MIL-STD-129, Marking for Shipping and Storage.
(u) Block 19 -- UNIT PRICE. Enter the unit price on all NASA copies whenever the MIRR is used for voucher or receiving purposes.
(v) Block 20 -- AMOUNT. Enter the extended amount when the unit price is entered in Block 19.
(w) Block 21 -- CONTRACT QUALITY ASSURANCE. The words "conform to contract" contained in the printed statements in Blocks A and B relate to contract obligations pertaining to quality and to the quantity of the items on the report. The statements shall not be modified. Notes taking exception shall be entered in Block 16 or on attached supporting documents with block cross reference.
(1) "A. ORIGIN."
(i) The authorized Government representative shall—
(A) Place an "X" when applicable in the appropriate CQA and/or acceptance box(es) to evidence origin CQA and/or acceptance. When the contract requires CQA at destination in addition to origin CQA, an asterisk shall be entered at the end of the statement and an explanatory note in Block 16;
(B) Sign and date; and
(C) Enter the typed, stamped, or printed name of the signer and office code.
(2) "B. DESTINATION."
(i) When acceptance at origin is indicated in Block 21A, no entries shall be made in Block 21B.
(ii) When acceptance or CQA and acceptance are at destination, the authorized Government representative shall—
(A) Place an "X" in the appropriate box(es);
(x) Block 22 -- RECEIVER'S USE. This block shall be used by the receiving activity (Government or contractor) to denote receipt, quantity, and condition. The receiving activity shall enter in this block the date the supplies arrived. For example, when off-loading or in-checking occurs subsequent to the day of arrival of the carrier at the installation, the date of the carrier's arrival is the date received for purposes of this block.
(y) Block 23 -- CONTRACTOR USE ONLY. This block is provided and reserved for contractor use.
When individual shipments are held at the contractor's plant for authorized transportation consolidation to a single destination on a single bill of lading, the applicable DD Forms 250 may be prepared at the time of CQA or acceptance prior to the time of actual shipment (see Block 3).
The contractor may prepare one MIRR when the identical item(s) of a contract is to be shipped to more than one consignee, with the same or varying quantities, and the shipment requires origin acceptance. Prepare the MIRR using the procedures in this subpart with the following changes:
(a) Blocks 2, 4, 13, and, if applicable, 14 - Enter “See Attached Distribution List.”
(b) Block 15 - The contractor may group item numbers for identical stock/part number and description.
(c) Block 17 - Enter the “total” quantity shipped by item or, if applicable, grouped identical items.
(d) Use the DD Form 250c to list each individual “Shipped To” and “Marked For” with—
(2) Item number(s);
(4) The FEDSTRIP requisition number and quantity for each when provided in the contract or shipping instructions; and
(5) If applicable, bill of lading number and mode of shipment code.
When, because of errors or omissions, it is necessary to correct the MIRR after distribution, it shall be revised by correcting the original master and distributing the corrected form. The corrections shall be made as follows:
(a) Circle the error and place the corrected information in the same block. If space is limited, enter the corrected information in Block 16, referencing the error page and block.
(b) When corrections are made to Blocks 15 or 17, enter the words "CORRECTIONS HAVE BEEN VERIFIED" on page 1. The authorized Government representative shall date and sign immediately below the statement. This verification statement and signature are not required for other corrections.
(c) MIRRs shall not be corrected for Block 19 and 20 entries.
(d) Clearly mark pages of the MIRR requiring correction with the words “CORRECTED COPY”, avoiding obliteration of any other entries. Even though corrections are made on continuation sheets only, also mark page 1 "CORRECTED COPY".
(e) Page 1 and only those continuation pages marked "CORRECTED COPY" shall be distributed to the initial distribution. A complete MIRR with corrections shall be distributed to new addressee(s) created by error corrections.
Copies of the MIRR may be used as a packing list. The packing list copies shall be in addition to the copies of the MIRR required for distribution (see 1846.673) and shall be marked "PACKING LIST".
When the MIRR is used for receiving purposes, procedures shall be as prescribed by local directives. If acceptance or CQA and acceptance of supplies are required upon arrival at destination, see Block 21B for instructions.
(a) DD Forms 250 and 250c shall be distributed in accordance with installation procedures.
(b) The contractor is responsible for distributing DD Forms 250 and 250c in accordance with the provisions of the contract or instructions of the contracting officer.
The contracting officer shall insert the clause at 1852.246-72, Material Inspection and Receiving Report, in solicitations and contracts when there will be separate and distinct deliverables, even if the deliverables are not separately priced. The clause is not required for —
(1) Contracts awarded using simplified acquisition procedures;
(2) Negotiated subsistence contracts; or
(3) Contracts for which the deliverable is a scientific or technical report. Insert number of copies and distribution instructions in paragraph (a).
Subpart 1846.7—Warranties
In deciding whether to use a warranty clause, at least the following factors shall be considered in addition to those at FAR 46.703:
(a) Cost of correction or replacement, either by the contractor or by another source, in the absence of a warranty;
(b) The warranty as a deterrent against the furnishing of defective or nonconforming supplies;
(c) Whether the contractor's quality program is reliable enough to provide adequate protection without a warranty, or, if not, whether a warranty would cause the contractor to institute an effective quality program;
(d) Reliance on "brand-name" integrity; and
(e) Whether a warranty is regularly given for a commercial component of a more complex end item.
(1) A warranty clause may be used when it is found to be in the best interests of the Government, after an analysis of the factors listed in 1846.703-70 and FAR 46.703.
(2) Except for the warranty of commercial items (see FAR 12.404 and 46.709), and warranties contained in Federal, military, or construction specifications, the decision to use a warranty clause or to include a warranty provision in a specification other than a Federal, military, or construction specification shall be made only upon the written authorization of the procurement officer or a designee. This decision may be made either for individual acquisitions or classes of acquisitions.
(3) Warranties required by applicable architect-engineer specifications shall be included in construction contracts.
When notified of a defect in warranted items, the contracting officer should ascertain whether the warranty is currently in effect and ensure that the contractor is given proper and timely notice of the defect.