0:'volume iparts 1 to 51 federal acquisition regulation issued fiscal year 2019 by the: generalservicesadministration departmentofdefense national aeronautics andspaceadministration title48federal',
1:'acquisition regulations system chapter1 federal acquisition regulation volume i foreword the far is the primary regulation for use by all',
2:'executive agencies in their acquisitionofsupplies andserviceswithappropriatedfunds. it became effective on april 1, 1984, and is issued within applicable laws under',
3:'the joint authorities of the administrator of general services, the secretary of defense, and the administrator for the national aeronautics',
4:'and space administration, under the broad policy guidelines of the administrator, office of federal procurement policy, office of management and',
5:'budget. the far precludes agency acquisition regulations that unnecessarily repeat, paraphrase,orotherwiserestatethefar,limitsagencyacquisitionregulationsto thosenecessarytoimplementfarpoliciesandprocedureswithinanagency,and provides for coordination, simplicity, and uniformity in the',
6:'federal acquisition process. it also provides for agency and public participation in developing the far and agency acquisition regulation. the',
7:'federal acquisition regulation far includes all federal acquisition circularsthrough202501effectivenovember12,2024.beginninginfiscalyear 2019, designation of federal acquisition circulars was changed to reflect the',
8:'fiscal year in the first four digits and the sequence of the issued circular in the last two digits. list',
9:'of sections affected fac202501 november 12, 2024 section description of change case number 4.000 revise section 4.000. far case 2024002',
10:'13.201 m amend section 13.201 by adding paragraph m. far case 2024002 39.101 i amend section 39.101 by adding paragraph',
11:'i. far case 2024002 subpart 40.2 add subpart 40.2. far case 2024002 52.2047, clause date/heading and b 1 amend section',
12:'52.2047 by revising the date of the provision and paragraph b1. far case 2023018 52.2125, clause date/heading , b 63,',
13:'e1xxvi, and alternate ii e 1iiy amend section 52.2125 by— a. revising the date of the clause; b. redesignating paragraphs',
14:'b63 and 64 as paragraphs b64 and 65 and adding a new paragraph b 63; c. redesignating paragraph e1xxvi as',
15:'paragraph e1xxvii and adding a new paragraph e1xxvi; and d. in alternate ii; i. revising the date of the alternate;',
16:'and ii. redesignating paragraph e1iiy as paragraph e1iiz and adding a new paragraph e1ii y. far case 2024002 52.2134, clause',
17:'date/heading , a2 vii and b1xxii amend section 52.2134 by— a. revising the date of the clause and paragraph a2',
18:'vii; and a. revising the date of the clause and paragraph a2 vii; and b. redesignating paragraph b1xxii as paragraph',
19:'b1xxiii and adding a new paragraph b1xxii. far case 2024002 52.2401 add section 52.2401. far case 2024002 52.2446, clause date/heading',
20:'and c 1xxiii amend section 52.2446 by— a. revising the date of the clause; and b. redesignating paragraph c1xxiii as',
21:'paragraph c1xxiv and adding a new paragraph c1xxiii. far case 2024002 2 federal acquisition regulation subchapter a general federalacquisitionregulation general',
22:'structure and subparts subchapter a general part 1 federal acquisition regulations system 1.1 purpose, authority, issuance 1.2 administration 1.3 agency',
23:'acquisition regulations 1.4 deviationsfromthefar 1.5 agency and public participation 1.6 career development, contracting authority, and responsibilities 1.7 determinations and findings',
24:'part 2 definitions of words and terms 2.1 definitions 2.2 definitions clause part 3 improper business practices and personal conflicts',
25:'of interest 3.1 safeguards 3.2 contractor gratuities to government personnel 3.3 reportsofsuspectedantitrustviolations 3.4 contingent fees 3.5 other improper business practices',
26:'3.6 contractswithgovernmentemployeesororganizationsownedorcontrolledbythem 3.7 voiding and rescinding contracts 3.8 limitationsonthepaymentoffundstoinfluencefederaltransactions 3.9 whistleblower protections for contractor employees 3.10 contractor code of business',
27:'ethics and conduct 3.11 preventing personal conflicts of interest for contractor employees performing acquisition functions part 4 administrative and information',
28:'matters 4.1 contract execution 4.2 contract distribution 4.3 [reserved] 4.4 safeguardingclassifiedinformationwithinindustry 4.5 electronic commerce in contracting 4.6 contract reporting 4.7',
29:'contractor records retention 4.8 government contract files 4.9 taxpayeridentificationnumberinformation 4.10 uniform use of line items 4.11 system for award management',
30:'4.12 representations and certifications 4.13 personal identity verification i structure federal acquisition regulation 4.14 reportingexecutivecompensationandfirsttiersubcontractawards 4.15 [reserved] 4.16 unique procurement',
31:'instrument identifiers 4.17 service contracts inventory 4.18 commercial and government entity code 4.19 basic safeguarding of covered contractor information systems',
32:'4.20 prohibition on contracting for hardware, software, and services developed or provided by kaspersky lab 4.21 prohibitiononcontractingforcertaintelecommunicationsandvideosurveillanceservicesorequipment 4.22 prohibition on',
33:'a bytedance covered application. 4.23 federal acquisition security council. subchapter b competition and acquisition planning part 5 publicizing contract actions',
34:'5.1 dissemination of information 5.2 synopses of proposed contract actions 5.3 synopses of contract awards 5.4 release of information 5.5',
35:'paid advertisements 5.6 publicizing multiagency use contracts 5.7 publicizing requirements under the american recovery and reinvestment act of 2009 part',
36:'6 competition requirements 6.1 full and open competition 6.2 full and open competition after exclusion of sources 6.3 other than',
37:'full and open competition 6.4 sealed bidding and competitive proposals 6.5 advocates for competition part 7 acquisition planning 7.1 acquisition',
38:'plans 7.2 planning for the purchase of supplies in economic quantities 7.3 contractor versus government performance 7.4 equipment acquisition 7.5',
39:'inherently governmental functions part 8 required sources of supplies and services 8.1 excess personal property 8.2 [reserved] 8.3 [reserved] 8.4',
40:'federal supply schedules 8.5 [reserved] 8.6 acquisition from federal prison industries, inc. 8.7 acquisition from nonprofit agencies employing people who',
41:'are blind or severely disabled 8.8 acquisition of printing and related supplies 8.9 [reserved] 8.10 [reserved] 8.11 leasing of motor',
42:'vehicles ii federal acquisition regulation structure part 9 contractor qualifications 9.1 responsible prospective contractors 9.2 qualifications requirements 9.3 firstarticletestingandapproval 9.4',
43:'debarment, suspension, and ineligibility 9.5 organizational and consultant conflicts of interest 9.6 contractor team arrangements 9.7 defense production pools and',
44:'research and development pools part 10 market research part 11 describing agency needs 11.1 selecting and developing requirements documents 11.2',
45:'using and maintaining requirements documents 11.3 acceptable material 11.4 delivery or performance schedules 11.5 liquidated damages 11.6 priorities and allocations',
46:'11.7 variation in quantity 11.8 testing part 12 acquisition of commercial products and commercial services 12.1 acquisition of commercial products',
47:'and commercial services 12.2 special requirements for the acquisition of commercial products and commercial services 12.3 solicitation provisions and contract',
48:'clauses for the acquisition of commercial products and commercial services 12.4 uniquerequirementsregardingtermsandconditionsforcommercialproductsandcommercialservices 12.5 applicability of certain laws to the acquisition',
49:'of commercial products, commercial services and commercially available offtheshelf items 12.6 streamlined procedures for evaluation and solicitation for commercial products',
50:'and commercial services subchapter c contracting methods and contract types part 13 simplified acquisition procedures 13.1 procedures 13.2 actions at',
51:'or below the micropurchase threshold 13.3 simplified acquisition methods 13.4 fast payment procedure 13.5 simplified procedures for certain commercial products',
52:'and commercial services part 14 sealed bidding 14.1 use of sealed bidding 14.2 solicitation of bids 14.3 submission of bids',
53:'14.4 openingofbidsandawardofcontract 14.5 twostepsealedbidding iii structure federal acquisition regulation part 15 contracting by negotiation 15.1 source selection processes and techniques',
54:'15.2 solicitation and receipt of proposals and information 15.3 source selection 15.4 contract pricing 15.5 preaward, award, and postaward notifications,',
55:'protests, and mistakes 15.6 unsolicited proposals part 16 types of contracts 16.1 selectingcontracttypes 16.2 fixedprice contracts 16.3 costreimbursement contracts 16.4',
56:'incentive contracts 16.5 indefinitedelivery contracts 16.6 timeandmaterials,laborhour,andlettercontracts 16.7 agreements part 17 special contracting methods 17.1 multiyear contracting 17.2 options 17.3',
57:'[reserved] 17.4 leader company contracting 17.5 interagency acquisitions 17.6 management and operating contracts 17.7 interagency acquisitions: acquisitions by nondefense agencies',
58:'on behalf of the department of defense 17.8 reverse auctions part 18 emergency acquisitions 18.1 availableacquisitionflexibilities 18.2 emergencyacquisitionflexibilities subchapter d',
59:'socioeconomic programs part 19 small business programs 19.1 size standards 19.2 policies 19.3 determination of small business size and status',
60:'for small business programs 19.4 cooperation with the small business administration 19.5 smallbusinesstotalsetasides,partialsetasides,andreserves 19.6 certificates of competency and determinations of',
61:'responsibility 19.7 the small business subcontracting program 19.8 contracting with the small business administration the 8a program 19.9 [reserved] 19.10',
62:'[reserved] 19.11 [reserved] 19.12 [reserved] 19.13 historically underutilized business zone hubzone program iv federal acquisition regulation structure 19.14 servicedisabledveteranownedsmallbusinessprogram 19.15',
63:'womenowned small business program. part 20 reserved part 21 reserved part 22 application of labor laws to government acquisitions 22.1',
64:'basic labor policies 22.2 convict labor 22.3 contractworkhoursandsafetystandardsact 22.4 labor standards for contracts involving construction 22.5 use of project labor',
65:'agreements for federal construction projects 22.6 contracts for materials, supplies, articles, and equipment 22.7 [reserved] 22.8 equal employment opportunity 22.9',
66:'nondiscrimination because of age 22.10 service contract labor standards 22.11 professional employee compensation 22.12 [reserved] 22.13 equal opportunity for veterans',
67:'22.14 employment of workers with disabilities 22.15 prohibition of acquisition of products produced by forced or indentured child labor 22.16',
68:'notification of employee rights under the national labor relations act 22.17 combating trafficking in persons 22.18 employment eligibility verification 22.19',
69:'increasing the minimum wage for contractors 22.20 [reserved] 22.21 establishing paid sick leave for federal contractors part 23 environment, sustainable',
70:'acquisition, and material safety 23.1 sustainable products and services 23.2 energysavingsperformancecontracts 23.3 hazardous material identification, material safety data, and notice',
71:'of radioactive materials 23.4 pollution prevention, environmental management systems, and waste reduction 23.5 greenhouse gas emissions 23.6 reserved 23.7 reserved',
72:'23.8 reserved 23.9 reserved 23.10 reserved part 24 protection of privacy and freedom of information 24.1 protection of individual privacy',
73:'24.2 freedom of information act 24.3 privacy training part 25 foreign acquisition 25.1 buy americansupplies v structure federal acquisition regulation',
74:'25.2 buy americanconstruction materials 25.3 contracts performed outside the united states 25.4 trade agreements 25.5 evaluatingforeignofferssupplycontracts 25.6 american recovery and',
75:'reinvestment actbuy american statuteconstruction materials 25.7 prohibited sources 25.8 other international agreements and coordination 25.9 customs and duties 25.10 additional',
76:'foreign acquisition regulations 25.11 solicitation provisions and contract clauses part 26 other socioeconomic programs 26.1 indian incentive program 26.2 majordisasteroremergencyassistanceactivities',
77:'26.3 historically black colleges and universities and minority institutions 26.4 food donations to nonprofit organizations 26.5 drugfree workplace 26.6 encouragingcontractorpoliciestobantextmessagingwhiledriving',
78:'subchapter e general contracting requirements part 27 patents, data, and copyrights 27.1 general 27.2 patents and copyrights 27.3 patent rights',
79:'under government contracts 27.4 rights in data and copyrights 27.5 foreignlicenseandtechnicalassistanceagreements part 28 bonds and insurance 28.1 bonds and other',
80:'financial protections 28.2 sureties and other security for bonds 28.3 insurance part 29 taxes 29.1 general 29.2 federalexcisetaxes 29.3 stateandlocaltaxes',
81:'29.4 contract clauses part 30 cost accounting standards administration 30.1 general 30.2 cas program requirements 30.3 cas rules and regulations',
82:'[reserved] 30.4 cost accounting standards [reserved] 30.5 cost accounting standards for educational institutions [reserved] 30.6 cas administration vi federal acquisition',
83:'regulation structure part 31 contract cost principles and procedures 31.1 applicability 31.2 contracts with commercial organizations 31.3 contracts with educational',
84:'institutions 31.4 [reserved] 31.5 [reserved] 31.6 contracts with state, local, and federally recognized indian tribal governments 31.7 contracts with nonprofit',
85:'organizations part 32 contract financing 32.1 financing for other than a commercial purchase 32.2 commercial product and commercial service purchase',
86:'financing 32.3 loan guarantees for defense production 32.4 advance payments for other than commercial acquisitions 32.5 progress payments based on',
87:'costs 32.6 contract debts 32.7 contract funding 32.8 assignment of claims 32.9 prompt payment 32.10 performancebased payments 32.11 electronic funds',
88:'transfer part 33 protests, disputes, and appeals 33.1 protests 33.2 disputes and appeals subchapter f special categories of contracting part',
89:'34 major system acquisition 34.1 testing,qualificationanduseofindustrialresourcesdevelopedundertitleiii,defenseproductionact 34.2 earnedvaluemanagementsystem part 35 research and development contracting part 36 construction and architectengineer contracts',
90:'36.1 general 36.2 special aspects of contracting for construction 36.3 twophase designbuild selection procedures 36.4 [reserved] 36.5 contract clauses 36.6',
91:'architectengineer services 36.7 standard and optional forms for contracting for construction, architectengineer services, and dismantling, demolition, or removal of improvements',
92:'part 37 service contracting 37.1 service contractsgeneral vii structure federal acquisition regulation 37.2 advisory and assistance services 37.3 dismantling, demolition,',
93:'or removal of improvements 37.4 nonpersonal health care services 37.5 management oversight of service contracts 37.6 performancebased acquisition part 38',
94:'federal supply schedule contracting 38.1 federal supply schedule program 38.2 establishing and administering federal supply schedules part 39 acquisition of',
95:'information technology 39.1 general 39.2 information and communication technology part 40 information security and supply chain security 40.1 [reserved] 40.2',
96:'marker[casenumber]farcase2024002securityprohibitionsandexclusionsmarker[why]add subpart 40.2. 40.3 [reserved] part 41 acquisition of utility services 41.1 general 41.2 acquiring utility services 41.3 requests for',
97:'assistance 41.4 administration 41.5 solicitation provision and contract clauses 41.6 forms 41.7 formats subchapter g contract management part 42 contract',
98:'administration and audit services 42.1 contract audit services 42.2 contract administration services 42.3 contractadministrationofficefunctions 42.4 correspondence and visits 42.5 postaward',
99:'orientation 42.6 corporate administrative contracting officer 42.7 indirect cost rates 42.8 disallowance of costs 42.9 bankruptcy 42.10 [reserved] 42.11 production',
100:'surveillance and reporting 42.12 novation and changeofname agreements 42.13 suspension of work, stopwork orders, and government delay of work 42.14',
101:'[reserved] 42.15 contractor performance information viii federal acquisition regulation structure 42.16 small business contract administration 42.17 forward pricing rate agreements',
102:'part 43 contract modifications 43.1 general 43.2 change orders 43.3 forms part 44 subcontracting policies and procedures 44.1 general 44.2',
103:'consent to subcontracts 44.3 contractors’ purchasing systems reviews 44.4 subcontracts for commercial products and commercial services part 45 government property',
104:'45.1 general 45.2 solicitation and evaluation procedures 45.3 authorizing the use and rental of government property 45.4 titletogovernmentproperty 45.5 support',
105:'government property administration 45.6 reporting, reutilization, and disposal part 46 quality assurance 46.1 general 46.2 contract quality requirements 46.3 contract',
106:'clauses 46.4 government contract quality assurance 46.5 acceptance 46.6 material inspection and receiving reports 46.7 warranties 46.8 contractor liability for',
107:'loss of or damage to property of the government part 47 transportation 47.1 general 47.2 contracts for transportation or for',
108:'transportationrelated services 47.3 transportation in supply contracts 47.4 air transportation by u.s.flag carriers 47.5 oceantransportationbyu.s.flagvessels part 48 value engineering 48.1',
109:'policies and procedures 48.2 contract clauses part 49 termination of contracts 49.1 general principles 49.2 additionalprinciplesforfixedpricecontractsterminatedforconvenience ix structure federal acquisition',
110:'regulation 49.3 additionalprinciplesforcostreimbursementcontractsterminatedforconvenience 49.4 terminationfordefault 49.5 contractterminationclauses 49.6 contractterminationformsandformats part 50 extraordinary contractual actions and the safety act 50.1 extraordinary',
111:'contractual actions 50.2 supportantiterrorismbyfosteringeffectivetechnologiesactof2002 part 51 use of government sources by contractors 51.1 contractor use of government supply sources 51.2',
112:'contractoruseofinteragencyfleetmanagementsystemifmsvehicles subchapter h clauses and forms part 52 solicitation provisions and contract clauses 52.1 instructions for using provisions and clauses',
113:'52.2 textofprovisionsandclauses part 53 forms 53.1 general 53.2 prescription of forms 53.3 forms used in acquisitions x part 1 federal',
114:'acquisition regulations system sec. 1.000 scope of part. subpart 1.1 purpose, authority, issuance 1.101 purpose. 1.102 statement of guiding principles',
115:'for the federal acquisition system. 1.1021 discussion. 1.1022 performance standards. 1.1023 evaluating agency acquisition processes. 1.1024 acquisition team. 1.1025 role',
116:'of the acquisition team. 1.103 authority. 1.104 applicability. 1.105 issuance. 1.1051 publication and code arrangement. 1.1052 arrangement of regulations. 1.1053',
117:'copies. 1.106 omb approval under the paperwork reduction act. 1.107 certifications. 1.108 far conventions. 1.109 statutory acquisition–related dollar thresholdsadjustment for',
118:'inflation. 1.110 positive law codification. subpart 1.2 administration 1.201 maintenanceofthefar. 1.2011 the two councils. 1.2012 far secretariat. 1.202 agency compliance',
119:'with the far. subpart 1.3 agency acquisition regulations 1.301 policy. 1.302 limitations. 1.303 publication and codification. 1.304 agency control and',
120:'compliance procedures. subpart 1.4 deviationsfromthe far 1.400 scope of subpart. 1.401 definition. 1.402 policy. 1.403 individual deviations. 1.404 class deviations.',
121:'1.405 deviations pertaining to treaties and executive agreements. subpart 1.5 agency and public participation 1.501 solicitation of agency and public',
122:'views. 1.5011 definition. 1.5012 opportunity for public comments. 1.5013 exceptions. 1.502 unsolicited proposed revisions. 1.503 public meetings. subpart 1.6 career',
123:'development, contracting authority, andresponsibilities 1.601 general. 1.602 contracting officers. 1.6021 authority. 1.6022 responsibilities. 1.6023 ratification of unauthorized commitments. 1.603 selection,',
124:'appointment, and termination of appointment for contracting officers. 1.6031 general. 1.6032 selection. 1.6033 appointment. 1.6034 termination. 1.604 contractingofficer’srepresentativecor. subpart 1.7',
125:'determinations and findings 1.700 scope of subpart. 1.701 definition. 1.702 general. 1.703 class determinations and findings. 1.704 content. 1.705 supersession',
126:'and modification. 1.706 expiration. 1.707 signatory authority. this page intentionally left blank. subpart 1.1 purpose, authority, issuance 1.1022 1.000scope of',
127:'part. this part sets forth basic policies and general information about the federal acquisition regulations system including purpose,authority, applicability, issuance,',
128:'arrangement, numbering,dissemination,implementation,supplementation, maintenance, administration, and deviation. subparts 1.2,1.3, and 1.4 prescribe administrative procedures for maintaining the far system. subpart 1.1',
129:'purpose, authority, issuance 1.101purpose. the federal acquisition regulations system is established for the codification and publication of uniform policies and',
130:'procedures for acquisition by all executive agencies. the federal acquisition regulations system consists of the federal acquisition regulationfar,which is the',
131:'primary document, and agency acquisition regulationsthat implement or supplement the far. the far system does not include internal agency guidance',
132:'of the type described in 1.301a2. 1.102statement of guiding principles for the federal acquisition system. a the vision for the',
133:'federal acquisition system is to deliver on a timely basis the best value product or service to the customer,while maintaining',
134:'the public’s trustand fulfilling public policy objectives. participants in the acquisition process should work together as a team and should',
135:'be empowered tomakedecisions within their areaof responsibility. b the federal acquisition system will 1 satisfy the customer in terms of',
136:'cost, quality,andtimeliness of thedelivered product orservice by, for example i maximizing the use of commercial products and commercial services; ii',
137:'using contractors who have a track record of successful past performance or who demonstrate a current superior ability to perform;',
138:'and iii promoting competition; 2 minimize administrative operating costs; 3 conduct business with integrity, fairness, and openness; and 4 fulfill',
139:'public policy objectives. c theacquisition team consists of all participants in government acquisition including notonly representatives of thetechnical,supply, and procurement',
140:'communitiesbut also the customersthey serve, and the contractors who provide the products and services. d the roleof each member of',
141:'the acquisition team isto exercisepersonalinitiative and sound business judgment in providing the best value productor service to meet the customer’sneeds.',
142:'in exercising initiative, government members of the acquisition team may assume if a specific strategy, practice, policy or procedure is',
143:'inthe best interests of the government and isnot addressed inthe far,nor prohibitedby law statute or case law, executive order or',
144:'otherregulation, that the strategy, practice, policy or procedure is a permissible exercise of authority. 1.1021 discussion. a introduction. the statement',
145:'of guiding principles for the federal acquisition system system represents a concise statement designed to be userfriendly for all participants',
146:'in government acquisition. the following discussion of the principles is provided in order to illuminate the meaning of the terms',
147:'and phrases used. the framework for the system includes the guiding principles for the system and thesupporting policies and proceduresin',
148:'the far. b vision. all participants in the system are responsible for making acquisition decisions that deliver the best value',
149:'product orservice to the customer. best value must be viewed from a broad perspectiveandis achievedby balancing the many competing interests',
150:'in the system. the result is a system which works better and costs less. 1.1022 performance standards. a satisfy the',
151:'customer interms ofcost, quality, and timeliness of the delivered productor service. 1 the principal customers for the product or service',
152:'provided by the system are the users and line managers, acting on behalf of the american taxpayer. 2 the system',
153:'must be responsive and adaptive to customer needs, concerns, and feedback. implementation of acquisition policies and procedures, as well as',
154:'consideration of timeliness, quality,andcostthroughout the process, musttake into account the perspective of the user of the product or service. federal',
155:'acquisition regulation 3 when selecting contractors to provide products or perform services, the government will use contractors who have a',
156:'track record of successful past performance or who demonstrate a current superior ability to perform. 4 the government must not',
157:'hesitate to communicate with industry as early as possible in the acquisition cycle to help the government determine the capabilities',
158:'available in the marketplace. government acquisition personnel are permitted and encouraged to engage in responsible and constructive exchanges with industry',
159:'e.g., see 10.002 and 15.201, so long as those exchanges are consistent with existing laws and regulations, and do not',
160:'promote an unfair competitive advantage to particular firms. 5 the government will maximize its use of commercial products and commercial',
161:'services in meeting government requirements. 6 it is the policy of the system to promote competition in the acquisition process.',
162:'7 the system must perform in atimely, high quality, and costeffective manner. 8 all members ofthe teamare required to employ',
163:'planningas an integral part of the overall process of acquiring products or services. although advance planning is required, each member',
164:'ofthe teammust be flexible in order to accommodate changing or unforeseen mission needs. planning is a tool for the accomplishment',
165:'of tasks, and application of its discipline should be commensurate with the size and nature of a given task. b',
166:'minimize administrative operating costs. 1 in order to ensure that maximum efficiency is obtained, rules,regulations, and policies should be promulgated',
167:'only when their benefits clearly exceed the costs of their development, implementation, administration, and enforcement. this applies to internal administrative',
168:'processes, including reviews, and to rules and procedures applied to the contractor community. 2 the system must provide uniformity whereitcontributes',
169:'to efficiency or where fairness or predictability is essential. thesystemshouldalso, however, encourage innovation, and local adaptation where uniformity is not',
170:'essential. c conduct business with integrity,fairness, and openness. 1 an essential consideration in every aspect of the system is maintaining',
171:'the public’s trust. not only must the system have integrity, but theactions of eachmember of the team must reflect integrity,',
172:'fairness, and openness. thefoundation ofintegrity within the system is acompetent, experienced,and welltrained, professional workforce. accordingly, each member of the team',
173:'isresponsible and accountable for thewise use of public resources aswellas acting ina manner which maintainsthe public’strust. fairnessandopenness require open communication',
174:'among team members, internal and external customers, and the public. 2 to achieveefficient operations,the system must shift its focus from',
175:'risk avoidance to one of risk management. the cost to the taxpayer of attempting to eliminate all risk is prohibitive.',
176:'the executive branch will accept and manage the risk associated withempoweringlocal procurement officials to take independent actionbased on theirprofessional judgment.',
177:'3 the government shall exercise discretion, use sound business judgment, and comply with applicable laws and regulations in dealing with',
178:'contractors and prospective contractors. all contractors and prospective contractors shall be treated fairly and impartially but need not be treated',
179:'the same. d fulfill public policy objectives. the system must support the attainment of public policy goals adopted by the',
180:'congress and thepresident. in attaining these goals,andin itsoveralloperations, theprocess shall ensure the efficient use of public resources. 1.1023 evaluating agency',
181:'acquisition processes. a agencies are encouraged to develop internal procedures seeking voluntary feedback from interested parties in an acquisition to',
182:'assess process strengths and weaknessesandimprove effectiveness and efficiency of theacquisitionprocess. agencies may— 1 utilize a variety of feedback mechanisms available',
183:'to the public e.g., surveys, inperson, and/or group exchanges; 2 utilize the core preaward and debriefing survey questions at https://www.acquisition.gov/360;',
184:'and 3 seek additional feedback on targeted aspects ofan acquisition throughoutits lifecycle e.g., performance standards at 1.1022 or postaward contract',
185:'administration responsibilities at 42.302. b contracting officersare encouragedto insert the provision 52.2011, acquisition 360: voluntary survey,in accordance with agency procedures.',
186:'c contracting officers shall not review information until after contract award and shall not consider it in the award decision.',
187:'1.1024 acquisition team. the purpose of definingthe federal acquisition team team in the guiding principles is to ensure thatparticipants in',
188:'the system are identified beginning with the customer and ending with the contractor of the product or service. by identifying',
189:'subpart 1.1 purpose, authority, issuance 1.1052 theteam members in this manner, teamwork, unity ofpurpose, and open communicationamong themembersof the team',
190:'in sharing the vision and achieving the goal of the system are encouraged. individual team members will participate in the',
191:'acquisition process at the appropriate time. 1.1025 roleof theacquisitionteam. a government members of the team must be empowered to make',
192:'acquisition decisionswithin their areas of responsibility, including selection, negotiation,and administration ofcontracts consistentwith the guiding principles. in particular, the contracting officer',
193:'must have the authority to the maximum extentpracticable and consistent with law, to determine the application of rules, regulations, and',
194:'policies, on a specific contract. b the authority to make decisions and the accountability for the decisions made will be',
195:'delegated to the lowest level within the system, consistent withlaw. c theteam must be prepared to perform thefunctions and duties',
196:'assigned. the government is committed to provide training, professional development, and other resources necessary for maintaining and improving the knowledge,',
197:'skills, and abilities for all government participants onthe team, both with regardto theirparticular areaof responsibility within the system, and their',
198:'respectiverole as a team member. the contractorcommunityis encouragedto do likewise. d the system will foster cooperative relationships between the government',
199:'and its contractors consistent with its overriding responsibility to the taxpayers. e thefar outlines procurement policies and procedures that are',
200:'used by members of theacquisition team. ifa policy or procedure, or a particular strategy or practice, is in the best',
201:'interest of the government and is not specifically addressed in thefar, nor prohibited by law statute or case law, executive',
202:'order or other regulation, government members of the team should not assume it isprohibited. rather, absence of direction should be',
203:'interpretedas permitting the team to innovate and use sound business judgment that is otherwise consistent with law and within the',
204:'limits of their authority. contracting officers should take the lead in encouraging business process innovations and ensuring that business decisions',
205:'are sound. 1.103 authority. a thedevelopment of the far system is in accordance with the requirementsof 41 u.s.c. chapter 13,',
206:'acquisition councils. b the far is prepared, issued, and maintained,and the far system is prescribed jointly by thesecretary of defense,',
207:'theadministratorof general services, and the administrator, national aeronautics and space administration,under their several statutory authorities. 1.104 applicability. thefarappliestoallacquisitionsasdefinedin part 2ofthefar,exceptwhereexpresslyexcluded.',
208:'1.105issuance. 1.1051 publication and code arrangement. a thefar ispublished in— 1 the daily issue of the federal register; 2 cumulated',
209:'form in the code of federal regulations cfr; and 3 a separate edition available at https://www.acquisition.gov/browse/index/far. b the far is',
210:'issued aschapter 1 oftitle48,cfr. subsequent chaptersare reserved for agency acquisition regulations thatimplementorsupplementthefarsee subpart 1.3. thecfrstaffwillassignchapternumberstorequestingagencies. c each numbered unit or',
211:'segment e.g., part, subpart, section, etc. of an agency acquisition regulation that is codified in thecfr shall beginwith the chapter',
212:'number. however, the chapter number assigned to the farwill not beincluded inthe numbered units or segmentsof the far. 1.1052 arrangement',
213:'of regulations. a general. the far is divided into subchapters, parts each of which covers a separate aspect of acquisition,',
214:'subparts, sections, and subsections. b numbering. 1 the numbering system permitsthe discrete identification of every far paragraph. the digitsto the',
215:'left of thedecimal point representthe part number. the numbers to the right of the decimal point and tothe left of',
216:'the dash represent, in order,the subpart one or two digits, and the section two digits. thenumber to the right of',
217:'the dash represents federal acquisition regulation the subsection. subdivisions may be used at the section and subsection level to identify',
218:'individual paragraphs. the following example illustrates the makeup of a farnumber citation note thatsubchaptersare not used withcitations: 2 subdivisions below',
219:'the section or subsection level consist of parenthetical alpha numerics using the following sequence: a1ia1i c references and citations. 1',
220:'unless otherwise stated, crossreferences indicate parts, subparts, sections, subsections, paragraphs, subparagraphs, or subdivisions of this regulation. 2 this regulation may',
221:'be referred to as the federal acquisition regulation or the far. 3 using the far coverage at 9.1064d as a',
222:'typical illustration, reference to the– ipartwouldbe far part 9outsidethefarand part9 withinthefar. iisubpartwouldbe far subpart 9.1 outside thefar and subpart 9.1',
223:'within the far. iii section would be far 9.106 outside thefar and 9.106 within the far. iv subsection wouldbe far',
224:'9.1064 outside the far and 9.1064 within the far. v paragraphwouldbe far 9.1064d outside the far and 9.1064d within the',
225:'far. 4 citations of authority e.g., statutes or executive orders in the farshallfollow the federal register form guides. 1.1053 copies.',
226:'copies of the farin cfr form may be purchased from the bookstoreof the government publishingoffice gpo, washington,dc 20402. 1.106 omb',
227:'approval under the paperwork reduction act. the paperwork reduction act of 1980 44 u.s.c. chapter 35 imposes a requirement on',
228:'federal agencies to obtain approval from theoffice of management and budgetombbefore collecting information from 10 or more members of the',
229:'public. the information collection and recordkeeping requirements contained in this regulation have been approved by the omb. the following omb',
230:'control numbers apply: far segment omb control number far segment omb control number 14.205 90000037 subpart 49.6 contract 90000012 15.201c',
231:'90000037 termination forms and 15.305a2ii 90000142 formats 15.4072e 90000048 50.1033 90000029 19.301 90000163 50.1034 90000029 22.8 12500003 50.1043 90000029 22.14',
232:'12500005 51.202 90000032 22.16 12450004 51.203 90000032 31.20546 90000079 52.2011 90000204 32.408b 90000073 52.2032 90000018 33.2 90000035 52.2037 90000018 36.2132',
233:'90000037 52.20313 90000018 42.1203a 90000076 52.20316 90000018 42.1204e and f 90000076 52.2043 90000189 42.1205a 90000076 52.2046 90000189 42.1503d 90000142 52.2047',
234:'90000189 47.303 90000061 52.20410d2 and 3 30900292 52.20412 90000189 subpart 1.1 purpose, authority, issuance 1.106 far segment omb control number',
235:'52.20413 90000189 52.20414 90000189 52.20415 90000189 52.20420 90000189 52.20423 90000189 52.20424 90000199 52.20425 90000199 52.20426 90000199 52.20429 90000205 52.20430 90000205',
236:'52.2073 90000082 52.2074 90000082 52.2091 90000198 52.2092 90000198 52.2095 90000198 52.2096 90000198 52.2097 90000198 52.2099 90000198 52.20910 90000198 52.20911 90000198',
237:'52.20912 90000198 52.20913 90000198 52.2117 90000153 52.2118 90000153 52.2119 90000153 52.212110 90000142 52.2121j 90000189 52.2123b 90000189 52.2123b2 90000136 52.2123h 90000198',
238:'52.2123l 90000189 52.2123n 90000198 52.2123q 90000198 52.2125d 90000034 52.21414 90000047 52.21426 90000034 52.21428 90000013 52.2151c2iv 90000048 52.2152 90000034 52.2156 90000047',
239:'52.2159 90000048 52.21512 90000013 52.21513 90000013 52.21514 90000048 52.21519 90000048 52.21520 90000013 52.21521 90000013 52.21522 90000048 52.21523 90000048 52.2162 90000067',
240:'52.2163 90000067 52.2164 90000067 far segment 52.2165 52.2166 52.2167 52.21615 52.21616 52.21617 52.2199 52.21928 52.21929 52.21930 52.2222 52.2224 52.2226 52.2228',
241:'52.22211 52.22218 52.22221 52.22222 52.22223 52.22225 52.22226 52.22227 52.22232 52.22233 52.22234 52.22235 52.22236 52.22237 52.22238 52.22240 52.22241 52.22246 52.22250 52.22254',
242:'52.22255 52.22256 52.22262 52.2232 52.2235 52.2237 52.2239 52.22311 52.22312 52.22322 52.2243 52.2252 52.2254 52.2256 52.2258 52.2259 52.22510 omb control number',
243:'90000067 90000067 90000069 90000069 90000067 90000067 90000007 90000163 32450374 32450374 90000066 12350023 12350023 and 90000066 12350008 and 12350018 90000066 90000066',
244:'12500003 12500003 12500003 12500003 12500001 and 12500003 12500003 90000154 90000066 90000066 12500004 12500005 12500004 12930005 12450004 12350007 and 12350018 90000066',
245:'90000188 16150092 12350018 90000188 12350018, 12350021 and 12350029 90000107 90000107 90000107 90000107 90000107 90000107 90000107 90000182 90000024 90000024 90000024 90000024',
246:'90000024 90000024 federal acquisition regulation far segment omb control number 52.22511 90000024 52.22512 90000024 52.22518 90000161 52.22521 90000024 52.22523 90000024',
247:'52.22526 90000184 52.2267 90000207 52.2272 90000095 52.2276 90000095 52.2279 90000095 52.22711 90000095 52.22713 90000095 52.22714 90000095 52.22715 90000095 52.22716 90000095',
248:'52.22717 90000095 52.22718 90000095 52.22719 90000095 52.22720 90000095 52.22721 90000095 52.22723 90000095 52.2281 90000001 52.2282 90000001 52.22811 90000001 52.22812 90000135',
249:'52.22813 90000001 52.22814 90000001 52.22815 90000001 52.22816 90000001 52.22817 90000001 52.2292 90000059 52.22911 15452263 52.22912 15452263 52.2306 90000129 52.2321 90000073',
250:'52.2322 90000073 52.2323 90000073 52.2324 90000073 52.2325 90000073 52.2326 90000073 52.2327 90000073 52.23210 90000073 52.23212 90000073 52.23216 90000010 52.23220 90000073',
251:'52.23222 90000073 52.23227 90000073 52.23228 90000138 52.23229 90000138 52.23230 90000138 52.23231 90000138 52.23232 90000138 far segment 52.23234 52.2331 52.2365 52.23613',
252:'alt.i 52.23615 52.23619 52.23710 52.2424 52.2425 52.24213 52.2434 52.2436 52.2437 52.2442 52.2451f and j 52.2459d1 52.2462 52.2463 52.2464 52.2465 52.2466',
253:'52.2467 52.2468 52.24612 52.24615 52.24626 52.2471 52.2472 52.2476 52.24729 52.24730 52.24731 52.24732 52.24733 52.24734 52.24735 52.24736 52.24737 52.24738 52.24741 52.24742',
254:'52.24743 52.24744 52.24748 52.24751 52.24752 52.24753 52.24757 52.24760 52.24763 52.24764 52.24765 omb control number 90000073 90000035 90000064 90000064 90000064 90000064',
255:'90000152 90000069 90000069 90000069 90000026 90000026 90000026 90000149 90000075 90000075 90000077 90000077 90000077 90000077 90000077 90000077 90000077 90000077 90000077 90000077',
256:'90000061 90000061 90000061 90000061 90000061 90000061 90000061 90000061 90000061 90000061 90000061 90000061 90000061 90000061 90000061 90000061 90000061 90000061 90000061 90000061',
257:'90000061 90000061 90000061 90000061 90000061 90000061 subpart 1.1 purpose, authority, issuance 1.108 far segment omb control number far segment omb',
258:'control number 52.24767 90000061 sf1405 90000011 52.24768 90000061 sf1406 90000011 52.2481 90000027 sf1407 90000011 52.2482 90000027 sf1408 90000011 52.2483 90000027',
259:'sf1413 90000066 52.2501 90000029 sf1414 90000001 sf24 90000001 sf1415 90000001 sf25 90000001 sf1416 90000001 sf25a 90000001 sf1418 90000001 sf25b 90000001',
260:'sf1428 90000075 sf28 90000001 sf1429 90000075 sf34 90000001 sf1435 90000012 sf35 90000001 sf1436 90000012 sf273 90000001 sf1437 90000012 sf274 90000001',
261:'sf1438 90000012 sf275 90000001 sf1439 90000012 sf294 90000007 sf1440 90000012 sf330 90000157 sf1443 90000012 sf1403 90000011 sf1444 90000066 sf1404 90000011',
262:'dd form 254 07040567 1.107certifications. in accordance with 41 u.s.c. 1304, a new requirement for a certification by a contractor',
263:'or offeror may not be included in this chapter unless a the certification requirement is specifically imposed by statute; or',
264:'b written justification for suchcertification is providedto the administratorforfederal procurement policy by the federal acquisition regulatory council, and the administrator',
265:'approves in writing the inclusion of such certification requirement. 1.108 far conventions. the following conventions provideguidance for interpreting thefar: a',
266:'words and terms. definitions in part 2 apply to the entire regulation unless specifically defined in another part, subpart, section,',
267:'provision, or clause. words or terms defined in aspecific part, subpart, section,provision, or clause have that meaning when used in',
268:'that part, subpart, section, provision, or clause. undefined words retain their common dictionary meaning. b delegation of authority. each authority',
269:'is delegable unless specifically stated otherwise see 1.1025b. c dollar thresholds. unless otherwise specified, a specific dollar threshold for the',
270:'purpose of applicability is the final anticipated dollar value of the action, including the dollar value of all options. if',
271:'the action establishes a maximum quantity of supplies or services to be acquired or establishes a ceiling price or establishes',
272:'the final price to be based on future events, the final anticipated dollar value must be the highest final priced',
273:'alternative to the government, including the dollar value of all options. d application of far changes to solicitations and contracts.',
274:'unless otherwise specified 1 far changes applyto solicitations issued on orafter the effective date of the change; 2 contracting officersmay,',
275:'at their discretion, include thefar changes in solicitations issued before the effective date, provided awardof the resulting contracts occurs onor',
276:'after theeffective date; and 3 contracting officersmay, at their discretion, include thechangesin any existing contractwith appropriate consideration. e citations. when',
277:'the far cites a statute, executiveorder,officeof management and budgetcircular, office of federal procurement policy policy letter, or relevant portionof the',
278:'code of federal regulations, the citation includes all applicable amendments, unless otherwise stated. federal acquisition regulation f imperative sentences. when',
279:'an imperative sentence directs action, the contracting officer is responsible for the action, unless another party is expressly cited. 1.109',
280:'statutory acquisition–related dollar thresholdsadjustment for inflation. a 41 u.s.c. 1908 requires that the far councilperiodically adjustall statutoryacquisitionrelated dollar thresholds in',
281:'thefar for inflation, except as provided inparagraph cof this section. this adjustment iscalculatedevery 5 years, starting in october 2005, using',
282:'the consumer price index for all urban consumers cpiu, and supersedes the applicability of any other provision of law that',
283:'provides for the adjustment of such acquisitionrelated dollar thresholds. b the statute defines an acquisitionrelated dollar threshold as a dollar',
284:'threshold that is specified in law as a factor in defining thescope of the applicability of a policy, procedure, requirement,',
285:'orrestriction provided in that law to the procurement of supplies or services by an executive agency, as determinedby the far',
286:'council. c the statute does not permit escalation of acquisitionrelated dollar thresholds established by: 1 40 u.s.c. chapter 31— i',
287:'subchapter iii, bonds; and iisubchapter iv, wage rate requirementsconstruction; 2 41 u.s.c. chapter 67, service contract labor standards; or 3',
288:'the united states trade representative pursuant to the authority of thetradeagreements act of 1979 19 u.s.c. 2511 et seq.. d',
289:'the statute, as amended by section 821 ofthe national defense authorization act for fiscal year 2018pub. l. 11591,requiresthe adjustment described',
290:'inparagraph aof this section be applied to contractsandsubcontractswithout regard to the date of award of the contract or subcontract. therefore,',
291:'if a threshold is adjusted for inflation as set forth in paragraph a of this section, then the changed threshold',
292:'applies throughout the remaining term of the contract, unless there is a subsequent threshold adjustment. e a matrix showing calculation',
293:'of the most recent escalation adjustments of statutory acquisitionrelated dollar thresholds is available via the internet at http://www.regulations.gov search far',
294:'case 2019013, open the docket folder, and go to the supporting documents file. 1.110positive law codification. a public law 107217',
295:'revised, codified, and enacted as title 40, united states code, public buildings,property, and works, certain general and permanent laws of',
296:'theunited states. b public law 111350 revised, codified, and enacted astitle41,united statescode, publiccontracts, certain general and permanent laws of the',
297:'united states. c the following table provides cross references between the historical titles of the acts, and the current reference',
298:'in title 40 or title 41. table1 to paragraph c historical title of act division/ chapter/ subchapter title antikickback act',
299:'41 u.s.c. chapter 87 kickbacks brooks architect engineer act 40 u.s.c. chapter 11 selection of architects and engineers buy american',
300:'act 41 u.s.c. chapter 83 buy american contract disputes act of 1978 41 u.s.c. chapter 71 contract disputes contract work',
301:'hours and safety standards act 40 u.s.c. chapter 37 contract work hours and safety standards davisbacon act 40 u.s.c. chapter',
302:'31, subchapter iv wage rate requirements construction drugfree workplace act 41 u.s.c. chapter 81 drugfree workplace federal property and administrative',
303:'services act of 1949, title iii. 41 u.s.c. div. c of subtitle i procurement subpart 1.1 purpose, authority, issuance 1.110',
304:'historical title of act division/ chapter/ subchapter title javitswagneroday act 41 u.s.c. chapter 85 committee for purchase from people who',
305:'are blind or severely disabled miller act 40 u.s.c. chapter 31, subchapter iii bonds office of federal procurement policy act',
306:'41 u.s.c. div. b of subtitle i office of federal procurement policy procurement integrity act 41 u.s.c. chapter 21 restrictions',
307:'on obtaining and disclosing certain information service contract act of 1965 41 u.s.c. chapter 67 service contract labor standards truth',
308:'in negotiations act 41 u.s.c. chapter 35 truthful cost or pricing data walshhealey public contracts act 41 u.s.c. chapter 65',
309:'contracts for materials, supplies, articles, and equipment exceeding $10,000. exceptsections3302, 3501b, 3509, 3906, 4710, and 4711. except sections 1704 and',
310:'2303. this page intentionally left blank. 1.110 subpart 1.2 administration 1.202 subpart 1.2 administration 1.201 maintenance of the far. 1.2011',
311:'the two councils. a subject to the authorities discussed in 1.103, revisions to the far will be prepared and issued',
312:'through the coordinated action of two councils, the defense acquisition regulations council dar council and the civilian agency acquisition council',
313:'caa council. members of these councils shall 1 represent their agencies on a fulltime basis; 2 be selected for their',
314:'superior qualifications in terms of acquisition experience and demonstrated professional expertise; and 3 be funded by their respective agencies. b',
315:'the chairperson of the caa council shall be the representative of the administrator of general services. the other members of',
316:'this council shall be one each representative from the 1 departments ofagriculture, commerce, education, energy, health and human services, homeland',
317:'security, housing and urban development,interior,justice, labor, state, transportation, treasury, and veterans affairs; and 2 environmental protection agency, national aeronauticsandspace administration,',
318:'social security administration, small business administration, and u.s. agency for international development. c the director of the dar council shall',
319:'be the representative of the secretary of defense. the operation of the dar council will be as prescribed by the',
320:'secretary of defense. membership shall include representatives of the military departments,the defense logistics agency, and thedefense contractmanagement agency. d responsibility',
321:'for processing revisions to thefar isapportioned by the twocouncils so that eachcouncil has cognizance over specified parts or subparts. e',
322:'each council shall be responsible for 1 agreeing on all revisions with the other council; 2 submitting tothe far secretariat',
323:'see 1.2012 the information required under paragraphs 1.5012b and e for publication in the federal register of a notice soliciting',
324:'comments on a proposed revision tothe far; 3 considering all comments received in response to notice of proposed revisions; 4',
325:'arranging for public meetings; 5 preparing any final revision in the appropriate far formatand language; and 6 submitting any final',
326:'revisionto thefar secretariat for publication in the federal register. 1.2012 far secretariat. a thegeneral services administrationis responsible for establishingandoperating the',
327:'far secretariatto publish and distribute the farthroughthe code of federal regulations system including a separate online edition with periodic updates.',
328:'b additionally, the far secretariat shall provide the two councils withcentralized services for 1 keeping a synopsisof current far casesandtheir',
329:'status; 2 maintaining official files; 3 assisting parties interested in reviewing the files on completed cases; and 4 performing miscellaneousadministrativetasks',
330:'pertaining to the maintenanceof the far. 1.202 agency compliance with the far. agency compliance with the far see 1.304 is',
331:'the responsibility of the secretary of defense for the military departments and defense agencies, the administrator of general services for',
332:'civilian agencies other than nasa, and the administrator of nasa for nasa activities. this page intentionally left blank. subpart 1.3',
333:'agency acquisition regulations 1.304 subpart 1.3 agency acquisition regulations 1.301 policy. a 1subjecttotheauthoritiesinparagraphcofthissectionandotherstatutoryauthority,anagencyheadmayissueor authorizethe issuance of agency acquisition regulationsthat implement',
334:'or supplement the far and incorporate, together with thefar, agency policies, procedures, contract clauses, solicitationprovisions, and formsthat govern the contracting',
335:'process or otherwise controlthe relationship between theagency,including any of its suborganizations, and contractors or prospective contractors. 2 subjectto the authorities',
336:'in paragraph c of this section and other statutoryauthority, an agency head mayissue or authorizethe issuance of internal agency guidance',
337:'at any organizational level e.g., designations and delegations of authority, assignments of responsibilities, workflow procedures, and internal reporting requirements. b',
338:'agency heads shall establish procedures to ensure that agency acquisition regulations are published for comment in the federal register in',
339:'conformance with the procedures in subpart 1.5 and as required by 41 u.s.c. 1707, and other applicable statutes, when theyhavea',
340:'significant effect beyond the internal operating procedures of the agency or have a significant cost or administrative impacton contractors or',
341:'offerors. however, publication is not required for issuancesthat merely implement or supplement higher level issuances thathavepreviously undergone the public comment',
342:'process, unless such implementation or supplementation results in an additional significant cost or administrative impact on contractors or offerors or',
343:'effect beyond theinternaloperating procedures of the issuingorganization. issuances under 1.301a2 need not be publicized for public comment. c when adopting',
344:'acquisition regulations, agencies shall ensure that they comply with the paperwork reduction act 44 u.s.c. 3501, et seq. as implemented',
345:'in 5 cfr 1320 see 1.106 and the regulatory flexibility act 5 u.s.c. 601, et seq.. normally,when alawrequirespublication of a',
346:'proposed regulation, the regulatoryflexibility act applies and agencies must preparewritten analyses, or certifications as provided in the law. d agency',
347:'acquisition regulations implementing or supplementing the far are, for 1 the military departments and defense agencies, issued subject to the',
348:'authority of the secretary of defense; 2 nasa activities, issued subject to the authorities of the administrator of nasa; and',
349:'3 the civilian agencies other than nasa, issued by the heads of those agencies subject to the overall authority of',
350:'the administrator of general services or independent authority the agency may have. 1.302limitations. agency acquisition regulations shall be limited to',
351:'a those necessary to implement far policies and procedures withinthe agency; and b additional policies,procedures,solicitation provisions, or contract clauses that',
352:'supplement the farto satisfy the specific needs of the agency. 1.303publication and codification. a agencywide acquisition regulations shall be published',
353:'in the federal register as required by law, shall be codified underan assignedchapter in title 48, code of federal regulations,',
354:'and shall parallel thefar in format, arrangement, and numbering system but see 1.1051c. coverage in an agency acquisition regulation that',
355:'implements a specific part, subpart, section, orsubsection of the far shall be numberedand titled to correspond tothe appropriate farnumber and',
356:'title. supplementary material for whichthere is no counterpart in the far shall be codified using chapter,part,subpart, section, or subsection numbers',
357:'of 70 and up e.g., for thedepartment ofinterior,whose assigned chapternumber in title 48 is 14, part 1470, subpart 1401.70, section',
358:'1401.370, or subsection 1401.30170. b issuances under 1.301a2 need not be published in the federal register. 1.304 agency controland compliance',
359:'procedures. a under the authorities of 1.301d, agencies shall control and limit issuance of agency acquisition regulations and, in particular,',
360:'local agency directives that restrain the flexibilities found in the far, and shall establish formal procedures for the review of',
361:'these documents to assure compliance with this part 1. b agency acquisition regulations shall not 1 unnecessarilyrepeat, paraphrase, or otherwise',
362:'restate material contained in the far or higherlevel agency acquisition regulations; or 2 except as required by law or as',
363:'provided in subpart 1.4,conflictorbeinconsistentwithfarcontent. federal acquisition regulation c agencies shall evaluate all regulatory coverage in agency acquisition regulations to determine',
364:'if it could apply to other agencies. coverage that is not peculiar to one agency shall be recommended for inclusion',
365:'in the far. subpart 1.4 deviations from the far 1.404 subpart 1.4 deviations from the far 1.400scope of subpart. this',
366:'subpart prescribes the policies andprocedures for authorizing deviations from the far. exceptions pertainingto the useofformsprescribedbythefararecoveredin part 53 rather than in',
367:'this subpart. 1.401definition. deviation means any one or combination of the following: a theissuance or useof apolicy, procedure,solicitation provisionsee definition',
368:'in 2.101, contract clause see definition in 2.101, method, or practice of conducting acquisition actions of any kind at any',
369:'stage of the acquisition process that is inconsistentwith the far. b the omission of any solicitation provision or contract clause',
370:'when its prescription requires its use. c the use of any solicitation provision or contract clause with modified or alternate',
371:'language that is not authorized by the far seedefinition of modification in 52.101a and definition of alternate in 2.101. d',
372:'the use of a solicitation provision orcontract clause prescribed by the far on a substantiallyas follows or substantially the same',
373:'as basis see definitions in 2.101 and 52.101a, if such use is inconsistent with the intent, principle, or substance of',
374:'theprescription or relatedcoverage on the subject matter in the far. e theauthorizationof lesser or greater limitations on the useof any',
375:'solicitation provision, contractclause, policy,or procedure prescribed bythe far. f the issuance of policies or procedures that govern the contracting process',
376:'or otherwise control contracting relationships that are not incorporated into agency acquisition regulations in accordance with 1.301a. 1.402 policy. unlessprecluded',
377:'by law, executive order, or regulation,deviationsfrom the far maybe grantedas specified inthis subpart when necessary to meet the specific needs',
378:'and requirements of each agency. the developmentandtesting ofnew techniques and methods of acquisition should notbe stifled simply becausesuch action would',
379:'require a far deviation. the fact that deviation authority is required should not, of itself, deter agencies in their development',
380:'and testing of new techniques and acquisition methods. refer to 31.101 for instructions concerning deviations pertaining to the subject matter',
381:'of part 31, contract cost principles and procedures. deviations are not authorized with respect to 30.2013 and 30.2014, or the',
382:'requirements of the cost accounting standards board casb rules and regulations 48 cfr chapter 99. refer to 30.2015 for instructions',
383:'concerning waivers pertaining to cost accounting standards. 1.403individual deviations. individual deviations affect only one contract action, and,unless 1.405e is applicable,',
384:'may be authorized by the agency head. the contracting officermust documentthe justification and agency approval in the contract file. 1.404class',
385:'deviations. class deviations affect more than one contract action. whenan agencyknows thatitwill require a class deviation ona permanent basis, it',
386:'should propose a far revision, if appropriate. civilian agencies, other than nasa, must furnish a copy of eachapproved class deviationto',
387:'thefar secretariat. a for civilian agencies except nasa, class deviations may be authorized by agency heads or their designees, unless',
388:'1.405e is applicable. delegation of this authorityshallnot be made belowthe head of a contracting activity. authorization of class deviations by',
389:'agency officials is subjectto the following limitations: 1 an agency official who may authorize a class deviation, before doing so,shallconsult',
390:'with the chairperson of the civilian agency acquisition councilcaa council, unless thatagency official determines that urgency precludes such consultation. 2',
391:'recommended revisions to the farshallbe transmitted to the far secretariat byagency headsor their designees for authorizing class deviations. b for',
392:'dod, class deviations shall be controlled,processed,andapproved in accordance with the defense far supplement. c for nasa, class deviations shall be',
393:'controlled and approved by the assistant administrator for procurement. deviations shall be processed in accordance with agency regulations. federal acquisition',
394:'regulation 1.405 deviations pertaining to treaties and executive agreements. a executive agreements, as used in this section, means governmenttogovernment agreements,',
395:'including agreements with international organizations, towhich the united states is aparty. b any deviation from the far required to comply',
396:'with a treaty to which theunited statesis a partyis authorized, unless thedeviation would be inconsistent with far coverage based ona',
397:'law enacted after the execution ofthe treaty. c any deviation from thefar required to complywith an executiveagreement is authorized unless',
398:'the deviationwould beinconsistent with farcoverage based on law. d for civilian agencies other than nasa, a copy of the text',
399:'deviation authorized under paragraph b or c of this section shall be transmitted to the far secretariatthrougha centralagency control point.',
400:'e for civilian agencies other than nasa, if a deviation required to comply with a treaty or an executive agreement',
401:'is not authorized by paragraph b or c ofthissection, then the request for deviationshallbe processed through thefar secretariat to the',
402:'civilian agency acquisition council. subpart 1.5 agency and public participation 1.503 subpart 1.5 agency and public participation 1.501solicitation of agency',
403:'and public views. 1.5011 definition. significant revisions, as used in this subpart, means revisions that alter the substantive meaning of',
404:'any coverage in the far system and which have a significant cost or administrative impact oncontractors orofferors, orsignificant effect beyond',
405:'the internal operating procedures of the issuing agency. thisexpression, for example, doesnot includeeditorial, stylistic, or other revisions that have no',
406:'impact on the basic meaning of the coverage being revised. 1.5012 opportunity for public comments. a views of agenciesandnongovernmental parties',
407:'or organizations will beconsidered in formulatingacquisition policies and procedures. b the opportunity to submit written comments on proposed significant revisions',
408:'shall be provided by placing a notice in the federal register. each of these notices shall include 1 the text',
409:'of the revision or,if it isimpracticable to publish the full text, a summaryof the proposal; 2 the address and telephone',
410:'number of the individual from whom copies of the revision, in full text, can be requested and to whom comments',
411:'thereon should be addressed; and 3 when 1.5013b is applicable,a statement thatthe revision iseffective on a temporary basis pending completionof',
412:'the public comment period. c a minimum of 30 days and, normally, atleast 60 days will be given for the',
413:'receiptof comments. 1.5013 exceptions. a comments need not be solicited when the proposed coverage does not constitute a significant revision.',
414:'b advance comments need not besolicited whenurgentand compelling circumstances make solicitation of comments impracticable prior to theeffective date ofthe coverage,',
415:'suchas when a new statute must beimplemented in a relatively short period of time. in such case, the coverage shall',
416:'be issued on a temporary basis and shall provide for at least a 30 day public comment period. 1.502 unsolicited',
417:'proposed revisions. consideration shall also be given to unsolicited recommendations for revisions that have been submitted in writing with sufficient',
418:'data and rationale to permit their evaluation. 1.503public meetings. public meetings may beappropriatewhen adecision to adopt, amend,or delete far coverage',
419:'islikely to benefit from significant additional views and discussion. this page intentionally left blank. subpart 1.6 career development, contracting authority,',
420:'and responsibilities 1.6022 subpart 1.6 career development, contracting authority, and responsibilities 1.601general. a unless specifically prohibited by another provision of',
421:'law, authorityand responsibility to contract for authorized supplies and services are vested in the agency head. the agency head may',
422:'establish contracting activities and delegate broad authorityto manage the agency’s contracting functions to heads of such contracting activities. contracts may',
423:'be enteredinto and signed onbehalf of the government only by contractingofficers. in some agencies, a relatively small number of high',
424:'levelofficialsare designated contracting officers solely byvirtueof their positions. contracting officers below the level ofa head of a contracting activity shall',
425:'be selected and appointed under 1.603. b agency heads may mutually agree to 1 assign contracting functions and responsibilities from',
426:'one agency to another; and 2 create joint or combined offices to exercise acquisition functionsandresponsibilities. 1.602contracting officers. 1.6021 authority. a',
427:'contracting officers have authority to enter into, administer, or terminate contracts and make relateddeterminations and findings. contracting officers may bind',
428:'the government only to the extent of the authority delegated tothem. contracting officers shall receive from the appointing authority see',
429:'1.6031 clear instructions in writing regarding the limits of their authority. informationon the limitsof the contractingofficers’ authority shall be readily',
430:'available to the public and agency personnel. b no contractshallbe entered into unless thecontracting officer ensuresthat all requirementsof law, executive',
431:'orders, regulations, and all other applicable procedures, including clearances and approvals, have been met. 1.6022 responsibilities. contracting officersare responsible for',
432:'ensuring performance of all necessary actions for effective contracting, ensuring compliance with the terms of the contract, and safeguarding the',
433:'interests of the united states in its contractual relationships. in order toperformthese responsibilities, contracting officers should be allowed wide latitude',
434:'to exercise business judgment. contracting officersshall a ensure that the requirements of 1.6021b have been met,andthat sufficient funds are available',
435:'for obligation; b ensure that contractors receive impartial, fair, and equitable treatment; c request and consider the advice of specialists',
436:'inaudit,law, engineering, information security,transportation,and other fields, as appropriate; and d designate and authorize, in writing and in accordance with agency',
437:'procedures, a contracting officer’s representative cor on all contracts and orders other than those that are firmfixed price, and for',
438:'firmfixedprice contracts and orders as appropriate, unless the contractingofficer retains andexecutes the cor duties. see 7.104e. ×cor 1 shall be',
439:'a government employee, unless otherwise authorized in agency regulations; 2 shall be certified andmaintaincertification in accordance with the current office',
440:'of management andbudget memorandum onthe federalacquisition certification for contracting officer representatives faccorguidance, or for dod, in accordance with the current',
441:'applicable dod policy guidance; 3 shall be qualified by training and experience commensurate with the responsibilities to be delegated in',
442:'accordance with agency procedures; 4 may not be delegated responsibility to perform functions that have been delegated under 42.202 to',
443:'a contract administration office, but may be assigned some duties at 42.302by the contracting officer; 5 has noauthority tomake any',
444:'commitments or changes thataffect price, quality, quantity, delivery, or other terms and conditions of the contract nor in any way',
445:'direct the contractor or its subcontractors to operate in conflict with the contract terms and conditions; 6 shall be nominated',
446:'either by the requiring activity or in accordance with agency procedures; and 7 shall be designated in writing, with copies',
447:'furnished to the contractor and the contractadministration office ispecifying theextent of thecor’s authorityto act on behalf of thecontracting officer; iiidentifying',
448:'the limitations on the cor’s authority; iii specifying the period covered by the designation; iv stating the authority is not',
449:'redelegable; and federal acquisition regulation v stating that the cor may be personally liable for unauthorized acts. 1.6023 ratification of',
450:'unauthorized commitments. a definitions. ratification, as used in this subsection, means the act of approving an unauthorized commitment by an',
451:'official who hasthe authority to do so. unauthorized commitment, as used in this subsection, means an agreement that is not',
452:'binding solely because the government representative who made it lacked the authority to enter into that agreement on behalf of',
453:'the government. b policy. 1 agencies should take positive action to preclude, to the maximum extent possible, the need for',
454:'ratification actions. although procedures are provided in this section for use in those cases where the ratification of an unauthorized',
455:'commitmentis necessary, these procedures may not be used in amanner thatencourages such commitments being made by government personnel. 2 subjectto',
456:'the limitations in paragraph c of this subsection,the head of the contracting activity, unless ahigher levelofficial isdesignated bythe agency, may',
457:'ratify an unauthorized commitment. 3 the ratification authority in paragraph b2 of this subsection may be delegated in accordance with',
458:'agency procedures, but in no case shall theauthority be delegated below the level of chief of thecontracting office. 4 agencies',
459:'should process unauthorized commitments using the ratification authority of this subsection instead of referring such actions to the government accountability',
460:'office for resolution. see 1.6023d. 5 unauthorized commitments that would involve claims subject to resolution under 41 u.s.c. chapter 71,',
461:'contract disputes, should be processed in accordance with subpart 33.2, disputes and appeals. c limitations. the authority in paragraph b2',
462:'of this subsection may be exercised only when 1 supplies or services have been provided to and accepted by the',
463:'government, or the government otherwise has obtained or will obtain a benefit resulting from performance of the unauthorized commitment; 2',
464:'the ratifying official has the authority to enter into a contractualcommitment; 3 the resultingcontract would otherwise have been proper if',
465:'made by anappropriate contracting officer; 4 the contractingofficer reviewingthe unauthorizedcommitment determines theprice to be fair and reasonable; 5 the contractingofficer',
466:'recommends paymentandlegal counsel concurs in the recommendation, unless agency procedures expressly do not require such concurrence; 6 funds are available',
467:'and were available at the time the unauthorized commitment was made; and 7 the ratification is in accordance with any',
468:'other limitations prescribed under agency procedures. d nonratifiable commitments. cases that are not ratifiable under this subsection may be subject',
469:'to resolution as recommendedby the government accountability office under itsclaim procedure gao policyand proceduresmanual for guidanceoffederalagencies,title4,chapter2,orasauthorizedbyfar subpart 50.1. legal advice',
470:'should be obtained in these cases. 1.603selection, appointment, and termination of appointment for contracting officers. 1.6031 general. 41 u.s.c. 1702b3g',
471:'requires agency heads to establish and maintain a procurement career management program and a system for theselection, appointment, and termination',
472:'ofappointmentof contracting officers. agency heads or their designeesmay select and appointcontracting officers andterminatetheir appointments. these selections and appointments shall beconsistent',
473:'with office of federal procurement policy’s ofppstandards for skillbased training in performing contracting and purchasing duties as published in ofpp',
474:'policy letter no. 0501, developing and managing the acquisition workforce, april 15, 2005. 1.6032 selection. in selecting contracting officers,the appointing',
475:'official shall considerthe complexity anddollarvalueof the acquisitions to be assigned and the candidate’sexperience,training, education, businessacumen, judgment, character, and reputation. examples',
476:'of selection criteria include a experience in government contracting and administration, commercial purchasing, or related fields; b education or specialtraining',
477:'in business administration, law, accounting, engineering,or related fields; c knowledge of acquisition policies and procedures, including this and other applicable',
478:'regulations; d specialized knowledge in the particular assigned field of contracting; and subpart 1.6 career development, contracting authority, and responsibilities',
479:'1.604 e satisfactory completion of acquisition training courses. 1.6033 appointment. a contracting officers shall be appointed in writing on an',
480:'sf 1402, certificate of appointment, which shall state any limitations on the scope of authority to be exercised, other than',
481:'limitations contained in applicable law or regulation. appointing officials shall maintain files containing copies of all appointments that have notbeenterminated.',
482:'b agency heads are encouraged to delegate micropurchase authority to individuals who are employees of an executive agency or members',
483:'of the armed forces of the united states who will be using the supplies or services being purchased. individuals delegated',
484:'this authority are not required to be appointed on an sf 1402, but shall be appointed in writing in accordance',
485:'with agency procedures. 1.6034 termination. terminationof acontracting officer appointment will be by letter, unless thecertificate ofappointment contains other provisions for',
486:'automatic termination. terminations may be for reasons such as reassignment, termination of employment,or unsatisfactory performance. no termination shall operate retroactively.',
487:'1.604 contractingofficer’s representative cor. a contracting officer’s representative cor assists in the technical monitoring or administration of a contract see',
488:'1.6022d. the cor shall maintain a file for each assigned contract. the file must include, at a minimum– a a',
489:'copy of the contracting officer’s letterof designationandotherdocuments describing the cor’s dutiesand responsibilities; b a copy of thecontract administration functions delegatedto',
490:'a contract administration office which may notbe delegated to the cor see 1.6022d4; and c documentation of cor actions taken',
491:'in accordance with the delegation of authority. this page intentionally left blank. subpart 1.7 determinations and findings 1.706 subpart 1.7',
492:'determinations and findings 1.700scope of subpart. this subpart prescribes general policies and procedures for the use ofdeterminations and findings d&f’s.',
493:'requirements for specific types ofd&f’s canbe found with theappropriate subject matter. 1.701definition. determination and findings means aspecial form of written',
494:'approval by an authorized official that is requiredby statute or regulation as a prerequisite to taking certain contract actions. the',
495:'determination is a conclusion or decision supported by the findings.’’ the findings are statements offact or rationale essentialto support the',
496:'determinationandmust cover each requirement of the statute or regulation. 1.702general. a a d&f shall ordinarilybe for an individual contract action.',
497:'unless otherwise prohibited,class d&f’s may be executed for classes of contract actions see 1.703. the approval granted by a d&f',
498:'is restricted to the proposed contract actions reasonably describedin that d&f. d&f’smay provide for a reasonabledegree of flexibility. furthermore, in',
499:'their application, reasonable variations in estimated quantities or prices are permitted, unless the d&f specifies otherwise. b when an option',
500:'is anticipated, the d&f shall state the approximate quantity to be awarded initially and the extent of the increase to',
501:'be permitted by the option. 1.703class determinations and findings. a a class d&f provides authority for a class of contract',
502:'actions. a class may consist of contract actions for the same or related supplies or services or other contract actions',
503:'that require essentially identical justification. b the findings in a class d&f shall fully support the proposed action either for',
504:'the class as a whole or for each action. a class d&f shall be for a specified period, with the',
505:'expiration date stated in the document. c thecontracting officer shall ensure that individual actions taken pursuantto theauthority of a classd&f',
506:'are within the scopeof the d&f. 1.704content. each d&f shall set forth enough facts and circumstances to clearly and convincingly',
507:'justify the specific determination made. as a minimum, each d&f shall include, in the prescribed agency format, the following information:',
508:'a identification of the agency and of the contracting activity and specific identification of the document as a determination and',
509:'findings. b nature and/or description of the action being approved. c citation of the appropriate statute and/or regulation upon which',
510:'the d&f is based. d findings that detail the particular circumstances, facts, or reasoning essential to support the determination. necessary',
511:'supporting documentation shall be obtained from appropriate requirements and technical personnel. e a determination, based on the findings, that the',
512:'proposed action is justified under the applicable statute or regulation. f expiration date of thed&f, ifrequired see 1.706. g the',
513:'signature ofthe official authorized to sign thed&f see 1.707 and the date signed. 1.705supersession and modification. a if a d&fis',
514:'superseded by another d&f,that action shall notrender invalid any action taken under the original d&f prior to the date of',
515:'its supersession. b the contractingofficer need not cancel the solicitation if thed&f, as modified, supports the contract action. 1.706expiration. expiration',
516:'dates arerequired for class d&f’s and areoptional for individual d&f’s. authority to act under an individual d&f expires when it',
517:'is exercised or on an expiration date specified in the document, whichever occurs first. authority to act under a class',
518:'d&f expires on the expiration date specified in the document. when a solicitation has been furnished to prospective offerors before',
519:'the expiration date, the authority under the d&f willcontinue until award of the contracts resulting from the solicitation. federal acquisition',
520:'regulation 1.707 signatory authority. when ad&fis required, it shall be signed by the appropriate official in accordancewith agency regulations. authority',
521:'to sign or delegate signature authority for the various d&f’sis as shownin theapplicable far part. part 2 definitions of words',
522:'and terms sec. 2.000 scope of part. subpart 2.2 definitions clause 2.201 contract clause. subpart 2.1 definitions 2.101 definitions. this',
523:'page intentionally left blank. subpart 2.1 definitions 2.101 2.000scope of part. a this part 1 defines words and terms that',
524:'are frequently used in the far; 2 provides crossreferences to otherdefinitionsin thefar ofthe same word or term;and 3 provides for',
525:'the incorporation of these definitions in solicitations and contracts by reference. b other parts, subparts, and sections of this regulation',
526:'48 cfr chapter 1 may define other words or terms and those definitions only apply to the part, subpart, or',
527:'section where the word or term is defined. subpart 2.1 definitions 2.101definitions. a word or a term, defined in this',
528:'section, has the same meaning throughout this chapter the federal acquisition regulation far unless thecontext in which the word or',
529:'termis used clearlyrequiresa different meaning or another far part, subpart, or section providesa different definition for the particular part or',
530:'portion of thepart. if a word or term that is definedin this section is defined differently in another part,subpart, orsection',
531:'of thischapter, the definition in this section includes a crossreference to the other definitions and that part, subpart, or section',
532:'applies to the word or term when used in that part, subpart, or section. acquisition means the acquiring by contract',
533:'with appropriated funds of supplies or services including construction by and for the use of the federal government through purchase',
534:'or lease, whether the supplies or services are already in existence or must be created, developed, demonstrated, and evaluated. acquisition',
535:'begins at the point when agency needs are established and includes the description of requirements to satisfy agency needs, solicitation',
536:'and selection of sources, award of contracts, contract financing, contract performance, contract administration, and those technical and management functions directly',
537:'related to the process of fulfilling agency needs by contract. acquisition planning meansthe process by which the efforts ofallpersonnel responsible',
538:'for anacquisition are coordinated and integrated through a comprehensive plan for fulfilling the agency need in a timely manner and',
539:'at a reasonable cost. it includes developing the overall strategy for managing the acquisition. activity address code aac means a',
540:'distinct sixposition code consisting of a combination of alpha and/or numeric characters assigned to identify specific agency offices, units,activities, or',
541:'organizationsby the general services administration for civilian agencies and by the department of defense for defense agencies. adequate evidence means',
542:'informationsufficient to supportthe reasonable belief that a particular act or omission has occurred. advisory and assistance services means those services',
543:'provided under contract by nongovernmental sources to support or improve: organizational policy development; decisionmaking; management and administration; program and/or project',
544:'management and administration; or r&d activities. it can also mean the furnishing of professional advice or assistance rendered to improve',
545:'theeffectiveness offederal management processes or procedures includingthose of an engineering and technical nature. in rendering the foregoing services, outputs may',
546:'take the form of information, advice, opinions, alternatives, analyses, evaluations, recommendations, training and the daytoday aid of support personnel needed',
547:'for the successful performance of ongoing federal operations. all advisory and assistance services are classified in one of the following',
548:'definitional subdivisions: 1 management and professional support services, i.e., contractual services that provide assistance, advice or training for theefficient and',
549:'effectivemanagementand operation of organizations, activities including management and support services for r&d activities, or systems. these services are normally closely',
550:'related to the basic responsibilities and mission of the agency originatingthe requirement for theacquisition of services by contract. included are',
551:'efforts thatsupport or contribute to improved organization of program management,logistics management, project monitoringand reporting,data collection, budgeting, accounting, performance auditing, and',
552:'administrative technical support for conferences and training programs. 2 studies, analyses and evaluations, i.e., contracted services that provide organized,analytical assessments/',
553:'evaluations in support of policy development, decisionmaking, management, or administration. included are studies in support of r&d activities. also included',
554:'are acquisitions of models, methodologies, and related software supporting studies, analyses or evaluations. 3 engineering and technical services, i.e., contractualservicesused',
555:'tosupport the program office duringthe acquisition cycle by providing such services as systems engineering and technical direction see 9.5051b to',
556:'ensure the effective operation and maintenance of a weapon system or major system asdefined inomb circular no.a109 or to federal',
557:'acquisition regulation provide direct support of a weapon system that is essential to research, development, production, operation or maintenance of',
558:'the system. affiliates means associated business concerns or individuals if, directly or indirectly either one controls or can control the',
559:'other; or third party controls or can control both, except as follows: 1 for use in subpart 9.4, see the',
560:'definition at 9.403. 2 for useof affiliates in size determinations, see the definition of smallbusiness concern inthis section. agency head',
561:'or head of theagency means the secretary, attorneygeneral, administrator, governor, chairperson, or other chief official of an executive agency, unless',
562:'otherwise indicated, including any deputy orassistant chiefofficial of an executive agency. alternate means a substantive variation of a basic provision',
563:'or clause prescribed for use in a defined circumstance. it adds wording to, deletes wording from, or substitutes specified wording',
564:'for a portion of the basic provision or clause. the alternate version of a provision or clause is the basic',
565:'provision or clause as changed by the addition, deletion, or substitution see 52.105a. architectengineer services, as defined in 40 u.s.c.',
566:'1102, means— 1 professionalservicesof an architectural or engineering nature,as defined by statelaw, if applicable, that are required to be performed',
567:'or approved by a person licensed, registered, or certified to provide those services; 2 professional services of an architectural or',
568:'engineering nature performed by contract that are associated with research, planning, development, design, construction, alteration, or repair of real property;',
569:'and 3 those other professional services of an architectural or engineering nature, or incidental services, that members of the architectural',
570:'and engineering professions and individuals in their employ may logically or justifiably perform, including studies, investigations, surveying and mapping, tests,',
571:'evaluations, consultations, comprehensive planning, program management, conceptual designs, plans and specifications, value engineering, construction phase services, soils engineering, drawing reviews,',
572:'preparation of operating and maintenance manuals, and other related services. assignment of claims means thetransfer or makingover bythe contractor to',
573:'abank, trust company,or other financing institution, assecurity for aloan to the contractor,of its right to be paidby the government for',
574:'contract performance. assisted acquisition means a type of interagency acquisition where a servicing agency performs acquisition activities on a requesting',
575:'agencys behalf, such as awarding and administering a contract, task order, or delivery order. basic research means that research directed',
576:'toward increasing knowledge in science. the primary aim of basic research is a fuller knowledge or understanding of the subject',
577:'under study, rather than any practical application of thatknowledge. best value means the expected outcome of an acquisition that, in',
578:'the governments estimation, provides the greatest overall benefit in response to the requirement. bid sample means aproduct sample requiredto besubmitted',
579:'by an offeror toshow characteristics of the offered products that cannot adequately be described by specifications, purchase descriptions, or the',
580:'solicitation e.g., balance, facility of use, or pattern. biobased product means a product determined by the u.s. department of agriculture',
581:'to be a commercial product or industrial product other than food or feed that is composed, in whole or in',
582:'significant part, of biological products, including renewable domestic agricultural materials and forestry materials, or that is an intermediate ingredient or',
583:'feedstock. the term includes, with respect to forestry materials, forest products that meet biobased content requirements, notwithstanding the market sharethe',
584:'product holds, the age ofthe product, or whether the market for the productis new or emerging. 7 u.s.c. 8101 7',
585:'cfr 3201.2. broad agency announcement means a general announcementof an agency’s research interest includingcriteria for selecting proposals and soliciting the',
586:'participation ofallofferorscapable of satisfying the government’s needs see 6.102d 2. building or work means construction activity as distinguished from manufacturing,',
587:'furnishing of materials, or servicing and maintenance work. the terms include, without limitation, buildings, structures, and improvements of all types,',
588:'such as bridges, dams, plants, highways, parkways, streets, subways, tunnels, sewers, mains, power lines, pumping stations, heavy generators, railways, airports,',
589:'terminals, docks, piers, wharves, ways, lighthouses, buoys, jetties, breakwaters, levees, canals, dredging, shoring, rehabilitationandreactivation of plants, scaffolding, drilling, blasting, excavating,',
590:'clearing,and landscaping. the manufacture or furnishing of materials, articles, supplies, or equipment whether or not a federal or state agency',
591:'acquires title to such materials, articles, supplies, or equipment during the course of the manufacture or furnishing, or owns the',
592:'materials from which they are manufactured or furnished is not building or work within the meaning of this definition unless',
593:'conducted in connection with and at the site of such building or work as is described in the foregoing subpart',
594:'2.1 definitions 2.101 sentence, or under the united states housing act of 1937 and the housing act of 1949 in',
595:'the construction or development of the project. bundling— 1 means a subset of consolidation that combines two or more requirements',
596:'for supplies or services, previously provided or performed under separate smaller contracts see paragraph 2 of this definition, into a',
597:'solicitation for a single contract, a multipleaward contract, or a task or delivery order that is likely to be unsuitable',
598:'for award to a small business concern even if it is suitable for award to a smallbusinesswith a small business',
599:'teaming arrangement due to— ithe diversity, size, or specialized nature of the elements ofthe performancespecified; ii the aggregate dollar value',
600:'of the anticipated award; iii the geographical dispersion of the contract performance sites; or iv any combination of the factors',
601:'described in paragraphs 1i, ii, and iii of this definition. 2 separate smaller contract as used in this definition, means',
602:'a contract that has been performed by one or more small business concerns or that was suitable for award to',
603:'one or more small business concerns. business unit means any segmentof an organization, or an entire business organization that is',
604:'not dividedinto segments. certified cost or pricing data means cost or pricing data that were required tobe submitted in accordance',
605:'withfar 15.4034 and 15.4035 and have been certified, or is required to be certified, in accordance with 15.4062. this certification',
606:'states that, to the best of the person’s knowledge and belief, the cost orpricing datais accurate, complete, and current as',
607:'of a date certain before contract award. cost or pricing data is required to be certified in certain procurements 10',
608:'u.s.c. chapter 271 and 41 u.s.c. chapter 35. changeofname agreement means a legal instrument executed by the contractor and the',
609:'government that recognizes the legal change of name of the contractor without disturbing the original contractual rights and obligations of',
610:'the parties. change order means a written order, signed by the contracting officer,directing the contractor tomake a change thatthe changes',
611:'clause authorizes the contracting officer to order without the contractor’s consent. chief acquisition officer means anexecutive level acquisition official responsibleforagency',
612:'performanceof acquisition activities and acquisition programs created pursuant to 41 u.s.c. 1702. chief of mission meansthe principal officer incharge of',
613:'a diplomatic mission ofthe unitedstates or ofa united states officeabroad which isdesignated bythe secretary of stateas diplomaticin nature, including any',
614:'individualassigned under section 502c of the foreignservice act of 1980 public law 96465to betemporarily in charge of such a mission',
615:'or office. claim means a written demand or written assertion by one of the contracting parties seeking, as a matter',
616:'of right, the payment of money in a sum certain, the adjustment or interpretation of contract terms, or other relief',
617:'arising under or relating to the contract. however, a written demand or written assertion by the contractor seeking the payment',
618:'of moneyexceeding $100,000 is not a claim under 41 u.s.c. chapter 71, contractdisputes,until certified as required bythe statute. a voucher,',
619:'invoice, or other routine request for payment that is not in dispute when submitted is not a claim. the submission',
620:'may be converted to aclaim, by written notice to the contracting officer asprovided in 33.206a, if it is disputed either',
621:'as to liability or amount or is not acted upon in a reasonable time. classified acquisition means anacquisition in whichofferorsmust',
622:'have access to classified information to properly submitan offer or quotation,to understand the performance requirements, or toperformthe contract. classified contract',
623:'means any contract in which the contractor or its employees must have access to classified information during contract performance. a',
624:'contract may be a classified contract even though the contract document itself is unclassified. classified information means any knowledge that',
625:'can be communicated or any documentary material, regardless of its physical form or characteristics, that— 1 iisownedby,isproducedbyorfor,orisunderthecontroloftheunitedstatesgovernment;or iihas been classified',
626:'by the department of energyas privately generated restricted datafollowing the procedures in 10 cfr 1045.21; and 2 must be protected',
627:'against unauthorized disclosure according to executive order12958, classified national security information,april 7,1995, or classified in accordance with the atomic energyactof',
628:'1954. cognizant federal agency means the federal agency that, on behalf of all federal agencies, is responsible for establishing final',
629:'indirect cost rates and forward pricing rates, if applicable, and administering cost accounting standards for all contracts in a business',
630:'unit. combatant commander means the commander of a unified or specified combatant command established in accordance with 10 u.s.c. 161.',
631:'federal acquisition regulation commercial and government entity cage code means— 1 an identifier assigned to entities located in the united',
632:'states or its outlying areas by the defense logistics agency dla commercial and government entity cage branch to identify a',
633:'commercial or government entity by unique location; or 2 an identifierassigned by a member of the northatlantic treatyorganization nato or',
634:'by the nato supportand procurement agency nspa toentitieslocated outside theunited statesandits outlying areas that the dla commercial and government entity',
635:'cage branch records and maintains in the cage master file. this type of code is known as a natocage ncage',
636:'code. commercial component means any component that is a commercial product. commercial computer software means any computer software that is',
637:'a commercial product or commercial service. commercial product means— 1 a product, other than real property, that is of a',
638:'type customarily used by the general public or by nongovernmental entities for purposes other than governmental purposes, and– i has',
639:'been sold, leased, or licensed to the general public; or iihas been offered for sale, lease,or license to the generalpublic;',
640:'2 a product that evolved from a product described in paragraph 1 of this definition through advances in technology or',
641:'performance and that is not yet available in the commercial marketplace, but will be available in the commercial marketplace in',
642:'time to satisfy the delivery requirements under a government solicitation; 3 a product that would satisfy a criterion expressed in',
643:'paragraph 1 or 2 of this definition, except for i modifications of a type customarily available in the commercial marketplace;',
644:'or ii minor modifications of a type not customarily available in the commercial marketplace made to meet federal government requirements.',
645:'“minor modifications” means modifications that do not significantly alter the nongovernmental function or essential physical characteristics of an item or',
646:'component, or change the purpose of a process. factors to be considered in determining whether a modification is minor include',
647:'the value and size of the modification and the comparative value and size of the final product. dollar values and',
648:'percentages may be used as guideposts, but are not conclusive evidence that a modification is minor; 4 any combination of',
649:'products meeting the requirements of paragraph 1, 2, or 3 of this definition that are of a type customarily combined',
650:'and sold in combination to the general public; 5 a product, or combination of products, referred to in paragraphs 1',
651:'through 4 of this definition, even though theproduct, or combination of products, is transferred betweenor among separate divisions, subsidiaries, or',
652:'affiliatesof a contractor; or 6 a nondevelopmental item, if the procuring agency determines the product was developed exclusively at private',
653:'expense and sold in substantial quantities, on a competitive basis, to multiple state and local governments or to multiple foreign',
654:'governments. commercial service means— 1 installation services, maintenance services, repair services, training services, and other services if– i such services',
655:'are procured for support of a commercial product as defined in this section, regardless of whether such services are provided',
656:'by the same source or at the same time as the commercial product; and ii the source of such services',
657:'provides similar services contemporaneously to the general public under terms and conditions similar to those offered to the federal government;',
658:'2 services of a type offered and soldcompetitively insubstantial quantities in the commercialmarketplace based on established catalog or market prices',
659:'for specific tasks performed or specific outcomes to be achieved and under standard commercial terms and conditions. for purposes of',
660:'these services– i catalog price means a price included in a catalog, price list, schedule, or other form that is',
661:'regularly maintained by the manufacturer orvendor, iseither publishedor otherwise available for inspection bycustomers, and statesprices at which sales are currently,',
662:'orwere last, made to a significant number of buyers constituting the general public; and ii market prices means current prices',
663:'that are established in the course of ordinary trade between buyers and sellers free to bargain and thatcan be substantiated',
664:'through competition or from sources independent of the offerors; or 3 a service referred to in paragraph 1 or 2',
665:'of this definition, even though the service is transferred between or amongseparate divisions, subsidiaries, or affiliates of a contractor. commercially',
666:'available offtheshelf cots item — 1 means any item of supply including construction material that is– i a commercial product',
667:'as defined in paragraph 1 of the definition of “commercial product” in this section; subpart 2.1 definitions 2.101 ii sold',
668:'in substantial quantities in the commercial marketplace; and iii offered tothe government, under a contract or subcontract at any tier,',
669:'without modification, in the same form in which it is sold in the commercial marketplace; and 2 does not include',
670:'bulk cargo, as defined in 46 u.s.c. 401024, such as agricultural products and petroleum products. common item means material that',
671:'is common to the applicable government contract and the contractors other work, except that for use in the clause at',
672:'52.24626, see the definition in paragraph a of that clause. component means any item supplied to the government as part',
673:'of an end item or of another component, except that for use in— 1 part 25, see the definition in',
674:'25.003; 2 52.2251 and 52.2253, see the definition in 52.2251a and 52.2253a; 3 52.2259 and 52.22511, see the definition in',
675:'52.2259a and 52.22511a; and 4 52.22521 and 52.22523, see the definition in 52.22521a and 52.22523a. computer database or database means',
676:'a collection of recorded information in a form capable of, and for the purpose of, being stored in, processed, and',
677:'operated on bya computer. the term does not include computer software. computer software — 1 means i computer programs that',
678:'comprise a series of instructions, rules, routines, or statements, regardless of the media in which recorded, that allow or cause',
679:'a computer to perform a specific operation or series of operations; and ii recorded information comprising source code listings, design',
680:'details, algorithms, processes, flow charts, formulas, and related material that would enable the computer program to be produced, created, or',
681:'compiled. 2 does not include computer databases or computer software documentation. computer software documentation means owner’s manuals,user’s manuals, installation instructions,operating',
682:'instructions, and other similar items, regardless of storage medium, that explain the capabilities of the computer software or provide instructions',
683:'for using the software. consent to subcontract means the contracting officer’swritten consent for the prime contractor toenter into a particular',
684:'subcontract. consolidation or consolidated requirement— 1 means a solicitation for a single contract, a multipleaward contract, a task order, or',
685:'a delivery order tosatisfy itwo ormore requirements of thefederal agencyforsupplies orservicesthat have been provided toor performed for the federal agency',
686:'under two or more separate contracts, each of which was lower in cost than the total cost of the contract',
687:'for which offers are solicited; or ii requirements of the federal agency for construction projects to be performed at two',
688:'or more discrete sites. 2 separate contract as used in this definition, means a contract that has been performed by',
689:'any business, including small and other than small business concerns. construction means construction, alteration, or repair including dredging, excavating, and',
690:'painting of buildings, structures, or otherreal property. for purposes of thisdefinition, the terms buildings, structures, or other real property include,',
691:'but are not limited to, improvements of all types, such as bridges, dams, plants, highways, parkways, streets, subways, tunnels, sewers,',
692:'mains, power lines, cemeteries, pumping stations, railways, airport facilities, terminals, docks, piers, wharves, ways, lighthouses, buoys, jetties, breakwaters, levees, canals,',
693:'and channels. construction does not include the manufacture, production, furnishing, construction,alteration, repair, processing, or assembling ofvessels, aircraft, or other kinds',
694:'of personal property except that for use in subpart 22.5, see the definition at 22.502. contiguous united states conus means',
695:'the 48 contiguous states and the district of columbia. contingency operation 10 u.s.c. 101a13 means a military operation that 1',
696:'is designated by the secretary of defense as an operation in which members of the armed forces are or may',
697:'become involved in military actions, operations, or hostilities against an enemy of the united states or against an opposing military',
698:'force; or 2 results in the call or order to, or retention on, active duty of members of the uniformed',
699:'services under sections 688, 12301a, 12302, 12304, 12304a, 12305, or 12406 of title 10 of the united states code, chapter',
700:'13 of title 10 of the united states code, and section 3713 of title 14 of the united states code,',
701:'or any other provision of law during a war or during a national emergencydeclared by the presidentor congress. continued portion',
702:'of the contract means the portion of a contract that the contractor must continue to perform following a partial termination.',
703:'federal acquisition regulation contract means a mutually binding legal relationship obligating the seller to furnish the supplies or services including',
704:'construction and the buyer to pay for them. it includes all types of commitments that obligate the government to an',
705:'expenditure of appropriated funds and that, except as otherwise authorized, are in writing. in addition to bilateral instruments, contracts include',
706:'but are not limited to awards and notices of awards; job orders or task letters issued under basic ordering agreements;',
707:'letter contracts; orders, such aspurchase orders, underwhich the contract becomes effective by written acceptance or performance; and bilateral contract modifications.',
708:'contracts do not include grants and cooperative agreements covered by 31 u.s.c.6301, et seq. for discussion of various types of',
709:'contracts, see part 16. contract administration office means an office that performs 1 assigned postaward functions related to the administration',
710:'of contracts; and 2 assigned preaward functions. contract clause or clause means a term or condition used in contracts or',
711:'in both solicitations and contracts, and applying after contract award or both before and after award. contract modification means any',
712:'written change in the terms of a contract see 43.103. contracting means purchasing, renting, leasing, or otherwise obtaining supplies or',
713:'services from nonfederal sources. contracting includes description but not determination of supplies and services required, selection and solicitation of sources,',
714:'preparation and award of contracts, and all phases of contract administration. it does not include making grants or cooperative agreements.',
715:'contracting activity means an element of an agency designated by the agency head and delegated broad authority regarding acquisition functions.',
716:'contracting office means an office that awardsor executes a contract for supplies or servicesand performs postaward functions not assigned to',
717:'a contract administrationoffice except for usein part 48, see also 48.001. contracting officer means apersonwith the authority to enter into,',
718:'administer, and/or terminate contracts and make related determinations and findings. the term includes certainauthorized representatives of the contracting officer acting',
719:'within the limitsof their authorityas delegated bythe contracting officer. administrative contracting officer aco refers to a contracting officer who isadministering',
720:'contracts. termination contracting officer tco refers to acontracting officer who is settlingterminated contracts. a single contracting officer maybe responsible for',
721:'duties in any or allof these areas. reference in this regulation 48 cfr chapter 1 to administrative contracting officer or',
722:'termination contracting officer does not 1 require that a duty be performed ata particular office or activity; or 2 restrict',
723:'in any way a contracting officer in the performance of any duty properly assigned. contracting officer’s representative cor means an',
724:'individual, including a contracting officer’s technical representative cotr, designated and authorized in writing by the contracting officer to perform specifictechnical',
725:'or administrative functions. conviction means a judgment or conviction ofa criminal offense by any court of competent jurisdiction,whetherentered upon a',
726:'verdict or a plea, and includes a conviction entered upon a plea of nolo contendere. for use in subpart 26.5,',
727:'see the definition at 26.503. cost or pricing data 10 u.s.c. 37011 and 41 u.s.c. chapter 35 means all facts',
728:'that, as of the date of price agreement, or, ifapplicable, anearlier date agreed upon betweenthe parties that isas closeas practicableto',
729:'thedate of agreement on price, prudent buyers and sellers would reasonably expect to affectprice negotiationssignificantly. cost or pricing data are',
730:'factual, not judgmental; and are verifiable. while they do notindicate the accuracy of the prospective contractor’s judgment about estimated future',
731:'costs or projections, they do include the data forming the basis for that judgment. cost or pricing data are more',
732:'than historical accounting data; they are all the facts that can be reasonably expected to contribute to the soundness of',
733:'estimates of future costs and to the validity of determinations of costs already incurred. they also include, but are not',
734:'limited to, such factors as 1 vendorquotations; 2 nonrecurring costs; 3 information on changes in production methods and in production',
735:'or purchasing volume; 4 data supporting projections of business prospects and objectives and related operations costs; 5 unitcost trends suchas',
736:'those associated with labor efficiency; 6 makeorbuy decisions; 7 estimated resources to attain business goals; and 8 information on management',
737:'decisions that could have a significant bearing on costs. cost realism meansthat the costs inan offeror’s proposal subpart 2.1 definitions',
738:'2.101 1 are realistic for the work to be performed; 2 reflect a clear understanding of the requirements; and 3',
739:'are consistentwith the various elements of the offeror’s technicalproposal. cost sharing means an explicit arrangement under which the contractor bears',
740:'some of the burden of reasonable, allocable, and allowable contract cost. customs territory of the united states means the 50',
741:'states, the district of columbia, and puerto rico. data other than certified cost or pricing data means pricing data, cost',
742:'data, and judgmental information necessary for the contracting officerto determine a fair and reasonableprice or todetermine cost realism. such datamay',
743:'includethe identical types of data ascertifiedcost or pricing data,consistent with table 152 of 15.408, but without the certification. the data',
744:'may also include, for example, sales data andanyinformationreasonably required to explain the offeror’s estimating process, including, but not limited to–',
745:'1 the judgmental factors applied and the mathematical or other methods used in the estimate, including those used in projecting',
746:'from known data; and 2 the nature and amount of any contingencies included in the proposed price. day means, unless',
747:'otherwisespecified,a calendar day. debarment means action taken bya debarring official under 9.406 to exclude a contractor from government contracting and',
748:'governmentapproved subcontracting for a reasonable, specified period; a contractor that is excluded is debarred. delivery order means an order for',
749:'supplies placed against an established contract or with government sources. depreciation meansa chargeto current operations that distributesthe cost of a',
750:'tangible capital asset, lessestimated residual value, over the estimated useful life ofthe asset in a systematic and logical manner. it',
751:'does notinvolve a process of valuation. usefullife refersto the prospective period of economicusefulness in aparticular contractor’s operations as distinguished from',
752:'physical life; it is evidenced by the actual or estimated retirement and replacement practice of the contractor. descriptive literature means',
753:'information provided by anofferor,such as cuts, illustrations, drawings, and brochures, that shows aproduct’s characteristics or construction of a product or',
754:'explainsits operation. the termincludes only that information needed to evaluate the acceptability of the product and excludes other information for',
755:'operating or maintaining the product. designtocost means a concept that establishes cost elements as management goals to achieve the best',
756:'balance between lifecycle cost, acceptable performance, and schedule. under this concept, cost is a design constraint during the design and',
757:'development phases and a management discipline throughout the acquisition and operation of the system or equipment. designated operational area means',
758:'a geographic area designated by the combatant commander or subordinate joint force commander for the conduct or support of specified',
759:'military operations. direct acquisition means a type of interagency acquisition where a requesting agency places an order directly against a',
760:'servicing agency’s indefinitedeliverycontract. the servicing agency manages theindefinitedelivery contract but does not participate inthe placement or administration of an order.',
761:'direct cost means any cost that is identified specifically with a particular final cost objective. direct costs are not limited',
762:'to items that are incorporated in the endproduct as material orlabor. costsidentified specifically witha contract aredirect costs of that contract.',
763:'all costs identified specifically with other final cost objectives of the contractor are direct costs of those cost objectives. disaster',
764:'response registry means a voluntary registry of contractors who are willing to perform debris removal, distribution of supplies, reconstruction,and otherdisaster',
765:'or emergency relief activities establishedin accordance with 6 u.s.c. 796, registry of disaster response contractors. the registry contains information on',
766:'contractors who are willing to perform disaster oremergency relief activities within theunited statesandits outlying areas. the registry isaccessed via the',
767:'internet at https://www.sam.gov, search records, advanced search, disaster response registry search. see 26.205. drugfree workplace means the sites for the',
768:'performance of work done by the contractor in connection with a specific contract where employees of the contractor are prohibited',
769:'from engaging in the unlawful manufacture, distribution, dispensing, possession, or use of a controlled substance. earned value management system means',
770:'aprojectmanagementtool thateffectivelyintegrates the project scope of work with cost, schedule and performance elements for optimum project planning and control. the',
771:'qualities and operating characteristics of an earned value management system are described in electronic industries alliance standard 748 eia748, earned',
772:'value management systems. see omb circular a11, part 7. economically disadvantaged womenowned small business edwosb concernsee definition of womenowned small',
773:'business wosb program in this section. federal acquisition regulation effective date of termination means the date on which the notice',
774:'of termination requires the contractor to stop performance underthe contract. if thecontractor receives the termination notice after the datefixedfortermination, then',
775:'theeffective date of termination means the date the contractor receives the notice. electronic commerce means electronic techniques for accomplishing business',
776:'transactions including electronic mail or messaging, world wide web technology,electronic bulletinboards, purchase cards, electronic funds transfer, and electronic data interchange.',
777:'electronic data interchange edi means a technique for electronically transferring and storing formatted information between computers utilizing established and published',
778:'formats and codes, as authorized by the applicable federal information processing standards. electronic funds transfer eft means any transfer of',
779:'funds, other than a transaction originated by cash, check, or similar paper instrument,that isinitiated through an electronic terminal, telephone, computer,',
780:'or magnetic tape, for the purpose of ordering, instructing, or authorizing a financial institution to debit or credit an account.',
781:'the term includes automated clearing house transfers, fedwire transfers, and transfers made at automatic teller machines and pointofsale terminals. for',
782:'purposes of compliance with 31 u.s.c.3332 and implementing regulations at 31 cfr part 208, the term electronic funds transfer includes',
783:'a governmentwide commercial purchase card transaction. electronic funds transfer eft indicator meansa fourcharactersuffix to the unique entity identifier. thesuffix is',
784:'assigned atthe discretion of the commercial, nonprofit, or government entityto establish additional system for award management records for identifying alternative',
785:'eft accounts see subpart 32.11 for the sameentity. emergency, as used in 6.208, 13.201, 13.500, 18.001, 18.202, 18.203, and subpart',
786:'26.2, means any occasion or instance for which, in the determination of the president, federal assistance is neededto supplement state',
787:'and localefforts and capabilities to save lives and to protect property and public health and safety, or to lessen or',
788:'avertthe threat ofa catastrophe in any part of the united states 42 u.s.c. 5122. end product means supplies delivered under',
789:'a line item of a government contract, except for use in part 25 and the associated clauses at 52.2251, 52.2253,',
790:'and 52.2255, see the definitions in 25.003, 52.2251a, 52.2253a, and 52.2255a. energyefficient product— 1 means a product that– imeets departmentof',
791:'energyand environmental protection agency criteria for use ofthe energy star trademark label; or iiisin the upper 25 percent of efficiency',
792:'for all similar products as designated by thedepartment ofenergy’s federalenergy management program. 2 asused inthis definition, theterm product doesnot include',
793:'any energyconsuming product or systemdesigned or procured for combat or combatrelated missions 42 u.s.c. 8259b. energyefficient standby power devices means',
794:'products that use— 1 external standby power devices, or that contain an internal standby power function; and 2 no more',
795:'than one watt of electricity in their standby power consuming mode or meet recommended low standby levels as designated by',
796:'the department of energyfederal energy management program. energy savings performance contract, pursuant to 42 u.s.c. 8287 and 10 cfr 436.31,',
797:'means a contract that requires the contractor to— 1 perform services for the design, acquisition, financing, installation, testing, operation, and',
798:'where appropriate, maintenance andrepair, of anidentified energy conservationmeasure or series ofmeasures at one or more locations; 2 incur the costsof',
799:'implementing the energy savings measures, including atleast the cost if anyincurred in making energy audits,acquiring and installing equipment,andtraining personnel inexchange',
800:'for a predetermined shareof the value of the energy savings directly resultingfrom implementationof such measures during the term of the',
801:'contract; and 3 guarantee futureenergyandcostsavings to the government. environmentally preferable means,in thecaseof aproduct or service, having a lesser or reducedeffect',
802:'on human health and the environment when compared with competing products or services that serve the same purpose. this comparison',
803:'may consider raw materials acquisition, production, manufacturing, packaging, distribution, reuse, operation, maintenance, or disposal of the product or service. section',
804:'314 of pub. l. 107314, 10 u.s.c. chapter 223 note excess personal property means any personal property under the control',
805:'of a federal agency that the agency head determines is not required for its needs or for thedischarge of itsresponsibilities.',
806:'subpart 2.1 definitions 2.101 executive agency means an executive department, a military department, or any independent establishment within the meaning',
807:'of 5 u.s.c.101,102, and 1041, respectively,andany wholly owned government corporationwithin themeaning of 31 u.s.c. 9101. facilities capital cost of money',
808:'means cost of money as an element of the cost of facilities capital as used at 48 cfr 9904.414cost accounting',
809:'standardcost of money as an element of the cost of facilities capital. federal agency means any executive agency or any',
810:'independent establishment in the legislative or judicial branch of the government except the senate, the house of representatives, the architect',
811:'of the capitol, and any activities under the architect’s direction. federallycontrolled facilities means— 1 federallyowned buildings or leased space, whether',
812:'for single or multitenant occupancy, and its grounds and approaches, all or any portion of which is under the jurisdiction,',
813:'custody or control of a department or agency; 2 federallycontrolled commercial space shared with nongovernment tenants. for example, if a',
814:'department or agency leased the 10th floor of a commercial building, the directive applies to the 10th floor only; 3',
815:'governmentowned, contractoroperated facilities, including laboratories engaged in national defense research and production activities; and 4 facilities under a management and',
816:'operating contract, such as for the operation, maintenance, or support of a governmentowned or governmentcontrolled research, development, special production, or',
817:'testing establishment. federallycontrolled information system means an information system 44 u.s.c. 35028 used or operated by a federal agency, or',
818:'a contractor or otherorganization on behalf of the agency 44 u.s.c. 3544a1a. federally funded research and development centers ffrdc’s means',
819:'activities that are sponsored under a broad charter by a government agency or agencies for the purpose of performing, analyzing,',
820:'integrating, supporting, and/or managing basic or applied research and/or development, and that receive 70 percent or more of their financial',
821:'support from the government; and 1 a longterm relationship is contemplated; 2 most or all of the facilities are owned',
822:'or funded by the government; and 3 the ffrdc has access to government and supplier data, employees, and facilities beyond',
823:'that common in a normal contractual relationship. final indirect cost rate means the indirect cost rate established and agreed upon',
824:'by the government and the contractor as notsubject to change. it is usually established after the close of the contractor’s',
825:'fiscal year unless the parties decide upona different periodto whichitapplies. forcostreimbursementresearchand developmentcontracts witheducational institutions, it may be predetermined; that is,',
826:'established for a future period on the basis of cost experience with similar contracts, together with supporting data. first article',
827:'means a preproduction model, initial production sample, test sample, first lot, pilot lot, or pilot models. first article testing means',
828:'testing and evaluating the first article for conformance with specified contract requirements before or in the initial stage of production.',
829:'f.o.b. means free on board. this term is used in conjunction with a physical point to determine 1 the responsibility',
830:'andbasis for payment offreight charges; and 2 unless otherwise agreed, the point where title for goods passes to the buyer',
831:'or consignee. f.o.b. destination means free on board at destination; i.e., the seller or consignordelivers the goods on seller’s or',
832:'consignor’s conveyance at destination. unless thecontract provides otherwise, the seller or consignoris responsible for the cost of shipping and risk',
833:'of loss. for use in the clause at 52.24734, see the definition at 52.24734a. f.o.b. origin means free on board',
834:'at origin; i.e., the seller or consignor places the goods on the conveyance. unless the contract provides otherwise, the buyer',
835:'or consignee is responsible for the cost of shipping and risk of loss. for use in the clause at 52.24729,',
836:'see the definition at 52.24729a. f.o.b for other types of f.o.b., see 47.303. forward pricing rate agreement means a written',
837:'agreement negotiated between a contractor and the government to make certain rates available during a specified period for use in',
838:'pricing contracts or modifications. these rates represent reasonable projections of specific costs thatare not easily estimated for, identified with, or',
839:'generated bya specific contract,contract end item,or task. these projections may include rates for such things as labor, indirect costs,material obsolescence',
840:'and usage, spare parts provisioning, and material handling. forward pricing rate recommendation means a rate set unilaterally bythe administrative contracting',
841:'officer for use by the government in negotiations or other contract actions when forward pricing rate agreement negotiations have not',
842:'been completed or when the contractor will not agree to a forward pricing rate agreement. federal acquisition regulation freight means',
843:'supplies,goods, and transportable property. full and open competition, when used with respect to a contract action, means that all responsible',
844:'sources are permitted to compete. general and administrative g&a expense means any management, financial, and other expense which is incurred',
845:'by or allocated to a business unit and which is for the general management and administration of the business unit',
846:'as a whole. g&a expense does not include those management expenses whose beneficial or causal relationship to cost objectives can',
847:'be more directly measured by a base other than a cost input base representing the total activity of a business',
848:'unit during a cost accounting period. governmentwide acquisition contract gwac means a taskorder or deliveryorder contract for information technology established',
849:'by one agency for governmentwide use that is operated 1 by anexecutive agent designated by the office of management and',
850:'budget pursuant to 40 u.s.c. 11302e; or 2 under a delegation of procurement authority issued by the general services administration',
851:'gsa prior to august 7,1996, under authority granted gsa by former section 40 u.s.c. 759, repealed by pub. l. 104106.',
852:'the economy act does not apply to orders under a governmentwide acquisition contract. governmentwide point of entry gpe means the',
853:'single point where government business opportunities greater than $25,000, including synopses of proposed contract actions, solicitations, and associated information, can',
854:'be accessed electronically by the public. the gpe is located at https://www.sam.gov. head of the agency see agency head. head',
855:'of the contracting activity means the official whohas overall responsibility for managingthe contracting activity. historically black college or university means',
856:'an institution determined by the secretary of education to meet the requirements of 34 cfr 608.2. hubzone means a historically',
857:'underutilized business zone that is an area located within one or more qualified census tracts, qualified nonmetropolitan counties, lands within',
858:'the external boundaries of an indian reservation, qualified base closure areas, redesignated areas, governordesignated covered areas, or qualified disaster areas,',
859:'as defined in 13 cfr 126.103. hubzone contract means a contract awarded to a small business administration certified hubzone small',
860:'business concern through any of the following procurement methods: 1 a solesource award to a hubzone small business concern. 2',
861:'setaside awards based on competition restricted to hubzone small business concerns. 3 awards to hubzone small business concerns through full',
862:'and open competition aftera priceevaluation preference in favor of hubzone small business concerns. 4 awards based on a reserve for',
863:'hubzone small business concernsin a solicitationfora multipleawardcontract. hubzone small business concern means a small business concern that meets the requirements',
864:'described in 13 cfr 126.200, is certified by the small business administration sba and designated by sba as a hubzone',
865:'small business concern in the dynamic small business search dsbs 13 cfr 126.103. sbas designation also appears in sam. humanitarian',
866:'or peacekeeping operation means a military operation in support of the provision of humanitarian or foreign disaster assistance or in',
867:'support of a peacekeeping operation under chapter vi or vii of the charter of the united nations. the term does',
868:'not include routine training, force rotation, or stationing 10 u.s.c. 30152 and 41 u.s.c. 1532. in writing, writing, or written',
869:'means any worded or numbered expression that can be read, reproduced, and later communicated, and includes electronically transmitted and stored',
870:'information. indirect cost means any cost not directly identified with a single final cost objective, but identified with two or',
871:'more final cost objectives or with at least one intermediate cost objective. indirect cost rate means the percentage or dollar',
872:'factor that expresses the ratio of indirect expense incurred in a given period to direct labor cost, manufacturing cost, or',
873:'another appropriate base for the same period see also final indirect cost rate. ineligible means excluded from governmentcontracting andsubcontracting, if',
874:'appropriate pursuant to statutory, executive order, or regulatory authority other thanthisregulation 48 cfr chapter 1 and itsimplementing and supplementing regulations;',
875:'for example, pursuant to– 1 40 u.s.c. chapter 31, subchapter iv, wage rate requirements construction, and its related statutes and',
876:'implementing regulations; 2 41 u.s.c. chapter 67, service contract labor standards; 3 the equal employment opportunity acts and executive orders;',
877:'4 41 u.s.c. chapter 65, contracts for material, supplies, articles, and equipment exceeding $10,000; subpart 2.1 definitions 2.101 5 41',
878:'u.s.c. chapter 83, buy american; or 6 the environmental protection acts and executive orders. information and communication technology ict means',
879:'information technology and other equipment, systems, technologies,or processes,forwhich the principal function is the creation, manipulation, storage, display, receipt, or transmission',
880:'of electronic data and information, as well as any associated content. examples of ict include but are not limited to',
881:'the following: computers and peripheral equipment; information kiosks and transaction machines; telecommunications equipment;customerpremises equipment;multifunctionoffice machines; software; applications; websites; videos; and',
882:'electronic documents. information security means protecting information and information systems from unauthorized access, use, disclosure, disruption, modification, or destruction in',
883:'order to provide 1 integrity, which means guarding against improperinformation modificationor destruction, andincludes ensuring information nonrepudiation and authenticity; 2 confidentiality,',
884:'which means preservingauthorized restrictions onaccess and disclosure, includingmeans for protecting personal privacy and proprietary information; and 3 availability, which meansensuring',
885:'timely and reliable access to, and use of, information. information technology means any equipment, or interconnected systems or subsystems of',
886:'equipment, that is used in theautomaticacquisition, storage,analysis, evaluation, manipulation,management,movement,control, display, switching, interchange, transmission,or reception ofdata or information by the agency.',
887:'1 for purposes of this definition, equipment is used by an agency if the equipment is used by the agency',
888:'directly or is used by a contractor under a contract with the agency that requires i its use; or iito',
889:'a significant extent, itsuse in the performance of a service or the furnishing of a product. 2 the term information',
890:'technology includes computers, ancillary equipment including imaging peripherals, input, output, and storage devices necessary for security and surveillance, peripheral equipment',
891:'designed to be controlled by the central processing unitof acomputer, software, firmwareand similarprocedures,servicesincludingsupport services, and related resources. 3 the term',
892:'information technology does not include any equipment that i is acquired by a contractor incidental to a contract; or ii',
893:'contains imbedded information technology that is used as an integral part of the product, but the principal function of which',
894:'is not the acquisition, storage, analysis, evaluation, manipulation, management, movement, control, display, switching, interchange, transmission, or receptionof data orinformation. for',
895:'example, hvacheating, ventilation, and air conditioning equipment, such as thermostats or temperature control devices, and medical equipment where information technology',
896:'is integral to its operation, are not information technology. inherently governmental function means,as amatter of policy,a functionthat isso intimatelyrelated to',
897:'the public interest as to mandate performance by government employees. this definition is a policy determination, not a legal determination.',
898:'an inherently governmental function includes activities that require either the exercise of discretion in applying government authority, or the making',
899:'ofvalue judgments in makingdecisions for the government. governmental functionsnormally fall into two categories: the act of governing, i.e., the discretionaryexercise',
900:'of government authority, and monetarytransactions and entitlements. 1 an inherently governmental function involves, among other things, the interpretation and execution',
901:'of the laws of the united states so as to ibind the united states to take or not to take',
902:'some action by contract, policy, regulation, authorization, order, or otherwise; iidetermine,protect, and advance united states economic, political, territorial, property, or',
903:'other interests by military or diplomatic action, civil or criminal judicial proceedings, contract management, or otherwise; iii significantlyaffect the life,',
904:'liberty, or property of private persons; iv commission, appoint, direct, orcontrol officers or employees of the united states; or v',
905:'exert ultimatecontrol over theacquisition,use, or disposition of theproperty, realor personal,tangible or intangible, of the united states, including the collection, control,',
906:'or disbursement of federal funds. 2 inherently governmental functions do not normally include gathering information for or providing advice, opinions,',
907:'recommendations,or ideas to government officials. they also do not include functions thatare primarilyministerial and internal in nature, such as building',
908:'security, mail operations, operation of cafeterias, housekeeping, facilities operations and federal acquisition regulation maintenance, warehouse operations, motor vehicle fleet management',
909:'operations, or other routine electrical or mechanical services. inspection means examining and testing supplies or services including, when appropriate, raw',
910:'materials, components, and intermediate assemblies to determine whether they conform to contract requirements. insurance means a contract that provides that',
911:'for a stipulated consideration, one party undertakes to indemnify another against loss, damage, or liability arising from an unknown or',
912:'contingent event. interagency acquisition means a procedure by which an agency needing supplies or services the requesting agency obtains them',
913:'from another agency the servicing agency, by an assisted acquisition or a direct acquisition. the term includes — 1 acquisitions',
914:'under the economy act 31 u.s.c. 1535; and 2 noneconomy act acquisitions completed under other statutory authorities, e.g., general services',
915:'administration federalsupply schedules in subpart 8.4 andgovernmentwide acquisitioncontracts gwacs. invoice means a contractor’s bill or writtenrequest for payment under the',
916:'contract for supplies delivered or services performed see also proper invoice. irrevocable letter of credit means a written commitment by',
917:'a federally insured financial institution to pay all or part of a stated amount ofmoney,until theexpiration date ofthe letter, upon',
918:'the government’s the beneficiary presentation of a written demand for payment. neither the financial institution northe offeror/contractor canrevoke or conditionthe',
919:'letter of credit. labor surplus area means a geographical area identified by the department of labor in accordance with 20',
920:'cfr part 654, subpart a, as an area of concentrated unemployment or underemployment or an area of labor surplus. labor',
921:'surplus area concern means a concern that together with its firsttier subcontractors will perform substantially in labor surplus areas. performance',
922:'is substantially in labor surplus areas if the costs incurred under the contract on account of manufacturing, production, or performance',
923:'of appropriate services in labor surplus areas exceed 50 percent of the contract price. latent defect means a defect that',
924:'exists at the time of acceptance but cannot be discovered by a reasonable inspection. line item meansthe basic structural element',
925:'in aprocurement instrument thatdescribes and organizesthe required product or service for pricing, delivery, inspection, acceptance, invoicing, and payment. theuse of',
926:'the term line item includes subline item, as applicable. line item number means either a numeric or alphanumeric format to',
927:'identify a line item. major disaster, as used in 6.208, 13.201, 13.500, 18.001, 18.202, 18.203, and subpart 26.2, means any',
928:'natural catastrophe including any hurricane, tornado, storm, highwater, winddriven water, tidal wave, tsunami, earthquake, volcanic eruption, landslide, mudslide, snowstorm, or',
929:'drought, or regardless of cause, any fire, flood, or explosion, in any part of the united states,which, in the determination',
930:'of thepresident, causes damage of sufficient severity and magnitude to warrant major disaster assistance under the stafford act tosupplement the',
931:'efforts andavailableresources of states,local governments, and disaster relieforganizations in alleviating the damage, loss, hardship, or suffering caused thereby 42 u.s.c.',
932:'5122. major system means that combination of elements that will function together to produce the capabilities required to fulfill a',
933:'mission need. the elements may include hardware, equipment, software, or any combination thereof, but exclude constructionor other improvements to real',
934:'property. a systemis amajorsystem if 1 the department of defense is responsible for the system and the total expenditures for',
935:'research, development, test, and evaluation for the system are estimated to be more than $185 million basedon fiscal year2014 constant',
936:'dollars or the eventual totalexpenditure for the acquisition exceeds $835 million based onfiscal year 2014 constant dollarsoranyupdate of these thresholds',
937:'based on a morerecent fiscal year, as specified in the dodinstruction 5000.02, operation of the defense acquisition system; 2 a',
938:'civilian agency is responsible for the system and total expenditures for the system are estimated to exceed $2.5 million orthe',
939:'dollar threshold for a majorsystem established bythe agencypursuant to office of management andbudget circular a109, entitled major system acquisitions, whichever',
940:'is greater; or 3 the system is designated a major system by the head of the agency responsible for the',
941:'system 10 u.s.c. 3041 and 41 u.s.c. 109. makeorbuy program meansthat part of a contractor’s written plan for a contract',
942:'identifying those major itemsto be produced or work efforts to be performedin theprimecontractor’sfacilities and those to be subcontracted. manufactured end',
943:'product means any end product in product and service codes psc 10009999, except 1 psc 5510, lumber and related basicwood',
944:'materials; 2 product or service group psg 87, agricultural supplies; subpart 2.1 definitions 2.101 3 psg 88, live animals; 4',
945:'psg 89, subsistence; 5 psc 9410, crude grades of plant materials; 6 psc 9430, miscellaneous crude animal products, inedible; 7',
946:'psc 9440, miscellaneous crude agricultural and forestry products; 8 psc 9610, ores; 9 psc 9620, minerals, natural and synthetic; and',
947:'10 psc 9630, additive metal materials. market research means collecting and analyzing information about capabilities within the market to satisfy',
948:'agency needs. master solicitation means a document containing special clauses and provisions that have been identified as essential for theacquisition',
949:'of a specific type of supply or service that is acquired repetitively. may denotes thepermissive. however,the words no personmay mean',
950:'thatno person is required, authorized, or permitted to do the act described. micropurchase means an acquisition of supplies or services',
951:'using simplified acquisition procedures, the aggregate amount of which does not exceed the micropurchase threshold. micropurchase threshold means $10,000, except',
952:'it means 1 for acquisitions of construction subject to 40 u.s.c. chapter 31, subchapter iv, wage rate requirements construction, $2,000;',
953:'2 for acquisitions of services subject to 41 u.s.c. chapter 67, service contract labor standards, $2,500; 3 for acquisitions of',
954:'supplies or services that, as determined by the head of theagency, are to be usedto support a contingencyoperation; tofacilitate defense',
955:'against or recovery from cyber, nuclear, biological, chemical or radiological attack; to support a request from the secretary of state',
956:'or the administrator of the united states agency for international development to facilitate provision of international disaster assistance pursuant to',
957:'22 u.s.c. 2292 et seq. ; or to support response to an emergency or major disaster 42 u.s.c. 5122, as',
958:'described in 13.201g1, except for construction subject to 40 u.s.c. chapter 31, subchapter iv, wage rate requirements construction 41 u.s.c.',
959:'1903– i $20,000 in the case of any contract to be awarded and performed, or purchase to be made, inside',
960:'the united states; and ii $35,000 in the case of any contract to be awarded and performed, or purchase to',
961:'be made, outside the united states; and 4 for acquisitions of supplies or services from institutions of higher education 20',
962:'u.s.c. 1001a or related or affiliated nonprofitentities, or from nonprofit research organizations or independent research institutes— i $10,000; or ii',
963:'a higher threshold, as determined appropriate by the head of the agency and consistent with clean audit findings under 31',
964:'u.s.c. chapter 75, requirements for singleaudits;an internal institutional risk assessment; or state law. minority institution means an institution of higher',
965:'education meeting the requirements of section 3653 of the higher education act of 1965 20 u.s.c. 1067k, including a hispanicserving',
966:'institution of higher education, as defined in section 502a of the act 20 u.s.c. 1101a. multiagency contract mac means a',
967:'taskorder or deliveryorder contract established by one agency for use by government agencies to obtain supplies and services, consistent with',
968:'the economy act see 17.5022. multiagency contracts include contracts for information technology established pursuant to 40 u.s.c. 11314a2. multipleaward contract',
969:'means a contract that is— 1 a multipleawardschedulecontract issued bygsa e.g., gsa schedule contract or agencies granted multiple award schedule',
970:'contract authority by gsa e.g.,departmentofveteransaffairsasdescribedinfarpart 38; 2 a multipleaward taskorder or deliveryorder contract issued inaccordance withfar subpart 16.5, including governmentwide',
971:'acquisition contracts; or 3 any other indefinitedelivery, indefinitequantity contract entered into with two or more sources pursuant to the same',
972:'solicitation. must see shall. national defense means any activity related to programs for military or atomicenergyproduction or construction, military assistance',
973:'to any foreign nation, stockpiling, or space, except that for use in subpart 11.6, see the definition in 11.601. neutral',
974:'person means an impartial third party, who serves as amediator, fact finder, or arbitrator, or otherwise functions to assist the',
975:'parties to resolve the issuesin controversy. aneutralperson maybe a permanent or temporary officer oremployee of the federal government orany otherindividual',
976:'who is acceptableto theparties. a neutral person must have no official, federal acquisition regulation financial, or personal conflict of interest',
977:'with respect to the issues in controversy, unless the interestis fully disclosedin writing to all parties and all parties agree',
978:'that the neutral person may serve 5 u.s.c. 583. nondevelopmental item means— 1 any previously developed itemof supply used exclusively',
979:'for governmental purposes by a federal agency, a state or local government, or a foreign government with which the united',
980:'states has a mutual defense cooperation agreement; 2 any item described in paragraph 1 of this definition that requires only',
981:'minor modification or modifications of a type customarily available in the commercial marketplace in order to meet the requirements of',
982:'the procuring department or agency; or 3 any item of supply being produced that does not meet the requirements of',
983:'paragraphs 1 or 2 solely because the item is not yet in use. novation agreement means a legal instrument 1',
984:'executed by the i contractor transferor; ii successor in interest transferee; and iii government; and 2 by which, among other',
985:'things, the transferor guarantees performance of the contract, the transferee assumes all obligations under the contract, and the government recognizes',
986:'the transfer of the contract and related assets. offer means a response to a solicitation that, if accepted, would bind',
987:'the offeror to performthe resultant contract. responsesto invitations for bids sealedbiddingare offerscalled bids or sealed bids; responses to requests for',
988:'proposals negotiation are offers called proposals;however,responses to requestsforquotations simplified acquisition are quotations, not offers. for unsolicited proposals, see subpart 15.6.',
989:'offeror means offeror or bidder. office of small and disadvantaged business utilization means the office ofsmallbusiness programswhen referring to the',
990:'department of defense. omb uniform guidance at 2 cfr part 200 is the abbreviated title for uniform administrative requirements, cost',
991:'principles, and audit requirements for federal awards 2 cfr part 200, which supersedes omb circulars a21, a87, a89, a102,a110, a122,',
992:'and a133, and the guidance in circular a50 onaudit followup. option means a unilateral right in a contract by which,',
993:'for a specified time, the government may elect to purchase additional supplies or services called for by the contract, or',
994:'may elect to extend the term of the contract. organizational conflict of interest means that because of other activities or',
995:'relationships with other persons, a person is unable or potentially unable torender impartial assistance or advice tothe government, or the',
996:'person’s objectivity in performing the contract work is or might be otherwise impaired, or a person has an unfair competitive',
997:'advantage. outlying areas means 1 commonwealths i puerto rico. ii the northern mariana islands; 2 territories. i american samoa. ii',
998:'guam. iii u.s. virgin islands; and 3 minor outlying islands. i baker island. ii howland island. iii jarvis island. iv',
999:'johnston atoll. v kingman reef. vi midway islands. vii navassa island. viii palmyra atoll. ix wake atoll. overtime means time',
1000:'worked bya contractor’s employee in excess ofthe employee’s normal workweek. subpart 2.1 definitions 2.101 overtime premium means the difference between',
1001:'the contractor’s regular rate of pay to an employeeforthe shift involved and the higher rate paid for overtime. it does',
1002:'not include shift premium, i.e., thedifference between the contractorsregular rate of pay to an employee and the higher rate paid',
1003:'for extrapayshift work. partial termination means the termination of a part, but not all, of the work that has not',
1004:'been completed and accepted under a contract. past performance means an offeror’s or contractor’sperformance on active and physically completed contractssee',
1005:'4.8044. performancebased acquisition pba means an acquisition structured around the results to be achieved as opposed to the manner by',
1006:'which the work is to be performed. performance work statement pws means a statement of work for performancebased acquisitions that',
1007:'describes the required resultsin clear, specificand objectiveterms with measurable outcomes. personal property meanspropertyof any kind or interest in it except',
1008:'real property, records ofthe federalgovernment, and naval vessels of the following categories: 1 battleships; 2 cruisers; 3 aircraft carriers; 4',
1009:'destroyers; and 5 submarines. personal services contract means a contract that, by its express terms or as administered, makes the',
1010:'contractor personnel appear to be,in effect, government employeessee 37.104. plant clearance officer means an authorized representative of the contracting officer,appointed',
1011:'in accordance with agency procedures, responsible for screening, redistributing, and disposing ofcontractor inventory froma contractor’s plantor work site. theterm contractor’s',
1012:'plant includes, but is notlimited to, governmentowned contractoroperated plants, federal installations, and federal and nonfederal industrial operations, as may be',
1013:'required under the scope of the contract. pollution prevention means any practice that 1 i reduces the amount of any',
1014:'hazardous substance, pollutant, or contaminant entering any waste stream or otherwise released into the environment including fugitive emissions prior to',
1015:'recycling, treatment, or disposal; and ii reduces the hazards to public health and the environment associated with the release of',
1016:'such substances, pollutants, and contaminants; 2 reduces or eliminates the creation ofpollutants through increased efficiency in the use of rawmaterials,',
1017:'energy, water, orother resources; or 3 protects natural resources by conservation. power of attorney meansthe authoritygiven one person orcorporation to',
1018:'actforand obligateanother,as specified inthe instrument creating the power; in corporate suretyship, an instrument under seal that appoints an attorneyinfact to',
1019:'act in behalf of a surety company in signing bonds see also attorneyinfact at 28.001. preaward survey means an evaluation',
1020:'ofa prospective contractor’s capability to perform a proposed contract. preponderance of the evidence means proof by information that, compared with',
1021:'that opposing it, leads to the conclusion that the fact at issue is more probably true than not. pricing means',
1022:'the process of establishing a reasonable amount or amounts to be paid for supplies or services. principal means an officer,',
1023:'director, owner,partner, or a personhaving primarymanagementor supervisory responsibilities within a business entity e.g., general manager; plant manager; head of a',
1024:'division or business segment; and similar positions. procurement see acquisition. procuring activity means a component of an executive agency having',
1025:'a significant acquisition function and designated as suchby the head ofthe agency. unlessagency regulations specify otherwise,the term procuring activity is',
1026:'synonymous with contracting activity. products has the same meaning as supplies. projected average loss means the estimated longterm average loss',
1027:'per period for periods of comparable exposure to risk of loss. proper invoice means an invoice that meets the minimum',
1028:'standards specified in 32.905b. purchase order, when issued by the government, means an offer by thegovernment to buy supplies or',
1029:'services, including construction and research and development, upon specified terms and conditions, using simplified acquisition procedures. federal acquisition regulation qualification',
1030:'requirement means a government requirement for testing or other quality assurance demonstration that must be completed before award of a',
1031:'contract. qualified products list qpl means a list of products that have been examined, tested, and have satisfied all applicable',
1032:'qualification requirements. qualifying offeror, as used in 13.1061 and 15.304, means an offeror thatis determined to be a responsible source,',
1033:'submits a technically acceptableproposal that conforms to the requirements of the solicitation, and the contracting officer has no reason to',
1034:'believe would be likely to offerother thanfair and reasonable pricing 10 u.s.c. 3206c4. receiving report means written evidence that indicates',
1035:'government acceptance of supplies delivered or services performed see subpart 46.6. receiving reports must meet the requirements of 32.905c. recovered',
1036:'material means waste materials and byproducts recovered or diverted from solid waste, but the term does not include those materials',
1037:'and byproducts generated from, and commonly reused within, an original manufacturing process 42 u.s.c. 6903. registered in the system for',
1038:'award management sam means that— 1 the contractor has entered all mandatory information, including the unique entity identifier and the',
1039:'electronic funds transferindicator if applicable, thecommercial and government entity cage code, as well as data required by thefederal fundingaccountability and',
1040:'transparency act of 2006 see subpart 4.14, into sam; 2 the contractor has completed the core, assertions, representations and certifications,',
1041:'and points of contact sections of the registration in sam; 3 the government has validated all mandatory data fields, toinclude',
1042:'validation of the taxpayer identification number tin with the internal revenue service irs. the contractor will be required to provide',
1043:'consent for tin validation to the government as a part of the sam registration process; and 4 the government has',
1044:'marked the record active. requesting agency means the agency that has the requirement for an interagency acquisition. residual value means',
1045:'the proceeds, lessremoval and disposal costs, if any, realizedupon disposition ofa tangible capital asset. it usually is measured by the',
1046:'net proceeds from the sale or other disposition of the asset, or its fair value if the asset is traded',
1047:'in on another asset. the estimated residual value is a current forecast of the residual value. responsible audit agency means',
1048:'the agency that is responsible for performing all required contract audit services at a business unit. responsible prospective contractor means',
1049:'a contractor that meets the standards in 9.104. reverse auction means the process for obtaining pricing, usuallysupported by anelectronic tool,in',
1050:'which offerors see competing offerors prices, withoutdisclosure of the competing offerors identity,andhavethe opportunityto submit lower priced offersuntil the close ofthe',
1051:'auction. scrap means personal property that has no value except its basicmetallic, mineral, or organic content. segment meansoneof twoor more',
1052:'divisions, product departments, plants, or othersubdivisions of anorganization reporting directly to ahome office,usually identified withresponsibilityforprofit and/or producinga productor service. the',
1053:'term includes 1 governmentowned contractoroperated goco facilities; and 2 joint ventures and subsidiaries domestic and foreign inwhich the organization has',
1054:'i a majority ownership; or ii less than a majority ownership, but over which it exercises control. selfinsurance means the',
1055:'assumption or retention of the risk of loss by the contractor,whethervoluntarily or involuntarily. selfinsurance includes the deductible portion of purchased',
1056:'insurance. senior procurement executive means the individual appointed pursuant to 41 u.s.c. 1702c who is responsible for management direction of',
1057:'theacquisition system of theexecutive agency, includingimplementation of theunique acquisition policies,regulations, and standardsof the executive agency. servicedisabled veteranowned small business sdvosb',
1058:'concern means a small business concern– 1 inotlessthan51percentofwhichisownedandcontrolledbyoneormoreservicedisabledveteransor,inthe case of any publicly owned business, not less than 51 percent of',
1059:'the stock of which is owned by one or more servicedisabled veterans; and ii the management and daily business operations',
1060:'of which are controlled by one or more servicedisabled veterans or, in the case of a servicedisabledveteran with permanent and',
1061:'severe disability, the spouse or permanent caregiver of such veteran; or subpart 2.1 definitions 2.101 2 a small business concern',
1062:'eligible under the sdvosb program in accordance with 13 cfr part 128 see subpart 19.14. 3 servicedisabled veteran, as used',
1063:'in this definition, means a veteran as defined in 38 u.s.c. 1012, with a disability that is serviceconnected, as defined',
1064:'in 38 u.s.c. 10116, and who is registered in the beneficiary identification and records locator subsystem, or successor system that',
1065:'is maintained by the department of veterans affairs’ veterans benefits administration, as a servicedisabled veteran. servicedisabled veteranowned small business sdvosb',
1066:'concern eligible under the sdvosb program means an sdvosb concern that— 1 effective january 1,2024, is designated inthe system for',
1067:'award management sam ascertifiedby the small business administration sba in accordance with 13 cfr 128.300; or 2 has represented that',
1068:'it is an sdvosb concern in sam and submitted a complete application for certification to sba on or before december',
1069:'31, 2023. servicedisabled veteranowned small business sdvosb program means a program that authorizes contracting officers to limit competition, including award',
1070:'on a solesource basis, to sdvosb concerns eligible under the sdvosb program. servicing agency means the agency that will conduct',
1071:'an assisted acquisition on behalf of the requesting agency. shall denotes the imperative. shipment means freight transported or to be',
1072:'transported. shop drawings means drawings submitted by the construction contractor or a subcontractor at any tier or required under a',
1073:'construction contract, showing in detail either or both of the following: 1 the proposed fabrication and assembly of structural elements.',
1074:'2 the installation i.e., form, fit, and attachment details of materials or equipment. should means an expected course of action',
1075:'or policy that is to be followed unless inappropriate for a particular circumstance. signature or signed means the discrete,verifiable symbol',
1076:'ofan individual that, when affixed to awriting with the knowledge and consent of the individual, indicates a present intention to',
1077:'authenticate the writing. this includes electronic symbols. simplified acquisition procedures means the methods prescribed in part 13 for making purchases',
1078:'of supplies or services. simplified acquisition threshold means $250,000, except for— 1 acquisitions of supplies or services that, asdetermined by',
1079:'theheadof the agency, are to be used to supporta contingency operation; to facilitate defenseagainst or recovery from cyber, nuclear, biological,',
1080:'chemical, or radiological attack; to support a request from the secretary of state or the administrator of the united states',
1081:'agency for international development to facilitate provision of international disaster assistance pursuant to 22 u.s.c. 2292 et seq. ; or',
1082:'to support response to an emergency or major disaster 42 u.s.c. 5122, 41 u.s.c. 1903, the term means– i $800,000',
1083:'for any contract to be awarded and performed, or purchase to be made, inside the united states; and ii $1.5',
1084:'million for any contract to be awarded and performed, or purchase to be made, outside the united states; and 2',
1085:'acquisitions of supplies or services that, asdetermined by theheadof the agency, are to be used to supporta humanitarian or peacekeeping',
1086:'operation 10 u.s.c. 3015, the term means $500,000 for any contract to be awarded and performed, or purchase to be',
1087:'made, outside the united states. single, governmentwide point of entry, means the one point of entry to be designated by',
1088:'the administrator of ofpp that will allow the private sector to electronically access procurement opportunities governmentwide. small business concern— 1',
1089:'means a concern, including itsaffiliates, that is independently owned and operated, not dominant inits field of operation, and qualified as',
1090:'a small business under the criteria and size standards in 13 cfr part 121 see 19.102. 2 affiliates, as used',
1091:'in this definition, means business concerns, one of whom directly or indirectly controls or has the power to control the',
1092:'others, or a third party or parties control or have the power to control the others. in determining whether affiliationexists,',
1093:'consideration is given to all appropriate factors including commonownership, commonmanagement, and contractualrelationships. sbadeterminesaffiliation based onthe factors setforth at 13 cfr121.103.',
1094:'small business subcontractor means a concern that does not exceed the size standard for the north american industry classification systems',
1095:'code that the prime contractor determines best describes the product or service being acquired by the subcontract. small business teaming',
1096:'arrangement— 1 means an arrangement where– federal acquisition regulation itwo ormore smallbusinessconcerns have formed a joint venture; or iiasmall business',
1097:'offeror agrees withone or more other small business concerns to have themact as its subcontractorsunder a specified government contract. a',
1098:'small business teamingarrangement between the offeror and its small business subcontractors exists through a written agreement between the parties that–',
1099:'aisspecifically referred to as a small businessteamingarrangement; and b setsforth the different responsibilities, roles, and percentagesorotherallocationsof work as it relates',
1100:'tothe acquisition; 2 i for civilian agencies, may include two business concerns in a mentorprotégé relationship when both the mentor',
1101:'and the protégé aresmall or the protégé is small and the concerns have received an exception to affiliation pursuant to',
1102:'13 cfr 121.103h3ii or iii. ii for dod, may include two business concerns in a mentorprotégé relationship in the dod',
1103:'mentorprotégé program see 10 u.s.c. 4902 when both the mentor and the protégé are small. there is no exception to',
1104:'joint venture size affiliationforoffers received fromteaming arrangements under the dodmentorprotégéprogram; and 3 see 13 cfr 121.103b9 regarding the exception to',
1105:'affiliation for offers receivedfrom small business teaming arrangementsin the case of a solicitation ofoffers for a bundled contract with a',
1106:'reserve. small disadvantaged business concern consistent with 13 cfr 124.1001, means a small business concern under the size standard applicable',
1107:'to the acquisition, that: 1 is at least 51 percent unconditionally and directly owned as defined at 13 cfr 124.105',
1108:'by— i one or more socially disadvantaged as defined at 13 cfr 124.103 and economically disadvantaged as defined at 13',
1109:'cfr 124.104 individuals who are citizens of the united states; and ii each individual claiming economic disadvantage has a net',
1110:'worth not exceeding the threshold at 13 cfr 124.104c2 after taking into account the applicable exclusions set forth at 13',
1111:'cfr 124.104c2; and 2 the management and daily business operations of which are controlled as defined at 13 cfr 124.106',
1112:'by individuals who meet the criteria in paragraphs 1i and ii of this definition. sole source acquisition means a contract',
1113:'for the purchase of supplies or services that is entered into or proposed to be entered into by an agency',
1114:'after soliciting and negotiating with only one source. solicitation means any requestto submitoffers or quotations to the government. solicitations undersealed',
1115:'bidprocedures are called invitations for bids. solicitations under negotiated procedures are called requests for proposals. solicitations undersimplified acquisition procedures may',
1116:'require submissionof either a quotation or an offer. solicitation provision or provision means a term or condition used only in',
1117:'solicitations and applying only before contract award. source selection information means any of the following information that is prepared for',
1118:'use by an agency for the purpose of evaluating a bid or proposal to enter into an agency procurement contract,',
1119:'if that information has not been previously made available to the public or disclosed publicly: 1 bid prices submitted in',
1120:'response to an agency invitation for bids, or lists of those bid prices before bid opening. 2 proposed costs or',
1121:'prices submitted in response to an agency solicitation, or lists of those proposed costs or prices. 3 source selection plans.',
1122:'4 technical evaluation plans. 5 technical evaluations of proposals. 6 cost or price evaluations of proposals. 7 competitive range determinations',
1123:'that identify proposals that have a reasonable chance of being selected for award of a contract. 8 rankings of bids,',
1124:'proposals, or competitors. 9 reports and evaluations of source selection panels, boards, or advisory councils. 10 other information markedas source',
1125:'selection informationsee far 2.101 and 3.104 based on a casebycase determination by the head of theagency or the contracting officer,',
1126:'that its disclosure would jeopardize the integrity or successful completion of the federal agency procurement to which the information relates.',
1127:'special competency means a special or unique capability, including qualitative aspects, developed incidental to the primary functions of the federally',
1128:'funded research and development centers to meet some special need. special test equipment means either single or multipurpose integrated test',
1129:'units engineered, designed, fabricated, or modified to accomplish special purpose testing in performing a contract. it consists of items or',
1130:'assemblies of equipment including foundations and similar improvements necessary for installing special test equipment, and standard or general purpose items',
1131:'or components that are interconnected and interdependent so as to become a new functional entity for special subpart 2.1 definitions',
1132:'2.101 testing purposes. special test equipment doesnot includematerial, specialtooling, real property, and equipmentitemsused for general testing purposes or property that',
1133:'with relatively minor expense can be made suitable for general purpose use. special tooling means jigs, dies, fixtures, molds, patterns,',
1134:'taps, gauges, and all components of these items including foundations and similar improvements necessary for installing special tooling, and which',
1135:'are of such a specialized nature that without substantial modification or alteration their use is limited to the development or',
1136:'production of particular supplies or parts thereof or to the performance of particular services. special tooling does not include material,',
1137:'special test equipment, realproperty, equipment, machine tools,or similar capital items. state and local taxes means taxes levied by the states,',
1138:'the district of columbia, outlying areas of the united states, or their political subdivisions. statement of objectives soo means a',
1139:'governmentprepared document incorporated into the solicitation that states the overall performance objectives. it is used in solicitations when the government',
1140:'intends to provide the maximum flexibility to each offeror topropose aninnovative approach. subline item means a subset of a line',
1141:'item. substantial evidence means information sufficientto support the reasonable belief that a particular act or omission has occurred. substantially as',
1142:'follows or substantially the same as, when used in the prescription and introductory text of a provision or clause, means',
1143:'that authorization is granted to prepare and utilize a variation of that provision or clause to accommodate requirementsthat arepeculiar to',
1144:'an individual acquisition; provided that the variationincludes the salient featuresof the far provisionor clause, andis not inconsistentwith the intent, principle,and',
1145:'substance of the farprovision or clause or related coverage ofthe subject matter. supplemental agreement means a contract modification that is',
1146:'accomplished by the mutual action of the parties. supplies means all property except land or interest in land. it includes',
1147:'but is not limited to public works, buildings, and facilities; ships, floating equipment, and vessels of every character, type, and',
1148:'description, together with parts and accessories; aircraft and aircraft parts, accessories, and equipment; machine tools; and the alteration or installation',
1149:'of any of the foregoing. supporting a diplomatic or consular mission means performing outside the united states under a contract',
1150:'administered by federal agency personnel who are subject to the direction of a chief of mission. surety means an individual',
1151:'or corporation legally liable for the debt, default, or failure of a principal to satisfy a contractual obligation. the types',
1152:'of sureties referred to are as follows: 1 an individual suretyis one person, as distinguished froma business entity, whois liable',
1153:'for the entire penal amount of the bond. 2 a corporate suretyis licensed under various insurance laws and, underits charter,',
1154:'has legal power to act as surety for others. 3 a cosurety is one of two or more sureties that',
1155:'are jointly liable for the penal sum of the bond. a limit of liability for each surety may be stated.',
1156:'surplus property means excess personal property not required by any federal agency as determined by the administrator of the general',
1157:'services administration gsa. see 41 cfr 10236.40. suspension means action takenby a suspending official under 9.407 to disqualify a contractor',
1158:'temporarily from government contracting and governmentapproved subcontracting; a contractor that is disqualified is suspended. sustainable acquisition means acquiring products and',
1159:'services in order to create and maintain conditions 1 under which humans and nature can exist in productive harmony; and',
1160:'2 that permit fulfilling the social, economic, and other requirements of present and future generations. sustainable products and services means',
1161:'products and services that are subject to and meet the following applicable statutory mandates and directives for purchasing: 1 statutory',
1162:'purchasing programs. i products containing recovered material designated by the u.s. environmental protection agency epa underthe comprehensive procurement guidelines 42',
1163:'u.s.c. 6962 40 cfr part 247 https:// www.epa.gov/smm/comprehensiveprocurementguidelinecpgprogramproducts . iienergyand waterefficient products thatare energystar® certified or federal energy management program',
1164:'fempdesignated products 42 u.s.c. 8259b 10 cfr part 436, subpart c https://www.energy.gov/eere/femp/ searchenergyefficientproducts and https://www.energystar.gov/products?s=mega . iii biobased products meeting',
1165:'the content requirement of the u.s. department of agriculture under the biopreferred® program 7 u.s.c. 8102 7 cfr part 3201',
1166:'https://www.biopreferred.gov . federal acquisition regulation iv acceptable chemicals,products, and manufacturingprocesses listedunder epas significant new alternatives policy snap program, which ensures',
1167:'a safe and smooth transition away from substances that contribute to the depletion of stratospheric ozone 42 u.s.c. 7671l 40',
1168:'cfr part 82, subpart g https://www.epa.gov/snap. 2 required epa purchasing programs. i watersense® labeled waterefficient productsandservices https:// www.epa.gov/watersense/watersenseproducts . ii',
1169:'safer choicecertified products products that contain safer chemical ingredients https://www.epa.gov/ saferchoice/products . iii products and services thatmeet epa recommendations of',
1170:'specifications,standards,and ecolabels ineffect as of october 2023 https://www.epa.gov/greenerproducts/recommendationsspecificationsstandardsandecolabelsfederalpurchasing . system for award management sam means the primary government repository for',
1171:'prospective federal awardee and federal awardee information and the centralized government system for certain contracting, grants, and other assistance related',
1172:'processes. it includes— 1 data collected from prospective federal awardees required for the conduct of business with the government; 2',
1173:'prospective contractorsubmitted annual representations and certifications in accordance with farsubpart 4.12; and 3 identification of those parties excluded from receiving',
1174:'federal contracts, certain subcontracts, and certain types of federal financial and nonfinancial assistance and benefits. task order means an order',
1175:'for services placed against an established contract or with government sources. taxpayer identification number tin means the number required by',
1176:'the irs to be used by the offerorin reporting income taxand otherreturns. the tin maybe either a social security number',
1177:'or an employeridentification number. technical data means recorded information regardless of the form or method of the recording of a',
1178:'scientific or technical nature including computer databases and computer software documentation. this term does not include computer software or financial,',
1179:'administrative, cost or pricing, or management data or other information incidental to contract administration. the term includes recorded information of',
1180:'a scientific or technical nature that is included in computer databases see 41 u.s.c. 116. terminated portion of the contract',
1181:'means the portion of a contract that the contractor is not to perform following a partial termination. for construction contracts',
1182:'that have been completely terminated for convenience, it means the entire contract, notwithstandingthe completion of, andpayment for,individual items of work',
1183:'before termination. termination for convenience means the exerciseof the government’s right to completely orpartiallyterminate performanceof work under a contract when',
1184:'it isin the government’s interest. termination for default meansthe exerciseof the government’s right tocompletely or partiallyterminatea contract because ofthe contractor’s',
1185:'actual or anticipatedfailureto perform itscontractual obligations. termination inventory means any property purchased, supplied, manufactured, furnished, or otherwise acquired for the',
1186:'performance of a contract subsequently terminated and properly allocable to the terminated portion of the contract. it includes governmentfurnishedproperty. it',
1187:'does not include any facilities, material,special test equipment, or special toolingthat are subject to a separate contract or to a',
1188:'special contract requirement governing their use or disposition. unallowable cost meansanycostthat, under the provisions of any pertinent law, regulation,or contract,',
1189:'cannot be included in prices, costreimbursements, or settlements under a government contract to which it is allocable. unique and innovative',
1190:'concept, when used relative to an unsolicited research proposal, means that 1 in the opinion and to the knowledgeof the',
1191:'government evaluator, the meritoriousproposal i is the product of original thinking submitted confidentially by one source; iicontains new,novel, or changed',
1192:'concepts,approaches, or methods; iii was not submitted previouslyby another; and iv is not otherwise available within the federal government. 2',
1193:'in this context, the term does not mean that the source has the sole capability of performing the research. unique',
1194:'entity identifier means a number or other identifier used to identify a specific commercial, nonprofit, or government entity. see www.sam.gov',
1195:'for the designated entity for establishing unique entity identifiers. united states, when used in a geographic sense, means the 50',
1196:'states and the district of columbia, except as follows: 1 for use in subpart 3.10, see the definition at 3.1001.',
1197:'2 for use in subpart 22.8, see the definition at 22.801. 3 for use in subpart 22.10, see the definition',
1198:'at 22.1001. 4 for use in subpart 22.13, see the definition at 22.1301. subpart 2.1 definitions 2.101 5 for use',
1199:'in subpart 22.16, see the definition at 22.1601. 6 for use in subpart 22.17, see the definition at 22.1702. 7',
1200:'for use in subpart 22.18, see the definition at 22.1801. 8 for use in subpart 22.19, see the definition at',
1201:'22.1901. 9 for use in subpart 23.1, see the definition at 23.101. 10 for use in part 25, see the',
1202:'definition at 25.003. 11 for use in part 27, see the definition at 27.001. 12 for use in subpart 47.4,',
1203:'see the definition at 47.401. unsolicited proposal means a written proposal for a new or innovative idea that is submitted',
1204:'to an agency on the initiative of the offeror for the purposeof obtaining a contract withthe government, and thatis not',
1205:'in response toa requestfor proposals, broad agency announcement,smallbusinessinnovation research topic, small business technology transfer research topic, program research and development',
1206:'announcement, or any other governmentinitiated solicitation or program. value engineering means an analysis of the functions of a program, project,',
1207:'system, product, item of equipment, building, facility, service, orsupplyof an executive agency, performed by qualifiedagency or contractorpersonnel, directed at improving',
1208:'performance, reliability, quality,safety,and lifecyclecosts 41 u.s.c. 1711. for usein the clause at 52.2482, see the definition at 52.2482b. value engineering',
1209:'change proposal vecp— 1 means a proposal that– i requires a change to the instant contract to implement; and ii',
1210:'results in reducing the overall projected cost to the agency without impairing essential functions or characteristics, provided, that it does',
1211:'not involve a change– a in deliverable end item quantities only; b in research and development r&d items or r&d',
1212:'test quantities that are due solely to results of previous testing under the instant contract; or c tothe contract type',
1213:'only. 2 for use in the clauses at i 52.2482, see the definition at 52.2482b; and ii 52.2483, see the',
1214:'definition at 52.2483b. veteranowned small business concern means a small business concern— 1 not less than 51 percent of which',
1215:'is owned and controlled by one or more veterans as defined at 38 u.s.c. 1012 or, in the case of',
1216:'any publicly owned business, not less than 51 percent of thestock of which is owned by one or more veterans;',
1217:'and 2 the management and daily business operations of which are controlled by one or more veterans. virgin material means—',
1218:'1 previously unused raw material, including previouslyunused copper, aluminum,lead, zinc, iron, other metal or metal ore; or 2 any undeveloped',
1219:'resource that is, or with new technology will become, a source of raw materials. voluntary consensus standards means common and',
1220:'repeated use of rules, conditions, guidelines or characteristics for products,or related processes and production methods and related management systems. voluntary',
1221:'consensus standards are developed or adopted by domestic and international voluntary consensus standard making bodies e.g., international organization for standardization',
1222:'iso and astminternational. see omb circular a119. warranty means a promise or affirmation given by a contractor tothe government regarding',
1223:'thenature, usefulness, or condition of the supplies or performance of services furnished under the contract. waste reduction means preventing or',
1224:'decreasing the amount of waste being generated through waste prevention, recycling, or purchasing recycled and environmentally preferable products. womenowned small',
1225:'business concern means— 1 a small business concern– ithat is at least 51 percent owned by one ormorewomen;or, in the',
1226:'case of any publicly owned business, at least 51 percent of the stock of which is owned by one or',
1227:'more women; and ii whose management and daily business operations are controlled by one or more women; or 2 a',
1228:'small business concerneligible under the womenowned small business programin accordance with 13 cfr part 127 see subpart 19.15. federal acquisition',
1229:'regulation womenowned small business wosb program. 1 womenowned small business wosb program means a program thatauthorizes contracting officers to limit',
1230:'competition, including award on a solesource basis, to— i economically disadvantaged womenowned small business edwosb concerns eligible under the wosb',
1231:'program for federal contracts assigned a north american industry classification systems naics code in an industry in which the small',
1232:'business administration sba has determined that wosb concerns are underrepresented in federal procurement; and ii wosb concerns eligible under the',
1233:'wosb program for federal contracts assigned a naics code in an industry in which sba has determined that wosb concerns',
1234:'are substantially underrepresented in federal procurement. 2 economically disadvantaged womenowned small business edwosb concern means a small business concern that',
1235:'is at least 51 percent directly and unconditionallyowned by, and the management and daily business operations of which arecontrolled by,oneor',
1236:'more women who arecitizens of the unitedstates and whoare economically disadvantaged in accordance with 13 cfr part 127, and the',
1237:'concern is certified by sba or an approved thirdparty certifier in accordance with 13 cfr 127.300 . it automatically qualifies',
1238:'as a womenowned small business wosb concern eligible under the wosb program. 3 womenowned small business wosb concern eligible under',
1239:'the wosb programmeans a small business concern that is at least 51percent directly and unconditionally owned by, andthe management and',
1240:'daily businessoperations of which are controlled by, one or more women who are citizens of the united states,and the concernis',
1241:'certified by sba or an approved thirdparty certifier in accordance with 13 cfr 127.300. writing or written see in writing.',
1242:'subpart 2.2 definitions clause 2.201 subpart 2.2 definitions clause 2.201contract clause. insert the clause at 52.2021, definitions, in solicitations and',
1243:'contracts that exceed the simplified acquisition threshold. this page intentionally left blank. part 3 improper business practices and personal conflicts',
1244:'of interest sec. 3.000 scope of part. subpart 3.4 contingent fees 3.400 scope of subpart. subpart 3.1 safeguards 3.401 definitions.',
1245:'3.101 standards of conduct. 3.402 statutory requirements. 3.1011 general. 3.403 applicability. 3.1012 solicitation and acceptance of gratuities by 3.404 contract',
1246:'clause. government personnel. 3.405 misrepresentations or violations of the 3.1013 agency regulations. covenant against contingent fees. 3.102 [reserved] 3.406 records.',
1247:'3.103 independent pricing. 3.1031 solicitation provision. subpart 3.5 other 3.1032 evaluating the certification. improper business practices 3.1033 the need for',
1248:'further certifications. 3.501 buyingin. 3.104 procurement integrity. 3.5011 definition. 3.1041 definitions. 3.5012 general. 3.1042 general. 3.502 subcontractor kickbacks. 3.1043 statutory',
1249:'and related prohibitions, 3.5021 definitions. restrictions, and requirements. 3.5022 subcontractor kickbacks. 3.1044 disclosure, protection, and marking of 3.5023 contract clause.',
1250:'contractor bid or proposal information and 3.503 unreasonable restrictions on subcontractor source selection information. sales. 3.1045 disqualification. 3.5031 policy. 3.1046',
1251:'ethics advisory opinions regarding 3.5032 contract clause. prohibitions on a former official’s acceptance of compensation from a contractor. subpart 3.6',
1252:'contracts with 3.1047 violations or possible violations. government employees or organizations 3.1048 criminal and civil penalties, and further owned or',
1253:'controlled by them administrative remedies. 3.601 policy. 3.1049 contract clauses. 3.602 exceptions. 3.603 responsibilities of the contracting officer. subpart 3.2',
1254:'contractor gratuities to government personnel subpart 3.7 voiding and 3.201 applicability. rescinding contracts 3.202 contract clause. 3.700 scope of subpart.',
1255:'3.203 reporting suspected violations of the 3.701 purpose. gratuities clause. 3.702 definition. 3.204 treatment of violations. 3.703 authority. 3.704 policy.',
1256:'subpart 3.3 reports of 3.705 procedures. suspected antitrust violations 3.301 general. subpart 3.8 limitations on the payment 3.302 definitions. of',
1257:'funds to influence federal transactions 3.303 reporting suspected antitrust violations. 3.800 scope of subpart. 3.801 definitions. 3.802 statutory prohibition and',
1258:'requirement. 3.803 exceptions. 3.804 policy. 3.805 exemption. 3.806 processing suspected violations. 3.807 civil penalties. 3.808 solicitation provision and contract clause.',
1259:'subpart 3.9 whistleblower subpart 3.10 contractor code protections for contractor employees of business ethics and conduct 3.900 scope of subpart.',
1260:'3.1000 scope of subpart. 3.901 definitions. 3.1001 definitions. 3.902 classified information. 3.1002 policy. 3.903 policy. 3.1003 requirements. 3.904 complaints. 3.1004',
1261:'contract clauses. 3.9041 procedures for filing complaints. 3.9042 procedures for investigating complaints. subpart 3.11 preventing personal conflicts 3.905 remedies and',
1262:'enforcement of orders. of interest for contractor employees 3.9051 remedies. performing acquisition functions 3.9052 enforcement of orders. 3.1100 scope of',
1263:'subpart. 3.906 contract clause. 3.1101 definitions. 3.907 whistleblower protections under the 3.1102 policy. american recovery and reinvestment act of 3.1103',
1264:'procedures. 2009 the recovery act. 3.1104 mitigation or waiver. 3.9071 definitions. 3.1105 violations. 3.9072 policy. 3.1106 contract clause. 3.9073 procedures',
1265:'for filing complaints. 3.9074 procedures for investigating complaints. 3.9075 access to investigative file of inspector general. 3.9076 remedies and enforcement',
1266:'authority. 3.9077 contract clause. 3.908 [reserved] 3.909 prohibition on providing funds to an entity that requires certain internal confidentiality agreements',
1267:'or statements. 3.9091 prohibition. 3.9092 representation by the offeror. 3.9093 solicitation provision and contract clause. subpart 3.1 safeguards 3.1032 3.000scope',
1268:'of part. this part prescribes policies and procedures for avoiding improper business practices and personal conflicts of interest and for',
1269:'dealing with their apparent or actual occurrence. subpart 3.1 safeguards 3.101standards of conduct. 3.1011 general. government business shall be conducted',
1270:'in a manner above reproach and, except as authorized by statute or regulation, with complete impartiality and with preferential treatment',
1271:'for none. transactions relating to the expenditure of public funds require the highest degree of public trust and an impeccable',
1272:'standard of conduct. the general rule is to avoid strictly any conflict of interest or even the appearance of a',
1273:'conflict of interest in governmentcontractor relationships. while many federallaws and regulations place restrictions on the actions of government personnel, their',
1274:'official conduct must, in addition, be such that they would have no reluctance to make a full public disclosure of',
1275:'their actions. 3.1012 solicitation and acceptance of gratuities by government personnel. asa rule, nogovernmentemployee may solicit oraccept, directly or indirectly,',
1276:'any gratuity,gift, favor, entertainment, loan, or anything of monetary value from anyone who a has or is seeking to obtain',
1277:'government business with the employee’s agency, b conducts activities that are regulatedby the employee’s agency, orc has interests that maybe',
1278:'substantially affected by theperformance or nonperformance of theemployee’sofficial duties. certain limited exceptions are authorized in agency regulations. 3.1013 agency regulations.',
1279:'a agencies are requiredby executive order 11222of may 8,1965, and 5 cfr 735 to prescribe standards of conduct. these agency',
1280:'standards contain 1 agencyauthorized exceptions to 3.1012; and 2 disciplinary measures for persons violating the standards of conduct. b requirements',
1281:'for employee financial disclosure and restrictions on private employment for former government employees are in office of personnel management and',
1282:'agency regulations implementing public law 95521, which amended 18 u.s.c. 207. 3.102[reserved] 3.103independent pricing. 3.1031 solicitation provision. the contractingofficer shall',
1283:'insertthe provisionat 52.2032, certificate of independent price determination, in solicitations when a firmfixedprice contract or fixedprice contract with economic price',
1284:'adjustment is contemplated, unless a the acquisition is to be made under the simplified acquisition procedures in part 13; b',
1285:'[reserved] c the solicitation is a request for technical proposals under twostep sealed bidding procedures; or d the solicitation is',
1286:'for utility services for which rates are set by law or regulation. 3.1032 evaluating the certification. a evaluation guidelines. 1',
1287:'none of the following, in and of itself, constitutes disclosure as it is used in paragraph a 2 of the',
1288:'certificate of independent price determination hereafter,the certificate: ithe fact that afirm haspublished price lists, rates, or tariffs covering itemsbeing acquired',
1289:'by the government. ii the fact that a firm has informed prospective customers of proposed or pending publication of new',
1290:'or revised price lists for items being acquired by the government. iii the fact that a firm has sold the',
1291:'same items to commercial customers at the sameprices being offered to the government. iv participating in a reverse auction see',
1292:'subpart 17.8. federal acquisition regulation 2 for the purpose of paragraph b2 of the certificate, an individual may use a',
1293:'blanket authorization to act as an agent for the personsresponsiblefordetermining the offered pricesif i the proposed contract to which the',
1294:'certificate applies is clearly within the scope of the authorization; and iithe person giving the authorization is the person within',
1295:'the offeror’s organization who is responsible for determining the prices being offered at the time the certification is madein theparticular',
1296:'offer. 3 if an offer is submittedjointly by twoor more concerns, the certificationprovidedby the representative of each concern applies only',
1297:'to the activities of that concern. b rejection of offerssuspected of being collusive. 1 if the offeror deleted or modifiedparagraph',
1298:'a1 or 3 or paragraph b of thecertificate, the contracting officershallreject theofferor’s bid or proposal. 2 if the offerordeletedor modified',
1299:'paragraph a2 of the certificate, the offeror must have furnishedwith its offer a signed statement of the circumstances of the',
1300:'disclosure of prices contained in the bid or proposal. the chief of the contracting officeshallreview the alteredcertificate and the statement',
1301:'and shall determine,in writing, whether the disclosure wasmade for thepurpose or hadthe effect of restricting competition. if the determination is',
1302:'positive, the bid or proposalshallbe rejected; if it is negative, the bid or proposal shall be considered for award. 3',
1303:'whenever an offeris rejected underparagraph b1 or 2of this section,or the certificateis suspected of being false, the contractingofficer shall report',
1304:'the situation to theattorney generalin accordance with 3.303. 4 the determination made under paragraph 2 of this section shall not',
1305:'prevent or inhibit the prosecution of any criminal or civil actions involving the occurrences or transactions to which the certificate',
1306:'relates. 3.1033 the need for further certifications. a contractor that properly executed the certificate before award does not have to',
1307:'submit a separate certificate with each proposal to perform a work order or similar ordering instrument issued pursuant to the',
1308:'terms of the contract, where the government’s requirements cannot be met from another source. 3.104 procurement integrity. 3.1041 definitions. as',
1309:'used in this section— agency ethics official means the designated agency ethicsofficial described in5 cfr 2638.201 or other designated person,',
1310:'including– 1 deputy ethics officials described in 5 cfr 2638.204, to whom authority under 3.1046 has been delegated by the',
1311:'designated agencyethics official; and 2 alternatedesignated agency ethics officials described in 5 cfr 2638.202b. compensation means wages, salaries, honoraria, commissions,',
1312:'professional fees, and any other form of compensation, provided directly or indirectly for services rendered. compensation is indirectly provided if',
1313:'it is paid to an entity other than the individual, specifically in exchange for services provided by the individual. contractor',
1314:'bid or proposal information means any of the following information submitted to a federal agency as part of or in',
1315:'connection with a bid or proposal to enter into a federal agency procurement contract, if that information has not been',
1316:'previously made available to the public or disclosed publicly: 1 cost or pricing data as defined by 10 u.s.c. 37011',
1317:'with respect to procurements subject to that section, and 41 u.s.c. 3501a1, with respect to procurements subject to that section.',
1318:'2 indirect costs and direct labor rates. 3 proprietary information about manufacturing processes, operations, or techniques marked by the contractor',
1319:'in accordance with applicable law or regulation. 4 information marked by the contractor as contractor bid or proposal information in',
1320:'accordance with applicable law or regulation. 5 information marked in accordance with 52.2151e. decision to award a subcontract or modification',
1321:'of subcontract means a decision to designate award to a particular source. federal agency procurement means the acquisition by using',
1322:'competitive procedures and awarding a contract of goods or services including construction from nonfederal sources by a federal agency using',
1323:'appropriated funds. for broad agency announcements and small business innovation research programs, each proposal received by an agency constitutes a',
1324:'separate procurement for purposes of 41 u.s.c. chapter 21. subpart 3.1 safeguards 3.1042 in excess of $10,000,000 means– 1 the',
1325:'value, or estimated value, at the time of award, of the contract, including all options; 2 the total estimated value',
1326:'atthe time of award ofall orders under an indefinitedelivery, indefinitequantity, or requirements contract; 3 any multipleaward schedule contract,unlessthe contracting officerdocuments',
1327:'a lower estimate; 4 the value of a delivery order, task order, or an order under abasic ordering agreement; 5',
1328:'the amount paid or to be paid in settlement of a claim; or 6 the estimated monetary value of negotiated',
1329:'overhead or other rates when applied to the government portion of the applicable allocation base. official means– 1 an officer,',
1330:'asdefined in 5 u.s.c.2104; 2 an employee, as defined in 5 u.s.c.2105; 3 a member of the uniformed services, as',
1331:'defined in 5 u.s.c.21013; or 4 a special government employee, as defined in 18 u.s.c.202. participating personally and substantially in',
1332:'a federal agency procurement means– 1 active and significant involvement of an official in any of the following activities directly',
1333:'relatedto that procurement: i drafting, reviewing, or approving the specification or statement of work for the procurement. : ii preparing',
1334:'or developing the solicitation. iii evaluating bids or proposals, or selecting a source. iv negotiating price or terms and conditions',
1335:'of the contract. v reviewing and approving the award of the contract. 2 participating personally means participating directly, and includesthe',
1336:'direct and active supervision of a subordinates participation in the matter. 3 participating substantially means that the officials involvement is',
1337:'of significance to the matter. substantial participationrequiresmore thanofficial responsibility, knowledge, perfunctory involvement, or involvement on an administrative or peripheral issue.',
1338:'participation may be substantial even though it is not determinative of the outcome of a particular matter. a finding of',
1339:'substantiality should be basednot only on the effortdevoted toa matter, but onthe importance of the effort. while a series of',
1340:'peripheral involvements may be insubstantial, thesingle act of approving or participating in a critical step may besubstantial. however, the review',
1341:'of procurementdocuments solely to determine compliance with regulatory,administrative, orbudgetary procedures, does not constitutesubstantial participation in a procurement. 4 generally,an officialwill',
1342:'not beconsidered tohaveparticipated personally and substantiallyin a procurement solely by participating in the following activities: i agencylevel boards, panels, or',
1343:'other advisory committees that review program milestones or evaluate and make recommendations regarding alternative technologies or approaches for satisfying broad',
1344:'agencylevel missions or objectives. iithe performance ofgeneral, technical, engineering, or scientific effort havingbroad applicationnot directly associated with aparticular procurement,notwithstanding thatsuch',
1345:'general, technical,engineering, orscientific effort subsequently may be incorporated into a particular procurement. iii clerical functions supporting the conduct of a',
1346:'particular procurement. iv for procurements to be conducted under the procedures of omb circular a76, participation in management studies, preparation',
1347:'of inhouse cost estimates, preparation of most efficient organization analyses,andfurnishing of dataor technical support to be used by others in',
1348:'the development of performance standards, statements of work, or specifications. source selection evaluation board means any board, team, council, or',
1349:'other group that evaluates bids or proposals. 3.1042 general. a this section implements 41 u.s.c. chapter 21, restrictions on obtaining',
1350:'and disclosing certain information. agency supplementation of 3.104, including specific definitions to identify individuals who occupy positions specified in 3.1043d',
1351:'1ii, and any clauses required by 3.104 must be approvedby the seniorprocurement executive of theagency, unless a law establishesa higher',
1352:'level ofapproval for that agency. b agency officials are remindedthat there are other statutes and regulations thatdeal with the same',
1353:'or relatedprohibited conduct, for example 1 the offeror acceptance of a bribe orgratuity is prohibited by 18 u.s.c. 201 and',
1354:'10 u.s.c. 4651. the acceptance of a gift, under certain circumstances, is prohibited by 5 u.s.c. 7353 and 5 cfr',
1355:'part 2635; federal acquisition regulation 2 contacts with an offeror during the conduct ofan acquisition may constitute seeking employment, see',
1356:'subpart f of 5 cfr part 2636 and 3.1043c2. government officers and employees employeesare prohibited by 18 u.s.c. 208 and',
1357:'5 cfr part 2635 from participating personally and substantially in any particular matter that would affect the financial interests of',
1358:'any person with whom the employee is seeking employment. an employee who engages in negotiations or is otherwiseseeking employment withan',
1359:'offeroror who has an arrangement concerning future employment withan offeror must comply with the applicable disqualification requirements of 5 cfr',
1360:'2635.604 and 2635.606. the statutory prohibition in 18 u.s.c. 208 also may require an employee’s disqualification from participation in the',
1361:'acquisition even if the employee’s duties may not beconsidered participatingpersonally and substantially, asthisterm is defined in 3.1041; 3 postemployment restrictions',
1362:'are covered by 18 u.s.c. 207 and 5 cfr parts 2637 and 2641, that prohibit certain activities by former government',
1363:'employees, including representation of a contractor before the government in relation to any contract or other particular matter involving specific',
1364:'parties on which the former employee participated personally and substantially while employed by the government. additional restrictions apply to certain',
1365:'senior government employees and for particular mattersunder an employee’s official responsibility; 4 parts 14 and 15 place restrictions on the',
1366:'release of information related to procurements and other contractor information that must be protected under 18 u.s.c. 1905; 5 release',
1367:'of information both before and after award see 3.1044 may be prohibited by the privacy act 5 u.s.c. 552a, thetradesecrets',
1368:'act 18u.s.c. 1905, and other laws;and 6 using nonpublic information to further an employee’s private interest or that of another',
1369:'andengagingin a financial transaction using nonpublic information are prohibited by 5 cfr 2635.703. 3.1043 statutoryand relatedprohibitions, restrictions, and requirements. a',
1370:'prohibition on disclosing procurement information41 u.s.c. 2102. 1 a person described in paragraph a2 of this subsectionmust not, other than',
1371:'asprovidedby law, knowingly disclose contractorbid or proposal information or source selection information before the award of a federal agency procurement',
1372:'contract to which the information relates. see 3.1044a. 2 paragraph a1 of this subsection applies to any person who iisa',
1373:'presentor former official of theunited states, ora person whois acting or has actedforor on behalf of, or who is advising',
1374:'or has advised the united states with respect to, a federal agency procurement; and iibyvirtueof that office, employment,or relationship, has',
1375:'orhadaccess tocontractor bid or proposal information or source selection information. b prohibition on obtaining procurement information 41 u.s.c. 2102. a',
1376:'person must not, other than as provided by law,knowingly obtain contractor bid or proposal information or source selection information before',
1377:'the award of a federal agency procurement contract to which the information relates. c actions required when an agency official',
1378:'contacts or is contacted by anofferor regarding nonfederal employment 41 u.s.c. 2103. 1 if an agency official, participatingpersonally and substantially',
1379:'ina federal agency procurement for a contract inexcessof the simplified acquisition threshold, contacts or is contacted by a person who',
1380:'isan offerorin that federal agency procurement regarding possible nonfederal employment for that official, theofficial must ipromptly report thecontactin writingto theofficial’s',
1381:'supervisorand to the agency ethics official; and ii either reject the possibility of nonfederal employment or disqualify himself or herself',
1382:'from further personal and substantial participation in that federal agency procurement see 3.1045 until such time as the agency authorizes',
1383:'the official to resume participation in that procurement, in accordance with the requirements of 18 u.s.c. 208 and applicable agency',
1384:'regulations, because athe person is no longer an offeror in that federal agency procurement; or b all discussions with the',
1385:'offeror regarding possible nonfederal employment have terminated without an agreement or arrangement for employment. 2 a contact is any of',
1386:'the actions included as seeking employment in 5 cfr 2635.603b. in addition, unsolicited communications from offerors regarding possibleemploymentare consideredcontacts. 3',
1387:'agencies must retain reports of employment contacts for 2 years from the date the report was submitted. 4 conduct that',
1388:'complies with 41 u.s.c. 2104 may be prohibited by other criminal statutes and the standards of ethical conduct for employees',
1389:'of the executive branch. see 3.1042b2. d prohibition on former officials acceptance of compensation from a contractor 41 u.s.c. 2104.',
1390:'1 a former official of a federal agency may not accept compensation from a contractor that has been awarded a',
1391:'competitive or sole source contract, as an employee,officer, director, or consultant of the contractor within a periodof 1 year after',
1392:'such formerofficial subpart 3.1 safeguards 3.1044 iserved, at the time of selection ofthe contractor orthe award ofa contract to that',
1393:'contractor, as the procuring contracting officer, thesource selection authority, a memberof asource selection evaluation board, or the chief of a',
1394:'financial or technical evaluation team in a procurement in which that contractor was selected for award of a contract in',
1395:'excess of $10,000,000; iiserved as the program manager, deputy program manager, or administrative contracting officer for a contract in excess',
1396:'of $10,000,000 awarded to that contractor; or iii personally made for the federal agency a decision to aawarda contract, subcontract,',
1397:'modificationof acontract orsubcontract, or a task orderor delivery order in excess of $10,000,000 to that contractor; b establish overhead or',
1398:'other rates applicable to a contract or contracts for that contractor that are valued in excess of $10,000,000; c approve',
1399:'issuance of a contract payment or payments in excess of $10,000,000 to that contractor; or dpay orsettle a claim in',
1400:'excess of $10,000,000 withthat contractor. 2 the 1year prohibition begins on the date i of contract award for positions described',
1401:'in paragraph d1i of this subsection, or the date of contractor selection if the official was not serving inthe position',
1402:'on the date ofaward; iithe official last served inoneof the positions described in paragraph d1ii of this subsection; or iii',
1403:'the officialmadeone of the decisions described inparagraph d1iii of thissubsection. 3 nothing inparagraph d1 of this subsection may be construed',
1404:'to prohibit a formerofficial of a federalagency from acceptingcompensation fromanydivision or affiliate of a contractor that does notproducethe same or',
1405:'similar products or services as the entity of the contractor that is responsible for the contract referred to in paragraph',
1406:'d1 of this subsection. 3.1044 disclosure, protection, andmarking of contractor bid or proposal information andsource selection information. a except as',
1407:'specifically provided for in this subsection, no person or other entity may disclose contractor bid or proposal information or source',
1408:'selection information to any person other than a person authorized, in accordance with applicable agency regulations or procedures, by the',
1409:'agency head or the contracting officer to receive such information. b contractor bid or proposal information and source selection information',
1410:'must be protected from unauthorized disclosure in accordance with 14.401, 15.207, applicable law, and agencyregulations. c individuals unsure if particular',
1411:'information is source selection information, as defined in 2.101, should consult with agency officials as necessary. individuals responsible for preparing',
1412:'materialthat may be source selectioninformation as described at paragraph 10 of the source selection information definition in 2.101 must mark',
1413:'the cover page and each page that the individual believes contains source selection information with the legend source selection informationsee',
1414:'far 2.101 and 3.104. although the information in paragraphs 1 through 9 of the definition in 2.101 is considered to',
1415:'be source selection informationwhetheror not marked, all reasonable efforts mustbe made tomarksuch material with the samelegend. d except as provided',
1416:'in paragraph d3of this subsection, thecontracting officer must notifythe contractor in writing if thecontracting officer believesthat proprietary information,contractor bid or',
1417:'proposal information, or information marked in accordance with 52.2151e has been inappropriately marked. the contractor thathas affixed the marking must',
1418:'be given an opportunity to justify the marking. 1 if the contractor agrees that the marking is not justified, or',
1419:'does not respond within the time specified in the notice, thecontracting officer may remove the markingandrelease the information. 2 if,',
1420:'afterreviewing the contractor’s justification, the contractingofficer determines that the marking isnot justified, thecontracting officer must notifythe contractor in writing before',
1421:'releasing the information. 3 for technical data marked as proprietaryby acontractor, the contracting officer must follow the procedures in 27.4045.',
1422:'e this section does not restrict or prohibit 1 a contractor from disclosing its own bid or proposal information or',
1423:'the recipient from receiving that information. during reverse auctions, agenciesmay reveal to all offerors the offeredprices, but shall not reveal',
1424:'any offerors identity except for the awardees identity subsequent to an award resulting from the auction see subpart 17.8; 2',
1425:'the disclosure or receipt of information, not otherwise protected, relating to a federal agency procurement after it has been canceled',
1426:'by the federal agency, before contract award, unless the federal agency plans to resume the procurement; federal acquisition regulation 3',
1427:'individual meetingsbetween a federal agency official and anofferor or potential offeror for, or a recipient of, a contract or subcontract',
1428:'under a federal agency procurement, provided that unauthorized disclosure or receipt of contractor bid or proposal information or source selection',
1429:'information does not occur; or 4 the government’s use of technical datain a manner consistent with thegovernment’s rights in the',
1430:'data. f this section does not authorize 1 the withholding of any information pursuant to a proper request from the',
1431:'congress, any committee or subcommittee thereof, a federal agency,the comptroller general, or aninspector general of a federal agency, except as',
1432:'otherwise authorized by law or regulation. any release containing contractor bid or proposal information or source selection information must clearly',
1433:'identify the information as contractor bid or proposal information or source selection information related to the conduct of a federal',
1434:'agency procurement and notify the recipient that the disclosure of the information is restricted by 41 u.s.c. chapter 21; 2',
1435:'the withholding of information from, or restricting its receiptby, the comptroller general in the course of a protest against the',
1436:'award or proposed award of a federal agency procurement contract; 3 the release of information after award of a contract',
1437:'or cancellation of a procurement if such information is contractor bid or proposal information or source selection information that pertains',
1438:'to another procurement; or 4 the disclosure, solicitation, or receipt of bid or proposal information or source selection information after',
1439:'award if disclosure,solicitation,orreceiptisprohibitedbylaw. see 3.1042b5 and subpart 24.2. 3.1045 disqualification. a contacts through agents or other intermediaries. employmentcontacts between the',
1440:'employee and the offeror, that are conducted through agents, or other intermediaries, may require disqualification under 3.1043c1. these contacts may',
1441:'also require disqualification under other statutes and regulations. see 3.1042b2. b disqualification notice. in addition to submitting the contact report',
1442:'required by 3.1043c1, an agency official who must disqualify himself or herself pursuant to 3.1043c1ii must promptly submit written notice',
1443:'of disqualification from furtherparticipation inthe procurementto the contracting officer,the source selection authority if other than thecontracting officer, and the agency',
1444:'official’s immediate supervisor. asa minimum, the notice must 1 identify the procurement; 2 describe the nature of the agency official’sparticipation',
1445:'inthe procurement and specify theapproximate dates or time period of participation; and 3 identifythe offerorand describe its interest inthe procurement.',
1446:'c resumption of participation in a procurement. 1 the official mustremaindisqualified until such time as theagency, at its sole and',
1447:'exclusivediscretion, authorizes the official to resume participation in the procurement in accordance with 3.1043c1ii. 2 after the conditions of 3.1043c1iia',
1448:'or b have been met, the head of the contracting activity hca, after consultation with the agency ethics official, may',
1449:'authorize the disqualified official to resumeparticipation inthe procurement, or may determine that an additional disqualification period is necessary to protect',
1450:'the integrity of the procurement process. in determining the disqualification period, the hca must consider any factors that create an',
1451:'appearance that the disqualified official acted without complete impartiality in the procurement. the hca’s reinstatement decision should be in writing.',
1452:'3 government officer oremployee must also comply with theprovisionsof 18 u.s.c.208 and 5 cfr part 2635 regarding any resumed participation',
1453:'in a procurement matter. government officer or employee may not be reinstated to participatein a procurementmatter affecting the financial interest',
1454:'of someone with whom theindividual is seeking employment, unless the individual receives i a waiver pursuant to 18 u.s.c. 208b1',
1455:'or b3; or ii an authorization in accordance with the requirements of subpart f of 5 cfr part 2635. 3.1046',
1456:'ethics advisory opinions regardingprohibitions on a formerofficial’sacceptance of compensation from a contractor. a an officialor former official of a federal',
1457:'agency who does not know whether he orshe is or would beprecludedby 41 u.s.c. 2104 see 3.1043d from accepting compensation',
1458:'from a particular contractor may request advice from the appropriate agencyethicsofficial beforeaccepting such compensation. b the request for an advisory',
1459:'opinion must be in writing, include all relevant information reasonably available to the official or former official, and be dated',
1460:'and signed. the request must includeinformationabout the subpart 3.1 safeguards 3.1047 1 procurements, or decisions on matters under 3.1043d1iii,involving the',
1461:'particular contractor,in whichthe individual was or is involved, including contract or solicitation numbers, dates of solicitation or award, a description',
1462:'of the supplies or services procured or to be procured, and contract amount; 2 individual’s participation in the procurement or',
1463:'decision, includingthe dates or time periods of thatparticipation, and the natureof the individual’s duties, responsibilities, or actions; and 3 contractor,',
1464:'including adescription ofthe products or services producedby the division or affiliateof the contractor from whom the individual proposes to accept',
1465:'compensation. c within 30 days after receipt of a request containingcomplete information, or assoon thereafter aspracticable, the agency ethicsofficial should',
1466:'issuean opinion on whether the proposed conductwould violate 41 u.s.c. 2104. d 1ifcompleteinformationisnotincludedintherequest,theagencyethicsofficialmayasktherequestertoprovide more information or request information from other',
1467:'persons, includingthe source selection authority, the contracting officer, or the requester’s immediate supervisor. 2 in issuing anopinion, the agency ethics',
1468:'official mayrely upon the accuracy ofinformation furnished by the requester or other agency sources, unless he or she has reason',
1469:'to believe that the information is fraudulent, misleading, or otherwise incorrect. 3 if the requester is advised in a written',
1470:'opinionby the agency ethics official that the requester mayaccept compensation from a particularcontractor, and accepts suchcompensation in good faith reliance',
1471:'on that advisory opinion, then neither the requester nor the contractor will be found to have knowingly violated 41 u.s.c.',
1472:'2104. if the requester or the contractor has actual knowledge or reason to believe that the opinion is based upon',
1473:'fraudulent, misleading, or otherwise incorrect information, their reliance upon the opinion will not be deemed to be in good faith.',
1474:'3.1047 violationsor possible violations. a a contractingofficer who receivesor obtains information of a violation or possible violationof 41 u.s.c. 2102,',
1475:'2103, or 2104 see 3.1043 must determine if the reported violation or possible violation has any impact on the pending',
1476:'award or selection of the contractor. 1 if the contracting officer concludes that there is no impacton the procurement, the',
1477:'contracting officermust forward the information concerning the violation or possible violation and documentation supporting a determination that there is no',
1478:'impact on the procurement to an individual designated in accordance with agency procedures. iif that individual concurs,the contracting officer mayproceed',
1479:'with the procurement. iiif thatindividual does not concur,the individualmust promptly forward the information and documentation to thehca and advise the',
1480:'contractingofficer to withhold award. 2 if the contracting officer concludes that the violation or possible violation impacts the procurement, the',
1481:'contracting officer must promptly forward the information to the hca. b the hca must review all information available and, in',
1482:'accordance with agency procedures, take appropriate action, such as— 1 advise the contractingofficer to continue with the procurement; 2 begin',
1483:'an investigation; 3 refer the information disclosed to appropriate criminal investigative agencies; 4 conclude that a violation occurred; or 5',
1484:'recommend that the agency head determine thatthe contractor, or someone acting for thecontractor, has engaged in conduct constituting an offense',
1485:'punishable under 41 u.s.c. 2105, for the purpose of voiding or rescinding the contract. c before concludingthat anofferor,contractor, orpersonhas violated',
1486:'41 u.s.c. chapter 21, the hca may consider that the interests of the government are best served by requesting information',
1487:'from appropriate parties regarding the violation or possible violation. d if the hca concludes that 41 u.s.c. chapter 21 has',
1488:'been violated, the hca may directthe contracting officer to 1 if a contract has not been awarded– i cancel the',
1489:'procurement; iidisqualify an offeror; or iii take any other appropriate actionsin the interests of thegovernment. 2 if a contract has',
1490:'been awarded ieffect appropriate contractualremedies,including profit recapture under the clause at 52.20310, price or fee adjustment for illegal or improper',
1491:'activity, or,if the contracthas been rescinded under paragraphd2ii ofthis subsection, recovery of the amount expended under the contract; federal acquisition',
1492:'regulation iivoid orrescind the contract with respectto which– athe contractor or someone acting for the contractor has been convicted for',
1493:'an offense where the conduct constitutes a violation of 41 u.s.c. 2102 for the purpose of either 1 exchanging the',
1494:'information covered by the subsections for anything of value; or 2 obtaining or giving anyone a competitive advantage in the',
1495:'award of a federal agency procurement contract; or b the agency head has determined, based upon a preponderance of the',
1496:'evidence, that the contractor or someone acting for the contractor has engaged in conduct constituting an offense punishable under 41',
1497:'u.s.c. 2105a; or iii take any other appropriate actionsin the bestinterests of thegovernment. 3 refer the matterto the agency suspending',
1498:'or debarring official. e the hca should recommend or direct an administrative or contractual remedy commensurate with the severity and',
1499:'effect of theviolation. f ifthe hca determines that urgent and compelling circumstances justifyan award, or awardis otherwise in theinterests of',
1500:'the government, the hca, in accordance with agency procedures, may authorizethe contracting officer to award the contract or execute the',
1501:'contract modification after notifying the agency head. g the hca may delegate his or herauthority underthissubsection toan individual at least',
1502:'oneorganizational level above the contractingofficer and of general officer, flag, senior executive service, or equivalent rank. 3.1048 criminal andcivil penalties,',
1503:'andfurther administrative remedies. criminal and civil penalties, and administrative remedies, may apply to conduct that violates 41 u.s.c. chapter 21',
1504:'see 3.1043. see 33.102f for special rules regarding bid protests. see 3.1047 for administrative remedies relating to contracts. a an',
1505:'officialwho knowingly fails to comply with the requirements of 3.1043 is subject to the penalties and administrative action set forth',
1506:'in 41 u.s.c. 2105. b an offeror who engages in employment discussion with an official subjectto therestrictions of 3.1043, knowing',
1507:'that theofficial has not complied with 3.1043c1, is subject to the criminal, civil, or administrative penalties set forth in 41',
1508:'u.s.c. 2105. c an officialwho refusesto terminate employment discussions see 3.1045 may be subject to agency administrative actions under 5',
1509:'cfr 2635.604d if theofficial’s disqualification from participation in a particular procurement interferes substantially withthe individual’s ability to perform assigned duties.',
1510:'3.1049 contract clauses. in solicitations and contracts that exceed the simplified acquisition threshold, other than those for commercial products or',
1511:'commercial services, insert the clauses at— a 52.2038, cancellation, rescission, and recovery of funds for illegal or improper activity; and',
1512:'b 52.20310, price or fee adjustment for illegal or improper activity. subpart 3.2 contractor gratuities to government personnel 3.204 subpart',
1513:'3.2 contractor gratuities to government personnel 3.201 applicability. this subpart applies to all executive agencies, except that coverage concerning exemplary',
1514:'damages applies only to the department of defense 10 u.s.c. 4651. 3.202contract clause. the contractingofficer shall insertthe clause at 52.2033,',
1515:'gratuities, in solicitations and contracts with a value exceeding the simplified acquisition threshold, except those for personal services and those',
1516:'between military departments or defense agencies and foreign governments that do not obligate any funds appropriated to the department of',
1517:'defense. 3.203reporting suspected violations of the gratuities clause. agency personnelshallreport suspected violations of thegratuitiesclause to the contracting officer or other',
1518:'designated official in accordance with agency procedures. the agencyreporting procedures shall be published as animplementation of this section 3.203 and',
1519:'shall clearly specify a what to report and how to report it; and b the channels through which reports mustpass,',
1520:'including thefunction and authority ofeach official designated to review them. 3.204 treatment of violations. a before takingany action against a',
1521:'contractor, the agency head or a designee shall determine,after notice and hearing underagency procedures, whether the contractor, its agent, or',
1522:'anotherrepresentative, under a contract containing the gratuities clause 1 offered orgavea gratuity e.g., an entertainmentor gift toan officer,official, or employee',
1523:'of the government;and 2 intended by the gratuity to obtain a contract or favorable treatment under a contract intent generally',
1524:'must be inferred. b agency procedures shall afford the contractor an opportunityto appear with counsel, submit documentary evidence, present witnesses,',
1525:'and confront any person the agency presents. the procedures should be as informal as practicable, consistent with principles of fundamental',
1526:'fairness. c when the agency head or designee determines that a violation has occurred, the government may 1 terminate thecontractor’srightto',
1527:'proceed; 2 initiate debarment or suspension measures as set forth in subpart 9.4; and 3 assess exemplary damages, if the',
1528:'contract uses money appropriated to the department of defense. this page intentionally left blank. subpart 3.3 reports of suspected antitrust',
1529:'violations 3.303 subpart 3.3 reports of suspected antitrust violations 3.301general. a practices that eliminate competition or restrain trade usually lead',
1530:'to excessive prices and may warrant criminal, civil, or administrative action against the participants. examples of anticompetitive practices are collusive',
1531:'bidding, followtheleader pricing, rotated low bids, collusive price estimating systems, and sharing of the business. b contracting personnel are an',
1532:'important potential source of investigative leads for antitrust enforcement and should therefore be sensitive to indicationsof unlawfulbehavior by offerors and',
1533:'contractors. agency personnel shall report, in accordance with agency regulations, evidence of suspected antitrust violations in acquisitions for possible referral',
1534:'to 1 the attorney general under 3.303; and 2 the agency office responsible for contractor debarment and suspension under subpart',
1535:'9.4. 3.302definitions. as used in this subpart identical bids means bids for the same line item that are determined to',
1536:'be identical as to unit price or total line item amount, with or without the application of evaluation factors e.g.,',
1537:'discount or transportation cost. 3.303reporting suspected antitrust violations. a agencies are required by 41 u.s.c.3707 and 10 u.s.c. 3307 to',
1538:'report to the attorney general any bids or proposals that evidence a violation of the antitrust laws. these reports are',
1539:'in addition to those required by subpart 9.4. b the antitrust laws are intended to ensure thatmarkets operate competitively. any',
1540:'agreement ormutualunderstanding among competing firms that restrains the natural operation of market forces is suspect. paragraph c of this section',
1541:'identifies behavior patterns that are often associated with antitrust violations. activities meeting the descriptions in paragraph c are not necessarily',
1542:'improper,but they are sufficiently questionable to warrant notifying the appropriateauthorities,in accordance with agency procedures. c practices or events that may',
1543:'evidence violations of the antitrust laws include 1 the existence of an industry price list or price agreement to which',
1544:'contractors refer in formulating their offers; 2 a sudden change from competitive bidding to identical bidding; 3 simultaneous price increases',
1545:'or followtheleader pricing; 4 rotationof bidsor proposals, sothat each competitor takes a turn in sequence as low bidder, or so',
1546:'that certain competitors bid low only on some sizes of contracts and high on other sizes; 5 division of the',
1547:'market, so that certain competitors bid low only for contracts awarded by certain agencies, or for contracts in certain geographical',
1548:'areas, or on certain products, and bid high on all other jobs; 6 establishment by competitors of a collusive price',
1549:'estimating system; 7 the filingof ajoint bid by two or more competitors when at least oneof the competitors has sufficienttechnical',
1550:'capability and productive capacity for contract performance; 8 any incidents suggesting direct collusion among competitors, such as the appearance of',
1551:'identical calculation or spellingerrorsin two or more competitive offers orthe submission by one firm of offers for other firms;and 9',
1552:'assertionsby the employees, former employees, or competitors of offerors, that an agreementto restraintrade exists. d identical bids shall be reported',
1553:'under this section if the agency has some reason to believe that the bids resulted from collusion. e for offersfrom',
1554:'foreigncontractors for contractsto beperformed outsidethe united states and itsoutlying areas, contracting officers may refer suspectedcollusive offers to theauthorities of the',
1555:'foreign government concerned for appropriate action. f agency reports shall be addressed to the attorney general u.s. department of justice',
1556:'washington dc 20530 attention: assistant attorney general antitrust division and shall include 1 a brief statement describing the suspected practice',
1557:'and the reason for the suspicion; and federal acquisition regulation 2 the name, address, and telephone number of an individual',
1558:'in the agency who can be contacted for further information. g questions concerning this reporting requirement may becommunicated bytelephone directly',
1559:'tothe office of the assistant attorney general, antitrust division. subpart 3.4 contingent fees 3.405 subpart 3.4 contingent fees 3.400scope of',
1560:'subpart. this subpart prescribes policies and procedures that restrict contingent fee arrangements for soliciting or obtaining government contracts to those',
1561:'permitted by 10 u.s.c. 3321b1 and 41 u.s.c. 3901. 3.401definitions. as used in this subpart bona fide agency means an',
1562:'establishedcommercial or selling agency, maintained by a contractor for the purpose of securing business, that neither exerts nor proposes to',
1563:'exert improper influence to solicit or obtain government contracts nor holds itself out as being able to obtain any government',
1564:'contract or contracts through improper influence. bona fide employee means a person, employedby acontractor and subject to thecontractor’s supervision and',
1565:'control as to time, place, and manner of performance, who neither exerts nor proposes to exert improper influence to solicit',
1566:'or obtain government contracts nor holds out as being able to obtain any government contract or contracts through improper influence.',
1567:'contingent fee means any commission, percentage, brokerage, or other fee that is contingent upon the success that a person or',
1568:'concern has in securing a government contract. improper influence means any influence that induces or tends toinduce a government employeeor',
1569:'officer togive consideration or to act regarding a government contracton any basis other than the meritsof the matter. 3.402 statutory',
1570:'requirements. contractors’ arrangements to pay contingent fees for soliciting or obtaining government contracts have long been considered contrary to public',
1571:'policy because such arrangements may lead to attempted or actual exercise of improper influence. in 10 u.s.c. 3321b and 41',
1572:'u.s.c.3901, congress affirmed this public policybut permittedcertain exceptions. these statutes a require in every negotiated contract a warranty by the',
1573:'contractor against contingent fees; b permit, as an exception to the warranty, contingent fee arrangements between contractors and bonafide employees',
1574:'or bona fide agencies; and c provide that, for breach orviolation ofthe warranty by thecontractor, the government may annul the',
1575:'contract without liability or deduct from the contract price or consideration, orotherwise recover, thefull amountof the contingentfee. 3.403 applicability. this',
1576:'subpart appliesto all contracts. statutory requirementsfornegotiated contracts are,as amatter of policy,extended to sealed bid contracts. 3.404contract clause. the contractingofficer shall',
1577:'insertthe clause at 52.2035, covenant against contingent fees, in all solicitations and contracts exceeding the simplified acquisition threshold, other than',
1578:'those for commercial products or commercial services see parts 2 and 12. 3.405 misrepresentations or violations ofthe covenant against contingentfees.',
1579:'a government personnel who suspect or have evidence of attempted or actual exercise of improper influence, misrepresentation of a contingent',
1580:'fee arrangement, or other violation of the covenant against contingent fees shall report thematter promptly to the contracting officeror appropriate',
1581:'higher authority in accordance with agency procedures. b when there is specific evidence or other reasonable basis to suspect one',
1582:'or more of the violations in paragraph a of this section, the chiefof the contractingoffice shall review the facts and,if',
1583:'appropriate, take or direct one or more of the following,or other, actions: 1 if before award, reject the bid or',
1584:'proposal. 2 if after award, enforce the government’s right to annul the contract or to recover the fee. 3 initiate',
1585:'suspension or debarment action under subpart 9.4. 4 refer suspected fraudulent or criminal matters to the department of justice, as',
1586:'prescribed in agency regulations. federal acquisition regulation 3.406records. for enforcement purposes, agencies shall preserve any specific evidence of one or',
1587:'more of the violations in 3.405a, together withall other pertinent data, includinga record of actions taken. contracting offices shall notretire',
1588:'or destroy these records until it is certain that they are no longer needed for enforcement purposes. if the original',
1589:'record is maintained in a central file, a copy must be retained in the contract file. subpart 3.5 other improper',
1590:'business practices 3.5022 subpart 3.5 other improper business practices 3.501buyingin. 3.5011 definition. buyingin, as used in this section, means submitting',
1591:'an offer below anticipated costs, expecting to 1 increase the contract amount after award e.g., through unnecessary or excessively priced',
1592:'change orders; or 2 receive followon contracts at artificially high prices to recover losses incurred on the buyin contract. 3.5012',
1593:'general. a buyingin may decrease competition or result in poor contract performance. the contractingofficer musttake appropriate action to ensure buyingin',
1594:'losses are not recovered by the contractor through the pricing of 1 change orders; or 2 followon contracts subject to',
1595:'cost analysis. b the government should minimize the opportunity for buyingin by seeking a price commitment covering as much of',
1596:'the entire program concerned as is practical by using 1 multiyear contracting, with a requirement in the solicitation that a',
1597:'price be submitted only for the total multiyear quantity; or 2 pricedoptions for additional quantities that, together withthe firm contract',
1598:'quantity, equal the program requirements see subpart 17.2. c other safeguards are available to the contractingofficer to preclude recovery of',
1599:'buyingin lossese.g., amortization of nonrecurring costs see 15.408, table 151, paragraph a, column 2 under formats for submission of line',
1600:'item summaries and treatment of unreasonable price quotations see 15.405. 3.502subcontractor kickbacks. 3.5021 definitions. as used in this section— kickback',
1601:'means any money, fee, commission, credit,gift, gratuity, thing of value, or compensation of any kind which is provided to any',
1602:'prime contractor, prime contractor employee, subcontractor, or subcontractor employee for the purpose of improperly obtaining or rewarding favorable treatment in',
1603:'connection with a prime contract or in connection with a subcontract relating to a prime contract. person means a corporation,partnership,',
1604:'business associationof any kind, trust, jointstock company, or individual. prime contract means a contract or contractual action entered into by',
1605:'the united states for the purpose of obtaining supplies, materials, equipment, or services of any kind. prime contractor means a',
1606:'person who has entered into a prime contract with the united states. prime contractor employee, as used in thissection, means',
1607:'anyofficer, partner, employee,or agent of a prime contractor. subcontract means a contract or contractual action entered into by a prime',
1608:'contractor or subcontractor for the purpose of obtaining supplies, materials, equipment, or services of any kind under a prime contract.',
1609:'subcontractor— 1 means any person, other than the prime contractor, who offers tofurnish or furnishes any supplies,materials, equipment, or services',
1610:'of any kind under a prime contract or a subcontract entered into in connection with such prime contract; and 2',
1611:'includes any person who offers tofurnish orfurnishes generalsupplies to the prime contractoror ahigher tier subcontractor. 3.5022 subcontractor kickbacks. the antikickback',
1612:'act of 1986 now codified at 41 u.s.c. chapter 87, kickbacks, was passed to deter subcontractors from making payments and',
1613:'contractors from accepting payments for the purpose of improperly obtaining or rewarding favorable treatment in connection with a prime contract',
1614:'or a subcontract relating to a prime contract. the kickbacks statute a prohibits any person from 1 providing, attempting to',
1615:'provide, or offeringto provide anykickback; 2 soliciting, accepting, or attempting to accept any kickback; or federal acquisition regulation 3 including,',
1616:'directly or indirectly, the amountof any kickback in the contract price charged by a subcontractor toa prime contractor ora higher',
1617:'tiersubcontractoror in the contract price charged by a prime contractor tothe united states. b imposes criminal penalties on any person',
1618:'who knowingly and willfully engages in the prohibited conduct addressed in paragraph a of this section. c provides for the',
1619:'recovery of civil penalties by the united states from any person who knowingly engages in such prohibited conductand from anyperson',
1620:'whose employee, subcontractor, or subcontractor employeeprovides, accepts,or charges a kickback. d provides that 1 the contractingofficer may offset the amount',
1621:'of a kickback against monies owed bythe unitedstates to the prime contractor under the prime contract to which such kickback',
1622:'relates; 2 the contractingofficer may direct a prime contractor to withhold from anysumsowed to a subcontractor under a subcontract of',
1623:'the prime contract the amount ofany kickback which was or may beoffset against theprimecontractor under paragraph d1 of this section;',
1624:'and 3 an offset under paragraph d1 or a direction under paragraph d2 of thissection is a claim by the',
1625:'government for the purposes of 41 u.s.c. chapter 71, contract disputes. e authorizescontracting officers to orderthat sums withheld under paragraphd2',
1626:'of this section be paid to the contracting agency, or if the sumhas already been offset againstthe prime contractor, that',
1627:'it be retained by the prime contractor. f requires the prime contractor to notify thecontracting officer when the withholding underparagraph',
1628:'d2 of this section has been accomplished unless the amount withheld has been paid to the government. g requires aprimecontractor',
1629:'or subcontractor to report in writing to the inspector general of the contracting agency, the head of the contracting agency',
1630:'if the agency does not have an inspector general, or the attorney general any possible violation of the kickbacks statute',
1631:'when the prime contractor or subcontractor has reasonable grounds to believe such violation may have occurred. h provides that, for',
1632:'the purpose of ascertaining whether there has been a violation of the kickbacks statute with respect to any prime contract,',
1633:'the government accountabilityoffice andthe inspector general of thecontracting agency, or a representative of such contracting agency designated by the head',
1634:'of the agency if the agency does not have an inspector general, shall have access to and may inspect the',
1635:'facilities and audit the books and records, including any electronic data or records, of any prime contractor or subcontractor under',
1636:'a prime contract awardedby such agency. i requires each contracting agency to include in each prime contract, other than for',
1637:'commercial products or commercial services, exceeding $150,000, a requirement that the prime contractor shall– 1 have in place and follow',
1638:'reasonable procedures designed to prevent and detect violations of the kickbacks statute in its own operations and direct business relationships',
1639:'e.g., company ethics rules prohibiting kickbacks by employees, agents, or subcontractors; education programs for new employees and subcontractors, explaining policies',
1640:'about kickbacks, related company procedures and the consequences of detection; procurement procedures to minimize the opportunity for kickbacks; audit procedures',
1641:'designed to detect kickbacks; periodic surveys of subcontractors to elicit information about kickbacks; procedures toreport kickbacks tolawenforcement officials; annual declarations',
1642:'by employees of gifts or gratuities received from subcontractors; annual employee declarations that they have violated no company ethics rules;',
1643:'personnel practices that document unethical or illegal behavior and make such information available to prospective employers; and 2 cooperate fully',
1644:'with any federal agency investigating a possible violation of the kickbacks statute. j notwithstanding paragraph i of this section, a',
1645:'prime contractor shall cooperate fully with any federal government agency investigating a violation of 41 u.s.c. 8702 see 41 u.s.c.',
1646:'8703b. 3.5023 contract clause. the contractingofficer shall insertthe clause at 52.2037, antikickback procedures, in solicitations and contracts exceeding $150,000, other',
1647:'than those for commercial products or commercial services see part 12. subpart 3.5 other improper business practices 3.5032 3.503 unreasonable',
1648:'restrictions onsubcontractor sales. 3.5031 policy. 10 u.s.c. 4655 and 41 u.s.c. 4704 require that subcontractors not be unreasonably precluded from',
1649:'making direct sales to thegovernment of any supplies or services made or furnished under a contract. however, this does not',
1650:'preclude contractors from asserting rights that are otherwise authorized by law or regulation. 3.5032 contract clause. the contractingofficer shall insertthe',
1651:'clause at 52.2036, restrictions on subcontractor sales to the government, in solicitations and contracts exceeding the simplified acquisition threshold. for',
1652:'the acquisition of commercial products or commercial services, the contracting officer shall use the clause with its alternate i. this',
1653:'page intentionally left blank. subpart 3.6 contracts with government employees or organizations owned or controlled by them 3.603 subpart 3.6',
1654:'contracts with government employees or organizations owned or controlled by them 3.601 policy. a except as specified in 3.602, a',
1655:'contracting officershallnot knowingly award a contract to a government employee or to a business concern or other organization ownedor substantially',
1656:'owned orcontrolled by one or more government employees. this policy is intended to avoid any conflict of interest that might',
1657:'arise between the employees’ interests and their government duties, and to avoid the appearance of favoritism or preferential treatment by',
1658:'the government toward its employees. b for purposes of this subpart, special government employees as defined in 18 u.s.c. 202',
1659:'performing services as experts, advisors, or consultants, or as members of advisory committees, are not considered government employees unless 1',
1660:'the contract arisesdirectlyout of theindividual’sactivity as a specialgovernment employee; 2 in the individual’s capacity as a specialgovernment employee, the individual',
1661:'is in aposition to influence the award of the contract; or 3 another conflict of interest is determined to exist.',
1662:'3.602exceptions. the agency head, or a designee not below the level of the head of the contracting activity, may authorize',
1663:'an exception to the policy in 3.601 only ifthere is a mostcompelling reason to do so,such as whenthe government’s needs',
1664:'cannot reasonably be otherwise met. 3.603 responsibilities ofthe contracting officer. a before awarding a contract, the contractingofficer shall obtainan authorization',
1665:'under 3.602 if 1 the contractingofficer knows, or has reason to believe, that a prospective contractor is one to which',
1666:'awardis otherwise prohibited under 3.601; and 2 there is a most compelling reason to make an award to that prospective',
1667:'contractor. bthecontractingofficershallcomplywiththerequirementsandguidancein subpart 9.5 before awarding a contract to anorganization owned or substantially ownedor controlled by government employees. this page',
1668:'intentionally left blank. subpart 3.7 voiding and rescinding contracts 3.704 subpart 3.7 voiding and rescinding contracts 3.700scope of subpart. a',
1669:'this subpart prescribes governmentwide policies and procedures for exercising discretionary authority to declare void and rescind contracts in relation to',
1670:'which 1 there has been afinal conviction for bribery, conflict of interest, disclosure orreceipt of contractor bid or proposal information',
1671:'or source selection information in exchange for a thing of value or to give anyone a competitive advantage in the',
1672:'award of a federal agency procurement contract, or similar misconduct; or 2 there has been an agency head determination that',
1673:'contractor bid or proposal information or source selection information has been disclosed or received in exchange for a thing of',
1674:'value, or for the purpose of obtaining or giving anyone a competitive advantage in the award of a federal agency',
1675:'procurement contract. b this subpart does not prescribepolicies orprocedures for, or governthe exerciseof,any otherremedy available to the government with respect',
1676:'to such contracts, including but not limited to, the common law right of avoidance, rescission, or cancellation. 3.701purpose. this subpart',
1677:'provides a an administrative remedy with respect to contracts in relation to which there has been 1 a final conviction',
1678:'for bribery,conflictof interest, disclosure or receipt of contractor bid or proposal information or source selection information in exchange for a',
1679:'thing of value or to give anyone a competitive advantage in the award of a federal agency procurement contract, or',
1680:'similar misconduct; or 2 an agency head determination that contractor bid or proposal information or source selection information has been',
1681:'disclosed or received in exchange for a thing of value, or for the purpose of obtaining or giving anyone a',
1682:'competitive advantage in the award of a federal agency procurement contract; and b a means to deter similar misconduct in',
1683:'the future by those who are involved in the award, performance, and administration of government contracts. 3.702definition. final conviction means',
1684:'a conviction, whether entered on a verdict or plea, including a plea of nolo contendere, for which a sentence has',
1685:'been imposed. 3.703 authority. a section 1e of public law 87849, 18 u.s.c.218 the act, empowers the president or the',
1686:'heads of executive agencies acting under regulations prescribed by the president, to declare void and rescind contracts and other transactions',
1687:'enumerated in the act, in relation to whichthere hasbeena final conviction for bribery, conflict of interest,or any other violation of',
1688:'chapter 11of title 18 of theunited statescode 18 u.s.c. 201224. executive order 12448, november 4,1983, delegates the president’s authorityunder theactto',
1689:'theheads of the executive agencies and military departments. b 41 u.s.c. 2105crequiresa federal agency, upon receiving information that a contractor',
1690:'ora person has violated 41 u.s.c. 2102, to consider rescission of a contract with respect to which 1 the contractoror',
1691:'someone acting for the contractorhas been convicted for an offense punishable under 41 u.s.c. 2105a; or 2 the head ofthe',
1692:'agency, or designee, has determined, based upon a preponderance of theevidence, thatthe contractor orsomeone actingforthe contractor has engaged in conduct',
1693:'constituting such an offense. 3.704 policy. a in cases in which there is a final conviction for any violation of',
1694:'18 u.s.c. 201224 involving or relating to contracts awarded by anagency,the agency head or designee, shall consider the facts available',
1695:'and, if appropriate,may declare void and rescind contracts, and recover the amounts expended and property transferred by the agency in',
1696:'accordance with the policies and procedures of this subpart. b since a final conviction under 18 u.s.c. 201224 relating to',
1697:'a contract also may justify the conclusion that the party involved is not presently responsible, the agency should consider initiating',
1698:'debarment proceedings in accordance with subpart 9.4,debarment, suspension, and ineligibility,if debarment has notbeeninitiated, or is notin effect at the time',
1699:'the final conviction is entered. federal acquisition regulation c if there is a final convictionforan offense punishable under 41 u.s.c.',
1700:'2105, orif the head of the agency,or designee, has determined, based upon a preponderance of the evidence, that the contractor',
1701:'or someone acting for the contractor has engaged in conduct constituting such an offense, thenthe head of the contracting activity',
1702:'shall consider, in addition to any other penalty prescribed by law or regulation 1 declaring void and rescinding contracts, as',
1703:'appropriate, and recovering the amounts expended under the contracts by using the procedures at 3.705 see 3.1047; and 2 recommending',
1704:'the initiation of suspension or debarment proceedings in accordance with subpart 9.4. 3.705 procedures. a reporting. the facts concerning any',
1705:'final conviction for any violation of 18 u.s.c. 201224 involving or relating to agency contracts shall be reportedpromptly to the',
1706:'agency head or designee for that official’sconsideration. the agencyhead or designee shall promptly notify the civil division, department of justice,',
1707:'that the action is being considered under this subpart. b decision. following an assessment of the facts, the agency head',
1708:'or designee may declare void and rescind contracts with respect to which a final conviction has been entered, and recover',
1709:'the amounts expended and the property transferred by the agency under the terms of the contracts involved. c decisionmaking process.',
1710:'agency procedures governing the voiding and rescinding decisionmaking process shall be as informal as practicable,consistent with theprinciples of fundamental fairness.',
1711:'as aminimum, however, agencies shall provide the following: 1 a notice of proposed action to declare void and rescind the',
1712:'contract shall be made in writing and sent by certified mail, return receipt requested. 2 a thirty calendar day period',
1713:'after receipt of the notice, for the contractor to submit pertinent information before any final decision is made. 3 upon',
1714:'request made within theperiod for submission of pertinent information, an opportunity shall be afforded for a hearingat which witnesses may',
1715:'be presented, and any witness the agency presents maybe confronted. however, no inquiry shall be made regarding the validity of',
1716:'a conviction. 4 if the agencyheador designee decides to declare void and rescind thecontracts involved, thatofficial shall issue a written',
1717:'decision which i states that determination; ii reflects consideration of the fair value of any tangible benefits received and retained',
1718:'by the agency; and iii states the amount due andthe property tobe returned to the agency. d notice of proposed',
1719:'action. the notice of proposed action, as a minimum shall 1 advise that consideration is being given to declaring void',
1720:'and rescindingcontracts awardedby the agency, and recovering the amounts expended and property transferred therefor, under the provisionsof 18 u.s.c. 218;',
1721:'2 specifically identify thecontracts affected by the action; 3 specifically identify theoffense or finalconviction on which the action is based;',
1722:'4 state the amounts expended and property transferred under each of the contracts involved, and the money and the property',
1723:'demanded to be returned; 5 identify any tangible benefits received and retained by the agency under the contract, and the',
1724:'value of those benefits, as calculated by the agency; 6 advise that pertinent information may be submitted within 30 calendar',
1725:'days after receipt of the notice, and that, if requested within that time, a hearing shall be held at which',
1726:'witnesses may be presented and any witness the agency presents may be confronted; and 7 advise that action shall be',
1727:'taken only after the agency head or designee issues a final written decision on the proposed action. e final agency',
1728:'decision. the final agency decision shall be based on the information available to the agency head or designee, including any',
1729:'pertinent information submitted or, ifa hearing was held, presented at the hearing. if theagency decision declares void and rescinds the',
1730:'contract, the final decision shall specify the amounts due and property to be returned to the agency, and reflectconsideration of',
1731:'the fair value of any tangible benefits received and retained by the agency. notice of the decision shall be sent',
1732:'promptly by certified mail, return receipt requested. rescission of contracts under the authority of the act and demand for recovery',
1733:'of the amounts expended and property transferredtherefor, is not a claim within the meaning of 41 u.s.c. chapter 71, contract',
1734:'disputes, or part 33. therefore, the procedures required by the statute and the subpart 3.7 voiding and rescinding contracts 3.705',
1735:'far for the issuance of a final contracting officer decision arenot applicableto final agency decisions under this subpart, and shall',
1736:'not be followed. this page intentionally left blank. subpart 3.8 limitations on the payment of funds to influence federal transactions',
1737:'3.801 subpart 3.8 limitations on the payment of funds to influence federal transactions 3.800scope of subpart. this subpart prescribes policies',
1738:'and procedures implementing 31 u.s.c. 1352, limitation on use of appropriated funds to influence certain federal contracting and financial transactions.',
1739:'3.801definitions. as used in this subpart agency means executive agency as defined in 2.101. covered federal action means any of',
1740:'the following actions: 1 awarding anyfederal contract. 2 making any federal grant. 3 making any federal loan. 4 entering into',
1741:'any cooperative agreement. 5 extending, continuing, renewing, amending, or modifying any federal contract, grant, loan, or cooperative agreement. indian tribe',
1742:'and tribal organization have the meaning provided in section 4 of the indian selfdetermination and education assistance act 25 u.s.c.',
1743:'450b and include alaskan natives. influencing or attempting to influence means making, with the intent to influence, any communication to',
1744:'or appearance beforean officer or employee of any agency, a member of congress, an officer or employee of congress, or',
1745:'an employee of a member of congress in connection with any covered federal action. local government means a unit of',
1746:'government in a state and, if chartered, established, or otherwise recognized by a state for the performance ofa governmental duty,',
1747:'includinga local public authority, a special district, an intrastate district, a council of governments, a sponsor group representative organization, and',
1748:'any other instrumentality of a local government. officer or employee of an agency includes the following individuals who are employed',
1749:'by an agency: 1 an individual whois appointed toa positionin thegovernment under title 5, united states code, including a position',
1750:'under a temporary appointment. 2 a member of the uniformed services, as definedin subsection1013, title 37, united states code. 3',
1751:'a special government employee, as defined insection 202, title 18, united states code. 4 an individual who is a member',
1752:'of a federal advisory committee, as defined by the federal advisory committee act, title 5, unitedstates code,appendix 2. person means',
1753:'an individual, corporation,company, association,authority,firm,partnership, society, state, and local government, regardless of whether such entity is operated for profit or not',
1754:'for profit. this term excludes an indian tribe, tribal organization, orany otherindian organizationeligible toreceivefederal contracts, grants, cooperative agreements, or loans',
1755:'from an agency, butonlywith respect to expenditures by such tribe or organization that are made for purposes specified in paragraph',
1756:'3.802aand are permitted by other federal law. reasonable compensation means, with respectto a regularly employed officeror employee of anyperson, compensation',
1757:'that is consistent withthe normal compensation for suchofficer or employee for work that is notfurnished to, not funded by, or',
1758:'not furnished in cooperation with the federal government. reasonable payment means, with respect to professional and other technical services, a',
1759:'payment in an amount that is consistent with the amount normally paid for such services in the private sector. recipient',
1760:'includes the contractor and all subcontractors. this termexcludesan indiantribe, tribal organization, or any other indianorganization eligible to receive federal contracts,',
1761:'grants,cooperative agreements, orloans from an agency, but only with respect to expenditures by such tribe or organization that are made',
1762:'for purposes specified in paragraph 3.802a and arepermitted by other federal law. regularly employed means, with respect to an officer',
1763:'or employeeof aperson requesting or receiving afederal contract, anofficer or employee who is employed by such person for atleast 130',
1764:'working days within 1 year immediatelypreceding thedate of the submission that initiates agency consideration of such person for receipt of',
1765:'such contract. an officer or employee who is employed by such person for less than 130 working days within 1',
1766:'year immediately preceding the date of the submission that initiates agency consideration of such person shall be considered to be',
1767:'regularly employed as soon as he or she is employed by such person for 130 working days. state means a',
1768:'state of the united states, the district of columbia, an outlying area of the united states, an agency or instrumentality',
1769:'of a state, and multistate, regional, or interstate entity having governmental duties and powers. federal acquisition regulation 3.802 statutory prohibition',
1770:'and requirement. a 31 u.s.c.1352 prohibits a recipient of a federal contract, grant, loan, or cooperative agreement from using appropriated',
1771:'funds to pay any person for influencing orattempting to influence an officer or employee of any agency, a member of',
1772:'congress, an officeror employee of congress, or an employee of a member of congress in connection with any covered federal',
1773:'actions. 1 for purposes of this subpart the term appropriated funds does not include profit or fee from a covered',
1774:'federal action. 2 to the extent a person can demonstrate thatthe person has sufficientmonies, otherthan federal appropriated funds, the government',
1775:'shall assume that these other monies were spent for any influencing activities that would be unallowable if paid for with',
1776:'federal appropriated funds. b 31 u.s.c.1352 also requires offerors to furnisha declaration consisting ofbotha certification and a disclosure, with periodic',
1777:'updates of the disclosure after contract award. these requirements are contained in the provision at 52.20311, certification anddisclosure regarding payments',
1778:'to influence certain federaltransactions, and the clause at 52.20312, limitation on payments toinfluence certain federal transactions. 3.803exceptions. a the prohibition',
1779:'of paragraph 3.802a does not apply under the following conditions: 1 agency and legislative liaison by own employees. i payment',
1780:'of reasonable compensation made to an officer or employee of a person requesting or receiving a covered federal action if',
1781:'the payment is for agency and legislative liaison activities not directly related to a covered federal action. for purposes of',
1782:'this paragraph, providing any information specifically requested by an agency or congress is permitted at any time. ii participating with',
1783:'an agency in discussions that are not related to a specific solicitation for any covered federal action, but that concern',
1784:'athe qualitiesand characteristics including individual demonstrations of the person’s products or services, conditions or terms of sale, and service capabilities;',
1785:'or b the application or adaptationof the person’s products or servicesforan agency’s use. iii providing prior to formal solicitation of',
1786:'any covered federal action any information not specifically requested but necessary for an agency to make an informed decision about',
1787:'initiation of a covered federal action. iv participating in technical discussions regarding thepreparationof an unsolicited proposal prior to its official',
1788:'submission. v making capability presentations prior to formal solicitation of any covered federal action when seeking an award from an',
1789:'agency pursuant to the provisions of the small business act, as amended by pub. l. 95507, and subsequent amendments. 2',
1790:'professional and technical services.i payment of reasonable compensation made to an officeror employee ofa person requesting or receiving a covered',
1791:'federal action, if payment is for professional or technical services rendered directly in the preparation, submission, or negotiation of any',
1792:'bid, proposal, or application for that federal action or for meeting requirements imposed by or pursuant to law as a',
1793:'condition for receiving that federal action; iiany reasonable payment to aperson, other than an officer or employeeof apersonrequesting or receiving',
1794:'a covered federal action, if the payment is for professional or technical services rendered directly in the preparation, submission, or',
1795:'negotiation of any bid, proposal, or application for that federal action, or for meeting requirements imposed by orpursuant to law',
1796:'as a condition for receivingthat federalaction. personsother thanofficers or employees ofa person requesting or receiving a covered federal action include',
1797:'consultants and trade associations. iii as used in paragraph a2 of this section professional and technical services are limited to',
1798:'advice and analysis directly applying any professional or technical discipline. for example, drafting of a legal document accompanying a bid',
1799:'or proposal by a lawyer isallowable. similarly, technical advice provided by an engineer on theperformance or operational capability ofa pieceof',
1800:'equipment rendered directly in the negotiationof acontract is allowable. however, communications with the intent to influence made by a professional',
1801:'or a technical person are not allowable under this section unless they provide advice and analysis directly applying their professional',
1802:'or technical expertise and unless the advice or analysis is rendered directly and solely in the preparation, submission or negotiation',
1803:'of a covered federal action. thus, for example, communications with the intent to influence made by a lawyer that do',
1804:'not provide legal advice or analysis directly and solely related tothe legalaspects of his or her client’sproposal, but generally advocate',
1805:'oneproposal over another, are not allowable under this section because thelawyer is notproviding professional legalservices. similarly, communications with the intent',
1806:'to influence made by an engineer providing an engineering analysis prior to the preparation or submission of subpart 3.8 limitations',
1807:'on the payment of funds to influence federal transactions 3.808 a bid or proposal are not allowable under this section',
1808:'since the engineer is providing technical services but not directly in the preparation, submission or negotiation of a covered federal',
1809:'action. iv requirements imposed by or pursuant to law as a condition for receiving a covered federal award include those',
1810:'required by law or regulation and any other requirements in the actual award documents. b only those communications and services',
1811:'expressly authorized by paragraph a of this section are permitted. c the disclosure requirements of paragraph 3.802b do not apply',
1812:'with respect to payments of reasonable compensation made to regularly employed officers or employees of a person. 3.804 policy. the',
1813:'contractingofficer shall obtain certifications and disclosures as required by the provision at 52.20311, certification and disclosure regarding payments to influence',
1814:'certain federal transactions, prior to the award of any contractexceeding $150,000. 3.805exemption. the secretary of defense may exempt, on a',
1815:'casebycase basis, a covered federal action from the prohibitions of this subpart whenever the secretary determines, in writing, that such',
1816:'an exemption is in the national interest. the secretary shall transmit a copy of the exemption to congress immediately after',
1817:'making the determination. 3.806 processing suspected violations. the contractingofficer shall report suspected violations of the requirements of 31 u.s.c.1352 in',
1818:'accordance with agency procedures. 3.807civil penalties. agencies shall impose and collect civil penalties pursuant to the provisions of the program',
1819:'fraud and civil remedies act,31 u.s.c.3803 except subsectionc, 38043808, and 3812, insofar as the provisions therein are not inconsistent with',
1820:'the requirements of this subpart. 3.808 solicitation provision and contract clause. a insert the provision at 52.20311, certification and disclosure',
1821:'regarding payments to influence certain federal transactions, in solicitations expected to exceed $150,000. b insert the clause at 52.20312,limitationon payments',
1822:'to influence certain federal transactions, in solicitations and contracts expected to exceed $150,000. this page intentionally left blank. subpart 3.9',
1823:'whistleblower protections for contractor employees 3.903 subpart 3.9 whistleblower protections for contractor employees 3.900scope of subpart. this subpart implements various',
1824:'statutory whistleblower programs. this subpart does not implement 10 u.s.c. 4701, which is applicable only to dod, nasa, and the',
1825:'coast guard. a 41 u.s.c. 4712 is implemented in 3.900 through 3.906. these sections do not apply to— 1 dod,',
1826:'nasa, and the coast guard; or 2 any elementof the intelligence community, as definedin section 34 ofthe nationalsecurity act of',
1827:'194750 u.s.c. 30034. sections 3.900 through 3.906 do not apply to any disclosure made by an employee of a contractor',
1828:'or subcontractor of an element of the intelligence community if such disclosure— i relates to an activity of an element',
1829:'of the intelligence community; or iiwas discovered duringcontract orsubcontract services provided toan element of the intelligence community. b section743 of',
1830:'division e, title vii, of the consolidated and further continuing appropriations act,2015 pub. l. 113–235 and its successor provisions in',
1831:'subsequent appropriations acts and as extended in continuing resolutions, is implemented in 3.909, which is applicable to all agencies. c',
1832:'section 3.907 of this subpart implements section 1553 of the american recovery and reinvestment act of 2009 pub. l. 111–5,',
1833:'and applies to all contracts funded in whole or in part by that act. 3.901definitions. as used in this subpart',
1834:'abuse of authority means an arbitrary and capricious exercise of authority that is inconsistent with the mission of the executive',
1835:'agency concerned orthe successful performanceof acontract ofsuch agency. authorized official of the department of justice means any person responsible for',
1836:'the investigation, enforcement, or prosecution of any law or regulation. inspector general means an inspector general appointed under chapter 4',
1837:'of title 5 of the united states code and any inspector general thatreceives funding from,or has oversight over contractsawarded for,',
1838:'or on behalf of, the executive agency concerned. this definition does not apply to 3.907. internal confidentiality agreement or statement',
1839:'means a confidentiality agreement or any other written statement that the contractor requires any of its employees or subcontractors to',
1840:'sign regarding nondisclosure of contractor information, except that it does not include confidentiality agreements arising out of civil litigation or',
1841:'confidentiality agreements that contractor employees or subcontractorssign at thebehest of a federalagency. subcontract means any contract as defined in subpart',
1842:'2.1 entered into by a subcontractor to furnish supplies or services for performance of a prime contract or a subcontract.',
1843:'it includes but is not limited to purchase orders, and changes and modifications to purchase orders. subcontractor means any supplier,distributor,',
1844:'vendor,or firm including a consultantthat furnishes supplies or services to or for a prime contractor or another subcontractor. 3.902classified information.',
1845:'41 u.s.c. 4712 doesnot provide any right to disclose classified information not otherwiseprovidedby law. 3.903 policy. a 1contractorsandsubcontractorsareprohibitedfromdischarging,demoting,orotherwisediscriminatingagainst an employee',
1846:'as a reprisal for disclosing, to any of the entities listed at paragraph b of this section, information that the',
1847:'employee reasonably believes is— i evidence of gross mismanagement of a federal contract; ii a gross waste of federal funds;',
1848:'iii an abuse of authority relating to a federal contract; iv a substantial and specific danger to public health or',
1849:'safety; or v a violation of law,rule, or regulation related to a federal contract including thecompetition for or negotiation of',
1850:'a contract. 2 a reprisalis prohibited even ifitis undertaken atthe request ofan executivebranch official, unless the request takes theform ofa',
1851:'nondiscretionarydirective andis within the authority ofthe executive branch official making the request. b disclosure may be made to the following',
1852:'entities: federal acquisition regulation 1 a member of congress or a representative of a committee of congress. 2 an inspector',
1853:'general. 3 the government accountability office. 4 a federalemployee responsible for contract oversightor management at the relevant agency. 5 an',
1854:'authorized officialof the department of justiceor other law enforcementagency. 6 a court or grand jury. 7 a management official or',
1855:'other employee ofthe contractor orsubcontractorwho has the responsibility to investigate, discover, or addressmisconduct. c an employee who initiates or provides',
1856:'evidence of contractor or subcontractor misconduct in any judicial or administrative proceeding relating to waste, fraud, or abuse on a',
1857:'federal contract shall be deemed to have made a disclosure. 3.904complaints. 3.9041 procedures for filing complaints. a contractor orsubcontractoremployee who',
1858:'believes that he or she has been discharged,demoted, or otherwise discriminated against contrary to the policy in 3.903 may submit',
1859:'a complaint with the inspector general of the agency concerned. procedures for submitting fraud, waste, abuse, and whistleblower complaints are',
1860:'generally accessible on agency office of inspector general hotline or whistleblower internet sites or the complainant may directly contact the',
1861:'cognizant office of the inspector general for submission instructions. acomplaint by the employee may not be brought under 41 u.s.c.',
1862:'4712 more than three years after the date on which the alleged reprisal took place. 3.9042 procedures for investigating complaints.',
1863:'a investigation of complaints will be in accordance with 41 u.s.c. 4712b. b upon completion of the investigation, the head',
1864:'of the agency shall ensure that the report of findings has been provided by the inspector general to the head',
1865:'of the agency and to— 1 the complainant and any person acting on the complainants behalf; and 2 the contractor',
1866:'and/or subcontractor alleged to have committed the violation. c thecomplainant, contractor, and/or subcontractor shall be afforded the opportunity to submit',
1867:'a written responseto the report of findings to the head of the agency and the office of inspector general ina',
1868:'time and mannerthat permitsthe agency head to take action not later than 30 days after receiving the report, as required',
1869:'by 3.905–1a. 3.905 remedies andenforcement of orders. 3.9051 remedies. a agency response to inspector general report. not later than 30',
1870:'days after receiving a report pursuant to 3.9042, the head of the agency shall— 1 determine whether sufficient basis existsto',
1871:'concludethat thecontractor or subcontractor has subjected the employee who submitted the complaint to a reprisal as prohibited by 3.903; and',
1872:'2 either issue an order denying relief or take one or more of the following actions: iorderthe contractor orsubcontractorto takeaffirmativeaction',
1873:'to abate the reprisal. ii order the contractor or subcontractor to reinstate the complainant employee to the position that the',
1874:'person held before the reprisal, together with compensatory damages including back pay, employment benefits, and other terms and conditions of',
1875:'employment that would apply to the person in that position if the reprisal had not been taken. iii order the',
1876:'contractor or subcontractor to pay the complainant employee an amount equal to the aggregate amount of all costs and expenses',
1877:'including attorneys fees and expert witnesses fees that were reasonably incurred by thecomplainant for, orin connection with, bringing thecomplaint regarding',
1878:'thereprisal, as determined by the head of the agency. iv consider disciplinaryor corrective action against any official of the executive',
1879:'agency, if appropriate. b complainants right to go to court. 1 paragraph b2 of this section applies if— i the',
1880:'head of the agency issues an order denying relief; or ii a the head of the agency has not issued',
1881:'an order— 1 within 210days after the submissionof the complaint; or subpart 3.9 whistleblower protections for contractor employees 3.9071 2',
1882:'within 30 days after the expirationof an extension of time grantedin accordance with 41 u.s.c. 4712b 2b for the submission',
1883:'of the report to those stated in 3.9042b; and b there is no showing that such delay is due to',
1884:'the bad faith of the complainant. 2 if the conditions in either paragraph b1i or ii of this section are',
1885:'met— i the complainant shall be deemed to have exhausted all administrative remedies with respect to the complaint; and ii',
1886:'the complainant may bring a de novo action at law or equity against the contractor or subcontractor to seek compensatory',
1887:'damages and other relief available under 41 u.s.c. 4712 in the appropriate district court of the united states, which shall',
1888:'have jurisdiction over such an action withoutregard to the amount in controversy. asuch an actionshall, at the request of eitherparty',
1889:'to theaction,be tried by the court with a jury. b an action under this authority may not be brought more',
1890:'than 2 years after the date on which remedies are deemed to have been exhausted. c admissibility in evidence. an',
1891:'inspector general determination and an agency head order denying relief under this section shall be admissible in evidence in any',
1892:'de novo action at law or equity brought pursuant to 41 u.s.c. 4712. d no waiver. the rights and remedies',
1893:'provided for in 41 u.s.c. 4712 may not be waived by any agreement, policy, form, or condition of employment. 3.9052',
1894:'enforcementof orders. a whenever a contractor or subcontractor fails to comply with an order issued under 3.905–1a2, the head of',
1895:'the agency concerned shall file an action for enforcement of the order in the u.s. district court for a district',
1896:'in which the reprisal was found to have occurred. in anyaction brought pursuant to this authority, the court maygrant appropriate',
1897:'relief,including injunctive relief, compensatory and exemplary damages, and attorney fees and costs. the complainant employee upon whose behalf an order',
1898:'was issued may also file suchan action or join in an action filed by the head of theagency. b any',
1899:'person adversely affected or aggrieved by an order issued under 3.905–1a2 may obtain review of the orders conformance with 41',
1900:'u.s.c. 4712 and its implementing regulations, in the u.s. court of appeals for a circuit in which the reprisal is',
1901:'alleged in the order to have occurred. no petition seeking such review may be filed more than 60 days after',
1902:'issuance of the order by the head of the agency. filingsuch an appeal shall not act to stay the enforcement',
1903:'ofthe orderof the head of an agency, unless astayis specifically entered by thecourt. 3.906contract clause. the contractingofficer shall insertthe clause',
1904:'at 52.20317, contractor employee whistleblower rights, in all solicitations and contracts, except solicitations and contracts of dod, nasa, the coast',
1905:'guard, or applicable elements of the intelligence community see 3.900a. 3.907 whistleblower protections under the american recovery and reinvestment act',
1906:'of 2009 the recovery act. 3.9071 definitions. as used in this section board meansthe recovery accountability andtransparencyboard establishedby section 1521',
1907:'of the recovery act. covered funds means any contract payment, grant payment, or other payment received by a contractor if',
1908:'1 the federal government provides any portion of the money or property that is provided, requested, or demanded; and 2',
1909:'at least some of the funds are appropriated or otherwise made available by the recovery act. covered information means information',
1910:'that the employee reasonably believes is evidence of gross mismanagement of the contract or subcontract related to covered funds, gross',
1911:'waste of covered funds, a substantial and specific danger to public health or safety related to the implementation or use',
1912:'of covered funds, an abuse of authority related to the implementation or use of coveredfunds, ora violation of law, rule,',
1913:'or regulationrelated to an agency contract including the competition for or negotiation of a contract awarded or issued relating to',
1914:'covered funds. inspector general means an inspector general appointed under the inspector general act of 1978. in the department of',
1915:'defense that is the dod inspector general. in the case of an executive agency that does not have an inspector',
1916:'general, the duties shall be performed by an official designated by theheadof the executive agency. federal acquisition regulation nonfederal employer,',
1917:'as used in this section, means any employer that receives recovery act funds, including a contractor, subcontractor, orotherrecipient of funds',
1918:'pursuant to a contractor other agreement awarded and administered in accordance with the federal acquisition regulation. 3.9072 policy. nonfederal employers',
1919:'are prohibited from discharging, demoting,or otherwise discriminating againstan employee asa reprisal for disclosing covered information to any of the following',
1920:'entities or their representatives: 1 the board. 2 an inspector general. 3 the comptroller general. 4 a member of congress.',
1921:'5 a state orfederal regulatory or law enforcement agency. 6 a person with supervisory authority over the employee or such',
1922:'other person working for the employer who has the authorityto investigate, discover, or terminate misconduct. 7 a court or grand',
1923:'jury. 8 the head ofa federal agency. 3.9073 procedures for filing complaints. a an employee who believes that he or',
1924:'she has been subjected to reprisal prohibited by the recovery act, section 1553 as set forth in 3.9072, may submit',
1925:'a complaint regarding the reprisal to the inspector general of the agency that awarded the contract. b the complaint shall',
1926:'be signed and shall contain 1 the name of the contractor; 2 the contract number, ifknown; if not, a descriptionreasonably',
1927:'sufficient to identify thecontracts involved; 3 the covered information giving rise to the disclosure; 4 the nature of the disclosure',
1928:'giving rise to the discriminatory act; and 5 the specific nature and date of the reprisal. c a contractingofficer who',
1929:'receivesa complaint of reprisalof the typedescribed in 3.9072 shall forward it to the office of inspector general and to other',
1930:'designated officials in accordance with agency procedures e.g., agency legal counsel. 3.9074 procedures for investigating complaints. investigation of complaints will',
1931:'be in accordance with section 1553 of the recovery act. 3.9075 access to investigative file of inspector general. a the',
1932:'employee alleging reprisal under this section shall have access to the investigation file of the inspector general, in accordance with',
1933:'the privacy act, 5 u.s.c. §552a. the investigation of the inspector general shall be deemed closed for the purposes of',
1934:'disclosure under such section when an employee files an appeal to the agency head or a court of competent jurisdiction.',
1935:'b in the event the employee alleging reprisal brings a civil action under section 1553c3 of the recovery act, the',
1936:'employee alleging the reprisal and the nonfederal employer shall have access to the investigative file of the inspector general in',
1937:'accordance with the privacy act. c the inspector general may exclude from disclosures made under 3.9075a or b 1 information',
1938:'protected from disclosure by a provision of law; and 2 any additional information the inspector general determines disclosure of which',
1939:'would impede a continuing investigation, provided that such information is disclosed once such disclosure would no longer impede such investigation,',
1940:'unless the inspector general determines that the disclosure of law enforcement techniques, procedures, or information could reasonably be expected to',
1941:'risk circumvention of the law or disclose the identity of a confidential source. d an inspector general investigating an alleged',
1942:'reprisal under this section may not respond to any inquiry or disclose any information from or about any person alleging',
1943:'such reprisal, except in accordance with 5 u.s.c. 552a or as required by any other applicable federal law. 3.9076 remedies',
1944:'and enforcement authority. a burden of proof. 1 disclosure as contributing factor in reprisal. subpart 3.9 whistleblower protections for contractor',
1945:'employees 3.9077 ian employeealleginga reprisal under this section shall be deemed tohaveaffirmatively established the occurrence of the reprisal if the',
1946:'employee demonstrates that a disclosure described in section 3.9072 was a contributing factor in the reprisal. ii a disclosure may',
1947:'be demonstrated as a contributing factor in a reprisal for purposes of this paragraph by circumstantial evidence, including aevidence that',
1948:'the official undertaking the reprisal knewof the disclosure; or b evidence that the reprisal occurred within a period of time',
1949:'after the disclosure such that a reasonable person could conclude that the disclosure was a contributing factor in the reprisal.',
1950:'2 opportunity for rebuttal. the head of an agency may not find the occurrence of a reprisal with respect to',
1951:'a reprisalthat is affirmatively established under section 3.9076a1 if the nonfederal employer demonstrates by clear and convincing evidence that the',
1952:'nonfederal employer would have taken the action constituting the reprisal in the absence of the disclosure. b no later than',
1953:'30 days after receiving an inspector general report in accordance with section 1553 of the recovery act, theheadof the agency',
1954:'concerned shall determine whether thereis sufficientbasis toconclude that the nonfederal employer has subjected the complainant to a reprisal prohibited by',
1955:'subsection 3.9072 and shall either issue an order denying relief in whole or in part or shall take one or',
1956:'more of the following actions: 1 order the employer totake affirmative action to abate thereprisal. 2 order the employer to',
1957:'reinstate the person to the position that the person held before the reprisal, together with the compensation including back pay,',
1958:'compensatory damages, employment benefits, and other terms and conditions of employment that would apply to the person in that position',
1959:'if the reprisal had not been taken. 3 order the employer to pay the complainant an amount equal to the',
1960:'aggregate amount of all costs and expenses including attorneys’ fees and expert witnesses’ fees thatwere reasonablyincurred by thecomplainant for, orin',
1961:'connection with, bringing the complaint regarding the reprisal. c 1 the complainant shall be deemed to have exhausted all administrative',
1962:'remedies with respect to the complaint, and the complainant may bring a de novo action at law or equity against',
1963:'the employer to seek compensatory damages and other relief available under this section in the appropriate district court of united',
1964:'states, which shall have jurisdiction over such an action without regard to the amount in controversy if i the head',
1965:'of an agency a issues an order denying relief in whole or in part under paragraph a of this section;',
1966:'b has not issued an order within 210 days after the submission of a complaint in accordance with section 1553',
1967:'of the recovery act, or in the case of an extension of time in accordance with section 1553 of the',
1968:'recovery act, within 30 days after the expiration of the extension of time; or c decides in accordance with section',
1969:'1553 of the recovery act not to investigate or to discontinue an investigation; and ii there is no showing that',
1970:'such delay or decision is due to the bad faith of the complainant. 2 suchan action shall, at the requestof',
1971:'either party tothe action, be tried by the court with a jury. d whenever an employer fails to comply with',
1972:'an order issued under this section, the head of the agency shall request the department of justice to file an',
1973:'action for enforcement of such order in the united states district court for a district in which the reprisal was',
1974:'found to have occurred. in any action brought under this section, the court may grant appropriate relief, including injunctive relief,',
1975:'compensatory and exemplary damages, and attorneys fees and costs. e any personadversely affected or aggrieved by anorder issued under paragraph',
1976:'b of this subsection may obtain review of the order’s conformance with the law, and this section, in the united',
1977:'states court of appeals for acircuit in which the reprisal is alleged in the order to have occurred. no petition',
1978:'seeking such review may be filed more than 60 days after issuance of the order by the head of the',
1979:'agency. 3.9077 contract clause. use the clause at 52.20315, whistleblower protections under the american recovery and reinvestment act of 2009,',
1980:'in all solicitations and contracts funded in whole or in part with recovery act funds. federal acquisition regulation 3.908[reserved] 3.909',
1981:'prohibition on providing funds to an entitythat requirescertain internal confidentiality agreements or statements. 3.9091 prohibition. a the government is prohibited',
1982:'from using fiscal year 2015 and subsequent fiscal year funds for a contract with an entity that requires employees or',
1983:'subcontractors of such entity seeking to report waste, fraud, or abuse to sign internal confidentiality agreements or statements prohibiting or',
1984:'otherwise restricting such employees or subcontractors from lawfully reporting such waste, fraud, or abuse to a designated investigative or law',
1985:'enforcement representative of a federal department or agency authorized to receive such information. see section743 ofdivision e, title vii, of',
1986:'the consolidated and further continuing appropriations act,2015 pub. l. 113235 and its successor provisions in subsequent appropriationsacts andas extended in',
1987:'continuing resolutions. b the prohibition in paragraph a of this section does not contravene requirements applicable to standard form 312',
1988:'classified information nondisclosure agreement, form 4414 sensitive compartmented information nondisclosure agreement, or any other form issued by a federal department',
1989:'or agency governing the nondisclosure of classified information. 3.9092 representation by the offeror. a inorder to be eligibleforcontract award, an',
1990:'offeror must represent that it will not require its employees or subcontractors to sign internal confidentiality agreements or statements prohibiting',
1991:'or otherwise restricting such employees or subcontractors from lawfully reporting waste, fraud, or abuse related to the performance of a',
1992:'government contract to a designated investigative or law enforcement representative of a federal department or agency authorized to receive such',
1993:'information e.g., agency office of the inspectorgeneral. any offeror that does not sorepresentis ineligible for award of a contract. b',
1994:'the contractingofficer may rely on an offerors representation unless thecontracting officer has reason toquestionthe representation. 3.9093 solicitation provisionand contractclause. when',
1995:'using funding subject to the prohibitions in 3.9091a, the contracting officershall a 1 include the provision at 52.20318, prohibition on',
1996:'contracting with entities that require certain internal confidentiality agreements or statementsrepresentation, in all solicitations, except as provided in paragraph a2',
1997:'of this section; and 2 do not insert the provision in solicitations for a personal services contract with an individual',
1998:'if the services are to be performed entirely by the individual, ratherthan by an employee of thecontractor or a subcontractor.',
1999:'b 1 include the clause at 52.20319, prohibition on requiring certain internal confidentiality agreements or statements, in all solicitations and',
2000:'resultant contracts, other than personal services contracts with individuals. 2 modify existing contracts, other than personal services contracts with individuals,',
2001:'to include the clause before obligating fy 2015 or subsequent fy funds that are subject to the same prohibition on',
2002:'internal confidentiality agreements or statements. subpart 3.10 contractor code of business ethics and conduct 3.1003 subpart 3.10 contractor code of',
2003:'business ethics and conduct 3.1000 scope of subpart. this subpart a implements 41 u.s.c. 3509, notification of violations of federalcriminal',
2004:'law or overpayments; and b prescribes policies and procedures for the establishment of contractor codes of business ethics and conduct,',
2005:'and display of agency office of inspector general oig fraud hotline posters. 3.1001 definitions. as used in this subpart subcontract',
2006:'means any contract entered into by a subcontractor to furnish supplies or services for performance of a prime contract or',
2007:'a subcontract. subcontractor means any supplier,distributor, vendor,or firm thatfurnished supplies or services to or for a prime contractor oranother subcontractor.',
2008:'united states means the 50 states, the district of columbia, and outlying areas. 3.1002 policy. a government contractors must conduct',
2009:'themselves with the highestdegree ofintegrity and honesty. b contractors should have a written code of business ethics and conduct. to',
2010:'promote compliancewith such code of business ethics and conduct, contractors should have an employee business ethics and compliance training program',
2011:'and an internal control system that 1 are suitable to the size of the company and extent of its involvement',
2012:'in government contracting; 2 facilitate timely discovery and disclosure of improper conduct in connection with government contracts; and 3 ensure',
2013:'corrective measures are promptly instituted and carried out. 3.1003 requirements. a contractor requirements. 1 although the policy at 3.1002 applies',
2014:'as guidance to all government contractors, the contractual requirements set forth in the clauses at 52.20313, contractor code of business',
2015:'ethics and conduct, and 52.20314, display of hotline posters, are mandatory if the contracts meet the conditions specified in the',
2016:'clause prescriptions at 3.1004. 2 whether or not the clause at 52.20313 is applicable, a contractor may be suspended and/or',
2017:'debarred for knowing failure by a principal to timely disclose to the government, in connection with the award, performance, or',
2018:'closeout of a government contract performed by the contractoror asubcontract awarded thereunder, credible evidence of a violationof federalcriminallawinvolving fraud, conflict',
2019:'of interest, bribery, or gratuity violations found in title 18 of theunited states code or a violation of the civil',
2020:'false claims act. knowing failure to timely disclose credible evidence of any of the above violations remains a cause for',
2021:'suspension and/or debarment until 3 years after final payment on a contract see 9.4062b1 vi and 9.4072a8. 3 the paymentclauses',
2022:'atfar 52.2124i5, 52.23225d, 52.23226c, and 52.23227l require that, if the contractor becomes aware that the government has overpaid on a',
2023:'contract financing or invoice payment, the contractor shall remit the overpayment amount to the government. a contractor may be suspended',
2024:'and/or debarred for knowing failure by a principal to timely disclose credible evidence of a significant overpayment, other than overpayments',
2025:'resulting from contract financing payments as defined in 32.001 see 9.4062b1vi and 9.4072a8. b notification of possible contractor violation. if',
2026:'thecontracting officer is notified of possible contractor violation of federal criminal law involving fraud, conflict ofinterest, bribery, or gratuity violations',
2027:'found in title 18 u.s.c. ;or a violation of thecivil false claims act, the contracting officer shall 1 coordinate the',
2028:'matter withthe agencyofficeof the inspector general; or 2 takeaction in accordance with agency procedures. c fraud hotline poster. 1agency oigs',
2029:'are responsible for determining the need for, and content of, their respective agency oig fraud hotline posters. 2 when requestedby',
2030:'the department of homeland security, agencies shall ensure that contracts funded with disaster assistance funds require display of any fraud',
2031:'hotline poster applicable to the specific contract. as established by the agency oig, such posters may be displayedin lieu of,',
2032:'or in addition to, the agency’s standard poster. 3.1004 federal acquisition regulation 3.1004 contract clauses. a insert the clause at',
2033:'far 52.20313, contractor code of business ethics and conduct, in solicitations and contracts if the value of the contract is',
2034:'expected to exceed $6 million and the performance period is 120 days or more. b 1 unless the contract is',
2035:'for the acquisition of a commercial product or commercial service or will be performed entirely outside the united states, insert',
2036:'the clause at 52.20314, display of hotline posters, if– i the contract exceeds $6 million or a lesser amount established',
2037:'by the agency; and ii a the agency has a fraud hotline poster; or b the contract is funded with',
2038:'disaster assistance funds. 2 in paragraph b3 ofthe clause,the contracting officershall– i identify the applicable posters; and ii insert the',
2039:'website links or other contact information for obtaining the agency and/or department of homeland security poster. 3 in paragraph d',
2040:'of the clause, if the agency has established policies and procedures for display of the oig fraud hotline poster at',
2041:'a lesser amount, the contractingofficer shall replace $6 million withthe lesser amount thatthe agency has established. subpart 3.11 preventing personal',
2042:'conflicts of interest for contractor employees performing acquisition functions 3.1102 subpart 3.11 preventing personal conflicts of interest for contractor employees',
2043:'performing acquisition functions 3.1100 scope of subpart. this subpart implements policy on personal conflicts of interest by employees of government',
2044:'contractors as required by 41 u.s.c. 2303. 3.1101 definitions. as used in this subpart acquisition function closely associated with inherently',
2045:'governmental functions means supporting or providing advice or recommendations with regard to the following activities of a federal agency: 1',
2046:'planning acquisitions. 2 determining what supplies or services are to be acquired by the government, including developing statements of work.',
2047:'3 developing or approving any contractual documents, to include documents defining requirements, incentive plans, and evaluation criteria. 4 evaluating contract',
2048:'proposals. 5 awarding governmentcontracts. 6 administering contracts including ordering changes or giving technical direction in contract performance or contract quantities,',
2049:'evaluating contractor performance, and accepting or rejecting contractor products or services. 7 terminatingcontracts. 8 determining whether contract costs are reasonable,',
2050:'allocable, and allowable. a covered employee means an individual who performs an acquisition function closely associated with inherently governmental functions',
2051:'and is 1 an employee of the contractor; or 2 a subcontractor that is a selfemployed individual treated as a',
2052:'covered employee of the contractor because there is no employer to whom such an individual could submit the required disclosures.',
2053:'personal conflict of interest means a situationin whicha coveredemployee has afinancialinterest, personal activity, or relationship that couldimpair the employee’s abilityto',
2054:'act impartially and inthe best interest of the governmentwhen performing under the contract. a de minimis interest that would not',
2055:'impair the employee’s abilityto act impartially and in the best interest of the government is not covered under this definition.',
2056:'1 among the sources of personal conflicts of interest are i financial interests of the covered employee, of close family',
2057:'members, or of other members of the covered employees household; ii other employment or financial relationships including seeking or negotiating',
2058:'for prospective employment or business; and iii gifts, including travel. 2 for example, financial interests referred to in paragraph 1',
2059:'of this definition may arise from i compensation, including wages, salaries, commissions, professional fees, or fees for business referrals; ii',
2060:'consulting relationships including commercial and professional consulting and service arrangements, scientific and technical advisory board memberships, or serving as an',
2061:'expert witness in litigation; iii services provided in exchange for honorariums or travel expense reimbursements; iv research funding or other',
2062:'forms of research support; v investment in the form of stock or bond ownership or partnership interest excluding diversified mutual',
2063:'fund investments; vi real estate investments; vii patents, copyrights, and other intellectual property interests; or viii business ownership and investment',
2064:'interests. 3.1102policy. the government’s policy is to require contractors to a identify and prevent personal conflicts of interest of their',
2065:'covered employees; and 3.1103 federal acquisition regulation b prohibit covered employees who have access to nonpublic information by reason of',
2066:'performance on a government contract from using such information for personal gain. 3.1103procedures. a by use of the contract clause',
2067:'at 52.20316, as prescribed at 3.1106,the contracting officershallrequire each contractor whose employees perform acquisition functions closely associated with inherently government',
2068:'functions to 1 have procedures in place to screen covered employees for potential personal conflicts of interest by i obtaining',
2069:'and maintaining from each covered employee, when the employee is initially assigned to the task underthe contract, adisclosure of interests',
2070:'that might be affected by the task to which the employee has been assigned, as follows: a financial interests of',
2071:'the covered employee, of close family members, or of other members of the covered employee’s household. b other employment or',
2072:'financial relationships of the covered employee including seeking or negotiating for prospective employment or business. c gifts, including travel; and',
2073:'iirequiring each covered employee to update the disclosure statement whenever the employee’s personal or financial circumstances change in such a',
2074:'way that a new personal conflict of interest might occur because of the task the covered employee is performing. 2',
2075:'for each covered employee i prevent personal conflicts of interest, including not assigning or allowing a covered employee to perform',
2076:'any task under the contract for which the contractor has identified a personal conflict of interest for the employee that',
2077:'the contractor or employee cannot satisfactorily prevent or mitigate in consultation with the contracting agency; ii prohibit use of nonpublic',
2078:'information accessed through performance of a government contract for personal gain; and iii obtain a signed nondisclosure agreement to prohibit',
2079:'disclosure of nonpublic information accessed through performance of a government contract. 3 inform covered employees of their obligation ito disclose',
2080:'and prevent personalconflicts of interest; ii not to use nonpublic information accessed through performance of a government contract for personal',
2081:'gain; and iii to avoid even theappearance of personal conflicts ofinterest; 4 maintain effective oversightto verify compliance with personal conflictofinterest',
2082:'safeguards; 5 takeappropriate disciplinary action in thecaseof covered employees who fail tocomply with policiesestablished pursuant to this section; and 6',
2083:'reportto thecontracting officer any personal conflictofinterest violationby acovered employee as soon as identified. this report shall include a description of',
2084:'the violation and the proposed actions to be taken by the contractor in response to the violation, with followup reports',
2085:'ofcorrective actionstaken,as necessary. b if a contractor reportsa personal conflictofinterest violation by a covered employee to thecontracting officer in accordance',
2086:'with paragraph b6 of the clause at 52.20316, preventing personal conflicts ofinterest, the contractingofficer shall 1 review the actions taken',
2087:'by the contractor; 2 determine whether any action taken by the contractor has resolved the violation satisfactorily; and 3 if',
2088:'the contracting officer determines that the contractor hasnot resolved the violation satisfactorily, takeany appropriate action in consultation with agency legal',
2089:'counsel. 3.1104mitigation or waiver. a in exceptional circumstances, if the contractor cannot satisfactorily prevent a personal conflict of interest as',
2090:'required by paragraph b2i of the clause at 52.20316, preventing personal conflicts of interest, the contractor may submit a request,',
2091:'through the contracting officer,forthe head of the contracting activity to 1 agree to a plan to mitigate the personal conflict',
2092:'of interest; or 2 waive the requirement toprevent personal conflicts ofinterest. subpart 3.11 preventing personal conflicts of interest for contractor',
2093:'employees performing acquisition functions 3.1106 b if the head of the contracting activity determines in writing that such action is',
2094:'in the best interest of the government, the head of the contracting activity may impose conditions that provide mitigation of',
2095:'a personal conflict of interest or grant a waiver. c this authority shall not be redelegated. 3.1105violations. if the contracting',
2096:'officer suspects violation bythe contractor ofa requirement ofparagraph b, c3, or d of the clause at 52.20316, preventing personal conflicts',
2097:'of interest,the contracting officer shall contactthe agencylegal counsel for advice and/or recommendations on a course of action. 3.1106 contract clause.',
2098:'a insert the clause at 52.20316, preventing personal conflicts of interest, in solicitations and contracts that 1 exceed the simplified',
2099:'acquisition threshold; and 2 include a requirement for services by contractor employees that involve performance of acquisition functions closely associatedwith',
2100:'inherently governmental functions for,or on behalf of, afederal agencyor department. b if only a portion of a contract is for',
2101:'the performance of acquisition functions closely associated with inherently governmental functions, then the contracting officer shall still insert the clause,',
2102:'but shall limit applicability of the clause to that portion of the contract that is for the performance of such',
2103:'services. c do not insert the clause in solicitations or contracts with a selfemployed individual if the acquisition functions closely',
2104:'associated with inherently governmental functions are to be performed entirely by the selfemployed individual, rather than anemployee of the contractor.',
2105:'this page intentionally left blank. 3.114 fac 202501 november 12, 2024 part 4 administrative and information matters sec. 4.000 scope',
2106:'of part. 4.001 definitions. subpart 4.1 contract execution 4.101 contracting officer’s signature. 4.102 contractor’ssignature. 4.103 contract clause. subpart 4.2 contract',
2107:'distribution 4.201 procedures. 4.202 agency distribution requirements. 4.203 taxpayeridentificationinformation. subpart 4.3 [reserved] subpart 4.4 safeguarding classified information within industry 4.401',
2108:'[reserved] 4.402 general. 4.403 responsibilities of contracting officers. 4.404 contract clause. subpart 4.5 electronic commerce in contracting 4.500 scope of',
2109:'subpart. 4.501 [reserved] 4.502 policy. subpart 4.6 contract reporting 4.600 scope of subpart. 4.601 definitions. 4.602 general. 4.603 policy. 4.604',
2110:'responsibilities. 4.605 procedures. 4.606 reporting data. 4.607 solicitation provisions and contract clause. subpart 4.7 contractor records retention 4.700 scope of',
2111:'subpart. 4.701 purpose. 4.702 applicability. 4.703 policy. 4.704 calculation of retention periods. 4.705 specific retention periods. 4.7051 financial and cost',
2112:'accounting records. 4.7052 pay administration records. 4.7053 acquisition and supply records. subpart 4.8 government contract files 4.800 scope of subpart.',
2113:'4.801 general. 4.802 contract files. 4.803 contents of contract files. 4.804 closeout of contract files. 4.8041 closeoutbytheofficeadministeringthe contract. 4.8042 closeout',
2114:'of the contracting office files if anotheroffice administersthe contract. 4.8043 closeout of paying office contract files. 4.8044 physically completed contracts.',
2115:'4.8045 procedures for closing out contract files. 4.805 storage, handling, and contract files. subpart 4.9 taxpayer identification number information 4.900',
2116:'scope of subpart. 4.901 definition. 4.902 general. 4.903 reporting contract information to the irs. 4.904 reporting payment information to the',
2117:'irs. 4.905 solicitation provision. subpart 4.10 uniform use of line items 4.1000 scope. 4.1001 policy. 4.1002 applicability. 4.1003 establishing line',
2118:'items. 4.1004 establishing subline items. 4.1005 data elements for line items and subline items. 4.10051 required data elements. 4.10052 exceptions.',
2119:'4.1006 modifications. 4.1007 solicitation alternative line item proposal. 4.1008 solicitation provision. subpart 4.11 system for award management 4.1100 scope. 4.1101',
2120:'definition. 4.1102 policy. 4.1103 procedures. 4.1104 disaster response registry. 4.1105 solicitation provision and contract clauses. subpart 4.12 representations and certifications',
2121:'4.1200 scope. 4.1201 policy. 4.1202 solicitation provision and contract clause. subpart4.13 personal identityverification 4.1300 scope of subpart. 4.1301 policy. 4.1302',
2122:'acquisition of approved products and services for personal identity verification. 4.1303 contract clause. subpart 4.14 reporting executive compensation and firsttier',
2123:'subcontract awards 4.1400 scope of subpart. 4.1401 applicability. 4.1402 procedures. 4.1403 contract clause. subpart 4.15 [reserved] 4.1500 [reserved] 4.1501 [reserved]',
2124:'4.1502 [reserved] subpart 4.16 uniqueprocurement instrument identifiers 4.1600 scope of subpart. 4.1601 policy. 4.1602 identifying the piid and supplementary piid.',
2125:'4.1603 procedures. subpart 4.17 service contracts inventory 4.1700 scope of subpart. 4.1701 definitions. 4.1702 applicability. 4.1703 reporting requirements. 4.1704 contracting',
2126:'officer responsibilities. 4.1705 contract clauses. subpart 4.18 commercial and government entity code 4.1800 scope of subpart. 4.1801 definitions. 4.1802 policy.',
2127:'4.1803 verifyingcagecodespriortoaward. 4.1804 solicitation provisions and contract clause. subpart 4.19 basic safeguarding of covered contractorinformation systems 4.1901 definitions. 4.1902 applicability.',
2128:'4.1903 contract clause. subpart 4.20 prohibition on contracting forhardware, software, andservices developedor provided by kaspersky lab 4.2001 definitions. 4.2002 prohibition.',
2129:'4.2003 notification. 4.2004 contract clause. subpart 4.21 prohibition on contracting for certaintelecommunications and video surveillance services or equipment 4.2100 scope',
2130:'of subpart. 4.2101 definitions. 4.2102 prohibition. 4.2103 procedures. 4.2104 waivers. 4.2105 solicitation provisions and contract clause. subpart 4.22 prohibition on',
2131:'a bytedance covered application. 4.2201 definitions. 4.2202 prohibition. 4.2203 contract clause. subpart 4.23 federal acquisition security council. 4.2300 scope of',
2132:'subpart. 4.2301 definitions. 4.2302 sharing supply chain risk information. 4.2303 fascsaorders. 4.2304 procedures. 4.2305 waivers. 4.2306 solicitation provision and contract',
2133:'clauses. fac 202501 november 12, 2024 subpart 4.1 contract execution 4.103 4.000 scope of part. a this part prescribes policies',
2134:'and procedures relating to the administrative aspects of contract execution, contractor submitted paper documents, distribution, reporting, retention, and files. b',
2135:'additionally, this partincludes policiesandprocedures to implement security prohibitions and exclusions that restrict federal agencies from procuring, obtaining, or using certain',
2136:'products, services, or sources. additional security prohibitions and exclusions are found at subparts 25.7 and 40.2. 4.001definitions. as used in',
2137:'this part procurement instrument identifier piid means the governmentunique identifier for each solicitation, contract, agreement, ororder. for example,an agencymay useas',
2138:'its piid for procurementactions, suchas delivery and task orders or basic ordering agreements, the order or agreement number in conjunction',
2139:'with the contract number see 4.1602. supplementary procurement instrument identifier means the nonunique identifier for a procurement action that is',
2140:'used in conjunction with the governmentunique identifier. forexample, anagency may use as its piidforan amended solicitation, the governmentunique identifier for',
2141:'a solicitation number e.g., n0002309r0009 in conjunction with a nonunique amendment number e.g., 0001. the nonunique amendment number represents the',
2142:'supplementary piid. subpart 4.1 contract execution 4.101 contractingofficer’s signature. onlycontracting officers shall sign contracts on behalf ofthe united states. the',
2143:'contracting officer’s name and official title shall betyped, stamped, orprinted on the contract. the contracting officer normally signs the contract',
2144:'after it has been signed bythe contractor. the contracting officer shall ensure that the signers have authority to bindthe contractor',
2145:'see specific requirements in 4.102 of this subpart. 4.102 contractor’ssignature. a individuals. a contract with an individual shall be signed',
2146:'by that individual. a contract with an individual doing business as a firm shall be signed by that individual, and',
2147:'thesignatureshallbe followed by the individual’s typed, stamped, or printed name and the words , an individual doing business as [insert',
2148:'name of firm]. b partnerships. a contract with a partnership shall be signed in the partnership name. before signing for',
2149:'the government, thecontracting officer shall obtain alist of all partners and ensurethat theindividuals signing for the partnership have authority to',
2150:'bind the partnership. c corporations. a contract with a corporation shall be signed in the corporate name, followed by the',
2151:'word by and thesignatureand title of theperson authorizedto sign. the contracting officer shall ensurethat thepersonsigningforthe corporation has authority to bind',
2152:'the corporation. d joint venturers. a contract with joint venturers may involve any combination of individuals, partnerships, or corporations. the',
2153:'contract shall be signed by each participant in the joint venture in the manner prescribed in paragraphs a through c',
2154:'ofthis section for eachtype of participant. when a corporationis participating, thecontracting officer shall verify that the corporation is authorized to',
2155:'participate in the joint venture. e agents. when an agent is to sign the contract, other than as stated in',
2156:'paragraphs a through d of this section, the agent’s authorization to bind the principal must beestablished by evidence satisfactoryto thecontracting',
2157:'officer. 4.103contract clause. the contractingofficer shall insertthe clause at 52.2041 approval of contract, in solicitations and contracts if required by',
2158:'agency procedures. this page intentionally left blank. subpart 4.2 contract distribution 4.203 subpart 4.2 contract distribution 4.201 procedures. contracting officersshalldistribute',
2159:'copies ofcontracts or modificationswithin 10 working days afterexecution by all parties. as a minimum, the contracting officer shall a distribute',
2160:'simultaneously one signed copy or reproduction of the signed contract to the contractor and the paying office; bwhenacontractisassignedtoanotherofficeforcontractadministrationsee subpart 42.2,providetothatoffice',
2161:'1 one copy or reproduction of the signed contract and of each modification; and 2 a copy of thecontract distribution',
2162:'list,showing those offices that should receive copies of modifications, and any changes to the list as they occur; c distribute',
2163:'one copy toeach accounting and finance office funding office whose funds are citedin the contract; d when the contract is',
2164:'not assigned for administration but contains a cost accounting standards clause, provide one copy of thecontract to thecognizant administrative contracting',
2165:'officer and mark the copy for cost accounting standards administration only see 30.601b; e provide one copy of eachcontract or',
2166:'modification that requires audit service to the appropriate fieldaudit office listed in the directory of federal contract audit offices see',
2167:'42.103; and f provide copiesof contracts and modifications to those organizations required toperform contractadministration support functions e.g., whenmanufacturing is performed',
2168:'at multiple sites, the contract administration office cognizant of each location. 4.202 agency distribution requirements. agencies shall limit additional distribution',
2169:'requirements to the minimum necessary for proper performance of essential functions. when contractsare assignedforadministration to acontract administration officelocatedin anagency different',
2170:'fromthatofthecontractingofficesee part 42, the two agencies shall agree on any necessary distribution in addition to that prescribed in 4.201. 4.203',
2171:'taxpayer identificationinformation. a if the contractor has furnished a taxpayer identification number tin when completing the solicitationprovision at 52.2043, taxpayeridentification,or',
2172:'paragraphl of the solicitation provision at 52.2123, offeror representationsand certificationscommercial products and commercialservices, the contracting officer shall, unless otherwise provided',
2173:'in agency procedures, attach a copy of the completed solicitation provision as the last page of the copy of the',
2174:'contract sent to the paymentoffice. b if the tinor type of organizationis derived from a source other than the provision',
2175:'at 52.2043 or 52.2123l, thecontracting officer shall annotate the lastpageof the contract or order forwarded to the payment office to',
2176:'state the contractor’s tinand type of organization, unless this information is otherwise provided to the payment office in accordance with',
2177:'agency procedures. c if the contractor provides itstin or typeof organization to the contractingofficer after award, thecontracting officer shall forwardthe',
2178:'information tothe paymentoffice within7 daysof its receipt. d federal supply schedule contracts. each contracting officer that places an order under',
2179:'a federal supply schedule contract see subpart 8.4shallprovidethetinandtypeoforganizationinformationtothepaymentofficeinaccordance with paragraph b of this section. e basic ordering agreements and indefinitedelivery',
2180:'contracts other than federal supply schedule contracts. 1 each contractingofficer that issues a basicorderingagreement or indefinitedeliverycontract other than a federal',
2181:'supply schedule contract shall provide tocontracting officers placing orders under the agreementor contract if thecontractor is not required to provide',
2182:'this information to the system for award management i a copy of the agreement or contract with a copy of',
2183:'the completed solicitation provision at 52.2043 or 52.2123l as the last page of the agreement or contract; or iithe contractor’s',
2184:'tin and typeof organization information. 2 each contractingofficer that places an order undera basic ordering agreementor indefinitedelivery contract other than',
2185:'a federal supply schedule contract shall provide the tin and typeof organization information to the payment office in accordance with',
2186:'paragraph a or b of this section. this page intentionally left blank. subpart 4.3 [reserved] subpart 4.3 [reserved] this page',
2187:'intentionally left blank. subpart 4.4 safeguarding classified information within industry 4.403 subpart 4.4 safeguarding classified information within industry 4.401[reserved] 4.402general.',
2188:'a executive order12829, january 6, 1993 58 fr3479, january 8, 1993, entitled national industrial security program nisp, establishes a program',
2189:'to safeguard federal government classified information that is released to contractors, licensees, and grantees of the united states government. executive',
2190:'order 12829 amends executive order 10865, february20,1960 25 fr1583, february 25, 1960, entitled safeguarding classifiedinformation within industry, as amended by',
2191:'executive order 10909, january 17, 1961 26 fr508, january 20, 1961. b the national industrial security program operating manual nispom',
2192:'incorporates the requirements of these executive orders. the secretary of defense,in consultation with allaffected agencies and with theconcurrence of the',
2193:'secretary of energy, the chairman ofthe nuclear regulatory commission, the director of national intelligence,andthe secretary of homeland security, is responsible',
2194:'for issuance and maintenanceof this manual. the following publications implement the program: 1 nationalindustrial security program operating manual nispom 32',
2195:'cfrpart 117. 2 dod manual 5220.22,volume 2, national industrial security program: industrialsecurity procedures for government activities. c procedures for the',
2196:'protection of information relating to foreign classified contracts awarded to u.s. industry, and instructions for the protection of u.s. information',
2197:'relating to classified contracts awarded to foreign firms, are prescribed in 32 cfr 117.19. d nondefense agencies that have industrial',
2198:'security services agreements with dod, and dod components, shall use the dd form 254, contract security classification specification, to provide',
2199:'security classification guidance to u.s. contractors, and subcontractorsas applicable, requiring access to information classified as confidential, secret, or top secret.',
2200:'1 provided that the data submittal is unclassified, the dd form 254 shall be completed electronically in the nisp contract',
2201:'classification system nccs, which is accessible at https://www.dcsa.mil/is/nccs/ . nondefense agencies with an existing dd form 254 information system may',
2202:'use that system. 2 iacontractor,orsubcontractorifapplicable,requiringaccesstoclassifiedinformationunderacontractshallbe identified with a commercial and government entity cage code on the dd form 254 see',
2203:'subpart 4.18 for information on obtaining and validating cage codes. ii each location of contractor or subcontractor performance listed on',
2204:'the dd form 254 is required to reflect a corresponding unique cage code for each listed location unless the work',
2205:'isbeing performed at a government facility, in which case the agency location code shall be used. each subcontractor location requiring',
2206:'access to classified information must be listed on the dd form 254. iii contractor and subcontractor performance locations listed on',
2207:'the dd form 254 are not required to be separately registered in the system for award managementsam solely for thepurposesof',
2208:'add form 254 see subpart 4.11 for information on registering in sam. e part 27, patents, data, and copyrights, contains',
2209:'policy and procedures for safeguarding classified information in patent applications and patents. 4.403responsibilities of contracting officers. a presolicitation phase. contractingofficers',
2210:'shall reviewall proposed solicitations to determine whether access to classified information may be required by offerors, or by a contractor',
2211:'during contractperformance. 1 if access to classified information ofanother agency may be required, the contracting officer shall i determine if',
2212:'the agency is covered by the nisp; and iifollow that agency’s procedures for determining the security clearancesof firms to be',
2213:'solicited. 2 if the classified information required isfrom the contracting officer’s agency, the contracting officer shall follow agency procedures. b',
2214:'solicitation phase. contractingofficers shall 1 ensure that the classified acquisition is conducted as required by the nisp or agency procedures,',
2215:'as appropriate; and 2 include i an appropriate security requirements clause in the solicitation see 4.404; and federal acquisition regulation',
2216:'ii as appropriate, in solicitations and contracts when the contract may require access to classified information, a requirement for security',
2217:'safeguards in addition to those provided in the clause 52.2042, security requirements. c award phase.contracting officers shall informcontractors and subcontractors',
2218:'of the security classifications and requirements assigned to the various documents, materials, tasks, subcontracts, and components of the classified contract',
2219:'as identified in the requirement documentation as follows: 1 nondefense agencies that have industrial security services agreements with dod, and',
2220:'dod components, shall use the contract security classificationspecification, dd form 254. the contracting officer,or authorized agency representative,is the approving officialforthe',
2221:'dd form254 associated with theprimecontract and shall ensurethe dd form 254 is properly prepared, distributed by and coordinated with requirements',
2222:'and security personnel in accordance with agency procedures, see 4.402d1. 2 contracting officersin agencies not covered by the nisp shall',
2223:'follow agency procedures. 4.404contract clause. a thecontracting officer shall insert the clause at 52.2042, security requirements, in solicitations and contracts',
2224:'when the contract may require access to classified information, unless the conditions specified in paragraph d of this section apply.',
2225:'b if a cost contract see 16.302 for research and development with an educational institution is contemplated, the contracting officershalluse',
2226:'the clausewith its alternate i. c if a construction or architectengineer contract where employee identification is required for security reasons',
2227:'is contemplated, thecontracting officer shall use the clause with its alternate ii. d if the contracting agency is not covered',
2228:'by the nisp and has prescribed a clause and alternates that are substantially the same as those at 52.2042, the',
2229:'contracting officer shall use theagencyprescribedclause asrequired by agency procedures. subpart 4.5 electronic commerce in contracting 4.502 subpart 4.5 electronic commerce',
2230:'in contracting 4.500scope of subpart. this subpart provides policy and procedures for the establishment and use of electronic commerce in',
2231:'federal acquisition as required by 41 u.s.c. 2301. 4.501[reserved] 4.502 policy. a thefederal government shall use electronic commerce whenever practicable',
2232:'or costeffective. the use of terms commonly associated with paper transactions e.g.,copy, document, page, printed, sealed envelope, and stamped shall',
2233:'not be interpreted to restrictthe use of electronic commerce. contracting officersmay supplement electronic transactionsby using other media to meet the',
2234:'requirements of any contract action governed by the fare.g., transmit hard copy of drawings. b agencies may exercise broad discretion',
2235:'in selecting the hardware and software that will be used in conducting electronic commerce. however, as required by 41 u.s.c.',
2236:'2301, the head of each agency, afterconsulting with the administrator of ofpp, shall ensure that systems, technologies, procedures, andprocesses used',
2237:'by theagency to conduct electronic commerce 1 are implemented uniformly throughout the agency, tothe maximumextent practicable; 2 are implemented only',
2238:'after considering the full or partial use of existing infrastructures; 3 facilitate access to government acquisition opportunities by small business',
2239:'concerns, small disadvantaged business concerns, womenowned, veteranowned, hubzone, and servicedisabled veteranowned small business concerns; 4 include a single means of',
2240:'providing widespread public notice of acquisition opportunities through the governmentwide point of entry and a means of responding to notices',
2241:'or solicitations electronically; and 5 comply with nationally and internationally recognized standards that broaden interoperability and ease the electronic interchange',
2242:'of information, suchas standards established by the national institute ofstandards and technology. c before using electronic commerce, the agency head',
2243:'shall ensure that the agency systems are capable of ensuring authentication and confidentiality commensurate with the risk and magnitude of',
2244:'the harm from loss, misuse, or unauthorized access to or modification of the information. d agencies may accept electronic signatures',
2245:'and records in connection with government contracts. this page intentionally left blank. subpart 4.6 contract reporting 4.602 subpart 4.6 contract',
2246:'reporting 4.600scope of subpart. this subpart prescribes uniform reporting requirements for the federal procurement data system fpds. 4.601definitions. as used',
2247:'in this subpart— contract action means any oral or written action that results in the purchase, rent, or lease of',
2248:'supplies or equipment, services, or construction using appropriated dollars over the micropurchase threshold, or modifications to these actions regardless of',
2249:'dollar value. contract action does not include grants, cooperative agreements, other transactions, real property leases, requisitions fromfederal stock, training authorizations,',
2250:'orothernonfar based transactions. contract action report car means contract action data required to be entered into the federal procurement data',
2251:'system fpds. definitive contract means any contract that must be reported to fpds other than an indefinite delivery vehicle. this',
2252:'definition is only for fpds, and is not intended to apply to part 16. entitlement program means a federal program',
2253:'that guarantees a certain level of benefits to persons or other entities who meetrequirements set by law, such associal security,',
2254:'farm price supports, orunemployment benefits. generic entity identifier means a number or other identifier assigned to a category of vendors',
2255:'and not specific to any individualor entity. indefinite delivery vehicle idv means an indefinite delivery contract or agreement that has',
2256:'one or more of the following clauses: 1 52.21618, ordering. 2 52.21619, order limitations. 3 52.21620, definitequantity. 4 52.21621, requirements.',
2257:'5 52.21622, indefinite quantity. 6 any other clause allowing ordering. 4.602general. a the fpds provides a comprehensive webbased tool for',
2258:'agencies to report contract actions. the resulting data provides 1 a basis for recurring andspecial reports to thepresident, thecongress, the',
2259:'government accountability office, federal executive agencies, and the general public; 2 a meansof measuringandassessing the effectof federal contracting onthe nations',
2260:'economy and theextent to which small, veteranowned small, servicedisabled veteranowned small, hubzone small, small disadvantaged, women owned small business concerns,',
2261:'and abilityone nonprofit agencies operating under 41 u.s.c. chapter 85, committee for purchase from people who are blind or severely',
2262:'disabled, are sharing in federal contracts; 3 a meansof measuringandassessing the effectof federal contracting for promoting sustainable technologies, materials, products,',
2263:'services, and highperformance sustainable buildings. this is accomplished by collecting and reporting agency data on sustainable acquisition, including types of',
2264:'products purchased, the purchase costs, and the exceptions used for other than sustainable acquisition; and 4 a meansof measuringandassessing the',
2265:'effectof other policyand management initiatives e.g., performance based acquisitions and competition. b fpds does not provide reports for certain acquisition',
2266:'information used in the award of a contract action e.g., subcontracting data, funding data, or accounting data. c thefpdsweb site,',
2267:'https://www.fpds.gov, provides instructions for submitting data. it also provides 1 a complete list of departments, agencies, and other entities that',
2268:'submit data to the fpds; 2 technical and enduser guidance; 3 a computerbased tutorial; and 4 information concerning reports not',
2269:'generated in fpds. federal acquisition regulation 4.603 policy. a inaccordance withthe federal funding accountabilityandtransparencyactof 2006 pub. l. 109282, all unclassified',
2270:'federal award data must be publicly accessible. b executive agencies shall use fpds to maintain publicly available information about all',
2271:'unclassified contract actions exceeding the micropurchase threshold, and any modifications to those actions that change previously reported contract action report',
2272:'data, regardless of dollar value. c agencies awarding assisted acquisitions or direct acquisitions must report these actions and identify the',
2273:'program/ funding agencyandofficecodesfrom the applicableagency codesmaintained by eachagency at fpds. these codes represent theagency and officethat has provided the predominant',
2274:'amount of funding for the contract action. for assisted acquisitions, the requesting agency will receive socioeconomic credit for meeting agency',
2275:'small business goals, where applicable. requesting agencies shall provide the appropriate agency/bureau component code as part of the written interagency',
2276:'agreement between the requesting and servicing agencies see 17.5021a1. d agencies awarding contract actions with a mix of appropriated and',
2277:'nonappropriated funding shall only report the full appropriated portion of the contract action in fpds. 4.604responsibilities. a the senior procurement',
2278:'executive in coordination with the head of the contracting activity is responsible for developing and monitoring a process to ensure',
2279:'timely and accurate reporting of contractual actions to fpds. b 1 the responsibility for the completion and accuracy of the',
2280:'individual contract action report car resides with the contracting officerwho awarded the contract action. cars in a draft or error',
2281:'status in fpds are not considered complete. 2 the car must beconfirmedforaccuracy by the contracting officer prior to release of',
2282:'the contract award. the car must then be completed in fpds within three business days after contract award. 3 for',
2283:'any action awarded in accordance with far 6.3022 or pursuant to any of the authorities listed at subpart 18.2, the',
2284:'car must be completed in fpds within 30 days after contract award. 4 when the contractingoffice receives written notification that',
2285:'a contractor has changed itssize status in accordance with the clause at 52.21928, postaward small business program rerepresentation, the contracting',
2286:'officer shall update the size status in fpds within 30 daysafter receipt of contractor’s notificationof rerepresentation. 5 if after award',
2287:'of a contract,the contracting officerreceives writtennotification of sba’sfinal decision on a protest concerning asize determination, the contracting officershallupdate fpds to',
2288:'reflect the final decision. c thechief acquisition officer of eachagency required to reportits contract actions must submit to the general',
2289:'services administration gsa, in accordancewith fpds guidance,within 120 days after the end ofeach fiscal year, an annual certification of whether,and',
2290:'to what degree, agency car data for the preceding fiscal year is complete and accurate. 4.605 procedures. a procurement instrument',
2291:'identifier piid. agencies shall have in place a process that ensures that each piid reported to fpds is unique governmentwide,',
2292:'for all solicitations, contracts, blanket purchase agreements, basic agreements, basic ordering agreements, or orders in accordance with 4.1601 to 4.1603,',
2293:'and will remain so for at least 20 years from the date of contract award. other pertinent piid instructions for',
2294:'fpds reporting can be found at https://www.fpds.gov. b unique entity identifier. thecontracting officer shall identify and reporta unique entity identifier',
2295:'for the successful offeror on acontract action. the unique entityidentifier shall correspond to the successful offerors name andaddress as stated',
2296:'inthe offer and resultant contract, andas registered in the system for award management in accordance withthe provision at 52.2047, system',
2297:'for awardmanagement. the contracting officershallask the offeror to provide its unique entity identifier by using either the provision at 52.2046,',
2298:'unique entity identifier, the provision at 52.2047, system for award management, orthe provisionat 52.2121,instructionsto offerorscommercial products and commercial services. foradiscussionofthecommercialandgovernmententitycagecode,whichisadifferentidentifier,see',
2299:'subpart 4.18. c genericentity identifier. 1 the use of a generic entity identifier should be limited, and only used in',
2300:'the situations described in paragraph c2 of this section. use of a generic entity identifier does not supersede the requirements',
2301:'of provisions 52.2046, unique entity identifier or 52.2047 system for awardmanagement if present in the solicitation for the contractor to',
2302:'have a unique entity identifier assigned. 2 authorizedgeneric entityidentifiers, maintained by the integrated award environment iae program office http:// www.gsa.gov/portal/content/105036,',
2303:'may be used to report contracts in lieu of the contractors actual unique entity identifier only for— i contract actions',
2304:'valued at or below $30,000 that are awarded to a contractor that is subpart 4.6 contract reporting 4.606 a a',
2305:'student; b a dependent of either a veteran, foreign serviceofficer, ormilitary member assigned outside the united states and its outlying',
2306:'areas as defined in 2.101; or c located outside the united states and its outlying areas for work to be',
2307:'performed outside the united states and its outlying areas and the contractor does not otherwise have a unique entity identifier;',
2308:'ii contracts valued above $30,000 awarded to individuals located outside the united states and its outlying areas for work to',
2309:'be performed outside the united states and its outlying areas; or iii contractswhen specific public identification of thecontracted party could',
2310:'endanger the mission, contractor, or recipients of the acquiredgoodsor services. the contracting officer must include awritten determination in the contract',
2311:'file of a decision applicable to authority under this paragraph c2iii. d american recovery and reinvestmentactactions. the contracting officer, when',
2312:'entering data in fpds, shall use the instructions at https://www.fpds.gov to identify any action funded in whole or in part',
2313:'by the american recovery and reinvestmentactof 2009 pub. l. 1115. e office codes. agencies shall by march 31, 2016— 1',
2314:'use the activity address code aac, as defined in 2.101, assigned tothe issuing contracting officeas the contracting office code,and 2',
2315:'use the aacassigned to the program/fundingoffice providing the predominanceof funding for the contract action as the program/funding office code. 4.606reporting',
2316:'data. a actions required to be reported to fpds. 1 as a minimum, agencies must report the following contract actions',
2317:'over the micropurchase threshold, regardless of solicitation process used, and agencies must report any modification to these contract actions that',
2318:'change previously reported contract action data, regardless of dollar value: i definitive contracts, including purchase orders and imprest fund buys',
2319:'over the micropurchase threshold awarded by a contracting officer. ii indefinite delivery vehicle identified as an idv in fpds. examples',
2320:'of idvs include the following: ataskanddeliveryordercontractssee subpart 16.5, including– 1 governmentwide acquisition contracts. 2 multiagency contracts. b gsa federal supply',
2321:'schedules. c blanket purchase agreements see 13.303. d basic ordering agreements see 16.703. e any other agreement or contract against',
2322:'which individual orders or purchases may be placed. iii all calls and orders awarded under the indefinite delivery vehicles identified',
2323:'in paragraph a1ii of this section. 2 the gsa office of charge card management will provide the government purchase card',
2324:'data, at aminimum annually, and gsa will incorporate that data into fpds for reports. 3 agencies may use the fpds',
2325:'express reporting capability for consolidated multiple action reports for a vendor when it would be overly burdensome to reporteach action',
2326:'individually. when used, express reporting should be done at least monthly. b reporting other actions. agencies may submit actions other',
2327:'than those listed at paragraph a1 of this section only if they are able to be segregatedfrom farbased actions and',
2328:'this is approved in writing by the fpds program office. prior to the commencement of reporting, agencies must contact the',
2329:'fpds program office if they desire to submit any of the following types of activity: 1 transactions at or below',
2330:'the micropurchase threshold,exceptas providedin paragraph a2 ofthis section. 2 any nonappropriated fund naf or naf portion of a contract action',
2331:'using a mix of appropriated and non appropriated funding. 3 lease and supplemental lease agreementsforreal property. 4 grants and entitlement',
2332:'actions. c actions not reported. the following types of contract actions are not to be reported to fpds: 1 imprest',
2333:'fund transactions below the micropurchase threshold, including those made via the government purchase card unless specific agency procedures prescribe reporting',
2334:'these actions. 2 orders from gsa stock and the gsa global supply program. federal acquisition regulation 3 purchases made at',
2335:'gsa or abilityone service stores, as these items stocked for resale have already been reported by gsa. 4 purchases made',
2336:'using nonappropriated fund activity cards, chaplain fund cards, individual government personnel training orders, and defense printing orders. 5 actions that,',
2337:'pursuant tootherauthority, will not be entered in fpds e.g., reporting of the information would compromise national security. 6 contract actions',
2338:'in which the required data would constitute classified information. 7 resale activity i.e., commissary or exchange activity. 8 revenue generating',
2339:'arrangements i.e., concessions. 9 training expenditures not issued as orders orcontracts. 10 interagency agreements other than interagency acquisitions required to',
2340:'be reported at 4.606a1. 11 lettersof obligation used in the a76 process. d agencies not subjectto thefar. agencies not subjectto',
2341:'thefar may be required by other authoritye.g., statute, omb,or internal agency policy toreport certain information to fpds. those agencies not',
2342:'subject to the far must first receive approval from thefpdsprogram office prior to reportingto fpds. 4.607 solicitation provisionsand contractclause. a',
2343:'insert the provision at 52.2045, womenowned business other than small business, in all solicitations that 1 are not set aside',
2344:'for small business concerns; 2 exceed the simplified acquisition threshold; and 3 are for contracts that will be performed in',
2345:'the united states or its outlying areas. b insert the provision at 52.2046,uniqueentity identifier, in solicitations that do not contain',
2346:'the provision at 52.2047, system for award management, ormeet a condition at 4.605c2. c insert the clause at 52.20412, unique',
2347:'entity identifier maintenance, in solicitations and resulting contracts that contain the provision at 52.2046, unique entity identifier. subpart 4.7 contractor',
2348:'records retention 4.703 subpart 4.7 contractor records retention 4.700scope of subpart. this subpart provides policies and procedures for retention of',
2349:'records by contractors to meet the records review requirements of the government. in this subpart, the terms contracts and contractors',
2350:'include subcontracts and subcontractors. 4.701purpose. the purpose of this subpart is to generally describe records retention requirements and to allow',
2351:'reductions in the retention period for specific classes of records under prescribed circumstances. 4.702 applicability. a this subpart applies to',
2352:'records generated under contracts that contain one of the following clauses: 1 audit and recordssealed bidding 52.21426. 2 audit and',
2353:'recordsnegotiation 52.2152. b this subpart is notmandatory ondepartment ofenergy contracts for which thecomptroller generalallows alternative records retention periods. apart from',
2354:'this exception, this subpart applies to record retention periods under contracts that are subject to 10 u.s.c. chapter 137 legacy',
2355:'provisions 10 u.s.c. 3064 and 10 u.s.c. 3016 and chapter 203, or 40 u.s.c. 101, et seq. 4.703 policy. a',
2356:'except as stated in 4.703b, contractors shall make available records, which includes books, documents, accounting procedures and practices, and other',
2357:'data, regardless of type and regardless of whether such items are in written form, in the form of computer data,',
2358:'or in any other form, and other supporting evidence to satisfy contract negotiation, administration, and audit requirements of the contracting',
2359:'agencies and the comptroller general for 1 3 years after final payment; or 2 for certain records the period specified',
2360:'in 4.705 through 4.7053, whichever of these periods expires first. b contractors shall make available the foregoing records and supporting',
2361:'evidence for a longer period of time than is required in 4.703a if 1 a retention period longer than that',
2362:'cited in 4.703a is specified in any contract clause; or 2 the contractor, for itsown purposes, retains the foregoingrecords andsupporting',
2363:'evidence for a longerperiod. under this circumstance, the retention periodshallbe theperiod of the contractor’s retention or 3 years after final',
2364:'payment, whichever period expires first. 3 the contractor does not meet the original due date for submission of final indirect',
2365:'cost rate proposals specified in paragraph d2 of the clause at 52.2167, allowable cost and payment. under these circumstances, the',
2366:'retention periods in 4.705 shall be automatically extended one day for each day the proposal is not submitted after the',
2367:'original due date. c nothing in this section shall be construed to preclude a contractor from duplicating or storing original',
2368:'records in electronic form unless they contain significant information not shown onthe recordcopy. original records need not be maintained or',
2369:'produced in an audit if the contractor or subcontractor provides photographic or electronic images of the original records and meets',
2370:'the following requirements: 1 the contractor or subcontractor has established procedures to ensure that the imaging process preserves accurate images',
2371:'of the original records, including signatures and other written or graphic images, and that the imaging process is reliable and',
2372:'secure so as to maintain the integrity of the records. 2 the contractoror subcontractor maintains an effective indexing system to',
2373:'permit timely andconvenientaccess to the imaged records. 3 the contractor or subcontractor retains the original records for a minimum of',
2374:'one year after imaging to permit periodic validation of the imaging systems. d if the information described in paragraph a',
2375:'ofthissection ismaintained on a computer, contractors shall retain the computer data on a reliable medium for the time periods prescribed.',
2376:'contractors may transfer computer data in machine readable formfrom one reliablecomputer mediumto another. contractors’ computer dataretention and transfer procedures shall',
2377:'maintain theintegrity, reliability, and security of the originalcomputer data. contractors shall also retainan audit trail describing the data transfer. forthe',
2378:'recordretention time periods prescribed, contractors shall not destroy, discard, delete, or write over such computer data. federal acquisition regulation 4.704',
2379:'calculation of retention periods. a the retention periods in 4.705 arecalculatedfrom the end of the contractor’sfiscalyear in whichan entry is',
2380:'made charging or allocating a costto a government contract or subcontract. if aspecific record contains a series of entries, the',
2381:'retention period is calculated from the end of the contractor’s fiscal year in which the finalentry is made. the contractor',
2382:'should cutoff therecordsin annual blocks and retain them for blockdisposal under the prescribed retentionperiods. b when records generated during a',
2383:'prior contract are relied upon by a contractor for certified cost or pricing data in negotiating a succeeding contract, the',
2384:'prescribed periods shall run from the date of the succeeding contract. c if two or more of the record categories',
2385:'described in 4.705 are interfiled and screening for disposal is not practical, the contractor shall retain the entire record series',
2386:'for the longest period prescribed for any category of records. 4.705 specificretentionperiods. the contractor shall retain the records identified in',
2387:'4.7051 through 4.7053 for the periods designated, provided retention is required under 4.702. records are identified in this subpart in',
2388:'terms of their purpose or use and not by specific name or form number. although the descriptive identifications may not',
2389:'conform to normal contractor usageor filing practices, these identifications apply to all contractor records that come within the description. 4.7051',
2390:'financial and cost accounting records. a accounts receivable invoices, adjustments to the accounts, invoice registers, carrier freight bills, shipping orders,',
2391:'and other documents which detail the material or services billed on the related invoices: retain 4 years. b material,work order,',
2392:'or serviceorder files, consistingof purchaserequisitions or purchase orders for material or services, or orders for transfer of material or supplies:',
2393:'retain 4 years. c cash advance recapitulations, prepared as posting entries to accounts receivable ledgers for amounts of expense vouchers',
2394:'prepared for employees’ travel and related expenses: retain 4 years. d paid, canceled, and voided checks, other than those issued',
2395:'for the payment of salary and wages: retain 4 years. e accounts payable records to support disbursements of funds for',
2396:'materials, equipment, supplies, and services, containing originals or copies of the following and related documents: remittance advices and statements, vendors’',
2397:'invoices, invoice audits and distribution slips, receiving and inspection reports or comparable certifications of receipt and inspection of material or',
2398:'services, and debit and credit memoranda: retain 4 years. f labor cost distribution cards or equivalent documents: retain 2 years.',
2399:'g petty cash records showing description of expenditures, to whom paid, name of person authorizing payment, and date, including copies',
2400:'of vouchers and other supporting documents: retain 2 years. 4.7052 pay administration records. a payroll sheets, registers, or their equivalent,',
2401:'of salaries and wages paid to individual employees for each payroll period; change slips; and tax withholding statements: retain 4',
2402:'years. b clock cards or other time and attendance cards: retain 2 years. c paid checks, receipts for wages paid',
2403:'in cash, or other evidence of payments for services rendered by employees: retain 2 years. 4.7053 acquisition and supply records.',
2404:'a store requisitions for materials, supplies, equipment, and services: retain 2 years. b work orders for maintenance and other services:',
2405:'retain 4 years. c equipment records, consisting of equipment usage and status reports and equipment repair orders: retain 4 years.',
2406:'d expendable property records, reflecting accountability for the receipt and use of material in the performance of a contract: retain',
2407:'4 years. e receiving and inspection report records, consisting of reports reflecting receipt and inspection of supplies, equipment, and materials:',
2408:'retain 4 years. f purchase order files for supplies, equipment, material, or services used in the performance of a contract;',
2409:'supporting documentation and backup files including, but not limited to, invoices, and memoranda; e.g., memoranda of negotiations showing the principal',
2410:'elements of subcontract price negotiations see 52.2442: retain 4 years. g production records ofqualitycontrol, reliability, and inspection: retain 4years. h',
2411:'property records seefar 45.101 and 52.2451: retain 4 years. subpart 4.8 government contract files 4.803 subpart 4.8 government contract files',
2412:'4.800scope of subpart. this subpart prescribes requirements for establishing, maintaining, and disposing of contract files. 4.801general. a theheadof each officeperforming',
2413:'contracting, contract administration, or paying functions shall establish files containing the records of all contractual actions. b the documentation in',
2414:'the files see 4.803 shall be sufficient to constitute a complete history of thetransactionforthe purpose of 1 providing a complete',
2415:'background as a basis for informed decisions at each step in the acquisition process; 2 supporting actions taken; 3 providing',
2416:'information for reviews and investigations; and 4 furnishing essential facts in the event of litigation or congressional inquiries. c the',
2417:'files to be established include 1 a file for cancelled solicitations; 2 a file for each contract; and 3 a',
2418:'file such as a contractor general file, containing documents relating, for exampleto i no specific contract; ii more than one',
2419:'contract; or iii the contractor in a general way e.g., contractor’s managementsystems, past performance, or capabilities. 4.802contract files. a a',
2420:'contract file should generally consist of 1 the contractingoffice contract filethat documents the basisforthe acquisition and the award, the assignment',
2421:'of contract administrationincluding payment responsibilities,and any subsequent actions taken bythe contracting office; 2 the contract administration office contract file that',
2422:'documents actionsreflecting the basis for and theperformance of contract administration responsibilities; and 3 the paying office contract file that documents',
2423:'actionsprerequisite to, substantiating, and reflectingcontract payments. b normally,each file should be kept separately; however, if appropriate, any or all of',
2424:'the files may be combined; e.g., if all functions or any combination of the functionsare performed by the same office.',
2425:'c files must be maintained atorganizational levels thatensure 1 effective documentation of contract actions; 2 ready accessibility to principal users;',
2426:'3 minimal establishment of duplicate and working files; 4 the safeguarding of classified documents; and 5 conformance with agency regulations',
2427:'for file location and maintenance. d if the contract files or file segments are decentralized e.g., by type or functionto',
2428:'various organizationalelements or to other outside offices, responsibility for their maintenancemust be assigned. a central control and, ifneeded, a locator',
2429:'system should be established to ensure the ability to locate promptly any contract files. e contents of contract files that',
2430:'are contractor bid or proposal information or source selection information as defined in 2.101 must be protected from disclosure to',
2431:'unauthorized persons see 3.1044. f agencies may retain contract files in any medium paper, electronic, microfilm,etc. or any combination ofmedia,as',
2432:'long as the requirements of this subpart are satisfied. 4.803contents of contract files. the following are examples of the records',
2433:'normally contained, if applicable, in contract files: a contracting officecontract file. 1 purchase request, acquisition planning information, and other presolicitation',
2434:'documents. 2 justifications and approvals, determinations and findings, and associated documents. 3 evidence of availability of funds. 4 synopsis of',
2435:'proposed acquisition as required by part 5 or a reference to the synopsis. federal acquisition regulation 5 the list of',
2436:'sources solicited, and a list of any firms or persons whose requests for copies of the solicitation were denied, together',
2437:'with the reasons for denial. 6 setaside decision see 19.1506 including the type and extent of market research conducted. 7',
2438:'government estimate of contract price. 8 a copy of the solicitation and all amendments thereto. 9 security requirements and evidence',
2439:'of required clearances. 10 a copyof each offer or quotation,the related abstract, and records of determinations concerning late offersor quotations.',
2440:'unsuccessfuloffers or quotations may be maintained separately, ifcrossreferencedto thecontract file. the only portions of the unsuccessful offer or quotation that',
2441:'need be retainedare i completed solicitation sections a, b, and k; iitechnical and management proposals; iii cost/price proposals; and iv',
2442:'anyother pages of thesolicitation that the offeror or quoter hasaltered or annotated. 11 contractor’s representations and certifications see 4.1201c. 12',
2443:'preaward survey reports or reference to previous preaward survey reports relied upon. 13 source selection documentation. 14 contractingofficer’s determinationof the',
2444:'contractor’s responsibility. 15 small business administrationcertificate of competency. 16 records of contractor’scompliance with labor policies including equal employment opportunity policies.',
2445:'17 data and information related to the contracting officer’s determination of a fair andreasonable price. this may include i certified',
2446:'cost or pricing data; ii data other than certified cost or pricing data; iii justification for waiver from the requirement',
2447:'to submit certified cost or pricing data; or iv certificates of current cost or pricing data. 18 packaging and transportation',
2448:'data. 19 cost or price analysis. 20 audit reports orreasons for waiver. 21 record of negotiation. 22 justification for type',
2449:'of contract. 23 authority for deviations from this regulation, statutory requirements, or other restrictions. 24 required approvals ofaward and evidenceof',
2450:'legal review. 25 notice of award. 26 the original of i the signed contract or award; ii all contract modifications;',
2451:'and iii documents supporting modificationsexecuted by the contracting office. 27 synopsis of award or reference thereto. 28 notice to unsuccessful',
2452:'quoters orofferorsand record of anydebriefing. 29 acquisition management reports see subpart 4.6. 30 bid, performance, payment, or other bond documents,',
2453:'or a reference thereto, and notices to sureties. 31 report of postaward conference. 32 notice to proceed, stop orders, and',
2454:'any overtime premium approvals granted at the time of award. 33 documents requesting and authorizing modification in the normal assignment',
2455:'of contract administration functions and responsibility. 34 approvals or disapprovals of requests for waivers or deviations from contract requirements. 35',
2456:'rejected engineering change proposals. 36 royalty, invention, and copyright reports including invention disclosures or referencethereto. 37 contract completion documents. 38',
2457:'documentation regarding termination actions for which the contracting office is responsible. 39 crossreferences to pertinent documents that are filed elsewhere.',
2458:'40 any additional documents onwhich action was taken or that reflectactions by the contracting office pertinent to the contract. subpart',
2459:'4.8 government contract files 4.8041 41 a current chronological list identifyingthe awarding and successor contracting officers, with inclusivedates of responsibility.',
2460:'42 when limiting competition, or awarding on a sole source basis, to economically disadvantaged womenowned small business edwosb concerns or',
2461:'womenowned small business wosb concerns eligible under the wosb program in accordance with subpart 19.15, include documentation i of the',
2462:'type and extent of market research; and ii that the naics code assigned to the acquisition is for an industry',
2463:'that sba has designated as a underrepresented for edwosb concerns; or b substantially underrepresented for wosb concerns. b contractadministration officecontract',
2464:'file. 1 copy ofthe contract and all modifications, together with official record copiesof supporting documentsexecuted by the contract administration office.',
2465:'2 any documentmodifying the normalassignment of contract administration functionsandresponsibility. 3 security requirements. 4 certified cost or pricing data, certificates of',
2466:'current cost or pricing data, or data other than certified cost or pricing data; cost or price analysis; and other',
2467:'documentation supporting contractual actions executed by the contract administration office. 5 preaward survey information. 6 purchasing system information. 7 consent',
2468:'to subcontract or purchase. 8 performance and payment bonds and surety information. 9 postaward conference records. 10 orders issued under',
2469:'the contract. 11 notice to proceed and stop orders. 12 insurance policies or certificates of insurance or references to them.',
2470:'13 documents supporting advance or progress payments. 14 progressing, expediting, and production surveillance records. 15 quality assurance records. 16 property',
2471:'administration records. 17 documentation regarding termination actions for which the contractadministration officeis responsible. 18 cross reference to other pertinent documents',
2472:'that are filed elsewhere. 19 any additional documents onwhich action was taken or that reflectactions by the contractadministration office pertinent',
2473:'to the contract. 20 contract completion documents. c payingoffice contract file. 1 copy of the contract and any modifications. 2',
2474:'bills, invoices, vouchers, and supporting documents. 3 record of payments or receipts. 4 other pertinent documents. 4.804closeout of contract files.',
2475:'4.8041 closeout by the office administering the contract. a except as provided in paragraph c of this section, time standards',
2476:'for closing out contract files are as follows: 1 files for contracts using simplified acquisition procedures should be considered closed',
2477:'whenthe contracting officer receives evidence of receipt of property and final payment, unless otherwise specified by agency regulations. 2 files',
2478:'for firmfixedprice contracts, other than those using simplified acquisition procedures, should be closed within 6 months afterthe date onwhich the',
2479:'contracting officer receives evidence of physical completion. 3 files for contracts requiring settlement of indirect cost rates should be closed',
2480:'within 36 months of the month in which the contracting officer receives evidence ofphysical completion. 4 files for all othercontracts',
2481:'should be closed within 20monthsof the month inwhich the contracting officer receives evidence of physical completion. b when closing out',
2482:'the contract files at 4.8041a2, 3,and 4,the contracting officer shall use the closeout procedures at 4.8045. however, these closeout actions',
2483:'may bemodified toreflect the extent of administration that has been federal acquisition regulation performed. quick closeout procedures see 42.708 should',
2484:'be used, when appropriate, to reduce administrative costs and to enable deobligation of excess funds. c a contract file shall',
2485:'not be closed if 1 the contract is in litigation or under appeal; or 2 in the case of a',
2486:'termination, all termination actions have not been completed. 4.8042 closeout of the contracting office files if another office administers the',
2487:'contract. a contract files for contracts using simplified acquisition procedures should be considered closed when the contracting officer receives evidence',
2488:'ofreceipt of property and final payment, unless otherwise specified byagency regulation. b all other contract files shall beclosed as soon',
2489:'aspracticable afterthe contracting officerreceives a contractcompletion statement fromthe contract administrationoffice. the contracting officer shall ensurethat all contractualactions required have been',
2490:'completedand shall prepare a statementto that effect. this statement is authority to close the contract file and shall bemadea partof',
2491:'the official contract file. 4.8043 closeout of paying office contract files. the paying office shall close thecontract file uponissuance of',
2492:'the finalpayment voucher. 4.8044 physically completed contracts. a except as provided in paragraph b of this section, a contract is',
2493:'considered to be physically completed when 1 i the contractor has completed the required deliveries and the government has inspected',
2494:'and accepted the supplies; ii the contractor has performed all services and the government has accepted these services; and iii',
2495:'all optionprovisions, if any,haveexpired; or 2 the government has given the contractor a notice of complete contract termination. b rental,',
2496:'use, and storage agreements are considered to be physically completed when 1 the government has given the contractor a notice',
2497:'of complete contract termination; or 2 the contract period has expired. 4.8045 procedures for closing outcontract files. a thecontract administration',
2498:'officeis responsible for initiating automated or manual administrative closeout of the contract after receiving evidence ofits physical completion. at the',
2499:'outsetof this process, the contract administration office must review the contractfundsstatus and notify the contractingoffice of any excess funds the',
2500:'contract administration office might deobligate. when complete, the administrative closeout procedures must ensure that 1 disposition of classified material is',
2501:'completed; 2 final patent report is cleared.if a final patent report is required, the contracting officer may proceed withcontract closeout',
2502:'in accordance with the following procedures, or as otherwise prescribed by agency procedures: i final patent reports should be cleared',
2503:'within 60 days of receipt. iiif the final patent reportis not received, the contracting officershallnotify the contractor of the contractor’s',
2504:'obligations and thegovernment’s rights under the applicable patentrights clause, in accordance with 27.303. if the contractor fails to respond to',
2505:'this notification, the contracting officer may proceed withcontract closeout upon consultation with the agency legal counsel responsible for patentmatters regarding',
2506:'the contractor’s failure to respond. 3 final royalty report is cleared; 4 there is no outstanding value engineering change proposal;',
2507:'5 plant clearance report is received; 6 property clearance is received; 7 all interim or disallowed costs are settled; 8',
2508:'price revision is completed; 9 subcontracts are settled by the prime contractor; 10 prior year indirect cost rates are settled;',
2509:'11 termination docket is completed; 12 contract audit is completed; 13 contractor’s closingstatement iscompleted; 14 contractor’s finalinvoice has been submitted;and',
2510:'subpart 4.8 government contract files 4.805 15 contract funds review is completed and excess funds deobligated. b when the actions',
2511:'in paragraph a of this section have been verified, the contractingofficer administering the contract must ensure that a contract completion',
2512:'statement, containing the following information, is prepared: 1 contractadministration officename and address if different from the contracting office. 2 contracting',
2513:'office name andaddress. 3 contractnumber. 4 last modification number. 5 last call or order number. 6 contractor name and address.',
2514:'7 dollaramount of excessfunds, if any. 8 voucher number and date,if finalpayment has been made. 9 invoicenumber and date, if',
2515:'the final approved invoice has been forwarded to adisbursing office of anotheragency or activity and the status of the payment',
2516:'is unknown. 10 a statement that all required contract administration actions have been fully and satisfactorily accomplished. 11 name and',
2517:'signature ofthe contracting officer. 12 date. c when thestatement iscompleted, the contractingofficer mustensure that 1 the signedoriginal is placed in',
2518:'the contracting office contract file or forwarded tothe contracting office for placement in the files if the contract administration office',
2519:'is different from thecontracting office; and 2 a signed copy is placed in the appropriate contract administration file if administration',
2520:'is performed by a contract administration office. 4.805storage, handling, and contract files. a agencies must prescribe procedures for the handling,',
2521:'storing, and disposing of contract files, in accordance with the national archives and records administration nara general records schedule 1.1,',
2522:'financial management and reporting records. the financial management and reporting records can be found at http://www.archives.gov/recordsmgmt/ grs.html. these procedures must',
2523:'take into account documents held in all types of media, including microfilm and various electronic media. agencies may change the',
2524:'original medium to facilitate storage as long as the requirements of thepart, law, and other regulations are satisfied. theprocess used',
2525:'to createand store records must recordandreproduce theoriginal document, including signatures and other written and graphic images completely, accurately, and clearly.',
2526:'data transfer, storage, and retrieval procedures must protect the original data from alteration. unless law or otherregulations require signed originals',
2527:'to be kept, they may be destroyed after the responsible agency official verifies that record copies on alternate media and',
2528:'copies reproduced from the record copy are accurate, complete, and clear representations of the originals. when originaldocuments have been converted',
2529:'to alternate media for storage, the requirements in table 41 of this section also apply to the record copies in',
2530:'the alternate media. b if administrative records are mixed with program records and cannot be economically segregated, the entire file',
2531:'should bekept for the period of time approved for the program records. similarly, if documents described in the followingtable are',
2532:'part of a subject or case file that documents activities that are not described in the table, they should be',
2533:'treated in the same manner as the files of which they are a part. c an agencythat requires a shorter',
2534:'retention period than those identified in table 41 shall request approval from nara through theagency’s records officer. table 41 retentionperiods',
2535:'record retention period 1 contracts and related records or documents, including successful and unsuccessful proposals, except see paragraph c2 of',
2536:'this section regarding contractor payrolls submitted under construction contracts. 6 years after final payment. 2 contractor’s payrolls submitted under construction',
2537:'contracts in accordance with department of labor regulations 29 cfr 5.5a3, with related certifications, antikickback affidavits, and other related records.',
2538:'3 years after contract completion unless contract performance is the subject of an enforcement action on that date see paragraph',
2539:'c8 of this section. federal acquisition regulation record retention period 3 unsolicited proposals not accepted by a department or retain',
2540:'in accordance with agency procedures. agency. 4 files for canceled solicitations. 6 years after cancellation. 5 other copies of procurement',
2541:'file records used for when business use ceases. administrative purposes. 6 documents pertaining generally to the contractor as until superseded',
2542:'or obsolete. described at 4.801c3. 7 data submitted to the federal procurement data system 6 years after submittal to fpds.',
2543:'fpds. electronic data file maintained by fiscal year, containing unclassified records of all procurements exceeding the micropurchase threshold, and information',
2544:'required under 4.603. 8 investigations, cases pending or in litigation including until finalclearance orsettlement, or, ifrelated to a protests, or',
2545:'similar matters including enforcement actions. document identified in paragraphs c1 through 7 of this section, for the retention period specified',
2546:'for the related document, whichever is later. subpart 4.9 taxpayer identification number information 4.905 subpart 4.9 taxpayer identification number information',
2547:'4.900scope of subpart. this subpart provides policies and procedures for obtaining a taxpayer identification number tin information that may be',
2548:'used for debtcollection purposes;and b contractinformation andpayment information for submittalto thepayment officeforinternal revenue service irs reporting purposes. 4.901definition. common parent,',
2549:'as used in this subpart, means that corporate entitythat owns or controls anaffiliated group of corporations that files its federal',
2550:'incometax returns on a consolidatedbasis, and of which the offeroris amember. 4.902general. a debt collection. 31 u.s.c. 7701c requires each',
2551:'contractor doing business with a government agency to furnish itstin to that agency. 31 u.s.c. 3325d requires the government to',
2552:'include, with each certified voucher prepared by thegovernment payment officeand submitted to a disbursing official,the tinof the contractorreceiving paymentunder thevoucher.',
2553:'the tin may be used by thegovernmentto collect and report onany delinquent amounts arising outof the contractor’s relationship with the',
2554:'government. b information reporting to the irs. the tin is also required for government reporting of certain contract information see',
2555:'4.903 and payment information see 4.904 to the irs. 4.903reporting contract information to the irs. a 26 u.s.c. 6050m, as',
2556:'implemented in 26 cfr, requires heads of federal executive agencies to report certain information to the irs. b 1 the',
2557:'required information applies to contract modifications i increasing the amount of a contract awarded before january 1,1989, by $50,000 or',
2558:'more; and ii entered into on or after april 1,1990. 2 the reporting requirement also applies to certain contracts and',
2559:'modifications thereto in excess of $25,000 entered into on or after january 1,1989. c the information to report is 1',
2560:'name, address, and tin of the contractor; 2 name and tin of the common parent if any; 3 date of',
2561:'the contract action; 4 amount obligated on the contract action; and 5 estimated contract completion date. dtransmittheinformationtotheirsthroughthefederalprocurementdatasystemsee subpart 4.6 and',
2562:'implementing instructions. 4.904reporting payment information to the irs. 26 u.s.c. 6041 and 6041 a, as implemented in 26 cfr, in',
2563:'part, require payors, including government agencies, to report to the irs, on form 1099, payments made to certain contractors. 26',
2564:'u.s.c. 6109 requires a contractor to provide its tin if a form 1099 is required. thepayment officeis responsible for submitting',
2565:'reports tothe irs. 4.905 solicitation provision. the contractingofficer shall insertthe provisionat 52.2043,taxpayer identification, insolicitationsthat a do not include the provision',
2566:'at 52.2047, system for award management;and b are not conducted under the procedures of part 12. this page intentionally left',
2567:'blank. subpart 4.10 uniform use of line items 4.1004 subpart 4.10 uniform use of line items 4.1000 scope. this subpart',
2568:'prescribes policies and procedures for assigningline items and subline items and their identifiers. however, in order to provide agencies with',
2569:'time to transition their information systems, agencies have until october 1, 2019, to apply the requirements of 4.1002 through 4.1008.',
2570:'4.1001 policy. in order toimprove the accuracy, traceability, and usability of procurement data,procurement instruments shall identify the supplies or services',
2571:'to be acquired as separately identified line items and, as needed, subline items. a line items are established to define',
2572:'deliverables or organize information about deliverables. each lineitem describes characteristics for the item purchased, e.g., pricing,delivery, and funding information. b',
2573:'each line item may be subdivided into separate unique subsets called subline items to ease administration. if a line item',
2574:'hasdeliverable subline items, the line item is informational. subline itemsdifferentiate betweenor among certain characteristics of theline item,such as colorsor sizes,',
2575:'dates of delivery, destinations, or places of performance. sublineitems areestablished to definedeliverablesor organize informationabout deliverables. 4.1002 applicability. the policies of',
2576:'this subpart shall apply to the following procurement instruments, to include amendments, modifications, and change orders thereto: a solicitations. b',
2577:'contracts, including, but not limited to, governmentwide acquisition contractsgwacs, multiagency contracts macs, federal supply schedule fss contracts, indefinitedelivery contracts, and',
2578:'purchase orders. c agreements that include prepriced supplies or services. d task and delivery orders. 4.1003 establishing line items. establish',
2579:'separate line items for deliverables that have the following characteristics except as provided at 4.10052: a separately identifiable. 1 a',
2580:'supply is separately identifiable if it has its own identification e.g., national stock number nsn, item description, manufacturers part number.',
2581:'2 services are separately identifiable if they have no more than one statement of work or performance work statement. 3',
2582:'if the procurement instrument involves a first article see subpart 9.3, establish a separate line item for each item requiring',
2583:'a separate approval. if the first article consists of a lot composed of a mixture of items that will be',
2584:'approved as a single lot, a single line item may be used. b single unit price or total price. c',
2585:'single accounting classification citation. a single deliverable may be funded by multiple accounting classifications when the deliverable effortcannot be otherwise',
2586:'subdivided. d separate delivery schedule, destination, period of performance, or place of performance. e single contract pricing type e.g., fixedprice',
2587:'or costreimbursement. 4.1004 establishing subline items. subline items may be used to facilitate tracking of performance, deliverables, payment, and contract',
2588:'funds accounting or for other management purposes. subline items may be either deliverable or informational. the list of characteristics at',
2589:'4.1003 applies to deliverable subline items, but it is not applicable to informational subline items. a line item with subline',
2590:'items shall contain only that information that is commonto all subline items thereunder. all subline items underone line item shall',
2591:'be the same contract type as the line item. a deliverable subline items. deliverable subline items may be used for',
2592:'several related items that require separate identification. for example, instead of establishing multiple separate line items, subline items may be',
2593:'established for 1 items that are basically the same, except for minor variations such as– i size or color; ii',
2594:'accounting classification, but see also 4.10051a4; or 4.1005 federal acquisition regulation iii dateof delivery, destination, or period or place ofperformance;',
2595:'2 separately priced collateral functions that relate to the primary product, such as packaging and handling, or transportation; or 3',
2596:'items to be separately identified at the time of shipment or performance. b informational subline items. 1 informational subline items',
2597:'may be used by agencies for administrative purposes. this type of subline item identifies information that relates directly to the',
2598:'line item and is an integral part of it e.g., parts of an assembly or parts of a kit. 2',
2599:'position informational subline items within the line item description, not in the quantity or price fields. 4.1005 data elements for',
2600:'line items and subline items. 4.10051required data elements. a except as provided in 4.10052, each line item or subline item',
2601:'shall include in the schedule described at 12.303b4, 14.2012, or 15.2042, or in a comparable section of the procurement instrument,',
2602:'at a minimum, the following information as separate, distinct data elements: 1 line item or subline item number established in',
2603:'accordance with agency procedures. 2 description of what is being purchased. 3 product or service code psc. 4 accounting classification',
2604:'citation. iline items or deliverable subline items. if multiple accountingclassifications for asingle deliverable apply, include the dollar amount for each',
2605:'accounting classification in the schedule or a comparable section of the procurement instrument. ii informational subline items. an accounting classification',
2606:'citation is not required. see 4.1004. 5 i for fixedprice line items: a unit of measure. b quantity. c unit',
2607:'price. dtotal price. ii for costreimbursement line items: a unit of measure. b quantity. c estimated cost. d fee if',
2608:'any. e total estimatedcostplus any fee. b if a contract contains a combination of fixedprice, timeandmaterials, laborhour, or costreimbursable line',
2609:'items, identify the contract type for each line item in the schedule or a comparable section of the procurement instrument',
2610:'to facilitate payment. c each deliverable line item or deliverable subline item shall have its own delivery schedule, destination, period',
2611:'of performance, or place of performance expressly stated in the appropriate section of the procurement instrument as required constitutes an',
2612:'expressly stated delivery term. when a line item has deliverable subline items, the delivery schedule, destination, period of performance, or',
2613:'place of performance shall be identified at the subline item level, rather than the line item level. d terms and',
2614:'conditions in other sections of the contract such as contract clauses or payment instructions shall also specify applicability to individual',
2615:'line items if not applicable to the contract as a whole. 4.10052 exceptions. a indefinitedelivery contracts 1 general. the following',
2616:'required data elements are not known at time of issuance of an indefinitedelivery contract, but shall be provided in each',
2617:'order at the time of issuance: accounting classification, delivery date and destination, or period and place of performance. subpart 4.10',
2618:'uniform use of line items 4.1008 2 indefinitedelivery indefinitequantity idiq and requirements contracts. i idiq and requirements contracts may omit',
2619:'the quantity at the line item level for the base award provided that the total contract minimum and maximum, or',
2620:'the estimate, respectively, is stated. ii multipleaward idiq contracts awarded using the procedures at 13.1061a2iva or 15.304c1iia may omit price',
2621:'or cost at the line item or subline item level for the contract award, provided that the total contract minimum',
2622:'and maximum is stated see 16.504a1. b item description and psc. these data elements are not required in the line',
2623:'item if there are associated deliverable subline items that include the actual detailed identification. when this exception applies, use a',
2624:'general narrative description for the line item. c single unit price or single total price. the requirement for a single',
2625:'unit price or single total price at the line item level does not apply if any of the following conditions',
2626:'are present: 1 there are associated deliverable subline items that are priced. 2 the line item or subline item is',
2627:'not separately priced. 3 the supplies or services are being acquired on a costreimbursement, timeandmaterials, or laborhour basis. 4 the',
2628:'procurement instrument is for services and firm prices have been established for elements of the total price, but the actual',
2629:'number of the elements is not known until performance e.g., a laborhour contract for maintenance/repair. the contracting officermay structure theseprocurement',
2630:'instrumentsto reflect a firm orestimated total amount for each line item. 4.1006 modifications. a when a new item such as',
2631:'an increased quantity is added to the procurement instrument, assign a new line item number. b if the modification relates',
2632:'to existing line items, the modification shall refer to those items. 4.1007 solicitation alternative line item proposal. solicitations should be',
2633:'structured to allowofferorsto propose alternativeline items see 4.1008 and 52.2121e. for example, when solicitingcertain items using units of measure such',
2634:'as kit, set,or lot, the offeror maynot be ableto group and deliver all items in a single shipment. 4.1008 solicitation',
2635:'provision. insert the provision at 52.20422, alternative line item proposal, in all solicitations. this page intentionally left blank. 4.104 subpart',
2636:'4.11 system for award management 4.1102 subpart 4.11 system for award management 4.1100 scope. this subpart prescribes policies and procedures',
2637:'for requiring contractorregistration in thesystemforaward management sam to— a increase visibility of vendor sources including their geographical locations for specific',
2638:'supplies and services; and b establish a common source of vendor data for the government. 4.1101 definition. as used in',
2639:'this subpart agreement means basic agreement, basic ordering agreement, or blanket purchase agreement. 4.1102policy. a offerors and quoters are requiredto',
2640:'beregisteredin samat the timean offer or quotation is submitted in order to comply with the annual representations and certifications requirements',
2641:'except for— 1 purchases under the micropurchase threshold that use a governmentwide commercial purchase card as both the purchasing and',
2642:'payment mechanism, as opposed to using the purchase card for payment only; 2 classified contracts see 2.101 when registration in',
2643:'sam, or use of sam data, could compromise the safeguarding of classified information or national security; 3 contracts awarded by–',
2644:'ideployed contracting officers inthe course of military operations, including, butnot limited to, contingency operations as defined in 10 u.s.c. 101a13',
2645:'or humanitarian or peacekeeping operations as defined in 10 u.s.c. 30152; iicontracting officers located outside the united states and its',
2646:'outlying areas, asdefined in 2.101, for work to be performed in support of diplomatic or developmental operations, including those performed',
2647:'in support of foreign assistance programs overseas, in an area that has been designated by the department of state as',
2648:'a danger pay post see https:// aoprals.state.gov/;or iii contractingofficers in the conductof emergency operations, such asresponses to natural or environmental',
2649:'disastersor national or civil emergencies, e.g., robert t. stafford disaster relief and emergency assistance act 42 u.s.c. 5121; 4 contracts',
2650:'with individuals for performance outside the united states and its outlying areas; 5 contracts awarded without providing for full and',
2651:'open competition dueto unusual or compellingurgency see 6.3022; 6 contract actions at or below $30,000 awarded to foreign vendors for',
2652:'work performed outside the united states, if it is impractical to obtain sam registration; and 7 micropurchases that do not',
2653:'use the electronic funds transfer eft method for payment and are not required to be reported see subpart 4.6. b',
2654:'if practical, the contracting officer shall modify the contract or agreement awardedunder paragraph a3 ofthis section to require sam registration.',
2655:'c contracting officers shall usethe legalbusiness name or doingbusiness as name and physical address fromthe contractors sam registration for the',
2656:'provided unique entity identifier to identify the contractor in section a of the contract schedule, similar sections of nonuniform contract',
2657:'formats and agreements, and all corresponding forms and data exchanges. contracting officersshallmakeno changes to the data retrieved fromsam. d 1',
2658:'i if a contractor has legally changed its business name or doing business as name whichever is shown on the',
2659:'contract, or has transferred the assets used in performing the contract, but has not completed the necessary requirements regarding novation',
2660:'and changeofname agreements in subpart 42.12, the contractor is required to provide the responsible contracting officera minimum of one business',
2661:'days written notification of itsintention to change the name insam, comply with the requirements of subpart 42.12, and agree in',
2662:'writing to the timeline and procedures specified by the responsible contracting officer. along with the notification,the contractor isrequired to provide',
2663:'the contracting officersufficient documentation to support the legally changed name. ii if the contractor fails to comply with the requirements',
2664:'of paragraph d1i of the clause at 52.20413, system for award management maintenance, or fails to perform the agreement at',
2665:'52.20413, paragraph d1ic, and, in the absence of a properly executed novation or changeofname agreement, the sam information that shows',
2666:'the contractor to 4.1103 federal acquisition regulation be other than the contractor indicated in the contract will be considered to',
2667:'be incorrect information within the meaning of the suspension of payment paragraph of the eft clause of the contract. 2',
2668:'the contractor shall not change the name or address for electronic funds transfer payments eft or manual payments, as appropriate,',
2669:'in the sam record to reflect an assignee for the purpose of assignment of claims see subpart 32.8, assignment of',
2670:'claims. 3 assigneesshallbe separately registered in sam. informationprovidedto thecontractor’ssam record that indicates payments, including those made byeft, to an ultimaterecipient',
2671:'other thanthat contractor willbe consideredto be incorrect information within the meaning of the suspension of payment paragraph of the eft',
2672:'clause of the contract. 4.1103procedures. a unless the acquisition is exempt under 4.1102a, the contracting officer— 1 shall verify that',
2673:'the offeror orquoter isregisteredin samsee paragraph b of this section atthe time an offer or quotation is submitted; 2 should',
2674:'use the unique entity identifier to verify sam registration– ivia https://www.sam.gov; or ii as otherwise provided by agency procedures; or',
2675:'3 need not verify sam registration before placing an order or call if the contract or agreement includes the clause',
2676:'at 52.20413,systemforawardmanagement maintenance, or a similar agency clause,exceptwhen useof the governmentwide commercial purchase card is contemplated as a method of',
2677:'payment. see 32.1108b2. b if the contract action is being awarded in accordance with 4.1102a5, the contractor is required to',
2678:'be registered in sam within 30 days after contract award, or at least three days prior to submission of the',
2679:'first invoice, whichever occurs first. c agencies shall protect against improper disclosure of information contained in sam. d the contractingofficer',
2680:'shall,on contractual documents transmitted to the payment office, provide the unique entity identifier, or, if applicable, the electronic funds transfer',
2681:'indicator, in accordance with agency procedures. 4.1104disaster response registry. contracting officersshallconsult the disaster response registry via https://www.sam.gov, search records, advanced',
2682:'search, disaster response registry search when contracting for debris removal, distribution of supplies, reconstruction, and other disaster or emergency relief',
2683:'activities inside the united states andoutlying areas. see 26.205. 4.1105solicitation provision and contract clauses. a 1 insert the provision at',
2684:'52.2047,systemforawardmanagement,inallsolicitationsexceptwhentheconditionsin 4.1102a apply. 2 insert the provision at 52.2047,systemforawardmanagement, withits alternate i when the solicitation is anticipated to be awarded',
2685:'in accordance with 4.1102a5. b insert the clause at 52.20413,systemforaward management maintenance, in solicitations thatcontain the provision at 52.2047, and',
2686:'resulting contracts. subpart 4.12 representations and certifications 4.1202 subpart 4.12 representations and certifications 4.1200 scope. this subpart prescribes policies and',
2687:'procedures for requiring submission and maintenance of representations and certifications via the system for award managementsamto a eliminatethe administrative burden',
2688:'for contractors of submitting thesame information to various contracting offices; b establish a common source for this information to procurement',
2689:'offices across the government; and c incorporate by reference the contractor’s representationsand certifications in the awarded contract. 4.1201 policy. a',
2690:'offerors and quoters are requiredto complete electronic annualrepresentations and certificationsin samaccessedvia https://www.sam.gov as a part of required registrationsee far 4.1102.',
2691:'b 1 all registrants are required to review and update the representations and certifications submitted to sam as necessary, but',
2692:'at least annually, to ensure they are kept current, accurate, and complete. the representations and certifications areeffective until one year',
2693:'from dateof submissionor updateto sam. 2 a contractors that represented itself as a small business prior to award of a',
2694:'contract must update the representations and certifications in sam in accordance with 52.21928, a contractor that represented itself as other',
2695:'than small business before contract award and qualifies as a small business may update its representations and certifications in sam',
2696:'in accordance with 52.21928. c data in sam is archived and is electronically retrievable. therefore, when a prospective contractor has',
2697:'completed representations and certifications electronically in sam,the contracting officer must referencethe date of sam verification in the contract file to',
2698:'satisfy contract file documentation requirements of 4.803a11. however, if an offeror identifies changes to sam datapursuant to the far provisions',
2699:'at 52.2048d or 52.2123b, the contracting officer mustinclude a copy of the changes in the contract file. d the contractingofficer',
2700:'shall incorporate the representations and certifications by reference in the contractsee 52.20419, or for acquisitions of commercial products or commercial',
2701:'services see 52.2124v. 4.1202 solicitation provision and contract clause. a insert the provision at 52.2048, annual representations and certifications, in',
2702:'solicitations, except for solicitations for commercial products or commercial services issued under part 12. the contracting officershallcheck the applicable provisions',
2703:'at 52.2048c2. use the provision with its alternate i in solicitations issued after october 1, 2028, that will result in',
2704:'a multipleaward contract with more than one north american industry classification system code assigned see 19.102b. when the provision at',
2705:'52.2047,systemforawardmanagement, is includedin the solicitation, do notseparately include the following representations and certifications: 1 52.2032, certificate of independent price determination.',
2706:'2 52.20311, certification and disclosure regarding paymentsto influence certain federal transactions. 3 52.20318, prohibition on contracting with entities that require',
2707:'certain internal confidentiality agreements or statementsrepresentation. 4 52.2043, taxpayer identification. 5 52.2045, womenowned business otherthan small business. 6 52.20417, ownership',
2708:'orcontrol of offeror. 7 52.20420, predecessorof offeror. 8 52.20426, covered telecommunications equipment or servicesrepresentation. 9 52.2092, prohibition on contracting with',
2709:'inverted domestic corporationsrepresentation. 10 52.2095, certification regarding responsibility matters. 11 52.20911,representationby corporations regarding delinquent tax liability or a felony conviction',
2710:'under any federallaw. 12 52.21414, place of performancesealed bidding. 13 52.2156, place of performance. 14 52.2191, small business program representations',
2711:'basic, alternates i, and ii. 15 52.2192, equal low bids. 16 [reserved] 17 52.22218, certification regarding knowledge of child labor',
2712:'for listed end products. 4.1202 federal acquisition regulation 18 52.22222, previous contracts and compliance reports. 19 52.22225, affirmative action compliance.',
2713:'20 52.22238, compliance withveterans’ employment reportingrequirements. 21 52.22248, exemption from application of the service contract labor standards to contracts for',
2714:'maintenance, calibration, or repair of certain equipment–certification. 22 52.22252, exemption from application of the service contract labor standards to contracts',
2715:'for certain servicescertification. 23 52.2231, biobased product certification. 24 52.2234, recovered material certification. 25 52.22322, public disclosure of greenhouse gas',
2716:'emissions and reduction goalsrepresentation. 26 52.2252, buy american certificate. 27 52.2254, buy americanfree trade agreementsisraeli trade act certificate basic, alternates',
2717:'ii, and iii. 28 52.2256, trade agreements certificate. 29 52.22520, prohibition on conducting restricted business operations in sudancertification. 30 52.22525,',
2718:'prohibition on contracting with entities engaging in certain activities or transactions relating to iranrepresentation and certifications. 31 52.2262, historically black',
2719:'college or university and minority institution representation. 32 52.2276, royalty information basic & alternate i. 33 52.22715, representation of limited',
2720:'rights data and restricted computer software. b the contractingofficer shall insertthe clause at 52.20419, incorporation by reference of representations and',
2721:'certifications, in solicitations and contracts. subpart 4.13 personal identity verification 4.1303 subpart 4.13 personal identity verification 4.1300 scope of subpart.',
2722:'this subpart providespolicyandprocedures associatedwith personal identity verificationas required by a federal information processing standards publication fipspub number 201, personal identity',
2723:'verification of federal employees and contractors; and b office of management and budget omb guidance m0524, dated august5, 2005, implementation',
2724:'of homeland security presidential directive hspd 12policy for a common identification standard for federal employees and contractors. 4.1301 policy. a',
2725:'agencies must follow fips pub number 201 and the associated omb implementation guidance for personal identity verificationforall affected contractor and',
2726:'subcontractor personnelwhen contract performance requires contractors to have routine physical access to a federallycontrolled facility and/or routine access to a',
2727:'federallycontrolled information system. b agencies must include their implementation of fips pub 201 and omb guidance m0524 in solicitations and',
2728:'contracts that require the contractor to have routine physical access to a federallycontrolled facility and/or routine access to a federallycontrolled',
2729:'information system. c agencies must designate an official responsible for verifying contractor employee personalidentity. d 1 agency procedures for the',
2730:'return of personal identity verification piv products shall ensure that government contractors account for all forms of governmentprovided identification issued',
2731:'to government contractor employees under a contract, i.e., the piv cards or other similar badges, and shall ensure that contractors',
2732:'return such identification to the issuing agency as soon as any of the following occurs, unless otherwise determined by the',
2733:'agency: i when no longer needed for contract performance. iiuponcompletion of a contractor employee’s employment. iii upon contract completion or',
2734:'termination. 2 the contractingofficer may delay final payment under a contract ifthe contractor fails to complywith these requirements. 4.1302 acquisition',
2735:'of approvedproductsand services for personal identity verification. a in order to comply with fips pub 201, agencies must purchase only',
2736:'approved personal identity verification products and services. b agencies may acquire the approved products and services from the gsa, federal',
2737:'supply schedule 70, special item number sin 13262, hspd12 product and servicecomponents, in accordance with ordering procedures outlinedin far subpart',
2738:'8.4. c when acquiring personal identity verification products and services not using the process in paragraph b of this section,',
2739:'agencies must ensure that the applicable products and services are approved as compliant with fips pub 201 including 1 certifying',
2740:'the products and services procured meet all applicable federal standards and requirements; 2 ensuring interoperability and conformance to applicable federal',
2741:'standards for the lifecycle of the components; and 3 maintaining a written plan for ensuring ongoing conformance to applicable federal',
2742:'standards for the lifecycle of the components. d for more information on personal identity verification products and services see http://www.idmanagement.gov.',
2743:'4.1303 contract clause. the contractingofficer shall insertthe clause at 52.2049, personal identity verification of contractor personnel, in solicitations and contracts',
2744:'when contract performance requires contractors to have routine physical access to a federally controlled facility and/or routine access to a',
2745:'federallycontrolled information system. the clause shall not be used when contractors require only intermittent access to federallycontrolled facilities. this page',
2746:'intentionally left blank. 4.132 subpart 4.14 reporting executive compensation and firsttier subcontract awards 4.1403 subpart 4.14 reporting executive compensation and',
2747:'firsttier subcontract awards 4.1400 scope of subpart. this subpart implements section 2 of the federal funding accountability andtransparencyactof 2006 pub.l.109282,',
2748:'as amendedby section 6202 of thegovernment funding transparency act of2008 pub. l. 110252, which requires contractors to report subcontract award',
2749:'data and the total compensation of the five most highly compensated executives of the contractor and subcontractor. the public may',
2750:'view firsttier subcontract award data at http://www.usaspending.gov. 4.1401 applicability. a this subpart applies to all contracts with a value of',
2751:'$30,000 or more. nothing in this subpart requires the disclosure of classified information. b reporting of subcontract information will be',
2752:'limited to the firsttier subcontractor. 4.1402 procedures. a agencies shall ensure that contractors comply with the reporting requirements of 52.20410,',
2753:'reporting executive compensation and firsttier subcontract awards. agencies shall reviewcontractor reports on a quarterly basis to ensure the information is',
2754:'consistent with contract information. the agency is not required to address data for which the agency would not normally have',
2755:'supporting information, such as the compensation information required of contractors and first tier subcontractors. however,the agency shall inform the contractor',
2756:'of any inconsistencies with the contract information and require that the contractor correct the report, or provide a reasonable explanation',
2757:'as to why it believes the information is correct. agencies may review the reports at http://www.fsrs.gov. b when contracting officersreport',
2758:'the contractaction to the federal procurementdata system fpds inaccordance withfar subpart 4.6, certain data will then prepopulate from fpds, to',
2759:'assist contractors in completing and submitting their reports. if data originating from fpds is found by the contractor to be',
2760:'in error when the contractor completes the subcontract report,the contractor should notify thegovernment contracting officer,who is responsible for correctingthe datain',
2761:'fpds. contracts reported usingthe generic entity identifier allowed at far 4.605c2 will interferewith the contractor’s ability to comply with this',
2762:'reporting requirement, because the data will not prepopulate from fpds. c if the contractor failsto comply withthe reporting requirements, the',
2763:'contracting officer shall exercise appropriate contractualremedies. in addition, the contracting officer shall make the contractor’s failure to comply with the',
2764:'reporting requirementsapartofthecontractor’sperformanceinformationunder subpart 42.15. d there is a reporting exception in 52.20410g for contractors and subcontractors who had gross income',
2765:'in the previous tax year under $300,000. 4.1403 contract clause. a except as provided in paragraph b of this section,',
2766:'the contracting officer shall insert theclause at 52.20410, reporting executivecompensation and firsttier subcontract awards, inallsolicitationsandcontracts of $30,000 or more. b',
2767:'the clause is not prescribed for contracts that are not required to be reported in the federal procurement data system',
2768:'fpds see subpart 4.6. this page intentionally left blank. 4.142 subpart 4.15 [reserved] 4.1502 subpart 4.15 [reserved] 4.1500 [reserved] 4.1501',
2769:'[reserved] 4.1502 [reserved] this page intentionally left blank. 4.152 subpart 4.16 unique procurement instrument identifiers 4.1602 subpart 4.16 unique procurement',
2770:'instrument identifiers 4.1600 scope of subpart. this subpart prescribes policies and procedures for assigning unique procurement instrument identifiers piid for',
2771:'each solicitation, contract, agreement, or order and related procurement instrument. 4.1601 policy. a establishment of a procurement instrument identifier piid.',
2772:'agencies shall have in place a process that ensures that each piid used to identify a solicitation or contract action',
2773:'is unique governmentwide, and will remain so for at least 20 years from the date of contract award. the piid',
2774:'shall be used to identify all solicitation and contract actions. the piid shall also be used to identify solicitation and',
2775:'contract actions in designated support and reporting systems e.g., federal procurement data system, system for award management, in accordance with',
2776:'regulations, applicableauthorities,and agency policies and procedures. b transition of piid numbering. no later than october 1,2017, agencies shall comply withparagraph',
2777:'aof this section and use the requirements in 4.1602 and 4.1603forallnew solicitations and contract awards. until an agency’s transition is',
2778:'complete, it shall maintain its2013 piid formatthat ison record with thegeneral servicesadministration’s integrated award environmentprogram office which maintains a registryof',
2779:'the agency unique identifier scheme. the2013 piid format consistedof alpha characters inthe first positionsto indicate the agency, followed by alphanumeric',
2780:'characters;the 2017 format instead has the aac in the beginning 6 positions. c change in the procurement instrument identifier after',
2781:'its assignment. 1 agencies shall not change the piid unless one of the following two circumstances apply: ithe piidserialnumbering system',
2782:'is exhausted. inthisinstance, the contracting officer may assign a new piid by issuing a contract modification. ii continued use of',
2783:'a piid is administratively burdensome e.g., for implementations of new agency contract writing systems. in this instance, the contracting officer',
2784:'may assign a newpiid byissuing a contract modification. 2 the modification shall clearly identify both the original and the newly',
2785:'assigned piid. issuance of a new piid is an administrative change see 43.101. 4.1602 identifying the piid and supplementary piid.',
2786:'a identifying the piid in solicitation and contract award documentation including forms and electronic generated formats. agencies shall include all',
2787:'piids for all related procurement actions as identified in paragraphs a1 through 5 of this section. 1 solicitation. identify the',
2788:'piid for all solicitations. for amendments to solicitations, identify a supplementary piid, in conjunction with the piid for the solicitation.',
2789:'2 contracts and purchase orders. identify the piid for contracts and purchase orders. 3 delivery and task orders. for delivery',
2790:'and task orders placed by an agency under a contract e.g., indefinite delivery indefinite quantityidiq contracts, multiagency contracts mac, governmentwide',
2791:'acquisition contracts gwacs, or multipleawardschedulemas contracts, identify thepiid for the delivery andtask order and thepiid for the contract. 4 blanket',
2792:'purchase agreements and basic ordering agreements. identify the piid for blanket purchase agreements issued in accordance with 13.303, and for',
2793:'basic agreements and basic ordering agreements issued in accordance with subpart 16.7. for blanket purchase agreements issued in accordance with',
2794:'subpart 8.4 under a mas contract, identify the piid for the blanket purchase agreement and the piid for the mas',
2795:'contract. i orders. for orders against basic ordering agreements or blanket purchase agreements issued in accordance with 13.303, identify the',
2796:'piid for the order and the piid for the blanket purchase agreement or basic ordering agreement. ii orders under subpart',
2797:'8.4. for orders against a blanket purchase agreement established under a mas contract, identify the piid for the order, the',
2798:'piid for theblanket purchase agreement, andthe piid for the mas contract. 5 modifications. for modifications to actions described in paragraphs',
2799:'a2 through 4 of this section, and in accordance with agency procedures, identify a supplementary piid for the modification in',
2800:'conjunction with the piid for the contract, order, or agreementbeing modified. b placement of the piid on forms. when the',
2801:'form including electronic generated format does not provide spaces or fields for the piid or supplementary piid required in paragraph',
2802:'a of this section, identify the piid in accordance with agency procedures. 4.1603 federal acquisition regulation c additional agency specific',
2803:'identification information. if agency procedures require additional identification information in solicitations, contracts, or other related procurement instruments for administrative purposes,',
2804:'separate and clearly identify the additional information from the piid. 4.1603 procedures. a elements of a piid. the piid consists',
2805:'of a combination of thirteen to seventeen alpha and/or numeric characters sequenced to convey certain information. do not use special',
2806:'characters such as hyphens, dashes, or spaces. 1 positions 1 through 6. thefirst six positions identify the department/agency and office',
2807:'issuing the instrument. use theaac assigned to the issuing office for positions 1 through 6. civilianagency pointsof contact for obtaining',
2808:'anaac are on the aac contact list maintained by the general services administration and can be found at https://community.max.gov/ x/24fol.',
2809:'for department of defense dod inquiries, contact the service/agency central service point or dod aac monitor, or if unknown, email',
2810:'dodaadhq@dla.mil for assistance. 2 positions 7 through 8. the seventh and eighth positions are the last two digits of the',
2811:'fiscal year in which the procurement instrumentis issued or awarded. this is thedate the actionis signed, not the effective dateif',
2812:'the effective date is different. 3 position 9. indicate the type of instrument by entering one of the following upper',
2813:'case letters in position nine. departments and independent agencies may assign those letters identified for department use below in accordance',
2814:'with their agency policy; however, any use must be applied to the entire department oragency. instrumentletterdesignationi blanket purchase agreementsaii invitations',
2815:'for bidsbiiicontracts of all types except indefinitedelivery contracts see subpart 16.5civ indefinitedelivery contracts including federal supply schedules, governmentwide acquisitioncontractsgwacs,andmultiagencycontracts dv',
2816:'reserved for future federal governmentwide useevitaskorders,deliveryordersorcallsunder– indefinitedelivery contracts including federal supply schedules, governmentwide acquisition contractsgwacs,andmultiagencycontracts; blanket purchase agreements; orbasic ordering',
2817:'agreementsfvii basic ordering agreements.gviii agreements, including basic agreements and loan agreements, but excluding blanket purchaseagreements, basic ordering agreements, and leases.',
2818:'do not use this code for contracts or agreements withprovisions for orders or callshix do not use this letterix reserved',
2819:'for future federal governmentwide usejxi reserved for departmental or agency usekxii lease agreementslxiii reserved for departmental or agency usemxiv reserved',
2820:'for departmental or agency usenxv do not use this letteroxvi purchase orders assign v if numbering capacity of p is',
2821:'exhausted during a fiscal yearp subpart 4.16 unique procurement instrument identifiers 4.1603 instrument letter designation xvii requests for quotations assign',
2822:'u if numbering capacity of q is exhausted during a fiscal year q xviii requests for proposals r xix reserved',
2823:'for departmental or agency use s xx reserved for departmental or agency use t xxi see q, requests for quotations',
2824:'u xxii see p, purchase orders v xxiii reserved for future federal governmentwide use w xxiv reserved for future federal',
2825:'governmentwide use x xxv imprest fund y xxvi reserved for future federal governmentwide use z 4 positions 10 through 17.',
2826:'enter the number assigned by the issuing agency in these positions. agencies may choose a minimum of four characters up',
2827:'to a maximum of eight characters to be used, but the same number of characters must be used agencywide. if',
2828:'a number less than the maximum is used, do not use leading or trailing zeroes to make it equal the',
2829:'maximum in any system or data transmission. a separate series of numbers may be used for any type of instrument',
2830:'listed in paragraph a3 of this section. an agency may reserve blocks of numbers or alphanumeric numbers for use by',
2831:'its various components. 5 illustration of piid. the following illustrates a properly configured piid using four characters in the final',
2832:'positions: b elements of a supplementary piid. use the supplementary piid to identify amendments to solicitations and modifications to contracts,',
2833:'orders, and agreements. the supplementary piid is reported as a separate data element used in conjunction with, but not appended',
2834:'to, the piid. 1 amendments to solicitations. number amendments to solicitations sequentially using a four position numeric serial number added',
2835:'to the 1317 character piid beginning with 0001. 2 modifications to contracts, orders, and agreements. number modifications to contracts, orders,',
2836:'and agreements using a six position alpha or numeric, or a combination thereof, added to the 1317 character piid. for',
2837:'example, a modification could be numbered p00001. this would be added to the end of the 1317 character piid illustrated',
2838:'in a5 of this section. iposition 1. identify theoffice issuing the modification. theletter p shall be designated for modifications issued',
2839:'by the procuring contracting office. the letter a shall be used for modifications issued bythe contract administrationoffice ifother thanthe procuring',
2840:'contracting office. 4.1603 federal acquisition regulation ii positions 2 through 6. these positions may be alpha, numeric, or a combination',
2841:'thereof, in accordance with agency procedures. iii each office authorized to issue modifications shall assign the supplementary identification numbersin sequence',
2842:'unless provided otherwise in agency procedures. do not assign the numbers until it has been determined that a modification is',
2843:'to be issued. subpart 4.17 service contracts inventory 4.1703 subpart 4.17 service contracts inventory 4.1700 scope of subpart. this subpart',
2844:'implements section 743a of division c of the consolidated appropriations act, 2010pub. l. 111117, which requires agencies to report annuallyto',
2845:'theofficeof management and budgetomb on activities performedby service contractors. section 743a applies to executive agencies, other than the department of',
2846:'defense dod, covered by thefederal activities inventory reform act pub. l. 105270 fair act. the information reported in the inventory',
2847:'willbe publicly accessible. 4.1701 definitions. as used in this subpart– fair act agencies means the agenciesrequired under the fair act',
2848:'to submit inventories annuallyof the activities performed by government personnel. firsttier subcontract means a subcontract awarded directly by the contractor',
2849:'for the purpose of acquiring supplies or services including construction for performance of a prime contract. it doesnot include the',
2850:'contractor’s supplier agreements with vendors, such as longterm arrangements for materials or supplies that benefit multiple contracts and/or the costs',
2851:'of which are normally applied to a contractor’s general and administrative expensesor indirect costs. 4.1702 applicability. a this subpart applies',
2852:'to– 1 all fair act agencies, except dod as specified in 4.1705; 2 solicitations, contracts, and orders for services including',
2853:'construction that meet or exceed the thresholds at 4.1703; and 3 contractors and firsttier subcontractors. b procedures for compiling and',
2854:'submitting agency service contract inventories are governed by section 743a3 of division c of pub. l. 111117andofficeof federal procurement policy',
2855:'ofppguidance. the guidance isavailable atthe following web site: https://www.whitehouse.gov/wpcontent/uploads/legacydrupalfiles/omb/memoranda/2017/service contractinventories.pdf. c this subpart addresses requirementsforobtaining information from, and reportingby, agency',
2856:'service contractors. 4.1703 reporting requirements. a thresholds. 1 except as exempted by ofpp guidance, service contractor reporting shall be required',
2857:'for contracts and firsttier subcontracts for services based on type of contract and estimated total value. for indefinitedelivery contracts, reporting',
2858:'shall be determined based on the type and estimated total value of each order under the contract. indefinitedelivery contracts include,',
2859:'but are not limited to, contracts such as indefinitedelivery indefinitequantity idiq contracts, federal supply schedule contracts fsss, governmentwide acquisition contracts',
2860:'gwacs, and multiagency contracts. 2 reporting is required according to the following thresholds: i all costreimbursement, timeandmaterials, and laborhour service',
2861:'contracts and orders with an estimated total value above the simplified acquisition threshold. ii all fixedprice service contracts awarded and',
2862:'orders issued according to the following thresholds: aawarded or issued in fiscalyear 2014, with an estimated total value of $2.5',
2863:'million or greater. b awarded or issued in fiscal year 2015, with an estimated total value of $1million or greater.',
2864:'c awarded or issued in fiscal year 2016, andsubsequent years, withan estimated total value of $500,000 or greater. 3 reporting',
2865:'is required for all firsttier subcontracts for services as prescribed in paragraphs a2i and ii of this section. b agency',
2866:'reporting responsibilities. 1 agencies shall ensure that contractors comply with the reporting requirements of 52.20414, service contract reporting requirements and',
2867:'52.20415, service contract reporting requirements for indefinitedelivery contracts. agencies shall review contractor reported information for reasonableness and consistency with available',
2868:'contract information. the agency is not required to address data for which the agency would not normally have supporting information.',
2869:'in the event the agency believes that revisions to the contractor reported information are warranted, the agency shall notify the',
2870:'contractor no later than november 15. by november 30, the contractor shall revise the report, or document its rationaleforthe agency.',
2871:'authorizedagency officials may review the reports at www.sam.gov. 4.1704 federal acquisition regulation 2 agencies are required to compile annually an',
2872:'inventory of servicecontracts performed for, or on behalf of, the agency during theprior fiscal year in orderto determine the extent',
2873:'ofthe agency’s reliance onservice contractors. agencies shall submita service contract inventory to omb by january 15 annually. then, each agencymust',
2874:'post theinventoryon its web site and publish a federal register notice of availability byfebruary 15 annually. 3 most of the',
2875:'required information is already collected in the federal procurement data system fpds. information not collected in fpds will be providedby',
2876:'the contractor, as specified in 52.20414, service contract reporting requirements and 52.20415, service contract reporting requirements for indefinitedelivery contracts. 4.1704',
2877:'contracting officer responsibilities. a for other than indefinitedelivery contracts, the contracting officer shall ensure that 52.20414, service reporting requirement, is',
2878:'included in solicitations, contracts, and orders as prescribed at 4.1705. for indefinitedelivery contracts, thecontracting officer who awarded the contractshallensure that',
2879:'52.20415 service contract reporting requirements for indefinitedelivery contracts, is included in solicitations and contracts as prescribed at 4.1705. thecontracting officer',
2880:'at the order level shall verify the clause’s inclusion in the contract. b if the contractor fails to submit a',
2881:'report in a timelymanner,the contracting officer shall exercise appropriate contractualremedies. in addition, the contracting officer shall make the contractor’s failure',
2882:'to comply with the reporting requirementsapartofthecontractor’sperformanceinformationunder subpart 42.15. 4.1705 contract clauses. a thecontracting officer shall insert the clause at 52.20414,',
2883:'service contract reporting requirements, in solicitations and contracts for services including construction that meet or exceed the thresholds at 4.1703,',
2884:'except for indefinitedelivery contracts. this clause is not requiredforactions entirely funded bydod, contracts awarded with a genericentity identifier, or in',
2885:'classified solicitations, contracts, or orders. b the contractingofficer shall insertthe clause at 52.20415, service contract reporting requirements for indefinite delivery',
2886:'contracts, in solicitations and indefinitedelivery contracts for services including construction where one or more orders issued thereunder are expected to',
2887:'each meet or exceed the thresholds at 4.1703. this clause is not required for actions entirely funded by dod, contracts',
2888:'awarded with a genericentity identifier, or in classified solicitations, contracts, or orders. subpart 4.18 commercial and government entity code 4.1804',
2889:'subpart 4.18 commercial and government entity code 4.1800 scope of subpart. a this subpart prescribes policies and procedures for identification',
2890:'of commercial and government entities. the commercial and government entity cage code system may be used, among other things, to–',
2891:'1 exchange datawith another contracting activity, including contract administration activities and contract payment activities. 2 exchange data with another system',
2892:'that requires the unique identification of a contractor entity; or 3 identifywhen offerors are owned or controlled by another entity.',
2893:'b for informationon the unique entity identifier, which is a different identifier, see 4.605 and the provisions at 52.2046, unique',
2894:'entity identifier, and 52.2047, system for awardmanagement. 4.1801 definitions. as used in this part– highestlevel owner means theentity thatowns orcontrolsan',
2895:'immediate owner of the offeror, or that owns or controls one or more entities that control an immediate owner of',
2896:'the offeror. no entity owns or exercisescontrol of the highest level owner. immediate owner means an entity, other than the',
2897:'offeror, that has direct control of the offeror. indicators of control include, but are not limited to, one or more',
2898:'of the following: ownership or interlocking management, identity of interests among family members, shared facilities and equipment, and the common',
2899:'use of employees. 4.1802 policy. a commercial and government entity code. 1 offerors shall providethe contracting officer the cage code',
2900:'assigned to that offerors locationprior to the award of a contractaction above the micropurchasethreshold, when thereis arequirement to be registered',
2901:'in the system for award managementsam or a requirement to have a unique entityidentifier in the solicitation. 2 the contractingofficer',
2902:'shall includethe contractor’s cagecodein thecontract andin any electronic transmissions of the contract data to other systems when it is provided',
2903:'in accordance with paragraph a1 of this section. b ownership or control ofofferor. offerors, if owned orcontrolled by anotherentity, shall',
2904:'provide the contracting officer with the cage code and legal name of that entity prior to the award of a',
2905:'contract action above the micropurchase threshold, when there is a requirement to be registered in sam or a requirement to',
2906:'have a unique entity identifier in the solicitation. 4.1803 verifying cage codes prior to award. a contracting officers shall verify',
2907:'the offeror’s cage code by reviewingthe entity’s registration inthe system for award management sam. active registrations in sam have had',
2908:'the associatedcage codesverified. b for entities not required to be registered in sam, thecontracting officer shall validate the cage code',
2909:'usingthe cage code search feature at https://cage.dla.mil. 4.1804 solicitation provisions and contract clause. a insert the provision at 52.20416, commercial',
2910:'and government entity code reporting, in all solicitations that include– 1 52.2046, unique entity identifier; or 2 52.2047, system for',
2911:'award management. b insert the provision at 52.20417, ownershipor control of offeror, inall solicitations that include the provision at 52.20416,',
2912:'commercial and government entity code reporting. c insert the clause at 52.20418, commercial and government entity code maintenance, in all',
2913:'solicitations and contracts when the solicitation contains the provision at 52.20416, commercial and government entity code reporting. d insert the',
2914:'provision at 52.20420, predecessor of offeror,in all solicitations that includethe provisionat 52.20416, commercial and government entity code reporting. this page',
2915:'intentionally left blank. 4.182 subpart 4.19 basic safeguarding of covered contractor information systems 4.1903 subpart 4.19 basic safeguarding of covered',
2916:'contractor information systems 4.1901 definitions. as used in this subpart– covered contractor information system means an information system that is',
2917:'owned or operated by a contractor that processes, stores, or transmits federal contract information. federal contract information means information, not',
2918:'intended for public release, that is provided by or generated for the government under a contract to develop or deliver',
2919:'a product or service to the government, but not including information provided by the government to the public such as',
2920:'that on public web sites or simple transactional information, such as that necessary to process payments. information means any communication',
2921:'or representation of knowledge such as facts, data, or opinions in any medium or form, including textual, numerical, graphic, cartographic,',
2922:'narrative, or audiovisual committee on national security systems instruction cnssi 4009. information system means a discrete set of information resources',
2923:'organized for the collection, processing, maintenance, use, sharing, dissemination, or disposition of information 44 u.s.c. 3502. safeguarding means measures or',
2924:'controls that are prescribed to protect information systems. 4.1902 applicability. this subpart applies to all acquisitions, including acquisitions of commercial',
2925:'products or commercial services other than commercially availableofftheshelf items, when a contractorsinformationsystemmay containfederal contract information. 4.1903 contract clause. the contractingofficer',
2926:'shall insertthe clause at 52.20421, basic safeguarding of covered contractor information systems, in solicitations and contracts when the contractor or',
2927:'a subcontractor at any tier may have federal contract information residing in or transiting through its information system. this page',
2928:'intentionally left blank. 4.192 4.2004 subpart 4.20 prohibition oncontractingfor hardware, software,and services developedor provided by kaspersky lab 4.2001 definitions. as',
2929:'used in this subpart— kaspersky lab covered article means any hardware, software, or service that– 1 is developed or provided',
2930:'by a kaspersky lab covered entity 2 includes any hardware, software, or service developed or provided in whole or in',
2931:'part by a kaspersky lab covered entity; or 3 contains components using any hardware or software developed in whole or',
2932:'in part by a kaspersky lab covered entity. kaspersky lab covered entity means– 1 kaspersky lab; 2 any successor entity',
2933:'to kaspersky lab, including any change in name, e.g., “kaspersky”; 3 any entity that controls, iscontrolled by,or is under common',
2934:'controlwith kaspersky lab; or 4 any entity of which kaspersky lab has a majority ownership. 4.2002 prohibition. section1634 of division',
2935:'a of the national defense authorization act for fiscalyear 2018 pub. l. 11591prohibits government use on or after october 1,',
2936:'2018, of any hardware, software, or services developed or provided, in whole or in part, by a covered entity. contractorsare',
2937:'prohibited from— a providing any kaspersky lab covered article that the government will use on or after october 1, 2018;',
2938:'and b using any kaspersky lab covered article on or after october 1, 2018, in the development of data or',
2939:'deliverables first produced in the performance of the contract. 4.2003 notification. when a contractor provides notification pursuant to 52.20423, follow',
2940:'agency procedures. 4.2004 contract clause. the contractingofficer shall insertthe clause at 52.20423, prohibition on contracting for hardware, software, and services',
2941:'developed or provided by kaspersky lab covered entities, in all solicitations and contracts. this page intentionally left blank. 4.192 4.2101',
2942:'subpart 4.21 prohibition oncontractingfor certain telecommunications and video surveillance services or equipment 4.2100 scope of subpart. this subpart implements paragraphs',
2943:'a1a and a1b of section 889 of the john s. mccain national defense authorization act for fiscal year 2019 pub.',
2944:'l. 115232. 4.2101 definitions. as used in this subpart— backhaul means intermediate links between the core network, or backbone network,',
2945:'and the small subnetworks at the edge of the network e.g., connecting cell phones/towers to the core telephone network. backhaul',
2946:'can be wireless e.g., microwave or wired e.g., fiber optic, coaxial cable, ethernet. covered foreign country means the people’s republic',
2947:'ofchina. covered telecommunications equipment or services means– 1 telecommunications equipment produced by huawei technologies company orzte corporation, or any subsidiary',
2948:'oraffiliate of such entities; 2 for the purpose of public safety, security ofgovernment facilities, physical security surveillance of critical infrastructure,',
2949:'and other national security purposes, video surveillance and telecommunications equipment produced by hytera communications corporation, hangzhou hikvision digitaltechnology company,or dahua',
2950:'technology company or any subsidiary oraffiliateof such entities; 3 telecommunications or video surveillance services provided by such entities or using',
2951:'such equipment; or 4 telecommunications or video surveillance equipment or servicesproduced orprovidedby an entity that the secretary of defense, in',
2952:'consultation with the director of national intelligence or the director of the federal bureau of investigation, reasonably believes to be',
2953:'an entity owned or controlled by, orotherwise connected to, the government of a covered foreign country. critical technology means– 1',
2954:'defense articles or defense services included on the united states munitions list set forth in the international trafficin arms regulationsunder',
2955:'subchapterm of chapter i of title 22, code of federalregulations; 2 items included on the commerce control list set forth',
2956:'in supplement no. 1 to part 774 of the export administration regulations under subchapter c of chapter vii of title',
2957:'15, code of federal regulations, and controlled ipursuant to multilateral regimes, including for reasons relating to national security, chemical and',
2958:'biological weapons proliferation, nuclear nonproliferation, or missile technology; or ii for reasons relating to regional stability or surreptitious listening; 3',
2959:'specially designed and prepared nuclear equipment, parts and components, materials, software, and technology covered bypart 810 of title 10, codeof',
2960:'federal regulations relatingto assistance to foreignatomic energy activities; 4 nuclear facilities, equipment, andmaterial covered by part110 oftitle 10, code offederal',
2961:'regulations relating to export and import of nuclear equipment and material; 5 select agents and toxins covered by part 331',
2962:'of title 7, code of federal regulations, part 121 of title 9 of such code, or part 73 of title',
2963:'42 of such code; or 6 emerging and foundationaltechnologies controlled pursuant to section 1758 of theexport control reform act of',
2964:'2018 50 u.s.c. 4817. interconnection arrangements means arrangements governing the physical connection of two or more networks to allow theuse',
2965:'of anothersnetwork to hand off traffic where it is ultimatelydelivered e.g., connection of a customer of telephone provider a to',
2966:'a customer of telephone company b or sharing data and other information resources. reasonable inquiry means an inquiry designed to',
2967:'uncover any information in the entitys possession about the identity of the producer or provider of covered telecommunications equipment or',
2968:'services used by the entity that excludes the need to include an internal or thirdparty audit. roaming means cellular communications',
2969:'services e.g., voice, video, data received from a visited network when unable to connect to the facilities of the homenetwork',
2970:'eitherbecause signalcoverage is too weak or because traffic is toohigh. substantial or essential component means any component necessary for the',
2971:'proper function or performance of a piece of equipment, system, or service. 4.2102 federal acquisition regulation 4.2102 prohibition. a prohibited',
2972:'equipment, systems, or services. 1 on or after august 13, 2019, agencies are prohibited from procuring or obtaining, or extending',
2973:'or renewing a contract to procure or obtain, any equipment, system, or service that uses covered telecommunications equipment or services',
2974:'as a substantial or essential component of any system, or as critical technology as part of any system, unless an',
2975:'exception at paragraph b of this section applies or the covered telecommunications equipment or services are covered by a waiver',
2976:'described in 4.2104. 2 on or after august 13, 2020, agencies are prohibited from entering into a contract, or extending',
2977:'or renewing a contract, with an entity that uses any equipment, system, or service that uses covered telecommunications equipment or',
2978:'services as a substantial or essential component of any system, or as critical technology as part of any system, unless',
2979:'an exception at paragraph b of this section applies or the covered telecommunications equipment or services are covered by a',
2980:'waiver described in 4.2104. this prohibition applies to the use of covered telecommunications equipment or services, regardless of whether that',
2981:'use is in performance of work under a federal contract. b exceptions. this subpart does not prohibit agencies from procuring',
2982:'or contractors from providing 1 a servicethat connects to the facilitiesof athirdparty, such asbackhaul, roaming, or interconnection arrangements; or 2',
2983:'telecommunications equipment that cannot route or redirect user data traffic or permit visibilityinto any userdata or packets that such equipment',
2984:'transmits or otherwise handles. c contracting officers. unless an exception at paragraph b of this section applies or the covered',
2985:'telecommunications equipment or service is covered by a waiver described in 4.2104, contracting officers shall not— 1 procure or obtain,',
2986:'or extend or renew a contract e.g., exercise an option to procure or obtain, any equipment, system, or service that',
2987:'uses covered telecommunications equipment or services as a substantial or essential component of any system, or as critical technology as',
2988:'part of any system; or 2 enter into a contract, or extend or renew a contract, with an entity that',
2989:'uses any equipment, system, or service that uses covered telecommunications equipment or services as a substantial or essential component of',
2990:'any system, or as critical technology as part of any system. d recording prohibitions in the system for award management',
2991:'sam. 1 prohibitions on purchases of products or services produced or provided by entities identified in paragraphs 1 and 2',
2992:'of the definition of covered telecommunications equipment orservices includingknown subsidiaries or affiliates at 4.2101 will be recorded in sam see',
2993:'9.404. 2 prohibitions on purchases of products or services produced or provided by entities identified pursuant to paragraph 4 of',
2994:'the definition of covered telecommunications equipment orservices includingknown subsidiaries or affiliates at 4.2101 are recorded by the department of defense',
2995:'in sam see 9.404. 4.2103 procedures. a representations. 1 iiftheofferorselects doesnot inparagraphsc1and/orc2oftheprovisionat 52.20426 or in paragraphs v2i and/or v2ii of',
2996:'the provision at 52.2123,the contracting officermay rely on the does not representations, unless thecontracting officer has reason toquestionthe representation. ifthe',
2997:'contracting officerhas a reason to question the representation, the contracting officer shall follow agency procedures. iiif the offeror selects does',
2998:'in paragraph c1 of theprovision at 52.20426 or paragraph v2i of the provision at 52.2123, the offeror will be required',
2999:'to complete therepresentation inparagraph d1 of the provision at 52.20424. iii if theofferor selects does in paragraphc2 of the provision',
3000:'at 52.20426 or paragraph v2ii of the provision at 52.2123, the offeror will be required to complete therepresentation inparagraph d2',
3001:'of the provision at 52.20424. 2 iiftheofferorselects willnot inparagraphd1oftheprovisionat 52.20424 or does not in paragraph d 2 of the provision',
3002:'at 52.20424, thecontracting officer may rely onthe representations, unless the contracting officerhas reason to question the representations. if the contracting',
3003:'officer has a reason toquestionthe representations,the contracting officer shall followagency procedures. iiif an offeror selects will in paragraph d1 ofthe',
3004:'provisionat 52.20424, the offeror must provide the information required by paragraph e1 of the provision at 52.20424,and the contracting officershallfollow',
3005:'agency procedures. 4.2104 iii if an offeror selects does in paragraph d2of the provision at 52.20424,the offeror must complete the',
3006:'disclosure at paragraph e2 of the provision at 52.20424,andthe contracting officershallfollow agency procedures. b reporting. if a contractor provides a',
3007:'report pursuant to paragraph d of the clause at 52.20425, prohibition on contracting for certain telecommunications and video surveillance services',
3008:'or equipment, follow agency procedures. 4.2104 waivers. a executive agencies. theheadof an executive agencymay, on a onetime basis, waivethe prohibition',
3009:'at 4.2102a with respect to a government entity e.g., requirements office, contracting office that requests such awaiver. 1 waiver. the',
3010:'waiver may be provided, for a period not to extend beyond august 13, 2021 for the prohibition at 4.2102a1,or beyond',
3011:'august 13, 2022 for the prohibition at 4.2102a2,if the government official, on behalf of the entity, seeking thewaiver submits to',
3012:'the head of the executive agency– i a compelling justification for the additional time to implement the requirements under 4.2102a,',
3013:'as determined by the head of the executive agency; and ii a full and complete laydown or description of the',
3014:'presences of covered telecommunications or video surveillance equipment or services in the relevant supply chain and a phaseout plan to',
3015:'eliminate such covered telecommunications or video surveillance equipment or services from the relevant systems. 2 executive agency waiver requirements for',
3016:'the prohibition at 4.2102a2. before the head of an executive agency can grant a waiver to the prohibition at 4.2102a2,',
3017:'the agency must— ihave designated asenior agencyofficial for supply chain risk management, responsible for ensuringthe agency effectively carries out thesupplychainrisk',
3018:'management functions and responsibilities described inlaw, regulation, and policy; ii establish participation in an informationsharing environment when and as required',
3019:'by the federal acquisition security council fasc to facilitateinteragencysharingof relevant acquisition supply chain riskinformation; iii notify and consult with the',
3020:'officeof the directorof national intelligence odni onthe waiver requestusing odni guidance, briefings, best practices, ordirect inquiry, as appropriate; and iv',
3021:'notify the odni and thefasc15 days prior togranting the waiver that it intends to grant the waiver. 3 waivers for',
3022:'emergency acquisitions. iin the case ofan emergency, including a declarationof major disaster, in which prior notice and consultation with the',
3023:'odniandprior noticeto thefascis impracticableandwould severely jeopardize performance of mission critical functions, the head of an agency may grant a waiver',
3024:'without meeting the notice and consultation requirements under 4.2104a2iii and 4.2104a2iv to enable effective mission critical functionsor emergency responseand recovery.',
3025:'iiin the case ofa waiver granted in response toan emergency, theheadof an agency granting thewaiver must— amake a determination that',
3026:'the notice and consultation requirements are impracticable due to an emergency condition; and b within30 days ofaward,notify the odni and',
3027:'thefascof the waiverissuedunder emergencyconditions in addition to the waiver notice to congress under 4.2104a4. 4 waiver notice. i for waivers',
3028:'to the prohibition at 4.2102a1, the head of the executive agency shall, not later than 30 days after approval— a',
3029:'submit in accordance with agency procedures to the appropriate congressional committees the full and complete laydown of the presences of',
3030:'covered telecommunications or video surveillance equipment or services in the relevant supply chain; and b the phaseout plan to eliminate',
3031:'such covered telecommunications or video surveillance equipment or services from the relevant systems. ii for waivers to the prohibition at',
3032:'4.2102a2, the head of the executive agency shall, not later than 30 days after approval submit in accordance with agency',
3033:'procedures to the appropriate congressional committees— a an attestation by the agency that granting of the waiver would not, to',
3034:'the agencys knowledge having conducted the necessary due diligence as directed by statute and regulation, present a material increase in',
3035:'risk to u.s. national security; b the full and complete laydown of the presences of covered telecommunications or video surveillance',
3036:'equipment or services in the relevant supply chain, to include a description of each category of covered technology equipment orservicesdiscovered',
3037:'after a reasonable inquiry, as well as each category of equipment, system, or service used by the entity in which',
3038:'such covered technology is found after conducting a reasonable inquiry; and 4.2105 federal acquisition regulation c the phaseout plan to',
3039:'eliminate such covered telecommunications or video surveillance equipment or services from the relevant systems. b director of national intelligence. the',
3040:'director of national intelligence may provide a waiver if the director determines the waiver is in the national security interests',
3041:'of the united states. 4.2105 solicitation provisions and contract clause. a thecontracting officer shall insert the provision at 52.20424,representationregarding certain',
3042:'telecommunications and videosurveillance services or equipment– 1 in all solicitations for contracts; and 2 under indefinite delivery contracts,in all noticesof',
3043:'intent to place anorder,or solicitations for an order e.g., subpart 8.4 and 16.505. b the contractingofficer shall insertthe clause at',
3044:'52.20425,prohibition on contracting for certain telecommunications and videosurveillance services or equipment, in all solicitations and contracts. c thecontracting officer shall',
3045:'insert the provision at 52.20426,covered telecommunicationsequipment or services representation, in all solicitations. 4.2203 subpart 4.22 prohibition ona bytedance coveredapplication. 4.2201',
3046:'definitions. as used in this subpart— covered application means the social networking servicetiktok or any successor application orservice developed or',
3047:'provided by bytedance limited or an entity owned by bytedance limited. information technology, as defined in 40 u.s.c. 111016— 1',
3048:'means any equipment or interconnected system or subsystem of equipment, used in the automatic acquisition, storage, analysis, evaluation, manipulation, management,',
3049:'movement, control, display,switching, interchange, transmission, or reception of dataor information by the executive agency, if the equipmentis used bythe executive',
3050:'agency directly oris used by a contractor under a contract with the executive agency that requires the use— i of',
3051:'that equipment; or ii of that equipment to a significant extent in the performance of a service or the furnishing',
3052:'of a product; 2 includes computers, ancillary equipment including imaging peripherals, input, output, and storage devices necessary for security and',
3053:'surveillance, peripheral equipment designed to be controlled by the central processing unit of a computer, software, firmware and similar procedures,',
3054:'services including support services, and relatedresources; but 3 does not include any equipment acquired by a federal contractor incidental to',
3055:'a federal contract. 4.2202 prohibition. a section 102 of divisionr of the consolidated appropriations act, 2023 pub. l. 117328, the',
3056:'no tiktok on government devices act, and its implementingguidance under office ofmanagement and budget ombmemorandum m2313, dated february27,2023, “notiktok ongovernment',
3057:'devices” implementation guidance, collectively prohibit the presence or use of a coveredapplication on information technology,including certain equipment used by federal',
3058:'contractors. b this prohibition applies to the presence or use of a covered application on any information technology owned or',
3059:'managed by the government, or on any information technology used or provided by the contractor under a contract, including equipment',
3060:'providedby the contractor’s employees, unless an exception is grantedin accordance with omb memorandum m2313. 4.2203 contract clause. the contractingofficer shall',
3061:'insertthe clause at 52.20427, prohibition on a bytedance covered application, in all solicitations and contracts, unless an exception is granted',
3062:'in accordance with omb memorandum m2313. this page intentionally left blank. 4.192 4.2301 subpart 4.23 federal acquisition security council. 4.2300',
3063:'scope of subpart. this subpart implements the federal acquisition supply chain security act of 2018 title ii of pub. l.',
3064:'115–390 and the federalacquisition security councilfasc regulation at 41 cfr part 201–1. the authority provided in this subpart expires on',
3065:'december 31, 2033 see 41 u.s.c. 1328. 4.2301 definitions. as used in this subpart— covered article as defined in 41',
3066:'u.s.c. 4713k, means— 1 information technology, as defined in 40 u.s.c. 11101, including cloud computing services of all types; 2',
3067:'telecommunications equipment or telecommunications service, as those termsare definedin section 3 of the communications act of 1934 47 u.s.c. 153;',
3068:'3 the processing of information on a federal or nonfederal information system, subject to the requirements of the controlled unclassified',
3069:'information program see 32 cfr part 2002; or 4 hardware, systems, devices,software, or services that includeembeddedor incidental informationtechnology. fascsa order',
3070:'means any of the following orders issued under the federal acquisition supply chain security act fascsa requiring the removal ofcovered',
3071:'articles fromexecutive agency information systems orthe exclusion of one or more named sources or named covered articles from executive agency',
3072:'procurement actions, as described in 41 cfr 201– 1.303d and e: 1 the secretary of homeland securitymay issue fascsaordersapplicable to',
3073:'civilian agencies, to theextent not covered by paragraph2or 3 of this definition. this typeof fascsa order may be referred to',
3074:'as a department of homeland security dhs fascsaorder. 2 the secretary of defense may issue fascsa orders applicable tothe department',
3075:'of defense dod and national security systems other than sensitive compartmented informationsystems. this type of fascsa order may be referred',
3076:'to as a dod fascsa order. 3 the directorof national intelligence dni may issue fascsa orders applicable tothe intelligence community',
3077:'and sensitive compartmented information systems, to the extent not covered by paragraph 2 of this definition. this type of fascsaorder',
3078:'may be referred toas adni fascsa order. federal acquisition security council fasc means the council established pursuant to 41 u.s.c.',
3079:'1322a. intelligence community, as defined by 50 u.s.c. 30034, means the following— 1 the office ofthe director of national intelligence;',
3080:'2 the central intelligence agency; 3 the national security agency; 4 the defense intelligence agency; 5 the national geospatialintelligence agency;',
3081:'6 the national reconnaissance office; 7 otheroffices within the department of defense for thecollection of specialized national intelligence through reconnaissance',
3082:'programs; 8 the intelligence elements of thearmy, the navy,the air force, themarine corps,the coast guard, the federal bureau ofinvestigation, the',
3083:'drugenforcement administration, and thedepartment ofenergy; 9 the bureau of intelligence and research of the department of state; 10 the office',
3084:'of intelligence and analysis of the departmentof the treasury; 11 the office of intelligence and analysis of the departmentof homeland',
3085:'security; or 12 such other elements of any department or agency as may be designated by the president, or designated',
3086:'jointly by the director of national intelligence and the head of the department or agency concerned, as an element of',
3087:'the intelligence community. national security system, as defined in 44 u.s.c. 3552, means any information system including any telecommunications system',
3088:'used or operated by an agency orby a contractor of an agency, or otherorganization on behalf of an agency— 1',
3089:'the function, operation, or use of which involves intelligence activities; involves cryptologic activities related to national security; involves command and',
3090:'control of military forces; involves equipment that is an integral part of a weapon or weapons system; or is critical',
3091:'to the direct fulfillment of military or intelligence missions, but does not include a system 4.2302 federal acquisition regulation that',
3092:'is to be used for routine administrative and business applications including payroll, finance, logistics, and personnel management applications; or 2',
3093:'is protected at all times by procedures established for information that have been specifically authorized under criteria established by an',
3094:'executive order or an act of congress to be kept classified in the interest of national defense or foreign policy.',
3095:'reasonable inquiry means an inquiry designed to uncover any information in the entitys possession about the identity of any covered',
3096:'articles, or any products or services produced or provided by a source. this applies when the covered article or thesource',
3097:'is subject to an applicable fascsa order. a reasonableinquiry excludes theneedto include an internal orthirdparty audit. sensitive compartmented information means',
3098:'classified information concerning or derived from intelligence sources, methods, or analytical processes, which is required to be handled within formal',
3099:'access control systems established by the director of national intelligence. sensitive compartmented information system means a national security system authorized',
3100:'to process or store sensitive compartmented information. source meansa nonfederalsupplier, or potential supplier, of products or services, at any tier.',
3101:'supply chain risk, as defined in 41 u.s.c. 4713k, means the risk that any person may sabotage, maliciously introduce unwanted',
3102:'functionality, extractdata, or otherwisemanipulate thedesign, integrity, manufacturing, production, distribution, installation,operation,maintenance, disposition, or retirement of coveredarticlesso asto surveil, deny, disrupt, or',
3103:'otherwise manipulate the function, use, or operation of the covered articles or information stored or transmitted on the covered articles.',
3104:'supply chain risk information includes, but is not limited to, information that describes or identifies: 1 functionality and features of',
3105:'covered articles, including access to data and information system privileges; 2 the user environment where a covered article is used',
3106:'or installed; 3 the ability of a source to produce and deliver covered articles as expected; 4 foreign control of,',
3107:'or influenceover, asource or covered article e.g., foreign ownership, personal and professional ties betweena sourceandany foreign entity, legal regime ofanyforeign',
3108:'country in which a source is headquartered or conducts operations; 5 implications togovernment missions or assets, national security, homeland security,',
3109:'or critical functions associated with use of a covered source or covered article; 6 vulnerability of federal systems, programs, or',
3110:'facilities; 7 market alternatives to the covered source; 8 potential impact or harm caused by the possible loss, damage, or',
3111:'compromise of a product, material, or service to an organizations operationsor mission; and 9 likelihood of a potential impact or',
3112:'harm, or the exploitability of a system; 10 security,authenticity, and integrityof covered articles and theirsupplyand compilation chain; 11 capacity to',
3113:'mitigate risks identified; 12 factors that may reflect upon the reliability of other supply chain risk information; and 13 any',
3114:'other considerations that would factor into an analysis of the security, integrity, resilience, quality, trustworthiness, or authenticity of covered articles',
3115:'or sources. 4.2302 sharing supply chain risk information. a executive agencies are required toshare relevant supply chain risk informationwith the',
3116:'fasc ifthe executive agency has determined there is a reasonable basis to conclude a substantial supply chain risk associated with',
3117:'a source or covered article exists see 41 cfr 201–1.201. b in support of information sharing described in paragraph a',
3118:'of this section, the contracting officer shall work with the program officeor requiring activity in accordance with agency procedures regarding',
3119:'the sharing of relevant information on actual or potential supply chain risk determined to exist during the procurement process. 4.2303',
3120:'fascsa orders. a executive agencies are prohibited from procuring or obtaining, or extending or renewing a contract to procure or',
3121:'obtain, any covered article, or any products or services produced or provided by a source, including contractor use of covered',
3122:'articles or sources, if that prohibition is established by anapplicable fascsa order issued bythe director of national intelligence,secretaryof defense, orsecretaryof',
3123:'homelandsecurity the “issuing official”see 41 cfr 201–1.304a. 4.2304 b if a coveredarticle or the source is subject toan applicable governmentwidefascsa',
3124:'order issued collectively by the director of nationalintelligence, secretary of defense, and secretary of homeland security,executive agencies responsible for management',
3125:'of the federal supply schedules, governmentwide acquisition contracts, and multiagency contracts shall facilitate implementation of a collective fascsa order byremovingthe',
3126:'covered articles or sources identified in the fascsa order from suchcontracts see 41 cfr 201–1.303g. c 1fascsaordersregardingsourcesorcoveredarticleswillbefoundinthesystemforawardmanagementsam, by searching for',
3127:'thephrase “fascsa order”. sam may beupdated as new fascsa orders areissued. 2 somefascsa orders will notbe identified in sam and',
3128:'will need to be identified in the solicitationto beeffective for that acquisition. the requiring activity orprogramoffice will identify these fascsa',
3129:'orders to the contractingofficer see 4.2304d. 3 the contractingofficer shall work with the program officeor requiring activity to identifywhich fascsa',
3130:'orders apply to the acquisition. 4.2304 procedures. a identifying applicable fascsa orders. the applicabilityof fascsa orders to a particular acquisition',
3131:'depends on the contracting offices agency, the scope of the fascsa order,the funding, and whether the requirement involves certaintypes of',
3132:'information systems seethe definitionof fascsa order at 4.2301. thecontracting officer shall coordinate with the program officeor requiring activity to identifythe',
3133:'fascsaorders thatapply to theacquisitionas follows: 1 unlessthe program officeor requiring activity instructs thecontracting officer otherwise, fascsa orders apply as follows:',
3134:'contracts awarded by civilianagencies will besubject to dhs fascsa orders,and contracts awarded by the department of defense will be subject',
3135:'todod fascsa orders. see paragraph b of 52.20430, federal acquisition supply chain security act ordersprohibition. 2 for acquisitions where the',
3136:'program office orthe requiring activityinstructs the contracting officer to select specific fascsaorders, the contracting officer must select “yes” or “no”',
3137:'for each applicable type offascsa order i.e., “dhs fascsaorder” “dod fascsa order” or “dni fascsa order”. see paragraph b1 of',
3138:'52.20430, federal acquisition supply chain security act orders—prohibition, with its alternate i. b federal supply schedules, governmentwide acquisition contracts, multiagency',
3139:'contracts specific procedures— 1 applyingfascsa orders. anagency awarding this type of contract may choose to apply fascsa orders in accordance',
3140:'with agency policy as follows: i application at the contract level. the agencyawarding the basiccontract maychooseto apply fascsaorders to the',
3141:'basic contract award. this is the preferred method, especially if small value orders or orders without a request for quotation',
3142:'rfq are expected. ordering activity contracting officers may use this contract vehicle withouttaking further steps to identify applicable fascsa orders',
3143:'in the order. the contracting officer awarding the basic contract would select “yes” for all fascsaorders i.e., “dhs fascsa order”',
3144:'“dod fascsaorder” and “dnifascsa order” seeparagraph b1 of 52.20430, federal acquisition supply chain security act orders—prohibition, with its alternate i.',
3145:'if the contracting officer becomes aware of a newly issued applicable fascsa order,then the agency awarding the basic contractshallmodify the',
3146:'basic contract to remove any covered article, or any products or services produced or provided by a source, prohibited by',
3147:'thenewly issued fascsa order. ii application at the order level. theagency awarding the basic contract may choose to apply fascsa',
3148:'orders at theorder level,as implemented by the ordering activity contracting officer. 2 collective fascsa orders. if a new fascsa order',
3149:'is issued collectively by the secretary of homeland security, secretary of defense, and director of national intelligence, then the contracting',
3150:'officer shall modify the basic contract based uponthe requirementsof the order, removing any covered article, or anyproducts or services produced',
3151:'or provided by a source see 4.2303b. 3 interagency acquisitions. for an interagency acquisition see subpart 17.5 where the funding',
3152:'agency differs from theawarding agency, the funding agency shall determine theapplicable fascsa orders. 4 inconsistencies. if any inconsistency is identified',
3153:'between thebasic contract and the order, then thefascsa orders identified in the order will take precedence. c updating the solicitation',
3154:'or contract for new fascsa orders. thecontracting officer shall update asolicitation or contract ifthe program officeor requiring activity determines it',
3155:'isnecessary to: 1 amend thesolicitation to incorporate fascsa orders in effect after the datethe solicitation was issued but prior to',
3156:'contract award; or 2 modify the contract to incorporate fascsa orders issued after the date ofcontract award. 4.2305 federal acquisition',
3157:'regulation i any such modification should take place within a reasonable amount of time, but no later than 6 months',
3158:'from the determination of the program office orrequiring activity. ii if the contract is not modified within the time specified',
3159:'in paragraph c2i of this section, then the contract file shall be documented providing rationale why the contract could not',
3160:'be modified within this timeframe. d agency specific procedures. the contracting officershallfollow agency proceduresforimplementing fascsa orders not identified in sam',
3161:'see 4.2303c2. e disclosures. if an offeror provides a disclosure pursuant toparagraph eof 52.20429, federal acquisition supply chain security act',
3162:'orders—representation and disclosures, the contracting officer shall engage with the program officeor requiring activityto determine whether to pursue a waiver,',
3163:'if available, in accordance with 4.2305 and agency procedures or not awardto that offeror. for fascsa orders handled at the',
3164:'order level, the disclosures language is foundat paragraph b5 of 52.20430, federal acquisition supply chain security act orders—prohibition, with its',
3165:'alternate ii. f waiver. an acquisition may be either fully or partiallycovered by a waiver. partial waiver coverage occurs when',
3166:'only portions of theproducts orservices being procured or provided by a source are covered by an applicable waiver. if the',
3167:'requiring activitynotifies thecontracting officer thatthe acquisition is partiallycovered by an approved individualwaiver or class waiver under 4.2305,then the contractingofficer shall',
3168:'work withthe program officeor requiring activity to identify in the solicitation,rfq, ororder,the covered articles or servicesproduced byor provided by asource',
3169:'that are subject to the waiver see 41 cfr 201–1.304b. g reporting. if a contractor provides a report pursuant to',
3170:'paragraph c of 52.20430, federal acquisition supply chain security act orders—prohibition, the contractingofficer shall engage with theagency supply chain risk',
3171:'management program in accordance with agency procedures. 4.2305 waivers. a an executive agency requiredto comply witha fascsa order maysubmit a',
3172:'request thatthe order or someof its provisions not apply to— 1 the agency; 2 specific actions of the agency or',
3173:'a specific class of acquisitions; 3 actions of the agency for a period of time before compliance with the order',
3174:'is practicable; or 4 other activities, as appropriate, that the requesting agency identifies. b a request for waiver shall be',
3175:'submitted by the executiveagency in writing to the official that issued the order, unless other instructions for submission are provided',
3176:'bythe applicable fascsa order. c therequest for waiver shall provide the followinginformationforthe issuing official to review and evaluate the request,',
3177:'including— 1 identification ofthe applicable fascsa order; 2 a description of theexception sought, including, if limited to only a portion',
3178:'of theorder, a description of the order provisions from which an exception is sought; 3 the name or a description',
3179:'sufficient to identify the covered articleor the productor service provided by a source that is subject to the order from',
3180:'which an exception is sought; 4 compelling justification for why an exception should be granted, such as the impact of',
3181:'the order on the agencys ability to fulfill its missioncritical functions, or considerations related to the national interest, including national',
3182:'security reviews, national security investigations, or national security agreements; 5 any alternative mitigations to be undertaken to reduce the risks',
3183:'addressedby the fascsa order; and 6 any other information requested by the issuingofficial. d the contractingofficer, in accordance with agency',
3184:'proceduresandworking with the program office or requiring activity, shall decide whether topursue a waiveror to make award to an offeror',
3185:'that does notrequire a waiver in accordance with the procedures at 4.2304f. if awaiver is being pursued,then the contracting officermay',
3186:'not make anaward until written approval is obtained that the waiver has been granted. 4.2306 solicitation provision and contract clauses.',
3187:'a inallfederal supply schedules, governmentwide acquisition contracts, and multiagency contractswhere fascsa orders areapplied at the order level,the contracting officershallinsert the',
3188:'clauseat 52.20428, federal acquisition supply chain security act orders—federal supply schedules, governmentwide acquisition contracts, and multiagency contracts, in the basic',
3189:'contract solicitation and resultant contract see 4.2304b1ii. 4.2306 b the contractingofficer shall insertthe provisionat 52.20429, federal acquisition supply chain security',
3190:'act orders —representation and disclosures— 1 in all solicitations, except for federal supply schedules, governmentwide acquisition contracts, and multiagency contracts.',
3191:'2 in all solicitations for federal supply schedules, governmentwide acquisition contracts, and multiagency contracts, if fascsa orders are appliedat the',
3192:'contract level see 4.2304b1i. c thecontracting officer shall insert the clause at 52.20430, federal acquisition supply chain security act orders—',
3193:'prohibition— 1 in solicitations and contracts if the conditions specified at 4.2304a1 apply,exceptforfederal supply schedules, governmentwide acquisition contracts, and multiagency',
3194:'contracts. for acquisitions where conditions specified at 4.2304a 2 apply, thenthe contracting officershalluse the clausewith its alternate i. 2 in',
3195:'federal supply schedules, governmentwide acquisition contracts, and multiagency contracts— iwhere fascsa orders are applied at the contract level, with its',
3196:'alternate i in all solicitations and resultant contracts. see 4.2304b1i. iiwhere fascsa orders are applied at the order level, with',
3197:'itsalternate ii in all rfqs, or in allnotices of intent to place an order. see 4.2304b1ii. this page intentionally left',
3198:'blank. 4.196 part 5 publicizing contract actions sec. 5.000 scope of part. 5.001 definition. 5.002 policy. 5.003 governmentwide point of',
3199:'entry. subpart 5.1 dissemination of information 5.101 methods of disseminating information. 5.102 availabilityofsolicitations. subpart 5.2 synopses of proposed contract actions',
3200:'5.201 general. 5.202 exceptions. 5.203 publicizing and response time. 5.204 presolicitation notices. 5.205 special situations. 5.206 notices of subcontracting opportunities.',
3201:'5.207 preparation and transmittal of synopses. subpart 5.3 synopses ofcontractawards 5.301 general. 5.302 preparation and transmittal of synopses of awards.',
3202:'5.303 announcement of contract awards. 5.401 5.402 5.403 5.404 5.4041 5.4042 5.405 5.406 5.501 5.502 5.503 5.504 5.601 5.701 5.702',
3203:'5.703 5.704 5.705 subpart 5.4 release of information general. general public. requests from members of congress. release of longrange acquisition',
3204:'estimates. release procedures. announcements of longrange acquisition estimates. exchange of acquisition information. public disclosure of justification documents for certain contract',
3205:'actions. subpart 5.5 paid advertisements definitions. authority. procedures. use of advertising agencies. subpart 5.6 publicizing multiagency use contracts governmentwide database',
3206:'of contracts. subpart 5.7 publicizing requirements under the american recovery and reinvestment act of 2009 scope. applicability. definition. publicizing preaward.',
3207:'publicizing postaward. this page intentionally left blank. subpart 5.1 dissemination of information 5.101 5.000scope of part. this part prescribes policies',
3208:'and procedures for publicizing contract opportunities and award information. 5.001definition. contract action, as used in this part, means an action',
3209:'resulting in a contract, as defined in subpart 2.1, including actions for additional supplies or services outside the existing contract',
3210:'scope, but not including actions that are within the scope and under the terms of the existing contract, such as',
3211:'contract modifications issued pursuant to the changes clause, or funding and other administrative changes. 5.002 policy. contracting officersmust publicize contract',
3212:'actionsin order to a increase competition; b broaden industry participation in meeting government requirements; and c assist small business concerns,',
3213:'veteranowned small business concerns, servicedisabled veteranowned small business concerns, hubzone small business concerns, small disadvantaged business concerns, and womenowned small',
3214:'business concerns in obtaining contracts and subcontracts. 5.003 governmentwide point of entry. for any requirement in the farto publish a',
3215:'notice, the contracting officer musttransmit the notices to the gpe. subpart 5.1 dissemination of information 5.101methods of disseminating information. a',
3216:'as required by the small business act 15 u.s.c. 637e and the office offederal procurement policy act 41 u.s.c. 1708,contracting',
3217:'officers must disseminate information on proposed contract actionsas follows: 1 for proposed contract actions expected to exceed $25,000, by synopsizing',
3218:'in the gpe see 5.201. 2 for proposed contract actions expected to exceed $15,000, but not expected to exceed $25,000,',
3219:'by displaying in a public place, or by any appropriate electronic means, an unclassified notice of the solicitation or a',
3220:'copy of the solicitation satisfying the requirements of 5.207c. the notice must include a statement that all responsible sources may',
3221:'submit a response which,if timelyreceived, must be considered by the agency. the information must be posted not later than thedate',
3222:'the solicitation is issued, and must remain posted for at least 10 days or until after quotations have been opened,',
3223:'whichever is later. iif solicitations are postedinstead of a notice, thecontracting officer may employ various methods of satisfying the requirements',
3224:'of 5.207c. for example, thecontracting officer may meetthe requirementsof 5.207c by stamping the solicitation, by a cover sheet to the',
3225:'solicitation, or by placing a general statement in the display room. iithe contracting officer need notcomply with the display requirements',
3226:'of thissection when the exemptionsat 5.202a1, a4 through a9,or a11 apply, when oralsolicitationsare used, orwhen providingaccess toa notice of proposed',
3227:'contract action and solicitation through the gpe and the notice permits the public to respond to the solicitation electronically. iii',
3228:'contractingofficers may use electronic posting of requirements in a place accessible bythe general public at thegovernment installation to satisfy thepublic',
3229:'display requirement. contracting offices usingelectronic systems for public posting that are not accessible outside the installation must periodically publicize the',
3230:'methods for accessing the information. b in addition, one or more of the following methods may be used: 1 preparing',
3231:'periodic handouts listing proposed contracts, and displaying them as in 5.101a2. 2 assisting local trade associations in disseminating information to',
3232:'their members. 3 making brief announcements of proposed contracts to newspapers, trade journals, magazines, or other mass communication media for',
3233:'publication without cost to the government. 4 placing paid advertisements in newspapers or other communications media, subject to the following',
3234:'limitations: icontracting officers shall place paid advertisementsof proposed contracts only when it is anticipatedthat effective competition cannotbe obtainedotherwise see 5.205d.',
3235:'iicontracting officers shall not placeadvertisements of proposed contracts in a newspaper published and printed in the district of columbia unless',
3236:'the supplies or services will be furnished, or the labor performed, in the district of columbia or adjoining counties inmaryland',
3237:'or virginia 44 u.s.c. 3701. federal acquisition regulation iii advertisements published in newspapers must be under proper written authority in',
3238:'accordance with 44 u.s.c.3702 see 5.502a. 5.102 availability of solicitations. a 1exceptasprovidedinparagrapha5ofthissection,thecontractingofficermustmakeavailablethroughthegpe solicitations synopsized through the gpe, including specifications, technical',
3239:'data, and other pertinent information determined necessaryby the contracting officer. transmissions to the gpe must be in accordance with the',
3240:'interface description available via the internet at https://www.sam.gov. 2 the contractingofficer is encouraged,when practicableandcosteffective,to make accessible through the gpe additional',
3241:'information related to a solicitation. 3 the contractingofficer mustensure that solicitations transmittedusing electronic commerce areforwardedto the gpe to satisfy the',
3242:'requirements of paragraph a1 of this section. 4 when an agency determines that a solicitation contains information that requires additional',
3243:'controls to monitor access and distribution e.g., technical data, specifications, maps, building designs, schedules, etc., the information shall be made',
3244:'available through the enhanced controls of the gpe, unless an exception in paragraph a5 of this section applies. the gpe',
3245:'meets the synopsis and advertising requirements of this part. 5 the contractingofficer need not make a solicitation availablethroughthe gpe as',
3246:'requiredin paragraph a4 of this section, when i disclosure would compromise the national security e.g., would result in disclosure of',
3247:'classified information, or information subject to export controls or create other security risks. the fact that access to classified matter',
3248:'may be necessary to submit a proposal or perform the contract does not, in itself, justify use of this exception;',
3249:'ii the nature of the file e.g., size, format does not make it costeffective orpracticable for contractingofficers to provide access',
3250:'to the solicitation through the gpe; or iii the agency’s senior procurement executive makes a writtendeterminationthat accessthroughthe gpe isnot in',
3251:'thegovernment’s interest. 6 when an acquisition containsbrand name specifications, the contracting officer shall include with the solicitation the justification or',
3252:'documentation required by 6.3021c, 13.1061b, or 13.501, redacted as necessary see 6.305. b when the contractingofficer does not makea solicitation',
3253:'available through the gpepursuant to paragrapha5 of this section,the contracting officer 1 should employ other electronic means e.g., cdromor electronicmail',
3254:'wheneverpracticable and costeffective. when solicitations are provided electronically on physical media e.g., disks or inpaper form, the contracting officer must',
3255:'i maintain a reasonable number of copies of solicitations, including specifications and other pertinent information determined necessary by the contracting',
3256:'officer upon request, potential sources not initiallysolicited should be mailed or provided copies of solicitations, if available; iiprovidecopies on a',
3257:'firstcomefirstserved basis, for pickup at the contracting office, to publishers, trade associations, information services, and other members of the public',
3258:'having a legitimate interest for construction, see 36.211; and iii retain a copy of the solicitation and other documents for',
3259:'review by and duplication for those requesting copies after the initial number of copies is exhausted; and 2 may require',
3260:'payment of a fee, not exceeding the actual cost of duplication, for a copy of the solicitation document. c in',
3261:'addition to the methods of disseminating proposed contract information in 5.101a and b, provide, upon request to small business concerns,',
3262:'as required by 15 u.s.c. 637b 1 a copy of the solicitation and specifications. in the case of solicitations disseminated',
3263:'by electronic data interchange, solicitations may be furnished directly to the electronic address of the small business concern; 2 the',
3264:'name andtelephone number of an employee ofthe contracting office who will answer questions onthe solicitation; and 3 adequate citations to',
3265:'each applicable major federal law or agency rule with which small business concerns must comply in performing the contract. d',
3266:'when electronic commerce see subpart 4.5 is used in the solicitation process, availability of the solicitation may be limited to',
3267:'the electronic medium. e provide copies of a solicitation issued under other than full and open competition to firms requesting',
3268:'copies that were not initially solicited, but only after advising the requester of the determination to limit the solicitation to',
3269:'a specified firm or firms as authorized under part 6. subpart 5.1 dissemination of information 5.102 f this section 5.102',
3270:'applies to classified contracts to the extent consistent with agency security requirements see 5.202a1. this page intentionally left blank. subpart',
3271:'5.2 synopses of proposed contract actions 5.202 subpart 5.2 synopses of proposed contract actions 5.201general. a as required by the',
3272:'small business act 15 u.s.c. 637e and the office offederal procurement policy act 41 u.s.c. 1708, agencies must make notices',
3273:'of proposed contract actions available as specified in paragraph b of this section. b 1 for acquisitions of supplies and',
3274:'services, other than those covered by the exceptions in 5.202 and the special situations in 5.205, the contractingofficer must transmit',
3275:'a notice tothe gpe, for each proposed i contract action meeting the threshold in 5.101a1; ii modification to an existing',
3276:'contract for additional supplies or services that meets the threshold in 5.101a1; or iii contract action in any amount when',
3277:'advantageous to the government. 2 when transmitting notices using electroniccommerce, contracting officers must ensurethe notice isforwarded to the gpe. c',
3278:'the primary purposes of the notice are to improve small business access to acquisition information and enhance competition by identifying',
3279:'contracting and subcontracting opportunities. d the gpe may be accessed via the internet at https://www.sam.gov. 5.202exceptions. the contractingofficer need not',
3280:'submitthe notice required by 5.201 when a thecontracting officer determines that 1 the synopsis cannot be worded topreclude disclosure of',
3281:'an agency’s needs and such disclosure would compromise the national security e.g., would result in disclosure of classified information. the',
3282:'fact that a proposed solicitation or contract action contains classified information, or that access to classified matter may be necessary',
3283:'to submit a proposal or perform the contract does not, in itself, justify use of this exception to synopsis; 2',
3284:'the proposed contract action is made under the conditions described in 6.3022 or, for purchasesconducted using simplified acquisition procedures, ifunusual',
3285:'andcompelling urgency precludes competition to the maximum extent practicable and the government would be seriously injured if the agency complies',
3286:'with the time periods specified in 5.203; 3 the proposed contract action is one for which either the written direction',
3287:'of a foreign government reimbursing the agency for the cost of the acquisition of the supplies or services for such',
3288:'government, or the terms of an international agreementor treaty between the united states and aforeign government, orinternational organizations,has the effectof',
3289:'requiring that the acquisition shall be from specified sources; 4 the proposed contract action is expressly authorized or required by',
3290:'a statute to be made through another government agency, includingacquisitions from the small business administration sbausing the authority of section8a',
3291:'of the small business act but see 5.205f, or from a specific source such as a workshop for the blind',
3292:'under the rules of the committee for purchase from people who are blind or severely disabled; 5 the proposed contract',
3293:'action is for utility services other than telecommunications services and only one source is available; 6 the proposed contract action',
3294:'is an order placed under subpart 16.5. when the order contains brandname specifications, see especially 16.505a4; 7 the proposed contract',
3295:'action results from acceptance of a proposal under the small business innovation development act of1982 pub.l.97219; 8 the proposed contract',
3296:'action results from the acceptance of an unsolicited research proposal that demonstrates a unique and innovative concept see 2.101 and',
3297:'publication of any notice complying with 5.207 would improperly disclose the originality of thought or innovativeness of the proposed research,',
3298:'or would disclose proprietary information associated with the proposal. this exception does not apply if the proposed contract action results',
3299:'from an unsolicited research proposal and acceptance is based solely upon the unique capability of the source to perform the',
3300:'particular research services proposed see 6.3021a2i; 9 the proposed contract action is made for perishable subsistence supplies, and advance notice',
3301:'is not appropriate or reasonable; 10 the proposed contract action is made under conditions described in 6.3023, or 6.3025 with',
3302:'regard to brand name commercial products for authorized resale, or 6.3027, and advance notice is not appropriate or reasonable; 11',
3303:'the proposed contract action ismadeunder theterms ofan existing contract that was previouslysynopsizedin sufficient detail to complywith the requirements of 5.207',
3304:'with respect to the current proposed contract action; federal acquisition regulation 12 the proposed contract action is by a defense',
3305:'agency and the proposed contract action will be made and performed outside the united states and its outlying areas, and',
3306:'only local sources will be solicited. this exception does not apply to proposed contract actions covered by the world trade',
3307:'organizationgovernment procurement agreementor afree trade agreement see subpart 25.4; 13 the proposed contract action i is for an amount not',
3308:'expected to exceed the simplified acquisition threshold; iiwill be made through a means that provides access to the noticeof proposed',
3309:'contract action through thegpe; and iii permits the public to respond to the solicitation electronically; or 14 the proposed contract',
3310:'action is made under conditions described in 6.3023 with respect to the services of an expert to support the federal',
3311:'government in any current or anticipated litigation or dispute. b the head of the agency determines in writing, after consultation',
3312:'with the administrator for federal procurement policy and the administrator of the small business administration, that advance notice is not',
3313:'appropriate or reasonable. 5.203 publicizing and response time. whenever agencies are required to publicize notice of proposed contract actions under',
3314:'5.201, they must proceed as follows: a an agency must transmit a notice of proposed contract action to the gpe',
3315:'see 5.201. all publicizing and response times are calculated based on the date of publication. the publication date is the',
3316:'date the notice appears on the gpe. the notice must be published at least 15 days before issuance of a',
3317:'solicitation, or a proposed contract action the government intends to solicit and negotiate with only one source under the authority',
3318:'of 6.302, except that, for acquisitions of commercial products or commercialservices, the contracting officer may 1 establish a shorter period',
3319:'for issuance of the solicitation; or 2 use the combined synopsis and solicitation procedure see 12.603. b the contractingofficer mustestablisha',
3320:'solicitation response time that will affordpotentialofferorsa reasonable opportunity to respond to each proposed contract action, including actions where the notice',
3321:'of proposed contract action and solicitation information is accessible through the gpe, in an amount estimated to be greater than',
3322:'$25,000, but not greater than the simplified acquisition threshold; or each contract action for the acquisition of commercial products or',
3323:'commercial services inan amountestimated to be greater than $25,000. the contracting officer should consider the circumstances of the individualacquisition, such',
3324:'as thecomplexity, commerciality, availability, and urgency, when establishing the solicitation response time. c except for the acquisition of commercial products',
3325:'or commercial services see 5.203b, agencies shall allow at least a 30day response time for receipt of bids or proposals',
3326:'from the date of issuance of a solicitation, if the proposed contract action is expected to exceed the simplified acquisition',
3327:'threshold. d agencies shall allow at least a 30 day response time from the date of publication of a proper',
3328:'notice of intent to contract for architectengineer services or before issuance of an order under a basic ordering agreement or',
3329:'similar arrangement if the proposed contract action is expected to exceed the simplified acquisition threshold. e agencies must allow at',
3330:'least a 45day response time for receipt of bids or proposals from the date of publication of the notice required',
3331:'in 5.201 for proposed contract actions categorized as research and development if the proposed contract action is expected to exceed',
3332:'the simplified acquisition threshold. f nothing inthis subpart prohibitsofficers or employees ofagencies fromrespondingto requests for information. g contracting officersmay, unless',
3333:'they have evidence tothe contrary, presume the notice was published oneday after transmission to the gpe. this presumption does not',
3334:'negate the mandatory waiting or response times specified in paragraphs a through d of this section. upon learning that a',
3335:'particular notice has not in fact been published within the presumed timeframes, contracting officersshouldconsider whether the date for receiptof offers',
3336:'can be extended or whether circumstances have become sufficiently compelling to justify proceeding withthe proposed contract action under the authority',
3337:'of 5.202a2. h in addition tootherrequirements set forth inthissection, for acquisitionscovered by theworld trade organization governmentprocurementagreementorafreetradeagreementsee subpart 25.4, the period',
3338:'of time between publication of the synopsis notice and receipt of offers must be no less than 40 days. however,',
3339:'if the acquisition fallswithin a general categoryidentified in an annual forecast, theavailability of which ispublished, thecontracting officer may reduce this',
3340:'time period to as few as 10 days. subpart 5.2 synopses of proposed contract actions 5.205 5.204 presolicitation notices. contracting',
3341:'officersmust provideaccess to presolicitation notices through the gpesee 15.201 and 36.2132. the contracting officermust synopsizea proposedcontract actionbefore issuing any resulting',
3342:'solicitation see 5.201 and 5.203. 5.205special situations. a research and development r&d advance notices. contracting officers maytransmit to the gpe',
3343:'advance notices of their interest in potential r&d programs whenever market research does not produce a sufficient number of concerns',
3344:'to obtain adequate competition. advance notices must not be used where security considerations prohibit such publication. advance notices will enable',
3345:'potential sources to learn of r&d programs and provide these sources with an opportunity to submit information which will permit',
3346:'evaluation oftheir capabilities. contracting officers mustconsider potential sources which respond to advance notices for a subsequent solicitation. advanced notices must',
3347:'be entitled research and development sources sought and include the name and telephone number of the contracting officer orother contracting',
3348:'activity official from whom technical details of the projectcan be obtained. thiswill enable sources to submit information for evaluationof their',
3349:'r&d capabilities. contracting officers must synopsize see 5.201 all subsequent solicitations for r&d contracts, including those resulting from a previously',
3350:'synopsized advance notice, unless one of the exceptions in 5.202 applies. b federally funded research and development centers. before establishing',
3351:'a federally funded research and development center ffrdc see part 35 or before changing its basic purpose and mission, the',
3352:'sponsor must transmit at least three notices over a 90day period to the gpe and the federal register,indicating the agency’s',
3353:'intention to sponsor an ffrdc or changethe basic purposeandmissionof an ffrdc. the notice must indicate thescope and nature of theeffort',
3354:'to beperformed and requestcomments. notice is notrequired where theaction is required bylaw. c special notices.contracting officers may transmit to the',
3355:'gpe special notices of procurement matters suchas business fairs, longrange procurement estimates, prebid or preproposal conferences, meetings, and the availability',
3356:'of draft solicitations or draft specifications for review. d architectengineering services. contracting officers must publish notices of intent to contract',
3357:'for architectengineering services as follows: 1 except when exempted by 5.202, contracting officers musttransmit to the gpe a synopsis of',
3358:'eachproposed contract action for which the total fee including phases and options is expected to exceed $25,000. 2 when the',
3359:'total fee is expected to exceed $15,000 butnot exceed $25,000, the contracting officer must comply with 5.101a2. when the proposed',
3360:'contract action is not required to be synopsized under paragraph d1 of this section, the contracting officermust displaya noticeof the',
3361:'solicitation or a copyof the solicitation ina public placeat the contracting office. other optional publicizing methods are authorized in accordance',
3362:'with 5.101b. e publicprivate competitions under omb circular a76. 1 the contractingofficer shall make aformal public announcement for each streamlined',
3363:'or standard competition. the public announcement shall include, at a minimum, the agency, agency component, location, type ofcompetition streamlined or',
3364:'standard,activity being competed, incumbent serviceproviders, number of government personnel performingthe activity, name of the competitive sourcingofficial, name of the contracting',
3365:'officer, name of the agencytender official, and projected end date ofthe competition. 2 the contractingofficer shall announce the end ofthe',
3366:'streamlined or standard competition by making a formal public announcement of the performance decision. see omb circular a76. f section8a',
3367:'competitive acquisition. when a requirement is being considered for competitive acquisition limited to eligible 8a participants under subpart 19.8,thecontractingofficermusttransmitasynopsisoftheproposedcontractaction to',
3368:'the gpe. the synopsis may be transmitted to the gpe concurrent with submission of the agency offeringsee 19.8042 to the',
3369:'small business administration sba. the synopsis should also include information 1 advising that the acquisitionis being offered for competition limited',
3370:'to eligible 8a participants; 2 specifying the north american industry classification system naics code; 3 advising that eligibility to participate',
3371:'may be restricted to 8a participants in either the developmental stage or the developmental and transitional stages; and 4 encouraging',
3372:'interested 8a participants to request a copy of the solicitation as expeditiously as possible since the solicitation will be issued',
3373:'without further notice upon sba acceptance of the requirement for the section 8a program. g notifications to the public regarding',
3374:'consolidation, bundling, or substantial bundling. 1 for the requirement to publish a notification of consolidation or substantial bundling of contract',
3375:'requirements, see 7.1075c and d. 2 the agency is encouraged to provide notification of the rationale for any bundled requirement',
3376:'to the gpe before issuing the solicitation of any bundled requirement see 7.1075b. federal acquisition regulation h notice regarding timely',
3377:'definitization of equitable adjustments for change orders under construction contracts. when thecontracting officer anticipatesaward of a contract to a small',
3378:'business pursuant to a solicitation for construction, the contracting officermust transmit in the solicitationnotice on the gpeinformation regarding definitization of',
3379:'equitable adjustments for change orders under construction contracts see 36.211. 5.206notices of subcontracting opportunities. a the following entities may transmit',
3380:'a notice to the gpe to seek competition for subcontracts, to increase participation by hubzone small business, small, small disadvantaged,',
3381:'womenowned small business, veteranowned small business and servicedisabled veteranowned small business concerns, and to meet established subcontracting plan goals: 1',
3382:'a contractor awarded a contract exceeding the simplified acquisition threshold that is likely to result in the award of any',
3383:'subcontracts. 2 a subcontractor or supplier, at any tier, undera contract exceeding the simplified acquisition threshold, that has a subcontracting',
3384:'opportunity exceeding $15,000. b the notices must describe 1 the business opportunity; 2 any prequalification requirements; and 3 where to',
3385:'obtain technical data needed to respond to the requirement. 5.207 preparation and transmittal of synopses. a content. each synopsis transmitted',
3386:'to the gpe must address the following data elements, as applicable: 1 action code. 2 date. 3 year. 4 contracting',
3387:'office zipcode. 5 product or service code. 6 contracting office address. 7 subject. 8 proposed solicitationnumber. 9 closing response date.',
3388:'10 contact point or contracting officer. 11 contract award and solicitationnumber. 12 contract award dollaramount. 13 line item number. 14',
3389:'contract award date. 15 contractor. 16 description. 17 place of contract performance. 18 setaside status. b transmittal. transmissions to the',
3390:'gpe must be in accordance with the interface description available via the internetat https://www.sam.gov. c general format for description. prepare',
3391:'a clear and concise description of the supplies or services that is not unnecessarily restrictiveof competition and willallow a prospectiveofferor',
3392:'to make an informed business judgment as to whether a copy of the solicitation should be requested including the following,',
3393:'as appropriate: 1 national stock number nsn if assigned. 2 specification and whether anofferor,its product, or service mustmeet a qualification',
3394:'requirement in order to be eligible for award,andidentification of the office from which additional information about the qualification requirement may',
3395:'be obtained see subpart 9.2. 3 manufacturer,including part number, drawingnumber, etc. 4 size, dimensions, or other form, fit or functional',
3396:'description. 5 predominant material of manufacture. 6 quantity, including any options for additional quantities. 7 unit of issue. 8 destination',
3397:'information. subpart 5.2 synopses of proposed contract actions 5.207 9 delivery schedule. 10 duration of the contract period. 11 sustainable',
3398:'acquisition requirements,such as a description of highperformance sustainable building practices required, if for design, construction, renovation, repair, ordeconstructionsee part 23',
3399:'and 36.104. 12 for a proposed contract action in an amount estimated to be greater than $25,000 but not greater',
3400:'than the simplified acquisition threshold, enter i a description of the procedures to be used in awarding the contract e.g.,',
3401:'request for oral or written quotation or solicitation; and ii the anticipated award date. 13 for architectengineer projects and other',
3402:'projects for which theproduct or servicecodes are insufficient,provide brief details with respect to: location, scope of services required, cost range',
3403:'and limitations, type of contract, estimated starting and completion dates, and any significant evaluation factors. 14 iifthesolicitationwillincludethefarclauseat 52.2253,buyamericanfreetradeagreementsisraeli trade act,',
3404:'or anequivalent agency clause, insert thefollowing notice in the synopsis: one or more of the items under this acquisition issubject',
3405:'to free trade agreements. iiif the solicitation will include thefar clause at 52.2255, trade agreements, or an equivalent agency clause,',
3406:'insert the following notice in the synopsis: one or more of the items under this acquisition is subject to the',
3407:'world trade organization government procurement agreement and free trade agreements. iii if thesolicitation will include the far clause at 52.22511,',
3408:'buy americanconstruction materials under trade agreements, 52.22523, required use of american iron, steel, and manufactured goodsbuy american statute construction materials',
3409:'under trade agreements,or an equivalent agency clause, insert the following notice inthe synopsis: one or more of theitems under this',
3410:'acquisition is subject to the world trade organization government procurement agreement and freetradeagreements. 15 in the case of noncompetitive contract',
3411:'actions including those that do not exceed the simplified acquisition threshold, identify the intended source and insert a statement of',
3412:'the reason justifying the lack of competition. 16 i except when using the sole source authority at 6.3021, insert a',
3413:'statement that all responsible sources may submita bid, proposal, or quotationwhich shall be considered by the agency. ii when using',
3414:'the sole source authority at 6.3021, insert a statement that all responsible sources may submit a capability statement,proposal, or quotation,',
3415:'which shall be considered by the agency. 17 if solicitations synopsized through the gpe will not be made available through',
3416:'the gpe, provide information on how to obtain the solicitation. 18 if the solicitation will be made available to interested',
3417:'parties through electronic data interchange, provide any information necessary to obtain and respondto the solicitation electronically. 19 if the technical',
3418:'data required to respond to the solicitation will not be furnished as part of such solicitation, identify the source in',
3419:'the government, such as https://www.sam.gov, from which the technical data may be obtained. d setasides. when the proposed acquisition provides',
3420:'for a total or partial small business program setaside, or when the proposed acquisition provides for a local area setaside',
3421:'see subpart 26.2,thecontractingofficershallidentifythetypeof setaside in the synopsis and in the solicitation. e codes to be used in synopses to identify',
3422:'services or supplies. contracting officers must use one of the classification codes identified at https://www.sam.gov to identify services or supplies',
3423:'in synopses. f notice of solicitation cancellation. contracting officersmay publish notices of solicitation cancellations or indefinite suspensions of proposed contract',
3424:'actions in the gpe. this page intentionally left blank. subpart 5.3 synopses of contract awards 5.303 subpart 5.3 synopses of',
3425:'contract awards 5.301general. a except for contract actions described in paragraph b of this section and as provided in 5.003,',
3426:'contracting officers must synopsize through the gpe the following: 1 contract awards exceeding $25,000 that are icovered bythe world trade',
3427:'organization government procurement agreement or a free trade agreement see subpart 25.4; or iilikely to result inthe award ofany subcontracts.',
3428:'however, thedollarthreshold is not a prohibitionagainst publicizing an award of a smaller amount when publicizing would be advantageous to industry',
3429:'or to the government. 2 certain contract actions greater than the simplified acquisition threshold as follows i federal supply schedule',
3430:'fss orders or blanket purchase agreements supported by a limitedsource justification excluding brand name in accordance with 8.4056; or iitaskor',
3431:'delivery orders awarded without providing fairopportunity inaccordance with 16.505b2. 3 a notice isnot required underthis section if the noticewould disclose',
3432:'the executive agency’s needs andthe disclosureof such needs would compromise the nationalsecurity. b a notice is not required under paragraph',
3433:'a1 of this section if 1 the award results from acceptance of an unsolicited research proposal that demonstrates a unique',
3434:'and innovative research concept and publication of any notice would disclose the originality of thought or innovativeness of the proposed',
3435:'research or would disclose proprietary information associated with the proposal; 2 the award results from a proposal submitted under the',
3436:'small business innovation development act of 1982 pub. l. 97219; 3 the contract action is an order placed under subpart',
3437:'16.5 or 8.4, except see paragraph a2 of this section; 4 the award is made for perishable subsistence supplies; 5',
3438:'the award is for utility services, other than telecommunications services, and only one source is available; 6 the contract action',
3439:'i is for an amount not greater than the simplified acquisition threshold; iiwas made through ameans where accessto the notice',
3440:'of proposed contract action was providedthroughthe gpe; and iii permitted the public to respond to the solicitation electronically; or 7',
3441:'the award is for the services of an expert to support the federal government in any current or anticipated litigation',
3442:'or dispute pursuant to the exception to full and open competition authorized at 6.3023. c with respect to acquisitions covered',
3443:'by the world trade organization government procurement agreement or a free trade agreement,contracting officers must submit synopses in sufficienttime to',
3444:'permit their publicationin the gpe not later than 60 days after award. d posting is required of the justifications for',
3445:'1 contracts awarded using other than full and open competition in accordance with 6.305; 2 fss orders or blanket purchase',
3446:'agreements with an estimated value greater than the simplified acquisition threshold and supported by a limitedsources justification see 8.4056a; or',
3447:'3 task or delivery orders greater than the simplified acquisition thresholdandawarded without providing for fair opportunity in accordance with 16.505b2iib',
3448:'and d. 5.302 preparation and transmittal of synopses of awards. contracting officersshalltransmit synopses of contract awardsin thesame manner as prescribed',
3449:'in 5.207. 5.303announcement of contract awards. a public announcement. contractingofficers shall make information available on awards over $4.5million unless anotherdollaramount',
3450:'isspecified in agency acquisition regulationsin sufficient time for the agencyconcerned to announce it by 5 p.m. washington, dc, time on',
3451:'the day of award. agencies shall not release information on awardsbefore thepublic release timeof 5 p.m. washington,dc time. contracts excluded',
3452:'fromthisreporting requirement include 1 those placed with the small business administration under section 8a of the small business act; 2',
3453:'those placed with foreign firms when the place of delivery or performance is outside the united states and its outlying',
3454:'areas; and federal acquisition regulation 3 those for which synopsis was exempted under 5.202a1. b local announcement. agencies may also',
3455:'release information on contract awards to the local press or other media. when local announcements are made for contract awards',
3456:'in excess of the simplified acquisition threshold, they shall include 1 for awards after sealed bidding, a statement that the',
3457:'contract was awarded after competition by sealed bidding, the number ofoffers solicited and received,andthe basis for selection e.g., the lowest',
3458:'responsible bidder; or 2 for awards after negotiation, the information prescribed by 15.503b, and after competitive negotiation either price ordesign',
3459:'competition, astatement to this effect, and in general termsthe basis for selection. subpart 5.4 release of information 5.4041 subpart 5.4',
3460:'release of information 5.401general. a a high level of business security must be maintained in order to preserve the integrity',
3461:'of the acquisition process. when it is necessary to obtain information from potential contractors and others outside the government for',
3462:'use in preparing government estimates, contracting officers shall ensure that theinformation is not publicizedor discussed withpotential contractors. b contracting officersmay',
3463:'make available maximum information to the public, except information 1 on plans that would provide undue or discriminatory advantage to',
3464:'private or personal interests; 2 receivedin confidence from an offeror; 3 otherwise requiring protection under freedom of information act see',
3465:'subpart 24.2 or privacy act see subpart 24.1; or 4 pertaining to internal agency communications e.g., technical reviews, contracting authority',
3466:'or other reasons, or recommendations referring thereto. c this policy applies to all government personnel who participate directly or indirectly',
3467:'in any stage of the acquisition cycle. 5.402general public. contracting officersshallprocess requests for specific information from thegeneral public, including suppliers,',
3468:'in accordance with subpart 24.1 or 24.2, as appropriate. 5.403 requestsfrommembers of congress. contracting officersshallgive members of congress, upon their',
3469:'request, detailed information regarding any particular contract. when responsiveness would result in disclosure of classified matter, business confidential information, or',
3470:'information prejudicial to competitive acquisition, the contractingofficer shall refer the proposed reply, with full documentation,to theagency head and inform the',
3471:'legislative liaison office of the action. 5.404release of longrange acquisition estimates. to assist industry planning and tolocate additional sources ofsupply,',
3472:'it may bedesirable to publicize estimates of unclassified longrange acquisition requirements. estimates may be publicized as far in advance as',
3473:'possible. 5.4041 release procedures. a application. the agency head, or a designee, may release longrange acquisition estimates if the information',
3474:'will 1 assist industry in its planning and facilitate meeting the acquisition requirements; 2 not encourage undesirable practices e.g., attempts',
3475:'to corner the market or hoard industrial materials; and 3 not indicate the existing or potential mobilization of the industry',
3476:'as a whole. b conditions. the agency head shall ensure that 1 classified information is released through existing security channels',
3477:'in accordance with agency security regulations; 2 the information is publicized as widely as practicable to all parties simultaneously by',
3478:'any of the means described in this part; 3 each release states that i the estimate is based on the',
3479:'best information available; ii the information is subject to modification and is in no way binding on the government; and',
3480:'iii more specific information relating to any individual item or class of items will not be furnished until the proposed',
3481:'action is synopsized through the gpe or the solicitation is issued; 4 each release contains the name and addressof the',
3482:'contractingofficer that willprocess theacquisition; 5 modifications to the original release are publicized as soon as possible, in the same manner',
3483:'as the original; and 6 each release i is coordinated in advance with small business, public information, and public relations',
3484:'personnel, as appropriate; ii contains, if applicable, a statement that small business setasides may be involved, but that a determination',
3485:'can be made only when acquisition action is initiated; and federal acquisition regulation iii containsthe name or description of the',
3486:'item, and the estimatedquantity to be acquired by calendarquarter, fiscal year, or other period. it may also contain such additional',
3487:'information as thenumber of units last acquired, the unit price, and the name of thelast supplier. 5.4042 announcements of longrange',
3488:'acquisition estimates. further publicizing, consistent with the needs of the individual case, may be accomplished by announcing through the gpe',
3489:'that longrange acquisitionestimates have been publishedand are obtainable, upon request, from the contractingofficer. 5.405exchange of acquisition information. a when thesame',
3490:'item or class of items isbeing acquired by more than one agency, or bymorethan one contracting activity within an agency,the',
3491:'exchange and coordination of pertinent information,particularly cost and pricing data, between these agencies or contracting activities is necessary to promote',
3492:'uniformity of treatment of major issues and the resolution of particularlydifficult or controversialissues. the exchangeand coordination ofinformationis particularly beneficial during',
3493:'theperiod of acquisitionplanning,presolicitation, evaluation, and preaward survey. b when substantial acquisitions of major items are involved or when the contracting',
3494:'activity deems it desirable, the contracting activity shall request appropriate information on both the end item and on major subcontracted',
3495:'components from other agencies or contracting activities responsible for acquiring similar items. each agency or contracting activity receivingsuch a request',
3496:'shall furnish the information requested. the contractingofficer, early in a negotiation of a contract, or in connection with the review',
3497:'of a subcontract, shall request the contractor to furnishinformation asto the contractor’sor subcontractor’s previous governmentcontracts and subcontracts for the same',
3498:'or similar end itemsandmajorsubcontractor components. 5.406 public disclosure ofjustification documents for certain contract actions. a justifications and approvals for other',
3499:'than full and open competition must be posted in accordance with 6.305. b limitedsource justifications excluding brand name for fss',
3500:'orders or blanket purchase agreements with an estimated value greater than the simplified acquisition threshold must be posted in accordance',
3501:'with 8.4056a2. c justifications for task or delivery orders greater than the simplified acquisition threshold and awarded without providing for',
3502:'fair opportunity must be posted in accordance with 16.505b2iid. subpart 5.5 paid advertisements 5.504 subpart 5.5 paid advertisements 5.501definitions. as',
3503:'used in this subpart advertisement means any single message prepared for placement in communication media, regardless of the number of',
3504:'placements. publication means– 1 the placement of an advertisement in a newspaper, magazine, trade or professional journal, or any other',
3505:'printed medium; or 2 the broadcasting of an advertisement over radio or television. 5.502 authority. a newspapers. authority to approve',
3506:'the publication of paid advertisements in newspapers is vested in the head of each agency 44 u.s.c. 3702. this approval',
3507:'authority may be delegated 5 u.s.c. 302b. contracting officers shall obtain written authorization in accordance with policy procedures before advertising',
3508:'in newspapers. b other media. unless the agency head determines otherwise, advance written authorization is not required to place advertisements',
3509:'in media other than newspapers. 5.503 procedures. a general. 1 orders for paid advertisements may be placed directly withthe media',
3510:'orthroughan advertising agency. contracting officersshallgive small,small disadvantaged,womenowned, veteranowned, hubzone, and servicedisabled veteranowned small business concerns maximum opportunity to participate in',
3511:'these acquisitions. 2 the contractingofficer shall usethe sf 1449 for paper solicitations. the sf 1449 shall be used to make',
3512:'awards or place orders unless the award/order is made by using electronic commerce or by using the governmentwide commercial purchase',
3513:'card for micropurchases. b rates. advertisements may bepaid for atratesnot overthe commercial ratescharged private individuals, with the usual discounts 44',
3514:'u.s.c. 3703. c proof of advertising. every invoice for advertising shall be accompanied by a copy of theadvertisement oran affidavit',
3515:'of publication furnished by the publisher, radio or televisionstation, or advertising agency concerned 44u.s.c. 3703. paying offices shall retain the',
3516:'proof of advertising untilthe government accountability officesettles the paying office’s account. d payment. upon receipt of an invoice supported by',
3517:'proofof advertising, the contracting officer shall attach a copy of the written authority see 5.502a and submit the invoice for',
3518:'payment under agency procedures. 5.504use of advertising agencies. a general. basic ordering agreements may be placed with advertising agencies for',
3519:'assistance in producing and placing advertisements when a significant number will be placed in several publications and in national media.',
3520:'services of advertising agencies include, but are not limited to, counseling as to selection of the media for placement of',
3521:'the advertisement,contacting themedia in the interestof the government, placing orders, selectingandorderingtypography, copywriting, and preparing rough layouts. b use of commissionpaying',
3522:'media. the services of advertising agencies in placing advertising with media often can be obtained at no cost to the',
3523:'government, over and above the space cost, as many media give advertising agencies a commission or discount on the space',
3524:'cost that is not given to the government. c use of noncommissionpaying media. some media do not grant advertising agencies',
3525:'a commission or discount, meaningthe government canobtain the same rate as the advertising agency. if theadvertising agency agrees to place',
3526:'advertisements in noncommissionpaying media as a nocost service, the basic ordering agreement shall so provide. if the advertising agency will',
3527:'not agree to place advertisements at no cost, the agreement shall 1 provide that the government may place orders directly',
3528:'with the media; or 2 specify an amount that the government will pay if the agency places the orders. d',
3529:'art work, supplies, and incidentals. the basic ordering agreement also may provide for the furnishing by the advertising agency of',
3530:'art work, supplies, and incidentals, including brochures and pamphlets, but not their printing. incidentals may include telephone calls, and postage',
3531:'incurred by the advertising agency on behalf of the government. this page intentionally left blank. subpart 5.6 publicizing multiagency use',
3532:'contracts 5.601 subpart 5.6 publicizing multiagency use contracts 5.601governmentwide database of contracts. a a governmentwide database of contracts and other',
3533:'procurement instruments intended for use by multiple agencies is available via the internet at https://www.contractdirectory.gov/contractdirectory/. this searchable database is a',
3534:'tool that may be used to identify existing contracts and other procurement instruments that may be used to fulfill government',
3535:'needs. b the contracting activity shall 1 enter the information specified at https://www.contractdirectory.gov/contractdirectory/, in accordance with the instructions onthat website,',
3536:'within ten days of award of a governmentwide acquisition contract gwac, multiagency contract, federal supply schedule contract, or any other',
3537:'procurement instrument intended for use by multiple agencies, including blanket purchase agreements bpas underfederal supply schedule contracts. 2 enter the',
3538:'information specified at https://www.contractdirectory.gov/contractdirectory/ in accordance with the instructions on that website by october 31, 2003, for all contracts and',
3539:'other procurement instruments intended for use by multiple agencies that were awarded before july 24, 2003. this page intentionally left',
3540:'blank. subpart 5.7 publicizing requirements under the american recovery and reinvestment act of 2009 5.705 subpart 5.7 publicizing requirements under',
3541:'the american recovery and reinvestment act of 2009 5.701scope. this subpart prescribes posting requirements for presolicitation and award notices for',
3542:'actions funded in whole or in part by the american recoveryand reinvestment act of 2009 pub. l. 1115 recovery act.',
3543:'the requirements of thissubpart enhance transparency to the public. 5.702 applicability. this subpart applies to all actions expected to exceed',
3544:'$25,000 funded in whole or in part by the recovery act. unlike subparts 5.2 and 5.3, this subpart includes additional',
3545:'requirements for orders and for actions that are not both fixedprice and competitive. 5.703definition. as used in this subpart task',
3546:'or delivery order contract means a delivery order contract, and a task order contract, as defined in 16.5011. for example,',
3547:'it includes governmentwide acquisition contracts gwacs, multiagency contracts macs, andother indefinite delivery/indefinitequantity contracts, whether single award or multiple award. it',
3548:'also includes federal supply schedule contracts including blanket purchase agreements under subpart 8.4. 5.704 publicizing preaward. a 1 follow the',
3549:'publication procedures at 5.201. 2 in addition, notices of proposed contract actions are required for orders exceeding $25,000, funded in',
3550:'whole or in part by the recovery act, which are issued under task or delivery order contracts. this does not',
3551:'include modifications to existing orders, but these modifications are covered postaward, see 5.705. these notices are for informational purposes only,',
3552:'therefore, 5.203 does not apply. contracting officers should concurrently use their usual solicitation practice e.g., ebuy. b contracting officersshallidentify proposedcontract',
3553:'actions, funded inwhole or in part by therecovery act, by using thefollowing instructionswhich are also available in the recovery faqs',
3554:'under buyers/engineers at thegovernmentwide point of entry gpe https://www.sam.gov : 1 if submitting notices electronically via ftp or email, enter',
3555:'the word recovery as the first word in the title field. 2 if using the gpe directly, select the yes',
3556:'radio button for the isthisa recovery and reinvestment act action field on the notice details form step 2 located below',
3557:'the naics code field. in addition, enter the word recovery as the first word in the title field. c in',
3558:'preparing the description required by 5.207a16, use clear and concise language to describe the planned procurement. use descriptions of the',
3559:'goods and services including construction, that can be understood by the general public. avoid the use of acronyms or terminology',
3560:'thatis not widelyunderstoodby the general public. 5.705publicizing postaward. follow usual publication procedures at 5.301, except that the following supersede the',
3561:'exceptions at 5.301b2 through 7: a 1 publicize the award notice for any action exceeding $500,000, funded in whole or',
3562:'in part by the recovery act, including i contracts; ii modifications to existing contracts; iii orders which are issued under',
3563:'task or delivery order contracts; and iv modifications to orders under task or delivery order contracts. 2 contracting officersshallidentify contract',
3564:'actions,funded in wholeor in part by the recovery act, by usingthe following instructions which are also available in the recovery',
3565:'faqs under buyers/engineers atthe governmentwide point of entry gpe https://www.sam.gov : i if submitting notices electronically via ftp or email,',
3566:'enter the word recovery as the first word in the title field. federal acquisition regulation iiif using the gpe directly,',
3567:'selectthe yes radio buttonforthe is this a recovery and reinvestment act action field on the notice details form step 2',
3568:'located below the naics code field. in addition, enter the word recovery as the first word in the title field.',
3569:'3 in preparing the description required by 5.207a16, use clear and concise language to describe the planned procurement. use descriptions',
3570:'of the goods and services including construction, that can be understood by the general public. avoid the use of acronyms',
3571:'or terminology thatis not widelyunderstoodby the general public. b regardless of dollar value, if the contract action, including all modifications',
3572:'and orders under task or delivery order contracts, is not both fixedprice and competitively awarded, publicize the award notice and',
3573:'include in the description the rationale for using other than a fixedpriced and/or competitive approach. include in the description a',
3574:'statement specifically noting if the contract action was notawarded competitively, orwas not fixedprice, or wasneither competitive nor fixed price. these',
3575:'notices and the rationale will be available to the public at the gpe, so do not include any proprietary information',
3576:'or information that would compromise national security. the following tableprovides examples for whena rationale is required. posting of rationale examples',
3577:'description of contract action rationale required 1 a contract is competitively awarded and is fixedprice. not required. 2 a contract',
3578:'is awarded that is not fixedprice. required. 3 a contract is awarded without competition. required. 4 an order is issued',
3579:'under a new or existing single award idiq contract. required if order is made under a contract described in paragraph',
3580:'b2 or 3 of this section. 5 an order is issued under a new or existing multiple award idiq contract.',
3581:'required if one or both of the following conditions exist: i the order is not fixedprice. ii the order is',
3582:'awarded pursuant to an exception to the competition requirements applicable to the underlying vehicle e.g., award is made pursuant to',
3583:'an exception to the fair opportunity process. 6 a modification is issued. required if modification is madei to a contract',
3584:'described in b2 or 3 of this section; or ii to an order requiring posting as described in b4 or',
3585:'5 of this section. 7 a contract or order is awarded pursuant to a small business contracting authority e.g., sba’s',
3586:'section 8a program. required if one or both of the following conditions exist: i the contract or order is not',
3587:'fixedprice; ii the contract or order was not awarded using competition e.g., a noncompetitive 8a award. c contracting officers shall',
3588:'usethe instructions availablein therecovery faqs under buyers/engineers at the gpe https://www.sam.gov to identify actions funded in whole or in part',
3589:'by the recovery act. part 6 competition requirements sec. 6.000 scope of part. 6.001 applicability. 6.002 limitations. 6.003 [reserved] subpart',
3590:'6.1 full and open competition 6.100 scope of subpart. 6.101 policy. 6.102 use of competitive procedures. subpart 6.2 full and',
3591:'open competition after exclusion of sources 6.200 scope of subpart. 6.201 policy. 6.202 establishing or maintaining alternative sources. 6.203 setasides',
3592:'for small business concerns. 6.204 section 8a competition. 6.205 setasides for hubzone small business concerns. 6.206 setasides for servicedisabled veteran',
3593:'owned small business sdvosb concerns eligible under the sdvosb program. 6.207 setasides for economically disadvantaged womenowned small business edwosb concerns',
3594:'or womenowned small business wosb concerns eligible under the wosb program. 6.208 setasides for local firms during a major disaster',
3595:'or emergency. 6.300 6.301 6.302 6.3021 6.3022 6.3023 6.3024 6.3025 6.3026 6.3027 6.303 6.3031 6.3032 6.304 6.305 6.401 6.501 6.502',
3596:'subpart 6.3 other than full and open competition scope of subpart. policy. circumstances permitting other than full and open competition.',
3597:'only one responsible source and no other supplies or services will satisfy agency requirements. unusualandcompelling urgency. industrial mobilization; engineering, developmental,',
3598:'or research capability; or expert services. international agreement. authorized or required by statute. nationalsecurity. public interest. justifications. requirements. content. approval',
3599:'of the justification. availability ofthe justification. subpart 6.4 sealed bidding and competitive proposals sealed bidding and competitive proposals. subpart 6.5',
3600:'advocates for competition requirement. duties and responsibilities. this page intentionally left blank. subpart 6.1 full and open competition 6.102 6.000scope',
3601:'of part. this part prescribes policies and procedures to promote full and open competition in the acquisition process and to',
3602:'provide for full and open competition, full and open competition after exclusion of sources, other than full and open competition,',
3603:'and advocates for competition. this part does not deal with the results of competition e.g., adequate price competition, that are',
3604:'addressed in other parts e.g., part 15. 6.001 applicability. this part applies to all acquisitions except— a contracts awarded using',
3605:'the simplified acquisition procedures of part 13 but see 13.501 for requirements pertaining to sole source acquisitions of commercial products',
3606:'or commercial services, under subpart 13.5; b contracts awarded using contracting procedures other than those addressed in this part that',
3607:'are expressly authorized by statute; c contract modifications, that are within the scope of the contract, including the exercise of',
3608:'priced options that were evaluated as part of the original competition see 17.207f; d orders placed under requirements contracts or',
3609:'definitequantity contracts; e orders placed under indefinitequantity contracts that were entered into pursuant to this part when 1 the contract',
3610:'was awarded under subpart 6.1 or 6.2 and all responsible sources were realistically permitted to compete for the requirements contained',
3611:'in the order; or 2 the contract was awarded under subpart 6.3 and the required justification and approval adequately covers',
3612:'the requirements contained in the order; or f orders placed against task order and delivery order contracts entered into pursuant',
3613:'to subpart 16.5. 6.002limitations. no agency shall contract for supplies or services from another agency for the purpose of avoiding',
3614:'the requirements of this part. 6.003[reserved] subpart 6.1 full and open competition 6.100scope of subpart. this subpart prescribes the policy',
3615:'and procedures that are to be used to promote and provide for full and open competition. 6.101 policy. a 10',
3616:'u.s.c. 3201 and 41 u.s.c.3301 require, with certain limited exceptions see subpart 6.2 and 6.3, that contracting officers shall promote',
3617:'and provide for full and opencompetition insoliciting offers and awardinggovernmentcontracts. b contracting officersshallprovide for full and open competition through use',
3618:'ofthe competitive procedures contained in this subpart that are best suited to the circumstances of the contract action and consistent',
3619:'with the need to fulfill the government’s requirements efficiently 10 u.s.c. 3201 and 41 u.s.c. 3301. 6.102 use of competitive',
3620:'procedures. the competitive procedures available for use in fulfilling the requirement for full and open competition are as follows: a',
3621:'sealed bids. see 6.401a. b competitive proposals. see 6.401b. if sealed bids are not appropriate under paragraph a of this',
3622:'section, contracting officers shall request competitive proposals or use theother competitive procedures under paragraphc or d of this section. c',
3623:'combination of competitive procedures. ifsealed bids are notappropriate, contractingofficers may use any combination of competitive procedures e.g., twostep sealed bidding.',
3624:'d other competitive procedures. 1 selection of sources for architectengineer contracts in accordance with the provisions of 40 u.s.c. 1102',
3625:'et seq. is a competitive procedure see subpart 36.6 for procedures. 2 competitive selection of basic and applied research and',
3626:'that part of development not related to the development of a specific system or hardware procurement is a competitive procedure',
3627:'if award results from federal acquisition regulation i a broad agency announcement that is general in nature identifying areas of',
3628:'research interest, including criteria for selecting proposals,and soliciting the participation of all offerors capable ofsatisfying thegovernment’s needs; and iiapeer or',
3629:'scientific review. 3 use of multiple award schedules issued under the procedures established by the administrator of general services consistent',
3630:'with the requirement of 41 u.s.c. 1523a for the multiple award schedule program of the general services administration is a',
3631:'competitive procedure. subpart 6.2 full and open competition after exclusion of sources 6.205 subpart 6.2 full and open competition after',
3632:'exclusion of sources 6.200scope of subpart. this subpart prescribes policies and procedures for providing for full and open competition after',
3633:'excluding one or more sources. 6.201 policy. acquisitions made under this subpart require use of the competitive procedures prescribed in',
3634:'6.102. 6.202 establishing or maintainingalternative sources. a agencies may exclude a particular source from a contract action in order to',
3635:'establish or maintain an alternative source or sources for the supplies or services being acquired if the agency head determines',
3636:'that to do so would 1 increase or maintain competition and likely result in reduced overall costs for the acquisition,',
3637:'or for any anticipated acquisition; 2 be in the interest of national defense in havinga facility or a producer, manufacturer,',
3638:'or other supplier available for furnishing the suppliesor services in case ofa national emergency or industrial mobilization; 3 be in',
3639:'the interest of national defense in establishing or maintaining an essential engineering, research, or development capability to be provided by',
3640:'an educational or other nonprofit institution or a federally funded research and development center; 4 ensure the continuous availability of',
3641:'a reliable source of supplies or services; 5 satisfy projected needs based on a history of high demand; or 6',
3642:'satisfy a criticalneedformedical,safety, or emergency supplies. b 1 every proposed contract action under the authority of paragraph a of this',
3643:'section shall be supported by a determination and findings d&f see subpart 1.7 signed by the head of the agency',
3644:'or designee. this d&f shall not be made on a class basis. 2 technical and requirements personnel are responsible for',
3645:'providingall necessary data to supporttheir recommendation to exclude a particular source. 3 when the authority in paragraph a1 of this',
3646:'section is cited, the findings shall include a description of the estimated reduction in overall costs and how the estimate',
3647:'was derived. 6.203setasides for small business concerns. a to fulfill the statutory requirements relating to small business concerns, contracting officersmay',
3648:'set aside solicitations to allow only such business concerns to compete. this includes contract actions conducted under the small business',
3649:'innovation research program established under pub.l.97219. b no separate justification or determination and findings is required under this part to',
3650:'set aside a contract action for small business concerns. c subpart 19.5 prescribes policies and procedures that shall be followed',
3651:'with respect to setasides. 6.204section 8a competition. a to fulfill statutory requirements relating to section 8a of the small businessact,',
3652:'asamended by public law 100656, contracting officers may limit competition to eligible 8a participants see subpart 19.8. b no separate',
3653:'justification or determination and findings is required under this part to limit competition to eligible 8a participants. but see 6.3025',
3654:'and 6.3031 for sole source 8a awards over $25 million. 6.205setasides for hubzone small business concerns. a to fulfill the',
3655:'statutory requirements relating to the hubzone act of 1997 15 u.s.c. 631 note, contracting officers may set aside solicitations to',
3656:'allow only hubzone small business concerns to compete see 19.1305. b no separate justification or determination and findings is required',
3657:'under this part to set aside a contract action for hubzone small business concerns. federal acquisition regulation 6.206 setasides for',
3658:'servicedisabledveteranowned small business sdvosb concernseligibleunder the sdvosb program. a to fulfill the statutory requirements relating to the veterans benefits act',
3659:'of2003 15 u.s.c. 657f, contracting officers may setaside solicitations to allow only servicedisabled veteranowned small business concerns eligible under the',
3660:'sdvosb program to compete see 19.1405. b no separate justification or determination and findings are required under this part to',
3661:'set aside a contract action for servicedisabled veteranowned small business concerns eligible under the sdvosb program. 6.207setasides for economically disadvantaged',
3662:'womenowned small business edwosb concerns or womenowned smallbusiness wosb concerns eligible under the wosb program. a to fulfill the statutory',
3663:'requirements relating to 15 u.s.c. 637m, contractingofficers may setaside solicitations for only edwosb concerns or wosb concerns eligible under the',
3664:'wosb program see 19.1505. b no separate justification or determination and findings is required under this part to set aside',
3665:'a contract action for edwosb concerns or wosb concerns eligible under the wosb program. 6.208 setasides for local firms during',
3666:'a major disaster or emergency. a to fulfill the statutory requirements relating to 42 u.s.c. 5150, contracting officersmay set aside',
3667:'solicitations to allow only offerors residing or doing business primarilyin the area affected by such major disaster or emergency to',
3668:'compete see subpart 26.2. b no separate justification or determination and findings is required under this part to set aside',
3669:'a contract action. the setaside area specified by the contractingofficer shall be a geographic area withinthe area identified in apresidential',
3670:'declarationsof major disaster or emergencyand any additional geographic areas identified by the department of homeland security. subpart 6.3 other than',
3671:'full and open competition 6.3021 subpart 6.3 other than full and open competition 6.300scope of subpart. this subpart prescribes policies',
3672:'and procedures, and identifies the statutory authorities, for contracting without providing for full and open competition. 6.301 policy. a 41',
3673:'u.s.c.3304 and 10 u.s.c. 3204 each authorize, under certain conditions, contracting without providing for full and open competition. the department',
3674:'of defense, coast guard, and national aeronautics and space administration are subject to “ 10 u.s.c. 3204. other executive agencies',
3675:'are subject to 41 u.s.c. 3304. contracting without providing for full and open competition or full and open competition after',
3676:'exclusion of sources is a violation of statute, unless permitted by one of the exceptions in 6.302. b each contract',
3677:'awarded without providing for full and open competition shall contain a reference to the specific authorityunder which it was soawarded.',
3678:'contracting officers shall usethe u.s. codecitation applicable to theiragency. see 6.302. c contracting without providing for full and open competition',
3679:'shall not be justified on the basis of 1 a lack of advance planning by the requiring activity; or 2',
3680:'concerns related to the amount of funds available e.g., funds will expire to the agency or activity for the acquisition',
3681:'of supplies or services. d when not providing for full and open competition, the contracting officer shall solicit offers from',
3682:'as many potential sources as is practicable under the circumstances. e for contracts under this subpart,the contracting officershalluse the contracting',
3683:'procedures prescribed in 6.102a or b, if appropriate, or any other procedures authorized by this regulation. 6.302 circumstances permitting otherthan',
3684:'fulland open competition. the following statutory authorities including applications and limitations permit contracting without providing for full and open competition.',
3685:'requirements for justifications to support the use of these authorities are in 6.303. 6.3021 onlyone responsible sourceand noother supplies or',
3686:'services will satisfy agency requirements. a authority. 1 citations: 10 u.s.c. 3204a1 or 41 u.s.c. 3304a1. 2 when the supplies',
3687:'or services required bythe agency are available from only one responsible source, or, for dod, nasa, and the coast guard,',
3688:'from only one or a limited number of responsible sources, and no other type of supplies or services will satisfy',
3689:'agency requirements, full and opencompetition need not beprovidedfor. i supplies or services may be considered to be available from only',
3690:'one source if the source has submitted an unsolicited research proposal that a demonstrates a unique and innovative concept see',
3691:'definition at 2.101,or, demonstrates a uniquecapability of the source to provide the particular research services proposed; b offers a concept',
3692:'or servicesnot otherwise available to thegovernment; and c does not resemble the substance of a pending competitive acquisition. see 10',
3693:'u.s.c. 3204ba and 41 u.s.c. 3304b1. ii supplies may be deemed to be available only from the original source in',
3694:'the case of a followon contract for the continued development or production of a major system or highly specialized equipment,',
3695:'including major components thereof, when it is likely that award to any other source would result in a substantial duplication',
3696:'of cost to the government that is not expected to be recovered through competition; or b unacceptabledelays in fulfilling the',
3697:'agency’s requirements. see 10 u.s.c. 3204bb or 41 u.s.c. 3304b 2. iii for dod, nasa, and the coast guard, services',
3698:'may be deemed to be available only from the original source in the case of followon contracts for the continued',
3699:'provision of highly specialized services when it is likely that award to any other source would result in a substantial',
3700:'duplication of cost to the government that is not expected to be recovered through competition; or b unacceptabledelays in fulfilling',
3701:'the agency’s requirements. see 10 u.s.c. 3204bb. federal acquisition regulation b application. this authority shall be used, if appropriate, in',
3702:'preference to the authority in 6.3027; it shall not be used when any of the other circumstances is applicable. use',
3703:'of this authority may be appropriate in situations such as the following these examples are not intended to be all',
3704:'inclusive and do not constitute authority in and of themselves: 1 when there is a reasonable basis to conclude thatthe',
3705:'agency’s minimum needs canonlybe satisfied by i unique supplies or services available from only one source or only one supplier',
3706:'with unique capabilities; or ii for dod, nasa, and the coast guard, unique supplies or services available from only one',
3707:'or a limited number of sources or from only one or a limited number of suppliers with unique capabilities. 2',
3708:'the existence of limited rights in data, patent rights, copyrights, or secret processes; the control of basic raw material;or similar',
3709:'circumstances, make the supplies and services available from only one source however, the mere existence of such rights or circumstances',
3710:'does not in and of itself justify the use of these authorities see part 27. 3 when acquiring utility services',
3711:'see 41.101, circumstances may dictate that only one supplier can furnish the service see 41.202; or when the contemplated contract',
3712:'is for construction of a part of a utility system and the utility company itself is the only source available',
3713:'to work on the system. 4 when the agency head has determined inaccordancewith the agency’s standardization program that only specified',
3714:'makesand models of technical equipmentand parts willsatisfy the agency’s needs for additionalunits orreplacement items, and only one source is available.',
3715:'c application for brandname descriptions. 1 an acquisition or portion of an acquisition that uses a brandname description or other',
3716:'purchase description to specify a particular brandname, product, or feature of a product, peculiar to one manufacturer i does not',
3717:'provide for full and open competition, regardless of the number of sources solicited; and ii shall be justified and approved',
3718:'in accordance with 6.303 and 6.304. aif only aportion of the acquisition is for a brandname product or itempeculiar to',
3719:'one manufacturer, the justification andapproval is tocover only the portion of the acquisition which is brandname or peculiar to one',
3720:'manufacturer. the justification should state it is covering only the portion of the acquisition which is brandname or peculiar to',
3721:'one manufacturer, and the approval level requirements will then only apply tothat portion; b the justification should indicate that the',
3722:'use of such descriptions in the acquisition or portion of an acquisition isessential to the government’srequirements, thereby precluding considerationof aproduct',
3723:'manufactured by another company; and c the justification shall be posted with the solicitation see 5.102a6. 2 brandname or equal',
3724:'descriptions, and other purchasedescriptions that permit prospective contractorsto offer products other than those specifically referenced by brandname, provide for full',
3725:'and open competition and do not require justifications and approvals to support their use. d limitations. 1 contracts awarded using',
3726:'this authority shall be supported by the written justifications and approvals described in 6.303 and 6.304. 2 for contracts awarded',
3727:'using this authority, thenotices required by 5.201 shall have been published and any bids, proposals, quotations, or capability statements must',
3728:'have been considered. 6.3022 unusual and compellingurgency. a authority. 1 citations: 10 u.s.c. 3204a2 or 41 u.s.c. 3304a2. 2 when',
3729:'the agency’s need for the supplies or services is of such an unusual and compelling urgency that the government would',
3730:'be seriously injured unless the agency is permitted to limit the number of sources from which it solicits bids or',
3731:'proposals, full and open competitionneednot be provided for. b application. this authority applies in those situations where 1 an unusual',
3732:'and compelling urgency precludesfull and open competition; and 2 delay in awardof acontract would result in seriousinjury, financial or other,',
3733:'to the government. c limitations. 1 contracts awarded using this authority shall be supported by the written justifications and approvals',
3734:'described in 6.303 and 6.304. these justifications may be made and approved after contract award when preparation and approval prior',
3735:'to award would unreasonably delay the acquisition. 2 this statutory authorityrequiresthat agencies shall request offers from as many potential sourcesas',
3736:'is practicable under the circumstances. d period of performance. 1 the total period of performance of a contract awarded or',
3737:'modified using this authority i may not exceed the time necessary ato meet the unusual and compellingrequirements of the work',
3738:'to be performed under the contract; and subpart 6.3 other than full and open competition 6.3023 b for the agency',
3739:'to enter into another contract for the required goods and services through the use of competitive procedures; and iimay not',
3740:'exceed one year, including all options, unless theheadof the agency determines that exceptional circumstances apply. thisdeterminationmust be documentedin thecontract file.',
3741:'2 ianysubsequentmodificationusingthisauthority,whichwillextendtheperiodofperformancebeyondoneyear underthis sameauthority, requires a separatedetermination. this determination is only required ifthe cumulative period of performanceusing this authority exceeds',
3742:'one year. this requirement does not applyto theexercise of options previously addressed in the determination required at paragraph d1ii of',
3743:'this section. ii the determination shall be approved at the same level as the level to which the agency head',
3744:'authority in paragraph d1iiof this section is delegated. 3 the requirements in paragraphs d1 and 2 of this section shall',
3745:'apply to any contract in an amount greater than the simplified acquisition threshold. 4 the determination of exceptional circumstances is',
3746:'in addition to the approval of the justification in 6.304. 5 the determination may be made after contract award when',
3747:'making the determination prior to award would unreasonably delay the acquisition. 6.3023 industrial mobilization; engineering,developmental, or researchcapability; or expert services.',
3748:'a authority. 1 citations: 10 u.s.c. 3204a3 or 41 u.s.c. 3304a3. 2 full and open competition need not be provided',
3749:'for when it is necessary to award the contract to a particular source or sources in order ito maintain a',
3750:'facility, producer, manufacturer, or other supplier availableforfurnishing suppliesor services in case of a national emergencyor to achieve industrialmobilization; iito establish',
3751:'ormaintainan essential engineering, research, or development capability to be provided by an educational or other nonprofit institution or a federally',
3752:'funded research and development center; or iii to acquire theservices of an expert or neutral person for any current or',
3753:'anticipated litigation or dispute. b application. 1 use of the authority in paragraph a2i of this section may be appropriate',
3754:'when it is necessary to ikeep vital facilities or suppliersin business ormakethem available inthe event of a national emergency; iitrain',
3755:'aselected supplier in the furnishing of criticalsupplies orservices, prevent the loss of a suppliers ability and employees skills, or maintain',
3756:'active engineering, research, or development work; iii maintain properly balanced sources of supply for meeting the requirements of acquisition programs',
3757:'in the interest of industrial mobilization when the quantity required issubstantially largerthan the quantity thatmust be awardedin order to meet',
3758:'the objectivesof this authority, that portion not required to meet such objectives will be acquired by providing for full and',
3759:'open competition, as appropriate, under this part; iv create or maintain the required domestic capability for production of critical supplies',
3760:'by limiting competition to items manufactured in a the united states or its outlying areas; or b the united states,',
3761:'its outlying areas, or canada. v continue in production, contractors that are manufacturing critical items, where there would otherwise be',
3762:'a break in production; or vi divide current production requirements among two or more contractors to provide for an adequate',
3763:'industrial mobilization base. 2 use of the authority in paragraph a2ii of this section may be appropriate when it is',
3764:'necessary to i establish or maintain an essential capability for theoretical analyses, exploratory studies, or experiments in any field of',
3765:'science or technology; ii establish or maintain an essential capability for engineering or developmental work calling for the practical application',
3766:'of investigative findings and theories of a scientific or technical nature; or iii contract for supplies or services as are',
3767:'necessary incident to paragraph b2i or ii of this section. 3 use of the authority in paragraph a2iii of this',
3768:'subsection may be appropriate when it is necessary to acquire the services of either i an expert to use, in',
3769:'any litigation or dispute including any reasonably foreseeable litigation or dispute involving thegovernment in any trial, hearing, orproceeding before any',
3770:'court,administrativetribunal, or agency, whether or not the expert is expected to testify. examples of suchservicesinclude, but are not limitedto: federal',
3771:'acquisition regulation a assisting the government in the analysis, presentation, or defense of any claim or request for adjustment to',
3772:'contract terms and conditions, whether asserted by a contractor or the government, which is in litigation or dispute, or is',
3773:'anticipated to result in dispute or litigation before any court, administrative tribunal, or agency; or b participating in any part',
3774:'of an alternative dispute resolution process, including but not limited to evaluators, fact finders, or witnesses, regardless of whether the',
3775:'expert is expected to testify; or ii a neutral person, e.g., mediators or arbitrators, to facilitate the resolution of issues',
3776:'in an alternative dispute resolution process. c limitations. contracts awarded using this authority shall be supported by the written justifications',
3777:'and approvals described in 6.303 and 6.304. 6.3024 internationalagreement. a authority. 1 citations: 10 u.s.c. 3204a4 or 41 u.s.c. 3304a4.',
3778:'2 full and open competition need not be provided for when precluded by the terms of an international agreement or',
3779:'a treaty betweenthe united states and a foreign government or international organization, or the written directions of a foreign government',
3780:'reimbursing the agency for the cost of the acquisition of the supplies or services for such government. b application. this',
3781:'authority may be used in circumstances such as 1 when a contemplated acquisition is to be reimbursed by a foreign',
3782:'country that requires that the product be obtained from aparticular firm asspecified in official writtendirection such as a letter of',
3783:'offer and acceptance; or 2 when a contemplated acquisition is for services to be performed, or supplies to be used,',
3784:'in the sovereign territory of another country and the terms of a treaty or agreement specify or limit the sources',
3785:'to be solicited. c limitations. except for dod, nasa, and the coast guard, contracts awarded using this authority shall be',
3786:'supported by written justifications and approvals described in 6.303 and 6.304. 6.3025 authorized orrequired by statute. a authority. 1 citations:',
3787:'10 u.s.c. 3204a5 or 41 u.s.c. 3304a5. 2 full and open competition need not be provided for when– i a',
3788:'statute expressly authorizes or requires that the acquisition be made through another agency or from a specified source; or iithe',
3789:'agency’s need is for a brandname commercial productforauthorized resale. b application. this authority may be used when statutes, such as',
3790:'the following, expressly authorize or require that acquisition be made from a specified source or through another agency: 1 federal',
3791:'prison industries unicor 18 u.s.c. 4124 see subpart 8.6. 2 qualified nonprofit agencies for the blind or other severely disabled',
3792:'41 u.s.c. chapter 85, committee for purchase from people who are blind or severely disabled see subpart 8.7. 3 government',
3793:'printing and binding 44 u.s.c. 501504,1121see subpart 8.8. 4 sole source awards under the 8a program 15 u.s.c. 637, but',
3794:'see 6.303 for requirements for justification and approval of solesource 8a awards over $25 million. see subpart 19.8. 5 sole',
3795:'source awards under the hubzone act of 199715 u.s.c. 657a see 19.1306. 6 sole source awards under the veterans benefits',
3796:'act of 2003 15 u.s.c. 657f. 7 sole source awards under the wosb program– 15 u.s.c. 637m see 19.1506. c',
3797:'limitations. 1 this authority shall not be used when a provision of law requires an agency to award a new',
3798:'contract to a specified nonfederal government entity unless the provision of law specifically— i identifies the entity involved; ii refers',
3799:'to 10 u.s.c. 3201e for armed services acquisitions or 41 u.s.c. 3105 for civilian agency acquisitions; and iii states that',
3800:'award to that entity shall be made in contravention of the meritbased selection procedures in 10 u.s.c. 2304k or 41',
3801:'u.s.c. 3105, as appropriate. however, this limitation doesnot apply– a when the work provided for in the contract is a',
3802:'continuation of the work performed by the specified entity under a preceding contract; or b toanycontract requiringthe national academy ofsciencesto',
3803:'investigate, examine, or experiment upon any subject of science or art of significance to an executive agency and to report',
3804:'on those matters to the congress or any agency of the federal government. subpart 6.3 other than full and open',
3805:'competition 6.3031 2 contracts awarded using this authority shall be supported by the written justifications and approvals described in 6.303',
3806:'and 6.304, except for– i contracts awarded under a2ii or b2 of this section; ii contracts awarded under a2i of',
3807:'this section when the statute expressly requires that the procurement be made from a specified source. justification and approval requirements',
3808:'apply when the statute authorizes, but does not require, that the procurement be made from a specified source; or iii',
3809:'contracts less than or equal to $25 million awarded under b4 of this section. 3 the authority in a2ii of',
3810:'this section may be used only for purchases of brand name commercial products for resale through commissaries or other similar',
3811:'facilities. ordinarily, these purchases will involve articles desired or preferred by customers of the selling activities but see 6.301d. 6.3026',
3812:'national security. a authority. 1 citations: 10 u.s.c. 3204a6 or 41 u.s.c. 3304a6. 2 full and open competition need notbe',
3813:'provided for when the disclosure of the agency’s needs wouldcompromise the national security unless the agency is permitted to limit',
3814:'the number of sources from which it solicits bids or proposals. b application. this authority maybe usedforanyacquisition when disclosure ofthe',
3815:'government’s needs would compromise the national security e.g., would violate security requirements; it shall not be used merely because the',
3816:'acquisition is classified, or merely because access to classified matter will be necessary to submit a proposal or to perform',
3817:'the contract. c limitations. 1 contracts awarded using this authority shall be supported by the written justifications and approvals described',
3818:'in 6.303 and 6.304. 2 see 5.202a1 for synopsis requirements. 3 this statutory authorityrequiresthat agencies shall request offers from as',
3819:'many potential sourcesas is practicable under the circumstances. 6.3027 public interest. a authority. 1 citations: 10 u.s.c. 3204a7 or 41',
3820:'u.s.c. 3304a7. 2 full and open competition need not be provided for when the agency head determines that it is',
3821:'not in the public interest in the particular acquisition concerned. b application. this authority may be used when none of',
3822:'the other authorities in 6.302 apply. c limitations. 1 a written determination to use this authority shall be made in',
3823:'accordance with subpart 1.7, by ithe secretary of defense,the secretary of the army,the secretary of the navy,the secretary of the',
3824:'air force, the secretary of homeland security for the coast guard, or the administrator of the national aeronautics and space',
3825:'administration; or iithe head of any other executive agency. this authority may notbe delegated. 2 the congress shall be notified',
3826:'in writing of such determination not less than 30 days before award of the contract. 3 if required by the',
3827:'head ofthe agency, the contracting officer shall preparea justificationto support the determination under paragraph c1 of this subsection. 4 this',
3828:'determination and finding d&f shall not be made on a class basis. 6.303justifications. 6.3031 requirements. a a contractingofficer shall not',
3829:'commence negotiations for a sole source contract,commence negotiations for a contract resulting from an unsolicited proposal, or award any other',
3830:'contract without providing for full and open competition unless the contracting officer 1 justifies, if required in 6.302, the use',
3831:'of such actions in writing; 2 certifies the accuracy and completeness of the justification; and 3 obtains the approval required',
3832:'by 6.304. b the contractingofficer shall not award a solesource contract under the 8a authority 15 u.s.c. 637a for an',
3833:'amount exceeding $25 million unless 1 the contractingofficer justifies theuse of a solesource contract in writing in accordance with 6.3032;',
3834:'2 the justification is approved by the appropriate official designated at 6.304; and federal acquisition regulation 3 the justification and',
3835:'related information are made public after award in accordance with 6.305. c technical andrequirements personnelare responsible for providing and certifying',
3836:'as accurate and complete necessary data to support their recommendation for other than full and open competition. d justifications required',
3837:'by paragraph a of this section may be made on an individual or class basis. any justification for contracts awarded',
3838:'under the authority of 6.3027 shall only be made on an individual basis. whenever a justification is madeandapproved ona class',
3839:'basis, thecontracting officer must ensure that each contractaction taken pursuant to the authority of the class justification and approval is',
3840:'within the scope of the class justification and approval and shall document thecontract file for each contract action accordingly. e',
3841:'the justifications for contracts awarded under the authority cited in 6.3022 may be prepared and approved within a reasonable time',
3842:'after contract award when preparation and approval prior to award would unreasonably delay the acquisitions. 6.3032 content. a eachjustification shall',
3843:'contain sufficient facts and rationale to justify the use of thespecific authoritycited. b as a minimum, each justification, except those',
3844:'for solesource 8a contracts over $25 million see paragraph d of this section, shall include the following information: 1 identification',
3845:'ofthe agencyand the contracting activity, and specific identification of the document asa justification for other than full and open competition.',
3846:'2 nature and/or description of the action being approved. 3 a description of thesupplies orservicesrequired to meet the agency’sneeds including',
3847:'theestimated value. 4 an identification of the statutory authority permitting other than full and open competition. 5 a demonstration that',
3848:'the proposedcontractor’sunique qualifications or thenature of the acquisition requires use of the authority cited. 6 a description of efforts made',
3849:'to ensurethat offers are solicited from as many potential sources as is practicable, including whether a notice was or will',
3850:'be publicized as required by subpart 5.2 and, if not, which exception under 5.202 applies. 7 a determination by the',
3851:'contracting officer that the anticipated cost to the government willbe fair and reasonable. 8 a description of the market research',
3852:'conducted see part 10 and the results or a statement of the reason market research was not conducted. 9 any',
3853:'other facts supporting the use of other than full and open competition, such as: i explanation of why technical data',
3854:'packages, specifications, engineering descriptions, statements of work, or purchase descriptions suitable for full and open competition have not been developed',
3855:'or are not available. ii when 6.3021 is cited for followon acquisitions as described in 6.3021a2ii, an estimate of the',
3856:'cost to the government that would be duplicated and how the estimate was derived. iii when 6.3022 is cited, data,',
3857:'estimated cost, or other rationale as to the extent and nature of the harm to the government. 10 a listing',
3858:'of the sources, ifany, that expressed, in writing, an interestin the acquisition. 11 a statement ofthe actions,if any, the agency',
3859:'may take to removeor overcome any barriers tocompetition before any subsequent acquisition for the supplies or services required. 12 contractingofficer',
3860:'certificationthat thejustification is accurate and complete to the best of the contracting officer’s knowledge and belief. c each justification shall',
3861:'include evidence that any supporting data that is the responsibility of technical or requirements personnel e.g., verifying the government’sminimum needsor',
3862:'schedule requirements orotherrationale for other thanfull and open competition and which form a basis for the justification have been certified',
3863:'as complete and accurate by the technical or requirements personnel. d as a minimum, each justification for a solesource 8a',
3864:'contract over $25 million shall include the following information: 1 a description of the needs of the agency concerned for',
3865:'the matters covered by the contract. 2 a specification of the statutory provision providing the exception from the requirement to',
3866:'use competitive procedures in entering into the contract see 19.8051. 3 a determination that the use of a solesource contract',
3867:'is in the best interest of the agency concerned. 4 a determination that the anticipated cost of the contract will',
3868:'be fair and reasonable. 5 such other matters as the head of the agency concerned shall specify for purposes of',
3869:'this section. subpart 6.3 other than full and open competition 6.305 6.304 approvalof the justification. a except for paragraph b',
3870:'of this section, the justification for other than full and open competition shall be approved in writing 1 for a',
3871:'proposed contractnot exceeding $750,000, the contracting officer’s certificationrequired by 6.3032b12 will serve as approval unless a higher approving level is',
3872:'established in agency procedures. 2 for a proposed contract over $750,000 but not exceeding $15 million, by the advocate for',
3873:'competition for the procuring activity designated pursuant to 6.501or an official describedin paragraph a3 or4of this section. this authority is',
3874:'not delegable. 3 for a proposed contractover $15 million, butnot exceeding $75 million, or, for dod, nasa, and the coast',
3875:'guard, not exceeding$100 million, by the head of theprocuring activity, or a designee who iif amember of the armed forces,',
3876:'is a general or flag officer; or ii if a civilian, is serving in a position in a grade above',
3877:'gs15 under the general schedule or in a comparable or higher position under another schedule. 4 for a proposed contractover',
3878:'$75 million or, for dod, nasa, and the coast guard, over $100million,by the senior procurement executive of the agency designated',
3879:'pursuant to 41 u.s.c. 1702c in accordance with agency procedures.this authority is not delegable except in the case of the',
3880:'under secretary of defense for acquisition and sustainment, acting as the senior procurement executive for the department of defense. b',
3881:'any justification for a contract awarded under the authority of 6.3027, regardless of dollar amount, shall be considered approved when',
3882:'the determination required by 6.3027c1 is made. c a class justification for other than full and open competition shall be',
3883:'approved in writing in accordance with agency procedures. the approval level shall be determined by the estimated total value of',
3884:'the class. d the estimated dollar value of all options shall be included in determining the approval level of a',
3885:'justification. 6.305 availability of thejustification. a the agency shall make publicly available the justification required by 6.3031 as required by',
3886:'10 u.s.c. 3204f and 41 u.s.c. 3304f. except for the circumstances in paragraphs b and c of this section, the',
3887:'justification shall be made publicly available within 14 days after contract award. b in the case of a contract award',
3888:'permitted under 6.3022, the justification shall be posted within 30 days after contract award. c in the case of a',
3889:'brand name justification under 6.3021c, the justification shall be posted with the solicitation see 5.102a6. d the justifications shall be',
3890:'made publicly available 1 at the government point of entry gpe https://www.sam.gov. 2 on the website ofthe agency, whichmay provide',
3891:'access to the justifications by linking tothe gpe; and 3 must remain posted for a minimum of 30 days. e',
3892:'contracting officers shall carefully screen all justifications for contractor proprietary data and remove all such data, and such references and',
3893:'citations as are necessary to protect the proprietary data, before making the justifications available for public inspection. contracting officers shall',
3894:'also beguided by the exemptions to disclosure of informationcontained in the freedom of information act 5 u.s.c. 552 and the',
3895:'prohibitions against disclosure in 24.202 in determining whether the justification, or portions of it, are exempt from posting. although the',
3896:'submitter notice process set out in eo 12600, entitled predisclosurenotificationprocedures for confidential commercial information, does notapply, ifthe justification appears to',
3897:'containproprietary data,the contracting officer should provide the contractor that submitted the informationan opportunity to review the justification for proprietary data,',
3898:'before making the justification available for public inspection, redacted as necessary. this process must not prevent or delay the posting',
3899:'of thejustification inaccordancewith the timeframes required in paragraphs a through c. f the requirements of paragraphs a through d do',
3900:'not apply if posting the justification would disclose the executive agency’s needs and disclosure of such needs would compromise national',
3901:'security or create othersecurity risks. this page intentionally left blank. subpart 6.4 sealed bidding and competitive proposals 6.401 subpart 6.4',
3902:'sealed bidding and competitive proposals 6.401 sealedbiddingand competitive proposals. sealed bidding and competitive proposals, as described in parts 14 and',
3903:'15, are both acceptable procedures for use under subparts 6.1,6.2; and, when appropriate, under subpart 6.3. a sealed bids. see',
3904:'part 14forprocedures.contractingofficersshallsolicitsealedbidsif 1 timepermits thesolicitation, submission,andevaluation of sealed bids; 2 the award will be made on the basis of price',
3905:'and other pricerelated factors; 3 it is not necessary to conduct discussions with the responding offerors about theirbids; and 4',
3906:'there is a reasonable expectation of receiving more than one sealed bid. b competitive proposals. see part 15 for procedures.1contractingofficersmayrequestcompetitiveproposalsif',
3907:'sealed bids are not appropriate under paragraph a of this section. 2 because of differencesin areas such aslaw, regulations,and business',
3908:'practices, it is generally necessary to conduct discussions with offerors relative to proposed contractsto bemadeand performed outside the unitedstates and',
3909:'its outlying areas. competitive proposals will therefore be used for these contracts unless discussions are not required and the use',
3910:'of sealed bids is otherwise appropriate. this page intentionally left blank. subpart 6.5 advocates for competition 6.502 subpart 6.5 advocates',
3911:'for competition 6.501 requirement. as required by 41 u.s.c. 1705, the head of each executive agency shall designate an advocate',
3912:'for competition for the agency and for each procuring activity of the agency. the advocates for competitionshall a be in',
3913:'positions other than that of the agency senior procurement executive; b not be assigned any duties or responsibilities that are',
3914:'inconsistent with 6.502; and c beprovidedwith staffor assistance e.g., specialists in engineering, technical operations, contract administration, financial management, supply management,',
3915:'and utilization of small business concerns, as may be necessary to carry out the advocate’s duties and responsibilities. 6.502 duties',
3916:'and responsibilities. a agency and procuring activity advocates for competition are responsible for— 1 promoting the acquisition of commercial products',
3917:'and commercial services; 2 promoting full and open competition; 3 challenging requirements that are not stated in terms of functions',
3918:'to be performed, performance required, or essential physical characteristics; 4 challenging barriers to the acquisition of commercial products and commercial',
3919:'services; and 5 challenging barriers to full and open competition such as unnecessarily restrictive statements of work, unnecessarily detailed specifications,',
3920:'and unnecessarily burdensome contract clauses. b agency advocates for competition shall— 1 review the contracting operations of the agency and',
3921:'identify and report to the agency senior procurement executive and the chief acquisition officer– i opportunities and actions taken to',
3922:'acquire commercial products and commercial services to meet the needs of the agency; ii opportunities and actions taken to achieve',
3923:'full and open competition in the contracting operations of the agency; iii actions taken to challenge requirements that are not',
3924:'stated in terms of functions to be performed, performance required or essential physical characteristics; iv anycondition or action that has',
3925:'the effect of unnecessarily restricting the acquisition of commercial products or commercial services or unnecessarily restricting competition in the contract',
3926:'actions of the agency; 2 prepare and submit an annual reportto the agency seniorprocurement executive and the chiefacquisition officer in',
3927:'accordance with agency procedures, describing– isuch advocate’s activities under this subpart; ii new initiatives required to increase the acquisition of',
3928:'commercial products and commercial services; iii new initiatives required to increase competition; iv new initiatives to ensure requirements are stated',
3929:'in terms of functions to be performed, performance required or essential physical characteristics; v any barriers to the acquisition of',
3930:'commercial products, commercial services, or competition that remain; vi other ways in which the agency has emphasized the acquisition of',
3931:'commercial products, commercial services, and competition in areas such as acquisition training and research; and vii initiatives that ensure task',
3932:'and delivery orders over $1,000,000 issued under multiple award contracts are properly planned, issued, and comply with 8.405 and 16.505.',
3933:'3 recommend goals and plans for increasing competition on a fiscal year basis to the agency senior procurement executive and',
3934:'the chiefacquisitionofficer; and 4 recommend to the agency senior procurement executive and thechief acquisition officer a system of personal and',
3935:'organizationalaccountability for competition, which mayinclude the use of recognition and awards to motivate program managers, contracting officers, andothers in authority',
3936:'to promote competition in acquisition. this page intentionally left blank. part 7 acquisition planning sec. 7.000 scope of part. subpart',
3937:'7.3 contractor versus government performance subpart 7.1 acquisition plans 7.300 [reserved] 7.101 definitions. 7.301 definitions. 7.102 policy. 7.302 policy. 7.103',
3938:'agencyhead responsibilities. 7.303 [reserved] 7.104 general procedures. 7.304 [reserved] 7.105 contents of written acquisition plans. 7.305 solicitation provisions and contract',
3939:'clause. 7.106 additional requirements for major systems. 7.107 additional requirements for acquisitions subpart 7.4 equipment acquisition involving consolidation, bundling, or',
3940:'7.400 scope of subpart. substantial bundling. 7.401 acquisition considerations. 7.1071 general. 7.402 acquisition methods. 7.1072 consolidation. 7.403 general services administration',
3941:'assistance 7.1073 bundling. and omb guidance. 7.1074 substantial bundling. 7.404 contract clause. 7.1075 notifications. 7.1076 solicitation provision. subpart 7.5 inherently',
3942:'7.108 additional requirements for telecommuting. governmental functions 7.500 scope of subpart. subpart 7.2 planning for the purchase 7.501 [reserved] of',
3943:'supplies in economic quantities 7.502 applicability. 7.200 scope of subpart. 7.503 policy. 7.201 [reserved] 7.202 policy. 7.203 solicitation provision. 7.204',
3944:'responsibilities of contracting officers. this page intentionally left blank. subpart 7.1 acquisition plans 7.103 7.000scope of part. this part prescribes',
3945:'policies and procedures for a developing acquisition plans; b determining whether to use commercial or government resources for acquisition of',
3946:'supplies or services; c deciding whether it is more economical to lease equipment rather than purchase it; and d determining',
3947:'whether functions are inherently governmental. subpart 7.1 acquisition plans 7.101definitions. as used in this subpart acquisition streamlining means any effortthat',
3948:'results in more efficient and effective useof resources to design and develop, orproduce quality systems. this includes ensuring that only',
3949:'necessary and costeffective requirements are included, at the most appropriate time in the acquisition cycle, in solicitations and resulting contracts',
3950:'for the design, development, and production of new systems, or for modifications to existing systems that involve redesign of systems',
3951:'or subsystems. lifecycle cost means the total cost to the government of acquiring, operating, supporting, and if applicable disposing of',
3952:'the items being acquired. order means an order placed under a 1 federal supply schedule contract; or 2 taskordercontract ordeliveryorder',
3953:'contractawarded byanother agency, i.e., governmentwide acquisition contract or multiagency contract. planner means the designated person or officeresponsible for developingandmaintaining a',
3954:'written plan, orforthe planning function in those acquisitions not requiring a written plan. 7.102 policy. a agencies shall perform acquisition',
3955:'planning and conduct market research see part 10 for all acquisitions in order to promote and provide for— 1 acquisition',
3956:'of commercial products or commercial services, or to the extent that commercial products suitable to meetthe agency’s needs are not',
3957:'available, nondevelopmental items, tothe maximumextent practicable 10 u.s.c. 3453 and 41 u.s.c. 3307; and 2 full and open competition see',
3958:'part 6or,whenfullandopencompetitionisnotrequiredinaccordancewith part 6, to obtain competition to the maximum extent practicable, with due regard to the nature of the',
3959:'supplies or services to be acquired 10 u.s.c. 3206a1 and 41 u.s.c. 3306a1. 3 selection of appropriate contract type in',
3960:'accordance with part 16; and 4 appropriate consideration of the use of preexisting contracts, including interagency and intraagency contracts, to',
3961:'fulfill the requirement, before awarding new contracts. see 8.002 through 8.004 and subpart 17.5. b this planning shall integrate theefforts',
3962:'ofall personnel responsible for significant aspects of the acquisition. the purpose of this planning isto ensure that the governmentmeets its',
3963:'needs in the most effective, economical,andtimely manner. agencies that have a detailed acquisition planning system in place that generally meets',
3964:'the requirements of 7.104 and 7.105 need not revise their system to specifically meet all of these requirements. 7.103 agencyhead',
3965:'responsibilities. the agency head or a designee shall prescribe procedures f or the following: a promoting and providing for full',
3966:'and open competition see part 6or,whenfullandopencompetitionisnotrequired in accordance with part 6, for obtaining competition to the maximum extent practicable, with',
3967:'due regard to the nature of the supplies and services to be acquired 10 u.s.c. 3206a1 and 41 u.s.c. 3306a1.',
3968:'b encouraging offerors to supply commercialproducts orcommercial services, or to the extent that commercialproducts suitable, to meet the agency needs',
3969:'are not available, nondevelopmental items in response to agency solicitations 10 u.s.c. 3453 and 41 u.s.c. 3307. c ensuring thatacquisitionplannersaddress',
3970:'therequirementto specify needs, develop specifications, and to solicit offers in such a manner to promote and provide for full and',
3971:'open competition with due regard to the nature of the supplies and services to be acquired 10 u.s.c. 3206a1 and',
3972:'41 u.s.c. 3306a1. see part 6 and 10.002. federal acquisition regulation d ensuring that acquisition planners document the file to',
3973:'support the selection of the contract type in accordance with subpart 16.1. e establishing criteria and thresholds at which increasingly',
3974:'greater detail and formality in the planning process is required asthe acquisition becomes more complexand costly, including for costreimbursement and',
3975:'other highrisk contracts e.g., other than firmfixedprice contracts requiring a written acquisition plan. a written plan shall be prepared for',
3976:'cost reimbursement and other highrisk contracts other than firmfixedprice contracts, although written plans may be required for firmfixedprice contracts as',
3977:'appropriate. f ensuring that the statement of work is closely aligned with performance outcomes and cost estimates. g writingplans either',
3978:'ona systems basis, on anindividual contract basis, or on an individual order basis, depending upon the acquisition. h ensuring that',
3979:'the principles of this subpart are used, as appropriate, for those acquisitions that do not require a written plan as',
3980:'well as for those that do. i designating planners for acquisitions. jreviewing and approving acquisition plans and revisions tothese plans',
3981:'toensure compliance with farrequirements including 7.104 and part 16. for other than firmfixedprice contracts, ensuring that the plan is approved',
3982:'and signed at least one level above the contracting officer. k establishing criteria and thresholds at which designtocost and lifecyclecost',
3983:'techniques will be used. l establishing standard acquisition plan formats, if desired, suitable to agency needs. m waiving requirements of',
3984:'detail and formality, asnecessary,in planning for acquisitions having compressed delivery or performanceschedules because ofthe urgency of the need. n assuring',
3985:'that the contracting officer, priorto contracting, reviews: 1 the acquisition history of the supplies and services; and 2 a description',
3986:'of the supplies, including, when necessary for adequate description, a picture, drawing, diagram, or other graphic representation. o ensuring that',
3987:'agency planners include use of the metric system of measurement in proposed acquisitions in accordance with 15 u.s.c. 205b see',
3988:'11.002b and agency metric plans and guidelines. p ensuring that agency planners 1 comply with the policy in 11.002d regarding',
3989:'procurement of sustainable products and services as defined in 2.101 in accordance with subpart 23.1; 2 comply with the guiding',
3990:'principles for sustainable federal buildings and associated instructions guiding principles, for the design, construction, renovation, repair, or deconstruction of federal',
3991:'buildings see 36.104. the guiding principles can be accessed at https://www.sustainability.gov/pdfs/guidingprinciplesforsustainablefederalbuildings.pdf; and 3 require contractor compliance with federal environmental requirements,',
3992:'when the contractor is operating governmentowned facilities or vehicles, to the same extent as the agency would be required to',
3993:'comply if the agency operated the facilities or vehicles. q ensuring that acquisition planners specify needs and develop plans, drawings,',
3994:'work statements, specifications, or other product or service requirements e.g., help desks, call centers, training services, and automated selfservice technical',
3995:'support descriptions that address information and communication technology ict accessibility standards see 36 cfr 1194.1 in proposed acquisitions and that',
3996:'these standards are included in requirements planning see subpart 39.2. r making a determination, prior to issuance of a solicitation',
3997:'for advisory and assistance services involving the analysis and evaluation of proposals submitted in response toa solicitation, that a sufficient',
3998:'number of coveredpersonnel with the training and capability to perform an evaluation and analysis of proposals submitted in response to',
3999:'a solicitation are not readily available within the agency or from another federal agency in accordance with the guidelines at',
4000:'37.204. s ensuring that no purchase request is initiated or contract entered into that would result in the performance of',
4001:'an inherently governmental function by a contractor and that all contracts or orders are adequately managed so as to ensure',
4002:'effective official control overcontract ororder performance. t ensuring that knowledge gained from prior acquisitions is used to further refine requirements',
4003:'and acquisition strategies. for services, greater use of performancebased acquisition methods should occur for followon acquisitions. u ensuring that acquisition',
4004:'planners, to the maximum extent practicable 1 structure contract requirements to facilitate competition by and among small business concerns; and',
4005:'2 avoid unnecessary and unjustified bundling that precludes small business participation as contractorssee 7.107 15 u.s.c. 631j. subpart 7.1 acquisition',
4006:'plans 7.105 v ensuring that agency planners on information technology acquisitions comply with the capital planning and investment control requirements',
4007:'in 40 u.s.c. 11312 and omb circulara130. w ensuring that agency planners on information technology acquisitions comply with the information',
4008:'technology security requirements in the federal information security managementact44u.s.c. 3544, omb’s implementing policies including appendix iii of omb circular a130,',
4009:'and guidance and standardsfrom the departmentof commerce’s national institute of standards and technology. x ensuring that agency planners use project',
4010:'labor agreements when required see subpart 22.5 and 36.104 policy.. y ensuring that contractingofficers consult the disasterresponseregistry via https://www.sam.gov, search',
4011:'records, advanced search, disaster response registry search as a part of acquisition planning for debris removal, distribution of supplies, reconstruction,and',
4012:'otherdisaster or emergency relief activities insidethe united states and outlyingareas. see 26.205. 7.104 general procedures. a acquisition planning should begin',
4013:'as soon as the agency need is identified, preferably well in advance of the fiscal year in which contract award',
4014:'or order placement is necessary. in developing theplan,the plannershallform a teamconsisting of all those who will be responsible for significant',
4015:'aspects of the acquisition, such as contracting, small business, fiscal, legal, and technical personnel. if contract performance is to be',
4016:'in a designated operational area or supporting a diplomatic or consular mission, the planner shall also consider inclusion of the',
4017:'combatant commander or chief of mission, as appropriate. the planner should review previous plans for similar acquisitions and discuss them',
4018:'with the key personnel involved in those acquisitions. atkeydates specified in the plan or whenever significant changes occur, and no',
4019:'less often than annually, the planner shall review the plan and, if appropriate, revise it. b requirements and logisticspersonnel should',
4020:'avoid issuing requirements on an urgent basis orwith unrealistic delivery or performance schedules, since it generally restricts competition and increases',
4021:'prices. early in the planning process, theplanner should consult with requirements and logistics personnelwho determinetype,quality, quantity, and delivery requirements. c',
4022:'theplanner shall coordinate with and securethe concurrence of the contracting officer in all acquisition planning. if the plan proposes using',
4023:'other than full and open competition when awarding a contract, the plan shall also be coordinated with the cognizant advocate',
4024:'for competition. d the planner shall coordinate the acquisition plan or strategy with the cognizant small business specialist when the',
4025:'strategy contemplates an acquisition meeting the thresholds in 7.1074 for substantial bundling unless the contract or task order or delivery',
4026:'order is totally setaside for small business under part 19. the small business specialist shall notify the agency officeof small',
4027:'and disadvantagedbusiness utilization or the office of small business programs if the strategy involves 1 bundling that is unnecessary or',
4028:'unjustified; or 2 bundled or consolidated requirements not identified as such by the agency see 7.107. e the planner shall',
4029:'ensure that a cor is nominated as early as practicable in the acquisition process by the requirements official or inaccordancewith',
4030:'agency procedures. the contractingofficer shall designate and authorize a cor as earlyas practicable after the nomination. see 1.6022d. 7.105contents of',
4031:'written acquisition plans. in order to facilitate attainment of the acquisition objectives, the plan must identify those milestones at which',
4032:'decisions should be made see paragraph b21 of this section. the plan must address all the technical, business, management, and',
4033:'other significant considerations thatwill control the acquisition. the specific contentof plans willvary, depending on the nature, circumstances, and stage of',
4034:'the acquisition. in preparing the plan, the planner must follow the applicable instructions in paragraphs a and b of thissection,',
4035:'togetherwith the agency’s implementing procedures. acquisitionplans for service contracts or orders must describe the strategies for implementing performancebased acquisition methods',
4036:'or must provide rationale for not using those methods see subpart 37.6. a acquisition background and objectives1 statement of need.',
4037:'introduce the plan by a brief statement of need. summarize the technical and contractual history of the acquisition. discuss feasible',
4038:'acquisition alternatives, the impact of prior acquisitions onthose alternatives, and any relatedinhouse effort. 2 applicable conditions. state all significant conditions',
4039:'affecting the acquisition,such as i requirements for compatibility with existing or future systems or programs; and ii any known cost,',
4040:'schedule, and capability or performance constraints. federal acquisition regulation 3 cost. set forth the established cost goals for the acquisition',
4041:'and the rationale supporting them, and discuss related cost concepts to be employed, including, as appropriate, the following items: i',
4042:'lifecycle cost. discuss how lifecycle cost will be considered. if it is not used, explain why. if appropriate, discuss the',
4043:'cost model used to develop lifecyclecost estimates. ii designtocost. describe the designtocost objectives and underlying assumptions, including the rationale for',
4044:'quantity, learningcurve, and economic adjustment factors. describe how objectives are to be applied, tracked, and enforced. indicate specific related solicitation',
4045:'and contractual requirements to be imposed. iii application of shouldcost. describe the application of shouldcost analysis to the acquisition see',
4046:'15.4074. 4 capability or performance. specify the required capabilities or performance characteristics of the supplies or the performance standards of',
4047:'the services being acquired and state how they are related to the need. 5 delivery or performanceperiod requirements. describe the',
4048:'basis for establishing delivery or performanceperiod requirements see subpart 11.4. explainandprovidereasonsforanyurgencyifitresultsinconcurrencyofdevelopmentand production or constitutes justification for not providing for full',
4049:'and open competition. 6 tradeoffs. discuss theexpected consequences of tradeoffs amongthe various cost, capability or performance, and schedule goals. 7',
4050:'risks. discuss technical, cost, and schedule risks and describewhat efforts are planned or underway to reducerisk and the consequences offailureto',
4051:'achieve goals. if concurrency of development and production is planned,discuss its effects on cost and schedule risks. 8 acquisition streamlining.',
4052:'if specifically designated by the requiring agency as a program subject to acquisition streamlining, discuss plans and procedures to i',
4053:'encourage industry participation by using draft solicitations, presolicitation conferences, and other means of stimulating industry involvement during design and development',
4054:'in recommending the most appropriate application and tailoring of contract requirements; iiselect and tailor only thenecessary and costeffective requirements; and',
4055:'iii state the timeframe for identifying which of those specifications and standards, originally provided for guidance only,shallbecome mandatory. b plan',
4056:'of action— 1 sources. i indicate the prospective sources of supplies or services that can meet the need. ii consider',
4057:'required sources of supplies or services see part 8 and sources identifiable through databases including the governmentwide database of contracts',
4058:'and other procurement instruments intended for use by multiple agencies available at https://www.contractdirectory.gov/contractdirectory/. iii include consideration of small business, veteranowned',
4059:'small business, servicedisabled veteranowned small business, hubzone small business, small disadvantaged business, and womenowned small business concerns see part 19.',
4060:'iv consider the impact of any consolidation or bundling that might affect participation of smallbusinesses inthe acquisition see 7.107 15',
4061:'u.s.c. 644e and 15 u.s.c. 657q. when the proposed acquisition strategy involves bundling, identify the incumbentcontractors and contractsaffected by thebundling.',
4062:'v address the extent and results of the market research and indicate their impact on the various elements of the',
4063:'plan see part 10. 2 competition. i describe how competition will be sought, promoted, and sustained throughout the course of',
4064:'the acquisition. if full and open competition is not contemplated, cite the authority in 6.302, discuss the basis for the',
4065:'application of that authority, identifythe sources, and discusswhy full and open competitioncannot be obtained. ii identify the major components or',
4066:'subsystems. discuss component breakout plans relative to these major components or subsystems. describe how competition will be sought, promoted, and',
4067:'sustained for these components or subsystems. iii describe how competition will be sought, promoted, and sustained for spares and repair',
4068:'parts. identify the key logistic milestones, such as technical data delivery schedules and acquisition method coding conferences, that affect competition.',
4069:'iv when effective subcontract competition isboth feasible and desirable, describe how such subcontract competition will be sought, promoted, and sustained',
4070:'throughout the course of the acquisition. identify any known barriers to increasing subcontract competition and address how to overcome them.',
4071:'3 contract type selection. discuss the rationale for the selection of contract type. for other than firmfixedprice contracts, see 16.103d',
4072:'for additional documentation guidance. acquisition personnel shall document the acquisition plan with findings that detail the particular facts and circumstances,',
4073:'e.g., complexity of the requirements, uncertain duration subpart 7.1 acquisition plans 7.105 of the work, contractor’s technical capability and financial',
4074:'responsibility, oradequacy of the contractor’s accounting system, and associated reasoning essentialto support the contract type selection. the contracting officershallensure that',
4075:'requirements and technical personnel provide the necessary documentation to support the contract type selection. 4 sourceselection procedures. discuss the source',
4076:'selection procedures for the acquisition, including the basis for using a reverse auction when applicable, the timing for submission and',
4077:'evaluation of proposals, and the relationship of evaluation factors to the attainment of the acquisition objectives see subpart 15.3. whenanevmsisrequiredseefar',
4078:'34.202a and a preaward ibr is contemplated, the acquisition plan must discuss i how the preaward ibr will be considered',
4079:'in the source selection decision; iihow it will be conducted in the source selection processsee far 15.306; and iii whether',
4080:'offerors will be directly compensated for the costs of participating in a preaward ibr. 5 acquisition considerations. i for each',
4081:'contract contemplated, discuss use of multiyear contracting, options, or other special contracting methods see part 17;anyspecialclauses,specialsolicitationprovisions,orfardeviations required see subpart 1.4;',
4082:'whether sealed bidding or negotiation will be used and why; whether equipment will be acquired by lease or purchase see',
4083:'subpart 7.4 and why; and any other contracting considerations. provide rationale if a performance based acquisition will not be used',
4084:'or if a performancebased acquisition for services is contemplated on other than a firm fixedprice basis see 37.102a, 16.103d, and',
4085:'16.505a3. ii for each order contemplated, discuss a for information technology acquisitions, how the capital planning and investment control requirements',
4086:'of 40u.s.c. 11312andombcirculara130willbemetsee 7.103v and part 39; and b why this action benefits the government, such as when 1 the',
4087:'agency can accomplish itsmissionmore efficiently and effectively e.g., take advantage of the servicing agency’s specialized expertise; or gain access to',
4088:'contractors with needed expertise;or 2 ordering through an indefinite delivery contract facilitates access to small business concerns, including small disadvantaged',
4089:'business concerns, 8a contractors, womenowned small business concerns, hubzone small business concerns, veteranowned small business concerns, or servicedisabled veteranowned small',
4090:'business concerns. iii for information technology acquisitions using internet protocol, discuss whether the requirements documents include the internet protocol compliance',
4091:'requirements specified in 11.002g or a waiver of these requirements has been grantedby the agency’s chief information officer. iv for',
4092:'information technology acquisitions, identify the applicable ict accessibility standards. when an exception or an exemption to the standards applies, the',
4093:'plan must list the exception and/or exemption, and the items to which it applies. for those items listing 39.204 or',
4094:'39.205a1 or 2, the corresponding accessibility standard does not need to be identified. see subpart 39.2 and 36cfr1194.1. v for',
4095:'each contract and order contemplated, discuss the strategy to transition to firmfixedprice contracts to the maximum extent practicable. during the',
4096:'requirements development stage, consider structuring the contract requirements, i.e., line items, in a manner that will permit some, if not',
4097:'all, of the requirements to be awarded on a firmfixedprice basis, either in the current contract, future option years, or',
4098:'followon contracts. this will facilitate an easier transition to a firmfixedprice contract, because a cost history will be developed for',
4099:'a recurring definitive requirement. 6 budgeting and funding. include budget estimates, explain how they were derived, and discuss the schedule',
4100:'for obtaining adequate funds at the time they are required see subpart 32.7. 7 product or service descriptions. explain the',
4101:'choice of product or service description types including performance based acquisition descriptions to be used in the acquisition. 8 priorities,',
4102:'allocations, and allotments. when urgency of the requirement dictates a particularly short delivery or performanceschedule,certain priorities may apply. if so,specify',
4103:'the method for obtaining and using priorities, allocations, and allotments, and the reasons for them see subpart 11.6. 9 contractor',
4104:'versus government performance. address the consideration given to omb circularno.a76 see subpart 7.3. 10 inherently governmental functions. address the consideration',
4105:'given to subpart 7.5. 11 management information requirements. discuss, as appropriate, what management system will be used by thegovernment to',
4106:'monitor the contractor’s effort. ifan earnedvalue management system is to be used, discussthe methodology the government will employ to analyze',
4107:'and use the earned value data to assess and monitor contract performance. in addition, discusshow the offeror’s/contractor’s evms will be',
4108:'verified for compliance with the electronic industries alliance standard 748 eia748, earned value management systems, and thetiming and conduct ofintegrated',
4109:'baseline reviews whether prior to or post award. see 34.202. federal acquisition regulation 12 make or buy. discuss any consideration',
4110:'given to makeorbuy programs see 15.4072. 13 test and evaluation. to the extent applicable,describe the testprogramof the contractorandthe government. describe',
4111:'the test program for each major phase of a major system acquisition. if concurrency is planned, discuss the extent of',
4112:'testing to be accomplished before production release. 14 logistics considerations. describe i the assumptions determining contractor or agency support, both',
4113:'initially and over the life of the acquisition, including consideration of contractor or agency maintenance and servicing see subpart 7.3,',
4114:'support for contracts to be performed in a designated operational area or supporting a diplomatic or consular mission see 25.3013;',
4115:'and distribution of commercial products or commercial services; iithe reliability,maintainability, and quality assurance requirements, including any planned use of warranties',
4116:'see part 46; iii the requirements for contractor data including repurchase data and data rights, their estimated cost, and the',
4117:'use to be made of the data see part 27; and iv standardization concepts, including the necessity to designate, in',
4118:'accordance with agency procedures, technical equipment as standard so that future purchases of the equipment can be made from the',
4119:'same manufacturing source. 15 governmentfurnished property. indicate any government property to be furnished to contractors, and discuss any associated considerations,',
4120:'such as its availability or the schedule for its acquisition see 45.102. 16 governmentfurnished information. discuss any government information, such',
4121:'as manuals, drawings, and test data, to be provided to prospective offerors andcontractors. indicate which information that requires additional controls',
4122:'to monitor access and distribution e.g., technical specifications, maps, building designs, schedules, etc., as determined by the agency, isto beposted',
4123:'via the enhanced controls of the governmentwide point of entry gpeat https://www.sam.gov see 5.102a. 17 environmental and energy conservation objectives.',
4124:'discuss— iallapplicableenvironmentalandenergyconservationobjectivesassociatedwiththeacquisitionsee part 23; ii the applicability of an environmental assessment or environmental impact statement see 40 cfr part 1502;',
4125:'iii the proposed resolution of environmental issues; and iv any sustainable acquisition requirements to be included in the solicitation and',
4126:'contract see 11.002 and 23. 18 security considerations. i for acquisitions dealing with classified matters, discuss how adequate security will',
4127:'be established, maintained, and monitored see subpart 4.4. ii for information technology acquisitions, discuss how agency information security requirements will',
4128:'be met. iii for acquisitions requiring routine contractor physical access to a federallycontrolled facility and/or routine access to a federallycontrolled',
4129:'information system, discuss how agency requirements for personal identity verification of contractors will be met see subpart 4.13. iv for',
4130:'acquisitions that may require federal contract information to reside in or transit through contractor information systems, discuss compliance with subpart',
4131:'4.19. 19 contract administration. describe how the contract will be administered. in contracts for services, include how inspection and acceptance',
4132:'corresponding to the work statement’sperformance criteria will be enforced. in contractsfor supplies or service contracts that include supplies, address whether',
4133:'higherlevel quality standards are necessary 46.202 and whether the supplies to be acquired are critical items 46.101. 20 other considerations.',
4134:'discuss, as applicable: i standardization concepts; ii the industrial readiness program; iii the defense production act; iv the occupational safety',
4135:'and health act; vsupportantiterrorismbyfosteringeffectivetechnologiesactof2002safetyactsee subpart 50.2; vi foreign sales implications; vii special requirements for contracts to be performed in a',
4136:'designated operational area or supporting a diplomatic or consular mission; and viii any other matters germane to the plan not',
4137:'covered elsewhere. 21 milestones for the acquisition cycle. address the following steps and any others appropriate: acquisition plan approval. statement',
4138:'of work. specifications. subpart 7.1 acquisition plans 7.1072 data requirements. completion of acquisitionpackage preparation. purchase request. justification and approval for',
4139:'other than full and open competition where applicable and/or any required d&f approval. issuance of synopsis. issuance of solicitation. evaluation',
4140:'of proposals, audits, and field reports. beginning and completion of negotiations. contractpreparation, review, and clearance. contract award. 22 identification of',
4141:'participants in acquisition plan preparation. list the individuals who participated in preparing the acquisition plan, giving contact information for each.',
4142:'7.106 additional requirements for major systems. a in planning for the solicitation of a major system see part 34 development',
4143:'contract, planners shall consider requiring offerors to include, in their offers, proposals to incorporate in the designof amajorsystem 1 items',
4144:'which are currently available within the supply system of the agency responsible for the major system, available elsewhere in the',
4145:'national supply system, or commercially available from more than one source; and 2 items which the government will be able',
4146:'to acquire competitively in the future if they are likely to be needed in substantial quantities during the system’s service',
4147:'life. b in planning for the solicitation of a major system see part 34 production contract, planners shall consider requiring',
4148:'offerors to include, in their offers, proposals identifying opportunities to assure that the government will beable toobtain, on a competitive',
4149:'basis, items acquired in connection with the system that are likely to be acquired in substantial quantities during the service',
4150:'life of the system. proposals submitted in response to such requirements may include the following: 1 proposals to provide the',
4151:'government the right to use technical data to be provided under the contract for competitive future acquisitions, together with the',
4152:'costto the government,if any, of acquiring such technical data and the right to use such data. 2 proposals for the',
4153:'qualification or development of multiple sources of supply for competitive future acquisitions. c in determining whether to apply paragraphs a',
4154:'and b of this section, planners shall consider the purposes for which thesystem is being acquired and the technology necessary',
4155:'to meet the system’s requiredcapabilities. if such proposals are required, the contracting officer shall consider them in evaluating competingoffers. in',
4156:'noncompetitive awards, the factors in paragraphs aandbof this section, maybe considered bythe contracting officeras objectives innegotiating the contract. 7.107 additional',
4157:'requirements for acquisitions involving consolidation, bundling, orsubstantial bundling. 7.1071 general. a if the requirement is considered both consolidated and bundled,',
4158:'the agency shall follow the guidance regarding bundling in 7.1073, 7.1074, and 7.1075. b the requirements of this section 7.107',
4159:'do not apply 1 if a cost comparison analysis will be performed in accordance with omb circular a76 except 7.1074',
4160:'still applies; 2 to orders placed under singleagency taskorder contracts or deliveryorder contracts, when the requirement was considered in determining',
4161:'that the consolidation or bundling of the underlying contract was necessary and justified; or 3 to requirements for which thereis',
4162:'a mandatorysource see 8.002 or 8.003, including supplies and services that are on the procurement list maintained by the committee',
4163:'for purchase from people who are blind or severely disabled or the schedule of products issued by federal prison industries,',
4164:'inc. this exception does not apply– i when the requiring agency obtains a waiver in accordance with 8.604 or an',
4165:'exception in accordance with 8.605 or 8.706; or ii when optional acquisitions of supplies and services permitted under 8.713 are',
4166:'included. 7.1072 consolidation. a consolidation mayprovide substantialbenefits tothe government. however,because of thepotentialimpact on small business participation, before conducting an acquisition',
4167:'that is a consolidation of requirements with an estimated total dollar federal acquisition regulation value exceeding $2million, the seniorprocurement executive',
4168:'speor chief acquisition officer cao shall makea written determination that the consolidation is necessary and justified in accordance with 15',
4169:'u.s.c. 657q, after ensuring that 1 market research has been conducted; 2 any alternative contracting approaches that would involve a',
4170:'lesser degree of consolidation have been identified; 3 the determination is coordinatedwith the agencys office of small disadvantaged businessutilization orthe',
4171:'office of small business programs; 4 any negative impact by the acquisition strategy on contracting with small business concerns has',
4172:'been identified; and 5 steps are taken to include small business concerns in the acquisition strategy. b the spe or',
4173:'cao may determine that the consolidation is necessary and justified if the benefits of the acquisition would substantially exceed the',
4174:'benefits that would be derived from each of the alternative contracting approaches identified under paragraph a2 of this section, including',
4175:'benefits that are quantifiable in dollar amounts as well as any other specifically identified benefits. c such benefits may include',
4176:'cost savings or price reduction and, regardless of whether quantifiable in dollar amounts 1 qualityimprovements that willsave time or improveor',
4177:'enhance performance or efficiency; 2 reduction in acquisition cycle times; 3 better terms and conditions; or 4 any other benefit.',
4178:'d benefits. 1 benefits that are quantifiablein dollar amounts aresubstantial if individually, in combination, or in theaggregate the anticipated financial',
4179:'benefits are equivalent to iten percent of theestimated contract or order value including options ifthe value is $94 millionor less;or',
4180:'iifive percent of the estimatedcontract or order value including options or$9.4 million, whichever is greater,if the value exceeds $94 million.',
4181:'2 benefits that are not quantifiable in dollar amounts shall be specifically identified and otherwise quantified to the extent feasible.',
4182:'3 reduction of administrative orpersonnel costs aloneis not sufficient justification for consolidationunlessthe cost savings are expected to be at least',
4183:'10 percent of the estimated contract or order value including options of the consolidated requirements, as determined by the spe',
4184:'or cao 15 u.s.c. 657qc2b. e 1 notwithstanding paragraphs a through d of this section, the approving authority identified in',
4185:'paragraph e2 of this section may determine that consolidation is necessary and justified when i the expected benefits do not',
4186:'meet the thresholds for a substantial benefit at paragraph d1 of this section but are critical to the agencys mission',
4187:'success; and ii the procurement strategy provides for maximum practicable participation by small business. 2 the approving authority is– i',
4188:'for the department of defense, the spe: or ii for the civilian agencies, the deputy secretary or equivalent. f ifa',
4189:'determination is made that consolidation is necessaryandjustified, thecontracting officer shall include it in the acquisition strategy documentation and provide it',
4190:'to the small business administration sba upon request. 7.1073 bundling. a bundling may providesubstantial benefits to the government. however, becauseof',
4191:'the potential impacton small business participation, before conducting an acquisition strategy that involves bundling, the agency shall make a written',
4192:'determination that the bundling is necessary and justified in accordance with 15 u.s.c. 644e. a bundled requirement is considered necessary',
4193:'and justified if the agency would obtain measurably substantial benefits as compared to meeting its agencys requirements through separate smaller',
4194:'contracts or orders. b the agency shall quantify the specific benefits identified through the use of market research and other',
4195:'techniques to explain how their impact would be measurably substantial see 10.001a2iv and a3vii. c such benefits may include, but',
4196:'are not limited to 1 cost savings; 2 price reduction; 3 qualityimprovements that willsave time or improveor enhance performance or',
4197:'efficiency; 4 reduction in acquisition cycle times, or subpart 7.1 acquisition plans 7.1075 5 better terms and conditions. d benefits',
4198:'are measurably substantial if individually, in combination, or in the aggregatethe anticipated financial benefits are equivalent to 1 tenpercent ofthe',
4199:'estimated contractor order valueincludingoptions if thevalue is $94 million or less; or 2 five percent of the estimated contract or',
4200:'order value including options or $9.4 million, whichever is greater, if the value exceeds $94 million. e reduction ofadministrativeor personnel',
4201:'costs alone is not sufficient justification for bundling unless the cost savings are expected to be at least ten percent',
4202:'of the estimated contract or order value including options of the bundled requirements. f 1 notwithstanding paragraphs a through e',
4203:'of this subsection, the approving authority identified in paragraph f2 of this subsection may determine that bundling is necessary and',
4204:'justified when i the expected benefits do not meet the thresholds for a substantial benefit but are critical to the',
4205:'agencys mission success; and ii the acquisition strategy provides for maximum practicable participation by small business concerns. 2 the approving',
4206:'authority, without power of delegation, is– i for the department of defense, the senior procurement executive; or ii for the',
4207:'civilian agencies is the deputy secretary or equivalent. g in assessing whether cost savings and/or price reduction would be achieved',
4208:'through bundling, the agency and sba shall 1 compare theprice that has been charged by small businesses for the work',
4209:'that they have performed; or 2 where previous prices are not available, compare the price, based on market research, that',
4210:'could have been or could becharged bysmallbusinesses for theworkpreviously performed by other than a small business. h if a determination',
4211:'ismade that bundling isnecessary and justified,the contracting officer shall include it in the acquisition strategy documentation and provide it to',
4212:'sba upon request. 7.1074 substantial bundling. a 1 substantial bundling is any bundling that results in a contract or task',
4213:'or delivery order with an estimated value of— i $8 million or more for the department of defense; ii $6',
4214:'million or more for the national aeronautics and space administration, the general services administration, and the department of energy;or iii',
4215:'$2.5 million or more for all other agencies. 2 these thresholds apply to the cumulative estimated dollar value including options',
4216:'of– i multipleaward contracts; iitaskordersor delivery orders issued against a gsa schedule contract; or iii taskordersor delivery orders issued against',
4217:'a taskorder or deliveryordercontract awarded by another agency. b in addition to addressing the requirements for bundling see 7.1073, when',
4218:'the proposed acquisition strategy involves substantial bundling, the agency shall document in its strategy— 1 the specific benefits anticipated to',
4219:'be derived from substantial bundling; 2 an assessment of the specific impediments to participation by small business concerns as contractors',
4220:'that result from substantial bundling; 3 actions designed to maximize small business participation as contractors, including provisions that encourage small',
4221:'business teaming; 4 actions designed to maximize small business participation as subcontractors including suppliers at any tier under thecontract, ororder,that',
4222:'may be awardedto meet the requirements; 5 the determination that the anticipated benefits of the proposed bundled contract or order',
4223:'justify its use; and 6 alternative strategies that would reduce or minimize the scope of the bundling, and the rationale',
4224:'for not choosing those alternatives. 7.1075 notifications. a notifications to current small business contractors of agencys intent to bundle. 1',
4225:'the contractingofficer shall notifyeach small business performing a contract thatitintends tobundle the requirement at least 30 days prior to the',
4226:'issuance of the solicitation for the bundled requirement. federal acquisition regulation 2 the notification shall provide the name, phone number',
4227:'and address of the applicable sba procurement center representative pcr, or if ansba pcris not assigned to the procuring activity,',
4228:'the sbaofficeof government contracting area officeservingthe area in which the buying activity is located. 3 this notification shall be documented',
4229:'in the contract file. b notification to public of rationale for bundled requirement. the agency is encouraged to provide notification',
4230:'of the rationale for any bundled requirement to the gpe, before issuance of the solicitation see 5.201. c notification to',
4231:'the public of consolidation of contract requirements. the spe or cao shall publish in the gpe— 1 a notice that',
4232:'the agency has determined a consolidation of contract requirements is necessary and justified see 7.1072 no later than 7 days',
4233:'after making the determination; the solicitation may not be publicized prior to 7 days after publication of the notice of',
4234:'the agency determination; and 2 the determination that consolidation is necessary and justified with the publication of the solicitation. see',
4235:'7.1072 for the required content of the determination. d notification to the public of substantial bundling of contract requirements. the',
4236:'head of the agency shall publish in the gpe— 1 a notice that the agency has determined that a procurement',
4237:'involves substantial bundling see 7.1074 no later than 7 days after such determination has been made; the solicitation may not',
4238:'be publicized prior to 7 days after the publication of the notice of the determination; and 2 the rationale for',
4239:'substantial bundling with the publication of the solicitation. the rationale is the information required for inclusion in the acquisition strategy',
4240:'at 7.1074b. e notification to sba of followon bundled or consolidated requirements. for each followon bundled or consolidated requirement, the',
4241:'contracting officer shall obtain the following from the requiring activityand notify the sba pcr no later than 30 days prior',
4242:'to issuance of the solicitation: 1 the amount of savings and benefits achieved under the prior consolidation or bundling. 2',
4243:'whether such savings and benefits will continue to be realized if the contract remains consolidated or bundled. 3 whether such',
4244:'savings and benefits would be greater if the procurement requirements were divided into separate solicitations suitable for award to small',
4245:'business concerns. 4 list of requirements that have been added or deleted for the followon. f annual notification to the',
4246:'public of the rationale for bundled requirements. the agency shall publish on its website a listand rationaleforany bundled requirement for',
4247:'which the agency solicited offersor issued an award. thenotification shall be made annually within 30 days of the agencys data',
4248:'certification regarding the validity and verification of data entered in thefederal procurement data system to the office of federal procurement',
4249:'policy see 4.604. g notification to public of bundling policy. in accordance with 15 u.s.c. 644q2aii, agencies shall publish the',
4250:'governmentwide policy regarding contract bundling, including regarding the solicitation of teaming and joint ventures, on their agency website. 7.1076 solicitation',
4251:'provision. the contractingofficer shall insertthe provisionat 52.2076,solicitation of offers from small business concerns and small business teaming arrangements or joint',
4252:'ventures multipleaward contracts, in solicitations for multipleaward contracts above the substantial bundling threshold of the agency see 7.1074a. 7.108 additional',
4253:'requirements for telecommuting. in accordance with 41 u.s.c. 3306f, an agency shall generally not discourage a contractor from allowing its',
4254:'employees to telecommute in the performance of government contracts. therefore, agencies shall not a include in a solicitation arequirementthat prohibits',
4255:'an offeror from permitting its employeesto telecommute unless thecontracting officer first determines thatthe requirements of the agency, includingsecurity requirements, cannot',
4256:'be met if telecommuting ispermitted. the contractingofficer shall document the basis for the determination in writing and specifythe prohibition in',
4257:'the solicitation; or b when telecommuting is not prohibited, unfavorablyevaluatean offer because it includes telecommuting,unlessthe contracting officerfirst determines that therequirements',
4258:'of the agency, including security requirements, would be adversely impacted iftelecommuting is permitted. the contracting officer shall document the basis',
4259:'for the determination in writing and address the evaluation procedures in the solicitation. subpart 7.2 planning for the purchase of',
4260:'supplies in economic quantities 7.204 subpart 7.2 planning for the purchase of supplies in economic quantities 7.200scope of subpart. this',
4261:'subpart prescribes policies and procedures for gathering information from offerors to assist the government in planning the most advantageous quantities',
4262:'in which supplies should be purchased. 7.201[reserved] 7.202 policy. a agencies are required by 10 u.s.c. 3242 and 41 u.s.c.3310',
4263:'to procure supplies in such quantity as 1 will result in the total cost and unit cost most advantageous tothe',
4264:'government, where practicable; and 2 does not exceed the quantity reasonably expected to be required by the agency. b each',
4265:'solicitation for acontract for supplies isrequired,if practicable, to include a provisioninviting eachofferor responding to the solicitation 1 to state an',
4266:'opinion on whether the quantity of the suppliesproposed to be acquired iseconomically advantageous to the government; and 2 if applicable,',
4267:'to recommend a quantity or quantities which would be more economically advantageous to the government. each such recommendation is required',
4268:'to include a quotation of the total price and the unit price for supplies procured ineach recommended quantity. 7.203 solicitation',
4269:'provision. contracting officersshallinsert the provision at 52.2074, economic purchase quantitysupplies, in solicitations for supplies. the provision need not be inserted',
4270:'if thesolicitation isfora contract underthe general services administration’s multiple awardschedulecontract program, orif the contracting officer determines that a the government',
4271:'already has the data; b the data is otherwise readily available; or c it is impracticable for the government to',
4272:'vary its future requirements. 7.204responsibilities of contracting officers. a contracting officers are responsible for transmitting offeror responsesto the solicitation provision',
4273:'at 52.2074 to appropriate inventory management/requirements development activities in accordance with agency procedures. the economic purchase quantity data so obtained',
4274:'are intended to assist inventory managers in establishing and evaluating economic order quantities for supplies under their cognizance. b in',
4275:'recognition ofthe factthat economicpurchase quantity data furnished by offerors are only one of manydata inputs required for determining the most',
4276:'economical order quantities, contracting officers should generally take no action torevise quantitiesto beacquired inconnectionwith the instant procurement. however, if a',
4277:'significant price variation is evident from offeror responses, and thepotentialforsignificant savings is apparent, the contracting officer shall consult with the',
4278:'cognizant inventory manager or requirements development activity before proceeding with an award or negotiations. if this consultation discloses that the',
4279:'government should be ordering an item of supply in different quantities and the inventory manager/requirements development activity concurs, the solicitation',
4280:'for the item should be amended or canceled and a new requisition should be obtained. this page intentionally left blank.',
4281:'subpart 7.3 contractor versus government performance 7.305 subpart 7.3 contractor versus government performance 7.300[reserved] 7.301definitions. definitions of inherently governmental activity',
4282:'and other terms applicable to this subpart are set forth at attachment d of the office of management andbudget circular',
4283:'no. a76 revised, performance of commercial activities, dated may29, 2003 the circular. 7.302 policy. a the circular provides that it',
4284:'is the policy of the government to 1 perform inherently governmental activities with government personnel; and 2 subject commercial activities',
4285:'to the forces of competition. b asprovided in thecircular,agencies shall 1 not use contractors to perform inherently governmental activities; 2',
4286:'conduct publicprivate competitions in accordance with the provisions of the circular and, as applicable, these regulations; 3 give appropriate consideration',
4287:'relative to cost when making performance decisions between agency and contractor performance in publicprivate competitions; 4 considerthe agency tender official',
4288:'an interestedpartyin accordance with 31 u.s.c. 3551 to 3553 for purposes of filing a protest at the government accountability office;',
4289:'and 5 hear contests in accordance with omb circular a76, attachment b, paragraph f. c when using sealed bidding in',
4290:'publicprivate competitionsunder omb circular a76, contracting officers shall not hold discussions to correct deficiencies. 7.303[reserved] 7.304[reserved] 7.305 solicitation provisionsand contractclause.',
4291:'a thecontracting officer shall, when soliciting offers and tenders, insert in solicitations issued for standard competitions the provision at 52.2071,',
4292:'notice of standard competition. b the contractingofficer shall,when soliciting offers, insertin solicitations issued for streamlined competitions the provision at 52.2072,',
4293:'notice of streamlined competition. c thecontracting officer shall insert the clause at 52.2073, right of first refusal of employment, in',
4294:'all solicitations which may result in a conversion from inhouse performance to contract performance of work currently being performed by',
4295:'the government and in contracts that result from the solicitations, whether or not a publicprivate competition is conducted. the 10dayperiod',
4296:'in the clause may bevaried bythe contracting officer upto a periodof 90 days. this page intentionally left blank. subpart 7.4',
4297:'equipment acquisition 7.402 subpart 7.4 equipment acquisition 7.400scope of subpart. this subpart— a implements section 555of the faa federal aviation',
4298:'administrationreauthorization act of 2018 pub. l. 115254; b provides guidance when acquiring equipment and more than one method of acquisition',
4299:'is available for use; and c applies to both the initial acquisition of equipment and the renewal or extension of',
4300:'existing equipment leases or rental agreements. 7.401acquisition considerations. a 1 agencies shall acquire equipment using the method of acquisition most',
4301:'advantageous to the government based on a casebycase analysis of comparative costs and other factors in accordance with this subpart',
4302:'and agency procedures. 2 the methods of acquisition to be compared in the analysis shall include, at a minimum— i',
4303:'purchase; ii shortterm rental or lease; iii longterm rental or lease; iv interagency acquisition see 2.101; and v agency acquisition',
4304:'agreements, if applicable, with a state or local government. b 1 the factors to be compared in the analysis shall',
4305:'include, at a minimum: i estimated length of the period the equipment is to be used and the extent of',
4306:'use within that period; ii financial and operating advantages of alternative types and makes of equipment; iii cumulative rent, lease,',
4307:'or other periodic payments, however described, for the estimated period of use; iv net purchase price; v transportation, installation, andstorage',
4308:'costs; vi maintenance, repair, and other servicecosts; and vii potential obsolescence of the equipment because of imminent technological improvements. 2',
4309:'the following additional factors should be considered, as appropriate, depending onthe type, cost, complexity, and estimated period of use of',
4310:'the equipment: iavailability of purchase options. ii cancellation, extension, and early return conditions and fees. iii ability to swap out',
4311:'or exchange equipment. iv available warranties. v insurance, environmental, or licensing requirements. vi potential for use of the equipment by',
4312:'other agencies after its use by the acquiring agency is ended. vii tradein or salvage value. viii imputed interest. ix',
4313:'availability ofa servicing capability, especially for highly complex equipment; e.g., can the equipment be serviced by the government or other',
4314:'sources if it is purchased? c the analysis in paragraph a is not required— 1 when the president has issued',
4315:'an emergency declaration or a major disaster declaration pursuant to therobert t. stafford disaster relief and emergencyassistance act 42 u.s.c.',
4316:'5121 et seq. ; 2 in other emergency situations if the agency head makes a determination that obtaining such equipment',
4317:'is necessary in order to protect human life or property; or 3 when otherwise authorized bylaw. 7.402acquisition methods. a purchase',
4318:'method. 1 generally, the purchase methodis appropriate if the equipment will be used beyond the point in time when cumulative',
4319:'rental or leasing costs exceed the purchase costs. 2 agencies should not rule out the purchase method of equipment acquisition',
4320:'in favor of renting or leasing merely because of the possibility that future technological advances might make the selected equipment',
4321:'less desirable. b rent or lease method. 1 the rent or lease method is appropriate if it is to the',
4322:'governments advantage under the circumstances. the rent or lease method may also serve as a shortterm measure when the circumstances—',
4323:'i require immediate use of equipment to meet program or system goals; but federal acquisition regulation ii do not currently',
4324:'support acquisition by purchase. 2 if a rent or lease method is justified, a rental or lease agreement with option',
4325:'to purchase is preferable. 3 generally,a long termrental or lease agreementshouldbe avoided, butmay be appropriate if an option to purchase',
4326:'or other favorable terms are included. 4 if a rental or lease agreement with option to purchase is used, the',
4327:'contract shall state the purchase price or provide a formula which shows how the purchase price will be established at',
4328:'the time of purchase. 7.403general services administration assistance and omb guidance. a when requested by an agency,the general services administration',
4329:'gsa will assist in rent, lease, or purchase decisions by providing information such as 1 pending price adjustments to federal',
4330:'supply schedule contracts; 2 recent or imminent technological developments; 3 new techniques; and 4 industry or market trends. b for',
4331:'additional gsa assistance and guidance, agencies may— 1 request information from the gsa fas national customer service center byphone at',
4332:'18004883111 or by email at ncsccustomer.service@gsa.gov; and 2 see gsa website, schedule 51 v hardware superstoreequipment rental, https://www.gsa.gov/buyingselling/ productsservices/industrialproductsservices/rentalofindustrialequipment. c',
4333:'for additional omb guidance, see— 1 section 13, special guidance for leasepurchase analysis, and paragraph 8.c.2, leasepurchase analysis, of omb',
4334:'circular a94, guidelines and discount rates for benefitcost analysis of federal programs, https:// www.whitehouse.gov/wpcontent/uploads/legacydrupalfiles/omb/circulars/a94/a094.pdf; and 2 appendix b,budgetary treatment of',
4335:'leasepurchases and leases ofcapitalassets, of ombcircular a11, preparation, submission, and execution of the budget, https://www.whitehouse.gov/wpcontent/uploads/2018/06/ appb.pdf. 7.404contract clause. the contractingofficer',
4336:'shall inserta clause substantiallythe same as theclause in 52.2075, option to purchase equipment, in solicitations and contracts involving a rental',
4337:'or lease agreement with option to purchase. subpart 7.5 inherently governmental functions 7.503 subpart 7.5 inherently governmental functions 7.500scope of',
4338:'subpart. the purpose of this subpart is to prescribe policies and procedures to ensure that inherently governmental functions are not',
4339:'performed by contractors. 7.501[reserved] 7.502 applicability. the requirements of this subpart apply to all contracts for services. this subpart does',
4340:'not apply to services obtained through either personnel appointments, advisory committees, or personal services contracts issued under statutory authority. 7.503',
4341:'policy. a contracts shall not be used for the performance of inherently governmental functions. b agency decisions which determine whether',
4342:'a function is or is not an inherently governmental function may be reviewed and modifiedby appropriateofficeof management and budgetofficials. c',
4343:'the following is a list of examples of functions considered to be inherently governmental functions or which shall be treated',
4344:'as such. this list is not all inclusive: 1 the direct conduct of criminal investigations. 2 the control of prosecutions',
4345:'and performance of adjudicatory functions other than those relating to arbitration or other methods of alternative dispute resolution. 3 the',
4346:'command of military forces, especially the leadership of military personnel who are members of the combat, combat support, or combat',
4347:'service support role. 4 the conduct of foreign relations and the determination of foreign policy. 5 the determination of agency',
4348:'policy, such as determining the content and application of regulations, among other things. 6 the determination of federal program priorities',
4349:'for budget requests. 7 the direction and control of federal employees. 8 the direction and control of intelligence and counterintelligence',
4350:'operations. 9 the selection or nonselection of individuals for federal government employment, including the interviewing of individuals for employment. 10',
4351:'the approval of position descriptions and performance standards for federal employees. 11 the determination of what government property is to',
4352:'be disposed of and on what termsalthoughan agencymay give contractors authority to dispose of property at prices within specified ranges',
4353:'and subject to other reasonable conditions deemed appropriate by the agency. 12 in federal procurement activities with respect to prime',
4354:'contracts i determining what supplies or services are to be acquired by the government although an agency may give contractors',
4355:'authority to acquire supplies at prices within specified ranges and subject to other reasonable conditions deemed appropriate by the agency;',
4356:'ii participating as a voting member on any source selection boards; iii approving any contractual documents, to include documents defining',
4357:'requirements, incentive plans, and evaluation criteria; iv awardingcontracts; v administering contracts including ordering changes in contract performance or contract quantities,',
4358:'taking action based on evaluations of contractor performance, and accepting or rejecting contractor products or services; vi terminating contracts; vii',
4359:'determining whether contract costs are reasonable, allocable, and allowable; and viii participating as a voting member on performance evaluation boards.',
4360:'13 the approval of agency responses to freedom of information act requests other than routine responses that, because ofstatute, regulation,or',
4361:'agency policy, do not require the exercise of judgment in determining whether documents are to be released or withheld, and',
4362:'the approval of agency responses to the administrative appeals of denials of freedom of information act requests. federal acquisition regulation',
4363:'14 the conduct of administrative hearings to determine the eligibility of any person for a security clearance, or involving actions',
4364:'that affect matters of personal reputation oreligibility to participate in government programs. 15 the approval of federal licensing actions and',
4365:'inspections. 16 the determination of budget policy, guidance, andstrategy. 17 the collection, control, and disbursement of fees, royalties, duties, fines,',
4366:'taxes, and other public funds, unless authorized by statute, such as 31 u.s.c. 3718 relating to private attorney collection services,',
4367:'but not including icollection of fees, fines, penalties, costs, or other charges fromvisitorsto or patrons ofmess halls, post or base',
4368:'exchange concessions, national parks, and similar entities or activities, or from other persons, where the amount to be collected is',
4369:'easily calculated or predetermined and the funds collected can be easily controlled using standard case management techniques; and ii routine',
4370:'voucher and invoice examination. 18 the control of the treasury accounts. 19 the administration of public trusts. 20 the drafting',
4371:'of congressional testimony,responses to congressional correspondence, oragency responses to audit reports from the inspector general, the government accountability office, or',
4372:'other federalaudit entity. d the following is a list of examples of functions generally not considered to be inherently governmental',
4373:'functions. however, certain services and actions that are not considered to be inherentlygovernmental functions may approach being in that category',
4374:'because of the nature of the function, the manner in which the contractor performs the contract, or the manner in',
4375:'which the government administers contractor performance. this list is not all inclusive: 1 services thatinvolve or relate to budget preparation,',
4376:'including workload modeling,fact finding, efficiency studies, and shouldcost analyses, etc. 2 services thatinvolve or relate to reorganizationandplanning activities. 3 services',
4377:'that involve or relate to analyses, feasibility studies, and strategy options to be used by agency personnel in developing policy.',
4378:'4 services that involve or relate to the development of regulations. 5 services thatinvolve or relate to the evaluation of',
4379:'another contractor’s performance. 6 services in support of acquisition planning. 7 contractors providing assistance in contract management such aswhere the',
4380:'contractormight influence official evaluations of other contractors. 8 contractors providing technical evaluation of contract proposals. 9 contractors providing assistance in',
4381:'the development of statements of work. 10 contractors providing support in preparing responses to freedom of information act requests. 11',
4382:'contractors working in any situationthat permits or might permit them to gain access to confidential business information and/or any other',
4383:'sensitive information other than situations covered by the national industrial security program described in 4.402b. 12 contractors providing information regarding',
4384:'agency policies or regulations, such as attending conferences on behalf of anagency, conductingcommunityrelations campaigns, or conducting agency training courses. 13',
4385:'contractors participating in any situation where it might be assumed that they are agency employees or representatives. 14 contractors participating',
4386:'as technical advisors to a source selection board or participating as voting or nonvoting members of a source evaluation board.',
4387:'15 contractors serving as arbitrators or providing alternative methods of dispute resolution. 16 contractors constructing buildings or structures intended to',
4388:'be secure from electronic eavesdropping or other penetration by foreign governments. 17 contractors providing inspection services. 18 contractors providing legal',
4389:'advice and interpretations of regulations and statutes to government officials. 19 contractors providing special nonlaw enforcement, security activities that do',
4390:'not directly involve criminal investigations, such as prisoner detention or transport and nonmilitary national security details. e agency implementation shall',
4391:'include procedures requiring the agencyheador designatedrequirements official to provide the contracting officer, concurrent with transmittal of the statement of work',
4392:'or anymodification thereof, a written determination that none of the functions to be performed are inherently governmental. this assessment should',
4393:'place emphasis on the degree to which conditions and facts restrictthe discretionaryauthority, decisionmaking responsibility, subpart 7.5 inherently governmental functions 7.503',
4394:'or accountabilityof government officials using contractorservices or work products. disagreements regarding the determination will be resolved in accordance with agency',
4395:'procedures before issuance of a solicitation. this page intentionally left blank. part 8 required sources of supplies and services sec.',
4396:'8.000 scope of part. 8.001 general. 8.002 priorities for use of mandatory government sources. 8.003 use of other mandatory sources.',
4397:'8.004 use of other sources. 8.005 contract clause. subpart 8.1 excess personalproperty 8.101 [reserved] 8.102 policy. 8.103 information on available',
4398:'excess personal property. 8.104 obtaining nonreportable property. subpart 8.2 [reserved] subpart 8.3 [reserved] subpart 8.4 federal supply schedules 8.401 definitions.',
4399:'8.402 general. 8.403 applicability. 8.404 use of federal supply schedules. 8.405 ordering procedures for federal supply schedules. 8.4051 ordering procedures',
4400:'for supplies, and services not requiring a statement of work. 8.4052 ordering procedures for services requiring a statement of work.',
4401:'8.4053 blanketpurchaseagreementsbpas. 8.4054 price reductions. 8.4055 small business. 8.4056 limiting sources. 8.4057 payment. 8.406 ordering activity responsibilities. 8.4061 order placement.',
4402:'8.4062 inspection and acceptance. 8.4063 remedies for nonconformance. 8.4064 terminationforcause. 8.4065 terminationforthegovernment’s convenience. 8.4066 disputes. 8.4067 contractor performance evaluation. subpart',
4403:'8.5 [reserved] 8.601 8.602 8.603 8.604 8.605 8.606 8.607 8.608 8.700 8.701 8.702 8.703 8.704 8.705 8.7051 8.7052 8.7053 8.7054',
4404:'8.706 8.707 8.708 8.709 8.710 8.711 8.712 8.713 8.714 8.715 8.716 8.800 8.801 8.802 subpart 8.6 acquisitionfrom federal prison industries,',
4405:'inc. general. policy. purchase priorities. waivers. exceptions. evaluating fpi performance. performance as a subcontractor. protection of classified and sensitive information.',
4406:'subpart 8.7 acquisitionfrom nonprofit agencies employing people who are blind or severelydisabled scope of subpart. definitions. general. procurement list. purchase',
4407:'priorities. procedures. general. directorder process. allocation process. compliance with orders. purchase exceptions. prices. shipping. payments. quality of merchandise. quality complaints.',
4408:'specification changes. optional acquisition of supplies and services. communications with the central nonprofit agencies and the committee. replacement commodities. changeofname',
4409:'and successor in interest procedures. subpart 8.8 acquisition of printing and related supplies scope of subpart. definitions. policy. subpart 8.9',
4410:'[reserved] subpart 8.10 [reserved] subpart 8.11 leasing of motor vehicles 8. scope of subpart. 8. definitions. 8. presolicitation requirements. 8.',
4411:'contract requirements. 8. contract clauses. 8.000scope of part. this part deals with prioritizing sources of supplies and services for use',
4412:'by the government. 8.001general. regardless of the source of supplies or services to be acquired, information technology acquisitions shall comply',
4413:'with capital planning and investment control requirements in 40 u.s.c.11312 and omb circulara130. 8.002 priorities for useof mandatory governmentsources. a',
4414:'except as required by 8.003, or as otherwise provided by law,agencies shall satisfy requirements for supplies and services from or',
4415:'through the mandatory government sources and publications listed below in descending order of priority: 1 supplies. iinventories of the requiring',
4416:'agency. ii excess from other agencies see subpart 8.1. iii federal prison industries, inc. see subpart 8.6. iv supplies which',
4417:'are on the procurement list maintained by the committee for purchase from people who are blind or severely disabled see',
4418:'subpart 8.7. v wholesale supply sources, such as stock programs of the general services administration gsa see 41 cfr 10126.3,',
4419:'the defense logistics agency see 41 cfr 10126.6, the departmentof veterans affairssee 41 cfr 10126.704, and military inventory control points.',
4420:'2 services. services that are on the procurement list maintained by the committee for purchase from people who are blind',
4421:'or severely disabled see subpart 8.7. b sources other than those listed in paragraph a of this section may be',
4422:'used as prescribed in 41 cfr 10126.301 and in anunusual andcompelling urgency asprescribed in 6.3022 and in 41 cfr 10125.1015.',
4423:'c the statutory obligation for government agencies to satisfy their requirements for supplies or services available from the committee for',
4424:'purchase from people who are blind or severely disabled also applies when contractors purchase the supplies or services for government',
4425:'use. 8.003 use of other mandatory sources. agencies shall satisfy requirements for the following supplies or services from or through',
4426:'specified sources, as applicable: a public utility services see part 41. b printing and related supplies see subpart 8.8. c',
4427:'leased motor vehicles see subpart 8.11. d strategic and critical materials e.g., metals and ores from inventories exceeding defense national',
4428:'stockpile requirements detailed information is available from the dla strategic materials, 8725 john j. kingman rd., suite 3229, fort belvoir,',
4429:'va 220606223. 8.004 use of other sources. if an agency is unable to satisfy requirements for supplies and services from',
4430:'the mandatory sources listed in 8.002 and 8.003, agencies are encouraged to consider satisfying requirements from or through the nonmandatory',
4431:'sources listed in paragraph a of this section not listed in any order of priority before considering the nonmandatory source',
4432:'listed in paragraph b of this section. when satisfying requirements from nonmandatory sources, see 7.105b and part 19 regarding consideration',
4433:'of small business, veteranowned small business, servicedisabled veteranowned small business, hubzone small business, small disadvantaged business including 8a participants, and',
4434:'womenowned small business concerns. a 1 supplies. federal supply schedules, governmentwide acquisition contracts, multiagency contracts, and any other procurement instruments',
4435:'intendedforuse bymultiple agencies, including blanket purchase agreementsbpas under federal supply schedule contracts e.g., federal strategic sourcing initiative fssi agreements accessible',
4436:'at http://www.gsa.gov/fssi see also 5.601. 2 services. agencies are encouraged to consider federal prison industries, inc., as well as the',
4437:'sources listed in paragraph a1 of this section see subpart 8.6. b commercial sources including educational and nonprofit institutions in',
4438:'the open market. federal acquisition regulation 8.005contract clause. insert the clause at 52.2089, contractor use of mandatory sources of supply',
4439:'and services, in solicitations and contracts that require a contractor to provide supplies or services for government use that are',
4440:'on the procurement list maintained by thecommittee for purchasefrom people who are blindor severely disabled. the contracting officer shall identify',
4441:'inthe contract schedule the supplies or services that shall be purchased from a mandatory source and the specific source. subpart',
4442:'8.1 excess personal property 8.101[reserved] 8.102 policy. when practicable, agencies shall use excess personal property as the first source of',
4443:'supply for agency and cost reimbursement contractorrequirements. agencypersonnel shall make positive efforts to satisfy agency requirements by obtaining and using',
4444:'excess personal property including that suitable for adaptation or substitution before initiating a contract action. 8.103 information on available excess',
4445:'personal property. information regarding the availability of excess personal property can be obtained through— a reviewing and requesting available excess',
4446:'personal property in gsaxcess® see https://gsaxcess.gov; and b personal contact withgsa or the activity holdingthe property. 8.104 obtaining nonreportable property.',
4447:'gsa will assist agencies in meeting their requirements for supplies of the types excepted from reporting as excess by the',
4448:'federal management regulations 41 cfr 10236.220. federal agencies requiring such supplies should contact the appropriate gsapersonal property management office. visit',
4449:'www.gsa.gov/ppmo for contact information. subpart 8.2 [reserved] subpart 8.2 [reserved] this page intentionally left blank. subpart 8.3 [reserved] subpart 8.3',
4450:'[reserved] this page intentionally left blank. subpart 8.4 federal supply schedules 8.402 subpart 8.4 federal supply schedules 8.401definitions. as used',
4451:'in this subpart ordering activity means an activity that isauthorized to place orders,or establish blanket purchase agreements bpa, against the',
4452:'general services administration’s gsa multiple award schedule contracts. a list of eligible ordering activities is available at http://www.gsa.gov/schedules click for',
4453:'customers ordering from schedules and then eligibility to use gsa sources. multiple award schedule mas means contractsawarded bygsa or the',
4454:'departmentof veterans affairs va for similar or comparable supplies, or services, establishedwith more thanonesupplier, at varying prices. the primary statutory',
4455:'authorities for the mas program are 41 u.s.c. 1523, competitive procedures, and 40 u.s.c. 501, services for executive agencies. requiring',
4456:'agency means the agency needing the supplies or services. schedules elibrary means the onlinesource for gsa and va federal supply',
4457:'schedule contract award information. schedules elibrary may be accessed at http://www.gsa.gov/elibrary. special item number sin means a group of generically',
4458:'similar but not identical supplies or services that are intended to serve the same general purpose or function. 8.402general. a',
4459:'thefederal supply schedule program is also known as thegsa schedules program or the multiple award schedule program. the federal supply',
4460:'schedule program is directed and managed by gsa and provides federal agencies see 8.004 with a simplified process for obtaining',
4461:'commercial supplies and commercial services at prices associated with volume buying. indefinite delivery contracts are awarded to provide supplies and',
4462:'services at stated prices for given periods of time. gsa may delegate certain responsibilities to other agencies e.g., gsa hasdelegated',
4463:'authority to the va to procure medical supplies under the va federal supply schedules program. orders issued under the va',
4464:'federal supply schedule program arecovered by this subpart. additionally, thedepartment ofdefense dodmanagessimilarsystems of scheduletype contracting for militaryitems; however, dod systems',
4465:'arenot covered by this subpart. b gsa schedule contracts require all schedule contractors to publish an authorized federal supply schedule',
4466:'pricelist pricelist. the pricelist contains all supplies and services offeredby a schedulecontractor. in addition, each pricelist contains the pricing and',
4467:'the terms and conditions pertaining to each special item number that is on schedule. the schedule contractor is required to',
4468:'provide one copy of its pricelist to any ordering activity upon request. also, a copy of the pricelist may be',
4469:'obtained from the federal supply service by submitting a written email request to schedules.infocenter@gsa.gov orby telephone at 18004883111. this subpart,',
4470:'together with the pricelists, contain necessary information for placing delivery or task orders with schedule contractors. in addition, the gsa',
4471:'schedule contracting office issuesfederal supply schedules publications thatcontain a general overviewof the federal supply schedule fss program and address pertinent',
4472:'topics. ordering activities may request copies of schedules publications by contacting the centralized mailing list service through the internet at',
4473:'http://www.gsa.gov/cmls, submitting written email requests to cmls@gsa.gov; or by completing gsa form 457, fss publications mailing list application, and mailing',
4474:'it to thegsa centralized mailing list service7 sm,p.o. box 6477, fort worth, tx 76115. copies of gsa form 457may also',
4475:'be obtained from the abovereferenced points of contact. c 1gsaoffersanonlineshoppingservicecalled gsaadvantage! throughwhichorderingactivitiesmayplace orders against schedules. ordering activities may also use',
4476:'gsa advantage! toplace orders through gsa’s global supply system, a gsa wholesale supply source, formerly known as gsa stock or',
4477:'the customer supply center. far subpart 8.4 is not applicable to orders placed through the gsa global supply system. ordering',
4478:'activities may access gsa advantage! through the gsa federal supply service home page http://www.gsa.gov/fas or the gsa federal supply schedule',
4479:'home page at http://www.gsa.gov/schedules. 2 gsa advantage! enables ordering activities to search specific information i.e., national stock number, part number,',
4480:'common name, review delivery options, place orders directly with schedule contractors except see 8.4056 and pay for orders using the',
4481:'governmentwide commercial purchase card. d 1 ebuy, gsas electronic request for quotation rfq system, is a part of a suite',
4482:'of online tools which complement gsaadvantage!. gsasebuy allows ordering activities to post requirements, obtain quotes, and issue orders electronically. posting',
4483:'an rfq on ebuy— federal acquisition regulation iisonemedium for providing fair noticeto all schedule contractors offering such suppliesand servicesas required',
4484:'by, 8.4052, and 8.4053; and ii is required when an order contains brandname specifications see 8.4056. 2 ordering activities may',
4485:'access ebuy at https://www.ebuy.gsa.gov. for more information or assistance on either gsaadvantage! or ebuy, contact gsa by emailat gsa.advantage@gsa.gov. e',
4486:'for more information or assistance regarding the federal supply schedule program, review the following website: http://www.gsa.gov/schedules. additionally, for online training',
4487:'courses regarding the schedules program,review the following website: http://www.gsa.gov/training. f for administrative convenience, an ordering activity contracting officermay add items',
4488:'not on the federal supply schedule also referred toas openmarket items to afederal supply schedule blanket purchaseagreement bpa or an',
4489:'individual task or delivery order only if 1 all applicable acquisition regulations pertaining to the purchase of the items not',
4490:'on the federal supply schedule have been followed e.g., publicizing part 5, competition requirements part 6, acquisition of commercial products',
4491:'or commercial services part 12, contracting methods parts 13, 14, and 15, and small business programs part 19; 2 the',
4492:'ordering activity contracting officer has determined the price for the items not on the federal supply schedule is fair and',
4493:'reasonable; 3 the items are clearly labeled on the order as items not on the federal supply schedule and they',
4494:'conform to the rules for numbering line items at subpart 4.10; and 4 all clauses applicable to items not on',
4495:'the federal supply schedule areincluded inthe order. g when using the governmentwide commercial purchase card as a method of payment,',
4496:'orders at or below the micro purchase thresholdare exempt fromverification inthe system for award management asto whether the contractor has',
4497:'a delinquent debtsubject to collectionunder thetreasury offset programtop. 8.403 applicability. a procedures in this subpart apply to— 1 individual orders',
4498:'for supplies or services placed against federal supply schedules contracts; and 2 bpas established against federal supply schedule contracts. b',
4499:'gsa may establish special ordering procedures for a particular schedule. in this case, that schedule will specify those special ordering',
4500:'procedures. unless otherwise noted, special ordering procedures established for a federal supply schedule take precedence over the procedures in 8.405.',
4501:'note: gsaestablished ordering procedures for orderlevel materials can be found at gsar subpart 53872 . c in accordance with section',
4502:'1427b of public law 108136 40 u.s.c. 1103 note, for requirements that substantially or to a dominant extent specify performance',
4503:'of architectengineer services as defined in 2.101, agencies— 1 shall use the procedures at subpart 36.6; and 2 shall not',
4504:'place orders for such requirements under a federal supply schedule. 8.404use of federal supply schedules. a general. parts 13 except',
4505:'13.3032c3, 14, 15, and 19 except for the requirements at 19.102b3 and 19.2021e 1iiido not apply to bpas or orders',
4506:'placed against federal supply schedules contracts but see 8.4055. bpas and orders placed against a mas, using the procedures in',
4507:'this subpart, are considered to be issued using full and open competition see 6.102d3. therefore, when establishing a bpa as',
4508:'authorized by 13.3032c3, or placing orders under federal supply schedule contracts using the procedures of 8.405, ordering activities shall not',
4509:'seek competition outside of the federal supply schedules or synopsize the requirement; but see paragraph g of this section. b',
4510:'1thecontractingofficer,whenplacinganorderorestablishingabpa,isresponsibleforapplyingtheregulatoryand statutory requirements applicable to theagency for which the orderis placed or thebpa is established. the requiring agency shall provide',
4511:'the information on the applicable regulatory and statutory requirements to the contracting officer responsible for placing the order. 2 for',
4512:'orders over $600,000, see subpart 17.5 for additional requirements for interagency acquisitions. c acquisition planning. orders placed under a federal',
4513:'supply schedule contract 1 are not exempt from the development of acquisition plans see subpart 7.1, and an information technology',
4514:'acquisition strategy see part 39; 2 shall complywith all far requirements for a consolidated or bundled contract when the order',
4515:'meets the definition at 2.101 of consolidation or bundling; and subpart 8.4 federal supply schedules 8.404 3 must, whether placed',
4516:'by the requiring agency, or on behalf of the requiring agency, be consistent with therequiring agency’s statutory andregulatoryrequirements applicable to',
4517:'the acquisition of thesupplyor service. d pricing. supplies offered on thescheduleare listed at fixed prices. services offered on thescheduleare priced',
4518:'either at hourly rates, or at a fixed price for performance of a specific task e.g., installation, maintenance, and repair.',
4519:'gsa has already determined theprices of supplies and fixedprice services, and rates for services offered athourly rates,under schedule contracts to',
4520:'be fair and reasonable. therefore, ordering activities are not required to make a separate determination of fair and reasonable pricing,',
4521:'except for a price evaluation as required by 8.4052d. by placing an order against a schedule contract using the procedures',
4522:'in 8.405, the ordering activity has concluded that the order represents the best value as defined in far 2.101 and',
4523:'results in the lowest overall cost alternative considering price, special features, administrative costs, etc. to meet the government’s needs. although',
4524:'gsahas already negotiated fair and reasonable pricing, ordering activities may seek additional discounts before placing an order see 8.4054. e',
4525:'the procedures under subpart 33.1 are applicable to the issuance of an order orthe establishmentof abpa against a schedule contract.',
4526:'f if the ordering activity issues an rfq, the ordering activity shall provide the rfq to any schedule contractor that',
4527:'requests a copy of it. g 1 ordering activities shall publicize contract actions funded in whole or in part by',
4528:'the american recovery and reinvestmentactof 2009 pub. l. 1115: inoticesof proposed masordersincludingordersissuedunder bpasthat arefor informational purposes only exceeding $25,000 shall',
4529:'follow the procedures in 5.704 for posting orders. iiawardnotices for masordersincludingordersissuedunder bpasshallfollow the procedures in 5.705. 2 when an order',
4530:'is awarded or a blanket purchase agreement is established with an estimated value greater than the simplified acquisition threshold and',
4531:'supported by a limitedsource justification at 8.4056 a, the ordering activity contracting officermust i publicize the action see 5.301; and',
4532:'ii post the justification in accordance with 8.4056 a2. h typeoforder preference for services. 1 the ordering activity shall specify',
4533:'the order type i.e., firmfixed price, timeand materials, or laborhour for theservicesoffered on the schedule priced at hourly rates. 2',
4534:'agencies shall use fixedprice orders for the acquisition of commercial services to the maximum extent practicable. 3 i a timeandmaterials',
4535:'or laborhour order may be used for the acquisition of commercial services only when it is not possible at the',
4536:'time of placing the order to estimate accurately the extent or duration of the work or to anticipate costs with',
4537:'any reasonable degree of confidence. iiprior tothe issuance of a timeandmaterials orlaborhour order, thecontracting officer shall aexecute a determination and',
4538:'findings d&f for the order, in accordance with paragraphh3iiiof this section that a fixedprice order is not suitable; b include',
4539:'a ceiling price in the order that the contractor exceeds at its own risk; and c when the total performance',
4540:'period, including options, is more than three years, the d&f prepared in accordance with this paragraph shall be signedby the',
4541:'contracting officerand approved bythe head of the contracting activity prior to the execution of the base period. iii the d&f',
4542:'required by paragraph h3iia of this sectionshallcontain sufficient facts and rationale tojustify that a fixedprice order is not suitable. at',
4543:'a minimum, the d&f shall a include a description of the market research conducted see 8.404c and 10.002e; b establish',
4544:'that it is not possible at the time of placing the order to accurately estimate the extent or duration of',
4545:'the work or anticipate costs with any reasonable degree of confidence; c establish that the current requirement has been structured',
4546:'to maximize the use of fixedprice orders e.g., by limitingthe value or length ofthe timeandmaterials/laborhour order; or,establishing fixed pricesforportions ofthe',
4547:'requirement on future acquisitions for the same or similar requirements; and d describe actions to maximize the use of fixedprice',
4548:'orders on future acquisitions for the same requirements. iv priorto anincrease inthe ceiling priceof atimeandmaterials or laborhourorder,the ordering activity shall',
4549:'a conduct an analysis of pricing and other relevant factors to determine if the action is in the best interest',
4550:'of the government and document the order file; b follow the procedures at 8.4056 for a change that modifies the',
4551:'general scope of the order; and c comply with the requirements at 8.402f when modifying an order to add open',
4552:'market items. federal acquisition regulation i ensure that service contractor reporting requirements are met in accordance with subpart 4.17, service',
4553:'contracts inventory. jline items. when placing orders orestablishing bpas,orderingactivitiesshallreference the special item number and the corresponding line or subline item',
4554:'awarded established per 4.1005 in the schedule. if an ordering activity contracting officer adds an item not on the federal',
4555:'supply schedule in accordance with 8.402f, establish a new line item in accordance with subpart 4.10. 8.405 ordering procedures for',
4556:'federal supply schedules. orderingactivities shall usethe ordering procedures of thissection when placing anorder or establishing a bpa for supplies or',
4557:'services. the procedures in this sectionapply to all schedules. for establishing bpas and for orders underbpas see 8.4053. 8.4051 orderingprocedures',
4558:'for supplies, and services not requiringa statement of work. a ordering activities shall use the procedures of this subsection when',
4559:'ordering supplies and services that are listed in the schedules contracts at a fixed price for the performance of a',
4560:'specific task, where a statement of work is not required e.g., installation,maintenance, and repair. for establishing bpas and for orders',
4561:'underbpas see 8.4053. b orders at or below the micropurchase threshold. ordering activities may place orders at, or below,the micropurchase',
4562:'threshold with any federal supply schedule contractor that can meet the agency’s needs. although not required to solicit from a',
4563:'specific number of schedule contractors, ordering activities should attempt to distribute orders among contractors. c orders exceeding the micropurchase threshold',
4564:'but not exceeding the simplified acquisition threshold. ordering activities shall place orders with the schedule contractor that can provide the',
4565:'supply or service that represents the best value. before placing an order, an ordering activityshall: 1 considerreasonably available information about',
4566:'the supply or service offered under mas contracts by surveyingat least three schedule contractors through the gsa advantage! online shopping',
4567:'service, by reviewing the catalogs or pricelists of at least three schedule contractors, or by requesting quotations from at least',
4568:'three schedule contractors see 8.4055 ; or 2 document the circumstances for restricting consideration to fewer than three schedule contractors',
4569:'based on one of the reasons at 8.4056 a; d for proposed orders exceeding the simplified acquisition threshold. 1 each',
4570:'order shall be placed on a competitive basis in accordance with d2 and 3 of this section, unless this requirement',
4571:'is waived on the basis of a justification that is prepared and approved in accordance with 8.4056 . 2 the',
4572:'ordering activity contracting officer shall provide an rfqthat includes a description of the supplies to be delivered or the services',
4573:'to be performed and the basis upon which the selection will be made see 8.4051f. 3 the ordering activity contracting',
4574:'officer shall ipost the rfq on ebuy toafford all schedule contractors offeringthe required supplies or services under the appropriate multiple',
4575:'award schedules an opportunity to submit a quote; or ii provide the rfq to as many schedule contractors as practicable,',
4576:'consistent with market research appropriate to the circumstances, to reasonably ensure that quotes will be received from at least three',
4577:'contractors that can fulfill the requirements. when fewer than three quotes are received from schedule contractors that can fulfill the',
4578:'requirement, the contracting officershallprepare a written determination explainingthat no additional contractors capableof fulfillingthe requirement could be identified despite reasonable efforts',
4579:'to do so. the determination must clearly explain efforts made to obtain quotes from at least three schedule contractors. 4',
4580:'the ordering activity contracting officer shall ensure that all quotes received are fairly considered and award is made in accordance',
4581:'with the basis for selection in the rfq. e when an order contains brandname specifications, thecontracting officer shall postthe rfq',
4582:'on ebuy alongwith the justification or documentation, as required by 8.4056. an rfq is required when a purchase description specifies',
4583:'a brand name. f in addition to price see 8.404 d and 8.4054, when determining best value,the ordering activity mayconsider,',
4584:'among other factors, the following: 1 past performance. 2 special features of the supply or servicerequired for effective program performance.',
4585:'3 tradeinconsiderations. 4 probable life of the item selected as compared with that of a comparable item. 5 warrantyconsiderations. subpart',
4586:'8.4 federal supply schedules 8.4052 6 maintenance availability. 7 environmental and energy efficiency considerations. 8 delivery terms. g minimum documentation.',
4587:'the ordering activity shall document 1 the schedule contracts considered, noting the contractor from which the supply or service was',
4588:'purchased; 2 a description of the supply or service purchased; 3 the amount paid; 4 when an order exceeds the',
4589:'simplified acquisition threshold, evidence of compliance with the ordering procedures at 8.4051d; and 5 the basis for the award decision.',
4590:'8.4052 orderingprocedures for services requiring a statementof work. a general. ordering activities shall use the procedures in this subsection when',
4591:'ordering services priced at hourly rates as established by the schedule contracts. the applicable services will be identified in the',
4592:'federal supply schedule publications and the contractor’spricelists. for establishing bpas andforordersunder bpas see 8.4053. b statements of work sows. all',
4593:'statements of work shall include adescription ofworkto beperformed; location of work; period of performance; deliverable schedule; applicable performance standards; and',
4594:'any special requirements e.g., security clearances, travel, special knowledge. tothe maximum extentpracticable, agency requirements shall be performancebased statements see subpart',
4595:'37.6. c request for quotation procedures. the ordering activity must provide the request for quotation rfq, which includes the statement',
4596:'of work and evaluation criteria e.g., experience andpast performance,to schedule contractors that offer services thatwill meet the agency’s needs. therfq',
4597:'maybe posted to gsa’s electronicrfq system, ebuy see 8.402d. 1 orders at, or below, the micropurchase threshold. ordering activities may',
4598:'place orders at, or below, themicropurchase thresholdwith anyfederal supply schedule contractor that can meetthe agency’s needs. the ordering activity should',
4599:'attempt to distribute orders among contractors. 2 for orders exceeding the micropurchase threshold, but not exceeding the simplified acquisition threshold.',
4600:'i the ordering activity shall develop a statement of work, in accordance with 8.4052b. ii the ordering activity shall provide',
4601:'the rfq including the statement of work and evaluation criteria to at least three schedule contractors thatoffer services that willmeet',
4602:'theagency’s needs or documentthe circumstances for restricting consideration to fewer than three schedule contractors based on one of the reasons',
4603:'at 8.4056 a. iii the ordering activity shall specify the type of order i.e., firmfixedprice, laborhour for the services identified',
4604:'in the statement of work. the contractingofficer should establish firmfixedprices, as appropriate. 3 for proposed orders exceeding the simplified acquisition',
4605:'threshold. in addition to meeting the requirements of 8.4052c2i and iii, the following procedures apply: i each order shall be',
4606:'placed on a competitive basis in accordance with c3ii and iii of this section, unless this requirement is waived on',
4607:'the basis of a justification that is prepared and approved in accordance with 8.4056 . iithe ordering activity contracting officershallprovide',
4608:'an rfq that includes a statement ofwork and the evaluation criteria. iii the ordering activity contractingofficer shall apost the rfq',
4609:'on ebuy toafford all schedule contractors offering the required services under the appropriate multipleaward schedules an opportunity to submit a',
4610:'quote; or b provide the rfq to as many schedule contractors as practicable, consistent with market research appropriate to the',
4611:'circumstances, to reasonably ensure that quotes will be received from at least three contractors that can fulfill the requirements. when',
4612:'fewer than three quotes are received from schedule contractors that can fulfill the requirements, the contracting officershallprepare a written determination',
4613:'to explain that noadditional contractors capable of fulfilling the requirementscould be identifieddespite reasonable effortsto do so. the determination must clearly',
4614:'explain efforts made to obtain quotes from at least three schedule contractors. c ensure all quotes received are fairly considered',
4615:'and award is made in accordance with the evaluation criteria in the rfq. 4 the ordering activity shall provide the',
4616:'rfq including the statement of work and the evaluation criteria to any schedule contractor who requests a copy of it.',
4617:'d evaluation. the ordering activity shall evaluate all responses received using the evaluation criteria provided to the schedule contractors. the',
4618:'ordering activity isresponsible for considering thelevel of effortandthe mix of laborproposed to federal acquisition regulation perform a specific task being',
4619:'ordered, and for determining that the total price is reasonable. place the order with the schedule contractor that represents the',
4620:'best value see 8.404d and 8.4054. after award, ordering activities should provide timely notificationto unsuccessfulofferors. if an unsuccessful offeror requests',
4621:'informationon an award that was based on factors other than price alone, a brief explanation of the basis for the',
4622:'award decision shall be provided. e use of timeandmaterials and laborhour orders for services. when placing a timeandmaterials or laborhour',
4623:'order for services, see 8.404h. f minimum documentation. the ordering activity shall document 1 the schedule contracts considered, noting the',
4624:'contractor from which the service was purchased; 2 a description of the service purchased; 3 the amount paid; 4 the',
4625:'evaluation methodology used in selecting the contractor to receive the order; 5 the rationale for any tradeoffsin making the selection;',
4626:'6 the price reasonableness determination required by paragraph d of this subsection; 7 the rationale for using other than i',
4627:'a firmfixed price order; or ii a performancebased order; and 8 when an order exceeds the simplified acquisition threshold, evidence',
4628:'of compliance with the ordering procedures at 8.4052c. 8.4053 blanket purchase agreements bpas. a establishment. 1 ordering activities mayestablishbpas under',
4629:'any schedule contract to fill repetitive needsfor supplies or services. ordering activities shall establishthe bpa with theschedule contractors that can',
4630:'provide thesupplyor service that represents the best value. 2 in addition to price see 8.404d and 8.4054,when determining best value,',
4631:'the ordering activitymay consider, among other factors, the following: i past performance. iispecial featuresof the supply orservice required for effective',
4632:'program performance. iii tradein considerations. iv probable life of the item selected as compared with that of a comparable item.',
4633:'v warrantyconsiderations. vi maintenance availability. vii environmental and energy efficiency considerations. viii delivery terms. 3 itheorderingactivitycontractingofficershall,tothemaximumextentpracticable,givepreferenceto establishingmultipleaward bpas, rather thanestablishing',
4634:'a singleawardbpa. iino singleaward bpa with anestimated value exceeding$100 million including anyoptions, may be awarded unless the head of the',
4635:'agency determines in writing that athe orders expected under the bpa are so integrally related thatonly a single source can',
4636:'reasonably perform the work; b the bpa provides only for firmfixed priced orders for 1 products with unitprices established in',
4637:'the bpa; or 2 services with prices established inthe bpa for specific tasks to be performed; c only one source',
4638:'is qualified and capable of performing the work at a reasonable price to the government; or dit isnecessary inthe public',
4639:'interest to awardthe bpa to a single sourceforexceptional circumstances. iii the requirement for a determination for asingleaward bpagreater than$100 million',
4640:'is in addition toany applicable requirement for a limitedsource justification at 8.4056. however,the two documents maybe combined into one document.',
4641:'iv in determininghow many multipleaward bpas to establish orthat a singleaward bpa is appropriate, the contracting officershouldconsider the followingfactors and',
4642:'document the decision inthe acquisition plan orbpa file: a the scope and complexity of the requirements; b the benefits of',
4643:'ongoing competition and the need to periodically compare multiple technical approaches or prices; c the administrative costs of bpas; and',
4644:'subpart 8.4 federal supply schedules 8.4053 d the technical qualifications of the schedule contractors. 4 bpas shall address the frequencyof',
4645:'ordering, invoicing, discounts, requirementse.g., estimated quantities, work to be performed, delivery locations, and time. 5 when establishing multipleawardbpas, theorderingactivity shall',
4646:'specify the procedures for placing orders under thebpas in accordance with 8.4053c2. 6 establishmentof amultiagencybpa against a federalsupply schedule contract',
4647:'ispermitted if themultiagency bpa identifies the participating agencies and theirestimated requirementsat the timethe bpa is established. 7 minimum documentation. the',
4648:'ordering activity contractingofficer shall includein the bpa filedocumentation the ischedulecontracts considered, noting the contractorto which the bpa wasawarded; ii description',
4649:'of the supply or service purchased; iii price; iv required justificationfora limitedsource bpa see 8.4056, if applicable; v determination for',
4650:'a singleaward bpaexceeding $100 million, if applicable seea3ii of this section; vi documentation supporting the decision to establish multipleaward bpas',
4651:'or a singleaward bpa see a3iv; vii evidence of compliance with paragraph b of this section, for competitively awarded bpas,if',
4652:'applicable; and viii basis for the award decision. this should includethe evaluationmethodology used in selectingthe contractor, therationaleforanytradeoffs in making theselection,',
4653:'and a price reasonableness determination for services requiring a statement of work. b competitive procedures for establishing a bpa.this paragraph',
4654:'applies to the establishment ofa bpa, in addition to applicable instructions in paragraph a. 1 for supplies, and for services',
4655:'not requiring a statement of work. the procedures of this paragraph apply when establishinga bpaforsupplies and services that are listed',
4656:'in theschedulecontract at a fixed price for theperformance of a specific task, where a statement of work is not required',
4657:'e.g., installation, maintenance, and repair. i if the estimated value of the bpa does not exceed the simplified acquisition threshold.',
4658:'a the ordering activity shall: 1 considerreasonably available information about the supply or service offered under mas contracts by surveying',
4659:'at least three schedule contractors through the gsa advantage! online shopping service, by reviewing the catalogs or pricelists of at',
4660:'least three schedule contractors, or by requesting quotations from at least three schedule contractors see 8.4055; or 2 document the',
4661:'circumstances for restricting consideration to fewer than three schedule contractors based on one of the reasons at 8.4056a. b the',
4662:'ordering activityshallestablishthe bpa with the schedule contractors thatcan provide thebestvalue. ii if the estimated value of the bpa exceeds the',
4663:'simplified acquisition threshold. the ordering activity contracting officer: a shall provide an rfq that includes a description of the supplies',
4664:'to be delivered or the services to be performed and the basis upon which the selection will be made. b',
4665:'1 shall postthe rfq on ebuyto afford all schedule contractors offering the required supplies or services under the appropriate multiple',
4666:'award schedules an opportunity to submit a quote; or 2 shall provide the rfq to as many schedule contractors as',
4667:'practicable, consistent with market research appropriate to the circumstances, to reasonably ensure that quotes will be received from at least',
4668:'three contractors that can fulfill the requirements. when fewer than three quotes are received from schedule contractors that can fulfill',
4669:'the requirements, the contracting officershallprepare a written determination explainingthat no additional contractors capableof fulfillingthe requirementscould be identifieddespite reasonable effortsto do',
4670:'so. the determination must clearly explain efforts made to obtain quotes from at least three schedule contractors. c shall ensure',
4671:'all quotes received are fairly considered and award is made in accordance with the basis for selection in the rfq.',
4672:'after seeking price reductions see 8.4054, establish the bpa with the schedule contractorsthat provides the best value. dthe bpa must',
4673:'be established inaccordancewith paragraphsb1iib andc ofthis section, unless the requirement is waived on the basis of a justification that is',
4674:'prepared and approved in accordance with 8.4056. 2 for services requiring a statement of work. this applieswhen establishing a bpa',
4675:'that requires services pricedat hourly rates, as provided by the schedule contract. the applicable services will be identified in the',
4676:'federal supply schedule publications and the contractor’s pricelists. federal acquisition regulation i statements of work sows. the ordering activity shall',
4677:'develop a statementof work. all statements of work shall include a description of work to be performed; location of work;',
4678:'period of performance; deliverable schedule; applicable performance standards; and any special requirements e.g., security clearances, travel, and special knowledge. to',
4679:'the maximum extent practicable, agency requirements shall be performancebased statements see subpart 37.6. ii typeoforder preference. the ordering activity shall',
4680:'specify the order type i.e., firmfixed price, timeandmaterials, or laborhour for theservicesidentified in the statement of work. the contracting officer',
4681:'should establish firm fixed priced orders to the maximum extentpracticable. for timeandmaterials and laborhourorders, the contracting officer shall follow the',
4682:'procedures at 8.404h. iii request for quotation procedures. the ordering activity must provide a rfq, which includes the statement of',
4683:'work and evaluation criteria e.g., experience and past performance, to schedule contractors that offer services that will meet theagency’s needs.',
4684:'the rfq may be posted togsa’s electronic rfq system, ebuy see 8.402d. iv if the estimated value of the bpa',
4685:'does not exceed the simplified acquisition threshold. the ordering activity shall provide the rfq including the statement of work and',
4686:'evaluation criteria toat leastthree schedule contractorsthat offer services thatwill meet the agency’s needs. v if estimated value of the bpa',
4687:'exceeds the simplified acquisition threshold. the ordering activity contracting officer ashallpost the rfqon ebuy to afford allschedule contractors offering the',
4688:'required supplies or servicesunder the appropriate multipleaward schedule an opportunity to submit a quote; or b shall provide the rfq,',
4689:'which includes the statement of work and evaluation criteria, to as many schedule contractors as practicable, consistent with market research',
4690:'appropriate to the circumstances, to reasonably ensure that quotes will be received from at least three contractors that can fulfill',
4691:'the requirements. when fewer than three quotes are received from schedule contractorsthat canfulfill the requirements,the contracting officershalldocument the file. the',
4692:'contracting officer shall prepare a written determination explaining that no additional contractors capable offulfilling the requirements could be identified despite',
4693:'reasonable efforts to do so. the determination must clearly explain efforts made to obtain quotes from at least three schedule',
4694:'contractors. vi the ordering activity contracting officer shall ensure all quotesreceived arefairly considered and awardis made in accordance withthe basis',
4695:'for selection inthe rfq. the ordering activity is responsible for considering thelevel of effort and the mix of labor proposed',
4696:'to perform, and for determining that the proposed price is reasonable. vii thebpa mustbe establishedin accordance with paragraph b2iv orv,',
4697:'and with paragraph b2vi of this section, unless the requirement is waived on the basis of a justification that is',
4698:'prepared and approved in accordance with 8.4056. viii theorderingactivity contracting officer shall establish the bpa with theschedulecontractors that represents the',
4699:'best value see 8.404d and 8.4054. 3 afteraward, ordering activities should provide timely notification tounsuccessful offerors. if an unsuccessful offeror',
4700:'requests information on an award that was based onfactors other than price alone, a brief explanation of the basis for',
4701:'the award decision shall be provided. c ordering from bpas. the proceduresin this paragraph c arenot required for bpas established',
4702:'onor before may 16, 2011. however, ordering activities are encouraged touse the procedures for suchbpas. 1 singleaward bpa. if the',
4703:'ordering activity establishes a singleaward bpa, authorizedusersmay place theorder directly underthe established bpa when the need for the supply orservice',
4704:'arises. 2 multipleaward bpas. i orders at or below the micropurchase threshold. the ordering activity may place orders at or',
4705:'belowthe micropurchase threshold with any bpaholder that can meetthe agency needs. the ordering activityshould attempt to distribute any such orders',
4706:'among the bpa holders. ii orders exceeding the micropurchase threshold but not exceeding the simplified acquisition threshold. a the ordering',
4707:'activity must provide each multipleaward bpaholder a fair opportunity to be considered for each order exceeding the micropurchase threshold, but',
4708:'not exceeding the simplified acquisition threshold unless one of the exceptions at 8.4056a1i applies. b the ordering activityneednot contact each',
4709:'of the multipleaward bpa holders before placing an order if information is available to ensure that each bpa holder is',
4710:'provided a fair opportunity to be considered for each order. c the ordering activitycontracting officer shall document thecircumstances when restricting',
4711:'consideration to less than all multipleaward bpa holders offering therequired suppliesandservices. subpart 8.4 federal supply schedules 8.4055 iii orders exceeding',
4712:'the simplified acquisition threshold. a the ordering activity shall place an order in accordance with paragraphs c2iiia1, 2 and 3',
4713:'of this paragraph, unless the requirement is waived on the basis of a justification that is prepared and approved in',
4714:'accordance with 8.4056. the ordering activity shall 1 provide an rfq to all bpa holders offeringthe required supplies or services',
4715:'under the multipleaward bpas,to include a descriptionof the supplies tobe deliveredor the services to be performed and the basis upon',
4716:'whichthe selection will be made; 2 afford all bpa holders responding to the rfq an opportunity to submit a quote;',
4717:'and 3 fairly consider all responses received and make award in accordance with the selection procedures. b the ordering activity',
4718:'shall document evidence of compliance with these procedures and the basis for the award decision. 3 bpas for hourlyrate services.',
4719:'if the bpa is for hourlyrate services, the ordering activity shall develop a statement of work for each order coveredby',
4720:'the bpa. ordering activities should place these orders on a firmfixed price basisto themaximum extent practicable. for timeandmaterials and laborhour',
4721:'orders, thecontracting officer shall follow the procedures at 8.404h. allordersunder thebpa shall specify a price for theperformance of the tasks',
4722:'identified in the statement of work. the ordering activityis responsible for considering the level ofeffort and the mix of labor',
4723:'proposed to perform a specific task being ordered, and for determining that the total price is reasonable through appropriate analysis',
4724:'techniques, and documenting the fileaccordingly. d duration of bpas. 1 multipleawardbpas generally should not exceed five yearsin length, but may',
4725:'do so to meet program requirements. 2 a singleaward bpa shall not exceed one year. it mayhaveup to four oneyear',
4726:'options. see paragraph e of this section for requirements associated with option exercise. 3 contractors maybe awarded bpas that extend',
4727:'beyond the current term oftheir gsa schedule contract, so long as there are option periods in their gsa schedule contractthat,',
4728:'if exercised,will coverthe bpa’s period ofperformance. e review of bpas. 1 the ordering activity contracting officer shall review the bpa',
4729:'and determinein writing, at least once a year e.g., at option exercise, whether ithe schedule contract,upon which the bpa was',
4730:'established, is still in effect; iithe bpa still represents thebest valuesee 8.404d; and iii estimated quantities/amounts have been exceeded and',
4731:'additional price reductions can be obtained. 2 the determination shall be included in the bpa file documentation. 8.4054 price reductions.',
4732:'orderingactivities may request a price reduction at any time before placing anorder, establishing a bpa, or in conjunction with the',
4733:'annual bpa review. however, the ordering activity shall seek a price reductionwhen the order or bpa exceeds the simplified acquisition',
4734:'threshold. schedule contractors are not required to pass on to all schedule users a price reduction extended only to an',
4735:'individual ordering activity for a specific order or bpa. 8.4055 small business. a although the preference programs of part 19',
4736:'are not mandatory in this subpart, in accordance with section 1331 of public law 111240 15 u.s.c. 644r 1 orderingactivity',
4737:'contracting officers may, at theirdiscretion i set aside orders for any of the small business concerns identified in 19.000a3; and',
4738:'iiset asidebpas for any ofthe small business concerns identified in 19.000a3. 2 when settingaside orders and bpas i follow the',
4739:'ordering procedures for federal supply schedules at 8.4051, 8.4052, and 8.4053; and ii the specific small business program eligibility requirements',
4740:'identified in part 19 apply. b ordersplacedunder schedule contracts maybe credited toward the ordering activity’s small businessgoals. for purposes of',
4741:'reporting an order placed with a small business schedule contractor, an ordering agency may only takecredit if the awardee meets',
4742:'a size standard that corresponds to the north american industry classification system code assigned to the order in accordance with',
4743:'19.102b3. ordering activities should rely on the small business representations made by schedule contractors at the contract level but see',
4744:'section 19.3012b2 concerning rerepresentation for an order. c ordering activities may consider socioeconomic status when identifying contractors for consideration or',
4745:'competition for award ofan orderor bpa. at a minimum, ordering activities should consider, if available, at least one smallbusiness, veteranowned',
4746:'small business, service disabled veteranowned small business, hubzone small business, womenowned federal acquisition regulation small business, or small disadvantaged business',
4747:'schedule contractors. gsa advantage! and schedules elibrary at http:// www.gsa.gov/fas contain information on the small business representations of schedule contractors.',
4748:'d for orders exceeding the micropurchase threshold, ordering activities should give preference to the items of small business concerns when',
4749:'two or more items at the same delivered price will satisfy the requirement. 8.4056 limitingsources. ordersplacedorbpasestablishedunderfederalsupplyschedulesareexemptfromtherequirementsin part 6.however, an ordering',
4750:'activity must justify its action when restricting consideration in accordance with paragraph a or b of this section— a orders',
4751:'or bpas exceeding themicropurchase threshold based ona limited sources justification. 1 circumstances justifying limiting the source. i for aproposed order',
4752:'orbpa with an estimated value exceeding the micropurchase threshold not placed or established in accordance with the procedures in, 8.4052,',
4753:'or 8.4053, the only circumstances that may justify the action are– aan urgent and compelling need exists, and following the',
4754:'procedures wouldresult in unacceptable delays; b only one source is capable of providing the supplies or services required at the',
4755:'level of quality required because the supplies or services are unique or highly specialized; or c in the interest of',
4756:'economy and efficiency, the new workis alogical followon to an original federal supply schedule order provided that the original order',
4757:'was placed in accordance with the applicable federal supply schedule ordering procedures. the original order or bpa must not have',
4758:'been previouslyissuedunder solesource or limitedsources procedures. ii see 8.4056c for the content of the justification for anorder or bpa exceeding',
4759:'the simplified acquisition threshold. 2 posting. i within 14 days after placingan orderor establishing a bpa exceedingthe simplified acquisition threshold',
4760:'that is supported by a limitedsources justification permitted under any of the circumstances under paragraph a1 of this section, the',
4761:'ordering activity shall– a publish a notice in accordance with 5.301; and b post the justification 1 at the gpe',
4762:'https://www.sam.gov; 2 on the website of the ordering activity agency, which mayprovide access to the justificationby linkingto the gpe; and',
4763:'3 for a minimum of 30 days. iiin the case ofan orderor bpa permitted under paragraph a1ia of this section,the',
4764:'justification shall be posted within 30 days after award. iii contractingofficers shall carefully screen all justifications for contractor proprietary data',
4765:'and remove all such data, and such references and citations as are necessary to protect the proprietary data, before making',
4766:'the justifications available for public inspection. contractingofficers shall also be guided by theexemptions to disclosure of information contained in the',
4767:'freedom of information act 5 u.s.c. 552 and the prohibitions against disclosure in 24.202 in determining whether other data should',
4768:'be removed. although the submitter notice process set out in executive order 12600 predisclosurenotificationprocedures for confidential commercial information doesnot apply,',
4769:'if the justificationappears to containproprietary data,the contracting officer should provide the contractor that submitted the informationan opportunity to review the',
4770:'justification for proprietary data before making the justification available for public inspection, redacted as necessary. this process must not prevent',
4771:'or delay the posting of thejustification inaccordancewith the timeframes required in paragraphs a2i and ii of this section. iv this',
4772:'posting requirement does not apply when disclosure would compromise the national security e.g., would result in disclosure of classified information',
4773:'or create other security risks. b items peculiar to one manufacturer. an item peculiar to one manufacturer can be a',
4774:'particular brand name, product, or a feature of a product, peculiar to onemanufacturer. a brand name item, whether availableon one',
4775:'or more schedule contracts, is an itempeculiar to one manufacturer. 1 brand name specifications shall not be used unless the',
4776:'particular brand name, product, or feature is essential to thegovernment’s requirements,andmarketresearchindicates other companies’ similarproducts, or products lacking the particular feature,',
4777:'donot meet, or cannot bemodified tomeet, the agency’sneeds. subpart 8.4 federal supply schedules 8.4056 2 documentation. ifor proposed orders or',
4778:'bpas with anestimated value exceedingthe micropurchase threshold, but notexceeding the simplified acquisition threshold, the ordering activity contracting officershalldocument the basisfor',
4779:'restricting consideration to an item peculiar to one manufacturer. iifor proposed orders or bpas with anestimated value exceedingthe simplified acquisitionthreshold,',
4780:'see paragraph c of this section. iii the documentation or justification must be completed and approved at the time the',
4781:'requirement for a brand name item is determined. in addition, the justification for a brandname item is required at the',
4782:'order level when a justification for thebrandname item was not completed for the bpaor does notadequately cover the requirementsin the',
4783:'order. 3 posting. i the ordering activity shall post the following information along with the request for quotation rfq to',
4784:'ebuy https://www.ebuy.gsa.gov: afor proposed orders or bpas with anestimated value exceeding$25,000, but notexceeding the simplified acquisition threshold, the documentation required',
4785:'by paragraph b2i of this section. b forproposed orders or bpas withan estimatedvalue exceeding the simplified acquisition threshold, the justification',
4786:'required by paragraph c of this section. c the documentation in paragraph b2i of this sectionand the justification in paragraph',
4787:'c of this section is subject to the screening requirement in paragraph a2iii of this section. ii the posting requirement',
4788:'of paragraph b3i of this section does not apply when a disclosure would compromise the national security e.g., would result',
4789:'in disclosure of classified information or create other security risks. the fact that access to classified matter may be necessary',
4790:'to submit a proposal or perform the contract does not, in itself, justify use of this exception; b the nature',
4791:'of the file e.g., size, formatdoes not make it costeffectiveor practicableforcontracting officers to provide access through ebuy;; or c the',
4792:'agency’s senior procurement executive makes a written determination that access through ebuy is not in thegovernment’s interest. 4 when applicable,',
4793:'the documentation and posting requirements in paragraphs b2 and 3 of this section apply only tothe portionof the order or',
4794:'bpa that requires a brandname item. if thejustification and approval is to cover only the portion of the acquisition which',
4795:'is brandname, then it should so state; the approval level requirements will then only apply to that portion. c an',
4796:'orderor bpa with an estimated value exceeding the simplified acquisition threshold. 1 for a proposed order or bpa exceedingthe simplified',
4797:'acquisitionthreshold, therequiring activity shall assist the ordering activity contracting officer in the preparation of the justification. the justification shall cite',
4798:'that the acquisition is conducted under the authority of the multipleaward schedule program see 8.401. 2 at a minimum, each',
4799:'justification shall include the following information: iidentification of the agency and thecontracting activity, and specific identification of thedocument as a',
4800:'limitedsources justification. ii nature and/or description of the action being approved. iii a description of the supplies or services required',
4801:'to meet the agency’s needsincludingthe estimated value. iv the authority and supporting rationale see 8.4056a1i and b1 and, if applicable,',
4802:'a demonstration of the proposed contractor’s unique qualificationsto provide the required supply or service. v a determination by the ordering',
4803:'activity contracting officerthat the order representsthe best value consistent with 8.404d. vi a description of the market research conducted among',
4804:'schedule holders and the results or a statement of the reason market research was not conducted. vii any other facts',
4805:'supporting the justification. viii a statement of the actions, if any, the agencymay take to remove or overcomeanybarriers that led',
4806:'to the restricted consideration before any subsequent acquisition for the supplies or services is made. ix the ordering activity contracting',
4807:'officer’s certificationthat the justification is accurate and complete to the best of the contracting officer’s knowledge and belief. x evidence',
4808:'that any supporting data that is the responsibility of technical or requirements personnel e.g., verifying thegovernment’s minimum needs orrequirements or',
4809:'other rationale for limitedsources and which form a basis for the justification have been certified as complete and accurate by',
4810:'the technical or requirements personnel. xi for justifications under 8.4056a1, a writtendeterminationby the approving official identifyingthe circumstance that applies. federal',
4811:'acquisition regulation d justification approvals. 1 for a proposed order orbpa withan estimated value exceeding thesimplified acquisition threshold, but not',
4812:'exceeding $750,000,the ordering activity contracting officer’scertification that the justification is accurate and complete tothe best of the ordering activity contracting',
4813:'officer’s knowledge andbelief will serveas approval, unless a higher approval level is established in accordance with agency procedures. 2 for',
4814:'a proposed order orbpa withan estimated value exceeding $750,000, but not exceeding $15 million, the justification must beapproved bythe advocateforcompetition',
4815:'of the activity placing the order,or by an official named in paragraph d3 or 4 of this section. this authority',
4816:'is not delegable. 3 for a proposed order orbpa withan estimated value exceeding $15 million, but not exceeding $75million or,',
4817:'for dod, nasa, and the coast guard, not exceeding $100 million, the justification must be approved by i the head',
4818:'of the procuring activity placing the order; ii a designee who aif a member ofthe armed forces, is a general',
4819:'or flag officer;or b if a civilian, is serving in a position in a grade above gs15 under the general',
4820:'schedule or in a comparable or higher position under another schedule; or iii an official named in paragraph d4 of',
4821:'thissection. 4 for a proposed order orbpa withan estimated value exceeding $75 million or,fordod, nasa, and the coast guard, over',
4822:'$100 million, the justification must be approved by the senior procurement executive of the agency placing the order. this authority',
4823:'isnot delegable, except in the case ofthe under secretary of defense for acquisition and sustainment, acting as the senior procurement',
4824:'executive for the department of defense. 8.4057 payment. agencies may make payments for oral or written orders by any authorized',
4825:'means, including the governmentwide commercial purchase card but see 32.1108b2. 8.406 ordering activityresponsibilities. 8.4061 order placement. a ordering activities may',
4826:'place orders orally, except for 1 supplies and services not requiring a statement of work exceeding the simplified acquisition threshold;',
4827:'2 services requiring a statement of work sow; and 3 orders containing brandname specifications that exceed $25,000. b ordering activities',
4828:'may use optional form 347, an agencyprescribed form, or an established electronic communications format to order supplies or services from',
4829:'schedule contracts. c the ordering activity shall place an order directly with the contractor in accordance with the terms and',
4830:'conditions of the price lists see 8.402b. prior to placementof the order, the ordering activity shall ensure that theregulatoryand statutory',
4831:'requirements of the requiring agency have been applied. d orders shall include the following information in addition to any information',
4832:'required by the schedule contract: 1 complete shipping and billing addresses. 2 contract number and date. 3 agency ordernumber. 4',
4833:'f.o.b. delivery point; i.e., origin or destination. 5 discount terms. 6 delivery time or period of performance. 7 special itemnumber',
4834:'or national stocknumber. 8 line item or subline item. 9 a statement of work for services, when required, or a',
4835:'brief, complete description of each item when ordering by model number, features and options such as color, finish,and electrical characteristics,',
4836:'if available, must be specified. 10 quantity and any variation in quantity. 11 number of units. 12 unit price. 13',
4837:'total priceof order. 14 points of inspection and acceptance. 15 other pertinent data; e.g., delivery instructions or receiving hours and',
4838:'sizeoftruck limitation. subpart 8.4 federal supply schedules 8.4064 16 marking requirements. 17 level of preservation, packaging, and packing. 8.4062 inspection',
4839:'and acceptance. a supplies. 1 consignees shall inspect supplies at destination except when i the schedule contract indicates that mandatory',
4840:'source inspection is required by the schedule contracting agency; or ii a schedule item is covered by a product description,',
4841:'and the ordering activity determines that the schedule contracting agency’sinspectionassistance is needed based on the ordering volume, the complexity of',
4842:'the supplies, or the past performance of the supplier. 2 when the schedule contracting agency performs the inspection, the ordering',
4843:'activity will provide two copies of theorder specifying source inspection tothe schedule contracting agency. the schedule contracting agency will notify',
4844:'the ordering activity of acceptance or rejection of the supplies. 3 material inspected at source by theschedule contracting agency, and',
4845:'determined to conform with the product description of the schedule, shall not be reinspected for the same purpose. the consignee',
4846:'shall limit inspection to kind, count, and condition on receipt. 4 unless otherwise provided in the schedule contract, acceptance is',
4847:'conclusive, except as regards latent defects, fraud, or such gross mistakes as amount to fraud. b services. the ordering activity',
4848:'has the right to inspect all services in accordance with the contract requirements and as calledforby the order. the ordering',
4849:'activityshallperform inspections and tests as specified in the order’s quality assurance surveillance plan in a manner that will not unduly',
4850:'delay the work. 8.4063 remedies for nonconformance. a if a contractor delivers a supply or service, but it does not',
4851:'conform to the order requirements, the ordering activity shall takeappropriate actionin accordance with theinspectionand acceptance clause of the contract,as supplemented',
4852:'by theorder. b if the contractor fails to perform an order, or take appropriate correctiveaction,the ordering activity mayterminatethe order for',
4853:'cause or modify the order to establish a new delivery date after obtaining consideration, as appropriate. ordering activities shall follow',
4854:'the procedures at 8.4064 when terminating an order for cause. 8.4064 termination for cause. a 1anorderingactivitycontractingofficermayterminateindividualordersforcause. terminationforcauseshall comply withfar 12.403,',
4855:'and may include charging the contractorwith excess costs resulting from repurchase. 2 the schedule contracting office shall benotified ofall instances',
4856:'wherean ordering activity contractingofficer has terminated for cause an individual order to a federalsupplyschedulecontractor, orif fraud is suspected. b if',
4857:'the contractor asserts thatthe failure was excusable, the ordering activity contracting officer shall follow the procedures at 8.4066, as appropriate.',
4858:'c if the contractor is chargedexcess costs, the following apply: 1 any repurchase shall be made at as low a',
4859:'price as reasonable, considering the quality required by the government, delivery requirement, and administrative expenses. copies of all repurchase orders,',
4860:'except the copy furnished to the contractor or any other commercial concern, shall include the notation: repurchase against the account',
4861:'of [insert contractor’s name] under order [insert number] under contract [insert number]. 2 when excess costs areanticipated, the ordering activity',
4862:'may withhold funds due the contractor as offset security. orderingactivities shall minimize excess costs to be charged againstthe contractor and',
4863:'collect or setoff any excess costs owed. 3 if an ordering activity isunable to collect excess repurchase costs, it shall',
4864:'notify the schedule contractingoffice after final payment to the contractor. i the notice shall include the following information about the',
4865:'terminated order: aname and address of thecontractor. b schedule, contract, andorder number. c line item numbers and a brief description',
4866:'of the items. d cost of schedule items involved. e excess costs to be collected. federal acquisition regulation f other',
4867:'pertinent data. ii the notice shall also include the following information about the purchase contract: aname and address of thecontractor.',
4868:'b item repurchase cost. c repurchase order number and date of payment. dcontract number, if any. e other pertinent data.',
4869:'d onlythe schedule contracting officermay modify thecontract to terminate for cause any, orall, supplies or services covered bythe schedule contract.',
4870:'if the schedule contracting officer has terminated any suppliesor services covered by the schedule contract, no further orders may be',
4871:'placed for those items. orders placed prior to termination for cause shall be fulfilled by the contractor, unless terminated for',
4872:'theconvenience of the government by the ordering activity contracting officer. e reporting. an ordering activity contracting officer, inaccordancewith agency procedures,',
4873:'shall ensure that information related to termination for cause notices and any amendments are reported. in the event the termination',
4874:'for cause is subsequently converted to atermination for convenience, or is otherwise withdrawn,the contracting officershallensure that a notice of the',
4875:'conversion or withdrawal is reported. all reporting shall be in accordance with 42.1503h. 8.4065 termination for the government’s convenience. a',
4876:'an ordering activity contractingofficer may terminate individual orders for the government’sconvenience. terminations for thegovernment’s convenience shall complywith far 12.403. b',
4877:'before terminating orders for the government’s convenience, the ordering activitycontracting officer shall endeavor to enter intoa nocost settlement agreementwith the',
4878:'contractor. c only the schedule contractingofficer may modify the schedule contract to terminate any, or all, supplies or services covered',
4879:'bythe schedule contract for thegovernment’s convenience. 8.4066 disputes. a disputes pertaining to the performance of orders under a schedule contract.',
4880:'1 under the disputes clause of the schedule contract, the ordering activity contracting officer may i issue final decisions on',
4881:'disputes arising from performance of the order but see paragraph b of this section; or iirefer the dispute to the',
4882:'schedule contractingofficer. 2 the ordering activity contracting officer shall notify the schedule contracting officer promptly of any final decision. b',
4883:'disputes pertaining to the terms and conditions of schedule contracts. the ordering activity contractingofficer shall refer all disputes that relate',
4884:'to the contract terms andconditions to the schedule contracting officer for resolution under the disputes clause of the contract and',
4885:'notify the schedule contractor of the referral. c appeals. contractors may appeal final decisions to either the board of contract',
4886:'appeals servicing the agency that issued the final decision or the u.s. court of federal claims. d alternative dispute resolution.',
4887:'the contracting officer should use the alternative dispute resolution adr procedures, to the maximum extent practicable see 33.204 and 33.214.',
4888:'8.4067 contractor performance evaluation. ordering activities must prepare at least annually and at the time the work under the order',
4889:'is completed, an evaluation of contractor performance for each order that exceeds the simplified acquisition threshold in accordance with 42.1502c.',
4890:'subpart 8.5 [reserved] subpart 8.5 [reserved] this page intentionally left blank. subpart 8.6 acquisition from federal prison industries, inc. 8.602',
4891:'subpart 8.6 acquisition from federal prison industries, inc. 8.601general. a federal prison industries, inc. fpi, also referred to as unicor,',
4892:'is a selfsupporting, wholly owned government corporation of the district of columbia. b fpi provides training and employment for prisoners',
4893:'confined in federal penal and correctional institutions through the sale of its supplies and services to government agencies 18 u.s.c.',
4894:'41214128. c fpidiversifies itssupplies and services to minimize adverse impact onprivate industry. d supplies manufactured and services performed by fpi',
4895:'are listed in the fpi schedule, which can be accessed at http:// www.unicor.gov or by submitting a written request tofederal',
4896:'prison industries, inc.,department ofjustice, washington, dc 20534. e agencies are encouraged to purchase fpi supplies and services to the maximum',
4897:'extent practicable. 8.602 policy. a in accordance with 10 u.s.c. 3905 and section 637 of division h of the consolidated',
4898:'appropriations act, 2005 pub. l. 108447 18 u.s.c. 4124 note, and except as provided in paragraph b of this section,',
4899:'agencies shall 1 before purchasing an item of supply listed in the fpi schedule, conduct market research to determine whether',
4900:'thefpi itemis comparable tosupplies available from theprivatesector that bestmeet thegovernment’s needs in terms of price, quality,and time ofdelivery. thisis aunilateraldetermination',
4901:'made atthe discretion of the contracting officer. the arbitration provisions of 18 u.s.c. 4124b do not apply. 2 prepare a',
4902:'writtendeterminationthat includes supportingrationaleexplaining the assessment of price, quality, and time of delivery, basedon the results ofmarketresearchcomparingthe fpi item tosupplies available',
4903:'from theprivatesector. 3 if the fpi item is comparable, purchase the item from fpi following the ordering procedures at http://',
4904:'www.unicor.gov, unless a waiver is obtained in accordance with 8.604; and 4 if the fpi item is not comparablein one',
4905:'or more ofthe areas of price, quality,and time ofdelivery i acquire the item using a competitive procedures e.g., the procedures',
4906:'in 6.102, the setaside procedures in subpart 19.5, or competition conducted in accordance with part 13; or b the fair',
4907:'opportunity procedures in 16.505, if placing an order under a multiple award deliveryorder contract; iiinclude fpi in the solicitation processand',
4908:'considera timely offer from fpi for award in accordance with the item description or specifications, and evaluation factors in the',
4909:'solicitation a if the solicitation is available through the governmentwide point of entry contract opportunities at sam.gov , it is',
4910:'not necessary to provide a separate copy of the solicitation to fpi; b if the solicitation is not available through',
4911:'contract opportunities at sam.gov , provide a copy of the solicitation to fpi; iii when using a multiple award schedule',
4912:'issued under the procedures in subpart 8.4 or when using the fair opportunity procedures in 16.505 a establish and communicate',
4913:'to fpi the item description or specifications, and evaluation factors that will beused as the basis for selectinga source, so',
4914:'that an offer from fpi can be evaluated on thesame basis as the contract or schedule holder; and b consider',
4915:'a timelyoffer fromfpi; iv award to the source offering the item determined bythe agencyto provide the best value tothe government;',
4916:'and v when the fpiitem isdetermined to providethe best value to the government as a result of fpi’s response to',
4917:'a competitive solicitation, follow the ordering procedures at http://www.unicor.gov. b the procedures in paragraph a of this section do not',
4918:'apply if an exception in 8.605b through g applies. c in some cases where fpi and an abilityone participating nonprofit',
4919:'agency produce identical items see 8.603, fpi grants a waiver to permit the government to purchase a portion of its',
4920:'requirement from the abilityone participating nonprofit agency. when this occurs, the portion of therequirementforwhich fpi has granteda waiver 1 shall',
4921:'be purchased from the abilityone participating nonprofit agency using the procedures in subpart 8.7; and 2 shall not be subject',
4922:'to the procedures in paragraph a of this section. d disputes regarding price, quality, character, or suitability of supplies producedby',
4923:'fpi, except for determinations under paragraph a1 of this section, are subject to arbitration as specified in 18 u.s.c. 4124.',
4924:'the statute provides that the federal acquisition regulation arbitration shall be conducted by a board consisting of the comptroller general',
4925:'of the united states, the administrator of general services, and the president, or their representatives. the decisions of the board',
4926:'are final and binding on all parties. 8.603 purchase priorities. fpi and nonprofit agencies participating in the abilityone program under',
4927:'41 u.s.c. chapter 85, committee for purchase from people who are blind or severely disabled see subpart 8.7 may produce',
4928:'identical supplies or services. when this occurs, ordering offices shall purchase supplies andservices in thefollowing priorities: a supplies. 1 federal',
4929:'prison industries, inc. 41 u.s.c. 8504. 2 abilityone participating nonprofit agencies. 3 commercial sources. b services. 1 abilityone participating nonprofit',
4930:'agencies. 2 federal prison industries, inc., or commercial sources. 8.604 waivers. fpi may grant a waiver for purchase of supplies',
4931:'in the fpi schedule from another source. fpi waivers ordinarily are of the following types: a general or blanket waivers',
4932:'issued when classes of supplies are not available from fpi. b formal waivers issued in response torequests from offices desiring',
4933:'toacquire, from other sources, supplies listed in the fpi schedule andnot covered by a general waiver. agencies shall processwaiver requestsin',
4934:'accordance with the procedures at http://www.unicor.gov. 8.605exceptions. purchase from fpi is not mandatory and a waiver is not required if',
4935:'a 1thecontractingofficermakesadeterminationthatthefpiitemofsupplyisnotcomparabletosuppliesavailable from the private sector that best meet the government’s needs in terms of price, quality,andtime ofdelivery; and 2',
4936:'the item is acquired in accordance with 8.602a4; b public exigency requires immediate delivery or performance; c suitable used or',
4937:'excess supplies are available; d the supplies are acquired and used outside the united states; e acquiring listed items totaling',
4938:'$3,500 or less; f acquiring items that fpioffers exclusively on a competitive nonmandatory basis, as identified inthe fpi schedule; or',
4939:'g acquiring services. 8.606evaluating fpi performance. agencies shall evaluate fpi contract performance in accordance with subpart 42.15. performance evaluations do',
4940:'not negate the requirements of 8.602 and 8.604, but they may be used to support a waiver request in accordance',
4941:'with 8.604. 8.607 performanceas a subcontractor. agencies shall not requirea contractor, or subcontractor at any tier, to use fpi as',
4942:'a subcontractor for performance of a contract by any means, including means such as a a solicitation provision requiringa potential',
4943:'contractorto offer to make use of fpi supplies or services; b a contract specification requiring the contractor to use specific',
4944:'supplies or services or classes of supplies or services offered by fpi; or c any contract modification directing the use',
4945:'of fpi supplies or services. 8.608 protectionof classified andsensitive information. agencies shall not enter into any contract with fpi that',
4946:'allows an inmate worker access to any a classified data; b geographic data regarding the location of 1 surface and',
4947:'subsurface infrastructure providing communications or water or electrical power distribution; 2 pipelines for the distribution of natural gas, bulk petroleum',
4948:'products, or other commodities; or 3 other utilities; or subpart 8.6 acquisition from federal prison industries, inc. 8.608 c personal',
4949:'or financial information about any individual private citizen,including information relating to such person’s real property however described, without the prior',
4950:'consent of the individual. this page intentionally left blank. subpart 8.7 acquisition from nonprofit agencies employing people who are blind',
4951:'or severely disabled 8.703 subpart 8.7 acquisition from nonprofit agencies employing people who are blind or severely disabled 8.700scope of',
4952:'subpart. this subpart prescribes the policies and procedures for implementing– a 41 u.s.c. chapter 85, committee for purchase from people',
4953:'who are blind or severely disabled; and b the rules of the committee for purchase from people who are blind',
4954:'or severely disabled 41 cfr chapter 51, which implements the abilityone program. 8.701definitions. as used in this subpart allocation means',
4955:'an action taken by a central nonprofit agency to designate the abilityone participating nonprofit agencies that will furnish definite quantities',
4956:'of supplies or perform specific services upon receipt of orders from ordering offices. central nonprofit agency means national industries for',
4957:'the blind nib, which has been designated to represent people who are blind; or nish, which has been designated to',
4958:'represent abilityone participating nonprofit agencies serving people with severe disabilities other than blindness. committee means the committee for purchase from',
4959:'people who are blind or severely disabled. government or entity of the government means anyentity of thelegislative orjudicial branch, any',
4960:'executive agency, military department, government corporation, or independent establishment, the u.s. postal service, or any nonappropriatedfund instrumentality of the armed',
4961:'forces. ordering office means any activity in an entity of the government that places orders for the purchase of supplies',
4962:'or services under the abilityone program. procurement list means a list of supplies including military resale commodities and services that',
4963:'the committee has determined are suitable for purchase by the government under 41 u.s.c. chapter 85. nonprofit agency serving people',
4964:'who are blind or nonprofit agency serving people with other severe disabilities referred to jointly as abilityone participating nonprofit agencies',
4965:'means a qualified nonprofit agency employing people who are blind or have other severe disabilities approved by the committee to',
4966:'furnish a commodity or a service to the government under 41 u.s.c. chapter 85. 8.702general. the committee is an independent',
4967:'government activity with members appointed by the president of the united states. it is responsible for a determining those supplies',
4968:'and services to be purchased by all entities of the government from abilityone participating nonprofit agencies; b establishing prices for',
4969:'the supplies and services; and c establishing rules and regulations to implement 41 u.s.c. chapter 85. 8.703 procurement list. the',
4970:'committee maintains a procurement list of all supplies and services required to be purchased from abilityone participating nonprofit agencies. the',
4971:'procurement list may be accessed at: http://www.abilityone.gov . questions concerning whether a supply item or service is on the procurement',
4972:'list may be submitted at internet email address info@abilityone.gov or referredto the committee offices at the following address and telephone',
4973:'number: committee for purchase from people who are blind or severely disabled, 1401 s. clark street, suite 10800, arlington, va222023259,',
4974:'703 6037740. many items on the procurement list are identified in the general services administration gsa supply catalog and gsa’s',
4975:'customerservice center catalogs witha black squareand the words nib/nish mandatory source, and in similar catalogsissuedby the defense logistics agency dla',
4976:'and the departmentof veterans affairs va. gsa,dla, and vaare central supply agenciesfrom whichotherfederal agencies are required topurchase certain supply itemson',
4977:'the procurement list. federal acquisition regulation 8.704 purchase priorities. a 41 u.s.c. chapter 85 requires the government to purchase supplies',
4978:'or services on the procurement list, at prices established by the committee, from abilityone participating nonprofit agencies if they are',
4979:'available within the period required. when identical supplies or services are on the procurement list and the schedule of products',
4980:'issued by federal prison industries, inc., ordering officesshallpurchase supplies and services in the following priorities: 1 supplies: i federal prison',
4981:'industries, inc. 41 u.s.c. 8504. ii abilityone participating nonprofit agencies. iii commercial sources. 2 services: i abilityone participating nonprofit agencies.',
4982:'ii federal prison industries, inc., or commercial sources. b no other provision of the farshallbe construedas permitting an exception to',
4983:'the mandatory purchase of items on the procurement list. c theprocurement list identifiesthose supplies for which the ordering office must',
4984:'obtain aformal waiver 8.604 from federal prison industries, inc., before making any purchases from abilityone participating nonprofit agencies. 8.705 procedures.',
4985:'8.7051 general. a ordering offices shall obtainsupplies and services onthe procurement listfrom the central nonprofit agency or its designated abilityone',
4986:'participating nonprofit agencies, except that supplies identified on the procurement list as available from dla, gsa, or va supply distributionfacilities',
4987:'shall be obtained through dla,gsa, or vaprocedures. if a distribution facility cannot provide the supplies, it shall inform the ordering',
4988:'office, which shall then order fromthe abilityone participating nonprofit agency designated by the committee. b supply distribution facilities in dla',
4989:'and gsa shall obtain supplies on the procurement list from the central nonprofit agency identified or its designated abilityone participating',
4990:'nonprofitagency. 8.7052 directorder process. central nonprofit agencies may authorize ordering officesto transmit orders for specific supplies or services directly to',
4991:'an abilityoneparticipating nonprofit agency. the written authorization remains valid until it is revoked by the central nonprofit agency or the',
4992:'committee. the central nonprofit agency shall specify the normal delivery or performance lead time required by the nonprofitagency. the ordering',
4993:'office shall reflectthis lead time in its orders. 8.7053 allocation process. a when thedirect order process has not been authorized,',
4994:'theorderingoffice shall submit a written request for allocation requesting the designation of the abilityone participating nonprofit agency to produce the',
4995:'supplies or perform the service to the central nonprofit agency designatedin the procurement list. orderingoffices shall requestallocations insufficient time for',
4996:'areply, for orders tobe placed, and for the nonprofit agency to produce the supplies or provide the service within the',
4997:'required delivery or performance schedule. b the ordering office’s requestto the central nonprofit agency for allocation shall include thefollowing information:',
4998:'1 for suppliesitem name,stock number, latest specification, quantity, unitprice,date deliveryis required, and destination to which delivery is to be made.',
4999:'2 for servicestype and location of service required,latest specification, work to be performed, estimated volume, and required date or dates',
5000:'for completion. 3 other requirements; e.g., packing, marking, asnecessary. c when an allocation is received, the ordering office shall promptly',
5001:'issuean orderto the specified abilityone participatingnonprofit agency or to the central nonprofit agency, asinstructedby the allocation. if the issuance of',
5002:'an order is to be delayed for more than 15 daysbeyondreceipt of theallocation, orcanceled, the ordering office shall advisethe central',
5003:'nonprofit agencyimmediately. d orderingoffices mayissue orders without limitationas to dollar amount and shall record them upon issuance as obligations. each',
5004:'ordershallinclude, as a minimum,the information contained in the request for allocation. ordering offices subpart 8.7 acquisition from nonprofit agencies employing',
5005:'people who are blind or severely disabled 8.707 shall also include additional instructions necessary for performance under the order; e.g.,',
5006:'on the handling of governmentfurnishedproperty, reports required, and notification of shipment. 8.7054 compliance with orders. a thecentral nonprofitagency shall inform',
5007:'the ordering officeof changes in lead timeexperienced byits abilityone participatingnonprofit agencies to minimize requests for extensions once the ordering office',
5008:'places an order. b the ordering office shall grant a request by acentral nonprofitagency or abilityone participating nonprofit agency for',
5009:'revision in the delivery or completion schedule, if feasible. if extension of the delivery or completion date is not feasible,',
5010:'theorderingoffice shall notify the appropriate central nonprofit agency and request that it reallocate the order, orgranta purchase exception authorizing acquisition',
5011:'from commercial sources. c when an abilityone participating nonprofit agency fails to perform under the terms of an order, the',
5012:'ordering office shall make every effort to resolve thenoncompliance with the nonprofit agency involved and tonegotiate an adjustment beforetakingaction to',
5013:'cancelthe order. if the problem cannot be resolved with the nonprofit agency, the ordering office shall refer thematter for resolution',
5014:'firstto the central nonprofit agency and then, if necessary, tothe committee. d when, after complying with 8.7054c, the ordering officedeterminesthat',
5015:'it must cancel anorder, it shall notify thecentral nonprofitagency and, if practical, request a reallocation ofthe order. whenthe central nonprofit',
5016:'agency cannot reallocate the order, it shall grant a purchase exceptionpermitting use of commercial sources, subject to approvalby the committee',
5017:'when the value of the purchase exception is $25,000 or more. 8.706 purchase exceptions. a ordering offices may acquiresupplies orserviceson',
5018:'the procurement list from commercial sourcesonlyif the acquisition isspecifically authorized ina purchase exceptiongranted by the designatedcentral nonprofitagency. b the central',
5019:'nonprofit agency shall promptly grant purchase exceptions when 1 the abilityone participating nonprofit agencies cannot provide the supplies or services',
5020:'within the time required, and commercial sources can provide them significantly sooner in the quantities required; or 2 the quantity',
5021:'required cannot be produced or provided economically by the abilityone participating nonprofit agencies. c the central nonprofit agency granting the',
5022:'exception shall specify the quantity and delivery or performance period covered by the exception. d when apurchase exception is granted,',
5023:'the contracting officer shall 1 initiate purchase action within 15 days following the date of the exception or any extension',
5024:'granted by the central nonprofit agency; and 2 provide a copy of the solicitation to the central nonprofit agency when',
5025:'it is issued. e the committee may also grant a purchase exception, under any circumstances it considers appropriate. 8.707prices. a',
5026:'the prices of items on the procurement list are fair market prices established by the committee. all prices for supplies',
5027:'ordered under this subpart are f.o.b. origin. b prices for supplies arenormally adjusted semiannually. pricesforservicesare normally adjustedannually. c the committee',
5028:'may request the agency responsible for acquiring the supplies or service to assist it in establishing or revising the fair',
5029:'market price. the committee has the authority to establish prices without prior coordination with the responsible contracting office. d price',
5030:'changes shall normally apply to all orders received by the abilityone participating nonprofit agency on or after theeffective date ofthe',
5031:'change. in specialcases, after considering the views of the ordering office, thecommittee may make price changes applicable toordersreceived by the',
5032:'abilityone participating nonprofitagency prior tothe effective date of the change. e if an ordering officedesirespacking, packaging,or marking of supplies other',
5033:'than the standard pack as provided on the procurement list, anydifference in costs shall beincluded as a separate item on',
5034:'the nonprofitagency’s invoice. theordering officeshallreimburse the nonprofitagency for these costs. f ordering officesmay make recommendations to thecommittee at any time',
5035:'for price revisions for supplies and services on the procurement list. federal acquisition regulation 8.708shipping. a delivery is accomplished whena',
5036:'shipment is placed aboard thevehicle of the initial carrier. the time ofdelivery isthe dateshipmentis released to and accepted by theinitial',
5037:'carrier. b shipment is normally under government billsof lading. however, for small orders, ordering offices may specify other shipment methods.',
5038:'c when shipments are under government bills of lading, the bills of lading may accompany orders or be otherwise furnishedpromptly.',
5039:'failure of an ordering office to furnish bills of ladingor to designatea method of transportation may result in an excusable',
5040:'delay indelivery. d abilityone participating nonprofit agencies shall include transportation costs for small shipments paid by the nonprofit agencies asan',
5041:'item on the invoice. the ordering office shall reimburse the nonprofit agencies for these costs. 8.709payments. the ordering office shall',
5042:'make payments for suppliesor services on the procurementlist within 30days after shipment or after receiptof aproper invoiceor voucher. 8.710 qualityof',
5043:'merchandise. supplies and services provided by abilityone participating nonprofit agencies shall comply with the applicable government specificationsand standards citedin theorder.',
5044:'when no specifications or standards exist a supplies shall be of the highest quality and equal to similar items available',
5045:'on the commercial market; and b services shall conform to good commercial practices. 8.711quality complaints. a when thequalityof suppliesor services',
5046:'received is unsatisfactory, theusing activity shall takethe following actions: 1 for supplies received from dla supply centers, gsa supply distribution',
5047:'facilities, or department of veterans affairs distribution division, notify the supplying agency. 2 for supplies or services received from abilityone',
5048:'participating nonprofit agencies, address complaints to the individualnonprofit agency involved, with acopy to the appropriate centralnonprofit agency. b when quality',
5049:'problemscannot be resolvedby the abilityone participating nonprofit agencyandthe ordering office, theorderingoffice shall first contact thecentral nonprofitagency and then, if necessary,',
5050:'the committee for resolution. 8.712specification changes. a the contracting activity shall notify the abilityone participating nonprofit agency and appropriate central',
5051:'nonprofit agency of any change in specifications or descriptions. in the absence of such written notification, the abilityone participatingnonprofit agency',
5052:'shall furnish the supplies or services under the specification or description cited in the order. b the contracting activity shall',
5053:'provide 90days advance notification to the committee and the central nonprofit agency on actions that affect supplies on theprocurement list',
5054:'and shall permit them to commentbefore action istaken,particularly when it involves 1 changes that require new national stock numbers or',
5055:'item designations; 2 deleting items from the supply system; 3 standardization; or 4 developing new items to replace items on',
5056:'the procurement list. c for services, the contracting activity shall notify the abilityone participating nonprofit agency and central nonprofit agency',
5057:'concerned at least 90 days prior to the date that any changes in the scope of work or other conditions',
5058:'will be required. d when,in order to meet its emergency needs, a contracting activity is unable to give the 90day',
5059:'notification requiredin paragraphs b and c of this section, the contracting activity shall, at the time it places the order',
5060:'or change notice, inform the abilityone participating nonprofit agency and the central nonprofit agency in writing of the reasons that',
5061:'it cannot meet the 90day notification requirement. 8.713optional acquisition of supplies and services. a ordering offices may acquiresupplies and services',
5062:'notincluded on the procurement list from an abilityone participatingnonprofit agency thatis the low responsive, responsible offerorunder a solicitation issued byotherauthorized',
5063:'acquisition methods. subpart 8.7 acquisition from nonprofit agencies employing people who are blind or severely disabled 8.716 b orderingoffices should',
5064:'forward solicitations toabilityone participating nonprofit agenciesthat may be qualified to provide the supplies or services required. 8.714 communicationswith thecentral nonprofit',
5065:'agencies and the committee. a the addresses of the central nonprofit agencies are: 1 national industries for the blind 1310',
5066:'braddock place alexandria,va 223141691 703 3100500; and 2 nish 8401 old courthouse road vienna, va 22182 571 2264660. b any',
5067:'matter requiring referral to the committee shall be addressed to: executive director of thecommittee, 1401s. clark street, suite 10800, arlington,',
5068:'va 222023259. 8.715replacement commodities. when a commodity on the procurement list is replaced by another commodity which has not been',
5069:'previously acquired, and a qualified abilityone participating nonprofit agency can furnish the replacement commodity in accordance with thegovernment’s quality standardsand',
5070:'delivery schedules and at a fair market price, the replacementcommodity is automatically on the procurement list and shall be acquired',
5071:'from the abilityone participating nonprofit agency designated by the committee. the commodity being replaced shall continue to be included on',
5072:'the procurement list until there is no longer a requirement for that commodity. 8.716 changeofnameand successorin interest procedures. when the',
5073:'committee recognizes a name change or a successor in interest for an abilityone participating nonprofit agency providing supplies or services',
5074:'on the procurement list a thecommittee will provide a noticeof achange to the procurementlist to the cognizant contractingofficers; and b',
5075:'upon receipt ofa notice of a change tothe procurement listfrom the committee, the contracting officer must 1 prepare a standard',
5076:'form sf 30, amendment of solicitation/modification of contract, incorporating a summary of thenotice and attaching a list of contracts affected;',
5077:'and 2 distribute the sf 30, including a copy to the committee. this page intentionally left blank. subpart 8.8 acquisition',
5078:'of printing and related supplies 8.802 subpart 8.8 acquisition of printing and related supplies 8.800scope of subpart. this subpart provides',
5079:'policy for the acquisition of government printing and related supplies. 8.801definitions. as used in this subpart government printing means printing,',
5080:'binding, and blankbook work for the use of an executive department, independent agency, or establishment of the government. related supplies',
5081:'means supplies that are used and equipment that is usable in printing and binding operations. 8.802 policy. a government printing',
5082:'must be done by or through the government publishing office gpo 44 u.s.c. 501, unless 1 the gpo cannot provide',
5083:'the printing service 44 u.s.c. 504; 2 the printing is done in field printing plants operated by an executive agency',
5084:'44 u.s.c. 5012; 3 the printing is acquired by an executive agency from allotments for contract field printing 44 u.s.c.',
5085:'5012; or 4 the printing is specifically authorized by statute to be done other than by the gpo. b the',
5086:'head of each agency shall designate a central printing authority; that central printing authority may serve as the liaison with',
5087:'the congressional joint committee on printing jcp and the public printer on matters related to printing. contracting officersshallobtain approvalfrom their',
5088:'designatedcentral printing authoritybefore contracting in any manner, whether directly or through contracts for other supplies or services, for the items',
5089:'defined in 8.801 and for composition, platemaking, presswork, binding, and micrographics when used as a substitute for printing. c 1further,',
5090:'44u.s.c.1121 provides that the public printer may acquire and furnish paper and envelopes excluding envelopes printed in the course of',
5091:'manufacture in common use by two or more government departments, establishments, or services within the district of columbia, and provides',
5092:'for reimbursement of the public printer from available appropriations or funds. paperand envelopes that are furnished by thepublic printermay not',
5093:'be acquired in any other manner. 2 paper and envelopes for use by executive agencies outside the district of columbia',
5094:'and stocked by gsa shall be requisitioned from gsa in accordance with the procedures listed in federal property management regulations',
5095:'fpmr 41 cfr part 101, subpart 10126.3. this page intentionally left blank. subpart 8.9 [reserved] subpart 8.9 [reserved] this page',
5096:'intentionally left blank. subpart 8.10 [reserved] subpart 8.10 [reserved] this page intentionally left blank. 8.102 subpart 8.11 leasing of motor',
5097:'vehicles 8.1104 subpart 8.11 leasing of motor vehicles 8.1100 scope of subpart. this subpart covers the procedures for the leasing,',
5098:'from commercial concerns, of motor vehicles that comply with federal motor vehiclesafety standards and applicable state motor vehicle safety regulations.',
5099:'it doesnot applyto motor vehicles leased outside the united states and its outlying areas. 8.1101 definitions. as used in this',
5100:'subpart leasing means the acquisition of motor vehicles, other than by purchase from private or commercial sources, and includes the',
5101:'synonyms hire and rent. motor vehicle means an item of equipment, mounted on wheels and designed for highway and/or land',
5102:'use, that 1 derives power from a selfcontained power unit; or 2 is designed to be towed by and used',
5103:'in conjunction with selfpropelled equipment. 8.1102presolicitation requirements. a except as specified in 8.1102b, before preparingsolicitationsforleasing of motor vehicles,contracting officers shall',
5104:'obtain from the requiring activity a written certification that 1 the vehicles requested are of maximum fuel efficiency and minimum',
5105:'body size, engine size, and equipment if any necessary to fulfill operational needs, and meet prescribed fuel economy standards; 2',
5106:'the head ofthe requiring agency, ora designee, has certified thatthe requested passenger automobiles sedans and station wagons larger thantype ia,',
5107:'ib, or ii small, subcompact, or compactare essential to the agency’smission; 3 internal approvals have been received; and 4 the',
5108:'general services administration has advised that it cannot furnish the vehicles. b with respectto requirementsforleasing motor vehicles for a period',
5109:'of lessthan 60 days, the contracting officer need not obtain the certification specified in 8.1102a 1 if the requirement is',
5110:'for type 1 a, 1 b, or ii vehicles, which are by definition fuel efficient;or 2 if the requirement is',
5111:'for passenger vehicles larger than1 a, 1 b,or ii, and theagency has establishedprocedures for advance approval, on a casebycase basis,',
5112:'of such requirements. c generally, solicitations shall not belimited tocurrent year production models. however, withthe prior approval of the head',
5113:'of the contracting office, solicitations maybe limited to currentmodels on thebasis of overall economy. 8.1103contractrequirements. contracting officersshallinclude the followingitemsin each',
5114:'contract for leasing motorvehicles: a scope of contract. b method of computing payments. c a listing of the number and',
5115:'type of vehicles required, and the equipment and accessories to be provided with each vehicle. d responsibilities of the contractor',
5116:'or the government for furnishing gasoline, motor oil, antifreeze, and similar items. e unless it is determined that it will',
5117:'be more economical for the government to perform the work, a statement that the contractor shall perform all maintenance on',
5118:'the vehicles. f a statement as to the applicability of pertinent state and local laws and regulations, and the responsibility',
5119:'of each party for compliance with them. g responsibilities of the contractor or the governmentforemergency repairs and services. 8.1104 contract',
5120:'clauses. insert the following clauses in solicitations and contracts for leasing of motor vehicles, unless the motor vehicles are leased',
5121:'in foreign countries: a the clause at 52.2084, vehicle lease payments. b the clause at 52.2085, condition of leased vehicles.',
5122:'c the clause at 52.2086, marking of leased vehicles. d a clause substantially the same as the clause at 52.2087,',
5123:'tagging of leasedvehicles, for vehicles leasedover 60days see subpart b of 41 cfr part 10234. 8.1104 federal acquisition regulation e',
5124:'theprovisionsandclauses prescribed elsewhere inthe far for solicitations and contracts for supplies when a fixed price contract is contemplated, but excluding',
5125:'1 the clause at 52.21116, variation in quantity; 2 the clause at 52.2321, payments; 3 the clause at 52.22220, contracts',
5126:'for materials, supplies, articles, and equipment; and 4 the clause at 52.24616, responsibility for supplies. part 9 contractor qualifications sec.',
5127:'9.000 scope of part. subpart 9.2 qualifications requirements 9.200 scope of subpart. subpart 9.1 responsible 9.201 definitions. prospective contractors 9.202',
5128:'policy. 9.100 scope of subpart. 9.203 qpl’s, qml’s, and qbl’s. 9.101 definitions. 9.204 responsibilities for establishment of a 9.102 applicability.',
5129:'qualification requirement. 9.103 policy. 9.205 opportunity for qualification before award. 9.104 standards. 9.206 acquisitions subject to qualification 9.1041 general standards.',
5130:'requirements. 9.1042 special standards. 9.2061 general. 9.1043 application of standards. 9.2062 contract clause. 9.1044 subcontractor responsibility. 9.2063 competition. 9.1045 representation',
5131:'and certifications regarding 9.207 changes in status regarding qualification responsibility matters. requirements. 9.1046 federal awardee performance and integrity information system.',
5132:'subpart 9.3 first article 9.1047 solicitation provisions and contract clauses. testing and approval 9.105 procedures. 9.301 definition. 9.1051 obtaining information.',
5133:'9.302 general. 9.1052 determinations and documentation. 9.303 use. 9.1053 disclosure of preaward information. 9.304 exceptions. 9.106 preaward surveys. 9.305 risk.',
5134:'9.1061 conditions for preaward surveys. 9.306 solicitation requirements. 9.1062 requests for preaward surveys. 9.307 government administration procedures. 9.1063 interagency preaward',
5135:'surveys. 9.308 contract clauses. 9.1064 reports. 9.3081 testing performed by the contractor. 9.107 surveys of nonprofit agencies participating in 9.3082',
5136:'testing performed by the government. the abilityone program. 9.108 prohibition on contracting with inverted domestic corporations. 9.1081 definitions. 9.1082 prohibition.',
5137:'9.1083 representation by the offeror. 9.1084 waiver. 9.1085 solicitation provision and contract clause. 9.109 prohibition on contracting with an entity',
5138:'involved in activities that violate arms control treaties or agreements with the united states. 9.1091 authority. 9.1092 prohibition. 9.1093 exception.',
5139:'9.1094 certification by the offeror. 9.1095 solicitation provision. 9.110 reserve officer training corps and military recruiting on campus. 9.1101 definitions.',
5140:'9.1102 authority 9.1103 policy. 9.1104 procedures. 9.1105 contract clause. subpart 9.4 debarment, subpart 9.5 organizational and suspension, and ineligibility consultant',
5141:'conflicts of interest 9.400 scope of subpart. 9.500 scope of subpart. 9.401 applicability. 9.501 definition. 9.402 policy. 9.502 applicability. 9.403',
5142:'definitions. 9.503 waiver. 9.404 exclusions in the system for award 9.504 contracting officer responsibilities. management. 9.505 general rules. 9.405 effect',
5143:'of listing. 9.5051 providing systems engineering and technical 9.4051 continuation of current contracts. direction. 9.4052 restrictions on subcontracting. 9.5052 preparing',
5144:'specifications or work statements. 9.406 debarment. 9.5053 providing evaluation services. 9.4061 general. 9.5054 obtaining access to proprietary information. 9.4062 causes',
5145:'for debarment. 9.506 procedures. 9.4063 procedures. 9.507 solicitation provisions and contract clause. 9.4064 period of debarment. 9.5071 solicitation provisions. 9.4065',
5146:'scope of debarment. 9.5072 contract clause. 9.407 suspension. 9.508 examples. 9.4071 general. 9.4072 causes for suspension. subpart 9.6 contractor team',
5147:'arrangements 9.4073 procedures. 9.601 definition. 9.4074 period of suspension. 9.602 general. 9.4075 scope of suspension. 9.603 policy. 9.408 [reserved] 9.604',
5148:'limitations. 9.409 contract clause. subpart 9.7 defense production pools and research and development pools 9.701 definition. 9.702 contracting with pools.',
5149:'9.703 contracting with individual pool members. subpart 9.1 responsible prospective contractors 9.1041 9.000scope of part. this part prescribes policies, standards,',
5150:'and procedures pertaining to prospective contractors’ responsibility; debarment, suspension, and ineligibility; qualified products; first article testing and approval; contractor team',
5151:'arrangements; defense production pools and research and development pools;and organizational conflictsof interest. subpart 9.1 responsible prospective contractors 9.100scope of subpart.',
5152:'this subpart prescribes policies, standards, and procedures for determining whether prospective contractors and subcontractors are responsible. 9.101definitions. administrative proceeding means',
5153:'a nonjudicial process that is adjudicatory in nature in order to make a determination of fault or liability e.g., securities',
5154:'and exchange commission administrative proceedings, civilian board of contract appeals proceedings, and armed services board of contract appeals proceedings. this',
5155:'includes administrative proceedings at the federal and state level but only in connections with performance of a federal contract or',
5156:'grant. it does not include agency actions such as contract audits, site visits, corrective plans, or inspection of deliverables. surveying',
5157:'activity, as used inthissubpart, means the cognizant contract administration office or,if there is no such office, anotherorganization designated by theagency',
5158:'to conduct preaward surveys. 9.102 applicability. a this subpart applies to all proposed contracts with any prospective contractor that is',
5159:'located 1 in the united states or its outlying areas; or 2 elsewhere, unless application of the subpart would be',
5160:'inconsistent with the laws or customs where the contractor is located. b this subpart does not apply to proposed contracts',
5161:'with 1 foreign, state, or local governments; 2 other u.s. government agencies or their instrumentalities; or 3 agencies for people',
5162:'who are blind or severely disabled see subpart 8.7. 9.103 policy. a purchases shall bemade from, and contractsshallbe awarded to,',
5163:'responsible prospective contractorsonly. b no purchaseor award shall be madeunlessthe contracting officer makes an affirmative determination of responsibility. in the',
5164:'absence of information clearly indicating that the prospective contractoris responsible, the contracting officer shall make a determination of nonresponsibility. if',
5165:'the prospective contractor is a small business concern, the contractingofficershallcomplywith subpart 19.6,certificatesofcompetencyanddeterminationsofresponsibility. if section 8a of the small business act',
5166:'15 u.s.c. 637 applies, see subpart 19.8. c the award of a contract to a supplier based on lowest evaluated',
5167:'price alone can be false economy if there is subsequent default, late deliveries, or other unsatisfactory performance resulting in additional',
5168:'contractual or administrative costs. while it is important that government purchases be made at the lowest price, this does not',
5169:'require an award to a supplier solely because that supplier submits the lowestoffer. a prospectivecontractor mustaffirmatively demonstrate its responsibility, including,',
5170:'whennecessary, the responsibility of its proposed subcontractors. 9.104standards. 9.1041 general standards. to be determined responsible, a prospectivecontractor must a have',
5171:'adequate financial resources to perform the contract, or the ability to obtain them see 9.1043a; b be able to comply',
5172:'with the required or proposed delivery or performance schedule, taking into consideration all existing commercial and governmental business commitments; c',
5173:'have a satisfactory performance record see 9.1043 b and subpart 42.15. a prospective contractor shall not be determined responsible or',
5174:'nonresponsible solely onthe basis of a lack of relevant performance history, except as provided in 9.1042; federal acquisition regulation d',
5175:'have a satisfactory record of integrity and business ethics for example, see subpart 42.15; e have the necessary organization, experience,',
5176:'accounting and operationalcontrols, andtechnicalskills, or the ability to obtain them including, as appropriate, such elements as production control procedures, property',
5177:'control systems, quality assurance measures, and safety programs applicable to materials to be produced or services to be performed by',
5178:'the prospective contractor and subcontractors. see 9.1043a. f have the necessary production, construction, and technical equipment and facilities, or the',
5179:'ability to obtain them see 9.1043a; and g be otherwise qualified and eligible to receive an award under applicable laws',
5180:'and regulations see also inverted domestic corporation prohibition at 9.108. 9.1042 special standards. a when it is necessary for aparticular',
5181:'acquisition orclass of acquisitions, the contracting officershalldevelop, with the assistance of appropriate specialists,special standards of responsibility. special standardsmay be particularlydesirable',
5182:'when experience has demonstrated that unusual expertise or specialized facilities are needed for adequate contract performance. the special standardsshallbe set',
5183:'forth inthe solicitationand so identified and shall apply to all offerors. b contracting officersshallaward contracts for subsistence only tothose prospective',
5184:'contractors that meet the general standards in 9.1041 and are approved in accordance with agency sanitation standards and procedures. 9.1043',
5185:'application of standards. a ability to obtain resources. except to the extentthat a prospectivecontractor hassufficient resourcesor proposes to perform the',
5186:'contract by subcontracting, thecontracting officer shall requireacceptable evidence of the prospective contractor’s ability to obtain required resources see 9.1041a, e,',
5187:'and f. acceptable evidence normally consists of a commitment or explicit arrangement, that will be in existence at the time',
5188:'of contract award, to rent, purchase, or otherwise acquire the needed facilities, equipment, other resources, or personnel. considerationof aprimecontractor’scompliance with',
5189:'limitations on subcontracting shall take into account the time period covered by the contract base period or quantities plus option',
5190:'periods or quantities, if such optionsare considered when evaluating offers for award. b satisfactory performance record. a prospective contractor that',
5191:'is or recently has been seriously deficient in contract performanceshallbe presumedto benonresponsible,unlessthe contracting officer determines that thecircumstances were properly beyond',
5192:'the contractor’s control, or thatthe contractor has taken appropriate correctiveaction. past failure to apply sufficienttenacity and perseverance to perform acceptably',
5193:'is strong evidence ofnonresponsibility. failure to meet the quality requirements of the contract is a significant factor to consider in',
5194:'determining satisfactory performance. the contracting officershallconsider the number of contracts involved and theextent of deficient performance in each contract when',
5195:'making this determination. if the pending contract requires a subcontracting plan pursuant to subpart 19.7, the small business subcontracting program,',
5196:'the contracting officer shall also consider the prospective contractor’s compliancewith subcontracting plans under recent contracts. c 1 affiliated concerns. affiliated',
5197:'concerns see concern in 19.001 and small business concern in 2.101 are normally considered separate entities in determining whether the',
5198:'concern that is to perform the contract meets the applicable standards for responsibility. however,the contracting officershallconsider the affiliate’s past performance',
5199:'and integrity when theymay adverselyaffect the prospective contractor’s responsibility. 2 joint ventures. fora prospective contractor that is a joint venture,the',
5200:'contracting officer shall consider the past performanceof the joint venture. if the joint venture does notdemonstrate past performance for award,',
5201:'the contractingofficer shall consider the past performance of each party to the joint venture. d 1 small business concerns. upon',
5202:'making a determination of nonresponsibility with regard to a small business concern, the contracting officer shall refer thematter tothe small',
5203:'business administration, which will decide whether to issue a certificate of competency see subpart 19.6. 2 limitations on subcontracting. a',
5204:'small business that is unable to comply with the limitations on subcontracting may be considered nonresponsible see 52.2193, notice of',
5205:'hubzone setaside or sole source award; 52.2194, notice of price evaluation preference for hubzone small business concerns; 52.21914, limitations on',
5206:'subcontracting; 52.21927,notice of setasidefor, or solesource award to, servicedisabledveteranowned small business sdvosb concerns eligible under the sdvosb program; 52.21929, notice',
5207:'of setaside for, orsolesource award to, economically disadvantaged womenowned small business concerns;and 52.21930,notice of setasidefor, or sole source award to,womenowned',
5208:'small business concerns eligibleunderthe womenowned small business program. a small businessthat has not agreed to comply with the limitations on',
5209:'subcontracting may be considered nonresponsive. subpart 9.1 responsible prospective contractors 9.1046 9.1044 subcontractor responsibility. a generally, prospective prime contractors areresponsiblefordetermining',
5210:'the responsibility oftheir prospective subcontractors but see 9.405 and 9.4052 regarding debarred, ineligible, or suspended firms. determinations of prospective subcontractor',
5211:'responsibility may affect thegovernments determination of the prospective prime contractors responsibility. a prospective contractor may berequired to providewritten evidence of',
5212:'a proposed subcontractors responsibility. b when it is in the government’s interestto do so, thecontracting officer may directly determine aprospective',
5213:'subcontractor’s responsibility e.g., when the prospective contract involves medical supplies, urgentrequirements, or substantial subcontracting. in this case, the same standards',
5214:'used to determine a prime contractor’s responsibility shall be usedby the government to determinesubcontractorresponsibility. 9.1045 representation andcertificationsregarding responsibility matters. a',
5215:'when an offeror provides an affirmative response in paragraph a1 of the provision at 52.2095, certification regarding responsibility matters, or',
5216:'paragraph h of provision 52.2123,the contracting officer shall 1 promptly, upon receipt of offers, request suchadditional information from the offeror',
5217:'as theofferor deems necessaryin order to demonstrate the offeror’s responsibility to the contracting officer but see 9.405; and 2 notify,',
5218:'priorto proceeding with award, in accordancewith agency procedures see 9.4063a and 9.4073a, theagency official responsible for initiating debarment orsuspension action,',
5219:'where anofferor indicates the existence of an indictment, charge, conviction, or civil judgment, or federaltax delinquency in an amount that',
5220:'exceeds $10,000. b the provision at 52.20911,representationby corporations regarding delinquent tax liability or a felony conviction under anyfederal law, implements',
5221:'sections 744 and 745 of division e of the consolidatedand further continuing appropriations act,2015 pub. l. 113235 and similar provisionsin',
5222:'subsequent appropriations acts. when an offeror provides an affirmative response inparagraph b1or 2 of theprovision at 52.20911 or paragraph q2i',
5223:'or ii of provision 52.2123, thecontracting officer shall– 1 promptly, upon receipt of offers, request suchadditional information from the offeror',
5224:'as theofferor deems necessaryin order to demonstrate the offerors responsibilityto thecontracting officer but see 9.405; 2 notify, in accordancewith agency',
5225:'procedures see 9.4063a and 9.4073a, the agency officialresponsible for initiating debarment or suspension action; and 3 not award to the',
5226:'corporation unless an agency suspendingor debarring official has consideredsuspension or debarment of the corporation and made a determination that suspension',
5227:'or debarment is not necessary to protect the interests of the government. c if the provision at 52.20912, certification regarding',
5228:'tax matters, is applicable see 9.1047e, then the contracting officer shall notaward any contract in an amount greater than $5.5',
5229:'million, unless theofferor affirmatively certified in its offer, as required by paragraph b1, 2, and 3 of the provision. d',
5230:'offerorswho do not furnish the representation or certifications or such information as may be requested by thecontracting officer shall be',
5231:'given an opportunity to remedy the deficiency. failure to furnish the representationor certifications orsuch information may renderthe offeror nonresponsible. 9.1046',
5232:'federal awardee performance and integrity informationsystem. a 1beforeawardingacontractinexcessofthesimplifiedacquisitionthreshold,thecontractingofficershallreview theperformance and integrity information available inthe federalawardee performance andintegrity informationsystem fapiis, availableat',
5233:'https://www.cpars.gov,including fapiis information from the system for award management sam exclusions and the contractor performance assessment reporting system cpars. 2',
5234:'in accordance with 41 u.s.c. 2313d3, fapiis also identifies– ian affiliate that is an immediate owner or subsidiary of theofferor,',
5235:'if any see 52.20417, ownership or control of offeror; and iiall predecessors of the offeror that held a federal contract',
5236:'or grant within the last three years see 52.20420, predecessorof offeror. b 1whenmakingaresponsibilitydetermination,thecontractingofficershallconsideralltheinformationavailable through fapiis with regard to the offeror',
5237:'andanyimmediateowner, predecessor, or subsidiary identifiedforthat offeror in fapiis,aswellasotherpastperformanceinformationontheofferorsee subpart 42.15. 2 for evaluation of information available through fapiis relating to',
5238:'an affiliate of the offeror,see 9.1043c. federal acquisition regulation 3 for source selection evaluations of past performance, see 15.305a2. contracting',
5239:'officers shall usesound judgment in determining theweight and relevance of the information contained in fapiis and how it relates tothe',
5240:'present acquisition. 4 since fapiis may contain information on any ofthe offerors previous contracts and information covering a fiveyear period,',
5241:'some ofthat information may notbe relevant to a determination of present responsibility, e.g., a prior administrative action such as debarment',
5242:'or suspension that has expired or otherwise been resolved, or information relating to contracts for completely different productsor services 5',
5243:'because fapiisis adatabase thatprovides information about prime contractors, the contracting officer posts information required to be postedabout a subcontractor,such as',
5244:'trafficking inpersons violations, to the record of the prime contractor see 42.1503h1v. the prime contractor has the opportunity to postin',
5245:'fapiis anymitigating factors. the contractingofficer shall consider any mitigating factors posted in fapiis by the prime contractor,such as degree of',
5246:'complianceby the prime contractor with the termsof far clause 52.22250. c if the contracting officerobtains relevant information from fapiis regarding',
5247:'criminal,civil, or administrative proceedings in connection with the award or performance of a government contract; terminations for default or cause;',
5248:'determinations of nonresponsibility because the contractor does not have a satisfactory performance record or a satisfactory recordof integrity and business',
5249:'ethics; or comparable information relating to a grant, the contracting officer shall, unless the contractor has already been debarred or',
5250:'suspended 1 promptly request such additional information from theofferor as the offeror deems necessary in order to demonstrate the offeror’sresponsibilityto',
5251:'the contracting officer but see 9.405; and 2 notify, priorto proceeding with award, in accordancewith agency procedures see 9.4063a and',
5252:'9.4073a, theagency official responsible for initiating debarment orsuspension action, ifthe information appears appropriate for the official’s consideration. d the contractingofficer',
5253:'shall document the contract file for each contract inexcess of the simplified acquisition threshold to indicatehow the information in fapiis',
5254:'wasconsidered in any responsibility determination, as well as the action that was taken as a result of theinformation. a contractingofficer',
5255:'who makesa nonresponsibility determination is required to document that information in fapiis in accordance with 9.1052b2. 9.1047 solicitation provisions and',
5256:'contract clauses. a thecontracting officer shall insert the provision at 52.2095, certification regarding responsibility matters, in solicitations where the contract',
5257:'value is expected to exceed the simplified acquisition threshold. b the contractingofficer shall insertthe provisionat 52.2097, information regarding responsibility matters,',
5258:'in solicitations where the resultant contract value is expected to exceed $600,000. c thecontracting officer shall insert the clause at',
5259:'52.2099, updates of publicly availableinformation regarding responsibility matters 1 in solicitations where the resultant contract value is expected to exceed',
5260:'$600,000; and 2 in contractsin whichthe offerorchecked has inparagraph b ofthe provisionat 52.2097. d the contractingofficer shall insertthe provision 52.20911,',
5261:'representation bycorporations regarding delinquent tax liability or a felonyconviction under any federal law, in all solicitations. e for agencies receiving',
5262:'funds subject to section 523 of division b of the consolidated and further continuing appropriations act, 2015pub. l. 113235 and',
5263:'similar provisions in subsequent appropriationsacts,the contracting officer shall insert theprovision 52.20912, certification regarding tax matters, in solicitations for which the',
5264:'resultant contract including options may have a value greater than $5.5 million. division b of the consolidated and continuing further',
5265:'appropriations act, 2015 appropriates funds for the following agencies: the department of commerce, the department of justice, the national aeronautics',
5266:'and space administration, the office of science and technology policy, the national science foundation, the commission on civil rights, the',
5267:'equal employment opportunity commission, the u.s. international trade commission, the legalservices corporation,the marine mammalcommission, the office of the united states',
5268:'trade representative, and the statejustice institute. 9.105 procedures. 9.1051 obtaining information. a before making a determination of responsibility, the contracting',
5269:'officer shall possessor obtain information sufficient to be satisfied that a prospective contractor currently meets the applicable standards in 9.104.',
5270:'subpart 9.1 responsible prospective contractors 9.1052 b 1generally,thecontractingofficershallobtaininformationregardingtheresponsibilityofprospectivecontractors, including requesting preaward surveys when necessary see 9.106, promptlyafter abid opening or',
5271:'receipt of offers. however, in negotiated contracting, especially whenresearch and developmentis involved, thecontracting officer may obtain this information before issuing',
5272:'the request for proposals. requests for information shall ordinarily be limited to information concerning i the low bidder; or iithose',
5273:'offerors inrange for award. 2 preaward surveys shall be managed andconductedby the surveyingactivity. iif the surveying activity is a contract',
5274:'administrationoffice athat office shall advise the contractingofficer on prospectivecontractors’ financial competence and credit needs; and b the administrative contracting officershallobtain',
5275:'from the auditor any information requiredconcerning the adequacy of prospective contractors’ accounting systems and these systems’ suitability for use in',
5276:'administering the proposed type of contract. iiif the surveying activity is not a contract administration office, the contracting officer shall',
5277:'obtain from the auditor any information required concerning prospective contractors’ financial competence and credit needs, the adequacy of their accounting',
5278:'systems, and these systems’ suitability for use in administering the proposed type of contract. 3 information on financial resources and',
5279:'performance capability shall be obtained or updated on as current a basis as is feasible up to the date of',
5280:'award. c inmaking the determination of responsibility,the contracting officershallconsider information available through fapiis see 9.1046 withregard to the offeror and',
5281:'any immediate owner, predecessor, or subsidiary identified for that offeror in fapiis, including information that islinkedto fapiis such as from',
5282:'sam, and cpars, as well asanyother relevantpastperformanceinformationontheofferorsee 9.1041c and subpart 42.15. inaddition,thecontractingofficer should use the following sources of information to',
5283:'support such determinations: 1 records and experience data, including verifiable knowledgeof personnel within thecontracting office, audit offices, contractadministration offices, and',
5284:'other contracting offices. 2 the prospective contractorincluding bid or proposal information including the certification at 52.2095 or 52.2123h see 9.1045,',
5285:'questionnaire replies, financial data, information on production equipment, and personnel information. 3 commercial sources of supplier information of a type',
5286:'offered tobuyersin theprivatesector. 4 preaward survey reports see 9.106. 5 other sources such as publications; suppliers, subcontractors, and customers of',
5287:'the prospective contractor; financial institutions; government agencies; and business and trade associations. d contracting offices and cognizant contract administration officesthat',
5288:'become aware ofcircumstances casting doubt on a contractor’s ability to perform contracts successfully shall promptly exchange relevant information. 9.1052 determinations',
5289:'and documentation. a determinations. 1 the contracting officer’ssigningof acontract constitutes a determination that the prospective contractor is responsible withrespect to',
5290:'that contract. whenan offer on which an award would otherwise be made is rejected because the prospective contractor is found',
5291:'to be nonresponsible, the contracting officer shall make, sign,andplace inthe contract filea determination of nonresponsibility, whichshallstate the basis for the',
5292:'determination. 2 if the contracting officer determines that a responsive small business lacks certain elements of responsibility, the contractingofficershallcomplywiththeproceduresin subpart',
5293:'19.6. when a certificate of competency is issued for a small business concern see subpart 19.6,thecontractingofficershallacceptthesmallbusinessadministration’sdecisiontoissue a certificate of competency',
5294:'and award the contract to the concern. b support documentation. 1 documents andreportssupporting adeterminationof responsibility or nonresponsibility, including anypreaward survey',
5295:'reports, the use offapiis information see 9.1046, and any applicable certificate of competency, must be included in the contract file.',
5296:'2 ithecontractingofficershalldocumentthedeterminationofnonresponsibilityinfapiisavailableat https:// www.cpars.gov if a the contract is valued at more than the simplified acquisition threshold; b the determination',
5297:'of nonresponsibility is based on lack of satisfactory performance record or satisfactory record of integrity and business ethics; and federal',
5298:'acquisition regulation c the small business administration doesnot issue a certificate of competency. iithe contracting officer isresponsible for the timelysubmission,',
5299:'within 3 working days, and sufficiency, and accuracy of the documentation regarding the nonresponsibility determination. iii as required bysection 3010of',
5300:'the supplemental appropriations act, 2010 pub. l. 111212, all information posted in fapiis on or after april15,2011, except past performance',
5301:'reviews, will be publicly available. fapiis consists of two segments athe nonpublicsegment,into which government officials and contractors post information,which can',
5302:'only be viewed by 1 government personnel and authorized users performing business on behalf of the government; or 2 an',
5303:'offeror orcontractor, whenviewing data on itself;and b the publiclyavailable segment, towhich all data in the nonpublic segment of fapiis is',
5304:'automatically transferred after a waiting period of 14 calendar days, except for 1 past performance reviews required by subpart 42.15;',
5305:'2 information that wasentered prior to april 15,2011; or 3 information that iswithdrawnduring the 14calendarday waiting period by the government',
5306:'officialwho posted it in accordance with paragraph b2iv of this section. iv the contracting officer, orany othergovernment official, shall not',
5307:'post any information inthe nonpublic segment offapiis thatis covered by a disclosureexemption under the freedomof information act. ifthe contractor asserts',
5308:'within 7 calendar days, to the government official who postedthe information, that some of the informationposted to the nonpublic segment',
5309:'of fapiisis covered by a disclosureexemption under the freedom of informationact, the government official who posted the information must within',
5310:'7calendar days remove the posting fromfapiis and resolve the issue in accordance with agency freedom of information act procedures, prior',
5311:'to reposting the releasable information. 9.1053 disclosure of preawardinformation. a except as provided in subpart 24.2, freedom of information act,',
5312:'information including the preaward survey report accumulated for purposes of determining the responsibility of a prospective contractor shall not be',
5313:'released or disclosed outside the government. b the contractingofficer may discuss preaward survey information withthe prospective contractor before determining responsibility.',
5314:'after award, the contracting officer or, ifitis appropriate, the head of the surveying activityor adesignee may discuss the findings of',
5315:'the preaward survey with the company surveyed. c preaward survey information may contain proprietary or source selection information and should',
5316:'be marked with the appropriate legend and protected accordingly see 3.1044. 9.106 preaward surveys. 9.1061 conditionsfor preaward surveys. a a',
5317:'preaward survey is normally required only when the information on hand or readily available to the contracting officer, including information',
5318:'from commercial sources, is not sufficient tomake a determinationregarding responsibility. in addition, if the contemplated contract will have a fixed',
5319:'price at or below the simplified acquisition threshold or will involve the acquisition of commercial products or commercial services see',
5320:'part 12,thecontractingofficershouldnotrequesta preaward survey unless circumstances justify its cost. b when acognizant contract administration office becomes aware of a prospective',
5321:'award to acontractor about which unfavorable information exists and no preaward survey has been requested, it shall promptly obtain and',
5322:'transmit details to the contracting officer. c before beginninga preaward survey, the surveying activityshallascertain whether theprospective contractor is debarred, suspended,',
5323:'or ineligible see subpart 9.4. if the prospective contractor is debarred, suspended, or ineligible, the surveying activity shall advise the',
5324:'contracting officer promptly and not proceed with the preaward survey unless specifically requested todo soby the contractingofficer. 9.1062 requests for',
5325:'preaward surveys. the contractingofficer’s request to the surveying activity preaward survey ofprospective contractorgeneral,sf 1403 shall a identify additional factors about',
5326:'which information is needed; subpart 9.1 responsible prospective contractors 9.107 b include the complete solicitation package unless it has previously',
5327:'been furnished, and any information indicating prior unsatisfactory performance by the prospective contractor; c statewhetherthe contracting office will participate in',
5328:'the survey; d specify the date by which the report is required. this date should be consistent with the scope',
5329:'of the survey requested and normally shall allow at least 7 working days to conduct the survey; and e when',
5330:'appropriate, limit the scopeof the survey. 9.1063 interagency preaward surveys. when the contractingoffice and thesurveying activity arein different agencies, the',
5331:'procedures of this section 9.106 and subpart 42.1 shall be followed along with the regulations of the agency in which',
5332:'the surveying activity is located, except that reasonable special requests bythe contracting office shall be accommodated also seesubpart 17.5. 9.1064',
5333:'reports. a the surveying activity shall complete the applicable parts of sf 1403, preaward survey of prospective contractor general; sf',
5334:'1404, preaward survey of prospective contractortechnical; sf 1405, preaward survey of prospective contractorproduction; sf 1406, preaward survey of prospective contractorquality',
5335:'assurance; sf 1407, preaward survey of prospective contractorfinancial capability; and sf 1408, preaward survey of prospective contractoraccounting system; and providea',
5336:'narrative discussion sufficient to support boththe evaluationratings and therecommendations. b when the contractor surveyed is a small business that has',
5337:'received preferential treatment on an ongoing contract under section 8a of the small business act 15 u.s.c. 637 or has',
5338:'received a certificate of competency during the last 12 months, the surveying activity shall consult the appropriate small business administration',
5339:'field office before making an affirmative recommendation regarding the contractor’s responsibility or nonresponsibility. c when a preaward survey discloses previous',
5340:'unsatisfactory performance, the surveying activity shall specify the extent to which the prospective contractor plans, or has taken, corrective action.',
5341:'lack of evidence that past failure to meet contractualrequirements was the prospective contractor’s fault does not necessarily indicate satisfactory performance.',
5342:'the narrative shall report any persistent pattern of need for costly and burdensome government assistance e.g., engineering, inspection, or testing',
5343:'providedin the government’s interest but notcontractually required. d when the surveying activity possesses information that supports a recommendation of complete',
5344:'award without an onsite survey and no special areas for investigation have been requested, the surveying activity may provide a',
5345:'short form preaward survey report. the shortform report shall consist solely of the preaward survey of prospective contractor general, sf',
5346:'1403. sections iii and iv of this form shall be completed and block21 shall be checked to show that the',
5347:'report is a shortform preaward report. 9.107 surveysof nonprofit agencies participating in the abilityone program. a the committee for purchase',
5348:'from people who are blind or severely disabled committee, as authorized by 41 u.s.c. chapter 85, determines what supplies and',
5349:'services federal agencies are required to purchase from abilityone participating nonprofit agencies serving people who are blind or have other',
5350:'severe disabilities see subpart 8.7. the committee is required to find an abilityone participating nonprofit agency capable of furnishing the',
5351:'supplies or services before the nonprofit agency can be designated as a mandatory source under the abilityone program. the committee',
5352:'may request a contracting office to assistin assessing the capabilities of a nonprofit agency. b the contractingoffice, upon requestfrom the',
5353:'committee, shall requesta capability survey from the activity responsible for performing preaward surveys, or notify the committee that the abilityone',
5354:'participating nonprofit agency is capable, with supporting rationale, and that the survey is waived. the capability survey will focus on',
5355:'the technical and production capabilities and applicable preaward survey elements to furnish specific supplies or services being considered for addition',
5356:'to the procurement list. c thecontracting office shall use the standard form 1403 to request a capability survey of organizations',
5357:'employing people who are blind or have other severe disabilities. d the contractingoffice shall furnish acopy ofthe completedsurvey, or notice',
5358:'that theabilityone participating nonprofit agencyis capable and the survey iswaived, to the executive director, committeeforpurchase from people who are blind',
5359:'or severely disabled. federal acquisition regulation 9.108 prohibition on contractingwith inverted domestic corporations. 9.1081 definitions. as used in this section',
5360:'inverted domestic corporation means a foreign incorporated entity that meets the definition of an inverted domestic corporation under 6 u.s.c.',
5361:'395b, applied in accordance with the rules and definitions of 6 u.s.c. 395c. subsidiary means an entity in which more',
5362:'than 50 percent of the entity is owned 1 directly by a parent corporation; or 2 through another subsidiary of',
5363:'a parent corporation. 9.1082 prohibition. a section 745 of divisiondof the consolidatedappropriationsact, 2008 pub. l. 110161 and its successor provisions',
5364:'in subsequent appropriations acts and as extended in continuing resolutions prohibit, on a governmentwide basis, the use of appropriated or',
5365:'otherwise made available funds for contracts with either an inverted domestic corporation, or a subsidiary of such a corporation, except',
5366:'as provided in paragraph b of this section and in 9.1084waiver. b 1 section 745 and its successor provisions include',
5367:'the following exception: this section shall not apply to any federal government contract entered into before the date of the',
5368:'enactment of this act, or to any task order issued pursuant to such contract. 2 to ensure appropriate application ofthe',
5369:'prohibition and this exception, contracting officers should consultwith legal counsel if, during the performance of a contract, a contractor becomes',
5370:'an inverted domestic corporation or a subsidiary of one. 9.1083 representation by the offeror. a inorder to be eligibleforcontract award,',
5371:'an offeror must represent that it is neither an inverted domestic corporation, nor a subsidiary of aninverted domesticcorporation. any offeror',
5372:'thatcannot so represent is ineligibleforaward of a contract, unless waived in accordance with the procedures at 9.1084. b the contractingofficer',
5373:'may rely on an offeror’s representation that it is notan inverteddomestic corporationunlessthe contracting officerhas reasonto question therepresentation. 9.1084 waiver. any',
5374:'agency head may waive the prohibition in subsection 9.1082 and the requirement of subsection 9.1083 for a specific contract ifthe',
5375:'agency head determines in writingthat the waiver is requiredin the interest of nationalsecurity, documents the determination, and reports it to',
5376:'the congress. 9.1085 solicitation provisionand contractclause. the contractingofficer shall a include the provision at 52.2092, prohibition on contracting with inverted',
5377:'domestic corporationsrepresentation, in each solicitation for the acquisition of products or services including construction; and b include the clause at',
5378:'52.20910, prohibition on contracting with inverted domestic corporations, in each solicitation and contract for the acquisition of products or services',
5379:'including construction. 9.109 prohibition on contractingwith anentity involved in activities that violate arms control treatiesor agreements with the united states.',
5380:'9.1091 authority. this section implements 22 u.s.c. 2593e. 9.1092 prohibition. contracting officersshallnot award, renew,or extenda contract for the procurement ofproducts',
5381:'or services with anentity identified as excluded in the system for award management,specifically for this subpart, on thebasis of involvement',
5382:'in activities that violate arms control treaties or agreements with the united states. subpart 9.1 responsible prospective contractors 9.1102 9.1093',
5383:'exception. the prohibition in 9.1092 does not apply to contracts for the procurement of products or services along a major',
5384:'route of supply to a zone of active combat or major contingency operation, as specified in statute or by the',
5385:'cognizant combatant commander, inconsultation with the chief of mission. as of may 10, 2018, countries along themajorrouteof supply to support',
5386:'operations in afghanistanare afghanistan,georgia, the kyrgyzrepublic, pakistan,the republic ofarmenia, therepublic of azerbaijan, the republic of kazakhstan, therepublic of tajikistan, the',
5387:'republicof uzbekistan, and turkmenistan. 9.1094 certification bythe offeror. a inorder to be eligibleforcontract award, an offeror is required to— 1',
5388:'i certify that it does not engage and has not engaged in any activity that contributed to or was a',
5389:'significant factor in the presidents or secretary of states determination that a foreign country is in violation of its obligations',
5390:'undertaken in any arms control, nonproliferation, or disarmament agreement to which theunited statesis aparty, or isnot adhering to its arms',
5391:'control, nonproliferation, or disarmament commitments in which the united states is a participating state. the determinations are described in the',
5392:'most recent unclassified annual report provided to congress pursuant to section 403 of the arms control and disarmament act 22',
5393:'u.s.c. 2593a. the report is available at https://www.state.gov/bureausoffices/ undersecretaryforarmscontrolandinternationalsecurityaffairs/bureauofarmscontrolverificationandcompliance/; and iisimilarly certify with regardto any entityowned or controlled by the',
5394:'offeror; or 2 provide with its offer information that the president of the united states has– iwaivedapplication under 22 u.s.c.',
5395:'2593ed or e; or ii determined under 22 u.s.c. 2593eg2 that the entity has ceased all activities for which measures',
5396:'were imposed under 22 u.s.c. 2593eb. b if certifying in accordance with 52.20913b1,the offeror isrequired to submit the certification with',
5397:'the offer. itis not included in the annual representations andcertifications in the system for award management. c thecontracting officer may',
5398:'rely onan offerors certification unless the contractingofficer hasreason to question the certification. d upon the determination of a false certification',
5399:'under 52.20913, an offeror will be subject tosuch remedies as suspension or debarment under subpart 9.4 shall be for a',
5400:'period of not less than 2 years, inclusive of any suspension period, if suspension precedes a debarment see 9.4064a1iii and',
5401:'a2. 9.1095 solicitation provision. unless the exception at 9.1093 applies,the contracting officer shall include the provision at 52.20913, violation of',
5402:'arms control treaties or agreementscertification,in each solicitation for the acquisitionof products or servicesincluding construction that exceeds the simplified acquisition threshold,',
5403:'other than solicitations for the acquisition of commercial products or commercial services. 9.110 reserveofficertraining corps and military recruiting on campus.',
5404:'9.1101 definitions. as used in this section— covered agency means– 1 the department of defense; 2 any department or agencyforwhich',
5405:'regular appropriations are made in a department of labor, health and human services, and education, and related agencies appropriations act;',
5406:'3 the department of homeland security; 4 the national nuclear security administration of the department of energy; 5 the department',
5407:'of transportation;or 6 the central intelligence agency. institution of higher education means an institution that meets the requirements of 20',
5408:'u.s.c. 1001 and includes all sub elements of such an institution. 9.1102 authority this section implements 10 u.s.c. 983. federal',
5409:'acquisition regulation 9.1103 policy. a except as provided in paragraph b of this section, 10 u.s.c. 983 prohibits the covered',
5410:'agency from providing funds by contract to an institution of higher education if the secretary of defense determines that the',
5411:'institution has a policy or practice that prohibits or ineffect prevents— 1 the secretary of a military department from maintaining,',
5412:'establishing, or operating a unit of the senior reserve officer training corps rotcat that institution; 2 a student at that',
5413:'institution from enrolling in a unit of the senior rotc at another institution of higher education; 3 the secretary of',
5414:'a military department or the secretary of homeland security from gaining access to campuses, or access to students who are',
5415:'17 years of age or older on campuses, for purposes of military recruiting in a manner that is at least',
5416:'equal in quality and scope to the access to campuses and to students that is provided to any other employer;',
5417:'or 4 military recruiters from accessing certain information pertaining to students who are 17 years of age or older enrolled',
5418:'at that institution: i name, address, and telephone listings. ii date and place of birth, educational level, academic majors, degrees',
5419:'received, and the most recent educational institution enrolled in by the student. b the prohibition in paragraph a of this',
5420:'section does not apply to an institution of higher education if the secretary of defense determines that— 1 the institution',
5421:'has ceased the policy or practice described in paragraph a of this section; or 2 the institution hasa longstanding policy',
5422:'of pacifism based on historical religious affiliation. 9.1104 procedures. if the secretary of defense determines, pursuant to the procedures at',
5423:'32 cfr part 216, that an institution of higher education is ineligible to receive funds from a covered agency because',
5424:'of a policy or practice described in 9.1103— a thesecretary of defensewill create anactive exclusion record for the institution in',
5425:'the system for award management; and b a covered agency shall not solicit offers from,award contracts to,or consent tosubcontractswith the',
5426:'institution. the prohibition in this paragraph b does not apply to acquisitions at or below the simplified acquisition threshold or',
5427:'to acquisitionsof commercial products and commercial services,including commercially available offtheshelf items. 9.1105 contract clause. the contractingofficer shall insertthe clause at',
5428:'52.20914,reserve officer training corpsandmilitary recruiting on campus, in solicitations and contracts that are expected to exceed the simplified acquisition threshold,',
5429:'with institutions of higher education, when usingfundsfrom a covered agency. the clause is not prescribedforsolicitationsand contracts using part 12 for',
5430:'the acquisition of commercial products and commercial services. subpart 9.2 qualifications requirements 9.202 subpart 9.2 qualifications requirements 9.200scope of subpart.',
5431:'this subpart implements 10 u.s.c. 3243 and 41 u.s.c.3311 and prescribes policies and procedures regarding qualification requirements and the acquisitions',
5432:'that are subject to such requirements. 9.201definitions. as used in this subpart qualified bidders list qbl means a list of',
5433:'bidders who have had their products examined and tested and who have satisfied all applicable qualification requirements for that product',
5434:'or have otherwise satisfied all applicable qualification requirements. qualified manufacturers list qml means a list of manufacturers who have had',
5435:'their products examined and tested and who have satisfied all applicable qualification requirements for that product. 9.202 policy. a 1',
5436:'the head of the agency or designee shall, before establishing a qualification requirement, prepare a written justification i stating the',
5437:'necessity for establishing the qualification requirement and specifying why the qualification requirement must be demonstrated before contract award; iiestimating thelikely',
5438:'costs for testing and evaluationwhich will beincurred by the potential offeror tobecome qualified; and iii specifying all requirementsthat a potential',
5439:'offerororits product must satisfy in order tobecome qualified. only those requirements which are the least restrictive to meet the purposes',
5440:'necessitating the establishment of the qualification requirements shall be specified. 2 upon request to the contracting activity,potentialofferorsshallbe provided i all',
5441:'requirements that they or their products must satisfy to become qualified; and ii at their expense but see 9.204a2 with',
5442:'regard to small businesses, a prompt opportunity to demonstrate their abilities to meet the standards specified for qualification using qualified',
5443:'personnel and facilities of the agency concerned, or of another agency obtained through interagency agreements or under contract, or other',
5444:'methods approved by the agency including use of approved testing and evaluation services not provided under contract to the agency.',
5445:'3 if the services in paragraph a2ii of this section are provided by contract, the contractors selected to provide testing',
5446:'and evaluation services shall be i those that are not expected to benefit from an absence of additional qualified sources;',
5447:'and iirequiredby their contracts to adhereto any restrictionon technical data asserted by the potential offeror seeking qualification. 4 a potential',
5448:'offeror seeking qualification shall be promptly informed as to whether qualification is attainedand,in the event it is not, promptly furnished',
5449:'specific reasons why qualification was not attained. b when justified under the circumstances, the agency activity responsible for establishing a',
5450:'qualification requirement shall submit to the advocate for competition for the procuring activity responsible for purchasing the item subject to',
5451:'the qualification requirement, a determination that it is unreasonable to specify the standards for qualification which a prospective offeror or',
5452:'its product must satisfy. afterconsidering any comments of the advocate for competition reviewing the determination, the head of the procuring',
5453:'activity may waive the requirements of paragraph a1ii through a4 of this section for up to 2 years with respect',
5454:'to the item subject to the qualification requirement. a copy of the waiver shall be furnishedto theheadof the agency or',
5455:'other official responsible for actions under paragrapha1 of this section. the waiver authority provided in this paragraph does not apply',
5456:'with respect to qualification requirements contained in a qpl, qml, or qbl. c if a potential offeror can demonstrate tothe',
5457:'satisfaction of the contracting officer that the potential offeror or its product meets the standards established for qualification or can',
5458:'meet them before the date specified for award of the contract, apotentialofferor may notbe denied the opportunity to submit and',
5459:'have considered an offer for a contractsolely because the potential offeror 1 is not on a qpl, qml, or qbl',
5460:'maintained by the department of defense dod or the national aeronautics and space administration nasa; or federal acquisition regulation 2',
5461:'has not been identified as meeting a qualification requirement established after october 19,1984, by dod or nasa; or 3 has',
5462:'not been identified as meeting a qualification requirement established by a civilian agency not including nasa. d the procedures in',
5463:'subpart 19.6 for referring matters to the small business administration are not mandatory on thecontracting officer when the basis for',
5464:'a referralwouldinvolve a challengeby the offeror to either the validity ofthe qualificationrequirementor the offeror’scompliance with such requirement. e thecontracting officer',
5465:'need not delay a proposed awardin order to providea potential offeror with an opportunity to demonstrate its ability to meet',
5466:'the standards specified for qualification. in addition, when approved by the head of an agency or designee, a procurement need',
5467:'not be delayed in order to comply with paragraph a of this section. f within 7 years followingenforcement ofa qpl,',
5468:'qml, or qbl by dod or nasa, or within 7 years afterany qualification requirement was originally established by a civilian',
5469:'agency other than nasa, the qualification requirement shall be examined and revalidated in accordance with the requirements of paragraph a',
5470:'of this section. for dod and nasa, qualificationrequirements other than qpl’s, qml’s and qbl’s shall be examined and revalidated within',
5471:'7 years after establishment of the requirement under paragraph a of this section. any periods for which a waiver under',
5472:'paragraph b of this section is in effect shall be excluded in computing the 7 years within which review andrevalidation',
5473:'mustoccur. 9.203 qpl’s, qml’s, and qbl’s. a qualification and listing in a qpl, qml, or qbl is the process by',
5474:'which products are obtained from manufacturers or distributors, examined and tested for compliance with specification requirements, ormanufacturersor potential offerors, are',
5475:'provided an opportunity to demonstrate their abilities to meet the standards specified for qualification. the names of successful products, manufacturers,',
5476:'or potential offerors are included on lists evidencing their status. generally, qualification is performed in advance and independently of any',
5477:'specific acquisition action. after qualification, the products, manufacturers, or potential offerors areincluded in a federal or military qpl, qml, or',
5478:'qbl. see 9.202a2 with regard to any product, manufacturer, orpotentialofferor not yet included onan applicable list. b specifications requiring a',
5479:'qualified product are included 1 in the gsa index of federal specifications, standards and commercial item descriptions; and 2 on',
5480:'the department of defense acquisition streamlining and standardization information system assist website at https://assist.dla.mil. c instructions concerning qualification procedures are',
5481:'included in the following publications: 1 federal standardization manual, fspm0001. 2 department of defense manual 4120.24, defense standardization program dsp',
5482:'procedures, www.esd.whs.mil/ directives/issuances/dodm as amended by military standards 961 and 962 https://assist.dla.mil . d the publications in paragraphs b1 and',
5483:'c1 of this section may be obtained from the address in 11.201d1. 9.204 responsibilities forestablishment of aqualification requirement. the responsibilities',
5484:'of agency activities that establish qualification requirements include the following: a arranging publicity for the qualification requirements. if active competition',
5485:'on anticipated future qualification requirements is likely to be fewer than two manufacturers or the products of two manufacturers, the',
5486:'activity responsible for establishment of the qualification requirements must 1 periodically furnish through the governmentwide point of entry gpe a',
5487:'notice seeking additional sources or products for qualification unless the contracting officer determines that such publicationwouldcompromise thenational security. 2 bear',
5488:'the cost of conducting the specified testing and evaluation excluding the costs associated with producing the item or establishing the',
5489:'production, quality control, or other system to be tested and evaluated for a small business concern or a product manufactured',
5490:'by a small business concern which has met the standards specified for qualification and which could reasonably be expected to',
5491:'compete for acontract for that requirement. however, such costs may be borne only if it is determined in accordance with',
5492:'agency procedures that such additional qualified sources or products are likely to result in cost savings fromincreasedcompetition for future requirements',
5493:'sufficient to amortize the costs incurred bythe agencywithin a reasonable period of time, considering the duration and dollar value of',
5494:'anticipated future requirements. a prospective contractor requesting the united states to bear testing and evaluation costs must certify as to',
5495:'its status as a small business concern under section 3 of the small business act in order to receive further',
5496:'consideration. b qualifying products that meet specification requirements. subpart 9.2 qualifications requirements 9.2061 c listing manufacturers and suppliers whose products',
5497:'are qualified in accordance with agency procedures. d furnishing qpl’s, qml’s, or qbl’s orthe qualification requirements themselvesto prospective offerors and',
5498:'the public upon request see 9.202a2i. e clarifying, as necessary, qualification requirements. f in appropriate cases,when requested by the contractingofficer,',
5499:'providing concurrencein a decision not to enforce a qualification requirement for a solicitation. g withdrawing or omitting qualificationof alistedproduct, manufacturer',
5500:'orofferor,as necessary. h advising persons furnished any list of products, manufacturers or offerors meetinga qualification requirement and suppliers whose products',
5501:'are on any such list that 1 the list does notconstitute endorsement ofthe product, manufacturer, or other sourceby the government;',
5502:'2 the products or sources listed have been qualified under the latest applicable specification; 3 the list may be amended',
5503:'without notice; 4 the listing of a product or source does not release the supplier from compliance with the specification;',
5504:'and 5 use of the list for advertising or publicity is permitted. however, it must not be stated orimpliedthat a',
5505:'particular product or source is the only product or source of that type qualified, or that the government in any',
5506:'way recommends or endorses the products or the sources listed. i reexamining a qualified product or manufacturer when 1 the',
5507:'manufacturer has modified itsproduct, or changed the material or the processing sufficiently so that the validity of previous qualification is',
5508:'questionable; 2 the requirements in the specification have been amended or revised sufficiently to affect the characterof the product; or',
5509:'3 it is otherwise necessary to determine that the quality of the product is maintained in conformance with the specification.',
5510:'9.205 opportunity for qualification before award. a if an agency determines that a qualification requirement is necessary, the agency activity',
5511:'responsible for establishing therequirementmust urge manufacturers and other potential sources to demonstratetheir ability to meet the standards specified for qualification',
5512:'and, when possible,give sufficient time toarrange for qualification before award. the responsible agency activity must, before establishing any qualification requirement,',
5513:'furnish notice through the gpe. the notice must include 1 intent to establish a qualification requirement; 2 the specification number',
5514:'and name of the product; 3 the name and address of the activity to which a request for the information',
5515:'and opportunity described in 9.202a 2 should be submitted; 4 the anticipated date that the agency will begin awarding contracts',
5516:'subject to the qualification requirement; 5 a precautionary notice that when a product is submitted for qualification testing, the applicant',
5517:'must furnish any specific information that may be requested of the manufacturer before testing will begin; and 6 the approximate',
5518:'time period following submission of a product for qualification testing within which the applicant will be notified whether the product',
5519:'passed or failed the qualification testing see 9.202a4. b the activity responsible for establishing a qualification requirement must keep any',
5520:'list maintained of those already qualified open for inclusion of additional products, manufacturers, or other potential sources. 9.206 acquisitions subject',
5521:'to qualification requirements. 9.2061 general. a agencies may not enforce any qpl, qml, or qbl without first complying with the',
5522:'requirements of 9.202a. however, qualification requirementsthemselves, whether or notpreviously embodied in a in a qpl, qml,or qbl, may be enforced',
5523:'without regard to 9.202a if they are in either of the following categories: 1 any qualification requirement established by statute',
5524:'prior to october 30,1984, for civilian agencies not including nasa; or 2 any qualification requirement established by statute or administrative',
5525:'action prior to october 19,1984, for dod or nasa. qualification requirements established after the above dates must comply with 9.202a',
5526:'to be enforceable. federal acquisition regulation b except when the agency head ordesignee determines that an emergency exists, whenever an',
5527:'agency elects, whether before or after award, not to enforce a qualification requirement which it established, the requirement may not',
5528:'thereafter be enforced unless the agency complies with 9.202a. c if a qualification requirement applies, the contracting officer need consider',
5529:'only thoseoffers identified as meeting therequirementor included onthe applicable qpl, qml,or qbl, unless an offeror can satisfactorily demonstrateto the contracting',
5530:'officerthat it or its product or its subcontractor or its productcan meet the standards established for qualification before the date',
5531:'specified for award. d if a product subject to a qualification requirement is to be acquired as a component of',
5532:'an end item, the contracting officer must ensure that all such components andtheir qualification requirements are properly identified in the',
5533:'solicitation since the product or source must meet the standards specified for qualification before award. e inacquisitions subject to qualification',
5534:'requirements, the contracting officer shall take the following steps: 1 use presolicitation notices in appropriate cases to advise potential suppliers',
5535:'before issuing solicitations involving qualification requirements. the notices shall identify the specification containing the qualification requirement and establish anallowable timeperiod,',
5536:'consistent withdelivery requirements, for prospective offerors todemonstrate theirabilities to meet the standards specified for qualification. the notice shall be publicized',
5537:'in accordance with 5.204. whether or not a presolicitation notice is used, the general synopsizing requirements of subpart 5.2apply. 2',
5538:'distribute solicitations to prospective contractors whether or not they have been identified as meeting applicable qualification requirements. 3 when appropriate,',
5539:'request in accordance with agency procedures that a qualification requirement not be enforced in a particular acquisition and, if granted,',
5540:'so specify in the solicitation see 9.2061b. 4 forward requests from potential suppliers for information on a qualification requirement to',
5541:'the agency activity responsible for establishing the requirement. 5 allow the maximum time, consistent with delivery requirements, between issuing the',
5542:'solicitation and the contract award. asa minimum, contracting officersshallcomply with thetime framesspecified in 5.203 when applicable. 9.2062 contract clause. the',
5543:'contractingofficer shall insertthe clause at 52.2091, qualification requirements, in solicitations and contracts when the acquisition is subject to a qualification',
5544:'requirement. 9.2063 competition. a presolicitation.if a qualification requirement applies to an acquisition,the contracting officershallreview the applicable qpl, qml, or qbl',
5545:'or other identification of those sources which have met the requirement before issuing a solicitation to ascertain whether the number',
5546:'of sources is adequate for competition. see 9.204a for duties of the agency activity responsible for establishment of the qualification',
5547:'requirement. if the number of sources is inadequate, the contracting officershallrequest the agency activity whichestablished the requirement to 1 indicate',
5548:'the anticipated date on which any sources presently undergoingevaluation will have demonstrated their abilities to meet the qualification requirement so',
5549:'that the solicitation could be rescheduled to allow as many additional sources as possible to qualify; or 2 indicate whether',
5550:'a means other than the qualification requirement is feasible for testing or demonstrating quality assurance. b post solicitation. the contractingofficer',
5551:'shall submit to the agency activity whichestablished the qualification requirement the names and addresses of concerns which expressed interest in',
5552:'the acquisition but are not included on the applicable qpl, qml, or qbl or identified as meeting the qualification requirement.',
5553:'the activity will then assist interested concerns in meeting the standards specified for qualification see 9.202a2 and 4. 9.207 changes',
5554:'in status regarding qualificationrequirements. a thecontracting officer shall promptly report to the agencyactivity which established the qualification requirement any conditions',
5555:'which may merit removal oromission from a qpl, qml, or qbl or affect whether a source should continue to be',
5556:'otherwise identified as meeting the requirement. these conditions exist when 1 products or services are submitted for inspection or acceptance',
5557:'that do not meet the qualification requirement; 2 products or services were previously rejected and the defects were not corrected',
5558:'when submitted for inspection or acceptance; subpart 9.2 qualifications requirements 9.207 3 a supplier fails to request reevaluation following change',
5559:'of location or ownership of the plant where the product which met the qualification requirement was manufactured see the clause',
5560:'at 52.2091, qualification requirements; 4 a manufacturer of a product which met the qualification requirement has discontinued manufacture of the',
5561:'product; 5 a source requests removal from a qpl, qml, or qbl; 6 a condition of meeting the qualification requirement',
5562:'was violated; e.g., advertising or publicity contrary to 9.204h 5; 7 a revised specification imposes a new qualification requirement; 8',
5563:'manufacturing or design changes have been incorporated in the qualification requirement; 9thesourceislistedinthesystemforawardmanagementexclusionssee subpart 9.4; or 10 performance of a contract',
5564:'subject to a qualification requirement is otherwise unsatisfactory. b after considering any of the above or other conditions reasonably related',
5565:'to whether a product or source continues to meet the standards specified for qualification, an agency may take appropriate action',
5566:'without advance notification. the agency shall,however,promptly notifythe affected parties ifa productor source is removedfrom a qpl, qml, or qbl, or',
5567:'will no longer be identified as meeting the standards specified for qualification. this notice shall contain specific information why the',
5568:'product or source no longer meets the qualification requirement. this page intentionally left blank. subpart 9.3 first article testing and',
5569:'approval 9.306 subpart 9.3 first article testing and approval 9.301definition. approval,as used in this subpart, means the contracting officer’s written',
5570:'notification tothe contractor accepting the test results of the first article. 9.302general. first article testing and approval hereafter referred to',
5571:'as testing and approval ensures that the contractor can furnish a product that conforms to all contract requirements for acceptance.',
5572:'before requiring testing and approval, the contracting officer shall consider the a impact on cost or time of delivery; b',
5573:'risk to the government of foregoing such test; and c availabilityof other, less costly, methods of ensuring the desired quality.',
5574:'9.303use. testing and approval may be appropriatewhen a the contractor has not previously furnished the product to the government; b',
5575:'the contractor previously furnished the product to the government, but 1 there have been subsequent changes in processes or specifications;',
5576:'2 production has been discontinued for an extended period of time; or 3 the product acquired under a previous contract',
5577:'developed a problem during its life; c the product is described by a performance specification; or d it is essential',
5578:'to have an approved first article to serve as a manufacturing standard. 9.304exceptions. normally,testing and approvalis not required in contracts',
5579:'for a research or development; b products requiring qualification before award e.g., when an applicable qualified products list exists see',
5580:'subpart 9.2; c products normally sold in the commercial market; or d products covered by complete and detailed technical specifications,',
5581:'unless the requirements are so novel or exacting that it is questionable whether the products would meet the requirements without',
5582:'testing and approval. 9.305risk. before first article approval, the acquisition of materials or components, or commencement of production, is normally',
5583:'at the sole risk of the contractor. to minimize this risk, the contracting officershallprovide sufficienttime in the delivery schedule for',
5584:'acquisition of materials and components, and for production after receipt of first article approval. when government requirementspreclude this action, thecontracting',
5585:'officer may, before approval ofthe first article, authorize the contractor to acquire specific materials or components or commence production to',
5586:'the extent essential to meet the delivery schedule see alternate ii of the clause at 52.2093, first article approvalcontractor testing,',
5587:'andalternate ii ofthe clause at 52.2094, first articleapprovalgovernment testing. costs incurred based on this authorization areallocableto the contract for— a',
5588:'progress payments; and b terminationsettlements if the contract is terminated for the convenience of the government. 9.306 solicitation requirements. solicitations',
5589:'containing a testing and approval requirement shall a provide, in the circumstance where the contractor is to be responsible for',
5590:'the first article approval testing 1 the performance or other characteristics that the first article must meet for approval; 2',
5591:'the detailed technical requirements for the tests that must be performed for approval; and 3 the necessary data that must',
5592:'be submitted to the government in the first article approval test report; b provide, in the circumstance where the government',
5593:'is to be responsible for the first article approval testing 1 the performance or other characteristics that the first article',
5594:'must meet for approval; and 2 the tests to which the first article will be subjected for approval; federal acquisition',
5595:'regulation c informofferorsthat therequirementmay be waived when supplies identical or similar to those called for have previouslybeendelivered by the offeror',
5596:'and accepted by the government see 52.2093h and 52.2094i; d permit the submission of alternative offers,one including testing and approval',
5597:'and theotherexcluding testing and approval if eligible under paragraph c of this section; e stateclearly the first article’s relationship to',
5598:'the contract quantity seeparagraph eof the clause at 52.2093, first article approvalcontractor testing, or 52.2094, first articleapprovalgovernment testing; f contain',
5599:'a delivery schedule for the production quantity see 11.403. the delivery schedule may 1 be the same whether or not',
5600:'testing and approval is waived; or 2 provide for earlier delivery when testing and approval is waived and the government',
5601:'desires earlierdelivery. in the latter case,any resulting differencein delivery schedules shall not be afactorin evaluationforaward. the clause at 52.2094, firstarticle',
5602:'approvalgovernment testing, shall contain the delivery schedule for the first article; g provide for thesubmission of contract numbers, if any,',
5603:'todocument the offeror’seligibility under paragraph c ofthis section; h state whether the approved first article will serve as a manufacturing',
5604:'standard; iinclude, when thegovernment is responsible for first articletesting, the government’s estimated testing costs as a factor for use in',
5605:'evaluating offerswhenappropriate; and jinform offerors that the prices for first articles and first article testsin relation to production quantities shall',
5606:'not be materially unbalanced see 15.4041g if first article test items or tests are to be separately priced. 9.307 government',
5607:'administration procedures. a before the contractor ships the first article, or the first article test report, to the government laboratory',
5608:'or other activity responsible for approval at the address specifiedin thecontract, the contractadministration office shall provide thatactivity with as much',
5609:'advance notification as is feasible of the forthcoming shipment, and 1 advise that activity of the contractual requirements for testing',
5610:'and approval, or evaluation, as appropriate; 2 call attention to the notice requirement in paragraph b of the clause at',
5611:'52.2093, first article approvalcontractor testing, or 52.2094, first articleapprovalgovernment testing; and 3 request that the activityinform thecontract administration office of',
5612:'the datewhen testingor evaluation willbe completed. b the government laboratory or other activity responsible for first article testing or evaluation',
5613:'shall inform the contracting office whether to approve, conditionally approve, ordisapprove the first article. the contracting officer shall then notify',
5614:'the contractorof the actiontakenand furnisha copy of the notice tothe contract administrationoffice. the notice shall include the first article shipment',
5615:'number, when available, and theapplicable line itemnumber. any changes in the drawings, designs,or specifications determinedby the contracting officerto benecessary shall',
5616:'be madeunder thechanges clause, and not bythe notice of approval, conditional approval, or disapproval furnished the contractor. 9.308contract clauses. 9.3081',
5617:'testing performed bythe contractor. a 1thecontractingofficershallinserttheclauseat 52.2093,firstarticleapprovalcontractortesting,in solicitations and contracts when a fixedprice contract is contemplated and it is intended',
5618:'that the contract require i first article approval; and ii that the contractor be required to conduct the first article',
5619:'testing. 2 if it is intended that the contractor be required to produce the first article and the production quantity',
5620:'at the same facility, thecontracting officer shall use the clause with its alternate i. 3 if it is necessary to',
5621:'authorize the contractor to purchase material or to commence production before first article approval, thecontracting officer shall use the clause',
5622:'with its alternate ii. b 1thecontractingofficershallinsertaclausesubstantiallythesameastheclauseat 52.2093, first article approval —contractor testing, in solicitations andcontracts when a costreimbursement contractis contemplated',
5623:'and it isintended that the contract require i first article approval and ii that the contractor be required to conduct',
5624:'the first article test. subpart 9.3 first article testing and approval 9.3082 2 if it is intended that the contractor',
5625:'be required to produce the first article and the production quantity at the same facility, thecontracting officer shall use aclause',
5626:'substantially the same as the clauseat 52.2093, first article approval— contractor testing,with its alternate i. 3 if it is necessary',
5627:'to authorize the contractor to purchase material or to commence production before first article approval, thecontracting officer shall use aclause',
5628:'substantially the same as the clause at 52.2093, first article approval— contractor testing,with its alternate ii. 9.3082 testing performed bythe',
5629:'government. a 1thecontractingofficershallinserttheclauseat 52.2094,firstarticleapprovalgovernmenttesting,in solicitations and contracts when a fixedprice contract is contemplated and it is intended that the contract',
5630:'require first article approval and that the government will be responsible for conducting the first article test. 2 if it',
5631:'is intended that the contractor be required to produce the first article and the production quantity at the same facility,',
5632:'thecontracting officer shall use the basic clause with its alternatei. 3 if it is necessary to authorize the contractor to',
5633:'purchase material or to commence production before first article approval, thecontracting officer shall use the basic clause with its alternateii.',
5634:'b 1thecontractingofficershallinsertaclausesubstantiallythesameastheclauseat 52.2094, first article approval government testing, in solicitations and contracts when a costreimbursement contractis contemplated and it is',
5635:'intended that the contract require first article approval and that the government be responsible for conducting the first article test.',
5636:'2 if it is intended that the contractor be required to produce the first article and the production quantity at',
5637:'the same facility, thecontracting officer shall use aclause substantially the same as the clauseat 52.2094, first article approval government testing,',
5638:'withits alternate i. 3 if it is necessary to authorize the contractor to purchase material or to commence production before',
5639:'first article approval, thecontracting officer shall use aclause substantially the same as the clause at 52.2094, first article approval government',
5640:'testing, withits alternate ii. this page intentionally left blank. subpart 9.4 debarment, suspension, and ineligibility 9.403 subpart 9.4 debarment, suspension,',
5641:'and ineligibility 9.400scope of subpart. a this subpart 1 prescribes policies and procedures governing the debarment and suspension of contractors',
5642:'by agencies for the causes given in 9.4062 and 9.4072; 2 provides for the listing of contractors debarred, suspended, proposed',
5643:'for debarment, and declared ineligible see the definition of ineligible in 2.101; and 3 sets forth the consequences of this',
5644:'listing. b although this subpart does cover the listing of ineligible contractors 9.404 and the effect of this listing 9.405,',
5645:'it does not prescribe policies and procedures governing declarations of ineligibility except for contractors that have been declared ineligible pursuant',
5646:'to 10 u.s.c. 983 see 9.110, and 9.4051b. c for federal acquisition supplychain securityactfascsaorders, see subpart 4.23. 9.401 applicability. in',
5647:'accordance with public law 103355, section 2455 31 u.s.c.6101, note, and executive order 12689, any debarment, suspension or other governmentwide',
5648:'exclusion initiated under the nonprocurement common rule implementing executive order 12549 onor after august25,1995, shall be recognized by andeffective for',
5649:'executive branch agencies as a debarment or suspension under this subpart. similarly, any debarment, suspension,proposed debarment or other governmentwide exclusion',
5650:'initiated onor after august25,1995, under thissubpartshallalso be recognized by and effective for those agencies and participants as an exclusion under',
5651:'the nonprocurement common rule. 9.402 policy. a agencies shall solicit offers from, awardcontracts to, and consent to subcontracts with responsible',
5652:'contractorsonly. debarment and suspension are discretionary actions that, taken in accordance with this subpart, are appropriate means to effectuate this',
5653:'policy. b the serious nature of debarment and suspension requires that these sanctions be imposed only in the public interest',
5654:'for thegovernment’s protectionand not for purposes of punishment. agencies shall impose debarmentor suspension to protect thegovernment’s interest and only for',
5655:'thecausesand in accordance with the procedures set forth in thissubpart. c agencies are encouraged to establish methods and procedures for',
5656:'coordinating their debarment or suspension actions. d when more than one agencyhas an interestin thedebarment or suspension of a contractor,',
5657:'the interagency committee on debarment and suspension, established under executive order 12549, and authorized by section 873 of the national',
5658:'defense authorization act for fiscalyear 2009 pub. l. 110417 31 u.s.c.6101, note, shall resolve the lead agency issue and coordinate',
5659:'such resolution among all interested agencies prior to the initiation of any suspension, debarment, or related administrative action by any',
5660:'agency. e agencies shall establish appropriate procedures to implement the policies and procedures of this subpart. 9.403definitions. as used in',
5661:'this subpart— affiliates.– 1 business concerns,organizations, orindividuals are affiliates of eachotherif, directly or indirectly– i either one controls or has',
5662:'the power to control the other; or ii a third party controls or has the power to control both. 2',
5663:'indicia of control include, but are not limited to, interlocking management or ownership, identity of interests among family members, shared',
5664:'facilities and equipment,common useof employees,or abusinessentity organizedfollowing the debarment, suspension, or proposed debarment of a contractor which has the same',
5665:'or similar management, ownership, or principal employees as the contractor that was debarred, suspended, or proposed for debarment. agency means',
5666:'any executive department, military department or defense agency, or other agency or independent establishment of the executive branch. civil judgment',
5667:'means ajudgment or findingof acivil offense by any court of competentjurisdiction. contractor means any individual or other legal entity that–',
5668:'federal acquisition regulation 1 directly or indirectly e.g., through an affiliate, submits offers for or is awarded, or reasonably may',
5669:'be expected to submitoffers for or be awarded,a government contract, including a contract for carriage under government orcommercial bills of',
5670:'lading, or a subcontract under a government contract; or 2 conducts business, or reasonably may be expected to conduct business,',
5671:'with the government as an agent or representative of another contractor. debarring official means– 1 an agency head; or 2',
5672:'a designee authorized by the agency head to impose debarment. indictment means indictment for a criminal offense. an information or',
5673:'other filing by competent authority charging a criminal offenseis given the same effect as an indictment. legal proceedings means any',
5674:'civil judicial proceeding to which the government is a party or any criminal proceeding. the term includes appeals from such',
5675:'proceedings. nonprocurement common rule meansthe procedures used by federal executive agenciesto suspend, debar, or exclude individuals or entities from participation',
5676:'in nonprocurement transactions under executive order 12549. examples of nonprocurement transactions are grants, cooperative agreements, scholarships, fellowships, contracts of assistance,',
5677:'loans, loan guarantees, subsidies, insurance, payments for specified use, and donation agreements. suspending official means– 1 an agency head; or',
5678:'2 a designee authorized by the agency head to impose debarment. unfair trade practices means the commission of any or',
5679:'the following acts by a contractor– 1 a violation of section 337of the tariff act of 1930 19 u.s.c. 1337',
5680:'as determinedby the international trade commission. 2 a violation, as determined by the secretary of commerce, of any agreement of',
5681:'the group known as the coordination committee for purposes of the export administration act of 1979 50 u.s.c. app. 2401,',
5682:'et seq. or any similar bilateral or multilateral export control agreement. 3 a knowingly false statement regarding a material element',
5683:'of a certification concerning the foreign content of an item of supply,as determined by thesecretary of the department or the',
5684:'head of the agency to which such certificate was furnished. 9.404 exclusions in the system for award management. a the',
5685:'general services administration gsa— 1 operates the webbased system for award managementsam, whichcontains exclusion records; and 2 provides technical assistance',
5686:'to federal agencies in the use of sam. b an exclusion record in sam contains the— 1 names and addresses',
5687:'of the entities debarred, suspended, proposed for debarment, declared ineligible, or excluded or disqualified under the nonprocurement common rule, with',
5688:'crossreferences when more than one name is involved in a single action; 2 name of the agency or other authority',
5689:'taking the action; 3 cause for the action see 9.4062 and 9.4072 for causes authorized under this subpart or other',
5690:'statutory or regulatory authority; 4 effect of the action; 5 terminationdate for each listing; 6 unique entity identifier; 7 social',
5691:'security number ssn, employer identification number ein, or other taxpayeridentification number tin, if available; and 8 name and telephone number',
5692:'of the agency point of contact for the action. c each agency must— 1 identify the individuals responsible for entering',
5693:'and updating exclusions data in sam and assign the appropriate roles; 2 remove the exclusion roles in sam when the',
5694:'individualleaves the organization orchangesfunctions; 3 for each exclusion accomplished by the agency– i enter the information required by paragraph b',
5695:'of this section within 3 working days after the action becomes effective; subpart 9.4 debarment, suspension, and ineligibility 9.4051 ii',
5696:'determine whether it is legally permitted to enter the ssn, ein, or other tin, under agency authority to suspend or',
5697:'debar; and iii update the exclusion record in sam, generally within 5 working days after modifying or rescinding an action;',
5698:'4 in accordance with internal retention procedures, maintain records relating to each debarment, suspension, or proposed debarment taken by the',
5699:'agency; 5 establish procedures to ensure thatthe agency does not solicitoffers from, award contracts to, or consent to subcontracts with',
5700:'contractors who have an active exclusion record in sam, except as otherwise provided in this subpart; 6 direct inquiries concerning',
5701:'listed contractors and other entities to the agency or other authority that took the action; and 7 contact gsa for',
5702:'technical assistance with sam, via the support email address or on the technical support phone line. d sam is available',
5703:'via https://www.sam.gov. 9.405effect of listing. a contractors debarred, suspended, or proposed for debarment are excluded from receiving contracts, and agencies',
5704:'shall not solicitoffers from, award contracts to,or consent tosubcontractswith these contractors, unless the agency head determines that there is a',
5705:'compelling reason for such action see 9.4051a2, 9.4052, 9.4061c, 9.4071d, and 26.505e. contractors debarred, suspended, or proposed for debarment are',
5706:'also excluded from conducting business with the government as agents or representatives of other contractors. b contractors and other entities',
5707:'that have an active exclusion record in sam because they have been declared ineligible on the basis of statutory or',
5708:'other regulatory procedures are excluded from receiving contracts, and if applicable, subcontracts, underthe conditions and for the period set forth',
5709:'inthe statute or regulation. agencies shall not solicitoffers from, award contracts to, or consent to subcontracts with these contractors under',
5710:'those conditions and for that period. c agencies shall not enter into,renew, orextend contractswith contractors thathavebeendeclared ineligible pursuant to 22',
5711:'u.s.c. 2593e. d contractors debarred, suspended, or proposed for debarment are excluded from acting as individual sureties see part 28.',
5712:'e 1aftertheopeningofbidsorreceiptofproposalsorquotes,thecontractingofficershallreviewtheexclusion records in sam. 2 bids received from any listed contractor in response to an invitation for bids shall',
5713:'be entered on the abstract of bids, and rejected unless the agency head determines in writing that there is a',
5714:'compelling reason to consider the bid. 3 proposals, quotations, oroffers received fromanylisted contractor shall not beevaluated for awardor included in',
5715:'the competitive range, nor shall discussionsbe conducted with alisted offeror duringa period of ineligibility, unless the agency head determines, in',
5716:'writing, that there is a compelling reason to do so. if the period of ineligibility expires or is terminated priorto',
5717:'award, the contracting officer may, but is notrequired to, consider such proposals,quotations, or offers. 4 immediatelyprior to award, the contracting',
5718:'officer shall again review the exclusion recordsin samto ensure that no awardis made toa listed contractor. 9.4051 continuation of currentcontracts.',
5719:'a contractors debarred, suspended, or proposed for debarment. 1 notwithstanding the debarment, suspension, or proposed debarmentof acontractor, agenciesmay continue contractsor',
5720:'subcontracts in existence atthe time the contractor was debarred, suspended, or proposed for debarment unless the agency head directs otherwise.',
5721:'a decision as to the type of terminationaction,if any, to be taken should be made only afterreview by agency contracting',
5722:'and technical personnel and by counsel to ensure the propriety of the proposed action. 2 for contractors debarred, suspended, or',
5723:'proposed for debarment, unless the agency head makes a written determination of the compelling reasons for doing so, ordering activities',
5724:'shall not— i place orders exceeding the guaranteed minimum under indefinite quantity contracts; ii place orders under federal supply schedule',
5725:'contracts, blanket purchase agreements, or basic ordering agreements; or iii add new work, exercise options, or otherwise extend the duration',
5726:'of current contracts or orders. b ineligible contractors. a covered agency, as defined in 9.1101, shall terminate existing contracts and',
5727:'shall not place new orders or award new contracts with contractors that have been declared ineligible pursuant to 10 u.s.c.',
5728:'983 see 9.110, federal acquisition regulation except for contracts at or below the simplified acquisition threshold or contracts for the',
5729:'acquisition of commercial products and commercial services. 9.4052 restrictions on subcontracting. a when a contractor debarred, suspended, or proposed for',
5730:'debarment is proposed as a subcontractor for any subcontract subject to government consent see subpart 44.2,contractingofficersshallnotconsenttosubcontractswithsuchcontractors unless the agency head',
5731:'states in writing the compelling reasons for this approval action. see 9.405 concerning declarations of ineligibility affectingsubcontracting. b the government',
5732:'suspends or debarscontractors to protect the government’s interests. contractors areprohibitedfrom entering into any subcontract in excess of$35,000, other than a',
5733:'subcontractfora commerciallyavailable offtheshelf item, with a contractor that has been debarred, suspended, or proposed for debarment, unless there is a',
5734:'compelling reason to do so. if a contractor intends to enter into a subcontract in excess of $35,000, other than',
5735:'a subcontract for a commercially available offtheshelfitem, with a partythat isdebarred, suspended, or proposedfordebarment as evidenced by the partys having',
5736:'an active exclusion record in sam see 9.404, a corporate officer or designeeof the contractoris required by operationof the clause',
5737:'at 52.2096, protecting the government’sinterests when subcontractingwith contractors debarred, suspended, or proposed for debarment, to notify thecontracting officer,in writing, before',
5738:'entering into such subcontract. for contracts for the acquisition of commercial products, the notification requirement applies only for firsttier subcontracts.',
5739:'for all other contracts, the notification requirement applies to subcontracts at any tier. the noticemust providethe following: 1 the name',
5740:'of the subcontractor; 2 the contractor’s knowledgeof the reasons for the subcontractor having an active exclusionrecord in sam; 3 the',
5741:'compelling reasons for doing business with the subcontractor notwithstanding its having an active exclusion record in sam; and 4 the',
5742:'systems and procedures thecontractor has established to ensure that it is fully protecting the government’s interests whendealing with such subcontractor',
5743:'in view of the specific basisforthe party’sdebarment,suspension, or proposed debarment. c thecontractor’scompliance with the requirements of 52.2096 will be reviewed',
5744:'during contractor purchasing system reviews see subpart 44.3. 9.406debarment. 9.4061 general. a it is the debarring official’s responsibility todetermine whether',
5745:'debarment is in the government’s interest. the debarring officialmay, in the public interest, debara contractorforany of the causesin 9.4062, using',
5746:'the procedures in 9.4063. the existence ofa cause for debarment, however, doesnot necessarily require thatthe contractor be debarred; the seriousness',
5747:'ofthe contractor’s acts or omissions and anyremedial measures or mitigating factorsshouldbe considered in making any debarment decision. before arriving atany',
5748:'debarment decision, the debarring official should consider factors such as the following: 1 whetherthe contractor had effective standards of conduct',
5749:'and internal control systems inplace at the time of the activity which constitutes cause for debarment or had adopted such',
5750:'procedures prior to any government investigation of the activity cited as a cause for debarment. 2 whether the contractor brought',
5751:'the activity cited as a cause for debarment to the attention of the appropriate government agency in a timelymanner. 3',
5752:'whether the contractor has fully investigated the circumstances surrounding the cause for debarment and, if so, made the result of',
5753:'the investigation available to the debarring official. 4 whether the contractor cooperated fully with government agencies during the investigation and',
5754:'any court or administrative action. 5 whether the contractor has paid or has agreed to pay all criminal, civil, and',
5755:'administrative liability for the improper activity, including any investigative or administrativecosts incurred by the government, and has made or agreed',
5756:'to make full restitution. 6 whether the contractor has taken appropriate disciplinary action against the individuals responsible for the activity',
5757:'which constitutes cause for debarment. 7 whether the contractor has implemented or agreed to implement remedial measures, including any identified',
5758:'by the government. subpart 9.4 debarment, suspension, and ineligibility 9.4062 8 whether the contractor has instituted or agreed to institute',
5759:'new or revised review and control procedures and ethics training programs. 9 whetherthe contractor has had adequate time to eliminate',
5760:'the circumstances within the contractor’s organization that led to the cause for debarment. 10 whether the contractor’smanagement recognizes andunderstands the',
5761:'seriousness of themisconduct giving rise to the cause for debarment and has implemented programs to prevent recurrence. the existence or',
5762:'nonexistence of any mitigating factors or remedial measures such as set forth in this paragraph a is not necessarily determinative',
5763:'of a contractor’s present responsibility. accordingly, if a cause for debarmentexists, the contractor has the burdenof demonstrating, to the satisfaction',
5764:'of thedebarring official, its presentresponsibilityand that debarment is not necessary. b debarment constitutesdebarment of all divisionsor other organizational elements of',
5765:'the contractor, unless the debarment decisionis limited byits terms to specific divisions, organizational elements, or commodities. the debarring official may',
5766:'extendthe debarment decisionto include any affiliates ofthe contractor if they are 1 specifically named; and 2 given written notice of',
5767:'the proposed debarment and an opportunity to respond see 9.4063c. c a contractor’s debarment, orproposed debarment, shall be effectivethroughout the',
5768:'executive branchof the government, unless the agency head or a designee except see 26.505e states in writing the compelling reasons',
5769:'justifying continued business dealingsbetween that agency and thecontractor. d 1whenthedebarringofficialhasauthoritytodebarcontractorsfrombothacquisitioncontractspursuanttothis regulation and contracts for the purchase of federal personal property',
5770:'pursuant to the federal property management regulationsfpmr 10145.6, that officialshallconsidersimultaneously debarring the contractor from the awardof acquisition contracts andfrom the',
5771:'purchaseof federal personal property. 2 when debarring a contractor from the award of acquisition contracts and from the purchase of',
5772:'federal personal property,the debarment notice shall so indicateandthe appropriate far and fpmr citationsshallbe included. 9.4062 causes for debarment. the debarring',
5773:'official may debar a a contractor for a conviction of or civil judgment for 1 commission of fraud or a',
5774:'criminal offense in connection with i obtaining; ii attempting to obtain; or iii performing a public contract or subcontract. 2',
5775:'violation offederal or state antitrust statutes relating to thesubmission of offers; 3 commission of embezzlement, theft,forgery,bribery, falsificationor destructionof records,making false',
5776:'statements, tax evasion, violating federal criminal tax laws, or receiving stolen property; 4 intentionally affixing a label bearing a made',
5777:'in america inscription or any inscription having the same meaning to a product sold in or shipped to the united',
5778:'states or its outlying areas, when the product was not made in the united states or its outlying areas see',
5779:'section 202 of the defense production act public law102558; or 5 commission of any other offenseindicating a lack of business',
5780:'integrityor business honesty that seriously and directly affects the present responsibility of a government contractor orsubcontractor. b 1acontractor,baseduponapreponderanceoftheevidence,foranyofthefollowing iviolation of',
5781:'theterms ofa government contract or subcontract so serious as to justify debarment, suchas awillful failure to perform in accordance withthe',
5782:'terms of one or more contracts; or b a history of failure to perform, or of unsatisfactory performance of, one',
5783:'or more contracts. iiviolations of 41 u.s.c. chapter 81, drugfreeworkplace, as indicated by a failure to comply with the requirements',
5784:'of the clause at 52.2267, drugfree workplace; or b such a number of contractor employees convicted of violations of criminal',
5785:'drug statutes occurring in the workplace as to indicatethat the contractor has failed tomake a good faith effortto provide a',
5786:'drugfree workplace see 26.504. iii intentionally affixing alabel bearinga made in america inscriptionoranyinscriptionhaving thesame meaning to a product sold in',
5787:'or shipped to the united states or its outlying areas, when the product was not made in the united states',
5788:'or its outlying areas see section 202 of the defense production act public law102558. federal acquisition regulation iv commission of',
5789:'an unfair trade practice as defined in 9.403 see section 201 of the defense production act pub.l.102558. v delinquent federal',
5790:'taxes in an amount that exceeds $10;000. a federal taxes are considered delinquent for purposes of this provision if both',
5791:'of the following criteria apply: 1 the tax liability is finally determined. the liability is finally determined if it has',
5792:'been assessed. a liability is not finally determined if there is a pending administrative or judicial challenge. in the case',
5793:'of a judicial challenge to the liability, the liability isnot finally determined untilalljudicial appeal rights have been exhausted. 2 the',
5794:'taxpayer is delinquent in making payment. a taxpayer is delinquent if the taxpayer has failed to pay the tax liability',
5795:'when full payment was due and required. a taxpayer is not delinquent in cases where enforced collection action is precluded.',
5796:'b examples. 1 the taxpayerhas received a statutory notice of deficiency, under i.r.c. §6212, which entitles thetaxpayer toseek tax court',
5797:'review of a proposed tax deficiency. this isnot adelinquent tax becauseitis not a final tax liability. should thetaxpayer seek tax',
5798:'court review,this will not bea final tax liability until the taxpayer has exercised all judicial appeal rights. 2 the irs',
5799:'hasfiled a notice of federaltax lienwith respect toan assessed tax liability, andthe taxpayer has been issued a notice underi.r.c. §6320',
5800:'entitling the taxpayer to request a hearing with the irs officeof appealscontesting thelien filing, and to further appeal to the',
5801:'tax court if theirs determines tosustainthe lien filing. in the courseof the hearing, the taxpayer is entitled to contest the',
5802:'underlying tax liability because the taxpayer has had no prior opportunity to contest the liability. this is not a delinquent',
5803:'tax because it is nota final tax liability. should the taxpayer seek tax court review, this will notbe a final',
5804:'taxliability untilthe taxpayer has exercised all judicialappealrights. 3 the taxpayer has entered into an installment agreement pursuant to i.r.c. §6159.',
5805:'the taxpayer is making timely payments and is in full compliance with the agreement terms. the taxpayer is not delinquent',
5806:'because the taxpayer is not currently required to make full payment. 4 the taxpayer has filed for bankruptcy protection. the',
5807:'taxpayer is not delinquent because enforced collection action is stayed under 11u.s.c. 362 the bankruptcy code. vi knowing failure by',
5808:'a principal, until 3 years after final payment on any government contract awarded to the contractor, to timely disclose to',
5809:'the government, in connectionwith the award, performance, orcloseout of thecontract ora subcontract thereunder, credible evidence of aviolation of federalcriminallawinvolving fraud,',
5810:'conflict of interest, bribery, or gratuity violations found in title 18 of the united states code; b violation of the',
5811:'civilfalse claims act 31 u.s.c. 37293733; or c significant overpayments on the contract, other than overpayments resulting from contract financing',
5812:'payments as defined in 32.001. vii determination of a false certification under 52.20913, violation of arms controltreaties or agreements certification.',
5813:'2 a contractor, based on a determination by the secretary of homeland security or the attorney general of the united',
5814:'states, that the contractor is not in compliance with immigration and nationality act employment provisions see executive order12989, as amended',
5815:'by executive order13286. such determination is not reviewable in the debarment proceedings. c a contractoror subcontractor based on anyother cause',
5816:'of so serious or compellinga nature that it affects the present responsibility of the contractor or subcontractor. 9.4063 procedures. a',
5817:'investigation and referral. agencies shall establish procedures for the prompt reporting, investigation, and referral to thedebarringofficial of matters appropriate for',
5818:'thatofficial’s consideration. b decisionmaking process. 1 agencies shall establish procedures governing the debarment decisionmaking process that are as informal as',
5819:'is practicable, consistentwith principlesof fundamental fairness. these procedures shall afford the contractor and any specificallynamed affiliates an opportunity to submit,',
5820:'in person,in writing, orthrougha representative, information and argument in opposition tothe proposed debarment. 2 in actions not basedupon a conviction',
5821:'or civil judgment, if it is found that thecontractor’s submission in opposition raises a genuine dispute over facts material to',
5822:'the proposed debarment, agencies shall also iaffordthe contractor an opportunity to appearwith counsel, submit documentary evidence, present witnesses, and confront',
5823:'any person the agency presents; and subpart 9.4 debarment, suspension, and ineligibility 9.4064 ii make a transcribed record of the',
5824:'proceedings and make it available at cost to the contractor upon request, unless thecontractor and the agency,by mutual agreement, waivethe',
5825:'requirement for a transcript. c notice of proposal to debar.anotice of proposed debarment shall be issued by the debarring official',
5826:'advising the contractor and anyspecifically namedaffiliates, by certified mail, return receipt requested 1 that debarment is being considered; 2 of',
5827:'the reasons for the proposed debarment in terms sufficient to put the contractor onnotice of theconduct or transactions upon which',
5828:'it is based; 3 of the causes relied upon under 9.4062 for proposing debarment; 4 that, within 30 days after',
5829:'receipt of the notice, the contractor may submit, in person, in writing, or through a representative, information and argument inopposition',
5830:'to the proposed debarment, including any additionalspecific information that raises a genuine dispute over the material facts; 5 of the',
5831:'agency’sprocedures governing debarment decisionmaking; 6 of the effect of the issuanceof the noticeof proposed debarment; and 7 of the potential',
5832:'effect of an actual debarment. d debarring official’s decision. 1 in actions based upon a conviction or civil judgment, or',
5833:'in which there is no genuinedispute over material facts, the debarring official shall make adecision on thebasis of all theinformation',
5834:'in the administrative record, including any submission madeby the contractor. if no suspensionis ineffect, thedecision shall be made within 30',
5835:'working days after receipt ofany informationand argument submittedby the contractor, unless thedebarring official extends this periodforgood cause. 2 i in',
5836:'actions in which additional proceedings are necessary as to disputed material facts, written findings of fact shall beprepared. the debarringofficial',
5837:'shall base the decision on the facts as found,together with any information and argument submitted by the contractor and any',
5838:'other information inthe administrative record. iithe debarring official mayrefer matters involving disputed materialfactsto anotherofficial for findings of fact. the debarringofficial',
5839:'may reject any such findings, in whole or in part, only after specifically determiningthem to be arbitrary and capricious or',
5840:'clearly erroneous. iii the debarring official’s decision shall be made after theconclusion of the proceedings with respect to disputed facts.',
5841:'3 in any action in which the proposed debarment is not based upon a conviction or civil judgment, the cause',
5842:'for debarment must be established by a preponderance of the evidence. e notice of debarring official’s decision. 1 if the',
5843:'debarring official decides to impose debarment, thecontractor and any affiliates involved shall be given prompt noticeby certified mail, return receipt',
5844:'requested i referring to the notice of proposed debarment; ii specifying the reasons for debarment; iii stating the period of',
5845:'debarment, including effective dates; and iv advising that thedebarment is effective throughout the executive branch ofthe government unless the head',
5846:'of an agency or a designee makes the statement called for by 9.4061c. 2 if debarmentis not imposed, thedebarring official',
5847:'shall promptly notify the contractor and any affiliates involved, by certified mail, return receipt requested. f 1 if the contractor',
5848:'enters into an administrative agreement with the government in order to resolve a debarment proceeding, the debarring official shall access',
5849:'thewebsiteavailable at https://www.cpars.gov,then select fapiis and enter the requested information. 2 the debarring official is responsible for the timely submission,',
5850:'within 3 working days,and accuracy of the documentation regarding the administrative agreement. 3 with regardto information thatmay be coveredby a',
5851:'disclosure exemption underthe freedom of information act, thedebarringofficial shall follow the procedures at 9.1052b2iv. 9.4064 period of debarment. a 1debarmentshallbeforaperiodcommensuratewiththeseriousnessofthecauses.',
5852:'generally,debarmentshould not exceed 3 years, except that i debarment for violation of the provisions of 41 u.s.c. chapter 81, drugfree',
5853:'workplace see 26.505 may be for a period not to exceed 5 years; ii debarments under 9.4062b2 shall be for',
5854:'1 year unless extended pursuant to paragraph b of this section; and federal acquisition regulation iii debarments under 9.4062b1vii shall',
5855:'be for a period of not less than 2 years, inclusive of any suspension period, if suspension precedes a debarment',
5856:'see paragraph a2 of this section. 2 if suspension precedes a debarment, the suspension period shall be considered in determining',
5857:'the debarment period. b the debarring official may extend the debarment for an additionalperiod, ifthat official determines that an extension',
5858:'is necessary to protect the government’sinterest. however, a debarmentmay not be extended solely onthe basis of the facts and circumstances',
5859:'upon which the initial debarment action was based. debarments under 9.4062b2 may be extended for additional periods of one year',
5860:'if the secretary of homeland security or the attorney general determines that the contractor continues to be in violation of',
5861:'the employment provisions of the immigration and nationality act. if debarment for an additional period is determined tobe necessary, the',
5862:'proceduresof 9.4063 shall be followed to extend the debarment. c thedebarringofficial may reduce the period or extent of debarment, upon',
5863:'the contractor’srequest, supported by documentation, for reasons such as 1 newly discovered material evidence; 2 reversal of the conviction or',
5864:'civil judgment upon which the debarment was based; 3 bona fide change in ownership or management; 4 elimination of other',
5865:'causes for which the debarment was imposed; or 5 otherreasons thedebarringofficial deemsappropriate. 9.4065 scope of debarment. a thefraudulent, criminal, orotherseriously',
5866:'improper conductof any officer,director, shareholder, partner,employee, or other individual associated with a contractor may be imputed to the contractor when',
5867:'the conduct occurred in connection with the individual’s performance of duties for or on behalf of the contractor,or with the',
5868:'contractor’s knowledge, approval, or acquiescence. the contractor’s acceptance of thebenefits derived from theconduct shall be evidence of such knowledge, approval,',
5869:'or acquiescence. b the fraudulent, criminal, or other seriously improper conduct ofa contractormay be imputed to any officer, director, shareholder,',
5870:'partner, employee, or other individual associatedwith the contractor whoparticipated in,knew of, or had reason to know of the contractor’s conduct.',
5871:'c the fraudulent, criminal, or other seriously improper conduct of one contractor participating in a joint venture or similar arrangement',
5872:'may be imputed to other participating contractors if the conduct occurred for or on behalf of the joint venture or',
5873:'similar arrangement, or with the knowledge, approval, or acquiescence of these contractors. acceptance of the benefits derived from the conduct',
5874:'shall be evidence of such knowledge, approval, or acquiescence. 9.407suspension. 9.4071 general. a thesuspending official may,in thepublicinterest, suspend a contractor',
5875:'for any of the causes in 9.4072, using the procedures in 9.4073. b 1 suspension is a serious action to',
5876:'be imposed on the basis of adequate evidence, pending the completion of investigation or legal proceedings, when it has been',
5877:'determined that immediate action is necessary to protect the government’s interest. inassessing the adequacy of the evidence, agenciesshouldconsider how muchinformationis',
5878:'available, how credible it is given the circumstances, whether or not important allegations are corroborated, and what inferences can reasonably',
5879:'be drawn as a result. this assessment should include an examination of basic documents such as contracts, inspection reports, and',
5880:'correspondence. 2 the existence of a cause for suspension does not necessarily require that the contractor be suspended. the suspending',
5881:'official should consider the seriousness of the contractor’sacts or omissions and may, but is notrequired to, consider remedial measures or',
5882:'mitigating factors, such as those set forth in 9.4061a. a contractor has the burden of promptly presenting tothe suspending official',
5883:'evidence of remedial measuresor mitigating factors when it has reason to know that a cause for suspension exists. the existence',
5884:'or nonexistence of any remedial measures or mitigating factors is not necessarily determinative of a contractor’s present responsibility. c suspension',
5885:'constitutessuspension of all divisions or other organizational elements of thecontractor, unless the suspensiondecision is limitedby its terms tospecific divisions,organizational elements,',
5886:'orcommodities. thesuspending official may extendthe suspensiondecision to include any affiliatesof the contractorif they are 1 specifically named; and 2 given',
5887:'written notice of the suspension and an opportunity to respond see 9.4073c. subpart 9.4 debarment, suspension, and ineligibility 9.4073 d',
5888:'a contractor’s suspension shall be effective throughoutthe executive branch of the government, unless the agency head or a designee except',
5889:'see 26.505e states in writing the compelling reasons justifying continued business dealings between that agency andthe contractor. e 1whenthesuspendingofficialhasauthoritytosuspendcontractorsfrombothacquisitioncontractspursuanttothis regulation',
5890:'andcontracts for the purchase of federal personalpropertypursuant to fpmr 10145.6, that official shall consider simultaneously suspending the contractor from the',
5891:'award of acquisition contracts and from the purchase of federal personal property. 2 when suspending a contractor from the award',
5892:'of acquisition contracts and from the purchase of federal personal property,the suspensionnotice shall soindicate and the appropriate far and fpmr',
5893:'citations shall be included. 9.4072 causes for suspension. a thesuspending official may suspend a contractor suspected,upon adequate evidence, of 1',
5894:'commission of fraud or a criminal offense in connection with i obtaining; ii attempting to obtain; or iii performing a',
5895:'public contract or subcontract. 2 violation offederal or state antitrust statutes relating to thesubmission of offers; 3 commission of embezzlement,',
5896:'theft,forgery,bribery, falsificationor destructionof records,making false statements, tax evasion, violating federal criminal tax laws, or receiving stolen property; 4 violations of',
5897:'41 u.s.c. chapter 81, drugfree workplace, as indicated by i failure to comply with the requirements of the clause at',
5898:'52.2267,drugfree workplace; or ii such a number of contractor employees convicted of violations of criminal drug statutes occurring in the',
5899:'workplace as to indicatethat the contractor has failed tomake a good faith effortto provide a drugfree workplace see 26.504; 5',
5900:'intentionally affixing a label bearing a made in america inscription or any inscription having the same meaning to a product',
5901:'sold in or shipped to the united states or its outlying areas, when the product was not made in the',
5902:'united states or its outlying areas see section 202 of the defense production act public law102558; 6 commission of an',
5903:'unfair trade practice as defined in 9.403 see section 201 of the defense production act pub.l.102558; 7 delinquent federal taxes',
5904:'in an amount that exceeds $10;000. see the criteria at 9.4062b1v for determination of when taxes are delinquent; 8 knowing',
5905:'failure by a principal, until 3 years after final payment on any government contract awarded to the contractor, to timely',
5906:'disclose to the government, in connectionwith the award, performance, orcloseout of thecontract ora subcontract thereunder, credible evidence of iviolation of',
5907:'federal criminallawinvolvingfraud, conflict of interest, bribery, or gratuity violations found in title 18 of the united states code; iiviolation of',
5908:'thecivil false claims act 31 u.s.c. 37293733; or iii significant overpayments on the contract, other than overpayments resulting from contract',
5909:'financing payments as defined in 32.001; or 9 determination of a false certification under 52.20913, violation of arms control treaties',
5910:'oragreements certification. 10 commissionof any other offense indicating a lack of business integrity orbusinesshonestythat seriouslyand directly affects the present responsibility',
5911:'of a government contractor orsubcontractor. b indictment for any of the causes in paragraph a of this section constitutes adequate',
5912:'evidence for suspension. c thesuspending official may uponadequate evidence alsosuspend acontractor for any other causeof so serious or compelling a',
5913:'nature thatitaffects the present responsibilityof agovernmentcontractor or subcontractor. 9.4073 procedures. a investigation and referral. agencies shall establish procedures for the',
5914:'prompt reporting, investigation, and referral to thesuspending official of matters appropriate for that official’sconsideration. b decisionmaking process. 1 agencies shall',
5915:'establish procedures governing the suspension decisionmaking process that are as informal as is practicable, consistentwith principlesof fundamental fairness. these procedures',
5916:'shall afford the federal acquisition regulation contractor and any specificallynamed affiliates an opportunity, followingthe imposition of suspension,to submit, in person,',
5917:'in writing,or through arepresentative, information and argument in opposition to the suspension. 2 in actions not basedon an indictment, if',
5918:'it is found thatthe contractor’s submission in opposition raises a genuine dispute over facts material to the suspension and if',
5919:'no determination has been made, on the basis of department of justice advice, that substantial interests of the government in',
5920:'pending or contemplated legal proceedings based on the same facts as the suspension would be prejudiced, agencies shall also iaffordthe',
5921:'contractor an opportunity to appearwith counsel, submit documentary evidence, present witnesses, and confront any person the agency presents; and ii',
5922:'make a transcribed record of the proceedings and make it available at cost to the contractor upon request, unless thecontractor',
5923:'and the agency,by mutual agreement, waivethe requirement for a transcript. c notice of suspension. when acontractor and any specifically named',
5924:'affiliates are suspended,they shall be immediately advised by certified mail, return receipt requested 1 that they have been suspended and',
5925:'that the suspension is based on an indictment or other adequate evidence that the contractor has committed irregularities– i of',
5926:'a serious nature in business dealings with the government or ii seriously reflecting on the propriety of further government dealings',
5927:'with the contractorany such irregularities shall bedescribed in terms sufficient to place the contractor on notice withoutdisclosing thegovernment’s evidence; 2',
5928:'that the suspension is for a temporary period pending the completion of an investigation and such legal proceedings as may',
5929:'ensue; 3 of the causes relied upon under 9.4072 for imposing suspension; 4 of the effect of the suspension; 5',
5930:'that, within 30 days after receipt of the notice, the contractor may submit, in person, in writing, or through a',
5931:'representative,information andargument in opposition to the suspension, including any additional specific information that raises a genuine dispute over the material',
5932:'facts; and 6 that additional proceedings to determine disputed material facts will be conducted unless i the action is based',
5933:'on an indictment; or ii a determination is made, on the basis of department of justice advice, that the substantial',
5934:'interests of the government in pending or contemplated legal proceedings based on the same facts as the suspension would be',
5935:'prejudiced. d suspending official’s decision. 1 in actions— i based on an indictment; iiin which the contractor’ssubmission does not raise',
5936:'a genuine dispute over materialfacts;or iii in which additional proceedings to determine disputed material facts have been denied on the',
5937:'basis of department of justice advice, the suspending official’sdecision shall be based on all the information in the administrative record,',
5938:'including any submissionmadeby the contractor. 2 i in actions in which additional proceedings are necessary as to disputed material facts,',
5939:'written findings of fact shall beprepared. the suspending official shall base the decision onthe facts as found, together with any',
5940:'information and argument submitted by the contractor and any other information inthe administrative record. iithe suspendingofficial may refer matters involving',
5941:'disputed material facts to another official for findings of fact. the suspending official may rejectany such findings, in whole or',
5942:'inpart, onlyafter specifically determining themto be arbitrary and capricious or clearly erroneous. iii the suspendingofficial’s decision shall be madeafter the',
5943:'conclusion of theproceedings withrespect to disputed facts. 3 the suspending officialmay modify or terminate the suspension orleave it inforce for',
5944:'example, see 9.4064c for thereasons for reducing the period or extent of debarment. however, a decision to modify or terminate',
5945:'the suspensionshall be without prejudice to the subsequent imposition of i suspension by any other agency; or iidebarment by anyagency.',
5946:'4 prompt written notice of the suspending official’sdecision shall be sent to the contractor andanyaffiliates involved, by certified mail, return',
5947:'receipt requested. e 1 if the contractor enters into an administrative agreement with the government in order to resolve a',
5948:'suspension proceeding, the suspending official shall access the website available at https://www.cpars.gov, thenselect fapiis and enter the requested information. subpart',
5949:'9.4 debarment, suspension, and ineligibility 9.409 2 the suspending officialis responsible for thetimely submission, within 3working days, and accuracy of',
5950:'the documentation regarding the administrative agreement. 3 with regardto information thatmay be coveredby a disclosure exemption underthe freedom of information',
5951:'act, thesuspending official shall follow theprocedures at 9.1052b2iv. 9.4074 period of suspension. a suspension shall be for a temporary period',
5952:'pending the completion of investigation and any ensuing legal proceedings, unless sooner terminated by the suspending officialor as provided inthissubsection.',
5953:'b if legal proceedings are not initiated within 12 months after the date of the suspension notice, the suspension shall',
5954:'be terminated unless an assistant attorney general requests its extension, in which case it may be extended for an additional',
5955:'6 months. in no event may a suspension extend beyond 18 months, unless legal proceedings have been initiated within that',
5956:'period. c thesuspending official shall notifythe department of justice of the proposed termination of the suspension, at least 30 days',
5957:'before the 12month period expires, to give that department an opportunity to request an extension. 9.4075 scope of suspension. the',
5958:'scope of suspension shall be the same as that for debarment see 9.4065, except that the procedures of 9.4073 shall',
5959:'be used in imposing suspension. 9.408[reserved] 9.409contract clause. the contractingofficer shall insertthe clause at 52.2096, protecting the government’s interests when',
5960:'subcontracting with contractors debarred, suspended, or proposed for debarment, in solicitations and contracts where the contract value exceeds $35,000. this',
5961:'page intentionally left blank. 9.412 subpart 9.5 organizational and consultant conflicts of interest 9.504 subpart 9.5 organizational and consultant conflicts',
5962:'of interest 9.500scope of subpart. this subpart a prescribes responsibilities, general rules, and proceduresforidentifying,evaluating, and resolving organizational conflicts of interest;',
5963:'b provides examplesto assist contractingofficers in applying these rulesandprocedures to individual contracting situations; and c implements section 8141 of the',
5964:'1989 department of defense appropriation act, pub.l.100463, 102 stat.227047 1988. 9.501definition. marketing consultant, as used in this subpart, means any',
5965:'independent contractor who furnishes advice, information, direction,or assistance to an offeror or any other contractorin support of thepreparationor submission of',
5966:'an offer for a government contract by that offeror. an independent contractor isnot amarketing consultant when rendering 1 services excluded',
5967:'in subpart 37.2; 2 routine engineering and technical services such as installation, operation, or maintenance of systems, equipment, software, components,',
5968:'or facilities; 3 routine legal, actuarial, auditing, and accounting services; and 4 training services. 9.502 applicability. a this subpart applies',
5969:'to contractswith either profitor nonprofitorganizations, includingnonprofit organizations created largelyor wholly with government funds. b the applicability of this subpart is',
5970:'not limitedto any particular kind of acquisition. however,organizational conflicts of interest are more likely to occur in contracts involving 1',
5971:'management support services; 2 consultant or other professional services; 3 contractor performance of or assistance in technical evaluations; or 4',
5972:'systems engineering and technical direction work performed by a contractor that does not have overall contractual responsibility for development or',
5973:'production. c an organizational conflict of interest mayresult whenfactors create an actual or potential conflict ofinterest onan instant contract, or',
5974:'when the nature of the work to be performed on the instant contract creates an actual or potential conflict of',
5975:'interest on a future acquisition. in the latter case, some restrictions on future activities of the contractor may be required.',
5976:'d acquisitions subject to uniqueagency organizationalconflictof intereststatutes are excluded from the requirements of this subpart. 9.503 waiver. the agency head',
5977:'or a designee may waive any general rule or procedure of this subpart by determining that its application in a',
5978:'particular situationwould not be in the government’s interest. any request for waivermust be in writing,shallset forth the extent of the',
5979:'conflict, and requires approval by the agency head or a designee. agency heads shall not delegate waiver authoritybelow the level',
5980:'of head of a contracting activity. 9.504 contractingofficer responsibilities. a using the general rules, procedures, and examples in this subpart,',
5981:'contracting officersshallanalyze planned acquisitions in order to 1 identifyandevaluatepotentialorganizational conflicts of interest asearly in the acquisition processas possible;and 2 avoid,',
5982:'neutralize,or mitigate significant potential conflicts before contract award. b contracting officersshouldobtain the advice of counsel and the assistanceof appropriate technical',
5983:'specialistsin evaluating potential conflicts and in developing any necessary solicitation provisions and contract clauses see 9.506. c before issuinga solicitation',
5984:'for acontract that may involve asignificant potential conflict,the contracting officer shall recommend to the head of the contracting activity a',
5985:'course of action for resolving the conflict see 9.506. federal acquisition regulation d in fulfilling their responsibilities for identifying andresolving',
5986:'potential conflicts,contracting officers should avoid creating unnecessary delays, burdensome information requirements, and excessive documentation. thecontracting officer’s judgment need be formally',
5987:'documented only when a substantive issue concerningpotentialorganizational conflict of interest exists. e thecontracting officer shall award the contractto the apparent',
5988:'successful offeror unless a conflict of interest is determined to exist that cannot be avoided or mitigated. before determining to',
5989:'withhold award based on conflict of interest considerations, the contracting officershallnotify the contractor,provide the reasons therefor, and allowthe contractor a',
5990:'reasonable opportunity to respond. if the contracting officerfinds thatitis inthe best interest of the united states to award the contract',
5991:'notwithstanding a conflict of interest, a request for waiver shall be submitted in accordance with 9.503. the waiver request and',
5992:'decision shall be included in the contract file. 9.505general rules. the general rules in 9.5051 through 9.5054 prescribe limitations on',
5993:'contracting as the means of avoiding, neutralizing, or mitigating organizational conflicts of interest that might otherwise exist in the stated',
5994:'situations. someillustrative examples are provided in 9.508. conflicts may arise in situations not expressly covered in this section 9.505 or',
5995:'in the examples in 9.508. each individual contracting situation should be examined on the basis of its particular facts and',
5996:'the nature of the proposed contract. the exercise of common sense, good judgment, and sound discretion is required in both',
5997:'the decision on whether a significant potential conflict exists and, if it does, the development of an appropriate means for',
5998:'resolving it. the two underlying principles are a preventing the existence of conflictingroles that might bias acontractor’s judgment; and b',
5999:'preventing unfair competitive advantage. in addition to the other situations described in this subpart, an unfair competitive advantage exists where',
6000:'a contractor competing for award of any federal contract possesses 1 proprietaryinformation that was obtained froma government official without properauthorization;or',
6001:'2 source selection information as defined in 2.101 that is relevant to the contract but is not available to all',
6002:'competitors, and such information would assist that contractor in obtaining the contract. 9.5051 providing systemsengineeringand technicaldirection. a a contractor that',
6003:'provides systems engineering and technical direction for a system but does not have overall contractualresponsibility for its development, its integration,',
6004:'assembly,and checkout, or itsproduction shall not 1 be awarded a contract to supply the system or any of its major',
6005:'components; or 2 be a subcontractor or consultant to a supplier of the system or any of its major components.',
6006:'b systems engineering includes a combination of substantially all of the following activities: determining specifications, identifying and resolving interface problems,',
6007:'developing test requirements, evaluating test data, and supervising design. technical direction includes a combination of substantially allof the following activities:',
6008:'developing work statements, determining parameters, directing other contractors’ operations, and resolving technical controversies. in performing these activities, a contractor occupies',
6009:'a highlyinfluential and responsibleposition in determining a system’s basicconcepts and supervising their execution by other contractors. therefore this contractor should',
6010:'not be in a position to make decisions favoring its own products or capabilities. 9.5052 preparing specifications or work statements.',
6011:'a 1 if a contractor prepares and furnishes complete specifications covering nondevelopmental items, to be used in a competitive acquisition,',
6012:'that contractor shall not be allowed to furnish these items, either as a prime contractor or as a subcontractor,fora reasonable',
6013:'period of timeincluding, atleast, the durationof the initial production contract. the restriction in this paragraph a1 shall not apply to',
6014:'i contractors that furnish at government request specifications or data regarding a product they provide, even though the specifications or',
6015:'data may have been paid for separately or in the price of the product; or ii situations in which contractors,',
6016:'acting as industry representatives, help government agencies prepare, refine, or coordinate specifications, regardless of source, provided this assistance is supervised',
6017:'and controlled by government representatives. 2 if a single contractor drafts complete specifications for nondevelopmental equipment, it should be eliminated',
6018:'for a reasonable time from competition for production based on the specifications. this should be done in order to avoid',
6019:'a situation in which the contractor could draft specifications favoring its own products or capabilities. in this way the government',
6020:'can subpart 9.5 organizational and consultant conflicts of interest 9.506 be assured of getting unbiased advice as to the content',
6021:'of the specifications and can avoid allegations of favoritism in the award of production contracts. 3 in development work, it',
6022:'is normal to select firms that have done the most advanced work in the field. these firms can be expected',
6023:'to design and develop around their own prior knowledge. development contractors can frequently start production earlier and more knowledgeablythan firms',
6024:'that did not participate in the development, and this canaffect the time and quality of production, both of which are',
6025:'important to the government. in many instances the government may have financed the development. thus, while the development contractor has',
6026:'a competitive advantage, it is an unavoidable one that is not considered unfair; hence no prohibition should be imposed. b',
6027:'1 if a contractor prepares, or assists in preparing, a work statement to be used in competitively acquiring a system',
6028:'or servicesor provides material leading directly, predictably,andwithout delay tosuch a work statementthat contractor may not supply the system, major components',
6029:'of the system, or the services unless i it is the sole source; ii it has participated in the development',
6030:'and design work; or iii more than one contractor has been involved in preparing the work statement. 2 agencies should',
6031:'normally preparetheir own work statements. when contractor assistance is necessary, the contractor might often be in a position to favor',
6032:'its own products or capabilities. to overcome the possibilityof bias, contractors are prohibited from supplying a system or services acquired',
6033:'on the basis of work statements growing out of their services, unless excepted in paragraph b1 of this section. 3',
6034:'for the reasons given in paragraph a3 of this section, no prohibitions are imposed on development and design contractors. 9.5053',
6035:'providing evaluation services. contracts for the evaluation of offers for products or servicesshallnot be awarded to a contractor that willevaluateits',
6036:'own offers for products or services, or thoseof acompetitor, without proper safeguards to ensureobjectivity to protect the government’s interests. 9.5054',
6037:'obtaining access to proprietaryinformation. a when a contractor requires proprietary information from others to perform a government contract and can',
6038:'use the leverage of the contract to obtain it, the contractor may gain an unfair competitive advantage unless restrictions are',
6039:'imposed. these restrictions protect the information and encourage companies to provide it when necessary for contract performance. they are not',
6040:'intended to protect information 1 furnished voluntarily without limitations on its use; or 2 available to the government or contractor',
6041:'from othersources without restriction. b a contractor that gains access to proprietary information of other companies in performing advisory and',
6042:'assistance services for the government must agree with the other companies to protect their information from unauthorized use or disclosure',
6043:'for as long as it remains proprietary and refrain from using the information for any purpose other than that for',
6044:'which it was furnished. the contractingofficer shall obtaincopies of these agreements and ensure that they are properly executed. c contractors',
6045:'also obtain proprietary and source selection information by acquiring the services of marketing consultants which, if used in connection with',
6046:'an acquisition, may give the contractor an unfair competitive advantage. contractors should make inquiries of marketing consultants to ensure that',
6047:'the marketing consultant has provided no unfair competitive advantage. 9.506 procedures. a if informationconcerning prospective contractorsis necessary to identify and',
6048:'evaluate potential organizational conflictsof interestor to develop recommended actions,contracting officers first should seek theinformationfrom within the government or from other',
6049:'readily available sources. government sources include the files and the knowledge of personnel within the contracting office, othercontracting offices,the cognizant',
6050:'contract administration and audit activities and offices concerned with contract financing. nongovernment sources include publications and commercial services, such as',
6051:'credit rating services, trade and financial journals, and business directories and registers. b if the contracting officer decides that a',
6052:'particular acquisition involves asignificant potential organizational conflict of interest, the contracting officershall, before issuing the solicitation, submit for approval to',
6053:'the chiefof the contractingoffice unless ahigher level official isdesignated bythe agency federal acquisition regulation 1 a written analysis, including a',
6054:'recommended course of action for avoiding, neutralizing, or mitigating the conflict, based on the general rules in 9.505 or on',
6055:'another basis not expressly stated in that section; 2 a draft solicitation provision see 9.5071; and 3 if appropriate, a',
6056:'proposed contract clause see 9.5072. c theapproving official shall 1 review the contracting officer’s analysis and recommended course of action,',
6057:'including thedraftprovision and any proposed clause; 2 consider the benefits and detriments to the government and prospective contractors; and 3',
6058:'approve, modify, or reject the recommendations in writing. d the contractingofficer shall 1 include the approved provisions and any approved',
6059:'clauses in the solicitation or the contract, or both; 2 consider additional information provided by prospective contractors in response to',
6060:'the solicitation or during negotiations; and 3 before awarding the contract, resolve the conflict or the potential conflict in a',
6061:'manner consistent with the approval or other direction by theheadof the contractingactivity. e if,during the effective period ofanyrestriction see 9.507,a',
6062:'contractingoffice transfersacquisitionresponsibility for theitem orsysteminvolved, it shall notify the successor contracting officeof the restriction, and send a copy of the',
6063:'contract under which the restriction was imposed. 9.507 solicitation provisionsand contractclause. 9.5071 solicitation provisions. as indicated in the general rules',
6064:'in 9.505,significant potential organizational conflictsof interestare normally resolved by imposing some restraint, appropriate tothe nature of theconflict, upon the contractor’s',
6065:'eligibility for future contractsor subcontracts. therefore, affected solicitations shall contain aprovision that a invites offerors’ attentionto this subpart; b states',
6066:'the nature of the potential conflict as seen by the contractingofficer; c states the nature of the proposed restraint upon',
6067:'future contractor activities; and d depending on the nature of the acquisition, states whether or not the terms of any',
6068:'proposed clause and the application of this subpart to the contract are subject to negotiation. 9.5072 contract clause. a if,as',
6069:'a condition of award, thecontractor’seligibility for futureprimecontract orsubcontract awards will berestricted or the contractor must agree to some other restraint,',
6070:'the solicitation shall contain a proposed clause that specifies both the nature and duration ofthe proposed restraint. the contracting officer',
6071:'shall include the clause in thecontract, first negotiating theclause’s final terms with the successful offeror, if it is appropriate to',
6072:'do so see 9.506d. b the restraint imposed by a clauseshallbe limited to a fixed term of reasonable duration, sufficient',
6073:'to avoid the circumstance of unfair competitive advantage or potential bias. this period varies. it might end, for example, when',
6074:'the first production contractusing the contractor’s specifications or work statement is awarded, or it might extend through the entire life',
6075:'of a system for which the contractor has performed systems engineering and technical direction. in every case, the restriction shall',
6076:'specify termination by a specific date or upon the occurrence of an identifiable event. 9.508examples. the examples in paragraphs a',
6077:'through i of this section illustrate situations in which questions concerning organizationalconflicts of interest may arise. they are not all',
6078:'inclusive,but are intended to help the contracting officer apply the general rules in 9.505 to individual contract situations. a company',
6079:'a agrees to provide systems engineering and technical direction for the navy on the powerplant for a group of submarines',
6080:'i.e., turbines, drive shafts, propellers, etc.. company a should not be allowed to supply any powerplant components. company a can,',
6081:'however, supply components ofthe submarine unrelated to the powerplant e.g., fire control, navigation, etc.. in this example, the system is',
6082:'the powerplant, not the submarine, and the ban on supplying components is limitedto those for the system only. b company',
6083:'a is the systems engineering and technical direction contractor for system x. after some progress, but beforecompletion, the system is',
6084:'canceled. later, system y isdevelopedto achieve thesame purposes assystem x,but in subpart 9.5 organizational and consultant conflicts of interest 9.508',
6085:'a fundamentallydifferent fashion. company b isthe systemsengineering andtechnicaldirection contractorforsystemy. company a may supply system y or its components. c company',
6086:'a develops new electronic equipment and, as a result of this development, prepares specifications. company a may supply the equipment.',
6087:'d xyz tool company and pqr machinerycompany, representing theamericantool institute, work under government supervision and control to refine specifications or',
6088:'to clarify the requirements of a specific acquisition. these companies may supply the item. e before an acquisition for information',
6089:'technology is conducted, company a is awarded a contract to prepare data system specifications and equipment performance criteria to be',
6090:'used as the basis for the equipment competition. since the specifications are the basis for selection of commercial hardware, a',
6091:'potential conflict of interest exists. company a should be excluded from the initial followon information technology hardware acquisition. f company',
6092:'a receives a contract to define the detailed performance characteristics an agency will require for purchasing rocket fuels. company a',
6093:'has not developed the particular fuels. when the definition contract is awarded, it is clear to both parties that the',
6094:'agency will use the performance characteristics arrived at to choose competitively a contractor to develop or produce the fuels. company',
6095:'a may not be awarded this followon contract. g company a receives a contract to prepare adetailed plan for scientificand',
6096:'technical trainingof an agency’s personnel. it suggests a curriculum that the agency endorses and incorporates in its request for proposals',
6097:'to institutions to establish and conduct the training. company a may not be awarded a contract to conduct the training.',
6098:'h company a is selected to study the use of lasers in communications. the agency intends to ask that firms',
6099:'doing research in the field make proprietary information available to company a. the contract must require company a to 1',
6100:'enter into agreements with these firms to protect any proprietary information they provide; and 2 refrain from using the information',
6101:'in supplying lasers to the government or for any purpose other than that for which it was intended. i an',
6102:'agency that regulates an industry wishes to develop a system for evaluating and processing license applications. contractor x helps develop',
6103:'the system and process the applications. contractor x should be prohibited from acting as a consultant to any of theapplicants',
6104:'during itsperiod of performance and for a reasonable period thereafter. this page intentionally left blank. subpart 9.6 contractor team arrangements',
6105:'9.604 subpart 9.6 contractor team arrangements 9.601definition. contractor team arrangement, as used in this subpart, means an arrangement in which',
6106:'1 two or more companies forma partnership or joint venture toact as a potential prime contractor;or 2 a potential prime',
6107:'contractor agrees with one or more other companies to have them act as its subcontractors under a specified government contract',
6108:'or acquisition program. 9.602general. a contractor team arrangements may be desirable from both a government and industry standpoint in order',
6109:'to enable the companies involved to 1 complement each other’s unique capabilities; and 2 offer the government the best combination',
6110:'of performance, cost, and delivery for the system orproduct being acquired. b contractor team arrangements may be particularly appropriate in',
6111:'complex research and development acquisitions, but may be used in other appropriate acquisitions, including production. c thecompanies involved normally form',
6112:'acontractor team arrangement before submitting an offer. however, they may enter into an arrangement later in the acquisition process, including',
6113:'after contract award. 9.603 policy. the government will recognize the integrity and validity of contractor team arrangements; provided, the arrangements',
6114:'are identified and company relationships are fully disclosed in an offeror, for arrangementsentered into after submissionof an offer, before the',
6115:'arrangementbecomes effective. the government will not normally require or encourage the dissolution of contractor team arrangements. 9.604limitations. nothing in this',
6116:'subpart authorizes contractor team arrangements in violation of antitrust statutes or limits the government’s rights to a require consent to',
6117:'subcontracts see subpart 44.2; b determine, on the basis of the stated contractor team arrangement, the responsibility of the prime',
6118:'contractor see subpart 9.1; c provide to the prime contractor data rights owned or controlled by the government; d pursue',
6119:'its policies on competitive contracting, subcontracting, and component breakout after initial production or at any other time; and e hold',
6120:'the prime contractor fully responsible for contract performance, regardless of any team arrangement between the prime contractor and its subcontractors.',
6121:'this page intentionally left blank. subpart 9.7 defense production pools and research and development pools 9.703 subpart 9.7 defense production',
6122:'pools and research and development pools 9.701definition. pool, as used in this subpart, means a group of concerns see 19.001',
6123:'that have 1 associated together in order toobtain andperform, jointlyor in conjunction with each other, defense productionor research and development',
6124:'contracts; 2 entered into anagreement governingtheir organization, relationship, and procedures; and 3 obtained approval of the agreement by either ithe',
6125:'small business administrationsba under section 9or 11 of thesmallbusinessact15 u.s.c.638 or 640 see 13 cfr125; or iiadesignated official underpartvof executive',
6126:'order10480, august 14,1953 18 fr4939, august 20,1953 and section 708 of the defense production act of1950 50 u.s.c. app.2158. 9.702contracting',
6127:'with pools. a except as specified in this subpart, a pool shall be treated the same as any other prospectiveor',
6128:'actual contractor. b the contractingofficer shall not award a contract to a pool unless theoffer leadingto the contractis submitted by',
6129:'the pool inits own name or by an individual poolmember expresslystating that the offeris on behalf of thepool. c upon',
6130:'receiptof an offer submittedby a group representing thatitis a pool, the contracting officer shall verify its approved status with thesba',
6131:'district office director or other approving agency and documentthe contract filethat the verification was made. d pools approved by the',
6132:'sba under the small business act are entitled to the preferences and privileges accorded to small business concerns. approval under',
6133:'the defense production act does not confer these preferences and privileges. e before awarding a contract toan unincorporated pool,the contracting',
6134:'officershallrequire each pool member participatingin thecontract to furnish acertifiedcopy ofa power ofattorney identifying the agent authorized to sign the offer',
6135:'or contract on that member’s behalf. the contracting officershallattach a copy of each power of attorney to eachsigned copy of',
6136:'the contract retained by the government. 9.703contracting with individual pool members. a pool members may submitindividual offers, independent of the',
6137:'pool. however, the contracting officer shall not consider an independent offer bya pool member if that pool memberparticipates in a',
6138:'competing offersubmitted by the pool. b if a pool member submitsan individual offer, independent of thepool, the contracting officer shall',
6139:'consider the pool agreement, along with other factors, in determining whether that pool member is a responsible prospective contractor under',
6140:'subpart 9.1. this page intentionally left blank. part 10 market research sec. 10.000 scope of part. 10.002 procedures. 10.001 policy.',
6141:'10.003 contract clause. this page intentionally left blank. part 10 market research 10.001 10.000scope of part. this part prescribes policies',
6142:'and procedures for conducting market research to arrive at the most suitable approach to acquiring, distributing, and supporting supplies and',
6143:'services. this part implements the requirements of 41 u.s.c. 3306a1, 41 u.s.c. 3307, 10 u.s.c. 3453, and 6 u.s.c. 796.',
6144:'10.001 policy. a agencies shall— 1 ensure that legitimate needsare identified and tradeoffs evaluatedto acquire items thatmeet thoseneeds; 2 conduct',
6145:'market research appropriate to the circumstances– i before developing new requirements documents for an acquisition by that agency; iibefore solicitingoffers',
6146:'for acquisitionswith an estimatedvaluein excess ofthe simplified acquisition threshold; iii before solicitingoffers for acquisitions withan estimatedvalue less thanthe simplified acquisition',
6147:'threshold when adequate information is not available and the circumstances justify its cost; iv beforesoliciting offers for acquisitions that couldlead',
6148:'toconsolidation or bundling 15 u.s.c. 644e2a and 15 u.s.c. 657q; v before awarding a task or delivery order under an',
6149:'indefinitedelivery/indefinitequantity id/iq contract e.g., gwacs, macs for other than a commercialproduct or commercial service in excess of thesimplified acquisition threshold',
6150:'10 u.s.c. 3453c; and vi on an ongoing basis, take advantage to the maximum extent practicable of commercially available market',
6151:'research methods in order to effectively identify the capabilities of small businesses and new entrants into federal contracting that are',
6152:'available in the marketplace for meeting the requirements of the agency in furtherance of aacontingency operationor defense againstor recovery fromcyber,',
6153:'nuclear, biological,chemical,or radiological attack; and b disaster relief to include debris removal, distribution of supplies, reconstruction, and other disaster or',
6154:'emergencyrelief activities see 26.205; and 3 use the results of market research to– idetermineif sources capable of satisfyingthe agency’s requirements',
6155:'exist; iidetermine if commercial productsor commercial services, or, tothe extent commercial products suitable to meet theagency’s needs arenot available, nondevelopmentalitems',
6156:'are available that ameet the agency’s requirements; b could be modified to meet the agency’s requirements; or c could meet',
6157:'the agency’srequirements ifthose requirementswere modifiedto a reasonable extent; iii determine the extent to which commercial products, or nondevelopmental items could',
6158:'be incorporated at the component level; iv determine the practices of firms engaged in producing, distributing, and supporting commercial products',
6159:'or commercial services, such as type of contract, terms for warranties, buyer financing, maintenance and packaging, and marking; v ensure',
6160:'maximum practicable use of sustainable products and services as defined in 2.101 in accordance with subpart 23.1; vi determine whether',
6161:'consolidation is necessary and justified see 7.1072 15 u.s.c. 657q; vii determine whether bundling is necessary and justified see 7.1073',
6162:'15 u.s.c. 644e2a; viii determine whether the acquisition should utilize any of the small business programs in accordance with part',
6163:'19; and ix assess the availability of supplies or services that meet all or part of the applicable information and',
6164:'communication technology accessibility standards at 36cfr1194.1 see subpart 39.2. b when conducting market research, agencies should not request potential sources',
6165:'to submit more than the minimum information necessary. c if an agency contemplates consolidation or bundling, the agency— 1 when',
6166:'performing market research, should consult with the agency small business specialist and the local small business administration procurement center representative',
6167:'pcr. if a pcr is not assigned, see 19.402a; and 2 shall notify any affected incumbent small businessconcerns ofthe governmentsintention',
6168:'to bundle the requirement and how small business concerns may contact the appropriate small business administration procurement center representative see',
6169:'7.1075a. federal acquisition regulation d see 10.003 for the requirement for a prime contractor to perform market research in contracts',
6170:'in excess of $6 million, other than contracts for the acquisition of commercial productsor commercial services section826 of pub. l.',
6171:'110181. 10.002 procedures. a acquisitions begin with adescription ofthe government’s needs stated interms sufficient toallow conduct of market research. b',
6172:'market research is then conducted to determine if commercial products, commercial services, or nondevelopmental items areavailable to meet the government’s',
6173:'needs orcould be modified to meet the government’sneeds. 1 the extentof market research will vary, depending on such factors as',
6174:'urgency, estimated dollar value, complexity, and past experience. the contracting officer may use market research conducted within 18months before the',
6175:'award of any task or delivery order if the information is still current, accurate, and relevant. market research involves obtaining',
6176:'information specific to the product or service being acquired and should include iwhether the government’s needscan be met by a',
6177:'products or services of a type customarily available in the commercial marketplace; b products or services of a type customarily',
6178:'available in the commercial marketplace with modifications; or c products or services used exclusively for governmental purposes; ii customary practices',
6179:'regarding customizing, modifying or tailoring of products or services to meet customer needs and associated costs; iii customary practices, includingwarranty,',
6180:'buyer financing, discounts, contracttype considering thenature and risk associated with the requirement, etc., under which commercial sales of the products',
6181:'or services are made; iv the requirements of any laws and regulations unique to the item being acquired; v the',
6182:'availability of items that contain recovered materials and items that are energy efficient; vi the distribution and support capabilities of',
6183:'potential suppliers, including alternative arrangements and cost estimates; and vii whether the governments needs can be met by small business',
6184:'concerns that will likely submit a competitive offer at fair market prices see part 19. 2 techniques for conducting market',
6185:'research may include any or all of the following: i contacting knowledgeable individuals in government and industry regarding market capabilities',
6186:'to meet requirements. ii reviewing the results of recent market research undertaken to meet similar or identical requirements. iii publishing',
6187:'formal requests for information in appropriate technical or scientific journals or business publications. iv querying the governmentwide database of contracts',
6188:'and other procurement instruments intended for use by multiple agencies available at https://www.contractdirectory.gov/contractdirectory/ and other government and commercial databases that',
6189:'provide information relevant to agency acquisitions. v participating in interactive,online communication among industry, acquisition personnel, and customers. vi obtaining source',
6190:'lists of similar items from other contracting activities or agencies, trade associations or other sources. vii reviewing catalogs and other',
6191:'generally available product literature published by manufacturers, distributors, and dealers or available online. viii conducting interchange meetings or holding presolicitation',
6192:'conferences toinvolve potential offerors early in the acquisition process. ix reviewing systems such as the system for award management,the federal',
6193:'procurement datasystem, andthe small business administrations dynamic small business search. c if market research indicates commercial products, commercial services, or',
6194:'nondevelopmental items might not be available to satisfy agency needs, agencies shall reevaluate the need in accordance with 10.001a3ii and',
6195:'determine whether the need can be restated to permit commercial products, commercial services, or nondevelopmental items to satisfy theagency’s needs.',
6196:'d 1ifmarketresearchestablishesthatthegovernment’sneedmaybemetbyatypeofproductorservicecustomarily available in the commercial marketplace that would meet the definition of a commercial product or commercial service at',
6197:'subpart 2.1,thecontractingofficershallsolicitandawardanyresultantcontractusingthepoliciesandproceduresin part 12. part 10 market research 10.003 2 if market research establishes that the government’sneedcannot be met bya',
6198:'type of item orservice customarily available in the marketplace, part 12 shall not be used. when publication of the notice',
6199:'at 5.201 is required, the contracting officershallincludeanoticetoprospectiveofferorsthatthegovernmentdoesnotintendtouse part 12 for the acquisition. e the head of the agency shall document',
6200:'the results of market research in a manner appropriate to the size and complexity of the acquisition. 10.003contract clause. the',
6201:'contractingofficer shall insertthe clause at 52.2101, market research, in solicitations and contracts over $6 million, other than solicitations and contracts',
6202:'for the acquisition of commercial products or commercial services. this page intentionally left blank. 10.04 part 11 describing agency needs',
6203:'sec. 11.000 scope of part. subpart 11.4 delivery or 11.001 definitions. performance schedules 11.002 policy. 11.401 general. 11.402 factors to',
6204:'consider in establishing schedules. subpart 11.1 selecting and 11.403 supplies or services. developing requirements documents 11.404 contract clauses. 11.101 order',
6205:'of precedence for requirements documents. subpart 11.5 liquidated damages 11.102 standardization program. 11.500 scope. 11.103 market acceptance. 11.501 policy. 11.104',
6206:'use of brand name or equal purchase 11.502 procedures. descriptions. 11.503 contract clauses. 11.105 items peculiar to one manufacturer. 11.106',
6207:'purchase descriptions for service contracts. subpart 11.6 priorities and allocations 11.107 solicitation provision. 11.600 scope of subpart. 11.601 definitions. subpart',
6208:'11.2 using and maintaining 11.602 general. requirements documents 11.603 procedures. 11.201 identification and availability of 11.604 solicitation provision and contract',
6209:'clause. specifications. 11.202 maintenance of standardization documents. subpart 11.7 variation in quantity 11.203 customer satisfaction. 11.701 supply contracts. 11.204 solicitation',
6210:'provisions. 11.702 construction contracts. 11.703 contract clauses. subpart 11.3 acceptable material 11.301 policy. subpart 11.8 testing 11.302 contract clause. 11.801',
6211:'preaward inuse evaluation. this page intentionally left blank. 11.000scope of part. this part prescribes policies and procedures for describing agency',
6212:'needs. 11.001 definitions. as used in this part reconditioned means restored to the original normal operating condition by readjustments and',
6213:'material replacement. remanufactured means factory rebuilt to original specifications. 11.002policy. a in fulfilling requirements of 10 u.s.c. 3206a, 10 u.s.c.',
6214:'3453, 41 u.s.c. 3306a, and 41 u.s.c.3307, agencies shall 1 specify needs using market research in a manner designed to',
6215:'i promote full and open competition see part 6, or maximum practicable competition when using simplified acquisition procedures, with due',
6216:'regard to the nature of the supplies or services to be acquired; and ii only include restrictive provisions or conditions',
6217:'to the extent necessary to satisfy the needs of the agency or as authorized by law. 2 to the maximumextent',
6218:'practicable, ensurethat acquisition officials i state requirements with respect to an acquisition of supplies or services in terms of a',
6219:'functions to be performed; b performance required; or c essential physical characteristics; iidefine requirements in terms that enable and encourage',
6220:'offerors to supply commercial products or commercial services or, to the extent thatcommercial products suitableto meetthe agency’s needs are not',
6221:'available, nondevelopmental items, in response to the agency solicitations; iii provideofferorsof commercial products, commercialservices, and nondevelopmental items an opportunity to',
6222:'compete in any acquisition to fill such requirements; iv require prime contractors and subcontractors at all tiers under the agency',
6223:'contracts to incorporate commercial products, commercial services, or nondevelopmental items as components of items supplied to the agency; and v',
6224:'modify requirements in appropriate cases to ensure that the requirements can be met by commercial products or commercial services or,to',
6225:'the extent that commercial products suitable to meet the agency’s needsare not available, nondevelopmental items. b the metric conversion act',
6226:'of 1975, asamended by theomnibus trade and competitivenessactof 1988 15 u.s.c. 205a, et seq., designates the metric system of measurement',
6227:'as the preferred system of weights and measures for united states trade and commerce, and it requires that each agency',
6228:'use the metric system of measurement in its acquisitions, except to the extent that such use isimpracticable or is likely',
6229:'to cause significantinefficiencies or loss of markets to united states firms. requiring activities are responsible for establishing guidance implementing this',
6230:'policy in formulating their requirements for acquisitions. ctotheextentpracticableandconsistentwith subpart 9.5,potentialofferorsshouldbegivenanopportunitytocomment on agency requirements or to recommend application and tailoring of',
6231:'requirements documents and alternative approaches. requiring agencies should apply specifications, standards,andrelated documents initially for guidance only, making final decisions on',
6232:'the application and tailoring of these documents as a product of the design and development process. requiring agencies should not',
6233:'dictate detailed design solutions prematurely see 7.101 and 7.105a8. d 1 agencies shall procure sustainable products and services as defined',
6234:'in 2.101 in accordance with subpart 23.1. 2 unless it is not practicable see 23.104a or an exception or exemption',
6235:'applies see 23.105 and 23.106, respectively, agencies shall incorporate the use of sustainable products and services when— i developing, reviewing,',
6236:'or revising federal and military specifications, product descriptions including commercial item descriptions and standards; ii describing government requirements for products',
6237:'and services; and iii developing sourceselection factors. 3 the green procurement compilation gpc available at https://sftool.gov/greenprocurement provides a comprehensive list',
6238:'of sustainable products and services and other related sustainable acquisition guidance. agencies should — i consult the gpc when determining',
6239:'which purchasing programs apply to a specific product or service; and federal acquisition regulation ii incorporate into agency requirements any',
6240:'required standards, specifications, or ecolabels identified in the gpc for a specific product or service. e some or all of',
6241:'the performance levels or performance specifications in a solicitation may be identifiedas targets rather than as fixed or minimum requirements.',
6242:'f in accordance with section 508 of the rehabilitation act of 1973 29 u.s.c. 794d, the contractingofficer shall obtain from',
6243:'the requiring activity the requirement documents, which must identify— 1 the needs of current and future users with disabilities to',
6244:'determine how– i users with disabilities will perform the functions supported by the information and communication technology ict; ii the',
6245:'ict will be developed, installed, configured and maintained to support users with disabilities; 2 the applicable ict accessibility standards see',
6246:'subpart 39.2; and 3 any ict accessibility standards that cannot be met due to an exception or an exemption for',
6247:'any component or portion of the product see 7.105b5iv, 39.204, and 39.205. g unlessthe agency chief information officer waives the',
6248:'requirement, when acquiringinformation technology using internet protocol, the requirements documents must include reference to the appropriate technical capabilities defined in',
6249:'the usgv6 profile nist special publication 500267 and the corresponding declarations of conformance defined in the usgv6 test program. the',
6250:'applicability of ipv6 to agency networks, infrastructure,andapplicationsspecific to individual acquisitions will be in accordance with the agencys enterprise architecture see',
6251:'omb memorandum m0522 dated august 2, 2005. h agencies shall not include in a solicitation a requirement that prohibits an',
6252:'offeror from permitting its employeesto telecommute unless the contracting officerexecutes a written determination in accordance with far 7.108a. subpart 11.1',
6253:'selecting and developing requirements documents 11.101order of precedence for requirements documents. a agencies may select from existing requirements documents, modify',
6254:'or combine existing requirements documents, or create new requirements documents to meet agency needs, consistent with the following order of',
6255:'precedence: 1 documents mandatedforuse bylaw. 2 performanceoriented documents e.g., a pws or soo. see 2.101. 3 detailed designoriented documents. 4',
6256:'standards, specifications and related publications issued by the government outside the defense or federal series for the nonrepetitive acquisition of',
6257:'items. b in accordance with omb circular a119, federal participation in the development and use of voluntary consensus standards and',
6258:'in conformity assessment activities, and section 12dof the national technologytransfer and advancement act of1995, pub. l. 104113 15 u.s.c. 272',
6259:'note, agencies must use voluntary consensus standards, when they exist, in lieu of governmentunique standards, except where inconsistent with law',
6260:'or otherwise impractical. the private sector manages and administers voluntary consensus standards. such standards are not mandated by law e.g.,',
6261:'industry standards such as iso 9000, and ieee 1680. 11.102standardization program. agencies shall select existing requirements documents or develop new',
6262:'requirements documents that meet the needs of the agency in accordance with the guidance contained in the federal standardization manual,',
6263:'fspm0001; for dod components, dod manual 4120.24, defense standardization program dsp procedures; and for it standards and guidance, the federal',
6264:'information processing standards publications fips pubs. the federal standardization manual may be obtained from the general services administration see address',
6265:'in 11.201d1. dod manual 4120.24 may be obtained from dod https:// www.esd.whs.mil/directives/issuances/dodm or see 11.201d2 or 3. fips pubs may',
6266:'be obtained from the government publishing office gpo, or the departmentof commerces nationaltechnical information service ntis see addressin 11.201d4. 11.103market',
6267:'acceptance. a 41 u.s.c. 3307e provides that, in accordancewith agency procedures, the head of an agency may, under appropriate circumstances,',
6268:'require offerors to demonstrate thatthe items offered 1 have either subpart 11.1 selecting and developing requirements documents 11.106 i achieved',
6269:'commercial market acceptance; or ii been satisfactorily supplied to an agency under current or recent contracts for the same or',
6270:'similar requirements; and 2 otherwise meet the item description, specifications, or other criteria prescribed in the public notice and solicitation.',
6271:'b appropriate circumstancesmay, for example, includesituationswhere the agency’s minimum need is for an item that has a demonstrated reliability, performance',
6272:'orproduct supportrecord ina specifiedenvironment. use of marketacceptance is inappropriate when newor evolving items may meet the agency’sneeds. c in developing',
6273:'criteria for demonstrating that an item has achieved commercial market acceptance, the contracting officer shall ensure the criteria in the',
6274:'solicitation 1 reflect theminimum need of the agencyandare reasonablyrelated to the demonstration of anitem’s acceptability to meet the agency’s minimum',
6275:'need; 2 relate to an item’sperformance and intended use, notan offeror’s capability; 3 are supported by market research; 4 include',
6276:'consideration of items supplied satisfactorily under recent or current government contracts, for the same or similar items; and 5 consider',
6277:'the entire relevant commercial market, including small business concerns. d commercial market acceptance shall not be used as a sole',
6278:'criterion to evaluate whether an item meets the government’s requirements. e when commercialmarketacceptance isused, the contractingofficer shall document the file',
6279:'to 1 describe the circumstances justifying the use of commercial market acceptance criteria; and 2 support the specific criteria being',
6280:'used. 11.104use of brandname or equal purchase descriptions. a whilethe use of performancespecifications is preferred to encourage offerors to propose',
6281:'innovative solutions,the use of brand name or equal purchase descriptions may be advantageous under certain circumstances. b brand name or',
6282:'equal purchase descriptions must include, in addition to the brand name, a general description of those salient physical, functional, or',
6283:'performance characteristics of the brand name item that an equal item must meet to be acceptable for award. use brand',
6284:'name or equal descriptions when the salient characteristics are firm requirements. 11.105items peculiar toone manufacturer. agency requirements shall not be',
6285:'written so as to require a particular brand name, product, or a feature of a product, peculiar toonemanufacturer, thereby precluding',
6286:'consideration of a product manufactured by another company, unless a 1theparticularbrandname,product,orfeatureisessentialtothegovernment’srequirements,andmarketresearch indicates other companies’ similar products, or products lacking the',
6287:'particular feature, do not meet, or cannot be modified to meet, the agency’s needs; 2 i the authority to contract',
6288:'without providing for full and open competition is supported by the required justifications and approvals see 6.3021; or ii the',
6289:'basis for not providing for maximum practicable competition is documented in the file see 13.1061b or justified see 13.501 when',
6290:'the acquisition is awarded using simplified acquisition procedures. 3 the documentation or justification is posted for acquisitions over $25,000. see',
6291:'5.102a6. b for multiple award schedule orders, see 8.4056. c for orders under indefinitequantity contracts, see 16.505a4. 11.106purchase descriptions for',
6292:'service contracts. in drafting purchase descriptions for service contracts, agency requiring activities shall ensure that inherently governmental functions see subpart',
6293:'7.5arenotassignedtoacontractor. thesepurchasedescriptionsshall a reserve finaldetermination for government officials; b require proper identification of contractor personnel who attend meetings, answer government',
6294:'telephones, or work in situationswhere their actions couldbe construedas acts of government officials unless, in the judgmentof the agency, no',
6295:'harm can come from failing to identify themselves; and c require suitable marking of all documents or reports produced by',
6296:'contractors. federal acquisition regulation 11.107solicitation provision. a insert the provision at 52.2116, brand name or equal, when brand name or',
6297:'equal purchase descriptions are included in a solicitation. b insert the provision at 52.2117, alternatives to governmentunique standards, in solicitations',
6298:'that use government unique standards when the agency uses the transactionbased reporting method to report its use of voluntary consensus',
6299:'standards to thenational instituteof standards and technology see omb circular a119, federal participation in the development anduse of voluntary consensus',
6300:'standards and in conformity assessment activities. use of the provision is optional for agencies that report their use of voluntary',
6301:'consensus standards to the national institute of standards and technology using the categoricalreportingmethod. agenciesthat manage their specificationson acontractbycontract basis use',
6302:'the transactionbased method of reporting. agencies that manage their specifications centrally use the categorical method of reporting. agency regulations regarding',
6303:'specification management describe which method is used. subpart 11.2 using and maintaining requirements documents 11.202 subpart 11.2 using and maintaining',
6304:'requirements documents 11.201identification and availability of specifications. a solicitations citing requirements documents listed in the general services administration gsa index',
6305:'of federal specifications, standards and commercial item descriptions, available on the dod acquisition streamlining and standardization information system assist website,',
6306:'or listed in other agency index shall identify each document’s approval date and the dates of any applicable amendments and',
6307:'revisions. do not use general identification references, such as theissue ineffect on the date ofthe solicitation. contracting offices will notnormally',
6308:'furnish these cited documents with the solicitation, except when 1 the requirements document must be furnished with the solicitation to',
6309:'enable prospective contractors to make a competent evaluation of the solicitation; 2 in the judgment of the contracting officer, it',
6310:'would be impracticable for prospectivecontractors to obtain the documents in reasonable time to respond to the solicitation; or 3 a',
6311:'prospective contractor requests a copy of a government promulgated requirements document. b contracting offices shall clearly identify in the solicitation',
6312:'any pertinent documents not listed inthe gsaindex of federalspecifications, standards and commercial itemdescriptions or assist. such documents shall be furnishedwith',
6313:'the solicitation or specific instructions shall be furnished for obtaining or examining such documents. c when documents refer to other',
6314:'documents, such references shall– 1 be restricted to documents, or appropriate portions of documents, that apply in the acquisition; 2',
6315:'cite the extent of their applicability; 3 not conflict with other documents and provisions of the solicitation; and 4 identify',
6316:'all applicable first tier references. d 1 the gsa index of federal specifications, standards and commercial item descriptions, fpmr part',
6317:'101–29, may be viewed at the assist website at https://assist.dla.mil. 2 most unclassified defense specifications and standards may be downloaded',
6318:'from the assist website at https:// assist.dla.mil. 3 defense documents not available from the assist website may be ordered from',
6319:'the defense standardization program office by— i using the assist feedback module at https://assist.dla.mil/feedback; or iicontacting the defense standardization program',
6320:'officeby telephone at 571–767–6888 or email at assisthelp@dla.mil. 4 the fips pubs may be obtained from— http://www.itl.nist.gov/fipspubs/, or purchased from',
6321:'the superintendent of documents, u.s. government publishing office, washington,dc 20402, telephone202 5121800, facsimile 202 5122250; or nationaltechnicalinformation servicentis, 5285 port',
6322:'royal road, springfield, va 22161, telephone 703 6056000, facsimile 703 6056900, email: orders@ntis.gov. e agencies may purchase some nongovernment standards,',
6323:'including voluntary consensus standards, from the national technical information service’s fedworld information network. agencies may also obtain nongovernment standards from',
6324:'thestandards developing organization responsible for the preparation,publication, or maintenance ofthe standard, or from an authorized document reseller. thenational instituteof standards',
6325:'and technology can assistagencies in identifyingsources for,and contentof,nongovernment standards. dod activities may obtain from thedefense standardization program office those nongovernment',
6326:'standards, including voluntary consensus standards, adopted for use by defense activities. 11.202maintenance of standardization documents. a recommendations for changes to',
6327:'standardization documents listed in the gsa index of federal specifications, standards and commercial item descriptions should be submitted to the',
6328:'general services administration federalsupply service office of acquisition washington, dc 20406. agencies shall submit recommendations for changes to standardization documents',
6329:'available at the assist website to the cognizantpreparing activity. b when an agency cites an existing standardization document but modifies',
6330:'it to meet its needs, the agency shall follow the guidance in federal standardization manual and, for defense components, dod',
6331:'manual 4120.24, defense standardization program dsp procedures. federal acquisition regulation 11.203customer satisfaction. acquisition organizations shall communicate with customers to determine',
6332:'how well the requirements document reflects thecustomer’s needs and to obtain suggestions for corrective actions. wheneverpracticable, the agency may provide',
6333:'affected industry an opportunity to comment on the requirements documents. 11.204solicitation provisions. a thecontracting officer shall insert the provision at',
6334:'52.2111, availability of specificationslisted in the gsa index of federal specifications, standards and commercial item descriptions, fpmr part 10129, in',
6335:'solicitations that cite specifications listed in the index that are not furnished with the solicitation. b the contractingofficer shall insertthe',
6336:'provisionat 52.2112,availability of defensespecifications, standards, and data item descriptions in the acquisition streamlining and standardization information system assist website, in',
6337:'solicitations that cite specifications available in assist that are not furnished with the solicitation. c thecontracting officer shall insert aprovision',
6338:'substantiallythe same as theprovision at 52.2113, availability of specifications not listed in the gsa index of federal specifications, standards and',
6339:'commercial item descriptions, in solicitations that cite specifications that are not listed in the index and are not furnished with',
6340:'the solicitation, but may be obtained from a designated source. d the contractingofficer shall inserta provision substantially the same as',
6341:'the provision at 52.2114, availability for examination of specifications not listed in the gsa index of federal specifications, standards and',
6342:'commercial item descriptions, in solicitations that cite specifications that are not listed in the index and are available for examination',
6343:'at a specified location. subpart 11.3 acceptable material 11.302 subpart 11.3 acceptable material 11.301policy. a agencies must not requirevirgin material',
6344:'or supplies composedof or manufacturedusing virgin materialunless compelledby law or regulation orunlessvirgin material isvital for safety or meeting performance requirements',
6345:'of the contract. b 1 when acquiring products other than commercial products as defined in 2.101,agenciesmustrequireofferorsto identify used, reconditioned, or',
6346:'remanufactured supplies; or unused former government surplus property proposed for use under the contract. these supplies or property may not',
6347:'be used in contract performance unless authorized by the contracting officer. 2 when acquiring commercialproducts, thecontracting officer must consider the',
6348:'customary practices in the industry for theproduct being acquired. the contracting officermay require offerors to provide information on used,reconditioned, or',
6349:'remanufactured supplies, or unused former government surplus property proposed for use under the contract. the request for the information must',
6350:'be included in the solicitation, and to the maximum extent practicable must be limited to information or standards consistent with',
6351:'normal commercial practices. c 1whenthecontractingofficerneedsadditionalinformationtodeterminewhethersuppliesmeetminimumrecovered material or biobasedstandards stated in the solicitation, the contracting officer may require offerors tosubmit additional',
6352:'information on the recycled or biobased content or related standards. the request for the information must be included in the',
6353:'solicitation. when acquiring commercial products, limit the information to the maximum extent practicable to that available under normal commercial practices.',
6354:'2 for biobased products, agencies may not require, as a condition of purchase of such products, the vendor or manufacturer',
6355:'to providemore data than would typically beprovided byotherbusinessentities offering products for sale to theagency, otherthan data confirming thebiobased content of',
6356:'a product see 7 cfr 3201.8. 11.302contract clause. insert the clause at 52.2115, material requirements, in solicitations and contracts for',
6357:'supplies that are not commercial products. this page intentionally left blank. 11.32 subpart 11.4 delivery or performance schedules 11.403 subpart',
6358:'11.4 delivery or performance schedules 11.401general. a the time of delivery or performance is an essential contract element and shall',
6359:'be clearly stated in solicitations. contracting officersshallensure that delivery or performanceschedules arerealisticand meet the requirements of the acquisition. schedules that',
6360:'are unnecessarily short or difficult to attain 1 tend to restrict competition, 2 are inconsistent with small business policies, and',
6361:'3 may result in higher contract prices. b solicitations shall, except when clearly unnecessary,inform bidders or offerors ofthe basis onwhich',
6362:'their bids or proposals will be evaluated with respect to time of delivery or performance. c if timely delivery or',
6363:'performance is unusually important to the government, liquidated damages clauses may be used see subpart 11.5. 11.402factors to consider in',
6364:'establishing schedules. a supplies or services. when establishing a contract delivery or performance schedule, consideration shall be given to applicable',
6365:'factors such as the 1 urgency of need; 2 industry practices; 3 market conditions; 4 transportation time; 5 production time;',
6366:'6 capabilities of small business concerns; 7 administrative time for obtaining and evaluating offers andforawarding contracts; 8 timeforcontractors to comply',
6367:'with any conditions precedent to contract performance; and 9 timeforthe government to perform its obligations underthe contract; e.g., furnishing government',
6368:'property. b construction.when scheduling the time for completion ofa construction contract, the contracting officer shall consider applicable factors such as',
6369:'the 1 nature and complexity of the project; 2 construction seasons involved; 3 required completion date; 4 availability ofmaterials and',
6370:'equipment; 5 capacity of the contractor to perform; and 6 use of multiple completion dates. in any given contract, separate',
6371:'completion dates may be established for separable items of work. when multiple completion dates are used, requests for extension of',
6372:'time must be evaluated with respectto each item, and theaffected completion dates modified whenappropriate. 11.403supplies or services. a thecontracting officer',
6373:'may express contractdelivery or performance schedules in terms of 1 specific calendar dates; 2 specific periods from the date of',
6374:'the contract; i.e., from the date of award or acceptance by the government, or from the date shown as the',
6375:'effective dateof the contract; 3 specific periods from the date of receipt by the contractor of the notice of award',
6376:'or acceptance by the government including notice by receipt of contract document executed by the government; or 4 specific time',
6377:'for delivery after receipt by the contractor of each individual order issued under the contract, as in indefinite delivery type',
6378:'contracts and gsa schedules. b the time specified for contract performance should not be curtailed to the prejudice of the',
6379:'contractor because of delay by the government in giving notice of award. c if the delivery schedule is basedon the',
6380:'date of the contract, thecontracting officer shall mail or otherwise furnish to the contractor the contract, notice of award, acceptance',
6381:'of proposal, or other contract document not later than the date of the contract. d if the delivery schedule is',
6382:'based on the date the contractor receives the notice of award, or if the delivery schedule is expressed in terms',
6383:'of specific calendar dates on the assumption that the notice of award will be received by a specified federal acquisition',
6384:'regulation date, the contracting officer shall send the contract, notice of award, acceptance of proposal, or other contract document by',
6385:'certified mail, return receipt requested, or by any other method that will provide evidence of the date of receipt. e',
6386:'ininvitations for bids, if thedelivery schedule isbased on thedate of the contract, anda bidoffers delivery based on thedate thecontractor receives',
6387:'the contractor notice of award, the contracting officer shall evaluate the bid by adding5 calendar days as representing the normal',
6388:'time for arrival through ordinary mail. if the contract or notice of award will be transmitted electronically, 1 the solicitationshallso',
6389:'state; and 2 the contractingofficer shall evaluate delivery schedule basedon the dateof contract receipt or notice ofaward,by adding oneworking day.',
6390:'theterm working day excludes weekends and u.s. federal holidays. if the offered deliverydate computed with mailing or transmittal timeis laterthan',
6391:'the delivery date required by the invitation for bids, the bid shall be considered nonresponsive and rejected. if award is',
6392:'made, the delivery date will be the numberof days offered inthe bid afterthe contractor actuallyreceives the noticeof award. 11.404contract clauses.',
6393:'a supplies or services. 1 the contractingofficer may use a time of delivery clause to setforth a required delivery schedule',
6394:'and to allowan offerorto propose an alternative delivery schedule. the clauses and their alternates may beused in solicitations and contracts',
6395:'for other than construction and architectengineering substantially as shown, or they may be changed or new clauses written. 2 the',
6396:'contractingofficer may insert in solicitations and contractsotherthan those for construction and architect engineering, a clause substantially the same as the',
6397:'clause at 52.2118,time of delivery, ifthe government requires delivery by a particular time and the delivery schedule is to be',
6398:'based on the date of the contract. if the delivery schedule is expressed in terms of specific calendar dates or',
6399:'specificperiodsand is based onan assumeddate of award, the contracting officer may use the clause with its alternate i. if the',
6400:'delivery schedule is expressed in terms of specific calendar dates or specific periods and isbased on anassumed datethe contractor willreceivenotice',
6401:'of award, thecontracting officer may use the clause with its alternate ii. if the delivery schedule is to be based',
6402:'on the actual date the contractor receives a written notice of award, the contracting officermay usethe clause withits alternate iii.',
6403:'3 the contractingofficer may insert in solicitations and contractsotherthan those for construction and architect engineering, a clause substantially the same',
6404:'as the clause at 52.2119,desired and required time of delivery, if the government desires delivery by a certain time but',
6405:'requires delivery by a specified later time, and the delivery schedule is to be based on the date of the',
6406:'contract. if the delivery schedule is expressed in terms of specific calendar dates or specific periods and isbased on anassumed',
6407:'dateof award, the contractingofficer may use the clause with its alternate i. if the delivery schedule is expressed in terms',
6408:'of specific calendar dates or specific periods and is based on an assumed date the contractor willreceivenotice of award, thecontracting',
6409:'officer may use theclause with itsalternate ii. if the delivery schedule isto bebased on theactual date the contractor receivesa written',
6410:'notice of award, the contracting officer mayuse the clause with its alternate iii. b construction.the contracting officer shall insert theclause',
6411:'at 52.21110, commencement, prosecution, and completion of work, insolicitationsandcontracts when a fixedprice construction contract is contemplated. the clause may be',
6412:'changed to accommodate the issuance of orders under indefinitedelivery contracts. if the completion date is expressed as a specificcalendar date,computed',
6413:'on the basis of the contractor receiving the notice to proceed by a certain day, the contracting officermay usethe clause',
6414:'withits alternate i. subpart 11.5 liquidated damages 11.503 subpart 11.5 liquidated damages 11.500scope. a this subpart prescribes policies and procedures',
6415:'for using liquidated damages clauses in solicitations and contracts for supplies, services, research and development, and construction. b this subpart',
6416:'does not apply to liquidated damages 1 for subcontracting plans see 19.7057; 2relatedtothecontractworkhoursandsafetystandardsstatutesee subpart 22.3; or 3 related to paid',
6417:'sick leave for federal contractors see subpart 22.21. 11.501policy. a thecontracting officer must consider the potential impact onpricing, competition, and',
6418:'contract administration before using a liquidated damages clause. use liquidated damages clauses only when 1 the time of delivery or',
6419:'timelyperformance is so important that the government may reasonablyexpectto suffer damage if the delivery or performance is delinquent; and 2',
6420:'the extentor amount ofsuch damage would be difficult or impossibleto estimate accurately or prove. b liquidated damages are not punitive',
6421:'and are not negative performance incentives see 16.4022. liquidated damages are used to compensate the government for probable damages. therefore,',
6422:'the liquidated damages rate must be a reasonable forecast of just compensation for the harm that is caused by late',
6423:'delivery or untimely performance of the particular contract. use a maximum amount or a maximum period for assessing liquidated damages',
6424:'if these limits reflect the maximum probable damage tothe government. also, the contracting officer may use more than one liquidated',
6425:'damages rate whenthe contracting officerexpects the probabledamage to the government to changeover the contract period ofperformance. c thecontracting officer must',
6426:'take all reasonable steps to mitigate liquidated damages. if thecontract contains a liquidated damages clauseand the contracting officeris considering terminating',
6427:'the contract for default, the contracting officer should seek expeditiously to obtain performance bythe contractor orterminatethe contract and repurchase see',
6428:'subpart 49.4. promptcontractingofficeractionwillpreventexcessivelosstodefaultingcontractorsandprotecttheinterests of the government. d the head of the agency may reduce or waive the amount of liquidated',
6429:'damages assessed under a contract, if the commissioner, financialmanagement service, ordesigneeapproves see treasury order 14510. 11.502procedures. a include the applicable',
6430:'liquidated damages clause and liquidated damages rates in solicitations when the contract will contain liquidated damages provisions. b construction contracts',
6431:'with liquidated damages provisions must describe the rates of liquidated damages assessed per day of delay. the rates should includethe',
6432:'estimated daily cost of government inspection and superintendence. the rates should also include an amount for other expected expenses associated',
6433:'with delayed completion such as 1 renting substitute property; or 2 paying additional allowance for living quarters. 11.503contract clauses. a',
6434:'use the clause at 52.21111, liquidated damagessupplies, services, or research and development, in fixedprice solicitations and contracts for supplies, services,',
6435:'or research and development when the contracting officer determines that liquidated damages are appropriate see 11.501a. b use the clause',
6436:'at 52.21112, liquidated damagesconstruction, in solicitations and contracts for construction, other than costplusfixedfee, when thecontracting officer determines thatliquidated damages are',
6437:'appropriatesee 11.501a. if the contract specifies more than one completion date for separate parts or stages of the work, revise',
6438:'paragraph a of the clause to state the amount of liquidated damages for delay of each separate part or stage',
6439:'of the work. c use the clause at 52.21113,time extensions, in solicitations and contracts for constructionthat use the clause at',
6440:'52.21112, liquidated damagesconstruction, when that clause has been revised as provided in paragraph b of this section. this page intentionally',
6441:'left blank. 11.52 subpart 11.6 priorities and allocations 11.603 subpart 11.6 priorities and allocations 11.600scope of subpart. this subpart implements',
6442:'thedefense priorities and allocations system dpas, a department of commerce regulationin support of approved national defense, emergency preparedness,andenergyprograms see 15',
6443:'cfr part 700. 11.601definitions. as used in this subpart approved program means a program determined as necessary or appropriate for',
6444:'priorities and allocations support to promote the national defense by thesecretary of defense, the secretary of energy,or the secretary ofhomeland',
6445:'security, underthe authorityof the defense production act, thestafford act,and executive order 12919, orthe selective service act and related statutes and',
6446:'executive order 12742. delegate agency means a government agency authorized by delegation from the department of commerce to place priority',
6447:'ratings on contracts or orders needed to support approved programs. national defense means programs for military and energy productionor construction,',
6448:'military assistance toanyforeign nation, stockpiling,space, and any directly related activity. suchterm includes emergency preparedness activities conducted pursuant to title vi',
6449:'of the robert t. stafford disaster relief and emergency assistance act 42 u.s.c. 5195 et seq. and critical infrastructure protection',
6450:'and restoration. 50 u.s.c. app. § 2152. rated order means a prime contract, a subcontract, or a purchase order in',
6451:'support of an approved program issued in accordance with theprovisions of the dpas regulation 15 cfr part 700. 11.602general. a',
6452:'under title i of thedefense productionactof 1950 50 u.s.c. app.2061, et seq., the president is authorized to require preferential acceptance',
6453:'and performance of contracts and orders supporting certain approved national defense and energy programs andto allocatematerials, services, and facilities in',
6454:'such a manner asto promotethese approved programs. b the president delegated the priorities and allocations authorities of the defense production',
6455:'act in executive order 12919. aspart of thatdelegation, the president designated the secretaryof commerce to administerthe dpas. for more information,',
6456:'check the dpaswebsiteat: https://www.bis.doc.gov/index.php/otherareas/strategicindustriesandeconomicsecurity sies/defenseprioritiesaallocationssystemprogramdpas. 11.603procedures. a there are two levels ofpriority for rated orders established by the dpas, identifiedby',
6457:'the rating symbols do and dx. all do rated orders have equal priority with each other and take preference over',
6458:'unrated orders. all dx rated orders have equal priority with each other and take preference over do rated and unrated',
6459:'orders see 15 cfr 700.11. the dpas regulation contains provisions concerning the elements of a rated order see 15 cfr',
6460:'700.12; acceptance and rejection of rated orders see 15 cfr 700.13; preferential scheduling see 15 cfr 700.14; extension of priority',
6461:'ratings flowdown see 15 cfr 700.15; changes or cancellations of priority ratings and rated orders see 15 cfr 700.16; use',
6462:'of rated orders see 15 cfr 700.17; and limitations on placing rated orders see 15 cfr 700.18. b the delegate',
6463:'agencies have been given authority by the department of commerce to place rated orders in support of approved programs see',
6464:'schedule i of the dpas. other u.s. government agencies, canada, and foreignnations may apply for priority rating authority. c rated',
6465:'orders shall be placed in accordance with the provisionsof the dpas. d agency heads shall ensurecompliance with the dpasby contracting',
6466:'activities withintheir agencies. e agency heads shall provide contracting activities with specific guidance on the issuance of rated orders in',
6467:'support of approved agency programs, including the general limitations and jurisdictional limitations on placing rated orders see 15 cfr 700.18',
6468:'and executive order 12919. f contracting officersshallfollow agency procedural instructionsconcerning the use of rated orders in support of approved agency',
6469:'programs. g contracting officers, contractors, or subcontractorsat any tier,that experience difficultyplacing ratedorders, obtaining timelydelivery underrated orders,locatinga contractoror supplier to fill',
6470:'a rated order, ensuring thatrated orders receive preferential treatment by contractors or suppliers, or require rating authority for items not',
6471:'automatically ratable under the dpas, should promptly seek special priorities assistance in accordancewith agency procedures see 15 cfr 700.50700.55 and',
6472:'700.80. federal acquisition regulation h the department of commerce maytake specificofficial actions ratingsauthorizations, directives, lettersof understanding, administrative subpoenas, demands for',
6473:'information, and inspection authorizations to implement or enforcethe provisions of the dpas see 15 cfr 700.60700.71. icontracting officers shall reportpromptly',
6474:'any violations of the dpas inaccordance withagency procedures to the office of strategic industries and economicsecurity, u.s. department of commerce,',
6475:'room3876, washington, dc 20230, ref: dpas;telephone: 202 4823634or fax: 202 4825650. 11.604solicitation provision and contract clause. a contracting officers shall',
6476:'insertthe provisionat 52.21114, notice of priority rating for nationaldefense, emergency preparedness, and energy program use, in solicitations when the contract',
6477:'tobe awarded will bea rated order. b contracting officersshallinsert the clauseat 52.21115, defense priority and allocation requirements, in contracts that',
6478:'are rated orders. subpart 11.7 variation in quantity 11.703 subpart 11.7 variation in quantity 11.701supply contracts. a a fixedprice supply',
6479:'contract may authorize government acceptance of a variation in the quantity of items called for if the variation is caused',
6480:'by conditions of loading, shipping, or packing, or by allowances in manufacturing processes. any permissible variation shall be stated as',
6481:'apercentage and it may bean increase, a decrease, or a combination of both; however, contracts for subsistence items mayuse other',
6482:'applicable terms of variation in quantity. b there should be no standard or usual variation percentage. the overrun or underrun',
6483:'permitted in each contract should be based upon the normal commercial practices of a particular industry for a particular item,',
6484:'and the permitted percentage should beno larger than isnecessary toafford a contractor reasonable protection. thepermissible variation shall not exceed plus',
6485:'or minus 10percent unless a different limitation is established in agencyregulations. consideration shall be given to the quantity to which',
6486:'the percentage variation applies. for example, when delivery will be made to multiple destinations and it is desired that the',
6487:'quantity variation apply to the item quantity for each destination, this requirement must be stated in the contract. c contractors',
6488:'are responsible for delivery of the specified quantity of items in a fixedprice contract, within allowable variations, if any. ifa',
6489:'contractordelivers a quantity ofitems in excess ofthe contract requirements plus any allowable variation in quantity,particularly small dollar value overshipments, it',
6490:'resultsin unnecessary administrative costs to the government in determining disposition of the excess quantity. accordingly, the contract may include theclause',
6491:'at 52.21117, delivery of excess quantities, to provide that 1 excess quantities of items totaling up to $250 in value',
6492:'may be retained without compensating the contractor; and 2 excess quantitiesof items totaling over $250 in value may,at the government’soption,',
6493:'beeither returned at the contractor’s expense or retained and paid for at the contractunit price. 11.702construction contracts. construction contracts may',
6494:'authorize a variation in estimated quantities of unitpriced items. when the variation between the estimated quantity and the actual quantity',
6495:'of a unitpriced item is more than plus or minus 15 percent, an equitable adjustment in the contract price shall',
6496:'be made upon the demand of either the government orthe contractor. the contractor may request an extension of time if',
6497:'the quantity variation is such as to cause an increase in the time necessary for completion. the contractingofficer mustreceivethe request',
6498:'in writing within 10 days from the beginningof the period of delay. however, the contracting officermay extendthistime limit before the',
6499:'dateof final settlement of the contract. thecontracting officer shall ascertain the facts and make any adjustmentforextending the completiondate thatthe findings',
6500:'justify. 11.703contract clauses. a thecontracting officer shall insert the clause at 52.21116, variation in quantity, insolicitationsandcontracts, if authorizing a variation',
6501:'in quantity in fixedprice contracts for supplies or for services that involve the furnishing of supplies. b the contractingofficer may',
6502:'insert the clause at 52.21117, delivery of excess quantities, in solicitations and contracts when a fixedprice supply contract is contemplated.',
6503:'c thecontracting officer shall insert the clause at 52.21118, variation in estimated quantity,in solicitations and contracts when a fixedprice construction',
6504:'contract is contemplated that authorizes a variation in the estimated quantity of unitpriced items. this page intentionally left blank. 11.72',
6505:'subpart 11.8 testing 11.801 subpart 11.8 testing 11.801preaward inuse evaluation. supplies may be evaluated undercomparableinuse conditions without a further test',
6506:'plan, provided offerors are so advised in the solicitation. the results of such tests or demonstrations may be used to',
6507:'rate the proposal, to determine technical acceptability, or otherwise to evaluate the proposal see 15.305. this page intentionally left blank.',
6508:'11.82 part 12 acquisition of commercial products and commercial services sec. 12.000 scope of part. 12.001 definition. subpart 12.1 acquisitionof',
6509:'commercial products and commercial services 12.101 policy. 12.102 applicability. 12.103 commercially available offtheshelf cots items. subpart 12.2 special requirements for',
6510:'the acquisition of commercial products and commercial services 12.201 general. 12.202 market research and description of agency need. 12.203 procedures',
6511:'for solicitation, evaluation, and award. 12.204 solicitation/contract form. 12.205 offers. 12.206 use of past performance. 12.207 contract type. 12.208 contract',
6512:'quality assurance. 12.209 determination of price reasonableness. 12.210 contract financing. 12.211 technical data. 12.212 computer software. 12.213 other commercial practices.',
6513:'12.214 cost accounting standards. 12.215 notification of overpayment. 12.216 unenforceability of unauthorized obligations. subpart 12.3 solicitation provisions and contract clauses',
6514:'for the acquisition of commercial products and commercial services 12.300 scope of subpart. 12.301 solicitation provisions and contract clauses for',
6515:'the acquisition of commercial products and commercial services. 12.302 tailoring of provisions and clauses for the acquisition of commercial products',
6516:'and commercial services. 12.303 contract format. subpart 12.4 unique requirements regarding terms and conditions for commercial products and commercial services',
6517:'12.401 general. 12.402 acceptance. 12.403 termination. 12.404 warranties. subpart 12.5 applicability of certain laws to the acquisition of commercial products,',
6518:'commercial services and commercially available offtheshelf items 12.500 scope of subpart. 12.501 applicability. 12.502 procedures. 12.503 applicability of certain laws',
6519:'to executive agency contracts for the acquisition of commercial products and commercial services. 12.504 applicability of certain laws to subcontracts',
6520:'for the acquisition of commercial products and commercial services. 12.505 applicability of certain laws to contracts for the acquisition of',
6521:'cots items. subpart 12.6 streamlined procedures for evaluation and solicitation for commercial products andcommercial services 12.601 general. 12.602 streamlinedevaluationofoffers. 12.603',
6522:'streamlined solicitation for commercial products or commercial services. this page intentionally left blank. subpart 12.1 acquisition of commercial products and',
6523:'commercial services 12.103 12.000scope of part. this part prescribes policies and procedures unique to the acquisition of commercial products, including',
6524:'commercial components, and commercial services. it implements the federal government’s preference for theacquisitionof commercial products and commercial services contained in',
6525:'41 u.s.c. 1906,1907, and 3307 and 10 u.s.c. 34513453 by establishing acquisition policies more closely resembling those of the commercial',
6526:'marketplace and encouraging the acquisition of commercial products and commercial services. 12.001definition. subcontract, as used in this part, includes, but',
6527:'is not limited to, a transfer of commercial products or commercial services between divisions, subsidiaries, or affiliates of a contractor',
6528:'orsubcontractor. subpart 12.1 acquisition of commercial products and commercial services 12.101 policy. the head of the agency shall— a conduct',
6529:'market research to determine whether commercial products, commercial services, or nondevelopmental items areavailablethat could meetthe agency’s requirements; b acquire commercial',
6530:'products, commercial services, or nondevelopmental items when they are available to meet the needs of the agency; and c require',
6531:'prime contractors and subcontractors at all tiers to incorporate, to the maximum extent practicable, commercial products,commercial services, or nondevelopmental items',
6532:'as componentsof items supplied to the agency. 12.102 applicability. a this part shall be used for the acquisition of supplies',
6533:'or services that meet the definitions of “commercial product” or “commercial service” at 2.101. b contracting officersshalluse the policiesin this',
6534:'part in conjunction with the policies and procedures for solicitation, evaluation and award prescribed in part 13, simplified acquisition procedures;',
6535:'part 14, sealed bidding; or part 15, contracting by negotiation, as appropriate for the particular acquisition. c contracts for the',
6536:'acquisition of commercial products or commercial services are subject to the policies in other parts of thefar. whenapolicyinanotherpartofthefarisinconsistentwithapolicyinthispart,this part 12',
6537:'shall take precedence for the acquisition of commercial products or commercial services. d the definition of commercial product uses the',
6538:'phrase “purposes other than governmental purposes”. these purposes are those that are not unique to a government. e this part',
6539:'shall not apply to the acquisition of commercial products or commercial services— 1 at or below the micropurchase threshold; 2',
6540:'using the standard form 44 see 13.306; 3 using the imprest fund see 13.305; 4 using the governmentwide commercial purchase',
6541:'card as a method of purchase rather than only as a method of payment; or 5 directlyfrom another federal agency.',
6542:'f 1contractingofficersmaytreatanyacquisitionofsuppliesorservicesthat,asdeterminedbytheheadoftheagency, areto beused tofacilitate defense against or recovery from cyber, nuclear,biological, chemical, or radiologicalattack, as an acquisition of commercial',
6543:'products or commercial services. 2 a contract in an amount greater than $20 million that is awarded on a sole',
6544:'source basis for a product or service treated as a commercial product or commercial service under paragraph f1 of this',
6545:'section but does not meet the definition of a commercial product or commercial service as defined at far 2.101 shall',
6546:'not be exempt from— i cost accounting standards see subpart 30.2; or ii certified cost or pricing data requirements see',
6547:'15.403. 12.103 commercially available offtheshelf cotsitems. commercially available offtheshelfcots items are defined in 2.101. unless indicated otherwise, all of the',
6548:'policies that apply to commercial products also apply to cots items. section 12.505 lists the laws that are not applicable',
6549:'to cots in addition to 12.503 and 12.504. this page intentionally left blank. 12.12 subpart 12.2 special requirements for the',
6550:'acquisition of commercial products and commercial services subpart 12.2 special requirements for the acquisition of commercial products and commercial services',
6551:'12.201general. this subpart identifies special requirements for the acquisition of commercial products and commercial services intended to more closely resemble',
6552:'those customarily used in the commercial marketplace, as well as other considerations necessary for proper planning, solicitation, evaluation, and award',
6553:'of contracts for commercial products and commercial services. 12.202 market research and description of agency need. a market research see',
6554:'10.001 isan essential elementof building aneffective strategy for the acquisition of commercial products and commercial services and establishes the foundation',
6555:'for the agency description of need see part 11, the solicitation, and resulting contract. b the description of agency need',
6556:'must containsufficient detail for potential offerors of commercialproducts or commercial servicesto know whichcommercial products or commercialservicesmay be suitable. generally, for',
6557:'acquisitions in excess of thesimplified acquisition threshold,an agency’s statement of need for a commercial productor commercial service will describe the',
6558:'type of commercial product or commercial service to be acquired and explain how the agency intends to use the product',
6559:'or service in terms of function to be performed, performance requirement or essential physical characteristics. describing the agency’s needs in',
6560:'these terms allows offerors to propose methods that will best meetthe needs of the government. c follow the procedures in',
6561:'subpart 11.2 regarding the identification and availability of specifications, standards and commercial item descriptions. d requirements documents shall identify the',
6562:'applicable information and communication technology accessibility standardsat36cfr1194.1see 11.002f and subpart 39.2. e when acquiring information technology using internet protocol, agencies',
6563:'must include the appropriate internet protocol compliance requirements in accordance with 11.002g. 12.203 procedures for solicitation, evaluation, and award. a',
6564:'contracting officers shall usethe policies unique to the acquisition of commercial products and commercialservices prescribed in this part in conjunction',
6565:'with the policies and procedures for solicitation, evaluation and award prescribed in part 13, simplified acquisition procedures; part 14 sealed',
6566:'bidding; or part 15, contracting by negotiation, as appropriate for theparticular acquisition. the contracting officer may use the streamlined procedure',
6567:'for soliciting offers for commercial product or commercial service prescribed in 12.603. for acquisitions of commercial products or commercial services',
6568:'exceeding the simplified acquisition threshold but not exceeding $7.5 million $15 million for acquisitions as described in 13.500 c, including',
6569:'options, contracting activities may use any of the simplified procedures authorized by subpart 13.5. b contracting officersshallensure the criteriaat 15.1012c',
6570:'are met when using the lowest price technically acceptable source selection process. 12.204solicitation/contract form. a 1 the contracting officer shall',
6571:'use the standard form 1449, solicitation/contract/order for commercial products and commercial services, if— i the acquisition is expected to exceed',
6572:'the simplified acquisition threshold; ii a paper solicitation or contract is being issued; and iii procedures at 12.603 are not',
6573:'being used. 2 use of the sf 1449 is nonmandatory but encouraged for commercial acquisitions not exceeding the simplified acquisition',
6574:'threshold. b consistent with the requirements at 5.203a and h, the contracting officermay allowfewer than 15 days before issuance of',
6575:'the solicitation. 12.205offers. a where technical information is necessary for evaluation ofoffers, agencies should, as partof market research,review existing literature',
6576:'generally available in the industry to determine its adequacy for purposes of evaluation. if adequate, contracting officers shall request existingproduct',
6577:'or serviceliterature from offerors of commercial products or commercial services in lieu of unique technical proposals. federal acquisition regulation b',
6578:'contracting officersshouldallow offerors to propose multipleoffers that will meeta government need in response to solicitations for commercial products orcommercial services.',
6579:'the contracting officershallevaluateeach offer separately. c consistent with the requirements at 5.203b,the contracting officermay allow fewer than 30 daysresponse time',
6580:'for receipt ofoffers for commercial products orcommercial services, unless the acquisitionis covered by the world trade organization government procurement agreement',
6581:'or a free trade agreement see 5.203h. 12.206use of past performance. past performance should be an important element of every',
6582:'evaluation and contract award for commercial products and commercial services. contracting officers should consider past performance datafrom a wide variety',
6583:'of sourcesboth inside and outside the federal government in accordance with the policies and procedures contained in subpart 9.1,13.106, or',
6584:'subpart 15.3, as applicable. 12.207contract type. a except as provided in paragraph b of this section, agencies shall use firmfixedprice',
6585:'contracts or fixedprice contracts with economic price adjustment for the acquisition of commercial products or commercial services. b 1 a',
6586:'timeandmaterials contract or laborhour contract see subpart 16.6 may be used for the acquisition of commercial services when i the',
6587:'service is acquired under a contract awarded using a competitive procedures e.g., the procedures in 6.102, the setaside procedures in',
6588:'subpart 19.5, or competition conducted in accordance with part 13; b the procedures for other than full and open competition',
6589:'in 6.3 providedthe agency receives offers that satisfy thegovernment’s expressed requirement from two or more responsible offerors; or c the',
6590:'fair opportunity procedures in 16.505 including discretionary small business setasides under 16.505b 2if, if placing an order under a multipleaward',
6591:'deliveryorder contract; and iithe contracting officer a executes a determination and findings d&f for the contract, in accordance with paragraph',
6592:'b2 of this section but see paragraph c of this section for indefinitedelivery contracts, that no other contract type authorized',
6593:'by this subpart is suitable; b includes a ceiling price in the contract or order that the contractor exceeds at',
6594:'its own risk; and c prior to increasing the ceilingprice of a timeandmaterials or laborhour contractor order, shall 1 conduct',
6595:'an analysis of pricing and other relevant factors to determine if the action is in the best interest of the',
6596:'government; 2 document the decision in the contract or order file; and 3 when making a change that modifies the',
6597:'general scope of i a contract, follow the procedures at 6.303; ii an order issued under the federal supply schedules,',
6598:'follow the procedures at 8.4056; or iii an order issued under multiple award task and delivery order contracts, follow the',
6599:'procedures at 16.505b2. 2 each d&f requiredby paragraphb1iia of this section shall contain sufficient facts and rationale to justify that',
6600:'no other contract type authorized by this subpart is suitable. at a minimum, the d&f shall i include a description',
6601:'of the market research conducted see 10.002e; ii establish that it is not possible at the time of placing the',
6602:'contract or order to accurately estimate the extent or duration of the work or to anticipate costs with any reasonable',
6603:'degree of confidence; iii establish that the requirement has been structured to maximize the use of firmfixedprice or fixedprice with',
6604:'economic price adjustment contracts e.g., by limiting the value or length of the timeandmaterial/laborhour contract or order; establishing fixed prices',
6605:'for portions of the requirement on future acquisitions for the same or similar requirements; and iv describe actions planned to',
6606:'maximize the use of firmfixedprice or fixedprice with economic price adjustment contracts on future acquisitions for the same requirements. 3',
6607:'see 16.601d1 for additional approval required for contracts expected to extend beyond three years. 4 see 8.404h for the requirement',
6608:'for determination and findings when using federal supply schedules. c 1 indefinitedelivery contracts see subpart 16.5 may be used when',
6609:'i the prices are established based on a firmfixedprice or fixedprice with economic price adjustment; or subpart 12.2 special requirements',
6610:'for the acquisition of commercial products and commercial services ii rates are established for commercial services acquired on a timeandmaterials',
6611:'or laborhour basis. 2 when an indefinitedelivery contract is awarded with services priced on a timeandmaterials or laborhour basis, contracting',
6612:'officers shall, to the maximum extent practicable, also structure thecontract to allow issuanceof orders on a firm fixedprice or fixedprice',
6613:'with economicprice adjustment basis. forsuch contracts, the contracting officer shall execute the d&f required by paragraph b2 of this section,',
6614:'for each order placed on a timeandmaterials or laborhour basis. placement of orders shall be in accordance with subpart 8.4',
6615:'or 16.5, as applicable. 3 if an indefinitedelivery contract only allows for the issuance of orders on a timeandmaterials or',
6616:'laborhour basis, the d&f required by paragraph b2 of this section shall be executed to support the basic contract and',
6617:'shall also explain why providing for an alternative firmfixedprice or fixedprice with economic price adjustment pricing structure is not practicable.',
6618:'the d&f for this contract shall be approved one level above the contracting officer. placement of orders shall be in',
6619:'accordance with subpart 16.5. d the contract types authorized by this subpart may be used in conjunction with an award',
6620:'fee and performance or delivery incentives when the award fee or incentive is based solely on factors other than cost',
6621:'see 16.2021 and 16.2031. e use of any contract type other than those authorized by this subpart to acquire commercial',
6622:'products or commercial services is prohibited. 12.208contract quality assurance. contracts for commercial products shall rely on contractors existing quality assurance',
6623:'systems as a substitute for government inspection and testing before tender for acceptance unless customary market practices for the commercial',
6624:'product being acquired include inprocess inspection. any inprocess inspection by the government shall be conducted in a manner consistent with',
6625:'commercial practice. the government shall rely on the contractor to accomplish all inspection and testing needed to ensure that commercial',
6626:'services acquired conform to contract requirements before they are tendered to the government. 12.209 determination of price reasonableness. while the',
6627:'contracting officer must establish price reasonableness in accordance with 13.1063,14.4082, or subpart 15.4,as applicable, the contracting officer should be aware',
6628:'of customary commercial products and commercial services and conditions when pricing commercial products and commercial services. commercial product and commercial',
6629:'service prices areaffected by factors that include,but are not limited to, speed of delivery, length and extent ofwarranty, limitationsof seller’s',
6630:'liability, quantities ordered, length of the performance period, and specificperformance requirements. thecontracting officer must ensure that contractterms, conditions, and prices',
6631:'are commensurate with the government’s need. 12.210contract financing. customary market practice for some commercial products and commercial services may include',
6632:'buyer contract financing. thecontractingofficermayoffergovernmentfinancinginaccordancewiththepoliciesandproceduresin part 32. 12.211technicaldata. except as provided by agencyspecific statutes, the government shall acquire only the technical',
6633:'data and the rights in that datacustomarily provided to the public with a commercial product or process. thecontracting officer shall',
6634:'presume that data delivered under a contract for commercial products was developed exclusively at private expense. when a contract for',
6635:'commercial products requires the delivery of technical data, thecontracting officer shall include appropriate provisionsand clauses delineating the rights in the',
6636:'technical data in addenda to the solicitation and contract see part 27 or agency far supplements. 12.212 computer software. a',
6637:'commercial computer software or commercial computer software documentation shall be acquired under licenses customarily provided to the public to the',
6638:'extent such licenses are consistent with federal law and otherwise satisfy the government’s needs. generally,offerorsandcontractors shall notbe required to 1',
6639:'furnish technical information related to commercial computer software or commercial computer software documentation that is not customarily provided to the',
6640:'public; or 2 relinquish to, or otherwise provide, the governmentrights touse, modify, reproduce, release, perform, display, or disclose commercial computer',
6641:'software or commercial computer software documentation except as mutually agreed to by the parties. federal acquisition regulation b with regardto',
6642:'commercial computer software andcommercial computer software documentation, the government shall have only those rights specified in the license contained in',
6643:'any addendum to the contract. for additional guidance regarding the use and negotiation of license agreements for commercial computer software,',
6644:'see 27.4053. 12.213 othercommercial practices. it is a common practice in the commercial marketplace for both the buyer and seller',
6645:'to propose terms and conditions written from their particular perspectives. the terms and conditions prescribed in this part seek to',
6646:'balance the interests of both the buyer and seller. these terms and conditions are generally appropriateforuse in a wide range',
6647:'of acquisitions. however, marketresearch may indicate other commercialpractices thatare appropriate for the acquisitionof the particular item. these practices should be',
6648:'consideredforincorporation into the solicitation andcontract if thecontracting officer determines them appropriate in concluding a business arrangement satisfactory to both parties',
6649:'and not otherwise precluded by law or executive order. 12.214cost accounting standards. cost accounting standards cas do not apply to',
6650:'contracts and subcontracts for the acquisition of commercial products or commercial services when these contracts and subcontracts are firmfixedprice or',
6651:'fixedprice with economic price adjustment provided that the price adjustment is not based on actual costs incurred. see 30.2011 for',
6652:'cas applicability to fixedprice with economic price adjustment contracts and subcontracts for commercial products or commercial services when theprice adjustment',
6653:'is basedon actual costsincurred. when cas applies,the contracting officer shall insert the appropriate provisions and clauses as prescribed in 30.201.',
6654:'12.215notification of overpayment. if the contractor notifies the contracting officerof aduplicate payment or that the government has otherwise overpaid, the',
6655:'contracting officershallfollow the procedures at 32.604. 12.216 unenforceability of unauthorized obligations. many supplies or services are acquired subject to supplier',
6656:'license agreements. these are particularly common in information technology acquisitions, but they may apply to any supply or service. for',
6657:'example, computer software and services delivered through the internet web services are often subject to license agreements, referred to as',
6658:'end user license agreements eula, terms of service tos, or other similar legal instruments or agreements. many of these agreements',
6659:'contain indemnification clauses that are inconsistent with federal law and unenforceable, but which could create a violation of the antideficiency',
6660:'act 31 u.s.c. 1341 if agreed to by the government. paragraph u of the clause at 52.2124 prevents any such',
6661:'violations. subpart 12.3 solicitation provisions and contract clauses for the acquisition of commercial products and commercial services 12.301 subpart 12.3',
6662:'solicitation provisions and contract clauses for the acquisition of commercial products and commercial services 12.300scope of subpart. this subpart establishes',
6663:'provisions and clauses to be used when acquiring commercial products and commercial services. 12.301 solicitation provisions and contract clauses for',
6664:'the acquisition ofcommercial products and commercial services. a in accordance with 41 u.s.c. 3307, contracts for the acquisition of commercial',
6665:'products or commercial services shall, to the maximum extent practicable, include only those clauses— 1 required to implement provisions of',
6666:'law or executive orders applicable to the acquisition of commercial products or commercial services; or 2 determined to be consistent',
6667:'with customary commercial practice. b insert the following provisions in solicitations for the acquisition of commercial products or commercial services,',
6668:'and clauses in solicitations and contracts for the acquisition of commercial products or commercial services: 1 the provision at 52.2121',
6669:',instructions to offerorscommercial products and commercial services. this provision provides asingle, streamlined set ofinstructions tobe used when soliciting offers for',
6670:'commercial products or commercial services and is incorporated in the solicitation by reference see block 27 a, sf 1449. the',
6671:'contractingofficer may tailor these instructions or provide additional instructions tailored to the specific acquisition in accordance with 12.302. 2 the',
6672:'provision at 52.2123, offeror representations and certificationscommercial products and commercial services. this provision provides a single, consolidated list of representations',
6673:'and certifications for the acquisition of commercial products orcommercial services and isattachedto thesolicitation for offerors to complete. this provision may',
6674:'not be tailored except in accordance with subpart 1.4. use the provision with its alternate i in solicitations issued by',
6675:'dod, nasa, or the coast guard. 3 the clause at 52.2124, contract terms and conditionscommercial products and commercial services this',
6676:'clause includes terms and conditions which are, to the maximum extent practicable, consistent with customary commercial practices and is incorporated',
6677:'in the solicitation and contract by reference see block 27, sf 1449. use this clause with its alternatei when a',
6678:'timeandmaterials or laborhour contract will beawarded. thecontracting officer may tailorthisclause in accordance with 12.302. 4 the clause at 52.2125, contract',
6679:'terms and conditions required to implement statutes or executive orders commercial products and commercial services. this clause incorporates by reference',
6680:'only those clauses required to implement provisions of law or executive orders applicable to the acquisition of commercial products or',
6681:'commercial services. the contracting officershallattach this clause to the solicitation andcontract and, usingthe appropriate clause prescriptions, indicate which, if any,',
6682:'of the additional clauses citedin 52.2125b or c are applicable to the specific acquisition. some of the clauses require fillin;',
6683:'the fillin language should be inserted as directed by 52.104d. when cost information is obtained pursuant to part 15 to',
6684:'establish the reasonableness of prices for commercial products or commercial services, the contractingofficer shall insertthe clauses prescribed for this purpose',
6685:'in an addendum to the solicitation and contract. this clause may not be tailored. i use the clause with its',
6686:'alternate i when the head of the agency has waived the examination of records by the comptroller general in accordance',
6687:'with 25.1001. ii a if the acquisition will use funds appropriated or otherwise made available by the american recovery and',
6688:'reinvestmentactof 2009 pub. l. 1115,the contracting officershalluse the clausewith its alternate ii. b 1 in the case of a bilateral',
6689:'contract modification that will use funds appropriated or otherwise made available by the american recovery and reinvestment act of2009, the',
6690:'contractingofficer shall specify applicability of alternate ii to that modification. 2 in the case of a task or deliveryorder contract',
6691:'in which not all orders will use funds appropriated or otherwisemade available by the american recovery and reinvestment act of',
6692:'2009, the contracting officer shall specifythe task or delivery orders to which alternate ii applies. c the contracting officermay not',
6693:'use alternate i when alternateii applies. c when theuse ofevaluation factors is appropriate,the contracting officer may— 1 insert the provision',
6694:'at 52.2122, evaluationcommercial products and commercial services, in solicitations for commercial products or commercial services see 12.602; or federal acquisition',
6695:'regulation 2 include a similar provision containing all evaluation factors required by 13.106, subpart 14.2 or subpart 15.3, as an',
6696:'addendum see 12.302d. d otherrequired provisions and clauses. notwithstanding prescriptionscontained elsewherein the far, when acquiring commercial products orcommercial services, contracting',
6697:'officers shall be required to use only those provisions and clauses prescribed in this part. the provisionsand clauses prescribed in',
6698:'this part shall be revised, as necessary, toreflect the applicability of statutes and executive orders to the acquisition of commercial',
6699:'products or commercial services. 1 insert the provision at 52.2047,systemforawardmanagement, as prescribedin 4.1105a. 2 insert the clause at 52.20413,systemforaward management',
6700:'maintenance, asprescribed in 4.1105b. 3 insert the provision at 52.20416, commercial and government entity code reporting, as prescribed in 4.1804a.',
6701:'4 insert the clause at 52.20418, commercial and government entity code maintenance, as prescribed in 4.1804c. 5 insert the clause',
6702:'at 52.20421, basic safeguarding of covered contractor information systems, in solicitations and contracts except for acquisitions of cots items, as',
6703:'prescribed in 4.1903. 6 insert the provision at 52.20424, representation regarding certain telecommunications and video surveillance services or equipment, as',
6704:'prescribed in 4.2105a. 7 insert the provision at 52.2076,solicitation of offers from small business concerns andsmallbusiness teaming arrangementsor jointventures multipleaward',
6705:'contracts, asprescribed at 7.1076. 8 insert the provision at 52.2097, information regarding responsibility matters, as prescribed in 9.1047b. 9 insert',
6706:'the provision at 52.20912, certificationregarding tax matters, as prescribed at 9.1047e. 10 insert the provision at 52.22256, certification regarding trafficking',
6707:'in persons compliance plan, in solicitations as prescribed at 22.1705b. 11 insert theclause at 52.22519, contractor personnel in a designated',
6708:'operational area or supporting a diplomatic or consular mission outside the united states, as prescribed in 25.3014. 12 insert the',
6709:'provision at 52.22911, tax oncertain foreign procurements—notice and representation, in solicitations as prescribed in 29.4023a. the representation in the provision',
6710:'at 52.22911 is not in the system for award management. 13 insert the clause at 52.22913, taxes—foreign contracts in afghanistan,as',
6711:'prescribed in 29.4024a. 14 insert the clause at 52.22914, taxes—foreign contracts in afghanistan northatlantic treatyorganization status of forces agreement, as',
6712:'prescribed in 29.4024b. e discretionary use of far provisions and clauses. the contracting officermay includein solicitations and contracts by addendum',
6713:'other farprovisionsandclauses when their use isconsistent with thelimitations contained in 12.302. for example: 1 the contractingofficer may use the provision',
6714:'at 52.2011, acquisition 360: voluntary survey, as prescribed in 1.1023b. 2 the contractingofficer may include appropriate clauses when anindefinitedelivery type',
6715:'of contract will be used. the clauses prescribed at 16.506 may be used for this purpose. 3 the contractingofficer may',
6716:'include appropriate provisionsand clauses when theuse of options is in the government’s interest. theprovisionsandclauses prescribed in 17.208 may be used',
6717:'for this purpose. if the provision at 52.2122 is used, paragraph b provides for the evaluation of options. 4thecontractingofficermayusetheprovisionsandclausescontainedin part',
6718:'23 regarding the use of products containing recovered materials and biobased products when appropriate for the item being acquired. 5whensettingasideunderthestaffordactsubpart',
6719:'26.2, include the provision at 52.2263,disasteroremergency area representation,in the solicitation. the representation in this provision is not in thesystemforaward management.',
6720:'f agencies may supplement the provisions and clauses prescribed in this part to require use of additional provisions and clauses',
6721:'only as necessary to reflect agency unique statutes applicable to the acquisition of commercial products or commercial services or as',
6722:'may be approved by the agency senior procurement executive, or the individual responsible for representing the agencyon the far council,',
6723:'without power ofdelegation. 12.302 tailoring ofprovisionsand clauses for the acquisition of commercial products andcommercial services. a general. the provisions and',
6724:'clauses established in this subpart are intended to address, to the maximum extent practicable, commercial market practices for a wide',
6725:'range of potential government acquisitions of commercial products and commercial services. however, because ofthe broadrange ofcommercial products and commercial services',
6726:'acquired by the government, variations in commercial practices,and the relative volume of the government’s acquisitions inthe specific market, contracting officers',
6727:'may, within the limitations of thissubpart, and after conductingappropriate market research, subpart 12.3 solicitation provisions and contract clauses for the',
6728:'acquisition of commercial products and commercial services 12.303 tailor the provision at 52.2121,instructionsto offerorscommercial products and commercial services, and theclause',
6729:'at 52.2124, contract termsandconditionscommercial products and commercialservices, to adapt tothe market conditions for each acquisition. b tailoring 52.2124, contract terms',
6730:'and conditionscommercial products and commercial services. the following paragraphs of the clause at 52.2124, contract terms and conditionscommercialproducts and commercial',
6731:'services, implement statutory requirements and shall not be tailored— 1 assignments; 2 disputes; 3 payment except as provided in subpart',
6732:'32.11; 4 invoice; 5 other compliances; 6 compliance with laws unique to government contracts; and 7 unauthorized obligations. c tailoring',
6733:'inconsistent with customary commercial practice. the contracting officer shall not tailor any clause or otherwise include any additional terms or',
6734:'conditions in a solicitation or contract for commercial products or commercial services in a manner that is inconsistent with customary',
6735:'commercial practice for the item being acquired unless a waiver is approved in accordance with agency procedures. the request for',
6736:'waiver must describe the customary commercial practice found in the marketplace, support the need to include a term or condition',
6737:'that is inconsistent with that practice and include a determination that use of the customary commercial practice is inconsistent with',
6738:'the needs of the government. a waiver may be requested for an individual or class of contracts for that specific',
6739:'item. d tailoring shall be byaddenda to the solicitation andcontract. the contracting officer shall indicate inblock27a ofthe sf1449 if addenda',
6740:'are attached. these addenda may include, for example, a continuation of the schedule of supplies/services to be acquired from blocks',
6741:'18 through 21 of the sf1449; a continuation of the description of the supplies/services being acquired; further elaboration of any',
6742:'other items on the sf1449; any other terms or conditions necessary for the performance of the proposed contract such as',
6743:'options, ordering procedures for indefinitedelivery type contracts, warranties, contract financing arrangements, etc.. 12.303contract format. solicitations and contracts for the acquisition',
6744:'of commercial products or commercial services prepared using this part 12 shall be assembled, to the maximum extent practicable, using',
6745:'the following format: a standard form sf 1449; b continuation of any block from sf 1449, such as 1 block',
6746:'10 ifan incentive subcontracting clauseis used the contracting officer shall indicate the applicable percentage; 2 block18 b for remittance address;',
6747:'3 block19 for line item numbers; 4 block20 for schedule of supplies/services; or 5 block25 for accounting data; c contract',
6748:'clauses 1 52.2124, contract termsandconditionscommercial products and commercialservices, by reference see sf 1449 block27 a; 2 any addendum to 52.2124;',
6749:'and 3 52.2125, contract termsandconditions required toimplement statutes orexecutive orderscommercial products and commercial services. d any contract documents, exhibits or',
6750:'attachments; and e solicitation provisions 1 52.2121, instructions to offerorscommercialproducts and commercial services, by reference see sf 1449, block27 a;',
6751:'2 any addendum to 52.2121; 3 52.2122, evaluationcommercial products and commercial services, or other description of evaluation factors for award,',
6752:'if used; and 4 52.2123, offeror representations and certificationscommercial products and commercial services. this page intentionally left blank. 12.34 subpart',
6753:'12.4 unique requirements regarding terms and conditions for commercial products and commercial services 12.403 subpart 12.4 unique requirements regarding terms',
6754:'and conditions for commercial products and commercial services 12.401general. this subpart provides a guidance regarding tailoring of the paragraphs in',
6755:'the clause at 52.2124, contract terms and conditionscommercial products and commercial services, when the paragraphs do not reflect the customary',
6756:'practice for a particular market; and b guidance on the administration of contracts for commercial products or commercial services in',
6757:'those areas where the terms and conditions in 52.2124 differ substantiallyfrom those contained elsewhere in the far. 12.402acceptance. a the',
6758:'acceptance paragraph in 52.2124 is based upon the assumption thatthe government will relyon the contractor’s assurances that the commercial product',
6759:'or commercial service tendered for acceptance conforms to the contract requirements. the government inspection of commercial products or commercial services',
6760:'will not prejudice its other rights under the acceptance paragraph. additionally,although the paragraph doesnot address the issue of rejection, the',
6761:'government always has the right to refuse acceptance of nonconforming items. this paragraph is generally appropriate when the government is',
6762:'acquiring noncomplex commercial products and commercial services. b other acceptance procedures may be more appropriate for the acquisition of complex',
6763:'commercial products or commercial services, or commercial products or commercial services used in critical applications. in such cases, the contracting',
6764:'officershallinclude alternative inspection procedures inan addendum and ensure these procedures and the postaward remedies adequately protect the interests ofthe government.',
6765:'the contractingofficer must carefully examine the terms and conditions of any expresswarranty with regard to the effect it mayhaveon the',
6766:'government’s available postaward remedies see 12.404. c the acquisition of commercial products or commercial services under other circumstances such as',
6767:'on an as is basis may also require acceptance proceduresdifferentfrom those contained in 52.2124. the contractingofficer should consider theeffect the',
6768:'specific circumstanceswill have on theacceptance paragraph as well as other paragraphs of the clause. 12.403 termination. a general. the clause',
6769:'at 52.2124 permits the government to terminate a contract for commercial products or commercial serviceseither for the convenience of the',
6770:'government or for cause. however, the paragraphs in 52.2124 entitled terminationforthe government’s convenience and termination for cause contain concepts which',
6771:'differfrom those contained in the termination clauses prescribed in part 49.consequently,therequirementsof part 49 do not apply when terminatingcontracts for commercial',
6772:'products or commercial services and contracting officers shall follow theprocedures in thissection. contractingofficersmaycontinuetouse part 49 as guidance to the extent',
6773:'that part 49 does not conflict with this section and the language of the termination paragraphs in 52.2124. b policy.',
6774:'thecontracting officer should exercise the government’srightto terminate a contract for commercial products or commercial services either for convenience or for',
6775:'cause only when such a termination would be in the best interests of the government. the contractingofficer should consult with',
6776:'counsel prior to terminating for cause. c termination for cause. 1 the paragraph in 52.2124 entitled excusable delay requires contractors',
6777:'notify the contracting officeras soon as possible after commencement of any excusable delay. in most situations,thisrequirement should eliminate the need',
6778:'for a show cause notice prior toterminating a contract. the contracting officer shall send a cure notice prior toterminating a',
6779:'contract for a reasonotherthan latedelivery. 2 the government’s rightsafter atermination for cause shall includeall the remedies available to any buyer',
6780:'in the marketplace. thegovernment’s preferred remedy will be to acquire similaritems from another contractor and to charge the defaulted contractor',
6781:'with any excess reprocurement costs together with any incidental or consequential damages incurred because of the termination. 3 when atermination',
6782:'for cause is appropriate, the contractingofficer shall send the contractor a written notification regarding the termination. at a minimum, this',
6783:'notification shall i indicate the contract is terminated for cause; ii specify the reasons for the termination; iii indicate which',
6784:'remedies the government intends to seek or provide a date by which the government will inform the contractor of the',
6785:'remedy; and federal acquisition regulation iv state that the noticeconstitutes a finaldecision of thecontracting officer and thatthe contractor has the',
6786:'right to appeal under the disputes clause see 33.211. 4 the contractingofficer, in accordance with agency procedures, shall ensurethat information',
6787:'related to termination for cause notices and any amendments are reported. in the event the termination for cause is subsequently',
6788:'converted to a terminationforconvenience, oris otherwise withdrawn, the contracting officer shall ensure that anotice of theconversion or withdrawal is reported.',
6789:'all reporting shall be in accordance with 42.1503h. d terminationforthe government’s convenience. 1 when thecontracting officer terminates a contract for',
6790:'commercial products or commercialservicesforthe government’s convenience, the contractor shall bepaid i a the percentage of the contract price reflecting the',
6791:'percentage of the work performed prior to the notice of the termination for fixedprice or fixedprice with economic price adjustment',
6792:'contracts; or b an amount for direct labor hours as defined in the schedule of the contract determined by multiplying',
6793:'the number ofdirect labor hours expended before the effective date of termination by the hourly ratesin the schedule; and iiany',
6794:'chargesthe contractor candemonstrate directly resultedfrom the termination. the contractor may demonstrate such charges using itsstandardrecord keeping systemandis not required to',
6795:'complywith the cost accounting standards or the contract cost principles in part 31.thegovernmentdoesnothaveanyrighttoauditthecontractor’srecords solely because of the termination for convenience.',
6796:'2 generally,the parties should mutuallyagreeupon therequirements of the termination proposal. the partiesmust balance thegovernment’s need to obtain sufficient documentation tosupport',
6797:'payment to the contractor against the goal of having a simple and expeditious settlement. 12.404 warranties. a implied warranties. the',
6798:'government’s postaward rights contained in 52.2124 are the implied warranty of merchantability, the implied warranty of fitness for particular purpose',
6799:'and the remediescontained inthe acceptance paragraph. 1 the implied warranty of merchantability provides that an item is reasonably fit for',
6800:'the ordinary purposes for which such items are used. the items must be of at least average, fair or mediumgrade',
6801:'quality and must be comparable in quality to those that will pass without objection in the trade or market for',
6802:'items of the same description. 2 the implied warranty of fitness for a particular purpose provides that an item is',
6803:'fit for use for the particular purpose for which the government will use the items. the government can rely upon',
6804:'an implied warranty of fitness for particular purpose when i the seller knows the particular purpose for which the government',
6805:'intends to use the item; and iithe government relied upon the contractor’s skill and judgment that the item wouldbe appropriate',
6806:'for that particular purpose. 3 contracting officersshouldconsult with legal counsel prior to asserting anyclaim for a breachof an implied warranty.',
6807:'b express warranties. 41 u.s.c. 3307e5brequirescontracting officers to take advantageof commercial warranties. to the maximumextent practicable, solicitations for commercial productsshallrequire',
6808:'offerors to offer the governmentat least the same warranty terms, including offers of extendedwarranties, offeredto the general public in customarycommercial',
6809:'practice. solicitations may specify minimum warranty terms, such as minimumduration, appropriateforthe government’s intended use of the item. 1 any express',
6810:'warranty the government intends to rely upon must meet the needs of the government. the contracting officershouldanalyze anycommercial warranty to',
6811:'determine if i the warranty is adequate to protect the needs of the government, e.g., items covered by the warranty',
6812:'and length of warranty; iithe termsallow the government effective postaward administration of the warrantyto include the identification of warranted items,',
6813:'procedures for the return of warranted items to the contractor for repair or replacement, and collection of product performance information;',
6814:'and iii the warranty is costeffective. 2 in some markets, it may be customary commercial practice for contractors to exclude',
6815:'or limit the implied warranties contained in 52.2124in theprovisionsof an express warranty. in such cases, thecontracting officer shall ensure that',
6816:'the express warranty provides for the repair or replacement of defective items discovered within a reasonable period of time after',
6817:'acceptance. 3 express warranties shall be included in the contract by addendum see 12.302. subpart 12.5 applicability of certain laws',
6818:'to the acquisition of commercial products, commercial services and commercially available offtheshelf items subpart 12.5 applicability of certain laws to',
6819:'the acquisition of commercial products, commercial services and commercially available offtheshelf items 12.500scope of subpart. a as required by 41',
6820:'u.s.c. 1906 and 1907, this subpart lists provisions of law that are not applicable to 1 contracts for the acquisition',
6821:'of commercial products or commercial services; 2 subcontracts, at any tier, for the acquisitionof commercial products or commercial services; and',
6822:'3 contracts and subcontracts, at any tier, for the acquisitionof commercially available offtheshelf cots items. b this subpart also lists',
6823:'provisions of law that have been amended to eliminate or modify their applicability to either contracts or subcontracts for the',
6824:'acquisition of commercial products or commercial services. 12.501 applicability. a this subpart applies to any contract or subcontract at any',
6825:'tier for the acquisition of commercial products or commercial services. b nothing in this subpart shall be construed to authorize',
6826:'the waiver of any provision of law with respect to any subcontract if the prime contractor is reselling or distributing',
6827:'commercial products or commercial services of another contractor without adding value. this limitation is intended to preclude establishment of unusual',
6828:'contractual arrangements solely for the purpose of government sales. c for purposes of this subpart, contractors awarded subcontracts under subpart',
6829:'19.8, contracting with the small business administration the 8a program, shall be considered prime contractors. 12.502 procedures. a thefar prescription',
6830:'for the provision or clause for each of the laws listed in 12.503 has been revised in the appropriate part',
6831:'to reflect its proper application to prime contracts for the acquisition of commercial products or commercial services. b for subcontracts',
6832:'for the acquisition of commercial products or commercial services, the clauses at 52.2125, contract terms and conditions required to implement',
6833:'statutesor executive orders—commercialproducts and commercial services, and 52.2446, subcontracts for commercial products and commercial services, reflect the applicability of the',
6834:'laws listed in 12.504 by identifying the only provisions and clauses that are required to be included in a subcontract',
6835:'at any tier for the acquisition of commercial products or commercial services. c thefar prescription for the provision or clause',
6836:'for each of the laws listed in 12.505 has been revised in the appropriate part to reflect its proper application',
6837:'to contracts and subcontracts for the acquisition of cots items. 12.503 applicabilityof certain laws toexecutive agency contracts forthe acquisition of',
6838:'commercial products and commercial services. a the following laws are not applicable to executive agency contracts for the acquisition of',
6839:'commercial products or commercial services: 1 10 u.s.c. 983, institutions of higher education that prevent rotc access or military recruiting',
6840:'on campus: denial of grants and contracts from department of defense, department of education, and certain other departments and agencies',
6841:'see 9.110. 2 31 u.s.c. 1354a, limitation onuse of appropriated fundsforcontracts with entities not meeting veterans employment reporting requirements see',
6842:'22.1302. 3 41 u.s.c. 1708e3,minimum response time for offers see 5.203. 4 41 u.s.c. 2303b, policy on personal conflicts of',
6843:'interest by contractor employees see subpart 3.11. 5 41 u.s.c. 3901b and 10 u.s.c. 3321b, contingent fees see 3.404. 6',
6844:'41 u.s.c. 4706d1 and 10 u.s.c. 3841d1, gao access to contractor employees, section 871 of public law 110417see 52.21426 and',
6845:'52.2122. 7 41 u.s.c. chapter 65, contracts for materials, supplies, articles, and equipment exceeding $10,000 see subpart 22.6. 8 41',
6846:'u.s.c. chapter 81, drugfree workplace see 26.501. 9 section 806a3 of public law 102190, as amended by sections 2091 and',
6847:'8105 of public law 103355 10 u.s.c. 4601 note prec., payment protections for subcontractors and suppliers see 28.1066. 10 15',
6848:'u.s.c. 644w, solicitation notice regarding administration of change orders for construction see 36.211. federal acquisition regulation b certain requirements of',
6849:'the following laws are not applicable to executive agency contracts for the acquisition of commercial products and commercial services: 1',
6850:'22 u.s.c. 2593e, requirement for a certification under measures against persons involved in activities that violate arms control treaties or',
6851:'agreements with theunited statessee 9.109. 2 40 u.s.c.chapter 37,requirement for a certificate and clause underthe contractwork hours and safety standards',
6852:'statute see 22.305. 3 41 u.s.c. 8703 and 8703, requirement for a clause and certain other requirements related to kickbacks',
6853:'see 3.502. 4 49 u.s.c.40118, requirement for a clause under the fly american provisions see 47.405. c the applicability of',
6854:'the following laws have been modified in regard to executive agency contracts for the acquisition of commercial products and commercial',
6855:'services: 1 41 u.s.c.4704 and 10 u.s.c. 4655, prohibition on limiting subcontractor direct sales to the united states see 3.503.',
6856:'2 41 u.s.c.chapter 35, and 10 u.s.c. chapter 271,truthful cost or pricing data see 15.403. 3 41 u.s.c.chapter 15, cost',
6857:'accounting standards 48 cfr chapter 99 see 12.214. 12.504 applicabilityof certain laws tosubcontracts for the acquisition ofcommercial products and commercial',
6858:'services. a the following laws are not applicable to subcontracts at any tier for the acquisition of commercial products or',
6859:'commercial services at any tier: 1 10 u.s.c. 2631, transportation of supplies by sea except for the types of subcontracts',
6860:'listed at 47.504d. 2 15 u.s.c. 644d, requirements relative to labor surplus areas under the small business act see subpart',
6861:'19.2. 3 [reserved] 4 41 u.s.c. chapter 65, contracts for materials, supplies, articles, and equipment exceeding $10,000 see subpart 22.6.',
6862:'5 41 u.s.c. 4703,validationofproprietarydatarestrictionssee subpart 27.4. 6 41 u.s.c. 3901b and 10 u.s.c. 3321b, contingent fees see subpart 3.4. 7',
6863:'41 u.s.c. 4706d and 10 u.s.c. 3841d, examinationof records of contractor, when a subcontractor is not required to provide certified',
6864:'cost or pricing data see 15.209b, unless using funds appropriated or otherwise made available by the american recoveryand reinvestment act',
6865:'of 2009 pub. l. 1115. 8 41 u.s.c. 1708e3,minimumresponsetimeforofferssee subpart 5.2. 9 41 u.s.c. 2302,rightsintechnicaldatasee subpart 27.4. 10 41 u.s.c.',
6866:'chapter 81, drugfree workplace act see subpart 26.5. 11 46 u.s.c.app.1241b, transportation in american vessels of government personnel andcertain cargo',
6867:'see subpart 47.5 except for the types of subcontracts listed at 47.504d. 12 49 u.s.c. 40118, fly american provisions see',
6868:'subpart 47.4. 13 section 806a3 of pub. l. 102190, as amended by sections 2091 and 8105 of pub. l. 103355',
6869:'10 u.s.c. 4601 note prec., payment protections for subcontractors and suppliers see 28.1066. b the requirements for acertificate and clauseunder',
6870:'thecontract work hours and safety standards statute, 40 u.s.c. 37, see subpart 22.3 are not applicable to subcontracts at any',
6871:'tier for the acquisition of commercial products or commercial services or commercial components. c the applicability of the following laws',
6872:'has been modified in regard to subcontracts at any tier for the acquisition of commercial products or commercial services: 1',
6873:'41 u.s.c. 4704 and 10 u.s.c. 4655, prohibition on limiting subcontractor direct sales to the united states see subpart 3.5.',
6874:'2 41 u.s.c. chapter 35, and 10 u.s.c. chapter 271,truthfulcostorpricingdatasee subpart 15.4. 3 41 u.s.c. chapter 15, cost accounting standards',
6875:'48 cfr chapter 99 see 12.214. 12.505applicability of certain laws to contracts for the acquisition of cots items. cots items',
6876:'are a subset of commercial products. therefore, any laws listed in sections 12.503 and 12.504 are also inapplicable or modified',
6877:'in their applicability to contracts or subcontracts for the acquisition of cots items. in addition, the following laws are not',
6878:'applicable to contracts for the acquisition of cots items: subpart 12.5 applicability of certain laws to the acquisition of commercial',
6879:'products, commercial services and commercially available offtheshelf items a 1 the portion of 41 u.s.c. 8302 , american materials required',
6880:'for public use, paragraph a1 that reads “substantially all from articles, materials, or supplies mined, produced, or manufactured in the',
6881:'united states,” buy american —supplies, domestic content test, except as provided in 25.101a2ii see 52.2251 and 52.2253. 2 the portion',
6882:'of 41 u.s.c. 8303, contracts for public works, paragraph a2that reads “substantially all from articles, materials, or supplies mined, produced,',
6883:'or manufactured in the united states,” buy american—construction materials, domestic content test, except as provided in 25.201b2iisee 52.2259 and 52.22511.',
6884:'b 42 u.s.c. 69 62c3a, certification and estimate of percentage of recovered material. c compliance plan and certification requirement, section',
6885:'1703 of the national defense authorization act for fiscal year 2013 pub. l. 112239,title xvii, ending trafficking ingovernment contractingsee 52.22250h',
6886:'and 52.22256. this page intentionally left blank. 12.54 subpart 12.6 streamlined procedures for evaluation and solicitation for commercial products and',
6887:'commercial services 12.603 subpart 12.6 streamlined procedures for evaluation and solicitation for commercial products and commercial services 12.601general. a this',
6888:'subpart provides optional procedures for— 1 streamlined evaluationof offers for commercial products or commercialservices;and 2 streamlined solicitation of offersforcommercial products',
6889:'or commercialservicesforuse whereappropriate. b these procedures are intended to simplify the process of preparing and issuing solicitations and evaluating offers',
6890:'for commercial products or commercial services consistent with customary commercial practices. 12.602 streamlined evaluation of offers. a when evaluationfactors are',
6891:'used,the contracting officermay insert a provision substantially the sameas the provision at 52.2122, evaluationcommercial products and commercial services, in solicitations',
6892:'for commercial products or commercial services or comply with the procedures in 13.106 if the acquisition is being made using',
6893:'simplified acquisition procedures. when the provision at 52.2122 is used, paragraph a of the provision shall be tailored to the',
6894:'specific acquisition to describe the evaluation factors and relativeimportance of thosefactors. however, whenusing the simplified acquisition procedures in part 13,',
6895:'contracting officers are not required to describe the relative importance of evaluation factors. b offers shall beevaluated in accordance with',
6896:'the criteriacontained inthe solicitation. for many commercialproducts or commercial services, the criteria need notbe more detailed than technical capability of',
6897:'the item offered to meet the agency need, price, and past performance. technical capability may beevaluated by how well the',
6898:'proposedproducts orservices meet the government requirement instead of predetermined subfactors. solicitations for commercial products or commercial services do not have',
6899:'to contain subfactors for technical capability when the solicitation adequately describes the intended use of the commercial product or commercial',
6900:'service. a technical evaluation would normally include examination of such things as product or service literature, product samples if requested,',
6901:'technical features, and warranty provisions. past performance shall be evaluated in accordance with the procedures in section 13.106 or subpart',
6902:'15.3,asapplicable. thecontractingofficer shall ensure the instructions provided in the provision at 52.2121, instructions to offerors—commercial products and commercial services, and',
6903:'the evaluation criteria provided in the provision at 52.2122, evaluation—commercial products and commercial services, are in agreement. c select the',
6904:'offer that is most advantageous to the government based onthe factors contained in the solicitation. fully document the rationale for',
6905:'selection ofthe successful offerorincluding discussion of any tradeoffs considered. 12.603 streamlined solicitationfor commercial products or commercial services. a when a',
6906:'written solicitation will beissued, the contracting officer mayuse the followingprocedure to reducethe time required to solicit and award contracts for',
6907:'the acquisition of commercial products or commercial services. this procedure combines the synopsis required by 5.203 and the issuance of',
6908:'the solicitation into a single document. b when using the combined synopsis/solicitation procedure, the sf1449 is not used for issuing',
6909:'the solicitation. c to use theseprocedures,the contracting officershall 1 prepare the synopsis as described at 5.207. 2 in the description,',
6910:'include the following additional information: i the following statement: this is a combined synopsis/solicitation for commercial products or commercial services',
6911:'prepared in accordance with the format in subpart 12.6, as supplemented with additional information included in this notice. this announcement',
6912:'constitutes the only solicitation; proposals are being requested and a written solicitation will not be issued. ii the solicitation number',
6913:'and a statement that the solicitation is issued as an invitation to bid ifb, request for quotation rfq or request',
6914:'for proposal rfp. iii a statement that the solicitation document and incorporated provisions and clauses are those ineffect through federal',
6915:'acquisition circular . iv a notice regarding any setaside and the associated naics code and small business size standard. v',
6916:'a list of line item numbers and items, quantities, and units of measure including options, if applicable. vi description of',
6917:'requirements for the items to be acquired. vii dates and places of delivery and acceptance and fob point. viii a',
6918:'statement that the provision at 52.2121, instructions to offerorscommercial products and commercial services, applies to this acquisition and a statement',
6919:'regarding any addenda to the provision. federal acquisition regulation ix a statement regarding the applicability of the provision at 52.2122,',
6920:'evaluationcommercial products and commercial services, if used, and the specific evaluation criteria to be included in paragraph a of that',
6921:'provision. if this provision is not used, describe the evaluation procedures to be used. x a statement advising offerors to',
6922:'include a completed copy of the provision at 52.2123,offerorrepresentations and certificationscommercial products and commercialservices, with itsoffer. xi a statement that',
6923:'the clause at 52.2124, contract terms and conditionscommercial products and commercial services, applies to this acquisition and a statement regarding',
6924:'any addenda to the clause. xii a statement that the clause at 52.2125, contract terms and conditions required to implement',
6925:'statutes or executive orderscommercial products and commercial services, applies to this acquisition and a statement regarding which, if any,of the',
6926:'additional farclauses cited in the clause areapplicable to the acquisition. xiii a statement regarding any additional contract requirements or terms',
6927:'and conditions such as contract financing arrangementsor warrantyrequirements determined by the contracting officer to be necessaryforthisacquisition and consistent with customary',
6928:'commercial practices. xiv a statementregarding the defenseprioritiesandallocations system dpas and assignedrating, if applicable. xv the date, time and place offers',
6929:'are due. xvi the name and telephone number of the individual to contact for information regarding the solicitation. 3 allow',
6930:'response time for receipt of offers as follows: i because the synopsis and solicitation are contained in a single document,',
6931:'it is not necessary to publicize a separate synopsis 15 days before the issuance of the solicitation. iiwhen usingthe combined',
6932:'synopsis and solicitation,contracting officers must establish a response time in accordance with 5.203b but see 5.203h. 4 publicize amendments to',
6933:'solicitations in the same manner as the initial synopsis and solicitation. fac 202501 november 12, 2024 part 13 simplified acquisition',
6934:'procedures sec. 13.000 scope of part. subpart 13.3 simplified acquisition methods 13.001 definitions. 13.301 governmentwide commercial purchase card. 13.002 purpose.',
6935:'13.302 purchase orders. 13.003 policy. 13.3021 general. 13.004 legal effect of quotations. 13.3022 unpriced purchase orders. 13.005 list of laws',
6936:'inapplicable to contracts and 13.3023 obtaining contractor acceptance and subcontracts at or below the simplified modifying purchase orders. acquisition threshold.',
6937:'13.3024 termination or cancellation of purchase 13.006 inapplicable provisions and clauses. orders. 13.3025 clauses. subpart 13.1 procedures 13.303 blanket purchase',
6938:'agreements bpas. 13.101 general. 13.3031 general. 13.102 source list. 13.3032 establishment of bpas. 13.103 use of standing price quotations. 13.3033',
6939:'preparation of bpas. 13.104 promoting competition. 13.3034 clauses. 13.105 synopsis and posting requirements. 13.3035 purchases under bpas. 13.106 soliciting competition,',
6940:'evaluation 13.3036 review procedures. of quotations or offers, award and 13.3037 completion of bpas. documentation. 13.3038 optional clause. 13.1061 soliciting',
6941:'competition. 13.304 [reserved] 13.1062 evaluation of quotations or offers. 13.305 imprest funds and third party drafts. 13.1063 award and documentation.',
6942:'13.3051 general. 13.3052 agency responsibilities. subpart 13.2 actions at or below 13.3053 conditions for use. the micropurchase threshold 13.3054 procedures.',
6943:'13.201 general. 13.306 sf 44, purchase orderinvoicevoucher. 13.202 unenforceability of unauthorized obligations 13.307 forms. in micropurchases. 13.203 purchase guidelines. subpart',
6944:'13.4 fast payment procedure 13.401 general. 13.402 conditions for use. 13.403 preparation and execution of orders. 13.404 contract clause. subpart',
6945:'13.5 simplified procedures for certain commercial products and commercial services 13.500 general. 13.501 special documentation requirements. this page intentionally left',
6946:'blank. 13.000scope of part. this part prescribes policies and procedures for the acquisition of supplies and services, including construction, research',
6947:'and development, commercial products, and commercial services, the aggregate amount of which does not exceed the simplified acquisition threshold see',
6948:'2.101. subpart 13.5 provides special authority for acquisitions of commercial products and commercial services exceeding the simplified acquisition threshold but',
6949:'not exceeding $7.5 million $15 million for acquisitions as described in 13.500 c, including options. see part 12 for policies',
6950:'applicable to the acquisition of commercial products and commercial services exceeding the micropurchase threshold. see 36.6025 for simplified procedures to',
6951:'be used when acquiring architectengineer services. 13.001definitions. as used in this part authorized individual means a person who has been',
6952:'grantedauthority,in accordance with agencyprocedures,to acquire supplies and services in accordance with this part. governmentwide commercial purchase card means a purchase',
6953:'card, similar in nature to a commercial credit card, issued to authorized agency personnel to use to acquire and to',
6954:'pay for supplies and services. imprest fund means a cash fund of a fixed amount established by anadvance of funds,',
6955:'without chargeto anappropriation, from an agency financeor disbursing officer toa duly appointed cashier, for disbursement as needed from time to',
6956:'timein making payment in cash for relatively small amounts. third party draft means an agency bank draft, similar to a',
6957:'check, that is used to acquire and to pay for supplies and services. seetreasury financial management manual, section 3040.70. 13.002purpose.',
6958:'the purpose of this part is to prescribe simplified acquisition procedures in order to a reduce administrative costs; b improve',
6959:'opportunities for small, small disadvantaged, womenowned, veteranowned, hubzone, and servicedisabled veteranowned small business concerns to obtain a fair proportion of',
6960:'government contracts; c promote efficiency and economyin contracting; and d avoid unnecessary burdens for agencies and contractors. 13.003 policy. a',
6961:'agencies shall use simplified acquisition procedures to the maximum extent practicable for all purchases of supplies or services not exceeding',
6962:'the simplified acquisition threshold including purchases at or below the micropurchase threshold. this policy does not apply if an agency',
6963:'can meet its requirement using 1 required sources of supply under part 8 e.g., federal prison industries, committee for purchase',
6964:'from people who are blind or severely disabled, and federal supply schedule contracts; 2 existing indefinite delivery/indefinite quantity contracts; or',
6965:'3 other established contracts. b 1 acquisitions of supplies or services that have an anticipated dollar value above the micropurchase',
6966:'threshold, but at or below the simplified acquisition threshold, shall be set aside for small business concerns see 19.000, 19.203,',
6967:'and subpart 19.5. 2 the contractingofficer may make an award to a small business concernunder the i 8a program see',
6968:'subpart 19.8; ii historically underutilized business zone hubzone program but see 19.1305 ; iii servicedisabled veteranowned small business sdvosb program',
6969:'seesubpart 19.14; or ivwomenownedsmallbusinesswosbprogramsee subpart 19.15. 3 the following contracting officer’s decisions for acquisitions at or below the simplifiedacquisitionthreshold are',
6970:'not subject to review under subpart 19.4: i a decision not to make an award under the 8a program. ii',
6971:'a decision not to set aside an acquisition for hubzone small business concerns, servicedisabled veteranowned small business concerns, or edwosb',
6972:'concerns and wosb concerns eligible under the wosb program. 4 each written solicitation under a setaside shall contain the appropriate',
6973:'provisions prescribed by part 19. if the solicitation is oral, however, information substantially identical tothat in the provision shall be',
6974:'given topotentialquoters. federal acquisition regulation c 1thecontractingofficershallnotusesimplifiedacquisitionprocedurestoacquiresuppliesandservicesifthe anticipated award will exceed i the simplified acquisition threshold; or ii $7.5 million',
6975:'$15 million for acquisitions as described in 13.500c, including options, for acquisitions of commercial products or commercial services using subpart',
6976:'13.5. 2 do not break down requirements aggregating more than the simplified acquisition threshold or for commercial products and commercial',
6977:'services, the threshold in subpart 13.5 or the micropurchase threshold into several purchases that are less than the applicable threshold',
6978:'merely to i permit use of simplified acquisition procedures; or iiavoidanyrequirementthat applies to purchasesexceeding the micropurchase threshold. d an agency',
6979:'that has specific statutory authority to acquire personal services see 37.104 may use simplified acquisition procedures to acquire those services.',
6980:'e agencies shall use the governmentwide commercial purchase card and electronic purchasing techniques to the maximum extent practicable in conducting',
6981:'simplified acquisitions but see 32.1108b2. fagenciesshallmaximizetheuseofelectroniccommercewhenpracticableandcosteffectivesee subpart 4.5. drawings and lengthy specifications can beprovidedofflinein hard copy or through other appropriate',
6982:'means. g authorizedindividuals shall make purchasesin the simplified mannerthat is most suitable, efficient, and economical based on the circumstances of',
6983:'each acquisition. for acquisitions not expected to exceed 1 the simplified acquisition threshold when acquiring other than commercial products or',
6984:'commercial services, use any appropriate combination of the procedures in parts 13, 14, 15, 35, or 36, including the use',
6985:'of standard form1442, solicitation, offer,and awardconstruction, alteration, orrepair, for construction contracts see 36.701a; or 2 $7.5 million $15 million for',
6986:'acquisitions as described in 13.500c, for commercial products or commercial services, use any appropriate combination of the procedures in parts',
6987:'12, 13, 14, and 15 see paragraph d of this section. h in addition tootherconsiderations, contracting officers shall 1 promote',
6988:'competition to the maximum extent practicable see 13.104; 2 establish deadlines for the submission of responses to solicitations thatafford suppliers',
6989:'areasonable opportunity to respond see 5.203; 3 considerallquotations oroffers that are timelyreceived. forevaluation of quotations or offers received electronically, see',
6990:'13.1062b4; and 4 use innovative approaches, to the maximum extent practicable, in awarding contracts using simplified acquisition procedures. 13.004legal effect',
6991:'of quotations. a a quotation is not an offer and, consequently, cannot beaccepted bythe government to forma bindingcontract. therefore, issuance',
6992:'by the governmentof an order in responseto a supplier’s quotation doesnot establish acontract. the order is an offerby the government',
6993:'to the supplierto buy certain supplies or services uponspecified termsandconditions. a contract is established when the supplier accepts the offer.',
6994:'b when appropriate,the contracting officer mayask the supplier toindicate acceptance of an order by notification to the government, preferably in',
6995:'writing, as defined at 2.101. in other circumstances, the supplier may indicate acceptance by furnishing the supplies or services ordered',
6996:'or by proceeding with the work to the point where substantial performance has occurred. c if the government issues an',
6997:'order resulting from a quotation, the government maybywritten notice to the supplier, at any time before acceptance occurs withdraw,amend, or',
6998:'cancel its offer. see 13.3024 for procedures on termination or cancellation of purchase orders. 13.005 list of laws inapplicable to',
6999:'contracts and subcontractsat or below the simplified acquisition threshold. a the following laws are inapplicable to all contracts and subcontracts',
7000:'if otherwise applicable to subcontracts at or below the simplified acquisition threshold pursuant to 41 u.s.c. 1905: 1 10 u.s.c.',
7001:'983, institutions of higher education that prevent rotc access or military recruiting on campus: denial of grants and contracts from',
7002:'department of defense, department of education, and certain other departments and agencies see 9.110. 2 10 u.s.c. 3321b and 41',
7003:'u.s.c. 3901b contract clause regarding contingent fees. 3 10 u.s.c. 3841 and 41 u.s.c. 4706 authority to examine books and',
7004:'records of contractors. 4 10 u.s.c. 4655 and 41 u.s.c. 4704 prohibition on limiting subcontractors direct sales to the united',
7005:'states. 5 22 u.s.c. 2593e measures against persons involved in activitiesthat violate arms control treaties or agreements with the united',
7006:'states. the requirement at 22 u.s.c. 2593ec3b to providea certification doesnot apply. 6 31 u.s.c. 1354alimitationon use of appropriated funds',
7007:'for contractswith entities not meeting veterans employment reporting requirements see 22.1302. 7 41 u.s.c. 8102a1 drugfree workplace, except for individuals.',
7008:'b the federal acquisition regulatory council far council will include any law enacted after october 13, 1994, that sets forth',
7009:'policies, procedures, requirements, or restrictions for the acquisition of property or services, on the list set forth in paragraph a',
7010:'of this section. the far councilmay make exceptionswhen it determines in writing that it is in the best interest of',
7011:'the government that the enactment should apply to contracts or subcontracts not greater than the simplified acquisition threshold. c the',
7012:'provisions of paragraph b of this section do not apply to laws that 1 provide for criminal or civil penalties;',
7013:'or 2 specifically state that notwithstanding the language of 41 u.s.c. 1905, the enactment will be applicable to contracts or',
7014:'subcontracts in amounts not greater than the simplified acquisition threshold. d any individual may petition theadministrator, office of federalprocurement policy',
7015:'ofpp, to include any applicable provision oflawnot included onthe listset forthin paragraph a of this section unless thefar councilhas already',
7016:'determined in writing thatthe law is applicable. the administrator, ofpp, willinclude the law on thelist in paragraph a of this',
7017:'section unless thefar councilmakes a determination thatitis applicablewithin 60 days of receiving the petition. 13.006 inapplicable provisions and clauses. while',
7018:'certain statutes still apply, pursuant to publiclaw103355, the following provisions and clauses are inapplicable to contracts and subcontracts at or',
7019:'below the simplified acquisition threshold: a 52.2035, covenant against contingent fees. b 52.2036, restrictions on subcontractor sales to the government.',
7020:'c 52.2037, antikickback procedures. d 52.2152, audits and recordsnegotiation, except as used with its alternate i, when using funds appropriated',
7021:'or otherwisemade available by the american recovery and reinvestment act of 2009pub. l. 1115. e 52.2224,contract work hours and safety',
7022:'standardsovertime compensation. f 52.2267, drugfree workplace, except for individuals. g 52.2239, estimate ofpercentage of recovered material contentforepadesignated items. subpart 13.1',
7023:'procedures 13.101general. a inmaking purchases, contracting officers shall 1 comply with the policy in 7.202 relating to economic purchase quantities,',
7024:'when practicable; 2 satisfy the procedures described in subpart 19.6 with respect to certificates of competency before rejecting a quotation,',
7025:'oral or written, from a small business concern determined to be nonresponsible see subpart 9.1; and 3 provide for the',
7026:'inspection of supplies or services as prescribed in 46.404. b in making purchases, contracting officers should 1 include related items',
7027:'such as small hardware items or spare parts for vehicles in one solicitation and make award on an allornone or',
7028:'multiple award basis provided suppliers are so advised whenquotations oroffers arerequested; 2 incorporate provisions and clauses by reference in solicitations',
7029:'and in awards under requests for quotations, provided the requirements in 52.102 are satisfied; 3 makemaximum effort to obtain trade',
7030:'and prompt payment discounts see 14.4083. prompt payment discounts shall not be considered in the evaluation of quotations; and 4',
7031:'use bulk funding to the maximum extent practicable. bulk funding is a systemwhereby thecontracting officer receivesauthorizationfrom a fiscal and accounting',
7032:'officer to obligate funds on purchase documents against a specified lump sum of funds reserved for the purpose for a',
7033:'specified period of time rather than obtaining individual obligational authority on each purchase document. bulk funding is particularly appropriate if',
7034:'numerous purchases using the same type of funds are to be made during a given period. federal acquisition regulation 13.102',
7035:'sourcelist. a contracting officers should usethe system for award management see subpart 4.11 via https://www.sam.gov as their primary sources of',
7036:'vendor information. offices maintaining additional vendor source files or listings should identify the statusof each source when the status is',
7037:'madeknown to the contractingoffice in the following categories: 1 small business. 2 small disadvantaged business. 3 womenowned small business concern,',
7038:'including economicallydisadvantagedwomenowned smallbusiness concerns and womenowned small business concerns eligible underthe womenownedsmallbusinesswosb program. 4 hubzone small business. 5 servicedisabled veteranowned',
7039:'small business. 6 veteranowned small business. b the status information may be used as the basis to ensure that small',
7040:'business concerns are provided the maximum practicable opportunities to respond to solicitations issued using simplified acquisition procedures. 13.103use of standing',
7041:'price quotations. authorized individuals do not have to obtain individual quotations for each purchase. standing price quotations may be used',
7042:'if a the pricing information is current; and b the government obtains the benefit of maximum discounts before award. 13.104',
7043:'promoting competition. the contractingofficer mustpromote competition to the maximum extent practicable to obtain supplies and services from thesource whose offeris',
7044:'the most advantageous to the government, consideringthe administrative cost of thepurchase. a thecontracting officer must not 1 solicit quotations based',
7045:'on personal preference; or 2 restrict solicitation to suppliers of wellknown and widely distributed makes or brands. b if using',
7046:'simplified acquisition procedures and not providing access to the notice of proposed contract action and solicitation information through the governmentwide',
7047:'point of entry gpe, maximum practicable competition ordinarily can be obtained bysoliciting quotations or offers from sources withinthe localtrade area.',
7048:'unless the contract action requires synopsis pursuant to 5.101 and an exception under 5.202 is not applicable, consider solicitation of',
7049:'at least three sources to promote competition to the maximum extentpracticable. whenever practicable,request quotationsor offers from two sources not included',
7050:'in the previous solicitation. c when conducting a reverse auction, see subpart 17.8. 13.105 synopsis and posting requirements. a thecontracting',
7051:'officer must comply with the publicdisplay and synopsis requirements of 5.101 and 5.203 unless an exception in 5.202 applies. b',
7052:'when acquiring commercial products or commercial services, or supplies or services procured in accordance with 12.102f1, the contracting officer may',
7053:'use a combined synopsis and solicitation. in thesecases, aseparate solicitationis not required. the contracting officer mustinclude enoughinformation to permit suppliersto',
7054:'developquotations oroffers. c see 5.102a6 for the requirement to post a brand name justification or documentation required by 13.1061b or',
7055:'13.501. d when publicizing contract actions funded in whole or in part by the american recovery and reinvestment act of',
7056:'2009 pub. l. 1115: 1 notices of proposed contract actions shall follow the procedures in 5.704 for posting orders. 2',
7057:'award noticesshallfollow the proceduresin 5.705. 13.106soliciting competition, evaluation of quotations or offers, award and documentation. 13.1061 soliciting competition. a considerations.',
7058:'in soliciting competition, thecontracting officer shall consider the guidance in 13.104 and the following before requesting quotations or offers: 13.1062',
7059:'1 i the nature of the article or service to be purchased and whether it is highly competitive and readily',
7060:'available in several makes or brands, or is relatively noncompetitive. ii an electronic commerce method that employs widespread electronic public',
7061:'notice is not available; and iii the urgencyof the proposedpurchase. iv the dollar value of the proposed purchase. v past',
7062:'experience concerning specific dealers’ prices. 2 iwhensolicitingquotationsoroffers,thecontractingofficershallnotifypotentialquotersorofferorsofthebasis on which award will be made price alone or price and other factors,',
7063:'e.g., past performance and quality. iicontracting officers are encouraged touse best value. iii solicitationsare not requiredto state the relative importance',
7064:'assigned toeach evaluation factor and subfactor, nor are they required to include subfactors. iv in accordance with 10 u.s.c. 3206c,',
7065:'for dod, nasa, and the coast guard— athe contracting officer may choosenot to include price orcostas an evaluationfactorforaward when a',
7066:'solicitation— 1 has an estimated value above the simplified acquisition threshold; 2 will result in multipleaward contracts see subpart 16.5',
7067:'that are for the same or similar services; and 3 states that the government intends to make an awardto each',
7068:'and all qualifying offerors see 2.101. b if the contracting officer chooses not toinclude priceor cost as an evaluation factor',
7069:'for the contract award, in accordance withparagraph a2iva of this section, the contracting officer shall consider price or costas one',
7070:'of the factors in the selection decision for each order placed under the contract. c the exception in paragraph a2iva',
7071:'of this section shall not apply to solicitations for multipleaward contracts that provide for sole source orders pursuant to section',
7072:'8a of the small business act 15 u.s.c. 637a. v except for dod, contracting officersshallensure the criteriaat 15.1012c15 are met',
7073:'when using the lowest price technically acceptable source selection process. vi except for dod, avoid using the lowest price technically',
7074:'acceptable source selection process to acquire certain supplies and services in accordance with 15.1012d. b soliciting from a single source.',
7075:'1 for purchases not exceeding the simplified acquisition threshold. i contracting officers may solicit from one source if the contracting',
7076:'officerdeterminesthat the circumstances of the contractaction deem only one source reasonably available e.g.,urgency,exclusive licensing agreements, brandname orindustrial mobilization. ii where',
7077:'a single source is identified to provide a portion of a purchase because that portion of the purchase specifies a',
7078:'particular brandname item, the documentation in paragraph b1i of this section only applies to the portion of the purchase requiring',
7079:'the brandname item. the documentation should state it is covering only the portion of the acquisition which is brandname. 2',
7080:'for purchases exceeding the simplified acquisition threshold. the requirements at 13.501a apply to solesource including brandname acquisitions of commercial products',
7081:'and commercial services conducted pursuant to subpart 13.5. 3 see 5.102a6 for the requirement to post the brandname justification or',
7082:'documentation. c soliciting orally. 1 thecontracting officer shall solicit quotations orally tothe maximum extentpracticable, if i the acquisition does not',
7083:'exceed the simplified acquisition threshold; iioral solicitation is more efficient than soliciting through availableelectronic commerce alternatives; and iii notice is',
7084:'not required under 5.101. 2 however, an oral solicitation may not be practicableforcontract actions exceeding $25,000 unless covered by an',
7085:'exception in 5.202. d written solicitations. if obtaining electronic or oralquotations is uneconomical or impracticable, thecontracting officer should issue paper',
7086:'solicitations for contract actionslikely toexceed $25,000. the contracting officershallissue awritten solicitation for construction requirements exceeding $2,000. e use of options.',
7087:'options may be included in solicitations, provided the requirements of subpart 17.2 are met and the aggregate value of the',
7088:'acquisition and all options does not exceed the dollar threshold for use of simplified acquisition procedures. f inquiries. an agency',
7089:'should respond to inquiries received through any medium including electronic commerce if doing sowould not interferewith the efficient conduct of',
7090:'theacquisition. 13.1062 evaluation of quotations or offers. a general. 1 the contracting officer shall evaluate quotations or offers 13.1063 federal',
7091:'acquisition regulation i in an impartial manner; and iiinclusiveof transportation charges from the shipping point of the supplierto thedelivery destination.',
7092:'2 quotations oroffers shall beevaluated on the basis established inthe solicitation. 3 all quotations or offers shall be considered seeparagraph',
7093:'b ofthis subsection. b evaluation procedures.1the contracting officer has broaddiscretionin fashioningsuitable evaluation procedures. the procedures prescribed in parts 14 and',
7094:'15arenotmandatory. atthecontractingofficer’sdiscretion,oneormore,butnot necessarily all, of the evaluation procedures in part 14 or 15 may be used. 2 if telecommutingis not',
7095:'prohibited, agencies shall notunfavorably evaluate an offer because it includes telecommuting unless the contracting officer executes a written determination in',
7096:'accordancewith far 7.108b. 3 if using price and other factors, ensure that quotationsor offers can be evaluated in an efficient',
7097:'and minimally burdensome fashion. formal evaluation plans and establishing a competitive range, conducting discussions, and scoring quotations or offers are',
7098:'not required. contracting offices may conduct comparative evaluations of offers. evaluation of other factors, such as past performance i does',
7099:'not require the creation or existence of a formal data base; and ii may be based on one or more',
7100:'of the following: athe contracting officer’s knowledge of andprevious experience with the supply or servicebeing acquired; b customer surveys, and',
7101:'past performance questionnaire replies; c the contractor performance assessment reporting system cparsat https://www.cpars.gov; or d any other reasonable basis. 4',
7102:'for acquisitions conducted using a method that permits electronic response to the solicitation, the contracting officer may iafter preliminary considerationof',
7103:'all quotations or offers, identify fromallquotations oroffers received one that is suitable to the user, such as the lowestpriced brand',
7104:'name product, and quickly screen all lowerpriced quotations or offers based on readily discernible value indicators, such as past performance,',
7105:'warranty conditions, and maintenance availability; or ii where an evaluation is based only on price and past performance, make an',
7106:'award based on whether the lowest priced of the quotationsor offers having the highest past performance rating possible represents the',
7107:'best value when compared to any lower priced quotation or offer. 13.1063award anddocumentation. a basis for award. before making award,',
7108:'thecontracting officer must determine that the proposed price is fairand reasonable. 1 whenever possible,base pricereasonableness on competitivequotations oroffers. 2 if',
7109:'only one response is received, include a statement of price reasonableness in the contract file. the contracting officer may base',
7110:'the statement on i market research; ii comparison of the proposed price with prices found reasonable on previous purchases; iii',
7111:'current price lists, catalogs, or advertisements. however, inclusion of a price in a pricelist, catalog, or advertisement does not, in',
7112:'and of itself, establish fairness and reasonableness of the price; iv a comparison with similar items in a related industry;',
7113:'v the contractingofficer’s personal knowledgeof the item being purchased; vi comparison to an independent government estimate; or vii any other',
7114:'reasonable basis. 3 occasionally an item can be obtained only from a supplier that quotes a minimum order price or',
7115:'quantity that either unreasonably exceeds stated quantity requirements or results in an unreasonable price for the quantity required. in these',
7116:'instances, the contractingofficer should inform the requiring activity of all facts regarding the quotation or offer andask it to confirm',
7117:'or alter its requirement. the file shall be documented to support the final action taken. b file documentation and retention.',
7118:'keep documentationto a minimum. purchasing offices shall retain data supporting purchases paper or electronic to the minimum extent and duration',
7119:'necessary for management review purposes see subpart 4.8. the followingillustratethe extent to which quotation or offer information should be recorded:',
7120:'1 oral solicitations. the contracting office should establish and maintain records of oral pricequotations in order to reflect clearly the',
7121:'propriety of placing the order at the price paid with the supplier concerned. in most cases, this will consist merely',
7122:'of showing the names of the suppliers contacted and the prices and other terms and conditions quoted by each. 13.1063',
7123:'2 written solicitations see 2.101. for acquisitions not exceeding the simplified acquisition threshold, limit written records of solicitations oroffers to',
7124:'notes orabstractsto show prices, delivery, references to printed pricelists used, the supplier or suppliers contacted, and other pertinent data. 3',
7125:'special situations. include additional statements, when applicable— i explaining the absence of competition see 13.1061 for brand name purchases if',
7126:'only one source is solicited and the acquisition does not exceed the simplified acquisition threshold does not apply to an',
7127:'acquisition of utility services available from only one source; ii supporting the award decision if other than pricerelated factors were',
7128:'considered in selecting the supplier; and iii except for dod, when using lowest price technically acceptable source selection process, justifying',
7129:'the use of such process. c notification. for acquisitions that do not exceed the simplified acquisition threshold and for which',
7130:'automatic notification is not provided through an electronic commerce method that employs widespread electronic public notice, notification to unsuccessful suppliers',
7131:'shall be given only if requested or required by 5.301. d request for information. if a supplier requests information on',
7132:'an award that was based on factors other than price alone, a brief explanation of the basis for the contract',
7133:'award decision shall be provided see 15.503b2. e taxpayer identification number. if an oral solicitation is used,the contracting officershallensure that',
7134:'the copyof the award documentsent to thepayment office is annotated with thecontractor’s taxpayer identification number tin and type of organization',
7135:'see 4.203, unless this information will be obtained from some other source e.g., centralized database. the contracting officershalldiscloseto thecontractor that',
7136:'the tinmay be usedby the government to collect andreport on any delinquent amounts arising out of the contractor’s relationshipwith the',
7137:'government 31 u.s.c. 7701c3. this page intentionally left blank. fac 202501 november 12, 2024 subpart 13.2 actions at or below',
7138:'the micropurchase threshold 13.202 subpart 13.2 actions at or below the micropurchase threshold 13.201general. a agency heads are encouraged to',
7139:'delegate micropurchase authority see 1.6033. b the governmentwide commercial purchase card shall be the preferred method to purchase and to',
7140:'pay for micro purchases see 2.101. c purchases at or below the micropurchase threshold may be conducted using any of',
7141:'the methods described in subpart 13.3, provided the purchaser is authorized and trained, pursuant to agency procedures, to use those',
7142:'methods. d micropurchases do not require provisions or clauses, except as provided at 13.202 and 32.1110. this paragraph takes precedence',
7143:'over any other far requirement to the contrary,but does notprohibit theuse ofany clause. e the requirements in part 8 apply',
7144:'to purchases at or below the micropurchase threshold. f the procurement requirements in 23.1 apply to purchases at or below',
7145:'the micropurchase threshold. g 1foracquisitionsofsuppliesorservicesthat,asdeterminedbytheheadoftheagency,aretobeusedtosupport a contingencyoperation; tofacilitate defense against or recovery from cyber, nuclear, biological, chemical, or radiological attack;',
7146:'to support a request from the secretary of state or the administrator of the united states agency for international development',
7147:'to facilitate provision of international disaster assistance pursuant to 22 u.s.c. 2292 et seq; or to support response to an',
7148:'emergency or major disaster 42 u.s.c. 5122, the micropurchase threshold is— i $20,000 in the case of any contract to',
7149:'be awarded and performed, or purchase to be made, inside the united states; and ii $35,000 in the case of',
7150:'any contract to be awarded and performed, or purchase to be made, outside the united states. 2 purchases using this',
7151:'authority must have a clear and direct relationship to the support of a contingency operation; or the defense againstor recovery',
7152:'fromcyber, nuclear, biological,chemical,or radiological attack;international disaster assistance; or an emergency or major disaster. h when using the governmentwide commercial purchase',
7153:'card as a method of payment, purchases at or below the micro purchase thresholdare exempt fromverification inthe system for award',
7154:'management asto whether the contractor has a delinquent debtsubject to collectionunder thetreasury offset programtop. i do not purchase any hardware,',
7155:'software, or services developed or provided by kaspersky lab that the government will use on or after october 1, 2018.',
7156:'see 4.2002. j 1 on or after august 13, 2019, do not procure or obtain, or extend or renew a',
7157:'contract to procure or obtain, any equipment, system, or service that uses covered telecommunications equipment or services as a substantial',
7158:'or essential component of any system, or as critical technology as part of any system, unless an exception applies or',
7159:'a waiver is granted. see subpart 4.21. 2 on or after august 13, 2020, agencies are prohibited from entering into',
7160:'a contract, or extending or renewing a contract, with an entity that uses any equipment, system, or service that uses',
7161:'covered telecommunications equipment or services as a substantial or essential component of any system, or as critical technology as part',
7162:'of any system, unless an exception applies or a waiver is granted see subpart 4.21. this prohibition applies to the',
7163:'use of covered telecommunications equipment or services, regardless of whether that use is in performance of work under a federal',
7164:'contract. k the prohibition in subpart 4.22onuseofacoveredapplication“tiktok”appliestopurchasesatorbelowthemicropurchase threshold where the performance of the contract may require the presence or use',
7165:'of a covered application, e.g., where social media advertising services might be part of the procurement, unless an exception is',
7166:'granted in accordance with office of management and budget memorandum m2313 see 4.2202. l do not procure or obtain, or',
7167:'extend or renew a contract to procure or obtain, any covered article, or any products or services produced or provided',
7168:'by a source, including contractor use of covered articles or sources, if prohibited from doing so by anapplicable federal acquisition',
7169:'supply chain security act fascsa orderissuedby the director ofnational intelligence, secretary of defense, or secretary of homeland security see 4.2303.',
7170:'m the prohibitions on unmanned aircraft systems e.g., drones in 40.202 apply to purchases at or below the micro purchase',
7171:'threshold. 13.202 unenforceability of unauthorized obligations inmicropurchases. many supplies or services are acquired subject to supplier license agreements. these are',
7172:'particularly common in information technology acquisitions, but they may apply to any supply or service. for example, computer software and',
7173:'services delivered through the internet web services are often subject to license agreements, referred to as end user license federal',
7174:'acquisition regulation agreements eula, terms of service tos, or other similar legal instruments or agreements. many of these agreements contain',
7175:'indemnification clauses that are inconsistent with federal law and unenforceable, but which could create a violation of the antideficiency act',
7176:'31 u.s.c. 1341 if agreed to by the government. the clause at 52.23239, unenforceability of unauthorized obligations, automatically applies to',
7177:'any micropurchase, including those made with the governmentwide purchase card. this clause prevents such violations of the antideficiency act 31',
7178:'u.s.c. 1341. 13.203 purchase guidelines. a solicitation, evaluation of quotations, and award. 1 to the extent practicable, micropurchases shall bedistributed',
7179:'equitably among qualified suppliers. 2 micropurchasesmay be awarded without soliciting competitive quotations if the contractingofficer or individual appointed in accordance',
7180:'with 1.6033b considers the price to be reasonable. 3 the administrative cost of verifyingthe reasonableness of the price for purchases',
7181:'may more thanoffset potential savings from detecting instances of overpricing. therefore, action to verify price reasonableness need only be taken',
7182:'if ithe contracting officer or individual appointed inaccordance with 1.6033b suspects or has information to indicate that the price may',
7183:'not be reasonable e.g., comparison to the previous price paid or personal knowledge of the supply or service; or ii',
7184:'purchasing a supply or service for which no comparable pricing information is readily available e.g.,a supply or service that is',
7185:'not the same as, or is not similar to, other supplies or services that have recently been purchased on a',
7186:'competitive basis. b documentation. ifcompetitive quotations weresolicited and awardwas made tootherthan the low quoter, documentation to support the purchase may',
7187:'be limited to identification of the solicited concerns and an explanation for the award decision. subpart 13.3 simplified acquisition methods',
7188:'13.3022 subpart 13.3 simplified acquisition methods 13.301 governmentwide commercial purchasecard. a except as provided in 32.1108b2, the governmentwide commercial purchase',
7189:'card is authorized for use in making and/or paying for purchases of supplies, services, or construction. the governmentwide commercial purchase',
7190:'card may be usedby contracting officersand otherindividuals designated in accordance with 1.6033. the card may be used only for purchases',
7191:'that are otherwise authorized by law or regulation. b agencies using the governmentwide commercial purchase card shall establish procedures for',
7192:'use and control of the card that comply with the treasuryfinancial manual for guidance of departments andagencies tfm 44500and that',
7193:'are consistent with the terms and conditions of the current gsa credit card contract. agency procedures should not limit the',
7194:'use of the governmentwide commercial purchase card to micropurchases. agency procedures should encourage use of the card in greaterdollaramountsby contracting',
7195:'officersto place orders andto pay for purchases against contracts established under part 8 procedures, when authorized; and to place orders',
7196:'and/or make payment under other contractual instruments, when agreed to bythe contractor. see 32.1110d for instructions for use of the',
7197:'appropriate clause when payment under a written contract will be made through use of the card. c the governmentwide commercial',
7198:'purchase card may be used to 1 make micropurchases; 2 place a task or delivery order if authorized in the',
7199:'basic contract, basic ordering agreement, or blanket purchase agreement; or 3 make payments, when the contractor agrees to accept payment',
7200:'by the card but see 32.1108b2. 13.302 purchase orders. 13.3021 general. a except as provided under the unpriced purchase order',
7201:'method see 13.3022, purchase orders generally are issued on a fixedprice basis. see 12.207 for acquisition of commercial products and',
7202:'commercial services. b purchase orders shall 1 specify the quantity of supplies or scope of services ordered; 2 contain a',
7203:'determinable date by which delivery of the supplies or performance of the services is required; 3 provide for inspection as',
7204:'prescribed in part 46. generally, inspection and acceptance should be at destination. source inspection should be specified only if required',
7205:'by part 46. when inspection and acceptance will be performed at destination, advance copies of the purchase order or equivalent',
7206:'notice shall be furnished to the consignees for material receipt purposes. receiving reports shall be accomplished immediately upon receipt and',
7207:'acceptance of supplies; 4 specify f.o.b. destination for supplies to be delivered within the united states, except alaska or hawaii,',
7208:'unless there are valid reasons to the contrary; and 5 includeany trade and prompt payment discounts that are offered, consistentwith',
7209:'the applicable principles at 14.4083. c thecontracting officer’s signature on purchaseordersshallbe inaccordance with 4.101 and the definitions at 2.101. facsimile',
7210:'and electronic signature may be used in the production of purchase orders by automated methods. d limit the distribution of',
7211:'copies of purchase orders and related forms to the minimum deemed essential for administration and transmission of contractual information. e',
7212:'in accordance with 31 u.s.c.3332, electronic funds transfer eft is required for payments except as provided in 32.1110. see subpart',
7213:'32.11 for instructions for use of the appropriate clause in purchase orders. when obtaining oral quotes, thecontracting officer shall informthe',
7214:'quoterof the eft clause thatwill be in any resulting purchase order. 13.3022unpriced purchaseorders. a an unpriced purchase order is an',
7215:'order for supplies or services, the price of which is not established at the time of issuance of the order.',
7216:'b an unpriced purchase order may be used only when 1 it is impractical to obtain pricing in advance of',
7217:'issuance of the purchase order; and 2 the purchase is for i repairs to equipment requiring disassembly to determine the',
7218:'nature and extent of repairs; ii material available from only one source and for which cost cannot readily be established;',
7219:'or 13.3023 federal acquisition regulation iii supplies or services for which prices are known to be competitive, but exact prices',
7220:'are not known e.g., miscellaneous repair parts, maintenance agreements. c unpriced purchase orders may be issued onpaper orelectronically. arealistic monetary',
7221:'limitation, either for eachline item or for thetotal order, shall be placed on each unpriced purchase order. the monetary limitation',
7222:'shall be anobligation subject to adjustment whenthe firm price is established. thecontracting office shall follow upon each orderto ensure timely',
7223:'pricing. the contracting officer orthe contracting officer’s designated representativeshallreview the invoice price and, if reasonable see 13.1063a, process the invoice',
7224:'for payment. 13.3023obtaining contractor acceptance and modifying purchase orders. a when it is desired to consummate a binding contract between',
7225:'the parties before the contractor undertakes performance, thecontracting officer shall requirewritten see 2.101 acceptance of thepurchase order by thecontractor. b',
7226:'each purchase order modification shall identify the order it modifies and shall contain an appropriate modification number. c a contractor’s',
7227:'written acceptanceof apurchase order modification may berequired only if 1 determined by thecontracting officer tobe necessary to ensure thecontractor’scompliance with',
7228:'the purchase order as revised; or 2 required by agency regulations. 13.3024termination or cancellation of purchaseorders. a if a purchase',
7229:'order that has been accepted inwriting by thecontractor is to be terminated, the contracting officershall process the termination in accordance',
7230:'with 1 12.403 and 52.2124l or m for commercial products and commercial services; or 2 part 49 or 52.2134 for',
7231:'other than commercial products or commercial services. b if a purchase orderthat has not been accepted inwriting by thecontractor is',
7232:'to be canceled, the contractingofficer shall notify the contractorin writingthat thepurchase order has been canceled, request the contractor’s written acceptance',
7233:'of the cancellation, and proceed as follows: 1 if the contractor accepts the cancellation and does not claim that costs',
7234:'were incurred as a result of beginning performanceunder thepurchase order, nofurther action isrequired i.e., the purchase order shall be considered',
7235:'canceled. 2 if the contractor does not accept the cancellation or claims that costs were incurred as a result of',
7236:'beginning performanceunder thepurchase order, the contracting officer shall process the actionas atermination prescribedin paragraph a of this subsection. 13.3025 clauses.',
7237:'a each purchase order and each purchase order modification see 13.3023 shall incorporate all clauses prescribed for the particular acquisition.',
7238:'b the contractingofficer shall insertthe clause at 52.2132, invoices, in purchase orders that authorize advance payments see 31 u.s.c. 3324d2',
7239:'for subscriptions orother charges for newspapers, magazines, periodicals, or other publications i.e., any publication printed, microfilmed, photocopied, or magnetically or',
7240:'otherwise recorded for auditory or visual usage. c thecontracting officer shall insert the clause at 52.2133, notice to supplier, in',
7241:'unpricedpurchase orders. d 1thecontractingofficermayusetheclauseat 52.2134,termsandconditionssimplifiedacquisitionsotherthan commercial products and commercial services;, in simplified acquisitions exceeding the micropurchase threshold that are for',
7242:'other than commercial products or commercial services see 12.301. 2 the clause i is a compilation of the most commonly',
7243:'used clauses that apply to simplified acquisitions; and ii may be modified to fit the individual acquisition to add other',
7244:'needed clauses, or those clauses may be added separately. modifications i.e., additions, deletions, or substitutions must not create a void',
7245:'or internal contradiction in the clause. for example, do not add an inspection and acceptance or termination for convenience requirement',
7246:'unless the existing requirement is deleted. also, do not delete a paragraph without providing for an appropriate substitute. 3 i',
7247:'when an acquisition for supplies for use within the united states cannot be set aside for small business concerns and',
7248:'trade agreements apply see subpart 25.4, substitute the clause at 52.2253,buyamericanfreetradeagreements israeli trade act, used with theappropriate alternate see 25.1101b1,',
7249:'instead of the clause at 52.2251, buy american supplies. subpart 13.3 simplified acquisition methods 13.3033 ii when acquiring supplies for',
7250:'use outside the united states, delete clause 52.2251 from the clause list at 52.2134b. 4 when the senior procurement executive',
7251:'allows for application of an alternate domestic content test for the contract in accordance with 25.101d, so that the initial',
7252:'domestic content threshold will apply to the entire period of performance, thecontracting officer shall fill in the 52.2134b1xviib for 52.2251',
7253:'alternate i as follows: for contracts that the contracting officerestimates will beawarded in calendar year 2022 or2023, the contractingofficer shall',
7254:'insert “60” in paragraph 1iia of the definition of domestic end product. for contracts thatthe contracting officerestimates will be awarded',
7255:'incalendar year 2024,2025, 2026, 2027,or 2028, the contracting officer shall insert “65”. for contractsthat the contracting officerestimates will beawarded after',
7256:'calendar year 2028 the contracting officer shall insert “75”. 13.303 blanketpurchase agreements bpas. 13.3031 general. a a blanket purchase agreement',
7257:'bpa is a simplifiedmethod of fillinganticipated repetitive needs for suppliesor servicesbyestablishing chargeaccounts withqualifiedsourcesofsupplysee subpart 16.7 for additional coverage of agreements.',
7258:'b bpas should be established for use by an organization responsible for providingsupplies for its own operations or for other',
7259:'offices, installations,projects, or functions. such organizations,forexample, may be organized supply points,separate independent or detached field parties, or oneperson posts or',
7260:'activities. c theuse of bpas does not exempt an agency from the responsibility for keeping obligationsandexpenditures within available funds. 13.3032establishment',
7261:'ofbpas. a thefollowing are circumstances under which contracting officersmay establish bpas: 1 there is a wide variety of items in',
7262:'a broad class of supplies or services that are generally purchased, but the exact items, quantities, and delivery requirements are',
7263:'not known in advance and may vary considerably. 2 there is a need to provide commercialsources of supply for one',
7264:'or moreoffices or projects ina given areathat do not have or need authority to purchase otherwise. 3 the use of',
7265:'this procedure would avoid the writing of numerous purchase orders. 4 there is no existing requirements contract for the same',
7266:'supply or service that the contracting activity is required to use. b afterdetermining a bpa would be advantageous, contracting officers',
7267:'shall 1 establish the parameters to limit purchases to individual items or commodity groups or classes, or permit the supplier',
7268:'to furnish unlimited supplies or services; and 2 considersuppliers whose past performance has shown them to be dependable, who offer',
7269:'quality supplies or services at consistently lower prices, and who have provided numerous purchases at or below the simplified acquisition',
7270:'threshold. c bpas may beestablished with 1 more than one supplier for supplies or services of the same type to',
7271:'provide maximum practicable competition; 2 a single firm from which numerous individual purchases at or below the simplified acquisition threshold',
7272:'will likely be made in a given period; or 3 federal supply schedule contractors, if not inconsistent with the terms',
7273:'of the applicable schedule contract. d bpas should be prepared withouta purchase requisition and only after contacting suppliers to make',
7274:'the necessary arrangements for 1 securing maximum discounts; 2 documenting individual purchase transactions; 3 periodic billings; and 4 incorporating other',
7275:'necessary details. 13.3033preparation of bpas. prepare bpas on theforms specified in 13.307. do not cite accounting and appropriation data see',
7276:'13.3035e4. a the following terms and conditions are mandatory: 13.3034 federal acquisition regulation 1 description of agreement. a statement that',
7277:'the supplier shall furnish supplies or services, described in general terms, if and when requestedby the contracting officerorthe authorized representative',
7278:'of thecontracting officer during a specified period and withina stipulated aggregate amount,if any. 2 extent of obligation. a statement that',
7279:'the government is obligated only to the extent of authorized purchases actually made under the bpa. 3 purchase limitation. a',
7280:'statement that specifies the dollar limitation for each individual purchase under the bpa see 13.3035b. 4 individuals authorized to purchase',
7281:'under the bpa. a statement that a list of individuals authorized to purchase underthe bpa, identified either by title of',
7282:'position or by name ofindividual, organizational component, and thedollar limitation perpurchase for eachposition title or individualshallbe furnished to the supplierby',
7283:'the contracting officer. 5 delivery tickets. a requirement that all shipments under the agreement, except those for newspapers, magazines, or',
7284:'other periodicals, shall be accompanied by delivery tickets or sales slips that shall contain the following minimum information: iname of',
7285:'supplier. iibpa number. iii date of purchase. iv purchasenumber. v itemized list of supplies or services furnished. vi quantity, unit',
7286:'price, and extension of each item, less applicablediscounts unit prices and extensions need not be shown when incompatible with the',
7287:'use of automated systems, provided that the invoice is itemized to show this information. vii date of delivery or shipment.',
7288:'6 invoices. one of the following statements shall be included except that the statement in paragraph a6iii of this subsection',
7289:'should not be used if the accumulation of the individual invoices by the government materially increases the administrative costs of',
7290:'this purchase method: iasummary invoice shall besubmitted atleast monthly or upon expiration ofthisbpa, whichever occurs first, for all deliveries made',
7291:'during a billing period, identifying the delivery tickets covered therein, stating their total dollar value, and supported by receipt copies',
7292:'of the delivery tickets. iian itemizedinvoice shall be submitted at least monthly or upon expirationof this bpa, whicheveroccurs first, for',
7293:'all deliveries made during a billing period and for which payment has not been received. these invoices need not be',
7294:'supported by copies of delivery tickets. iii when billingprocedures provide for an individual invoiceforeach delivery, these invoices shall be accumulated,',
7295:'provided that a a consolidated payment will be made for each specified period; and b the period of any discounts',
7296:'will commence on the final date of the billing period or on the date of receipt of invoices for all',
7297:'deliveriesaccepted during the billing period, whichever is later. iv an invoice for subscriptions or other charges for newspapers, magazines, or',
7298:'other periodicals shall show the startingand ending dates and shall state eitherthat ordered subscriptions have been placed in effect or',
7299:'will be placed in effect upon receipt of payment. b if the fast payment procedure is used, include the requirements',
7300:'stated in 13.403. 13.3034 clauses. a thecontracting officer shall insert in eachbpa the clausesprescribed elsewhere in this partthat arerequired for',
7301:'or applicable to the particularbpa. b unless a clause prescription specifies otherwise e.g., see 22.305a, 22.605a5, or 22.1006, if the',
7302:'prescription includes a dollar threshold, the amount to be compared to that threshold is that of any particular order under',
7303:'the bpa. 13.3035purchasesunder bpas. a use a bpa onlyforpurchases that are otherwise authorized bylawor regulation. b individual purchases shall notexceed',
7304:'the simplified acquisition threshold. however,agency regulations may establish a higher threshold consistent with the following: 1 the simplified acquisition threshold',
7305:'and the $7.5 million limitation for individual purchases $15 million for purchases entered into under the authority of 12.102f1 do',
7306:'notapply to bpas established in accordance with 13.3032c 3. subpart 13.3 simplified acquisition methods 13.3051 2 the limitation for individual',
7307:'purchases for commercial products and commercial services acquisitions conducted under subpart 13.5 is $7.5 million $15 million for acquisitions as',
7308:'described in 13.500c. c theexistence of a bpa does not justifypurchasing fromonlyonesource or avoiding small business setasides. the requirements of',
7309:'13.003b and subpart 19.5alsoapplytoeachorder. d if, for a particular purchase greater than the micropurchasethreshold, there is an insufficientnumber of bpas',
7310:'to ensure maximum practicable competition, the contracting officershall 1 solicit quotations from other sources see 13.105 and make the purchase',
7311:'as appropriate; and 2 establish additional bpas to facilitate future purchasesif i recurring requirements for the same or similar supplies',
7312:'or services seem likely; iiqualified sources are willing to accept bpas; and iii it is otherwise practical to do so.',
7313:'e limit documentation of purchases to essential information and forms as follows: 1 purchases generally should be made electronically, or',
7314:'orally whenitis not consideredeconomical or practical to use electronic methods. 2 a paper purchase document may be issued if necessary',
7315:'to ensure that the supplier and the purchaser agree concerning the transaction. 3 unless a paper document is issued, record',
7316:'essential elements e.g., date, supplier, supplies or services, price, delivery date on the purchase requisition, in an informal memorandum, or',
7317:'on a form developed locally for the purpose. 4 cite the pertinent purchase requisitions and the accounting and appropriation data.',
7318:'5 when delivery is made or theservices are performed, the supplier’ssales document, delivery document, or invoice may if it reflects',
7319:'the essential elements be used for the purpose of recording receipt and acceptance of the supplies or services. however, if',
7320:'thepurchase is assigned to another activity for administration, the authorized government representative shall document receipt and acceptance of supplies or',
7321:'services by signing and dating the agency specified form after verification and after notation of any exceptions. 13.3036review procedures. a',
7322:'thecontracting officer placing orders under a bpa, or the designated representative ofthe contracting officer, shall review a sufficient random sample',
7323:'of the bpa files atleast annually to ensure that authorized procedures are being followed. b the contractingofficer that entered into',
7324:'the bpa shall 1 ensure that each bpa isreviewedat leastannually and, if necessary,updated at that time; and 2 maintain awareness',
7325:'ofchangesin market conditions, sources ofsupply, and other pertinent factors thatmay warrant making new arrangementswith different suppliers or modifying existing arrangements.',
7326:'c if an officeother thanthe purchasing office that established a bpa is authorizedto make purchases under that bpa,the agency that',
7327:'has jurisdiction over the office authorized tomake the purchases shall ensurethat theprocedures in paragraph a of this subsection are being',
7328:'followed. 13.3037completion of bpas. an individual bpa is considered complete when the purchases underitequalits total dollar limitation, ifany, or whenits',
7329:'stated time period expires. 13.3038 optional clause. the clause at 52.2134, terms and conditionssimplifiedacquisitions other than commercialproducts and commercial services;,',
7330:'may be used in bpas established under this section. 13.304[reserved] 13.305 imprestfundsand third party drafts. 13.3051 general. imprest funds and',
7331:'third party drafts may be used to acquire and to pay for supplies or services. policies and regulations concerning the',
7332:'establishment of and accounting for imprest funds and third party drafts, including the responsibilities of designated cashiers and alternates, are',
7333:'contained in partivof the treasury financial manual for guidance of departments and agencies,title7 of the gao policy and proceduresmanual for',
7334:'guidanceof federal agencies, and the agency 13.3052 federal acquisition regulation implementing regulations. agencies also shall be guided by the manual',
7335:'of procedures and instructions for cashiers, issued by the financial management service, department of the treasury. 13.3052agency responsibilities. each agency',
7336:'using imprest funds and third party drafts shall a periodically review and determine whether there is a continuing need for',
7337:'each fund or third party draft account established, and that amounts of those funds or accounts are not in excess',
7338:'of actual needs; b takeprompt action to have imprest funds or thirdparty draft accountsadjusted to a levelcommensurate with demonstrated needs',
7339:'whenever circumstances warrant such action; and c develop and issue appropriate implementing regulations. these regulations shall include but are not',
7340:'limited to procedures covering 1 designation of personnel authorized to make purchases using imprest funds or third party drafts; and',
7341:'2 documentation of purchases using imprest funds or third party drafts, including documentation of i receipt and acceptance of supplies',
7342:'and services by the government; ii receipt of cash or third party draft payments by the suppliers; and iii cash',
7343:'advances and reimbursements. 13.3053 conditions for use. imprest funds or third party drafts may be used for purchases when a',
7344:'the imprest fund transaction does not exceed $500 or such other limits as have been approved by the agency head;',
7345:'b the third party draft transaction does not exceed $2,500, unless authorized at a higher level in accordance with treasury',
7346:'restrictions; c the use of imprest funds or third party drafts is considered to be advantageous to the government; and',
7347:'d the use of imprest funds or third party drafts for the transaction otherwise complies with any additional conditions established',
7348:'by agencies and with the policies and regulations referenced in 13.3051. 13.3054procedures. a each purchase using imprest funds or third',
7349:'party drafts shall be based upon an authorized purchase requisition, contracting officerverification statement, or otheragency approved methodof ensuring that adequatefundsare',
7350:'available for the purchase. b normally,purchases should be placed orally and without soliciting competition if prices are consideredreasonable. c since',
7351:'there is, for all practical purposes, simultaneous placement of the order and delivery of the items, clauses are not required',
7352:'for purchases using imprest funds or third party drafts. d forms prescribed at 13.307e may be used if a written',
7353:'order is considered necessary e.g., if required by the supplier for discount, tax exemption, or other reasons. if a purchase',
7354:'order is used, endorse it payment to be made from imprest fund or payment to be made from third party',
7355:'draft, as appropriate. e the individual authorized to make purchases using imprest funds or third party drafts shall 1 furnish',
7356:'to the imprest fund or third party draft cashier a copy of the document required under paragraph a of this',
7357:'subsection annotated to reflect i that an imprest fund or third party draft purchase has been made; ii the unit',
7358:'prices and extensions; and iii the supplier’s name and address;and 2 require the supplier to include with delivery of the',
7359:'supplies an invoice, packing slip, or other sales instrument giving ithe supplier’snameand address; ii list and quantity of items supplied;',
7360:'iii unit prices and extensions; and iv cashdiscount, if any. 13.306 sf 44, purchase orderinvoicevoucher. the sf 44, purchase orderinvoicevoucher,',
7361:'is a multipurpose pocketsize purchase orderform designed primarily for onthespot, overthecounter purchases of supplies and nonpersonal services whileaway from the',
7362:'purchasingoffice or at isolated activities. it also canbe usedas a receiving report, invoice, and public voucher. subpart 13.3 simplified acquisition',
7363:'methods 13.307 a this form may be used if all of the following conditions are satisfied: 1 the amount of',
7364:'the purchase is at or below the micropurchase threshold, except for purchases made under unusual and compellingurgency or in support',
7365:'of contingency operations. agencies may establish higherdollarlimitations for specific activities or items. 2 the supplies or services are immediately available.',
7366:'3 one delivery and one payment will be made. 4 its use is determinedto bemoreeconomical and efficientthan useof other simplified',
7367:'acquisition procedures. b general procedural instructionsgoverning theform’s use are printed on theform and onthe inside front cover of each book',
7368:'of forms. c since there is, for all practical purposes, simultaneous placement of the order and delivery of the items,',
7369:'clauses are not required for purchases using this form. d agencies shall provide adequate safeguards regarding the control of forms',
7370:'and accounting for purchases. 13.307forms. a commercial products and commercial services. for use of the sf 1449, solicitation/contract/order for commercial',
7371:'products and commercial services, see 12.204. b other than commercial products and commercial services. 1 except when quotations are solicited',
7372:'electronically or orally,the sf 1449; sf 18, request for quotations; or an agency form/automated format may be used. each agency',
7373:'request for quotations form/automated format should conform with the sf 18 or sf 1449 to the maximum extent practicable. 2',
7374:'both sf 1449 and of 347, order for supplies or services, are multipurpose forms used for negotiated purchases of supplies',
7375:'or services, delivery or task orders, inspection and receiving reports, and invoices. an agency form/automated format also may be used.',
7376:'c forms used for both commercial and other than commercial products and commercial services. 1 of 336, continuation sheet, or',
7377:'an agency form/automated format may be used when additional space is needed. 2 of 348, order for supplies or services',
7378:'schedulecontinuation, or an agency form/automated format may be used for negotiated purchases when additional space is needed. agencies may print',
7379:'on these forms the clauses considered to be generally suitable for purchases. 3 sf 30, amendment of solicitation/modification of contract,',
7380:'or a purchase order form may be used to modify a purchase order, unless an agency form/automated format isprescribed in',
7381:'agency regulations. d sf 44,purchase orderinvoicevoucher, is a multipurpose pocketsize purchase order form that may be used as outlined in',
7382:'13.306. e sf 1165, receipt for cashsubvoucher,or an agency purchaseorder form may be used for purchases using imprest funds or',
7383:'third party drafts. this page intentionally left blank. 13.38 subpart 13.4 fast payment procedure 13.404 subpart 13.4 fast payment procedure',
7384:'13.401general. a thefastpayment procedure allows paymentunder limitedconditions to acontractor priorto the government’s verification that supplies have been received and accepted.',
7385:'the procedure provides for payment for supplies based on the contractor’s submission of an invoice that constitutesa certification that the',
7386:'contractor 1 has delivered the supplies to apost office, common carrier, or point offirstreceipt by the government;and 2 shall replace,',
7387:'repair, orcorrect supplies not received at destination, damaged in transit, ornot conforming to purchase agreements. b the contractingofficer shall be',
7388:'primarily responsible for determining the amount of debts resulting from failure of contractors to properly replace, repair,or correct supplies lost,',
7389:'damaged,or not conforming to purchase requirements see 32.602 and 32.603. 13.402conditions for use. if the conditions in paragraphs a through',
7390:'f of this section are present, the fast payment procedure may be used, provided that use of the procedure is',
7391:'consistent with the other conditions of the purchase. the conditions for use of the fast payment procedure are as follows:',
7392:'a individual purchasing instruments do not exceed $35,000, except that executive agencies may permit higher dollar limitations for specified activities',
7393:'or items on a casebycase basis. b deliveries of supplies are to occur at locations where there is both a',
7394:'geographical separation and a lack of adequate communications facilities between government receiving and disbursing activities that will make it impractical',
7395:'to make timely payment based on evidence of government acceptance. c titleto thesupplies passes to the government 1 upon delivery',
7396:'to a post office or commoncarrierformailingor shipment todestination; or 2 upon receipt by the government if the shipment isby means',
7397:'other than postal service or commoncarrier. d the supplier agrees to replace, repair, or correct suppliesnot received at destination, damagedin',
7398:'transit, or not conforming to purchase requirements. e thepurchasing instrument is a firmfixedprice contract,a purchase order, or a delivery order',
7399:'for supplies. f a system is in place to ensure 1 documentation of evidence of contractor performance under fast payment',
7400:'purchases; 2 timely feedbackto the contracting officer in case of contractor deficiencies; and 3 identification of suppliers that have a',
7401:'current history of abusing the fast payment procedure also see subpart 9.1. 13.403 preparationand execution of orders. pricedor unpriced contracts,',
7402:'purchase orders, or bpasusing the fast payment procedure shall includethe following: a a requirement that the supplies be shipped transportation',
7403:'or postage prepaid. b a requirement that invoices be submitteddirectlyto thefinance orotheroffice designated in the order, or in the case',
7404:'of unpriced purchase orders, to the contracting officer see 13.3022c. c thefollowing statement on theconsignee’s copy: consignee’s notification topurchasingactivity of',
7405:'nonreceipt, damage, or nonconformance the consignee shall notify the purchasingoffice promptly after the specified dateof delivery of supplies not received,',
7406:'damaged in transit, or not conformingto specificationsof the purchase order. unless extenuatingcircumstances exist, the notificationshouldbe made not later than 60',
7407:'days after thespecified date of delivery. 13.404contract clause. the contractingofficer shall insertthe clause at 52.2131, fast payment procedure, in solicitations',
7408:'and contracts when the conditions in 13.402 are applicable and it is intended that the fast payment procedure be used',
7409:'in the contract in the case of bpas,the contracting officermay elect to insert the clause either in the bpaor in',
7410:'orders under the bpa. this page intentionally left blank. 13.42 subpart 13.5 simplified procedures for certain commercial products and commercial',
7411:'services 13.501 subpart 13.5 simplified procedures for certain commercial products and commercial services 13.500general. a this subpart authorizes the use',
7412:'of simplified procedures for the acquisition of supplies and services in amounts greater than the simplified acquisition threshold but not',
7413:'exceeding $7.5 million $15 million for acquisitions as described in 13.500c, including options, if thecontracting officer reasonably expects, based on',
7414:'the natureof the supplies or services sought, and on market research, thatoffers will include only commercial products or commercial services.',
7415:'contracting officers may use any simplified acquisition procedure inthispart, subject to any specificdollarlimitation applicableto the particular procedure. thepurpose of these',
7416:'simplifiedprocedures is to vestcontracting officers with additional procedural discretion and flexibility, so that commercial acquisitions in this dollar range may',
7417:'be solicited, offered,evaluated, and awarded ina simplifiedmanner that maximizes efficiency and economy and minimizes burden and administrative costs for both',
7418:'the government and industry 10 u.s.c. 32053208 and chapter 241 and 41 u.s.c.3305, 3306, and chapter 37, awarding of contracts.',
7419:'b when acquiring commercial products or commercial services using the procedures in this part, the requirements of part 12 apply',
7420:'subject to the order of precedence provided at 12.102c. this includes use of the provisions and clauses in subpart 12.3.',
7421:'c under 41 u.s.c. 1903, the simplified acquisition procedures authorized in this subpart may be used for acquisitions that do',
7422:'not exceed $15 million when 1 the acquisition is for commercial products or commercial services that, as determinedby the head',
7423:'ofthe agency, areto beused insupport ofa contingency operation; to facilitate the defense against or recovery from cyber, nuclear, biological, chemical,',
7424:'or radiological attack; to support a request from the secretary of state or the administrator of the united states agency',
7425:'for international development to facilitate provision of international disaster assistance; or to support response to an emergency or major disaster,',
7426:'or 2 the acquisition will be treated as an acquisition of commercial products or commercial services in accordance with 12.102f1.',
7427:'13.501 special documentation requirements. a sole source including brand name acquisitions. 1 acquisitions conducted under simplified acquisition procedures are exempt',
7428:'from the requirements in part 6.however,contractingofficersmust i conduct sole source acquisitions, as defined in 2.101, including brand name under this',
7429:'subpart only if the need to do so is justified in writing and approved at the levels specified in paragraph',
7430:'a2 of this section; ii prepare sole source including brand name justifications using the format at 6.3032, modified to reflect',
7431:'that the proceduresinfar subpart 13.5 were used in accordance with 41 u.s.c.1901 or the authority of 41 u.s.c. 1903; iii',
7432:'make publicly available the justifications excluding brand name required by 6.305a within 14 days after contract award or in thecaseof',
7433:'unusual and compelling urgency within 30 days after contract award, in accordance with 6.305 procedures at paragraphs b, d, e,',
7434:'and f; and iv make publicly available brand name justifications with the solicitation, in accordance with 5.102a6. 2 justifications and',
7435:'approvals are required under this subpart for solesource including brandname acquisitions or portions of an acquisition requiring a brandname. if',
7436:'the justification is to cover only the portion of the acquisition which is brandname, then it should so state; the',
7437:'approval level requirements will then only apply to that portion. i for a proposed contract exceeding the simplified acquisition threshold,',
7438:'but not exceeding $750,000, the contracting officer’s certification thatthe justification is accurateand completeto thebestof the contractingofficer’s knowledge and belief will',
7439:'serve as approval, unless a higher approval level is established in accordance with agency procedures. ii for a proposed contract',
7440:'exceeding $750,000 or the thresholds in paragraph 1 of the definition of simplified acquisition threshold in 2.101, but not exceeding',
7441:'$15 million, the advocate for competition for the procuring activity, designated pursuant to 6.501;or an official described in 6.304a3 or',
7442:'a4 must approve the justification and approval. this authority is not delegable. iii for a proposed contract exceeding $15 million',
7443:'but not exceeding $75 million or, for dod, nasa, and the coast guard, not exceeding $100 million, theheadof the procuring',
7444:'activity orthe officialdescribed in 6.304a3 or a4 must approve the justification and approval. this authority is not delegable. federal acquisition',
7445:'regulation iv for aproposed contractexceeding $75 million or, for dod, nasa, and the coast guard, $100 million, the official describedin',
7446:'6.304a4 must approve the justification and approval. this authority is not delegable except as provided in 6.304a4. b contract file',
7447:'documentation. the contract file must include 1 a brief written description of the procedures used in awarding the contract, including',
7448:'the fact that the procedures in far subpart 13.5 were used; 2 the numberof offers received; 3 an explanation, tailored',
7449:'to the size and complexity of the acquisition, of the basis for the contract award decision; and 4 any justification',
7450:'approved under paragraph a of this section. part 14 sealed bidding sec. 14.000 scope of part. subpart 14.1 use of',
7451:'sealed bidding 14.101 elements of sealed bidding. 14.102 [reserved] 14.103 policy. 14.1031 general. 14.1032 limitations. 14.104 types of contracts. 14.105',
7452:'solicitations for informational or planning purposes. subpart 14.2 solicitation of bids 14.201 preparation of invitations for bids. 14.2011 uniform contract',
7453:'format. 14.2012 part i—the schedule. 14.2013 partiicontract clauses. 14.2014 partiiidocuments, exhibits, and other attachments. 14.2015 partivrepresentations and instructions. 14.2016 solicitation',
7454:'provisions. 14.2017 contract clauses. 14.2018 price related factors. 14.2019 simplified contract format. 14.202 general rules for solicitation of bids. 14.2021',
7455:'bidding time. 14.2022 [reserved] 14.2023 bid envelopes. 14.2024 bid samples. 14.2025 descriptive literature. 14.2026 final review of invitations for bids.',
7456:'14.2027 facsimile bids. 14.2028 electronic bids. 14.203 methods of soliciting bids. 14.2031 transmittaltoprospectivebidders. 14.2032 dissemination of information concerning invitations for',
7457:'bids. 14.2033 master solicitation. 14.204 records of invitations for bids and records of bids. 14.205 presolicitation notices. 14.206 [reserved] 14.207',
7458:'prebid conference. 14.208 amendment of invitation for bids. 14.209 cancellation of invitations before opening. 14.210 qualified products. 14.211 release of',
7459:'acquisition information. 14.212 economic purchase quantities supplies. subpart 14.3 submission of bids 14.301 responsiveness of bids. 14.302 bid submission. 14.303',
7460:'modification or withdrawal of bids. 14.304 submission, modification, and withdrawal of bids. subpart 14.4 opening of bids and award of',
7461:'contract 14.400 scope of subpart. 14.401 receipt and safeguarding of bids. 14.402 opening of bids. 14.4021 unclassified bids. 14.4022 classified',
7462:'bids. 14.4023 postponement of openings. 14.403 recording of bids. 14.404 rejection of bids. 14.4041 cancellation of invitations after opening. 14.4042',
7463:'rejection of individual bids. 14.4043 notice to bidders of rejection of all bids. 14.4044 restrictions on disclosure of descriptive literature.',
7464:'14.4045 all or none qualifications. 14.405 minor informalities or irregularities in bids. 14.406 receipt of an unreadable electronic bid. 14.407',
7465:'mistakes in bids. 14.4071 general. 14.4072 apparent clerical mistakes. 14.4073 other mistakes disclosed before award. 14.4074 mistakes after award. 14.408',
7466:'award. 14.4081 general. 14.4082 responsible bidderreasonableness of price. 14.4083 prompt payment discounts. 14.4084 economic price adjustment. 14.4085 [reserved] 14.4086 equal',
7467:'low bids. 14.4087 documentation of award. 14.4088 protests against award. 14.409 information to bidders. 14.4091 award of unclassified contracts. 14.4092',
7468:'award of classified contracts. subpart14.5 twostep sealed bidding 14.501 general. 14.502 conditions for use. 14.503 procedures. 14.5031 step one. 14.5032',
7469:'step two. this page intentionally left blank. subpart 14.1 use of sealed bidding 14.105 14.000scope of part. this part prescribes',
7470:'a the basic requirements of contracting for supplies and services including construction by sealed bidding; b the information to be',
7471:'included in the solicitation invitation for bids; c procedures concerning the submission of bids; d requirements for opening and evaluating',
7472:'bids and awarding contracts; and e procedures for twostep sealed bidding. subpart 14.1 use of sealed bidding 14.101elements of sealed',
7473:'bidding. sealed bidding is a method of contracting that employs competitive bids, public opening of bids, and awards. the following',
7474:'steps are involved: a preparation of invitations for bids.invitations must describe the requirements ofthe government clearly, accurately, and completely. unnecessarily',
7475:'restrictive specificationsor requirements that might unduly limit thenumber of bidders are prohibited. the invitation includes all documents whether attached or',
7476:'incorporated by reference furnished prospective bidders for the purpose of bidding. b publicizing the invitation for bids. invitations must be',
7477:'publicized through distribution to prospective bidders, posting in public places,and such other meansas may be appropriate. publicizing must occura sufficient',
7478:'time before public opening of bids to enable prospective bidders to prepare and submit bids. c submission of bids. bidders',
7479:'must submit sealed bids to be opened at the time and place stated in the solicitation for the public opening',
7480:'of bids. d evaluation of bids. bids shall be evaluated without discussions. e contract award. after bids are publicly opened,',
7481:'an award will be made with reasonable promptness to that responsible bidder whose bid, conforming to the invitation for bids,',
7482:'will be most advantageous to the government, considering only price and the pricerelated factors included in the invitation. 14.102[reserved] 14.103',
7483:'policy. 14.1031 general. a sealed bidding shall be used whenever the conditions in 6.401a are met. this requirement applies to',
7484:'any proposed contract action under part 6. b sealed bidding may be used for classified acquisitions if its use does',
7485:'not violate agency security requirements. c the policy for pricing modifications of sealed bid contract appears in 15.4034a1iii. 14.1032 limitations.',
7486:'no awards shall be made as a result of sealed bidding unless a bids have been solicited as required by',
7487:'subpart 14.2; b bids have been submitted as required by subpart 14.3; c the requirements of 1.6021b and part 6',
7488:'have been met; and d an award is made to the responsible bidder see 9.1 whose bid is responsive to',
7489:'the terms of the invitation for bids and is most advantageous to the government, considering only price and the price',
7490:'related factors included in the invitation, as provided in subpart 14.4. 14.104 typesof contracts. firmfixedprice contracts shall be used when',
7491:'the method of contracting is sealed bidding, except that fixedprice contracts with economic price adjustment clauses may be used if',
7492:'authorized in accordance with 16.203 when some flexibility is necessaryandfeasible. such clausesmust afford all bidders anequalopportunity to bid. 14.105solicitations for',
7493:'informational or planning purposes. see 15.201e. this page intentionally left blank. 14.12 subpart 14.2 solicitation of bids 14.2011 subpart 14.2',
7494:'solicitation of bids 14.201 preparationof invitations forbids. 14.2011 uniform contract format. a contracting officers shall prepare invitations for bids and',
7495:'contracts using the uniform contract format outlined in table141 to the maximum practicable extent. the useof the format facilitates preparation',
7496:'of the solicitation and contract as well as reference to, and use of, those documents by bidders and contractors. it',
7497:'need not be used for acquisition of the following: 1 construction see part 36. 2 shipbuilding including design, construction, and',
7498:'conversion,ship overhaul, and ship repair. 3 subsistence items. 4 supplies or services requiring special contract forms prescribed elsewhere in this',
7499:'regulation that are inconsistent with the uniform contract format. 5 firmfixedprice or fixedprice with economic price adjustment acquisitions that use',
7500:'the simplified contract format see 14.2019. b information suitable for inclusion in invitations for bids under the uniform contract format',
7501:'shall also be included in invitations for bids not subject to that format if applicable. c solicitations to which the',
7502:'uniform contract format applies shall include partsi, ii, iii, and iv. if any section of the uniform contract format does',
7503:'notapply, the contracting officer should so mark that section in the solicitation. upon award, thecontracting officer shall not physically include',
7504:'partiv inthe resulting contract, but shall retain it in the contract file. see 14.201c. award by acceptance of a bid',
7505:'on the award portion of standard form 33, solicitation, offer and award sf 33, standard form 26, award/contract sf 26,',
7506:'or standard form 1447, solicitation/contract sf 1447, incorporates section k, representations, certifications, and other statements of bidders, in the resultant',
7507:'contract even though not physically attached. the representations and certifications shall be incorporated by reference in the contract by using',
7508:'52.20419 see 4.1202b or for acquisitions of commercial products and commercial services see 52.2124v. table 141 uniformcontractformat section title partithe',
7509:'schedule a solicitation/contract form b supplies or services and prices c description/specifications d packaging and marking e inspection and acceptance',
7510:'f deliveries or performance g contract administration data h special contract requirements partiicontract clauses i contract clauses partiiilist of documents,',
7511:'exhibits, and otherattachments j list of documents, exhibits, and other attachments partivrepresentations and instructions k representations, certifications, and other statements',
7512:'of bidders l instructions, conditions, and notices to bidders 14.2012 federal acquisition regulation section title m evaluation factors for award',
7513:'14.2012 part i—the schedule. the contractingofficer shall prepare the schedule as follows: a section a, solicitation/contract form. 1 prepare the',
7514:'invitation for bids on sf 33, unless otherwise permitted by this regulation. the sf 33 is the first page of',
7515:'the solicitation and includes section a of the uniform contract format. when the sf 1447 is used as the solicitation',
7516:'document, the information in subdivisions a2i and a2iv of this subsection shall be inserted in block9 of the sf 1447.',
7517:'2 when the sf 33 or sf 1447 is not used, include the following on the first page of the',
7518:'invitation for bids: iname, address, and location ofissuing activity, includingroom and building where bids must be submitted. iiinvitation for bids',
7519:'number. iii date of issuance. iv time specified for receipt of bids. v number of pages. vi requisition or other',
7520:'purchase authority. vii requirement for bidderto provide its name and complete address, includingstreet, city,county,state,and zip code. viii a statement that',
7521:'bidders should include in the bid the address to which payment should be mailed, if that address is different from',
7522:'that ofthe bidder. b section b, supplies or services and prices. include a brief description of the supplies or services;',
7523:'e.g., line item number, national stock number/part number if applicable,title or name identifying the supplies or services, andquantities see part',
7524:'11. the sf 33 and the sf 1447 may be supplemented as necessary by the optionalform336 of 336, continuation sheet.',
7525:'c section c, description/specifications. include any description or specifications needed in addition to section b to permit full and open',
7526:'competition see part 11. d section d, packaging and marking. provide packaging,packing, preservation, and marking requirements,if any. e section e,',
7527:'inspection and acceptance. include inspection, acceptance, quality assurance, and reliability requirements see part 46, quality assurance. f section f, deliveries',
7528:'or performance. specify the requirements for time, place, and method of delivery or performance see subpart 11.4, delivery or performance',
7529:'schedules. g section g, contract administration data. include any required accounting and appropriation data and any required contract administration information',
7530:'or instructions other than those on the solicitation form. h section h, special contract requirements. include a clear statement of',
7531:'any special contract requirements that are not included in section i, contract clauses, or in other sections of the uniform',
7532:'contract format. 14.2013 partiicontract clauses. section i, contract clauses. the contracting officershallinclude in this section the clauses requiredby law or',
7533:'by this regulation and any additional clauses expected to apply to any resulting contract, if these clauses are not required',
7534:'to be included in any other section of the uniform contract format. 14.2014 partiiidocuments, exhibits, and other attachments. section j,',
7535:'list of documents, exhibits, and other attachments. the contracting officer shall list the title, date, andnumber of pages for each',
7536:'attached document. 14.2015partivrepresentations and instructions. the contractingofficer shall prepare the representations andinstructions as follows: a section k, representations, certifications, and',
7537:'other statements of bidders. include in this section those solicitation provisions that require representations, certifications, or the submission of other',
7538:'information by bidders. b section l, instructions, conditions, and notices to bidders. insert in this section solicitation provisions and other',
7539:'information and instructions not required elsewhere to guide bidders. invitations shall include the time and place for bid subpart 14.2',
7540:'solicitation of bids 14.2016 openings, and shall advise bidders that bids will be evaluated without discussions see 52.21410 and, for',
7541:'construction contracts, 52.21419. c section m, evaluation factors for award. identify the price related factors other than the bid price',
7542:'that will be considered in evaluating bids and awarding the contract. see 14.2018. 14.2016solicitation provisions. a theprovisionsprescribed in this subsection',
7543:'apply topreparation andsubmission of bids in general. see other far parts for provisions and clauses related to specific acquisition requirements.',
7544:'b insert in all invitations for bids the provisions at 1 52.2143, amendments to invitations for bids; and 2 52.2144,',
7545:'false statements in bids. c insert the following provisions in invitations for bids: 1 52.2145, submission of bids. 2 52.2146,',
7546:'explanation to prospective bidders. 3 52.2147, late submissions, modifications,andwithdrawals of bids. d [reserved] e insert in all invitations for bids,',
7547:'except those for construction, the provisions at 52.21410, contract awardsealed bidding. f insert in invitations for bids to which the',
7548:'uniform contract format applies, the provision at 52.21412, preparation of bids. g [reserved] h insert the provision at 52.21414, place',
7549:'of performancesealed bidding, in invitations for bids except those in which the place of performance is specified by the government.',
7550:'i insert the provision at 52.21415, period for acceptance of bids, in invitations for bids ifb’s that are not issued',
7551:'on sf 33 or sf 1447 except ifb’s 1 for construction work; or 2 in which the government specifies a',
7552:'minimum acceptance period. j insert the provision at 52.21416, minimum bid acceptance period, in invitations for bids, except for construction,',
7553:'if thecontracting officer determines thata minimum acceptanceperiod must be specified. k [reserved] l insert the provision at 52.21418, preparation of',
7554:'bidsconstruction, in invitations for bids for construction work. m insert the provision at 52.21419, contract awardsealed biddingconstruction, in all invitations',
7555:'for bidsfor construction work. n [reserved] o 1 insert the provision at 52.21420, bid samples, in invitations for bids if',
7556:'bid samples are required. 2 if it appears that the conditions in 14.2024e1 will apply and thecontracting officer anticipatesgranting waivers',
7557:'and i if the nature of the required product does not necessitate limiting the grant of a waiver to a',
7558:'product produced at the same plant in which the product previously acquired or tested was produced, use the provision with',
7559:'its alternate i; or ii if the nature of the required product necessitates limiting the grant of a waiver to',
7560:'a product produced at the same plant in which the product previously acquired or tested was produced, use the provision',
7561:'with its alternate ii. 3 see 14.2024e2 regarding waiving the requirement for all bidders. p 1 insert the provision at',
7562:'52.21421, descriptive literature, in invitations for bids if idescriptive literature is required to evaluate the technical acceptability of an offered',
7563:'product; and ii the required information will not be readily available unless it is submitted by bidders. 2 use the',
7564:'basic clausewith its alternate i if the possibility exists that the contracting officermay waive the requirement for furnishing descriptive literature',
7565:'for a bidder offering a previouslysuppliedproduct that meets specification requirements of the current solicitation. 3 see 14.2025d2 regarding waiving the',
7566:'requirement for all bidders. q insert the provision at 52.21422, evaluation of bids for multiple awards, in invitations for bidsif',
7567:'the contracting officer determines that multiple awards might be made if doingso is economically advantageous tothe government. r insert the',
7568:'provision at 52.21423, late submissions, modifications,revisions,and withdrawalsof technical proposals under twostepsealed bidding, in solicitations for technical proposals insteponeof twostep sealed',
7569:'bidding. 14.2017 federal acquisition regulation s insert the provision at 52.21424, multipletechnicalproposals, in solicitations for technical proposals instep oneof twostep',
7570:'sealed bidding if the contracting officer permits the submission of multiple technicalproposals. t insert the provision at 52.21425, steptwo oftwostep',
7571:'sealed bidding, in invitationsforbids issued under steptwo of twostep sealed bidding. u [reserved] v insert the provision at 52.21431, facsimile',
7572:'bids, in solicitations if facsimile bids are authorized see 14.2027. w insert the provision at 52.21434, submission ofoffers in the',
7573:'english language, insolicitationsthat include any of the clauses prescribed in 25.1101 or 25.1102. it may be included inother solicitations when',
7574:'the contracting officerdecides that it is necessary. x insert the provision at 52.21435, submission of offers in u.s. currency, insolicitationsthat',
7575:'include any of the clauses prescribed in 25.1101 or 25.1102,unlessthe contracting officer includes the clause at 52.22517, evaluation of foreign',
7576:'currency offers, as prescribed in 25.1103d. it may be included in other solicitations when thecontracting officer decides that it is',
7577:'necessary. 14.2017 contract clauses. a when contracting by sealed bidding, the contracting officer shall insert theclause at 52.21426, audit and',
7578:'records sealed bidding, in solicitations and contracts as follows: 1 use the basic clause if i the acquisition will not',
7579:'use funds appropriated or otherwise made available by the american recovery and reinvestmentactof 2009 pub. l. 1115; and ii the',
7580:'contract amount is expected to exceed the threshold at 15.4034a1 for submission of certified cost or pricing data. 2 i',
7581:'if the acquisition will use funds appropriated or otherwise made available by the american recovery and reinvestment act of 2009,',
7582:'use the clause with its alternate i in all solicitations and contracts. ii a in the case of a bilateral',
7583:'contract modification that will use funds appropriated or otherwise made available by the american recoveryand reinvestment act of 2009, the',
7584:'contractingofficer shall specify applicability of alternate i to that modification. b in the case of a task or deliveryorder contract',
7585:'in which not all orders will use funds appropriated or otherwisemade available by the american recovery and reinvestment act of',
7586:'2009, the contracting officer shall specifythe task or delivery orders to which alternate i applies. b 1whencontractingbysealedbidding,thecontractingofficershallinserttheclauseat 52.21427, price reduction',
7587:'for defective certified cost or pricing datamodificationssealed bidding, in solicitations and contracts if the contract amount is expected to exceed',
7588:'the threshold for submission of certified cost or pricing data at 15.4034a1. 2 in exceptional cases, the head of the',
7589:'contracting activity may waive the requirement for inclusion of the clause in a contract with a foreign government or agency',
7590:'of that government. the authorizations for the waiver and the reasons for granting it shall be in writing. c 1',
7591:'when contracting by sealed bidding, the contracting officer shall— i insert the clause at 52.21428, subcontractor certified cost or pricing',
7592:'data—modifications—sealed bidding, in solicitations and contracts if the contract amount is expected to exceed the threshold for submission of certified',
7593:'cost or pricing data at 15.4034a1; or ii upon request of a contractor in connection with a prime contract entered',
7594:'into before july 1, 2018, the contracting officer shall modify the contract without requiring consideration to replace clause 52.21428, subcontractor',
7595:'certified cost or pricing data—modifications—sealed bidding, with its alternate i. 2 in exceptional cases, the head of the contracting activity',
7596:'may waive the requirement for inclusion of the clause in a contract with a foreign government or agency of that',
7597:'government. the authorizations for the waiver and the reasons for granting it shall be in writing. d when contracting by',
7598:'sealed bidding the contracting officer shall insert the clause at 52.21429, order of precedence sealed bidding, in solicitations and contracts',
7599:'to which the uniform contract format applies. 14.2018price related factors. the factors set forth in paragraphs a through e of',
7600:'this subsection may be applicable in evaluation of bids for award and shall be included in the solicitation when applicable.',
7601:'see 14.2015c. subpart 14.2 solicitation of bids 14.2021 a foreseeable costs or delays to the government resulting from such factors',
7602:'as differences ininspection, locations of supplies, and transportation. if bids are on an f.o.b. origin basis see 47.303 and 47.305,',
7603:'transportation costs to the designated points shall be considered in determining the lowest cost to the government. b changes made,or',
7604:'requested by the bidder, in any of the provisions of theinvitation for bids, ifthe changedoes not constitute a ground for',
7605:'rejection under 14.404. c advantages or disadvantages to the government that might result from making more than one award see',
7606:'14.2016q. the contractingofficer shall assume,forthe purposeof making multipleawards, that $500 would be the administrative cost to the government for issuing',
7607:'and administering each contract awarded under a solicitation. individual awards shall be for the items or combinations of items that',
7608:'result in the lowest aggregate cost to the government, including the assumed administrative costs. d federal, state, and local taxes',
7609:'see part 29. e origin of supplies, and, if foreign, the application of the buy american statute or any other',
7610:'prohibition on foreign purchases see part 25. 14.2019 simplified contract format. policy. for firmfixedprice or fixedprice with economic price adjustment',
7611:'acquisitions of supplies and services, the contracting officermay usethe simplified contract format inlieu of the uniform contract formatsee 14.2011. the',
7612:'contracting officerhas flexibility in preparation and organization ofthe simplified contract format. however, the following format should be used to the',
7613:'maximum practical extent: a solicitation/contract form. standard form sf 1447, solicitation/contract, shall be used as the first page of the',
7614:'solicitation. b contract schedule. include the following for each line item: 1 line item number. 2 description ofsupplies orservices, ordata',
7615:'sufficient to identify therequirement. 3 quantity and unit of issue. 4 unit price and amount. 5 packaging and marking requirements.',
7616:'6 inspection and acceptance, quality assurance, and reliability requirements. 7 place of delivery, performance and deliverydates, period of performance, andf.o.b.',
7617:'point. 8 other itempeculiar information as necessary e.g., individual fund citations. c clauses. include the clauses required by this regulation.',
7618:'additional clauses shall be incorporated only when considered absolutely necessary to the particular acquisition. d list of documents and attachments.',
7619:'include if necessary. e representations and instructions 1 representations and certifications. insert those solicitation provisions that require representations, certifications, or',
7620:'the submission of other information by offerors. 2 instructions, conditions, and notices. include the solicitation provisions required by 14.2016. include',
7621:'any other information/instructionsnecessary toguide offerors. 3 evaluation factors for award. insert all evaluation factors and any significant subfactors for award.',
7622:'4 upon award, the contracting officer need not physically include the provisionsin paragraphs e1,2, and3of this subsectionin theresulting contract, but',
7623:'shall retain them in the contract file. awardby acceptance ofa bidon the award portion of sf 1447 incorporates the representations,',
7624:'certifications, and other statements of bidders in the resultant contract even though not physically attached. 14.202general rules for solicitation of',
7625:'bids. 14.2021 bidding time. a policy. a reasonable time for prospective bidders to prepare and submit bids shall be allowed',
7626:'in all invitations, consistent with the needs of the government. for construction contracts, see 36.2133a. a bidding time i.e., the',
7627:'time between issuance of the solicitation and opening of bids of at least 30 calendar days shall be provided, when',
7628:'synopsis is required by subpart 5.2. b factors to be considered. because of unduly limited bidding time, some potential sources',
7629:'may be precluded from bidding andothers may be forced toinclude amounts for contingencies that, with additional time, could beeliminated. to',
7630:'14.2022 federal acquisition regulation avoid unduly restricting competition or paying higherthannecessary prices, consideration shall be given to such factors as',
7631:'the following in establishing a reasonable bidding time: 1 degree ofurgency; 2 complexity of requirement; 3 anticipated extent of subcontracting;',
7632:'4 whether use was made of presolicitation notices; 5 geographic distribution of bidders; and 6 normal transmittal time for both',
7633:'invitations and bids. 14.2022 [reserved] 14.2023 bid envelopes. a postage or envelopes bearing postage and fees paid indicia shall not',
7634:'be distributed with the invitation for bids or otherwise supplied to prospective bidders. b to provide for ready identification and',
7635:'properhandling of bids, optional form 17, offer label, may be furnished with each bid set. the form may be obtained',
7636:'from the general services administration see 53.107. 14.2024 bid samples. a policy. 1 bidders shall not be required to furnish',
7637:'bid samples unless there are characteristics of the product that cannot be described adequately in the specification or purchase description.',
7638:'2 bid samples will be used only to determine the responsiveness of the bid and will not be used to',
7639:'determine a bidder’s ability to produce the required items. 3 bid samples may be examined for any required characteristic, whether',
7640:'or not such characteristic is adequately described in the specification, if listed in accordance with paragraph d1ii of this section.',
7641:'4 bids will be rejected as nonresponsive if the sample fails to conform to each of the characteristics listed in',
7642:'the invitation. b when to use. the use of bid samples would be appropriate for products that must be suitable',
7643:'from the standpoint of balance, facilityof use, general feel, color, pattern, or other characteristicsthat cannot be described adequately in the',
7644:'specification. however,when more than aminor portion of thecharacteristics of the product cannot be adequately described in the specification, products should',
7645:'be acquired by twostep sealed bidding or negotiation, as appropriate. c justification. the reasons why acceptable products cannot be acquired',
7646:'without the submission of bid samples shall be set forth in the contract file,exceptwhere the submission is requiredby the formal',
7647:'specifications federal, military, or other applicable to the acquisition. d requirements for samples in invitations for bids. 1 invitations for',
7648:'bids shall i state the number and, if appropriate, the size of the samples to be submitted and otherwise fully',
7649:'describe the samples required; and ii list all the characteristics for which the samples will be examined. 2 if bid',
7650:'samples are required, see 14.2016o. e waiver of requirement for bid samples. 1 the requirement for furnishing bid samples may',
7651:'be waived when a bidder offers a product previously or currently being contractedforor tested by the government andfound to comply',
7652:'with specification requirements conforming in every material respect with those in the current invitation for bids. when the requirement may',
7653:'be waived, see 14.2016o2. 2 where samples required by a federal, military, orother formal specification arenot considered necessary and a',
7654:'waiver of the sample requirements of the specification has been authorized, a statement shall be included in the invitation that',
7655:'notwithstanding the requirements of the specification, samples will not be required. f unsolicited samples. bid samples furnished with a bid',
7656:'that are not required by the invitation generally will not be consideredas qualifying the bidand will be disregarded. however, thebid',
7657:'sample willnot be disregardedif it isclear from thebid or accompanying papersthat the bidder’s intention was toqualify the bid. see 14.4042d',
7658:'if the qualification does not conform to the solicitation. g handling bid samples. 1 samples that are not destroyed in',
7659:'testing shall be returned to bidders at their request and expense, unless otherwise specified in the invitation. 2 disposition instructions',
7660:'shall be requestedfrom bidders and samples disposed of accordingly. subpart 14.2 solicitation of bids 14.2027 3 samples ordinarily will be',
7661:'returned collect to the address from which received if disposition instructions are not received within 30 days. small items may',
7662:'be returned by mail, postage prepaid. 4 samples that are to be retained for inspection purposes in connection with deliveries',
7663:'shall be transmitted to the inspecting activity concerned, with instructions to retain the sample until completion of the contract or',
7664:'until disposition instructions are furnished. 5 where samples are consumed or their usefulness is impaired by tests, they will be',
7665:'disposed of as scrap unless the bidder requests their return. 14.2025descriptiveliterature. a policy.contracting officers must not requirebiddersto furnish descriptive literature',
7666:'unless it is needed before award to determine whether the products offeredmeet thespecificationand to establish exactly what thebidder proposes to',
7667:'furnish. b justification. the contracting officer mustdocument in the contract file the reasons why product acceptability cannot be determined without',
7668:'the submission of descriptive literature, except when the contract specifications require submission. c requirements of invitation for bids. 1 the',
7669:'invitation must clearly state i what descriptive literature the bidders must furnish; ii the purpose for requiring the literature; iii',
7670:'the extent of its consideration in the evaluation of bids; and iv the rules that will apply if a bidder',
7671:'fails to furnish the literature before bid opening or if the literature provided does not comply with the requirements of',
7672:'the invitation. 2 if bidders must furnish descriptive literature, see 14.2016p. d waiver of requirement for descriptive literature. 1 thecontracting',
7673:'officer may waive the requirement for descriptive literature if ithe bidder states inthe bid that the product beingoffered isthe same',
7674:'as a product previouslyor currently being furnished to the contracting activity; and iithe contracting officer determines that the productoffered bythe',
7675:'biddercomplies with the specification requirementsof the current invitation for bids. when the contractingofficer waives the requirement, see 14.2016p2. 2 when',
7676:'descriptive literature is not necessary and a waiver of literature requirements of a specification has been authorized, thecontracting officer must',
7677:'includea statement inthe invitation that, despite the requirements of the specifications, descriptive literature will not be required. 3 if the',
7678:'solicitationprovides for a waiver, abidder may submit abid on the basis of either the descriptive literature furnished with the bid',
7679:'or a previously furnished product. if the bid is submitted on one basis, the bidder may not have it considered',
7680:'on the other basis after bids are opened. e unsolicited descriptive literature. if descriptive literature is furnished when it is',
7681:'not required by the invitation for bids, the procedures set forth in 14.2024f must be followed. 14.2026final review ofinvitations for',
7682:'bids. each invitation for bids shall be thoroughly reviewed before issuance to detect and correct discrepancies or ambiguities that couldlimit',
7683:'competition or result in the receipt of nonresponsive bids. contracting officers are responsible for the reviews. 14.2027 facsimile bids. a',
7684:'unless prohibited or otherwise restricted by agency procedures, contracting officers may authorize facsimile bids see 14.2016v. indeterminingwhetheror not to authorize',
7685:'facsimile bids, the contracting officer shall consider factorssuch as 1 anticipated bid size and volume; 2 urgency of the requirement;',
7686:'3 frequency of price changes; 4 availability, reliability,speed, and capacity of thereceiving facsimile equipment; and 5 adequacy of administrative procedures',
7687:'and controls for receiving, identifying, recording, and safeguarding facsimile bids, and ensuring their timely delivery to the bids opening location.',
7688:'b if facsimile bids are authorized, contractingofficers may, after thedate set for bid opening, request the apparently successful offeror to',
7689:'providethe complete, original signed bid. 14.2028 federal acquisition regulation 14.2028electronic bids. in accordance with subpart 4.5,contractingofficersmayauthorizeuseofelectroniccommerceforsubmissionofbids. if electronic bids are',
7690:'authorized, the solicitation shall specify the electronic commerce methods that bidders may use. 14.203methods of soliciting bids. 14.2031transmittal to prospective',
7691:'bidders. invitations for bids or presolicitation notices must be provided in accordance with 5.102. when acontracting office is located in',
7692:'the united states, any solicitation sent to a prospective bidder located outside the united states shall be sent by electronic',
7693:'data interchange or air mail if security classification permits. 14.2032 dissemination of information concerning invitations for bids. procedures concerning display',
7694:'of invitations for bids in a public place, information releases to newspapers and trade journals, paid advertisements, and synopsizing through',
7695:'the governmentwide point of entry gpe are set forth in 5.101 and subpart 5.2. 14.2033 master solicitation. the master solicitation',
7696:'is provided to potential sources who are requested to retain it for continued and repetitive use. individual solicitations must reference',
7697:'the date of the current master solicitation and identify any changes. the contracting officer must a make available copies of',
7698:'the master solicitation on request; and b provide the cognizant contract administration activity a current copy of the master solicitation.',
7699:'14.204 records ofinvitations for bids andrecords of bids. a eachcontracting office shall retain a record of each invitation thatitissues and',
7700:'each abstract orrecord of bids. contracting officersshallreview and utilizethe information available in connection withsubsequentacquisitions of the same or similar items.',
7701:'b the file for each invitation shall show the distribution that was made and the date the invitation was issued.',
7702:'the names and addresses of prospective bidders who requested the invitation and were not included on the original solicitation list',
7703:'shall be added to the list and made a part of the record. 14.205 presolicitationnotices. in lieu of initially forwarding',
7704:'completebid sets, the contracting officer may send presolicitation notices to concerns. the notice shall a specify the final date for',
7705:'receipt of requests for a complete bid set; b briefly describe the requirement and furnish other essential information to enable',
7706:'concerns to determine whether they have an interest in the invitation; and c normally notinclude drawings, plans, and specifications. the',
7707:'return date of the notice must besufficiently inadvance of the mailing date of the invitation for bids to permit an',
7708:'accurate estimate of the number of bid sets required. bid sets shall be sent to concerns that request them in',
7709:'response to the notice. 14.206[reserved] 14.207 prebidconference. a prebid conference may be used, generally in a complex acquisition, as a',
7710:'means of briefing prospective bidders and explaining complicated specifications and requirements to them as early as possible after the invitation',
7711:'has been issued and before the bids are opened. it shall never be used as a substitute for amending a',
7712:'defective or ambiguous invitation. the conference shall be conducted in accordance with the procedure prescribed in 15.201. 14.208amendment of invitation',
7713:'for bids. a if it becomes necessary to make changes in quantity,specifications, delivery schedules, opening dates,etc., or to correct a',
7714:'defective or ambiguous invitation, such changes shall be accomplished by amendment of the invitation for bids using standard form 30,',
7715:'amendment of solicitation/ modification of contract. the fact that a change was mentioned at a subpart 14.2 solicitation of bids',
7716:'14.212 prebid conference does not relieve the necessity for issuing an amendment. amendments shall be sent, before the time for',
7717:'bid opening, to everyone to whom invitations have been furnished and shall be displayed in the bid room. b before',
7718:'amendingan invitation for bids, the contracting officer shall consider the period oftime remaininguntil bid opening and the need to extend',
7719:'this period. c any information given to a prospective bidder concerning an invitation for bids shall be furnished promptly to',
7720:'all other prospective bidders as an amendment to the invitation 1 if such information is necessary for bidders to submit',
7721:'bids or 2 if the lack of such information would be prejudicial to uninformed bidders. the information shall be furnished',
7722:'even though a prebid conference is held. no award shall be made on theinvitation unless such amendment has been issued',
7723:'in sufficient time to permit all prospective bidders to consider such information in submitting or modifying their bids. 14.209 cancellationof',
7724:'invitationsbefore opening. a thecancellation ofan invitation for bidsusually involves aloss of time, effort, and money spent by the government and',
7725:'bidders. invitations should not be cancelled unless cancellation is clearly in the public interest; e.g., 1 where there is no',
7726:'longer a requirement for the supplies or services; or 2 where amendments to the invitation would be of such magnitude',
7727:'that a new invitation is desirable. b when an invitation issued other than electronically is cancelled, bids that have been',
7728:'received shall be returned unopened to the bidders and notice of cancellation shall be sent to all prospective bidders to',
7729:'whom invitations were issued. when an invitation issued electronicallyis cancelled, a general notice ofcancellation shall be posted electronically, thebids received',
7730:'shall not be viewed,andthe bids shall be purged fromprimary and backup data storage systems. c thenotice of cancellation shall1 identify',
7731:'the invitation for bids bynumber and short title or subject matter, 2 briefly explain the reason the invitation is being',
7732:'cancelled, and 3 where appropriate, assure prospective bidders that they will be given an opportunity to bid on any resolicitation',
7733:'of bids or any future requirements for the type of supplies or services involved. cancellations shall be recorded in accordance',
7734:'with 14.403d. 14.210 qualified products. see subpart 9.2. 14.211release of acquisition information. a before solicitation. information concerning proposed acquisitions shall',
7735:'not be released outside the government before solicitation except for presolicitation notices in accordance with 14.205 or 36.2132, or longrange',
7736:'acquisition estimates in accordance with 5.404, or synopses in accordance with 5.201. within the government, such information shall be restricted',
7737:'to those having a legitimate interest. releases of information shall be made 1to all prospective bidders, and 2as nearly as',
7738:'possible at the same time, sothat one prospective bidder shall not be given unfairadvantage over another. see 3.104 regarding requirements',
7739:'for proprietary and source selection information including access to and disclosure thereof. b after solicitation. discussions with prospective bidders regarding',
7740:'a solicitation shall be conducted and technical or other information shall be transmittedonlyby the contracting officeror superiors havingcontractual authority or',
7741:'by others specifically authorized. such personnel shall not furnish any information to a prospective bidder that alone or together with',
7742:'other information may afford an advantageover others. however, general information that wouldnot be prejudicial to other prospective bidders may be',
7743:'furnished upon request; e.g., explanation of a particular contract clause or a particular condition of the schedule in the invitation',
7744:'for bids, and more specific information or clarifications may be furnished by amending the solicitation see 14.208. 14.212 economic purchasequantities',
7745:'supplies. contractingofficersshallcomplywiththeeconomicpurchasequantityplanningrequirementsforsuppliesin subpart 7.2. see 7.203 for instructions regarding use of the provision at 52.2074, economic purchase quantitysupplies, and 7.204',
7746:'for guidance on handling responses to that provision. this page intentionally left blank. 14.210 subpart 14.3 submission of bids 14.304',
7747:'subpart 14.3 submission of bids 14.301responsiveness of bids. a to be considered for award, a bid must comply in all',
7748:'material respects with the invitation for bids. such compliance enables bidders to stand on an equal footing and maintain the',
7749:'integrity of the sealed bidding system. b facsimile bids shall not be considered unless permitted by the solicitation see 14.2027.',
7750:'c bids should be filled out, executed, and submitted in accordance with the instructions in the invitation. if a bidder',
7751:'uses its own bid form or a letter to submit a bid, the bid may be considered only if 1',
7752:'the bidder accepts all the terms and conditions of the invitation; and 2 award on the bid would result in',
7753:'a binding contract with terms and conditions that do not varyfrom the termsand conditions of the invitation. d bids submitted',
7754:'by electronic commerce shall be considered only if the electronic commerce method was specifically stipulated or permitted by the solicitation.',
7755:'14.302bid submission. bidsshallbe submitted so that they will bereceived in the office designatedin theinvitation for bids not later than the',
7756:'exact time set for opening of bids. 14.303modification or withdrawal of bids. a bids may be modified or withdrawn by',
7757:'any method authorized by the solicitation, if notice is received inthe office designated in the solicitation not later than the',
7758:'exact time set for opening of bids. if the solicitation authorizes facsimile bids, bids may be modified or withdrawn via',
7759:'facsimile received at any time before the exact time set for receipt of bids, subject to the conditions specified in',
7760:'the provision prescribed in 14.2016v. modifications received by facsimile shall be sealed in an envelope bya properofficial. 1 the official',
7761:'shall– iwrite onthe envelope– a the date and time of receipt and by whom; and b the number of invitation',
7762:'for bids; and ii sign the envelope. 2 no information contained in the envelope shall be disclosed before the time',
7763:'set for bid opening. b a bid may be withdrawn in person by a bidder or its authorized representative if,',
7764:'before the exact time set for opening of bids, the identity of the persons requesting withdrawal is established and that',
7765:'person signs a receipt for the bid. c upon withdrawal of an electronically transmitted bid, the data received shall not',
7766:'beviewed and shall be purged from primary and backup data storage systems. 14.304submission, modification, and withdrawal of bids. a bidders',
7767:'are responsible for submitting bids, and any modifications or withdrawals, so as to reach the government officedesignated in the invitation',
7768:'for bidifb bythe time specified inthe ifb. they may use any transmission method authorized by the ifb i.e.,regular mail, electronic',
7769:'commerce, or facsimile. if no time is specified in the ifb, the time for receipt is4:30p.m., local time, for the',
7770:'designatedgovernment office on the date that bids are due. b 1anybid,modification,orwithdrawalofabidreceivedatthegovernmentofficedesignatedintheifbafterthe exact time specified for receipt of bids is late',
7771:'and will not be considered unless it is received before award is made, the contracting officerdeterminesthat accepting the late bid',
7772:'would not unduly delay theacquisition; and i if it was transmitted through an electronic commerce method authorized by the ifb,',
7773:'it was received at the initial point of entry to the government infrastructure not later than 5:00 p.m. oneworking day',
7774:'prior to the date specified for receipt of bids; or ii there is acceptable evidence to establish that it was',
7775:'received at the government installation designated for receipt ofbids and wasunder thegovernment’s control prior to the time set for receipt',
7776:'of bids. 2 however, a late modification of an otherwisesuccessfulbid, that makes its terms more favorable tothe government, will be',
7777:'considered at any time it is received and may be accepted. c acceptable evidence to establish the time of receipt',
7778:'at the government installation includes the time/date stamp of that installation on the bidwrapper, other documentary evidence of receipt maintained',
7779:'by the installation, or oral testimonyor statements of government personnel. federal acquisition regulation d if an emergency orunanticipated event interrupts',
7780:'normal governmentprocesses so that bidscannot be received at the government officedesignated for receiptof bidsby the exacttime specified in theifb, and',
7781:'urgent government requirements preclude amendment of the bid opening date, the time specified for receipt of bids will be deemed',
7782:'to be extended to the same time of day specified in the ifb on the first work day on which',
7783:'normal government processes resume. e bids may be withdrawn by written notice received at any time before the exact time',
7784:'set for receipt of bids. if the ifb authorizes facsimile bids, bids may be withdrawn via facsimile received at any',
7785:'time before the exact time set for receipt of bids, subject to the conditions specified in the provision at 52.21431,',
7786:'facsimile bids. a bid may be withdrawn in person by a bidder or its authorized representative if, before the exact',
7787:'time set for receipt of bids, the identity of the person requesting withdrawal is established and the person signs a',
7788:'receipt for the bid. upon withdrawal of an electronically transmitted bid, the datareceived must not beviewed and, where practicable,must be',
7789:'purged from primaryand backup data storage systems. f the contracting officer mustpromptly notifyanybidder if its bid, modification, orwithdrawal was received',
7790:'late,and must inform the bidder whether its bid will be considered, unless contract award is imminent and the notices prescribed',
7791:'in 14.409 would suffice. g late bids and modifications that are not considered must be held unopened, unless opened for',
7792:'identification, until after award and thenretained with other unsuccessfulbids. however,any bid bond or guarantee must be returned. h if available,',
7793:'the following must be included in the contract files for each late bid, modification, or withdrawal: 1 the date and',
7794:'hour of receipt. 2 a statement, with supporting rationale, regarding whether the bid was considered for award. 3 the envelope,wrapper,',
7795:'or other evidence of the dateof receipt. subpart 14.4 opening of bids and award of contract 14.4023 subpart 14.4 opening',
7796:'of bids and award of contract 14.400scope of subpart. this subpart contains procedures for the receipt, handling, opening, and disposition',
7797:'of bids including mistakes in bids, and subsequent award of contracts. 14.401receipt and safeguarding of bids. a all bids including',
7798:'modifications received before the time set for the opening of bids shall be kept secure. except as provided in paragraph',
7799:'b of this section, the bids shall not be opened or viewed, and shall remain in a locked bid box,',
7800:'a safe, or in a secured, restrictedaccess electronic bid box. if an invitation for bids is cancelled, bids shall be',
7801:'returned to the bidders. necessary precautions shall be taken to ensure the security of the bid box or safe. before',
7802:'bid opening, information concerning the identity and number of bids received shall be made available only to government employees. such',
7803:'disclosure shall beonly ona need to know basis. when bid samples are submitted, theyshallbe handled with sufficient care to prevent',
7804:'disclosure of characteristics before bid opening. b envelopes marked as bids but not identifying the bidder or the solicitation may',
7805:'be opened solely for the purpose of identification, andthen onlyby an official designatedforthis purpose. if a sealed bid isopened by',
7806:'mistake e.g., because it is not marked as being a bid, the envelopeshallbe signed by the opener, whoseposition shall alsobe',
7807:'writtenthereon, and deliveredto the designatedofficial. this official shall immediately write on theenvelope 1anexplanation of the opening, 2 thedate and time',
7808:'opened, and 3 theinvitation for bids number, and shall signthe envelope. the official shall then immediately reseal the envelope. 14.402opening',
7809:'of bids. 14.4021 unclassified bids. a thebid opening officer shall decide when the timeset for opening bids hasarrived and shall',
7810:'inform those presentof that decision. the officer shall then 1 personally and publicly openall bids received before that time, 2if',
7811:'practical, read the bids aloud to the persons present, and 3 have the bids recorded. the original of each bid',
7812:'shall be carefully safeguarded, particularly until the abstract of bids required by 14.403 has been made and its accuracy verified.',
7813:'b performance of the procedure in paragraph a of this section may be delegated to an assistant, but the bid',
7814:'opening officer remainsfully responsible for the actions of theassistant. c examination of bids by interested persons shall be permitted if',
7815:'it does not interfere unduly with the conduct of government business. original bids shall not be allowed topass out of',
7816:'the hands of a government official unless a duplicate bid is not available for public inspection. the original bid may',
7817:'be examined by the public only under the immediate supervision of a government officialand under conditions thatpreclude possibility of a',
7818:'substitution, addition, deletion, or alteration in the bid. 14.4022 classified bids. the general public may not attend bid openings for',
7819:'classified acquisitions. a bidder or its representative may attend and recordthe results if the individual has the appropriate security clearance.',
7820:'the contractingofficer also may make the bids available at a later time to properly cleared individuals who represent bidders. no',
7821:'public record shall be made of bids or bid prices received in response to classified invitations for bids. 14.4023 postponement',
7822:'of openings. a a bid opening may be postponed even after the time scheduled for bid opening but otherwise in',
7823:'accordance with 14.208 when 1 the contractingofficer hasreason to believe that thebids of an important segmentof bidders have been delayedin',
7824:'the mails, or in the communications system specified for transmission of bids, for causes beyond their control and without their',
7825:'fault or negligence e.g., flood, fire, accident, weather conditions, strikes, or government equipment blackout or malfunction when bids are due;',
7826:'or 2 emergencyor unanticipated events interrupt normalgovernmental processes so thatthe conductof bid opening as scheduled is impractical. federal acquisition regulation',
7827:'b at the time of a determination to postpone a bid opening under paragraph a1 of this section, an announcement',
7828:'of the determination shall be publicly posted. if practical before issuance of a formal amendment of the invitation, the determination',
7829:'shall be otherwise communicated to prospective bidders who are likely to attend the scheduled bid opening. c inthe case of',
7830:'paragraph a2of this section, and whenurgent government requirements precludeamendment of the solicitation as prescribed in 14.208, the time specified for',
7831:'opening of bids will be deemed to be extended to the same time of day specified in the solicitation on',
7832:'the first work day on which normal government processes resume. in such cases, the time of actual bid opening shall',
7833:'be deemed to be the time set for bid opening for the purpose of determining late bids under 14.304. a',
7834:'note should be made on the abstract of bids or otherwise added to the file explaining the circumstances of the',
7835:'postponement. 14.403recording of bids. a standard form 1409, abstract of offers, or optional form 1419, abstract of offersconstruction or automated',
7836:'equivalent, shall becompleted and certified as to its accuracy by thebid opening officer as soonafter bid opening as practicable. where',
7837:'bid items are too numerous to warrant complete recording of all bids, abstract entries for individual bids may be limited',
7838:'to item numbers and bid prices. in preparing these forms, the extra columns and sf 1410, abstract ofoffers continuation, and',
7839:'of 1419a, abstract ofofferconstruction, continuationsheet, may be used to label and record such information as the contracting activity deems necessary.',
7840:'b abstracts ofoffers for unclassifiedacquisitions shall beavailableforpublicinspection. such abstracts shall not contain information regarding failure tomeet minimumstandards of responsibility, apparent',
7841:'collusion ofbidders, orothernotations properly exempt from disclosure to the public in accordance with agency regulations implementing subpart 24.2. c theforms',
7842:'identifiedin paragraph a of this section need not be used by the defense energy support centerfor acquisitions of coal or',
7843:'petroleum products or by the defense supply center philadelphia for perishable subsistence items. d if an invitation for bids is',
7844:'canceled before the time set for bid opening, this fact shall be recorded together with a statement of the number',
7845:'of bids invited and the number of bids received. 14.404rejection of bids. 14.4041 cancellation of invitations after opening. a 1',
7846:'preservation of the integrity of the competitive bid system dictates that, after bids have been opened, award must be made',
7847:'to that responsible bidder who submitted the lowest responsive bid, unless there is a compelling reason to reject all bids',
7848:'and cancel the invitation. 2 every effort shall be madeto anticipate changes in arequirementbefore thedate of opening andto notify all',
7849:'prospective bidders of any resulting modification or cancellation. this will permit bidders to change their bids and prevent unnecessary exposure',
7850:'of bid prices. 3 as a general rule, after the opening of bids, an invitation should not be cancelled and',
7851:'resolicited due solely to increased requirements for the items beingacquired. award should be made on the initial invitationforbids and the',
7852:'additional quantity should be treated as a new acquisition. b when it is determined before award but after opening that',
7853:'the requirements of 11.201 relating to the availability and identification of specifications have not been met, the invitation shall be',
7854:'cancelled. c invitations may be cancelled and all bids rejected before award but after opening when, consistent with subparagraph a1',
7855:'of this section, the agency head determines in writing that 1 inadequate or ambiguous specifications were cited in the invitation;',
7856:'2 specifications have been revised; 3 the supplies or services being contracted for are no longer required; 4 the invitation',
7857:'did not provide for consideration of all factors of cost to the government, such as cost of transporting governmentfurnished property',
7858:'to bidders’ plants; 5 bidsreceived indicate that theneeds of the government can besatisfied by aless expensive articlediffering from that for',
7859:'which the bids were invited; 6 all otherwise acceptable bids received are at unreasonable prices, or only one bid is',
7860:'received and the contracting officer cannot determinethe reasonableness ofthe bid price; 7 the bids were not independently arrived at in',
7861:'open competition, were collusive, or were submitted in bad faith see subpart 3.3 for reports to be made to the',
7862:'department of justice; 8 no responsive bid has been received from a responsible bidder; subpart 14.4 opening of bids and',
7863:'award of contract 14.4042 9 a cost comparison as prescribed in omb circulara76 and subpart 7.3 shows that performance by',
7864:'the government is more economical; or 10 for other reasons, cancellation is clearly inthe public’sinterest. d should administrative difficulties be',
7865:'encountered after bid openingthat may delay awardbeyond bidders’ acceptance periods, the several lowest bidders whose bids have not expired irrespective',
7866:'of the acceptance period specified in the bid should be requested, before expiration of their bids, to extend in writing',
7867:'the bid acceptance period with consent of sureties, if any in order to avoid the need for resoliciting. e under',
7868:'some circumstances, completion of the acquisition after cancellation of the invitation for bids may be appropriate. 1 if the invitation',
7869:'for bids has been cancelled for the reasons specified in subparagraphsc6, 7, or 8 of this subsection, and the agency',
7870:'head has authorized, in the determination in paragraph c of this subsection, the completion of the acquisition through negotiation, the',
7871:'contracting officer shall proceedin accordance with paragraph f of this subsection. 2 if the invitation for bids has been cancelled',
7872:'for the reasons specified in subparagraphsc1, 2, 4, 5, or 10 of this subsection, or for the reasons in subparagraphsc6,',
7873:'7, or 8 of this subsection and completion through negotiation is not authorizedunder subparagraphe1 of this subsection, the contracting officer',
7874:'shall proceed witha new acquisition. f when the agency head has determined, in accordance with paragraph e1 of this subsection,',
7875:'that an invitation for bids should be canceled and that useof negotiation is in thegovernment’s interest, the contractingofficer may negotiate',
7876:'in accordance with part 15, as appropriate and make award without issuing a new solicitation provided 1 each responsible bidder',
7877:'in the sealed bid acquisition has been given notice that negotiations will be conducted and has been given an opportunity',
7878:'to participate in negotiations; and 2 the awardis made tothe responsible bidder offering the lowest negotiatedprice. 14.4042 rejection of individual',
7879:'bids. a any bid that fails to conform to the essential requirements of the invitation for bids shall be rejected.',
7880:'b any bid that does not conform to the applicable specifications shall be rejected unless the invitation authorized the submission',
7881:'of alternate bids and the supplies offered as alternates meet the requirements specified in the invitation. c any bid that',
7882:'fails to conform to the delivery schedule or permissible alternates stated in the invitation shall be rejected. d a bid',
7883:'shall be rejected when the bidder imposes conditions that would modify requirements of the invitation or limit thebidder’s liability to',
7884:'thegovernment, since to allowthe bidder to imposesuch conditions would be prejudicial toother bidders. for example, bids shall be rejected in',
7885:'which the bidder 1 protects against future changes in conditions, such as increased costs, if total possible costs to the',
7886:'government cannot be determined; 2 fails to statea priceandindicates that price shall be pricein effect attime ofdelivery; 3 states a',
7887:'pricebut qualifies it as being subject to pricein effect at time ofdelivery; 4 when not authorized by the invitation, conditions',
7888:'or qualifies a bid by stipulating that it is to be considered only if, before date of award, the bidder',
7889:'receives or does not receive award under a separate solicitation; 5 requires that the government is to determinethat thebidder’s product',
7890:'meets applicable government specifications; or 6 limits rights of the government under any contract clause. e a low bidder may',
7891:'be requested to delete objectionable conditions from a bid provided the conditions do not go to the substance, as distinguished',
7892:'from the form, of the bid, or work an injustice on other bidders. a condition goes to the substance of',
7893:'a bid whereitaffects price, quantity, quality, ordelivery of the items offered. f anybid may be rejected if thecontracting officer determines',
7894:'inwriting thatitis unreasonable as to price. unreasonableness of price includes not only the total price of the bid, but the',
7895:'prices for individual line items as well. g any bid may be rejected if the prices for any line items',
7896:'or subline items are materially unbalanced see 15.4041g. h bids received from any person or concern that is suspended, debarred,',
7897:'proposed for debarment or declared ineligible as of the bid opening date shall be rejected unless a compelling reason determination',
7898:'is made see subpart 9.4. i low bids received from concerns determined to be not responsible pursuant to subpart 9.1',
7899:'shall be rejected but if a bidder is a small business concern, see19.6 with respect to certificates of competency. j',
7900:'when a bid guarantee is required and a bidder fails to furnish the guarantee in accordance with the requirements of',
7901:'the invitation for bids, the bid shall be rejected, except as otherwise provided in 28.1014. k the originals of all',
7902:'rejected bids, and any written findings with respect to such rejections, shall be preserved with the papers relating to the',
7903:'acquisition. 14.4043 federal acquisition regulation lafter submitting a bid, ifall of a bidder’s assets or thatpart related tothe bid are',
7904:'transferred during the periodbetween thebid opening and theaward, the transferee may notbe able to take over the bid. accordingly, the',
7905:'contracting officer shall rejectthe bid unless the transfer is effectedby merger, operationof law, orother means not barred by 41 u.s.c.6305',
7906:'or 31 u.s.c. 3727. 14.4043notice to bidders ofrejection of all bids. when it is determined necessary to reject all bids,',
7907:'the contracting officer shall notify each bidder that all bids have been rejected and shall state the reason for such',
7908:'action. 14.4044restrictions ondisclosure of descriptive literature. when a bid is accompanied by descriptive literature as defined in 2.101, and the',
7909:'bidder imposes a restriction that prevents the public disclosure of such literature, the restriction may render the bid nonresponsive. the',
7910:'restriction renders the bid nonresponsive if it prohibits the disclosure of sufficient information to permit competingbiddersto know the essential nature',
7911:'and type of the productsoffered orthose elements of thebid that relate to quantity,price,and delivery terms. the provisions of this paragraph',
7912:'do not apply to unsolicited descriptive literature submitted by a bidder if such literature does not qualify the bid see',
7913:'14.2025e. 14.4045 all or none qualifications. unless the solicitation provides otherwise, a bid may be responsive notwithstanding that the bidder',
7914:'specifies that award will be accepted only on all, or a specified group, of the items. bidders shall not be',
7915:'permitted to withdraw or modify all or none qualifications after bid opening since such qualificationsare substantive and affect therights of',
7916:'other bidders. 14.405 minorinformalitiesor irregularities in bids. a minor informality or irregularity is one that is merely a matter of',
7917:'form and not of substance. it also pertains to some immaterial defect in a bid or variation of a bid',
7918:'from the exact requirements of the invitation that can be corrected or waived without being prejudicial to other bidders. the',
7919:'defector variation is immaterial when the effect onprice,quantity, quality, or delivery is negligible when contrasted with the total cost or',
7920:'scope of the supplies or services being acquired. the contracting officer eithershallgive the bidder an opportunity to cure any deficiency',
7921:'resulting from aminor informalityor irregularity in a bid or waivethe deficiency, whicheveris to the advantage of the government. examples of',
7922:'minor informalities or irregularities include failure of a bidder to a return the number of copies of signed bids required',
7923:'by the invitation; b furnish required information concerning the number of its employees; c sign its bid, but only if',
7924:'1 the unsigned bid isaccompanied byothermaterial indicatingthe bidder’s intention tobe bound by the unsigned bid such asthe submission of a',
7925:'bid guarantee ora letter signed by the bidder, with the bid, referring to and clearly identifying the bid itself; or',
7926:'2 the firm submitting a bid has formally adopted or authorized, before the date set for opening of bids, the',
7927:'execution of documents by typewritten, printed, or stamped signature and submits evidence of such authorization and the bid carries such',
7928:'a signature; d acknowledge receipt of an amendment to an invitation for bids, but only if 1 the bid received',
7929:'clearly indicates that the bidder received the amendment, such as where the amendment added another item to the invitation and',
7930:'the bidder submitted a bid on the item; or 2 the amendmentinvolvesonly a matterof formor haseither no effect or merely',
7931:'anegligible effect on price, quantity, quality, or deliveryof the item bid upon; and e execute the representations with respect to',
7932:'equal opportunity and affirmative action programs, as set forth in the clauses at 52.22222, previous contracts and compliance reports, and',
7933:'52.22225, affirmative actioncompliance. 14.406 receipt of an unreadable electronic bid. if a bid received at the government facility by electronic',
7934:'data interchange is unreadable to the degree that conformance to theessential requirements ofthe invitation for bidscannot be ascertained, the contracting',
7935:'officerimmediately shall notify the bidder that the bid will be rejected unless the bidder provides clear and convincing evidence a',
7936:'of the content of the bid as originally submitted; and subpart 14.4 opening of bids and award of contract 14.4073',
7937:'b that the unreadable condition ofthe bid wascaused by government software or hardwareerror, malfunction,or other government mishandling. 14.407mistakes in bids.',
7938:'14.4071 general. afterthe opening ofbids, contracting officers shall examineallbids for mistakes. in cases of apparent mistakesandin caseswhere the contractingofficer hasreason',
7939:'to believe that a mistake mayhavebeenmade, the contracting officer shall request from the bidder a verification of the bid, calling',
7940:'attention to the suspected mistake. if the bidder alleges a mistake, the matter shall be processed in accordance with this',
7941:'section 14.407. such actions shall be taken before award. 14.4072apparent clerical mistakes. a any clerical mistake, apparent on its face',
7942:'inthe bid, may be corrected by the contracting officer before award. the contracting officerfirst shall obtain from thebidder a verification',
7943:'ofthe bid intended. examples of apparent mistakesare 1 obvious misplacement of a decimal point; 2 obviously incorrect discounts for example,',
7944:'1 percent 10 days, 2 percent 20 days, 5 percent 30 days; 3 obvious reversal of the price f.o.b. destination',
7945:'and price f.o.b. origin; and 4 obvious mistake in designation of unit. b correction of the bid shall be effectedby',
7946:'attachingthe verificationto theoriginal bidand a copy of the verification to theduplicate bid. correction shall notbe made on the face of',
7947:'the bid; however, it shall be reflectedin theaward document. c correction of bids submitted by electronic data interchange shall be',
7948:'effected byincluding inthe electronic solicitation file the original bid, the verification request, and the bid verification. 14.4073other mistakes disclosed before',
7949:'award. in order to minimize delays in contract awards, administrative determinations may be made as described in this 14.4073 in',
7950:'connection with mistakes in bids alleged after opening of bids and before award. the authority to permit correction of bids',
7951:'is limited to bids that, as submitted, are responsive to the invitation and may not be used to permit correction',
7952:'of bids to make them responsive. this authority is in addition to that in 14.4072 or that may be otherwise',
7953:'available. a if a bidder requests permission to correct a mistake and clear and convincing evidence establishes both the existence',
7954:'of the mistake and the bid actually intended, the agency head may make a determination permitting the bidder to correct',
7955:'the mistake; provided, that if this correction would result in displacing one or more lower bids, such a determination shall',
7956:'not be made unless the existence of the mistake and the bid actually intended are ascertainable substantially from the invitation',
7957:'and the bid itself. b if 1 a bidder requests permission to withdraw a bid rather than correct it; 2',
7958:'the evidence is clear and convincing both as to the existence of a mistake and as to the bid actually',
7959:'intended; and 3 the bid, both as uncorrected and as corrected, is the lowest received, the agency head may make',
7960:'a determination to correct the bid and not permit its withdrawal. c if, under paragraph a or b of this',
7961:'subsection, 1 the evidence of a mistake is clear and convincing only as to the mistake but not as to',
7962:'the intended bid, or 2 the evidence reasonably supports the existence of a mistake but is not clear and convincing,',
7963:'an official abovethe contracting officer, unless otherwise provided byagency procedures, may make a determination permitting the bidder to withdraw the',
7964:'bid. d if the evidence does not warrant a determination under paragraph a, b, or c of this section, the',
7965:'agency head may make a determination that the bid be neither withdrawn nor corrected. e heads of agencies may delegate',
7966:'their authority to make the determinations under paragraphs a, b, c, and d of this 14.4073 to a central authority,',
7967:'ora limited number of authorities asnecessary,in their agencies,without power of redelegation. f each proposed determination shall have the concurrence of',
7968:'legal counsel within the agency concerned before issuance. g suspectedor alleged mistakes inbids shall beprocessed as follows. a merestatement by',
7969:'the administrative officials that they are satisfied that an error was madeis insufficient. 1 the contractingofficer shall immediatelyrequest the bidder',
7970:'to verify thebid. action taken to verify bids must be sufficient to reasonably assure the contractingofficer that the bid as',
7971:'confirmed iswithout error, or to elicit the allegation of 14.4074 federal acquisition regulation a mistakeby the bidder. toassurethat thebidder will',
7972:'be put on notice of a mistake suspectedby the contractingofficer, the bidder should be advised as appropriate ithat its bidis',
7973:'so muchlower than the otherbids orthe government’s estimate as to indicatea possibility of error; ii of important or unusual characteristics',
7974:'of the specifications; iii of changes in requirements from previous purchases of a similar item; or iv of any other',
7975:'information, proper for disclosure, that leadsthe contracting officerto believe that there is a mistake in bid. 2 if the bid',
7976:'isverified, thecontracting officer shall consider the bidas originally submitted. ifthe time for acceptance of bids is likely to expire beforea',
7977:'decisioncan be made, the contracting officer shall request all bidders whose bids may become eligible for award to extend the',
7978:'time for acceptance of their bids in accordance with 14.4041d. if the bidder whose bid is believed erroneous does not',
7979:'or cannot grant an extension of time, the bid shall be considered as originally submitted but see paragraph g5 of',
7980:'this section. if the bidder alleges amistake, thecontracting officer shall advisethe bidderto make a written request to withdraw or modify',
7981:'the bid. the request must be supported by statements sworn statements, if possibleand shall includeall pertinent evidence such as the',
7982:'bidder’s file copyof the bid, the originalworksheets and other dataused inpreparingthe bid, subcontractors’ quotations, ifany, published price lists, and any',
7983:'other evidence that establishes theexistence of the error, the manner inwhich it occurred, and the bidactually intended. 3 when the',
7984:'bidder furnishes evidencesupporting an alleged mistake, the contractingofficer shall referthe case to the appropriate authority see paragraph e of this',
7985:'section together with the following data: i a signed copy of the bid involved. ii a copy of the invitation',
7986:'for bids and any specifications or drawings relevant to the alleged mistake. iii an abstract or record of the bids',
7987:'received. iv the written request by the bidderto withdraw or modify thebid, together with thebidder’s written statement and supporting evidence.',
7988:'v a written statement bythe contracting officer setting forth a a description of the supplies or services involved; b the',
7989:'expiration date of the bid in question and of the other bids submitted; c specific information as to how and',
7990:'when the mistake was alleged; d a summary of the evidence submitted by the bidder; e in the event only',
7991:'one bid was received, a quotation of the most recent contract price for the supplies or services involved or, inthe',
7992:'absence ofa recent comparablecontract, the contracting officer’s estimate of a fair price for the supplies or services; f any additional',
7993:'pertinent evidence; and g a recommendation that either the bid be considered for award in the form submitted, or the',
7994:'bidder be authorized to withdraw or modify the bid. 4 where the bidder fails or refuses to furnish evidence in',
7995:'support of a suspected or alleged mistake, the contracting officer shall consider the bid as submitted unless i the amount',
7996:'of thebid is so far outof line with the amounts of other bids received,or with the amount estimated bythe agency',
7997:'or determined by the contracting officer to be reasonable, or iithere areother indicationsof error so clear, as to reasonablyjustify theconclusion',
7998:'that acceptance of the bid wouldbe unfairto the bidder or to other bona fide bidders. attempts made to obtain the',
7999:'information required and the action taken with respect to the bid shall be fully documented. h each agency shall maintain',
8000:'records of all determinations made in accordance with this subsection 14.4073, the facts involved, and the action taken in each',
8001:'case. copies of all such determinations shall be included in the file. i nothing contained in this subsection 14.4073 prevents',
8002:'an agency from submitting doubtful cases to the comptroller general for advance decision. 14.4074 mistakes after award. if a contractor’s',
8003:'discovery and request for correction ofa mistake inbid is not made until after theaward, it shall be processed under the',
8004:'procedures of subpart 33.2 and the following: a when a mistake in a contractor’s bid is notdiscovered until after award,',
8005:'the mistake may becorrected by contract modification if correcting the mistake would be favorable to the government without changing the',
8006:'essential requirements of the specifications. b in addition tothe casescontemplated in paragraph a ofthissection or asotherwise authorized by law, agencies',
8007:'are authorized to make a determination subpart 14.4 opening of bids and award of contract 14.4074 1 to rescind a',
8008:'contract; 2 to reform a contract ito deletethe items involved in the mistake; or iito increasethe price if the contract',
8009:'price, as corrected, does not exceed that of thenext lowest acceptable bid under the original invitation for bids; or 3',
8010:'that no change shall be made in the contract as awarded, if the evidence does not warrant a determination under',
8011:'subparagraph b1 or 2 of this section. c determinations under paragraph b1 and 2 of this section may be made',
8012:'only on the basis of clear and convincing evidence that a mistake in bid was made. in addition, it must',
8013:'be clear that the mistake was 1 mutual; or 2 if unilaterally made by the contractor, soapparent as to have',
8014:'chargedthe contracting officerwith noticeof the probability of the mistake. d each proposed determination shall be coordinated with legal counsel in',
8015:'accordance with agency procedures. e mistakes alleged or disclosed after award shall be processed as follows: 1 the contractingofficer shall',
8016:'request thecontractor to support thealleged mistake bysubmission of written statements and pertinent evidence, such as ithe contractor’s file copy of',
8017:'the bid, iithe contractor’s originalworksheets and other data used inpreparing the bid, iii subcontractors’ and suppliers’ quotations, if any, iv',
8018:'published price lists, and v any other evidence that will serve to establish the mistake, the manner in which the',
8019:'mistake occurred, and the bid actually intended. 2 the case file concerning an alleged mistake shall contain the following: i',
8020:'all evidence furnished by the contractor in support of the alleged mistake. iiasigned statementby the contracting officer a describing the',
8021:'supplies or services involved; b specifying how and when the mistake was alleged or disclosed; c summarizing the evidence submitted',
8022:'by the contractor and any additional evidence considered pertinent; d quoting, in cases where only one bid was received, the',
8023:'most recent contract price for the supplies or services involved, or in theabsence of a recent comparable contract,the contracting officer’s',
8024:'estimate of a fairprice for the supplies or services and the basis for the estimate; e setting forth the contracting',
8025:'officer’s opinionwhethera bona fide mistake was made andwhetherthe contracting officerwas, or should have been, on constructivenotice of themistake before the',
8026:'award, together with the reasons for, or data in support of, such opinion; f setting forth the course of action',
8027:'with respectto the alleged mistake that thecontracting officer considers proper on the basis of the evidence, and if other than',
8028:'a change in contract price is recommended, the manner by which the supplies or services will otherwise be acquired; and',
8029:'g disclosing the status of performance and payments under the contract, including contemplated performance and payments. iii a signed copy',
8030:'of the bid involved. iv a copy of the invitation for bids and any specifications or drawings relevant to the',
8031:'alleged mistake. v an abstract of written record of the bids received. vi a written request by the contractor to',
8032:'reform or rescind the contract, and copies of all other relevant correspondence betweenthe contracting officerandthe contractor concerning thealleged mistake. vii',
8033:'a copy of the contract and any related change orders or supplemental agreements. f each agency shall include in the',
8034:'contract file a record of 1 all determinations made in accordance with this 14.4074; 2 the facts involved; and 3',
8035:'the action taken in each case. federal acquisition regulation 14.408 award. 14.4081 general. a thecontracting officer shall make a contract',
8036:'award 1 by written or electronic notice, 2 within the timefor acceptance specified in the bid or an extension see',
8037:'14.4041d, and 3 to that responsible bidder whose bid, conforming to the invitation, will be most advantageous to the government,',
8038:'considering only price and the pricerelated factors see 14.2018 included in the invitation. award shall not be made untilallrequired approvals',
8039:'have been obtained and the award otherwise conforms with 14.1032. b if less than three bids have been received,the contracting',
8040:'officershallexamine the situation to ascertain the reasons for thesmall number of responses. awardshallbe made notwithstandingthe limitednumber of bids. however, thecontracting',
8041:'officer shall initiate, ifappropriate, corrective action toincrease competition in futuresolicitationsforthe same or similar items, and include a notation of such',
8042:'action in the records of the invitation for bids see 14.204. c 1awardshallbemadebymailingorotherwisefurnishingaproperlyexecutedawarddocumenttothesuccessful bidder. 2 when a notice of award',
8043:'is issued, it shall be followed as soon as possible by the formal award. 3 when more than one award',
8044:'results from any single invitation for bids, separate award documents shall be suitably numbered and executed. 4 when an award',
8045:'is made to a bidder for less than all of the items that may be awarded to that bidder and',
8046:'additional items are being withheld for subsequent award, the award shall state that the government may make subsequent awards on',
8047:'those additional items within the bid acceptance period. 5 all provisions of the invitation for bids, including any acceptable additions',
8048:'or changes made by a bidder in the bid, shall be clearly and accurately set forth either expressly or by',
8049:'reference in the award document. the award is an acceptance of the bid, and the bid and the award constitute',
8050:'the contract. d 1awardisgenerallymadebyusingtheawardportionof standard form sf 33,solicitation,offer,andaward,or sf 1447, solicitation/contract see 53.214. if an offer from a sf 33',
8051:'leads to further changes, the resulting contract shall be prepared as a bilateral document on sf 26, award/contract. 2 use',
8052:'of the award portionof sf 33, sf 26, or sf 1447, does not preclude the additional use of informal documents,',
8053:'including electronic transmissions, as notices of awards. 14.4082responsible bidderreasonableness of price. athecontractingofficershalldeterminethataprospectivecontractorisresponsiblesee subpart 9.1 and that the prices offered are',
8054:'reasonable beforeawarding the contract. theprice analysis techniquesin 15.4041b may be used as guidelines. in each case the determination shall be',
8055:'made in the light of all prevailing circumstances. particular care must be taken in cases where only a single bid',
8056:'is received. b the price analysis shall consider whether bids are materially unbalanced see 15.4041g. 14.4083prompt payment discounts. a prompt',
8057:'payment discounts shall notbe consideredin theevaluation of bids. however, anydiscountoffered willform a part of the award, and will be taken',
8058:'by the payment center if payment is made within the discount period specified by thebidder. as an alternative to indicating',
8059:'a discount in conjunction withthe offer, bidders may prefer to offer discountson individual invoices. b see 32.111b1, which prescribes the',
8060:'contract clause at 52.2328, discounts for prompt payment. 14.4084 economic price adjustment. a bidder proposes economic price adjustment. 1 when',
8061:'a solicitation does not contain an economic price adjustment clause but a bidder proposes one with a ceiling that the',
8062:'price will not exceed, the bid shall be evaluated on the basis of the maximum possible economic price adjustment of',
8063:'the quoted base price. 2 if the bid iseligible for award, the contracting officer shall request thebidder to agree to',
8064:'the inclusion inthe award of an approved economic price adjustment clause see 16.203 that is subject to the same ceiling.',
8065:'if the bidder will not agree to an approved clause, the award may be made on the basis of the',
8066:'bid as originally submitted. 3 bids that contain economic price adjustments with no ceiling shall be rejected unless a clear',
8067:'basis for evaluation exists. subpart 14.4 opening of bids and award of contract 14.4091 b government proposes economic price adjustment.',
8068:'1 when an invitation contains an economic price adjustment clause and no bidder takes exception to the provisions, bids shall',
8069:'be evaluated on the basis of the quoted prices without the allowable economic price adjustment being added. 2 when a',
8070:'bidder increases the maximum percentage of economic price adjustment stipulated in the invitation or limits the downward economic price adjustment',
8071:'provisions of the invitation, the bid shall be rejected as nonresponsive. 3 when a bid indicates deletion of the economic',
8072:'price adjustment clause, the bid shall be rejected as nonresponsive since the downward economic price adjustment provisions are thereby limited.',
8073:'4 when a bidder decreases the maximum percentage of economic price adjustment stipulated in the invitation, the bid shall be',
8074:'evaluated at the baseprice on an equal basis withbids that do not reduce the stipulated ceiling. however, after evaluation, if',
8075:'thebidder offering the lower ceiling is in aposition to receive the award, the award shall reflect the lower ceiling. 14.4085',
8076:'[reserved] 14.4086 equal low bids. a contracts shall be awarded in the following order of priority when two or more',
8077:'low bids are equal in all respects: 1 small business concerns that are also labor surplus area concerns. 2 other',
8078:'small business concerns. 3 other business concerns. b if two or more bidders still remain equally eligible after application of',
8079:'paragraph a of this section, award shall be made by a drawing by lot limited to those bidders. if time',
8080:'permits, the bidders involved shall be given an opportunity to attend the drawing. the drawing shall be witnessed by at',
8081:'least three persons, and the contract file shall contain the names and addresses of the witnesses and the person supervising',
8082:'the drawing. c when an award is to be made by using the priorities under this 14.4086, the contracting officer',
8083:'shall include a written agreement in the contract that the contractor will perform, or cause to be performed, the contract',
8084:'in accordance with the circumstances justifying the priority used to break the tie or select bids for a drawing by',
8085:'lot. 14.4087 documentation of award. a thecontracting officer shall document compliancewith 14.1032 in the contract file. b the documentation shall',
8086:'either state that the accepted bid was the lowest bid received, or list all lower bids with reasons for their',
8087:'rejection insufficient detail to justify the award. c when an award is made after receipt of equal low bids, the',
8088:'documentation shall describe how the tie was broken. 14.4088protestsagainst award. see subpart 33.1, protests. 14.409information to bidders. 14.4091award of unclassified',
8089:'contracts. a 1thecontractingofficershallasaminimumsubjecttoanyrestrictionsin subpart 9.4 i notify each unsuccessful bidder in writing or electronically within threedays after contract award, that',
8090:'its bid was not accepted. day, for purposes of the notification process, means calendar day,exceptthat theperiod will run until aday',
8091:'which is not a saturday, sunday, orlegal holiday; ii extend appreciation for the interest the unsuccessful bidder has shown in',
8092:'submitting a bid; and iii when awardis made tootherthan a low bidder, statethe reason for rejection in the notice to',
8093:'each of the unsuccessful low bidders. 2 for acquisitions coveredby the world trade organization government procurement agreement or a free',
8094:'trade agreement see 25.408a5, agencies must include in notices given unsuccessful bidders from world trade organization government procurement agreement or',
8095:'free trade agreement countries i the dollar amount of the successful bid; and iithe name and addressof the successful bidder.',
8096:'b information included in paragraph a2 of this subsection shall be provided to any unsuccessful bidder upon request except when',
8097:'multiple awards have been made and furnishing information on the successful bids would require so much work 14.4092 federal acquisition',
8098:'regulation as to interferewith normal operations of the contracting office. in such circumstances, only informationconcerning location of the abstract of',
8099:'offers need be given. c when a request is received concerning an unclassified invitation from an inquirer who is neither',
8100:'a bidder nor a representative of a bidder, the contractingofficer should make everyeffort to furnish the names of successful bidders',
8101:'and, if requested, the prices at which awards were made. however, when suchrequests require so muchworkas to interfere with the',
8102:'normal operations of the contracting office, the inquirerwill be advised where a copy of the abstractof offers maybe seen. d',
8103:'requests for records shall be governed by agency regulations implementing subpart 24.2. 14.4092award of classified contracts. in addition to 14.4091,',
8104:'if classified information was furnished or created in connection with the solicitation, the contracting officershalladvise theunsuccessful bidders, including any who',
8105:'did not bid, totake disposition action in accordance with agency procedures. the name of the successful bidder and the contract',
8106:'price will be furnished to unsuccessful bidders only upon request. information regarding a classified award shall not be furnished by',
8107:'telephone. subpart 14.5 twostep sealed bidding 14.5031 subpart 14.5 twostep sealed bidding 14.501general. twostep sealed bidding is a combination of',
8108:'competitive procedures designed to obtain the benefits of sealed bidding when adequate specifications are not available. anobjective is to permit',
8109:'the development of a sufficiently descriptive and not undulyrestrictive statement of thegovernment’s requirements, including an adequate technical data package,sothat subsequent',
8110:'acquisitions may be made by conventional sealed bidding. this method is especially useful in acquisitions requiring technical proposals, particularly those',
8111:'for complex items. it is conducted in two steps: a step one consists of therequest for, submission, evaluation, and ifnecessary',
8112:'discussionof atechnical proposal. no pricing is involved. the objective is to determine the acceptability of thesupplies orservices offered. as used',
8113:'inthis context, the word technical has a broad connotation and includes, among other things, the engineering approach, special manufacturing processes,',
8114:'and special testing techniques. it is the proper step for clarification of questions relating to technical requirements. conformity to the',
8115:'technical requirements is resolved in this step, but not responsibility as defined in 9.1. b step two involves the submission',
8116:'of sealed priced bids by those who submitted acceptable technical proposals in step one. bids submitted in step two are',
8117:'evaluated and the awards made in accordance with subparts 14.3 and 14.4. 14.502conditions for use. a unless other factors require',
8118:'the use of sealed bidding, twostep sealed bidding may be used in preference to negotiation when all of the following',
8119:'conditions are present: 1 available specifications or purchase descriptions are notdefiniteor completeor may be too restrictive without technical evaluation, and',
8120:'any necessary discussion, of the technical aspects of the requirement to ensure mutual understanding between each source and the government.',
8121:'2 definite criteria exist for evaluating technical proposals 3 more than one technically qualified source is expected to be available.',
8122:'4 sufficient time willbe available for use of the twostep method. 5 a firmfixedprice contract or a fixedprice contract with',
8123:'economic price adjustment will be used. b none of the following precludes the use of twostep sealed bidding: 1 multiyear',
8124:'contracting. 2 government property to be made available to the successful bidder. 3 a total small business setaside see 19.5022.',
8125:'4 the use of a setaside or price evaluation preference for hubzone small business concerns see subpart 19.13. 5 the',
8126:'use of a setaside for servicedisabled veteranowned small business concerns see subpart 19.14. 6 the use of a setaside for',
8127:'economically disadvantaged womenowned small business concerns and womenowned small business concerns eligible under the womenowned small business program see subpart',
8128:'19.15. 7 a first or subsequent production quantity is being acquired under a performance specification. 14.503 procedures. 14.5031 step one.',
8129:'a requests for technical proposals shall be synopsized in accordance with part 5. the request must include, as a minimum,',
8130:'the following: 1 a description of the supplies or services required. 2 a statement of intent to use the twostep',
8131:'method. 3 the requirements of the technical proposal. 4 the evaluation criteria, to include all factors and any significant subfactors.',
8132:'5 a statement that the technical proposals shall not include prices or pricing information. 6 the date,or date and hour,',
8133:'bywhich the proposal must be received see 14.2016r. 7 a statement that i in the second step, only bids based',
8134:'upon technical proposals determined to be acceptable, either initially or as a result of discussions, will be considered for awards,',
8135:'and iieach bid inthe second step must be based on the bidder’sown technical proposals. 8 a statement that iofferors should',
8136:'submitproposalsthat areacceptable without additional explanationor information, 14.5032 federal acquisition regulation iithe government may make a final determination regarding a proposal’s',
8137:'acceptability solely on the basis of the proposal as submitted; and iii the government may proceedwith the second step without',
8138:'requesting further information from any offeror; however, the government may request additional information fromofferorsof proposals that it considers reasonably susceptible',
8139:'of being made acceptable,and may discuss proposals with theirofferors. 9 a statement that a notice ofunacceptability will be forwarded to',
8140:'theofferor uponcompletion of the proposal evaluationand final determination of unacceptability. 10 a statement either that only one technical proposal may',
8141:'besubmitted by each offeror or thatmultiple technical proposals may be submitted. when specifications permit different technical approaches, it is generally',
8142:'inthe government’s interest to authorize multiple proposals. if multiple proposals are authorized, see 14.2016s. b information on delivery or performance',
8143:'requirements may be of assistance to bidders in determining whether or not to submit a proposal and may be included',
8144:'in the request. the request shall also indicate that the information is not binding on the government and that the',
8145:'actual delivery or performance requirements will be contained in the invitation issued under step two. c upon receipt, the contracting',
8146:'officer shall 1 safeguard proposals against disclosure to unauthorized persons; 2 accept and handle data marked in accordance with 15.609',
8147:'as provided in that section; and 3 remove any reference to price or cost. d the contractingofficer shall establish atime',
8148:'period for evaluating technical proposals. theperiod may vary with the complexity andnumber of proposals involved. however, the evaluation should be',
8149:'completed quickly. e 1 evaluations shall be based on the criteria in the request for proposals but not consideration of',
8150:'responsibility as defined in 9.1, proposals, shall be categorized as i acceptable; ii reasonably susceptible of being made acceptable; or',
8151:'iii unacceptable. 2 any proposal which modifies, or fails to conform to the essential requirements or specifications of, the request',
8152:'for technical proposals shall be considered nonresponsive and categorized as unacceptable. f 1thecontractingofficermayproceeddirectlywithsteptwoiftherearesufficientacceptableproposalstoensure adequate price competition under step two, and',
8153:'if further time, effort and delay to make additional proposals acceptableand therebyincrease competition wouldnot be in the government’s interest. if',
8154:'this is notthe case, the contractingofficer shall request bidders whose proposals may be made acceptable to submit additional clarifying or',
8155:'supplementing information. the contractingoffice shall identify the nature of the deficiencies inthe proposal or thenature ofthe additional information required. the',
8156:'contracting officer may also arrange discussionsforthis purpose. no proposal shall be discussed with any offeror otherthan the submitter. 2 in',
8157:'initiatingrequests for additional information, the contracting officershallfix an appropriate time for bidders to conclude discussions,if any, submit all additional information,and',
8158:'incorporatesuch additional information as part of their proposals submitted. suchtime may be extended in the discretion ofthe contracting officer. if',
8159:'theadditional information incorporated as part of a proposal within the final time fixed by the contracting officer establishes that the',
8160:'proposal is acceptable, it shall be so categorized. otherwise, it shall be categorized as unacceptable. g when atechnicalproposal isfound unacceptable',
8161:'either initiallyor after clarification, the contracting officer shall promptly notify theofferor of the basis of the determination and that a',
8162:'revisionof the proposal will not be considered. upon written request, the contractingofficer shall debrief unsuccessfulofferorssee 15.505 and 15.506. h late',
8163:'technical proposals are governed by 15.208b, c, and f. iif it is necessaryto discontinue twostep sealed bidding, the contracting officer',
8164:'shall include a statementof the facts and circumstances in the contract file. each offerorshallbe notified in writing. when step one',
8165:'results in no acceptable technical proposal or only one acceptable technical proposal, the acquisition may be continued by negotiation. 14.5032',
8166:'step two. a sealed bidding procedures shall be followed except that invitations for bids shall 1 be issued only to',
8167:'those offerors submitting acceptable technical proposals in step one; 2 include the provision prescribed in 14.2016t; 3 prominentlystate that the',
8168:'biddershallcomply with the specifications and the bidder’s technical proposal;and subpart 14.5 twostep sealed bidding 14.5032 4 not be synopsized through',
8169:'the governmentwide point of entry gpe as an acquisition opportunity nor publicly posted see 5.101a. b the names of firms',
8170:'that submitted acceptable proposals in step one will be listed through the gpe for the benefit of prospective subcontractors see',
8171:'5.207. this page intentionally left blank. 14.54 part 15 contracting by negotiation sec. 15.000 scope of part. 15.001 definitions. 15.002',
8172:'types of negotiated acquisition. subpart15.1 source selection processes and techniques 15.100 scope of subpart. 15.101 best value continuum. 15.1011 tradeoff',
8173:'process. 15.1012 lowest price technically acceptable source selection process. 15.1013 tiered evaluation of small business offers. 15.102 oral presentations. subpart',
8174:'15.2 solicitation and receipt of proposals and information 15.200 scope of subpart. 15.201 exchanges with industry before receipt of proposals.',
8175:'15.202 advisory multistep process. 15.203 requests for proposals. 15.204 contract format. 15.2041 uniform contract format. 15.2042 part ithe schedule. 15.2043',
8176:'part iicontract clauses. 15.2044 part iiilist of documents, exhibits, and other attachments. 15.2045 part ivrepresentations and instructions. 15.205 issuing solicitations.',
8177:'15.206 amending the solicitation. 15.207 handling proposals and information. 15.208 submission, modification, revision, and withdrawal of proposals. 15.209 solicitation provisions',
8178:'and contract clauses. 15.210 forms. subpart15.3 source selection 15.300 scope of subpart. 15.301 [reserved] 15.302 source selection objective. 15.303 responsibilities.',
8179:'15.304 evaluation factors and significant subfactors. 15.305 proposal evaluation. 15.306 exchangeswithofferorsafterreceiptof proposals. 15.307 proposal revisions. 15.308 source selection decision. subpart',
8180:'15.4 contract pricing 15.400 scope of subpart. 15.401 definitions. 15.402 pricing policy. 15.403 15.4031 15.4032 15.4033 15.4034 15.4035 15.404 15.4041',
8181:'15.4042 15.4043 15.4044 15.405 15.406 15.4061 15.4062 15.4063 15.407 15.4071 15.4072 15.4073 15.4074 15.4075 15.408 15.501 15.502 15.503 15.504 15.505',
8182:'15.506 15.507 15.508 15.509 obtaining certified cost or pricing data. prohibition on obtaining certified cost or pricing data 10 u.s.c.',
8183:'chapter 271 and 41 u.s.c. chapter 35. other circumstances where certified cost or pricing data are not required. requiring data',
8184:'other than certified cost or pricing data. requiring certified cost or pricing data 10 u.s.c. chapter 271 and 41 u.s.c.',
8185:'chapter 35. instructions for submission of certified cost or pricing data and data other than certified cost or pricing data.',
8186:'proposal analysis. proposal analysis techniques. data to support proposal analysis. subcontract pricing considerations. profit. price negotiation. documentation. prenegotiation objectives. certificate',
8187:'of current cost or pricing data. documenting the negotiation. special cost or pricing areas. defective certified cost or pricing data.',
8188:'makeorbuy programs. forward pricing rate agreements. shouldcost review. estimating systems. solicitation provisions and contract clauses. subpart15.5 preaward, award, and postaward',
8189:'notifications, protests, and mistakes definition. applicability. notificationsto unsuccessful offerors. award tosuccessfulofferor. preaward debriefing ofofferors. postaward debriefing of offerors. protests against',
8190:'award. discovery of mistakes. forms. subpart 15.6 unsolicited proposals 15.600 scope of subpart. 15.601 definitions. 15.602 policy. 15.603 general. 15.604',
8191:'agency points of contact. 15.605 content of unsolicited proposals. 15.606 agency procedures. 15.6061 receipt and initial review. 15.6062 evaluation. 15.607',
8192:'criteria for acceptance and negotiation of an unsolicited proposal. 15.608 prohibitions. 15.609 limited use of data. 152 subpart 15.1 source',
8193:'selection processes and techniques 15.1012 15.000scope of part. this part prescribes policies and procedures governing competitive and noncompetitive negotiated acquisitions.',
8194:'a contract awarded using other than sealed bidding procedures is a negotiated contract see 14.101. 15.001definitions. as used in this',
8195:'part deficiency is a material failure of a proposal to meet a government requirement or a combination of significant weaknesses',
8196:'in a proposal that increases the risk of unsuccessful contract performance to an unacceptable level. proposal modification is a change',
8197:'made to a proposal before the solicitation closing date and time, or made in response to an amendment, or made',
8198:'to correct a mistake at any time before award. proposal revision is a change to a proposal made after the',
8199:'solicitation closing date, at the request of or as allowed by a contracting officer, as the result of negotiations. weakness',
8200:'means a flaw in the proposal that increases the risk of unsuccessful contract performance. a significant weakness in the proposal',
8201:'is a flaw that appreciably increases the risk of unsuccessful contract performance. 15.002 typesof negotiated acquisition. a sole source acquisitions.',
8202:'when contracting in a sole source environment, the request for proposals rfp should be tailored to remove unnecessary information and',
8203:'requirements; e.g., evaluation criteria and voluminous proposal preparation instructions. b competitive acquisitions. when contracting in a competitive environment, the procedures',
8204:'of this part are intended to minimize the complexity of the solicitation, the evaluation, and the source selection decision, while',
8205:'maintaining a process designed tofoster an impartialandcomprehensive evaluation of offerors’ proposals, leading to selection of theproposal representing the best value',
8206:'to the government see 2.101. subpart 15.1 source selection processes and techniques 15.100scope of subpart. this subpart describes some of',
8207:'the acquisition processes and techniques that may be used to design competitive acquisition strategies suitable for the specific circumstances of',
8208:'the acquisition. 15.101best value continuum. an agency can obtain best value in negotiated acquisitions by using any one or a',
8209:'combination of source selection approaches. indifferent types of acquisitions,the relative importanceof cost or price may vary. for example, in acquisitions',
8210:'where the requirement is clearly definable and the risk of unsuccessful contract performance is minimal, cost or price may play',
8211:'a dominant role in source selection. the less definitive the requirement, the more development work required, or the greater the',
8212:'performance risk, the more technical or past performance considerations may play a dominant role in source selection. 15.1011tradeoff process. a',
8213:'a tradeoff process is appropriate when it may be in the best interestof the government to consider award to other',
8214:'than thelowest pricedofferor or other thanthe highest technically rated offeror. b when using a tradeoff process, thefollowing apply: 1 all',
8215:'evaluation factors and significant subfactors that will affect contract award and their relative importance shall be clearly stated in the',
8216:'solicitation; and 2 the solicitation shall state whether all evaluation factors other than cost or price, when combined, are significantly',
8217:'more important than, approximately equal to, or significantly less important than cost or price. c this process permits tradeoffsamong cost',
8218:'or price and noncost factors andallows the government to accept other than the lowest priced proposal. the perceived benefits of',
8219:'the higher priced proposal shall merit the additional cost, and the rationale for tradeoffs must be documented in the file',
8220:'inaccordancewith 15.406. 15.1012lowest price technically acceptable source selection process. a the lowest price technically acceptable source selection process is appropriate',
8221:'when best value is expected to result from selection of the technically acceptable proposal with the lowest evaluated price. 15.1013',
8222:'federal acquisition regulation b when using the lowest price technically acceptable process, the following apply: 1 the evaluation factors and',
8223:'significant subfactors that establish the requirements of acceptability shall be set forth in the solicitation. solicitations shall specify that award',
8224:'will be made on the basis of the lowest evaluated price of proposals meeting or exceedingthe acceptability standards for noncost',
8225:'factors. if the contracting officer documents the file pursuant to 15.304c3iii, past performance need not be an evaluation factor in',
8226:'lowest price technically acceptable source selections. if the contracting officer electsto consider past performance asan evaluationfactor, it shall be evaluated',
8227:'inaccordance with 15.305. however,the comparative assessment in 15.305a2i does not apply. if thecontracting officer determines thata small business’ past performance',
8228:'is not acceptable, the matter shall be referred to the small business administration for a certificate of competency determination, in',
8229:'accordance with the procedures contained in subpart 19.6 and 15 u.s.c. 637b 7. 2 tradeoffs arenot permitted. 3 proposals are',
8230:'evaluated for acceptability but not ranked using the noncost/price factors. 4 exchanges may occur see 15.306. c except for dod,',
8231:'in accordance with section 880 of the john s. mccain national defense authorization act for fiscal year 2019 pub. l.',
8232:'115232, 41 u.s.c. 3701 note, the lowest price technically acceptable source selection process shall only be used when— 1 the',
8233:'agency can comprehensively and clearly describe the minimum requirements in terms of performance objectives, measures,and standards thatwill be used to',
8234:'determine the acceptability ofoffers; 2 the agency would realize no, or minimal, value from a proposal that exceeds the minimum',
8235:'technical or performance requirements; 3 the agency believes the technical proposals will require no, or minimal, subjective judgment by the',
8236:'source selection authorityas to the desirability of one offerors proposal versus a competing proposal; 4 the agency has ahigh degree',
8237:'of confidence that reviewing the technical proposals ofallofferorswouldnot resultin the identification of characteristics that could provide value or benefit to',
8238:'the agency; 5 the agency determined that the lowest price reflects the total cost, including operation and support, of the',
8239:'products or services being acquired; and 6 the contractingofficer documents the contract file describing thecircumstances that justify the use ofthe',
8240:'lowest price technically acceptable source selection process. d except for dod, in accordance with section 880 of the john s.',
8241:'mccain national defense authorization act for fiscal year 2019 pub. l. 115232, 41 u.s.c. 3701 note, contracting officers shall avoid,to',
8242:'themaximum extent practicable, using the lowest price technically acceptable source selection process in the case of a procurement that is',
8243:'predominantly for the acquisition of— 1 information technology services, cybersecurity services, systems engineering and technical assistance services, advanced electronic testing,',
8244:'audit or audit readiness services, health care services and records, telecommunications devices and services, or other knowledgebased professional services; 2',
8245:'personal protective equipment; or 3 knowledgebased training or logistics services in contingency operations or other operations outside the united states,',
8246:'including in afghanistan or iraq. 15.1013tiered evaluation of small business offers. an agency shall notcreate a tiered or cascading evaluation',
8247:'of offers, as described in 13 cfr 125.2, for multipleaward contracts unless an agency has statutory authority. 15.102 oral presentations.',
8248:'a oral presentations by offerors asrequested bythe government may substitute for, or augment, written information. use of oral presentations as',
8249:'a substitute for portions of a proposal can be effective in streamlining the sourceselection process. oral presentations may occur at',
8250:'any time in the acquisition process, and are subject to the same restrictions as written information, regarding timing see 15.208',
8251:'and content see 15.306. oral presentations provide an opportunity for dialogue among the parties. prerecorded videotaped presentations that lack realtime',
8252:'interactive dialogue are not considered oral presentations for the purposes of this section, although they may be included in offeror',
8253:'submissions, whenappropriate. b the solicitation may require each offerorto submitpart of itsproposal through oral presentations. however, representations and certifications shall',
8254:'besubmitted as required in the far provisions at 52.2048d or 52.2123b, and a signed offersheet including anyexceptions to the government’s',
8255:'terms and conditions shall be submitted inwriting. subpart 15.1 source selection processes and techniques 15.102 c information pertaining to areassuch',
8256:'as an offeror’s capability, past performance,work plans orapproaches, staffing resources, transition plans, or sample tasks or other types of tests',
8257:'may be suitable for oral presentations. in deciding what information to obtain through an oral presentation, consider the following: 1',
8258:'the government’s ability to adequately evaluate the information; 2 the need to incorporate any information into the resultant contract; 3',
8259:'the impacton the efficiency ofthe acquisition; and 4 the impactincluding cost onsmallbusinesses. in considering the costs oforal presentations, contracting officers',
8260:'should also consider alternatives to onsite oral presentations e.g., teleconferencing, video teleconferencing. d when oral presentations arerequired,the solicitation shall provide',
8261:'offerors with sufficient information to prepare them. accordingly, the solicitation may describe 1 the types of information to be presented',
8262:'orally and the associated evaluation factors that will be used; 2 the qualifications for personnel that will be required to',
8263:'provide the oral presentations; 3 the requirements for, and any limitations and/or prohibitions on, theuse of written materialor other media',
8264:'to supplement the oral presentations; 4 the location, date, and time for the oral presentations; 5 the restrictions governing the',
8265:'time permitted for each oral presentation; and 6 the scope and content of exchangesthat may occur between the government’s participants',
8266:'andthe offeror’s representatives as part of the oral presentations, including whether or not discussions see 15.306d will be permitted during',
8267:'oral presentations. e thecontracting officer shall maintain a record oforal presentations to documentwhat the government relied uponin making the source',
8268:'selection decision. the method and level of detail of the record e.g., videotaping, audio tape recording, written record, government notes,copies',
8269:'of offeror briefing slides or presentationnotes shall be at the discretion of the source selection authority. a copyof the record',
8270:'placed in the filemay be provided tothe offeror. f when an oral presentation includes information that the parties intend to',
8271:'include in the contract as material terms or conditions, the information shall be put in writing. incorporation by reference of',
8272:'oral statements is not permitted. g if, during an oral presentation, the government conducts discussions see 15.306d, the government must',
8273:'comply with 15.306 and 15.307. this page intentionally left blank. 15.14 subpart 15.2 solicitation and receipt of proposals and information',
8274:'15.202 subpart 15.2 solicitation and receipt of proposals and information 15.200scope of subpart. this subpart prescribes policies and procedures for',
8275:'a exchanging information with industry prior to receipt of proposals; b preparing and issuing requests for proposals rfps and requests',
8276:'for information rfis; and c receiving proposals and information. 15.201 exchanges withindustry before receipt of proposals. a exchanges of information',
8277:'among all interested parties, from the earliest identification of a requirement through receipt of proposals, are encouraged. any exchange of',
8278:'information must be consistent with procurement integrity requirements see 3.104. interested parties includepotentialofferors, end users, government acquisition andsupporting personnel, and',
8279:'others involved in the conduct or outcome of the acquisition. b the purpose of exchanging information is to improve the',
8280:'understanding of government requirements and industry capabilities,thereby allowing potential offerors to judge whether or how they can satisfy the government’s',
8281:'requirements, and enhancing thegovernment’s ability to obtain quality supplies and services, including construction, at reasonable prices, and increaseefficiencyin proposal preparation,proposal',
8282:'evaluation,negotiation, and contractaward. c agencies are encouraged to promote early exchanges of information about future acquisitions. an early exchange of',
8283:'information amongindustry and the program manager, contracting officer, and other participants in the acquisition process can identify and resolveconcerns regarding',
8284:'the acquisition strategy,including proposed contract type, terms and conditions, and acquisition planning schedules; the feasibility of the requirement, including performance',
8285:'requirements, statements of work, and data requirements; the suitability of the proposal instructions and evaluation criteria, including the approach for',
8286:'assessing past performance information; the availability of reference documents; and any other industry concerns or questions. some techniques to promote',
8287:'early exchanges of information are 1 industry or small business conferences; 2 public hearings; 3 market research, as described in',
8288:'part 10; 4 oneonone meetings with potential offerors any that are substantially involvedwith potential contract terms and conditions should include',
8289:'the contracting officer; alsosee paragraph fof this section regarding restrictions on disclosureof information; 5 presolicitation notices; 6 draft rfps; 7',
8290:'rfis; 8 presolicitation or preproposal conferences; and 9 site visits. d the special notices of procurement matters at 5.205c, or',
8291:'electronic notices, may be used to publicize the government’s requirement or solicit information from industry. e rfis may be used',
8292:'when the government does not presently intend to award a contract, but wants to obtain price, delivery, other market information,',
8293:'or capabilities for planning purposes. responses to thesenotices arenot offers andcannot be accepted by the government to form a binding',
8294:'contract. there is no required format for rfis. f general information about agency mission needs and future requirements may be',
8295:'disclosed at any time. after release of the solicitation, the contracting officer must be the focal point of any exchangewith',
8296:'potential offerors. when specific information about a proposed acquisition that would be necessary for the preparation of proposals is disclosed',
8297:'to one or more potential offerors, that information must bemadeavailable to the public as soon as practicable, but no later',
8298:'than the next general release of information, in order to avoid creating an unfair competitive advantage. information provided to a',
8299:'potential offeror in responseto itsrequest mustnot be disclosed ifdoing so would reveal the potential offeror’s confidential businessstrategy,andisprotectedunder 3.104 or subpart',
8300:'24.2. when conducting a presolicitation or preproposal conference, materials distributed atthe conference should be madeavailableto all potential offerors, upon request.',
8301:'15.202 advisory multistepprocess. a the agency may publish a presolicitation notice see 5.204 that provides a general description of the',
8302:'scope or purpose of the acquisition and invites potential offerors to submit information that allowsthe government to advise the offerors',
8303:'about their potential to be viable competitors. the presolicitation notice should identify the information that must be submitted federal acquisition',
8304:'regulation and the criteria that will be used in making the initial evaluation. information sought may be limited to a',
8305:'statement of qualifications and other appropriate information e.g., proposed technical concept, past performance, and limited pricing information. at a minimum,',
8306:'the noticeshallcontain sufficient information topermita potential offeror tomakean informed decision about whether to participate in the acquisition. this process should',
8307:'not be used for multistep acquisitions where it would result inofferorsbeing requiredto submit identical information in response to the notice',
8308:'and inresponse to the initial step of the acquisition. b the agency shall evaluate all responses in accordance with the',
8309:'criteria stated in the notice, and shall advise each respondent in writing eitherthat it will be invited to participate in',
8310:'the resultant acquisition or,based on the information submitted, that it is unlikely to be a viablecompetitor. theagency shall adviserespondents considered',
8311:'not tobe viable competitors of the general basis for that opinion. the agency shall inform all respondents that, notwithstanding the',
8312:'advice provided by the government in response to their submissions, they may participate in the resultant acquisition. 15.203 requests for',
8313:'proposals. a requests for proposals rfps are used in negotiated acquisitions to communicate government requirements to prospective contractors and to',
8314:'solicit proposals. rfps for competitive acquisitions shall, at a minimum, describe the 1 government’s requirement; 2 anticipated terms and conditions',
8315:'that willapply to thecontract. the solicitation may authorize offerors to propose alternative terms and conditions. if the solicitation permits offerors',
8316:'to submit oneor more additional proposals with alternative line items see 52.20422 or 52.2121e, the evaluation approach should consider the',
8317:'potential impact of the alternative line items on other terms and conditions or the requirement e.g., place of performance or',
8318:'payment and funding requirements see 15.206; 3 information required tobe inthe offeror’s proposal; and 4 factors and significant subfactors that',
8319:'will be used to evaluate the proposal and their relative importance. b an rfp may be issued for omb circulara76',
8320:'studies. see subpart 7.3 for additional information regarding cost comparisons between government and contractor performance. c electronic commerce may be',
8321:'used to issue rfps and to receive proposals, modifications, and revisions. in this case, therfpshallspecifytheelectroniccommercemethodsthatofferorsmayusesee subpart 4.5. d contracting officersmay',
8322:'issue rfps and/or authorizereceipt of proposals, modifications, orrevisions by facsimile. 1 in deciding whether or not to use facsimiles, the',
8323:'contractingofficer should considerfactors such as i anticipated proposal size and volume; iiurgency of the requirement; iii availability and suitabilityof electronic',
8324:'commerce methods; and iv adequacy of administrative procedures and controls for receiving, identifying, recording, and safeguarding facsimile proposals, and ensuring',
8325:'their timely delivery to the designated proposal delivery location. 2 if facsimile proposals are authorized, contracting officersmay request offerors to',
8326:'provide the complete, original signed proposal at a later date. e letter rfps may be used in sole source acquisitions',
8327:'and other appropriate circumstances. use of a letter rfp does not relieve the contracting officer from complying with other far',
8328:'requirements. letter rfps should be as complete as possible and, at a minimum, should contain the following: 1 rfp number',
8329:'and date; 2 name, address including electronic address and facsimile address, if appropriate, and telephone number of the contracting officer;',
8330:'3 type ofcontract contemplated; 4 quantity, description, and required delivery dates for theitem; 5 applicable certifications and representations; 6 anticipated',
8331:'contract terms and conditions; 7 instructions to offerors and evaluation criteriaforotherthan solesource actions; 8 proposal due date and time; and',
8332:'9 other relevant information; e.g., incentives, variations in delivery schedule, cost proposal support, and data requirements. f oral rfps are',
8333:'authorized when processing a written solicitation would delay the acquisition of supplies or services to the detriment of the government',
8334:'and a notice is not required under 5.202e.g., perishable items and support of contingency subpart 15.2 solicitation and receipt of',
8335:'proposals and information 15.2041 operations or other emergency situations. use ofan oral rfp does not relieve thecontracting officer from complying',
8336:'with other far requirements. 1 the contract files supporting oral solicitations should include i a description of the requirement; ii',
8337:'rationale for use of an oral solicitation; iii sources solicited, including thedate, time, name of individualscontacted, and prices offered;and iv',
8338:'the solicitation number provided to the prospective offerors. 2 the information furnished to potential offerors under oral solicitations should include',
8339:'appropriate items from paragraph e of this section. 15.204contract format. the use of a uniform contract format facilitates preparation of',
8340:'the solicitation and contract as well as reference to, and use of, those documents byofferors, contractors, and contract administrators. the',
8341:'uniform contract format need not be used for the following: a construction and architectengineer contracts see part 36. b subsistence',
8342:'contracts. c supplies or services contracts requiring special contract formats prescribed elsewhere in this regulation that are inconsistent with the',
8343:'uniform format. d letter requests for proposals see 15.203e. e contracts exempted by the agency head or designee. 15.2041 uniform',
8344:'contract format. a contracting officers shall prepare solicitations and resulting contracts using theuniform contractformat outlined in table151 of thissubsection. b',
8345:'solicitations using the uniform contract format shall include parts i, ii, iii, and iv see 15.2042 through 15.2045. upon award,',
8346:'contracting officers shall not physically include part iv in the resulting contract, but shall retain it in the contract file.',
8347:'see 4.1201c. the representations and certifications are incorporated by reference in the contract by using 52.20419 see 4.1202b or for',
8348:'acquisitions of commercial products and commercial services see 52.2124v. table 151 uniformcontractformat section title part ithe schedule a solicitation/contract form',
8349:'b supplies or services and prices/costs c description/specifications/statement of work d packaging and marking e inspection and acceptance f deliveries',
8350:'or performance g contract administration data h special contract requirements part iicontract clauses i contract clauses part iiilist of documents,',
8351:'exhibits, and other attachments j list of attachments part ivrepresentations and instructions 15.2042 federal acquisition regulation section title k representations,',
8352:'certifications, and other statements of offerors or respondents l instructions, conditions, and notices to offerors or respondents m evaluation factors',
8353:'for award 15.2042 part ithe schedule. the contractingofficer shall prepare the contractscheduleas follows: a section a, solicitation/contract form. 1 optional',
8354:'form of 308, solicitation and offernegotiated acquisition, or standard form sf 33, solicitation,offer and award, may be used to prepare',
8355:'rfps. 2 when other than of 308 or sf 33 is used, include the following information on the first page',
8356:'of the solicitation: iname, address, and location ofissuing activity, includingroom and building where proposals or information must be submitted. iisolicitation',
8357:'number. iii date of issuance. iv closing date and time. v number of pages. vi requisition or other purchase authority.',
8358:'vii brief description of item or service. viii requirement for theofferor to provide its nameandcomplete address, including street, city, county,',
8359:'state, and zip code, and electronic address including facsimile address, if appropriate. ix offer expiration date. b section b, supplies',
8360:'or services and prices/costs. include a brief description of the supplies or services; e.g., item number, national stock number/part number',
8361:'if applicable,nouns, nomenclature, and quantities. this includes incidental deliverables such as manuals and reports. c section c, description/specifications/statement of work.',
8362:'include any description or specifications needed in addition to section b see part 11, describing agency needs. d section d,',
8363:'packaging and marking. provide packaging,packing, preservation, and marking requirements,if any. e section e, inspection and acceptance. include inspection, acceptance, quality',
8364:'assurance, and reliability requirements see part 46, quality assurance. f section f, deliveries or performance. specify the requirements for time,',
8365:'place, and method of delivery or performance see subpart 11.4, delivery or performance schedules, and 47.3011. g section g, contract',
8366:'administration data. include any required accounting and appropriation data and any required contract administration information or instructions other than those',
8367:'on the solicitation form. include a statement that the offeror should includethe paymentaddress in the proposal, if it is differentfrom',
8368:'that shown for the offeror. h section h, special contract requirements. include a clear statement of any special contract requirements',
8369:'that are not included in section i, contract clauses, or in other sections of the uniform contract format. 15.2043 part',
8370:'iicontract clauses. section i, contract clauses. the contracting officershallinclude in this section the clauses requiredby law or by this regulation',
8371:'and any additional clauses expected to be included in any resulting contract, if these clauses are not required in any',
8372:'other sectionof the uniformcontract format. anindex maybe inserted if this section’s format is particularly complex. 15.2044 part iiilist of documents,',
8373:'exhibits, and other attachments. section j, list of attachments. the contracting officershalllist thetitle, date, and number of pages for each',
8374:'attached document, exhibit, and other attachment. crossreferences to material in other sections may be inserted, as appropriate. 15.2045partivrepresentations and instructions.',
8375:'the contractingofficer shall prepare the representations andinstructions as follows: a section k, representations, certifications, and other statements of offerors. include',
8376:'in this section those solicitation provisions thatrequire representations, certifications, or thesubmission of other information by offerors. subpart 15.2 solicitation and',
8377:'receipt of proposals and information 15.207 b section l, instructions, conditions, and notices to offerors or respondents. insert in this',
8378:'section solicitation provisions and other information and instructions not required elsewhereto guide offerors or respondents in preparing proposals or responses',
8379:'torequests for information. prospective offerors orrespondents may be instructed to submit proposals or information ina specific format or severable parts',
8380:'to facilitate evaluation. theinstructions may specify further organization of proposal or response parts, such as 1 administrative; 2 management; 3',
8381:'technical; 4 past performance; and 5 certified cost or pricing data see 15.408 solicitation provisions and contract clauses. of 15.408',
8382:'or data other than certified cost or pricing data. c section m, evaluation factors for award. identify all significant factors',
8383:'and any significant subfactors that will be considered in awarding the contract and their relative importance see 15.304d. the contracting',
8384:'officer shall insert one of the phrases in 15.304e. 15.205issuing solicitations. a thecontracting officer shall issue solicitations to potential sourcesin',
8385:'accordance with thepolicies and procedures in 5.102, 19.2024, and part 6. b a master solicitation, as described in 14.2033, may',
8386:'also be used for negotiated acquisitions. 15.206amending the solicitation. a when, either before or after receipt of proposals, the government',
8387:'changes its requirements or terms and conditions, the contracting officershallamend the solicitation. b amendments issued before the established time and',
8388:'date for receipt of proposals shall be issued to all parties receiving the solicitation. c amendments issued after the establishedtime',
8389:'and date for receipt of proposals shall be issued to all offerors that have not been eliminated from the competition.',
8390:'d if a proposal of interest to the government involves a departure from the stated requirements, the contracting officer shall',
8391:'amend the solicitation, provided this can bedone withoutrevealing tothe other offerors thealternate solution proposed or any other information that is',
8392:'entitled to protection see 15.207b and 15.306e. e if,in thejudgment of the contracting officer,based on market research or otherwise, an',
8393:'amendment proposedfor issuance after offers have been received is so substantialas to exceed what prospective offerors reasonably could have anticipated,',
8394:'so that additional sourceslikely would have submitted offers had the substance of theamendment been known to them, the contractingofficer shall',
8395:'cancel the original solicitation and issue a newone, regardless of thestage ofthe acquisition. f oral noticesmay be usedwhen timeis of',
8396:'theessence. the contracting officer shall document the contractfile and formalize the notice with an amendment see subpart 4.5, electronic commerce',
8397:'in contracting. g at a minimum, the following information should be included in each amendment: 1 name and address ofissuing',
8398:'activity. 2 solicitation number and date. 3 amendment number and date. 4 number of pages. 5 description of the change',
8399:'being made. 6 government point of contact and phone number and electronic or facsimile address, if appropriate. 7 revision to',
8400:'solicitation closing date, if applicable. 15.207 handling proposals and information. a upon receipt at the location specified in the solicitation,',
8401:'proposals and information received in response to a request for information rfi shall be marked with the dateand time ofreceipt',
8402:'and shall be transmittedto thedesignated officials. b proposals shall be safeguarded from unauthorized disclosure throughout the source selection process. see',
8403:'3.104 regarding the disclosure of source selection information 41 u.s.c. chapter 21, restrictions on obtaining and disclosing certain information. information',
8404:'received in response to an rfi shall be safeguarded adequately from unauthorized disclosure. federal acquisition regulation c if any portion',
8405:'of a proposal receivedby the contracting officerelectronically or byfacsimile is unreadable,the contracting officerimmediately shall notify theofferor and permit the offeror',
8406:'to resubmit theunreadableportion of the proposal. the method andtime for resubmissionshallbe prescribedby the contracting officerafter consultationwith the offeror, and documented',
8407:'inthe file. the resubmission shall beconsidered as if it werereceived at thedate and time of the original unreadable submission for',
8408:'the purpose of determining timeliness under 15.208a, provided the offeror complies with thetime and format requirementsforresubmission prescribed bythe contracting officer.',
8409:'15.208 submission, modification,revision, and withdrawal of proposals. a offerors are responsible for submitting proposals, and any revisions, and modifications, so',
8410:'as to reach the government officedesignated in the solicitation by the time specifiedin the solicitation. offerorsmay useany transmission method authorized',
8411:'by the solicitation i.e., regular mail, electronic commerce, or facsimile. if no time is specified in the solicitation, thetime for',
8412:'receipt is 4:30 p.m., local time, for the designated government office on the date that proposals are due. b 1anyproposal,modification,orrevision,thatisreceivedatthedesignatedgovernmentofficeaftertheexact',
8413:'time specified for receipt of proposals is late and will not be considered unless it is received before award is',
8414:'made, the contracting officerdeterminesthat accepting the late proposal would not unduly delay the acquisition; and i if it was transmitted',
8415:'through an electronic commerce method authorized by the solicitation, it was received at the initial point of entry to the',
8416:'government infrastructure not later than 5:00 p.m. one working day prior to the date specified for receipt of proposals; or',
8417:'ii there is acceptable evidence to establish that it was received at the government installation designated for receipt ofproposalsand was',
8418:'underthe government’s control prior to the time set for receipt ofproposals; or iii it was the only proposal received. 2',
8419:'however, a late modification of an otherwisesuccessfulproposal, that makes itsterms more favorable to the government, will be considered at any',
8420:'time it is received and may be accepted. c acceptable evidence to establish the time of receipt at the government',
8421:'installation includes the time/date stamp of that installation on the proposal wrapper, other documentaryevidence of receiptmaintained by the installation, ororal',
8422:'testimony or statements of government personnel. d if an emergency orunanticipated event interrupts normal governmentprocesses so that proposals cannot be',
8423:'received at the governmentoffice designated for receipt of proposals by the exact time specified in the solicitation, and urgent government',
8424:'requirements preclude amendment of the solicitation closing date, the time specified for receipt of proposals will be deemed to be',
8425:'extended to the same time of day specified in the solicitation on the first work day on which normal government',
8426:'processes resume. e proposals may be withdrawn by written notice at any time before award. oral proposals in response to',
8427:'oral solicitations may be withdrawn orally. the contracting officer mustdocument the contract file when oral withdrawals are made. one copy',
8428:'of withdrawn proposals should be retained in the contract file see 4.803a10. extra copies of the withdrawn proposals may be',
8429:'destroyed orreturned to the offeror at the offeror’s request. where practicable, electronically transmitted proposals that are withdrawn must be purged',
8430:'from primary and backupdata storage systems after a copy is made for the file. extremely bulky proposals mustonly be returned',
8431:'at the offeror’s request and expense. f the contracting officer mustpromptly notifyanyofferor if its proposal, modification, or revision was received',
8432:'late, and must inform the offeror whether its proposalwill be considered,unlesscontract awardis imminent and the noticeprescribed in 15.503b would suffice.',
8433:'g late proposals and modifications that are not considered must be held unopened, unless opened for identification, until after award',
8434:'and then retained with other unsuccessful proposals. h if available, the followingmust be included in the contractingoffice files for each',
8435:'late proposal,modification,revision, or withdrawal: 1 the date and hour of receipt. 2 a statement regarding whether the proposal was considered',
8436:'for award, with supporting rationale. 3 the envelope,wrapper, or other evidence of date of receipt. 15.209 solicitation provisions and contract',
8437:'clauses. when contracting by negotiation a thecontracting officer shall insert the provision at 52.2151, instructions to offerorscompetitive acquisition, in all',
8438:'competitive solicitations where the government intends to award a contract without discussions. subpart 15.2 solicitation and receipt of proposals and',
8439:'information 15.210 1 if the government intends to make award afterdiscussions withofferorswithin the competitive range, the contracting officershalluse the basic',
8440:'provision with its alternate i. 2 if the government would bewilling to accept alternate proposals, thecontracting officer shall alterthe basic',
8441:'clause to add a new paragraph c9 substantially the same as alternate ii. b 1exceptasprovidedinparagraphb2ofthissection,thecontractingofficershallinserttheclauseat 52.2152, audit and recordsnegotiation 10',
8442:'u.s.c. 3841, 41 u.s.c. 4706, and audit requirements in the omb uniform guidance at 2 cfr part 200, subpart f,',
8443:'in solicitations and contracts except those for i acquisitions not exceeding the simplified acquisition threshold; ii the acquisition of utility',
8444:'services at rates not exceeding those established to apply uniformly to the general public, plusanyapplicable reasonable connection charge; or iii',
8445:'the acquisition of commercial products or commercial services exempted under 15.4031. 2 i when using funds appropriated or otherwise made',
8446:'available by the american recovery and reinvestment act of 2009 pub. l. 1115 a the exceptions in paragraphs b1i through',
8447:'b1iii are not applicable; and b use the clause with its alternate i. ii a in the case of a',
8448:'bilateral contract modification that will use funds appropriated or otherwise made available by the american recoveryand reinvestment act of 2009,',
8449:'the contractingofficer shall specify applicability of alternate i to that modification. b in the case of a task or deliveryorder',
8450:'contract in which not all orders will use funds appropriated or otherwisemade available by the american recovery and reinvestment act',
8451:'of 2009, the contracting officer shall specifythe task or delivery orders to which alternate i applies. 3 for costreimbursement contracts',
8452:'with state and local governments, educational institutions, and other nonprofit organizations, the contractingofficer shall usethe clause withits alternate ii. 4',
8453:'when the head of the agency has waived the examination of records by the comptroller general in accordance with 25.1001,',
8454:'use the clause with its alternate iii. c when issuing asolicitation for information or planningpurposes, the contracting officer shall insert',
8455:'theprovision at 52.2153, request for information or solicitation for planning purposes, and clearly mark on the face of the solicitation',
8456:'that it is for information or planning purposes. d [reserved] e thecontracting officer shall insert the provision at 52.2155, facsimile',
8457:'proposals, in solicitations if facsimile proposals are authorized see 15.203d. f the contracting officer shall insertthe provisionat 52.2156, place of',
8458:'performance, in solicitations unless the place of performance is specified by the government. g [reserved] h the contractingofficer shall insertthe',
8459:'clause at 52.2158, order of precedenceuniform contract format, in solicitations and contracts using the format at 15.204. 15.210forms. prescribed forms',
8460:'are not required to prepare solicitations described in this part. the following forms may be used at the discretion of',
8461:'the contracting officer: a standard form 33,solicitation, offerandaward, and optional form 308,solicitation and offernegotiated acquisition, may be used to issue',
8462:'rfps and rfis. b standard form 30, amendment of solicitation/ modification of contract, and optional form 309, amendment of solicitation,',
8463:'may be used to amend solicitations of negotiated contracts. c optional form 17, offerlabel,may be furnishedwith each request for proposal.',
8464:'this page intentionally left blank. 15.28 subpart 15.3 source selection 15.304 subpart 15.3 source selection 15.300scope of subpart. this subpart',
8465:'prescribes policies and procedures for selection of a source or sources in competitive negotiated acquisitions. 15.301[reserved] 15.302 sourceselection objective. the',
8466:'objective of source selection is to select the proposal that represents the best value. 15.303responsibilities. a agency headsare responsible for',
8467:'source selection. the contracting officer is designatedas the source selection authority, unless theagency head appoints anotherindividual for a particular acquisitionor',
8468:'group of acquisitions. b the source selection authority shall 1 establish an evaluation team, tailored for the particular acquisition, that',
8469:'includes appropriate contracting, legal, logistics, technical, and other expertise to ensure a comprehensive evaluation of offers; 2 approve the source',
8470:'selection strategy or acquisition plan, if applicable, before solicitation release; 3 ensure consistency among the solicitation requirements, notices to offerors,',
8471:'proposal preparation instructions, evaluation factors and subfactors, solicitation provisions or contract clauses, and data requirements; 4 ensure that proposals are',
8472:'evaluated based solely on the factors and subfactors contained in the solicitation 10 u.s.c. 3303c and 41 u.s.c. 3703c; 5',
8473:'consider the recommendations of advisory boards or panels if any; and 6 select the source or sources whose proposal is',
8474:'the best value to the government 10 u.s.c. 3303c and 41 u.s.c. 3703c. c thecontracting officer shall 1 afterrelease ofa',
8475:'solicitation, serve as the focal point for inquiries from actual or prospective offerors; 2 afterreceipt of proposals, controlexchanges with offerors',
8476:'inaccordance with 15.306; and 3 award thecontracts. 15.304evaluation factors and significant subfactors. a the award decision is based on evaluation',
8477:'factors and significant subfactors that are tailored to the acquisition. b evaluation factors and significant subfactors must 1 represent the',
8478:'key areas of importance and emphasis to be considered in the source selection decision; and 2 support meaningful comparison and',
8479:'discrimination between and among competing proposals. c the evaluation factors and significant subfactors that apply to an acquisition and their',
8480:'relative importance, are within thebroad discretion of agency acquisition officials, subjectto thefollowing requirements: 1 i price or cost to the',
8481:'government shall be evaluated in every source selection 10 u.s.c. 3206c1b and 41 u.s.c.3306c1balso see part 36 for architectengineer contracts,',
8482:'subject to the exception listed in paragraph c1ii a of this section for use by dod, nasa, and the coast',
8483:'guard. ii in accordance with 10 u.s.c. 3206c, for dod, nasa, and the coast guard— athe contracting officer may choosenot',
8484:'to include price orcostas an evaluationfactorforaward when a solicitation— 1 has an estimated value above the simplified acquisition threshold; 2',
8485:'will result in multipleaward contracts see subpart 16.5 that are for the same or similar services; and 3 states that',
8486:'the government intends to make an awardto each and all qualifying offerors see 2.101. b if the contracting officer chooses',
8487:'not toinclude priceor cost as an evaluation factor for the contract award, in accordance with paragraph c1iiaof this section, the',
8488:'contracting officer shall consider price orcost asone of the factors in the selection decision for each order placed under the',
8489:'contract. c the exception in paragraph c1iia of this section shall not apply to solicitations for multipleaward contracts that provide',
8490:'for sole source orders pursuant to section 8a of the small business act 15 u.s.c. 637a. 2 the quality of',
8491:'the product or service shall be addressed in every source selection through consideration of one or more noncost evaluation factors',
8492:'such as past performance, compliance with solicitation requirements, technical excellence, federal acquisition regulation management capability,personnel qualifications, and prior experience 10',
8493:'u.s.c. 3206c1a and 41 u.s.c. 3306c1 a; and 3 i past performance, except as set forth in paragraph c3iii of',
8494:'this section, shall be evaluated in all source selections for negotiated competitive acquisitions expected to exceed the simplified acquisition threshold.',
8495:'ii for solicitations that are not set aside for small business concerns, involving consolidation or bundling, that offer a significant',
8496:'opportunity for subcontracting,the contracting officer shall include a factor toevaluatepast performance indicating the extent to which the offeror attainedapplicable goals',
8497:'for small business participationunder contracts that required subcontracting plans 15 u.s.c. 637d4gii. iii past performance need not be evaluated if',
8498:'the contractingofficer documents the reason past performance is not an appropriate evaluation factor for the acquisition. 4 for solicitations,that arenot',
8499:'set aside for small business concerns,involving consolidation or bundling, that offer a significant opportunityforsubcontracting, the contracting officer shall include proposed',
8500:'small businesssubcontracting participation in the subcontracting plan as an evaluation factor 15 u.s.c. 637d4gi. 5 if telecommutingis not prohibited, agencies',
8501:'shall notunfavorably evaluate an offer that includes telecommuting unless thecontracting officer executes a written determination in accordance with far 7.108b.',
8502:'d all factorsand significant subfactors thatwill affect contract awardandtheir relative importance shall be stated clearly in the solicitation 10 u.s.c.',
8503:'3206b1 and 41 u.s.c. 3306b1 see 15.2045c. the rating method need not be disclosed in the solicitation. the general approach',
8504:'for evaluating past performance information shall be described. e unless the exception at paragraph c1iia of this section applies, the',
8505:'solicitation shall also state, at a minimum, whether all evaluation factors other than cost or price, when combined, are— 1',
8506:'significantly more important than cost or price; 2 approximately equal to cost or price; or 3 significantly less important than',
8507:'cost or price 10 u.s.c. 3206c1c and 41 u.s.c. 3306c1c. 15.305 proposal evaluation. a proposal evaluation isan assessment of the',
8508:'proposal and the offeror’s ability to perform theprospective contract successfully. an agencyshallevaluatecompetitive proposals and thenassess their relativequalities solely on thefactors',
8509:'and subfactors specified in the solicitation. evaluations may be conducted using any rating method or combination of methods, including color',
8510:'or adjectival ratings, numerical weights, and ordinal rankings. the relative strengths, deficiencies, significant weaknesses, and risks supporting proposal evaluation shall',
8511:'be documented in the contract file. 1 cost or price evaluation. normally, competition establishes price reasonableness. therefore, when contracting on',
8512:'a firmfixedprice or fixedprice with economic price adjustment basis, comparison of the proposed prices will usually satisfy the requirement to',
8513:'perform a price analysis, and a cost analysis need not be performed. in limited situations, a cost analysis may be',
8514:'appropriateto establish reasonableness of the otherwise successful offerors price see 15.4031c1i c. when contracting on a costreimbursement basis, evaluations shall',
8515:'include a cost realism analysis to determine what thegovernment should realisticallyexpectto pay for the proposed effort, theofferorsunderstanding of the work,',
8516:'and the offerors abilityto perform the contract. cost realismanalyses mayalsobe used onfixedpriceincentive contracts or, in exceptional cases, on other competitive',
8517:'fixedpricetype contracts see 15.4041d3. see 37.115 for uncompensated overtime evaluation. the contracting officershalldocument the cost or priceevaluation. 2 past performance',
8518:'evaluation.i pastperformance information is one indicator of an offeror’s ability to perform thecontract successfully. the currency and relevance of the',
8519:'information, source ofthe information, context of the data, and general trends in contractor’s performance shall beconsidered. this comparative assessment of',
8520:'past performance information is separate from the responsibility determination required under subpart 9.1. iithe solicitation shall describethe approach for evaluatingpastperformance,',
8521:'including evaluating offerors with no relevant performancehistory, and shall provideofferorsan opportunityto identify past or currentcontracts including federal, state, and local',
8522:'governmentandprivate for efforts similar to the government requirement. the solicitation shall also authorizeofferorsto provide information on problems encountered on theidentified',
8523:'contractsandthe offeror’s corrective actions. the government shall consider this information, as well as information obtained from any other sources, when',
8524:'evaluatingthe offeror’s past performance. the source selectionauthority shall determinethe relevance of similar past performance information. iii the evaluation should take',
8525:'into account past performance information regarding predecessor companies, key personnel who have relevant experience, or subcontractors that will perform major',
8526:'or critical aspects of the requirement when such information is relevant to the instant acquisition. subpart 15.3 source selection 15.306',
8527:'iv in the case of anofferor without a record of relevant past performance or for whominformation onpast performanceis not available,',
8528:'theofferor may notbe evaluated favorablyor unfavorably on past performance. v the evaluation should include the past performanceof offerors in complying',
8529:'with subcontracting plan goals for small disadvantaged business sdb concerns see subpart 19.7. vi for offerors that are joint ventures,',
8530:'the evaluation shall take into account past performance of thejoint venture. if the joint venture does not demonstratepastperformance for award,',
8531:'thecontracting officer shall consider the past performance of each party to the joint venture. 3 technical evaluation. when tradeoffsare performed',
8532:'see 15.1011, the source selection records shall include ian assessment of each offeror’s ability to accomplishthe technical requirements; and iiasummary,',
8533:'matrix, or quantitative ranking, alongwith appropriate supportingnarrative, of each technical proposal using the evaluation factors. 4 cost information. cost information',
8534:'may be provided to members of the technical evaluation team in accordance with agency procedures. 5 small business subcontracting evaluation.',
8535:'solicitations mustbe structured to give offers from small business concerns the highest rating for the evaluation factors in 15.304c3ii and',
8536:'c4. b the source selection authority may reject all proposals received in response to a solicitation, if doing so is',
8537:'in the best interest of the government. c for restrictions on the use of support contractor personnel in proposal evaluation,',
8538:'see 37.203d. 15.306 exchanges withofferors after receipt of proposals. a clarifications and award without discussions. 1 clarifications are limited exchanges,',
8539:'between the government and offerors, thatmay occur when award without discussions is contemplated. 2 if award will be made without',
8540:'conductingdiscussions,offerorsmay be given theopportunity toclarifycertain aspects of proposals e.g., the relevance ofan offeror’s past performance informationand adverse past performance information',
8541:'towhich the offeror has not previouslyhadan opportunityto respond or to resolveminor orclerical errors. 3 award may bemade without discussions if',
8542:'the solicitation statesthat the government intends to evaluate proposals and make award without discussions. if the solicitation contains such a',
8543:'notice and the government determines it is necessary to conduct discussions, the rationale for doing so shall be documented in',
8544:'the contract file see the provision at 52.2151 10 u.s.c. 3303a2 and 41 u.s.c. 3703a2. b communications with offerors before',
8545:'establishment of the competitive range. communications are exchanges, between thegovernment and offerors,after receipt of proposals, leading toestablishment of the competitiverange.',
8546:'if a competitive range is to be established, these communications 1 shall be limited tothe offerors described in paragraphsb1i and',
8547:'b1ii ofthissection and ishall be held with offerors whosepast performance information is the determining factor preventingthem from being placed within',
8548:'the competitive range. such communications shall address adverse past performance information to which an offeror has nothada prior opportunityto respond;',
8549:'and iimay only be heldwith those offerors other than offerors under paragraph b1i of this sectionwhose exclusion from, or inclusion',
8550:'in, the competitive range is uncertain; 2 may be conducted to enhance government understanding of proposals; allow reasonable interpretation of',
8551:'the proposal; or facilitate the government’s evaluation process. such communications shall notbe usedto cure proposal deficiencies or material omissions, materially',
8552:'alter the technical or cost elements of the proposal, and/or otherwise revise the proposal. such communications may be considered in',
8553:'rating proposals for the purpose of establishing the competitive range; 3 are for the purpose of addressing issues that must',
8554:'be explored to determine whether a proposal should be placed in thecompetitive range. such communications shall notprovide an opportunity for',
8555:'the offeror to revise its proposal, but may address i ambiguities in the proposal or other concerns e.g., perceived deficiencies,',
8556:'weaknesses, errors, omissions, or mistakes see 14.407; and ii information relating to relevant past performance; and 4 shall addressadverse pastperformance',
8557:'information towhich the offeror has not previouslyhadan opportunityto comment. c competitive range. 1 agencies shall evaluate all proposals in accordance',
8558:'with 15.305a, and, if discussions are to be conducted, establish the competitive range. based on the ratings of each proposal',
8559:'against all evaluation criteria, the federal acquisition regulation contracting officershallestablisha competitive range comprised of allof the most highly rated proposals,',
8560:'unless the range is furtherreduced for purposes of efficiency pursuant to paragraph c2of this section. 2 after evaluating all proposals',
8561:'in accordance with 15.305a and paragraph c1 of this section, the contracting officer may determine thatthe number ofmost highly rated',
8562:'proposals that might otherwise be included in the competitive range exceeds thenumber at which an efficient competition can be conducted.',
8563:'providedthe solicitationnotifies offerors that thecompetitive range can be limited for purposes ofefficiencysee 52.2151f4, the contractingofficer may limit the number ofproposals',
8564:'in the competitive range to the greatest number that will permit an efficient competition among the most highly rated proposals',
8565:'10 u.s.c. 3303 and 41 u.s.c. 3703. 3 if the contracting officer, after complying with paragraph d3 of this section,decides',
8566:'thatan offeror’s proposal should no longer be included in the competitiverange, theproposal shall be eliminated from consideration for award. written',
8567:'notice ofthisdecision shall be provided to unsuccessful offerors in accordance with 15.503. 4 offerorsexcluded or otherwise eliminated from the competitiverange',
8568:'mayrequest adebriefingsee 15.505 and 15.506. d exchanges with offerors after establishment of the competitive range. negotiations are exchanges, in either',
8569:'a competitive or sole source environment,between the government and offerors, that are undertaken with the intent of allowing the offeror',
8570:'to reviseits proposal. these negotiations may include bargaining. bargaining includespersuasion, alteration of assumptions and positions, giveandtake, and may apply to',
8571:'price, schedule, technical requirements, type of contract, or other terms of a proposed contract. when negotiations are conducted in a',
8572:'competitive acquisition, they take place after establishment of the competitive range and are called discussions. 1 discussions are tailored to',
8573:'each offeror’s proposal, and must be conducted by the contracting officer with each offeror within the competitive range. 2 the',
8574:'primary objectiveof discussions is to maximize the government’s abilityto obtain best value, based on the requirement and the evaluation factors',
8575:'set forth in the solicitation. 3 at a minimum, the contracting officer must, subject to paragraphs d5 and e of',
8576:'this sectionand 15.307a, indicate to, or discuss with, each offeror still being considered for award, deficiencies, significant weaknesses, and adverse',
8577:'past performanceinformation to which the offeror has notyet had anopportunity torespond. the contractingofficer alsois encouraged to discuss otheraspects of theofferor’s',
8578:'proposal that could, in the opinion of the contracting officer, be altered or explainedto enhancematerially the proposal’s potential for award.',
8579:'however, thecontracting officer is notrequired to discuss every area where the proposalcould be improved. the scope and extentof discussions area',
8580:'matterof contracting officer judgment. 4 in discussing other aspects ofthe proposal,the government may, in situations wherethe solicitationstatedthat evaluationcredit would be',
8581:'given for technical solutions exceeding any mandatory minimums, negotiate withofferorsfor increased performance beyond any mandatory minimums,and the government may suggest',
8582:'to offerors that have exceeded any mandatory minimums in ways that are not integral to the design, that their proposals',
8583:'would be more competitive if the excesseswere removed and the offeredprice decreased. 5 if, afterdiscussions have begun, an offeror originallyin',
8584:'thecompetitive range is nolonger consideredto beamong themost highly rated offerors being consideredforaward,that offeror may be eliminated from thecompetitive range whether',
8585:'or notallmaterial aspects of the proposal have been discussed, orwhetheror not theofferor has been afforded an opportunity to submit a',
8586:'proposal revision see 15.307a and 15.503a1. e limits on exchanges. government personnel involved in the acquisition shall not engage in',
8587:'conduct that 1 favors one offeror over another; 2 reveals an offerors technical solution, including— i unique technology; ii innovative',
8588:'and unique uses of commercial products or commercial services; or iii any information thatwouldcompromise an offerors intellectual property to another',
8589:'offeror; 3 reveals an offerors price without that offerors permission. however, the contracting officer mayinform an offeror that its price',
8590:'isconsidered by the government to be too high, or too low,and reveal the results of the analysis supporting that conclusion.',
8591:'it is also permissible, at the governments discretion, to indicate toall offerors the cost or price that the governments price',
8592:'analysis, market research, and other reviews have identified as reasonable 41 u.s.c. 2102 and 2107. when using reverse auction procedures',
8593:'see subpart 17.8, it is alsopermissible to reveal to all offerors the offeredprices, without revealing any offerors identity; 4 reveals',
8594:'the names ofindividuals providing referenceinformation about an offeror’s past performance; or 5 knowingly furnishes source selection information in violation of',
8595:'3.104 and 41 u.s.c.2102 and 2107. subpart 15.3 source selection 15.308 15.307 proposal revisions. a if an offeror’s proposal is',
8596:'eliminated orotherwise removed from thecompetitive range, no further revisions to that offeror’s proposal shall be accepted orconsidered. b the contractingofficer',
8597:'may request or allow proposal revisions to clarify and document understandings reached during negotiations. at the conclusion of discussions, each',
8598:'offeror stillin the competitive range shall begiven an opportunity to submita final proposal revision. thecontracting officer is requiredto establish a',
8599:'common cutoff dateonly for receiptof final proposal revisions. requests for final proposal revisions shall advise offerors that the final proposal',
8600:'revisions shall be in writing and that the government intends to make award without obtaining further revisions. 15.308 sourceselection decision.',
8601:'the sourceselection authority’s ssa decisionshallbe based ona comparative assessment of proposalsagainst all source selection criteria in the solicitation. while the',
8602:'ssa may use reports and analyses prepared by others, the source selection decision shall represent the ssa’s independent judgment. thesource',
8603:'selection decisionshallbe documented, and the documentation shall include therationaleforanybusiness judgments andtradeoffs made or relied onby the ssa, including benefits associated',
8604:'with additional costs. although the rationale for the selection decision must be documented, that documentation need not quantify the tradeoffs',
8605:'thatled to the decision. this page intentionally left blank. 15.36 subpart 15.4 contract pricing 15.4031 subpart 15.4 contract pricing 15.400scope',
8606:'of subpart. this subpart prescribes the cost and price negotiation policies and procedures for pricing negotiated prime contracts including subcontracts',
8607:'and contract modifications, including modifications to contracts awarded by sealed bidding. 15.401definitions. as used in this subpart price means cost',
8608:'plus any fee or profit applicable to the contract type. subcontract except as used in 15.4072 also includes a transfer',
8609:'of commercial products or commercial services between divisions,subsidiaries, oraffiliates of a contractor or a subcontractor 10 u.s.c. 37012 and 41',
8610:'u.s.c. 3501a3. 15.402 pricing policy. contracting officersshall a purchase supplies and services from responsible sources at fair and reasonable prices.',
8611:'in establishing the reasonableness ofthe offered prices, the contracting officer 1 shall obtain certified cost or pricing data when required',
8612:'by 15.4034, along with data other than certified cost or pricing data as necessary to establish a fair and reasonable',
8613:'price; or 2 when certified cost or pricing data are not required by 15.4034, shall obtain data other than certified',
8614:'cost or pricing data as necessary to establish a fair and reasonable price, generally using the following order of preference',
8615:'in determining the type of data required: ino additional data from theofferor,if the price is based on adequate pricecompetition, except',
8616:'as provided by 15.4033b. ii data other than certified cost or pricing data such as a data related to prices',
8617:'e.g., established catalog or market prices, sales to nongovernmental and governmental entities, relying first ondata available withinthe government; second, on',
8618:'data obtained from sourcesotherthan the offeror; and, if necessary,on data obtained from the offeror. when obtaining data from the offeror',
8619:'is necessary, unless an exception under 15.4031b1 or2applies, suchdata submitted by the offeror shall include, at aminimum, appropriate data onthe',
8620:'prices atwhich the same or similar items have been sold previously, adequateforevaluating thereasonableness of theprice. b cost data to the',
8621:'extent necessaryforthe contracting officer to determinea fair and reasonableprice. 3 obtain the type and quantity of data necessary to establish',
8622:'a fair and reasonable price, but not more data than is necessary. requesting unnecessary datacan lead to increased proposal preparationcosts,',
8623:'generally extend acquisition lead time, and consume additional contractor and government resources. use techniques such as, but not limited to,',
8624:'price analysis, cost analysis, and/or cost realism analysis to establish a fair and reasonable price. if a fair and reasonable',
8625:'price cannot be established by the contracting officer fromthe analyses of the data obtainedor submitted todate, the contractingofficer shall require',
8626:'the submission of additional data sufficient for the contractingofficer to support thedetermination of the fair and reasonable price. b price',
8627:'each contract separately and independently and not 1 use proposed price reductions under other contracts as an evaluation factor; or',
8628:'2 consider losses or profits realized or anticipated under other contracts. c not include in a contract price any amount',
8629:'for a specified contingency to the extent that the contract provides for a price adjustment based upon the occurrence of',
8630:'thatcontingency. 15.403obtaining certified cost or pricing data. 15.4031prohibition on obtainingcertified costor pricing data 10 u.s.c. chapter 271 and 41 u.s.c.',
8631:'chapter 35. a certified cost or pricing data shall not be obtained for acquisitions at or below the simplified acquisition',
8632:'threshold. b exceptions to certified cost or pricing data requirements.the contracting officer shall notrequire certified cost or pricing data to',
8633:'support any action contracts, subcontracts, or modifications but may require data other than certified cost or pricing data as defined',
8634:'in far 2.101 to support a determination of a fair and reasonable price or cost realism— 1 when the contractingofficer',
8635:'determines that prices agreedupon are based on adequateprice competition see standards in paragraph c1 of this subsection; 15.4031 federal acquisition',
8636:'regulation 2 when the contractingofficer determines that prices agreedupon are based on pricesset by law or regulationsee standards in paragraph',
8637:'c2 of this subsection; 3 when a commercial product or commercial service is being acquired see standards in paragraph c3',
8638:'of this subsection; 4 when a waiver has been granted see standards in paragraph c4 of this subsection; or 5',
8639:'when modifying a contract or subcontract for commercial products or commercial services see standards in paragraph c3 of this section.',
8640:'c standards for exceptions from certified cost or pricing data requirements— 1 adequate price competition. i a price is based',
8641:'on adequate price competition when— atwo ormoreresponsibleofferors, competing independently, submit priced offersthat satisfy the government’s expressed requirement; b award will',
8642:'bemadeto the offeror whose proposalrepresents the best value see 2.101 where price is a substantial factor in source selection; and',
8643:'c thereisnofindingthatthepriceoftheotherwisesuccessfulofferorisunreasonable. anyfindingthatthe price isunreasonable must be supported by a statement of thefacts andapproved at a level above thecontracting officer.',
8644:'ii for agencies other than dod, nasa, and the coast guard, a price is also based on adequate price competition',
8645:'when– a there was a reasonable expectation, based on market research or other assessment, that two or more responsible offerors,',
8646:'competing independently, would submit priced offers in response to the solicitations expressed requirement, even though only one offer is received',
8647:'from a responsible offerorandif 1 based onthe offer received, the contracting officercan reasonably conclude that the offer was submitted with',
8648:'the expectation of competition, e.g., circumstances indicate that– i theofferor believed thatat leastone otherofferor wascapable of submitting a meaningful offer;',
8649:'and ii the offeror had noreason to believe that other potential offerors did not intend to submit an offer; and',
8650:'2 the determination that the proposed price is based on adequate price competition and is reasonable has been approved at',
8651:'a level abovethe contracting officer;or b price analysis clearly demonstrates that the proposed price is reasonable in comparison with current',
8652:'or recent prices for the same or similar items, adjusted to reflect changes in market conditions, economic conditions, quantities, or',
8653:'terms and conditions under contracts that resulted from adequate price competition. 2 prices set by law or regulation. pronouncements in',
8654:'the form of periodic rulings, reviews, or similar actions of a governmental body, or embodied in the laws, are sufficientto',
8655:'set a price. 3 commercial products and commercial services. i anyacquisitionthat the contracting officer determines meets the commercial product or',
8656:'commercial service definition in 2.101, or any modification, as defined in paragraph 3i of the commercial product definition, that does',
8657:'not change a commercial product to other than commercial, is exempt from therequirementforcertifiedcostor pricing data. if thecontracting officer determines thata',
8658:'productor service claimed to be commercial is not, and that no other exception or waiver applies e.g., the acquisition is',
8659:'not based on adequate price competition; the acquisition is not based on prices set by law or regulation; and the',
8660:'acquisition exceeds the threshold for the submission of certified cost or pricing data at 15.4034a1 the contractingofficer shall require submission',
8661:'of certified cost or pricing data. ii in accordance with section 41 u.s.c. 3501: awhen purchasingservices that are not offered',
8662:'andsold competitivelyin substantial quantities in the commercial marketplace, but areof atype offeredandsold competitively in substantial quantitiesin thecommercial marketplace, they may',
8663:'be considered commercial services thus meeting the purpose of 41 u.s.c.chapter 35 and 10 u.s.c. chapter 271 for truth in',
8664:'negotiations only if the contracting officer determines in writing that the offeror has submitted sufficient information to evaluate, through price',
8665:'analysis, thereasonableness of theprice of such services. b in order to make thisdetermination, the contracting officer mayrequest the offeror to',
8666:'submit pricespaid for the same or similar commercial services under comparable terms and conditions by both government and commercial customers;',
8667:'and c if the contracting officer determines that the information described inparagraph c3iib of this section is not sufficient to',
8668:'determinethe reasonableness of price, other relevant information regarding thebasis for price or cost, including information on labor costs, material costs',
8669:'and overhead rates may be requested. iii the following requirements apply to minor modifications defined in paragraph 3ii of the',
8670:'definition of a commercial product at 2.101 that do not change the commercial product to other than commercial: subpart 15.4',
8671:'contract pricing 15.4033 a for acquisitions funded by any agency other than dod, nasa, or coast guard, such modifications of',
8672:'a commercial product are exempt from the requirement for submission of certified cost or pricing data. b for acquisitions funded',
8673:'by dod, nasa, or coast guard, such modifications of a commercial product are exempt from the requirement for submission of',
8674:'certified cost or pricing data provided the total price of all such modifications under a particular contract action does not',
8675:'exceed the greater of the threshold for obtaining certified cost or pricing data in 15.4034 or 5 percent of the',
8676:'total price of the contract at the time of contract award. c for acquisitions funded by dod, nasa, or coast',
8677:'guard such modifications of a commercial product are not exempt from the requirement for submission of certified cost or pricing',
8678:'data on the basis of the exemption provided for at 15.4031c3 if the total price of all such modifications under',
8679:'a particular contract action exceeds the greater of the threshold for obtaining certified cost or pricing data in 15.4034 or',
8680:'5 percent of the total price of the contract at the time of contract award. iv any acquisition for other',
8681:'than commercial products or services treated as commercial products or commercial services at 12.102f1, except sole source contracts greater than',
8682:'$20 million, is exempt from the requirements for certified cost or pricing data 41 u.s.c. 1903. 4 waivers. the head',
8683:'ofthe contracting activityhca may, without power of delegation, waive the requirement for submission of certified cost or pricing data in',
8684:'exceptional cases. the authorization for the waiver and the supporting rationale shall be in writing. the hca may consider waiving',
8685:'the requirement if the price can be determined to be fair and reasonable without submission of certified cost or pricing',
8686:'data. for example, if certified cost or pricing data were furnished on previous production buys and thecontracting officer determines suchdata',
8687:'are sufficient, when combined with updateddata, awaiver may be granted. if the hca has waived the requirement for submission of',
8688:'certified cost or pricing data, the contractor or highertier subcontractor to whom the waiver relates shall be considered as having',
8689:'been required to provide certified cost or pricing data. consequently, awardof any lowertier subcontract expected toexceed the certified cost or',
8690:'pricing data threshold requires the submission of certified cost or pricing data unless i an exception otherwise applies to the',
8691:'subcontract; or ii the waiver specifically includes the subcontract and the rationale supporting the waiver for that subcontract. 15.4032other circumstances',
8692:'where certified cost or pricingdata are not required. a the exercise of an option at the price established at contract',
8693:'award or initial negotiation does not require submission of certified cost or pricing data. b certified cost or pricing data',
8694:'are not required for proposals used solely for overrun funding or interim billing price adjustments. 15.4033 requiring data other than',
8695:'certified cost or pricing data. a 1inthoseacquisitionsthatdonotrequirecertifiedcostorpricingdata,thecontractingofficershall— i obtain whatever data are available from government or other secondary sources and',
8696:'use that data in determining a fair and reasonable price; ii require submission of data other than certified cost or',
8697:'pricing data, as defined in 2.101, fromthe offeror to the extent necessary to determine a fair and reasonable price 10',
8698:'u.s.c. 3705a and 41 u.s.c.3505aif the contracting officer determines that adequate data from sources other than theofferor arenot available. thisincludes',
8699:'requiring data from an offeror to support a cost realism analysis; iii consider whether cost data are necessary to determine',
8700:'a fair and reasonable price when there is not adequate price competition; iv requirethat thedata submitted by the offeror include,',
8701:'at a minimum, appropriate data onthe prices atwhich the same item or similar items have previously been sold, adequate for',
8702:'determining the reasonableness of the price unless an exception under 15.4031b1 or 2 applies; and v consider the guidance in',
8703:'section 3.3, chapter 3, volume i, of the contract pricing reference guide cited at 15.4041a7 to determine the data anofferor',
8704:'shall berequired to submit. 2 the contractor’s format for submitting thedata should be used see 15.4035b2. 3 the contractingofficer shall',
8705:'ensure thatdata used to support price negotiations are sufficientlycurrent to permit negotiation of a fair and reasonableprice. requests for updated',
8706:'offeror data should be limited to data that affectthe adequacy of the proposal for negotiations, such as changes in price',
8707:'lists. 4 asspecified in section 808 of thestrom thurmond national defense authorization act for fiscal year1999 pub. l. 105261, an',
8708:'offeror who doesnot comply with a requirement tosubmit datafora contract or subcontract inaccordance 15.4034 federal acquisition regulation with paragraph a1',
8709:'of this subsection is ineligible for award unless the hca determines that it is in the best interest of the',
8710:'government to make the awardto that offeror, based on consideration of thefollowing: ithe effort made to obtainthe data. ii the',
8711:'need for the item or service. iii increased cost or significant harm to the government if award is not made.',
8712:'b adequate price competition. when adequate price competition exists see 15.4031c1, generally no additional data arenecessary todetermine thereasonableness of price.',
8713:'however,if there are unusual circumstances where it isconcludedthat additional data arenecessary todetermine the reasonableness of price, thecontracting officer shall, to',
8714:'the maximum extent practicable, obtainthe additional data from sourcesother thanthe offeror. in addition, the contracting officershouldrequest datato determine the cost',
8715:'realism of competing offers or to evaluate competing approaches. c commercial products and commercial services. 1 at aminimum, the contracting',
8716:'officer mustuse priceanalysis to determine whether the price is fairand reasonable whenever the contracting officer acquires a commercial productor commercial',
8717:'service see 15.4041b. the fact that a price is included in a catalog does not, in and of itself, make',
8718:'it fair and reasonable. if thecontracting officer cannot determine whether an offered priceis fair and reasonable, even after obtaining additional',
8719:'data from sourcesother thanthe offeror, then the contracting officer shall require the offeror tosubmit data other than certified cost or',
8720:'pricing data to support further analysis see 15.4041. this data may include history of sales to nongovernmental and governmental entities,',
8721:'cost data, or any other informationthe contracting officerrequiresto determine the price is fair and reasonable. unless an exception under 15.4031b1',
8722:'or 2 applies, the contracting officer shall require that the datasubmitted by the offeror include, ata minimum, appropriatedata on the',
8723:'prices at which the same item or similar items have previously been sold, adequate for determining the reasonableness of the',
8724:'price. 2 limitations relating to commercial products or commercial services 10 u.s.c. 3705b and 41 u.s.c. 3505b. i the contractingofficer',
8725:'shall limit requests for sales data relating to commercialproducts or commercial services todata for the same or similar items during',
8726:'a relevant time period. iithe contracting officer shall, to the maximumextent practicable, limit the scope of the request for datarelating',
8727:'to commercial products or commercial services to include only data that are in theform regularlymaintained by the offeror as part',
8728:'of its commercial operations. iii the government shall not disclose outside the government data obtained relating to commercial products or',
8729:'commercial services that is exempt from disclosure under 24.202a or the freedom of information act 5 u.s.c. 552b. 3 for',
8730:'servicesthat arenot offeredand sold competitively in substantial quantitiesin the commercial marketplace,but areof atype offered andsold competitivelyin substantial quantities in thecommercial',
8731:'marketplace, see 15.4031c3ii. 15.4034 requiring certified cost or pricing data 10 u.s.c. chapter 271 and 41 u.s.c. chapter 35. a',
8732:'1thecontractingofficershallobtaincertifiedcostorpricingdataonlyifthecontractingofficerconcludesthatnone of the exceptions in 15.4031b applies. however, ifthe contracting officer has reason to believe exceptionalcircumstances exist and has sufficient',
8733:'data available to determine a fair andreasonable price, then the contracting officer should consider requesting a waiver under the exception',
8734:'at 15.4031b4. the threshold for obtaining certified cost or pricing data is $750,000 for prime contracts awarded before july 1,',
8735:'2018, and $2 million for prime contracts awarded on or after july 1, 2018.when a clause refers to this threshold,',
8736:'and if the threshold is adjusted for inflation pursuant to 1.109a, then pursuant to 1.109d the changed threshold applies throughout',
8737:'the remaining term of the contract, unless there is a subsequent threshold adjustment. unless an exception applies, certified cost or',
8738:'pricing data are required before accomplishing any of the following actions expected to exceed the current thresholdor, in the case',
8739:'ofexisting contracts, thethreshold specifiedin the contract: i the award of any negotiated contract except for undefinitized actions such as letter',
8740:'contracts. iithe award of a subcontract atanytier, if the contractor and eachhighertier subcontractor were requiredto furnish certified cost or pricing',
8741:'data but see waivers at 15.4031c4. iii the modification of any sealed bid or negotiated contract whether or not certified',
8742:'cost or pricing data were initially required or any subcontract covered by paragraph a1ii of this subsection. price adjustment amounts',
8743:'must consider both increases and decreases e.g., a $500,000 modification resulting from a reduction of $1,500,000 and an increase of',
8744:'$1,000,000 is a $2,500,000 pricing adjustment exceeding the $2,000,000 threshold. this requirement does not apply when unrelated and separately priced',
8745:'changes for which certified cost or pricing data would not otherwise be required are included for administrative convenience in the',
8746:'same modification. negotiated final pricing actions such as termination settlements and total final price agreements for fixedprice incentive and redeterminable',
8747:'contracts are contract modifications requiring certified cost or pricing data if subpart 15.4 contract pricing 15.4041 a the total final',
8748:'price agreement for such settlements or agreements exceeds the pertinent threshold set forth at paragraph a1 of this subsection; or',
8749:'b the partial termination settlement plus the estimate to complete the continued portion of the contract exceeds the pertinent threshold',
8750:'set forth at paragraph a1 of this subsection see 49.105c15. 2 unless prohibited because an exception at 15.4031b applies,the head',
8751:'of the contracting activity, without power of delegation, mayauthorize thecontracting officer toobtaincertifiedcost or pricing data for pricing actions below the',
8752:'pertinent threshold in paragraph a1 of this subsection, provided the action exceeds the simplified acquisition threshold. the head of the',
8753:'contracting activity shall justify the requirement for certified cost or pricing data. the documentation shall include a written finding that',
8754:'certified cost or pricing data are necessary to determine whether the price is fair and reasonable and the facts supporting',
8755:'that finding. 3 upon the request of a contractor that was required to submit certified cost or pricing data in',
8756:'connection with a prime contract entered into beforejuly 1,2018, the contractingofficer shall modify the contract, withoutrequiring consideration, to reflect a',
8757:'$2 million threshold for obtaining certified cost or pricing data on subcontracts entered on and after july 1, 2018. see',
8758:'15.408. b when certified cost or pricingdata are required,the contracting officer shall require thecontractor or prospective contractor to submit to',
8759:'thecontracting officer and to have any subcontractor or prospective subcontractor submit to the prime contractor or appropriate subcontractor tier the',
8760:'following in support of any proposal: 1 the certified cost orpricing dataand data other than certified cost or pricing data',
8761:'required by the contractingofficer to determine that the price is fair and reasonable. 2 a certificate of current cost or',
8762:'pricing data, in the format specified in 15.4062, certifying that to the best of its knowledge and belief,the cost or',
8763:'pricing data were accurate,complete, and current as of the date ofagreement on price or, if applicable, an earlier date agreed',
8764:'upon between the parties that is as close as practicable to the date of agreement on price. c if certified',
8765:'costor pricingdata are requested and submitted byan offeror, but an exception islater found to apply, the data must not be',
8766:'considered certified cost or pricing data as defined in 2.101 and must not be certified in accordance with 15.4062 d',
8767:'the requirements of this subsection also apply to contracts entered into by an agency on behalf of a foreign government.',
8768:'15.4035 instructions for submission of certified cost or pricing data and data other than certified cost or pricing data. a',
8769:'taking intoconsideration the policy at 15.402, thecontracting officer shall specify in the solicitation see 15.408l and m 1 whether certified',
8770:'cost or pricing data are required; 2 that, in lieu of submitting certified costor pricingdata, the offeror may submita requestforexception',
8771:'from the requirement to submit certified cost or pricing data; 3 any requirement for data other than certified cost or',
8772:'pricing data; and 4 the requirement for necessary preaward orpostaward access toofferor’s records. b 1 format for submission of certified',
8773:'cost or pricing data. when certificationis required, thecontracting officer may require submission of certified cost or pricing data in the',
8774:'format indicated in 15.408 solicitation provisions and contract clauses. of 15.408, specify an alternative format, orpermit submission in the contractor’s',
8775:'format see 15.408l1, unless the data are required to be submitted on one of the termination forms specified in subpart',
8776:'49.6. 2 format for submission of data other than certified cost or pricing data. when required by the contractingofficer, dataother',
8777:'thancertifiedcostor pricing data may be submittedin the offeror’s own format unless thecontracting officer decides that use of a specific format',
8778:'is essential for evaluating and determining that the price is fair and reasonable and the format has been described in',
8779:'the solicitation. 3 format for submission of data supporting forward pricing rate agreements. data supporting forward pricing rate agreements or',
8780:'finalindirectcost proposalsshallbe submitted in a form acceptable tothe contracting officer. 15.404 proposal analysis. 15.4041proposal analysistechniques. a general. the objective of',
8781:'proposal analysis is to ensure that the final agreedto price is fair and reasonable. 1 the contractingofficer is responsible for',
8782:'evaluating the reasonableness ofthe offered prices. theanalytical techniques and procedures described in this subsection may be used, singly or in',
8783:'combination with others, to ensure that the 15.4041 federal acquisition regulation final price is fair and reasonable. the complexity and',
8784:'circumstances of each acquisition should determine the level of detail of the analysis required. 2 price analysis shall be used',
8785:'when certified cost or pricing data are not required see paragraph b of this subsection and 15.4043. 3 cost analysis',
8786:'shall be used to evaluate the reasonableness of individual cost elements when certified cost or pricing dataare required. price analysis',
8787:'should be used to verify thatthe overall price offered is fairand reasonable. 4 cost analysis may also be used to',
8788:'evaluate data other than certified cost or pricing data to determine cost reasonableness or cost realism when a fair and',
8789:'reasonable price cannot be determined through price analysis alone. 5 the contractingofficer may request the advice and assistance ofotherexperts to',
8790:'ensurethat anappropriate analysis is performed. 6 recommendationsor conclusions regarding the government’s review or analysis of an offeror’s orcontractor’s proposal shall',
8791:'not be disclosed to the offeror or contractor withoutthe concurrenceof the contractingofficer. any discrepancy or mistake of fact such as',
8792:'duplications, omissions, and errors in computation contained in the certified cost or pricing data or data other than certified cost',
8793:'or pricing data submitted in support of a proposal shall be brought to the contracting officer’s attention for appropriate action.',
8794:'7 the air forceinstitute of technology afit and the federal acquisition institutefai jointly prepared a five volume set of contract',
8795:'pricing reference guides to guide pricing and negotiation personnel. the five guides are: i price analysis, iiquantitative techniquesforcontract pricing, iii',
8796:'cost analysis, ivadvanced issues in contract pricing,and v federalcontract negotiation techniques. these references provide detailed discussion and examples applyingpricing policies',
8797:'to pricing problems. theyare tobe used for instruction and professional guidance. however, they arenot directive and should beconsidered informational only.',
8798:'they are available via the internet at http://www.acq.osd.mil/dpap/cpic/cp/ contractpricingreferenceguides.html. b price analysis. 1 price analysis is the process of examining',
8799:'and evaluating a proposed price without evaluating its separate cost elements and proposed profit. unless an exception from the requirement',
8800:'to obtain certified cost or pricing data applies under 15.4031b1 orb2,at a minimum,the contracting officershallobtain appropriate data,without certification, on the',
8801:'prices at which the same or similar items have previously been sold and determine if the data is adequate for',
8802:'evaluating the reasonableness of the price. price analysis may include evaluating data other than certified cost or pricing dataobtained from',
8803:'the offeror or contractor whenthere is no other means for determining afair and reasonable price. contracting officersshallobtain data other than',
8804:'certified cost or pricing data from the offeror or contractorforall acquisitions including commercial acquisitions, ifthat is the contracting officer’s only',
8805:'means to determinethe price to be fairand reasonable. 2 the government may use various price analysis techniques and procedures to',
8806:'ensure a fair and reasonable price. examples of such techniques include, but are not limited to, the following: icomparison of',
8807:'proposed pricesreceived in response tothe solicitation. normally, adequateprice competition establishes a fair and reasonable price see 15.4031c1. ii comparison of',
8808:'the proposed prices to historical prices paid, whether by the government or other than the government, for the same or',
8809:'similar items. this method may be used for commercial products or commercial services including those “of a type” or when',
8810:'requiring minor modifications for commercial products. a the prior price must be a valid basis for comparison. if there has',
8811:'been a significant time lapse between thelast acquisition and thepresent one, if the terms and conditionsof the acquisition are significantly',
8812:'different, or if the reasonableness of the prior price is uncertain, then the prior price may not be a valid',
8813:'basis for comparison. b the prior price must be adjustedto account for materially differingterms and conditions, quantities and market and',
8814:'economicfactors. for similar items, thecontracting officer must also adjust the priorprice to account for material differences between the similar item',
8815:'andthe item beingprocured. c expert technical advice should be obtained when analyzing similar items, or commercial products or commercial services',
8816:'that are “of a type”, or requiring minor modifications for commercial products, to ascertain the magnitude of changes required and',
8817:'to assist in pricing the required changes iii use of parametric estimating methods/application of rough yardsticks such as dollars per',
8818:'pound or per horsepower, or other units to highlight significant inconsistencies that warrant additional pricing inquiry. iv comparison with competitive',
8819:'published price lists, published market prices of commodities, similar indexes, and discount or rebate arrangements. v comparison of proposed prices',
8820:'with independent government cost estimates. vi comparison of proposed prices with prices obtained through market research for the same or',
8821:'similar items. subpart 15.4 contract pricing 15.4041 vii analysis of data other than certified cost or pricing data as defined',
8822:'at 2.101 provided by the offeror. 3 the first two techniques at 15.4041b2 are the preferred techniques. however,if the contracting',
8823:'officer determines that informationon competitive proposed prices orprevious contract pricesis not available oris insufficient to determine that the price is',
8824:'fairand reasonable, the contracting officer may use any ofthe remaining techniques as appropriate to the circumstances applicable to the acquisition.',
8825:'4 valueanalysiscan give insightinto the relativeworth of a product and thegovernment may use it in conjunction with the price analysis',
8826:'techniques listed in paragraph b2 of this section. c cost analysis. 1 cost analysis is the review and evaluation of',
8827:'any separate cost elements and profit or fee in an offeror’s orcontractor’sproposal, as needed to determine a fair and reasonable',
8828:'price or to determine cost realism, and the application of judgment to determine how well the proposed costs represent what',
8829:'the cost of the contract should be, assuming reasonable economy and efficiency. 2 the government may use various cost analysis',
8830:'techniques and procedures to ensure a fair and reasonable price, given the circumstances of the acquisition. such techniques and procedures',
8831:'include the following: iverification ofcost data or pricing data and evaluation of cost elements, including athe necessity for, and reasonablenessof,proposed',
8832:'costs, including allowances for contingencies; b projection of the offeror’s cost trends, on the basis of current and historical cost',
8833:'orpricing data; c reasonableness of estimates generated by appropriately calibrated and validated parametric models or cost estimating relationships; and d',
8834:'the application of audited or negotiated indirect cost rates, labor rates, and cost of money or other factors. iievaluating theeffect',
8835:'of the offeror’s current practices on future costs. inconducting this evaluation, the contracting officershallensure that the effects of inefficient oruneconomical',
8836:'past practices are not projected into the future. in pricing production of recently developed complex equipment, the contracting officer should',
8837:'perform a trend analysis of basic labor and materials,evenin periods of relativeprice stability. iii comparisonof costs proposed bythe offeror for',
8838:'individual cost elementswith aactual costspreviously incurred by the same offeror; b previous cost estimatesfrom the offeror or from other offerors',
8839:'for the same or similar items; c other cost estimates received in response to the government’s request; d independent government',
8840:'cost estimates by technical personnel; and e forecasts of planned expenditures. iv verification thatthe offerors cost submissions are in accordance',
8841:'with the contract cost principles and procedures in part 31 and, when applicable, the requirements and procedures in 48 cfr',
8842:'chapter 99, cost accounting standards. v review to determine whether any cost data or pricing data, necessary to make theofferor’s',
8843:'proposal suitable for negotiation, have notbeeneither submitted or identified inwriting by theofferor. if there are such data, thecontracting officer shall',
8844:'attemptto obtain and use them in the negotiations or make satisfactory allowance for theincomplete data. vi analysis of the results',
8845:'of any makeorbuy program reviews, in evaluating subcontract costs see 15.4072. d cost realism analysis. 1 cost realism analysis is',
8846:'the process of independently reviewing and evaluating specific elements of each offeror’s proposed costestimateto determine whether the estimated proposed cost',
8847:'elements are realistic for the work to be performed; reflect a clear understanding of the requirements; and are consistent with',
8848:'the unique methods of performanceand materials described in the offeror’stechnical proposal. 2 cost realism analyses shall be performed on costreimbursement',
8849:'contracts to determine the probable cost of performanceforeach offeror. ithe probable cost may differ from theproposed cost and should reflect',
8850:'thegovernment’s best estimate of the cost of any contract that is most likely to resultfrom the offeror’s proposal. the probable',
8851:'cost shall be used for purposes of evaluation to determine the best value. iithe probable cost is determinedby adjusting each',
8852:'offeror’s proposedcost, and fee when appropriate, to reflect any additions or reductions in cost elements to realistic levels based on',
8853:'the results of the cost realism analysis. 3 costrealism analyses may also be used on competitive fixedprice incentive contracts or,',
8854:'in exceptional cases, on other competitive fixedpricetype contracts when new requirements may not be fully understood by competingofferors, there are',
8855:'quality concerns, or past experience indicates that contractors’ proposed costs have resulted in quality or service shortfalls. resultsof the analysis',
8856:'may be used in performance risk assessments and responsibilitydeterminations. however, proposals shall beevaluated usingthe criteria in thesolicitation, and theoffered prices',
8857:'shall not beadjusted as a result of the analysis. 15.4041 federal acquisition regulation e technical analysis. 1 thecontracting officer should',
8858:'request that personnel having specialized knowledge, skills, experience, or capability in engineering, science, or management perform a technical analysis of',
8859:'the proposed types and quantitiesof materials, labor, processes,special tooling, equipment or real property, the reasonableness of scrap and spoilage, and',
8860:'other associated factors set forth in the proposals in order to determine the need for and reasonableness of the proposed',
8861:'resources, assumingreasonable economy andefficiency. 2 at a minimum, the technical analysis should examine the types and quantities of material proposed',
8862:'and the need for the types and quantities of labor hours and the labor mix. any other data that may',
8863:'be pertinent to an assessment of the offeror’s ability to accomplish the technical requirements orto thecostor price analysis of the',
8864:'service or product being proposed should also be included in the analysis. 3 the contractingofficer should request technical assistance in',
8865:'evaluating pricing relatedto items that are similar to items being purchased, or commercial products or commercial services that are “of',
8866:'a type”, or requiring minor modifications for commercial products, to ascertain the magnitude of changes required and to assist in',
8867:'pricing the required changes. f unit prices. 1 except when pricing an item on the basis of adequate price competition',
8868:'or catalog or market price, unit prices shall reflect the intrinsic value of an item or serviceandshallbe inproportion to an',
8869:'item’s base cost e.g., manufacturing or acquisition costs. any method of distributing costs to line items that distorts the unit',
8870:'prices shall not be used. for example, distributing costs equally among line items is not acceptable except when there is',
8871:'little or no variation in base cost. 2 except for theacquisitionof commercial products, contracting officers shall require that offerors identify',
8872:'in their proposals those items of supply that they will not manufacture or to which they will not contribute significant',
8873:'value, unless adequate price competition is expected 10 u.s.c. 3703a1a and 41 u.s.c. 3503a1a. such information shall be used to',
8874:'determine whether the intrinsic value of an item has been distorted through application of overhead and whether suchitems should be',
8875:'consideredforbreakout. the contracting officer should require such information in all other negotiated contracts when appropriate. g unbalanced pricing. 1 unbalanced',
8876:'pricing may increase performance risk and could result in payment of unreasonably high prices. unbalanced pricing exists when, despite an',
8877:'acceptable total evaluated price, the price of one or more line items is significantly over or understated as indicated by',
8878:'the application of cost or price analysis techniques. the greatest risks associated with unbalanced pricing occur when i startup work,',
8879:'mobilization, first articles, or first article testing are separate line items; ii base quantities and option quantities are separate line',
8880:'items; or iii the evaluated price is the aggregate of estimated quantities to be ordered under separate line items of',
8881:'an indefinitedelivery contract. 2 all offers with separately priced line items orsubline items shall be analyzed todetermine if the prices',
8882:'are unbalanced. if cost or priceanalysistechniques indicatethat anoffer is unbalanced, the contractingofficer shall i consider the risks to the government',
8883:'associated with the unbalanced pricing in determining the competitive range and in making the source selection decision; and ii consider',
8884:'whether award of the contract will result in paying unreasonably high prices for contract performance. 3 an offer may berejectedif',
8885:'the contracting officer determines that the lack of balance poses an unacceptable risk to the government. h review and justification',
8886:'of passthrough contracts. 1 the requirements of this paragraph h are applicable to all agencies. the requirements apply by law',
8887:'to the department of defense, the department of state, and the united states agency for international development, per section 802',
8888:'of thenational defenseauthorization act ndaa for fiscal year 2013. the requirements apply as a matter of policy to other federal',
8889:'agencies. 2 except as provided in paragraph h3of this section, whenan offerorfora contract or a task or delivery order informs',
8890:'thecontracting officer pursuantto 52.21522 that it intends to award subcontracts for more than 70 percent of the total cost of',
8891:'work tobe performed under the contract, task ordelivery order, the contracting officer shall– i consider the availability of alternative contract',
8892:'vehicles and the feasibility of contracting directly with a subcontractor or subcontractors that will perform the bulk of the work.',
8893:'if such alternative approaches are selected, any resultingsolicitationsshallbeissuedinaccordancewiththecompetitionrequirementsunderfar part 6; ii make a written determination that the contracting approach selected',
8894:'is in the best interest of the government; and iii document the basis for such determination. 3 contract actions awarded',
8895:'pursuant to subparts 19.5, 19.8, 19.13, 19.14, or 19.15 are exempt from the requirements of this paragraph h see section1615',
8896:'of the national defense authorization act for fiscal year 2014 pub. l. 11366. subpart 15.4 contract pricing 15.4042 15.4042datato support',
8897:'proposal analysis. a field pricing assistance. 1 thecontracting officer should request fieldpricing assistance when theinformation available at thebuying activity is',
8898:'inadequate to determine a fair and reasonable price. the contracting officershalltailor requests to reflect the minimum essential supplementary information needed',
8899:'to conduct a technical or cost or pricing analysis. 2 the contractingofficer shall tailor the type of information and levelof',
8900:'detail requested in accordance with the specialized resources available at the buying activity and the magnitude and complexity of the',
8901:'required analysis. field pricing assistance is generally available to provide itechnical, audit,andspecial reportsassociated with the costelements of a proposal, including',
8902:'subcontracts; ii information on related pricing practices and history; iii information to help contracting officers determine commerciality and a fair',
8903:'and reasonable price, including averifying saleshistory to sourcedocuments; b identifying special terms and conditions; c identifying customarilygranted or offered discountsforthe',
8904:'item; dverifying theitem to an existingcatalog or price list; e verifying historical datafora productor service previously not determined commercial that',
8905:'the offeroris now trying to qualify as a commercial product or commercial service; and f identifyinggeneral market conditions affecting determinationsof',
8906:'commerciality and a fair andreasonable price. iv information relative tothe business, technical, production, or othercapabilities and practices of anofferor. 3',
8907:'when field pricing assistance is requested, contractingofficers areencouraged to team with appropriate field experts throughout the acquisition process, including negotiations.',
8908:'early communication with these experts will assist in determining the extent of assistance required, the specific areas for which assistance',
8909:'is needed, a realistic review schedule, and the informationnecessary toperform the review. 4 when requesting field pricing assistance on a',
8910:'contractor’s request for equitable adjustment, the contractingofficer shall provide the information listed in 43.204b5. 5 field pricing information and other',
8911:'reports may include proprietary or source selection information see 2.101. this information mustbe appropriately identified andprotected accordingly. b reporting field',
8912:'pricing information. 1 depending upon the extent and complexityof the fieldpricing review, results, including supportingrationale, maybe reported directly to the',
8913:'contractingofficer orally, in writing, or by any other method acceptable tothe contracting officer. iwhenever circumstances permit,the contracting officerandfield pricingexperts are',
8914:'encouraged to use telephonic and/or electronic means to request and transmit pricing information. iiwhen it isnecessary tohavewritten technical and auditreports,the',
8915:'contracting officer shall request that the audit agency concurrentlyforward theaudit report to therequesting contracting officerand the administrative contracting officer aco.',
8916:'thecompleted field pricing assistanceresults may reference auditinformation, butneednot reconcilethe audit recommendations and technical recommendations. a copy of the information submitted',
8917:'to the contractingofficer by field pricing personnel shall be provided tothe audit agency. 2 auditand field pricing information, whether written',
8918:'or reportedtelephonically or electronically, shall bemadea part ofthe official contractfile see 4.803a19. c audit assistance for prime contracts or subcontracts.',
8919:'1 the contracting officer should contactthe cognizant audit officedirectly, particularly when an audit is the only field pricing support required.',
8920:'the audit office shall send the audit report,or otherwise transmit the audit recommendations, directly to the contractingofficer. ithe auditor shall',
8921:'not reveal the auditconclusionsor recommendations to theofferor/contractorwithout obtaining theconcurrence of the contracting officer. however, the auditor maydiscuss statements of facts',
8922:'with thecontractor. iithe contracting officer should be notified immediately of anyinformation disclosed to the auditor after submission of a report',
8923:'that may significantly affect the auditfindings and, if necessary, asupplemental auditreport shall be issued. 2 the contractingofficer shall not request',
8924:'a separate preaward audit ofindirectcosts unless the information already available from an existing audit, completed within the preceding 12 months,',
8925:'is considered inadequate for determining the reasonableness of the proposed indirect costs 41 u.s.c.4706 and 10 u.s.c. 3841. 3 the',
8926:'auditor is responsible for the scope and depth of the audit. copies of updated information that will significantly affect the',
8927:'auditshouldbe provided to the auditorby the contractingofficer. 15.4043 federal acquisition regulation 4 general access to the offeror’s books and financial',
8928:'records is limited to the auditor. thislimitation does not precludethe contracting officer or the aco, or their representatives, from requestingthat',
8929:'theofferor provide or make available any data or records necessary to analyze the offeror’sproposal. d deficient proposals. the aco or',
8930:'the auditor, as appropriate, shall notifythe contracting officerimmediately if the dataprovided for review is so deficient as to preclude review',
8931:'or audit, or if the contractor or offeror has denied access to any records considered essential to conduct a satisfactory',
8932:'review or audit. oral notifications shall be confirmed promptly in writing, including a description of deficient or denied data orrecords.',
8933:'thecontracting officer immediately shall take appropriate action to obtain the required data. shouldthe offeror/contractor again refuseto provide adequate data, or',
8934:'provide access to necessary data, the contracting officershallwithholdthe award orprice adjustment and refer the contract action to a higher authority,providing',
8935:'details ofthe attempts made toresolve the matterand a statement of the practicabilityof obtaining the supplies or services from another source.',
8936:'15.4043 subcontract pricing considerations. a thecontracting officer is responsible for the determination of a fair and reasonable price for the',
8937:'prime contract, including subcontracting costs. the contracting officer should consider whether a contractor or subcontractor has an approved purchasing system,',
8938:'has performed cost or price analysis of proposed subcontractor prices, or has negotiated the subcontract prices before negotiation of the',
8939:'prime contract, in determining the reasonableness of the prime contract price. this does not relievethe contracting officer from the responsibility',
8940:'to analyze the contractor’s submission, includingsubcontractor’s certified cost or pricing data. b the prime contractor or subcontractor shall 1 conduct',
8941:'appropriate cost or price analyses to establish the reasonableness of proposed subcontract prices; 2 include the results of these analyses',
8942:'in the price proposal; and 3 when required by paragraph c of this subsection, submit subcontractor certified cost or pricing',
8943:'data to the government as part of its own certified cost or pricing data. c any contractor or subcontractor that',
8944:'is required to submit certified cost or pricing data also shall obtain and analyze certified cost or pricing data before',
8945:'awardinganysubcontract, purchase order, or modification expected to exceed the certified cost or pricing data threshold, unless an exception in 15.4031b',
8946:'applies to that action. 1 the contractor shall submit, or cause to be submitted by the subcontractors, certified cost or',
8947:'pricing data to the government for subcontracts that are the lower of either i $15 million or more; or ii',
8948:'both more than the pertinent certified cost or pricing data threshold and more than 10 percent of the prime contractor’s',
8949:'proposed price, unless the contracting officer believes such submission is unnecessary. 2 the contractingofficer should require the contractor or subcontractor',
8950:'to submit to thegovernmentorcause submission of subcontractor certified cost or pricing data below the thresholds in paragraph c1 of this',
8951:'subsection and dataother thancertifiedcostor pricing data that the contracting officer considers necessary for adequately pricing theprime contract. 3 subcontractor certified',
8952:'cost or pricing data shall be submitted in the format provided in 15.408 solicitation provisions and contract clauses. of 15.408',
8953:'or the alternate format specified in the solicitation. 4 subcontractor certified cost or pricing data shall be current, accurate, and',
8954:'complete as of the date of price agreement, or, if applicable, an earlier date agreed uponby the parties and specified',
8955:'on the contractor’s certificate of current cost or pricing data. the contractorshallupdate subcontractor’s data, as appropriate, duringsource selection and negotiations.',
8956:'5 if there is more than one prospective subcontractor for any given work, the contractor need only submit to the',
8957:'government certified cost or pricing data for the prospective subcontractor most likely to receive the award. 15.4044profit. a general. this',
8958:'subsection prescribes policies for establishing the profit or fee portion of the government prenegotiation objective in price negotiations based on',
8959:'cost analysis. 1 profitor fee prenegotiation objectives do notnecessarily represent netincome to contractors. rather, they represent that element of the',
8960:'potential total remuneration that contractors may receive for contract performance over and above allowable costs. this potential remuneration element and',
8961:'the government’sestimateof allowable costs to be incurred in contract performance together equal thegovernment’s total prenegotiationobjective. just as actual costsmay varyfrom',
8962:'subpart 15.4 contract pricing 15.4044 estimated costs, the contractor’s actual realized profit or fee mayvary from negotiatedprofit or fee, because',
8963:'of such factors as efficiency of performance, incurrence of costs the government does not recognize as allowable, and the contract',
8964:'type. 2 it is in the government’s interestto offer contractors opportunities for financial rewardssufficient to stimulate efficientcontract performance, attract the',
8965:'best capabilities of qualified large and small business concerns togovernment contracts, and maintain a viable industrial base. 3 both the',
8966:'government andcontractors should beconcernedwith profit as a motivatorof efficient and effective contract performance. negotiations aimed merely at reducing prices by',
8967:'reducing profit, without proper recognition of the function of profit, are not inthe government’s interest. negotiation of extremely low profits,',
8968:'use of historical averages, or automatic application of predetermined percentages to total estimated costs do not provide proper motivation for',
8969:'optimum contract performance. b policy. 1 structured approaches see paragraph d of this subsection for determining profit or fee prenegotiation',
8970:'objectives provide a discipline for ensuring that all relevant factors are considered. subject to the authorities in 1.301c, agencies making',
8971:'noncompetitive contract awards over $100,000 totaling $50 million or more ayear i shall use a structured approach for determining the',
8972:'profit or fee objective in those acquisitions that require cost analysis; and ii may prescribe specific exemptions for situations in',
8973:'which mandatory use of a structured approach would be clearly inappropriate. 2 agencies may use another agency’s structured approach. c',
8974:'contracting officer responsibilities. 1 when the price negotiation is not based on cost analysis,contracting officers are not required to analyze',
8975:'profit. 2 when the price negotiation is basedon costanalysis, contracting officers in agencies that have astructured approach shall use it',
8976:'toanalyze profit. when not using a structured approach, contracting officersshallcomply with paragraph d1 of this subsection in developing profit or',
8977:'fee prenegotiation objectives. 3 contracting officersshalluse the government prenegotiationcostobjective amounts asthe basis for calculating theprofit or fee prenegotiation objective. before',
8978:'applying profit or feefactors, the contracting officershallexclude from the prenegotiation cost objective amounts the purchase cost of contractoracquired property that',
8979:'is categorized as equipment, as defined in far 45.101, and where such equipment is to be charged directly to the',
8980:'contract. before applying profit orfee factors, the contracting officer shall exclude any facilities capitalcostof money included in the cost objectiveamounts.',
8981:'if the prospective contractor fails to identify or propose facilities capital cost of money in a proposal for a contract',
8982:'that will be subject to the cost principles for contracts with commercial organizations see subpart 31.2, facilities capital cost of',
8983:'money will not be an allowable cost in any resulting contract see 15.408i. 4 ithecontractingofficershallnotnegotiateapriceorfeethatexceedsthefollowingstatutorylimitations, imposed by 10 u.s.c. 3322b',
8984:'and 41 u.s.c. 3905: a for experimental, developmental, or research work performed under a costplusfixedfee contract, the fee shall not',
8985:'exceed 15 percent of the contract’s estimated cost, excluding fee. b for architectengineer services for public works or utilities, the',
8986:'contract price or the estimated cost and fee for production and delivery of designs, plans, drawings, and specifications shall not',
8987:'exceed 6 percent of the estimated cost of constructionof the public work orutility,excluding fees. c forother costplusfixedfee contracts, the fee',
8988:'shall not exceed 10 percent of the contract’s estimated cost, excluding fee. iithe contracting officer’s signature on theprice negotiation memorandum',
8989:'or otherdocumentation supporting determination of fair and reasonableprice documents the contracting officer’s determination thatthe statutory price or fee limitations have',
8990:'not been exceeded. 5 the contractingofficer shall not requireany prospective contractorto submitbreakouts or supportingrationalefor itsprofit orfee objective but may consider',
8991:'it, if it is submitted voluntarily. 6 if a change or modification calls for essentially the same type and mix',
8992:'of work as the basic contract and is of relatively small dollar value compared to the total contract value, the',
8993:'contractingofficer may use the basic contract’sprofit or fee rate as the prenegotiation objective for that change or modification. d profitanalysis',
8994:'factors 1 common factors. unless it is clearly inappropriate or not applicable, each factor outlined in paragraphs d1i through vi',
8995:'of this subsection shall be considered by agencies in developing their structured approaches and by contractingofficers in analyzing profit, whether',
8996:'or not using a structured approach. i contractor effort. this factor measures the complexity of the work and the resources',
8997:'required of the prospective contractor for contract performance. greater profit opportunity should be provided under contracts requiring a high degree',
8998:'15.4044 federal acquisition regulation of professional and managerial skill and to prospective contractors whose skills, facilities, and technical assets can',
8999:'be expected to lead to efficient and economical contract performance. the subfactors in paragraphsd1ia through d of this subsection shall',
9000:'be considered in determining contractoreffort, but they may be modified in specific situations to accommodate differences in the categories used',
9001:'by prospective contractors for listing costs a material acquisition. this subfactor measuresthe managerialandtechnical effort neededto obtain the required purchased parts',
9002:'and material, subcontracted items, and special tooling. considerations include the complexity of the items required, the number of purchase orders',
9003:'and subcontracts to be awarded and administered, whether established sources are available or new or second sources must be developed,',
9004:'and whether material will be obtained through routine purchase orders or through complex subcontracts requiring detailed specifications. profit consideration should',
9005:'correspond to themanagerial and technical effortinvolved. b conversion direct labor. this subfactor measures the contribution of direct engineering, manufacturing, and',
9006:'other labor to converting the raw materials, data, and subcontracted items into the contract items. considerations include the diversity of',
9007:'engineering, scientific, and manufacturing labor skills required and the amount and quality of supervision and coordination needed to perform the',
9008:'contract task. c conversionrelated indirect costs. this subfactor measures how much the indirect costs contribute to contract performance. the labor',
9009:'elements in the allocable indirect costs should be given the profit consideration they would receive if treated as direct labor.',
9010:'the other elementsof indirect costs should beevaluated to determine whether theymerit only limited profit consideration because of their routine nature,',
9011:'or are elements that contribute significantly to the proposed contract. d general management.this subfactor measuresthe prospective contractor’sotherindirectcosts and general and',
9012:'administrative g&a expense, their composition, and how much they contribute to contract performance. considerations include howlaborin theoverheadpools would be treatedif',
9013:'it were direct labor,whetherelements within the pools are routine expenses or instead are elements that contribute significantly to the proposed',
9014:'contract, and whether the elements require routine as opposedto unusual managerialeffort and attention. ii contract cost risk. a this factor',
9015:'measures the degree of cost responsibility and associated risk that the prospective contractor will assume as a result of the',
9016:'contract type contemplated and considering the reliability of the cost estimate in relation to the complexity and duration of the',
9017:'contract task. determination of contract type should be closely related to the risksinvolved in timely, costeffective, and efficient performance. this',
9018:'factor should compensate contractors proportionately for assuming greater cost risks. b the contractor assumes the greatest cost risk in a',
9019:'closely priced firmfixedprice contract under which it agrees to perform a complex undertaking on time and at a predetermined price.',
9020:'some firmfixedprice contracts may entail substantially less cost risk than othersbecause,forexample, the contracttask is less complex or many of the',
9021:'contractor’s costs are knownat the timeof price agreement, in which case therisk factor should be reduced accordingly. thecontractor assumes the',
9022:'least cost risk in a costplusfixedfee levelofeffort contract, under which it isreimbursed thosecosts determined to be allocable and allowable, plus',
9023:'the fixed fee. c in evaluating assumption of cost risk,contracting officers shall, except in unusual circumstances, treat timeand materials, laborhour,and',
9024:'firmfixedprice,levelofeffort term contracts as costplusfixedfee contracts. iii federal socioeconomic programs. this factor measures the degree of support given by the',
9025:'prospective contractor to federal socioeconomic programs, such as those involving small business concerns, small business concerns owned and controlled by',
9026:'socially and economically disadvantaged individuals, womenowned small business concerns, veteranowned, hubzone, servicedisabled veteranowned small business concerns, sheltered workshops for workers',
9027:'with disabilities, and energy conservation. greater profitopportunity should be provided contractors thathavedisplayedunusual initiative in these programs. iv capital investments. thisfactortakes',
9028:'into account the contribution of contractor investments to efficient and economical contract performance. v costcontrol and other past accomplishments. this',
9029:'factor allows additional profit opportunities to a prospective contractor that has previously demonstratedits ability to perform similar tasks effectively and',
9030:'economically. in addition, consideration should be given to measures taken by the prospective contractor that result in productivity improvements, and',
9031:'other costreduction accomplishments that will benefit the government in followon contracts. vi independent development. under this factor, the contractor may',
9032:'be provided additional profit opportunities in recognition of independent developmentefforts relevant tothe contract end item without government assistance. the contracting',
9033:'officershouldconsider whether the development cost was recovered directly or indirectly from government sources. subpart 15.4 contract pricing 15.4062 2 additional',
9034:'factors. in order to foster achievement of program objectives, each agency may include additional factors in its structured approach or',
9035:'take them into account in the profit analysis of individual contract actions. 15.405price negotiation. a the purpose of performing cost',
9036:'or price analysis is to develop a negotiation position that permits the contracting officer and the offeror an opportunity to',
9037:'reach agreement ona fairand reasonable price. a fair and reasonableprice does not require that agreement be reached on every element',
9038:'of cost, nor is it mandatory that the agreed price be within the contracting officer’s initial negotiation position. taking into',
9039:'consideration the advisory recommendations, reports of contributing specialists, and the current status ofthe contractor’s purchasing system, the contracting officer is',
9040:'responsibleforexercising therequisite judgment needed toreacha negotiated settlementwith the offeror andis solelyresponsibleforthe final price agreement. however, when significant auditor other specialist',
9041:'recommendations are notadopted, the contractingofficer should provide rationale that supports the negotiation result in the price negotiation documentation. b the',
9042:'contractingofficer’s primary concern isthe overall price thegovernment will actually pay. the contracting officer’s objective is to negotiatea contract of a',
9043:'type and with a price providing the contractorthe greatest incentivefor efficientand economical performance. the negotiation of a contract type and',
9044:'a price are relatedand should be considered together withthe issues of risk and uncertainty to the contractor andthe government. therefore,',
9045:'the contractingofficer should not become preoccupied with any single element and should balance the contract type, cost, and profit or',
9046:'fee negotiatedto achieve a totalresulta price that is fair and reasonable to both the government and the contractor. c thegovernment’s',
9047:'cost objective and proposed pricing arrangement directly affectthe profit or feeobjective. because profit or feeis only one of several interrelated',
9048:'variables, the contracting officer shall notagreeon profitor fee without concurrent agreement on cost and type of contract. d if, however,',
9049:'the contractor insists on a price or demands a profit or feethat thecontracting officer considers unreasonable, and thecontracting officer has',
9050:'taken all authorized actionsincluding determining the feasibility of developing analternative source withoutsuccess, the contracting officer shall refer the contract action',
9051:'to alevel above the contracting officer. disposition ofthe action should be documented. 15.406documentation. 15.4061prenegotiation objectives. a theprenegotiation objectivesestablishthe government’s initialnegotiation',
9052:'position. they assist inthe contracting officer’s determination of fairand reasonable price. they should be based on the results of the',
9053:'contracting officer’s analysis of the offeror’s proposal,takinginto consideration all pertinent information including field pricing assistance, audit reports and technical analysis,',
9054:'factfinding results, independent government cost estimates and price histories. b the contractingofficer shall establish prenegotiationobjectives before the negotiation of any',
9055:'pricing action. the scope and depth of the analysis supporting the objectives should be directly related to the dollar value,',
9056:'importance, and complexity of the pricing action. whencost analysis is required, the contractingofficer shall document the pertinent issues to be',
9057:'negotiated, the cost objectives, and a profit or fee objective. 15.4062certificate ofcurrent cost or pricing data. a when certified cost',
9058:'or pricing data are required, the contractingofficer shall require the contractor toexecutea certificate of current cost or pricing data, using',
9059:'the format in this paragraph, and must include the executed certificate in the contract file. certificate of current cost or',
9060:'pricing data this is to certify that, to the best of my knowledge and belief, the cost or pricing data',
9061:'as defined in section 2.101 of the federalacquisition regulation far and required under farsubsection 15.4034 submitted, either actually or by',
9062:'specific identificationin writing, to the contracting officer or to the contracting officers representative in support of are accurate, complete, and',
9063:'current as of . this certification includes the cost or pricing data supporting any advance agreements and forwardpricing rate agreementsbetween',
9064:'the offeror and the government that are part of the proposal. firm 15.4063 federal acquisition regulation signature name title date',
9065:'of execution identify the proposal, request for price adjustment, or other submission involved, giving the appropriate identifying number e.g., rfp',
9066:'no.. insert the day, month, and year when price negotiationswere concluded and price agreement was reached or,if applicable, an earlier',
9067:'date agreed upon between the parties that is as close as practicable to the date of agreement on price. insertthe',
9068:'day,month, and year ofsigning, which should be as close as practicable to the datewhen the price negotiations were concluded and',
9069:'the contract price was agreed to. end of certificate b the certificatedoes not constitute arepresentation as tothe accuracyof the contractor’s',
9070:'judgmenton the estimate of future costs or projections. it applies to the data upon which the judgment or estimate was',
9071:'based. this distinction between fact and judgment should be clearly understood. if the contractor had information reasonably available at the',
9072:'time of agreement showing thatthe negotiatedprice was not based on accurate,complete, and current data, the contractor’s responsibility is not limited',
9073:'by any lack of personal knowledge of the information on the part of its negotiators. c thecontracting officer and contractor',
9074:'are encouraged to reach a prior agreement on criteria for establishing closing or cutoff dates when appropriate in order to',
9075:'minimize delaysassociated with proposal updates. closing or cutoff dates should be included as part of the data submitted with the',
9076:'proposal and, before agreement on price, data should be updated by the contractor to the latest closing or cutoffdates for',
9077:'which the dataare available. use ofcutoff datescoinciding withreports is acceptable, as certain data may not be reasonably available before normal',
9078:'periodic closing dates e.g., actual indirect costs. data withinthe contractor’s or a subcontractor’s organization on matters significant to contractor management',
9079:'and to the government will be treated as reasonably available. what is significant depends upon the circumstances of each acquisition.',
9080:'d possession of a certificate of current cost or pricing data is not a substitute for examining and analyzing the',
9081:'contractor’s proposal. e if certified costor pricingdata are requested by the government and submitted by an offeror, but anexception is',
9082:'later found to apply, the data shall not be considered certified cost orpricing dataand shall not be certified in accordance',
9083:'with this subsection. 15.4063 documenting the negotiation. a thecontracting officer shall document in the contract file the principal elementsof the',
9084:'negotiated agreement. the documentation e.g., price negotiation memorandum pnm shall include the following: 1 the purpose of the negotiation. 2',
9085:'a description of the acquisition, including appropriate identifying numbers e.g., rfp no.. 3 the name, position, and organization of each',
9086:'person representingthe contractor and the government inthe negotiation. 4 the current status of any contractor systems e.g., purchasing, estimating, accounting,',
9087:'and compensation to the extent they affected and were considered in the negotiation. 5 if certified cost or pricing data',
9088:'were not required in the case of any price negotiation exceeding the certified cost or pricing data threshold, the exception',
9089:'used and the basis for it. 6 if certified cost orpricing data were required, the extent towhich the contracting officer',
9090:'i relied on the certified cost or pricing data submitted and used them in negotiating the price; ii recognized as',
9091:'inaccurate, incomplete, or noncurrent any certified cost or pricing data submitted; the action taken by the contracting officer and the',
9092:'contractor as a result; and the effect of the defectivedata on theprice negotiated; or iii determined that an exception applied',
9093:'after the data were submitted and, therefore, considered not to be certified cost or pricing data. 7 a summary of',
9094:'thecontractor’sproposal, any field pricing assistance recommendations, includingthe reasons for any pertinent variances from them, the government’s negotiation objective, and thenegotiated',
9095:'position. where the determination of a fair and reasonable price is based on cost analysis, the summary shall address each',
9096:'major cost element. when determination of a fair and reasonable price is based on price analysis, the summary shall include',
9097:'the source and type of data used to support the determination. subpart 15.4 contract pricing 15.4071 8 the most significant',
9098:'facts or considerations controlling the establishment of the prenegotiation objectives and the negotiatedagreement including an explanation of any significant differencesbetween',
9099:'the two positions. 9 to the extent such directionhas a significant effect on theaction,a discussion and quantification ofthe impact of',
9100:'direction given by congress, otheragencies, and higherlevel officials i.e., officials who would notnormally exercise authority during the award and review',
9101:'process for the instant contract action. 10 the basis for the profit or fee prenegotiation objective and the profit or',
9102:'fee negotiated. 11 documentation of fair and reasonable pricing. b whenever field pricing assistancehas been obtained, the contractingofficer shall forward',
9103:'a copy of the negotiation documentation to the offices providing assistance. when appropriate, informationon how advisory field support can be',
9104:'made more effective should be provided separately. 15.407 special cost or pricing areas. 15.4071 defective certified cost or pricing data.',
9105:'a if,before agreement onprice,the contracting officerlearns that any certified cost or pricingdata submitted are inaccurate,incomplete, or noncurrent, the contracting officershallimmediately',
9106:'bring thematter to the attention of the prospective contractor, whether the defective data increaseor decrease thecontract price. thecontracting officer shall',
9107:'consider any new data submitted to correct the deficiency, or consider the inaccuracy,incompleteness, ornoncurrency of the data when negotiating the',
9108:'contract price. the price negotiation memorandum shall reflect the adjustments made to the data or the corrected data used to',
9109:'negotiate the contract price. b 1 if, after award, certified cost or pricing data are found to be inaccurate, incomplete,',
9110:'or noncurrent as of the date of final agreement on price or an earlier date agreed upon by the parties',
9111:'given on the contractors or subcontractors certificate of current cost or pricing data, the government is entitled to a price',
9112:'adjustment, including profit or fee, of any significant amount by which the price was increased because of the defective data.',
9113:'this entitlement is ensured by including in the contract one of the clauses prescribed in 15.408b and c and is',
9114:'set forth in the clauses at 52.21510, price reduction for defective certified cost or pricing data, and 52.21511, price reduction',
9115:'for defective certified cost or pricing data modifications. the clauses give the government the right to a price adjustment for',
9116:'defects in certified cost or pricing data submitted by the contractor, a prospective subcontractor,or an actualsubcontractor. 2 in arriving ata',
9117:'priceadjustment, the contracting officer shall consider the time bywhich the certified cost orpricing databecame reasonably available tothe contractor, and the',
9118:'extentto whichthe government relied upon the defective data. 3 the clausesreferred to in paragraph b1 of this subsectionrecognize that the',
9119:'government’sright to a price adjustment isnot affected by any ofthe following circumstances: ithe contractor or subcontractor wasa sole source supplieror',
9120:'otherwise wasin a superior bargaining position; iithe contracting officer should have known thatthe certified cost or pricing data in issue',
9121:'were defectiveeven though the contractor or subcontractor took no affirmative actionto bring the character of the data to the attention',
9122:'ofthe contracting officer; iii the contract was based on an agreement about the total cost of the contract and there',
9123:'was no agreement about the cost of each item procured under such contract; or iv certified cost or pricingdata wererequired;',
9124:'however, thecontractor or subcontractor did notsubmit a certificate of current cost or pricing data relating to the contract. 4 subjectto',
9125:'paragraphs b5and6of this subsection, thecontracting officer shall allow an offset for any understated certified costor pricingdata submitted in support of',
9126:'price negotiations, upto the amount ofthe government’s claim for overstated pricing data arising out of the same pricing action e.g.,',
9127:'the initial pricing of the same contract or the pricing of the same change order. 5 an offset shall be',
9128:'allowed only in an amount supported by the facts and ifthe contractor icertifies to the contracting officer that, to the',
9129:'best of thecontractor’s knowledge and belief, the contractoris entitled to theoffset in theamount requested; and ii proves that the certified',
9130:'cost or pricing data were available before the as of date specified on the certificate of currentcost or pricingdatabut were',
9131:'notsubmitted. such offsets need notbe inthe same cost groupings e.g., material, direct labor, or indirect costs. 6 an offset shall',
9132:'not be allowed if i the understated data were known by the contractor to be understated before the as of',
9133:'date specified on the certificate of current cost or pricing data; or 15.4071 federal acquisition regulation ii the government proves',
9134:'that the facts demonstrate that the price would not have increased in the amount to be offset even if the',
9135:'available data had been submitted before the as of date specified on the certificateof current cost or pricing data. 7',
9136:'i in addition to the price adjustment, the government is entitled to recovery of any overpayment plus interest on the',
9137:'overpayments. the government is also entitled to penalty amounts on certain of these overpayments. overpayment occurs only when payment is',
9138:'made for supplies or services accepted by the government. overpayments do not result from amounts paid for contract financing, as',
9139:'defined in 32.001. iiin calculating the interest amountdue, the contracting officer shall a determine the defective pricing amounts that have',
9140:'been overpaid to the contractor; b consider the date of each overpayment the date of overpayment for this interest calculation',
9141:'shall be the date payment was made for the related completed and accepted contract items; or for subcontract defective pricing,',
9142:'the date paymentwas made tothe prime contractor, based on prime contract progress billings or deliveries, which included payments for a',
9143:'completed and accepted subcontract item; and c apply theunderpayment interest rates in effect for each quarter from the time of',
9144:'overpaymentto the time of repayment, utilizing rates prescribed by the secretary of the treasuryunder 26 u.s.c. 6621a2. iii in arriving',
9145:'at the amount due for penalties on contracts where the submission of defective certified cost or pricing data wasa knowing',
9146:'submission, the contracting officer shall obtain an amount equal to the amount of overpayment made. before taking any contractual actions',
9147:'concerning penalties,the contracting officershallobtain the advice of counsel. iv in the demand letter,the contracting officer shall separatelyinclude a the repayment',
9148:'amount; b the penalty amount if any; c the interest amount through a specified date; and d a statement that',
9149:'interest will continue to accrue until repayment is made. c if,after award, the contractingofficer learns orsuspects thatthe data furnished were',
9150:'not accurate, complete, and current,or were notadequately verifiedby the contractoras of the time of negotiation,the contracting officer shall request anaudit',
9151:'to evaluate the accuracy, completeness, and currency of the data. the government mayevaluatethe profitcost relationships only if the audit reveals',
9152:'that the data certified by the contractorwere defective. the contracting officer shall not reprice the contract solely because the profit',
9153:'was greater than forecast or because a contingency specified in the submission failed to materialize. d for each advisoryaudit receivedbased',
9154:'on a postaward review that indicates defective pricing, the contracting officer shall make a determination as to whether or not',
9155:'the data submitted were defective and relied upon. before making such a determination, thecontracting officer should give thecontractor an opportunity',
9156:'to support theaccuracy,completeness, and currency of the data in question. the contracting officer shall prepare amemorandum documentingboth the determination and',
9157:'any corrective action taken as a result. the contracting officer shall send one copyof this memorandum to the auditor and,',
9158:'if the contract has been assigned for administration, one copy to the administrative contracting officer aco. a copy of the',
9159:'memorandum or other noticeof the contractingofficer’s determination shall be provided to the contractor. when thecontracting officer determines thatthe contractor submitteddefective',
9160:'cost or pricing data, the contracting officer, in accordance with agencyprocedures,shallensure that information relating to the contractingofficer’s final determination is',
9161:'reported in accordance with 42.1503h. agencies shall ensure updated informationthat changes a contracting officer’s prior final determinationis reported into the',
9162:'fapiis module of contractor performance assessment reporting system cparsin the event of a— 1 contracting officer’s decision inaccordance withthe contract',
9163:'disputes statute; 2 board of contract appeals decision; or 3 court decision. e if both the contractor and subcontractor submitted,',
9164:'and the contractor certified, or should have certified, cost or pricing data, the government has the right, under the clauses',
9165:'at 52.21510, price reduction for defective certified cost or pricing data, and 52.21511, price reduction for defective certified cost or',
9166:'pricing datamodifications, to reduce the prime contract price if it was significantly increased because a subcontractor submitted defective data. this',
9167:'right applies whether these data supported subcontract cost estimatesor supported firm agreements between subcontractor and contractor. f if government audit',
9168:'discloses defective subcontractor certified cost or pricing data, the information necessary to support areduction in prime contract and subcontract pricesmay',
9169:'be available only from the government. to the extent necessaryto securea prime contract price reduction, the contracting officer should make',
9170:'this information available to the prime contractor or appropriate subcontractors, upon request. if release of the information would compromise government',
9171:'subpart 15.4 contract pricing 15.4072 security or disclose trade secrets or confidential business information,the contracting officer shall release it only',
9172:'under conditions that will protect it from improper disclosure. information made available under this paragraph shall be limited to that',
9173:'used as the basis for the prime contract price reduction. inorder to affordan opportunityforcorrective action, the contracting officershouldgive the prime',
9174:'contractor reasonable advance notice before determining to reduce the prime contract price. 1 when a prime contractor includes defective subcontract',
9175:'data in arriving at the price but later awards the subcontract to a lower priced subcontractor or does not subcontract',
9176:'for the work, any adjustment in the prime contract price due to defective subcontract data is limited to the difference',
9177:'plus applicable indirect cost and profit markups betweenthe subcontract price used for pricing the prime contract, and either the actual',
9178:'subcontract price or the actual cost to the contractor, ifnot subcontracted, provided the dataon which theactual subcontractprice is basedare not',
9179:'themselves defective. 2 under costreimbursement contracts and under all fixedprice contracts except firmfixedprice contracts and fixed price contracts with economic',
9180:'price adjustment, payments to subcontractors that are higher than they would be had there been no defective subcontractor certified cost',
9181:'or pricing data shall be the basis for disallowance or nonrecognition of costs under the clauses prescribed in 15.408b and',
9182:'c. the government has a continuing and direct financial interest in such payments that is unaffectedby the initial agreementon prime',
9183:'contractprice. 15.4072makeorbuy programs. a general. the prime contractor is responsible for managing contract performance, including planning, placing, and administering subcontracts',
9184:'as necessary to ensure the lowest overall cost and technical risk to the government. when makeor buy programsare required, thegovernmentmay',
9185:'reserve the rightto review andagreeon the contractor’s makeorbuy program when necessary to ensure negotiation of reasonable contract prices, satisfactory performance,',
9186:'or implementation of socioeconomic policies. consent to subcontracts and review of contractors’ purchasing systems are separate actions covered in part',
9187:'44. b definition. makeitem, as used in this subsection,means anitem or workeffort to be producedor performed bythe prime contractor orits',
9188:'affiliates, subsidiaries, or divisions. c acquisitions requiring makeorbuy programs. 1 contracting officers may requireprospective contractors to submit makeorbuy program plans',
9189:'for negotiated acquisitions requiring certified cost or pricing data whose estimated value is $15 million or more, except when the',
9190:'proposed contract is for research or development and, if prototypes or hardware are involved, no significant followon production is anticipated.',
9191:'2 contracting officersmay require prospective contractorsto submitmakeorbuyprograms for negotiated acquisitionswhose estimated value is under $15 million only ifthe contracting officer',
9192:'i determines that the information is necessary; and ii documents the reasons in the contract file. d solicitation requirements. when',
9193:'prospective contractors are required to submit proposed makeorbuy programs, the solicitation shall include 1 a statement that the program and',
9194:'required supporting information must accompany the offer; and 2 a description of factors to be used inevaluating theproposed program,such as',
9195:'capability, capacity, availability of small, small disadvantaged, womenowned, veteranowned, hubzone, and servicedisabled veteranowned small business concerns for subcontracting, establishment of',
9196:'new facilities in or near labor surplus areas, delivery or performance schedules, control of technical and schedule interfaces, proprietary processes,',
9197:'technical superiority or exclusiveness, and technical risks involved. e program requirements. to support a makeorbuy program, the following information shall',
9198:'be supplied by the contractor in its proposal: 1 items and work included. the information required from a contractor in',
9199:'a makeorbuy program shall be confined to those major items orwork efforts that normally would require company management reviewof the',
9200:'makeorbuy decision because theyare complex, costly, needed inlarge quantities,or require additional equipment orreal property toproduce. raw materials, commercial products, commercial',
9201:'services see 2.101, and offtheshelfitems see 46.101 shall not be included, unless their potential impact on contract costor schedule is',
9202:'critical. normally, makeorbuy programsshouldnot include items or workefforts estimated to cost less than 1 percent of the total estimatedcontract priceor',
9203:'any minimum dollar amount set bythe agency. 2 the offeror’sprogramshouldinclude or be supported bythe following information: iadescription ofeach major item',
9204:'or work effort. iicategorization ofeach major itemor work effort as must make, must buy, or caneither make or buy. 15.4073',
9205:'federal acquisition regulation iii for eachitem or workeffort categorized as caneither make or buy, a proposal either to make or',
9206:'to buy. iv reasonsforcategorizing items and work effortsas mustmake or mustbuy, and proposing to make or to buy those categorized',
9207:'as can either make orbuy. the reasons must include the consideration given tothe evaluation factors described in the solicitation and',
9208:'must be in sufficient detail topermit the contracting officerto evaluate the categorization or proposal. v designation ofthe plant ordivision proposed',
9209:'tomakeeach itemor perform each work effort, and a statement as to whether the existing or proposed new facility is in',
9210:'or near a labor surplus area. vi identification of proposed subcontractors, if known, and their location and size status also',
9211:'see subpart 19.7 for subcontracting plan requirements. vii anyrecommendations to defer makeorbuy decisions whencategorization of someitems or work efforts is',
9212:'impracticable at the time of submission. viii any otherinformationthe contracting officer requires in orderto evaluate the program. f evaluation, negotiation,',
9213:'and agreement. contracting officers shall evaluate and negotiate proposedmakeorbuy programs as soon as practicable after their receipt and before contract',
9214:'award. 1 when the program is to be incorporated in the contract and the design status of the product being',
9215:'acquired does not permit accurate precontract identification of major items or work efforts, the contracting officer shall notifythe prospective contractor',
9216:'in writing that these items or efforts,when identifiable, shall be added under the clause at 52.2159, changes or additions to',
9217:'makeorbuy program. 2 contracting officersnormally shall not agree to proposed make items when the productsor services are not regularly manufactured',
9218:'or provided by the contractor and areavailablequality, quantity, delivery, and other essential factors consideredfrom another firm at equal or lower',
9219:'prices, or when they are regularly manufactured or provided by the contractor, but areavailablequality, quantity, delivery, and other essentialfactors consideredfrom',
9220:'anotherfirm atlower prices. however, thecontracting officer may agree to theseas make items ifan overall lower governmentwide cost would result or',
9221:'it is otherwise in the best interest of the government. if this situation occurs in any fixedprice incentive or costplus',
9222:'incentivefee contract,the contracting officer shall specify theseitemsin the contractandstate that theyare subjectto paragraph d of the clause at 52.2159, changes',
9223:'or additions to makeorbuy program see 15.408a. if the contractor proposes to reverse the categorization of such items during contract',
9224:'performance, the contract price shall be subject to equitable reduction. g incorporating makeorbuy programs in contracts.the contracting officer may incorporate',
9225:'the makeorbuy program in negotiated contracts for 1 major systems see part 34 or their subsystems or components, regardless of',
9226:'contract type; or 2 other supplies and services if ithe contractis a costreimbursable contract,or acostsharing contract in which the contractor’sshare',
9227:'of the cost is less than 25 percent; and iithe contracting officer determines that technical or cost risks justify government',
9228:'review and approvalof changes or additions to the makeorbuy program. 15.4073forward pricing rate agreements. a when certified cost or pricing',
9229:'data are required, offerors are required to describe any forward pricing rate agreements fpras in each specific pricing proposal to',
9230:'which the rates apply and to identify the latest cost or pricing data already submitted in accordance with the fpra.',
9231:'all data submitted inconnection withthe fpra, updated asnecessary,form a part of the totaldata thatthe offerorcertifies to be accurate, complete, and',
9232:'current at the time of agreement on price for an initial contract or for a contract modification. see the certificate',
9233:'of current cost or pricing data at 15.4062. b contracting officerswill usefpra rates as bases for pricing allcontracts, modifications, and',
9234:'other contractualactions to be performed during theperiod coveredby the agreement. conditions that mayaffect the agreement’s validity shall be reported promptly',
9235:'to the aco. if the aco determines that a changed condition invalidates the agreement, the aco shall notify all interested',
9236:'parties of theextent of its effect and statusof efforts to establish a revised fpra. c contracting officers shall not requirecertification',
9237:'at the time ofagreement for data supplied in support of fpra’sor other advance agreements. when a forward pricing rate agreement',
9238:'or other advance agreement is used to price a contract action that requires a certificate, the certificate supporting that contract',
9239:'action shall cover the data supplied to support the fpra or other advance agreement, and all other data supporting the',
9240:'action. subpart 15.4 contract pricing 15.4074 15.4074shouldcost review. a general. 1 shouldcost reviews are a specializedform ofcost analysis. shouldcost reviews',
9241:'differ from traditional evaluationmethodsbecause they do not assume that a contractor’shistorical costs reflect efficient and economical operation. instead, these reviews',
9242:'evaluate the economy and efficiency of the contractor’s existingworkforce, methods, materials, equipment, real property, operating systems, and management. these reviews',
9243:'areaccomplished by a multifunctional team of government contracting, contract administration, pricing, audit, and engineering representatives. the objective of should cost',
9244:'reviews is to promote both short and longrange improvements in the contractor’s economy and efficiency in orderto reduce the cost',
9245:'of performance of government contracts. in addition, by providing rationale for any recommendations and quantifying their impact on cost, the',
9246:'government will be better able to develop realistic objectives for negotiation. 2 there are two types of shouldcost reviewsprogram shouldcost',
9247:'review see paragraph b of this subsection and overhead shouldcost review see paragraph c of this subsection. these shouldcost reviews',
9248:'may be performed together or independently. thescope of a shouldcost review canrange from a largescale review examining thecontractor’s entire operation',
9249:'including plantwide overhead and selected major subcontractors to a smallscale tailored review examining specific portionsof acontractor’s operation. b program shouldcostreview.',
9250:'1 a program shouldcost review is used to evaluate significant elements of direct costs, suchas material and labor,and associatedindirectcosts, usually',
9251:'associated with the production of major systems. when a program shouldcost review is conducted relative to a contractor proposal, a',
9252:'separate audit report on the proposal is required. 2 a program shouldcost review should be considered, particularly in the case',
9253:'of a major system acquisition see part 34, when i some initial production has already taken place; ii the contract',
9254:'will be awarded on a sole source basis; iii there are future year production requirements for substantial quantities of like',
9255:'items; iv the items being acquired have a history of increasing costs; v the work is sufficiently defined to permit',
9256:'an effective analysis and major changes areunlikely; vi sufficient time is available to planand adequately conduct the shouldcost review; and',
9257:'vii personnelwith the required skills are available or can be assigned for the durationof the shouldcost review. 3 the contractingofficer',
9258:'should decide which elements of the contractor’s operationhavethe greatest potential for cost savings and assign the available personnel resources accordingly.',
9259:'the expertise of onsite government personnel should be used, when appropriate. while the particular elements to be analyzed are a',
9260:'function of the contract work task, elements suchas manufacturing, pricingand accounting,management and organization, and subcontract and vendor management are normallyreviewed',
9261:'in a shouldcostreview. 4 in acquisitions for which a program shouldcost review is conducted, a separate program shouldcost review teamreport,',
9262:'prepared in accordance with agency procedures, isrequired. the contracting officer shall consider the findings and recommendations contained in the program',
9263:'shouldcost review team report when negotiating the contract price. aftercompleting the negotiation,the contracting officershallprovide the aco a report ofany identified',
9264:'uneconomical or inefficientpractices, togetherwith a report of correction ordisposition agreements reached with thecontractor. the contracting officershallestablisha followup plan to monitor',
9265:'the correction of the uneconomical or inefficient practices. 5 when aprogramshouldcost review is planned, the contracting officer should state thisfact',
9266:'inthe acquisition plan or acquisition plan updates see subpart 7.1 and in the solicitation. c overhead shouldcost review. 1 an',
9267:'overhead should cost review is used to evaluate indirect costs, such as fringe benefits, shipping and receiving, real property, andequipment,depreciation,plant',
9268:'maintenance and security, taxes, and general and administrative activities. it is normally used to evaluate and negotiate anfpra withthe contractor.',
9269:'when an overhead shouldcost review is conducted, a separate audit report is required. 2 the following factors should be considered',
9270:'when selecting contractor sites for overhead shouldcost reviews: i dollar amount of government business. ii level of government participation. iii',
9271:'level of noncompetitive government contracts. iv volumeof proposalactivity. v major system or program. vi corporate reorganizations, mergers,acquisitions, or takeovers. vii',
9272:'other conditions e.g., changes in accounting systems, management, or business activity. 3 the objective of the overhead shouldcost review is',
9273:'to evaluate significant indirect cost elements indepth, and identify and recommend corrective actions regarding inefficient and uneconomical practices. ifitis conducted',
9274:'in conjunction 15.4075 federal acquisition regulation with a program shouldcostreview, a separateoverheadshouldcost review report is not required. however,the findings and',
9275:'recommendations of the overhead shouldcost team, or any separate overhead shouldcost review report, shall be provided to the aco. the',
9276:'aco should use this information to form the basis for the government position in negotiating an fpra with the contractor.',
9277:'the aco shall establish a followup plan to monitor the correction of the uneconomicalor inefficient practices. 15.4075 estimating systems. a',
9278:'using an acceptable estimating system for proposal preparation benefits both the government and the contractor by increasing the accuracy and',
9279:'reliability of individual proposals. cognizant audit activities, when it is appropriate to do so, shall establish and manage regular programs',
9280:'for reviewing selected contractors’ estimating systems or methods, in order to reduce the scope of reviews to be performed on',
9281:'individual proposals, expedite the negotiation process, and increase the reliability of proposals. the results of estimating system reviews shall be',
9282:'documented in survey reports. b the auditor shall senda copy of the estimating system survey report and a copyof the',
9283:'official notice of corrective action requiredto each contractingoffice and contract administrationoffice havingsubstantial business with that contractor. significant deficiencies not corrected',
9284:'by the contractor shall be a consideration in subsequent proposal analyses and negotiations. 15.408 solicitation provisions and contract clauses. a',
9285:'changes or additions to makeorbuy program. thecontracting officer shall insert the clause at 52.2159, changes or additions to makeorbuy program,',
9286:'in solicitations and contracts when it is contemplated that a makeorbuy program will be incorporated in the contract. if a',
9287:'less economical make or buy categorization is selected for one or more items of significant value, the contracting officer shall',
9288:'use the clause with 1 its alternate i, if a fixedprice incentive contract is contemplated; or 2 its alternate ii,',
9289:'if a costplusincentivefee contract is contemplated. b price reduction for defective certified cost or pricing data. the contractingofficer shall,when contracting',
9290:'by negotiation, insert the clause at 52.21510, price reduction for defective certified cost or pricing data, in solicitations and contracts',
9291:'when it is contemplated that certified cost or pricing data will be required from the contractor or any subcontractor see',
9292:'15.4034. c price reduction for defective certified cost or pricing datamodifications.the contracting officer shall, when contracting by negotiation, insert the',
9293:'clause at 52.21511, price reduction for defective certified cost or pricing data— modifications, in solicitations and contracts when it is',
9294:'contemplated that certified cost or pricing data will be required from the contractor or any subcontractor see 15.4034 for the',
9295:'pricing of contract modifications, and the clause prescribed in paragraph b of this section has not been included. d subcontractor',
9296:'certified cost or pricing data. the contracting officer shall— 1 insert the clause at 52.21512, subcontractor certified cost or pricing',
9297:'data, in solicitations and contracts when the clause prescribed in paragraph b of this section is included; or 2 upon',
9298:'the request of a contractor that was required to submit certified cost or pricing data in connection with a prime',
9299:'contract entered into beforejuly 1,2018, the contractingofficer shall modify the contractwithout requiring consideration, to replace clause 52.21512, subcontractor certified cost',
9300:'or pricing data, with its alternate i. e subcontractor certified cost or pricing datamodifications. the contracting officer shall— 1 insert',
9301:'the clause at 52.21513, subcontractor certified cost or pricing data—modifications, in solicitations and contracts when the clause prescribed in paragraph',
9302:'c of this section is included; or 2 upon the request of a contractor that was required to submit certified',
9303:'cost or pricing data in connection with a prime contract entered into beforejuly 1,2018, the contractingofficer shall modify the contractwithout',
9304:'requiring consideration, to replace clause 52.21513, subcontractor certified cost or pricing data—modifications, with its alternate i. f integrity of unit',
9305:'prices. 1 the contracting officershallinsert the clauseat 52.21514, integrity of unit prices, in solicitations and contracts except for i acquisitions',
9306:'at or below the simplified acquisition threshold; ii construction or architectengineer services under part 36; iii utility services under part',
9307:'41; iv service contracts where supplies are not required; v acquisitions of commercial products and commercial services; and vi contracts',
9308:'for petroleum products. subpart 15.4 contract pricing 15.408 2 the contractingofficer shall insertthe clause withits alternate i when contractingwithout adequate',
9309:'price competition or when prescribed by agency regulations. g pension adjustments and asset reversions. thecontracting officer shall insert the clause',
9310:'at 52.21515, pension adjustments and asset reversions, in solicitations and contracts for which it is anticipated that certified cost or',
9311:'pricing data will be required or for which any preaward or postaward cost determinations will be subject to part 31.',
9312:'h facilities capital cost of money. the contractingofficer shall insert the provision at 52.21516, facilities capital cost of money, in',
9313:'solicitations expected to result in contracts thatare subjectto the costprinciples for contracts with commercial organizations see subpart 31.2. i waiver',
9314:'of facilities capital cost of money. if the prospective contractor does not propose facilities capital cost of moneyin itsoffer, the',
9315:'contracting officer shall insert the clause at 52.21517, waiver of facilities capital costof money, in the resulting contract. j reversion',
9316:'or adjustment of plans for postretirement benefits prb other than pensions. the contracting officer shall insert the clause at 52.21518,',
9317:'reversion or adjustment of plans for postretirement benefits prb other than pensions, in solicitations and contracts for which it is',
9318:'anticipated that certified cost or pricing data will be required or for which any preaward or postaward cost determinations will',
9319:'be subject to part 31. k notification of ownership changes.the contracting officer shall insert theclause at 52.21519, notification of ownership',
9320:'changes, in solicitations and contracts for which it is contemplated that certified cost or pricing data will be required or',
9321:'for which any preaward or postaward cost determination will be subject to subpart 31.2. l requirements for certified cost or',
9322:'pricing data and data other than certified cost or pricing data. considering the hierarchy at 15.402, the contracting officer shall',
9323:'insert theprovision at 52.21520, requirements for certified cost or pricing data and data other than certified cost or pricing data,',
9324:'in solicitations if it is reasonably certain that certified cost or pricing data or data other than certified cost or',
9325:'pricing data will be required. this provision also provides instructions to offerors on howto request an exception from therequirementto submitcertifiedcostor',
9326:'pricing data. the contracting officer shall 1 use the provision with its alternate i to specify a format for certified',
9327:'cost or pricing data other than the format requiredbytable 152ofthissection; 2 use the provision with its alternate ii if copies',
9328:'of the proposal are to be sent to the aco and contract auditor; 3 use the provision with its alternate',
9329:'iii if submission via electronic media is required; and 4 replace the basic provision with its alternate iv if certified',
9330:'cost or pricing data are not expected to be required because an exception may apply, but data other than certified',
9331:'cost orpricing data will be requiredas describedin 15.4033. m requirements for certified cost or pricing data and data other than',
9332:'certified cost or pricing datamodifications. considering the hierarchy at 15.402, the contracting officer shall insert theclause at 52.21521, requirements for',
9333:'certified cost or pricing data and data other than certified cost or pricing datamodifications, in solicitations and contracts if it',
9334:'is reasonably certain that certified cost or pricing data or data other than certified cost or pricing data will be',
9335:'required for modifications. this clause also provides instructions to contractors on how to request an exception from the requirement to',
9336:'submitcertifiedcostor pricing data. the contracting officer shall 1 use the clause with its alternate i to specify a format for',
9337:'certified cost or pricing data other than the format required bytable 152ofthissection; 2 use the clause with its alternate ii',
9338:'if copies of the proposal are to be sent to the aco and contract auditor; 3 use the clause with',
9339:'its alternate iii if submission via electronic media is required; and 4 replace the basic clause with its alternate iv',
9340:'if certified cost or pricing data are not expected to be required because an exception may apply, but data other',
9341:'than certified cost orpricing data will be requiredas describedin 15.4033. n limitationson passthrough charges. 1 thecontracting officer shall insert the',
9342:'provision at 52.21522, limitations on passthrough chargesidentification of subcontract effort, in solicitations containing the clause at 52.21523. 2 iexceptasprovidedinparagraphn2ii,thecontractingofficershallinserttheclause 52.21523,',
9343:'limitations on passthrough charges, in solicitations andcontracts including task or delivery orders as follows: a for civilian agencies, insert the',
9344:'clause when 1 the total estimated contract or order value exceeds the simplified acquisition threshold as defined in section 2.101',
9345:'and 2 the contemplated contract type is expected to be a costreimbursement type contract as defined in subpart 16.3; or',
9346:'b for dod, insert the clause when federal acquisition regulation 1 the total estimated contract or order value exceeds the',
9347:'threshold for obtaining cost or pricing data in 15.4034; and 2 the contemplated contract type is expected to be any',
9348:'contract type except i a firmfixedprice contract awarded on the basis of adequate price competition; ii a fixedprice contract with',
9349:'economic price adjustment awarded on the basis of adequate price competition; iii a firmfixedprice contract for the acquisition of a',
9350:'commercial product or commercial service; iv a fixedprice contract with economic price adjustment, for the acquisition of a commercial product',
9351:'or commercial service; v a fixedprice incentive contract awarded on the basis of adequate price competition; or vi a fixedprice',
9352:'incentive contract for the acquisition of a commercial product or commercial service. ii the clause may be used when the',
9353:'total estimated contract or order value is below the thresholds identified in 15.408n2i and for any contract type, when the',
9354:'contracting officer determines that inclusion of theclause is appropriate. iii use the clause 52.21523 with itsalternate iwhen the contractingofficer determines',
9355:'that the prospective contractor has demonstratedthat itsfunctions provideadded value to the contractingeffort and there areno excessive pass through charges. table',
9356:'152—instructions for submitting cost/price proposals when certifiedcost or pricingdataare required this document provides instructions for preparing a contract pricing proposal',
9357:'when certified cost or pricing data are required. note 1. there is a clear distinction between submitting certified cost or',
9358:'pricing data and merely making available books, records, and other documents without identification. the requirement for submission of certified cost',
9359:'or pricing datais met when allaccuratecertifiedcost or pricing data reasonably available to the offeror have been submitted, either actually orby',
9360:'specific identification,to the contractingofficer or an authorized representative. as later data come into your possession, it should besubmitted promptly to',
9361:'the contracting officer in a manner that clearly shows howthe data relate to the offeror’s priceproposal. the requirement for submission',
9362:'of certified cost or pricing datacontinues upto the time of agreement on price, or an earlier date agreed upon between',
9363:'the parties if applicable. note 2. by submitting your proposal,you grant the contractingofficer oran authorized representative the right to examine',
9364:'records that formed the basis for the pricing proposal. that examination can take place at any time before award. it',
9365:'may include those books, records, documents, and other types of factual data regardless of form or whether the data are',
9366:'specifically referenced or included in the proposal as the basis for pricing that will permit an adequate evaluation of the',
9367:'proposed price. i. general instructions a. you must provide the following information on the firstpageof your pricing proposal: 1 solicitation,',
9368:'contract, and/or modification number; 2 name and address ofofferor; 3 name and telephone number of point of contact; 4 name',
9369:'of contract administration office if available; 5 type ofcontract actionthat is, newcontract, change order, price revision/redetermination, letter contract, unpriced order,',
9370:'orother; 6 proposed cost; profit or fee; and total; 7 whether you will require the use of government property in',
9371:'the performance of the contract, and, if so, what property; subpart 15.4 contract pricing 15.408 8 whetheryour organizationis subject to',
9372:'cost accounting standards; whether your organization has submitted a casb disclosure statement, and if it has been determined adequate; whether',
9373:'you have been notified that you are or may be in noncompliance with your disclosure statement or cas other than',
9374:'a noncompliance that the cognizant federal agency official hasdetermined to have an immaterial cost impact, and,if yes, an explanation;whetherany aspect',
9375:'of this proposal is inconsistent with your disclosed practices or applicable cas, and, if so, an explanation; and whether the',
9376:'proposal is consistentwithyourestablishedestimatingandaccountingprinciplesandproceduresandfarpart 31,costprinciples, and, if not, an explanation; 9 the following statement: this proposal reflects our estimates and/or actual',
9377:'costs as of this date and conforms with the instructions in far 15.4035b1 and table 152. by submitting this proposal,',
9378:'we grant the contractingofficer and authorized representatives the right to examine, at any time before award, those records, which include',
9379:'books, documents, accounting procedures and practices, and other data, regardless of type and form or whether such supporting information is',
9380:'specifically referenced or included in the proposal as the basis for pricing, that will permit an adequate evaluation of the',
9381:'proposed price. 10 date of submission; and 11 name, title, and signature of authorizedrepresentative. b. in submitting your proposal, you',
9382:'must include an index, appropriately referenced, of all the certified cost or pricing data and information accompanying or identified in',
9383:'the proposal. in addition, you must annotate any future additions and/or revisions, up to the date of agreement on price,',
9384:'or an earlier date agreed upon by the parties, on a supplemental index. c. as part of the specific information',
9385:'required, you must submit, with your proposal 1 certified costor pricingdata as defined at far 2.101. you mustclearly identify onyour',
9386:'cover sheet that certified cost or pricing data are included as part of the proposal. 2 information reasonably required to',
9387:'explain your estimating process, including i the judgmental factors applied and the mathematical or other methods used in the estimate,',
9388:'including those used in projecting from known data; and ii the nature and amount of any contingencies included in the',
9389:'proposed price. d. you must show the relationship between lineitem prices and the total contract price.you must attach cost element',
9390:'breakdowns for each proposed line item, using the appropriate format prescribed in the formats for submission of line item summaries',
9391:'section of this table. you must furnish supporting breakdownsforeach cost element, consistent with your cost accounting system. e. when more',
9392:'than one line item is proposed, you must also provide summary total amounts covering all line items for each element',
9393:'of cost. f. whenever you have incurred costs for work performedbefore submission of a proposal, you must identifythose costs in',
9394:'your cost/price proposal. g. if you have reached an agreement with government representatives on use of forward pricing rates/factors, identify',
9395:'the agreement,include a copy, anddescribe its nature. h. as soon as practicable after final agreement on price or an earlier',
9396:'date agreed to by the parties, but before the award resultingfrom the proposal, you must, under the conditions stated in',
9397:'far 15.4062, submit a certificate of current cost or pricing data. ii. cost elements depending on your system, you must',
9398:'provide breakdowns for the following basic cost elements, as applicable: federal acquisition regulation a. materials and services. provide a consolidated',
9399:'priced summary of individual material quantities included in the various tasks, orders, or line items being proposed and the basis',
9400:'for pricing vendor quotes, invoice prices, etc.. include raw materials, parts, components, assemblies, and services to be produced or performed',
9401:'by others. for all items proposed, identify the item and show the source, quantity,and price. conduct price analyses of all',
9402:'subcontractor proposals. conduct cost analyses for all subcontracts when certified cost or pricing data are submitted by thesubcontractor. include these',
9403:'analyses as part of your own certified cost or pricing data submissions for subcontracts expected to exceed the appropriate threshold',
9404:'in far 15.4034. submit the subcontractor certified cost or pricing data and data other than certified cost or pricing data',
9405:'as part of your own certified cost or pricing data as required in paragraph iia2 of this table. these requirements',
9406:'also apply to all subcontractors if required to submit certified cost or pricing data. 1 adequate price competition. provide data',
9407:'showing the degree of competition and the basis for establishing thesource and reasonableness of price for those acquisitionssuch as subcontracts,',
9408:'purchaseorders, material order, etc. exceeding, or expected toexceed, the appropriate threshold set forth at far 15.4034 priced on the basis',
9409:'of adequate price competition. for interorganizational transfers priced at other than thecostof comparable competitivecommercial work of thedivision,subsidiary, oraffiliate of the',
9410:'contractor, explain the pricing methodsee far 31.20526e. 2 all other. obtain certified cost or pricing data from prospective sources for',
9411:'those acquisitions such as subcontracts, purchase orders, material order, etc. exceeding the threshold set forth infar 15.4034 and not otherwise',
9412:'exempt, in accordance with far 15.4031b i.e., adequate price competition, commercial products or commercial services, prices set by law or',
9413:'regulation or waiver. also provide data showing the basis for establishing source and reasonableness of price. in addition, provide a',
9414:'summary of your cost analysis and a copy of certified cost or pricing data submitted by the prospective source in',
9415:'support of each subcontract, or purchase order that is the lower of either $15 million or more, or both more',
9416:'than the pertinent certified cost or pricing data threshold and more than 10 percent of the prime contractors proposed price.',
9417:'also submit any information reasonably required to explain your estimating process including the judgmental factors applied and the mathematical or',
9418:'other methods used in the estimate, including those used in projecting from known data, and the nature and amount of',
9419:'any contingencies included in the price. the contracting officer mayrequire you to submit cost or pricing data in support of',
9420:'proposals in lower amounts. subcontractor certified cost or pricing data must be accurate, complete and current as of the date',
9421:'of final price agreement, or an earlier date agreed upon by the parties, given on the prime contractor’s certificateof current',
9422:'cost or pricing data. the prime contractor isresponsible for updating a prospective subcontractor’s data. for standard commercial products fabricated by',
9423:'theofferor that are generallystocked in inventory, provide a separatecostbreakdown, if priced based on cost. for interorganizationaltransfers priced at cost, provide',
9424:'a separate breakdown of cost elements. analyze the certified cost or pricing data and submit the results of your analysis',
9425:'of the prospective source’s proposal.whensubmission of a prospective source’scertifiedcost or pricing data is required asdescribed in this paragraph,itmust be included',
9426:'as part of yourown certified cost or pricing data. you must also submitanydata other than certified cost or pricing data',
9427:'obtained froma subcontractor, either actually orby specific identification, along with the results of any analysis performed on that data. b.',
9428:'direct labor. provide a timephased e.g., monthly, quarterly, etc. breakdown of labor hours, rates, and cost by appropriate category, and',
9429:'furnish bases for estimates. c. indirect costs. indicate how you have computed and applied your indirect costs, including cost breakdowns.',
9430:'show trends and budgetary data to provide a basis for evaluating the reasonableness of proposed rates. indicate the rates used',
9431:'and provide an appropriate explanation. d. other costs. list all other costs not otherwise included in the categories described above',
9432:'e.g.,special tooling, travel, computer and consultant services, preservation, packaging and packing, spoilage and rework, and federal excise tax on finished',
9433:'articles and provide bases for pricing. e. royalties. if royalties exceed $1,500, you must provide the following information on a',
9434:'separate page for each separate royalty or license fee: 1 name and address oflicensor. 2 date of license agreement. 3',
9435:'patent numbers. subpart 15.4 contract pricing 15.408 4 patent application serial numbers, or other basis on which the royalty is',
9436:'payable. 5 brief description including any part or model numbers of each contract item or component on which the royalty',
9437:'is payable 6 percentage or dollar rate of royalty per unit. 7 unit price of contract item. 8 number of',
9438:'units. 9 total dollar amount ofroyalties. 10 if specifically requested by the contracting officer, a copy of the current licenseagreement',
9439:'and identification of applicable claims of specific patentssee far 27.202 and 31.20537. f. facilities capital cost of money. when you',
9440:'elect to claim facilities capital cost of money as an allowable cost, you must submit formcasbcmf and showthe calculation of',
9441:'theproposed amount see far 31.20510. iii. formats for submission of line item summaries a. new contracts including letter contracts. cost',
9442:'elements 1 proposed contract estimatetotal cost 2 proposed contract estimateunit cost 3 reference 4 column instruction 1 enter appropriate cost',
9443:'elements. 2 enter those necessary and reasonable costs that, in your judgment, will properly be incurred in efficient contract performance.',
9444:'when any of the costs in this column have already been incurred e.g., under a letter contract, describe them on',
9445:'an attached supporting page. when preproduction or startup costs are significant, or when specifically requested to do so by the',
9446:'contracting officer, provide a fullidentification and explanation ofthem. 3 optional,unlessrequiredbythecontractingofficer. 4 identify the attachment in which the information supporting the',
9447:'specific cost element may be found. attachseparate pages asnecessary. b. change orders, modifications, and claims. cost estimated cost net cost',
9448:'net reference elements cost of all of deleted cost to be of work added cost of work deleted work already',
9449:'deleted change performed 1 2 3 4 5 6 7 column instruction 1 enter appropriate cost elements. federal acquisition regulation',
9450:'2 include the current estimates of what the cost would have been to complete the deleted work not yet performed',
9451:'not the original proposal estimates, and the cost of deleted work already performed. 3 include the incurred cost of deleted',
9452:'work already performed, using actuals incurred if possible, or, if actuals are notavailable,estimates from your accounting records. attach a detailed',
9453:'inventory of work, materials, parts, components, and hardware already purchased, manufactured, or performed and deleted by the change, indicating the',
9454:'cost and proposed disposition of each line item. also, if you desire to retain these items or any portion of',
9455:'them, indicate the amount offered for them. 4 enter the net cost to be deleted, which is the estimated cost',
9456:'of all deleted work less the cost of deleted work already performed. column2 minus column3 equals column4. 5 enter your',
9457:'estimate for cost of work added by the change. when nonrecurring costs are significant, or whenspecifically requested to doso bythe',
9458:'contracting officer, provide a full identification and explanation of them. when any of the costs in this column have already',
9459:'been incurred, describe them on an attached supporting schedule. 6 enter the net cost of change, which is the cost',
9460:'of work added, less the net cost to be deleted. column5 minus column4 equals column6. when this result is negative,',
9461:'place the amount in parentheses. 7 identify the attachment in which the information supporting the specific cost element may be',
9462:'found. attachseparate pages asnecessary. c. price revision/redetermination. cutoff number number contract redetermination difference date of units of units to amount',
9463:'proposal completed be completed amount 1 2 3 4 5 6 cost incurred incurred incurred total estimated estimated reference elements',
9464:'costcostcost work incurred cost cost to total cost preproduction completed in progress complete units 7 8 9 10 11 12',
9465:'13 14 use as applicable column instruction 1 enterthecutoffdaterequiredbythecontract,ifapplicable. 2 enter the number of units completed during the period for',
9466:'which experienced costs of production are being submitted. 3 enter the number of units remaining to be completed under the',
9467:'contract. 4 enter the cumulative contract amount. 5 enter your redetermination proposal amount. subpart 15.4 contract pricing 15.408 6 enterthedifferencebetweenthecontractamountandtheredeterminationproposalamount.',
9468:'when this result is negative, place the amount in parentheses. column 4 minus column 5 equals column 6. 7 enter',
9469:'appropriate cost elements. when residual inventory exists, the final costs established under fixedpriceincentive and fixedpriceredeterminable arrangements should be net of',
9470:'thefair market value of such inventory. in support of subcontract costs, submit a listing of all subcontracts subject to repricing',
9471:'action, annotated as to their status. 8 enter all costs incurred under the contract before starting production and other nonrecurring',
9472:'costs usuallyreferred to asstartup costs from your books and records as of the cutoff date. these include such costs as',
9473:'preproduction engineering, special plant rearrangement, training program, and any identifiable nonrecurring costs such as initial rework, spoilage, pilot runs, etc.',
9474:'in the event the amounts are not segregated in or otherwise available from your records, enter in this column your',
9475:'best estimates. explain the basis for each estimate and how the costs are charged on your accountingrecords e.g., included in',
9476:'production costs as direct engineering labor, charged to manufacturing overhead. also showhow the costs would be allocated to the units',
9477:'at their various stages of contract completion. 9 enter in column 9 the production costs from your books and records',
9478:'exclusive of preproduction costs reported in column 8 of the units completed as ofthe cutoff date. 10 enter in column',
9479:'10 the costs of work in process as determined from your records or inventories at the cutoff date. when the',
9480:'amounts for work in process are not available in your records but reliable estimates for them can be made, enter',
9481:'the estimated amounts in column 10andenter in column 9 the differencesbetween the total incurred costs exclusive of preproduction costs asof',
9482:'the cutoff date and these estimates. explain the basis for the estimates, including identification of any provision for experienced or',
9483:'anticipated allowances, such as shrinkage, rework, design changes, etc. furnish experienced unit or lot costs or labor hours from inception',
9484:'of contractto thecutoff date, improvement curves, and any other available production cost history pertaining to the items to which your',
9485:'proposal relates. 11 entertotalincurredcoststotalofcolumns8,9,and10. 12 enter those necessary and reasonable costs that in your judgment will properly be incurred in',
9486:'completing the remaining work to be performed under the contract with respect to the items to which your proposal relates.',
9487:'13 entertotalestimatedcosttotalofcolumns11and12. 14 identify the attachment in which the information supporting the specific cost element may be found. attachseparate pages',
9488:'asnecessary. this page intentionally left blank. 15.428 subpart 15.5 preaward, award, and postaward notifications, protests, and mistakes 15.504 subpart 15.5',
9489:'preaward, award, and postaward notifications, protests, and mistakes 15.501definition. day, as used in this subpart, has the meaning set forth',
9490:'at 33.101. 15.502 applicability. this subpart applies to competitive proposals, as described in 6.102b, and a combination of competitive procedures,',
9491:'as described in 6.102c. the procedures in 15.504,15.506,15.507,15.508, and 15.509, with reasonable modification, should be followed for sole source acquisitions',
9492:'and acquisitions described in 6.102d1 and 2. 15.503 notifications tounsuccessfulofferors. a preaward notices 1 preaward notices of exclusion from competitive',
9493:'range. the contracting officer shall notify offerors promptly in writing when their proposals are excludedfrom the competitiverange orotherwise eliminated from',
9494:'the competition. the notice shall state the basis for the determination and that a proposal revision will not be considered.',
9495:'2 preaward notices for small business programs. i in addition to the notice in paragraph a1 of this section, the',
9496:'contracting officershallnotify eachofferor in writing prior to awardand upon completionof negotiationsanddeterminations of responsibility a when using a small business setaside',
9497:'see subpart 19.5; b when using the hubzone procedures in 19.1305 or 19.1307; c when using the servicedisabled veteranowned small',
9498:'business procedures in 19.1405; or dwhen usingthe womenowned small business program procedures in 19.1505. ii the notice shall state athe',
9499:'name and addressof the apparentlysuccessfulofferor; b that the government will not consider subsequent revisions of the offeror’s proposal; and c',
9500:'that no response is required unless a basis exists to challenge the size status or small business status of the',
9501:'apparently successful offeror e.g., small business concern, small disadvantaged business concern, hubzone small business concern, servicedisabled veteranowned small business concern,',
9502:'economically disadvantaged womenowned small business concern, orwomenowned small businessconcern eligible under the womenowned small business program. iii the notice is',
9503:'not required when the contracting officer determines in writing thatthe urgency of the requirement necessitates award without delay or when',
9504:'the contract is entered into under the 8a program see 19.8052. b postaward notices. 1 within 3 days after the',
9505:'date of contract award, the contracting officer shall provide written notificationto each offeror whose proposal was in the competitive range',
9506:'but was not selected for award 10 u.s.c. 3304 and 41 u.s.c. 3704 or had not been previously notified under',
9507:'paragraph a of this section. the notice shall include ithe number of offerors solicited; ii the number of proposals received;',
9508:'iii the name and address of each offeror receiving an award; iv the items, quantities, and any stated unit prices',
9509:'of each award. if the number of items or other factors makes listing any stated unit prices impracticableat that time,',
9510:'only the totalcontract priceneedbe furnished in the notice. however, the items, quantities, and any stated unit prices of each award',
9511:'shall be made publicly available, upon request; and v in general terms, the reasons the offeror’s proposal was not accepted,',
9512:'unless the priceinformationin paragraph b1ivof this section readily reveals the reason. inno event shall an offeror’scost breakdown, profit, overhead rates,trade',
9513:'secrets, manufacturingprocesses andtechniques, or other confidential business information be disclosed to any other offeror. 2 upon request, the contracting officer',
9514:'shall furnish the information described in paragraphb1 of this sectionto unsuccessfulofferorsinsolicitationsusingsimplifiedacquisitionproceduresin part 13. 3 upon request, the contracting officer shall',
9515:'provide the information in paragraph b1 ofthissection to unsuccessful offerors that received a preaward notice of exclusion from thecompetitive range.',
9516:'15.504 award to successfulofferor. the contractingofficer shall award a contractto the successful offeror by furnishing the executed contractor other notice',
9517:'of the award to that offeror. a if the award documentincludes information that is differentthan the latestsigned proposal, asamended by',
9518:'the offeror’s written correspondence, both theofferor and the contracting officer shall sign the contract award. federal acquisition regulation b when',
9519:'an award is made to an offeror for less than all of the items thatmay be awarded and additional items',
9520:'are being withheld for subsequent award, each notice shall state that the government may make subsequent awards on those additional',
9521:'items within the proposal acceptance period. c if the optional form of307, contractaward, standard form sf 26,award/contract, or sf 33,',
9522:'solicitation, offer and award, is notused toaward the contract, thefirst page of the award documentshallcontain the government’sacceptance statement fromblock 15',
9523:'ofthat form, exclusive of the item 3reference language, and shall contain the contracting officer’s name, signature, and date. in addition,',
9524:'ifthe award documentincludes information that isdifferentthan the signed proposal, as amendedby the offeror’swritten correspondence, the first page shall includethe contractor’s',
9525:'agreement statement from block14 of the of 307 and thesignatureof the contractor’s authorized representative. 15.505 preaward debriefing of offerors. offerorsexcluded',
9526:'from the competitive rangeor otherwise excluded from the competition before award may requesta debriefing before award 10 u.s.c. 3305 and',
9527:'41 u.s.c. 3705. a 1theofferormayrequestapreawarddebriefingbysubmittingawrittenrequestfordebriefingtothecontracting officer within 3 days after receipt ofthe notice of exclusion from thecompetition. 2 at the',
9528:'offeror’s request, this debriefing may be delayed until after award. if the debriefing is delayed until after award, it shall',
9529:'include all information normally provided in a postaward debriefing see 15.506d. debriefings delayed pursuant to this paragraph could affect the',
9530:'timeliness of any protest filedsubsequent to thedebriefing. 3 if the offerordoes not submit atimely request, theofferor need not be giveneither',
9531:'apreaward or a postaward debriefing. offerors are entitled to no more than one debriefing for each proposal. b the contractingofficer',
9532:'shall make everyeffort to debrief theunsuccessful offeror assoon as practicable,but may refuse the request for a debriefing if, for compelling',
9533:'reasons, it is not in the best interests of the government to conduct a debriefing at that time. the rationale',
9534:'for delaying the debriefing shall be documented in the contract file. if the contracting officer delays the debriefing, it shall',
9535:'beprovided nolater than the timepostawarddebriefings are provided under 15.506. in that event,the contracting officershallinclude the information at 15.506d in the',
9536:'debriefing. c debriefings may be doneorally, in writing, or by any other method acceptable to the contracting officer. d the',
9537:'contractingofficer should normally chair any debriefing session held. individuals who conducted the evaluations shall provide support. e at a minimum,',
9538:'preaward debriefings shall include 1 the agency’sevaluation of significant elements inthe offeror’s proposal; 2 a summary of therationaleforeliminating the offeror',
9539:'from the competition; and 3 reasonable responses to relevant questions about whether source selection procedures contained in the solicitation, applicable',
9540:'regulations, andother applicable authorities were followed in the process of eliminatingthe offerorfrom the competition. f preaward debriefings shall not disclose',
9541:'1 the numberof offerors; 2 the identity of otherofferors; 3 the content of other offerors’ proposals; 4 the rankingof other',
9542:'offerors; 5 the evaluation of other offerors; or 6 any of the information prohibited in 15.506e. g an official summary',
9543:'of the debriefing shall be included in the contract file. 15.506 postaward debriefingof offerors. a 1anofferor,uponitswrittenrequestreceivedbytheagencywithin3daysafterthedateonwhichthatofferor has received notification of',
9544:'contract award in accordance with 15.503b, shall be debriefed and furnished the basis for the selection decision and contract award.',
9545:'2 to the maximumextent practicable, the debriefing should occurwithin 5 days after receiptof the written request. offerorsthat requested a postaward',
9546:'debriefing in lieu of a preawarddebriefing, or whose debriefing was delayed for compelling reasons beyond contract award, also should be',
9547:'debriefed within this time period. 3 an offeror that was notified of exclusion from the competition see 15.505a, but failed',
9548:'to submit a timely request, is not entitled to a debriefing. 4 i untimely debriefing requests may be accommodated. subpart',
9549:'15.5 preaward, award, and postaward notifications, protests, and mistakes 15.509 ii government accommodation of a request for delayed debriefing pursuant',
9550:'to 15.505a2, or any untimely debriefing request, does not automatically extend the deadlines for filing protests. debriefings delayed pursuant to',
9551:'15.505a 2 could affectthe timeliness ofany protest filed subsequent to the debriefing. b debriefings of successful and unsuccessful offerors may',
9552:'be done orally,in writing, orby any other method acceptable to the contracting officer. c thecontracting officer should normally chairany debriefing',
9553:'session held. individualswho conducted the evaluations shall provide support. d at a minimum, the debriefing information shall include 1 the',
9554:'government’s evaluationof the significant weaknesses or deficiencies in the offeror’s proposal, ifapplicable; 2 the overall evaluated cost or price including',
9555:'unit prices and technical rating, if applicable, of the successful offeror and the debriefed offeror,andpastperformance information on thedebriefed offeror; 3',
9556:'the overall rankingof all offerors,when any ranking was developed bythe agency during thesource selection; 4 a summary of the rationale',
9557:'for award; 5 for acquisitions of commercial products, the make and model of the product to be delivered by the',
9558:'successful offeror; and 6 reasonable responses to relevant questions about whether source selection procedures contained in the solicitation, applicable regulations,',
9559:'and other applicable authorities were followed. e thedebriefingshallnot include pointbypoint comparisons of the debriefed offeror’sproposal with those of other offerors.',
9560:'moreover, the debriefing shall not revealanyinformationprohibitedfrom disclosure by 24.202 or exempt from release under the freedom of information act 5',
9561:'u.s.c. 552 including 1 trade secrets; 2 privileged or confidential manufacturing processes and techniques; 3 commercial and financial information that',
9562:'is privileged or confidential, including cost breakdowns, profit, indirect cost rates, and similar information; and 4 the names of individuals',
9563:'providing reference information about an offeror’s past performance. f an official summary of the debriefing shall be included in the',
9564:'contract file. 15.507 protests againstaward. a protests against award in negotiated acquisitions shall be handled in accordance with part 33.',
9565:'use of agency protest procedures that incorporate the alternative dispute resolution provisions of executive order12979 is encouraged for both preaward',
9566:'and postaward protests. b if a protestcauses the agency, within 1 year of contractaward,to 1 issue a new solicitation on',
9567:'the protested contractaward,the contracting officershallprovide the information in paragraph c of this section toallprospective offerors for thenew solicitation; or 2',
9568:'issue a new request for revised proposals on the protested contractaward,the contracting officershallprovide the information inparagraph cof this sectionto offerors',
9569:'that were in the competitive range and are requested to submit revised proposals. c the following information will be provided',
9570:'to appropriate parties: 1 information providedto unsuccessfulofferorsin any debriefingsconductedon the original award regarding the successful offeror’s proposal; and 2 othernonproprietary',
9571:'information that would have been provided to the originalofferors. 15.508discovery of mistakes. mistakesin a contractor’s proposal that are disclosed after',
9572:'awardshallbe processed substantially in accordance with the procedures for mistakes in bids at 14.4074. 15.509forms. optional formof 307, contractaward, standard',
9573:'form sf 26, award/contract, or sf 33,solicitation, offerand award, may be used toaward negotiated contractsin which the signature of both',
9574:'parties on a single documentis appropriate. notehowever,ifusingthe sf 26 for a negotiated procurement, block 18 is not to be used.',
9575:'if these forms are not used, the award document shall incorporate the agreement and award language from the of 307.',
9576:'this page intentionally left blank. 15.54 subpart 15.6 unsolicited proposals 15.604 subpart 15.6 unsolicited proposals 15.600scope of subpart. this subpart',
9577:'sets forth policies and procedures concerning the submission, receipt, evaluation, and acceptance or rejection of unsolicited proposals. 15.601definitions. as used',
9578:'in this subpart advertising material means material designed to acquaintthe government with a prospective contractor’s present products,services, orpotentialcapabilities, or designed',
9579:'to stimulatethe government’s interestin buying such productsor services. commercial product or commercial service offer means an offer of a commercial',
9580:'product orcommercial servicethat the vendor wishes to see introduced in the governments supply system as an alternate or a replacement',
9581:'for an existing supply item. this term does not include innovative or unique configurations or uses of commercial products or',
9582:'commercial services that are being offered for further development and thatmay be submitted asan unsolicited proposal. contribution means a concept,',
9583:'suggestion, or idea presented to the government for its use with no indication that the source intendsto devote any further',
9584:'effort to it on the government’sbehalf. 15.602 policy. it is the policy of the government to encourage the submission of',
9585:'new and innovative ideas in response to broad agency announcements, small business innovationresearch topics, small business technologytransferresearch topics, program research',
9586:'and development announcements, or any other governmentinitiated solicitation or program. when the new and innovative ideas do not fall under',
9587:'topic areas publicized under those programs or techniques, the ideas may be submitted as unsolicited proposals. 15.603general. a unsolicited proposals',
9588:'allow unique and innovative ideas or approaches that have been developed outside the government to be made available to government',
9589:'agencies for use in accomplishment of their missions. unsolicited proposals areoffered with theintent thatthe government will enterinto acontract with the',
9590:'offeror for research anddevelopment or other efforts supporting the government mission, and often represent a substantial investment of time and',
9591:'effort by the offeror. b advertising material, commercial product or commercial service offers, or contributions, as defined in 15.601, or',
9592:'routine correspondence on technical issues, are not unsolicited proposals. c a valid unsolicited proposal must 1 be innovative and unique;',
9593:'2 be independently originated and developed by the offeror; 3 be prepared without government supervision, endorsement, direction, or direct government',
9594:'involvement; 4 includesufficient detail to permita determination that government support couldbe worthwhile and the proposed work could benefit the agency’sresearch',
9595:'and developmentor other mission responsibilities; 5 not be an advance proposal for a known agency requirement that can be acquired',
9596:'by competitive methods; and 6 not address a previously published agency requirement. d unsolicited proposals in response to a publicized',
9597:'general statement of agency needs are considered to be independently originated. e agencies must evaluate unsolicited proposals for energy savings',
9598:'performance contracts in accordance with the procedures in 10 cfr436.33b. 15.604agency points of contact. a preliminary contact with agency technical',
9599:'or other appropriate personnel before preparing a detailed unsolicited proposal or submitting proprietary information to the government may save considerable',
9600:'time and effort for both parties see 15.201. agencies must make available to potential offerors of unsolicited proposals at least',
9601:'the following information: 1 definition see 2.101 and content see 15.605 of an unsolicited proposal acceptable for formal evaluation. 2',
9602:'requirements concerning responsible prospective contractors see subpart 9.1,andorganizationalconflictsof interest see subpart 9.5. federal acquisition regulation 3 guidance on preferred methods',
9603:'for submitting ideas/concepts to the government, such as any agency: upcoming solicitations; broadagency announcements; small business innovation research programs; small',
9604:'business technology transfer research programs; program research and development announcements; orgrantprograms. 4 agency points of contact for information regarding advertising,',
9605:'contributions, and other types of transactions similar to unsolicited proposals. 5 information sources on agency objectives and areas of potential',
9606:'interest. 6 procedures for submission and evaluation of unsolicited proposals. 7 instructions for identifying and marking proprietary information so that',
9607:'it is protected and restrictive legends conform to 15.609. b onlythe cognizant contracting officer has the authorityto bind thegovernment regardingunsolicited',
9608:'proposals. 15.605 content of unsolicited proposals. unsolicited proposals should contain the following information to permit consideration in an objective and',
9609:'timely manner: a basic information including 1 offeror’s name and addressand type of organization; e.g., profit, nonprofit, educational, small business;',
9610:'2 names and telephone numbers of technical and business personnel to be contacted for evaluation or negotiation purposes; 3 identification',
9611:'of proprietary data to be used only for evaluation purposes; 4 names of other federal,state,or local agenciesor partiesreceiving theproposal or',
9612:'funding the proposed effort; 5 date of submission; and 6 signature of a person authorized to representand contractually obligate the',
9613:'offeror. b technical information including 1 concise title and abstract approximately 200 words ofthe proposed effort; 2 a reasonablycomplete discussion',
9614:'stating theobjectives of theeffort or activity, the method of approach and extent of effortto beemployed,the nature and extent of the',
9615:'anticipated results, and the manner in which the work willhelp to support accomplishment of the agency’s mission; 3 names and',
9616:'biographical information on the offeror’s key personnelwho would be involved,including alternates; and 4 type ofsupport needed fromthe agency; e.g., government',
9617:'property or personnel resources. c supporting information including 1 proposed price or total estimated cost for the effort in sufficient',
9618:'detail for meaningful evaluation; 2 period of time for which the proposal is valid a 6month minimum is suggested; 3',
9619:'type ofcontract preferred; 4 proposed duration ofeffort; 5 brief description of the organization, previous experience, relevant past performance,andfacilities to be',
9620:'used; 6 otherstatements, if applicable, aboutorganizational conflicts ofinterest, securityclearances,and environmental impacts; and 7 the names and telephone numbers of agency',
9621:'technical or other agency points of contact already contacted regarding the proposal. 15.606 agencyprocedures. a agencies shall establish procedures for',
9622:'controlling the receipt, evaluation, and timely disposition of unsolicited proposals consistent with the requirements of this subpart. the procedures shall',
9623:'include controls on the reproduction and disposition of proposal material,particularly data identified by the offeror assubject to duplication, use,or disclosure',
9624:'restrictions. b agencies shall establish agency points of contact see 15.604 to coordinate the receipt and handling of unsolicited proposals.',
9625:'15.6061receipt andinitialreview. a before initiating a comprehensive evaluation, the agency contact point shall determine if the proposal 1 is a',
9626:'valid unsolicited proposal, meeting the requirements of 15.603c; 2 is suitable for submission in response to an existing agency requirement',
9627:'see 15.602; 3 is related to the agency mission; subpart 15.6 unsolicited proposals 15.608 4 contains sufficienttechnical informationand costrelated or',
9628:'pricerelated information for evaluation; 5 has overall scientific, technical, or socioeconomic merit; 6 has been approved by a responsible official',
9629:'or other representativeauthorized to obligate the offeror contractually; and 7 complies with the marking requirements of 15.609. b if the',
9630:'proposal meets these requirements, the contact point shall promptly acknowledge receipt and process the proposal. c if a proposal is',
9631:'rejected because the proposal does not meet the requirements of paragraph a of this subsection, the agency contact point shall',
9632:'promptly inform the offerorof the reasons for rejection in writing and of theproposed disposition of the unsolicited proposal. 15.6062 evaluation.',
9633:'a comprehensive evaluations shall be coordinated by the agency contact point, who shall attach or imprint on each unsolicited proposal,',
9634:'circulated for evaluation, the legend required by 15.609d. when performing a comprehensive evaluation of an unsolicited proposal, evaluators shall consider',
9635:'the following factors, in addition to any others appropriate for the particular proposal: 1 unique, innovative, and meritorious methods, approaches,',
9636:'or concepts demonstrated by the proposal; 2 overall scientific, technical, or socioeconomic merits of the proposal; 3 potential contributionof the',
9637:'effortto the agency’s specific mission; 4 the offeror’scapabilities, related experience, facilities, techniques, or unique combinations of these that are integral',
9638:'factors for achieving the proposal objectives; 5 the qualifications, capabilities,andexperience of theproposed principalinvestigator, team leader, or key personnel critical to',
9639:'achieving the proposal objectives; and 6 the realism of the proposed cost. b the evaluators shall notify the agency point',
9640:'of contact of their recommendations when the evaluation is completed. 15.607 criteria foracceptance and negotiation of an unsolicitedproposal. a a',
9641:'favorable comprehensive evaluation of an unsolicited proposal does not, in itself, justify awarding a contract without providing for full and',
9642:'open competition. theagency point of contactshallreturn anunsolicited proposal to the offeror,citing reasons, when its substance 1 is available to the',
9643:'government without restriction from another source; 2 closely resembles a pending competitive acquisition requirement; 3 does not relate to the',
9644:'activity’s mission; or 4 does not demonstrate an innovative and unique method, approach, or concept, or is otherwise not deemed',
9645:'a meritorious proposal. b the contractingofficer may commence negotiations on a sole source basis only when 1 an unsolicited proposal',
9646:'has received a favorable comprehensive evaluation; 2 a justification and approval has been obtained see 6.3021a2i for research proposals or',
9647:'other appropriate provisions of subpart 6.3, and 6.3032c; 3 the agency technical office sponsoring the contract furnishes the necessary funds;',
9648:'and 4thecontractingofficerhascompliedwiththesynopsisrequirementsof subpart 5.2. 15.608 prohibitions. a government personnel shall not use any data, concept, idea, or other part of',
9649:'an unsolicited proposal as the basis, or part of the basis, for a solicitation orin negotiations with any other firm',
9650:'unless the offeror is notified of and agrees to the intended use. however, this prohibition does not precludeusing any data,',
9651:'concept, or idea in the proposal that alsois available from another source without restriction. b government personnel shall not disclose',
9652:'restrictively marked information see 3.104 and 15.609 included in an unsolicited proposal. the disclosure of such information concerning trade secrets,',
9653:'processes, operations, style of work, apparatus, and other matters, except asauthorized by law, mayresult in criminal penaltiesunder 18 u.s.c. 1905.',
9654:'federal acquisition regulation 15.609limited use of data. a an unsolicited proposal may include data that the offeror does notwant disclosed',
9655:'tothe public for any purposeor used by the government except for evaluation purposes. ifthe offerorwishes to restrictthe data, the title',
9656:'page mustbe marked with the following legend: use and disclosure of data this proposal includes data that shall not be',
9657:'disclosed outside the government and shall not be duplicated, used, or disclosedin wholeor in partforany purpose other than to evaluate',
9658:'this proposal. however, if acontract is awardedto this offeror as aresult ofor in connection withthe submission ofthese data, the government',
9659:'shall have the right to duplicate, use, or disclose the data to the extent provided in the resulting contract. this',
9660:'restriction does not limit the governments right to use information contained in these data if they are obtained from another',
9661:'source without restriction. the data subject to this restriction are contained in sheets [insert numbers or other identification of sheets].',
9662:'b the offeror shall also mark each sheet of dataitwishes torestrict with the following legend: useor disclosure ofdata contained on',
9663:'this sheet is subject to the restriction on the title page of this proposal. c theagency point of contactshallreturn to',
9664:'the offeror any unsolicited proposal marked with a legenddifferent from that provided in paragraph a of this section. the return',
9665:'letter will state that the proposal cannot be considered because it is impracticable for the government to comply with the',
9666:'legend and that the agency will consider the proposal if it is resubmitted with the proper legend. d the agency',
9667:'point of contact shall placea cover sheet on theproposal orclearly markitas follows, unless the offeror clearly states in writing that',
9668:'no restrictions are imposed on the disclosure or use of the data contained in the proposal: unsolicited proposaluse of data',
9669:'limited all government personnel must exercise extreme care to ensure that the information in this proposal is not disclosed to',
9670:'anindividual who has not been authorizedaccess to such data in accordance with far 3.104, and is not duplicated, used, or',
9671:'disclosed in whole or in part for any purpose other than evaluation of the proposal, without the written permission of',
9672:'the offeror. if a contract is awarded on the basis of this proposal, the terms of the contract shall control',
9673:'disclosure and use. this notice does not limit the governments right to use information contained in the proposal if it',
9674:'is obtainable from another source without restriction. this is a government notice, and shall not by itself be construed to',
9675:'impose any liability upon the government or government personnel for disclosure or use of data contained in this proposal. e',
9676:'use the notice in paragraph d of this section solely as a manner of handling unsolicited proposals that will be',
9677:'compatible withthissubpart. however, do not use this noticeto justify withholding of a record, orto improperly deny the public access to',
9678:'a record, where an obligation is imposed by the freedom of information act 5 u.s.c. 552. an offeror should identify',
9679:'tradesecrets, commercial orfinancial information, and privilegedor confidential information to the government see paragraph a of this section. f when an',
9680:'agency receives an unsolicited proposal without any restrictive legend from an educational or nonprofit organizationor institution, and anevaluation outside the',
9681:'government is necessary, the agency point ofcontactshall 1 attach a cover sheet clearly marked with the legend in paragraph d',
9682:'of this section; 2 change the beginning of this legend to read all government and nongovernment personnel ; and 3',
9683:'require any nongovernment evaluator to agree in writing that data in the proposal will not be disclosed to others outside',
9684:'the government. g if the proposal is received with the restrictive legend see paragraph a of this section, the modified',
9685:'cover sheet shall also be used and permission shall be obtained from the offeror beforerelease ofthe proposal for evaluation by',
9686:'non government personnel. h when an agency receives an unsolicited proposal with or without a restrictive legend from other than',
9687:'an educational or nonprofit organization orinstitution, and evaluation bygovernment personnel outsidethe agency or by experts outside of the government isnecessary,',
9688:'written permission must be obtained from the offeror before release of the proposal for evaluation. the agency point of contact',
9689:'shall 1 clearly mark the cover sheet with the legend in paragraph d or as modified in paragraph f of',
9690:'this section; and 2 obtain a written agreement from any nongovernment evaluator stating that data in the proposal will not',
9691:'be disclosed to persons outside the government. part 16 types of contracts sec. 16.000 scope of part. 16.001 definitions. subpart',
9692:'16.1 selecting contract types 16.101 general. 16.102 policies. 16.103 negotiating contract type. 16.104 factors in selecting contract types. 16.105 solicitation',
9693:'provision. subpart 16.2 fixedprice contracts 16.201 general. 16.202 firmfixedprice contracts. 16.2021 description. 16.2022 application. 16.203 fixedprice contracts with economic price',
9694:'adjustment. 16.2031 description. 16.2032 application. 16.2033 limitations. 16.2034 contract clauses. 16.204 fixedprice incentive contracts. 16.205 fixedprice contracts with prospective price',
9695:'redetermination. 16.2051 description. 16.2052 application. 16.2053 limitations. 16.2054 contract clause. 16.206 fixedceilingprice contracts with retroactive price redetermination. 16.2061 description. 16.2062',
9696:'application. 16.2063 limitations. 16.2064 contract clause. 16.207 firmfixedprice,levelofeffortterm contracts. 16.2071 description. 16.2072 application. 16.2073 limitations. subpart 16.3 costreimbursement contracts 16.301',
9697:'general. 16.3011 description. 16.3012 application. 16.3013 limitations. 16.302 cost contracts. 16.303 costsharing contracts. 16.304 costplusincentivefee contracts. 16.305 costplusawardfee contracts. 16.306',
9698:'costplusfixedfee contracts. 16.307 contract clauses. subpart 16.4 incentive contracts 16.401 general. 16.402 application of predetermined, formulatype incentives. 16.4021 cost incentives.',
9699:'16.4022 performance incentives. 16.4023 delivery incentives. 16.4024 structuring multipleincentive contracts. 16.403 fixedprice incentive contracts. 16.4031 fixedpriceincentivefirmtargetcontracts. 16.4032 fixedpriceincentivesuccessivetargets contracts. 16.404',
9700:'fixedprice contracts with award fees. 16.405 costreimbursement incentive contracts. 16.4051 costplusincentivefee contracts. 16.4052 costplusawardfee contracts. 16.406 contract clauses. subpart 16.5',
9701:'indefinitedelivery contracts 16.500 scope of subpart. 16.501 [reserved] 16.5011 definitions. 16.5012 general. 16.502 definitequantity contracts. 16.503 requirements contracts. 16.504 indefinitequantity',
9702:'contracts. 16.505 ordering. 16.506 solicitation provisions and contract clauses. subpart 16.6 timeandmaterials, laborhour, and lettercontracts 16.600 scope. 16.601 timeandmaterials contracts.',
9703:'16.602 laborhour contracts. 16.603 letter contracts. 16.6031 description. 16.6032 application. 16.6033 limitations. 16.6034 contract clauses. subpart 16.7 agreements 16.701 scope.',
9704:'16.702 basic agreements. 16.703 basic ordering agreements. this page intentionally left blank. subpart 16.1 selecting contract types 16.103 16.000scope of',
9705:'part. this part describes types of contracts that may be used in acquisitions. it prescribes policies and procedures and provides',
9706:'guidance for selecting a contract type appropriate to the circumstances of the acquisition. 16.001definitions. as used in this part awardfee',
9707:'board means the team of individuals identified in the awardfee plan who have been designated to assist the feedeterminingofficial in',
9708:'making awardfee determinations. established price means a price that— 1 is an established catalog or market price for a commercial',
9709:'product sold in substantial quantities to the general public; and 2 is thenet price afterapplying any standard trade discounts offered',
9710:'by the contractor. feedetermining official fdo means the designatedagency officials who reviews the recommendations of the awardfee board in determining',
9711:'the amount of awardfee tobe earnedby the contractorforeach evaluation period. rollover of unearned award fee means the process of transferring',
9712:'unearned award fee, which the contractor had an opportunity to earn, from one evaluation period to a subsequent evaluation period,',
9713:'thus allowing the contractor an additional opportunity to earn that previously unearned award fee. subpart 16.1 selecting contract types 16.101general.',
9714:'a a wide selection of contract types is available to the government and contractors in order to provide needed flexibility',
9715:'in acquiring the large variety and volume of supplies and services required by agencies. contract types vary according to 1',
9716:'the degree and timing of the responsibility assumed by the contractor for the costs of performance; and 2 the amount',
9717:'and nature of theprofit incentive offered tothe contractor for achieving or exceeding specified standards or goals. b the contract types',
9718:'are grouped into two broad categories: fixedprice contracts see subpart 16.2 and cost reimbursement contracts see subpart 16.3. the specific',
9719:'contract types range from firmfixedprice, in which the contractor has full responsibility for the performance costs and resulting profit or',
9720:'loss, to costplusfixedfee, in which the contractor has minimal responsibility for the performance costs and the negotiated fee profit is',
9721:'fixed. in between are the various incentive contracts see subpart 16.4,inwhichthecontractor’sresponsibilityfortheperformancecostsandtheprofitorfee incentives offered aretailoredto theuncertaintiesinvolved in contract performance. 16.102policies. a',
9722:'contracts resulting from sealed bidding shall be firmfixedprice contracts or fixedprice contracts with economic price adjustment. b contracts negotiated under',
9723:'part 15maybeofanytypeorcombinationoftypesthatwillpromotethegovernment’s interest, except as restricted in this part see 10 u.s.c. 3321a and 41 u.s.c. 3901. contract types not',
9724:'described in this regulation shall not be used, except as a deviation under subpart 1.4. c the costplusapercentageofcost system of',
9725:'contracting shall not be used see 10 u.s.c. 3322a and 41 u.s.c. 3905a. prime contracts including letter contracts other than',
9726:'firmfixedprice contracts shall, by an appropriate clause, prohibit costplusapercentageofcost subcontracts see clauses prescribed in subpart 44.2 for costreimbursement contracts and',
9727:'subparts 16.2 and 16.4 for fixedprice contracts. d no contractmay be awarded beforethe execution of any determination and findings d&f’s',
9728:'required by this part. minimum requirements for the content of d&f’s required by this part are specified in 1.704. 16.103negotiating',
9729:'contract type. a selecting the contract type is generally a matter for negotiation and requires the exercise of sound judgment.',
9730:'negotiating the contract type andnegotiating prices are closely relatedand should be consideredtogether. the objectiveis to negotiate a contract type and',
9731:'price or estimated cost and fee that will result in reasonable contractor risk and provide the contractor with the greatest',
9732:'incentive for efficientand economical performance. b a firmfixedprice contract, which best utilizes the basic profit motive of business enterprise, shall',
9733:'be used when the risk involved is minimalor can bepredicted with an acceptable degree of certainty. however, when a reasonable',
9734:'basis for federal acquisition regulation firm pricing does not exist, other contract types should be considered, and negotiations should be',
9735:'directed toward selecting a contract type or combination of types that will appropriately tie profit to contractor performance. c in',
9736:'the course of an acquisition program, a series of contracts, or a single longterm contract, changing circumstances may make a',
9737:'different contract type appropriate inlater periods than that used at the outset. in particular,contracting officers should avoid protracted use of',
9738:'a costreimbursement or timeandmaterials contract after experience provides a basis for firmer pricing. d 1 each contract file shall include',
9739:'documentation to show why the particular contract type was selected. this shall be documented in the acquisition plan, or in',
9740:'the contract file if a written acquisition plan is not required by agency procedures. i explain why the contract type',
9741:'selected must be used to meet the agency need. iidiscussthe government’s additional risksandthe burden to managethe contract type selected e.g.,',
9742:'when a costreimbursement contract is selected, the government incurs additional cost risks, and the government has the additional burden ofmanaging',
9743:'the contractor’s costs. forsuch instances, acquisition personnelshalldiscuss– a how the government identified the additional risks e.g., preaward survey,or past performance',
9744:'information; b the nature of the additional risks e.g., inadequatecontractor’saccountingsystem,weaknesses in contractors internal control, noncompliance with cost accounting standards, or',
9745:'lack of or inadequate earned value management system; and c how the government will manage and mitigate the risks. iii',
9746:'discussthe government resources necessary to properly planfor, award, and administer the contract type selected e.g., resources needed and the additional',
9747:'risks to the government if adequate resources are not provided. iv for other than a firmfixed price contract, at a',
9748:'minimum the documentation should include– a an analysis of why the use of other than a firmfixedprice contract e.g., cost',
9749:'reimbursement, time and materials, labor hour is appropriate; b rationale that detail the particular facts and circumstances e.g., complexity of',
9750:'the requirements, uncertain duration of the work, contractor’s technical capability and financial responsibility,or adequacy of the contractor’s accounting system, and',
9751:'associated reasoning essential to support the contract type selection; c anassessment regarding the adequacy of government resourcesthat arenecessary toproperlyplan for,',
9752:'award, and administer other than firmfixedprice contracts; and d a discussion of the actions planned to minimize the use of',
9753:'other than firmfixedprice contracts on future acquisitions for the same requirement and to transition to firmfixedprice contracts to the maximum',
9754:'extent practicable. v a discussion of whya levelofeffort, price redetermination, or fee provision was included. 2 exceptions to the requirements',
9755:'at d1 of this section are– i fixedprice acquisitions made under simplified acquisition procedures; ii contracts on a firmfixedprice basis',
9756:'other than those for major systems or research and development; and iii awards on the setaside portion of sealed bid',
9757:'partial setasides for small business. 16.104factors in selecting contract types. there are many factorsthat the contracting officer should consider inselecting',
9758:'and negotiatingthe contract type. they include the following: a price competition. normally, effective price competition resultsin realistic pricing, and afixedpricecontract',
9759:'is ordinarily in the government’s interest. b price analysis. price analysis, with or without competition, may provide a basis for',
9760:'selecting the contract type. the degree to which price analysis can provide a realistic pricing standard should be carefully considered.',
9761:'see 15.4041b. c cost analysis. in the absence of effective price competitionand if priceanalysisis not sufficient,the cost estimates of the',
9762:'offeror andthe government provide the bases for negotiating contract pricing arrangements. itis essential that the uncertainties involved in performance and',
9763:'their possible impact upon costs be identified and evaluated, so that a contract type that places a reasonable degree of',
9764:'cost responsibility upon the contractor can be negotiated. d type and complexity of the requirement. complex requirements, particularly those unique',
9765:'to the government, usually result in greater risk assumption by the government. this is especially true for complex research and',
9766:'development contracts, when performance uncertainties or thelikelihood of changes makes it difficult to estimate performance costsin advance. as a requirement',
9767:'recurs or asquantity production begins, the cost risk should shift tothe contractor, and afixedpricecontract should be considered. subpart 16.1 selecting',
9768:'contract types 16.105 e combining contract types. ifthe entire contract cannot be firmfixedprice, the contracting officer shall consider whether or',
9769:'not a portion of the contract can be established on a firmfixedprice basis. f urgency of the requirement. if urgency',
9770:'is a primaryfactor, the governmentmay choose to assume a greater proportion of risk or it mayoffer incentives tailored toperformance outcomes',
9771:'toensure timely contract performance. g period of performance or length of production run.in times of economicuncertainty, contractsextending overa relatively long',
9772:'period may require economic price adjustment or price redetermination clauses. h contractor’s technical capability and financial responsibility. i adequacy of',
9773:'the contractors accounting system. before agreeing on a contract type other than firmfixedprice, the contracting officershallensure that the contractor’s accounting',
9774:'system will permit timelydevelopment of allnecessary cost data in the form required by the proposed contract type. this factor may',
9775:'be critical– 1 when the contract type requires price revision while performance is in progress; or 2 when a costreimbursement',
9776:'contract is being considered and all current or past experience with the contractor has been on a fixedprice basis. see',
9777:'42.302a12. j concurrent contracts. if performance under the proposed contract involves concurrent operations under other contracts, the impact of those',
9778:'contracts, including their pricing arrangements, should be considered. k extent and nature of proposed subcontracting. if the contractor proposes extensive',
9779:'subcontracting, a contract type reflecting the actual risks to the prime contractor should be selected. l acquisition history. contractor risk',
9780:'usually decreases as the requirement is repetitively acquired. also, product descriptions ordescriptions of services to be performedcan be defined more',
9781:'clearly. 16.105 solicitation provision. the contractingofficer shall completeand insert the provision at 52.2161,type of contract, in asolicitation unless it is',
9782:'for a a fixedprice acquisition made under simplified acquisition procedures; or b information or planning purposes. this page intentionally left',
9783:'blank. 16.14 subpart 16.2 fixedprice contracts 16.2032 subpart 16.2 fixedprice contracts 16.201general. a fixedprice typesof contracts provide for a firm',
9784:'price or, in appropriatecases, an adjustableprice. fixedprice contracts providing for anadjustable price may include a ceiling price, a target priceincluding',
9785:'target cost, or both. unless otherwisespecified in the contract,the ceiling priceor targetprice is subjectto adjustment only by operationof contract clauses',
9786:'providing for equitable adjustment or other revision of the contract price under stated circumstances. the contracting officer shall use firmfixedprice',
9787:'or fixedprice with economic price adjustment contracts when acquiring commercial products and commercial services, except as provided in 12.207b. b',
9788:'timeandmaterials contractsandlaborhour contracts are not fixedprice contracts. 16.202firmfixedprice contracts. 16.2021 description. a firmfixedprice contract provides for a pricethat isnot subject',
9789:'to any adjustment on the basis of the contractor’s cost experience in performing the contract. this contract type places upon',
9790:'the contractor maximum risk and full responsibility for all costs and resultingprofit or loss. itprovides maximum incentiveforthe contractor to controlcosts',
9791:'and perform effectively and imposes a minimum administrative burden upon the contractingparties. the contractingofficer may use afirmfixedprice contract in conjunction',
9792:'with an awardfee incentive see 16.404 and performance or delivery incentives see 16.4022 and 16.4023 when the award fee or',
9793:'incentive is based solely on factors other than cost. the contract type remains firm fixedprice when used with these incentives.',
9794:'16.2022 application. a firmfixedprice contract is suitable for acquiring commercial products or commercial services see parts 2 and 12 or',
9795:'for acquiring other supplies or services on the basis of reasonably definite functional or detailed specifications see part 11 when',
9796:'the contracting officer canestablish fair and reasonable prices at the outset, such as when a there is adequate price competition;',
9797:'b there are reasonable price comparisons with prior purchases of the same or similar supplies or services made on a',
9798:'competitive basis or supported by valid certified cost or pricing data; c availablecost or pricing information permits realistic estimates ofthe',
9799:'probable costsof performance; or d performance uncertainties can be identified and reasonable estimates of their cost impact can be made,',
9800:'and the contractor is willing to accept a firm fixed price representing assumption of the risks involved. 16.203fixedprice contracts with',
9801:'economic price adjustment. 16.2031 description. a a fixedprice contract with economic price adjustment provides for upward and downward revision of',
9802:'the stated contract price upon the occurrence of specified contingencies. economic price adjustments are of three general types: 1 adjustments',
9803:'based on established prices. these price adjustments are based on increases or decreases from an agreedupon level in published or',
9804:'otherwise established prices of specific items or the contract end items. 2 adjustments based on actual costs of labor or',
9805:'material. these price adjustments are based on increases or decreases in specified costs of labor or material that the contractor',
9806:'actually experiences during contract performance. 3 adjustments based on cost indexes of labor or material. these price adjustments are based',
9807:'on increases or decreases in labor or material cost standards or indexes that are specifically identified in the contract. b',
9808:'the contractingofficer may use afixedpricecontract with economicprice adjustment in conjunction with anawardfee incentive see 16.404 and performance or delivery incentives',
9809:'see 16.4022 and 16.4023 when the award fee or incentive is based solely on factors other than cost. the contract',
9810:'type remains fixedprice with economic price adjustment when used with these incentives. 16.2032 application. a fixedprice contract with economic price',
9811:'adjustment may be used when i there is serious doubt concerning the stability of market or labor conditions that will',
9812:'exist during an extended period of contract performance, and ii contingencies that would otherwise be included in the contract price',
9813:'can be identified and covered separately in the contract. price adjustments 16.2033 federal acquisition regulation based on established prices should',
9814:'normally be restricted to industrywide contingencies. price adjustments based on labor and materialcosts should be limited to contingencies beyond the',
9815:'contractor’s control. for use ofeconomic price adjustment in sealed bid contracts, see 14.4084. a inestablishing thebase level fromwhich adjustment will',
9816:'be made,the contracting officershallensure that contingency allowances are not duplicated by inclusion in both the base price and the adjustment',
9817:'requested by the contractor under economic price adjustment clause. b in contractsthat do notrequire submission of certified cost or pricing',
9818:'data, the contracting officer shall obtain adequate data to establish the base level from which adjustment will be made and',
9819:'may require verification of data submitted. 16.2033 limitations. a fixedprice contract with economic price adjustment shall not be usedunlessthe contracting',
9820:'officerdeterminesthat it is necessary either to protect the contractor and the government against significant fluctuations in labor or material costs',
9821:'or to provide for contract price adjustment in theeventof changes in the contractor’s establishedprices. 16.2034 contract clauses. a adjustment based',
9822:'on established pricesstandard supplies. 1 the contracting officershall, when contracting by negotiation, insert the clause at 52.2162, economic price adjustmentstandard',
9823:'supplies, or an agencyprescribed clause as authorized in paragraph a2 of this subsection, in solicitations and contracts when all of',
9824:'the following conditions apply: i a fixedprice contract is contemplated. ii the requirement is for standard supplies that have an',
9825:'established catalog or market price. iii the contracting officer has made the determination specified in 16.2033. 2 if all the',
9826:'conditionsin paragraph a1 ofthis subsection apply and the contracting officer determines that the use of the clause at 52.2162 is',
9827:'inappropriate, the contracting officermay usean agencyprescribed clause instead of the clause at 52.2162. 3 if the negotiated unit price reflects',
9828:'a net price after applying a trade discount from a catalog or list price, the contracting officershalldocument in the contractfile',
9829:'both the catalog or listprice and the discount. this does not apply to prompt payment or cash discounts. 4 the',
9830:'contractingofficer may modify the clauseby increasing the 10 percent limit on aggregateincreases specifiedin 52.2162c1, upon approvalby the chief of the',
9831:'contracting office. b adjustment based on established pricessemistandard supplies. 1 the contracting officershall, whencontracting by negotiation, insert the clause at',
9832:'52.2163, economic price adjustmentsemistandard supplies, or an agencyprescribed clause as authorized in paragraph b2 of this section, in solicitations and',
9833:'contracts when all of the following conditions apply: i a fixedprice contract is contemplated. ii the requirement is for semistandard',
9834:'supplies for which the prices can be reasonably related to the prices of nearly equivalent standard supplies that have an',
9835:'established catalog or market price. iii the contracting officer has made the determination specified in 16.2033. 2 if all conditions',
9836:'in paragraph b1of this subsection apply and the contracting officer determines that the use of the clause at 52.2163is inappropriate,',
9837:'the contracting officer mayuse an agencyprescribed clauseinstead of the clause at 52.2163. 3 if the negotiated unit price reflects a',
9838:'net price after applying a trade discount from a catalog or list price, the contracting officershalldocument in the contractfile both',
9839:'the catalog or listprice and the discount. this does not apply to prompt payment or cash discounts. 4 before entering',
9840:'into the contract,the contracting officer andcontractor mustagreein writing onthe identity of the standard supplies and the corresponding line items to',
9841:'which the clause applies. 5 if the supplies are standard, except for preservation, packaging, and packing requirements, the clause prescribed',
9842:'in 16.2034a shall be used rather than this clause. 6 the contractingofficer may modify the clauseby increasing the 10 percent',
9843:'limit on aggregateincreases specifiedin 52.2163c1, upon approvalby the chief of the contracting office. c adjustments based on actual cost of',
9844:'labor or material.1the contracting officer shall, when contractingby negotiation, insert a clause that is substantially the same as the clause',
9845:'at 52.2164, economic price adjustment labor and material, or an agencyprescribed clause as authorized in subparagraph c2 of this section,',
9846:'in solicitations and contracts when all of the following conditions apply: i a fixedprice contract is contemplated. subpart 16.2 fixedprice',
9847:'contracts 16.2052 ii there is no major element of design engineering or development work involved. iii one or more identifiable',
9848:'labor or material cost factors are subject to change. iv the contracting officer has made the determination specifiedin 16.2033. 2',
9849:'if all conditions in paragraph c1 of this section applyand the contracting officerdeterminesthat the useof the clause at 52.2164is inappropriate,',
9850:'the contracting officer mayuse an agencyprescribed clauseinstead of the clause at 52.2164. 3 the contractingofficer shall describe indetail in the',
9851:'contract schedule i the types of labor and materials subject to adjustment under the clause; ii the labor rates, including',
9852:'fringe benefits if any and unit prices of materials that may be increased or decreased; and iii the quantities of',
9853:'the specified labor and materials allocable to each unit to be delivered under the contract. 4 in negotiating adjustments under',
9854:'the clause, the contractingofficer shall i consider work in process and materials on hand at the time of changes in',
9855:'labor rates, including fringe benefits if any or material prices; ii not include in adjustments any indirect cost except fringe',
9856:'benefits as defined in 31.2056m or profit; and iii consider only those fringe benefits specified in the contract schedule. 5',
9857:'the contractingofficer may modify the clauseby increasing the 10 percent limit on aggregateincreases specifiedin 52.2164c4, upon approvalby the chief of',
9858:'the contracting office. d adjustments based on cost indexes of labor or material. the contracting officer should consider using aneconomic',
9859:'price adjustment clause based on cost indexes of labor or material under the circumstances and subject to approval as described',
9860:'in paragraphs d1 and d2 of this section. 1 a clause providing adjustment based on cost indexes of labor or',
9861:'materials may be appropriate when i the contract involves an extended period of performance with significant costs to be incurred',
9862:'beyond 1 year after performance begins; ii the contract amount subject to adjustment is substantial; and iii the economic variables',
9863:'for labor and materials are too unstable to permit a reasonable division of risk between thegovernment and the contractor, without',
9864:'this typeof clause. 2 any clause using this method shall be prepared and approved under agency procedures. because of the',
9865:'variations in circumstances and clause wording that may arise, no standard clause is prescribed. 16.204fixedprice incentive contracts. a fixedprice incentive',
9866:'contract is a fixedprice contract that provides for adjusting profit and establishing the final contract price by a formula based',
9867:'on therelationship offinal negotiated total cost tototal target cost. fixedprice incentive contracts are covered in subpart 16.4, incentive contracts. see',
9868:'16.403 for more complete descriptions, application, and limitations for these contracts. prescribed clauses are found at 16.406. 16.205 fixedprice contracts',
9869:'with prospective price redetermination. 16.2051 description. a fixedprice contract with prospective price redetermination provides for a a firm fixed price',
9870:'for an initial period of contract deliveries or performance; and b prospective redetermination, at a stated time or times during',
9871:'performance, of the price for subsequent periods of performance. 16.2052 application. a fixedprice contract with prospective price redetermination may be',
9872:'used in acquisitions of quantity production or services for which it is possible to negotiate a fair and reasonable firm',
9873:'fixed price for an initial period, but not for subsequent periods of contract performance. a the initial period should be',
9874:'the longest period for which it is possible to negotiate a fair and reasonable firm fixed price. each subsequent pricing',
9875:'period should be at least 12 months. b the contract may provide for a ceiling price based on evaluation of',
9876:'the uncertainties involved in performance and their possible cost impact. this ceiling price should provide for assumption of a reasonable',
9877:'proportion of the risk by the contractor 16.2053 federal acquisition regulation and, once established, may be adjusted only by operation',
9878:'of contract clauses providing for equitable adjustment or other revision of the contract price under stated circumstances. 16.2053 limitations. this',
9879:'contract type shall not be used unless a negotiations have established that 1 the conditions for use of a firmfixedprice',
9880:'contract are not present see 16.2022; and 2 a fixedprice incentive contract would not be more appropriate; b the contractor’s',
9881:'accounting system is adequate for priceredetermination; c theprospective pricing periods can bemade to conform with operation ofthe contractor’s accounting system;',
9882:'and d there is reasonable assurance that price redetermination actions will take place promptly at the specified times. 16.2054 contract',
9883:'clause. the contractingofficer shall,when contracting by negotiation, insert the clause at 52.2165, price redetermination prospective, in solicitations and contracts when',
9884:'a fixedprice contract is contemplated and the conditions specified in 16.2052 and 16.2053a through d apply. 16.206 fixedceilingpricecontracts with retroactive',
9885:'price redetermination. 16.2061 description. a fixedceilingprice contract with retroactive price redetermination provides for a a fixed ceiling price; and b',
9886:'retroactive price redetermination within the ceiling after completion of the contract. 16.2062 application. a fixedceilingprice contract with retroactive price redetermination',
9887:'is appropriate for research and development contracts estimated at the simplified acquisition threshold or less when it is established at',
9888:'the outset that a fair and reasonable firm fixed price cannot be negotiated and that the amount involved and short',
9889:'performance period make the use of any other fixed price contract type impracticable. a a ceilingprice shall be negotiated for',
9890:'the contract at alevel that reflects a reasonable sharing of risk by thecontractor. the established ceiling price may be adjusted',
9891:'only if required by the operation of contract clauses providing for equitable adjustment or other revision of the contract price',
9892:'under stated circumstances. b the contract should be awarded only after negotiation of a billing price that is as fair',
9893:'and reasonable as the circumstances permit. c since this contract type provides the contractorno cost control incentive except the ceiling',
9894:'price, the contracting officer should make clearto the contractor during discussion beforeaward that the contractor’s management effectiveness and ingenuity will',
9895:'be considered in retroactively redetermining the price. 16.2063 limitations. this contract type shall not be used unless a the contract',
9896:'is for research and development and the estimated cost is the simplified acquisition threshold or less; b the contractor’s accounting',
9897:'system is adequate for priceredetermination; c there is reasonable assurance that the price redetermination will take place promptly at the',
9898:'specified time; and d the head ofthe contracting activity or a higherlevel official, ifrequired by agencyprocedures approves its use in',
9899:'writing. 16.2064 contract clause. the contractingofficer shall,when contracting by negotiation, insert the clause at 52.2166, price redetermination retroactive, in solicitations',
9900:'and contracts when a fixedprice contract is contemplated and the conditions in 16.2062 and 16.2063a through d apply. subpart 16.2',
9901:'fixedprice contracts 16.2073 16.207firmfixedprice, levelofeffort term contracts. 16.2071 description. a firmfixedprice, levelofeffort term contract requires a thecontractor to provide a',
9902:'specified level of effort,over a stated periodof time, onworkthat canbe stated only in general terms; and b the government to',
9903:'pay the contractor a fixed dollar amount. 16.2072 application. a firmfixedprice, levelofeffort term contract is suitable for investigation or study',
9904:'in a specific research and development area. the product of the contract is usually a report showing the results achieved',
9905:'through application of the required level of effort. however, payment isbased on the effort expended rather than on theresults achieved.',
9906:'16.2073 limitations. this contract type may be used only when a the work required cannot otherwise be clearly defined; b',
9907:'the requiredlevel of effortis identified and agreed upon inadvance; c there isreasonable assurance that the intended result cannot be achieved',
9908:'by expending less thanthe stipulatedeffort; and d the contract price is the simplifiedacquisitionthreshold orless, unless approved by thechief of the',
9909:'contracting office. this page intentionally left blank. 16.26 subpart 16.3 costreimbursement contracts 16.305 subpart 16.3 costreimbursement contracts 16.301general. 16.3011 description.',
9910:'costreimbursement types of contracts provide for payment of allowable incurred costs, to the extent prescribed in the contract. these contracts',
9911:'establish an estimate of total cost for the purpose of obligating funds and establishing a ceiling that thecontractor may not',
9912:'exceed except at its own risk without the approval of thecontracting officer. 16.3012 application. a thecontracting officer shall use costreimbursement',
9913:'contracts only when 1 circumstances do not allow theagency to defineits requirements sufficiently to allow for a fixedprice type contract',
9914:'see 7.105; or 2 uncertaintiesinvolved in contract performance do not permit coststo beestimated with sufficient accuracy to use any type',
9915:'of fixedprice contract. b the contractingofficer shall document the rationale for selecting the contract type in thewritten acquisition plan and',
9916:'ensure that the planis approvedand signed at least one levelabove the contracting officer see 7.103j and 7.105. 16.3013 limitations. a',
9917:'a costreimbursement contract may be used only when 1 the factors in 16.104 have been considered; 2 a written acquisition',
9918:'plan has been approvedandsigned at least one levelabove the contracting officer; 3 the contractor’s accounting system is adequate for determining',
9919:'costs applicableto thecontract or order; and 4 priorto award ofthe contract or order, adequate government resources areavailable to awardandmanage a',
9920:'contract other than firmfixedpriced see 7.104e. this includes appropriate government surveillance during performance in accordance with 1.6022, to provide reasonable',
9921:'assurance that efficient methods and effective costcontrols are used. b the use of costreimbursement contracts is prohibited for the acquisition',
9922:'of commercial products and commercial services see parts 2 and 12. 16.302cost contracts. a description. a cost contract is a',
9923:'costreimbursement contract in which the contractor receives no fee. b application. a cost contract may be appropriate for research and',
9924:'development work, particularly with nonprofit educationalinstitutions orothernonprofit organizations. c limitations. see 16.3013. 16.303costsharing contracts. a description. a costsharing contract is',
9925:'a costreimbursement contract in which the contractor receives no fee and is reimbursed only for an agreedupon portion of its',
9926:'allowable costs. b application. a costsharing contract may be used when the contractor agrees to absorb a portion of the',
9927:'costs, in the expectation of substantial compensating benefits. c limitations. see 16.3013. 16.304costplusincentivefee contracts. a costplusincentivefee contract is a costreimbursement',
9928:'contract that provides for an initially negotiated fee to be adjusted later by a formula based on the relationship of',
9929:'total allowable costs to total target costs. costplusincentivefee contracts are covered in subpart 16.4, incentive contracts. see 16.4051 for a',
9930:'more complete description and discussion of application of these contracts. see 16.3013 for limitations. 16.305costplusawardfee contracts. a costplusawardfee contract is',
9931:'a costreimbursement contract that provides for a fee consisting of aa base amount which may be zero fixed at inception',
9932:'of the contract and ban award amount, based upon a judgmental evaluation by thegovernment,sufficient to provide motivationforexcellence in contract performance.',
9933:'costplusawardfee contracts are federal acquisition regulation covered in subpart 16.4, incentive contracts. see 16.401e for a more complete description and',
9934:'discussion of the application of these contracts. see 16.3013 and 16.401e5 for limitations. 16.306costplusfixedfee contracts. a description. a costplusfixedfee contract',
9935:'is a costreimbursement contract that provides for payment to the contractor of a negotiated fee that is fixed at the',
9936:'inception of the contract. the fixed fee does not vary with actual cost, but may be adjusted as a result',
9937:'of changes in the work to be performed under the contract. this contract type permits contracting for efforts that might',
9938:'otherwise present too greata risk to contractors, but it provides thecontractor only aminimum incentive to control costs. b application. 1',
9939:'a costplusfixedfee contract is suitable for use when the conditions of 16.3012 are present and, for example ithe contractis for',
9940:'the performance of research orpreliminary exploration or study, and the level of effort required is unknown; or ii the contract',
9941:'is for development and test, and using a costplusincentivefee contract is not practical. 2 a costplusfixedfee contract normally should not',
9942:'be used in development of major systems see part 34 once preliminary exploration, studies, and risk reduction have indicated a',
9943:'high degree of probability that the development is achievable and the government has established reasonably firm performance objectives and schedules.',
9944:'c limitations. no costplusfixedfee contractshallbe awarded unless the contractingofficer complies with all limitations in 15.4044c4i and 16.3013. d completion and',
9945:'term forms. a costplusfixedfee contract may take one of two basic formscompletion or term. 1 the completion form describes thescope',
9946:'of work by stating a definite goal or target and specifying an end product. this form of contract normally requires',
9947:'the contractor to complete and deliver the specified end product e.g.,a final report of research accomplishingthe goal or target withinthe',
9948:'estimated cost, if possible, as acondition for payment of the entire fixed fee. however, inthe event thework cannot be completed',
9949:'within the estimated cost, the government mayrequire more effort without increase in fee, provided the government increases the estimated cost.',
9950:'2 the term form describes the scope of work in general terms and obligates the contractor to devote a specified',
9951:'level of effortfora stated time period. under this form, if the performance is consideredsatisfactory by the government,the fixed feeis payableat',
9952:'the expiration of the agreedupon period, upon contractor statement that the level of effort specified in the contract has been',
9953:'expended in performing the contract work. renewal for further periods of performance is a new acquisition that involves new cost',
9954:'and fee arrangements. 3 because of the differences inobligation assumedby the contractor, thecompletion formis preferred over the term form whenever',
9955:'the work, or specific milestones for the work, can be defined well enough to permit development of estimates within which',
9956:'the contractor can be expected to complete the work. 4 the term form shall not be usedunlessthe contractor is obligated',
9957:'by the contract to providea specific level of effort within a definite time period. 16.307contract clauses. a 1thecontractingofficershallinserttheclauseat 52.2167, allowable',
9958:'cost and payment, in solicitations and contracts when a costreimbursement contract or a timeandmaterials contract other than a contract for',
9959:'a commercial product or commercial service is contemplated. if the contract is a timeandmaterials contract, the clause at 52.2167 applies',
9960:'in conjunction with the clause at 52.2327, but only to the portion of the contract that provides for reimbursement of',
9961:'materials as defined in the clause at 52.2327 at actualcost. further, the clause at 52.2167 does not apply to laborhour',
9962:'contracts. 2 if the contract is a construction contract and contains the clause at 52.23227, prompt payment for construction contracts,',
9963:'the contractingofficer shall usethe clause at 52.2167 with its alternate i. 3 if the contract is with an educational institution,',
9964:'thecontracting officer shall use the clause at 52.2167 with its alternate ii. 4 if the contract is with a state',
9965:'or localgovernment, thecontracting officer shall use the clause at 52.2167 with its alternate iii. 5 if the contract is with',
9966:'a nonprofitorganization other than an educational institution, a state or local government, or a nonprofit organization exempted under the omb',
9967:'uniform guidance at 2 cfr part 200, appendix viii, the contracting officer shall use the clause at 52.2167 with its',
9968:'alternate iv. subpart 16.3 costreimbursement contracts 16.307 b the contractingofficer shall insertthe clause at 52.2168, fixed fee, in solicitations and',
9969:'contracts when a costplusfixed fee contract other than a construction contract is contemplated. c thecontracting officer shall insert the clause',
9970:'at 52.2169, fixedfeeconstruction, in solicitations and contracts when a costplusfixedfee construction contract is contemplated. d the contractingofficer shall insertthe clause',
9971:'at 52.21610, incentive fee, in solicitations and contracts when a costplus incentivefee contract is contemplated. e 1thecontractingofficershallinserttheclauseat 52.21611, cost contractno',
9972:'fee, in solicitations and contracts when a costreimbursement contract is contemplated that provides no fee and is not a costsharing',
9973:'contract. 2 if a costreimbursement research and development contract with an educational institution or a nonprofit organizationthat provides no fee',
9974:'orotherpayment above costand is not a costsharing contract is contemplated, and if the contracting officerdeterminesthat withholding of a portion of',
9975:'allowable costs is not required, the contracting officer shall use the clause with its alternate i. f 1thecontractingofficershallinserttheclauseat 52.21612, costsharing',
9976:'contractno fee, in solicitations and contracts when a costsharing contract is contemplated. 2 if a costsharing research and development contract',
9977:'with an educationalinstitution or a nonprofit organization is contemplated, and if the contractingofficer determines that withholding of a portion of',
9978:'allowable costs is notrequired, the contracting officershalluse the clausewith its alternate i. g the contractingofficer shall insertthe clause at 52.21615,',
9979:'predetermined indirect cost rates, in solicitations and contracts when a costreimbursement research and development contract with an educational institution see',
9980:'42.7053b is contemplated and predetermined indirect cost rates are to be used. this page intentionally left blank. 16.34 subpart 16.4',
9981:'incentive contracts 16.401 subpart 16.4 incentive contracts 16.401general. a incentive contracts as described in this subpart are appropriate when a',
9982:'firmfixedprice contract is not appropriate and the required supplies or services can be acquired at lower costs and, in certain',
9983:'instances, with improved delivery or technical performance, byrelatingthe amount of profit or fee payable underthe contract tothe contractor’s performance. incentive',
9984:'contracts are designed to obtain specific acquisition objectives by 1 establishingreasonable and attainabletargets that are clearly communicated to the contractor;',
9985:'and 2 including appropriate incentive arrangements designed to imotivatecontractor efforts that might not otherwise be emphasized; and iidiscourage contractor inefficiency',
9986:'and waste. b when predetermined, formulatype incentives on technical performance or delivery are included, increases in profit or fee are',
9987:'provided only for achievement that surpasses the targets, and decreasesare provided for tothe extent that such targets are not met.',
9988:'theincentive increases ordecreases areapplied to performancetargets ratherthan minimum performance requirements. c the two basic categories of incentive contracts are fixedprice',
9989:'incentive contracts see 16.403 and 16.404 and cost reimbursement incentive contracts see 16.405. sinceitis usually to the government’s advantage for',
9990:'the contractor to assume substantial cost responsibility and an appropriate share of the cost risk, fixedprice incentive contracts are preferred',
9991:'when contract costs and performance requirements are reasonably certain. costreimbursement incentive contracts are subject to the overall limitations in 16.301',
9992:'that apply to all costreimbursement contracts. d a determination and finding,signed by the head of the contracting activity, shall be',
9993:'completed for all incentiveand awardfee contracts justifying that the use of this type of contract is in the best interest',
9994:'of the government. this determination shall be documented in the contract file and, for awardfee contracts, shall address all of',
9995:'the suitability items in 16.401e1. e awardfeecontracts are a type of incentive contract. 1 application. an awardfee contract is suitable',
9996:'for use when ithe work to be performedis such that it is neither feasible nor effective todevise predetermined objective incentive',
9997:'targets applicable to cost, schedule, and technical performance; iithe likelihood ofmeeting acquisitionobjectives will be enhancedby using a contract that effectively',
9998:'motivates the contractor toward exceptional performance and provides the government with the flexibility to evaluate both actual performance and the',
9999:'conditions under which it was achieved; and iii any additional administrativeeffort and cost required to monitor and evaluate performance are',
10000:'justified by the expected benefits as documented by a risk and cost benefit analysis to be included in the determination',
10001:'and findings referenced in 16.401e5iii. 2 awardfee amount.the amount of award fee earned shall be commensurate withthe contractor’s overall cost,',
10002:'schedule, and technical performance as measured against contract requirements in accordance with the criteria stated in theawardfee plan. award feeshallnot',
10003:'be earned ifthe contractor’s overall cost,schedule,andtechnical performance in theaggregate is belowsatisfactory. the basis for all awardfee determinations shall bedocumented in',
10004:'the contract file to include, at a minimum, a determination that overall cost, schedule and technical performance in the aggregate',
10005:'is or is not at a satisfactory level. this determination and the methodology for determining the award fee are unilateral',
10006:'decisions made solely at the discretion of the government. 3 awardfee plan. all contracts providing for award fees shall be',
10007:'supported by an awardfee plan that establishes the procedures for evaluating award fee andan awardfee board for conducting the awardfee',
10008:'evaluation. awardfeeplans shall i be approved by the fdo unless otherwise authorized by agency procedures; ii identify the awardfee evaluation',
10009:'criteria and how they are linked to acquisition objectives which shall be defined in terms of contract cost, schedule, and',
10010:'technical performance. criteria should motivate the contractor to enhance performance in the areas rated, but not at the expense of',
10011:'at least minimum acceptable performance in all other areas; iii describe how the contractor’s performancewill be measured against the awardfee',
10012:'evaluation criteria; iv utilize the adjectival rating and associated description as well as the awardfee pool earned percentages shown below',
10013:'in table161. contracting officers maysupplement the adjectival rating description. the method used to determine the adjectival rating must be documented',
10014:'in the awardfee plan; table 161 federal acquisition regulation awardfee adjectival rating award fee pool available to be earned description',
10015:'excellent 91%100% contractor has exceeded almost all of the significant awardfee criteria and has met overall cost, schedule, and technical',
10016:'performance requirements of the contract in the aggregate as defined and measured against the criteria in the awardfee plan for',
10017:'the awardfee evaluation period. very good 76%90% contractor has exceeded many of the significant awardfee criteria and has met overall',
10018:'cost, schedule, and technical performance requirements of the contract in the aggregate as defined and measured against the criteria in',
10019:'the awardfee plan for the awardfee evaluation period. good 51%75% contractor has exceeded some of the significant awardfee criteria and',
10020:'has met overall cost, schedule, and technical performance requirements of the contract in the aggregate as defined and measured against',
10021:'the criteria in the awardfee plan for the awardfee evaluation period. satisfactory no greater than 50% contractor has met overall',
10022:'cost, schedule, and technical performance requirements of the contract in the aggregate as defined and measured against the criteria in',
10023:'the awardfee plan for the awardfee evaluation period. unsatisfactory 0% contractor has failed to meet overall cost, schedule, and technical',
10024:'performance requirements of the contract in the aggregate as defined and measured against the criteria in the awardfee plan for',
10025:'the awardfee evaluation period. v prohibit earning any award feewhen acontractor’s overall cost, schedule, and technical performance in the aggregate',
10026:'is below satisfactory; vi provide for evaluation periods to be conducted at stated intervals during the contract period of performance',
10027:'so that the contractor will periodically be informed of the quality of its performance and the areas in which improvement',
10028:'is expected e.g. six months, nine months, twelve months, or at specific milestones; and vii define the total awardfee pool',
10029:'amount and how this amount is allocated across each evaluation period. 4 rollover of unearned award fee. the use of',
10030:'rollover of unearned award fee is prohibited. 5 limitations. no awardfee contract shall be awarded unless i all of the',
10031:'limitations in 16.3013, thatare applicable to costreimbursement contractsonly, are complied with; ii an awardfee plan is completed in accordance with',
10032:'the requirements in 16.401e3; and iii a determination and finding is completed in accordance with 16.401d addressing all of the',
10033:'suitability items in 16.401e1. f incentiveand awardfee data collection and analysis. each agency shall collect relevant data on award fee',
10034:'and incentive fees paid to contractors and include performance measures to evaluate such data on a regular basis to determine',
10035:'effectiveness of award and incentive fees as a tool for improving contractor performance and achieving desired program outcomes. this information',
10036:'should be considered as part of the acquisition planning process see 7.105 in determining the appropriate type of contract to',
10037:'be utilized for future acquisitions. g incentiveand awardfee best practices. each agency head shall provide mechanisms for sharing proven incentive',
10038:'strategies for the acquisition of different typesof products andservices among contracting and program management officials. 16.402 application ofpredetermined, formulatype incentives.',
10039:'16.4021 cost incentives. a most incentive contracts include only cost incentives, which take the form of a profit or fee',
10040:'adjustment formula and areintended tomotivatethe contractor to effectively manage costs. noincentive contract may provideforotherincentives without also providing a cost incentive',
10041:'or constraint. subpart 16.4 incentive contracts 16.403 b except for awardfee contracts see 16.404 and 16.401e, incentivecontracts include a target',
10042:'cost, a target profit or fee, and a profit or fee adjustment formula that within the constraints of a price',
10043:'ceiling or minimum and maximum fee provides that 1 actual cost that meets the target will result in thetarget profit',
10044:'or fee; 2 actual cost that exceedsthe target will result in downward adjustment of target profit or fee;and 3 actual',
10045:'cost that isbelow the target will result in upward adjustmentof targetprofit orfee. 16.4022 performance incentives. a performance incentives may be',
10046:'considered in connection with specific product characteristics e.g.,a missile range, anaircraftspeed, an engine thrust, ora vehicle maneuverability or other specificelements',
10047:'of the contractor’s performance. these incentives should be designed to relate profit or fee to resultsachieved by the contractor,comparedwith specified',
10048:'targets. b to the maximumextent practicable, positive and negativeperformance incentives shall be considered in connection with service contracts for performance',
10049:'of objectively measurable tasks when quality of performance is critical and incentives arelikely to motivate the contractor. c technical performance',
10050:'incentives may be particularly appropriate in major systems contracts, both in development when performance objectives are known and the fabrication',
10051:'of prototypes for test and evaluation is required and in production if improved performance is attainable and highly desirable to',
10052:'the government. d technical performance incentives may involve a variety ofspecific characteristics that contribute to the overall performanceof the end',
10053:'item. accordingly,the incentives on individual technical characteristicsmust be balanced so that no one of them is exaggerated to the detriment',
10054:'of the overall performance of the end item. e performance tests and/or assessments of work performance are generally essential in',
10055:'order to determine the degree of attainment of performance targets. therefore, the contract must be as specific as possible in',
10056:'establishing test criteriasuch as testing conditions, instrumentation precision, and data interpretation and performance standards such as the quality levels of',
10057:'services to be provided. f because performance incentives present complex problemsin contract administration, the contracting officer should negotiate them in',
10058:'full coordination with government engineering and pricing specialists. g it is essential that thegovernmentand contractor agree explicitly on the effect',
10059:'that contract changes e.g., pursuant to the changes clause will have on performance incentives. h the contractingofficer mustexercise care, in',
10060:'establishing performance criteria, to recognize that the contractor should not be rewarded or penalized for attainments of governmentfurnished components. 16.4023',
10061:'delivery incentives. a delivery incentives should be considered when improvement from a required delivery schedule is a significant government objective.',
10062:'itis important to determinethe government’s primary objectives in a givencontract e.g., earliest possible delivery or earliest quantity production. b incentive',
10063:'arrangements on delivery should specify the application of the rewardpenalty structure in the event of governmentcaused delays or other delays',
10064:'beyond the control, and without the fault or negligence, of the contractor or subcontractor. 16.4024 structuring multipleincentive contracts. a properly',
10065:'structured multipleincentive arrangement should a motivate the contractor to strive for outstanding results in all incentive areas; and b compeltradeoff',
10066:'decisions among the incentiveareas, consistent with the government’s overall objectives for the acquisition. because of the interdependency of thegovernment’s cost,',
10067:'thetechnicalperformance, and thedelivery goals, a contract that emphasizes only one of the goals may jeopardize control over the others. because',
10068:'outstanding results may not be attainable for each of the incentive areas, all multipleincentive contracts must include a cost incentive',
10069:'or constraint that operates to preclude rewarding a contractor for superior technical performance or delivery results when the cost of',
10070:'those results outweighs their value to the government. 16.403fixedprice incentive contracts. a description. a fixedprice incentive contract is a fixedprice',
10071:'contract that provides for adjusting profit and establishing thefinal contract price by application of a formula basedon the relationship of',
10072:'total final negotiated cost to total target cost. 16.4031 federal acquisition regulation the final price is subject to a price',
10073:'ceiling, negotiated at the outset. the two forms of fixedprice incentive contracts, firm target and successive targets, arefurther described in',
10074:'16.4031 and 16.4032 below. b application. a fixedprice incentive contract is appropriate when 1 a firmfixedprice contract is not suitable;',
10075:'2 the nature of the supplies or services being acquired and other circumstances of the acquisition are such that the',
10076:'contractor’s assumption of a degree of cost responsibility will providea positive profitincentive for effective cost control and performance; and 3',
10077:'if the contract also includes incentives on technical performance and/ordelivery,the performancerequirements provide a reasonable opportunity for the incentives to have',
10078:'a meaningful impact on the contractor’s management ofthe work. c billing prices. in fixedprice incentive contracts, billing prices are established',
10079:'as an interim basis for payment. these billing prices may be adjusted, within the ceiling limits, upon request of either',
10080:'party to the contract, when it becomes apparentthat final negotiated cost will besubstantially different from the target cost. 16.4031 fixedprice',
10081:'incentive firm target contracts. a description. a fixedprice incentive firm target contract specifies a target cost, a target profit,a priceceiling',
10082:'but not a profit ceiling or floor, and a profit adjustment formula. these elements are all negotiated at the outset.',
10083:'the price ceiling is themaximum thatmay be paid to the contractor, except for any adjustment under other contractclauses. when the',
10084:'contractor completes performance, the parties negotiate the final cost, and the final price is established by applying the formula. when',
10085:'thefinal cost is less than thetarget cost, applicationof the formula results ina finalprofit greater than the target profit; conversely, when',
10086:'final costis more than target cost,application of the formula results in a final profit lessthan the target profit, or even',
10087:'a net loss. if the final negotiated cost exceeds the price ceiling, thecontractor absorbs the difference asa loss. because the',
10088:'profit varies inversely with the cost, this contract type provides a positive, calculable profit incentive for the contractor to control',
10089:'costs. b application. a fixedprice incentive firm target contract isappropriatewhen the parties can negotiate at the outset a firm target',
10090:'cost, targetprofit, and profit adjustment formulathat will provide a fair and reasonableincentive anda ceilingthat provides for the contractor to assume',
10091:'an appropriate share of the risk. when the contractor assumes a considerable or major shareof the cost responsibility under the',
10092:'adjustment formula, the target profit should reflect this responsibility. c limitations. this contract type may be used only when 1',
10093:'the contractor’s accounting system is adequate for providing datato support negotiation of final cost and incentive price revision; and 2',
10094:'adequate cost or pricing information for establishing reasonable firm targets isavailable atthe time of initial contract negotiation. d contract schedule.',
10095:'the contracting officershallspecify in the contract schedule the target cost, targetprofit, and target price for each item subject to incentive',
10096:'price revision. 16.4032 fixedprice incentive successive targets contracts. a description. 1 a fixedprice incentive successive targets contract specifies the following',
10097:'elements,all of which are negotiated at the outset: ian initial target cost. iian initial target profit. iii an initial profit',
10098:'adjustment formulato beused for establishingthe firm target profit,including a ceiling and floor for the firmtarget profit. thisformula normally provides for',
10099:'a lesser degree of contractor cost responsibility than would a formula for establishing final profit and price. iv the production',
10100:'point at which the firm target costand firm targetprofit will be negotiatedusually before delivery or shop completion of the first',
10101:'item. v a ceiling pricethat is the maximum that may bepaid to the contractor,exceptforanyadjustment under other contract clauses providing for',
10102:'equitable adjustment or other revision of the contract price under stated circumstances. 2 when the production point specified in the',
10103:'contract is reached, the parties negotiate the firmtarget cost, giving consideration to cost experience under the contract and other pertinent',
10104:'factors. the firm target profit is established by the formula. at this point, the parties have two alternatives, as follows:',
10105:'ithey maynegotiate a firm fixed price, usingthe firm target cost plusthe firm target profit as a guide. subpart 16.4 incentive',
10106:'contracts 16.4051 ii if negotiation of a firm fixed price is inappropriate, they may negotiate a formula for establishing the',
10107:'final price usingthe firm target cost and firm target profit. the final cost is thennegotiated at completion, and the final',
10108:'profit is established by formula, as under the fixedprice incentive firm targetcontract see 16.4031 above. b application. a fixedprice incentive',
10109:'successive targets contract is appropriate when 1 available cost or pricing information is notsufficient to permit the negotiation of a',
10110:'realistic firm target cost and profit before award; 2 sufficient informationis available topermit negotiation of initial targets; and 3 there',
10111:'is reasonable assurance that additional reliable information will be available at an early point in the contract performancesoas to permit',
10112:'negotiation of either iafirm fixedprice or iifirm targets and a formula for establishingfinal profit and price that will provide a',
10113:'fair and reasonable incentive. this additional information is not limited to experience under the contract, itself, but may be drawn',
10114:'from other contracts for the same or similar items. c limitations. this contract type may be used only when 1',
10115:'the contractor’s accounting system is adequate for providing datafornegotiating firm targets and a realistic profit adjustment formula, as well as',
10116:'later negotiation of final costs; and 2 costor pricinginformation adequate for establishinga reasonable firm target cost is reasonably expected to',
10117:'be available at an early point in contract performance. d contract schedule. the contracting officershallspecify in the contract schedule the',
10118:'initial target cost,initial target profit, and initial target priceforeach itemsubject to incentiveprice revision. 16.404fixedprice contracts with award fees. awardfee provisions',
10119:'may be used in fixedprice contracts when the government wishesto motivate a contractor and other incentives cannot be used because',
10120:'contractor performance cannot be measured objectively. such contracts shall establish a fixed price including normal profit for the effort. this',
10121:'price will bepaid for satisfactory contract performance. award fee earned ifany willbe paid in addition to thatfixedprice. see 16.401e for',
10122:'the requirements relative to utilizing this contract type. 16.405 costreimbursement incentive contracts. see 16.301 for requirements applicable to all costreimbursement',
10123:'contracts, for use in conjunction with the following subsections. 16.4051 costplusincentivefee contracts. a description. the costplusincentivefee contract is a costreimbursement',
10124:'contract that provides for the initially negotiatedfee tobe adjusted later by a formula basedon the relationship of total allowable costs',
10125:'to total target costs. this contract type specifies a targetcost, a target fee, minimum and maximum fees, and a fee',
10126:'adjustment formula. after contract performance, the fee payable to the contractor is determined in accordance with the formula. the formula',
10127:'provides, within limits, for increases in fee above targetfee when total allowable costsare lessthan targetcosts, and decreases in fee below',
10128:'target fee whentotal allowablecosts exceed target costs. this increase or decrease is intended to provide an incentive for the contractor',
10129:'to managethe contract effectively. when total allowable cost is greater than or less thanthe range of costs within which the',
10130:'feeadjustment formula operates, the contractor is paid total allowable costs, plus the minimum or maximum fee. b application. 1 a',
10131:'costplusincentivefee contract is appropriate for services or development and test programs when i a costreimbursement contract is necessary see 16.3012;',
10132:'and iiatarget cost and a feeadjustmentformula can be negotiated that are likelyto motivate the contractor tomanage effectively. 2 the contract',
10133:'may include technical performance incentives when it is highly probable that the required development of a major system is feasible',
10134:'and the government has established its performance objectives, at least in general terms. this approach also may apply to other',
10135:'acquisitions, if the use of both cost and technical performance incentives is desirable and administratively practical. 3 the fee adjustment',
10136:'formula should providean incentive that willbe effective over the full range of reasonably foreseeable variations from target cost. ifa high',
10137:'maximumfee is negotiated, the contract shall also provide for a low minimum fee that may be a zero feeor, in',
10138:'rare cases, a negative fee. c limitations. no costplusincentivefee contract shall be awarded unless all limitations in 16.3013 are complied',
10139:'with. 16.4052 federal acquisition regulation 16.4052 costplusawardfee contracts. a costplusawardfee contract is a costreimbursement contract that provides for a fee',
10140:'consisting of 1 a base amount fixed at inception of the contract, ifapplicable and at the discretion of thecontracting officer,',
10141:'and2an award amount that thecontractor may earn in whole or in part during performance and thatis sufficientto provide motivation for',
10142:'excellence in the areas of cost, schedule, and technical performance. see 16.401e for the requirements relative to utilizing this contract',
10143:'type. 16.406contract clauses. a insert the clause at 52.21616, incentive price revisionfirmtarget, in solicitations and contracts when a fixed price',
10144:'incentive firm targetcontract is contemplated. if thecontract callsforsupplies orservicesto beordered under a provisioning document or government option and the prices',
10145:'are to be subject to the incentive price revision under the clause, thecontracting officer shall use the clause with its',
10146:'alternate i. b insert the clause at 52.21617,incentive price revisionsuccessive targets, in solicitations and contractswhen afixedprice incentive successive targets contract',
10147:'is contemplated. if the contract calls for supplies or services tobe ordered undera provisioning document or government option and the',
10148:'prices are to be subject to incentive price revision under the clause, the contracting officershalluse the clausewith its alternate i.',
10149:'c the clause at 52.2167, allowable cost and payment, is prescribed in 16.307a for insertion in solicitations and contracts when',
10150:'a costplusincentivefee contract or a costplusawardfee contract is contemplated. d the clause at 52.21610, incentive fee, is prescribed in 16.307d',
10151:'for insertion in solicitations and contracts when a costplusincentivefee contract is contemplated. e insert an appropriate awardfee clause in solicitations',
10152:'and contracts when an awardfee contract is contemplated, provided that the clause 1 is prescribed by or approved under agency',
10153:'acquisition regulations; 2 is compatible with the clause at 52.2167, allowable cost and payment; and 3 expressly provides that the',
10154:'award amount and the awardfee determination methodology are unilateral decisions made solely at the discretion of the government. subpart 16.5',
10155:'indefinitedelivery contracts 16.502 subpart 16.5 indefinitedelivery contracts 16.500scope of subpart. a this subpart prescribes policies and procedures for making awards',
10156:'of indefinitedelivery contracts and establishes a preference for making multiple awards of indefinitequantity contracts. b this subpart does not limit',
10157:'the use of other than competitive procedures authorized by part 6. c nothing in this subpart restricts the authority of',
10158:'the general services administration gsa to enter into schedule, multiple award, ortaskor delivery order contracts under any other provision of',
10159:'law. therefore, gsa regulations and the coverage for the federal supply schedule program in subpart 8.4 and part 38 take',
10160:'precedence over this subpart. d the statutory multiple award preference implemented by this subpart does not apply to architectengineer contracts',
10161:'subject to the procedures in subpart 36.6.however,agenciesarenotprecludedfrommakingmultipleawardsforarchitectengineer services using the procedures in this subpart, provided the selection of contractors and',
10162:'placement of orders are consistent with subpart 36.6. e see subpart 19.5 for procedures to set aside part or parts',
10163:'of multipleaward contracts for small businesses; to reserve one or more awards for small business on multipleaward contracts; and to',
10164:'set aside orders for small businesses under multipleaward contracts. 16.501[reserved] 16.5011 definitions. as used in this subpart deliveryorder contract means',
10165:'a contract for supplies that does not procure or specify a firm quantity of supplies other than a minimum or',
10166:'maximum quantity and that provides for the issuance of orders for the delivery of supplies during the period of the',
10167:'contract. taskorder contract means a contract for services that does not procure or specify a firm quantity of services other',
10168:'than a minimum or maximum quantity and that provides for the issuance of orders for the performance of tasks during',
10169:'the period of the contract. 16.5012 general. a there are three types of indefinitedelivery contracts: definitequantity contracts, requirements contracts, and',
10170:'indefinitequantity contracts. the appropriate type of indefinitedelivery contract may be used to acquire supplies and/ or services when the exact',
10171:'times and/or exact quantities of future deliveries are not known at the time of contract award. pursuant to 10 u.s.c.',
10172:'3401 and 41 u.s.c. 4101, requirements contracts and indefinitequantity contracts are also known as deliveryorder contracts or taskorder contracts. b',
10173:'the various types of indefinitedelivery contracts offer the following advantages: 1 all three types permit i government stocks to be',
10174:'maintained at minimum levels; and ii direct shipment to users. 2 indefinitequantity contracts and requirements contracts also permit i flexibility',
10175:'in both quantities and delivery scheduling; and ii ordering of supplies or services after requirements materialize. 3 indefinitequantity contracts limit',
10176:'the government’s obligation to the minimumquantity specified in thecontract. 4 requirements contracts may permit faster deliveries when production lead time',
10177:'is involved, because contractors are usually willing to maintain limited stocks when the government will obtain all of its actual',
10178:'purchase requirements from the contractor. c indefinitedelivery contracts may provide for any appropriate cost or pricing arrangement under part 16.',
10179:'cost or pricing arrangements that provide for an estimated quantity of supplies or services e.g., estimated number of labor hours',
10180:'must comply with the appropriate procedures of this subpart. 16.502definitequantity contracts. a description. a definitequantity contract provides for delivery of',
10181:'a definite quantity of specific supplies or services for a fixed period, with deliveries orperformance to be scheduled at designatedlocations',
10182:'upon order. b application. a definitequantity contract may be used when it can be determined in advance that federal acquisition',
10183:'regulation 1 a definite quantity of supplies or services will be required during the contract period; and 2 the supplies',
10184:'or services are regularly available or will be available after a short lead time. 16.503 requirements contracts. a description. a',
10185:'requirements contract provides for filling all actual purchase requirements of designated government activities for supplies or services during a specified',
10186:'contract period from one contractor, with deliveries or performance to bescheduled by placing orders with thecontractor. 1 for the information',
10187:'of offerors and contractors, the contracting officer shall state a realistic estimatedtotal quantity in the solicitation and resulting contract. thisestimateis',
10188:'not a representation to an offeror or contractor that the estimated quantity will be required or ordered, or that conditionsaffectingrequirements',
10189:'will be stableor normal. thecontracting officer may obtain the estimate fromrecordsof previous requirements and consumption, or by other means,andshouldbase the',
10190:'estimate on the most current information available. 2 the contract shall state, if feasible, the maximum limit of the contractor’s',
10191:'obligation to deliver and the government’s obligation to order. the contract may also specify maximum or minimum quantities that the',
10192:'government may order under each individual order and the maximum that it may order during a specified period of time.',
10193:'b application. 1 a requirements contract may be appropriate for acquiring any supplies or services when the government anticipates recurring',
10194:'requirements but cannot predetermine the precise quantities of supplies or services that designated government activities will need during a definite',
10195:'period. 2 no requirements contract in an amount estimated to exceed $100 million including all options may be awarded to',
10196:'a single source unless a determination is executed in accordance with 16.504c1iid. c government property furnished for repair. when a',
10197:'requirements contract is used to acquire work e.g., repair, modification, or overhaul on existing items of government property, the contractingofficer',
10198:'shall specify inthe schedule that failure of the government to furnish such items in the amounts or quantities described in',
10199:'the schedule as estimated or maximum will not entitle the contractor to any equitable adjustment in price under the government',
10200:'property clause of the contract. d limitations on use of requirements contracts for advisory and assistance services. 1 except as',
10201:'provided in paragraph d2 of this section, no solicitation for a requirements contract for advisory and assistance services in excess',
10202:'of three years and $15 million including all options may be issued unless the contracting officeror other official designated by',
10203:'the head of the agency determines in writing that the services required are so unique or highly specialized that it',
10204:'is not practicable to make multiple awards using the procedures in 16.504. 2 the limitation in paragraph d1 of this',
10205:'section is not applicable to an acquisition of supplies or services that includes the acquisition of advisory and assistanceservices, if',
10206:'the contracting officer or other officialdesignated bythe head of the agency determines that the advisory and assistance services are necessarily',
10207:'incident to, and not a significant component of, the contract. 16.504indefinitequantity contracts. a description. an indefinitequantity contract providesforan indefinite quantity,',
10208:'withinstated limits,of suppliesor services during a fixed period. the government places orders for individual requirements. quantity limits may be stated',
10209:'as number of units or as dollar values. 1 the contract must require the government to order and the contractor',
10210:'to furnish at least a stated minimum quantity of supplies or services. in addition, if ordered, the contractor must furnish',
10211:'any additional quantities, not to exceed the stated maximum. thecontracting officer should establish a reasonablemaximum quantity based on market research,',
10212:'trends on recent contracts for similar supplies or services, survey of potential users, or any other rational basis. 2 to',
10213:'ensure that the contract is binding, the minimum quantity must be more than a nominal quantity, but it should not',
10214:'exceed the amount thatthe government isfairlycertain to order. 3 the contract may also specify maximum or minimum quantities that the',
10215:'government may order under each task or delivery order and the maximum that it may order during a specific period',
10216:'of time. 4 a solicitation and contract for an indefinite quantity must i specify the period of the contract, including',
10217:'the number of options and the period for which the government may extend the contract under each option; ii specify',
10218:'the total minimum and maximum quantity of supplies or services the government will acquire under the contract; subpart 16.5 indefinitedelivery',
10219:'contracts 16.504 iii include a statement of work, specifications, or other description, that reasonably describes the general scope, nature, complexity,and',
10220:'purpose ofthe supplies or services the governmentwill acquireunder thecontract in a manner that will enable a prospective offeror to decide',
10221:'whether to submit an offer; iv state the procedures that the government will use in issuing orders, including the ordering',
10222:'media, and, if multiple awards may be made, state the procedures and selection criteria that the government will use to',
10223:'provide awardees a fair opportunity to be considered for each order see 16.505b1; v include a description of the activities',
10224:'authorized to issue orders; and vi include authorization for placing oral orders, if appropriate, provided that the government has established',
10225:'procedures for obligating funds and that oral orders are confirmed in writing. b application. contracting officersmay usean indefinitequantity contract when',
10226:'the government cannot predetermine, above a specified minimum, the precise quantities of supplies or services that the government will require',
10227:'during the contract period,anditis inadvisable for the government to commit itself for more than a minimum quantity. the contracting officer',
10228:'should use an indefinitequantity contract only when a recurring need is anticipated. c multiple award preference 1 planning the acquisition.',
10229:'i except for indefinitequantity contracts for advisory and assistance services as provided in paragraph c2of this section, the contracting officer',
10230:'must, to the maximum extent practicable, give preference to making multiple awards of indefinitequantity contracts under a single solicitation for',
10231:'the same or similar supplies or services to two or more sources. ii athecontractingofficermustdeterminewhethermultipleawardsareappropriateaspartofacquisition planning. the contracting officer mustavoid situations',
10232:'in which awardees specializeexclusively in one or a few areaswithin thestatement ofwork, thus creating the likelihood that orders in thoseareas',
10233:'willbe awarded on a solesource basis; however, each awardee need not be capable of performing every requirement as well as',
10234:'any other awardee under the contracts. the contracting officershouldconsider the followingwhen determining the number of contracts to be awarded: 1',
10235:'the scope and complexity of the contract requirement. 2 the expected duration and frequency of task or delivery orders. 3',
10236:'the mix of resources a contractor must have to perform expected task or delivery order requirements. 4 the ability to',
10237:'maintain competition among the awardees throughout the contracts’ period of performance. b the contracting officermust notuse the multiple award approach',
10238:'if 1 only one contractor is capable of providing performance at the level of quality required because the supplies or',
10239:'services are unique or highly specialized; 2 based onthe contracting officer’s knowledge ofthe market, more favorable terms and conditions, including',
10240:'pricing, will be provided if a single award is made; 3 the expected cost of administration of multiple contracts outweighs',
10241:'the expected benefits of making multiple awards; 4 the projected task orders are so integrally related that only a single',
10242:'contractor can reasonably perform the work; 5 the total estimated value of the contract is at or below the simplified',
10243:'acquisition threshold; or 6 multiple awards would not be in the best interests of the government. c the contracting officermust',
10244:'documentthe decision whether ornot to use multiple awards inthe acquisition plan orcontract file. the contracting officermay determine that aclass of',
10245:'acquisitions is notappropriate for multipleawards see subpart 1.7. d 1 no task or delivery order contract in an amount estimated',
10246:'to exceed $100 million including all options may be awarded to a single source unless the head of the agency',
10247:'determines in writing that i the task or delivery orders expected under the contract are so integrally related that only',
10248:'a single source can reasonably perform the work; ii the contract provides only for firmfixed price see 16.202 task or',
10249:'delivery orders for a products for which unit prices are established in the contract; or b services for which prices',
10250:'are established in the contract for the specific tasks to be performed; iii only one source is qualified and capable',
10251:'of performing the work at a reasonable price to the government; or iv it is necessary in the public interest',
10252:'to award the contract to a single source due to exceptional circumstances. 2 the head of the agency must notify',
10253:'congress within 30 days after any determination under paragraph c 1iid1iv of this section. federal acquisition regulation 3 the requirement',
10254:'for a determination for a singleaward contract greater than $100 million i is in addition to any applicable requirements of',
10255:'subpart 6.3; and ii is not applicable for architectengineer services awarded pursuant to subpart 36.6. 2 contracts for advisory and',
10256:'assistance services. i except as provided in paragraph c2ii of this section, if an indefinitequantity contract for advisory and assistance',
10257:'services exceeds 3 years and $15 million, including all options, the contracting officermust make multipleawards unless athe contracting officer orother',
10258:'official designated by theheadof the agency determines in writing,as part of acquisition planning,that multiple awards are notpracticable. the contracting officer',
10259:'or other officialmust determine that only one contractor can reasonably perform the work because either the scope of work is',
10260:'unique or highly specialized or the tasks so integrally related; b the contracting officeror other official designated by the head',
10261:'of theagency determines in writing, after the evaluationof offers, that only one offeror is capable of providing the services required',
10262:'at the level of quality required; or c only one offeris received. iithe requirements ofparagraph c2i ofthissection do notapply if',
10263:'thecontracting officer or other official designated by the head of the agency determines that the advisory and assistance services are',
10264:'incidental and not a significant component of the contract. 16.505ordering. a general. 1 in general, the contracting officerdoes not synopsizeordersunder',
10265:'indefinitedelivery contracts; except see 16.505a4 and 11, and 16.505b2iid. 2 individual orders shall clearly describe all services to be performed',
10266:'or supplies to be delivered so the full cost or price for the performance of the work can be established',
10267:'when the order is placed. orders shall be within the scope, issued within the period of performance, and be within',
10268:'the maximum value of the contract. 3 performancebased acquisition methods must be used to the maximum extent practicable, if the',
10269:'contract or order is for services see 37.102a and subpart 37.6. 4 the following requirements apply when procuring items peculiar',
10270:'to one manufacturer: ithe contracting officer must justifyrestricting consideration to an item peculiarto one manufacturer e.g., a particular brandname, product,',
10271:'or a feature of a product that is peculiar to one manufacturer. a brandname item, even if available on more',
10272:'than onecontract, isan itempeculiar to one manufacturer. brandname specifications shall not be used unless theparticular brandname,product, or feature is essential',
10273:'to thegovernment’s requirementsand marketresearch indicates other companies’ similar products, or products lacking the particular feature, do not meet, or cannot',
10274:'be modified to meet, the agency’s needs. ii requirements for use of items peculiar to one manufacturer shall be justified',
10275:'and approved using the formats and requirements from paragraphs b2iia, b, and c of this section, modified to show the',
10276:'brandname justification. a justification is required unless a justification covering the requirements in the order was previously approved for the',
10277:'contract in accordance with 6.3021c or unless the base contract is a singleaward contract awarded under full and open competition.',
10278:'justifications for the use of brandname specifications must be completed and approved at the time the requirement for a brandname',
10279:'is determined. iii aforanorderinexcessof$30,000,thecontractingofficershall— 1 post the justification and supportingdocumentation on the agency website used if any to solicit offersfor',
10280:'orders under the contract; or 2 provide the justification and supporting documentation along with the solicitation to all contract awardees.',
10281:'b the justifications for brandname acquisitions may apply to the portion of the acquisition requiring the brand name item. if',
10282:'the justification is to cover only the portion of the acquisition which is brandname, then it should so state; the',
10283:'approval level requirements will then only apply to that portion. c the requirements in paragraph a4iiia of this section do',
10284:'not apply when disclosure would compromise the national security e.g., would result in disclosure of classified information or create other',
10285:'security risks. d the justification is subject to the screening requirement in paragraph b2iid4 of this section. 5 when acquiring',
10286:'information technology and related services, consider the use of modular contracting to reduce program risk see 39.103a. 6 orders may',
10287:'be placed by using any medium specified in the contract. 7 orders placed under indefinitedelivery contracts must contain the following',
10288:'information: idate of order. subpart 16.5 indefinitedelivery contracts 16.505 iicontract number and order number. iii for supplies and services, line',
10289:'item number, subline item number ifapplicable, description, quantity,and unit price or estimated cost and fee as applicable. the corresponding line',
10290:'item number and subline item number from the base contract shall also be included. iv delivery or performance schedule. v',
10291:'place of delivery or performance including consignee. vi any packaging, packing, and shipping instructions. vii accounting and appropriation data. viii',
10292:'method ofpayment and paymentoffice, ifnot specified inthe contract see 32.1110e. ix north american industry classification system code see 19.102b3. 8',
10293:'orders placed under a taskorder contract or deliveryorder contract awarded by another agency i.e.,a governmentwide acquisition contract, or multiagency contract—',
10294:'i are not exempt from the development of acquisition plans see subpart 7.1, and an information technology acquisition strategy see',
10295:'part 39; ii may not be used to circumvent conditions and limitations imposed on the use of funds e.g., 31',
10296:'u.s.c. 1501a 1; and iii shallcomply with all farrequirements for a consolidated orbundled contractwhen the order meets the definition at',
10297:'2.101 of consolidation or bundling. 9 in accordance with section 1427b of public law 108136 40u.s.c. 1103 note, orders placed',
10298:'under multiagency contracts for services that substantially or to a dominant extent specify performance of architectengineer services, as defined in',
10299:'2.101, shall— i be awarded using the procedures at subpart 36.6; and ii require the direct supervision of a professional',
10300:'architect or engineer licensed, registered or certified in the state, federal district, or outlying area, in which the services are',
10301:'to be performed. 10 i no protest under subpart 33.1 is authorized in connection with the issuance or proposed issuance',
10302:'of an order under a taskorder contract or deliveryorder contract, except— a a protest on the grounds that the order',
10303:'increases the scope, period, or maximum value of the contract; or b 1 for agencies other than dod, nasa, and',
10304:'the coast guard, a protest of an order valued in excess of $10 million 41 u.s.c. 4106f; or 2 for',
10305:'dod, nasa, or the coast guard, a protest of an order valued in excess of $25 million 10 u.s.c. 3406f.',
10306:'ii protests of orders in excess of the thresholds stated in 16.505a10ib may only be filed with the government accountability',
10307:'office, in accordance with the proceduresat 33.104. iii for protests of small business size status for setaside orders, see 19.302.',
10308:'11 publicize orders funded in whole orin part bythe american recovery and reinvestment act of 2009 pub. l. 1115 as',
10309:'follows: i notices of proposed orders shall follow the procedures in 5.704 for posting orders. iiawardnotices for orders shall follow',
10310:'the procedures in 5.705. 12 when using the governmentwide commercial purchase card as a method of payment, orders at or',
10311:'below the micropurchase thresholdare exempt fromverification inthe system for award management asto whether thecontractor has a delinquent debt subject to',
10312:'collection under the treasury offsetprogram top. b orders under multipleaward contracts— 1 fair opportunity. ithe contracting officer must provide eachawardeea',
10313:'fair opportunity to be considered for each order exceeding the micropurchase threshold issued under multiple deliveryorder contracts or multiple taskorder',
10314:'contracts, except— a as provided for in paragraph b2 of this section; or b orders issued under 19.504c1ii. iithe contracting',
10315:'officer may exercise broad discretion in developing appropriate order placement procedures. the contractingofficer should keep submission requirements to a minimum.',
10316:'contracting officers may use streamlined procedures, including oral presentations. if the order does not exceed the simplified acquisition threshold, the',
10317:'contracting officer need notcontacteach of themultiple awardees under the contract beforeselecting anorder awardee if the contracting officer has information available',
10318:'to ensure that each awardee is provided a fair opportunityto beconsidered for each order. federal acquisition regulation the competition requirements',
10319:'in part 6 and the policies in subpart 15.3 do not apply to the ordering process. however, the contracting officershall—',
10320:'a develop placement procedures that will provide each awardee a fair opportunity to be considered for each order and that',
10321:'reflect the requirement and other aspects of the contracting environment; b not use any method such as allocation or designation',
10322:'of any preferred awardee that would not result in fair consideration being given to all awardees prior to placing each',
10323:'order; c tailor the procedures toeach acquisition; d include the procedures in the solicitation and the contract; e consider price',
10324:'or cost under each order as one of the factors in the selection decision; f except for dod, ensure the',
10325:'criteria at 15.1012c15 are met when using the lowest price technically acceptable source selection process; and g except for dod,',
10326:'avoid using the lowest price technically acceptable source selection process to acquire certain supplies and services in accordance with 15.1012d.',
10327:'iii orders exceeding the simplified acquisition threshold. a each order exceeding the simplified acquisition threshold shall be placed on a',
10328:'competitive basis in accordance with paragraph b1iiib of this section, unless supported by a written determination that one of the',
10329:'circumstances described at 16.505b2i applies to the order and the requirement is waived on the basis of a justification that',
10330:'is prepared in accordance with 16.505b2iib; b the contracting officershall— 1 provide a fair notice of the intent to make',
10331:'a purchase, including a clear description of the supplies to be deliveredor the services to be performed and thebasis upon',
10332:'which the selection will be madeto all contractors offering the required supplies or services under the multipleaward contract; and 2',
10333:'afford all contractors responding to the notice a fair opportunityto submit an offer and have that offer fairly considered. iv',
10334:'orders exceeding $6 million. for task or delivery orders in excess of $6 million, the requirement to provide all awardees',
10335:'a fair opportunity to be considered for each order shall include, at a minimum— aanotice of thetask or delivery order',
10336:'that includes a clear statementof the agency’s requirements; b a reasonable response period; c disclosure of the significant factors and',
10337:'subfactors, including cost or price, that the agency expects to consider in evaluating proposals, and their relative importance; d where',
10338:'award is made on a best value basis, a written statement documenting the basis for award and the relative importance',
10339:'of quality and price or cost factors; and e an opportunity for a postaward debriefing in accordance with paragraph b6',
10340:'of this section. v the contractingofficer should consider the following when developing the procedures: a 1 past performanceon earlier orders',
10341:'under the contract,including quality, timeliness and cost control. 2 potential impact on other orders placed with the contractor. 3 minimum',
10342:'order requirements. 4 the amount of time contractors need to make informed business decisions on whether to respond to potential',
10343:'orders. 5 whethercontractors could be encouraged torespond to potential orders by outreach efforts topromote exchanges of information, such as— i',
10344:'seeking comments from two or more contractors on draft statements of work; ii using a multiphased approach when effort required',
10345:'to respond to a potential order may be resource intensive e.g., requirements are complex or need continued development, where all',
10346:'contractors are initially considered on price considerations e.g., rough estimates, and other considerations as appropriate e.g.,proposed conceptual approach, past performance.',
10347:'the contractors most likely to submit the highest value solutions are then selected for oneonone sessions with the government to',
10348:'increase their understanding of the requirements, provide suggestions for refining requirements, and discuss risk reduction measures. b formal evaluation plans',
10349:'orscoringof quotes or offers are notrequired. 2 exceptions to the fair opportunity process. i the contractingofficer shall give every awardee',
10350:'afair opportunity to be considered for a delivery order or task order exceeding the micropurchase threshold unless one of the',
10351:'following statutory exceptions applies: athe agency need for the supplies or services is so urgent that providinga fairopportunity would result',
10352:'in unacceptable delays. subpart 16.5 indefinitedelivery contracts 16.505 b only one awardee is capable of providing the supplies or services',
10353:'required at the level of quality required because the supplies or services ordered are unique or highly specialized. c the',
10354:'order mustbe issued on a solesource basis in the interest of economy and efficiency because it is a logical followon',
10355:'to an order already issued under the contract, provided that all awardees were given a fair opportunity to be consideredforthe',
10356:'original order. d it is necessary to place an order to satisfy a minimum guarantee. e for orders exceeding the',
10357:'simplified acquisition threshold, a statute expressly authorizes or requires that the purchase be made from a specified source. f in',
10358:'accordance with section1331 of public law111240 15 u.s.c. 644r, contracting officers may, at their discretion, set aside orders for any',
10359:'of the small business concerns identified in 19.000a3. when setting aside orders for small business concerns, the specific small business',
10360:'program eligibility requirements identified in part 19apply. g for dod, nasa, and the coast guard, the order satisfies one of',
10361:'the exceptions permitting the use of other than full and open competition listed in 6.302 10 u.s.c. 3406c5. the public',
10362:'interest exception shall not be used unless congress is notified in accordance with 10 u.s.c. 3204a7. ii the justification for',
10363:'an exception to fair opportunity shall be in writing as specified in paragraph b2iia or b of this section. no',
10364:'justification is needed for the exception described in paragraph b2if of this section. a orders exceeding the micropurchase threshold, but',
10365:'not exceeding the simplified acquisition threshold. the contractingofficer shall document the basis for using anexception tothe fair opportunity process. ifthe',
10366:'contracting officer usesthe logical followonexception, the rationale shall describe why the relationship between the initialorder and the followon is logical',
10367:'e.g., in terms of scope, period of performance, or value. b orders exceeding the simplified acquisition threshold. as a minimum,',
10368:'each justification shall include the following information and be approved in accordance with paragraph b2iic of this section: 1 identification',
10369:'ofthe agencyand the contracting activity, and specific identification of the document asa justification for an exceptionto fair opportunity. 2 nature',
10370:'and/or description of the action being approved. 3 a description of thesupplies orservicesrequired to meet the agency’sneeds including theestimated value.',
10371:'4 identification of the exception to fair opportunity see 16.505b2 and the supporting rationale, including a demonstration that the proposed',
10372:'contractor’sunique qualifications or the natureof the acquisition requires use of the exception cited. if the contracting officer uses thelogical followon',
10373:'exception, the rationale shall describe why the relationship between the initial order and the followon is logical e.g., in terms',
10374:'of scope, period of performance, or value. 5 a determination by the contracting officer that the anticipated cost to the',
10375:'government willbe fair and reasonable. 6 any other facts supporting the justification. 7 a statement of theactions, ifany, the agency',
10376:'may take to remove or overcome any barriers that ledto the exception to fair opportunity before any subsequent acquisition for',
10377:'the supplies or services is made. 8 the contractingofficer’s certification that the justificationis accurate and complete to the best of',
10378:'the contracting officer’s knowledge andbelief. 9 evidence that any supporting data that is the responsibility of technical or requirements personnel',
10379:'e.g., verifying the government’s minimum needs orrequirements or other rationale for anexception tofair opportunity and which form a basis for',
10380:'the justification have been certified as complete and accurate by the technical or requirements personnel. 10 a written determination bythe',
10381:'approving official that one of the circumstances inparagraphs b2ia through e and g of this section applies to the order.',
10382:'c approval. 1 for proposed orders exceeding the simplified acquisition threshold, but not exceeding $750,000, the ordering activity contracting officer’s',
10383:'certification thatthe justification is accurateand completeto thebest of the ordering activity contracting officer’s knowledgeandbelief will serveas approval, unless ahigher approval',
10384:'level is established in accordance with agency procedures. 2 for a proposed order exceeding $750,000, but not exceeding $15 million,',
10385:'the justification must be approved by theadvocate for competitionof the activityplacing the order, or by an official named in paragraphb2ii',
10386:'c3 or 4 of this section. this authority is not delegable. 3 for a proposed order exceeding$15 million, but not',
10387:'exceeding $75 million or, for dod, nasa, and the coast guard, not exceeding $100 million, the justification must be approved',
10388:'by— federal acquisition regulation i the head of the procuring activity placing the order; ii a designee who— a ifa',
10389:'member of the armedforces,is a general or flag officer; b if a civilian, is serving in a position in a',
10390:'grade above gs15 under the general schedule or in a comparable or higher position under another schedule; or iii an',
10391:'official named in paragraph b2iic4of this section. 4 for a proposed order exceeding$75 millionor, for dod, nasa, and the coast',
10392:'guard, over $100 million, thejustification must be approved by thesenior procurement executive of the agency placing the order. this authority',
10393:'is not delegable, except in the case of the under secretary of defense for acquisition and sustainment, acting as the',
10394:'senior procurement executive for the department of defense. d posting. 1 except as provided in paragraph b2iid5 of this section,',
10395:'within 14 days after placing an order exceeding the simplified acquisition threshold that does not provide for fair opportunity in',
10396:'accordance with 16.505b, thecontract officershall— i publish a notice in accordance with 5.301; and ii make publicly available the justification',
10397:'required at of this section. 2 the justification shall be made publicly available— i at the gpe https://www.sam.gov; ii on',
10398:'the web site of the agency, whichmay provide access to the justifications by linking to the gpe; and iii must',
10399:'remain posted for a minimum of 30 days. 3 in the case of an order permitted under paragraph b2ia of',
10400:'this section, the justification shall be posted within 30 daysafter award of the order. 4 contracting officersshallcarefully screenall justifications for',
10401:'contractor proprietary dataand remove all such data, and such references and citations as are necessary to protect the proprietary data,',
10402:'before making the justifications available for public inspection. contractingofficers shall also be guided by theexemptions to disclosure of information contained',
10403:'in the freedom of information act 5 u.s.c. 552 and the prohibitions against disclosure in 24.202 in determining whether other',
10404:'data should be removed. although the submitter notice process set out in executive order 12600 predisclosurenotificationprocedures for confidential commercial information',
10405:'doesnot apply, if the justificationappears to containproprietary data,the contracting officer should provide the contractor that submitted the informationan opportunity to',
10406:'review the justification for proprietary data before making the justification available for public inspection, redacted as necessary. this process must',
10407:'not prevent or delay the posting of thejustification inaccordancewith the timeframes required in paragraphs b2iid1 and 3 of this section.',
10408:'5 the posting requirement of this section does not apply— i when disclosure would compromise the national security e.g., would',
10409:'result in disclosure of classified information or create other security risks; or ii to a small business setaside underparagraph b2if',
10410:'3 pricing orders. if thecontract didnot establish the priceforthe supply or service, the contracting officermust establish prices for each order',
10411:'using the policies and methods in subpart 15.4. 4 cost reimbursement orders. for additional requirements for costreimbursement orders, see 16.3013.',
10412:'5 timeandmaterials or laborhour orders. for additional requirements for timeandmaterials or laborhour orders, see 16.601e. 6 postaward notices and debriefing',
10413:'of awardees for orders exceeding $6 million.the contractingofficer shall notify unsuccessful awardees when the total price of a task or',
10414:'delivery order exceeds $6 million. i the procedures at 15.503b1 shall be followed when providing postaward notification to unsuccessful awardees.',
10415:'ii the procedures at 15.506 shall be followed when providing postaward debriefing to unsuccessful awardees. iii a summary of the',
10416:'debriefing shall be included in the task or delivery order file. 7 decision documentation for orders. i the contractingofficer shall',
10417:'document inthe contract filethe rationale for placement and price of eachorder, including thebasis for award and the rationaleforany tradeoffs among',
10418:'cost orprice and noncost considerationsin making the award decision. this documentation need not quantifythe tradeoffs that led to the decision.',
10419:'ii the contract file shall also identify the basis for using an exception to the fair opportunity process see paragraph',
10420:'b2 of this section. subpart 16.5 indefinitedelivery contracts 16.506 iii exceptfordod, the contracting officer shall document in the contract file',
10421:'a justification for use of thelowest price technically acceptable source selection process, when applicable. 8 taskorder and deliveryorder ombudsman. the',
10422:'head of the agency shall designate a taskorder and deliveryorder ombudsman. the ombudsman must review complaints from contractors and ensure',
10423:'they areafforded a fair opportunity to be considered, consistent with theprocedures in the contract. the ombudsman must be asenior agencyofficial',
10424:'who is independent of thecontracting officer and may be the agency’s advocate for competition. 9 small business.the contracting officer should',
10425:'relyon the small business representations at thecontract level but see section 19.3012b2 for order rerepresentations. c limitation on ordering period',
10426:'for taskorder contracts for advisory and assistance services. 1 except as provided for in paragraphs c2 and 3 of this',
10427:'section, the ordering period of a taskorder contract for advisory and assistance services, including all options or modifications, normally may',
10428:'not exceed 5 years. 2 the 5year limitation does not apply when— i a longer ordering period is specifically authorized',
10429:'by a statute; or ii the contract is for an acquisition of supplies or services that includes the acquisition of',
10430:'advisory and assistance services and thecontracting officer,or other official designated by the head of theagency,determinesthat the advisory and assistance services',
10431:'are incidental and not a significant component of the contract. 3 the contractingofficer may extend the contract on a solesource',
10432:'basis only once for a periodnot to exceed 6 months if the contractingofficer, orother official designated by theheadof the agency,',
10433:'determines that— i the award of a followon contract is delayed by circumstances that were not reasonably foreseeable at the',
10434:'time the initial contract was entered into; and ii the extension is necessary to ensure continuity of services, pending the',
10435:'award of the followon contract. 16.506 solicitation provisions and contract clauses. a insert the clause at 52.21618, ordering, in solicitations',
10436:'and contracts when a definitequantity contract, a requirements contract, or an indefinitequantity contract is contemplated. b insert a clause substantially',
10437:'the same as the clause at 52.21619, order limitations, in solicitations and contracts when a definitequantity contract, a requirements contract,',
10438:'or an indefinitequantity contract is contemplated. c insert the clause at 52.21620, definite quantity, insolicitationsandcontracts when a definitequantity contract is',
10439:'contemplated. d 1 insert the clause at 52.21621, requirements, in solicitations and contracts when a requirements contract is contemplated. 2',
10440:'if the contract is for nonpersonal services and related supplies and covers estimated requirements that exceed a specific government activity’s',
10441:'internal capabilityto produce orperform, use the clausewith its alternate i. 3 if the contract includes subsistence for both government use',
10442:'and resale in the same schedule, and similar products may be acquired on a brandname basis, use the clause with',
10443:'its alternate ii but see paragraph d5 of this section. 4 if the contract involves a partial small business setaside,',
10444:'use the clause with its alternate iii but see paragraph d 5 of this section. 5 if the contract i',
10445:'includes subsistence for government use and resale in the same schedule and similar products may be acquired on a brandname',
10446:'basis; and iiinvolves a partial small businesssetaside, use the clause with its alternate iv. e insert the clause at 52.21622,',
10447:'indefinite quantity, in solicitations andcontracts when an indefinitequantity contractis contemplated. f insert the provision at 52.21627, single or multiple awards,',
10448:'in solicitations for indefinitequantity contracts thatmay result in multiple contract awards. modify the provision to specify the estimated number of',
10449:'awards. do not use this provision for advisory and assistance services contracts that exceed 3 years and $15 million including',
10450:'all options. g insert the provision at 52.21628, multiple awards for advisory and assistance services,in solicitations for task order contracts',
10451:'for advisory and assistance services that exceed 3 years and $15 million including all options, unless a determination has been',
10452:'made under 16.504c2ia. modify the provision to specify the estimated number of awards. h see 10.001d for insertion of the',
10453:'clause at 52.2101, market research, when the contract is over $6 million for the procurement of items other than commercial',
10454:'products or commercial services. federal acquisition regulation i see 7.1076 for use of 52.2076,solicitation of offers from small business concerns',
10455:'andsmallbusiness teaming arrangement or joint ventures multipleawardcontracts in solicitations for multipleaward contracts above the substantial bundling threshold of theagency. j',
10456:'insert the clause at 52.21632, taskorder and deliveryorder ombudsman, in solicitations and contracts whena multipleaward indefinitedelivery indefinitequantity contract is contemplated.',
10457:'use the clause with its alternate i when the contract will be available for use by multiple agencies e.g., governmentwide',
10458:'acquisition contracts or multiagency contracts. when placing orders under the multipleaward contract available for use by multiple agencies, the ordering',
10459:'activitys contracting officer shall complete paragraph d2 and include alternate i inthe notice of intent to place an order, and',
10460:'in the resulting order. subpart 16.6 timeandmaterials, laborhour, and letter contracts 16.601 subpart 16.6 timeandmaterials, laborhour, and letter contracts 16.600scope.',
10461:'timeandmaterials contractsandlaborhour contracts are not fixedprice contracts. 16.601 timeandmaterials contracts. a definitions for the purposes oftimeandmaterials contracts. direct materials means',
10462:'those materials that enter directly into the end product, or that are used or consumed directly in connection with the',
10463:'furnishing of the end product or service. hourly rate means the rates prescribed in the contract for payment for labor',
10464:'that meets the labor category qualifications of a labor category specified in the contract that are 1 performed by the',
10465:'contractor; 2 performed by the subcontractors; or 3 transferred betweendivisions, subsidiaries, or affiliates ofthe contractor under acommon control. materials means',
10466:'1 direct materials, including suppliestransferred between divisions,subsidiaries, oraffiliates of thecontractor under a common control; 2 subcontracts for supplies and incidental',
10467:'services for which there is not a labor category specified in the contract; 3 other direct costs e.g., incidental services',
10468:'for which there is not a labor category specified in the contract, travel, computer usage charges, etc. ;and 4 applicable',
10469:'indirect costs. b description. a timeandmaterials contract provides for acquiring supplies or services on the basis of 1 direct labor',
10470:'hours at specified fixed hourly rates that include wages, overhead, general and administrative expenses, and profit; and 2 actual cost',
10471:'for materials except as provided for in 31.20526e and f. c application. a timeandmaterials contract may be used only when',
10472:'it is not possible at the time of placing the contract to estimate accurately the extent or duration of the',
10473:'work or to anticipate costs with any reasonable degree of confidence. see 12.207b for the use of timeandmaterial contracts for',
10474:'certain commercial services. 1 government surveillance. a timeandmaterials contract provides no positive profit incentive to the contractor for cost control',
10475:'or labor efficiency. therefore, appropriate government surveillance of contractorperformance is required to give reasonable assurance that efficient methods and effective',
10476:'cost controls are being used. 2 fixed hourly rates. i the contract shall specify separate fixed hourly rates that include',
10477:'wages, overhead, general and administrative expenses, and profit for each category of labor see 16.601f1. ii for acquisitions of other',
10478:'than commercial products or commercial services awarded without adequate price competition see 15.4031c1, the contract shall specify separate fixed hourly',
10479:'rates that include wages, overhead, general and administrative expenses, and profit for each category of labor to be performed by',
10480:'a the contractor; b each subcontractor; and c each division, subsidiary, or affiliate of the contractor under a common control.',
10481:'iii for contract actions that are not awarded using competitive procedures, unless exempt under paragraph c2 iv of thissection, the',
10482:'fixed hourly ratesforservicestransferred between divisions,subsidiaries, oraffiliates of thecontractor under a common control ashallnot includeprofit for the transferring organization; but b',
10483:'may include profit for theprimecontractor. iv for contract actions that are not awarded using competitive procedures, the fixed hourly rates',
10484:'for services that meetthe definitionof “commercial service” that are transferred between divisions, subsidiaries,or affiliates of the contractor under a common',
10485:'control may be the established catalog or market rate when ait isthe established practice of thetransferring organization to price interorganizational',
10486:'transfers at other than cost for commercialwork of the contractor or any division, subsidiary or affiliate ofthe contractor under acommon',
10487:'control; and b the contracting officerhas not determined the priceto beunreasonable. federal acquisition regulation 3 material handling costs. when included',
10488:'as part of material costs, material handling costs shall include only costs clearly excluded from the laborhour rate. material handling',
10489:'costs may include all appropriate indirect costs allocated to direct materials in accordance with the contractors usual accounting procedures consistent',
10490:'with part 31. d limitations. a timeandmaterials contract or order may be used only if 1 the contractingofficer preparesa determination',
10491:'andfindings that no other contract type is suitable. the determination and finding shall be isigned by the contractingofficer priorto theexecution',
10492:'of the baseperiod or any option periods of the contracts; and ii approved by the head of the contracting activity',
10493:'prior to the execution of the base period when the base period plus any option periods exceeds three years; and',
10494:'2 the contract or order includes a ceiling price that the contractor exceeds at its own risk. also see 12.207',
10495:'b for further limitations on use of timeandmaterials or laborhour contracts for acquisition of commercial products and commercial services. e',
10496:'post award requirements. prior to an increase in the ceiling price of a timeandmaterials or laborhour contract or order, the',
10497:'contracting officer shall 1 conduct an analysis of pricing and other relevant factors to determine if the action is in',
10498:'the best interest of the government; 2 document the decision in the contract or order file; and 3 when making',
10499:'a change that modifies the general scope of i a contract, follow the procedures at 6.303; ii an order issued',
10500:'under the federal supply schedules, follow the procedures at 8.4056; or iii an order issued under multiple award task and',
10501:'delivery order contracts, follow the procedures at 16.505b2. f solicitation provisions. 1 thecontracting officer shall insert the provision at 52.21629,timeandmaterials/labor',
10502:'hour proposalrequirements—otherthancommercial acquisition with adequate pricecompetition, in solicitations contemplating use of a timeandmaterials or laborhour type of contract for the',
10503:'acquisition of other than commercial products or commercial services, if the price is expected to be based on adequate price',
10504:'competition. if authorized by agency procedures, thecontracting officer may amend the provision tomakemandatoryoneof the threeapproaches in paragraph c of the',
10505:'provision, and/or to require the identification of all subcontractors, divisions, subsidiaries,or affiliates includedin a blended labor rate. 2 the contractingofficer',
10506:'shall insertthe provisionat 52.21630, timeandmaterials/laborhour proposal requirements—other than commercial acquisitionwithout adequate pricecompetition, in solicitations for theacquisition of other than commercial',
10507:'products or commercial services contemplating use of a timeandmaterials or laborhour type of contract if the price is not expected',
10508:'to be based on adequate price competition. 3 the contractingofficer shall insertthe provisionat 52.21631, timeandmaterials/laborhour proposal requirements—commercial acquisition, in solicitations',
10509:'contemplating use of a commercial timeandmaterials or laborhour contract. 16.602laborhour contracts. description. a laborhour contract is a variation of thetimeandmaterials',
10510:'contract,differing only in that materials arenot supplied by the contractor. see 12.207b,16.601c, and 16.601d for application and limitations, for timeandmaterials',
10511:'contracts that also apply to laborhour contracts. see 12.207b for the use of laborhour contracts for certain commercial services. 16.603letter',
10512:'contracts. 16.6031 description. a letter contract is a written preliminary contractual instrument that authorizes the contractor to begin immediately manufacturing',
10513:'supplies or performing services. 16.6032 application. a a letter contract may be used when 1 the government’s interestsdemand thatthe contractor',
10514:'be givena binding commitmentsothat work canstartimmediately and 2 negotiating adefinitive contract is not possible in sufficient time to meetthe requirement.',
10515:'however,a letter contract should be as complete and definite as feasible underthe circumstances. subpart 16.6 timeandmaterials, laborhour, and letter contracts',
10516:'16.6034 b when aletter contract award isbased on price competition,the contracting officershallinclude an overall price ceiling in the letter contract.',
10517:'c each letter contract shall, as required by the clause at 52.21625, contract definitization, contain a negotiated definitization schedule including',
10518:'1 dates for submission of the contractors price proposal, required certified cost or pricing data and data other than certified',
10519:'cost or pricing data; and, if required, makeorbuy and subcontracting plans, 2 a date for thestart of negotiations,and3a target datefordefinitization,',
10520:'which shall bethe earliest practicable date for definitization. the schedule will provide for definitization of the contract within 180 days',
10521:'after the date of the letter contract or before completion of 40 percentof the work to be performed, whicheveroccurs first.',
10522:'however, thecontracting officer may,in extreme cases and accordingto agency procedures, authorize anadditional period. if, after exhausting allreasonable efforts, thecontracting officer',
10523:'and thecontractor cannotnegotiate a definitive contract because of failure to reach agreement as to price or fee, the clause at',
10524:'52.21625 requires the contractor to proceedwith the work and provides that the contracting officer may, withthe approval ofthe head of',
10525:'the contracting activity, determine a reasonable price or fee in accordance with subpart 15.4 and part 31, subject to appeal',
10526:'as provided in the disputes clause. d the maximum liability of the government inserted in the clause at 52.21624, limitation',
10527:'of governmentliability, shall bethe estimated amount necessary to cover thecontractor’s requirements for funds before definitization. however, it shall not exceed',
10528:'50 percent of the estimatedcost of the definitive contract unless approvedin advanceby the official that authorized the letter contract. e',
10529:'thecontracting officer shall assign a priority rating to the letter contract ifitis appropriate under 11.604. 16.6033 limitations. a letter contract',
10530:'may be used only after the head of the contracting activity or a designee determines in writing that no other',
10531:'contract is suitable. letter contracts shall not a commit the government to a definitive contract in excess of the funds',
10532:'available at the time the letter contract is executed; b be entered into without competition when competition is required by',
10533:'part 6; or c be amended to satisfy a new requirement unless that requirement is inseparable from the existing letter',
10534:'contract. any such amendment is subject to the same requirements and limitations as a new letter contract. 16.6034 contract clauses.',
10535:'a thecontracting officer shall include in each letter contract the clauses required by this regulation for the type of definitive',
10536:'contract contemplated and any additional clauses known to be appropriate for it. b in addition, the contractingofficer shall insertthe following',
10537:'clauses in solicitations andcontracts when a letter contract is contemplated: 1 the clause at 52.21623, execution and commencementof work,exceptthat this',
10538:'clause may beomittedfrom letter contracts awarded on sf 26; 2 the clause at 52.21624, limitation of government liability, with dollar',
10539:'amounts completed in a manner consistent with 16.6032d; and 3 the clause at 52.21625, contract definitization, with its paragraph b',
10540:'completed in a manner consistent with 16.6032c. if at the time of entering into the letter contract, thecontracting officer knows',
10541:'that thedefinitive contract will be based on adequate price competition or will otherwise meet the criteria of 15.4031 for not',
10542:'requiring submission of certified costorpricingdata,thewords andcertifiedcostorpricingdatainaccordancewithfar 15.408, table 151 supporting its proposal may be deleted from paragraph a of the',
10543:'clause. if the letter contract is being awarded on the basis of price competition, the contracting officer shall use theclause',
10544:'with itsalternate i. c thecontracting officer shall also insert the clause at 52.21626, payments of allowable costs before definitization, in',
10545:'solicitations and contracts if a costreimbursement definitive contract is contemplated, unless the acquisition involves conversion, alteration, or repair of ships.',
10546:'this page intentionally left blank. 16.64 subpart 16.7 agreements 16.703 subpart 16.7 agreements 16.701scope. this subpart prescribes policies and procedures',
10547:'for establishing and using basic agreements and basic ordering agreements. see 13.303forblanket purchase agreements bpa’s and see 35.015b for additional',
10548:'coverage of basic agreements with educational institutions and nonprofit organizations. 16.702 basicagreements. a description. a basic agreement is a written',
10549:'instrument of understanding, negotiated between an agency or contracting activity anda contractor, that1contains contract clauses applying to future contractsbetween the',
10550:'parties during its term and 2 contemplates separate future contracts that will incorporate by reference or attachment the required and',
10551:'applicable clauses agreed upon in the basic agreement. a basic agreement is not a contract. b application. a basic agreement',
10552:'should be used when a substantial number of separate contracts may be awarded to a contractor during a particular period',
10553:'and significant recurring negotiating problems have been experienced with the contractor. basic agreements may be used with negotiatedfixedpriceor costreimbursement contracts.',
10554:'1 basic agreements shall contain iclauses requiredfornegotiated contracts by statute, executive order, and this regulation;and ii other clauses prescribed in',
10555:'this regulation or agency acquisition regulations that the parties agree to include in each contract as applicable. 2 each basic',
10556:'agreement shall provide for discontinuing its future applicability upon 30 days’ written notice by either party. 3 each basic agreementshallbe',
10557:'reviewed annually before the anniversaryof its effectivedate and revised as necessary to conform to the requirements of this regulation. basic',
10558:'agreements may need to be revised before the annual review due to mandatory statutory requirements. a basic agreement may be',
10559:'changed only by modifying the agreement itself and not by a contract incorporating the agreement. 4 discontinuing or modifying abasic',
10560:'agreement shall not affect any priorcontract incorporating the basic agreement. 5 contracting officersof one agency should obtain and use existing',
10561:'basicagreements ofanother agency to the maximum practical extent. c limitations. a basic agreement shall not 1 cite appropriations or obligate',
10562:'funds; 2 state or imply any agreement by the government to place future contracts or orders with the contractor; or',
10563:'3 be used in any manner to restrict competition. d contracts incorporating basic agreements. 1 each contract incorporating a basic',
10564:'agreement shall include a scope of work andprice,delivery,and otherappropriateterms that apply to the particular contract. the basic agreementshallbe incorporated into',
10565:'the contract by specific reference including reference to each amendment or by attachment. 2 the contractingofficer shall includeclauses pertaining to',
10566:'subjects not covered by the basic agreement, but applicable to the contract being negotiated, in the same manner as if',
10567:'there were no basic agreement. 3 if an existing contract is modified to effect new acquisition,the modification shall incorporate the',
10568:'most recentbasic agreement, which shall apply only to work added by the modification, except that this action is not mandatory',
10569:'if the contract or modificationincludes all clauses required by statute, executive order, and this regulation asof the date of the',
10570:'modification. however, if it is in the government’s interest and the contractor agrees, the modification may incorporate themost recent basic',
10571:'agreement for application to the entire contract as of the date of the modification. 16.703 basicordering agreements. a description. a',
10572:'basic ordering agreement is a written instrument of understanding, negotiated between an agency, contracting activity, or contracting office and a',
10573:'contractor, that contains1terms and clausesapplying to future contracts orders between the parties during its term, 2a description, as specific as',
10574:'practicable, of supplies or services to be provided, and 3 methods for pricing, issuing, and delivering future orders under the',
10575:'basic ordering agreement. a basic ordering agreement is not a contract. b application. a basic ordering agreement may be used',
10576:'to expedite contracting for uncertain requirements for supplies or services when specific items, quantities, and prices are not known at',
10577:'the time the agreement is executed, but a substantial number of requirements for the type of supplies or services covered',
10578:'by the agreement are anticipated to be purchased from the contractor. under proper circumstances, the useof theseprocedures can result in',
10579:'economies in ordering partsfor federal acquisition regulation equipment support by reducing administrative leadtime, inventory investment, and inventory obsolescence due to',
10580:'design changes. c limitations. a basic ordering agreement shall not state or imply any agreement by the government to place',
10581:'future contracts or orders with the contractor or be used in any manner to restrict competition. 1 each basic ordering',
10582:'agreement shall i describe the method for determining prices to be paid to the contractor for the supplies or services;',
10583:'ii include delivery terms and conditions or specify how they will be determined; iii list one or more government activities',
10584:'authorized to issue orders under the agreement; iv specify the point at which each order becomes a binding contract e.g.,',
10585:'issuance ofthe order, acceptance of the order in a specified manner, orfailureto rejectthe order within a specified numberof days; v',
10586:'provide that failure to reach agreement on price for any order issued before its price is established see paragraph d3',
10587:'of this section is a dispute under the disputes clause included in the basic ordering agreement; and vi if fast',
10588:'payment procedures will apply to orders, include the special data required by 13.403. 2 each basic ordering agreementshallbe reviewed annually',
10589:'before the anniversaryof its effectivedate and revised as necessary to conform to the requirements of this regulation. basic ordering agreements',
10590:'may need to be revised before the annual review due to mandatory statutory requirements. a basic ordering agreement shall be',
10591:'changed only by modifying the agreement itself and not by individual orders issued under it. modifying a basic ordering agreement',
10592:'shall not retroactively affect orders previously issued under it. d orders. a contracting officer representing anygovernmentactivity listed ina basic ordering',
10593:'agreementmay issue orders for required supplies or services covered by that agreement. 1 before issuing an order under abasic ordering',
10594:'agreement,the contracting officershall i obtain competition in accordance with part 6; ii if the order is being placed after competition,',
10595:'ensure that use of the basic ordering agreement is not prejudicial to other offerors; and iii sign or obtain any',
10596:'applicable justifications and approvals, and any determination and findings, and comply with other requirements in accordance with 1.6021b, as if',
10597:'the order were a contract awarded independently of a basic ordering agreement. 2 contracting officersshall i issue orders under basic',
10598:'ordering agreements on optional form of 347, order for supplies or services, or on any other appropriate contractual instrument; ii',
10599:'incorporate by reference the provisions of the basic ordering agreement; iii if applicable, cite the authority under 6.302 in each',
10600:'order; and iv comply with 5.203 when synopsis is required by 5.201. 3 the contractingofficer shall neither make any final',
10601:'commitment norauthorize thecontractor to begin work onan order under a basic ordering agreement until prices have been established, unless the',
10602:'order establishes a ceiling price limiting thegovernment’s obligation and either i the basic ordering agreement provides adequate procedures for timely',
10603:'pricing of the order early in its performance period; or iithe need for the supplies or services iscompelling and unusually',
10604:'urgent i.e., when the government would be seriously injured, financially or otherwise, if the requirement is not met sooner than',
10605:'would be possible if prices were established before the work began. the contractingofficer shall proceed with pricingas soon as practical.',
10606:'in noevent shall anentire order be pricedretroactively. part 17 special contracting methods sec. 17.000 scope of part. subpart 17.1 multiyear',
10607:'contracting 17.101 authority. 17.102 applicability. 17.103 definitions. 17.104 general. 17.105 policy. 17.1051 uses. 17.1052 objectives. 17.106 procedures. 17.1061 general. 17.1062',
10608:'solicitations. 17.1063 special procedures applicable to dod, nasa, and the coast guard. 17.107 options. 17.108 congressional notification. 17.109 contract clauses.',
10609:'subpart 17.2 options 17.200 scope of subpart. 17.201 [reserved] 17.202 use of options. 17.203 solicitations. 17.204 contracts. 17.205 documentation. 17.206',
10610:'evaluation. 17.207 exercise of options. 17.208 solicitation provisions and contract clauses. subpart 17.3 [reserved] subpart 17.4 leader company contracting 17.401',
10611:'general. 17.402 limitations. 17.403 procedures. subpart 17.5 interagency acquisitions 17.500 scope of subpart. 17.501 general. 17.502 procedures. 17.5021 general. 17.5022',
10612:'the economy act. 17.503 ordering procedures. 17.504 reporting requirements. subpart 17.6 management and operating contracts 17.600 scope of subpart. 17.601',
10613:'definition. 17.602 policy. 17.603 limitations. 17.604 identifying management and operating contracts. 17.605 award, renewal, and extension. subpart 17.7 interagency acquisitions:',
10614:'acquisitions by nondefense agencies on behalf of the department of defense 17.700 scope of subpart. 17.701 definitions. 17.702 applicability. 17.703',
10615:'policy. subpart 17.8 reverse auctions 17.801 scope of subpart. 17.802 definitions. 17.803 policy. 17.804 applicability. 17.805 procedures. 17.806 solicitation provision',
10616:'and contract clauses. this page intentionally left blank. subpart 17.1 multiyear contracting 17.104 17.000scope of part. this part prescribes policies',
10617:'and procedures for the acquisition of supplies and services through special contracting methods, including a multiyear contracting; b options; c',
10618:'leader company contracting; and d the use of reverse auctions to obtain competitive pricing. subpart 17.1 multiyear contracting 17.101 authority.',
10619:'this subpart implements 41 u.s.c. 3903 and 10 u.s.c. 3501 and provides policy and procedures for the use of multiyear',
10620:'contracting. 17.102 applicability. for dod, nasa, and the coast guard, the authorities cited in 17.101 do not apply to contracts',
10621:'for the purchase of supplies to which 40 u.s.c.759 applies information resource management supply contracts. 17.103definitions. as used in this',
10622:'subpart cancellation means the cancellation within a contractually specified time of the total requirements of all remaining program years. cancellation',
10623:'results when the contracting officer 1 notifies the contractor of nonavailability of funds for contract performance for any subsequent program',
10624:'year; or 2 fails to notify the contractor that funds are available for performance of the succeeding program year requirement.',
10625:'cancellation ceiling means the maximumcancellation chargethat thecontractor can receive in the event ofcancellation. cancellation charge means the amount of unrecovered',
10626:'costs which would have been recouped through amortization over the full term of the contract, including the term canceled. multiyear',
10627:'contract means a contract for the purchase of supplies or services for more than 1, but not more than 5,',
10628:'program years. a multiyear contract may provide that performance under the contract during the second and subsequent years of the',
10629:'contract is contingent upon the appropriation of funds, and if it does so provide may provide for a cancellation paymentto',
10630:'bemade to the contractor if appropriationsare not made. the key distinguishing difference between multiyear contracts and multiple year contracts is',
10631:'that multiyear contracts, defined in the statutes cited at 17.101, buy more than 1 year’s requirement of aproduct or service',
10632:'withoutestablishing and having to exercise an option for each program year after the first. nonrecurring costs means those costs which',
10633:'are generally incurred on a onetime basis and include such costs as plant or equipment relocation, plant rearrangement, special tooling',
10634:'and special test equipment, preproduction engineering, initial spoilage and rework, and specialized work force training. recurring costs means costs that',
10635:'vary with the quantity being produced, such as labor and materials. 17.104general. a multiyear contracting is a special contracting method',
10636:'to acquire known requirements in quantities and total cost not over planned requirements for up to 5 years unless otherwise',
10637:'authorized by statute, even though the total funds ultimately to be obligated may not be available at the time of',
10638:'contract award. this method may be used in sealed bidding or contracting by negotiation. b multiyear contracting is a flexible',
10639:'contracting method applicable to a wide range of acquisitions. the extent to which cancellation termsare usedin multiyearcontracts will depend onthe',
10640:'uniquecircumstances of each contract. accordingly, for multiyear contracts, the agency head may authorize modification of the requirements of this subpart',
10641:'and the clause at 52.2172, cancellation under multiyear contracts. c agency funding of multiyear contracts shall conform to thepolicies in',
10642:'omb circular a11 preparation, submission, and execution of the budget and other applicable guidance regarding the funding of multiyear contracts.',
10643:'as provided by that guidance, the funds obligated for multiyear contracts must be sufficientto cover any potential cancellation and/or termination',
10644:'costs; and multiyear contracts for the acquisition of fixed assets should be fully funded or funded in stages that are',
10645:'economically or programmatically viable. federal acquisition regulation d the termination for convenience procedure may apply to any government contract, including',
10646:'multiyear contracts. as contrasted with cancellation, termination can be effected at any timeduring the life of the contractcancellation is effected',
10647:'between fiscal years and can be for the total quantity or partial quantity where as cancellation must be for all',
10648:'subsequent fiscal years’ quantities. 17.105 policy. 17.1051 uses. a except for dod, nasa, andthe coast guard, the contracting officer may',
10649:'enterinto amultiyear contract ifthe head of the contracting activity determines that 1 the need for the supplies or services is',
10650:'reasonably firm and continuing over the period of the contract; and 2 a multiyear contract will serve the best interests',
10651:'of the united states by encouraging full and open competition or promoting economy inadministration, performance, andoperation of theagency’s programs. b',
10652:'for dod, nasa, and the coast guard, the head of the agency may enter into a multiyear contract for supplies',
10653:'if 1 the use of such a contract will result in significant savings of the total estimated costs of carrying',
10654:'out the program through annual contracts; 2 the minimum need to be purchased is expected to remain substantially unchanged during',
10655:'the contemplated contract period in terms of production rate, procurement rate, and total quantities; 3 there is a stable design',
10656:'for the supplies to be acquired, and the technical risks associated with such supplies are not excessive; 4 there is',
10657:'a reasonable expectation that, throughout the contemplated contract period, the head of the agency will request funding for the contract',
10658:'at a level to avoid contract cancellation; and 5 the estimates of both the cost of the contract and the',
10659:'cost avoidance through the use of a multiyear contract are realistic. c the multiyear contracting method may be used for',
10660:'the acquisition of supplies or services. d if funds are not appropriated to support the succeeding years’ requirements, the agency',
10661:'must cancel the contract. 17.1052 objectives. use of multiyear contracting is encouraged to take advantage of one or more of',
10662:'the following: a lower costs. b enhancement of standardization. c reduction of administrative burden in the placement and administration of',
10663:'contracts. d substantial continuity of production or performance, thus avoiding annual startup costs, preproduction testing costs, makeready expenses, and phaseout',
10664:'costs. e stabilization of contractor work forces. f avoidanceof the need for establishing quality control techniques and proceduresfora new contractor',
10665:'each year. g broadening the competitive base with opportunity for participation by firms not otherwise willing or able to compete',
10666:'for lesser quantities, particularly in cases involving high startup costs. h providing incentives to contractors to improve productivity through investment',
10667:'in capital facilities, equipment, and advanced technology. 17.106 procedures. 17.1061 general. a method of contracting. the nature of the requirement',
10668:'should govern the selection of the method of contracting, since the multiyear procedure is compatible with sealed bidding, including twostep',
10669:'sealed bidding, and negotiation. b type of contract. given the longer performance period associated with multiyear acquisition, consideration in pricing',
10670:'fixedpriced contracts should be given to the use of economic price adjustment terms and profit objectives commensurate with contractor risk',
10671:'and financing arrangements. c cancellation procedures. 1 all program years except the first are subject to cancellation. for each program',
10672:'year subject to cancellation, the contractingofficer shall establish acancellation ceiling. ceilings must exclude amounts for requirementsincluded inprior program years. the',
10673:'contracting officer shall reduce thecancellation ceilingforeach program year in direct proportion to the remaining requirements subject to cancellation. for example,',
10674:'consider that the total subpart 17.1 multiyear contracting 17.1062 nonrecurring costs see 15.408, table 151, iii. formats for submission of',
10675:'line item summaries c8 are estimated at 10 percent of the total multiyear price, and the percentages for each of',
10676:'the program year requirements for 5 years are i30 in thefirstyear, ii30 in the second, iii20 inthe third, iv10 in',
10677:'thefourth, and v10 in the fifth. thecancellation percentages, after deducting3 percent for the first program year, would be 7,4, 2,',
10678:'and 1 percentof the total price applicable tothe second, third, fourth, and fifthprogramyears, respectively. 2 in determining cancellation ceilings, the',
10679:'contracting officermust estimate reasonable preproduction or startup, labor learning, andother nonrecurring costs to be incurred by an average prime contractor',
10680:'or subcontractor, whichwould beapplicable to, and which normallywouldbe amortizedover, the itemsor services to be furnished underthe multiyear requirements. nonrecurring costs',
10681:'include such costs, where applicable, as plant or equipment relocation or rearrangement, special tooling and special test equipment, preproduction engineering,',
10682:'initial rework, initial spoilage, pilot runs, allocable portions of the costs of facilities to be acquired or established for the',
10683:'conduct of the work, costs incurred for the assembly, training, and transportation to and from the job site of a',
10684:'specialized work force, and unrealized labor learning. they shall not include any costs of labor or materials, or other expenses',
10685:'except as indicated above, which might be incurred for performance of subsequent program year requirements. the total estimate of the',
10686:'above costs must then be compared with thebestestimateof the contract cost toarriveat a reasonable percentage or dollar figure. to performthiscalculation,',
10687:'the contracting officershouldobtain inhouse engineering cost estimates identifying the detailed recurring and nonrecurring costs, and the effectof labor learning. 3',
10688:'the contractingofficer shall establish cancellationdates for each program year’s requirements regarding production leadtime and the date by which funding for',
10689:'theserequirements can reasonably be established. the contracting officer shall include these dates in the schedule, as appropriate. d cancellation ceilings.',
10690:'cancellation ceilings anddates maybe revised after issuing the solicitation if necessary. in sealed bidding, thecontracting officer shall changethe ceiling by',
10691:'amendingthe solicitation before bid opening. in twostep sealed bidding, discussions conducted during the first step may indicate the need for',
10692:'revised ceilings and dates which may be incorporated in step two. in a negotiated acquisition, negotiations with offerors may provide',
10693:'information requiring a change in cancellation ceilings and dates before final negotiation and contract award. e payment of cancellation charges.if',
10694:'cancellationoccurs,the government’s liability willbe determined by the terms of the applicable contract. f presolicitation or prebid conferences.to ensure that all',
10695:'interested sources of supply are thoroughly aware ofhow multiyear contracting is accomplished, use of presolicitation or prebid conferences may be',
10696:'advisable. g payment limit. thecontracting officer shall limit the government’s paymentobligation toan amountavailable for contract performance. thecontracting officer shall insert',
10697:'the amount for the first program year in the contract upon award and modify it for successive program years upon',
10698:'availability of funds. h termination payment. if the contract is terminated for the convenience of the government in whole, including',
10699:'requirementssubject to cancellation, the government’s obligation shall not exceed the amount specified in the schedule as available for contract performance,',
10700:'plus the cancellation ceiling. 17.1062 solicitations. solicitations for multiyear contracts shall reflect all the factors to be considered for evaluation,',
10701:'specifically including the following: a the requirements, by item of supply or service, for the 1 first program year; and',
10702:'2 multiyear contract including therequirements for each program year. b criteria for comparing the lowest evaluated submission on the first',
10703:'program year requirements to the lowest evaluated submission on the multiyear requirements. c a provision that, if the government determines',
10704:'before award that only the first program year requirements are needed, thegovernment’s evaluation of theprice or estimatedcostandfee shall consider only',
10705:'the firstyear. d a provision specifying a separate cancellation ceiling on a percentage or dollar basis and dates applicable to',
10706:'each program year subject to a cancellation see 17.1061c and d. e a statement that award will not be made',
10707:'on less than the first program year requirements. f the government’s administrative costs ofannual contractingmay be used as afactorin theevaluation',
10708:'only if they can be reasonably established and are stated in the solicitation. g the cancellation ceiling shall notbe an',
10709:'evaluation factor. 17.1063 federal acquisition regulation 17.1063special procedures applicable to dod, nasa, and the coast guard. a participation by subcontractors,',
10710:'suppliers, and vendors. in order to broaden the defense industrial base, to the maximum extent practicable 1 multiyear contracting shall',
10711:'be used in such a manner as to seek, retain, and promote the use under such contracts of companies that',
10712:'are subcontractors, suppliers, and vendors; and 2 upon accrual of any payment or other benefit undersuch a multiyear contract to',
10713:'any subcontractor, supplier, or vendor company participating in such contract, such payment or benefit shall be delivered to such company',
10714:'in the most expeditious manner practicable. b protection of existing authority. to the extentpracticable, multiyear contracting shall not becarried out',
10715:'in a manner to preclude or curtail the existing ability of the department or agency to provide for termination of',
10716:'a prime contract, the performanceof which isdeficient with respect to cost, quality,or schedule. c cancellation or termination for insufficient funding.',
10717:'in the event funds are not made available for the continuation of a multiyear contract awarded using the procedures in',
10718:'this section, the contract shall be canceled or terminated. d contracts awarded under the multiyear procedure shall be firmfixedprice, fixedprice',
10719:'with economic price adjustment, or fixedprice incentive. e recurring costs in cancellation ceiling. the inclusion of recurring costs in cancellation',
10720:'ceilings is an exception to normal contract financing arrangements and requires approval by the agency head. f annual and multiyear',
10721:'proposals. obtaining both annual and multiyear offers providesreduced lead time for making anannual awardin theevent that the multiyear awardis not',
10722:'in the government’s interest. obtaining both also provides a basis for the computation of savings and other benefits. however,the preparation',
10723:'and evaluationof dual offersmay increase administrative costs and workload for both offerors and the government, especially for large or complex',
10724:'acquisitions. the head of a contracting activity may authorize the use of a solicitation requesting only multiyear prices, provided it',
10725:'is found that such a solicitationis in the government’sinterest, and that dual proposals arenot necessary to meet the objectives in',
10726:'17.1052. g level unit prices. multiyear contract procedures provide for the amortization of certain costs over the entire contract quantity',
10727:'resulting in identical level unit prices except when the economic price adjustment terms apply for all items or services underthe',
10728:'multiyearcontract. iflevel unit pricing is notin the government’s interest, the head of a contracting activity may approve the use of',
10729:'variable unit prices, provided that for competitive proposals there is a valid method of evaluation. 17.107options. benefits may accrue byincluding',
10730:'options ina multiyear contract. in that event, contracting officers must follow the requirements of subpart 17.2.optionsshouldnotincludechargesforplantandequipmentalreadyamortized,orother nonrecurring charges which wereincluded',
10731:'in the basic contract. 17.108 congressional notification. a except for dod, nasa, and the coast guard, a multiyear contract which',
10732:'includes a cancellation ceiling in excess of $15 million may not be awarded until the head of the agency gives',
10733:'written notification of the proposed contract and of the proposed cancellation ceiling for that contract to the committees on appropriations',
10734:'of the house of representatives and senate and the appropriate oversight committees of the house and senate for the agency',
10735:'in question. information on such committeesmay not be readily available to contracting officers. accordingly, agenciesshouldprovide such information through its internal',
10736:'regulations. the contract may not be awarded until the thirtyfirstday after the date of notification. b for dod, nasa, and',
10737:'the coast guard, a multiyear contract which includes a cancellation ceiling in excess of $150 million may not be awarded',
10738:'until the head of the agency gives written notification of the proposed contract and of the proposed cancellation ceiling for',
10739:'that contract to the committees on armed services and appropriations of the house of representatives and senate. the contract may',
10740:'not be awarded until the thirtyfirstday after the date of notification. 17.109contract clauses. a thecontracting officer shall insert the clause',
10741:'at 52.2172, cancellation under multiyear contracts, in solicitations and contracts when a multiyear contract is contemplated. b economic price adjustment',
10742:'clauses. economic price adjustment clauses are adaptable to multiyear contracting needs. when the period of production is likely to warrant',
10743:'a labor and material costs contingency in the contract price, the contracting subpart 17.1 multiyear contracting 17.109 officer should normally',
10744:'usean economic priceadjustmentclause see 16.203. when contracting for services, the contracting officer 1 shall add the clause at 52.22243, fair',
10745:'labor standards act and service contract labor standards price adjustment multiple year and option contracts,when the contract includes the clause',
10746:'at 52.22241, service contract labor standards; 2 may modify the clause at 52.22243 in overseas contracts when laws, regulations, or',
10747:'international agreements require contractors to pay higher wage rates; or 3 may use an economic price adjustment clause authorized by',
10748:'16.203, when potential fluctuations require coverage and are not included in cost contingencies provided for by the clause at 52.22243.',
10749:'this page intentionally left blank. 17.16 subpart 17.2 options 17.203 subpart 17.2 options 17.200scope of subpart. this subpart prescribes policies',
10750:'and procedures for the use of option solicitation provisions and contract clauses. except as provided in agency regulations, this subpart',
10751:'does not apply to contracts for a services involving the construction, alteration, or repair including dredging, excavating, and painting of',
10752:'buildings, bridges, roads, or other kinds of real property; b architectengineerservices;and c research and development services. however, it does not',
10753:'preclude the use of options in those contracts. 17.201[reserved] 17.202use of options. a subject to the limitations of paragraphs b',
10754:'and c of this section, for both sealed bidding and contracting by negotiation, the contracting officer may include options in',
10755:'contracts when it is in the government’s interest. when using sealed bidding, thecontracting officer shall make a written determination that',
10756:'there isa reasonable likelihood that theoptions will be exercised before including the provision at 52.2175, evaluation of options, in the',
10757:'solicitation. see 17.207f with regard to the exercise of options. b inclusion of anoption isnormally not in the government’s interest',
10758:'when, in the judgment of the contracting officer 1 the foreseeable requirements involve i minimum economic quantities i.e., quantities large',
10759:'enoughto permit the recovery of startup costs and the production of the required supplies at a reasonable price; and iidelivery',
10760:'requirements far enough into the future topermitcompetitive acquisition, production, and delivery. 2 an indefinitequantity or requirements contract would be more',
10761:'appropriate than a contract withoptions. however, this does not preclude the use of an indefinite quantity contract or requirements contract',
10762:'with options. c thecontracting officer shall not employ options if 1 the contractor will incur undue risks; e.g., the price',
10763:'or availability of necessary materials or labor is not reasonably foreseeable; 2 market prices for the supplies or services involved',
10764:'are likely to change substantially; or 3 the option represents known firm requirements for which funds are available unless i',
10765:'the basic quantity is a learning or testing quantity; and ii competition for the option is impracticable once the initial',
10766:'contract is awarded. d in recognition of 1 the government’s need incertain service contractsforcontinuity of operations; and 2 the potential',
10767:'cost of disrupted support, options may be included in service contracts if there is an anticipated need for a similar',
10768:'service beyond the first contract period. 17.203solicitations. a solicitations shall include appropriate option provisions and clauses when resulting contracts will',
10769:'provide for the exercise of options see 17.208. b solicitations containing option provisions shall state the basis of evaluation, either',
10770:'exclusive or inclusive of the option and, when appropriate, shall informofferorsthat it is anticipated that the government mayexercise theoption at',
10771:'time of award. c solicitations normally should allow option quantitiesto beoffered withoutlimitation as toprice,and there shall be no limitation as',
10772:'to price if the option quantity is to be considered in the evaluation for award see 17.206. d solicitations thatallow',
10773:'the offer of options at unitprices which differ from the unit prices for the basic requirement shall state that offerors',
10774:'may offer varyingprices for options, depending on the quantities actually ordered and the dateswhen ordered. e if it is anticipated',
10775:'that the government may exercise an option at the time of award and if the condition specified in paragraph d',
10776:'of this section applies, solicitations shall specify the price at which the government will evaluate the option highest option price',
10777:'offered or option price for specified requirements. f solicitations may, in unusual circumstances, require thatoptionsbe offered atprices no higher than',
10778:'those for the initial requirement; e.g., when 1 the option cannot be evaluated under 17.206; or; federal acquisition regulation 2',
10779:'future competition for the option is impracticable. g solicitations thatrequire the offering ofan optionat prices no higher than thoseforthe initial',
10780:'requirement shall 1 specify that the government will accept an offercontaining an option price higherthan the base price only if',
10781:'the acceptance does notprejudice any other offeror; and 2 limit option quantities for additional supplies to not more than 50',
10782:'percent of the initial quantity of the same line item. in unusual circumstances, an authorized person at alevel above the',
10783:'contracting officermay approve agreater percentage ofquantity. h includethe value of optionsin determining if the acquisition will exceedthe world trade organization',
10784:'government procurement agreement or free trade agreement thresholds. 17.204contracts. a the contract shall specify limits on the purchase of additional',
10785:'supplies or services, or the overall duration of the term of the contract, including any extension. b the contract shall',
10786:'state the period within which the option may be exercised. c the period shall be set so as to provide',
10787:'the contractor adequate lead time to ensure continuous production. d the period may extend beyond the contract completion date for',
10788:'service contracts. this is necessary for situations when exercise of the option would result in the obligation of funds that',
10789:'are not available in the fiscal year in which the contract would otherwise be completed. e unless otherwise approved in',
10790:'accordance with agency procedures, the total of the basic and option periods shall not exceed 5 years in the case',
10791:'of services, and the total of the basic and option quantities shall not exceed the requirement for 5years in the',
10792:'case of supplies. theselimitations donot applyto information technology contracts. however,statutes applicable to various classes of contracts, for example, the service',
10793:'contract labor standards statute see 22.10021, may place additional restrictions on the length of contracts. f contracts may express options',
10794:'for increased quantities of supplies or services in terms of 1 percentage of specific line items, 2 increase in specific',
10795:'line items; or 3 additional numbered line items identified as the option. g contracts may express extensions of the term',
10796:'of the contract as an amended completion date or as additional time for performance; e.g., days, weeks, or months. 17.205documentation.',
10797:'a thecontracting officer shall justifyin writingthe quantities or the termunder option,the notificationperiod for exercising the option, and any limitation on',
10798:'option price under 17.203g; and shall include the justification document in the contract file. b any justifications and approvals and',
10799:'any determination and findings required by part 6 shall specify both the basic requirement and the increase permitted by the',
10800:'option. 17.206evaluation. a inawarding the basiccontract, the contracting officer shall, except as provided in paragraph b of this section, evaluate',
10801:'offers for any option quantities or periods containedin a solicitation when it hasbeendetermined priorto soliciting offers that the government is',
10802:'likelyto exercisethe options. see 17.208. b the contractingofficer need not evaluate offersforany option quantities when it is determinedthat evaluation would',
10803:'not be in the best interests of the government and this determination is approved at a level above the contractingofficer.',
10804:'an example of a circumstance that may support a determination not to evaluate offers for option quantitiesis when there isa',
10805:'reasonable certainty that funds will be unavailable to permit exercise of the option. 17.207 exercise of options. a when exercising',
10806:'an option, the contractingofficer shall provide writtennotice to the contractor within the time period specified in the contract. b when',
10807:'the contract provides for economic price adjustment and the contractor requests a revision of the price, the contracting officershalldetermine theeffect',
10808:'ofthe adjustment on prices under the optionbefore theoption isexercised. c thecontracting officer may exerciseoptions onlyafter determining that 1 funds are',
10809:'available; subpart 17.2 options 17.208 2 the requirement covered by the option fulfills an existing government need; 3 the exercise',
10810:'of theoption isthe most advantageous method offulfilling the government’sneed, priceandother factors see paragraphs d and e of this section considered;',
10811:'4 the option was synopsized in accordance with part 5 unless exempted by 5.202a11orotherappropriate exemptions in 5.202; 5 the contractordoes',
10812:'not have an active exclusion recordin the system for awardmanagement see far 9.4051; 6 the contractor’s past performance evaluationson other',
10813:'contractactions have been considered; and 7 the contractor’s performance on this contract has been acceptable, e.g., received satisfactory ratings. d',
10814:'the contractingofficer, afterconsidering price and other factors, shall make the determination on thebasis of one of the following: 1 a',
10815:'new solicitation fails to produce a better price or a more advantageous offer than that offered by the option. if',
10816:'it is anticipated thatthe best price available isthe option price or that this is themoreadvantageousoffer, the contracting officer should not',
10817:'use this method of testing the market. 2 an informal analysis of prices or an examination of the market indicates',
10818:'that the option price is better than prices available in the market or that theoption isthe more advantageous offer. 3',
10819:'the time between the award of the contract containing the option and the exercise of the option is so short',
10820:'that it indicates the option price is the lowest price obtainable or the more advantageous offer. the contracting officer shall',
10821:'take into consideration such factors as market stability and comparison of the time since award with the usual duration of',
10822:'contracts for such supplies or services. e the determination of other factors under paragraph c3 of this section 1 should',
10823:'take into account the government’sneedforcontinuity of operations and potential costs ofdisrupting operations; and 2 mayconsiderthe effect on small business. f',
10824:'beforeexercising an option, the contracting officer shall make a written determination for the contract file that exercise is in accordance',
10825:'with the terms of the option, the requirements of this section, and part 6.tosatisfyrequirementsof part 6 regarding full and open',
10826:'competition, the option must have been evaluated as part of the initial competition and be exercisable at an amount specified',
10827:'in or reasonably determinable from the terms of the basic contract, e.g. 1 a specific dollar amount; 2 an amount',
10828:'to be determined by applying provisions or a formula provided in the basic contract, but not including renegotiation of the',
10829:'price for work in a fixedprice type contract; 3 in the case of a costtype contract, if i the option',
10830:'contains a fixed or maximum fee; or ii the fixed or maximum fee amount is determinable by applying a formula',
10831:'contained in the basic contract but see 16.102c; 4 a specific price that is subject to an economic price adjustment',
10832:'provision; or 5 a specific price that is subject to change as the result of changes to prevailing labor rates',
10833:'provided by the secretary of labor. g the contract modification or other written document which notifies the contractor of the',
10834:'exercise of the option shall cite the option clause as authority. 17.208 solicitation provisions and contract clauses. a insert a',
10835:'provision substantially the same as the provision at 52.2173, evaluation exclusive of options, in solicitations when the solicitation includes an',
10836:'option clause and does not include one of the provisions prescribed in paragraph b or c of this section. b',
10837:'insert a provision substantially the same as the provision at 52.2174, evaluation ofoptions exercised at timeof contractaward, in solicitations when',
10838:'thesolicitation includes an optionclause, thecontracting officer has determined that there is a reasonable likelihood that the option will be exercised,',
10839:'and the option may be exercised at the time of contract award. c insert a provision substantially the same as',
10840:'the provision at 52.2175, evaluation of options, in solicitations when 1 the solicitation contains an option clause; 2 an option',
10841:'is not to be exercised at the time of contract award; 3 a firmfixedprice contract, a fixedprice contract with economic',
10842:'price adjustment, or other type of contract approved under agency procedures is contemplated; and federal acquisition regulation 4 the contractingofficer',
10843:'hasdetermined that thereis a reasonable likelihood that the optionwill be exercised. for sealed bids, the determination shall be in writing.',
10844:'d insert a clause substantially the same as the clause at 52.2176, optionforincreased quantity, insolicitationsand contracts, other than those for',
10845:'services, when the inclusion of an option is appropriate see 17.200 and 17.202 and the option quantity is expressed as',
10846:'a percentage of the basic contract quantity or as an additional quantity of a specific line item. e insert a',
10847:'clause substantially the same as the clause at 52.2177, option for increased quantityseparately priced line item, in solicitations and contracts,',
10848:'other than those for services, when the inclusion of an option is appropriate see 17.200 and 17.202 and the option',
10849:'quantity is identified as a separately priced line item having the same nomenclature as a corresponding line item. f insert',
10850:'a clause substantially the same as the clause at 52.2178, option to extend services, in solicitations and contracts for services',
10851:'when the inclusion of an option is appropriate. see 17.200, 17.202, and 37.111. g insert a clause substantially the same',
10852:'as the clause at 52.2179, optionto extend the term of the contract, in solicitations and contracts when the inclusion of',
10853:'an option is appropriate see 17.200 and 17.202 and it is necessary to include in the contract any or all',
10854:'of the following: 1 a requirement that the government must give the contractor a preliminary written notice of its intent',
10855:'to extend the contract. 2 a statement that an extension of the contract includes an extension of the option. 3',
10856:'a specified limitation on the total duration of the contract. subpart 17.3 [reserved] subpart 17.3 [reserved] this page intentionally left',
10857:'blank. 17.32 subpart 17.4 leader company contracting 17.403 subpart 17.4 leader company contracting 17.401general. leader company contracting is an extraordinary',
10858:'acquisition technique that is limited to special circumstances and utilized only when its use is in accordance with agency procedures.',
10859:'a developer or sole producer of a product or system is designated underthis acquisition technique to be the leader company,',
10860:'and to furnish assistance andknowhow under an approved contract tooneor more designatedfollowercompanies, so they canbecome a source of supply. the',
10861:'objectives of this technique are one or more of the following: a reduce delivery time. b achieve geographic dispersion of',
10862:'suppliers. c maximize the use of scarce tooling or special equipment. d achieve economies in production. e ensure uniformity and',
10863:'reliability in equipment, compatibility or standardization of components, and interchangeability of parts. f eliminate problems in the use of proprietary',
10864:'data that cannot be resolved by more satisfactory solutions. g facilitate the transition from development to production and to subsequent',
10865:'competitive acquisition of end items or major components. 17.402limitations. a leader company contracting is to be used only when 1',
10866:'the leader company has the necessary production knowhow and is able to furnish required assistance to the followers; 2 no',
10867:'other source can meet the government’s requirements withoutthe assistanceof aleader company; 3 the assistance required of the leader company is',
10868:'limited to that which is essential to enable the followers to produce the items; and 4 its use is authorized',
10869:'in accordance with agency procedures. b when leader company contracting is used, the government shall reserve the right to approve',
10870:'subcontracts between the leader company and the followers. 17.403 procedures. a thecontracting officer may award a prime contract toa 1',
10871:'leader company,obligating it tosubcontract a designated portion of the required end items to aspecified follower company and to assist it',
10872:'to produce the required end items; 2 leader company,forthe required assistance to a follower company, and aprimecontract to the follower',
10873:'for production of the items; or 3 followercompany, obligatingitto subcontract witha designated leader company for the required assistance. b the',
10874:'contractingofficer shall ensure thatanycontract awarded under this arrangement contains a firm agreement regarding disclosure, if any,of contractor trade secrets, technical',
10875:'designs or concepts, and specific data, or software, of a proprietary nature. this page intentionally left blank. 17.42 subpart 17.5',
10876:'interagency acquisitions 17.5021 subpart 17.5 interagency acquisitions 17.500scope of subpart. a this subpart prescribespolicies and procedures applicable to all interagency',
10877:'acquisitions under any authority, except as provided for in paragraph c of this section. in addition to complying with the',
10878:'interagency acquisition policy and procedures in this subpart, nondefense agencies acquiring supplies and services on behalf of the department of',
10879:'defense shall also comply with the policy and procedures at subpart 17.7. b this subpart applies to interagency acquisitions, see',
10880:'2.101 for definition, when 1 an agency needing suppliesor services obtains them usinganother agency’s contract; or 2 an agency uses',
10881:'another agency to provide acquisition assistance, such as awarding and administering a contract, a task order, or delivery order. c',
10882:'this subpart does not apply to 1 interagency reimbursable work performed by federal employees other than acquisition assistance, or interagency',
10883:'activities where contracting is incidental to the purpose of the transaction; or 2 orders of $600,000 or less issued against',
10884:'federal supply schedules. 17.501general. a interagency acquisitions are commonly conducted through indefinitedelivery contracts, such as task and delivery order contracts.',
10885:'the indefinitedelivery contracts used most frequently to support interagency acquisitions are federal supply schedulesfss, governmentwideacquisition contracts gwacs, and multiagency contracts',
10886:'macs. b an agency shall not use an interagency acquisition to circumvent conditions and limitations imposed on the use of',
10887:'funds. c an interagency acquisition is not exempt from the requirements of subpart 7.3, contractor versus government performance. d an',
10888:'agency shall notuse an interagency acquisition tomake acquisitions conflictingwith anyother agency’sauthority or responsibility for example, that of the administrator of',
10889:'general services under title 40, united states code, public buildings,property and works and 41 u.s.c. division c of subtitle i,',
10890:'procurement. 17.502 procedures. 17.5021 general. a written agreement on responsibility for management and administration—. 1 assisted acquisitions. i prior to',
10891:'the issuance of a solicitation, the servicing agency and the requesting agency shall both sign a written interagency agreement that',
10892:'establishes the general terms and conditions governing the relationship between the parties, including roles and responsibilities for acquisition planning, contract',
10893:'execution, and administration and management of the contracts or orders. the requesting agency shall provide to the servicing agency any',
10894:'unique terms, conditions, and applicable agency specific statutes, regulations, directives, and other applicable requirements for incorporation into the order or',
10895:'contract. in the event there are no agencyunique requirements beyondthe far,the requesting agency shall so inform the servicing agency contractingofficerinwriting.',
10896:'foracquisitionsonbehalfofthedepartmentofdefense,alsosee subpart 17.7. for patent rights, see 27.3042. in preparing interagency agreements to support assisted acquisitions, agenciesshouldreview the office of',
10897:'federal procurement policy ofpp guidance, interagency acquisitions, available at https://www.whitehouse.gov/wpcontent/ uploads/legacydrupalfiles/omb/assets/omb/procurement/interagencyacq/iacrevised.pdf . iieach agency’s fileshallinclude the interagency agreement betweenthe requesting',
10898:'and servicing agency, and shall include sufficientdocumentation to ensure an adequate audit consistent with 4.801b. 2 direct acquisitions. the requesting',
10899:'agency administers the order; therefore, no written agreement with the servicing agency is required. b businesscase analysis requirements for multiagency',
10900:'contracts and governmentwide acquisition contracts. in order to establish a multiagency or governmentwide acquisition contract, a businesscase analysis must be',
10901:'prepared by the servicing agency and approved in accordance with the ofpp business case guidance, available at https://www.whitehouse.gov/wpcontent/ uploads/legacydrupalfiles/omb/procurement/memo/developmentreviewandapprovalofbusinesscasesforcertain interagencyandagencyspecificacquisitionsmemo.pdf',
10902:'. the businesscase analysis shall— 1 considerstrategies for the effectiveparticipation of small businesses during acquisition planning see 7.103u; 17.5022 federal',
10903:'acquisition regulation 2 detail the administration of such contract, including an analysis of all direct and indirect costs to the',
10904:'government of awarding and administering such contract; 3 describe the impactsuch contract will have on the ability of the government',
10905:'toleverage its purchasing power, e.g., will it have a negative effectbecause it dilutesother existing contracts; 4 include an analysis concluding',
10906:'that there is a need for establishing the multiagency contract; and 5 document roles and responsibilities in the administration of',
10907:'the contract. 17.5022 the economy act. a the economy act 31 u.s.c. 1535 authorizes agencies to enter into agreements to',
10908:'obtain supplies or services from anotheragency. the farapplies when oneagency uses another agency’s contract to obtain supplies or services. if',
10909:'the interagency business transaction does not result in a contract or anorder, then the far doesnot apply. the economy act',
10910:'also provides authority for placement of orders between major organizational unitswithin anagency; procedures for such intra agency transactions are addressed',
10911:'in agency regulations. b the economy act applies when more specific statutory authority does not exist. examples of more specific',
10912:'authority are 40 u.s.c. 501 for the federal supply schedules subpart 8.4, and 40 u.s.c. 11302e for governmentwide acquisition contracts',
10913:'gwacs. c requirements for determinations and findings. 1 each economy act order to obtain supplies or services by interagency acquisition',
10914:'shall be supported by a determination and findings d&f. the d&f shall i state that use of an interagency acquisition',
10915:'is in the best interest of the government; ii state that the supplies or services cannot be obtained as conveniently',
10916:'or economically by contracting directly with a private source; and iii include a statement that at least one of the',
10917:'following circumstances applies: athe acquisition will appropriately be made under an existing contractof the servicing agency, entered into beforeplacement ofthe',
10918:'order, to meet the requirements of the servicing agencyforthe same or similar supplies or services. b the servicing agency has',
10919:'the capability or expertise to enter into a contract for such supplies or services that is not available within the',
10920:'requestingagency. c the servicing agency is specifically authorized by law or regulation to purchase such supplies or services on behalf',
10921:'of other agencies. 2 the d&f shall be approvedby acontracting officer of the requesting agency with authority to contractforthe supplies',
10922:'or services tobe ordered, or by another officialdesignated bythe agencyhead, except that, ifthe servicing agencyis not covered by the far,',
10923:'approval of the d&f may not be delegated below the seniorprocurement executive of therequesting agency. 3 the requesting agencyshallfurnish a',
10924:'copy of the d&f to the servicing agency with the request for order. d payment. 1 the servicing agency may',
10925:'ask the requesting agency, in writing, for advance payment for all or part of the estimated cost of furnishing the',
10926:'supplies or services. adjustment on the basis of actual costs shall be made as agreed to by the agencies. 2',
10927:'if approved by the servicing agency, payment for actual costs may be made by therequesting agency after the supplies or',
10928:'services have been furnished. 3 bills rendered or requests for advance payment shall not be subject to audit or certification',
10929:'in advance of payment. 4 in noeventshallthe servicing agency require, or the requestingagency pay, any fee or chargein excess ofthe',
10930:'actual cost or estimated cost if the actual cost is not known of entering into and administering the contract or',
10931:'other agreement under which the order is filled. 17.503 ordering procedures. a before placingan orderforsupplies orservices with another government agency,',
10932:'the requesting agency shall follow the procedures in 17.5021 and, if under the economy act, also 17.5022. b the order',
10933:'may be placed on any form or document that is acceptable to both agencies. the order should include 1 a',
10934:'description of the supplies or services required; 2 delivery requirements; 3 a funds citation; 4 a payment provision see 17.5022d',
10935:'for economy act orders; and 5 acquisition authority as may be appropriate see 17.503d. subpart 17.5 interagency acquisitions 17.504 c',
10936:'the requesting and servicing agencies should agree to procedures for the resolution of disagreements that may arise under interagency acquisitions,',
10937:'including, in appropriate circumstances, the use of a thirdparty forum. if a third party is proposed, consent of the third',
10938:'party should be obtained in writing. d when an interagency acquisition requires the servicing agency to award a contract, the',
10939:'following procedures also apply: 1 if a justificationandapproval or a d&f otherthan the requesting agency’s d&f required in 17.5022c is',
10940:'required bylawor regulation, the servicing agency shall execute and issue the justification and approval or d&f. the requesting agency shall',
10941:'furnish the servicing agency any information needed to makethe justification and approvalor d&f. 2 the requesting agencyshallalsobe responsible for furnishing',
10942:'other assistance that maybe necessary, such as providing information or special contract terms needed to comply with any condition or',
10943:'limitation applicable to the funds of therequesting agency. 3 the servicing agency is responsible for compliance with all other legal',
10944:'or regulatory requirements applicable to the contract, including i having adequate statutory authority for the contractual action; and ii complying',
10945:'fully with the competition requirements of part 6 see 6.002. however,iftheservicingagency is not subject to the federal acquisition regulation, the',
10946:'requesting agency shall verify that contracts utilized to meet its requirementscontain provisions protectingthe government from inappropriatecharges for example,provisions mandated for',
10947:'far agencies by part 31, and that adequate contract administration will be provided. e nonsponsoring federal agencies may use a',
10948:'federally funded research and development center ffrdc only if theterms ofthe ffrdc’s sponsoring agreement permit work from other than a',
10949:'sponsoringagency. work placed with the ffrdc is subject to the acceptance bythe sponsor and must fall within the purpose, mission,',
10950:'general scope of effort, or special competency of the ffrdc. see 35.017; see also 6.302 for procedures to follow where',
10951:'using other than full and open competition. the nonsponsoring agency shall provide to the sponsoring agency necessary documentation that the',
10952:'requested work would notplace the ffrdc indirect competition with domestic private industry. 17.504 reporting requirements. a the senior procurement executive',
10953:'for each executive agency shall submit to the director of omb an annual report on interagency acquisitions, as directed by',
10954:'omb. b the contractingofficer for the servicing agency shall ensure thatservice contractor reporting requirements are met in accordance with subpart',
10955:'4.17,servicecontractsinventory. this page intentionally left blank. 17.54 subpart 17.6 management and operating contracts 17.604 subpart 17.6 management and operating contracts',
10956:'17.600scope of subpart. this subpart prescribes policies and procedures for management and operatingcontracts for the department of energy and any',
10957:'other agency having requisitestatutory authority. 17.601definition. management and operating contract means an agreement under which the government contracts for the',
10958:'operation, maintenance, or support, on its behalf, of a governmentowned or controlled research, development, special production, or testing establishment whollyor',
10959:'principally devotedto one ormore major programs of thecontracting federal agency. 17.602 policy. a heads ofagencies, withrequisite statutory authority, may determine',
10960:'in writing to authorize contracting officersto enter intoor renew any management and operatingcontract in accordance with the agency’sstatutory authority, or',
10961:'41 u.s.c. chapter 33, and the agency’sregulations governing such contracts. this authority shall not be delegated. everycontract so authorized shall',
10962:'show its authorization upon its face. b agencies may authorize management and operating contracts only in a manner consistent with',
10963:'the guidance of this subpart and only if they are consistent with the situations described in 17.604. c within 2years',
10964:'of the effective dateof this regulation, agencies shall review their currentcontractual arrangements in the light of the guidance of this',
10965:'subpart, in order to 1 identify, modify asnecessary,andauthorize management and operatingcontracts; and 2 modify as necessary or terminate contracts not',
10966:'so identified and authorized, except that any contract with less than 4years remaining asof the effective date of this regulation',
10967:'need not be terminated, nor need it be identified, modified, or authorized unless it is renewed or its terms are',
10968:'substantially renegotiated. 17.603limitations. a management and operating contracts shall not be authorized for 1 functions involving the direction, supervision, or',
10969:'control of government personnel, except for supervision incidental to training; 2 functions involving the exercise of police or regulatory powers',
10970:'in the name of the government, other than guard or plant protection services; 3 functions of determining basic government policies;',
10971:'4 daytoday staff or management functionsof the agency or of any of its elements; or 5 functions that can more',
10972:'properly be accomplished in accordance with subpart 45.3, authorizing the use and rental of government property. b since issuance of',
10973:'an authorization under 17.602a isdeemed sufficient proof ofcompliance with paragrapha immediately above, nothing in paragraph a immediately above shall affect',
10974:'the validity or legalityof such an authorization. c for use of project labor agreements, see subpart 22.5. 17.604identifying management and',
10975:'operating contracts. a management and operating contract is characterized both by its purpose see 17.601 and by the special relationship',
10976:'it creates between government and contractor. the followingcriteria can generally be applied inidentifying management and operating contracts: a governmentowned or',
10977:'controlled facilities must be utilized; for instance 1 in the interest of national defense or mobilization readiness; 2 to perform',
10978:'the agency’s mission adequately; or 3 because private enterprise is unable or unwilling to use its own facilities for the',
10979:'work. b because of the nature of the work, or because it is to be performed in government facilities, the',
10980:'government must maintain a special,close relationship with thecontractor and the contractor’s personnel in various important areas e.g., safety, security, cost',
10981:'control, site conditions. c theconduct of the work is wholly orat least substantially separate from the contractor’s other business, if',
10982:'any. d the work is closely relatedto theagency’s mission and is of a longterm orcontinuingnature, and there is aneed 1',
10983:'to ensure its continuity; and federal acquisition regulation 2 for special protection covering the orderly transition of personnel and work',
10984:'in the event of a change in contractors. 17.605 award, renewal, and extension. a effectivework performance under management and operating',
10985:'contracts usually involves highlevelsof expertise and continuity of operations and personnel. because of program requirements and the unusual sometimes unique',
10986:'nature of the work performedunder management and operatingcontracts,the government isoften limited inits ability to effect competitionor to replace a contractor.',
10987:'thereforecontracting officers should take extraordinary stepsbefore award to assure themselves that the prospective contractor’s technical andmanagerial capacity are sufficient, thatorganizational',
10988:'conflicts of interest are adequately covered, and that the contract will grant the government broad and continuing rights to involve',
10989:'itself, if necessary, in technical and managerial decisionmaking concerning performance. b the contractingofficer shall review each management andoperating contract, following',
10990:'agency procedures, at appropriate intervals and at least once every 5 years. the review should determine whether meaningful improvement in',
10991:'performance or cost might reasonably be achieved. any extension or renewal of an operating and management contract must be authorized',
10992:'at a level within the agency no lower than the level at which the original contract was authorized in accordance',
10993:'with 17.602a. c replacementof an incumbent contractor is usually based largely upon expectation of meaningful improvement in performanceor cost. therefore,',
10994:'when reviewing contractor performance, contracting officers should consider 1 the incumbentcontractor’soverall performance, including, specifically, technical, administrative, andcost performance; 2 the',
10995:'potential impactof achange in contractors onprogramneeds, including safety, national defense, and mobilization considerations; and 3 whetheritis likely that qualified offerors',
10996:'will compete for the contract. subpart 17.7 interagency acquisitions: acquisitions by nondefense agencies on behalf of the department of defense',
10997:'17.703 subpart 17.7 interagency acquisitions: acquisitions by nondefense agencies on behalf of the department of defense 17.700scope of subpart. a',
10998:'compliance with this subpart is in addition to the policies and procedures for interagency acquisitions set forth in subpart 17.5.',
10999:'this subpart prescribes policies and procedures specific to acquisitions of supplies and services by nondefense agencies on behalf of the',
11000:'department of defense dod. b this subpart implements pub. l. 110181, section 801,as amended 10 u.s.c. 3201 note prec.. 17.701definitions.',
11001:'as used in this subpart department of defense dod acquisition official means 1 a dod contracting officer; or 2 any',
11002:'other dod official authorized toapprovea directacquisition or an assisted acquisition on behalf of dod. nondefense agency means any department or',
11003:'agency of the federal government other than the department of defense. nondefense agency that is an element of the intelligence',
11004:'community means the agencies identified in 50 u.s.c. 30034 which include the office of the director of nationalintelligence; central intelligence',
11005:'agency; intelligence elements ofthe federal bureau of investigation, department of energy,and drug enforcementagency; bureau of intelligence and research of the',
11006:'department of state; office of intelligence and analysis of the department of the treasury; the office ofintelligence and analysis of',
11007:'the department of homeland security and the officeof intelligence of the coast guard; and such other elements of any department',
11008:'or agency as have been designated by the president, or designated jointly by the director of national intelligence and the',
11009:'head of the department or agency concerned, as an element of the intelligence community. 17.702 applicability. this subpart applies to',
11010:'all acquisitions made by nondefense agencies on behalf of dod. it does not apply to contracts entered into by a',
11011:'nondefense agency that is an element of the intelligence community for the performance of a joint program conducted to meet',
11012:'the needs of dod and the nondefense agency. 17.703 policy. a a dod acquisition official may request a nondefense agency',
11013:'to conduct an acquisition on behalf of dod in excess of the simplified acquisition threshold only if the head of',
11014:'the nondefense agency conducting the acquisition on dods behalf has certified that the agency will comply with applicable procurement requirements',
11015:'for that fiscal year except when waived in accordance with paragraph e of this section. b a nondefense agency is',
11016:'compliant with applicable procurement requirements if the procurement policies, procedures, and internal controls of the nondefense agency applicable to the',
11017:'procurement of supplies and services on behalf of dod, and the manner in which they are administered, are adequate to',
11018:'ensure the compliance of the nondefense department or agency with 1 the federal acquisition regulation and other laws and regulations',
11019:'that apply to procurements of supplies and services by federal agencies; and 2 laws and regulations that apply to procurements',
11020:'of supplies and services made by dod through other federal agencies, including dod financial management regulations, the defense federal acquisition',
11021:'regulation supplement dfars,dod class deviations, and the dfarsprocedures, guidance, and informationpgi. the dfars, dod class deviations, and pgi are accessible',
11022:'at: http://www.acq.osd.mil/dpap/dars. c within 30 days of the beginning ofeach fiscal year, submit nondefense agencycertifications of compliance to principal director,',
11023:'defense pricing and contractingat: department of defense office of the under secretary of defense acquisition and sustainment defense pricing and',
11024:'contracting federal acquisition regulation contract policy room 3b938 3060 defense pentagon, washington d.c. 203013060. d the dod acquisition official, as',
11025:'defined at 17.701, shall provide to the servicing nondefense agency contracting officer any doduniqueterms, conditions, other related statutes, regulations, directives,',
11026:'and other applicablerequirements for incorporationinto the order or contract. in theevent there are no dodunique requirements beyond the far, the',
11027:'dod acquisition official shall so inform the servicing nondefense agency contractingofficer in writing. nondefense agency contracting officers are responsible for',
11028:'ensuring support provided in responseto dod’srequest complies with paragraph b of this section. e waiver. the limitation in paragraph a',
11029:'of this section shall not apply to the acquisition of supplies and services on behalf of dod by a nondefense',
11030:'agency during any fiscal year for which the under secretary of defense for acquisition and sustainment has determined in writing',
11031:'that it is necessary in the interest of dod to acquire supplies and services through the nondefense agency during thefiscalyear.',
11032:'the written determination shall identifythe acquisition categories to which the waiver applies. f nondefense agency certifications, waivers, and additional information',
11033:'are available at http://www.acq.osd.mil/dpap/ cpic/cp/interagencyacquisition.html. subpart 17.8 reverse auctions 17.803 subpart 17.8 reverse auctions 17.801scope of subpart. this subpart prescribes',
11034:'policies and procedures for conducting reverse auctions and utilizing reverse auction service providers. 17.802definitions. as used in this subpart— government',
11035:'data means any information, document, media, or machinereadable material regardless of physical form or characteristics,that iscreatedor obtained by the government,',
11036:'in the course of official government business. governmentrelated data means any information, document, media, or machinereadable material regardless of physical',
11037:'form or characteristics that is created or obtained by a contractor through the storage, processing, or communication of government data.',
11038:'this does not include a contractors business records e.g., financial records, legal records, etc. or data such as operating procedures,',
11039:'software coding, or algorithms that are not uniquely applied to the government data. reverse auction service provider means a commercial',
11040:'or government entity that provides a means for conducting reverse auctions when acquiring supplies or services to be used by',
11041:'the government. 17.803 policy. a the use of reverse auctions may be appropriate when market research indicates that— 1 a',
11042:'competitive marketplace exists for the supplies and/or services being acquired; 2 multipleofferorscan satisfy theagencysrequirement; and 3 the nature of the',
11043:'supplies and/or services being acquired e.g., clearly defined specifications, less complex requirements encourages an iterative bidding process i.e., multiple offerors',
11044:'participate and at least oneofferor submits more than one offerduring the reverseauction. b the reverse auction process is used to',
11045:'obtain pricing for an acquisition. when using the reverse auction process, contracting officers are still required to follow theacquisitionpolicies and',
11046:'procedures e.g., those prescribed in subpart 8.4 or 16.5, or part 13 or 15, as appropriate for the particular acquisition.',
11047:'c 1aserviceplatformforconductingreverseauctionsmaybeprovidedbyacommercialorgovernmententity. 2 while some reverse auction service providers are paid directly by the government for reverse auction services, other',
11048:'providers may incorporate a fee structure that uses an indirect payment method. when using an indirect payment method,the reverse auction',
11049:'serviceprovideradds a fees to the price ofthe successful offer that is provided to the government at theclose ofan auction. the',
11050:'government then pays the successful offeror the total price of the offer,which includes the fees added by thereverse auctionservice provider.',
11051:'thereverse auctionservice provider then collects itsfees from the successful offeror. 3 when acquiring reverse auction services from a commercial reverse',
11052:'auction serviceprovider, agencies shall— i use competitive procedures, unless an exception applies; ii detail the providers fee structure in the',
11053:'resultant contract or agreement for reverse auction services; and iii make the details of the contract or agreement for reverse',
11054:'auction services, including the providers fee structure, available to contracting officersforconsideration when determining whether to use a reverseauction service provider,',
11055:'in accordance with 17.805a. 4 when acquiring reverse auction services, the contractingofficer shall ensure the following information is provided in',
11056:'the solicitation and contract: i descriptions of government data and governmentrelated data. iidataownership, licensing, delivery, anddisposition instructions specific to the',
11057:'relevant types ofgovernment data and governmentrelated data e.g., dd form 1423, contract data requirements list; work statement task; line item.',
11058:'disposition instructions shall provide for the transition of data in commercially available, or open and nonproprietary format and for permanent',
11059:'records, in accordance with disposition guidance issued by the national archives and records administration. d contracting officersshallonly use the services',
11060:'of a reverse auction service provider that— 1 does not assert or imply that it can or will obtain a',
11061:'government contract for participants of a reverse auction; 2 allowsentitiesto register, at no cost, as potential offerors for reverse auctions',
11062:'conducted onbehalf of the government on the providers reverse auction platform; federal acquisition regulation 3 allowseach entity,as part of the',
11063:'registration process, theopportunity to executea proprietary dataprotection agreementwith the provider; provided that the terms in the agreement do notaffect the',
11064:'termsandconditions ofa government solicitation or contract; 4 protects from unauthorized use or disclosure and does not release outside of the',
11065:'government— i all contractor bid or proposal information see 3.1041 and source selection information associated with providing reverse auction services',
11066:'to the government; ii all information similarly generated to support the issuance of a task order or delivery order or',
11067:'order under a blanket purchase agreement; and iii information identified by anofferor as restricted fromduplication, use, ordisclosure—in whole or in',
11068:'part—for any purpose other than to evaluate the reverse auction participants price or proposal; 5 allowsofferorsto see the successive lowest',
11069:'prices offered in the auction without revealingan offerors identity; 6 at the close of each auction— iprovides the government with',
11070:'the successful offer, along with information thatseparately identifies the offerors price and the price for each provider fee or charge',
11071:'includedin the total price;and iiprovides the governmentwith all information and documentation receivedfrom offerors in response to the reverse auction. 7',
11072:'does not participate as an offeror in any reverse auction which the provider is hosting onbehalf ofthe government. this prohibition',
11073:'includes participation in a reverse auction by any entity with which the provider has a relationship that raises an actual',
11074:'or potential conflict of interest; and 8 asserts no rights or license in the data gathered or generated during a',
11075:'reverse auction. e only acontracting officer shall— 1 exclude an offeror from participating in an auction; 2 determine the awardees',
11076:'of any reverse auction; or 3 determine that the offeror is a responsible prospectivecontractor see 9.103, 9.1041, and 9.405d. 17.804',
11077:'applicability. reverse auction processes shall not be used for— a designbuild construction contracts see 36.104; b procurements for architectengineer services',
11078:'subject to 40u.s.c. chapter11 see 36.601; c procurements using sealed bidding procedures see part 14; or d acquisition of personal',
11079:'protective equipment, in accordance with— 1 sections 813 and 814 of thenational defenseauthorization act ndaa for fiscal yearfy 2017 pub.',
11080:'l. 114328; 2 section 882 of the ndaa for fy 2018 pub. l. 11591; and 3 section 880 of the',
11081:'john s. mccain ndaa for fy 2019 pub. l. 115232, 41 u.s.c. 3701 note. 17.805 procedures. a when considering the',
11082:'use of a reverse auction service provider, the contracting officershall— 1 conduct market research for available sources of reverse auction',
11083:'services e.g., existing agency contracts or agreements, commercial service providers, or government service providers; 2 evaluate the fee structure for',
11084:'each reverse auction service provider; and 3 document the contract file that the use of a reverse auction service provider',
11085:'iscost effective. b when conductinga reverseauction, the contracting officer shall— 1 not disclose the identity of the offerors except for',
11086:'the awardees identity subsequent to an award resulting from the auction see 3.1044a and e1; 2 allow offerors theopportunity to',
11087:'continually revisetheir pricesdownward during the reverse auction until the close of the auction; and 3 allow anofferor to withdraw an',
11088:'offerfrom further consideration prior to the close of an auction. c when using the services of a reverse auction service',
11089:'provider, contracting officersshall— 1 includecontact information, including contracting officer name and email address, in the synopsis and solicitation that will',
11090:'allow offerors to contact the contracting officer directly with any questions; 2 upon receipt ofa successful offer, verifythat any provider',
11091:'fees or charges included in theprice are in accordance with the providers fee structure, as evaluated in accordance with paragraph',
11092:'a2 of this section; and subpart 17.8 reverse auctions 17.806 3 include in the contract file any information and/or documentation',
11093:'received by the reverse auction service provider from offerors responding to the reverse auction. d if only one offeror participates',
11094:'in an auction, thecontracting officer may— 1 cancel the auction and documentthe contract filewith evidence of the participation of only',
11095:'one offeror; or 2 acceptthe offer, only if the price is determinedto befair and reasonable see 13.1063a2 and 15.4041. 17.806',
11096:'solicitation provision and contract clauses. a thecontracting officer shall insert the provision at 52.21710, reverse auction, in solicitations when using',
11097:'a reverse auction to award a contract or blanket purchase agreement. b the contractingofficer shall insertthe clause at 52.21711, reverse',
11098:'auction—orders, in solicitations and contracts for a multipleaward contract or blanket purchase agreement, when a reverse auction may be used',
11099:'to place orders under the basic contract or blanket purchase agreement. c thecontracting officer shall insert the clause at 52.21712,',
11100:'reverse auction services, in all solicitations and contracts for the purchase of reverse auction services. this page intentionally left blank.',
11101:'17.84 part 18 emergency acquisitions sec. 18.000 scope of part. 18.001 definition. subpart 18.1 available acquisition flexibilities 18.101 general. 18.102',
11102:'system for award management. 18.103 synopses of proposed contract actions. 18.104 unusual and compelling urgency. 18.105 federal supply schedules fsss,',
11103:'multi agency blanket purchase agreements bpas, and multiagency indefinite delivery contracts. 18.106 acquisitions from federal prison industries, inc. fpi. 18.107',
11104:'abilityone specification changes. 18.108 qualifications requirements. 18.109 priorities and allocations. 18.110 soliciting from a single source. 18.111 oral requests for',
11105:'proposals. 18.112 letter contracts. 18.113 interagency acquisitions. 18.114 contracting with the small business administration the 8a program. 18.115 hubzone sole',
11106:'source awards. 18.116 servicedisabled veteranowned small business sdvosb sole source awards. 18.117 18.118 18.119 18.120 18.121 18.122 18.123 18.124 18.125',
11107:'18.126 18.127 18.201 18.202 18.203 18.204 18.205 awards to economically disadvantaged womenowned small business concerns and womenowned small business concerns',
11108:'eligible under the womenownedsmall business program. overtime approvals. trade agreements. [reserved] bid guarantees. advance payments. assignment of claims. electronic funds',
11109:'transfer. protest to gao. contractor rentfree use of government property. extraordinary contractual actions. subpart 18.2 emergency acquisition flexibilities contingency operation.',
11110:'defense or recovery from certain events. emergencydeclaration or major disaster declaration. humanitarian or peacekeeping operation. resources. this page intentionally left',
11111:'blank. subpart 18.1 available acquisition flexibilities 18.105 18.000scope of part. a this part identifies acquisition flexibilities that are available for',
11112:'emergency acquisitions. these flexibilities are specific techniques or procedures that may be used to streamline the standard acquisition process. this',
11113:'part includes 1 generally available flexibilities; and 2 emergencyacquisitionflexibilities that are available only under prescribed circumstances. btheacquisitionflexibilitiesinthispartarenotexemptfromtherequirementsandlimitationssetforthinfar part 3, improper',
11114:'business practices and personal conflicts of interest. c additional flexibilities may beauthorized in an executive agency supplement to the far.',
11115:'18.001definition. emergency acquisition flexibilities, as used in this part, means flexibilities provided with respect to any acquisition of supplies or',
11116:'services by or for an executiveagency that,as determined by theheadof an executive agency, may beused a in support of a',
11117:'contingency operation as defined in 2.101; b to facilitate the defense againstor recovery fromcyber, nuclear, biological,chemical,or radiological attackagainst the united',
11118:'states; c in support of a request from the secretary of state or the administrator of the united states agency',
11119:'for international development to facilitate the provision of international disaster assistance; or d when the president issues an emergencydeclaration, or',
11120:'a major disaster declaration. subpart 18.1 available acquisition flexibilities 18.101general. the far includes many acquisition flexibilities thatare available tothe contracting',
11121:'officerwhen certain conditions are met. these acquisition flexibilities do not require an emergency declaration ordesignation ofcontingency operation. 18.102 system forawardmanagement.',
11122:'a in accordance with 4.1102, contractors are notrequired to be registered in the system for award management sam at the',
11123:'time of submission of offers or quotations for— 1 contracts awarded without providing for full and open competition dueto unusual',
11124:'and compelling urgency see 6.3022; or 2 contracts awarded by a contracting officer– i deployed in the course of military',
11125:'operations; ii located outside the united states and its outlying areas, for work to be performed in support of diplomatic',
11126:'or developmental operations, in an area that has been designated by the department of state as a danger pay post;',
11127:'or iii in the conduct of emergencyoperations. b however, contractors are required tobe registered insam inorder to gain access to',
11128:'the disaster response registry. c contracting officers shall consult thedisaster response registry via https://www.sam.gov., search records, advanced search, disaster response',
11129:'registry search to determine the availability of contractors for debris removal, distribution of supplies, reconstruction,and otherdisaster or emergency relief activities',
11130:'insidethe united states and outlyingareas. see 26.205. 18.103 synopses of proposed contract actions. contracting officersneednot submit a synopsis notice when',
11131:'there is an unusual and compellingurgency and the government would be seriously injured if the agency complied with the notice',
11132:'time periods. see 5.202a2. 18.104 unusual and compelling urgency. agencies may limit the number of sources and full and open',
11133:'competition need not be provided for contracting actions involving urgent requirements. see 6.3022. 18.105 federalsupplyschedules fsss, multiagency blanket purchase agreements',
11134:'bpas, and multiagency indefinite delivery contracts. streamlined procedures and a broad range of goods and services may be available under',
11135:'federal supply schedule contracts see subpart 8.4,multiagencybpassee 8.4053a6,ormultiagency,indefinitedeliverycontractssee federal acquisition regulation 16.505a8. these contracting methods may offer agency advanceplanning,prenegotiated line',
11136:'items, and specialterms and conditions that permit rapid response. 18.106 acquisitionsfromfederal prison industries, inc. fpi. purchase from fpi is not',
11137:'mandatory and a waiver is not required if public exigency requires immediate delivery or performance see 8.605b. 18.107abilityone specification changes.',
11138:'contracting officersare not held to the notification required when changes in abilityone specifications or descriptions are required to meet emergency',
11139:'needs. see 8.712d. 18.108 qualificationsrequirements. agencies may determine not to enforce qualification requirementswhen an emergency exists. see 9.2061. 18.109priorities and',
11140:'allocations. the defense priorities and allocationssystemdpas supportsapproved national defense, emergencypreparedness, and energy programs andwas establishedto facilitate rapid industrial mobilization in',
11141:'case of a national emergency. see subpart 11.6. 18.110soliciting from a single source. for purchases not exceeding the simplified acquisition',
11142:'threshold, contracting officers may solicit from one source under certain circumstances. see 13.1061b. 18.111 oral requestsfor proposals. oral requests for',
11143:'proposals are authorized under certain conditions. see 15.203f. 18.112letter contracts. lettercontracts may be used when contract performance must begin immediately.',
11144:'see 16.603. 18.113interagency acquisitions. interagency acquisitions are authorized under certain conditions. see subpart 17.5. 18.114contractingwith thesmall business administration the 8a',
11145:'program. contracts may be awarded to the small business administration sba for performance by eligible 8a participants on either a',
11146:'sole source or competitive basis. see subpart 19.8. 18.115hubzone sole sourceawards. contracts may be awarded to historically underutilized business zone',
11147:'hubzone small business concerns on a sole source basis. see 19.1306. 18.116servicedisabled veteranowned smallbusiness sdvosb solesource awards. contracts may beawarded',
11148:'to servicedisabledveteranowned small business sdvosb concerns eligible under the sdvosb program on a sole source basis. see 19.1406. 18.117awards to',
11149:'economically disadvantaged womenownedsmall business concerns andwomenowned small business concerns eligible under the womenowned smallbusiness program. contracts may be awarded to',
11150:'economically disadvantaged womenowned small business edwosb concerns and womenowned small business wosb concerns eligible under the wosb program on a',
11151:'competitive or sole source basis. see subpart 19.15. 18.118overtime approvals. overtime approvals may be retroactive if justified by emergency circumstances.',
11152:'see 22.1034i. subpart 18.1 available acquisition flexibilities 18.127 18.119tradeagreements. the policies and procedures offar 25.4 may not apply to acquisitions',
11153:'not awarded under full and open competition see 25.401a5. 18.120[reserved] 18.121bid guarantees. the chiefof the contractingoffice may waive the requirement',
11154:'to obtain a bid guarantee for emergencyacquisitions when a performance bond or a performance bond and payment bond is required.',
11155:'see 28.1011c. 18.122advance payments. agencies may authorize advance payments to facilitate the national defense for actions taken under public law',
11156:'85804 see subpart 50.1, extraordinary contractual actions. these advance payments may be made at or after award of sealed bid',
11157:'contracts, as well as negotiated contracts. see 32.405. 18.123assignment of claims. the use of the nosetoff provision maybe appropriate tofacilitate',
11158:'the nationaldefense in the event of a national emergencyor natural disaster. see 32.803d. 18.124 electronicfundstransfer. electronic funds transfer payments may',
11159:'be waived for acquisitions to supportunusual andcompelling needs oremergency acquisitions. see 32.1103e. 18.125 protest to gao. when urgent and compelling',
11160:'circumstancesexist, agency protest overrideprocedures allowthe head of the contracting activity to determine that the contracting process may continue after gao',
11161:'has received a protest. see 33.104b and c. 18.126 contractor rentfree use of government property. rental requirements do not apply',
11162:'to items of government production and research property that are part of a general program approved by thefederal emergency management',
11163:'agencyand meet certain criteria. see 45.301. 18.127extraordinary contractual actions. subpart 50.1 prescribes policies and procedures for entering into, amending, or',
11164:'modifying contracts in order to facilitate thenationaldefenseunder theextraordinary emergency authority granted bypublic law 85804 50 u.s.c. 14311434. this includes a',
11165:'amending contracts without consideration see 50.1032a; b correcting or mitigating mistakes in a contract see 50.1032b; and c formalizing informal',
11166:'commitments see 50.1032c. this page intentionally left blank. 18.14 subpart 18.2 emergency acquisition flexibilities 18.205 subpart 18.2 emergency acquisition flexibilities',
11167:'18.201contingency operation. a contingency operation is defined in 2.101. b micropurchase threshold. the threshold increases when the head of the',
11168:'agency determines the supplies or services are to be used to support a contingency operation. see 2.101 and 13.201g. c',
11169:'simplified acquisition threshold. the threshold increases when the head of the agency determines the supplies or services are to be',
11170:'used to support a contingency operation. see 2.101. d sf 44,purchaseorderinvoicevoucher. thenormalthresholdfortheuseofthe sf 44 is at or below the micro',
11171:'purchase threshold. agencies may, however, establish higher dollar limitations for purchases made to support acontingency operation. see 13.306. e simplified',
11172:'procedures for certain commercial products and commercial services. the threshold limits authorized for use of this authority may be increased',
11173:'for acquisitions to support a contingency operation. see 13.500c. 18.202 defense or recovery from certain events. a micropurchase threshold. the',
11174:'threshold increases when the head of the agency determines the supplies or services areto beused tofacilitate defense against or recovery',
11175:'from cyber, nuclear,biological, chemical, or radiologicalattack; to facilitate provision ofinternational disaster assistance; or tosupport responseto anemergency or major disaster. see',
11176:'2.101. b simplified acquisition threshold. the threshold increases when the head of the agency determines the supplies or services are',
11177:'to be used tofacilitate defense against or recovery from cyber, nuclear, biological, chemical, or radiological attack;to facilitate provision ofinternational disaster',
11178:'assistance; or tosupport responseto anemergency or major disaster. see 2.101. c commercial product or commercial service treatment. contracting officers maytreat',
11179:'any acquisition ofsupplies or services as an acquisition of commercial products or commercial services if the head of the agency',
11180:'determines the acquisition is to be used tofacilitate the defense against orrecovery from cyber, nuclear, biological, chemical, orradiological attack. see',
11181:'12.102f1 and 13.500c. d simplified procedures for certain commercial products and commercial services. the threshold limits authorized for use of',
11182:'this authority may be increased when it is determined the acquisition is to facilitate defense against or recovery from cyber,',
11183:'nuclear,biological, chemical, or radiologicalattack; to facilitate provision of internationaldisasterassistance; orto support response to an emergencyor major disaster. see 13.500c. e',
11184:'sustainable products and services. contracting officers are encouraged, but not required, to procure sustainable products and services if the head',
11185:'of the agency determines the supplies or services are to be used to facilitate defense against or recovery from cyber,',
11186:'nuclear, biological, chemical, or radiological attack; to facilitate provision of internationaldisaster assistance; or tosupport responseto anemergency or major disaster see',
11187:'23.106c. 18.203emergency declaration or major disaster declaration. a disaster or emergency assistance activities. preference will begiven to local organizations, firms,andindividuals',
11188:'when contractingformajordisaster or emergency assistance activities when the presidenthas made a declaration under the robertt. stafford disaster relief and emergency',
11189:'assistance act. preferencemay take the form of local areasetasides or an evaluation preference. see 6.208 and subpart 26.2. b oceantransportation',
11190:'by u.s. flag vessels. the provisions of thecargo preference act of 1954 may be waived in emergencysituations. see 47.502c. 18.204humanitarian',
11191:'or peacekeeping operation. a a humanitarian or peacekeeping operation is defined in 2.101. b simplified acquisition threshold. the threshold increases',
11192:'when the head of the agency determines the supplies or services are to be used to support a humanitarian or',
11193:'peacekeeping operation. see 2.101. 18.205 resources. a national response framework. the national response framework nrf is a guide to how',
11194:'the nation conducts allhazards response. this key document establishes a comprehensive, national, allhazards approach to domestic incident response. the framework',
11195:'identifies the key responseprinciples, roles and structures that organize national response. it describes how communities, states, thefederal government, the privatesector,',
11196:'and nongovernmental partners apply federal acquisition regulation these principles for a coordinated, effective national response. it also describes special circumstances',
11197:'where the federal government exercises a larger role, includingincidents where federalinterests are involved andcatastrophic incidents where a state would require',
11198:'significant support. the nrf is available at https://www.fema.gov/medialibrary/assets/ documents/117791. b ofpp guidelines. the office of federal procurement policyofpp emergencyacquisitions guide',
11199:'is available at https://www.whitehouse.gov/wpcontent/uploads/legacydrupalfiles/omb/assets/procurementguides/ emergencyacquisitionsguide.pdf. part 19 small business programs sec. 19.000 scope of part. subpart 19.4 cooperation with 19.001',
11200:'definitions. the small business administration 19.401 general. subpart 19.1 size standards 19.402 small business administration procurement 19.101 [reserved] center representatives.',
11201:'19.102 small business size standards and north 19.403 [reserved]. american industry classification system codes. subpart 19.5 small business total set19.103',
11202:'appealing the contracting officers north asides, partial setasides, and reserves american industry classification system 19.501 general. code and size standard',
11203:'determination. 19.502 setting aside acquisitions. 19.5021 requirements for setting aside acquisitions. subpart 19.2 policies 19.5022 total small business setasides. 19.201',
11204:'general policy. 19.5023 partial setasides of contracts other than 19.202 specific policies. multipleaward contracts. 19.2021 encouraging small business participation in',
11205:'19.5024 partial setasides of multipleaward contracts. acquisitions. 19.5025 insufficient reasons for not setting aside an 19.2022 locating small business sources.',
11206:'acquisition. 19.2023 equal low bids. 19.5026 setting aside a class of acquisitions for small 19.2024 solicitation. business. 19.2025 data collection',
11207:'and reporting requirements. 19.5027 inclusion of federal prison industries, inc. 19.2026 determination of fair market price. 19.5028 rejecting small business',
11208:'administration 19.203 relationship among small business recommendations. programs. 19.5029 withdrawing or modifying small business setasides. subpart 19.3 determination of 19.50210',
11209:'automatic dissolution of a small business small business size and status setaside. for small business programs 19.50211 solicitation notice regarding',
11210:'administration 19.301 representations and rerepresentations. of change orders for construction. 19.3011 representation by the offeror. 19.503 reserves. 19.3012 rerepresentation by',
11211:'a contractor that 19.504 orders under multipleaward contracts. represented itself as a small business 19.505 limitations on subcontracting and concern.',
11212:'nonmanufacturer rule. 19.3013 rerepresentation by a contractor that 19.506 documentation requirements. represented itself as other than a small 19.507 solicitation',
11213:'provisions and contract clauses. business concern. 19.302 protesting a small business representation or subpart 19.6 certificates of competency rerepresentation. and',
11214:'determinations of responsibility 19.303 [reserved]. 19.601 general. 19.304 small disadvantaged business status. 19.602 procedures. 19.305 reviews of sdb status. 19.6021',
11215:'referral. 19.306 protesting a firm’s status as a hubzone 19.6022 issuing or denying a certificate of small business concern. competency',
11216:'coc. 19.307 protesting a firm’s status as a service19.602 3 resolving differences between the agency disabled veteranowned small business and',
11217:'the small business administration. concern. 19.6024 awarding the contract. 19.308 protesting a firm’s status as an economically disadvantaged womenowned small',
11218:'business concern or womenowned small business concern eligible under the womenowned small business program. 19.309 solicitation provisions and contract clauses.',
11219:'subpart 19.7 the small businesssubcontracting program 19.701 definitions. 19.702 statutory requirements. 19.703 eligibility requirements for participating in the program. 19.704',
11220:'subcontracting plan requirements. 19.705 responsibilities of the contracting officer under the subcontracting assistance program. 19.7051 general. 19.7052 determining the need',
11221:'for a subcontracting plan. 19.7053 preparing the solicitation. 19.7054 reviewing the subcontracting plan. 19.7055 awardsinvolvingsubcontractingplans. 19.7056 postaward responsibilities of the',
11222:'contracting officer. 19.7057 compliance with the subcontracting plan. 19.706 responsibilities of the cognizant administrative contracting officer. 19.707 the small business',
11223:'administration’s role in carrying out the program. 19.708 contract clauses. subpart 19.8 contracting with the small business administration the 8a',
11224:'program 19.800 general. 19.801 [reserved] 19.802 determining eligibility for the 8a program. 19.803 selecting acquisitions for the 8a program. 19.804',
11225:'evaluation, offering, and acceptance. 19.8041 agency evaluation. 19.8042 agency offering. 19.8043 sba acceptance. 19.8044 repetitive acquisitions. 19.8045 basic ordering agreements',
11226:'and blanket purchase agreements. 19.8046 indefinite delivery contracts. 19.805 competitive 8a. 19.8051 general. 19.8052 procedures. 19.806 pricing the 8a contract.',
11227:'19.807 estimating fair market price. 19.808 contract negotiation. 19.8081 sole source. 19.8082 competitive. 19.809 preaward considerations. 19.8091 preaward survey. 19.8092',
11228:'limitations on subcontracting and nonmanufacturer rule. 19.810 sba appeals. 19.811 preparing the contracts. 19.8111 sole source. 19.8112 competitive. 19.8113 19.812',
11229:'19.813 19.814 19.815 19.816 contract clauses. contract administration. protesting an 8a participants eligibility or size status. requesting a formal size',
11230:'determination 8a sole source requirements. release and notification requirements for non8a procurement. exiting the 8a program. subpart 19.9 [reserved] subpart',
11231:'19.10 [reserved] subpart 19.11 [reserved] subpart 19.12 [reserved] subpart 19.13 historically underutilized business zone hubzone program 19.1301 general. 19.1302 [reserved].',
11232:'19.1303 status as a hubzone small business concern. 19.1304 exclusions. 19.1305 hubzone setaside procedures. 19.1306 hubzone solesource awards. 19.1307 price',
11233:'evaluation preference for hubzone small business concerns. 19.1308 [reserved]. 19.1309 contract clauses. subpart 19.14 servicedisabled veteranownedsmall business program 19.1401 general.',
11234:'19.1402 applicability. 19.1403 status. 19.1404 exclusions. 19.1405 setaside procedures. 19.1406 sole source awards. 19.1407 [reserved] 19.1408 contract clauses. subpart 19.15',
11235:'women owned small business program. 19.1500 general. 19.1501 [reserved] 19.1502 applicability. 19.1503 status. 19.1504 exclusions. 19.1505 setaside procedures. 19.1506 womenowned',
11236:'small business program solesource awards. 19.1507 [reserved] 19.1508 contract clauses. subpart 19.1 size standards 19.102 19.000scope of part. a this',
11237:'part implements the acquisitionrelated sections of the small business act 15 u.s.c. 631, et seq., applicable sections of the armed',
11238:'services procurement act 10 u.s.c. 3063–3064 and 3203, 41 u.s.c. 3104, and executive order 12138, may 18, 1979. it covers—',
11239:'1 the determination that a concern is eligible for participation in the programs identified in this part; 2 the respective',
11240:'roles of executive agencies and the small business administration sba in implementing the programs; 3 setting acquisitions aside, in total',
11241:'or in part, for exclusive competitive participation by small business, 8a participants, hubzone small business concerns, servicedisabled veteranowned small business',
11242:'sdvosb concerns eligible under the sdvosb program, and economically disadvantaged womenowned small business edwosb concerns and womenowned small business wosb',
11243:'concerns eligible under the wosb program; 4 the certificate of competency program; 5 the subcontracting assistance program; 6 the 8a',
11244:'business development program hereafter referred to as 8a program, under which agencies contract with the sba for goods or services',
11245:'to be furnished under a subcontract by a small disadvantaged business concern; 7 the use of a price evaluation preference',
11246:'for hubzone small business concerns; 8 the use of veteranowned small business concerns; 9 sole source awards to hubzone small',
11247:'business concerns, servicedisabled veteranowned small business concerns, and edwosb concerns and wosb concerns eligible under the wosb program; and 10',
11248:'the use of reserves. b 1 unless otherwise specified in this part see subpart 19.6 certificates of competency and determinations',
11249:'of responsibility on page 1 and subpart 19.7 the small business subcontracting program on page 1— icontracting officers shall apply',
11250:'this part in the unitedstates and its outlying areas; and iicontracting officers may apply this part outside the unitedstates and',
11251:'its outlying areas. 2 offerorsthat participate in any procurement under this part arerequired to meet the definition of “small business',
11252:'concern” at 2.101 and the definition of “concern” at 19.001. 19.001definitions. as used in this part concern means any business',
11253:'entity organized for profit even ifits ownership is in the hands ofa nonprofit entity with a place of business located',
11254:'in the united states or its outlying areas and that makes a significant contribution to the u.s. economy through payment',
11255:'of taxes and/or use of american products, material and/or labor, etc. concern includes but is not limited to an individual,',
11256:'partnership, corporation, joint venture, association, or cooperative. for more information, see 13 cfr 121.105. fair market price means a price',
11257:'based on reasonable costs under normal competitive conditions and not on lowest possible cost see 19.2026. industry means all concerns',
11258:'primarily engagedin similar lines of activity, as listed and described in the northamerican industry classification system naics manual. similarly situated',
11259:'entity meansa firsttier subcontractor, including an independent contractor,that— 1 has the same small business program status as that which qualified',
11260:'the prime contractor for the award e.g., for a small business setaside contract, any small business concern, without regard to',
11261:'socioeconomic status; and 2 is considered small for the size standard under the naics code the prime contractor assigned to',
11262:'the subcontract. subpart 19.1 size standards 19.101[reserved] 19.102small business size standards and north american industry classification system codes. a locating',
11263:'size standards and north american industry classification system codes. 1 sba establishes small business size standards on an industrybyindustry basis.',
11264:'small business size standards and corresponding north american industry classification system naics codes are provided at 13 cfr 121.201. they',
11265:'are also available at https://www.sba.gov/ document/supporttablesizestandards . federal acquisition regulation 2 naics codes are updated by the office of management',
11266:'and budget through its economicclassification policy committee every five years. new naics codes are not available for use in federal',
11267:'contracting until sba publishes corresponding size standards. naics codes are available from the u.s. census bureau at https://www.census.gov/naics/. 3 sba',
11268:'determines the sizestatus of a concern, includingits affiliates, as ofthe date the concern representsthat it is small to the contractingofficer',
11269:'as part of its initialoffer, whichincludes price. 4 when an agency uses a solicitation for a multipleaward contract that does',
11270:'notrequire offers for the contract to include price, sba determines size as of the date ofinitial offerforthe multipleaward contract, whether',
11271:'or notthe offer includes price or the price is evaluated. see 13 cfr 121.404a1iv. b determining the appropriate naics codes',
11272:'for the solicitation. 1 unless required to do otherwise by paragraph b2 iibof this section, contractingofficers shall assign one naics',
11273:'code and corresponding sizestandardto all solicitations, contracts, and task and delivery orders. the contracting officer shall determine the appropriate naics',
11274:'code by classifying the product or service being acquired in the one industry that best describes the principal purpose of',
11275:'the supply or service being acquired. primary consideration is given to the industry descriptions in the u.s. naics manual, the',
11276:'product or service descriptions in the solicitation, the relative value and importance of the components of the requirement making up',
11277:'the end item being procured, and the function of the goods or services being purchased. a procurement is usually classified',
11278:'according to the component that accounts for the greatest percentage of contract value. 2 i for solicitations issued on or',
11279:'before october 1, 2028, that will result in multipleaward contracts, the contracting officer shall assign a naics code in accordance',
11280:'with paragraph b1 of thissection. iifor solicitations issued after october 1, 2028, that will result in multipleawardcontracts, the contracting officer',
11281:'shall– a assign a single naics code and corresponding size standard that best describes the principal purpose of both the',
11282:'acquisition and each subsequent order; or b divide the acquisition into distinct portions or categories e.g., line item numbers, special',
11283:'item numbers, sectors, functional areas, or equivalent and assign each portion or category a single naics code and size standard',
11284:'that best describes the principal purpose of the supplies or services to be acquiredunder thatdistinct portion or category. 3 iwhenplacingordersundermultipleawardcontractswithasinglenaicscode,thecontractingofficershall',
11285:'assign the order the same naics code and corresponding size standard designated in the contract. iiwhen placing orders undermultipleaward contracts',
11286:'with more than one naics code, the contractingofficer shall assign the order the naics code and corresponding size standard designated',
11287:'in the contract for the distinct portion or category against which the order is placed. if an order covers multiple',
11288:'portions or categories, select the naics code and corresponding size standard designated in the contract for the distinct portion or',
11289:'category that best represents the principal purpose of the order. 4 the contractingofficers designation is finalunlessappealed in accordance withthe procedures',
11290:'in 19.103. c application of small business size standards to solicitations. 1the contracting officer shall apply thesize standard in effect',
11291:'on the date the solicitation is issued. 2 the contractingofficer may amend the solicitation and use the new size standard',
11292:'ifsba amendsthe size standard and it becomes effectivebefore thedue date for receipt ofinitial offers. 19.103appealing the contracting officers north american',
11293:'industry classification system code and size standard determination. a thecontracting officer’s determination is final unless appealed as follows: 1 an',
11294:'appeal of a contracting officer’s naicscodedesignation and the applicablesize standard shall be served and filed within 10 calendar days afterthe',
11295:'issuance of the initialsolicitation or any amendmentaffecting the naics code or size standard. however, sba may file a naicscodeappealat anytime',
11296:'before offers are due. 2 appeals of a contracting officersnaics code designation or applicable size standard may be filed with',
11297:'sba’s office of hearings and appeals oha by— iany person adverselyaffected by a naicscodedesignation or applicable size standard. however, withrespect',
11298:'to a particular sole source 8a contract, only the sba associate administrator for business development may appeal a naics code',
11299:'designation; or iithe associate orassistantdirector for the sba program involved, through sba’s office ofgeneral counsel. 3 contracting officersshalladvise thepublic, by',
11300:'amendmentto the solicitation, of the existence ofa naics code appeal see 5.102a1. such notices shall include the procedures and the',
11301:'deadline for interested parties to file and serve arguments concerning theappeal. subpart 19.1 size standards 19.103 4 sba’s oha will',
11302:'dismisssummarilyan untimely naics code appeal. 5 naics code appeals are filed in accordance with 13 cfr 121.1103. 6 upon receipt',
11303:'ofa naics code appeal, oha will notify the contracting officer by a notice and order of thedate oha received theappeal,',
11304:'the docket number, andthe administrative judge assigned tothe case. the contracting officers response to the appeal, if any,shallinclude argument and',
11305:'evidence see 13 cfr part 134, and shall be received by oha within 15 calendardays from the date of the',
11306:'docketingnotice and order, unless otherwise specified by the administrative judge. upon receipt ofoha’s docketing noticeand order, the contractingofficer shall withholdaward,',
11307:'unless withholding award is not in the best interests of the government, and immediately send to oha an electronic link',
11308:'to or a paper copy of both theoriginal solicitation and all amendments relating to thenaics code appeal. the contractingofficer shall',
11309:'inform oha of any amendments, actions, or developments concerning the procurement in question. 7 afterclose of record, oha willissue a',
11310:'decision and informthe contracting officer. if oha’s decision is received by the contracting officer before the datethe offers are due,',
11311:'thedecision shall be finalandthe solicitation shall be amended to reflect the decision,if appropriate. oha’s decision receivedafter the due date of',
11312:'theinitial offers shall not apply to the pending solicitation but shall apply to future solicitations of the same products or',
11313:'services. b sba’s regulations concerning appeals ofnaics code designations are located at 13 cfr 121.1102 to 121.1103 and 13 cfr',
11314:'part 134. this page intentionally left blank. 19.14 subpart 19.2 policies 19.201 subpart 19.2 policies 19.201 generalpolicy. a it is',
11315:'the policy of the government to provide maximum practicable opportunities in its acquisitions to small business, veteranowned small business, servicedisabled',
11316:'veteranowned small business, hubzone small business, small disadvantaged business, and womenowned small business concerns. such concerns must also have the',
11317:'maximum practicable opportunityto participate as subcontractors in the contracts awarded by any executive agency, consistentwith efficient contract performance. the small',
11318:'business administration sba counsels and assists small business concerns and assists contracting personnel to ensure that a fair proportion of',
11319:'contracts for supplies and services is placed with small business. b heads of contractingactivitiesare responsible for effectively implementing the small',
11320:'business programs within their activities, including achieving program goals. they are to ensure that contracting and technical personnel maintain knowledge',
11321:'of small business program requirements and take all reasonable action to increase participation in their activities’ contracting processes by these',
11322:'businesses. c thesmallbusinessactrequireseach agency with contracting authority to establishan office of small and disadvantaged business utilization see section 15k of',
11323:'the small business act. for the department of defense, in accordance with section 904 of public law 109163 10 u.s.c.',
11324:'144 note, the office of small and disadvantaged business utilization hasbeenredesignated as the office of small business programs. management of',
11325:'the office is the responsibility of anofficer or employee ofthe agency who, in carrying out the purposes of the act—',
11326:'1 is known as the directorof the office ofsmallanddisadvantaged business utilization,or for the department of defense,the director of the office',
11327:'of small business programs; 2 is appointed by the agency head; 3 is responsible to and reports directly to the',
11328:'agency head or the deputy to the agency head except that for the department of defense,the director of the office',
11329:'of small business programs reports to the secretary orthe secretary’s designee; 4 is responsible for the agency carrying out the',
11330:'functions and duties in sections 8, 15, 31, 36, and 44 of the small business act; 5 works with the',
11331:'sbaprocurement center representative pcr or, ifa pcris not assigned,see 19.402a to identify proposed solicitations that involve bundling and work with',
11332:'the agency acquisition officials andsba to revisethe acquisition strategies for such proposed solicitations to increase the probability of participation by',
11333:'small businesses; 6 assists small business concerns in obtaining payments under their contracts, late payment interest penalties, or information on',
11334:'contractual payment provisions; 7 has supervisory authority over agency personnel to the extent that their functions and duties relate to',
11335:'sections 8, 15, 31, 36, and 44 of the small business act; 8 assigns a small business technical advisor to',
11336:'each contracting activity within the agency to which the sba has assigned a representative see 19.402— iwho isa fulltime employee',
11337:'of thecontracting activity,well qualified, technically trained, and familiar with the supplies or services contracted for by the activity; and ii',
11338:'whose principal duty is to assist the sbas assigned representative in performing functions and duties relating to sections 8, 15,',
11339:'31, 36, and 44 of the small business act; 9 cooperates and consults on a regular basis with the sba',
11340:'in carrying out the agencys functions and duties in sections 8, 15, 31, 36, and 44 of the small business',
11341:'act; 10 makes recommendations in accordance with agency procedures as to whether a particular acquisition should be awarded under subpart',
11342:'19.5 as a small business setaside, under subpart 19.8 as a section 8a award, under subpart 19.13 as a hubzone',
11343:'setaside, under subpart 19.14 as a setaside servicedisabled veteranowned small business sdvosb concerns eligible under the sdvosb program, or under',
11344:'subpart 19.15 as a setaside for economically disadvantaged womenowned small business edwosb concerns or womenowned small business wosb concerns eligible',
11345:'under the wosb program; 11 conducts annual reviewsto assessthe— i extent to which small businesses are receiving a fair share',
11346:'of federal procurements, including contract opportunities under the programs administered under the small business act; ii adequacy of consolidated or',
11347:'bundled contract documentation and justifications; and iii actionstakento mitigatethe effects of necessary and justifiedconsolidation or bundling on small businesses. 12',
11348:'provides a copyof the assessment made under paragraph c11 of this section to the agency head and sba administrator; federal',
11349:'acquisition regulation 13 provides to the chief acquisition officerand senior procurementexecutive advice and comments onacquisition strategies, market research, and justifications',
11350:'related to consolidation of contract requirements; 14 when notified by a small business concern prior to the award of a',
11351:'contract that the small business concern believes that a solicitation, request for proposal, or request for quotation unduly restricts the',
11352:'ability of the small business concern to compete for the award– isubmits the notification bythe small business concernto thecontracting officer',
11353:'and, ifnecessary,recommends ways in which the solicitation, request for proposal, or request for quotation may be altered to increase the',
11354:'opportunity for competition; and ii informs the advocate for competition of such agency as established under 41 u.s.c 1705 or',
11355:'10 u.s.c. 3249 of such notification; 15 ensures agency purchases using the governmentwide purchase card that are greater than the',
11356:'micropurchase threshold and less than the simplified acquisition threshold were made in compliance with the small business act and were',
11357:'properly recorded in accordance with subpart 4.6 in the federal procurement data system; 16 assists small business contractors and subcontractors',
11358:'in finding resources for education and training on compliance with contracting regulations; 17 reviews all subcontracting plans required by 19.702a',
11359:'to ensure the plan provides maximum practicable opportunity for small business concerns to participate in the performance of the contract;',
11360:'and 18 performs other duties listed at 15 u.s.c. 644k. d small business specialists shall be appointed and act in',
11361:'accordance with agency regulations. 1 the contracting activity shall coordinate with the small business specialist as early in the acquisition',
11362:'planning process as practicable, but no later than 30 days before the issuance of a solicitation, or prior to placing',
11363:'an order without a solicitation when the acquisition meets the dollar thresholds set forth at 7.1074a1. see also 7.104d. 2',
11364:'the small businessspecialist shall notify the agencys director ofthe office of small and disadvantaged business utilization,and for the department of',
11365:'defense,the director ofthe office of small business programs, when the criteria relating to substantial bundling at 7.1074a1 are met. 3',
11366:'the small business specialist shall coordinate with the contracting activity and the sba pcr on all determinations and findings required',
11367:'by 7.107 for consolidation or bundling of contract requirements. 19.202specific policies. in order to further the policy in 19.201 a,',
11368:'contracting officers shall comply with the specific policies listed in this section and shall consider recommendations of theagency director ofthe',
11369:'office of small and disadvantaged business utilization, or for the departmentof defense, the director of the officeof small business programs,',
11370:'or the director’s designee, as to whether a particular acquisition should be awarded under subpart 19.5, 19.8, 19.13, 19.14, or',
11371:'19.15. agencies shall establish procedures including dollar thresholds for review of acquisitions by the director or the directors designee for',
11372:'the purpose of makingthese recommendations. the contracting officershalldocument the contract file whenever the directors recommendations are not accepted, in accordance',
11373:'with 19.506. 19.2021 encouraging small business participation in acquisitions. small business concerns shall be afforded an equitable opportunityto compete for',
11374:'all contracts thatthey can perform to theextent consistentwith the government’sinterest. when applicable, the contracting officer shall take the following actions:',
11375:'a divide proposed acquisitions of supplies and services except construction into reasonably small lots not less than economicproduction runs to',
11376:'permit offerson quantities less than the total requirement. b plan acquisitions such that, if practicable, more than one small business',
11377:'concern may perform the work, if the work exceeds the amount for which a surety may be guaranteed by sba',
11378:'against loss under 15 u.s.c. 694b see definition of “applicable statutory limit” at 13 cfr 115.10. c ensure that delivery',
11379:'schedules are established on a realistic basis that will encourage small business participation to the extent consistent with the actual',
11380:'requirements of the government. d encourage prime contractors to subcontract with small business concerns see subpart 19.7. e 1 provide',
11381:'a copy of the proposed acquisition package and other reasonably obtainable information related to theacquisition to the sbapcr or, if',
11382:'a pcr is not assigned, see 19.402a at least 30 days prior to the issuance of the solicitation if— subpart',
11383:'19.2 policies 19.2024 i the proposed acquisition is for supplies or services currently being provided by a small business and',
11384:'the proposed acquisition is of a quantity or estimated dollar value, the magnitude of which makes it unlikely that small',
11385:'businesses can compete for the prime contract; ii the proposed acquisition is for construction and seeks to package or consolidate',
11386:'discrete construction projects and the magnitude of this consolidation makes it unlikely that small businesses can compete for the prime',
11387:'contract; iii the proposed acquisition is for a consolidated or bundled requirement. see 7.1075a for mandatory 30day notice requirement to',
11388:'incumbent small business concerns.the contracting officer shall provideall information relativeto thejustification for the consolidation or bundling, including the acquisition plan',
11389:'or strategy, and if the acquisition involves substantial bundling, the information identified in 7.1074. the contractingofficer shall also provide the',
11390:'same information to theagency office of small and disadvantaged business utilization: or iv the acquisition will be reviewed at the',
11391:'pcrs discretion. 2 for acquisitions described in paragraph e1i through iii of this section, provide a statement explaining why the',
11392:'— i proposed acquisition cannot be divided into reasonably small lots not less than economic production runs to permit offers',
11393:'on quantities less than the total requirement; ii delivery schedules cannot be established on a realistic basis that will encourage',
11394:'small business participation to the extent consistent with the actual requirements of the government; iii proposed acquisition cannot be structured',
11395:'so as to make it likely that small businesses can compete for the prime contract; iv consolidated construction project cannot',
11396:'be acquired as separate discrete projects; or v consolidation or bundling is necessary and justified. 3 process the 30day notification',
11397:'concurrently with other processing steps required prior to the issuance of the solicitation. 4 if the contracting officer rejects the',
11398:'sbapcr’s recommendationmade in accordance with 19.402c2, document the basis for the rejection and notify the sba pcr in accordance with',
11399:'19.5028. 19.2022locating small businesssources. the contractingofficer shall,to the extent practicable, encourage maximum participation by small business, veteran owned small business,',
11400:'servicedisabled veteranowned small business, hubzone small business, small disadvantaged business, and womenowned small business concerns in acquisitions by taking the',
11401:'following actions: a before issuingsolicitations, make every reasonable effort to find additional smallbusinessconcerns see 10.002b2. this effort should include contactingthe',
11402:'agencysmall business specialist and sba pcr or, if a pcr is not assigned, see 19.402a. b publicize solicitations and contract',
11403:'awards through the governmentwide point of entry see subparts 5.2 and 5.3. 19.2023 equal low bids. in the event of',
11404:'equal low bids see 14.4086, awards shall be made first to small business concerns which are also labor surplus area',
11405:'concerns, and second to small business concerns which are not also labor surplus area concerns. 19.2024 solicitation. the contractingofficer shall',
11406:'encourage maximum response to solicitations by small business, veteranowned small business, servicedisabled veteranowned small business, hubzone small business, small disadvantaged',
11407:'business, and womenowned small business concerns by taking the following actions: a allow the maximum amount of time practicableforthe submission',
11408:'of offers. b furnish specifications, plans, and drawings with solicitations, or furnish information as to where they may be obtained',
11409:'or examined. c provide to any small business concern, upon its request, a copy of solicitations with respect to any',
11410:'contract to be let, the name and telephone number of an agency contact to answer questions related to such prospective',
11411:'contract and adequate citations to each major federal law or agency rule with which such business concern must comply in',
11412:'performing such contract other than laws or agency rules with which the small business must comply when doing business with',
11413:'other than the government. 19.2025 federal acquisition regulation 19.2025datacollection and reporting requirements. agencies shall measure the extent of small business',
11414:'participation in their acquisition programs by taking the following actions: a require each prospective contractor to represent whether it is',
11415:'a small business, veteranowned small business, service disabled veteranowned small business, hubzone small business, small disadvantaged business, womenowned small business,',
11416:'edwosb concern, or wosb concern eligible under the wosb program see the provision at 52.2191, small business program representations. b',
11417:'accurately measure the extent of participation by small business, veteranowned small business, servicedisabled veteranowned small business, hubzone small business, small',
11418:'disadvantaged business, and womenowned small business concerns in governmentacquisitions interms ofthe total value of contracts placed during each fiscal year,andreport',
11419:'data to the sba at the end of each fiscal year see subpart 4.6. c when the contract includes the',
11420:'clause at 52.21928,post award small business program rerepresentation, and the conditions in the clause for rerepresenting are met— 1 require',
11421:'a contractor that represented itself as any of the small business concerns identified in 19.000a3 prior to award of the',
11422:'contract to rerepresent its size and socioeconomic status i.e., 8a, small disadvantaged business, hubzone small business, servicedisabled veteranowned small business,',
11423:'edwosb, or wosb status; and 2 permit a contractor that represented itself as other than a small business concern prior',
11424:'to award to rerepresent its size status. 19.2026 determination of fair market price. a the fair market price shall be',
11425:'the price achieved in accordance with the reasonable price guidelines in 15.4041b for 1totalandpartialsmallbusinesssetasides,andreservessee subpart 19.5; 2 hubzone setasides see',
11426:'subpart 19.13; 3 contracts utilizing the price evaluation preference for hubzone small business concerns see subpart 19.13; 4 setasides for',
11427:'sdvosb concerns eligible under the sdvosb program see subpart 19.14; 5 setasides for edwosb concerns and wosb concerns eligible under',
11428:'the wosb program see subpart 19.15. b for 8a contracts, both with respect to meeting the requirement at 19.806b and',
11429:'in order to accurately estimate the current fair market price, contracting officers shall follow theprocedures at 19.807. 19.203 relationship among',
11430:'small business programs. a general. there is no order of precedence among the 8a program subpart 19.8, hubzone program subpart',
11431:'19.13, servicedisabled veteranownedsmallbusiness sdvosb program subpart 19.14, or thewomenownedsmall business wosb program subpart 19.15. b at or below the simplified',
11432:'acquisition threshold. for acquisitions of supplies or services that have an anticipated dollar value above the micropurchase threshold, but at',
11433:'or below the simplified acquisition threshold, the requirement at 19.5022a to set aside acquisitions for small business concerns does not',
11434:'preclude the contracting officer from awarding a contract to a small business under the 8a program, hubzone program, sdvosb program,',
11435:'or wosb program. c above the simplified acquisition threshold. for acquisitions of supplies or services that have an anticipated dollar',
11436:'value exceeding the simplified acquisition threshold definition at 2.101,the contracting officer shall first consider an acquisition for the small business',
11437:'socioeconomic contracting programs i.e., 8a, hubzone, sdvosb, or wosb programs before considering a small business setaside see 19.5022b. however, ifa',
11438:'requirement has been accepted by the sbaunder the 8a program, it must remain in the 8a program unless the sba',
11439:'agrees to its release in accordance with 13 cfr parts 124, 126, 127, and 128. d in determining which socioeconomic',
11440:'program touse for an acquisition, the contracting officershouldconsider, at a minimum 1 results of market research that was done to',
11441:'determine if there are socioeconomic firms capable of satisfying the agency’s requirement; and 2 agency progress in fulfilling its small',
11442:'business goals. e small business setasides have priority over acquisitions using full and open competition. see requirements for establishing a',
11443:'small business setaside at subpart 19.5. subpart 19.3 determination of small business size and status for small business programs 19.3011',
11444:'subpart 19.3 determination of small business size and status for small business programs 19.301 representations and rerepresentations. 19.3011representation by the',
11445:'offeror. a 1tobeeligibleforawardasasmallbusinessconcernidentifiedin 19.000a3,anofferorisrequiredtorepresentin good faith— i a that it meets the small business size standard corresponding to the north',
11446:'american industry classification system naics code identified in the solicitation; or b for a multipleaward contract where there is more',
11447:'than one naics code assigned, that it meets the small business size standard for each distinct portion or category e.g.,',
11448:'line item numbers, special item numbers sins, sectors, functional areas, or the equivalent for which it submits an offer. if',
11449:'the small business concern submits an offer for the entire multipleaward contract, it must meet the size standard for each',
11450:'distinct portion or category e.g., line item number,sin, sector, functionalarea, or equivalent; and ii the small business administration sba has',
11451:'not issued a written determination stating otherwise pursuant to 13 cfr 121.1009. 2 i a joint venture may qualify as',
11452:'a small business concern if the joint venture complies with the requirements of 13 cfr 121.103h and 13 cfr 125.8a',
11453:'and b and if— a each party to the joint venture qualifies as small under the size standard for the',
11454:'solicitation; or b the protégé is small under the size standard for the solicitation in a joint venture comprised of',
11455:'a mentor and protégé with an approved mentorprotégé agreement under an sba mentorprotégé program. ii a joint venture may qualify',
11456:'for an award under the socioeconomic programs as described in subparts 19.8, 19.13, 19.14, and 19.15. b an offeror is',
11457:'required torepresent its size and socioeconomic status in writingto the contracting officer at the time of initial offer,whether ornot the',
11458:'offerincludes price or the price is evaluated, including offers for— 1 basic ordering agreements see 16.703; and 2blanketpurchaseagreementsbpasissuedpursuantto part 13.',
11459:'ctobeeligibleforanawardofanorderunderabasicorderingagreementorabpaissuedpursuantto part 13 as a small business concern identified in 19.000a3, the offeror must bea small business concern identifiedin 19.000a3',
11460:'at the time of awardof the order. dtobeeligibleforanawardunderthehubzoneprogramsee subpart 19.13, a hubzone small business concern must be a hubzone small',
11461:'business concern at thetime ofinitial offer. e multipleaward contract representations: 1 a business that represents as a small business concernat',
11462:'the timeof its initial offer for the contractwhether ornot theoffer includes price or the price is evaluated see 13 cfr',
11463:'121.404a1iv, is considered a small business concern for each order issued under the contract but see 19.3012 for rerepresentations. 2',
11464:'a business that represents as a small business concernat the timeof its initial offer for a distinct portion or category',
11465:'as set forth in paragraph a1ii is considered a small business concern for each order issued under that distinct portion',
11466:'or category but see 19.3012 for rerepresentations. f the contracting officer shall accept anofferor’s representation in a specific bid orproposal',
11467:'that it is a small business unless 1 anotherofferor or interested party challenges the concern’s small business representation or 2',
11468:'the contracting officer has a reason toquestionthe representation. challenges of and questions concerning a specific representation shall be referred to',
11469:'the sba in accordance with 19.302. g an offeror’s representation that it is a small business isnot binding on the',
11470:'sba. if an offeror’s smallbusinessstatus is challenged, the sba will evaluate the status of the concern and make a determination,',
11471:'which will be binding on the contracting officer, as to whether the offeror is a small business. a concern cannot',
11472:'become eligible for a specific awardby taking action to meet the definition of a small business concern after the sba',
11473:'has determined that it is not a small business. h if the sba determines that the status of a concern',
11474:'as a small business, veteranowned small business, servicedisabled veteranowned small business, hubzone small business, small disadvantaged business, or womenowned small',
11475:'business has been misrepresented in order to obtain a setaside contract, an 8a subcontract, a subcontract that is to be',
11476:'included as part or all of a goal contained in a subcontracting plan, or a prime or subcontract to be',
11477:'awarded as a result, or in furtherance of any other provision of federal law that specifically references section 8d of',
11478:'the small business act for a definition of program eligibility, the sba may take action as specified in sections 16aor',
11479:'16d of the act. if thesba declines to take 19.3012 federal acquisition regulation action, theagency may initiate theprocess. the sba’sregulations',
11480:'on penalties for misrepresentations and false statements are contained in 13 cfr 121.108 for small business, 13 cfr 124.501 for',
11481:'8a small business, 13 cfr 128.600 for veteran or servicedisabled veteranowned small business, 13 cfr 126.900 for hubzone small business,',
11482:'and 13 cfr 127.700 for economically disadvantaged womenowned small business concerns and womenowned small business wosb concerns eligible under the',
11483:'wosb program. 19.3012rerepresentation by a contractor that represented itself asa smallbusiness concern. a definition. as used in this subsection longterm',
11484:'contract means a contract of more than fiveyears induration, including options. however,the term does not include contracts that exceed five',
11485:'years in duration because the period of performance has been extended for a cumulative period not to exceed six months',
11486:'under the clause at 52.2178, option to extend services, orotherappropriate authority. b a contractor that represented itself as any of',
11487:'the small business concerns identified in 19.000a3 before contract award is required to rerepresent its size and socioeconomic status— 1',
11488:'for the naics codes in the contract– iwithin 30 days after executionof anovation agreement or within 30 days after modification',
11489:'of the contract to include the clause at 52.21928,postaward small businessprogram rerepresentation, ifthe novation agreement was executed prior to inclusion',
11490:'of this clause in the contract; iiwithin 30 days after a merger or acquisition whether thecontractor acquires or isacquired by',
11491:'another company of the contractor that does not require novation or within 30 days after modification of the contract to',
11492:'include the clause at 52.21928, postaward small business program rerepresentation, if themergeror acquisition occurred prior to inclusion of this clause',
11493:'in the contract; iii for longterm contracts– awithin 60 to 120 days prior to the end ofthe fifth year ofthe',
11494:'contract; and b within60 to 120 days prior to thedate specified in the contract for exercising any option thereafter; or',
11495:'2 for the naics code assignedto anorder undera multipleaward contract, if thecontracting officer requires contractors to rerepresent their size andsocioeconomic',
11496:'status for that order. c a contractoris required to rerepresent its size status in accordance with the sizestandard in effect',
11497:'atthe time of its rerepresentation that corresponds to the naics code that was initially assigned to the contract. for multipleaward',
11498:'contracts where there is more than one naics code assigned, the contractor is required to rerepresent its size status for',
11499:'each naics code assigned to the contract. d 1 contract rerepresentation. after a contractor rerepresents for a contract that it',
11500:'no longer qualifies as a small business concern identified in 19.000a3 in accordance with 52.21928, the agency may no longer',
11501:'include the value of options exercised, modifications issued,ordersissued, orpurchases made under bpas on that contractin itssmall business prime contracting goalachievements.',
11502:'when acontractors rerepresentation for a contract qualifies it as a different small business concern identified in 19.000a3 than what it',
11503:'represented for award, the agency may include the value of options exercised, modificationsissued, orders issued, orpurchases made under bpas on',
11504:'that contractin itssmallbusiness prime contracting goal achievements, consistent with the rerepresentation. agencies should issue a modification to the contract capturing',
11505:'the rerepresentation and report it to fpds within 30 days after notification of the rerepresentation. 2 rerepresentation for a task',
11506:'or delivery order. i when a contractor rerepresents for an order that it no longer qualifies as a small business',
11507:'concern identified in 19.000a3, the agency cannot include the value of the order in its small business prime contracting goalachievements.',
11508:'when acontractors rerepresentation for an order qualifies it as adifferent small business concern identified in 19.000a3 than what it represented',
11509:'for contract award, the agency can include the value of the order in its small business prime contracting goal achievement,',
11510:'consistent with the rerepresentation. ii a rerepresentation for an order does not change the size or socioeconomic status representation for',
11511:'the contract. e a change insize status doesnot change the terms and conditionsof the contract. however,the contracting officer may require',
11512:'a subcontracting plan for a contract containing 52.2199, small business subcontracting plan, if a prime contractors size status changes from',
11513:'small to other than small as a result of a size rerepresentation see 19.7052b3. 19.3013rerepresentation by a contractor that represented',
11514:'itself asother than a small business concern. a contractor that represented itselfas other than small before contract awardmay, but is',
11515:'not required to, rerepresent its size status when a the conditions in 19.3012b apply; and subpart 19.3 determination of small',
11516:'business size and status for small business programs 19.302 b the contractorqualifies as a small business concern under the applicable',
11517:'size standard in effectat the timeof its rerepresentation. 19.302 protesting a small business representationor rerepresentation. a 1 the sba regulations',
11518:'on small business size and size protests are found at 13 cfr part 121 . 2 an offeror, the contractingofficer,',
11519:'sba, or another interested party may protestthe small business representation of an offeror in a specific offer for a contract.',
11520:'however, for competitive 8a contracts, thefiling of a protest islimited toan offeror, the contracting officer,or sba. see 13 cfr 121.1001a.',
11521:'b any time after offers are received by the contracting officer,or in the case of bids, opened, the contractingofficer may',
11522:'question the small business representation ofanyofferor in aspecific offer by filinga contractingofficers protestsee paragraph c of this section. c 1anycontractingofficerwhoreceivesaprotest,whethertimelyornot,orwho,asthecontractingofficer,wishesto',
11523:'protestthe small business representationof an offeror, orrerepresentationof acontractor, shall promptly forward the protest to the sba government contracting areadirector atthe',
11524:'government contracting areaoffice serving the area in which the headquarters ofthe offeroris located. 2 the protest,or confirmation if the protest',
11525:'wasinitiated orally,shallbe inwriting and shall contain the basisfor theprotest with specific, detailed evidence tosupport the allegation that the offeror is',
11526:'not small. the sba will dismiss any protest that does not contain specific grounds for the protest. 3 the protest',
11527:'shall includea referral letter written by the contracting officer with information pertaining to the solicitation. the referral letter must include',
11528:'the following information to allow sba to determine timeliness and standing: i the protest and any accompanying materials. ii a',
11529:'copy of the size selfcertification. iii identification of the applicable size standard. iv a copy or an electronic link to',
11530:'the solicitation and any amendments. v the name, address, telephone number, email address, and fax number ofthe contracting officer. vi',
11531:'identification ofthe bid openingdate or the date of notification provided to unsuccessful offerors. vii thedate the contracting officer receivedthe protest.',
11532:'viii a complete address and point of contact for the protested concern. d in order toaffect a specificsolicitation, a protest',
11533:'must be timely. sbas regulations on timelinessare contained in 13 cfr 121.1004. sbas regulations on timeliness related to protests of',
11534:'disadvantaged status are contained in 13 cfr part 124, subpart b. 1 to be timely, a protest by any concern',
11535:'or other interested party must be received by the contracting officer by the close of business of the fifth business',
11536:'day after i bid opening for sealed bid acquisitions; or iireceiptof the special notificationfrom the contracting officer see 15.503a2 that',
11537:'identifies the apparently successful offeror for negotiated acquisitions,including— a partial setasides and reserves of multipleaward contracts; b orders that are',
11538:'setaside under an unrestricted multipleaward contract except for orders and blanket purchase agreements placed under a federal supply schedule contract',
11539:'see 8.405 and paragraph d5 of this section; and c orders placed under multipleaward contractswhere the contractingofficer requestedrerepresentationforthe order; or',
11540:'iii receipt of notification using other communication means when written notification is not required. 2 a protestmay be made orally',
11541:'if it is confirmed in writing and received by thecontracting officer withinthe 5day period or by letter postmarked no later',
11542:'than 1 business day after the oral protest. 3 a protestmay be made in writing if it is deliveredto the',
11543:'contracting officer by hand, mail, facsimile, email, express or overnight delivery service. 4 except as provided in paragraph d6of this',
11544:'section, a protestfiled by thecontracting officer or sba is always considered timely whether filed before or after award. 5 a',
11545:'protestunder a multiple award schedule will be timely if receivedby sbaat anytime prior tothe expiration of the contract period, including',
11546:'renewals. 6 a protestfiled before bidopening,or notification to offerors of the selection ofthe apparent successful offeror,will be dismissed as premature',
11547:'by sba. e upon receiptof aprotest from or forwarded by the contractingoffice, the sbawill federal acquisition regulation 1 notify the',
11548:'contracting officer and the protester of the date it was received, and thatthe size ofthe concern being challenged is under',
11549:'consideration by the sba; and 2 furnish to the concern whose representation is being protested a copy of the protest',
11550:'and a blank sba form355, application for small business determination, by certified mail, return receipt requested. f 1within15businessdaysafterreceiptofaprotestorrequestforaformalsizedeterminationorwithinanyextension of time',
11551:'grantedby the contracting officerthe sba areaoffice will determine the size status ofthe challenged concern. the sba areaoffice will notify the',
11552:'contracting officer, the protester, and thechallenged concern of its decision by a verifiable means, which may include facsimile, electronic mail,',
11553:'or overnight delivery service. 2 award may bemade to a protested concern afterthe sba areaoffice has determinedthat either the protested',
11554:'concern is an eligible small business or has dismissed all protests against it. 3 if sba’s officeof hearings and appeals',
11555:'oha subsequentlyoverturns the area offices determination of eligibility or dismissal, and contract award has not been made, the contracting officer',
11556:'may apply the oha decision to the procurement in question. g 1afterreceivingaprotestinvolvinganofferorbeingconsideredforaward,thecontractingofficershallnotaward thecontract until the sba has made a size',
11557:'determination or 15businessdays have expiredsince sba’s receipt of a protest, whichever occurs first; however, award shall not be withheld when',
11558:'the contracting officer determines in writing that an award must be made to protect the public interest. 2 if sba',
11559:'has not made a determination within 15 business days, or within any extension of time granted by the contracting officer,',
11560:'thecontracting officer may award the contract after determining inwriting thatthere is an immediate need to award the contract and that',
11561:'waiting until sba makes its determination will be disadvantageous to the government. 3 sba may,at its sole discretion, reopen a',
11562:'formalsize determination to correct an error ormistake, if it is within the appeal period and no appeal has been filed',
11563:'with oha or, a final decision has not been renderedby the sba areaofficeor oha. 4 if a protestis receivedthat challenges',
11564:'the small business status ofan offerornot being considered for award, the contracting officeris not required to suspend contract action. the',
11565:'contractingofficer shall forward the protest to the sba see paragraph c1 of this section with a notation that the concern',
11566:'is not being considered for award, and shall notify the protester of this action. h an appeal from an sba',
11567:'size determination may be filed by any concern or other interested party whose protest of thesmall business representation of another',
11568:'concern has been denied by an sba government contracting area director, any concernor other interested party thathas been adversely affected',
11569:'byan sba government contracting area director’s decision, or the sba associate administrator for thesba program involved. the appeal mustbe filed',
11570:'with theofficeof hearingsandappeals, small business administration, suite 5900, 409 3 rdstreet, sw., washington,dc 20416, within the time limits and in',
11571:'strict accordance with the procedures contained in subpart c of 13 cfr 134. it is within the discretion of the',
11572:'sba judge whether to accept an appeal from a size determination. if a postaward appeal is submitted to oha within',
11573:'the time limits specified in subpart c of 13 cfr 134,the contracting officer shall consider suspending contract performanceuntil an sba',
11574:'judge decides the appeal. sba will inform the contractingofficer of its ruling on the appeal. sba’s decision, if received before',
11575:'award, willapply to thepending acquisition. if the contracting officer has made awritten determination in accordance with g1 or 2 of',
11576:'this section, the contract has been awarded, the sba rulings is received after award, and ohafinds theprotestedconcern to be ineligible',
11577:'for award, thecontracting officer shall terminate the contract unless termination is not in the best interests of the government, in',
11578:'keeping with the circumstances described in the written determination. however,the contracting officershallnot exercise any options oraward further task or delivery',
11579:'orders. isba willdismiss untimely protests. a protest that is not timely, even though received beforeaward, shall be forwarded to the',
11580:'sba government contracting areaoffice see paragraph c1 of this section, with anotation on it that the protest is not timely.',
11581:'aprotest received by acontracting officer after awardof acontract shall be forwarded to the sba government contracting areaoffice with a notation',
11582:'that awardhas been made. j when a concern is found to be other than small under a protest concerning a',
11583:'size status rerepresentation made in accordance with the clause at 52.21928, postaward small business program rerepresentation, a contracting officermay permit',
11584:'contract performance to continue, issue orders, or exercise options, because the contract remains a valid contract. subpart 19.3 determination of',
11585:'small business size and status for small business programs 19.306 19.303[reserved]. 19.304small disadvantaged business status. a thecontracting officer may accept',
11586:'an offeror’s representation that it is a small disadvantaged business concern sdb concern. b the provision at 52.2191, small business',
11587:'program representations, or 52.2123c5, offeror representationsand certificationscommercial products and commercial services, is used to collect sdb data. c a representation',
11588:'of sdb status on a federal prime contract will be deemed a misrepresentation of sdb status if the firm does',
11589:'not meet the requirements of 13 cfr 124.1001. d any person or entity that misrepresents a firms status as an',
11590:'sdb concern in order to obtain a contracting opportunity in accordance with section 8d of the small business act, 15',
11591:'u.s.c. 637d will be subject to the penalties imposed by section 16d of the small business act, 15 u.s.c. 645d,',
11592:'aswellas any other penaltyauthorized by law. 19.305reviews of sdb status. this sectionapplies to reviews of a smallbusinessconcerns sdb statusas aprimecontractor',
11593:'or subcontractor. a sba may initiate the review of sdb status on any firm that has represented itself to be',
11594:'an sdb on a prime contract or subcontract to a federal prime contract whenever it receives credible information calling into',
11595:'question the sdb status of the firm. b requests for an sba review of sdb status may be forwarded to',
11596:'the small business administration, associate administrator for business development aa/bd,409 third street, sw, washington, dc 20416. c an sba review',
11597:'of a subcontractorssdb status differsfrom a formal protest. protestsof aconcerns size asa prime contractor are processed under 19.302. protests of',
11598:'a concerns size as a subcontractor are processed under 19.703b. 19.306 protesting a firm’s statusas a hubzonesmall business concern. a',
11599:'definition. as used in this section interested party has the meaning given in 13 cfr 126.103. b 1forsolesourceprocurements,sbaorthecontractingofficermayprotesttheprospectivecontractorscertified hubzone status;',
11600:'for all other procurements, sba, the contracting officer, or any other interested partymay protest the apparentsuccessfulofferorscertifiedhubzone status see 13 cfr',
11601:'126.800. 2 the directorof sbas office of the hubzone program will determine whether the concern hascertifiedhubzone status. if sba upholds',
11602:'the protest, sba will remove the concerns hubzone status in the dynamic small business search dsbs. sbas protest regulations are',
11603:'found in subpart h “protests” at 13 cfr 126.800 through 126.805. c protests relating to small business size status are',
11604:'subject to the procedures of 19.302. an interested party seeking to protestboth the small business size and hubzone statusof an',
11605:'apparentsuccessfulofferor shall file twoseparate protests. protests relating to small business size status for the acquisition and the hubzone eligibility requirements',
11606:'will be processed concurrently by sba. d 1 all protests must be in writing and must state all specific grounds',
11607:'for the protest i.e., why the protested concern did not meet the eligibility requirements at 13 cfr 126.200 at the',
11608:'time of the concerns application to sba for certification as a hubzone small business concern or at the time sba',
11609:'certified or last recertified the concern as a hubzone small business concern. assertions that a protested concern is not a',
11610:'hubzone small business concern, without setting forth specific facts or allegations, will not be considered by sba see 13 cfr',
11611:'126.801b. 2 protestsfiled againsta hubzone joint venture must state one or, if applicable, both of the following: i why the',
11612:'hubzone small business party to the joint venture did not meet the eligibility requirements at 13 cfr 126.200 at the',
11613:'time of its application to sba for certification or at the time sba certified or last recertified the concern as',
11614:'a hubzone small business concern. ii why the joint venture did not meet the requirements at 13 cfr 126.616at the',
11615:'timeof submission of its offer for a hubzone contract. e submission of a protest. 1 an interested party shall submit',
11616:'its written protest to the contractingofficer i for sealed bids a by the close of business on the fifth business',
11617:'day after bid opening; or b by the close of business on the fifth business day from the date of',
11618:'identification of the apparent successful offeror, if the priceevaluation preference was notapplied at the time of bid opening; federal acquisition',
11619:'regulation ii for negotiated acquisitions, by the close of business on the fifth business day after receipt of the special',
11620:'notificationfrom the contracting officer see 15.503a2 of the apparently successful offeror, including— aorders placed undermultipleaward contracts where the contracting officer',
11621:'requested rerepresentation for the order see 13 cfr 126.801d1; and b orders set aside for hubzone small businesses under multipleaward',
11622:'contracts that are not partially or totally setaside or reserved for hubzone small business concerns see 13 cfr 126.801d1, except',
11623:'for orders and blanket purchase agreements placed under a federal supply schedule contract see 8.405 and 19.302d5; or iii by',
11624:'the close of business on the fifth business day after receipt of notification using other communication means when written notification',
11625:'is not required. 2 any protest receivedafter the designated time limits is untimely, unless it is from the contractingofficer or',
11626:'sba. 3 sba will consider protests for hubzone setaside or solesource service contracts or orders, if a hubzone prime contractor',
11627:'is unduly reliant on a small entity subcontractor that is not a similarlysituated entity as defined in 13 cfr 125.1,',
11628:'or if such subcontractor performs the primary and vital requirements of the contract. for allegations that the prime contractor is',
11629:'unduly reliant on anotherthansmallsubcontractor, see size protests at 19.302, and 13 cfr 121.103h2, which treats the pair as joint venturers',
11630:'for size determination purposes the “ostensible subcontractor rule”. f the contracting officer shall forward all protests with a referral letter',
11631:'tothe director ofsbas office of the hubzone program, by email to hzprotests@sba.gov. the referral letter shall include the following— 1',
11632:'the solicitation number; 2 the contractingofficers name and contact information; 3 the type of hubzone contract i.e., solesource, setaside, full',
11633:'and open competition with a hubzone price evaluation preference, or reserve for hubzone small business concerns under a multipleaward contract;',
11634:'4 for a procurement conducted using full and open competition with a hubzone price evaluation preference, whether theprotesters opportunityforaward was',
11635:'affected bythe preference; 5 for a hubzone setaside, whether theprotestersubmitted an offer; 6 whetherthe protested concern was the apparentsuccessfulofferor; 7',
11636:'whether the procurement was conducted using sealed bid or negotiated procedures; 8 the bid opening date, if applicable; 9 the',
11637:'date the protester was notified of the apparentsuccessfulofferor; 10 the date the contracting officer received theprotest; 11 the date the',
11638:'protested concern submitted its initialoffer or quote to the contracting officer; and 12 whether a contract hasbeenawarded, and if so,',
11639:'the date of award and contract number. g sba will notify the protesterandthe contracting officerof the date sbareceived the protest.',
11640:'h before sba decision. 1 after receiving a protestinvolvingthe apparentsuccessfulofferor’s status as a hubzone small business concern, the contracting officer',
11641:'shall either iwithholdaward of thecontract until sbadeterminesthe statusof the protested concern; or iiawardthe contract if— a sba does not issue',
11642:'its decision within 15 business days after receipt of the protest; and b the contracting officerdeterminesin writingthat there isan immediate',
11643:'need toaward the contract and that waiting for sbas determination will be disadvantageous to the government. 2 sba will determine',
11644:'the merits of the status protest within 15 business days after receipt of a protest, or within any extension of',
11645:'time granted bythe contracting officer. iafter sba decision. the sba will notify thecontracting officer, the protester,andthe protested concern of the',
11646:'sba determination. the determination is effective immediately and is finalunlessoverturned on appeal by sba’s associate administrator,office of government contractingand businessdevelopment',
11647:'aa/gc&bd. 1 if the contracting officer has withheld contract award andsba has determined that theprotestedconcern is an eligible hubzone or',
11648:'dismissed allprotests against theprotestedconcern, the contracting officermay award thecontract to the protested concern. if the aa/gc&bd subsequently overturns the initial',
11649:'determination or dismissal, the contracting officer may apply the aa/gc&bd decision to the procurement inquestion. 2 if the contracting officer',
11650:'has withheld awardand the hubzone programdirector hasdetermined that the protested concern is ineligible, and atimely aa/gc&bd appeal has not been',
11651:'filed,then the contracting officershallnot award the contract to the protested concern. subpart 19.3 determination of small business size and status',
11652:'for small business programs 19.307 3 if the contracting officer has made a writtendetermination in accordance with h1iib of this',
11653:'section, awarded thecontract, and the director of sbasoffice of the hubzone programs ruling sustaining the protest isreceived after award —',
11654:'ithe contracting officer shall either— aterminatethe contract; or b 1 make a written determination that termination is not in the',
11655:'best interests of the government; and 2 not exercise any options or award further task or delivery orders under the',
11656:'contract. ii sba will remove the concerns designation as a certified hubzone small business concern in the dynamic small business',
11657:'search dsbs. the concern is not permitted to submit an offer asa hubzone small business concernuntil sba issues a decision',
11658:'that the ineligibility is resolved; and iii after sba updates the concerns designation as a hubzone small business indsbs,the contracting',
11659:'officer shall update the federal procurement data system fpds to reflect the final decision of the hubzone program director if',
11660:'no appeal is filed. 4 if the contracting officer has made a writtendetermination in accordance with h1iib of this section,',
11661:'awarded the contract, sba has sustained the protest and determined that the concern is not a hubzone small business, and',
11662:'a timely aa/gc&bd appeal has been filed, thenthe contracting officershallconsider whether performance can be suspendeduntil an aa/gc&bd decision is rendered.',
11663:'5 if the aa/gc&bd affirms thedecision of thehubzone program director,finding theprotestedconcern is ineligible, and contract award has occurred— ithe contracting',
11664:'officer shall either— aterminatethe contract; or b 1 make a written determination that termination is not in the best interests',
11665:'of the government; and 2 not exercise any options or award further task or delivery orders under the contract; ii',
11666:'sba will remove the concerns designation as a certified hubzone small business concern in dsbs. the concern is not permitted',
11667:'to submit an offer asa hubzone small business concernuntil sba issuesa decisionthat the ineligibility is resolved or the aa/gc&bd finds',
11668:'the concern is eligible on appeal; and iii after sba updates the concerns designation as a hubzone small business indsbs,the',
11669:'contracting officer shall update fpds to reflect the aa/gc&bd decision. 6 a concern found to be ineligible during a hubzone',
11670:'status protest is precluded from applying for hubzone certification for 90 calendar days from the date of the sba final',
11671:'decision. jappeals of hubzone statusdeterminations. the protested hubzone small business concern, the protester, orthe contracting officermay file appeals of protest',
11672:'determinations with sba’s aa/gc&bd. the aa/gc&bd mustreceivethe appeal no later than 5 business days after the date of receipt of',
11673:'the protest determination. sba will dismiss any untimely appeal. k the appeal must be in writing. the appeal must identify',
11674:'the protest determination being appealed and must set forth a full and specific statement as to why the decision is',
11675:'erroneous or what significant fact the hubzone program director failed to consider. l 1 the party appealing the decision must',
11676:'provide notice of the appeal to ithe contracting officer; and iithe protested hubzonesmall business concern or the originalprotester, as appropriate.',
11677:'2 sba will not consider additional information or changed circumstances that were not disclosed at the time of the hubzone',
11678:'program directors determination or that are based on disagreement with the findings and conclusions contained in the determination. m the',
11679:'aa/gc&bd will make its decision within 5 business days of the receipt of the appeal, if practicable, and will base',
11680:'its decision only on the information and documentation in the protest record as supplemented by the appeal. sba will provide',
11681:'a copy of thedecision to the contracting officer, the protester, and theprotestedhubzone small business concern. the sba decision, if received',
11682:'before award, will apply to the pending acquisition. the aa/gc&bds decision is the final decision. 19.307 protesting a firm’s statusas',
11683:'a servicedisabledveteranowned small business concern. a definition. interested party, as used in this section, has the meaning given in 13',
11684:'cfr 134.1002b. federal acquisition regulation b 1 general. for sole source acquisitions, the contracting officer, the department of veterans affairs',
11685:'va, or sba may protest the apparently successful offeror’sservicedisabled veteranowned small business sdvosb status. for all other acquisitions, any interested',
11686:'party may protest the apparently successful offeror’s servicedisabled veteranowned small business status. 2 sba’s protest regulationsare found in 13 cfr',
11687:'128.500 and 13 cfr part 134. c protests relating to small business size status are subject to the procedures of',
11688:'19.302. an interested party seeking to protest both the small business size and servicedisabled veteranowned small business status of an',
11689:'apparent successful offeror shall file two separateprotests. d all protests must be in writing and must state all specific grounds',
11690:'for the protest. 1 oha will consider protests challenging the sdvosb status or the ownership and control of a concern',
11691:'if— i for status protests, the protester presents evidence supporting the contention that the owners cannot provide documentation from the',
11692:'va to show that theymeet thedefinition of “servicedisabled veteran” or “servicedisabled veteran with a permanent and severe disability” as set',
11693:'forth in 13 cfr 128.102; or ii for ownership and control protests, the protester presents evidence that the concern is',
11694:'not 51 percent owned and controlledby one or more servicedisabledveterans. in the case ofa veteran with a permanent and severe',
11695:'disability, the protester presents evidence that the concern is not controlled by the veteran, spouse, or permanent caregiver of such',
11696:'veteran; or iii for setaside or solesource service contract or order ostensible subcontractor protests, the protester presents credible evidence of',
11697:'the alleged undue reliance on a small entity subcontractor that is not a similarlysituated entity as defined in 13 cfr',
11698:'125.1, or credible evidence that the small nonsimilarly situated entity is performing the primary and vital requirementsof the contract. forallegations',
11699:'that the prime contractor isunduly reliant on an otherthansmall subcontractor, see size protests at 19.302, and 13 cfr 121.103h2, which',
11700:'treats the pair as joint venturers for size determination purposes the “ostensible subcontractor rule”; or iv for joint venture protests,',
11701:'the protester presents evidence that the managing sdvosb joint venture partner does not meet the requirements at 13 cfr 128.402.',
11702:'2 assertions that a protested concern is not a servicedisabled veteranowned small business concern, without setting forth specific facts or',
11703:'allegations, will not be considered by oha see 13 cfr 134.1005. e protest by an interested party. 1 an interested',
11704:'partyexcept contractingofficers should see paragraph f1 ofthis section shall submit its protest to the contracting officer— ito bereceived by close',
11705:'of businesson the fifth business dayafter bid opening for sealed bid acquisitions; iito bereceived by close ofbusinesson the fifth businessdayafter',
11706:'receipt of the specialnotification from the contracting officersee 15.503a2 that identifies the apparently successful offeror for negotiatedacquisitions, including— aorders placed',
11707:'undermultipleaward contracts where the contracting officer requested rerepresentation for the order see 13 cfr 134.1004a3ii; and b orders set aside',
11708:'for servicedisabled veteranowned small businesses under multipleaward contracts that are not partially or totally set aside or reserved for servicedisabled',
11709:'veteranowned small business concerns see 13 cfr 134.1004a3i, except for orders and blanket purchase agreements placed under a federal supply',
11710:'schedule contract see 8.405 and 19.302d5; iii to be received byclose ofbusiness on the fifthbusinessday after notification bythe contracting officerof',
11711:'the intended awardee for an order that is set aside for sdvosbs under a multipleaward contract that was not totally',
11712:'or partially set aside or reserved for sdvosb concerns. this paragraph e1iii does not apply to an order issued under',
11713:'a federal supply schedule fss contract; iv to be received by theclose ofthe fifth business day after notification by the',
11714:'contracting officer ofthe intended awardee for a blanket purchase agreement that is set aside for sdvosbs under a multipleaward contract',
11715:'that was not totally or partially set aside or reserved for sdvosb concerns. this paragraph e1iv does not apply to',
11716:'a blanket purchase agreement issued under a fss contract; or v to be received by the close ofbusinesson the fifth',
11717:'businessdayafter receipt of notification using other communication means when written notification is not required. 2 any protest receivedafter the designated',
11718:'time limits is untimely, except— ithe va orsba mayfile ansdvosb statusprotest at any time;and iithe contracting officer, sba, or va',
11719:'may file an sdvosb status protest atany time afterthe apparentawardee has been identified or after bid opening, whichever applies. subpart',
11720:'19.3 determination of small business size and status for small business programs 19.308 f forwarding protests to sba.1the contracting officer',
11721:'shall forward allprotests to theu.s. smallbusiness administration, office of hearings andappeals, 409 third street, sw, washington, dc 20416, orby email',
11722:'at ohafilings@sba.gov, marked “attn:sdvosb status protest”. 2 the protest shall includea referral letter written by the contracting officer with information',
11723:'pertaining to the solicitation. the referral letter must include the following information to allow oha to determine timeliness and standing:',
11724:'i the solicitation number or an electronic link to or a paper copy of the solicitation. iithe name, address, telephonenumber,',
11725:'and email addressof the contractingofficer. iii whether the contract was solesource or setaside. iv whetherthe protestor submitted anoffer. v whetherthe',
11726:'protested concern was the apparentsuccessfulofferor. vi when the protested concern submitted its initial offer that included price. vii whether the',
11727:'acquisition was conducted using sealed bid or negotiated procedures. viii the bid opening date, if applicable. ix the date the',
11728:'contractingofficer received the protest. x the date the protestor received notification about theapparent successful offeror, if applicable. xi whether a',
11729:'contract has been awarded. g notification by oha. oha will notify theprotester, the protested concern, sba’s director ofgovernmentcontracting d/gc, sba',
11730:'counsel,and the contracting officerof the date oha received the protest. h before oha decision. 1after receivinga protest involving the apparent',
11731:'successful offerors status as an sdvosb concern, the contracting officer shall either iwithholdaward of thecontract until oha determines thestatus of',
11732:'the protested concern; or iiawardthe contract after receipt ofthe protest but before ohaissues its decision ifthe contracting officer determines in',
11733:'writing thatan award must be madeto protect thepublic interest. the contractingofficer shall notify oha and sba d/gc in writing of',
11734:'the determination and a copy shall be included in the contract file. 2 oha will determine the merits of the',
11735:'status protest. 3 oha does not have a standard timeline for issuing decisions. i after oha decision. oha will notify',
11736:'thecontracting officer,the protester,and the protested concernof its decision. the decisionis effective immediately and is final. 1 if the contracting officer',
11737:'has withheld contract award andoha has determined thatthe protested concern is an eligible sdvosb or dismissed all protests against the',
11738:'protested concern, thenthe contracting officermay award the contract to the protested concern. 2 if the contracting officer has withheld contract',
11739:'award, and oha hassustained the protest and determined that the concern is not an sdvosb, then the contracting officer shall',
11740:'not award the contract to the protested concern. 3 if the contracting officer has made a writtendetermination in accordance with',
11741:'paragraph h1ii of this section, the contract has been awarded, and the oha decision to sustain the protest is received',
11742:'after award ithe contracting officer shall terminate the contract, unless the contracting officer has made a written determination that termination',
11743:'isnot in the best interests of the government. however, the contracting officer shall not exercise any options or award further',
11744:'task or delivery orders; iithe contracting officer shall update fpds toreflect the final oha decision; and iii the concern must',
11745:'removeits designationin the system for awardmanagement sam as ansdvosb concern within 2 days of the oha decision. sba will update',
11746:'the concern’s sdvosbstatus insam if the concernfailsto do so. the concern shall not submit an offer as a sdvosb concern',
11747:'or an sdvosb concern eligibleunder thesdvosb program, untilthe concern is designatedas an sdvosbby sbain the sbaveteransmallbusinesscertification programdatabase at https://veterans.certify.sba.gov. 4',
11748:'a concern found to be ineligible may not submit future offers as ansdvosb concern until the concern is designated as',
11749:'an sdvosb bysba in the sba veteran small business certificationprogram databaseat https:// veterans.certify.sba.gov. 19.308 protesting a firm’s statusas an economicallydisadvantaged',
11750:'womenowned small business concern orwomenowned small business concern eligible under the womenowned small business program. a definition. interestedparty, as usedin',
11751:'this section, hasthe meaninggiven in 13 cfr 127.102. b 1forsolesourceacquisitions,thecontractingofficerorsbamayprotesttheofferor’sstatusasaneconomically disadvantaged womenowned small business edwosb concern or as a wosb',
11752:'concern eligible under the wosb program. federal acquisition regulation for all other acquisitions, an interested party see 13 cfr 127.102',
11753:'may protest the apparentsuccessfulofferor’s edwosb or wosb status. 2 sba’s protest regulationsare found in subpart f protests at 13 cfr',
11754:'127.600 through 127.605. c protests relating to small business size status are subject to the procedures of 19.302. an interested',
11755:'party seeking to protestboth the small business size and wosb or edwosb status of anapparent successful offerorshallfile two separate protests.',
11756:'d all protests shall be in writing and must state all specific grounds for the protest. 1 sba will consider',
11757:'protests challenging the status of a concern if i the protest presents evidence that the concern is not at least',
11758:'51 percent owned and controlled by one or more women who are united states citizens; ii the protest presents evidence',
11759:'that the concern is not at least 51 percent owned and controlled by one or more economically disadvantaged women who',
11760:'are united states citizens, when it is in connection with an edwosb contract; or iii for wosb or edwosb setaside',
11761:'or solesource service contracts or orders, the protest presents evidence that the prime contractor is unduly reliant on a small',
11762:'entity subcontractor that is not a similarlysituated entity as defined in 13 cfr 125.1, or a protest alleging that such',
11763:'subcontractor is performing the primary and vital requirements of a setaside or solesource wosb or edwosb contract. for allegations that',
11764:'the prime contractor is unduly reliant on an otherthansmall subcontractor, see size protests at19.302, and 13 cfr 121.103h2, which treats',
11765:'the pair as joint venturers for size determination purposes the “ostensible subcontractor rule”. 2 assertions that a protested concern is',
11766:'not an edwosb or wosb concern eligible under the wosb program, without setting forth specific facts or allegations, will not',
11767:'be considered by sba see 13 cfr 127.603a. e protest by an interested party. 1anofferorshallsubmititsprotesttothecontractingofficer— ito bereceived by the close',
11768:'of business by the fifth business day after bidopening for sealed bid acquisitions; iito bereceived by the close of business',
11769:'by the fifth business day after receiptof the special notificationfrom the contracting officersee 15.503a2 that identifies the apparently successful offeror',
11770:'for negotiatedacquisitions including— aorders placed undermultipleaward contracts where the contracting officer requested rerepresentation for the order see 13 cfr 127.603c1;',
11771:'and b orders set aside for edwosb or wosb concerns under multipleaward contracts that are not partially or totally set',
11772:'aside or reserved for edwosb or wosb concerns see 13 cfr 127.603c1, except for orders and blanket purchase agreements placed',
11773:'under a federal supply schedule contract see 8.405 and 19.302d5; or iii to be received bythe close of business on',
11774:'the fifth business day after receiptof notification using other communication means when written notification is not required. 2 any protest',
11775:'receivedafter the designated time limit is untimely, unless it isfrom the contracting officer orsba. f 1thecontractingofficershallforwardallproteststosba. theprotestsaretobesubmittedtosbasdirectorfor government contracting by',
11776:'email at wosbprotest@sba.gov . 2 the protest shall includea referral letter written by the contracting officer with information pertaining to',
11777:'the solicitation. the referral letter must include the following information to allow sba to determine timeliness and standing: i the',
11778:'solicitation number or electronic link to or a paper copy of the solicitation. iithe name, address, telephonenumber, email address, and',
11779:'facsimile number of the contracting officer. iii whether theprotestor submittedan offer. iv whetherthe protested concern was the apparent successful offeror.',
11780:'v when the protested concernsubmitted its offer. vi whether the acquisition was conducted using sealed bid or negotiated procedures. vii',
11781:'the bid opening date, if applicable. viii thedate thecontracting officer receivedthe protest. ix the date the protestor received notification about',
11782:'the apparent successful offeror, if applicable. x whether a contract has been awarded. g sba will notify the protesterandthe contracting',
11783:'officerof the date sbareceived the protest. h before sba decision. 1 after receiving a protest involving the apparent successful offeror’s',
11784:'status as an edwosb or wosbconcern eligible under the wosbprogram, thecontracting officer shall either iwithholdaward of thecontract until sbadeterminesthe statusof',
11785:'the protested concern; or iiawardthe contract after receipt ofthe protest but before sba issues its decision if thecontracting officer determines',
11786:'in writing that an award must be made to protect the public interest. subpart 19.3 determination of small business size',
11787:'and status for small business programs 19.308 2 sba will determine the merits of the status protest within 15 business',
11788:'days after receipt of a protest, or within any extension of that timegranted by the contracting officer. 3 if sba',
11789:'does not issue its determination within 15 business days, or within any extension of time granted, the contracting officermay award',
11790:'the contract afterdeterminingin writingthat there isan immediate need toaward the contract and that waiting until sba makes its determination will',
11791:'be disadvantageous to the government. this determination shall be provided to the sba director for government contracting and a copy',
11792:'shall be included in the contract file. i after sba decision. sba will notify the contractingofficer, the protester, and the',
11793:'protested concern of its determination. the determination is effective immediately and is finalunlessoverturned on appeal byoha pursuantto 13 cfr part',
11794:'134. 1 if the contracting officer has withheld contract award andsba has denied or dismissed the protest, the contracting officer',
11795:'may award the contract tothe protested concern. ifoha subsequentlyoverturns thesba directorforgovernment contracting’sdeterminationor dismissal, the contracting officer may apply the oha',
11796:'decision to the procurement inquestion. 2 if the contracting officer has withheld contract award, sba has sustainedthe protestanddetermined that the',
11797:'concern is not eligible under the wosb program, and nooha appeal has been filed, then thecontracting officer shall not award',
11798:'the contract to the protested concern. 3 if the contracting officer has made a writtendetermination in accordance with h1ii or',
11799:'h3 of this section, awarded the contract, and sba’s ruling isreceived after award,andno oha appeal has been filed, then ithe',
11800:'contracting officer shall terminate the contract, unless the contracting officer has made a written determination that termination isnot in the',
11801:'best interests of the government. however, the contracting officer shall not exercise any options or award further task or delivery',
11802:'orders; iithe contracting officer shall update thefpdsto reflect the final sba decision; and iii sba will remove the concerns designation',
11803:'in the dynamic small business search dsbs as an edwosb or wosbconcern eligible under the wosbprogram. the concern shall not',
11804:'submit an offer as anedwosb concern orwosb concern eligible under the wosb program, until sba issues a decision that the',
11805:'ineligibility is resolved. 4 if the contracting officer has made a writtendetermination in accordance with h1ii or h3 of this',
11806:'section, contract award has occurred, sba has sustained the protest and determined that the concern is not eligible under the',
11807:'wosb program,and a timely oha appeal has been filed, then the contracting officer shall consider whether performance can be suspended',
11808:'until an oha decision is rendered. 5 if oha affirmsthe sba director for government contracting’sdeterminationfinding theprotestedconcern is ineligible, then ithe',
11809:'contracting officer shall terminate the contract, unless the contracting officer has made a written determination that termination isnot in the',
11810:'best interests of the government. however, the contracting officer shall not exercise any options or award further task or delivery',
11811:'orders; iithe contracting officer shall update thefpdsto reflect oha’s decision; and iii sba will remove the concerns designation in dsbs',
11812:'as an edwosb or wosb concern eligible under the wosbprogram. the concernshallnot submit an offer as anedwosb concern orwosb concern',
11813:'eligibleunder thewosb program, until sba issues a decision that the ineligibility is resolved or oha finds the concern is eligible',
11814:'on appeal. j appeals of edwosb or wosb concerns eligible under the wosb program status determinations. 1 the protested edwosbconcern',
11815:'or wosbconcern eligible under the wosbprogram, the protester,or the contractingofficer may filean appeal of a wosb or edwosb status protest',
11816:'determination with oha. 2 oha must receive the appeal no later than 10 business days after the date of receipt',
11817:'of the protest determination. sba will dismiss an untimely appeal. 3 see subpart g rulesof practiceforappeals fromwomenownedsmallbusinessconcerns wosb and economically',
11818:'disadvantaged wosb concern edwosb protests at 13 cfr 134.701 through 134.715 for sba’s appeals regulations. k the appeal must be',
11819:'in writing. the appeal must identify the protest determination being appealed and must set forth a full and specific statement',
11820:'as to why the edwosb concern or wosb concern eligible under the wosb program protest determination isallegedto bebased on a',
11821:'clear error of fact or law,together with an argument supporting such allegation. l the party appealing the decision must provide',
11822:'notice of the appeal to 1 the contractingofficer; 2 director, office of government contracting, u.s. small businessadministration, byemail at wosbprotest@sba.gov',
11823:'; 3 the protested edwosb concern or wosb concern eligible under the wosb program, or the original protester, as appropriate;',
11824:'and federal acquisition regulation 4 sba’s office ofgeneral counsel, associate general counsel for procurement law, u.s. small business administration, 409',
11825:'thirdstreet, sw., washington,dc 20416, or emailat oplservice@sba.gov. m oha will make its decision within 15 business days of the receipt',
11826:'of the appeal, if practicable. sba will provide a copy of thedecision to the contracting officer, the protester, and theprotestededwosb',
11827:'concern orwosb concern eligible under the wosb program. the oha decision is the final agency decision and is binding on',
11828:'the parties. 19.309 solicitation provisions and contract clauses. a 1 insert the provision at 52.2191, small business program representations, in',
11829:'solicitations exceeding the micro purchase threshold when the contract is for supplies to be delivered or services to be performed',
11830:'in the united states or its outlyingareas, or whenthe contracting officerhas applied this partin accordance with 19.000b1ii. 2 use the',
11831:'provision with its alternate i in solicitations issued by dod, nasa, or the coast guard. 3 use the provision with',
11832:'its alternate ii in solicitations that will result in a multipleaward contract with more than one naics code assigned. this',
11833:'is authorized for solicitations issued after october 1, 2028 see 19.102b. b when contracting by sealed bidding, insert the provision',
11834:'at 52.2192, equal low bids, in solicitations when the contract is for supplies to be delivered or services to be',
11835:'performed in the united states or its outlying areas, or when the contracting officerhas applied this partin accordance with 19.000b1ii.',
11836:'c 1 insert the clause at 52.21928,postawardsmallbusinessprogramrerepresentation,insolicitationsandcontracts exceeding the micropurchase threshold when the contract is for supplies to be delivered',
11837:'or services to be performed in the unitedstates or its outlying areas, or when the contracting officer has applied this',
11838:'part in accordance with 19.000b1ii. 2 use the clause with its alternate i in solicitations and the resulting multipleaward contracts',
11839:'with more than one naics code. this is authorized for solicitations issued after october 1, 2028 see 19.102b. subpart 19.4',
11840:'cooperation with the small business administration 19.403 subpart 19.4 cooperation with the small business administration 19.401general. a the small business',
11841:'act is the authority under which the small business administration sba and agencies consult and cooperate with each other in',
11842:'formulating policies to ensure that small business interests will be recognized and protected. b the directorof the office of small',
11843:'anddisadvantaged business utilization servesas the agency focal point for interfacing with sba. the director ofthe office of small business programs',
11844:'isthe agency focal point for the department of defense. 19.402 smallbusiness administrationprocurement center representatives. a 1 the sba may assign',
11845:'one or more procurement center representatives pcrs to any contracting activity or contract administrationoffice tocarry out sbapolicies and programs. assigned',
11846:'sba pcrs are required to complywith the contracting agencys directives governing the conduct of contracting personnel and the release of',
11847:'contract information. the sba must obtainforits pcrssecurity clearances required bythe contracting agency. 2 if an sba pcr is not assigned',
11848:'tothe procuring activity or contract administration office, contact the sbaoffice of government contracting areaofficeservingthe area in which the procuring activity',
11849:'is located for assistance in carryingout sba policies and programs. see https://www.sba.gov/federalcontracting/counselinghelp/procurementcenterrepresentativedirectory for the location of thesba office servicing the',
11850:'activity. b upon their request and subject to applicable acquisition and security regulations, contracting officersshallgive sba pcrs or, if apcr',
11851:'is not assigned, see paragrapha of this sectionaccess to all reasonably obtainable contract information that is directly pertinent to theirofficial',
11852:'duties. c the duties assigned by sba to its pcr are set forth at 13 cfr 125.2b and include but',
11853:'are not limited to the following: 1 reviewing proposed acquisitions to recommend– i the setaside or solesource award to a',
11854:'small business of selected acquisitions; ii new qualified small business sources, including veteranowned small, servicedisabled veteranowned small, hubzone small, small',
11855:'disadvantaged, economically disadvantaged womenowned small, and womenowned small eligible underthe womenowned small business program; iii breakout of discrete components, items,',
11856:'and requirements for competitive acquisitions; and iv ways toimprove competition. 2 reviewing proposed acquisition packages provided in accordance with 19.2021e.',
11857:'if the sba procurement center representative or, if aprocurement center representative is not assigned, see paragraph a of this sectionbelieves',
11858:'that the acquisition, as proposed, makes it unlikely that small businesses can compete for the prime contract, the representative shall',
11859:'recommend any alternate contracting method that the representative reasonably believes will increase small business prime contracting opportunities. the recommendation shall',
11860:'be made to thecontracting officer within15 days after receiptof the package. 3 recommending concerns for inclusion on a list of',
11861:'concerns to be solicited in a specific acquisition. 4 appealing to the chief of the contracting office anycontracting officer’sdetermination not',
11862:'tosolicit a concern recommended by the sba for a particular acquisition, when not doing so results in no small business',
11863:'being solicited. 5 conducting periodic reviews of the contracting activity to which assigned to ascertain whether it is complying with',
11864:'the small business policies in this regulation. 6 sponsoring and participating in conferences and training designed to increase small business',
11865:'participation in the contracting activities of the office. 7 appealing acontracting officers rejection ofpcrs recommendation. suchappealmust be in writing and',
11866:'shall be filed and processed in accordance with the appeal procedures set out in 19.5028. 19.403[reserved]. this page intentionally left',
11867:'blank. 19.42 subpart 19.5 small business total setasides, partial setasides, and reserves 19.5022 subpart 19.5 small business total setasides, partial',
11868:'setasides, and reserves 19.501general. a 1 the purpose of small business setasides is to award certain acquisitions exclusively to small',
11869:'business concerns. a setaside for small business is the limiting of an acquisition exclusively for participation by small business concerns.',
11870:'a small business setaside may be open to any of the small business concerns identified at 19.000a3. a small business',
11871:'set aside of a single acquisition or a class of acquisitions may be total or partial. 2 the purpose of',
11872:'small business reserves is to award one or more multipleaward contracts to any of the small business concerns identified at',
11873:'19.000a3, under a full and open competition. a small business reserve shall not be used when the acquisition can be',
11874:'set aside, in total or in part. b the contractingofficer makes the determination to makea small business setaside, in totalor',
11875:'in part, or a reserve. the small business administration sba procurement center representativepcr or, if a pcr isnot assigned, see',
11876:'19.402a may make a recommendation to the contracting officer. c thecontracting officer shall review acquisitions to determine if they can',
11877:'beset aside,in total or inpart, or reserved for small business, giving consideration to the recommendations of agency personnel in the',
11878:'office ofsmallanddisadvantaged business utilization,or for the department of defense, in the office of small business programs. agencies mayestablish threshold levels',
11879:'for this review depending upon their needs. d at the request of ansba pcror, if apcr is not assigned, see',
11880:'19.402a, the contractingofficer shall make available for review at the contracting office to the extent of the sba representatives security',
11881:'clearance any proposed acquisition in excess of the micropurchase threshold. e all solicitations involving setasides, in total or in part,',
11882:'or reserves shall specify the naics codes and corresponding size standards see 19.102. f except as authorized bylaw, a contract',
11883:'may not beawarded asa result of a small business setaside if the cost to the awarding agency exceeds the fair',
11884:'market price. g for the applicability of the limitations on subcontracting and the nonmanufacturer rule, see 19.505. 19.502setting aside acquisitions.',
11885:'19.5021requirements forsetting asideacquisitions. a thecontracting officer shall set aside anindividual acquisition or class of acquisitionsforcompetition amongsmall businesses when 1 it',
11886:'is determined to be in the interest of maintaining or mobilizingthe nation’s fullproductive capacity, waror national defense programs; or 2',
11887:'assuring that a fair proportion of government contracts in each industry is placed with small business concerns; and the circumstances',
11888:'described in 19.5022 or 19.5023a exist. b the requirement in paragraph a of this section does not apply to purchases',
11889:'at or below the micropurchase threshold, or purchases from required sources under part 8e.g., committee for purchase from people who',
11890:'are blind or severely disabled. 19.5022total small business setasides. a before setting aside an acquisition under this paragraph, refer to',
11891:'19.203b. each acquisition of supplies or services that has an anticipated dollar value above the micropurchase threshold, but not over',
11892:'the simplified acquisition threshold, shall beset asideforsmall business unless the contractingofficer determines there is not a reasonable expectation ofobtaining offers',
11893:'from two or more responsible smallbusinessconcerns that are competitive interms offair market prices, quality, and delivery. ifthe contracting officer receives',
11894:'only one acceptable offer froma responsible smallbusinessconcern inresponse to a setaside, the contracting officer should make an award tothat firm.',
11895:'if the contracting officer receives no acceptable offers from responsiblesmallbusiness concerns, the setaside shall be withdrawn and the requirement,if still',
11896:'valid, shall be resolicited on an unrestricted basis. the small business setaside does not preclude the award of a contract',
11897:'as described in 19.203. b before setting aside an acquisition under this paragraph, refer to 19.203c. the contracting officer shall',
11898:'set aside any acquisition over the simplified acquisition threshold for small business participation when there is a reasonable expectation that',
11899:'1 offers will be obtained from at least two responsible small business concerns; and 19.5023 federal acquisition regulation 2 award',
11900:'will be made atfair market prices. total small business setasidesshallnot be made unless such areasonable expectation exists see 19.5023 for',
11901:'partial setasides. although past acquisition history and market research of an item or similar items are always important, these are',
11902:'not the only factors to be considered in determining whether a reasonable expectation exists. in making research and development small',
11903:'business setasides, there must also be a reasonable expectation of obtaining from small businesses the best scientific and technological sources',
11904:'consistent with the demands of the proposed acquisition for the best mix of cost, performances, and schedules. 19.5023 partial setasides',
11905:'of contracts other than multipleaward contracts. a thecontracting officer shall set aside a portion orportions ofan acquisition, except for construction,',
11906:'for exclusive small business participation when— 1 market research indicates that a total setaside is not appropriate see 19.5022; 2',
11907:'the requirement can be divided into distinct portions; 3 the acquisition is not subject to simplified acquisition procedures; 4 two',
11908:'or more responsible small business concerns are reasonably expectedto submitoffers on the setaside portion or portions of the acquisition thatare',
11909:'competitive in terms of fairmarketprices, quality, anddelivery; 5 the specific program eligibility requirements identified in this part apply; and 6',
11910:'the solicitation will result in a contract other than a multipleaward contract see 2.101 for definition of multiple award contract.',
11911:'b when the contractingofficer determines that a requirement is to be partially set aside, the solicitation shall identify which portion',
11912:'or portions are set aside and not set aside. c thecontracting officer shall specify in the solicitation how offers shall',
11913:'be submitted with regard to the setaside and nonsetaside portions. d offers received fromconcerns that do not qualify as small',
11914:'business concerns shall beconsidered nonresponsive and shall berejectedon the setaside portion of partial setasides. however, beforerejectingan offer otherwiseeligible for award',
11915:'because of questions concerning the size representation, an sba determination must be obtained see subpart 19.3. 19.5024 partial setasides of',
11916:'multipleaward contracts. a in accordance with section 1331 of the small business jobs act of 2010 15 u.s.c. 644r1, contracting',
11917:'officers may, attheir discretion, set aside a portion or portions of a multipleawardcontract, except for construction, for anyof the small',
11918:'business concerns identified at 19.000a3 when— 1 market research indicates that a total setaside is not appropriate see 19.5022; 2',
11919:'the requirement can be divided into distinct portions; 3 the acquisition is not subject to simplified acquisition procedures; 4 two',
11920:'or more responsible small business concerns are reasonably expectedto submitan offer on the setaside portionor portionsof the acquisition that are',
11921:'competitive in terms of fair market prices, quality, and delivery;and 5 the specific program eligibility requirements identified in this part',
11922:'apply. b when the contractingofficer determines that a requirement is to be partially set aside, the solicitation shall identify which',
11923:'portion or portions are set aside and not set aside. c thecontracting officer shall specify in the solicitation how offers',
11924:'shall be submitted with regard to the setaside and nonsetaside portions. d offers received fromconcerns that do not qualify as',
11925:'small business concerns shall beconsidered nonresponsive and shall berejectedon the setaside portion of partial setasides. however, beforerejectingan offer otherwiseeligible for',
11926:'award because of questions concerning the size representation, an sba determination must be obtained see subpart 19.3. 19.5025insufficient reasons for',
11927:'not settingaside an acquisition. none ofthe following is, initself,sufficient cause for not setting aside an acquisition: a a large percentage',
11928:'ofprevious contracts for the required items hasbeenplacedwith smallbusinessconcerns. b the item is onan establishedplanning list under the industrial readinessplanningprogram. however,a',
11929:'total small business setaside shall not be made when the list contains a large business planned emergency producer of the',
11930:'items who has conveyed a desire to supply some or all of the required items. c theitem ison aqualified products',
11931:'list. however, a total small business setaside shall notbe made if the list contains theproducts oflarge businessesunlessnone ofthe large businesses',
11932:'desire to participate in the acquisition. subpart 19.5 small business total setasides, partial setasides, and reserves 19.5028 d a period',
11933:'of lessthan 30 days is available for receipt of offers. e the acquisition is classified. f small business concerns are',
11934:'already receiving a fair proportion ofthe agency’s contracts for supplies and services. g a class small business setaside of theitem',
11935:'orservice has been made by anothercontracting activity. h a brand name or equal product description will be used in the',
11936:'solicitation. 19.5026 setting aside a class of acquisitions for small business. a a class of acquisitions of selected products or',
11937:'services, or a portion of the acquisitions, may be set aside for exclusive participation by small business concerns if individual',
11938:'acquisitions in the class will meet the criteria in 19.5021, 19.5022, or 19.5023a. the determination to make a class small',
11939:'business setaside shall not depend on the existence of a current acquisition if future acquisitions can be clearly foreseen. b',
11940:'the determination to set aside a class of acquisitions for small business may be either unilateral or joint. c each',
11941:'class small business setaside determination shall be in writing and must 1 specifically identify the products and services it covers;',
11942:'2 provide that the setaside does not apply to any acquisition automatically set aside under 19.5022a. 3 provide thatthe setaside',
11943:'applies onlyto the named contracting officesmaking thedetermination; and 4 provide that the setaside does not apply to any individual acquisition',
11944:'if the requirement is not severable into two or more economic production runs or reasonable lots, in the case of',
11945:'a partial class setaside. d the contractingofficer shall review each individual acquisition arising under aclass small business setaside to identify',
11946:'any changes in the magnitude of requirements, specifications, delivery requirements, or competitive market conditions that have occurred since the initial',
11947:'approval of the class setaside. if there are any changes of such a material nature as to result in probable',
11948:'payment of more than a fair market price by the government or in a change in the capability of small',
11949:'businessconcerns to satisfy therequirements, the contractingofficer may withdraw or modify see 19.5029a the unilateral or joint setaside by givingwritten notice',
11950:'to the sba pcr or, ifa pcris not assigned,see 19.402a stating the reasons. 19.5027 inclusion of federal prison industries, inc.',
11951:'when using competitive procedures in accordance with 8.602a4, agencies shall include federal prison industries, inc. fpi, in the solicitation process',
11952:'and consider a timely offer from fpi. 19.5028rejecting small businessadministration recommendations. a if the contracting officerrejectsa recommendationof the sba, writtennotice',
11953:'shall be furnishedto theappropriate sba representativewithin 5working daysof the contractingofficers receipt ofthe recommendation. b the sba pcr or, ifa pcr',
11954:'is not assigned, see 19.402a may appeal the contractingofficers rejection to the head of the contracting activity within 2 working',
11955:'days after receiving the notice except see 19.1305d, 19.1405e, and 19.1505i. the head of the contracting activity shall render a',
11956:'decision in writing, and provide it to the sba representative within 7 workingdays. pending issuanceof adecision to the sba representative,',
11957:'the contracting officer shall suspend actionon the acquisition. c if the head of the contracting activityagrees thatthe contracting officer’s rejection',
11958:'was appropriate 1 within 2 working days, thesba procurement center representative or, if aprocurement center representative is not assigned, see',
11959:'19.402a may request the contracting officer to suspend action on the acquisition until the sbaadministrator appeals to the agency head',
11960:'see paragraph f of this section; and 2 the sba must be allowed 15 working days after making such a',
11961:'written request, within which the administrator of sba– i may appeal to the secretary of the department concerned; and iimust',
11962:'notify the contracting officer whether the further appeal has, infact, been taken. if notificationis not received by the contracting officer',
11963:'within the 15day period,itis deemedthat thesba request to suspendthe contract action has been withdrawn and that an appeal to the',
11964:'secretary was not taken. d when the contractingofficer hasbeennotified within the 15dayperiod that the sba has appealed to theagency head,',
11965:'the head of the contracting activity or designee shall forward justification for its decision to the agency head. the contracting',
11966:'officershallsuspend contractaction until notification is received that the sbaappealhas been settled. e the agency head shall reply to the sba',
11967:'within 30 working days after receiving the appeal. the decision of the agency head shall be final. 19.5029 federal acquisition',
11968:'regulation f a request to suspend action onan acquisition need not be honoredif the contracting officer determines that proceeding to',
11969:'contractaward and performance is in the public interest. thecontracting officer shall include in the contract file a statement of the',
11970:'facts justifying the determination, and shall promptly notify the sba representative of the determination and provide a copy of the',
11971:'justification. 19.5029withdrawingor modifying small business setasides. a if,before award ofa contract involving a totalor partial small business setaside, the contracting',
11972:'officer considers that award would be detrimentalto the publicinterest e.g., paymentof more than afair market price,the contracting officermay withdraw the',
11973:'small business setaside, whether it was unilateral orjoint. the contracting officer shall initiate a withdrawal of an individual total or',
11974:'partial small business setaside, by giving written notice to the agency small business specialist and the sba pcr or,if a',
11975:'pcr isnot assigned, see 19.402a stating the reasons. in a similar manner, thecontracting officer may modify a unilateral or joint',
11976:'class small business setaside to withdraw one or more individual acquisitions. b if the agency small business specialist does not',
11977:'agree to a withdrawal or modification, the case shall be promptly referred to the sba pcr or, ifa pcris not',
11978:'assigned,see 19.402a for review. c thecontracting officer shall prepare a written statement supportingany withdrawal or modification of a smallbusiness setaside',
11979:'and include it in the contract file. 19.50210 automatic dissolution of a small business setaside. a if a small business',
11980:'setaside acquisition or portion of an acquisition is not awarded, the unilateral or joint determination to set the acquisition aside',
11981:'is automatically dissolved for the unawarded portion of the setaside. the required supplies and/or services for which no award was',
11982:'made may be acquired by sealed bidding or negotiation, as appropriate. b before issuing a solicitation for the items called',
11983:'for in a small business setaside that was dissolved, the contracting officer shall ensure that thedelivery schedule isrealisticin the light',
11984:'of all relevant factors, includingthe capabilities of small business concerns. 19.50211solicitation notice regarding administrationof change orders forconstruction. see 36.211 for',
11985:'therequirementto provide a notice to offerors regarding definitization ofequitable adjustments for change orders under construction contracts. 19.503reserves. a in accordance',
11986:'with section 1331 of the small business jobs act of 2010 15 u.s.c. 644r3 and 13 cfr 125.2e4, contracting officers',
11987:'may,at their discretion when conducting multipleaward procurements usingfull and open competition, reserve one or more contract awards for any of',
11988:'the small business concerns identified in 19.000a3, when market research indicates— 1 a total setaside is not feasible because there',
11989:'is no reasonableexpectation of receiving offers that are competitive in terms of fair market prices, quality, and delivery from atleast',
11990:'tworesponsiblesmall business concernsidentified in 19.000a 3, that can perform the entire requirement; and 2 a partial setaside is not feasible',
11991:'because— ithe contracting officer isunable to divide the requirement intodistinct portions; or ii there is no reasonable expectation that at',
11992:'least two responsible small business concerns identified in 19.000a 3 can performanyportion of the requirement competitively in termsof fair market',
11993:'price, quality,anddelivery. b a reserve will result in one of the following: 1 one or more contract awards to any',
11994:'one or more types of small business concerns identified in 19.000a3. 2 in the case of a solicitation of a',
11995:'bundled requirement that will result in a multipleaward contract, an award to one or more small businesseswith a small business',
11996:'teaming arrangement. c thespecific program eligibilityrequirements identified in this partapply. d the limitations on subcontracting and the nonmanufacturer rule see',
11997:'19.505 do not apply to reserves at the contract level, but shall apply to orders that are set aside or',
11998:'issued directly to one small business concern under 19.504c1ii. 19.504orders under multipleaward contracts. a general. in accordance with section 1331',
11999:'of the small business jobs act of 2010 15 u.s.c. 644r2, contracting officers may, at theirdiscretion, set asideordersplacedunder multipleaward contractsforany',
12000:'of the smallbusinessconcerns identified in 19.000a3. subpart 19.5 small business total setasides, partial setasides, and reserves 19.505 1 the contractingofficer',
12001:'shall state inthe solicitation and resulting contract whether order setasides will be discretionary or mandatory when the conditions in 19.5022',
12002:'are met at the time of order setaside, and the specific program eligibility requirements, as applicable, are also then met.',
12003:'2 when settingaside an order at or below the simplifiedacquisition threshold, the contracting officer may setaside the order for any',
12004:'of the small business concerns identified in 19.000a3. 3 when settingaside an order above thesimplified acquisition threshold,the contracting officer shall',
12005:'first consider setting aside the order for the small business socioeconomic contracting programs i.e., 8a, hubzone, servicedisabled veteranowned small business,',
12006:'and womenowned small business before considering a small business setaside. 4 the contractingofficer shall comply with the specific program eligibilityrequirements',
12007:'identified in this part in addition to the ordering procedures for a multipleaward contract for orders placed under the federal',
12008:'supply schedules program, see 8.4055; for orders placed under all other multipleaward contracts, see 16.505. b orders under setaside contracts—',
12009:'1 orders under total setaside contracts. under a total small business setaside, contracting officers may at their discretion setaside orders',
12010:'for anyof the small business socioeconomicconcerns identified in 19.000a3 provided that the requirements at paragraph a of this section, 19.5022b,',
12011:'and the specific program eligibility requirements are met. 2 orders under partial setaside contracts. i only small business concerns awarded',
12012:'contracts for the portions that were set aside under the solicitation for the multipleaward contract may compete for orders issued',
12013:'under those portions. ii small business awardees may compete against other than small business awardees for an order issued under',
12014:'the portion of the multipleaward contract that was not set aside, if the small business received a contract award for',
12015:'the nonsetaside portion. c orders under reserves. 1 the contractingofficer may— i set aside orders for any of the small',
12016:'business concerns identified in 19.000a3 when there are two or more contract awards for that type of small business concern;',
12017:'or ii issue orders directly to one small business concern for work that it can perform when there is only',
12018:'one contract award to any one type of small business concern identified in 19.000a3. 2 small business awardees may compete',
12019:'against other than small business awardees for an order that is not set aside if the small business received a',
12020:'contract award for the supplies or services being ordered. 19.505 limitations onsubcontracting andnonmanufacturer rule. a applicability. 1 this section applies',
12021:'to small business setasides above the simplified acquisition threshold and orders issued directly to a small business in accordance with',
12022:'19.504c1ii above the simplified acquisition threshold. 2 this section applies, regardless of dollar value, to the following awards under subparts',
12023:'19.8, 19.13, 19.14, and 19.15: i contracts that are set aside. ii contracts that are awarded on a solesource basis.',
12024:'iii orders that are setaside as described in 8.4055 and 16.505b2if. iv orders that are issued directly in accordance with',
12025:'19.504c1ii. v contracts that use the hubzone price evaluation preference to award to a hubzone small business concern unless the',
12026:'concern waived the evaluation preference. b 1 limitations on subcontracting. a small business concern subject to the limitations on subcontracting',
12027:'is required to comply with the following: i for a contract or order assigned a north american industry classification system',
12028:'naics code for services except construction, the concern will not pay more than 50 percent of the amount paid by',
12029:'the government for contract performance to subcontractors that are not similarly situated entities. any work that a similarly situated entity',
12030:'further subcontracts will count towards the concerns 50 percent subcontract amount that cannot be exceeded. when a contract includes both',
12031:'services and supplies, the 50 percent limitation shall apply only to the service portion of the contract. ii for a',
12032:'contract or order assigned a naics code for supplies or products other than a procurement from a nonmanufacturer of such',
12033:'supplies or products, the concern will not pay more than 50 percent of the amount paid by the government for',
12034:'contract performance, excluding the cost of materials, to subcontractors that are not similarly situated entities. any work that a similarly',
12035:'situated entity further subcontracts will count towards the concerns 50 percent subcontract amount that cannot be exceeded. when a contract',
12036:'includes both supplies and services, the 50 percent limitation shall apply only to the supply portion of the contract. federal',
12037:'acquisition regulation iii for a contract or order assigned a naics code for general construction, the concern will not pay',
12038:'more than 85 percent of the amount paid by the government for contract performance, excluding the cost of materials, to',
12039:'subcontractors that are not similarly situated entities. any work that a similarly situated entity further subcontracts will count towards the',
12040:'concerns 85 percent subcontract amount that cannot be exceeded. iv for a contract or order assigned a naics code for',
12041:'construction by special trade contractors, the concern will not pay more than 75 percent of the amount paid by the',
12042:'government for contract performance, excluding the cost of materials, to subcontractors that are not similarly situated entities. any work that',
12043:'a similarly situated entity further subcontracts will count towardsthe concern’s 75 percent subcontractamount that cannot be exceeded. 2 compliance period.',
12044:'a small business contractor subject to the limitations on subcontracting is required to comply with the limitations on subcontracting— i',
12045:'for a contract that has been set aside, either by the end of the base term and then by the',
12046:'end of each subsequent option period, or bythe end of the performance period for each order issued under the contract,at',
12047:'the contracting officers discretion; and ii for an order set aside under a contract as described in 19.504a, b, or',
12048:'c1i or an order issued in accordance with 19.504c1ii, by the end of theperformance periodforthe order. c nonmanufacturer rule. the',
12049:'nonmanufacturer rule applies to nonmanufacturers in accordance with paragraph c1 of this section and to kit assemblers who are nonmanufacturers',
12050:'in accordance with paragraph c2 of this section. 1 nonmanufacturers. anyconcern, including a supplier, that is awarded a contract or',
12051:'ordersubject to the nonmanufacturer rule, other than a construction or service acquisition, but proposes to furnish an end item that',
12052:'it did not itself manufacture, process, or produce i.e., a “nonmanufacturer”, is required to— i provide an end item that',
12053:'a small business has manufactured, processed, or produced in the united states or its outlying areas see paragraph c3 of',
12054:'this section for determining the manufacturer of an end item; ii not exceed 500 employees, or 150 employees for information',
12055:'technology valueadded resellers under naics code 541519; iii be primarily engaged in the retail or wholesale trade and normally sell',
12056:'the type of item being supplied; and iv takeownership or possession of theitems with its personnel, equipment, or facilities in',
12057:'a manner consistent with industry practice; for example,providing storage, transportation, or delivery. 2 kit assemblers. when the end item being',
12058:'acquired is a kit of supplies— ithe offeror maynot exceed500 employees, or 150 employees for information technology valueadded resellers under',
12059:'naics code 541519; and ii at least 50 percent of the total cost of the components of the kit shall',
12060:'be manufactured, processed, or produced in the united states or its outlying areas by business concerns that are small under',
12061:'the size standards for the naics codes of the components of the kit. 3 identification of manufacturers. for the purposes',
12062:'ofapplying the nonmanufacturer rule, themanufacturer, processor,or producer is theconcern that manufactures,processes, orproduces an enditem with its own facilities i.e., transforms',
12063:'raw materials, miscellaneous parts, or components into the end item being acquired. see 13 cfr 121.406b2. 4 waiver of nonmanufacturer',
12064:'rule. i the sba may grant an individual or a class waiver to the nonmanufacturer rule to allow a nonmanufacturer',
12065:'to provide an end item of an other than small business without regard to the place of manufacture, processing, or',
12066:'production. a class waiver. an agency may request that sba waive the requirement at paragraph c1i or c2ii of this',
12067:'section for a specific product or class of products. see 13 cfr 121.1202 for an explanation of when sba will',
12068:'issue a class waiver. b individual waiver. the contractingofficer may also request a waiver of the requirements at paragraph c1i',
12069:'or c2ii of this section for an individual acquisition once the contracting officer determines through market research that no known',
12070:'small business manufacturers, processors, or producers in the united states or its outlying areas can reasonably beexpected to offer an',
12071:'end item meeting the requirements of thesolicitation. this type of waiveris knownas an individual waiver and would apply only to',
12072:'a specific acquisition. ii waiver requests. requests for waivers shall include the content specified at 13 cfr 121.1204 and shall',
12073:'be sent via email to nmrwaivers@sba.gov or bymail to the—director, office ofgovernment contracting, small business administration, 409 thirdstreet sw, washington,',
12074:'dc 20416. iii list of class waivers. forthe most current listing ofclass waivers, contact the sba office of government contracting',
12075:'or go to https://www.sba.gov/document/supportnonmanufacturerruleclasswaiverlist. subpart 19.5 small business total setasides, partial setasides, and reserves 19.507 iv notification of waiver. the',
12076:'contracting officer shall provide potential offerors with writtennotification of any class or individual waiver in the solicitation. ifproviding the notification',
12077:'aftersolicitation issuance, the contractingofficer shall provide potential offerors a reasonable amount of additional time torespond to the solicitation. 5 multipleitem',
12078:'acquisitions. i if at least 50 percent of the estimated contract value is composed of items that are manufactured, processed,',
12079:'or produced by small business concerns, then a waiver of the nonmanufacturer rule is not required. there is no requirement',
12080:'that each item acquired in a multipleitem acquisition be manufactured, processed, or produced by a small business in the united',
12081:'states or its outlying areas. ii if more than 50 percent of the estimated acquisition cost is composed of items',
12082:'manufactured, processed, or produced by other than small business concerns, then a waiver is required. sba may grant an individual',
12083:'waiver for one or more items in an acquisition in order to ensure that at least 50 percent of the',
12084:'cost of the items to be supplied by the nonmanufacturer comes from small business manufacturers, processors, and producers in the',
12085:'united states or its outlying areas or aresubject to a waiver. iii if a small business offeroris both amanufacturer of',
12086:'items and a nonmanufacturer ofotheritems for an acquisition, thecontracting officer shall apply the manufacturer size standard. 19.506 documentation requirements. a',
12087:'1thecontractingofficershalldocumenttherationalewhenacontractisnottotallysetasideforsmallbusinessin accordance with 19.5022. 2 the contractingofficer shall document the rationale whena multipleaward contractis not partially set aside, not reserved,',
12088:'and does not allow for setting aside of orders, when these authorities could have been used. b if applicable, the',
12089:'documentation shall include the rationale for not accepting the recommendations made by the agency director ofthe office of small and',
12090:'disadvantaged business utilization, or, for thedepartment ofdefense, the directorof the office of small business programs, or the directors designee, asto',
12091:'whether a particularacquisitionshouldbe awarded under subparts 19.5, 19.8, 19.13, 19.14, or 19.15. c documentation is not required if a contract',
12092:'award is anticipated to a small business under subpart 19.5, 19.8, 19.13, 19.14, or 19.15. 19.507 solicitation provisions and contract',
12093:'clauses. a [reserved] b [reserved] c thecontracting officer shall insert the clause at 52.2196, notice of total small businesssetaside,in solicitations',
12094:'and contracts involving total small business setasides. this includes multipleaward contracts when orders may be set aside for any of',
12095:'the small business concerns identified in 19.000a3, as described in 8.4055 and 16.505b2if. use the clause at 52.2196 with its',
12096:'alternate i when including fpi in the competition in accordance with 19.5027. d the contractingofficer shall insertthe clause at 52.2197,',
12097:'notice of partial small business setaside, in solicitations and contracts involving partial small business setasides. this includes part or parts',
12098:'of multipleaward contracts, including those described in 38.101. use the clause at 52.2197 with its alternate i when including fpi',
12099:'in the competition in accordance with 19.5027. e thecontracting officer shall insert the clause at 52.21914, limitations on subcontracting, in',
12100:'solicitations and contracts— 1 for supplies, services, and construction, if any portion of the requirement is to be set aside',
12101:'for small business and the contract amount is expected to exceed the simplified acquisition threshold, and in any solicitations and',
12102:'contracts that are set aside or awarded on a solesource basis in accordance with subparts 19.8, 19.13, 19.14, or 19.15,',
12103:'regardless of dollar value. this includes multipleaward contracts when orders may be set aside for small business concerns, as described',
12104:'in 8.4055 and 16.505b2if, and when orders may be issued directly to a small business concern as described in 19.504c',
12105:'1ii. for contracts that are set aside, the contracting officer shall indicate in paragraph f of theclause whether compliance with',
12106:'the limitations on subcontracting is required at the contract or order level; 2 using the hubzone price evaluation preference. however,',
12107:'if the prospective contractor waived the useof the price evaluation preference, or is an other than small business, do not',
12108:'insert the clause in the resultant contract. f 1thecontractingofficershallinserttheclauseat 52.21913, notice of setaside of orders, in all solicitations for multipleaward',
12109:'contracts under which orders may be set aside for any of the small business concerns identified in 19.000a 3, and',
12110:'all contracts awarded from such solicitations. federal acquisition regulation 2 the contractingofficer shall insertthe clause at 52.21913 with its alternate',
12111:'i in all full and open solicitations and contracts for multipleaward contracts under which orders will be set aside for',
12112:'any of the small business concerns identified in 19.000a3 if the conditions in 19.5022 are met at the time of',
12113:'order setaside, and the specific program eligibility requirements, as applicable, are also then met. g 1thecontractingofficershallinserttheprovisionat 52.21931, notice of small',
12114:'business reserve, in solicitations for multipleaward contracts that have reserves. 2 the contractingofficer shall insertthe clause at 52.21932 orders issued',
12115:'directly under small business reserves, in solicitations and the resulting multipleaward contracts that have reserves. h 1thecontractingofficershallinserttheclauseat 52.21933, nonmanufacturer rule,',
12116:'in solicitations and contracts, including multipleaward contracts, when orders may be set aside for small business concerns as described in',
12117:'8.4055 and 16.505b2if, and when orders may be issued directly to a small business concern as described in 19.504c1ii, when—',
12118:'i the item being acquired has been assigned a manufacturing or supply naics code, and– ii a any portion of',
12119:'the requirement is to be– 1 set aside for small business and is expected to exceed the simplified acquisition threshold;',
12120:'or 2 set aside or awarded on a solesource basis in accordance with subparts 19.8, 19.13, 19.14, or 19.15, regardless',
12121:'of dollar value; or b using the hubzone price evaluation preference. however, ifthe prospectivecontractor waived theuse of the price evaluation',
12122:'preference, or is an other than small business, do not insert the clause in the resultant contract. 2 the contractingofficer',
12123:'shall not insert the clause at 52.21933 when the small business administration has waived the nonmanufacturer rule see 19.505c4. subpart',
12124:'19.6 certificates of competency and determinations of responsibility 19.6021 subpart 19.6 certificates of competency and determinations of responsibility 19.601general. a',
12125:'a certificate of competency coc is the certificate issued by the small business administration sba stating that theholder isresponsiblewith respect',
12126:'to all elements of responsibility,including, but not limited to, capability,competency, capacity,credit, integrity, perseverance, tenacity, and limitationson subcontractingforthe purposeof receiving and',
12127:'performing a specific government contract. b the coc program empowers the sba to certify to government contracting officers as toallelements',
12128:'of responsibility of any small business concern to receive and perform a specific government contract. the coc program does not',
12129:'extend to questions concerning regulatory requirements imposed and enforced by other federal agencies. c the coc program is applicable to',
12130:'all government acquisitions except for 8a solesource awards. a contracting officer shall, upondetermining an apparentsuccessfulsmallbusiness offeror to be nonresponsible, refer',
12131:'that small business to thesba for a possible coc, even if the next acceptable offer is from a small business.',
12132:'d when asolicitation requires a small business toadhere to the limitations on subcontracting, a contracting officer’s finding that a small',
12133:'business cannot comply with the limitation shall be treated as an element of responsibility and shall be subject to the',
12134:'coc process. when asolicitation requires a small business to adhere to the definition of a nonmanufacturer, a contracting officer’s determination',
12135:'thatthe small business does not complyshallbe processed in accordance with subpart 19.3. e contracting officers,including thoselocatedoverseas, are requiredto comply withthis',
12136:'subpart for u.s. small business concerns. f for the purpose of receiving a coc on an unrestricted acquisition, a small',
12137:'business nonmanufacturer may furnish any end item produced or manufactured in the united states or its outlying areas. 19.602 procedures.',
12138:'19.6021 referral. a upon determining anddocumenting that an apparentsuccessfulsmallbusiness offeror lacks certain elements of responsibility including, but notlimited to,capability, competency,',
12139:'capacity, credit, integrity, perseverance, tenacity, and limitations on subcontracting, but for sureties see 28.1013f and 28.2031e, the contracting officer shall',
12140:'1 withhold contract award see 19.6023; and 2 refer the matterto the cognizant sba government contracting area office area office',
12141:'serving the area in which theheadquarters of theofferor is located, in accordance with agency procedures, except that referral is not',
12142:'necessary if the small business concern i is determined to be unqualified and ineligible because it does not meet the',
12143:'standard in 9.1041g, provided, that thedetermination is approved by the chiefof the contractingoffice; or iiissuspendedordebarredunderexecutiveorder11246or subpart 9.4. b if a',
12144:'partialsetasideis involved, the contracting officer shall refer to the sba the entire quantity to which theconcern may be entitled, if',
12145:'responsible. c the referral shall include 1 a notice that a small business concern has been determined to be nonresponsible,',
12146:'specifying the elements of responsibility the contracting officer found lacking; and 2 if applicable, a copy of the following: i',
12147:'solicitation. iifinaloffer submitted by theconcern whoseresponsibilityis at issue for theprocurement. iii abstractof bids or the contracting officer’s price negotiation memorandum.',
12148:'iv preaward survey. v technical datapackage including drawings, specificationsand statement ofwork. vi any other justification and documentation used to arrive',
12149:'at the nonresponsibility determination. d for any single acquisition, the contracting officer shall make only one referral at atime regarding',
12150:'a determination of nonresponsibility. e contract award shall be withheldby the contractingofficer for a period of 15 businessdays or longerif',
12151:'agreed to by the sbaand the contracting officer following receipt by the appropriate sbaarea office of a referral that includesall',
12152:'required documentation. 19.6022 federal acquisition regulation 19.6022 issuing or denying a certificate of competency coc. within 15 business daysora longer',
12153:'period agreed to by the sba and the contracting agency afterreceiving a notice that a small business concern lacks certain',
12154:'elements of responsibility, the sba area officewill take the following actions: a informthe small business concernof the contractingofficer’s determination andoffer',
12155:'it an opportunityto apply tothe sba for a coc. a concernwishing to applyfora coc should notify thesba area office serving',
12156:'the geographical areain which the headquarters of the offeror is located. b upon timelyreceipt of a completeandacceptable application, electto visit',
12157:'the applicant’s facility to reviewits responsibility. 1 the coc review process isnot limited to the areas of nonresponsibilitycited by the',
12158:'contracting officer. 2 the sba may, at its discretion, independentlyevaluatethe coc applicant for all elements ofresponsibility, but may presume responsibility',
12159:'exists as to elements other than those cited as deficient. c consider denying a coc for reasons ofnonresponsibility not originally',
12160:'cited by thecontracting officer. d when the area director determines that a coc is warranted for contracts valued at $25,000,000',
12161:'or less, notify the contracting officerandprovide the following options: 1 acceptthe area director’sdecision to issue a coc andaward the contract',
12162:'to the concern. thecocissuance letter will then be sent, including as an attachment a detailed rationale for the decision; or',
12163:'2 ask the area director to suspend the case for one or more of the following purposes: ito permit the',
12164:'sbato forwarda detailedrationale for the decision to the contractingofficer for review withina specified period of time. iito afford thecontracting officer',
12165:'the opportunity tomeet with the area office to review all documentation contained in the case file and to attempt to',
12166:'resolve any issues. iii to submit any information to the sba area office that the contractingofficer believes the sbadid not',
12167:'consider atwhich time, the sba area office willestablisha new suspense date mutually agreeableto the contracting officer and the sba. iv',
12168:'to permit resolution of an appeal bythe contracting agency to sba headquarters under 19.6023. however, there isno contracting officer’s appeal',
12169:'when thearea office proposes to issue a coc valuedat $100,000 or less. e at the completion ofthe process, notify the',
12170:'concern and thecontracting officer thatthe coc is denied or is being issued. f refer recommendations for issuing a coc on',
12171:'contracts greater than $25,000,000 to sba headquarters. 19.6023resolving differences between the agency and the small businessadministration. a cocs valued between',
12172:'$100,000 and $25,000,000. 1 when disagreements arise about aconcern’sability toperform, thecontracting officer and thesba shall makeevery effortto reach a resolution',
12173:'before the sbatakes final action on a coc. this shall be done through the complete exchange of information and in',
12174:'accordance with agency procedures. if agreement cannot be reached between thecontracting officer and thesba area office, the contracting officershallrequest that',
12175:'the area office suspend action andrefer the matter to sba headquarters for review. the sba area office shall honor therequest',
12176:'for a review if the contractingofficer agrees to withhold award until the review process is concluded. without an agreement to',
12177:'withhold award, thesba area office will issuethe coc inaccordance withapplicable sba regulations. 2 sba headquarterswill furnish written notice to theprocuring',
12178:'agency’s directorof the, office of small and disadvantaged businessutilization osdbu or, for the department of defense,the director ofthe office of',
12179:'small business programs, or other designated officialwith a copyto the contracting officer that the case filehas been received and that',
12180:'an appeal decision maybe requested by an authorizedofficial. 3 if the contracting agency decides to file an appeal, it must',
12181:'notify sba headquarters through its procuring agency’s director, osdbu, or other designated official, within 10 business daysora time periodagreed upon',
12182:'by both agencies that it intends to appeal the issuance of the coc. 4 the appeal and anysupporting documentation shall',
12183:'be filed by the procuring agency’sdirector, osdbu, or other designated official, within 10 business days or a period agreed upon',
12184:'by both agencies aftersba headquarters receivesthe agency’s notification in accordance with paragraph a3 of this subsection. 5 the sba associate',
12185:'administrator for government contracting will make a final determination, in writing, to issue or to deny the coc. b sba',
12186:'headquarters’ decisions on cocs valued over $25,000,000. 1 prior to taking final action, sba headquarters will contact the contracting agency',
12187:'and offer it thefollowing options: subpart 19.6 certificates of competency and determinations of responsibility 19.6024 ito request that the sba',
12188:'suspendcaseprocessingto allow the agency tomeet with sba headquarters personnel and review all documentation contained in the case file; or iito',
12189:'submit to sba headquarters for evaluation any information that the contractingagency believes hasnot been considered. 2 after reviewing all available',
12190:'information, the sba will make a final decision to either issue or deny the coc. c reconsideration of a coc',
12191:'after issuance. 1 the sba reserves the right to reconsider its issuance of a coc, prior to contract award, if',
12192:'i the coc applicant submitted false information or omitted materially adverse information; or iithe coc has been issued for morethan',
12193:'60 days in which case thesba mayinvestigate the firm’s current circumstances. 2 when the sba reconsiders and reaffirmsthe coc, the',
12194:'proceduresin subsection 19.6022 do not apply. 3 denial of a coc by the sba does not preclude a contracting officerfrom',
12195:'awarding a contractto the referred concern, nor does it prevent the concern from making an offer on any other procurement.',
12196:'19.6024awardingthe contract. a if new information causes the contracting officer to determine that the concern referred tothe sba is actually',
12197:'responsible to perform the contract, and award has not already been made under paragraph c of this subsection, the contracting',
12198:'officershallreverse the determination ofnonresponsibility, notify the sba of thisaction,withdraw the referral, and proceed to award the contract. b the contractingofficer',
12199:'shall award thecontract to the concern in question if thesba issues a coc after receivingthe referral. an sbacertified concern shall',
12200:'notbe required to meet any other requirements of responsibility. sba coc’s are conclusive with respect to all elements of responsibility',
12201:'of prospective small business contractors. where sba issues a coc, thecontracting officer may decide not to award to that offeror',
12202:'for reasonsunrelated to responsibility. c thecontracting officer shall proceed with the acquisition and award thecontract to anotherappropriately selected and responsible',
12203:'offeror if the sba hasnot issued acocwithin 15 business days or a longer period of time agreed to with the',
12204:'sba after receiving the referral. this page intentionally left blank. 19.64 subpart 19.7 the small business subcontracting program 19.702 subpart',
12205:'19.7 the small business subcontracting program 19.701definitions. as used in this subpart alaska native corporation anc meansanyregional corporation, village corporation,',
12206:'urban corporation, or group corporation organized under the laws ofthe state ofalaskain accordance with thealaskanative claims settlement act, as amended',
12207:'43 u.s.c. 1601, et seq. and which is considered a minority and economically disadvantaged concern under the criteria at 43',
12208:'u.s.c. 1626e1. this definition also includes anc direct and indirect subsidiary corporations, joint ventures, and partnerships that meet the requirements',
12209:'of 43 u.s.c. 1626e2. commercial plan means asubcontractingplan including goals that covers the offeror’s fiscal year and that applies to',
12210:'the entire production of commercial products and performance of commercial services sold by either the entire company or a portion',
12211:'thereof e.g., division, plant, or product line. electronic subcontracting reporting system esrs means the governmentwide, electronic, webbased system for small',
12212:'business subcontracting program reporting. failure to make a good faith effort to comply with the subcontracting plan means willful or',
12213:'intentional failure to perform in accordance with the requirements of the subcontracting plan, or willful or intentional action to frustrate',
12214:'the plan. indian tribe means any indiantribe, band, group, pueblo, or community,including native villages and native groups including corporations organized',
12215:'by kenai, juneau, sitka, and kodiak as definedin the alaska native claims settlement act 43 u.s.c.a. 1601 et seq., that',
12216:'is recognized by the federal government as eligible for services from the bureau of indian affairs in accordancewith 25 u.s.c.',
12217:'1452c. this definition also includes indianowned economic enterprises that meet the requirements of 25 u.s.c. 1452e. individual subcontracting plan means',
12218:'a subcontracting plan that covers the entire contract period including option periods, applies to aspecific contract, and has goals that',
12219:'are based on the offeror’s planned subcontracting in support of the specific contract, except that indirect costs incurred for common',
12220:'or joint purposes may be allocated on a prorated basis to the contract. master subcontracting plan means a subcontracting plan',
12221:'that contains all the required elements of an individual subcontracting plan, except goals, and may be incorporated into individual subcontracting',
12222:'plans, provided the master subcontracting plan has been approved. reduced payment means a payment that is for less than the',
12223:'amount agreed upon in a subcontract in accordance with its terms and conditions,forsupplies and services for whichthe government has paid',
12224:'the prime contractor. subcontract means any agreement other than one involving an employeremployee relationship entered into by a government prime',
12225:'contractor or subcontractor calling for supplies and/or services required for performance of the contract, contract modification, or subcontract. total contract',
12226:'dollars means the final anticipated dollar value, including the dollar value of all options. untimely payment means a payment to',
12227:'a subcontractor that is more than 90 days past due under the terms and conditions of a subcontract for supplies',
12228:'andservices for which the government has paid the prime contractor. 19.702 statutory requirements. any contractor receiving a contract with a',
12229:'value greater than the simplified acquisition threshold must agree in the contract that small business, veteranowned small business vosb, servicedisabled',
12230:'veteranowned small business sdvosb, hubzone small business, small disadvantaged business sdb, and womenowned small business wosb concerns will have themaximum',
12231:'practicable opportunity to participate in contract performance consistent with its efficient performance. it is further the policy of the united',
12232:'states that its prime contractors establish procedures to ensure the timely payment of amounts due pursuant to the terms of',
12233:'their subcontracts with small business, vosb concerns, sdvosb concerns, hubzone small business concerns, sdb concerns, and wosb concerns. a 1',
12234:'except as stated in paragraph b of this section, section 8d of the small business act 15 u.s.c. 637 d',
12235:'imposes the following requirements regarding subcontracting with small businesses and small business subcontracting plans: iin negotiated acquisitions,each solicitation of offers',
12236:'to perform a contractthat is expected toexceed $750,000 $1.5million for construction and thathas subcontracting possibilities, shall require the apparently successful',
12237:'offeror to submit anacceptable subcontracting plan. if the apparently successful offeror fails to negotiatea subcontracting plan acceptable tothe contracting officer',
12238:'within thetime limit prescribed by the contractingofficer, the offeror willbe ineligible for award. for a multipleaward contract with more than',
12239:'one north american industry classification system naics code, see paragraph a2i of this section. federal acquisition regulation ii in sealed',
12240:'bidding acquisitions, each invitation for bids to perform a contract that is expected to exceed $750,000 $1.5 million for construction',
12241:'and that has subcontracting possibilities, shall require the bidder selected for award to submit a subcontracting plan. if the selected',
12242:'bidder fails to submit a plan within the time limit prescribedby the contractingofficer, the bidder will be ineligible for award.',
12243:'for a multipleaward contract with more than one naics code, see paragraph a2i of this section. iii each contract modification',
12244:'that causes the value of a contract without a subcontracting plan to exceed $750,000 $1.5 million for construction, shall require',
12245:'the contractor to submit a subcontracting plan for the contract, if the contracting officer determines that subcontracting opportunities exist. fora',
12246:'multipleawardcontract with more than one naics code, see paragraph a2ii of this section. 2 i for a multipleaward contract with',
12247:'more than one naics code, the solicitation referenced in paragraphs a 1i and ii ofthissection shall require the apparently successful',
12248:'offeror tosubmit anacceptable subcontracting planfor either the distinct portions or categoryiesof their proposal for which the offeror isotherthan small or',
12249:'for theentiretyof their proposal, at the offerors discretion. when determining the need for a subcontracting plan, the contracting officer shall',
12250:'consider thecumulative dollar value of the portions orcategoryies of theofferorsproposal for whichthe offeror is other than small. ii for a',
12251:'multipleaward contract with more than one naics code, the modification referenced in paragraph a1 iii of this section shall require',
12252:'the contractor to submit an acceptable subcontracting plan for either the distinct portions or categoryies of the contract for which',
12253:'the contractor is other than small or for the entirety of their contract, at the contractors discretion. when determining the',
12254:'need for a subcontracting plan, thecontracting officer shall consider the cumulative dollar value of the portions or categoryies of the',
12255:'contract for which the contractor is other than small. b subcontracting plans see paragraphs a1 and 2 of this section',
12256:'are not required– 1 from small business concerns; 2 for personal services contracts; 3 for contracts or contract modifications that',
12257:'will be performed entirely outside of the united states and its outlying areas; or 4 for modifications that are within',
12258:'the scope of the contract and the contract does not contain the clause at 52.2198, utilization of small business concerns.',
12259:'c as stated in 15 u.s.c. 637d9, any contractor or subcontractor failing to comply in good faith with the requirements',
12260:'of the subcontracting plan is in material breach of itscontract. further, 15 u.s.c. 637d4f directs thata contractor’s failure to make',
12261:'agood faith effortto comply withthe requirementsof the subcontracting plan shall result in the imposition of liquidated damages. d as authorized',
12262:'by 15 u.s.c. 637d12, certain costs incurred by a mentor firm in providing developmental assistance to a protégé firm under',
12263:'the department of defense mentorprotégé program, may be credited as if they were subcontract awards to a protégé firm for',
12264:'the purpose of determining whether the mentor firm attains the applicable goals under any subcontracting plan entered into with any',
12265:'executive agency. however,the mentorprotégé agreementmust have been approved by thedirector, small business programs of the cognizant dod military department or',
12266:'defense agency, before developmental assistance costs may be credited against subcontract goals. a list of approved agreements may be obtained',
12267:'at https://business.defense.gov/programs/mentorprotegeprogram/. 19.703 eligibility requirements forparticipating in the program. a except as provided in paragraph c of this section, to',
12268:'be eligible as a subcontractor under the program, a concern must represent itself as a small business, veteranowned small business,',
12269:'servicedisabled veteranowned small business, hubzone small business, small disadvantaged business, or womenowned small business concern. 1 to representitself as a',
12270:'small business, veteranowned small business, servicedisabled veteranownedsmall business, hubzone small business, small disadvantaged business, or womenowned small business concern, a',
12271:'concern must meet the appropriate definition see 2.101 and 19.001. for subcontracting purposes, a concern is small if it does',
12272:'not exceed the size standard for the naics code that the prime contractor determines best describes the product or service',
12273:'being acquired by the subcontract. 2 i the prime contractor may accept a subcontractors written representations of its size and',
12274:'socioeconomic status as a small business, small disadvantaged business, veteranowned small business, servicedisabled veteranowned small business, hubzone small business, or',
12275:'a womenowned small business, if the subcontractor represents that the size and socioeconomic status representation with its offer are current,',
12276:'accurate, and complete as of the date ofthe offer for the subcontracts; or subpart 19.7 the small business subcontracting program',
12277:'19.704 ii the prime contractor may accept a subcontractors representation of its size and socioeconomic status as a small business,',
12278:'small disadvantaged business, veteranowned small business, servicedisabled veteranowned small business, hubzone small business, or a womenowned small business in the',
12279:'system for award management sam if– a the subcontractor is registered in sam; and b the subcontractor represents that the',
12280:'size and socioeconomic status representations made in sam are current, accurate and complete as of the date ofthe offer for',
12281:'the subcontract. iii the prime contractor may not require the use of sam for the purposes of representing size or',
12282:'socioeconomic status in connection with a subcontract. iv in accordancewith 13cfr 121.411, 126.900,127.700, and 128.600, a prime contractor acting in',
12283:'good faith is not liable for misrepresentations made by its subcontractors regarding the subcontractors size or socioeconomic status. b the',
12284:'contractor, thecontracting officer,or any other interested party can challenge a subcontractors size status representation by filing a protest, in accordance',
12285:'with 13 cfr 121.1001 through 121.1008. c 1 in accordance with 43 u.s.c. 1626, the following procedures apply: i subcontracts',
12286:'awarded to an anc or indian tribe shall be counted towards the subcontracting goals for small business and small disadvantaged',
12287:'business sdb concerns, regardless of the size or small business administration certification status of the anc or indian tribe. ii',
12288:'where one or more subcontractors are in the subcontract tier between the prime contractor and the anc or indian tribe,',
12289:'the anc or indian tribe shall designate the appropriate contractors to count the subcontract towards its small business and small',
12290:'disadvantaged business subcontracting goals. a in most cases, the appropriate contractor is the contractor that awarded the subcontract to the',
12291:'anc or indian tribe. b if the anc or indian tribe designates more than one contractor to count the subcontract',
12292:'toward its goals, the anc or indiantribe shall designate only a portion of the totalsubcontract award to each contractor. the',
12293:'sum of the amounts designated to various contractors cannot exceed the total value of the subcontract. c the anc or',
12294:'indian tribe shall give a copy of the written designation to the contracting officer, the prime contractor, and the subcontractors',
12295:'in betweenthe prime contractor and the ancor indian tribe within 30days of the date of the subcontract award. dif the',
12296:'contracting officer does notreceivea copy of the ancs or the indian tribe’s written designation within 30 days of the subcontract',
12297:'award, the contractor that awarded the subcontract to the anc or indian tribe will be considered thedesignated contractor. 2 a',
12298:'contractor acting in good faith may rely on the written representation of an anc or an indian tribe as to',
12299:'the status of the ancor indian tribe unless an interested party challenges its status orthe contracting officer has independent reason',
12300:'to question its status. in the event of a challenge of a representation of an anc or indian tribe, the',
12301:'interested parties shall follow the procedures at 26.103b through e. d protests challenging the socioeconomic status of a hubzone small',
12302:'business concern must be filed in accordance with 13 cfr 126.801. 19.704 subcontracting plan requirements. a each subcontracting plan required',
12303:'under 19.3012e and 19.702a1i, ii, and iii shall include 1 separate percentage goals for using small business including ancs and',
12304:'indian tribes, veteranowned small business, servicedisabled veteranowned small business, hubzone small business, small disadvantaged business including ancs and indian tribes',
12305:'and womenowned small business concerns as subcontractors; 2 a statement of the total dollars planned to be subcontracted and a',
12306:'statement of the total dollars planned to be subcontracted to small business including ancs and indian tribes, veteranowned small business,',
12307:'servicedisabled veteran owned small business, hubzone small business, small disadvantaged business including ancs and indian tribes and womenowned small business',
12308:'concerns, as apercentage of total subcontract dollars. for individualsubcontractingplans only, a contracting officer may require thegoals referenced in paragraph a1',
12309:'of this section to be calculated as a percentage of total contract dollars, in addition to the goals established as',
12310:'a percentage of total subcontract dollars; 3 a description of the principal types of supplies and services to be subcontracted',
12311:'and an identification of types of supplies or services planned for subcontracting to small business including ancs and indian tribes,',
12312:'veteranowned small business, servicedisabled veteranowned small business, hubzone small business, small disadvantaged business including ancs and indian tribes, and womenowned',
12313:'small business concerns; 4 a description of the method used to develop the subcontracting goals; federal acquisition regulation 5 a',
12314:'description of the method used to identify potential sources for solicitation purposes; 6 a statement as towhetheror not theofferor includedindirectcosts',
12315:'inestablishing subcontracting goalsfor commercial plans, see paragraph d of this section, and a description of the method used to determine',
12316:'the proportionate share of indirect costs to be incurred with small business including ancs and indian tribes, veteranowned small business,',
12317:'servicedisabled veteranowned small business, hubzone small business, small disadvantaged business including ancs and indian tribes, and womenowned small business concerns;',
12318:'7 the name of an individualemployed by the offeror who willadminister the offeror’s subcontracting program, and a description of the',
12319:'duties of the individual; 8 a description of theefforts the offeror willmake to ensure that small business, veteranownedsmall business, servicedisabled',
12320:'veteranowned small business, hubzone small business, small disadvantaged business, and womenowned small business concerns have an equitable opportunity to compete',
12321:'for subcontracts; 9 assurances that the offeror will include the clause at 52.2198, utilization of small business concerns see 19.708a,',
12322:'inall subcontracts that offer furthersubcontractingopportunities, and that the offeror will require all subcontractors except small business concerns that receive subcontracts',
12323:'in excess of $750,000 $1.5 million for construction to adopt a plan that complies with the requirements of the clause',
12324:'at 52.2199, small business subcontracting plan see 19.708b; 10 assurances that the offerorwill i cooperate in any studies or surveys',
12325:'as may be required; iisubmit periodicreports sothat the government can determine the extent ofcompliance by the offeror with the subcontracting',
12326:'plan; iii after november 30, 2017, include subcontracting data for each order when reporting subcontracting achievements for indefinitedelivery,indefinitequantity contracts with',
12327:'individual subcontracting plans where the contractis intended for use by multiple agencies; iv submit the individual subcontract report isr, and',
12328:'the summary subcontract report ssr using the electronic subcontracting reporting system esrs http://www.esrs.gov, following the instructions in the esrs. a',
12329:'the isr shall be submitted semiannually during contract performance for the periods ending march 31 and september 30. a report',
12330:'is also required for each contract within 30 days of contract completion. reports are due 30 daysafter the close of',
12331:'each reporting period, unless otherwise directedby the contracting officer. reports are required when due, regardless of whether there has been',
12332:'any subcontracting activity since the inception of the contract or the previous reporting period. when a contracting officer rejects an',
12333:'isr, thecontractor is required to submit a revised isr within 30days of receiving the notice of the isr rejection. b',
12334:'the ssr shall be submitted annually by october 30 for the twelvemonth period ending september 30. when an ssr is',
12335:'rejected, the contractor is required to submit a revised ssr within 30 days of receiving the notice of ssr rejection;',
12336:'v ensure that its subcontractors with subcontracting plans agree to submit the isr and/or the ssr using the esrs; vi',
12337:'provide itsprimecontract number, itsunique entity identifier, and the emailaddress of the offeror’s official responsible for acknowledging receipt of or rejecting',
12338:'the isrs to all firsttier subcontractors with subcontracting plans so they can enter this information into the esrs when submitting',
12339:'their isrs; and vii requirethat each subcontractor with a subcontracting plan provide the prime contract number,its own unique entity identifier,',
12340:'and the email address ofthe subcontractor’s official responsible for acknowledging receipt of orrejecting the isrs, to its subcontractors with subcontracting',
12341:'plans; 11 a description of the types of records thatwill be maintained concerningprocedures adopted to comply with the requirementsandgoals in',
12342:'the plan, includingestablishing source lists; and a description of theofferor’s effortsto locatesmall business, veteranowned small business, servicedisabled veteranowned small business,',
12343:'hubzone small business, small disadvantaged business, and womenowned small business concerns and to award subcontracts to them; 12 assurances that',
12344:'the offerorwill make agood faith effort to acquire articles, equipment, supplies,services, or materials, or obtain the performance of constructionworkfrom the',
12345:'small business concerns that the offeror used inpreparing the bid or proposal, in the same or greater scope, amount, and',
12346:'quality used in preparing and submitting the bid or proposal. responding to a request for a quote doesnot constitute use',
12347:'inpreparinga bidor proposal. an offerorused a small business concern in preparing the bid or proposal if– ithe offeror identifies the',
12348:'small businessconcern as a subcontractor in the bid or proposal or associated small business subcontracting plan, to furnish certain supplies',
12349:'or perform a portion of the contract; or subpart 19.7 the small business subcontracting program 19.7051 iithe offeror used the',
12350:'smallbusinessconcerns pricing or cost information or technical expertise in preparing the bid or proposal, where there is written evidence of',
12351:'an intent or understanding that the small business concern will be awarded a subcontract for the related work if the',
12352:'offeror is awarded thecontract; 13 assurances that the contractor will provide the contracting officerwith a written explanation ifthe contractor fails',
12353:'to acquire articles, equipment, supplies, services or materials or obtain the performance of construction work as described in a12 of',
12354:'this section. this written explanation will be submitted tothe contracting officer within 30 days of contract completion; 14 assurances that',
12355:'the contractor will not prohibit a subcontractor from discussingwith the contracting officer any material matter pertaining to payment to or',
12356:'utilization of a subcontractor; and 15 assurances that the offerorwill pay its small business subcontractors on time and in accordance',
12357:'with the terms and conditions of the subcontract, and notify the contracting officer ifthe offerorpays a reduced or an untimelypayment',
12358:'to a small business subcontractor see 52.2425. b contractors may establish, on a plant or divisionwide basis, a master plan',
12359:'see 19.701 that contains all the elements required by the clause at 52.2199, small business subcontracting plan, except goals. master',
12360:'plans shall be effective for a 3year period after approval by the contracting officer; however, it is incumbent uponcontractors to',
12361:'maintain and updatemaster plans. changes required to update master plans are noteffective until approved by the contracting officer. a master',
12362:'plan, when incorporated in an individual plan, shall apply to that contract throughout the life of the contract. c for',
12363:'multiyear contracts or contracts containing options, the cumulative value of the basic contract and all options is consideredin determining whether',
12364:'a subcontracting plan isnecessary. if asubcontractingplan is necessary andthe offeror is submitting an individual subcontracting plan, the individual subcontracting plan',
12365:'shall contain all the elements required by paragraph a of this section and shall contain separate statements and goals based',
12366:'on total subcontract dollars for the basic contract and for each option. d a commercial plan as defined in 19.701',
12367:'is the preferred type of subcontracting plan for contractors furnishing commercial products and commercial services. the subcontracting goals established for',
12368:'a commercial plan shall include all indirect costs with the exception of those such as the following: employee salaries and',
12369:'benefits; payments for petty cash; depreciation; interest; income taxes; property taxes; lease payments; bank fees; fines, claims, and dues; original',
12370:'equipment manufacturer relationships during warranty periods negotiated up front with the product; utilities and other services purchased from a municipality',
12371:'or an entity solely authorized by the municipality to provide those services in a particular geographical region; and philanthropic contributions.',
12372:'once a contractors commercial plan has been approved, thegovernment shall not requireanother subcontracting plan from the same contractorwhile the plan',
12373:'remains in effect, as long as the product or service being provided by the contractor continues to meet the definition',
12374:'of a commercial product or commercial service. the contractor shall— 1 submitthe commercialplan to eitherthe first contracting officer awarding a',
12375:'contract subject to the planduring thecontractor’sfiscalyear, or, ifthe contractor has ongoing contracts with commercial plans, to the contracting officer responsible',
12376:'for the contractwith the latest completiondate. the contracting officer shall negotiate the commercial planfor thegovernment. the approvedcommercial plan shall remain',
12377:'in effect during the contractor’s fiscal year for all government contracts in effectduring thatperiod; 2 submita new commercial plan, 30working',
12378:'daysbefore theend of the contractor’s fiscal year,to thecontracting officer responsible for the uncompleted government contractwith the latest completiondate. the contractor',
12379:'must provide to each contractingofficer responsible for an ongoing contract subjectto the plan, the identity ofthe contracting officer that will',
12380:'be negotiating the new plan; 3 when the new commercial planis approved,provide acopy ofthe approved plan toeach contracting officer responsible',
12381:'for an ongoing contract that is subject to the plan; and 4 comply with the reporting requirements stated in paragraph',
12382:'a10 of this section by submitting one ssr that includes all indirect costs, except as described in paragraph d of',
12383:'this section, in esrs, for all contracts covered by its commercial plan. thisreport will be acknowledgedor rejected inesrs bythe contracting',
12384:'officerwho approvedthe plan. the report shall be submitted within 30 daysafter the end of the government’s fiscal year. 19.705 responsibilities',
12385:'of the contracting officer under the subcontracting assistanceprogram. 19.7051 general. a thecontracting officer may encourage thedevelopment of increased subcontracting opportunities',
12386:'innegotiated acquisition by providing monetary incentives such as payments based on actual subcontracting achievement or awardfee 19.7052 federal acquisition regulation',
12387:'contracting see the clause at 52.21910, incentive subcontracting program, and 19.708c. when using any contractual incentive provision based upon rewarding',
12388:'the contractor monetarily for exceeding goals in the subcontracting plan, the contracting officermust ensure that a the goals are realistic',
12389:'and b any rewards for exceeding the goals are commensurate with the efforts thecontractor would not have otherwise expended. incentive',
12390:'provisions should normally be negotiated after reaching final agreement with the contractor on the subcontracting plan. b 1exceptwhereacontractorhasacommercialplan,thecontractingofficershallrequireasubcontractingplan for each',
12391:'indefinitedelivery, indefinitequantity contract including task ordelivery order contracts, fss, gwacs, and macs, when the estimated value of the contract meets',
12392:'the subcontracting plan thresholds at 19.702a and small business subcontracting opportunities exist. 2 contracting officersplacing orders mayestablishsmall business subcontracting goals',
12393:'for eachorder. establishing goals shall not be in the form of a new subcontracting plan as a contract may not',
12394:'have more than one plan 19.7052e. 19.7052 determining the need for a subcontracting plan. the contractingofficer shall take the following',
12395:'actions todetermine whether a proposed contractualaction requires a subcontracting plan: a 1 determine whether the proposed total contract dollars will',
12396:'exceed the subcontracting plan threshold in 19.702a. 2 determine whether a proposed modification will cause the total contract dollars to',
12397:'exceed the subcontracting plan threshold see 19.702a. b determine whether subcontracting possibilities exist by considering relevant factors such as 1',
12398:'whether firms engaged in the business of furnishing the types of items to be acquired customarily contract for performanceof part',
12399:'of the work or maintain sufficient inhousecapability to perform thework; and 2 whether there are likely to be product prequalification',
12400:'requirements. 3 whether the firm can acquire any portion of the work with minimal or no disruption to performance with',
12401:'consideration given to the time remaining until contract completion, and at fair market value, when a determination is made in',
12402:'accordance with paragraph a2. c if it is determined that there are no subcontracting possibilities, the determination shall include a',
12403:'detailed rationale, be approved at a level abovethe contracting officer, and placed in the contract file. d in solicitations for',
12404:'negotiated acquisitions, the contracting officer may require the submission of subcontracting plans with initial offers, or at any other time',
12405:'prior to award. indetermining when subcontracting plansshouldbe required, as well as whenandwith whomplans should benegotiated, the contractingofficer mustconsider the integrity',
12406:'of thecompetitive process,the goal of affording maximum practicable opportunity for small business, veteranowned small business, service disabled veteranowned small business,',
12407:'hubzone small business, small disadvantaged business, and womenowned small business concerns toparticipate, and the burden placed on offerors. e a',
12408:'contract may nothavemorethan one subcontracting plan. however, a contracting officermay establish separate subcontracting goals for each orderunder an indefinitedelivery, indefinitequantitycontract',
12409:'19.7051b2. when a contract modification exceeds the subcontracting plan threshold see 19.702a or an option is exercised, the goals of',
12410:'an existing subcontracting plan shall be amended to reflect any new subcontracting opportunities not envisioned at the time of contract',
12411:'award. thesegoal changes do not apply retroactively. f if a subcontracting plan has been added to the contract due to',
12412:'a modification see 19.702a1iii or a size re representation see 19.3012e, the subcontracting goals apply from the date of incorporation',
12413:'of the subcontracting plan into the contract and the contractors achievements must be reported on the isr or the sf294,',
12414:'if applicable on a cumulative basis from the date of incorporation of the subcontracting plan into the contract. 19.7053preparingthe solicitation.',
12415:'the contractingofficer shall provide thesmallbusiness administrations sba’sprocurement center representative or, if a procurement center representative is not assigned, see 19.402a',
12416:'a reasonable period of time to review any solicitation requiring submission of a subcontracting plan and to submit advisory findings',
12417:'before the solicitation is issued. 19.7054 reviewing the subcontracting plan. the contractingofficer shall review thesubcontractingplan for adequacy, ensuring that the',
12418:'required information, goals, and assurances are included see 19.704. a no detailed standardsapply to every subcontracting plan. instead, the contractingofficer',
12419:'shall considereach plan in terms of the circumstances of the particular acquisition, including subpart 19.7 the small business subcontracting program',
12420:'19.7054 1 previous involvement of small business concerns as prime contractors or subcontractors in similar acquisitions; 2 proven methods of',
12421:'involving small business concerns as subcontractors in similar acquisitions; and 3 the relative success of methods the contractor intends to',
12422:'use to meet the goals and requirements of the plan, as evidenced by records maintained by contractors. b if, under',
12423:'a sealed bid solicitation, a bidder submits a plan that does not cover each of the 15 required elements see',
12424:'19.704, the contracting officershalladvise thebidder of the deficiency and request submission ofa revisedplan by a specific date. if the bidder',
12425:'does not submit a plan that incorporates the required elements within the time allotted, the bidder shall be ineligible for',
12426:'award. ifthe plan, although responsive, evidences the bidder’s intention not tocomply with its obligations under the clause at 52.2198, utilization',
12427:'of small businessconcerns, the contractingofficer may find the bidder nonresponsible. c innegotiated acquisitions, the contracting officer shall determine whether the',
12428:'planis acceptable based on the negotiation of each of the 15 elements of the plan see 19.704. subcontracting goals should',
12429:'be set at a level that the parties reasonablyexpectcan result from the offerorexpending good faith efforts to use small business,',
12430:'veteranowned small business, servicedisabled veteranowned small business, hubzone small business, small disadvantaged business, and womenowned small business subcontractorsto themaximum practicable',
12431:'extent. the contracting officer shall take particular care to ensure that the offeror has not submitted unreasonably low goals to',
12432:'minimize exposure to liquidated damages and to avoid the administrative burdenof substantiating goodfaith efforts. additionally,particular attention should bepaid to the',
12433:'identificationof steps that,if taken, would be considered a good faith effort see 19.7057. no goal should be negotiated upward if',
12434:'it is apparent that ahigher goal willsignificantly increase the government’s cost or seriously impedethe attainment of acquisition objectives. an incentive',
12435:'subcontracting clause see 52.21910, incentive subcontracting program, may beused when additional and uniquecontract effort, such as providing technical assistance, could',
12436:'significantly increase subcontract awards to small business, small disadvantaged business, veteranowned small business, servicedisabled veteran owned small business, hubzone small',
12437:'business, or womenowned small business concerns. d in determining the acceptability of a proposed subcontracting plan, thecontracting officer should take',
12438:'the following actions: 1 obtaininformation availablefrom the cognizant contract administration office, as provided for in 19.706a, and evaluate the offeror’s',
12439:'past performance in awardingsubcontractsforthe same or similar products or services tosmall business, veteranowned small business, servicedisabled veteranowned small business, hubzone',
12440:'small business, small disadvantaged business, and womenowned small business concerns. if information is not available on a specific type of',
12441:'product orservice, evaluate the offeror’s overallpastperformance and consider theperformance of other contractors on similar efforts. 2 in accordance with 15',
12442:'u.s.c. 637d4fiii, ensurethat thegoals offered are attainablein relation to ithe subcontracting opportunities available to the contractor, commensurate with theefficient and',
12443:'economical performance of the contract; ii the pool of eligible subcontractors available to fulfill the subcontracting opportunities; and iii the',
12444:'actual performance of such contractor in fulfilling the subcontracting goals specified in prior plans. 3 ensure that the subcontracting goals',
12445:'are consistent with the offeror’scertifiedcostor pricing data or dataother than certified cost or pricing data. 4 evaluate theofferor’s makeorbuy policy',
12446:'or program toensure that it does not conflict with the offeror’sproposed subcontracting plan and is in the government’s interest. if',
12447:'the contract involves products orservicesthat areparticularly specializedor not generallyavailablein the commercial market, consider the offeror’s current capacity to perform the',
12448:'work and the possibility of reduced subcontracting opportunities. 5 evaluate subcontracting potential, considering the offeror’s makeorbuy policiesor programs, thenature of',
12449:'the supplies or services to be subcontracted, the known availability of small business, veteranowned small business, service disabled veteranowned small',
12450:'business, hubzone small business, small disadvantaged business, and womenowned small business concerns inthe geographical area where the work will beperformed,',
12451:'and the potential contractor’slongstanding contractual relationship with its suppliers. 6 advise the offeror of available sources of information on potential',
12452:'small business, veteranowned small business, servicedisabled veteranowned small business, hubzone small business, small disadvantaged business, and womenowned small business subcontractors,as',
12453:'well as any specificconcerns known tobe potential subcontractors. ifthe offeror’s proposed goals are questionable,the contracting officer must emphasize that the',
12454:'information should be used to develop realistic and acceptable goals. 19.7055 federal acquisition regulation 7 obtainadviceandrecommendations from thesba procurement center',
12455:'representativeor, if aprocurement center representative is not assigned, see 19.402a and the agency small business specialist. 19.7055awards involving subcontracting plans.',
12456:'a inmaking anaward that requires a subcontracting plan, the contracting officer shall beresponsibleforthe following: 1 considerthe contractor’s compliance with the',
12457:'subcontracting plans submittedon previous contractsas afactor in determining contractor responsibility. 2 assure that a subcontracting plan was submitted when required.',
12458:'3 notify the sba procurement center representative or, if a procurement centerrepresentative is not assigned, see 19.402a of the opportunity',
12459:'to review the proposed contract including the plan and supporting documentation. the notice shall beissuedin sufficient time to provide the',
12460:'representative a reasonable timeto review the material and submit advisory recommendations to the contracting officer. failure of the representative to',
12461:'respondin a reasonable period oftime shall not delay contract award. 4 determine any fee that may be payable if an',
12462:'incentive is used in conjunction with the subcontracting plan. 5 ensure that an acceptable plan is incorporated into and made',
12463:'a material part of the contract. b letter contracts and similar undefinitized instruments, which would otherwise meet the requirements of',
12464:'19.702a1 i and ii, shall contain at least a preliminary basic plan addressing the requirements of 19.704 and in such',
12465:'cases require the negotiation of the final plan within 90 days after award or before definitization, whichever occurs first. 19.7056postaward',
12466:'responsibilities of the contracting officer. after a contract or contract modification containing a subcontracting plan is awarded or an existing',
12467:'subcontracting plan is amended, the contracting officer shall do the following: a notifythe sba of the award by sending a',
12468:'copyof the awarddocument to the area director, office of government contracting, in the sba area office where the contract will',
12469:'be performed. b forward a copy of each commercial plan and any associated approvalsto thearea director, office of government contracting,',
12470:'in the sba area office where the contractor’s headquarters islocated. c give tothe sba procurementcenterrepresentative or, if a procurement center',
12471:'representative is not assigned, see 19.402a a copy of 1 any subcontracting plan submitted in response to a sealed bid',
12472:'solicitation; and 2 the final negotiated subcontracting plan that was incorporated into a negotiated contract or contract modification. d notify',
12473:'the sba procurement center representative or, if a procurement centerrepresentative is not assigned, see 19.402a of the opportunity to review',
12474:'subcontracting plans in connection with contract modifications. e forward a copy of each plan, or a determination that there is',
12475:'no requirement for a subcontracting plan, to the cognizant contract administrationoffice. f monitor the prime contractors compliance with its subcontracting',
12476:'plan, to include the following: 1 ensure that subcontracting reports are submitted into the esrs within 30 days after the',
12477:'report ending date e.g., by october 30 th for the fiscal year ended september 30 th. 2 review isrs, and',
12478:'where applicable, ssrs, in esrs within 60 days of the report ending date e.g., by november 30 th for a',
12479:'report submitted for the fiscal year ended september 30 th. 3 either acknowledge receipt of or reject the reports in',
12480:'accordance with subpart 19.7, 52.2199, small business subcontracting plan, and the esrs instructions www.esrs.gov. ithe authority to acknowledge or rejectssrs',
12481:'for commercialplans resides with thecontracting officer who approved the commercial plan. iiif a report is rejected,the contracting officermust providean explanation',
12482:'for therejectionto allow the prime contractor the opportunity to respond specifically to identified deficiencies. g evaluate the prime contractors compliance',
12483:'with its subcontracting plan, to include the following: 1 assess whether the prime contractor madea good faith effort to complywith',
12484:'its small business subcontracting plan. see 19.7057b for moreinformationon the determination ofgood faith effort. 2 assess the prime contractors written',
12485:'explanation concerning the prime contractors failure to use a small business concern in the performance of the contract in the',
12486:'same scope, amount, and quality used in preparing and submitting the bid or proposal, if applicable. subpart 19.7 the small',
12487:'business subcontracting program 19.7057 h initiate action to assess liquidated damages in accordance with 19.7057 upon a recommendation by the',
12488:'administrative contracting officer, if one is assigned,or receipt of other reliable evidence toindicate that assessing liquidated damages is warranted. itake',
12489:'action to enforce theterms ofthe contract upon receiptof anotice fromthe contract administrationoffice under 19.706f. j acknowledge receipt of or reject',
12490:'the isr and the ssr in the esrs. acknowledging receipt does not mean acceptance or approval of the report. the',
12491:'report shall be rejected if it is not adequately completed, for instance, if there are errors, omissions, or incomplete data.',
12492:'failure to meet the goals of the subcontracting plan is not a valid reason for rejecting the report. 19.7057 compliance',
12493:'with the subcontracting plan. a general. maximum practicable utilization of small business, veteranowned small business, servicedisabled veteran owned small business,',
12494:'hubzone small business, small disadvantaged business, and womenowned small business concerns as subcontractors in government contracts is a matter of',
12495:'national interest with both social and economic benefits. when a contractor fails to make a good faith effort tocomply with',
12496:'a subcontracting plan, theseobjectives are not achieved, and 15 u.s.c. 637d4f directs that liquidated damages shall be paid by the',
12497:'contractor. b determination of good faith effort. 1 in determining whether a contractor failed to make a good faitheffort to',
12498:'comply withits subcontracting plan, a contracting officer must look to the totality ofthe contractors actions, consistent with the information and',
12499:'assurances provided in its plan. the fact that the contractor failed to meet its subcontracting goals does not, in and',
12500:'of itself, constitutea failure to make a good faitheffort see 19.701. for example, notwithstanding a contractors diligent effort to identify',
12501:'and solicit offersfrom any of the small business, veteranowned small business, servicedisabled veteranowned small business, hubzone small business, small disadvantaged',
12502:'business, and womenowned small business concerns, factors such as unavailability of anticipated sources or unreasonable prices may frustrate achievement of',
12503:'the contractors subcontracting goals. the contracting officer may consider any of the following, thoughnot all inclusive, to be indicators of',
12504:'a good faith effort: i breaking out work to be subcontracted into economically feasible units, as appropriate, to facilitate small',
12505:'business participation. ii conducting market research to identify potential small business subcontractors through all reasonable means, such as searching sam,',
12506:'posting notices or solicitations on sbas subnet, participating in business matchmaking events, and attending preproposal conferences. iii soliciting small business',
12507:'concerns as early in theacquisitionprocess as practicable to allow them sufficient time to submit a timely offerforthe subcontract. iv providing',
12508:'interested small businesses with adequate and timely information about plans, specifications, and requirementsforperformance of the prime contractto assist themin submitting',
12509:'a timely offerforthe subcontract. v negotiating in good faith with interested small businesses. vi directing small businesses that need additional',
12510:'assistance to sba. vii assisting interested small businesses in obtaining bonding, lines of credit, required insurance, necessary equipment, supplies, materials,',
12511:'or services. viii utilizing the available services of small business associations; local, state, and federal small business assistance offices;and otherorganizations.',
12512:'ix participating in a formal mentorprotégé program with one or more small business protégés that results in developmental assistance to',
12513:'the protégés. x althoughfailing to meet the subcontracting goal in one socioeconomic category, exceeding the goal by an equal or',
12514:'greater amount in one or more of the other categories. xi fulfilling all of the requirements of the subcontracting plan.',
12515:'2 when considered in the context of the contractorstotal effortin accordance with its plan, the contracting officer may consider any',
12516:'ofthe following,though not all inclusive, to be indicators of a failure to make agood faith effort: ifailure to attempt through',
12517:'market research toidentify, contact, solicit, or consider for contract award small business, veteranowned small business, servicedisabled veteranowned small business, hubzone',
12518:'small business, small disadvantaged business, or womenowned small business concerns, through all reasonable means including outreach, industry days, or the',
12519:'use of federal systems such as sbas dynamic small business search or subnet systems. iifailure to designate and maintain a',
12520:'company official to administer the subcontracting program and monitor and enforce compliance with the plan. 19.7057 federal acquisition regulation iii',
12521:'failure to submit an acceptable isr, or the ssr, using the esrs, or as provided in agency regulations, by the',
12522:'report due dates specified in 52.2199, small business subcontracting plan. iv failure to maintain records or otherwise demonstrate procedures adopted',
12523:'to comply with the plan including subcontracting flowdown requirements. v adoption of company policies or documented procedures that have as',
12524:'their objectives the frustration of the objectives of the plan. vi failure to pay small business subcontractors in accordance with',
12525:'the terms of the contract with the prime contractor. vii failure to correct substantiated findings from federal subcontracting compliance reviews',
12526:'or participate in subcontracting plan management training offered by thegovernment. viii failure toprovide the contractingofficer witha written explanation if the',
12527:'contractor failsto acquire articles, equipment, supplies, services, or materials or obtain the performance of construction work as described in 19.704a12.',
12528:'ix falsifying records of subcontract awards to small business concerns. c documentation of good faith effort. if, at completion of',
12529:'the basic contract or any option, or in the case of a commercial plan, at the close of the fiscal',
12530:'year for which the plan is applicable, a contractor has failed to comply with the requirements of its subcontracting plan,',
12531:'which includes meeting its subcontracting goals, thecontracting officer shall review all available information for an indication that the contractor has',
12532:'notmadea good faith effort to complywith the plan. if no such indication is found, the contracting officer shall document the',
12533:'file accordingly. d notice of failure to make a good faith effort. if thecontracting officer decides in accordance with paragraph',
12534:'b of this section that the contractor failed to make a good faitheffort to comply with its subcontracting plan, the',
12535:'contracting officer shall give the contractor written notice in accordance with 52.21916, liquidated damages—subcontracting plan, specifying the material breach, which',
12536:'may be included in the contractors past performance information, advising the contractor of the possibility that the contractor may have',
12537:'to pay to the government liquidated damages, and providing a period of 15 working days or longer period as necessary',
12538:'within which to respond. the notice shall give the contractor an opportunity to demonstrate what good faith efforts have been',
12539:'made beforethe contracting officer issues the final decision and shall further state that failure of the contractor to respond may',
12540:'be taken as an admission that no valid explanation exists. e payment of liquidated damages. 1 if, afterconsideration of all',
12541:'thepertinent data, the contracting officer finds that the contractor failedto make a goodfaith effort to comply with itssubcontractingplan,the contracting officer',
12542:'shall issue afinal decision to the contractor to that effectandrequire the payment of liquidated damages in an amount stated. the',
12543:'contracting officers final decision shall statethat thecontractor has the right to appeal under the clausein the contractentitled disputes. calculations and',
12544:'procedures shall be in accordance with 52.21916, liquidated damages—subcontracting plan. 2 the amount of damages attributable to the contractors failure',
12545:'to comply shall be an amount equal to the actual dollar amount by which the contractor failed to achieve each',
12546:'subcontracting goal. for calculations for commercial plans see paragraph f of this section. 3 liquidated damages shall be in addition',
12547:'to any other remedies that the government may have. f commercial plans. withrespect to commercial plans approvedunder theclause at 52.2199,',
12548:'small business subcontracting plan, the contracting officerthat approved the planshall 1 perform the functions of the contracting officer under this',
12549:'subsection on behalf of all agencies withcontracts covered by the commercial plan; 2 determine whether or not the goals in',
12550:'the commercial plan were achieved and, if they were not achieved, review all available information for an indication that the',
12551:'contractor has notmadea good faith effort to complywith the plan, and document the results of the review; 3 if a',
12552:'determination is made to assess liquidated damages, in order to calculate and assess the amount of damages, the contracting officershallask',
12553:'the contractor to provide i contract numbers for the government contracts subject to the plan; iithe totalgovernmentsales duringthe contractor’s fiscal',
12554:'year; and iii the amount of payments made under the government contracts subject to that plan that contributed to the',
12555:'contractor’s total sales duringthe contractor’s fiscal year; and 4 when appropriate,assess liquidateddamageson the government’s behalf,based on the prorata shareof subcontracting',
12556:'attributable to the government contracts. for example:the contractor’s total actual sales were $50 million and itsactual subcontracting was $20 million.',
12557:'thegovernment’s total payments under contractssubject to the plan contributing tothe contractor’s totalsales were $5 million, which accountedfor10 percentof the contractor’s',
12558:'total sales. therefore, the pro rata share of subcontracting attributable to the government contracts would be 10 percent of $20',
12559:'million, subpart 19.7 the small business subcontracting program 19.708 or $2million. to continue the example, if the contractor failed to',
12560:'achieve its small businessgoal by 1 percent, the liquidated damages would be calculated as 1 percent of $2million,or $20,000. thecontracting',
12561:'officer shall make similar calculations for each category of small business where the contractor failed to achieve its goal and',
12562:'the sum of the dollars for all of the categories equals the amount of theliquidated damages to be assessed. a',
12563:'copy of thecontracting officer’s final decision assessing liquidateddamagesshallbe provided toother contracting officers with contracts subject tothe commercialplan. 5 every contracting',
12564:'officer with a contractthat issubject to a commercial plan shall include inthe contract filea copy of the approved plan and',
12565:'a copy of the final decision assessing liquidating damages, if applicable. 19.706 responsibilities of the cognizant administrative contracting officer. the',
12566:'administrative contractingofficer is responsible for assisting in evaluating subcontracting plans, and for monitoring, evaluating, and documenting contractor performance under the',
12567:'clause prescribed in 19.708b and any subcontracting plan includedin the contract. thecontract administration officeshallprovide the necessary informationand advice to support',
12568:'the contracting officer, as appropriate, by furnishing a documentation onthe contractor’s performanceandcompliance with subcontracting plans under previouscontracts; b information on',
12569:'the extentto which the contractor ismeeting the plan’s goals for subcontracting with eligible small business, veteranowned small business, servicedisabled veteranowned',
12570:'small business, hubzone small business, small disadvantaged business, and womenowned small business concerns; c information on whether thecontractor’sefforts to ensure',
12571:'the participation of small business, veteranowned small business, servicedisabled veteranowned small business, hubzone small business, small disadvantaged business, and womenowned',
12572:'small business concerns are in accordance with its subcontracting plan; d information on whether the contractor is requiring its subcontractors',
12573:'to adopt similar subcontracting plans; e immediate notice if, during performance, the contractor is failing to meet its commitments under',
12574:'the clause prescribed in 19.708b or the subcontracting plan; f immediate notice and rationale if, during performance, the contractor is',
12575:'failing to comply in good faith with the subcontracting plan see 19.7057b for moreinformationon the determination ofgood faith effort; and',
12576:'g immediate notice that performance under a contract is complete, that the goals were or were not met, and, if',
12577:'not met, whether there isany indication ofa lack of a good faitheffort to comply with the subcontracting plan. 19.707 the',
12578:'small business administration’s role in carrying out the program. a under the program, the sba may 1 assist both government',
12579:'agencies and contractors in carrying out their responsibilities with regard to subcontracting plans; 2 review within 5 working days any',
12580:'solicitation that meets the dollar threshold in 19.702a1i or ii before the solicitation is issued; 3 review within 5 working',
12581:'days before execution any negotiated contractual document requiring a subcontracting plan, including the plan itself, and submit recommendations to the',
12582:'contracting officer, which shall be advisory in nature; and 4 evaluate compliance with subcontracting plans, either on a contractbycontractbasis, or,',
12583:'in thecaseof contractors having multiple contracts, on an aggregate basis. b the sba is not authorized to 1 prescribe the',
12584:'extent to which any contractor or subcontractor shall subcontract, 2 specify concerns to which subcontracts will be awarded, or 3',
12585:'exercise any authority regarding the administration of individual prime contracts or subcontracts. 19.708contract clauses. a insert the clause at 52.2198,',
12586:'utilization of small business concerns, in solicitations and contracts when the contract amount is expected to exceed the simplified acquisition',
12587:'threshold unless 1 a personal services contract is contemplated see 37.104; or 2 the contract, together with all of its',
12588:'subcontracts, will be performed entirely outside of the united states and its outlying areas. b 1 insert the clause at',
12589:'52.2199,smallbusinesssubcontractingplan,insolicitationsandcontractsthatoffer subcontracting possibilities, are expected to exceed $750,000 $1.5 million for construction of any public facility, and are required to',
12590:'include the clause at 52.2198, utilization of small business concerns, unless the acquisition is set aside or is to be',
12591:'accomplished under the 8a program. when federal acquisition regulation icontracting bysealed biddingratherthan by negotiation, thecontracting officer shall use the clause',
12592:'with its alternate i; ii contracting by negotiation, and subcontracting plans are required with initial proposals as provided for in',
12593:'19.7052d,the contracting officer shall use the clausewith its alternate ii; iii the contract action will not be reported in the',
12594:'federal procurement data system pursuant to 4.606c5, or c 6, the contracting officer shall use the clause with its alternateiii;',
12595:'or iv incorporating a subcontracting plan due to a modification as provided for in 19.702a1iii, the contracting officer shall use',
12596:'theclause with itsalternate iv. 2 insert the clause at 52.21916, liquidated damagessubcontracting plan, in all solicitations and contracts containing the',
12597:'clause at 52.2199, small businesssubcontractingplan, or the clause withits alternate i, ii, iii, or iv. c 1thecontractingofficermay,whencontractingbynegotiation,insertinsolicitationsandcontractsaclause substantially the same',
12598:'as the clause at 52.21910, incentive subcontracting program, when a subcontracting plan is required see 19.702,andinclusion of a monetary incentive',
12599:'is, inthe judgment ofthe contracting officer, necessary to increase subcontracting opportunities for small business, veteranowned small business, servicedisabled veteranowned small',
12600:'business, hubzone small business, small disadvantaged business, and womenowned small business concerns, and is commensurate with the efficient and economical',
12601:'performance of the contract; unless the conditions in paragraph c3 of this section are applicable. the contracting officer mayvary the',
12602:'terms of the clause as specifiedin paragraph c2 ofthis section. 2 various approaches may be used in the development of',
12603:'small business, veteranownedsmall business,servicedisabled veteranowned small business, hubzone small business, small disadvantaged business, and womenowned small business concerns’ subcontracting incentives.',
12604:'they can take many forms, from a fully quantified schedule of payments based on actual subcontract achievement to an awardfee',
12605:'approach employing subjective evaluation criteria see paragraph c 3 of this section. the incentive should not reward the contractor for',
12606:'results other than those that are attributable to the contractor’s efforts under the incentivesubcontractingprogram. 3 asspecified in paragraph c2of this',
12607:'section, the contracting officer may include small business, veteranowned small business, servicedisabled veteranowned small business, hubzone small business, small disadvantaged',
12608:'business, and womenowned small business subcontracting as one of the factors to be considered in determining the award fee in',
12609:'a costplusawardfee contract; insuch cases, however, the contracting officer shall notuse the clause at 52.21910, incentive subcontracting program. subpart 19.8',
12610:'contracting with the small business administration the 8a program 19.803 subpart 19.8 contracting with the small business administration the 8a',
12611:'program 19.800general. a section 8a of the small business act 15 u.s.c. 637a established a program that authorizes the small',
12612:'business administration sba to enter into all types of contracts with other agencies and award subcontracts for performing those contracts',
12613:'to firms eligible for program participation. this program is the 8a business development program, commonly referred to as the 8aprogram.',
12614:'a small businessthat is accepted intothe 8a program is known as a participant. sba’s subcontractors are referred to as 8a',
12615:'contractors. as used in this subpart, an 8a contractor is an 8a participant that is currently performing on a federal',
12616:'contract or order that was set aside for 8a participants. b contracts may be awarded to the sba for performance',
12617:'by eligible 8a participants on either a sole source or competitive basis. c acting under the authority of the program,',
12618:'the sba certifies to an agency that sba is competent and responsible to perform a specificcontract. the contracting officer has',
12619:'the discretion to award thecontract to thesba based upon mutually agreeable terms and conditions. d the contractingofficer shall comply with',
12620:'19.203 before deciding to offer an acquisition to a small business concern underthe 8a program. for acquisitions abovethe simplified acquisitionthreshold,',
12621:'thecontracting officer shall consider 8a setasides or sole source awards before considering small business setasides. e when sba has delegated',
12622:'its 8a program contractexecution authority to an agency, the contracting officer must refer to its agency supplement or other policy',
12623:'directives for appropriate guidance. 19.801[reserved] 19.802 determiningeligibility for the 8a program. determining the eligibility of a small business to be',
12624:'a participant in the 8a program is the responsibility of the sba. sba’s regulations on eligibilityrequirements for participation in the8a',
12625:'program are found at 13 cfr 124.101 through 124.112. sba designates the concern as an 8a participant inthe dynamic small',
12626:'business search dsbs at https:// web.sba.gov/pronet/search/dspdsbs.cfm . sbas designation also appears in the system for award managementsam. 19.803 selecting acquisitions',
12627:'for the 8aprogram. through their cooperative efforts, the sba and anagency match the agencys requirements with thecapabilities of8a participants to',
12628:'establish a basis for the agency to contract with the sba under the program. selection is initiated in one of',
12629:'three ways: a the sba advises the contracting activity of an 8a participants capabilities through a search letter and requests',
12630:'the contracting activity to identify acquisitions to support the participants business plans. in these instances, the sba will provide at',
12631:'a minimum the following information in order to enable the contracting activity to match an acquisition to the participants capabilities:',
12632:'1 identification of the participant and its owners. 2 background information on the participant, including any and all information pertaining',
12633:'to the participants technical ability and capacity to perform. 3 the participants present production capacity and related facilities. 4 the',
12634:'extent to which contracting assistance is needed in the present and the future, described in terms that will enable the',
12635:'agency to relate the participants plans to present and future agency requirements. 5 if construction is involved, the request shall',
12636:'also include the following: i a participants capabilities in and qualifications for accomplishing various categories of construction work typically found',
12637:'in north american industrial category system subsector 236 construction of buildings, subsector 237 heavy and civil engineering construction, or subsector',
12638:'238 specialty trade contractors. iithe participant’s capacity in each construction category in terms of estimated dollar value e.g., electrical, up',
12639:'to $100,000. b the sba identifies a specific requirement for one or more 8a participants and sends a requirements letter',
12640:'to the agencys office of small and disadvantaged business utilization, orforthe department of defense,office of small business programs, requesting the',
12641:'contracting office offer theacquisitionto the 8aprogram. in theseinstances, in additionto the information in paragraph a of this section, the sba',
12642:'will provide 1 a clear identification of the acquisition sought; e.g., project name or number; federal acquisition regulation 2 a',
12643:'statement as to how the required equipment and real property will be provided in order to ensure that the participant',
12644:'will be fully capable of satisfying the agencys requirements; 3 if construction, information as to the bonding capability of the',
12645:'participants; and 4 either i if a sole source request a the reasons why the participant is considered suitable for',
12646:'this particular acquisition; e.g., previous contracts for the same or similar supply or service; and b a statement that the',
12647:'participant is eligible in terms of its small business size status relative to the assigned naics code, business supportlevels, and',
12648:'business activity targets; or ii if competitive, a statement that at least two 8a participants are considered capable of satisfying',
12649:'the agencys requirements and a statement that the participants are also eligible in terms of their small business size status',
12650:'relative to the assigned naics code, business support levels, and business activity targets. if requestedby the contracting office, sbawill identify',
12651:'at least two such participants and provide information concerning the participants’ capabilities. c agencies may also review other proposed acquisitions',
12652:'for the purpose of identifying requirements which may be offered to the sba. where agenciesindependently,or through the self marketing efforts',
12653:'ofan 8a participant, identify a requirement for the8aprogram, theymay offer on behalf of a specific 8a participant, for the 8a',
12654:'program in general, or for 8a competition. 19.804evaluation, offering, and acceptance. 19.8041 agency evaluation. in determining the extent to which',
12655:'a requirement should be offered insupport ofthe 8a program, the agency should evaluate a current and future plans to acquire',
12656:'the specific items or work that 8a participants are seeking to provide, identified in terms of 1 estimated quantities of',
12657:'the supplies or services required or the estimated number of construction projects planned; 2 length of contract, including option periods',
12658:'see 19.812d; and 3 performance or delivery requirements, including– i required monthly production rates, when applicable; and ii for construction,',
12659:'the geographical location where work is to be performed; b the impact of any delay in delivery; c whether the',
12660:'items or work have previously been acquired using small business setasides, and the date the items or work were acquired;',
12661:'d problems encountered in previous acquisitions of the items or work from the 8a participants or other contractors; and e',
12662:'any other pertinent information about known 8a participants, the items, or the work. this includes any information concerning the participants',
12663:'products or capabilities. whennecessary, the contracting agency shall make an independent review of the factors in 19.803a and other aspects',
12664:'of the participants capabilities which would ensure the satisfactory performance of the requirement being considered for commitment to the 8a',
12665:'program. 19.8042 agency offering. a after completing itsevaluation, the contracting office shall notify the sba of the extent of its',
12666:'plans to place 8a contracts with the sba for specific quantities of items or work, including 8a contracts that are',
12667:'reserved in accordance with 19.503. the notification,referred to asan offeringletter, shall identify the timeframes withinwhich resulting 8a awards must be',
12668:'completed in order for the agency tomeet itsresponsibilities. the offering letter shall alsocontain the following information applicable to each prospective',
12669:'contract: 1 a description of the work to be performed or items to be delivered, and a copy of the',
12670:'statement of work, if available. 2 the estimated period of performance. 3 the naics code that applies to the principal',
12671:'nature of the acquisition. 4 the anticipated dollar value ofthe requirement, including options, if any. 5 any special restrictions or',
12672:'geographical limitations on the requirement for construction, include the location of the work to be performed. 6 any special capabilities',
12673:'or disciplines needed for contract performance. subpart 19.8 contracting with the small business administration the 8a program 19.8043 7 the',
12674:'type of contract anticipated. 8 the acquisition history, if any, ofthe requirement, including the names and addresses ofanysmall business contractors',
12675:'that have performed this requirement during the previous 24 months. 9 a statement that prior to the offering no solicitationforthe',
12676:'specificacquisition hasbeenissuedas a smallbusiness, hubzone, servicedisabled veteranowned small business setaside, or a setaside under the womenowned small business wosb program,',
12677:'and that no other public communication such as a notice through the governmentwide point of entry gpehas been made showingthe',
12678:'contracting agency’sclear intention to setaside the acquisition for small business, hubzone small business, servicedisabled veteranowned small business concerns, or a',
12679:'setaside under the wosb program. 10 identification of any particular 8a participant designated for consideration, including a brief justification, such',
12680:'as ithe 8a participant, through itsown efforts, marketed the requirement andcaused it to be reserved for the 8a program; or',
12681:'ii the acquisition is a followon or renewal contract and the nominated 8a participant is the incumbent. 11 bonding requirements,',
12682:'if applicable. 12 identification of all 8a participants which have expressed an interest in being considered for the acquisition. 13',
12683:'identification of all sba field offices that have asked for theacquisition for the 8a program. 14 a request, if appropriate,',
12684:'that a requirement with an estimated contract value under the applicable competitive threshold be awarded as an 8a competitive contract',
12685:'see 19.8051d. 15 a request, if appropriate, that a requirement with a contract value over the applicable competitive threshold be',
12686:'awarded as a sole source contract see 19.8051b. 16 any other pertinent and reasonably available data. b 1anagencyofferingaconstructionrequirementforwhichnospecificofferorisnominatedshouldsubmitittothe sba district',
12687:'office for the geographicalarea where thework is tobe performed. 2 an agency offering a construction requirement on behalf of a',
12688:'specific offeror should submit it to the sba district office servicing thatconcern. 3 sole source requirements, other than construction, should',
12689:'be forwarded directly to the district officethat services thenominated 8a participant. ifthe contracting officeris not nominating a specific8a participant, the',
12690:'offering letter should beforwardedto the districtoffice servicing thegeographical areain whichthe contracting office is located. c allrequirements for 8a competition, other',
12691:'than construction, should be forwarded tothe district office servicing the geographical area in which thecontracting office islocated. all requirements for',
12692:'8a construction competition should be forwarded to the district officeservicingthe geographical area in which all or the major portion of',
12693:'the construction is to be performed. all requirements, including construction, must be synopsized through the gpe. for construction, the synopsis',
12694:'must include the geographical area ofthe competition set forth in thesba’s acceptance letter. 19.8043 sba acceptance. a upon receiptof the',
12695:'contractingoffices offering letter, sba will determine whether to acceptthe requirement for the 8a program. sba’s decision whether to accept the',
12696:'requirement will be transmittedto the contracting office in writing within 10 working days ofreceipt of the offerif the contractis likely',
12697:'to exceed the simplifiedacquisitionthreshold and within two workingdays of receiptif the contractis at or below the simplified acquisition threshold. the',
12698:'contracting office may grant an extension of these time periods, if requested by sba. 1 for acquisitions exceeding the simplified',
12699:'acquisition threshold, ifsba does not respond to an offering letter within tenworking days, the contracting officemay seeksba’s acceptance through the',
12700:'associate administrator for business development. thecontracting office may assume that sba hasaccepted the requirement into the 8aprogramif it does not',
12701:'receive a reply from the associate administrator for business development within five calendar days of receipt of the contracting offices',
12702:'request. 2 for acquisitions not exceeding the simplifiedacquisitionthreshold, when the contracting officemakes anoffer to the8aprogramon behalfof aspecific 8a participant and',
12703:'does notreceivea reply to its offering letter within two working days, the contracting officemay assume the offer is acceptedandproceed with',
12704:'award of an 8acontract. b as part of the acceptance process, sba will review the appropriateness of the naics code',
12705:'designation assigned to the requirement by the contracting officer. 1 sba will not challenge thenaics code assigned tothe requirement by',
12706:'the contracting officer if it is reasonable, even though other naics codes may also be reasonable. 2 if sba and',
12707:'the contracting officer are unable to agree on a naics code designation for the requirement, sbamay refuse to accept the',
12708:'requirement for the 8a program, appeal the contracting officers determination to the head of the agency 19.8044 federal acquisition regulation',
12709:'pursuant to 19.810, or appeal the naics code designation to the sba office of hearings and appealsunder subpart c of',
12710:'13 cfr part 134. c sole source 8a awards. if anappropriatematch exists, sba will advisethe contracting officer whether it will',
12711:'participate incontract negotiations or whether sba willauthorize thecontracting officer tonegotiate directly with the identified 8a participant. where sba hasdelegated its',
12712:'contractexecution functions to a contracting agency, sba will also identify that delegation inits acceptanceletter. for a joint venture,sba will determine',
12713:'eligibilityas part of its acceptance of a solesource requirement and will approve the joint venture agreement prior to award in',
12714:'accordance with 13 cfr 124.513e. 1 sole source award wherethe contracting officernominatesa specific 8a participant. sba will determine whether anappropriate',
12715:'matchexists where the contracting officer identifies a particular participant for asole sourceaward. i once sba determines that a procurement is',
12716:'suitable to be accepted as an 8a sole source contract, sba will normallyaccept it on behalf of the8a participant recommendedby',
12717:'the contracting officer, provided thatthe 8a participant complies with the requirements of 13 cfr 124.503c1. iiif an appropriate match does',
12718:'not exist, sba will notify the 8a participant and thecontracting officer, andmay then nominate an alternate 8a participant. 2 sole',
12719:'source award wherethe contracting officerdoes not nominate aspecific 8a participant. when a contracting officer does not nominatean 8a participantforperformance of',
12720:'a sole source 8a contract, sbawill select an 8a participant for possible award from among two or more eligible and',
12721:'qualified 8a participants. the selection will be based upon relevant factors, including business development needs, compliance with competitive business mix',
12722:'requirements if applicable, financial condition,managementability,technicalcapability, and whether award willpromote the equitable distribution of 8a contracts. for construction requirements see 13',
12723:'cfr 124.503d1. 19.8044 repetitive acquisitions. in order for repetitive acquisitions to be awarded through the 8a program,there must be separate',
12724:'offers and acceptances. this allows the sba to determine a whether the requirement should be a competitive 8a award; b',
12725:'a nominated 8a participants eligibility, and whether ornot it is thesame 8a participant thatperformed the previous contract; c theeffect that',
12726:'contract award would have on the equitabledistribution of8a contracts; and d whether the requirement should continue under the 8a program.',
12727:'19.8045basic orderingagreements and blanket purchase agreements. a thecontracting office shall submit an offering letter for, and sba mustaccept, each orderunder',
12728:'a basicordering agreementboa or a blanketpurchase agreement bpa issued under part 13 see 13.303, in addition tothe agency offering and',
12729:'sbaaccepting the boa or bpa itself. b sba will not accept for award on a solesource basis any order that',
12730:'would cause the total dollar amount of orders issued undera specific boaor bpa to exceedthe competitive threshold amount in 19.8051.',
12731:'c once an 8a participants program term expires, the participant otherwise exits the 8a program, or becomes other than small',
12732:'for the naicscodeassigned under the boa or thebpa, sbawill not accept new orders under the boaor bpa for the participant.',
12733:'19.8046 indefinite delivery contracts. a separate offers and acceptances are not required for individual orders under multipleawardcontracts including the federal',
12734:'supply schedules managed by gsa, multiagency contracts or governmentwide acquisition contracts, or indefinite delivery, indefinitequantityidiq contracts that have been setaside',
12735:'for exclusivecompetition among 8a contractors, and the individual order is to be competed among all 8a contract holders. sbas acceptance',
12736:'of the original contract is valid for theterm of the contract. offers andacceptancesare required for individual orders under multipleawardcontracts that',
12737:'have not been set aside for exclusive competition among 8a contractors. b the contractingofficer may issue an order on a',
12738:'sole source basiswhen— 1 the multipleaward contract was set aside for exclusive competition among 8a participants; 2 the order has',
12739:'an estimated value less than or equal to the dollar thresholds set forth at 19.8051a2; and 3 the offering and',
12740:'acceptance procedures at 19.8042 and 19.8043 are followed. c thecontracting officer may issuean orderdirectlyto one 8a contractor in accordance with',
12741:'19.504c1ii when— subpart 19.8 contracting with the small business administration the 8a program 19.8052 1 the multipleaward contract was reserved',
12742:'for 8a participants; 2 the order has an estimated value less than or equal to $7 million for acquisitions assigned',
12743:'manufacturing naics codes and $4.5 million for all other acquisitions; and 3 the offering and acceptance procedures at 19.8042 and',
12744:'19.8043 are followed. d an 8a contractor may continue to accept new orders under the contract, even if it exits',
12745:'the 8a program, or becomes other than small for the naics codes assigned to the contract. e agencies may continue',
12746:'to take credit toward their prime contracting small disadvantaged business or small business goals for orders awarded to 8a contractors,',
12747:'even after the contractors 8a program term expires, the contractor otherwise exits the 8a program, or the contractor becomes other',
12748:'than small for the naics codes assigned under the 8a contract. however, if an 8a contractor rerepresents thatitis other than',
12749:'small for thenaics codes assigned under the contractin accordance with 19.3012 or, where ownership orcontrol of the 8a contractor has',
12750:'changed and sba has granted a waiver to allow the contractor to continue performance see 13 cfr 124.515, the agency',
12751:'may not credit any subsequent orders awarded to the contractor towards its small disadvantaged business or small business goals. 19.805',
12752:'competitive 8a. 19.8051 general. a except as provided in paragraph b of this section, an acquisition offered to the sbaunder',
12753:'the8aprogramshallbe awarded on the basis of competition limited to eligible 8a participants when 1 there is a reasonable expectation that',
12754:'at least two eligible and responsible 8a participants will submit offersand that award can be made at a fair market',
12755:'price; and 2 the anticipated total value of the contract, including options, will exceed $7 million for acquisitions assigned manufacturing',
12756:'north american industry classification system naics codes and $4.5 million for all other acquisitions. b where an acquisition exceeds the',
12757:'competitive threshold see paragraph a2 of this section, the sba may accept the requirement for a sole source 8a award',
12758:'if 1 there is nota reasonable expectationthat at least two eligible and responsible 8a participants will submit offers at a',
12759:'fair market price; or 2 sba accepts the requirement on behalf of a concern owned by an indian tribe or',
12760:'an alaska native corporation. c a proposed 8a requirement with an estimated value exceeding the applicable competitive threshold amount shall',
12761:'not be divided into several requirements for lesser amounts in order to use 8a sole source procedures for award to',
12762:'a single firm. d the sba associateadministratorforbusiness development may approve a contracting offices request for a competitive 8a award below',
12763:'the competitive thresholds. such requests will be approved only on a limited basis and will beprimarily grantedwhere technical competitions are',
12764:'appropriate or wherea large number ofresponsible8aparticipants are available for competition. in determining whether a request to compete below the threshold',
12765:'will be approved, the sba associate administrator for business development will, in part, consider the extent to which the contracting',
12766:'activity is supporting the 8a program on a noncompetitive basis. the agency may include recommendations for competition below the threshold',
12767:'in the offeringletter or byseparate correspondence to the sba associate administratorforbusinessdevelopment. 19.8052procedures. a offers shall be solicitedfrom those sourcesidentified in',
12768:'accordance with 19.8043. b the sba will determine theeligibility of theapparent successful offeror. eligibility is based on section8aprogram criteria see',
12769:'13 cfr 124.501g and 19.816c. 1 in either negotiated or sealed bid competitive 8a acquisitions sba will determine the eligibility',
12770:'of the apparent successful offeror and advise the contracting office within 5working daysafter receipt of the contracting offices request for',
12771:'an eligibility determination. iif sba determines that the apparent successful offeror is ineligible, thecontracting office will thensend to sba the',
12772:'identityof the next highest evaluated offeror for an eligibility determination. the processis repeateduntil sba determines that an identified offeror is',
12773:'eligible for award. iiif the contracting officer believes that the apparent successful offeror or the offerorsba has determined eligible for',
12774:'award is not responsible to perform the contract,the contracting officermust refer the matter tosba for certificate of competency consideration under',
12775:'subpart 19.6. 2 for a twostep designbuild procurement, an 8a participant must be eligible for award under the 8a program',
12776:'on theinitial date for receipt of phase one offers specifiedin the solicitation see 13 cfr 124.507d3. federal acquisition regulation 3',
12777:'in any case in which an 8a participant is determined to be ineligible, sba will notify the 8a participant of',
12778:'that determination. c any party with information questioning the eligibility of an 8a participant to continue participation in the 8a',
12779:'program or for the purposes of a specific 8a award may submit such information to the sba in accordance with',
12780:'13 cfr 124.112c. d 1 sba does not certify joint ventures, as entities, into the 8a program. 2 a contracting',
12781:'officermay considera joint venture for contract award. sba doesnot approve joint ventures for competitive awards but see 13 cfr 124.501g',
12782:'for sbas determination of participant eligibility. 19.806pricing the 8a contract. athecontractingofficershallpricethe8acontractinaccordancewith subpart 15.4. if required by subpart 15.4, the sba',
12783:'shall obtain certified cost or pricing data from the 8a contractor. if thesba requests audit assistance todetermine the proposed price',
12784:'to be fair and reasonable in a sole source acquisition, the contracting activity shall furnish it to the extent it',
12785:'is available. b an 8a contract, sole source or competitive, may not be awarded if the price of the contract',
12786:'results in a cost to the contracting agency which exceeds a fair market price. c if requestedby the sba, the',
12787:'contractingofficer shall make available the data used to estimate the fair market price within 10 working days. d the negotiated',
12788:'contract price and the estimated fair market price are subject to the concurrence of the sba. in the event of',
12789:'a disagreement between the contracting officer and the sba, thesba mayappealin accordance with 19.810. 19.807estimating fair market price. a thecontracting',
12790:'officer shall estimate thefair market price of the work to be performed bythe 8a contractor. b in estimating the fair',
12791:'market price for an acquisition other than those covered in paragraph c of this section, the contracting officershalluse cost orprice',
12792:'analysis and consider commercial prices for similar products andservices, available inhouse cost estimates, data including certified cost orpricing data submittedby',
12793:'the sba or the 8a contractor,anddata obtainedfrom any other government agency. c inestimating a fair market price for a repeat',
12794:'purchase, the contracting officershallconsiderrecentaward prices for the same items or work if there is comparability in quantities, conditions, terms, and',
12795:'performance times. the estimated price should beadjusted to reflectdifferences in specifications,plans, transportation costs, packaging and packing costs, and other circumstances.',
12796:'price indices may be used as guides to determine the changes in labor and material costs. comparison of commercial prices',
12797:'for similar items may also be used. 19.808contract negotiation. 19.8081sole source. a the sba may not accept for negotiation a',
12798:'solesource 8a contract that exceeds $25 million unless the requesting agency has completed a justification in accordance with the requirements',
12799:'of 6.303. b the sba isresponsibleforinitiating negotiationswith the agencywithin thetime established by theagency. if the sba does not initiate negotiations',
12800:'within the agreed timeand the agency cannotallow additional time, the agencymay, after notifying the sba, proceed with the acquisition from',
12801:'other sources. c the sba should participate, whenever practicable, in negotiating the contracting terms. when mutually agreeable, the sba may',
12802:'authorizethe contracting officerto negotiate directly with the 8a participant. whether or notdirect negotiations take place, the sba is responsible for',
12803:'approving the resulting contract before award. d an 8a participant must represent that it is a small business in accordance',
12804:'with the size standard corresponding to the naics code assigned to the contract. e a concern must be a current',
12805:'participant in the 8a program at the time of an 8a solesource award. f an 8a participant owned byan alaska',
12806:'nativecorporation, indian tribe, native hawaiian organization, or community development corporation may not receive an 8a solesource award that is a',
12807:'followon contract to an 8a contract, if the predecessor contract was performed by another 8a participant or former 8a participant',
12808:'owned by the same alaska native corporation, indian tribe, native hawaiian organization,or communitydevelopment corporation see 13 cfr 124.109 through 124.111.',
12809:'subpart 19.8 contracting with the small business administration the 8a program 19.810 19.8082 competitive. in competitive 8a acquisitions, includingfollowon 8a',
12810:'acquisitions, subject to part15,the contracting officerconducts negotiations directly with the competing 8a participants. conducting competitive negotiations among eligible 8a participants',
12811:'prior to sbas formal acceptance of the acquisition for the 8a program may be grounds for the sbas not accepting',
12812:'the acquisition for the 8a program. 19.809 preaward considerations. 19.8091preaward survey. the contractingofficer should request a preaward survey ofthe 8a',
12813:'participantwhenever considereduseful. if theresults of the preaward survey orotherinformation availableto thecontracting officer raise substantial doubt asto theparticipants abilityto perform, thecontracting',
12814:'officer shall refer the matter to sba for certificate of competency consideration under subpart 19.6. 19.8092limitations on subcontracting and nonmanufacturerrule.',
12815:'a limitations on subcontracting. tobe awarded acontract ororder under the 8a program, the 8a participant is required to perform— 1',
12816:'for services except construction, at least 50 percent of the cost incurred for personnel with its own employees; 2 for',
12817:'supplies or products other than a procurement from a nonmanufacturer of such supplies or products, at least 50 percent of',
12818:'the cost of manufacturing the supplies or products not including the cost of materials; 3 for general construction, at least',
12819:'15 percent of the cost with its own employees not including the cost of materials; and 4 for construction by',
12820:'special trade contractors, at least 25 percent of the cost with its own employees not including the cost of materials.',
12821:'b compliance period. an 8a contractor is required to comply with the limitations on subcontracting— 1 for a contract under',
12822:'the 8a program, either by the end of the base term and then by the end of each subsequent option',
12823:'period orby the end ofthe performanceperiod for each order issued underthe contract, atthe contracting officers discretion; and 2 for an',
12824:'order competed exclusively among contractors who are 8a participants or for an order issued directly to one 8a contractor in',
12825:'accordance with 19.504c1ii, by theendof the performance period for the order. c waiver. the applicable sba district director may waive',
12826:'the provisions in paragraph b1 requiring a participant to comply with thelimitations onsubcontractingforeach period ofperformance or for eachorder. instead,the sba',
12827:'district director may permit the participant to subcontract in excess of the limitations on subcontracting where the sba districtdirector makes',
12828:'a writtendeterminationthat largeramountsof subcontracting are essentialduring certain stages of performance. 1 the 8a participant is required to provide the sba',
12829:'district director written assurance that the participant will ultimately comply with the requirementsof this sectionprior to contract completion. the contracting',
12830:'officershallreview the written assurance and inform the 8a participant of their concurrence or nonconcurrence. the 8a participant can only submitthe',
12831:'written assurance to the sba district directorupon concurrence by the contractingofficer. 2 the contractingofficer does nothavethe authority to waivethe provisions',
12832:'of this section requiring an 8a participant to comply with the limitations on subcontracting for each period of performance or',
12833:'order, even if the agency has a partnership agreement with sba. 3 where the 8a participant does not ultimately comply',
12834:'with the limitations on subcontracting by the end of the contract, sba will not grant future waivers for the 8a',
12835:'participant. d nonmanufacturer rule. see 19.505c for application of the nonmanufacturer rule, inclusive of waivers and exceptions to the nonmanufacturer',
12836:'rule. 19.810sba appeals. a the sba administrator may submit the following matters for determination to the agency head if the',
12837:'sba and the contracting officerfail to agree on them: 1 the decision not to make a particular acquisition available for',
12838:'award under the 8a program. 2 a contracting officer’s decision to rejecta specific 8a participant for award of an 8a',
12839:'contract after sba’s acceptance of the requirement for the 8a program. federal acquisition regulation 3 the terms and conditions of',
12840:'a proposed 8a contract, including thecontracting officer’s naics code designation and estimate of the fair market price. 4 a contracting',
12841:'officers decision that an acquisition previously procuredunder the8a program is anew requirement not subject to the release requirements at 13',
12842:'cfr 124.504d1 see 19.815a and d1. b 1 notification by sba of an intent to appeal to the agency head',
12843:'imustbe received by the contractingofficer within 5 working days after sba is formally notifiedof the contracting officers decision; and iimust',
12844:'be provided tothe contracting agency director for theofficeof smalland disadvantagedbusiness utilization or,forthe department of defense, the director of the office',
12845:'of small business programs. 2 sba must send the written appeal to the agency head within15 working days of sba’s',
12846:'notification of intent to appeal or the appeal may be considered withdrawn. pendingissuance of a decision by the agency head,',
12847:'the contractingofficer shall suspend actionon the acquisition. the contractingofficer need not suspend action onthe acquisition if the contracting officer makes',
12848:'awritten determination that urgent and compelling circumstancesthat significantly affect the interests ofthe united states will not permit waiting for a',
12849:'decision. c if the sba appeal is denied, the decision of the agency head shall specify the reasons for the',
12850:'denial, including the reasons why the selected participant was determined incapable of performance, if appropriate. the decision shall be made',
12851:'a part of the contract file. 19.811preparingthe contracts. 19.8111 sole source. a the contract to be awarded by the agency',
12852:'to the sba shall be prepared in accordance with agency procedures and in the same detail as would be requiredin',
12853:'a contract witha business concern. the contracting officer shall use the standard form 26 as the award form, except for',
12854:'construction contracts, in which case the standard form 1442 shall be used as required in 36.701a. b the contractingofficer shall',
12855:'prepare the contractthat thesba will award tothe 8a participantin accordance with agency procedures, as if awarding the contract directly to',
12856:'the 8a participant, except for the following: 1 the award form shall cite 41 u.s.c. 3304a5 or 10 u.s.c. 3204a5',
12857:'as appropriate as the authority for use of other than full and open competition. 2 appropriate clauses shall be included,',
12858:'as necessary, to reflect that the contract is betweenthe sba and the 8a contractor. 3 the following items shall be',
12859:'inserted by the sba: ithe sbacontract number. iithe effective date. iii the typed name of thesba’s contracting officer. iv the',
12860:'signature of the sba’s contracting officer. v the date signed. 4 the sba will obtain the signature of the 8a',
12861:'contractor prior to signing and returning the prime contract to the contracting officerforsignature. thesba will make everyeffort to obtain signatures',
12862:'and return the contract,and any subsequent bilateral modification, to the contracting officer within a maximumof 10 workingdays. c except in',
12863:'procurements where thesba will make advance payments to its 8a contractor, the agency contracting officer may, as analternative to theprocedures',
12864:'in paragraphs a and b of this subsection, use a singlecontract documentfor both theprimecontract betweenthe agencyand the sba and its8a',
12865:'contractor. the single contract document shall contain the information in paragraphs b 1, 2, and 3 of this subsection. appropriate',
12866:'blocks on the standard form sf 26 or 1442 will be asterisked and a continuation sheet appended as a tripartite',
12867:'agreement which includes the following: 1 agency acquisition office, prime contract number, name of agency contracting officer and lines for',
12868:'signature, date signed, and effectivedate. 2 the sba office, the sba contractnumber, name of the sba contracting officer, and lines',
12869:'for signature and date signed. 3 name and lines for the 8a subcontractor’s signature and date signed. d for acquisitions',
12870:'not exceeding the simplifiedacquisitionthreshold, the contracting officer may use thealternative procedures in paragraph c of this subsection with the appropriate',
12871:'simplified acquisition forms. subpart 19.8 contracting with the small business administration the 8a program 19.812 19.8112 competitive. a the contract',
12872:'will be prepared in accordance with 14.4081d, except that appropriate blocks on the standard form 26 or 1442 will be',
12873:'asterisked and a continuation sheet appended as a tripartite agreement which includes the following: 1 the agency contracting activity, prime',
12874:'contract number,name of agencycontracting officer, andlinesforsignature, datesigned,and effective date. 2 the sba office, the sba subcontract number, name of the',
12875:'sba contracting officer and lines for signature and date signed. b the process for obtaining signatures shall be as specified',
12876:'in 19.8111b4. 19.8113 contract clauses. a thecontracting officer shall insert the clause at 52.21911, special 8a contract conditions, in contracts',
12877:'between the sba and the agency when the acquisition is accomplished using the procedures of 19.8111a and b. b the',
12878:'contractingofficer shall insertthe clause at 52.21912, special 8a subcontract conditions, in contracts between the sba and its 8a contractor when',
12879:'the acquisition is accomplished using the procedures of 19.8111a and b. c thecontracting officer shall insert the clause at 52.21917,',
12880:'section 8a award, incompetitive solicitations and contracts when the acquisition is accomplished using the procedures of 19.805 and in sole',
12881:'source awards which utilize the alternative procedure in 19.8111c. d the contractingofficer shall insertthe clause at 52.21918, notification of competition',
12882:'limited to eligible 8a participants, in competitive solicitations and contracts when the acquisition is accomplished using the procedures of 19.805.',
12883:'use the clause at 52.21918 with its alternate i when competition is to be limited to 8a participants within one',
12884:'or more specific sba districts pursuant to 19.8042. e for contracts or orders resulting from this subpart, see 19.507e for',
12885:'use of 52.21914, limitations on subcontracting, and 19.507h for use of 52.21933, nonmanufacturer rule. 19.812contract administration. a thecontracting officer shall',
12886:'assign contract administrationfunctions, as required, based on the location ofthe 8a contractor see federal directory of contract administration services components',
12887:'available via the internet at https:// piee.eb.mil/pcm/xhtml/unauth/index.xhtml . b the agency shall distribute copies of the contracts in accordance with',
12888:'part 4.allcontractsandmodifications,ifany, shall be distributed to both the sba and the 8a contractor in accordance with the timeframes set forth',
12889:'in 4.201. c to the extentconsistent with the contracting activity’s capability and resources, 8a contractorsfurnishing requirementsshallbe afforded production and technical',
12890:'assistance,including, when appropriate, identification ofcausesof deficiencies in their products and suggested corrective action to make such products acceptable. d for',
12891:'8acontracts exceeding 5years including options, the contracting officer shall verify indsbs or sam that the concern is an sbacertified 8a',
12892:'participant no more than 120 days prior to the end of the fifth year of the contract. if the concern',
12893:'is not an sbacertified 8a participant,the contracting officershallnot exercise the option see 13 cfr 124.521e 2. e an8acontract,whetherinthebaseoranoptionyear,mustbeterminatedforconvenienceifthe8acontractorto which it',
12894:'was awarded transfers ownership or control of the firm or if the contract is transferred or novated for any reason',
12895:'to another firm, unless the administrator of the sba waives the requirement for contract termination 13 cfr 124.515. the administrator',
12896:'may waive thetermination requirement only ifcertain conditionsexist. moreover, a waiver of the requirement for termination is permitted only if the',
12897:'8a contractors request for waiver is made to the sba prior to the actual relinquishment of ownership or control, except',
12898:'in the case of death or incapacity where the waiver must be submitted within 60 calendar days after such an',
12899:'occurrence. the clauses in the contract entitled special 8a contract conditions and special 8a subcontract conditions require the sbaand the',
12900:'8a subcontractor to notify the contracting officer when ownership of the firm is being transferred. when the contracting officer receivesinformation',
12901:'that an 8a contractoris planning to transfer ownership or control to another firm, the contractingofficer shall take action immediately to',
12902:'preservethe option of waiving thetermination requirement. the contracting officershalldetermine the timing of theproposed transfer and itseffect on contract performance and',
12903:'mission support. ifthe contracting officerdeterminesthat thesba does not intend to waive the termination requirement, and termination of the contract would',
12904:'severely impair attainment of the agencys program objectives ormission, the contracting officer shall immediately notify the sba in writing thatthe',
12905:'agency is requesting a waiver. within 15businessdays thereafter, or such longerperiod as agreed toby the agency and the sba, theagency',
12906:'head must either confirmor withdraw therequest for waiver. unless a waiver is approved by the sba, the contracting officer must',
12907:'federal acquisition regulation terminate the contract for convenience upon receipt of a written request by the sba. this requirement for',
12908:'a convenience terminationdoes not affect thegovernments right to terminate for defaultif the cause for termination of an8acontract is other than',
12909:'the transfer of ownership or control. 19.813 protesting an8a participants eligibility orsize status. a the eligibility of an 8a participant',
12910:'for a sole source or competitive 8a requirement may not be challenged by another8aparticipant or anyother party, either to sbaor',
12911:'any administrative forum as partof abid or other contract protest see 13 cfr 124.517. b the size status of an',
12912:'8a participant nominated for an 8a sole source contract may not be protested by another 8a participant or any other',
12913:'party. c thesize status of the apparent successful offeror for competitive8aawards may be protested. the filing of a size status',
12914:'protest is limited to 1 any offeror whom thecontracting officer has not eliminated for reasons unrelated to size; 2 the',
12915:'contractingofficer; or 3 the sba districtdirector in eitherthe district office serving the geographical area inwhich the contracting activity is locatedor',
12916:'the district officethat services theapparent successful offeror, or the associate administrator for business development. d protests of competitive 8a awards',
12917:'shall follow the procedures at 19.302. for additional information, refer to 13 cfr 121.1001. 19.814 requesting a formal size determination',
12918:'8a sole source requirements. a if the size status of an 8a participant nominated for award of an 8a sole',
12919:'source contract is called into question, a request for a formal size determination may be submitted to sba pursuant to',
12920:'13 cfr 121.1001b2ii by 1 the 8a participant nominated for award of the particular sole source contract; 2 the contractingofficer',
12921:'who has been delegatedsba’s 8a contractexecution functions,where applicable, or the sba program officialwith authority to execute the 8a contract; 3',
12922:'the sba districtdirector in the district office that services the 8a participant or theassociate administrator for business development; or 4',
12923:'the sba inspector general. b sba’s government contracting area director will issuea formal size determination within 15 business days,if possible,',
12924:'after sba receives the request for a formal size determination. c an appeal of an sba size determination shall follow',
12925:'the procedures at 19.302. 19.815 release and notification requirements for non8a procurement. a once a requirement has been accepted by',
12926:'sba into the 8a program, any followon requirements see definition at 13 cfr 124.3 shall remain in the 8a program',
12927:'unless— 1 sba agrees to release the requirement from the 8a program for a followon, non8a procurement in accordance with',
12928:'13 cfr 124.504d see paragraph b of this section; or 2 there is a mandatory source see 8.002 or 8.003;',
12929:'also see paragraph f of this section. b to obtainrelease ofa requirement for a followon, non8a procurement, other than a',
12930:'mandatory source listed at 8.002 or 8.003,the contracting officershallmakea written request to,and receive concurrence from, the sba associate administrator for',
12931:'business development. c 1 the written request to the sba associate administrator for business development shall indicate i whether the',
12932:'agency has achieved its small disadvantaged business goal; ii whether the agency has achieved its hubzone, sdvosb, wosb, or small',
12933:'business goals; and iii whether the requirement is critical to the business development of the 8a contractor that is currently',
12934:'performing the requirement. 2 generally,a requirement that was previously acceptedinto the 8a program willonly be released for procurements outside the',
12935:'8a program when the contracting activity agency agrees to set aside the requirement under the small business, hubzone, sdvosb, or',
12936:'wosb programs. 3 the requirement that a followon procurement must be released from the 8a program in order for it',
12937:'to be fulfilled outside the 8a program does notapply to task or delivery orders offeredto and accepted into the 8a',
12938:'program,where the basic contract was not accepted into the 8a program. subpart 19.8 contracting with the small business administration the',
12939:'8a program 19.816 d 1whenacontractingofficerdecidesthatarequirementpreviouslyprocuredunderthe8aprogramisanew requirement and not a followonrequirementto an8a contracts, thecontracting officer shall coordinate with and submita written',
12940:'notice to the sba district office servicing the8aincumbent firm and tothe sba procurementcenterrepresentative or,if a procurementcenter representative isnot assigned, see',
12941:'19.402a indicating that the agency intends to procure the requirement outside the 8a program see 19.810a4. 2 the written notice',
12942:'shall include a copy of the acquisition plan, if available; the performance work statement pws, statement of work sow, or',
12943:'statement of objectives soo for the new contract requirement; and the values of the existing 8a contracts and the new',
12944:'contract requirement. e 1whenacontractingofficerdecidestoprocureafollowonrequirementtoan8acontractusinganexisting,limited competition contracting vehicle that is not available to all 8a participants, and the current or previous',
12945:'8a contract was available to all 8aparticipants,the contracting officer shall coordinatewith andsubmit a written noticeto thesba district office servicing the8a',
12946:'incumbent firm and tothe sba procurement centerrepresentative or,if a procurementcenter representative is not assigned, see 19.402a indicating the intent to',
12947:'do so. 2 the written notice shall include a copy of the acquisition plan, if available; thepws,sow, or soo for',
12948:'the new contract requirement; and the values of both contracts. f 1whenamandatorysourcewillbeusedforafollowonrequirementtoan8acontract,thecontractingofficer should submit a written notice to the sba',
12949:'associate administrator for business development of the intent to do so at least 30 days prior to the end of',
12950:'the contract or order in accordance with 13 cfr 124.504d4ii. 2 the written notice should include a written determination that',
12951:'a mandatory source will be used to fulfill the requirement. 19.816 exiting the 8aprogram. a except as provided in paragraph',
12952:'c of this section, when a contractor exits the 8a program, it is no longer eligible to receive new 8acontracts.',
12953:'however, the contractor remains under contractual obligation to complete existingcontracts, and any priced options that may be exercised. b if',
12954:'an 8a contractor is suspended from the program see 13 cfr 124.305, it may not receive any new 8a contracts',
12955:'unless the head of the contracting agency makes a determination that it is in the best interest of the government',
12956:'to issue the award and sba adopts that determination. c a contractor that has completed its term of participation in',
12957:'the 8a program may be awarded a competitive 8a contract ifitwas an 8a participant eligible for awardof the contract on',
12958:'the initialdate specified for receipt of offers contained in the solicitation, and if the contractor continues to meet all other',
12959:'applicable eligibility criteria see 13 cfr 124.507d. d sbas regulations on exiting the 8a program are found at 13 cfr',
12960:'124.301 through 124.305, and 13 cfr 124.507d. this page intentionally left blank. 19.812 subpart 19.9 [reserved] subpart 19.9 [reserved] this',
12961:'page intentionally left blank. 19.92 subpart 19.10 [reserved] subpart 19.10 [reserved] this page intentionally left blank. 19.102 subpart 19.11 [reserved]',
12962:'subpart 19.11 [reserved] this page intentionally left blank. 19.112 subpart 19.12 [reserved] subpart 19.12 [reserved] this page intentionally left blank.',
12963:'19.122 subpart 19.13 historically underutilized business zone hubzone program 19.1305 subpart 19.13 historically underutilized business zone hubzone program 19.1301 general.',
12964:'a the historically underutilized business zone hubzone act of 1997 15 u.s.c.631 note created the hubzone program. b the purpose',
12965:'of the hubzone program is to provide federal contracting assistance for qualified small business concerns located inhistorically underutilized business zones,',
12966:'in an effort to increase employment opportunities, investment, and economic development in those areas. 19.1302 [reserved]. 19.1303 status as a',
12967:'hubzone small business concern. a status as a hubzone small business concern is determined by the small business administration sba',
12968:'in accordance with 13 cfr part 126. b if sba determines that a concern is a hubzone small business, it',
12969:'will designate the concern as a hubzone small business in the dynamic small business search dsbs at https://web.sba.gov/pronet/search/dspdsbs.cfm. sbas designation',
12970:'also appears in sam. only firms designated in dsbs and sam as hubzone small business concerns are eligible for hubzone',
12971:'preferences. hubzone preferences are not contingent on the place of performance. c a joint venture may be considered a hubzone',
12972:'small business concern if— 1 the joint venture qualifies as small under 19.3011a2i; 2 at least one party to the',
12973:'joint venture is a hubzone small business concern; and 3 the joint venture complies with 13 cfr 126.616a through c.',
12974:'d to be eligible for a hubzone contract under this section, ahubzone small business concern mustbe a hubzone small business',
12975:'concernat the timeof its initial offer. 19.1304 exclusions. this subpart does not apply to a requirements that can be satisfied',
12976:'through award to 1 federal prison industries, inc. see subpart 8.6; or 2 abilityone participating nonprofit agencies for the blind',
12977:'or severely disabled see subpart 8.7; b orders under indefinitedelivery contracts see subpart 16.5. but see 16.505b2if for discretionary setasides',
12978:'of orders; c orders against federal supply schedules see subpart 8.4. but see 8.4055 for discretionary setasides of orders; d',
12979:'requirements currently being performed by an 8a participant or requirements sba has accepted for performance under the authority of the',
12980:'8a program, unless sba has consented to release the requirements from the 8a program; or e requirements for commissary or',
12981:'exchange resale items. 19.1305 hubzone setasideprocedures. a thecontracting officer 1 shall comply with 19.203 before deciding to set aside an',
12982:'acquisition under the hubzone program; 2 may set aside acquisitions exceeding the micropurchase threshold for competition restricted to hubzone small',
12983:'business concerns when the requirements of paragraph b of this section can be satisfied; and 3 shall consider hubzone setasides',
12984:'before considering hubzone solesource awards see 19.1306 or small business setasides see subpart 19.5. b to set aside an acquisition',
12985:'for competition restricted to hubzone smallbusinessconcerns, the contracting officer must have a reasonable expectation that 1 offers will be receivedfrom',
12986:'two or more hubzone small business concerns; and 2 award will be made ata fair marketprice. c if the contracting',
12987:'officerreceives only one acceptable offer from ahubzone small business concern in responseto a set aside, thecontracting officer should make an',
12988:'award to that concern. if the contracting officer receives no acceptable offers from hubzone small business concerns, the hubzone setaside',
12989:'shall be withdrawn and the requirement, if still valid, set aside for small business concerns, as appropriate see 19.203. 19.1306',
12990:'federal acquisition regulation d the procedures at 19.2021 and, at 19.402 apply to this section. 1 when the sba intends',
12991:'to appeal a contracting officer’s decision to reject a recommendation of the sba procurement center representative or, ifa procurement center',
12992:'representativeis not assigned,see 19.402a to set aside an acquisition for competition restricted to hubzone small business concerns, the sba procurement',
12993:'center representative shall notify the contractingofficer, in writing, of its intent within5 business days of receiving the contracting officer’s notice',
12994:'of rejection. 2 upon receipt ofnotice of sba’s intentto appeal, the contracting officer shall suspend action on the acquisition until',
12995:'the head of the contracting activity issues a written decision on the appeal, unless the head of the contracting activity',
12996:'makes a written determinationthat urgent and compellingcircumstances, which significantly affectthe interests ofthe government, exist. 3 within 15 business daysof sba’s',
12997:'notificationto thecontracting officer,sba must file its formal appeal with the head of the agency, or the appeal will be deemed',
12998:'withdrawn. the head of the agency shall reply to sba within 15business days of receiving the appeal. the decision of',
12999:'the head of the agency shall be final. 19.1306 hubzone solesource awards. a a contractingofficer shall consider a contract awardto',
13000:'a hubzonesmall business concern on a solesource basis see 6.3025b5 before considering a small business setaside see 19.203 and subpart',
13001:'19.5, provided none of the exclusions at 19.1304 apply; and 1 the contractingofficer does nothavea reasonable expectation that offerswould be',
13002:'received fromtwo ormore hubzone small business concerns; 2 the anticipated price of the contract, including options, will not exceed i',
13003:'$7 million for a requirement within the north american industry classification system naics codes for manufacturing; or ii $4.5 million',
13004:'for a requirement within all other naics codes; 3 the requirement is not currently being performed by an 8a participant',
13005:'under the provisions of subpart 19.8 or has been accepted as a requirement by sba under subpart 19.8; 4 the',
13006:'hubzone small business concern has been determined to be a responsible contractor with respect to performance; and 5 award can',
13007:'be made at a fair and reasonableprice. b the sba has therightto appeal the contracting officer’s decision not to make',
13008:'a hubzone solesource award see 13 cfr 126.610. 19.1307 price evaluation preference for hubzone small business concerns. a the price',
13009:'evaluation preference for hubzone small business concerns shall be used in acquisitions conducted using full and open competition. the preference',
13010:'shall not be used 1 where price is not a selection factor so that a price evaluation preference would not',
13011:'be considered e.g., architect/ engineer acquisitions; 2 where all fair and reasonable offers are accepted e.g., the award of multiple',
13012:'award schedule contracts; or 3 for the reserved portion of a solicitation for a multipleaward contract see 19.503. b the',
13013:'contractingofficer shall give offersfrom hubzone small business concerns a price evaluation preference by addinga factor of10 percent to all offers,',
13014:'except 1 offers from hubzone small business concernsthat have not waived the evaluation preference; or 2 otherwise successful offers from',
13015:'smallbusinessconcerns. c the factor of 10 percent shall be applied on a line item basis or to any group of',
13016:'items on which award may be made. otherevaluation factors, such as transportation costs or rentfree use of government property, shall',
13017:'be added to the offer to establish the base offerbefore addingthe factor of 10 percent. d when the two highest',
13018:'ratedofferorsare a hubzone smallbusinessconcern and a large business, and the evaluated offer ofthe hubzone small business concern isequal to the',
13019:'evaluated offerof the large business after considering the price evaluationpreference, the contracting officer shall awardthe contract tothe hubzone small business',
13020:'concern. subpart 19.13 historically underutilized business zone hubzone program 19.1309 19.1308 [reserved]. 19.1309 contract clauses. a thecontracting officer shall insert',
13021:'the clause 52.2193, notice of hubzone setaside or solesource award, in solicitations and contracts for acquisitions that are set aside',
13022:'or awarded on a solesource basis to, hubzone small business concerns under 19.1305 or 19.1306. this includes multipleaward contracts when',
13023:'orders may be set aside for hubzone small business concerns as described in 8.4055 and 16.505b2if or when orders may',
13024:'be issued directly to one hubzone small business concern in accordance with 19.504c1ii. b the contractingofficer shall insertthe clause at',
13025:'52.2194, notice of price evaluation preference for hubzone small business concerns, in solicitations and contracts for acquisitions conducted using full',
13026:'and open competition. c for use of clause 52.21914, limitations on subcontracting, see the prescription at 19.507e. d for use',
13027:'of clause 52.21933, nonmanufacturer rule, see the prescription at 19.507h. this page intentionally left blank. 19.134 subpart 19.14 servicedisabled veteranowned',
13028:'small business program 19.1405 subpart 19.14 servicedisabled veteranowned small business program 19.1401 general. a theveterans benefit act of2003 15 u.s.c.',
13029:'657f created the procurement program for small business concerns owned and controlled byservicedisabled veterans commonly referred to as the servicedisabled',
13030:'veteranowned small business sdvosb program. b the purpose of the sdvosb program is to provide federal contracting assistance to servicedisabled',
13031:'veteranowned small business concerns. 19.1402 applicability. the proceduresin this subpart apply toallfederal agencies that employ oneor more contracting officers. 19.1403',
13032:'status. a status as an sdvosb concern is determined by sba in accordance with 13 cfr part 128; also see',
13033:'19.307. b for an sdvosbconcern thatseeks an sdvosbsetasideor solesource contract,the contracting officer shall verify that the offeror— 1 effective january',
13034:'1,2024, is designated inthe system for award management sam asan sdvosb concern certified by sba; or 2 has represented that',
13035:'it is an sdvosb concern in sam and submitted an application for certification to sba on or before december 31,',
13036:'2023. pending applications for certificationare inthe sba veteran small business certification program database at https://veterans.certify.sba.gov. c if there is a',
13037:'decision issued by sba as a result of a current eligibility examination finding that the concern did not qualify as',
13038:'an sdvosb concern eligibleunder thesdvosb program or sba denies a concern’s applicationforsdvosb certification, the concernmust update its sdvosb status in',
13039:'sam within 2 days of sba’s final decision toreflect that the concern is not an eligible sdvosb. sba will update',
13040:'the concern’s sdvosb status in sam within 2 days of theconcern’s failure to make the update. d effective january 1,2024,',
13041:'ajoint venturemay be consideredan sdvosbconcern eligible under the sdvosb program if— 1 the joint venture qualifies as small under 19.3011a2i;',
13042:'2 the managing sdvosb joint venture partner— i is designated in sam as an sdvosb concern certified by sba; or',
13043:'ii has represented that it is an sdvosb concern in sam and submitted an application for certification to sba on',
13044:'orbefore december 31, 2023. pending applications for certification are in the sba veteran small business certification database at https://veterans.certify.sba.gov; and',
13045:'3 the joint venture complies with the requirements of 13 cfr 128.402. 19.1404 exclusions. this subpart does not apply to',
13046:'a requirements that can be satisfied through award to 1 federal prison industries, inc. see subpart 8.6; 2 abilityone participating',
13047:'nonprofit agencies for the blind or severely disabled see subpart 8.7; b orders under indefinitedelivery contracts see subpart 16.5. but',
13048:'see 16.505b2if for discretionary setasides of orders; c orders against federal supply schedules see subpart 8.4. but see 8.4055 for',
13049:'discretionary setasides of orders; or d requirements currently being performed by an 8a participant or requirements sba has accepted for',
13050:'performance under the authority of the 8a program, unless sba has consented to release the requirements from the 8a program.',
13051:'19.1405 setaside procedures. a thecontracting officer 1 shall comply with 19.203 before deciding to set aside an acquisition under the',
13052:'sdvosb program; 2 may setaside acquisitions exceeding the micropurchase threshold for competition restricted to sdvosb concerns when the requirements of',
13053:'paragraph b of this section can be satisfied; and 19.1406 federal acquisition regulation 3 shall consider sdvosb setasides before considering',
13054:'sdvosb sole source awards see 19.1406 or small business setasides see subpart 19.5. b a contracting officermay restrictcompetition tosdvosb concerns',
13055:'eligible underthe sdvosbprogram if there is a reasonable expectation based on market research that— 1 two or more sdvosbconcerns eligibleunder',
13056:'thesdvosb program will submitoffers; and 2 award will be made ata fair marketprice. c effectivejanuary 1, 2024, thecontracting officer shall—',
13057:'1 verify that offers received are eligible for consideration for award by checking if the offeror— i is designated in',
13058:'sam as an sdvosb concern certified by sba; or ii has represented that it is an sdvosb concern in sam',
13059:'and submitted an application for certification to sba on orbefore december 31, 2023. pending applications for certification are in the',
13060:'sba veteran small business certification database at https://veterans.certify.sba.gov; 2 proceed with the offerevaluation, ifthe offeror meetsthe criteria in paragraph c1i',
13061:'or iiof this section;or 3 remove the offeror from consideration, if theofferor doesnot meet the criteria in paragraphc1ior ii ofthis',
13062:'section,as the offeror is not eligible for award. d if the contracting officer receives only one acceptableoffer froman sdvosb concern',
13063:'eligible underthe sdvosb program in responseto a setaside, the contractingofficer should make an award to thatconcern. if thecontracting officer receivesno',
13064:'acceptableoffers from sdvosb concerns eligible under the sdvosb program, the sdvosb setaside shall be withdrawn and the requirement, if still',
13065:'valid, set aside for small business concerns, as appropriate see 19.203. e the procedures at 19.2021 and, except for acquisitions',
13066:'not exceeding the simplified acquisition threshold, at 19.402 apply tothissection. when the sba intends to appeal a contracting officer’s decision',
13067:'toreject a recommendation of the sba procurementcenterrepresentative or, if a procurement center representative is not assigned, see 19.402a to set',
13068:'aside an acquisition for competition restricted to sdvosb concerns, the sba procurement center representative shall notify the contracting officer, inwriting,',
13069:'of its intent within 5 working days of receivingthe contracting officer’s notice ofrejection. upon receipt ofnotice of sba’s intentto appeal,',
13070:'the contracting officer shall suspend action on the acquisition unless the head of the contracting activity makes a written determination',
13071:'that urgent and compelling circumstances,which significantly affect the interests of the government, exist. within15 working days of sba’s notification to',
13072:'the contracting officer, sba shall file its formal appeal with the head ofthe contracting activity, or that agencymay considerthe appeal',
13073:'withdrawn. the head of the contracting activity shall reply to sba within 15 working days of receiving the appeal. the',
13074:'decision of the head of the contracting activity shall be final. 19.1406 solesource awards. a a contractingofficer shall consider a',
13075:'contract awardto a sdvosb concern on asolesource basis see 6.3025b6, before considering small business setasides see 19.203 and subpart 19.5',
13076:'provided none of the exclusions of 19.1404 apply and— 1 the contractingofficer does nothavea reasonable expectation that offerswould be received',
13077:'fromtwo ormore servicedisabled veteranowned small business concerns; 2 the anticipated award price of the contract, including options, will not exceed',
13078:'i $7 million for a requirement within the naics codes for manufacturing; or ii $4 million for a requirement within',
13079:'any other naics code; 3 the requirement is not currently being performed by an 8a participant under the provisions of',
13080:'subpart 19.8 or has been accepted as a requirement by sba under subpart 19.8; 4 the servicedisabled veteranowned small business',
13081:'concern has been determined to be a responsible contractor with respect to performance; and 5 award can be made at',
13082:'a fair and reasonableprice. b effective january 1,2024, acontracting officer shall only award a solesource contract to a concern that—',
13083:'1 is designated in sam as an sdvosb concern certified by sba; or 2 has represented that it is an',
13084:'sdvosb concern in sam and submitted an application for certification to sba on or before december 31, 2023. pending applications',
13085:'for certificationare inthe sba veteran small business certification program database at https://veterans.certify.sba.gov. c thesba has the right to appeal the',
13086:'contracting officer’s decision notto make ansdvosb solesource award. subpart 19.14 servicedisabled veteranowned small business program 19.1408 19.1407 [reserved] 19.1408 contract',
13087:'clauses. a thecontracting officer shall insert the clause at 52.21927, notice of setaside for, orsolesource award to, service disabled veteranowned',
13088:'small business sdvosb concernseligible under the sdvosb program, in solicitations and contracts for acquisitions that are set aside or awarded',
13089:'on a solesource basis to, servicedisabled veteranowned small business concerns under 19.1405 and 19.1406. this includes multipleaward contracts when orders',
13090:'may be set aside for servicedisabled veteranowned small business concerns as described in 8.4055 and 16.505b2if or when orders may',
13091:'be issued directly to one servicedisabled veteranowned small business contractor in accordance with 19.504c1ii. b for use of clause 52.21914,',
13092:'limitations on subcontracting, see the prescription at 19.507e. c for use of clause 52.21933, nonmanufacturer rule, see the prescription at',
13093:'19.507h. this page intentionally left blank. 19.144 subpart 19.15 womenowned small business program. 19.1505 subpart 19.15 womenowned small business program.',
13094:'19.1500 general. a section 8m of the small business act 15 u.s.c. 637m created the womenowned small business wosb program.',
13095:'b the purpose of the wosb program is to ensure womenowned small business concerns have an equal opportunity to participate',
13096:'in federal contracting and to assist agencies in achieving their womenowned small business participation goals see 13 part cfr 127.',
13097:'c an economically disadvantaged womenowned small business edwosb concern and a wosb concern eligible under the wosb program are subcategories',
13098:'of “womenowned small business concern” as defined in section 2.101. 19.1501 [reserved] 19.1502 applicability. the proceduresin this subpart apply toallfederal',
13099:'agencies that employ oneor more contracting officers. 19.1503 status. a status as an edwosb concern or wosb concern eligible under',
13100:'the wosb program is determined by the small business administration in accordance with 13 cfr part 127. b for a',
13101:'wosb that seeksa wosb or edwosb setaside or solesource contract, the contracting officer shall verify that theofferor— 1 is registered',
13102:'in the system for award managementsam;and 2 is designated as a certified edwosb or wosb concern in sam see 19.1505d',
13103:'for set aside procedures. pending applications for certification are only in the dynamic small business search dsbs at https://web.sba.gov/pronet/search/ dspdsbs.cfm.',
13104:'c if there is a decision issued by sba as a result of a current eligibility examination finding that the',
13105:'concern did not qualify as an edwosb concern or wosb concern eligible under the wosb program, the contracting officer may',
13106:'terminate the contract, and shall not exercise any option, or award further task or delivery orders. agencies shall not count',
13107:'or include the award toward the small business goals for an edwosb concern or wosb concern eligible under the wosb',
13108:'program and must update fpds from the date of award to reflect the final sba decision. d a joint venture',
13109:'may be considered an edwosb concern or wosb concern eligible under the wosb program if the edwosb or wosb participant',
13110:'is certified in sam see section 19.1505d for setaside procedures and the joint venture meets the requirements of 13 cfr',
13111:'127.506. 19.1504 exclusions. this subpart does not apply to a requirements that an 8a contractor is currently performing under the',
13112:'8a program or that sba has accepted for performance under the authority of the 8a program, unless sba has consented',
13113:'to release the requirements from the 8a program; b requirements that can be satisfied through award to mandatory government sources',
13114:'see section 8.002; c orders under indefinitedelivery contracts see subpart 16.5. but see 16.505b2if for discretionary setasides of orders; or',
13115:'d orders against federal supply schedules see subpart 8.4. but see 8.4055 for discretionary setasides of orders. 19.1505 setaside procedures.',
13116:'a thecontracting officer 1 shall comply with 19.203 before deciding to set aside an acquisition under the wosb program; 2',
13117:'i may set aside acquisitions exceeding the micropurchase threshold for competition restricted to edwosb concerns when the acquisition is assigned',
13118:'a naics code in which sba has determined that wosb concerns are underrepresented in federal procurement; or ii is assigned',
13119:'a naics code in which sba has determined that wosb concerns are substantially underrepresented in federal procurement,as specified on sba’s',
13120:'web site at http://www.sba.gov/wosb. 19.1505 federal acquisition regulation b for requirements in naics codes designated by sba as underrepresented, acontracting',
13121:'officer may restrict competitionto edwosbconcerns if the contracting officer has a reasonable expectationbased on market research that 1 two or',
13122:'more edwosb concerns will submit offersforthe contract and; 2 contract award will be made at a fair and reasonable price.',
13123:'c a contractingofficer may restrict competition to wosb concerns eligible under the wosb program including edwosb concerns, for requirements in',
13124:'naics codes designated by sba as substantially underrepresented if there is a reasonable expectation based on market research that 1',
13125:'two or more wosb concerns eligibleunder thewosb programincluding edwosb concerns, will submit offers and; 2 contract award may be made',
13126:'at a fair and reasonable price. d an edwosb or wosb concern may submit an offer under an edwosb or',
13127:'wosb setaside when the offeror— 1 qualifies as a small business concern under the size standard corresponding to the naics',
13128:'code assigned to the contract; and 2 i for an edwosb setaside, is certified pursuant to 13 cfr 127.300 as',
13129:'an edwosb or has a pending application for edwosb certification in the dsbs see 13 cfr 127.504a; or ii for',
13130:'a wosb setaside, is certified pursuant to 13 cfr 127.300 as an edwosb or wosb, or has a pending application',
13131:'for edwosb or wosb certification in the dsbs see 13 cfr 127.504a. e thecontracting officer shall verify that offers receivedare',
13132:'eligible for considerationforaward by checking sam to see if the edwosb or wosb concern is designated as a certified concern',
13133:'or checking dsbs for a pending application for certification. 1 if the offeroris designated as certified in sam or has',
13134:'a pending application for certification in dsbs, proceed with theoffer evaluation. 2 unlessthe offeror is designated as certified insam or',
13135:'has a pending applicationforcertification in dsbs, the offer is not eligible for award and shall be removed from consideration. f',
13136:'priorto award, the contracting officer shall verify the apparentlysuccessfulofferor is certified in sam, or has a pending application for certification',
13137:'in dsbs. if theapparently successful offerors edwosb or wosb certification is pending in dsbs, the contracting officer shall notifysbas director/government',
13138:'contracting by email at wosbpendingcertification@sba.gov, and requestsbas status determination. the contracting officer shall provide sba with theofferorsname,unique entity identifier, type',
13139:'of setaside, naics code,andsolicitation number. 1 within 15 calendardays from the date of thecontracting officers notification, sbawill make adetermination regarding',
13140:'theofferorsstatus as anedwosb or wosbeligible under the wosb program. 2 if the contracting officer does not receive a determination from',
13141:'sbawithin 15 calendar days, the contracting officer at their discretion, may provide sba additional time to make a determination, or',
13142:'may proceed with award to the next highest evaluated offeror. 3 the contractingofficer shall not make award to an offeror',
13143:'who isnot acertifiededwosb or wosb concern eligible under the wosb program. g the contractingofficer may make an award,if only one',
13144:'acceptable offer isreceived from a qualified edwosb concern or wosb concern eligible under the wosb program. h if noacceptable offers',
13145:'are received from an edwosb concern or wosb concern eligible under the wosb program, the setaside shall be withdrawn and',
13146:'the requirement, if still valid, must be considered for set aside in accordance with 19.203 and subpart 19.5. i the',
13147:'sba procurement center representative pcr may recommend use of the wosb program. if the contracting officer rejects a recommendation by',
13148:'sbaspcr— 1 the contractingofficer shall notifythe pcr as soonas practicable; 2 sba shall notify the contracting officerof its intentto appeal',
13149:'the contracting officer’s decision no later than five business days after receiving noticeof the contractingofficer’s decision; 3 the contractingofficer shall',
13150:'suspend further actionregardingthe procurementuntil theheadof the agency issues a written decision on the appeal, unless the head of the agency',
13151:'makesa written determination thaturgentand compelling circumstances which significantlyaffect the interests of the united states compelaward of thecontract; 4 within 15',
13152:'business daysof sba’s notificationto theheadof the contractingactivity, sba shall file a formal appeal to the head of the agency, or',
13153:'the appeal will be determined withdrawn; and 5 the head ofthe agency, or designee, shall specifyin writingthe reasonsfora denialof an',
13154:'appeal brought under this section. subpart 19.15 womenowned small business program. 19.1508 19.1506 womenowned small businessprogram solesource awards. a a',
13155:'contractingofficer shall consider a contract awardto anedwosb concern on a solesource basissee 6.3025b 7 before considering small business setasides see',
13156:'19.203 and subpart 19.5 provided none of the exclusions at 19.1504 apply and 1 the acquisition is assigned a naics',
13157:'code in which sba has determined that wosb concerns are underrepresented in federal procurement; 2 the contractingofficer does nothavea reasonable',
13158:'expectation that offerswould be received fromtwo ormore edwosb concerns; and 3 the conditions in paragraph c of this section exist.',
13159:'b a contracting officershallconsider a contract award to awosb concern including edwosb concerns eligible under the wosb program on a',
13160:'solesource basis see 6.3025b7 before considering small business setasides see 19.203 and subpart 19.5 provided none of the exclusions at',
13161:'19.1504 apply and 1 the acquisition is assigned a naics code in which sba has determined that wosb concerns are',
13162:'substantially underrepresented in federal procurement; 2 the contractingofficer does nothavea reasonable expectation that offerswould be received fromtwo ormore wosb concerns',
13163:'including edwosb concerns; and 3 the conditions in paragraph c of this section exist. c 1 the anticipated award price',
13164:'of the contract, including options, will not exceed i $7 million for a requirement within the naics codes for manufacturing;',
13165:'or ii $4.5 million for a requirement within any other naics codes. 2 the edwosb concern or wosb concern has',
13166:'been determined to be a responsible contractor with respect to performance. 3 the award can be made at a fair',
13167:'and reasonable price. d a contracting officershallonly award a solesource contract to aconcern thathas been certified pursuant to 13 cfr',
13168:'127.300 as anedwosb or wosbeligible under the wosb program. contracting officersshallnot request a status determination from sba on pending applications',
13169:'for certification for edwosb or wosb solesource awards. e thesba has the right to appeal the contracting officer’s decision notto',
13170:'make a solesource award to either an edwosb concern or wosb concern eligible under the wosb program. 19.1507 [reserved] 19.1508',
13171:'contract clauses. a thecontracting officer shall insert the clause at 52.21929, notice of setaside for, orsolesource award to, economically disadvantaged',
13172:'womenowned small business concerns, in solicitations and contracts for acquisitions that are set aside or awarded on a solesource basis',
13173:'to, edwosb concerns under 19.1505b or 19.1506a. this includes multiple award contracts when orders may be set aside for edwosb',
13174:'concerns as described in 8.4055 and 16.505b2if or when orders may be issued directly to one edwosb contractor in accordance',
13175:'with 19.504c1ii. b the contractingofficer shall insertthe clause at 52.21930,notice of setasidefor, or solesource award to,women ownedsmallbusiness concerns eligible under',
13176:'thewomenownedsmallbusinessprogram, insolicitationsand contracts for acquisitions that are set aside or awarded on a solesource basis to wosb concerns under 19.1505c',
13177:'or 19.1506b. this includes multipleaward contracts when orders may be set aside for wosb concerns eligible under the wosb program',
13178:'as described in 8.4055 and 16.505b2if or when orders may be issued directly to one wosb contractor in accordance with',
13179:'19.504c1ii. c for use of clause 52.21914, limitations on subcontracting, see the prescription at 19.507e. d for use of clause',
13180:'52.21933, nonmanufacturer rule, see the prescription at 19.507h. this page intentionally left blank. 19.154 part 20 reserved this page intentionally',
13181:'left blank. part 20 reserved this page intentionally left blank. 20.02 part 21 reserved this page intentionally left blank. part',
13182:'21 reserved this page intentionally left blank. 21.02 part 22 application of labor laws to government acquisitions sec. 22.000 scope',
13183:'of part. 22.4042 general requirements. 22.001 definitions. 22.4043 procedures for requesting wage determinations. subpart 22.1 basic labor policies 22.4044 solicitations',
13184:'issued without wage 22.101 labor relations. determinations for the primary site of the 22.1011 general. work. 22.1012 contract pricing and',
13185:'administration. 22.4045 expiration of project wage determinations. 22.1013 reporting labor disputes. 22.4046 modifications of wage determinations. 22.1014 removal of items',
13186:'from contractors’ facilities 22.4047 correction of wage determinations affected by work stoppages. containing clerical errors. 22.102 federal and state labor',
13187:'requirements. 22.4048 notification of improper wage determination 22.1021 policy. before award. 22.1022 administration. 22.4049 award of contract without required wage',
13188:'22.103 overtime. determination. 22.1031 definition. 22.40410 posting wage determinations and notice. 22.1032 policy. 22.40411 wage determination appeals. 22.1033 procedures. 22.40412',
13189:'labor standards for contracts containing 22.1034 approvals. construction requirements and option 22.1035 contract clauses. provisions that extend the term of',
13190:'the contract. subpart 22.2 convict labor 22.405 [reserved] 22.201 general. 22.406 administration and enforcement. 22.202 contract clause. 22.4061 policy. 22.4062',
13191:'wages, fringe benefits, and overtime. subpart 22.3 contract work 22.4063 additional classifications. hours and safety standards act 22.4064 apprentices and',
13192:'trainees. 22.300 scope of subpart. 22.4065 subcontracts. 22.301 statutory requirement. 22.4066 payrolls and statements. 22.302 liquidated damages and overtime pay.',
13193:'22.4067 compliance checking. 22.303 administration and enforcement. 22.4068 investigations. 22.304 variations, tolerances, and exemptions. 22.4069 withholding from or suspension of',
13194:'contract 22.305 contract clause. payments. 22.40610 disposition of disputes concerning subpart 22.4 labor standards for construction contract labor standards contracts',
13195:'involving construction enforcement. 22.400 scope of subpart. 22.40611 contract terminations. 22.401 definitions. 22.40612 cooperation with the department of labor. 22.402',
13196:'applicability. 22.40613 semiannual enforcement reports. 22.403 statutory, executive order, and regulatory 22.407 solicitation provision and contract clauses. requirements. 22.4031 construction',
13197:'wage rate requirements subpart 22.5 use of project labor statute. agreements for federal construction projects 22.4032 copeland act. 22.501 scope',
13198:'of subpart. 22.4033 contract work hours and safety standards. 22.502 definitions. 22.4034 executive orders 13658 and 14026. 22.503 policy. 22.4035',
13199:'executive order 13706. 22.504 general requirements for project labor 22.4036 department of labor regulations involving agreements. construction. 22.505 solicitation provision',
13200:'and contract clause. 22.404 construction wage rate requirements statute wage determinations. 22.4041 types of wage determinations. subpart 22.6 contracts for',
13201:'materials, 22.10034 administrative limitations, variations, supplies, articles, and equipment 22.601 [reserved] 22.602 statutory requirements. 22.603 applicability. 22.604 exemptions. 22.6041 statutory',
13202:'exemptions. 22.6042 regulatory exemptions. 22.605 rulings and interpretations of the statute. 22.606 [reserved] 22.607 [reserved] 22.608 procedures. 22.609 [reserved] 22.610',
13203:'contract clause. subpart 22.7 [reserved] subpart 22.8 equal employment opportunity 22.800 scope of subpart. 22.801 definitions. 22.802 general. 22.803 responsibilities.',
13204:'22.804 affirmativeactionprograms. 22.8041 nonconstruction. 22.8042 construction. 22.805 procedures. 22.806 inquiries. 22.807 exemptions. 22.808 complaints. 22.809 enforcement. 22.810 solicitation provisions and',
13205:'contract clauses. subpart 22.9 nondiscrimination because of age 22.901 policy. 22.902 handling complaints. subpart 22.10 service contract labor standards 22.1000',
13206:'scope of subpart. 22.1001 definitions. 22.1002 statutory and executive order requirements. 22.10021 general. 22.10022 wage determinations based on prevailing rates.',
13207:'22.10023 wage determinations based on collective bargainingagreements. 22.10024 application of the fair labor standards act minimum wage. 22.10025 executive orders',
13208:'13658 and 14026. 22.10026 executive order 13706. 22.1003 applicability. 22.10031 general. 22.10032 geographical coverage of the act. 22.10033 statutory exemptions.',
13209:'222 22.10035 22.10036 22.10037 22.1004 22.1005 22.1006 22.1007 22.1008 22.10081 22.10082 22.1009 22.10091 22.10092 22.10093 22.10094 22.1010 22.1011 22.1012 22.10121',
13210:'22.10122 22.1013 22.1014 22.1015 22.1016 22.1017 22.1018 22.1019 22.1020 22.1021 22.1022 22.1023 22.1024 22.1025 22.1026 22.1101 22.1102 22.1103 tolerances, and',
13211:'exemptions. some examples of contracts covered. repair distinguished from remanufacturing of equipment. questions concerning applicability of the service contract labor',
13212:'standards statute. department of labor responsibilities and regulations. [reserved] solicitation provisions and contract clauses. requirement to obtain wage determinations. procedures',
13213:'for obtaining wage determinations. obtaining wage determinations. successorship with incumbent contractor collective bargaining agreement. place of performance unknown. general. attempt',
13214:'to identify possible places of performance. all possible places of performance identified. all possible places of performance not identified. notification',
13215:'to interested parties under collective bargaining agreements. [reserved] applicability of revisions to wage determinations. prevailing wage determinations. wage determinations based',
13216:'on collective bargainingagreements. review of wage determination. delay over 60 days in bid opening or commencement of work. discovery of',
13217:'errors by the department of labor. statement of equivalent rates for federal hires. [reserved] notification to contractors and employees. additional',
13218:'classes of service employees. seniority lists. request for hearing. withholdingof contractpayments. terminationfordefault. cooperationwith the departmentof labor. ineligibility of violators. disputes',
13219:'concerning labor standards. subpart 22.11 professional employee compensation applicability. definition. policy, procedures, and solicitation provision. subpart 22.12 [reserved] subpart 22.13',
13220:'equal subpart 22.17 combating opportunityforveterans traffickinginpersons 22.1300 scope of subpart. 22.1301 definitions. 22.1302 policy. 22.1303 applicability. 22.1304 procedures. 22.1305 waivers.',
13221:'22.1306 department of labor notices and reports. 22.1307 collective bargaining agreements. 22.1308 complaint procedures. 22.1309 actions because of noncompliance. 22.1310',
13222:'solicitation provision and contract clauses. subpart 22.14 employment of workers with disabilities 22.1400 scope of subpart. 22.1401 policy. 22.1402 applicability.',
13223:'22.1403 waivers. 22.1404 department of labor notices. 22.1405 collective bargaining agreements. 22.1406 complaint procedures. 22.1407 actions because of noncompliance. 22.1408',
13224:'contract clause. subpart 22.15 prohibition of acquisition of products produced by forced or indentured childlabor 22.1500 scope. 22.1501 definitions. 22.1502',
13225:'policy. 22.1503 procedures for acquiring end products on the list of products requiring contractor certification as to forced or indentured',
13226:'child labor. 22.1504 violations and remedies. 22.1505 solicitation provision and contract clause. subpart 22.16 notification of employee rights under the',
13227:'national labor relations act 22.1600 scope of subpart. 22.1601 definitions. 22.1602 policy. 22.1603 exceptions. 22.1604 compliance evaluation and complaint investigations',
13228:'and sanctions for violations. 22.1605 contract clause. 22.1700 22.1701 22.1702 22.1703 22.1704 22.1705 22.1800 22.1801 22.1802 22.1803 22.1900 22.1901 22.1902',
13229:'22.1903 22.1904 22.1905 22.1906 22.2100 22.2101 22.2102 22.2103 22.2104 22.2105 22.2106 22.2107 22.2108 22.2109 22.2110 scope of subpart. applicability. definitions.',
13230:'policy. violations and remedies. solicitation provision and contract clause. subpart 22.18 employment eligibility verification scope. definitions. policy. contract clause. subpart',
13231:'22.19 increasing the minimumwage forcontractors scope of subpart. definitions. policy. applicability. annual executive order minimum wage rate. enforcement of executive',
13232:'order minimum wage requirements. contract clause. subpart 22.20 [reserved] subpart 22.21 establishing paid sick leave for federal contractors scope of',
13233:'subpart. definitions. policy. applicability. exclusions. paid sick leave for federal contractors and subcontractors. prohibited acts. waiver of rights. multiemployer plans',
13234:'or other funds, plans, or programs. enforcement of executive order 13706 paid sick leave requirements. contract clause. this page intentionally',
13235:'left blank. subpart 22.1 basic labor policies 22.1011 22.000scope of part. this part a deals with general policies regarding contractor',
13236:'labor relations as they pertain to the acquisition process; b prescribes contracting policy and procedures for implementing pertinent labor laws;',
13237:'and c prescribes contract clauses with respect to eachpertinent labor law. 22.001definitions. administrator or administrator, wage and hour division, as',
13238:'used in this part, means the— administrator wage and hourdivision u.s. department of labor washington,dc 20210 or an authorized representative.',
13239:'agency labor advisor means an individual responsible for advising contractingagency officials on federal contractlabor matters. e98 means the department of',
13240:'labor’sapproved electronic application https://www.sam.gov , whereby a contracting officer submits pertinent information to the departmentof laborandrequests a service contract laborstandards',
13241:'statute wagedetermination directly from the wage and hour division. service contract meansanygovernment contract, orsubcontract thereunder,the principal purpose ofwhich is to',
13242:'furnish services in the united states through the use of service employees, except as exempted by 41 u.s.c. chapter 67,',
13243:'service contract labor standards; see 22.10033 and 22.10034. see 22.10035 and 29 cfr 4.130 for a partial list of services',
13244:'covered by the service contract labor standards statute. service employee means any person engaged in the performance of a service',
13245:'contract other than any person employed in a bona fide executive, administrative, or professional capacity, as those terms are defined',
13246:'in 29 cfr part 541. the term service employee includes all such persons regardless of any contractual relationship that may',
13247:'be alleged to exist between a contractor or subcontractor and such persons. wage determinations at sam.gov means the government internet',
13248:'website for both construction wagerate requirements statute and service contract labor standards statute wage determinations available at https://www.sam.gov. subpart 22.1',
13249:'basic labor policies 22.101 labor relations. 22.1011 general. a agencies shall maintain sound relations with industry and labor to ensure',
13250:'1 prompt receipt of information involving labor relations that may adversely affect the government acquisition process and 2 thatthe government',
13251:'obtainsneeded supplies and services without delay. all mattersregardinglabor relations shall be handled in accordance with agency procedures. b 1 agencies',
13252:'shall remain impartial concerning any dispute between labor and contractor management and not undertake the conciliation, mediation, or arbitration of',
13253:'a labor dispute. to theextent practicable, agencies should ensure that the parties to the dispute use all available methods for',
13254:'resolving the dispute, including the services of the national labor relations board, federal mediation and conciliation service, the national mediation',
13255:'board and other appropriate federal, state, local, or private agencies. 2 for use of project labor agreements, see subpart 22.5.',
13256:'c agencies should, when practicable,exchange information concerning labor matters with other affected agencies to ensure a uniform government approach concerning',
13257:'a particular plant or labormanagement dispute. d agencies should take other actions concerning labor relations problems to the extent consistent',
13258:'with their acquisition responsibilities. for example, agencies should 1 notify the agency responsible for conciliation, mediation, arbitration, or other related',
13259:'action of the existence of any labor dispute affecting or threatening toaffect agency acquisition programs; 2 furnishto theparties to adispute',
13260:'factual information pertinent to the dispute’s potential or actual adverse impact on these programs, to the extent consistent with security',
13261:'regulations; and 22.1012 federal acquisition regulation 3 seek avoluntaryagreement between management and labor, notwithstanding thecontinuanceof the dispute,to permit uninterruptedacquisition of',
13262:'supplies and services. this shall only be done, however, if theattempt to obtain voluntary agreement does not involve the agency',
13263:'in the merits of the dispute and only after consultation with the agency responsible for conciliation, mediation, arbitration, or other',
13264:'related action. e the head of the contracting activity may designate programs or requirements for which it is necessary that',
13265:'contractors be required to notify the government of actual or potential labor disputes that are delaying or threaten to delay',
13266:'the timely contract performance see 22.1035a. 22.1012 contract pricing and administration. a contractor labor policies and compensation practices, whether or',
13267:'not included in labormanagement agreements, are not acceptable bases for allowing costs in costreimbursement contracts or for recognition of costs',
13268:'in pricing fixedprice contracts if they result in unreasonable costs to the government. for a discussion of allowable costs resulting',
13269:'from labor management agreements, see 31.2056b. b labor disputes may cause work stoppages that delay the performance of government contracts.',
13270:'contracting officers shall impressupon contractors that eachcontractor shall be held accountableforreasonably avoidabledelays. standard contract clauses dealing with default, excusable delays,',
13271:'etc., do not relieve contractors or subcontractors from the responsibility for delays that are within the contractors’ or their subcontractors’',
13272:'control. a delay caused by a strike that the contractor orsubcontractorcould not reasonably prevent can be excused;however,itcannot be excused beyond',
13273:'the point at which a reasonably diligent contractor or subcontractor could have acted to end the strike by actions such',
13274:'as 1 filing acharge withthe nationallabor relations board to permit the board to seekinjunctive reliefin court; 2 using other available',
13275:'government procedures; and 3 using private boards or organizations to settle disputes. c strikes normally result in changing patterns of',
13276:'cost incurrence and therefore may have an impact on the allowability of costs for costreimbursement contracts or for recognition of',
13277:'costs in pricing fixedprice contracts. certain costs may increase because of strikes; e.g., guard services and attorney’s fees. othercosts incurred',
13278:'during a strike may not fluctuate e.g.,fixed costs such as rent and depreciation, but because of reduced production, their proportion',
13279:'of the unit cost of items produced increases. all costs incurred during strikes shall be carefully examined to ensure recognition',
13280:'of only those costs necessary for performingthe contract inaccordancewith the government’sessential interest. d if, during a labor dispute, the inspectors’',
13281:'safety is not endangered, the normal functions of inspection at the plant of a government contractor shall be continued without',
13282:'regard to the existence of a labor dispute, strike, or picket line. 22.1013 reporting labor disputes. the office administering the',
13283:'contract shall report, in accordance with agency procedures, any potential oractual labor disputes that may interfere with performing any contracts',
13284:'under its cognizance. if a contract contains the clause at 52.2221, notice to the government of labor disputes, the contractor',
13285:'also must report any actual or potential dispute that may delay contract performance. 22.1014removal of itemsfrom contractors’ facilities affectedby work',
13286:'stoppages. a items shall beremoved from contractors’ facilities affected by workstoppages in accordance with agency procedures. agency procedures should allow',
13287:'for the following: 1 determine whether removal of items is in thegovernment’s interest. normally the determining factor isthe critical needs',
13288:'of an agency program. 2 attempt to arrange with the contractor and the union representative involved their approval of the',
13289:'shipment of urgently required items. 3 obtainappropriate approvals from within the agency. 4 determine who will remove the items from',
13290:'the plants involved. b avoid theuse orappearance of force and prevent incidents that might detrimentally affectlabormanagement relations. c when two',
13291:'or more agencies’ requirements are or may become involved in the removal of items, the contract administration office shall ensure',
13292:'that the necessary coordinationis accomplished. subpart 22.1 basic labor policies 22.1033 22.102 federaland state laborrequirements. 22.1021policy. agencies shall cooperate, and',
13293:'encourage contractors to cooperate with federal and state agencies responsible for enforcing labor requirements such as a safety; b health',
13294:'and sanitation; c maximum hours and minimum wages; d equal employment opportunity; e child and convict labor; f age discrimination;',
13295:'g disabled and vietnam veteran employment; h employment of workers with disabilities; and i eligibility for employment under united states',
13296:'immigration laws. 22.1022 administration. a agencies shall cooperate with, and encourage contractors to use to the fullest extent practicable, the',
13297:'dol employment and training administration doleta at http://www.doleta.gov, and its affiliated local offices in meeting contractors labor requirements. these requirements',
13298:'maybe tostaff new orexpanding plantfacilities,including requirements for workersin all occupations and skills from local labor market areas or through the',
13299:'federalstate employment clearance system. b local stateemploymentoffices are operated throughoutthe unitedstates, puerto rico, guam, and the u.s. virgin islands. in',
13300:'addition to providing recruitment assistance to contractors, cooperation with the local state employment service offices will furtherthe national program of',
13301:'maintaining continuous assessment of manpower requirements and resources on a national and local basis. c 1 the u.s. department of',
13302:'labor is responsible for the administration and enforcement of the occupational safety and health act. the department of labors wage',
13303:'and hour division is responsibleforadministration and enforcement of numerous wage and hour statutes including i 40 u.s.c. chapter 31, subchapter',
13304:'iv, wage rate requirements construction; ii 40 u.s.c. chapter 37, contract work hoursand safety standards; iii the copeland act 18',
13305:'u.s.c. 874 and 40 u.s.c. 3145; iv 41 u.s.c. chapter 65, contracts for materials, supplies, articles, and equipment exceeding $10,000;',
13306:'v 41 u.s.c. chapter 67, service contract labor standards. 2 contracting officersshouldcontactthe wage and hourdivision’s regional offices when required by',
13307:'the subparts relating to thesestatutes unless otherwise specified. addresses for theseoffices maybe found at 29 cfr 1, appendix b. 22.103overtime.',
13308:'22.1031 definition. normal workweek, as usedin this subpart, means, generally, a workweek of 40 hours. outside the united states andits',
13309:'outlying areas, a workweek longer than 40 hours is considered normal if 1 the workweek does not exceed the norm',
13310:'for the area, as determined by local custom, tradition, or law; and 2 the hours worked inexcess of 40 in',
13311:'the workweek are notcompensated at apremium rateof pay. 22.1032policy. contractors shall perform all contracts, so far as practicable, without using',
13312:'overtime, particularly as a regular employment practice, except when lower overallcosts tothe government will result or whenitis necessary to meet',
13313:'urgentprogramneeds. any approved overtime, extrapay shifts, and multishifts should be scheduled to achieve these objectives. 22.1033procedures. a solicitations normally shall',
13314:'not specify delivery or performance schedules that may require overtime at government expense. b in negotiating contracts, contracting officersshould, consistent',
13315:'with thegovernment’s needs, attempt to 1 ascertain the extentthat offers are basedon the payment of overtimeand shiftpremiums; and 22.1034 federal',
13316:'acquisition regulation 2 negotiate contract prices or estimated costs without these premiums or obtain the requirement from other sources. c',
13317:'when it becomes apparent during negotiations of applicable contracts see 22.1035b that overtime will be required in contractperformance, the contractingofficer',
13318:'shall secure from the contractor a request for allovertime to be used during thelife ofthe contract, to the extent thatthe',
13319:'overtime can be estimated with reasonable certainty. the contractor’s request shall contain the information required by paragraph b of the',
13320:'clause at 52.2222, payment for overtime premiums. 22.1034approvals. a thecontracting officer shall review the contractor’s request for overtime. approval of',
13321:'the useof overtime maybe grantedby an agency approving official after determining in writing that overtime is necessary to 1 meet',
13322:'essential delivery or performance schedules; 2 make up for delays beyond the control and without the fault or negligence of',
13323:'the contractor; or 3 eliminate foreseeable extended production bottlenecks thatcannot be eliminated in any other way. b approvalby the designated',
13324:'officialof use and total dollar amount of overtime is requiredbefore inclusion of an amount in paragraph a of the clause',
13325:'at 52.2222, payment for overtime premiums. c contracting officer approvalof payment ofovertime premiums is requiredfortimeandmaterials and laborhour contracts see paragraph',
13326:'a8 of the clause at 52.2327, paymentsundertimeandmaterials and laborhour contracts. d no approvals are required for paying overtime premiums under',
13327:'other types of contracts. e approvals by the agency approving officialsee 22.1034a may be for an individual contract, project, program,',
13328:'plant, division, or company, as practical. f during contract performance, contractor requests for overtime exceeding the amount authorized by paragraph',
13329:'a of the clause at 52.2222, payment for overtime premiums,shallbe submitted as stated in paragraphbof the clause to the office',
13330:'administering the contract. that officewill review the request and if it approves, sendthe request to the contractingofficer. if thecontracting officer',
13331:'determines thatthe requested overtimeshouldbe approved in whole or inpart,the contracting officer shall request the approval of the agency’s designated approving',
13332:'official and modify paragraph a of the clause toreflect any approval. g overtime premiums at government expense should not be',
13333:'approved when the contractor is already obligated, without the right to additional compensation, to meet the required delivery date. h',
13334:'when the use of overtime is authorizedunder a contract, the office administering the contract and the auditorshould periodically review the',
13335:'use of overtime to ensure that it is allowable in accordance with the criteria in part 31. only overtime premiums',
13336:'for work inthose departments, sections,etc., of the contractor’splant that have been individuallyevaluated and the necessity for overtime confirmed shall be',
13337:'considered for approval. iapprovals for using overtime shall ordinarilybe prospective, but, if justified by emergency circumstances, approvals may be retroactive.',
13338:'22.1035 contract clauses. a thecontracting officer shall insert the clause at 52.2221, notice to the government of labor disputes, in',
13339:'solicitations and contracts that involve programs or requirements that have been designated under 22.1011e. b the contractingofficer shall includethe clause',
13340:'at 52.2222, payment for overtime premiums, in solicitations and contracts when a costreimbursement contract is contemplated and the contract amount',
13341:'is expected to exceed the simplified acquisition threshold; unless 1 a costreimbursement contract for operation of vessels is contemplated; or',
13342:'2 a costplusincentivefeecontract that will provide a swing from the target fee of atleast plus or minus 3percent and a',
13343:'contractor’s share ofat least 10 percentis contemplated. subpart 22.2 convict labor 22.202 subpart 22.2 convict labor 22.201general. a executive order11755,',
13344:'december 29,1973, asamended by executive order12608, september 9,1987,and executive order12943, december 13,1994, states: the development of the occupational and educational',
13345:'skills of prison inmates is essential to their rehabilitation and totheir ability to make an effective return to free society.',
13346:'meaningfulemploymentserves to develop those skills. it is also true, however, that care must be exercised to avoid either theexploitation of',
13347:'convict labor or any unfair competition between convict labor and free labor in the production of goods and services. the',
13348:'executive order doesnot prohibit the contractor,in performing the contract, fromemploying 1 persons on parole or probation; 2 persons who have',
13349:'been pardoned or who have served their terms; 3 federal prisoners; or 4 nonfederal prisoners authorized to work at paid',
13350:'employment in the community under the laws of a jurisdiction listed in the executive order if i the worker is',
13351:'paid or is in an approved work training program on a voluntary basis; iirepresentatives oflocal union central bodies or similar',
13352:'labor union organizationshavebeenconsulted; iii paid employment will not a result in the displacement of employed workers; b be applied in',
13353:'skills, crafts, or trades in which there is a surplus of available gainful labor in the locality; or c impair',
13354:'existing contracts for services; iv the rates of pay and other conditions of employment will not be less than those',
13355:'for work of a similar nature in the locality where the work is being performed; and v the attorney general',
13356:'of the united states has certified that the workrelease laws or regulations of the jurisdiction involved are in conformity with',
13357:'therequirements of executive order11755, as amended. b department of justice regulations authorize the director of the bureau of justice assistance',
13358:'to exercise the power and authority vested in the attorney general by the executive order to certify and to revoke',
13359:'the certification of workrelease laws or regulations see 28 cfr0.941b. 22.202contract clause. insert the clause at 52.2223, convict labor, in',
13360:'solicitations and contracts above themicropurchase threshold, when the contract will be performed in the united states, puerto rico, the northern',
13361:'mariana islands, american samoa, guam, or the u.s. virgin islands; unless a the contract will be subject to 41 u.s.c.',
13362:'chapter 65, see subpart 22.6, which contains a separate prohibition against the employment of convict labor; b the supplies or',
13363:'services are to be purchased from federal prison industries, inc. see subpart 8.6; or c the acquisition involves the purchase,',
13364:'from any state prison, of finished supplies that may be secured in the open market or from existing stocks, as',
13365:'distinguished from supplies requiring special fabrication. this page intentionally left blank. 22.22 subpart 22.3 contract work hours and safety standards',
13366:'act 22.305 subpart 22.3 contract work hours and safety standards act 22.300scope of subpart. this subpart prescribes policies and procedures',
13367:'for applying the requirements of 40 u.s.c. chapter 37, contract work hours and safety standards the statute to contracts that',
13368:'may require or involve laborers or mechanics. in this subpart, the term laborers or mechanics includes apprentices, trainees, helpers, watchmen,',
13369:'guards, firefighters, fireguards, and workmen who perform services in connection with dredging or rock excavation in rivers or harbors, but',
13370:'does not include any employee employed as a seaman. 22.301 statutory requirement. the statute requires that certain contracts contain a',
13371:'clause specifying that no laborer or mechanic doing any part of the work contemplated by the contract shall be required',
13372:'or permitted to work more than 40 hours in any workweek unless paid for all suchovertime hours at not less',
13373:'than 11/2 times the basic rate of pay. 22.302 liquidated damages and overtimepay. a when an overtime computation discloses underpayments,',
13374:'the responsible contractor or subcontractor must pay the affected employee any unpaid wages and pay liquidated damages to the government.',
13375:'the contracting officer mustassess liquidated damages at the rate specified at 29 cfr 5.5b2 peraffected employee for eachcalendar day on',
13376:'which the employer required or permitted the employee to work in excess of the standard workweek of 40 hours without',
13377:'paying overtime wages required by the statute. in accordance with the federal civil penalties inflation adjustment act of 1990 28',
13378:'u.s.c. 2461 note, the department of labor adjusts this civil monetary penalty for inflation no later than january 15 each',
13379:'year. b if the contractor or subcontractor fails or refuses to comply with overtime pay requirements of the statute and',
13380:'the funds withheld by federal agencies for labor standards violations do not cover the unpaid wages due laborers and mechanics',
13381:'and the liquidated damages due the government, make payments in the following order— 1 pay laborers and mechanics the wages',
13382:'they are owed or prorate available funds if they do not cover the entire amount owed; and 2 pay liquidated',
13383:'damages. c if the head of an agency finds that the administratively determined liquidated damages due under paragraph a of',
13384:'this section are incorrect, or that the contractor or subcontractor inadvertently violated the statute despite the exercise of due care,',
13385:'the agency head may 1 reduce the amount of liquidated damages assessed for liquidated damages of $500 or less; 2',
13386:'release the contractor or subcontractor from the liability for liquidated damages of $500 or less; or 3 recommend that the',
13387:'secretary of labor reduce or waive liquidated damages over $500. d afterthe contracting officerdeterminesthe liquidated damages and the contractormakes appropriate',
13388:'payments, disburse any remaining assessments in accordance with agency procedures. 22.303 administration and enforcement. the procedures and reports required for',
13389:'construction contracts in subpart 22.4 also apply to investigations of alleged violations of the statute on other than construction contracts.',
13390:'22.304 variations, tolerances, and exemptions. a thesecretary of labor, under 40 u.s.c.3706,upon thesecretary’s initiative or at the requestof any federal',
13391:'agency, may provide reasonable limitations and allow variations, tolerances, and exemptions to and from any or all provisions of the',
13392:'statute see 29 cfr5.15. b the secretary of labor may make variations, tolerances, and exemptions from the regulatory requirements of',
13393:'applicable parts of 29 cfrwhen the secretary finds that such action is necessary and proper in the public interest or',
13394:'to prevent injustice and undue hardship see 29 cfr5.14. 22.305contract clause. insert the clause at 52.2224, contract work hoursand safety',
13395:'standardsovertimecompensation, in solicitations and contracts including, for this purpose, basic ordering agreements when the contract may require or involve the',
13396:'employment of laborers ormechanics. however, do notinclude the clausein solicitations and contracts federal acquisition regulation a valued at orbelow $150,000;',
13397:'b for commercial products and commercial services; c for transportation or the transmission of intelligence; d to be performed outside',
13398:'theunited states, puerto rico,americansamoa, guam, the u.s. virgin islands, johnston island, wakeisland, and the outer continental shelf as definedin the',
13399:'outer continental shelf lands act 43 u.s.c. 1331 29 cfr5.15; e for work to be done solely in accordance with',
13400:'41 u.s.c. chapter 65, see subpart 22.6; f for supplies that include incidental services that do not require substantial employment',
13401:'of laborers or mechanics; or g exempt under regulations of the secretary of labor 29 cfr5.15. subpart 22.4 labor standards',
13402:'for contracts involving construction 22.401 subpart 22.4 labor standards for contracts involving construction 22.400scope of subpart. this subpart implements the',
13403:'statutes which prescribe labor standards requirements for contracts in excess of $2,000 for construction, alteration, or repair, including painting and',
13404:'decorating, of public buildings and public works. see definitionof construction, alteration, or repair in section 22.401. labor relations requirements prescribed',
13405:'in other subparts of part 22 may also apply. 22.401definitions. as used in this subpart apprentice means a person 1',
13406:'employed and individually registered in a bona fide apprenticeship program registered with the u.s. department of labor,employment andtraining administration, office',
13407:'of apprenticeshiptraining, employer,and labor services oatels, orwith a state apprenticeship agencyrecognizedby oatels; or 2 who is in the first 90',
13408:'days of probationary employment as an apprentice in an apprenticeship program, and is not individually registered in the program, but',
13409:'who hasbeencertifiedby the oatels or a state apprenticeship agencywhere appropriate to be eligible for probationary employment as an apprentice. construction,',
13410:'alteration, or repair means all types of work done by laborers and mechanics employed by the construction contractor or construction',
13411:'subcontractor on a particular building or work at the site thereof, including without limitations 1 altering, remodeling, installationif appropriate on',
13412:'the site of the workof items fabricated offsite; 2 painting and decorating; 3 manufacturing or furnishing of materials, articles, supplies,',
13413:'or equipment on the site of the building or work; 4 transportation of materials and supplies between the site of',
13414:'the work within the meaning of paragraphs 1i and ii of the site of the work definition of this section,',
13415:'and a facility which is dedicated to the construction of the building or work and is deemed part of the',
13416:'site of the work within the meaning of paragraph 2 of the site of work definition of this section; and',
13417:'5 transportation of portions ofthe building or work between a secondary site where a significantportion of the building or work',
13418:'is constructed, which is part of the site of the work definition in paragraph 1ii of this section, and the',
13419:'physical place or places where the building or work will remain paragraph 1i in the site of the work definition',
13420:'of this section. laborers or mechanics. 1 means iworkers, utilizedby acontractor or subcontractor at any tier, whose duties are manual',
13421:'or physical in nature including those workers who use tools or who are performing the work of a trade, as',
13422:'distinguished from mental or managerial; iiapprentices,trainees, helpers, and, inthe case of contractssubject to the contractwork hours and safety standards statute,',
13423:'watchmen and guards; iii working foremen whodevote more than 20percent oftheir timeduring aworkweek performing dutiesof a laborer or mechanic, and',
13424:'who do not meet the criteria of 29 cfr part 541, for the time so spent; and iv every person',
13425:'performing the duties of a laborer or mechanic, regardless of any contractual relationship alleged to exist between the contractor and',
13426:'those individuals; and 2 does not include workers whose duties are primarily executive, supervisory except as provided in paragraph 1iii',
13427:'of this definition, administrative, or clerical, rather than manual. persons employed in a bona fide executive, administrative, or professional capacity',
13428:'as defined in 29 cfr part 541 are not deemed to be laborers or mechanics. public building or public work',
13429:'means building or work, the construction, prosecution, completion, or repair of which, as defined in this section, is carried on',
13430:'directly by authority of, or with funds of, a federal agency to serve the interest of the general public regardless',
13431:'of whether title thereof is in a federal agency. site of the work. 1 means i the primary site of',
13432:'the work. the physical place or places where the construction called for in the contract will remain when work on',
13433:'it is completed; and iithe secondary siteof the work, if any. any other site where a significant portion of the',
13434:'building or work is constructed, provided that such site is federal acquisition regulation a located in the united states; and',
13435:'b established specifically for the performance of the contract or project; 2 except as provided in paragraph 3 of this',
13436:'definition, includes fabrication plants, mobile factories, batch plants, borrow pits, job headquarters, tool yards, etc., provided ithey are dedicatedexclusively, or',
13437:'nearly so, to performance of thecontract or project; and ii they are adjacent or virtually adjacent to the primary site',
13438:'of the work as defined in paragraphs 1i of the secondary site of the work as defined in paragraph 1ii',
13439:'of this definition; 3 does not include permanent home offices, branch plantestablishments, fabricationplants, or tool yards of a contractor or',
13440:'subcontractor whose locations and continuance in operation are determined wholly without regard to a particular federal contract or project. in',
13441:'addition, fabrication plants, batch plants, borrow pits, job headquarters, yards, etc., of a commercial or material supplier which are established',
13442:'by a supplier of materials for the project before opening of bids and not on the project site, are not',
13443:'included in the site of the work. such permanent, previously established facilities are not a part of the site of',
13444:'the work, even ifthe operations for a period of time may bededicated exclusively,or nearly so, to the performance of a',
13445:'contract. trainee means a person registered and receiving onthejob training in a construction occupation under a program which has been',
13446:'approved in advance by the u.s. department of labor,employmentandtraining administration, office of apprenticeshiptraining, employer, and labor services oatels, asmeetingits standards',
13447:'for onthejob training programs and which has been so certified by that administration. wages means the basic hourly rate of',
13448:'pay; any contribution irrevocably made by a contractor or subcontractor to a trustee or to a third person pursuant to',
13449:'a bona fide fringe benefit fund, plan, or program; and the rate of costs to the contractor or subcontractor which',
13450:'may be reasonably anticipated in providing bonafide fringe benefits to laborers and mechanics pursuant to an enforceable commitment to carry',
13451:'out a financially responsible plan or program, which was communicated in writing to thelaborersandmechanics affected. the fringe benefits enumerated in',
13452:'the construction wage rate requirements statute include medical or hospital care, pensions on retirement or death, compensation for injuries or',
13453:'illness resulting from occupational activity, or insurance to provide any of theforegoing; unemploymentbenefits; life insurance, disability insurance, sickness insurance, or',
13454:'accident insurance; vacation or holiday pay; defraying costs of apprenticeship or other similar programs; or other bona fide fringe benefits.',
13455:'fringe benefits do not include benefits required by other federal, state, or local law. 22.402 applicability. a contracts for construction',
13456:'work. 1 the requirements of this subpart apply i only if the construction work is, or reasonably can be foreseen',
13457:'to be, performed at a particular site so that wage rates can be determined for thelocality, and only to construction',
13458:'work that is performed by laborers and mechanics at the site of the work; iito dismantling, demolition, orremoval of improvementsif',
13459:'a part of the construction contract, or if construction at that site is anticipated by another contract as provided in',
13460:'subpart 37.3; iii to the manufactureor fabrication of construction materialsand components conducted inconnectionwith the construction and on the site of',
13461:'the work by the contractor or a subcontractor under a contract otherwise subject to this subpart; and iv to painting',
13462:'of publicbuildings or publicworks, whether performedin connection with theoriginal construction or as alteration or repair of an existing structure. 2',
13463:'the requirements of this subpart do not apply to ithe manufacturing of componentsor materialsoff thesite of the work or their',
13464:'subsequent delivery to the site by the commercial supplier or materialman; ii contracts requiring construction work that is so closely',
13465:'related to research, experiment, and development that it cannot be performed separately,or that is itself the subject of research, experiment,',
13466:'ordevelopment see paragraph b of this section for applicability of this subpart to research and development contracts or portions thereof',
13467:'involving construction, alteration, or repair of a public building or public work; iii employees of railroads operating undercollective bargaining agreements',
13468:'thatare subjectto therailway labor act; or iv employees who work at contractors’ or subcontractors’ permanent home offices, fabrication shops,or tool',
13469:'yards not located at the site of the work. however, if theemployees goto thesite of the work and perform construction',
13470:'activities subpart 22.4 labor standards for contracts involving construction 22.4034 there, the requirements of this subpart are applicable for the',
13471:'actual time so spent, not including travel unless the employees transport materials or supplies to or from the site of',
13472:'the work. b nonconstruction contracts involving some construction work. 1 the requirements of this subpart apply to constructionworkto beperformed as',
13473:'part of nonconstruction contractssupply, service, research and development, etc. if i the construction work is to be performed on a',
13474:'public building or public work; ii the contract contains specific requirements for a substantial amount of construction work exceeding the',
13475:'monetary threshold for application of the construction wage rate requirements statute the word substantial relates to the type and quantity',
13476:'of construction work to be performed and not merely to the total value of construction work as compared to the',
13477:'total value of the contract; and iii the construction work is physically or functionally separate from, and is capable of',
13478:'being performed on a segregated basis from, the other work required by the contract. 2 the requirements of this subpart',
13479:'do not apply if i the construction work is incidental to the furnishing of supplies, equipment, or services for example,',
13480:'the requirements do not apply to simple installation or alteration at a public building or public work that is incidental',
13481:'to furnishing supplies or equipmentunder a supply contract; however, ifa substantial and segregable amountof construction, alteration, or repair is required,such',
13482:'as for installation of heavy generators orlarge refrigerator systemsor for plant modification or rearrangement, the requirements of this subpart apply;',
13483:'or iithe construction work is somergedwith nonconstruction workor so fragmentedin terms of the locations or time spans in which it',
13484:'is to be performed, that it is not capable of being segregated as a separate contractual requirement. 22.403 statutory, executiveorder,and',
13485:'regulatoryrequirements. 22.4031construction wagerate requirements statute. 40 u.s.c. chapter 31, subchapter iv, wage rate requirements construction, formerly knownas the davisbacon act,',
13486:'provides that contracts in excess of $2,000 to which the united states or the district of columbia is a party',
13487:'for construction, alteration, or repair including painting and decorating of public buildings or public works within the united states, shall',
13488:'contain a clause see 52.2226 that no laborer or mechanic employed directly upon the site of the work shall receive',
13489:'less than theprevailing wage rates asdetermined by the secretaryof labor. 22.4032 copeland act. the copeland antikickback act 18 u.s.c.874 and',
13490:'40 u.s.c. 3145 makes it unlawful to induce, by force, intimidation, threat of procuring dismissal from employment, or otherwise, any',
13491:'person employed in the construction or repair of public buildings or public works, financed in whole or in part by',
13492:'the united states, to give up any part of the compensation to which that person is entitled under a contract',
13493:'of employment. the copeland act also requires each contractor and subcontractor to furnish weekly a statement of compliance with respect',
13494:'to the wages paid each employee during the preceding week. contracts subject to the copeland act shall contain a clause',
13495:'see 52.22210 requiring contractors and subcontractors to comply with the regulations issued by the secretary of labor under the copeland',
13496:'act. 22.4033contractwork hours and safety standards. 40 u.s.c.chpater37,contract work hours and safety standards, requires thatcertain contracts see 22.305 contain a',
13497:'clause see 52.2224 specifying that no laborer or mechanic doing any part of the work contemplated by the contract shall',
13498:'be required or permitted to work more than 40 hours in any workweek unless paid for all additional hours at',
13499:'not less than 1 1/2 times the basic rate of pay see 22.301. 22.4034 executive orders 13658 and 14026. executive',
13500:'order e.o. 13658 establishedminimum wages for certain workers at $10.10 per hour. thee.o. 13658 rate has increased each year since',
13501:'2015,rising to$11.25on january1, 2022. asof january 30, 2022, e.o. 13658 is superseded by e.o. 14026 to the extent that it',
13502:'is inconsistent with e.o. 14026; the minimum wage rate for certain workers is increased to $15.00 per hour. the wage',
13503:'rate is subject to annualincreases byan amountdetermined by thesecretaryof labor. see subpart 22.19. the clause at 52.22255, minimumwages for contractor',
13504:'workers underexecutive order 14026, requires the e.o. 14026 minimum wage rate to be paid if it is higher than other',
13505:'minimum wage rates, such as the subpart 22.4 statutory wage determination amount. 22.4035 federal acquisition regulation 22.4035 executive order 13706.',
13506:'executive order 13706 establishes paid sick leave for employees of certain federal contractors. see subpart 22.21 and the clause at',
13507:'52.22262, paid sick leave under executive order 13706. 22.4036departmentof labor regulations involving construction. a under the statutes and executive orders',
13508:'referred to in 22.403 and reorganization plan no. 14 of 19503 cfr 194953 comp., p. 1007, the secretary of labor',
13509:'hasissuedregulations in title 29, subtitlea, code of federalregulations, prescribing standards and procedures to be observed by the department of labor',
13510:'and the federal contracting agencies. those standards and procedures applicable to contracts involving construction are implemented in this subpart. b',
13511:'the department of labor regulations include 1part 1,relatingtoconstructionwageraterequirementsstatuteminimumwagerates; 2 part 3, relating to the copeland antikickback act and requirements for',
13512:'submission of weekly statements of compliance and the preservation and inspection of weekly payroll records; 3 part 5, relating to',
13513:'enforcement of the– iconstructionwage rate requirements statute; iicontract work hours and safety standards statute; and iii copeland antikickback act; 4part',
13514:'6,relatingtorulesofpracticeforappealingthefindingsoftheadministrator,wageandhourdivision,in enforcement cases under the various labor statutes, and by which administrative law judge hearings are held; 5 part 7,',
13515:'relating to rules of practice by which contractors and other interested parties may appeal to the department of labor administrative',
13516:'review board, decisions issued by the administrator, wage andhourdivision, or administrative law judges under the various labor statutes; 6 part',
13517:'10, relating to establishing a minimum wage for federal contractors; and 7 part 13, relating to establishing paid sick leave',
13518:'for federal contractors. c refer all questions relating to the application and interpretation of wage determinations including the classifications therein',
13519:'and the interpretationof the department of labor regulations in this subsection to the administrator, wage andhour division. 22.404 construction wage',
13520:'rate requirements statute wage determinations. the department of labor is responsible for issuing wage determinations reflecting prevailing wages, including fringe',
13521:'benefits. the wage determinations apply only to those laborers and mechanics employed by a contractor upon the site of the',
13522:'work including drivers who transport to or from the site materials and equipment used in the course of contract operations.',
13523:'determinations areissuedfordifferent types of construction,such as building, heavy,highway, and residential referred to as rate schedules, and apply only to the',
13524:'types of construction designated in the determination. 22.4041types of wagedeterminations. a general wage determinations. 1 a general wage determination contains',
13525:'prevailing wage rates for the types of construction designated in the determination, and is used in contracts performed within a',
13526:'specified geographical area. general wage determinations contain no expiration date and remain valid until modified, superseded, or canceled by the',
13527:'department of labor. onceincorporated in a contract, a generalwage determination normallyremains effective for the life of the contract,unlessthe contracting officer',
13528:'exercises an option to extend the termof the contract see 22.40412. these determinations shall be used whenever possible. they are',
13529:'issued at the discretion of the department of labor either upon receipt ofan agencyrequest or on the department of labor’s',
13530:'own initiative. 2 general wage determinations are published onthe wage determinations at sam.gov website. generalwage determinationsare effective onthe publication date',
13531:'of thewage determination or upon receipt of the wage determination by the contracting agency, whichever occurs first. “publication” within themeaning',
13532:'of this section shall occur on the first datethe wagedeterminationis publishedon the wagedeterminationsat sam.gov. archived construction wage rate requirements statute',
13533:'general wage determinations that are no longer current may be accessed in the “archived db wd” database onwage determinations at',
13534:'sam.gov website for information purposes only. contracting officers may not use an archivedwage determination in a contract action without obtaining',
13535:'prior approval of the department of labor. to obtain prior approval, contact the department of labor, wage and hour division,',
13536:'using https://www.sam.gov, or contact the procurement agency labor advisor listed on https://www.sam.gov. subpart 22.4 labor standards for contracts involving construction',
13537:'22.4043 b project wage determinations.aproject wage determination is issued at the specific requestof acontracting agency. it is usedonlywhen no general',
13538:'wage determination applies, and is effective for 180 calendar days from the date of the determination. however,if a determination expires',
13539:'before contract award, it may be possible to obtainan extension to the 180day life of the determination see 22.4045b2. once',
13540:'incorporated in a contract, a project wage determination normallyremains effective for the life ofthe contract, unless the contractingofficer exercisesan optionto',
13541:'extend the term of the contract see 22.40412. 22.4042general requirements. a thecontracting officer must incorporate onlythe appropriate wagedeterminations insolicitationsand contracts',
13542:'and must designate theworkto whicheach determination or part thereof applies. thecontracting officer must not include project wage determinations in contracts',
13543:'or options other than those for which they are issued. when exercising an option to extend theterm of a contract,the',
13544:'contracting officermust select the most current wage determinations fromthe same schedules as the wage determinations incorporated into the contract. b',
13545:'if the wage determination is a general wage determination or a project wage determination containing more than one rate schedule,the',
13546:'contracting officershalleither includeonlythe rateschedules thatapply to theparticular types of constructionbuilding,heavy, highway, etc. or include the entire wagedeterminationand clearly indicate theparts',
13547:'of the work to which each rate schedule shall be applied. inclusion by reference is not permitted. c thewage and',
13548:'hour division hasissuedthe following general guidelines for use in selecting the proper schedules of wage rates: 1 building construction is',
13549:'generally the construction of sheltered enclosures with walkin access, for housing persons, machinery, equipment, or supplies. ittypicallyincludes all construction of',
13550:'such structures, installation of utilities and equipment both above and below grade level, as well as incidental grading, utilities and',
13551:'paving, unless there is an established area practice to the contrary. 2 residential construction is generally the construction, alteration, or',
13552:'repair of single family houses or apartment buildings of no more than four 4 stories in height, and typically includes',
13553:'incidental items such as site work, parking areas, utilities, streets and sidewalks, unless there is an established area practice to',
13554:'the contrary. 3 highwayconstruction is generally the construction, alteration, or repair of roads, streets, highways, runways, taxiways, alleys, parking areas,',
13555:'and other similar projects that are not incidental to building, residential, or heavy construction. 4 heavy construction includes those projects',
13556:'that are not properly classified as either building, residential, or highway, and is of a catchall nature. such heavyprojects may',
13557:'sometimes be distinguished on the basis oftheir individual characteristics, and separate schedules issued e.g.,dredging, water and sewer line, dams, flood',
13558:'control, etc.. 5 when the nature of a project is notclear,itis necessary to look atadditional factors, with primary consideration given',
13559:'to locally established area practices. if there is any doubt as to the proper application of wage rate schedules to',
13560:'the type or types of constructioninvolved, guidance shall be sought before the openingof bids, orreceipt of best and final offers,',
13561:'from theadministrator, wage and hour division. further examples arecontained indepartment oflabor all agency memoranda numbers 130 and 131. 22.4043proceduresfor requesting',
13562:'wage determinations. a generalwage determinations. if there is a general wage determination onthe wage determinations at sam.gov website applicable tothe',
13563:'project, the agency may use it without notifying the departmentof labor. when necessary, a request for a general wage determination',
13564:'may be made by submitting standard form sf 308, request for determination and response to request,to the administrator, wage and',
13565:'hourdivision, attention: branchof construction contract wage determinations, 200 constitution avenue, nw,washington, dc20210. b project wage determinations. if ageneral wage determination',
13566:'is notavailableon wage determinations at sam.gov, a contracting agency shall submit requests for project wage determinations on sf 308to thedepartment',
13567:'oflabor. the requests shall include the following information: 1 the location, including the county or other civil subdivision and state',
13568:'in which the proposed project is located. 2 the name of the project and a sufficiently detaileddescription ofthe work to',
13569:'indicate the types of construction involved e.g., building, heavy, highway,residential, or other type. 3 any available pertinent wage payment information,',
13570:'unless wage patterns in the area are clearly established. 4 the estimated cost of each project. 5 all the classifications',
13571:'of laborers and mechanics likely to be employed. 22.4044 federal acquisition regulation c time for submission of requests. 1 the',
13572:'time required by the department of labor for processing requests for project wage determinations varies according to the facts and',
13573:'circumstances in each case. an agency should expect the processing to takeat least30 days. accordingly, agencies should submitrequests for project',
13574:'wagedeterminations for theprimary site ofthe work to the department of labor at least 45 days 60 days if possible before',
13575:'issuing the solicitation or exercising an option to extend the term of a contract. 2 agencies should promptly submit to',
13576:'the department of labor anofferor’s request for a project wage determination for a secondary site of the work. d review',
13577:'of wage determinations. immediately upon receipt, the contracting agency shall examine the wage determination and inform the department of labor',
13578:'of any changes necessary or appropriate to correct errors. private parties requesting changes should be advised to submit their requests',
13579:'to thedepartment oflabor. 22.4044 solicitations issued without wage determinations for the primary site of the work. a if a solicitation',
13580:'is issued before the wage determination for the primary site of the work is obtained, a notice shall be included',
13581:'in the solicitation that the schedule of minimum wage rates to be paid under the contract will be issued as',
13582:'an amendment to the solicitation. b in sealed bidding, bids may not be opened until a reasonable time after the',
13583:'wage determination for the primary site of the work has been furnished to all bidders. c innegotiated acquisitions, the contracting',
13584:'officer mayopen proposals and conduct negotiationsbefore obtaining thewage determination for the primary site of the work. however, the contracting officershallincorporatethe',
13585:'wage determination for the primary site of the work intothe solicitation before submission of best and final offers. 22.4045expiration ofproject',
13586:'wage determinations. a thecontracting officer shall make every effort to ensure that contract awardis made before expiration of theproject wage',
13587:'determination included in the solicitation. b the following procedure applies when contracting by sealed bidding: 1 if a project wage',
13588:'determination for the primary site of the work expires before bid opening, or if it appears beforebid opening thata project',
13589:'wage determination may expire before award, the contracting officer shall requesta new determination early enough to ensure itsreceipt before bidopening.',
13590:'if necessary, the contractingofficer shall postpone the bid opening date to allow a reasonable time to obtain the determination, amend',
13591:'the solicitation to incorporate the new determination, and permit bidders to amend their bids. if the new determination does not',
13592:'change the wage rates and would not warrant amended bids, the contracting officer shall amend the solicitation toinclude the number',
13593:'and date of the new determination. 2 if a project wage determination for the primary site of the work expires',
13594:'after bid opening but before award, the contracting officershallrequest an extension of the project wage determination expiration date from the',
13595:'administrator, wage and hour division. the request for extension shall be supported by a written finding, which shall include a',
13596:'brief statement of factual support, that the extension is necessary and proper in the public interest to prevent injustice or',
13597:'undue hardship or to avoid seriousimpairment of the conduct of governmentbusiness. if necessary, the contracting officershalldelay award to permit either',
13598:'receipt of the extension or receipt and processing of a new determination. if the request is granted, the contracting officershallaward',
13599:'the contract and modifyitto apply theextended expiration dateto the already incorporated project wage determination. see 43.103b1. if the request is',
13600:'denied, the administrator will proceed to issue a new project wagedetermination. uponreceipt,the contracting officer shall process thenew determination as follows:',
13601:'i if if the new determination for the primary site of the work changes any wage rates for classifications to',
13602:'be usedin the contract, the contracting officer may cancel the solicitation only in accordance with 14.4041. otherwise the contracting officershallaward',
13603:'the contract and incorporate thenew determination to be effectiveon the date of contract award. the contracting officer shall equitably adjust',
13604:'thecontract priceforany increased or decreased cost of performance resulting from any changed wage rates. iiif the new determination for theprimary',
13605:'site ofthe work does not changeanywage rates, the contractingofficer shall award the contract and modify it to include the number',
13606:'and date of the new determination. see 43.103b1. c the following procedure applies when contracting by negotiation: 1 if a',
13607:'project wagedetermination will or does expirebefore contract award, the contracting officer shall request a new wage determination from thedepartment oflabor.',
13608:'if necessary, the contracting officershalldelay award while the new determination is obtained and processed. subpart 22.4 labor standards for contracts',
13609:'involving construction 22.4046 2 the contractingofficer need not delay opening and reviewing proposals or discussing themwith the offerors while a',
13610:'new determinationforthe primary site of theworkis being obtained. the contractingofficer shall request offerors toextend the period for acceptance of any',
13611:'proposal if that period expires or may expire before receipt and full processing of the new determination. 3 if the',
13612:'newdeterminationforthe primarysite of thework changes any wage rates, thecontracting officer shall amend the solicitation toincorporate the newdetermination, andfurnish the wage',
13613:'rate information to all prospective offerors that were sent a solicitationif the closing date for receiptof proposals has not yetoccurred,',
13614:'or to all offerors that have not been eliminated from the competition if the closing date haspassed. all offerors to',
13615:'whom wagerate information has been furnished shall be given reasonable opportunity to amend their proposals. 4 if the newdeterminationforthe primarysite',
13616:'of thework does not change any wagerates, the contracting officer shall amend the solicitation to include the number and date',
13617:'of the new determination and award the contract. 22.4046 modifications of wage determinations. a general. 1 the department of labor',
13618:'may modify a wage determination to make it current by specifying only the items being changed or by reissuing the',
13619:'entire determination with changes incorporated. 2 all project wage determination modifications expire on the same day as the original determination.',
13620:'the need to include a modification of a project wage determination for the primary site of the work in a',
13621:'solicitation is determined by the time of receipt of themodification by the contracting agency. therefore,the contracting agency must annotate the',
13622:'modification of the project wage determination with the date and time immediately upon receipt. 3 the need for inclusion of',
13623:'the modification of a general wage determination for the primary site of the work in a solicitation is determined by',
13624:'the date the modified wage determination is published on thewage determinations at sam.gov , or by the date theagency receivesactual',
13625:'writtennotice of themodification from the department of labor, whichever occurs first. note the distinction between receipt bythe agencymodificationis effective and',
13626:'receipt by the contracting officer, which mayoccur later. during the course of the solicitation,the contracting officershallmonitor thewage determinations at sam.gov',
13627:'website todetermine whether the applicable wage determination has been revised. revisions published on thewage determinations at sam.gov website or otherwisecommunicated',
13628:'to thecontracting officer withinthe timeframes prescribed at 22.4046b and c are applicable and must be included in the resulting contract.',
13629:'monitoring can be accomplished by use of thewage determinations at sam.gov website’s alert service. b the following applies when contracting',
13630:'by sealed bidding: 1 a written action modifying a wage determination shall be effective if: iit isreceived by the contracting',
13631:'agency, or is published onthe wage determinations at sam.gov, 10 or more calendar days before the date of bid opening;',
13632:'or iiit isreceived by the contracting agency, oris publishedon the wage determinations at sam.gov , less than 10 calendar days',
13633:'before the date of bid opening, unless the contracting officer findsthat there isnot reasonabletime available beforebid opening tonotify the prospective',
13634:'bidders. if the contracting officer finds that there is not reasonable time to notify bidders, a written report of the',
13635:'finding shall be placed in the contract file and shall be made available to the department of labor upon request.',
13636:'2 all written actions modifying wage determinations received by the contracting agency after bid opening, or modifications to general wagedeterminations',
13637:'published on the wagedeterminationsat sam.gov after bid opening, shall not beeffective and shall not beincluded in the solicitation but see',
13638:'paragraphb6 of this subsection. 3 if an effective modification ofthe wagedetermination for the primarysite of the work is received by',
13639:'the contracting officer before bid opening, thecontracting officer shall postponethe bid opening, if necessary, to allow a reasonable time to',
13640:'amend the solicitation to incorporate the modification and permit bidders to amend their bids. if the modification does not change',
13641:'the wage ratesand would not warrant amended bids, the contracting officer shall amendthe solicitation to include the number and date',
13642:'of the modification. 4 if an effective modification ofthe wagedetermination for the primarysite of the work is received by the',
13643:'contracting officer afterbid opening, but beforeaward,the contracting officershallfollow the procedures in 22.4045b2i or ii. 5 if an effective modification is',
13644:'received bythe contracting officer after award, the contractingofficer shall modify the contract to incorporate the wage modification retroactive to the',
13645:'date of award and equitably adjust the contract price for any increased or decreased cost of performance resulting from any',
13646:'changed wage rates. if the modification does not change any wage ratesand would not warrant contract price adjustment, thecontracting officer',
13647:'shall modify the contract to include the number and date of the modification. 22.4047 federal acquisition regulation 6 if an',
13648:'award is not made within 90 days after bid opening, any modification to a general wage determination which is published',
13649:'on the wage determinations at sam.gov before award, shall be effective for any resultantcontract unless an extension of the 90day',
13650:'periodis obtained from theadministrator, wage and hour division. anagency head may request suchan extension from the administrator. therequest mustbe supported',
13651:'bya written finding, which shall include a brief statement of factual support, that the extension is necessary and proper in',
13652:'the public interest to prevent injustice, undue hardship,or to avoid serious impairmentin theconduct of government business. thecontracting officer shall follow',
13653:'the procedures in 22.4045b2. c the following applies when contracting by negotiation: 1 all written actions modifying wage determinations received',
13654:'by the contracting agency before contract award, or modifications to general wagedeterminations published on the wagedeterminationsat sam.gov before award, shall',
13655:'be effective. 2 if an effective wage modification is received by thecontracting officer before award,the contracting officer shall follow the',
13656:'procedures in 22.4045c3 or 4. 3 if an effective wage modification is received by thecontracting officer after award, the contracting',
13657:'officer shall follow the procedures in 22.4046b5. d the following applies when modifying a contract to exercise an option to',
13658:'extend the term of a contract: 1 a modifiedwage determination is effective if i the contracting agency receives a written',
13659:'action from the department of labor prior to exercise of the option, or within 45 days after submission of a',
13660:'wage determination request 22.4043c, whichever is later; or iithe departmentof laborpublishes the modificationto a general wage determination on the wage',
13661:'determinations at sam.gov before exercise of the option. 2 if the contracting officer receives an effectivemodified wage determinationeither before orafter',
13662:'execution of the contract modification to exercise theoption, thecontracting officer must modify the contractto incorporate themodified wagedetermination,andany changed wage rates,',
13663:'effectiveas of the date that the optionto extend was effective. 22.4047correction of wage determinations containing clerical errors. upon thedepartment oflabor’s',
13664:'own initiative or at the requestof the contractingagency, the administrator,wage and hour division, may correct any wage determination foundto contain',
13665:'clericalerrors. such correctionswill be effective immediately, and will applyto any solicitation or active contract. before contract award, the contracting officer',
13666:'must follow the procedures in 22.4045b1 or 2i or ii in sealed bidding, and the procedures in 22.4045c3 or 4',
13667:'in negotiations. after contract award, thecontracting officer must follow theprocedures at 22.4046b5, except that for contract modificationsto exercisean optionto extend',
13668:'the term of thecontract, the contracting officer must follow the procedures at 22.4046d2. 22.4048notification ofimproper wage determination beforeaward. a thefollowing',
13669:'written notifications by the department of labor shall beeffective immediatelywithout regard to 22.4046if received by thecontracting officer prior to award:',
13670:'1 a solicitation includes the wrong wage determination or the wrong rate schedule; or 2 a wage determination is withdrawn',
13671:'by the administrative review board. b in sealed bidding, the contracting officer shall proceedin accordance with thefollowing: 1 if the',
13672:'notification of an improper wage determination for the primary site of the work reaches the contracting officer beforebid opening, the',
13673:'contractingofficer shall postpone the bid opening date,if necessary, to allow a reasonable timeto i obtain the appropriate determination if a',
13674:'new wage determination is required; ii amend the solicitation to incorporate the determination or rate schedule; and iii permit bidders',
13675:'to amend their bids. if the appropriate wage determination does not change any wage rates and would not warrantamended bids,',
13676:'the contracting officer shall amend thesolicitation to includethe number and date of the new determination. 2 if the notification of',
13677:'an improper wage determination for the primary site of the work reaches the contracting officer after bidopening but beforeaward,the contracting',
13678:'officershalldelayawarding the contract, if necessary, and if required, obtain the appropriate wage determination. the appropriate wage determination shall be processed',
13679:'in accordance with 22.4045b2i or ii. subpart 22.4 labor standards for contracts involving construction 22.40412 c innegotiated acquisitions, the contracting',
13680:'officer shall delay award,if necessary, and process the notification of an improper wage determination for the primary site of the',
13681:'work in the manner prescribed for a new wage determination at 22.4045c3. 22.4049award of contract without required wage determination. a',
13682:'if a contract is awarded without the required wage determination i.e., incorporating no determination, containing a clearly inapplicable general wage',
13683:'determination, or containing a project determination which is inapplicable because of an inaccurate descriptionof the project or its location, the',
13684:'contracting officer shall initiate action to incorporate the required determination in the contract immediately upon discovery of the error. if',
13685:'a required wage determinationvaliddetermination in effect onthe date of award is not available, the contracting officer shall expeditiouslyrequest awage determination',
13686:'from thedepartment oflabor, including a statementexplaining the circumstancesandgiving the date of the contract award. b the contractingofficer shall 1 modify',
13687:'the contract to incorporate the required wage determination retroactive to the date of award and equitably adjust the contract price',
13688:'if appropriate; or 2 terminate thecontract. 22.40410 posting wage determinations and notice. the contractor must keep a copy of the',
13689:'applicable wage determination and any approved additional classifications posted at the site of the work in a prominent placewhere the',
13690:'workerscan easily see it. the contracting officer shall furnish to the contractor, department of laborformwh1321, noticeto employees working on federal',
13691:'and federally financed construction projects, for posting with the wage rates. the name, address, and telephone number of the government',
13692:'officer responsible for the administration of the contract shall be indicated in the poster to inform workers to whom they',
13693:'may submit complaints or raise questions concerning labor standards. 22.40411wage determination appeals. the secretary of labor has established an administrative',
13694:'review board which decides appeals of final decisions made by the departmentof labor concerning construction wage rate requirements statute wage',
13695:'determinations. a contracting agency or other interested party may file a petition for review under the procedures in 29 cfr',
13696:'part 7 if reconsideration by the administrator has been sought pursuant to 29 cfr1.8 and denied. 22.40412 labor standards for',
13697:'contracts containing construction requirements and optionprovisionsthat extendthe term of the contract. a eachtime the contracting officer exercises an option toextend',
13698:'the term of a contract for construction, ora contract that includes substantial and segregable construction work, the contracting officer must',
13699:'modify the contract to incorporate the most current wage determination. b if a contract with an option to extend the',
13700:'term of the contract has indefinitedelivery or indefinitequantity construction requirements, the contracting officer must incorporate the wage determination incorporatedinto the',
13701:'contract at theexercise of theoption intotaskordersissuedduring that option period. the wage determination willbe effective for the complete period of performance',
13702:'of those task orders without further revision. c thecontracting officer must includein fixedprice contracts a clause thatspecifiesoneof the following methods,',
13703:'suitable to the interest of the government, to provide an allowance for any increases or decreases in labor costs that',
13704:'result from the inclusion of the current wage determination at the exercise of an option to extend the term of',
13705:'the contract: 1 the contractingofficer may provide the offerors the opportunity to bidor propose separate prices for eachoption period. the',
13706:'contracting officer must not furtheradjust the contractprice as a result of the incorporationof anew or revised wagedetermination atthe exercise of',
13707:'each optionto extend the term of thecontract. generally, this method is used in constructiononly contracts with options to extend the',
13708:'term that are not expected to exceed a total of 3 years. 2 the contractingofficer may include in the contract',
13709:'a separatelyspecified pricingmethod that permits anadjustment to the contract price or contract labor unit price at the exercise of each',
13710:'option to extend the term of the contract. at the time of option exercise, the contracting officer must incorporate anew',
13711:'wage determination into thecontract, and must apply the specific pricing method to calculate the contract price adjustment. an example of',
13712:'a contract pricing method that the contracting officermightseparately specify is incorporation in the solicitation andresulting contractof the pricing data from',
13713:'an annually published unit pricing book e.g., the u.s. army computeraided cost estimating system or similar commercial product, which is',
13714:'multiplied in the contract by a factor proposed by the contractor e.g., .95 or 1.1. at option exercise, federal acquisition',
13715:'regulation thecontracting officer incorporates the pricingdata from the latestannual edition ofthe unit pricing book, multiplied by thefactoragreed to in the',
13716:'basic contract. thecontracting officer must not further adjust thecontract priceas aresult ofthe incorporation of the new or revised wage determination.',
13717:'3 the contractingofficer may provide for a contract price adjustment based solely on a percentage rate determined by the contracting',
13718:'officer usinga published economic indicator incorporatedinto the solicitation and resulting contract. at theexercise of eachoption to extendthe term ofthe contract,',
13719:'the contractingofficer will apply the percentagerate, based on theeconomic indicator, to the portion of the contract price or contractunit price',
13720:'designated in the contract clauseas labor costs subject tothe provisions of the construction wage rate requirements statute. thecontracting officer must',
13721:'insert 50 percent as theestimated portionof the contract price that is labor unless the contracting officer determines, prior to issuance',
13722:'of the solicitation, that adifferentpercentage is more appropriate for a particular contract or requirement. this percentage adjustment to the designated',
13723:'labor costs must be the only adjustment made to cover increases in wages and/or benefits resulting from the incorporation of',
13724:'a new or revised wage determination at the exercise of the option. 4 the contractingofficer may provide a computation methodto',
13725:'adjust the contract price to reflect thecontractor’s actual increase or decrease in wages and fringe benefits combined to the extent',
13726:'that the increase is made to comply with, or the decrease is voluntarily made by the contractor as a result',
13727:'of incorporation of, a new or revised wage determination at the exercise of theoption to extendthe term of the contract.',
13728:'generally, this method is appropriate for use only if contract requirements are predominately services subject to the service contract labor',
13729:'standards statute and the construction requirements are substantial and segregable. the methods used to adjust the contract price for the',
13730:'service requirements and theconstruction requirements wouldbe similar. 22.405[reserved] 22.406 administration and enforcement. 22.4061policy. a general. contracting agencies are responsible for',
13731:'ensuring the full and impartial enforcement of labor standards in the administration of construction contracts. contracting agencies shall maintain an',
13732:'effective program that shall include 1 ensuring that contractors and subcontractors are informed, before commencement of work, of their obligations',
13733:'under the labor standards clauses of the contract; 2 adequate payroll reviews, onsite inspections, and employee interviews to determine compliance',
13734:'by the contractor and subcontractors, and prompt initiation of corrective action when required; 3 prompt investigation and disposition of complaints;',
13735:'and 4 prompt submission of all reports required by this subpart. b preconstruction letters and conferences. before construction begins, the',
13736:'contractingofficer shall inform the contractor of the labor standards clauses and wage determination requirements ofthe contract and of the contractor’s',
13737:'and any subcontractor’s responsibilitiesunder thecontract. unless it is clearthat thecontractor is fully aware of therequirements, the contracting officershallissue an explanatory',
13738:'letter and/or arrange aconference with the contractor promptly after award of the contract. 22.4062wages,fringe benefits, and overtime. a in computing',
13739:'wages paid to a laborer or mechanic, the contractor may include only the following items: 1 amounts paid in cash',
13740:'to the laborer or mechanic, or deducted from payments under the conditions set forth in 29 cfr3.5. 2 contributions except',
13741:'those required by federal, state, or local law the contractor makes irrevocably to a trustee or a third party under',
13742:'any bona fide plan or program to provide for medical or hospital care, pensions, compensation for injuries or illness resulting',
13743:'from occupational activity, unemployment benefits, life insurance,disability and sicknessinsurance, accident insurance, or any other bona fide fringe benefit. 3 other',
13744:'contributions or anticipated costs for bona fide fringe benefits to the extent expressly approved by the secretary of labor. b',
13745:'1 the contractor may satisfy the obligation under the clause at 52.2226,constructionwageraterequirements,by providing wages consisting of any combination of contributions',
13746:'or costs as specified in paragraph a of this subsection, if the total cost of the combination is not less',
13747:'than the total of the basic hourly rate and fringe benefits payments prescribed in the wage determination for the classification',
13748:'of laborer or mechanic concerned. subpart 22.4 labor standards for contracts involving construction 22.4063 2 wages provided by the contractorand',
13749:'fringe benefits paymentsrequired by thewage determination may include items that are not stated as exact cash amounts. in these cases,',
13750:'the hourly cash equivalent of the cost of these items shall be determined bydividing the employer’s contributionsor costs by the',
13751:'employee’s hours workedduring the period covered by the costs or contributions. for example,if a contractor pays amonthly health insurance premium',
13752:'of$112 for a particular employeewho worked125 hours during the month, the hourlycash equivalent is determined bydividing $112 by125 hours, which',
13753:'equals $0.90 per hour. similarly, the calculationof hourly cash equivalent for ninepaid holidays peryear for an employee with a hourly',
13754:'rate of pay of $5.00 is determined by multiplying $5.00 by 72 9 days at 8 hours each, and dividing',
13755:'theresult of$360 by the number of hours worked by theemployee during the year. ifthe interested parties contractor, contracting officer, and',
13756:'employees or theirrepresentative cannotagreeon the cash equivalent, the contracting officer shall submit the question for final determination to the department',
13757:'of labor as prescribed by agency procedures. the information submitted shall include i a comparison of the payments, contributions, or',
13758:'costs in the wage determination with those made or proposed as equivalents by the contractor; and iithe comments and recommendationsof',
13759:'the contractingofficer. c in computing required overtime payments, i.e.,1 1/2 times the basic hourly rate of pay the contractor shall',
13760:'use the basic hourly rate of pay in the wage determination,or the basic hourlyrate actually paid bythe contractor, if higher.',
13761:'thebasic rateof pay includes employeecontributions to fringe benefits, butexcludesthe contractor’s contributions, costs, orpayment of cash equivalents for fringe benefits. overtime',
13762:'shall not be computed on a rate lower than the basic hourly rate in the wage determination. 22.4063 additional classifications.',
13763:'a if any laborer or mechanic is to be employed in a classification that is not listed in the wage',
13764:'determination applicable to thecontract, the contracting officer, pursuant to the clause at 52.2226, construction wagerate requirements, shall require that the',
13765:'contractor submit tothe contracting officer, standard form sf 1444, request for authorization of additional classification and rate, which, along with',
13766:'other pertinent data, contains the proposed additional classification and minimum wage rate including any fringe benefits payments. b upon receipt',
13767:'of sf 1444from the contractor,the contracting officer shall review the requestto determine whether it meets the following criteria: 1 the',
13768:'classification is appropriate and the work to be performed by the classification is not performed by any classification contained in',
13769:'the applicable wage determination. 2 the classification isutilized in the area by the construction industry. 3 the proposed wage rate,',
13770:'including any fringe benefits, bears a reasonable relationship to the wage rates in the wage determination in the contract. c',
13771:'1 if the criteria in paragraph b of this subsection are met and the contractor and the laborers or mechanics',
13772:'to be employed in the additional classification if known or their representatives agree to the proposed additional classification, and the',
13773:'contracting officer approves, the contracting officer shall submit areport including a copy of sf 1444 of that action to the',
13774:'administrator,wage and hour division,forapproval,modification,or disapproval of the additionalclassification and wage rate including any amount designated for fringe benefits; or 2',
13775:'if the contractor, the laborers or mechanicsto beemployed in the classificationor their representatives, and the contracting officerdo not agree on',
13776:'theproposed additionalclassification, or if thecriteria are notmet, thecontracting officer shall submit a report including a copy of sf 1444giving the',
13777:'views of all interested parties and thecontracting officer’s recommendation to the administrator, wage and hour division, for determination of appropriate',
13778:'classification and wage rate. d 1within30daysofreceiptofthereport,theadministrator,wageandhourdivision,willcompleteactionandso advisethe contracting officer, or willnotify the contracting officer that additional time is necessary. 2',
13779:'upon receipt ofthe department of labor’s action, the contracting officer shall forward acopy ofthe action to the contractor, directingthat theclassification',
13780:'andwage ratebe posted in accordance with paragraph a of the clause at 52.2226 and that workers inthe affected classification receive',
13781:'no less than theminimum rate indicatedfrom the first day on which work under the contract was performed in the classification.',
13782:'e in each option to extend the term of the contract, if any laborer or mechanic is to be employed',
13783:'during the option in a classification that is not listed or no longer listed on the wage determination incorporated in',
13784:'that option, the contracting officer must requirethat the contractor submit a request for conformance using the procedures noted in paragraphs',
13785:'a through d of this section. 22.4064 federal acquisition regulation 22.4064apprentices and trainees. a thecontracting officer shall review the contractor’s',
13786:'employment and payment records ofapprentices and trainees made available pursuant to the clause at 52.2228, payrolls and basic records, to',
13787:'ensure that the contractor has complied with the clause at 52.2229, apprentices and trainees. b if a contractor has classified',
13788:'employees as apprentices, trainees, or helpers without complying with the requirements of the clause at 52.2229, the contracting officershallreject theclassification',
13789:'andrequire thecontractor to paythe affected employees at the rates applicable to the classification of the work actually performed. 22.4065 subcontracts.',
13790:'in accordance with the requirements of the clause at 52.22211, subcontracts labor standards, the contractor and subcontractors at any tier',
13791:'are required to submit a fully executed sf 1413, statement and acknowledgment, upon award of each subcontract. 22.4066payrolls and statements.',
13792:'a submission. in accordance with the clause at 52.2228, payrolls and basic records, the contractor must submit or cause to',
13793:'be submitted, within 7 calendar days after the regular payment date of the payroll week covered, for the contractor and',
13794:'each subcontractor, 1 copies of weekly payrolls applicable to the contract,and2weekly payrollstatementsof compliance. the contractor may use the department of',
13795:'labor formwh347, payroll for contractor’s optional use, or a similar form that provides the same data and identical representation. b',
13796:'withholding for nonsubmission. if the contractor fails to submit copies of its or its subcontractors’ payrolls promptly, the contractingofficer shall,from',
13797:'any payment due tothe contractor, withhold approval of anamount that the contracting officerconsiders necessary to protect the interest of the',
13798:'government and the employees ofthe contractor orany subcontractor. c examination. 1 thecontracting officer shall examine the payrolls and payroll statements',
13799:'to ensure compliance with the contract and any statutory or regulatory requirements. particular attention should be given to i the',
13800:'correctness of classifications and rates; ii fringe benefits payments; iii hours worked; iv deductions; and v disproportionate employment ratios of',
13801:'laborers, apprentices or trainees to journeymen. 2 fringe benefits payments, contributions made, or costs incurred on other than a weekly',
13802:'basis shall be considered as a part of weekly payments to the extent they are creditable to the particular weekly',
13803:'period involved and are otherwise acceptable. d preservation. the contracting agency shall retain payrolls and statements of compliance for 3',
13804:'years after completion of the contract and make them available when requested by the department of labor at any time',
13805:'during that period. submitted payrolls shall not be returned to a contractor or subcontractor for any reason, but copies thereof',
13806:'may be furnished to the contractor orsubcontractorwho submitted them, or to a higher tier contractor orsubcontractor. e disclosure of payroll',
13807:'records.contractor payroll records inthe government’s possession must be carefully protected from any public disclosure whichis not required bylaw, since payrollrecordsmay',
13808:'containinformation in which the contractor’s employees have aprivacy interest, as well as information inwhich the contractor may have aproprietary interest',
13809:'that the government may be obliged to protect. questions concerning release of this information may involve the freedom of information',
13810:'act foia. 22.4067 compliance checking. a general. the contracting officershallmakechecks and investigations on all contractscovered by this subpart as may',
13811:'be necessary to ensure compliance with the labor standards requirements of the contract. b regular compliance checks. regular compliance checking',
13812:'includes the following activities: 1 employee interviews todetermine correctness of classifications, rates of pay,fringe benefitspayments, and hours worked. see standard',
13813:'form 1445. 2 onsite inspections to check type of work performed, number and classification of workers, and fulfillment of posting',
13814:'requirements. 3 payroll reviews to ensure that payrolls of prime contractors and subcontractors have been submitted on time and are',
13815:'complete and in compliance with contract requirements. subpart 22.4 labor standards for contracts involving construction 22.4068 4 comparison of the',
13816:'information in this paragraph b with available data, includingdaily inspector’sreport and daily logs of construction, to ensure consistency. c special',
13817:'compliance checks. situations that may require special compliance checks include 1 inconsistencies, errors, or omissions detected during regular compliance checks;',
13818:'or 2 receipt of a complaint alleging violations. if the complaint is not specific enough, the complainant shall be so',
13819:'advised and invited to submit additional information. 22.4068 investigations. conduct labor standards investigations when available information indicates such action is',
13820:'warranted. in addition, the department of labor may conduct an investigation on its own initiative or may request a contracting',
13821:'agency to do so. a contracting agency responsibilities. conduct an investigation when a compliance check indicates that substantial or willful',
13822:'violations may have occurred or violations have not been corrected. 1 the investigation must iinclude all aspects of the contractor’s',
13823:'compliance with contract labor standards requirements; ii not be limited to specific areas raised in a complaint or uncovered during',
13824:'compliance checks; and iii use personnel familiar with labor laws and their application to contracts. 2 do not disclose contractor',
13825:'employees’ oral or written statements taken during an investigation or the employee’s identity to anyone other than anauthorized government official',
13826:'without that employee’s prior signed consent. 3 senda written request to the administrator,wage and hour division,to obtain i investigation and',
13827:'enforcement instructions; or iiavailable pertinent department of labor files. 4 obtain permission from the department of labor before disclosing material',
13828:'obtained from labor department files, other than computations of back wages and liquidated damages and summaries of back wages due,',
13829:'to anyone other than government contract administrators. b investigation report. thecontracting officer must review theinvestigation report on receipt andmakepreliminary findings.',
13830:'the contracting officer normally mustnot baseadverse findingssolely on employee statements that the employee doesnot wish tohavedisclosed. however, if the investigation',
13831:'establishes a pattern of possible violations thatare based on employees’ statements that are not authorized for disclosure, the pattern itself',
13832:'may support a finding of noncompliance. c contractor notification. after completing the review, the contracting officermust 1 provide the contractor',
13833:'any written preliminary findings and proposed corrective actions, and notice that the contractor has the right to request that the',
13834:'basis for the findings be made available and to submit written rebuttal information. 2 upon request, provide the contractor with',
13835:'rationale for the findings. however, under no circumstanceswill the contracting officerpermitthe contractor to examine the investigation report. also,the contracting officer',
13836:'must not disclose the identity of any employee who filed a complaint or who was interviewed, without the prior consent',
13837:'of the employee. 3 i the contractor may rebut the findings in writing within 60 days after it receives a',
13838:'copy of the preliminary findings. the rebuttal becomes part ofthe official investigationrecord. if the contractor submits arebuttal, evaluate the preliminary',
13839:'findings and notify the contractor of the final findings. iiif the contracting officer does notreceivea timely rebuttal,the contracting officermust consider',
13840:'the preliminary findings final. 4 if appropriate, request the contractor to make restitution for underpaid wages and assess liquidated damages.',
13841:'if the request includes liquidated damages, the request must state that the contractor has 60 days to request relief from',
13842:'such assessment. d contracting officer’s report. after taking the actions prescribed in paragraphs b and c of this subsection 1',
13843:'the contractingofficer mustprepare and forwarda report of any violations, includingfindings andsupporting evidence, to the agency head. standard form 1446, labor',
13844:'standards investigation summary sheet, is the first page of the report; and 2 the agency head must process the report',
13845:'as follows: ithe contracting officer must send a detailed enforcement report to the administrator, wageand hour division, within 60 days',
13846:'after completion of the investigation, if a a contractor or subcontractor underpaid by $1,000 or more; b the contracting officerbelieves',
13847:'that the violations are aggravated or willful or there is reason to believe that the contractor has disregardedits obligations to',
13848:'employees and subcontractors under the construction wage rate requirements statute; 22.4069 federal acquisition regulation c the contractor or subcontractor has',
13849:'not made restitution; or d future compliance has not been assured. ii if the department of labor expressly requested the',
13850:'investigation and none of the conditions in paragraph d2 iof this subsection exist, submita summary report to the administrator, wage',
13851:'andhourdivision. the report must include a a summary of any violations; b the amount of restitution paid; c the number',
13852:'of workers who received restitution; dthe amount of liquidated damages assessed under the contract workhours and safety standards statute; e',
13853:'corrective measures taken; and f any information that may be necessary to review any recommendations for an appropriate adjustment in',
13854:'liquidated damages. iii if none of the conditions in paragraphs d2i or ii of this subsection are present, close the',
13855:'case and retain the report in the appropriate contract file. iv if substantial evidence is found that violations are willful',
13856:'and in violation of a criminal statute, generally 18 u.s.c. 874 or 1001, forward the report supplemented if necessary to',
13857:'the attorney general of the united states for prosecution if thefactswarrant. notify the administrator,wage and hour division,when the report is',
13858:'forwarded for the attorney general’s consideration. e department of labor investigations. the department of labor will furnish the contracting officer',
13859:'anenforcement report detailing violations found and any corrective action taken by the contractor,in investigations that disclose 1 underpayments totaling $1,000',
13860:'or more; 2 aggravated orwillful violationsor, when the contracting officer believes that the contractor has disregarded its obligations toemployees and',
13861:'subcontractors under the construction wage rate requirementsstatute; or 3 potential assessmentof liquidated damagesunder thecontract work hours and safety standards statute.',
13862:'f other investigations. the department of labor will provide a letter summarizing the findings of the investigation to the contracting',
13863:'officerforall investigations that are not described in paragraph e ofthis subsection. 22.4069withholding from or suspension of contract payments. a withholding',
13864:'from contract payments. if the contracting officer believesa violation existssee 22.4068, or upon request ofthe department of labor, the contracting',
13865:'officer must withhold frompaymentsduethe contractor an amount equal to the estimated wage underpaymentandestimated liquidated damages due theunited statesunder thecontract work',
13866:'hours and safety standards statute. see 22.302. 1 if the contracting officer believes aviolation exists or uponrequest of thedepartment oflabor,',
13867:'the contracting officer must withhold funds from any current federal contractor federally assisted contractwith the same prime contractor that is',
13868:'subjectto either construction wage rate requirements statute or contract workhours and safety standards statute requirements. 2 if a subsequent investigation',
13869:'confirms violations, the contractingofficer must adjust thewithholding as necessary. however, if the departmentof laborrequested the withholding, thecontracting officer must not',
13870:'reduceor releasethe withholding without written approval of the department of labor. 3 use withheld funds as provided in paragraph c',
13871:'of this subsection to satisfy assessed liquidated damages, and unless the contractor makes restitution, validated wage underpayments. b suspension of',
13872:'contract payments. if a contractor or subcontractor fails or refuses to comply with the labor standards clauses ofthe construction wage',
13873:'raterequirements statute and related statutes, the agency, upon its own action or upon thewritten request of the department of labor,',
13874:'must suspend any further payment, advance,or guarantee of funds until the violations cease or until the agency has withheld sufficientfundsto',
13875:'compensate employees for back wages,andto cover any liquidated damages due. c disposition of contract payments withheld or suspended 1 forwarding',
13876:'wage underpayments to the secretary of labor. upon final administrative determination, if the contractoror subcontractor has not made restitution, the',
13877:'contracting officer must follow the departmentof labor guidance published in wage and hour division, all agency memorandum aam no. 215,',
13878:'streamlining claims for federal contractor employees act. the aam no. 215 can be obtained at http:// www.dol.gov/whd/govcontracts/dbra.htm; under guidance there',
13879:'is a link for all agencies memoranda aams. 2 returning of withheld funds to contractor. when funds withheld exceed the',
13880:'amount required to satisfy validated wageunderpayments and assessed liquidated damages, return the funds tothe contractor. subpart 22.4 labor standards for',
13881:'contracts involving construction 22.40612 3 limitation on returning funds. if the department of labor requested the withholding or if the',
13882:'findings are disputed see 22.40610e, thecontracting officer must not returnthe funds to the contractor without approval by thedepartment of labor.',
13883:'4 liquidated damages.uponfinal administrative determination, the contractingofficer must dispose of funds withheld or collected for liquidated damages in accordance with',
13884:'agency procedures. 22.40610 disposition of disputes concerningconstructioncontract labor standards enforcement. a theareas ofpossible differences of opinion between contracting officers and',
13885:'contractors in construction contractlabor standards enforcement include 1 misclassification of workers; 2 hours of work; 3 wage rates and payment;',
13886:'4 payment of overtime; 5 withholdingpractices; and 6 the applicability of the labor standards requirements under varying circumstances. b generally,these',
13887:'differencesare settled administrativelyat the project level bythe contracting agency. if necessary, these differences may besettledwith assistance from the department of',
13888:'labor. c when requesting the contractor to take corrective action in laborviolation cases,the contracting officershallinform the contractor of the following:',
13889:'1 disputes concerning the labor standards requirements of the contract are handled under the contract clause at 52.22214, disputes concerning',
13890:'labor standards, and not under the clause at 52.2331, disputes. 2 the contractormay appeal the contractingofficer’s findings or part thereof',
13891:'by furnishing the contracting officera complete statement of the reasons for the disagreement with the findings. d the contractingofficer shall',
13892:'promptly transmitthe contracting officer’s findings and thecontractor’s statement to the administrator,wage and hour division. e theadministrator, wage and hour division,',
13893:'will respond directly to the contractor or subcontractor, with a copy to the contracting agency. the contractor or subcontractor may',
13894:'appeal the administrator’sfindings in accordance with theprocedures outlined in labor department regulations 29 cfr5.11. hearings before administrative law judges are',
13895:'conducted in accordance with 29 cfr part 6, and hearings before the labor department administrative review board are conducted in',
13896:'accordance with 29 cfr part 7. f the administrator, wage and hour division, may institute debarment proceedings against the contractoror',
13897:'subcontractor if the administrator finds reasonable cause to believe that the contractor or subcontractor has committed willful or aggravated violationsof',
13898:'the contract workhours and safetystandards statute or thecopelandantikickbackact, or any of the applicable statutes listed in 29 cfr 5.1 other',
13899:'than the construction wage rate requirementsstatute, or has committed violations of the construction wage rate requirements statute that constitute a',
13900:'disregard of itsobligations to employees or subcontractors under 40 u.s.c. 3144. 22.40611 contract terminations. if a contract or subcontract is',
13901:'terminated for violation of the labor standards clauses, the contracting agency shall submit a report to the administrator, wageandhour division.',
13902:'the report shall include a the number of the terminated contract; b the name and address of the terminated contractor',
13903:'or subcontractor; c thename and address ofthe contractor orsubcontractor, if any, who is tocomplete the work; d the amount and',
13904:'number of the replacement contract, if any; and e a description of the work. 22.40612 cooperation with the department of',
13905:'labor. a the contracting agency shall cooperate with representatives of the department of labor in the inspection of records, interviews',
13906:'withworkers,andallother aspectsof investigations undertaken by thedepartment oflabor. when requested, the contracting agency shall furnish to the secretary of labor any',
13907:'available information on contractors, subcontractors, current and previous contracts, and the nature of the contract work. b if a department',
13908:'of labor representative undertakes an investigation at a construction project, the contracting officer shall inquire into the scope of the',
13909:'investigation, and request to be notified immediately of any violations discovered under the 22.40613 federal acquisition regulation construction wage raterequirements',
13910:'statute,the contractwork hours and safety standards statute,or the copeland anti kickback act. 22.40613 semiannual enforcement reports. a semiannual report on',
13911:'compliance with and enforcement of the construction labor standards requirements of the construction wage raterequirements statute and contract work hoursand',
13912:'safety standards statute is required from each contracting agency. the reporting periods are october 1 through march 31 and april',
13913:'1 through september 30. the reports shall only contain information as to the enforcement actions of the contracting agency and',
13914:'shall be prepared as prescribed in department of labor memoranda and submitted to the department of labor within 30 days',
13915:'after the end of the reporting period. this report has been assigned interagency report control number 1482dolsa. 22.407 solicitation provision',
13916:'and contract clauses. a insert the following clauses in solicitations and contracts in excess of $2,000 for construction within the',
13917:'united states: 1 52.2226, construction wagerate requirements. 2 52.2227, withholding of funds. 3 52.2228, payrolls and basic records. 4 52.2229,',
13918:'apprentices andtrainees. 5 52.22210, compliance with copeland act requirements. 6 52.22211, subcontracts labor standards. 7 52.22212, contract terminationdebarment. 8 52.22213,',
13919:'compliance with construction wage rate requirementsandrelatedregulations. 9 52.22214, disputes concerning labor standards. 10 52.22215, certification of eligibility. b insert the',
13920:'clause at 52.22216,approval of wage rates, insolicitationsandcontracts in excessof $2,000 for costreimbursement construction to be performed within the united states,',
13921:'except for contracts with a state or political subdivision thereof. c a contract that is not primarily for construction may',
13922:'contain a requirement for some construction work to be performed in the united states. if under 22.402b the requirements of',
13923:'this subpart apply to the construction work, insert in such solicitations and contracts the applicable construction labor standards clauses required',
13924:'in this section and identify the item or items of construction work towhich the clausesapply. d [reserved] e insert the',
13925:'clause at 52.22230, construction wage rate requirementsprice adjustmentnoneor separately specified pricing method, in solicitations and contracts if the contract is',
13926:'expected to be 1 a fixedprice contract subjectto theconstructionwage rate requirements statute that will contain option provisions by whichthe contracting',
13927:'officer mayextend the term of the contract,and the contracting officerdeterminesthe most appropriate contract price adjustment method is the method at',
13928:'22.40412c1 or 2; or 2 a costreimbursable typecontract subject tothe construction wage raterequirements statute that willcontain option provisions by which',
13929:'the contracting officer may extend theterm of thecontract. f insert the clause at 52.22231,constructionwage rate requirementsprice adjustment percentage method,in solicitations',
13930:'and contracts if thecontract is expected to be a fixedprice contract subjectto theconstructionwage rate requirements statute that will contain optionprovisionsby',
13931:'which thecontracting officer may extend the term of the contract, and the contracting officer determines themost appropriate contract price adjustment',
13932:'method is the method at 22.40412c 3. g insert the clause at 52.22232,constructionwage rate requirementsprice adjustment actual method, in solicitations',
13933:'and contracts if thecontract is expected to be a fixedprice contract subjectto theconstructionwage rate requirements statute that will contain optionprovisionsby',
13934:'which thecontracting officer may extend the term of the contract, and the contracting officer determines themost appropriate method to establishcontract',
13935:'priceis the method at 22.40412c 4. h insert the provision at 52.2225,constructionwage rate requirementssecondarysite of thework, in solicitations in excess',
13936:'of $2,000 for construction within the united states. subpart 22.5 use of project labor agreements for federal construction projects 22.504',
13937:'subpart 22.5 use of project labor agreements for federal construction projects 22.501scope of subpart. this subpart prescribes policies and procedures',
13938:'to implement executive order 14063, use of project labor agreements for federal construction projects, dated february 4, 2022 3 cfr,',
13939:'2023 comp., pp 335–338. 22.502definitions. as used in this subpart construction means construction,reconstruction, rehabilitation, modernization, alteration, conversion, extension, repair, or',
13940:'improvement of buildings, structures, highways, or other real property. labor organization means a labor organization as defined in 29 u.s.c.',
13941:'1525 of which building and construction employees are members. largescale construction project means a federal construction project within the united',
13942:'states for which the total estimated cost of the construction contract to the federal government is $35 million or more.',
13943:'project labor agreement means aprehire collective bargaining agreement with one or more labor organizations that establishes the terms and conditions',
13944:'of employment for a specific construction project and is an agreement described in 29 u.s.c. 158f. 22.503 policy. a executive',
13945:'order e.o. 14063, use of project labor agreements for federal construction projects, requires agencies to useproject labor agreements in largescale',
13946:'construction projects to promote economy and efficiency in the administration and completion of federal construction projects. b when awarding a',
13947:'contract inconnection witha largescale construction project see 22.502, agencies shall require use of project labor agreements for contractors and subcontractors',
13948:'engaged in construction on the project, unless an exception at 22.504d applies. c an agency may require the use of',
13949:'a project labor agreement on projects where the total cost to the federal government is less than that for alargescale',
13950:'construction project, if appropriate. 1 an agency may, if appropriate, require thatevery contractorand subcontractor engaged inconstruction on the project agree,',
13951:'for that project, to negotiate or become a party to a project labor agreement with one or more labor organizations',
13952:'ifthe agency decides that the use of project labor agreements will— iadvance the federal governments interest in achieving economyandefficiencyin federalprocurement,',
13953:'producing labormanagementstability, and ensuring compliance with laws andregulations governing safety andhealth,equal employment opportunity, labor and employment standards, and other matters;',
13954:'and iibe consistentwith law. 2 agencies may consider the following factors in deciding whether the use of a project labor',
13955:'agreement is appropriate for a construction project where the totalcostto thefederal government is less than that for alargescale construction project:',
13956:'i the project will require multiple construction contractors and/or subcontractors employing workers in multiple crafts or trades. ii there is',
13957:'a shortage of skilled labor in the region in which the construction project will be sited. iii completion of the',
13958:'project will require an extended period of time. iv project labor agreements have been used on comparable projects undertaken by',
13959:'federal, state, municipal, or private entities in the geographic area of the project. v a project labor agreement will promote',
13960:'the agencys long term program interests, such as facilitating the training of a skilled workforce to meet the agencys future',
13961:'construction needs. vi any other factors that the agency decides are appropriate. d for indefinitedelivery indefinitequantity idiq contracts the use',
13962:'of a project labor agreement may be required on an orderbyorder basis rather than for the entire contract. for an',
13963:'order at or above $35 million an agency shall require the use of a project labor agreement unless an exception',
13964:'applies. see 22.504d3 and 22.505b3. 22.504 generalrequirementsfor project labor agreements. a general. project labor agreements established under this subpart shall',
13965:'fully conform to all statutes, regulations, and executive orders. federal acquisition regulation b requirements. a project labor agreement shall 1',
13966:'bind all contractors and subcontractors engaged in construction on the construction project to comply with the project labor agreement; 2',
13967:'allow all contractors and subcontractors to compete for contracts and subcontracts without regard to whether they areotherwise parties to collective',
13968:'bargaining agreements; 3 contain guarantees against strikes, lockouts, and similar job disruptions; 4 set forth effective, prompt, andmutually bindingprocedures for',
13969:'resolvinglabor disputes arisingduring the term of the project labor agreement; 5 provide other mechanisms for labormanagement cooperation on matters of',
13970:'mutual interest and concern, including productivity, quality of work,safety, and health; and 6 include any additional requirements as the agency',
13971:'deems necessary to satisfy its needs. c labor organizations. an agency may not require contractors or subcontractors to enter into',
13972:'a project labor agreement with any particular labororganization. d exceptions to project labor agreement requirements— 1 exception. the senior procurement',
13973:'executive may grant an exception from the requirements at 22.503b, providing a specific written explanation of why at least one',
13974:'of the following conditions exists with respect to the particular contract: i requiring a project labor agreement on the project',
13975:'would not advance the federal governments interests in achievingeconomyand efficiency in federal procurement. the exception shall be basedon one or',
13976:'more of the following factors: athe project is of short duration and lacks operational complexity. b the project will involve',
13977:'only one craft or trade. c the project will involve specialized construction work that is available from only a limited',
13978:'number of contractors or subcontractors. dthe agencys need for the project isof such an unusual and compelling urgency that a',
13979:'project labor agreement would be impracticable. ii market research indicates that requiring a project labor agreement on the project would',
13980:'substantially reduce the number ofpotentialofferorsto such a degree that adequate competition ata fairand reasonable pricecould not be achieved. see 10.002b1',
13981:'and 36.104. a likely reduction in thenumber of potential offerors is not, byitself,sufficient to except a contract from coverage under',
13982:'this authority unless it is coupled with the finding that the reduction would not allow for adequate competition at a',
13983:'fair and reasonable price. iii requiring a project labor agreement on the project would otherwise be inconsistent with federal statutes,',
13984:'regulations, executive orders, or presidential memoranda. 2 considerations. when determining whether the exception in paragraph d1ii of this section applies,',
13985:'contracting officers shall considercurrent market conditions and the extentto whichprice fluctuationsmay be attributable to factors other than the requirement for',
13986:'a project labor agreement e.g., costs of labor or materials, supply chain costs. agencies may rely on price analysis conducted',
13987:'on recent competitive proposals for construction projects of a similar size and scope. 3 timing of the exception — i',
13988:'contracts other than idiq contracts. the exception must be granted for a particular contract by the solicitation date. ii idiq',
13989:'contracts. an exception shall be granted prior to the solicitation date if the basis for the exception cited would apply',
13990:'to all orders. otherwise, exceptions shall be granted for each order by the time of the notice of the intent',
13991:'to place an order e.g., 16.505b1. 22.505 solicitation provision and contract clause. when aproject labor agreement is usedfora construction project,the',
13992:'contracting officer shall— a 1 insert the provision at 52.22233, notice of requirement for project labor agreement, in solicitations containing',
13993:'the clause 52.222–34, project labor agreement. 2 use the provision with its alternate i if the agency will require the',
13994:'submission of a project labor agreement from only theapparent successful offeror, prior to contract award. 3 use the provision with',
13995:'its alternate ii if an agency allows submission of a project labor agreement after contract award except when alternate iii',
13996:'is used. 4 use the provision with its alternate iii when alternate ii of 52.22234 is used. subpart 22.5 use',
13997:'of project labor agreements for federal construction projects 22.505 b 1 insert the clause at 52.22234, project labor agreement, in',
13998:'solicitations and contracts associated with the construction project. 2 use the clause with its alternate i if an agency allows',
13999:'submission of the project labor agreement after contract award except when alternate ii is used. 3 use the clause with',
14000:'its alternate ii in idiq contracts when the agency will have project labor agreements negotiated on an orderbyorder basis and',
14001:'anticipates one or more orders may not use a project labor agreement. this page intentionally left blank. 22.54 subpart 22.6',
14002:'contracts for materials, supplies, articles, and equipment 22.605 subpart 22.6 contracts for materials, supplies, articles, and equipment 22.601[reserved] 22.602 statutory',
14003:'requirements. except for the exemptions at 22.604, all contracts subject to 41 u.s.c. chapter 65, the statute, and entered into',
14004:'by any executive department, independent establishment, or other agency or instrumentality of the united states, or by the district of',
14005:'columbia, or by any corporation all the stock of which is beneficially owned by the united states for the manufacture',
14006:'or furnishing of materials, supplies, articles, and equipment referred to in this subpart as supplies in any amount exceeding $15,000,',
14007:'shall include or incorporate by reference the stipulations required by the statute pertaining to such matters as minimum wages, maximum',
14008:'hours, child labor, convict labor,and safeandsanitary working conditions. 22.603 applicability. the requirements in 22.602 apply to contracts including for this',
14009:'purpose, indefinitedelivery contracts, basic ordering agreements, and blanket purchase agreements and subcontracts under section 8a of the small business act,',
14010:'for the manufacture or furnishing of supplies that a will be performed in the united states, puerto rico, or theu.s.',
14011:'virgin islands; b exceed or may exceed $15,000; and c are not exempt under 22.604. 22.604exemptions. 22.6041 statutory exemptions. contracts',
14012:'for acquisition of the following supplies are exempt from the statute: a any item in thosesituations where the contracting officeris',
14013:'authorized by the express language of a statute to purchase in the open market generally such as commercial products and',
14014:'commercial services, see part 12; or where a specific purchase is made under the conditions described in 6.3022 in circumstances',
14015:'where immediate delivery is required by the public exigency. b perishables, including dairy, livestock, and nurseryproducts. c agricultural or farm',
14016:'products processed for first sale by the original producers. d agricultural commodities or the products thereof purchased under contract by',
14017:'the secretary of agriculture. 22.6042 regulatory exemptions. a contracts for the following acquisitions are fully exempt from the statute see',
14018:'41 cfr50201.603: 1 public utility services. 2 supplies manufactured outsidethe unitedstates, puerto rico, and theu.s. virgin islands. 3 purchases against',
14019:'the account of a defaulting contractor where the stipulations of the statute were not included in the defaulted contract. 4',
14020:'newspapers, magazines, or periodicals, contracted for with sales agents or publisher representatives, which are to be delivered by the publishers',
14021:'thereof. b 1 upon the request of the agency head, the secretary of labor may exempt specific contracts or classes',
14022:'of contracts from the inclusion or application ofoneor more of theact’s stipulations; provided,that the request includes a finding bythe agency',
14023:'head stating the reasons why the conduct of government business will be seriously impaired unless the exemption is granted. 2',
14024:'those requests for exemption that relate solely to safety and health standards shall be transmitted to the assistant secretary for',
14025:'occupational safety and health u.s. department of labor washington, dc 202l0. all other requests shall be transmitted to the administrator',
14026:'of the wage and hour division u.s. departmentof laborwashington, dc 202 l0. 22.605 rulings and interpretations ofthe statute. a as',
14027:'authorized by the act, the secretary of labor has issued rulings and interpretations concerning the administration of the statute see',
14028:'41 cfr50206. the substance of certain rulings and interpretations is as follows: federal acquisition regulation 1 if a contract for',
14029:'$15,000 or less is subsequently modified to exceed $15,000, the contract becomes subject to the statute for work performed after',
14030:'the date of the modification. 2 if a contract for more than $15,000 is subsequently modified by mutual agreement to',
14031:'$15,000 or less, the contract is not subject to the statute for work performed after the date of the modification.',
14032:'3 if a contract awarded to a prime contractor contains a provision whereby the prime contractor is made an agent',
14033:'of the government, the prime contractor is required to include the stipulations of the statute in contracts in excess of',
14034:'$15,000 awarded for and on behalf of the government for supplies that are to be used in the construction and',
14035:'equipment of government facilities. 4 if a contract subject to the statute is awarded to a contractor operating governmentowned facilities,',
14036:'the stipulations of the statute affectthe employees of that contractor the same as employees ofcontractors operating privately owned facilities. 5',
14037:'indefinitedelivery contracts, including basic ordering agreements and blanket purchase agreements, are subject to the statute unless it can be determined',
14038:'in advance that the aggregate amount of all orders estimated to be placed thereunder for 1year after the effective date',
14039:'of the agreement willnot exceed $15,000. a determination shall be made annually thereafter if the contract or agreement is extended,',
14040:'and the contract oragreement modified if necessary. b [reserved] 22.606[reserved] 22.607[reserved] 22.608 procedures. a award. when a contract subject to',
14041:'the statute is awarded, the contracting officer, in accordance with regulations or instructions issued by the secretary of labor and',
14042:'individual agency procedures, shall furnish to the contractor dol publication wh1313, notice toemployees workingon government contracts. b breach of stipulation.',
14043:'in the eventof aviolation ofa stipulationrequired under the statute,the contracting officershall, in accordance withagency procedures, notify the appropriate regional office',
14044:'ofthe dol, wage and hour division see 29 cfr part 1, appendix b, and furnish any information available. 22.609[reserved] 22.610contract',
14045:'clause. the contractingofficer shall insertthe clause at 52.22220, contracts for materials, supplies, articles, and equipment, in solicitations and contracts covered',
14046:'by the statute see 22.603, 22.604, and 22.605. subpart 22.7 [reserved] subpart 22.7 [reserved] this page intentionally left blank. 22.72',
14047:'subpart 22.8 equal employment opportunity 22.802 subpart 22.8 equal employment opportunity 22.800scope of subpart. this subpart prescribes policies and procedures',
14048:'pertaining to nondiscrimination in employment by contractors and subcontractors. 22.801definitions. as used in this subpart affirmative action program means a',
14049:'contractor’s program that complies withdepartment oflabor regulations toensure equal opportunity in employment to minorities and women. compliance evaluation means any',
14050:'one or combination of actions that the office offederal contract compliance programs ofccp may take to examine a federal contractor’s',
14051:'compliance withoneor more of therequirements of e.o.11246. contractor includes the terms primecontractor and subcontractor. deputy assistant secretary means the deputy',
14052:'assistant secretary for federal contract compliance, u.s. department of labor, ora designee. equal opportunity clause means the clause at 52.22226,',
14053:'equal opportunity, as prescribed in 22.810e. e.o.11246 means partsii and iv of executive order11246, september 24,1965 30 fr12319, and any',
14054:'executive order amending or superseding this order see 22.802. this term specifically includes the equal opportunity clause at 52.22226, and',
14055:'the rules, regulations, and orders issued pursuantto e.o.11246 by thesecretaryof laboror adesignee. gender identity has the meaning given by the',
14056:'department of labor’s officeof federal contract compliance programs, and is found at www.dol.gov/ofccp/lgbt/lgbtfaqs.html. prime contractor means any person whoholds, or',
14057:'has held, agovernmentcontract subject toe.o.11246. recruiting and training agency means any person who refers workers to any contractor or provides',
14058:'or supervises apprenticeship ortraining for employment byanycontractor. sexual orientation hasthe meaninggiven bythe department of labor’s office offederal contract compliance programs,',
14059:'and is found at www.dol.gov/ofccp/lgbt/lgbtfaqs.html. site of construction means the general physical location ofanybuilding, highway, or other change or improvement',
14060:'to realpropertythat isundergoing construction,rehabilitation, alteration, conversion, extension,demolition, or repair; and any temporary location or facility at which a contractor or',
14061:'other participating party meets a demand or performs a function relating to a government contract or subcontract. subcontract means any',
14062:'agreement or arrangement between a contractor and any person in which the parties do not stand in the relationship of',
14063:'an employer and an employee 1 for the purchase, sale, or use of personal property or nonpersonal services that, in',
14064:'whole or in part, are necessary to the performance of any one or more contracts; or 2 under which anyportion',
14065:'of the contractor’sobligation underanyone or more contracts is performed, undertaken, or assumed. subcontractor means any person who holds, or hasheld,a',
14066:'subcontract subject to e.o.11246. the term firsttier subcontractor meansa subcontractor holding a subcontract with aprimecontractor. united states means the 50',
14067:'states, the district of columbia, puerto rico, the northern mariana islands, american samoa, guam, the u.s. virginislands, and wake island.',
14068:'22.802general. a executive order 11246, as amended, sets forth the equal opportunity clause and requires thatallagencies 1 include this clause',
14069:'in all nonexempt contracts and subcontracts see 22.807; and 2 act to ensure compliance with the clause and the regulations',
14070:'of the secretary of labor ito promote the full realization ofequalemploymentopportunity for all persons, regardlessof race, color, religion, sex, sexual',
14071:'orientation, genderidentity, or national origin; and iito prohibit contractors from discharging, or inany othermanner discriminating against, any employee or applicant',
14072:'for employment because the employee or applicant inquired about, discussed, or disclosed the compensation of the employee or applicant or',
14073:'another employee or applicant. this prohibition against discrimination does not apply to instances in which an employee who has access',
14074:'to the compensation information of other employees or applicants as a part of such employees essential job functions discloses the',
14075:'compensation of such other employees or applicants to individuals who do nototherwise have access to such information, unless such disclosure',
14076:'is in response to aformal complaint or charge, in federal acquisition regulation furtherance of aninvestigation, proceeding, hearing, or action, including',
14077:'an investigation conducted by the employer, or is consistent with the contractors legal duty to furnish information. b no contract',
14078:'or modification involving new acquisition shall be entered into, and no subcontract shall be approved by a contracting officer, with',
14079:'aperson who hasbeenfound ineligible by thedeputyassistant secretary for reasons of noncompliancewith the requirements ofe.o.11246. c no contracting officer or contractor',
14080:'shall contract for suppliesor services in a mannerso asto avoid applicability of the requirementsof e.o.11246. d contractor disputes related to',
14081:'compliance with its obligation shall be handled according to the rules, regulations, and relevant orders of the secretary of labor',
14082:'see 41 cfr601.1. 22.803responsibilities. a the secretary of labor is responsible for the 1 administration and enforcement of prescribed parts',
14083:'of e.o.11246;and 2 adoptionof rulesandregulations and the issuance of orders necessary to achieve the purposes of e.o.11246. b the secretary',
14084:'of labor has delegated authority and assigned responsibility to the deputy assistant secretary for carrying outthe responsibilities assignedto thesecretary by',
14085:'e.o.11246, except for the issuance of rules and regulationsof a general nature. c the head of each agency is responsible',
14086:'for ensuring that the requirements of this subpart are carried out within the agency, and for cooperating with and assistingthe',
14087:'ofccp in fulfilling itsresponsibilities. d in the event the applicability of e.o.11246 and implementing regulations isquestioned, the contracting officer shall',
14088:'forwardthe matter to thedeputyassistantsecretary, through agency channels, for resolution. 22.804 affirmative action programs. 22.8041 nonconstruction. except as provided in 22.807,',
14089:'each nonconstruction prime contractor and each subcontractor with 50 or more employees and either a contract or subcontract of $50,000',
14090:'or more, or government bills of lading that in any 12month period total, or can reasonably be expected tototal, $50,000',
14091:'or more, is required to develop a writtenaffirmativeaction program for each of itsestablishments. each contractor and subcontractor shall develop itswritten',
14092:'affirmative action programs within 120 days from the commencement of its first such government contract, subcontract, or government bill of',
14093:'lading. 22.8042 construction. a construction contractors that hold a nonexempt see 22.807 government construction contract are required to meet 1',
14094:'the contract terms and conditions citing affirmative action requirements applicable to covered geographical areas or projects; and 2 applicable requirements',
14095:'of 41 cfr601 and 60–4. b each agency shall maintain alistingof covered geographical areasthat aresubject to affirmative action requirements that',
14096:'specify goals for minorities and women in covered construction trades. information concerning, and additions to, this listing will be providedto',
14097:'the principally affected contractingofficers in accordance with agency procedures. anycontracting officer contemplating a construction project in excess of $10,000 withina',
14098:'geographic area notknown to be coveredby specific affirmative action goals shall request instructions on the most current information from the',
14099:'ofccp regional office, or as otherwise specified in agency regulations, before issuing the solicitation. c contracting officers shall give writtennotice',
14100:'to the ofccp regional office within 10 working days of award of a constructioncontract subject tothese affirmative actionrequirements. the notificationshallinclude',
14101:'the name, address, and telephone number of the contractor; employer identification number; dollar amount of the contract; estimated starting and',
14102:'completion dates of the contract; the contract number; and the geographical area in which the contract is to be performed.',
14103:'when requestedby the ofccp regionaloffice, the contractingofficer shall arrange a conference among contractor, contracting activity, and compliance personnel to discuss',
14104:'the contractor’s compliance responsibilities. 22.805 procedures. a preaward clearances for contracts and subcontracts of $10 million or more excluding construction.',
14105:'1 except as provided in paragraphs a4 and a8 of this section, if the estimated amount of the contract or',
14106:'subcontract is $10 million or more, thecontracting officer shall request clearance from the appropriate ofccp regionaloffice before subpart 22.8 equal',
14107:'employment opportunity 22.805 iaward of any contract, including any indefinitedelivery contract or letter contract; or iimodification of an existing contract',
14108:'for neweffort that wouldconstitute a contractaward. 2 preaward clearance for each proposed contract and for each proposed firsttier subcontract of',
14109:'$10 million or more shall berequested bythe contracting officer directly from the ofccp regional offices. verbal requests shall be confirmed',
14110:'by letter or facsimile transmission. 3 when the contract work is to be performed outside the united states with employees',
14111:'recruited within the united states,the contracting officer shall send the request for a preaward clearance to the ofccpregional officeservingthe area',
14112:'where the proposed contractor’s corporate home or branch office is locatedin theunited states, or the corporate location where personnel recruiting',
14113:'is handled, ifdifferentfrom the contractor’s corporate home or branch office. if the proposed contractor has no corporateoffice or location within',
14114:'the unitedstates, thepreaward clearance request action should be based on the location of the recruiting and training agency in the',
14115:'united states. 4 the contractingofficer does notneedto request a preaward clearanceif ithe specific proposedcontractor is listed in ofccp’s nationalpreaward registry',
14116:'via the internet at https:// www.dol.gov/agencies/ofccp/preaward/registry; iithe projected awarddate is within 24 months of the proposed contractor’s notice of compliance',
14117:'completion date in the registry; and iii the contracting officer documents the registry review in the contractfile. 5 the contractingofficer',
14118:'shall includethe following information in the preaward clearance request: iname, address, and telephone number of the prospective contractor and of',
14119:'any corporate affiliate at which work is to be performed. ii name, address, and telephone number of each proposed firsttier',
14120:'subcontractor with a proposed subcontract estimated at $10 million or more. iii anticipated date of award. iv information as to',
14121:'whether the contractor and firsttier subcontractors have previously held any government contracts or subcontracts. v place or places of performance',
14122:'of the prime contract and firsttier subcontracts estimated at $10 million or more, if known. vi the estimated dollar amount',
14123:'of the contract and each firsttier subcontract, if known. 6 the contractingofficer shall allowas muchtime as feasible before award for',
14124:'the conductof necessary compliance evaluationby ofccp. assoon as the apparentlysuccessfulofferor canbe determined, thecontracting officer shall processa preaward clearance request in',
14125:'accordance with agency procedures, assuring, if possible, that the preaward clearance request is submitted to the ofccp regionaloffice at least',
14126:'30 days before the proposed award date. 7 within 15 days of the clearance request, ofccp will informthe awarding agency',
14127:'ofits intention to conduct a preaward compliance evaluation. if ofccp does not inform the awarding agency within that period of',
14128:'its intention to conduct a preaward compliance evaluation, clearance shall be presumed and the awarding agency is authorized to proceed',
14129:'with the award. if ofccp informs the awarding agency of its intention to conduct a preaward compliance evaluation, ofccp shall',
14130:'be allowed an additional 20 days after the date that it so informs the awarding agency to provide its conclusions.',
14131:'if ofccp does not provide the awarding agency with its conclusions within that period, clearance shall be presumed and the',
14132:'awarding agency is authorized to proceed with the award. 8 if the procedures specified in paragraphs a6anda7 of this section',
14133:'would delay award ofan urgent and critical contractbeyond the time necessary to make award or beyondthe time specified inthe offer',
14134:'or extension thereof, the contracting officershallimmediately inform the ofccp regionaloffice of the expiration date of the offer orthe required date',
14135:'of awardand request clearance be provided beforethat date. if the ofccp regionaloffice advises that a preaward evaluation cannot be completed',
14136:'by the required date, the contracting officer shall submit written justification for the award tothe head of thecontracting activity, who,',
14137:'after informing theofccp regional office, may then approve the award without the preaward clearance. if anaward is made under this',
14138:'authority, the contracting officershallimmediately requesta postaward evaluation from the ofccp regionaloffice. 9 if, under the provisions of paragraph a8 of',
14139:'this section, a postaward evaluation determines the contractor to be in noncompliance with e.o.11246,the deputy assistant secretary may authorize the',
14140:'use of the enforcement procedures at 22.809 against the noncomplying contractor. b furnishing posters. thecontracting officer shall furnish to the',
14141:'contractor appropriate quantitiesof the posterentitled equal employment opportunity is the law. these shall beobtained inaccordance withagency procedures. federal acquisition regulation',
14142:'22.806inquiries. a an inquiry from a contractor regarding statusof its compliancewith e.o.11246, or rights of appeal toany of the actions',
14143:'in 22.809, shall bereferred to the ofccpregional office. b labor union inquiriesregarding the revision of a collective bargainingagreement inorder to',
14144:'comply with e.o.11246 shall bereferred to the deputy assistant secretary. 22.807exemptions. a under the followingexemptions, all or part of the',
14145:'requirementsof e.o.11246may be excludedfrom a contract subject to e.o.11246: 1 national security. the agency head may determine that a contract',
14146:'is essential to the national security and that the award of the contract without complying with one or more of',
14147:'the requirements of this subpart is necessary to the national security. upon makingsuch a determination, the agency shall notifythe deputy',
14148:'assistant secretary in writing within 30 days. 2 specific contracts. the deputy assistant secretary may exempt an agency from requiring',
14149:'the inclusion of one or more of the requirements of e.o.11246 in any contract if the deputy assistant secretary deemsthat',
14150:'special circumstances in the national interest so require. groups or categories of contracts of the same type may also be',
14151:'exempted if the deputy assistant secretary finds it impracticable to act upon each request individually or if group exemptions will',
14152:'contribute to convenience inthe administration of e.o.11246. b the following exemptions apply even though a contract or subcontract contains the',
14153:'equal opportunity clause: 1 transactions of $10,000 or less. the equal opportunity clause is required to be included in prime',
14154:'contracts and subcontracts by 22.802a. individual prime contracts or subcontracts of $10,000 or less are exempt from application of the',
14155:'equal opportunity clause, unless the aggregate value of all prime contracts or subcontracts awarded to a contractor in any 12month',
14156:'period exceeds, or can reasonably be expected to exceed, $10,000. note: government bills of lading, regardless of amount, are not',
14157:'exempt. 2 work outside the united states. contracts are exemptfrom the requirements ofe.o.11246 for work performed outside the united states',
14158:'by employees who were not recruited within the united states. 3 contracts with state or local governments. the requirements of',
14159:'e.o.11246 in any contract with a state or local government or any agency, instrumentality, or subdivision thereofshallnot be applicable toany',
14160:'agency, instrumentality, or subdivision of such government that does not participate in work on or under the contract. 4 work',
14161:'on or near indian reservations. itshallnot be a violation of e.o.11246 for a contractor to extend a publicly announced preference',
14162:'in employment to indians living on or near an indian reservation in connection with employment opportunities on or near an',
14163:'indian reservation. this applies to that area where a person seeking employment could reasonably beexpected to commute to and from',
14164:'in the course of a work day. contractors extending sucha preference shall not, however, discriminate among indians on the basis',
14165:'of religion,sex, sexual orientation, gender identity, or tribal affiliation, and theuse of such preference shall not excuse a contractor from',
14166:'complying with e.o.11246,rules and regulations of the secretary of labor, and applicable clauses in the contract. 5 facilities not connected',
14167:'with contracts. the deputy assistant secretary may exempt from the requirements of e.o.11246 any of a contractor’s facilities thatthe deputy',
14168:'assistant secretary finds to be in all respects separateanddistinct from activities of the contractor related to performing the contract, provided,',
14169:'that the deputy assistant secretary also finds that the exemption will not interferewith, orimpede the effectivenessof, e.o.11246. 6 indefinitequantity contracts.',
14170:'with respect to indefinitequantity contractsandsubcontracts, the equal opportunity clause applies unless the contracting officer has reason to believe thatthe amount',
14171:'to be ordered in anyyearunder thecontract will notexceed $10,000. the applicability of the equal opportunity clause shall be determined by',
14172:'the contracting officer at thetime ofaward for the firstyear, and annuallythereafter for succeeding years, if any. notwithstanding the above, the',
14173:'equal opportunity clause shall be applied to the contract whenever the amount of a single order exceeds $10,000. once the',
14174:'equal opportunity clause is determined to be applicable, the contract shall continue to be subject to such clause for its',
14175:'duration regardless of the amounts ordered, or reasonably expectedto beordered,in anyyear. 7 contracts with religious entities. pursuantto e.o. 13279,section 202',
14176:'of e.o. 11246,shallnot apply to a government contractor or subcontractor that isa religiouscorporation, association,educational institution, or society,with respect to the',
14177:'employment of individuals of a particular religion to perform work connected with the carrying on by such corporation, association, educational',
14178:'institution, or society of its activities. such contractors and subcontractors are not exemptedor excused fromcomplyingwith the other requirements containedin the',
14179:'order. subpart 22.8 equal employment opportunity 22.810 c to request anexemption under paragraph a2or b5 of this section, the contracting',
14180:'officershallsubmit, underagency procedures, a detailed justification for omitting all, or partof, the requirementsof e.o.11246. requests for exemptions under paragraph a2',
14181:'or b5 of this section shall be submitted to the deputy assistant secretary for approval. d the deputy assistant secretary',
14182:'may withdraw the exemption for a specific contract, or group of contracts, if the deputy assistant secretary deems that such',
14183:'action is necessary and appropriate to achieve the purposes of e.o.11246. such withdrawal shall not apply 1 to contracts awarded',
14184:'before the withdrawal; or 2 to any sealedbid contractincluding restricted sealed bidding, unless the withdrawalis made more than 10 days',
14185:'before the bid opening date. 22.808complaints. complaints received bythe contracting officeralleging violation of the requirements ofe.o.11246 shall be referred immediately',
14186:'to the ofccpregional office. the complainant shall be advisedin writing of the referral. the contractor that is thesubject of a',
14187:'complaint shall not beadvised in any manner or for any reason ofthe complainant’s name, the nature of the complaint, or',
14188:'the fact that the complaint was received. 22.809 enforcement. upon written notification to the contractingofficer, the deputy assistant secretary may',
14189:'direct one ormoreof the following actions, as well as administrative sanctions and penalties, be taken against contractors found to be',
14190:'in violation of e.o. 11246,the regulations of thesecretaryof labor, or the applicablecontract clauses: a publication of the names of the',
14191:'contractor or its unions. b cancellation, termination,or suspension ofthe contractor’s contracts or portion thereof. c debarment from future government contracts,',
14192:'or extensions or modifications of existing contracts, until the contractor has establishedand carriedout personnel and employment policies in compliance with',
14193:'e.o.11246 and the regulations of the secretary of labor. d referralby the deputy assistant secretary ofany matter arising under e.o.11246',
14194:'to the departmentof justice or to the equal employment opportunity commission eeoc for the institution of appropriate civil or criminal',
14195:'proceedings. 22.810 solicitation provisions and contract clauses. a when a contract is contemplated that will include the clause at 52.22226,',
14196:'equal opportunity, the contracting officer shall insert 1 the clause at 52.22221, prohibition of segregated facilities, in the solicitation and',
14197:'contract; and 2 the provision at 52.22222, previous contracts and compliance reports, in the solicitation. b the contractingofficer shall insertthe',
14198:'provisionat 52.22223, notice of requirement for affirmative actionto ensure equal employment opportunity for construction, in solicitations for construction when a',
14199:'contract is contemplated that will include the clause at 52.22226, equal opportunity, andthe amountof the contract isexpected to be in',
14200:'excess of $10,000. c thecontracting officer shall insert the provision at 52.22224, preaward onsite equal opportunity compliance evaluation, in solicitations',
14201:'other than those for construction when a contract is contemplated that will include the clause at 52.22226, equal opportunity,andthe amount',
14202:'of the contract isexpected be$10 million or more. d the contractingofficer shall insertthe provisionat 52.22225, affirmativeaction compliance, in solicitations, other',
14203:'than those for construction, when a contract is contemplated that will include the clause at 52.22226, equal opportunity. e thecontracting',
14204:'officer shall insert the clause at 52.22226, equal opportunity, in solicitations and contracts see 22.802 unless the contract isexempt from',
14205:'all of the requirements of e.o.11246 see 22.807a. if the contract is exempt from one or more, but not all,',
14206:'of the requirements ofe.o.11246, the contracting officer shall use the clause with its alternate i. f the contracting officer shall',
14207:'insertthe clause at 52.22227,affirmative action compliance requirements for construction, in solicitations and contracts for construction that will include the clause',
14208:'at 52.22226, equal opportunity, when the amount of the contract is expected to be in excess of $10,000. g the',
14209:'contractingofficer shall insertthe clause at 52.22229,notificationof visa denial, in contractsthat will include the clause at 52.22226, equal opportunity,if the contractor',
14210:'is requiredto perform in or on behalf of a foreign country. this page intentionally left blank. 22.86 subpart 22.9 nondiscrimination',
14211:'because of age 22.902 subpart 22.9 nondiscrimination because of age 22.901 policy. executive order11141, february 12,1964 29 fr2477, states that',
14212:'thegovernmentpolicyis as follows: a contractorsand subcontractors shall not, in connection with employment,advancement, ordischarge of employees, or the terms, conditions, or',
14213:'privileges of their employment, discriminate against persons because of their age except upon the basis of a bona fide occupational',
14214:'qualification, retirement plan, or statutory requirement. b contractors and subcontractors, or persons acting on their behalf, shall not specify in',
14215:'solicitations or advertisements for employees to work on government contracts, a maximum age limit for employment unless the specified maximum',
14216:'age limit is based upon a bona fide occupational qualification, retirement plan, or statutory requirement. c agencies will bring this',
14217:'policy to the attention of contractors. the use of contract clauses is not required. 22.902handling complaints. agencies shall bring complaints',
14218:'regarding a contractor’s compliance with this policy to that contractor’s attention in writing, if appropriate, stating the policy, indicating that',
14219:'the contractor’s compliance has been questioned, andrequesting that the contractor take any appropriate steps that may be necessary to comply.',
14220:'this page intentionally left blank. 22.92 subpart 22.10 service contract labor standards 22.10023 subpart 22.10 service contract labor standards 22.1000',
14221:'scope of subpart. this subpart prescribes policies and procedures implementing the provisions of 41 u.s.c. chapter 67, service contract labor',
14222:'standards formerly known as the service contract act of 1965, the applicable provisions of the fair labor standards act of',
14223:'1938, as amended 29 u.s.c.201, etseq., and related secretary of labor regulations and instructions 29 cfr parts 4, 6, 8,',
14224:'and 1925. 22.1001 definitions. as used in this subpart contractor includes a subcontractor at any tier whose subcontract is subject',
14225:'to the provisions of the statute. multiple year contracts means contracts having a term of more than 1 year regardless',
14226:'of fiscal year funding. the term includes multi year contracts see 17.103. united states means the 50 states, the district',
14227:'of columbia, puerto rico, the northern mariana islands, american samoa, guam,the u.s. virgin islands, johnston island,wake island, and theoutercontinental shelf',
14228:'as defined inthe outer continental shelf lands act 43 u.s.c.1331, etseq., but does not include any other place subject to',
14229:'u.s. jurisdiction or any u.s. base or possession within aforeign country 29 cfr 4.112. wage and hour division means the',
14230:'unit in the department of labor to which is assigned functions of the secretary of labor under the service contract',
14231:'labor standards statute. wage determination means a determination of minimum wages or fringe benefits made under 41 u.s.c.6703 or 6707c',
14232:'applicable to the employment in a given locality of one or more classes of service employees. 22.1002 statutory andexecutive order',
14233:'requirements. 22.10021 general. service contracts over $2,500 shall contain mandatory provisions regarding minimum wages and fringe benefits, safe and sanitary',
14234:'working conditions, notification to employees of the minimum allowable compensation, and equivalent federal employee classifications and wage rates. under 41',
14235:'u.s.c. 6707d, service contracts may not exceed 5 years. 22.10022 wage determinations based on prevailing rates. contractors performing on servicecontracts',
14236:'in excess of $2,500 to whichno predecessorcontractor’scollective bargaining agreement applies shall pay their employees at least the wages and fringe',
14237:'benefits found by the department of labor to prevail inthe locality or, in the absenceof awage determination, the minimum wageset',
14238:'forthin thefairlabor standards act. 22.10023 wage determinations based on collectivebargaining agreements. a successor contractors performing on contracts in excess of',
14239:'$2,500 for substantially the same services performed in the same locality must pay wages and fringe benefits including accrued wages',
14240:'and benefits and prospective increases at least equal to those contained in any bona fide collectivebargaining agreement entered intounder thepredecessor',
14241:'contract. this requirement is selfexecuting and is not contingent upon incorporating a wage determination or the wage and fringe benefit',
14242:'terms of thepredecessor contractor’s collectivebargaining agreement in the successor contract. this requirement will not apply if the secretary of labor',
14243:'determines 1 after a hearing, that the wages and fringe benefits are substantially at variance with those which prevail for',
14244:'services of a similar character in the locality; or 2 that the wages and fringebenefits are notthe result of arm’s',
14245:'length negotiations. b paragraphs in this subpart 22.10whichdealwiththisstatutoryrequirementandthedepartmentoflabor’s implementing regulations are 22.1010, concerning notification to contractors andbargaining representatives of procurement',
14246:'dates; 22.10122, explaining when a collective bargaining agreement will not applydueto late receipt by the contracting officer; and 22.1013 and',
14247:'22.1021, explaining when the application ofa collective bargaining agreement canbe challenged due to avariance with prevailing rates orlack of arm’s',
14248:'length bargaining. 22.10024 federal acquisition regulation 22.10024 application of the fair labor standards act minimum wage. no contractor or subcontractor',
14249:'holding a service contract for any dollar amount shall pay any of its employees working on the contract less than',
14250:'the minimum wage specified in section 6a1 of the fair labor standards act 29 u.s.c. 206. 22.10025 executive orders 13658',
14251:'and 14026. executive order e.o. 13658 establishedminimum wages for certain workers at $10.10 per hour. thee.o. 13658 rate has increased',
14252:'each year since 2015,rising to$11.25on january1, 2022. asof january 30, 2022, e.o. 13658 is superseded by e.o. 14026 to the',
14253:'extent that it is inconsistent with e.o. 14026; the minimum wage rate for certain workers is increased to $15.00 per',
14254:'hour. the wage rate is subject to annualincreases byan amountdetermined by thesecretaryof labor. see subpart 22.19. the clause at 52.22255,',
14255:'minimumwages for contractor workers underexecutive order 14026, requires the e.o. 14026 minimum wage rate to be paid if it is',
14256:'higher than other minimum wage rates, such as the subpart 22.10 statutory wage determination amount. 22.10026 executive order 13706. executive',
14257:'order 13706 establishes paid sick leave for employees of certain federal contractors. see subpart 22.21 and the clause at 52.22262,',
14258:'paid sick leave under executive order 13706. 22.1003 applicability. 22.10031 general. this subpart 22.10 applies to all government contracts, the',
14259:'principal purpose of which is to furnish services in the united states through the use of service employees, except as',
14260:'exempted in 22.10033 and 22.10034 of this section, or any subcontract atanytier thereunder. this subpart does not apply to individual',
14261:'contractrequirements for services incontracts not having as their principal purpose the furnishing of services. the nomenclature, type, or particular form',
14262:'of contract used by contracting agencies is not determinative of coverage. 22.10032 geographical coverage of the act. the service contract',
14263:'labor standards statute applies to service contracts performed in the united states see 22.1001. the service contract labor standards statute',
14264:'does not apply to contracts performed outside the united states. 22.10033 statutory exemptions. the service contract labor standards statute does',
14265:'not apply to a any contract for construction, alteration, or repair of public buildings or public works, including painting and',
14266:'decorating; b any work required to be done in accordance with the provisions of 41 u.s.c. chapter 65; c any',
14267:'contract for transporting freight or personnel by vessel, aircraft, bus, truck, express, railroad, or oil or gas pipeline where published',
14268:'tariff ratesare ineffect; d any contract for furnishing services by radio, telephone, or cable companies subject to the communications act',
14269:'of 1934; e any contract for public utility services; f any employment contract providing for direct services to a federal',
14270:'agency by an individual or individuals; or g any contract for operating postal contract stations for the u.s. postal service.',
14271:'22.10034 administrative limitations, variations, tolerances, and exemptions. a the secretary of labor may provide reasonable limitations and may make rules',
14272:'and regulations allowing reasonable variations, tolerances, and exemptions to and from any or all provisions of the service contract labor',
14273:'standards statute other than 41 u.s.c. 6707f. these will be made only in special circumstances where it has been determined',
14274:'that the limitation, variation, tolerance, or exemption is necessary and proper in the public interest or to avoid the serious',
14275:'impairment of government business, and is in accord with the remedial purpose of the service contract labor standards statute to',
14276:'protect prevailing labor standards 41 u.s.c. 6707b. see 29 cfr 4.123 for a listing of administrative exemptions, tolerances, and variations.',
14277:'requests for limitations, variances, tolerances, and exemptions from the service contract labor standards statute shall besubmitted in writingthroughcontracting channels and',
14278:'theagency labor advisor tothe wage and houradministrator. subpart 22.10 service contract labor standards 22.10034 b in addition to the statutory',
14279:'exemptions cited in 22.10033 of this subsection, the secretary of labor has exempted the following types of contracts from all',
14280:'provisions of the service contract labor standards statute: 1 contracts entered into by the united states with common carriers for',
14281:'the carriage of mail by rail, air except air star routes, bus, and ocean vessel, where such carriage is performed',
14282:'on regularly scheduled runs of the trains, airplanes, buses, and vessels over regularly established routes and accounts for an insubstantial',
14283:'portion of the revenue therefrom. 2 any contract entered into by the u.s. postal service with an individual owneroperator for',
14284:'mail service if it is not contemplated at the time the contract is made that the owneroperator will hire any',
14285:'service employee to perform the services underthe contract except for short periods ofvacation time or for unexpected contingencies or emergency',
14286:'situations such as illness, or accident. 3 contracts for the carriage of freight or personnel if such carriage is subject',
14287:'to rates covered by section 10721 of the interstate commerce act. c contracts for maintenance, calibration or repair of certain',
14288:'equipment. 1 exemption. the secretary of labor has exempted from the service contract labor standards statute contracts and subcontracts in',
14289:'which the primary purpose is to furnish maintenance, calibration, or repair of the following types of equipment, if the conditions',
14290:'at paragraph c2 of this subsection are met: iautomated data processing equipment and office information/word processing systems. ii scientific equipment',
14291:'and medical apparatus or equipment if the application of microelectronic circuitry or other technology of at least similar sophistication is',
14292:'an essential element for example, product or service code psc 6515, medicaland surgical instruments, equipment, and supplies; psc 6525, imaging',
14293:'equipment and supplies: medical, dental,veterinary; psc 6630, chemical analysisinstruments; and psc 6655, geophysical instruments, are largely composed of the types',
14294:'of equipment exempted in this paragraph. iii office/business machines not otherwise exempt pursuant to paragraph c1i of this subsection, if',
14295:'such services are performed by the manufacturer or supplier of the equipment. 2 conditions. the exemption at paragraph c1 of',
14296:'this subsection applies if all the following conditions are met for a contract or a subcontract: i the items of',
14297:'equipment to be serviced under the contract are used regularly for other than government purposes and are sold or traded',
14298:'by the contractor in substantial quantities to the general public in the course of normal business operations. ii the services',
14299:'will be furnished at prices which are, or are based on, established catalog or market prices for the maintenance, calibration,',
14300:'or repair of such equipment. as defined at 29 cfr 4.123e1iib a an established catalog price is a price included',
14301:'in a catalog price list, schedule, or other form that is regularly maintained by the manufacturer or the contractor, is',
14302:'either published or otherwise availableforinspectionby customers, and states prices at whichsales currently, or were last, made toa significantnumber of buyers',
14303:'constituting the general public. b an established market price is a current price, established in the usual course of trade',
14304:'between buyers and sellersfree to bargain, which can be substantiatedfrom sources independent of the manufacturer or contractor. iii the contractor',
14305:'will use the same compensation wage and fringe benefits plan for all service employees performing work under the contract as',
14306:'the contractor uses for these employees and equivalent employees servicing the same equipment of commercial customers. iv the apparent successful',
14307:'offeror certifies to the conditions inparagraph c2i through iii of this subsection. see 22.1006e. 3 affirmative determination and contract award.',
14308:'i for source selections where the contracting officer has established acompetitive range, if the contracting officer determines that one or',
14309:'more of the conditions in paragraphs 22.10034c2i through iii of anofferor’s certificationwill not bemet, the contracting officer shall identifythe deficiencyto',
14310:'theofferor before receipt of thefinal proposalrevisions. unless the offerorprovides a revised offer acknowledging applicability of the service contract labor standards',
14311:'statute or demonstrating to the satisfaction of the contracting officeran ability to meet all requiredconditions for exemption, the offer will',
14312:'notbe further considered for award. iithe contracting officer shall determine in writing the applicability of this exemptionto the contractbefore contract',
14313:'award. if the apparent successful offeror will meetallconditions in paragraphc2 of this subsection,the contracting officershallmakean affirmative determination and award the',
14314:'contract without theotherwise applicable service contract labor standards clauses. iii if theapparent successful offerordoes not certify to the conditions in',
14315:'paragraph c2i through iii of this subsection, the contracting officer shall incorporate in the contract theservice contract act clause see',
14316:'22.1006a and, if the contract will exceed $2,500, the appropriate department of labor wage determination see 22.1007. 22.10034 federal acquisition',
14317:'regulation 4 department of labor determination. i if the department of labor determines after award of the contract that any',
14318:'condition for exemption in paragraph c2 of this subsection has not been met, the exemption shall be deemed inapplicable, andthe',
14319:'contract shall becomesubject to the servicecontract labor standards statute, effective as ofthe date of the department of labor determination. in',
14320:'such case, the procedures at 29 cfr 4.123e1iv and 29 cfr 4.5c shall be followed. ii if the department of',
14321:'labor determines that any conditions in paragraph c2 of this subsection have not been met with respect to a subcontract,',
14322:'the exemption shall be deemed inapplicable. the contractor may be responsible for ensuring that the subcontractor complies with theservice contract',
14323:'labor standards statute, effective asof the date of the subcontract award. d contracts for certain services. 1 exemption. except as',
14324:'provided in paragraph d5 of this subsection, the secretary of labor has exempted from the service contract labor standards statute',
14325:'contracts and subcontracts in which the primary purpose is to provide the following services, if the conditions in paragraph d2',
14326:'of this subsection are met: i automobile or other vehicle e.g., aircraft maintenance services other than contracts or subcontracts to',
14327:'operate a government motor pool or similar facility. ii financial services involving the issuance and servicing of cards including credit',
14328:'cards, debit cards, purchase cards, smart cards, and similar card services. iii hotel/motel services for conferences, including lodging and/or meals,',
14329:'that are part of the contract or subcontract for the conference which must not include ongoing contracts for lodging on',
14330:'an as needed or continuing basis. iv maintenance, calibration, repair,and/or installation where the installation is not subject tothe construction wage',
14331:'raterequirements statute,as provided in 29 cfr4.116c2 services for all types of equipment where the services are obtained from the manufacturer',
14332:'or supplier of the equipment under a contract awarded on a sole source basis. v transportation by commoncarrierof persons by',
14333:'air, motor vehicle, rail,or marine vessel on regularly scheduled routes or via standard commercial services not including charter services. vi',
14334:'real estate services, including real property appraisal services, related to housing federal agencies or disposing of real property owned by',
14335:'the government. vii relocation services, including services of real estate brokers and appraisers to assist federal employees or military personnel',
14336:'in buying and selling homes which shall not include actual moving or storage of household goods and related services. 2',
14337:'conditions. the exemption for the services in paragraph d1 of this subsection applies if all the following conditions are met',
14338:'for a contract or for a subcontract: i a except for services identified in paragraph d1iv of this subsection, the',
14339:'contractor will be selected for award based on other factors in addition to price or cost, with the combination of',
14340:'other factors at least as important as price or cost; or b the contract will be awarded on a sole',
14341:'source basis. iithe services under the contractare offered and soldregularly to nongovernmental customers,andare provided by the contractor or subcontractor in',
14342:'the case of an exempt subcontract to the general public in substantial quantities in the course of normal business operations.',
14343:'iii the contract services are furnished at prices that are, or are based on, established catalog or market prices. as',
14344:'defined at 29 cfr 4.123e2iic a an established catalog price is a price included in a catalog, price list, schedule,',
14345:'or other form that is regularly maintained by the contractor, is either published or otherwise availableforinspectionby customers, and states prices',
14346:'atwhich sales are currently, or werelast, made to a significant numberof buyers constitutingthe general public; and b an established market',
14347:'price is a current price, established in the usual course of trade between buyers and sellersfree to bargain, which can',
14348:'be substantiatedfrom sources independent of the manufacturer or contractor. iv each service employee who will perform the services under the',
14349:'contract will spend only a small portion of his or her time a monthly average of less than 20 percent',
14350:'of the available hours on an annualized basis, or less than 20 percent of available hours during the contract period',
14351:'if the contract period is less than a month servicing the government contract. v the contractor will use the same',
14352:'compensation wage and fringe benefits plan for all service employees performing work under the contract as the contractor uses for',
14353:'these employees and equivalent employees servicing commercial customers. vi the contracting officer or contractor with respect to a subcontract determines',
14354:'in advance before issuingthe solicitation,based on thenature of the contract requirements andknowledge of thepractices of likelyofferors, that all or subpart',
14355:'22.10 service contract labor standards 22.10035 nearly all offerors will meetthe conditions in paragraph d2ii through v of this subsection.',
14356:'if the services are currently being performedunder contract, the contractingofficer or contractor with respect to asubcontract shall consider the practices',
14357:'of the existing contractor in making a determination regarding the conditions in paragraphs d2ii through v of this subsection. vii',
14358:'atheapparentsuccessfulofferorcertifiesthattheconditionsinparagraphsd2iithroughvwillbe met; and b forother thansolesource awards, the contracting officer determines that the same certification is obtained from substantially all',
14359:'other offerors that are 1 in the competitiverange, if discussions are to be conducted see far 15.306c; or 2 considered',
14360:'responsive, if award is to be made withoutdiscussions see far 15.306a. 3 contract award or resolicitation. i if the apparentsuccessfulofferor',
14361:'does not certify tothe conditions,the contracting officershallinsert in the contract the applicable service contract labor standards clauses see 22.1006 and,',
14362:'if the contract will exceed $2,500, the appropriate department of labor wage determination see 22.1007. iithe contracting officer shall awardthe',
14363:'contract without theotherwise applicable service contract labor standards clauses if athe apparent successful offeror certifiesto the conditions in paragraphs d2ii',
14364:'through v of this subsection; b the contracting officerdeterminesthat the samecertification isobtained from substantially all other offerors that are 1',
14365:'in the competitiverange, if discussions are to be conducted see far 15.306; or 2 considered responsive, if award is to',
14366:'be made withoutdiscussions see far 15.306a; and c the contracting officerhas noreason to doubt the certification. iii if theconditions in',
14367:'paragraphd3ii of this subsection arenot met, then the contracting officer shall resolicit, amending the solicitation by removing the exemption provision',
14368:'from the solicitation as prescribed at 22.1006e3. the contract will include the applicable service contract labor standards clauses as prescribed',
14369:'at 22.1006 and, if the contract will exceed $2,500, the appropriate department of labor wage determination see 22.1007. 4 department',
14370:'of labor determination. i if the department of labor determines after award of the contract that any conditions for exemption',
14371:'at paragraph d2 of this subsection have not been met, the exemption shall be deemed inapplicable, and the contract shall',
14372:'become subject to the service contract labor standards statute. in such case, the procedures at 29 cfr 4.123e2iii and 29',
14373:'cfr 4.5c shall be followed. ii if the department of labor determines that any conditions in paragraph d2 of this',
14374:'subsection have not been met with respect to a subcontract, the exemption shall be deemed inapplicable. the contractor may be',
14375:'responsible for ensuring that the subcontractor complies with theservice contract labor standards statute, effective asof the date of the subcontract',
14376:'award. 5 exceptions. the exemption at paragraph d1 of this subsection does not apply to solicitations and contracts subcontracts iawarded',
14377:'under, 41 u.s.c. chapter 85, committee for purchase from people who are blind or severely disabled see subpart 8.7. iifor',
14378:'the operation of a government facility, or part of a governmentfacility but may beapplicable to subcontracts for services; or iii',
14379:'subject to 41 u.s.c. 6707c see 22.10023. 22.10035 some examplesof contracts covered. the following examples, while not definitive or exclusive,',
14380:'illustrate some of the types of services that have been found to be covered by the service contract labor standards',
14381:'statute see 29 cfr4.130 for additional examples: a motor pool operation, parking, taxicab, and ambulance services. b packing, crating, and',
14382:'storage. c custodial, janitorial, housekeeping, and guard services. d food service and lodging. e laundry, drycleaning, linensupply, and clothing alteration',
14383:'and repair services. f snow, trash, and garbage removal. g aerial spraying and aerial reconnaissance for fire detection. h some',
14384:'support services at installations, including grounds maintenance and landscaping. 22.10036 federal acquisition regulation i certain specialized services requiring specific skills,',
14385:'such as drafting, illustrating, graphic arts, stenographic reporting, or mortuary services. j electronic equipment maintenance and operation and engineering support',
14386:'services. k maintenance and repair of all types of equipment, for example, aircraft, engines, electrical motors, vehicles, and electronic, office',
14387:'and related businessandconstruction equipment. but see 22.10034c1 and d1iv. loperation, maintenance, orlogistics supportof afederal facility. m data collection, processing and',
14388:'analysis services. 22.10036 repair distinguished from remanufacturing of equipment. a contracts principally for remanufacturing of equipment which is so extensive',
14389:'as to be equivalent to manufacturing are subject to 41 u.s.c. chapter 65, rather than to the service contract labor',
14390:'standards statute. remanufacturing shall be deemed to be manufacturing when the criteria in either paragraphs a1 or a2 of this',
14391:'section are met. 1 major overhaul of an item, piece of equipment, or material which is degraded or inoperable, and',
14392:'under which all of the following conditions exist: i the item or equipment is required to be completely or substantially',
14393:'torn down into individual component parts. ii substantially all of the parts are reworked, rehabilitated, altered and/or replaced. iii the',
14394:'parts are reassembled so as to furnish a totally rebuilt item or piece of equipment. iv manufacturing processes similar to',
14395:'those which were used in the manufacturing of the item or piece of equipment are utilized. v the disassembled components,',
14396:'if usable except for situations where the number of items or pieces of equipment involved are too few to make',
14397:'it practicable are commingled with existing inventory and, as such, lose their identification with respect to a particular piece of',
14398:'equipment. vi the itemsor equipment overhauled are restored to originallife expectancy, or nearly so. vii such work is performed in',
14399:'a facilityowned or operated by the contractor. 2 major modification of an item, piece of equipment, or material which is',
14400:'wholly or partially obsolete, and under which all of the following conditions exist: i the item or equipment is required',
14401:'to be completely or substantially torn down. ii outmoded parts are replaced. iii the item or equipment is rebuilt or',
14402:'reassembled. iv the contract work results in the furnishing of a substantially modified item in a usable and serviceable condition.',
14403:'v the work is performed in a facility owned or operated by the contractor. b remanufacturing does not include the',
14404:'repair of damaged or broken equipment which does not require a complete teardown, overhaul, and rebuild as described in subparagraphsa1',
14405:'and a2 of this subsection, or the periodic and routine maintenance, preservation, care, adjustment, upkeep, or servicing of equipment to',
14406:'keep it in usable, serviceable, working order. such contractstypicallyare billed onan hourly rate labor plus materials and parts basis. any',
14407:'contract principally for this type of work is subject to the service contract labor standards statute. examples of such work',
14408:'include the following: 1 repair of an automobile,truck, orothervehicle, construction equipment, tractor, crane, aerospace, airconditioning and refrigeration equipment, electric motors,',
14409:'and ground powered industrial or vehicular equipment. 2 repair of typewriters and other office equipment but see 22.10034c1 and d1iv.',
14410:'3 repair of appliances, radios, television sets, calculators, and other electronic equipment. 4 inspecting, testing, calibration, painting, packaging, lubrication, tuneup,',
14411:'or replacement of internal parts of equipment listed in subparagraphsb1, b2, and b3 of this subsection. 5 reupholstering,reconditioning, repair, and',
14412:'refinishing of furniture. 22.10037 questions concerning applicability of the service contract labor standards statute. if the contracting officer questions the',
14413:'applicability of the service contractlabor standardsstatuteto anacquisition, the contracting officershallrequest the advice ofthe agencylaboradvisor. unresolvedquestions shall be submittedin a timely',
14414:'mannerto the administrator, wage and hourdivision, for determination. 22.1004 department of labor responsibilities and regulations. under the service contract labor',
14415:'standards statute, the secretary of labor is authorized and directed to enforce the provisions of the service contract labor standards',
14416:'statute, make rules and regulations, issue orders, hold hearings, make subpart 22.10 service contract labor standards 22.1006 decisions, and take',
14417:'other appropriate action. the department of labor has issued implementing regulations on such matters as a service contract labor standards',
14418:'provisions and procedures 29 cfr part 4, subparta; b wage determination procedures29 cfr part 4, subparts a and b; c',
14419:'application of the service contract labor standards statute rulings and interpretations 29 cfr part 4, subpartc; d compensation standards 29',
14420:'cfr part 4, subpartd; e enforcement 29 cfr part 4, subparte; f safe and sanitary working conditions 29 cfr part',
14421:'1925; g rules of practice for administrative proceedings enforcing service contract labor standards 29 cfr part 6; and h practice',
14422:'before the administrative review board 29 cfr part 8. 22.1005 [reserved] 22.1006 solicitation provisions and contract clauses. a 1thecontractingofficershallinserttheclauseat 52.22241,',
14423:'service contract labor standards, in solicitations and contracts except as provided in paragraph a2 of this section if the contract',
14424:'is subject to the service contract labor standards statute and is i over $2,500; or iifor anindefinite dollar amount and',
14425:'thecontracting officer does not know in advance that the contract amount will be $2,500 or less. 2 the contractingofficer shall',
14426:'not insert the clause at 52.22241 or any of the associated service contract labor standards statute clauses as prescribed in',
14427:'this section for possible use when 52.22241 applies in the resultant contract if i the solicitation includes the provision at',
14428:'a 52.22248, exemption from application of the service contract labor standards statute to contracts for maintenance, calibration, or repair of',
14429:'certain equipmentcertification; b 52.22252, exemption from application of the service contract labor standards statute to contracts for certain servicescertification; or',
14430:'c either of the comparable certifications is checked as applicable in the provision at 52.2048c2 or 52.2123k; and iithe contracting',
14431:'officer has made the determination,in accordance with paragraphs c3 or d3 of subsection 22.10034, that the service contract labor standards',
14432:'statute does not apply to the contract. in such case, insert the clause at 52.22251, exemption from application of the',
14433:'service contract labor standards to contracts for maintenance, calibration, or repair of certain equipmentrequirements, or 52.22253, exemption from application of',
14434:'the service contract labor standards to contracts for certain servicesrequirements, in the contract, in accordance with the prescription at paragraph',
14435:'e2ii or e4ii of this subsection. b the contractingofficer shall insertthe clause at 52.22242, statement of equivalent rates for federal',
14436:'hires, in solicitations and contracts if the contract amount is expected to be over $2,500 and the service contract labor',
14437:'standards statute is applicable. see 22.1016. c 1thecontractingofficershallinserttheclauseat 52.22243, fair labor standards act and service contract labor standardsprice adjustment multiple',
14438:'yearand option contracts, oranother clause which accomplishes the same purpose, in solicitations and contracts if the contract is expected to',
14439:'be a fixedprice, timeandmaterials, or laborhour service contract containing the clause at 52.22241, service contract labor standards, and is a',
14440:'multiple year contract or is a contract with options to renew which exceeds the simplified acquisition threshold. the clause may',
14441:'be used in contracts that do not exceed the simplified acquisition threshold. the clause at 52.22243, fair labor standards act',
14442:'and service contract labor standardsprice adjustment multiple year and option contracts,applies to both contracts subjectto area prevailing wage determinationsand contracts',
14443:'subjectto theincumbent contractor’s collective bargaining agreement in effect during this contract’sprecedingcontract period see 22.10022 and 22.10023. contractingofficers shall ensure that',
14444:'contract prices or contract unit price labor rates are adjusted only to the extent that a contractor’s increases or decreases',
14445:'in applicable wages and fringe benefits are made to comply with the requirements set forth in the clauses at 52.22243',
14446:'subparagraphsd1, 2 and 3, or 52.22244 subparagraphsb1 and 2. for example, the prior year wage determination required a minimum wage',
14447:'rateof $4.00 per hour. the contractor actually paid $4.10. the new wagedeterminationincreases the minimumrate to$4.50. the contractorincreases the rate actuallypaid',
14448:'to $4.75 per hour. the allowable price adjustmentis $.40per hour. 22.1007 federal acquisition regulation 2 the contractingofficer shall insertthe clause',
14449:'at 52.22244, fair labor standards act and service contract labor standardsprice adjustment, in solicitations and contracts if the contract is',
14450:'expected to be a fixedprice, timeandmaterials, or laborhour service contract containing the clause at 52.22241, service contract labor standards, exceeds',
14451:'the simplified acquisition threshold, and is not a multiple year contract oris not a contract withoptionsto renew. the clause may',
14452:'beused in contracts that do not exceed the simplified acquisition threshold. the clause at 52.22244, fair labor standards act and',
14453:'service contract labor standardsprice adjustment, applies to both contracts subject to area prevailing wage determinations and contracts subject tocontractor collective',
14454:'bargaining agreements see 22.10022 and 22.10023. 3 the clauses prescribed in paragraph 22.1006c1 cover situations in which revised minimum wage',
14455:'rates are applied tocontracts by operation of law, or by revision of a wage determination inconnection withi exercise ofa contract',
14456:'option or iiextension of a multipleyear contractinto anew program year. if aclause prescribed in 16.2034d is used, it must not',
14457:'conflict with, or duplicate payment under, the clauses prescribedin this paragraph 22.1006c. d [reserved] e 1thecontractingofficershallinserttheprovisionat 52.22248, exemption from application',
14458:'of the service contract labor standards to contracts for maintenance, calibration, or repair of certain equipmentcertification, in solicitations that i',
14459:'include the clause at 52.22241, service contract labor standards; and ii the contract may be exempt from the service contract',
14460:'labor standards statute in accordance with 22.10034c. 2 the contractingofficer shall insertthe clause at 52.22251, exemption from application of the',
14461:'service contract labor standards to contracts for maintenance, calibration, or repair of certain equipmentrequirements i in solicitations that include the',
14462:'provision at 52.22248, or the comparable provision is checked as applicable in the clause at 52.2048c2iii or 52.2123k1; and iiin',
14463:'resulting contracts in which the contracting officer has determined, inaccordance with 22.10034c3, that theservice contract labor standards statute does not',
14464:'apply. 3 iexceptasprovidedinparagraphe3iiofthissection,thecontractingofficershallinserttheprovision at 52.22252, exemption from application of the service contract labor standards to contracts for certain servicescertification, in',
14465:'solicitations that a include the clause at 52.22241, service contract labor standards, and b the contract may be exempt from',
14466:'the service contract labor standards statute in accordance with 22.10034d. ii when resoliciting in accordance with 22.10034d3iii, amend the solicitation',
14467:'by removing the provision at 52.22252 from the solicitation. 4 the contractingofficer shall insertthe clause at 52.22253, exemption from application',
14468:'of the service contract labor standards to contracts for certain servicesrequirements i in solicitations that include the provision at 52.22252,',
14469:'or the comparable provision is checked as applicable in 52.2048c2 or 52.2123k2; and iiin resulting contracts in which the contracting',
14470:'officer has determined, inaccordance with 22.10034d3, that theservice contract labor standards statute does not apply. f the contracting officer shall',
14471:'insertthe clause at 52.22249, service contract labor standardsplace of performance unknown, if using the procedures prescribed in 22.10094. 22.1007 requirement',
14472:'to obtain wage determinations. the contractingofficer shall obtain wage determinations for the following service contracts: a each new solicitation and',
14473:'contract in excess of $2,500. b each contract modification which brings the contract above $2,500 and 1 extends the existing',
14474:'contract pursuant to an option clause or otherwise; or 2 changes the scopeof the contract whereby labor requirements areaffected significantly.',
14475:'c each multiple year contract in excess of $2,500 upon 1 annual anniversary date if the contract is subject to',
14476:'annual appropriations; or 2 biennial anniversary date if the contract is not subject to annual appropriations and its proposed term',
14477:'exceeds 2 yearsunlessotherwise advised by the wage and hour division. subpart 22.10 service contract labor standards 22.10082 22.1008 procedures for',
14478:'obtaining wage determinations. 22.10081 obtaining wage determinations. a contracting officers may obtain mostprevailing wage determinations using the wage determinations at',
14479:'sam.gov website. contracting officers mayalsouse the departmentof labor’s e98 electronic process,locatedon the wage determinations at sam.gov website, to requesta wage',
14480:'determination directly fromthe department of labor. if the wage determinations at sam.gov database does not contain the applicable prevailing wage',
14481:'determination for a contract action, the contracting officermust use thee98 process to request a wage determination from the department of',
14482:'labor. b in using the e98 process to obtain prevailing wage determinations,contracting officers shall provideas completeand accurate information on thee98',
14483:'as possible. contracting officers shall ensure thatthe email address submitted onan e98 request is accurate. c thecontracting officer must anticipate',
14484:'the amount of time required to gatherthe information necessary to obtain a wage determination, includingsufficient time, if necessary, to contact',
14485:'thedepartment oflabor to request wage determinationsthat arenot available through use of thewage determinations at sam.gov . d althoughthe wage determinations',
14486:'at sam.gov website provides assistance to the contracting agency to select the correct wage determination, the contracting agency remains responsible',
14487:'for the wage determination selected. if the contracting agency has used the e98 process, the department of labor will respond',
14488:'to the contracting agency based on the information provided on the e98. the contracting agency may rely upon the department',
14489:'of labor response as the correct wage determination for the contract. e to obtain the applicable wagedetermination for each contract',
14490:'action, the contractingofficer shall determine the following information concerning the service employees expected to be employed by the contractor and',
14491:'any subcontractors in performing the contract: 1 determine the classesof service employees to be utilizedin performanceof the contract usingthe wage',
14492:'and hour division’s service contract act directory of occupations directory. thedirectory can be found onwage determinations at sam.gov library page,',
14493:'and is for sale bythe superintendent of documents, u.s. government publishing office. 2 determine the locality where the services will',
14494:'be performed see 22.1009. 3 determine whether 41 u.s.c. 6707c applies see 22.10082, 22.1010 and 22.10022. 4 determine the wage',
14495:'rate that would be paid each class if employed by the agency and subject to the wage provisions of 5',
14496:'u.s.c. 5341 and/or 5332 see 22.1016. f ifthe contracting officer has questions regardingthe procedures for obtaininga wage determination, or questions',
14497:'regarding theselection of a wagedetermination,the contracting officer should request assistance from theagency labor advisor. 22.10082 successorship with incumbent contractor collectivebargaining',
14498:'agreement. a early in theacquisitioncycle, the contractingofficer shall determine whether 41 u.s.c. 6707c affects the new acquisition. the contractingofficer shall',
14499:'determine whether there is apredecessor contract coveredby the servicecontract labor standards statute and, if so, whether the incumbent prime contractor',
14500:'or its subcontractors and any of their employees have a collective bargaining agreement. b 41 u.s.c. 6707c provides that a',
14501:'successor contractor must pay wages and fringe benefits including accrued wages and benefits and prospective increases to service employees at',
14502:'least equal to those agreed upon by a predecessor contractor under the following conditions: 1 the services to be furnished',
14503:'under the proposed contract will be substantially the same as services being furnished by an incumbent contractor whose contract the',
14504:'proposed contract will succeed. 2 the services willbe performedin the samelocality. 3 the incumbent prime contractor or subcontractor is furnishing',
14505:'such services through the use of service employees whose wages and fringe benefits are the subject ofoneor more collective bargaining',
14506:'agreements. c the application of 41 u.s.c. 6707c is subject to the following limitations: 1 41 u.s.c. 6707cwill not apply',
14507:'ifthe incumbent contractorenters into a collective bargaining agreement for the first time and the agreement does not become effective until',
14508:'after theexpiration of the incumbent’scontract. 2 if the incumbent contractor enters into a new or revised collective bargaining agreement duringthe',
14509:'periodof the incumbent’s performance onthe current contract, the termsof the new or revised agreement shall not beeffective for the purposes',
14510:'of 41 u.s.c. 6707c under the following conditions: 22.1009 federal acquisition regulation i ainsealedbidding,thecontractingagencyreceivesnoticeofthetermsofthecollectivebargainingagreement less than 10 days before bid',
14511:'opening and finds that there is not reasonable time still available to notify bidders see 22.10122a; or b for contractual',
14512:'actions other than sealed bidding, the contracting agency receives notice of the terms of thecollective bargaining agreementafter award, provided that',
14513:'the start of performance is within 30 days ofaward see 22.10122b; and iithe contracting officer has given both the incumbentcontractor',
14514:'and its employees’ collective bargainingagent timely written notification of the applicable acquisition dates see 22.1010. d 1 if 41 u.s.c.',
14515:'6707capplies,thecontractingofficershallobtainacopyofanycollectivebargainingagreement between an incumbent contractor or subcontractor andits employees. obtaining a copy of anincumbent contractor’s collective bargaining agreement may involve',
14516:'coordinationwith the administrative contracting officer responsible for administering the predecessor contract. paragraph m of the clause at 52.22241, service contract',
14517:'labor standards, requires theincumbent prime contractor to furnishthe contracting officer a copy of each collectivebargaining agreement. 2 if the contracting',
14518:'officer has timelyreceived the collective bargaining agreement,the contracting officermay use thewage determinations at sam.gov website to prepare a wage determination',
14519:'referencing the agreement and incorporate that wage determination, attached to a complete copy of the collective bargaining agreement,into the successor',
14520:'contract action. in using the wage determinations at sam.gov process,itis not necessaryto submita copy of the collective bargaining agreement to',
14521:'the department of labor unless requested to do so. 3 the contractingofficer may also use the e98 process on wage',
14522:'determinations at sam.gov to request that the department of labor prepare the cover wage determination. the department of labor’s response',
14523:'to the e98 may include a request for the contracting officer to submit a complete copy of the collectivebargaining agreement.',
14524:'anyquestions regarding theapplicability ofthe servicecontract laborstandards statute to a collective bargaining agreement should bedirected to theagency labor advisor. e 1',
14525:'41 u.s.c. 6707c will not apply if the secretary of labor determines i after a hearing, that the wages and',
14526:'fringe benefits in thepredecessor contractor’s collective bargaining agreement are substantially at variance withthose whichprevail for services of a similar characterin',
14527:'the locality,or ii that the wages and fringe benefits in the predecessor contractor’s collective bargaining agreement arenot the result of',
14528:'arm’s length negotiations see 22.1013 and 22.1021. the department of labor dolhas concluded that contingent collective bargaining agreement provisions that',
14529:'attempt tolimita contractor’s obligations by means such as requiring issuance of a wage determination by the dol, requiring inclusion of',
14530:'the wage determination in the contract, or requiring the government to adequately reimbursethe contractor, generally reflecta lack of arm’s length',
14531:'negotiations. 2 if the contracting officer’s review see 22.1013indicates that monetary provisions of the collective bargaining agreementmay be substantially atvariance',
14532:'or maynot have been reached asa result of arm’s length bargaining, the contracting officershallimmediately contact the agency labor advisor to',
14533:'consider iffurther action is warranted. f ifthe services are being furnishedat more thanonelocationandthe collectively bargainedwage rates and fringe benefits are',
14534:'different atdifferentlocations or do notapply to one or more locations, the contracting officer shall identify the locations to which the',
14535:'agreements apply. g if the collective bargainingagreement does not applyto all serviceemployees under the contract, thecontracting officer shall accesswage determinations',
14536:'at sam.gov to obtain the prevailing wage determination for those service employee classifications that are notcovered by thecollective bargaining agreement.',
14537:'the contracting officer shall separately list in the solicitation and contract the service employee classifications 1 subjectto the collective bargaining',
14538:'agreement; and 2 not subject to any collective bargaining agreement. 22.1009 place of performance unknown. 22.10091 general. if the place',
14539:'ofperformance is unknown, the contracting officer may use theprocedures in this section. the contracting officer should first attemptto identify the',
14540:'specific places or geographical areas where the services might beperformed see 22.10092 and then may follow the procedures either in',
14541:'22.10093 or in 22.10094. 22.1010 subpart 22.10 service contract labor standards 22.1010 22.10092 attempt to identify possible places of performance.',
14542:'the contractingofficer should attempt to identify the specificplaces orgeographical areas where the services might be performed. the following may indicate',
14543:'possible places of performance: a locations of previous contractors and their competitors. b databases available via the internet for lists',
14544:'of prospective offerors and contractors. c responses to a presolicitation notice see 5.204. 22.10093 all possible places of performance identified.',
14545:'a if the contracting officercan identify allthe possible placesor areasof performance even though the actual place of performance will not',
14546:'be known until the successful offeror is chosen, the contracting officer shall obtain awage determination for each locality where services',
14547:'may be performed see 22.1008. b if the contracting officer subsequently learnsof any potential offerors inpreviously unidentified places before the',
14548:'closing date for submissionof offers, the contracting officer shall 1 obtain wage determinations for the additional places of performance and',
14549:'amend the solicitation to include all wage determinations. if necessary, the contracting officershallextend the timeforsubmission of final offers; and 2',
14550:'follow the procedures in 22.10094. 22.10094 all possible places of performance not identified. if the contracting officer believes that theremay',
14551:'be offerors interestedin performingin unidentified places or areas, the contracting officermay usethe following procedures: a include the following information in',
14552:'the synopsis and solicitation: 1 that the place of performance is unknown. 2 the possible places or areas of performancethat',
14553:'the contracting officer has already identified. 3 that the contracting officer willobtainwage determinationsforadditional possible places of performance if asked to',
14554:'do so in writing. 4 the time and dateby which offerors must notifythe contracting officer of additional places of performance.',
14555:'b include the information required by paragraphs a2 and a4 of this section in the clause at 52.22249, service contract',
14556:'labor standards–place of performance unknown see 22.1006f. the closing dateforreceipt of offerors’ requests for wagedeterminations for additional possibleplaces ofperformance should',
14557:'allow reasonabletime for potential offerors to review the solicitationanddetermine theirinterest in competing. generally, 10to 15 days fromthe dateof issuanceof the',
14558:'solicitation may be considered a reasonable period of time. c the procedures in 14.304 shall apply to latereceipt of offerors’',
14559:'requests for wage determinations for additional places of performance. however, late receipt ofan offeror’s request for a wage determination for',
14560:'additional places of performance doesnot preclude the offeror’s competing for the proposed acquisition. d if the contracting officer receives any',
14561:'timely requests for wage determinations for additionalplaces ofperformance the contracting officershall 1 obtain wage determinations for the additional places of',
14562:'performance; and 2 amend thesolicitation to includeallwage determinationsand, if necessary, extend the time for submissionof final offers. e if the',
14563:'successful offeror did not make a timelyrequest for awage determination and will performin a place of performanceforwhich the contracting officer',
14564:'therefore did notrequest awage determination, thecontracting officer shall 1 award thecontract; 2 obtain a wage determination; and 3 incorporate the',
14565:'wage determination in the contract, retroactive to the date of contract award and with no adjustment in contract price, pursuant',
14566:'to the clause at 52.22249, service contract labor standards–place of performance unknown. 22.1010 notificationto interested parties under collective bargaining agreements.',
14567:'a thecontracting officer should determinewhetherthe incumbent prime contractor’s orits subcontractors’ service employees performing onthe current contractare represented bya collectivebargaining agent.',
14568:'if there is a collective bargainingagent, the contracting officer shall giveboth the incumbent contractor andits employees’ collective bargaining agent written',
14569:'notification of 1 the forthcoming successor contract and the applicable acquisition dates issuance of solicitation, opening of bids, commencement of',
14570:'negotiations, award of contract, or start of performance, as the case may be; or 22.1011 22.1011 federal acquisition regulation 2',
14571:'the forthcoming contract modification and applicable acquisition dates exercise of option, extension of contract, change in scope, or start of',
14572:'performance, as the case may be; or 3 the forthcoming multiple year contract anniversary date annual anniversary date or biennial',
14573:'date, as the case may be. b this written notification must be given at least 30 days in advance of',
14574:'the earliest applicable acquisition date or the applicable annual or biennial anniversary date in order for the timeofreceipt limitations in',
14575:'paragraphs 22.10122a and b to apply. the contractingofficer shall retain a copy of the notification in the contractfile. 22.1011 [reserved]',
14576:'22.1012 applicability of revisions towage determinations. 22.10121 prevailing wage determinations. a 1thewageandhouradministratormayissuerevisionstoprevailingwagedeterminationsperiodically. theneed for inclusion of a revised prevailing wage',
14577:'determination in a solicitation, contract or contract modification see 22.1007 is determined by the date of receipt of the revised',
14578:'prevailingwage determination by the contracting agency. notethe distinction betweenreceipt by the agency and receipt by the contracting officer whichmay occurlater.',
14579:'ifor purposes of using wage determinations at sam.gov, the time of receipt by the contracting agency shall be the first',
14580:'day of publication of the revised prevailing wage determination on the website. ii for purposes of using the e98 process,',
14581:'the time of receipt by the contracting agency shall be the date the agency receives actual notice of a new',
14582:'or revised prevailing wage determination from the department of labor as an e98 response. 2 in selecting a prevailing wagedeterminationfrom',
14583:'the wage determinations at sam.gov website for use in a solicitation or other contract action, the contracting officershallmonitor thewage determinations',
14584:'at sam.gov website to determine whether the applicable wage determinationhas been revised. revisions published onthe wage determinations at sam.gov website',
14585:'or otherwisecommunicated to thecontracting officer withinthe timeframes prescribed at 22.10121b and c are effective and must be included inthe resulting',
14586:'contract. monitoring can be accomplished byuse ofthe wage determinations at sam.gov website’s alert service. b the following shall apply when',
14587:'contracting by sealed bidding: a revised prevailing wage determination shall not be effective if it is received by the contracting',
14588:'agencyless than 10days beforethe opening ofbids, and thecontracting officer finds that there is not reasonable time to incorporate the revision',
14589:'in the solicitation. c for contractual actions other than sealed bidding, a revised prevailing wage determination received by the contracting',
14590:'agency after award of a new contract or a modification as specified in 22.1007bshallnot be effectiveprovidedthat the start of performance',
14591:'is within 30 days of the award or the specified modification. if the contract does not specify a start of',
14592:'performance date which is within 30 days of the award or the specified modification, and if contract performance does not',
14593:'commence within 30 days of the award or the specified modification, any revision received by the contracting agency not less',
14594:'than 10 days before commencement of the work shall be effective. d if the contracting officer has submitted an e98',
14595:'to the department of laborrequesting a prevailing wage determination and has not received a response within10 days, thecontracting officer shall',
14596:'contact thewage and hour divisionby telephone to determine when the wage determination can be expected. the telephone number is provided',
14597:'on the e98 website. 22.10122 wage determinations based on collectivebargaining agreements. a insealed bidding,a new or changed collectivebargaining agreement shall',
14598:'notbe effective under 41 u.s.c. 6707c if the contractingagency has receivednotice of theterms ofthe newor changed collective bargaining agreement less',
14599:'than 10 days before bidopening and the contractingofficer determines that there is not reasonable time to incorporate the new or',
14600:'changed terms of the collective bargaining agreement in the solicitation. b for contractual actions other than sealedbidding, anew or changedcollective',
14601:'bargaining agreementshallnot be effective under 41 u.s.c. 6707c if notice of the terms of the new or changedcollective bargaining agreementis',
14602:'received by the contracting agency after award of a successor contract or a modification as specified in 22.1007b, provided that',
14603:'the contract start of performance is within 30 days of the award of the contract or of the specified modification.',
14604:'if the contract does not specify a start of performance date which is within 30 days of the award of',
14605:'the contract or of the specified modification, or if contract performance does not commence within 30 days of the award',
14606:'of the contract or of the specified modification, any notice ofthe terms of a new or changed collective bargainingagreement receivedby',
14607:'the agency not less 22.1012 subpart 22.10 service contract labor standards 22.1016 than 10 days before commencement of the work',
14608:'shall be effective for purposes of thesuccessor contract under 41 u.s.c. 6707c. c the limitations in paragraphs a and b',
14609:'of this subsection shall apply only if timely notification required in 22.1010 has been given. d if the contracting officer',
14610:'has submitted an e98 to department of labor requesting awage determination basedon a collective bargaining agreement and has not received',
14611:'a response from the department of laborwithin 10 days, the contracting officershallcontactthe wage and hourdivision by telephone to determine when',
14612:'the wage determination can be expected. the telephone number is provided on the e98 website. if the department of labor',
14613:'is unable to provide the wagedetermination by the latest date needed to maintain the acquisition schedule, the contractingofficer shall incorporate',
14614:'thecollective bargaining agreementitself in a solicitation or other contract action e.g., exercise of option and include a wagedetermination referencingthat collective',
14615:'bargaining agreement created by use of the wage determinations at sam.gov website see 22.10081d2. 22.1013 review of wage determination. a',
14616:'based on incumbent collective bargaining agreement. 1if wages, fringe benefits, or periodic increases provided for in a collective bargaining agreement',
14617:'vary substantially from thoseprevailing for similar services in the locality, the contracting officer shall immediately contact theagency labor advisor to',
14618:'considerinstituting theprocedures in 22.1021. 1 if the contracting officer believes that an incumbent or predecessor contractor’s agreementwas not theresult of',
14619:'arm’s length negotiations, the contracting officer shall contact the agencylabor advisor to determineappropriateaction. b based on other than incumbent collective',
14620:'bargaining agreement. upon receiving a wage determination not predicated upona collectivebargaining agreement, the contracting officer shall ascertain 1 if the',
14621:'wage determination does not conform with wages and fringe benefits prevailing for similar services in the locality; or 2 if',
14622:'the wage determination contains significant errors or omissions. if either subparagraph b1 or b2 of this section is evident, the',
14623:'contracting officershallcontact the agency labor advisor to determine appropriate action. 22.1014 delay over 60 days in bid opening or commencement',
14624:'of work. if a wage determination was obtained through the e98 process, and bid opening, or commencement of work under',
14625:'a negotiated contract has been delayed, for whatever reason, more than 60 days from the date indicated on the previously',
14626:'submitted e98, the contracting officer shall submita new e98. any revision ofa wage determination receivedby the contracting agency as a',
14627:'result of that communication shall supersede the earlier response as the wage determination applicable to the particular acquisition subject to',
14628:'the time frames in 22.10121b and c. 22.1015 discovery of errors by the department of labor. if the department of',
14629:'labordiscovers and determines, whether before orafter acontract award,that a contracting officer made an erroneous determination that the service contract labor',
14630:'standards statute did not apply to a particular acquisition or failedto include an appropriate wage determination ina coveredcontract, the contracting',
14631:'officer, within 30 days of notificationby the department of labor, shall include in the contract the clause at 52.22241 and',
14632:'any applicable wage determination issued by the administrator. if the contract is subjectto 41 u.s.c. 6707c, the administrator may require',
14633:'retroactive application ofthat wagedetermination. the contracting officer shall equitably adjust the contract price toreflect any changed cost of performance resulting',
14634:'from incorporating a wage determination or revision. 22.1016 statement of equivalentrates for federal hires. a the statement required under the',
14635:'clause at 52.22242, statement of equivalent rates for federal hires, see 22.1006b shall set forth those wage rates and fringe',
14636:'benefits that would be paid by the contracting activity to the various classes of service employees expected to be utilized',
14637:'under the contract if 5 u.s.c.5332 general schedulewhite collar and/ or 5 u.s.c.5341 wage boardblue collar were applicable. b procedures',
14638:'for computation of these rates are as follows: 1 wages paid blue collar employees shall bethe basic hourly rate for',
14639:'each class. the rate shall bewage board pay schedule step two for nonsupervisory service employees and step three for supervisory',
14640:'service employees. 2 wages paid white collar employees shall be anhourly rate for each class. the rate shall be obtained',
14641:'by dividing the general pay schedule step one biweekly rate by 80. 3 local civilian personnel offices can assistin determining',
14642:'and providing grade and salarydata. 22.1013 22.1017 federal acquisition regulation 22.1017 [reserved] 22.1018 notification to contractors and employees. the contractingofficer',
14643:'shall take the following steps to ensure that serviceemployees are notifiedof minimum wages and fringe benefits. a as soon as',
14644:'possible after contract award, inform the contractor of the labor standards requirements of the contract relating to the servicecontract labor',
14645:'standards statute and of the contractor’s responsibilitiesunder these requirements, unless it is clear that the contractor is fully informed. b',
14646:'at the time ofaward, furnishthe contractor department of labor publication wh1313, notice to employees working on government contracts, for posting',
14647:'at a prominent and accessible place at the worksite before contract performance begins. the publication advises employees of the compensation',
14648:'wages and fringe benefits required to be paid or furnished under the service contract labor standards statute and satisfies the',
14649:'notice requirements in paragraph g of the clause at 52.22241, service contract labor standards. c attach any applicable wage determination',
14650:'to publication wh1313. 22.1019 additional classes of service employees. a if the contracting officeris aware that contract performance involves classes',
14651:'ofservice employees not includedin thewage determination, thecontracting officer shall requirethe contractor to classify the unlisted classes so as to provide',
14652:'a reasonable relationship i.e., appropriate level of skill comparison between the unlisted classifications and the classifications listed in the determination',
14653:'see paragraph c of the clause at 52.22241, service contract labor standards. the contractor shall initiate the conforming procedure before',
14654:'unlisted classes of employees perform contract work. the contractor shall submit standard form sf 1444, request for authorization of additional',
14655:'classification and rate. the contracting officer shall reviewthe proposed classification and rate and promptly submitthe completed sf 1444 which must',
14656:'include information regarding the agreement or disagreement of the employees’ representative or the employees themselves together with the agency recommendation',
14657:'and all other pertinentinformationto thewage and hour division. within 30 days of receipt ofthe request, thewage and hour division will',
14658:'1 approve, modify, or disapprove the request when the parties are in agreementor 2 render a final determination in theeventof',
14659:'disagreement among the parties. if the wage and hour division will require more than 30 days to take action, it',
14660:'will notify the contracting officerwithin 30 days of receipt ofthe request that additional time is necessary. b somewage determinationswill list',
14661:'a series of classeswithin a job classification family,forexample, computer operators, leveli, ii, and iii, or electronic technicians, level i, ii,',
14662:'and iii, orclerk typist, level i and ii. generally, level i is the lowest level. it is the entry level,',
14663:'and establishment of a lower level through conformance is not permissible. further, trainee classifications may not be conformed. helpers in',
14664:'skilled maintenance trades for example, electricians, machinists, and automobile mechanics whose duties constitute, in fact, separate and distinct jobs may',
14665:'also be used if listed on the wage determination, but may not be conformed. conformance may not be used to',
14666:'artificially split or subdivide classifications listed in the wage determination. however, conformingprocedures may be used ifthe work which an employee',
14667:'performs under the contract is not within the scope of any classification listed on the wage determination, regardless of job',
14668:'title. see 29 cfr 4.152. c subminimum rates for apprentices, student learners, and disabled workers are permissible in accordance with',
14669:'paragraph q of the clause at 52.22241, service contract labor standards. 22.1020 seniority lists. if a contract is performed at',
14670:'afederal facility where employeesmay be hired/retained by a succeeding contractor, theincumbent prime contractor is required to furnish a certified list',
14671:'ofallservice employees on thecontractor’s or subcontractor’s payroll during the lastmonth ofthe contract, together with anniversary dates of employment, to the',
14672:'contracting officerno later than 10days beforecontract completion. see paragraph n of the clauseat 52.22241, service contractlabor standards. at thecommencement ofthe',
14673:'succeeding contract, the contracting officer shall providea copy of the list to the successor contractor for determining employee eligibility for',
14674:'vacation or other fringe benefits which are based upon length of service, including service with predecessor contractors if such benefit',
14675:'is required by an applicable wage determination. 22.1014 subpart 22.10 service contract labor standards 22.1024 22.1021 request for hearing. a',
14676:'a contracting agency or other interested party may request a hearing on an issue presented in 22.1013a. to obtain a',
14677:'hearing for the contracting agency, the contracting officer shall submita written request through appropriate channels ordinarily the agency labor advisor',
14678:'to— administrator,wage and hour division u.s. department of labor washington,dc 20210 b a request for a substantial variancehearing shall include',
14679:'sufficientdata toshow that the rates at issuevary substantially from those prevailing for similar services in the locality. the requestshallalsoinclude 1',
14680:'the number of the wage determinations at issue; 2 the name of the contracting agency whose contract is involved; 3',
14681:'a brief description of the services to be performed under the contract; 4 the status of the procurement and any',
14682:'estimated procurement dates, such as bid opening, contract award, and commencement date of the contract or its followup option period;',
14683:'5 a statement of theapplicant’s case, settingforth in detail the reasonswhy the applicant believes that a substantial variance exists with',
14684:'respect to some or all of the wages and/or fringe benefits; 6 names and addresses to the extent known of',
14685:'interested parties; and 7 any other data required by the administrator. c a requestforan arm’s length hearing shall include 1',
14686:'a statement of theapplicant’s case, settingforth in detail the reasonswhy the applicant believes that the wages and fringe benefits containedin',
14687:'thecollective bargaining agreementwere not reached as a result of arm’s length negotiations; 2 a statement regarding the status of the',
14688:'procurement and any estimated procurement dates, such as bid opening, contract award, and commencement date of the contract or its',
14689:'followup option period; and 3 names and addresses to the extent known of interested parties. d unless the administrator determines',
14690:'that extraordinary circumstances exist, the administrator will not consider requests for a hearing unless received as follows: 1 for sealed',
14691:'bid contracts, more than 10 days before the award of the contract; or 2 for negotiated contracts and for contracts',
14692:'with provisions exceeding the initial term by option, before the commencement date of the contract or the followup option period.',
14693:'22.1022 withholding of contract payments. any violations of the clause at 52.22241, service contract labor standards, as amended, renders the',
14694:'responsible contractor liable for the amount of any deductions, rebates, refunds, or underpayments which includes nonpayment of compensation due employees',
14695:'performing the contract. the contracting officermay withholdor, upon written request of thedepartment oflabor from a level no lower than thatof',
14696:'deputy regional administrator,wage and hour division, department of labor, shall withholdtheamount needed to pay such underpaid employeesfrom accrued payments due',
14697:'the contractor on the contract, or on any other prime contract whether subject to the service contract labor standards statute',
14698:'or not with the contractor. the agency shall place the amount withheldin a deposit fund. such withheld funds shall be',
14699:'transferred to the department of labor for disbursement to the underpaid employees on order of the secretary or authorized representatives,',
14700:'and administrative law judge, or the administrative review board. in addition, the department of labor has given blanket approval to',
14701:'forward withheld funds pending completion of an investigation or other administrative proceeding when disposition of withheld funds remains the final',
14702:'action necessary to close out a contract. 22.1023 termination for default. as provided by the service contract labor standards statute,',
14703:'any contractor failure to comply with the requirements of the contract clauses related to the service contract labor standards statute',
14704:'may be grounds for termination for default see paragraph k of the clause at 52.22241, service contract labor standards. 22.1024',
14705:'cooperation with the department of labor. the contractingofficer shall cooperate with department of laborrepresentativesin the examination of records, interviews with',
14706:'service employees, and all other aspects of investigations undertaken by the department. when asked, agencies shall furnish the wage and',
14707:'hour administrator or a designee, any available information on contractors, subcontractors, their contracts, and the natureof the contract services. the',
14708:'contracting officershallpromptly refer, in writing to the appropriate 22.1015 22.1025 federal acquisition regulation regional office of the department, apparent violations',
14709:'and complaints received. employee complaints shall not be disclosed to the employer. 22.1025 ineligibility of violators. persons or firms found',
14710:'to be in violation of the service contract labor standards statute will have an active exclusion recordcontained inthe system for',
14711:'award management see 9.404. no government contract may be awarded to any violator so listed because of a violation of',
14712:'the service contract labor standards statute, or to any firm, corporation, partnership, or association in which the violator has asubstantial',
14713:'interest, without the approval of thesecretary of labor. this prohibition against award to an ineligible contractor applies to both prime',
14714:'and subcontracts. 22.1026 disputes concerning labor standards. disputes concerning labor standards requirements of the contract are handled under paragraph t',
14715:'of the contract clause at 52.22241, service contract labor standards, and not under the clause at 52.2331, disputes. 22.1016 subpart',
14716:'22.11 professional employee compensation 22.1103 subpart 22.11 professional employee compensation 22.1101 applicability. the service contract act of 1965, now codified',
14717:'at 41 u.s.c. chapter 67, service contract labor standards, was enacted to ensure that government contractors compensate their bluecollar service',
14718:'workers and some whitecollar service workers fairly, but it does not cover bona fide executive, administrative, or professional employees. 22.1102',
14719:'definition. professional employee, as used in this subpart, means any person meeting the definition of employee employed in a bona',
14720:'fide . . . professional capacity given in 29 cfr541. the term embraces members of those professions having a recognized',
14721:'statusbased upon acquiring professionalknowledge through prolonged study. examples ofthese professionsinclude accountancy, actuarialcomputation, architecture, dentistry, engineering, law,medicine, nursing, pharmacy, the sciences',
14722:'such as biology, chemistry, and physics, and teaching. to be a professional employee,a person must not only bea professional but',
14723:'must be involvedessentiallyin discharging professional duties. 22.1103 policy,procedures, and solicitation provision. all professional employees shall be compensated fairly and properly.',
14724:'accordingly, thecontracting officer shall insert the provision at 52.22246, evaluation of compensation for professional employees, in solicitations for negotiated contracts',
14725:'when the contract amount is expected to exceed $750,000 and services are to be provided which will require meaningful numbers',
14726:'of professional employees. this provision requires that offerors submit for evaluation a total compensation plan setting forth proposed salaries and',
14727:'fringe benefits for professional employees working on the contract. supporting information will include data, such as recognized national and regional',
14728:'compensation surveys and studies of professional, public and private organizations, used in establishing the total compensation structure. plans indicatingunrealistically low',
14729:'professional employee compensation may be assessed adversely as one of the factors considered in making an award. this page intentionally',
14730:'left blank. 22.112 subpart 22.12 [reserved] subpart 22.12 [reserved] this page intentionally left blank. 22.122 subpart 22.13 equal opportunity for',
14731:'veterans 22.1302 subpart 22.13 equal opportunity for veterans 22.1300 scope of subpart. this subpart prescribes policies and procedures for implementing',
14732:'the following: a thevietnam era veterans’ readjustment assistance act of 1972 38u.s.c. 4211 and 4212 the act. b the veterans',
14733:'employment opportunitiesactof 1998, public law 105339. c thejobsforveterans act, publiclaw 107288. d executive order 11701, january24,1973 3 cfr 1971 1975',
14734:'comp., p. 752. e the regulations of the secretary of labor 41 cfr part 60300 and 61300. 22.1301 definitions. as',
14735:'used in this subpart active duty wartime or campaign badge veteran means a veteranwho served on active dutyin the u.s.',
14736:'military, ground, naval, or air service, during a war or in a campaign or expedition for which a campaign badge',
14737:'has been authorized under the laws administered by the department of defense. armed forces service medal veteran meansanyveteran who,while serving',
14738:'on active duty in the u.s. military,ground, naval, or air service, participated in a united states military operation for which',
14739:'an armed forces service medal was awarded pursuant to executive order 12985 61 fr 1209. disabled veteran means 1 a',
14740:'veteran of theu.s. military, ground, naval, or air service, whois entitled to compensation or who, but for the receipt ofmilitary',
14741:'retired pay, would be entitled to compensation under laws administered bythe secretary of veterans affairs; or 2 a person who',
14742:'was discharged or released from activeduty because of a serviceconnected disability. executive and senior management means 1 any employee i',
14743:'compensated on a salary basis at a rate of not less than $455 per week or $380 per week, if',
14744:'employed in american samoa by employers other than the federal government, exclusive of board, lodging, or other facilities; ii whose',
14745:'primary duty consists of the management of the enterprise in which the individual is employed or of a customarily recognized',
14746:'department or subdivision thereof; iii who customarily and regularly directs the work of two or more other employees; and iv',
14747:'who has the authority to hire or fire other employees or whose suggestions and recommendations as to the hiring or',
14748:'firing and as to the advancement and promotion or any other change of status of other employees will be given',
14749:'particular weight; or 2 any employee who owns at least a bona fide 20percent equity interest in the enterprise in',
14750:'which the employee is employed, regardless of whether the business isa corporateor other type of organization, and who is actively',
14751:'engagedin its management. protected veteran means a veteran who is protected under the nondiscrimination and affirmative actionprovisionsof 38 u.s.c. 4212;',
14752:'specifically, aveteran who may be classified asa disabledveteran, recently separated veteran, active duty wartime or campaign badge veteran, or an',
14753:'armed forces service medal veteran, as defined by this section. qualified disabled veteran means a disabled veteran who has the',
14754:'ability to perform the essential functions of the employment positions with or without reasonable accommodation. recently separated veteran means anyveteran',
14755:'duringthe threeyear period beginning on the date of suchveteran’s discharge or release from activedutyin theu.s. military, ground, naval, or air',
14756:'service. united states, means the 50 states, the district of columbia, puerto rico, the northern mariana islands, american samoa, guam,',
14757:'the u.s. virginislands, and wake island. 22.1302 policy. a contractors and subcontractors, when entering into contracts and subcontracts subject to',
14758:'the act, are required to 1 list all employment openings, with the appropriate employment service delivery system where the opening',
14759:'occurs, except for i executive and senior management positions; iipositions to be filled from withinthe contractors organization; and iii positions',
14760:'lasting three days or less. 22.1303 federal acquisition regulation 2 takeaffirmativeaction to employ, advance in employment, and otherwise treat qualified',
14761:'individuals, including qualified disabled veterans, without discrimination based upon their status as a protected veteran, in all employment practices; 3',
14762:'undertake appropriateoutreach and positiverecruitment activities thatare reasonablydesigned to effectively recruit protected veterans; and 4 establish a hiring benchmark and apply',
14763:'it to hiring of protected veterans in each establishment, on an annual basis, in the manner prescribed in the regulations',
14764:'of the secretary of labor. b except for contracts for commercial products or commercial services, or contracts that do not',
14765:'exceed the simplified acquisition threshold, contracting officersmust notobligateor expend funds appropriated for the agency for afiscalyear to enter into a',
14766:'contract for the procurement of personal property and nonpersonal services including construction with a contractor that hasnot submitted the required',
14767:'annual vets4212, federal contractor veterans’ employment report vets4212 report, with respect to the preceding fiscal year if the contractor was',
14768:'subject to the reporting requirements of 38 u.s.c. 4212d for that fiscal year. 22.1303 applicability. a the act applies to',
14769:'all contracts and subcontracts for personal property and nonpersonal services including construction of$150,000 or more except as waived bythe secretary',
14770:'of labor. b the requirements of the clause at 52.22235, equal opportunity for veterans, in any contract with a stateor',
14771:'local government or any agency, instrumentality, or subdivision do not apply to any agency, instrumentality, orsubdivision of that government that',
14772:'does not participate in work on or under the contract. c the act requires submission of the vets4212 report in',
14773:'all cases where the contractor or subcontractor has received anaward of $150,000 ormore, except for awards tostate and local governments,',
14774:'and foreignorganizations where the workers are recruited outside of the united states. 22.1304 procedures. to verify if a proposed contractor',
14775:'iscurrent with its submission of the vets4212 report,the contracting officer may a query the departmentof labor’s vets4212database via the internet',
14776:'at http://www.dol.gov/vets/vets4212.htm under filing verification and b contact the vets4212 customer support via email at vets4212customersupport@dol.gov for confirmation, if the',
14777:'proposed contractor represents that it has submitted the vets4212 report and is not listed on the verification file. 22.1305 waivers.',
14778:'a thedirector, office of federal contract compliance programs, department of labor, maywaive any or all ofthe terms of the clause',
14779:'at 52.22235, equal opportunity for veterans, for 1 any contract if a waiver is in the national interest; or 2',
14780:'groups or categories of contracts if a waiver is in the national interest and it is i impracticable to act',
14781:'on each request individually; and ii determined that the waiver will substantially contribute to convenience in administering the act. b',
14782:'the head of the agency may waive any requirement in this subpart when it is determined that the contract is',
14783:'essential to the national security, and thatits award withoutcomplyingwith such requirements isnecessary tothe national security. upon making such a determination,',
14784:'the head of the agency must notify the deputy assistant secretary of labor in writing within 30 days. c thecontracting',
14785:'officer must submit requests for waivers in accordance with agency procedures. d the deputy assistant secretary of labor may withdraw',
14786:'an approved waiver for a specific contract or group of contracts to be awarded, when in the deputy’s judgment such',
14787:'action is necessary to achieve the purposes of the act. the withdrawal does not apply to awarded contracts. for procurements',
14788:'entered into by sealed bidding, such withdrawal does not apply unless the withdrawal is made more than 10 calendar days',
14789:'before the date set for the opening of bids. 22.1306 department of labor notices and reports. a thecontracting officer must',
14790:'furnishto the contractor appropriate notices for postingwhen they are prescribed by the deputy assistant secretary of labor see http://www.dol.gov/ofccp/regs/compliance/posters/ofccpost.htm. b',
14791:'the act requires contractors and subcontractors to submit a report at least annually to the secretary of labor regarding employment',
14792:'of protected veterans i.e., active duty wartime or campaign badge veterans, armed forces service medal subpart 22.13 equal opportunity for',
14793:'veterans 22.1310 veterans, disabled veterans, and recently separated veterans, unless all of the terms of the clause at 52.22235, equal',
14794:'opportunity for veterans, have been waived see 22.1305. the contractor and subcontractor must file vets4212, federal contractor veterans’ employment reportsee',
14795:'vets4212 federal contractor reporting and filing your vets4212 report at http://www.dol.gov/vets/vets4212.htm. 22.1307 collective bargaining agreements. if performance under the clause',
14796:'at 52.22235, equal opportunity for veterans, may necessitate a revision of a collective bargainingagreement, the contractingofficer must advise the affected',
14797:'laborunionsthat the department of labor willgive them appropriate opportunity to presenttheir views. however, neither the contracting officer nor any representative',
14798:'of thecontracting officer may discusswith the contractor or anylabor representative any aspect of thecollective bargaining agreement. 22.1308 complaint procedures. following',
14799:'agency procedures, the contracting office must forward any complaintsreceived about theadministration of theactto the veterans’ employment and trainingservice of the',
14800:'department of labor, or to the director, office of federal contractcomplianceprograms, 200 constitution avenue, nw., washington, dc 20210, or to',
14801:'any ofccp regional, district, or area office or through the local veterans’ employmentrepresentative or designee, at the local state employment',
14802:'office. the director, office of federalcontract compliance programs, is responsible for investigating complaints. 22.1309 actions because of noncompliance. the contractingofficer',
14803:'musttake necessary actionas soon as possible upon notification by theappropriate agency official to implement any sanctions imposed on a contractor',
14804:'by the department of labor for violations of the clause at 52.22235, equal opportunity for veterans. these sanctions see41 cfr',
14805:'60300.66 may include a withholding progress payments; b terminationor suspension ofthe contract; or c debarment of the contractor. 22.1310 solicitation',
14806:'provisionand contract clauses. a 1 insert the clause at 52.22235,equalopportunityforveterans,insolicitationsandcontractsiftheexpectedvalue is $150,000 or more, except when iwork is performed outside',
14807:'the unitedstates by employees recruited outside theunited states; or iithe director,office of federal contractcomplianceprogramsof the u.s. department of labor,has waived,',
14808:'in accordance with 22.1305a, or the head of the agency has waived, in accordance with 22.1305b, all of the terms',
14809:'of the clause. 2 if the director,officeof federal contractcomplianceprograms of the u.s. department of labor,or the head of the agency',
14810:'waives one or more but not all of the terms of the clause, use the basic clause with its alternate',
14811:'i. b insert the clause at 52.22237,employment reports on veterans, in solicitations and contracts containing the clause at 52.22235, equal',
14812:'opportunity for veterans. c insert the provision at 52.22238,compliancewith veterans’ employmentreporting requirements, in solicitations when it is anticipated the contract',
14813:'award will exceed the simplified acquisition threshold and the contract is not for acquisition of commercial products or commercial services.',
14814:'this page intentionally left blank. 22.134 subpart 22.14 employment of workers with disabilities 22.1405 subpart 22.14 employment of workers with',
14815:'disabilities 22.1400 scope of subpart. this subpart prescribes policies and procedures for implementing section 503 of the rehabilitation act of',
14816:'1973, as amended 29 u.s.c. 793 theact; executive order11758, january 15,1974; and the regulations of the secretary of labor 41',
14817:'cfr part 60741. in this subpart, the terms contract and contractor include subcontract and subcontractor. 22.1401 policy. contractors and subcontractors,',
14818:'when entering into contracts and subcontracts subject to the act, are required to a take affirmative action toemploy,and advance in',
14819:'employment,qualified individuals with disabilities, and to otherwise treat qualified individuals without discrimination based on their physical or mental disability; b',
14820:'undertake appropriateoutreach and positiverecruitment activities thatare reasonablydesigned to effectively recruit qualified individuals with disabilities; and c compare the utilization of',
14821:'individuals with disabilities in their workforces to the utilization goal, as prescribed in the regulations of thesecretary of labor, on',
14822:'an annual basis. 22.1402 applicability. a section 503 of the act applies to all government contracts in excess of $15,000',
14823:'for supplies and services including construction except as waived by the secretary of labor. the clauseat 52.22236, equal opportunity for',
14824:'workers with disabilities, implements the act. b the requirements of the clause at 52.22236, equal opportunity for workers with disabilities,',
14825:'in any contract with a state orlocal governmentorany agency, instrumentality, or subdivision shall not apply toany agency, instrumentality, or subdivision',
14826:'of that government that does not participate in work on or under the contract. 22.1403 waivers. a thedirector of theoffice',
14827:'of federal contractcomplianceprogramsof the u.s. department of labor director of ofccp, may waive the application of any or all of',
14828:'the terms of the clause at 52.22236, equal opportunity for workers with disabilities, for 1 any contract if a waiver',
14829:'is deemed to be in the national interest; or 2 groups or categories of contracts if a waiver is in',
14830:'the national interest and it is i impracticable to act on each request individually; and ii determined that the waiver',
14831:'will substantially contribute to convenience in administering the act. b the head of an agency may waive any requirement in',
14832:'this subpart when it is determined that the contract is essential to thenationalsecurity, and that its award without complying with',
14833:'such requirements is necessary to thenational security. upon making such a determination, the head of the agency shall notify the',
14834:'director of ofccp in writing within 30 days. c thecontracting officer shall submitrequests for waivers inaccordancewith agency procedures. d a',
14835:'waiver granted for a particular class of contracts may be withdrawn for any contract within that class whenever considered necessary',
14836:'by the director of ofccp to achieve the purposes of the act. the withdrawal shall not apply to contracts awarded',
14837:'before the withdrawal. the withdrawal shall not apply to solicitations under any means of sealed bidding unless it is made',
14838:'more than 10 days before the date set for bid opening. 22.1404 department of labor notices. the contractingofficer shall furnishto',
14839:'the contractor appropriate notices that state the contractor’s obligationsandthe rightsof individuals withdisabilities. the contracting officer mayobtain these notices fromthe office',
14840:'of federal contract compliance programs ofccp regional office. 22.1405 collective bargaining agreements. if performance under the clause at 52.22236, equal',
14841:'opportunity for workers with disabilities, may necessitate a revision of a collective bargaining agreement, the contracting officer shall advise the',
14842:'affected labor unions thatthe department of labor will give them appropriateopportunity to present their views. however, neither the contracting officernorany',
14843:'representative of the contracting officer shall discuss with thecontractor or any labor representative any aspectof the collective bargaining agreement. 22.1406',
14844:'federal acquisition regulation 22.1406 complaint procedures. a followingagency procedures, the contracting office shall forward any complaints received aboutthe administration of',
14845:'the act to 1 director, office of federal contract compliance programs, u.s. department of labor, 200 constitution avenue, nw, washington,',
14846:'dc 20210; or 2 any ofccp regional or area office. b the ofccp shall institute investigation of each complaint and',
14847:'shall be responsible for developing a complete case record. 22.1407 actions because of noncompliance. the contractingofficer shall take necessaryaction,as soon',
14848:'as possible upon notification by theappropriateagency official,to implement any sanctionsimposedon acontractor by the department of labor for violations ofthe clause',
14849:'at 52.22236, equal opportunity for workers with disabilities. these sanctions see41 cfr60741.66 may include a withholding frompayments otherwise due; b',
14850:'terminationor suspension ofthe contract; or c debarment of the contractor. 22.1408 contract clause. a insert the clause at 52.22236, equal',
14851:'opportunity for workers withdisabilities, in solicitations and contracts that exceed or are expected to exceed $15,000, except when 1 both',
14852:'the performance of the work and the recruitment of workers will occur outside the united states, puerto rico, thenorthern mariana',
14853:'islands, american samoa, guam, the u.s. virginislands, and wake island; or 2 the director of ofccp or agency head has',
14854:'waived, in accordance with 22.1403a or 22.1403b all the terms of the clause. b if the director of ofccp or',
14855:'agency head waives one or more but not all of the terms of the clause in accordance with 22.1403a or',
14856:'22.1403b, use the basic clause with its alternate i. subpart 22.15prohibitionof acquisitionofproductsproducedby forcedor indenturedchildlabor22.1503 subpart 22.15 prohibition of acquisition of',
14857:'products produced by forced or indentured child labor 22.1500 scope. this subpart applies to acquisitions of supplies that exceed the',
14858:'micropurchase threshold. 22.1501 definitions. as used in this subpart forced or indentured child labor means all work or service 1',
14859:'exacted from any person under the age of 18 under the menace of any penalty for its nonperformance and for',
14860:'which theworker does not offer himself voluntarily; or 2 performed by any person under the age of 18 pursuant to',
14861:'a contract the enforcement of which can be accomplished by process or penalties. list of products requiring contractor certification as',
14862:'to forced or indentured child labor means the list published by the department of labor in accordance with e.o.13126 of',
14863:'june 12,1999, prohibition of acquisition of products produced by forced orindentured child labor. the list identifies products, by their country',
14864:'of origin, that the departmentsof labor, treasury, andstate have a reasonable basisto believe might have been mined, produced,or manufactured byforced',
14865:'or indentured child labor. 22.1502 policy. agencies must take appropriate action to enforce the laws prohibiting the manufacture or importation',
14866:'of products that have been mined, produced, or manufactured wholly orin part byforced or indentured childlabor, consistent with 19 u.s.c.1307,29',
14867:'u.s.c.201, etseq., and 41 u.s.c. chapter 65. agencies should make every effort toavoid acquiringsuch products. 22.1503 procedures for acquiring endproductson',
14868:'the list of productsrequiring contractor certification asto forced or indentured child labor. a when issuing asolicitation for supplies expectedto exceed',
14869:'the micropurchase threshold, the contracting officer must check the list of products requiring contractor certification as to forced or indentured',
14870:'child labor the list www.dol.gov/ilab/ see 22.1505a. appearance of a product on the list is not a bar to purchase',
14871:'of any such product mined, produced, or manufactured in theidentified country, but rather isan alertthat there isa reasonable basis to',
14872:'believe that such product mayhavebeenmined, produced, or manufacturedby forced orindentured child labor. b the requirements of this subpart that result',
14873:'from the appearance of any end product on the list do not apply to a solicitation or contract if the',
14874:'identified country of origin on the list is 1 israel, and the anticipated value of the acquisition is $50,000 or',
14875:'more see 25.406; 2 mexico, and the anticipated value of the acquisition is $102,280 or more see subpart 25.4; or',
14876:'3 armenia, aruba, australia, austria, belgium, bulgaria, canada, croatia, cyprus, czech republic, denmark, estonia, finland,france, germany, greece, hong kong, hungary,',
14877:'iceland, ireland, italy,japan, korea, latvia, liechtenstein, lithuania, luxembourg, malta, moldova, montenegro, netherlands, new zealand, north macedonia, norway, poland, portugal, romania,',
14878:'singapore, slovakrepublic, slovenia, spain, sweden, switzerland, taiwan, ukraine, or the united kingdom and the anticipated value of the acquisition is',
14879:'$174,000 or more see 25.402b. c except as provided in paragraph b of this section, before the contracting officer may',
14880:'make anaward for an end product regardless of country of origin of a type identifiedby country of origin on the',
14881:'list the offeror must certify that 1 it will not supply any end product on the list that was mined,',
14882:'produced, or manufactured in a country identified on thelist for that product,as specified inthe solicitationby the contractingofficer in the certification',
14883:'regarding knowledgeof child labor for listed end products; or 2 iithasmadeagoodfaithefforttodeterminewhetherforcedorindenturedchildlaborwasusedtomine, produce, or manufacture any end product to be furnished',
14884:'under the contract that is on the list and was mined, produced, or manufactured in a country identified on the',
14885:'list for that product; and iion the basis of those efforts, the offeroris unaware of any suchuse ofchild labor. d',
14886:'absent any actual knowledgethat the certification is false,the contracting officer must rely onthe offerors’ certifications in making award decisions. 22.1504',
14887:'federal acquisition regulation e whenever a contracting officer has reason to believe that forced or indentured childlaborwas used to mine,',
14888:'produce, or manufacture an end product furnished pursuant to a contract awarded subject to the certification required in paragraph c',
14889:'of this section, the contractingofficer mustrefer the matter for investigation by the agency’s inspectorgeneral, the attorney general, or the secretary',
14890:'of the treasury, whichever is determined appropriate in accordance with agency procedures, except to the extent that the end product',
14891:'is from the country listed in paragraph b of this section, under a contract exceeding the applicable threshold. f proper',
14892:'certification will not prevent the head of an agency from imposing remedies in accordance with section 22.1504a4 if it is',
14893:'later discovered that the contractor has furnished an end product or component that has in fact been mined, produced, or',
14894:'manufactured, wholly or in part, using forced or indentured child labor. 22.1504 violations andremedies. a violations. the government may impose',
14895:'remedies set forth in paragraph b of this section for the following violations note that the violations in paragraphs a3',
14896:'and a4 of this section go beyond violations of the requirements relating to certification of end products see 22.1503: 1',
14897:'the contractor has submitted a false certification regarding knowledge of the use of forced or indentured child labor. 2 the',
14898:'contractor has failed to cooperate as required in accordance with the clause at 52.22219, child labor cooperation with authorities and',
14899:'remedies, with an investigation of the use of forced or indentured child labor by an inspector general, the attorney general,',
14900:'orthe secretary of the treasury. 3 the contractor uses forced or indentured child labor in its mining, production, or manufacturing',
14901:'processes. 4 the contractor has furnished an end product or component mined, produced, or manufactured, wholly or in part, by',
14902:'forced or indentured child labor. remedies in paragraphs b2 and b3of this section are inappropriateunlessthe contractor knew of the violation.',
14903:'b remedies. 1 the contracting officermay terminate the contract. 2thesuspendingofficialmaysuspendthecontractorinaccordancewiththeproceduresin subpart 9.4. 3 the debarring official may debar the contractorfora',
14904:'period not to exceed3 yearsin accordance with theprocedures in subpart 9.4. 22.1505 solicitation provisionand contract clause. a except as provided',
14905:'in paragraph b of 22.1503, insert the provision at 52.22218, certification regarding knowledge of child labor for listed end products,',
14906:'in all solicitations that are expected to exceed the micropurchase threshold and are for the acquisition of end products regardless',
14907:'of country of origin of a type identified by country of origin on the list of products requiringcontractor certification as',
14908:'to forcedor indentured child labor, except solicitations for commercial products or commercial services that include the provision at 52.2123, offeror',
14909:'representationsand certifications— commercial productsand commercial services. the contracting officer must identify in paragraph b of the provision at 52.22218, certification',
14910:'regarding knowledge of child labor for listed end products, or paragraph i1 of the provision at 52.2123, any applicable end',
14911:'products and countries of origin from the list. for solicitations estimated to equal or exceed $50,000,the contracting officermust exclude from',
14912:'the list in thesolicitation end products fromany countries identified at 22.1503b, in accordance with the specified thresholds. b insert the',
14913:'clause at 52.22219, child laborcooperation with authorities and remedies, in all solicitations and contracts for the acquisition of supplies that',
14914:'are expected to exceed the micropurchase thresholds. subpart 22.16 notification of employee rights under the national labor relations act 22.1605',
14915:'subpart 22.16 notification of employee rights under the national labor relations act 22.1600 scope of subpart. this subpart prescribes policies',
14916:'and procedures to implement executive order 13496, dated january 30, 2009 74 fr 6107, february 4, 2009. 22.1601 definitions. as',
14917:'used in this subpart secretary means the secretary of labor, u.s. department of labor. united states means the 50 states,',
14918:'the district of columbia, puerto rico, the commonwealth of the northern mariana islands, american samoa, guam, theu.s. virgin islands, and',
14919:'wake island. 22.1602 policy. a executive order 13496 requires contractors to post a notice informing employees of their rights under',
14920:'federal labor laws. b the secretary has determined that the notice must contain employee rights under the national labor relations',
14921:'act act, 29 u.s.c. 151 et seq. theactencourages collective bargaining, and protects the exerciseby employeesof their freedom to associate, toselforganize,',
14922:'and to designate representatives of theirown choosingforthe purposeof negotiating the terms and conditions of their employment or other mutual aid',
14923:'or protection. 22.1603 exceptions. a the requirements of this subpart do not apply to 1 contracts under the simplified acquisition',
14924:'threshold; 2 subcontracts of $10,000 or less; and 3 contracts or subcontracts for work performed exclusively outside the united states.',
14925:'b exemptions granted by the secretary. 1 if the secretary finds that the requirements of the executive order impair theability',
14926:'of the government to procuregoodsandserviceson an economicalandefficient basis or if special circumstances require an exemption in orderto servethe national interest,the',
14927:'secretary may exempt a contracting department or agency, or groups of departments or agencies, from the requirements of any or',
14928:'all of the provisions of this executive order with respect to a particular contract or subcontract, or any class of',
14929:'contracts or subcontracts, including the requirement to include the clause at 52.22240, or parts of that clause, in contracts. 2',
14930:'requests for exemptions may be submitted in accordance with department of labor regulations at 29 cfr 471.3. 22.1604 compliance evaluation',
14931:'and complaint investigations and sanctions for violations. a the secretary may conduct compliance evaluations or investigate complaints of any contractor',
14932:'or subcontractor to determine if any of the requirements of the clause at 52.22240 have been violated. b contracting departments',
14933:'and agencies shall cooperate with the secretary and provide such information and assistance as the secretary may requirein the performance',
14934:'of the secretary’sfunctions. c if the secretary determines that there has been a violation, the secretary may take such actions',
14935:'as set forth in 29 cfr 471.14. d the secretary may not terminate or suspend a contract or suspend or',
14936:'debar a contractor if the agency head has provided writtenobjections, which mustinclude a statement of reasonsforthe objection and afinding thatthe',
14937:'contractor’s performanceis essential to the agency’smission, and continues to object tothe imposition of such sanctionsandpenalties. procedures for enforcement by the',
14938:'secretary are set out in 29 cfr 471.10 through 29 cfr 471.16. 22.1605 contract clause. a insert the clause at',
14939:'52.22240, notification of employee rights under the national labor relations act, in all solicitations and contracts, including acquisitions for commercial',
14940:'products, commercial services, and commercially available offtheshelfitems,exceptacquisitions 1 under the simplified acquisition threshold. for indefinitequantity contracts, include the clause only',
14941:'if the value of orders in any calendar year of the contract is expected to exceed the simplified acquisition threshold;',
14942:'2 for work performed exclusively outside the united states; or 3 covered in their entirety byan exemption granted by the',
14943:'secretary. 22.1605 federal acquisition regulation b a contracting agency may modify the clause at 52.22240,if necessary, to reflect an exemptiongranted',
14944:'by the secretary see 22.1603b. subpart 22.17 combating trafficking in persons 22.1702 subpart 22.17 combating trafficking in persons 22.1700 scope',
14945:'of subpart. this subpart prescribes policy for implementing 22 u.s.c. chapter 78 and executive order 13627, strengthening protectionsagainst trafficking in',
14946:'persons in federal contracts, dated september 25, 2012. 22.1701 applicability. a this subpart applies to all acquisitions. b the requirement',
14947:'at 22.1703c for a certification and compliance plan applies only to any portion of a contract or subcontract that 1',
14948:'is for supplies, otherthan commercially available offtheshelf cots items, to be acquired outsidethe united states, or services to be performed',
14949:'outside the united states; and 2 has an estimated value that exceeds $550,000. 22.1702 definitions. as used in this subpart',
14950:'agent meansany individual, including a director, anofficer, an employee, or anindependent contractor, authorized to act on behalf of the organization.',
14951:'coercion means 1 threats of serious harm to or physical restraint against any person; 2 any scheme, plan, or pattern',
14952:'intended to cause a person to believe that failure to perform an act would result in serious harm to or',
14953:'physical restraint against any person; or 3 the abuse or threatened abuse of the legal process. commercial sex act means',
14954:'any sex act on account of which anything of value is given to or received by any person. debt bondage',
14955:'means the status or condition of a debtor arising from a pledge by the debtor of his or her personal',
14956:'services or of those of a person under his or her control as a security for debt, if the value',
14957:'of those services as reasonably assessed is not applied toward the liquidation of the debt or the length and nature',
14958:'of those services are not respectively limited and defined. employee means an employee of the contractor directly engaged in the',
14959:'performance of work under the contract who has other than a minimal impact or involvement in contract performance. forced labor',
14960:'means knowingly providing or obtaining the labor or services of a person 1 by threats of serious harm to, or',
14961:'physical restraint against, that person or another person; 2 by means of any scheme, plan, or pattern intended to cause',
14962:'the person to believe that, if the person did not perform suchlaboror services,that person or another person would suffer serious',
14963:'harm or physicalrestraint; or 3 by means of the abuse or threatened abuse of law or the legal process. involuntary',
14964:'servitude includes a condition of servitude induced by means of 1 any scheme, plan, or pattern intended to cause a',
14965:'person to believe that, if the person did not enter into or continue in such conditions, that person oranother person',
14966:'would sufferserious harm orphysical restraint; or 2 the abuse or threatened abuse of the legal process. recruitment fees means fees',
14967:'of anytype,including charges, costs, assessments, or otherfinancialobligations, that are associated with the recruiting process, regardless of the time, manner, or',
14968:'location of imposition or collection ofthe fee. 1 recruitment fees include, but are not limited to, the following fees when',
14969:'they are associated with the recruiting process for i soliciting, identifying, considering, interviewing, referring, retaining, transferring, selecting, training, providing orientation',
14970:'to, skills testing, recommending, or placing employees or potential employees; ii advertising: iii obtaining permanent or temporary labor certification, including',
14971:'any associated fees; iv processing applications and petitions; v acquiring visas, including any associated fees; vi acquiring photographs and identity',
14972:'or immigration documents, such as passports, including any associated fees; vii accessing the job opportunity, including requiredmedical examinations andimmunizations; background,',
14973:'reference, and security clearance checks and examinations; and additional certifications; viii an employers recruiters, agents or attorneys, or other notary',
14974:'or legal fees; 22.1703 federal acquisition regulation ix language interpretation or translation, arranging for or accompanying on travel, or providing',
14975:'other advice to employees or potential employees; x governmentmandated fees, such as border crossing fees, levies, or worker welfare funds;',
14976:'xi transportation and subsistence costs a while in transit, including, but not limited to, airfare or costs of other modes',
14977:'of transportation, terminal fees, and travel taxes associated with travel from the country of origin to the country of performance',
14978:'and the return journey upon the end of employment; and b from the airport or disembarkation point to the worksite;',
14979:'xii security deposits, bonds, and insurance; and xiii equipmentcharges. 2 a recruitment fee, as described in the introductory text of',
14980:'this definition, is a recruitment fee, regardless of whether the payment is i paid in property or money; ii deducted',
14981:'from wages; iii paid back in wage or benefit concessions; iv paid back as a kickback, bribe, inkind payment,free labor,',
14982:'tip, or tribute; or v collected by an employeror athird party, whether licensedor unlicensed,including, but not limited to a agents;',
14983:'b labor brokers; c recruiters; dstaffing firms including private employment and placementfirms; e subsidiaries/affiliates of the employer; f any agent',
14984:'or employee of such entities; and g subcontractors at all tiers. severe forms of trafficking in persons means 1 sex',
14985:'traffickingin which a commercial sexact is induced by force, fraud, orcoercion, or in which theperson induced to perform such act',
14986:'has not attained 18 years of age; or 2 the recruitment, harboring, transportation, provision, or obtaining of a person for',
14987:'labor or services, through the use of force, fraud, or coercion for thepurpose of subjection to involuntary servitude,peonage, debt bondage,',
14988:'or slavery. sex trafficking means the recruitment, harboring, transportation, provision, or obtaining of a person for the purpose of a',
14989:'commercial sex act. subcontract means any contract entered into by a subcontractor to furnish supplies or services for performance of',
14990:'a prime contract or a subcontract. subcontractor means any supplier,distributor, vendor,or firm thatfurnishes supplies or servicesto or for a prime',
14991:'contractor oranother subcontractor. united states means the 50 states, the district of columbia, and outlying areas. 22.1703 policy. the united',
14992:'states government has adopted a policy prohibiting trafficking inpersons, including thetraffickingrelated activities below. additional information about trafficking in persons may',
14993:'be found at the websiteforthe department of state’s office to monitor and combat trafficking in persons at http://www.state.gov/j/tip . government',
14994:'solicitations and contracts shall a prohibit contractors, contractor employees, subcontractors, subcontractor employees, and their agents from 1 engaging in severe',
14995:'forms oftrafficking in persons during the periodof performance ofthe contract; 2 procuring commercial sex acts during the period of performance',
14996:'of the contract; 3 using forced labor in the performance of the contract; 4 destroying, concealing, confiscating,or otherwise denying access',
14997:'by an employee to the employee’s identity or immigration documents, such as passports or drivers licenses, regardless of issuing authority;',
14998:'5 iusingmisleadingorfraudulentpracticesduringtherecruitmentofemployeesorofferingofemployment, such as failing to disclose, in a format and language understood by the employee or potential employee, basic',
14999:'information or making material misrepresentations during the recruitment of employees regarding the key terms and conditions of employment, including wages',
15000:'and fringe benefits, the location of work, the living conditions, housing and associated costs if subpart 22.17 combating trafficking in',
15001:'persons 22.1703 employer oragent providedor arranged,anysignificant costs to be charged tothe employee or potential employee, and, if applicable, the hazardous',
15002:'nature of the work; ii using recruiters that do not comply with local labor laws of the country in which',
15003:'the recruiting takes place; 6 charging employees or potential employees recruitment fees; 7 i a failing to provide return transportation',
15004:'or pay for the cost of return transportation upon the end of employment, for an employee who is not a',
15005:'national of the country in which the work is taking place and who was brought into that country for the',
15006:'purpose of working on a u.s. government contract or subcontract, for portions of contracts and subcontracts performed outside the united',
15007:'states; or b failing to provide return transportation or pay for the cost of return transportation upon the end of',
15008:'employment, for an employee who is not a united states national and who was brought into the united states for',
15009:'the purpose of working on a u.s. government contract or subcontract, if the payment of such costs is required under',
15010:'existing temporary worker programs or pursuant to a written agreement with the employee for portions of contracts and subcontracts performed',
15011:'inside the united states; except that ii the requirements of paragraph a7i of this section do not apply to an',
15012:'employee who is a legally permitted to remain in the country of employment and who chooses to do so; or',
15013:'b exempted by an authorized officialof the contractingagency, designatedby the agency head in accordance with agency procedures, from the requirement',
15014:'to provide return transportation or pay for the cost of return transportation; iii the requirements ofparagraph a7i ofthis section are',
15015:'modified for a victim oftrafficking in persons who is seeking victim services or legal redress in the country of employment,',
15016:'or for a witness in an enforcement action related to trafficking in persons. the contractorshallprovide the return transportation orpaythe cost',
15017:'of return transportation in a way that does not obstruct thevictim services, legal redress, or witnessactivity. for example,the contractor shall',
15018:'also offer return transportation toa witness at atime that supports the witness’ need to testify. thisparagraph does not apply when',
15019:'the exemptions atparagraph a7ii of this section apply. 8 providing or arranging housing that fails to meet the host country',
15020:'housing and safety standards; or 9 if required by law or contract, failing to provide an employment contract, recruitment agreement,',
15021:'or other required work document in writing. such written document shall be in a language the employee understands. if the',
15022:'employee must relocate to perform the work, the work document shall be provided to the employee at least five days',
15023:'prior to the employee relocating. the employee’s work document shall include, but is notlimited to, details about work description, wages,',
15024:'prohibition on charging recruitment fees, work locations, living accommodations and associatedcosts, time off, roundtrip transportation arrangements, grievance process, and the',
15025:'contentof applicablelaws and regulations that prohibit trafficking in persons. the contracting officershallconsider the risk that the contractor subcontract will involve',
15026:'services or supplies susceptible to trafficking inpersons, and the numberof nonu.s. citizensexpected to be employed, when deciding whether to require',
15027:'work documents in the contract; b require contractors and subcontractors to notify employees of the prohibited activities described in paragraph',
15028:'a of this section and the actions that may be taken against them for violations; c with regard to certification',
15029:'and a compliance plan 1 irequiretheapparentsuccessfulofferortoprovide,beforecontractaward,acertificationsee 52.22256 that the offeror hasa compliance plan ifanyportion of the contractor subcontract a is',
15030:'for supplies, other than cots items see 2.101, to be acquired outside the united states, or services to be performed',
15031:'outside the united states; and b the estimated value exceeds $550,000. ii the certification must state that athe offeror has',
15032:'implementedthe plan and has implementedprocedures to prevent any prohibited activities and to monitor, detect, and terminate thecontract with a subcontractor',
15033:'or agent engaging in prohibited activities; and b after having conducted due diligence, either 1 to the best of the',
15034:'offeror’s knowledge and belief,neither it nor any of its agents, proposed subcontractors, or their agents, has engaged in any such',
15035:'activities; or 2 if abuses relating to any of the prohibited activities identified in 52.22250b have been found,the offeror or',
15036:'proposed subcontractor has taken the appropriate remedial and referral actions; 2 require annual certifications see 52.22250h5 during performance of the',
15037:'contract, when a compliance plan was required at award; 3 irequirethecontractortoobtainacertificationfromeachsubcontractor,priortoawardofasubcontract,ifany portion of the subcontract 22.1704 federal acquisition regulation a',
15038:'is for supplies, other than cots items see 2.101, to be acquired outside the united states, or services to be',
15039:'performed outside the united states; and b the estimated value exceeds $550,000. ii the certification must state that a the',
15040:'subcontractor has implemented a compliance plan; and b after having conducted due diligence, either 1 to the best of the',
15041:'subcontractor’sknowledge and belief, neither it nor any of itsagents, subcontractors, or their agents, has engaged in any such activities; or',
15042:'2 if abuses relating to any of the prohibited activities identified in 52.22250b have been found, the subcontractor has taken',
15043:'the appropriate remedial and referral actions; 4 require the contractor to obtain annual certifications from subcontractors during performance of the',
15044:'contract, when a compliance plan was required at the time of subcontract award; and 5 require that any compliance plan',
15045:'or procedures shall be appropriate to the size and complexity of the contract and the nature and scope of its',
15046:'activities, including the number of nonu.s. citizens expected to be employed and the risk that the contract or subcontract will',
15047:'involveservicesor suppliessusceptible to trafficking in persons. the minimum elementsof the plan are specified at 52.22250h; d require the contractor and',
15048:'subcontractors to 1 discloseto the contracting officer and the agency inspector general information sufficient to identify thenature and extent ofan',
15049:'offense and the individuals responsible for the conduct; 2 provide timely and complete responses to government auditors’ and investigators’ requests',
15050:'for documents; 3 cooperate fully in providing reasonable accessto their facilitiesand staff bothinside and outside the u.s. to allow contracting',
15051:'agencies and other responsible federal agencies to conduct audits, investigations, or other actions to ascertaincompliance with the trafficking victims protection',
15052:'act 22 u.s.c. chapter 78, executive order 13627, or any other applicable law or regulation establishing restrictionson trafficking in persons,',
15053:'theprocurement of commercial sex acts, or the use of forced labor; and 4 protect all employees suspected of being victims',
15054:'of or witnesses to prohibited activities, prior to returning to the country from which the employee was recruited, and shall',
15055:'not prevent or hinder the ability of these employees from cooperating fully with government authorities; and e provide suitable remedies,',
15056:'including termination, to be imposed on contractors that fail to comply with the requirements of paragraphs a through d of',
15057:'this section. 22.1704 violations andremedies. a violations. itis aviolation ofthe traffickingvictims protection act of 2000,as amended, 22 u.s.c. chapter 78,',
15058:'e.o. 13627, or the policies of this subpart if— 1 the contractor, contractor employee,subcontractor, subcontractor employee, oragent engages in severe',
15059:'forms of trafficking in persons during theperiod of performance of thecontract; 2 the contractor, contractor employee,subcontractor, subcontractor employee, oragent procures',
15060:'a commercialsex act during the period of performance of the contract; 3 the contractor, contractor employee,subcontractor, subcontractor employee, oragent uses',
15061:'forced labor in the performance of the contract; or 4 the contractor fails to comply with the requirements of the',
15062:'clause at 52.22250, combating trafficking in persons. b credible information. upon receipt of credible information regarding a violation listed in',
15063:'paragraph a of this section, thecontracting officer— 1 shall promptly notify, in accordance with agencyprocedures,the agencyinspector general, the agency debarring',
15064:'and suspending official, and if appropriate, law enforcementofficialswith jurisdiction over the alleged offense; and 2 may direct the contractor to',
15065:'take specific steps to abate the alleged violation or enforce the requirements of its compliance plan. c receipt of agency',
15066:'inspector general report. 1 the head of an executive agency shall ensure that the contracting officer isprovideda copy of the',
15067:'agency inspector general report of aninvestigation of a violation of the traffickingin persons prohibitions in 22.1703a and 52.22250b. 2 i',
15068:'upon receipt of a report from the agency inspector general that provides support for the allegations, the head of the',
15069:'executiveagency,in accordance with agency procedures, shall delegate to an authorized agency official, such asthe agency suspending ordebarringofficial, the responsibilityto subpart',
15070:'22.17 combating trafficking in persons 22.1705 a expeditiously conduct an administrative proceeding, allowing the contractor the opportunity to respond to',
15071:'the report; b make a final determination as to whether the allegations are substantiated; and c notify the contracting officer',
15072:'of the determination. iiwhether or notthe officialauthorized to conduct the administrative proceeding is the suspending anddebarring official,the suspending and debarring',
15073:'official has theauthority,at any time beforeor after thefinal determination as to whether the allegations are substantiated, to use the suspension',
15074:'and debarment procedures in subpart 9.4 to suspend, propose for debarment, or debar thecontractor, if appropriate, also considering thefactors at',
15075:'22.1704d2. d remedies. after a final determination in accordance with paragraph c2ii of this section that the allegations of a',
15076:'trafficking in persons violation are substantiated, thecontracting officer shall— 1 enter the violation in fapiis see 42.1503h; and 2 consider',
15077:'taking any of the remedies specified in paragraph e of the clause at 52.22250, combatingtrafficking in persons. these remedies are',
15078:'in addition to any other remedies available to the united states government. when determining theappropriateremedies,the contracting officermay considerthe following factors:',
15079:'imitigating factors. the contractor hada trafficking in persons compliance plan or awareness program at the time of the violation, was',
15080:'in compliance with the plan at the time of the violation, and has taken appropriate remedial actions for the violations,',
15081:'that may include reparation to victims for such violations. ii aggravating factors. the contractor failed to abate an alleged violation',
15082:'or enforce the requirements of a complianceplan,when directedby acontracting officer todo so. 22.1705 solicitation provisionand contract clause. a 1 insert',
15083:'the clause at 52.22250,combatingtraffickinginpersons,inallsolicitationsandcontracts. 2 use the clause with its alternate i when the contract will be performed outside the',
15084:'united states as defined at 22.1702andthe contracting officerhas been notified of specific u.s. directives ornotices regarding combating trafficking in persons',
15085:'such as generalordersor military listings of offlimits local establishmentsthat apply tocontractor employees at the contract place of performance. b insert',
15086:'the provision at 52.22256, certificationregarding trafficking in persons compliance plan, insolicitationsif 1 it is possible that at least $550,000 of',
15087:'the value of the contract may be performed outside the united states; and 2 the acquisition is not entirely for',
15088:'commercially available offtheshelf items. this page intentionally left blank. 22.176 subpart 22.18 employment eligibility verification 22.1802 subpart 22.18 employment eligibility',
15089:'verification 22.1800 scope. this subpart prescribes policies and procedures requiring contractors to utilize the department of homeland security dhs, united',
15090:'states citizenship and immigration service’s employment eligibility verification program everify as the means for verifying employment eligibility of certain employees.',
15091:'22.1801 definitions. as used in this subpart commercially available offtheshelf cots item 1 means any item of supply that is',
15092:'i a commercial product as defined in paragraph 1 of the definition of “commercial product” at 2.101; ii sold in',
15093:'substantial quantities in the commercial marketplace; and iii offered tothe government, without modification, in the same form in which it',
15094:'is sold in the commercial marketplace; and 2 does not include bulk cargo, as defined in 46 u.s.c. 401024, such',
15095:'as agricultural products and petroleum products. per 46 cfr 525.1 c2, bulk cargo means cargo that is loaded and carried',
15096:'in bulk onboard ship without mark or count, in a loose unpackaged form, having homogenous characteristics. bulk cargo loaded into',
15097:'intermodal equipment, except lash or seabee barges, is subjectto mark and count and, therefore, ceases to be bulk cargo. employee',
15098:'assigned to the contract means an employee who was hired after november 6, 1986 after november 27, 2009, in the',
15099:'commonwealth of the northern mariana islands, who is directly performing work, in the united states, under a contract that is',
15100:'required to include the clause prescribed at 22.1803. an employee is not considered to be directly performing work under a',
15101:'contract if the employee 1 normally performs support work, such as indirect or overhead functions; and 2 does not perform',
15102:'any substantial duties applicable to the contract. subcontract means any contract, as defined in 2.101, entered into by a subcontractor',
15103:'to furnish supplies or services for performance of a prime contract or a subcontract. it includes but is not limited',
15104:'to purchase orders, and changes and modifications to purchase orders. subcontractor means any supplier,distributor, vendor,or firm thatfurnishes supplies or servicesto',
15105:'or for a prime contractor oranother subcontractor. united states, as defined in 8 u.s.c. 1101a38, means the 50 states, the',
15106:'district of columbia, puerto rico, guam, the commonwealth of northernmariana islands, and the u.s. virginislands. 22.1802 policy. a statutes and',
15107:'executive orders require employers to abide by the immigration laws of the united states and to employ in the unitedstates',
15108:'only individuals who are eligible towork in the united states. the everify program provides an internetbased means of verifying employment',
15109:'eligibility of workers employed in the united states, but is not a substitute for any other employment eligibility verification requirements.',
15110:'b contracting officersshallinclude in solicitations and contracts, as prescribed at 22.1803, requirements that federal contractors must 1 enroll as federalcontractors',
15111:'in everify; 2 use everify toverify employment eligibilityof all new hires workingin theunited states, except that the contractor may choose',
15112:'to verify only new hires assigned to the contract if the contractor is i an institution of higher education as',
15113:'defined at 20 u.s.c. 1001a; ii a state or local government or the government of a federally recognized indian tribe;',
15114:'or iii a surety performing under a takeover agreement entered into with a federal agency pursuant to a performance bond;',
15115:'3 use everify toverify employment eligibilityof all employeesassigned to the contract; and 4 include these requirements, as required by the',
15116:'clause at 52.22254, in subcontracts for i services, except for commercial services that are part of the purchase of a',
15117:'cots item or an item that would be a cots item, butforminor modifications, performed by the cots provider, and are',
15118:'normally provided for that cots item; and ii construction. 22.1803 federal acquisition regulation c contractors may elect to verify employment',
15119:'eligibility of all existing employees working in the united states who were hired after november 6, 1986 after november 27,',
15120:'2009, in the commonwealth of the northern mariana islands instead of just those employees assigned to the contract. the contractor',
15121:'is not required to verify employment eligibility of 1 employees who hold an active security clearance of confidential, secret, or',
15122:'top secret; or 2 employees for whom background investigations have been completed and credentials issued pursuant to homeland security presidential',
15123:'directive hspd12. d in exceptional cases, theheadof the contractingactivity may waivethe everify requirement for a contract or subcontract or a',
15124:'class of contracts or subcontracts, either temporarily or for the period of performance. this waiver authority may not be delegated.',
15125:'e dhs and the social securityadministration ssamay terminate acontractor’s mou and denyaccess to the everify system in accordance with the',
15126:'terms of the mou. if dhsor ssaterminates a contractor’smou, the terminating agency must refer the contractorto a suspension ordebarment official',
15127:'for possible suspension or debarment action. during the period between termination of themou and adecision by thesuspension or debarment official',
15128:'whether tosuspend or debar, the contractor is excused from its obligations under paragraph b of the clause at 52.22254. if',
15129:'the contractor is suspended or debarred as a result of themou termination, the contractor is noteligible to participate in everifyduring',
15130:'the period of its suspensionor debarment. if thesuspension or debarment official determines not to suspend or debar thecontractor, thenthe contractor',
15131:'must reenroll in everify. 22.1803 contract clause. insert the clause at 52.22254,employment eligibility verification, in all solicitations and contracts that',
15132:'exceed$150,000, except those that— a are only for work that will be performed outside the united states; b are for',
15133:'a period of performance of less than 120 days; or c are only for 1 commercially available offtheshelfitems; 2 items',
15134:'that would be cots items, but for minor modifications as defined at paragraph 3ii of the definition of commercial products',
15135:'at 2.101; 3 items that wouldbe cotsitems if theywere not bulk cargo;or 4 commercial services that are i part of',
15136:'the purchase of a cots item or an item that would be a cots item, but for minor modifications; ii',
15137:'performed by the cots provider; and iii are normally provided for that cots item. subpart 22.19 increasing the minimum wage',
15138:'for contractors 22.1903 subpart 22.19 increasing the minimum wage for contractors 22.1900 scope of subpart. this subpart prescribes policies and',
15139:'procedures to implement executive order e.o. 14026, increasing the minimum wage for federal contractors, which requires minimum wages for certain',
15140:'workers; department of labor dol implementing regulations are found at 29 cfr part 23. this e.o. superseded e.o. 13658; dol',
15141:'implementing regulations for e.o. 13658 are found at 29 cfr part 10. 22.1901 definitions. as used in this subpart— united',
15142:'states means the 50 states, the district of columbia, puerto rico, the northern mariana islands, american samoa, guam,the u.s. virgin',
15143:'islands, johnston island,wake island, and theoutercontinental shelf as defined inthe outer continental shelf lands act 43 u.s.c. 1331, et seq..',
15144:'worker, in accordance with 29 cfr 23.20– 1 i means any person engaged in performing work on, or in connection',
15145:'with, a contract covered by executive order 14026, and a whose wages under such contract are governed by the fair',
15146:'labor standards act 29 u.s.c. chapter 8, the service contract labor standards statute 41 u.s.c. chapter 67,or the wagerate requirements',
15147:'constructionstatute40 u.s.c. chapter 31, subchapter iv, b other thanindividuals employedin a bonafide executive, administrative, or professional capacity, as those terms',
15148:'are defined in 29 cfr part 541, c regardless of the contractual relationship alleged to exist between the individual and',
15149:'the employer. ii includes workers performing on, or in connection with, the contract whose wages are calculated pursuant to special',
15150:'certificates issued under 29 u.s.c. 214c. iii also includes any person working on, or in connection with, the contract and',
15151:'individually registered in a bona fide apprenticeshipor trainingprogramregisteredwith the department of labors employment and trainingadministration, office of apprenticeship,or with a',
15152:'stateapprenticeship agency recognized by theofficeof apprenticeship. 2 i a worker performs on a contract if the worker directly performs the',
15153:'specific services called for by the contract; and ii a worker performs in connection with a contract if the workers',
15154:'work activities are necessary to the performance of a contract but are not the specific services called for by the',
15155:'contract. 22.1902 policy. a pursuant to executive order 14026, the minimum hourly wage rate required to be paid to workers',
15156:'performing on, or in connection with, contracts and subcontracts subject to this subpart is— 1 at least $15.00 per hour',
15157:'beginning january 30, 2022; and 2 beginning january 1, 2023, and annually thereafter, an amount determined by the secretary of',
15158:'labor. the administrator of the wage and hour division the administrator will notify the public of the newe.o. minimumwage rate',
15159:'at least 90 days before it is to take effect. see 22.1904. b relationship with other wage rates. 1 nothing',
15160:'in this subpart shall excuse noncompliance with any applicable federal or state prevailing wage law or any applicable law or',
15161:'municipal ordinance or any applicable contract establishing a minimum wagehigher than the e.o. minimum wage. however, wage increases under such',
15162:'other lawsor municipal ordinances are not subject to price adjustment under this subpart. 2 the e.o. minimum wage rate applies',
15163:'wheneveritis higher thanany applicable collectivebargaining agreements wage rate. c application to tipped workers. policies and procedures in dol regulations at',
15164:'29 cfr 23.240b and 23.280 address the relationship between the e.o. minimum wage and wages of workers engaged in an',
15165:'occupation in which they customarily and regularly receive more than $30 a month in tips. 22.1903 applicability. a this subpart',
15166:'applies to contracts covered by the service contract labor standards statute 41 u.s.c. chapter 67, formerly known as the service',
15167:'contract act, subpart 22.10,orthewageraterequirementsconstructionstatute 40 u.s.c. chapter 31, subchapter iv, formerly known as the davis bacon act, subpart 22.4, that',
15168:'require performance in 22.1904 federal acquisition regulation whole or in part within the united states the 50 states, the district',
15169:'of columbia, puerto rico, the northern mariana islands, american samoa, guam,the u.s. virgin islands, johnston island,wake island, and theoutercontinental shelf',
15170:'as defined in the outer continental shelf lands act 43 u.s.c. 1331, et seq.. when performance is in part within',
15171:'and in part outside the united states, this subpart applies to the part of the contract that is performed within',
15172:'the united states. b 1 this subpart applies to workers as defined at 22.1901. as provided in that definition iworkers',
15173:'are covered regardlessof the contractual relationshipalleged to exist between the contractor or subcontractor and the worker; iiworkerswith disabilities whose wages',
15174:'are calculated pursuant to special certificates issued under 29 u.s.c. 214c are covered; and iii workerswho are registered in a',
15175:'bona fide apprenticeship program or training program registered with the department of labor’s employment and training administration, office of apprenticeship,',
15176:'orwith a state apprenticeship agency recognized by theofficeof apprenticeship, arecovered. 2 this subpart does not apply to i fair labor',
15177:'standards act flsacovered individuals performing in connection with contracts covered by the e.o., i.e., those individuals who perform duties necessary',
15178:'to the performance of the contract, but who are not directly engaged in performing the specific work called for by',
15179:'the contract, and who spend less than 20 percent of their hours worked in a particular workweek performing in connection',
15180:'with such contracts; ii individuals exempted from the minimum wage requirements of the flsa under 29 u.s.c. 213a and 214a',
15181:'and b, unless otherwise covered by the service contractlabor standardsstatuteor the wagerate requirements construction statute. these individuals include but are',
15182:'not limited to a learners, apprentices, or messengers whose wages are calculated pursuant to special certificates issued under 29 u.s.c.',
15183:'214a; b students whose wages are calculated pursuant to special certificates issued under 29 u.s.c. 214b; and c those employed',
15184:'in a bona fide executive, administrative, or professional capacity 29 u.s.c. 213a1 and 29 cfr part 541. c agency labor',
15185:'advisors, as defined at 22.001, are listed at https://www.sam.gov, and are available to provide guidance and assistance with the application',
15186:'of this subpart. 22.1904 annualexecutive order minimum wage rate. a for the e.o. minimumwage ratethat becomes effectiveon january30,2022, and annually',
15187:'thereafter,the administrator will 1 notify the public of thenew e.o. minimum wage rate at least 90 days before it becomeseffective',
15188:'by publishinga notice in the federal register; 2 publish and maintain on wage determinations at sam.gov, https://www.sam.gov, or any successor',
15189:'site, the e.o. minimum wage rate; and 3 include a general notice on wage determinations which are issued under the',
15190:'service contract labor standards statute or the wage rate requirementsconstruction statute. the notice willprovide information on the e.o. minimum wage',
15191:'and how to obtain annual updates. b 1thecontractormayrequestapriceadjustmentonlyaftertheeffectivedateofanewannuale.o. minimum wage determination published pursuant to paragraph a. prices will be adjusted',
15192:'only for increased labor costs including subcontractor labor costs as a result of the annual e.o. minimum wage, and for',
15193:'associated labor costs including those for subcontractors. associated labor costs shall include increases or decreases that result from changes in',
15194:'social security and unemployment taxes and workers’ compensation insurance, but will not otherwise include any amount for general and administrative',
15195:'costs, overhead, or profit. 2 the wage rate price adjustment under this clause is the lowest amount calculated by subtracting',
15196:'from the new e.o. wage rate the following: the current e.o. minimum wage rate; the current service or construction wage',
15197:'determination rate underthe contract if the wage rate is applicable tothat worker; or the actual wage currently paid the worker.',
15198:'if the amount is zero or below, there will be no increase paid for this worker. i example 1 new',
15199:'e.o. wage rate is $16.10. subpart 22.19 increasing the minimum wage for contractors 22.1905 analysis: the calculation is $16.10 $15.80',
15200:'= $.30.previous e.o. wage rate is $15.70. the price adjustment for this worker is $.30.the current service or construction wage',
15201:'determination rate applicable to this worker under the contract is $15.75. the actual wage currently paid to the worker is',
15202:'$15.80. ii example 2 new e.o. wage rate is $15.50. previous e.o. wage rate is $15.10. analysis: the calculation is',
15203:'$15.50 $15.80 = $.30. the current service or construction wage determination rate there isno price adjustment for this worker. applicable',
15204:'to this worker under the contract is $15.75. the actual wage currently paid to the worker is $15.80. 3 the',
15205:'contractingofficer shall not adjust the contract price for any costsotherthan those identified inparagraph b 1 of this section, and shall',
15206:'not provide duplicate price adjustments with any price adjustment under clauses implementing theservice contract labor standards statute orthe wage raterequirements',
15207:'construction statute. 22.1905 enforcementof executive order minimum wage requirements. a authority. 1 section 5 of the e.o. grants the authority',
15208:'for investigating potential violations of, and obtaining compliancewith, the e.o. to the secretary oflabor. the secretary of labor, in promulgating',
15209:'the implementing regulations required bysection 4of the e.o.,has assigned this authorityto theadministrator. contractingagencies do not have authority to conduct compliance',
15210:'investigations under 29 cfr part 10 or part 23 as implemented in this subpart. this does not limit the contracting',
15211:'officer’s authorityto otherwise enforce theterms and conditions of the contract. 2 contracting officersshallwithhold payment at the direction of the administrator.',
15212:'3 the contractingofficer shall withhold payment, without a request from theadministrator, ifthe contractor fails to comply with the requirements in',
15213:'paragraph e2 of 52.22255, minimum wages for contractor workers under executive order 14026 to furnish payroll records, until such time',
15214:'as the noncompliance is corrected. b complaints.1complaints may be filed with thecontracting officer or the administratorby any person,entity, or organizationthat',
15215:'believesa violation of this subpart has occurred. 2 the identity of any individual who makes a written or oral statement',
15216:'as a complaint or in the course of an investigation, as well as portions of the statement which would reveal',
15217:'the individual’s identity, shall not be disclosed in any mannerto anyoneother thanfederal officials without the priorconsent of the individual, unless',
15218:'otherwise authorized bylaw. 3 upon receipt ofa complaint, or if notified that theadministrator has received a complaint, the contracting officer',
15219:'shall report the following information, within 14 days, if available without conducting an investigation, to the department of labor, wageandhour',
15220:'division, office of government contracts, 200 constitution avenue n.w.,room s3006, washington, d.c. 20210. i the complaint or description of the',
15221:'alleged violation; iiavailable statements by theworker, contractor,or any other person regardingthe alleged violation; iii evidence that clause 52.22255, minimum wages',
15222:'for contractor workers under executive order 14026, or its predecessor for complaints under 29 cfr part 10 was included in',
15223:'the contract; iv information concerning known settlement negotiations between the parties, if applicable; and v any other relevant facts known',
15224:'to the contracting officer orother information requested by the wage and hour division. c investigations. complaints will be investigated bythe',
15225:'administrator,if warranted, in accordance with the procedures in 29 cfr part 23.430. d remedies and sanctions–1unpaidwages. when the administrator’s investigation',
15226:'reveals that a contractor has failed to pay the applicable e.o. minimum wage, the administrator will notify the contractor and',
15227:'the contracting agency of the unpaid wage violation, and request that the contractor remedy the violation. if the contractor does',
15228:'not remedy the violation, the administrator may direct withholding of payments due on the contract or any other contract between',
15229:'the contractor and thefederal government. upon final decisionanddirection ofthe administrator, the contracting agency shall transfer the withheld funds to the',
15230:'department of labor for disbursement in accordance with the procedures at 22.4069c. 22.1906 federal acquisition regulation 2 antiretaliation. when a',
15231:'contractor has been found to have violated paragraph i of clause 52.22255, minimum wages for contractorworkersunderexecutive order 14026, the administratormay',
15232:'provide for relief to the worker in accordance with 29 cfr 23.440. 3 debarment. i the department of labor may',
15233:'initiate debarment proceedings under 29 cfr 23.520 whenever a contractor is found to have disregarded its obligations under 29 cfr',
15234:'part 23. iicontracting officers shall consider notifying theagency suspending and debarring official in accordance with agency procedures when a contractor',
15235:'commits significant violations of contract terms and conditions related to this subpart. 4 retroactive inclusion of contract clause. if a',
15236:'contracting agency fails to include the contract clause in a contract to which e.o. 14026 applies, thecontracting agency, on itsown',
15237:'initiative orwithin 15 calendar daysof notification by anauthorized representative ofthe department of labor, shall incorporate thecontract clause in the contract',
15238:'retroactive to commencement of performance under the contract through the exercise of any and all authority that may be needed',
15239:'including, where necessary, itsauthority tonegotiate or amend, its authority to pay any necessary additional costs, and its authority under any',
15240:'contract provision authorizing changes, cancellation and termination. 22.1906 contract clause. insert the clause at 52.22255,minimum wages for contractor workers under',
15241:'executive order14026,in solicitations and contracts that include the clause at 52.2226, construction wage raterequirements,or 52.22241, service contract labor standards, where',
15242:'work is to be performed, in whole or in part, in the united states. subpart 22.20 subpart 22.20 [reserved] this',
15243:'page intentionally left blank. 22.192 22.2103 subpart 22.21 establishing paid sick leave for federal contractors 22.2100 scope of subpart. this',
15244:'subpart prescribes policies and procedures to implement e.o. 13706, establishing paid sick leave for federal contractors, dated september 7, 2015,',
15245:'and department of labor implementing regulations at 29 cfr part 13. 22.2101 definitions. as used in this subpart in accordance',
15246:'with 29 cfr 13.2 accrual year means the 12month period during which a contractor may limit an employees accrual of',
15247:'paid sick leave to no less than 56 hours see 29 cfr 13.5b1. certification issued by a health care provider',
15248:'has the meaning given in 29 cfr 13.2. employee 1 i means any person engaged in performing work on or',
15249:'in connection with a contract covered by e.o. 13706; and a whose wages under such contract are governed by the',
15250:'service contract labor standards statute 41 u.s.c. chapter 67,the wage raterequirements construction statute 40 u.s.c. chapter 31, subchapter iv, or',
15251:'the fair labor standards act 29 u.s.c. chapter 8; b including employees who qualify for an exemption from the fair',
15252:'labor standards acts minimum wage and overtime provisions; and c regardless of the contractual relationship alleged to exist between the',
15253:'individual and the employer; and ii includes any person performing work on or in connection with the contract and individually',
15254:'registered in a bona fide apprenticeshipor trainingprogramregisteredwith the department of labors employment and trainingadministration, office of apprenticeship,or with a stateapprenticeship',
15255:'agency recognized by theofficeof apprenticeship. 2 i an employee performs on a contract if the employee directly performs the specific',
15256:'services called for by the contract; and ii an employee performs in connection with a contract if the employees work',
15257:'activities are necessary to the performance of a contract but are not the specific services called for by the contract.',
15258:'health care provider has the meaning given in 29 cfr 13.2. multiemployer plan means a plan to which more than',
15259:'one employer is required to contribute and which is maintained pursuant to one or morecollective bargaining agreements between one ormore',
15260:'employee organizations and more than one employer. paid sick leave means compensated absence from employment that is required by e.o.',
15261:'13706 and 29 cfr part 13. 22.2102 policy. a the government shall require contractors to allow employees performing work on',
15262:'or in connection with a contract covered by e.o. 13706 to accrue and use paid sick leave in accordance with',
15263:'the e.o. and 29 cfr part 13. b interaction with other laws. nothing in e.o. 13706 or 29 cfr part',
15264:'13 shall excuse noncompliance with or supersede any applicable federal orstate law, any applicable law or municipal ordinance, or a',
15265:'collective bargainingagreement requiring greater paid sick leave or leave rights than those established under e.o. 13706 and 29 cfr part',
15266:'13. for additional details regarding interaction withthe service contract laborstandards statute,the wage raterequirements construction statute, the family and medical leave',
15267:'act, and state and local paid sick time laws, see 29 cfr 13.5f2 through 4. c interaction withpaid time off',
15268:'policies. inaccordance with29 cfr 13.5f5i, the paid sick leave requirements of e.o. 13706 and 29 cfr part 13may be satisfied',
15269:'by a contractors voluntary paid time off policy,whetherprovided pursuant to a collective bargaining agreement or otherwise, where the voluntary paidtime',
15270:'off policy meetsor exceeds the requirements. for additionaldetailsregardingpaid time off policies, see 29cfr 13.5f5ii and iii. d unlessotherwise provided inthis',
15271:'subpart,compliance is the responsibility of thecontractor, and enforcement isthe responsibility of the department of labor. 22.2103 applicability. this subpart applies',
15272:'to a contracts that 1 are covered by the service contract labor standards statute 41 u.s.c. chapter 67, formerly known',
15273:'as the service contract act, subpart 22.10,orthewageraterequirementsconstructionstatute40 u.s.c. chapter 31,subchapteriv, formerly known as the davisbacon act, subpart 22.4; and 22.2104',
15274:'federal acquisition regulation 2 require performance in whole or in part within the united states. when performance is in part',
15275:'within and in part outside the united states, this subpart applies to the part of the contract that is performed',
15276:'within the united states; and b employees performing on or in connection with such contracts whose wages are governed by',
15277:'the service contract labor standards statute, the wagerate requirements constructionstatute, orthe fair labor standards act, including employees who qualify for',
15278:'an exemption from the fair labor standards acts minimum wage and overtime provisions. 22.2104 exclusions. the following are excluded from',
15279:'coverage under this subpart: a employees performing in connection with contracts covered by the e.o. for less than 20 percent',
15280:'of their work hours in a given workweek. this exclusion is inapplicable to employees performing on contracts covered by the',
15281:'e.o., i.e., those employees directly engaged in performing the specific work called for by the contract, at any point during',
15282:'the workweek see 29 cfr 13.4e. b until the earlier of the date the agreement terminates or january 1, 2020,',
15283:'employees whose covered work is governed by a collective bargainingagreement ratified beforeseptember 30, 2016, that 1 already provides 56 hours',
15284:'or 7 days, if the agreement refers to days rather than hours of paid sick time or paid time off',
15285:'that may be used for reasonsrelated to sicknessor health care each year;or 2 provides less than 56 hours or 7',
15286:'days, if the agreement refers to days rather than hours of paid sick time or paid time off that may',
15287:'be used for reasonsrelated to sicknessor health care each year, provided that each year the contractor provides covered employees with',
15288:'the difference between 56 hours or 7 days and theamount provided underthe existing agreement in accordance with 29 cfr 13.4f.',
15289:'c the governments unilateral exercise of a prenegotiated option to renew an existing contract that does not contain the clause',
15290:'at 52.22262 will not automatically trigger the application of that clause. see definition of new contract at 29 cfr 13.2.',
15291:'22.2105 paid sick leave for federal contractors and subcontractors. in accordance with 29 cfr 13.5, and by operation of the',
15292:'clause at 52.22262, paid sick leave under executive order 13706, the following contractor requirements apply: a accrual. 1 contractors are',
15293:'required to permit an employee to accrue not less than 1 hour of paid sick leave for every 30 hours',
15294:'worked on or in connection with a contract covered by the e.o. see 29 cfr 13.5a1. 2 contractors are required',
15295:'to inform each employee, in writing, of the amount of paid sick leave the employee has accrued but not used',
15296:'no lessthan once each pay periodor each month,whichever interval isshorter, as well asupon a separation from employment and upon reinstatement',
15297:'of paid sick leave, pursuant to 29 cfr 13.5b4 see 29 cfr 13.5a 2. 3 contractors may choose to provide',
15298:'employees with at least 56 hours of paid sick leave at the beginning of each accrual year rather than allowing',
15299:'the employee to accrue such leave based on hours worked over time see 29 cfr 13.5a 3. b maximum accrual,',
15300:'carryover, reinstatement, and paymentforunused leave. 1 contractors may limit the amount of paid sick leave employees are permitted to accrue',
15301:'to not less than 56 hours in each accrual year see 29 cfr 13.5b1. 2 paid sick leave shall carry',
15302:'over from one accrual year to the next. paid sick leave carried over from the previous accrual year shall not',
15303:'count toward any limit the contractor sets on annual accrual see 29 cfr 13.5b2. 3 contractors may limit the amount',
15304:'of paid sick leave an employee is permitted to have available for use at any point to not less than',
15305:'56 hours see 29 cfr 13.5b3. 4 contractors are required to reinstate paid sick leave for employees only when rehired',
15306:'by the same contractor within 12 months after a job separation see 29 cfr 13.5b4. 5 nothing in e.o. 13706',
15307:'or 29 cfr part 13 requires contractors to make a financial payment to an employee for accrued paid sick leave',
15308:'that has not been used upon a separation from employment. if a contractor nevertheless makes such a payment in an',
15309:'amount equal to or greater than the value of the pay and benefits the employee would have received pursuant to',
15310:'29 cfr 13.5c3 had the employee used the paid sick leave, the contractor is relieved of the obligation to reinstate',
15311:'an employees accrued paid sick leave upon rehiring the employee within 12 months of the separation pursuant to 29 cfr',
15312:'13.5b4 see 29 cfr 13.5b5. c use. contractors are required to permit an employee to use paid sick leave in',
15313:'accordance with 29 cfr 13.5c. d request for paid sick leave. contractors are required to permit an employee to use',
15314:'any or all of the employees available paid sick leaveupon theoral or written request of anemployee thatincludes information sufficient to',
15315:'informthe 22.2109 contractor that the employee is seeking to be absent from work for a purpose described in 29 cfr',
15316:'13.5c and, to the extent reasonably feasible, the anticipated duration of the leave see 29 cfr 13.5d. e certification or',
15317:'documentation for leave of 3 or more consecutive full workdays. contractors may require certification issued by a health care provider',
15318:'to verify the need for paid sick leave used for a purpose described in 29 cfr 13.5c1i, ii, or iii,',
15319:'or documentation from an appropriate individual or organization to verify the need for paid sick leave used for a purpose',
15320:'described in 29 cfr 13.5c1iv, only if the employee is absent for 3 or more consecutive full workdays see 29',
15321:'cfr 13.5e. 22.2106 prohibited acts. in accordance with 29 cfr 13.6, and by operation of the clause at 52.22262, paid',
15322:'sick leave under executive order 13706, a contractor may not a interfere with an employees accrual or use of paid',
15323:'sick leave as required by e.o. 13706 or 29 cfr part 13 see 29 cfr 13.6a; b discharge or in',
15324:'any other manner discriminate against any employeefor 1 using, or attempting to use, paid sick leave as provided for under',
15325:'e.o. 13706 and 29 cfr part 13; 2 filing any complaint, initiating any proceeding, or otherwise asserting any right or',
15326:'claim under e.o. 13706 or 29 cfr part 13; 3 cooperating in any investigation or testifying in any proceeding under',
15327:'e.o. 13706 or 29 cfr part 13; or 4 informing any other person about his or her rights under e.o.',
15328:'13706 or 29 cfr part 13 see 29 cfr 13.6b; or c failto make and maintain orto make available to',
15329:'authorized representatives of the wage and hour division records for inspection, copying, and transcription as required by 29 cfr 13.25,',
15330:'or otherwise fail to comply with the requirements of 29 cfr 13.25 see 29 cfr 13.6c. 22.2107 waiverof rights. employees',
15331:'cannot waive, nor may contractors induce employees to waive, their rights under e.o. 13706 or 29 cfr part 13 see',
15332:'29 cfr 13.7. 22.2108 multiemployer plans or other funds, plans, orprograms. contractors may fulfill their obligations under e.o. 13706 and',
15333:'29 cfr part 13 jointly with other contractors through a multiemployer plan, or may fulfill their obligations through an individual',
15334:'fund, plan, or program see 29 cfr 13.8. 22.2109 enforcementof executive order 13706 paid sick leave requirements. a authority. section',
15335:'4 of the e.o. grants to the secretary of labor the authority for investigating potential violations of, and obtainingcompliance with,the',
15336:'e.o. the secretary of labor, in promulgating the implementing regulations required by section 3 of the e.o., has assigned this',
15337:'authority to the administrator of the wage and hour division. contracting agencies do not have authority to conduct compliance investigations',
15338:'under 29 cfr part 13 as implemented in this subpart. this does not limit the contracting officersauthority tootherwise enforcethe terms',
15339:'and conditionsof the contract. b complaints. 1 complaints are filed with theadministrator of the wage andhourdivision and maybe brought by',
15340:'any person including the employee, entity,or organization that believes a violation of this subpart has occurred. 2 the identity of',
15341:'any individual who makes a written or oral statement as a complaint or in the course of an investigation, as',
15342:'well as portions of the statement which would reveal the individuals identity, shall not bedisclosed in any mannerto anyoneother thanfederal',
15343:'officials without the priorconsent of the individual, unless otherwise authorized bylaw. 3 if the contracting agency receives a complaintor is',
15344:'notified thatthe administrator of the wage and hour division has receiveda complaint, the contractingofficer shall report, within 14 days, to',
15345:'the department of labor,wage and hour division,officeof government contracts,200 constitution avenuen.w., room s3006, washington,d.c. 20210, allof the following information that',
15346:'is available without conducting an investigation: i the complaint or description of the alleged violation. iiavailable statements by theemployee, contractor,or',
15347:'any other person regardingthe alleged violation. iii evidence that clause 52.22262, paid sick leave under executive order 13706, was included',
15348:'in the contract. iv information concerning known settlement negotiations between the parties, if applicable. v any other relevant facts known',
15349:'to the contracting officer orother information requested by the wage and hour division. 22.2109 federal acquisition regulation c investigations. complaints',
15350:'will be investigated bythe administrator of the wage and hour division, if warranted, in accordance with the procedures in 29',
15351:'cfr 13.43. d remedies and sanctions. 1 withholding or suspending payment. thecontracting officer shall, upon his orher own action orupon',
15352:'writtenrequest of theadministratorof the wageandhour division– i awithholdorcausetobewithheldfromthecontractorunderthecontractcoveredbythee.o. oranyother federalcontract with the samecontractor, so much of the accrued payments oradvances',
15353:'asmay be considered necessary to pay employees the full amount owed to compensate for any violation of e.o. 13706 or',
15354:'29 cfr part 13; and b in the event of any suchviolation, the contracting agencymay, after authorization or by directionof',
15355:'the administrator of the wage and hour division and writtennotification tothe contractor, take action to cause suspension of any further',
15356:'payment, advance, or guarantee of funds until such violations have ceased; or iitake action to cause suspension of any furtherpayment,',
15357:'advance, orguarantee of funds to a contractor that has failed to make available for inspection, copying, and transcription any of',
15358:'the records identified in 29 cfr 13.25. 2 civil actions to recover greater underpayments than those withheld. i if the',
15359:'payments withheld under 29 cfr 13.11c are insufficientto reimburse all monetary relief due, orif there are no payments towithhold, the',
15360:'departmentof labor, following a final orderof the secretary of labor, may bring an action against the contractorin any court of',
15361:'competent jurisdiction to recover the remaining amount. ii the department of labor shall, to the extent possible, pay any sums',
15362:'it recovers in this manner directly to the employees who suffered the violationsof 29 cfr 13.6a or b. iii any',
15363:'sum not paid to an employee because of inability to do so within 3 years shall be transferred into the',
15364:'treasury of the united states as miscellaneous receipts. 3 termination. contracting officers mayconsider the failure of a contractor to comply',
15365:'with the requirements of e.o. 13706 or 29 cfr part 13 as grounds for termination for default or cause. 4',
15366:'debarment. i the department of labor may initiate debarment proceedings under 29 cfr 13.44d and 29 cfr 13.52whenever a contractor',
15367:'is found to have disregarded its obligations under e.o. 13706 or 29 cfr part 13. iicontracting officers shall consider notifying',
15368:'theagency suspending and debarring official in accordance with agency procedures when a contractor commits significant violations of contract terms and',
15369:'conditions related to this subpart see subpart 9.4. 5 remedies for interference. iwhen the administratorof the wageand hour division determines',
15370:'that a contractor has interfered with an employees accrual or use of paid sick leave in violation of 29 cfr',
15371:'13.6a, the administrator of the wage and hourdivision will notify the contractor and therelevant contractingagency of the interference and request',
15372:'that the contractor remedy the violation. iiif the contractor does not remedy the violation, theadministrator of the wage andhourdivision shall',
15373:'directthe contractor to provide any appropriate reliefto theaffected employees in the investigative findings letter issued pursuantto 29 cfr 13.51. such',
15374:'relief may include– a any pay and/or benefits denied or lost by reason of the violation; b other actual monetary',
15375:'losses sustained as a direct result of the violation; or c appropriate equitable or other relief. iii payment of liquidated',
15376:'damages in an amount equaling any monetary relief may also be directed unless such amount is reduced bythe administrator of',
15377:'the wage and hour division because theviolation wasin good faith and the contractor had reasonable grounds for believing it had',
15378:'not violated the e.o. or 29 cfr part 13. iv the administrator ofthe wage and hourdivision may additionally direct thatpaymentsdueon',
15379:'the contract or any other contract between the contractor and the federal government be withheld as may be necessary to',
15380:'provide any appropriate monetary relief. upon the final order of the secretary of labor that monetary relief is due, the',
15381:'administrator of thewage and hour division may direct therelevant contracting agency to transfer the withheldfundsto the department of labor for',
15382:'disbursement. 6 remedies for discrimination.i when the administrator of the wage and hour division determines thata contractor has discriminated against',
15383:'an employee in violation of 29 cfr 13.6b, theadministrator of the wage andhour division will notify the contractor and the',
15384:'relevant contracting agency of the discrimination and request that the contractor remedy the violation. iiif the contractor does not remedy',
15385:'the violation, theadministrator of the wage andhourdivision shall directthe contractor to provide appropriate relief to theaffected employees in the investigative',
15386:'findings letter issued pursuant to 29 cfr 13.51. such relief may include, but is not limited to– a employment; 22.2110',
15387:'b reinstatement; c promotion; d restoration of leave, or lost pay and/or benefits. iii payment of liquidated damages in an',
15388:'amount equaling any monetary relief may also be directed unless such amount is reduced bythe administrator of the wage and',
15389:'hour division because theviolation wasin good faith and the contractor had reasonable grounds for believing the contractor had not violated',
15390:'the e.o. or 29 cfr part 13. iv the administrator ofthe wage and hourdivision may additionally direct thatpaymentsdueon the contract',
15391:'or any other contract between the contractor and the federal government be withheld as may be necessary to provide any',
15392:'appropriate monetary relief. upon the final order of the secretary of labor that monetary relief is due, the administrator of',
15393:'thewage and hour division may direct therelevant contracting agency to transfer the withheldfundsto the department of labor for disbursement. 7',
15394:'recordkeeping. when a contractor fails to make, maintain, or protect records; or produce records when requested by authorized representatives ofthe',
15395:'administrator of the wage and hour division,or otherwise comply with the requirements of 29 cfr 13.25 in violation of 29',
15396:'cfr 13.6c, the administrator ofthe wage and hour division will requestthat the contractor remedy the violation. if the contractor fails',
15397:'to produce required records upon request,the contracting officer shall, uponhisor her own actionor upon direction of anauthorized representative ofthe department',
15398:'of labor, take such action as may be necessary to cause suspension of any further payment, advance, or guarantee of',
15399:'funds on the contract until such time as the violations are discontinued. e inclusion of contract clause. ifa contractingagency fails',
15400:'to include the clause at far 52.22262 in a contract to which the e.o. applies, the contractingofficer, on his or',
15401:'her own initiative or within15 days of notification by anauthorized representative of the department of labor,shallincorporatethe contract clausein the contractretroactive',
15402:'to commencement of performance under the contract through the exercise of any and all authority that may be needed including,',
15403:'where necessary, its authority to negotiate oramend, itsauthority topayany necessary additional costs, and its authority under any contract provision authorizing',
15404:'changes, cancellation, and termination. 22.2110 contract clause. insert the clause at 52.22262, paid sick leave under executive order 13706, in',
15405:'solicitations and contracts that include the clause at 52.2226, construction wage rate requirements, or 52.22241, service contract labor standards, where',
15406:'work is to be performed, in whole or in part, in the united states the 50 states and the district',
15407:'of columbia. this page intentionally left blank. 22.196 part 23 environment, sustainable acquisition, and material safety sec. 23.000 scope. subpart',
15408:'23.3 hazardous material 23.001 definitions. identification, material safety data, 23.002 policy. and notice of radioactive materials 23.300 scope of subpart.',
15409:'subpart 23.1 sustainable 23.301 definition. products and services 23.302 hazardous material identification and notice 23.100 scope of subpart. of material',
15410:'safety data. 23.101 definitions. 23.303 notice of radioactive materials. 23.102 authorities. 23.304 contract clauses. 23.103 policy. 23.104 general procedures. subpart',
15411:'23.4 pollution prevention, 23.105 exceptions. environmental management 23.106 exemptions. systems, and waste reduction 23.107 statutory purchasing programs. 23.400 scope of',
15412:'subpart. 23.1071 products containing recovered materials. 23.401 definitions. 23.1072 biobased products. 23.402 authorities. 23.1073 energyconsuming products and water23.403 emergency planning',
15413:'and toxic release consuming products. reporting. 23.1074 products that contain, use, or are 23.404 environmental management systems. manufactured with ozonedepleting',
15414:'23.405 waste reduction program. substances or products that contain 23.406 contract clauses. or use high global warming potential hydrofluorocarbons. subpart',
15415:'23.5 greenhouse gas emissions 23.108 required environmental protection agency 23.500 scope of subpart. purchasing programs. 23.501 policy. 23.1081 waterefficient products.',
15416:'23.502 solicitation provision. 23.1082 chemicallyintensive products. 23.1083 products and services that are subject to subpart 23.6 reserved epa recommendations of',
15417:'specifications, standards, and ecolabels. subpart 23.7 reserved 23.109 solicitation provisions and contract clauses. subpart 23.8 reserved subpart 23.2 energy savings',
15418:'performance contracts subpart 23.9 reserved 23.200 scope. 23.201 authorities. subpart 23.10 reserved 23.202 policy. this page intentionally left blank. subpart',
15419:'23.1 sustainable products and services 23.101 23.000scope. this part prescribes acquisition policies and procedures supporting the governments program to protect',
15420:'and improve the quality of the environment, to foster markets for sustainable products and services, and to ensure proper handling',
15421:'and notification of hazardous materials. 23.001definitions. as used in this part environmental means environmental aspects of internal agency operations and',
15422:'activities, including those aspects related to energy and transportation functions. greenhouse gas means carbon dioxide, methane, nitrous oxide, hydrofluorocarbons, perfluorocarbons,',
15423:'nitrogen trifluoride, or sulfur hexafluoride. toxic chemical means a chemical or chemical category listed in 40 cfr 372.65. 23.002 policy.',
15424:'in accordance with section 208a of executive order 14057, catalyzing clean energy industries and jobs through federalsustainability,agencies shall reduceemissions, including',
15425:'greenhouse gas emissions; promoteenvironmental stewardship; support resilient supply chains; drive innovation; and incentivize markets for sustainable products and services. subpart',
15426:'23.1 sustainable products and services 23.100scope of subpart. this subpart provides policies and procedures for procuring sustainable products and services.',
15427:'this subpart applies to all contract actions, including those using part 12 procedures for the acquisition of commercial products, including',
15428:'commercially availableofftheshelf cots items, and commercial services and acquisitions valued at or below the micro purchase threshold. 23.101definitions. as used',
15429:'in this subpart— contract action means any oral or written action that results in the purchase, rent, or lease of',
15430:'supplies or equipment, services, or construction. environmental protection agency epadesignated item means a product that is or can be made',
15431:'with recovered material — 1 that is listed by epain a procurementguideline 40 cfr part 247; and 2 for which',
15432:'epahas provided recommended recovered material content levels and other purchasing recommendations in a related recovered materials advisory notice rman available',
15433:'at https://www.epa.gov/smm/ regulatorybackgroundcomprehensiveprocurementguidelineprogramcpgrman. global warming potential means how much a given mass of a chemical contributes to global warming over',
15434:'a given time period compared to the same mass of carbon dioxide. carbon dioxides global warming potential is defined as',
15435:'1.0. high global warming potential hydrofluorocarbons means any hydrofluorocarbons in a particular end use for which epas significant new alternatives',
15436:'policy snap program hasidentified other acceptable alternatives that have lower global warming potential. the snap list of alternatives is found',
15437:'at 40 cfr part 82, subpart g, with supplemental tables of alternatives available at https://www.epa.gov/snap/. hydrofluorocarbons means compounds that only',
15438:'contain hydrogen, fluorine, and carbon. ozonedepleting substance means any substancethe epa designates in 40 cfr part 82 as— 1 class',
15439:'i, including, but not limited to, chlorofluorocarbons, halons, carbon tetrachloride, and methyl chloroform; or 2 class ii, including, but not',
15440:'limited to, hydrochlorofluorocarbons. united states, as defined in the executive office ofthe presidents office of management and budget, council on',
15441:'environmental quality, and climate policyoffice memorandum m2206, when used in a geographical sense means— 1 the fifty states; 2 the',
15442:'district of columbia; 3 the commonwealths of puerto rico and the northern mariana islands; 4 the territories of guam, american',
15443:'samoa, and the united states virgin islands;and 5 associated territorial waters and airspace. federal acquisition regulation u.s. department of agriculture',
15444:'usdadesignated product category means a generic grouping of products that are or can be made with biobased materials— 1 that',
15445:'are listed by usda in a procurement guideline 7 cfr part 3201, subpart b; and 2 for which usda has',
15446:'provided purchasing recommendations available at https://www.biopreferred.gov. 23.102authorities. a section 208 of executive order 14057,catalyzing clean energy industries and jobs through',
15447:'federal sustainability, dated december 8, 2021. b paragraphgof section i of the executive office of the presidents office of managementand',
15448:'budget, council on environmental quality, and climate policyoffice memorandum m2206, catalyzing clean energy industries and jobs through federal sustainability, dated',
15449:'december 8,2021. c implementing instructions for executive order 14057, catalyzingclean energy industriesandjobsthrough federal sustainability, dated august 2022. d the authorities',
15450:'referenced in 23.107 for statutory purchasing programs. 23.103 policy. a agencies shall procure sustainable products and services as defined in',
15451:'2.101 to the maximum extent practicable. 1 procuring sustainable products and services is considered practicable, unless the agency cannot acquire',
15452:'products or services— i competitively within a reasonable performance schedule; ii that meet reasonable performance requirements; or iii at a',
15453:'reasonable price see 23.103a2. 2 when considering whether the price of a sustainable product is reasonable, agencies should consider whether',
15454:'theproduct is costeffective over the life ofthe product. for energy star®or federal energy management program fempdesignated products, a price isreasonable',
15455:'if it is costeffective over the life of the product taking energy cost savings into account 42 u.s.c. 8259bb2. lifecycle',
15456:'cost savings tools for energyefficient products areavailableat https://www.energystar.gov/buildings/saveenergycommercialbuildings/wayssave/energyefficientproducts and https:// www.nrel.gov/analysis/techlcoe.html. b when procuring sustainable products and services, agencies shall—',
15457:'1 ensure compliance with applicable statutory purchasing program requirements see 23.107; and 2 prioritize multiattribute sustainable products and services see',
15458:'23.104c2. c regarding products under contract actions for services or construction, the contractor is required to provide products that meet',
15459:'the definition of sustainable products and services at 2.101, if the products are— 1 delivered to the government; 2 furnished',
15460:'by the contractor for use by the government; 3 incorporated into the construction of a public building or public work;',
15461:'or 4 acquired by the contractor for use in performing services under a government contract where the cost of the',
15462:'products is a direct cost to a government contract versus costs which are normally applied to a contractors general and',
15463:'administrative expenses or indirect costs. 23.104 generalprocedures. a maximum extent practicable. if the requiring activity submits a written justification addressing',
15464:'the reasons described in 23.103a1, thecontracting officer may consider it not practicable to procure sustainableproducts or services. a written justification',
15465:'maybe for a specific productor service orat the lineitem or contract level. the contracting officer shall maintain the written justification',
15466:'in the contract file. b identification. 1 except as provided in paragraph b2of this section, the contracting officer shall ensure',
15467:'the solicitationand contract identifies— i the sustainable products and services, including the purchasing program and type of product or service,',
15468:'that are applicable to the acquisition, as identified by the requiring activity; and ii any products and services that are',
15469:'not subject to the requirements of this subpart and the clause at 52.22323, sustainable products and services, based on the',
15470:'written justification under paragraph a of this section, an exception at 23.105, or an exemption at 23.106. subpart 23.1 sustainable',
15471:'products and services 23.106 2 the requirement in paragraph b1 of this section does not apply if the justification, exception,',
15472:'or exemption covers the entirety of the contract action requirements. c prioritization. agencies shall prioritize sustainable products and services as',
15473:'follows: 1 procure products and services that meet applicable statutory purchasing program requirements see 23.107. when both an epadesignated item',
15474:'see 23.1071 and a biobased product in a usdadesignated product category see 23.1072 could be used for the same purposes,',
15475:'and there isnot an epadesignateditem that is also a biobased product ina usda designated product categorythat meets theagencysneeds, procure theepadesignated',
15476:'item. 2 consistent with other statutory procurement requirements, prioritize multiattribute sustainable products and services, which are those that meet applicable',
15477:'statutory purchasing program requirements see 23.107 and one or more required epa purchasing programssee 23.108. 3 if nostatutory purchasing program',
15478:'requirements apply, procure sustainableproducts and services that meet required epa purchasing program requirements see 23.108. d resource. the green procurement',
15479:'compilation gpc available at https://sftool.gov/greenprocurement provides a comprehensive list of sustainable products and services and other related sustainable acquisition guidance.',
15480:'in addition to the resources identified for each purchasing program listed in 23.107 and 23.108, agencies should consult the gpc',
15481:'when determining which purchasing programs apply to a specific product or service. 23.105exceptions. the following are excepted from the requirement',
15482:'to procure sustainable products and services: a contracts performed or supplies delivered outside of the united states, unless the agency',
15483:'head determines that such application is in the interest of the united states. b weapon systems; however, compliance withapplicable agency',
15484:'affirmative procurementprograms is requiredfor recovered materials per 23.1071 see 23.109b 42 u.s.c. 6962 and for alternatives for ozone depleting substances',
15485:'per 23.1074 see 23.109d 42 u.s.c. 7671l, unless a written justification exists as described at 23.104a 42 u.s.c. 6962c 1',
15486:'and 7 u.s.c. 8102a1b. c energyconsuming products or systems designed or procured for combator combatrelated missions arenot subject to the',
15487:'requirements in 23.1073 42 u.s.c. 8259ba5. d biobased products to be used in military equipment products or systems designed or',
15488:'procured for combat or combat related missions, spacecraft systems, or launch support equipment are not subject to the requirements in',
15489:'23.1072 7 cfr 3201.3e. 23.106exemptions. a the director of national intelligence may exempt an intelligence activity of the united states',
15490:'and related personnel, resources, and facilities to the extent the director determines necessary to protect intelligence sources and methods from',
15491:'unauthorized disclosure. b the head of an agency may exempt the following: 1 particular agency activities and related personnel, resources,',
15492:'and facilities when it is in the interest of national security, toprotect intelligence sources and methods from unauthorized disclosure,or where',
15493:'necessary to protect undercover law enforcement operations from unauthorized disclosure. the agency shall notify the chair of the council on',
15494:'environmental quality ceq in writing within 30 days of issuance of the exemption under this paragraph b1. 2 on an',
15495:'individual or class basis, any manned and unmanned vehicle, vessel, aircraft, or nonroad equipment that is used in combat support,',
15496:'combat service support, military tactical or relief operations, or training for such operations or spaceflight vehicles, including associated groundsupport equipment.',
15497:'c contracting officers are encouraged,but not required, to procure sustainableproducts and services if the head of theagency determines the supplies',
15498:'or servicesare tobe usedto facilitate defense against or recovery fromcyber, nuclear, biological, chemical, or radiological attack; to facilitate provision of',
15499:'international disaster assistance; or to support response to an emergencyor major disaster. d the head of the agency may submit',
15500:'to the president, through the chair of ceq, a request for an exemption of an agency activity,andrelated personnel, resources, and',
15501:'facilitiesfrom this subpart for any reasonnot otherwise addressedin this section. federal acquisition regulation 23.107 statutory purchasing programs. agencies shall ensure',
15502:'compliance with statutory purchasing program requirements described in 23.1071 through 23.1074. 23.1071products containing recovered materials. a authorities. the resource conservation',
15503:'and recovery act of 1976 rcra, 42 u.s.c. 6962, as implemented at 40 cfr part 247. b epa comprehensive procurement',
15504:'guidelines cpg program. underrcra, epa must designate items that are or can be made with recovered materials and must also',
15505:'recommend practices to assist procuring agencies in meeting their obligations. c applicability. 1 this sectionapplies to contractactions involving anepadesignated item,',
15506:'if— ithe price of the epadesignated item exceeds $10,000; or iithe aggregate amount paid for multiple purchases ofthe epadesignated item,',
15507:'or a functionally equivalent item, in the preceding fiscal year was $10,000 or more. 2 while micropurchases are included in',
15508:'determining the aggregate amount paid under paragraph c1 of this section, it is not necessary for an agency to track',
15509:'micropurchases when— i the agency anticipates the aggregate amount paid will exceed $10,000; or iithe agency intends to establish or',
15510:'continue anaffirmativeprocurement program as described in paragraphdof this section in the followingfiscalyear. d agency affirmative procurement program. an agencyshallestablishan affirmative',
15511:'procurementprogramforepadesignated items if the agencys purchases ofepadesignated items exceed the threshold set forth in paragraph c1 of this section. 1',
15512:'agency affirmative procurementprograms must include— i a recovered materials preference program; ii a program to promote the recovered materials preference',
15513:'program; iii a program for requiring reasonable estimates and certification of recovered material used in the performance of contracts, including',
15514:'apreaward certification that products will meet epa recommendations see 52.2234, recovered material certification, and either an estimate or a certification',
15515:'at contract completion see 52.2239, estimate of percentage of recovered material content for epadesignated items,and its alternate, as well asagency',
15516:'procedures for verification of estimates and certifications; iv annual reviewandmonitoringof the effectiveness of the affirmative procurement program; and v guidance',
15517:'for purchases of epadesignated items ator below the micropurchase threshold. 2 technical or requirements personnel andprocurement personnel are responsible for',
15518:'the preparation, implementation, and monitoring of affirmative procurement programs. 3 agencies have a period of 1 year to revise their',
15519:'affirmative procurement programs after thedesignation ofany new item byepa. e procedures. the following procedures apply when the thresholds set forth',
15520:'in paragraph c1 of this section are exceeded. 1 oncean item hasbeendesignated byepa, agencies shall purchase conforming products to the',
15521:'maximumextent practicable in accordance with 23.104a, unless a justification, exception, or exemption applies see 23.104a, 23.105, and 23.106, respectively. 2',
15522:'agencies may use their own specifications or commercial product descriptions when procuring products containing recovered materials; however, thecontract should specifythat',
15523:'the product is composed of the— i highest percentage of recovered materials practicable; or iiminimumcontent standards in accordance with epas',
15524:'rmans. 3 when acquiring products withrecoveredmaterial, the contracting officermay request information or dataon such products, including recycled content or related',
15525:'product standards see 11.301c. f resources. 1 for information on epadesignated items and associated minimum content standards, see https:// www.epa.gov/smm/comprehensiveprocurementguidelinecpgprogramproducts.',
15526:'2 contracting officersshouldalso consult their agencys affirmative procurement program for agencyspecific guidance. subpart 23.1 sustainable products and services 23.1073 23.1072biobased',
15527:'products. a authorities. 1 the farm security and rural investment act of 2002 fsria, 7 u.s.c. 8102, as implemented at',
15528:'7 cfr part 3201. 2 the energy policy act of 2005, public law 10958. b usda biopreferred ® program. the',
15529:'biopreferred program was created in the 2002 farm bill and is managed by the usda. the goal of the biopreferred',
15530:'program is to increase the purchase and use of biobased products as defined in 2.101 by agencies. c applicability. 1',
15531:'this section applies to contract actions involving a biobased product in a usdadesignated product category if— i the price of',
15532:'the biobased product exceeds $10,000; or ii the aggregate amount paid for multiple purchases of the biobased product, or for',
15533:'a functionally equivalent product, in the preceding fiscal year was $10,000 or more. 2 while micropurchases are included in determining',
15534:'the aggregate amount paid under paragraph c1 of this section, it is not necessary for an agency to track micropurchases',
15535:'when— i the agency anticipates the aggregate amount paid will exceed $10,000; or iithe agency intends to establish or continue',
15536:'anaffirmativeprocurement program in the following fiscal year. d agency affirmative procurement program. an agencyshallestablishan affirmative procurementprogramforbiobased products in usdadesignated product',
15537:'categories if the agencys purchases of such products exceed the threshold set forth in paragraph c1 of this section. 1',
15538:'agency affirmative procurementprograms must include— i a biobased products preference program; ii a program to promote the biobased products preference',
15539:'program; iii a program for requiring preaward certification that products meet usda recommendations see 52.2231, biobased product certification and reporting',
15540:'on biobased products used in performance of contracts see 52.2232, reporting of biobased products under service and construction contracts; and',
15541:'iv annual reviewandmonitoringof the effectiveness of the program. 2 technical or requirements personnel andprocurement personnel are responsible for the preparation,',
15542:'implementation, and monitoring of affirmative procurement programs. 3 agencies have a period of 1 year to revise their procurement programs',
15543:'after usda updates any usdadesignated product categories. e procedures. the following procedures apply when the thresholds set forth in paragraph',
15544:'c1 of this section are exceeded. 1 oncea biobased product is included in ausdadesignated product category, agenciesshallpurchase conforming products to',
15545:'the maximum extent practicable in accordance with 23.104a, unless a justification, exception, or exemption applies see 23.104a, 23.105, and 23.106,',
15546:'respectively. 2 agencies may use their own specifications or commercial product descriptions when procuring biobased products; however, the contractshouldspecify that',
15547:'the biobased product is composed of the— i highest percentage of biobased material practicable; or ii usdas recommended minimum contents',
15548:'standards. 3 when acquiring biobased products, the contracting officer may request informationor data on such products, including biobased content or',
15549:'related standards of the products see 11.301c. 4 agencies shall treat as eligible for the preference for biobased products, products',
15550:'from designated countries, as defined in 25.003, provided that those products— i meet the criteria for the definition of biobased',
15551:'product, except that the products need not meet the requirement that renewable agricultural materials or forestry materials in such product',
15552:'must be domestic; and ii otherwise meet all requirements for participation in the preference program. f resources. 1 for information',
15553:'on usdadesignated product categories and minimum content standards for biobased products, see https://www.biopreferred.gov. 2 contracting officersshouldalso consult their agencys affirmative',
15554:'procurement program for agencyspecific guidance. 23.1073energyconsuming products and waterconsumingproducts. a authorities. 1 energypolicy and conservation act 42 u.s.c. 6361a1. 23.1074',
15555:'federal acquisition regulation 2 nationalenergy conservation policy act 42 u.s.c. 8253, 8259b, and 8262g. 3 executive order 11912 of april',
15556:'13, 1976, delegations of authority under the energy policy and conservation act. 4 executive order 13221 of july 31, 2001,',
15557:'energyefficient standby power devices. b programs — 1 energystar® program. theenergy star® program isa voluntary productlabeling initiative that identifiesand promotes',
15558:'energy and water efficiency and the reduction of greenhouse gas emissions. this joint u.s. epa and department of energy program',
15559:'helpsbuyers save money and protect the environment through energyandwaterefficient products and practices. 2 federal energy management program femp. femp publishes',
15560:'acquisition guidance to help federal buyers meet requirementsforpurchasing energyefficient and waterefficient products. in addition,in product categoriesnot covered by theenergy star®',
15561:'program, fempsets efficiency requirements for product categories that have the potential to generate significant federal energysavings. c procedures. to the',
15562:'maximum extent practicable in accordance with 23.104a, unless a justification, exception, or exemption applies see 23.104a, 23.105, and 23.106, respectively—',
15563:'1 when acquiring energyand waterconsuming products listed in theenergy star® program or femp— iagencies shall purchase energy star®certifiedor fempdesignated products;',
15564:'and ii for products that consume power in a standby mode and are listed on femps low standby power devices',
15565:'product listing at https://www.energy.gov/eere/femp/lowstandbypowerproductlist, agencies shall— a purchase items that meet femps standby power wattage recommendation or document the reason',
15566:'for not purchasing such items; or b if femp has listed a product without a corresponding wattage recommendation, purchase items',
15567:'that use no more than one watt in their standby power consuming mode. when it is impracticable to meet the',
15568:'onewatt requirement, agencies shall purchase items with the lowest standby wattage practicable; and 2 when contracting for services or constructionthat',
15569:'will include the provision ofenergyand waterconsuming products, agencies shall specify products that comply with the applicable requirements in paragraph c1',
15570:'of this section. d resources. 1 for information on products underthe energystar® program, go to https://www.energystar.gov/ products. 2 for informationon',
15571:'energyefficient products,go to https://www.energy.gov/eere/femp/searchenergyefficientproducts. 3 for information on low standby power products, go to https://www.energy.gov/eere/femp/lowstandbypowerproduct purchasingrequirementsandcomplianceresources. 23.1074products that contain, use,',
15572:'orare manufactured with ozonedepleting substances or products that contain or usehigh global warming potential hydrofluorocarbons. a authorities. 1 title vi',
15573:'of the clean air act 42 u.s.c. 7671, et seq.. 2 section 706 of division d, title vii of the',
15574:'omnibus appropriations act, 2009 pub. l. 1118. 3 epa regulations, protection ofstratosphericozone 40 cfr part 82. b program. the epa',
15575:'snap program. c agency program s. agencies shall implement costeffective programsto minimize the procurement ofmaterials and substances that contribute to',
15576:'the depletion of stratospheric ozone and/or result in the use, release, or emission of high global warming potential hydrofluorocarbons. d',
15577:'procedures. agencies shall— 1 give preference to the procurement of acceptable alternative chemicals, products, and manufacturing processes that reduce overall',
15578:'risks to human health and the environment by minimizing— i the depletion of ozone in the upper atmosphere; and ii',
15579:'the potential use, release, or emission of high global warming potential hydrofluorocarbons; and 2 in preparing specifications and purchase descriptions',
15580:'and in the acquisition of products and services— i comply with the requirements of title vi of the clean air',
15581:'act; section 706 of division d, title vii of public law 1118; and 40 cfr 82.84a2 through5; ii substitute acceptable',
15582:'alternatives to ozonedepleting substances, as identified under 42 u.s.c. 7671k, to the maximum extent practicable, as provided in 40 cfr',
15583:'82.84a1, except in the case of class i substances being used for specified essential uses, as identified under 40 cfr',
15584:'82.4n; and subpart 23.1 sustainable products and services 23.109 iii unless a particular contract requires otherwise, specify that, when feasible,',
15585:'contractors shall use another acceptable alternative in lieu of a high global warming potential hydrofluorocarbon in products and services in',
15586:'a particular end use for which epas snap program has identified other acceptablealternatives that have lower global warming potential. e',
15587:'resource. refer to epas snap program website at https://www.epa.gov/snap for the list of alternatives found at 40 cfr part 82,',
15588:'subpart g, as well as supplemental tables of alternatives. 23.108 required environmental protectionagency purchasing programs. in accordance with 23.104c,contracting officers',
15589:'shall, after meeting statutorypurchasing program requirements in 23.107, purchase to the maximum extent practicable products and services that meet epa',
15590:'purchasing program requirements described in 23.1081 through 23.1083. 23.1081waterefficientproducts. a program. epas watersense® program makes it easyto find and select',
15591:'waterefficientproducts that can save water, energy,andmoney. watersense®labeledproducts arebacked by independent, thirdparty certificationand meet epas specificationsforwater efficiency and performance. b resource.',
15592:'for additional informationon watersense® products, see https://www.epa.gov/watersense/watersenseproducts. 23.1082chemicallyintensive products. a program. safer choice is epas label for products that contain',
15593:'safer chemicals. every chemical, regardlessof percentage, in asafer choicecertifiedproduct is evaluated through epas rigorous scientific processand onlythe safest ingredients are',
15594:'allowed. b resource. for information on safer choicecertified products, see https://www.epa.gov/saferchoice. 23.1083products and services thatare subject to epa recommendations of',
15595:'specifications, standards,and ecolabels. a program. the epaenvironmentally preferable purchasing eppprogram helps federal agenciesidentify and procure environmentally preferable products and services',
15596:'to meet zero emissions and other sustainable procurement goals by providing recommendations of specifications, standards, and ecolabels. the epp recommendations',
15597:'give preference to multiattribute or lifecycle based standards and ecolabels that address key environmental and human health impact areas and',
15598:'where productconformance is determinedby acompetent thirdparty certification body. b resource. for additional informationon epa recommendations of specifications, standards, and ecolabels,see',
15599:'https://www.epa.gov/greenerproducts/recommendationsspecificationsstandardsandecolabelsfederalpurchasing. 23.109 solicitation provisions and contract clauses. a general. insert the clause at 52.22323, sustainable products and services, in solicitations',
15600:'and contracts— 1 unless— i the requiring activity has provided a written justification that it is not practicable to procure',
15601:'sustainable products and services see 23.104a; ii an exception under 23.105 applies; or iii an exemption under 23.106 applies; and',
15602:'2 the scope of the written justification, exception, or exemption covers the entirety of the contract action requirements. b epadesignated',
15603:'items. except for the acquisition of cots items— 1 insert the provision at 52.2234, recovered material certification, in solicitations that',
15604:'require the delivery or specify the use of epadesignated items; and 2 insert the clause at 52.2239, estimate of percentage',
15605:'of recovered materialcontent for epadesignated items, in solicitations and contracts exceeding $150,000 thatare for,or specify theuse of, epadesignated items containing',
15606:'recovered materials. if technical personnel advise that estimates can be verified, use the clause with its alternate i. c biobased',
15607:'products in usdadesignated product categories. 1 insert the provision at 52.2231, biobased product certification, in solicitations, other than for acquisitions',
15608:'described at 23.105d, that— i require the delivery or specify the use of biobased products in usdadesignated product categories; or',
15609:'ii include the clause at 52.2232. federal acquisition regulation 2 insert the clause at 52.2232, reporting of biobased products under',
15610:'service and construction contracts, in service and construction solicitations and contracts, unless the contract will not involve the use of',
15611:'biobased products in usda designated product categories at https://www.biopreferred.gov or 7 cfr part 3201. d products containing ozonedepleting substances and',
15612:'hydrofluorocarbons. except for contracts for supplies that will be delivered outside the united states and its outlying areas, or contracts',
15613:'for services that will be performed outside the united states and its outlying areas, insert the following clauses: 1 52.22311,',
15614:'ozonedepleting substances and high global warming potential hydrofluorocarbons, in solicitations and contracts for irefrigeration equipment in product or service code',
15615:'psc 4110; ii air conditioning equipment psc 4120; iii clean agent fire suppression systems/equipment e.g., installed room flooding systems, portable',
15616:'fire extinguishers, aircraft/tactical vehicle fire/explosion suppression systems in psc 4210; iv bulk refrigerants and fire suppressants in psc 6830; v',
15617:'solvents, dusters, freezing compounds, mold release agents, and any other miscellaneous chemical specialty that may contain ozonedepleting substances or high',
15618:'global warming potential hydrofluorocarbons in psc 6850; vi corrosion prevention compounds, foam sealants, aerosol mold release agents, and any other',
15619:'preservative or sealing compound that may contain ozonedepleting substances or high global warming potential hydrofluorocarbons in psc 8030; vii fluorocarbon',
15620:'lubricants primarily aerosols in psc 9150; and viii any other manufactured end products that may contain or be manufactured with',
15621:'ozonedepleting substances. 2 52.22312, maintenance,service, repair, or disposal of refrigeration equipment andair conditioners, in solicitations and contracts that include the',
15622:'maintenance,service, repair, ordisposal of i refrigeration equipment, such as refrigerators, chillers, or freezers; or ii air conditioners, including air conditioning',
15623:'systems in motor vehicles. 3 52.22320, aerosols, in solicitations and contracts— i for products that may contain high global warming',
15624:'potential hydrofluorocarbons as a propellant, or as a solvent; or ii that involve maintenance or repair of electronic or mechanical',
15625:'devices. 4 52.22321, foams, in solicitations and contracts for— i products that may contain high global warming potential hydrofluorocarbons or',
15626:'refrigerant blends containing hydrofluorocarbons as a foam blowing agent, such as building foam insulation or appliance foam insulation; or ii',
15627:'construction of buildings or facilities. subpart 23.2 energy savings performance contracts 23.202 subpart 23.2 energy savings performance contracts 23.200scope. a',
15628:'this subpart prescribespolicies and procedures for using an energy savings performance contract to obtainenergyefficienttechnologies at government facilities withoutgovernmentcapital expense. b',
15629:'this subpart applies to acquisitions in the united states and its outlying areas. agencies conducting acquisitions outside of theseareas must',
15630:'use their best efforts to comply with this subpart. 23.201authorities. this subpart implements thenational energy conservation policy act 42 u.s.c.',
15631:'8287. 23.202 policy. a agencies should make maximum use ofthe authority provided in the national energy conservationpolicy act 42 u.s.c.',
15632:'8287 to use anenergy savings performancecontract espc,when lifecycle costeffective toreduce energy use and cost in the agencys facilities and operations.',
15633:'b 1underanespc,anagencycancontractwithanenergyservicecompanyforaperiodnottoexceed25years to improve energy efficiency inoneor more agency facilitiesat nodirect capital cost to the united states treasury. the energy',
15634:'servicecompanyfinances the capital costs of implementingenergy conservation measures and receives,in return, a contractually determined share of the cost savings that',
15635:'result. 2 except as provided in 10 cfr 436.34, espcs are subject to subpart 17.1. c to solicit and award',
15636:'an espc,the contracting officer— 1 must use the procedures, selection method, and terms and conditions provided in 10 cfr part',
15637:'436, subpart b; and 2 mayuse the “qualified list” of energy service companies established bythe department of energy and other',
15638:'agencies. d for procedures related tounsolicited proposals for energy savings performance contracts, see 15.603e. e for more information see https://energy.gov/eere/femp/energysavingsperformancecontractsfederalagencies.',
15639:'this page intentionally left blank. 23.22 subpart 23.3 hazardous material identification, material safety data, and notice of radioactive materials 23.304',
15640:'subpart 23.3 hazardous material identification, material safety data, and notice of radioactive materials 23.300scope of subpart. this subpart prescribes policies',
15641:'and procedures for the following: a acquiring deliverable items, other than ammunition and explosives, that require the furnishing of data',
15642:'involving hazardous materials. agencies may prescribe special procedures for ammunition and explosives. b providingnotification of radioactive materialsprior to delivery. 23.301definition.',
15643:'hazardous material is defined in the latest version of federal standard no. 313 federal standards are sold to the public',
15644:'and federal agencies through: general services administration, specifications unit 3fbpw, 7th & d sts.,sw., washington, dc 20407. 23.302hazardous material identification',
15645:'and notice of material safety data. a the occupational safety and health administration osha is responsible for issuing and administering',
15646:'regulations that require government activities to apprise their employees of 1 all hazards to which they may be exposed; 2',
15647:'relative symptoms and appropriate emergency treatment; and 3 proper conditions and precautions for safe use and exposure. b to accomplishthis',
15648:'objective, it is necessary to obtaincertain information relative tothe hazards which maybe introduced into the workplace bythe supplies being acquired.',
15649:'accordingly,offerorsandcontractors are required tosubmit hazardous materials data whenever the supplies being acquired are identified as hazardous materials. the latest version',
15650:'of federal standard no. 313 material safety data sheet, preparation and submission of includes criteria for identification of hazardous materials.',
15651:'c hazardous material data material safety data sheets msds are required 1 as specified in the latest version of federal',
15652:'standard no. 313 including revisions adopted during the term of the contract; 2 for any other material designated by a',
15653:'government technical representative as potentially hazardous and requiring safety controls. d msds’s must besubmitted 1 by theapparent successful offerorprior to',
15654:'contract award if hazardous materials are expected to be used during contract performance. 2 for agencies other than thedepartment ofdefense,',
15655:'again by the contractor with the supplies at the time of delivery. e thecontracting officer shall provide a copy of',
15656:'all msds’s received tothe safetyofficer or other designated individual. 23.303notice of radioactive materials. a the clause at 52.2237, notice of',
15657:'radioactivematerials,requiresthe contractor to notifythe contracting officerprior to delivery of radioactive material. b upon receipt ofthe notice, thecontracting officer shall notify',
15658:'receiving activities so that appropriate safeguardscan be taken. c theclause permits the contractingofficer to waive the notification ifthe contractor states',
15659:'thatthe notificationon prior deliveries isstill current. the contracting officer may waive the noticeonlyafter consultationwith cognizant technical representatives. d the contractingofficer',
15660:'is required to specify in the clause at 52.2237, the number of days in advance of delivery that the contractor',
15661:'will provide notification. the determination of the number of days should be done in coordination with the installation/facility radiation protection',
15662:'officerrpo. the rpo is responsible for ensuring the properlicense, authorization, or permit is obtained prior to receipt of the radioactive',
15663:'material. 23.304contract clauses. a 1thecontractingofficershallinserttheclauseat 52.2233, hazardous material identification and material safety data, in solicitations and contracts if the contract',
15664:'will require the delivery of hazardous materials as defined in 23.301. federal acquisition regulation 2 if the contract is awarded',
15665:'by anagency other than the department of defense, thecontracting officer shall use the clause at 52.2233 with its alternate i.',
15666:'b the contractingofficer shall insertthe clause at 52.2237, notice of radioactive materials, in solicitations and contracts for supplies that are',
15667:'or that contain— 1 radioactive material requiring specific licensing under regulations issued pursuantto the atomic energy act of 1954; or',
15668:'2 radioactive material not requiring specific licensing in which the specific activity is greater than 0.002 microcuries per gram or',
15669:'the activity per item equals or exceeds 0.01 microcuries. such supplies include, but are not limited to, aircraft, ammunition, missiles,',
15670:'vehicles, electronic tubes, instrument panel gauges, compasses, and identification markers. subpart 23.4 pollution prevention, environmental management systems, and waste reduction',
15671:'23.406 subpart 23.4 pollution prevention, environmental management systems, and waste reduction 23.400scope of subpart. this subpart prescribes policies and procedures',
15672:'for— a obtaining information needed for government compliance with righttoknow laws and pollution prevention requirements; b contractor compliance with environmental',
15673:'management systems; and c ensuring waste reduction at federal facilities. 23.401definitions. as used in this subpart— federal agency means an',
15674:'executive agency see 2.101. federal facility means a facility owned or operated by a federal agency in the customs territory',
15675:'of the united states. 23.402authorities. a emergency planning and community righttoknow act of 1986, 42 u.s.c. 1100111050 epcra. b pollution',
15676:'prevention act of 1990, 42 u.s.c. 1310113109 ppa. c executive order 14057, catalyzing clean energy industries and jobs through federalsustainability,',
15677:'dated december 8, 2021. 23.403 emergency planning and toxic release reporting. a federal facilities are requiredto comply withthe emergencyplanning and',
15678:'toxic release reporting requirements in epcra and ppa. b pursuant to epcra, ppa, and any agency implementing procedures, everycontract that',
15679:'provides for performance on a federal facility shall require the contractor to provide information necessary for the federal agency to',
15680:'comply with paragraph a of this section. 23.404 environmental management systems. agencies may implement an environmental management system ems when',
15681:'it aligns with and supports its agencys mission needs and facilitates implementation and progress toward e.o. 14057 goals. if an',
15682:'agency uses an ems for contractor operation ofgovernmentownedor leased facilities or vehicles, and contractor activities affect theagencysenvironmental management aspects— a',
15683:'ems requirements shall be included in contracts to ensure proper implementation and execution of ems roles and responsibilities; and b',
15684:'the contractingofficer shall— 1 specify the ems directives with which the contractor must comply; and 2 ensure contractor compliance to',
15685:'the same extent as the agency would be required to comply if the agency operated the facilities or vehicles. 23.405',
15686:'waste reduction program. to support pollution prevention and agencyefforts to minimize waste in accordance with e.o. 14057, contracts for contractor',
15687:'operation of governmentowned or leased facilities or for support services at governmentowned or operated facilities shall require the contractorto promotecosteffective',
15688:'waste reduction in all operations andfacilities covered by the contract. 23.406contract clauses. a insert the clause at 52.2235, pollution prevention',
15689:'and righttoknow information, in solicitations and contracts that provide for performance, in wholeor in part,on a federal facility. b insert',
15690:'the clause at 52.22319,compliancewith environmental management systems, in solicitations and contracts for contractor operation of governmentowned or leased facilities or',
15691:'vehicles located in the united states if an agency uses anemsand contractor activities affect aspects of theagencysenvironmental management. for facilities',
15692:'located outside the united states, the agency head may determine that use of the clause is in the best interest',
15693:'of the government. federal acquisition regulation c insert the clause at 52.22310, waste reduction program, in solicitations and contracts for',
15694:'contractoroperation of governmentowned or leased facilities and all solicitations and contracts for support services at governmentowned or operated facilities. subpart',
15695:'23.5 greenhouse gas emissions 23.502 subpart 23.5 greenhouse gas emissions 23.500scope of subpart. this subpart addresses public disclosure of greenhouse',
15696:'gas emissions and reduction goals. 23.501 policy. in order tobetter understand both direct and indirect greenhouse gas emissions that result',
15697:'fromfederal activities, offerors that are registered in the system for award managementsam andreceived $7.5 million or more in federal contract',
15698:'awards in the prior federal fiscal year are required to— a represent whether they publicly disclose greenhouse gas emissions; b',
15699:'represent whether they publicly disclose a quantitative greenhouse gas emissions reduction goal; and c provide the website for any such',
15700:'disclosures. 23.502 solicitation provision. the provision at 52.22322, public disclosure of greenhouse gas emissions and reduction goals—representation, is required only',
15701:'when 52.2047, system for award management, isincluded in the solicitation see 52.2048, annual representations and certifications. this page intentionally left',
15702:'blank. 23.52 subpart 23.6 reserved subpart 23.6 reserved this page intentionally left blank. 23.62 subpart 23.7 reserved subpart 23.7 reserved',
15703:'this page intentionally left blank. 23.72 subpart 23.8 reserved subpart 23.8 reserved this page intentionally left blank. 23.82 subpart 23.9',
15704:'reserved subpart 23.9 reserved this page intentionally left blank. 23.92 subpart 23.10 reserved subpart 23.10 reserved this page intentionally left',
15705:'blank. 23.102 part 24 protection of privacy and freedom of information sec. 24.000 scope of part. subpart24.1 protection of individual',
15706:'privacy 24.101 definitions. 24.102 general. 24.103 procedures. 24.104 contract clauses. subpart24.2 freedom of information act 24.201 24.202 authority. prohibitions. 24.203',
15707:'policy. 24.301 24.302 subpart 24.3 privacy training privacy training. contract clause. this page intentionally left blank. subpart 24.1 protection of',
15708:'individual privacy 24.104 24.000scope of part. this part prescribes policies and procedures that apply requirements of the privacy act of1974',
15709:'5 u.s.c. 552a the act and omb circularno.a130, december 12,1985, to government contracts and cites the freedom of information act',
15710:'5 u.s.c.552, as amended. subpart 24.1 protection of individual privacy 24.101definitions. as used in this subpart agency means any executive',
15711:'department, military department, government corporation, government controlled corporation,or other establishment in the executive branch of the government including the executive',
15712:'office ofthe president, orany independent regulatory agency. individual means a citizen of the united states or an alien lawfully admitted',
15713:'for permanent residence. maintain means maintain, collect, use, or disseminate. operation of a system of records means performance of any',
15714:'of the activities associated with maintaining the system of records, including the collection, use, and dissemination of records. personally identifiable',
15715:'information means information thatcan be used to distinguish or trace an individualsidentity, either alone or when combined with other information',
15716:'that is linkedor linkable to a specific individual. see officeof management and budget omb circular no. a130, managing federal information',
15717:'as a strategic resource. record means any item, collection, or grouping of information about an individual that is maintained byan',
15718:'agency, including, butnot limited to, education, financial transactions, medical history, and criminal or employment history, and that contains the individual’s',
15719:'name, or theidentifying number, symbol, orotheridentifying particular assigned tothe individual, such as a fingerprint or voiceprint or a photograph. system',
15720:'of records on individuals means a group of any records under the control of any agency from which information is',
15721:'retrieved by the name of the individualor by someidentifying number,symbol, or otheridentifying particular assigned tothe individual. 24.102general. a the act',
15722:'requires that when an agency contracts for the design, development, or operation of a system of records on individuals on',
15723:'behalf of the agency to accomplish an agency function the agency must apply the requirements of the act to the',
15724:'contractor and its employees working on the contract. b an agency officeror employee may be criminallyliable for violations ofthe act.',
15725:'whenthe contract providesfor operation of a system of records on individuals, contractors and their employees are considered employees of the',
15726:'agency for purposes of the criminal penalties of the act. c if a contract specifically provides for the design, development,',
15727:'or operation of a system of records on individuals on behalf of an agency to accomplish an agency function, the',
15728:'agency must apply the requirements of the act to the contractor and its employees working on the contract. the system',
15729:'of records operated under the contract is deemed to be maintained by the agency and is subject to the act.',
15730:'d agencies, which within the limits of their authorities, fail to require that systems of records on individuals operated on',
15731:'their behalf under contracts be operated in conformance with the act may be civilly liable to individuals injured as a',
15732:'consequence of any subsequent failure to maintain records in conformance with the act. 24.103 procedures. a thecontracting officer shall review',
15733:'requirements to determine whether the contract willinvolve thedesign, development, or operation of a system of records on individuals to accomplish',
15734:'an agency function. b if oneor more of thosetasks will berequired,the contracting officershall 1 ensure that the contract work statement',
15735:'specifically identifies the system of records on individuals and the design, development, or operation work to be performed; and 2',
15736:'make available, in accordance with agency procedures, agency rules and regulation implementing the act. 24.104contract clauses. when the design, development,',
15737:'or operation of a system of records on individuals is required to accomplish an agency function, the contracting officer shall',
15738:'insert the following clauses in solicitations and contracts: federal acquisition regulation a the clause at 52.2241, privacy act notification. b',
15739:'the clause at 52.2242, privacy act. subpart 24.2 freedom of information act 24.203 subpart 24.2 freedom of information act 24.201',
15740:'authority. the freedom of information act 5 u.s.c.552, as amended provides that information is to be made available to the',
15741:'public either by a publication in the federal register; b providing an opportunity to read and copy records at convenient',
15742:'locations; or c upon request, providing a copy of a reasonably described record. 24.202 prohibitions. a a proposal in the',
15743:'possession or control of the government, submitted in response to a competitive solicitation, shall not be made available to any',
15744:'person under the freedom of information act. this prohibition does not apply to a proposal, or any part of a',
15745:'proposal, that is set forth or incorporated by reference in a contract between the government and the contractor that submitted',
15746:'the proposal. see 10 u.s.c. 3309 and 41 u.s.c. 4702. b no agency shall disclose any information obtained pursuant to',
15747:'15.4033b that is exempt from disclosure under the freedom of information act. see 10 u.s.c. 3705c3 and 41 u.s.c. 3505b3.',
15748:'c a dispute resolution communication that is between a neutral person and a party to alternative dispute resolution proceedings, and',
15749:'that may not be disclosed under 5 u.s.c.574, is exempt from disclosure under the freedom of information act 5 u.s.c.',
15750:'552b3. 24.203 policy. a the act specifies, among other things, how agencies shall make their records available upon public request,',
15751:'imposes strict time standards for agency responses, and exempts certain records frompublic disclosure. each agency’s implementation of these requirements is',
15752:'located in its respective title of the code of federal regulations and referenced in subpart 24.2 of its implementing acquisition',
15753:'regulations. b contracting officersmay receive requests for records that may be exempted frommandatorypublic disclosure. the exemptions most often applicable are',
15754:'those relating to classified information, to trade secrets and confidential commercial or financial information, to interagency or intraagency memoranda, or',
15755:'to personal and medical information pertaining to an individual. other exemptions include agency personnel practices, and law enforcement. since these',
15756:'requests often involve complex issues requiring an indepth knowledge of a large and increasing body of court rulingsandpolicyguidance, contracting officers',
15757:'are cautioned to comply with the implementing regulations of their agency and to obtain necessary guidance from the agency officials',
15758:'having freedomof information act responsibility. if additional assistanceis needed, authorized agency officials may contact thedepartment ofjustice, office of informationandprivacy. a',
15759:'freedom of information act guide and other resources are available at the department of justice website under foia reference materials:',
15760:'http://www.usdoj.gov/oip. this page intentionally left blank. 24.22 subpart 24.3 privacy training 24.301privacy training. a contractorsare responsible for ensuring that initial',
15761:'privacy training, and annual privacytraining thereafter, is completed by contractor employees who 1 have access to a system of records;',
15762:'2 create, collect, use, process, store, maintain, disseminate, disclose, dispose, or otherwise handle personally identifiable information on behalf of the',
15763:'agency; or 3 design, develop, maintain, or operate asystemof records seefar subpart 24.1 and 39.105. b privacy training shall address',
15764:'the key elements necessary for ensuring the safeguarding of personally identifiable information or a system of records. the training shall',
15765:'be rolebased, provide foundational as well as more advanced levels of training, and have measures in place to test the',
15766:'knowledge level of users. at a minimum, the privacy training shall cover 1 the provisions of the privacy act of',
15767:'1974 5 u.s.c. 552a, including penalties for violations of the act; 2 the appropriate handling and safeguarding of personally identifiable',
15768:'information; 3 the authorizedandofficial use of a system of records oranyotherpersonally identifiable information; 4 the restriction on the use of',
15769:'unauthorized equipment to create, collect, use, process, store, maintain, disseminate, disclose, dispose, or otherwise access personally identifiable information; 5 the',
15770:'prohibition against the unauthorized use of a system of records or unauthorized disclosure, access, handling, or use of personally identifiable',
15771:'information; and 6 procedures to be followed in the event of a suspected or confirmed breach of a system of',
15772:'records or unauthorized disclosure, access,handling,or use of personallyidentifiable information see office of management and budget guidance for preparing for and',
15773:'responding to a breach of personally identifiable information. c the contractor may provide its own training or use the training',
15774:'of another agency unless the contracting agency specifies that only its agencyprovided training is acceptable see 24.302b. d the contractor',
15775:'is required to maintain and, upon request, to provide documentation of completion of privacy training for all applicable employees. e',
15776:'no contractor employee shall be permitted to have or retain access to a system of records, create, collect, use, process,',
15777:'store, maintain, disseminate, disclose, or dispose, or otherwise handle personally identifiable information, or design, develop, maintain, or operate a system',
15778:'of records, unless the employee has completed privacy training that, at a minimum, addresses the elements in paragraph b of',
15779:'this section. 24.302contract clause. a thecontracting officer shall insert the clause at far 52.2243, privacy training, in solicitations and contracts',
15780:'when, on behalf of the agency, contractor employees will 1 have access to a system of records; 2 create, collect,',
15781:'use, process, store, maintain, disseminate, disclose, dispose, or otherwise handle personally identifiable information; or 3 design, develop, maintain, or operate',
15782:'a system of records. b when an agency specifies that only its agencyprovided training is acceptable, use the clause with',
15783:'its alternate i. this page intentionally left blank. 24.22 part 25 foreign acquisition sec. 25.000 scope of part. 25.001 general.',
15784:'25.002 applicability of subparts. 25.003 definitions. subpart 25.1 buy americansupplies 25.100 scope of subpart. 25.101 general. 25.102 policy. 25.103 exceptions.',
15785:'25.104 nonavailable articles. 25.105 critical components and critical items. 25.106 determining reasonableness of cost. subpart 25.2 buy american construction materials',
15786:'25.200 scope of subpart. 25.201 policy. 25.202 exceptions. 25.203 preaward determinations. 25.204 evaluating offers of foreign construction material. 25.205 postaward',
15787:'determinations. 25.206 noncompliance. subpart 25.3 contracts performed outside the united states 25.301 contractor personnel in a designated operational area or',
15788:'supporting a diplomatic or consular mission outside the united states. 25.3011 scope. 25.3012 government support. 25.3013 weapons. 25.3014 contract clause.',
15789:'25.302 contractors performing private security functions outside the united states. 25.3021 scope. 25.3022 definitions. 25.3023 applicability. 25.3024 policy. 25.3025 remedies.',
15790:'25.3026 contract clause. 25.400 25.401 25.402 25.403 25.404 25.405 25.406 25.407 25.408 25.501 25.502 25.503 25.504 25.5041 25.5042 25.5043 25.5044',
15791:'25.600 25.601 25.602 25.6021 25.6022 25.603 25.604 25.605 25.606 25.607 subpart 25.4 tradeagreements scope of subpart. exceptions. general. world trade',
15792:'organization government procurement agreement and free trade agreements. least developed countries. caribbean basin trade initiative. israeli trade act. agreement on',
15793:'trade incivil aircraft. procedures. subpart 25.5 evaluating foreignofferssupply contracts general. application. group offers. evaluation examples. buy american statute. wto gpa/caribbean',
15794:'basintradeinitiative/ ftas. fta/israelitradeact. group award basis. subpart 25.6 american recovery and reinvestment actbuy american statuteconstruction materials scope of subpart. definitions.',
15795:'policy. section 1605 of the recovery act. buy american statute exceptions. preaward determination concerning the inapplicability of section 1605 of',
15796:'the recovery act or the buy american statute. evaluatingoffers of foreign construction material. postaward determinations. noncompliance. subpart 25.7 prohibited sources',
15797:'25.700 scope of subpart. 25.701 restrictions administered by the department of the treasury on acquisitions ofsupplies or services from prohibited',
15798:'sources. 25.702 prohibition on contracting with entities that conduct restricted business operations in sudan. 25.7021 definitions. 25.7022 certification. 25.7023 remedies.',
15799:'25.7024 waiver. 25.703 prohibition on contracting with entities that engage in certain activities or transactions relating to iran. 25.7031 definitions.',
15800:'25.7032 iran sanctions act. 25.7033 prohibition on contracting with entities that export sensitive technology to iran. 25.7034 waiver. 25.801 25.802',
15801:'25.900 25.901 25.902 25.903 25.1001 25.1002 25.1003 25.1101 25.1102 25.1103 subpart 25.8 other international agreements and coordination general. procedures. subpart',
15802:'25.9 customs and duties scope of subpart. policy. procedures. exempted supplies. subpart 25.10 additional foreign acquisition regulations waiver of rightto',
15803:'examination ofrecords. use of foreign currency. taxon certain foreign procurements. subpart25.11 solicitation provisions and contract clauses acquisition of supplies. acquisition',
15804:'of construction. other provisions and clauses. 25.000scope of part. a this part provides policies and procedures for 1 acquisition of',
15805:'foreign supplies, services, and construction materials; and 2 contracts performed outside the united states. b it implements 41 u.s.c. chapter',
15806:'83, buy american; trade agreements; and other laws and regulations. 25.001general. a 41 u.s.c. chapter 83, buy american 1 restricts',
15807:'the purchase of supplies, that are not domestic end products, for use within the united states. a foreign end product',
15808:'maybe purchased if thecontracting officer determines thatthe price ofthe lowest domesticoffer is unreasonable or if another exception applies see subpart',
15809:'25.1; and 2 requires, with some exceptions, the use of only domestic construction materials in contracts for construction in the',
15810:'united states see subpart 25.2. b the restrictions in the buy american statute are not applicable in acquisitions subject to',
15811:'certain trade agreements see subpart 25.4. in these acquisitions, end products and construction materials from certain countries receive nondiscriminatory treatment',
15812:'in evaluation with domestic offers. generally, the dollar value of theacquisition determines which of the trade agreements applies. exceptions to',
15813:'the applicability of the trade agreements are described in subpart 25.4. c the test to determine the country of origin',
15814:'for an end product under the buy american statute see the various country end product definitions in 25.003 is different',
15815:'from the testto determine the country of origin for an end product under the trade agreements, or the criteria for',
15816:'the representation on end products manufactured outside the united states see 52.22518. 1 the buy american statute uses a twopart',
15817:'test to define a domestic end product or domestic construction material manufactured in the united states and a domestic content',
15818:'test. the domestic content test has been waived for acquisition of commercially available offtheshelf cotsitems, except a product that consistswholly',
15819:'or predominantly of iron or steel or a combination of both excluding cots fasteners see 25.101a and 25.201b. 2 under',
15820:'the trade agreements, the test to determine country of origin is substantial transformation i.e., transforming anarticle into a new and',
15821:'different article ofcommerce, with a name, character,or usedistinct from the original article. 3 for the representation at 52.22518, the only',
15822:'criterion is whether the place of manufacture of an end product is in the united states or outside the united',
15823:'states, without regard to the origin of the components. 4 when using funds appropriated under the american recoveryandreinvestment act of',
15824:'2009 pub. l. 1115, the definition of domestic manufactured construction material requires manufacture in the united states but does not',
15825:'include a requirement with regard to the origin of the components. if the construction material consists wholly or predominantly of',
15826:'iron or steel, the iron or steel must be produced in the united states. 25.002applicability of subparts. the following table',
15827:'shows the applicability of the subparts. subpart 25.5providescomprehensiveproceduresforoffer evaluation and examples. subpart supplies for use construction services performed inside u.s.',
15828:'outside u.s. inside u.s. outside u.s. inside u.s. outside u.s. 25.1 buy american supplies x 25.2 buy american construction materials',
15829:'x 25.3 contracts performed outside the united states x x x 25.4 trade agreements x x x x x x',
15830:'25.5 evaluating foreign offerssupply contracts x x federal acquisition regulation subpart supplies for use construction services performed inside u.s. outside',
15831:'u.s. inside u.s. outside u.s. inside u.s. outside u.s. 25.6 american recovery and reinvestment actbuy american statuteconstruction materials x 25.7',
15832:'prohibited sources x x x x x x 25.8 other international agreements and coordination x x x x 25.9 customs',
15833:'and duties x 25.10 additional foreign acquisition regulations x x x x x x 25.11 solicitation provisions and contract clauses',
15834:'x x x x x x 25.003definitions. as used in this part— caribbean basin country means any of the following',
15835:'countries: antigua and barbuda, aruba, bahamas, barbados, belize, bonaire, british virgin islands, curacao, dominica, grenada,guyana, haiti, jamaica, montserrat, saba, st.',
15836:'kitts and nevis, st. lucia, st. vincent and the grenadines, sint eustatius, sint maarten, or trinidad and tobago. caribbean basin',
15837:'country end product— 1 means an article that– i a is wholly the growth, product, or manufacture of a caribbean',
15838:'basin country; or b in the case of an article thatconsists inwhole or in part of materials from another country,',
15839:'has been substantially transformed in a caribbean basincountry into a new anddifferent article of commerce witha name, character, or use',
15840:'distinct from that of the article or articles from which it was transformed; and ii is not excluded from dutyfree',
15841:'treatment for caribbean countries under 19 u.s.c. 2703b. a for this reason, the following articles are not caribbean basin country',
15842:'end products: 1 tuna, prepared or preserved in any manner inairtight containers. 2 petroleum, or any product derived from petroleum.',
15843:'3 watches and watch parts including cases, bracelets, and straps of whatever type including, but not limited to, mechanical, quartz',
15844:'digital, or quartz analog, if such watches or watch parts contain any material that is the product of any country',
15845:'to which the harmonized tariff schedule of theunited stateshtsus column 2 rates of duty apply i.e., afghanistan, cuba, laos, north',
15846:'korea, and vietnam. 4 certain of thefollowing: textiles andapparel articles; footwear,handbags, luggage, flat goods,work gloves, and leather wearing apparel; or',
15847:'handloomed, handmade, and folklore articles. b access to the htsus to determine dutyfree status of articles of the types listed',
15848:'in paragraph 1iia4 of this definition is available via the internet at https://usitc.gov/tata/hts/index.htm. in particular,see the following: 1 general note',
15849:'3c, products eligible for special tariff treatment. 2 general note 17, products of countries designated as beneficiary countries under the',
15850:'united states caribbean basin trade partnershipactof 2000. 3 section xxii, chapter 98, subchapter ii, articles exported and returned, advanced or',
15851:'improved abroad, u.s. note 7b. 4 sectionxxii, chapter 98, subchapter xx, goods eligibleforspecial tariff benefits underthe united statescaribbeanbasin trade partnership',
15852:'act; and 2 refers to aproduct offeredforpurchase under asupplycontract, but for purposes of calculatingthe value of the acquisition, includes services',
15853:'except transportation services incidental to the article, provided that the value of those incidental services does not exceed that of',
15854:'the article itself. civil aircraft and related articles means 1 all aircraft other than aircraft to be purchased for use',
15855:'by the department of defense or the u.s. coast guard; 2 the engines and parts and components for incorporation into',
15856:'the engines of these aircraft; 3 any other parts, components, and subassemblies for incorporation into the aircraft; and 4 any',
15857:'ground flight simulators, and parts and components of these simulators, for use with respect to the aircraft, whether to be',
15858:'usedas originalor replacement equipment in themanufacture, repair,maintenance, rebuilding, modification, or conversion of the aircraft and without regard to whether the',
15859:'aircraft or articles receive dutyfree treatment under section 601a2of the trade agreements act. component means an article, material, or supply',
15860:'incorporated directly into an end product or construction material. construction material means an article, material, or supply brought to the',
15861:'construction site by a contractor or subcontractor for incorporation into the building or work. the term also includes an item',
15862:'brought to the site preassembled from articles, materials, orsupplies. however, emergency life safety systems, such as emergency lighting,fire alarm, and',
15863:'audio evacuation systems, that are discrete systems incorporated into a public building or work and that are produced as complete',
15864:'systems, are evaluated as a single and distinct construction material regardless of when or how the individual parts or components',
15865:'of those systems are delivered to the construction site. materials purchased directly by the government are supplies, not construction material.',
15866:'cost of components means 1 for components purchased bythe contractor, the acquisition cost, including transportation costs tothe place of incorporation',
15867:'into the end product or construction material whether or not such costs are paid to a domestic firm, and any',
15868:'applicable duty whether or not a dutyfree entry certificate is issued; or 2 for components manufactured bythe contractor, all costs',
15869:'associated with the manufacture of the component, including transportation costs as described in paragraph 1 of this definition, plus allocable',
15870:'overhead costs, but excluding profit. cost of components does not include any costs associated with the manufacture of the end',
15871:'product. critical component means a component that is mined, produced, or manufactured in the united states and deemed critical to',
15872:'the u.s. supply chain. the list of critical components is at 25.105. critical item means a domestic construction material or',
15873:'domestic end product that is deemed critical to the u.s. supply chain. the list of critical items is at 25.105.',
15874:'designated country means any of the following countries: 1 a world trade organization government procurement agreement wtogpa countryarmenia, aruba, australia,',
15875:'austria,, belgium, bulgaria, canada, croatia, cyprus, czech republic, denmark, estonia, finland, france, germany, greece,hongkong, hungary, iceland, ireland, israel, italy,japan, korea',
15876:'republic of, latvia, liechtenstein, lithuania, luxembourg, malta, moldova, montenegro, netherlands, new zealand, north macedonia, norway, poland, portugal, romania, singapore, slovakrepublic,',
15877:'slovenia, spain, sweden, switzerland, taiwan known in the world trade organization as the separate customs territory of taiwan, penghu, kinmen',
15878:'and matsu chinese taipei, ukraine, or united kingdom; 2 a free trade agreementftacountry australia, bahrain, chile, colombia, costa rica, dominicanrepublic,',
15879:'el salvador, guatemala,honduras, korea republic of, mexico, morocco,nicaragua, oman, panama,peru, or singapore; 3 a least developed country afghanistan, angola, bangladesh,',
15880:'benin, bhutan, burkina faso, burundi, cambodia, central african republic, chad, comoros, democratic republic of congo, djibouti, equatorial guinea, eritrea, ethiopia,',
15881:'gambia, guinea, guineabissau, haiti, kiribati, laos, lesotho, liberia, madagascar, malawi, mali, mauritania, mozambique, nepal,niger, rwanda, samoa, sao tome and principe,',
15882:'senegal,sierra leone, solomon islands, somalia, south sudan, tanzania, timorleste, togo,tuvalu, uganda, vanuatu, yemen, or zambia; or 4 a caribbean basin',
15883:'country antiguaandbarbuda, aruba, bahamas, barbados, belize, bonaire, british virgin islands, curacao, dominica,grenada, guyana, haiti, jamaica,montserrat,saba, st. kitts and nevis, st.',
15884:'lucia, st. vincent and the grenadines,sinteustatius, sint maarten, ortrinidad and tobago. designated country end product means awto gpa countryend product,',
15885:'an fta country end product, a least developed country end product, or a caribbean basin country end product. domestic construction',
15886:'material means 1 for use in subparts other than 25.6— i for construction material that does not consist wholly or',
15887:'predominantly of iron or steel or a combination of both — a an unmanufactured construction material mined or produced in',
15888:'the united states; or b a construction material manufactured in the united states, if– federal acquisition regulation 1 the cost',
15889:'of the components mined, produced, or manufactured in the united states exceeds 60 percent of the cost of all its',
15890:'components, except that the percentage will be 65 percent for items delivered in calendar years 2024 through 2028 and 75',
15891:'percent for items delivered starting in calendar year 2029 unless an alternate percentage is established for a contract in accordance',
15892:'with far 25.201c.components of unknown origin are treated as foreign; or 2 the construction material is a commerciallyavailableofftheshelf cots item;',
15893:'or ii for construction material that consists wholly or predominantly of iron or steel or a combination of both, a',
15894:'construction material manufactured in the united states if the cost of foreign iron and steel constitutes less than 5 percent',
15895:'of the cost of all the components used in such construction material. the cost of foreign iron and steel includes',
15896:'but is not limited to the cost of foreign iron or steel mill products such as bar, billet, slab, wire,',
15897:'plate, or sheet, castings,or forgings utilized in the manufacture of the construction material and a good faith estimate of the',
15898:'cost of all foreign iron or steel components excluding cots fasteners. iron or steel components of unknown origin are treated',
15899:'as foreign. if the construction material contains multiple components, the cost of all the materials used in such construction material',
15900:'is calculated in accordance with the definition of “cost of components” in this section; or 3 for use in subpart',
15901:'25.6, see the definition in 25.601. domestic end product means 1 for an end product that does not consist wholly',
15902:'or predominantly of iron or steel or a combination of both— i an unmanufactured end product mined or produced in',
15903:'the united states; ii an end product manufactured in the united states, if– a the cost of its components mined,',
15904:'produced, or manufactured in the united states exceeds 60 percent of the cost of all its components, except that the',
15905:'percentage will be 65 percent for items delivered in calendar years 2024 through 2028 and 75 percent for items delivered',
15906:'starting in calendar year 2029 unless an alternate percentage is established for a contract in accordance with far 25.101d. components',
15907:'of unknown origin are treated as foreign. scrap generated, collected, and prepared for processing in the united states is considered',
15908:'domestic; or b the end product is a cots item; or 2 for an end product that consists wholly or',
15909:'predominantly of iron or steel or a combination of both, an end product manufactured in the united states, if the',
15910:'cost of foreign iron and steel constitutes less than 5 percent of the cost of all the components used in',
15911:'the end product. the cost of foreign iron and steel includes but is not limited to the cost of foreign',
15912:'iron or steelmill products such asbar, billet, slab,wire, plate, or sheet, castings, or forgings utilizedin themanufacture of the end product',
15913:'and a good faith estimate of the cost of all foreign iron or steel components excluding cots fasteners. iron or',
15914:'steel components of unknown origin are treated as foreign. if the end product contains multiple components, the cost of all',
15915:'the materials used in such end product is calculated in accordance with the definition of cost of components in this',
15916:'section. domestic offer means an offer of a domestic end product. whenthe solicitation specifies that awardwill be made on a',
15917:'group of line items, adomestic offer meansan offer where the proposed price ofthe domestic endproducts exceeds 50 percent of the',
15918:'total proposed price of the group. eligible offer means an offer of an eligible product. when the solicitation specifies that',
15919:'award will be made on a group of line items, an eligibleoffer means a foreign offerwhere the combined proposed price',
15920:'of theeligible productsand the domestic end products exceeds 50 percent of the total proposed price of the group. eligible product',
15921:'means a foreign end product, construction material, or service that, due to applicability of a trade agreement to a particular',
15922:'acquisition, is not subject to discriminatory treatment. end product means those articles, materials, and supplies to be acquired for public',
15923:'use. fastener means a hardware device that mechanically joins or affixestwo ormore objects together. examples of fasteners are nuts, bolts,',
15924:'pins, rivets, nails, clips, and screws. foreign construction material means a construction material other than a domestic construction material. foreign',
15925:'contractor means a contractor or subcontractor organized or existing under the laws of a country other than the united states.',
15926:'foreign end product means an end product other than a domestic end product. foreign iron and steel means iron or',
15927:'steel products not produced in the united states. produced in the united states means that all manufacturing processes of the',
15928:'iron or steel must take place in the united states, from the initial melting stage through theapplication of coatings,exceptmetallurgical processes',
15929:'involving refinement of steeladditives. the origin of the elements of the iron or steel is not relevant to the determination',
15930:'of whether it is domestic or foreign. foreign offer meansany offer other than a domestic offer. free trade agreement country',
15931:'means australia, bahrain, chile, colombia, costa rica,dominican republic, el salvador, guatemala, honduras, korea republic of, mexico, morocco, nicaragua, oman, panama,',
15932:'peru, or singapore. free trade agreement country end product means an article that 1 is wholly the growth, product,or manufactureof',
15933:'afree trade agreement fta country; or 2 in the case of anarticle that consists in whole or in part of',
15934:'materials from another country, has been substantially transformed in an fta country into a new and different article ofcommerce with',
15935:'aname, character,or use distinctfrom that of the article or articles from which it was transformed. the term refers toa productoffered',
15936:'for purchase undera supply contract, but for purposes of calculating the value of the end product, includes services except transportation',
15937:'services incidental to the article, provided that the value of those incidental services does not exceed that of the article',
15938:'itself. israeli end product means an article that 1 is wholly the growth, product, or manufacture of israel; or 2',
15939:'in the case of anarticle that consists in whole or in part of materials from another country, has been substantially',
15940:'transformed in israelinto anew and different article of commerce with a name, character, or use distinct from that ofthe article',
15941:'or articles from which it was transformed. least developed country means any of the following countries: afghanistan, angola, bangladesh, benin,',
15942:'bhutan, burkina faso, burundi, cambodia, central african republic, chad, comoros, democratic republic of congo, djibouti, equatorial guinea, eritrea, ethiopia, gambia,',
15943:'guinea, guineabissau, haiti, kiribati, laos, lesotho, liberia, madagascar, malawi, mali, mauritania, mozambique, nepal, niger, rwanda,samoa, saotome and principe, senegal, sierra',
15944:'leone, solomon islands, somalia, south sudan, tanzania, timorleste, togo,tuvalu, uganda, vanuatu, yemen, or zambia. least developed country end product means',
15945:'an article that 1 is wholly the growth, product, or manufacture of a least developed country; or 2 in the',
15946:'case of anarticle that consists in whole or in part of materials from another country, has been substantially transformed in',
15947:'aleast developed country into a new and different article ofcommerce with aname,character, or use distinct from that of the article',
15948:'or articles from which it was transformed. the term refers to a product offered for purchase under a supply contract,',
15949:'but for purposes of calculating the value of the end product, includes services except transportation services incidental to the article,',
15950:'provided that the value of those incidental services does not exceed that of the article itself. noneligible offer means an',
15951:'offer ofa noneligible product. noneligible product means a foreign end product that is not an eligible product. predominantly of iron',
15952:'or steel or a combination of both means that the cost of the iron and steel content exceeds 50 percent',
15953:'of the total cost of all its components. the cost of iron and steel is the cost of the iron',
15954:'or steel mill products such as bar, billet, slab, wire, plate, or sheet, castings,or forgings utilized in the manufacture of',
15955:'the product and a good faith estimate of the cost of iron or steel components excluding cots fasteners. steel means',
15956:'an alloy that includes at least 50 percent iron, between 0.02 and 2 percent carbon, and may include other elements.',
15957:'united states means the 50 states, the district of columbia, and outlying areas. u.s.made end product means an article that',
15958:'is mined, produced, or manufactured in the united states or that is substantially transformed in the united states into a',
15959:'newand differentarticle of commerce with a name, character,or use distinct from that of the article or articles from which it',
15960:'was transformed. world trade organization government procurement agreement wto gpa country means any of the following countries: armenia, aruba, australia,',
15961:'austria, belgium, bulgaria, canada, croatia, cyprus, czech republic, denmark, estonia, finland,france, germany, greece, hong kong, hungary, iceland, ireland, israel, italy,',
15962:'japan, korearepublic of, latvia, liechtenstein, lithuania, luxembourg, malta, moldova, montenegro, netherlands, new zealand, north macedonia, norway, portugal,romania, singapore, slovak republic,',
15963:'slovenia, spain, sweden, switzerland, taiwan, ukraine, or united kingdom. wto gpa country end product means an article that 1 is',
15964:'wholly the growth, product,or manufactureof awtogpa country; or 2 in the case of anarticle that consists in whole or in',
15965:'part of materials from another country, has been substantially transformed in awtogpa country into a new and different article of',
15966:'commercewith a name, character, oruse distinct from that of the article or articles from which it was transformed. the term',
15967:'refers to a product offered for purchase under a supply contract, but for purposes of calculating the value of the',
15968:'end product includes services except transportation services incidental to the article, provided that the value of those incidental services does',
15969:'not exceed that of the article itself. federal acquisition regulation subpart 25.1 buy americansupplies 25.100scope of subpart. a this subpart',
15970:'implements 1 41 u.s.c. chapter 83, buy american; 2 executive order 10582, december 17, 1954; 3 executive order 13881, july',
15971:'15, 2019; 4 executive order 14005, january 25, 2021; and 5 waiver of the domestic content test of the buy',
15972:'american statute for acquisition of commerciallyavailableofftheshelf cots items in accordance with 41 u.s.c. 1907, but see 25.101a2ii. b it applies',
15973:'to supplies acquired for use in the united states, including supplies acquired under contracts set aside for small business concerns,',
15974:'if 1 the supply contract exceeds the micropurchase threshold; or 2 the supply portion of a contract for services that',
15975:'involves the furnishing of supplies e.g., lease exceeds the micro purchase threshold. 25.101general. a the buy american statute restricts the',
15976:'purchase of supplies that are not domestic end products. for manufactured end products, the buy american statute, e.o. 13881, and',
15977:'e.o. 14005 use a twopart test to define a domestic end product. 1 the article must be manufactured in the',
15978:'united states; and 2 i except for an end product that consists wholly or predominantly of iron or steel or',
15979:'a combination of both, the cost of domestic components shall exceed 60 percent of the cost of all the components,',
15980:'except that the percentage will be 65 percent for items delivered in calendar years 2024 through 2028 and 75 percent',
15981:'for items delivered starting in calendar year 2029. but see paragraph d of this section. in accordance with 41 u.s.c.',
15982:'1907, this domestic content test of the buy american statute has been waived for acquisitions of cots items see 12.505a',
15983:'but see paragraph a2ii of this section. ii for an end product that consists wholly or predominantly of iron or',
15984:'steel or a combination of both, the cost of foreign iron and steel must constitute less than 5 percent of',
15985:'the cost of all the components used in the end product see the definition of foreign iron and steel at',
15986:'25.003. the cost of foreign iron and steel includes but is not limited to the cost of foreign iron or',
15987:'steel mill products such as bar, billet, slab, wire, plate, or sheet, castings,or forgings utilized in the manufacture of the',
15988:'end product and a good faith estimate of the cost of all foreign iron or steel components excluding cots fasteners.',
15989:'this domestic content test of the buy american statute has not been waived for acquisitions of cots items in this',
15990:'category, except for cots fasteners. b the buy american statute applies to small business setasides. a manufactured product of a',
15991:'small business concern is a u.s.made end product, but is not a domestic end product unless it meets the domestic',
15992:'content test in paragraph a2 of this section. c exceptions that allow the purchase of a foreign end product are',
15993:'listed at 25.103. the unreasonable cost exception is implemented through the use of an evaluation factor applied to low foreign',
15994:'offers thatare not eligibleoffers. the evaluation factor is notused to provide a preference for one foreign offer over another. evaluation',
15995:'procedures andexamples are provided in subpart 25.5 . d 1 a contract with a period of performance that spans the',
15996:'schedule of domestic content threshold increases specified in paragraph a2i of this section shall be required to comply with each',
15997:'increased threshold for the items in the year of delivery, unless the senior procurementexecutive ofthe contracting agency allows for applicationof',
15998:'an alternate domestic content test for that contract under whichthe domestic content threshold ineffect at time of contract award will',
15999:'apply to the entire period of performance for the contract. this authority is not delegable. the senior procurement executive shall',
16000:'consult theofficeof management and budgets made in america office before allowing the use ofthe alternate domesticcontent test. 2 when a',
16001:'senior procurement executive allows for application of an alternate domestic content test for a contract— i see 25.1101a1ii or 25.1101b1v',
16002:'for use of the appropriate alternate clause to reflect the domestic content threshold that will apply to the entire period',
16003:'of performance for that contract; and ii use the fillin at 52.2134b1xviib instead of including 52.2251 alternate i when using',
16004:'52.2134, terms and conditions—simplified acquisitions other than commercial products and commercial services. subpart 25.1 buy americansupplies 25.104 25.102 policy. except',
16005:'as provided in 25.103, acquire only domestic end products for public use inside the united states. 25.103exceptions. when one of',
16006:'thefollowing exceptions applies,the contracting officer mayacquire a foreign endproduct without regardto the restrictions of the buy american statute: a public',
16007:'interest. the head of the agency may make a determination that domestic preference would be inconsistent with the public interest.',
16008:'this exception applies when an agency has an agreement with a foreign government that provides a blanket exception to the',
16009:'buy american statute. b nonavailability. the buy american statute does not apply with respect to articles, materials, or supplies if',
16010:'articles, materials, or supplies of the class or kind to be acquired, either as end items or components, are not',
16011:'mined, produced, or manufacturedin the united states in sufficient and reasonablyavailablecommercial quantitiesand of a satisfactory quality. 1 class determinations. i',
16012:'a nonavailability determination has been made for the articles listed in 25.104. this determination does not necessarily mean that there',
16013:'is no domestic source for the listed items, but that domestic sources can only meet 50 percent or less of',
16014:'total u.s. government and nongovernment demand. ii before acquisition of an article on the list, the procuring agency is responsible',
16015:'to conduct market research appropriate to the circumstances, including seeking of domestic sources. this applies to acquisition of an article',
16016:'as a an end product; or b a significant component valued at more than 50 percent of the value of',
16017:'all the components. iii the determination inparagraph b1i of this section doesnot applyif the contracting officer learns atany time before',
16018:'the time designated for receipt of bids in sealed bidding or finaloffers in negotiation that an article on the list',
16019:'is availabledomesticallyin sufficient and reasonably availablecommercial quantitiesof asatisfactory quality tomeet the requirementsof the solicitation. the contracting officer must a ensure',
16020:'that the appropriate buy american statute provision and clause are included in the solicitation see 25.1101a, 25.1101b, or 25.1102; b',
16021:'specify in the solicitation that the article is available domestically and thatofferorsand contractors maynot treat foreign components of the same',
16022:'class or kind as domestic components; and c submit a copy of supporting documentation to the appropriate council identified in',
16023:'1.2011, in accordance with agency procedures, for possible removal of the article from the list. 2 individual determinations. i the',
16024:'head of the contracting activity may make a determination that an article, material, orsupplyis not mined, produced, or manufactured in',
16025:'the united states in sufficientandreasonably available commercial quantities of a satisfactoryquality. a determination isnot required beforejanuary 1, 2030, if there',
16026:'is anoffer for a foreign end product that exceeds 55 percent domestic content see 25.106b2 and 25.106c2. iiif the contracting',
16027:'officer considers that the nonavailability ofan articleis likely to affectfuture acquisitions, thecontracting officer may submit a copy of the determination',
16028:'and supporting documentation to the appropriate council identified in 1.2011, in accordance with agency procedures, for possible addition to the',
16029:'list in 25.104. 3 a written determination is not required if all of the following conditions are present: i the',
16030:'acquisition was conducted through use of full and open competition. ii the acquisition was synopsized in accordance with 5.201. iii',
16031:'no offerfora domesticend product was received. c unreasonable cost. the contracting officer maydetermine that the cost of a domesticendproduct would',
16032:'be unreasonable, in accordance with 25.106 and subpart 25.5. d resale.the contracting officer may purchase foreignendproducts specificallyforcommissary resale. e information',
16033:'technology that is a commercial product. the restriction on purchasing foreign end products does not apply to the acquisition of',
16034:'information technology that is a commercial product, when using fiscal year 2004 or subsequent fiscal year funds section535a of division',
16035:'f, title v, consolidated appropriations act, 2004,andsimilarsectionsin subsequent appropriations acts. 25.104nonavailable articles. a the following articles have been determined to',
16036:'be nonavailable in accordance with 25.103b1i: acetylene, black. agar, bulk. anise. federal acquisition regulation antimony, as metal or oxide. asbestos,',
16037:'amosite, chrysotile, and crocidolite. bamboo shoots. bananas. bauxite. beef, corned, canned. beef extract. bephenium hydroxynapthoate. bismuth. books, trade, text, technical,',
16038:'or scientific; newspapers; pamphlets; magazines; periodicals; printed briefs and films; not printed in the united states and for which domestic',
16039:'editions are not available. brazil nuts, unroasted cadmium, ores and flue dust. calcium cyanamide. capers. cashew nuts. castor beans and',
16040:'castor oil. chalk, english. chestnuts. chicle. chrome ore or chromite. cinchona bark. cobalt, in cathodes, rondelles, or other primary ore',
16041:'and metal forms. cocoa beans. coconut and coconut meat, unsweetened, in shredded, desiccated, or similarly prepared form. coffee, raw or',
16042:'green bean. colchicine alkaloid, raw. copra. cork, wood or bark and waste. cover glass, microscope slide. crane rail 85pound per',
16043:'foot. cryolite, natural. dammar gum. diamonds, industrial, stones and abrasives. emetine, bulk. ergot, crude. erythrityl tetranitrate. fair linen, altar. fibers',
16044:'of the followingtypes: abaca, abace, agave, coir, flax, jute, jute burlaps,palmyra, and sisal. goat and kidskins. goat hair canvas. grapefruit',
16045:'sections, canned. graphite, natural, crystalline, crucible grade. hand file sets swiss pattern. handsewing needles. hemp yarn. hog bristles for brushes.',
16046:'hyoscine, bulk. ipecac, root. iodine, crude. kaurigum. lac. leather,sheepskin,hair type. subpart 25.1 buy americansupplies 25.104 lavender oil. manganese. menthol, natural',
16047:'bulk. mica. microprocessor chips brought onto a government construction site as separate units for incorporation into building systems during construction',
16048:'or repair and alteration of real property. modacrylic fiber. nickel,primary,in ingots, pigs, shots, cathodes, or similar forms; nickel oxide and',
16049:'nickel salts. nitroguanidine also known as picrite. nux vomica, crude. oiticica oil. olive oil. olives green, pitted or unpitted, or',
16050:'stuffed, in bulk. opium, crude. oranges, mandarin, canned. petroleum, crude oil, unfinished oils, and finished products. pine needle oil. pineapple,',
16051:'canned. platinumandrelated group metals, refined, as sponge, powder, ingots,or cast bars. pyrethrum flowers. quartz crystals. quebracho. quinidine. quinine. rabbit fur',
16052:'felt. radium salts, source and special nuclear materials. rosettes. rubber,crude and latex. rutile. santonin, crude. secretin. shellac. silk, raw and',
16053:'unmanufactured. spare and replacement parts for equipment of foreign manufacture, and for which domestic parts are not available. spices and',
16054:'herbs, in bulk. sugars,raw. swords and scabbards. talc, block, steatite. tantalum. tapioca flour and cassava. tartar, crude; tartaric acidandcream of',
16055:'tartar in bulk. tea in bulk. thread, metallic gold. thyme oil. tinin bars,blocks, and pigs. triprolidine hydrochloride. tungsten. vanilla beans.',
16056:'venom, cobra. waterchestnuts. wax, carnauba. wire glass. federal acquisition regulation woods; logs, veneer, and lumber of thefollowing species: alaskan yellowcedar,',
16057:'angelique, balsa, ekki, greenheart, lignum vitae, mahogany, andteak. yarn, 50 denier rayon. yeast, active dry and instant activedry. b this',
16058:'list will be published in the federal register for public comment no less frequently than once every five years. unsolicited',
16059:'recommendations for deletions from thislist may besubmitted atany time and should provide sufficient data and rationale to permit evaluation see',
16060:'1.502. 25.105critical components and critical items. a the following is a list of articles that have been determined to be',
16061:'a critical component or critical item and their respective preference factors. 12 [reserved] b the list of articles and preference',
16062:'factors in paragraph a of this section will be published in the federal register for public comment no less frequently',
16063:'than once every 4 years. unsolicited recommendations for deletions from this list may be submitted at any time and should',
16064:'provide sufficient data and rationale to permit evaluation see 1.502. c for determining reasonableness of cost for domestic end products',
16065:'that contain critical components or are critical items see 25.106c. 25.106 determiningreasonableness of cost. a thecontracting officer 1 must use',
16066:'the evaluation factors in paragraphs b and c of this section unless the head of the agency makes a written',
16067:'determination that the use of higher factors is more appropriate. if the determination applies to all agency acquisitions, the agency',
16068:'evaluation factors must be published in agency regulations; and 2 must not apply evaluation factors to offers ofeligible productsif the',
16069:'acquisition is subject to a trade agreement under subpart 25.4. b for end products that are not critical items and',
16070:'do not contain critical components. 1 iifthereisadomesticofferthatisnotthelowoffer,andtherestrictionsofthebuyamericanstatuteapplytothe low offer,the contracting officer must determine the reasonableness of the cost of the',
16071:'domestic offer byadding tothe price of thelow offer, inclusive ofduty— a20 percent, if thelowest domestic offer isfrom a large business',
16072:'concern; or b 30 percent, if the lowest domestic offeris froma small businessconcern. the contracting officer must use this factor,or',
16073:'another factor established inagency regulations, in small business setasides ifthe low offer is from a small businessconcernofferingtheproductofasmallbusinessconcernthatisnotadomesticendproductsee subpart 19.5. iithe',
16074:'price of the domestic offer isreasonable if it doesnot exceedthe evaluated price of the low offerafter addition of the appropriate',
16075:'evaluation factor in accordance with paragraph a or b1i of this section. see evaluation procedures at subpart 25.5. 2 i',
16076:'for end products that are not cots items and do not consist wholly or predominantly of iron or steel or',
16077:'a combination of both, if the procedures in paragraph b1i of this section result in an unreasonable cost determination for',
16078:'thedomestic offer or thereis no domestic offerreceived, and thelow offeris for aforeign end product that does notexceed 55 percent domestic',
16079:'content, thecontracting officer shall— atreat thelowest offer of a foreign end productthat is manufactured inthe united states and exceeds 55',
16080:'percent domestic content as a domestic offer;and b determine thereasonableness of the cost ofthis offer by applying the evaluation factorslisted',
16081:'in paragraph b1i of this section to the lowoffer. iithe price of the lowest offer of a foreign endproduct that',
16082:'exceeds55 percentdomestic content is reasonable if it doesnot exceed the evaluated price of the lowoffer after additionof the appropriate evaluation',
16083:'factor in accordance with paragraph a or b1i of this section. see evaluation procedures at subpart 25.5. iii the procedures',
16084:'in this paragraph b2 will no longer apply as of january 1, 2030. c for end products that are critical',
16085:'items or contain critical components. 1 iifthereisadomesticofferthatisnotthelowoffer,andtherestrictionsofthebuyamericanstatuteapplytothe low offer,the contracting officer shall determine thereasonableness of the cost ofthe domestic offerby',
16086:'adding to the priceof thelow offer, inclusive ofduty— subpart 25.1 buy americansupplies 25.106 a 20 percent, plus the additional preference',
16087:'factor identified for the critical item or end product containing critical components listed at section 25.105, if thelowest domestic offer',
16088:'isfrom a large business concern; or b 30 percent, plus the additional preference factor identified for the critical item or',
16089:'end product containing critical components listed at section 25.105, if thelowest domestic offer isfrom a small business concern. thecontracting officer',
16090:'shall use this factor,or another factor established inagency regulations, in small business setasides ifthe low offer is from asmall business',
16091:'concern offering the product of a smallbusinessconcern thatis not a domestic end productsee subpart 19.5. iithe price of the domestic',
16092:'offer isreasonable if it doesnot exceedthe evaluated price of the low offerafter addition of the appropriate evaluation factor in accordance',
16093:'with paragraph a or b of this section. see evaluation procedures at subpart 25.5. 2 i for end products that',
16094:'are not cots items and do not consist wholly or predominantly of iron or steel or a combination of both,',
16095:'if the procedures in paragraph c1ii of this section result in an unreasonable cost determination for thedomestic offer or thereis',
16096:'no domestic offerreceived, and thelow offeris for aforeign end product that does notexceed 55 percent domestic content, thecontracting officer shall—',
16097:'atreat thelowest offer of a foreign end productthat is manufactured inthe united states and exceeds 55 percent domestic content as',
16098:'a domestic offer;and b determine thereasonableness of the cost ofthis offer by applying the evaluation factorslisted in paragraph c1of this',
16099:'section to thelow offer. iithe price of the lowest offer of a foreign endproduct that exceeds55 percentdomestic content is reasonable',
16100:'if it doesnot exceed the evaluated price of the lowoffer after additionof the appropriate evaluation factor in accordance with paragraph',
16101:'a or b of this section. see evaluation procedures at subpart 25.5. iii the procedures in this paragraph c2 will',
16102:'no longer apply as of january 1, 2030. this page intentionally left blank. 25.112 subpart 25.2 buy americanconstruction materials 25.202',
16103:'subpart 25.2 buy americanconstruction materials 25.200scope of subpart. a this subpart implements 1 41 u.s.c. chapter 83, buy american; 2',
16104:'executive order 10582, december 17, 1954; 3 executive order 13881, july 15, 2019; 4 executive order 14005, january 25, 2021;',
16105:'and 5 waiver of the domestic content test of the buy american statute for acquisitions ofcommercially available offtheshelf cots items',
16106:'in accordance with 41 u.s.c. 1907, but see 25.201b2ii. b it applies to contracts for the construction, alteration, or repair',
16107:'of any public building or public work in the united states. c when using funds appropriated or otherwise provided by',
16108:'the american recovery and reinvestment act of 2009 pub. l. 1115recoveryactforconstruction,see subpart 25.6. 25.201 policy. a except as provided in',
16109:'25.202, use only domestic construction materials in construction contracts performed in the united states. b the buy american statute restricts',
16110:'the purchase of construction materials that are not domestic construction materials. for manufactured construction materials, the buy american statute, e.o.',
16111:'13881, and e.o. 14005 use a twopart test to define domestic construction materials. 1 the article must be manufactured in',
16112:'the united states; and 2 i except for construction material that consists wholly or predominantly of iron or steel or',
16113:'a combination of both, the cost of domestic components must exceed 60 percent of the cost of all the components,',
16114:'except that the percentage will be 65 percent for items delivered in calendar years 2024 through 2028 and 75 percent',
16115:'for items delivered starting in calendar year 2029, but see paragraph c of this section. in accordance with 41 u.s.c.',
16116:'1907, this domestic content test of the buy american statute has been waived for acquisitions of cots items see 12.505a.',
16117:'ii for construction material that consists wholly or predominantly of iron or steel or a combination of both, the cost',
16118:'of foreign iron and steel must constitute less than 5 percent of the cost of all the components used in',
16119:'such construction material see the definition of foreign iron and steel at 25.003. the cost of foreign iron and steel',
16120:'includes but is not limited to the cost of foreign iron or steel mill products such as bar, billet, slab,',
16121:'wire, plate, or sheet, castings,or forgings utilized in the manufacture of the construction material and a good faith estimate of',
16122:'the cost of all foreign iron or steel components excluding cots fasteners. this domestic content test of the buy american',
16123:'statute has not been waived for acquisitions of cots items in thiscategory, except for cots fasteners. c 1 a contract',
16124:'with a period of performance that spans the schedule of domestic content threshold increases specified in paragraph b2i of this',
16125:'section shall be required to comply with each increased threshold for the items in the year of delivery, unless the',
16126:'senior procurementexecutive ofthe contracting agency allows for applicationof an alternate domestic content test for that contract under whichthe domestic content',
16127:'threshold ineffect at time of contract award will apply to the entire period of performance for the contract. this authority',
16128:'is not delegable. the senior procurement executive shall consult theofficeof management and budgets made in america office before allowing the',
16129:'use ofthe alternate domesticcontent test. 2 when a senior procurement executive allows for application of an alternate domestic content test',
16130:'for a contract, see 25.1102a3 or c4 for use of the appropriate alternate clause to reflect the domestic content threshold',
16131:'that will apply to the entire period of performance for that contract. 25.202exceptions. a when one of the followingexceptions applies,',
16132:'the contractingofficer may allowthe contractor to acquire foreign construction materials without regard to the restrictions of the buy american statute:',
16133:'1 impracticable or inconsistent with public interest. the head of the agency may determine that application of the restrictions of',
16134:'the buy american statute to a particular construction material would be impracticable or would be inconsistent with the public interest.',
16135:'the public interest exception applies when an agency has an agreement with a foreign government that provides a blanket exception',
16136:'to the buy american statute. federal acquisition regulation 2 nonavailability. the head of the contracting activity may determine that a',
16137:'particular construction material is not mined, produced, or manufactured in the united states in sufficientandreasonably available commercial quantities of a',
16138:'satisfactoryquality. the determinations of nonavailability of the articles listed at 25.104a and the procedures at 25.103b 1 also apply if',
16139:'any of those articles are acquired as construction materials. a determination is not required before january 1, 2030, if there',
16140:'isan offer for a foreign construction material thatexceeds 55 percent domestic content see 25.204b1ii and 25.204b2ii. 3 unreasonable cost.the contracting',
16141:'officer concludes thatthe cost of domesticconstruction material isunreasonable in accordance with 25.204. 4 information technology that is a commercial product.',
16142:'the restriction on purchasing foreign construction material doesnot apply to the acquisition of information technology that is acommercial product, when',
16143:'using fiscal year2004 or subsequent fiscal year funds section 535a of divisionf, title v, consolidated appropriations act, 2004, andsimilar sections',
16144:'in subsequent appropriations acts. b determination and findings. when a determination is made for any of the reasons stated in',
16145:'this section that certain foreign construction materialsmay be used,the contracting officer must list the excepted materialsin thecontract. the agency must',
16146:'make the findings justifying the exception available for public inspection. c acquisitions under trade agreements. for construction contracts with an',
16147:'estimated acquisition value of $6,708,000 or more, see subpart 25.4. 25.203 preaward determinations. a for any acquisition, an offeror may',
16148:'request from thecontracting officer a determination concerningthe inapplicability of the buy american statute for specifically identified construction materials. the time',
16149:'for submitting the request is specified in the solicitation in paragraph b of either 52.22510 or 52.22512, whichever applies. the',
16150:'information and supporting data that must be included in the request are also specified in the solicitation in paragraphs c',
16151:'and d of either 52.2259 or 52.22511, whichever applies. b before award,the contracting officer must evaluate all requests based on',
16152:'the information provided and may supplement this information with other readily available information. 25.204 evaluating offers of foreign construction material.',
16153:'a offerors proposing touse foreign construction material other thanthat listed by the government inthe applicable clause at 52.2259, paragraph b2,',
16154:'or 52.22511, paragraphb3,or covered by the wto gpaor afree trade agreement paragraph b2 of 52.22511, must provide the information required',
16155:'by paragraphs c and d of the respective clauses. b 1 for construction material that is not a critical item',
16156:'and does not contain critical components. iunless theheadof the agency specifies ahigher percentage, the contracting officer shall add to the',
16157:'offered price 20 percent of the cost of any foreign construction material proposed for exception from the requirements of the',
16158:'buy american statute based on the unreasonable cost of domestic construction materials. in the case of a tie, the contracting',
16159:'officer shall give preference to an offerthat does not include foreign constructionmaterial excepted at the request of the offeror on',
16160:'the basis of unreasonable cost. ii for construction material that is not a cots item and does not consist wholly',
16161:'or predominantly of iron or steel or a combination of both, if the procedures in paragraph b1i of this section',
16162:'result in an unreasonable cost determination for thedomestic construction material offer or there isno domestic constructionmaterial offer received,andthe low offer',
16163:'is for foreign construction material that does notexceed 55percent domesticcontent, the contracting officer shall— atreat thelowest offer of foreign construction',
16164:'material that is manufacturedin the united states and exceeds 55 percent domestic content as a domestic offer; and b determine',
16165:'thereasonableness of the cost ofthis offer by applying the evaluation factor listed in paragraphb 1i to the lowoffer. iii the',
16166:'procedures in paragraph b1ii of this section will no longer apply as of january 1, 2030. 2 for construction material',
16167:'that is a critical item or contains critical components. ithe contracting officer shall add to the offered price 20 percent,',
16168:'plus the additional preference factor identified for the critical item or construction material containing critical components listed at section 25.105,',
16169:'of the cost of any foreign construction material proposed for exception from the requirements of the buy american statute based',
16170:'on the unreasonable cost of domesticconstruction materials. in the case ofa tie, thecontracting officer shall give preference to an offer',
16171:'that does subpart 25.2 buy americanconstruction materials 25.206 not include foreignconstruction material excepted at the request of the offeror on',
16172:'the basis of unreasonable cost. see 25.105 for the list of critical components and critical items. ii for construction material',
16173:'that is not a cots item and does not consist wholly or predominantly of iron or steel or a combination',
16174:'of both, if the procedures in paragraph b2i of this section result in an unreasonable cost determination for thedomestic construction',
16175:'material offer or there isno domestic constructionmaterial offer received,andthe low offer is for foreign construction material that does notexceed 55percent',
16176:'domesticcontent, the contracting officer shall— atreat thelowest offer of foreign construction material that is manufacturedin the united states and exceeds',
16177:'55 percent domestic content as a domestic offer; and b determine thereasonableness of the cost ofthis offer by applying the',
16178:'evaluation factorslisted in this paragraph b2 tothe low offer. iii the procedures in paragraph b2ii of this section will no',
16179:'longer apply as of january 1, 2030. c offerors also may submit alternateoffers basedon useof equivalent domestic construction material to',
16180:'avoid possible rejection of the entire offer if the government determines that an exception permitting use ofa particular foreign construction',
16181:'material does not apply. d if the contracting officer awards a contractto anofferor that proposed foreign construction material not listed',
16182:'in the applicable clause in the solicitation paragraph b2 of 52.2259, or paragraph b3 of 52.22511, the contracting officer must',
16183:'add the excepted materials to the list in the contract clause. 25.205postaward determinations. a if a contractor requests a determination',
16184:'regarding the inapplicability of the buy american statute after contract award, the contractor must explain why it could not request',
16185:'the determination before contract award or why the need for such determination otherwise was not reasonably foreseeable. if the contracting',
16186:'officerconcludes that the contractor should have made the request before contract award, the contracting officer may deny the request. b',
16187:'the contractingofficer mustbase evaluation of any request for a determination regarding theinapplicability of the buy american statute made after contract',
16188:'award on information required by paragraphs c and d of the applicable clause at 52.2259 or 52.22511 and/or other readily',
16189:'available information. c if a determination, under 25.202a, is made after contract award that an exception to the buy american',
16190:'statute applies,the contracting officer must negotiate adequateconsideration and modify the contract to allow use of the foreign construction material. when',
16191:'the basis for the exception is the unreasonable price of a domestic construction material, adequate consideration is at least the',
16192:'differential establishedin 25.202a or in accordance with agency procedures. 25.206noncompliance. the contractingofficer must a review allegations of buy american statute',
16193:'violations; b unless fraud is suspected, notify the contractor of the apparent unauthorized use of foreign construction material and request',
16194:'a reply,to include proposed corrective action; and c if the review reveals that a contractor or subcontractor has used foreign',
16195:'construction material without authorization, take appropriate action, including one or more of the following: 1 process a determination concerning the',
16196:'inapplicability of the buy american statute in accordance with 25.205. 2 consider requiring the removal and replacement of the unauthorized',
16197:'foreign construction material. 3 if removal and replacement of foreign construction material incorporated in a building or work would be',
16198:'impracticable,cause unduedelay, or otherwise be detrimental to the interests ofthe government, thecontracting officer may determine in writing that the foreign',
16199:'construction material need not be removed and replaced. a determination to retain foreign construction material does not constitute a determination',
16200:'that an exception to the buy american statute applies, and this should bestatedin thedetermination. further, a determination to retain foreign',
16201:'construction material does notaffect the government’s right to suspend or debar a contractor, subcontractor, or supplier for violation of thebuy',
16202:'american statute, or to exercise other contractual rights and remedies, such as reducing the contract price or terminating the contract',
16203:'for default. 4 if the noncompliance is sufficiently serious, considerexercisingappropriate contractual remedies, suchas terminating the contract for default. also consider',
16204:'preparing and forwarding a report to the agency suspending or debarring official in accordance with subpart 9.4. if the noncompliance',
16205:'appears to be fraudulent, refer the matter to other appropriate agency officials,such as the officer responsible for criminal investigation. this',
16206:'page intentionally left blank. 25.24 subpart 25.3 contracts performed outside the united states 25.3014 subpart 25.3 contracts performed outside the',
16207:'united states 25.301 contractor personnel in a designated operational area or supporting a diplomaticor consular mission outside the united states.',
16208:'25.3011 scope. a this section applies to contracts requiring contractor personnel to perform outside the united states 1 in a',
16209:'designated operational area during i contingency operations; ii humanitarian or peacekeeping operations; or iii other military operations or military exercises,',
16210:'when designated by the combatant commander; or 2 when supporting a diplomatic or consular mission i that has been designated',
16211:'by the department of state as a danger pay post see https://aoprals.state.gov/; or iithat the contracting officer determines is a',
16212:'postat which application ofthe clause at far 52.22519, contractor personnel in a designated operational area or supporting a diplomatic or',
16213:'consular mission outside the united states, is appropriate. b any of the types of operations listed in paragraph a1 of',
16214:'this section may include stability operations such as 1 establishment or maintenance of a safe and secure environment; or 2',
16215:'provision ofemergency infrastructure reconstruction, humanitarian relief, oressential governmentalservices until feasible to transition to local government. c this section does notapply',
16216:'to personal services contracts see far 37.104, unless specified otherwise in agency procedures. 25.3012 government support. a generally, contractorsare responsible',
16217:'for providing their own logistical and security support, includinglogistical and security support for their employees. the agency shall provide logistical',
16218:'or security support only when the appropriate agency official, in accordance withagency guidance, determines that 1 such government support is',
16219:'available and is needed to ensure continuation of essential contractor services; and 2 the contractor cannot obtain adequate support from',
16220:'other sources at a reasonable cost. b the contractingofficer shall specify inthe contract, and in the solicitationif possible, the exactsupport',
16221:'to be provided, and whether this support is provided on a reimbursable basis, citing the authority for the reimbursement. 25.3013weapons.',
16222:'the contractingofficer shall follow agencyprocedures and the weaponspolicyestablished by the combatant commander or the chief of mission when authorizing contractor',
16223:'personnel to carry weapons see paragraph i of the clause at 52.22519, contractor personnel in a designated operational area or',
16224:'supporting a diplomatic or consular mission outside the united states. 25.3014 contract clause. insert the clause at 52.22519, contractor personnel',
16225:'in a designated operational area or supporting a diplomatic or consular mission outside the united states, in solicitations and contracts,',
16226:'other than personal service contracts with individuals, that will require contractor personnel to perform outside the united states— a in',
16227:'a designated operational area during– 1 contingency operations; 2 humanitarian or peacekeeping operations; or 3 other military operations or military',
16228:'exercises, when designated by the combatant commander; or b when supporting a diplomatic or consular mission– 1 that has been',
16229:'designated by the department of state as a danger pay post see https://aoprals.state.gov/; or 2 that the contracting officer determines',
16230:'is a post at which application of theclause far 52.22519, contractor personnel in a designated operational area or supporting a',
16231:'diplomatic or consular mission outside the united states, is appropriate. federal acquisition regulation 25.302contractors performing private security functions outside the',
16232:'united states. 25.3021 scope. this section prescribes policy for implementing section 862 of the national defense authorization act ndaa for',
16233:'fiscal year fy 2008 pub. l. 110181, asamended by section853 of the ndaa for fy 2009pub. l. 110417, and sections',
16234:'831 and 832 of the ndaa for fy2011 pub. l. 111383 see10 u.s.c. subtitle a, partv, subpart g note. 25.3022',
16235:'definitions. as used in this section area of combat operations means an area of operations designated as such by the',
16236:'secretary of defense when enhanced coordination of contractors performing private security functions working for government agencies is required. other significant',
16237:'military operations means activities, other than combat operations, as part of a contingency operation outside the united states that is',
16238:'carried out by united states armed forces in an uncontrolled or unpredictable highthreat environment where personnel performing security functions may',
16239:'be called upon to use deadly force see 25.3023a2. private security functions means activities engaged in by a contractor, asfollows',
16240:'1 guardingof personnel, facilities, designated sites,or property of a federal agency, the contractor or subcontractor, or a third party; or',
16241:'2 any other activity for which personnel are required to carry weapons in the performance of their duties in accordance',
16242:'with the terms of the contract. 25.3023applicability. a this section applies to contracts that require performance outside the united states',
16243:'1 in an area of combat operations as designated by the secretary of defense; or 2 in an area of',
16244:'other significant military operations as designated by the secretary of defense, and only upon agreement of the secretary of defense',
16245:'and the secretary of state. b these designations can be found at http://www.acq.osd.mil/dpap/pacc/cc/ designatedareasofothersignificantmilitaryoperations.html and http://www.acq.osd.mil/dpap/pacc/cc/ designatedareasofcombatoperations.html. c when the',
16246:'applicability requirements of this subsection are met, contractors and subcontractors must comply with 32 cfr part 159, whether the contract',
16247:'is for the performance of private security functions as a primary deliverable or the provision of private security functions is',
16248:'ancillary to the stated deliverables. d the requirements of section 25.302 shall not apply to 1 contracts entered into by',
16249:'elements of the intelligence community in support of intelligence activities; or 2 temporary arrangements entered into ona nondod contract for',
16250:'the performance of private security functions by individualindigenous personnel not affiliated with a local orexpatriate security company. these temporary arrangements',
16251:'must still comply with local law. 25.3024policy. a general. 1 the policy, responsibilities, procedures, accountability, training, equipping, and conductof personnel',
16252:'performing private security functions in designated areas are addressed at 32 cfr part 159, entitled private security contractors operating in',
16253:'contingency operations. contractor responsibilities include ensuring that employees are aware of, and comply with, relevant orders, directives, and instructions; keeping',
16254:'appropriate personnel records; accounting for weapons; registering and identifying armored vehicles, helicopters, and other military vehicles; and reporting specified incidents',
16255:'in which personnel performing private security functions under a contract are involved. 2 in addition, contractors are required to fully',
16256:'cooperate with any governmentauthorized investigation into incidents reported pursuant to paragraph c3 of the clause at 52.22526, contractors performing private',
16257:'security functions outside the united states, by providing access to employees performing private security functions and relevant information in the',
16258:'possession of the contractor regarding the incident concerned. b implementing guidance. in accordance with 32 cfr part 159 1 geographic',
16259:'combatant commanders will provide dod contractors performing private security functions with guidance and procedures for the operational environment in their',
16260:'area of responsibility; and 2 in a designated area of combat operations, or areas of other significant military operations, as',
16261:'designated by the secretary of defense and only upon agreement of the secretary of defense and the secretary of state,',
16262:'the relevant chief subpart 25.3 contracts performed outside the united states 25.3026 of mission will provide implementing instructions for nondod',
16263:'contractors performing private security functions and their personnel consistent with the standards set forth by the geographiccombatant commander. in accordance',
16264:'with 32 cfr 159.4c, the chief of mission has the option of instructing nondod contractors performing private security functions and',
16265:'their personnel to follow the guidance and procedures of the geographic combatant commander and/or a subunified commander or joint force',
16266:'commander where specifically authorized by the combatant commander to do so and notice of that authorization is provided to nondod',
16267:'agencies. 25.3025 remedies. a in addition to other remedies available to the government 1 the contractingofficer may direct the contractor,',
16268:'at its own expense, to remove and replace any contractor or subcontractor personnel performing private security functions who fail to',
16269:'comply with or violate applicable requirements. such action may be taken at the governments discretion without prejudice to its rights',
16270:'under any other contract provision, e.g., termination for default; 2 the contractingofficer shall includethe contractor’s failure tocomply with therequirements of',
16271:'this section in appropriate databases of past performance and consider any such failure in any responsibility determination or evaluation of',
16272:'past performance; and 3 in the case of awardfee contracts, the contractingofficer shall considera contractor’s failure to comply with the',
16273:'requirementsof this subsection in the evaluation of thecontractor’s performance during the relevantevaluation period,and may treat such failure as a basis',
16274:'for reducing or denying award fees for such period or for recovering all or part of award fees previously paid',
16275:'for such period. b if the performance failures are severe,prolonged, or repeated, the contracting officershallreferthe matter to the appropriate suspending',
16276:'and debarring official. 25.3026 contract clause. a use the clause at 52.22526, contractors performing private security functions outside the united',
16277:'states, in solicitations and contracts for performance outside the united states in an area of 1 combat operations, as designated',
16278:'by the secretary of defense; or 2 other significant military operations, as designated by the secretary of defense and only',
16279:'upon agreement of the secretary of defense and the secretary of state. b the clause is not required to be',
16280:'used for 1 contracts entered into by elements of the intelligence community in support of intelligence activities; or 2 temporary',
16281:'arrangements entered into bynondod contractors for the performance of private security functions by individualindigenous personnel not affiliated with a local',
16282:'orexpatriate security company. this page intentionally left blank. 25.34 subpart 25.4 trade agreements 25.401 subpart 25.4 trade agreements 25.400scope of',
16283:'subpart. a this subpart provides policies and procedures applicable to acquisitions that are covered by 1 the world trade organization',
16284:'government procurementagreement wto gpa, asapproved by congress in the uruguay round agreements act public law 103465; 2 free trade agreements',
16285:'fta, consisting of i usmca united statesmexicocanada agreement, as approved by congress in the united statesmexico canada agreement implementation act',
16286:'government procurement agreement applicable only to the united states and mexico pub. l. 116113 19 u.s.c. chapter 29 sections 45014732;',
16287:'iichile fta the united stateschile free trade agreement, as approvedby congressin the united stateschile free trade agreementimplementation act of1993 pub.',
16288:'l. 10877 19 u.s.c. 3805 note; iii singapore fta the united statessingapore free trade agreement,as approvedby congressin theunited statessingapore free',
16289:'trade agreementimplementation act pub. l. 1087819 u.s.c. 3805 note; iv australia ftathe united statesaustralia free trade agreement, as approved by',
16290:'congress in the united statesaustraliafree trade agreement implementation act pub. l. 108286 19 u.s.c. 3805 note; v moroccofta the unitedstatesmoroccofree',
16291:'trade agreement, as approved by congress in the united statesmorocco free trade agreementimplementation act pub. l. 108302 19 u.s.c. 3805',
16292:'note; vi caftadr the dominicanrepubliccentralamericaunited states freetradeagreement, as approved by congress inthe dominican republiccentral americaunited states free trade agreement implementation',
16293:'act pub. l. 10953 19 u.s.c. 4001 note; vii bahrainfta the united statesbahrainfree trade agreement, as approved by congress in',
16294:'the united states bahrain free trade agreement implementation act pub. l. 10916919 u.s.c. 3805 note; viii oman fta the united',
16295:'statesoman free trade agreement, as approved by congress in the united states oman free trade agreement implementation act pub. l.',
16296:'10928319 u.s.c. 3805 note; ix peru fta the united statesperu trade promotion agreement, as approved by congress in the united',
16297:'states perutradepromotion agreement implementationactpub. l. 110138 19 u.s.c. 3805 note; x korea fta the unitedstates–korea free trade agreementimplementation act pub.',
16298:'l. 1124119 u.s.c. 3805; xi colombia fta the unitedstates–colombia trade promotionagreement implementation act pub. l. 11242 19 u.s.c. 3805 note;',
16299:'and xii panamafta the united statespanamatradepromotion agreement implementationactpub. l. 11243 19 u.s.c. 3805 note; 3 the leastdevelopedcountry designationmadeby the u.s.',
16300:'trade representative, pursuant to the trade agreements act 19 u.s.c. 2511b4, in acquisitions covered by the wto gpa; 4 the',
16301:'caribbean basin trade initiative cbti determinationof the u.s. trade representative that end products or construction material granted dutyfree entry from',
16302:'countries designated as beneficiaries under the caribbean basin economic recovery act 19 u.s.c. 2701, et seq., with the exception of',
16303:'panama, must be treated as eligible products in acquisitions covered bythe wto gpa; 5 the israeli trade act the u.s.israel',
16304:'free trade area agreement, as approved by congress in the united states israel freetradearea implementation act of 1985 19u.s.c. 2112',
16305:'note; or 6 the agreement on trade in civil aircraft u.s. trade representative waiver of the buy american statute for',
16306:'signatoriesof the agreement on trade in civil aircraft, as implementedin the trade agreements act of 197919 u.s.c. 2513. b for',
16307:'application of the trade agreements that are unique to individual agencies, see agency regulations. 25.401exceptions. a this subpart does not',
16308:'apply to 1 acquisitions set aside for small businesses; 2 acquisitions of arms, ammunition, or war materials, or purchases indispensable',
16309:'for national security or for national defense purposes; 3 acquisitions of end products for resale; federal acquisition regulation 4 acquisitions',
16310:'from federal prison industries, inc., under subpart 8.6, and acquisitions under subpart 8.7, acquisition from nonprofit agencies employing people who',
16311:'are blind or severely disabled; 5 other acquisitions not using full and open competition, if authorized by subpart 6.2 or',
16312:'6.3, when the limitation of competition would preclude use of the procedures of this subpart; or sole source acquisitions justified',
16313:'in accordance with 13.501a; and 6 goods and services specifically excluded under individual trade agreements, such as exceptions negotiated by',
16314:'the u.s. trade representative for particular agencies. see the agency supplementary regulations. b in the world trade organization government procurement',
16315:'agreement wto gpa and each fta, there is a u.s. schedule that lists services that are excluded from that agreement',
16316:'in acquisitions by the united states. acquisitions of the following services are excluded from coverage bythe u.s. schedule of the',
16317:'wto gpa or an fta as indicated inthistable: the service federal service codes from the federal procurement data system product/service',
16318:'code manual are indicated in parentheses for some services. wto gpa and korea fta bahrain fta, caftadr, chile fta, columbia',
16319:'fta, usmca, oman fta, panama fta, and peru fta singapore fta australia and morocco fta 1 all services purchased in',
16320:'support of military services overseas. x x x x 2 i automatic data processing adp telecommunications and transmission services d304,',
16321:'except enhanced i.e., valueadded telecommunications services. x x ii adp teleprocessing and timesharing services d305, telecommunications network management services d316,',
16322:'automated news services, data services or other information services d317, and other adp and telecommunications services d399. x x iii',
16323:'basic telecommunications network services i.e., voice telephone services, packetswitched data transmission services, circuitswitched data transmission services, telex services, facsimile services,',
16324:'and private leased circuit services, but not information services, as defined in 47 u.s.c.15324. x x 3 dredging. x x',
16325:'x x 4 i operation and management contracts of certain government or privately owned facilities used for government purposes, including',
16326:'federally funded research and development centers. x x subpart 25.4 trade agreements 25.402 ii operation of all department of defense,',
16327:'department of energy, or the national aeronautics and space administration facilities; and all governmentowned research and development facilities or governmentowned',
16328:'environmental laboratories. x x 5 research and development. x x x x 6 transportation services including launching services, but not',
16329:'including travel agent services. x x x x 7 utility services. x x x x 8 maintenance, repair, modification, rebuilding',
16330:'and installation of equipment related to ships j019. x x 9 nonnuclear ship repair j998. x x note1. acquisitions of',
16331:'the services listed at 2iii of this table are a subset of the excluded services at 2i and ii, and',
16332:'aretherefore not covered under the wto gpa. note2. acquisitions of the services listed at 4ii of this table are a',
16333:'subset of the excluded services at 4i, and are therefore notcovered under the wto gpa. 25.402general. a 1thetradeagreementsact19 u.s.c.2501, et',
16334:'seq. provides the authority for the president to waive the buy american statute and other discriminatory provisions for eligible products',
16335:'from countries that have signed an international trade agreement withthe united states, or that meet certain other criteria, such as',
16336:'being a least developed country. the president hasdelegated this waiver authority to the u.s. trade representative. inacquisitions covered bythe wto',
16337:'gpa, free trade agreements, or theisraeli trade act, theu.s. traderepresentative has waived thebuy american statute and other discriminatory provisions for',
16338:'eligibleproducts. offers of eligible products receive equalconsideration with domestic offers. 2 the contractingofficer shall determine the originof services by the',
16339:'country in whichthe firm providing theservices is established. see subpart 25.5 for evaluation procedures for supply contracts covered by trade',
16340:'agreements. b the value of the acquisition is a determining factor in the applicability of trade agreements. most of these',
16341:'dollar thresholds are subject to revision by theu.s. traderepresentative approximatelyevery 2 years. the various thresholdsare summarized as follows: table 1',
16342:'toparagraph b trade agreement supply contract equal to or exceeding service contract equal to or exceeding construction contract equal to',
16343:'or exceeding wto gpa $174,000 $174,000 $6,708,000 ftas australia fta bahrain fta caftadr costa rica, dominican republic, el salvador, guatemala,',
16344:'honduras, and nicaragua chile fta colombia fta korea fta 102,280 174,000 102,280 102,280 102,280 100,000 102,280 174,000 102,280 102,280 102,280',
16345:'100,000 6,708,000 13,296,489 6,708,000 6,708,000 6,708,000 6,708,000 federal acquisition regulation morocco fta 174,000 174,000 6,708,000 usmca mexico 102,280 102,280 13,296,489',
16346:'oman fta 174,000 174,000 13,296,489 panama fta 174,000 174,000 6,708,000 peru fta 174,000 174,000 6,708,000 singapore fta 102,280 102,280 6,708,000',
16347:'israeli trade act 50,000 25.403 world trade organization government procurementagreement and free trade agreements. a eligibleproducts from wto gpa and',
16348:'fta countries are entitled to the nondiscriminatorytreatmentspecified in 25.402a1. the wto gpaand ftasspecify procurement proceduresdesigned to ensure fairness see 25.408.',
16349:'b thresholds. 1 to determine whether the acquisitionof products bylease,rental,or leasepurchasecontract including leasetoownership, orleasewithoptionto purchase is coveredby the wto gpa',
16350:'or an fta, calculate the estimated acquisition value as follows: i if a fixedterm contract of 12 months or less',
16351:'is contemplated, use the total estimated value of the acquisition. ii if a fixedterm contract of more than 12 months',
16352:'is contemplated, use the total estimated value of the acquisition plus the estimated residual value of the leased equipment at',
16353:'the conclusion of the contemplated term of the contract. iii if an indefiniteterm contract is contemplated, use the estimated monthly',
16354:'payment multiplied by the total number of months that ordering would be possible under the proposed contract, i.e., the initial',
16355:'ordering period plus any optional ordering periods. iv if there is any doubt as to the contemplated term of the',
16356:'contract, use the estimated monthly payment multiplied by 48. 2 the estimated value includes the value of all options. 3',
16357:'if, in any 12month period, recurring or multiple awards for the same type of product or products are anticipated, use',
16358:'the total estimated value of these projected awards to determine whether the wto gpaor an fta applies. do not divide',
16359:'any acquisition with theintent of reducing the estimatedvalueof the acquisition below the dollar threshold of the wto gpa or an',
16360:'fta. c purchase restriction. 1 under the trade agreements act 19 u.s.c. 2512, in acquisitions covered by the wto gpa,',
16361:'acquireonlyu.s.madeor designatedcountry end productsor u.s. or designated country services, unless offersfor suchend products orservicesare either not received or are insufficient',
16362:'to fulfill therequirements. this purchase restriction doesnot apply below thewto gpa threshold for supplies and services, even if the acquisition',
16363:'is coveredby an fta. 2 this restriction does not apply to purchases of supplies by the department of defense from',
16364:'a country with which it has entered into a reciprocal agreement, as provided in departmental regulations. 25.404least developed countries. for',
16365:'acquisitions coveredby the wto gpa, least developed country end products, construction material,andservicesmust be treated as eligible products. 25.405 caribbean basin',
16366:'trade initiative. under thecaribbeanbasin trade initiative, the united states trade representative hasdetermined that, for acquisitions covered bythe wto gpa, caribbean',
16367:'basin country end products, construction material,andservicesmust be treated as eligible products. in accordance with section 201 a3 of the dominican',
16368:'republiccentral americaunited states free trade implementation act pub. l. 10953 19 u.s.c. 4031,when the caftadr agreement enters into force with',
16369:'respectto a country, that countryis no longerdesignated asa beneficiarycountry for purposes of thecaribbean basin economic recovery act, and is therefore',
16370:'no longer included in the definition of caribbean basin country for purposes of thecaribbeanbasin trade initiative. subpart 25.4 trade agreements',
16371:'25.408 25.406 israeli trade act. acquisitions of supplies by most agencies arecovered by theisraeli trade act, if the estimated value',
16372:'of the acquisition is $50,000 or more butdoes not exceed thewtogpa threshold for supplies see 25.402b. agencies other than the',
16373:'department of defense,the department of energy, the departmentof transportation, the bureauof reclamation of the department of theinterior,the federalhousing finance board,',
16374:'and the office of thrift supervision must evaluate offers of israeli end productswithout regard to the restrictions of the buyamericanstatute.',
16375:'theisraeli trade act does not prohibitthe purchase of other foreign end products. 25.407 agreement on trade incivil aircraft. under theauthority',
16376:'of section 303of the trade agreements act, the u.s. trade representative has waived the buy american statute for civil aircraft',
16377:'and related articles thatmeet thesubstantial transformation test of thetradeagreements act, from countries that are parties to the agreement on trade',
16378:'in civil aircraft. thosecountriesare albania, austria, belgium, bulgaria, canada, croatia,cyprus, czechrepublic, denmark, egypt, estonia, finland, france, georgia, germany, greece, hungary,',
16379:'ireland,italy, japan, latvia, lithuania, luxembourg, macao china, malta, montenegro, the netherlands, norway, poland, portugal,romania, slovakia, slovenia, spain, sweden, switzerland, taiwan',
16380:'chinese taipei, and the united kingdom. 25.408 procedures. a if the wto gpa or an fta applies see 25.401, the',
16381:'contracting officer must 1 comply with the requirements of 5.203, publicizing and response time; 2 comply with the requirements of',
16382:'5.207, preparation and transmittal of synopses; 3 not include technical requirements in solicitations solely to preclude the acquisition of eligible',
16383:'products; 4 specify in solicitations that offerors must submit offers in the englishlanguage and inu.s. dollars see 52.21434, submission of',
16384:'offers inthe english language, and 52.21435, submission of offers in u.s. currency, or paragraph c5 of 52.2151, instruction toofferorscompetitive acquisitions;',
16385:'and 5 provide unsuccessful offerors from wto gpa or fta countries notice in accordancewith 14.4091 or 15.503. b see subpart',
16386:'25.5 for evaluation procedures and examples. this page intentionally left blank. 25.46 subpart 25.5 evaluating foreign offerssupply contracts 25.503 subpart',
16387:'25.5 evaluating foreign offerssupply contracts 25.501general. the contractingofficer a must apply the evaluation procedures of this subpart to eachline item',
16388:'of anoffer unless either the offeror the solicitation specifies evaluation on a group basis see 25.503; b mayrely on theofferor’s',
16389:'certificationof end product origin when evaluatinga foreign offer; cmustidentifyandrejectoffersofendproductsthatareprohibitedinaccordancewith subpart 25.7; and d when trade agreements are involved, must not',
16390:'use the buy american statute evaluation factors prescribed in this subpart to provide a preference for one foreign offer over',
16391:'anotherforeign offer. 25.502application. a unless otherwise specified in agency regulations, perform the following steps in the order presented: 1 eliminate',
16392:'all offers or offerors that are unacceptable for reasons other than price; e.g., nonresponsive, debarred or suspended, or a prohibited',
16393:'source see subpart 25.7. 2 rank the remainingoffers by price. 3 if the solicitation specifies award on the basis of',
16394:'factors in addition to cost or price, apply the evaluation factors as specifiedin this section and use the evaluated cost',
16395:'or price in determining the offerthat represents the best value tothe government. bforacquisitionscoveredbythewtogpasee subpart 25.4 1 consideronlyoffers of u.s.made ordesignated',
16396:'country end products, unless no offers of such end productswere received; 2 if the agencygives thesame consideration giveneligible offersto offers',
16397:'of u.s.made end products that are not domestic endproducts, award on the low offer. otherwise, evaluate inaccordancewith agency procedures; and',
16398:'3 if therewere no offers of u.s.made or designated countryendproducts, make a nonavailability determination see 25.103b2 and awardon the low',
16399:'offer see 25.403c. c for acquisitions not covered by the wtogpa, butsubject to the buy american statute an ftaor the',
16400:'israeli trade act also may apply, the following applies: 1 if the low offer is a domestic offer or an',
16401:'eligible offerunder anfta or the israelitradeact, awardon that offer. 2 if the low offer is a noneligible offer andthere were',
16402:'no domestic offers see 25.103b3, award onthe low offer. the procedures at 25.106b2 and 25.106c2 donot apply. 3 if the',
16403:'low offer is a noneligible offer andthere is an eligible offer thatis lower than the lowest domestic offer, award on',
16404:'the lowoffer. the procedures at 25.106b2 and 25.106c2 do notapply. 4 otherwise, apply the appropriate evaluation factor provided in 25.106',
16405:'to the low offer. theprocedures at 25.106b 2 and 25.106c2 do not apply. iif the evaluated price of the low',
16406:'offer remains less than thelowest domestic offer, award on thelow offer. iiif the priceof the lowestdomestic offer is less than',
16407:'the evaluated priceof the low offer, award on thelowest domestic offer. d ties. 1 if application of an evaluation factor',
16408:'results ina tie between a domestic offerand a foreign offer, award on thedomestic offer. 2 if no evaluation preference was',
16409:'applied i.e., offers afforded nondiscriminatory treatment under the buy american statute, resolve ties between domestic and foreign offers by a',
16410:'witnessed drawingof lots by animpartial individual. 3 resolve ties betweenforeign offersfrom small business concerns under the buyamericanstatute, a small business',
16411:'offering a manufactured articlethat doesnot meet the definition of domestic end product isa foreign offeror foreign offers from asmall business',
16412:'concern and a largebusiness concern inaccordance with 14.4086a. 25.503 group offers. a if the solicitation or an offerspecifiesthat award can',
16413:'be made only on a group ofline items oron allline items containedin thesolicitation or offer, rejectthe offer 1 if any',
16414:'part of the award would consist of prohibited end products see subpart 25.7; or 2 if the acquisition is covered',
16415:'by the wto gpa and any partof the offerconsists of items restricted in accordance with 25.403c. federal acquisition regulation b',
16416:'if an offer restricts awardto a group of line items or to all line items contained in the offer,determine for',
16417:'each line item whether to apply an evaluation factor see 25.5044, example 1. 1 first, evaluate offers thatdo not specify',
16418:'an award restriction on a line item basis in accordance with 25.502, determining a tentative award pattern byselecting for each',
16419:'line itemthe offer with thelowest evaluated price. 2 evaluate an offerthat specifies anaward restriction against the offered pricesof the tentativeaward',
16420:'pattern, applying the appropriate evaluation factor on a line item basis. 3 compute the total evaluated price for the tentative',
16421:'award pattern and the offer that specified an award restriction. 4 unlessthe total evaluated priceof the offerthat specified an award',
16422:'restriction isless than the totalevaluated price of the tentative award pattern, award based on the tentative award pattern. c if',
16423:'the solicitation specifies that award will be made only on a group of line items or all line items contained',
16424:'in the solicitation, determine the category of end products on the basis of each line item, but determine whether to',
16425:'apply an evaluation factor on the basis of the group of items see 25.5044, example 2. 1 if the proposed',
16426:'price of domestic end products exceeds 50 percent of the total proposed price of the group, evaluate theentire group as',
16427:'a domestic offer. evaluate allothergroups as foreign offers. 2 for foreign offers, if theproposed price of domesticend products and eligible',
16428:'products exceeds 50 percentof the total proposed price of the group, evaluate theentire group as aneligible offer. 3 apply the',
16429:'evaluation factor to the entire group in accordance with 25.502. d if no trade agreement applies to a solicitation and',
16430:'the solicitation specifies that award will be made only on a group of line items or all line items contained',
16431:'in the solicitation, determine the category of end products i.e., domestic or foreign on the basis of each line item,',
16432:'but determine whether to apply an evaluation factor on the basis of the group of items see 25.5044c, example 3.',
16433:'1 if the proposed price of domestic end products exceeds 50 percent of the total proposed price of the group,',
16434:'evaluate theentire group as a domestic offer. evaluate allothergroups as foreign offers. 2 apply the evaluation factor to the entire',
16435:'group in accordance with 25.502, except where 25.502c4 applies and theevaluated price of the low offer remains less than the',
16436:'lowest domestic offer. where the evaluatedprice of the low offer remains less than the lowest domestic offer, treatas a domestic',
16437:'offer any group wherethe proposed price of end products with a domestic content of at least 55 percent exceeds 50',
16438:'percent of the total proposed price of the group. 3 apply the evaluation factor to the entire group in accordance',
16439:'with 25.502c4. 25.504evaluation examples. the following examples illustrate the application of the evaluation procedures in 25.502 and 25.503. the examples',
16440:'assume that the contracting officerhas eliminated all offers thatare unacceptable for reasons otherthan price or a trade agreement see 25.502a1.',
16441:'the evaluation factor may change as provided in agency regulations. 25.5041 buy american statute. a 1 example 1. offer a',
16442:'$16,000 domestic end product, small business offer b $15,700 domestic end product, small business offer c $10,100 u.s.made end product',
16443:'not domestic, small business 2 analysis: this acquisition is for end products for use in the united states and is',
16444:'set aside for small business concerns. the buy american statute applies. since the acquisition value is less than $50,000 and',
16445:'the acquisition is set aside, none of thetrade agreementsapply. perform the stepsin 25.502a. offer c is of 50 percent domestic',
16446:'content, therefore offer c is evaluated as a foreign end product, because it is the product of a small business',
16447:'but is not a domestic end product see 25.502c4. since offer b is a domestic offer, apply the 30percent factor',
16448:'to offerc see 25.106b2. the resulting evaluated price of $13,130 remains lowerthan offer b. the cost of offer b is',
16449:'thereforeunreasonable see 25.106b1ii. the 25.106b2 procedures do not apply. awardon offer c at$10,100 see 25.502c4i. b 1 example 2. offer',
16450:'a $11,000 domestic end product, small business subpart 25.5 evaluating foreign offerssupply contracts 25.5043 offer b $10,700 domestic end product,',
16451:'small business offer c $10,200 u.s.made end product not domestic, small business 2 analysis: this acquisition is for end products',
16452:'for use in the united states and is set aside for small business concerns. the buy american statute applies. perform',
16453:'the steps in 25.502a. offer c is evaluated asa foreign end product because it is the product of a small',
16454:'business but is not a domestic end product see 25.502c4. after applying the 30 percent factor, the evaluated priceof offerc',
16455:'is $13,260. awardon offer b at$10,700 see 25.502c4ii. c 1 example 3. offer a $14,000 domestic end product complies with',
16456:'the required domestic content, small business. offer b 12,50010,100 u.s.made end product not domestic, exceeds 55% domestic content, small business.',
16457:'offer c u.s.made end product not domestic, with less than 55% domestic content, small business. 2 analysis. this acquisition is',
16458:'for end products for use in the united states and is set aside for small business concerns. the buy american',
16459:'statute applies. since the acquisition value is less than $50,000 and the acquisition is set aside, none of thetrade agreementsapply.',
16460:'perform the stepsin 25.502a. offers b and c areinitially evaluated as foreign end products, because they are the products of',
16461:'small businesses but are not domestic end products see 25.502c4. offer c is thelow offer. after applyingthe 30 percent factor,',
16462:'the evaluatedprice of offerc is $13,130. the resulting evaluated price of $13,130 remains lower than offera. the costof offerais therefore',
16463:'unreasonable. offer b is thentreated as adomestic offer, because it is for a u.s.made end product that exceeds 55 percent',
16464:'domesticcontent see 25.106b2. offerb is determined reasonable because it is lower than the $13,130 evaluated price ofoffer c. award on',
16465:'offer b at $12,500. 25.5042wto gpa/caribbean basin trade initiative/ftas. example 1. offer a $304,000 u.s.made end product not domestic offer',
16466:'b $303,000 u.s.made end product domestic, small business offer c $300,000 eligible product offer d $295,000 noneligible product not u.s.made',
16467:'analysis: eliminate offer d because the acquisition is coveredby the wto gpa and there isan offer of a u.s.made or',
16468:'an eligible product see 25.502b1. if the agency gives the same considerationgiven eligible offers to offers of u.s.made end products',
16469:'that are not domestic offers, it is unnecessary todetermine if u.s.made end productsare domestic large or small business. nofurther analysis',
16470:'is necessary. award on the lowremaining offer,offer csee 25.502b2. 25.5043fta/israeli trade act. a example 1. offer a $105,000 domestic end',
16471:'product, small business offer b $100,000 eligible product analysis: since the low offer isan eligible offer, award on the low',
16472:'offer see 25.502c1. b example 2. offer a $105,000 eligible product 25.5044 federal acquisition regulation offer b $103,000 noneligible product',
16473:'analysis: since the acquisition is not covered bythe wto gpa, the contracting officercan consider the noneligible offer. since no domestic',
16474:'offerwas received, make a nonavailability determination and award on offerb see 25.502c2. c example 3. offer a $105,000 domestic end',
16475:'product, large business offer b $103,000 eligible product offer c $100,000 noneligible product analysis: since the acquisition is not covered',
16476:'bythe wto gpa, the contracting officercan consider the noneligible offer. because the eligible offer offerb is lower thanthe domestic offeroffer',
16477:'a,no evaluation factor applies to the lowoffer offerc. award onthe low offer see 25.502c3. 25.5044group award basis. a example 1.',
16478:'offers item a b c 1 do = $55,000 el = $56,000 nel = $50,000 2 nel = $13,000 el',
16479:'= $10,000 el = $13,000 3 nel = $11,500 do = $12,000 do = $10,000 4 nel = $24,000 el',
16480:'= $28,000 nel = $22,000 5 do = $18,000 nel = $10,000 do = $14,000 $121,500 $116,000 $109,000 key: do',
16481:'= domestic end product el = eligible product nel = noneligible product problem: offeror c specifies allornone award. assume all',
16482:'offerors are large businesses. theacquisition is not covered by the wto gpa. analysis: see 25.503 step 1: evaluate offers a',
16483:'& b beforeconsidering offerc and determinewhich offer has the lowestevaluated cost for each line item the tentative award pattern: item',
16484:'1: low offer a is domestic; select a. item 2: low offer b is eligible; do notapply factor; selectb. item',
16485:'3: low offer a is noneligible and offerb is a domestic offer. apply a20 percent factor to offera. the evaluated',
16486:'price ofoffer a ishigher than offer b; selectb. item 4: low offer a is noneligible. since neither offer is adomestic',
16487:'offer,no evaluation factor applies; select a. item 5: low offer b is noneligible; apply a 20 percent factorto offer b.',
16488:'offer a is stillhigher than offer b; selectb. step 2: evaluate offer c against the tentative award patternforoffers a and',
16489:'b: subpart 25.5 evaluating foreign offerssupply contracts 25.5044 offers item low offer tentative award pattern from a and b c',
16490:'1 a do = $ 55,000 nel = $60,000 2 b el = $10,000 el = $13,000 3 b do',
16491:'= $12,000 do = $10,000 4 a nel = $24,000 nel = $22,000 5 b nel = $12,000 do =',
16492:'$14,000 total $113,000 $119,000 offer + 20 percent. on aline item basis, apply afactor to any noneligible offerif the other',
16493:'offer for that line item is domestic. for item 1, apply a factor to offer c because offer a is',
16494:'domestic and theacquisition was not coveredby the wto gpa. the evaluated price of offer c, item1, becomes $60,000 $50,000 plus',
16495:'20 percent. apply a factor tooffer b, item 5, because it is a noneligible product and offer c is domestic.',
16496:'the evaluatedprice of offerb is $12,000 $10,000 plus 20 percent. evaluate the remaining items withoutapplying afactor. step 3: the tentative',
16497:'unrestricted award pattern from offers a and bis lower than the evaluatedprice of offer c. award thecombinationof offers a and',
16498:'b. note that if offer c had not specified allornone award,award would be made onoffer c for line items 3',
16499:'and 4, totaling an award of $32,000. b example 2. offers item a b c 1 do = $50,000 el',
16500:'= $50,500 nel = $50,000 2 nel = $10,300 nel = $10,000 el = $10,200 3 el = $20,400 el',
16501:'= $21,000 nel = $20,200 4 do = $10,500 do = $10,300 do = $10,400 total $91,200 $91,800 $90,800 problem:',
16502:'the solicitation specifies award on a group basis. assume the buy american statute applies and the acquisition cannot be setaside',
16503:'for small businessconcerns. all offerors are large businesses. analysis: see 25.503c step 1: determine which ofthe offersare domestic see 25.503c1:',
16504:'domestic [percent] determination a $50,000 offer a1 + $10,500 offer a4 = $60,500 $60,500/$91,200 offer a total = 66.3% domestic',
16505:'b $10,300 offer b4 /$91,800 offer b total $ = 11.2% foreign c $10,400 offer c4 /$90,800 offer c total',
16506:'= 11.5% foreign step 2: determine whether foreignoffers areeligible or noneligibleoffers see 25.503c2: domestic + eligible [percent] determination 25.5044 federal',
16507:'acquisition regulation a n/a both domestic domestic b $50,500 offer b1 + $21,000 offer b3 + $10,300 offer b4= $81,800.',
16508:'$81,800 /$91,800 offer b total = 89.1% eligible c $10,200 offer c2 + $10,400 offer c4 = $20,600. $20,600/$90,800 offer',
16509:'c total = 22.7% noneligible step 3: determine whether to apply an evaluation factor see 25.503c3. the low offer offer',
16510:'c is a foreign offer. there is noeligible offer lower thanthe domestic offer. therefore, applythe factor tothe low offer. addition',
16511:'of the 20 percent factor use 30percent if offerais a small businessto offer c yields an evaluated price of $108,960',
16512:'$90,800 + 20 percent. award onoffer a see 25.502c4ii. notethat, ifoffer a were greater than offerb, an evaluationfactorwould not be',
16513:'applied, andaward would be on offer c see 25.502c3. c example 3. offers item a b c 1 do =',
16514:'$17,800 fo 55% = $16,000 fo 55% = $11,200 2 fo 55% = $9,000 fo 55% = $8,500 do =',
16515:'$10,200 3 fo 55% = $11,200 fo 55% = $12,000 fo 55% = $11,000 4 do = $10,000 do =',
16516:'$9,000 fo 55% = $6,400 total $48,000 $45,500 $38,800. key: do = domestic end product complies with the required domestic',
16517:'content. fo 55% = foreign end product with domestic content exceeding 55%. fo 55% = foreign end product with domestic',
16518:'content of 55% or less. problem: the solicitation specifies award on a group basis. assume only the buy american statute',
16519:'applies i.e., no trade agreements applyandthe acquisition cannot be setaside for smallbusinessconcerns. all offerors are large businesses. analysis: see 25.503d',
16520:'step 1: determine which ofthe offersare domestic see 25.503d1. domestic [percent] determination a $17,800 offer a1 + $10,000 offer a4',
16521:'= $27,800 $27,800/$48,000 offer a total = 58% domestic b $9,000 offer b4/$45,500 offer b total = 19.8% foreign c',
16522:'$10,200 offer c2/$38,800 offer c total = 26.3% foreign step 2: determine which offer, domestic orforeign, is thelow offer. if',
16523:'thelow offer is aforeign offer,apply the evaluationfactorsee 25.503d2. thelow offer offer c is a foreign offer. therefore,apply the factor to',
16524:'the low offer. addition of the 20 percent factoruse 30 percent if offer a is asmallbusiness to offer c yields',
16525:'an evaluated price of $46,560 $38,800 + 20 percent. offer c remains the low offer. step 3: determine ifthere is',
16526:'a foreign offer that could be treated asa domesticoffer see 25.106b2 and 25.503d2. amount of domestic content percent determination subpart',
16527:'25.5 evaluating foreign offerssupply contracts 25.5044 a n/a n/a b $9,000 offer b4/$45,500 offer b total $ = 19.8% is',
16528:'domestic and $16,000 offer b1 + $8,500 offer b2 + $12,000 offer b3 = $36,500 $36,500/$45,500 offer b total =',
16529:'80.2% can be treated as domestic 19.8% + 80.2% = 100% is domestic or can be treated as domestic can',
16530:'be treated as domestic. c $10,200 offer c2/$38,800 offer c total = 26.3% is domestic noneligible step 4: if there',
16531:'is a foreign offer thatcould be treated as a domestic offer, compare the evaluated priceof the low offer to the',
16532:'price ofthe offer treated asdomestic see 25.503d3. offer bcan be treated asa domestic offer $45,500. the evaluated price of the',
16533:'low offeroffer c is $46,560. award on offer b. this page intentionally left blank. 25.58 subpart 25.6 american recovery and',
16534:'reinvestment actbuy american statuteconstruction materials 25.6021 subpart 25.6 american recovery and reinvestment actbuy american statuteconstruction materials 25.600scope of subpart. this',
16535:'subpart implements section 1605 in division a of the american recovery and reinvestment act of 2009 pub. l. 1115 recovery',
16536:'act withregard to manufactured constructionmaterial and the 41 u.s.c. chapter 83, buy american referred to in this subpart as the',
16537:'buy american statute with regard to unmanufactured construction material. it applies to construction projects that use funds appropriated or otherwise',
16538:'provided by the recovery act. 25.601definitions. as used in this subpart domestic construction material means the following: 1 an unmanufactured',
16539:'construction material mined or produced in the united states. the buy american statute applies. 2 a manufactured construction material that',
16540:'is manufactured in the united states and, if the construction material consists wholly or predominantly of iron or steel, the',
16541:'iron or steel was produced in the united states. section 1605 of the recovery act applies. foreign construction material means',
16542:'a construction material other than a domestic construction material. manufactured construction material means any construction material that is not unmanufactured',
16543:'construction material. public building or public work means a building or work, the construction, prosecution, completion, or repair of which',
16544:'is carried on directly or indirectly by authority of, or with funds of, a federal agency to serve the interest',
16545:'of the general public regardless of whether title thereof is in a federal agency see 22.401. these buildings and works',
16546:'may include, without limitation, bridges, dams, plants, highways, parkways, streets, subways, tunnels, sewers, mains, power lines, pumping stations, heavy generators,',
16547:'railways, airports, terminals, docks, piers, wharves, ways, lighthouses, buoys, jetties, breakwaters, levees, and canals, and the construction, alteration, maintenance, or',
16548:'repair of such buildings and works. recovery act designated country means a world trade organization government procurement agreement country, a',
16549:'free trade agreement country,or aleast developed country. unmanufactured construction material means raw material brought to the construction site for incorporation',
16550:'into the building or work that has not been 1 processed into a specific form and shape; or 2 combined',
16551:'with otherraw materialto createa materialthat has different properties than the properties of the individual raw materials. 25.602 policy. 25.6021 section',
16552:'1605 of the recovery act. except as provided in 25.603 a none of the funds appropriated or otherwise made available',
16553:'by the recovery act may be used for a project for the construction, alteration, maintenance, or repair of a public',
16554:'building or public work unless the public building or public work is located in the united states and 1 all',
16555:'of the iron, steel, and manufactured goods used as construction material in the project are produced or manufactured in the',
16556:'united states. i all manufactured construction material must be manufactured in the united states. ii iron or steel components. a',
16557:'iron or steel components of construction material consisting wholly or predominantly of iron or steel must be produced in the',
16558:'united states. this does not restrict the origin of the elements of the iron or steel, but requires that all',
16559:'manufacturing processes of the iron or steel must take place in the united states, except metallurgical processes involving refinement of',
16560:'steel additives. b the requirement in paragraph a1iia of this section does not apply to iron or steel components or',
16561:'subcomponents in construction material that does not consist wholly or predominantly of iron or steel. iii all other components. there',
16562:'is no restriction on the origin or place of production or manufacture of components or subcomponents that do not consist',
16563:'of iron or steel. iv examples. a if a steel guardrail consists predominantly of steel, even though coated with aluminum,',
16564:'then the steel would be subject to the section 1605 restriction requiring that all stages of production of the steel',
16565:'occur in the united 25.6022 federal acquisition regulation states, in addition to the requirement to manufacture the guardrail in the',
16566:'united states. there would be no restrictions on the other components of the guardrail. b if a wooden window frame',
16567:'is delivered to the site as a single construction material, there is no restriction on any of the components, including',
16568:'the steel lock on the window frame; or 2 if tradeagreements apply, the manufactured construction materialshalleither comply with the requirements',
16569:'of paragraph a1 of this subsection, or be wholly the product of or be substantially transformed in a recovery act',
16570:'designated country; b manufactured materials purchased directly by the government and delivered to the site for incorporation into the project',
16571:'shall meet the same domestic source requirements as specified for manufactured construction material in paragraphs a1 and a2 of this',
16572:'section; and c a project may include several contracts, a single contract, or one or more line items on a',
16573:'contract. 25.6022 buy american statute except as provided in 25.603, use only unmanufactured construction material mined or produced in the',
16574:'united states, as required bythe buy american statute or, if trade agreements apply, unmanufactured construction material mined or produced in',
16575:'a designated country may also be used. 25.603exceptions. a 1whenoneofthefollowingexceptionsapplies,thecontractingofficermayallowthecontractortoincorporate foreign manufactured construction materials without regard to the restrictions of',
16576:'section 1605 of the recovery act or foreign unmanufactured construction material without regard to the restrictions of the buy american',
16577:'statute: i nonavailability. the head of the contracting activity may determine that a particular construction material is not mined, produced,',
16578:'or manufactured in theunited statesin sufficient and reasonably available commercial quantities of a satisfactoryquality. the determinations of nonavailability of the',
16579:'articles listed at 25.104a and the procedures at 25.103b 1 also apply if any of those articles are acquired as',
16580:'construction materials. ii unreasonable cost. the contractingofficer concludes that thecost of domestic construction material is unreasonable in accordance with 25.605.',
16581:'iii inconsistent with public interest. the head of the agency may determine that application of the restrictions of section 1605',
16582:'of the recovery act to a particular manufactured construction material, or the restrictions of the buy american statute to a',
16583:'particular unmanufactured construction material would be inconsistent with the public interest. 2 in addition, the head of the agency may',
16584:'determine that application of the buy american statute to a particular unmanufactured construction material would be impracticable. b determinations. when',
16585:'a determination is made, for any of the reasons stated in this section, that certain foreign construction materials may be',
16586:'used 1 the contractingofficer shall list the excepted materials in the contract; and 2 for determinations with regard to the',
16587:'inapplicability of section 1605 of the recovery act, unless the construction material has already been determined to be domestically nonavailable',
16588:'see list at 25.104, the head of the agency shall provide a notice to the federal register within three business',
16589:'days after the determination is made, with a copy to the administrator for federal procurement policy and to the recovery',
16590:'accountability and transparency board. the notice shall include i the title buy american exception under the american recovery and reinvestment',
16591:'act of 2009; ii the dollar value and brief description of the project; and iii a detailed justification as to',
16592:'why the restriction is being waived. c acquisitions under trade agreements. 1 for construction contracts with an estimated acquisition value',
16593:'of $6,708,000 or more, also see subpart 25.4.offers proposing the use of construction material from adesignated country shall receive equal',
16594:'considerationwith offers proposing theuse ofdomestic construction material. 2 for purposes of applying section 1605 of the recovery act to evaluation',
16595:'of manufactured construction material, designated countries do not include the caribbean basin countries. 25.604 preaward determination concerning theinapplicability of section',
16596:'1605of the recovery act or the buy american statute. a for any acquisition, an offeror may request from thecontracting officer',
16597:'a determination concerningthe inapplicability of section 1605 of the recovery act or the buy american statute for specifically identified construction',
16598:'materials. the time subpart 25.6 american recovery and reinvestment actbuy american statuteconstruction materials 25.606 for submitting the request is specified',
16599:'in the solicitation in paragraph b of either 52.22522 or 52.22524, whichever applies. the information and supporting data that must',
16600:'be included in the request are also specified in the solicitation in paragraphs c and d of either 52.22521 or',
16601:'52.22523, whichever applies. b before award,the contracting officer must evaluate all requests based on the information provided and may supplement',
16602:'this information with other readily available information. c determination based on unreasonable cost of domestic construction material. 1 manufactured construction',
16603:'material.the contracting officer must compare the offeredprice of thecontract using foreign manufactured construction material i.e., any construction material not manufactured',
16604:'in the united states, or construction material consisting predominantly of iron or steel and the iron or steel is not',
16605:'produced in the united states to the estimated price if all domestic manufactured construction material were used. if use of',
16606:'domestic manufactured constructionmaterial would increase the overall offeredprice of the contract by more than25 percent, then the contracting officer shall',
16607:'determine that the cost of thedomestic manufactured construction material isunreasonable 2 unmanufactured construction material. the contractingofficer mustcompare the cost ofeach',
16608:'foreign unmanufactured construction material to the cost of domestic unmanufactured construction material. if the cost of the domestic unmanufactured construction',
16609:'material exceeds the cost of the foreign unmanufactured construction material by more than 20 percent, then thecontracting officer shall determinethat',
16610:'the costof the domestic unmanufacturedconstruction material is unreasonable. 25.605 evaluating offers of foreign construction material. a if the contracting officerhas',
16611:'determined that an exception applies because the cost ofcertain domestic construction material is unreasonable, in accordance with section 25.604,then the',
16612:'contractingofficer shall applyevaluation factors to the offer incorporating the use of such foreign constructionmaterial as follows: 1 use an evaluation',
16613:'factor of25 percent, applied to the total offeredprice of thecontract, if foreign manufactured constructionmaterial is incorporated in the offer based',
16614:'onan exception for unreasonablecost of comparable domestic constructionmaterial requested by the offeror. 2 in addition, use an evaluation factor of',
16615:'20 percent applied to the cost of foreign unmanufactured construction material incorporated inthe offer based on an exception for unreasonable',
16616:'cost of comparable domestic unmanufactured constructionmaterial requested by the offeror. 3 total evaluated price = offered price + .25 x',
16617:'offered price, if a1 applies + .20 x cost offoreign unmanufactured construction material, if a2 applies. b if the solicitation',
16618:'specifies award on the basis of factors in addition to cost or price, apply the evaluation factors as specified in',
16619:'paragraph a of this section and use the evaluated price in determining the offer that represents the best value to',
16620:'the government c unless paragraphbapplies, if two or moreoffers areequal in price, the contracting officer must give preference to anoffer',
16621:'that does not include foreign constructionmaterial exceptedat the request of the offeror onthe basis of unreasonable cost. d offerorsalsomay submit',
16622:'alternate offers based onuse ofequivalent domestic construction material to avoidpossible rejection of the entire offer if the government determines that',
16623:'an exception permitting use ofa particular foreign construction material does not apply. e if the contracting officerawards a contract to',
16624:'an offeror that proposed foreignconstruction material notlisted in the applicable clause in the solicitation paragraph b3 of 52.22521, or paragraph',
16625:'b3 of 52.22523, the contracting officer must add the excepted materials to the list in the contract clause. 25.606postaward determinations.',
16626:'a if a contractor requests a determination regarding the inapplicability of section 1605 of the recovery act or the buy',
16627:'american statute after contract award, the contractor must explain why it could not request the determination before contract award orwhy',
16628:'the need for such determination otherwisewas not reasonablyforeseeable. ifthe contracting officer concludes that the contractor should have madethe request before',
16629:'contractaward, the contracting officermay denythe request. b the contractingofficer mustbase evaluation of any request for a determination regarding theinapplicability of',
16630:'section 1605 of the recovery act or the buy american statute made after contract award on information required by paragraphs',
16631:'c and d of the applicable clause at 52.22521 or 52.22523 and/or other readily available information. c if a determination,',
16632:'under 25.603a, is made after contract award that an exception to section 1605 of the recovery act or to the',
16633:'buy american statute applies,the contracting officer must negotiate adequateconsideration and modify the contract federal acquisition regulation to allow use of',
16634:'the foreign construction material. when the basis for the exception is the unreasonable cost of a domestic constructionmaterial, adequate considerationis',
16635:'at least thedifferentialestablished in 25.605a. 25.607noncompliance. the contractingofficer must a review allegations of violations of section 1605 of the recovery',
16636:'act or buy american statute; b unless fraud is suspected, notify the contractor of the apparent unauthorized use of foreign',
16637:'construction material and request a reply,to include proposed corrective action; and c if the review reveals that a contractor or',
16638:'subcontractor has used foreign construction material without authorization, take appropriate action, including one or more of the following: 1 process',
16639:'a determination concerning the inapplicability of section 1605 of the recovery act or the buy american statute in accordance with',
16640:'25.606. 2 consider requiring the removal and replacement of the unauthorized foreign construction material. 3 if removal and replacement of',
16641:'foreign construction material incorporated in a building or work would be impracticable,cause unduedelay, or otherwise be detrimental to the interests',
16642:'ofthe government, thecontracting officer may determine in writing that the foreign construction material need not be removed and replaced. a',
16643:'determination to retain foreign construction material does not constitute a determination that an exception to section 1605 of the recovery',
16644:'act or thebuy american statute applies, and this should be stated in the determination. further, a determinationto retain foreign constructionmaterial',
16645:'does notaffect the government’s rightto suspend ordebar a contractor, subcontractor, orsupplier for violation of section 1605 of the recovery act',
16646:'or the buy american statute, or to exercise other contractual rights and remedies, such as reducing the contract price or',
16647:'terminating the contract for default. 4 if the noncompliance is sufficiently serious, considerexercisingappropriate contractual remedies, suchas terminating the contract for',
16648:'default. also consider preparing and forwarding a report to the agency suspending or debarring official in accordance with subpart 9.4.',
16649:'if the noncompliance appears to be fraudulent, refer the matter to other appropriate agency officials,such as the agency’s inspector generalor',
16650:'the officerresponsibleforcriminal investigation. subpart 25.7 prohibited sources 25.7021 subpart 25.7 prohibited sources 25.700scope of subpart. this subpart implements a economic',
16651:'sanctions administered by the office of foreign assets control ofac in the departmentof the treasury prohibiting transactions involving certain countries,',
16652:'entities, and individuals; b the sudan accountability and divestmentactof 2007 pub. l. 110174 50 u.s.c. 1701 note; c the iran',
16653:'sanctions act of 1996 iran sanctions act pub. l. 104172; 50 u.s.c. 1701 note, including amendments by the iran freedomsupport',
16654:'act pub. l. 109293, section102 ofthe comprehensiveiran sanctions, accountability, and divestment act of 2010 pub. l. 111195, and titles ii',
16655:'and iii of the iranthreatreductionand syria human rightsactof 2012pub. l. 112158;and d prohibition against contracting with entities that export sensitive',
16656:'technologies to iran 22 u.s.c. 8515. 25.701 restrictions administered by thedepartmentof thetreasury on acquisitions of supplies or services from prohibited',
16657:'sources. a except as authorizedby ofac, agencies and their contractors and subcontractors must not acquire any supplies or services if',
16658:'any proclamation,executive order, orstatuteadministered by ofac, or if ofac’s implementingregulations at 31 cfr chapterv, would prohibit such atransactionby aperson subject',
16659:'tothe jurisdiction of the united states. b except as authorized byofac, most transactions involving cuba, iran,and sudan are prohibited, as',
16660:'are most imports from burma or north korea into the united states or its outlying areas. in addition, lists of',
16661:'entities and individuals subject to economic sanctions are included in ofac’s list of specially designated nationals and blocked persons at',
16662:'https:// ofac.treasury.gov/speciallydesignatednationalsandblockedpersonslistsdnhumanreadablelists. more information about these restrictions, aswell as updates, is available in ofac’s regulations at 31 cfr chaptervand/or on',
16663:'ofac’s website at https://ofac.treasury.gov/. c refer questions concerning the restrictions in paragraphs a or b of this section to the',
16664:'department of thetreasury office offoreignassets control washington, dc 20220 telephone 2026222490. 25.702 prohibitionon contracting with entities that conduct restricted business',
16665:'operations in sudan. 25.7021 definitions. as used in this section appropriate congressional committees means 1 the committee on banking, housing,',
16666:'and urban affairs, the committee on foreign relations, and theselect committee on intelligence of the senate; and 2 the committee',
16667:'on financial services, the committee on foreign relations, and the permanent select committee on intelligence of the house of representatives.',
16668:'business operations means engaging in commerce in any form, including by acquiring, developing, maintaining, owning, selling, possessing, leasing, or operatingequipment,',
16669:'facilities, personnel, products,services, personal property, real property, or any other apparatus of business or commerce. marginalized populations of sudan means',
16670:'1 adversely affected groups in regions authorized to receive assistance undersection 8c of the darfurpeace and accountability act pub. l.',
16671:'109344 50 u.s.c. 1701 note; and 2 marginalized areas innorthern sudan described insection 49 of suchact. restricted business operations 1',
16672:'means, except as provided in paragraph 2 of this definition, business operations in sudan that include power production activities, mineral',
16673:'extraction activities, oilrelated activities, or the production of military equipment, as those terms are defined in the sudan accountability anddivestment',
16674:'act of 2007 pub. l. 110174. 2 does not include business operations that the person as that term is defined',
16675:'in section 2 of the sudan accountability and divestment act of 2007 conducting the business can demonstrate i are conducted',
16676:'under contract directly and exclusively with the regional government of southern sudan; iiare conducted pursuant tospecific authorization from the office',
16677:'offoreign assets control inthe department of thetreasury, or areexpressly exempted under federal law from therequirementto beconductedunder suchauthorization; iii consist ofproviding',
16678:'goods orservices to marginalized populations of sudan; 25.7022 federal acquisition regulation iv consist of providing goods or services to an',
16679:'internationally recognized peacekeeping force or humanitarian organization; v consist of providing goods or services that are used only to promote',
16680:'health or education; or vi have been voluntarily suspended. 25.7022 certification. asrequired by the sudanaccountability and divestment act of 2007',
16681:'pub. l. 110174, each offeror must certify that it does not conduct restricted business operations in sudan. 25.7023 remedies. upon',
16682:'the determination of a false certification under subsection 25.7022 a thecontracting officer may terminate the contract; bthesuspendingofficialmaysuspendthecontractorinaccordancewiththeproceduresin subpart 9.4; and',
16683:'c thedebarringofficial may debar thecontractor for aperiod not to exceed 3 years in accordance with the procedures in subpart 9.4.',
16684:'25.7024waiver. a the president may waive the requirement of subsection 25.7022 on a casebycase basis if the president determines and',
16685:'certifies in writing to the appropriate congressional committees that it is in the national interest to do so. b an',
16686:'agency seekingwaiver of therequirementshallsubmit therequest to the administrator of theofficeof federal procurement policy ofpp, allowing sufficient time for review and',
16687:'approval. upon receipt ofthe waiver request,ofpp shall consult with the president’s national security council, office of african affairs, and the',
16688:'departmentof state sudan office and sanctions officeto assessforeign policy aspects of making anational interest recommendation. c agencies may request a',
16689:'waiver onan individual or class basis; however, waiversare not indefinite and can be cancelled if warranted. 1 a class waiver',
16690:'may be requested only when the class of supplies is not available from any other source and it is in',
16691:'the national interest. 2 prior to submitting the waiver request, the request must be reviewed and cleared by the agency',
16692:'head. 3 all waiver requests must include the following information: iagency name, complete mailing address,and point of contact name, telephone',
16693:'number, and email address; iiofferor’s name, complete mailing address,and point of contact name, telephone number, and email address; iii description/nature',
16694:'of product or service; iv the total cost and length of the contract; v justification,with market research demonstratingthat no other',
16695:'offeror can provide the product or service and stating why the product or service must be procured from thisofferor,as well',
16696:'as why it is in the national interest for the president to waive the prohibition oncontracting withthis offeror that conducts',
16697:'restricted business operations in sudan, including consideration of foreign policy aspects identified in consultations pursuant to 25.7024b; vi documentation regarding',
16698:'the offeror’s past performance and integrity see thecontractor performance assessment reporting system cparsincluding the federal awardeeperformance information and integrity system',
16699:'at https://www.cpars.gov and any other relevant information; vii information regarding the offeror’srelationship orconnection withother firms thatconduct prohibited business operations in',
16700:'sudan; and viii any humanitarian efforts engagedin by the offeror, the human rights impact of doingbusinesswith the offeror for which',
16701:'the waiver isrequested, and the extent of the offeror’s business operations in sudan. d the consultation in 25.7024b and the',
16702:'information in 25.7024c3 will be considered in determining whether to recommend that the president waive the requirement of subsection 25.7022.',
16703:'in accordance with section 6c of the sudan accountability and divestment act of 2007, ofpp will semiannually submit a report',
16704:'to congress, on april 15 th and october 15 th, on the waivers granted. 25.703 prohibitionon contracting with entities that',
16705:'engage in certain activitiesor transactions relatingto iran. 25.7031 definitions. as used in this section subpart 25.7 prohibited sources 25.7033 person',
16706:'1 means i a natural person; iiacorporation, business association, partnership, society, trust, financialinstitution, insurer, underwriter, guarantor,andany otherbusiness organization, any other',
16707:'nongovernmentalentity, organization,or group, and any governmental entity operating as a business enterprise; and iii any successor to any entity described',
16708:'in paragraph 1ii of this definition; and 2 does not include a government or governmental entity that is not operating',
16709:'as a business enterprise. sensitive technology 1 means hardware, software, telecommunications equipment, or any other technology that is to be',
16710:'used specifically ito restrict the freeflow of unbiased information in iran; or iito disrupt, monitor, or otherwise restrict speech of',
16711:'the peopleof iran; and 2 does not include information or informational materials the export of which the president does not',
16712:'have the authorityto regulate or prohibit pursuant to section203b3 of the internationalemergency economic powers act 50 u.s.c. 1702b3. 25.7032 iran',
16713:'sanctions act. a certification. 1 certification relating to activities described in section 5 of the iran sanctions act. as required',
16714:'by section 6b1a of the iran sanctions act 50 u.s.c. 1701 note, unless an exception applies in accordance with paragraph',
16715:'c of this subsection, or a waiver is granted in accordance with 25.7034, each offerormust certify that the offeror,andany person',
16716:'owned or controlledby the offeror, does not engagein any activityforwhich sanctionsmay be imposed under section 5 of the iran sanctions',
16717:'act. such activities, which are described in detail in section 5 of the iran sanctions act, relate to the energy',
16718:'sectorof iran and development by iran of weapons ofmass destructionor other military capabilities. 2 certification relating to transactions with irans',
16719:'revolutionary guard corps. as required by section 6b1b of the iran sanctions act 50 u.s.c. 1701 note, unless an exception',
16720:'applies in accordance with paragraph c of this subsection, or a waiver is granted in accordance with 25.7034, each offeror',
16721:'mustcertifythat the offeror, and any person owned or controlled bythe offeror, does not knowingly engage in any significanttransactioni.e., a transaction',
16722:'that exceeds $10,000, with irans revolutionary guard corps oranyof its officials, agents, or affiliates, the property and interestsin property of',
16723:'which are blocked pursuant tothe international emergencyeconomic powers act 50 u.s.c. 1701 et seq.see ofac’s specially designated nationals and blocked',
16724:'persons list at https://www.treasury.gov/resourcecenter/sanctions/sdnlist/ pages/default.aspx. b remedies. upon the determination of a false certification under paragraph a of this section,',
16725:'the agency shall take one or more of the following actions: 1 the contractingofficer terminates the contractin accordance with procedures',
16726:'in part 49, or for commercial products and commercial services, see 12.403. 2 the suspending officialsuspends the contractor inaccordance withthe',
16727:'procedures in subpart 9.4. 3 the debarring official debars thecontractor for aperiod of at least two years in accordance with',
16728:'the procedures in subpart 9.4. c exception for trade agreements. the certification requirements of paragraph a of this subsection do',
16729:'not apply if the acquisition issubject to trade agreements and the offeror certifiesthat all theoffered products are designated countryend products',
16730:'or designated country construction material see subpart 25.4. 25.7033prohibition on contractingwith entities that export sensitive technologyto iran. a the head',
16731:'of an executive agency may not enter into or extend a contract for the procurement of goods or services with',
16732:'a person that exports certain sensitive technology to iran, as determined by the president, and has an active exclusion in',
16733:'the system for award management at http://www.sam.gov 22 u.s.c. 8515. b each offeror mustrepresentthat it doesnot export anysensitivetechnology to thegovernment',
16734:'of iran oranyentities or individuals owned or controlled by, or actingon behalfor atthe direction of, the government of iran. c',
16735:'exception for trade agreements. the representation requirement of paragraph b of this subsection does not apply if theacquisition is subjectto',
16736:'trade agreements and the offeror certifies that allthe offered productsare designated country end products or designated country construction material see',
16737:'subpart 25.4. 25.7034 federal acquisition regulation 25.7034waiver. a an agency or contractor seeking a waiver of the requirements of 25.7032',
16738:'or 25.7033, consistent with section 6b 5 of the iran sanctions act or 22 u.s.c. 8551b,respectively, and thepresidential memorandum of',
16739:'september 23, 2010 75 fr 67025, shall submit the request to the office of federal procurementpolicy, allowing sufficienttime for reviewand',
16740:'approval. b agencies may request a waiver on an individual or class basis; however,waivers are not indefinite and can be',
16741:'cancelled, if warranted. 1 a class waiver may be requested only when the class of supplies or equipment is not',
16742:'available from any other source and it is in the national interest. 2 prior to submitting the waiver request, the',
16743:'request must be reviewed and cleared by the agency head. c in general, all waiver requests should include the following',
16744:'information: 1 agency name, complete mailing address, and point ofcontactname,telephone number, and email address. 2 offeror’s name, completemailing address, and',
16745:'point of contactname, telephone number,and email address. 3 description/nature of product or service. 4 the total cost and length of',
16746:'the contract. 5 justification,with market research demonstratingthat no other offeror can provide the product or service and stating why the',
16747:'product or service must be procured from this offeror. iif the offeror exports sensitive technology to the governmentof iran or',
16748:'any entities or individuals owned or controlled by, or actingon behalfor atthe direction of, the government of iran, provide rationale',
16749:'why it is in the national interest for the president towaive the prohibitionon contracting with this offeror, as required by',
16750:'22 u.s.c. 8551b. iiif the offeror conducts activities for which sanctions may beimposedunder section5 of the iran sanctions act or',
16751:'engages in any transaction that exceeds the threshold at 25.7032a2 with iran’s revolutionary guard corps oranyof itsofficials, agents, or affiliates,',
16752:'thepropertyand interests in property of which are blocked pursuantto theinternational emergencyeconomic powers act, provide rationale why it isessential tothe national',
16753:'security interests of the unitedstates for thepresident to waive the prohibition on contracting with this offeror, as required by section',
16754:'6b5 ofthe iran sanctions act. 6 documentation regarding theofferor’s past performance and integrity see thecontractor performance assessment reporting system cparsandthe',
16755:'federalawardee performance information and integritysystemat https:// www.cpars.gov, and any other relevant information. 7 information regardingthe offeror’s relationship or connectionwith other',
16756:'firms that iexport sensitive technology tothe governmentof iran or any entities or individuals owned or controlled by, or acting on',
16757:'behalf or at the direction of, the government of iran; ii conduct activities for which sanctions may be imposed under',
16758:'section 5 of the iran sanctions act; or iii conduct any transaction that exceeds the threshold at 25.7032a2 withiran’s revolutionary',
16759:'guard corps or any of its officials, agents, oraffiliates, the property and interests in property of whichare blocked pursuant to',
16760:'the international emergencyeconomic powers act. 8 describe i the sensitive technology and the entity or individual to which it was',
16761:'exported i.e., the government of iran or an entity or individual owned or controlledby, oracting on behalf or at the',
16762:'direction of, thegovernment of iran; iithe activities inwhich the offeror is engagedforwhich sanctionsmay be imposed undersection 5 of the iran',
16763:'sanctions act; or iii the transactions that exceed the threshold at 25.7032a2 with iran’s revolutionary guard corps or anyof itsofficials,',
16764:'agents, or affiliates, thepropertyand interests in property of which are blocked pursuantto theinternational emergencyeconomic powers act. subpart 25.8 other international',
16765:'agreements and coordination 25.802 subpart 25.8 other international agreements and coordination 25.801general. treaties and agreements between theunited statesandforeign governments affectthe',
16766:'evaluationof offers from foreign entities and the performance of contracts in foreign countries. 25.802 procedures. a when placing contracts with',
16767:'contractors located outside the united states, for performance outside the united states, contracting officers must 1 determine the existence and',
16768:'applicability of any international agreements and ensure compliance with these agreements; and 2 conduct the necessary advance acquisition planning and',
16769:'coordination between the appropriate u.s. executive agencies and foreign interests as required by these agreements. b the department of statepublishes',
16770:'many international agreements inthe unitedstates treaties and other international agreements series. copiesof this publication normallyare available in overseas legal officesandu.s.',
16771:'diplomatic missions. c contracting officers mustaward all contracts with taiwanese firms ororganizations through the american institute of taiwan ait. ait',
16772:'isunder contract tothe department of state. this page intentionally left blank. 25.82 subpart 25.9 customs and duties 25.903 subpart 25.9',
16773:'customs and duties 25.900scope of subpart. this subpart provides policies and procedures for exempting from import duties certain supplies purchased',
16774:'under government contracts. 25.901 policy. united states laws impose duties on foreign supplies imported into the customs territory of the',
16775:'united states. certain exemptions from these duties are available to government agencies. agencies must use these exemptions when the anticipated',
16776:'savings to appropriated funds will outweigh the administrative costs associated with processing required documentation. 25.902 procedures. for regulations governing importations',
16777:'and duties, see the customs regulations issued by the u.s. customs service, department of thetreasury 19 cfrchapter 1. except as',
16778:'provided elsewherein thecustoms regulations see 19 cfr 10.100, all shipments of imported supplies purchased under government contracts are subject to',
16779:'the usual customs entry and examination requirements. unless the agency obtains an exemption see 25.903, those shipments are also subject',
16780:'to duty. 25.903exempted supplies. a subchapters viii andxof chapter 98 ofthe harmonized tariff schedule of the united states 19 u.s.c.',
16781:'1202 list supplies for which exemptions from duty may be obtained when imported into the customs territory of the united',
16782:'states under a government contract. for certain of these supplies, the contracting agency must certify to the commissioner of customs',
16783:'that they areforthe purpose statedin the harmonized tariff schedule see19 cfr 10.102104, 10.114, and 10.121 and 15 cfr part 301',
16784:'for requirements and formats. b supplies excluding equipment for governmentoperated vessels or aircraft may be withdrawn from any customs bonded',
16785:'warehouse, from continuous customs custody elsewhere than in a bonded warehouse, or from a foreigntrade zone, free of duty and',
16786:'internal revenue tax as provided in 19 u.s.c. 1309 and 1317. the contracting activity must cite this authority on the',
16787:'appropriate customs form when making purchases see 19 cfr 10.59 10.65. this page intentionally left blank. 25.92 subpart 25.10 additional',
16788:'foreign acquisition regulations 25.1003 subpart 25.10 additional foreign acquisition regulations 25.1001 waiverof right to examination of records. a policy. the',
16789:'clause at 52.2152, audit and recordsnegotiation, prescribed at 15.209b, and paragraph d of the clause at 52.2125, contract terms and',
16790:'conditionsrequiredto implementstatutes or executive orderscommercial products and commercial services, prescribed at 12.301b4, implement 10 u.s.c. 3841 and 41 u.s.c. 4706.',
16791:'the basic clauses authorize examination of records by the comptroller general. 1 insert the appropriate basic clause, whenever possible, in',
16792:'negotiated contracts with foreign contractors. 2 the contractingofficer may use 52.2152 with its alternate iii or 52.2125 with its alternate',
16793:'i after iexhausting all reasonable efforts to include the basic clause; iiconsideringfactors such asalternate sources ofsupply, additional cost, andtime of',
16794:'delivery; and iii the head of the agency has executed a determination and findings in accordance with paragraph b of',
16795:'this section,with the concurrence of the comptroller general. however,concurrence of the comptroller general is notrequired if the contractor is a',
16796:'foreign government or agency thereof or is precluded by the laws of the country involved from making its records available',
16797:'for examination. b determination and findings. the determination and findings must 1 identify the contract and its purpose, and identify',
16798:'if the contract is with a foreign contractor or with a foreign government or an agency of a foreign government;',
16799:'2 describe the efforts toinclude the basic clause; 3 state the reasons for the contractor’s refusal to includethe basic clause;',
16800:'4 describe the price and availability of the supplies or services from the united states and other sources; and 5',
16801:'determine that it will best serve the interest of the united states to use the appropriate alternate clause in paragraph',
16802:'a2 of this section. 25.1002 use of foreign currency. a unless an international agreement or the wto gpa see 25.408a4',
16803:'requires aspecific currency, contracting officers must determine whether solicitations for contracts to be entered into and performed outside the united',
16804:'states will require submission of offersin u.s. currency ora specifiedforeign currency. in unusualcircumstances, the contracting officermay permit submission of offers',
16805:'in other than a specified currency. b to ensure afair evaluation of offers, solicitations generallyshouldrequire all offers to be pricedin',
16806:'thesame currency. however, if the solicitation permits submissionof offers in other than a specified currency, the contracting officermust convertthe offered',
16807:'prices to u.s. currency for evaluationpurposes. the contracting officer must use the current market exchange rate froma commonly used source',
16808:'ineffect as follows: 1 for acquisitions conducted using sealed bidding procedures, on the date of bid opening. 2 for acquisitions',
16809:'conducted using negotiation procedures ion the date specified for receiptof offers, if award is based on initial offers;otherwise ii on',
16810:'the date specified for receipt of final proposal revisions. c if a contract ispriced in foreign currency, the agency must',
16811:'ensure thatadequate funds areavailableto cover currency fluctuations toavoid a violation of theantideficiency act 31 u.s.c. 1341, 1342, 15111519. 25.1003 tax',
16812:'on certain foreign procurements. see 29.204 for theimpositionof the tax on certain foreignprocurementspursuant to the jameszadroga 9/11health and compensation act',
16813:'of 2010 pub. l. 111347, 26 u.s.c. 5000 c, and its implementing regulations at 26 cfr 1.5000c1 through 1.5000c7. this',
16814:'page intentionally left blank. 25.102 subpart 25.11 solicitation provisions and contract clauses 25.1101 subpart 25.11 solicitation provisions and contract clauses',
16815:'25.1101 acquisition of supplies. the following provisions and clauses apply to the acquisition of supplies and the acquisition of services',
16816:'involving the furnishing of supplies. a 1 i insert the clause at 52.2251, buy americansupplies, in solicitations and contracts with',
16817:'a value exceeding the micropurchase threshold but not exceeding $50,000; and in solicitations and contracts with a value exceeding $50,000,',
16818:'if none of theclauses prescribed in paragraphs b and c of this section apply, except if a the solicitation is',
16819:'restricted to domestic end products in accordance with subpart 6.3; b the acquisition is for supplies for use within the',
16820:'united states and an exception to the buy american statute applies e.g., nonavailability, public interest, or informationtechnology that is a',
16821:'commercial product; or c the acquisition is for supplies for use outside the united states. iithe contracting officer shall use',
16822:'theclause with itsalternate ito reflect the domestic content threshold that will apply to the entire period of performance, when the',
16823:'senior procurement executive allows for application of an alternate domestic content test for the contract in accordance with 25.101d. for',
16824:'contracts that the contractingofficer estimates will beawarded in calendaryear 2022 or 2023, the contractingofficer shall insert “60” in paragraph 1iia',
16825:'of the definition of “domesticend product.” for contractsthat thecontracting officer estimates will be awarded incalendar year 2024,2025, 2026, 2027, or',
16826:'2028, the contracting officer shall insert “65”. for contracts that the contracting officer estimateswill be awarded after calendar year 2028',
16827:'the contracting officer shall insert “75”. 2 insert the provision at 52.2252, buy american certificate, in solicitations containing the clause',
16828:'at 52.2251. b 1 i insert the clause at 52.2253, buy americanfreetradeagreementsisraeli trade act, in solicitations and contracts if a',
16829:'the acquisition is for supplies, or for services involving the furnishing of supplies, for use within the united states, and',
16830:'the acquisition value is $50,000; or more, but is less than $174,000; b the acquisition is not for information technology',
16831:'that is a commercial product, using fiscal year 2004 or subsequent fiscal year funds; and c no exception in 25.401applies.',
16832:'foracquisitions of agencies not subjectto theisraeli trade act see 25.406, see agency regulations. ii if the acquisition value is $50,000',
16833:'or more but is less than $100,000, use the clause with its alternate ii. iii if the acquisition value is',
16834:'$100,000 or more but is less than $102,280, use the clause with its alternate iii. iv the contracting officer shall',
16835:'use the clause with its alternateiv to reflect the domestic content thresholdthat will apply to the entire period of performance,',
16836:'when the senior procurement executive allows for application of an alternate domestic content test for the contract in accordance with',
16837:'25.102d. for contracts that the contractingofficer estimates will beawarded in calendaryear 2022 or 2023, the contractingofficer shall insert “60” in',
16838:'paragraph 1iia of the definition of “domesticend product.” for contractsthat thecontracting officer estimates will be awarded incalendar year 2024,2025, 2026,',
16839:'2027, or 2028, the contracting officer shall insert “65”. for contracts that the contracting officer estimateswill be awarded after calendar',
16840:'year 2028 the contracting officer shall insert “75”. 2 i insert the provision at 52.2254,buyamericanfreetradeagreementsisraelitradeactcertificate,in solicitations containing the clause at',
16841:'52.2253. ii if the acquisition value is $50,000 or more but is less than $100,000, use the provision with its',
16842:'alternate ii. iii if the acquisition value is $100,000 or more, but is less than $102,280, use the provision with',
16843:'its alternate iii. c 1 insert the clause at 52.2255,tradeagreements,insolicitationsandcontractsvaluedat$174,000ormore,if theacquisitioniscoveredbythewtogpasee subpart 25.4 and the agency has determined that the',
16844:'restrictions of the buy american statute are not applicable to u.s.made end products. if the agency has not made such',
16845:'a determination, the contracting officermust followagency procedures. 2 insert the provision at 52.2256,tradeagreements certificate, in solicitations containing the clause at',
16846:'52.2255. d insert the provision at 52.2257,waiver of buyamericanstatuteforcivil aircraft and related articles, in solicitations for civil aircraft and related',
16847:'articles see 25.407, if the acquisition value is less than $174,000. e insert the clause at 52.2258, dutyfree entry,in solicitations',
16848:'and contracts for supplies that may be imported into the united states and for which dutyfree entry may be obtained',
16849:'in accordance with 25.903a, if the value of the acquisition 1 exceeds the simplified acquisition threshold; or 25.1102 federal acquisition',
16850:'regulation 2 does not exceed the simplified acquisition threshold, but the savings from waiving the duty is anticipated to bemore',
16851:'thanthe administrative cost of waiving the duty. when used for acquisitions that donot exceed the simplified acquisition threshold, the contractingofficer',
16852:'may modify paragraphs c1 and j2of the clause toreduce the dollar figure. f insert the provision at 52.22518, place of',
16853:'manufacture, in solicitations that are predominantly for the acquisition of manufactured end products i.e., the estimated value of the manufactured',
16854:'end products exceeds the estimated value of other items to be acquired as a result of the solicitation. 25.1102 acquisition',
16855:'of construction. when using funds other than those appropriated under the american recovery and reinvestment act of 2009 pub. l.',
16856:'1115 recovery act,follow the prescriptions in paragraphs a through d ofthissection. otherwise, follow the prescription in paragraph e. a insert',
16857:'the clause at 52.2259, buy americanconstruction materials, in solicitations and contracts for construction that is performed in the united states',
16858:'valued at less than $6,708,000. 1 list in paragraph b2 of the clause all foreign construction material excepted from the',
16859:'requirements of the buy american statute. 2 if the head of the agency determines that a higher percentage is appropriate,',
16860:'substitute the higher evaluation percentage in paragraph b3i of the clause. 3 the contractingofficer shall usethe clause with its alternatei',
16861:'to reflect the domestic contentthreshold that will apply to the entire period of performance, when the senior procurement executive allows',
16862:'for application of an alternate domestic content test for the contract in accordance with 25.201c. for contractsthat thecontracting officer estimates',
16863:'will beawarded in calendaryear 2022 or 2023, the contractingofficer shall insert “60” in paragraph 1iia of the definition of “domestic',
16864:'construction material.” for contracts that the contracting officer estimateswill be awarded in calendar year 2024, 2025, 2026, 2027, or 2028,',
16865:'the contracting officershallinsert “65”. for contracts thatthe contracting officerestimates will be awarded after calendar year 2028 the contracting officer shall',
16866:'insert “75”. b 1 insert the provision at 52.22510, notice of buy american requirementconstruction materials, in solicitations containing the clause',
16867:'at 52.2259. 2 if insufficient timeis available toprocess a determination regarding the inapplicability of thebuy american statute beforereceipt of offers,',
16868:'use the provision with itsalternate i. c insert the clause at 52.22511, buy americanconstruction materials under trade agreements, in solicitations',
16869:'and contracts for construction that is performed in the united states valued at $6,708,000 or more. 1 list in paragraph',
16870:'b3 of the clause all foreign construction material excepted from the requirements of the buy american statute, other than designated',
16871:'country construction material. 2 if the head of the agency determines that a higher percentage is appropriate, substitute the higher',
16872:'evaluation percentage in paragraph b4i of the clause. 3 for acquisitions valued at $6,708,000 or more, but less than $13,296,489,',
16873:'use the clause with its alternate i. list in paragraph b3 of the clause all foreign construction material excepted from',
16874:'the requirements of the buy american statute, unless the excepted foreign construction material is from a designated country other than',
16875:'bahrain, mexico, and oman. 4 the contractingofficer shall usethe clause with its alternateii to reflect the domesticcontent threshold that will',
16876:'apply to the entire period of performance, when the senior procurement executive allows for application of an alternate domestic content',
16877:'test for the contract in accordance with 25.201c. for contractsthat thecontracting officer estimates will beawarded in calendaryear 2022 or 2023,',
16878:'the contractingofficer shall insert “60” in paragraph 1iia of the definition of “domestic construction material.” for contracts that the contracting',
16879:'officer estimateswill be awarded in calendar year 2024, 2025, 2026, 2027, or 2028, the contracting officershallinsert “65”. for contracts thatthe',
16880:'contracting officerestimates will be awarded after calendar year 2028 the contracting officer shall insert “75”. d 1 insert the provision',
16881:'at 52.22512, notice of buy american requirementconstruction materials under trade agreements, in solicitations containing the clause at 52.22511. 2 if',
16882:'insufficient timeis available toprocess a determination regarding the inapplicability of thebuy american statute beforereceipt of offers, use the provision with',
16883:'itsalternate i. 3 for acquisitions valued at $6,708,000 or more, but less than $13,296,489, use the provision with its alternate',
16884:'ii. e 1 when using funds appropriated under the recovery act for construction, use provisions and clauses 52.22521, 52.22522, 52.22523,',
16885:'or 52.22524 with appropriate alternates in lieu of the provisions and clauses 52.2259, 52.22510, 52.22511, or 52.22512 with appropriate alternates,',
16886:'respectively,that would be applicable asprescribed in paragraphs a through d of this section if recovery act funds were not used.',
16887:'subpart 25.11 solicitation provisions and contract clauses 25.1103 2 if these recovery act provisions and clauses are only applicable to',
16888:'a project consisting of certain line items in the contract, identifyin theschedule the line items to which the provisions and',
16889:'clauses apply. 3 when using clause 52.22523, list foreign construction material in paragraph b3 of the clause as follows: i',
16890:'basic clause. list all foreign construction materials excepted from the buy american statute or section 1605 of the recovery act,',
16891:'other than manufactured construction material from a recovery act designated country or unmanufactured constructionmaterial froma designated country. ii alternate i.',
16892:'list in paragraph b3 of the clause all foreign construction material excepted from the buy american statute or section 1605',
16893:'of the recovery act, other than a manufactured construction material from a recovery act designated country other than bahrain, mexico,',
16894:'or oman; or b unmanufactured construction material from a designated country other than bahrain, mexico, or oman. 25.1103 other provisionsand',
16895:'clauses. a restrictions on certain foreign purchases. insert the clause at 52.22513, restrictions on certain foreign purchases, in solicitations and',
16896:'contracts, unless an exception applies. b translations. insert the clause at 52.22514, inconsistency between english version and translation of contract,in',
16897:'solicitations and contracts if anticipating translation into another language. c foreign currency offers. insert the provision at 52.22517, evaluation of',
16898:'foreign currencyoffers,in solicitations that permit the useof other than aspecified currency. insert in the provision the source of the rate',
16899:'to be used in the evaluation of offers. d the contractingofficer shall includein each solicitation for theacquisitionof other than commercialproducts',
16900:'or commercial services the provision at 52.22520, prohibition on conducting restricted business operations in sudan— certification. e thecontracting officer shall',
16901:'include in all solicitations the provision at 52.22525, prohibition on contracting with entities engaging in certain activities or transactions relating',
16902:'toiranrepresentationandcertifications. this page intentionally left blank. 25.114 part 26 other socioeconomic programs sec. subpart 26.1 indianincentive program 26.100 scope of',
16903:'subpart. 26.101 definitions. 26.102 policy. 26.103 procedures. 26.104 contract clause. subpart 26.2 major disaster or emergency assistance activities 26.200 scope',
16904:'of subpart. 26.201 definitions. 26.202 local area preference. 26.2021 local area setaside. 26.2022 evaluation preference. 26.203 transition of work. 26.204',
16905:'justification for expenditures to other than local firms. 26.205 disaster response registry. 26.206 solicitation provision and contract clauses. subpart 26.3',
16906:'historically black colleges and universities and minority institutions 26.300 scope of subpart. 26.301 [reserved] 26.302 general policy. 26.303 data collection',
16907:'and reporting requirements. 26.304 solicitation provision. subpart 26.4 food donations to nonprofit organizations 26.400 scope of subpart. 26.401 definitions. 26.402',
16908:'policy. 26.403 procedures. 26.404 contract clause. subpart 26.5 drugfree workplace 26.500 scope of subpart. 26.501 applicability. 26.502 authority. 26.503 definitions.',
16909:'26.504 policy. 26.505 suspension of payments, termination of contract, and debarment and suspension actions. 26.506 contract clause. subpart 26.6 encouraging',
16910:'contractor policies to ban text messaging while driving 26.601 purpose. 26.602 applicability. 26.603 definitions. 26.604 policy. 26.605 contract clause. this',
16911:'page intentionally left blank. subpart 26.1 indian incentive program 26.103 subpart 26.1 indian incentive program 26.100scope of subpart. this subpart',
16912:'implements 25 u.s.c.1544, which provides anincentive to prime contractorsthat use indianorganizations and indianowned economic enterprises as subcontractors. 26.101definitions. as used',
16913:'in this subpart indian means any person who is a member of any indian tribe, band, group, pueblo, or community',
16914:'that is recognized by the federal government as eligible for services from the bureau of indian affairs bia inaccordancewith 25',
16915:'u.s.c. 1452c and any native as defined in the alaska native claims settlement act 43 u.s.c. 1601. indian organization means',
16916:'the governing body of any indian tribe or entity established or recognized by the governing body of an indian tribe',
16917:'for the purposes of 25 u.s.c., chapter 17. indianowned economic enterprise means any indianowned as determined by the secretary of',
16918:'the interior commercial, industrial, or businessactivity establishedor organized for the purpose of profit, provided that indian ownership constitutes not less',
16919:'than 51 percent of the enterprise. indian tribe means any indiantribe, band, pueblo, or community,including native villages and native groupsincluding',
16920:'corporations organized by kenai, juneau, sitka, and kodiak as definedin thealaskanative claims settlementact, that is recognized by the federal government',
16921:'as eligible for services from bia in accordance with 25 u.s.c. 1452c. interested party means aprimecontractor or an actual or',
16922:'prospective offeror whose direct economicinterest would be affected bythe award ofa subcontract or by the failure to awarda subcontract. 26.102',
16923:'policy. indian organizationsandindianowned economic enterprises shall have the maximum practicableopportunity to participate in performing contracts awarded by federal agencies. in',
16924:'fulfilling this requirement, the indian incentive program allows an incentive payment equal to 5 percent of the amount paid to',
16925:'a subcontractor in performing the contract, if the contract so authorizes and the subcontractor is an indian organization or indianowned',
16926:'economic enterprise. 26.103 procedures. a contracting officers and prime contractors, actingin goodfaith, may rely on the representation of an indian',
16927:'organizationor indianowned economicenterpriseas to its eligibility,unlessan interested party challenges its status or the contracting officerhas independent reason to question that',
16928:'status. b in the event of a challengeto the representation of a subcontractor,the contracting officer shall refer the matter to',
16929:'the u.s. department of theinterior bureau ofindian affairs bia attn: acquisition management director 12220 sunrise valley drive reston, va20191. the',
16930:'biawill determine the eligibility and notify thecontracting officer. c thebia will acknowledge receipt ofthe request from thecontracting officer within5 workingdays.',
16931:'within45 additional working days,bia will advisethe contracting officer, inwriting, of its determination. d the contractingofficer will notify the prime contractorupon',
16932:'receipt of a challenge. 1 to be consideredtimely,a challenge shall i be in writing; ii identify the basis for the',
16933:'challenge; iii provide detailed evidence supporting the claim; and iv be filed withand received bythe contracting officer prior to award',
16934:'of the subcontract in question. 2 if the notification of a challenge is received by the prime contractor prior to',
16935:'award, it shall withhold award of the subcontract pending the determination bybia, unless the prime contractor determines, and the contracting',
16936:'officer agrees,that award must be made in order to permit timely performance of the prime contract. 3 challenges received after',
16937:'award of the subcontract shall be referred to bia, but the bia determination shall have prospective application only. e if',
16938:'the bia determinationis not received within the prescribed time period,the contracting officer andthe prime contractor mayrely on the representation of',
16939:'thesubcontractor. federal acquisition regulation f subject to the termsandconditions ofthe contract and theavailabilityof funds, contracting officersshallauthorize an incentive payment of',
16940:'5 percent of the amount paid to thesubcontractor. contractingofficers shall seek funding inaccordance with agency procedures. 26.104contract clause. contracting officersin',
16941:'civilian agencies may insert the clause at 52.2261, utilization of indianorganizations and indian owned economic enterprises, in solicitations and contracts',
16942:'if a inthe opinion of the contracting officer, subcontracting possibilitiesexistforindian organizations or indianowned economic enterprises; and b funds are available',
16943:'for any increased costs as described in paragraph b2 of the clause at 52.2261. subpart 26.2 major disaster or emergency',
16944:'assistance activities 26.203 subpart 26.2 major disaster or emergency assistance activities 26.200scope of subpart. this subpart implements therobert t. stafforddisaster',
16945:'relief and emergency assistanceact42u.s .c.5150, which provides apreferenceforlocal organizations, firms, and individuals when contractingformajordisasteror emergency assistance activities. 26.201definitions. emergency response',
16946:'contract means a contract with private entities that supports assistance activities in a major disaster or emergencyarea, such as debris',
16947:'clearance, distribution of supplies, or reconstruction. local firm means a private organization,firm,or individual residing ordoing business primarily in a major',
16948:'disaster or emergencyarea. major disaster or emergency area means the areaincluded in the official presidentialdeclarations and any additional areas identifiedby',
16949:'the department of homeland security. major disaster declarations and emergencydeclarationsare published in the federal register and are available at https://www.fema.gov/disasters/disaster/declarations.',
16950:'26.202 local area preference. a whenawardingemergencyresponsecontractsduringthetermofamajordisasteroremergencydeclarationbythe president of theunited statesunder theauthority of the robert t. stafford disaster relief and emergency',
16951:'assistance act 42 u.s.c. 5121, et seq., preference shall be given, to the extent feasible and practicable, to local firms.',
16952:'preference may be given through a local area setaside or an evaluation preference. b whenusingtheauthorityunderthestaffordact,seethedefinitionsof micropurchasethreshold and simplified acquisition threshold',
16953:'in 2.101 for the authority to use an increased micropurchase threshold and simplified acquisition threshold. 26.2021local area setaside. the contractingofficer',
16954:'may set aside solicitations toallow only local firms within a specific geographic area to compete see 6.208. a thecontracting officer,in',
16955:'consultation with the requirementsoffice, shall define the specific geographicarea for the local setaside. b a major disaster or emergency area',
16956:'may span counties in several contiguousstates. the setaside areaneednot include all thecounties in the declareddisaster/emergency areas, but cannot gooutside it.',
16957:'c thecontracting officer shall also determinewhethera local area setaside should befurther restricted to small business concerns in the setaside area',
16958:'see part 19. 26.2022evaluation preference. the contractingofficer may use an evaluation preference,when authorized inagency regulations or procedures. 26.203 transitionof work.',
16959:'a inanticipation ofpotentialemergency response requirements,agencies involved in response planning should consider awarding emergency responsecontracts before a major disaster or emergency',
16960:'occurs toensure immediate response and relief. these contracts should be structured to respond to immediate emergency responseneeds, and should not',
16961:'bestructured in any way that may inhibitthe transition ofemergency response work to localfirms e.g., unnecessarily broad scopes of work or',
16962:'long periods of performance. b 42u.s.c.5 150b2 requires that agencies performing response, relief, and reconstruction activities transition to localfirms any',
16963:'work performed undercontracts in effect on the date on whichthe president declares a major disaster or emergency, unless theheadof such',
16964:'agency determines inwriting that it is not feasibleor practicable. this determination may be made on an individual contract or class',
16965:'basis. the written determination shall be prepared within a reasonable time given thecircumstances of theemergency. c ineffecting the transition, agenciesare',
16966:'not requiredto terminate or renegotiate existing contracts. agencies should transition the work at the earliest practical opportunity after consideration of',
16967:'the following: 1 the potential duration of the disasteror emergency. 2 the severity of the disasteror emergency. federal acquisition regulation',
16968:'3 the scope and structure of the existing contract, including its period of performance and the milestones at which a',
16969:'transition is reasonable e.g., before exercising an option. 4 the potential impactof atransition, including safety, national defense, and mobilization. 5',
16970:'the expected availability of qualified local offerors who can provide the productsor services ata reasonable price. d the agency shall',
16971:'transition the work to local firms using the local area setaside identified in 26.2021. 26.204 justification forexpenditures to otherthan local',
16972:'firms. a 42u.s.c .5150b1 requires that, subsequent to any presidentialdeclaration of a major disaster or emergency, any expenditure of federalfunds,',
16973:'under an emergency response contract not awarded toa local firm, mustbe justifiedin writing in the contract file. the justification should',
16974:'include consideration for the scope of the major disaster or emergency and the immediate requirementsor needs of supplies and services',
16975:'to ensure lifeis protected, victims arecaredfor, and property is protected. b the justification may be made onan individual orclass basis.',
16976:'thecontracting officer approvesthe justification. 26.205 disaster response registry. a contracting officers shall consult thedisaster response registry via https://www.sam.gov to determine',
16977:'the availability of contractors for debris removal, distributionof supplies, reconstruction, and other disaster oremergency relief activities inside the united states',
16978:'and outlying areas. b a list of prospective vendors voluntarily participating in the disaster response registry can be retrieved using',
16979:'the system for award management sam search tool, which canbe accessed via https://www.sam.gov, search records, advanced search, disaster response registry',
16980:'search. these vendors may be identified by selecting the criteria for disaster response contractors. contractors are required to register in',
16981:'sam in order to gain access to the disaster response registry. 26.206 solicitation provision and contract clauses. a thecontracting officer',
16982:'shall insert the provision at 52.2263, disaster or emergency area representation,in solicitations involving the local area setaside. for commercial products',
16983:'and commercial services, see 12.301e5. b the contractingofficer shall insertthe clause at 52.2264, noticeof disaster oremergency areasetasidein solicitations and contracts',
16984:'involving local area setasides. c thecontracting officer shall insert the clause at 52.2265, restrictions on subcontracting outside disaster or emergencyarea,',
16985:'inall solicitations andcontracts that involve local area setasides. subpart 26.3 historically black colleges and universities and minority institutions 26.304 subpart',
16986:'26.3 historically black colleges and universities and minority institutions 26.300scope of subpart. a this subpart implements executive order12928 of september',
16987:'16,1994, which promotes participation of historically black colleges and universities hbcus and minority institutions mis in federal procurement. b this',
16988:'subpart does not pertain to contracts performed entirely outside the united states and its outlying areas. 26.301[reserved] 26.302 generalpolicy. it',
16989:'is the policy of the government to promote participation of hbcus and mis in federal procurement. 26.303 data collection andreportingrequirements.',
16990:'executive order12928 requires periodic reporting to the president on the progress of departments and agencies in complying with the laws',
16991:'and requirements mentionedin the executive order. 26.304 solicitation provision. insert the provision at 52.2262, historically black college or university and',
16992:'minority institution representation, in solicitations exceeding the micropurchase threshold, for research, studies, supplies, or services of the type normally acquired',
16993:'from higher educational institutions. this page intentionally left blank. 26.32 subpart 26.4 food donations to nonprofit organizations 26.404 subpart 26.4',
16994:'food donations to nonprofit organizations 26.400scope of subpart. this section implements the federal food donation act of 2008 42 u.s.c',
16995:'1792. 26.401definitions. as used in this subpart apparently wholesome food means food that meets all quality and labeling standards imposed',
16996:'by federal, state, and local laws and regulations even though the food may not be readily marketable due to appearance,',
16997:'age, freshness, grade, size, surplus, or other conditions, in accordance with b2 of the bill emerson good samaritan food donation',
16998:'act 42 u.s.c. 1791b. excess food means food that 1 is not required to meet the needs of the executive',
16999:'agencies; and 2 would otherwise be discarded. foodinsecure means inconsistent access to sufficient, safe,andnutritiousfood. nonprofit organization means any organization that',
17000:'is 1 described in section 501c of the internal revenue code of 1986; and 2 exempt from tax under section',
17001:'501a of that code. 26.402 policy. the government encourages executive agencies and their contractors, to the maximum extent practicable and',
17002:'safe, to donate excess apparently wholesome food to nonprofit organizations thatprovide assistance to foodinsecure people in the united states. 26.403',
17003:'procedures. a in accordance with the federal food donation act of 2008 an executive agency shall comply with the following:',
17004:'1 encourage donations. in the applicable contracts stated at section 26.404, encourage contractors, to the maximum extent practicable and safe,',
17005:'to donate apparently wholesome excess food tononprofit organizations that provide assistance to foodinsecure people in the united states. 2 costs.',
17006:'i in any case in which a contractor enters into a contract with an executive agency under which apparently wholesome',
17007:'food is donated to foodinsecure people in the united states, the head of the executive agency shall not assume responsibility',
17008:'for the costs and logistics of collecting, transporting, maintaining the safety of, or distributing excess, apparently wholesome food to foodinsecure',
17009:'people in the united states under this act. ii the government will not reimburse any costs incurred by the contractor',
17010:'against this contract or any other contract for the donation of federal excess foods. any costs incurred for federal excess',
17011:'food donations are not considered allowable public relations costs in accordance with 31.2051f8. 3 liability. an executive agency including an',
17012:'executive agency that enters into a contract with a contractor and any contractor making donations pursuant to this act shall',
17013:'be exempt from civil and criminal liability to the extent provided under the bill emerson good samaritan food donation act',
17014:'42 u.s.c. 1791. 26.404contract clause. insert the clause at 52.2266, promoting excess fooddonation to nonprofit organizations, in solicitations and contracts',
17015:'greater than $30,000 for the provision, service, or sale of food in the united states. this page intentionally left blank.',
17016:'26.42 subpart 26.5 drugfree workplace 26.504 subpart 26.5 drugfree workplace 26.500scope of subpart. this subpart implements 41 u.s.c. chapter 81,',
17017:'drugfree workplace. 26.501 applicability. thissubpartappliestocontracts,includingcontractswith8acontractorsunderfar subpart 19.8 and modifications that require a justification and approval see subpart 6.3, except contracts',
17018:'a at or below thesimplified acquisition threshold; however, the requirements of this subpart apply toall contracts of any value awarded',
17019:'to an individual; b for the acquisition of commercial products and commercial services see part 12; c performed outside the',
17020:'united states and its outlying areas or any part of a contract performed outside the united states and its outlying',
17021:'areas; d by law enforcement agencies, if the head of the law enforcement agency or designee involved determines that application',
17022:'of this subpart would beinappropriate in connection with the law enforcement agency’s undercoveroperations; or e where application would be inconsistent',
17023:'with the international obligations of the united states or with the laws and regulations of a foreign country. 26.502 authority.',
17024:'41 u.s.c. chapter 81, drugfree workplace. 26.503definitions. as used in this subpart controlled substance means a controlled substance in schedules',
17025:'i through v of section 202 of the controlled substances act 21 u.s.c. 812, and as further defined inregulation at',
17026:'21 cfr1308.11–1308.15. conviction means a finding of guilt including a plea of nolo contendere or imposition of sentence, or both,',
17027:'by any judicial body charged withthe responsibility to determine violationsof the federal or state criminal drug statutes. criminal drug statute',
17028:'means a federal or nonfederal criminal statute involving the manufacture, distribution, dispensing, possession, or use of any controlled substance. employee',
17029:'means an employee of a contractor directly engaged in the performance of work under a government contract. directly engaged is',
17030:'defined to include all direct cost employees and any other contract employee who has other than a minimal impact or',
17031:'involvement in contract performance. individual means an offeror/contractor that hasno more than one employee including the offeror/contractor. 26.504 policy. a',
17032:'no offerorotherthan an individualshallbe considered a responsible source see 9.1041g and 19.6021a2i for a contract that exceeds the simplified acquisition',
17033:'threshold, unless it agrees that it will provide a drugfree workplace by 1 publishing a statement notifying its employees that',
17034:'the unlawful manufacture, distribution, dispensing, possession, or use of a controlledsubstance is prohibited in thecontractor’s workplace, and specifyingthe actions that',
17035:'willbe taken against employees for violations of such prohibition; 2 establishing an ongoing drugfree awareness program to inform its employees',
17036:'about i the dangers of drug abuse in the workplace; iithe contractor’s policy of maintaining a drugfree workplace; iii any',
17037:'available drug counseling, rehabilitation, and employee assistance programs; and iv the penalties that may be imposed upon employees for drug',
17038:'abuse violations occurring in the workplace; 3 providing all employees engaged in performance of the contract with a copy of',
17039:'the statement required by paragraph a1 of this section; 4 notifying all employees in writing in the statement required by',
17040:'paragraph a1 of this section, that as a condition of employment on a covered contract, the employee will i abide',
17041:'by the terms of the statement; and iinotify the employerin writingof the employee’s convictionunder a criminal drug statute for a',
17042:'violation occurring in the workplace no later than 5 days after such conviction; federal acquisition regulation 5 notifying the contractingofficer',
17043:'in writingwithin 10 days after receivingnotice under subdivision a4ii ofthis section, from an employee or otherwise receiving actual notice of',
17044:'such conviction. the notice shall include the position title of the employee; 6 within 30 days after receiving notice under',
17045:'paragrapha4 of this section of a conviction, taking one of the following actions with respect to any employee who is',
17046:'convicted of a drug abuse violation occurring in the workplace: itaking appropriate personnel action against such employee, upto and includingtermination.',
17047:'ii requiring such employee to satisfactorily participate in a drug abuse assistance or rehabilitation program approved for such purposes bya',
17048:'federal,state,or local health, law enforcement, or other appropriate agency. 7 making a good faitheffort to maintain a drugfree workplace through',
17049:'implementationof paragraphs a1 through a6 of this section. b no individual shall be awarded a contract of any dollar value',
17050:'unless that individual agrees not to engage in the unlawful manufacture, distribution, dispensing, possession, or use of a controlled substance',
17051:'while performing the contract. c for a contract of 30 days or more performance duration, the contractor shall comply with',
17052:'the provisions of paragraph a ofthis section within 30 daysafter contractaward, unless the contracting officeragrees inwriting thatcircumstances warrant a longerperiod',
17053:'of time tocomply. before granting such an extension, thecontracting officer shall consider such factors as the number of contractor employees',
17054:'at the worksite, whether the contractor has or must develop a drugfree workplace program, and the number of contractor worksites.',
17055:'for contracts of less than 30 days performance duration, the contractor shall comply with the provisions of paragraph a of',
17056:'this section as soon as possible, but in any case, by a date prior to when performance is expected to',
17057:'be completed. 26.505suspension of payments, termination of contract, and debarment and suspension actions. a after determining in writing that adequate',
17058:'evidence to suspect any of the causes at paragraph d of this section exists, thecontracting officer may suspend contract payments',
17059:'in accordance with the procedures at 32.5036a1. b afterdetermining in writingthat any ofthe causes at paragraph d of this sectionexist,',
17060:'the contracting officer may terminate the contract for default. c upon initiatingaction under paragraph a orbof this section, the contracting',
17061:'officer shall refer thecaseto the agencysuspensionanddebarmentofficial,inaccordancewithagencyprocedures,pursuantto subpart 9.4. d the specific causes for suspension of contract payments, termination of a',
17062:'contract for default, or suspension and debarment are 1 the contractor has failed to comply with the requirements of the',
17063:'clause at 52.2267, drugfree workplace; or 2 the number of contractor employees convicted of violations of criminal drug statutes occurring',
17064:'in the workplace indicates that the contractor has failed to make agood faith effortto provide a drugfree workplace. e a',
17065:'determination under this section to suspend contract payments, terminate a contract for default, or debar or suspend a contractor may',
17066:'be waived by the agency head for a particular contract, in accordance with agency procedures, only if such waiver is',
17067:'necessary to prevent a severe disruption of the agency operation to the detriment of the federal government or the general',
17068:'public see subpart 9.4. the waiver authority of the agency head cannot be delegated. 26.506contract clause. except as provided in',
17069:'26.501, insert the clause at 52.2267,drugfree workplace,in solicitations and contracts. subpart 26.6 encouraging contractor policies to ban text messaging while',
17070:'driving 26.605 subpart 26.6 encouraging contractor policies to ban text messaging while driving 26.601purpose. this subpart implements the requirements of',
17071:'the executive order e.o. 13513, dated october 1, 2009 74 fr 51225, october 6, 2009,federal leadershipon reducing text messaging while',
17072:'driving. 26.602 applicability. this subpart applies to all solicitations and contracts. 26.603definitions. as used in this subpart driving 1 means',
17073:'operating a motor vehicle on an active roadway with the motor running, including while temporarily stationary because oftraffic, a traffic',
17074:'light,stop sign, or otherwise. 2 does not include operating a motor vehicle with or without the motor running when one',
17075:'has pulled over to the side of, or off, an activeroadway and has halted in alocationwhere one can safely remain',
17076:'stationary. text messaging means reading from or entering data into any handheld or other electronic device, including for the purpose',
17077:'of short message service texting, emailing, instant messaging, obtaining navigational information, or engaging in any other form of electronic data',
17078:'retrieval or electronic data communication. the term does not include glancing at or listeningto a navigational device that is secured',
17079:'in acommercially designed holder affixed to the vehicle, provided that the destination and route areprogrammed into the device either beforedriving',
17080:'or while stopped in a location offthe roadway where it is safe and legal to park. 26.604 policy. agencies shall',
17081:'encourage contractors and subcontractors to adopt and enforce policies that ban text messaging while driving a companyowned or rented vehicles',
17082:'or governmentowned vehicles; or b privatelyowned vehicles when on official government business or when performing any work for or onbehalf',
17083:'ofthe government. 26.605contract clause. the contractingofficer shall insertthe clause at 52.2268, encouraging contractor policies to ban text messaging while driving,',
17084:'in all solicitations and contracts. this page intentionally left blank. 26.62 part 27 patents, data, and copyrights sec. 27.000 scope',
17085:'of part. 27.001 definition. subpart 27.1 general 27.101 applicability. 27.102 general guidance. subpart 27.2 patents and copyrights 27.200 scope of',
17086:'subpart. 27.201 patent and copyright infringement liability. 27.2011 general. 27.2012 contract clauses. 27.202 royalties. 27.2021 reporting of royalties. 27.2022 notice',
17087:'of government as a licensee. 27.2023 adjustment of royalties. 27.2024 refund of royalties. 27.2025 solicitation provisions and contract clause. 27.203',
17088:'security requirements for patent applications containing classified subject matter. 27.2031 general. 27.2032 contract clause. 27.204 patented technology under trade agreements.',
17089:'27.2041 use of patented technology under the united statesmexicocanada agreement. 27.2042 use of patented technology under the general agreement on',
17090:'tariffs and trade gatt. subpart 27.3 patent rights under government contracts 27.300 scope of subpart. 27.301 definitions. 27.302 policy. 27.303',
17091:'contract clauses. 27.304 procedures. 27.3041 general. 27.3042 contracts placed by or for other government agencies. 27.3043 subcontracts. 27.3044 appeals. 27.305',
17092:'administration of patent rights clauses. 27.3051 goals. 27.3052 administration by the government. 27.3053 securing invention rights acquired by the government.',
17093:'27.3054 protection of invention disclosures. 27.306 licensing background patent rights to third parties. subpart 27.4 rights in data and copyrights',
17094:'27.400 scope of subpart. 27.401 definitions. 27.402 policy. 27.403 data rightsgeneral. 27.404 basic rights in data clause. 27.4041 unlimited rights',
17095:'data. 27.4042 limited rights data and restricted computer software. 27.4043 copyrighted works. 27.4044 contractor’srelease,publication,anduseof data. 27.4045 unauthorized, omitted, or incorrect',
17096:'markings. 27.4046 inspection of data at the contractor’s facility. 27.405 other data rights provisions. 27.4051 special works. 27.4052 existing works.',
17097:'27.4053 commercial computer software. 27.4054 other existing data. 27.406 acquisition of data. 27.4061 general. 27.4062 additional data requirements. 27.4063 major',
17098:'system acquisition. 27.407 rights to technical data in successful proposals. 27.408 cosponsored research and development activities. 27.409 solicitation provisions and',
17099:'contract clauses. subpart 27.5 foreign license and technical assistance agreements 27.501 general. this page intentionally left blank. subpart 27.1 general',
17100:'27.102 27.000scope of part. this part prescribes the policies, procedures, solicitation provisions, and contract clauses pertaining to patents, data, and',
17101:'copyrights. 27.001definition. united states, as used in this part, means the 50 states and the district of columbia, u.s. territories',
17102:'and possessions, puerto rico, and the northern mariana islands. subpart 27.1 general 27.101 applicability. this part applies to all agencies.',
17103:'however, agencies are authorized toadopt alternative policies, procedures, solicitation provisions, and contract clauses to the extent necessary to meet the',
17104:'specific requirements of laws, executive orders, treaties, or international agreements. any agency adopting alternative policies, procedures, solicitation provisions, and contract',
17105:'clauses should include them in the agency’spublished regulations. 27.102general guidance. a the government encourages the maximum practical commercial use of',
17106:'inventions made under government contracts. b generally,the government will not refuse toaward acontract onthe grounds that the prospective contractor may',
17107:'infringe a patent. the government may authorize and consent to the use of inventions in the performance of certain contracts,',
17108:'even though the inventions may be covered by u.s. patents. c generally, contractorsproviding commercial productsandcommercial services should indemnify the government',
17109:'against liability for the infringement of u.s. patents. d the government recognizes rights in data developed at private expense, and',
17110:'limits its demands for delivery of that data. when such data is delivered, the government will acquire only those rights',
17111:'essential to its needs. e generally, the government requires that contractors obtainpermission fromcopyrightowners beforeincluding copyrighted works, owned by others, in',
17112:'data to be delivered to the government. this page intentionally left blank. 27.12 subpart 27.2 patents and copyrights 27.2012 subpart',
17113:'27.2 patents and copyrights 27.200scope of subpart. this subpart prescribes policies and procedures with respect to a patent and copyright',
17114:'infringement liability; b royalties; c security requirements for patent applications containing classified subject matter; and d patented technology under trade',
17115:'agreements. 27.201 patent and copyrightinfringement liability. 27.2011 general. a pursuant to 28 u.s.c. 1498, the exclusive remedy for patent or',
17116:'copyright infringement by or on behalf of the government is a suit for monetary damages against the government in the',
17117:'court of federal claims. there is no injunctive relief available, and there is no direct cause of action against a',
17118:'contractor that is infringing a patent or copyright with the authorization or consent of the government e.g., while performing a',
17119:'contract. b the government mayexpressly authorize andconsent to a contractor’s use or manufacture of inventions covered by u.s. patents by',
17120:'inserting the clause at 52.2271, authorization and consent. c because of the exclusive remedies granted in 28 u.s.c. 1498, the',
17121:'government requires notice and assistance from its contractors regarding any claims for patent or copyright infringement by inserting the clause',
17122:'at 52.2272, notice and assistance, regarding patent and copyright infringement. d the government may require a contractor to reimburse it',
17123:'for liability for patent infringement arising out of a contract for commercial products or commercial services by inserting the clause',
17124:'at 52.2273, patentindemnity. 27.2012 contract clauses. a 1 insert the clause at 52.2271, authorization and consent, in solicitations and contracts',
17125:'except that use of the clause is i optional when using simplified acquisition procedures; and ii prohibited when both complete',
17126:'performance and delivery are outside the united states. 2 use the clause with its alternate i in all r&d solicitations',
17127:'and contracts for which the primary purpose is r&d work, except that this alternate shall not be used in construction',
17128:'and architectengineer contracts unless the contract calls exclusively for r&d work. 3 use the clause with its alternate ii in',
17129:'solicitations and contracts for communication services with a common carrier and the servicesare unregulated and not priced by a tariffschedule',
17130:'set by a regulatory body. b insert the clause at 52.2272, notice and assistance regarding patent and copyright infringement, in',
17131:'all solicitations and contracts that include the clause at 52.2271, authorization and consent. c 1 insert the clause at 52.2273,patentindemnity,insolicitationsandcontractsthatmayresultinthedeliveryof',
17132:'commercial products or the provision of commercial services unless i part 12 procedures are used; ii the simplified acquisition procedures',
17133:'of part 13 are used; iii both complete performance and delivery are outside the united states; or iv the contracting',
17134:'officer determines after consultation with legal counsel that omissionof the clause would be consistent with commercial practice. 2 use the',
17135:'clause with either its alternate i identification of excluded items or ii identification of included items if i the contract',
17136:'also requires delivery of items that are not commercial products or the provision of services that are not commercial services;',
17137:'or iithe contracting officer determines afterconsultation with legalcounsel that limitation of applicability of the clause would be consistent with commercial',
17138:'practice. 3 use the clause with its alternate iii if the solicitation or contract is for communication services and facilities',
17139:'where performance is by a common carrier, and the services are unregulatedandare not priced by a tariff schedule set by',
17140:'a regulatory body. federal acquisition regulation d 1 insert the clause at 52.2274, patent indemnityconstruction contracts, in solicitations and contracts',
17141:'for construction or that are fixedprice for dismantling, demolition, or removal of improvements. do not insert the clause in contracts',
17142:'solely for architectengineer services. 2 if the contracting officer determines that the construction will necessarily involve the useof structures, products,',
17143:'materials, equipment, processes,or methods that are nonstandard,noncommercial, or special, the contractingofficer may expressly exclude them from the patent indemnification by',
17144:'using the clause with its alternate i. note that this exclusion is for items, as distinguished from identified patents see',
17145:'paragraph e of this subsection. e it may bein the government’s interest to exemptspecific u.s. patents from the patent indemnityclause.',
17146:'exclusion from indemnity of identified patents, as distinguished from items, is the prerogative of the agency head. upon written approval',
17147:'ofthe agencyhead, the contracting officer mayinsert the clauseat 52.2275,waiver of indemnity,in solicitations and contracts in addition to the appropriate patent',
17148:'indemnity clause. f ifa patent indemnity clauseis not prescribed,the contracting officermay includeonein the solicitation and contract if it is in',
17149:'thegovernment’s interest todo so. g the contractingofficer shall not include in anysolicitation or contract any clause wherebythe government agreesto indemnify',
17150:'a contractor for patent infringement. 27.202royalties. 27.2021reporting of royalties. a to determinewhetherroyalties anticipated or actually paid under government contracts areexcessive,',
17151:'improper, or inconsistent with government patent rights the solicitation provision at 52.2276 requires prospective contractors to furnish royaltyinformation. thecontracting officer',
17152:'shall take appropriate actionto reduce or eliminate excessive or improper royalties. b if the response to asolicitation includes a charge',
17153:'for royalties,the contracting officer shall, before award of the contract, forward the information to the office having cognizance of patent',
17154:'matters for thecontracting activity. the cognizant officeshallpromptly advise the contracting officer of appropriate action. c thecontracting officer,when considering theapproval of',
17155:'a subcontract, shall require royalty information if it is required under the prime contract. the contractingofficer shall forward the informationto',
17156:'the office havingcognizance of patent matters. however, the contracting officer need notdelay consent whileawaiting advice from the cognizant office. d',
17157:'the contractingofficer shall forward any royalty reports to the officehaving cognizance ofpatent matters for the contracting activity. 27.2022 notice of',
17158:'government as a licensee. a when the government is obligated to pay a royalty on a patent because of an',
17159:'existing license agreement and the contracting officerbelieves thatthe licensedpatent will be applicable to aprospective contract, the government should furnish the',
17160:'prospective offerors with 1 notice of the license; 2 the number of the patent; and 3 the royalty rate cited',
17161:'in the license. b when the government is obligated to pay such a royalty, the solicitation should also require offerors',
17162:'tofurnish information indicating whether or not each offeror is the patent owner or a licensee under the patent. thisinformationis necessary',
17163:'so that the government may either 1 evaluate an offeror’s price by addingan amountequalto the royalty; or 2 negotiate a',
17164:'price reductionwith an offeror when the offeror is licensedunder thesame patentat a lowerroyalty rate. 27.2023adjustmentof royalties. a if atanytime the',
17165:'contracting officer believes that any royalties paid, or tobe paid, undera contract or subcontract are inconsistentwith governmentrights, excessive, or otherwise',
17166:'improper, the contractingofficer shall promptly reportthe facts to the officehaving cognizance ofpatent matters for the contracting activityconcerned. b in coordination',
17167:'with the cognizant office, thecontracting officer shall promptly act to protect the government against payment of royalties 1 with respectto',
17168:'which the government has aroyaltyfree license; subpart 27.2 patents and copyrights 27.2032 2 at a rate in excess of the',
17169:'rate at which the government is licensed; or 3 when the royalties in wholeor in part otherwise constitutean improper charge.',
17170:'c inappropriatecases, the contractingofficer in coordination with the cognizant office shall demanda refundpursuant to any refund of royalties clause in',
17171:'the contract see 27.2024 or negotiate for a reduction of royalties. d for guidance in evaluating information furnished pursuant to',
17172:'27.2021, see 31.20537. see also 31.109 regarding advance understandings on particular cost items, including royalties. 27.2024refund of royalties. the clause',
17173:'at 52.2279, refund of royalties, establishes procedures to pay the contractor royalties under the contract and recoverroyalties not paid bythe',
17174:'contractor whenthe royalties were includedin thecontractor’sfixed price. 27.2025solicitation provisions and contractclause. a 1 insert a solicitation provision substantially the same',
17175:'as the provision at 52.2276, royalty information, in i any solicitation that may result in a negotiated contract for which',
17176:'royalty information is desired and for which certified cost or pricing data are obtained under 15.403; or iisealed bidsolicitationsonly if',
17177:'theneedforsuch information is approved at a level above the contractingofficer as being necessaryforproper protection of the government’sinterests. 2 if the',
17178:'solicitationis for communicationservices andfacilities by acommon carrier, use theprovision with its alternate i. b if the government is obligated to',
17179:'pay a royalty on a patent involved in the prospective contract, insert in the solicitation a provision substantially the same',
17180:'as the provision at 52.2277, patentsnotice of government licensee. if the clause at 52.2276 is not included in the solicitation,',
17181:'the contracting officermay require offerors to provide information sufficient to providethis notice to the other offerors. c insert the clause',
17182:'at 52.2279, refund of royalties, in negotiated fixedprice solicitations and contracts when royalties may be paid under the contract. if',
17183:'afixedpriceincentive contract iscontemplated,change price to target costand target profit wherever it appears in the clause. the clause may be used',
17184:'in costreimbursement contracts where agency approval of royaltiesis necessary to protect the government’s interests. 27.203 security requirements for patent applications',
17185:'containingclassified subject matter. 27.2031 general. a unauthorized disclosure of classified subject matter,whetherin patent applications orresulting from the issuance of a',
17186:'patent, may be a violation of 18 u.s.c. 792, et seq. chapter 37espionage and censorship, and related statutes, and may',
17187:'be contrary to the interestsof national security. b upon receipt of a patent application under paragraph a or b of',
17188:'the clause at 52.22710, filing of patent applicationsclassified subject matter,the contracting officershallascertain theproper security classification of the patent application. if',
17189:'the application contains classified subject matter, the contracting officershallinform thecontractor how to transmit the application to the united states patent',
17190:'officein accordance with procedures provided by legal counsel. if the material is classified secret or higher, the contracting officer shall',
17191:'make every effort tonotify the contractor within30 days of the government’sdetermination, pursuant to paragraph a of the clause. c upon',
17192:'receipt of information furnished by the contractor under paragraph d of the clause at 52.22710, the contracting officer shall promptly',
17193:'submit thatinformation to legalcounsel in order that the steps necessary to ensure the security ofthe application will be taken. d',
17194:'the contractingofficer shall actpromptly on requestsforapproval of foreign filing under paragraph c of the clause at 52.22710 in order to',
17195:'avoid the loss of valuable patent rights ofthe government or the contractor. 27.2032 contract clause. insert the clause at 52.22710,filing',
17196:'ofpatent applicationsclassified subject matter, in all classified solicitations and contracts and in all solicitations and contracts where the nature of',
17197:'the work reasonably might result in a patent application containing classified subject matter. federal acquisition regulation 27.204 patented technology under',
17198:'trade agreements. 27.2041use of patented technology under the united statesmexicocanadaagreement. when questions arise with regard to use of patented technology',
17199:'under the united statesmexicocanada agreement, the contracting officershouldconsult with legal counsel. note that article 20.6a ofthe agreement discussespublic healthand pharmaceuticals.',
17200:'27.2042use of patented technology under the general agreement on tariffs and trade gatt. article 31 of annex 1 c, agreementon',
17201:'traderelatedaspects of intellectual property rights, togatt uruguay round addresses situations where the law of a member country allows for use',
17202:'of a patent without authorization, including use by the government. article 20.40 of the united statesmexicocanada agreement preserves parties rights',
17203:'under article 31. subpart 27.3 patent rights under government contracts 27.302 subpart 27.3 patent rights under government contracts 27.300scope of',
17204:'subpart. this subpart prescribes policies, procedures, solicitation provisions, and contract clauses pertaining to inventions made in the performance of work',
17205:'under a government contract or subcontract for experimental, developmental, or research work. agency policies, procedures, solicitation provisions, and contract clauses',
17206:'may be specified in agency supplemental regulations as permitted by law, including 37 cfr 401.1. 27.301definitions. as used in this',
17207:'subpart invention means any invention or discovery that is or may be patentable or otherwise protectable under title 35 of',
17208:'the u.s. code,or any variety of plant that is or maybe protectableunder theplant variety protection act 7 u.s .c. 2321,',
17209:'et seq. made means 1 when used in relation to anyinvention other than a plant variety, means the conception or',
17210:'firstactual reduction to practice of the invention; or 2 when used in relation to a plant variety, means that the',
17211:'contractor hasat leasttentativelydetermined that the variety has been reproduced with recognized characteristics. nonprofit organization means a university orother institution of',
17212:'higher education or an organization of the type described in section 501c3 of the internal revenue code of 1954 26',
17213:'u.s.c. 501c and exempt from taxation under section 501a of the internal revenue code 26 u.s.c. 501a, oranynonprofit scientific or',
17214:'educational organization qualified under a state nonprofit organizationstatute. practical application means to manufacture, in the case of a composition or',
17215:'product; to practice, in the case of a process or method; or to operate, in the case of a machine',
17216:'or system; and, in each case, under such conditions as to establish that the invention is being utilized and that',
17217:'its benefits are, to the extent permitted by law or government regulations, available to the public on reasonable terms. subject',
17218:'invention means any invention of the contractor made in the performance of work under a government contract. 27.302 policy. a',
17219:'introduction. in accordance with chapter 18 of title 35, u.s.c. as implemented by 37 cfr part 401, presidential memorandum on',
17220:'government patent policy to the heads of executive departments and agencies dated february 18, 1983, andexecutive order 12591, facilitating accessto',
17221:'science and technologydated april 10, 1987,itis the policy and objective of the government to 1 use the patent system to',
17222:'promote the use of inventions arising from federally supported research or development; 2 encourage maximum participation of industry in federally',
17223:'supported research anddevelopment efforts; 3 ensure that these inventions are used in a manner to promote free competition and enterprise',
17224:'without unduly encumbering future research and discovery; 4 promote the commercialization and public availability of the inventions made in the',
17225:'united states by united states industry and labor; 5 ensure that the government obtains sufficient rights in federally supported inventions',
17226:'to meet the needs of the government and protect the public against nonuse or unreasonable use of inventions; and 6',
17227:'minimize the costs of administering patent policies. b contractor right to elect title. 1 generally,pursuant to 35 u.s.c. 202 and',
17228:'the presidential memorandum and executive order cited in paragraph a ofthis section, each contractormay, afterrequired disclosure to the government, elect',
17229:'to retain title to any subject invention. 2 a contract may require the contractor to assign to the government title',
17230:'to any subject invention i when the contractor is not located in the united states or does not have a',
17231:'place of business located in the united states or is subject to the control of a foreign government see 27.303e1i;',
17232:'ii in exceptional circumstances, when an agency determines that restriction or elimination of the right to retain title in any',
17233:'subject invention will better promote the policy and objectives of chapter 18 of title 35, u.s.c. and the presidential memorandum;',
17234:'iii when a government authority, that is authorized by statute orexecutive order to conduct foreign intelligence or counterintelligence activities, determines',
17235:'that the restriction or elimination of the right to retain title to any subject invention is necessary to protect the',
17236:'security of such activities; federal acquisition regulation iv when the contract includes the operation of a governmentowned, contractoroperated facility of',
17237:'the department of energy doe primarily dedicated to the department’s naval nuclear propulsion or weaponsrelated programs and all funding agreement',
17238:'limitations under 35 u.s.c. 202iv for agreements with small business concerns and nonprofit organizations are limited to inventions occurring underthe',
17239:'above twoprograms; or v pursuant to statute or in accordance with agency regulations. 3 when the government has the right',
17240:'to acquire title to asubject invention, the contractor may, nevertheless, request greater rights to a subject invention see 27.3041c. 4',
17241:'consistent with 37 cfr part 401,when acontract with a small business concern or nonprofitorganization requires assignment of title to the',
17242:'government based on the exceptional circumstances enumerated in paragraph b2ii or iii of this section for reasons ofnationalsecurity, the contract',
17243:'shall still providethe contractor with theright to elect ownership to any subject invention that i is not classified by the',
17244:'agency; or iiisnot limited from dissemination bythe doe within6 months from the date it is reported to theagency. 5 contracts',
17245:'insupport ofdoe’s naval nuclear propulsion program areexempted from this paragraphb. 6 when a contract involves a series of separate task',
17246:'orders, an agency may structure the contract to apply the exceptions at paragraph b2ii or iii of this section to',
17247:'individual task orders. c government license. the government shall have at least a nonexclusive, nontransferable, irrevocable, paidup license to practice,',
17248:'or have practiced for or on behalf of the united states, any subject invention throughout the world. the government may',
17249:'require additional rights in order to comply with treaties or other international agreements. in such case, these rights shall be',
17250:'made a part of the contract see 27.303. d government right to receive title. 1 in addition to the right',
17251:'to obtain title to subject inventions pursuant to paragraph b2i through v of this section, the government has the right',
17252:'to receive title to an invention i if the contractor has not disclosed the invention within the time specified in',
17253:'the clause; or ii in any country where the contractor a does not elect to retain rights or fails to',
17254:'elect to retain rights to the invention within the time specified in the clause; b has not filed a patent',
17255:'or plant variety protection application within the time specified in the clause; c decides not to continue prosecution of a',
17256:'patent or plant variety protection application, pay maintenance fees, or defend in a reexamination or opposition proceeding on the patent;',
17257:'or d no longer desires to retain title. 2 for the purposes of thisparagraph, filing in aeuropeanpatent office regionor under',
17258:'the patent cooperation treaty constitutes election in the countries selected inthe applications. e utilization reports. the government has the right',
17259:'to require periodic reporting on how any subject invention is being used by the contractor or its licensees or assignees.',
17260:'in accordance with 35 u.s.c. 2025 and 37 cfr part 401, agencies shall not disclose such utilization reports to persons',
17261:'outside the government without permission of the contractor. contractors should mark as confidential/proprietary any utilization report to help prevent inadvertent',
17262:'release outside the government. f marchin rights. 1 pursuantto 35 u .s.c. 203, agencies have certainmarchin rights that requirethe contractor,',
17263:'an assignee, or exclusive licensee of a subject invention to grant a nonexclusive, partially exclusive, or exclusive license in any',
17264:'field of useto responsible applicants, upon termsthat arereasonable under the circumstances. if the contractor, assignee or exclusive licensee of a',
17265:'subject invention refuses to grant such a license, the agency can grant the license itself. marchin rights may be exercised',
17266:'only if the agency determines that this action is necessary ibecausethe contractor orassignee has nottaken, or is not expected to',
17267:'take within a reasonable time, effective steps to achieve practical application of the subject invention in the fields of use;',
17268:'iito alleviate health or safety needs that are not reasonably satisfied by the contractor, assignee, or their licensees; iii to',
17269:'meet requirements for public use specified by federal regulationsandthese requirements are notreasonably satisfied by the contractor, assignee, orlicensees; or iv',
17270:'because the agreement required by paragraph g of this section has neither been obtained nor waived, or because a licensee',
17271:'of the exclusive right to use or sell any subject invention in the united states is in breach of its',
17272:'agreement obtained pursuant to paragraph g of this section. 2 the agency shall not exercise its marchin rights unless the',
17273:'contractor has been provided a reasonable time to present facts and show cause why the proposed agency action should not',
17274:'be taken. the agency shall provide the contractor an opportunity to dispute or appeal the proposed action, in accordance with',
17275:'27.3041g. subpart 27.3 patent rights under government contracts 27.303 g preference for united states industry. in accordance with 35 u.s.c.',
17276:'204, no contractor that receives title to any subject invention and no assignee of the contractor shall grant to any',
17277:'person the exclusive right to use or sell any subject invention in the united states unless that person agrees that',
17278:'any products embodying the subject invention or produced through theuse of the subject invention will be manufactured substantially in the',
17279:'united states. however, in individual cases,the requirement for this agreement may be waived by the agency upon a showing by',
17280:'the contractor or assignee that reasonable but unsuccessful efforts have been made to grant licenses on similar terms topotentiallicensees that',
17281:'would be likely to manufacture substantially in the united states or that under the circumstances domestic manufacture is not commercially',
17282:'feasible. h special conditionsfornonprofit organizations’ preference for small business concerns. 1 nonprofit organization contractors are expected to use reasonable effortsto',
17283:'attract small business licensees see paragraph i4 ofthe clause at 52.22711, patentrightsownership by the contractor. what constitutes reasonable effortsto attract',
17284:'small business licensees willvary with the circumstances and thenature, duration, and expense of efforts needed tobring the invention tothe market.',
17285:'2 small business concerns thatbelievea nonprofit organizationis not meeting itsobligations under the clause may report the matter to the secretary',
17286:'of commerce. tothe extent deemed appropriate, the secretary ofcommercewill undertake informal investigationof the matter, and may discuss or negotiate with',
17287:'the nonprofit organization ways to improve itsefforts to meet its obligationsunder theclause. however, in no eventwill the secretary ofcommerceintervene in',
17288:'ongoing negotiations or contractor decisions concerning the licensing of a specific subject invention. these investigations, discussions, and negotiations involving the',
17289:'secretary of commerce will be in coordination with other interested agencies, including the small business administration. in the case of',
17290:'a contract for the operation of a governmentowned, contractoroperatedresearchor productionfacility, the secretary of commerce willcoordinate withthe agencyresponsible for the facilityprior',
17291:'to any discussions or negotiations with thecontractor. iminimum rights tocontractor. 1 when the government acquires title to a subject invention,',
17292:'the contractor is normally granteda revocable,nonexclusive,paidup licenseto that subject invention throughout theworld. the contractor’s license extends to any of itsdomestic',
17293:'subsidiaries and affiliates within the corporatestructureof which the contractor is a part and includes the right to grant sublicenses to',
17294:'the extent the contractor was legally obligated to do so at the time of contract award. the contractingofficer shall approve',
17295:'or disapprove, in writing, any contractor requestto transfer itslicenses. no approvalis necessarywhen the transfer is to the successor of thatpart',
17296:'of thecontractor’s businessto which the subjectinvention pertains. 2 in responseto a third party’sproper application for an exclusive license,the contractor’s domestic',
17297:'license may be revoked or modified to the extent necessary to achieve expeditious practical application of the subject invention. the',
17298:'application shall be submitted in accordance with the applicable provisions in 37 cfr part 404 and agency licensing regulations. the',
17299:'contractor’s license will not berevoked in that field of use orthe geographical areasin which the contractor has achieved practical application',
17300:'and continues to make the benefits of the subject invention reasonably accessible to thepublic. thelicense in any foreign country may',
17301:'be revoked ormodified tothe extent the contractor,its licensees, or itsdomestic subsidiaries or affiliates have failedto achieve practical application in that',
17302:'country. seethe procedures at 27.3041f. j confidentiality of inventions. publishing information concerning an invention before a patent application is filed',
17303:'on a subject invention may createa bar to a valid patent. toavoid thisbar, agenciesmay withholdinformationfrom the public that discloses any',
17304:'invention in which the government owns or may own a right, title, or interest including a nonexclusive license see 35',
17305:'u.s.c. 205 and 37 cfr part 401. agencies may only withhold information concerning inventions for a reasonable timein order for',
17306:'a patentapplication to be filed. once filed in any patent office, agenciesare not requiredto release copies of any document that',
17307:'is a part of a patent application for those subject inventions. see also 27.3054. 27.303contract clauses. a 1 insert a',
17308:'patent rights clause in all solicitations and contracts for experimental, developmental, or research work as prescribed in this section. 2',
17309:'this section also applies to solicitations or contracts for construction work or architectengineer services that include i experimental, developmental, or',
17310:'research work; iitest and evaluationstudies; or iii the design of a government facility that may involve novel structures, machines, products,',
17311:'materials, processes, or equipment including construction equipment. federal acquisition regulation 3 the contractingofficer shall not include apatent rights clause insolicitationsor',
17312:'contracts for constructionworkor architectengineer services that call for or can be expected to involve only standard types of construction standard',
17313:'types of construction are those involving previously developed equipment, methods, and processes and in which the distinctive features include only',
17314:'ivariations insize,shape, or capacity of conventional structures; or ii purely artistic or aesthetic as distinguished from functionally significant architectural configurations',
17315:'and designs of both structural and nonstructural members or groupings, whether or not they qualify for design patent protection. b',
17316:'1 unless an alternative patent rights clause is used in accordance with paragraph c, d, or e of this section,',
17317:'insert the clause at 52.22711, patent rightsownership bythe contractor. 2 to the extent the information is not requiredelsewhere in the',
17318:'contract, and unless otherwisespecified by agency supplemental regulations, the contracting officer may modify 52.22711e or otherwise supplement the clause to',
17319:'require the contractor to do one or more of the following: i provide periodic but not more frequently than annually',
17320:'listings of all subject inventions required to be disclosed during the period covered by the report. ii provide a report',
17321:'prior to the closeout of the contract listing all subject inventions or stating that there were none. iii providethe filing',
17322:'date,serialnumber, title, patent numberand issue date for anypatent application filedon any subject invention inany country or, upon request, copies of',
17323:'any patent application so identified. iv furnish the government an irrevocable power to inspect and make copies of the patent',
17324:'application file when a government employeeis a coinventor. 3 use the clause with its alternate i if the government must',
17325:'grant a foreign government a sublicense in subject inventions pursuantto a specified treaty orexecutive agreement. the contracting officer may modify',
17326:'alternate i,if the agency head determines, at contract award, that it would be in the national interest to sublicense foreign',
17327:'governments or internationalorganizations pursuant toany existing or future treaty oragreement. when necessary to effectuate a treaty or agreement, alternate i',
17328:'may be appropriately modified. 4 use the clause withits alternate ii in contractsthat may be affected by existingor future treaties',
17329:'or agreements. 5 use the clause withits alternate iii in contracts with nonprofit organizations for the operationof agovernmentowned facility. 6',
17330:'if the contract is for theoperation of a governmentowned facility, the contracting officermay usethe clause with itsalternate iv. 7 if',
17331:'the contract is for the performance of services at a government owned and operated laboratory or at a government owned',
17332:'and contractor operated laboratory directed by the government to fulfill the government’sobligations under a cooperative research and development agreement crada',
17333:'authorized by 15 u.s.c. 3710a, the contracting officer may use the clausewith its alternate v. since this provision is consideredan',
17334:'exercise ofan agency’s exceptional circumstances authority, the contracting officer must complywith 37 cfr 401.3e and 401.4. c insert a patent',
17335:'rights clause in accordance with the procedures at 27.3042 if the solicitation or contract is being placed on behalf of',
17336:'another government agency. d insert a patent rights clause in accordance with agency procedures if the solicitation or contract is',
17337:'for dod, doe, or nasa,and the contractor is other than asmall business concern or nonprofit organization. e 1 except as',
17338:'provided in paragraph e2 of this section, and after compliance with the applicable procedures in 27.3041b,the contracting officer mayinsert the',
17339:'clauseat 52.22713, patent rightsownership by the government, or a clause prescribed by agency supplemental regulations, if i the contractor is',
17340:'not located in the united states or does not have a place of business located in the united states or',
17341:'is subject to the control of a foreign government; ii there are exceptional circumstances and the agency head determines that',
17342:'restriction or elimination of the right to retain title to any subject invention will better promote the policy and objectives',
17343:'of chapter 18 of title 35 of the united states code; iii a government authority that is authorized by statute',
17344:'or executive order to conduct foreign intelligence or counterintelligence activities, determines that restriction or elimination of the right to retain',
17345:'any subject invention is necessary to protect the security of such activities; or iv the contract includes the operation of',
17346:'a governmentowned, contractoroperated facility of doe primarily dedicated to that department’s naval nuclear propulsion orweapons related programs. 2 if an',
17347:'agency exercises the exceptions at paragraph e1ii or iii of this section in a contract with a small business concern',
17348:'or a nonprofit organization,the contracting officer shall use the clauseat 52.22711 with only those modifications subpart 27.3 patent rights under',
17349:'government contracts 27.3041 necessary to address the exceptional circumstances and shall include in the modified clause greater rights determinations procedures',
17350:'equivalent to those at 52.22713b2. 3 when using the clause at 52.22713, patent rightsownership bythe government, thecontracting officer may supplement',
17351:'the clause to require the contractor to i furnish a copy of each subcontract containing a patent rights clause but',
17352:'if a copy of a subcontract is furnished under another clause, a duplicate shall not be requested under the patent',
17353:'rights clause; iisubmit interim and finalinvention reports listing subjectinventions and notifyingthe contracting officer of all subcontracts awarded for experimental, developmental,',
17354:'or research work; iii providethe filing date,serialnumber, title, patent number, and issuedate for any patent application filed on any subject',
17355:'invention inany country or, upon specific request, copies ofany patent application so identified; and iv submit periodic reports on the',
17356:'utilization of a subject invention. 4 use the clause at 52.22713 with its alternate i if i the government must',
17357:'grant a foreign government a sublicense in subject inventions pursuant to a treaty or executive agreement; or ii the agency',
17358:'head determines, at contract award, that it would be in the national interest to sublicense foreign governments or international organizationspursuant',
17359:'to any existing orfuture treatyor agreement. if other rights are necessary to effectuate any treaty oragreement, alternate i may be',
17360:'appropriately modified. 5 use the clause at 52.22713with its alternate iiin the contractwhen necessary to effectuate an existing or future',
17361:'treaty or agreement. 27.304 procedures. 27.3041 general. a status as small business concern or nonprofit organization. if an agency has',
17362:'reason to question the size or nonprofit statusof the prospective contractor,the agency may require the prospectivecontractor to furnish evidence of',
17363:'its nonprofit statusor may filea sizeprotest inaccordancewith far 19.302. b exceptions. 1 before using any of the exceptions under 27.303e1',
17364:'in a contract with a small business concern or a nonprofit organization and before using theexception of 27.303e1ii for anycontractor,',
17365:'the agency shall followthe applicable procedures at 37 cfr 401. 2 a small business concernor nonprofit organization is entitled to',
17366:'an administrative review of the useof the exceptions at 27.303e1i through e1iv in accordance with agency procedures and 37 cfr',
17367:'part 401. c greater rights determinations. whenever the contract contains the clause at 52.22713, patent rightsownership by the government, or',
17368:'a patent rights clause modified pursuant to 27.303e2, the contractor or an employeeinventor of the contractor after consultation with the',
17369:'contractor may request greater rights to an identified invention within the period specified in the clause. the contractingofficer may grant',
17370:'requests for greater rights if the contracting officer determines that the interests of the united states and the general public',
17371:'will be better served. in making these determinations, the contracting officer shall consider at least the following objectives see37 cfr',
17372:'401.3b and 401.15: 1 promoting the utilization of inventions arising from federally supported research and development. 2 ensuring that inventions',
17373:'are used in a manner to promote full and open competition and free enterprise without unduly encumbering futureresearchand discovery. 3',
17374:'promotingpublicavailabilityof inventionsmade in the united states by united states industry and labor. 4 ensuring that the government obtains sufficient rights',
17375:'in federallysupported inventionsto meet the needsof the government and protect the public against nonuse or unreasonable use of inventions. d',
17376:'retention of rights by inventor. if the contractor elects not to retain title to a subject invention, the agency may',
17377:'consider and, after consultation with the contractor, grant requests for retention ofrights by the inventor. retention of rightsby the inventor',
17378:'will be subject to the conditions in paragraphs d except paragraph d1i, e4, f, g, and h of the clause',
17379:'at 52.22711, patent rightsownership by the contractor. e government assignment to contractor of rights in government employees’ inventions. when a',
17380:'government employee is a coinventor of aninvention made under a contract with asmall business concern or nonprofit organization, the agency',
17381:'employing the coinventor may license or assign whatever rights it may acquire in the subject invention from its employee to',
17382:'thecontractor, subject at least tothe conditions of 35 u.s.c. 202204. f revocation or modification of contractor’s minimum rights. before revokingor',
17383:'modifying the contractor’s license in accordance with 27.302i2, the contracting officer shall furnish the contractor a written notice of intention',
17384:'to revoke 27.3042 federal acquisition regulation or modify the license. the agency shall allow the contractor at least 30 days',
17385:'or another time as may be authorized for goodcause by the contracting officer after the notice toshow cause why the',
17386:'license should not be revoked or modified. the contractor has the right to appeal, in accordance with applicable regulations in',
17387:'37 cfr part 404 and agency licensing regulations, any decisions concerning the revocation or modification. g exercise of marchin rights.',
17388:'when exercising marchin rights, agencies shall follow the procedures set forth in 37 cfr 401.6. h licenses and assignments under',
17389:'contracts with nonprofit organizations. if the contractor is a nonprofit organization, paragraph i of the clause at 52.22711 provides that',
17390:'certain contractor actions require agency approval. 27.3042 contracts placed by or for other government agencies. the following procedures apply unless',
17391:'an interagency agreement provides otherwise: a when a government agency requests another government agency to award a contract on its',
17392:'behalf, the request should explain any special circumstances surrounding the contract and specify the patent rights clause to be used.',
17393:'the clause should beselected and modified,if necessary, in accordance with the policies and procedures of this subpart. if, however,the request',
17394:'states that a clause of the requesting agency is required e.g., because of statutory requirements, a deviation, or exceptional circumstances,',
17395:'the awarding agency shall use that clause rather than those of this subpart. 1 if the request states that an',
17396:'agency clause is required and the work to be performed under the contract is not severable and isfunded wholly or',
17397:'in part by the requesting agency, theninclude the requestingagency clause and no other patent rights clause in the contract. 2',
17398:'if the request states that an agency clause is required, and the work to be performed under the contract is',
17399:'severable, then the contracting officer shall assure that the requesting agency clause applies only to that severable portion ofthe work',
17400:'and that the work for the awarding agency is subject to the appropriate patent rights clause. 3 if the request',
17401:'states that a requesting agency clause is not required in any resulting contract, the awarding agency shall use the appropriate',
17402:'patentrights clause,if any. b any actionrequiring an agency determination,report, or deviation involved in the use of the requestingagency’s clause is',
17403:'the responsibility of therequesting agency unless the agenciesagreeotherwise. however,the awarding agency may not alter the requesting agency’s clause without prior',
17404:'approval of the requestingagency. c the requesting agency may require, and provide instructions regarding, the forwarding or handling of any',
17405:'invention disclosures or other reporting requirementsof the specifiedclauses. normally, therequesting agency is responsible for the administration of any subject inventions.',
17406:'this responsibility shall be established in advance of awarding any contracts. 27.3043 subcontracts. a thepolicies and proceduresin this subpart apply',
17407:'toallsubcontractsat any tier. b whenever a prime contractor or a subcontractor considers including a particular clause in a subcontract to',
17408:'be inappropriate or a subcontractor refuses to accept the clause, the contracting officer, in consultation with counsel, shall resolve the',
17409:'matter. c it is government policy that contractors shall not use their ability to award subcontracts as economic leverage to',
17410:'acquire rights for themselves in inventions resulting from subcontracts. 27.3044 appeals. a thedesignated agency officialshallprovide the contractorwith a written statement',
17411:'of the basis, including any relevant facts, for taking any of the following actions: 1 a refusal to grant an',
17412:'extension to the invention disclosure period under paragraph c4 of the clause at 52.22711; 2 a demand for a conveyance',
17413:'of title to the government under 27.302d1i and ii; 3 a refusal to grant a waiver under 27.302g, preference for',
17414:'united states industry; or 4 a refusal to approve an assignment under 27.3041h. b each agency may establish and publish',
17415:'procedures under which any of these actions may be appealed. these appeal procedures should include administrative due process procedures and',
17416:'standards for factfinding. the resolution of any appeal shall consider both the factual and legal basis for the action and',
17417:'its consistency with the policy and objectives of 35 u.s.c. 200206 and 2 10. c to the extentthat any ofthe',
17418:'actionsdescribed in paragraph a of this section are subject toappealunder thecontract disputes statute, the procedures under that statute will satisfy',
17419:'the requirements of paragraph b. subpart 27.3 patent rights under government contracts 27.3052 27.305administration of patent rights clauses. 27.3051 goals.',
17420:'a contracts having a patent rights clause should be so administered that 1 inventions are identified, disclosed, and reported as',
17421:'required by the contract, and elections are made; 2 the rights of the government in subject inventions are established; 3',
17422:'when patent protection is appropriate, patent applications are timely filed and prosecuted by contractors or by the government; 4 the',
17423:'rights of the government in filed patent applications are documented by formal instruments such as licenses or assignments; and 5',
17424:'expeditious commercial utilization of subject inventions is achieved. b if a subject invention is madeunder a contractfunded by more than',
17425:'one agency, at therequest of thecontractor or on their own initiative, the agencies shall designate one agency as responsible for',
17426:'administration of the rights of the government in the invention. 27.3052 administration by the government. a agencies should establish and',
17427:'maintain appropriate followup proceduresto protect thegovernment’s interest and to check that subject inventions are identified and disclosed, and when appropriate,',
17428:'patent applications are filed, and that the government’s rights therein areestablished and protected. followupactivities for contracts thatinclude a clause referenced',
17429:'in 27.3042 should becoordinated with the appropriateagency. b 1thecontractingofficeradministeringthecontractorotherrepresentativespecificallydesignatedinthecontract for this purpose is responsible for receiving invention disclosures, reports, confirmatory',
17430:'instruments, notices, requests, and other documents and information submitted by the contractor pursuant to a patent rights clause. i for',
17431:'other than confirmatory instruments, if the contractor fails to furnish documents or information as called for by the clausewithin thetime',
17432:'required, the contracting officer shall promptly request the contractor to supply therequired documents or information. if thefailurepersists, the contracting officer',
17433:'shall take appropriate action to secure compliance. ii if the contractor does not furnish confirmatory instruments within 6 months after',
17434:'filing each patent application, or within 6 months after submitting the invention disclosure if the application has been previously filed,',
17435:'the contracting officer shall requestthe contractor to supply the requireddocuments. 2 the contractingofficer shall promptly furnish all invention disclosures, reports,confirmatory',
17436:'instruments, notices, requests, and other documents and information relating to patent rights clauses to legal counsel. c contracting activities should',
17437:'establish appropriate procedures to detect and correct failures by the contractor to comply with its obligations under the patent rights',
17438:'clauses, such as failures to disclose and report subject inventions, both during and after contract performance. governmenteffort to review and',
17439:'correct contractor compliance with itspatent rights obligations should be directed primarily toward contracts that are more likely to result in',
17440:'subject inventions significant in number or quality. these contracts include contractsof aresearch, developmental, or experimentalnature;contracts of a large dollar amount;',
17441:'and any other contracts when there is reason to believe the contractor may not be complying with its contractual obligations.',
17442:'other contracts may be reviewed using a spotcheck method, as feasible. appropriate followup procedures and activities may include the investigation',
17443:'or review of selected contracts or contractors by those qualified in patent and technical matters to detect failures to comply',
17444:'with contract obligations. d followup activities should include, where appropriate, use of government patent personnel 1 to interview agency technicalpersonnel',
17445:'to identify novel developmentsmadein contracts; 2 to review technical reports submitted bycontractors with cognizant agency technical personnel; 3 to checkthe',
17446:'official gazette of the united states patentand trademark office and other sources for patents issued to the contractor in fields',
17447:'related to its government contracts; and 4 to have cognizant government personnel interview contractor personnel regarding work under the contract',
17448:'involved, observe the work on site, and inspect laboratory notebooks and other records of the contractor related to work under',
17449:'the contract. e if a contractor or subcontractor does not have a clear understanding of its obligations under the clause,',
17450:'or its procedures for complying with the clause aredeficient, the contracting officer should explain to the contractor its obligations. the',
17451:'withholding of payments provision if any of the patent rights clause may be invoked if the contractor fails to meet',
17452:'the obligations required by the patents rights clause. significant or repeated failures by a contractor to comply with the patent',
17453:'rights obligation in its contracts shall be documented and made a part of the general file see 4.801c3. 27.3053 federal',
17454:'acquisition regulation 27.3053securing invention rights acquired bythe government. a agencies are responsible for implementingprocedures necessary to protect the government’s interestin',
17455:'subject inventions. when the government acquires the entire right, title, and interest in an invention by contract, the chain of',
17456:'title from the inventor to the government shall be clearly established. this is normally accomplished by an assignment either from',
17457:'each inventor to the contractor and from the contractor to the government, or from the inventor to the government with',
17458:'the consentof the contractor. whenthe government’s rights arelimited to a license, there should be a confirmatory instrument tothat effect. b',
17459:'agencies may, bysupplemental instructions, develop suitable assignments, licenses, and other papers evidencing any rights of the government in patents or',
17460:'patents applications. these instruments should be recorded in the u.s. patent and trademark office see executiveorder 9424, establishing in theunited',
17461:'statespatent office a register of government interests in patents and applications for patents, february 18, 1944. 27.3054protection of invention disclosures.',
17462:'a the government will, to the extent authorized by 35 u.s.c. 205, withhold from disclosure to the public any invention',
17463:'disclosures reported under the patent rights clauses of 52.22711 or 52.22713 for a reasonable time in order for patent applications',
17464:'to be filed. the government will follow the policy in 27.302j regardingprotection of confidentiality. b the government should also use',
17465:'reasonable effortsto withhold from disclosure to the public for a reasonable time other information disclosing a subject invention. this information',
17466:'includes any data delivered pursuant to contract requirements provided that the contractor notifies the agency as to the identity of',
17467:'the data and the subject invention to which it relates at the time of delivery of thedata. this notification shall',
17468:'beprovidedto both thecontracting officer and toany patent representative to which the inventionis reported, if otherthan the contractingofficer. c for more',
17469:'information on protection of invention disclosures, also see 37 cfr 401.13. 27.306 licensing background patentrightsto third parties. a a contract',
17470:'with a small business concern ornonprofit organization shall not contain aprovision allowing the government to require the licensing to third',
17471:'parties of inventions owned by the contractor that are not subject inventions unless the agency head has approved and signed',
17472:'a written justification in accordance with paragraph b of this section. the agency head may not delegate this authority and',
17473:'may exercise the authority only if it is determined that the 1 use of the invention by others is necessary',
17474:'for the practice of a subject invention or for the use of a work object of the contract; and 2',
17475:'action is necessary to achieve the practical application of the subject invention or work object. b any determination will be',
17476:'on the record after an opportunity for a hearing, and the agency shall notify the contractor of the determination by',
17477:'certified or registered mail. the notification shall include a statement that the contractor must bring any action for judicial review',
17478:'of the determination within 60 days after the notification. subpart 27.4 rights in data and copyrights 27.403 subpart 27.4 rights',
17479:'in data and copyrights 27.400scope of subpart. this subpart sets forth policies and procedures regarding rights in data and copyrights,',
17480:'and acquisition of data. the policy statement in 27.402 applies to all executive agencies. the remainder of the subpart applies',
17481:'to all executive agencies except the department of defense. 27.401definitions. as used in this subpart data means recorded information, regardless',
17482:'of form or the media on which it may be recorded. the term includes technical data and computer software. the',
17483:'term does not include information incidental to contract administration, such as financial, administrative, cost or pricing, or management information. form,',
17484:'fit, and function data means data relating to items,components, or processes that are sufficientto enable physical and functionalinterchangeability, and data',
17485:'identifying source, size, configuration,matingand attachmentcharacteristics, functional characteristics, and performance requirements. for computer software it means data identifying source, functional characteristics,',
17486:'and performance requirements, but specifically excludes the source code, algorithms, processes, formulas, and flow charts of the software. limited rights',
17487:'means the rights of the government in limited rights data as set forth in a limited rights notice. limited rights',
17488:'data means data, other than computer software, that embody trade secrets or are commercial or financial and confidential or privileged,',
17489:'to the extent that such data pertain to items, components, or processes developed at private expense, including minor modifications. agencies',
17490:'may, however,adopt the followingalternate definition: limitedrights data means data other than computer software developed at private expense that embody trade',
17491:'secrets or are commercial or financial and confidential or privileged see 27.4042b. restricted computer software means computer software developed at',
17492:'private expense and that is a trade secret, is commercial or financial and confidential or privileged, or is copyrighted computer',
17493:'software, including minor modifications of the computer software. restricted rights means the rights of the government in restricted computer software',
17494:'as set forth in a restricted rights notice. unlimited rights means the rights of the government to use, disclose, reproduce,',
17495:'prepare derivative works, distribute copiesto the public, andperformpublicly and display publicly, in anymanner and for any purpose,and to have orpermit',
17496:'others to do so. 27.402 policy. a to carry out their missions and programs, agencies acquire or obtain accessto many',
17497:'kinds ofdata produced during or used in the performance of their contracts. agencies require data to 1 obtain competition among',
17498:'suppliers; 2 fulfill certain responsibilities for disseminating and publishing the results of their activities; 3 ensure appropriate utilization of the',
17499:'results of research, development, and demonstration activities including the dissemination of technical information to foster subsequent technological developments; 4 meet',
17500:'other programmatic and statutory requirements; and 5 meet specialized acquisition needs and ensure logistics support. b contractors may have proprietary',
17501:'interests in data. in order to prevent the compromise of these interests, agencies shall protect proprietary data from unauthorized use',
17502:'and disclosure. the protection of such data is also necessary to encourage qualified contractors to participate in and apply innovative',
17503:'concepts to government programs. in light of these considerations, agencies shall balance the government’s needsandthe contractor’s legitimate proprietary interests. 27.403data',
17504:'rightsgeneral. all contracts that require data to be produced, furnished, acquired, or used in meeting contract performance requirements, must contain',
17505:'terms that delineate the respective rights and obligations of the government and the contractor regarding the use, reproduction, and disclosure',
17506:'of that data. data rights clauses do not specify the type, quantity or quality of data that is to be',
17507:'delivered, but only the respective rights of the government and the contractor regarding the use, disclosure, or reproduction of the',
17508:'data. accordingly, thecontract shall specifythe datato bedelivered. federal acquisition regulation 27.404basic rights in data clause. this section describes the operation',
17509:'of the clause at 52.22714, rights in datageneral, and also the use of the provision at 52.22715, representation of limited',
17510:'rights data and restricted computer software. 27.4041 unlimited rights data. the government acquires unlimited rights in the following data except',
17511:'for copyrighted works as provided in 27.4043: a data first produced in the performance of a contract except to the',
17512:'extent the data constitute minor modifications to data that are limited rights data or restricted computer software. b form, fit,',
17513:'and function data delivered under contract. c data except as may be included with restricted computer software that constitute manuals',
17514:'or instructional and training material for installation, operation, or routine maintenance and repair of items, components, or processes delivered or',
17515:'furnished for use under a contract. d all other data delivered under the contract other than limited rights data or',
17516:'restricted computer software see 27.4042. 27.4042limited rights data and restricted computer software. a general. the basic clause at 52.22714, rights',
17517:'in datageneral, enables the contractor to protect qualifying limited rights data and restricted computer software by withholding the data from',
17518:'the government and instead delivering form, fit, and function data. b alternate definition of limited rights data. for contracts that',
17519:'do not require the development, use, or delivery of items, components, or processes that are intended to be acquired by',
17520:'or for the government, an agency may adopt the alternate definition of limited rights data set forth in alternate i',
17521:'to the clause at 52.22714. the alternate definition does not require that the data pertain to items, components, or processes',
17522:'developed at private expense; but rather that the data were developed at private expense and embody a trade secret or',
17523:'are commercial or financial and confidential or privileged. c protection oflimited rightsdata specified for delivery. 1 the clause at 52.22714',
17524:'with its alternate ii enables the government to require delivery of limited rights dataratherthan allow the contractor to withhold the',
17525:'data. to obtain delivery, thecontract mayidentify and specify data to be delivered, or the contracting officermay require, by written request',
17526:'during contract performance, the delivery of data that has been withheld or identified to be withheld under paragraph g1 of',
17527:'the clause. in addition, the contract may specifically identify data that are not to be delivered under alternate ii or',
17528:'which, if delivered, will be delivered with limited rights. the limited rights obtained by the government are set forth in',
17529:'the limited rights notice contained in paragraph g3 of alternateii. agencies shall not, without permission of the contractor, use limited',
17530:'rights data for purposes of manufacture or disclose the data outside the government except as set forth in the notice.',
17531:'any disclosure by the government shall be subject to prohibition against further use and disclosure by the recipient. the following',
17532:'are examples of specific purposes that may be adopted by an agency in its supplement and added to the limited',
17533:'rights notice of paragraph g3 of alternate ii of the clause: i use except for manufacture by support service contractors.',
17534:'ii evaluation by nongovernment evaluators. iii use except for manufacture byother contractors participatingin thegovernment’s program ofwhich the specific contract is',
17535:'a part. iv emergencyrepairor overhaul work. v release to a foreign government, or its instrumentalities, if required to serve the',
17536:'interests of the u.s. government, for information or evaluation,or for emergency repair or overhaulwork by the foreign government. 2 the',
17537:'provision at 52.22715, representation of limited rights data and restricted computer software, helps thecontracting officer todetermine whether the clause at',
17538:'52.22714 should be used with its alternate ii. this provision requests that an offeror statewhetherlimited rightsdata are likely to be',
17539:'delivered. where limited rights data areexpected to be delivered, use alternate ii. where negotiations are based on an unsolicited proposal,',
17540:'the need for alternate ii of the clause at 52.22714 should be addressed during negotiations or discussions, and if alternate',
17541:'ii was not included initially it may be added by modification, if needed, during contract performance. 3 if data that',
17542:'would otherwise qualify as limited rights data is delivered as a computer database, the data shall be treated as limited',
17543:'rights data, rather than restricted computer software, for the purposes of paragraph g of the clause at 52.22714. d protection',
17544:'of restricted computer softwarespecified for delivery. 1 alternate iii of the clause at 52.22714, enables the government to require delivery',
17545:'of restricted computer software rather than allow the contractor to withhold such restrictedcomputer software. to obtaindelivery of restricted computer softwarethe',
17546:'contracting officershall subpart 27.4 rights in data and copyrights 27.4043 i identify and specify the deliverable computer software in the',
17547:'contract; or ii require by written request during contract performance, the delivery of computer software that has been withheld or',
17548:'identified to be withheld under paragraph g1 of the clause. 2 in considering whether to use alternateiii, contracting officers should',
17549:'note that, unlike other data, computer softwareis also an end item initself. thus, the contractingofficer shall usealternate iii if delivery',
17550:'ofrestricted computer software is required to meet agency needs. 3 unless otherwise agreed see paragraph d4 of this subsection, the',
17551:'restricted rights obtained by the government are set forth in the restricted rights notice contained in paragraph g4 alternate iii.',
17552:'such restricted computer software will not be used or reproduced by the government, or disclosed outside the government, except that',
17553:'the computer software may be i used or copied for use with the computers for which it was acquired, including',
17554:'use at any government installation to which the computers may be transferred; ii used or copied for use with a',
17555:'backup computer if any computer for which it was acquired is inoperative; iii reproduced for safekeeping archives or backup purposes;',
17556:'iv modified, adapted, or combined with other computer software, provided that the modified, adapted, or combined portions of the derivative',
17557:'software incorporating any of the delivered, restricted computer software shall be subject to the same restricted rights; v disclosed to',
17558:'and reproduced for use by support service contractors or their subcontractors, in accordance with paragraphs 3i through iv of this',
17559:'section; and vi used or copied for use with areplacement computer. 4 the restricted rights set forth in paragraph d3',
17560:'of this subsection are the minimum rights the government normally obtains with restricted computer software and will automatically apply when',
17561:'such software is acquired under the restricted rights notice of paragraph g4 of alternate iii of the clause at 52.22714.',
17562:'however, the contracting officer may specifydifferent rights inthe contract, consistent with the purposes and needs for whichthe softwareis tobe acquired.',
17563:'for example, the contracting officer should consider any networking needs or any requirementsforuse ofthe computer softwarefrom remote terminals. also,in addressing',
17564:'such needs, the scope of therestricted rightsmay be different for the documentation accompanying the computer software than for the programs',
17565:'and databases. any additions to, or limitations on, the restricted rights set forth in the restricted rights notice of paragraph',
17566:'g4 of alternate iii of the clause at 52.22714 shall be expressly stated in the contract or in a collateral',
17567:'agreement incorporated in and made part of the contract, and the notice modified accordingly. 5 the provision at 52.22715, representation',
17568:'of limited rights data and restricted computer software, helps thecontracting officer determinewhetherto use theclause at 52.22714 with its alternate iii.',
17569:'this provision requests that anofferor state whether restricted computer softwareis likely to be delivered under the contract. inaddition, theneedfor alternateiiishouldbe',
17570:'addressed duringnegotiations ordiscussions withan offeror, particularlywhere negotiationsare based on an unsolicited proposal. however, ifalternate iii is notused initially, it may',
17571:'be added bymodification,if needed, during contract performance. 27.4043 copyrighted works. a data first produced in the performance of a contract.',
17572:'1 generally, the contractor must obtain permission ofthe contracting officerprior to assertingrights in any copyrighted work containing data first produced',
17573:'in the performance ofa contract. however, contractors are normally authorized, without prior approval of the contracting officer, to assertcopyright in',
17574:'technical or scientific articles based on or containing such data that is published in academic, technical or professional journals, symposia',
17575:'proceedings and similar works. 2 the contractor must make a written request for permission to assert its copyright in works',
17576:'containing data first produced under the contract. in its request, the contractor should identify the data involved or furnish copies',
17577:'of the data for which permission is requested, as well as a statement as to the intended publication or dissemination',
17578:'media or other purpose for which the permission isrequested. generally, a contracting officer should grant the contractor’s request when copyright',
17579:'protection will enhance the appropriate dissemination or use of the data unless the idata consistof areport that represents theofficial views',
17580:'ofthe agencyor that the agencyis required by statute to prepare; ii data are intended primarily for internal use by the',
17581:'government; iii data are of the type that the agency itself distributes to the public under an agency program; iv',
17582:'government determines that limitation on distribution of the data is in the national interest; or 27.4044 federal acquisition regulation v',
17583:'government determines that the data should be disseminated without restriction. 3 alternate iv of the clause at 52.22714 provides a',
17584:'substitute paragraph c1 granting permission for contractors to assert copyright in any data first produced in the performance of the',
17585:'contract without the need for any further requests. except for contracts for management or operation of government facilities and contracts',
17586:'and subcontracts in support of programs being conducted at those facilities or where international agreements require otherwise, alternate iv shall',
17587:'be used in all contracts for basic or applied research to be performed solely by colleges and universities. alternate iv',
17588:'shall not be used in contracts with colleges and universities if a purpose of the contract is for development of',
17589:'computer software for distribution to the public including use in solicitations by or on behalf of the government. in addition,',
17590:'alternate iv may be used in other contracts if an agency determines that it is not necessary for a contractor',
17591:'to request further permission to assert copyright in data first produced in performance of thecontract. thecontracting officer may exclude any',
17592:'data, or items or categories of data, from the provisions of alternate iv by expressly so providing in the contract',
17593:'or by adding a paragraph d 4 to the clause, consistent with 27.4044b. 4 pursuant to paragraph c1 of the',
17594:'clause at 52.22714, the contractor grants the government a paidup nonexclusive, irrevocable, worldwide license to reproduce, prepare derivative works, distribute',
17595:'to the public, perform publicly and display publicly by or on behalf of the government, for all data other than',
17596:'computer software first produced in theperformance of a contract. for computersoftware, the scope of thegovernment’s license includes all ofthe above',
17597:'rights except theright to distributeto thepublic. agencies may also obtain a licenseof different scope if the contractingofficer determines, after consulting',
17598:'with legal counsel, such a license will substantially enhance the dissemination of any data first produced under the contract or',
17599:'if such a license is required to comply with international agreements. if an agency obtains a different license, the contractor',
17600:'shall clearlystate the scope of thatlicense in a conspicuous place on the medium on which thedata is recorded. for example,',
17601:'if thedata is delivered as a report, the termsof the license shall bestated onthe cover, or first page, of the',
17602:'report. 5 the clause requires thecontractor to affix the applicable copyright notices of 17 u.s .c. 401 or 4 02,',
17603:'and acknowledgment of government sponsorship, including the contract number to data when it asserts copyright in data. failure to do',
17604:'so could result in such data being treated as unlimited rights data see 27.4045b. b data not first produced in',
17605:'the performance of a contract. 1 contractors shall not deliver any data that is not first produced under the contract',
17606:'without either i acquiring for or granting to the government a copyright license for the data; or iiobtaining permission from',
17607:'the contracting officer to do otherwise. 2 the copyright license the government acquires for such data will normally be of',
17608:'the same scope as discussed in paragraph a4 of this subsection, and is set forth in paragraph c2 of the',
17609:'clause at 52.22714. however, agencies may obtain a licenseof different scope if the agency determines, after consultation withits legalcounsel,that suchdifferent',
17610:'license will not be inconsistent with the purpose ofacquiring the data. if alicense of a different scope is acquired, it',
17611:'must be so stated in the contract and clearly set forth in a conspicuous place on the data when delivered',
17612:'to the government. if the contractor delivers computer software not first produced under the contract, the contractor shall grant the',
17613:'government the license set forth in paragraph g4 of alternate iii if included in the clause at 52.22714, or a',
17614:'license agreed to in a collateral agreement made part of the contract. 27.4044contractor’s release, publication, and useof data. a in',
17615:'contracts for basic or applied research with universities or colleges, agencies shall not place any restrictions on the conduct of',
17616:'or reporting on the results of unclassified basic or applied research, except as provided in applicable u.s. statutes. however, agencies',
17617:'may restrict the releaseor disclosure of computer software that is or is intended to be developed to the point of',
17618:'practical application including for agency distribution under established programs. this is not considered a restriction on the reporting of the',
17619:'results of basic or applied research. agencies may also preclude a contractor from asserting copyright in any computer software for',
17620:'purposes of established agency distribution programs, or where required to accomplish the purpose for which the software is acquired. b',
17621:'except for theresults of basic or applied research under contracts withuniversities or colleges, agencies may, to the extent provided in',
17622:'their far supplements, place limitations or restrictions on the contractor’s exercise of its rights in data first produced in the',
17623:'performance of the contract, including a requirement to assign copyright to the government or another party. any of these restrictionsshallbe',
17624:'expressly included in the contract. subpart 27.4 rights in data and copyrights 27.4046 27.4045unauthorized,omitted, orincorrect markings. a unauthorized marking of',
17625:'data. 1 the government has, in accordance with paragraph e of the clause at 52.22714, the right to either return',
17626:'data containing unauthorized markings or to cancel or ignore the markings. 2 agencies shall not cancel or ignore markings without',
17627:'makingwritten inquiryof the contractorand affording the contractor at least 60 days to provide a written justification substantiating the propriety of',
17628:'the markings. i if the contractor fails to respond or fails to provide a written justification substantiating the propriety of',
17629:'the markings within the timeafforded, the government maycancel or ignore the markings. ii if the contractor provides a written justification',
17630:'substantiating the propriety of the markings, the contracting officer shall consider the justification. aif the contracting officer determines that the',
17631:'markings are authorized, thecontractor will beso notified in writing. b if the contracting officer determines, with concurrence of the head',
17632:'of the contracting activity, thatthe markings are not authorized, the contractor will be furnished a written determination which becomes the',
17633:'final agency decision regarding the appropriateness of the markings and the markings will be cancelled or ignored and the data',
17634:'will no longer be made subject to disclosure prohibitions, unless the contractor files suit within 90 days in a court',
17635:'of competent jurisdiction. the markings will not be cancelled or ignored until final resolution of thematter, either by the contracting',
17636:'officers determination becoming the final agency decisionor by final disposition of the matter by court decision if suit is filed.',
17637:'3 the foregoing procedures may be modified in accordance with agency regulations implementing the freedom of information act 5 u.s.c.',
17638:'552 if necessary to respond to a request. in addition, the contractor may bring a claim, in accordance with thedisputes',
17639:'clauseof the contract, thatmay ariseas the result of the government’s actionto remove or ignore any markings on data, unless the',
17640:'action occurs as the result of a final disposition of the matter by a court of competent jurisdiction. b omitted',
17641:'or incorrect notices. 1 data delivered under a contract containing the clause without a limited rights notice or restricted rights',
17642:'notice, and without a copyright notice, will be presumed to have been delivered with unlimited rights, and the government assumesno',
17643:'liability for the disclosure, use, or reproduction ofthe data. however, to the extent thedata has not been disclosed without restriction',
17644:'outsidethe government, thecontractor may, within 6monthsora longer periodapproved by the contracting officer for good cause shown, requestpermission of thecontracting officer',
17645:'tohavethe omitted limited rightsor restricted rights notices, as applicable, placed on qualifying dataat the contractorsexpense. the contracting officer may permit',
17646:'adding appropriate notices if the contractor i identifies the data for which a notice is to be added; ii demonstrates',
17647:'that the omission of the proposed notice was inadvertent; iii establishes that use of the proposed notice is authorized; and',
17648:'iv acknowledges that the government has no liability with respect to any disclosure or use of any such data made',
17649:'prior to the addition of the notice or resulting from the omission of the notice. 2 the contractingofficer may also',
17650:'ipermit correction, at the contractor’sexpense, of incorrect notices ifthe contractor identifies the data on which correction of the notice is',
17651:'to be made, and demonstrates that the correct notice is authorized; or ii correct any incorrect notices. 27.4046inspectionof data at',
17652:'the contractor’s facility. contracting officersmay obtainthe right to inspect data atthe contractor’s facility byuse of the clause at 52.22714 with',
17653:'itsalternate v, which adds paragraph j to provide thatright. agencies may also adopt alternate v for general use. the data',
17654:'subject to inspection may be data withheld or withholdable under paragraph g1 of the clause. inspection may be made by',
17655:'the contracting officer or designeeincludingnongovernmental personnel under the sameconditions asthe contracting officer for thepurpose of verifying a contractor’s assertion regarding',
17656:'the limited rights orrestricted rights status of thedata, or for evaluating work performance under the contract. this right may be',
17657:'exercised up to 3 years after acceptance of all items to be delivered under the contract. the contract may specify',
17658:'data items that are not subject to inspection under paragraph j of the alternate. if the contractor demonstrates to the',
17659:'contractingofficer that therewouldbe a possibleconflictof interestif inspection were made by a particular representative, the contractingofficer shall designate an alternate representative.',
17660:'federal acquisition regulation 27.405 otherdata rights provisions. 27.4051 special works. a the clause at 52.22717, rights in dataspecialworks,is for use',
17661:'in contractsormay be made applicable toportions thereof that are primarily for the production or compilation of data other than limited',
17662:'rights data or restricted computer software for the government’sown use,or when there isa specific need to limit distribution and use',
17663:'of the data or to obtain indemnity for liabilities that may arise out of the content, performance, or disclosure of',
17664:'the data. examples are contracts for 1 the production of audiovisual works, including motion pictures or television recordings with or',
17665:'without accompanying sound, or for the preparation of motion picture scripts, musical compositions, sound tracks, translation, adaptation, and the like;',
17666:'2 histories of the respective agencies, departments, services, or units thereof; 3 surveys of government establishments; 4 works pertaining to',
17667:'the instruction or guidance ofgovernmentofficers and employees in the dischargeof their official duties; 5 the compilation of reports, books, studies,',
17668:'surveys, or similar documents that do not involve research, development, or experimental work; 6 the collection of data containing personally',
17669:'identifiable information such that the disclosure thereof would violate the right of privacy or publicity of the individual to whom',
17670:'the information relates; 7 investigatory reports; 8 the development, accumulation, or compilation of data other than that resulting from research,',
17671:'development, or experimental work performed by the contractor, the early release of which could prejudice followon acquisition activities or agency',
17672:'regulatory or enforcement activities; or 9 the development of computer software programs, where the program i may give a commercial',
17673:'advantage; or ii is agency mission sensitive, and release could prejudice agency mission, programs, or followon acquisitions. b the contract',
17674:'may specify the purposes and conditions including time limitations under which the data may be used, released, or reproduced other',
17675:'than for contract performance. contracts for the production of audiovisual works, sound recordings, etc., may include limitations in connection with',
17676:'talent releases, music licenses, and the like that are consistent with the purposes for which the works are acquired. c',
17677:'paragraph c1ii of the clause, which enables the government to obtain assignment of copyright in any data first produced in',
17678:'the performance of the contract, may be deletedif the contracting officer determines that such assignmentis not needed to further the',
17679:'objectives of the contract. d paragraph e of the clause, which requires the contractor to indemnify the government against any',
17680:'liability incurred as the resultof any violationof trade secrets, copyrights, right of privacy or publicity, or any libelous or otherunlawful',
17681:'matter arising out of or contained in any production or compilation of data that are subject to the clause, may',
17682:'be deleted or limited in scopewhere the contractingofficer determines that, because ofthe nature of the particular data involved, such liability',
17683:'will not arise. e when the audiovisual or other special works are produced to accomplish a public purpose other than',
17684:'acquisition for thegovernment’s ownuse such as for productionanddistribution to the public ofthe worksby other than afederal agency agencies are authorized',
17685:'to modify the clause for use in contracts, with rights in data provisions that meet agency mission needs yet protect',
17686:'free speech and freedom of expression, as well as the artistic license of the creator of the work. 27.4052 existing',
17687:'works. the clause at 52.22718, rights in dataexisting works, is for use in contracts exclusively for the acquisition without modification',
17688:'of existing works such as, motion pictures, television recordings, and other audiovisual works; sound recordings; musical, dramatic, and literary works;',
17689:'pantomimes and choreographic works; pictorial, graphic, and sculptural works; and works of a similar nature. the contract may set forth',
17690:'limitations consistent with the purposes for which the works covered by the contract are being acquired. examples of these limitations',
17691:'are means of exhibition or transmission, time, type of audience, and geographicallocation. however, ifthe contract requires thatworks of the type',
17692:'indicated in this paragraph are to be modifiedthroughediting, translation, oraddition ofsubject matter, etc. rather than purchased in existing form, then',
17693:'see 27.4051. subpart 27.4 rights in data and copyrights 27.4061 27.4053commercial computer software. a when contracting other than from gsa’s',
17694:'multipleaward schedule contracts for the acquisition ofcommercial computer software, no specific contract clause prescribed in this subpart need be used,',
17695:'but the contract shall specifically address the government’s rights to use,disclose, modify, distribute, andreproduce the software. section 12.212 sets forth',
17696:'the guidance for the acquisition of commercial computer software and states that commercial computer software or commercial computer software documentation',
17697:'shall be acquired under licenses customarily provided to the public to the extent the license is consistent with federal law',
17698:'and otherwise satisfies the government’s needs. the clause at 52.22719, commercial computer software license, may be used when there isany',
17699:'confusion as to whether the government’s needs are satisfied or whether a customarycommercial license is consistent with federal law. additional',
17700:'or lesser rights may be negotiated using the guidance concerning restricted rights as set forth in 27.4042d, or the clause',
17701:'at 52.22719. if greater rights than the minimum rights identified in the clause at 52.22719 are needed, or lesser rights',
17702:'are to be acquired, they shall be negotiated and set forth in the contract. this includes any additions to, or',
17703:'limitations on, the rights set forth in paragraph b of the clause at 52.22719 when used. examples of greater rights',
17704:'may be those necessary for networking purposes or use of the software from remote terminals communicating with a host computer',
17705:'where the software is located. if the computer software is to be acquired with unlimited rights, the contract shall also',
17706:'so state. in addition, the contract shall adequately describe the computer programs and/or databases, the media on which it is',
17707:'recorded, and all the necessary documentation. b if the contract incorporates, makes reference to, or uses a vendor’s standard commercial',
17708:'lease, license, orpurchase agreement, the contracting officer shall ensure that theagreement is consistent with paragrapha of this subsection. the contractingofficer',
17709:'should exercise caution inaccepting a vendor’s termsand conditions, since they may be directed to commercial sales and may not be',
17710:'appropriate for government contracts. any inconsistencies ina vendor’s standard commercial agreement shall beaddressed in the contractand the contract terms shall',
17711:'take precedence over thevendor’s standard commercial agreement. if the clause at 52.22719 is used, inconsistencies in the vendor’s standardcommercial agreementregarding',
17712:'the government’sright to use, reproduce or disclose the computer software arereconciled by that clause. c if a prime contractor under',
17713:'a contract containing the clause at 52.22714, rights in datageneral, with paragraph g4 alternate iii in the clause, acquires restricted',
17714:'computer software from a subcontractor at any tier as a separate acquisition for delivery to orforuse onbehalf ofthe government, thecontracting',
17715:'officer may approve any additions to, or limitations on the restricted rights in the restricted rights notice of paragraph g4',
17716:'in a collateral agreement incorporated in and made part of the contract. 27.4054 other existing data. a except for existing',
17717:'works pursuant to 27.4052 or commercial computer software pursuant to 27.4053, no clause contained in this subpart is required to',
17718:'be included in 1 contracts solely for the acquisition of books, periodicals, and other printed items in the exact form',
17719:'in which these items are to be obtained unless reproduction rights are to be acquired; or 2 other contracts that',
17720:'require only existing data other than limited rights data to be delivered and the data are available without disclosure prohibitions,',
17721:'unless reproduction rights to the data are to be obtained. b if the reproduction rights to the data are to',
17722:'be obtained in any contract of the type described in paragraph b1 i or ii of this section, the rights',
17723:'shall be specifically set forth in the contract. no clause contained in this subpart is required to be included in',
17724:'contracts substantially for online data base services in the same form as they are normally available to the general public.',
17725:'27.406acquisition of data. 27.4061 general. a it is the government’spracticeto determine,to the extent feasible, its data requirementsin time for inclusion',
17726:'in solicitations. the data requirements may be subject to revision during contract negotiations. since the preparation, reformatting, maintenance and updating,',
17727:'cataloging, and storage of data represents an expense to both the government and thecontractor, efforts should be madeto keep thecontract',
17728:'data requirements to aminimum, consistent withthe purposes of the contract. b the contractingofficer shall specify inthe contract all knowndata requirements,',
17729:'includingthe time and place for delivery and any limitationsand restrictions to be imposed onthe contractor in the handlingof the data.',
17730:'further, and to the extent feasible, in major system acquisitions, the contracting officershallset out datarequirements as separateline items. 27.4062 federal',
17731:'acquisition regulation in establishing the contract datarequirements and in specifying data items to be delivered bya contractor, agencies may, consistent',
17732:'with paragraph a of this subsection, developtheir own contract schedule provisions. agency procedures may, amongotherthings, provide for listing, specifying, identifying',
17733:'source, assuring delivery, and handling any data required tobe delivered, first produced, or specifically used in the performance of the',
17734:'contract. c data delivery requirements should normally not require that a contractor provide the government, as a condition of the',
17735:'procurement,unlimited rights in data that qualify as limited rights data or restricted computersoftware. rather, form, fit, and function data may',
17736:'be furnished with unlimited rights instead of the qualifying data, or the qualifying data may be furnished with limited rights',
17737:'or restricted rights if needed see 27.4042c and d. if greater rights are needed, they should be clearly set forth',
17738:'in the solicitation and the contractor fairly compensated for the greater rights. 27.4062additional data requirements. a in some contracting situations,',
17739:'such as experimental, developmental, research, or demonstration contracts, it may not be feasible to ascertain all the data requirements at',
17740:'contract award. the clause at 52.22716, additional data requirements, may be used to enable the subsequent ordering by the contracting',
17741:'officer ofadditional datafirstproduced orspecifically used in the performance of these contracts as the actual requirements become known. the clause shall',
17742:'normally be used in solicitations and contracts involving experimental, developmental, research or demonstration work other than basic or applied research',
17743:'to be performed under a contract solely by a university or college when the contract amount will be $500,000 or',
17744:'less unless all the requirements for data are believed to be known at the time of contracting and specified in',
17745:'the contract. if thecontract is for basicor applied research to be performed bya university or college, and the contracting officer',
17746:'believesthe contract effort will in thefuture exceed $500,000, even though the initial award doesnot,the contracting officer may include the clause',
17747:'in the initial award. b data may be ordered under the clause at 52.22716 at any time during contract performance',
17748:'or within a period of 3 years after acceptance of all items to be delivered under the contract. the contractor',
17749:'is to be compensated for converting thedata into the prescribed form, for reproduction, and for delivery. inorder to minimize storage',
17750:'costs for the retentionof data, the contracting officer may relievethe contractor ofthe retention requirements for specified data items at any',
17751:'time during the retentionperiod required bythe clause. the contracting officer maypermitthe contractor to identify and specify in the contract data',
17752:'not to be ordered for delivery under the clause if the data is not necessary to meet the government’s requirementsfordata.',
17753:'also, the contractingofficer may alter the clause by deleting the term or specifically used in paragraph a of the clauseif',
17754:'delivery of thedata is notnecessary tomeet thegovernment’s requirements for data. any data ordered under this clause will be subject to',
17755:'the clause at 52.22714, rights in datageneral, or other equivalent clause setting forth the respective rights of the government and',
17756:'the contractor in the contract. data authorized to be withheld under such clause will not be required to be delivered',
17757:'under the clause at 52.22716, except as provided in alternate ii or alternate iii, if included see 27.4042c and d.',
17758:'c absent an established program for dissemination of computer software, agencies should not order additional computer software under the clause',
17759:'at 52.22716, for the sole purpose of disseminating or marketing the software to the public. in ordering softwareforinternalpurposes, the contracting',
17760:'officer shall consider, consistentwith the government’sneeds, not ordering particular source codes, algorithms, processes, formulas, or flow charts of the software',
17761:'if the contractor shows that this aids itsefforts to disseminateor market the software. 27.4063 major system acquisition. a the clause',
17762:'at 52.22721, technical data declaration, revision,and withholding of paymentmajor systems, implements 41 u.s.c. 2302e. when using the clause at 52.22721,',
17763:'the section of the contract specifying data delivery requirements see 27.4061b shall expressly identify those line items of technical data',
17764:'to which the clause applies. upon delivery of the technicaldata, the contractingofficer shall review thetechnicaldata and thecontractor’sdeclaration relating to it',
17765:'to assure that the data are complete, accurate, and comply with contract requirements. if the data are not complete, accurate,',
17766:'or compliant,the contracting officershouldrequest the contractorto correct the deficiencies, andmay withhold payment. final payment shall not be made under the',
17767:'contract until it has been determined that the delivery requirements of those line items of data to which the clause',
17768:'applies have been satisfactorily met. b in a contract for, or in support of, a major system awarded by a',
17769:'civilian agencyotherthan nasa orthe u.s. coast guard, the following applies: 1 the contractingofficer shall require the delivery of any technical',
17770:'data relating to the major system or supplies for the major system, that are to be developed exclusively with federal',
17771:'funds if the delivery of the technical data is needed to ensure the competitive acquisition of supplies or services that',
17772:'will be required in substantial quantities in the future. subpart 27.4 rights in data and copyrights 27.409 the clause at',
17773:'52.22722, major systemminimum rights, is used in addition to the clause at 52.22714, rights in data general, and other required',
17774:'clauses, to ensure that the government acquires at least those rights required by pub. l. 98577 in technical data developed',
17775:'exclusively with federal funds. 2 technical data, relating to a major system or supplies for amajorsystem,procured orto beprocured bythe government',
17776:'and also relating to the design, development, or manufacture of products or processes offered or to be offered for sale',
17777:'to the public except for such data as may be necessary for the government to operate or maintain the product,',
17778:'or use the process if obtained by the government as an element of performance under the contract, shall not be',
17779:'required to be provided to the government from persons who have developed such products or processes as a condition for',
17780:'the procurement of such products or processes by the government. 27.407 rights totechnical data in successful proposals. the clause at',
17781:'52.22723, rights to proposal data technical, allowsthe government to acquire unlimited rights to technical datain successful proposals. pursuant to theclause,',
17782:'theprospective contractor is afforded the opportunity to specifically identify pages containing technical data to be excluded from the grant of',
17783:'unlimited rights. this exclusion is not dispositive of the protective status of the data, but any excluded technical data, as',
17784:'well as any commercial and financial information contained in the proposal, will remain subject to the policies in subpart 15.2',
17785:'or 15.6 or agency supplements relating to proposal information e.g., will be used for evaluation purposes only. if there is',
17786:'a need to have access to any of the excluded technical data during contract performance, consideration should be given to',
17787:'acquiring the data with limited rights, if they so qualify, in accordance with 27.4042c. 27.408 cosponsored research and development activities.',
17788:'a in contracts involving cosponsored research and development that require the contractor to make substantial contributions of funds or resources',
17789:'e.g., by costsharing or by repayment ofnonrecurringcosts,andthe contractor’s and the government’s respective contributions to any item, component, process, or computer',
17790:'software, developed orproduced under thecontract are not readily segregable,the contracting officermay limitthe acquisition of, oracquire less than unlimited rights to,',
17791:'any data developed and delivered under the contract. agencies may regulate the use of this authority in their supplements. lesser',
17792:'rights shall, at a minimum, assure use of the data for agreedto governmental purposes including reprocurement rights as appropriate, and',
17793:'address any disclosure limitations or restrictions to be imposed on the data. also, consideration may be given to requiring the',
17794:'contractor to directly license others if needed to carry out the objectives of the contract. since the purpose of the',
17795:'cosponsored research and development, the legitimate proprietary interests of the contractor, the needs of thegovernment, andthe respective contributions of bothparties',
17796:'may vary, no specificclauses are prescribed, but a clause providing less than unlimited rights in the government for data developed',
17797:'and delivered under the contract such as license rights may be tailored to the circumstances consistent with the foregoing and',
17798:'the policy set forth in 27.402. as a guide, a clause may be appropriate when the contractor contributes money or',
17799:'resources, or agrees to make repayment of nonrecurring costs, of a value of approximately 50 percent of the total cost',
17800:'of the contract i.e., government, contractor, and/or thirdparty paidcosts,andthe respective contributionsare not readily segregable for any work element to be',
17801:'performed under the contract. a clause may be used for all or for only specifically identified tasks or work elements',
17802:'under the contract. in the latter instance, its use will be in addition to whatever other data rights clause is',
17803:'prescribed under this subpart, with the contract specifically identifyingwhich clause is toapply to which tasks or work elements. further, this',
17804:'type of clause may not be appropriate where the purpose of the contract is to produce data for dissemination to',
17805:'the public, or to develop or demonstrate technologies that will be available, in any event, to the public for its',
17806:'direct use. b where the contractor’s contributions are readily segregableby performance requirements and the funding for the contract and so',
17807:'identified in the contract, any resulting data may be treated under this clause as limited rights data or restricted computer',
17808:'software in accordance with 27.4042c or d, as applicable; or if this treatment is inconsistent with the purpose of the',
17809:'contract, rightsto the data may, if so negotiated and stated in the contract,be treated in amanner consistent with paragraph a',
17810:'of this section. 27.409 solicitation provisions and contract clauses. a generally, acontract should contain only one data rights clause. however,',
17811:'wheremorethan one is needed,the contract should distinguish the portion of contract performance to which each pertains. b 1 insert the',
17812:'clause at 52.22714, rights in datageneral, in solicitations and contracts if it is contemplated that data will be produced, furnished,',
17813:'or acquired under the contract, unless the contract is federal acquisition regulation i for the production of special works of',
17814:'the type set forth in 27.4051, although in these cases insert the clause at 52.22714, rights in datageneral, and make',
17815:'it applicable to data other than special works, as appropriate see paragraph e of this section; ii for the acquisition',
17816:'of existing data, commercial computer software, or other existing data, as described in 27.4052 through 27.4054 see paragraphs f and',
17817:'g of this section; iii a small business innovation research contract see paragraph h of this section; iv to be',
17818:'performed outside the united states seeparagraph i1 of this section; v for architectengineer services or construction work see paragraph i2',
17819:'of this section; vi for the management, operation, design, or construction of a governmentowned facility to perform research, development, or',
17820:'production work see paragraph i3 of this section; or vii a contract involving cosponsored research and development in which a',
17821:'clause providing for less than unlimited right has been authorized see 27.408. 2 if an agency determines, in accordance with',
17822:'27.4042b, to adopt the alternate definition of limited rights data in paragraph a of the clause, use the clause with',
17823:'its alternate i. 3 if a contracting officerdetermines, in accordance with 27.4042c that it is necessary to obtain limited rights',
17824:'data, use the clause with its alternate ii. the contractingofficer shall completeparagraph g3 to include the purposes, if any, for',
17825:'which limited rights data are to be disclosed outside the government. 4 in accordance with 27.4042d, if a contracting officerdeterminesitis',
17826:'necessary to obtain restricted computer software, use the clause with its alternate iii. any greater or lesser rights regarding the',
17827:'use, reproduction, or disclosure of restricted computer software than those set forth in the restricted rights notice of paragraph g4',
17828:'of the clause shall be specified in the contract and the notice modified accordingly. 5 use the clause with its',
17829:'alternate iv in contracts for basic or applied research other than those for the management or operation of government facilities,',
17830:'and contracts and subcontracts in support of programs being conducted at those facilities or where international agreements require otherwise to',
17831:'be performed solely by universities and colleges. the clause may be used with its alternate iv in other contracts if',
17832:'in accordance with 27.4043a, an agency determines to grant permission for the contractor to assert claim to copyright subsisting in',
17833:'all data first produced without further request being made by the contractor. when alternate iv isused, the contract may exclude',
17834:'items or categoriesof data from the permission granted, either by express provisions in the contract or by the addition of',
17835:'a paragraph d4 to the clause see 27.4044. 6 in accordance with 27.4046,if the government needs the right to inspect',
17836:'certain dataat a contractor’s facility, use theclause with itsalternate v. c in accordance with 27.4042c2 and 27.4042d5, if the contractingofficer',
17837:'desires to have an offeror statein response to a solicitation whether limited rights data or restricted computer software are likely',
17838:'to be used in meeting the data delivery requirements set forth in the solicitation, insert the provision at 52.22715, representation',
17839:'of limited rights data and restricted computer software, in any solicitation containing the clause at 52.22714, rights in datageneral. the',
17840:'contractor’s response may provide an aidin determining whether the clauseshouldbe used with alternate ii and/oralternate iii. d insert the clause',
17841:'at 52.22716, additional data requirements, in solicitations and contracts involving experimental, developmental, research, or demonstration work other than basic or',
17842:'applied research to be performed solely by a university or college where the contract amount will be $500,000 or less',
17843:'unless all the requirements for data are believed to be known at the time of contracting and specified in the',
17844:'contract see 27.4062. this clause may also be used in other contracts when considered appropriate. for example, if the contract',
17845:'is for basic or applied research to be performed by a university or college, and thecontracting officer believesthe contract effort',
17846:'will in the future exceed $500,000, even though the initial award does not, the contracting officer may include the clause',
17847:'in the initial award. e in accordance with 27.4051, insert the clause at 52.22717,rights in dataspecial works, insolicitationsand contracts primarily',
17848:'for the production or compilation of data other than limited rights data or restricted computer software for thegovernment’s internal use,',
17849:'or when thereis a specific need to limit distributionanduse of the dataor to obtain indemnity for liabilities that may arise',
17850:'out of the content, performance, or disclosure of the data. examples of such contracts are set forth in 27.4051. 1',
17851:'insertthe clause if existing works are to be modified, as by editing, translation, addition of subject matter,etc. 2 the contract',
17852:'may specify the purposes and conditions including time limitations under which the data may be used, released, or reproduced by',
17853:'the contractor for other than contract performance. 3 contracts for the production of audiovisual works, sound recordings, etc. may include',
17854:'limitations in connection with talent releases, music licenses, and the like that are consistent with the purposes for which the',
17855:'data is acquired. subpart 27.4 rights in data and copyrights 27.409 4 the clause may be modified in accordance with',
17856:'paragraphs c through e of 27.4051. f insert the clause at 52.22718,rights in dataexistingworks, in solicitations and contractsexclusivelyforthe acquisition, without',
17857:'modification, of existing audiovisual and similar works of the type set forth in 27.4052. the contract may set forth limitations',
17858:'consistent with the purposes for which the work is being acquired. while no specific clause of this subpart is required',
17859:'to be included in contracts solely for the acquisition, without disclosure prohibitions, of books, publications, and similar items in the',
17860:'exact form in which the items exist prior to the request for purchase i.e., the offtheshelf purchase of such items,',
17861:'or in other contracts where only existing data available without disclosure prohibitions is to be furnished, if reproduction rights are',
17862:'to be acquired, the contract shall include terms addressing such rights. see 27.4054. g in accordance with 27.4053,when contracting other',
17863:'than fromgsa’smultiple award schedule contracts for theacquisition of commercialcomputer software, thecontracting officer may insert the clause at 52.22719, commercial computer',
17864:'software license, in the solicitation andcontract. in anyevent, the contracting officer shall assure that the contract contains terms to obtainsufficient',
17865:'rights for the government to fulfill the need for which thesoftware is being acquired and is otherwise consistent with 27.4053.',
17866:'h if the contract is a small business innovation research sbir contract, insert the clause at 52.22720, rights in datasbir',
17867:'program in all phase i, phase ii, and phase iii contracts awarded under the small business innovation research program established',
17868:'pursuant to 15 u.s.c. 638. the sbir protection period may be extended in accordance with the small business administration’s smallbusiness',
17869:'innovation research programpolicy directive september24,2002. i agencies may prescribe in their procedures, as appropriate, a clause consistent with the policy',
17870:'of 27.402 in contracts 1 to be performed outside theunited states; 2 for architectengineer services and construction work e.g., the',
17871:'clause at 52.22717, rightsin dataspecial works; or 3 for management, operation, design, or construction of governmentowned research, development, or production',
17872:'facilities, and in contracts and subcontracts in support of programs being conducted at such facilities. j in accordance with 27.4063a,',
17873:'insert the clause at 52.22721, technical data declaration, revision,and withholding of paymentmajor systems, in contracts for major systems acquisitions or',
17874:'for support of major systems acquisitions. this requirement includes contracts for detailed design, development, or production of a major system',
17875:'and contracts for any individualpart,component, subassembly, assembly, orsubsystem integral to themajorsystem, andother property that may be replaced during the service',
17876:'life of the system, including spare parts. when used, this clause requires that the technical data to which it applies',
17877:'be specified in the contract see 27.4063a. k in accordance with 27.4063b, in the case of civilian agencies other than',
17878:'nasa and the u.s. coast guard, insert the clause at 52.22722, major systemminimum rights, in contracts for major systems or',
17879:'contracts in support of major systems. l in accordance with 27.407,if a contracting officer desires to acquire unlimitedrights intechnical data',
17880:'containedin a successful proposal upon which a contract award is based, insert the clause at 52.22723, rights toproposal data technical.',
17881:'rights to technical data in a proposal are not acquired by mere incorporation by reference of the proposal in the',
17882:'contract, and if aproposal isincorporated by reference, the contracting officer shall follow 27.404 to assure that the rights are appropriately',
17883:'addressed. this page intentionally left blank. 27.412 subpart 27.5 foreign license and technical assistance agreements 27.501 subpart 27.5 foreign license',
17884:'and technical assistance agreements 27.501general. agencies shall provide necessary policy and procedures regarding foreign technical assistance agreements and license agreements',
17885:'involving intellectual property, including avoiding unnecessary royalty charges. this page intentionally left blank. 27.52 part 28 bonds and insurance sec.',
17886:'28.000 scope of part. 28.001 definitions. subpart 28.1 bonds and other financial protections 28.100 scope of subpart. 28.101 bid guarantees.',
17887:'28.1011 policy on use. 28.1012 solicitation provision or contract clause. 28.1013 authority of an attorneyinfact for a bid bond. 28.1014',
17888:'noncompliance with bid guarantee requirements. 28.102 performance and payment bonds and alternative payment protections for construction contracts. 28.1021 general. 28.1022',
17889:'amount required. 28.1023 contract clauses. 28.103 performance and payment bonds for other than construction contracts. 28.1031 general. 28.1032 performance bonds.',
17890:'28.1033 payment bonds. 28.1034 contract clause. 28.104 annual performance bonds. 28.105 other types of bonds. 28.1051 advance payment bonds. 28.1052',
17891:'patent infringement bonds. 28.106 administration. 28.1061 bonds and bondrelated forms. 28.1062 substitution of surety bonds. 28.1063 additionalbondandsecurity. 28.1064 contract clause.',
17892:'28.1065 consent of surety. 28.1066 furnishing information. 28.1067 withholdingcontractpayments. 28.1068 payment to subcontractors or suppliers. subpart 28.2 sureties and other',
17893:'security for bonds 28.200 scope of subpart. 28.201 requirements for security. 28.202 acceptability of corporate sureties. 28.203 individual sureties. 28.2031',
17894:'acceptability of individual sureties. 28.2032 substitution of assets. 28.2033 release of security interest. 28.2034 solicitation provision and contract clause. 28.2035',
17895:'exclusion of individual sureties. 28.204 alternatives in lieu of corporate or individual sureties. 28.2041 united states bonds or notes. 28.2042',
17896:'certified or cashier’s checks, bank drafts, money orders, or currency. 28.2043 irrevocable letter of credit. 28.2044 contract clause. subpart 28.3',
17897:'insurance 28.301 policy. 28.302 notice of cancellation or change. 28.303 insurance against loss of or damage to government property. 28.304',
17898:'riskpooling arrangements. 28.305 overseas workers’ compensation and war hazard insurance. 28.306 insurance under fixedprice contracts. 28.307 insurance under costreimbursement contracts.',
17899:'28.3071 group insurance plans. 28.3072 liability. 28.308 selfinsurance. 28.309 contract clauses for workers’ compensation insurance. 28.310 contract clause for work',
17900:'on a government installation. 28.311 solicitation provision and contract clause on liability insurance under costreimbursement contracts. 28.3111 contract clause. 28.3112',
17901:'agency solicitation provisions and contract clauses. 28.312 contract clause for insurance of leased motor vehicles. 28.313 contract clauses for insurance',
17902:'of transportation or transportationrelated services. this page intentionally left blank. subpart 28.1 bonds and other financial protections 28.1011 28.000scope of',
17903:'part. this part prescribes requirements for obtaining financial protection against losses under contracts that result from the use of the',
17904:'sealed bid or negotiated methods. it covers bid guarantees, bonds, alternative payment protections, security for bonds, and insurance. 28.001definitions. as',
17905:'used in this part attorneyinfact means an agent, independent agent, underwriter, or any other company or individual holding a power',
17906:'of attorney granted by a surety see also power of attorney at 2.101. bid means any response to a solicitation,',
17907:'including a proposal under a negotiatedacquisition. seethe definitionof offer at 2.101. bid guarantee means a form of security assuring that',
17908:'the bidder 1 will not withdraw a bid withinthe period specified for acceptance; and 2 will execute a written contractandfurnish',
17909:'required bonds, including any necessary coinsurance or reinsurance agreements, within the time specified in the bid, unless a longer time',
17910:'allowed, after receipt of the specified forms. bidder means any entity that is responding orhas respondedto a solicitation, including an',
17911:'offeror under a negotiated acquisition. bond means a written instrument executed by a bidder or contractor the principal, and a',
17912:'second party the surety or sureties except as provided in 28.204, toassure fulfillment of the principal’s obligations toa third party',
17913:'the obligee or government, identified in the bond. ifthe principal’s obligations arenot met, the bond assurespayment, to the extent stipulated,',
17914:'of any loss sustained by the obligee. the types of bonds and related documents are as follows: 1 an advance',
17915:'payment bond secures fulfillment of thecontractor’sobligations under an advance payment provision. 2 an annualbid bond isa single bondfurnished by a',
17916:'bidder, inlieu of separate bonds,which secure all bids on other than constructioncontractsrequiring bondssubmitted during a specific governmentfiscalyear. 3 an annualperformance',
17917:'bondis asingle bond furnished by a contractor, in lieu of separate performance bonds, to securefulfillment ofthe contractor’s obligations under contractsother',
17918:'than construction contracts requiring bonds entered into during aspecific government fiscal year. 4 a patent infringement bondsecures fulfillment of the',
17919:'contractor’s obligations under a patent provision. 5 a payment bond assures payments as required by law to all persons supplying',
17920:'labor or material in the prosecution of the work provided for in the contract. 6 a performancebond secures performance andfulfillment',
17921:'ofthe contractor’s obligations under the contract. consent of surety means an acknowledgment by a surety that its bond given in',
17922:'connection with a contract continues to apply to the contract as modified. penal sum or penal amount means the amount',
17923:'of money specified in a bond or a percentage of the bid price in a bid bond as the maximum',
17924:'payment for which the surety is obligated or the amount of security required to be pledged to the government in',
17925:'lieu of a corporate or individual surety for the bond. reinsurance meansa transaction which provides that a surety,fora consideration, agrees',
17926:'to indemnifyanother surety against loss which the latter may sustain under a bond which it has issued. subpart 28.1 bonds',
17927:'and other financial protections 28.100scope of subpart. this subpart prescribes requirements and procedures for the use of bonds, alternative payment',
17928:'protections, and all types of bid guarantees. 28.101bid guarantees. 28.1011 policy on use. a a contractingofficer shall not requirea bidguarantee',
17929:'unless a performance bond or a performance and payment bond is also required see 28.102 and 28.103. except as provided',
17930:'in paragraph c of this subsection, bid guarantees shall be required whenever a performance bond or a performance and payment',
17931:'bond is required. 28.1012 federal acquisition regulation b all types of bid guarantees are acceptable for supply or service contracts',
17932:'see annual bid bonds and annual performance bonds coverage in 28.001. only separate bid guarantees are acceptable in connection with',
17933:'construction contracts. agencies may specify that only separate bid bonds are acceptable in connection with construction contracts. c thechief of',
17934:'thecontracting office may waive the requirement to obtain a bid guarantee whena performance bond ora performance and payment bond is',
17935:'required if it is determined that a bid guarantee is not in the best interest of the government for a',
17936:'specific acquisition e.g., overseas construction, emergency acquisitions, solesource contracts. class waiversmay be authorized by the agency head or designee. 28.1012solicitation',
17937:'provision or contract clause. a thecontracting officer shall insert aprovision or clause substantiallythe same as theprovision at 52.2281, bid guarantee,',
17938:'in solicitations orcontracts that require a bid guarantee orsimilarguarantee. for example, the contractingofficer may modify this provision 1 to set',
17939:'a period oftime that is other than 10 days for the return of executed bonds; 2 for use in connection',
17940:'with construction solicitations when the agency has specified that only separate bid bonds are acceptable in accordance with 28.1011b; 3',
17941:'for use in solicitations for negotiated contracts; or 4 for use in service contracts containing options for extended performance. b',
17942:'the contractingofficer shall determine the amount of the bid guarantee for insertion inthe provisionat 52.2281 see 28.1022a. the amount shall',
17943:'be adequate to protect the government from loss should the successful bidder fail to execute further contractual documents and bonds',
17944:'as required. the bid guarantee amount shall be at least 20 percent of the bid price but shall not exceed',
17945:'$3 million. when the penal sum is expressed as a percentage, a maximum dollar limitation may be stated. 28.1013 authority',
17946:'of an attorneyinfact for a bid bond. a any person signing a bid bond as an attorneyinfact shall include with',
17947:'the bid bond evidence of authority to bind the surety. b an original, ora photocopy or facsimile of anoriginal, power',
17948:'of attorney is sufficient evidenceof such authority. c for purposes of this section, electronic, mechanicallyapplied and printed signatures, seals and',
17949:'dates on the power of attorney shall be consideredoriginal signatures,seals and dates, without regard to the order in which they',
17950:'were affixed. d the contractingofficer shall 1 treatthe failure toprovide asigned and dated power of attorney at the time of',
17951:'bid openingas a matter of responsiveness; and 2 treatquestions regarding the authenticity and enforceability of the power of attorney atthe',
17952:'time of bid opening asa matter of responsibility. these questions are handled after bidopening. e 1ifthecontractingofficercontactsthesuretytovalidatethepowerofattorney,thecontractingofficershall document the file providing,',
17953:'at a minimum, the following information: i name of person contacted. ii date and time of contact. iii response of',
17954:'the surety. 2 if, upon investigation, the surety declares the power of attorney to have been valid at the time',
17955:'of bid opening, the contracting officermay require correctionof any technical error. 3 if the surety declares the power of attorney',
17956:'tohavebeeninvalid, the contracting officer shall notallow the bidder to substitute a replacement power of attorney or a replacement surety. f',
17957:'determinations of nonresponsibility based on the unacceptability of a power of attorney are not subject to the certificate of competency',
17958:'process of subpart 19.6 if the surety hasdisavowedthe validity of the power of attorney. 28.1014noncompliance with bidguaranteerequirements. a in sealed',
17959:'bidding, noncompliance with a solicitation requirement for a bid guarantee requires rejection of the bid, except in the situations described',
17960:'in paragraph c of this subsection when the noncompliance shall be waived. b in negotiation, noncompliance with a solicitation requirement',
17961:'for a bid guarantee requires rejection of an initial proposal as unacceptable, if a determination is made to award the',
17962:'contract based on initial proposals without discussion, except in the situations described in paragraph c of this subsection when noncompliance',
17963:'shall be waived. see 15.306a2 for conditions regarding making awards based on initial proposals. if the conditions for awarding based',
17964:'on initial proposals subpart 28.1 bonds and other financial protections 28.1022 arenot met, deficiencies in bid guarantees submitted by offerors',
17965:'determinedto bein thecompetitive range shall be addressed during discussions and the offeror shall be given anopportunity tocorrect the deficiency. c',
17966:'noncompliance with a solicitation requirement for a bid guarantee shall be waived in the following circumstances unless thecontracting officer determines',
17967:'inwriting thatacceptance of the bid would be detrimental to thegovernment’s interest when 1 onlyoneoffer is received. in this case, the',
17968:'contractingofficer may require the furnishing of the bid guarantee before award; 2 the amount of the bid guarantee submitted is',
17969:'less thanrequired, but is equal to or greater than the difference between the offer price and the next higher acceptable',
17970:'offer; 3 the amount of the bid guarantee submitted, although less than that required by the solicitation for the maximum',
17971:'quantity offered, is sufficient for a quantity for which theofferor isotherwise eligible for award. any award tothe offeror shall not',
17972:'exceed the quantity covered by the bid guarantee; 4 the bid guarantee is received late, and late receipt is waived',
17973:'under 14.304; 5 a bid guarantee becomes inadequate as a result of the correction of a mistake under 14.407 but',
17974:'only if the bidder will increase the bid guarantee to the level required for the corrected bid; 6 an otherwise',
17975:'acceptable bid bond was submitted with a signed offer, but thebid bond was not signed by the offeror; 7 an',
17976:'otherwise acceptable bid bond is erroneously dated or bears no date at all; or 8 a bid bond does notlist',
17977:'theunited statesas obligee, but correctly identifies the offeror, the solicitation number, and the name and location of the project involved,',
17978:'so long as it is acceptable in all other respects. 28.102 performance and payment bonds and alternative payment protections for',
17979:'construction contracts. 28.1021 general. a 40 u.s.c. chapter 31, subchapter iii, bonds formerly known as the miller act, requires performance',
17980:'and payment bonds for any construction contract exceeding $150,000, except that this requirement may be waived 1 by thecontracting officer',
17981:'for as much of the work as is to be performed ina foreign country upon finding that it is impracticable',
17982:'for the contractor to furnish such bond; or 2 asotherwise authorized by the bondsstatuteor other law. b 1 pursuant to',
17983:'40 u.s.c. 3132, for construction contracts greater than $35,000, but not greater than $150,000, the contracting officershallselect two or moreof',
17984:'the following paymentprotections, giving particular consideration to inclusion of an irrevocable letter of credit as one of the selected alternatives:',
17985:'i a payment bond. ii an irrevocable letter of credit ilc. iii a tripartite escrow agreement. the prime contractor establishes',
17986:'an escrow account in a federally insured financial institution and enters into a tripartite escrow agreement with the financial institution,',
17987:'as escrow agent, and all of the suppliers of labor and material. the escrow agreement shall establish the terms of',
17988:'payment under the contract and of resolution of disputes among the parties. the government makes payments to the contractor’s escrow',
17989:'account, and the escrow agent distributes the payments in accordance with the agreement, or triggers the disputes resolution procedures if',
17990:'required. iv certificates of deposit. the contractor deposits certificates of deposit from a federally insured financial institutionwith the contracting officer,',
17991:'in an acceptableform, executable by the contracting officer. v a deposit of the types of security listed in 28.2041 and',
17992:'28.2042. 2 the contractorshallsubmit to the government one ofthe paymentprotections selected by the contracting officer. c the contractor shall furnish',
17993:'all bonds or alternative payment protection, including any necessary reinsurance agreements, before receiving a notice to proceed with the work',
17994:'or being allowed to start work. 28.1022amount required. a definition. as used in this subsection original contract price means the',
17995:'award price ofthe contract; or, for requirements contracts, the price payableforthe estimated total quantity; or, for indefinitequantity contracts, the price',
17996:'payable for the specified minimum quantity. original contract price does not include the price of any options, except those options',
17997:'exercised at the time of contract award. b contracts exceeding $150,000 1 performance bonds.unless thecontracting officer determines thata lesseramount is',
17998:'adequate for the protection of the government, the penal amount of performance bonds must equal 28.1023 federal acquisition regulation i',
17999:'100 percent of the original contract price; and ii if the contract price increases, an additional amount equal to 100',
18000:'percent of the increase. 2 payment bonds. i unless the contracting officer makes a written determination supported by specific findings',
18001:'that a payment bond in this amount is impractical, the amount of the payment bond must equal a 100 percent',
18002:'of the original contract price; and b if the contract price increases, an additional amount equal to 100 percent of',
18003:'the increase. ii the amount of the payment bond must be no less than the amount of the performance bond.',
18004:'c contracts exceeding $35,000 but not exceeding $150,000. unless the contracting officer determines that a lesser amount is adequate for',
18005:'the protection of the government, the penal amount of the payment bond or the amount of alternative payment protection must',
18006:'equal 1 100 percent of the original contract price; and 2 if the contract price increases, an additional amount equal',
18007:'to 100 percent of the increase. d securing additional payment protection. if the contract price increases, the government must secure',
18008:'any needed additional protection by directing the contractor to 1 increase the penal sum of the existing bond; 2 obtain',
18009:'an additional bond; or 3 furnish additional alternative payment protection. e reducing amounts.the contracting officer may reduce theamount of security',
18010:'to support a bond, subject to the conditions of 28.2033c or 28.204b. 28.1023 contract clauses. a insert a clause substantially',
18011:'the same as the clause at 52.22815, performance and payment bondsconstruction, in solicitations and contracts for construction that contain a',
18012:'requirement for performance and payment bonds if the resultant contract is expected to exceed $150,000. the contracting officer may revise',
18013:'paragraphs b1 and/or b2 of the clause to establish a lower percentage in accordance with 28.1022b. if the provision at',
18014:'52.2281 is not included in the solicitation, thecontracting officer must set a period oftime for return of executed bonds. b',
18015:'insert the clause at 52.22813, alternative payment protections, in solicitations and contracts for construction, when the estimated or actual value',
18016:'exceeds $35,000 but does not exceed $150,000. complete the clause by specifying the payment protections selected see 28.1021b1 and thedeadline',
18017:'for submission. the contracting officer mayrevise paragraph b of the clause to establish a lower percentage in accordance with 28.1022c.',
18018:'28.103performance and payment bonds for other than construction contracts. 28.1031 general. a generally, agencies shall not require performanceandpayment bonds for',
18019:'other than constructioncontracts. however, performance and payment bonds may be used as permitted in 28.1032 and 28.1033. b the contractor',
18020:'shall furnish all bonds before receiving a notice to proceed with the work. c no bond shall be required after',
18021:'the contract has been awarded if it was not specifically required in the contract, except as may be determined necessary',
18022:'for a contract modification. 28.1032 performance bonds. a performance bonds may be required for contracts exceeding the simplified acquisition threshold',
18023:'when necessary to protect thegovernment’s interest. the following situationsmay warrant aperformance bond: 1 government property or funds are to be',
18024:'provided to the contractor for use in performing the contract or as partial compensation as in retention of salvaged material.',
18025:'2 a contractor sells assets to or merges withanother concern, and the government, after recognizing the latter concern as the',
18026:'successor in interest, desires assurance that it is financially capable. 3 substantial progress payments are made before delivery of end',
18027:'items starts. 4 contracts are for dismantling, demolition, or removal of improvements. b the government may require additional performance bond',
18028:'protection when a contract price is increased. cthecontractingofficermustdeterminethecontractor’sresponsibilitysee subpart 9.1 even though a bond has been or can be obtained.',
18029:'subpart 28.1 bonds and other financial protections 28.1061 28.1033 payment bonds. a a payment bond is required only when a',
18030:'performance bond is required, and if the use of payment bond is in the government’s interest. b when a contract',
18031:'price is increased, the government may require additional bond protection in an amount adequate to protect suppliers of labor and',
18032:'material. 28.1034 contract clause. the contractingofficer shall inserta clause substantiallythe same as theclause at 52.22816, performance and payment bondsother than',
18033:'construction, in solicitations and contracts that contain a requirement for both payment and performance bonds. the contracting officershalldetermine theamount of',
18034:'each bond for insertion in the clause. the amount shall be adequate to protect the interest of the government. the',
18035:'contractingofficer shall also set a period oftime normally 10days for return of executed bonds. alternatei shall be used when only',
18036:'performance bonds are required. 28.104annual performance bonds. a annual performance bonds only apply to nonconstruction contracts. they shall provide a',
18037:'gross penal sum applicable to the total amount of all covered contracts. b when the penal sums obligated by contracts',
18038:'are approximately equal to or exceed the penal sum of the annual performance bond, an additional bond will be required',
18039:'to cover additional contracts. 28.105other types of bonds. the head of the contracting activity may approve using other types of',
18040:'bonds in connection with acquiring particular supplies or services. these types include advance payment bonds and patent infringement bonds. 28.1051',
18041:'advance payment bonds. advance payment bonds may be required only when the contract contains an advance payment provision and a',
18042:'performancebond is not furnished. the contracting officershalldetermine the amount ofthe advancepayment bond necessary to protect the government. 28.1052 patent infringement',
18043:'bonds. a contracts providing for patent indemnity may require these bonds only if 1 a performance bond is not furnished;',
18044:'and 2 the financial responsibility of the contractor is unknown or doubtful. b the contractingofficer shall determine the penal sum.',
18045:'28.106administration. 28.1061bondsand bondrelated forms. the following standard formssf’s and optional forms of’s, shall be used, except in foreign countries, when',
18046:'a bid bond, performance or payment bond, or an individual surety is required. the bond forms shall be used as',
18047:'indicated in the instruction portion of each form: a sf 24, bid bond see 28.101. b sf 25, performance bond',
18048:'see 28.1021 and 28.1063b. c sf 25a, payment bond see 28.1021 and 28.1063b. d sf 25b,continuationsheetforsf’s 24, 25, and 25a.',
18049:'e sf 28, affidavit ofindividual surety see 28.203. f sf 34, annual bid bond see 28.001. g sf 35, annual',
18050:'performance bond see 28.104. h sf 273, reinsurance agreement for a bonds statute performance bond see 28.202a4. i sf 274,',
18051:'reinsurance agreement for a bonds statute payment bond see 28.202a4. j sf 275, reinsurance agreement in favor of the united',
18052:'states see 28.202a4. k sf 1414, consent of surety see 28.1065. l sf 1415, consent of surety and increase of',
18053:'penalty see 28.1063. m sf 1416, payment bond for other than construction contracts see 28.1033 and 28.1063b. 28.1062 federal acquisition',
18054:'regulation n sf 1418, performance bond for other than construction contracts see 28.1032 and 28.1063b. o of 91, release of',
18055:'personal property from escrow see 28.2033. 28.1062substitutionof surety bonds. a a new surety bond covering all or part of the',
18056:'obligations on a bond previously approved may be substituted for the original bond if approved by the head of the',
18057:'contracting activity, oras otherwise specified in agencyregulation. b when anew surety bond is approved, the contractingofficer shall notifythe principal and',
18058:'surety of the originalbond of the effective dateof the new bond. 28.1063additional bond andsecurity. a when additional bond coverage is',
18059:'required and is secured in whole or in part by the original surety or sureties, agencies shall use standard form1415,',
18060:'consent of surety and increase ofpenalty. standard form1415 is authorized for local reproduction. b when additional bond coverage is required',
18061:'and is secured in whole or in part by a new surety or by one of the alternatives described in',
18062:'28.204 in lieu of corporate or individual surety, agencies shall use standard form25, performance bond; standard form1418, performance bond for',
18063:'other than construction contracts; standard form25a, payment bond; or standard form1416, payment bond for other than construction contracts. 28.1064 contract',
18064:'clause. a thecontracting officer shall insert the clause at 52.2282, additional bond security, in solicitations and contracts when bonds are',
18065:'required. b in accordance with secti on 806a3 of public law 102190, as amended by sections 2091 and 8105 of',
18066:'public law 103355 10 u.s.c. 4601 noteprec., thecontracting officer shall insert the clause at 52.22812, prospective subcontractor requests for bonds,',
18067:'in solicitations and contracts with respect to which a payment bond will be furnished pursuant to 40 u.s.c chapter 31,',
18068:'subchapter iii, bonds see 28.1021, except for contracts for the acquisition of commercial products or commercial services as defined in',
18069:'subpart 2.1. 28.1065consent of surety. a when any contract is modified,the contracting officer shall obtain the consent of suretyif 1',
18070:'an additional bond is obtained from other than the original surety; 2 no additional bond is required and i the',
18071:'modification is for new work beyond the scope of the original contract; or ii the modification does not change the',
18072:'contract scope but changes the contract price upward or downward by more than 25 percent or $50,000; or 3 consent',
18073:'of surety is required for a novation agreement see subpart 42.12. b when a contract for which performance or payment',
18074:'is secured by any of the types of security listed in 28.204 is modified as described in paragraph a of',
18075:'this subsection, no consent of surety is required. c agencies shall use standard form 1414, consent of surety, for all',
18076:'typesof contracts. 28.1066 furnishing information. a the surety on the bond, upon its written request, may be furnished information on',
18077:'the progress of the work, payments, and the estimated percentage of completion, concerning the contract for which the bond was',
18078:'furnished. b when apayment bondhas been provided, thecontracting officer shall, upon request, furnish the name and address of the surety',
18079:'or sureties to any subcontractor or supplier who has furnished or been requested to furnish labor or material for the',
18080:'contract. in addition, general information concerning the work progress, payments, and the estimated percentage of completion may be furnished to',
18081:'persons who have provided labor or materials and have not been paid. c when a payment bond has been provided',
18082:'for a contract, the head of the agency or designee shall furnish a certified copy of the bond and the',
18083:'contract for which it was given to any person who makes a request therefor and who furnishes an affidavit that',
18084:'the requestor has supplied labor or materials for such work andpayment therefor has not been madeor that the requestor is',
18085:'being sued on such bond. the person who makes the request shall be required to pay such costs of preparation',
18086:'as determined by the head of the agency or designee to be reasonable and appropriate see 40 u.s.c. 3133. d',
18087:'section 806a2 of public law 102190, as amended by sections 2091 and 8105 of public law 103355 10 u.s.c. 4601',
18088:'note prec., requires that the federal government provide information to subcontractors on payment bonds under subpart 28.1 bonds and other',
18089:'financial protections 28.1068 contracts for other than commercial products or commercial services as defined in subpart 2.1. upon the written',
18090:'or oral request ofa subcontractor/supplier, or prospective subcontractor/supplier, under a contract with respect to which a payment bondhas been furnished',
18091:'pursuantto thebonds statute, the contracting officer shall promptly provideto therequester, either orally or in writing, as appropriate, any of the',
18092:'following: 1 name and address of the surety or sureties on the payment bond. 2 penal amount of the payment',
18093:'bond. 3 copy of the payment bond. the contractingofficer may impose reasonable fees to cover thecostof copying and providing a',
18094:'copy of the payment bond. 28.1067withholding contractpayments. a during contract performance, agencies shall not withhold payments due contractors or assignees',
18095:'because subcontractors or suppliers have not been paid. b if, after completion of the contract work, the government receives written',
18096:'notice from the surety regarding the contractor’s failure tomeet itsobligation toits subcontractors orsuppliers, the contracting officer shall withhold final payment.',
18097:'however, thesurety mustagreeto hold thegovernment harmless from any liability resulting from withholding thefinal payment. thecontracting officer will authorize final paymentupon',
18098:'agreement betweenthe contractor and surety or upon a judicial determination of the rights of the parties. c for any withholding',
18099:'incident to the labor standards provisions of the contract, see part 22. 28.1068 payment to subcontractors or suppliers. the contractingofficer',
18100:'will only authorize payment tosubcontractors or suppliers from an ilc or any other cash equivalent security upon a judicial determination',
18101:'of the rights of the parties, a signed notarized statement by the contractor that the payment is due and owed,',
18102:'or a signed agreement between the parties as to amount due and owed. this page intentionally left blank. 28.18 subpart',
18103:'28.2 sureties and other security for bonds 28.2031 subpart 28.2 sureties and other security for bonds 28.200scope of subpart. this',
18104:'subpart prescribes procedures for the use of sureties and other security to protect the government from financial losses. 28.201 requirements',
18105:'for security. a agencies shall obtain adequate security for bonds including coinsurance and reinsurance agreements required or used with a',
18106:'contract for supplies or services including construction. acceptable forms of security include 1 corporate or individual sureties; or 2 any',
18107:'of the types of security authorized in lieu of sureties by 28.204. b solicitations shall not preclude offerors from using',
18108:'the types of surety or othersecurity permitted by this subpart, unless prohibited by law or regulation. 28.202 acceptabilityof corporate sureties.',
18109:'a 1corporatesuretiesofferedforbondsfurnishedwithcontractsperformedintheunitedstatesoritsoutlyingareas must appearon the list contained in the department of the treasurys listingof approved sureties treasury department circular 570,',
18110:'“companies holding certificates of authority as acceptable sureties on federal bonds and as acceptable reinsuring companies.” 2 the penal amount',
18111:'of the bond should notexceed the suretysunderwritinglimitstated in thetreasury department circular 570. if the penal amount exceeds the underwriting limit,',
18112:'the bond will be acceptable only if i the amount which exceeds the specified limit is coinsured or reinsured; and',
18113:'iithe amount of coinsurance or reinsurance does notexceed the underwriting limit of each coinsurer or reinsurer. 3 coinsurance or reinsurance',
18114:'agreements shall conform to the departmentof the treasury treasury regulations in 31 cfr 223.10 and 223.11. whenreinsurance is contemplated, the',
18115:'contracting officegenerally shall requirereinsurance agreements to be executed and submitted with the bonds before making a final determination on the',
18116:'bonds. 4 when specified inthe solicitation,the contracting officer mayaccept abond from the directwriting company in satisfaction of the total bond',
18117:'requirement of the contract. this is permissible until necessary reinsurance agreements are executed, even though the total bond requirement may',
18118:'exceed the insurers underwriting limitation. the contractor shall execute and submitnecessary reinsuranceagreements to the contracting officer within the timespecified on',
18119:'thebid form, which may not exceed 45 calendar days after the execution of the bond. the contractor shall use standard',
18120:'form sf 273, reinsurance agreement for a bonds statute performance bond, and sf 274, reinsurance agreement for a bonds statute',
18121:'payment bond, when reinsurance is furnished with the required performance or payment bonds. sf 275, reinsurance agreement in favor of',
18122:'the united states, is used when reinsurance is furnished with bonds for other purposes. b for contracts performedin a foreign',
18123:'country, sureties not appearing ontreasury department circular 570are acceptable ifthe contracting officerdeterminesthat it is impracticable for thecontractor to use treasury',
18124:'listed sureties. c treasury issues supplements totreasury department circular 570, notifyingall federal agencies of new approved corporate surety companies and',
18125:'the termination of the authority of any specific corporate surety to qualify as a surety on federalbonds. upon receipt of',
18126:'notification of termination of a company’sauthority toqualify as a suretyon federal bonds, thecontracting officer shall review the outstanding contractsandtake action',
18127:'necessaryto protect thegovernment,including, where appropriate, securing newbondswith acceptable sureties in lieu of outstanding bonds with the named company. d treasury',
18128:'department circular 570 may beobtained from the u.s. department of the treasury, bureau of the fiscal service, suretybond branch, 3201pennsy',
18129:'drive, buildinge, landover, md20785 or at https://www.fiscal.treasury.gov/ fsreports/ref/suretybnd/c570.htm. 28.203 individual sureties. 28.2031acceptability of individual sureties. a an individual surety is',
18130:'acceptable for all types of bonds except position schedule bonds. assets pledged by an individualsurety shall meet the eligibility requirementsof',
18131:'treasurys bureau ofthe fiscal service. per 31 u.s.c. 9310, individualsuretiesmust pledge eligible obligations, which treasury refersto as acceptable collateral or',
18132:'eligible collateral. a list of acceptable assets, entitled “acceptable collateral for 31 cfr part 225,” may be accessed by going',
18133:'to https:// 28.2032 federal acquisition regulation www.treasurydirect.gov/files/lawsandregulations/collateralprograms/2018final225listofacceptablecollateral.pdf and clicking on “acceptable collateral for 31 cfr part 225”. b 1 an',
18134:'individual surety shall execute the bond e.g., bid bond sf 24, performance bond sf 25, payment bond sf 25a. 2',
18135:'the net adjusted value of unencumbered assets is their market value minusthe margin. the margin tables are available at www.treasurydirect.gov.',
18136:'the netadjusted value of unencumbered assets pledgedby the individualsurety must equal or exceed the penal amount i.e., face value of',
18137:'each bond. 3 the individual surety shall execute the sf 28, affidavitof individual surety,and provide a security interest. one individual',
18138:'surety is adequate support for a bond, provided the net adjusted value of unencumbered assets pledged by that individual surety',
18139:'equals or exceeds the amount of the bond. 4 an offeror orcontractor may submitup to three individual sureties for each',
18140:'bond,in which case the net adjusted value of the pledged unencumbered assets, when combined, must equal or exceed the penal',
18141:'amount of the bond. each individual surety is jointly and severally liable to the extent of the penal amount of',
18142:'the bond. c using the information from the sf 28submitted by the offeror or contractor, the contracting officer shall notifythe',
18143:'treasurys collateraloperations support teamby email at bmt@fiscal.treasury.gov or by phone at 8885687343, of the individualsurety, the assets to be pledged,',
18144:'and the amount necessary to cover theindividual surety bond, i.e., the required amount to be collateralized. treasury will advise the',
18145:'contracting officer whether the assets are eligible to be pledged, consistent with 28.2031a, and of the valuation of theassetsoffered to',
18146:'be pledged,consistent with thevaluation standards in 28.2031b2. ifafter 3 business days the contracting officer has not receiveda responsefrom treasury, the',
18147:'contracting officer may seek assistance fromthe director, bank policy and oversight, at 2025043502. the contracting officer shall determine whether the',
18148:'individual surety bond is acceptable as to the amount necessary to cover the individual surety bond basedon the asset eligibility',
18149:'and valuation assessmentfrom treasury. the contracting officer shall notify both the offeror or contractor and the individual surety of this',
18150:'determination. d if the contracting officer determines the individual suretyis acceptable,the contracting officershallrequest the treasurys collateraloperations support teamset up the',
18151:'necessary individual suretypledged assetcollateral account. e if the contracting officerdeterminesthat no individual surety in support of a bid guarantee is',
18152:'acceptable, the offeror utilizing the individual surety shall berejectedas nonresponsible, except as provided in 28.1014. a finding of nonresponsibility basedon',
18153:'unacceptability of anindividual surety, need not bereferred to the small business administration for a certificate of competency. see 19.6021a and',
18154:'61 comp. gen. 456 1982. f ifa contractorsubmits an unacceptable individual surety, oronethat treasury could not assess the asseteligibility and',
18155:'valuation within a reasonable time, then the contracting officer maypermitthe contractor to substitute an acceptable surety within a reasonable time.',
18156:'g evidence of possible criminal or fraudulent activities by an individual surety shall be referred to the appropriate agency official',
18157:'in accordance with agency procedures. 28.2032 substitution of assets. an individual surety may request the government to accept a substitute',
18158:'asset for that currently pledged by submitting a written request, including a revised sf 28, to the responsiblecontracting officer. following',
18159:'the requirements setforth in 28.2031, the contracting officer may agree to thesubstitution of assets upon determining that the substitute assets',
18160:'to be pledged are adequate to protect the outstanding bond or guarantee obligations. 28.2033release of securityinterest. a after consultationwith legal',
18161:'counsel, the contracting officer shall releasethe security interest on the individual suretys assets using the optional form 91, release of',
18162:'personal property from escrow, ora similar release as soon aspossible consistent with the conditions in subparagraphs a1 and 2 of',
18163:'this section. a suretys assets pledged in support of a payment bond may be released to a subcontractor or supplier',
18164:'upon government receipt of a federal district court judgment, or a sworn statement by the subcontractor or supplier that the',
18165:'claim is correct along with a notarized authorization of the release by the surety stating that it approves of such',
18166:'release. 1 contracts subject to the bonds statute. see section 1.110 and section 28.1021, paragraph a. the security interest shall',
18167:'be maintained for the later of— i 1 year following final payment; ii until completion of any warranty period applicable',
18168:'only to performance bonds; or subpart 28.2 sureties and other security for bonds 28.204 iii pending resolution of all claims',
18169:'filed against the payment bond during the 1 year period following final payment. 2 contracts subject to alternative payment protection.',
18170:'see section 28.1021, paragraph b1. the security interest shall bemaintained for thefull contract performance period plus1 year. 3 other contracts',
18171:'not subject to the bonds statute. the security interest shall be maintained for 90 days following final payment or untilcompletion',
18172:'of any warranty periodapplicable only toperformance bonds,whichever islater. b upon written request by theindividual surety, the contractingofficer may release the',
18173:'securityinterest on the individual suretys assets in support of a bid guarantee based upon evidence that the offersupported by theindividual',
18174:'surety willnot result in contract award. c upon written request by the individual surety, thecontracting officer may release a portion',
18175:'of the security interest on the individual suretys assets based upon substantial performance of the contractors obligations under its performance',
18176:'bond. release of the security interest in support of a payment bond must comply with the subparagraphs a1 through 3',
18177:'of this section. in making this determination, the contracting officer willgive consideration as to whether the unreleased portion of thesecurity',
18178:'is sufficient tocover the remaining contract obligations,including payments to subcontractors and other potential liabilities. theindividual surety shall, as a condition',
18179:'ofthe partial release, furnish an affidavitagreeing thatthe release of such assets does not relieve the individual surety of its obligations',
18180:'under the bonds. 28.2034solicitation provision and contract clause. a insert the provision at 52.22817, individual surety—pledge of assets bid guarantee,',
18181:'in solicitations that require the submission of a bid guarantee. b insert the clause at 52.22811, individual surety—pledge of assets,',
18182:'in solicitations and contracts that require the submission of performance or payment bonds. 28.2035exclusion ofindividual sureties. a an individual maybe',
18183:'excluded from acting as a suretyon bondssubmitted by offerors on procurement by the executive branch of the federal government, by',
18184:'the acquiring agencys head or designee utilizing the procedures in subpart 9.4. the exclusion shall be for the purpose of',
18185:'protecting the government. b an individual may be excluded for any of the following causes: 1 failure to fulfill the',
18186:'obligations under any bond. 2 failure to disclose all bond obligations. 3 misrepresentation of the value of available assets or',
18187:'outstanding liabilities. 4 any false ormisleading statement, signature or representation on a bond or affidavit of individual suretyship. 5 any',
18188:'other cause affecting responsibility as a surety of such serious and compelling nature as maybe determined to warrant exclusion. c',
18189:'an individual surety excluded pursuant to this section shall be entered as an exclusion in the system for award management',
18190:'see 9.404. d contracting officersshallnot accept thebonds of individual sureties whose names appear inan active exclusion record in the system',
18191:'for award managementsee 9.404 unless the acquiring agencys head or a designee states in writing the compelling reasons justifying acceptance.',
18192:'e an exclusion of an individual surety under this section will also preclude such party from acting as a contractor',
18193:'in accordance with subpart 9.4. 28.204 alternativesin lieu of corporate or individual sureties. a any person required to furnish a',
18194:'bond to the government may furnish any of the types of security listed in 28.2041 through 28.2043 instead of a',
18195:'corporate or individual surety for the bond. when any of those types of security are deposited, a statement shall be',
18196:'incorporated in the bond form pledging the security in lieu of execution of the bond form by corporate or individual',
18197:'sureties. the contractor shall execute the bond forms as the principal. agencies shall establish safeguards to protect against loss of',
18198:'the security and shall return the security or its equivalent to the contractor when the bond obligation has ceased. b',
18199:'upon written request by any contractor securing a performance or payment bond by any of the types of security listed',
18200:'in 28.2041 through 28.2043, the contracting officer may release a portion ofthe security only whenthe conditions allowing the partial release',
18201:'of security in 28.2033c are met. the contractor shall, as a condition of the partial release, furnish an affidavit agreeing',
18202:'that the releaseof such security does not relievethe contractor ofits obligations under the bonds. 28.2041 federal acquisition regulation c the',
18203:'contractor may satisfy a requirement for bond security by furnishing a combination of the types of security listed in 28.2041',
18204:'through 28.2043 or a combination of bonds supported by these types of security and additional surety bonds under 28.202 or',
18205:'28.203. during the period for which a bond supported by security is required, the contractor may substitute one type of',
18206:'security listed in 28.2041 through 28.2043 for another, or may substitute,in wholeor combination,additional surety bonds under 28.202 or 28.203. 28.2041',
18207:'united states bonds or notes. any person required to furnish a bond to the government has the option, instead of',
18208:'furnishing a surety or sureties on the bond, of depositing certain united states bonds or notes in an amount equal',
18209:'at their par value to the penal sum of the bond the act of february 24,1919 31 u.s.c. 9303 and',
18210:'treasury department circular no.154 31 cfr part 225. in addition, a duly executed power of attorney and agreement authorizing the',
18211:'collection or sale of such united states bonds or notes in the event of default ofthe principal on the bond',
18212:'shall accompany the deposited bonds or notes. the contracting officermay a turn securities over to the finance or other authorized',
18213:'agency official;or b deposit them with thetreasurer ofthe unitedstates, a federal reserve bankorbranch with requisite facilities, or other depository designated',
18214:'for that purpose bythe secretary of the treasury, under procedures prescribedby the agency concerned and treasury department circularno.154 exception: the',
18215:'contractingofficer shall deposit all bonds and notes received in the district ofcolumbia withthe treasurer of theunited states. 28.2042certified or cashier’s',
18216:'checks, bank drafts, money orders,or currency. any person requiredto furnish a bond has anoption to furnisha certified orcashier’s check,bank draft,',
18217:'post office moneyorder, or currency,in anamount equal to the penal sum of the bond, instead of furnishing suretyor sureties on',
18218:'the bonds. those furnishing checks,drafts, or moneyordersshalldraw them to the order of theappropriatefederal agency. 28.2043irrevocable letter of credit. a any',
18219:'person required to furnish a bond has the option to furnish a bond secured by an irrevocable letter of credit',
18220:'ilc in an amount equal to the penal sum required to be secured see 28.204. a separate ilc is required',
18221:'for each bond. b the ilc shall be irrevocable, require presentation of no document other than a written demand and',
18222:'the ilc and letter of confirmation, if any, expire only as provided in paragraph f of this subsection, and be',
18223:'issued/confirmed by an acceptable federally insured financial institution as provided in paragraph g of this subsection. c to draw on',
18224:'the ilc, the contracting officershalluse the sight draft set forth in the clauseat 52.22814, and present it with the ilc',
18225:'including letter of confirmation, if any to the issuing financial institution or the confirming financial institution if any. d if',
18226:'the contractor does not furnish an acceptable replacement ilc, or other acceptable substitute, at least 30 days before anilc’s scheduled',
18227:'expiration, the contracting officer shall immediatelydraw on theilc. e if, after the period of performance of a contract where ilcs',
18228:'are used to support payment bonds, there are outstanding claims against the payment bond, thecontracting officer shall draw on the',
18229:'ilc priorto the expiration date of the ilc to cover these claims. f the period for which financial security is',
18230:'required shall be as follows: 1 if used as a bid guarantee, the ilc should expire no earlier than 60',
18231:'days after the close of the bid acceptance period. 2 if used as an alternative to corporate or individual sureties',
18232:'as security for a performance or payment bond, the offeror/contractor may submit an ilc with an initial expirationdate estimated to',
18233:'cover theentire period for which financial security is required or an ilc with an initial expiration date that is a',
18234:'minimum period of oneyear from the date of issuance. the ilc shall provide that, unless the issuer provides the beneficiary',
18235:'written notice of nonrenewal at least 60 days in advance of the current expiration date, the ilc is automatically extended',
18236:'without amendment for oneyear from the expiration date, orany future expiration date, until the period of required coverage iscompleted and',
18237:'thecontracting officer provides the financial institution with a written statement waiving the right to payment. the period of required coverage',
18238:'shall be: i for contracts subject to the bonds statute, the later of a oneyear following the expected date of',
18239:'final payment; b forperformance bonds only, until completion of any warranty period; or c forpayment bonds only, until resolutionof all',
18240:'claims filed against the payment bond duringthe oneyear period following final payment. ii for contracts not subject to the bonds',
18241:'statute, the later of a 90 days following final payment; or subpart 28.2 sureties and other security for bonds 28.2044',
18242:'b forperformance bonds only, until completion of any warranty period. g only federally insured financial institutions rated investment grade shall',
18243:'issue or confirm the ilc. unless the financial institutionissuing the ilc had letterof credit business of at least $25 millionin',
18244:'thepastyear, ilcs over $5 million must be confirmed by another acceptablefinancialinstitution thathadletter ofcredit business of at least $25 million in',
18245:'the past year. 1 the offeror/contractor is required by paragraph d of the clause at 52.22814. irrevocable letter of credit,',
18246:'to provide the contracting officer a credit rating from a recognized commercial rating service that indicates thefinancial institution has the',
18247:'required ratings as of the date of issuance of the ilc. 2 to support the credit rating of the financial',
18248:'institutions issuing or confirming theilc, the contracting officer shall verify the following information: ifederal insurance: each financial institution is federally',
18249:'insured. verification of federal insurance is available through the federal deposit insurance corporation fdic institution directory at the website http://www2.fdic.gov/idasp/',
18250:'index.asp. ii current credit rating. the current credit rating for each financial institution is investment grade and that the credit',
18251:'rating is from a nationally recognized statistical rating organizationnrsro. nrsros can be located at the website http://www.sec.gov/answers/nrsro.htm maintained by the',
18252:'sec. 3 the rating services listed in the website http://www.sec.gov/answers/nrsro.htm use different rating scales e.g., aaa, aa, a, bbb, bb,',
18253:'b, ccc, cc, c, and d; or aaa, aa, a, baa, ba, b, caa, ca, and c to provide evaluations',
18254:'of institutionalcredit risk;however, allsuch systemsspecify the range of investment grade ratingse.g., bbbaaa or baa aaa in the examples in this',
18255:'section and permit evaluation of the relative risk associated with a specific institution. if the contracting officerlearns that a financial',
18256:'institutions rating has dropped below investment grade level, the contracting officer shall give the contractor 30 days to substitute an',
18257:'acceptable ilc or shall draw on the ilc using the sight draft in paragraph g of the clause at 52.22814.',
18258:'h a copy of the uniform customs and practice ucp for documentary credits, 2007 edition, international chamber of commerce publication',
18259:'no. 600, is available from: icc books usa, 1212 avenue of the americas, 21 st floor,new york, ny 10036; phone:',
18260:'2127035078; fax: 2123916568; email: iccbooks@uscib.org; via the internetat:http://www.uscib.org/ucp600 ud4465/. 28.2044 contract clause. insert the clause at 52.22814, irrevocable letter of',
18261:'credit, in solicitations and contracts for services, supplies, or construction, when a bid guarantee, or performance bonds, or performance and',
18262:'payment bonds are required. this page intentionally left blank. 28.26 subpart 28.3 insurance 28.305 subpart 28.3 insurance 28.301 policy. contractors',
18263:'shall carry insurance under the following circumstances: a 1 the government requires any contractor subject to cost accounting standard cas',
18264:'416 48 cfr 9004.416 to obtain insurance, by purchase or selfcoverage, for the perils to which the contractor is exposed,',
18265:'except when ithe government, by providingin the contractin accordance with law,agrees toindemnifythe contractor under specified circumstances; or iithe contract specifically',
18266:'relievesthe contractor ofliability for lossof or damage to government property. 2 the government reserves therightto disapprove the purchase of any',
18267:'insurance coverage not in the government’s interest. 3 allowability of the insurance program’s cost shall be determined in accordance with',
18268:'the criteria in 31.20519. b contractors, whether or not their contracts are subject to cas 416, are required by law',
18269:'and this regulation to provide insurance for certain types of perils e.g., workers’ compensation. insurance is mandatory also when commingling',
18270:'of property,type of operation, circumstances ofownership, orcondition of thecontract makeitnecessary for the protection of the government. the minimum amounts of',
18271:'insurance required by this regulation see 28.3072 may be reduced when a contract is to be performed outside the united',
18272:'states and its outlying areas. when more than one agency is involved, theagency responsible for reviewand approval of a contractor’s',
18273:'insuranceprogramshallcoordinate withotherinterested agencies before acting on significant insurance matters. c contractors awarded nonpersonal services contracts for health care services are',
18274:'required to maintain medical liability insurance and indemnify thegovernment for liability producing acts or omissions by the contractor, its employees',
18275:'and agents see 37.400. 28.302notice of cancellation or change. when the government requires the contractor to provide insurance coverage, the',
18276:'policies shall contain an endorsement that any cancellationor material change in the coverage adversely affecting the government’s interest shall not',
18277:'beeffective unless theinsurer or the contractor gives written notice of cancellation or change as required by the contracting officer. when',
18278:'the coverage is provided by selfinsurance, the contractor shall not change or decrease the coverage without the administrative contracting officer’s',
18279:'prior approval see 28.308c. 28.303 insurance againstloss of or damage to government property. when the government requires or approves insurance',
18280:'to cover loss of or damage to government property see 45.104, responsibility and liability for government property, it may be',
18281:'provided by specific insurance policies or by inclusion of the risks in the contractor’s existing policies. the policies shall disclose',
18282:'thegovernment’s interest inthe property. 28.304riskpooling arrangements. agencies may establish riskpooling arrangements. these arrangements are designed to use the services of',
18283:'the insurance industry for safety engineering and the handling of claims at minimum cost to the government. the agency responsible',
18284:'shall appoint a single manager or point of contact for each arrangement. 28.305overseas workers’ compensation and warhazard insurance. a publicwork',
18285:'contract, as used in this subpart, means any contract for a fixed improvement or for any other project, fixed or',
18286:'not, for the public useof the united states orits allies, involving construction,alteration, removal, or repair, including projects or operations under',
18287:'service contracts and projects in connection with the national defense or with war activities, dredging, harbor improvements, dams, roadways, and',
18288:'housing, as well as preparatory and ancillary work in connection therewith at the site or on the project. b the',
18289:'defense base act 42 u.s.c.1651, etseq. extends the longshoremen’s and harbor workers’ compensation act 33 u.s.c. 901 to various classes',
18290:'of employees working outside the united states, including those engaged in performing 1 publicwork contracts; or 2 contracts approved or',
18291:'financed under the foreign assistance act of1961 pub.l.87195 other than icontracts approved or financed by the development loan fund unlessthe',
18292:'secretary of labor,acting upon the recommendation ofa departmentor agency, determines thatsuch contracts should be covered; or ii contracts exclusively for',
18293:'materials or supplies. federal acquisition regulation c when the defense base act applies see 42 u.s.c.1651, etseq. to these employees,',
18294:'the benefits of the longshoremen’s and harbor workers’ compensation act are extended through operation of the warhazards compensation act 42',
18295:'u.s.c.1701, etseq. to protect the employees against the risk of war hazards injury, death, capture, or detention. when, by means',
18296:'of an insurance policy or a selfinsurance program, the contractor provides the workers’ compensation coverage requiredby the defense base act,',
18297:'the contractor’s employeesautomatically receive warhazard risk protection. d when the agency head recommends a waiver to the secretary oflabor, the',
18298:'secretary maywaive theapplicability of the defense base act to any contract, subcontract, work location, or classification of employees. e if',
18299:'the defense base act is waived for someor all of the contractor’s employees, thebenefits of thewar hazards compensation act are',
18300:'automatically waived with respect to those employees for whom the defense base act is waived. for those employees, the contractor',
18301:'shall provide workers’ compensation coverage against the risk of work injury or death and assume liabilitytoward the employees and their',
18302:'beneficiaries for warhazardinjury, death, capture, ordetention. the contract shall provide either that the costs of this liability or the reasonable',
18303:'costs of insurance against this liability shall be allowed as a cost under the contract. 28.306insurance under fixedprice contracts. a',
18304:'general. although the government is notordinarily concernedwith the contractor’s insurance coverage ifthe contract is a fixedprice contract, in special circumstances',
18305:'agencies may specify insurance requirements under fixedprice contracts. examples of such circumstances include the following: 1 the contractor is, or',
18306:'has a separate operation, engaged principally in government work. 2 government property is involved. 3 the work is to be',
18307:'performed on a government installation. 4 the government elects to assume risks for which the contractor ordinarily obtains commercial insurance.',
18308:'b work on a government installation. 1 when the clause at 52.2285, insuranceworkon agovernmentinstallation, is required to be included in',
18309:'a fixedprice contract by 28.310, the coverage specified in 28.307 is the minimum insurance required and shall be included in',
18310:'the contract schedule orelsewhere in the contract. the contracting officermay require additional coverage and higher limits. 2 when the clause',
18311:'at 52.2285, insurancework ona government installation, is not required by 28.310 but is includedbecause the contractingofficer considers it to be',
18312:'in the government’s interestto do so, any of the typesof insurance specified in 28.307 may be omitted or the limits',
18313:'may be lowered, if appropriate. 28.307 insurance under costreimbursement contracts. costreimbursement contracts and subcontracts, if the terms of the prime',
18314:'contract are extended to the subcontract ordinarily require the types of insurance listed in 28.3072, with the minimum amounts of',
18315:'liability indicated. see 28.308 for selfinsurance. 28.3071group insuranceplans. a prior approval requirement. under costreimbursement contracts, before buying insurance under a',
18316:'group insurance plan, the contractor must submit the plan for approval, in accordance with agency regulations. any change in benefits',
18317:'provided under an approved plan that can reasonably be expected to increase significantly the cost to the government requires similar',
18318:'approval. b premium refunds or credits. the plan shall provide for the government to share in any premium refunds or',
18319:'credits paid orotherwise allowed to the contractor. in determining the extent of the government’s share in anypremium refunds or credits,',
18320:'any special reserves and other refunds to which the contractor may be entitled in the future shall be taken into',
18321:'account. 28.3072liability. a workers’ compensation and employer’s liability. contractors are required to comply with applicable federal and state workers’ compensation',
18322:'and occupational disease statutes. if occupational diseases are not compensable under those statutes, they shall be covered underthe employer’s liabilitysection',
18323:'of the insurance policy, except when contract operations are so commingled with a contractor’scommercial operations that it wouldnot be practical',
18324:'to requirethiscoverage. employer’s liability coverage of at least $100,000 shall be required, except in states with exclusive or monopolistic funds',
18325:'that do not permit workers’ compensation to be written by private carriers. see 28.305c for treatment of contracts subject to',
18326:'the defense base act. subpart 28.3 insurance 28.308 b general liability. 1 the contracting officer shall require bodily injury liability',
18327:'insurancecoverage written onthe comprehensive form of policy of at least $500,000 per occurrence. 2 property damage liability insurance shall be',
18328:'requiredonly in special circumstances as determinedby the agency. c automobile liability. the contracting officer shall require automobile liabilityinsurance written on',
18329:'the comprehensive form of policy. the policy shall provide for bodilyinjury and property damage liability covering the operationof all automobiles',
18330:'used in connection with performing the contract. policies covering automobiles operated in the united states shall provide coverage of at',
18331:'least $200,000 per person and $500,000 per occurrence for bodily injury and $20,000 per occurrence for property damage. the amount',
18332:'of liability coverage on other policies shall be commensurate with any legal requirementsof the localityand sufficient to meet normal and',
18333:'customary claims. d aircraft public and passenger liability. when aircraft are used in connection with performing the contract, the contracting',
18334:'officershallrequire aircraft public and passenger liability insurance. coverage shall be atleast $200,000 per person and $500,000 peroccurrenceforbodily injury, other thanpassenger',
18335:'liability, and $200,000 per occurrence for property damage. coverage for passenger liability bodily injury shall be at least $200,000 multiplied',
18336:'by the number of seats or passengers, whichever is greater. e vessel liability. when contractperformance involves use of vessels,the contracting',
18337:'officershallrequire, as determined by the agency, vessel collisionliability and protectionand indemnity liability insurance. 28.308selfinsurance. a when it is anticipated that',
18338:'50 percent or more of theselfinsurance costs to be incurred at asegment of a contractor’s business will be allocable tonegotiated',
18339:'government contracts, and the selfinsurancecosts at the segment for the contractor’s fiscal year are expected to be $200,000 or more,',
18340:'the contractor shall submit, in writing, information on its proposed self insurance program tothe administrative contracting officer and obtain that',
18341:'official’s approval ofthe program. the submission shall beby segment or segments of thecontractor’sbusinessto whichthe program appliesand shall include 1 a',
18342:'complete description of the program, including any resolution of the board of directors authorizing and adopting coverage, including types of',
18343:'risks, limits of coverage, assignments of safety and loss control, and legal service responsibilities; 2 if available, the corporate insurance',
18344:'manual and organization chart detailing fiscal responsibilities for insurance; 3 the terms regarding insurance coverage for any government property; 4',
18345:'the contractor’s latestfinancialstatements; 5 any selfinsurance feasibility studies or insurance market surveys reporting comparative alternatives; 6 loss history, premiums history,',
18346:'andindustry ratios; 7 a formula for establishing reserves, including percentage variations between losses paid and losses reserved; 8 claims administration',
18347:'policy, practices, and procedures; 9 the method of calculating the projected average loss; and 10 a disclosure of all captive',
18348:'insurance company and reinsurance agreements, including methods of computing cost. b programs of selfinsurance covering a contractor’s insurable risks, including',
18349:'the deductible portion of purchased insurance, may be approved when examinationof aprogramindicates that its application is in the government’s interest.',
18350:'agencies shall not approve a program of selfinsurance for workers’ compensation in a jurisdiction where workers’ compensation does not completely',
18351:'cover the employer’s liability to employees, unless the contractor 1 maintains an approved program of selfinsurance for any employer’s liabilitynot',
18352:'so covered; or 2 shows that the combined cost to the government of selfinsurance for workers’ compensation and commercial insurance',
18353:'for employer’s liability will not exceed the cost of coveringbothkinds of risk by commercialinsurance. c once the administrative contractingofficer hasapproved',
18354:'a program, the contractormust submit to that officialfor approval any major proposedchangesto the program. any program approval may bewithdrawnif a',
18355:'contracting officer finds that either 1 any part of a program does not comply with the requirements of this subpart',
18356:'and/or the criteria at 31.20519; or 2 conditions or situations existing at the time of approval that were a basis',
18357:'for original approval of the program have changed to the extentthat a program changeis necessary. d to qualify for a',
18358:'selfinsurance program, a contractor must demonstrate abilityto sustain the potential losses involved. in making the determination, the contracting officer shall',
18359:'consider the following factors: 1 the soundness of the contractor’s financial condition, including available lines of credit. 2 the geographic',
18360:'dispersion ofassets, so that the potential ofa single loss depleting all the assets is unlikely. 3 the history of previous',
18361:'losses, including frequency of occurrence and the financial impact of each loss. federal acquisition regulation 4 the type and magnitude',
18362:'of risk, such as minor coverage for the deductible portion of purchased insurance or major coverage for hazardous risks. 5',
18363:'the contractor’s compliance withfederal and state lawsand regulations. e agencies shall not approve a program of selfinsurance for catastrophic risks',
18364:'e.g., see 50.1043, special procedures for unusually hazardous or nuclear risks. should performance of government contracts create the risk of',
18365:'catastrophic losses, thegovernment may, to the extentauthorized by law, agree to indemnify thecontractor or recognize an appropriate share of premiums',
18366:'for purchased insurance, or both. f selfinsurance programs to protect a contractor against the costs of correcting its own defects',
18367:'in materials or workmanship shall not be approved. for these purposes, normal rework estimates and warranty costs will not be',
18368:'considered selfinsurance. 28.309contract clauses for workers’ compensation insurance. a thecontracting officer shall insert the clause at 52.2283, workers’ compensationinsurance defense',
18369:'base act,in solicitations and contracts when the defense base act applies see 28.305 and 1 the contract will be a',
18370:'publicwork contract performed outside the united states; or 2 the contract will be approved or financed under the foreign assistance',
18371:'act of1961 pub.l.87195 and is not excluded by 28.305b2. b the contractingofficer shall insertthe clause at 52.2284, worker’s compensation and',
18372:'warhazard insurance overseas, in solicitations and contracts when the contract will be a publicwork contract performed outside the united states',
18373:'and the secretary of labor waives the applicability of the defense base act see 28.305d. 28.310contract clause for work on',
18374:'a government installation. a insert the clause at 52.2285, insurancework ona government installation, in solicitations and contracts if a fixed',
18375:'price contract is contemplated, the contract amount is expected to exceed the simplified acquisition threshold, and the contract will require',
18376:'work on a government installation, unless 1 only a small amount of work is required on the government installation e.g.,a',
18377:'few brief visits permonth; or 2 all work on the government installation will be performed outside the united states and',
18378:'its outlying areas. b the contractingofficer may insert the clause at 52.2285 in solicitations and contracts described in paragraphs a1',
18379:'and 2 of thissection if it is in the government’s interestto do so. 28.311solicitation provision and contract clause on liability',
18380:'insuranceunder costreimbursement contracts. 28.3111 contract clause. in accordance with agency acquisition regulations,the contracting officer shall insert the clause at 52.2287,',
18381:'insurance liability to third persons, in solicitations and contracts, other than those for construction contracts and those for architect engineer',
18382:'services, when a costreimbursement contract is contemplated. 28.3112 agency solicitation provisions and contractclauses. agencies may prescribe their own solicitation provisions',
18383:'and contract clauses to implement the basic policies contained in this subpart 28.3. 28.312contract clause for insurance of leased motor',
18384:'vehicles. the contractingofficer shall insertthe clause at 52.2288, liability and insuranceleased motor vehicles, insolicitations and contracts for the leasing of',
18385:'motor vehicles see subpart 8.11. 28.313 contract clauses for insuranceof transportation or transportationrelated services. a thecontracting officer shall insert the',
18386:'clause at 52.2289, cargo insurance, in solicitations and contracts for transportation or for transportationrelated services, except when freight is shipped',
18387:'under rates subject to released or declared value. b the contractingofficer shall inserta clause substantiallythe same as that at 52.22810,',
18388:'vehicular and generalpublic liability insurance, in solicitations and contracts for transportation or for transportationrelated services when the contracting officer determines',
18389:'that vehicular liability or general public liability insurance requiredby law is not sufficient. part 29 taxes sec. 29.000 scope of',
18390:'part. 29.001 definitions. subpart 29.1 general 29.101 resolving tax problems. subpart 29.2 federal excise taxes 29.201 general. 29.202 general exemptions.',
18391:'29.203 other federal tax exemptions. 29.204 federal excise tax on specific foreign contract payments. subpart 29.3 state and local taxes',
18392:'29.300 scope of subpart. 29.301 [reserved] 29.302 application of state and local taxes to the government. 29.303 application of state',
18393:'and local taxes to government contractors and subcontractors. 29.304 matters requiring special consideration. 29.305 state and local tax exemptions. 29.401',
18394:'29.4011 29.4012 29.4013 29.4014 29.402 29.4021 29.4022 29.4023 29.4024 subpart 29.4 contract clauses domestic contracts. indefinitedelivery contracts for leased equipment.',
18395:'construction contracts performed in north carolina. federal, state, and local taxes. new mexico gross receipts and compensating tax. foreign contracts.',
18396:'foreign fixedprice contracts. foreign costreimbursement contracts. taxon certain foreign procurements. taxes—foreign contracts in afghanistan. this page intentionally left blank. subpart',
18397:'29.1 general 29.101 29.000scope of part. this part prescribes policies and procedures for a using tax clauses in contracts including',
18398:'foreign contracts, b asserting immunity or exemption from taxes, and c obtaining tax refunds. it explains federal, state, and local',
18399:'taxes on certain supplies and services acquired by executive agencies and the applicability of such taxes to the federal government.',
18400:'it is for the general information of government personnel and does not present the full scope of the tax laws',
18401:'and regulations. 29.001definitions. as used in this part— north atlantic treaty organization nato forces means the members of the force,',
18402:'members of the civilian component, nato personnel and all property,equipment, and materiel of nato, nato member states,andoperational partners present in',
18403:'the territory of afghanistan. u.s. forcesmeans theentity comprising the members of theforce andof the civiliancomponent, and all property, equipment, and',
18404:'materiel of the united states armed forces present in the territory of afghanistan. subpart 29.1 general 29.101 resolving tax problems.',
18405:'a contract tax problems are essentiallylegal innature andvary widely. specific tax questions must be resolved by reference to the applicable',
18406:'contract terms and to the pertinent tax laws and regulations. therefore, when tax questions arise, contracting officers should request assistance',
18407:'fromthe agencydesignated legal counsel. b to keep treatment within an agency consistent, contracting officers or other authorized personnelshallconsult the agencydesignated',
18408:'counsel before negotiating with any taxing authority for the purpose of 1 determining whether or not a tax is valid',
18409:'or applicable; or 2 obtaining exemption from, or refund of, a tax. c when the constitutional immunity of the government',
18410:'from state or local taxation may reasonably be at issue, contractors should be discouraged from negotiating independently with taxing authorities',
18411:'if the contract involved is either 1 a costreimbursement contract; or 2 a fixedprice contract containing a tax escalation clause.',
18412:'d before purchasing goodsor services froma foreignsource,the contracting officershouldconsult the agency designated counsel 1 for information on foreign tax treaties',
18413:'and agreements in force and on the implementation of any foreigntaxrelief programs; and 2 to resolve any other tax questions',
18414:'affecting the prospective contract. this page intentionally left blank. 29.12 subpart 29.2 federal excise taxes 29.204 subpart 29.2 federal excise',
18415:'taxes 29.201general. a federal excise taxes are levied on the sale or use of particular supplies or services. subtitle d',
18416:'of the internal revenue code of 1954, miscellaneous excisetaxes, 26 u.s.c.4041, etseq., and its implementing regulations, 26 cfr parts 40',
18417:'through 299, cover miscellaneous federal excise tax requirements. questions arising in this area should be directed to the agencydesignated counsel.',
18418:'the most common excise taxes are 1 manufacturers’ excise taxes imposed on certain motorvehicle articles, tires and inner tubes, gasoline,',
18419:'lubricating oils, coal, fishing equipment, firearms, shells, and cartridges sold by manufacturers, producers, or importers; and 2 specialfuels excise taxes',
18420:'imposed at the retail level on diesel fuel and special motor fuels. b sometimes the law exemptsthe federalgovernmentfrom these taxes.',
18421:'contracting officers should solicit prices on a taxexclusive basis when it is known that the government is exempt from these',
18422:'taxes, and on a taxinclusive basis when no exemption exists. c executive agencies shall take maximum advantage of available federal',
18423:'excise tax exemptions. 29.202general exemptions. no federal manufacturers’ or specialfuels excise taxes are imposed in many contracting situations as, for',
18424:'example, when the supplies are for any of the following: a the exclusive use of any state or political subdivision,',
18425:'including the district of columbia 26 u.s.c. 4041 and 4221. b shipment for export to a foreign country or an',
18426:'outlying area of the united states. shipment must occur within 6 months of the time title passes to the government.',
18427:'when the exemption is claimed, the words for export must appear on the contract or purchase document, and thecontracting officer',
18428:'must furnishthe seller proof ofexport see 26 cfr 48.42213. c further manufacture, or resale for further manufacture this exemption does',
18429:'not include tires and inner tubes 26 cfr 48.42212. d use asfuel supplies, shipsor sea stores, or legitimate equipment on',
18430:'vesselsof war, including 1 aircraft owned by the united states and constituting a part of the armed forces and 2',
18431:'guided missiles and pilotless aircraft owned or chartered by the united states. when this exemption is to be claimed, the',
18432:'purchase should be made on a taxexclusive basis. the contractingofficershallfurnishtheselleranexemptioncertificateforsuppliesforvesselsofwaranexampleisgivenin 26 cfr 48.42214d2 ; the irs will accept one certificate',
18433:'covering all orders under a single contract for a specified period of up to 12 calendar quarters 26 u.s.c. 4041',
18434:'and 4221. e a nonprofit educationalorganization 26 u.s.c. 4041 and 4221. f emergencyvehicles 26 u.s.c. 4053 and 4064b1c. 29.203other federal',
18435:'tax exemptions. a pursuant to 26 u.s.c.4293, the secretary of thetreasury has exempted the unitedstates from the communications excise tax',
18436:'imposed in 26 u.s.c.4251, when the supplies and services are for the exclusive use of the united states. secretarial authorization,',
18437:'june 20,1947, internal revenue cumulative bulletin,19471, 205. b pursuant to 26 u.s.c. 4483b, thesecretaryof the treasury has exempted the united',
18438:'states from the federal highway vehicle users tax imposed in 26 u.s.c. 4481. the exemption applies whether the vehicle is',
18439:'owned or leased by the united states. secretarial authorization, internal revenue cumulative bulletin,19562, 1369. 29.204 federalexcise tax on specific foreign',
18440:'contract payments. a title 26 u.s.c. 5000c and its implementing regulations at 26 cfr 1.5000c1 through 1.5000c7 require acquiring agencies',
18441:'to collect this excise tax via withholding on applicable contract payments see 29.4023, 31.20541b8. agencies merely withhold the tax section',
18442:'5000c tax for the internal revenue service irs. all substantive issues regarding the underlying section 5000c tax, e.g., the imposition',
18443:'of, and exemption from the tax, are matters under the jurisdiction of the irs. thecontracting officer will refer all questionsrelatingto',
18444:'theinterpretation of theirs regulations to https://www.irs.gov/ help/taxlawquestions. b in accordance with the clause 52.22912, tax on certain foreign procurements, contractors',
18445:'thatare subjectto the section 5000c tax will complete irs form w14, certificate of foreign contracting party receiving federal procurement payments,',
18446:'and submit this form with each voucher or invoice. in the absence of a completed irs form w14 accompanying a',
18447:'payment request, the default withholding percentage is 2 percent for the section 5000c withholding for that payment request. information about',
18448:'irs form w14 is available via the internet at www.irs.gov/w14. federal acquisition regulation c 1 exemptions from the withholding in',
18449:'the irs regulations at 26 cfr 1.5000c1d1 through 4 are captured under the provision prescription at 29.4023a i.e., the contractingofficer',
18450:'will not include theprovision when one of the 29.4023a exceptions applies. 2 the exemptions at 26 cfr 1.5000c1d5 through 7',
18451:'must beclaimed by the offeror when it submits anirs form w14 with the offer. if not submitted with the offer,',
18452:'exemptions will notbe applied to the contract. 3 any exemption claimed and selfcertified on the irs form w14 is subject',
18453:'to audit by the irs. any disputes regarding the imposition and collection of the section 5000c tax are adjudicated by',
18454:'the irs as the section 5000c tax is a tax matter, not a contract issue. d the exemptions in 29.201',
18455:'through 29.302 do not apply to this section 5000c tax. e additional information about this excise tax on specific foreign',
18456:'contract payments is available via the internet at https://www.irs.gov/governmententities/excisetaxonspecifiedfederalforeignprocurementpayments. subpart 29.3 state and local taxes 29.304 subpart 29.3 state and',
18457:'local taxes 29.300scope of subpart. this subpart prescribes the policies and procedures regarding the exemption or immunity of federal government',
18458:'purchases and property from state and local taxation. 29.301[reserved] 29.302application of state and local taxes to the government. a generally,',
18459:'purchases and leasesmade by the federal government are immune from state and local taxation. whether any specific purchaseor lease is',
18460:'immune, however,is alegal question requiring advice and assistance of theagencydesignated counsel. b when it is economically feasible to do so,',
18461:'executive agencies shall take maximum advantage of all exemptions from state and local taxation that maybe available. if appropriate, the',
18462:'contracting officer shall provide a standard form 1094, u.s. taxexemptionformsee part 53, or other evidence listed in 29.305a to establish',
18463:'that the purchase is being made by the government. 29.303application of state and local taxes to government contractors and subcontractors.',
18464:'a prime contractors and subcontractors shall not normally be designated as agents of the government for the purpose of claiming',
18465:'immunity from state or local sales or use taxes. before any activity contends that a contractor is an agent of',
18466:'the government, thematter shall be referredto theagency head for review. the referral shall include all pertinent data on which the',
18467:'contention is based, together with a thorough analysis of all relevant legal precedents. b when purchases are not made by',
18468:'the government itself, but by a prime contractor or by a subcontractor under a prime contract, the right to an',
18469:'exemptionof the transaction from a sales or usetax may not rest onthe government’s immunity from direct taxation by states and',
18470:'localities. it may rest instead onprovisionsof the particular state or local law involved, or, in some cases, the transaction maynot',
18471:'in fact be expressly exemptfrom the tax. the government’s interest shall be protected by using the procedures in 29.101. c',
18472:'frequently, property includingpropertyacquired under the progress payments clause of fixedprice contracts or the government property clause of costreimbursement contracts owned',
18473:'by the government is in the possession of a contractor or subcontractor. situations mayarisein which states or localities assert the',
18474:'right to tax government property directly or to taxthe contractor’s or subcontractor’s possession of, interest in, oruse of that property.',
18475:'in suchcases, the contractingofficer shall seek review and advice from the agencydesignated counsel on the appropriate course of action. 29.304',
18476:'matters requiring special consideration. the imposition of state and local taxes may result in special contract considerations including the following:',
18477:'a with coordination of the agencydesignated counsel, a contractmay 1 state thatthe contract price includes or excludes a specified tax',
18478:'or 2 require that the contractor take certain actions with regard to payment, nonpayment, refund, protest, or other treatment of',
18479:'a specified tax. such special treatment may be appropriate when there is doubt as to the applicability or allocability of',
18480:'the tax, or when the applicability of the tax is being litigated. b the applicability of state and local taxes',
18481:'to purchases by the federal government may depend on the place and terms of delivery. when thecontract pricewill be substantial,',
18482:'alternative placesand terms of delivery should be considered in light of possible tax consequences. c indefinitedelivery contracts for equipment rental',
18483:'may require the contractor to furnish equipment in any of the states. since leased equipment remainsthe contractor’s property,states and local',
18484:'governments impose a wide variety of property,use, orother taxes on equipment leased to thegovernment. the amount ofthese taxes canvary considerablyfrom',
18485:'jurisdiction to jurisdiction. see 29.4011 for the prescription of the contract clause to be included in contracts when delivery points',
18486:'are not known at time of contracting. d the north carolina state and local sales and use tax.1the north carolina',
18487:'sales and use tax act authorizes counties and incorporated cities and towns to obtain each year from the commissioner of',
18488:'revenue of the state of north carolina a refund of sales and use taxes indirectly paid on building materials, supplies,',
18489:'fixtures, and equipment that become a part of or are annexed to any building or structure erected, altered, or repaired',
18490:'for such counties and incorporated cities and towns in north carolina. in united states v. clayton,250 f. supp. 8271965, it',
18491:'was held that the united states is entitledto the benefit of the refund, but must follow the refund procedure of',
18492:'the act and the regulations to recover what it is due. federal acquisition regulation 2 the act provides that, to',
18493:'receive therefund,claimants must file,within 6months after the claimant’s fiscal year closes, a written request substantiated by such records, receipts, and',
18494:'information as the commissioner of revenue may require. no refund will be made on an application not filed within the',
18495:'time allowed and in such manner as the commissioner may require. the requirements of the commissioner are set forth in',
18496:'regulations that provide that, to substantiate a refund claim for sales oruse taxes paid onpurchases of building materials, supplies,fixtures,or equipment',
18497:'by a contractor, the government must secure from the contractor certified statements setting forth the cost of the property purchased',
18498:'from each vendor and the amount of sales oruse taxes paid. in the event thecontractor makes several purchases from the',
18499:'same vendor, the certified statement must indicate the invoice numbers, the inclusive dates of the invoices, the total amount of',
18500:'the invoices, and the sales and use taxes paid. the statement must also include the cost of any tangible personal',
18501:'property withdrawn from thecontractor’swarehouse stock and theamount of sales or use taxpaid by the contractor. similar certified statements by subcontractors',
18502:'must be obtained by the general contractor and furnished to the claimant. any local sales or use taxes included in',
18503:'the contractor’s statement mustbe shown separatelyfrom the state salesor usetaxes. 3 the clause prescribed at 29.4012 requires contractorsto submit to',
18504:'contractingofficers by november30 of each year a certified statement disclosing north carolina state and local sales and use taxes paid',
18505:'during the 12month period that ended the preceding september 30. the contracting officer shall ensure thatcontractors comply with this requirement',
18506:'and shall obtain the annual refund to which the government may be entitled. the application for refund must be filed',
18507:'each year before march 31 and in the manner and form required by the commissioner of revenue. copies of the',
18508:'form may be obtained from the state of north carolina, department of revenue, po box 25000 raleigh, north carolina 27640.',
18509:'29.305state and local tax exemptions. a evidence of exemption. evidence needed to establish exemption from state or local taxes depends',
18510:'on the grounds for the exemption claimed, the parties to the transaction, and the requirements of the taxing jurisdiction. such',
18511:'evidence may include the following: 1 a copy of the contract or relevant portion. 2 copies of purchase orders, shipping',
18512:'documents, creditcardimprinted sales slips, paid or acknowledged invoices, or similar documentsthat identify an agency or instrumentality of the united states',
18513:'as the buyer. 3 a u.s. taxexemption form sf 1094. 4 a state or local form indicating that the supplies',
18514:'or services are for the exclusive use of the united states. 5 any other state or locally required document for',
18515:'establishing general or specific exemption. 6 shipping documents indicating that shipments are in interstate or foreign commerce. b furnishing proof',
18516:'of exemption. if a reasonable basis to sustain a claimed exemption exists, the seller will be furnished evidence of exemption,',
18517:'as follows: 1 under a contract containing the clause at 52.2293, federal,state,andlocal taxes,or at 52.2294, federal, state, and local taxes',
18518:'state and localadjustments, in accordancewith the termsof those clauses. 2 under a costreimbursement contract,if requested by the contractor and approved',
18519:'by the contracting officer or at thediscretion of the contracting officer. 3 under a contract or purchase order that contains',
18520:'no tax provision, if irequested by the contractor and approved by thecontracting officer or at thediscretionof the contractingofficer; and iieither',
18521:'the contract price does not include the tax or,if the transaction or property is tax exempt,the contractor consents to a',
18522:'reduction in the contract price. subpart 29.4 contract clauses 29.4014 subpart 29.4 contract clauses 29.401domestic contracts. 29.4011 indefinitedelivery contracts for',
18523:'leased equipment. insert the clause at 52.2291, state and local taxes, insolicitationsand contracts for leased equipment when a a fixedprice',
18524:'indefinitedelivery contract is contemplated; b the contract will be performed wholly or partly in the united states or its outlying',
18525:'areas; and c the place or places of delivery are not known at the time of contracting. 29.4012construction contracts performed',
18526:'in north carolina. the contractingofficer shall insertthe clause at 52.2292, north carolina stateand local sales anduse tax, in solicitations and',
18527:'contracts for construction to be performed in north carolina. if the requirement is for vessel repair to be performed in',
18528:'north carolina, the clause shall be used with its alternatei. 29.4013 federal, state, and local taxes. a except as provided',
18529:'in paragraph b of this section, insert the clause at 52.2293,federal, state, and local taxes, in solicitations and contracts if',
18530:'1 the contract is to be performed wholly or partly in the united states or its outlying areas; 2 a',
18531:'fixedprice contract is contemplated; and 3 the contract is expected to exceed the simplified acquisition threshold. b in a noncompetitive',
18532:'contractthat meets all theconditions in paragrapha of this section,the contracting officermay insert the clause at 52.2294, federal, state, andlocal taxesstateandlocal',
18533:'adjustments, instead of theclause at 52.2293, if the price would otherwise include an inappropriate contingency for potential postaward changes in',
18534:'state or local taxes. 29.4014newmexico gross receipts and compensating tax. a definition. services, as used in this subsection,is as definedin',
18535:'thegross receipts and compensating taxactof the stateof new mexico, sec 793k nm sa1978, and means all activities engaged in for',
18536:'other persons for a consideration, which activities involve predominately the performance ofa service as distinguished from selling or leasing property.',
18537:'services includes activities performed by a person for its members or shareholders. in determining what is a service, the intended',
18538:'use, principal objective or ultimate objective of the contracting parties shall not be controlling. services also includes construction activities and',
18539:'all tangible personal property that will become an ingredient or component part of a construction project. such tangible personal property',
18540:'retains its character as tangible personal property until it is installed as an ingredient or component part ofa construction project',
18541:'in new mexico. however, salesof tangible personalpropertythat will become aningredient or component part of a construction project to persons engaged',
18542:'in the construction business are sales of tangible personal property. b contract clause. thecontracting officer shall insert the clause at',
18543:'52.22910, state of new mexico gross receipts and compensating tax, in solicitations and contracts issued by the agencies identified inparagraph',
18544:'cof this subsection when all three of the following conditions exist: 1 the contractor will be performing a costreimbursement contract.',
18545:'2 the contract directs or authorizes the contractor to acquire tangible personal property as a direct cost under a contract',
18546:'and title to such property passes directly to and vests in the united states upon delivery of the property by',
18547:'the vendor. 3 the contract will be for services to be performed in whole or in part within the state',
18548:'of new mexico. c participating agencies. 1 the agencies listed below have entered into an agreement with the state of',
18549:'new mexico to eliminate the double taxation of government costreimbursement contracts when contractors and their subcontractors purchase tangible personal property',
18550:'to be used in performing services in whole or in part in the state of new mexico and for which',
18551:'title to such property will pass to the united states upon delivery of the property to the contractor and its',
18552:'subcontractorsby the vendor. therefore, the clause applies only to solicitations and contracts issued by the united states defense advanced research',
18553:'projects agency; united states defense threat reduction agency; united states department of agriculture; federal acquisition regulation united states department of',
18554:'the air force; united states department of the army; unitedstates department of energy; united states department of health and human',
18555:'services; united states department of the interior; united states department of labor; united states department of the navy; unitedstates department',
18556:'of transportation; united states general services administration; united states missile defense agency; and united states national aeronautics and space administration.',
18557:'2 any other federal agency which expects to award costreimbursement contracts to be performed in new mexico should contact the',
18558:'new mexico taxation and revenue department to execute a similar agreement. 29.402 foreign contracts. 29.4021foreign fixedprice contracts. a thecontracting officer',
18559:'shall insert the clause at 52.2296, taxesforeign fixedprice contracts, in solicitations and contracts expected to exceed the simplified acquisition threshold',
18560:'when a fixedprice contract is contemplated and the contract is to be performed wholly orpartlyin a foreign country, unless it',
18561:'is contemplated that thecontract willbe with aforeign government. b the contractingofficer shall insertthe clause at 52.2297, taxesfixedprice contracts withforeign governments,',
18562:'in solicitations and contracts that exceed the simplified acquisition threshold when a fixedprice contract with a foreign government is contemplated.',
18563:'29.4022foreign costreimbursement contracts. a thecontracting officer shall insert the clause at 52.2298, taxesforeign costreimbursement contracts, in solicitations and contracts when',
18564:'a costreimbursement contract is contemplated and the contract is to be performed wholly or partly in a foreign country,unlessitis contemplated',
18565:'thatthe contract will bewith a foreigngovernment. b the contractingofficer shall insertthe clause at 52.2299, taxescostreimbursement contracts withforeign governments, in solicitations',
18566:'and contracts when a costreimbursement contract with a foreign government is contemplated. 29.4023taxon certain foreignprocurements. a insert the provision at',
18567:'52.22911, tax on certain foreign procurements—noticeand representation,in solicitations, including solicitations using part 12 procedures for the acquisition of commercial products',
18568:'and commercial services, unless one of the following exceptions applies: 1 acquisitions using simplified acquisition procedures that do not exceed',
18569:'the simplified acquisition threshold as defined in 2.101. 2emergencyacquisitionsusingtheemergencyacquisitionflexibilitiesdefinedin part 18. 3 acquisitions using the unusualand compelling urgencyauthority per 6.3032.',
18570:'4 contracts with a single individual for personal services that will not exceed the simplified acquisition threshold on an annual',
18571:'calendar year basis for all years of the contract. 5 acquisitions if the requiring activity identifies that the requirement is',
18572:'for certain foreign humanitarian assistance contracts which are payments made by the u.s. government agencies pursuant to a contract with',
18573:'a foreign contracting party to obtain goods or services described in or authorized under 7 u.s.c. 1691, et seq., 22',
18574:'u.s.c. 2151, et seq., 22 u.s.c 2601 et seq., 22 u.s.c. 5801 et seq., 22 u.s.c. 5401 et seq., 10',
18575:'u.s.c. 402, 10 u.s.c. 404, 10 u.s.c. 407, 10 u.s.c. 2557, and 10 u.s.c. 2561. b insert the clause at',
18576:'52.22912,tax on certain foreign procurements, in— 1 solicitations that contain the provision at 52.22911, taxon certainforeign procurements—notice and representation; and',
18577:'2 resultant contracts in which the contractor has indicated that it was a foreign person in solicitation provision 52.22911, tax',
18578:'oncertain foreign procurements—notice and representation. subpart 29.4 contract clauses 29.4024 29.4024taxes—foreign contractsin afghanistan. a use the clause at 52.22913, taxes—foreign',
18579:'contracts in afghanistan, insolicitationsand contracts with performance in afghanistan awarded by or on behalf of u.s. forces, unless the clause',
18580:'at 52.22914 is used. b use the clause at 52.22914, taxes—foreign contractsin afghanistan north atlantic treaty organization status of forces',
18581:'agreement, instead of the clause at 52.22913, taxes—foreigncontracts in afghanistan,in solicitations and contracts with performance in afghanistan awarded on behalf',
18582:'of or in support of thenorth atlantictreatyorganization nato, which are governed bythe natostatus of forces agreement sofa. this page intentionally',
18583:'left blank. 29.44 part 30 cost accounting standards administration sec. 30.000 scope of part. 30.001 definitions. subpart 30.1 general 30.101',
18584:'cost accounting standards. 30.102 cost accounting standards board publication. subpart 30.2 cas program requirements 30.201 contract requirements. 30.2011 cas applicability.',
18585:'30.2012 types of cas coverage. 30.2013 solicitation provisions. 30.2014 contract clauses. 30.2015 waiver. 30.2016 findings. 30.2017 cognizant federal agency responsibilities.',
18586:'30.202 disclosure requirements. 30.2021 general requirements. 30.2022 impracticality of submission. 30.2023 amendments and revisions. 30.2024 privileged and confidential information. 30.2025',
18587:'filing disclosure statements. 30.2026 responsibilities. 30.2027 determinations. 30.2028 subcontractor disclosure statements. subpart 30.3 cas rules and regulations [reserved] subpart 30.4',
18588:'cost accounting standards [reserved] subpart 30.5 cost accounting standards for educational institutions [reserved] subpart 30.6 cas administration 30.601 responsibility. 30.602',
18589:'materiality. 30.603 changes to disclosed or established cost accounting practices. 30.6031 required changes. 30.6032 unilateral and desirable changes. 30.604 processing',
18590:'changes to disclosed or established cost accounting practices. 30.605 processing noncompliances. 30.606 resolving cost impacts. 30.607 subcontract administration. this page',
18591:'intentionally left blank. subpart 30.1 general 30.101 30.000scope of part. this part describes policies and procedures for applying the cost',
18592:'accounting standards board casb rules and regulations 48 cfr chapter 99 to negotiated contracts and subcontracts. this part does not',
18593:'apply to sealed bid contracts or to any contract with a small business concern see 48 cfr 9903.2011b for these',
18594:'and other exemptions. 30.001definitions. as used in this part affected cascovered contract or subcontract means a contract or subcontract subject',
18595:'to cost accounting standards cas rules and regulations for which a contractor or subcontractor 1 used one cost accounting practice',
18596:'to estimate costs and a changed cost accounting practice to accumulate and report costs under the contract or subcontract; or',
18597:'2 used a noncompliant practice for purposes of estimating or accumulating and reporting costs under the contract or subcontract. cognizant',
18598:'federal agency official cfao means the contracting officer assigned by the cognizant federal agency to administer the cas. desirable change',
18599:'means a compliantchange to a contractor’s established or disclosed cost accounting practices that thecfao finds is desirable andnot detrimentalto thegovernment',
18600:'and is, therefore, not subject to the no increased cost prohibition provisions of cascovered contractsandsubcontractsaffected by thechange. fixedprice contracts and',
18601:'subcontracts means 1 fixedprice contracts and subcontracts described at 16.202, 16.203 except when price adjustments are based on actual costs',
18602:'of labor or material, described at 16.2031a2, and 16.207; 2 fixedprice incentive contracts and subcontracts where the price is not',
18603:'adjusted based on actual costs incurred subpart 16.4; 3 orders issued under indefinitedelivery contracts and subcontracts where final payment is',
18604:'not based on actual costs incurred subpart 16.5; and 4 the fixedhourly rate portion of timeandmaterials and laborhours contracts and',
18605:'subcontracts subpart 16.6. flexiblypriced contracts and subcontracts means 1 fixedprice contracts and subcontracts described at 16.2031a2, 16.204, 16.205, and 16.206;',
18606:'2 costreimbursement contracts and subcontracts subpart 16.3; 3 incentive contracts and subcontracts where the price may be adjusted based on',
18607:'actual costs incurred subpart 16.4; 4 orders issued under indefinitedelivery contracts and subcontracts where final payment is based on actual',
18608:'costs incurred subpart 16.5; and 5 the materials portion of timeandmaterials contracts and subcontracts subpart 16.6. noncompliance means a failure',
18609:'in estimating, accumulating, or reporting costs to 1 comply with applicable cas; or 2 consistently follow disclosed or established cost',
18610:'accounting practices. required change means 1 a change in cost accounting practice that a contractor is required to make in',
18611:'order to comply with applicable standards, modifications or interpretations thereto, that subsequently becomes applicable to an existing cascovered contract or',
18612:'subcontract due to the receipt of another cascovered contract or subcontract; or 2 a prospective change to adisclosed orestablished cost',
18613:'accounting practice whenthe cfao determines that the former practice was in compliance with applicable cas and the change is necessary',
18614:'for the contractor to remain in compliance. unilateral change means a change in cost accounting practice from one compliant practice',
18615:'to another compliant practice that a contractor with a cascovered contracts or subcontracts elects to make that has not been',
18616:'deemed a desirable change by the cfaoand for which thegovernmentwill pay no aggregate increasedcosts. subpart 30.1 general 30.101cost accounting standards.',
18617:'a 41 u.s.c. chapter 15, cost accounting standards, requires certain contractors and subcontractors to comply with cost accounting standards cas',
18618:'and to disclose in writing and follow consistently their cost accounting practices. federal acquisition regulation b contracts that refer to',
18619:'this part 30 for the purpose of applying the policies, procedures, standards and regulations promulgated by the casb pursuant to',
18620:'41 u.s.c. chapter 15, shall be deemed to refer to the cas, and any other regulations promulgated by the casb',
18621:'see 48 cfr chapter 99, all of which are hereby incorporated in this part 30. 30.102cost accounting standards board publication.',
18622:'copies of the casb standardsandregulations areprinted in title 48 of the code of federal regulations, chapter 99, and may be',
18623:'obtained by writing the superintendent of documents, us governmentpublishing office, washington,dc 20402 or bycalling the washington, dc, ordering deskat 202',
18624:'5121800. subpart 30.2 cas program requirements 30.2014 subpart 30.2 cas program requirements 30.201 contract requirements. title48 cfr 9903.2011 describes the',
18625:'rules for determining whether a proposed contract or subcontract is exempt from cas. negotiated contracts not exempt in accordance with',
18626:'48 cfr 9903.2011b shall be subject to cas. a cascovered contract may be subject to either full or modified coverage.',
18627:'the rules for determining whether full or modified coverage applies are in 48 cfr 9903.2012. 30.2011cas applicability. a see 48',
18628:'cfr 9903.2011. b in accordance with 41 u.s.c. 1502b1b, the threshold for determining the tentative applicability of cas at the',
18629:'contract level is the amount set forth in 10 u.s.c. 3702a1a, as adjusted for inflation in accordance with 41 u.s.c.',
18630:'1908. 30.2012types of cas coverage. see 48 cfr 9903.2012. 30.2013solicitation provisions. a thecontracting officer shall insert the provision at 52.2301,',
18631:'cost accounting standards notices and certification, in solicitations for proposed contracts subject to cas as specified in 48 cfr 9903.201.',
18632:'b if an award to an educationalinstitution is contemplated prior to july 1, 1997, thecontracting officer shall insert the basic',
18633:'provision set forth at 52.2301 with its alternate i, unless the contract is to be performed by a federally funded',
18634:'research and development center ffrdc see 48 cfr 9903.2012c5, or the provision at 48 cfr 9903.2012c6 applies. c insert the',
18635:'provision atfar 52.2307, proposal disclosurecost accounting practice changes, in solicitations for contracts subject to cas as specified in 48 cfr',
18636:'9903.201. 30.2014 contract clauses. a cost accounting standards. 1 the contracting officer shall insert the clause at far 52.2302, cost',
18637:'accounting standards, in negotiated contracts, unless the contract is exempted see 48 cfr 9903.2011, the contract is subject to modified',
18638:'coverage see 48 cfr 9903.2012, or the clause prescribed in paragraph c of this subsection is used. 2 the clause',
18639:'at far 52.2302 requires the contractor to comply with all cas specified in 48 cfr 9904, to disclose actual cost',
18640:'accounting practices applicable to cascovered contracts only, and to follow disclosed and established cost accounting practices consistently. b disclosure and',
18641:'consistency of cost accounting practices. 1 insert the clauseat far 52.2303, disclosure and consistency of cost accounting practices, in negotiated',
18642:'contracts when the contract amount is over $2 million, but less than $50 million, and the offeror certifies it is',
18643:'eligible for andelects to use modifiedcas coveragesee 48 cfr 9903.2012, unless the clause prescribed in paragraph c of this subsection',
18644:'is used. 2 the clause at far 52.2303 requires the contractor to comply with 48 cfr 9904.401, 9904.402, 9904.405, and',
18645:'9904.406 to disclose if it meets certain requirements actual cost accounting practices, and to follow consistently its established cost accounting',
18646:'practices. c disclosure and consistency of cost accounting practicesforeign concerns. 1 the contracting officer shall insert the clause at far',
18647:'52.2304, disclosure and consistency of cost accounting practicesforeign concerns, in negotiated contracts with foreign concerns, unless the contract is otherwise',
18648:'exempt from cas see 48 cfr 9903.2011. foreign concerns do not include foreign governments or their agents or instrumentalities. 2',
18649:'the clause at 52.2304 requires the contractor to comply with 48 cfr 9904.401 and 48 cfr 9904.402 to disclose if',
18650:'it meets certain requirements actual cost accounting practices, and to follow consistently its disclosed and established cost accounting practices. d',
18651:'administration of cost accounting standards. 1 the contracting officershallinsert the clauseat far 52.2306, administration of cost accounting standards, in contracts',
18652:'containing any of the clauses prescribed in paragraphs a, b, c, or e of this subsection. 2 the clause at',
18653:'far 52.2306 specifies rules for administering cas requirements and procedures to be followed in casesof failure to comply. 30.2015 federal',
18654:'acquisition regulation e cost accounting standardseducational institutions. 1 the contracting officer shall insert the clause at far 52.2305, cost accounting',
18655:'standardseducational institution, in negotiated contracts awarded to educational institutions, unless the contract is exempted see 48 cfr 9903.2011, the contract',
18656:'is to be performed by an ffrdc see 48 cfr 9903.2012c 5, or the provision at 48 cfr 9903.2012c6applies. 2',
18657:'the clause at far 52.2305 requires the educational institution to comply with all cas specified in 48 cfr 9905, to',
18658:'disclose actual cost accounting practices as required by 48 cfr 9903.2021f, and to follow disclosed and established cost accounting practices',
18659:'consistently. 30.2015waiver. a the head of the agency 1 may waive the applicability of cas for a particular contract or',
18660:'subcontract under the conditions listed in paragraph b of this subsection; and 2 must not delegate thiswaiver authority to any',
18661:'officialin theagency belowthe senior contract policymaking level. b the head of the agency may grant a waiver when one of',
18662:'the following conditions exists: 1 the contract or subcontract value is less than 15 million, and the head of the',
18663:'agency determines, in writing, that the segment of the contractor or subcontractor that will perform the contract or subcontract i',
18664:'is primarily engaged in the sale of commercial products or commercial services; and ii has no contracts or subcontracts that',
18665:'are subject to cas. 2 the head of the agency determines that exceptional circumstances exist whereby a waiver of cas',
18666:'is necessary to meetthe needsof the agency. exceptional circumstances exist only when thebenefits tobe derived from waiving the cas outweigh',
18667:'the risk associated with the waiver. the determination that exceptional circumstances exist must i be set forth in writing; and',
18668:'iiinclude a statementof the specific circumstances that justify grantingthe waiver. c when one of the conditions in paragraph b of',
18669:'this subsection exists, the request for waiver should include the following: 1 the amount of the proposed award. 2 a',
18670:'description of the contract or subcontract type e.g., firmfixedprice, costreimbursement. 3 whether the segments that will perform the contract or',
18671:'subcontract has cascovered contracts or subcontracts. 4 a description of the items being procured. 5 when the contractor or subcontractor',
18672:'will not accept the contract or subcontract if cas applies, a statement to that effect. 6 whether certified cost or',
18673:'pricing data will be obtained, and if so, a discussion of how the data will be used in negotiating the',
18674:'contract or subcontract price. 7 the benefits to the government of waiving cas. 8 the potential risk to the government',
18675:'of waiving cas. 9 the date by which the waiver is needed. 10 any other information that may be useful',
18676:'in evaluating the request. d when neither of the conditions in paragraph b of this subsection exists, the waiver request',
18677:'must be prepared in accordance with 48 cfr 9903.2015e and submitted to the cas board. e each agency must report',
18678:'any waivers granted under paragraph a of this subsection to the cas board, on a fiscal year basis, notlater than',
18679:'90 days after the closeof the government’s fiscal year. 30.2016 findings. see 48 cfr 9903.2016. 30.2017cognizant federal agency responsibilities. see',
18680:'48 cfr 9903.2017. 30.202 disclosure requirements. 30.2021general requirements. see 48 cfr 9903.2021. subpart 30.2 cas program requirements 30.2027 30.2022 impracticality',
18681:'of submission. see 48 cfr 9903.2022. 30.2023amendments andrevisions. see 48 cfr 9903.2023. 30.2024 privileged and confidential information. see 48 cfr',
18682:'9903.2024. 30.2025filing disclosure statements. see 48 cfr 9903.2025. 30.2026 responsibilities. a thecontracting officer is responsible for determiningwhen aproposed contractmay require',
18683:'cas coverage andfor including the appropriate notice inthe solicitation. the contracting officer must then ensure that the offeror has made',
18684:'the required solicitation certifications and that required disclosure statements are submitted. also see 48 cfr 9903.2013 and 9903.202. b the',
18685:'contractingofficer shall not award a cascovered contract until the cognizant federal agency official cfao has made a written determination that',
18686:'a required disclosure statement is adequate unless, in order to protect the governments interest, the agency head, on a nondelegable',
18687:'basis, authorizes award without obtaining submission of the required disclosure statement see 48 cfr 9903.2022. in this event, the contractor',
18688:'shall submit the required disclosure statement and the cfao shall make a determination of adequacy as soon as possibleafter the',
18689:'award. c the cognizant auditor is responsible for conducting reviews of disclosure statements for adequacy and compliance. d the cfao',
18690:'isresponsibleforissuing determinations of adequacy and compliance of thedisclosurestatement. 30.2027 determinations. a adequacy determination. 1 as prescribed by 48 cfr 9903.2026,',
18691:'the auditor shall i conduct a review of the disclosure statement to ascertain whether it is current, accurate, and complete;',
18692:'and iireport theresults to the cfao. 2 the cfao shall determine if the disclosure statement adequately describes the contractor’s cost',
18693:'accounting practices. also, the cfao shall i if the disclosure statement is adequate, notify the contractor in writing, and provide',
18694:'a copy to the auditor with a copyto the contracting officer if the proposal triggers submission of a disclosure statement.',
18695:'the noticeof adequacy shall state that athe disclosedpractices are adequately describedand the cfao currently is not aware of any additional',
18696:'practices that should be disclosed; b the notice is not a determination that all cost accounting practices were disclosed; and',
18697:'c the contractor shall not consider a disclosed practice, by virtue of such disclosure, an approved practice for estimating proposals',
18698:'or accumulating and reporting contract and subcontract cost data; or ii if the disclosure statement is inadequate, notify the contractor',
18699:'of the inadequacies and request a revised disclosure statement. 3 generally,the cfao should furnish the contractornotification of adequacy or inadequacywithin',
18700:'30 days after the cfao receives the disclosure statement. b compliance determination. 1 afterthe notificationof adequacy, the auditorshall i conduct',
18701:'a detailed compliance review to ascertain whether or not the disclosed practices comply with cas and part 31, as applicable;',
18702:'and iiadvise the cfao of the results. 2 the cfao shall make a determination of compliance or take actionregardinga report',
18703:'of alleged noncompliance in accordance with 30.605b. such action should include requesting a revised disclosure statement that corrects the cas',
18704:'noncompliance. noncompliances with part 31shallbeprocessedseparately. 30.2028 federal acquisition regulation 30.2028subcontractor disclosure statements. a when thegovernmentrequiresdeterminations of adequacyof subcontractor disclosure statements,',
18705:'thecfao for the subcontractor shall provide this determinationto thecfao for the contractor or nexthighertier subcontractor. the higher tier cfaoshallnot change',
18706:'the determination of the lowertier cfao. b any determinationthat it is impractical to secure a subcontractor’s disclosure statement must bemadein',
18707:'accordance with 48 cfr 9903.2022. subpart 30.3 cas rules and regulations [reserved] subpart 30.3 cas rules and regulations [reserved] note:',
18708:'see 48 cfr 9903.3. this page intentionally left blank. 30.32 subpart 30.4 cost accounting standards [reserved] subpart 30.4 cost accounting',
18709:'standards [reserved] note: see 48 cfr part 9904. this page intentionally left blank. 30.42 subpart 30.5 cost accounting standards for',
18710:'educational institutions [reserved] subpart 30.5 cost accounting standards for educational institutions [reserved] note: see 48 cfr part 9905. this page',
18711:'intentionally left blank. 30.52 subpart 30.6 cas administration 30.6031 subpart 30.6 cas administration 30.601 responsibility. a thecfao shall performcas administration',
18712:'for all contracts and subcontracts in abusiness unit, even when the contracting officerretains other administration functions. thecfao shall makeall casrelated',
18713:'requireddeterminations and findings see subpart 1.7 for all cascovered contracts and subcontracts, including 1 whether a change in cost accounting',
18714:'practice or noncompliance has occurred; and 2 if a change in cost accounting practice or noncompliance has occurred, how any',
18715:'resulting cost impacts are resolved. b within 30 days after the award of any new contract subject to cas, thecontracting',
18716:'officer makingthe award shall requestthecfaotoperformadministrationforcasmatterssee subpart 42.2. for subcontract awards, the contractor awarding the subcontract must follow the procedures at',
18717:'52.2306l, m, and n. c inperforming cas administration, the cfao shall request and consider theadviceof the auditor as appropriate see',
18718:'1.6022. 30.602 materiality. a indetermining materiality, the cfao shall usethe criteria in 48 cfr 9903.305. b a cfao determination of',
18719:'materiality 1 may be made before or after a general dollar magnitude proposal has been submitted, depending on the particular',
18720:'facts and circumstances; and 2 shall be based on adequate documentation. c when thecfao determines the cost impact is immaterial,',
18721:'the cfao shall 1 make no contract adjustments and conclude the cost impact process; 2 document the rationale for the',
18722:'determination; and 3 in the case of noncompliance issues, inform the contractor that i the noncompliance should be corrected; and',
18723:'ii if the noncompliance is not corrected, the government reserves the right to make appropriate contract adjustments should the cost',
18724:'impact become material in the future. d for required, unilateral, and desirable changes, and cas noncompliances, when the amount involved',
18725:'is material, the cfao shall follow the applicable provisions in 30.603, 30.604, 30.605, and 30.606. 30.603changes to disclosed or established',
18726:'cost accounting practices. 30.6031required changes. a general. offerors shall statewhetheror not theaward of a contract would require a change to',
18727:'an established cost accounting practice affecting existing contracts and subcontracts see 52.2301. the contracting officershallnotify the cfao ifthe offeror states',
18728:'that a change in cost accounting practice would be required. b cfao responsibilities. prior to making an equitable adjustment under',
18729:'the applicable paragraph s that address a required change at 52.2302, cost accounting standards; 52.2303, disclosure and consistency of cost',
18730:'accounting practices; or 52.2305, cost accounting standardseducational institution, thecfao shall determine that 1 the cost accounting practice change is required',
18731:'to comply with a cas, or a modification or interpretation thereof, that subsequently became applicable to one or more contracts',
18732:'or subcontracts; or 2 the former cost accounting practice was in compliance with applicable cas and the change is necessary',
18733:'to remain in compliance. c notice and proposal preparation. 1 when the award of a contract would require a change',
18734:'to an established cost accounting practice, the provision at 52.2307, proposaldisclosurecost accounting practice changes, requires the offeror to i prepare',
18735:'the contract pricing proposal in response to the solicitation using the changed cost accounting practice for the period of performance',
18736:'for which the practice will be used; and iisubmit a descriptionof the changedcost accountingpracticeto the contracting officer and the cfaoas',
18737:'pricing support for the proposal. 2 when a change is required to remain in compliance for reasons other than a',
18738:'contract award or to comply with a new or modified standard, the clause at 52.2306, administration of cost accounting standards,',
18739:'requires the contractor to 30.6032 federal acquisition regulation isubmit a description of the change to the cfao not lessthan 60',
18740:'days or other mutually agreeable date before implementation of the change; and ii submit rationale to support any contractor written',
18741:'statement that the cost impact of the change is immaterial. d equitable adjustments for new or modified standards. 1 required',
18742:'changes made to comply with new or modified standards mayrequire equitable adjustments, butonlyto those contracts awarded before the effective dateof',
18743:'the new or modified standard see 52.2302, 52.2303, or 52.2305. 2 when a contractor elects to implement a required change',
18744:'to comply with a new or modified standard prior to the applicability date ofthe standard, the cfao shall administer the',
18745:'change asa unilateral change see 30.6032. contractors shall not receive an equitable adjustment that will result in increased costs in',
18746:'the aggregate to the government prior to the applicability date unless the cfaodeterminesthat the unilateral change isa desirablechange. 30.6032 unilateral',
18747:'and desirable changes. a unilateral changes. 1 the contractor may unilaterally change its disclosed or established cost accounting practices, but',
18748:'the government shall not pay any increased cost, in the aggregate, as a result of the unilateral change. 2 prior',
18749:'to making any contract price or cost adjustments under the applicable paragraph s addressing a unilateral change at 52.2302, 52.2303,',
18750:'or 52.2305,the cfao shall determine that i the contemplated contract price or cost adjustments will protect the government from the',
18751:'payment of the estimated increased costs, in the aggregate; and iithe net effect of the contemplated adjustments will not result',
18752:'in the recovery of more than the increased costs to the government, in the aggregate. b desirable changes. 1 prior',
18753:'to taking action under the applicable paragraph s addressing a desirable change at 52.2302, 52.2303, or 52.2305, thecfao shall determine',
18754:'thechange is a desirable change and not detrimental to the interests of the government. 2 until thecfao has determined a',
18755:'change to a cost accounting practice isa desirablechange, the change is a unilateral change. 3 some factors to consider in',
18756:'determining if a change is desirable include, but are not limited to, whether i the contractor must change the cost',
18757:'accounting practices it uses for government contract and subcontract costing purposes to remain in compliance with the provisions of part',
18758:'31; ii the contractor is initiating management actions directly associated with the change that will result in cost savings for',
18759:'segments with cascovered contracts and subcontracts over a period for which forward pricing rates are developed or 5 years, whichever',
18760:'is shorter, and the cost savings are reflected in the forward pricing rates; and iii funds are available if the',
18761:'determination would necessitate an upward adjustment of contract cost or price. c notice and proposal preparation. 1 when a contractor',
18762:'makes a unilateral change, the clause at 52.2306, administration of cost accounting standards, requires the contractor to isubmit a description',
18763:'of the change to the cfao not lessthan 60 days or other mutually agreeable date before implementation of the change;',
18764:'and ii submit rationale to support any contractor written statement that the cost impact of the change is immaterial. 2',
18765:'if a contractor implements the change in cost accounting practice without submitting the notice as required in paragraph c1 ofthissubsection,',
18766:'the cfao may determine the change a failure to followa cost accounting practice consistently and process it as a noncompliance',
18767:'in accordance with 30.605. d retroactive changes. 1 if a contractor requests that a unilateral change be retroactive, the contractor',
18768:'shall submit supporting rationale. 2 the cfao shall promptly evaluate the contractor’s request and shall, as soon aspractical,notify the contractor',
18769:'in writing whether the request is or is not approved. 3 the cfao shall not approvea date for the retroactive',
18770:'change that is before the beginning of the contractor’s fiscal year in which the request is made. e contractor accounting',
18771:'changes due to external restructuring activities. the requirements for contract price and cost adjustments do not apply to compliant cost',
18772:'accounting practice changes that are directly associated with external restructuring activities that are subject to and meet the requirements of',
18773:'10 u.s.c. 3761. however, the disclosure requirements in 52.2306b shall be followed. 30.604 processingchanges to disclosed or established cost accountingpractices.',
18774:'a scope. this section applies to required, unilateral, and desirable changes in cost accounting practices. subpart 30.6 cas administration 30.604',
18775:'b procedures. upon receiptof the contractor’s notification and descriptionof the change incost accountingpractice, the cfao should review the proposed changeconcurrently',
18776:'for adequacy and compliance. the cfao shall 1 if the description of the change is both adequate and compliant, notify',
18777:'the contractor in writing and i for required or unilateral changes except those requested to be determined desirable changes, request',
18778:'the contractor submit ageneral dollar magnitudegdm proposal by a specified date, unless the cfao determines the cost impact is immaterial;',
18779:'or ii for unilateral changes that the contractor requests to be determined desirable changes, inform the contractor that the request',
18780:'shall include supporting rationale and a for any request based on the criteria in 30.6032b3ii, the data necessary to demonstrate',
18781:'the required cost savings; or b for any request other than those based on the criteria in 30.6032b3ii, a gdm',
18782:'proposal and any other datanecessary for the cfao to determine if thechange isa desirablechange; 2 if the description of the',
18783:'change is inadequate, request a revised description of the new cost accounting practice; and 3 if the disclosedpractice is noncompliant,notify',
18784:'the contractor inwriting that, if implemented, the cfaowill determine the cost accounting practice to be noncompliant and processitaccordingly. c evaluating',
18785:'requests for desirable changes. 1 when a contractor requests a unilateral change be determined a desirable change,the cfao shall promptly',
18786:'evaluate thecontractor’s request and,as soon as practical, notify the contractor in writing whether the change is a desirable change or',
18787:'the request is denied. 2 if the cfao determines the change is a desirable change,the cfao shall negotiate any cost',
18788:'or price adjustments that may be needed to resolve the cost impact see 30.606. 3 if the request isdenied, thechange',
18789:'isa unilateral change and shall be processedaccordingly. d general dollar magnitude proposal. the gdm proposal 1 provides information to the',
18790:'cfao on the estimatedoverallimpact of a change in cost accounting practice on affected cascovered contracts and subcontracts that were awarded',
18791:'based on the previouscost accountingpractice; 2 assists the cfao in determining whether individual contract price orcostadjustments are required; and 3',
18792:'the contractor may submit a detailed costimpact dci proposal in lieu of a gdm proposal provided the dci proposal is',
18793:'in accordance with paragraph g of this section. e general dollar magnitude proposal content. the gdm proposal 1 shall calculate',
18794:'the cost impact in accordance with paragraph h of this section; 2 may use one or more of the following',
18795:'methods to determine the increase or decrease in cost accumulations: iarepresentative sample of affected cascovered contractsandsubcontracts. ii the change in',
18796:'indirect rates multiplied by the total estimated base computed for each of the following groups: a fixedprice contracts and subcontracts.',
18797:'b flexiblypriced contracts and subcontracts. iii any other method that provides a reasonable approximation of the total increase or decrease',
18798:'in cost accumulations for allaffected fixedprice and flexiblypriced contracts and subcontracts. 3 maybe inany format acceptable to the cfao but,',
18799:'as a minimum,shallinclude the followingdata: iageneral dollar magnitudeestimateof the total increase ordecrease in cost accumulations by executive agency, including any',
18800:'impact the change may have on contract and subcontract incentives, fees, and profits, for each of the following groups: a',
18801:'fixedprice contracts and subcontracts. b flexiblypriced contracts and subcontracts. ii for unilateral changes, the increased or decreased costs to the',
18802:'government for each of the following groups: a fixedprice contracts and subcontracts. b flexiblypriced contracts and subcontracts; and 4 when',
18803:'requestedby the cfao, shall identify allaffected cascovered contracts and subcontracts. f general dollar magnitude proposal evaluation. the cfao shall promptly',
18804:'evaluate thegdm proposal. ifthe cost impact is immaterial, the cfao shall notify the contractorin writing andconclude the costimpact process with',
18805:'no contract adjustments. otherwise, the cfaoshall 1 negotiate and resolve the cost impact see 30.606. if necessary, thecfao mayrequest that',
18806:'the contractor submit a revised gdm proposal by a specified date with specific additional data needed to resolve the cost',
18807:'impact e.g., an expanded sample of affected cascovered contractsandsubcontractsor arevised method of computing the increaseor decrease in cost accumulations; or',
18808:'federal acquisition regulation 2 request that the contractor submit a dci proposalby aspecified date if the cfao determines that the',
18809:'gdm proposal is not sufficient toresolve the cost impact. g detailed costimpact proposal. if the contractor is required to submit',
18810:'a dci proposal, the cfao shall promptly evaluate the dci proposal and follow the procedures at 30.606 to negotiate and',
18811:'resolve the cost impact. the dci proposal 1 shall calculate the cost impact in accordance with paragraph h of this',
18812:'section; 2 shall show the estimated increase ordecrease in cost accumulations for each affected cascoveredcontract and subcontract unless the cfao',
18813:'and contractor agree to iinclude only thoseaffected cascovered contracts and subcontracts exceeding a specified amount; and iiestimatethe total increase or',
18814:'decreasein cost accumulations for allaffected cascovered contracts and subcontracts, using the results in paragraph g2i of this section; 3 maybe',
18815:'inany format acceptable to the cfao but, as a minimum,shallinclude the requirements at paragraphs e 3i and ii of this',
18816:'section; and 4 when requestedby the cfao, shall identify allaffected contracts and subcontracts. h calculating cost impacts. the cost impact',
18817:'calculation shall 1 includeallaffected cascovered contracts and subcontracts regardlessof their statusi.e., open or closed or the fiscal years in which',
18818:'the costs are incurred i.e., whether or not the final indirect rates have been established; 2 combine the costimpact for',
18819:'all affected cascovered contracts and subcontracts for all segments if the effect of a change results in costs flowing between',
18820:'those segments; 3 for unilateral changes i determine the increased or decreased cost to the government for flexiblypriced contracts and',
18821:'subcontracts as follows: a when the estimated cost to complete using the changed practice exceeds the estimated cost to complete',
18822:'using thecurrent practice, thedifference isincreased costto the government. b when the estimated costs to complete using the changed practice is',
18823:'less than the estimated cost to complete using the currentpractice, the differenceis decreased cost to the government. ii determine the',
18824:'increased or decreased cost to the government for fixedprice contracts and subcontracts as follows: a when the estimated cost to',
18825:'complete using the changed practice is less than the estimated cost to complete using the currentpractice, the differenceis increased cost',
18826:'tothe government. b when the estimated cost to complete using the changed practice exceeds the estimated cost to complete using',
18827:'thecurrent practice, thedifference isdecreasedcost to thegovernment. iii calculate the total increase or decrease in contract and subcontract incentives, fees, and',
18828:'profits associated with the increased or decreased cost to the government in accordance with 48 cfr 9903.306c. the associated increase',
18829:'or decrease is based on the difference betweenthe negotiatedincentives, feesandprofits and the amounts that would have been negotiated had the',
18830:'cost impact been known at the time the contracts and subcontracts were negotiated. iv calculate the increased cost to the',
18831:'government in the aggregate. 4 for required or desirable changes, negotiate an equitable adjustment as provided in the changes clause',
18832:'of the contract. i remedies. if the contractor does not submit the accounting change description or the proposals required in',
18833:'paragraph d or g ofthis section within the specifiedtime, or any extension granted by thecfao, the cfaoshall 1 estimate thegeneral',
18834:'dollar magnitudeof the cost impact onaffected cascovered contracts and subcontracts; and 2 takeoneor both of thefollowing actions: iwithholdan amountnot to',
18835:'exceed 10 percent of eachsubsequentpayment related to the contractor’s cas covered contracts up to the estimated general dollar magnitude of',
18836:'the cost impact, until the contractor furnishes the required information. ii issue a final decision in accordance with 33.211 and',
18837:'unilaterally adjust the contracts by the estimated amount of the cost impact. 30.605 processingnoncompliances. a general. prior to making any',
18838:'contract price or cost adjustments under the applicable paragraph s addressing noncompliance at 52.2302, 52.2303, or 52.2305, the cfao shall',
18839:'determine that 1 the contemplated contract price or cost adjustments will protect the government from the payment of increased costs,',
18840:'in the aggregate; subpart 30.6 cas administration 30.605 2 the net effectof the contemplated contract price or costadjustments will notresult',
18841:'in the recoveryof more than the increased costs to the government, in the aggregate; 3 the net effectof any invoice',
18842:'adjustments made to correct an estimatingnoncompliance will notresult in the recovery of more than the increased costs paid by the',
18843:'government, in the aggregate; and 4 the net effectof any interim and final voucherbilling adjustments made to correct a cost',
18844:'accumulation noncompliance will not result in the recovery of more than the increased cost paid by the government, in the',
18845:'aggregate. b notice and determination. 1 within 15days of receiving areport ofallegednoncompliance from the auditor, the cfao shall inotify the',
18846:'auditor thatthe cfao disagrees with the alleged noncompliance; or iiissuea noticeof potential noncompliance to the contractorandprovide acopy to the auditor.',
18847:'2 the notice of potential noncompliance shall i notify the contractor in writing of the exact nature of the noncompliance;',
18848:'and ii allow the contractor 60 days or other mutually agreeable date to a agree or submit reasons why the',
18849:'contractor considers the existing practices to be in compliance; and b submit rationale to support any written statement that the',
18850:'cost impact of the noncompliance is immaterial. 3 the cfao shall i if applicable, review the reasons why the contractor',
18851:'considers the existing practices to be compliant or the cost impact to be immaterial; ii make a determination of compliance',
18852:'or noncompliance consistent with 1.704; and iii notify the contractor and the auditor in writing of the determination of compliance',
18853:'or noncompliance and the basis for the determination. 4 if the cfao makes a determination of noncompliance,the cfao shall follow',
18854:'the procedures in paragraphsc through h of this section, as appropriate, unless the cfao also determines thecost impact is immaterial.',
18855:'if immaterial, the cfao shall i inform the contractor in writing that a the noncompliance should be corrected; and b',
18856:'if the noncompliance is not corrected, the government reserves the right to make appropriate contract adjustments should the noncompliance become',
18857:'material in the future; and ii conclude the costimpact process with no contract adjustments. c correcting noncompliances. 1 the clause',
18858:'at 52.2306 requires the contractor to submit a description of any cost accounting practice change needed to correct a noncompliance',
18859:'within 60 days after the earlier of iagreement with thecfao that there is a noncompliance; or iinotificationby the cfao of',
18860:'a determination of noncompliance. 2 the cfao should reviewthe proposed change to correct the noncompliance concurrently for adequacy and compliance',
18861:'see 30.2027. thecfao shall i when the description of the change is both adequate and compliant a notify the contractor',
18862:'in writing; b request that the contractor submit by a specified date a general dollar magnitude gdm proposal, unless the',
18863:'cfao determines the cost impactis immaterial; and c follow the procedures at paragraph b4 of thissection if the cfao determines',
18864:'thecostimpact is immaterial. ii if the description of the change is inadequate, request a revised description of the new cost',
18865:'accounting practice; or iii if thedisclosed practice isnoncompliant, notify the contractorin writingthat, ifimplemented, the cfao will determine the cost accounting',
18866:'practice to be noncompliant and processitaccordingly. d general dollar magnitude proposal content. the gdm proposal 1 shall calculate the cost',
18867:'impact in accordance with paragraph h of this section; 2 may use one or more of the following methods to',
18868:'determine the increase or decrease in contract and subcontract price or cost accumulations, as applicable: iarepresentative sample of affected cascovered',
18869:'contractsandsubcontractsaffected by thenoncompliance. ii when the noncompliance involves cost accumulation, the change in indirect rates multiplied by the applicable base',
18870:'for flexiblypriced contracts and subcontracts. federal acquisition regulation iii any other method that provides a reasonable approximation of the total',
18871:'increase or decrease in contract and subcontract prices and cost accumulations; 3 the contractor may submit a dci proposal in',
18872:'lieu of a gdm proposal provided the dci proposal is in accordance with paragraph f of this section. 4 maybe',
18873:'inany format acceptable to the cfao but, as a minimum,shallinclude the followingdata: i the total increase or decrease in contract',
18874:'and subcontract prices and cost accumulations, as applicable, by executive agency, including any impact the noncompliance mayhaveon contractandsubcontract incentives, fees,',
18875:'and profits, for each of the following groups: a fixedprice contracts and subcontracts. b flexiblypriced contracts and subcontracts. ii the',
18876:'increased or decreased costs to the government for each of the following groups: a fixedprice contracts and subcontracts. b flexiblypriced',
18877:'contracts and subcontracts. iii the total overpayments and underpayments for fixedprice and flexiblypriced contracts made by the government during the',
18878:'period of noncompliance; and 5 when requestedby the cfao, shall identify allaffected cascovered contracts and subcontracts. e general dollar magnitude',
18879:'proposal evaluation. the cfao shall promptly evaluate the gdm proposal. if the cost impact is immaterial, the cfao shall follow',
18880:'the requirements in paragraphb4 of this section. otherwise, the cfaoshall 1 negotiate and resolve the cost impact see 30.606. if',
18881:'necessary, thecfao mayrequest the contractorsubmit a revised gdm proposal by a specified date, with specific additional data needed to resolve',
18882:'the cost impact e.g., an expanded sample of affected cascovered contractsandsubcontractsor arevised method of computing the increaseor decrease in contract',
18883:'and subcontract price and cost accumulations; or 2 request that the contractor submit a dci proposalby aspecified date if the',
18884:'cfao determines that the gdm proposal is not sufficient toresolve the cost impact. f detailed costimpact proposal. if thecontractor is',
18885:'required to submit a dci proposal, the cfao shall promptly evaluate the dci proposal and follow the procedures at 30.606',
18886:'to negotiate and resolve the cost impact. the dci proposal 1 shall calculate the cost impact in accordance with paragraph',
18887:'h of this section. 2 shall show the increase or decrease in price and cost accumulations, asapplicable for eachaffected cascovered',
18888:'contract and subcontractunlessthe cfao and contractor agree to iinclude only thoseaffected cascovered contracts and subcontracts having a contract and subcontract',
18889:'values exceeding a specified amount when the noncompliance involves estimating costs; and b incurred costs exceeding a specified amount when',
18890:'the noncompliance involves accumulating costs; and iiestimatethe total increase or decreasein price and cost accumulations for all affected cascovered contracts',
18891:'and subcontracts using the results in paragraph f2i of this section; 3 maybe inany format acceptable to the cfao but,',
18892:'as a minimum,shallinclude the information in paragraph d4 of this section; and 4 when requestedby the cfao, shall identify allaffected',
18893:'cascovered contracts and subcontracts. g interest. the cfao shall 1 separately identify interest on any increased cost paid, in the',
18894:'aggregate, as a result of the noncompliance; 2 compute interest from the date of overpayment to the date of repayment',
18895:'using the rate specified in 26 u.s.c. 6621a2. h calculating cost impacts. the cost impact calculation shall 1 includeallaffected cascovered',
18896:'contracts and subcontracts regardlessof their statusi.e., open or closed or the fiscal year in which the costs are incurred i.e.,',
18897:'whether or not the final indirect cost rates have been established; 2 combine the costimpact for all affected cascovered contracts',
18898:'and subcontracts for all segments if the effect of a change results in costs flowing between those segments; 3 for',
18899:'noncompliances that involve estimating costs, determine the increased or decreased cost to the government for fixedprice contracts and subcontracts as',
18900:'follows: i when the negotiated contract or subcontract price exceeds what the negotiated price would have been had the contractor',
18901:'used acompliant practice, the difference is increased cost to the government. ii when the negotiated contract or subcontract price is',
18902:'less than what the negotiated price would have been had the contractor used acompliant practice, the difference is decreasedcostto thegovernment;',
18903:'subpart 30.6 cas administration 30.606 4 for noncompliances that involve accumulating costs, determine the increased or decreased cost to the',
18904:'government for flexiblypriced contracts and subcontracts as follows: i when the costs that were accumulated under the noncompliant practice exceed',
18905:'the costs that would have been accumulated using a compliant practice from the time the noncompliant practice was first implemented',
18906:'until the date the noncompliant practice was replaced with a compliant practice, the difference is increased cost to the government.',
18907:'ii when the costs that were accumulated under the noncompliant practice are less than the costs that would have been',
18908:'accumulated using a compliant practice from the time the noncompliant practice was first implemented until the date thenoncompliant practice was',
18909:'replaced with a compliantpractice the differenceis decreased cost to the government; 5 calculate the total increase or decrease in contract',
18910:'and subcontract incentives, fees, and profits associated with the increased or decreased costs to the government in accordance with 48',
18911:'cfr 9903.306c. the associated increase or decrease is based on the difference betweenthe negotiatedincentives, fees, and profits and the amounts',
18912:'that would have been negotiated had the contractor used a compliant practice; 6 determine the costimpact of each noncompliance that',
18913:'affects both cost estimating and cost accumulation by combining the cost impacts in paragraphs h3, h4, and h5 of this',
18914:'section; and 7 calculate the increased cost to the government in the aggregate. i remedies. if the contractor does not',
18915:'correct the noncompliance or submit the proposal required in paragraph d or f of this section withinthe specified time, or',
18916:'any extension grantedby the cfao, the cfao shall followthe procedures at 30.604i. 30.606resolving cost impacts. a general. 1 the cfaoshallcoordinate',
18917:'withthe affected contractingofficers beforenegotiating and resolving the cost impact whenthe estimated costimpact on any of their contracts is at least',
18918:'$100,000. however, thecfao has the sole authority for negotiating and resolving the cost impact. 2 the cfao may resolvea cost',
18919:'impactattributed to achange in cost accounting practice or a noncompliance by adjusting a single contract, several but not all contracts,',
18920:'all contracts, or any other suitable method. 3 in resolving thecostimpact,the cfao i shall not combine the cost impacts of',
18921:'any of the following: a a required change and a unilateral change. b a required change and a noncompliance. c',
18922:'a desirable change and a unilateral change. d a desirable change and a noncompliance. ii shall not combine the cost',
18923:'impacts of any of the following unless all of the cost impacts are increased costs to government: a one or',
18924:'more unilateral changes. b one or more noncompliances. c unilateral changes and noncompliances; and iii may consider thecostimpacts of a',
18925:'unilateral change affecting twoor more segments to be a single change if athe change affectsthe flowof costs between segments; or',
18926:'b implements a common cost accounting practice for two or more segments. 4 for desirable changes, the cfao should consider',
18927:'theestimated cost impact ofassociated managementactions on contract costs in resolving the cost impact. b negotiations. thecfao shall 1 negotiate and',
18928:'resolve the cost impact on behalf of all government agencies; and 2 at the conclusion ofnegotiations, preparea negotiationmemorandum and sendcopies',
18929:'tothe auditor and affected contracting officers. c contract adjustments. 1the cfaomay adjust some or all contracts with a material cost',
18930:'impact, subject tothe provisions in paragraphs c2 through c6 of this section. 2 in selecting the contract orcontracts to be',
18931:'adjusted, the cfao should assure, tothe maximum extentpractical and subject to the provisions in paragraphs c3 through c6 of this',
18932:'section, that the adjustments reflect a pro rata share of the cost impact based on the ratio of the cost',
18933:'impact of each executive agency to the total cost impact. 3 for unilateral changes and noncompliances, the cfao shall ito',
18934:'themaximum extent practical, not adjust theprice upward for fixedprice contracts; federal acquisition regulation ii if contract adjustments are made, preclude',
18935:'payment of aggregate increased costs by taking one or both of the following actions: a reduce the contract price on',
18936:'fixedprice contracts. b disallow costs on flexiblypriced contracts; and iii the cfao may, in consultation withthe affected contractingofficers, increase or',
18937:'decrease individual contract prices, including contractcost ceilings or target costs onflexiblypriced contracts. in such cases, the cfaoshall limit any upward',
18938:'contractprice adjustments on affected contracts tothe amountof downward priceadjustments toother affected contracts, i.e., the aggregateprice of all contracts affected bya',
18939:'unilateral change shall not beincreased 48cfr 9903.2016b. 4 for noncompliancesthat involve estimating costs, the cfao i shall, to the extent',
18940:'practical, not adjust the price upward for fixedprice contracts; ii shall, if contract adjustments are made, preclude payment of aggregate',
18941:'increased costs by reducing the contract price on fixedprice contracts; iii may, in consultation with the affectedcontracting officers, increase or',
18942:'decrease individualcontract prices, including costs ceilings or target costs on flexiblypriced contracts. in such cases,the cfao shall limit any upwardcontract',
18943:'price adjustments to affectedcontracts to the amountof downward price adjustments toother affected contracts, i.e., the aggregate priceof all contracts affected',
18944:'by a noncompliancethat involves estimating costs shall not be increased 48 cfr 9903.2016d; iv shall require the contractor to correct',
18945:'the noncompliance, i.e., ensure that compliant cost accounting practices will now be utilized to estimate proposed contract costs; and v',
18946:'shall require the contractor to adjust any invoices that were paid based on noncompliant contract prices to reflect the adjusted',
18947:'contract prices, after any contract price adjustments are made to resolve the noncompliance. 5 for noncompliancesthat involve costaccumulation,the cfao i',
18948:'shall require the contractor to acorrect noncompliant contractcost accumulations inthe contractor’s cost accounting records for affected contracts to reflect compliant',
18949:'contract cost accumulations; and b adjust interim payment requests public vouchers and/or progress payments and final vouchers to reflect thedifference',
18950:'between the costs paid using the noncompliant practice and thecosts thatshouldhavebeenpaid using the compliant practice; or iishalladjust contract prices. in',
18951:'adjusting contractprices, thecfao shall preclude payment ofaggregate increased costs by disallowing costs on flexiblypriced contracts. athe cfao may, in consultation',
18952:'withthe affected contractingofficers, increase ordecrease individual contract prices, including costs ceilings or target costs on flexiblypriced contracts. in suchcases, the',
18953:'cfao shall limit any upward contract price adjustments to affected contracts to theamount of downward price adjustmentsto other affected contracts,',
18954:'i.e., the aggregate priceof all contracts affected by a noncompliancethat involves cost accumulation shall not be increased 48 cfr 9903.2016d.',
18955:'b shall require the contractor to 1 correctcontract cost accumulations in the contractor’s cost accounting records to reflectthe contract price',
18956:'adjustments; and 2 adjust interim payment requests public vouchers and/or progress payments and final vouchers to reflect the contract price',
18957:'adjustments. 6 when contractadjustments aremade, the cfao shall iexecute the bilateral modifications if the cfao and contractor agree on the',
18958:'amount ofthe cost impact and the adjustments see 42.302a11iv; or iiwhen the cfaoand contractor do not agree onthe amountof the',
18959:'cost impactor the contract adjustments, issue a final decision in accordance with 33.211 and unilaterally adjust the contracts. d alternate',
18960:'methods. 1 thecfao mayuse an alternate methodinstead of adjustingcontracts to resolvethe cost impact, provided thegovernment will not pay more, inthe',
18961:'aggregate, than wouldbe paid if the cfao did notuse the alternate method and the contracting parties agree on the use',
18962:'of that alternate method. 2 the cfao may notuse an alternate methodforcontracts when application of the alternatemethod to contracts would',
18963:'result in i an under recovery of monies by the government e.g., due to cost overruns; or subpart 30.6 cas',
18964:'administration 30.607 iidistortionsof incentiveprovisionsandrelationships between target costs, ceiling costs, and actual costs for incentive type contracts. 3 when using analternate',
18965:'method that excludes the costs froman indirect cost pool,the cfao shall i apply such exclusion only to the determination of',
18966:'final indirect cost rates see 42.705; and ii adjust the exclusion to reflect the government participation rate for flexiblypriced contracts',
18967:'and subcontracts. for example, if there are aggregate increased costs to the government of $100,000, and the indirect cost pool',
18968:'where the adjustment isto beeffected hasa government participation rate of50 percentforflexiblypriced contracts and subcontracts, the contractor shall exclude $200,000 from',
18969:'the indirect cost pool $100,000/50% = $200,000. 30.607subcontract administration. when a negotiated cas price adjustment or a determination of noncompliance',
18970:'is required at the subcontract level, the cfao for the subcontractor shall furnish a copy of thenegotiation memorandum or the',
18971:'determination tothe cfao for the contractor ofthe next highertier subcontractor. the cfao of thecontractor or thenext highertier subcontractor shall not',
18972:'change the determination ofthe cfao for the lowertier subcontractor. if the subcontractor refuses to submit a gdm or dci proposal,',
18973:'remedies are made at the prime contractor level. this page intentionally left blank. 30.610 part 31 contract cost principles and',
18974:'procedures sec. 31.000 scope of part. 31.001 definitions. 31.002 availabilityofaccountingguide. subpart 31.1 applicability 31.100 scope of subpart. 31.101 objectives. 31.102',
18975:'fixedprice contracts. 31.103 contracts with commercial organizations. 31.104 contracts with educational institutions. 31.105 construction and architectengineer contracts. 31.106 [reserved] 31.107',
18976:'contracts with state, local, and federally recognized indian tribal governments. 31.108 contractswithnonprofitorganizations. 31.109 advance agreements. 31.110 indirect cost rate certification',
18977:'and penalties on unallowable costs. subpart 31.2 contracts with commercial organizations 31.201 general. 31.2011 composition of total cost. 31.2012 determining',
18978:'allowability. 31.2013 determining reasonableness. 31.2014 determining allocability. 31.2015 credits. 31.2016 accounting for unallowable costs. 31.2017 construction and architectengineer contracts. 31.202',
18979:'direct costs. 31.203 indirect costs. 31.204 application of principles and procedures. 31.205 selected costs. 31.2051 public relations and advertising costs.',
18980:'31.2052 [reserved] 31.2053 bad debts. 31.2054 bonding costs. 31.2055 [reserved] 31.2056 compensation for personal services. 31.2057 contingencies. 31.2058 contributions or',
18981:'donations. 31.2059 [reserved] 31.20510 costofmoney. 31.20511 depreciation. 31.20512 economic planning costs. 31.20513 employee morale, health, welfare, food service, and dormitory',
18982:'costs and credits. 31.20514 entertainment costs. 31.20515 fines,penalties,andmischargingcosts. 31.20516 31.20517 31.20518 31.20519 31.20520 31.20521 31.20522 31.20523 31.20524 31.20525 31.20526 31.20527',
18983:'31.20528 31.20529 31.20530 31.20531 31.20532 31.20533 31.20534 31.20535 31.20536 31.20537 31.20538 31.20539 31.20540 31.20541 31.20542 31.20543 31.20544 31.20545 31.20546 31.20547',
18984:'31.20548 31.20549 31.20550 31.20551 31.20552 31.301 31.302 31.303 gains and losses on disposition or impairment of depreciable property or other',
18985:'capital assets. idle facilities and idle capacity costs. independent research and development and bid and proposal costs. insurance and indemnification.',
18986:'interest and other financial costs. labor relations costs. lobbying and political activity costs. losses on other contracts. [reserved] manufacturing and',
18987:'production engineering costs. material costs. organization costs. other business expenses. plant protection costs. patent costs. plant reconversion costs. precontract costs.',
18988:'professional and consultant service costs. recruitment costs. relocation costs. rental costs. royalties and other costs for use of patents. selling',
18989:'costs. service and warranty costs. special tooling and special test equipment costs. taxes. terminationcosts. trade, business, technical and professional activity',
18990:'costs. training and education costs. [reserved] travel costs. costs related to legal and other proceedings. research and development costs. goodwill.',
18991:'[reserved] costs of alcoholic beverages. asset valuations resulting from business combinations. subpart 31.3 contracts with educational institutions purpose. general. requirements.',
18992:'subpart 31.4 [reserved] subpart 31.5 [reserved] subpart 31.7 contracts with nonprofit organizations subpart 31.6 contracts with state, 31.701 purpose. local,',
18993:'and federally recognized 31.702 general. indian tribal governments 31.703 requirements. 31.601 purpose. 31.602 general. 31.603 requirements. 31.000scope of part. this',
18994:'part contains cost principles and procedures for a the pricing of contracts, subcontracts, and modifications to contracts and subcontracts whenever',
18995:'cost analysis is performed see 15.4041c; and b the determination, negotiation, or allowance of costs when required by a contract',
18996:'clause. 31.001definitions. as used in this part accrued benefit cost method means an actuarial cost method under which units of',
18997:'benefits are assigned to each cost accounting period and are valued as they accrue; i.e., based on the services performed',
18998:'by each employee in the period involved. the measure of normal cost under this method for each cost accounting period',
18999:'is the present value of the units of benefit deemed to be creditedto employees for service in thatperiod. the measure',
19000:'of the actuarial accrued liabilityat a plan’s inception date is the present value of the units of benefit credited to',
19001:'employees for service prior to that date. this method is also known as the unit credit cost method without salary',
19002:'projection.. accumulating costs means collecting cost data in an organized manner, suchas through a systemof accounts. actual cash value means',
19003:'the cost of replacing damaged property with other property of like kind and quality in the physical condition of the',
19004:'property immediately before the damage. actual costs means except for subpart 31.6 amounts determined on the basis of costs incurred,',
19005:'as distinguished from forecasted costs. actual costs include standard costs properly adjusted for applicable variances. actuarial accrued liability means pension',
19006:'cost attributable, under the actuarial cost method in use, to years prior to the current period considered by a particular',
19007:'actuarial valuation. as of such date, the actuarial accrued liability represents the excess of the present value of future benefits',
19008:'and administrative expenses over the present value of future normal costs for all plan participants and beneficiaries. the excess of',
19009:'the actuarial accrued liability over the actuarial value of the assets of a pension plan is the unfunded actuarial liability.',
19010:'the excess of theactuarial value of theassetsof apensionplan overthe actuarial accrued liability is an actuarial surplus and is treated asa',
19011:'negative unfundedactuarial liability. actuarial assumption means anestimateof futureconditions affecting pension cost; e.g., mortality rate, employee turnover,compensation levels,earningson pensionplan assets,and changes',
19012:'in values of pension plan assets. actuarial cost method means a technique which uses actuarial assumptions to measure the present',
19013:'value of future pension benefits and pension plan administrative expenses, and that assigns the cost of such benefits and expenses',
19014:'to cost accounting periods. the actuarial cost method includes the asset valuation method used to determine the actuarial value of',
19015:'the assets of a pension plan. actuarial gain and loss means theeffect on pension cost resulting from differences between actuarialassumptions',
19016:'and actual experience. actuarial valuation means the determination,as of a specified date, ofthe normal cost, actuarialaccrued liability, actuarial value of',
19017:'the assets of a pension plan, and other relevant values for the pension plan. allocate means to assign an item',
19018:'of cost, or a group of items of cost, to one or more cost objectives. this term includes both direct',
19019:'assignment of cost and the reassignment of a share from an indirect cost pool. compensated personal absence means any absence',
19020:'from work for reasons such asillness, vacation, holidays, jury duty, military training, or personal activities for which an employer pays',
19021:'compensation directly to an employee in accordance with a plan or customof the employer. compensation for personal services means all',
19022:'remuneration paid currently or accrued, in whatever form and whether paid immediately or deferred, for services rendered by employees to',
19023:'the contractor. cost input means the cost, except general and administrative g&a expenses, which for contract costing purposes is allocable',
19024:'to the production of goods and services during a cost accounting period. cost objective means except for subpart 31.6afunction,organizationalsubdivision,contract,orotherworkunitfor which',
19025:'cost data are desired and for which provision is made to accumulate and measure the cost of processes, products, jobs,',
19026:'capitalized projects, etc. deferred compensation means an award made by an employer to compensate an employee in a future cost',
19027:'accounting period or periods for services rendered in one or more cost accounting periods before the date of the receipt',
19028:'of compensation by the employee. this definition shall not include the amount of year end accruals for salaries, wages, or',
19029:'bonuses that are to be paid within a reasonable period of time after the end of a cost accounting period.',
19030:'definedbenefit pension plan means a pension plan in which the benefits to be paid, or the basis for determining such',
19031:'benefits, are established in advance and the contributions are intended to provide the stated benefits. federal acquisition regulation definedcontribution pension',
19032:'plan means a pension plan in which the contributions to be made are established in advance and the benefits are',
19033:'determined thereby. directly associated cost means any cost which is generated solely as a result of the incurrence of another',
19034:'cost, and which would not have been incurred had the other cost not been incurred. estimating costs means the process',
19035:'of forecasting a future result in terms of cost, based upon information available at the time. expressly unallowable cost means',
19036:'a particular item or type of cost which, under the express provisions of an applicable law,regulation, or contract, is specifically',
19037:'named and stated to be unallowable. final cost objective means except for subparts 31.3 and 31.6 a cost objective that',
19038:'has allocated to it both direct and indirect costs and, in the contractor’s accumulationsystem, is one of thefinal accumulation points.',
19039:'fiscal year means the accounting period for which annual financial statements are regularly prepared, generally a period of 12 months,',
19040:'52 weeks, or 53 weeks. funded pension cost means the portion of pension cost for a current or prior cost',
19041:'accounting period that has been paid to a funding agency. home office means an office responsible for directingor managing two',
19042:'or more, but not necessarily all,segments of an organization. it typically establishes policy for, and providesguidance to, the segmentsin their',
19043:'operations. itusually performs management, supervisory, or administrative functions, and may also perform servicefunctions in supportof the operations of thevarioussegments. an',
19044:'organization whichhas intermediate levels, such as groups, may have severalhome offices which report to a common home office. an intermediate',
19045:'organization may be both a segment and ahome office. immediategain actuarial cost method means any of the several actuarial cost',
19046:'methods under which actuarial gains and losses are included as part of the unfunded actuarial liability of the pension plan,',
19047:'rather than as part of the normal cost of the plan. independent research and development ir&d cost means thecostof effort',
19048:'which is neithersponsored by a grant, nor required in performing a contract, and which falls within any of the following',
19049:'four areas a basic research, b applied research, c development, and d systems and other concept formulation studies. indirect cost',
19050:'pools means except for subparts 31.3 and 31.6 groupings of incurred costs identified with two or more cost objectives but',
19051:'not identified specifically with any final cost objective. insurance administration expenses means the contractor’s costs of administering an insurance program;',
19052:'e.g., the costs of operating an insurance or riskmanagement department, processing claims, actuarial fees, and service fees paid to insurance',
19053:'companies, trustees, or technical consultants. intangible capital asset means an asset that has no physical substance, has more than minimal',
19054:'value, and is expected to be held by an enterprise for continued use or possession beyond the current accounting period',
19055:'for the benefits it yields. job means a homogeneous clusterof work tasks, thecompletion of whichserves an enduring purpose for the',
19056:'organization. taken as a whole, the collection of tasks, duties,and responsibilitiesconstitutes the assignment for one ormoreindividuals whose work is of',
19057:'the same nature and is performed at the same skill/responsibility levelas opposed to a position, which is a collection of',
19058:'tasks assigned toa specific individual. within ajob,there may be pay categorieswhich are dependent onthe degree of supervision required by the',
19059:'employee while performing assigned tasks which are performed by all persons with the same job. job class of employees means',
19060:'employees performing in positions within the same job. labor cost at standard means a preestablished measure of the labor element',
19061:'of cost, computed by multiplying laborrate standard by labortime standard. labor market means a place where individuals exchange their labor',
19062:'for compensation. labor markets are identified and defined by a combination of the following factors 1 geography, 2 education and/or',
19063:'technical background required, 3 experience required by the job, 4 licensing or certification requirements, 5 occupational membership, and 6 industry.',
19064:'laborrate standard means a preestablished measure, expressed inmonetary terms, ofthe price oflabor. labortime standard means a preestablished measure, expressed in',
19065:'temporal terms, of the quantity oflabor. material cost at standard means a preestablished measure of the material elements of cost,',
19066:'computed by multiplying materialprice standard by materialquantity standard. materialprice standard means a preestablished measure, expressed in monetary terms, of the',
19067:'price of material. materialquantity standard means a preestablished measure, expressed in physical terms, of the quantity of material. moving average',
19068:'cost means an inventory costing method under which an average unit cost is computed after each acquisition by adding the',
19069:'cost of the newly acquired units to the cost of the units of inventory on hand and dividing this figure',
19070:'by the new total number of units. nonqualified pension plan means any pension plan other than a qualified pension plan',
19071:'as defined in this part. normal cost means the annual cost attributable, under the actuarial cost method in use, to',
19072:'current and future years as of a particular valuation date excluding any paymentin respectof an unfunded actuarial liability. original complement',
19073:'of low cost equipment means a group of items acquired for the initial outfitting of a tangible capital asset or',
19074:'an operationalunit, or a new addition toeither. the items in thegroup individually cost lessthan the minimum amount established by the',
19075:'contractor for capitalization for the classes of assets acquired but in the aggregate they represent a material investment. the group,',
19076:'as a complement, is expected to be held for continued service beyond the current period. initial outfitting of the unit',
19077:'is completed when the unit is ready and available for normal operations. payasyougo cost method means a method of recognizing',
19078:'pension cost only when benefits are paid to retired employees or their beneficiaries. pension plan means a deferred compensation plan',
19079:'established and maintained by one or more employers to provide systematically for the payment of benefits to plan participants after',
19080:'their retirements, provided that the benefits are paid for life or are payable for life at the option of the',
19081:'employees. additional benefits such as permanent and total disability and death payments, and survivorship payments to beneficiaries of deceased employees,',
19082:'may be an integral part of a pension plan. pension plan participant means any employee or former employee of an',
19083:'employer or any member or former member of anemployee organization, whois or may become eligible to receive abenefitfrom a pension',
19084:'plan which coversemployees of such employer or members ofsuch organizationwho have satisfied theplan’s participation requirements, or whose beneficiaries are receiving',
19085:'or may be eligible to receive any such benefit. a participant whose employment status with the employer has not been',
19086:'terminated is an active participant of the employer’spensionplan. profit center means except for subparts 31.3 and 31.6thesmallestorganizationallyindependentsegmentofacompany charged by management',
19087:'with profit and loss responsibilities. projected benefit cost method means either 1 any of the several actuarial cost methods that',
19088:'distribute the estimated total cost of all of the employees’ prospective benefits over a period of years, usually their working',
19089:'careers; or 2 a modification of the accrued benefit cost method that considers projected compensation levels. proposal means any offer',
19090:'or other submission used asa basisforpricing a contract, contractmodification,or termination settlement or for securing payments thereunder. qualified pension plan means',
19091:'a pension plan comprising a definite written program communicated to and for the exclusive benefit of employees that meets the',
19092:'criteria deemed essential by the internal revenue service as set forth in the internal revenue code for preferential tax treatment',
19093:'regarding contributions, investments, and distributions. any other plan is a nonqualified pension plan. selfinsurance charge means a cost which represents',
19094:'the projected average loss under a selfinsurance plan. service life means the period ofusefulness ofa tangible capital asset or groupof',
19095:'assetsto itscurrent owner. the period may be expressed in units of time or output. the estimated service life of a',
19096:'tangible capital asset or group of assets is a current forecast of its service life and is the period over',
19097:'which depreciation cost is to be assigned. spreadgain actuarial cost method means any of the several projected benefit actuarial cost',
19098:'methods under which actuarial gains and losses are included as part of the current and future normal costs of the',
19099:'pension plan. standard cost means any cost computed with the use of preestablished measures. tangible capital asset means an asset',
19100:'that has physical substance, more than minimal value, and is expected to be held by an enterprise for continued use',
19101:'or possession beyond the current accounting period for the services it yields. termination of employment gain or loss meansan actuarial',
19102:'gain orloss resulting from the difference between the assumed and actualratesat which pensionplan participants separate from employment for reasonsotherthan retirement,',
19103:'disability, or death. variance means the differencebetween apreestablishedmeasure and an actualmeasure. federal acquisition regulation weighted average cost means an inventory',
19104:'costing method under which an average unit cost is computed periodically by dividing the sum of the cost of beginning',
19105:'inventory plus the cost of acquisitions by the total number of units included in these two categories. welfare benefit fund',
19106:'means a trust or organization which receives andaccumulatesassetsto beused either for the payment of postretirement benefits, or for the purchase',
19107:'of such benefits, provided such accumulated assets form a part of a postretirement benefit plan. 31.002 availability of accounting guide.',
19108:'contractors needing assistance in developing or improving their accounting systems and procedures may request a copy of the defense contract',
19109:'audit agency pamphlet no.7641.90, information for contractors. the pamphlet is available via the internet at http://www.dcaa.mil. subpart 31.1 applicability 31.100scope',
19110:'of subpart. this subpart describes the applicability of the cost principles and procedures in succeeding subparts of this part to',
19111:'various types of contracts and subcontracts. it also describes the need for advance agreements. 31.101objectives. in recognition ofdiffering organizational characteristics,',
19112:'the costprinciples and procedures inthe succeeding subparts aregrouped basically by organizationaltype; e.g., commercial concerns and educational institutions. the overall objective',
19113:'is to provide that, to the extent practicable,all organizations ofsimilar types doingsimilarworkwill follow thesame cost principles and procedures. to achieve',
19114:'this uniformity, individual deviations concerningcost principlesrequire advance approval of the agency head or designee. class deviations for the civilian agencies',
19115:'require advance approval of the civilian agency acquisition council. class deviations for the national aeronautics and space administration require advance',
19116:'approval ofthe deputy chief acquisition officer. class deviations for the department of defense require advance approval of the principal director,',
19117:'defense pricing and contracting,office of the under secretary ofdefense for acquisition and sustainment. 31.102fixedprice contracts. the applicable subparts of part',
19118:'31 shall be used in the pricing of fixedprice contracts, subcontracts, and modifications to contracts and subcontracts whenever a cost',
19119:'analysis is performed, or ba fixedprice contract clause requires the determination or negotiation of costs. however, application ofcostprinciplesto fixedprice contracts',
19120:'andsubcontractsshall not be construed as a requirement to negotiate agreements on individual elements of cost in arriving at agreement on',
19121:'the total price. the final priceaccepted bythe parties reflects agreement only on the total price. further,notwithstanding the mandatory use of',
19122:'cost principles, the objective will continue to be to negotiate prices that are fair and reasonable, cost and other factors',
19123:'considered. 31.103 contractswith commercial organizations. this category includes all contracts and contract modifications for supplies, services, or experimental, developmental, or',
19124:'research worknegotiated with organizations otherthan educational institutions see 31.104, construction and architect engineer contracts see 31.105, state and local governments',
19125:'see 31.107andnonprofit organizations see 31.108 on the basis of cost. a the cost principles and procedures in subpart 31.2andagencysupplementsshallbeusedinpricingnegotiatedsupply, service,',
19126:'experimental,developmental, and research contractsand contractmodifications with commercialorganizations whenever cost analysis is performed as required by 15.4041c. binaddition,thecontractingofficershallincorporatethecostprinciplesandproceduresin subpart 31.2 and',
19127:'agency supplements by reference in contractswith commercial organizations as the basis for 1 determining reimbursable costs under i costreimbursement contracts',
19128:'and costreimbursement subcontracts under these contracts performed by commercial organizationsand ii the costreimbursement portion of timeandmaterials contracts except when material',
19129:'is priced on a basis other than at cost see 16.601c3; subpart 31.1 applicability 31.105 2 negotiating indirect cost rates',
19130:'see subpart 42.7; 3 proposing, negotiating, or determining costs under terminated contracts see 49.103 and 49.113; 4 price revision of',
19131:'fixedprice incentive contracts see 16.204 and 16.403; 5 price redetermination of price redetermination contracts see 16.205 and 16.206; and 6',
19132:'pricing changes and other contract modifications. 31.104contracts with educational institutions. this category includes all contracts and contract modifications for research',
19133:'and development, training, and other work performed by educational institutions defined as institutions of higher educations in the omb uniform',
19134:'guidance at 2 cfr part 200, subpart a, and 20 u.s.c. 1001. athecontractingofficershallincorporatethecostprinciplesandproceduresin subpart 31.3 by reference in cost reimbursement',
19135:'contracts with educational institutions as the basis for 1 determining reimbursable costs under the contracts and costreimbursement subcontracts thereunder performed',
19136:'by educational institutions; 2 negotiating indirect cost rates; and 3 settling costs of costreimbursement terminated contracts see subpart 49.3 and',
19137:'49.1097. b the cost principles in this subpart are to be used as a guide in evaluating costs in connection',
19138:'with negotiating fixed price contracts and termination settlements. 31.105 construction and architectengineer contracts. a this categoryincludes all contracts and contract',
19139:'modificationsnegotiated on the basis of cost with organizations other than educational institutions see 31.104, state and local governments see 31.107,',
19140:'and nonprofit organizations except those exempted under omb uniform guidance at 2 cfr part 200, appendix viii see 31.108 for',
19141:'construction management or construction,alterationor repair of buildings, bridges,roads,or other kinds of real property. it also includes architect engineer contracts related',
19142:'to construction projects. it does not include contracts for vessels, aircraft, or other kinds of personal property. b except as',
19143:'otherwise provided in d of this section, the cost principles and procedures in subpart 31.2 shall be used in the',
19144:'pricing of contracts and contract modifications in this category if cost analysis is performed as required by 15.4041c. cinaddition,thecontractingofficershallincorporatethecostprinciplesandproceduresin subpart',
19145:'31.2 as modified by d of this section by reference in contracts in this category as the basis for 1',
19146:'determining reimbursable costs under costreimbursement contracts, including costreimbursement subcontracts thereunder; 2 negotiating indirect cost rates; 3 proposing, negotiating, or determining',
19147:'costs under terminated contracts; 4 price revision of fixedprice incentive contracts; and 5 pricing changes and other contract modifications. d',
19148:'except as otherwise provided in this paragraph d, the allowability of costs for construction and architectengineer contracts shall be determined',
19149:'in accordance with subpart 31.2. 1 because of widely varying factors such as the nature, size, duration, and location of',
19150:'the construction project, advance agreements as set forth in 31.109, for suchitemsas homeoffice overhead, partners’ compensation, employment of consultants, and',
19151:'equipment usage costs, are particularly important in construction and architectengineer contracts. when appropriate, they serve to express the parties’ understanding',
19152:'and avoid possible subsequent disputes or disallowances. 2 construction equipment, as used in this section, means equipment including marine equipment',
19153:'in sound workable condition, either owned or controlled by the contractoror the subcontractor at any tier, or obtained from a',
19154:'commercial rental source, and furnished for use under government contracts. i allowable ownership and operating costs shall be determined as',
19155:'follows: a actual cost data shall be used when such data can be determined for both ownership and operations costs',
19156:'for each piece of equipment, or groups of similar serial or series equipment, fromthe contractor’s accounting records. when such costs',
19157:'cannot be so determined, the contracting agency may specify the use of a particular schedule of predetermined rates or any',
19158:'part thereof to determine ownership and operating costs of construction equipment see subdivisions d2i b and c of this section.',
19159:'however, costs otherwise unallowable under this part shall notbecome allowablethroughthe use of any schedule see 31.109c. for example, schedules need',
19160:'to be adjusted for government contract costing purposes if they are based on replacement cost, include unallowable interest costs, or',
19161:'use improper cost of money rates or computations. federal acquisition regulation contracting officersshouldreview the computations and factors included within the',
19162:'specified schedule and ensure that unallowable or unacceptably computed factors are not allowed in cost submissions. b predetermined schedules of',
19163:'construction equipment use rates e.g., the construction equipment ownership and operating expense schedule, published by the u.s. army corps of',
19164:'engineers, industry sponsored construction equipment cost guides, or commercially published schedules of construction equipment use cost provide average ownership and',
19165:'operating rates for construction equipment. the allowance for operating costs may include costs for such items as fuel, filters, oil,',
19166:'andgrease; servicing, repairs, and maintenance;andtire wear and repair. costs of labor, mobilization, demobilization, overhead, and profit are generally not reflected',
19167:'in schedules, and separate considerationmay be necessary. c when a schedule of predetermined use rates for construction equipment is used',
19168:'to determine direct costs, all costs of equipment that are included in the cost allowances provided by the schedule shall',
19169:'be identified and eliminated from thecontractor’sother direct and indirect costs charged tothe contract. if thecontractor’s accountingsystemprovides for site or home',
19170:'officeoverheadallocations, all costs which are included in the equipmentallowances may need to be included in any cost input base before',
19171:'computing the contractor’s overhead rate. in periods ofsuspension of work pursuant toa contract clause, the allowance for equipment ownership shall',
19172:'not exceed an amount for standby cost as determined by the schedule or contract provision. ii reasonable costs of renting',
19173:'construction equipment are allowable but see paragraph c of this subsection. a costs, such as maintenance and minor or running',
19174:'repairs incident to operating such rented equipment, that are not included in the rental rate are allowable. b costs incident',
19175:'to major repair and overhaul of rental equipment are unallowable. c the allowabilityof charges for construction equipment rented fromany division,',
19176:'subsidiary, ororganization under common control, will be determined in accordance with 31.20536b3. 3 costs incurred at the job site incident',
19177:'to performing the work, such as the cost of superintendence, timekeeping and clerical work, engineering, utility costs, supplies, material handling,',
19178:'restoration and cleanup, etc., are allowable as direct or indirect costs,provided the accounting practice usedis inaccordancewith the contractor’s establishedandconsistently followed',
19179:'cost accounting practices for all work. 4 rental and any other costs, less any applicable credits incurred in acquiring the',
19180:'temporary use of land, structures, and facilities are allowable. costs, less any applicable credits, incurred in constructing or fabricating structures',
19181:'and facilities of a temporary nature are allowable. 31.106[reserved] 31.107 contractswith state, local, and federally recognized indian tribal governments. a',
19182:'subpart 31.6 provides principles and standards for determining costs applicable to contracts with state, local, and federally recognized indian tribal',
19183:'governments. they provide the basis for a uniform approach to the problem of determining costsandto promoteefficiencyandbetter relationships between state, local,and',
19184:'federally recognized indian tribal governments, and federal government entities. they apply to all programs that involve contracts with state, local,',
19185:'and federally recognized indian tribal governments, except contracts with 1 publicly financed educational institutions subject to subpart 31.3; or 2',
19186:'publicly owned hospitals and other providers of medical care subject to requirements promulgated by the sponsoring government agencies. b the',
19187:'office ofmanagement and budget willapprove any other exceptionsin particular cases when adequate justification is presented. 31.108 contractswith nonprofit organizations. subpart',
19188:'31.7 provides principles andstandards for determining costs applicable tocontracts with nonprofitorganizations other than educational institutions see subpart 31.3, state and',
19189:'local governments see subpart 31.6, and those nonprofit organizationsexemptedundertheombuniformguidanceat2 cfr part 200, appendix viii see subpart 31.2 for the cost',
19190:'principles applicable tononprofit organizations exempt from the cost principles in the omb uniformguidance at 2 cfr part 200. 31.109 advance',
19191:'agreements. a the extent of allowability of the costs covered in this part applies broadly to many accounting systems in',
19192:'varying contract situations. thus, the reasonableness, the allocability and the allowability under the specific cost principles at subparts subpart 31.1',
19193:'applicability 31.110 31.2, 31.3, 31.6, and 31.7 of certain costs may be difficult to determine. to avoid possible subsequent disallowance',
19194:'or dispute based on unreasonableness, unallocability or unallowability under the specific cost principles at subparts 31.2, 31.3, 31.6, and 31.7,',
19195:'contracting officersandcontractors should seek advanceagreement on thetreatmentof special or unusual costs and on statistical sampling methodologies at 31.2016c. however, an',
19196:'advance agreement is not an absolute requirement and the absence of anadvance agreementon any cost will not, initself,affect the reasonableness,',
19197:'allocability or the allowability under the specific cost principles at subparts 31.2, 31.3, 31.6, and 31.7 of that cost. b',
19198:'advance agreements may be negotiated either before or during a contract but should be negotiated before incurrence of the costs',
19199:'involved. the agreements must be in writing, executed by both contracting parties, and incorporated into applicable current and future contracts.',
19200:'an advance agreement shall contain a statement of its applicability and duration. c thecontracting officer is notauthorized by this 31.109',
19201:'to agree to a treatment of costs inconsistent with this part. for example, an advance agreement may not provide that,',
19202:'notwithstanding 31.20520, interest is allowable. d advance agreements may be negotiated with a particular contractor for a single contract, a',
19203:'group of contracts, or all the contracts ofa contractingoffice, an agency, orseveral agencies. ethecognizantadministrativecontractingofficeraco,orothercontractingofficerestablishedin part 42, shall negotiate advance agreements',
19204:'except that an advance agreement affecting only one contract, or class of contracts from a single contracting office, shall be',
19205:'negotiated by a contracting officerin thecontracting office, or an aco when delegated by thecontracting officer. when the negotiation authority isdelegated,',
19206:'theaco shall coordinate the proposed agreementwith thecontracting officer beforeexecuting the advance agreement. f before negotiating an advance agreement, the government',
19207:'negotiator shall 1 determine if other contracting offices insidethe agencyor in other agencies have a significantunliquidateddollar balance in contracts with',
19208:'the same contractor; 2 inform any such office oragency of the mattersunder consideration for negotiation; and 3 asappropriate, invitethe officeor',
19209:'agency and the responsible audit agency to participate in prenegotiation discussions and/or in the subsequent negotiations. g upon completion of',
19210:'the negotiation, the sponsor shall prepare and distribute to other interestedagencies and offices, including the audit agency, copies of theexecuted',
19211:'agreementanda memorandum providing the information specified in 15.4063, as applicable. h examples for which advance agreements may be particularly important',
19212:'are 1 compensation for personal services,including but not limited toallowances for offsite pay, incentive pay, location allowances,hardship pay, cost of',
19213:'living differential, and termination of defined benefit pension plans; 2 use charges for fully depreciated assets; 3 deferred maintenance costs;',
19214:'4 precontract costs; 5 independent research and development and bid and proposal costs; 6 royalties and other costs for use',
19215:'of patents; 7 selling and distribution costs; 8 travel and relocation costs, as related to special or mass personnel movements,',
19216:'asrelated to travelvia contractor owned, leased, or chartered aircraft; or as related to maximum per diem rates; 9 costs of',
19217:'idle facilities and idle capacity; 10 severance pay to employees on support service contracts; 11 plantreconversion; 12 professional services e.g.,',
19218:'legal, accounting, and engineering; 13 general and administrative costs e.g., corporate, division, or branch allocations attributable to the general management,',
19219:'supervision, and conduct of the contractor’s business as a whole. thesecosts are particularly significant in construction, jobsite, architectengineer, facilities, and',
19220:'governmentowned contractor operated goco plant contracts see 31.203h; 14 costs of construction plant and equipment see 31.105d; 15 costs of',
19221:'public relations and advertising; and 16 statistical sampling methods see 31.2016c4. 31.110indirectcost rate certification and penalties on unallowable costs. a',
19222:'certain contracts require certification of the indirect cost rates proposed for final payment purposes. see 42.7032 for administrative procedures regarding',
19223:'the certification provisions and the related contract clause prescription. federal acquisition regulation b if unallowable costs are included in final',
19224:'indirect cost settlement proposals, penalties may be assessed. see 42.709 for administrative procedures regarding the penalty assessment provisions and the',
19225:'related contract clause prescription. subpart 31.2 contracts with commercial organizations 31.2014 subpart 31.2 contracts with commercial organizations 31.201general. 31.2011 composition',
19226:'of total cost. a the total cost, including standard costs properly adjusted for applicable variances, of a contract is the',
19227:'sum of the direct and indirect costs allocable to the contract, incurred or to be incurred, plus any allocable cost',
19228:'of money pursuant to 31.20510, less any allocable credits. in ascertaining what constitutes a cost, any generally accepted method of',
19229:'determining or estimating costs that is equitable and is consistently applied may be used. b while the total cost of',
19230:'a contract includes all costs properly allocable to the contract, the allowable costs to the government are limited to those',
19231:'allocable costs which are allowable pursuant to part 31 and applicable agency supplements. 31.2012determining allowability. a a cost is allowable',
19232:'only when the cost complies with all of the following requirements: 1 reasonableness. 2 allocability. 3 standards promulgated by the',
19233:'cas board, if applicable, otherwise, generally accepted accounting principles and practices appropriate to the circumstances. 4 terms of thecontract. 5',
19234:'any limitations set forth in this subpart. b certain cost principles in this subpart incorporate the measurement, assignment, and allocability',
19235:'rules of selected cas and limit the allowability of costs to the amounts determined using the criteria in those selected',
19236:'standards. only those cas or portions of standards specifically made applicable by the cost principles in this subpart are mandatory',
19237:'unless the contract is cascovered see part 30. business units that are not otherwise subject to these standards under a',
19238:'cas clause are subject to the selected standards only for the purpose of determining allowability of costs on government contracts.',
19239:'including the selected standards in the cost principles does not subject the business unit to any other cas rules and',
19240:'regulations. the applicability of thecas rules and regulations is determinedby the cas clause,if any, in the contract and the requirements',
19241:'of the standards themselves. c when contractor accounting practices are inconsistent with this subpart 31.2, costs resulting from such inconsistent',
19242:'practices in excess of the amount that would have resulted from using practices consistent with this subpart are unallowable. d',
19243:'a contractor is responsible for accounting for costs appropriately and for maintaining records, including supporting documentation, adequate to demonstrate that',
19244:'costs claimed have been incurred, are allocable to the contract, and comply with applicable costprinciples in this subpart and agency',
19245:'supplements. the contracting officermay disallow allor part of a claimed cost that is inadequately supported. 31.2013determining reasonableness. a a cost',
19246:'is reasonable if, in its nature and amount, it does not exceed that which would be incurred by a prudent',
19247:'person in the conduct of competitive business. reasonableness of specific costs must be examined with particular care in connection with',
19248:'firmsor their separatedivisions that may not besubject to effective competitive restraints. no presumption of reasonablenessshallbe attached tothe incurrence of costs',
19249:'by acontractor. if an initial review of the facts results in a challenge of a specific cost by the contracting',
19250:'officer orthe contracting officer’s representative,the burden ofproof shall be upon the contractor to establish that such cost is reasonable. b',
19251:'what is reasonable depends upon a variety of considerations and circumstances, including 1 whetheritis the typeof cost generally recognized as',
19252:'ordinary and necessary for the conduct of thecontractor’s business or the contract performance; 2 generally accepted sound business practices, arm’slength',
19253:'bargaining, and federal and state laws and regulations; 3 the contractor’s responsibilities to the government, other customers, the owners of',
19254:'the business, employees,and thepublicat large; and 4 any significantdeviationsfrom the contractor’s established practices. 31.2014determining allocability. a cost is allocable if',
19255:'it is assignable or chargeable toone or more cost objectives on the basis of relativebenefits received or other equitable relationship.',
19256:'subject to the foregoing, a cost is allocable to a government contract if it 31.2015 federal acquisition regulation a is',
19257:'incurred specifically for the contract; b benefits both the contract and other work, and can be distributed to them in',
19258:'reasonable proportion to the benefits received; or c is necessary to the overall operation of the business, although a direct',
19259:'relationship to any particular cost objective cannot be shown. 31.2015credits. the applicable portion of any income, rebate, allowance, or other',
19260:'credit relating to any allowable cost and received by or accruing to the contractor shall be credited to the government',
19261:'either as a cost reduction or by cash refund. see 31.2056j3 for rules governing refund or credit to the government',
19262:'associated with pension adjustments and asset reversions. 31.2016 accounting for unallowable costs. a costs that are expressly unallowable or mutually',
19263:'agreed to be unallowable, including mutually agreed to be unallowable directly associated costs, shall be identified and excluded from any',
19264:'billing, claim, or proposal applicable to a government contract. a directly associated cost is any cost that is generated solely',
19265:'as a result of incurring another cost, and that would not have been incurred had the other cost not been',
19266:'incurred. when an unallowable cost is incurred, its directly associated costs are also unallowable. b costs that specifically become designated',
19267:'as unallowable or as unallowable directly associated costs of unallowable costs asa result of a written decision furnished bya contractingofficer',
19268:'shall be identified ifincluded inor used in computing any billing, claim, or proposal applicable to a government contract. this identification',
19269:'requirement applies also to any costs incurred for the same purpose under like circumstances as the costs specifically identified as',
19270:'unallowable under either this paragraph or paragraph a of this subsection. c 1 the practices for accounting for and presentation',
19271:'of unallowable costs must be those described in 48 cfr 9904.405, accounting for unallowable costs. 2 statistical sampling is an',
19272:'acceptable practice for contractors to follow in accounting for and presenting unallowable costs provided the criteria in paragraphs c2i, c2ii,',
19273:'and c2iii of this subsection are met: i the statistical sampling results in an unbiased sample that is a reasonable',
19274:'representation of the sampling universe. iiany largedollarvalue or high risktransactionis separately reviewed for unallowable costs and excluded from the sampling',
19275:'process. iii the statistical sampling permits audit verification. 3 for any indirect cost in the selected sample that is subject',
19276:'to the penalty provisions at 42.709, the amount projected to the sampling universe from that sampled cost is also subject',
19277:'to the same penalty provisions. 4 use of statistical sampling methods for identifying and segregating unallowable costs should be the',
19278:'subject of an advance agreement under the provisions of 31.109 between the contractor and the cognizant administrative contracting officer orfederal',
19279:'official. theadvance agreementshouldspecify the basic characteristics of thesamplingprocess. the cognizantadministrative contracting officer or federalofficial shall request input from thecognizant auditor',
19280:'before entering into any such agreements. 5 in the absence of an advance agreement, if an initial review of the',
19281:'facts results in a challenge of the statistical sampling methods by the contracting officer orthe contracting officer’s representative,the burden of',
19282:'proof shall be on the contractor to establish that such a method meets the criteria in paragraph c2 of this',
19283:'subsection. d if a directly associated cost is included in a cost pool that is allocated over a base that',
19284:'includes the unallowable cost with which it is associated, the directly associated cost shall remain in the cost pool. since',
19285:'the unallowable costs will attract their allocable share of costs from the cost pool, no further action is required to',
19286:'assure disallowance of the directly associated costs. inall other cases,the directly associated costs, if material in amount, must be purged',
19287:'from the cost pool as unallowable costs. e 1 in determining the materiality of a directly associated cost, consideration should',
19288:'be given to the significance of i the actual dollar amount, iithe cumulative effect of all directly associated costs in',
19289:'a cost pool, and iii the ultimate effect on the costof government contracts. 2 salary expenses of employees who participate',
19290:'in activities that generate unallowable costs shall be treated as directly associated costs to theextent of the time spent on',
19291:'the proscribed activity,provided the costs are material in accordance with paragraph e1 of this subsection except when such salary expenses',
19292:'are, themselves, unallowable. the time spent in proscribed activities should be compared to total time spent on company activities to',
19293:'determine if the costs are subpart 31.2 contracts with commercial organizations 31.203 material. time spent byemployees outside the normal working',
19294:'hours should notbe consideredexceptwhen it is evident that an employee engages so frequently in company activities during periods outside normal',
19295:'working hours as to indicate that suchactivities are a part of the employee’s regular duties. 3 when a selected item',
19296:'of cost under 31.205 provides that directly associated costs be unallowable, such directly associated costs are unallowable only if determined',
19297:'to be material in amount in accordance with the criteria provided in paragraphs e1 and e2 of this subsection, except',
19298:'in those situations where allowance of any of the directly associated costs involved would be considered to be contrary topublic',
19299:'policy. 31.2017construction and architectengineer contracts. specific principles and procedures for evaluating and determining costs in connection with contracts and subcontracts',
19300:'for construction, and architectengineer contracts related to construction projects, are in 31.105. the applicability of these principles and procedures is',
19301:'set forth in 31.000 and 31.100. 31.202 direct costs. a no final cost objective shall have allocated to it as',
19302:'a direct cost any cost, if other costs incurred for the same purpose in like circumstances have been included in',
19303:'any indirect cost pool to be allocated to that or any other final cost objective. direct costs of the contract',
19304:'shall be charged directly to the contract. all costsspecifically identifiedwith other final costobjectives of the contractor aredirect costs of those',
19305:'cost objectives and arenot to be charged to the contractdirectlyor indirectly. b for reasons ofpracticality, thecontractor may treatanydirect cost of',
19306:'a minordollaramount as an indirect costif the accounting treatment 1 is consistently applied to all final cost objectives; and 2',
19307:'produces substantially the same results as treating the cost as a direct cost. 31.203 indirect costs. a for contracts subject',
19308:'to full cas coverage, allocation of indirect costs shall be based on the applicable provisions. for all other contracts, theapplicable',
19309:'cas provisions inparagraphs b through h of this section apply. b afterdirect costs have been determined andcharged directly to the',
19310:'contract orother work, indirect costs are those remaining to be allocated to intermediate or two or more final cost objectives.',
19311:'no final cost objective shall have allocated to it as an indirect cost any cost, if other costs incurred for',
19312:'the same purpose, in like circumstances, have been included as a direct cost of that or any other final cost',
19313:'objective. c the contractor shall accumulate indirect costs by logical cost groupings with due consideration of the reasons for incurring',
19314:'such costs. the contractor shall determine each grouping so as to permit use of an allocation base that is common',
19315:'to all cost objectives to which the grouping is to be allocated. the base selected shall allocate the grouping on',
19316:'the basis of the benefits accruing to intermediate and final cost objectives. when substantially the same results can be achieved',
19317:'through less precise methods, the number and composition of cost groupings should be governed by practical considerations and should not',
19318:'unduly complicate the allocation. d once an appropriate base for allocating indirect costs has been accepted, the contractor shall not',
19319:'fragment the base by removing individual elements. all items properly includable in an indirect cost base shall bear a pro',
19320:'rata share of indirect costs irrespective of their acceptance as government contract costs. for example, when a cost input base',
19321:'is used for the allocation of g&a costs, the contractor shall include in the base all items that would properly',
19322:'be part of the cost input base, whether allowable or unallowable, and these items shall bear their pro rata share',
19323:'of g&a costs. e the method of allocating indirect costs may require revision when there is a significant change in',
19324:'the nature of the business, the extent of subcontracting, fixedasset improvement programs, inventories, the volume of sales and production, manufacturing',
19325:'processes, the contractor’sproducts, or other relevant circumstances. f separatecost groupingsforcosts allocable tooffsitelocations may be necessary to permitequitable distribution of costs',
19326:'on the basis of the benefits accruing to the several cost objectives. g a base period for allocating indirect costs',
19327:'is the cost accounting period during which such costs are incurred and accumulated for allocation to work performed in that',
19328:'period. 1 for contracts subject to full or modified cas coverage, the contractor shall follow the criteria and guidance in',
19329:'48 cfr9904.406 for selecting the cost accounting periods to be used in allocating indirect costs. 2 for contracts other than',
19330:'those subject to paragraph g1 of this section, the base period for allocating indirect costs shall bethe contractor’s fiscal year',
19331:'usedforfinancial reportingpurposesin accordance with generallyaccepted accounting federal acquisition regulation principles. the fiscal year willnormally be 12months,but adifferent period may beappropriatee.g.,',
19332:'when a change in fiscal year occurs due to a business combination or other circumstances. h special care should be',
19333:'exercised in applying the principles of paragraphs c, d, and e of this section when governmentowned contractoroperatedgoco plantsare involved. the',
19334:'distribution of corporate, divisionor branch office g&a expenses to such plants operating with little or no dependence on corporate administrative',
19335:'activities may require more precise cost groupings, detailed accounts screening, and carefully developed distribution bases. iindirect coststhat meetthe definitionof excessivepassthrough',
19336:'charge in 52.21523, are unallowable. 31.204 application ofprinciples and procedures. a costs are allowable to the extent they are reasonable,',
19337:'allocable, and determined to be allowable under 31.201, 31.202, 31.203, and 31.205. these criteria applyto all of the selecteditems that',
19338:'follow, even if particular guidance is provided for certain items for emphasis or clarity. b 1 for the following subcontract',
19339:'types, costs incurred as reimbursements or payments to a subcontractor are allowable to the extent the reimbursements or payments are',
19340:'for costs incurred by the subcontractor that are consistent with this part: i costreimbursement. ii fixedprice incentive. iii price redeterminable',
19341:'i.e., fixedprice contracts with prospective price redetermination and fixedceilingprice contracts with retroactive price redetermination. 2 the requirements of paragraph b1',
19342:'of this section apply to any tier above the first firmfixedprice subcontract or fixedprice subcontract with economic price adjustment provisions.',
19343:'c costs incurred as payments under firmfixedprice subcontracts or fixedprice subcontracts with economic price adjustment provisions or modifications thereto, for',
19344:'which subcontract cost analysis was performed are allowable if the price was negotiated in accordance with 31.102. d section 31.205',
19345:'does not cover every element of cost. failure to include any item of cost does not imply that it is',
19346:'either allowable or unallowable. the determination of allowability shall be based on the principles and standards in this subpart and',
19347:'the treatment of similar or related selected items. when more than one subsection in 31.205 is relevant to a contractor',
19348:'cost, the cost shall be apportioned among the applicable subsections, and the determination of allowability of each portion shall be',
19349:'based on the guidance contained in the applicable subsection. when a cost, to which more than one subsection in 31.205',
19350:'is relevant, cannot be apportioned, the determination of allowability shall be based on the guidance contained in the subsection that',
19351:'most specifically deals with, or best captures the essential nature of, the cost at issue. 31.205selected costs. 31.2051public relations and',
19352:'advertising costs. a public relations means all functions and activities dedicated to 1 maintaining, protecting, and enhancing the image of',
19353:'a concern or its products; or 2 maintaining or promoting reciprocal understanding and favorable relations withthe public at large, orany',
19354:'segment of the public. the term public relations includes activities associated with areas such as advertising, customer relations, etc. b',
19355:'advertising means the use of media to promote the sale of products or services and to accomplish the activities referred',
19356:'to in paragraph d of this subsection, regardless of the medium employed, when the advertiser has control over the form',
19357:'and content of what will appear, themedia in which it will appear, and when it will appear. advertisingmedia include but',
19358:'are not limited to conventions, exhibits, free goods, samples, magazines, newspapers, trade papers, direct mail, dealer cards, window displays, outdoor',
19359:'advertising, radio, and television. c public relations and advertising costs include the costs of media time and space, purchased services',
19360:'performed by outside organizations, as well asthe applicable portion of salaries,travel, and fringe benefits of employees engaged in the functions',
19361:'and activities identified in paragraphs a and b of this subsection. d the only allowable advertising costs are those that',
19362:'are 1 specifically required by contract, or that arise from requirements of government contracts, and that are exclusively for i',
19363:'acquiring scarce items for contract performance; or ii disposing of scrap or surplus materials acquired for contract performance; subpart 31.2',
19364:'contracts with commercial organizations 31.2055 2 costs of activities to promote sales of products normally sold to the u.s. government,',
19365:'including trade shows, which contain a significant effort to promote exports from theunited states. such costs areallowable, notwithstanding paragraphs f1,',
19366:'f3, f4ii, and f5of this subsection. however,such costs donot include the costsof memorabilia e.g., models, gifts, and souvenirs, alcoholic beverages,',
19367:'entertainment, and physical facilities that are used primarily for entertainment rather than product promotion; or 3 allowable in accordance with',
19368:'31.20534. e allowable public relations costs include the following: 1 costs specifically required by contract. 2 costs of i responding',
19369:'to inquiries on company policies and activities; ii communicating with the public, press, stockholders, creditors, and customers; and iii conducting',
19370:'general liaisonwith news mediaand government public relations officers,to theextent that such activities are limited to communication and liaison necessary to',
19371:'keep the public informed on matters of public concern such as notice of contractawards, plant closings or openings, employee layoffs',
19372:'or rehires, financial information, etc. 3 costs of participation in community service activities e.g., blood bank drives, charity drives, savings',
19373:'bond drives, disaster assistance, etc. but see paragraph f8 of this section. 4 costs of plant tours and open houses',
19374:'but see paragraph f5 of this subsection. 5 costs of keel laying, ship launching, commissioning, and rollout ceremonies, to the',
19375:'extent specifically provided for by contract. f unallowable public relations and advertising costs include the following: 1 all public relations',
19376:'and advertising costs, other than those specified in paragraphs d and e of this subsection, whose primary purpose is to',
19377:'promote the sale of products or services by stimulating interest in a product or product line except for those costs',
19378:'made allowable under 31.20538b5, or by disseminating messages calling favorable attention to thecontractor for purposes of enhancing thecompany image to',
19379:'sell the company’s productsor services. 2 all costsof trade shows and other special eventswhich do not contain a significant effort',
19380:'to promote the export sales of products normally sold to the u.s. government. 3 costs of sponsoring meetings, conventions, symposia,',
19381:'seminars, and other special events when the principal purpose of the event is other than dissemination of technical information or',
19382:'stimulation of production. 4 costs of ceremonies such as i corporate celebrations and ii new product announcements. 5 costs of',
19383:'promotional material, motion pictures, videotapes, brochures, handouts, magazines, and other media that are designed to call favorable attention to the',
19384:'contractor and its activities. 6 costs of souvenirs, models, imprinted clothing, buttons, and other mementos provided to customers or the',
19385:'public. 7 costs of memberships in civic and community organizations. 8 costs associated with the donation of excess food to',
19386:'nonprofit organizationsin accordance with thefederal food donation act of 2008 42 u.s.c. 1792, see subpart 26.4. 31.2052 [reserved] 31.2053 bad',
19387:'debts. bad debts, including actual or estimated losses arising from uncollectible accounts receivable due from customers and other claims, and',
19388:'any directly associated costs such as collection costs, and legal costs are unallowable. 31.2054 bonding costs. a bonding costs arise',
19389:'when the government requires assurance against financial loss to itself or others by reason of the act or default of',
19390:'the contractor. they arise also ininstanceswhere the contractorrequiressimilar assurance. included are such bonds as bid, performance, payment, advance payment, infringement,',
19391:'and fidelity bonds. b costs of bonding required pursuant to the terms of the contract are allowable. c costs of',
19392:'bonding required by the contractor in the general conduct of its business are allowable to the extent that such bonding',
19393:'is in accordance with sound business practice and the rates and premiums are reasonable under the circumstances. 31.2055 [reserved] 31.2056',
19394:'federal acquisition regulation 31.2056 compensation for personal services. a general. compensation for personal services is allowable subject to the following',
19395:'general criteria and additional requirements contained in other parts of this cost principle: 1 compensation for personal services must be',
19396:'for work performed by the employee in the current year and must not represent a retroactive adjustment of prior years’',
19397:'salaries or wages but see paragraphs g, h, j, k, m, and o of this subsection. 2 the total compensation',
19398:'for individual employees or job classes of employees must be reasonable for the work performed; however, specificrestrictions on individual compensation',
19399:'elementsapply when prescribed. 3 the compensationmust be based upon and conform to the termsand conditions of the contractor’s established compensation',
19400:'planor practice followed soconsistently as to imply, in effect,an agreement to make thepayment. 4 no presumption of allowability will exist',
19401:'where the contractor introduces major revisions of existing compensation plans or new plans and the contractor has not provided the',
19402:'cognizant aco, either before implementation or within a reasonable period after it, an opportunity to review the allowability of the',
19403:'changes. 5 costs that are unallowable under other paragraphs of this subpart 31.2 are not allowable under this subsection 31.2056',
19404:'solely on the basis that they constitute compensation for personal services. 6 i compensation costs for certain individuals give rise',
19405:'to the need for special consideration. such individuals include: a owners of closely held corporations, members of limited liability companies,',
19406:'partners, sole proprietors, or members of their immediate families; and b persons who are contractually committed to acquire a substantialfinancialinterest',
19407:'in the contractor’s enterprise. ii for these individuals, compensation must a be reasonable for the personal services rendered; and b',
19408:'not be a distribution of profits which is not an allowable contract cost. iii for owners of closely held companies,',
19409:'compensation in excess of the costs that are deductible as compensation under the internal revenue code 26 u.s.c. and regulations',
19410:'under it is unallowable. b reasonableness 1 compensation pursuant to labormanagement agreements. if costs of compensation established under arm’s length',
19411:'labormanagement agreements negotiatedunder theterms ofthe federallabor relations act or similar state statutes are otherwise allowable, the costs are reasonable unless,',
19412:'as applied to work in performing government contracts, the costs are unwarranted by the character and circumstances of the work',
19413:'or discriminatory against the government. the application of the provisions of a labormanagement agreement designed to apply to a given',
19414:'set of circumstances and conditions of employment e.g., work involving extremely hazardous activities or work not requiring recurrent use of',
19415:'overtime is unwarranted when applied to agovernment contractinvolvingsignificantlydifferent circumstances and conditions of employment e.g., work involving less hazardous activities or',
19416:'work continually requiring use of overtime. it is discriminatory against the government if it results in employee compensation in whatever',
19417:'form or name in excess of that being paid for similar nongovernment work under comparable circumstances. 2 compensation not covered',
19418:'by labormanagement agreements. compensation for each employee or job class of employees must be reasonable for the work performed. compensation',
19419:'is reasonable if the aggregate of each measurable and allowable element sums to a reasonable total. in determining the reasonableness',
19420:'of total compensation, consider only allowable individual elements of compensation. in addition to the provisions of 31.2013, in testing the',
19421:'reasonableness of compensation for particular employees or job classes of employees, consider factors determined to be relevant by the contracting',
19422:'officer. factors that may be relevant include, butare not limited to, conformity with compensation practicesof other firms i of the',
19423:'same size; ii in the same industry; iii in the same geographic area; and iv engaged in similar nongovernment work',
19424:'under comparable circumstances. c [reserved] d form of payment. 1 compensation for personal services includes compensation paid or to be',
19425:'paid in the future to employees in the form of i cash; ii corporate securities, such as stocks, bonds, and',
19426:'other financial instruments see paragraph d2 of this subsection regarding valuation; or subpart 31.2 contracts with commercial organizations 31.2056 iii',
19427:'other assets, products, or services. 2 when compensation is paidwith securities of the contractor or of an affiliate, thefollowing additional',
19428:'restrictions apply: ivaluation placed onthe securities isthe fair market value onthe first date the number of shares awarded is known,',
19429:'determined upon the most objective basis available. ii accruals for the cost of securities before issuing the securities to the',
19430:'employees are subject to adjustment according to the possibilities that the employees will not receive the securities and that their',
19431:'interest in the accruals will be forfeited. e income tax differential pay. 1 differential allowances for additional incometaxes resultingfrom foreignassignments',
19432:'are allowable. 2 differentialallowances for additional income taxesresulting from domestic assignmentsare unallowable. however, payments for increased employee income or federal',
19433:'insurance contributions act taxesincident to allowable reimbursed relocation costs are allowable under 31.20535a10. f bonuses and incentive compensation. 1 bonuses',
19434:'and incentive compensation are allowable provided the iawards are paid or accrued under an agreemententered into in good faith between',
19435:'the contractor and the employees before the services are rendered or pursuant to an established plan or policy followed by',
19436:'the contractor so consistentlyas to imply, ineffect, an agreement to makesuch payment;and ii basis for the award is supported. 2',
19437:'when the bonus and incentive compensation payments are deferred, the costs are subject to the requirements of paragraphs f1 and',
19438:'k of this subsection. g severance pay. 1 severance pay is a payment in addition to regular salaries and wages',
19439:'by contractors to workers whose employment is being involuntarily terminated. payments for early retirement incentive plans are covered in paragraph',
19440:'j6 of this subsection. 2 severance pay is allowable only to the extent that, in each case, it is required',
19441:'by i law; ii employeremployee agreement; iii established policy that constitutes, in effect,an implied agreement onthe contractor’s part; or iv',
19442:'circumstances of the particular employment. 3 payments made in the event of employment with a replacement contractor where continuity of',
19443:'employment with credit for prior length of service is preserved under substantially equal conditions of employment, or continued employment by',
19444:'the contractor at another facility, subsidiary, affiliate, or parent company of thecontractor are notseverance payandare unallowable. 4 actual normal turnover',
19445:'severance payments shall be allocated to all work performed inthe contractor’s plant. however, if the contractor uses the accrual method',
19446:'to account for normal turnover severance payments, thatmethod will be acceptable if the amount of the accrual is i reasonable',
19447:'in light of payments actually made for normal severances over a representative past period; and iiallocated toall workperformed in the',
19448:'contractor’s plant. 5 abnormal or mass severance pay is of such a conjectural nature that accruals for this purpose are',
19449:'not allowable. however, the government recognizes its obligation to participate, to the extent of its fair share, in any specific',
19450:'payment. thus, the government will consider allowability on a casebycase basis. 6 under 10 u.s.c. 3744a13 and 41 u.s.c. 4304a13,',
19451:'the costs of severance payments to foreign nationals employed under a service contract performed outside the united states are unallowable',
19452:'to the extent that such payments exceed amounts typically paid to employeesproviding similar services in the same industry in the',
19453:'united states. further, under 10 u.s.c. 3744a14 and 41 u.s.c. 4304a14, all such costs of severance payments that are otherwise',
19454:'allowable are unallowable if the termination of employment of the foreign national is the result of the closing of, or',
19455:'the curtailment of activities at, a united states facility in that country at the request of the government of that',
19456:'country; this does not apply if the closing of a facility or curtailment of activities is made pursuant to a',
19457:'statusofforces or other countrytocountry agreement entered into with the government of that country before november 29, 1989. 10 u.s.c. 3744b',
19458:'and 41 u.s.c. 4304b permit the head of the agency to waive these cost allowability limitations under certain circumstances see',
19459:'37.113 and the solicitation provision at 52.2378. h backpay. backpay is a retroactive adjustment of prior years’ salaries or wages.',
19460:'backpay is unallowable except as follows: 31.2056 federal acquisition regulation 1 payments to employees resulting from underpaid work actually performed',
19461:'are allowable, if required by a negotiated settlement, order, or court decree. 2 payments to union employees for the difference',
19462:'in their past and current wage rates for working withouta contract or labor agreement during labor management negotiation are allowable.',
19463:'3 payments to nonunion employees based upon results of union agreement negotiation are allowable only if i a formal agreement',
19464:'or understanding exists between management and the employees concerning these payments; or iian established policy or practice existsand is followed',
19465:'by thecontractor so consistently as to imply,in effect,an agreement to make such payments. i compensation based on changes in the',
19466:'prices of corporate securities or corporate security ownership, such as stock options, stock appreciation rights, phantom stock plans, and junior',
19467:'stock conversions. 1 any compensation which is calculated, or valued, based on changes in the price of corporate securities is',
19468:'unallowable. 2 any compensation represented by dividend payments or which is calculated based on dividend payments is unallowable. 3 if',
19469:'a contractor pays an employee in lieu of the employee receiving or exercising a right, option, or benefit which would',
19470:'have been unallowable under this paragraph i, such payments are also unallowable. j pension costs. 1 pension plans are normally',
19471:'segregated into two types of plans: definedbenefit and defined contribution pension plans. the contractor shall measure, assign, and allocate the',
19472:'costs of all definedbenefit pension plans and the costs of all definedcontribution pension plans in compliance with 48 cfr9904.412cost accounting',
19473:'standard for composition and measurement of pension cost, and 48 cfr9904.413adjustment and allocation of pension cost. pension costs are allowable',
19474:'subject to the referenced standards and the cost limitations and exclusions set forth in paragraph j1i and in paragraphs j2',
19475:'through j6 of this subsection. i except for nonqualified pension plans using the payasyougo cost method, to be allowable in',
19476:'the current year, the contractor shall fund pension costs by the timeset for filing of the federal income taxreturn or',
19477:'anyextension. pension costs assignedto the current year, but not fundedby the tax return time, are notallowable in anysubsequent year. for',
19478:'nonqualified pension plans usingthe payasyougo method,to beallowable in the currentyear, thecontractor shall allocate pension costs in the cost accounting period',
19479:'that the pension costs are assigned. ii pension payments must be paid pursuant to an agreement entered into in good',
19480:'faith between the contractor and employees before the work or services are performed and to the terms and conditions of',
19481:'the established plan. the cost of changes in pension plans are not allowable if the changes are discriminatory to the',
19482:'government or are not intended to be applied consistently for all employees under similar circumstances in the future. iii except',
19483:'as provided for early retirement benefits in paragraph j6 of this subsection, onetimeonly pension supplements not available to all participants',
19484:'of the basic plan are not allowable as pension costs, unless the supplemental benefits represent a separate pension plan and',
19485:'the benefits are payable for life at the option of the employee. iv increases in payments to previously retired plan',
19486:'participants covering costofliving adjustments are allowable if paid in accordance with a policy or practice consistently followed. 2 definedbenefit pension',
19487:'plans. the cost limitations and exclusions pertaining to definedbenefit plans are as follows: i a except for nonqualified pension plans,',
19488:'pension costs see 48 cfr9904.41240a1 assigned to the current accounting period, but not funded during it, are not allowable in',
19489:'subsequent years except that a payment made to a fund by the time set for filing the federal income tax',
19490:'return or any extension thereof is considered to have been made during such taxable year. however, anyportion of pension cost',
19491:'computed for a cost accounting period, that exceeds the amount required to be funded pursuant to a waiver granted under',
19492:'the provisions of the employee retirement income security act of1974 erisa, will be allowable in those future accounting periods in',
19493:'which the funding of such excess amounts occurs see 48 cfr9904.41250c5. b for nonqualified pension plans, except those using the',
19494:'payasyougo cost method, allowable costs are limited to the amount allocable in accordance with 48 cfr9904.41250d2. c for nonqualified pension',
19495:'plans using the payasyougo cost method, allowable costs are limited to the amounts allocable in accordance with 48 cfr9904.41250d3. ii',
19496:'any amount funded in excess of the pension cost assigned to a cost accounting period is not allowable in that',
19497:'period and shall be accounted for as set forth at 48 cfr9904.41250a4. the excess amount is allowable in the future',
19498:'period to which it is assigned, to the extent it is not otherwise unallowable. subpart 31.2 contracts with commercial organizations',
19499:'31.2056 iii increased pension costs are unallowable if the increase is caused by a delay in funding beyond 30 days',
19500:'after each quarter of the year to which they are assignable. if a composite rate is used for allocating pension',
19501:'costs between the segments of a company and if, because of differences inthe timing ofthe funding by the segments, aninequity',
19502:'exists, allowable pension costs for each segment will be limited to thatparticular segment’s calculation of pension costs asprovided for in',
19503:'48 cfr9904.41350c. the contractor shall make determinations of unallowable costs in accordance with the actuarial method used in calculating pension',
19504:'costs. iv the contracting officer will consider theallowability of thecostof indemnifying the pension benefit guaranty corporation pbgc under erisa section',
19505:'4062 or 4064 arising from terminating an employee deferred compensation plan on a casebycase basis, provided that if insurance was',
19506:'required by the pbgc under erisa section 4023, it was so obtained and the indemnification payment is not recoverable under',
19507:'the insurance. consideration under the foregoing circumstances will be primarily for the purpose of appraising the extent to which the',
19508:'indemnification payment is allocable to government work. if a beneficial or other equitable relationship exists, the government will participate, despite',
19509:'the requirements of 31.20519c3 and d3, in the indemnification payment to the extent of its fair share. v increased pension',
19510:'costs resulting from the withdrawal of assets from a pension fund and transfer to another employee benefit plan fund, or',
19511:'transfer of assets to another account within the same fund, are unallowable except to the extent authorized by an advance',
19512:'agreement. if the withdrawal of assets from a pension fund is a plan termination under erisa, the provisions of paragraph',
19513:'j3 ofthis subsection apply. theadvance agreementshall astate the amount of thegovernment’s equitable sharein the gross amount withdrawn or transferred; and',
19514:'b provide that the government receives a credit equalto theamount of the government’sequitable share of the gross withdrawal or transfer.',
19515:'3 pension adjustments and asset reversions. i for segment closings, pension plan terminations, or curtailment of benefits, the amount of',
19516:'the adjustment shall be a for contracts and subcontracts that are subject to full coverage under the cost accounting standards',
19517:'cas board rules and regulations, the amount measured, assigned, and allocated in accordance with 48 cfr9904.41350c12; and b for contracts',
19518:'and subcontracts that are not subject to full coverage under the cas, the amount measured, assigned, and allocated in accordance',
19519:'with 48 cfr9904.41350c12, except the numerator of the fraction at 48 cfr9904.41350c12vi is the sum of the pension plan costs',
19520:'allocated to all noncascovered contracts and subcontracts that are subject to subpart 31.2 or for which certified cost or pricing',
19521:'data were submitted. iifor all other situations where assets revert to the contractor, or such assets are constructivelyreceived by it',
19522:'for any reason, the contractor shall, atthe government’s option, make a refund orgive acredit to the government for itsequitable share',
19523:'of thegross amount withdrawn. the government’s equitableshare shall reflect the government’s participation in pension costs through those contracts for which',
19524:'certified cost or pricing data were submitted or that are subject to subpart 31.2. excise taxes on pension plan asset',
19525:'reversions or withdrawals under this paragraph j3ii are unallowable in accordance with 31.20541b6. 4 definedcontribution pension plans. in addition to',
19526:'definedcontribution pension plans, this paragraph also covers profit sharing, savings plans, and other such plans, provided the plans fall within',
19527:'the definition of a pension plan at 31.001. i allowable pension cost is limited to the net contribution required to',
19528:'be made for a cost accounting period after taking into account dividends and other credits, where applicable. however,any portion of',
19529:'pension cost computed for a cost accounting period that exceeds the amount required to be funded pursuant to a waiver',
19530:'granted under the provisions of erisa will be allowable in those future accounting periods in which the funding of such',
19531:'excess amounts occurs see 48 cfr9904.41250c5. ii the provisions of paragraphs j2ii and iv of this subsection apply to definedcontribution',
19532:'plans. 5 pension plans using the payasyougo cost method. when using the payasyougo cost method, the contractor shall measure, assign,',
19533:'and allocate the cost of pension plans in accordance with 48 cfr9904.412 and 9904.413. pension costs for a pension plan',
19534:'using the payasyougo cost method are allowable to the extent they are not otherwise unallowable. 6 early retirement incentives.an early',
19535:'retirement incentive is an incentivegiven to an employee to retire early. for contract costing purposes, costs of early retirement incentives',
19536:'are allowable subject to the pension cost criteria contained in paragraphs j2i through iv of this subsection provided ithe contractor',
19537:'measures, assigns, and allocatesthe costs in accordance with the contractor’s accounting practices for pension costs; ii the incentives are in',
19538:'accordance with the terms and conditions of an early retirement incentive plan; 31.2056 federal acquisition regulation iii the contractor applies',
19539:'the plan only to active employees. the cost of extending the plan to employees who retired or were terminated before',
19540:'the adoption of the plan is unallowable; and iv the present value of thetotal incentives given to any employee in',
19541:'excess of the amount ofthe employee’s annual salary for the previousfiscalyear before the employee’s retirement is unallowable. thecontractor shall compute',
19542:'the present value in accordance with its accounting practices for pension costs. the contractor shall account for any unallowable costs',
19543:'in accordance with 48 cfr9904.41250a2. k deferred compensation other than pensions. the costs of deferred compensation awards are allowable subject',
19544:'to the following limitations: 1 the costs shall be measured, assigned, and allocated in accordance with 48 cfr 9904.415, accounting',
19545:'for the cost of deferred compensation. 2 the costs of deferred compensation awards are unallowable if the awards are made',
19546:'in periods subsequent to the period when the work being remunerated was performed. l compensation incidental to business acquisitions. the',
19547:'following costs are unallowable: 1 payments to employees underagreements in which theyreceivespecial compensation, in excess of the contractor’s normal severance',
19548:'pay practice, if their employment terminatesfollowing a changein themanagement control over, or ownership of, the contractoror a substantial portion of',
19549:'its assets. 2 payments to employees under plans introduced in connection with a change whether actual or prospective in the',
19550:'management control over, or ownership of, the contractor or a substantial portion ofits assets inwhich thoseemployees receive special compensation, which',
19551:'is contingent upon the employee remaining with the contractor for a specified period of time. m fringe benefits. 1 fringe',
19552:'benefits are allowances and services provided by the contractor to its employees as compensation in addition to regular wages and',
19553:'salaries. fringe benefits include, but are not limited to, the cost of vacations, sick leave, holidays, military leave, employee insurance,',
19554:'and supplemental unemployment benefit plans. except as provided otherwise in subpart 31.2, the costs of fringe benefits are allowable to',
19555:'the extent that they are reasonable and are required by law,employeremployee agreement, or an established policy of the contractor. 2',
19556:'that portion of the cost of companyfurnished automobiles that relates to personal use by employees including transportation to and from',
19557:'work is unallowable regardless of whether the cost is reported as taxable income to the employees see 31.20546d. n employee',
19558:'rebate and purchase discount plans. rebates and purchase discounts, in whatever form, granted to employees on products or services produced',
19559:'by the contractoror affiliates areunallowable. o postretirement benefits other than pensions prb. 1 prb covers all benefits, other than cash',
19560:'benefits and life insurance benefits paid by pension plans, provided to employees, their beneficiaries, and covered dependents during the period',
19561:'following the employees’ retirement. benefits encompassed include, but are not limited to, postretirement health care; life insurance provided outside a',
19562:'pension plan; and other welfare benefits such as tuition assistance, day care, legal services, and housing subsidies provided after retirement.',
19563:'2 to be allowable, prb costs shall be incurred pursuant to law, employeremployee agreement, or an established policy of the',
19564:'contractor,andshallcomply with paragraphs o2i, ii, or iii of this subsection. i payasyougo. prb costs are not accrued during the working',
19565:'lives of employees. costs are assigned to the period in which a benefits are actually provided; or b the costsare',
19566:'paid to an insurer, provider, or other recipient for current year benefits orpremiums. ii terminal funding. prb costs are not',
19567:'accrued during the working lives of the employees. aterminal funding occurs when theentire prb liabilityis paid in a lump sum',
19568:'uponthe terminationof employees or upon conversion to such a terminalfunded plan to an insurer or trustee to establish and maintain',
19569:'a fund or reserve for the sole purpose of providing prb to retirees. b terminal funded costsshallbe amortizedover a period',
19570:'of 15 years. iii accrual basis. prb costs are accrued during the working lives of employees. accrued prb costs shall',
19571:'comply with the following: a be measured and assigned in accordance with one of the following two methods described under',
19572:'paragraphs o2iiia1 or o2iiia2 of this subsection: 1 generally accepted accounting principles. however,transitions from the payasyougo method tothe accrual accounting',
19573:'method must be handled according to paragraphs o2iiia1i through iii of this subsection. subpart 31.2 contracts with commercial organizations 31.2056',
19574:'i in the year of transition from the payasyougo method to accrual accounting for purposes of government contract cost accounting,',
19575:'the transition obligation shall be the excess of the accumulated prb obligation over the fair value of plan assets determined',
19576:'in accordance with subparagraph e of this section; the fair value must be reduced by the prepayment credit as determined',
19577:'in accordance with subparagraph o2iiif of this subsection. ii prb cost attributable to the transition obligation assigned to the current',
19578:'year that is in excess of the amount assignable to accounting periods on the basis of a straight line amortization',
19579:'of the transition obligation over the average remaining working lives of active employees covered by the prb plan or a',
19580:'20year period, whichever period is longer, isunallowable. however,if the plan is comprised of inactive participants only, the prbcost attributable to',
19581:'the transition obligation assigned to the current year that is in excess of the amount assignable to accounting periods on',
19582:'a straight line amortization of the transition obligation over the average future life expectancy of the participants is unallowable. iii',
19583:'for a plan that transitioned from payasyougo to accrual accounting for government contract cost accounting prior to july 22, 2013,',
19584:'the unallowable amount of prb cost attributable to the transition obligation amortization shall continueto bebased on the costprinciple in effectat',
19585:'the timeof the transitionuntil the original transition obligation schedule is fully amortized. 2 contributions to a welfare benefit fund determined',
19586:'in accordance with applicable internal revenue code. allowable prb costs based on such contributions shall i be measured using reasonable',
19587:'actuarial assumptions, which shall include a health care inflation assumption unless prohibited by the internal revenue code provisions governing welfare',
19588:'benefit funds; ii be assigned to accounting periods on the basis of the average working lives of active employees covered',
19589:'bythe prb plan or a 15year period, whichever period islonger. however, if the plan is comprised ofinactive participants only,the cost',
19590:'shall be spreadover the averagefuture life expectancy of the participants; and iii exclude federal income taxes, whether incurred by the',
19591:'fund or the contractor including any increase in prb costs associated with such taxes, unless the fund holding the plan',
19592:'assets is taxexempt under the provisions of 26 usc 501c. b be paid to an insurer or trustee to establish',
19593:'and maintain a fund or reserve for the sole purpose of providing prb to retirees. theassetsshallbe segregated in the trust,or',
19594:'otherwise effectively restricted,sothat they cannot be used by the employer for other purposes. c be calculated in accordance with generally',
19595:'accepted actuarial principles and practices as promulgated by the actuarial standards board. d eliminate from costs of current and future',
19596:'periods the accumulated value of any prior period costs that were unallowable in accordance with paragraph o3 of this section,',
19597:'adjusted for interest under paragraph o4 of this section. e calculate the unfunded actuarial liability unfunded accumulated postretirement benefit obligation',
19598:'using the market fair value of assets that have been accumulated by funding costs assigned to prior periods for contract',
19599:'accounting purposes. f recognize as a prepayment credit the market fair value of assets that were accumulated by deposits or',
19600:'contributions that were not used to fund costs assigned to previous periods for contract accounting purposes. g comply with the',
19601:'following when changing from one accrual accounting method to another: the contractor shall 1 treatthe changein the unfunded actuarial liability',
19602:'unfunded accumulatedpostretirement benefit obligation as a gain or loss; and 2 present an analysis demonstrating that all costs assigned to',
19603:'prior periods have been accounted for in accordance with paragraphs o2iiid, e, and f of this section to ensure that',
19604:'no duplicate recovery of costs exists. any duplicate recovery of costs due to the change from one method to another',
19605:'is unallowable. the analysis and new accrual accounting method may be a subject appropriate for an advance agreement in accordance',
19606:'with 31.109. 3 to be allowable, prb costs mustbe funded by the time set for filing the federal incometax return',
19607:'or any extension thereof,or paid toan insurer,provider, or other recipient by the time set for filing the federal incometax return',
19608:'or extension thereof. prb costs assignedto the current year, but not funded, paidor otherwise liquidated by thetax return due date',
19609:'as extended are not allowable in any subsequent year. 4 increased prb costs caused by delay in funding beyond 30',
19610:'days after each quarter of the year to which they are assignable are unallowable. 5 the government shall receive an',
19611:'equitable share of any amount of previously funded prb costs which revert or inure tothe contractor. such equitable share shall',
19612:'reflectthe government’s previous participation in prbcosts through those contracts for which certified cost or pricing data were required or which',
19613:'were subject to subpart 31.2. 31.2056 federal acquisition regulation p limitation on allowability of compensation. employee compensation limits contract award',
19614:'date applicable agencies covered employees 31.2056 before june 24, 2014 executive agencies other than dod, nasa and coast guard senior',
19615:'executive p2 before december 31, 2011 dod, nasa and coast guard senior executive p2 on/after december 31, 2011, and before',
19616:'june 24, 2014 dod, nasa, and coast guard all employees p3 on/after june 24, 2014 all executive agencies all employees',
19617:'p4 1 definitions. as used in this paragraph p i compensation means the total amountof wages,salary, bonuses, deferred compensation see',
19618:'paragraph k of this subsection, and employer contributions to defined contribution pension plans see paragraphs j4 and q of this',
19619:'subsection, for thefiscalyear, whether paid, earned,or otherwise accruing,as recorded in the contractorscostaccounting records for thefiscalyear. ii senior executive means– a',
19620:'prior to january 2, 1999– 1 the chief executive officer ceo or anyindividual acting in a similar capacity at the',
19621:'contractors headquarters; 2 the four most highly compensated employees in management positions at the contractors headquarters, other than the ceo;',
19622:'and 3 if the contractor has intermediate homeoffices orsegments that reportdirectlyto thecontractors headquarters, thefive mosthighly compensated employeesin management positions ateach',
19623:'such intermediate home office or segment. b effective january 2, 1999, the five most highly compensated employees in management positions',
19624:'at each home office and each segment of the contractor, whether or not the home office or segment reports directly',
19625:'to the contractors headquarters. iii fiscal year means the fiscal year established by the contractor for accounting purposes. iv contractors',
19626:'headquartersmeans thehighest organizational level fromwhich executivecompensation costs are allocated to government contracts. 2 senior executive compensation limit for contracts awarded',
19627:'before june 24, 2014. i applicability. this paragraph p2 applies to the following: ato all executive agencies, other than dod,',
19628:'nasa and the coast guard, for contracts awarded before june 24, 2014; b todod, nasa, and the coast guard for',
19629:'contracts awarded before december 31, 2011; ii costs incurred after january 1, 1998, for the compensation of a senior executive',
19630:'in excess of the benchmark compensation amount determined applicable for the contractor fiscal year by the administrator, office of federal',
19631:'procurement policy ofpp, under 41 u.s.c. 1127 as in effect prior to june 24, 2014, are unallowable 10 u.s.c. 3744a',
19632:'16 and 41 u.s.c. 4304a16, as in effect prior to june 24, 2014. this limitation is the sole statutory limitation',
19633:'on allowable senior executive compensation costs incurred after january 1, 1998, under contracts awarded before june 24, 2014, andapplies whether',
19634:'or notthe affected contractswere previouslysubject to astatutory limitation on such costs. note that pursuant to section 804 of pub. l.',
19635:'105261, the definition of senior executive in paragraph p1 of this section has been changed for compensation costs incurred after',
19636:'january 1, 1999. see https://www.whitehouse.gov/wpcontent/ uploads/2017/11/contractorcompensationcapcontractsawardedbeforejune24.pdf. 3 all employee compensation limit for contracts awarded before june 24, 2014. i applicability.',
19637:'this paragraph p3 applies to dod, nasa, and the coast guard for contracts awarded on or after december 31, 2011,',
19638:'andbefore june24,2014. ii costs incurred after january 1, 2012, for the compensation of any contractor employee in excess of the',
19639:'benchmark compensation amount,determined applicableforthe contractor fiscal year bythe administrator, office offederal subpart 31.2 contracts with commercial organizations 31.2057 procurement policy',
19640:'ofpp under 41 u.s.c. 1127 as ineffect prior tojune 24, 2014are unallowable 10 u.s.c. 3744a 16 as ineffect prior tojune',
19641:'24, 2014. this limitation isthe sole statutory limitationon allowable employee compensation costs incurred after january 1, 2012, under contracts awarded',
19642:'on or after december31,2011 and beforejune 24, 2014. note that pursuant to section803 ofpub. l. 11281, 10 u.s.c. 3744, allowable',
19643:'costs under defense contracts, was amended by striking senior executives and inserting any contractor employee, making unallowable the excess compensation',
19644:'costs incurred afterjanuary 1, 2012, underaffected contracts. see https://www.whitehouse.gov/wpcontent/uploads/2017/11/ contractorcompensationcapcontractsawardedbeforejune24.pdf. 4 all employee compensation limit for contracts awarded on or',
19645:'after june 24, 2014. i applicability. this paragraph p4 applies to all executive agency contracts awarded on or after june',
19646:'24, 2014, and any subcontracts thereunder. ii costs incurred on or after june 24, 2014, for the compensation of all',
19647:'employees in excess of the benchmark compensation amount determined applicable for the contractor fiscal year by the administrator, office of',
19648:'federal procurement policy ofpp are unallowable under 10 u.s.c. 3744a16 and 41 u.s.c 4304a16,as in effect on or after june',
19649:'24, 2014, pursuant to section 702 of pub. l. 11367. this limitation is thesolestatutory limitation on allowable employee compensation costs',
19650:'incurred on or after june 24, 2014, under contracts awarded on or after june 24, 2014. see http://www.whitehouse.gov/omb/procurement/cecp. iii exceptions.',
19651:'an agencyheadmay establish one or more narrowlytargeted exceptions for scientists, engineers, or other specialists upon a determination that such exceptions',
19652:'are needed to ensure that the executive agency has continued access to neededskills and capabilities. in makingsuch a determination, the',
19653:'agency shall consider, at a minimum, for each contractor employee in a narrowlytargeted exceptedposition a the amount of taxpayer funded',
19654:'compensation to be received by each employee; and b the duties and services performed by each employee. q employee stock',
19655:'ownership plans esop. 1 an esop is a stock bonus plan designed to invest primarily in the stock of the',
19656:'employer corporation. the contractor’s contributions toan employee stock ownership trust esot maybe inthe form of cash, stock, or property. 2',
19657:'costs of esops are allowable subject to the following conditions: i the contractor measures, assigns, and allocates costs in accordance',
19658:'with 48 cfr 9904.415. ii contributions by the contractor in any oneyear that exceed the deductibility limits of the internal',
19659:'revenue code for that year are unallowable. iii when the contribution is in the form of stock, the value of',
19660:'the stock contribution is limited to the fair market value of the stockon the datethat title iseffectively transferred to the',
19661:'trust. iv when the contribution is in the form of cash a stock purchases by the esot in excess of',
19662:'fair market value are unallowable; and b when stock purchases are in excess of fair market value, the contractor shall',
19663:'credit the amount of the excess to the same indirect cost pools that were charged for the esop contributionsin theyear',
19664:'in whichthe stock purchase occurs. however, when the trust purchases the stockwith borrowed funds which will be repaid over a',
19665:'period of years by cash contributions from the contractor to the trust, the contractor shall credit the excess price over',
19666:'fair market value to the indirect cost pools pro rata over the period of years during which the contractor contributes',
19667:'the cash used by the trust to repay the loan. v when the fair market value of unissued stock or',
19668:'stock of a closely held corporation is not readily determinable, the valuation will be made on a casebycase basis taking',
19669:'into consideration the guidelines for valuation used by the irs. 31.2057 contingencies. a contingency, as used in thissubpart, means apossible',
19670:'future event or condition arising from presently knownor unknown causes, the outcome of which is indeterminable at the present time.',
19671:'b costs for contingencies are generally unallowable for historical costing purposes because such costing deals with costs incurred and recorded',
19672:'on thecontractor’s books. however, in some cases, as for example, terminations, a contingency factor may be recognized when it is',
19673:'applicable to a past period to give recognition to minor unsettled factors in the interest of expediting settlement. c in',
19674:'connection with estimates of future costs, contingencies fall into two categories: 1 those that may arise from presently knownandexisting conditions,the',
19675:'effects of which are foreseeable within reasonable limits of accuracy; e.g., anticipated costs of rejects and defective work. contingencies of',
19676:'this category are to be included in the estimates of future costs so as to provide the best estimate of',
19677:'performance cost. 31.2058 federal acquisition regulation 2 those that may arise from presently knownor unknown conditions, the effectof which cannot',
19678:'be measured so precisely as to provide equitable results to the contractor and to the government; e.g., results of pending',
19679:'litigation. contingencies of this category are to be excluded from cost estimates under the several items of cost, but should',
19680:'be disclosed separately including the basis upon which the contingency is computed to facilitate the negotiation of appropriate contractual coverage.',
19681:'see, for example, 31.2056g and 31.20519. 31.2058 contributions or donations. contributions or donations, including cash, property and services, regardless of',
19682:'recipient, are unallowable, except as provided in 31.2051e3. 31.2059 [reserved] 31.20510 cost of money. a general. cost of money 1',
19683:'is an imputed cost that is not a form of interest on borrowings see 31.20520; 2 is an incurred cost',
19684:'for costreimbursement purposes under applicable costreimbursement contracts and for progress payment purposes under fixedprice contracts; and 3 refers to i',
19685:'facilities capital cost of money 48 cfr9904.414; and ii cost of money as an element of the cost of capital',
19686:'assets under construction 48 cfr9904.417. b cost of money is allowable, provided 1 it is measured, assigned, and allocated to',
19687:'contracts in accordance with 48 cfr9904.414 or measured and added to the cost of capital assets under construction in accordance',
19688:'with 48 cfr9904.417, as applicable; 2 the requirements of 31.20552, which limit the allowability of cost of money, are followed;',
19689:'and 3 the estimated facilities capital cost of money is specifically identified and proposed in cost proposals relating to the',
19690:'contract under which the cost is to be claimed. c actual interest cost in lieu of the calculated imputed cost',
19691:'of money is unallowable. 31.20511depreciation. a depreciation on a contractor’s plant, equipment, and other capitalfacilities is an allowable contractcost, subject',
19692:'to thelimitations contained in this cost principle. for tangible personal property, only estimated residual values that exceed10 percent of the',
19693:'capitalized cost of the asset need be used in establishing depreciable costs. where either the declining balance method of depreciation',
19694:'or the class life asset depreciation range system is used, the residual value need not be deducted from capitalized cost',
19695:'to determine depreciable costs. depreciation cost that would significantly reduce the book value of a tangible capital asset below its',
19696:'residual value is unallowable. b contractors having contracts subject to 48 cfr9904.409, depreciationof tangible capital assets, shall adhereto the requirement',
19697:'of that standard for all fully cascovered contracts and may elect to adopt the standard for all other contracts. all',
19698:'requirements of 48 cfr9904.409 are applicable if the election is made, and contractors must continue to follow it until notification',
19699:'of final acceptance of all deliverable items on all open negotiated government contracts. c for contracts to which 48 cfr9904.409',
19700:'is not applied, except as indicated in paragraphs g and h of this subsection, allowable depreciation shall not exceed the',
19701:'amount used for financial accounting purposes, and shall be determined in a manner consistent with the depreciation policies and procedures',
19702:'followed in the same segment on nongovernment business. d depreciation,rental, or use charges are unallowable onpropertyacquired from the government at',
19703:'no cost by the contractor orby any division, subsidiary,or affiliate of the contractor under common control. e the depreciation on',
19704:'any item which meets the criteria for allowance at price under 31.20526e may be based on that price, providedthe same',
19705:'policiesand procedures are used for costing all business of the using division, subsidiary, or organizationunder common control. f no depreciation',
19706:'or rentalis allowed on property fully depreciated by the contractor or by any division, subsidiary, or affiliate of the contractor',
19707:'undercommon control. however, areasonable chargeforusing fully depreciated property may be agreed upon and allowed but, see 31.109h2. in determining the',
19708:'charge, consideration shall begiven to cost, total estimated useful life atthe time of negotiations,effect ofanyincreased maintenance chargesor decreased efficiency due',
19709:'to age, and the amount of depreciation previously charged to government contracts or subcontracts. g whether or not the contract',
19710:'is otherwise subject to cas the following apply: subpart 31.2 contracts with commercial organizations 31.20513 1 the requirements of 31.20552',
19711:'shall be observed. 2 in the event of a writedown from carrying value to fair value as a result of',
19712:'impairments caused by events or changes in circumstances, allowable depreciation of the impaired assets is limited to the amounts that',
19713:'would have been allowed had the assets not been written down see 31.20516g. however, this does not preclude a change',
19714:'in depreciation resulting from other causes such as permissible changes in estimates of service life, consumption of services, or residual',
19715:'value. 3 i in the event the contractor reacquires property involved in a sale and leaseback arrangement, allowable depreciation of',
19716:'reacquired property shall be based on the net book value of the asset as of the date the contractor originally',
19717:'became a lessee of the property in the sale and leaseback arrangement a adjusted for any allowable gain or loss',
19718:'determined in accordance with 31.20516b; and b less any amount of depreciation expense included in the calculation of the amount',
19719:'that would have been allowed had the contractor retained title under 31.20511h1 and 31.20536b2. ii as used in this paragraph',
19720:'g3, reacquired property is property that generated either any depreciation expense or any cost of money considered in the calculation',
19721:'of the limitations under 31.20511h1 and 31.20536b2 during the most recent accounting period prior to the date of reacquisition. h',
19722:'a capitallease, as defined in financial accountingstandards board’s accounting standards codification fasb asc 840, leases, is subject to the requirements',
19723:'of this cost principle. see 31.20536 for operating leases. fasb asc 840 requires that capital leases be treated as purchased',
19724:'assets, i.e., be capitalized, and the capitalized value of such assets bedistributed over theiruseful lives as depreciation charges or over',
19725:'the leased life as amortization charges, as appropriate, except that 1 lease costs under a sale and leaseback arrangement are',
19726:'allowable only up to the amount that would be allowed if the contractor retained title, computed based on the net',
19727:'book value of the asset on the date the contractor becomes a lessee of the property adjusted for any gain',
19728:'or loss recognized in accordance with 31.20516b; and 2 if it is determined thatthe terms of thecapital lease have been',
19729:'significantly affected bythe factthat thelessee and lessor arerelated,depreciation charges are not allowable in excess of those that wouldhaveoccurredif the lease',
19730:'contained terms consistent with those found in a lease between unrelated parties. 31.20512 economic planning costs. economic planning costs are',
19731:'the costs of general longrange management planning that is concerned with the future overall development of thecontractor’sbusinessand that may take',
19732:'into account the eventual possibility of economic dislocations or fundamental alterations in those markets in which the contractor currently does',
19733:'business. economic planning costs are allowable. economic planningcosts do not include organizationor reorganization costs coveredby 31.20527. see 31.20538 for market',
19734:'planning costs other than economic planning costs. 31.20513 employeemorale, health,welfare, food service, and dormitory costs andcredits. a aggregate costs incurred',
19735:'on activities designed to improve working conditions, employeremployee relations, employee morale, and employee performance less income generated by these activities',
19736:'are allowable, subject to the limitations contained in this subsection. some examples of allowable activities are 1 house publications; 2',
19737:'health clinics; 3 wellness/fitness centers; 4 employee counseling services; and 5 food and dormitory services for the contractor’semployees at ornearthe',
19738:'contractor’s facilities. theseservices include i operating or furnishing facilities for cafeterias, dining rooms, canteens, lunch wagons, vending machines, living accommodations;',
19739:'and ii similar types of services. b costs of gifts are unallowable. gifts do not include awards for performance made',
19740:'pursuant to 31.2056f or awards made in recognition of employee achievements pursuant to an establishedcontractor plan or policy. c costs',
19741:'of recreation are unallowable, except for the costs of employees’ participation in company sponsored sports teams or employee organizationsdesigned to',
19742:'improve company loyalty, team work, orphysical fitness. d 1 the allowability of food and dormitory losses are determined by the',
19743:'following factors: 31.20514 federal acquisition regulation ilosses from operating foodand dormitoryservicesare allowable only if the contractor’s objective is to operate',
19744:'such services on a breakeven basis. iilosses sustained because foodservicesor lodging accommodations are furnished without charge orat prices or rates',
19745:'which obviously would not be conducive to the accomplishment of the objective in paragraph d1i of this subsection are not',
19746:'allowable, except as described in paragraph d1iii of this subsection. iii a loss may be allowed to the extent that',
19747:'the contractor can demonstrate that unusual circumstances exist such that even withefficient management, operating the serviceson abreakeven basiswouldrequire charging inordinately',
19748:'high prices,or prices orrateshigher than those charged by commercial establishments offering the same services in the same geographical areas. the',
19749:'following are examples of unusual circumstances: a the contractor must provide food or dormitory services at remote locations where adequate',
19750:'commercial facilities are not reasonably available. b the contractor’s charged but unproductive labor costs would be excessive if theserviceswere not',
19751:'available. c if cessation or reduction of food or dormitory operations will not otherwise yield net cost savings. 2 costs',
19752:'of food and dormitory services shall include an allocable share of indirect expenses pertaining to these activities. e when the',
19753:'contractor has an arrangement authorizing an employee association to provide or operate a service, such as vending machines in thecontractor’s',
19754:'plant,andretain the profits, such profits shall betreated in the same manner as if the contractor were providing the service but',
19755:'see paragraph f of this subsection. f contributions by the contractor toan employee organization,including funds from vending machinereceipts or similar',
19756:'sources, are allowable only to the extent that the contractor demonstrates that an equivalent amount of the costs incurred by',
19757:'theemployee organization wouldbe allowable if directly incurred by the contractor. 31.20514 entertainment costs. costs of amusement, diversions, social activities, and',
19758:'any directly associated costs such as tickets to shows or sports events, meals, lodging, rentals, transportation, and gratuities are unallowable.',
19759:'costs made specifically unallowable under this cost principle are not allowable under any other cost principle. costs of membership in',
19760:'social, dining, or country clubs or other organizations havingthe same purposes are also unallowable, regardless of whether the cost is',
19761:'reported astaxable income to the employees. 31.20515 fines, penalties, and mischarging costs. a costs of fines and penalties resulting from',
19762:'violations of, or failure of the contractor to comply with, federal, state, local, or foreign laws and regulations, are unallowable',
19763:'except when incurred as a result of compliance with specific terms and conditions of thecontract or written instructionsfrom the contracting',
19764:'officer. b costs incurred in connection with,or related to, the mischarging of costs ongovernment contracts are unallowable when the costs',
19765:'arecaused by,or resultfrom, alteration or destruction of records, or other false orimpropercharging or recording of costs. such costs include those',
19766:'incurred to measure or otherwise determine the magnitude of the improper charging,and costs incurred to remedy orcorrect the mischarging, such',
19767:'as costs to rescreen and reconstruct records. 31.20516 gains and losses on disposition or impairment of depreciable property or other',
19768:'capital assets. a gains and losses from the sale, retirement, or other disposition but see 31.20519 of depreciable property shall',
19769:'beincluded inthe year in which they occur as credits or charges to the cost groupings in which the depreciation or',
19770:'amortizationapplicable to those assets was included but see paragraph f of thissubsection. however, no gain orloss shall be recognized as',
19771:'a result of the transfer of assets in a business combination see 31.20552. b notwithstanding the provisions in paragraph c',
19772:'of this subsection, when costs of depreciable property are subject to the sale and leaseback limitations in 31.20511h1 or 31.20536b2',
19773:'1 the gainor loss isthe difference between the net amount realizedandthe undepreciated balance of the asset on the date the',
19774:'contractor becomes a lessee; and 2 when the application of b1 of this subsection results in a loss i the',
19775:'allowable portion of the loss is zero if the fair market value exceeds the undepreciated balance of the asset on',
19776:'the date the contractor becomes a lessee; and iithe allowable portionof the loss is limitedto the difference betweenthe fair market',
19777:'value and the undepreciated balance of the asset on the date the contractor becomes a lessee if the fair market',
19778:'value is less than the undepreciated balance of the asset on the date the contractor becomes a lessee. subpart 31.2',
19779:'contracts with commercial organizations 31.20517 c gains and losses on disposition of tangible capital assets, including those acquired under capital',
19780:'leases see 31.20511h, shall be considered as adjustments of depreciation costs previously recognized. the gain or loss for each asset',
19781:'disposed of is thedifference between the net amount realized, including insurance proceeds frominvoluntary conversions, and its undepreciated balance. d the',
19782:'gainrecognizedforcontract costing purposes shall be limitedto the difference betweenthe acquisition cost or for assets acquired under a capital lease, the',
19783:'value at which the leased asset is capitalized of the asset and its undepreciated balance except see paragraphs e2i or',
19784:'ii of this subsection. e special considerations apply to an involuntary conversion which occurs when a contractor’s property is destroyed',
19785:'by events over which the owner has no control, such as fire, windstorm, flood, accident, theft, etc., and an insurance',
19786:'award is recovered. the following govern involuntary conversions: 1 when there is a cash award and the converted asset is',
19787:'not replaced, gain or loss shall be recognized in the period of disposition. thegain recognized for contractcosting purposes shall be',
19788:'limited to the differencebetween the acquisition cost of the asset and its undepreciated balance. 2 when the converted asset is',
19789:'replaced, the contractor shall either i adjust the depreciable basis of the new asset by the amount of the total',
19790:'realized gain or loss; or ii recognize the gain or loss in the period of disposition, in which case the',
19791:'government shall participate to the same extent as outlined in paragraph e1 of this subsection. f gains and losses on',
19792:'the disposition of depreciable property shall not be recognized asa separate charge or credit when 1 gains and losses are',
19793:'processed through the depreciation reserve account and reflected in the depreciation allowable under 31.20511; or 2 the property is exchanged',
19794:'as part of the purchase price of a similar item, and the gain or loss is taken into consideration in',
19795:'the depreciation cost basis of the new item. g gains and losses arising from mass or extraordinary sales, retirements, or',
19796:'other disposition other than through business combinations shall be considered on a casebycase basis. h gains and losses of any',
19797:'nature arising from the sale or exchange of capital assets other than depreciable property shall be excluded in computing contract',
19798:'costs. iwith respect tolonglivedtangibleandidentifiable intangible assets held for use, no loss shall be allowed for a write down from carrying',
19799:'value to fair value as a result of impairments caused by events or changes in circumstances e.g., environmental damage, idle',
19800:'facilities arising from a declining business base, etc.. if depreciable property or other capital assets have been written down from',
19801:'carrying value to fair value due to impairments, gains or losses upon disposition shall be the amounts that would have',
19802:'been allowed had the assets not been written down. 31.20517 idle facilities and idle capacity costs. a definitions. as used',
19803:'in this subsection costs of idle facilities or idle capacity means costssuch as maintenance, repair, housing, rent, and other relatedcosts;',
19804:'e.g., property taxes, insurance, and depreciation. facilities means plant or any portion thereof including land integral to the operation, equipment,',
19805:'individually or collectively,or any other tangible capital asset,wherever located, and whether owned or leased by the contractor. idle capacity meansthe',
19806:'unused capacity of partially used facilities. it is the difference between that which a facility could achieve under 100 percent',
19807:'operating time on a oneshift basis, less operating interruptions resulting from time lost for repairs, setups, unsatisfactory materials, and other',
19808:'normal delays, and the extent to which the facility was actually used to meet demands during the accounting period. a',
19809:'multipleshift basis may be used in the calculation instead of a oneshift basis if it can be shown that this',
19810:'amount of usage could normally be expected for the type of facility involved. idle facilities means completely unusedfacilities that are',
19811:'excess to the contractor’s current needs. b the costs of idle facilities are unallowable unless the facilities 1 are necessary',
19812:'to meet fluctuations in workload; or 2 were necessary when acquiredandare now idle because of changes in requirements, production economies,',
19813:'reorganization, termination, orothercauseswhich could not have been reasonablyforeseen. costs of idle facilities are allowable for a reasonable period, ordinarilynot to',
19814:'exceed 1 year, depending uponthe initiativetakento use, lease, or dispose of the idle facilities but see 31.20542. c costs of',
19815:'idle capacity are costs of doing business and are a factor in the normal fluctuations of usage or overhead rates',
19816:'from period to period. such costs are allowable provided the capacity is necessary or was originally reasonable and is not',
19817:'subject to reduction or elimination by subletting, renting, or sale, in accordance with sound business, economics, or security 31.20518 federal',
19818:'acquisition regulation practices. widespreadidle capacity throughoutan entire plant or among a group of assets having substantiallythe same function may be',
19819:'idle facilities. d any costs to be paid directly by the government for idle facilities or idle capacity reserved for',
19820:'defense mobilization production shall be the subject of a separate agreement. 31.20518 independent research and development and bid and proposal',
19821:'costs. a definitions. as used in this subsection applied research means that effort which1normally followsbasic research, butmay not be severablefrom',
19822:'the related basic research, 2 attemptsto determine and exploit the potential ofscientific discoveries or improvements in technology, materials, processes, methods,',
19823:'devices, or techniques, and 3 attempts to advance the state of the art. applied research does not include efforts whoseprincipal',
19824:'aim is design, development, or test of specific items orservicesto beconsidered for sale; these effortsare withinthe definitionof the term development,',
19825:'defined in thissubsection. basic research see 2.101. bid and proposal b&p costs means the costs incurred in preparing, submitting, and',
19826:'supporting bids and proposals whether or not solicited on potential government or nongovernment contracts. the term does not include the',
19827:'costs of effort sponsored by a grant or cooperative agreement, or required inthe performanceof acontract. company means alldivisions, subsidiaries, and',
19828:'affiliates of the contractor under common control. development means the systematic use, under whatever name, of scientific and technical knowledge',
19829:'in the design, development, test, or evaluation of a potential new product or service or of an improvement in an',
19830:'existing product or service for the purpose of meeting specific performance requirements or objectives. development includes the functions of design',
19831:'engineering, prototyping, and engineering testing. development excludes 1 subcontracted technical effortwhich is for the solepurpose of developing an additional sourceforan',
19832:'existing product, or 2 development effort for manufacturing or production materials,systems, processes,methods, equipment,tools, and techniques not intended for sale. independent',
19833:'research and development ir&d means a contractor’s ir&d cost that consists of projects fallingwithin the four following areas: 1 basic',
19834:'research, 2 applied research, 3 development, and 4 systems and other concept formulation studies. the termdoes not include the costs',
19835:'of effortsponsored by a grant or requiredin theperformance of a contract. ir&d effort shall notinclude technicaleffort expended in developing and',
19836:'preparing technical dataspecifically tosupport submitting a bid or proposal. systems and other concept formulation studies means analyses and studyefforts either',
19837:'relatedto specific ir&d efforts or directed toward identifying desirable new systems, equipment or components, or modifications and improvements to existing',
19838:'systems, equipment, or components. b composition and allocation of costs. the requirements of 48 cfr 9904.420, accounting for independent research',
19839:'and development costs and bid and proposal costs, are incorporated in their entirety and shall apply as follows 1 fullycascovered',
19840:'contracts. contracts that are fullycascovered shall be subject to all requirements of 48 cfr 9904.420. 2 modified cascovered and noncascovered',
19841:'contracts. contracts that are not cascovered or that contain terms or conditions requiring modified cas coverage shall be subject to',
19842:'all requirements of 48 cfr9904.420 except 48 cfr 9904.42050e2 and 48 cfr 9904.42050f2 , which are not then applicable. however,',
19843:'noncascovered or modified cascovered contracts awarded at a time the contractor has cascovered contracts requiring compliance with 48 cfr 9904.420,',
19844:'shall be subject to all the requirements of 48 cfr 9904.420. when the requirements of 48 cfr 9904.42050e2 and 48',
19845:'cfr 9904.42050f2 are not applicable, the following apply: i ir&d and b&p costs shall be allocated to final cost objectives',
19846:'on the same basis of allocation used for the g&a expense grouping of the profit center see 31.001 inwhich the',
19847:'costs are incurred. however, when ir&d and b&pcosts clearly benefit other profit centers or benefitthe entire company, thosecosts shall be',
19848:'allocated through the g&a of theother profit centers or through the corporate g&a, as appropriate. ii if allocations of ir&d',
19849:'or b&p through the g&a base do not provide equitable cost allocation, the contracting officer may approveuse ofa different base.',
19850:'c allowability. except as provided in paragraphs d and e of this subsection, or as provided in agency regulations, costs',
19851:'for ir&d and b&p are allowable as indirect expenses on contracts to the extent that those costs are allocable and',
19852:'reasonable. subpart 31.2 contracts with commercial organizations 31.20519 d deferred ir&d costs. 1 ir&d costs that were incurred in previous',
19853:'accounting periods are unallowable, except when a contractor has developed a specific product at its own risk in anticipation of',
19854:'recovering the development costs in the sale price of the product provided that i the total amount of ir&d costs',
19855:'applicable to the product can be identified; ii the proration of such costs to sales of the product is reasonable;',
19856:'iii the contractor had no government business during the time that the costs were incurred or did not allocate ir&d',
19857:'costs to government contracts except to prorate the cost of developing a specific product to the sales of that product;',
19858:'and iv no costs of current ir&d programs are allocated to government work except to prorate the costs of developing',
19859:'a specific product to the sales of that product. 2 when deferred costs are recognized, the contract except firmfixedprice and',
19860:'fixedprice with economic price adjustment will include a specific provision setting forth the amount of deferred ir&d costs that are',
19861:'allocable to the contract. the negotiation memorandum will state the circumstances pertaining to the case and the reason for accepting',
19862:'the deferred costs. e cooperative arrangements. 1 ir&d costs may be incurred by contractors working jointly with one or more',
19863:'nonfederal entities pursuant to a cooperative arrangement for example, joint ventures, limited partnerships, teaming arrangements, and collaboration and consortium arrangements.',
19864:'ir&d costs also may include costs contributed by contractors in performing cooperative research and development agreements, or similar arrangements, entered',
19865:'into under isection 12 of the stevensonwydlertechnology transfer act of1980 15 u.s.c. 3710a; ii sections203c5 and 6 of the national',
19866:'aeronautics and space act of1958, as amended 42 u.s.c. 2473c5 and 6; iii 10 u.s.c. 4021 for the defense advanced',
19867:'research projects agency; or iv otherequivalent authority. 2 ir&d costs incurred by a contractor pursuant to these types of cooperative',
19868:'arrangements should be considered as allowable ir&d costs if the work performed would have been allowed as contractor ir&d had',
19869:'there been no cooperative arrangement. 3 costs incurred in preparing,submitting, andsupporting offers on potential cooperativearrangements are allowable to the extent',
19870:'they are allocable, reasonable, and not otherwise unallowable. 31.20519 insurance and indemnification. a insurance by purchase or by selfinsuring includes',
19871:'1 coverage the contractor is required to carry or to have approved, under the terms of the contract; and 2',
19872:'any other coverage the contractor maintains in connection with the general conduct of its business. b for purposes of applying',
19873:'the provisions of this subsection, the government considers insurance provided by captive insurersinsurers owned by or under control ofthe contractor',
19874:'as selfinsurance, and chargesforitshallcomply with the provisions applicable to selfinsurance costs in this subsection. however, ifthe captive insurer also sells',
19875:'insurance to the general public in substantial quantitiesand it can be demonstrated that the charge tothe contractor is based on',
19876:'competitive market forces, the government will consider the insurance as purchased insurance. c whether or not the contractis subjectto cas,',
19877:'selfinsurancecharges areallowable subject to paragraph e of this subsection and the following limitations: 1 the contractor shall measure, assign, and',
19878:'allocate costs in accordance with 48 cfr9904.416, accounting for insurance costs. 2 the contractor shall comply with 48 cfr part',
19879:'28.however,approvalofacontractor’sinsuranceprogramin accordance with part 28doesnotconstituteadeterminationastotheallowabilityoftheprogram’scost. 3 if purchased insurance is available, any selfinsurance charge plusinsurance administration expensesin excess of the',
19880:'cost of comparable purchased insurance plus associated insurance administration expenses is unallowable. 4 selfinsurance charges for risksof catastrophic losses are',
19881:'unallowablesee 28.308e. d purchased insurance costs are allowable, subject to paragraph e of this subsection and the following limitations: 1',
19882:'for contracts subject to full cas coverage, the contractor shall measure, assign, and allocate costs in accordance with 48 cfr9904.416.',
19883:'2 for all contracts, premiums for insurance purchased from fronting insurance companies insurance companies not related to the contractor but',
19884:'who reinsure with a captive insurer of the contractor are unallowable to the extent they exceed the sum of 31.20520',
19885:'federal acquisition regulation i the amount that would have been allowed had the contractor insured directly with the captive insurer;',
19886:'and iireasonable fronting company charges for services rendered. 3 actual losses are unallowable unless expressly provided for in the contract,',
19887:'except i losses incurred under the nominal deductible provisions of purchased insurance, in keeping with sound business practice, are allowable;',
19888:'and ii minor losses, such as spoilage, breakage, and disappearance of small hand tools that occur in the ordinary course',
19889:'of business and that are not covered by insurance, are allowable. e selfinsurance and purchased insurance costs are subject to',
19890:'the cost limitations in the following paragraphs: 1 costs of insurance required or approved pursuant to the contract are allowable.',
19891:'2 costs of insurance maintained by the contractor in connection with the general conduct of its business are allowable subject',
19892:'to the following limitations: itypes and extent ofcoverage shall follow sound business practice, and theratesandpremiums shall be reasonable. ii costs',
19893:'allowed for business interruption or other similar insurance shall be limited to exclude coverage of profit. iii the cost of',
19894:'property insurance premiums for insurance coverage in excess of the acquisition cost of the insured assets is allowable only when',
19895:'the contractor has a formal written policy assuring that in the event the insured property is involuntarily converted, the new',
19896:'asset shall be valued at the book value of the replaced asset plus or minus adjustments for differences between insurance',
19897:'proceeds and actual replacement cost. if the contractor does not have such a formal written policy,the cost of premiums for',
19898:'insurance coverage in excess of theacquisitioncostof the insured asset is unallowable. iv costs of insurance for the risk of loss',
19899:'of government property are allowable to the extent that a the contractor is liable for such loss; b the contracting',
19900:'officerhas not revoked the government’s assumption of risk see 45.104b; and c such insurance does not cover loss of government',
19901:'property that results from willful misconduct or lack of goodfaith on thepart of any of the contractor’s managerial personnel as',
19902:'described in far 52.2451h1ii. v costs of insurance on the lives of officers, partners, proprietors, oremployees are allowable only to',
19903:'the extent that the insurance represents additional compensation see 31.2056. 3 the cost of insurance to protect the contractor against',
19904:'the costs of correcting its own defects in materials and workmanship is unallowable. however, insurancecosts tocover fortuitous or casualty losses',
19905:'resultingfrom defects in materials or workmanship are allowable as a normal business expense. 4 premiums for retroactive or backdated insurance',
19906:'written to cover losses that have occurred and are known are unallowable. 5 the government is obligated to indemnify thecontractor',
19907:'only to the extent authorized by law, as expressly provided for in the contract, except as provided in paragraph d3',
19908:'of this subsection. 6 late premium paymentcharges related to employee deferredcompensation plan insurance incurred pursuant to section 4007 29 u.s.c.',
19909:'1307 or section 4023 29 u.s.c. 1323 of the employee retirement income security act of1974 are unallowable. 31.20520 interest and',
19910:'otherfinancial costs. interest on borrowings however represented, bond discounts, costs of financing and refinancing capital net worth plus longterm liabilities,',
19911:'legal and professional fees paid in connection with preparing prospectuses, and costs of preparing and issuing stock rights are unallowable',
19912:'but see 31.20528. however, interest assessed by state or local taxing authorities under the conditions specified in 31.20541a3 is allowable.',
19913:'31.20521 labor relations costs. a costs incurred in maintaining satisfactory relations between the contractor and its employees other than those',
19914:'made unallowable in paragraph b of this section, including costs of shop stewards, labor management committees, employee publications, and other',
19915:'related activities, are allowable. b as required by executive order 13494, economy in government contracting, costs of any activities undertaken',
19916:'to persuade employees,of any entity, to exercise or not to exercise, or concerning themanner of exercising, therightto organize and bargain',
19917:'collectively through representatives of the employees’ own choosing are unallowable. examples ofunallowable costs under this paragraph include, but are not',
19918:'limited to, the costs of 1 preparing and distributing materials; 2 hiring or consulting legal counsel or consultants; subpart 31.2',
19919:'contracts with commercial organizations 31.20523 3 meetings including paying the salaries of the attendees at meetings held for this purpose;',
19920:'and 4 planning or conducting activities by managers, supervisors, or union representatives during work hours. 31.20522 lobbying and political activity',
19921:'costs. a costs associated with the following activities are unallowable: 1 attempts to influence the outcomes of any federal, state,',
19922:'or local election, referendum, initiative, or similar procedure, through in kind or cash contributions, endorsements, publicity, or similar activities; 2',
19923:'establishing, administering, contributingto, or paying the expenses of a political party,campaign, political action committee, or other organizationestablished for the purpose',
19924:'ofinfluencingthe outcomes of elections; 3 any attempt to influence i the introduction of federal, state, or local legislation, or ii',
19925:'the enactment or modification of any pending federal, state, or local legislation through communication with any member or employee of',
19926:'the congress or statelegislature including efforts to influence state or local officials to engage in similarlobbyingactivity,or withany government official or',
19927:'employeein connection with a decision tosign orveto enrolled legislation; 4 any attempt to influence i the introduction of federal, state,',
19928:'or local legislation, or ii the enactment or modification of any pending federal, state, or local legislation by preparing, distributing',
19929:'or using publicity or propaganda, or by urging members of the generalpublicor any segment thereof to contributeto or participate inany',
19930:'mass demonstration, march, rally,fund raisingdrive, lobbying campaign or letterwriting or telephone campaign; 5 legislative liaison activities, including attendance at legislative',
19931:'sessions or committee hearings, gathering information regarding legislation, and analyzing the effect of legislation,when such activities are carriedon in support',
19932:'of or in knowing preparation for an effort to engage in unallowable activities; or 6 costs incurred in attempting to',
19933:'improperly influence see 3.401, eitherdirectlyor indirectly, an employee or officer of the executive branch of thefederal government to give consideration',
19934:'to or act regarding a regulatory or contractmatter. b the following activities are excepted from the coverage of a of',
19935:'this section: 1 providing a technical and factual presentation of information on a topic directly related to the performance of',
19936:'a contract through hearing testimony, statements or lettersto thecongress or a state legislature, or subdivision, member, or cognizantstaff member thereof,',
19937:'in responseto a documented request including a congressional record notice requesting testimony orstatementsforthe recordat a regularlyscheduled hearingmadeby the recipient member,',
19938:'legislative bodyor subdivision, or a cognizant staffmember thereof; provided such information is readily obtainable and can be readilyput in deliverable',
19939:'form; and further provided that costs under this section for transportation, lodging or meals are unallowable unless incurred for the',
19940:'purpose of offering testimony at a regularly scheduled congressional hearing pursuantto a written request for such presentation made by the',
19941:'chairman or ranking minority member of the committee or subcommittee conducting such hearing. 2 any lobbying made unallowable by paragraph',
19942:'a3 of this subsection to influence state or local legislation in order to directly reduce contract cost, or to avoidmaterial',
19943:'impairment of the contractor’s authorityto perform the contract. 3 any activity specifically authorized by statute to be undertaken with funds',
19944:'from the contract. c when a contractor seeks reimbursement for indirect costs, total lobbying costs shall be separately identified in',
19945:'the indirect cost rate proposal, and thereafter treated as other unallowable activity costs. d contractors shall maintain adequate records to',
19946:'demonstrate that the certification of costs as being allowable or unallowable see 42.7032 pursuant to this subsection complies with the',
19947:'requirements of this subsection. e existing procedures should be utilized to resolve in advance any significant questions or disagreements concerning',
19948:'the interpretation or application of this subsection. 31.20523 losses on other contracts. an excess of costs over income underany othercontract',
19949:'includingthe contractor’s contributed portion under costsharing contracts is unallowable. 31.20524 federal acquisition regulation 31.20524 [reserved] 31.20525 manufacturing andproduction engineering costs.',
19950:'a thecosts of manufacturingandproduction engineering effort asdescribed in 1 through 4 of this paragraph are all allowable: 1 developing and',
19951:'deploying new or improved materials, systems, processes, methods, equipment, tools and techniques that are or are expected to be used',
19952:'in producing products or services; 2 developing and deploying pilot production lines; 3 improving current production functions, such as plant',
19953:'layout, production scheduling and control, methods and job analysis, equipment capabilities and capacities, inspection techniques, and tooling analysis including tooling',
19954:'design and application improvements; and 4 material and manufacturing producibility analysis for production suitability and to optimize manufacturing processes, methods,',
19955:'and techniques. b this cost principle does not cover 1 basic and applied research effort as defined in 31.20518a related',
19956:'to newtechnology, materials,systems, processes, methods, equipment, toolsandtechniques. such technical effort is governed by 31.20518, independent research and development and bid',
19957:'and proposal costs; and 2 development effort for manufacturing or production materials,systems, processes,methods, equipment,tools, and techniques that are intended for',
19958:'sale is also governed by 31.20518. c where manufacturing or production development costs are capitalized or required to be capitalized',
19959:'under the contractor’s capitalization policies, allowable cost will be determinedin accordance with therequirements of 31.20511, depreciation. 31.20526 material costs. a',
19960:'material costs include the costs of such items as raw materials, parts, subassemblies, components, and manufacturing supplies, whether purchased or',
19961:'manufactured by thecontractor, and mayinclude such collateral items as inbound transportation and intransit insurance. in computing material costs, the contractor',
19962:'shall consider reasonable overruns, spoilage, or defective work unless otherwise provided in any contract provision relating to inspecting and correcting',
19963:'defective work. b the contractor shall 1 adjust the costs of material for income and other credits, including available trade',
19964:'discounts, refunds, rebates, allowances, and cash discounts, and credits for scrap, salvage, and material returned to vendors; and 2 credit',
19965:'such income and other credits either directly to the cost of the material or allocate such income and other credits',
19966:'as a credit to indirect costs. when the contractor can demonstrate that failure to take cash discounts was reasonable, the',
19967:'contractor does not need to credit lost discounts. c reasonable adjustments arising fromdifferencesbetween periodic physicalinventories and book inventories may be',
19968:'included in arriving at costs; provided such adjustments relate to the period of contract performance. d when materials are purchased',
19969:'specifically for and are identifiable solely with performance under a contract, the actual purchase cost of thosematerials should be chargedto',
19970:'the contract. if material is issued from stores, any generallyrecognized method of pricing such material is acceptable if that method',
19971:'is consistently applied and the results are equitable. e allowance for all materials, supplies and services that are sold or',
19972:'transferred between any divisions, subdivisions, subsidiaries, or affiliates of the contractor under a common controlshallbe on the basis of cost',
19973:'incurred in accordance with this subpart. however,allowance may be at price when 1 it is theestablished practice ofthe transferring organization',
19974:'to priceinterorganizational transfers at other than cost for commercial work of thecontractor or any division, subsidiary oraffiliate of the contractor',
19975:'under a common control; and 2 the item being transferred qualifies for an exception under 15.4031band the contracting officerhas not',
19976:'determined the price to be unreasonable. f when a commercial product or commercial service under paragraph e of this section',
19977:'is sold or transferred at a price based on a catalog or market price, the contractor— 1 should adjust the',
19978:'price to reflect the quantities being acquired; and 2 may adjust the price to reflect the actual cost of any',
19979:'modifications necessary because of contract requirements. subpart 31.2 contracts with commercial organizations 31.20531 31.20527 organization costs. a except as provided',
19980:'in paragraph b of this subsection, expenditures in connection with 1 planning or executing theorganization or reorganization ofthe corporate structure',
19981:'ofa business, includingmergers and acquisitions,2resisting or planningto resist the reorganization ofthe corporate structure ofa business ora change inthe controlling interest',
19982:'in the ownership of a business, and 3 raising capital net worth plus longterm liabilities, are unallowable. such expenditures include',
19983:'but are not limited to incorporation fees and costs of attorneys, accountants, brokers, promoters and organizers, management consultantsandinvestment counselors,whetheror not',
19984:'employees of thecontractor. unallowable reorganization costsinclude the cost of any change in the contractor’s financialstructure,excluding administrativecosts of shortterm borrowings for',
19985:'working capital, resulting in alterations in the rights and interests of security holders, whether or not additional capital is raised.',
19986:'b the cost ofactivitiesprimarily intended to providecompensation will not be considered organizationalcosts subjectto this subsection, but will be governed by',
19987:'31.2056. these activities include acquiring stock for 1 executive bonuses, 2 employee savings plans, and 3 employee stock ownership plans.',
19988:'31.20528 other business expenses. the following types of recurring costs are allowable: a registry and transfer charges resulting from changes',
19989:'inownership ofsecurities issued by the contractor. b cost of shareholders’ meetings. c normal proxy solicitations. d preparing and publishing reports',
19990:'to shareholders. e preparing and submitting required reports and forms to taxing and other regulatory bodies. f incidental costs of',
19991:'directors’ and committee meetings. g other similar costs. 31.20529 plant protection costs. costs of items such as a wages, uniforms,',
19992:'and equipmentof personnel engaged in plantprotection, b depreciation on plant protection capital assets, and c necessary expenses to comply with',
19993:'military requirements, are allowable. 31.20530 patent costs. a the following patent costs are allowable to the extent that they are',
19994:'incurred as requirements of a government contract but see 31.20533: 1 costs of preparing invention disclosures, reports, and other documents.',
19995:'2 costs for searching the art to the extent necessary to make the invention disclosures. 3 other costs in connection',
19996:'with the filing and prosecution of a united states patent application where title or royalty free license is to be',
19997:'conveyed to the government. b general counseling services relating to patent matters, such as advice on patent laws, regulations, clauses,',
19998:'and employee agreements, are allowable but see 31.20533. c other than those for general counseling services, patent costs not required',
19999:'by the contract are unallowable. see also 31.20537. 31.20531 plant reconversion costs. plant reconversion costs are those incurredin restoring or',
20000:'rehabilitating the contractor’s facilities to approximatelythe same condition existing immediately before the start of the government contract, fair wear and',
20001:'tear excepted. reconversion costs are unallowable except for the cost of removing government property and the restoration or rehabilitation costs',
20002:'caused by such removal. however, in special circumstances where equitysodictates, additional costs may be allowed to the extent agreed upon',
20003:'before costs are incurred. care should be exercised to avoid duplication through allowance as contingencies, additional profit or fee, or',
20004:'in other contracts. 31.20532 federal acquisition regulation 31.20532 precontract costs. precontract costs means costs incurred before the effective date of',
20005:'the contract directly pursuant to the negotiation and in anticipation of the contract award when such incurrence is necessary to',
20006:'comply with the proposed contract delivery schedule. these costs are allowable to the extent that they would have been allowable',
20007:'if incurred after the date of the contract see 31.109. 31.20533 professional and consultantservice costs. a definition. professional and consultant',
20008:'services, as used in this subsection, means those services rendered by persons who are members of a particularprofession orpossess a',
20009:'special skill and whoare not officers or employees of thecontractor. examples include those services acquired by contractors or subcontractors in',
20010:'order to enhance their legal, economic, financial, or technical positions. professional and consultant services are generally acquired to obtain information,',
20011:'advice, opinions, alternatives, conclusions, recommendations, training, or direct assistance, such as studies, analyses, evaluations, liaison with government officials,or other forms',
20012:'of representation. b costs of professional and consultant services are allowable subject to this paragraph and paragraphs c through f',
20013:'of this subsection when reasonable in relation to the services rendered and when not contingent upon recovery of the costs',
20014:'from the government but see 31.20530 and 31.20547. c costs of professional and consultant services performed under any of the',
20015:'following circumstances are unallowable: 1 services to improperly obtain, distribute, or use information or data protected by law or regulation',
20016:'e.g., 52.2151e, restriction on disclosure and use of data. 2 services that are intended to improperly influence the contents of',
20017:'solicitations, the evaluation of proposals or quotations, or the selection of sources for contract award, whether award is by the',
20018:'government, or by a prime contractor or subcontractor. 3 any other services obtained, performed, or otherwise resulting in violation of',
20019:'any statute or regulation prohibiting improper business practices or conflicts of interest. 4 services performed which are not consistent with',
20020:'the purpose and scope of the services contracted for or otherwise agreed to. d in determining the allowability of costs',
20021:'including retainer fees in a particular case, no single factor or any special combination of factors is necessarilydeterminative. however, the',
20022:'contracting officer shall consider the following factors, among others: 1 the nature and scope of the service rendered in relation',
20023:'to the service required. 2 the necessity ofcontracting for the service,considering the contractor’s capability in the particular area. 3 the',
20024:'past pattern of acquiring such services and their costs, particularly in the years prior to the award of government contracts.',
20025:'4 the impactof government contracts on the contractor’s business. 5 whetherthe proportionof government work tothe contractor’s totalbusiness is suchas to',
20026:'influence the contractor in favor of incurring the cost, particularly when the services rendered are not of a continuing nature',
20027:'and have little relationship to work under government contracts. 6 whether the service can be performed more economically by employment',
20028:'rather than by contracting. 7 the qualifications of the individual orconcern rendering the service and the customary feecharged, especially on',
20029:'nongovernment contracts. 8 adequacy of the contractual agreement for the service e.g., description of the service, estimate of time required,',
20030:'rate of compensation, termination provisions. e retainer fees, to be allowable, must be supported by evidence that 1 the services',
20031:'covered by the retainer agreement are necessary and customary; 2 the level of past services justifies the amount of the',
20032:'retainer fees if no services were rendered, fees are not automatically unallowable; 3 the retainer fee is reasonable in comparison',
20033:'with maintaining an inhouse capability to perform the covered services, when factors such as cost and level of expertise are',
20034:'considered; and 4 the actual services performed are documented in accordance with paragraph f of this subsection. f fees for',
20035:'services rendered are allowable only when supported by evidence of the nature and scope of the service furnished see also',
20036:'31.20538c. however, retainer agreements generally arenot based on specific statements of work. evidence necessary to determine that work performed is',
20037:'proper and does not violate law or regulation shall include subpart 31.2 contracts with commercial organizations 31.20535 1 details of',
20038:'all agreements e.g., work requirements, rate of compensation, and nature and amount of other expenses, if anywith the individuals or',
20039:'organizations providingthe services and details of actual services performed; 2 invoices or billings submitted by consultants, including sufficient detail as',
20040:'to the time expended and nature of the actual services provided; and 3 consultants’ work products and related documents, such',
20041:'as trip reports indicating persons visited and subjects discussed, minutes of meetings, and collateral memoranda and reports. 31.20534 recruitment costs.',
20042:'a subject to paragraph b of this subsection, the following costs are allowable: 1 costs of helpwanted advertising. 2 costs',
20043:'of operatingan employment office needed tosecure and maintain an adequate labor force. 3 costs of operating an aptitude and educational',
20044:'testing program. 4 travel costsof employeesengaged in recruiting personnel. 5 travel costsof applicants for interviews. 6 costs for employment agencies,',
20045:'not in excess of standard commercial rates. b helpwanted advertising costs are unallowable if the advertising 1 does not describe',
20046:'specific positions or classes of positions; or 2 includes material that is not relevant for recruitment purposes, such as extensive',
20047:'illustrations or descriptions of the company’s products or capabilities. 31.20535 relocation costs. a relocation costs are costs incident to the',
20048:'permanent change of assigned work location for a period of 12 months or more of an existing employee or upon',
20049:'recruitment of a new employee. the following types of relocation costs are allowable as noted, subject to the limitations in',
20050:'paragraphs b and f of this subsection: 1 costs of travelof the employee and members of theemployee’simmediatefamilysee 31.20546 and transportation',
20051:'ofthe household and personal effects to thenew location. 2 costs of finding a new home, such as advance trips by',
20052:'the employee or the spouse, or both, to locate living quarters, and temporary lodgingduring the transitionperiod for the employee and',
20053:'members of the employee’s immediate family. 3 closing costs incident to the disposition of the actual residence owned by the',
20054:'employee when notified of the transfer e.g., brokeragefees, legal fees, appraisalfees, points,andfinance charges,exceptthat these costs, when added tothe costs described',
20055:'in paragraph a4 of this subsection, shall not exceed 14 percent of the sales price of the property sold. 4',
20056:'continuing costs of ownership of the vacant former actual residence being sold, such as maintenance of building and grounds exclusive',
20057:'of fixing up expenses, utilities, taxes, property insurance, and mortgage interest, after the settlement date or lease date of a',
20058:'new permanent residence, except that these costs, when added to the costs described in paragraph a 3 of this subsection,',
20059:'shall not exceed 14 percent of the sales price of the property sold. 5 other necessary and reasonable expenses normally',
20060:'incident to relocation, such as disconnecting and connecting household appliances;automobile registration; driver’s license and use taxes; cutting and fitting rugs,',
20061:'draperies, and curtains; forfeited utility fees and deposits; and purchase of insurance against damage to or loss of personal property',
20062:'while in transit. 6 costs incident to acquiring a home in the new work location, except that i these costs',
20063:'are not allowable for existing employees or newly recruited employees who were not homeowners before the relocation; and ii the',
20064:'total costs shall not exceed 5 percent of the purchase price of the new home. 7 mortgage interest differential payments,',
20065:'except that thesecosts are notallowable for existing ornewly recruited employees who, before the relocation, were not homeowners and the total',
20066:'payments are limited to an amount determined as follows: ithe difference betweenthe mortgage interest rates of the old and new',
20067:'residences times the current balance ofthe old mortgage times 3 years. iiwhen mortgagedifferentialpayments are made on a lumpsum basis and',
20068:'the employee leavesor is transferred again in less than 3 years, the amount initially recognized shall be proportionately adjusted to',
20069:'reflect payments only for the actual time of the relocation. 8 rental differential payments covering situations where relocated employees retain',
20070:'ownership of a vacated home in the old location and rent at the new location. the rented quarters at the',
20071:'new location must be comparable to those vacated, 31.20535 federal acquisition regulation and the allowable differential payments may not exceed',
20072:'the actual rental costs for the new home, less thefair market rent for the vacated home times 3 years. 9',
20073:'costs of canceling an unexpired lease. 10 payments for increased employee income or federal insurance contributions act 26 u.s.c.chapter21 taxes',
20074:'incident to allowable reimbursed relocation costs. 11 payments for spouse employment assistance. b the costs described in paragraph a of',
20075:'this subsection must also meet the following criteria to be considered allowable: 1 the move must be for the benefit',
20076:'of theemployer. 2 reimbursement must be in accordance with an established policy or practice that is consistently followed by the',
20077:'employer and is designedto motivate employees torelocate promptly and economically. 3 the costs must not be otherwise unallowable under subpart',
20078:'31.2. 4 amounts to be reimbursed shall not exceed the employee’s actual expenses, except as provided for in paragraphs b',
20079:'5 and b6 of this subsection. 5 for miscellaneous costs of the type discussed in paragraph a5 of this subsection,',
20080:'a lumpsum amount, not to exceed $5,000, may be allowed in lieu of actual costs. 6 i reimbursement on a',
20081:'lumpsum basis may be allowed for any of the following relocation costs when adequately supported by data on the individual',
20082:'elements e.g., transportation, lodging, and meals comprising the buildup of the lump sum amount to be paidbased on thecircumstances of',
20083:'theparticular employee’s relocation: a costs of finding a new home, as discussed in paragraph a2 of this subsection. b costs',
20084:'of travel to the new location, as discussed in paragraph a1 of this subsection but not costs for the transportation',
20085:'of household goods. c costs of temporary lodging, as discussed in paragraph a2 of this subsection. ii when reimbursement on',
20086:'a lumpsum basis is used, any adjustments to reflect actual costs are unallowable. c the following types of costs are',
20087:'unallowable: 1 loss on the sale of a home. 2 costs incident to acquiring a home in the new location',
20088:'as follows: i real estate brokers’ fees and commissions. ii costs of litigation. iii real and personal property insurance against',
20089:'damage or loss of property. iv mortgage life insurance. v owner’s title policy insurance when such insurance was not previously',
20090:'carriedby the employeeon the old residence. however, the cost of a mortgage title policy is allowable. vi property taxes and',
20091:'operating or maintenance costs. 3 continuing mortgage principal payments on a residence being sold. 4 costs incident to furnishing equity',
20092:'or nonequity loans to employees or making arrangements with lenders for employees to obtain lowerthanmarket rate mortgage loans. d if',
20093:'relocation costs for an employee have been allowed either as an allocable indirect or direct cost, and the employee resigns',
20094:'within 12months for reasons within the employee’s control, the contractorshallrefund or credit the relocation costs to the government. e subject',
20095:'to the requirements of paragraphs a through d of this section, the costs of family movements and of personnel movements',
20096:'ofa special or mass natureare allowable. the cost, however, should be assigned on the basis ofwork contracts or time period',
20097:'benefited. f relocation costs both outgoing and return of employees who are hired for performance on specific contracts or longterm',
20098:'field projects are allowable if 1 the term of employment is 12 months or more; 2 the employment agreement specifically',
20099:'limits the duration of employment to the time spent on the contract or field project for which the employee is',
20100:'hired; 3 the employment agreement provides for return relocation to the employee’s permanent and principal home immediately prior to the',
20101:'outgoing relocation, or other location of equal or lesser cost; and 4 the relocation costs are determined under the rulesof',
20102:'paragraphs a through d ofthissection. however,the costs to return employees, who are released from employment upon completion of field assignments',
20103:'pursuant to their employment agreements, are not subject to the refund or credit requirement of paragraph d. subpart 31.2 contracts',
20104:'with commercial organizations 31.20538 31.20536 rental costs. a this subsection is applicable to the cost of renting or leasing real',
20105:'or personal property acquired under operating leases as defined in financial accounting standards board’s accounting standards codification fasb asc 840,',
20106:'leases. see 31.20511 for capital leases. b the following costs are allowable: 1 rental costs under operating leases, to the',
20107:'extent that the rates are reasonable at the time of the lease decision, after consideration of irentalcosts of comparable property,',
20108:'if any; ii market conditions in the area; iii the type, lifeexpectancy, condition, andvalueof the property leased; iv alternatives available;',
20109:'and v other provisions of the agreement. 2 rental costs under a sale and leaseback arrangement only up to the',
20110:'amount the contractor would be allowed if the contractor retained title, computed based on the net book value of the',
20111:'asset on the date the contractor becomes a lessee of the property adjusted for any gain or loss recognized in',
20112:'accordance with 31.20516b. 3 charges in the nature of rent for property between any divisions, subsidiaries, or organizations under common',
20113:'control, to the extent that they do not exceed the normal costs of ownership, such as depreciation, taxes, insurance, facilities',
20114:'capitalcostofmoney,andmaintenanceexcludinginterestorotherunallowablecostspursuantto part 31, provided that no part of such costs shall duplicate any other allowed cost. rental cost of personal',
20115:'property leased from any division, subsidiary, or affiliate of the contractor under common control, that hasan established practice of leasingthe',
20116:'same or similar property to unaffiliatedlesseesshallbe allowed in accordance with paragraphb1 of this subsection. c the allowability of rental costs',
20117:'under unexpired leases in connection with terminations is treated in 31.20542e. 31.20537 royalties and other costs for use of patents.',
20118:'a royalties on a patent or amortization of the cost of purchasing a patent or patent rights necessary for the',
20119:'proper performance of the contract and applicable to contract products or processes are allowable unless 1 the government has a',
20120:'license or the right to a free use of the patent; 2 the patent has been adjudicated to be invalid,',
20121:'or has been administratively determined to be invalid; 3 the patent is considered to be unenforceable; or 4 the patent',
20122:'is expired. b care should be exercised in determining reasonableness when the royalties may have been arrived at as a',
20123:'result of lessthan arm’slength bargaining; e.g.,royalties 1 paid topersons, including corporations, affiliatedwith the contractor; 2 paid tounaffiliated parties, including corporations,',
20124:'under an agreemententered intoin contemplation that a government contract would be awarded; or 3 paid under an agreement entered into',
20125:'after the contract award. c inany case involving apatent formerly owned by the contractor, the royalty amount allowed should notexceed',
20126:'the cost which would have been allowed had the contractor retained title. d see 31.109 regarding advance agreements. 31.20538 selling',
20127:'costs. a selling is a generic term encompassing all efforts to market the contractor’s products or services, someof which are',
20128:'covered specifically in other subsections of 31.205. the costs of any selling efforts other thanthose addressed in this cost principle',
20129:'are unallowable. b selling activity includes the following broad categories: 1 advertising. advertising is defined at 31.2051b, and advertising costs',
20130:'are subject to the allowability provisions of 31.2051d and f. 2 corporate image enhancement. corporate image enhancement activities, including broadlytargeted',
20131:'sales efforts, other than advertising, are included within the definition of public relations at 31.2051a, and the costs ofsuch efforts',
20132:'are subject to the allowability provisions at 31.2051e and f. 3 bid and proposal costs. bid and proposal costs are',
20133:'defined at 31.20518 and are subject to the allowability provisions of that subsection. 31.20539 federal acquisition regulation 4 market planning.',
20134:'market planning involves market research and analysis and general management planning concerned with development of the contractor’s business. longrangemarketplanning costs',
20135:'aresubject to the allowability provisions of 31.20512. other market planning costs are allowable. 5 direct selling. direct sellingefforts arethose acts',
20136:'oractions to induceparticular customersto purchase particular products or services of the contractor. direct selling is characterized by persontoperson contact and',
20137:'includes suchefforts as familiarizing apotentialcustomerwith the contractor’s productsor services,conditions ofsale,service capabilities,etc. it also includes negotiation, liaison between customer and contractor',
20138:'personnel, technical and consulting efforts, individual demonstrations,andany otherefforts having as their purpose the application or adaptation of the contractor’s products',
20139:'or services for a particular customer’s use. the cost of direct selling efforts is allowable. c notwithstanding any other provision',
20140:'of this subsection, sellers’ or agents’ compensation, fees, commissions, percentages, retainer or brokerage fees, whether or not contingent upon the',
20141:'award of contracts, are allowable only when paid to bona fide employees or established commercial or selling agencies maintained by',
20142:'the contractor for the purpose of securing business. 31.20539 service and warranty costs. service and warranty costs include those arising',
20143:'from fulfillment of any contractual obligation of a contractor to provide services such as installation, training, correcting defects in the',
20144:'products, replacing defective parts, and making refunds in the case of inadequate performance. when not inconsistent with the terms of',
20145:'the contract, service and warranty costs are allowable. however, care should beexercised to avoid duplication of the allowance asan element',
20146:'of both estimated product cost and risk. 31.20540 special tooling and special test equipment costs. a the terms “ special',
20147:'tooling” and “ special test equipment” are defined in 2.101. b the cost of special tooling and special test equipment',
20148:'used in performing one or more government contracts is allowable and shall be allocated to the specific government contract or',
20149:'contracts for which acquired, except that the cost of 1 items acquired by the contractor before the effectivedate of the',
20150:'contractorreplacement of such items, whether or not altered or adapted for use in performing the contract, and 2 items which',
20151:'the contract schedule specifically excludes, shall be allowable only as depreciation or amortization. c when items are disqualified as special',
20152:'tooling or special test equipment because with relatively minor expense they can be made suitable for general purpose use and',
20153:'have a value as such commensurate with their value as special tooling or special test equipment, the cost of adapting',
20154:'the items for use under the contract and the cost of returning them to their prior configuration are allowable. 31.20541',
20155:'taxes. a the following types of costs are allowable: 1 federal, state, and local taxes see part 29, except as',
20156:'otherwise provided in paragraph b of this section that are required to be and are paid or accrued in accordance',
20157:'with generally accepted accounting principles. fines and penalties are not considered taxes. 2 taxes otherwise allowable under paragraph a1 of',
20158:'this section, but upon which a claimof illegality orerroneous assessment exists; provided the contractor,before payingsuch taxes ipromptly requests instructions from',
20159:'thecontracting officer concerning such taxes; and iitakes all actiondirected bythe contracting officer arising out of paragraph 2i of this sectionor',
20160:'an independent decision of the government as to the existence of a claim of illegality or erroneous assessment, to a',
20161:'determine the legality of the assessment or b secure a refund of such taxes. 3 pursuant to paragraph a2 of',
20162:'this section, the reasonable costs of any action taken by the contractor at the direction or with the concurrence of',
20163:'the contracting officer. interest or penaltiesincurred by thecontractor for nonpayment of any tax at the direction of the contracting officer',
20164:'or byreason of the failure of the contracting officerto ensure timely direction after a prompt request. 4 the environmental tax',
20165:'found atsection 59 a ofthe internal revenue code, also calledthe superfund tax. b the following types of costs are not',
20166:'allowable: 1 federal income and excess profits taxes. subpart 31.2 contracts with commercial organizations 31.20542 2 taxes inconnectionwith financing,refinancing, refunding',
20167:'operations, or reorganizations see 31.20520 and 31.20527. 3 taxes from which exemptions are available to the contractordirectly, or available to',
20168:'the contractor based on an exemption afforded the government, except when the contracting officer determines that the administrative burdenincident to',
20169:'obtaining the exemption outweighs the corresponding benefits accruing to the government. when partial exemption from atax is attributable to government',
20170:'contract activity,taxes charged to such work in excess of that amount resulting from application of the preferential treatment are unallowable.',
20171:'these provisions intend that tax preference attributable to government contract activity be realized by the government. the term exemption means',
20172:'freedom from taxation in whole or in part and includes a tax abatement or reduction resulting from mode of assessment,',
20173:'method of calculation, or otherwise. 4 special assessments on land that represent capital improvements. 5 taxes including excises on realor',
20174:'personal property, oron the value, use, possession or sale thereof, which is used solely in connection with work other than',
20175:'on government contracts see paragraph c of this section. 6 any excise tax in subtitled, chapter 43 of the internal',
20176:'revenue code of1986, as amended. that chapter includes excise taxes imposed in connection with qualified pension plans, welfare plans, deferred',
20177:'compensation plans, or other similar types of plans. 7 incometax accrualsdesigned to accountforthe taxeffects of differences between taxable income and',
20178:'pretax income as reflected by the books of account and financial statements. 8 any tax imposed under 26 u.s.c. 5000',
20179:'c. c taxes on property see paragraph b5 of this section used solely inconnectionwith either nongovernmentor government work should be',
20180:'considered directly applicable to the respective category of work unless the amounts involved are insignificant or comparable results would otherwise',
20181:'be obtained; e.g., taxes on contractorowned workinprocess which is used solely in connection with nongovernment work should be allocated to',
20182:'such work; taxes on contractorowned workinprocess inventory and governmentowned workinprocess inventory when taxed used solely in connection with government work',
20183:'should be chargedto suchwork. the cost of taxes incurred on property used in both government and nongovernment work shall be',
20184:'apportioned to all such work based upon the use of such property on the respective final cost objectives. d any',
20185:'taxes, interest, or penalties that were allowed as contract costs and are refunded to the contractor shall be credited or',
20186:'paid to the government in the manner it directs. if a contractor or subcontractor obtains a foreign tax credit that',
20187:'reduces its u.s. federal income tax because of the payment of any tax or duty allowed as contract costs, and',
20188:'if those costs were reimbursedby a foreign government, the amount ofthe reduction shall be paid to the treasurer of theunited',
20189:'statesat the time the federal incometax return is filed. however, any interestactually paid or credited toa contractorincidentto a refund of',
20190:'tax, interest, or penalty shall be paid or credited to the government only to the extent that such interest accrued',
20191:'over the period during which the contractor had been reimbursed by the government for the taxes, interest, or penalties. 31.20542',
20192:'termination costs. contract terminations generally give rise to the incurrence of costs or the need for special treatment of costs',
20193:'that would not have arisen had the contract not been terminated. the following cost principles peculiar to termination situations are',
20194:'to be used in conjunction with the other cost principles in subpart 31.2: a common items. thecosts of items reasonably',
20195:'usable on the contractor’s other work shall not beallowable unless the contractor submits evidence that the items could not be',
20196:'retained at cost without sustaining a loss. the contracting officer should consider the contractor’splans and orders for current and planned',
20197:'production when determining if items can reasonablybe usedon otherwork of the contractor. contemporaneous purchases of common items bythe contractor shall',
20198:'be regarded as evidence thatsuch items arereasonably usableon the contractor’s other work. any acceptance of common items as allocable to',
20199:'the terminated portion of the contract should be limited to the extent that the quantities of such items on hand,',
20200:'in transit, and on order are in excess of the reasonable quantitative requirements of other work. b costs continuing after',
20201:'termination. despite all reasonable effortsby the contractor, costs which cannot be discontinued immediately after theeffective date oftermination aregenerally allowable. however,',
20202:'any costs continuing after the effective date of the termination due to the negligent or willful failure of the contractor',
20203:'to discontinue the costs shall be unallowable. c initial costs. initial costs, including starting load and preparatory costs, are allowable',
20204:'as follows: 1 startingload costs not fully absorbed because of termination are nonrecurring labor, material, and related overhead costs incurred',
20205:'in the early part of production and result from factors such as i excessive spoilage due to inexperienced labor; ii',
20206:'idle time and subnormal production due to testing and changing production methods; 31.20543 federal acquisition regulation iii training; and iv',
20207:'lack of familiarity or experience with the product, materials, or manufacturing processes. 2 preparatory costs incurred in preparing to perform',
20208:'the terminated contract include such costs as those incurred for initial plant rearrangement and alterations, management and personnel organization, and',
20209:'production planning. they do not include special machinery and equipment and starting load costs. 3 when initialcosts are included in',
20210:'the settlement proposal asa directcharge,such costs shall notalsobe included in overhead. initial costs attributable to only one contract shall not',
20211:'be allocated to other contracts. 4 if initial costsare claimed and have notbeensegregated on the contractor’s books,they shall be segregated',
20212:'for settlement purposes from cost reports and schedules reflecting that high unit cost incurred during the early stages of the',
20213:'contract. 5 if the settlement proposal is on the inventory basis, initial costs should normally be allocated on the basis',
20214:'of total end items called for by the contract immediately before termination; however, if the contract includes end itemsof adiverse',
20215:'nature, some other equitable basis may be used, such as machine or labor hours. d loss of useful value. loss',
20216:'of useful value of special tooling, and special machinery and equipment is generally allowable, provided 1 the special tooling, or',
20217:'special machinery and equipment is not reasonably capable of use in the other work of the contractor; 2 the government’s',
20218:'interest is protectedby transfer of title or byothermeans deemed appropriateby the contracting officer; and 3 the loss of useful value',
20219:'for any one terminated contract is limited to that portion of the acquisition cost which bears the same ratio to',
20220:'the total acquisition cost as the terminated portion of the contract bears to the entire terminated contract and other government',
20221:'contracts for which the special tooling, or special machinery and equipment was acquired. e rental under unexpired leases. rental costs',
20222:'under unexpired leases, less the residual value of such leases, are generally allowable when shown to have been reasonably necessary',
20223:'for the performance of the terminated contract, if 1 the amount of rental claimed does not exceed the reasonable use',
20224:'value of the property leased for the period of the contract and such further period as may be reasonable; and',
20225:'2 the contractormakes all reasonable efforts to terminate, assign, settle, or otherwisereduce the cost of such lease. f alterations of',
20226:'leased property. the cost of alterations and reasonable restorations required by the lease may be allowed when the alterations were',
20227:'necessary for performing the contract. g settlement expenses. 1 settlement expenses, including the following, are generally allowable: i accounting, legal,',
20228:'clerical, and similar costs reasonably necessary for athe preparation and presentation, including supporting data, of settlement claims to the contracting',
20229:'officer; and b the termination and settlement of subcontracts. ii reasonable costs for the storage, transportation, protection, and disposition of',
20230:'property acquired or produced for the contract. iii indirect costs related to salary and wages incurred as settlement expensesin iand',
20231:'ii; normally, such indirect costs shall be limited to payroll taxes, fringe benefits, occupancy costs, and immediate supervision costs. 2',
20232:'if settlement expenses are significant, a cost account or work order shall be established to separately identify and accumulate them.',
20233:'h subcontractor claims. subcontractor claims, including the allocable portion of the claims common to the contract and to otherwork of',
20234:'the contractor, aregenerally allowable. an appropriate share ofthe contractor’s indirect expense may be allocated to the amount of settlements with',
20235:'subcontractors; provided, that the amount allocated is reasonably proportionate to the relative benefits received and is otherwise consistent with 31.2014',
20236:'and 31.203d. the indirect expense so allocated shall exclude the same and similar costs claimed directly or indirectly as settlement',
20237:'expenses. 31.20543 trade, business, technical and professionalactivity costs. the following types of costs are allowable: a membershipsin trade, business, technical,',
20238:'and professional organizations. b subscriptions to trade, business, professional, or other technical periodicals. c when the principal purpose of a',
20239:'meeting, convention, conference, symposium, or seminar is the dissemination of trade, business, technical or professional information or the stimulation of',
20240:'production or improved productivity subpart 31.2 contracts with commercial organizations 31.20546 1 costs of organizing,setting up, and sponsoring the meetings,conventions,symposia,',
20241:'etc., includingrental of meeting facilities, transportation, subsistence, and incidental costs; 2 costs of attendance by contractor employees, including travel costs',
20242:'see 31.20546; and 3 costs of attendance by individuals who arenot employees of the contractor, provided isuch costs are not',
20243:'also reimbursed to the individual by the employing companyor organization, and ii the individuals attendance is essential to achieve the',
20244:'purpose of the conference, meeting, convention, symposium, etc. 31.20544 training andeducation costs. costs of training and education that are related',
20245:'to the field in which the employee is working or may reasonably be expected to work are allowable, except as',
20246:'follows: a overtime compensation for training and education is unallowable. b the cost ofsalaries for attending undergraduate levelclasses or parttimegraduate',
20247:'level classes during working hours is unallowable, except when unusual circumstances do not permit attendance at such classes outside of',
20248:'regular working hours. c costs oftuition,fees, training materials and textbooks, subsistence, salary, and any other payments in connection with fulltime',
20249:'graduate level education are unallowable for any portion of the program that exceeds two school years or the length of',
20250:'the degree program, whichever is less. d grants to educational or training institutions, including the donation of facilities or other',
20251:'properties, scholarships, and fellowships are considered contributions and are unallowable. e training or educationcosts for other than bona fide employees',
20252:'are unallowable, except that the costs incurred for educating employee dependents primary and secondary level studies when the employee is',
20253:'working in a foreign country where suitable public education is not available may beincluded in overseas differential pay. f contractor',
20254:'contributions to college savings plans for employee dependents are unallowable. 31.20545 [reserved] 31.20546 travelcosts. a costs for transportation, lodging, meals,',
20255:'and incidental expenses.1costs incurred by contractor personnel on official company business are allowable, subject to the limitations contained in this',
20256:'subsection. costs for transportation may be based on mileage rates, actualcosts incurred, or on a combination thereof,providedthe methodused results in',
20257:'areasonable charge. costs for lodging, meals, and incidental expenses may be based on per diem, actual expenses, or a combination',
20258:'thereof, provided themethod usedresults in a reasonable charge. 2 except as provided in paragraph a3 of this subsection, costs incurred',
20259:'for lodging, meals, and incidental expenses as defined in the regulations cited in a2i through iii of this section shall',
20260:'be considered to be reasonable and allowable only tothe extent that they do not exceed on a daily basis the',
20261:'maximum per diem rates ineffect at thetime oftravel as set forth in the ifederal travel regulations, prescribed by thegeneral services',
20262:'administration, for travel in the contiguous united states, available on a subscription basis from the superintendent of documents u.s. government',
20263:'publishing office washington dc 20402 stock no.922002000002; iijoint travel regulation, volume2, dod civilian personnel, appendixa, prescribed by the department of',
20264:'defense, for travel in alaska, hawaii, and outlying areas of the united states, available on a subscription basis from the',
20265:'superintendent of documents u.s. government publishing office washington dc 20402 stock no.908010000001; or iii standardized regulationsgovernment civilians,foreignareas, section925, maximum travel',
20266:'per diem allowances for foreign areas, prescribed by the department of state, for travel in areas not covered in a2i',
20267:'and ii of this paragraph, available on a subscription basis from the superintendent of documents 31.20546 federal acquisition regulation u.s.',
20268:'government publishing office washington,dc 20402 stock no.744008000000. 3 in special or unusual situations, actual costs in excess of the abovereferenced',
20269:'maximum per diem rates are allowable provided that such amounts do not exceed the higher amounts authorized for federal civilian',
20270:'employees as permitted in the regulations referenced in a2i, ii, or iii of this section. for such higher amounts to',
20271:'be allowable, all of the following conditions must be met: i one of the conditions warranting approval of the actual',
20272:'expense method, as set forth in the regulations referenced in paragraphs a2i, ii, or iii of this section, must exist.',
20273:'iiawritten justificationforuse ofthe higher amounts must be approvedby an officer ofthe contractor’s organizationor designee to ensurethat the authority is properly',
20274:'administered and controlledto prevent abuse. iii if it becomes necessary to exercise the authority to use the higher actual expense',
20275:'method repetitively or on a continuing basis in a particular area,the contractor must obtain advanceapproval from the contracting officer. iv',
20276:'documentation to supportactual costs incurredshallbe inaccordance withthe contractor’s established practices, subject to paragraph a7 of this section, and provided that',
20277:'a receipt is required for each expenditure of $75.00 or more. the approved justification required by paragraph a3ii of this',
20278:'section and, if applicable, paragraph a3iii of this section must be retained. 4 paragraphs a2 and 3 of this section',
20279:'do not incorporate the regulations cited in paragraphs a2i, ii, and iii of this section intheir entirety. only the maximum',
20280:'per diem rates, the definitions oflodging, meals,andincidentalexpenses, and the regulatory coverage dealing with special or unusual situations are incorporated herein.',
20281:'5 an advance agreement see 31.109 with respect to compliance with paragraphs a2 and 3 of this subsection may be',
20282:'useful and desirable. 6 the maximum per diem rates referenced in paragraph a2 of this subsection generally would not constitute',
20283:'a reasonable daily charge i when no lodging costs are incurred; and/or ii on partial travel days e.g., day of',
20284:'departure and return. appropriate downward adjustments from the maximum per diem rates would normally be required under these circumstances. while',
20285:'these adjustments need not be calculated in accordance with the federal travel regulation or joint travel regulations,they must result in',
20286:'areasonable charge. 7 costs shall be allowable only if the following information is documented idate andplace city, town, or other',
20287:'similar designation of the expenses; ii purpose of the trip; and iii name ofperson ontrip and that person’s title orrelationship',
20288:'to the contractor. b airfare costs in excess of the lowest priced airfare available to the contractor during normal business',
20289:'hours are unallowable except when such accommodations require circuitous routing, require travel during unreasonable hours, excessivelyprolongtravel, result in increased cost',
20290:'thatwould offsettransportation savings, are not reasonablyadequate for thephysical or medical needs of the traveler, or arenot reasonably available to meet',
20291:'mission requirements. however, in order for airfare costs in excess of the above airfare to be allowable, the applicable conditions',
20292:'set forth above must be documented and justified. c 1 cost of travel by contractorowned, leased, or chartered aircraft, as',
20293:'used in this paragraph, includes the cost of lease, charter, operationincluding personnel, maintenance, depreciation, insurance, and other related costs. 2',
20294:'the costs of travel by contractorowned, leased, or chartered aircraft are limited to the allowable airfare described in paragraph b',
20295:'of this section for the flight destination unless travel by such aircraft is specifically required by contract specification, term, or',
20296:'condition,or ahigher amount is approved by the contracting officer. a higher amount may be agreed to when one or more',
20297:'of the circumstances for justifying higher than allowable airfare listed in paragraph b of this section are applicable, or when',
20298:'an advance agreement under paragraph c3 of this section has been executed. in all cases, travel by contractorowned, leased, or',
20299:'chartered aircraft must be fully documented and justified. for each contractorowned, leased, or charteredaircraftused for any business purpose which is',
20300:'charged orallocated, directly or indirectly, toa government contract, the contractor must maintain and make available manifest/logs for all flights on',
20301:'such company aircraft. as a minimum, the manifest/log shall indicate i date, time, and points of departure; ii destination, date,',
20302:'and time of arrival; iii name of each passenger and relationship to the contractor; subpart 31.2 contracts with commercial organizations',
20303:'31.20547 iv authorization for trip; and v purpose of trip. 3 where an advance agreement is proposed see 31.109, consideration',
20304:'may be given to the following: iwhether scheduled commercial airlines or other suitable, less costly,travel facilities are available at reasonable',
20305:'times, with reasonablefrequency, and serve the required destinations conveniently. iiwhether increased flexibility in scheduling results in time savings and more',
20306:'effective useof personnel that would outweigh additional travel costs. d costs of contractorowned or leased automobiles, as used in this',
20307:'paragraph, include the costs of lease, operation including personnel, maintenance, depreciation, insurance, etc. these costs are allowable, if reasonable, to',
20308:'the extent that the automobiles are used for company business. that portion of the cost of companyfurnished automobiles that relates',
20309:'to personal use by employees including transportation to and from work is compensation for personal services and is unallowable as',
20310:'stated in 31.2056m2. 31.20547 costs related tolegal and other proceedings. a definitions. as used in this subsection costs include, but',
20311:'are not limited to, administrative and clerical expenses; the costs of legal services, whether performed by inhouse or private counsel;',
20312:'the costs of the services of accountants, consultants, or others retained by the contractor or subcontractor to assist it; costs',
20313:'ofemployees, officers,and directors; and any similar costs incurredbefore, during, and after commencement of a judicial or administrative proceeding which bears',
20314:'a direct relationship to the proceeding. fraud means 1 acts of fraud or corruption or attempts to defraud the government',
20315:'or to corrupt its agents; 2 acts which constitute a cause for debarment or suspension under 9.4062a and 9.4072a; and',
20316:'3 acts which violate the false claims act, 31 u.s.c., sections37293731, or 41 u.s.c. chapter 87, kickbacks. penalty does not',
20317:'include restitution, reimbursement, or compensatory damages. proceeding includes an investigation. b costs incurred in connection with any proceeding brought by:',
20318:'a federal, state, local, or foreign government for a violation of, or failure to comply with, law or regulation by',
20319:'the contractor or subcontractor including its agents or employees 41 u.s.c. 4310 and 10 u.s.c. 3750; a contractor or subcontractor',
20320:'employee submitting a whistleblower complaint of reprisal in accordance with 41 u.s.c. 4712 or 10 u.s.c. 4701; or a third',
20321:'party in the name of the united states under the false claims act, 31 u.s.c.3730, are unallowable if the result',
20322:'is 1 in a criminal proceeding, a conviction; 2 in a civil or administrative proceeding, either a finding of contractor',
20323:'or subcontractor liability where the proceeding involves anallegation of fraud orsimilar misconduct; or imposition of a monetary penalty, or an',
20324:'order issued by the agency head to the contractor or subcontractor to take corrective action under 41 u.s.c. 4712 or',
20325:'10 u.s.c. 4701, where the proceeding does not involve an allegation of fraud or similar misconduct; 3 a final decision',
20326:'by an appropriate official of an executive agency to i debar or suspend the contractor or subcontractor; ii rescind or',
20327:'void a contract; or iii terminate a contract for default by reasonof aviolation orfailureto comply witha law orregulation. 4 disposition',
20328:'of the matter by consent or compromise if the proceeding could have led to any of the outcomes listed in',
20329:'paragraphs b1 through 3 of this subsection but see paragraphs c and d of this subsection; or 5 not covered',
20330:'by paragraphs b1 through 4 of this subsection, but where the underlying alleged contractor misconduct was thesame asthat whichled toa',
20331:'different proceeding whose costs are unallowable by reason of paragraphs b 1 through 4 of this subsection. c 1totheextenttheyarenototherwiseunallowable,costsincurredinconnectionwithanyproceedingunder paragraph',
20332:'b of this subsection commenced by the united states that is resolved by consent or compromise pursuant to an agreement',
20333:'entered into between the contractor or subcontractor and the united states, and which are unallowable solely because of paragraph b',
20334:'of this subsection, may be allowed to the extent specifically provided in such agreement 2 i in the event of',
20335:'a settlement of any proceeding brought by a third party under the false claims act in which the united states',
20336:'did not intervene, reasonable costs incurred by the contractor or subcontractor in connection with such a proceeding that are not',
20337:'otherwise unallowable by regulation or by separate agreement with the united states may be allowed if the contractingofficer, in consultationwith',
20338:'his orher legal advisor, determines that therewas very little likelihood that the third party would have been successful on the',
20339:'merits. 31.20547 federal acquisition regulation ii in the event of disposition by consent or compromise of a proceeding brought by',
20340:'a whistleblower for alleged reprisal in accordance with 41 u.s.c. 4712 or 10 u.s.c. 4701, reasonable costs incurred by a',
20341:'contractor or subcontractor in connection with such a proceeding that are not otherwise unallowable by regulation or by agreement with',
20342:'the united states may be allowed if the contracting officer, in consultation with his orher legal advisor, determined thatthere was',
20343:'very little likelihood that the claimant would have been successful on the merits. d to the extent that they arenot',
20344:'otherwise unallowable, costs incurred in connection with any proceeding under paragraph b of this subsection commenced by a state, local,',
20345:'or foreign government may be allowable when the contracting officer or other official specified inagency procedures determines, thatthe costs were',
20346:'incurred either: 1 as a direct result of a specific term or condition of a federal contract or subcontract; or',
20347:'2 asa result of compliance withspecific written direction ofthe cognizantcontracting officer. e costs incurred in connection with proceedings described in',
20348:'paragraph b of this subsection, but which are not made unallowable by that paragraph, may be allowable to the extent',
20349:'that: 1 the costs are reasonable in relation to the activities required to deal with the proceeding and the underlying',
20350:'cause of action; 2 the costs are not otherwise recovered fromthe federalgovernmentor athird party, either directly asa result of the',
20351:'proceeding or otherwise; and 3 the percentage of costs allowed does not exceed the percentage determined to be appropriate considering',
20352:'the complexity of procurement litigation, generally accepted principles governing the award of legal fees in civil actions involving the united',
20353:'states as aparty, and suchotherfactors as may beappropriate. such percentage shall not exceed 80 percent. agreements reachedunder paragraph c of',
20354:'this subsection shall be subject to this limitation. if, however, an agreement described in paragraph c1 of this subsection explicitly',
20355:'states the amount of otherwise allowable incurred legal fees and limits the allowable recovery to 80 percent or less of',
20356:'the stated legal fees, no additional limitation need be applied. the amount of reimbursement allowed for legal costs in connection',
20357:'with any proceeding described in paragraph c2 of this subsection shall be determined by the cognizant contracting officer, but shall',
20358:'notexceed 80percent ofotherwise allowable legal costs incurred. f costs not covered elsewhere in this subsection are unallowable if incurred in',
20359:'connection with the following: 1 defense against federal government claims or appeals or the prosecution of claims or appeals against',
20360:'the federal government see 2.101. 2 organization, reorganization, including mergers and acquisitions or resisting mergers and acquisitions see also 31.20527.',
20361:'3 defense of antitrust suits. 4 defense of suits brought by employees or exemployees of the contractor or subcontractor under',
20362:'section 2 of the major fraud act of 1988 where the contractor or subcontractor was found liable or settled. 5',
20363:'costs of legal, accounting, and consultant services and directly associated costs incurred in connection with the defense or prosecution of',
20364:'lawsuits or appeals between contractors or subcontractors arising from either— i an agreement or contract concerning a teaming arrangement, a',
20365:'joint venture, or similar arrangement of shared interest; or ii dual sourcing, coproduction, or similar programs, are unallowable, except when—',
20366:'a incurred as a result of compliance with specific terms and conditions of the contract or subcontract or written instructions',
20367:'from the contracting officer; or b whenagreed to in writing by the contracting officer. 6 patent infringement litigation, unless otherwise',
20368:'provided for in the contract or subcontract. 7 representation of, or assistance to, individuals, groups, or legal entities which the',
20369:'contractor or subcontractor is not legally bound to provide, arising from an action where the participant was convicted of violation',
20370:'of a law or regulation or was found liable in a civil or administrative proceeding. 8 protests of federal government',
20371:'solicitations or contract awards, or the defense against protests of such solicitations or contract awards, unless the costs of defending',
20372:'against a protest are incurred pursuant to a written request from the cognizantcontracting officer. 9 a congressional investigation or inquiry',
20373:'into an issue that is the subject matter of a proceeding resulting in a disposition as described in paragraphs b1',
20374:'through 5 of this section see 10 u.s.c. 3744a17. g costs which may be unallowable under 31.20547, including directly associated',
20375:'costs, shall be segregated and accounted for bythe contractor orsubcontractorseparately. during thependency of any proceedingcovered by paragraph b and paragraphs',
20376:'f4and f7 of this subsection, the contracting officer shall generally withhold payment ofsuch subpart 31.2 contracts with commercial organizations 31.20552',
20377:'costs. however, ifin thebestinterests of the government, the contracting officer may provide for conditional paymentupon provisionof adequate security, orother adequate',
20378:'assurance, and agreement by the contractor or subcontractor torepay all unallowable costs, plus interest, if the costs are subsequently determined',
20379:'to be unallowable. 31.20548 research and development costs. research and development, as used in this subsection, means the type of',
20380:'technical effort described in 31.20518 but sponsored by a grant or required in the performance of a contract. when costs',
20381:'are incurred in excess of either the price of a contract or amount of a grant for research and development',
20382:'effort, the excess is unallowable under any other government contract. 31.20549 goodwill. goodwill, an unidentifiable intangible asset, originates under the',
20383:'purchase method of accounting for a business combination when the price paid by the acquiring company exceeds the sum of',
20384:'the identifiable individual assets acquired less liabilities assumed, based upon their fair values. the excess is commonly referred to as',
20385:'goodwill. goodwill may arise from theacquisition of a company as a whole or a portion thereof. any costsforamortization, expensing, writeoff,',
20386:'or writedown of goodwill however represented are unallowable. 31.20550 [reserved] 31.20551 costs of alcoholic beverages. costs of alcoholic beverages are',
20387:'unallowable. 31.20552 asset valuations resulting from business combinations. a for tangible capital assets, when the purchase method of accounting for',
20388:'a business combination is used, whether or not the contract or subcontract is subject to cas, the allowable depreciation and',
20389:'cost of money shall be based on the capitalized asset values measured and assigned in accordance with 48 cfr9904.40450d, if',
20390:'allocable, reasonable, and not otherwise unallowable. b for intangible capital assets, when the purchase method of accounting for a business',
20391:'combination is used, allowable amortization and cost of money shall be limited to the total of the amounts that would',
20392:'have been allowed had the combination not taken place. this page intentionally left blank. 31.236 subpart 31.3 contracts with educational',
20393:'institutions 31.303 subpart 31.3 contracts with educational institutions 31.301purpose. this subpart provides the principles for determining the cost of research',
20394:'and development, training, and other work performed by educational institutions under contracts with the government. 31.302general. the omb uniform guidance',
20395:'at 2 cfr part 200, subpart e and appendix iii, provides principles for determining the costs applicable to research and',
20396:'development, training, and other work performed by educational institutions defined as institutions of higher education in the omb uniform guidance',
20397:'at 2 cfr part 200, subpart a, and 20 u.s.c. 1001 under contracts with the government. 31.303 requirements. a contracts',
20398:'that refer to this subpart 31.3 for determining allowable costs under contracts with educational institutions defined as institutions of higher',
20399:'education in the omb uniform guidance at 2 cfr part 200, subpart a, and 20 u.s.c. 1001 shall be deemed',
20400:'to refer to, and shall have the allowability ofcosts determined by the contracting officer in accordance with, the omb uniform',
20401:'guidance at 2 cfr part 200, subpart e andappendixiii,in effect on the date of thecontract. b agencies are not expected',
20402:'to place additional restrictions on individual items of cost. this page intentionally left blank. 31.32 subpart 31.4 [reserved] subpart 31.4',
20403:'[reserved] this page intentionally left blank. 31.42 subpart 31.5 [reserved] subpart 31.5 [reserved] this page intentionally left blank. 31.52 subpart',
20404:'31.6 contracts with state, local, and federally recognized indian tribal governments 31.603 subpart 31.6 contracts with state, local, and federally',
20405:'recognized indian tribal governments 31.601purpose. this subpart provides the principles for determining allowable cost of contracts and subcontracts with state,',
20406:'local, and federally recognized indian tribal governments. 31.602general. the omb uniform guidance at 2 cfr part 200, subpart e and',
20407:'appendices v and vii sets forth the principles for determining the allowable costs of contracts and subcontracts with state, local,',
20408:'and federally recognized indian tribal governments. these principles are for cost determination and are not intended to identify the circumstances',
20409:'or dictate the extent of federal and state or local participation in financing a particular contract. 31.603 requirements. a contracts',
20410:'that refer to this subpart 31.6 for determining allowable costs under contracts with state, local and indian tribalgovernmentsshallbe deemedto refer',
20411:'to,andshallhavethe allowability of costs determined by the contracting officer in accordance with, the omb uniform guidance at 2 cfr part',
20412:'200, subpart e and appendices v and vii, in effecton the date of the contract. b agencies are not expected',
20413:'toplace additionalrestrictions on individual items of cost. however, under 10 u.s.c. 3744, 41 u.s.c.4304, 31 u.s.c. 3730, and 41 u.s.c.',
20414:'4310, the following costs are unallowable: 1 costs of entertainment, including amusement, diversion, and social activities, and any costs directly',
20415:'associated with such costs such as tickets to shows or sports events, meals, lodging, rentals, transportation, and gratuities. 2 costs',
20416:'incurred to influence directly or indirectly legislative action on any matter pending before congress, a state legislature, or a legislative',
20417:'body of a political subdivision of a state. 3 costs incurred in defense of any civil or criminal fraud proceeding',
20418:'or similar proceeding including filing of any false certification brought by the united states where the contractor is found liable',
20419:'or has pleaded nolo contendere to a charge offraud or similar proceeding including filing ofa false certification. 4 payments of',
20420:'fines and penalties resulting from violations of, or failure to comply with, federal, state, local, or foreign laws and regulations,',
20421:'except when incurred as a result of compliance with specific terms and conditions of the contract or specific written instructions',
20422:'from the contracting officer authorizing in advance such payments in accordancewith applicable regulationsin the far oran executive agency supplement tothe',
20423:'far. 5 costs of any membership in any social, dining, or country club ororganization. 6 costs of alcoholic beverages. 7',
20424:'contributions or donations, regardless of the recipient. 8 costs of advertising designed to promote the contractor or its products. 9',
20425:'costs of promotional items and memorabilia, including models, gifts, and souvenirs. 10 costs for travel by commercial aircraft which exceed',
20426:'the amount of the standard commercial fare. 11 costsincurred in making any paymentcommonly known as a golden parachute payment which',
20427:'is i in an amount in excess of the normal severance pay paid by the contractor to an employee upon',
20428:'termination of employment; and iiispaid to the employee contingentupon, and following, a change in management control over, or ownershipof, thecontractor',
20429:'or a substantial portion of the contractor’s assets. 12 costs of commercialinsurance that protects against the costs of the contractor',
20430:'for correction of the contractor’s own defects in materials or workmanship. 13 costs of severance pay paid by the contractor',
20431:'to foreign nationals employed by the contractor under a service contract performed outside the united states, to the extent that',
20432:'the amount of the severance pay paid in any case exceeds the amount paid in the industry involved under the',
20433:'customary or prevailing practice for firms in that industry providing similar services inthe unitedstates, as determined byregulations in the far',
20434:'or in an executive agencysupplement to the far. 14 costs of severance pay paid by the contractor to a foreign',
20435:'national employed by the contractor under a service contract performed in a foreign country if the termination of the employment',
20436:'of the foreign national is the result of the closing of, or curtailment of activities at, a united states facility',
20437:'in that country at the request of the government of that country. federal acquisition regulation 15 unless any of the',
20438:'exceptions at 31.20547c ordapply, costs incurred bya contractoror subcontractor in connection with any criminal, civil, or administrative proceedings that result',
20439:'in dispositions described at 31.20547b1 through 5 commenced by: a federal, state, local, or foreign government, for a violation of,',
20440:'or failure to comply with, law or regulation by the contractor or subcontractor including its agents or employees; a contractor',
20441:'or subcontractor employee submitting a whistleblower complaint of reprisal in accordance with 41 u.s.c. 4712 or 10 u.s.c. 4701; or',
20442:'a third party in the name of the united states under the false claims act, 31 u.s.c. 3730. for any',
20443:'such proceeding that does not result in a disposition described at 31.20547b1 through 5, or to which 31.20547c exceptions apply,',
20444:'the costof that proceeding shall be subject to the limitations in 31.20547e. 16 costs incurred in connection with a congressional',
20445:'investigation or inquiry into an issue that is the subject matter of a proceeding resulting in a disposition as described',
20446:'at 31.20547b1 through 5. subpart 31.7 contracts with nonprofit organizations 31.703 subpart 31.7 contracts with nonprofit organizations 31.701purpose. this subpart',
20447:'providesthe principles for determining the cost applicable to work performed by nonprofit organizations undercontracts with the government. a nonprofit organization,',
20448:'for purpose of identification, is defined as a business entity organized and operated exclusively for charitable, scientific, oreducational purposes, of',
20449:'which nopart of thenet earnings inure to the benefit of any private shareholder or individual, of which no substantial part',
20450:'of the activities is carrying on propaganda or otherwise attempting to influence legislation or participating in any political campaign on',
20451:'behalf of any candidate for public office, and which are exemptfrom federal incometaxationunder section501 of the internal revenue code. 31.702general.',
20452:'the omb uniform guidance at 2 cfr part 200, subpart eandappendix iv,sets forth principles for determining the costs applicable to',
20453:'work performedby nonprofitorganizations as defined in the omb uniform guidance at 2 cfr part 200 under contracts as well as',
20454:'grants and other agreements with the government. see 31.108 for exceptions to the cost principles for nonprofit organizations. 31.703 requirements.',
20455:'a contracts which refer to this subpart 31.7 for determining allowable costs shall be deemed to refer to, and shall',
20456:'have theallowability of costsdetermined by the contracting officer in accordancewith, the omb uniform guidance at2 cfr part 200, subpart e',
20457:'andappendixiv in effecton the date of the contract. b agencies are not expected toplace additionalrestrictions on individual items of cost.',
20458:'however, under 10 u.s.c. 3744 and 41 u.s.c.4304, the costs cited in 31.603b are unallowable. this page intentionally left blank.',
20459:'31.72 part 32 contract financing sec. 32.000 scope of part. 32.001 definitions. 32.002 applicability of subparts. 32.003 simplified acquisition procedures',
20460:'financing. 32.004 contract performance in foreign countries. 32.005 consideration for contract financing. 32.006 reduction or suspension of contract payments upon',
20461:'finding of fraud. 32.0061 general. 32.0062 definition. 32.0063 responsibilities. 32.0064 procedures. 32.0065 reporting. 32.007 contract financing payments. 32.008 notification of',
20462:'overpayment. 32.009 providing accelerated payments to small business contractors and to prime contractors that subcontract with a small business concern.',
20463:'32.0091 general. 32.0092 contract clause. subpart 32.1 financing for other than acommercial purchase 32.100 scope of subpart. 32.101 authority. 32.102',
20464:'description of contract financing methods. 32.103 progress payments under construction contracts. 32.104 providing contract financing. 32.105 uses of contract financing.',
20465:'32.106 order of preference. 32.107 need for contract financing not a deterrent. 32.108 financial consultation. 32.109 terminationfinancing. 32.110 payment of',
20466:'subcontractors under cost reimbursement prime contracts. 32.111 contract clauses for noncommercial purchases. 32.112 nonpayment of subcontractors under contracts other than',
20467:'for commercial products and commercial services. 32.1121 subcontractor assertions of nonpayment. 32.1122 subcontractor requests for information. 32.113 customary contract financing.',
20468:'32.114 unusual contract financing. subpart 32.2 commercialproduct and commercial service purchase financing 32.200 scope of subpart. 32.201 statutory authority. 32.202',
20469:'general. 32.2021 policy. 32.2022 types of payments for commercial product and commercial service purchases. 32.2023 conducting market research about financing',
20470:'terms. 32.2024 security for government financing. 32.203 determining contract financing terms. 32.204 procedures for contracting officerspecified commercial contract financing. 32.205',
20471:'procedures for offerorproposed commercial contract financing. 32.206 solicitation provisions and contract clauses. 32.207 administration and payment of commercial financing payments.',
20472:'subpart 32.3 loan guarantees for defense production 32.300 scope of subpart. 32.301 definitions. 32.302 authority. 32.303 general. 32.304 procedures. 32.3041',
20473:'application for guarantee. 32.3042 certificate of eligibility. 32.3043 asset formula. 32.3044 guarantee amount and maturity. 32.3045 assignment of claims under',
20474:'contracts. 32.3046 other collateral security. 32.3047 contract surety bonds and loan guarantees. 32.3048 other borrowing. 32.305 loan guarantees for terminated',
20475:'contracts. 32.306 loan guarantees for subcontracts. subpart 32.4 advance payments for other thancommercial acquisitions 32.400 scope of subpart. 32.401 statutory',
20476:'authority. 32.402 general. 32.403 applicability. 32.404 exclusions. 32.405 applying pub.l.85804 to advance payments under sealed bid contracts. 32.406 letters of',
20477:'credit. 32.407 interest. 32.408 application for advance payments. 32.409 contracting officer action. 32.4091 recommendation for approval. 32.4092 recommendation for disapproval.',
20478:'32.4093 security,supervision,andcovenants. 32.410 findings, determination, and authorization. 32.411 agreement for special account at a financial institution. 32.412 contract clause. subpart',
20479:'32.5 progress payments based on costs 32.500 scope of subpart. 32.501 general. 32.5011 customary progress payment rates. 32.5012 unusual progress',
20480:'payments. 32.5013 contract price. 32.5014 [reserved] 32.5015 other protective terms. 32.502 preaward matters. 32.5021 use of customary progress payments. 32.5022',
20481:'contractfinanceofficeclearance. 32.5023 solicitation provisions. 32.5024 contract clauses. 32.503 postaward matters. 32.5031 [reserved] 32.5032 supervision of progress payments. 32.5033 initiation of',
20482:'progress payments and review of accounting system. 32.5034 approval of progress payment requests. 32.5035 administration of progress payments. 32.5036 suspension',
20483:'or reduction of payments. 32.5037 [reserved] 32.5038 liquidation ratesordinary method. 32.5039 liquidation ratesalternate method. 32.50310 establishing alternate liquidation rates. 32.50311',
20484:'adjustments for price reduction. 32.50312 maximum unliquidated amount. 32.50313 [reserved] 32.50314 protection of government title. 32.50315 application of government title',
20485:'terms. 32.50316 risk of loss. 32.504 subcontracts under prime contracts providing progress payments. subpart 32.6 contract debts 32.600 scope of',
20486:'subpart. 32.601 general. 32.602 responsibilities. 32.603 debt determination. 32.604 demand for payment. 32.605 final decisions. 32.606 debt collection. 32.607 installment',
20487:'payments and deferment of collection. 32.6071 installment payments. 32.6072 deferment of collection. 32.608 interest. 32.6081 interestcharges. 32.6082 interest credits. 32.609',
20488:'delays in receipt of notices or demands. 32.610 compromising debts. 32.611 contract clause. subpart 32.7 contract funding 32.700 scope of',
20489:'subpart. 32.701 [reserved] 32.702 policy. 32.703 contract funding requirements. 32.7031 general. 32.7032 contracts conditioned upon availability of funds. 32.7033 contracts',
20490:'crossing fiscal years. 32.704 limitation of cost or funds. 32.705 unenforceability of unauthorized obligations. 32.706 contract clauses. 32.7061 clauses for',
20491:'contracting in advance of funds. 32.7062 clauses for limitation of cost or funds. 32.7063 clause for unenforceability of unauthorized obligations.',
20492:'subpart 32.8 assignment of claims 32.800 scope of subpart. 32.801 definitions. 32.802 conditions. 32.803 policies. 32.804 extent of assignee’s protection.',
20493:'32.805 procedure. 32.806 contract clauses. subpart 32.9 prompt payment 32.900 scope of subpart. 32.901 applicability. 32.902 definitions. 32.903 responsibilities. 32.904',
20494:'determining payment due dates. 32.905 payment documentation and process. 32.906 making payments. 32.907 interest penalties. 32.908 contract clauses. 32.909 contractor',
20495:'inquiries. subpart 32.10 performancebased payments subpart32.11 electronicfundstransfer 32.1000 scope of subpart. 32.1001 policy. 32.1002 bases for performancebased payments. 32.1003 criteria',
20496:'for use. 32.1004 procedures. 32.1005 solicitation provision and contract clause. 32.1006 [reserved] 32.1007 administration and payment of performance based payments.',
20497:'32.1008 suspension or reduction of performance based payments. 32.1009 title. 32.1010 risk of loss. 32.1100 32.1101 32.1102 32.1103 32.1104 32.1105',
20498:'32.1106 32.1107 32.1108 32.1109 32.1110 scope of subpart. statutory requirements. definitions. applicability. protection of eft information. assignment of claims. eft',
20499:'mechanisms. payment information. payment by governmentwide commercial purchase card. eft information submitted by offerors. solicitation provision and contract clauses. this',
20500:'page intentionally left blank. 32.000scope of part. this part prescribes policies and procedures for contract financing and other payment matters.',
20501:'this part addresses a payment methods, including partial payments and progress payments based on percentage or stage of completion; b',
20502:'loan guarantees, advance payments, and progress payments based on costs; c administration of debts to the government arising out of',
20503:'contracts; d contract funding, including the use of contract clauses limiting costs or funds; e assignment of claims to aid',
20504:'in private financing; f selected payment clauses; g financing of purchases of commercial products and commercial services; h performancebased payments;',
20505:'and i electronic funds transfer payments. 32.001definitions. as used in this part— commercial interim payment means any payment that is',
20506:'not a commercial advance payment or a delivery payment. these payments are contract financing payments for prompt payment purposes i.e.,',
20507:'not subject to the interest penalty provisions of the prompt payment act in accordance with subpart 32.9. a commercial interim',
20508:'payment is given to the contractor after some work has been done, whereas a commercial advance payment is given to',
20509:'the contractor when no work has been done. contract action means an action resulting in a contract, as defined in',
20510:'subpart 2.1, including actions for additional supplies or services outside the existing contract scope, but not including actions that are',
20511:'within the scope and under the terms of the existing contract, such as contract modifications issued pursuant to the changes',
20512:'clause, or funding and other administrative changes. contract financing payment means an authorized government disbursement of monies to a contractor',
20513:'prior to acceptance of supplies or services by the government. 1 contract financing payments include i advance payments; ii performancebased',
20514:'payments; iii commercial advance and interim payments; iv progress payments based on cost under the clause at 52.23216, progress payments;',
20515:'v progress payments based on a percentage or stage of completion see 32.102e, except those made under the clause at',
20516:'52.2325, payments under fixedprice construction contracts, or the clause at 52.23210, payments under fixed price architectengineer contracts; and vi interim',
20517:'payments under a cost reimbursement contract, except for a cost reimbursement contract for services when alternate i of the clause',
20518:'at 52.23225, prompt payment, is used. 2 contract financing payments do not include i invoice payments; ii payments for partial',
20519:'deliveries; or iii lease and rental payments. customary contract financing means that financing deemed by an agency to be available',
20520:'for routine use by contracting officers. mostcustomary contract financing arrangementsshouldbe usableby contracting officerswithout specific reviews or approvals by higher management.',
20521:'delivery payment means a payment for accepted supplies or services, including payments for accepted partial deliveries. commercial financing payments are',
20522:'liquidated by deduction from these payments. delivery payments are invoice payments for prompt payment purposes. designated billing office means the',
20523:'office orpersongovernmental or nongovernmental designated in the contract where thecontractor first submits invoices and contract financing requests. the contract might',
20524:'designate different offices to receive invoices and contract financingrequests. the designated billing office might be 1 the government disbursing office;',
20525:'2 the contract administration office; 3 the office accepting the supplies delivered or services performed by the contractor; 4 the',
20526:'contract audit office; or 5 a nongovernmental agent. federal acquisition regulation designated payment office means the office designated inthe contract',
20527:'to makeinvoice payments orcontract financing payments. normally, this willbe thegovernmentdisbursingoffice. due date means the date on which payment should be',
20528:'made. invoice payment means a government disbursement of monies to a contractor under a contract or other authorization for supplies',
20529:'or services accepted by the government. invoice payments include payments for partial deliveries that have been accepted by the government;',
20530:'final cost or fee payments where amounts owed have been settled between the government and the contractor; for purposes of',
20531:'subpart 32.9only,allpaymentsmadeundertheclauseat 52.2325, payments under fixedprice construction contracts, and the clause at 52.23210, payments under fixedprice architectengineer contracts; and interim',
20532:'payments under a costreimbursement contract for services when alternate i of the clause at 52.23225, prompt payment, is used invoice',
20533:'payments do not include contract financing payments. liquidate means to decrease a payment for an accepted supply item or service',
20534:'under a contract for the purpose of recouping financing payments previouslypaid to the contractor. unusual contract financing means any financing',
20535:'not deemedcustomary contract financing bythe agency. unusual contract financing is financing that is legal and proper under applicable laws, but',
20536:'that the agency has not authorized contracting officers touse withoutspecific reviews or approvals by highermanagement. 32.002applicability of subparts. a the',
20537:'following sections and subparts of this part are applicable to all purchases subject to part 32: 1 sections 32.000 through',
20538:'32.009. 2 subpart 32.3, loan guarantees for defense production. 3 subpart 32.6, contract debts. 4 subpart 32.7, contract funding. 5',
20539:'subpart 32.8, assignment of claims. 6 subpart 32.9, prompt payment. 7 subpart 32.11, electronic funds transfer. b subpart 32.2, commercial',
20540:'product and commercial service purchase financing, is applicable only to purchases of commercial products and commercial services under authority of',
20541:'part 12. c the following subparts of this part are applicable to all purchases made under any authority other than',
20542:'part 12: 1 subpart 32.1, financing for other than a commercial purchase. 2 subpart 32.4, advance payments for other than',
20543:'commercial acquisitions. 3 subpart 32.5, progress payments based on costs. 4 subpart 32.10, performancebased payments. 32.003 simplified acquisition procedures financing.',
20544:'unless agency regulations otherwise permit, contract financing shall not be provided for purchases made under the authority of part 13.',
20545:'32.004 contract performance in foreigncountries. the enforceability of contract provisions for security of government financing in a foreign jurisdiction is',
20546:'dependent upon local law and procedure. prior to providing contract financing where foreign jurisdictions may become involved, the contracting officershallensure',
20547:'the government’s security isenforceable. this may require the provision of additional or different security thanthat normallyprovided for in thestandard contract',
20548:'clauses. 32.005consideration for contract financing. a requirement. when a contract financing clause is included at the inception of a contract,',
20549:'there shall be no separate consideration for the contract financing clause. the value of the contract financing to the contractor',
20550:'is expected to be reflected in either 1a bid or negotiated price that will be lower than such price would',
20551:'have been in the absence of the contract financing, or 2 contract terms and conditions, other than price, that are',
20552:'more beneficial to the government than they would have been in the absence of the contract financing. adequate new consideration',
20553:'is required for changes to, or the addition of, contract financing after award. 32.0064 b amount of new consideration. the',
20554:'contractor may provide new consideration by monetary or nonmonetary means, provided the value is adequate. the fair and reasonable consideration',
20555:'should approximate the amount by which the price would have been less had the contract financing terms been contained in',
20556:'the initial contract. in the absence of definite information on this point, thecontracting officer should apply the following criteria in',
20557:'evaluating whether the proposed new consideration is adequate: 1 the value to the contractor of the anticipated amount and duration',
20558:'of the contract financing at the imputed financial costs of the equivalent working capital. 2 the estimated profit rate to',
20559:'be earned through contract performance. c interest. except as provided in subpart 32.4, advance payments for other than commercial acquisitions,',
20560:'the contract shall not provideforany othertype of specificcharges, suchas interest, for contract financing. 32.006reduction or suspension of contract payments upon',
20561:'finding of fraud. 32.0061 general. a under 10 u.s.c. 3806j, the statutory authority implemented by this section is available to',
20562:'the department of defense and the national aeronautics and space administration; this statutory authority is not available to the united',
20563:'states coast guard. under 41 u.s.c. 4506, this statutory authority is available to all agencies subject to division c of',
20564:'subtitle i of title 41. b 10 u.s.c. 3806c and 41 u.s.c. 4506 provide for a reduction or suspension of',
20565:'further payments to a contractor when the agency head determines there is substantial evidence that the contractors request for advance,',
20566:'partial, or progress payments is based on fraud. this authority does not apply to commercial interim payments under subpart 32.2,',
20567:'or performancebased payments under subpart 32.10. c the agency head may not delegate his or her responsibilities under these statutes',
20568:'below level iv of the executive schedule. d authority to reduce or suspend payments under these statutes is in addition',
20569:'to other government rights, remedies, and procedures. e in accordance with these statutes, agency head determinations and decisions under this',
20570:'section may be made for an individualcontract orany group of contracts affected by the fraud. 32.0062 definition. remedy coordination official,',
20571:'as used in this section, means the person or entity in the agency who coordinates within that agency the administration',
20572:'of criminal, civil, administrative, and contractual remedies resulting from investigations of fraud or corruption related to procurement activities. see 10',
20573:'u.s.c. 3806a and 41 u.s.c. 4506a. 32.0063 responsibilities. a agencies shall establish appropriate procedures to implement the policies and procedures',
20574:'of this section. b government personnel shall report suspected fraud related to advance, partial, or progress payments in accordance with',
20575:'agency regulations. 32.0064procedures. a inany case in whichan agency’s remedy coordination official finds substantial evidence that a contractor’s request for',
20576:'advance, partial, or progress payments under a contract awarded by that agency is based on fraud, the remedy coordination official',
20577:'shall recommendthat theagency head reduce or suspend further payments to the contractor. theremedy coordination official shall submit to the agency',
20578:'head awritten report settingforth the remedy coordination official’s findings thatsupport each recommendation. b upon receivinga recommendationfrom the remedy coordination officialunder',
20579:'paragraph a of this subsection,the agency head shall determine whether substantial evidence exists that the request for payment under a',
20580:'contract is based on fraud. c if the agency head determines that substantial evidence exists, the agency head may reduce',
20581:'or suspend further payments tothe contractor under the affectedcontracts. suchreduction or suspensionshallbe reasonably commensurate with the anticipated loss to the',
20582:'government resulting from the fraud. d in determining whether to reduce or suspend further payments, as a minimum, the agency',
20583:'head shall consider 1 a recommendation from investigating officersthat disclosureof the allegationsof fraud to thecontractor may compromise an ongoing investigation;',
20584:'32.0065 federal acquisition regulation 2 the anticipated loss to the government as a result of the fraud; 3 the contractor’s',
20585:'overall financial condition andability tocontinue performanceif payments arereduced or suspended; 4 the contractor’s essentiality to thenational defense, orto the execution',
20586:'of the agency’s officialbusiness; and 5 assessment of all documentation concerning the alleged fraud, including documentation submitted by the contractor',
20587:'in its response to the notice required by paragraph e of this subsection. e before making a decision to reduce',
20588:'or suspend further payments, the agency head shall, in accordance with agency procedures 1 notify the contractor in writing of',
20589:'the action proposed by the remedy coordination officialand the reasons therefor such noticemust be sufficiently specific to permit the contractor',
20590:'to collect and presentevidence addressing theaforesaid reasons; and 2 provide the contractor an opportunity to submit information within a reasonable',
20591:'time, in response to the action proposed bythe remedycoordination official. f when more than one agencyhas contracts affected by thefraud,',
20592:'theagencies shall consider designating oneagency as the lead agency for making the determination and decision. g the agency shall retain',
20593:'in its files the written justification for each 1 decision of the agency head whether to reduce or suspend further',
20594:'payments; and 2 recommendation received by an agency head in connection with such decision. h not later than180 calendar daysafter',
20595:'the date of thereduction or suspension action, the remedy coordination official shall 1 review the agency head’s determination on which',
20596:'the reduction or suspension decision is based; and 2 transmita recommendationto theagency head as to whether the reduction or suspension',
20597:'should continue. 32.0065 reporting. a in accordance with 41 u.s.c. 4506h,the head of an agency, other than the department of',
20598:'defense, shall prepare a report for each fiscal year in which a recommendation has been received pursuant to 32.0064a. reports',
20599:'within the department of defense shall be prepared in accordance with 10 u.s.c. 3806h. b in accordance with 41 u.s.c.',
20600:'4506h and 10 u.s.c. 3806h, each report shall contain 1 each recommendationmadeby the remedy coordination official; 2 the actions taken',
20601:'on the recommendations, with reasons for such actions; and 3 an assessmentof the effects ofeach action on the government. 32.007contract',
20602:'financing payments. a 1 unless otherwise prescribed in agency policies and procedures or otherwise specified in paragraph b of this',
20603:'section,the due dateformaking contract financing payments by the designatedpayment officeis the 30th day afterthe designated billing officereceives a proper contract',
20604:'financing request. 2 if an audit or other review of a specific financing request is required to ensure compliance with',
20605:'the terms and conditions of thecontract, the designatedpayment officeis not compelledto make payment by the specified due date. 3 agency',
20606:'heads may prescribe shorter periods for payment based on contract pricing or administrative considerations. for example, a shorter period may',
20607:'be justified by an agency if the nature and extent of contract financing arrangements are integrated with agency contract pricing',
20608:'policies. 4 agency heads must not prescribe a period shorter than 7 days or longer than 30 days. b for',
20609:'advance payments, loans, or other arrangements that do not involve recurrent submission of contract financing requests,the designated payment office will',
20610:'make payment in accordance with the applicable contract financingterms oras directed by thecontracting officer. c a proper contract financing request',
20611:'must comply with the terms and conditions specified by the contract. the contractor must correct any defects in requests submitted',
20612:'in the manner specified in the contract or as directed by the contracting officer. d the designated billing office and',
20613:'designated payment officemust annotate each contract financing request withthe datetheir respective offices receivedthe request. e the government will not pay',
20614:'an interest penalty to the contractor as a result of delayed contract financing payments. subpart 32.1 financing for other than',
20615:'a commercial purchase 32.102 32.008notification of overpayment. if the contractor notifies the contracting officerof aduplicate payment or that the government',
20616:'has otherwise overpaid, the contracting officershallfollow the procedures at 32.604. 32.009 providing accelerated payments to small business contractors and to',
20617:'prime contractors that subcontractwith a small business concern. 32.0091 general. a 1 pursuant to 31 u.s.c. 3903a, agencies other than',
20618:'the department of defense dod shall provide accelerated payments, to the fullest extent permitted by law, with a goal of',
20619:'15days after receipt of a proper invoiceandallother required documentation, if a specific payment date is not established by contract, to—',
20620:'i small business contractors; and ii prime contractors that subcontract with a small business concern, if the prime contractor agrees',
20621:'to make payments to the small business subcontractor within 15 days of receiving the accelerated payment from the government, after',
20622:'receiptof aproper invoiceand allotherrequired documentation from thesmall business subcontractor, to the maximum extent practicable, without any furtherconsideration from or fees',
20623:'chargedto the subcontractor. 2 pursuant to 10 u.s.c. 3801b, dod shall provide accelerated payments, to the fullestextent permittedby law, with',
20624:'a goal of 15 days after receipt of a proper invoice and all other required documentation, to— i small business',
20625:'contractors; and ii prime contractors that subcontract with a small business concern, if the prime contractor agrees to make payments',
20626:'to the small business subcontractor within 15 days of receiving the accelerated payment from the government, after receiptof aproper invoiceand',
20627:'allotherrequired documentation from thesmall business subcontractor, to the maximum extent practicable, without any furtherconsideration from or fees chargedto the subcontractor.',
20628:'b this accelerationdoes not provideany new rights under the prompt payment act and doesnot affectthe applicationof the prompt payment act',
20629:'late payment interest provisions. c agencies may use the governmentwide commercial purchase card as a method of payment see 32.1108',
20630:'to facilitate accelerated payment, to earn refunds, and to reduce invoice processing costs. 32.0092 contract clause. insert clause 52.23240, providing',
20631:'accelerated payments to small business subcontractors, in all solicitations and contracts. subpart 32.1 financing for other than a commercial purchase',
20632:'32.100scope of subpart. this subpart provides policies and procedures applicable to contract financing and payment for any purchases other than',
20633:'purchases of commercial products or commercial services in accordance with part 12. 32.101 authority. the basic authority for the contract',
20634:'financing described in this part is contained in 41 u.s.c. chapter 45, contract financing, 10 u.s.c. chapter 277, and titleiii',
20635:'of the defense productionactof l950 50 u.s.c. app.2091. 32.102description of contract financing methods. a advance payments are advances of money',
20636:'by the government to a prime contractor before, in anticipation of, and for the purpose of complete performance under one',
20637:'or more contracts. they are expected to be liquidated from payments due to thecontractor incident to performance of thecontracts. since',
20638:'theyare not measured by performance,they differ from partial, progress, or other payments based on the performance or partial performance of',
20639:'a contract. advance payments may be made to prime contractors for the purpose of making advances to subcontractors. b progress',
20640:'payments based on costs are made on the basis of costs incurred by the contractor as work progresses under the',
20641:'contract. this form of contract financing does not include 1 payments based on the percentage or stage of completion accomplished;',
20642:'2 payments for partial deliveries accepted by the government; 3 partial payments for a contract termination proposal; or federal acquisition',
20643:'regulation 4 performancebased payments. c loan guarantees are made by federal reserve banks, on behalf of designated guaranteeing agencies, to',
20644:'enable contractors to obtain financing from private sources under contracts for the acquisition of supplies or services for the national',
20645:'defense. d payments for accepted supplies and services that are only a part of the contract requirements i.e., partial deliveries',
20646:'are authorized under 41 u.s.c. chapter 45 and 10 u.s.c. chapter 277. in accordance with 5 cfr 1315.4k, agencies must',
20647:'pay for partial delivery of supplies or partial performance of services unless specifically prohibited by the contract. although payments for',
20648:'partial deliveries generally are treated as a method of payment and not as a method of contract financing, using partial',
20649:'delivery payments can assist contractors to participate in contracts without, or with minimal, contract financing. when appropriate, contract statements of',
20650:'work and pricing arrangements must permit acceptance and payment for discrete portions of the work, as soon as accepted see',
20651:'32.906c. e 1 progress payments based on a percentage or stage of completion are authorized by the statutes cited in',
20652:'32.101. 2 this type of progress payment may be used as a payment method under agency procedures. agency procedures must',
20653:'ensure that payments are commensurate with work accomplished, which meets the quality standards established under the contract. furthermore, progress payments',
20654:'may not exceed 80 percent of the eligible costs of work accomplished on undefinitized contract actions. f performancebased payments are',
20655:'contract financing payments made on the basis of 1 performance measured by objective, quantifiable methods; 2 accomplishment of defined events;',
20656:'or 3 other quantifiable measures of results. 32.103 progress payments under constructioncontracts. when satisfactory progress has not been achieved by',
20657:'a contractor during any period for which a progress payment is to be made, a percentage of the progress payment',
20658:'may be retained. retainage should not be used as a substitute for good contract management, and thecontracting officer should not',
20659:'withhold funds without cause. determinations toretain and the specific amount to be withheld shall be made bythe contracting officers on',
20660:'a casebycase basis. such decisions will be based on the contracting officer’s assessment of past performanceand the likelihoodthat such performance',
20661:'will continue. the amountof retainage withheld shall not exceed 10 percent of the approved estimated amount in accordance with the',
20662:'terms of the contract and may be adjusted as the contract approaches completion to recognize better than expected performance, the',
20663:'ability to rely on alternative safeguards, and other factors. upon completion of all contract requirements, retained amounts shall be paid',
20664:'promptly. 32.104 providing contract financing. a prudent contract financing can be a useful working tool in government acquisition by expediting',
20665:'the performance of essential contracts. contractingofficers must consider the criteria in this partin determining whether to include contract financing in',
20666:'solicitations and contracts. resolve reasonable doubts by including contract financing in the solicitation. the contracting officermust 1 provide government financing',
20667:'only to the extentactually needed for prompt and efficient performance,considering the availability of private financing and the probable impact on',
20668:'working capital of the predelivery expenditures and production leadtimes associated with the contract, or groups of contracts or orders e.g.,',
20669:'issued under indefinitedelivery contracts, basic ordering agreements, or their equivalent; 2 administer contract financing so as to aid, not impede,',
20670:'the acquisition; 3 avoid any unduerisk ofmonetary loss to the government through the financing; 4 includethe form of contract financing',
20671:'deemed to be in the government’sbestinterest in the solicitation see 32.106 and 32.113; and 5 monitor the contractor’s use of',
20672:'the contract financing provided and thecontractor’s financial status. b if the contractor isa small business concern,the contracting officermust give special',
20673:'attention to meeting the contractor’s contract financing need. however,a contractor’s receipt ofa certificateof competency fromthe small business administration has no',
20674:'bearingon the contractor’s need for or entitlement to contract financing. c subject to specific agencyregulations and paragraph d of thissection,',
20675:'the contracting officer 1 may provide customary contract financing in accordance with 32.113; and 2 must not provide unusual contract',
20676:'financing except as authorized in 32.114. subpart 32.1 financing for other than a commercial purchase 32.108 d unlessotherwise authorized by',
20677:'agency procedures, thecontracting officer may provide contract financing in theform of performancebased payments see subpart 32.10 or customary progress payments',
20678:'see subpart 32.5 if the following conditions are met: 1 the contractor iwill not beable tobill for the first delivery',
20679:'ofproducts for a substantial time after work mustbegin normally 4 months or more for small business concerns, and 6 months',
20680:'or more for others, and will make expenditures for contract performanceduring the predelivery period thathavea significant impact on the contractor’s',
20681:'working capital; or ii demonstrates actual financial need or the unavailability of private financing. 2 if the contractor is not',
20682:'a small business concern i for an individual contract, the contract price is $3 million or more; or ii for',
20683:'an indefinitedelivery contract, a basic ordering agreement or a similar ordering instrument, the contracting officer expects the aggregatevalueof orders or',
20684:'contracts that individually exceed the simplified acquisition thresholdto have a totalvalueof $3 million ormore. thecontracting officer must limitfinancing to those',
20685:'orders or contractsthat exceed the simplified acquisition threshold. 3 if the contractor is a small business concern i for an',
20686:'individual contract, the contract price exceeds the simplified acquisition threshold; or ii for an indefinitedelivery contract, a basic ordering agreement',
20687:'or a similar ordering instrument, the contracting officer expects the aggregatevalueof orders or contracts to exceed the simplifiedacquisition threshold. 32.105uses',
20688:'of contract financing. a contract financing methods covered in this part are intended to be selfliquidating through contract performance. consequently,',
20689:'agencies shall onlyuse the methods for financing of contractor working capital,not for the expansion of contractorowned facilities orthe acquisition of',
20690:'fixed assets. however, under loan guarantees, exceptions may be madefor 1 facilities expansion of a minor or incidental nature, if',
20691:'a relatively small part of the guaranteed loan is used for the expansionand the contractor’s repayment would notbe delayed or',
20692:'impaired; or 2 other instances of facilities expansion for which contract financing is appropriate under agency procedures. b the limitations',
20693:'in this section do not apply to contracts under which facilities are being acquired for government ownership. 32.106 order of',
20694:'preference. the contractingofficer mustconsider the followingorder of preference when a contractor requests contract financing, unless anexception would be in thegovernment’s',
20695:'best interest in a specific case: a private financing without governmentguarantee. it is not intended, however, that the contracting officer',
20696:'require the contractor to obtain private financing 1 at unreasonable terms; or 2 from other agencies. b customary contract financing',
20697:'other than loan guarantees and certain advance payments see 32.113. c loan guarantees. d unusual contract financing see 32.114. e',
20698:'advance payments see exceptions in 32.402b. 32.107 need for contract financing not a deterrent. a if the contractor or offeror',
20699:'meets the standards prescribedforresponsible prospective contractors at 9.104, the contracting officershallnot treat the contractor’s need for contractfinancing as a handicap',
20700:'for a contract award; e.g., as a responsibility factor or evaluation criterion. b the contractor should not be disqualified from',
20701:'contract financing solely because the contractor failed to indicate a need for contract financing before the contract was awarded. 32.108financial',
20702:'consultation. each contractingoffice should have available and use the services ofcontract financing personnel competent to evaluate credit and financial problems.',
20703:'in resolving any questions concerning a thefinancialcapability of an offeror or contractor to perform acontract, or federal acquisition regulation b',
20704:'what form of contract financing isappropriatein a given case,the contracting officer should consult the appropriate contract financing office. 32.109 termination',
20705:'financing. to encouragecontractors to investtheir own funds in performance despite the susceptibility of the contractto termination for the convenience of',
20706:'the government, the contract financing procedures under this part may be applied to the financing of terminations either in connection',
20707:'with or independently of financing for contract performance see 49.1121. 32.110payment of subcontractors under costreimbursement prime contracts. if the contractor',
20708:'makes financing payments to a subcontractor under a costreimbursement prime contract, the contracting officer should acceptthe financing payments as reimbursable',
20709:'costs of the prime contract onlyunder thefollowing conditions: a the payments are made under the criteria in subpart 32.5 for',
20710:'customary progress payments based on costs, 32.2021 for commercial product or commercial service purchase financing, or 32.1003 for performancebased payments,',
20711:'as applicable. b if customary progress payments are made, the payments do not exceed the progress payment rate in 32.5011,',
20712:'unless unusual progress payments to the subcontractor have been approved in accordance with 32.5012. c if customary progress payments are',
20713:'made, the subcontractor complies with the liquidation principles of 32.5038, 32.5039, and 32.50310. d if performancebased payments are made, the',
20714:'subcontractor complies with the liquidation principles of 32.1004d. e the subcontract contains financing payments terms as prescribed in this part.',
20715:'32.111 contract clausesfor noncommercial purchases. a thecontracting officer shall insert the following clauses, appropriatelymodified with respect to payment duedates, in',
20716:'accordance with agency regulations 1 the clause at 52.2321, payments, in solicitations and contracts when a fixedprice supply contract, a',
20717:'fixedprice service contract, or a contract for nonregulated communication services is contemplated; 2 the clause at 52.2322, payment under fixedprice',
20718:'research and development contracts, in solicitations and contracts when a fixedprice research and development contract is contemplated; 3 the clause',
20719:'at 52.2323, payments under personal services contracts, in solicitations and contracts for personal services; 4 the clause at 52.2324, payments',
20720:'under transportation contracts and transportationrelated services contracts, in solicitations and contracts for transportation or transportationrelated services; 5 the clause at',
20721:'52.2325, payments under fixedprice construction contracts, in solicitations and contracts for construction when a fixedprice contract is contemplated; 6 the',
20722:'clause at 52.2326, payments under communication service contracts with common carriers, in solicitations and contracts for regulated communication services by',
20723:'common carriers; and 7 the clause at 52.2327, payments under timeandmaterials and laborhourcontracts, in solicitations and contracts whena timeandmaterials or',
20724:'laborhour contract iscontemplated. if the contractingofficer determines that it is necessaryto withhold paymentto protect thegovernment’s interests, paragraph a7 ofthe clause',
20725:'permits the contracting officer to unilaterallyissue a modification requiring the contractor to withhold 5 percent of amounts due,up to a',
20726:'maximum of $50,000 underthe contract. the contracting officer shall ensurethat themodification specifies the percentageandtotal amount of the withhold payment. normally,',
20727:'there should be no need to withhold payment for acontractor with a record of timely submittal ofthe release discharging the',
20728:'government from all liabilities, obligations, and claims, as required by paragraph g of the clause. b the contractingofficer shall insertthe',
20729:'following clauses, appropriately modified withrespect to payment due dates in accordance with agency regulations: 1 the clause at 52.2328, discounts',
20730:'for prompt payment, in solicitations and contracts when a fixedprice supply contract or fixedprice service contract is contemplated. 2 a',
20731:'clause, substantially the same as the clause at 52.2329, limitation on withholding of payments, in solicitations and contracts when a',
20732:'supply contract, research and development contract, service contract, timeandmaterials contract, or laborhour contract is contemplated that includes two or more',
20733:'terms authorizing the temporary withholding of amounts otherwise payable to the contractor for supplies delivered or services performed. subpart 32.1',
20734:'financing for other than a commercial purchase 32.113 c thecontracting officer shall insert the following clauses, appropriatelymodified with respect to',
20735:'payments due dates in accordance with agency regulations: 1 the clause at 52.23210, payments under fixedprice architectengineer contracts, in fixedprice',
20736:'architect engineer contracts. 2 the clause at 52.23211, extras, in solicitations and contracts when a fixedprice supply contract, fixedprice service',
20737:'contract, or a transportation contract is contemplated. 32.112nonpaymentof subcontractors under contractsother than for commercial products andcommercial services. 32.1121 subcontractor assertions',
20738:'of nonpayment. a in accordance with section 806a4 of pub.l.102190, as amended by sections2091 and 8105 of pub.l.103355 10 u.s.c.',
20739:'4601 note prec., upon the assertion by a subcontractor or supplier of a federal contractor that the subcontractor or supplier',
20740:'has not been paid in accordance with the payment terms of the subcontract, purchaseorder, or other agreement with theprimecontractor, the',
20741:'contracting officer may determine 1 for a construction contract, whether the contractor has made iprogress payments to the subcontractor orsupplierin',
20742:'compliancewith chapter 39 of title 31, unitedstates code prompt payment act; or iifinalpayment tothe subcontractor or supplier in compliance with',
20743:'the termsof the subcontract, purchase order, or other agreement with the prime contractor; 2 for a contract other than construction,',
20744:'whether the contractor has made progress payments, final payments, or other payments tothe subcontractor or supplier in compliance with the',
20745:'termsof the subcontract, purchase order,or other agreement with the prime contractor; or 3 for any contract, whether the contractor’s certificationof',
20746:'payment ofa subcontractor orsupplier accompanying its payment request to the government is accurate. b if, in making the determination inparagraphs',
20747:'a1 and 2 ofthissubsection, the contractingofficer finds theprime contractor is not incompliance, the contractingofficer may 1 encourage the contractor to',
20748:'make timely payment to the subcontractor or supplier; or 2 if authorizedby the applicable paymentclauses,reduce or suspend progress payments to',
20749:'the contractor. c if the contracting officerdeterminesthat a certification referred toin paragraph a3 ofthissubsection is inaccurate in any materialrespect, the',
20750:'contractingofficer shall initiateadministrative or otherremedialaction. 32.1122 subcontractor requestsfor information. a in accordance with section 806a1 of public law 102190, as',
20751:'amended by sections 2091 and 8105 of public law 103355 10 u.s.c. 4601 note prec., upon the request of a',
20752:'subcontractor or supplier under a federal contract other than for a commercial product or commercial service, thecontracting officer shall promptly',
20753:'advise the subcontractor or supplieras to— 1 whether the prime contractor has submitted requests for progress payments or other payments',
20754:'to the federal government under the contract; and 2 whetherfinal payment under the contract has been made by the federal',
20755:'government to the prime contractor. b in accordance with 5 u.s.c. 552b1, this subsection does not apply to matters that',
20756:'are 1 specifically authorized under criteria established by an executive order to be kept classified in the interest of national',
20757:'defense or foreign policy; and 2 properly classified pursuantto suchexecutive order. 32.113customary contract financing. the solicitation must specify the customary',
20758:'contract financing offerors may propose. the following are customary contract financing when provided in accordance with this part and agency',
20759:'regulations: a financing of shipbuilding,or ship conversion,alteration, orrepair, when agency regulationsprovide for progress payments based on a percentage or stage',
20760:'of completion. b financing of construction or architectengineer services purchased under the authority of part 36. c financing of contracts',
20761:'for supplies or services awarded under the sealed bid method of procurement in accordance with part 14 through progress payments',
20762:'based on costs in accordance with subpart 32.5. federal acquisition regulation d financing of contracts for supplies or services awarded',
20763:'under the competitive negotiation method of procurement in accordance with part 15, through either progress payments based on costs in',
20764:'accordance with subpart 32.5, or performance based payments in accordance with subpart 32.10 but not both. e financing of contracts',
20765:'for supplies or services awarded under a solesource acquisition as defined in 2.101 and using the procedures of part 15,',
20766:'through either progress payments based on costs in accordance with subpart 32.5, or performance based payments in accordance with subpart',
20767:'32.10 but not both. f financing of contracts for supplies or services through advance payments in accordance with subpart 32.4.',
20768:'g financing of contracts for supplies or services through guaranteed loans in accordance with subpart 32.3. h financing of contracts',
20769:'for supplies or services through any appropriate combination of advance payments, guaranteed loans, and either performancebased payments or progress payments',
20770:'but not both in accordance with their respective subparts. 32.114unusual contract financing. any contract financing arrangement that deviates from this',
20771:'part is unusual contract financing. unusual contract financing shall be authorized only after approval by the head of the agency',
20772:'or as provided for in agency regulations. subpart 32.2 commercial product and commercial service purchase financing 32.2022 subpart 32.2 commercial',
20773:'product and commercial service purchase financing 32.200scope of subpart. this subpart provides policies and procedures for commercial financing arrangements under',
20774:'commercial purchases pursuant to part 12. 32.201 statutory authority. 10 u.s.c. 3805 and 41 u.s.c.4505 provide that payment for commercial',
20775:'products or commercial services may be made under such terms and conditions as the head of the agency determines are',
20776:'appropriate or customary in the commercial marketplace and are in the best interest of the united states. 32.202general. 32.2021policy. a',
20777:'use of financing in contracts. it is the responsibility of the contractor to provide all resources needed for performance of',
20778:'the contract. thus, for purchases of commercial products or commercial services, financing of the contract is normally the contractor’s responsibility.',
20779:'however, in some markets the provision of financing by the buyer is a commercial practice. in these circumstances, thecontracting officer',
20780:'may include appropriate financing terms in contracts for commercial purchases when doing so will be in the best interest of',
20781:'the government. b authorization. commercial interim payments and commercial advance payments may be made under the following circumstances 1 the',
20782:'contract item financed is a commercial supply or service; 2 the contract price exceeds the simplified acquisition threshold; 3 the',
20783:'contractingofficer determines that it is appropriateor customaryin thecommercial marketplaceto make financing payments for the item; 4 authorizing this form of',
20784:'contract financing is in the best interest of the government see paragraph e of this subsection; 5 adequate security is',
20785:'obtained see 32.2024; 6 prior to any performance of work under the contract, the aggregate of commercial advance payments shall',
20786:'not exceed 15 percent of the contract price; 7 the contract isawarded onthe basis ofcompetitive procedures or, if only one',
20787:'offer is solicited, adequate consideration is obtained based on the time value of the additional financing to be provided if',
20788:'the financing is expected to besubstantially more advantageous tothe offeror than the offeror’snormal method of customer financing; and 8 the',
20789:'contractingofficer obtains concurrence from the payment office concerningliquidation provisions when required by 32.206e. c difference from other than commercial financing.',
20790:'government financing of commercial purchases under this subpart isexpectedtobedifferentfromthatusedforotherthancommercialpurchasesunder subpart 32.1 and its related subparts. while the contracting officer may',
20791:'adapt techniques and proceduresfrom the other than commercial subparts for use in implementing commercial contract financing arrangements, thecontracting officer must',
20792:'have a full understandingof effects of the differingcontract environments andof what is needed to protect the interestsof the government in',
20793:'commercial contract financing. d unusual contract financing. any contract financing arrangement not in accord with the requirements of agency regulations',
20794:'or this part is unusual contract financing and requires advance approval in accordance with agency procedures. if not otherwise specified,',
20795:'such unusual contract financing shall be approvedby the head ofthe contracting activity. e best interest of the government. the statutes',
20796:'cited in 32.201 do not allow contract financing by the government unless it is in the best interest of the',
20797:'united states. agencies may establish standards to determine whether contract financing is in the best interest of the government. these',
20798:'standards may be for certain types of procurements, certain types of items, or certain dollar levels of procurements. 32.2022types of',
20799:'paymentsfor commercial product and commercial service purchases. these definitions incorporate the requirements of the statutory commercial financing authority and the',
20800:'implementation of the prompt payment act. 32.2023 federal acquisition regulation commercial advance payment, as used in this section, means a',
20801:'payment made before any performance of work under the contract. the aggregate of these payments shall not exceed 15 percent',
20802:'of the contract price. these payments are contract financing payments for prompt payment purposes i.e., not subject to the interest',
20803:'penalty provisions of the prompt payment act in accordance with subpart 32.9. these payments are not subject to subpart 32.4,',
20804:'advance payments for other than commercial acquisitions. commercial interim payment see 32.001. delivery payment see 32.001. 32.2023conducting market researchabout financing',
20805:'terms. contract financing may be a subject included in the market research conducted in accordance with part 10. if market',
20806:'research for contract financing isconducted, the contracting officer should consider a the extent to which other buyers provide contract financing',
20807:'for purchases in that market; b the overall level of financing normally provided; c the amount or percentages of any',
20808:'payments equivalent to commercial advance payments see 32.2022; d the basis for any payments equivalent to commercial interim payments see',
20809:'32.001, as well as the frequency, and amounts or percentages; and e methods of liquidation of contract financing payments and',
20810:'any special or unusual payment terms applicable to delivery payments see 32.001. 32.2024 security for government financing. a policy. 1',
20811:'10 u.s.c. 3805 and 41 u.s.c.4505 require the government to obtain adequate security for government financing. the contracting officer shall',
20812:'specify in the solicitation the type of security thegovernmentwill accept. if the government iswilling to accept more than one form',
20813:'of security, theofferor shall berequired to specifythe form of security it will provide. if acceptableto the contracting officer,the resulting contract',
20814:'shall specify the security see 32.206b1iv. 2 subjectto agency regulations, the contracting officer may determine theofferor’s financial condition tobe adequate',
20815:'security, provided the offeror agrees to provide additional security should that financial condition become inadequate as security see paragraph c',
20816:'of the clause at 52.23229,terms for financing of purchases of commercialproducts and commercial services. assessment of the contractor’s financial conditionshallconsiderboth',
20817:'net worth and liquidity. if the contracting officerfinds the offeror’s financialcondition is notadequate security, the contracting officer shall require other',
20818:'adequate security. paragraphs b, c, and d ofthis subsection listother but not all formsof security that the contracting officer may',
20819:'find acceptable. 3 the value of the security must be at least equal to the maximum unliquidated amount of contract',
20820:'financing payments tobe made to the contractor. the value of securitymay be adjusted periodically during contract performance, as long as',
20821:'it is always equal to or greater than the amount of unliquidated financing. b paramount lien. 1 the statutes cited',
20822:'in 32.201 provide that if the government’ssecurity is in the form of a lien, such lien is paramount toall other',
20823:'liens and is effective immediately upon the first payment, without filing, notice, orotheraction by the united states. 2 when the',
20824:'government’s security isin the form of a lien, the contract shall specify what thelien isupon, e.g., the work in process,',
20825:'the contractor’splant, or the contractor’s inventory. contracting officers may be flexible in the choice of assets. the contract must also',
20826:'give the government a right to verify the existence and value of the assets. 3 provision of government financing shall',
20827:'be conditioned upon a contractor certification that the assets subject to the lien are free from any prior encumbrances. prior',
20828:'liens may result from such things as capital equipment loans, installment purchases, working capital loans, various lines of credit, and',
20829:'revolving credit arrangements. c other assets as security. contracting officers may consider theguidance at 28.203 and 28.204 in determining which',
20830:'typesofassetsmaybeacceptableassecurity. forthepurposeofapplyingtheguidancein part 28 to this subsection, the term surety and/or individual surety should be interpretedto mean offeror and/or contractor.',
20831:'d other forms of security. other acceptable forms of security include 1 an irrevocable letter of credit from a federally',
20832:'insured financial institution; 2abondfromasurety,acceptableinaccordancewith part 28 note that the bond must guarantee repayment of the unliquidated contract financing; 3 a',
20833:'guarantee of repayment from a person or corporation of demonstrated liquid net worth, connected by significant ownership to the contractor;',
20834:'or 4 titleto identifiedcontractor assets of adequateworth. subpart 32.2 commercial product and commercial service purchase financing 32.206 e management of',
20835:'risk and security. in establishing contract financing terms, thecontracting officer must be awareof certain risks. for example, very high amounts',
20836:'of financing early in the contract frontend loading may unduly increase the risk to the government. the security and the',
20837:'amounts and timing of financing payments must be analyzed as a whole to determine whether the arrangement will be in',
20838:'the best interest of the government. 32.203determining contract financing terms. when the criteria in 32.2021b are met,the contracting officermay either',
20839:'specify the financing terms in the solicitation see 32.204 or permit each offeror to propose its own customary financing terms',
20840:'see 32.205. whenthe contracting officer has sufficientinformationon financing terms that are customary in the commercial marketplace for the item, those',
20841:'terms may be specified in the solicitation. 32.204 procedures for contracting officerspecified commercial contractfinancing. the financing terms shall be included',
20842:'in the solicitation. contract financing shall not be a factor in the evaluation of resulting proposals, and proposals of alternative',
20843:'financing terms shall not be accepted but see 14.208 and 15.206 concerning amendments of solicitations. however, anoffer stating that thecontracting',
20844:'officerspecified contract financing terms will not be used by the offerordoes not alter the evaluation of theoffer, nor does it',
20845:'render the offer nonresponsive or otherwise unacceptable. in the event of award to an offeror who declined theproposed contract financing,',
20846:'the contract financing provisions shall not be included in the resulting contract. contractfinancing shall not be a basisforadjustingofferors’ proposed prices,',
20847:'because theeffect of contract financingis reflected in eachofferor’s proposed prices. 32.205 procedures for offerorproposed commercial contract financing. a under this',
20848:'procedure, each offeror may proposefinancing terms. the contracting officer must then determinewhich offer isin the bestinterests of theunited states. b',
20849:'solicitations. the contracting officermust include in the solicitation the provision at 52.23231, invitation to propose financing terms. the contracting officer',
20850:'must also 1 specify the delivery payment invoice dates that will be used in the evaluation of financing proposals; and',
20851:'2 specify the interest rate to be used in the evaluation of financing proposals see paragraph c4 of this section.',
20852:'c evaluation of proposals. 1 whencontract financing terms vary among offerors,the contracting officermust adjust each proposed price for evaluation purposes',
20853:'to reflect the cost of providing the proposed financing in order to determine the total cost to the government of',
20854:'that particular combination of price and financing. 2 contract financing results in the government making payments earlier than it otherwise',
20855:'would. in order to determine the cost to the government ofmaking payments earlier, the contractingofficer must compute the imputed cost',
20856:'of those financing payments and add it tothe proposed priceto determine the evaluated price for each offeror. 3 the imputed',
20857:'cost of a single financing payment is the amount of the payment multiplied by the annual interest rate, multiplied by',
20858:'the number of years, or fraction thereof, between the date of the financing payment and the date the amount would',
20859:'have been paid as a delivery payment. the imputed cost of financing is the sum of the imputed costs of',
20860:'each of the financing payments. 4 the contractingofficer mustcalculate the time value of proposalspecified contract financing arrangementsusing as the interestrate',
20861:'thenominal discount rate specified inappendixc ofthe office of management and budget omb circulara94, guidelines and discount rates for benefitcost analysis',
20862:'of federal programs, appropriate to the period of contract financing. where the period of proposed financingdoes not match the periods',
20863:'inthe ombcircular,the interest rate for theperiod closestto thefinance period shall be used. appendixcis updated yearly,and is available from the office',
20864:'of economic policy inthe office of management and budget omb. 32.206 solicitation provisions and contract clauses. a the contract shall',
20865:'contain the paragraph entitled payment of the clause at 52.2124,contract terms and conditions commercial productsand commercial services. if the contract',
20866:'will provide for contractfinancing,the contracting officer shall construct a solicitation provision and contract clause. this solicitation provision shall be constructed',
20867:'in accordance with 32.204 or 32.205. if the procedure at 32.205 is used, the solicitation provision at 52.23231, invitation to',
20868:'propose financing terms, shall be included. the contractclause shall be constructed in accordance with the requirements of this subpart and',
20869:'any agency regulations. b each contract financing clause shall include: 1 a description of the federal acquisition regulation i computation',
20870:'of the financing payment amounts see paragraph c of this section; ii specific conditions of contractor entitlement to those financing',
20871:'payments see paragraph c of this section; iii liquidation of those financing payments by delivery payments see paragraph e of',
20872:'this section; iv security the contractor will provide for financing payments and any terms or conditions specifically applicable thereto see',
20873:'32.2024; and v frequency, form,andany additional content of the contractor’s request for financing payment in addition to the requirements of',
20874:'the clause at 52.23229, terms for financing of purchases of commercial products and commercial services; and 2 unless agency regulations',
20875:'authorize alterations, the unaltered text of the clause at 52.23229,terms for financing of purchases of commercial products and commercial services.',
20876:'c computation of amounts, and contractor entitlement provisions. 1 contracts shall provide that delivery payments shall be made only for',
20877:'completed supplies and services accepted by the government in accordance with the terms of the contract. contracts may provide for',
20878:'commercial advance and commercial interim payments based upon a wide variety of bases, including but not limited to achievement or',
20879:'occurrence of specified events, the passage of time, or specified times prior to the delivery dates. the basis for payment',
20880:'must be objectively determinable. the clause written by the contracting officer shall specify, tothe extent accessis necessary, the information and/or',
20881:'facilities towhich the governmentshallhave access for the purposeof verifying the contractor’s entitlement to payment of contractfinancing. 2 if the contract',
20882:'is awarded using the offerorproposedprocedure at 32.205, the clause constructed by the contracting officer under paragraphb1 of this sectionshallcontain the',
20883:'following: iastatement that the offeror’sproposed listing of earliest times and greatest amounts of projected financing payments submitted in accordance with',
20884:'paragraph d2 of the provision at 52.23231, invitation to propose financing terms, is incorporatedinto the contract, and ii a statement',
20885:'that financing payments shall be made in the lesser amount and on the later of the date due in accordance',
20886:'with the financing terms of the contract, or in the amount and on the date projected in the listing of',
20887:'earliest times and greatest amounts incorporated in the contract. 3 if the security accepted by the contracting officer isthe contractor’s',
20888:'financial condition, thecontracting officer shall incorporate in the clause constructed under paragraph b1 of this section the following iastatement that',
20889:'the contractor’s financial condition has been accepted as adequate security for commercial financing payments; and iiastatement that the contractingofficer may',
20890:'exercise the government’srights torequire other security under paragraph c, security for government financing, of the clause at 52.23229, terms for',
20891:'financing of purchases of commercial productsand commercial services,in theevent the contractor’s financial condition changes and is found not to beadequate',
20892:'security. d instructions for multiple appropriations. if contract financing is to be computed for the contract as a whole, and',
20893:'if there ismorethan one appropriation account or subaccount funding payments under the contract,the contracting officer shall include, in the contract,',
20894:'instructions for distribution of financing payments to the respective funds accounts. distribution instructions and contract liquidation instructions must be mutually',
20895:'consistent. e liquidation. liquidation of contract financing payments shall be on the same basis as the computation of contract financing',
20896:'payments; that is, financing payments computed on a whole contract basis shall be liquidated on a whole contract basis; and',
20897:'a payment computed on a line item basis shall be liquidated against that line item. if liquidation is on a',
20898:'whole contract basis, thecontracting officer shall use auniform liquidation percentageas the liquidation method, unless the contracting officerobtains the concurrence of',
20899:'the cognizant paymentoffice thatthe proposed liquidation provisions can be executed by that office, or unless agencyregulations providealternative liquidation methods. f',
20900:'prompt payment for commercial purchase payments. the provisions of subpart 32.9, prompt payment, apply to contract financing and invoice payments',
20901:'for commercial purchases in the same manner they apply to other than commercial purchases. the contractingofficer is responsible for includingin',
20902:'thecontract all the information necessary to implement promptpayment. in particular, contractingofficers must be careful to clearly differentiate in the contract',
20903:'between contract financing and invoice payments and between itemshaving different prompt payment times. g installment payment financing for commercial products',
20904:'and commercial services. contracting officers mayinsert the clause at 52.23230, installment payments for commercial products and commercial services, in solicitations',
20905:'and contracts in lieu of constructing a specific clause in accordance with paragraphs b through e of this section, if',
20906:'the contract action qualifies under the criteria at 32.2021b and installment payments for the item are either customary or are',
20907:'authorized in accordance with agency procedures. subpart 32.2 commercial product and commercial service purchase financing 32.207 1 description. installment payment',
20908:'financing is payment by the government to a contractor of a fixed number of equal interim financing payments prior to',
20909:'delivery and acceptance of a contract item. the installment payment arrangement is designed to reduceadministrative costs. however, if acontract will',
20910:'have a large number ofdeliveries, the administrative costs may increase to the point where installment payments are not in the',
20911:'best interests of the government. 2 authorized types of installment payment financing and rates. installment payments may be made using',
20912:'the clause at 52.23230, installment payments for commercial products and commercial services, either at the 70 percent financing rate cited',
20913:'in the clause or at a lower rate in accordance with agency procedures. 3 calculating the amount of installment financing',
20914:'payments. the contractingofficer shall identifyin thecontract schedule those items for which installment payment financing is authorized. monthly installment payment amounts',
20915:'are to be calculated by the contractor pursuant to the instructions in the contract clause only for items authorized to',
20916:'receive installment payment financing. 4 liquidating installment payments. if installment payments have been made for an item, the amount paid',
20917:'to the contractor upon acceptance of the item by the government shall be reduced by the amount of installment payments',
20918:'made for theitem. the contractor’s requestforfinal payment for eachitem isrequired to show this calculation. 32.207 administration and payment of commercialfinancingpayments.',
20919:'a responsibility. the contractingofficer responsible for administration of the contract shall be responsibleforreview and approval of contract financing requests. b',
20920:'approval of financing requests. unless otherwise provided in agency regulations, or by agreement with the appropriate paymentofficial 1 the contractingofficer',
20921:'shall be responsible for receiving,approving, and transmitting all contract financing requests to the appropriate paymentoffice; and 2 each approval shall',
20922:'specify the amount to be paid, necessary contractual information, and the accounts see 32.206d tobe charged for the payment. c',
20923:'management of security. aftercontract award,the contracting officer responsibleforapproving requests for financing payments shall be responsiblefordeterminingthat the security continues tobe adequate.',
20924:'if the contractor’s financial condition is the government’s security, this contracting officer isalsoresponsibleformonitoringthe contractor’s financial condition. this page intentionally left',
20925:'blank. 32.26 subpart 32.3 loan guarantees for defense production 32.303 subpart 32.3 loan guarantees for defense production 32.300scope of subpart.',
20926:'this subpart prescribes policies and procedures for designated agencies’ guarantees of loans made by private financial institutions to borrowers performing',
20927:'contracts related to national defense see 30.102. 32.301definitions. as used in this subpart borrower means a contractor, subcontractor at any',
20928:'tier,or other supplier who receivesa guaranteed loan. federal reserve board means the board of governors of the federal reserve system.',
20929:'guaranteed loan or v loan means a loan, revolving credit fund, or other financial arrangement made pursuant to regulation v',
20930:'of the federal reserve board, under which the guaranteeingagency is obligated, on demand of the lender,to purchase a stated percentage',
20931:'of the loan and to share any losses in the amount of the guaranteed percentage. guaranteeing agency means any agency',
20932:'that the president has authorized to guarantee loans, through federal reserve banks, for expediting national defense production. 32.302 authority. congress',
20933:'has authorized federal reserve banks to act, on behalf of guaranteeing agencies, as fiscal agents of the united states in',
20934:'the making of loan guarantees for defense production section301, defense production act of1950 50 u.s.c. app.2091. by executive order10480, august',
20935:'14,1953 3 cfr194953, as amended, the president has designated the following agencies as guaranteeing agencies: a department of defense. b',
20936:'department of energy. c department of commerce. d department of theinterior. e department of agriculture. f general services administration. g',
20937:'national aeronautics and space administration. 32.303general. a section 301 of the defense production act authorizes loan guarantees for contract performance',
20938:'or other operations related to national defense, subject to amounts annually authorized by congress on the maximum obligation of any',
20939:'guaranteeing agency under any loan, discount, advance, or commitment in connection therewith, entered into under section 301. see 50 u.s.c.',
20940:'app.2091 for statutory limitations and exceptions concerning the authorization of loan guarantee amounts and the useof loan guarantees for the',
20941:'prevention of insolvency or bankruptcy. b the guarantee shall be for less than 100 percent of the loan unless the',
20942:'agency determines that 1 the circumstances are exceptional; 2 the operations of the contractor are vital to the national defense;',
20943:'and 3 no other suitable means of financing are available. c loan guarantees are not issued to other agencies of',
20944:'the government. d guaranteed loans are essentially the same as conventional loans made by private financial institutions, except that the',
20945:'guaranteeing agency is obligated, on demand of thelender, to purchase a stated percentage of the loan and to share any',
20946:'losses in the amount of guaranteed percentage. it is the responsibility of the private financial institution to disburse and collect',
20947:'funds and to administer the loan. under regulation v of the federal reserve board 12 cfr245, any private financing institution',
20948:'may submit an application to the federal reserve bank of its district for guarantee of a loan or credit. e',
20949:'federal reserve banks will make the loan guarantee agreements on behalf of the guaranteeing agencies. f under section 302c of',
20950:'executive order10480, august 14,1953 3 cfr194953, as amended, all actions and operations of federal reserve banks, as fiscal agents, are',
20951:'subject to the supervision of the federal reserve board. the federal reserve board is authorized to prescribe the following, after',
20952:'consultation with the heads of guaranteeing agencies: 1 regulations governing the actions and operations of fiscal agents. 2 rates of',
20953:'interest,guarantee and commitmentfees, and other charges that maybe made for loans, discounts, advances, or commitments guaranteed by the guaranteeing agencies',
20954:'through the federal reserve banks. these prescriptions may be in the form of specific rates or limits, or in other',
20955:'forms. federal acquisition regulation 3 uniform forms and procedures to be used in connection with the guarantees. g the guaranteeing',
20956:'agency is responsible for certifying eligibility for the guarantee and fixing the maximum dollar amount and maturitydate of the guaranteed',
20957:'loan tomeet thecontractor’s requirement for financing performance of the defense production contract on hand at the time the guarantee application',
20958:'is submitted. 32.304 procedures. 32.3041 application for guarantee. a a contractor, subcontractor,or supplier thatneeds operating funds to perform acontract relatedto',
20959:'national defense may apply to a financing institution for a loan. if the financing institution is willing to extend credit,',
20960:'but considers a government guarantee necessary, the institution may apply to the federal reserve bank ofits district for the guarantee.',
20961:'application forms and guidance are available at all federal reserve banks. b the federal reserve bank will promptly send a',
20962:'copy of the application, including a list of the relevant defense contracts heldby the contractor, tothe federal reserve board. the',
20963:'board will transmit the application and thelist of contracts to the interested guaranteeingagency,sothat theagency candetermine theeligibility of the contractor. c',
20964:'to expedite the process,the federalreserve bank may, pursuant to instructions ofa guaranteeing agency, submitlists of the defense contracts to the',
20965:'interestedcontracting officers. d while eligibility is being determined, the federal reserve bank will make any necessary credit investigations to supplement',
20966:'the information furnished by the applicant financing institution in order to 1 expedite necessary defense financing; and 2 protect the',
20967:'government against monetary loss. e the federal reserve bank will send its report and recommendation to the federal reserve board.',
20968:'the board will transmit them tothe interested guaranteeing agency. 32.3042certificate ofeligibility. a thecontracting officer shall prepare the certificate of eligibility',
20969:'for acontract that the contracting officer deems to be of material consequence, when 1 the contract financing office requestsit; 2',
20970:'another interested agency requests it; or 3 the application for a loan guarantee relates to a contract or subcontract within',
20971:'the cognizance of the contracting officer. b the agency shall evaluate the relevant data,including the certificateof eligibility, the accompanyingdata, and',
20972:'any other relevant information on the contractor’s financial status and performance, to determine whether authorization ofa loan guarantee wouldbe inthe',
20973:'government’s interest. c if the contractor has several major national defense contracts, it is normally not necessary to evaluate the',
20974:'eligibility of relatively minor contracts. the determination ofeligibility should be processed, withoutdelay, basedon the preponderance of the amount of the',
20975:'contracts. d the certificate of eligibility shall include the following determinations: 1 the supplies or services to be acquired are',
20976:'essential to the national defense. 2 the contractor has the facilities and the technical and management ability required for contract',
20977:'performance. 3 there is no practicable alternate source for the acquisition without prejudice to the national defense. this statement shall',
20978:'not be included if the contractor is a small business concern. e thecontracting officer shall consider the following factors in',
20979:'determining if apracticable alternate sourceexists: 1 prejudice to the national defense, because reletting of a contract with another source would',
20980:'conflict with a major policy on defense acquisition; e.g., policies relating to the mobilization base. 2 the urgency of contract',
20981:'performanceschedules. 3 the technical ability and facilities of other potential sources. 4 the extent to which other sources would need',
20982:'contract financing to perform. 5 the willingness of other sources to enter into contracts. 6 the time and expense involved',
20983:'in repurchasing for contracts or parts of contracts. this may include potential claims under a termination for convenience or delays',
20984:'incident to default at a later date. 7 the comparative prices available from other sources. 8 the disruption of established',
20985:'subcontracting arrangements. subpart 32.3 loan guarantees for defense production 32.3045 9 other pertinent factors. f the contracting officer shall attach',
20986:'sufficient data to the certificate of eligibility to supportthe determinationsmade. available pertinent information shall be included on 1 the contractor’s',
20987:'past performance; 2 the relationship of the contractor’s operationsto performanceschedules; and 3 other factors listed in paragraph e of this',
20988:'section, if relevant to the case under consideration. g if the contracting officer determines that a certificate of eligibilityis not',
20989:'justified,the facts and reasonssupporting that conclusion shall be documented and furnished to the agency contract financeoffice. h the guaranteeing agency',
20990:'shall review the proposed guarantee terms and conditions. if they are considered appropriate, the guaranteeing agency shall complete a standard',
20991:'form of authorization as prescribed by the federal reserve board. the agency shall transmit the authorization through the federal reserve',
20992:'board to the federal reserve bank. the bank is authorized to execute and deliver to the financing institution a standard',
20993:'form of guarantee agreement, with the terms and conditions approved for the particular case. the financing institution will then make',
20994:'the loan. isubstantially thesame procedure may be followedforthe applicationof an offeror who isactively negotiating or bidding for a defense contract,',
20995:'except that the guarantee shall not be authorized until the contract has been executed. jthe contracting officer shall report to',
20996:'the agencycontract finance officeanyinformationabout the contractor that would have a potentially adverse impact on a pending guarantee application. the contracting',
20997:'officeris not required, however, to initiate any special investigation for this purpose. k with regardto existingcontracts,the agency shall not consider',
20998:'the percentageof guarantee requested by the financing institutionin determining the contractor’seligibility. 32.3043 asset formula. a under guaranteed loans made primarily',
20999:'for working capital purposes, the agency shall normally limit the guarantee, by use of an asset formula,to anamount that does',
21000:'notexceed a specified percentage90percent orless of the contractor’s investment e.g., payrolls and inventories in defense production contracts. the asset formula',
21001:'may include all items under defense contracts for which the contractor would be entitled to payment on performance or termination.',
21002:'the formula shall exclude 1 amounts for which the contractor has not done any work or made any expenditure; 2',
21003:'amounts that would become due as the result of later performance under the contracts; and 3 cash collateral or bank',
21004:'deposit balances. b progress payments are deducted from the asset formula. c the agency may relax the asset formula to',
21005:'an appropriate extent for the time actually necessary for contract performance, if thecontractor’sworking capitalandcredit are inadequate. 32.3044guaranteeamountand maturity. the agency',
21006:'may change the guarantee amount or maturity date, within the limitations at 32.3043, as follows: a if the contractor enters',
21007:'into additional defense production contracts after the application for, but beforeauthorization of, a guarantee, the agency may adjust the loan',
21008:'guarantee amount or maturity date to meet any significant increase in financing need. b if the contractor enters into defense',
21009:'production contracts during the term of the guaranteed loan, the parties may adjust the existing guarantee agreement to provide for',
21010:'financing the new contracts. pertinent information and the federal reserve bank reports will be submitted to the guaranteeing agency under',
21011:'the procedures for the original guarantee application, described in 32.3041. normally, a newcertificate of eligibility is required. 32.3045 assignment of',
21012:'claims under contracts. a the agency shall generally require a contractor that is provided a guaranteed loan to execute an',
21013:'assignment of claims under defense production contracts including any contracts entered into during the term of the guaranteed loan that',
21014:'are eligible for financing under the loan; however, the agency need not require assignment if any of thefollowing conditions are',
21015:'present: 1 the contractor’s financial conditionis so strong that the protection to the government provided byan assignment of claims is',
21016:'unnecessary. 2 in connection with the assignment of claims under a major contract, the increased protection of the loan that',
21017:'would beprovided bythe assignments under additional, relatively smaller contracts is notconsidered necessary bythe agency. 32.3046 federal acquisition regulation 3 the',
21018:'assignment of claims would create an administrative burden disproportionate to the protection required; e.g., if thecontractor has a large number',
21019:'ofcontracts with individually small dollar amounts. b the contractor shall also execute an assignment of claims if requested to do',
21020:'so by the guarantor or the financing institution. c a subcontract or purchase order issued to a subcontractor shall not',
21021:'be considered eligible for financing under guaranteed loans when the issuer of the subcontract or purchase order reserves 1 the',
21022:'privilege of making payments directly to the assignor orto theassignor and assignee jointly,after notice of the assignment, or 2 the',
21023:'right to reduce or set off assigned proceeds underdefenseproduction contractsby reason of claims against the borrower arising after notice of',
21024:'assignment and independently of defense production contracts under which the borrower is theseller. 32.3046other collateralsecurity. the following are examples of',
21025:'other forms of security that, although seldom invoked under guaranteed loans, may be required when considered necessary for protection of',
21026:'the government interest: a mortgages on fixed assets. b liens against inventories. c endorsements. d guarantees. e subordinations or standbys',
21027:'of other indebtedness. 32.3047contractsurety bonds and loanguarantees. a contract surety bonds are incompatible withthe government’s interests under guaranteed loans, unless',
21028:'the interestsof the surety are subordinated to the guaranteed loan. b if a substantial shareof the contractor’s defense contractsare covered',
21029:'by surety bonds,or the amount of thebond is substantial in relation to the contractor’s net worth, the agency shall not',
21030:'authorize the guarantee of a loan on a bonded contract unless the surety enters into an agreementwith the financing institutionto',
21031:'subordinate the surety’s rights and claims in favor of the guaranteed loan. c the agency approval of a guarantee for',
21032:'a loan involving relatively substantial subcontracts covered by surety bonds shall also depend on the establishment of a reasonable allocation',
21033:'agreement between the sureties and the financing institution. the agreement should give the financing institution the benefit, with regard to',
21034:'payments to be made on the contract, of the portion of its loans fairly attributable to expenditures made under the',
21035:'bonded subcontracts before notice of default. 32.3048other borrowing. a because of the limitations under guaranteed loans, some contractors seek to',
21036:'supplement the loan by other borrowing outside the guarantee from the financing institution or other sources. it has been recognized',
21037:'in practice that, while prohibition of borrowings outside the guaranteed loan is preferable when practicable in a given vloan case,',
21038:'such other borrowings should be permittedwhen necessary. b if the agency consents to the contractor obtaining other borrowing during the',
21039:'guaranteed loan period, the agency shall apply the following restrictions: 1 a reasonable limit on the amount of other borrowing.',
21040:'2 if guaranteed and unguaranteed loans are made by the same financing institution, a requirement that any collateral security requested',
21041:'by the institution under the unguaranteed loan is also to be secondary collateral for the guaranteed loan. 3 a requirement',
21042:'that the contractor provide appropriatedocumentation to the guaranteeing agency, at intervals not longer than 30 days, to disclose outstanding unguaranteed',
21043:'borrowings. 32.305loan guarantees for terminated contracts. a the purpose of guaranteed loans; i.e., to provide for financingbased on theborrower’s recoverable',
21044:'investmentin defense production contracts, may also apply to contracts that have been terminated partially or totally for the convenience of',
21045:'the government. guaranteed loans also may be made before such termination if it is known that termination of particular contracts',
21046:'for the convenience of the governmentis about to occur. these loans are expected to provide necessary financing pending termination settlements',
21047:'and payments. they may also finance continuing performance of defense production contracts that are eligible for guaranteed loans. subpart 32.3',
21048:'loan guarantees for defense production 32.306 b the procedure for such guarantees is substantially the same as that outlined in',
21049:'32.304, except that certificates of eligibility are not required for 1 contracts that have been totally terminated or 2 the',
21050:'terminated portion of contracts that have been partially terminated. the agency shall take precautions necessary to avoid government losses and',
21051:'to ensure the loans will be selfliquidating from the proceeds of defense production contracts. c loan guarantees for contract termination',
21052:'financing shall not be provided before specific contract terminations are certain. 32.306loan guarantees for subcontracts. if the request for a',
21053:'loan guarantee concerns a subcontractor thatis financiallyweak incomparison with its contractor, thegovernment’s interests maybe fostered by the contractor makingprogresspaymentsto thesubcontractor.',
21054:'if so, the agency shall try to arrange for the contractor to provide the progress payments. as a result, the',
21055:'need for the loan guarantee may be reduced or eliminated and the contractor would bear part or all of the',
21056:'risk of loss arising from the selection of the subcontractor. this page intentionally left blank. 32.36 subpart 32.4 advance payments',
21057:'for other than commercial acquisitions 32.403 subpart 32.4 advance payments for other than commercial acquisitions 32.400scope of subpart. this subpart',
21058:'provides policies and procedures for advance payments on prime contracts and subcontracts. it does not include policies and procedures for',
21059:'advance payments for the types of transactions listed in 32.404. this subpart does not apply to commercial advance payments, which',
21060:'are subject to subpart 32.2. 32.401 statutory authority. the agency may authorize advance payments in negotiated and sealed bid contracts',
21061:'if the action is appropriate under a 41 u.s.c. chapter 45; b 10 u.s.c. chapter 277; or c pub.l.85804 50',
21062:'u.s.c. 14311435 and executive order10789, november 14,1958 3 cfr1958 supp. pp. 7274 see subpart 50.1 for other applications of this',
21063:'statute. 32.402general. a a limitation on authority to grant advance payments under pub.l.85804 50 u.s.c. 14311435 is described at 50.1023b4.',
21064:'b advance payments may be provided on anytype of contract; however, the agency shall authorizeadvance payments sparingly. except for the',
21065:'contracts described in 32.403a and b, advance payment is the least preferred method of contract financing see 32.106 and generally',
21066:'they should not be authorized if other types of financing are reasonably available to the contractor in adequateamounts. loans and',
21067:'credit at excessiveinterest rates orother exorbitant charges, or loans from other government agencies, are not considered reasonably available financing. c',
21068:'if statutory requirements and standards for advance payment determinations aremet, thecontracting officer shall generally recommend that the agency authorize advance',
21069:'payments. 1 the statutory requirements are that i the contractor gives adequate security; ii the advance payments will not exceed',
21070:'the unpaid contract price see 32.410b, paragraph a2; and iii the agency head or designee determines, based on written findings,',
21071:'that the advance payment a is in the public interest under 32.401a or b; or b facilitates the national defense',
21072:'under 32.401c. 2 the standards for advance payment determinations are that ithe advance payments will not exceedthe contractor’s interim cash',
21073:'needs based on a analysis of the cash flow required for contract performance; b consideration of the reimbursement or other',
21074:'payment cycle; and c tothe extent possible, employment of thecontractor’s own working capital; ii the advance payments are necessary to',
21075:'supplement other funds or credit available to a contractor; iii the recipient is otherwise qualified as a responsible contractor; iv',
21076:'the government will benefit from performance prospects or there are other practical advantages; and v the case fits one or',
21077:'more of the categories described in 32.403. d if necessary, the agency mayauthorize advancepaymentsin addition to progress or partial payments',
21078:'on thesame contract see 32.5011c. e each agency that provides advance payments shall 1 place the responsibility for making findings',
21079:'and determinations, and for approval of contract terms concerning advance payments see 32.410, at an organizationallevel high enough to ensure',
21080:'uniform applicationof this subpart see the limitation at 50.1021b which also applies to advance payments authorized under pub.l.85804 50 u.s.c.',
21081:'14311435; and 2 establish procedures for coordination, before advance payment authorization, with the activity that provides contract financing support. f',
21082:'ifthe contract providesforadvance payments under pub.l.85804, the contracting officer shall ensure conformance with the requirements of 50.1037. 32.403 applicability. advance',
21083:'payments may be considered useful and appropriate for the following: federal acquisition regulation a contracts for experimental, research, or development',
21084:'work with nonprofit educational or research institutions. b contracts solely for the management and operation of governmentowned plants. c contracts',
21085:'for acquisition, at cost, of property for government ownership. d contracts of such a highly classified nature that the agency',
21086:'considers it undesirable for national security to permit assignment of claims under the contract. e contracts entered into with financially',
21087:'weak contractors whose technical ability is considered essential to the agency. in these cases,the agencyshallclosely monitor the contractor’s performanceand financialcontrols',
21088:'to reduce the government’s financial risk. f contracts for which a loan by a private financial institution is not practicable,',
21089:'whether or not a loan guarantee under this part is issued; for example, if 1 financing institutions will not assume',
21090:'a reasonable portion of the risk under a guaranteed loan; 2 loans with reasonable interest rates or finance charges are',
21091:'not available tothe contractor; or 3 contracts involve operations so remote from a financial institution that the institution could not',
21092:'be expected to suitably administer a guaranteed loan. g contracts with small business concerns, under which circumstances that make advance',
21093:'payments appropriate often occur but see 32.104b. h contracts under which exceptional circumstances make advance payments the most advantageous contract',
21094:'financing method for boththe government and the contractor. 32.404exclusions. a this subpart does not apply to advance payments authorized by',
21095:'law for 1 rent; 2 tuition; 3 insurance premiums; 4 expenses of investigations in foreign countries; 5 extension or connection',
21096:'of public utilities for government buildings or installations; 6 subscriptions to publications; 7 purchases of supplies or services in foreign',
21097:'countries, if i the purchase price does not exceed $15,000 or equivalent amount of the applicable foreign currency; and ii',
21098:'the advance payment is required by the laws or government regulations of the foreign country concerned; 8 enforcement of the',
21099:'customs or narcotics laws; or 9 othertypes of transactions excluded by agency procedures understatutory authority. b agencies may issue their',
21100:'own instructions to deal with advance payment items in paragraph a of this section authorized under statutes relevant to their',
21101:'agencies. 32.405applying pub.l.85804 to advance payments under sealed bid contracts. a actions that designated agencies may take to facilitate the',
21102:'national defense without regard to other provisions of law relating to contracts, as explained in 50.1011a, also include making advance',
21103:'payments. these advance payments may be made at or after award of sealed bid contracts, as well as negotiated contracts.',
21104:'b bidders may request advance payments before or after award, even if the invitation for bids does not contain an',
21105:'advancepayment provision. however, thecontracting officer shall reject anybid requiring that advance payments be provided as a basis for acceptance. c',
21106:'when advance payments are requested, the agency may 1 enter into the contract and provide for advance payments conforming to',
21107:'this part 32; 2 enter into the contract without providing for advance payments if the contractor does not actually need',
21108:'advance payments; or 3 deny award of the contract if the request for advance payments has been disapproved under 32.4092',
21109:'and funds adequate for performance arenot otherwise available to theofferor. 32.406 letters of credit. a thedepartment ofthe treasury treasury prescribesregulations',
21110:'and instructions covering the use oflettersof credit for advancepaymentsunder contracts. see treasury department circular1075 31 cfr part 205, and the',
21111:'implementing instructions in thetreasury financial manual, available inoffices providing financial advice and assistance. subpart 32.4 advance payments for other than',
21112:'commercial acquisitions 32.408 b if agencies provide advance payments to contractors, use of the following methods is required unless the',
21113:'agency has obtaineda waiver from the treasury department: 1 by letter of credit if the contracting agency expects to have',
21114:'a continuing relationship with the contractor for a year or more, with advances totaling at least $120,000 a year. 2',
21115:'by direct treasury check if the circumstancesdo not meet the criteria in paragraphb1 of this section. c if the agency',
21116:'has entered into multiple contracts or a combination of contracts and assistance agreements involving eligibility of a contractor for more',
21117:'than one letter of credit, the agency shall follow arrangements made under treasury procedures for 1 consolidating funding to the',
21118:'same contractor under one letter of credit or 2 replacing multiple letters of credit with a single letter of credit.',
21119:'d the letter of credit enables the contractor to withdraw government funds in amounts needed to cover its own disbursements',
21120:'of cash for contract performance. whenever feasible, the agency shall, under the direction and approval of the department of thetreasury,',
21121:'use aletter of credit method that requires the contractornot to withdraw the government funds untilthe contractor’s checks have been 1',
21122:'forwarded to the payees delay of drawdown technique, or 2 presentedto the contractor’sbank for payment checks paid technique see 31',
21123:'cfr205.3 and 205.4d. e thetreasury regulations provide for terminating the advance financing arrangement if the contractor is unwilling or unable',
21124:'to minimize the elapsed time between receipt of the advance and disbursement of the funds. in such cases, if reversion',
21125:'to normal payment methods is not feasible, the treasury regulationprovides for use of a workingcapital methodof advance; i.e., for limiting',
21126:'advances to 1 only the estimated disbursements for a given initial period; and 2 subsequently, for only actualcash disbursements31 cfr205.3k',
21127:'and 205.7. 32.407 interest. a except as provided in paragraph d of this section, the contracting officer shall chargeinterest on',
21128:'the daily unliquidated balance of all advance payments at the higher of 1 the published prime rate of the financial',
21129:'institution depository in which the special account see 32.4093 is established; or 2 the rate establishedby the secretary ofthe treasury',
21130:'under 50u.s.c. app.1215b2. b the interest rate for advance payments shall be adjusted for changes in the prime rate of',
21131:'the depository and the semiannual determination by the secretary of thetreasury under 50 u.s.c. app.1215b2. the contracting officer shall obtain',
21132:'data from the depository on changes in the interest rate during the month. interest shall be computed at the end',
21133:'of each month on the daily unliquidated balance of advance payments at the applicable daily interest rate. c interest shall',
21134:'be required on contracts that are for acquisition, at cost, of property for government ownership, if the contracts are awarded',
21135:'in combination with, or in contemplation of, supply contracts or subcontracts. d the agency head or designee may authorize advance',
21136:'payments without interest under the following types of contracts, if in the government’sinterest: 1 contracts for experimental, research, or development',
21137:'work including studies, surveys, and demonstrations in socioeconomic areas with nonprofit education or research institutions. 2 contracts solely for the',
21138:'management and operation of governmentowned plants. 3 costreimbursement contracts with governments, including state or local governments, or their instrumentalities. 4',
21139:'other classes of contracts, or unusual cases, for which the exclusion of interest on advances is specifically authorized by agency',
21140:'procedures. e if a contract provides for interestfree advance payments, thecontracting officer may require the contractor to charge interest on',
21141:'advances or downpayments to subcontractors and credit the government for the proceeds from the interest charges. interest rates shall be',
21142:'determinedas describedin paragraphs aandbof this section. thecontracting officer need not require the contractor to charge interest on an advance to',
21143:'asubcontractorthat isan institution ofthe kind described in paragraph d1 of this section. f the contracting officer shall not allow interestcharges,',
21144:'required by this 32.407, as reimbursable costs under cost reimbursement contracts, whether the interestcharge was incurred bythe prime contractor ora',
21145:'subcontractor. 32.408application for advance payments. a a contractor may apply for advance payments before or after the award of a',
21146:'contract. federal acquisition regulation b the contractorshallsubmit any advance payment request in writing to the contracting officer and provide the',
21147:'following information: 1 a reference to the contract if the request concerns an existing contract, or a reference to the',
21148:'solicitation if the request concerns a proposed contract. 2 a cash flow forecast showing estimated disbursements and receipts for the',
21149:'period of contract performance. if the application pertains to a type of contract described in 32.403a or b, the contractor',
21150:'shall limit the forecast to the contract to be financed by advance payments. 3 the proposed total amount of advance',
21151:'payments. 4 the name and address of the financial institution at which the contractor expects to establish a special account',
21152:'as depository for the advance payments. if advance payments in the form of a letter of credit are anticipated, the',
21153:'contractor shall identify the specific account at the financial institution to be used. this paragraph b4 is not applicable if',
21154:'an alternate method is used under agency procedures. 5 a description of thecontractor’sefforts to obtain unguaranteed private financing or a',
21155:'vloan see 32.301 under eligible contracts. this requirement is not applicable to the contract types described in 32.403a or b.',
21156:'6 otherinformation appropriate to an understanding of i the contractor’s financial condition and need, ii the contractor’s ability to perform',
21157:'thecontract without loss to the government, and iiifinancial safeguards needed to protect the government’s interest. ordinarily,if the contractis atype describedin',
21158:'32.403a or b, the contractor may limit the response to this paragraphb6 to information on the contractor’s reliability,technicalability,andaccounting system and',
21159:'controls. 32.409contracting officer action. afteranalysisof the contractor’s application and any appropriate investigation,the contracting officershallrecommend approval or disapproval and transmit the',
21160:'request and recommendation to the approving authority designated under 32.402e. 32.4091recommendation for approval. if recommending approval, the contracting officershalltransmit the',
21161:'following, under agency procedures, to the approving authority: a contract data, including 1 identification and date of the award; 2',
21162:'citation of the appropriation; 3 type and dollar amount of the contract; 4 items to be supplied, schedule of deliveries',
21163:'or performance, and status of any deliveries or performance; 5 the contract fee or profit contemplated; and 6 a copy',
21164:'of the contract, if available. b the contractor’s requestandsupporting information. c a report on the contractor’spastperformance, responsibility, technicalability, andplant capacity.',
21165:'d comments on 1 the contractor’s need for advance payments; and 2 potential government benefits from the contract performance. e',
21166:'proposed advance payment contract terms, including proposed security requirements. f the findings, determination, and authorization see 32.410. g the recommendation',
21167:'for approval of the advance payment request. h justification of any proposal for waiver of interest charges see 32.407. 32.4092recommendation',
21168:'for disapproval. if recommending disapproval, the contractingofficer shall,under agency procedures, transmit a the items prescribed in 32.4091a, b, and c;',
21169:'and b the recommendation for disapproval and the reasons. 32.4093security,supervision, andcovenants. a if advance payments areapproved, thecontracting officer shall enter',
21170:'intoan agreement with the contractor covering special accounts and suitable covenantsprotecting the government’s interest see 32.411. this requirement generally applies',
21171:'under all statutory authorities, but modified requirements applicable to certain specific cases are prescribed in paragraphs e through g of',
21172:'this section. subpart 32.4 advance payments for other than commercial acquisitions 32.410 b the agency shall 1 ensure that the',
21173:'amount of advancepaymentsdoes not exceed thecontractor’sfinancial needs, and 2 closely supervisethe contractor’s withdrawal offundsfrom special accounts in which the advance',
21174:'payments are deposited. c inthe terms of theagreement, the contractingofficer should provide for a paramount lien in favor of the',
21175:'government. this lien may supplement or replace other security requirements. the lien should cover 1 supplies being acquired; 2 any',
21176:'credit balance in the special account in which advance payments are deposited; and 3 all property that the contractor acquires',
21177:'for performing the contract, except to the extent to which the government otherwisehas valid title to the property. d security',
21178:'requirements varyto fit the circumstances of different cases. minimum security requirements are coveredby theclauses prescribed in the contract. the contractingofficer',
21179:'may supplementthese asnecessary ineach case for protection of the government’sinterest. examples of additional security terms are 1 personal or corporate',
21180:'endorsements or guarantees; 2 pledges of collateral; 3 subordination or standby of other indebtedness; 4 controls or limitations on profit',
21181:'distributions, salaries, bonuses or commissions, rentals and royalties, capital expenditures, creation of liens, retirement of stock or debt, and creation',
21182:'of additional obligations; and 5 advance payment bonds rarely required. e in an advance payment agreement with an instrumentality of',
21183:'the government, a state, a local government, or an agency or instrumentality of a state or localgovernment, thecontracting officer may',
21184:'omitthe requirement for deposit ofthe advances ina special account, if the official approving theadvance determines thatotheradequate security exists to protect',
21185:'thegovernment’s interest. f the requirements of this 32.4093do not apply when using lettersof credit if an agency’s procedures provide for',
21186:'1 the use under a costreimbursement contract offederal funds deposited in the contractor’s accountat a financial institution without the contractor',
21187:'acquiring title to the funds; and 2 the security of such deposit of public moneys in accordancewith governing regulations of',
21188:'the treasury department. g if a separate special account is not required; e.g., advance payment by a letter of credit,',
21189:'an agency may require a special account for an individual case, or classes of cases, if the circumstances warrant. 32.410findings,',
21190:'determination, and authorization. a each determination concerning advance payments shall be supported by written findings see 32.402c1iii. b the following',
21191:'is an example of the format and text of findings, determination, and authorization with alternative words, phrases, and paragraphs to',
21192:'be selected to conform to the circumstances involved: findings, determination, and authorization for advance payments findings a the undersigned hereby',
21193:'finds that: 1 the [insert the name of the contracting activity] and [insert the name of the contractor] have entered',
21194:'propose to enter into negotiated sealed bid contract no., dated . [summarize the specific facts and significant circumstances concerning the',
21195:'contract and the contractor, that, together with the other findings, will clearly support the determination below.] 2 advance payments in',
21196:'an amount not to exceed $ at any time outstanding in an aggregate amount not exceeding $, less the aggregate',
21197:'amounts repaid, or withdrawn by the government are required by the contractor to perform under the contract. the amount does',
21198:'not exceed the unpaid contract price or the estimated interim cash needs arising during the reimbursement cycle. 3 the advance',
21199:'payments are necessaryforprompt, efficient contract performance that willbenefit the government. 4 the proposed advance payment clause provides for security for',
21200:'the protection of the government. the clause requires that allpaymentswill be deposited in a special account at the contractor’s financial',
21201:'institution and that the government will have a paramount lien oni the credit balancein the specialaccount, iianysupplies contracted for, and',
21202:'iiiany material or other property acquired for performance of the contract. [insert the following, if applicable: the contractor’s financial management',
21203:'system provides for effective control over and accountability for all federal funds under governing regulations of the treasury department.an advance',
21204:'payment bond is required.] this security is considered adequate. federal acquisition regulation 5 advance payments are the onlyadequate means of',
21205:'financing available to the contractor, and the amount designated in 2 of this sectionis based, to the extent possible, on',
21206:'the useof the contractor’s own workingcapital in performing the contract. [insert paragraph6, 7, or 8, as applicable.] 6 the contractor',
21207:'is a nonprofit educational and research institution, and the contract is for experimental , research and development work. 7 the',
21208:'contract is solely for the management and operation of a governmentowned plant. 8 the following unusual facts and circumstances favor',
21209:'making advance payments to the contractor without interest: [list the pertinent facts and circumstances.] determination b based on the findings',
21210:'in paragraph a of this section, the undersigned determined that the making of the proposed advance payments, with interest at',
21211:'the rate of [insert the interest rate computed in accordance with 32.407 ] percent on the daily unliquidated balance of',
21212:'the advance payments, without interest, except as provided by the proposed advance payment clause, is in the public interest will',
21213:'facilitate the national defense. authorization c the advance payments, of which the amount at any time outstanding the aggregate amount,',
21214:'less the aggregate amounts repaid, or withdrawn by the government, shall not exceed $, are hereby authorized under 41 u.s.c.',
21215:'chapter 45, contract financing 10 u.s.c. chapter 277 the extraordinary contracting authority of government agencies in connection with national defense',
21216:'functions 50 u.s.c. 14311435 and executive order no.10789 of november 14,1958 3 cfr 1958 supp. pp. 7274 [or, if other,',
21217:'cite appropriate authority] on terms substantially as contained in the proposed advance payment clause, a copy an outline of which',
21218:'is annexed to this authorization the following terms: [insert the appropriate terms.] all prior authorizations for advance payments under contract',
21219:'no. are superseded. [signature] [name typed] [titleof authorized official] [each findings, determination, and authorization shall be individually prepared to fit',
21220:'the particular circumstances at hand.paragraphsa1, 2, 3 and 4 and paragraphs b and c shall be used in each case.',
21221:'if the contract is a for experimental, developmental or research work and with a nonprofit educational or research institution, or',
21222:'b only for management and operation of a governmentowned plant, paragraph a5 should not be included.if the advance payment is',
21223:'to be made without interest to the contractor, include paragraph a6, 7, or 8. if any advance payments have previously',
21224:'been authorized for the contract, include the final sentence of paragraph c. the alternate parenthetical wording or other modifications may',
21225:'be used as appropriate.the paragraphs actually used shall be renumbered sequentially.] 32.411agreement for special account at a financial institution. the',
21226:'contractingofficer mustuse substantially the following form of agreementfora special account for advance payments: agreement for special account this agreement is',
21227:'entered into this day of , 20, between the united states of america the government, representedby the contracting officer executing',
21228:'this agreement, [insert the name of the contractor], a [insert the name of the state of incorporation] corporation the contractor,',
21229:'and , a financial institution operating under the laws of , located at the financial institution. recitals a under date',
21230:'of , 20, the government and the contractor entered into contract no. , or a related supplemental agreement, providing for',
21231:'advance payments to the contractor. a copy of the advance payment termswas furnished to the financial institution. b the contract',
21232:'or supplemental agreement requires that amounts advanced to the contractor be deposited separate from thecontractor’s general or other funds, in',
21233:'a special account at a member bank of thefederal reserve system, any insured bank within the meaning of the act',
21234:'creating the federal deposit insurance corporation 12 u.s.c. 1811, or a credit union subpart 32.4 advance payments for other than',
21235:'commercial acquisitions 32.412 insured by the national credit union administration. the parties agree to deposit the amounts with the financial',
21236:'institution, which meets the requirement. c this special account is designated [insert the contractor’s name], [insert the name of the',
21237:'government agency] special account. covenants in consideration of the foregoing, and for other good and valuable considerations, the parties agree',
21238:'to the following conditions: a the government shall have a lien on the credit balance in the account to secure',
21239:'the repayment of all advance payments made to the contractor. thelien isparamount to any lien or claimof the financial institutionregardingthe',
21240:'account. b the financial institution is bound by the terms of the contract relating to the deposit and withdrawal of',
21241:'funds in the special account, but is not responsible for the application of funds withdrawn from the account. the financial',
21242:'institution shall act on writtendirections from the contracting officer, the administering office, ora duly authorized representative of either. the financial',
21243:'institution is not liableto any party to this agreement for any actionthat complies with the written directions. any written directions',
21244:'received by the financial institution through the contracting officer on [insert the name of the agency] stationery and purporting to',
21245:'be signed by, orby the direction of ordulyauthorized representative, shall be, as far as the rights, duties, and liabilities of',
21246:'the financial institution are concerned, considered as being properly issued and filed with the financial institution by the [insert the',
21247:'name of the agency]. c the government, or its authorized representatives, shall have access to the books and records maintained',
21248:'by the financial institution regarding the special account at all reasonable times and for all reasonable purposes, including but not',
21249:'limited to, the inspection or copying of the books and records and any and all pertinent memoranda, checks, correspondence, or',
21250:'documents. the financial institution shall preserve the books and records for a period of 6 years after the closing of',
21251:'this special account. d in the event of the service of any writ of attachment, levy of execution, or commencement',
21252:'of garnishment proceedings regarding the special account, the financial institution will promptly notify [insert the name of the administering office].',
21253:'e while this special account exists, the financial institution shall inform the government each month of the financial institution’s published',
21254:'prime interestrate and changes to the rate during themonth. the financial institutionshallgive this information tothe contracting officeron the lastbusiness day',
21255:'of themonth. [this covenant will not be included in the special account agreements covering interestfree advance payments.] each of the',
21256:'parties to this agreement has executed the agreement on , 20. [signatures and official titles] 32.412contract clause. a thecontracting officer',
21257:'shall insert the clause at 52.23212, advance payments, in solicitations and contracts under which the government will provide advance payments,',
21258:'except as provided in 32.412b. b if the agencydesiresto waive the countersignature requirement because of the contractor’s financial strength,good performancerecord,',
21259:'and favorable experience concerning cost disallowances, the contracting officershalluse the clause with its alternate i. c if a costreimbursement contract',
21260:'iscontemplated,the contracting officershalluse the clausewith its alternateii. d if the agencyconsiders amorerapid liquidation appropriate, the contracting officershalluse the clause withits',
21261:'alternateiii. e if the agency provides advance payments under the contract atno interest to theprimecontractor, the contracting officer shall use',
21262:'theclause with itsalternateiv. f if the requirement for a special account is eliminated in accordance with 32.4093e or g, thecontracting',
21263:'officer shall insert in the solicitation or contract the clause set forth in alternate v of 52.23212, advance payments, instead',
21264:'of the basic clause. this page intentionally left blank. 32.48 subpart 32.5 progress payments based on costs 32.5013 subpart 32.5',
21265:'progress payments based on costs 32.500scope of subpart. this subpart prescribes policies, procedures, forms, solicitation provisions, and contract clauses for',
21266:'providing contract financing through progress payments based on costs. this subpart does not apply to a payments under costreimbursement contracts,',
21267:'but see 32.110 for progress payments made to subcontractors under costreimbursement prime contracts; or b contracts for construction orforshipbuilding or',
21268:'ship conversion, alteration, or repair, whenthe contracts providefor progress payments based on a percentage or stage of completion. 32.501general. progress',
21269:'payments may be customary or unusual. customary progress payments are those made under the general guidance in this subpart, using',
21270:'the customary progress payment rate, the cost base, and frequency of payment established in the progress payments clause, and either',
21271:'the ordinary liquidation method or the alternate method as provided in subsections 32.5038 and 32.5039. any other progress payments are',
21272:'considered unusual, and may be used only in exceptional cases when authorized in accordance with subsection 32.5012. 32.5011customary progress payment',
21273:'rates. a the customary progress payment rate is 80 percent, applicable to the total costs of performing the contract. the',
21274:'customary rate for contracts with small business concerns is 85 percent. b the contractingofficer must 1 consider any rate higher',
21275:'than those permitted in paragraph a of this section an unusual progress payment; and 2 not include a higher rate',
21276:'in a contract unless advance agency approval is obtained as prescribed in 32.5012. c when advancepayments andprogresspaymentsare authorized underthe same',
21277:'contract,the contracting officermust not authorize a progress payment rate higher than the customary rate. d in accordance with 10 u.s.c.',
21278:'3804b and 41 u.s.c. 4504b, the limit for progress payments is 80 percent on work accomplishedunder undefinitized contract actions. thecontracting',
21279:'officer must not authorizea higher rate under unusual progress payments or other customary progress payments for the undefinitized actions. 32.5012unusual',
21280:'progress payments. a thecontracting officer may provide unusual progress payments only if 1 the contract necessitates predelivery expenditures thatare largein',
21281:'relation to contractprice and in relation to the contractor’s workingcapital and credit; 2 the contractor fully documents an actual need',
21282:'to supplement any private financing available, including guaranteed loans; and 3 the contractor’s requestis approvedby the head ofthe contracting activityor',
21283:'adesignee. in addition, see 32.5022. b the excess of the unusual progress payment rate approved over the customary progress payment',
21284:'rate should be the lowest amount possible under the circumstances. c progress payments will not be considered unusual merely because',
21285:'they are on letter contracts or the definitive contracts that supersede letter contracts. 32.5013 contract price. a for the purpose',
21286:'of making progress payments and determining the limitation on progress payments, the contract price shall be as follows: 1 under',
21287:'firmfixed price contracts, the contract price is the current amount fixed by the contract plus the nottoexceed amount for any',
21288:'unpriced modifications. 2 if the contract is redeterminable or subject to economic price adjustment, the contract price is the initial',
21289:'price until modified. 3 under a fixedprice incentive contract, the contract price is the target priceplus the nottoexceed amount of',
21290:'unpriced modifications. however, if the contractor’s properly incurredcosts exceed the target price, thecontracting officer may provisionally increase the price up',
21291:'to the ceiling or maximum price. 4 under a letter contract, the contract price is the maximum amount obligated by',
21292:'the contract as modified. 32.5014 federal acquisition regulation 5 under an unpriced order issued against a basic ordering agreement, the',
21293:'contract price is the maximum amount obligated by the order, asmodified. 6 any portion of the contract specifically providing for',
21294:'reimbursement of costs only shall be excluded from the contract price. b the contractingofficer shall not make progress payments or',
21295:'increase the contract price beyond the funds obligated under the contract, as amended. 32.5014 [reserved] 32.5015other protective terms. if the',
21296:'contracting officer considers it necessary for protection of the government’s interest, protective terms such as the following may be used',
21297:'in addition to the progress payments clause of the contract: a personal or corporate guarantees. b subordinations or standbys of',
21298:'indebtedness. c special bank accounts. d protective covenants of the kinds in paragraph p of the clause at 52.23212, advance',
21299:'payments. e a provision, included in the solicitation and resultant contract when first article testing is required see subpart 9.3,',
21300:'limiting progress payments on first article work by a stated amount or percentage. 32.502 preaward matters. this section covers matters',
21301:'that generally are relevant only before contract award. this does not preclude taking actions discussed here after award, if appropriate;',
21302:'e.g., postaward addition of a progress payments clause for consideration. 32.5021use of customary progress payments. the contractingofficer may use aprogress',
21303:'payments clausein solicitations and contracts, in accordance with this subpart. the contractingofficer mustreject as nonresponsive bids conditioned on progress payments',
21304:'when the solicitation didnot provide for progress payments. 32.5022 contract finance office clearance. the contractingofficer shall obtain the approval ofthe',
21305:'contract finance office or other offices designated under agency procedures before taking any of the following actions: a providing a',
21306:'progress payment rate higher than the customary rate see 32.5011. b deviating from the progress payments terms prescribed in this',
21307:'part. c providing progress payments to a contractor 1 whose financial condition is in doubt; 2 who has had an',
21308:'advance payment request or loan guarantee denied for financial reasons or approved but withdrawn or lapsed within the previous 12',
21309:'months; or 3 who is named in the consolidated list of contractors indebted to the united states known commonly as',
21310:'the holdup list. 32.5023solicitation provisions. a thecontracting officer shall insert the provision at 52.23213, notice of progress payments, in invitations',
21311:'for bids and requests for proposals that include a progress payments clause. b 1 under the authority of the statutes',
21312:'cited in 32.101, an invitation for bids may restrict the availability of progress payments tosmall business concernsonly. 2 the contractingofficer',
21313:'shall insertthe provisionat 52.23214, notice of availability ofprogress payments exclusively for small business concerns, in invitations for bids if it',
21314:'is anticipated that i both small business concerns and others may submit bids in response to the same invitation; and',
21315:'ii only the small business bidders would need progress payments. c thecontracting officer shall insert the provision at 52.23215, progress',
21316:'payments not included, in invitations for bids if the solicitation will not contain one of the provisions prescribed in paragraphs',
21317:'a and b of this section. subpart 32.5 progress payments based on costs 32.5033 32.5024 contract clauses. a 1 insert',
21318:'the clause at 52.23216, progress payments, in i solicitations that may result in contracts providing for progress payments based on',
21319:'costs; and ii fixedprice contracts under which the government will provide progress payments based on costs. 2 if advance agency',
21320:'approval has been given in accordance with 32.5011, thecontracting officer may substitute a different customary rate for other than small',
21321:'business concerns for the progress payment and liquidation rate indicated. 3 if an unusual progress payment rate is approved for',
21322:'the prime contractor see 32.5012, substitute the approved rate for the customary rate in paragraphs a1, a6, and b of',
21323:'the clause. 4 if the liquidation rate is changed from the customary progress payment rate see 32.5038 and 32.5039, substitute',
21324:'the new rate for the rate in paragraphs a1, a6, and b of the clause. 5 if an unusual progress',
21325:'payment rate is approved for a subcontract see 32.504c and 32.5012, modify paragraph j6 of the clause to specify thenew',
21326:'rate, the name of the subcontractor, and that the new rateshallbe used for that subcontractor in lieu of the customary',
21327:'rate. b if the contractor is a small business concern, use the clause with its alternatei. c if the contract',
21328:'is a letter contract, use the clause with its alternateii. d if the contractor is not a small business concern,',
21329:'and progress payments are authorized under an indefinitedelivery contract, basic ordering agreement, or their equivalent, use the clause with its',
21330:'alternateiii. e if the nature of the contract necessitates separate progress payment rates for portions of work that are clearly',
21331:'severable and accounting segregation would be maintained e.g., annual production requirements, describe the application of separate progress payment rates in',
21332:'a supplementary special provision within the contract. the contractor must submit separate progress payment requests and subsequent invoices for the',
21333:'severable portions of work in order to maintain accounting integrity. 32.503postaward matters. this section covers matters that are generally relevant',
21334:'only after award of a contract. this does not preclude taking actions discussed here before award, if appropriate; e.g., preaward',
21335:'review of accounting systems and controls. 32.5031 [reserved] 32.5032supervision of progress payments. a theextent of progress payments supervision, by prepayment',
21336:'review or periodic review, should varyinverselywith the contractor’s experience, performancerecord, reliability, quality of management, and financial strength, and with the',
21337:'adequacy of the contractor’s accounting system and controls. supervision shall be of a kind and degree sufficient to provide timely',
21338:'knowledge ofthe need for,and timely opportunityfor, any actions necessary to protect government interests. b the administering office must keep itself',
21339:'informed ofthe contractor’s overall operationsand financialcondition, since difficulties encountered andlosses suffered in operations outside theparticular progress payment contractmay affect adversely',
21340:'the performance of that contract and the liquidation of the progress payments. c for contracts with contractors 1 whose financial',
21341:'condition is doubtful or not strong in relation to progress payments outstanding or to be outstanding; 2 with management of',
21342:'doubtful capacity; 3 whose accounting controls are found by experience to be weak; or 4 experiencing substantialdifficulties in performance, full',
21343:'information on progress under the contract involved including the status of subcontracts and on the contractor’s other operations and overall',
21344:'financial conditionshouldbe obtainedand analyzed frequently, witha view toprotecting the government’s interests betterandtakingsuch action as may be proper to make contract',
21345:'performance more certain. d so far as practicable, all cost problems, particularly those involving indirect costs, that are likely to',
21346:'create disagreements in future administration of the contract should be identified and resolved at the inception of the contract see',
21347:'31.109. 32.5033initiationof progress payments and review ofaccounting system. a for contractorsthat the administrativecontracting officer aco has found by previous experience',
21348:'orrecent audit review within the last 12 months to be 32.5034 federal acquisition regulation 1 reliable, competent, and capable of',
21349:'satisfactory performance; 2 possessed of an adequate accounting system and controls; and 3 in sound financial condition, progress payments in',
21350:'amounts requested by the contractor should be approved as a matter of course. b for all other contractors, the aco',
21351:'shall not approve progress payments before determining 1 that i the contractor will be capable of liquidating any progress payments',
21352:'or ii the government is otherwise protected against loss by additional protective provisions, and2that thecontractor’saccountingsystem and controls are adequate for',
21353:'proper administration of progress payments. the services of the responsible audit agency or office should be used to the greatest',
21354:'extent practicable. however, if the auditorso advises, a complete audit may not be necessary. 32.5034approval of progress payment requests. a',
21355:'when thereliability of thecontractor and the adequacyof the contractor’s accounting system and controlshavebeen established see 32.5033 of this section the',
21356:'aco may,in approving any particular progresspayment request including initial requestson new contracts, rely upon thataccountingsystem and upon the contractor’s certification,',
21357:'withoutrequiring audit or review of the request before payment. b the aco should not routinely askforaudits of progresspayment requests. however,',
21358:'when thereis reason to 1 questionthe reliability oraccuracy of the contractor’s certification;or 2 believe that the contract will involve a',
21359:'loss, the aco should ask for a review or audit of the request before payment is approved or the request',
21360:'is otherwise disposed of. c when there is reason to doubt the amount of a progress payment request, only the',
21361:'doubtful amount should be withheld, subject to later adjustment after review or audit; any clearly proper and due amounts should',
21362:'be paid without awaiting resolution of the differences. 32.5035administration ofprogress payments. a whilethe aco may, in approvingprogresspayment requests under 32.5033',
21363:'of this section, rely on the contractor’s accounting system and certification without prepayment review, postpayment reviews including audits when considered',
21364:'necessary shall be made periodically,or when considereddesirable by theaco to determine the validity of progress payments already made and expected',
21365:'to be made. b these postpayment reviews or audits shall, as a minimum, include a determination of whether or not',
21366:'1 the unliquidated progress payments are fairly supported by the value of the work accomplished on the undelivered portion of',
21367:'the contract; 2 the applicable limitation on progress payments in the progress payments clause has been exceeded; 3 i the',
21368:'unpaid balance of the contract price will be adequate to cover the anticipated cost of completion; or ii the contractor',
21369:'has adequate resources to complete the contract; and 4 there is reasonto doubt the adequacy and reliability of the contractor’s',
21370:'accounting systemandcontrols and certification. c under indefinitedeliverycontracts, the contracting officershouldadminister progress payments made under each individual order as if the',
21371:'order constituted a separate contract, unless agency procedures provide otherwise. when the contract will beadministered byan agencyother thanthe awarding agency,',
21372:'the contractingofficer shall coordinate with the contract administrationoffice if the awarding agency wantsthe administration of progress payments tobe on a',
21373:'basis other than orderbyorder. 32.5036suspensionor reductionof payments. a general. the progress payments clause provides a government right to reduce or',
21374:'suspend progress payments, or to increase the liquidation rate, under specified conditions. these conditions and actions are discussed in paragraphs',
21375:'b through g of this subsection. 1 the contractingofficer shall take these actionsonlyin accordance with thecontract terms and never precipitatelyor',
21376:'arbitrarily. these actions should be taken only after i notifying the contractor of the intended action and providing an opportunity',
21377:'for discussion; iievaluating theeffect of the action on the contractor’s operations, basedon the contractor’s financial condition, projected cash requirements, and',
21378:'the existing or available credit arrangements; and iii considering the general equities of the particular situation. subpart 32.5 progress payments',
21379:'based on costs 32.5036 2 the contractingofficer shall take immediate unilateral action only if warrantedby circumstances suchas overpayments or unsatisfactory',
21380:'contract performance. 3 in all cases,the contracting officer shall i act fairly and reasonably; ii base decisions on substantial evidence;',
21381:'and iii document the contract file. findings made under paragraph c of the progress payments clause shall be in writing.',
21382:'b contractor noncompliance. 1 the contractor must comply with all material requirements of the contract. this includes the requirement to',
21383:'maintain an efficient and reliable accounting system and controls, adequate for the proper administration of progress payments. if the system',
21384:'or controls are deemed inadequate, progress payments shall be suspended or theportion of progress payments associated with the unacceptableportion of',
21385:'the contractor’s accounting system shall be suspended until the necessary changes have been made. 2 if the contractor fails to',
21386:'comply with the contractwithout fault or negligence,the contracting officerwill not take action permitted by paragraph c1 of the progress payments',
21387:'clause, other than to correct overpayments and collect amounts due from the contractor. c unsatisfactory financial condition. 1 if thecontracting',
21388:'officer finds that contract performance including full liquidationof progress paymentsis endangeredby the contractor’s financial condition, or bya failure to make',
21389:'progress, thecontracting officer shall requirethe contractor to make additional operating or financial arrangements adequate for completing the contract without loss',
21390:'to the government. 2 if the contracting officer concludes that further progress payments would increasethe probable loss to the government,',
21391:'thecontracting officer shall suspend progress payments and all other payments until the unliquidated balance of progress payments is eliminated. d',
21392:'excessive inventory. if the inventory allocated to the contract exceeds reasonable requirements including a reasonable accumulation ofinventoryforcontinuity of operations, the',
21393:'contracting officer should, in addition to requiring thetransfer of excessive inventory from the contract, take oneor more of the following',
21394:'actions,as necessary,to avoid or correct overpayment: 1 eliminate the costs of the excessive inventory from the costs eligible for progress',
21395:'payments, with appropriate reduction in progress payments outstanding. 2 apply additional deductions to billings for deliveries increase liquidation. e delinquency',
21396:'in payment of costs of performance. 1 if the contractor is delinquent in paying the costs of contract performancein the',
21397:'ordinary course of business, thecontracting officer shall evaluate whether the delinquency iscaused by anunsatisfactory financial conditionand,if so, shall apply the',
21398:'guidancein paragraph c of thissection. if the contractor’s financial condition is satisfactory, the contracting officershallnot denyprogress paymentsif the contractor agrees',
21399:'to i cure the payment delinquencies; iiavoidfurther delinquencies;and iii make additional arrangements adequate for completing the contract without loss to',
21400:'the government. 2 if the contractor has, in good faith, disputed amounts claimed by subcontractors, suppliers, or others, the contracting',
21401:'officer shall notconsider the payments delinquent untilthe amounts due areestablished by the partiesthroughlitigation or arbitration. however, theamountsshallbe excluded from costs',
21402:'eligible for progress payments solongas they are disputed. 3 determinations of delinquency in making contributions under employee pension, profit sharing,',
21403:'or stock ownership plans, and exclusion of costs for such contributions from progress payment requests, shall be in accordance with',
21404:'paragraph a3 of the clause at 52.23216, progress payments, without regard to the provisions of 32.5036. f fair value of',
21405:'undelivered work. progress payments must be commensurate with the fair value of work accomplished in accordance withcontract requirements. the contracting',
21406:'officer must adjust progress payments when necessary to ensure that the fair value of undelivered work equals or exceeds the',
21407:'amount of unliquidated progress payments. on loss contracts, the application of a loss ratio as provided at paragraph g of',
21408:'this subsection constitutes this adjustment. g loss contracts. 1 if the sum of the total costs incurred under a contract',
21409:'plus the estimated costs to complete the performanceare likely to exceed the contract price, thecontracting officer shall computea loss ratio',
21410:'factor and adjust future progress payments to exclude the element of loss. the loss ratio factor is computed as follows:',
21411:'i revise the current contract price used in progress payment computations the current ceiling price under fixed price incentive contracts',
21412:'to include the nottoexceed amount for any pending change orders and unpriced orders. ii divide the revised contract price by',
21413:'the sum of the total costs incurred to date plus the estimated additional costs of completing the contract performance. 32.5036',
21414:'federal acquisition regulation 2 if the contracting officer believes aloss is probable, future progress paymentrequests shall be modified as follows:',
21415:'i the contract price shall be the revised amount computed under paragraph g1i of this section. ii the total costs',
21416:'eligible for progress payments shall be the product of a the sum of paid costs eligible for progress payments times;',
21417:'b the loss ratio factor computed under paragraph g1ii of this section. iii the costs applicable to items delivered, invoiced,',
21418:'and accepted shall not include costs in excess of the contract price of the items. 3 the contractingofficer may use',
21419:'audit assistance, technicalservices, management reports, and other sources of pertinent data to evaluate progress payment requests. if the contracting officer',
21420:'concludes that the contractor’s figures inthe contractor’s progress paymentrequest are notcorrect, the contracting officer shall i in the manner prescribed',
21421:'in paragraph g4 of this section, prepare a supplementary analysis to be attached to thecontractor’srequest; iiadvise the contractor in writing',
21422:'of the differences; and iii adjust all further progress payments in accordance with paragraph g1 of this section, using the',
21423:'contracting officer’s figures, until the difference is resolved. 4 the following is an example of the supplementary analysis required in',
21424:'paragraph g3 of this subsection: section i: contract price $2,850,000 change orders and unpriced orders to extent funds have been',
21425:'obligated $150,000 revised contract price $3,000,000 section ii: total costs incurred to date $2,700,000 estimated additional costs to complete $900,000',
21426:'total costs to complete $3,600,000 total costs eligible for progress payments $2,700,000 loss ratio factor ×83.3% recognized costs for progress',
21427:'payments $2,249,100 progress payment rate ×80.0% alternate amount to be used $1,799,280 section iii: factored costs of items delivered $750,000',
21428:'recognized costs applicable to undelivered items $2,249,100–$750,000 $1,499,100 this amount must be the same as the contract price of the',
21429:'items delivered. subpart 32.5 progress payments based on costs 32.50310 32.5037 [reserved] 32.5038 liquidation ratesordinary method. the government recoups progress',
21430:'payments through the deduction of liquidations from payments that would otherwise be due to the contractorforcompleted contract items. to determine',
21431:'the amount of the liquidation, thecontracting officer applies a liquidation rate to the contract price of contract items delivered and',
21432:'accepted. the ordinary method is that the liquidation rateis the same as the progress paymentrate. at the beginning ofa contract,',
21433:'thecontracting officer must usethismethod. 32.5039 liquidation ratesalternate method. a the liquidation rate determined under 32.5038 shall apply throughout the period',
21434:'of contract performance unless the contracting officeradjuststhe liquidationrate underthe alternate method in this 32.5039. the objective of the alternate liquidation',
21435:'rate method is to permit the contractor to retain the earned profit element of the contract prices for completed items',
21436:'in the liquidation process. the contracting officer may reduce the liquidation rate if 1 the contractor requests a reduction in',
21437:'the rate; 2 the rate has not been reduced in the preceding 12 months; 3 the contract delivery schedule extends',
21438:'at least 18 months from the contract award date; 4 data on actual costs are available i for the products',
21439:'delivered, or ii if no deliveries have been made, for a performance period of at least 12 months; 5 the',
21440:'reduced liquidation rate would result in the government recouping under each invoice the full extent of the progress payments applicable',
21441:'to the costs allocable to that invoice; 6 the contractor would not be paid for more than the costs of',
21442:'items delivered and accepted less allocable progress payments and the earned profit on those items; 7 the unliquidated progress payments',
21443:'would not exceed the limit prescribed in paragraph a5 of the progress payments clause; 8 the parties agree on an',
21444:'appropriate rate; and 9 the contractoragrees tocertifyannually,or more often if requested by the contracting officer, that the alternate rate continues',
21445:'to meet the conditions of subsections5, 6, and 7 of this section.the certificate must be accompanied by adequate supporting information.',
21446:'b the contractingofficer shall change the liquidation rate in the followingcircumstances: 1 the rate shall be increased for both previous',
21447:'and subsequent transactions, if the contractor experiences a lower profit rate than the rate anticipated at the time the liquidation',
21448:'rate was associated with contract items already delivered, as well as subsequent progress payments. 2 the rate shall be increased',
21449:'ordecreasedin keepingwith the successive changes tothe contract price or target profit when ithe targetprofit is changed under a fixedprice incentive',
21450:'contract with successive targets; or ii a redetermined price involves a change in the profit element under a contract with',
21451:'prospective price redetermination at stated intervals. c whenever the liquidation rate is changed, the contracting officer shall issue a contract',
21452:'modification to specify thenew rate in the progress payments clause.adequate consideration for these contract modifications is provided by the consideration',
21453:'included in the initial contract.the parties shall promptly make the payment or liquidation required in the circumstances. 32.50310 establishing alternate',
21454:'liquidation rates. a thecontracting officer must ensure thatthe liquidationrate is 1 high enough to result in government recoupment of the',
21455:'applicable progress payments on each billing; and 2 supported bydocumentation includedin the administration office contractfile. b the minimum liquidation rate',
21456:'is the expected progress payments divided by the contract price.each of these factors is discussed below: 1 the contractingofficer mustcompute',
21457:'theexpected progress payments by multiplyingthe estimated cost of performing the contract by the progress payment rate. 2 for purposes of',
21458:'computing the liquidation rate, the contracting officer may adjust theestimated cost and the contract price to include the estimated value',
21459:'of any work authorized but not yet priced and any projected economic 32.50311 federal acquisition regulation adjustments; however, the contractingofficer’s',
21460:'adjustment must not exceed the government’s estimate of the price ofall authorized work or the funds obligated for the contract.',
21461:'3 the following are examples of the computation. assuming an estimated price of $2,200,000 and total estimated costs eligible for',
21462:'progress payments of $2,000,000: i if the progress payment rate is 80 percent, the minimum liquidation rate should be 72.7',
21463:'percent, computed as follows: ii if the progress payment rate is 85 percent, the minimum liquidation rate should be 77.3',
21464:'percent, computed as follows: 4 minimum liquidation rates will generally be expressed to tenths of apercent. decimals between tenths will',
21465:'be rounded up to the next highest tenth not necessarily the nearest tenth, since rounding down would produce a rate',
21466:'below the minimum rate calculated. 32.50311adjustments for price reduction. a if a retroactive downward price reduction occurs under a redeterminable',
21467:'contract that provides for progress payments, thecontracting officer shall 1 determine the refund due and obtain repayment from the contractor',
21468:'for the excess of payments made for delivered items over amounts due as recomputed at the reduced prices; and 2',
21469:'increase the unliquidated progress payments amount for overdeductions made from the contractor’s billings for items delivered. b the contractingofficer shall',
21470:'also increase theunliquidatedprogress paymentsamount if the contractormakes an interim or voluntary price reduction under a redeterminable or incentive contract. 32.50312',
21471:'maximum unliquidated amount. a thecontracting officer shall ensure that any excess of the unliquidated progress payments overthe contractual limitation in',
21472:'paragraph a of the progress payments clause in the contract is promptly corrected through one or more of the following',
21473:'actions: 1 increasing the liquidation rate. 2 reducing the progress payment rate. 3 suspending progress payments. b the excess described',
21474:'in paragraph a of this section is most likely to arise under the following circumstances: 1 the costs of performance',
21475:'exceed the contract price. 2 the alternate method of liquidation see 32.5039is used and the actual costs of performance exceed',
21476:'the cost estimates used to establish the liquidation rate. 3 the rate of progress or the quality of contract performanceis',
21477:'unsatisfactory. 4 the rate of rejections, waste, or spoilage is excessive. c as required, the services ofthe responsible audit agency',
21478:'or officeshouldbe fully utilized, along with the services of qualified cost analysis and engineering personnel. 32.50313 [reserved] 32.50314 protection ofgovernment',
21479:'title. a since the progress payments clause gives the government title to all of the materials, workinprocess, finished goods, and',
21480:'other items of property described in paragraph d of the progress payments clause, under the contract under which progress payments',
21481:'have been made, the aco must ensure that the government title to these inventories is not compromised subpart 32.5 progress',
21482:'payments based on costs 32.504 by other encumbrances. ordinarily, the aco, in the absenceof reason tobelieveotherwise, may rely upon the',
21483:'contractor’s certification contained in the progress payment request. b if the acobecomes aware of anyarrangement orcondition thatwouldimpair the government’s title',
21484:'tothe property affected byprogresspayment, the aco shall require additional protective provisions see 32.5015 to establish and protect thegovernment’s title. c',
21485:'theexistence of any such encumbrance is aviolation ofthe contractor’s obligations under the contract, andthe aco may, if necessary, suspendor reduceprogresspaymentsunder',
21486:'theterms ofthe progress payments clause covering failure to comply with any material requirement of the contract. in addition, if the',
21487:'contractor fails to disclose an existing encumbrance in the progress payments certification, the aco should consult with legal counsel concerning',
21488:'possible violation of 31 u.s.c.3729, the false claims act. 32.50315 application of government title terms. a property to which the',
21489:'government obtains title by operation of the progress payments clause solely is not, as a consequence, governmentfurnishedproperty. b although property',
21490:'title is vested in the government under the progress payments clause, the acquisition, handling, and disposition of certain types of',
21491:'property are governed by 1 the clause at 52.2451, government property; and 2 the termination clauses at 52.249, for termination',
21492:'inventory. c the contractor may sell or otherwise dispose of current production scrap in the ordinary course of business on',
21493:'its own volition, even if titlehas vested in the government underthe progress payments clause. the contracting officershallrequire the contractor to',
21494:'credit the costs of the contract performance with the proceeds of the scrap disposition. d when the title to materials',
21495:'or other inventories is vested in the government under the progress payments clause, the contractor may transfer the inventory items',
21496:'from the contract for its own use or other disposition only if, and on terms, approved by thecontracting officer. the',
21497:'contractor shall 1 eliminate the costs allocable to the transferred property from the costs of contract performance, and 2 repay',
21498:'or credit to the government an amount equal to the unliquidated progress payments, allocable to the transferredproperty. e if excess',
21499:'property remains after the contract performance is complete and all contractor obligations under the contract are satisfied, including full liquidation',
21500:'of progress payments, the excess property is outside the scope of the progress payments clause. therefore, the contractor holds title',
21501:'to it. 32.50316 risk of loss. a under the progress payments clause, and except for normal spoilage, the contractor bears',
21502:'the risk of loss for government property under the clause, even though title is vested in the government, unless the',
21503:'government has expressly assumed this risk. the clauses prescribed in this regulation related to progress payments, default, and terminations do',
21504:'not constitute a government assumption of this risk. b if a loss occurs in connection with property for which the',
21505:'contractor bears the risk, the contractor is obligated to repay to the government the amount ofunliquidatedprogress paymentsbased on costsallocableto the',
21506:'property. c the contractor is not obligated to pay for the loss of property for which the government has assumed',
21507:'the risk of loss. however, a serious lossmay impedethe satisfactoryprogress of contract performance, so thatthe contracting officermay need to act',
21508:'under paragraph c5 of the progress payments clause. 32.504 subcontracts under prime contractsproviding progress payments. a subcontracts may include either',
21509:'performancebased payments, provided they meet the criteria in 32.1003, or progress payments, provided they meet the criteria in subpart 32.5',
21510:'for customary progress payments, but not both. subcontracts for commercial purchases may include commercial product or commercial service purchase financing',
21511:'terms, provided they meet the criteria in 32.2021. b the contractor’s requests for progress payments may include the full amount',
21512:'of commercial productor commercial servicepurchase financingpayments, performancebased payments, or progress payments to asubcontractor, whether paid or unpaid, provided that unpaid',
21513:'amounts are limited to amounts determined due and that the contractor will pay 1 in accordance with the terms and',
21514:'conditions of a subcontract or invoice; and 2 ordinarily within 30days of the submission of the contractor’s progress payment request',
21515:'tothe government. federal acquisition regulation c if the contractor is considering making unusualprogress paymentsto a subcontractor, the partieswill be guided',
21516:'by the policies in 32.5012.if the governmentapproves unusual progress payments for the subcontract, the contractingofficer must issue a contract modification',
21517:'to specify the new rate in paragraph j6 of the clause at 52.23216, progress payments, in the prime contract. this',
21518:'will allow the contractor to include the progress payments to the subcontractor in the cost basis for progress payments by',
21519:'the government. this modification is not a deviation and does not require the clearance prescribed in 32.5022b. d the contractor',
21520:'has a duty to ensure that financing payments to subcontractors conform to the standards and principles prescribed in paragraph j',
21521:'of the progress paymentsclause in the prime contract. althoughthe contracting officer should, to the extent appropriate, review the subcontract as',
21522:'part of the overall administration of progress payments in the prime contract, there isno specialrequirementforcontracting officer review orconsent merely because',
21523:'the subcontract includes financing payments, except as provided inparagraph cof this section. however, the contractingofficer mustensure that the contractor has',
21524:'installed the necessary management control systems, including internal audit procedures. e when financing payments are in the form of progress',
21525:'payments, the progress payments clause at 52.23216 requires that the subcontract include the substance of the progress payments clause in',
21526:'the prime contract, modified to indicate that the contractor, not thegovernment,awards the subcontract and administers the progresspayments. thefollowing exceptions apply',
21527:'to wording modifications: 1 the subcontract terms on title to property under progress payments shall provide for vesting of title',
21528:'in the government, not the contractor,as in paragraph d of the progresspayments clause in the prime contract. areference tothe contractor',
21529:'may, however, besubstituted for government in paragraphd2iv of the clause. 2 in the subcontract terms on reports and access to',
21530:'records, the contractor shall not delete the references to contracting officer and government in adapting paragraphgof the progress payments clause',
21531:'in thecontract, but may expand the terms as follows: ithe term contracting officer may be changed to contracting officeror prime',
21532:'contractor. iithe term the government may be changedto the government or prime contractor. 3 the subcontract special terms regarding default',
21533:'shall include paragraph h of the progress payments clause in the contract through its subdivision i. the rest of paragraph',
21534:'h is optional. f when financing payments are in the form of performancebased payments, the performancebased payments clause at 52.23232',
21535:'requires that the subcontract terms include the substance of the performancebased payments clause, modified to indicate that the contractor, not',
21536:'the government, awards the subcontractandadministers the performancebasedpayments, and include appropriately worded modifications similar to those noted in paragraph e of',
21537:'this section. g when financing payments are in the form of commercial product or commercial service purchase financing, the subcontract',
21538:'must include a contract financing clause structured in accordance with 32.206. subpart 32.6 contract debts 32.603 subpart 32.6 contract debts',
21539:'32.600scope of subpart. this subpart prescribes policies and procedures for identifying, collecting, and deferring collection of contract debts including interest,',
21540:'if applicable. sections 32.607, 32.608, and 32.610 of this subpart do not apply to claims against common carriers for transportation',
21541:'overcharges and freight and cargo losses 31 u.s.c. 3726. 32.601general. a contract debts are amounts that 1 have been paid',
21542:'to a contractor to which the contractor is not currently entitled under the terms and conditions of the contract; or',
21543:'2 are otherwise due from the contractor under the terms and conditions of the contract. b contract debts include, but',
21544:'are not limited to, the following: 1 billing and price reductions resulting from contract terms for price redetermination or for',
21545:'determination of prices under incentive type contracts. 2 price or cost reductions for defective certified cost or pricing data. 3',
21546:'financing payments determined to be in excess of the contract limitations at 52.23216a7, progress payments, or 52.23232d2, performancebased payments, or',
21547:'any contract clause for financing of commercial products or commercial services. 4 increases to financing payment liquidation rates. 5 overpayments',
21548:'disclosed by quarterly statements required under price redetermination or incentive contracts. 6 price adjustments resulting from cost accounting standards cas',
21549:'noncompliances or changes in cost accounting practice. 7 reinspection costs for nonconforming supplies or services. 8 duplicate or erroneous payments.',
21550:'9 damages or excess costs related to defaults in performance. 10 breach of contract obligations concerning progress payments, performancebased payments,',
21551:'advance payments, financing ofcommercial products or commercial services, or governmentfurnished property. 11 government expense of correcting defects. 12 overpayments related',
21552:'to errors inquantity orbilling or deficiencies in quality. 13 delinquency in contractor payments due under agreements or arrangements for deferral',
21553:'or postponement of collections. 14 reimbursement of amounts due under 33.102b3 and 33.104h8. 32.602responsibilities. a thecontracting officer has primary responsibility',
21554:'for identifyinganddemanding payment of contract debtsexcept those resulting fromerrors made by the payment office. the contracting officer shall not collectcontract',
21555:'debts or otherwise agree to liquidate contract debts e.g., offset the amount of thedebt against existing unpaid bills due the',
21556:'contractor, or allow contractors to retain contract debts to cover amounts that may become payable in future periods. b the',
21557:'payment office has primaryresponsibilityfor 1 collectingcontract debts identified by contracting officers; 2 identifying and collecting duplicate and erroneous payments; and',
21558:'3 authorizing the liquidation of contract debts in accordance with agency procedures. 32.603debt determination. a if the contracting officerhas anyindication',
21559:'that acontractor owes money to the government under a contract, the contracting officershalldetermine promptly whether an actual debt isdue and',
21560:'the amount. any unnecessary delay may contribute to 1 loss of timely availability of the funds to the program for',
21561:'which the funds were initially provided; 2 increased difficulty incollecting the debt; or 3 actual monetary loss to the government.',
21562:'b the amount of indebtedness determined bythe contracting officer shall be an amount that 1 is based on the merits',
21563:'of the case; and federal acquisition regulation 2 is consistent with the contract terms. 32.604demand for payment. a except as',
21564:'provided in paragraph c of this section, the contracting officershalltake thefollowing actions: 1 issue thedemand for paymentas soon as thecontracting',
21565:'officer has determined that an actualdebt is due the government and the amount. 2 issue the demand for payment even',
21566:'if i the debt is or will be the subject of a bilateral modification; ii the contractor is otherwise obligated',
21567:'to pay the money under the existing contract terms; or iii the contractor has agreed to repay the debt. 3',
21568:'issue the demand for payment as a part of the final decision, if a final decision is required by 32.605a.',
21569:'b the demand for payment shall include the following: 1 a description of the debt, including the debt amount. 2',
21570:'a distribution of the principal amount of the debt by lines of accounting subject to the following: iif the debtaffectsmultiple',
21571:'lines of accounting, the contracting officer shall, to the maximum extent practicable, identify all affected lines of accounting. ifitis not',
21572:'practicable to identify all affected lines ofaccounting,the contracting officer may selectrepresentative lines of accountingin accordance with paragraph b2iiof this section.',
21573:'iiin selecting representative lines of accounting, the contracting officer shall aconsider theaffected departmentsor agencies, years of appropriations, and the predominanttypes',
21574:'of appropriations; and b not distribute to any line of accounting an amount of the principal in excess of the',
21575:'total obligation for the line of accounting; and iii include the lines of accounting even if the associated funds are',
21576:'expired or cancelled. while cancelled funds will be deposited in a miscellaneous receiptaccount of the treasury if collected, the funds',
21577:'are tracked underthe closedyear appropriations to comply with the antideficiency act. iv ifthe debt affects multiple contracts and the lines',
21578:'ofaccountingare not readily available, thecontracting officer shall aissuethe demandforpayment without the distributionof the principal amountto theaffected lines of accounting; b',
21579:'include a statement in the demand for payment advising when the distribution will be provided; and c provide the distribution',
21580:'by the date identified in the demand for payment. 3 the basis for and amount ofany accrued interest or penalty.',
21581:'4 i for debts resulting from specific contract terms e.g., debts resulting from incentive clause provisions, quarterly limitation on payments',
21582:'statement, cost accounting standards, price reduction for defective pricing, a notification stating that payment should bemade promptly, and that interest',
21583:'is due in accordance with the terms of the contract. interest shall be computed from thedate specified in the applicable',
21584:'contract clauseuntil repayment by the contractor. theinterest rate shall be the rate specified in the applicable contract clause. in the',
21585:'case of a debt arising from a price reduction for defective pricing, or as specifically set forth in a cost',
21586:'accounting standards cas clause in the contract, interest is computed from the date of overpayment by the government until repayment',
21587:'by the contractor at the underpayment rate established by the secretary of thetreasury, for the periods affected,under 26 u.s.c .',
21588:'6621a2. ii for all other contract debts, a notification stating that any amounts not paid within 30 days from the',
21589:'date of the demand for payment will bear interest. interest shall be computed from the date of the demand for',
21590:'payment until repayment by the contractor. theinterest rate shall be the interest rate establishedby the secretary ofthe treasury, asprovidedin 41',
21591:'u.s.c. 7109, which is applicable to the period in which the amount becomes due, and then at the rate applicable',
21592:'for each six month period as established by the secretary until the amount is paid. 5 a statement advising the',
21593:'contractor ito contact the contracting officer if the contractorbelieves thedebt is invalid or the amount is incorrect; and iiif the',
21594:'contractor agrees, toremit a checkpayable to the agency’spayment office annotated with the contract number along with a copyof the demand',
21595:'for payment to the payment office identified inthe contract or as otherwise specified in the demand letter in accordance with',
21596:'agency procedures. 6 notification that the payment office may initiate procedures, inaccordance withthe applicable statutory and regulatory requirements, to offset',
21597:'the debtagainst any payments otherwisedue the contractor. subpart 32.6 contract debts 32.607 7 notification that the debt maybe subjectto administrative',
21598:'chargesin accordance with therequirements of 31 u.s.c. 3717e and the debt collection improvement act of 1996. 8 notification that the',
21599:'contractor may submit a request for installment payments or deferment of collection if immediate payment is not practicable or if',
21600:'the amount is disputed. c except as provided in paragraph d of this section, the contracting officer should notissue a',
21601:'demand for paymentif the contracting officeronly becomesaware of the debt when the contractor 1 provides a lump sum payment orsubmitsa',
21602:'creditinvoice. a credit invoice is a contractor’s request to liquidate the debt against existing unpaid bills due the contractor; or',
21603:'2 notifies thecontracting officer thatthe paymentoffice overpaid on an invoicepayment. whenthe contractor provides the notification,the contracting officershallnotify the payment office',
21604:'of the overpayment. d if a demandforpayment was not issued as provided for in paragraph c ofthis section, thecontracting officer',
21605:'shall issue a demandforpayment no sooner than 30days after the contracting officer becomes aware of thedebt unless 1 the contractor',
21606:'has liquidated the debt; 2 the contractor has requested an installment payment agreement; or 3 the payment office has issued',
21607:'a demand for payment. e thecontracting officer shall 1 furnish a copy of the demand for payment to the contractor',
21608:'by certified mail, return receipt requested, or by any other method that provides evidence of receipt; and 2 forward a',
21609:'copy of the demand to the payment office. 32.605final decisions. a thecontracting officer shall issue a final decision as required',
21610:'by 33.211 if 1 the contractingofficer and the contractorare unable to reach agreement on the existence or amount of a',
21611:'debt in a timely manner; 2 the contractorfails to liquidate a debt previouslydemandedby the contractingofficer within the timeline specified in',
21612:'the demand for payment unless the amounts were not repaid because the contractor has requested an installment payment agreement; or',
21613:'3 the contractorrequests a deferment ofcollection ona debtpreviously demanded by thecontracting officer see 32.6072. b if a demand for payment',
21614:'was previously issued for the debt, the demand for payment included in the final decision shall identify the same due',
21615:'date as the original demand for payment. c thecontracting officer shall 1 furnish the decision to the contractor by certified',
21616:'mail, return receipt requested, or by any other method that provides evidence of receipt; and 2 forward a copy to',
21617:'the payment office identified in thecontract. 32.606debt collection. a if the contractor has not liquidated the debt within 30 days',
21618:'of the date due or requested installment payments or deferment ofcollection, the payment office shall initiatewithholding of principal,interest, penalties,and administrative',
21619:'charges. in the event the contract is assignedunder theassignment ofclaims act of 1940 31 u.s .c. 3727 and41u.s .c. 6305,',
21620:'the rights of the assignee will be scrupulously respected and withholding of payments shall be consistent with those rights. for',
21621:'additional information on assignment of claims, see subpart 32.8. b asprovided for in thedebt collection improvement act of 1996 31',
21622:'u.s .c. 3711g1, payment officesare required to transfer any debt thatis delinquent more than 180 daysto the department of treasuryforcollection.',
21623:'c thecontracting officer shall periodically followup withthe paymentoffice todetermine whether the debt has been collected and credited to the correct',
21624:'appropriations. 32.607installment payments and deferment of collection. a thecontracting officer shall not approve ordeny a contractor’s request for installment payments',
21625:'or deferment of collections. theoffice designated in agency procedures is responsibleforapproving or denyingrequests for installment payments or deferment of collections.',
21626:'b if a contractor has not appealed the debt or filed an action under the disputes clause of the contract',
21627:'and the contractor has submitted a proposal for debt deferment or installment payments 32.6071 federal acquisition regulation 1 the office',
21628:'designatedin agency procedures may arrangefordeferment/installmentpaymentsif the contractor is unable to payat once in full orthe contractor’s operations under national defense',
21629:'contracts wouldbe seriously impaired. the arrangement shall include appropriate covenants and securities and should be limited to the shortest practicable',
21630:'maturity; and 2 the deferment/installment agreement shall include a specific schedule or plan for payment. it should permit the government',
21631:'to make periodic financial reviews of the contractor and to require payments earlier than required by the agreementif the government',
21632:'considers thecontractor’sability topayimproved. it should also provide for requiredstated or measurable payments on theoccurrence of specific events or contingenciesthat improve',
21633:'the contractor’s ability to pay. c if not already applicable under the contract terms, interest on contract debt shall be',
21634:'made an element of any agreement entered into for installment payments or deferment of collection. 32.6071 installment payments. if a',
21635:'contractor requests aninstallment paymentagreement, the contractingofficer shall notifythe contractor to send a written request for installmentpayments to theoffice designated in',
21636:'agency procedures. 32.6072 deferment of collection. a allrequests for deferment of collectionmust be submitted inwriting to the contracting officer. 1',
21637:'if the contractor has appealed the debt under the procedures of the disputes clause of the contract, the information with',
21638:'the request for deferment may belimited toan explanation of the contractor’s financial condition. 2 actions filed by contractors under the',
21639:'disputes clause shall not suspend or delay collection. 3 if there is no appeal pending or action filed under the',
21640:'disputes clause of the contract, the following information about the contractor should be submitted with the request: i financial condition.',
21641:'ii contract backlog. iii projected cash receipts and requirements. iv the feasibility of immediate payment of the debt. v the',
21642:'probableeffect on operations of immediate payment in full. b upon receipt ofthe contractor’s writtenrequest,the contracting officershallpromptly provide a notification to',
21643:'the paymentoffice and advisethe paymentoffice thatthe contractor’s request isunder consideration. c 1 the contracting officer should consider any information necessary',
21644:'to develop a recommendation on the deferment request. 2 the contractingofficer shall forward the following to theoffice designated in agency',
21645:'procedures for a decision: iacopy ofthe contractor’s request for a deferment of collection. ii a written recommendation on the request',
21646:'and the basis for the recommendation including the advisability of deferment to avoid possible overcollections. iii a statement as to',
21647:'whether the contractor has an appeal pending or action filed under the disputes clause of the contract and the docket',
21648:'number if the appeal has been filed. iv a copy of the contracting officer’s final decision see 32.605. d the',
21649:'office designatedin agency procedures may authorizea defermentpending the resolution of appeal to avoid possible overcollections. the agency is required to',
21650:'use unexpired funds to pay interest on overcollections. e deferments pending disposition of appeal may be granted to small business',
21651:'concerns and financially weak contractors, balancingthe need for government security against loss andundue hardshipon the contractor. f the deferment agreement',
21652:'shall not provide that a claim of the government will not become due and payable pending mutual agreementon the amount',
21653:'of theclaim or, in the case of a dispute, untilthe decision isreached. g at a minimum, the deferment agreement shall',
21654:'contain the following: 1 a description of the debt. 2 the date of first demand for payment. 3 notice of',
21655:'an interest charge, in conformitywith 32.608 andthe far clause at 52.23217, interest; or, in thecaseof a debt arising from a',
21656:'defective pricing or a cas noncompliance overpayment, interest, as prescribed by the applicable price reduction for defective certified cost or',
21657:'pricing data or cas clause see 32.607c. 4 identification ofthe office to which the contractor is to senddebt payments. 5',
21658:'a requirement for the contractor to submit financial information requested by the government and for reasonable access to thecontractor’s records',
21659:'and property bygovernment representatives. subpart 32.6 contract debts 32.611 6 provision for the government to terminate the deferment agreement and',
21660:'accelerate the maturity of the debt if the contractor defaults or ifbankruptcy or insolvency proceedings areinstituted by oragainst thecontractor. 7',
21661:'protective requirements that are considered by the government to be prudent and feasible in the specific circumstances. the coverage of',
21662:'protective terms at 32.409 and 32.5015 may be used as a guide. h if a contractor appeal of the debt',
21663:'determination is pending, the deferment agreement shall also include a requirement that the contractor shall 1 diligently prosecute the appeal;',
21664:'and 2 pay the debt in full when the appeal is decided, or when the parties reach agreement on the',
21665:'debt amount. i the deferment agreement may provide for the right to make early payments without prejudice, for refund of',
21666:'overpayments, and for crediting of interest. 32.608 interest. 32.6081interest charges. unless specified otherwise in the clause at 52.23217, interest, interest',
21667:'chargesshallapply to any contract debt unpaid after 30 days from the issuance of a demand unless a the contract is',
21668:'a kind excluded under 32.611; or b the contract or debthas been exempted frominterest charges under agency procedures. 32.6082interest credits.',
21669:'a an equitable interest credit shall be applied under the following circumstances: 1 when the amount of debt initially determined',
21670:'is subsequently reduced; e.g., through a successful appeal. 2 when any amount collected by the government is in excess of',
21671:'the amount found to be due on appeal under the disputes clause of the contract. 3 when the collection procedures',
21672:'followed in a given case result in an overcollection of the debt due. 4 when the responsible official determines thatthe',
21673:'government has unduly delayed payments to the contractor on the same contract atsome time during the period to which the',
21674:'interest chargeapplied, provided aninterest penalty wasnot paid for such late payment. b any appropriate interest credits shall be computed under',
21675:'the following procedures: 1 interest at the rate under 52.23217 shall be charged on the reduced debt from thedate of',
21676:'collection by the government untilthe datethe monies are remitted to the contractor. 2 interest may not be reduced for any',
21677:'time between the due date under the demand and the period covered by a deferment of collection, unless the contract',
21678:'includes an interest clause; e.g., the clause prescribed in 32.611. 3 interestshallnot be credited inan amountthat, when added toother amounts',
21679:'refunded orreleased tothe contractor, exceeds the total amount that has been collected, or withheld for the purpose of collecting the',
21680:'debt. this limitation shall be further reduced by the amount of any limitation applicable under paragraph b2 of this subsection.',
21681:'32.609 delays in receipt ofnotices or demands. if interest is accrued based on the date of the demand letter and',
21682:'delivery of the demand letter is delayed by the government e.g., undue delay afterdatingat the originating office or delays in',
21683:'the mail,the date of the debt and accrual of interest shall be extended to a time that is fair and',
21684:'reasonable under the particular circumstances. 32.610 compromisingdebts. for debts under $100,000, excluding interest, the designated agencyofficial may compromise the debt',
21685:'pursuant to the federal claims collection standards 31 cfr part 902 and agency regulations. unless specifically authorized by agency procedures,',
21686:'contracting officers cannot compromise debts. 32.611contract clause. a thecontracting officer shall insert the clause at 52.23217, interest, in solicitations and',
21687:'contracts unless it is contemplated that the contract will be in one or more of the following categories: 1 contracts',
21688:'at or below the simplified acquisition threshold. 2 contracts with government agencies. 3 contracts with astate or local government or',
21689:'instrumentality. federal acquisition regulation 4 contracts with aforeign government or instrumentality. 5 contracts without any provision for profitor fee with',
21690:'a nonprofit organization. 6 contracts described in subpart 5.5, paid advertisements. 7 any other exceptions authorized under agency procedures. b',
21691:'the contractingofficer may insert the far clauseat 52.23217, interest, in solicitations and contracts when it is contemplated that the contract',
21692:'will be in any of the categories specified in 32.611a. subpart 32.7 contract funding 32.704 subpart 32.7 contract funding 32.700scope',
21693:'of subpart. this subpart a describes basic requirements for contract funding and b prescribes procedures for using limitation of cost',
21694:'or limitation of funds clauses. detailed acquisition funding requirements are contained in agency fiscal regulations. 32.701[reserved] 32.702 policy. no officer',
21695:'or employeeof the government maycreate or authorize an obligationin excess of the funds available, or in advance of appropriations antideficiency',
21696:'act,31 u.s.c. 1341, unless otherwise authorized bylaw. before executing any contract, the contractingofficer shall a obtain written assurance from responsible',
21697:'fiscal authority that adequate funds are available or b expressly condition the contract upon availability of funds in accordance with',
21698:'32.7032. 32.703 contract funding requirements. 32.7031 general. a if the contract is fully funded, funds are obligated to cover the',
21699:'price or target priceof afixedpricecontract or the estimated cost and any fee of a costreimbursement contract. b if the contract',
21700:'is incrementally funded, funds are obligated to cover the amount allotted and any corresponding increment of fee. 32.7032 contracts conditioned',
21701:'upon availability of funds. a fiscal year contracts. the contracting officer may initiate a contractaction properly chargeableto funds of the',
21702:'new fiscal year before these funds are available, provided that the contract includes the clause at 52.23218, availability of funds',
21703:'see 32.7061a. this authority may be used only for operation and maintenance and continuing services e.g., rentals, utilities, and supply',
21704:'items not financed by stock funds 1 necessary for normal operations; and 2 for which congress previously had consistently appropriated',
21705:'funds, unless specific statutory authority exists permitting applicability to other requirements. b indefinitequantity or requirements contracts. a oneyear indefinitequantity or',
21706:'requirements contract for services that is funded by annual appropriations may extend beyond the fiscal year in which it begins;',
21707:'provided, that 1 any specified minimum quantities are certain to be ordered in the initial fiscal year see 37.106 and',
21708:'2 the contract includes the clause at 52.23219, availabilityof funds for the nextfiscal year see 32.7061b. c acceptance of supplies',
21709:'or services. the government shall not accept supplies or services under a contract conditioned uponthe availability of funds until the',
21710:'contractingofficer hasgiven the contractor notice, to be confirmed in writing, that funds are available. 32.7033contracts crossing fiscal years. a a',
21711:'contract that is funded by annual appropriations may not cross fiscal years, except in accordance with statutory authorization e.g., 41',
21712:'u.s.c.6302, 31 u.s.c.1308, 42 u.s.c. 2459a, 42 u.s.c.3515, and paragraph b of this subsection, or when the contract calls for',
21713:'an end product that cannot feasibly be subdivided for separate performance in each fiscal year e.g., contracts for expert or',
21714:'consultant services. b the head ofan executive agency, except nasa, may enterinto a contract, exercise an option, or place an',
21715:'order under a contract for severable services for a period that begins in one fiscal year and ends in the',
21716:'next fiscal year if the period of the contract awarded, option exercised, or order placed does not exceed oneyear 10',
21717:'u.s.c. 3133 and 41 u.s.c. 3902. funds made available for a fiscal year may be obligated for the total amount',
21718:'of an action enteredinto under thisauthority. 32.704limitation of cost or funds. a 1 when a contract contains the clause at',
21719:'52.23220, limitation of cost; or 52.23222, limitation of funds, the contracting officer, uponlearning that the contractor is approaching the estimated',
21720:'cost ofthe contract or thelimitof the funds federal acquisition regulation allotted, shall promptly obtain funding and programminginformationpertinent to the contract’s',
21721:'continuation and notifythe contractor in writing that i additional funds have been allotted, or the estimated cost has been increased,',
21722:'in a specified amount; ii the contract is not to be further funded and that the contractor should submit a',
21723:'proposal for an adjustment of fee, if any, based on the percentage of work completedin relation to the total work',
21724:'called for under the contract; iii the contract is to be terminated; or a the government is considering whether to',
21725:'allot additional funds or increase the estimated cost b the contractor is entitled by the contract terms to stop work',
21726:'when the funding or cost limit is reached; and c any work beyond the funding or cost limit will be',
21727:'atthe contractor’s risk. 2 upon learning that a partially funded contract containing any of the clauses referenced in paragraph a1',
21728:'of this section will receive no furtherfunds, the contracting officer shall promptly givethe contractor written notice of the decision not',
21729:'to provide funds. b under a costreimbursement contract,the contracting officer mayissue a change order, a direction to replace orrepair defective',
21730:'items or work, or a termination notice without immediately increasing the funds available. since a contractor is not obligated to',
21731:'incur costsin excess of the estimatedcostin thecontract, the contracting officer shall ensure availability of funds for directed actions. thecontracting officer',
21732:'may direct that any increasein theestimated cost or amount allotted to a contract be used for the sole purpose of',
21733:'funding termination or other specified expenses. c government personnel encouraging a contractor to continue work in the absence of funds',
21734:'will incur a violation of revised statutes section 3679 31 u.s.c. 1341 that may subject the violator to civil or',
21735:'criminal penalties. 32.705 unenforceability of unauthorizedobligations. many supplies or services are acquired subject to supplier license agreements. these are particularly',
21736:'common in information technology acquisitions, but they may apply to any supply or service. for example, computer software and services',
21737:'delivered through the internet web services are often subject to license agreements, referred to as end user license agreements eula,',
21738:'terms of service tos, or other similar legal instruments or agreements. many of these agreements contain indemnification clauses that are',
21739:'inconsistent with federal law and unenforceable, but which could create a violation of the antideficiency act 31 u.s.c. 1341 if',
21740:'agreed to by the government. 32.706contract clauses. 32.7061 clauses for contracting in advance of funds. a insert the clause at',
21741:'52.23218, availability of funds,in solicitations and contractsif the contractwill be chargeable to funds of the new fiscal year and the',
21742:'contract action will be initiated before the funds are available. b the contractingofficer shall insertthe clause at 52.23219,availability of fundsforthe',
21743:'next fiscal year, in solicitations and contracts if a oneyear indefinitequantity or requirements contract for services is contemplated and the',
21744:'contract 1 is funded by annual appropriations; and 2 is to extend beyond the initial fiscal year see 32.7032b. 32.7062',
21745:'clauses for limitation of cost or funds. a thecontracting officer shall insert the clause at 52.23220, limitation of cost, in',
21746:'solicitations and contracts if a fully funded costreimbursement contract is contemplated, whether or not the contract provides for payment of',
21747:'a fee. b the contractingofficer shall insertthe clause at 52.23222, limitation of funds, in solicitations and contracts if an incrementally',
21748:'funded costreimbursement contract is contemplated. 32.7063clause for unenforceability of unauthorized obligations. the contractingofficer shall insertthe clause at 52.23239, unenforceability of',
21749:'unauthorized obligations in all solicitations and contracts. subpart 32.8 assignment of claims 32.803 subpart 32.8 assignment of claims 32.800scope of',
21750:'subpart. this subpart prescribes policies and procedures for the assignment of claims under the assignment of claims act of1940, as',
21751:'amended, 31 u.s.c.3727, 41 u.s.c. 6305 hereafter referred to as the act. 32.801definitions. designated agency, as used in this subpart,',
21752:'means any department or agency of the executive branch of the united states government see 32.803d. nosetoff commitment, as used',
21753:'in this subpart, means a contractual undertaking that, to the extent permitted by the act, payments by the designated agency',
21754:'to the assignee under an assignment of claims will not be reduced to liquidate the indebtedness of the contractor to',
21755:'the government. 32.802conditions. under the assignment of claims act, a contractor may assign moneys due or to become due under',
21756:'a contract if all the following conditions are met: a the contract specifies payments aggregating $1,000 or more. b the',
21757:'assignment is made to abank, trust company,or other financing institution, includinganyfederal lendingagency. c the contract does not prohibit the assignment.',
21758:'d unless otherwise expressly permitted in the contract, the assignment 1 covers all unpaid amounts payable under the contract; 2',
21759:'is made only to one party, except that any assignment may be made toonepartyas agent or trustee for two or',
21760:'more parties participating in the financing of the contract; and 3 is not subject to further assignment. e the assignee',
21761:'sends a written notice of assignment together with a true copy of the assignment instrument to the 1 contracting officer',
21762:'or the agency head; 2 surety on any bond applicable to the contract; and 3 disbursingofficer designatedin thecontract to make',
21763:'payment. 32.803policies. a any assignment of claims that has been made under the act to any type of financing institution',
21764:'listed in 32.802b may thereafter be further assigned and reassigned to any such institution if the conditions in 32.802d and',
21765:'e continue to be met. b a contract may prohibitthe assignmentof claims if the agencydeterminesthe prohibition tobe inthe government’s interest.',
21766:'c under a requirements or indefinite quantity type contract that authorizes ordering and payment by multiple government activities, amounts due',
21767:'for individual orders for $1,000 or more may be assigned. d any contract ofa designated agency seefar 32.801, except a',
21768:'contract under which full payment has been made, may include a nosetoff commitment only whena determination ofneedis made by the',
21769:'head of the agency,in accordance with the presidential delegation of authority dated october 3,1995, and after such determination has been',
21770:'published in the federal register. the presidential delegation makes such determinations of need subject to further guidance issued by the',
21771:'office of federal procurement policy. the following guidance has been provided: use of the nosetoff provision may be appropriate to',
21772:'facilitate the national defense; inthe event of a national emergencyor natural disaster; or when the use of the nosetoff provision',
21773:'may facilitate private financing ofcontract performance. however, in the event an offeror issignificantlyindebted tothe unitedstates, the contracting officer should consider',
21774:'whether the inclusion of the nosetoff commitment in a particular contract isin the bestinterests of theunited states. insuch anevent, the',
21775:'contracting officershouldconsult with the government officers responsible for collecting the debts. e when an assigned contract does notinclude a nosetoff',
21776:'commitment,the government may apply against paymentsto the assignee any liability of the contractor to the government arising independently of the',
21777:'assigned contract if the liability existed at the time notice of the assignment was received even though that liability had',
21778:'not yet matured so as to be due and payable. federal acquisition regulation 32.804 extent of assignee’s protection. a no',
21779:'payments made by the government to the assignee under any contract assigned in accordance with the act may be recovered',
21780:'on account of any liability of thecontractor to the government. this immunity ofthe assignee is effectivewhether thecontractor’sliability arises from or',
21781:'independently of the assigned contract. b except as provided in paragraph c of this section, the inclusion of a nosetoff',
21782:'commitmentin anassigned contract entitles the assigneeto receive contract payments free of reductionor setoff for 1 any liability of the contractor',
21783:'to the government arising independently of the contract; and 2 any of the following liabilities of the contractor to the',
21784:'government arising from the assigned contract: i renegotiation under any statute or contract clause. ii fines. iii penalties, exclusive of',
21785:'amounts that may be collected or withheld fromthe contractor under, orforfailureto comply with, the terms of the contract. iv taxes',
21786:'or social securitycontributions. v withholdingor nonwithholding of taxes or social security contributions. c insome circumstances, a setoff may beappropriate even',
21787:'though the assigned contractincludes anosetoff commitment; e.g. 1 when the assignee has neither made a loan under the assignment nor',
21788:'made a commitment to do so; or 2 to the extent that the amount due on the contractexceeds the amount',
21789:'of any loans made or expected to be made under a firm commitment for financing. 32.805 procedure. a assignments. 1',
21790:'assignments by corporations shall be i executed by an authorized representative; ii attested by the secretary or the assistant secretary',
21791:'of the corporation; and iii impressed withthe corporate seal or accompaniedby atrue copyof the resolution of the corporation’s boardof directors',
21792:'authorizing the signing representative to execute the assignment. 2 assignments by a partnershipmay be signed byonepartner, if the assignment isaccompaniedby',
21793:'adequate evidence that the signer is a general partner of the partnership and is authorized to execute assignments on behalf',
21794:'of the partnership. 3 assignments by an individual shall be signed by that individual and the signature acknowledged before a',
21795:'notary public or other person authorized to administer oaths. b filing. the assignee shall forward to each party specified in',
21796:'32.802e an original and three copies of the notice of assignment, together with one true copy of the instrument of',
21797:'assignment. the true copy shall be a certified duplicate or photostat copy of the original assignment. c format for notice',
21798:'of assignment. the following is a suggested format for use by an assignee in providing the notice of assignment required',
21799:'by 32.802e. notice of assignment to: [address to one of the parties specified in 32.802e]. this has reference to contract',
21800:'no. dated , entered into between [contractor’s name and address] and [government agency, name of office, and address], for [describe',
21801:'nature of the contract]. moneys due or to become due under the contract described above have been assigned to the',
21802:'undersigned under the provisions of the assignment of claims act of1940, as amended, 31 u.s.c.3727, 41 u.s.c. 6305. a true',
21803:'copy of the instrument of assignment executed by the contractor on [date], is attached to the original notice. payments due',
21804:'or to become due under this contract should be made to the undersigned assignee. please return to the undersigned the',
21805:'three enclosed copies of this notice with appropriate notations showing the date and hour of receipt, and signed by the',
21806:'person acknowledging receipt on behalf of the addressee. very truly yours, [name of assignee] by [signature of signing officer] [titleof',
21807:'signing officer] [address of assignee] acknowledgement subpart 32.8 assignment of claims 32.806 receipt is acknowledged of the above notice and',
21808:'of a copy of the instrument of assignment. they were received a.m. p.m. on , 20. [signature] [title] on behalf',
21809:'of [name of addressee of this notice] d examination by the government. in examining and processing notices of assignment and',
21810:'before acknowledging their receipt, contracting officers should assure that the followingconditions and anyadditional conditions specified in agency regulations, have been',
21811:'met: 1 the contract has been properly approved and executed. 2 the contract is one under which claims may be',
21812:'assigned. 3 the assignment covers only money due or to become due under the contract. 4 the assignee isregisteredseparately in',
21813:'the system for award management unless one of the exceptions in 4.1102 applies. e release of assignment. 1 a release',
21814:'of an assignment is required whenever i there has been a further assignment or reassignment under the act; or iithe',
21815:'contractor wishesto reestablish its right to receive further payments afterthe contractor’s obligations to the assignee have been satisfied and a',
21816:'balance remains due under the contract. 2 the assignee, under a further assignment or reassignment, in order to establish a',
21817:'right to receive payment from the government, must file with the addressees listed in 32.802e a iwritten notice ofrelease ofthe',
21818:'contractor bythe assigning financing institution; ii copy of the release instrument; iii written noticeof the further assignment or reassignment;and iv',
21819:'copy of the further assignment or reassignment instrument. 3 if the assignee releases the contractor from an assignment ofclaimsunder a',
21820:'contract, the contractor, in order to establish a right to receive payment of the balance due under the contract, must',
21821:'file a written notice of release together with a true copy of the release of assignment instrument with the addressees',
21822:'noted in 32.802e. 4 the addressee of a notice of release of assignmentor the official acting on behalf of that',
21823:'addressee shall acknowledge receipt of the notice. 32.806contract clauses. a 1thecontractingofficershallinserttheclauseat 52.23223, assignment of claims, in solicitations and contracts expected',
21824:'to exceed the micropurchase threshold, unless the contract will prohibit the assignment of claims see 32.803b. the use of the',
21825:'clause is not requiredforpurchase orders. however, the clause may beused inpurchase orders expected to exceed the micropurchase threshold, that are',
21826:'acceptedin writing bythe contractor, ifsuch use is consistent with agency policies and regulations. 2 if a nosetoff commitment hasbeenauthorized see',
21827:'32.803d, the contracting officer shall use theclause with its alternatei. b the contractingofficer shall insertthe clause at 52.23224, prohibition of',
21828:'assignment of claims, in solicitations and contracts for which a determination has been made under agency regulations that the prohibition',
21829:'of assignment of claims is in thegovernment’s interest. this page intentionally left blank. 32.84 subpart 32.9 prompt payment 32.904 subpart',
21830:'32.9 prompt payment 32.900scope of subpart. this subpart prescribes policies, procedures, and clauses for implementing office of management and budget',
21831:'omb prompt payment regulations at 5 cfr part 1315. 32.901 applicability. a this subpart applies to invoice payments on all',
21832:'contracts, except contracts with payment terms and late payment penalties established by other governmental authority e.g., tariffs. b this subpart',
21833:'does not apply to contract financing payments see definition at 32.001. 32.902definitions. as used in this subpart discount for prompt',
21834:'payment means an invoice payment reduction offered by the contractor for paymentprior to the due date. mixed invoice meansan invoice',
21835:'that containsitems withdifferent payment due dates. payment date means the date on which a check for payment is dated or,foran',
21836:'electronic funds transfer eft, the settlement date. settlement date,as it applies to electronic funds transfer, means the date on which',
21837:'anelectronic funds transferpayment is credited tothe contractor’s financial institution. 32.903responsibilities. a agency heads 1 must establish the policies and procedures',
21838:'necessary to implement this subpart; 2 may prescribe additional standards for establishing invoice payment due dates see 32.904 necessary to',
21839:'support agency programs and foster prompt payment to contractors; 3 mayadopt different payment procedures inorder to accommodate unique circumstances, provided',
21840:'that such procedures are consistent with the policies in this subpart; 4 must inform contractors ofpoints of contact within their',
21841:'cognizant payment offices toenablecontractors to obtain status of invoices; and 5 may authorize the use of the accelerated payment methods',
21842:'specified at 5 cfr 1315.5, but see 32.0091a. b when drafting solicitations and contracts, contractingofficers must identify for each lineitem',
21843:'number, subline item number, or exhibit line item number 1 the applicable prompt payment clauses that apply to each item',
21844:'when the solicitation or contract contains items that will be subject to different payment terms; and 2 the applicable prompt',
21845:'payment food category e.g., which item numbers are meat or meat food products, which are perishable agricultural commodities, when the',
21846:'solicitation or contract contains multiple payment terms for various classes of foods and edible products. 32.904determining payment due dates. a',
21847:'general. agency procedures mustensure that, when specifying due dates, contracting officers give full consideration to the time reasonably requiredby government',
21848:'officials to fulfill their administrative responsibilities under the contract. b payment due dates. except as prescribed in paragraphs c through',
21849:'f of this section, or as authorized in 32.908a2 or c2, the due date for making an invoice payment is',
21850:'as follows: 1 the later of the following two events: ithe 30 thday after thedesignated billingoffice receives a proper invoice',
21851:'from the contractor except asprovided in paragraph b3 of this section. ii the 30 thday after government acceptance of supplies',
21852:'delivered or services performed. a for a final invoice, when the payment amount is subject to contract settlement actions, acceptance',
21853:'is deemed to occur onthe effective date of thecontract settlement. b for the sole purpose of computing an interest penalty',
21854:'that might be due the contractor federal acquisition regulation 1 government acceptance is deemed to occur constructively on the 7',
21855:'thday after the contractor delivers supplies or performs services in accordance with the terms and conditions of the contract, unless',
21856:'there is a disagreement over quantity, quality, or contractor compliance witha contract requirement; 2 if actual acceptance occurs within the',
21857:'constructive acceptance period, the government must base the determination of an interest penalty on the actual date of acceptance; 3',
21858:'the constructive acceptance requirement does not compel government officials to accept supplies or services, perform contract administration functions, or make',
21859:'payment prior to fulfilling their responsibilities; and 4 except for a contract for the purchase of a commercial product or',
21860:'commercial service, including a brandnamecommercial product for authorizedresale e.g.,commissary items, thecontracting officer may specify a longer period for constructive acceptancein',
21861:'the solicitation and resultingcontract, if required to affordthe government a reasonable opportunity to inspect and test the supplies furnished or',
21862:'to evaluate the services performed. the contracting officer must document in the contract file the justificationforextending the constructive acceptanceperiod beyond',
21863:'7 days. extended acceptance periods must not be a routine agency practice and must be used only when necessary to',
21864:'permit proper government inspection and testing of the supplies delivered or services performed. 2 if the contract does not require',
21865:'submission of an invoice for payment e.g.,periodic lease payments, the contracting officer must specify the due date in the contract.',
21866:'3 if the designated billing office fails to annotate the invoice with the actual date ofreceipt atthe time of receipt,',
21867:'the invoice payment due date is the 30 thday after the date of the contractors invoice, provided the designated billing',
21868:'officereceives a proper invoice and there is nodisagreement over quantity, quality,or contractor compliancewith contract requirements. c architectengineer contracts. 1 the',
21869:'due date for making payments on contracts that contain the clause at 52.23210, payments under fixedprice architectengineer contracts, is as',
21870:'follows: i the due date for work or services completed by the contractor is the later of the following two',
21871:'events: athe 30 thday after thedesignated billingoffice receives a proper invoice from thecontractor. b the 30 thday after governmentacceptance of',
21872:'the work or services completed by the contractor. 1 for a final invoice, when the payment amount is subject to',
21873:'contract settlement actions e.g., release of claims, acceptance is deemed to occur on the effective date of the settlement. 2',
21874:'for the sole purpose of computing an interest penalty thatmightbe due thecontractor, government acceptance is deemed to occur constructively on',
21875:'the 7 thday after the contractor completes the work or services in accordance with the terms and conditions of the',
21876:'contract see also paragraph c2 of this section. if actual acceptance occurs within the constructive acceptance period, the government must',
21877:'base the determination of an interest penalty on the actual date of acceptance. ii the due date for progress payments',
21878:'is the 30 thday after government approval of contractor estimates of work or services accomplished. for the sole purpose of',
21879:'computing an interest penalty that might be due the contractor agovernment approval is deemed to occur constructivelyon the 7 thdayafter',
21880:'the designated billing office receives the contractor estimates see also paragraph c2 of this section. b if actual approval occurs',
21881:'within the constructive approval period, the government must base the determination of an interest penalty on the actual date of',
21882:'approval. iii if thedesignated billingoffice fails toannotate the invoice or payment request withthe actual date of receipt at the time',
21883:'of receipt, the payment due date is the 30 thday after the date of thecontractor’sinvoice orpayment request, provided thedesignated billingoffice',
21884:'receives a proper invoice or payment request and there is no disagreementover quantity, quality, or contractor compliance withcontract requirements. 2',
21885:'the constructive acceptance and constructive approval requirements described in paragraphs c1i and ii of this section are conditioned uponreceipt of',
21886:'a proper paymentrequest and no disagreementover quantity,quality, contractor compliance with contract requirements, or the requested progress payment amount. these requirements',
21887:'do not compel government officials to accept work or services, approve contractor estimates, perform contractadministration functions, or make payment prior',
21888:'to fulfilling their responsibilities. the contracting officer mayspecify alonger period for constructive acceptance or constructive approval, if requiredto afford thegovernmenta',
21889:'reasonable opportunityto inspect and test the supplies furnished orto evaluate theservicesperformed. the contractingofficer must documentin the contractfile the justification for',
21890:'extending the constructive acceptance or approval period beyond 7 days. d construction contracts. 1 the due date for making payments',
21891:'on construction contracts is as follows: subpart 32.9 prompt payment 32.904 ithe due date for making progress payments based on',
21892:'contracting officer approval of the estimated amount and value of work or services performed, including payments for reaching milestones in',
21893:'any project, is 14 days after the designated billing officereceives a proper payment request. aif the designated billing office fails',
21894:'toannotate the payment requestwith the actual date of receipt at the time of receipt, the payment due date is the',
21895:'14 thday after the date of thecontractor’spayment request, provided thedesignated billing office receives a proper paymentrequest and there is nodisagreement',
21896:'over quantity, quality, or contractor compliance with contract requirements. b the contracting officermay specify a longer period inthe solicitationand resulting',
21897:'contract if required to affordthe government a reasonableopportunity to adequately inspectthe work and to determine the adequacy of the contractor’s',
21898:'performanceunder thecontract. the contracting officer mustdocument in the contract file the justification for extending the due date beyond 14 days.',
21899:'c the contracting officermust notapprove progress payment requests unless the certification and substantiation of amounts requested are provided as required',
21900:'by the clause at 52.2325, payments under fixedprice construction contracts. iithe due date for payment of any amounts retained by',
21901:'the contracting officer in accordance withthe clause at 52.2325, payments under fixedprice construction contracts, will beas specified inthe contract or,if',
21902:'notspecified,30 days after approvalby the contracting officerforrelease to the contractor. the contracting officermust base therelease ofretained amounts on the contracting',
21903:'officer’s determination thatsatisfactory progress has been made. iii the due date for final payments based on completion and acceptance of',
21904:'all work including any retained amounts, and payments for partial deliveries that have been accepted by the government e.g., each',
21905:'separate building, public work, or other division of the contract for which the price is stated separately in the contract',
21906:'is as follows: a the later of the following two events: 1 the 30thday afterthe designated billing officereceives a proper',
21907:'invoice fromthe contractor. 2 the 30thday aftergovernment acceptance ofthe work or services completed by thecontractor. fora final invoice, when the',
21908:'payment amount is subject to contract settlement actions e.g., release of contractor claims, acceptance is deemed to occur on the',
21909:'effective dateof the contract settlement. b if the designatedbilling office fails to annotatethe invoice with the actual date of receiptat',
21910:'the timeof receipt, theinvoice payment due date is the 30 thday afterthe date of the contractor’s invoice, provided the designated',
21911:'billing officereceives a proper invoice and there is nodisagreement over quantity, quality,or contractor compliancewith contract requirements. 2 for the sole',
21912:'purpose of computing an interest penalty that might be due the contractor for payments described in paragraph d1iii of this',
21913:'section i government acceptance or approval is deemed to occur constructively on the 7 thday after the contractor completes the',
21914:'work or services in accordance with the terms and conditions of the contract, unless there is a disagreement over quantity,',
21915:'quality,contractor compliance with a contract requirement,or the requested amount; ii if actual acceptance occurs within the constructive acceptance period, the',
21916:'government must base the determination of an interest penalty on the actual date of acceptance; iii the constructiveacceptance requirement does',
21917:'not compel government officials toaccept work or services, approve contractor estimates, perform contract administration functions, or make payment prior to',
21918:'fulfilling their responsibilities; and iv the contracting officer may specify a longerperiod for constructive acceptanceor constructive approvalin thesolicitation and resulting',
21919:'contract, if required toafford the government a reasonableopportunity toadequately inspect thework and to determine the adequacyof the contractor’s performance under',
21920:'the contract. the contracting officer must document in the contract file the justification for extending the constructive acceptance or approval',
21921:'beyond 7 days. 3 construction contracts contain special provisions concerning contractor payments to subcontractors, along with special contractor certification requirements.',
21922:'the office ofmanagement and budget has determinedthat these certifications must not beconstrued as finalacceptance ofthe subcontractor’s performance. the certification in',
21923:'52.2325c implements this determination; however, certificates arestill acceptable ifthe contractor deletes paragraph c4 of 52.2325 from the certificate. 4 i',
21924:'paragraph d of the clause at 52.2325, payments under fixedprice construction contracts, and paragraph e6 of the clause at 52.23227,',
21925:'prompt payment for construction contracts, provide for the contractor to pay interest on unearned amounts in certain circumstances. the government',
21926:'must recover this interest from subsequent payments to the contractor. therefore, contracting officers normally must makeno demand for payment. contracting',
21927:'officers must federal acquisition regulation a compute the amount in accordance with the clause; b provide the contractor with a',
21928:'final decision; and c notify the payment officeof the amount tobe withheld. iithe payment office is responsible for making the',
21929:'deduction of interest. amountscollectedin accordance with these provisions revert to the united states treasury. e costreimbursement contracts for services. for',
21930:'purposes of computing late paymentinterest penalties that mayapply, the due date for making interim payments on costreimbursement contracts for services',
21931:'is 30 days after the date of receipt of a proper invoice. f food and specified items. if the items',
21932:'delivered are: payment must be made as close as possible to, but not later than: 1 meat or meat food',
21933:'products. as defined in section 2a3 of the packers and stockyard act of 1921 7 u.s.c. 1823, and as further',
21934:'defined in public law98181, including any edible fresh or frozen poultry meat, any perishable poultry meat food product, fresh eggs,',
21935:'and any perishable egg product. 7th day after product delivery. 2 fresh or frozen fish. as defined in section 2043',
21936:'of the fish and seafood promotion act of 1986 16 u.s.c. 40033. 7th day after product delivery. 3 perishable agricultural',
21937:'commodities. as defined in section 14 of the perishable agricultural commodities act of 1930 7 u.s.c. 499a4. 10th day after',
21938:'product delivery, unless another date is specified in the contract. 4 dairy products. as defined in section 111e of the',
21939:'dairy production stabilization act of 1983 7 u.s.c. 4502e, edible fats or oils, and food products prepared from edible fats',
21940:'or oils. liquid milk, cheese, certain processed cheese products, butter, yogurt, ice cream, mayonnaise, salad dressings, and other similar products',
21941:'fall within this classification. nothing in the act limits this classification to refrigerated products. if questions arise regarding the proper',
21942:'classification of a specific product, the contracting officer must follow prevailing industry practices in specifying a contract payment due date.',
21943:'the burden of proof that a classification of a specific product is, in fact, prevailing industry practice is upon the',
21944:'contractor making the representation. 10th day after a proper invoice has been received. g multiple payment due dates. contracting officers',
21945:'may encourage, but not require,contractors to submit separate invoices for products with different payment due dates under the same contract',
21946:'or order. whenan invoice contains items with different paymentduedates i.e.,a mixed invoice, the payment office will, subject to agency policy',
21947:'1 pay the entire invoice on the earliest due date; or 2 split invoice payments, making payments by the applicable',
21948:'due dates. 32.905 paymentdocumentationand process. a general. payment will be based on receipt of a proper invoice and satisfactory contract',
21949:'performance. b content of invoices. 1 a proper invoice must include the following items except for interim payments on cost',
21950:'reimbursement contracts for services: iname and address of thecontractor. iiinvoice dateandinvoice number. contractors should date invoicesas closeas possibleto thedate of',
21951:'mailing or transmission. iii contract number or other authorization for supplies delivered or services performed including order number and line',
21952:'item number. iv description, quantity, unit of measure, unit price, and extended price of supplies delivered or services performed. v',
21953:'shipping and payment terms e.g., shipment number and date of shipment, discount for prompt payment terms. bill of lading number',
21954:'and weight of shipment will be shown for shipments on government bills of lading. subpart 32.9 prompt payment 32.906 vi',
21955:'name and address of contractor officialto whom payment is tobe sent must be the same as that inthe contract or',
21956:'in a proper notice of assignment. vii name where practicable, title, phonenumber, and mailing address of person to notifyin theevent',
21957:'of a defective invoice. viii taxpayer identification number tin. the contractor must include its tin on the invoice only if',
21958:'required by agency procedures. see 4.9 tin requirements. ix electronic funds transfer eft banking information. a the contractor must include',
21959:'eft banking information on the invoice only if required by agency procedures. b if eft banking information is not required',
21960:'to be on the invoice, in order for the invoice to be a proper invoice, the contractor must have submitted',
21961:'correct eft banking information in accordance with the applicable solicitation provision e.g., 52.23238, submission of electronic funds transfer information with',
21962:'offer, contract clausee.g., 52.23233, payment by electronic funds transfersystemforawardmanagement, or 52.23234, payment by electronic fundstransfer otherthan system for award management,',
21963:'orapplicable agency procedures. c eft banking information is not required if the government waived the requirement to pay byeft. x',
21964:'any other information or documentation required by the contract e.g., evidence of shipment. 2 an interim payment request under a',
21965:'costreimbursement contract for services constitutes a proper invoice for purposes of this subsection if it includes all of the information',
21966:'required by the contract. 3 if the invoice does notcomply with these requirements, thedesignated billingoffice must return it within 7',
21967:'days after receipt 3 days on contracts for meat, meat food products, or fish; 5 days on contracts for perishable',
21968:'agricultural commodities, dairy products, edible fats or oils, and food products prepared from edible fats or oils, with the reasons',
21969:'why it is not a proper invoice. if such notice is not timely, then thedesignated billingoffice must adjust the due',
21970:'date for the purpose of determining an interestpenalty, ifany. c authorization to pay. all invoice payments, with the exception of',
21971:'interim payments on costreimbursement contracts for services, must be supported by a receiving report or other government documentation authorizing payment',
21972:'e.g., government certified voucher. the agency receiving official should forward the receiving report or other government documentation to the designatedpayment',
21973:'officeby the 5th working day after government acceptance or approval, unless other arrangements have been made. this period of time',
21974:'does not extend the due dates prescribed in this section. acceptance should be completed as expeditiously as possible. the receiving',
21975:'report or other government documentation authorizing payment must, as a minimum, include the following: 1 contract number or other authorization',
21976:'for supplies delivered or services performed. 2 description of supplies delivered or services performed. 3 quantities of supplies received and',
21977:'accepted or services performed, if applicable. 4 date supplies delivered or services performed. 5 date thatthe designated government official i',
21978:'accepted the supplies or services; or ii approved the progress payment request, if the request is being made under the',
21979:'clause at 52.2325, payments under fixedprice construction contracts, or the clause at 52.23210, payments under fixedprice architectengineer contracts. 6 signature,',
21980:'printedname, title, mailing address, and telephone numberof the designated government official responsible for acceptance or approval functions. d billing office.',
21981:'the designated billing officemust immediately annotate each invoice with the actualdate it receives the invoice. e payment office. the designated',
21982:'payment office will annotate each invoice and receivingreport with theactual date it receives the invoice. 32.906making payments. a general. the',
21983:'government will not make invoice payments earlier than 7 days prior to the due dates specified in the contract unless',
21984:'the agency head determines 1 to make earlier paymenton a casebycase basis; or 2 that the use of accelerated payment',
21985:'methods is necessary. see 32.903a5, but see 32.0091a. b payment office.the designated payment office 1 will mail checks onthe same',
21986:'day they aredated; federal acquisition regulation 2 for paymentsmade by eft, willspecify adate on or before the established due dateforsettlement',
21987:'ofthe payment at a federal reserve bank; 3 when the due date falls on a saturday, sunday, orlegal holiday when',
21988:'government offices are closed,may make paymenton the following working daywithout incurring alate payment interest penalty. 4 when it is determined',
21989:'that the designated billing office erroneously rejected a proper invoice and upon resubmission of the invoice, will enter in the',
21990:'payment system the original date the invoice was received by the designated billing office for the purpose of calculating the',
21991:'correct payment due date and any interest penalties that may be due. c partial deliveries.1contracting officers must,where the nature of',
21992:'the work permits, write contract statements of work and pricing arrangements that allow contractors to deliver and receive invoice payments',
21993:'for discrete portions of the work as soon as completed and found acceptable by the government see 32.102d. 2 unless',
21994:'specifically prohibited by the contract, the clause at 52.2321, payments, provides that the contractor is entitled to payment for accepted',
21995:'partial deliveries of supplies or partial performance of services that comply with all applicable contract requirements and for which prices',
21996:'can be calculated from the contract terms. d contractor identifier. each payment or remittance advice will use the contractor invoice',
21997:'number in addition to any government or contract information in describing any payment made. e discounts. when adiscountforprompt payment is',
21998:'taken, the designated paymentoffice will make payment to the contractor as close as possible to, but not later than, the',
21999:'end of the discount period. the discount period is specified by the contractor and is calculated fromthe date of the',
22000:'contractor’s proper invoice. if the contractor has not placed a date onthe invoice, the due date is calculated from the',
22001:'date the designated billing office receives a proper invoice, provided the agency annotates such invoicewith the date ofreceipt atthe time',
22002:'of receipt. when the discount datefalls on asaturday, sunday, or legal holiday when government officesare closed, the designated payment officemay',
22003:'make payment onthe following working day and take a discount. payment terms are specified in the clause at 52.2328, discounts',
22004:'for prompt payment. 32.907 interest penalties. a late payment. the designated paymentoffice will pay an interest penalty automatically, without request',
22005:'from the contractor, when all of the following conditions, if applicable, have been met: 1 the designated billing office received',
22006:'a proper invoice. 2 the government processed a receiving report or other government documentation authorizing payment, and there was nodisagreement',
22007:'over quantity, quality, or contractor compliancewith anycontract requirement. 3 in the case of a final invoice, the payment amount is',
22008:'not subject to further contract settlement actions between the government and the contractor. 4 the designated payment office paid the',
22009:'contractor after the due date. 5 in the case of interim payments on costreimbursement contracts for services, when payment is',
22010:'made more than 30 daysafter the designated billing office receives a proper invoice. b improperly taken discount. the designatedpayment office',
22011:'will pay an interest penalty automatically, without request from the contractor, if the government takes a discount for prompt payment',
22012:'improperly. the interest penalty is calculated on the amount of discount taken for the period beginning with the firstday after',
22013:'the end of the discount period through the date when the contractor is paid. c failure to pay interest. 1',
22014:'the designated payment office will paya penalty amount,in addition to the interestpenalty amount, only if i the government owes an',
22015:'interest penalty of $1 or more; iithe designated payment officedoes not pay the interest penaltywithin 10 days after thedate the',
22016:'invoice amount is paid; and iii the contractor makes a written demand to thedesignated payment office for additional penalty payment',
22017:'in accordance with paragraph c2 of this section, postmarked not later than 40 days after the date the invoice amount',
22018:'is paid. 2 i contractors must support written demands for additional penalty payments with the following data. the government must',
22019:'not request additional data. contractors must a specifically assert that late payment interest is due under a specific invoice, and',
22020:'request payment of all overdue late payment interest penalty and such additional penalty as may be required; b attach a',
22021:'copy of the invoice on which the unpaid late payment interest is due; and c state that payment of the',
22022:'principal has been received, including the date of receipt. 3 if there is no postmark or the postmark is illegible',
22023:'subpart 32.9 prompt payment 32.909 ithe designatedpayment officethat receivesthe demand will annotate it with the date of receipt, provided the',
22024:'demand is received on or before the 40 thday after payment was made; or iiif the designated payment office fails',
22025:'to make the required annotation, the government willdetermine the demand’s validity basedon the date the contractor has placed on the',
22026:'demand; provided such date isno later thanthe 40 thday after payment was made. d disagreements. 1 the payment officewill not',
22027:'pay interest penaltiesif payment delays aredue to disagreement between the government and contractor concerning i the payment amount; ii contract',
22028:'compliance; or iii amounts temporarily withheld or retained in accordance with the terms of the contract. 2 the government and',
22029:'the contractor must resolve claims involving disputes, and any interest that may be payable in accordance with the disputes clause.',
22030:'e computation of interest penalties. the government will compute interest penalties in accordance with omb prompt payment regulations at 5',
22031:'cfr part 1315. these regulations are available via the internet at http://www.fms.treas.gov/prompt/. f unavailability of funds. the temporary unavailability of',
22032:'funds to make a timely payment does not relieve an agency from the obligation to pay interest penalties. 32.908contract clauses.',
22033:'a insert the clause at 52.23226, prompt payment for fixedprice architectengineer contracts, in solicitations and contracts that contain the clause',
22034:'at 52.23210, payments under fixedprice architectengineer contracts. 1 as authorized in 32.904c2, the contracting officermay modify the date in paragraph',
22035:'a4i of the clause to specify a period longer than 7 days for constructive acceptance or constructive approval, if requiredto',
22036:'afford thegovernment a practicable opportunity to inspect and test the supplies furnished or evaluate the services performed. 2 as provided',
22037:'in 32.903, agency policies and procedures may authorize amendment of paragraphs a1i and ii of the clause to insert a',
22038:'period shorter than 30 days but not less than 7 days for making contract invoice payments. b insert the clause',
22039:'at 52.23227, prompt payment for construction contracts, in all solicitations and contracts for construction see part 36. 1 as authorized',
22040:'in 32.904d1ib, thecontracting officer may modifythe date in paragraph a1ia of the clause to specify a period longerthan 14 days',
22041:'if required to afford the government a reasonable opportunity to adequately inspect the work and to determinethe adequacy of the',
22042:'contractor’s performance under the contract. 2 as authorized in 32.904d2iv, the contracting officermay modify the date in paragraph a4i of',
22043:'the clause to specify a period longer than 7 days for constructive acceptance or constructive approval ifrequired to afford the',
22044:'government a reasonable opportunity to inspect and test the supplies furnished or evaluate the services performed. c insert the clause',
22045:'at 52.23225, prompt payment, in all other solicitations and contracts, except when the clause at 52.2124, contract termsandconditionscommercial products and',
22046:'commercialservices, applies, or when payment terms and late payment penalties are established by other governmental authority e.g., tariffs. 1 as',
22047:'authorized in 32.904b1iib4, the contracting officer may modify the date in paragraph a5i of the clause to specify a period',
22048:'longerthan 7 days for constructive acceptance, ifrequired to afford the government areasonable opportunity to inspect and test the supplies furnished',
22049:'or to evaluate the services performed, except in the case of a contract for the purchase of a commercial product',
22050:'or commercial service, including a brandname commercial product for authorized resale e.g., commissary items. 2 as provided in 32.903, agency',
22051:'policies and procedures may authorize amendment of paragraphs a1i and ii of the clause to insert a period shorter than',
22052:'30 days but not less than 7 days for making contract invoice payments. 3 if the contract is a costreimbursement',
22053:'contract for services, use the clause with its alternate i. 32.909contractor inquiries. a direct questions involving 1 delinquent payments to',
22054:'the designated billing office ordesignated payment office; and 2 disagreementsin payment amount ortiming to the contracting officer for resolution. the',
22055:'contracting officer must coordinate withinappropriatecontracting channels and seek the advice of other offices as necessary to resolvedisagreements. federal acquisition regulation',
22056:'b small business concerns may contact the agency’s local small businessspecialist or representative fromthe office of small and disadvantaged business',
22057:'utilization to obtain additional assistance related to payment issues, late payment interest penalties, and information on the prompt payment act.',
22058:'subpart 32.10 performancebased payments 32.1004 subpart 32.10 performancebased payments 32.1000 scope of subpart. this subpart provides policy and procedures for',
22059:'performancebased payments under noncommercial purchases pursuant to subpart 32.1. 32.1001 policy. a performancebased payments are the preferredgovernment financing methodwhen the',
22060:'contractingofficer finds them practical, and the contractor agrees to their use. b performancebased payments are contract financing payments that are',
22061:'not payment for accepted items. c performancebased payments are fully recoverable, in the same manner as progress payments, in the',
22062:'event of default. d performancebased payments are contract financing payments and, therefore, are not subject to the interestpenalty provisions of',
22063:'prompt payment see subpart 32.9. thesepaymentsshallbemadeinaccordancewithagencypolicy. e performancebased payments shall not be used for 1 payments under costreimbursement line items;',
22064:'2 contracts for architectengineer services orconstruction, or for shipbuilding orship conversion, alteration, or repair, when the contracts provide for progress',
22065:'payments based upon a percentage or stage of completion; or 3 contracts awarded through sealed bid procedures. 32.1002 bases for',
22066:'performancebased payments. performancebased payments may be made on any of the following bases: a performance measured by objective, quantifiable methods.',
22067:'b accomplishment of defined events. c other quantifiable measures of results. 32.1003 criteria for use. the contractingofficer may use performancebasedpaymentsforindividual',
22068:'orders and contracts provided a thecontracting officer and offeror agree on the performancebased payment terms; b the contract, individual order,or',
22069:'line item is a fixedprice type; c for indefinite delivery contracts, the individual order does not provide for progress payments;',
22070:'and d for other than indefinite delivery contracts, the contract does not provide for progress payments. 32.1004 procedures. performancebased payments',
22071:'may be made either on a whole contract or on a deliverable item basis, unless otherwise prescribed by agency regulations.',
22072:'financing payments to be made on a whole contract basis are applicable to the entire contract, and not to specific',
22073:'deliverable items. financing payments to be made on a deliverable item basis are applicable to a specific individual deliverable item.',
22074:'a deliverable item for these purposes is a separate item with a distinct unit price. thus, a line item for',
22075:'10 airplanes, with a unit price of $1,000,000 each, has 10 deliverable itemsthe separate planes. a line item for 1',
22076:'lot of 10 airplanes, with a lot price of $10,000,000, has only one deliverable itemthe lot. a establishing performance bases.',
22077:'1 the basis for performancebased payments may be either specifically described events e.g., milestones or some measurable criterion of performance.',
22078:'each event or performance criterion that will trigger a finance payment shall be an integral and necessary part of contract',
22079:'performance and shall be identified in the contract, along with a description of what constitutes successful performance of the event',
22080:'or attainment of the performance criterion. the signing of contracts or modifications, the exercise of options, the passage of time,',
22081:'or other such occurrences do not represent meaningful efforts or actionsandshallnot be identified as events or criteria for performancebased payments.',
22082:'an event need not be a critical event in order to trigger a payment, but the government must be able',
22083:'to readily verify successful performance of each such event or performance criterion. 2 events or criteria may be either severable',
22084:'or cumulative. the successful completion of a severable event or criterion is independent of the accomplishment ofanyothereventor criterion. conversely, thesuccessfulaccomplishment',
22085:'of a cumulative event or criterion is dependent upon the previous accomplishment of another event. a contract may provide for',
22086:'more than one series of severable and/or cumulative performance events or criteria performed in parallel. the contracting officer shall include',
22087:'thefollowing in the contract: 32.1004 federal acquisition regulation i the contract shall not permit payment for a cumulative event or',
22088:'criterion until the dependent event or criterion has been successfully completed. ii the contract shall specifically identify severable events or',
22089:'criteria. iii the contract shall specifically identify cumulative events or criteria and identify which events or criteria are preconditions for',
22090:'the successful achievement of each event or criterion. iv because performancebased payments are contract financing, events or criteria shall not',
22091:'serve as a vehicle to reward the contractor for completion of performance levels over and above what is required for',
22092:'successful completion of the contract. v if payment of performancebased finance amounts is on a deliverable item basis, each event',
22093:'or performance criterion shall be part of the performance necessary for that deliverable item and shall be identified to a',
22094:'specific line item or subline item. b establishing performancebased finance payment amounts. 1 the contracting officer shall establish a complete,fully',
22095:'defined schedule of events or performance criteria and payment amounts when negotiating contract terms. if a contract action significantly affects',
22096:'theprice,or event or performance criterion, the contracting officer responsible for pricing the contract modification shall adjust the performancebased payment schedule',
22097:'appropriately. 2 total performancebasedpaymentsshall i reflect prudent contract financing provided only to the extent needed for contract performance see 32.104a;',
22098:'and ii not exceed 90 percent of the contract price if on a whole contract basis, or 90 percent of',
22099:'the delivery item price if on a delivery item basis. 3 the contract shall specifically state the amount of each',
22100:'performancebased payment either as a dollar amount or as a percentage of a specifically identified price e.g., contract price or',
22101:'unit price of the deliverable item. the payment of contract financing has a cost to the government interms ofinterest paidby',
22102:'the treasury toborrow funds to make the payment. because the contracting officer has widediscretion as to the timing and amount',
22103:'of theperformancebased payments, the contracting officershallensure that i the total contract price is fair and reasonable, all factors considered; and',
22104:'ii performancebased payment amounts are commensurate with the value of the performance event or performance criterion and are notexpected to',
22105:'resultin anunreasonably low or negative levelof contractor investment in the contract. to confirmsufficient investment, thecontracting officer may request expenditure profile',
22106:'information from offerors,but only if other information inthe proposal,or information otherwise available to the contractingofficer, isexpected to be insufficient. 4',
22107:'unless agency procedures prescribe the bases for establishing performancebased payment amounts, contracting officers may establish them on any rational basis,including',
22108:'but not limited to i engineering estimates of stages of completion; iiengineering estimates of hours or other measures of effort',
22109:'to be expended in performance ofan event or achievement of a performance criterion; or iii the estimated projected cost of',
22110:'performance of particular events. 5 when subsequent contractmodifications areissued, the contracting officer shall adjust the performancebased payment schedule as necessary',
22111:'to reflect the actions required by those contract modifications. c instructions for multiple appropriations. if there is more than one',
22112:'appropriation account or subaccount funding payments on the contract, the contracting officer shall provideinstructions to the government paymentoffice for distribution',
22113:'of financingpaymentsto therespective funds accounts. distribution instructions shall be consistent with the contract’s liquidation provisions. d liquidating performancebased finance payments.',
22114:'performancebased amounts shall be liquidated by deducting a percentage ora designated dollar amount fromthe deliverypayments. thecontracting officer shall specify the',
22115:'liquidation rate or designated dollar amount in the contract. the method of liquidation shall ensure complete liquidation no later than',
22116:'final payment. 1 if the contracting officer establishes the performancebased payments on a deliveryitem basis, the liquidation amount for each',
22117:'line item is the percent of that delivery item price that was previously paid under performancebased finance payments or the',
22118:'designated dollar amount. 2 if the performancebased finance payments are on a whole contract basis, liquidation is by predesignated liquidation',
22119:'amounts or liquidation percentages. e competitive negotiated solicitations. 1 if a solicitationrequests offerors to propose performancebased payments, the solicitation shall',
22120:'specify subpart 32.10 performancebased payments 32.1008 iwhat, if any, terms shall be included in all offers;and iithe extent towhich and',
22121:'how offerorproposed performancebased payment terms will be evaluated. unless agencies prescribe other evaluation procedures, if the contracting officer anticipates thatthe',
22122:'cost of providing performancebasedpayments wouldhavea significant impact on determining the best value offer, thesolicitation should state that the evaluationof the',
22123:'offeror’sproposed prices will includean adjustment toreflect the estimated cost tothe government of providing each offeror’s proposedperformancebased payments see alternatei to',
22124:'the provision at 52.23228. 2 the contractingofficer shall i review the proposed terms to ensure they comply with this section;',
22125:'and ii use the adjustment method at 32.205c if the price is to be adjusted for evaluation purposes in accordance',
22126:'with paragraph e1ii of this section. 32.1005 solicitation provisionand contract clause. a insert the clause at 52.23232, performancebased payments, in',
22127:'1 solicitations that may result in contracts providing for performancebased payments; and 2 fixedprice contracts under which the government will',
22128:'provide performancebased payments. b 1 insert the solicitation provision at 52.23228, invitation to propose performancebased payments, in negotiated solicitations that',
22129:'invite offerors topropose performancebased payments. 2 use the provision with its alternate i in competitive negotiated solicitations if the government',
22130:'intends to adjust proposed prices for proposal evaluation purposes see 32.1004e. 32.1006 [reserved] 32.1007 administration and payment of performancebased payments.',
22131:'a responsibility.the contracting officer responsible for administering performancebased payments see 42.302a13 for the contract shall review and approve all performancebased',
22132:'payments for that contract. b approval of financing requests. unless otherwise provided in agency regulations, or by agreement with the',
22133:'appropriate paymentofficial 1 the contractingofficer shall be responsible for receiving,approving, and transmitting all performancebased paymentrequests to the appropriate payment office;',
22134:'and 2 each approval shall specify the amount to be paid, necessary contractual information, and the appropriation accounts see 32.1004c',
22135:'to be charged for the payment. c reviews.the contracting officer isresponsible for determining what reviews arerequired for protection of the',
22136:'government’s interests. the contracting officer should consider the contractor’s experience, performance record, reliability, financial strength, and the adequacy of controls',
22137:'established by the contractor for the administration of performancebased payments. based upon the risk to the government, postpayment reviews and',
22138:'verifications should normally be arranged as consideredappropriateby the contracting officer. if considered necessary by the contracting officer, prepayment reviews may',
22139:'be required. d incomplete performance. the contracting officershallnot approve a performancebasedpayment until the specified event or performance criterion has been',
22140:'successfully accomplished in accordance with the contract. if an event is cumulative, thecontracting officer shall not approve the performancebased payment',
22141:'unless all identified preceding events or criteria are accomplished. e governmentcaused delay. entitlement to a performancebased payment is solely on',
22142:'the basis of successful performanceof the specifiedevents or performance criteria. however,if there is agovernmentcaused delay, the contracting officer may renegotiate',
22143:'the performancebased payment schedule to facilitate contractor billings for any successfully accomplished portions of the delayed event or criterion. 32.1008',
22144:'suspension or reduction of performancebased payments. the contractingofficer shall applythe policy and procedures in paragraphs a, b, c, and e',
22145:'of 32.5036, suspension or reductionof payments,whenever exercising thegovernment’s rights to suspendor reduce performancebased payments in accordance with paragraph e of',
22146:'the clause at 52.23232, performancebased payments. 32.1009 federal acquisition regulation 32.1009 title. a since the clause at 52.23232, performancebased payments,',
22147:'gives the government title to the property described in paragraph fof the clause, the contractingofficer shall ensure thatthe government title',
22148:'isnot compromised by other encumbrances. ordinarily, thecontracting officer,in theabsence of reason to believe otherwise, may rely upon the contractor’s certification',
22149:'contained in the payment request. b if the contracting officer becomes aware of any arrangement or condition that would impair',
22150:'the government’stitle to thepropertyaffected by theperformancebased payments clause, thecontracting officer shall requireadditional protective provisions. c theexistence of any such encumbrance',
22151:'is aviolation ofthe contractor’s obligations under the contract, andthe contracting officermay, if necessary, suspend or reduce payments under the termsof',
22152:'the performancebased payments clause covering failure to comply with a material requirement of the contract. in addition, if the contractor',
22153:'fails to disclose anexisting encumbrancein thecertification, the contracting officer should consult with legal counsel concerning possible violation of 31 u.s.c.3729,',
22154:'the false claims act. 32.1010 risk of loss. a under the clause at 52.23232, performancebased payments, and except for normal',
22155:'spoilage, the contractor bears the risk of lossforgovernmentproperty, even though title is vested in the government, unless the government has',
22156:'expressly assumed this risk. the clauses prescribed in this regulation related to performancebased payments, default, and terminations do not constitute',
22157:'a government assumption of risk. b if a loss occurs in connection with property for which the contractor bears the',
22158:'risk, and the property is needed for performance, the contractor isobligated to repay the government theperformancebased payments related to theproperty.',
22159:'c the contractor is not obligated to pay for the loss of property for which the government has assumed the',
22160:'risk of loss. however, a serious loss may impede the satisfactory progress of contract performance, so that the contractingofficer may',
22161:'need to act under paragraph e2 of the performancebased payments clause. in addition, while the contractor is not required to',
22162:'repay previous performancebased payments in the event of a loss for which the government has assumed the risk, such a',
22163:'loss may prevent the contractor from making the certification required by the performancebased payments clause. subpart 32.11 electronic funds transfer',
22164:'32.1105 subpart 32.11 electronic funds transfer 32.1100 scope of subpart. this subpart provides policy and procedures for contract financing and',
22165:'delivery payments to contractors by electronic funds transfer eft. 32.1101 statutory requirements. 31 u.s.c.3332 requires, subject to implementing regulations of',
22166:'the secretary of the treasuryat 31 cfr part 208, that eft be used to make all contract payments. 32.1102 definitions.',
22167:'as used in this subpart electronic funds transfer information eft means information necessary for making a payment by eft through',
22168:'specified eft mechanisms. governmentwide commercial purchase card means a card that is similar in nature to a commercial credit card',
22169:'that is used to make financing and delivery payments for supplies and services. the purchase card is an eft method',
22170:'and it may be used as a meansto meetthe requirement to pay by eft, to theextent that purchase card limits',
22171:'donot preclude such payments. payment information means the payment advice provided by the government to the contractor that identifies what',
22172:'the paymentis for, anycomputations or adjustments made by the government, and anyinformation required by the prompt payment act. 32.1103 applicability.',
22173:'the government shall provide all contract payments through eft except if a theoffice makingpayment undera contract that requires payment by',
22174:'eft, loses the ability to releasepayment by eft. to the extent authorizedby 31 cfr part 208,the paymentoffice shall make necessarypayments',
22175:'pursuant to paragraph a2 of the clause at either 52.23233 or 52.23234 until such time as it can make eft',
22176:'payments; b the payment is to be received by or on behalf of the contractor outside the united states and',
22177:'puerto rico but see 32.1106b; c a contract is paid in other than united states currency but see 32.1106b; d',
22178:'payment by eft under a classified contract could compromise the safeguarding of classified information or national security, or arrangements for',
22179:'appropriate eft payments would beimpracticaldue to securityconsiderations; e a contract isawarded bya deployed contractingofficer in the course of militaryoperations, including,',
22180:'but not limited to, contingency operations as defined in 2.101, or a contract is awarded by any contracting officerin theconduct',
22181:'of emergencyoperations, suchas responses to natural disasters or nationalor civilemergencies,if 1 eft is not known to be possible; or 2',
22182:'eft payment would not support the objectives of the operation; f the agency does not expect to make more than',
22183:'one payment to the same recipient within a oneyear period; g an agency’s need for supplies and services is of',
22184:'such unusual and compelling urgency that the government would be seriously injured unless payment is made by a method other',
22185:'than eft; h there is only one source for supplies and services and the government would be seriously injured unless',
22186:'payment is made by a method other than eft; or iotherwiseauthorized by departmentof the treasury regulations at31 cfr part 208.',
22187:'32.1104 protection ofeft information. the government shall protect against improper disclosure of contractors’ eft information. 32.1105 assignment of claims. the',
22188:'use of eft payment methods is not a substitute for a properly executed assignment of claims in accordance with subpart',
22189:'32.8.eftinformationthatshowstheultimaterecipientofthetransfertobeotherthanthecontractor,intheabsence of a proper assignment of claims, is considered to be incorrect eft information within the meaning of the suspension',
22190:'of payment paragraphs of the eft clauses at 52.23233 and 52.23234. 32.1106 federal acquisition regulation 32.1106 eft mechanisms. a domestic',
22191:'eft mechanisms. the eft clauses at 52.23233 and 52.23234 are designed for use with the domestic unitedstates banking system, usingunited',
22192:'statescurrency, and only thespecified mechanisms u.s. automated clearing house,and fedwire transfer system of eft. however, the head of anagency may',
22193:'authorize the use of any other eft mechanism for domestic eft with theconcurrence of the office oragency responsible for making',
22194:'payments. b nondomestic eft mechanisms and other than united states currency. the government shall provide payment by other than eft',
22195:'for payments received by or on behalf of the contractor outside the united states and puerto rico or for contracts',
22196:'paidin other than unitedstates currency. however, the head of anagency may authorize appropriate useof eft with the concurrence of the',
22197:'office or agency responsible for making paymentsif 1 the political, financial, and communications infrastructure in a foreign country supports payment',
22198:'by eft; or 2 payments of other than united states currency may be made safely. 32.1107 payment information. the payment',
22199:'or disbursing office shall forward tothe contractor available payment information that is suitable for transmission as of the date of',
22200:'release of the eft instruction to the federal reserve system. 32.1108 paymentby governmentwide commercial purchase card. a governmentwide commercialpurchase card',
22201:'chargeauthorizesthe third party e.g., financial institution that issued the purchase card tomakeimmediatepayment to the contractor. the government reimburses the third',
22202:'party ata later date for the third party’s payment to the contractor. a the clause at 52.23236, payment by third',
22203:'party, governs when a contractor submits a charge againstthe purchase card for contract payment. theclause provides thatthe contractor shall make',
22204:'such payment requests by a charge to a government account with the third party at the time the payment clauses',
22205:'of the contract authorizes the contractor to submit a request for payment, andforthe amountdue in accordance with the terms of',
22206:'the contract. to the extent that such a payment would otherwise be approved, the charge against the purchase card should',
22207:'notbe disputed when the charge is reported to thegovernment by the third party. to the extent that such payment would',
22208:'otherwise nothavebeenapproved, anauthorized individual see 1.6033 shall take action to removethe charge, suchas by disputing the charge with the third',
22209:'party or by requesting that the contractor credit the charge back tothe government under the contract. b 1writtencontractstobepaidbypurchasecardshouldincludetheclauseat 52.23236,paymentbythirdparty,as prescribed',
22210:'by 32.1110d. however, payment bya purchase card also may be made under a contract that does not contain the clause',
22211:'to the extent the contractor agrees to accept that method of payment. 2 i when it is contemplated that the',
22212:'governmentwide commercial purchase card will be used as the method of payment, andthe contract or order is above the micropurchase',
22213:'threshold, contracting officers are required toverify by looking in thesystemforaward management sam whether the contractorhas any delinquent debt subject to',
22214:'collection underthe treasury offset program top at contract award and order placement. information on top is available at http:// fms.treas.gov/debt/index.html.',
22215:'iithe contracting officer shall notauthorize thegovernmentwide commercial purchase card as a method of paymentduring any periodthe samindicates that the contractor',
22216:'has delinquentdebt subject to collection under the top. in such cases, payments under the contract shall be made in accordance',
22217:'with the clause at 52.23233, payment by electronic funds transfersystemforaward management, or 52.23234, payment by electronic fundstransferother than system for',
22218:'award management, as appropriate see far 32.1110d. iii contractingofficers shall not use the presence of the sam debt flag indicator',
22219:'toexclude a contractor from receipt ofthe contract award or issuance or placement of an order. iv the contracting officer may',
22220:'take steps to authorize payment bygovernmentwide commercial purchase card when a contractor alerts the contracting officer that the sam debt',
22221:'flag indicator has been changed tono longer show a delinquent debt. c the clause at 52.23236, payment by third party,',
22222:'requires that the contract 1 identify the third party and the particular purchase card to be used; and 2 not',
22223:'include the purchase card account number. the purchase card account number should beprovidedseparately to thecontractor. subpart 32.11 electronic funds transfer',
22224:'32.1110 32.1109 eft information submittedby offerors. if offerors are required to submit eft information prior to award, the successful offeror',
22225:'is not responsible for resubmitting this information after award of the contract except to make changes, or to place the',
22226:'information on invoices if required by agency procedures. therefore,contracting officers shall forward eft informationprovidedby the successful offeror to the appropriate',
22227:'office. 32.1110solicitation provision andcontract clauses. a thecontracting officer shall insert the clause at 1 52.23233, payment by electronic funds transfersystemforaward',
22228:'management, in solicitations and contracts that include the provision at 52.2047 system for award management, or anagency clause thatrequiresa contractorto',
22229:'be registered in sam and maintain registration until final payment, unless– i payment will be made through a third party',
22230:'arrangement see 13.301 and paragraph d of this section; or ii an exception listed in 32.1103a through i applies. 2',
22231:'i 52.23234,paymentbyelectronicfundstransferotherthansystemforawardmanagement,insolicitations and contracts that require eft as the method for payment but do not include the provision at 52.2047,',
22232:'system for award management, or a similar agency clause that requires the contractor to be registered in the sam. ii',
22233:'aifpermittedbyagencyprocedures,thecontractingofficermayinsertinparagraphb1oftheclause,a particular time after award, such as a fixed number of days, or event such as the submission of the',
22234:'first request for payment. b if no agency procedures are prescribed, the time period inserted in paragraph b1 of the',
22235:'clause shall be no later than 15 days prior to submission of the first request for payment. b if the',
22236:'head of the agency has authorized, in accordance with 32.1106, to use a nondomestic eft mechanism, the contracting officershallinsert in',
22237:'solicitations and contracts a clause substantially the sameas 52.23233 or 52.23234 that clearly addresses the nondomestic eft mechanism. c if',
22238:'eftinformation is to be submitted toother thanthe paymentoffice inaccordance withagency procedures, the contracting officershallinsert in solicitations and contracts the clause',
22239:'at 52.23235, designation ofofficeforgovernment receipt of electronic fundstransferinformation, or a clause substantially the sameas 52.23235 that clearly informs the contractor',
22240:'where to send the eft information. d if payment under a written contractwill be made bya charge to a government',
22241:'accountwith a third party suchas a governmentwide commercialpurchase card, then the contracting officer shall insert theclause at 52.23236, payment by',
22242:'third party, insolicitationsand contracts. payment by a purchasecard may also be made under acontract that does not contain the clause',
22243:'at 52.23236, to the extent the contractor agrees to accept that method of payment. when the clause at 52.23236 isincluded',
22244:'ina solicitation or contract, the contractingofficer shall also insert the clause at 52.23233, payment by electronic funds transfersystem for award',
22245:'management, or 52.23234,payment by electronic funds transferotherthan system for award management, as appropriate. e if the contract or agreement provides',
22246:'for the use of deliveryorders, and provides that the ordering officedesignate the method of payment for individual orders, the contracting',
22247:'officershallinsert, in the solicitation and contract or agreement, the clause at 52.23237, multiple payment arrangements, and, to the extent they',
22248:'are applicable, the clauses at 1 52.23233, payment by electronic funds transfersystemforaward management; 2 52.23234, payment by electronic funds transferother',
22249:'than system for award management;and 3 52.23236, payment by third party. f ifmore thanone disbursingoffice will make payment under a',
22250:'contract or agreement, the contracting officer, or ordering officeif the contract provides for choices betweeneft clauseson individual orders or classes',
22251:'oforders, shall include or identify the eft clause appropriate for each officeand shall identify the applicability by disbursing office and',
22252:'line item. g if the solicitation contains the clause at 52.23234, payment by electronic funds transferother than system for award',
22253:'management, and an offeror is required tosubmit eft information priorto award 1 the contractingofficer shall insertin thesolicitation the provision at',
22254:'52.23238, submission of electronic funds transfer informationwith offer,or aprovision substantially the same; and 2 for sealed bid solicitations,the contracting officer',
22255:'shall amend 52.23238 to ensure thata bidder’seft information i is not a part of the bid to be opened at',
22256:'the public opening; and ii may not be released to members of the general public who request a copy of',
22257:'the bid. this page intentionally left blank. 32.114 part 33 protests, disputes, and appeals sec. 33.000 scope of part. 33.001',
22258:'general. subpart 33.1 protests 33.101 definitions. 33.102 general. 33.103 protests to the agency. 33.104 protests to gao. 33.105 protest at',
22259:'the u.s. court of federal claims. 33.106 solicitation provision and contract clause. 33.201 33.202 33.203 33.204 33.205 33.206 33.207 33.208',
22260:'33.209 33.210 33.211 33.212 33.213 33.214 33.215 subpart 33.2 disputes and appeals definitions. disputes. applicability. policy. relationship of the disputes',
22261:'statute to pub. l.85804. initiation of a claim. contractor certification. interest on claims. suspected fraudulent claims. contracting officer’s authority. contracting',
22262:'officer’s decision. contracting officer’s duties upon appeal. obligation to continue performance. alternative dispute resolution adr. contract clauses. this page intentionally',
22263:'left blank. subpart 33.1 protests 33.102 33.000scope of part. this part prescribes policies and procedures for filing protests and for',
22264:'processing contract disputes and appeals. 33.001general. there are other federal courtrelated protest authorities and disputeappeal authorities that are not covered',
22265:'by this part of thefar, e.g., 28 u.s.c. 1491 for courtof federal claims jurisdiction. contracting officers should contact their designated',
22266:'legal advisor for additional information whenever they become aware of any litigation related to their contracts. subpart 33.1 protests 33.101definitions.',
22267:'as used in this subpart day means a calendarday, unless otherwise specified. in thecomputationof any period 1 the day of',
22268:'the act, event, or default from which the designated period of time begins to run is not included; and 2',
22269:'the last day after the act, event, or default is included unless ithe last day isa saturday,sunday, or federalholiday; or',
22270:'ii in the case of a filing of a paper at any appropriate administrative forum, the last day is a',
22271:'day on which weather or other conditions cause the closingof the forum for allor part of the day, in which',
22272:'event the next day on which the appropriate administrative forum is open is included. filed means the complete receipt of',
22273:'any document by an agency before its close of business. documents received after close of business are considered filedas of',
22274:'the nextday. unless otherwise stated, the agency close of business ispresumed to be 4:30 p.m., local time. interested party for',
22275:'the purpose of filing a protest means anactual or prospective offeror whose direct economic interest would beaffected by theaward of',
22276:'a contractor by thefailureto award a contract. protest means a written objection by an interested party to any of the',
22277:'following: 1 a solicitation or other request by an agency for offers for acontract for the procurementof property or services.',
22278:'2 the cancellation of the solicitation or other request. 3 an award or proposed award of the contract. 4 a',
22279:'termination or cancellation of an award of the contract, if the written objection contains an allegation that the termination or',
22280:'cancellation is based in whole or in part on improprieties concerning the award of the contract. protest venue means protestsfiled',
22281:'with the agency, the government accountability office, or the u.s. court offederal claims. u.s. district courts do not have any',
22282:'bid protest jurisdiction. 33.102general. a without regard to the protest venue, contracting officers shall consider all protests and seeklegal advice,',
22283:'whether protests are submittedbefore or afteraward and whether filed directly with theagency,the government accountability office gao, or the u.s. court',
22284:'of federalclaims. see 19.302 for protests of small business status, 19.305 for protests of disadvantaged business status, 19.306 for protests',
22285:'of hubzone small business status, and 19.307 for protests of service disabled veteranowned small business status, and m for protests',
22286:'of the status of an economically disadvantaged women owned small business concernor of a womenownedsmall business concern eligible under the',
22287:'womenownedsmall business program. b if, in connection with a protest, the head of an agency determines that a solicitation, proposed',
22288:'award, or award does not comply with the requirements of law or regulation, the head of the agency may 1',
22289:'takeanyaction that could have been recommendedby the comptroller general had the protest been filedwith the government accountability office; 2 pay',
22290:'appropriate costs as stated in 33.104h; and 3 require the awardee toreimburse the government’scosts, as provided in this paragraph, where',
22291:'a postaward protest is sustained as the resultof an awardee’s intentionalor negligent misstatement, misrepresentation,or miscertification. in addition to any other',
22292:'remedy available, and pursuant to the requirements of subpart 32.6, the government may collect this debt byoffsetting the amount againstany',
22293:'payment due the awardee under any contract between the awardee and the government. federal acquisition regulation i when a protest',
22294:'is sustained by gao under circumstances that may allow the government to seek reimbursement for protestcosts, the contracting officerwill determine',
22295:'whether the protest was sustained based on the awardee’s negligent or intentional misrepresentation. if the protest was sustained on several',
22296:'issues, protest costs shall be apportioned according to thecosts attributable to the awardee’s actions. iithe contracting officer shall reviewthe amount',
22297:'of the debt, degree of the awardee’sfault, and costs of collection, to determine whether a demand for reimbursement ought to',
22298:'be made. if it is in the best interests of the government to seek reimbursement, thecontracting officer shall notify the',
22299:'contractorin writing of the nature and amount of the debt, andthe intention to collect by offset if necessary. prior toissuing',
22300:'a finaldecision,the contracting officershallafford the contractor an opportunity to inspect and copy agency records pertaining to the debt to the',
22301:'extent permitted by statute and regulation, and to request review of the matter by the head of the contracting activity.',
22302:'iii when appropriate, thecontracting officer shall also refer the matter to the agency debarmentofficial for consideration under subpart 9.4. c',
22303:'in accordance with 31 u.s.c.1558, with respect to any protest filed with the gao, if the funds available to the',
22304:'agency for a contract atthe time a protest is filedin connection with a solicitation for, proposed award of, or award',
22305:'of such a contract would otherwise expire, such funds shall remain available for obligation for 100 days after the date',
22306:'on which the final ruling is made on the protest. a ruling is considered final on the date on which',
22307:'the time allowed for filing an appeal or request for reconsideration has expired, orthe date onwhich a decision is rendered',
22308:'onsuch appeal or request, whichever is later. d protest likely after award. the contracting officer may stay performance of a',
22309:'contract within the time period contained in paragraph 33.104c1 if the contracting officermakes a written determinationthat 1 a protest is',
22310:'likely to be filed; and 2 delay of performance is, under the circumstances, in the best interests of the united',
22311:'states. e an interested party wishing to protest is encouraged to seek resolution within the agency see 33.103 before filing',
22312:'a protest with the gao, but may protest to the gao in accordance with gao regulations 4 cfr part 21.',
22313:'f no person may file a protest at gao for a procurement integrity violation unless that person reported to the',
22314:'contracting officer the information constitutingevidence of the violation within 14 days after the personfirstdiscovered thepossible violation 41 u.s.c. 2106. 33.103',
22315:'protests to the agency. a reference. executive order12979, agency procurement protests, establishes policy on agency procurement protests. b priorto submission',
22316:'of an agency protest, all parties shall use their best effortsto resolve concerns raised by an interested party at the',
22317:'contracting officer levelthroughopen and frank discussions. c the agency should provide for inexpensive, informal, procedurally simple, and expeditious resolution of',
22318:'protests. where appropriate,the use of alternative dispute resolution techniques, third party neutrals, and anotheragency’s personnel are acceptable protest resolution methods.',
22319:'d the following procedures areestablished to resolve agency protestseffectively, to build confidence in the government’s acquisition system, and to reduce',
22320:'protests outside ofthe agency: 1 protestsshallbe concise andlogicallypresented to facilitatereview by theagency. failure to substantially comply with any of the',
22321:'requirements of paragraph d2 of this section may be grounds for dismissal of the protest. 2 protests shall include the',
22322:'following information: iname, address, and faxand telephone numbers of theprotester. iisolicitation or contract number. iii detailed statement of the legal',
22323:'and factual grounds for the protest, to include a description of resulting prejudice to the protester. iv copies of relevant',
22324:'documents. v request for a rulingby the agency. vi statement as to the form of relief requested. vii all information',
22325:'establishing that the protester is an interested party for the purpose of filing a protest. viii all information establishing the',
22326:'timeliness of the protest. 3 all protests filed directly with the agency willbe addressed to the contractingofficer or other official',
22327:'designated to receive protests. 4 in accordance with agency procedures, interested parties may request an independent review of their protest',
22328:'at a levelabove the contracting officer; solicitations should advise potential bidders and offerors that thisreview is available. agency procedures and/or',
22329:'solicitations shall notify potential bidders andofferorswhetherthisindependent review is subpart 33.1 protests 33.104 available as an alternative to considerationby the contractingofficer',
22330:'of a protest or is available as an appeal ofa contracting officer decisionon a protest. agencies shall designate the officials',
22331:'who are to conduct this independent review, but the officialsneednot be within the contractingofficer’s supervisory chain. whenpracticable, officials designated toconduct',
22332:'the independent review should not have had previous personal involvement in the procurement. if there is an agency appellate reviewof',
22333:'the contractingofficer’s decisionon the protest,itwill not extend gao’s timeliness requirements. therefore, any subsequent protest to the gao must be filed',
22334:'within 10 days of knowledge of initial adverse agency action 4 cfr21.2a3. e protests based on alleged apparent improprieties in',
22335:'a solicitation shall be filed before bid opening or the closing date for receipt of proposals. in all other cases,',
22336:'protests shall be filed no later than 10 days after the basis of protest is known or should have been',
22337:'known,whichever isearlier. the agency, for good causeshown, or where it determines that aprotest raises issues significant tothe agency’s acquisition system,',
22338:'may consider the merits of any protest which is not timely filed. f action upon receipt of protest. 1 upon',
22339:'receipt of a protest before award, a contract may not be awarded, pending agency resolutionof the protest,unlesscontract awardis justified, in',
22340:'writing, for urgent and compellingreasons or is determined, in writing, to be in the best interest of the government. such',
22341:'justification or determination shall be approved at a levelabove the contracting officer, or by anotherofficial pursuant to agency procedures. 2',
22342:'if award is withheld pending agency resolution of theprotest, the contractingofficer will inform the offerors whose offers might become eligible',
22343:'for award of the contract. if appropriate,the offerors should be requested, beforeexpiration of thetime for acceptance of theiroffers, toextend the',
22344:'time for acceptance to avoidthe need for resolicitation. in the event of failure to obtainsuch extension of offers, consideration should',
22345:'be given to proceedingwith award pursuant to paragraph f 1 of this section. 3 upon receipt ofa protest within 10',
22346:'days after contract award orwithin 5days after a debriefing dateoffered to the protester under a timely debriefing request in accordance',
22347:'with 15.505 or 15.506, whichever islater, the contracting officer shall immediately suspend performance, pendingresolution of the protestwithin the agency, including',
22348:'any reviewby an independent higher level official, unless continuedperformance is justified, in writing,forurgentand compelling reasonsor is determined, in writing, to',
22349:'be in the best interest of the government. such justification or determination shall be approved at a level above thecontracting',
22350:'officer, or by another official pursuantto agency procedures. 4 pursuing an agency protest does not extend the time for obtaining',
22351:'a stay at gao. agencies may include, as part of the agency protest process, a voluntary suspension period when agency',
22352:'protests are denied and the protester subsequently files at gao. g agencies shall make their best efforts to resolveagency protests',
22353:'within35 days after the protest is filed. to the extent permitted by law and regulation, the parties may exchange relevant',
22354:'information. h agency protest decisions shall be wellreasoned, and explain the agency position. the protest decision shall be provided to',
22355:'the protester using a method that provides evidence of receipt. 33.104 protests to gao. procedures for protests to gao are',
22356:'found at 4 cfr part 21 gao bid protest regulations. in the event guidance concerning gao procedure in this section',
22357:'conflicts with 4 cfr part 21, 4 cfr part 21 governs. a general procedure. 1 a protester isrequired to furnish',
22358:'a copy of its complete protest to the official and location designated inthe solicitationor, in the absence of such a',
22359:'designation, to the contracting officer, soitis receivedno later than 1 day after the protest is filed with the gao. the',
22360:'gao may dismiss the protest if the protester fails to furnish a complete copy of theprotest within1 day. 2 immediatelyafter',
22361:'receipt of the gao’swritten notice that a protest has been filed, theagency shall give noticeof theprotest tothe contractor if theaward',
22362:'hasbeenmade,or, if no award has been made, to allparties whoappear to have a reasonable prospect of receiving award if the',
22363:'protest is denied. the agency shall furnish copies of the protest submissions to such parties with instructions to i communicate',
22364:'directly with the gao, and ii provide copies of any such communication to the agency and to other participating parties',
22365:'when they becomeknown. however,if the protester has identified sensitive information and requests aprotective order, then the contracting officer shall obtain',
22366:'a redactedversionfrom the protester to furnish to other interested parties, if one has not already been provided. 3 iuponnoticethataprotesthasbeenfiledwiththegao,thecontractingofficershallimmediatelybegin compiling',
22367:'the information necessary for a report to the gao. the agency shall submit a complete report to the gao within',
22368:'30 days after the gao notifies the agency by telephone that a protest has been filed, or within 20 days',
22369:'after receipt from the gao of a determination to use the express option, unless the gao a advises the agency',
22370:'that the protest has been dismissed; or federal acquisition regulation b authorizes a longer period inresponse to an agency’s request',
22371:'for an extension. any new date is documented in the agency’s file. iiwhen a protest is filed with the gao,and',
22372:'an actualor prospective offeror so requests, the procuringagency shall, inaccordancewith anyapplicable protective orders, provide actual orprospective offerors reasonable access to',
22373:'the protestfile. however,if the gao dismisses theprotest beforethe documentsare submitted to the gao, thenno protest file need be made available.',
22374:'information exempt from disclosure under 5 u.s.c.552 may be redacted from the protest file. the protestfile shall bemade available to',
22375:'nonintervening actualor prospective offerors within a reasonable time after submittal of an agency report to the gao. the protest file',
22376:'shall include an index and as appropriate a the protest; b the offer submittedby the protester; c the offer being',
22377:'considered for award or being protested; d all relevant evaluation documents; e the solicitation, including the specifications or portions relevant',
22378:'to the protest; f the abstractof offers or relevantportions; and g any other documents that the agency determines are relevant',
22379:'to the protest, including documents specifically requested by theprotester. iii at least 5 days prior to the filing of the',
22380:'report, in cases in which the protester has filed a request for specific documents, the agency shall provide to all',
22381:'parties and the gao a list of those documents, or portions of documents, that the agency has released to the',
22382:'protester or intends to produce in its report, and those documents that the agency intends to withholdfrom the protester and',
22383:'thereasons for theproposed withholding. any objection tothe scope of the agency’s proposed disclosure or nondisclosure of the documents must be',
22384:'filed with the gao and the other parties within 2 days after receipt of this list. iv the agency report',
22385:'to the gao shall include a a copy of the documents described in 33.104a3ii; b the contracting officer’s signedstatement of',
22386:'relevant facts, including a best estimate of the contractvalue, and a memorandum oflaw. the contractingofficer’s statement shall set forth findings,',
22387:'actions, and recommendations, and any additional evidence or information not provided in the protest file that may be necessary to',
22388:'determine the merits of the protest; and c a list of parties being provided the documents. 4 i at the',
22389:'same time the agency submits its report to the gao, the agency shall furnish copies of its report to the',
22390:'protester and any intervenors. a party shall receive all relevant documents, except a those that the agency has decided to',
22391:'withhold from that party for any reason, including those covered by a protective order issued by the gao. documents covered',
22392:'by a protective order shall be released only in accordance with the terms of the order. examples of documents the',
22393:'agency may decide toexclude from a copy of the report include documents previously furnished to or prepared by a party;',
22394:'classified information; and information that would give the party a competitive advantage; and b protester’s documents which the agency determines,',
22395:'pursuant to law or regulation, to withhold from any interested party. i if the protester requests additional documents within 2',
22396:'days after the protester knew the existence or relevance of additional documents, or should have known, the agency shall provide',
22397:'the requested documents to the gao within 2 days of receipt of the request. a the additional documents shall also',
22398:'be provided to the protester and other interested parties within this 2day period unless the agency has decided to withhold',
22399:'them for any reason see subdivision a4i of this section. this includes any documents covered by a protective order issued',
22400:'by the gao. documents covered by a protective order shall be provided only inaccordance withthe terms of theorder. b the',
22401:'agency shall notify the gao of any documents withheld from the protester and other interested parties and shall state the',
22402:'reasons for withholding them. 5 the gao may issue protective orders which establish terms, conditions, and restrictions for the provision',
22403:'of any document to an interestedparty. protective orders prohibit or restrict the disclosure by the party ofprocurement sensitive information, trade',
22404:'secrets or other proprietary or confidential research, development or commercial information that is contained in such document. protective orders do',
22405:'not authorize withholding any documents or information from the united states congressor an executive agency. subpart 33.1 protests 33.104 i',
22406:'requests for protective orders. any party seeking issuance of a protective order shall file its request with the gao as',
22407:'soon as practicable after the protest is filed, with copies furnished simultaneously to all parties. ii exclusions and rebuttals. within',
22408:'2 days after receiptof acopy ofthe protective order request, any party may file with the gaoa requestthat particular documents be',
22409:'excluded from the coverage of the protective order, or that particular parties or individualsbe included in or excludedfrom the protective',
22410:'order. copies ofthe request shall be furnished simultaneously to all parties. iii additional documents. if the existence or relevance of',
22411:'additional documents first becomes evident after a protective order has been issued, any party may request that these additional documents',
22412:'be covered by the protective order. any party to the protective order also may request that individuals not already covered',
22413:'by the protective order be included in theorder. requests shall be filedwith the gao, with copies furnished simultaneously to all',
22414:'parties. iv sanctions and remedies. the gao may impose appropriate sanctions for any violation of the terms of the protective',
22415:'order. improper disclosure of protected information willentitle the aggrieved party to all appropriate remedies underlawor equity. thegao may also take',
22416:'appropriate action against an agency which fails to provide documents designated ina protective order. 6 the protester and other interested',
22417:'parties are required to furnish a copy of any comments on the agency report directly to the gao within 10',
22418:'days, or 5 days if express option is used, after receipt of the report, with copies provided to thecontracting officer',
22419:'and to otherparticipating interested parties. if a hearing is held, thesecommentsare due within 5 days after the hearing. 7 agencies',
22420:'shall furnishthe gao with the name,title,andtelephone number ofoneor more officials in both field and headquarters offices, if desired whom the',
22421:'gaomay contact who areknowledgeable about the subject matter of the protest. eachagency shall beresponsibleforpromptly advising the gaoof any changein thedesignated',
22422:'officials. b protests before award. 1 when the agency has received notice from the gao of a protest filed directly',
22423:'with the gao, a contract may not be awarded unless authorized, in accordance with agency procedures, by the head of',
22424:'the contracting activity, on a nondelegablebasis, upon a writtenfinding that iurgent and compellingcircumstances which significantly affect the interest of the',
22425:'united states will not permit awaiting the decision of the gao; and iiawardis likely to occurwithin 30 days of thewritten',
22426:'finding. 2 a contract award shall not be authorized until the agency has notified the gao of the finding in',
22427:'paragraph b1 of this section. 3 when a protest against the making of an award is received and award will',
22428:'be withheld pending disposition of the protest, the contracting officer should inform the offerors whose offersmightbecome eligibleforaward of theprotest. if',
22429:'appropriate, those offerors should be requested,before expiration ofthe time for acceptance of their offer, to extend thetime for acceptance to',
22430:'avoid the need for resolicitation. in theeventof failure to obtain such extensions of offers, consideration should be given to proceeding',
22431:'under paragraph b1 of this section. c protests after award. 1 when the agency receives notice of a protest from',
22432:'the gao within 10 days after contract award orwithin 5 days after a debriefing dateoffered to the protesterforanydebriefingthat isrequired by',
22433:'15.505 or 15.506, whichever is later, thecontracting officer shall immediately suspend performanceor terminate the awarded contract, except as provided in',
22434:'paragraphs c2 and 3 of this section. 2 in accordance with agency procedures, the head ofthe contracting activity may, ona',
22435:'nondelegable basis, authorize contract performance, notwithstanding the protest, upon a written finding that i contract performance will be in the',
22436:'best interests of the united states; or iiurgent and compellingcircumstances that significantly affect theinterests of the united states will not',
22437:'permit waitingforthe gao’s decision. 3 contract performance shall not be authorized until the agency has notified the gao of the',
22438:'finding in paragraph c 2 of this section. 4 when it is decided to suspendperformance or terminate the awarded contract,',
22439:'the contracting officer should attempt to negotiate a mutual agreement on a nocost basis. 5 when the agency receives notice',
22440:'of a protest filed with the gao after the dates contained in paragraph c1, thecontracting officer need not suspendcontract performance',
22441:'or terminate theawarded contract unless the contracting officer believes that an award may beinvalidated and a delay in receiving the',
22442:'supplies or servicesis not prejudicial to the government’s interest. federal acquisition regulation d findings and notice. if the decision is',
22443:'to proceed with contract award, or continue contract performance under paragraphs b orc of this section,the contracting officer shall include',
22444:'the written findings or other requireddocumentation in the file. the contracting officer also shall give written notice of the decision',
22445:'to the protester and other interested parties. e hearings. the gaomay hold a hearing at the requestof the agency, a',
22446:'protester, or other interested party who has responded to the notice in paragraph a2 of this section. a recording or',
22447:'transcription of the hearing will normally be made, and copies may be obtained from the gao. all parties may file',
22448:'comments on the hearing and the agency report within 5 days of the hearing. f gao decision time. gao issues',
22449:'its recommendation on a protest within 100 days from the date of filing of the protest with the gao, or',
22450:'within 65 days under the express option. the gao attempts to issue its recommendation on an amended protest that adds',
22451:'a new ground of protest within the time limit of the initial protest. if an amended protest cannot be resolved',
22452:'within the initial time limit, the gao may resolve the amended protest through an express option. g notice to gao.',
22453:'if the agency has not fully implemented the gao recommendations with respect to a solicitation for a contract or an',
22454:'award or a proposed award of a contract within 60 days of receiving the gao recommendations, the head of the',
22455:'contracting activity responsible for that contract shall report the failure to the gao not later than 5 days after the',
22456:'expiration of the 60day period. the report shall explainthe reasonswhy the gao’s recommendation, exclusiveof costs, has not been followed by',
22457:'the agency. h award of costs. 1 if the gao determines that a solicitation for a contract, a proposed award,',
22458:'or an award of a contract does not comply with a statute or regulation, the gao may recommend that the',
22459:'agency pay to an appropriate protester the cost, exclusive of profit, of filing and pursuing the protest,including reasonable attorney, consultant,and',
22460:'expertwitness fees, and bid and proposal preparation costs. the agency shall use funds available for the procurement to pay the',
22461:'costs awarded. 2 the protester shall file itsclaim for costs with the contracting agencywithin 60 days after receipt ofthe gao’s',
22462:'recommendation that the agency pay the protester its costs. failure to file the claim within that time may result in',
22463:'forfeiture of theprotester’s right to recover its costs. 3 the agency shall attempt to reach an agreement on the amount',
22464:'of costs to be paid. if the agency and the protester areunable to agree on theamount to be paid, thegao',
22465:'may,upon request ofthe protester, recommendto theagency the amount of costs that the agency should pay. 4 within 60 days after',
22466:'the gaorecommends the amount of costs the agencyshouldpaythe protester, the agency shall notify the gao of the action taken by',
22467:'the agency in response to the recommendation. 5 no agency shall pay a party,otherthan a smallbusinessconcern withinthe meaningof section 3a',
22468:'ofthe small business act see 2.101, small business concern, costs under paragraph h2 of this section i for consultant and',
22469:'expert witness fees that exceed the highest rate of compensation for expert witnesses paid by the government pursuant to 5',
22470:'u.s.c.3109 and 5 cfr 304.105; or iifor attorneys’ fees that exceed $150 per hour, unless the agency determines, based on',
22471:'the recommendation of thecomptroller generalon acasebycasebasis, that an increase in the cost of living or a special factor, such as',
22472:'the limited availability of qualified attorneys for the proceedings involved, justifies a higher fee. the cap placed on attorneys’ fees',
22473:'for businesses, other than small businesses, constitutes a benchmark as to a reasonable level for attorneys’ fees for small businesses.',
22474:'6 before paying a recommended award of costs, agency personnel should consult legal counsel. section 33.104h applies to all recommended',
22475:'awards of costs that have not yet been paid. 7 any costs the contractor receives under this section shall not',
22476:'be the subject of subsequent proposals, billings, or claims against the government, and those exclusions should be reflected in the',
22477:'cost agreement. 8 if the government pays costs, as provided in paragraph h1 of this section, where a postaward protest',
22478:'is sustained as the resultof an awardee’s intentionalor negligent misstatement, misrepresentation,or miscertification, the government may require the awardee to reimburse',
22479:'the government the amount of such costs. in addition to any other remedy available, and pursuant to the requirements of',
22480:'subpart 32.6,thegovernmentmaycollectthisdebtbyoffsettingtheamountagainstany payment due the awardee under any contract between the awardee and the government. 33.105 protest at the u.s.',
22481:'court of federal claims. procedures for protests at the u.s. court of federal claims are set forth in the rules',
22482:'of the u.s. court of federal claims. the rules may be found at http://www.uscfc.uscourts.gov/rulesandforms. subpart 33.1 protests 33.106 33.106 solicitation',
22483:'provision and contract clause. a thecontracting officer shall insert the provision at 52.2332, service of protest, in solicitations for contracts',
22484:'expected to exceed the simplified acquisition threshold. b the contractingofficer shall insertthe clause at 52.2333, protest after award, in all',
22485:'solicitations and contracts. if a cost reimbursement contract is contemplated, the contracting officer shall use theclause with itsalternate i. this',
22486:'page intentionally left blank. 33.18 subpart 33.2 disputes and appeals 33.204 subpart 33.2 disputes and appeals 33.201definitions. as used in',
22487:'this subpart accrual of a claim means the date when all events, that fix the alleged liability of either the',
22488:'government or the contractor and permit assertion of the claim, were known or should have been known. for liability to',
22489:'be fixed, some injury must have occurred. however,monetary damages need not have been incurred. alternative dispute resolution adr means any',
22490:'type of procedure or combination of procedures voluntarily used to resolve issues in controversy. these procedures may include, but are',
22491:'not limited to,conciliation, facilitation, mediation,factfinding, minitrials, arbitration, and use of ombudsmen. defective certification means a certificate which alters or otherwise',
22492:'deviates from the language in 33.207c or which is not executed by a person authorized to bind the contractor with',
22493:'respect to the claim. failure to certify shall not be deemed to be a defective certification. issue in controversy means',
22494:'a material disagreement between the government and the contractor that 1 may result in a claim; or 2 is all',
22495:'or part of an existing claim. misrepresentation of fact means a false statement of substantive fact, or any conduct which',
22496:'leads to the belief of a substantive fact material to proper understanding of the matter in hand, made with intent',
22497:'to deceive or mislead. 33.202disputes. 41 u.s.c. chapter 71, disputes, establishes procedures and requirements for asserting and resolving claims subject',
22498:'to the disputes statute. in addition, the disputes statute provides for a the payment of interest on contractor claims; b',
22499:'certification of contractor claims; and c a civil penalty for contractor claims that are fraudulent or based on a misrepresentation',
22500:'of fact. 33.203 applicability. a except as specified in paragraph b of this section, this part applies to any express',
22501:'or implied contract covered by the federal acquisition regulation. b this subpart does not apply to any contract with 1',
22502:'a foreign government or agency of that government; or 2 an international organizationor asubsidiary body ofthat organization, if theagency head',
22503:'determines that the application of the disputes statute to the contract would not be in the public interest. c this',
22504:'part applies toalldisputes with respectto contracting officerdecisions on matters arisingunder or relating to a contract. agency boards of contract appeals',
22505:'bcas authorized under the disputes statute continue to have all of the authority they possessed before the disputes statute with',
22506:'respect to disputes arising under a contract, as well as authority to decide disputes relating to a contract. the clause',
22507:'at 52.2331, disputes, disputes, recognizes the all disputes authority established by the disputes statute and states certain requirements and limitations',
22508:'of the disputes statute for the guidance of contractors and contracting agencies. theclause isnot intended to affectthe rightsand obligationsof the',
22509:'parties as provided by the disputes statute or to constrain the authority of the statutory agency bcas in the handling',
22510:'and deciding of contractor appeals under the disputes statute. 33.204 policy. the government’s policy is to try to resolve all',
22511:'contractual issues in controversy by mutual agreement at the contracting officer’s level. reasonable efforts should be made toresolve controversiesprior to',
22512:'the submission of a claim. agencies are encouraged to use adr procedures tothe maximum extentpracticable. certain factors, however, may make',
22513:'the use of adr inappropriate see 5 u.s.c. 572b. except for arbitration conducted pursuant to the administrative dispute resolution act',
22514:'adra, 5 u.s.c.571, etseq. agencies have authority which is separate from that provided by the adra to use adr procedures',
22515:'to resolve issues in controversy. agenciesmay alsoelect to proceed under the authority and requirements of the adra. federal acquisition regulation',
22516:'33.205relationship of the disputes statute to pub. l.85804. a requests for relief under public law85804 50 u.s.c. 14311435 are not',
22517:'claims within the disputes statute or the disputes clause at 52.2331, disputes, and shall be processed under subpart 50.1, extraordinary',
22518:'contractual actions. however, relief formerly available only under public law85804; i.e., legal entitlement to rescission or reformation for mutual mistake,is',
22519:'now available within the authority of thecontracting officer underthe contract disputes statute and the disputes clause. in case of a',
22520:'question whether the contracting officer has authority to settle ordecidespecific types of claims, thecontracting officer should seek legal advice. b',
22521:'a contractor’s allegation thatitis entitled to rescission or reformation of its contractin order to correct or mitigate theeffect ofa mistake',
22522:'shall be treatedas a claim underthe disputes statute. a contract may bereformedor rescindedby thecontracting officer if the contractor wouldbe entitled',
22523:'to such remedy or relief under the law of federal contracts. due to thecomplex legalissues likely to be associatedwith allegations',
22524:'of legal entitlement, contractingofficers shall make written decisions, prepared with the advice and assistance of legal counsel, either granting or',
22525:'denying relief in whole or in part. c a claim that is either denied or not approved in its entirety',
22526:'under paragraph b of this section may be cognizable as a request for relief under public law85804 as implemented by',
22527:'subpart 50.1.however,theclaimmustfirstbesubmitted to the contracting officerforconsideration under the disputes statute because the claimis not cognizable under public law85804, as implemented',
22528:'by subpart 50.1, unless other legal authority in the agency concerned is determined to be lacking or inadequate. 33.206initiation of',
22529:'a claim. a contractor claims shall besubmitted,in writing, to the contracting officer for adecision within 6 years after accrual of',
22530:'a claim, unless the contracting parties agreed to a shorter time period. this 6year time period does not apply to',
22531:'contracts awarded prior to october 1,1995. the contractingofficer shall document the contract file with evidence ofthe dateof receipt of any',
22532:'submission from the contractordeemed to be a claimby the contractingofficer. b the contractingofficer shall issue a written decision on any',
22533:'government claiminitiated againsta contractorwithin 6 years after accrual of the claim, unless the contracting parties agreed to a shorter time',
22534:'period. the 6year period shall not apply to contracts awarded prior to october 1,1995, or to a government claim based',
22535:'on a contractor claim involving fraud. 33.207contractor certification. a contractors shall provide the certification specified in paragraph c of this',
22536:'section when submitting any claim exceeding $100,000. b the certification requirement does not apply to issues in controversy that have',
22537:'not been submitted as all or part of a claim. c the certification shall state as follows: i certify that',
22538:'the claim is made in good faith; that the supporting data are accurate and complete to the best of my',
22539:'knowledge and belief; that the amount requested accurately reflects the contract adjustment for which the contractor believes thegovernment is liable;',
22540:'and that i am duly authorizedto certify theclaim on behalf of the contractor. d the aggregate amount of both increased',
22541:'and decreased costs shall be used in determining when the dollar thresholds requiring certification are met see example in 15.4034a1iii',
22542:'regarding certified cost or pricing data. e the certification may be executed by any person authorized to bind the contractor',
22543:'with respect to the claim. f a defective certification shall not deprive a court or an agency bca of jurisdiction',
22544:'over that claim. prior to the entry of a final judgment by a courtor adecision by an agency bca, however,',
22545:'the court oragency bca shall require adefective certification to be corrected. 33.208 interest on claims. a thegovernment shall pay intereston',
22546:'a contractor’s claim on theamount found dueandunpaid from the date that 1 the contractingofficer receives the claim certified if required',
22547:'by 33.207a; or 2 payment otherwise would be due, if that date is later, until the dateof payment. b simple',
22548:'intereston claims shall be paid at therate, fixed by thesecretaryof the treasury as provided in the disputes statute, which isapplicable',
22549:'to the period during which the contracting officerreceives theclaim and then at the rate applicable for each 6month period as',
22550:'fixed by thetreasury secretary during the pendency of the claim. see theclause at 52.23217 for the right of thegovernmentto collect',
22551:'interest onits claims againsta contractor. c with regard to claims having defectivecertifications,interest shall be paid from either the date that',
22552:'the contracting officer initially receives the claim oroctober29,1992, whichever is later. however, if a contractor has provided aproper subpart 33.2',
22553:'disputes and appeals 33.211 certificate prior to october 29,1992, after submission of a defective certificate, interest shall be paid from',
22554:'the date of receipt by the government of a proper certificate. 33.209suspected fraudulent claims. if the contractor is unable to',
22555:'support any part of the claim and there is evidence that the inability is attributable to misrepresentation of fact or',
22556:'to fraud on thepart of thecontractor, the contracting officer shall refer thematter tothe agency official responsible for investigatingfraud. 33.210 contracting',
22557:'officer’sauthority. except as provided in this section, contracting officers are authorized, within any specific limitations of their warrants, to decide',
22558:'or resolve all claims arising under or relating to a contract subject to the disputes statute. in accordance with agency',
22559:'policies and 33.214, contracting officersare authorized to useadr procedures to resolve claims. the authority to decide or resolve claims does',
22560:'not extend to a a claim or dispute for penalties or forfeitures prescribed by statute or regulation that another federal',
22561:'agency is specifically authorizedto administer, settle, or determine; or b the settlement, compromise, payment, or adjustment of any claim involving',
22562:'fraud. 33.211contractingofficer’s decision. a when a claim by or against a contractor cannot be satisfied or settled by mutual agreement',
22563:'and a decision on the claim is necessary, the contracting officer shall 1 review the facts pertinent to the claim;',
22564:'2 secure assistance from legal and other advisors; 3 coordinate with the contract administration officer or contracting office,as appropriate; and',
22565:'4 prepare a written decision that shall include i a description of the claim or dispute; ii a reference to',
22566:'the pertinent contract terms; iii a statement of the factual areas of agreement and disagreement; iv a statement of thecontracting',
22567:'officer’s decision, withsupporting rationale; v paragraphs substantially as follows: this is the final decision ofthe contracting officer. you may appeal',
22568:'this decision to the agency boardof contractappeals. if you decide to appeal, you must, within 90 days from the date',
22569:'you receive this decision, mail or otherwise furnish written notice to the agency board of contractappeals and provide a copy',
22570:'to the contracting officer from whose decision this appeal is taken. thenotice shall indicate thatan appeal is intended,reference this decision,',
22571:'and identify the contract by number. with regardto appealsto theagency board of contract appeals, you may,solely at yourelection,proceed under the',
22572:'board’s 1 small claim procedure for claims of $50,000 orless or, inthe case of a small business concernasdefined inthe small',
22573:'business act and regulations under that act, $150,000 or less; or 2 accelerated procedure for claims of $100,000 or less.',
22574:'instead of appealing to the agency board of contract appeals, you may bring an action directly in the united states',
22575:'court of federal claims except as provided in 41 u.s.c. 7102d, regarding maritime contracts within 12 months of the date',
22576:'you receive this decision; and vi demand for payment prepared in accordance with 32.604 and 32.605 in all cases where',
22577:'the decision results in a finding that the contractor is indebted to the government. b the contractingofficer shall furnisha copy',
22578:'of the decision to the contractor bycertifiedmail, return receipt requested, or by any other method that provides evidence of receipt.',
22579:'this requirement shall apply to decisions on claims initiated by or against the contractor. c thecontracting officer shall issue the',
22580:'decision within the following statutory time limitations: 1 for claims of $100,000 or less, 60 days after receiving a written',
22581:'request from the contractor that a decision be rendered within that period, or within a reasonable time after receipt of',
22582:'the claim if the contractor does not make such a request. 2 for claims over$100,000, 60 days afterreceiving a certified',
22583:'claim;provided, however, that ifa decisionwill not beissuedwithin 60 days,the contracting officershallnotify the contractor,within that period, of the timewithin which a',
22584:'decision will be issued. federal acquisition regulation d the contractingofficer shall issue a decision within a reasonable time, takinginto account',
22585:'1 the size and complexity of the claim; 2 the adequacyof the contractor’s supporting data; and 3 any other relevant',
22586:'factors. e thecontracting officer shall have no obligationto render a final decision on any claim exceeding $100,000 which contains a',
22587:'defective certification, if within 60 days afterreceipt of theclaim, the contracting officer notifies the contractor,in writing, of the reasons why',
22588:'any attempted certification was found to be defective. f in the event of undue delay by the contracting officer in',
22589:'rendering a decision ona claim, the contractor mayrequest the tribunal concerned to directthe contracting officerto issue a decision in a',
22590:'specified time period determinedby the tribunal. g any failure of the contracting officerto issuea decisionwithin therequired timeperiodswill be deemed adecision',
22591:'by thecontracting officer denying the claim and willauthorize thecontractor to file anappealor suit on theclaim. h the amount determined payable',
22592:'under the decision, lessany portion already paid, should be paid, if otherwise proper, without awaiting contractor action concerning appeal. such',
22593:'payment shall be without prejudice to the rights of either party. 33.212 contracting officer’sduties upon appeal. to the extent permitted',
22594:'by any agency procedures controlling contacts withagency bca personnel,the contracting officer shall provide data, documentation, information, and support as may',
22595:'be required by the agency bca for use on a pending appeal from the contractingofficer’s decision. 33.213obligation to continue performance.',
22596:'a in general, before passage of the disputes statute, the obligation to continue performance applied only to claims arising undera',
22597:'contract. however,the disputes statute, at 41 u.s.c. 7103g, authorizes agencies to require a contractor to continue contract performance in accordance',
22598:'with the contracting officer’sdecision pending a final resolution of any claim arising under, or relating to, the contract. a claim',
22599:'arising under a contract is a claim that can be resolved under a contract clause, other than the clause at',
22600:'52.2331,disputes,that provides for the relief sought by the claimant; however, relief for suchclaim can also be sought under the clause',
22601:'at 52.2331. a claim relating to a contract is a claim that cannot be resolved under a contract clause other',
22602:'than the clause at 52.2331. this distinction is recognized by the clause with its alternatei see 33.215. b in all',
22603:'contracts that include the clause at 52.2331, disputes, with its alternatei, in the event of a dispute not arising under,',
22604:'but relating to, the contract, the contracting officer shall consider providing, through appropriate agency procedures, financing ofthe continued performance; provided,that',
22605:'the government’s interest is properly secured. 33.214 alternative dispute resolution adr. a the objective of using adr procedures is to',
22606:'increase the opportunity for relatively inexpensive and expeditious resolution of issues incontroversy. essential elements of adr include 1 existence of',
22607:'an issue in controversy; 2 a voluntary election by both parties to participate in the adr process; 3 an agreement',
22608:'on alternative procedures and terms to be used in lieu of formal litigation; and 4 participation in the process by',
22609:'officials of both parties who have the authority to resolve the issue in controversy. b if the contracting officer rejects',
22610:'a contractor’s request for adr proceedings, the contractingofficer shall provide the contractor a written explanation citing one or more of',
22611:'the conditions in 5 u.s.c. 572b or such other specific reasons that adr procedures are inappropriate for the resolution of',
22612:'the dispute. in any case where a contractor rejects a request of anagency for adr proceedings, the contractorshallinform theagency in',
22613:'writing of the contractor’s specific reasons for rejecting the request. c adr procedures may be used at any time that',
22614:'the contracting officer has authorityto resolve the issue in controversy. if a claim has been submitted, adr procedures may be',
22615:'applied to all or a portion of the claim. when adr procedures areused subsequent tothe issuance of a contracting officer’s',
22616:'final decision, their usedoes not alter any of the time limitations or procedural requirements for filingan appeal of the contracting',
22617:'officer’s final decision and does not constitutea reconsideration of the final decision. d when appropriate, a neutral person may be',
22618:'used to facilitate resolution of the issue in controversy using the procedures chosen by the parties. e the confidentiality of',
22619:'adr proceedings shall be protected consistent with 5 u.s.c. 574. subpart 33.2 disputes and appeals 33.215 f 1asolicitationshallnotrequirearbitrationasaconditionofaward,unlessarbitrationisotherwiserequiredbylaw. contracting officersshouldhaveflexibilityto',
22620:'select the appropriate adr procedure to resolve the issues in controversy as they arise. 2 an agreement to use arbitration',
22621:'shall be in writing and shall specify a maximum award that may be issued by the arbitrator, as well asanyotherconditions',
22622:'limitingthe range of possible outcomes. g binding arbitration, as an adr procedure, may be agreed to only as specified in',
22623:'agency guidelines. such guidelines shall provide advice on the appropriate use of binding arbitration and when an agency has authority',
22624:'to settle an issue in controversy through binding arbitration. 33.215contract clauses. a insert the clause at 52.2331, disputes, in solicitations',
22625:'and contracts, unless the conditions in 33.203b apply. ifitis determined under agency procedures that continued performance is necessary pending resolution',
22626:'of any claim arising under or relating to the contract, thecontracting officer shall use the clause with its alternatei. b',
22627:'insert the clause at 52.2334 in all solicitations and contracts. this page intentionally left blank. 33.26 part 34 major system',
22628:'acquisition sec. 34.000 scope of part. 34.001 definition. 34.002 policy. 34.003 responsibilities. 34.004 acquisition strategy. 34.005 general requirements. 34.0051 competition.',
22629:'34.0052 missionoriented solicitation. 34.0053 concept exploration contracts. 34.0054 demonstration contracts. 34.0055 fullscale development contracts. 34.0056 full production. 34.100 34.101 34.102',
22630:'34.103 34.104 34.201 34.202 34.203 subpart 34.1 testing, qualification and use of industrialresourcesdeveloped under titleiii, defense productionact scope of subpart.',
22631:'definitions. policy. testing and qualification. contract clause. subpart 34.2 earned value management system policy. integrated baseline reviews. solicitation provisions and',
22632:'contract clause. this page intentionally left blank. 34.0052 34.000scope of part. this part describes acquisition policies and procedures for use',
22633:'in acquiring major systems consistent with omb circular no. a109; andthe use of anearned valuemanagement system inacquisitions designated as major',
22634:'acquisitionsconsistent withombcirculara11,part 7. 34.001definition. effective competition, as used in this part, is a market condition that exists when two or',
22635:'more contractors, acting independently, actively contend for the government’s business ina manner that ensures thatthe government will be offered the',
22636:'lowest cost or price alternative or best technical design meeting its minimum needs. 34.002 policy. the policies of this partare',
22637:'designed to ensurethat agenciesacquire major systems in the mosteffective, economical, and timelymanner. agencies acquiring major systemsshall a promote innovation and',
22638:'full and open competition as required by part 6 in the development of major system concepts by 1 expressing agencyneeds',
22639:'and major system acquisition program objectivesin terms of theagency’s mission and not in terms of specified systems to satisfy needs,',
22640:'and 2 focusing agency resources and special management attention on activities conducted in the initial stage of major programs; and',
22641:'b sustain effective competition between alternative system concepts and sources for as long as it is beneficial. 34.003responsibilities. a as',
22642:'required by a109, the agency head or designee shall establish written procedures for its implementation. b the agency procedures shall',
22643:'identify the key decision points of each major system acquisition and the agency officialsformaking those decisions. c systems acquisitions normally',
22644:'designated as major are those programs that, as determined by the agency head, 1 are directed at and criticalto fulfilling',
22645:'an agency mission need,2entail allocating relatively large resources for theparticular agency, and 3 warrant special management attention, including specific agencyheaddecisions.',
22646:'the agency procedures may establish additional criteria, as specified in a109, for designating major programs system acquisitions. 34.004 acquisition strategy.',
22647:'the program manager, as specified in agency procedures, shall develop an acquisition strategy tailored to the particular major system acquisition',
22648:'program. this strategy isthe program manager’s overall plan for satisfying the mission need in themost effective,economical, and timely manner. the',
22649:'strategyshallbe inwriting and prepared in accordance withthe requirements of subpart 7.1, except where inconsistent with this part, and shall qualify',
22650:'as the acquisition plan for the major system acquisition, as required by that subpart. 34.005 generalrequirements. 34.0051 competition. a the',
22651:'program manager shall, throughout the acquisition process, promote full and open competition and sustain effective competition between alternative major system',
22652:'concepts and sources,as long as it is economically beneficial and practicable to doso. notice of the proposed acquisition shall begiven',
22653:'the broadest and mosteffective circulationpracticable throughoutthe business, academic, and government communities. foreign contractors, technology, and equipmentmay be considered when it',
22654:'is feasible and permissible to do so. b the contractingofficer should time solicitation issuance and contract award tomaintaincontinuity of concept',
22655:'development during the transition from withdrawing concept proposer to new contractor. 34.0052 missionoriented solicitation. a before issuingthe solicitation, whenever practicable',
22656:'and consistentwith agency procedures, the contracting officer should take the actions outlined in paragraphs a1 and 2: 1 advance notification',
22657:'of the acquisition should be given the widest practicable dissemination, including publicizing through the governmentwide point of entry see subpart',
22658:'5.2 and should be sent to as wide a selection of potential sources as 34.0053 federal acquisition regulation practicable, including',
22659:'smaller and newer firms, government laboratories, federally funded research and development centers, educationalinstitutions and other notforprofit organizations, and, ifitwouldbe beneficial',
22660:'and is notprohibited, foreign sources. 2 if appropriate, hold a presolicitation conference see 15.201 and/or send copies of the proposed',
22661:'solicitation to allprospective offerors for theircomments. after evaluation ofthese comments, the solicitation should be revised, if appropriate. b the contractingofficer',
22662:'shall send the final solicitation to all prospective offerors. it shall 1 describe the nature of the need in terms',
22663:'of mission capabilities required, without reference to any specific systems to satisfy the need; 2 indicate, and explain when appropriate,',
22664:'the schedule, capability,andcostobjectives and any knownconstraints in the acquisition; 3 provide, or indicate how access can be obtained to, all',
22665:'government data related to the acquisition; 4 include selection requirements consistent with the acquisition strategy; and 5 clearly state that',
22666:'each offeroris free topropose itsown technical approach, main design features, subsystems,and alternatives to schedule, cost, and capability goals. 6 require',
22667:'the use of an earned value management system that complies withthe guidelines of electronic industries alliance standard 748 eia748 current',
22668:'version at time of solicitation. see 34.201 for earned value management systems and reporting requirements. c to the extentpracticable, the',
22669:'solicitation shall notreference or mandate government specifications orstandards, unless the agency is mandating a subsystem or other component as approved',
22670:'under agency procedure. 34.0053 concept exploration contracts. whenever practicable, contracts to be performed during the concept exploration phase shall be',
22671:'for relatively short periods, at planned dollar levels. thesecontracts are to refine the proposed concept and to reduce the concept’s',
22672:'technical uncertainties. the scopeof work for this phase of the program shall beconsistent with the government’s planned budget for the',
22673:'phase. followon contracts for such tasks in the exploration phase shall be awarded as long as the concept approach remains',
22674:'promising, the contractor’s progress is acceptable, and it is economically practicable to do so. 34.0054 demonstration contracts. whenever practicable, contracts',
22675:'for the demonstration phase should provide for contractors to submit, by the end of the phase, priced proposals, totallyfunded by',
22676:'the government, for fullscale development. thecontracting officer should provide contractors with operational test conditions, performance criteria, life cycle cost factors,',
22677:'and any other selection criteria necessary for the contractors to prepare their proposals. 34.0055 fullscale development contracts. whenever practicable, the',
22678:'fullscale development contracts should provide for the contractors to submit priced proposals for production that are based on the latest',
22679:'quantity, schedule, and logisticsrequirements and other considerations that willbe used in making the production decision. 34.0056full production. contracts for full',
22680:'production of successfully tested major systems selected from the fullscale development phase may be awarded if the agency head a',
22681:'reaffirmsthe mission need and program objectives; and b grants approval to proceed with production. subpart 34.1 testing, qualification and use',
22682:'of industrial resources developed under titleiii, defense production act 34.100scope of subpart. this subpart prescribes policies and procedures for the',
22683:'testing, qualification, and use of industrial resources manufactured or developed with assistance provided under section 301, 302, or 303 of',
22684:'the defense production act 50 u.s.c. app.20912093. titleiii of the defense production act authorizes various forms of government assistance to',
22685:'encourage expansion of production capacity and supply of industrial resources essential to national defense. subpart 34.1 testing, qualification and use',
22686:'of industrial resources developed under titleiii, defense production act 34.104 34.101definitions. item of supply,as used in this subpart, means any',
22687:'individual part, component, subassembly, assembly,or subsystem integral to a major system, and other property which may be replaced during the',
22688:'service life of the system. the term includes spare parts and replenishment parts, but does not include packaging or labeling',
22689:'associated with shipment or identification of an item. 34.102 policy. it is the policy of the government, as required by',
22690:'section 126 of public law102558, to pay for any testing and qualification required for the use or incorporation of the',
22691:'industrial resources manufactured or developed with assistance provided undertitleiii of the defense production act of1950. 34.103 testing and qualification. a',
22692:'contractorsreceiving requests froma titleiii project contractorfortesting and qualification of a titleiii industrial resource shall refer such requests tothe contracting officer.',
22693:'the contracting officer shall evaluate the request in accordance with agencyprocedures to determine whether: 1 the titleiiiindustrial resource is being',
22694:'or potentially may be used in the development or manufacture of a major system or item of supply; and 2',
22695:'for major systems in production, remaining quantitiesto beacquired are sufficient tojustify incurring the cost of testing and qualification. in evaluating',
22696:'this request, the contracting officershallconsult with the defense production act office, titleiii program,locatedat: wright patterson air force base oh 454337739.',
22697:'b if the determination at 34.103a isaffirmative, the contracting officer shall modify the contract to require the contractor to test',
22698:'the titleiii industrial resource for qualification. c thedefense productionactoffice, titleiii program, shall provide to the contractorthe industrial resource produced by',
22699:'the titleiii project contractor in sufficient amounts to meet testing needs. 34.104contract clause. insert the clause at 52.2341, industrial resources',
22700:'developed under titleiii, defense production act,in all contracts for major systemsand items of supply. this page intentionally left blank. 34.14',
22701:'subpart 34.2 earned value management system 34.203 subpart 34.2 earned value management system 34.201 policy. a an earnedvalue management system',
22702:'evms isrequired for major acquisitions for development, inaccordance with ombcircular a11. the government may also require an evmsforother acquisitions, in',
22703:'accordance with agency procedures. b if the offerorproposesto use a system that has not been determined to be in compliance',
22704:'withthe electronic industries alliance standard748 eia748, theofferor shall submit a comprehensive plan for compliance with theseevms standards. offerorsshallnot be eliminated',
22705:'from consideration for contract award because they do not have an evms thatcomplies with these standards. c as aminimum, contracting',
22706:'officers shall require contractors tosubmit evms monthly reports for those contracts for which an evms applies. d evms requirements will',
22707:'be applied to subcontractors usingthe same rulesas appliedto the prime contractor. e when an offeror is requiredto provide an evms',
22708:'plan as part of its proposal, the contractingofficer will determinethe adequacy of the proposed evms plan prior to contract award.',
22709:'34.202integrated baseline reviews. a when an evms is required, the government will conduct an integrated baseline review ibr. b the',
22710:'purpose of the ibr is to verify the technical content and the realism of the related performance budgets, resources, and',
22711:'schedules. it should provide a mutual understanding of theinherent risks in offerors’/ contractors’ performance plans and the underlying management control',
22712:'systems, and it should formulate a plan to handle these risks. c theibr isa joint assessment bythe offeror or contractor,',
22713:'and the government, of the 1 ability of theproject’s technical plan to achieve the objectivesof the scope of work; 2',
22714:'adequacy of the time allocated for performing the defined tasks to successfully achieve the project schedule objectives; 3 ability of',
22715:'the performance measurement baseline pmb to successfully execute the project and attain cost objectives, recognizing the relationship between budget resources,',
22716:'funding, schedule, and scope of work; 4 availability ofpersonnel, facilities, and equipment whenrequired,to perform the defined tasksneeded to execute the',
22717:'program successfully; and 5 the degree towhich the managementprocess provides effective and integrated technical/schedule/cost planningand baseline control. d the timing',
22718:'and conduct of the ibr shall be in accordance with agency procedures. if a preaward ibr will be conducted, the',
22719:'solicitation must includethe procedures for conducting theibr and address whether offerors will be reimbursedforthe associated costs. if permitted, reimbursement of',
22720:'offerors’ preaward ibr costs is governed bythe provisions of far part 31. 34.203 solicitation provisions and contract clause. a thecontracting',
22721:'officer shall insert aprovision thatis substantiallythe same as theprovision at far 52.2342, notice of earned value management systempreaward integrated baselinereview,',
22722:'in solicitations for contracts thatrequire the contractor to use an earned value managementsystemevms and for which the government requires an',
22723:'integrated baseline review ibr prior to award. b the contractingofficer shall inserta provision that is substantially the sameas the provision',
22724:'at 52.2343, notice of earned value managementsystempostaward integrated baseline review, in solicitations for contracts that require the contractor to use',
22725:'an earned value managementsystemevms and for which the government requires an integrated baseline review ibr after contract award. c thecontracting',
22726:'officer shall insert aclause that is substantially the same as the clauseat far 52.2344, earned value management system, in solicitations',
22727:'and contracts that require a contractor to use an evms. this page intentionally left blank. 34.22 part 35 research and',
22728:'development contracting sec. 35.000 scope of part. 35.001 definitions. 35.002 general. 35.003 policy. 35.004 publicizing requirements and expanding research and',
22729:'development sources. 35.005 work statement. 35.006 contracting methods and contract type. 35.007 solicitations. 35.008 evaluation for award. 35.009 subcontracting research',
22730:'and development effort. 35.010 scientific and technical reports. 35.011 data. 35.012 patent rights. 35.013 35.014 35.015 35.016 35.017 35.0171 35.0172',
22731:'35.0173 35.0174 35.0175 35.0176 35.0177 insurance. government property and title. contracts for research with educational institutions and nonprofit organizations. broad',
22732:'agency announcement. federally funded research and development centers. sponsoring agreements. establishing or changing an ffrdc. using an ffrdc. reviewingffrdc’s. terminatingan',
22733:'ffrdc. master listof ffrdc’s. limitation on the creation of newffrdc’s. this page intentionally left blank. part 35 research and development',
22734:'contracting 35.005 35.000scope of part. a this part prescribes policies and procedures of special application to research and development r&d',
22735:'contracting. b r&d integral to acquisition of major systems is covered in part 34. independent research and development ir&d is',
22736:'covered at 31.20518. 35.001definitions. applied research means the effort that a normally follows basic research, but may not be severable',
22737:'from the related basic research; b attempts to determine and exploit thepotentialof scientificdiscoveries or improvements in technology, materials, processes, methods,',
22738:'devices, or techniques; and c attempts to advance the state of the art. when being used by contractors in cost',
22739:'principle applications, this term does not include efforts whose principal aim is the design, development, or testing of specific items',
22740:'or services to be considered for sale; these efforts are within the definition of development, given below. development, as used',
22741:'in this part, means the systematic use of scientific and technical knowledge in the design, development, testing, or evaluation of',
22742:'a potential new product or service or of an improvement in an existing product or service to meet specific performance',
22743:'requirements or objectives. it includes the functions of design engineering, prototyping, and engineering testing; it excludes subcontracted technical effort that',
22744:'is for the sole purpose ofdeveloping an additional source for an existing product. recoupment, as used in this part, means',
22745:'the recovery by the government of governmentfunded nonrecurring costs from contractors that sell, lease, or license the resulting products or',
22746:'technology to buyers other than the federal government. 35.002general. the primary purpose of contracted r&d programs is to advance scientific',
22747:'and technical knowledge and apply that knowledge to the extent necessary to achieve agency and national goals. unlike contracts for',
22748:'supplies and services, most r&d contracts are directed toward objectives for which the work or methods cannot be precisely described',
22749:'in advance. it is difficult to judge the probabilities of success or required effort for technical approaches, some of whichoffer',
22750:'little or no early assurance of full success. the contracting process shall be used to encourage the best sources from',
22751:'the scientific and industrial community to become involved in the program and must provide an environment in which the work',
22752:'can be pursued with reasonable flexibility and minimum administrative burden. 35.003 policy. a use of contracts. contracts shall be used',
22753:'only when the principal purpose is the acquisition of supplies or services for the direct benefit or use of the',
22754:'federal government. grants or cooperative agreements should be used when the principal purpose of the transaction is to stimulate or',
22755:'support research and development for another public purpose. b cost sharing. cost sharing policies which are not otherwise required by',
22756:'law under government contracts shall be in accordance with 16.303, 42.707a and agency procedures. c recoupment. recoupment not otherwise required',
22757:'by law shall be in accordance with agency procedures. 35.004 publicizingrequirements and expanding research and development sources. a inorder to',
22758:'obtain a broad base of the best contractorsources from the scientific and industrialcommunity, agencies must, in addition to following the',
22759:'requirements of part 5, continually search for and develop information on sources including small business concerns competent to perform r&d',
22760:'work. these efforts should include 1 early identification and publication of agency r&d needs and requirements, including publicizing through the',
22761:'governmentwide point of entry gpe see part 5; 2 cooperationamong technical personnel,contracting officers, and government small businesspersonnel early in the',
22762:'acquisition process; and 3 providing agency r&d points of contact for potential sources. b see subpart 9.7 for information regarding',
22763:'r&d pools and subpart 9.6 for teaming arrangements. 35.005 workstatement. a a clear and complete work statement concerning the area',
22764:'of exploration for basic research or the end objectives for development and applied research is essential. the work statement should',
22765:'allow contractors freedom to exercise innovation and creativity. workstatementsmust be individually tailored by technical and contractingpersonnel to attain the desired',
22766:'degree of flexibility for contractor creativity and the objectives of the r&d. federal acquisition regulation b in basic research the',
22767:'emphasis is on achieving specified objectives and knowledge rather than on achieving predetermined end results prescribed in a statement of',
22768:'specific performance characteristics. this emphasis applies particularly during the early or conceptual phasesof the r&deffort. c inreviewing work statements, contractingofficers',
22769:'should ensure that language suitable for a levelofeffortapproach, which requires the furnishing of technicaleffort and areport on the results, is',
22770:'notintermingled withlanguage suitablefor a taskcompletion approach, which often requires the development of a tangible end item designed to achieve specific',
22771:'performance characteristics. the wording of the work statement should also be consistent with the type and form of contract to',
22772:'be negotiated see 16.207 and 16.306d. for example, the work statement for a costreimbursement contract promising thecontractor’sbest efforts for a',
22773:'fixed term would bephrased differently than a work statement for acostreimbursement completion contract promising the contractor’s best efforts for adefined',
22774:'task. differences betweenwork statements for fixed price contractsandcostreimbursementcontracts should be even clearer. d in preparing work statements, technical and contracting',
22775:'personnel shall consider and, as appropriate, provide in the solicitation 1 a statement of thearea of exploration, tasks to be',
22776:'performed, and objectives of the research or development effort; 2 background information helpful to a clear understanding of the objective',
22777:'or requirement e.g., any known phenomena,techniques, methodology, or resultsof related work; 3 information on factors such as personnel, environment, and',
22778:'interfaces that may constrain the resultsof the effort; 4 reporting requirements and information on any additional items that the contractor',
22779:'is required to furnish at specified intervals as the work progresses; 5 the typeandform ofcontract contemplatedby the government and, for',
22780:'levelofeffort work statements, an estimate of applicable professional and technical effort involved; and 6 any other considerations peculiar to the',
22781:'work to be performed; for example, any designtocost requirements. 35.006contracting methods and contract type. a in r&d acquisitions, the precise',
22782:'specifications necessary for sealed bidding are generally not available, thus making negotiation necessary. however, the use ofnegotiation in r&d contracting',
22783:'does not change the obligation to comply with part 6. b selectingthe appropriate contract type is the responsibility of the',
22784:'contracting officer. however, because of the importance of technical considerations in r&d, the choice of contract type should be made',
22785:'after obtaining the recommendations of technical personnel. although the government ordinarily prefers fixedprice arrangements in contracting, this preference applies in',
22786:'r&d contracting only to the extent that goals, objectives, specifications, and cost estimatesare sufficientto permit such apreference. theprecisionwith which the',
22787:'goals, performance objectives, and specificationsforthe work can be defined willlargely determinethe type ofcontract employed. thecontract typemust be selected to fit',
22788:'the work required. c because the absence of precise specifications and difficulties in estimating costs withaccuracy resulting ina lack of',
22789:'confidence in cost estimates normally precludes using fixedprice contracting for r&d, the use of costreimbursement contracts is usually appropriate see',
22790:'subpart 16.3. the nature of development work often requires a costreimbursement completion arrangement see 16.306d. when the use of cost',
22791:'and performance incentives is desirable and practicable, fixed price incentive and costplusincentivefee contracts should be considered in that order of',
22792:'preference. d when levels of effort canbe specified in advance, a shortdurationfixedpricecontract maybe useful for developing system design concepts, resolving',
22793:'potential problems, and reducing government risks. fixedprice contracting may also beused inminor projects when the objectives of the researchare well',
22794:'definedandthere is sufficient confidence in the cost estimate for price negotiations. see 16.207. e projects having productionrequirements as a followon',
22795:'to r&d efforts normally should progress from cost reimbursement contracts to fixedprice contracts as designs become more firmly established, risks',
22796:'are reduced, and production tooling, equipment, and processes are developed and proven. when possible, a final commitment to undertake specific',
22797:'product development and testing should be avoided until 1 preliminary exploration and studies have indicated a high degree of probability',
22798:'that development is feasible and 2 the government has determined both its minimum requirements and desired objectives for product performance',
22799:'and schedule completion. part 35 research and development contracting 35.007 35.007solicitations. a the submission and subsequent evaluation of an inordinate',
22800:'number of r&d proposals from sources lacking appropriate qualifications is costly and timeconsuming to both industry and the government. therefore,contracting',
22801:'officers should initially distribute solicitations only to sources technically qualified to perform research or development in the specific field of',
22802:'science or technology involved. cognizant technical personnel should recommend potential sources that appear qualified, as a result of 1 present',
22803:'and past performance of similar work; 2 professional stature and reputation; 3 relative position in a particular field of endeavor;',
22804:'4 ability to acquire and retain the professional and technical capability, including facilities, required toperformthe work; and 5 other relevant',
22805:'factors. b proposals generally shall be solicited from technically qualified sources, including sources that become known as a result of',
22806:'synopses or other means of publicizing requirements. if it is not practicable to initially solicit all apparently qualified sources,only a',
22807:'reasonable number need besolicited. in the interest of competition, contracting officers shall furnish copies of the solicitation to other apparently',
22808:'qualified sources. c solicitations shall require offerors to describetheir technical and management approach, identify technical uncertainties, and make specific proposals',
22809:'for the resolution of any uncertainties. thesolicitation should require offerors to include in the proposal any planned subcontracting of scientific',
22810:'or technical work see 35.009. d solicitations may require that proposals be organized so that the technicalportions can be efficiently',
22811:'evaluated by technical personnel see 15.2045b. solicitation and evaluation of proposals should beplanned tominimize offerors’ and government expense. e r&d',
22812:'solicitations should contain evaluation factors to be used to determine the most technically competent see 15.304, such as 1 the',
22813:'offeror’sunderstanding ofthe scope of the work; 2 the approach proposed to accomplish the scientific and technical objectives of the contract',
22814:'or the merit of the ideas or concepts proposed; 3 the availability and competence of experienced engineering, scientific, or other',
22815:'technical personnel; 4 the offeror’sexperience; 5 pertinent novel ideas in the specific branch of science and technology involved; and 6',
22816:'the availability, from any source, of necessary research, test,laboratory, or shopfacilities. f in addition to evaluation factorsfortechnicalcompetence, the contracting officershallconsider,',
22817:'as appropriate, management capability including cost management techniques, experience and past performance, subcontracting practices, and any other significant evaluation criteria',
22818:'e.g., unrealistically low cost estimates in proposals for costreimbursement or fixedprice incentive contracts. although cost or price is not normally',
22819:'the controlling factor in selecting a contractor to perform r&d, it should notbe disregarded in arriving at a selection that',
22820:'best satisfies the government’s requirement at afair and reasonable cost. g the contractingofficer should ensure thatpotentialofferorsfullyunderstand the details ofthe work,',
22821:'especiallythe government interpretation ofthe work statement. if theeffort is complex, the contracting officer should providepotential offerors anopportunity tocomment on the',
22822:'details of therequirements as containedin the work statement, the contract schedule, and any related specifications. this may be done at',
22823:'a preproposal conference see 15.201. h if it is appropriate to do so, solicitations should permit offerors to propose an',
22824:'alternative contracttype see 16.103. i in circumstances when a concern has a new idea or product to discuss that incorporates',
22825:'the results of independent r&d work funded by the concern in the private sector and is of interest to the',
22826:'government, there should be no hesitancy to discuss it; however, the concern should bewarned that thegovernmentwill not beobligated by the',
22827:'discussion. under such circumstances, it may be appropriate to negotiate directly with the concern without competition. also, see subpart 15.6',
22828:'concerning unsolicited proposals. j the government may issue an exploratory request to determine the existence of ideas or prior work',
22829:'in a specific field of research. any such request shall clearly state that it does not impose any obligation on',
22830:'the government or signify a firm intention to enter into a contract. federal acquisition regulation 35.008evaluation for award. a generally,',
22831:'an r&dcontract should be awardedto that organization, including any educational institution, that proposes the best ideas or concepts and has',
22832:'the highest competence in the specific field of science or technology involved. however, an award should notbe made to obtaincapabilities',
22833:'that exceed those needed for successful performance ofthe work. b in r&dcontracting, precise specificationsare ordinarily not available. thecontracting officer should',
22834:'therefore take special care in reviewing the solicitation evaluation factors to assure that they are properly presented and consistent with',
22835:'the solicitation. c when a small business concern would otherwise be selected for award but is considered not responsible, the',
22836:'sba certificate of competency procedure shall be followed see subpart 19.6. dthecontractingofficershouldusetheproceduresin subpart 15.5tonotifyanddebriefofferors. e it is important to evaluate',
22837:'a proposed contractor’s cost orprice estimate,not only to determine whether the estimate is reasonable but also toprovide valuableinsight into the',
22838:'offeror’s understanding of theproject, perceptionof risks, and ability to organizeand perform the work. cost or price analysis, as appropriate see',
22839:'15.4041c, is a useful tool. 35.009 subcontracting research and development effort. since the selection of r&d contractors is substantially based',
22840:'on the best scientific and technological sources, it is important thatthe contractor notsubcontract technical or scientific work withoutthe contracting officer’s',
22841:'advance knowledge. during thenegotiation of a costreimbursement r&d contract, the contractingofficer shall obtaincomplete information concerning the contractor’s plans for subcontracting',
22842:'any portion ofthe experimental, research, or development effort see also 35.007c. also, when negotiating a fixedprice contract, thecontracting officer should',
22843:'evaluate this information and may obtain anagreement thatprotects the government’s interests. the clause at 52.2442, subcontracts, prescribed for certain types',
22844:'of contracts at 44.204a, requires thecontracting officer’sprior approvalforthe placement of certain subcontracts. 35.010 scientific and technical reports. a r&d contracts',
22845:'shall require contractors to furnish scientific and technical reports, consistent with the objectives of the effort involved, asa permanentrecord of',
22846:'the work accomplished under the contract. b agencies should make r&d contract results available to othergovernment activities and the private',
22847:'sector. contracting officersshallfollow agency regulations regarding suchmatters as national security, protectionof data, and new technology dissemination policy. reports should be',
22848:'sent to the nationaltechnicalinformation servicentis 5285port royal road springfield, va 22161. when agencies require that completed reports be covered by',
22849:'a report documentation page, standard form sf 298, report documentation page, the contractor should submit a copy with the report.',
22850:'35.011data. a r&d contracts shall specify the technical data to be delivered under the contract, since the data clauses required',
22851:'by part 27 do not require the delivery of any such data. b in planning a developmental program when subsequent',
22852:'production contracts are contemplated, consideration should be given to the need and time required to obtain a technical package plans,',
22853:'drawings, specifications, and other descriptive information that can be used to achieve competition in production contracts. in some situations, the',
22854:'developmental contractor may be in the best position to produce such a technical package. 35.012patent rights. for a discussion of',
22855:'patent rights, see agency regulations and part 27. 35.013insurance. nonprofit, educational, or state institutions performing costreimbursement contracts often do not',
22856:'carry insurance. they may claim immunity from liability for torts, or, as stateinstitutions, they maybe prohibited by state law from',
22857:'expending funds for insurance. when this is the case, see 28.311 for appropriate clause coverage. part 35 research and development',
22858:'contracting 35.015 35.014 governmentproperty andtitle. a the requirements in part 45 for establishing and maintaining control over government property apply',
22859:'to all r&d contracts. b in implementing 31 u.s.c.6306, and unless an agency head provides otherwise, the policies in paragraphs',
22860:'1 through 4 following, regarding title to equipment and other tangible personal property purchased by the contractor using government funds',
22861:'provided for the conduct of basic or applied scientific research, apply to contracts with nonprofit institutions of higher education and',
22862:'nonprofit organizations whoseprimary purposeis the conduct of scientific research: 1 if the contractor obtainsthe contracting officer’s advanceapproval,the contractor shall automatically',
22863:'acquire and retain title to any item of equipment costing less than $5,000 or a lesser amount established by agency',
22864:'regulations acquired on a reimbursable basis. 2 if purchased equipment costs $5,000 or a lesser amount established by agency regulations',
22865:'or more, and as the parties specifically agree in the contract, title may ivest in the contractor uponacquisition without further',
22866:'obligation to the government; iivest in the contractor, subject to the government’s right to direct transfer of the title to',
22867:'the government or to a third party within 12 months after the contract’s completion or termination transfer of title to',
22868:'the governmentor third party shall not be the basis for any claim by the contractor; or iii vest inthe government,',
22869:'ifthe contracting officerdeterminesthat vesting of title in the contractor would not furtherthe objectives ofthe agency’s research program. 3 if titleto',
22870:'equipment is vested in the contractor, depreciation, amortization, oruse charges are notallowable with respect to that equipment under any existing',
22871:'or future government contract or subcontract. 4 if the contract is performed at a government installation and there is a',
22872:'continuing need for the equipment following contract completion, title need not be transferred to the contractor. c the absence of',
22873:'an agreement covering title to equipment acquired by the contractor with government funds that cost $1,000 or more does not',
22874:'limit an agency’srightto act tovest titlein a contractor as authorized by31 u.s.c.6306. d 1vestingtitleunderparagraphbofthissectionissubjecttocivilrightslegislation,42u.s.c.2000d. beforetitleis vested, the contractor must agree',
22875:'that no person in the united states or its outlying areas shall, on the ground of race, color, or national',
22876:'origin, be excluded from participation in, be denied the benefits of, or be otherwise subjected to discrimination under this contemplated',
22877:'financial assistance title to equipment. 2 by signing the contract, the contractor accepts and agrees to comply with this requirement.',
22878:'e the policies in paragraphs b1 through b3 and paragraph d of this section are implemented in the government property',
22879:'clauses. 35.015 contractsfor researchwith educational institutions and nonprofit organizations. a general. 1 when the r&d work is not defined precisely',
22880:'and the contract states only a period during which work is conducted that is, a specific time for achievement of',
22881:'results is not required, research contracts with educational institutions and nonprofit organizations shall i state that the contractor bears primary',
22882:'responsibility for the research; ii give a the name of the principal investigator or project leader, if the decision to',
22883:'contract is based on that particular individual’s research effort andmanagementcapabilities; and b the contractor’s estimate of the amount of time',
22884:'that individual willdevote to the work; iii provide that the named individual shall be closely involved and continuously responsible for',
22885:'the conduct of the work; iv provide that the contractor must obtain thecontracting officer’s approval to change theprincipal investigator or',
22886:'project leader; v require that thecontractor advise the contracting officer if the principal investigator or project leaderwill, or plans to,',
22887:'devote substantially less effort to the workthan anticipated;and vi requirethat thecontractor obtain the contractingofficer’s approvalto change the phenomenon under study,the',
22888:'stated objectives ofthe research, or the methodology. 2 if a research contract does provide precise objectives or a specific date',
22889:'for achievement of results, the contracting officer may include in the contract the requirements set forth in paragraph a1 of',
22890:'this section,if it isnecessary for the government to exercise oversight and approval over the avenues of approach, methods, or schedule',
22891:'of work. federal acquisition regulation b basic agreements. 1 a basic agreement should be negotiated if the number of contracts',
22892:'warrants such an agreement see 16.702. basic agreements should be reviewed and updated at least annually. 2 to promote uniformity',
22893:'and consistency in dealing witheducational institutions and nonprofit organizations, agencies are encouraged to use basic agreements of other agencies. 35.016',
22894:'broadagencyannouncement. a general. this paragraph prescribes procedures for the use of the broad agency announcement baa with peer or scientific',
22895:'review see 6.102d2 for the acquisition of basic and applied research and that part of development not related to the',
22896:'development of a specific system or hardware procurement. baa’s may be used by agencies to fulfill their requirements for scientific',
22897:'study and experimentation directed toward advancing the stateoftheart or increasing knowledge or understanding rather than focusing on a specific system',
22898:'or hardware solution. the baa technique shall only be used when meaningful proposals with varying technical/scientific approaches can be reasonably',
22899:'anticipated. b the baa, together with any supporting documents, shall 1 describe the agency’s researchinterest, either for an individual program',
22900:'requirement or for broadly defined areas of interest covering thefull range of the agency’srequirements; 2 describe the criteria for selecting',
22901:'the proposals, their relative importance, and the method of evaluation; 3 specify the period of time during which proposals submitted',
22902:'in response to the baa will be accepted; and 4 contain instructions for the preparation and submission of proposals. c',
22903:'the availability of the baa must be publicized through the governmentwide point of entry gpe and, if authorized pursuant to',
22904:'subpart 5.5, may also be published in noted scientific, technical, or engineering periodicals. the notice must be published no lessfrequentlythan',
22905:'annually. d proposals received as a result of the baa shall be evaluated in accordance with evaluation criteria specified therein',
22906:'through a peer or scientific review process. written evaluation reports on individualproposalswill be necessary but proposals need not be evaluated',
22907:'against each other since they are not submitted in accordance with a common work statement. e the primary basis for',
22908:'selecting proposals for acceptance shall be technical, importance to agency programs, and fund availability. cost realism and reasonableness shall also',
22909:'beconsidered tothe extent appropriate. f synopsis under subpart 5.2, synopses of proposed contract actions, of individual contract actions based upon',
22910:'proposals received under the baa is not required. the notice published pursuant to paragraph c of this section fulfills the',
22911:'synopsis requirement. 35.017 federally funded research and development centers. a policy. 1 this section setsforth federal policyregardingthe establishment, use, review,',
22912:'and termination of federally funded research and development centers ffrdc’s and related sponsoring agreements. 2 an ffrdc meets some special',
22913:'longterm research or development need which cannot bemet as effectively by existinginhouse or contractor resources. ffrdc’s enable agencies to use',
22914:'private sector resourcesto accomplish tasks that areintegralto themissionandoperation of thesponsoring agency. an ffrdc, in orderto discharge its responsibilities to thesponsoring',
22915:'agency, has access, beyond that which iscommon to the normalcontractual relationship, to government and supplier data, including sensitive and proprietary',
22916:'data, and toemployees andinstallationsequipment and real property. the ffrdc is required to conduct its business in a manner befitting its',
22917:'special relationship with the government, to operate in the public interest with objectivity andindependence, to be free from organizational conflictsof',
22918:'interest, andto have fulldisclosure of itsaffairsto thesponsoring agency. it is not the government’sintent thatan ffrdcuse its privileged information or accessto',
22919:'installations equipment andreal property tocompete with the privatesector. however, an ffrdc may perform work for other than the sponsoring agency',
22920:'under the economy act, or other applicable legislation, when the work isnot otherwise available from theprivatesector. 3 ffrdc’s are operated,',
22921:'managed, and/or administeredby either a universityor consortium ofuniversities, other notforprofit or nonprofit organization, oran industrial firm, as an autonomous organization',
22922:'oras an identifiable separate operating unit of a parentorganization. 4 longterm relationships between the government and ffrdc’s are encouraged in',
22923:'orderto provide the continuity that will attract highquality personnel to the ffrdc. this relationship should be of a type to',
22924:'encourage the ffrdc to maintain currency in its fields of expertise, maintain its objectivity and independence, preserve its familiarity with',
22925:'the needs of its sponsors,and provide a quickresponse capability. b definitions. as used in this section part 35 research and',
22926:'development contracting 35.0172 nonsponsor means any other organization, in or outsideof the federal government, which funds specificwork to be performed',
22927:'by the ffrdc and is not a party to the sponsoring agreement. primary sponsor means the lead agency responsible for',
22928:'managing, administering, or monitoring overall use of the ffrdc under a multiple sponsorship agreement. sponsor means the executive agency which',
22929:'manages, administers, monitors, funds, and is responsible for the overall use of an ffrdc. multiple agency sponsorship ispossible aslong asone',
22930:'agency agrees to act as the primary sponsor. in the event of multiplesponsors, sponsor refers to the primary sponsor. 35.0171sponsoring',
22931:'agreements. a inorder to facilitate a longterm relationship between the government and an ffrdc, establish theffrdc’s mission, and ensure a',
22932:'periodic reevaluation of the ffrdc, a written agreement of sponsorship between the government and the ffrdc shall be prepared when',
22933:'the ffrdc is established. the sponsoring agreement may take various forms; it may be included in a contract between the',
22934:'government and the ffrdc, or in another legal instrument under which an ffrdc accomplishes effort, or it may be in',
22935:'aseparate writtenagreement. notwithstanding its form, the sponsoring agreement shall beclearly designatedas such by the sponsor. b while the specific content',
22936:'of any sponsoring agreement will vary depending on the situation, the agreement shall contain, as a minimum, therequirements of paragraph',
22937:'c ofthissubsection. the requirements for, and thecontents of, sponsoring agreements may be as further specified in sponsoring agencies’ policies and',
22938:'procedures. c as a minimum, the following requirements must be addressed in either a sponsoring agreement or sponsoring agencies’ policies',
22939:'and procedures: 1 a statement of the purpose and mission of the ffrdc. 2 provisions for the orderly termination or',
22940:'nonrenewal of the agreement, disposal of assets, and settlement of liabilities. the responsibility for capitalization of an ffrdc must be',
22941:'defined in such a manner that ownership of assets may bereadily andequitably determined upon termination ofthe ffrdc’s relationship with its',
22942:'sponsors. 3 a provision for the identification of retained earnings reserves and the development of a plan for their use',
22943:'and disposition. 4 a prohibition against the ffrdc competing with any nonffrdc concern in response to a federal agency request',
22944:'for proposal for other than the operation of an ffrdc. this prohibition is not required to be applied to any',
22945:'parent organization orothersubsidiary of the parent organization in its nonffrdc operations. requests for information, qualifications or capabilities can beanswered unless',
22946:'otherwise restricted by the sponsor. 5 a delineation of whether or not the ffrdc may accept work from other than',
22947:'the sponsors. if nonsponsor work can be accepted, a delineation of the procedures to be followed, along with any limitations',
22948:'as to the nonsponsors from which work canbe accepted other federal agencies, state or local governments, nonprofitor profit organizations, etc..',
22949:'d the sponsoring agreement or sponsoring agencies’ policies and procedures may also contain, as appropriate, other provisions, such as identification',
22950:'of 1 any cost elements which will require advance agreement if costtype contracts are used; and 2 considerations which will',
22951:'affect negotiation of fees where payment of fees is determinedby the sponsors to be appropriate. e theterm of the agreement',
22952:'will notexceed 5 years, butcan be renewed, as a resultof periodic review, in increments not to exceed 5 years. 35.0172',
22953:'establishing or changing an ffrdc. to establish an ffrdc, or changeits basic purpose and mission, the sponsor shall ensure the',
22954:'following: a existing alternativesources for satisfying agency requirements cannoteffectivelymeet thespecial researchor development needs. b the notices required for publication see',
22955:'5.205b are placed as required. c there issufficient government expertiseavailable to adequatelyand objectively evaluate the work to be performedby the',
22956:'ffrdc. d the executive office of thepresident, office of science and technology policy, washington, dc 20506, is notified. e controls',
22957:'are established to ensure that the costs of the services being provided to the government are reasonable. f the basic',
22958:'purpose and mission of theffrdc isstatedclearly enough to enable differentiation between work which should beperformed by the ffrdcandthat whichshouldbe performedby',
22959:'nonffrdc’s. 35.0173 federal acquisition regulation g a reasonable continuity in the level of support to the ffrdcis maintained, consistent with',
22960:'the agency’sneedforthe ffrdc and the terms of the sponsoring agreement. h the ffrdc is operated,managed, or administered by an autonomous',
22961:'organization or as anidentifiably separate operating unit of a parentorganization, and is required to operate in the public interest, freefrom',
22962:'organizational conflict of interest, and to disclose its affairs asan ffrdc to theprimary sponsor. i quantity production or manufacturing is',
22963:'not performed unless authorized by legislation. japproval is received from the head of the sponsoring agency. 35.0173 using an ffrdc.',
22964:'a allworkplacedwith the ffrdcmust be within the purpose, mission, general scope of effort,or specialcompetency of the ffrdc. b where the',
22965:'use of the ffrdcby a nonsponsoris permittedby the sponsor, the sponsor shall be responsible for compliance with paragraph a of',
22966:'this subsection. 1 the nonsponsoring agency shall provide the documentation required by 17.503eto the sponsoring agency. 2 when a d&f',
22967:'is required pursuant to 17.5022c, the nonsponsoring agency shall prepare the d&f and provide the documentation required by 17.503eto thesponsoring',
22968:'agency. 3 when permittedby the sponsor, afederal agencymay contractdirectlywith the ffrdc, in which case that federal agency is responsible for',
22969:'compliance with part 6. 35.0174reviewing ffrdc’s. a thesponsor, prior toextending the contract or agreement withan ffrdc, shall conduct acomprehensive review',
22970:'of the use and need for the ffrdc. the review will be coordinated with any cosponsors and may be performed',
22971:'in conjunction with the budget process. if the sponsor determines that its sponsorship is no longer appropriate, it shall apprise',
22972:'other agencies which use the ffrdc of the determination and afford them an opportunity to assume sponsorship. b approvalto continueor',
22973:'terminate the sponsorship shall rest with theheadof the sponsoring agency. this determination shall be based upon the results of the',
22974:'review conducted in accordance with paragraph c of this subsection. c an ffrdc review should include the following: 1 an',
22975:'examination of the sponsor’sspecial technical needs and mission requirements that are performed by the ffrdc to determine if and at',
22976:'what level they continue to exist. 2 consideration of alternative sources to meet the sponsor’s needs. 3 an assessmentof the',
22977:'efficiency and effectiveness of the ffrdcin meeting thesponsor’s needs,including the ffrdc’s ability to maintain its objectivity, independence, quick response capability,',
22978:'currency inits fields of expertise,and familiarity with the needs of itssponsor. 4 an assessmentof the adequacy of the ffrdc management',
22979:'inensuring a costeffective operation. 5 a determination that the criteria for establishing the ffrdc continue to be satisfied and that',
22980:'the sponsoring agreement is in compliance with 35.0171. 35.0175terminating an ffrdc. when asponsor’s need for the ffrdc nolonger exists, the',
22981:'sponsorship may be transferred to oneor more government agencies, if appropriatelyjustified. if the ffrdcis not transferredto anothergovernment agency, it shall',
22982:'be phased out. 35.0176masterlist of ffrdc’s. the national science foundationnsf maintains a mastergovernment list of ffrdc’s. primarysponsors will provide information',
22983:'on each ffrdc, including sponsoring agreements, mission statements, funding data, and type of r&d being performed, to the nsf upon',
22984:'its request for such information. 35.0177limitation onthe creation of new ffrdc’s. pursuant to 10 u.s.c. 4126, the secretary of defense,',
22985:'thesecretary of the army, thesecretary of the navy, the secretary of the air force, the secretaryof homeland security, and the',
22986:'administrator of the national aeronautics and space administration may not obligate or expend amounts appropriated to the department of defense',
22987:'for purposes of operating an ffrdc that was not in existence before june 2, 1986, until— a the head of',
22988:'the agency submits to congress a report with respect to such center that describes the purpose, mission, and general scope',
22989:'ofeffort of thecenter; and part 35 research and development contracting 35.0177 b a period of 60 days, beginning on the',
22990:'date such report is received by congress, has elapsed. this page intentionally left blank. 35.010 part 36 construction and architectengineer',
22991:'contracts sec. 36.000 scope of part. 36.001 definitions. subpart 36.1 general 36.101 applicability. 36.102 definitions. 36.103 methods of contracting. 36.104',
22992:'policy. subpart 36.2 special aspects of contracting for construction 36.201 evaluation of contractor performance. 36.202 specifications. 36.203 government estimate of',
22993:'construction costs. 36.204 disclosure of the magnitude of construction projects. 36.205 statutory cost limitations. 36.206 liquidated damages. 36.207 pricing fixedprice',
22994:'construction contracts. 36.208 concurrent performance of firmfixedprice and other types of construction contracts. 36.209 construction contracts with architect engineer firms.',
22995:'36.210 inspection of site and examination of data. 36.211 distribution of advance notices and solicitations. 36.212 preconstruction orientation. 36.213 special',
22996:'procedures for sealed bidding in construction contracting. 36.2131 general. 36.2132 presolicitation notices. 36.2133 invitations for bids. 36.2134 notice of award.',
22997:'36.214 special procedures for price negotiation in construction contracting. 36.215 special procedure for costreimbursement contracts for construction. subpart 36.3 twophase',
22998:'design build selection procedures 36.300 scope of subpart. 36.301 use of twophase designbuild selection procedures. 36.302 scope of work. 36.303',
22999:'procedures. 36.3031 phase one. 36.3032 phase two. subpart 36.4 [reserved] 36.500 36.501 36.502 36.503 36.504 36.505 36.506 36.507 36.508 36.509',
23000:'36.510 36.511 36.512 36.513 36.514 36.515 36.516 36.517 36.518 36.519 36.520 36.521 36.522 36.523 subpart 36.5 contract clauses scope of',
23001:'subpart. performance ofworkby the contractor. differing siteconditions. site investigation and conditions affecting the work. physical data. material and workmanship. superintendence',
23002:'by the contractor. permits and responsibilities. other contracts. protection of existing vegetation, structures, equipment, utilities, and improvements. operations and storage',
23003:'areas. use and possession prior to completion. cleaning up. accident prevention. availability and use of utility services. schedules for construction',
23004:'contracts. quantity surveys. layout of work. work oversight in costreimbursement construction contracts. organization and direction of thework. contracting by negotiation.',
23005:'specifications and drawings for construction. preconstruction conference. site visit. subpart36.6 architectengineerservices subpart 36.7 standard and optional 36.600 scope of subpart.',
23006:'forms for contracting for construction, 36.601 policy. architectengineer services, and dismantling, 36.6011 public announcement. demolition, or removal of improvements 36.6012',
23007:'competition. 36.700 scope of subpart. 36.6013 applicable contracting procedures. 36.701 standard and optional forms for use in 36.6014 implementation. contracting',
23008:'for construction or dismantling, 36.602 selection of firms for architectengineer demolition, or removal of improvements. contracts. 36.702 forms for use',
23009:'in contracting for architect36.602 1 selection criteria. engineer services. 36.6022 evaluation boards. 36.6023 evaluation board functions. 36.6024 selection authority. 36.6025',
23010:'short selection process for contracts not to exceed the simplified acquisition threshold. 36.603 collecting data on and appraising firms qualifications.',
23011:'36.604 performance evaluation. 36.605 government cost estimate for architect engineer work. 36.606 negotiations. 36.607 release of information on firm selection.',
23012:'36.608 liability for government costs resulting from design errors or deficiencies. 36.609 contract clauses. 36.6091 design within funding limitations. 36.6092',
23013:'redesign responsibility for design errors or deficiencies. 36.6093 work oversight in architectengineer contracts. 36.6094 requirements for registration of designers. subpart',
23014:'36.1 general 36.104 36.000scope of part. this part prescribes policies and procedures peculiar to contracting for construction and architectengineer services.',
23015:'it includes requirements for using certain clauses and standard forms that apply also to contracts for dismantling, demolition, or removal',
23016:'of improvements. 36.001definitions. as used in this part construction and demolition materials and debris means waste materials and debris generated',
23017:'during construction, renovation, demolition, or dismantling of all structures and buildings and associated infrastructure. diverting means redirecting materialsfrom disposal inlandfills',
23018:'or incinerators to recycling orrecovery, excluding diversion to wastetoenergy facilities. modernization project means a project that includes the comprehensive replacement',
23019:'or restoration of virtually all major systems, interior finishes such as ceilings, partitions, doors, and floor finishes, and building features.',
23020:'subpart 36.1 general 36.101 applicability. a construction and architectengineer contracts are subject to the requirements in other parts of this',
23021:'regulation, which shall be followed when applicable. b when a requirement in this part is inconsistent with a requirement in',
23022:'another part of this regulation, this part 36 shall take precedence if the acquisition of construction or architectengineer services is',
23023:'involved. c a contract for both construction and supplies or services shall include 1 clauses applicable to the predominant part',
23024:'of the work see subpart 22.4, or 2 if the contract is divided into parts, the clauses applicable to each',
23025:'portion. 36.102definitions. as used in this part contract is intended to refer to a contract for construction or a contract',
23026:'for architectengineer services, unless another meaning is clearly intended. design means defining the construction requirement including the functional relationships and',
23027:'technical systems to be used, such as architectural, environmental, structural, electrical, mechanical, and fire protection, producing the technical specifications and',
23028:'drawings, and preparing the construction cost estimate. designbidbuild means the traditional delivery method where design and construction are sequential and',
23029:'contracted for separately with two contracts and two contractors. designbuild means combining designandconstruction ina single contract with one contractor. firm',
23030:'in conjunction with architectengineer services, means any individual, partnership, corporation, association, or other legal entity permitted by law to practice',
23031:'the professions of architecture or engineering. plans and specifications means drawings, specifications, and other data for and preliminary to the',
23032:'construction. record drawings means drawings submitted by a contractor or subcontractor at any tier to show the construction of a',
23033:'particular structure or work as actually completed under the contract. twophase designbuild selection procedures is aselection method in whicha limited',
23034:'number of offerors normallyfive or fewerisselectedduringphaseonetosubmitdetailedproposalsforphasetwosee subpart 36.3. 36.103methods of contracting. a thecontracting officer shall use sealedbid procedures for a',
23035:'construction contract if the conditions in 6.401a apply, unless the contract will be performed outside the united states and its',
23036:'outlying areas. see 6.401b2. b contracting officersshallacquire architectengineer services by negotiation, and select sources in accordancewith applicable law, subpart 36.6,',
23037:'and agency regulations. 36.104 policy. a unless the traditional acquisition approach of designbidbuild established under 40 u.s.c. chapter 11, selection',
23038:'of architects and engineers,or another acquisition procedure authorized bylawis used, the contracting officer shall use the twophase selection procedures authorized',
23039:'by 10 u.s.c. 3241 or 41 u.s.c.3309 when entering into a contract for the design federal acquisition regulation and constructionof',
23040:'apublicbuilding, facility, or work, ifthe contracting officer makes a determination that the procedures are appropriate for use see subpart 36.3.',
23041:'other acquisition procedures authorized by law include the procedures established in this part and other parts of this chapter and,',
23042:'for dod, the designbuild process described in 10 u.s.c. 2862. b agencies shall implement highperformance sustainable building design, construction, renovation,',
23043:'repair, commissioning, operation and maintenance, management, and deconstruction practices so as to— 1 ensure that— i all new construction and',
23044:'modernization projects greater than 25,000 gross square feet are designed, constructed, and maintained to meet and, wherever practicable, exceed federal',
23045:'sustainable design and operations principles for new construction and modernization projects in accordance with the council on environmental qualitys guiding',
23046:'principles for sustainable federal buildings and associated instructions guiding principles available at https://www.sustainability.gov/ pdfs/guidingprinciplesforsustainablefederalbuildings.pdf; and ii all renovation projects of',
23047:'existing federal buildings must use, to the greatest extent technically feasible and practicable, federal sustainable design and operations principles for',
23048:'existing buildings in accordance with the guiding principles; 2 identify alternatives to renovation that reduce existing assets deferred maintenance costs;',
23049:'3 ensure that rehabilitation of federallyowned historic buildings utilizes best practices and technologies in retrofitting to promote longterm viability of',
23050:'the buildings; and 4 ensure pollution prevention and eliminate waste by diverting at least 50 percent of nonhazardous construction and',
23051:'demolition materials and debris. c 1 agencies shall require the use of a project labor agreement for federal construction projects',
23052:'with a total estimated construction cost at or above $35 million, unless an exception applies see subpart 22.5. 2 contracting',
23053:'officersconducting market research for federal construction contracts, valued at or above the threshold in paragraph c1 of this section, shall',
23054:'ensure that the procedures at 10.002b1 involve a current and proactive examination of the market conditions in the project area',
23055:'to determine national, regional, and local entity interest in participating on a project that requires a project labor agreement, and',
23056:'to understand the availability of unions, and unionized and nonunionized contractors. contracting officers may coordinate with agency labor advisors, as',
23057:'appropriate. subpart 36.2 special aspects of contracting for construction 36.205 subpart 36.2 special aspects of contracting for construction 36.201evaluation of',
23058:'contractor performance. see 42.1502e for the requirements for preparing past performance evaluations for construction contracts. 36.202specifications. a construction specifications shall',
23059:'conform to the requirements in part 11 of this regulation. b whenever possible,contracting officers shall ensurethat references inspecifications are to',
23060:'widely recognized standards or specifications promulgated by governments, industries, or technical societies. c when brandnameor equal descriptions arenecessary, specifications mustclearly',
23061:'identifyanddescribe the particular physical, functional, or other characteristics of the brandname items which are considered essential to satisfying the requirement.',
23062:'36.203government estimate of construction costs. a an independent government estimate of constructioncosts shall be prepared and furnished to the contracting',
23063:'officer at the earliest practicable time for each proposed contract and for each contract modification anticipated to exceed the simplified',
23064:'acquisition threshold. the contracting officer mayrequire anestimatewhen the cost ofrequired work is not anticipated to exceed the simplified acquisition threshold.',
23065:'the estimate shall be prepared in as much detail as though the government were competing for award. b when twostep',
23066:'sealed bidding is used, the independent government estimate shall be prepared when the contract requirements are definitized. c access toinformation',
23067:'concerning the government estimate shall be limited to government personnel whoseofficial duties require knowledge of the estimate. an exception to',
23068:'this rule may be made during contract negotiations to allow the contracting officerto identify aspecialized task and disclose theassociated cost',
23069:'breakdown figures in the government estimate, but only to the extent deemed necessary to arrive at a fair and reasonable',
23070:'price. the overall amount of the government’s estimate shall not be disclosed except as permitted by agency regulations. 36.204 disclosure',
23071:'ofthe magnitude of construction projects. advance notices and solicitations shall state the magnitude of the requirement in terms of physical',
23072:'characteristics and estimated price range. in no event shall thestatement of magnitude disclose the government’s estimate. therefore,the estimated price should',
23073:'be described in terms of one of the following price ranges: a less than $25,000. b between $25,000 and $100,000.',
23074:'c between $100,000 and $250,000. d between $250,000 and $500,000. e between $500,000 and $1,000,000. f between $1,000,000 and $5,000,000.',
23075:'g between $5,000,000 and $10,000,000. h more than $10,000,000. 36.205statutory cost limitations. a contracts for construction shall not be awarded',
23076:'at a cost to the government 1 in excess of statutory cost limitations, unless applicable limitations can be and are',
23077:'waived in writing for the particular contract; or 2 which, with allowances for governmentimposed contingencies and overhead, exceeds the statutory',
23078:'authorization. b solicitations containing one or more items subject to statutory cost limitations shall state 1 the applicable cost limitation',
23079:'for eachaffected itemin a separate schedule; 2 that an offer which does not contain separatelypriced schedules willnot be considered; and',
23080:'3 that the price on each schedule shall include an approximate apportionment of all estimated direct costs, allocable indirect costs,',
23081:'and profit. c thegovernment shall reject anoffer if its prices exceed applicable statutory limitations, unless laws or agency procedures providepertinent',
23082:'exemptions. however, if it is in the government’s interest,the contracting officermay include federal acquisition regulation a provision in the solicitation',
23083:'which permits the award of separate contracts for individual items whose prices are within or subject to applicable statutory limitations.',
23084:'d the government shall also reject an offer if itsprices arewithin statutory limitations only because it ismaterially unbalanced. anoffer is',
23085:'unbalanced ifits pricesare significantly lessthan cost for some work, and overstated for other work. 36.206liquidated damages. the contractingofficer mustevaluatethe need',
23086:'for liquidated damages in a constructioncontract in accordance with 11.502 and agency regulations. 36.207pricing fixedprice construction contracts. a generally, firmfixedprice',
23087:'contracts shall beused to acquire construction. theymay be priced 1 on a lumpsum basis when a lump sum is paid',
23088:'for the total work or defined parts of the work, 2 on a unitprice basis when a unit price is',
23089:'paid for a specified quantity of work units, or 3 using a combination of the two methods. b lumpsum pricing',
23090:'shall be used in preference to unit pricing except when 1 largequantities of work such as grading, paving, building outside',
23091:'utilities, orsite preparation are involved; 2 quantities of work, such as excavation, cannot be estimated with sufficient confidence to permit',
23092:'a lumpsum offer without a substantial contingency; 3 estimated quantities of work required may change significantly during construction; or 4',
23093:'offerorswould have to expendunusualeffort to develop adequate estimates. c fixedprice contracts with economic price adjustment may be used if such',
23094:'a provision is customary in contracts for the type of work being acquired, or when omission of an adjustment provision',
23095:'would preclude a significant number of firms from submitting offers or would result in offerors including unwarranted contingencies in proposed',
23096:'prices. 36.208 concurrent performance offirmfixedprice and othertypes of constructioncontracts. in view of potential labor and administrative problems, costplusfixedfee, priceincentive, or',
23097:'other types of contracts with cost variationor cost adjustment features shall not be permitted concurrently,at the same work site, with',
23098:'firmfixedprice, lump sum,or unit price contractsexceptwith the prior approval of theheadof the contractingactivity. 36.209 construction contracts witharchitectengineer firms. no contract',
23099:'for the construction of a project shall be awarded to the firm that designed the project or its subsidiaries or',
23100:'affiliates, except with theapproval of theheadof the agency or authorized representative. 36.210inspection of site and examination of data. the contractingofficer',
23101:'should make appropriate arrangements for prospectiveofferorsto inspect the work site and to have the opportunity to examine data available to',
23102:'the government which may provide information concerning the performance of the work, such as boring samples, original boring logs, and',
23103:'records and plans of previous construction. the data should be assembled in one place and made available for examination. the',
23104:'solicitation should notifyofferorsof the time and place for thesite inspection and data examination. if it is not feasible for offerors',
23105:'toinspect the site or examine thedata on their own, thesolicitation should also designate an individual who will show the site',
23106:'ordata tothe offerors. significant site information and the data should bemadeavailable to all offerors in the same manner, including information',
23107:'regarding any utilities to befurnished during construction. arecord should be keptof the identity andaffiliation of all offerors’ representatives who inspect',
23108:'the site or examine the data. 36.211distribution of advance notices and solicitations. a advance notices and solicitations should be distributed',
23109:'to reach as many prospective offerors as practicable. contracting officersmay send notices and solicitations to organizations that maintain, without charge',
23110:'to the public, display rooms for the benefitof prospective offerors, subcontractors,andmaterial suppliers. ifrequested bysuch organizations, this may be done for',
23111:'all ora stated class of constructionprojects on an annual or semiannual basis. contracting officers may determine the geographical extent of',
23112:'distribution of advance notices and solicitations on a casebycase basis. b as required by 15 u.s.c. 644w, the contractingofficer shall',
23113:'transmit to the governmentwide point ofentry gpe a notice see 5.205h, in solicitation notices posted at the gpe for construction',
23114:'contracts anticipated to be awarded to a small subpart 36.2 special aspects of contracting for construction 36.2132 business pursuant to',
23115:'part 19. the notice shall include certain information regarding the agencys definitization of equitable adjustments for change orders under construction',
23116:'contracts. this information includes: 1 a description of agency policies orprocedures,in addition to that outlined in far 43.204, that apply',
23117:'to definitization of equitable adjustments for change orders under construction contracts. this description may be provided in a notice by',
23118:'including an address of an agencyspecific, publicly accessible website containing this information. if no agency specific additional policies and procedures',
23119:'exist, thenotice shall includea statement tothat effect. 2 data on the agencys past performance, for the prior 3 fiscal years,',
23120:'regarding the time required to definitize equitable adjustments for change orders under construction contracts see 43.204. if fewer than 3',
23121:'fiscal years of data are available, agencies shall provide data for the number of fiscal years that are available. data',
23122:'shall be provided in the solicitation notice as shown in the following table, or provide the address of an agencyspecific,',
23123:'publicly accessible website containing this information. an adequate change orderdefinitization proposal shall containsufficient information to enable thecontracting officer toconduct meaningful',
23124:'analyses and auditsof the information contained in the proposal. table 1 to paragraph b2 timetodefinitizeafterreceiptofan numberofchangeorderproposals adequate change order definitization',
23125:'definitized under construction contracts proposal under construction contracts 30 days or less 31 to 60 days 61 to 90 days',
23126:'91 to 180 days 181 to 365 days 366 or more days after completion of contract performance via a contract',
23127:'modification addressing all undefinitized equitable adjustments received during contract performance 36.212 preconstruction orientation. a thecontracting officer will inform the successful',
23128:'offeror of significant matters of interest, including 1 statutory matters such as labor standards subpart 22.4, and subcontracting plan requirements',
23129:'subpart 19.7; and 2 other matters of significant interest, including who has authority to decide matters such as contractual, administrative',
23130:'e.g., security,safety,and fire and environmental protection, and construction responsibilities. b asappropriate, the contracting officer may issue an explanatory letteror conduct',
23131:'a preconstruction conference. c if a preconstruction conference is to be held, the contracting officer shall 1 conduct the conference',
23132:'prior to the start of construction at the work site; 2 notify the successful offeror of the date, time, and',
23133:'location of the conferencesee 36.522; and 3 inform the successful offeror ofthe proposed agenda and any need for attendance by',
23134:'subcontractors. 36.213 special procedures for sealed bidding in construction contracting. 36.2131 general. contractingofficersshallfollowtheproceduresforsealedbiddingin part 14, as modified and supplemented by',
23135:'the requirements in this subpart. 36.2132presolicitation notices. a unless the requirement is waived by theheadof the contractingactivity or a designee,',
23136:'the contractingofficer shall issue presolicitation notices on any construction requirement when the proposed contract is expected to exceed the simplified',
23137:'acquisition threshold. presolicitation notices may also be used when the proposed contract is not expected to exceed the simplified acquisitionthreshold.',
23138:'these notices shall be issued sufficiently in advance of the invitation for bids to stimulate the interest of the greatest',
23139:'number of prospective bidders. b presolicitation notices must 36.2133 federal acquisition regulation 1 describe the proposedworkin sufficient detail to disclose',
23140:'thenature and volume of work in terms of physical characteristics and estimated price range see 36.204; 2 state the location',
23141:'of the work; 3 include tentative dates for issuing invitations, opening bids, and completing contract performance; 4 state whereplans will',
23142:'be available for inspection without charge; 5 specify a date by which requests for the invitation for bids should be',
23143:'submitted; 6 state whether award is restricted to small businesses; 7 specify any amount tobe charged for solicitation documents; and',
23144:'8 be publicized through the governmentwide point of entry in accordance with 5.204. 36.2133 invitations for bids. a invitations for',
23145:'bids for construction shall allow sufficient time for bid preparationi.e., the period of time between the date invitations are distributed',
23146:'and the date set for opening of bids but see 5.203 and 14.2021 to allow bidders an adequate opportunity to',
23147:'prepare and submit their bids, giving due regard to the construction season and the time necessary for bidders to inspect',
23148:'the site, obtain subcontract bids, examine data concerning the work, and prepare estimates based on plans and specifications. b invitations',
23149:'for bids shall be prepared in accordance with subpart 14.2 and this section using the forms prescribed in part 53.',
23150:'c contracting officers should assure that eachinvitation for bids includes the following information, when applicable. the appropriate wage determination of',
23151:'the secretary of labor see subpart 22.4,or,iftheinvitationforbidsmustbeissued before the wage determination is received, a notice that the schedule of minimum',
23152:'wage rates to be paid under the contract will be issued as an amendment to the invitation for bids before',
23153:'the opening date for bids see 14.208 and subpart 22.4. 1 the performanceof workby the contractor clause see 36.501 and',
23154:'52.2361. 2 the magnitude of the proposed construction project see 36.204. 3 the period of performance see subpart 11.4. 4',
23155:'arrangements made for bidders to inspect the site and examine the data concerning performance of the work see 36.210. 5',
23156:'information concerning anyfacilities,such as utilities, office space, and warehouse space, to be furnished during construction. 6 information concerning the prebid',
23157:'conference see 14.207. 7 any special qualifications or experience requirements that will be considered in determining the responsibility of bidders',
23158:'see subpart 9.1. 8 any special instructions concerning bids, alternate bids, and award. 9 any instructions concerning reporting requirements. d',
23159:'the contractingofficer shall send invitationsforbids to prospective bidders who requestedthem in responseto the presolicitation notice, and should send them to',
23160:'other prospective bidders upon their specific request see 5.102a. 36.2134 notice of award. when anotice of award isissued, it shall',
23161:'be donein writing or electronically, shall containinformationrequired by 14.408, and shall a identify the invitation for bids; b identifythe contractor’s',
23162:'bid; c state the award price; d advise the contractor that any required payment and performance bonds must be promptly',
23163:'executed and returned to thecontracting officer; e specify the date of commencement of work, or advise that a notice to',
23164:'proceed will be issued. 36.214 special procedures for price negotiation in construction contracting. a agencies shall follow the policies and',
23165:'procedures in part 15 when negotiating prices for construction. b the contractingofficer shall evaluate proposals and associated certified cost or',
23166:'pricingdata and dataother than certified cost or pricing data and shall compare them to the government estimate. 1 when submission',
23167:'of certified cost or pricing data is not required see 15.4031 and 15.4032, and any element of proposed cost differs',
23168:'significantly fromthe government estimate, thecontracting officer should request the offeror to submit subpart 36.2 special aspects of contracting for construction',
23169:'36.215 cost information concerning that element e.g., wage rates or fringe benefits, significant materials, equipment allowances, and subcontractor costs. 2',
23170:'when aproposed price is significantly lowerthan the government estimate, the contracting officer shall make sure both theofferor and the government',
23171:'estimator completely understand thescope of the work. if negotiations reveal errors in the government estimate, the estimate shall be corrected',
23172:'and the changes shall be documented in the contract file. c when appropriate, additional pricing tools may be used. for',
23173:'example, proposed prices may be compared to current prices for similartypes of work, adjustedfordifferences in the work site and the',
23174:'specifications. also, rough yardsticks may be developed and used, such as cost per cubic foot for structures, cost per linear',
23175:'foot for utilities, and cost per cubic yard for excavation or concrete. 36.215 special procedure forcostreimbursement contracts for construction. contracting',
23176:'officersmay usea costreimbursement contract to acquire construction only when its use isconsistent with subpart 16.3 and part 15 see 15.4044c4i',
23177:'for fee limitation on costreimbursement contracts. this page intentionally left blank. 36.26 subpart 36.3 twophase designbuild selection procedures 36.3031 subpart',
23178:'36.3 twophase designbuild selection procedures 36.300scope of subpart. this subpart prescribes policies and procedures for the use of the twophase',
23179:'designbuild selection procedures authorized by 10 u.s.c. 3241 and 41 u.s.c. 3309. 36.301 use of twophasedesignbuild selection procedures. a during',
23180:'formal or informal acquisition planning see part 7, if considering the use of twophase designbuild selection procedures, thecontracting officer shall',
23181:'conduct the evaluation in paragraph b of this section. b the twophase designbuildselection procedures shall be used whenthe contracting officer',
23182:'determines that this method is appropriate, based on the following: 1 three or more offers are anticipated. 2 design work',
23183:'must be performed by offerors before developing price or costproposals,andofferorswill incur a substantial amountof expense in preparing offers. 3 the',
23184:'following criteria have been considered: i the extent to which the project requirements have been adequately defined. ii the time',
23185:'constraints for delivery of the project. iii the capability and experience of potential contractors. iv the suitability of the project',
23186:'for use of the twophase selection method. v the capability of the agency to manage the twophase selection process. vi',
23187:'othercriteria establishedby the head ofthe contracting activity. 36.302scope of work. the agency shall develop, either inhouse or by contract, a',
23188:'scope of work that defines the project and states the government’s requirements. the scope of work may include criteria and',
23189:'preliminarydesign, budget parameters, and schedule or delivery requirements. if the agency contracts for development of the scope of work, the',
23190:'procedures in subpart 36.6 shall be used. 36.303 procedures. one solicitation may be issued covering both phases, or two solicitations',
23191:'may be issued in sequence. proposals will be evaluated in phase one todetermine whichofferorswill submit proposals for phase two. onecontract',
23192:'will be awarded using competitive negotiation. 36.3031 phase one. a phase one of the solicitations shall include 1 the scope',
23193:'of work; 2 the phaseone evaluation factors, including itechnicalapproachbutnot detailed design ortechnicalinformation; iitechnical qualifications, such as a specialized experience and',
23194:'technical competence; b capability to perform; c pastperformance of the offeror’s teamincludingthe architectengineerand construction members; and iii other appropriate factors',
23195:'excluding cost or price related factors, which are not permitted in phase one; 3 phasetwo evaluation factors see 36.3032; and',
23196:'4 a statement of themaximum number of offerors that will be selected to submitphasetwoproposals. the maximum number specifiedin the solicitation',
23197:'shall notexceed fiveunlessthe contracting officerdetermines, for that particular solicitation, that a number greater than five is in the governments interest',
23198:'and is consistent with the purposes and objectives of the twophase designbuild selection procedures. the contracting officer shall documentthisdetermination in',
23199:'the contract file. for acquisitions greaterthan $4.5 million, the determination shall be approved by the head of thecontracting activity, delegable',
23200:'to a levelno lower than the senior contracting official withinthe contracting activity. in civilian agencies, for paragraph a4 ofthissection, thesenior',
23201:'contracting official is theadvocate for competitionforthe procuring activity, unless theagency designates adifferent positionin agency procedures. the approval shall bedocumented in',
23202:'the contract file. 36.3032 federal acquisition regulation b afterevaluating phaseoneproposals, the contracting officer shall selectthe most highly qualified offerors not',
23203:'to exceed the maximum number specified in the solicitation in accordance with 36.3031a4 and request that only those offerors submitphasetwo',
23204:'proposals. 36.3032phasetwo. aphasetwoofthesolicitationsshallbepreparedinaccordancewith part 15, and include phasetwo evaluation factors, developed in accordance with 15.304. examples of potential phasetwo technical',
23205:'evaluation factors include design concepts, management approach, key personnel, and proposed technical solutions. b phase two of the solicitations shall',
23206:'require submission of technical and price proposals, which shall be evaluated separately, in accordance with part 15. subpart 36.4 [reserved]',
23207:'subpart 36.4 [reserved] this page intentionally left blank. 36.42 subpart 36.5 contract clauses 36.506 subpart 36.5 contract clauses 36.500scope of',
23208:'subpart. a this subpart prescribes provisions and clauses for insertion in solicitations and contracts for— 1 construction; and 2 dismantling,',
23209:'demolition, or removal of improvements contracts. b provisions and clauses prescribedelsewhere in the federalacquisition regulation far shall also beused insuch',
23210:'solicitations and contracts when the conditions specified in the prescriptions for the provisions and clauses are applicable. 36.501 performance of',
23211:'work by the contractor. a to assure adequate interest in and supervision of all work involved in larger projects, the',
23212:'contractor shall berequired to perform a significant part of the contract work with its own forces. the contract shall express',
23213:'this requirement in terms of a percentage that reflects the minimum amount of work the contractor must perform with its',
23214:'own forces. this percentage is 1 as high as the contracting officer considersappropriateforthe project, consistentwith customary or necessary specialty subcontracting',
23215:'and the complexity and magnitude of the work, and 2 ordinarily not less than 12 percent unless a greater percentage',
23216:'is required by law or agency regulation. specialties such as plumbing, heating, and electrical work are usually subcontracted, and should',
23217:'not normally be considered in establishing the amount of work required to be performed by the contractor. b the contractingofficer',
23218:'shall insertthe clause at 52.2361, performance of work by the contractor, in solicitations and contracts, except those awarded pursuant to',
23219:'subparts 19.5, 19.8, 19.13, 19.14, or 19.15 when a fixedprice construction contract is contemplated andthe contract amount is expected to',
23220:'exceed $1.5 million. the contracting officer may insert the clause in solicitations and contracts when a fixedprice construction contract is',
23221:'contemplated and the contract amount is expected to be $1.5 million or less. 36.502differing site conditions. the contractingofficer shall insertthe',
23222:'clause at 52.2362, differing site conditions, in solicitations and contracts when a fixedprice construction contract or a fixedprice dismantling, demolition,',
23223:'or removal of improvements contract is contemplated and the contract amount isexpected to exceedthe simplified acquisitionthreshold. the contractingofficer may insert',
23224:'the clause in solicitations and contracts when a fixedprice construction or a fixedprice contract for dismantling, demolition, or removal of',
23225:'improvements is contemplated and the contract amount is expected to be at or below the simplified acquisition threshold. 36.503site investigation',
23226:'and conditions affecting the work. the contractingofficer shall insertthe clause at 52.2363, site investigationand conditions affecting the work,in solicitations and',
23227:'contracts when a fixedprice construction contract or a fixedprice dismantling, demolition, or removal of improvements contract is contemplated and the',
23228:'contract amount is expected to exceed the simplified acquisition threshold. the contractingofficer may insert the clause insolicitationsandcontracts when a fixedprice',
23229:'construction ora fixedprice contract for dismantling, demolition, or removal of improvements is contemplated and the contract amount is expected to',
23230:'be at or below the simplified acquisition threshold. 36.504physical data. the contractingofficer shall insertthe clause at 52.2364, physical data, in',
23231:'solicitations and contracts when a fixedprice construction contract is contemplated and physical data e.g., test borings, hydrographic data, weather conditions',
23232:'data will be furnishedor made available toofferors. 36.505material and workmanship. the contractingofficer shall insertthe clause at 52.2365, materialandworkmanship, in solicitations',
23233:'and contracts for construction contracts. 36.506 superintendenceby the contractor. the contractingofficer shall insertthe clause at 52.2366, superintendenceby the contractor,in solicitations',
23234:'and contracts when a fixedprice construction contract or a fixedprice dismantling, demolition, or removal of improvements contract is contemplated and',
23235:'the contract amount isexpected to exceedthe simplified acquisitionthreshold. the contractingofficer federal acquisition regulation may insert the clause in solicitations and',
23236:'contracts when a fixedprice construction or a fixedprice contract for dismantling, demolition, or removal of improvements is contemplated and the',
23237:'contract amount is expected to be at or below the simplified acquisition threshold. 36.507 permits and responsibilities. the contractingofficer shall',
23238:'insertthe clause at 52.2367, permits and responsibilities, in solicitations and contracts when a fixedprice or costreimbursement construction contract or a',
23239:'fixedprice dismantling, demolition, or removal of improvements contract is contemplated. 36.508other contracts. the contractingofficer shall insertthe clause at 52.2368, other',
23240:'contracts, in solicitations and contracts when a fixed price construction contract or a fixedprice dismantling, demolition, or removal of improvements',
23241:'contract is contemplated and the contractamount is expected toexceed the simplified acquisition threshold. the contracting officermay insertthe clause in solicitations',
23242:'and contracts when a fixedprice construction or a fixedprice contract for dismantling, demolition, or removal of improvements is contemplated and',
23243:'the contract amount is expected to be at or below the simplified acquisition threshold. 36.509 protection ofexisting vegetation, structures, equipment,',
23244:'utilities, andimprovements. the contractingofficer shall insertthe clause at 52.2369, protection of existing vegetation, structures, equipment, utilities, and improvements, in solicitations',
23245:'and contracts when a fixedprice construction contract or a fixedprice dismantling, demolition, or removal of improvements contract is contemplated and',
23246:'the contract amount is expected to exceed thesimplified acquisition threshold. the contracting officer may insert the clause in solicitations and',
23247:'contracts whena fixed price construction or a fixedprice contract for dismantling, demolition, or removal of improvements is contemplated and the',
23248:'contract amount is expected to be at or below the simplified acquisition threshold. 36.510 operations and storage areas. the contractingofficer',
23249:'shall insertthe clause at 52.23610, operations and storage areas, in solicitations and contracts when a fixedprice construction contract or a',
23250:'fixedprice dismantling, demolition, or removal of improvements contract is contemplated and the contract amount isexpected to exceedthe simplified acquisitionthreshold. the',
23251:'contractingofficer may insert the clause in solicitations and contracts when a fixedprice construction or a fixedprice contract for dismantling, demolition,',
23252:'or removal of improvements is contemplated and the contract amount is expected to be at or below the simplified acquisition',
23253:'threshold. 36.511use and possession prior to completion. the contractingofficer shall insertthe clause at 52.23611, use and possession prior to completion,',
23254:'in solicitations and contracts when a fixedprice construction contract is contemplated and the contract award amount is expected to exceed',
23255:'the simplified acquisition threshold. this clause may be inserted in solicitations and contracts when the contract amount is expected to',
23256:'be at or below the simplified acquisition threshold. 36.512cleaning up. the contractingofficer shall insertthe clause at 52.23612, cleaning up, in',
23257:'solicitations and contracts when a fixedprice construction contract or a fixedprice dismantling, demolition, or removal of improvements contract is contemplated',
23258:'and the contract amountis expected to exceed the simplified acquisition threshold. thecontracting officer may insert the clause in solicitations and',
23259:'contracts when a fixedprice construction or a fixedprice contract for dismantling, demolition, or removal of improvements is contemplated and the',
23260:'contract amount is expected to be at or below the simplified acquisition threshold. 36.513 accident prevention. a thecontracting officer shall',
23261:'insert the clause at 52.23613, accident prevention, in solicitations and contracts when a fixedprice construction contract or a fixedprice dismantling,',
23262:'demolition, or removal of improvements contract is contemplated and the contract amount isexpected to exceedthe simplified acquisitionthreshold. the contractingofficer may',
23263:'insert the clause in solicitations and contracts when a fixedprice construction or a fixedprice contract for dismantling, demolition, or removal',
23264:'of improvements is contemplated and the contract amount is expected to be at or below the simplified subpart 36.5 contract',
23265:'clauses 36.521 acquisition threshold. if thecontract will involve work ofa long durationor hazardous nature, the contracting officer shall use the',
23266:'clause with its alternatei. b the contractingofficer shall insertthe clause or theclause with itsalternatei in solicitations and contractswhen a contract',
23267:'for services to be performed at government facilities see 48 cfr part 37 is contemplated, and technical representatives advise that',
23268:'special precautions are appropriate. c thecontracting officer should informthe occupationalsafety and health administration osha, or other cognizant federal, state, orlocal',
23269:'officials, of instances where the contractor has been notified to take immediate action to correct serious or imminent dangers. 36.514',
23270:'availability and use of utilityservices. the contractingofficer shall insertthe clause at 52.23614,availability and use of utility services, in solicitations and',
23271:'contracts when a fixedprice construction contract or a fixedprice dismantling, demolition, or removal of improvements contract is contemplated, the contractis',
23272:'tobe performedon government sites, andthe contracting officer decides a that the existingutility systems is adequate for theneeds of both thegovernment',
23273:'and the contractor, and b furnishing it is in the government’s interest. when this clause is used,the contracting officer shall',
23274:'list the availableutilities in the contract. 36.515schedules for construction contracts. the contractingofficer may insert the clause at 52.23615, schedules for',
23275:'construction contracts, in solicitations and contracts when a fixedprice construction contract is contemplated, the contract amount is expected to exceed',
23276:'the simplified acquisition threshold, and the period of actual work performance exceeds 60 days. this clause may also be inserted',
23277:'in such solicitations and contracts when work performance is expected to last less than 60 days and an unusual situation',
23278:'exists that warrants imposition of the requirements. this clause should not be used in the same contract with clauses covering',
23279:'other management approaches for ensuring that a contractor makes adequate progress. 36.516quantity surveys. the contractingofficer may insert the clause at',
23280:'52.23616, quantity surveys, in solicitations and contracts when a fixed price construction contract providing for unit pricing of items and',
23281:'for payment based on quantity surveys is contemplated. if it is determined ata level above that of the contracting officer',
23282:'that it is impracticable for government personnel to perform the original and final surveys, and the government wishes the contractor',
23283:'to perform these surveys, the clause shall be used with its alternate. 36.517layout of work. the contractingofficer shall insertthe clause',
23284:'at 52.23617,layout of work, in solicitations and contracts when a fixed price construction contract is contemplated and use of this',
23285:'clause is appropriate due to a need for accurate work layout and for siting verification during work performance. 36.518 workoversight',
23286:'in costreimbursementconstructioncontracts. the contractingofficer shall insertthe clause at 52.23618,work oversightin costreimbursementconstruction contracts, in solicitations and contracts when a costreimbursement construction',
23287:'contract is contemplated. 36.519 organization and direction ofthe work. the contractingofficer shall insertthe clause at 52.23619,organization anddirection of the work,',
23288:'in solicitations and contracts when a costreimbursement construction contract is contemplated. 36.520contracting by negotiation. the contractingofficer shall insertin solicitations for',
23289:'constructionthe provisionat 52.23628, preparation of offers construction, when contracting by negotiation. 36.521specifications and drawings for construction. the contractingofficer shall insertthe',
23290:'clause at 52.23621, specifications and drawings for construction, in solicitations and contracts when a fixedprice construction contract or a fixedprice',
23291:'dismantling, demolition, or removal of improvements contract is contemplated and the contract amount is expected to exceed the simplified acquisition',
23292:'threshold. the contracting officer may insert the clause in solicitations and contracts whena fixedprice construction or a fixedprice contractfor federal',
23293:'acquisition regulation dismantling, demolition, or removal of improvements is contemplated and the contract amount is expected to be at or',
23294:'below thesimplified acquisition threshold. when the government needs record drawings, the contractingofficer shall a use the clause with its alternatei,',
23295:'if reproducible shop drawings are needed; or b use the clause with its alternateii, if reproducible shop drawings are not',
23296:'needed. 36.522 preconstruction conference. if the contracting officer determines it maybe desirable to hold a preconstruction conference, the contracting officer',
23297:'shall insert a clause substantially the same as the clause at 52.23626, preconstruction conference, in solicitations and fixed price contracts',
23298:'for construction or for dismantling, demolition or removal of improvements. 36.523site visit. the contractingofficer shall inserta provision substantially the same',
23299:'as the provision at 52.23627,site visit construction, in solicitations which include the clauses at 52.2362, differing site conditions,and 52.2363, site',
23300:'investigations and conditions affecting the work. alternatei may be used when an organized site visit will beconducted. subpart 36.6 architectengineer',
23301:'services 36.6014 subpart 36.6 architectengineer services 36.600scope of subpart. this subpart prescribes policies and procedures applicable to the acquisition of',
23302:'architectengineer services, including orders for architectengineer services under multiagency contracts see 16.505a9. 36.601 policy. 36.6011 public announcement. the government shall',
23303:'publicly announce all requirements for architectengineer services and negotiate contracts for these services based on the demonstrated competence and qualifications',
23304:'of prospective contractors to perform the services at fair and reasonable prices. see 40 u.s.c. 1101 et seq. 36.6012 competition.',
23305:'acquisition of architectengineer services in accordance with the procedures in this subpart will constitute a competitive procedure. see 6.102d1. 36.6013applicable',
23306:'contracting procedures. a 1forfacilitydesigncontracts,thestatementofworkshallrequirethatthearchitectengineerspecify,inthe construction design specifications, use of the maximum practicable amount of recovered materials consistent with the performancerequirements,',
23307:'availability, pricereasonableness,and costeffectiveness. where appropriate,the statement of work also shall require the architectengineer to consider energy conservation, pollution prevention, andwaste',
23308:'reduction to the maximum extent practicable in developing the construction design specifications. 2 facility design solicitations and contracts that include',
23309:'thespecificationof energyconsuming products must comply with the requirements at subpart 23.1073. b sources for contracts for architectengineer services shall be',
23310:'selected in accordance with the procedures in this subpart rather than the solicitation or source selection procedures prescribed in parts',
23311:'13, 14, and 15 of this regulation. c when the contract statement of work includes both architectengineer services and other',
23312:'services, the contracting officer shall followthe procedures in this subpart ifthe statement of work, substantially or to a dominant extent,',
23313:'specifies performanceor approval by a registered or licensed architect or engineer. if thestatement ofworkdoes not specifysuch performanceorapproval,thecontractingofficershallfollowtheproceduresin parts 13, 14,',
23314:'or 15. d other than incidental services as specified in the definition of architectengineer services in 2.101 and in 36.6014a',
23315:'3, services that donot require performance by a registered or licensedarchitect or engineer, notwithstanding the fact that architectengineers also may',
23316:'perform those services, should be acquired pursuant to parts 13, 14, and 15. 36.6014 implementation. a contracting officers should consider',
23317:'the following services to be architectengineer services subject to the procedures of this subpart: 1 professionalservicesof an architectural or engineering',
23318:'nature,as defined by applicable state law, which thestate law requires to be performed or approved by a registered architect or',
23319:'engineer. 2 professional services of an architectural or engineering nature associated with design or construction of real property. 3 other',
23320:'professional services of an architectural or engineering nature or services incidental thereto including studies, investigations, surveying and mapping, tests, evaluations,',
23321:'consultations, comprehensive planning, program management, conceptual designs, plans and specifications, value engineering, construction phase services, soils engineering, drawing reviews, preparation',
23322:'of operating and maintenance manuals and other related services that logically or justifiably require performance by registered architects or engineers',
23323:'or their employees. 4 professional surveying and mapping services of an architectural or engineering nature. surveying is considered to be',
23324:'an architectural and engineering service and shall be procured pursuant to section 36.601 from registered surveyors or architects and engineers.',
23325:'mapping associated with the research, planning, development, design, construction, or alteration of real property is considered to be an architectural',
23326:'and engineering service and is to be procured pursuant to section 36.601. however, mapping services that are not connected to',
23327:'traditionallyunderstoodor acceptedarchitectural and engineering federal acquisition regulation activities, are not incidental to such architectural and engineering activities or have not',
23328:'in themselves traditionally been considered architectural and engineering services shall be procured pursuant to provisions in parts 13, 14, and',
23329:'15. b contracting officersmay award contracts for architectengineer servicesto any firm permitted by law to practice the professions of architecture',
23330:'or engineering. 36.602 selection of firmsfor architectengineer contracts. 36.6021 selection criteria. a agencies shall evaluate each potential contractor in terms',
23331:'of its 1 professional qualifications necessary for satisfactory performance of required services; 2 specialized experience and technical competence in the',
23332:'type of work required, including, where appropriate, experience in energy conservation, pollution prevention, wastereduction,and the use of recovered materials; 3',
23333:'capacity to accomplish the work in the required time; 4 past performance on contracts with government agencies and private industry',
23334:'in terms of cost control, quality of work, and compliance with performance schedules; 5 location in the general geographical area',
23335:'of the project and knowledge of the locality of the project; provided, that application of this criterion leaves an appropriate',
23336:'number of qualified firms, given the nature and size of the project; and 6 acceptability under other appropriate evaluation criteria.',
23337:'b when the use of design competition is approved by the agency head or a designee, agencies may evaluate firms',
23338:'on the basis of their conceptual design of the project. design competition may be used when 1 unique situations exist',
23339:'involving prestige projects, such as the design of memorials and structures of unusual national significance; 2 sufficient time is available',
23340:'for the production and evaluationof conceptual designs; and 3 the design competition, with its costs, will substantially benefit the project.',
23341:'c hold discussions with at least three of the most highly qualified firms regarding concepts, the relative utility of alternative',
23342:'methods and feasible ways to prescribe the useof recovered materialsandachievewaste reduction and energy efficiency in facility design see part 23.',
23343:'36.6022 evaluation boards. a when acquiring architectengineer services, an agency shall provide for one or more permanent or ad hoc',
23344:'architect engineer evaluation boards which may include preselection boards when authorized by agency regulations to be composed of members who,collectively,',
23345:'have experience in architecture, engineering, construction, and government and related acquisition matters. members shall be appointed from among highly qualified',
23346:'professional employees of the agency or other agencies, and if authorized by agency procedure, private practitioners of architecture, engineering, or',
23347:'related professions. one government member of each board shall be designated as the chairperson. b no firm shall be eligible',
23348:'for award of an architectengineer contract during the period in which any of its principals or associates are participatingas members',
23349:'of the awarding agency’s evaluation board. 36.6023 evaluation board functions. under thegeneral direction of the head of thecontracting activity,an evaluationboard',
23350:'shall perform thefollowing functions: a review the current data files on eligible firms and responses to a public notice concerning',
23351:'the particular project see 36.603. b evaluate the firms in accordance with the criteria in 36.6021. c hold discussions with',
23352:'at least three of the most highly qualified firms regarding concepts and the relative utility of alternative methods of furnishing',
23353:'the required services. d prepare a selection report for the agency head or other designated selection authority recommending, in order',
23354:'of preference, at least three firms that are considered to be the most highly qualified to perform the required services.',
23355:'the report shall include a description of the discussions and evaluation conducted by the board to allow the selection authority',
23356:'to review the considerations upon which the recommendations are based. 36.6024selection authority. a thefinal selectiondecision shall be made by the',
23357:'agencyheador adesignated selection authority. subpart 36.6 architectengineer services 36.603 b the selection authority shall review the recommendations of the evaluation',
23358:'board and shall, with the advice of appropriate technical and staff representatives, make the final selection. this final selection shall',
23359:'be alisting, in order of preference, of the firms considered most highly qualified to perform the work. if the firm',
23360:'listed as the most preferred is not the firm recommended as the most highly qualified by the evaluation board, the',
23361:'selection authority shall provide for the contract file a written explanation of the reason for the preference. all firms on',
23362:'the final selection list are considered selected firms withwhich the contractingofficer may negotiate in accordance with 36.606. c the selection',
23363:'authority shall not add firms to the selection report. if the firms recommended in the report are not deemed to',
23364:'be qualified or the report is considered inadequate for any reason, the selection authority shall record the reasons and return',
23365:'the report through channels to the evaluation board for appropriate revision. d the board shall be promptly informed of the',
23366:'final selection. 36.6025short selection process for contractsnot to exceed the simplified acquisitionthreshold. when authorized by theagency, either or both of',
23367:'the short processes described inthis subsection may beused to select firms for contracts not expected to exceed the simplified acquisition',
23368:'threshold. otherwise, the procedures prescribed in 36.6023 and 36.6024 shall be followed. a selection by the board. the board shall',
23369:'review and evaluate architectengineer firms in accordance with 36.6023, except that the selection report shall serve as thefinal selectionlist and',
23370:'shall beprovided directly to thecontracting officer. the report shall serveas an authorization for thecontracting officer tocommence negotiations in accordance with',
23371:'36.606. b selection by the chairperson of the board. when the board decides that formal action by the board is',
23372:'not necessary in connection with a particular selection, the following procedures shall be followed: 1 the chairperson of the board',
23373:'shall perform the functions required in 36.6023. 2 the agency head or designated selection authority shall review the report and',
23374:'approve it or return it to the chairperson for appropriate revision. 3 upon receipt ofan approved report, the chairperson of',
23375:'the board shall furnish thecontracting officer a copy of the report which will serve as an authorization for the contracting',
23376:'officer to commence negotiations inaccordance with 36.606. 36.603collecting data on and appraising firms qualifications. a establishing offices. agencies shall maintain',
23377:'offices or permanent evaluation boards, or arrange to usethe offices or boards of other agencies, to receive and maintain data',
23378:'on firms wishing to be considered for government contracts. each officeor board shall be assigned a jurisdiction by itsparent agency,making',
23379:'it responsible for a geographical region orarea, or a specialized type of construction. b qualifications data. tobe consideredforarchitectengineer contracts, a',
23380:'firm must file with the appropriate office or board the standard form 330, architectengineer qualifications, part ii, and when applicable,',
23381:'sf 330, part i. c data files and the classification of firms. underthe direction of theparent agency, offices orpermanent evaluation',
23382:'boards shall maintain an architectengineer qualifications data file. these offices or boards shall reviewthe sf 330 filed, and shall classify',
23383:'each firm with respect to 1 location; 2 specialized experience; 3 professional capabilities; and 4 capacity, with respectto thescope of',
23384:'work that can be undertaken. a firm’s ability andexperience in computer assisted design should be considered, when appropriate. d currency',
23385:'of files. any office or boardmaintaining qualifications data files shall review and updateeach file at least once a year. this',
23386:'processshouldinclude: 1 encouraging firms to submit annually an updated statement of qualifications and performance data on a sf 330, part',
23387:'ii. 2 reviewing the sf 330, part ii, and, if necessary, updating thefirm’s classification see 36.603c. 3 recording any contract',
23388:'awards made to thefirm in the past year. 4 assuring that the file contains a copy of each pertinent performance',
23389:'evaluation see 42.1502f. 5 discarding any material that has not been updated within the past three years, if it is',
23390:'no longer pertinent, see 42.1502f. 6 posting the date of the review in the file. e use of data files.',
23391:'evaluation boards and other appropriate government employees, including contracting officers, shall use data files on firms. federal acquisition regulation 36.604performance',
23392:'evaluation. see 42.1502f for the requirements for preparing past performance evaluations for architectengineer contracts. 36.605 governmentcost estimate for architectengineerwork. a',
23393:'an independent government estimate of the cost of architectengineer services shall be prepared and furnished to the contracting officerbefore commencing',
23394:'negotiationsforeach proposed contract or contract modification expected to exceed the simplified acquisition threshold. the estimate shall be prepared on the',
23395:'basis of a detailed analysis of the required work as though the government were submitting a proposal. b access to',
23396:'information concerning the governmentestimateshallbe limited to government personnel whose official duties require knowledge of the estimate. an exception to this',
23397:'rule may be made during contract negotiations to allow the contracting officerto identify aspecialized task and disclose theassociated cost breakdown',
23398:'figures in the government estimate, but only to the extent deemed necessary to arrive at a fair and reasonable price.',
23399:'the overall amount of the government’s estimate shall not be disclosed except as permitted by agency regulations. 36.606negotiations. a unless',
23400:'otherwise specifiedby the selection authority, the finalselection authorizes thecontracting officer tobegin negotiations. negotiations shall be conducted in accordance with part',
23401:'15ofthischapter,beginningwiththemostpreferred firm in the final selection see 15.4044c4i on fee limitation. b the contractingofficer should ordinarily request a proposalfrom the',
23402:'firm, ensuringthat thesolicitation does not inadvertently preclude the firm from proposing the use of modern design methods. c thecontracting officer',
23403:'shall informthe firm that no construction contract may be awardedto the firm that designed the project, except as provided in',
23404:'36.209. d during negotiations,the contracting officer should seek advance agreement see 31.109 on any chargesforcomputerassisted design. whenthe firm’s proposaldoes not',
23405:'cover appropriate modern and costeffective design methods e.g., computerassisted design, the contractingofficer should discuss this topicwith the firm. e because',
23406:'selection of firms is based upon qualifications, the extent of any subcontracting is an important negotiation topic. the clause prescribed',
23407:'at 44.204b, subcontractors and outside associates and consultants architectengineer services see 52.2444,limits afirm’s subcontracting to firmsagreed upon during negotiations. f',
23408:'ifa mutually satisfactorycontract cannot benegotiated, the contractingofficer shall obtain a written final proposal revision from the firm, andnotify the firm',
23409:'thatnegotiations have been terminated. the contracting officer shall theninitiate negotiations with the next firm on the final selection list. this',
23410:'procedure shall be continued until a mutually satisfactory contract has been negotiated. if negotiations fail with allselected firms, the contractingofficer',
23411:'shall referthe matter to the selection authority who, afterconsulting with thecontracting officer as to why a contract cannot be negotiated,',
23412:'may directthe evaluation board to recommend additional firms in accordance with 36.602. 36.607release of information on firm selection. a after',
23413:'final selection hastaken place, the contractingofficer may release informationidentifying only the architect engineer firm with which a contract will be',
23414:'negotiated for certain work. the work should be described in any release only in general terms, unless information relating to',
23415:'the work is classified. if negotiations are terminated without awarding a contract to the highestrated firm, the contracting officermay releasethat',
23416:'information and state that negotiations will be undertaken with another named architectengineer firm. when an awardhas been made, the contracting',
23417:'officer may release award information see 5.401. b debriefings of successful and unsuccessful firms will be held after final selection',
23418:'has taken place and will be conducted, to the extent practicable, in accordance with 15.503, 15.506b through f, and 15.507c.',
23419:'note that 15.506d2 through d5 do not apply to architectengineer contracts. 36.608 liability for government costs resulting from design errors',
23420:'or deficiencies. architectengineer contractorsshallbe responsible for theprofessional quality, technical accuracy, and coordination of all services required under their contracts. a',
23421:'firm may be liable for government costs resulting from errors or deficiencies in designs furnished under its contract. therefore, when',
23422:'a modification to a construction contract is required because of an error or deficiency in theservices provided under an architectengineer',
23423:'contract, the contracting officer with the advice of technical personnel and legal counsel shall consider the extent to which the',
23424:'architectengineer contractor may be reasonably liable. the contracting officer shall enforcethe liability and issue a demand for payment of theamount',
23425:'due, if the recoverable subpart 36.6 architectengineer services 36.6094 cost will exceed theadministrativecost involved or is otherwise in the government’sinterest.',
23426:'the contractingofficer shall include in the contract file a written statement of the reasons for the decision to recover or',
23427:'not to recover the costs from the firm. 36.609contract clauses. 36.6091 design within funding limitations. a the government may require',
23428:'the architectengineer contractor to design the project so that construction costs will not exceed a contractually specified dollar limit funding',
23429:'limitation. if the price of construction proposed in response to a government solicitation exceeds the construction funding limitation in the',
23430:'architectengineer contract, the firm shall be solely responsible for redesigning the project within the funding limitation. these additional services shall',
23431:'be performed at no increasein theprice of this contract. however, if thecost of proposed construction is affected by eventsbeyond the',
23432:'firm’s reasonablecontrol e.g., if there is an increase in material costs which could not have been anticipated, or an undue',
23433:'delay by the government in issuing a construction solicitation, the firm shall not be obligated to redesign at no cost',
23434:'to the government. if a firm’s design fails to meet the contractual limitationon construction cost and the government determines that',
23435:'the firm should not redesign the project, a written statement of the reasons for that determination shall be placed in',
23436:'the contract file. b the amount of the construction funding limitation to be inserted in paragraph c of the clause',
23437:'at 52.23622 is to be established during negotiations between the contractor and the government. this estimated construction contract price shall',
23438:'take into account any statutory or other limitations and exclude any allowances for government supervision and overhead and any amounts',
23439:'setaside bythe government for contingencies. in negotiating theamount, the contracting officer should make available to the contractor the information upon',
23440:'which the government has based its initial construction estimate and any subsequently acquired information that may affectthe constructioncosts. c thecontracting',
23441:'officer shall insert the clause at 52.23622, designwithin funding limitations, in fixedprice architectengineer contracts except when 1 the head of',
23442:'the contracting activity or a designee determines in writing that cost limitations are secondary to performance considerations and additional project',
23443:'funding can be expected, if necessary; 2 the design is for a standard structure and is not intended for a',
23444:'specific location; or 3 there is littleor no design effort involved. 36.6092redesign responsibilityfor design errors or deficiencies. a under architectengineer',
23445:'contracts, contractors shall be required to make necessary corrections at no cost to the government when the designs, drawings, specifications,',
23446:'or other items or services furnished contain any errors, deficiencies, or inadequacies. if, ina given situation,the government doesnot require a',
23447:'firm to correct such errors, the contracting officer shall include a written statement of the reasons for that decision in',
23448:'the contract file. b the contractingofficer shall insertthe clause at 52.23623,responsibility ofthe architectengineer contractor, in fixedprice architectengineer contracts. 36.6093work oversight',
23449:'inarchitectengineer contracts. the contractingofficer shall insertthe clause at 52.23624,work oversightin architectengineer contracts,in all architectengineer contracts. 36.6094requirements forregistration of designers. insert',
23450:'the clause at 52.23625, requirements for registration of designers, in architectengineer contracts, except that it may be omitted when the',
23451:'design will be performed a outside the united states and its outlying areas; or b in a state or outlying',
23452:'area of the united states that does not have registration requirements for the particular field involved. this page intentionally left',
23453:'blank. 36.66 subpart 36.7 standard and optional forms for contracting for construction, architectengineer services, and dismantling, demolition, or removal of',
23454:'improvements subpart 36.7 standard and optional forms for contracting for construction, architectengineer services, and dismantling, demolition, or removal of improvements',
23455:'36.700scope of subpart. this subpart sets forth requirements for the use of standard and optional forms, prescribed in part 53,',
23456:'for contracting for construction, architectengineer services, or dismantling, demolition, or removal of improvements. a listing of the standard forms is',
23457:'located in subpart 53.3. 36.701 standard and optional forms for usein contractingfor construction or dismantling, demolition, or removal of improvements.',
23458:'a standard form 1442, solicitation, offer, and award construction, alteration, or repair,shallbe used to solicit and submitoffers, and award construction',
23459:'or dismantling, demolition, or removal of improvements contractsexpected to exceed the simplified acquisition thresholds, and may be used for contracts',
23460:'at or below the simplified acquisition threshold. in all sealed bid solicitations, or when the government otherwiserequiresa noncancellable offer acceptance',
23461:'period, the contracting officer shall insert inthe blank provided in block 13d the number of calendar daysthat the offer mustbe',
23462:'available for acceptance after thedate offersare due. b optional form 347, order for supplies or services, may be used for',
23463:'construction or dismantling, demolition, or removal of improvements contracts that are at or below the simplified acquisition threshold; provided, that',
23464:'the contracting officerincludestheclausesrequiredsee subpart 36.5 in the simplified acquisitions see part 13. c contracting officers may use optional form 1419,abstract',
23465:'of offersconstruction,and optional form 1419a, abstract of offersconstruction, continuationsheet, or the automated equivalent, to record offers submittedin response to a',
23466:'sealed bid solicitation see 14.403 and mayalso use it to record offers submitted in response tonegotiated solicitations. 36.702 forms for',
23467:'use in contracting for architectengineerservices. a contracting officers mustuse standard form 252, architectengineer contract, to award fixedprice contracts for architectengineer',
23468:'services when the services will be performed in the united states or its outlying areas. b the sf 330, architectengineer',
23469:'qualifications, shall be used to evaluate firms before awarding a contract for architect engineer services: 1 use the sf 330,',
23470:'part icontractspecific qualifications, to obtain information from an architectengineer firm about its qualifications for a specific contract when the contract',
23471:'amount is expected to exceed the simplified acquisition threshold. part i may be used when the contract amount is expected',
23472:'to be at or below the simplified acquisition threshold, if thecontracting officer determines thatits use is appropriate. 2 use the',
23473:'sf 330, part iigeneral qualifications, to obtain information from an architectengineer firm about its general professional qualifications. this page intentionally',
23474:'left blank. 36.72 part 37 service contracting sec. 37.000 scope of part. subpart 37.1 service contractsgeneral 37.101 definitions. 37.102 policy.',
23475:'37.103 contracting officer responsibility. 37.104 personal services contracts. 37.105 competition in service contracting. 37.106 funding and term of service contracts.',
23476:'37.107 service contract labor standards. 37.108 small business certificate of competency. 37.109 services of quasimilitary armed forces. 37.110 solicitation provisions',
23477:'and contract clauses. 37.111 extension of services. 37.112 government use of private sector temporaries. 37.113 severance payments to foreign nationals.',
23478:'37.1131 waiver of cost allowability limitations. 37.1132 solicitation provision and contract clause. 37.114 special acquisition requirements. 37.115 uncompensated overtime. 37.1151',
23479:'scope. 37.1152 general policy. 37.1153 solicitation provision. subpart 37.2 advisory and assistance services 37.200 scope of subpart. 37.201 definition. 37.202',
23480:'exclusions. 37.203 policy. 37.204 guidelines for determining availability of personnel. 37.205 contracting officer responsibilities. subpart 37.3 dismantling, demolition, or removalof',
23481:'improvements 37.300 scope of subpart. 37.301 labor standards. 37.302 bonds or other security. 37.303 payments. 37.304 contract clauses. subpart 37.4',
23482:'nonpersonal health care services 37.400 scope of subpart. 37.401 policy. 37.402 contracting officer responsibilities. 37.403 contract clause. subpart 37.5 management',
23483:'oversight of service contracts 37.500 scope of subpart. 37.501 definition. 37.502 exclusions. 37.503 agencyhead responsibilities. 37.504 contracting officials’ responsibilities. subpart',
23484:'37.6 performancebased acquisition 37.600 scope of subpart. 37.601 general. 37.602 performance work statement. 37.603 performance standards. 37.604 quality assurance surveillance',
23485:'plans. this page intentionally left blank. subpart 37.1 service contractsgeneral 37.102 37.000scope of part. this part prescribes policy and procedures',
23486:'that are specific to the acquisition and management of services by contract. this part applies to all contracts and orders',
23487:'for services regardless of the contract type or kind of service being acquired. this part requires the use of performancebased',
23488:'acquisitions for services to the maximum extent practicable and prescribes policies and procedures for use of performancebased acquisition methods see',
23489:'subpart 37.6. additional guidance for research and development services is in part 35; architectengineering services is in part 36; information',
23490:'technology is in part 39; and transportation services is in part 47. parts 35,36,39, and 47 take precedence over this',
23491:'part in the event of inconsistencies. this part includes, but is not limited to, contracts for services to which 41',
23492:'u.s.c. chapter 67, service contract labor standards, applies see subpart 22.10. subpart 37.1 service contractsgeneral 37.101definitions. as used in this',
23493:'part adjusted hourly rate including uncompensated overtime is the rate that results from multiplying the hourly rate for a 40hour',
23494:'work week by 40, and then dividing by the proposed hours per week which includes uncompensated overtime hours over and',
23495:'above the standard 40hour work week. for example, 45 hours proposed on a 40hour work week basis at $20 per',
23496:'hour would be converted to an uncompensated overtime rate of $17.78 per hour $20.00 x 40 / 45 = $17.78.',
23497:'child care services means child protective services including the investigation of child abuse and neglect reports, social services, health and',
23498:'mental health care, child day care, education whether or not directly involved in teaching, foster care, residential care, recreational or',
23499:'rehabilitative programs, and detention, correctional, or treatment services. nonpersonal services contract means a contract under which the personnel rendering the',
23500:'services are not subject, either by thecontract’s terms or by the manner of its administration, to the supervision and control',
23501:'usually prevailing in relationships between the government and its employees. service contract meansa contract that directly engages the time and',
23502:'effort of a contractor whose primarypurpose is to perform anidentifiable task rather than to furnish an end item of supply.',
23503:'a service contract may beeither anonpersonalor personal contract. it can also cover services performed by either professional or nonprofessional personnel',
23504:'whether on an individualor organizational basis. some of theareas in which service contracts are found includethe following: 1 maintenance,overhaul,repair, servicing,',
23505:'rehabilitation, salvage, modernization, or modification ofsupplies, systems, or equipment. 2 routinerecurringmaintenance of realproperty. 3 housekeeping and base services. 4 advisory',
23506:'and assistance services. 5 operation of governmentowned equipment, realproperty, and systems. 6 communications services. 7 architectengineering see subpart 36.6. 8',
23507:'transportation and related services see part 47. 9 research and development see part 35. uncompensated overtime means the hours worked',
23508:'without additional compensation in excess of an average of 40 hours per week by direct charge employees whoare exempt fromthe',
23509:'fair laborstandards act. compensated personal absences such as holidays, vacations, and sick leave shall be included in the normal work',
23510:'week for purposes of computing uncompensated overtime hours. 37.102 policy. a performancebased acquisition see subpart 37.6 is the preferred method',
23511:'for acquiring services public law106398, section 821. when acquiring services, including those acquired under supply contracts or orders, agencies must',
23512:'1 use performancebased acquisition methods to the maximum extent practicable, except for i architectengineer services acquired in accordance with 40',
23513:'u.s.c. 1101 et seq. ; ii construction see part 36; iii utility services see part 41; or iv services that',
23514:'are incidental to supply purchases; and 2 use the following order of precedence public law106398, section 821a; iafirmfixedprice performancebasedcontract ortaskorder.',
23515:'federal acquisition regulation ii a performancebased contract or task order that is not firmfixed price. iii a contract or task',
23516:'order that is not performancebased. b agencies shall generally rely on the private sector for commercial services see omb circular',
23517:'no. a76, performance of commercial activities and subpart 7.3. c agencies shall not award a contract for the performance of',
23518:'an inherently governmental function see subpart 7.5. d nonpersonal service contracts are proper under general contracting authority. e agency program',
23519:'officials areresponsible for accurately describing theneedto befilled, or problem to be resolved, through service contracting in a manner that ensures',
23520:'full understanding and responsive performance by contractors and, in so doing, should obtain assistance from contracting officials, as needed. to',
23521:'the maximum extent practicable,the program officials shall describe the need to be filled usingperformancebased acquisition methods. f agencies shall establish',
23522:'effective management practices in accordance with office of federal procurement policy ofpp policy letter 931, management oversight of service contracting,',
23523:'to prevent fraud, waste, and abuse in service contracting. g services are to be obtained in the most costeffective manner,',
23524:'without barriers to full and open competition, and freeof any potential conflicts of interest. h agencies shall ensure that sufficiently',
23525:'trained and experienced officials are available within the agency tomanage and oversee the contract administration function. iagencies shall ensure that',
23526:'service contractsthat require the delivery, use, or furnishingof products are consistentwith subpart 23.1 see 23.103c. j except for dod, see',
23527:'15.1012d for limitations on the use of the lowest price technically acceptable source selection process to acquire certain services. 37.103',
23528:'contracting officer responsibility. a thecontracting officer is responsible for ensuring that a proposed contractforservices is proper. for this purposethe contracting',
23529:'officershall 1 determine whether the proposed service is for a personal or nonpersonal services contract using the definitions at 2.101',
23530:'and 37.101 and the guidelines in 37.104; 2 in doubtful cases, obtain the review of legal counsel; and 3 document',
23531:'the file except as provided in paragraph b of this section with ithe opinion of legal counsel, ifany, ii a',
23532:'memorandum of the facts and rationale supporting the conclusion that the contract does not violate the provisions in 37.104b, and',
23533:'iii any further documentation that the contracting agency may require. b nonpersonal services contracts are exempt from the requirements of',
23534:'paragraph a3 of this section. c ensure that performancebased acquisition methods are used to the maximum extent practicable when acquiring',
23535:'services. d ensure that contracts for child care services include requirements for criminal history background checks on employees who will',
23536:'perform child care services under the contract in accordance with 34 u.s.c. 20351 and agency procedures. e ensure that service',
23537:'contractor reporting requirements are met in accordance with subpart 4.17, service contracts inventory. 37.104personal services contracts. a a personal services',
23538:'contract is characterized by the employeremployee relationship it creates between the government and the contractor’spersonnel. the government is normally required',
23539:'to obtain its employees by directhire under competitive appointment or other procedures required by the civil service laws. obtaining personal',
23540:'services by contract, rather than by direct hire, circumvents those laws unless congress has specifically authorized acquisition of the services',
23541:'by contract. b agencies shall not award personal services contracts unless specifically authorized by statute e.g., 5 u.s.c. 3109 to',
23542:'do so. c 1anemployeremployeerelationshipunderaservicecontractoccurswhen,asaresultofithecontract’sterms or ii the manner of its administration during performance, contractor personnel are subject to the relatively',
23543:'continuous supervision and control of a government officer or employee. however, giving an order for a specific articleor service, with',
23544:'subpart 37.1 service contractsgeneral 37.107 the right to reject the finished product or result, is not the type of supervision',
23545:'or control that converts an individual who is an independent contractor such as a contractor employee into a government employee.',
23546:'2 each contract arrangement must be judged in the light of its own facts and circumstances, the key question always',
23547:'being: will the government exercise relatively continuous supervisionandcontrol over thecontractor personnel performing thecontract. thesporadic, unauthorized supervisionof only one of a',
23548:'largenumber of contractor employees might reasonably be considered not relevant, while relatively continuous government supervision of a substantial number of',
23549:'contractor employees would have to be taken strongly into account see d of this section. d the following descriptive elements',
23550:'should be used as a guide in assessing whether or not a proposed contract is personal in nature: 1 performance',
23551:'on site. 2 principal tools and equipment furnished by the government. 3 services are applied directly to the integral effortof',
23552:'agencies or an organizational subpart in furtheranceof assigned function or mission. 4 comparable services, meeting comparable needs, are performed in',
23553:'the same or similar agencies using civil service personnel. 5 the need for the type of service provided can reasonablybe',
23554:'expectedto last beyond1 year. 6 the inherent nature of theservice, or themanner in which it is provided, reasonablyrequiresdirectlyor indirectly, government',
23555:'direction or supervision of contractor employees in order to iadequately protect thegovernment’s interest; ii retain control of the function involved;',
23556:'or iii retain full personal responsibility for thefunction supported in adulyauthorized federal officer oremployee. e when specific statutory authority for',
23557:'a personal service contract is cited, obtain the review and opinion of legal counsel. f personal services contracts for the',
23558:'services of individual experts or consultants are limited by the classification act. in addition,the office of personnelmanagement has established requirements',
23559:'which apply inacquiring the personal services of experts or consultants in this manner e.g., benefits, taxes, conflicts of interest. therefore,the',
23560:'contracting officer shall effect necessarycoordination with thecognizant civilian personnel office. 37.105competition in service contracting. a unless otherwise provided by statute,',
23561:'contracts for services shall be awarded through sealed bidding whenever the conditions in 6.401a are met, except see 6.401b. b',
23562:'the provisions of statute and part 6 of this regulation requiring competition apply fully to service contracts. the method of',
23563:'contracting used to provide for competition may vary with the type of service being acquired and may not necessarily be',
23564:'limited to price competition. 37.106funding and term of service contracts. a when contracts for services are funded by annual appropriations,',
23565:'the term of contracts so funded shall not extend beyond the end of the fiscal year of the appropriation except',
23566:'when authorized by law see paragraph b of this section for certain service contracts, 32.7032 for contracts conditioned upon availability',
23567:'of funds, and 32.7033 for contracts crossing fiscal years. b the head ofan executive agency, except nasa, may enterinto a',
23568:'contract, exercise an option, or place an order under a contract for severable services for a period that begins in',
23569:'one fiscal year and ends in the next fiscal year if the period of the contract awarded, option exercised, or',
23570:'order placed does not exceed oneyear 10 u.s.c. 3133 and 41 u.s.c. 3902. funds made available for a fiscal year',
23571:'may be obligated for the total amount of an action enteredinto under thisauthority. c agencies with statutory multiyear authority shall',
23572:'consider the use of this authority to encourage and promote economical business operations when acquiring services. 37.107service contract labor standards.',
23573:'41 u.s.c. chapter 67, service contract labor standards, provides for minimum wages and fringe benefits as well as other conditions',
23574:'of work under certain types of service contracts. whether or not the service contract labor standards statute applies to a',
23575:'specific service contract will be determined by the definitions and exceptions given in the service contract labor standards statute, or',
23576:'implementing regulations. federal acquisition regulation 37.108 smallbusinesscertificate ofcompetency. in those service contracts for which the government requires the highest competence',
23577:'obtainable, as evidenced in a solicitation by a request for a technical/management proposal and a resultant technical evaluation and source',
23578:'selection, the small business certificate of competency procedures may not apply see subpart 19.6. 37.109 services of quasimilitary armedforces. contracts',
23579:'with pinkerton detective agenciesor similar organizations are prohibited by 5 u.s.c. 3108. this prohibition applies onlyto contracts with organizations that',
23580:'offer quasimilitaryarmed forces for hire, or with their employees, regardless of the contract’s character. an organization providing guardor protective services',
23581:'does not therebybecome a quasimilitary armed force, eventhough the guards are armedor the organization provides general investigative or detectiveservices. see',
23582:'57 comp. gen. 524. 37.110solicitation provisions and contractclauses. a thecontracting officer shall insert the provision at 52.2371, site visit,in solicitations',
23583:'for services to be performed on government installations, unless the solicitation is for construction. b the contractingofficer shall insertthe clause',
23584:'at 52.2372, protection of government buildings, equipment, and vegetation, in solicitations and contracts for servicesto beperformed on governmentinstallations, unless a',
23585:'construction contract is contemplated. c thecontracting officer may insert the clause at 52.2373, continuity of services, in solicitations and contracts',
23586:'for services, when 1 the services under the contract are considered vital to the government and must be continued without',
23587:'interruption and when, upon contractexpiration, asuccessor, either the government or anothercontractor, may continue them; and 2 the government anticipates difficulties',
23588:'during the transition from one contractor toanother or to the government. examples of instances where use of the clause may',
23589:'be appropriate are services in remote locations or services requiring personnel with special security clearances. d see 9.508 regarding the',
23590:'use of an appropriate provision and clause concerning the subject of conflictofinterest, which may at times be significant in solicitations',
23591:'and contracts for services. e thecontracting officer shall also insert in solicitations and contractsforservicesthe provisions and clauses prescribed elsewhere in',
23592:'the far, as appropriate for each acquisition, depending on the conditions that are applicable. 37.111extension of services. award of contractsforrecurringandcontinuingservice',
23593:'requirementsare often delayeddueto circumstances beyondthe control of contracting offices. examples of circumstancescausing such delays are bid protests and alleged mistakes',
23594:'in bid. in order to avoid negotiation of short extensions to existing contracts,the contracting officer mayinclude an optionclause see 17.208f',
23595:'in solicitations and contracts which will enable the government to require continued performance of any services within the limitsandat the',
23596:'rates specified in the contract. however, these rates may be adjusted only as a resultof revisions to prevailing labor rates',
23597:'provided by the secretaryof labor. the optionprovision may be exercised more than once, but the total extension of performance thereunder',
23598:'shall not exceed 6 months. 37.112government use of private sector temporaries. contracting officersmay enter into contracts with temporary help service',
23599:'firmsforthe brief or intermittent use of the skills of private sector temporaries. services furnished by temporary help firms shall not',
23600:'be regarded or treated as personal services. these services shall not be used in lieu of regular recruitment under civil',
23601:'service laws or to displace a federal employee. acquisition of theseservices shall comply with the authority, criteria, andconditions of5 cfr',
23602:'part 300, subparte, use of private sector temporaries, and agency procedures. 37.113severance payments toforeign nationals. 37.1131 waiver of costallowability limitations.',
23603:'a the head of the agency may waive the 31.2056g6 cost allowability limitations on severance payments to foreign nationals for',
23604:'contracts that 1 provide significant support services for i members of the armed forces stationed or deployed outside the united',
23605:'states, or subpart 37.1 service contractsgeneral 37.1152 ii employees of an executive agency posted outside the united states; and 2',
23606:'will be performedin whole or in partoutside the united states. b waiverscan be granted only before contract award. c waivers',
23607:'cannotbe grantedfor 1 military banking contracts, which are covered by 10 u.s.c. 3744d; or 2 severance payments made by a',
23608:'contractor to a foreign national employed by the contractor under a dod service contract in the republic of the philippines,',
23609:'if the discontinuation of the foreign national is the result of the termination of basing rights of the united states',
23610:'military in the republic of the philippines section1351b of public law102484, 10 u.s.c.1592, note. 37.1132 solicitation provision and contractclause. a',
23611:'use the provision at 52.2378, restriction on severance payments to foreign nationals, in all solicitations that meet the criteria in',
23612:'37.1131a, except for those excluded by 37.1131c. b when the head of an agency has granted a waiver pursuant to',
23613:'37.1131, use the clause at 52.2379,waiverof limitation on severance payments to foreign nationals. 37.114special acquisition requirements. contracts for services which',
23614:'require the contractor to provide advice, opinions, recommendations, ideas, reports, analyses, or other work products have thepotentialforinfluencingthe authority, accountability, and',
23615:'responsibilitiesof government officials. thesecontracts require special management attention to ensure thatthey do not result inperformance of inherently governmental functions bythe',
23616:'contractor and that government officials properly exercisetheir authority. agencies must ensure that a a sufficient number ofqualified government employees areassigned',
23617:'to oversee contractor activities, especially those that involve support of government policy or decision making. during performance of service contracts,',
23618:'the functions being performed shall not be changed or expanded to become inherently governmental. b a greater scrutiny and an',
23619:'appropriate enhanced degree of management oversight is exercised when contracting for functions that are not inherently governmental but closely support',
23620:'the performance of inherently governmental functions see 7.503c. c all contractor personnel attending meetings, answering government telephones, and working in',
23621:'other situations where their contractor status is not obvious to third parties are required to identify themselves as such to',
23622:'avoid creating an impression in the minds of members of the public or congress that theyare government officials, unless, in',
23623:'the judgment of the agency, no harm can come from failing to identifythemselves. they must also ensure that all documents',
23624:'or reports produced by contractors are suitably marked as contractor products or that contractor participation is appropriately disclosed. 37.115uncompensated overtime.',
23625:'37.1151 scope. the policies in this section are based on section 834 of public law101510 10 u.s.c. 4507. 37.1152 general',
23626:'policy. a use of uncompensated overtime is not encouraged. b when professional or technical services are acquired on the basis',
23627:'of the number of hours to be provided, rather than on the task to be performed, the solicitation shall require',
23628:'offerors toidentify uncompensated overtime hours and the uncompensated overtimerate for direct charge fair labor standards actexempt personnelincluded in their proposals',
23629:'and subcontractor proposals. this includes uncompensated overtime hours that are in indirect cost pools for personnel whose regular hours are',
23630:'normallycharged direct. c contracting officers mustensure that the useof uncompensatedovertime in contracts to acquire services onthe basis of the number',
23631:'of hours providedwill not degrade the level of technical expertise required to fulfill the government’s requirements see 15.305 for competitive',
23632:'negotiations and 15.4041d for cost realism analysis. when acquiring these services, contracting officers must conduct arisk assessment and evaluate, for',
23633:'award on that basis, any proposals received that reflect factors such as 1 unrealistically low labor rates or other costs',
23634:'that may result in quality or service shortfalls; and 2 unbalanced distribution of uncompensated overtime among skill levels and its',
23635:'use in key technical positions. 37.1153 federal acquisition regulation d whenever there is uncompensated overtime, the adjusted hourly rate including',
23636:'uncompensated overtime see definition at 37.101, rather than the hourly rate, shall be applied to all proposed hours, whether regular',
23637:'or overtime hours. 37.1153 solicitation provision. the contractingofficer shall insertthe provisionat 52.23710, identification of uncompensated overtime, in all solicitations valued',
23638:'above the simplified acquisition threshold, for professional or technical services to be acquired on the basis of the number of',
23639:'hours to be provided. subpart 37.2 advisory and assistance services 37.203 subpart 37.2 advisory and assistance services 37.200scope of subpart.',
23640:'this subpart prescribes policies and procedures for acquiring advisory and assistance services by contract. the subpart applies to contracts, whether',
23641:'made with individuals or organizations, thatinvolve either personal ornonpersonalservices. 37.201definition. covered personnel means 1 an officer or anindividual who is',
23642:'appointed in the civilservice by one ofthe following acting inan official capacity i the president; ii a member of congress;',
23643:'iii a member of the uniformed services; iv an individual who is an employee under 5 u.s.c. 2105; v the',
23644:'head of a governmentcontrolled corporation; or vi an adjutant general appointed by the secretary concerned under 32 u.s.c. 709c. 2',
23645:'a member of the armed services of the united states. 3 a person assigned to a federal agency who has',
23646:'been transferred to another position in the competitive service in anotheragency. 37.202exclusions. the following activities and programs are excluded or',
23647:'exempted from the definition of advisory or assistance services: a routine information technology services unless they are an integral part',
23648:'of a contract for the acquisition of advisory and assistance services. b architectural and engineering services as defined in 40',
23649:'u.s.c. 1102. c research on theoretical mathematics and basic research involving medical, biological, physical, social, psychological, or other phenomena. 37.203',
23650:'policy. a the acquisition of advisory and assistance services is a legitimate way to improve government services and operations. accordingly,',
23651:'advisory and assistance services may beused at all organizational levels to help managers achievemaximum effectiveness or economy in their operations.',
23652:'b subject to 37.205, agencies maycontract for advisory and assistance services, when essential tothe agency’s mission, to 1 obtain outside',
23653:'points of view to avoid too limited judgment on critical issues; 2 obtainadviceregarding developments in industry,university, or foundation research; 3',
23654:'obtain the opinions, special knowledge, or skills of noted experts; 4 enhance the understanding of, and develop alternative solutions to,',
23655:'complex issues; 5 support and improve the operation of organizations; or 6 ensure the moreefficient or effective operation of managerial',
23656:'or hardwaresystems. c advisory and assistance services shall not be 1 used in performing work ofa policy, decisionmaking, ormanagerial nature',
23657:'which isthe direct responsibility of agency officials; 2 used to bypass or undermine personnel ceilings, pay limitations, or competitive employment',
23658:'procedures; 3 contracted for on a preferential basis to former government employees; 4 used under any circumstances specifically to aid',
23659:'in influencing or enacting legislation; or 5 used to obtain professional or technical advice which is readily available within the',
23660:'agency or another federal agency. d limitation on payment for advisory and assistance services. contractors may not be paid for',
23661:'services to conduct evaluations or analyses of any aspect of a proposal submitted for an initial contract award unless 1',
23662:'neithercovered personnel from the requesting agency, nor from anotheragency, withadequate training and capabilities to perform the required proposal evaluation, are',
23663:'readily available and a written determination is made in accordance with 37.204; federal acquisition regulation 2 the contractor is a',
23664:'federallyfunded research and development center ffrdc as authorized in 41 u.s.c. 1709c and the work placed under the ffrdcs contract',
23665:'meets the criteria of 35.0173; or 3 suchfunctions are otherwise authorized bylaw. 37.204guidelines for determining availability of personnel. a theheadof',
23666:'an agency shall determine, for eachevaluation or analysis ofproposals, if sufficient personnel with the requisite training and capabilities are available',
23667:'within the agency to perform the evaluation or analysis of proposals submitted for the acquisition. b if, for a specificevaluation',
23668:'or analysis, such personnel are not available withinthe agency, the head of the agency shall 1 determine which federal agencies',
23669:'may have personnel with the required training and capabilities; and 2 consider the administrative cost and time associated with conducting',
23670:'the search, the dollar value of the procurement, other costs, such as travel costs involved in the use of such',
23671:'personnel, and the needs of the federal agencies to make management decisions on thebestuse ofavailable personnel in performing the agency’s',
23672:'mission. c if the supporting agency agrees to make the required personnel available, the agencies shall execute an agreement for',
23673:'thedetail of the supporting agency’s personnel to the requestingagency. d if the requestingagency, after reasonable attempts to obtain personnelwith the',
23674:'required training and capabilities, is unable to identify such personnel, the head of the agency may make the determination required',
23675:'by 37.203. e an agency may make a determination regarding the availability of covered personnel for a class of proposals',
23676:'for which evaluation and analysis would require expertise so unique or specialized that it is not reasonable to expect such',
23677:'personnel to be available. 37.205 contracting officer responsibilities. the contractingofficer shall ensure thatthe determination required in accordance with the guidelines',
23678:'at 37.204 has been made prior to issuing a solicitation. subpart 37.3 dismantling, demolition, or removal of improvements 37.304 subpart',
23679:'37.3 dismantling, demolition, or removal of improvements 37.300scope of subpart. this subpart prescribes procedures for contracting for dismantling or demolition',
23680:'of buildings, ground improvements and other real property structures and for the removal of such structures or portions of them',
23681:'hereafter referred to as dismantling, demolition, or removal of improvements. 37.301labor standards. contracts for dismantling, demolition, or removal of improvements',
23682:'are subject to either 41 u.s.c. chapter 67, service contract labor standards, or 40 u.s.c. chapter 31, subchapter iv, wage',
23683:'rate requirements construction. ifthe contract is solely for dismantling, demolition, or removal of improvements, the service contract labor standards statute',
23684:'applies unless further work which will result in the construction, alteration, or repair of a public building or public work',
23685:'at that location is contemplated. if such further construction work is intended,eventhough by separate contract, then the construction wage rate',
23686:'requirements statute applies to the contract for dismantling, demolition, or removal. 37.302 bonds orother security. when a contract is solely',
23687:'for dismantling, demolition, or removal of improvements,40 u.s.c. chapter 31, subchapter iii, bonds, see 28.102 does not apply. however, the',
23688:'contracting officer may requirethe contractor to furnish aperformance bond or other security see 28.103 in an amount that the contractingofficer',
23689:'considers adequate to a ensure completion of the work; b protect property to be retained by the government; c protect',
23690:'property to be provided as compensation to the contractor; and d protect the government against damageto adjoining property. 37.303payments. a',
23691:'the contract may provide that the 1 government pay the contractor for the dismantling or demolition of structures; or 2',
23692:'contractor pay the government for the right to salvage and remove the materials resulting from the dismantling or demolition operation.',
23693:'b the contractingofficer shall consider the usefulness tothe government of all salvageable property. any of the property that is more',
23694:'useful to the government than its value as salvage to the contractor should be expressly designated in thecontract for retention',
23695:'by the government. the contracting officer shall determine the fair market value of any property not so designated, since the',
23696:'contractorwill get title to this property,andits value will thereforebe importantin determining what payment, if any, shall be made to the',
23697:'contractor and whether additional compensation will be made ifthe contract is terminated. 37.304contract clauses. a thecontracting officer shall insert the',
23698:'clause at 52.2374, payment by governmentto contractor, in solicitations and contracts solely for dismantling, demolition, or removal of improvements whenever',
23699:'the contractingofficer determines that the government shall make payment to the contractor in addition to any title to property that',
23700:'the contractor may receive under thecontract. ifthe contracting officerdeterminesthat all material resultingfrom the dismantling or demolition workis to be retained',
23701:'by the government, use the basic clause with its alternatei. b the contractingofficer shall insertthe clause at 52.2375, payment by',
23702:'contractor to government in solicitations and contracts for dismantling, demolition, or removal of improvements whenever the contractor is to receive',
23703:'title to dismantled or demolished property and anet amount of compensation isdueto the government,exceptif the contracting officer determines that it',
23704:'would be advantageous to the government for the contractor to pay in increments and the government to transfer title to',
23705:'the contractor for increments of property only upon receipt of those payments. c thecontracting officer shall insert the clause at',
23706:'52.2376, incremental payment by contractor to government, in solicitations and contracts for dismantling, demolition, or removal of improvements if l',
23707:'the contractor is to receive title to dismantled or demolished property and a net amount of compensationis due the government,',
23708:'and 2 the contracting officer determines that it would be advantageous to the government for the contractor to pay in',
23709:'increments, and for the government to transfer title to the contractor for increments of property only upon receipt of those',
23710:'payments. this determination may be appropriate, for example, if it encourages greater competition or participation of small business concerns. this',
23711:'page intentionally left blank. 37.32 subpart 37.4 nonpersonal health care services 37.403 subpart 37.4 nonpersonal health care services 37.400scope of',
23712:'subpart. this subpart prescribes policies and procedures for obtaining health care services of physicians, dentists and other health care providers',
23713:'by nonpersonal services contracts, as defined in 37.101. 37.401 policy. agencies may enter into nonpersonal health care services contracts with',
23714:'physicians, dentists and other health care providers under authority of 10 u.s.c. chapter 221 and 41 u.s.c. chapter 33, planning',
23715:'and solicitation. each contract shall a state that the contract is a nonpersonal health care services contract, as defined in',
23716:'37.101, under which the contractor is an independent contractor; b state that the government may evaluate the quality of professional',
23717:'and administrative services provided, but retains no control over the medical, professional aspects of services rendered e.g., professional judgments, diagnosis',
23718:'for specific medical treatment; c require that the contractor indemnify thegovernment for any liability producing act or omissionby the contractor,',
23719:'its employees and agents occurring during contract performance; d require that the contractor maintain medical liability insurance, in a coverage',
23720:'amount acceptable to the contracting officer, which is not less thanthe amountnormally prevailing within the local community for themedical specialty',
23721:'concerned; and e state that the contractor is required to ensure that its subcontracts for provisions of health care services,',
23722:'contain the requirements of the clause at 52.2377, including the maintenance of medical liability insurance. 37.402 contracting officer responsibilities. contracting',
23723:'officersshallobtain evidence of insurability concerning medical liability insurancefrom the apparent successful offeror prior to contract award and shall obtain evidence',
23724:'of insurance demonstrating the required coverage prior to commencement of performance. 37.403contract clause. the contractingofficer shall insertthe clause at 52.2377,',
23725:'indemnification and medical liability insurance, in solicitations and contracts for nonpersonal healthcare services. the contracting officer may include the clausein',
23726:'bilateral purchase orders for nonpersonal health care services awarded under the procedures in part 13. this page intentionally left blank.',
23727:'37.42 subpart 37.5 management oversight of service contracts 37.504 subpart 37.5 management oversight of service contracts 37.500scope of subpart. this',
23728:'subpart establishes responsibilities for implementing office offederal procurement policy ofpp policy letter931, management oversight of service contracting. 37.501definition. best practices,',
23729:'as used in this subpart, means techniques that agencies may use to help detect problems in the acquisition, management, and',
23730:'administration of service contracts. best practices are practical techniques gained from experience that agencies may use to improve the procurement',
23731:'process. 37.502exclusions. a this subpart does not apply to services that are 1 obtained through personnel appointments and advisory committees;',
23732:'2 obtained through personal service contracts authorized by statute; 3 for construction as defined in 2.101; or 4 obtained through',
23733:'interagency agreements where the work is being performed by inhouse federal employees. b services obtained under contracts below the simplified',
23734:'acquisition threshold and services incidental to supply contracts also are excluded fromthe requirements of this subpart. however, good management practices',
23735:'and contract administration techniques should be used regardless of the contracting method. 37.503 agencyheadresponsibilities. the agency head or designee should',
23736:'ensure that a requirements for services are clearly defined and appropriate performance standards are developed so that the agency’s requirements',
23737:'can be understood bypotentialofferorsand that performance in accordance with contract terms and conditions will meetthe agency’s requirements; b service contracts',
23738:'are awarded and administered in a manner that will provide the customer its supplies and services within budget and in',
23739:'a timely manner; c specific procedures are in place before contracting for services to ensure that inherently governmental functions are',
23740:'performed by government personnel; and d strategies aredevelopedandnecessary staff training is initiated to ensureeffective implementation of the policies in 37.102.',
23741:'37.504 contracting officials’ responsibilities. contracting officials should ensure that bestpractices techniques are used when contracting for services and in contract',
23742:'management and administration see ofpp policy letter931. this page intentionally left blank. 37.52 subpart 37.6 performancebased acquisition 37.604 subpart 37.6',
23743:'performancebased acquisition 37.600scope of subpart. this subpart prescribes policies and procedures for acquiring services using performancebased acquisition methods. 37.601general. a',
23744:'solicitations may use either a performance work statement or a statement of objectives see 37.602. b performancebased contracts for services',
23745:'shall include 1 a performance work statement pws; 2 measurable performance standards i.e., in termsof quality, timeliness, quantity,etc. and the',
23746:'method of assessing contractor performance against performance standards; and 3 performance incentives where appropriate. when used, the performance incentives shall',
23747:'correspond to the performance standards set forth in the contract see 16.4022. 37.602performance work statement. a a performance work statement',
23748:'pws may be prepared by the government or result from a statement of objectives soo prepared by the government where',
23749:'the offeror proposes the pws. b agencies shall, to the maximum extent practicable 1 describe the work in terms of',
23750:'the required results rather than either how the work is to be accomplished or the number of hours to be',
23751:'provided see 11.002a2 and 11.101; 2 enable assessment of work performance against measurable performance standards; 3 rely on the use',
23752:'of measurable performance standards and financial incentives in a competitive environment to encourage competitors to develop and institute innovative and',
23753:'costeffective methods ofperforming thework. c offerors use the soo to develop the pws; however, the soo does not become part',
23754:'of the contract. the soo shall, at a minimum, include 1 purpose; 2 scope or mission; 3 period and place',
23755:'of performance; 4 background; 5 performance objectives, i.e., required results; and 6 any operating constraints. 37.603performance standards. a performance standards',
23756:'establish the performance level required by the government to meet the contract requirements. the standards shall be measurable and structured',
23757:'to permit an assessmentof the contractor’s performance. b when offerors propose performance standards in response toa soo, agencies shall evaluate',
23758:'theproposed standards to determine if they meet agency needs. 37.604quality assurance surveillance plans. requirements for quality assurance and quality assurance',
23759:'surveillance plans are in subpart 46.4. the government may eitherprepare the quality assurance surveillance plan or require the offerors to',
23760:'submit a proposed quality assurance surveillance plan for the government’s consideration in development of the government’splan. this page intentionally left',
23761:'blank. 37.62 part 38 federal supply schedule contracting sec. 38.000 38.101 scope of part. subpart 38.1 federal supply schedule program',
23762:'general. subpart 38.2 establishing and administering federal supply schedules 38.201 coordination requirements. this page intentionally left blank. subpart 38.1 federal',
23763:'supply schedule program 38.101 38.000scope of part. this part prescribes policies and procedures for contracting for supplies and services under',
23764:'the federal supply schedule program, which is directed and managed by the general services administration see subpart 8.4, federal supply',
23765:'schedules, for additional information. gsa may delegate certain responsibilities to other agencies e.g., gsa has delegated authority to thedepartment ofveterans',
23766:'affairs va to procure medical supplies under the va federal supply schedules program. the vafederal supply schedules program is covered',
23767:'by this subpart. additionally, the department of defense manages a similar system of schedulecontracting for military items; however, the departmentof',
23768:'defense systems are nota partof the federal supply schedule program. subpart 38.1 federal supply schedule program 38.101general. a the federal',
23769:'supply schedule program, pursuant to 41 u.s.c. 1523, provides federal agencies with a simplified process of acquiring commercial supplies and',
23770:'commercial services in varying quantities while obtaining volume discounts. indefinitedelivery contracts are awarded using competitive procedures to firms. the firms',
23771:'provide supplies and services at stated prices for given periods of time, for delivery within a stated geographic area such',
23772:'as the 48 contiguous states, thedistrict of columbia, alaska, hawaii, and overseas. the schedule contracting officeissues federal supplyschedule publications that',
23773:'contain a general overview of the federal supply schedule fss program and address pertinent topics. b each schedule identifies agencies',
23774:'that are required to use the contractsas primary sources of supply. c federal agencies not identified in the schedules as',
23775:'mandatory users may issue orders under the schedules. contractors are encouraged to accept the orders. d although gsa awards most',
23776:'federal supply schedule contracts, it may authorize other agencies to award schedule contracts and publishschedules. for example, thedepartment ofveterans affairs',
23777:'awards schedule contracts for certain medical and nonperishable subsistence items. e when establishingfederal supply schedules, gsa, or an agency delegated',
23778:'that authority, is responsible for complying with all applicable statutory and regulatory requirements e.g., parts 5, 6, and 19. the',
23779:'requirements of parts 5, 6, and 19 apply at the acquisition planningstage prior to issuingthe schedule solicitation and, generally, do',
23780:'not apply toordersand bpas placed under resulting schedulecontracts exceptsee 8.404 and 8.4055. this page intentionally left blank. 38.12 subpart 38.2',
23781:'establishing and administering federal supply schedules 38.201 subpart 38.2 establishing and administering federal supply schedules 38.201 coordinationrequirements. a subject to',
23782:'interagencyagreements, contracting officers havingresponsibilityforawarding federal supplyschedule contracts shall coordinateandobtainapproval of the general servicesadministration’s federal supply service fss before 1 establishing',
23783:'new schedules; 2 discontinuing existing schedules; 3 changing the scope of agency or geographical coverage of existing schedules; or 4',
23784:'adding or deleting special item numbers, national stock numbers, or revising their description. b requests should be forwarded to the:',
23785:'general services administration federalsupply service office of acquisition fcwashington,dc20406. this page intentionally left blank. 38.22 fac 202501 november 12, 2024',
23786:'part 39 acquisition of information technology sec. 39.000 scope of part. subpart 39.2 information and 39.001 applicability. communication technology 39.002',
23787:'definitions. 39.201 scope of subpart. 39.202 definition. subpart 39.1 general 39.203 applicability. 39.101 policy. 39.204 exceptions. 39.102 management of risk.',
23788:'39.205 exemptions. 39.103 modular contracting. 39.104 information technology services. 39.105 privacy. 39.106 contract clause. this page intentionally left blank. subpart',
23789:'39.1 general 39.101 39.000scope of part. this part prescribes acquisition policies and procedures for use in acquiring— a information technology,',
23790:'includingfinancialmanagementsystems, consistent withother parts of this regulation,omb circular no.a127, financial management systems and omb circular no.a130, management of federal information',
23791:'resources. b information and communication technology see 2.101. 39.001 applicability. this part applies to the acquisition of— a information technology',
23792:'by or for the use of agencies except for acquisitions of information technology for national security systems. however, acquisitions of',
23793:'information technology for national security systemsshallbe conducted in accordance with 40 u.s.c. 11302 with regard to requirements for performance and',
23794:'resultsbased management; the role of the agency chief information officer in acquisitions; and accountability. these requirements are addressed in omb',
23795:'circular no. a130; and b information and communication technology by or for the use of agencies or for the use',
23796:'of the public, unless an exception see 39.204 or an exemption see 39.205 applies. see 36 cfr 1194.1. 39.002definitions. as',
23797:'used in this part modular contracting means use of one or more contracts to acquire information technology systems in successive,',
23798:'interoperable increments. national security system means any telecommunications or information system operated by the united states government, the function, operation,',
23799:'or use of which 1 involves intelligence activities; 2 involves cryptologic activities related to national security; 3 involves command and',
23800:'control of military forces; 4 involves equipment that is an integral part of a weapon or weapons system; or 5',
23801:'is critical to the direct fulfillment of military or intelligence missions. this does not include a system that is to',
23802:'be used for routine administrative and business applications, such as payroll, finance, logistics, and personnel management applications. subpart 39.1 general',
23803:'39.101 policy. a 1inacquiringinformationtechnology,agenciesshallidentifytheirrequirementspursuantto iomb circulara130, includingconsideration of security of resources, protection of privacy, national security and emergency preparedness, accessibility',
23804:'for individuals with disabilities, and energy efficiency; ii the requirements for sustainable products and services as defined in 2.101 in',
23805:'accordance with subpart 23.1; iii policies toenablepowermanagement and other energyefficient or environmentally preferable features on all agency electronic products; and',
23806:'iv best management practicesforenergyefficient management of servers and federal data centers. 2 when developingan acquisition strategy, contracting officers should consider',
23807:'the rapidly changing nature of information technology through market research see part 10 and the application of technology refreshment techniques.',
23808:'b agencies must follow omb circular a127, financial management systems, when acquiring financial management systems. agencies may acquire only core',
23809:'financial management software certified by the joint financial management improvement program. c inacquiring information technology, agencies shall include the appropriate',
23810:'informationtechnology security policies and requirements, including use of common security configurations available from the national institute of standards and technology’swebsiteat',
23811:'http://checklists.nist.gov. agency contracting officersshouldconsult with the requiring official to ensure the appropriate standards are incorporated. d when acquiring information technology',
23812:'using internet protocol, agencies must include the appropriate internet protocol compliance requirements in accordance with 11.002g. fac 202501 november 12,',
23813:'2024 federal acquisition regulation e contracting officers shall not purchase any hardware, software,or services developed or provided by kasperskylab that',
23814:'the government will use on or after october 1, 2018. see 4.2002. f 1onorafteraugust13,2019,contractingofficersshallnotprocureorobtain,orextendorrenewacontractto procure or obtain, any equipment, system,',
23815:'or service that uses covered telecommunications equipment or services as a substantial or essential component of any system, or as',
23816:'critical technology as part of any system on or after august 13, 2019, unless an exception applies or a waiver',
23817:'is granted. see subpart 4.21. 2 on or after august 13, 2020, agencies are prohibited from entering into a contract,',
23818:'or extending or renewing a contract, with an entity that uses any equipment, system, or service that uses covered telecommunications',
23819:'equipment or services as a substantial or essential component of any system, or as critical technology as part of any',
23820:'system, unless an exception applies or a waiver is granted see subpart 4.21. this prohibition applies to the use of',
23821:'covered telecommunications equipment or services, regardless of whether that use is in performance of work under a federal contract. g',
23822:'see the prohibition in 4.2202 on the presence or use of a covered application “tiktok”. h executive agencies are prohibited',
23823:'from procuring or obtaining, or extending or renewing a contract to procure or obtain, any covered article, or any products',
23824:'or services produced or provided by a source, including contractor use of covered articles or sources, if prohibited fromdoing so',
23825:'by an applicable fascsa orderissuedby the director ofnational intelligence, secretary of defense, or secretary of homeland security see 4.2303. i',
23826:'executive agencies must comply with the prohibitions on unmanned aircraft systems e.g., drones in accordance with 40.202. 39.102management of risk.',
23827:'a prior to entering into a contract for information technology, anagency should analyze risks, benefits, and costs. see part 7',
23828:'for additional information regarding requirements definition. reasonable risk taking is appropriate as long as risks arecontrolled and mitigated. contracting and',
23829:'program office officials arejointly responsible for assessing, monitoring and controlling risk when selecting projects for investment and during program implementation.',
23830:'b types of risk may include schedule risk, risk of technical obsolescence, cost risk, riskimplicit in a particular contract type,',
23831:'technical feasibility, dependenciesbetween a new project and other projects orsystems, the numberof simultaneous high risk projects to be monitored, funding',
23832:'availability,and program management risk. c appropriate techniques should be applied to manage and mitigate risk during the acquisition of information',
23833:'technology. techniques include, but arenot limited to: prudent project management; use of modular contracting; thorough acquisition planning tied tobudget planning',
23834:'bythe program, financeand contracting offices; continuous collection and evaluation of riskbased assessment data; prototyping prior to implementation; post implementation reviews',
23835:'to determine actual project cost, benefits and returns; and focusing on risks and returns using quantifiable measures. 39.103modular contracting. a',
23836:'this section implements 41 u.s.c. 2308. modular contracting is intended to reduce program risk and to incentivize contractor performance whilemeetingthe',
23837:'government’s need for timely access to rapidly changing technology. consistent with the agency’sinformationtechnology architecture, agencies should, to the maximum extentpracticable,',
23838:'use modular contracting to acquire major systems see 2.101 of information technology. agencies may also use modular contracting to acquire',
23839:'nonmajorsystems of information technology. b when using modular contracting, an acquisition of a system of information technology may be divided',
23840:'into several smaller acquisition increments that 1 are easier to manage individually than would be possible in one comprehensive acquisition;',
23841:'2 address complex information technology objectives incrementally in order to enhance the likelihood of achieving workable systems or solutions for',
23842:'attainment of those objectives; 3 provide for delivery, implementation, and testing of workable systems orsolutions in discrete increments, each of',
23843:'which comprises a system or solution that is not dependent on any subsequent increment in order to perform its principal',
23844:'functions; 4 provide an opportunity for subsequent increments to take advantage of any evolution in technology or needs that occur',
23845:'during implementation and use of the earlier increments; and 5 reduce risk of potential adverse consequences on the overall project',
23846:'by isolating and avoiding customdesigned components of the system. c the characteristics of an increment may vary depending upon the',
23847:'type of information technology being acquired and the nature of the system being developed. the following factors may be considered:',
23848:'subpart 39.1 general 39.106 1 to promote compatibility, theinformationtechnology acquired through modular contracting for eachincrement should comply with common or',
23849:'commercially acceptable information technology standards when available and appropriate, and shall conform to the agency’s master information technology architecture. 2',
23850:'the performance requirements of each increment should be consistent with the performance requirements of the completed, overall system within which',
23851:'the information technology will function and should address interface requirements with succeeding increments. d for each increment, contractingofficers shall choose',
23852:'an appropriatecontracting technique that facilitates the acquisition of subsequent increments. pursuant to parts 16 and 17ofthefederalacquisitionregulation,contractingofficers shall select the contract',
23853:'type and method appropriate to the circumstances e.g., indefinite delivery, indefinite quantity contracts, single contract with options, successive contracts, multiple',
23854:'awards, task order contracts. contracts shall be structured to ensure that the government is not required to procure additional increments.',
23855:'e to avoid obsolescence,a modular contractforinformation technology should, to the maximumextent practicable, be awarded within 180 days after the date',
23856:'on which the solicitation is issued. if award cannot be made within 180 days, agencies should consider cancellation of the',
23857:'solicitation in accordance with 14.209 or 15.206e. to the maximumextent practicable, deliveries under the contract should be scheduled to occur',
23858:'within 18 months after issuance of the solicitation. 39.104information technology services. when acquiring information technology services, solicitations must not describe',
23859:'any minimum experience or educational requirement for proposed contractorpersonnel unless the contracting officer determines that the needsof the agency a',
23860:'cannot be met without that requirement; or b require the use of other than a performancebased acquisition see subpart 37.6.',
23861:'39.105 privacy. agencies shall ensure that contracts for information technology address protection of privacy in accordance with the privacy act',
23862:'5 u.s.c. 552a and part 24. in addition, each agency shall ensure that contracts for the design, development, or operation',
23863:'of a system of records using commercial information technology services or information technology support services include the following: a agency',
23864:'rules of conductthat thecontractor and the contractor’s employees shall berequired to follow. b a list of the anticipated threats and',
23865:'hazards that the contractor must guard against. c a description of the safeguards that the contractor must specifically provide. d',
23866:'requirements for a program of government inspection during performance of the contract that will ensure the continued efficacyandefficiencyof safeguards and',
23867:'the discovery and countering of new threats andhazards. 39.106contract clause. the contractingofficer shall inserta clause substantiallythe same as theclause at',
23868:'52.2391, privacy or security safeguards, in solicitations and contracts for informationtechnology which require security of information technology, and/ or are',
23869:'for the design, development, or operation of a system of records using commercial information technology services or support services. this',
23870:'page intentionally left blank. 39.14 subpart 39.2 information and communication technology 39.204 subpart 39.2 information and communication technology 39.201scope of',
23871:'subpart. a this subpart implements section 508 of the rehabilitation act of 1973 29 u.s.c. 794d, and the architectural and',
23872:'transportation barriers compliance boards u.s. access board information and communication technology ict accessibility standards at 36cfr 1194.1. b further information',
23873:'on section 508 is available via the internet at http://www.section508.gov. c when acquiring ict, agencies must ensure that— 1 federal',
23874:'employees with disabilities have access to and use of information and data that is comparable to the access and use',
23875:'by federal employees who are not individuals with disabilities; and 2 members of the public with disabilities seeking information or',
23876:'services from an agency have access to and use of information and data that is comparable to the access to',
23877:'and use of information and data by members of the public who are not individuals with disabilities. 39.202definition. undue burden,',
23878:'as used in this subpart, means a significantdifficulty or expense. 39.203 applicability. a general. unless an exception at 39.204 or',
23879:'an exemption at 39.205 applies, acquisitions for ict supplies and services shall meet the applicable ict accessibility standards at 36',
23880:'cfr 1194.1. b indefinitequantity contracts. confirmation of an exception or a determination of an exemption is not required prior to',
23881:'award of an indefinitequantity contract, except for requirements that are to be satisfied by initial award. the contract must identify',
23882:'which supplies and services the contractor indicates as compliant and show where full details of compliance can be found e.g.,',
23883:'vendors or other exact website location. c task order or delivery order. at the time of issuance of a task',
23884:'order or delivery order under an indefinitequantity contract, the requiring and ordering activities shall ensure compliance with the ict accessibility',
23885:'standards and document an exceptionor exemption if applicable. anytaskorder or delivery order, or portion thereof, issued for a noncompliantict item',
23886:'shall besupported by theappropriate exception or exemption documented by the requiring activity. d commercial products and commercial services. when acquiring',
23887:'commercial products and commercial services, an agency must comply with those ict accessibility standards that can be met with supplies',
23888:'or services that are available in the commercial marketplace and that best address the agencys needs, but see 39.205a3. e',
23889:'legacy ict. any component or portion of existing ict i.e., ict that was procured, maintained, or used on or before',
23890:'january 18, 2018 is not required to comply with the current ict accessibility standards if it— 1 complies with an',
23891:'earlier standard issued pursuant to section 508 of the rehabilitation act of 1973 29 u.s.c. 794d, which is set forth',
23892:'in appendix d to 36cfr 1194.1; and 2 has not been altered i.e., a change that affects interoperability, the user',
23893:'interface, or access to information or data after january 18, 2018. f alterations of legacy ict. when altering any component',
23894:'or portion of existingict, after january 18, 2018,the component or portion must be modified to conform to the current ict',
23895:'accessibility standards in 36cfr 1194.1. 39.204exceptions. a the requirements in 39.203 do not apply to acquisitions for— 1 national security',
23896:'systems. ict operated by agencies as part of a national security system, as defined by 40 u.s.c 11103a; 2 incidental',
23897:'contract items. ict acquired by a contractor incidental to a contract, i.e., for inhouse use by the contractor to perform',
23898:'the contract; or 3 maintenance or monitoring spaces. the portions of ict that are operable parts i.e., hardwarebased user controls',
23899:'for activating, deactivating, or adjusting ict or status indicators, and that are located in spaces frequented only by service personnel',
23900:'for maintenance, repair, oroccasionalmonitoringof equipment. b the contractingofficer shall receive,as apart of therequirements documentation, written confirmation fromthe requiring activity that',
23901:'an exception, in accordance with paragraph a1, 2, or 3 of this section, applies to the ict supply or service',
23902:'see 7.105b5iv. this documentation shall be maintained in the contract file. federal acquisition regulation 39.205exemptions. a allowable exemptions. an agency',
23903:'may grant an exemption for the following: 1 undue burden. when an agency determines the acquisition of ict conforming with',
23904:'all the applicable ict accessibility standardswouldimpose an undue burden on theagency, compliance with the ict accessibility standards is only required',
23905:'to the extent that it would not impose an undue burden. in determining whether conformance to one or more ict',
23906:'accessibility standards would impose an undue burden, an agency shall consider the extent to which conformance would impose significantdifficulty or',
23907:'expense considering the agency resourcesavailable to the program or component for which the ict supply or service is being procured.',
23908:'2 fundamental alteration. when an agency determines that acquisition of ict that conforms with all applicable ict accessibility standards wouldresult',
23909:'in afundamentalalterationin thenature of the ict, such acquisition is required to conform only tothe extent that conformance willnot resultin a',
23910:'fundamental alteration in the nature of the ict. 3 nonavailability of conforming commercial products and commercial services. where there are',
23911:'no commercial products and commercial services that fully conform to the ict accessibility standards, the agency shall procure the supplies',
23912:'or service available in the commercial marketplace that best meets the ict accessibility standards consistent with the agencys needs. b',
23913:'alternative means of access.an agency shall provide individuals with disabilities access to and use of information and data by an',
23914:'alternative means to meet the identified needs when an exemption in paragraphs a1, 2, or 3 of this section applies.',
23915:'c documentation. when anexemption applies, the contracting officer shall obtain, as part ofthe requirements documentation, a written determination from the',
23916:'requiring activity explaining the basis for the exemption in paragraphs a 1, 2 or 3 of this section. this documentation',
23917:'shall be maintained in the contract file. 1 undue burden. a determination of undue burden shall address why and to',
23918:'what extent compliance with applicable ict accessibility standards constitutes an undue burden. 2 fundamental alteration. a determination of fundamental alteration',
23919:'shall address the extent to which compliance with the applicable ict accessibility standardswouldresult in a fundamentalalterationin the natureof the ict.',
23920:'3 nonavailability of conforming commercial products and commercial services. a determination of commercial products and commercial services nonavailability shall include—',
23921:'i a description of the market research performed; ii a listing of the requirements that cannot be met; and iii',
23922:'the rationale for determining that the ict to be procured best meets the ict accessibility standards in 36 cfr 1194.1,',
23923:'consistent with the agencys needs. fac 202501 november 12, 2024 part 40 information security and supply chain security sec. 40.000',
23924:'scope of part. subpart 40.1 [reserved] subpart 40.2 security prohibitions and exclusions 40.200 scope of subpart. 40.201 definitions. 40.202 prohibition',
23925:'on the procurement and operation of unmanned aircraft systems manufactured or assembled by american security drone actcovered foreign entities. 40.2021',
23926:'scope. 40.2022 applicability. 40.2023 prohibition. 40.2024 exemptions. 40.2025 exceptions. 40.2026 waivers. 40.2027 procedures. 40.2028 contract clause. subpart 40.3 [reserved] this',
23927:'page intentionally left blank. subpart 40.1 [reserved] 40.000 40.000scope of part. a this part addresses broad security requirements that apply',
23928:'to acquisitions of products and services. it prescribes policies and procedures for managing information security and supply chain security when',
23929:'acquiring products and services that include, but are not limited to, information and communications technology ict. b see part 39forsecurityrelatedpoliciesandproceduresthatonlyapplytoict.',
23930:'c see parts 4, 24, and 46 for additional policies and procedures related to managing information security and supply chain',
23931:'security. d information and supply chain policies and procedures that are unrelated to security are covered in other parts of',
23932:'the far e.g., part 22forlaborandhumantraffickingrisksand part 23 for climaterelated risks. subpart 40.1 [reserved] this page intentionally left blank. 40.12 fac',
23933:'202501 november 12, 2024 subpart 40.2 security prohibitions and exclusions 40.2023 subpart 40.2 security prohibitions and exclusions 40.201 scope of',
23934:'subpart. a this subpart provides policies and procedures to implement security prohibitions and exclusions that restrict federal agencies from procuring,',
23935:'obtaining, or using certain products, services, or sources. b the following prohibitions and exclusions are implemented in this subpart: 1',
23936:'the american security drone act of 2023, of the national defense authorization act for fiscal year 2024 pub. l. 11831,',
23937:'41 u.s.c. 3901 note prec., which provides a prohibition on the procurement and operation of unmanned aircraft systems. 2 [reserved]',
23938:'c additional security prohibitions and exclusions are found at subparts 4.20 through 4.23 and 25.7. 40.201 definitions. as used in',
23939:'this subpart american security drone actcovered foreign entitymeans an entity included on a list developed and maintained by the federal',
23940:'acquisition security council fasc and published in the system for award management sam at https:// www.sam.gov section 1822 of pub.',
23941:'l. 11831, 41 u.s.c. 3901 note prec.. fascprohibited unmanned aircraft systemmeans an unmanned aircraft system manufactured or assembled by an',
23942:'american security drone actcovered foreign entity. unmanned aircraftmeans an aircraft that is operated without the possibility of direct human intervention',
23943:'from within or on the aircraft 49 u.s.c. 4480111. unmanned aircraft systemmeans an unmanned aircraft and associated elements including communication',
23944:'links and the components that control the unmanned aircraft that are required for the operator to operate safely and efficiently',
23945:'in the national airspace system 49 u.s.c. 4480112. 40.202 prohibition on the procurement and operation of unmanned aircraft systems manufactured',
23946:'or assembled by american security drone actcovered foreign entities. s. a section 40.202 prescribes policies and procedures regarding the procurement',
23947:'and operation of unmanned aircraft systems, which includes unmanned aircraft i.e., drones and associated elements. b the authorities in 40.202',
23948:'expire on december 22, 2028 section 1833 of pub. l. 11831, 41 u.s.c. 3901 note prec.. 40.2021 scope. a section',
23949:'40.202 prescribes policies and procedures regarding the procurement and operation of unmanned aircraft systems, which includes unmanned aircraft i.e., drones',
23950:'and associated elements. b the authorities in 40.202 expire on december 22, 2028 section 1833 of pub. l. 11831, 41',
23951:'u.s.c. 3901 note prec.. 40.2022 applicability. section 40.202 applies to all acquisitions, including contracts at or below the micropurchase threshold',
23952:'and to contracts for commercial products or for commercial services. 40.2023 prohibition. unless an exemption, exception, or waiver applies see',
23953:'40.2024, 40.2025, and 40.2026, respectively, executive agencies are prohibited from a procuring a fascprohibited unmanned aircraft system section 1823 and',
23954:'1826 of pub. l. 11831, 41 u.s.c. 3901 note prec.. the prohibition includes extending or renewing a contract e.g., exercising',
23955:'an option; b on or after december 22, 2025, procuring services for the operation of a fascprohibited unmanned aircraft system',
23956:'section 1824 of pub. l. 11831, 41 u.s.c. 3901 note prec.. the prohibition includes extending or renewing a contract e.g.,',
23957:'exercising an option; and c on or after december 22, 2025, using federal funds for the procurement or operation of',
23958:'a fascprohibited unmanned aircraft system section 1825 of pub. l. 11831, 41 u.s.c. 3901 note prec.. 40.21 fac 202501 november',
23959:'12, 2024 40.2024 federal acquisition regulation 40.2024 exemptions. the prohibitions in 40.202 do not apply to the following see sections',
23960:'1823, 1824, and 1825 of pub. l. 11831, 41 u.s.c. 3901 note prec. : a department of homeland security, department',
23961:'of defense, department of state, and the department of justice exemptions. the secretary of homeland security, the secretary of defense,',
23962:'the secretary of state, and the attorney general are exempt from the prohibitions in 40.202 if the procurement or operation',
23963:'is required in the national interest of the united states and 1 is for the sole purposes of research, evaluation,',
23964:'training, testing, or analysis for electronic warfare, information warfare operations, cybersecurity, or development of unmanned aircraft system or counterunmanned aircraft',
23965:'system technology; 2 is for the sole purposes of conducting counterterrorism or counterintelligence activities, protective missions, or federal criminal or',
23966:'national security investigations, including forensic examinations, or for electronic warfare, information warfare operations, cybersecurity, or development of an unmanned aircraft',
23967:'system or counterunmanned aircraft system technology; or 3 is an unmanned aircraft system that, as procured or as modified after',
23968:'procurement but before operational use, can no longer transfer to, or download data from, an american security drone actcovered foreign',
23969:'entity and otherwise poses no national security cybersecurity risks as determined by the exempting official, as described in agency procedures.',
23970:'b department of transportation exemption. the secretary of transportation is exempt from the prohibitions in 40.202 if the operation or',
23971:'procurement is deemed to support the safe, secure, or efficient operation of the national air space system or maintenance of',
23972:'public safety. c national transportation safety board exemption. the national transportation safety board, in consultation with the secretary of homeland',
23973:'security, is exempt from the prohibitions, in 40.202 if the operation or procurement is necessary for the sole purpose of',
23974:'conducting safety investigations. d national oceanic and atmospheric administration noaa exemption. the administrator of noaa, in consultation with the secretary',
23975:'of homeland security, is exempt from the prohibitions of 40.202, if the operation or procurement for the purposes of meeting',
23976:'noaa’s science or management objectives or operational mission. 40.2025 exceptions. the prohibitions in this section do not apply to the',
23977:'following section 1832 of pub. l. 11831, 41 u.s.c. 3901 note prec. : a wildfire management operations and search and',
23978:'rescue operations exception. the prohibitions in section 40.202 do not apply to an appropriate federal agency to the extent that',
23979:'an authorized official at the agency, in consultation with the secretary of homeland security, determines that the procurement or operation',
23980:'is necessary for the purposes of supporting the full range of wildfire management operations or search and rescue operations. b',
23981:'intelligence activities exception. the prohibitions of 40.202 do not apply to any activity subject to the reporting requirements under title',
23982:'v of the national security act of 1947 50 u.s.c. 3091 et seq., any authorized intelligence activities of the united',
23983:'states, or any activity or procurement that supports an authorized intelligence activity. c tribal law enforcement or emergency service agency',
23984:'exception. the prohibitions in 40.202 do not apply to tribal law enforcement or tribal emergency service agencies to the extent',
23985:'that an authorized official at the agency, in consultation with the secretary of homeland security, determines that the procurement or',
23986:'operation is necessary for the purposes of supporting the full range of law enforcement operations or search and rescue operations',
23987:'on indian lands. 40.2026 waivers. the head of the agency may waive the prohibitions under 40.202 on a casebycase basis',
23988:'in accordance with agency procedures and based on the statutory waiver provisions sections 1823, 1824, and 1825 of pub. l.',
23989:'11831, 41 u.s.c. 3901 note prec.— a with the approval of the director of the office of management and budget,',
23990:'after consultation with the fasc; and b upon notification to 1 the committee on homeland security and governmental affairs of',
23991:'the senate; 2 the committee on oversight and accountability in the house of representatives; and 3 other appropriate congressional committees',
23992:'of jurisdiction. 40.22 fac 202501 november 12, 2024 subpart 40.2 security prohibitions and exclusions 40.2028 40.2027procedures. a documenting exemptions, exceptions,',
23993:'or waivers. the contracting officer shall document the file with any exemption, exception, orwaiver provided by theprogramoffice or requiring activity.',
23994:'additionally, the contracting officer shall work with theprogramoffice or requiring activity to ensure the presence and scoping of any such',
23995:'exemptions, exceptions, or waivers are identified in the solicitation and resultant contract. b assessment of unmanned aircraft systems. except where',
23996:'an exemption, exception, or waiver applies, the contracting officer shall work with the program office or requiring activity to review',
23997:'proposals to ensurethey are not proposing delivery of a fascprohibited unmanned aircraft system. on or after december 22, 2025, this',
23998:'assessment shall expand to include review for not onlyproposed delivery, but also operation, of a fascprohibited unmanned aircraft system. 40.2028',
23999:'contract clause. insert the clause at 52.2401, prohibition on unmanned aircraft systems manufactured or assembled by american security drone actcovered',
24000:'foreign entities, in all solicitations and contracts. this page intentionally left blank. 40.24 subpart 40.3 [reserved] subpart 40.3 [reserved] this',
24001:'page intentionally left blank. 40.32 part 41 acquisition of utility services sec. subpart 41.1 general 41.100 scope of part. 41.101',
24002:'definitions. 41.102 applicability. 41.103 statutory and delegated authority. subpart 41.2 acquiring utility services 41.201 policy. 41.202 procedures. 41.203 gsa assistance.',
24003:'41.204 gsa areawide contracts. 41.205 separate contracts. 41.206 interagency agreements. subpart 41.3 requests for assistance 41.301 requirements. 41.401 41.402 41.501',
24004:'41.601 41.701 41.702 subpart 41.4 administration monthly and annual review. rate changes and regulatory intervention. subpart 41.5 solicitation provision and',
24005:'contract clauses solicitation provision and contract clauses. subpart 41.6 forms utility services forms. subpart 41.7 formats formats for utility service',
24006:'specifications. formats for annualutility service review. this page intentionally left blank. subpart 41.1 general 41.102 subpart 41.1 general 41.100scope of',
24007:'part. this part prescribes policies, procedures, and contract format for the acquisition of utility services. see 41.102b for services that',
24008:'are excluded from this part. 41.101definitions. as used in this part, areawide contract means a contract entered into between the',
24009:'general services administration gsa and a utility service supplier to coverutility serviceneeds of federal agencies withinthe franchise territoryof the supplier.',
24010:'each areawide contract includes an authorization form for requesting service, connection, disconnection, or change in service. authorization means the document',
24011:'executed by the ordering agency and the utility supplier to order service under an areawide contract. connection charge means all',
24012:'nonrecurring costs, whether refundable or nonrefundable, to be paid by the government to the utility supplier for the required connecting',
24013:'facilities, which are installed, owned, operated, and maintained by the utility supplier see terminationliability. delegated agency means an agency that',
24014:'has received a written delegation of authority from gsa to contract for utility services for periods not exceeding tenyears see',
24015:'41.103b. federal power and water marketing agency means a government entity that produces, manages, transports, controls, and sells electrical and',
24016:'water supply service to customers. franchise territory means a geographical area that a utility supplier has a right to serve',
24017:'based upon a franchise, a certificate ofpublicconvenience and necessity, or other legalmeans. intervention means action by gsa or a delegated',
24018:'agency to formally participate in a utility regulatory proceeding on behalf of all federal executive agencies. multiple service locations means',
24019:'the various locations or deliverypoints inthe utility supplier’s service area to which it provides service under a single contract. rates',
24020:'may include rate schedules, riders, rules, terms and conditions of service,and othertariff and service charges, e.g., facilities use charges. separate',
24021:'contract means a utility services contract other than a gsa areawide contract, an authorization under an areawide contract, or an',
24022:'interagency agreement, to cover the acquisition of utility services. termination liability means a contingent government obligation to pay a utility',
24023:'supplier the unamortized portion of a connection charge and any other applicable nonrefundable service charge asdefined in the contract inthe',
24024:'event the government terminates the contract before the cost of connection facilities has been recovered by the utility supplier see',
24025:'connection charge. utility service means a servicesuch as furnishingelectricity, natural ormanufactured gas, water, sewerage, thermal energy, chilledwater,steam,hotwater,orhightemperaturehotwater. theapplicationof part 41',
24026:'to other services e.g., rubbish removal, snow removal may be appropriate when the acquisition is not subject to the 41',
24027:'u.s.c. chapter 67, service contract labor standards see 37.107. 41.102 applicability. a except as provided in paragraph b of this',
24028:'section, this part applies to the acquisition of utility services for the government, including connection charges and terminationliabilities. b this',
24029:'part does not apply to 1 utility services produced, distributed, or sold byanother federal agency. in those cases,agencies shall use',
24030:'interagency agreements see 41.206; 2 utility services obtained by purchase, exchange, or otherwise by a federal power or water marketing',
24031:'agency incident tothat agency’s marketing or distribution program; 3 cable television catv and telecommunications services; 4 acquisition of natural or',
24032:'manufactured gas when purchased as a commodity; 5 acquisition of utilities services in foreign countries; 6 acquisition of rights in',
24033:'real property, acquisition of public utilityfacilities,and onsite equipment needed for the facility’s own distribution system, or construction/maintenance ofgovernmentownedequipment and real',
24034:'property; or federal acquisition regulation 7 third party financed sharedsavings projects authorized by 42 u.s.c. 8287.however,agenciesmayutilize part 41 for any',
24035:'energy savings or purchased utility servicedirectlyresulting from implementationof athird partyfinanced shared savings project under 42 u.s.c.8287 for periods not to',
24036:'exceed 25 years. 41.103 statutory and delegated authority. a statutory authority. 1 the general services administration gsa is authorized by',
24037:'40 u.s.c. 501 to prescribe policies and methods governing the acquisition and supply of utility services for federal agencies. this',
24038:'authority includes related functions such as managing public utility services and representing federal agencies in proceedings before federal and state',
24039:'regulatory bodies. gsa is authorized by 40 u.s.c.501 to contract for utility services for periods not exceeding tenyears. 2 the',
24040:'department of defense dod is authorized by 10 u.s.c. 3201a and 40u.s.c. 113e3 to acquire utility services for military facilities.',
24041:'3 the department of energy doe is authorized by the departmentof energy organizationact42 u.s.c.7251, etseq.to acquire utility services. doe isauthorized',
24042:'by the atomic energy act of1954, asamended 42 u.s.c. 2204, to enter into new contracts or modify existing contracts for',
24043:'electric services for periods not exceeding 25 years for uranium enrichment installations. b delegated authority. gsa has delegated its authority',
24044:'to enter into utility service contracts for periods not exceeding tenyears to dod and doe,and for connection charges only to',
24045:'the department of veteran affairs. contracting pursuant tothis delegated authority shall be consistent with the requirements of this part. other',
24046:'agencies requiring utility service contracts for periods over oneyear, but not exceedingtenyears,may request a delegation of authority fromgsa at the',
24047:'address specified in 41.301a. inkeeping with its statutory authority, gsa will, as necessary, conduct reviews of delegated agencies’ acquisitions of',
24048:'utility services to ensure compliance with the terms of the delegation and applicable laws and regulations. c requests for delegations',
24049:'of contracting authorityfrom gsa shall include a certification from the acquiring agency’s senior procurement executive that the agency has 1',
24050:'an established acquisition program; 2 personnel technically qualified to deal with specialized utilities problems; and 3 the ability to accomplish',
24051:'its own preaward contract review. subpart 41.2 acquiring utility services 41.202 subpart 41.2 acquiring utility services 41.201 policy. a subject',
24052:'to paragraph d of this section, it is the policy of the federal government that agencies obtain required utility services',
24053:'from sources ofsupplywhich are most advantageous to the government in termsof economy, efficiency, reliability, or service. b except for acquisitions',
24054:'at or below the simplified acquisition threshold, agencies shall acquire utility services by a bilateral written contract, which must include',
24055:'the clauses required by 41.501, regardless of whether rates or terms and conditions of serviceare fixed or adjusted bya regulatory',
24056:'body. agencies may not use the utility supplier’s forms and clauses to avoid the inclusion of provisions and clauses required',
24057:'by 41.501 or by statute. see 41.202c for procedures to be used when the supplier refuses to execute a written',
24058:'contract. c specific operating and management details, suchas procedures for internal agencycontract assistance and review, delegations of authority, and approval',
24059:'thresholds, maybe prescribedby an individualagency subject to compliance with applicable statutes and regulations. d 1 section 8093 of the department',
24060:'of defense appropriations act of1988, pub.l.100202, provides that none of the funds appropriated by that act or any other act',
24061:'withrespect toany fiscal year by any department, agency, or instrumentality of the united states, may be used for the purchase',
24062:'of electricity by the government in any manner that is inconsistent with state law governing the providing of electric utility',
24063:'service, including state utility commission rulings and electric utility franchises or service territories established pursuant to state statute, state regulation,',
24064:'or stateapproved territorial agreements. 2 the act does not preclude i the head of a federal agency from entering into',
24065:'a contract pursuant to 42 u.s.c.8287 which pertains to the subject of shared energy savings including cogeneration; ii the secretary',
24066:'of a military department from entering into a contract pursuant to 10 u.s.c. 2922a which pertains to contracts for energy',
24067:'or fuel for militaryinstallationsincluding the provision and operation ofenergy production facilities; or iii the secretary of a military department from',
24068:'purchasing electricity from any provider when the utility or utilities having applicable stateapproved franchise or other service authorizations are found',
24069:'by the secretary to be unwilling or unable to meet unusual standards for service reliability that are necessary for purposes',
24070:'of national defense. 3 additionally, the head of a federal agency may iconsistent with applicable state law, enter into contracts',
24071:'for the purchase or transferof electricity to the agency by a nonutility, including a qualifying facility under the public utility',
24072:'regulatory policies act of1978; ii enter into an interagency agreement, pursuant to 41.206 and 17.5, with a federal power marketing',
24073:'agency or the tennessee valley authority for thetransferof electric power to the agency; and iii enter into a contract withan',
24074:'electric utility underthe authority or tariffs of thefederal energy regulatorycommission. e prior to acquiringelectric utility serviceson acompetitive basis, the contracting',
24075:'officer shall determine, withthe advice of legal counsel, by a market survey or any other appropriate means, e.g.,consultation with the',
24076:'state agency responsible for regulating public utilities, that such competition would not be inconsistent with state law governing the provision',
24077:'of electric utility service, including state utility commission rulings and electric utility franchises or service territories established pursuant to state',
24078:'statute, state regulation, or stateapproved territorial agreements. proposals from alternative electric suppliers shall provide a representation that service can be',
24079:'provided in a manner consistent with section 8093 of public law100202 see 41.201d. 41.202 procedures. apriortoexecutingautilityservicecontract,thecontractingofficershallcomplywith parts 6 and 7',
24080:'and subsections 41.201d and e of this part. in accordance with parts 6 and 7, agencies shall conduct market surveys',
24081:'and perform acquisition planning in orderto promoteandprovide for full and open competitionprovided that thecontracting officer determines that any resultant contract',
24082:'would not be inconsistent with applicable state law governing the provision of electric utility services. if competition for an entire',
24083:'utility service is not available, the market survey may be used to determine the availability of competitive sources for certain',
24084:'portions of the requirement. the scope of the term entire utility service includes the provision ofthe utility service capacity, energy,',
24085:'water, sewage, transportation, standby or backup service, transmission and/or distribution service,qualityassurance, system reliability,system operation and maintenance, metering, and billing. federal',
24086:'acquisition regulation b in performing a market survey see 7.101, the contracting officer shall consider,in addition to alternative competitive sources,',
24087:'use of the following: 1 gsa areawide contracts see 41.204. 2 separate contracts see 41.205. 3 interagency agreements see 41.206.',
24088:'c when a utility supplier refuses to execute a tendered contract as outlined in 41.201b, the agency shall obtain a',
24089:'written definite and final refusal signed by acorporate officer or other responsible official of thesupplierorif unobtainable, document any unwritten refusal',
24090:'and transmit this document, along with statements of the reasons for the refusal and the record of negotiations, to gsa',
24091:'at the address specified at 41.301a. unless urgent and compelling circumstances exist, the contracting officershallnotify gsa priorto acquiring utility services',
24092:'without executinga tendered contract. after such notification, the agency may proceed with the acquisition and pay for the utility service',
24093:'under the provisions of 31 u.s.c. 1501a8 1 by issuing a purchase order in accordance with 13.302; or 2 by',
24094:'ordering the necessary utility service and paying for it upon the presentation of an invoice, provided that a determination is',
24095:'approved by the head of the contracting activity that a written contract cannot be obtained and that the issuance of',
24096:'a purchase order is not feasible. d when obtaining servicewithout abilateral writtencontract, the contracting officer shall establish a utilityhistory file',
24097:'on eachacquisitionof utility service provided by a contractor. this utility history fileshallcontain, in addition to applicable documents in 4.803, the',
24098:'following information: 1 the unsigned, tendered contract and any related letter of transmittal. 2 the reasons stated by the utility',
24099:'supplier for not executing the tendered contract, the record of negotiations, and a written definite andfinal refusal by a corporate',
24100:'officer or otherresponsible official ofthe supplier or if unobtainable, documentation of unwritten refusal. 3 services to be furnished and the',
24101:'estimated annual cost. 4 historical recordof any applicable connection charges. 5 historical record of any applicable ongoing capital credits. 6',
24102:'a copy of the applicable rate schedule. e if the government obtainsutility service pursuant to paragraph c of this section,',
24103:'the contracting officershall, on an annual basis beginning from the date of final refusal, take action to execute a bilateral',
24104:'written contract. the contracting officer shall document the utilityhistory file with the efforts made andthe agencyshallnotify gsa, in writing, if',
24105:'theutility continues to refuse to execute a bilateral contract. 41.203gsa assistance. a gsa will, upon request, provide technical and acquisition',
24106:'assistance, or will delegate its contracting authority for thefurnishing of theservicesdescribed in this part for any federal agency, mixedownershipgovernmentcorporation, the',
24107:'district of columbia, the senate, the house of representatives, or the architect of the capitol and any activity under the',
24108:'architect’s direction. b agencies, seeking assistance shall provide upon request by gsa the information listed in 41.301. 41.204 gsa areawide',
24109:'contracts. a purpose. gsa enters into areawide contracts see 41.101 for use by federal agencies. areawide contracts provide a preestablished',
24110:'contractual vehicle for ordering utility services under the conditions in paragraph c1 of this section. b features. 1 areawide contracts',
24111:'generally provide for ordering utility service at rates approved and/or established by a regulatory bodyand published in a tariff orrate',
24112:'schedule. however,agencies are permitted to negotiateother rates and terms and conditions of service with the supplier see paragraph c of',
24113:'this section. rates other than those published may require theapproval of theregulatorybody. 2 areawidecontracts are negotiated withutility servicesuppliers for theprovision',
24114:'of service within the supplier’s franchise territory or service area. 3 due to the regulated nature of the utility industry,',
24115:'as well as statutory restrictions associated with the procurement of electricity see 41.201d, competition is typically not available within the',
24116:'entire geographical area covered by an areawide contract, although it may beavailable atspecific locations within theutility’s service area. when competing',
24117:'suppliers are available, theprovisions of paragraph c1 of this section apply. subpart 41.2 acquiring utility services 41.206 c procedures for',
24118:'obtaining service. 1 any federal agency having a requirement for utility services within an area covered by an areawide contract',
24119:'shall acquire services under that areawide contract unless iservice is available from more than one supplier, or ii the head',
24120:'of the contracting activity or designee otherwise determines that use of the areawide contract is not advantageous to the government.',
24121:'if service isavailablefrom more than onesupplier, serviceshallbe acquired using competitive acquisition procedures see 41.202a. the determination required by paragraph c1ii',
24122:'of this section shall be documented in the contract file with an information copy furnished to gsa at the address',
24123:'in 41.301a. 2 each areawide contract includes an authorization form for ordering service, connection, disconnection, or change in service. upon',
24124:'execution of an authorization by the contracting officer and utility supplier, the utilitysupplieris required to furnish services, without further negotiation,',
24125:'at the current, applicable published or unpublished rates, unless other rates, and/ or terms and conditions are separatelynegotiated by the',
24126:'federal agency withthe supplier. 3 the contractingofficer shall execute the authorization, and attach it to a standard form sf 26,',
24127:'award/contract, along with any modifications such as connection charges,special facilities, or service arrangements. thecontracting officer shall also attach anyspecific fiscal,',
24128:'operational, and administrative requirements of the agency, applicable rateschedules, technical information and detailed maps or drawings of delivery points, details',
24129:'on government ownership, maintenance, or repair of facilities, and other information deemed necessary to fully define the service conditions in',
24130:'the authorization/ contract. d list of areawide contracts.alist of current gsa areawidecontracts is available from the gsa office specified at',
24131:'41.301a. the list identifies the types of services and the geographic area served. a copy of the contract may also',
24132:'be obtainedfrom this office. e notification. agencies shall provide gsa at the address specified at 41.301a a copy of each',
24133:'sf 26 and executed authorization issued under an areawide contract within 30 days after execution. 41.205separate contracts. a in the',
24134:'absence of an areawide contract or interagency agreement see 41.206, agencies shall acquire utility services by separatecontract subject tothispart, and',
24135:'subject to agencycontracting authority. b if an agency enters into a separatecontract, the contracting officer shall document the contractfile with',
24136:'thefollowing information: 1 the number of available suppliers. 2 any special equipment, service reliability,or facility requirements and related costs. 3',
24137:'the utility supplier’s rates, connectioncharges, and terminationliability. 4 total estimated contract value including costs in paragraphsb2 and 3 of this',
24138:'subsection. 5 any technical or special contract terms required. 6 any unusual characteristics of services required. 7 the utility’swheelingor transportation',
24139:'policy for utilityservice. c if requesting gsa assistance with a separate contract, the requesting agency shall furnish the technical and',
24140:'acquisition data specified in 41.205b, 41.301, and such other data as gsa may deem necessary. d a contract exceeding a',
24141:'1year period, but not exceeding tenyears except pursuant to 41.103, may be justified, and is usually required, where any of',
24142:'the following circumstances exist: 1 the government will obtainlower rates, larger discounts, or morefavorable termsandconditions ofservice. 2 a proposed connection',
24143:'charge, termination liability, or any other facilities chargeto bepaid by the federal government will be reduced or eliminated; 3 the',
24144:'utility service supplier refuses to render the desired service except under a contract exceeding a 1year period. 41.206 interagency agreements.',
24145:'agencies shall use interagency agreements e.g., consolidated purchase, joint use, or crossservice agreements when acquiring utility service or facilities from',
24146:'other government agencies and shall comply with the policies and procedures at 17.5022, the economy act. this page intentionally left',
24147:'blank. 41.24 subpart 41.3 requests for assistance 41.301 subpart 41.3 requests for assistance 41.301 requirements. a requests for delegations of',
24148:'gsa contracting authority assistance with a proposed contract as provided in 41.203, and the submission of other information required by',
24149:'this part, shall be sent or submitted to the general services administration gsa region in whichservice is required. the names',
24150:'and locations of gsa regional offices are available from the: general services administration, energy division pma, 1800 f st, nw,',
24151:'washington, dc 20405; website: https:// www.gsa.gov/energy; email: energy@gsa.gov in its place. b requests for contracting assistance for utility services shall',
24152:'be sent not later than 120 days prior to the date new services are required to commence or an existing',
24153:'contract will expire. requests for assistance shall contain the following information: 1 a technical description or specification of the type,',
24154:'quantity, and quality of service required, and a delivery schedule. 2 a copy of any service proposal or proposed contract.',
24155:'3 copies of all current publishedor unpublished rates of theutility supplier. 4 identification ofanyunusualfactors affecting the acquisition. 5 identification ofall',
24156:'availablesources or methods ofsupply, ananalysisof the costeffectiveness of each, and a statement of the ability of each source to provide',
24157:'the required service, including the location and a description of each available supplier’s facilities at the nearest point of service,andthe',
24158:'cost of providing or obtainingnecessary backup and other ancillary services. c for new utility service requirements, the agency shall furnish',
24159:'the information in paragraph a of this section and the following as applicable: 1 the date initial service is required.',
24160:'2 for the first 12 months of full service, estimated maximum demand, monthly consumption, other pertinent information e.g., demand side',
24161:'management, load or energy management, peak shaving, on site generation, loadshaping, and annual cost of the service. 3 known or',
24162:'estimated time schedule for growth to ultimate requirements. 4 estimated ultimate maximum demand and ultimate monthly consumption. 5 a simple',
24163:'schematic diagram or line drawing showing the meter locations, the location of the new utility facilities to be constructed on',
24164:'federal property by the federal agency, andanyrequired new connectionfacilities on either side of the delivery point to be constructed by',
24165:'the utility supplier to provide the new services. 6 accounting andappropriation data to cover the required utility services and any',
24166:'connection charges required tobe paid by the agency receiving such utility services. 7 the following data concerning proposed facilitiesand related',
24167:'charges or costs: iproposed refundable ornonrefundable connection charge, termination liability, or other facilities chargeto be paid by the agency, togetherwith',
24168:'a description of the supplier’s proposed facilities and estimatedconstruction costs, and its rationale for thecharge, e.g., tariff provisions or policies.',
24169:'iiacopy ofthe acquiring agency’sestimateto make itsown connection tothe supplier’s facilities through use of its own resources or by separate contract.',
24170:'when feasible, the acquiring agency shall provide its estimates to construct and operate its own utility facilities in lieu of',
24171:'participating in a costsharing construction program with the proposed utility supplier. d for existing utility service, the agency shall furnish',
24172:'gsa the information in paragraph b of this section and the following, as applicable: 1 a copy of the most',
24173:'recent 12months’ service invoices. 2 a tabulation, by month, for the most recent 12 months, showing the actual utility demands,',
24174:'consumption, connection charges,fuel adjustment charges, and the averagemonthly cost per unit ofconsumption. 3 an estimate, by month, for the next',
24175:'12 months, showing the estimated maximum demands, monthly consumption, other pertinent information e.g., demand sidemanagement,load or energy management, peak shaving,on',
24176:'site generation, load shaping, and annual cost of the service. 4 accounting and appropriation data to cover the costs for',
24177:'the continuation of utility services. 5 a statement noting whether the transformer, or other system components, on either side ofthe',
24178:'delivery point are owned by the federal agency or the utility supplier,and if the meteringis on theprimary or secondarysideof the',
24179:'transformer. this page intentionally left blank. 41.32 subpart 41.4 administration 41.402 subpart 41.4 administration 41.401 monthly andannual review. agencies shall',
24180:'review utility service invoices on a monthly basis and all utility accounts with annual values exceeding the simplified acquisition threshold',
24181:'on an annual basis. annual reviews of accounts with annual values at or below the simplified acquisition threshold shall be',
24182:'conducted when deemed advantageous to the government. the purpose of the monthly review is to ensure the accuracy of utility',
24183:'service invoices. the purpose of the annual review is to ensure that the utility supplier is furnishing the services to',
24184:'each facility under the utility’smost economical,applicable rate and to examine competitive markets for more advantageous service offerings. the annual review',
24185:'shall be based upon the facility’s usage, conditions and characteristics of service at each individual delivery point for the most',
24186:'recent 12 months. if a more advantageous rate is appropriate, the federal agency shall requestthe supplier to make such rate',
24187:'change immediately. 41.402 rate changesand regulatoryintervention. a when a change is proposed to rates or terms and conditions of service',
24188:'to the government, the agency shall promptly determine whether the proposed change is reasonable, justified, and not discriminatory. b if',
24189:'a change is proposed to rates or terms and conditions of service that may be of interest to other federal',
24190:'agencies, and intervention before a regulatory body is considered justified, the matter shall be referred to gsa. the agency may',
24191:'request from gsa a delegation of authority for the agency to intervene on behalf of the consumer interests of the',
24192:'federal executive agencies see 41.301. c pursuant to 52.2417,change in rates or terms and conditions ofservice for regulated services, ifa',
24193:'regulatory body approves a rate change, any rate change shall be made a part of the contract by unilateral contract',
24194:'modification or otherwise documented in accordancewith agency procedures. the approved applicable rate shall beeffective on thedate determined by the regulatory',
24195:'body and resultingrates andcharges shall bepaid promptly to avoid late paymentprovisions. copies of themodification containing theapproved rate change shall be',
24196:'sent to the agency’s paying office or officeresponsiblefor verifying billed amounts see 41.401. d if the utility supplier is not',
24197:'regulated and the rates, terms, and conditions of service are subject to negotiation pursuant to the clause at 52.2418, change',
24198:'in rates or terms andconditions of serviceforunregulated services,anyrate change shall bemadea partof the contract by contract modification, with copiessent to',
24199:'theagency’s paying officeor office responsible for verifying billed amounts. this page intentionally left blank. 41.42 subpart 41.5 solicitation provision and',
24200:'contract clauses 41.501 subpart 41.5 solicitation provision and contract clauses 41.501 solicitation provision and contract clauses. a because the terms',
24201:'and conditions under which utility suppliers furnish service may vary from area to area, the differences may influence the terms',
24202:'and conditions appropriate to a particular utility’s contracting situation. to accommodate requirements that are peculiar to the contracting situation, this',
24203:'section prescribes provisions and clauses on a substantially the same as basis see 52.101which permits the contracting officer to prepare',
24204:'and utilize variations of the prescribed provision and clauses in accordance with agency procedures. b the contractingofficer shall insertin solicitations',
24205:'for utility servicesa provision substantially the same as the provision at 52.2411, electricservice territorycompliancerepresentation,when proposals fromalternativeelectric suppliersare sought. c thecontracting',
24206:'officer shall insert in solicitations and contracts for utility services clauses substantially the same as the clauses at 1 52.2412,',
24207:'order of precedenceutilities; 2 52.2413, scope and duration of contract; 3 52.2414, change in class of service; 4 52.2415, contractor’s',
24208:'facilities; and 5 52.2416, service provisions. d the contractingofficer shall insertclauses substantially the sameas the clauses listedbelow in solicitations and',
24209:'contracts under the prescribed conditions 1 52.2417, changein rates or terms and conditions of service for regulated services, when theutility',
24210:'services aresubject to a regulatory body. except for gsaareawide contracts, the contractingofficer shall insertin theblank space provided inthe clause the',
24211:'name of the contracting officer. for gsa areawide contracts, the contracting officer shall insert the following: gsa and each areawide',
24212:'customer with annual billings that exceed $250,000. 2 52.2418, changein rates or terms and conditions of service for unregulated services,',
24213:'when theutility services arenot subject to a regulatory body. 3 52.2419, connection charge,when arefundable connectioncharge is required to be paid',
24214:'bythe government to compensate the contractor for furnishing additional facilities necessary to supply service. use alternatei to the clause if',
24215:'a nonrefundable charge is to be paid. when conditionsrequire the incorporation of a nonrecurring, nonrefundable service charge ora termination liability,',
24216:'see paragraphs d6 and d4of this section. 4 52.24110, terminationliability, whenpayment is to be madeto thecontractor upon termination of servicein',
24217:'conjunction with or in lieu ofa connection chargeupon completion ofthe facilities. 5 52.24111, multiple service locations as defined in 41.101,',
24218:'when providing for possible alternative service locations, except under areawide contracts, is required. 6 52.24112, nonrefundable, nonrecurring service charge, when',
24219:'the governmentis required to pay anonrefundable, nonrecurring membershipfee, acharge for initiation of service,or acontribution for the cost of facilities construction.',
24220:'the government may provideforinclusion of such agreed amount or fee asa partof the connection charge, a part ofthe initial paymentforservices,',
24221:'oras periodic payments to fulfill the government’s obligation. 7 52.24113, capital credits, when the federal government is a member of',
24222:'a cooperative and is entitled to capital credits, consistent with the bylaws and governing documents of the cooperative. e dependingon',
24223:'the conditions thatare appropriate for each acquisition, thecontracting officer shall also insert in solicitations and contracts for utility services the',
24224:'provisions and clausesprescribed elsewhere in the far. this page intentionally left blank. 41.52 subpart 41.6 forms 41.601 subpart 41.6 forms',
24225:'41.601utility services forms. a if acquiring utility services under other than an areawide contract, a purchase order or an interagency',
24226:'agreement, the standard form sf 33, solicitation,offer and award; sf 26, award/contract;or sf 1447, solicitation/contract, shall be used. b the',
24227:'contractingofficer shall incorporate the applicable rate schedulein each contract, purchase order ormodification. this page intentionally left blank. 41.62 subpart 41.7',
24228:'formats 41.702 subpart 41.7 formats 41.701formats for utility service specifications. a the following specification formats for use in acquiring utility',
24229:'services are available from the address specified at 41.301aandmay be used and modified at theagency’s discretion: 1 electric service. 2',
24230:'waterservice. 3 steam service. 4 sewage service. 5 natural gas service. b contracting officersmay modify thespecificationformat referenced in paragraph a',
24231:'of this section and attach technical items, details on government ownership of equipment and real property and maintenance or repair',
24232:'obligations, maps or drawings of delivery points, and other information deemed necessary to fully define the service conditions. c the',
24233:'specifications and attachments see paragraph b of this section shall be inserted in section c of the utility service solicitation',
24234:'and contract. 41.702 formatsfor annual utilityservice review. a formats for use in conducting annual reviews of the following utility services',
24235:'are available from the address specified at 41.301a and maybe usedat the agency’s discretion: 1 electric service. 2 gas service.',
24236:'3 waterandsewage service. b contracting officersmay modify theannual utility service review formatas necessary to fully coverthe serviceused. this page intentionally',
24237:'left blank. 41.72 part 42 contract administration and audit services sec. 42.000 scope of part. 42.001 [reserved] 42.002 interagency agreements.',
24238:'42.003 cognizantfederalagency. subpart 42.1 contract audit services 42.101 contract audit responsibilities. 42.102 assignment of contract audit services. 42.103 contractauditservicesdirectory. subpart',
24239:'42.2 contract administration services 42.201 contract administration responsibilities. 42.202 assignment of contract administration. 42.203 contractadministrationservicesdirectory. subpart 42.3 contract administration office',
24240:'functions 42.301 general. 42.302 contract administration functions. subpart 42.4 correspondence and visits 42.401 contract correspondence. 42.402 visits to contractors’ facilities.',
24241:'42.403 evaluationofcontractadministrationoffices. subpart 42.5 postaward orientation 42.500 scope of subpart. 42.501 general. 42.502 selecting contracts for postaward orientation. 42.503 postaward',
24242:'conferences. 42.5031 postaward conference arrangements. 42.5032 postaward conference procedure. 42.5033 postaward conference report. 42.504 postaward letters. 42.505 postaward subcontractor conferences.',
24243:'subpart 42.6 corporate administrative contracting officer 42.601 general. 42.602 assignment and location. 42.603 responsibilities. subpart 42.7 indirectcost rates 42.700 scope',
24244:'of subpart. 42.701 definition. 42.702 purpose. 42.703 general. 42.7031 policy. 42.7032 certificate of indirect costs. 42.704 billing rates. 42.705 final',
24245:'indirect cost rates. 42.7051 contracting officer determination procedure. 42.7052 auditor determination procedure. 42.7053 educational institutions. 42.7054 state and local governments.',
24246:'42.7055 nonprofit organizations other than educational and state and local governments. 42.706 distribution of documents. 42.707 costsharing rates and limitations',
24247:'on indirect cost rates. 42.708 quickcloseout procedure. 42.709 penalties for unallowable costs. 42.7091 scope. 42.7092 general. 42.7093 responsibilities. 42.7094 assessingthepenalty.',
24248:'42.7095 computing interest. 42.7096 waiver of the penalty. 42.7097 contract clause. subpart 42.8 disallowance of costs 42.800 scope of subpart.',
24249:'42.801 notice of intent to disallow costs. 42.802 contract clause. 42.803 disallowing costs after incurrence. subpart 42.9 bankruptcy 42.900 scope',
24250:'of subpart. 42.901 general. 42.902 procedures. 42.903 solicitation provision and contract clause. subpart 42.10 [reserved] subpart42.11 production surveillance and reporting',
24251:'42.1101 general. 42.1102 applicability. 42.1103 policy. 42.1104 surveillance requirements. 42.1105 assignmentofcriticalitydesignator. 42.1106 reporting requirements. 42.1107 contract clause. subpart 42.12 novation',
24252:'and subpart 42.14 [reserved] changeofname agreements 42.1200 scope of subpart. subpart 42.15 contractor 42.1201 [reserved] performance information 42.1202 responsibility for',
24253:'executing agreements. 42.1500 scope of subpart. 42.1203 processing agreements. 42.1501 general. 42.1204 applicability of novation agreements. 42.1502 policy. 42.1205 agreement',
24254:'to recognize contractor’s change 42.1503 procedures. of name. 42.1504 contract clause. subpart 42.13 suspension of work, stopsubpart 42.16 small business',
24255:'work orders, and government delay of work contract administration 42.1301 general. 42.1601 general. 42.1302 suspension of work. 42.1303 stopwork orders.',
24256:'subpart 42.17 forward 42.1304 government delay of work. pricing rate agreements 42.1305 contract clauses. 42.1701 procedures. subpart 42.1 contract audit',
24257:'services 42.102 42.000scope of part. this part prescribes policies and procedures for assigning and performing contract administration and contract audit',
24258:'services. 42.001[reserved] 42.002 interagency agreements. a agencies shall avoid duplicate audits, reviews, inspections, and examinations of contractors or subcontractors, by',
24259:'more than one agency, through the use of interagency agreements. b subject to the fiscal regulations of the agencies and',
24260:'applicable interagency agreements, the requesting agency shall reimburse the servicing agency for rendered services in accordance with the economy act',
24261:'31 u.s.c. 1535. c when an interagency agreement is established, the agencies are encouraged to consider establishing procedures for the',
24262:'resolution of issues that may arise under the agreement. 42.003 cognizantfederal agency. a for contractorsotherthan educational institutions and nonprofit organizations,the',
24263:'cognizant federal agency normally will be the agency with the largest dollar amount of negotiated contracts, including options. foreducational institutions',
24264:'defined as institutions of higher education in the omb uniform guidance at 2 cfr part 200, subpart a, and 20',
24265:'u .s.c. 1001 and nonprofit organizations as definedin theomb uniform guidance at2 cfr part 200, the cognizant federal agency for',
24266:'indirect costs is established according to the omb uniform guidance at 2 cfr part 200, appendices iii andiv, respectively. b',
24267:'oncea federal agency assumes cognizance for acontractor, it should remain cognizant for atleast 5 years to ensure continuityandeaseof administration. if,at',
24268:'the end of the 5year period,another agency hasthe largest dollar amount of negotiated contracts, including options, the two agencies shall',
24269:'coordinate and determine which will assume cognizance. however, if circumstanceswarrant it and the affectedagencies agree, cognizance may transfer prior to',
24270:'the expiration ofthe 5year period. subpart 42.1 contract audit services 42.101 contract audit responsibilities. a the auditor is responsible for',
24271:'1 submitting information and advice tothe requesting activity,based on the auditor’s analysis of the contractor’s financial and accounting records or',
24272:'other related data as tothe acceptability of the contractor’sincurred and estimatedcosts; 2 reviewingthe financial and accounting aspects ofthe contractor’s cost',
24273:'controlsystems; and 3 performing other analyses and reviews that require access to the contractor’s financial and accounting records supporting proposed',
24274:'and incurred costs. b normally,forcontractors other than educational institutionsandnonprofit organizations, thedefense contractaudit agency dcaa isthe responsible government auditagency. however, there',
24275:'maybe instances where anagency other than dcaa desires cognizance of a particular contractor. inthose instances, the two agencies shall agree',
24276:'onthe most efficient and economical approach to meet contract audit requirements. for educational institutions defined as institutions of higher education',
24277:'in the omb uniform guidance at 2 cfr part 200, subpart a, and 20 u .s.c. 1001and nonprofitorganizations as defined',
24278:'in the omb uniform guidance at 2 cfr part 200, audit cognizance will be determined according to the provisions of',
24279:'the omb uniform guidance at 2 cfr part 200, subpart f. 42.102assignment of contract audit services. a as provided in',
24280:'agency procedures or interagency agreements, contracting officers may request auditservices directly from the responsible audit agency cited in the directory',
24281:'of federal contract audit offices. the audit request should include a suspense date andshouldidentify any information needed by thecontracting officer.',
24282:'b the responsible audit agency may decline requests for services on a casebycase basis, if resources of the audit agency',
24283:'are inadequate to accomplish the tasks. declinations shall be in writing. federal acquisition regulation 42.103 contract audit services directory. a',
24284:'dcaa maintainsand distributes the directory of federal contract audit offices. the directory identifiescognizant audit offices and the contractors over whichthey',
24285:'have cognizance. changes to audit cognizance shall be provided to dcaa so that the directory can be updated. b agencies',
24286:'may obtain acopy ofthe directory orinformationconcerning cognizant audit offices by contacting the defense contract auditagency attn: cmo publications officer 8725',
24287:'johnj. kingman road suite 2135 fort belvoir, va220606219. subpart 42.2 contract administration services 42.202 subpart 42.2 contract administration services 42.201',
24288:'contract administration responsibilities. a for each contract assignedforadministration, thecontract administration officecao see 2.101 shall 1 perform the functions listed in',
24289:'42.302a to the extent that they apply to the contract, except for the functions specifically withheld; 2 perform the functions',
24290:'listed in 42.302b only when and to the extent specifically authorized by the contracting officer; and 3 request supporting contract',
24291:'administration under 42.202e and f when it is required. b the defense contract management agencyand otheragencies offer a widevariety of',
24292:'contractadministration and support services. 42.202assignment of contract administration. a delegating functions. as provided in agencyprocedures,contracting officers maydelegatecontract administration or specialized',
24293:'support services, either through interagency agreements or by direct request to the cognizant cao listed in the federal directory of',
24294:'contract administration services components. the delegation should include 1 the name and address of the cao designated to perform the',
24295:'administration this information also shall be entered in the contract; 2 any special instructions, including any functions withheld or any',
24296:'specific authorization to perform functions listed in 42.302b; 3 a copy of the contract to be administered; and 4 copies',
24297:'of all contracting agency regulations or directives that are i incorporated into the contract by reference; or iiotherwisenecessary toadminister the',
24298:'contract, unless copies have been provided previously. b special instructions. as necessary, thecontracting officer also shall advise the contractor and',
24299:'other activities as appropriate of any functions withheld from or additional functions delegated to the cao. c delegating additional functions.',
24300:'for individual contracts or groups ofcontracts, the contracting office may delegate to the cao functions not listed in 42.302, provided',
24301:'that 1 prior coordination with the cao ensures the availability of required resources; 2 in the case of authority to',
24302:'issue orders under provisioning procedures in existing contracts and under basic ordering agreements for items and services identified in the',
24303:'schedule, the head of the contracting activity or designee approves the delegation; and 3 the delegation does not require the',
24304:'cao to undertake new or followon acquisitions. d rescinding functions. the contracting officer at the requesting agency may rescind or',
24305:'recall a delegation to administer a contract or perform a contract administration function, except for functions pertaining to cost accounting',
24306:'standards and negotiation of forward pricing rates and indirect cost rates also see 42.003. the requesting agency must coordinate with',
24307:'the aco to establish a reasonable transition period prior to rescinding or recalling the delegation. e secondary delegations of contract',
24308:'administration. 1 a cao that has been delegated administration of a contract underparagraph aor c of this section, or a',
24309:'contracting officeretaining contract administration,may request supporting contract administration from the cao cognizant of the contractor location where performance of specific',
24310:'contract administration functions is required. the request shall i be in writing; ii clearly state the specific functions to be',
24311:'performed; and iii be accompanied by a copy of pertinent contractual and other necessary documents. 2 the prime contractoris responsible',
24312:'for managing itssubcontracts. the cao’s review ofsubcontractsis normally limitedtoevaluatingtheprimecontractor’smanagementofthesubcontractssee part 44. therefore, supporting contract administration shall not be used for',
24313:'subcontracts unless i the government otherwise would incur undue cost; ii successful completion of the prime contract is threatened; or',
24314:'iii it is authorized under paragraph f of this section or elsewhere in this regulation. f special surveillance. for major',
24315:'system acquisitions see part 34,thecontractingofficermaydesignatecertainhigh risk or critical subsystems or components for special surveillance in addition to requesting supporting contract',
24316:'administration. federal acquisition regulation this surveillance shall be conducted in a manner consistent with the policy of requesting that the',
24317:'cognizant cao perform contract administrationfunctions at a contractor’s facility see 42.002. g refusing delegation of contract administration. an agency may',
24318:'decline a request for contract administration services on a casebycase basis if resources of the agency are inadequate to accomplish',
24319:'the tasks. declinations shall be in writing. 42.203 contract administration servicesdirectory. the defense contract management agency dcma maintains the federal',
24320:'directory of contract administration services components. the directory lists the names and telephone numbers of those dcma and other agencyoffices',
24321:'that offer contract administration services within designated geographic areas and at specified contractor plants. federal agencies may access it on',
24322:'the internet at https://piee.eb.mil/pcm/xhtml/unauth/index.xhtml. for additional information contact defense contract managementagency 3901 a avenuebuilding 10500 ft. lee, va 238011809. subpart',
24323:'42.3 contract administration office functions 42.302 subpart 42.3 contract administration office functions 42.301general. when a contract is assigned for administration',
24324:'under subpart 42.2,thecontractadministrationofficecaoshallperform contract administration functions in accordance with 48 cfr chapter 1, the contract terms, and, unless otherwise agreed',
24325:'to in an interagency agreement see 42.002, the applicable regulations of the servicing agency. 42.302contract administration functions. a thecontracting officer',
24326:'normally delegates the following contract administrationfunctions to acao. the contracting officer may retain any of these functions, except those inparagraphs',
24327:'a5, a9, a11 and a12 of this section, unless the cognizant federal agency see 2.101 has designatedthe contracting officerto perform',
24328:'these functions. 1 review the contractor’scompensation structure. 2 review the contractor’sinsurance plans. 3 conduct postaward orientation conferences. 4 review and',
24329:'evaluate contractors’ proposals under subpart 15.4 and, when negotiation will be accomplished by the contracting officer, furnish comments and recommendationsto',
24330:'that officer. 5 negotiate forward pricing rate agreements see 15.4073. 6 negotiate advance agreements applicable to treatment of costs under',
24331:'contracts currently assigned for administration see 31.109. 7 determine the allowability of costs suspended or disapproved as required see subpart',
24332:'42.8, direct the suspension or disapproval of costs when there is reason to believe they should be suspended or disapproved,',
24333:'and approve final vouchers. 8 issue notices of intent to disallow or not recognize costs see subpart 42.8. 9 establish',
24334:'final indirect cost rates and billingrates for those contractors meetingthe criteria for contracting officer determination in subpart 42.7. 10attempttoresolveissuesincontroversy,usingadrprocedureswhenappropriatesee subpart',
24335:'33.2; prepare findings of fact and issue decisions under the disputes clause on matters in whichthe administrative contracting officer aco',
24336:'has the authority to take definitive action. 11 in connection with cost accounting standards see 30.601 and 48 cfr chapter',
24337:'99 ideterminethe adequacy ofthe contractor’s disclosure statements; ii determine whether disclosure statements are in compliance with cost accounting standards and',
24338:'part 31; iii determine the contractor’s compliancewith cost accounting standardsanddisclosure statements, ifapplicable; and iv negotiate price adjustments and execute supplemental',
24339:'agreements under the cost accounting standards clauses at 52.2302, 52.2303, 52.2304, 52.2305, and 52.2306. 12 determine the adequacyof the contractor’s',
24340:'accounting system. the contractor’s accounting systemshouldbe adequate during theentire period ofcontract performance. the adequacy of the contractor’s accounting system and',
24341:'its associated internal controlsystem,as well as contractor compliancewith the cost accounting standards cas, affect the quality and validity of the',
24342:'contractor data upon which the government must rely for its management oversight of the contractor and contract performance. 13 review',
24343:'and approve or disapprovethe contractor’s requestsforpaymentsunder theprogresspaymentsor performancebased payments clauses. 14 make payments on assigned contracts when prescribed in agency',
24344:'acquisition regulations. 15 manage special bank accounts. 16 ensure timely notification by the contractor of any anticipated overrun or underrun',
24345:'of the estimated cost under costreimbursement contracts. 17 monitorthe contractor’s financial condition and advise the contractingofficer when it jeopardizes contract',
24346:'performance. 18 analyze quarterly limitation on payments statements and take action in accordance with subpart 32.6 to recover overpayments from',
24347:'the contractor. 19 issue tax exemption forms. 20 ensure processing and execution of dutyfree entry certificates. 21 for classified contracts,',
24348:'administer those portions of the applicable industrial security program delegated to the cao see subpart 4.4. federal acquisition regulation 22',
24349:'issue work requests under maintenance, overhaul, and modification contracts. 23 negotiate prices and execute supplemental agreements for spare parts and',
24350:'other items selected through provisioning procedures when prescribed by agency acquisition regulations. 24 negotiate and execute contractual documents for settlement',
24351:'of partial and complete contract terminations for convenience, except as otherwise prescribed by part 49. 25 negotiate and execute contractualdocuments',
24352:'settling cancellation charges under multiyearcontracts. 26 process and execute novation and change of name agreements under subpart 42.12. 27 perform',
24353:'property administration see part 45. 28 performnecessary screening,redistribution, and disposal of contractor inventory. 29 issue contract modifications requiring the contractor',
24354:'to provide packing, crating, and handling services on excess government property. when the acodeterminesitto bein thegovernment’s interests, the services may',
24355:'be secured from a contractor other than the contractor in possession of the property. 30 when contractors request government property',
24356:'ievaluate the contractor’s requestsforgovernmentpropertyand for changes to existing government property and provide appropriate recommendations tothe contracting officer; ii ensure required',
24357:'screening of government property before acquisition by the contractor; iii evaluate the use of government property on a noninterference basis',
24358:'in accordance with the clause at 52.2459, use andcharges; iv ensure payment by the contractor of any rental due; and',
24359:'v modify contracts to reflect the addition of governmentfurnished property and ensure appropriate consideration. 31 perform production support, surveillance, and',
24360:'status reporting, including timely reporting of potential and actual slippages in contract delivery schedules. 32 perform preaward surveys see subpart',
24361:'9.1. 33 adviseandassist contractors regarding their priorities and allocations responsibilities and assistcontracting offices in processing requests for special assistance and',
24362:'for priority ratings for privately owned capital equipment. 34 monitorcontractor industrial labor relations matters under the contract; apprise the contracting',
24363:'officer and, if designated by theagency, the cognizantlaborrelations advisor, of actual or potential labor disputes; and coordinate the removal of',
24364:'urgently required material from thestrikebound contractor’splant upon instruction from, and authorization of, the contracting officer. 35 performtraffic management services, including',
24365:'issuance and control of government bills ofladingandother transportation documents. 36 review the adequacyof the contractor’s traffic operations. 37 review and',
24366:'evaluate preservation, packaging, and packing. 38 ensure contractor compliance with contractual quality assurance requirements see part 46. 39 ensure contractor',
24367:'compliance with contractual safety requirements. 40 perform engineering surveillance to assess compliance with contractual terms for schedule, cost, and technical',
24368:'performance in the areas of design, development, and production. 41 evaluate for adequacy and perform surveillance of contractor engineering efforts',
24369:'and management systemsthat relate to design, development, production, engineering changes, subcontractors, tests, management of engineering resources, reliability and maintainability,data controlsystems,',
24370:'configuration management, and independent research and development. 42 review and evaluate for technical adequacy the contractor’slogistics support, maintenance,and modification programs.',
24371:'43 report to the contractingoffice any inadequacies notedin specifications. 44 perform engineering analyses of contractor cost proposals. 45 review and',
24372:'analyze contractorproposed engineering and design studies and submit comments and recommendations to the contracting office, asrequired. 46 review engineering change',
24373:'proposals for proper classification, and when required, for need, technical adequacy of design, producibility,and impact on quality,reliability, schedule, and cost;',
24374:'submit comments to the contracting office. 47 assist in evaluating and make recommendations for acceptance or rejection of waivers and',
24375:'deviations. 48 evaluate and monitor the contractor’s procedures for complying with procedures regarding restrictive markings on data. 49 monitorthe contractor’s',
24376:'value engineering program. 50review,approveordisapprove,andmaintainsurveillanceofthecontractor’spurchasingsystemsee part 44. subpart 42.3 contract administration office functions 42.302 51 consent to the placement of subcontracts.',
24377:'52 review, evaluate, and approve plantor divisionwidesmall,smalldisadvantaged,womenowned, veteranowned, hubzone, and servicedisabled veteranowned small business master subcontracting plans. 53 obtain the',
24378:'contractor’scurrently approved companyor divisionwideplans for small, small disadvantaged, womenowned, veteranowned, hubzone, and servicedisabled veteranowned small business subcontracting for its commercial',
24379:'products, or, ifthere is no currentlyapproved plan, assistthe contracting officer in evaluatingthe plansforthose products. 54 assist the contracting officer,upon request,',
24380:'in evaluating an offeror’s proposed small, small disadvantaged womenowned, veteranowned, hubzone, and servicedisabled veteranowned small business subcontracting plans, including documentation',
24381:'of compliance with similar plans under prior contracts. 55 by periodic surveillance, ensure the contractor’s compliance with small, small disadvantaged,',
24382:'womenowned, veteranowned, hubzone, and servicedisabled veteranowned small business subcontracting plans and any labor surplus area contractual requirements; maintain documentation of',
24383:'the contractor’s performance under and compliance with these plans and requirements; and provide advice and assistance to the firms involved,',
24384:'as appropriate. 56 maintain surveillance of flight operations. 57 assign and perform supporting contract administration. 58 ensure timely submission of',
24385:'required reports. 59 issue administrative changes, correcting errors or omissions in typing, contractor address, facility or activity code, remittance address,',
24386:'computations which do not require additional contract funds, and other such changes see 43.101. 60 cause release of shipmentsfrom contractor’s',
24387:'plants according tothe shipping instructions. whenapplicable, the order of assigned priority shall be followed; shipments within the same priority shall',
24388:'be determined by date of the instruction. 61 obtain contractor proposals for any contract price adjustments resulting from amended shipping',
24389:'instructions. review all amended shipping instructions on a periodic, consolidated basis to ensure that adjustments are timely made. except when',
24390:'the aco has settlement authority, the aco shall forwardthe proposal to the contracting officer for contract modification. the aco shall',
24391:'not delay shipments pending completion and formalization of negotiations of revised shipping instructions. 62 negotiate and/or execute supplemental agreements, as',
24392:'required, making changes in packaging subcontractors or contract shipping points. 63 cancelunilateralpurchase orders whennotified ofnonacceptance by the contractor. the cao',
24393:'shall notify the contracting officerwhen the purchase orderis canceled. 64 negotiate and execute onetime supplemental agreements providing for the extension',
24394:'of contract delivery schedules up to 90 days on contracts with an assigned criticality designator of c see 42.1105. notification',
24395:'that the contract delivery schedule is being extended shall be providedto the contracting office. subsequent extensions onanyindividual contract shall be',
24396:'authorizedonly upon concurrenceof the contractingoffice. 65 accomplish administrative closeout procedures see 4.8045. 66 determine that the contractor has a drugfree',
24397:'workplace program and drugfree awareness program see subpart 26.5. 67 support the program, product, and project offices regardingprogramreviews, program status,',
24398:'program performance and actual or anticipated program problems. 68 monitorthe contractor’s environmental practices for adverse impacton contractperformance or contract cost,',
24399:'and for compliance with environmental requirements specified in the contract. aco responsibilities include i requesting environmental technical assistance, if needed;',
24400:'iimonitoring contractor compliancewith specifications or other contractual requirements requiring the delivery, use, or furnishing of sustainable products and services as',
24401:'defined in 2.101 in accordance with the clause at 52.22323. this must occur as part of the quality assurance procedures',
24402:'set forth in part 46; and iii as required in the contract, ensuring that the contractor complies with the reporting',
24403:'requirements relating to recovered material content see 52.2239 and biobased products see 52.2232 utilized in contract performance. 69 administer commercial',
24404:'financing provisions and monitor contractor security to ensure its continued adequacy to cover outstanding payments, when onsite review is required.',
24405:'70 deobligate excess funds after final price determination. 71 ensure that the contractor has implemented the requirements of 52.20313, contractor',
24406:'code of business ethics and conduct. federal acquisition regulation b the cao shall perform the following functions only when and',
24407:'to the extent specifically authorized by the contracting office: 1 negotiate or negotiate and execute supplemental agreements incorporating contractor proposals',
24408:'resulting from change orders issued under the changes clause. before completing negotiations, coordinate any delivery schedule change with the contracting',
24409:'office. 2 negotiate prices and execute priced exhibits for unpriced orders issued bythe contracting officerunder basic ordering agreements. 3 negotiate',
24410:'or negotiate and execute supplemental agreements changing contract delivery schedules. 4 negotiate or negotiate and execute supplemental agreements providing for',
24411:'the deobligation of unexpended dollar balances considered excess to known contract requirements. 5 issue amended shipping instructionsand, when necessary,negotiate andexecute',
24412:'supplemental agreements incorporating contractor proposals resulting from these instructions. 6 negotiate changes to interim billing prices. 7 negotiate and definitize',
24413:'adjustments to contract prices resulting from exercise of an economic price adjustment clause see subpart 16.2. 8 issue change orders',
24414:'and negotiate and execute resulting supplemental agreements under contracts for ship construction, conversion, andrepair. 9 execute supplemental agreements on firmfixedprice',
24415:'supply contracts to reduce required line item quantities and deobligate excess funds when notified by the contractor of an inconsequential',
24416:'delivery shortage, and it is determined that such action is in the best interests of the government, notwithstanding the default',
24417:'provisions of the contract. such action will be taken only upon the written request of the contractor and, in no',
24418:'event, shall the total downward contract price adjustment resulting from an inconsequential delivery shortage exceed $250.00 or 5 percent of',
24419:'the contract price, whichever is less. 10 execute supplemental agreements to permit a change in place of inspection at origin',
24420:'specified in firmfixedprice supply contracts awarded to nonmanufacturers,as deemed necessary to protect the government’sinterests. 11 prepare evaluations of contractor performance',
24421:'in accordance with subpart 42.15. c any additional contract administration functions not listed in 42.302a and b, or not otherwise',
24422:'delegated, remain the responsibility of the contracting office. subpart 42.4 correspondence and visits 42.403 subpart 42.4 correspondence and visits 42.401',
24423:'contract correspondence. a thecontracting officer or other contracting agency personnel normallyshall1forward correspondence relating to assigned contractadministration functions through the cognizant',
24424:'contract administration office cao tothe contractor, and 2 provide a copy for the cao’sfile. when urgency requires sending such correspondence',
24425:'directly to the contractor, a copy shall be sent concurrently to the cao. b the cao shall sendthe contracting office',
24426:'a copy of pertinent correspondence conducted betweenthe cao and the contractor. 42.402 visits to contractors’ facilities. a government personnel planning',
24427:'to visit a contractor’s facility in connection withone or more government contracts shall provide the cognizant cao with the following',
24428:'information, sufficiently in advance to permit the cao tomake necessary arrangements. such notification is for the purpose of eliminating duplicative',
24429:'reviews, requests, investigations, and audits relating to the contract administration functions in subpart 42.3delegatedtocao’sandshall,asaminimum,include the following see also paragraph b',
24430:'of this section: 1 visitors’ names, official positions, and security clearances. 2 date and duration of visit. 3 name and',
24431:'address of contractor and personnel to be contacted. 4 contractnumber, program involved, and purpose of visit. 5 if desired,visitorsto a',
24432:'contractor’s plant may request that a representative ofthe cao accompany them. in any event, thecao has final authority to decide',
24433:'whether a representative shall accompanya visitor. b if the visit will result in reviewing, auditing, or obtaining any information from',
24434:'the contractor relating to contract administration functions, the prospective visitor shall identify the information in sufficient detail so as to',
24435:'permit the cao, after consultation with the contractor and the cognizant audit office, to determine whether such information,adequate to fulfill',
24436:'the requirement, has recently been reviewed by or is available within the government. if so, the cao will discourage thevisit',
24437:'and refer the prospective visitor to thegovernmentoffice where such information is located. wherethe officeis the cao,such information will be immediately',
24438:'forwardedor otherwise made available to therequestor. c visitors shall fully inform the caoof any agreements reached with the contractor or',
24439:'other results ofthe visit that may affect the cao. 42.403evaluation of contract administration offices. onsite inspections or evaluations of theperformance',
24440:'of the assigned functions of a contract administration office shall be accomplishedonlyby or under the directionof the agency of whichthat',
24441:'officeis apart. this page intentionally left blank. 42.42 subpart 42.5 postaward orientation 42.5031 subpart 42.5 postaward orientation 42.500scope of subpart.',
24442:'this subpart prescribes policies and procedures for the postaward orientation of contractors and subcontractors through a a conference; or b',
24443:'a letter or other form of written communication. 42.501general. a a postaward orientation aids both government and contractor personnel to',
24444:'1 achieve a clear and mutual understanding of all contract requirements, and 2 identify and resolve potential problems. however, it',
24445:'is not a substitutefor thecontractor’sfullyunderstanding the work requirements at thetime offers are submitted, nor isitto beused toalter the final agreement',
24446:'arrived at in any negotiations leading to contract award. b postaward orientation is encouraged to assist see part 19 1',
24447:'small business concerns; 2 small disadvantaged business concerns; 3 veteranowned small business concerns; 4 servicedisabled veteranowned small business concerns; 5',
24448:'hubzone small business concerns; and 6 womenowned small business concernsincluding economically disadvantaged womenowned small business concerns and womenowned small business',
24449:'concerns eligible underthe womenowned small business program. c whilecognizant government or contractorpersonnel may requestthe contracting officer to arrange for orientation,',
24450:'it is up to the contractingofficer to decide whether a postaward orientationin any form is necessary. d maximum benefits will',
24451:'be realized when orientation is conducted promptly after award. 42.502selecting contracts for postaward orientation. when deciding whether postaward orientation is',
24452:'necessaryand, if so, whatform it shall take,the contracting officer shall consider,as a minimum, the a nature and extent of the',
24453:'preaward survey and any other prior discussions with the contractor; b type, value, and complexity of the contract; c complexity',
24454:'and acquisition history of the product or service; d requirements for spare parts and related equipment; e urgency of the',
24455:'delivery schedule and relationship of theproduct or serviceto critical programs; f length of the planned production cycle; g extent of',
24456:'subcontracting; h contractor’sperformance history and experiencewith the product or service; icontractor’s status, if any,as a smallbusiness, smalldisadvantaged, womenowned, veteranowned,hubzone, or',
24457:'servicedisabled veteranowned small business concern; jcontractor’s performancehistory withsmall, smalldisadvantaged, womenowned, veteranowned,hubzone, and servicedisabled veteranowned small business subcontracting programs; k safety',
24458:'precautions required for hazardous materials or operations; and l complex financing arrangements, such as progress payments, advance payments, or guaranteed',
24459:'loans. 42.503 postaward conferences. 42.5031postaward conference arrangements. a thecontracting officer who decides that a conference is needed is responsible for',
24460:'1 establishing the time and place of the conference; 2 preparing the agenda, when necessary; 3 notifying appropriate government representatives',
24461:'e.g., contracting/contract administration officeand the contractor; 4 designating or acting as the chairperson; 5 conducting a preliminary meeting of government',
24462:'personnel; and 6 preparing a summary report of the conference. 42.5032 federal acquisition regulation b when the contractingoffice initiates a',
24463:'conference,the arrangements maybe made by that office or, at its request, by thecontract administration office. 42.5032postaward conference procedure. the chairperson',
24464:'of the conference shall conduct the meeting. unless a contract change is contemplated, the chairperson shall emphasize that it is',
24465:'not the purpose of the meeting to change the contract. the contracting officer may make commitments or give directionswithin thescope',
24466:'of the contracting officer’s authority and shall putin writingandsign any commitment or direction, whether or not it changes the contract.',
24467:'any change to the contract that results from the postaward conference shall be made only by a contract modification referencing',
24468:'the applicable terms of the contract. participants without authority to bind the government shall not take action that in any',
24469:'way alters the contract. the chairperson shall include in the summary report see 42.5033 all information and guidance providedto the',
24470:'contractor. 42.5033postaward conference report. the chairperson shall prepare and sign a report of the postaward conference. the report shall cover',
24471:'all items discussed, including areas requiring resolution, controversial matters, the names of the participants assigned responsibility for further actions,andthe due',
24472:'dates for theactions. the chairperson shall furnish copies of thereport to the contractingoffice, the contract administrationoffice, the contractor, and otherswho',
24473:'require the information. 42.504postaward letters. in some circumstances, a letter or other written form of communication to the contractor may',
24474:'be adequate postaward orientation in lieu of a conference. the letter should identify the government representative responsible for administering the',
24475:'contract and cite any unusual or significant contract requirements. the rules on changes to the contract in 42.5032 also apply',
24476:'here. 42.505 postaward subcontractor conferences. a theprimecontractor is generally responsible for conductingpostaward conferences with subcontractors. however, the prime contractor may',
24477:'invite government representatives to a conference with subcontractors, or the government may request that the prime contractor initiate a conference',
24478:'with subcontractors. the prime contractor should ensure that representatives from involved contract administrationoffices are invited. b government representatives 1 must',
24479:'recognize the lack of privity of contract between the government and subcontractors; 2 shall not take action that is inconsistent',
24480:'with or alters subcontracts; and 3 shall ensure that any changes in direction or commitment affecting the prime contract orcontractor',
24481:'resulting from a subcontractor conference are madeby written direction of the contracting officer to the prime contractor in thesame manner',
24482:'as described in 42.5032. subpart 42.6 corporate administrative contracting officer 42.603 subpart 42.6 corporate administrative contracting officer 42.601general. contractors with',
24483:'more than one operational location e.g., division, plant, or subsidiary often have corporatewide policies,procedures,and activities requiring government review and approvalandaffecting',
24484:'the work ofmore thanone administrative contracting officer aco. in thesecircumstances,effective and consistent contractadministration may require theassignment of a corporate administrative',
24485:'contracting officercaco to deal with corporate management and to perform selected contract administration functions on a corporatewide basis. 42.602assignment and',
24486:'location. a a cacomay be assigned onlywhen 1 the contractorhas at leasttwo locationswith resident aco’s or 2 the need for',
24487:'a caco is approved by the agency head or designee for this purpose, a nonresident aco will be considered as',
24488:'residentif at least 75percent ofthe aco’s effortis devoted to asingle contractor. one of the resident aco’s may be designated to',
24489:'perform the caco functions, or a fulltime caco may be assigned. in determining the location of the caco, theresponsible agency',
24490:'shall take into account such factorsas the locations of the corporate records, corporate office, major plant, cognizantgovernment auditor, and overall',
24491:'cost effectiveness. b a decision to initiate or discontinue a caco assignment should be based on such factors as the',
24492:'1 benefits of coordination and liaison at the corporate level; 2 volumeof government sales; 3 degree ofcontrol exercised by the',
24493:'contractor’s corporate office over governmentoriented lowertier operating elements; and 4 impact of corporate policies and procedures on those elements. c',
24494:'responsibility for assigning a caco shall be determined as follows: 1 when all locations of a corporate entityare under the',
24495:'contract administration cognizanceof asingle agency, that agency is responsible. 2 when the locationsare underthe contract administrationcognizance of more than one',
24496:'agency, the agencies concerned shall agree on the responsible agency normallyon the basisof the agency with the largest dollar balance,',
24497:'including options, ofaffected contracts. in such cases, agencies may also consider geographic location. d the directory of contract administration services',
24498:'components referenced in 42.203 includes a listing of caco’s and thecontractors for whichthey are assigned responsibility. 42.603responsibilities. a the caco',
24499:'shall perform, on a corporatewide basis, the contract administration functions as designated by the responsible agency. typicalcaco functions include 1',
24500:'the determination of final indirect cost rates for costreimbursement contracts; 2 establishmentof advance agreements or recommendations on corporate/ home office',
24501:'expense allocations; and 3 administration of cost accounting standards cas applicable to corporatelevel and corporatedirected accounting practices. b the caco',
24502:'shall 1 fully utilize the responsible contract audit agency financial and advisory accounting services, including i advice regarding the acceptability',
24503:'of corporatewide policies; and ii advisory audit reports; 2 keepcognizant aco’s and auditors informedof important matters underconsideration and determinations made;',
24504:'and 3 solicit their advice and participation as appropriate. this page intentionally left blank. 42.62 subpart 42.7 indirect cost rates',
24505:'42.7032 subpart 42.7 indirect cost rates 42.700scope of subpart. this subpart prescribes policies and procedures for establishing a billing rates;',
24506:'and b final indirect cost rates. 42.701definition. billing rate, as used in this subpart, means an indirect cost rate 1',
24507:'established temporarily for interim reimbursement of incurred indirect costs; and 2 adjusted as necessary pending establishment of final indirect cost',
24508:'rates. 42.702purpose. a establishing final indirect cost rates under this subpart provides 1 uniformity of approach with a contractor when',
24509:'more than one contract or agency is involved; 2 economy of administration; and 3 timely settlement undercostreimbursementcontracts. b establishing billing',
24510:'rates provides a method for interim reimbursement of indirect costs at estimated rates subject to adjustment during contract performance and',
24511:'at the time the final indirect cost rates are established. 42.703general. 42.7031policy. a a single agency see 42.7051 shall be',
24512:'responsible for establishing final indirect cost rates for each business unit. these ratesshallbe binding onall agencies and their contracting offices,',
24513:'unless otherwisespecifically prohibited by statute. an agency shall notperform an audit ofindirectcostrates when the contracting officerdeterminesthat the objectives of the',
24514:'audit can reasonably be met by accepting the results of an audit that was conducted by any other department or',
24515:'agency of the federal government 10 u.s.c. 3841e and 41 u.s.c. 4706e. b billing rates and final indirect cost rates',
24516:'shall be used in reimbursing indirect costs under costreimbursement contracts and in determining progress payments under fixedprice contracts. c to',
24517:'ensure compliancewith 10 u.s.c. 3743a and 41 u.s.c. 4303a 1 final indirect cost rates shall be used for contract closeout',
24518:'for a business unit, unless the quickcloseout procedure in 42.708 is used. these final rates shall be binding for all',
24519:'costreimbursement contracts at the business unit, subject to any specific limitation in a contract or advance agreement; and 2 established',
24520:'final indirect cost rates shall be used in negotiating the final price of fixedprice incentive and fixed price redeterminable contracts',
24521:'and in other situations requiring that indirect costs be settled before contract prices are established, unless the quickcloseout procedure in',
24522:'42.708 is used. 42.7032certificate ofindirect costs. a general. in accordance with 10 u.s.c. 3747 and 41 u.s.c.4307, a proposal shall',
24523:'not be accepted and no agreement shall bemadeto establish finalindirectcostrates unless the costs have been certified by the contractor. b',
24524:'waiver of certification. 1 the agency head, or designee, may waive the certification requirement when i it is determined to',
24525:'be in the interest of the united states; and ii the reasons for the determination are put in writing and',
24526:'made available to the public. 2 a waiver may be appropriate for a contract with iaforeign government or international organization,',
24527:'such as a subsidiary body of the north atlantic treaty organization; ii a state or local government subject to the',
24528:'omb uniform guidance at 2 cfr part 200, subpart e and appendices v and vii; iii an educational institution defined',
24529:'as an institution of higher education in the omb uniform guidance at 2 cfr part 200, subpart a, and 20',
24530:'u.s.c. 1001 subject to the omb uniform guidance at 2 cfr part 200, subpart e and appendix iii; and federal',
24531:'acquisition regulation iv a nonprofit organization as defined in the ombuniform guidance at 2 cfr part 200 subject to the',
24532:'omb uniform guidance at 2 cfr part 200, subpart e and appendix iv. c failure tocertify. 1 if the contractor',
24533:'has not certified its proposal for final indirect cost rates and a waiver is not appropriate, the contractingofficer may unilaterally',
24534:'establish the rates. 2 rates established unilaterally should be i based on audited historical data or other available data as',
24535:'long as unallowable costs are excluded; and ii set low enough to ensure that unallowable costs will not be reimbursed.',
24536:'d false certification. the contracting officer should consult with legalcounsel to determine appropriate action when a contractor’s certificate offinal indirect',
24537:'costs isthought to be false. e penalties for unallowable costs. 10 u.s.c. 3743 and 41 u.s.c.4303 prescribe penalties for submission',
24538:'of unallowable costs in final indirect cost rate proposals see 42.709 for penalties and contractingofficer responsibilities. f contract clause. 1',
24539:'except as provided in paragraph f2 of this subsection, the clause at 52.2424, certification of final indirect costs, shall be',
24540:'incorporated into all solicitations and contracts which provide for establishment of final indirect cost rates. 2 the department of energy',
24541:'may providean alternate clause inits agencysupplement for itsmanagement and operating contracts. 42.704billing rates. a thecontracting officer or cognizant federal agency',
24542:'official or auditor responsible under 42.705 for establishing the final indirect cost rates also shall be responsible for determining the',
24543:'billing rates. b the contractingofficer or cognizant federalagency officialor auditor shall establishbilling rateson the basisof information resulting from recent review,',
24544:'previousrate audits or experience, or similar reliable data or experience ofother contracting activities. inestablishing billing rates, the contracting officer or',
24545:'cognizant federal agency officialor auditor should ensure that the billingrates are as close as possible to the final indirect cost',
24546:'rates anticipated for the contractor’s fiscal period,as adjusted for any unallowable costs. whenthe contracting officer or cognizant federal agency official',
24547:'or auditor determines that the dollar value of contracts requiring use of billing rates does not warrant submission of a',
24548:'detailed billing rateproposal, thebilling rates may be established by making appropriateadjustments from the prior year’s indirect cost experience to eliminate',
24549:'unallowable and nonrecurring costs and to reflect new or changed conditions. c once established, billing rates may be prospectively or',
24550:'retroactively revised by mutual agreement of the contracting officer or cognizant federal agency official or auditor and thecontractor ateither party’s',
24551:'request, to preventsubstantial overpayment or underpayment. when agreement cannot be reached, the billing rates may be unilaterally determined by the',
24552:'contracting officerorcognizant federal agency official. d the elements of indirect cost and the base or bases used in computing billing',
24553:'rates shall not be construed as determinative of the indirect costs to be distributed or of the bases of distribution',
24554:'to be used in the final settlement. e when thecontractor provides to thecognizant contracting officer the certified final indirect cost',
24555:'rateproposal in accordance with 42.7051b or 42.7052b, the contractor and the government may mutually agree to revise billing rates to',
24556:'reflect the proposed indirect cost rates, as approved by the government to reflect historically disallowed amounts from prior years’ audits,',
24557:'until the proposal has been audited and settled. the historical decrement will be determined by either the cognizantcontracting officer 42.7051b',
24558:'or the cognizant auditor 42.7052b. 42.705 final indirectcost rates. a final indirect cost rates shall be established on the basis',
24559:'of 1 contracting officer determination procedure see 42.7051, or 2 auditor determination procedure see 42.7052. b within 120days or longer',
24560:'period, if approvedin writing bythe contracting officer, after settlement of thefinal annual indirect cost rates for all years of a',
24561:'physically complete contract, the contractor must submit a completion invoice or voucher reflecting the settled amounts and rates. to determine',
24562:'whether a periodlonger than 120 days is appropriate, the contracting officer should consider whether there are extenuating circumstances, suchas the',
24563:'following: 1 pending closeout of subcontracts awaiting government audit. 2 pending contractor, subcontractor, or governmentclaims. 3 delays in the dispositionof',
24564:'government property. 4 delays in contract reconciliation. 5 any other pertinent factors. subpart 42.7 indirect cost rates 42.7051 c 1',
24565:'if the contractor fails to submit a completion invoice or voucher within the time specified in paragraph b of this',
24566:'section,the contracting officer may i determine the amounts due to the contractor under the contract; and ii record this determination',
24567:'in a unilateral modification to the contract. 2 this contracting officer determination must beissuedas afinal decision in accordance with 33.211.',
24568:'42.7051contractingofficer determination procedure. a applicability and responsibility. contracting officer determination shall beused for thefollowing, with the indicated cognizantcontracting officer or',
24569:'cognizant federal agency official responsible for establishing the final indirect cost rates: 1 business units of a multidivisional corporation under',
24570:'the cognizance of a corporate administrative contracting officer see subpart 42.6, with thatofficer responsible for the determination, assisted, as required,',
24571:'by the administrative contracting officers, assigned to the individual business units. negotiations may be conducted ona coordinated or centralized basis,',
24572:'depending uponthe degree of centralizationwithin thecontractor’sorganization. 2 business units not underthe cognizance of a corporate administrative contractingofficer, but having a',
24573:'resident administrative contracting officer see 42.602, with that officer responsibleforthe determination. forthispurpose, a nonresident administrative contractingofficer is consideredas resident if',
24574:'atleast 75 percent of theadministrative contracting officer’s timeis devoted to a single contractor. 3 for business unitsnot included in paragrapha1',
24575:'or a2 of this subsection, the contracting officer or cognizant federalagency official will determine whether the rates will be contractingofficer',
24576:'or auditor determined. 4 educational institutions see 42.7053. 5 state and local governments see 42.7054. 6 nonprofit organizations other than',
24577:'educational and state and local governments see 42.7055. b procedures. 1 in accordance with the allowable cost and payment clause',
24578:'at 52.2167, the contractor is required to submitan adequatefinal indirect cost rate proposal tothe contracting officerorcognizant federal agency official and',
24579:'to the cognizantauditor. i the required content of the proposal and supporting data will vary depending on such factors as',
24580:'business type, size, and accounting system capabilities. the contractor, contracting officer, and auditormust work together tomakethe proposal,audit, and negotiation process',
24581:'as efficient aspossible. ii each contractor is required to submit the final indirect cost rate proposal within the sixmonth period',
24582:'following theexpiration of each of its fiscal years. the contracting officer may grant, inwriting, reasonableextensions, for exceptional circumstances only, when',
24583:'requested in writing by the contractor. iii upon receipt of the proposal athe cognizant auditor will reviewthe adequacy of the',
24584:'contractor’s proposalforaudit in support of negotiating final indirect cost rates and will provide a written description of any inadequacies to',
24585:'the contractor and contracting officer. b if the auditor andcontractor are unable toresolve the proposal’sinadequacies identified by theauditor, the auditor',
24586:'will elevate the issue to the contractingoffice toresolve the inadequacies. iv the proposal must be supported with adequate supporting data,',
24587:'some of which may be required subsequent to finding that the proposal is adequate for audit in support of negotiating',
24588:'final indirect cost rates e.g., during the course of the performance of the advisory audit. see the clause at 52.2167d2',
24589:'for the description of an adequate final indirect cost rate proposal and supporting data. 2 once a proposal has been',
24590:'determined to be adequate for audit in support of negotiating final indirect cost rates, the auditor will audit the proposal',
24591:'andprepare an advisory audit report tothe contracting officer or cognizant federal agency official, includinga listing ofanyrelevant advance agreements or restrictiveterms',
24592:'ofspecific contracts. 3 the contractingofficer or cognizant federalagency officialshallheadthe government negotiating team, which includes the cognizant auditor and technical or',
24593:'functional personnel as required. contracting offices having significant dollar interest shall be invited to participate in the negotiation and in',
24594:'the preliminary discussion of critical issues. individuals or offices thathaveprovided a significant input to the governmentposition should be invited to',
24595:'attend. 4 the government negotiating team shall develop a negotiation position. pursuant to 10 u.s.c. 3745 and 41 u.s.c.4305, the',
24596:'contracting officer shall i not resolve any questioned costs until obtaining a adequate documentation on the costs; and b the',
24597:'contract auditor’s opinion on the allowability of the costs. 42.7052 federal acquisition regulation ii whenever possible, invite the contract auditor',
24598:'to serve as an advisor at any negotiation or meeting with the contractor onthe determination of the contractor’s final indirect',
24599:'cost rates. 5 the cognizant contracting officer shall i conduct negotiations; ii prepare a written indirect cost rate agreement conforming',
24600:'to the requirements of the contracts; iii prepare, sign, and place in the contractor general file see 4.801c3 a negotiation',
24601:'memorandum covering a the disposition of significant matters in the advisory audit report; b reconciliation of all costs questioned, with',
24602:'identification of items and amounts allowed or disallowed in the final settlement as well as the disposition of period costing',
24603:'or allocability issues; c reasons why any recommendations of the auditor or other government advisors were not followed; and d',
24604:'identification of certified cost or pricing data submitted during the negotiations and relied upon in reaching a settlement; and iv',
24605:'distribute resulting documents in accordance with 42.706. v notify the contractor of the individual costs which were considered unallowable and',
24606:'the respective amounts of the disallowance. 42.7052auditordeterminationprocedure. a applicability and responsibility. 1 the cognizant government auditor shall establish final indirect',
24607:'cost rates for business units not covered in 42.7051a. 2 in addition, auditor determination may be used for business units',
24608:'that are covered in 42.7051a when the contracting officerorcognizant federal agency official and auditor agree thatthe indirect costs can be',
24609:'settled with little difficulty and any ofthe following circumstances apply: i the business unit has primarily fixedprice contracts, with only',
24610:'minor involvement in costreimbursement contracts. iithe administrative cost of contracting officer determination wouldexceed the expected benefits. iii the business unit',
24611:'does not have a history of disputes and there are few cost problems. iv the contracting officer or cognizant federal',
24612:'agency officialand auditor agree that special circumstances require auditor determination. b procedures. 1 the contractor shall submit to the cognizant',
24613:'contractingofficer or cognizant federalagency official and auditor a final indirect cost rate proposal in accordance with 42.7051b1. 2 once a',
24614:'proposal has been determined to be adequate for audit in support of negotiating final indirect cost rates, the auditor shall',
24615:'i audit the proposal and prepare an advisory audit report, including a listing of any relevant advance agreements or restrictive',
24616:'terms of specific contracts; ii seek agreement on indirect costs with the contractor; iii prepare an indirect cost rate agreement',
24617:'conforming to the requirements of the contracts.the agreement shall be signed by the contractor and the auditor; iv ifagreement with',
24618:'the contractoris not reached,forward theaudit report to thecontracting officer or cognizant federalagency official identified in the directory of contract administration',
24619:'servicescomponents see 42.203, who will then resolve the disagreement; and v distribute resulting documents in accordance with 42.706. 42.7053 educational',
24620:'institutions. a general. 1 postdetermined final indirect cost rates shall be used in the settlement of indirect costs for all',
24621:'cost reimbursement contracts with educational institutions, unless predetermined final indirect cost rates are authorized and used see paragraph b of',
24622:'this subsection. 2 the omb uniform guidance at 2 cfr part 200, appendix iii assigns each educational institution defined as',
24623:'an institution of higher education in the omb uniform guidance at 2 cfr part 200, subpart a, and 20 u.s.c.',
24624:'1001 to a single government agency for the negotiation of indirect cost rates and provides that those rates shall be',
24625:'accepted by all federal agencies. cognizant government agencies and educational institutions are listed in the directory of federal contract audit',
24626:'offices see 42.103. 3 the cognizant agency for indirect costs shall establish the billing rates and final indirect cost rates',
24627:'at the educational institution defined as an institution of higher education in 2 cfr 200, subpart a, and 20 u.s.c.',
24628:'1001 consistent with the subpart 42.7 indirect cost rates 42.7055 requirements of this subpart, subpart 31.3, and the omb uniform',
24629:'guidance at 2 cfr part 200, subpart e and appendix iii. the agency shall follow the procedures outlined in 42.7051b.',
24630:'4 if the cognizant agency is unable to reach agreement with an institution, the appeals system of the cognizant agency',
24631:'shall be followed for resolution of the dispute. b predetermined final indirect cost rates. 1 under costreimbursement research and development',
24632:'contracts with universities, colleges, or other educational institutions 41 u.s.c. 4708, payment for reimbursable indirect costs may be made on',
24633:'the basis of predetermined final indirect cost rates. the cognizant agency is not required to establish predetermined rates, but if',
24634:'they are established, their use must be extendedto all theinstitution’sgovernmentcontracts. 2 in deciding whether the use of predetermined rates would',
24635:'be appropriate for the educational institution concerned, theagency should consider both thestability of the institution’s indirect costsandbases overa period of',
24636:'years and any anticipated changes in the amount of the direct and indirect costs. 3 unless their use is approved',
24637:'at a level in the agency see paragraph a2 of this subsection higher than the contracting officer, predeterminedratesshallnot be used',
24638:'when i there has been no recent audit of the indirect costs; ii there have been frequent or wide fluctuations',
24639:'in the indirect cost rates and the bases over a period of years; or iii the estimatedreimbursable costs for any',
24640:'individual contract are expected to exceed $1 millionannually. 4 iifpredeterminedratesaretobeusedandnorateshavebeenpreviouslyestablishedfortheinstitution’scurrent fiscal year, the agency shall obtain from the institution a',
24641:'proposal for predetermined rates. ii if the proposal is found to be generally acceptable, the agency shall negotiate the predetermined',
24642:'rates with the institution. theratesshouldbe based onan audit of the institution’s costs for the year immediatelypreceding the year in which',
24643:'the rates are being negotiated. if this is not possible, an earlier audit may be used, but appropriate steps should',
24644:'be taken to identify and evaluate significant variations in costs incurred or in bases used that may have a bearing',
24645:'on the reasonableness of the proposed rates. however, in thecaseof smallercontracts i.e., contracts that do not exceed the simplified acquisition',
24646:'threshold, an audit made at an earlier date is acceptable if atherehavebeenno significant changes in the contractor’s organization; and b',
24647:'itis reasonably apparent that another audit would have little effect on the rates finally agreed upon and the potential for',
24648:'overpayment of indirect cost is relatively insignificant. 5 if predetermined rates are used ithe contracting officer shall include thenegotiated rates',
24649:'and bases in the contract schedule; and ii see 16.307g, which prescribes the clause at 52.21615, predetermined indirect cost rates.',
24650:'6 predetermined indirect cost rates shall be applicable for a period of not more than fouryears. the agency shall obtain',
24651:'thecontractor’s proposal for new predetermined rates sufficientlyin advance sothat the new rates, based oncurrent data, may be promptly negotiated near',
24652:'the beginning of the new fiscal year or other period agreed to by the parties see paragraphs b and d',
24653:'of the clause at 52.21615, predetermined indirect cost rates. 7 contracting officersshalluse billingrates established by the agency to reimburse the',
24654:'contractor for workperformed during a period not covered by predetermined rates. 8 the omb uniform guidance at 2 cfr part',
24655:'200, subpart e and appendix iii, provides additional guidance on how long predetermined rates may be used. 42.7054 state and',
24656:'local governments. the omb uniform guidance at 2 cfr part 200, subpart eandappendix v, concerningcostprinciplesforstate and local governments see subpart',
24657:'31.6 establishes the cognizant agency concept and the procedures for determining a cognizant agency for approving state and local government',
24658:'indirect costs associated with federallyfunded programs and activities. the indirect cost rates negotiated and approved by the cognizant agency for',
24659:'indirect costs will be used by all federal agencies that also award contracts to these same state and local governments.',
24660:'42.7055nonprofitorganizationsother than educational andstate and local governments. see the omb uniform guidance at 2 cfr part 200, subpart e and',
24661:'appendix iv; but see appendix viii for nonprofit organizations exempt fromsubparte. federal acquisition regulation 42.706distribution of documents. a thecontracting officer',
24662:'or auditor shall promptly distribute executed copies of the indirect cost rateagreement to thecontractor and toeach affected contracting agency and',
24663:'shall provide copies of the agreement for the contract files, in accordance with the guidance for contract modifications in subpart',
24664:'4.2, contract distribution. b copies of the negotiation memorandumprepared under contracting officerdetermination or audit report prepared underauditor determination shall be',
24665:'furnished, as appropriate, tothe contracting offices and government auditoffices. 42.707 costsharing ratesand limitations on indirect cost rates. a costsharing arrangements,',
24666:'when authorized, may call for the contractor to participate in the costs of the contract by accepting indirect cost rates',
24667:'lower than the anticipated actual rates. in such cases, a negotiated indirect cost rate ceiling may be incorporated into the',
24668:'contract for prospective application. for cost sharing under research and development contracts, see 35.003b. b 1 other situations may make',
24669:'it prudent to provide a final indirect cost rate ceiling in a contract. examples of such circumstances are when the',
24670:'proposed contractor iisa new or recently reorganized company, and there is nopast or recent record ofincurred indirect costs; ii has',
24671:'a recent record of a rapidly increasing indirect cost rate due to a declining volume of sales without a commensurate',
24672:'decline in indirect expenses; or iii seeks to enhance its competitive position in a particular circumstance by basing its proposal',
24673:'on indirect cost rates lower than those that may reasonably be expected to occur during contract performance, thereby causing a',
24674:'cost overrun. 2 in such cases, an equitable ceiling covering the final indirect cost rates may be negotiated and specified',
24675:'in the contract. c when ceiling provisions are utilized, the contract shall also provide that 1 the government will not',
24676:'be obligated to pay any additional amount should the final indirect cost rates exceed the negotiated ceiling rates, and 2',
24677:'in the event the final indirect cost rates are less than the negotiated ceiling rates, the negotiated rates will be',
24678:'reduced to conform with the lower rates. 42.708 quickcloseout procedure. a thecontracting officer responsible for contract closeout shall negotiate thesettlement',
24679:'ofdirect and indirect costs for a specific contract, task order, ordelivery order to be closed, in advance of the determination',
24680:'of finaldirect costs and indirect rates set forth in 42.705, if 1 the contract, task order, or delivery order is',
24681:'physically complete; 2 the amount of unsettleddirect costs and indirect coststo beallocatedto the contract, task order, ordelivery order is relatively',
24682:'insignificant. cost amounts will be considered relatively insignificant when the total unsettled direct costs and indirect costs to be allocatedto',
24683:'any one contract, task order, or delivery order does not exceed the lesser of i $1,000,000; or ii10 percentof the',
24684:'total contract,taskorder,or delivery order amount; 3 the contractingofficer performs a risk assessmentanddeterminesthat the useof the quickcloseout procedure is appropriate. the',
24685:'risk assessment shall include iconsideration of the contractor’s accounting, estimating, and purchasing systems; ii other concerns of the cognizant contract',
24686:'auditors; and iii any other pertinent information, such as, documented history of federal government approved indirect cost rateagreements, changes to',
24687:'contractor’s rate structure, volatility of rate fluctuations during affectedperiods, mergers or acquisitions, special contract provisions limiting contractor’s recovery ofotherwise allowable',
24688:'indirect costs under cost reimbursement or timeandmaterials contracts; and 4 agreement can be reached on a reasonable estimate of allocable',
24689:'dollars. b determinations of final indirect costs under the quickcloseout procedure provided for by the allowable cost and payment clause',
24690:'at 52.2167 shall be final for the contract it covers and no adjustment shall be made to other contracts for',
24691:'over or underrecoveries of costs allocated or allocable to the contract covered by the agreement. c indirect cost rates used',
24692:'in the quick closeout of a contract shall not be considered a binding precedent when establishing the final indirect cost',
24693:'rates for other contracts. subpart 42.7 indirect cost rates 42.7094 42.709penalties for unallowable costs. 42.7091 scope. a this section implements',
24694:'10 u.s.c. 3743 and 41 u.s.c. 4303. it covers the assessment of penalties against contractors which include unallowable indirect costs',
24695:'in 1 final indirect cost rate proposals; or 2 the final statement of costs incurred or estimated to be incurred',
24696:'under a fixedprice incentive contract. b this section applies to all contracts in excess of $800,000, except fixedprice contracts without',
24697:'cost incentives or any firmfixedprice contracts for the purchase of commercial products or commercial services. 42.7092 general. a the following',
24698:'penalties apply to contracts covered by this section: 1 if the indirect cost is expresslyunallowable under a cost principle inthe',
24699:'far,or an executive agencysupplement to thefar, that defines the allowability of specificselected costs,the penalty is equal to i the amount',
24700:'of the disallowed costs allocated to contracts that are subject to this section for which an indirect cost proposal has',
24701:'been submitted; plus iiinterest on the paid portion, if any, ofthe disallowance. 2 if the indirect cost was determined to',
24702:'be unallowable for that contractor before proposal submission, the penalty is two times the amount in paragraph a1i of this',
24703:'section. b these penalties are in addition toother administrative, civil, and criminal penalties provided bylaw. c it is notnecessary for',
24704:'unallowable costs tohavebeenpaid to the contractor in order to assess a penalty. 42.7093 responsibilities. a thecognizant contracting officer is responsible',
24705:'for— 1 determining whether the penalties in 42.7092a should be assessed; 2 determining whether such penalties should be waived pursuant',
24706:'to 42.7096; and 3 referring the matter to the appropriate criminal investigative organization for review and for appropriate coordination of',
24707:'remedies, if there is evidence that the contractor knowingly submitted unallowable costs. b the contract auditor, in the review and/or',
24708:'the determination of finalindirectcost proposalsforcontracts subject to this section, is responsible for— 1 recommending to the contracting officerwhich costs may',
24709:'be unallowableandsubject to the penalties in 42.7092a; 2 providing rationale and supporting documentation for any recommendation; and 3 referring the',
24710:'matter to the appropriate criminal investigative organization for review and for appropriate coordination of remedies, if there is evidence that',
24711:'the contractor knowingly submitted unallowable costs. 42.7094assessing the penalty. unless a waiver is granted pursuant to 42.7096, thecognizant contracting officer',
24712:'shall a assess the penalty in 42.7092a1, when the submitted cost is expressly unallowable under a cost principle in the',
24713:'far or an executive agency supplement that defines the allowability of specific selectedcosts; or b assess the penalty in 42.7092a2,',
24714:'when the submitted cost was determined to be unallowable for that contractor prior to submission of the proposal. prior determinations',
24715:'of unallowability may be evidenced by 1 a dcaa form1, notice of contract costs suspended and/or disapproved see 48 cfr',
24716:'242.7052, or any similar notice which the contractor elected not to appeal and was not withdrawn by the cognizant government',
24717:'agency; 2 a contracting officerfinal decision which was not appealed; 3 a prior executiveagency board of contract appeals or court',
24718:'decision involving the contractor,which upheld the cost disallowance; or 4 a determination or agreement of unallowability under 31.2016. c issue',
24719:'a final decision see 33.211 which includes a demand for payment of any penalty assessed under paragraph a or b',
24720:'of this section. the letter shall state that the determination is a final decision under the disputes clause of the',
24721:'contract. demanding payment of the penalty is separate from demanding repayment of any paid portion of the disallowed cost. 42.7095',
24722:'federal acquisition regulation 42.7095computing interest. for 42.7092a1ii, compute interest on any paid portion of the disallowed cost as follows: a',
24723:'consider the overpayment to have occurred, and interest to have begun accumulating, from the midpoint of the contractor’s fiscal year.',
24724:'use an alternate equitable method if the cost was not paidevenly over thefiscalyear. b use the interest rate specified bythe',
24725:'secretary of the treasury pursuant to pub.l.9241 85 stat. 97. c compute interest from the date of overpaymentto the date',
24726:'of the demand letter for payment of the penalty. d determine the paid portion ofthe disallowedcosts in consultation with thecontract',
24727:'auditor. 42.7096waiver ofthe penalty. the cognizant contracting officer shall waive the penalties at 42.7092a when— a the contractor withdraws the',
24728:'proposal before the government formally initiates an audit of the proposal and the contractor submits a revised proposal an audit',
24729:'will be deemed to be formally initiated when the government provides the contractor with written notice, or holds an entrance',
24730:'conference, indicating that audit work on a specific final indirect cost proposal has begun; b the amount of the unallowable',
24731:'costs under the proposal which are subject to the penalty is $10,000 or less i.e., if the amount of expressly',
24732:'or previously determined unallowable costs which would be allocated to the contracts specified in 42.7091b is $10,000 or less; or',
24733:'c thecontractor demonstrates, to the cognizant contractingofficer’s satisfaction, that 1 it has established policies and personnel training and an internal',
24734:'control and review system that provide assurance that unallowable costs subject to penalties are precluded from beingincluded inthe contractor’s final',
24735:'indirect cost rate proposals e.g., the types of controls required for satisfactory participation in the department of defense sponsored self',
24736:'governance programs, specific accounting controls over indirect costs, compliance tests which demonstrate that the controls areeffective, and government auditswhich have',
24737:'not disclosed recurring instances of expressly unallowable costs; and 2 the unallowable costs subject to the penalty were inadvertently incorporated',
24738:'into the proposal; i.e., their inclusion resulted from anunintentional error, notwithstanding the exercise of duecare. 42.7097 contract clause. use the',
24739:'clause at 52.2423, penalties for unallowable costs, in all solicitations and contracts over $800,000 except fixedprice contracts without cost incentives',
24740:'or any firmfixedprice contract for the purchase of commercial products or commercial services. generally, covered contractsare thosewhich contain one of',
24741:'theclauses at 52.2167, 52.21616, or 52.21617, or a similar clause from an executiveagency’s supplement to the far. subpart 42.8 disallowance',
24742:'of costs 42.803 subpart 42.8 disallowance of costs 42.800scope of subpart. this subpart prescribes policies and procedures for a issuing',
24743:'notices of intent to disallow costs; and b disallowing costs already incurred during the course of performance. 42.801notice of intent',
24744:'to disallow costs. a at any time during the performance of a contract of a type referred to in 42.802,',
24745:'the cognizant contracting officer responsible for administering the contract may issue the contractor a written notice of intent to disallow',
24746:'specified costs incurred orplanned for incurrence. however,before issuing the notice, the contracting officer responsible for administering thecontract shall makeevery reasonable',
24747:'effort to reach asatisfactory settlement through discussions with the contractor. b a notice of intent to disallow such costs usually',
24748:'results from monitoring contractor costs. the purpose of the notice is to notify the contractor as early as practicable during',
24749:'contract performance that the cost is considered unallowable under the contract terms and to provide for timely resolution of any',
24750:'resulting disagreement. in the event of disagreement, the contractor may submit to the contracting officer a writtenresponse. any suchresponse shall',
24751:'be answered bywithdrawal of the notice or by making a written decision within 60 days. c as a minimum, the',
24752:'notice shall 1 refer to the contract’s notice of intent to disallow costs clause; 2 state the contractor’s name and',
24753:'list the numbersof the affectedcontracts; 3 describe the costs to be disallowed, including estimated dollar value by item and applicable',
24754:'time periods, and state the reasons for the intended disallowance; 4 describe the potential impact on billing rates and forward',
24755:'pricing rate agreements; 5 state the notice’seffective date and the date by which written responsemust be received; 6 list the',
24756:'recipients of copies of the notice; and 7 request the contractor to acknowledge receipt of the notice. d the contractingofficer',
24757:'issuingthe notice shall furnish copiesto all contracting officers cognizant ofany segment of thecontractor’sorganization. e if the notice involves elements of',
24758:'indirect cost, it shall not beissuedwithout coordinationwith the contracting officer or auditor having authority for final indirect cost settlement see',
24759:'42.705. f in the event the contractor submits a response that disagrees with the notice see paragraph b of this',
24760:'section, the contracting officerwho issued the noticeshalleither withdraw thenotice or issue the written decision,exceptwhen elements of indirect cost are involved,',
24761:'in which case the contracting officerresponsible under 42.705 for determining final indirect cost rates shall issue the decision. 42.802contract clause.',
24762:'the contractingofficer shall insertthe clause at 52.2421, notice of intent to disallow costs, in solicitations and contracts when a costreimbursement',
24763:'contract, a fixedprice incentive contract, or a contract providing for price redetermination is contemplated. 42.803 disallowing costs after incurrence. costreimbursement',
24764:'contracts, the costreimbursement portion of fixedprice contracts, letter contracts that provide for reimbursement of costs, and timeandmaterial and laborhour contracts',
24765:'provide for disallowing costs during the course of performance after the costs have been incurred. the following procedures shall apply:',
24766:'a contracting officer receipt of vouchers. when contracting officers receive vouchers directly from the contractor and, with or without auditor',
24767:'assistance, approve or disapprove them, the process shall be conducted in accordance with the normal procedures ofthe individual agency. b',
24768:'auditor receipt of vouchers. 1 when authorized by agency regulations, the contract auditor may be authorized to i receive reimbursement',
24769:'vouchers directly from contractors, ii approve for payment those vouchers found acceptable, and iiisuspend payment of questionable costs. the auditor',
24770:'shall forward approved vouchers for payment to the cognizant contracting, finance, or disbursing officer,as appropriate under the agency’s procedures. 2',
24771:'if the examination of a voucher raises a question regarding the allowability of a cost under the contract terms, the',
24772:'auditor, afterinformal discussion as appropriate, may, where authorized by agencyregulations, issuea notice of contract federal acquisition regulation costs suspended and/or',
24773:'disapproved simultaneously to the contractor and thedisbursingofficer, with a copyto thecognizant contracting officer, for deduction from currentpayments with respect to',
24774:'costs claimed but not considered reimbursable. 3 if the contractor disagrees with the deduction from current payments, the contractor may',
24775:'isubmit a written requestto thecognizant contracting officer to consider whether the unreimbursed costsshould be paid and to discuss the findings',
24776:'with the contractor; iifile aclaim under the disputes clause, which the cognizant contractingofficer will processin accordance with agency procedures; or',
24777:'iii do both of the above. subpart 42.9 bankruptcy 42.903 subpart 42.9 bankruptcy 42.900scope of subpart. this subpart prescribes policies',
24778:'and procedures regarding actions to be taken when a contractor enters into proceedings relating to bankruptcy. it establishes arequirementforthe contractor',
24779:'to notifythe contracting officerupon filing a petition for bankruptcy. it further establishesminimum requirementsforagencies tofollow in the event of a contractor',
24780:'bankruptcy. 42.901general. the contract administration office shall take prompt action to determine the potential impact of a contractor bankruptcy on',
24781:'the government in order to protect the interests of the government. 42.902 procedures. a when notified of bankruptcy proceedings, agencies',
24782:'shall, as a minimum 1 furnishthe notice of bankruptcy tolegal counsel and other appropriate agency officese.g., contracting, financial, property and',
24783:'affected buying activities; 2 determine the amount ofthe government’s potential claim against the contractorin assessing this impact, identify and review',
24784:'any contracts that have not been closed out, including those physically completed or terminated; 3 takeactions necessaryto protect thegovernment’s financial',
24785:'interests and safeguard government property; and 4 furnish pertinent contract information to the legal counsel representing the government. b the',
24786:'contractingofficer shall consult with legal counsel, whenever possible,prior to taking any action regarding the contractor’s bankruptcyproceedings. 42.903 solicitation provision and',
24787:'contract clause. the contractingofficer shall insertthe clause at 52.24213,bankruptcy, in all solicitations and contracts exceeding the simplified acquisition threshold. this',
24788:'page intentionally left blank. 42.92 subpart 42.10 [reserved] subpart 42.10 [reserved] this page intentionally left blank. 42.102 subpart 42.11 production',
24789:'surveillance and reporting 42.1105 subpart 42.11 production surveillance and reporting 42.1101 general. production surveillance is a function of contract administration',
24790:'used to determine contractor progress and to identify any factors that may delay performance. production surveillance involves government review and',
24791:'analysis of a contractor performance plans, schedules, controls, and industrial processes; and b the contractor’s actual performance under them. 42.1102',
24792:'applicability. this subpart applies to all contracts for supplies or services other than construction contracts, and federal supply schedule contracts.',
24793:'see part 37, especially subpart 37.6, regarding surveillance of contracts for services. 42.1103 policy. the contractor is responsible for timely',
24794:'contract performance. the government will maintain surveillance of contractor performanceas necessary to protect its interests. when the contractingoffice retainsa contract',
24795:'for administration, the contracting officeradministering thecontract shall determine theextent of surveillance. 42.1104 surveillance requirements. a thecontract administration officedeterminesthe extent of',
24796:'production surveillance on the basis of 1 the criticality degree ofimportance to the government assigned by the contracting officer see',
24797:'42.1105 to the supplies or services; and 2 consideration of the following factors: i contract requirements for reporting production progress',
24798:'and performance. ii the contract performance schedule. iii the contractor’s productionplan. iv the contractor’s historyof contractperformance. v the contractor’s experiencewith',
24799:'the contract supplies or services. vi the contractor’s financial capability. vii anysupplementarywritten instructionsfrom the contracting office. b contracts at or',
24800:'below the simplified acquisition threshold should not normally require production surveillance. c inplanning and conducting surveillance,contract administration offices shall make',
24801:'maximum use of anyreliable contractor production control or data management systems. d in performing surveillance,contract administration officepersonnel shall avoid any',
24802:'action that may 1 be inconsistent with any contract requirement; or 2 result in claims of waivers, of changes, or',
24803:'of other contract modifications. 42.1105 assignmentof criticalitydesignator. contracting officersshallassigna criticality designator to each contract in the space for designatingthe contract',
24804:'administration office, as follows: criticality designator criterion a critical contracts, including dxrated contracts see subpart 11.6, contracts citing the authority',
24805:'in 6.3022 unusual and compelling urgency, and contracts for major systems. b contracts other than those designated a for items',
24806:'needed to maintain a government or contractor production or repair line, to preclude outofstock conditions or to meet user needs',
24807:'for nonstock items. c all contracts other than those designated a or b. 42.1106 federal acquisition regulation 42.1106 reporting requirements.',
24808:'a when information on contract performance status is needed,contracting officers mayrequire contractors to submit production progress reports see 42.1107a. reporting',
24809:'requirements shall be limited to that information essential to government needs and shall take maximum advantage of data output generated',
24810:'by contractor management systems. b contractadministration offices shall review and verify theaccuracy of contractorreports and advise the contracting officer ofanyrequired',
24811:'action. the accuracyof contractorprepared reports shall beverified eitherby a program of continuous surveillance of the contractor’s reportpreparation system orby individual',
24812:'review of each report. c thecontract administration officemay atanytime initiate a report to advisethe contracting officer and the inventory manager,',
24813:'if one is designated inthe contractof any potential or actualdelay in performance. this advice shall 1 be in writing; 2',
24814:'be provided in sufficienttime for the contracting officer to take necessaryaction; and 3 provide a definite recommendation, if action is',
24815:'appropriate. 42.1107 contract clause. a thecontracting officer shall insert the clause at 52.2422, production progress reports, in solicitations and contracts',
24816:'when production progress reporting is required; unless a construction contract, or a federal supply schedule contract is contemplated. b when',
24817:'the clause at 52.2422 isused, the contracting officer shall specify appropriate reporting instructions in the schedule see 42.1106a. subpart 42.12',
24818:'novation and changeofname agreements 42.1203 subpart 42.12 novation and changeofname agreements 42.1200 scope of subpart. this subpart prescribes policies and',
24819:'procedures for a recognition of a successor in interest to government contracts when contractor assets are transferred; b recognition of',
24820:'a change in a contractor’s name; and c execution of novation agreements and changeofname agreements by the responsible contracting officer.',
24821:'42.1201 [reserved] 42.1202 responsibility for executingagreements. the contractingofficer responsible for processing and executing novationand changeofname agreements shall be determined as',
24822:'follows: a if any of theaffected contracts held by the transferor have been assigned toan administrative contracting officer aco see',
24823:'2.1 and 42.202, the responsible contractingofficer shall be 1 this aco; or 2 the aco responsible for thecorporate office, if',
24824:'affected contracts arein more than one plantor division of the transferor. b if none of the affected contracts heldby the',
24825:'transferor have been assigned to an aco, the contractingofficer responsible for the largest unsettled unbilledplus billedbut unpaid dollar balance of',
24826:'contractsshallbe the responsible contracting officer. c if several transferors areinvolved,the responsible contracting officershallbe 1 the aco administeringthe largest unsettleddollarbalance;or 2',
24827:'the contractingofficer or aco designated by the agency having the largest unsettled dollar balance,if none of the affected contractshavebeenassigned to',
24828:'an aco. 42.1203 processing agreements. a if a contractor wishes the government to recognize a successor in interest to its',
24829:'contracts or a name change, the contractor must submita written request to the responsible contractingofficer see 42.1202. if the contractor',
24830:'received its contract under subpart 8.7 under 41 u.s.c. chapter 85, committee for purchase from people who are blind or',
24831:'severely disabled, use the procedures at 8.716 instead. b the responsible contracting officer shall 1 identify and request that the',
24832:'contractor submit the information necessary to evaluate the proposed agreement for recognizing a successor in interest or a name change.',
24833:'this information should include the items identified in 42.1204e and f or 42.1205a, as applicable; 2 notify eachcontract administration officeandcontracting',
24834:'office affectedby a proposed agreement for recognizing a successor ininterest, and providethose offices with alist of all affected contracts; and',
24835:'3 request submission of any comments or objections to the proposed transfer within 30 days after notification. any submission should',
24836:'be accompanied by supporting documentation. c upon receiptof the necessary information, the responsible contracting officer shall determine whether or notitis',
24837:'in the government’s interestto recognize the proposed successor in interest onthe basis of 1 the comments received from the affectedcontract',
24838:'administration offices and contracting offices; 2theproposedsuccessor’sresponsibilityunder subpart 9.1, responsible prospective contractors; and 3 any factor relating to the proposed successor’s',
24839:'performance of contracts with thegovernment that the government determines would impair the proposed successor’sability toperform the contract satisfactorily. d the',
24840:'execution of a novation agreement does not preclude the use of any other method available to the contracting officer to',
24841:'resolve any other issues related toa transfer of contractor assets, including thetreatmentof costs. e any separate agreement between the transferor',
24842:'and transferee regarding the assumption of liabilities e.g., longterm incentive compensation plans, cost accounting standards noncompliances, environmental cleanup costs, and',
24843:'final overhead costs should be referenced specifically in the novation agreement. f beforenovation and changeofnameagreements are executed, the responsible contracting',
24844:'officer shall ensure that government counsel has reviewed them for legal sufficiency. g the responsible contracting officer shall 42.1204 federal',
24845:'acquisition regulation 1 forward a signed copy of the executed novation or changeofname agreement to the transferor and to the',
24846:'transferee; and 2 retain a signed copy in the case file. h following distribution of the agreement, theresponsible contracting officer',
24847:'shall 1 prepare a standard form 30, amendment of solicitation/modification of contract, incorporating a summary of the agreementandattaching a complete',
24848:'listof contracts affected; 2 retain the original standard form 30 with the attached list in the case file; 3 send',
24849:'a signed copy of the standard form 30, with attached list to the transferor and to the transferee; and 4',
24850:'send a copy of this standard form 30 withattachedlist toeach contract administration office or contracting office involved, which shall be',
24851:'responsible for further appropriate distribution. 42.1204 applicability of novation agreements. a 41 u.s.c.6305prohibits transferof government contracts from the contractorto a',
24852:'third party. the government may, when in its interest, recognize a third party as the successorin interest toa government contract',
24853:'when the third party’s interest in the contract arises out of the transfer of 1 all the contractor’s assets; or',
24854:'2 the entire portion of the assets involved in performing the contract. see 14.4042l for theeffect of novation agreements after',
24855:'bid opening but before award. examples of such transactions include, but are not limited to i sale of these assets',
24856:'with a provision for assuming liabilities; iitransferof theseassetsincidentto a merger or corporate consolidation; and iii incorporation of a proprietorship or',
24857:'partnership, or formation of a partnership. b a novation agreement is unnecessary when there is a change in the ownership',
24858:'of a contractor as a result of a stock purchase, withno legal change in the contracting party,andwhen that contracting partyremains',
24859:'incontrol of the assets and is the party performing the contract. however, whether there isa purchase of assets ora stock',
24860:'purchase,there may be issues related to the change in ownership that appropriately should be addressed in a formal agreement between',
24861:'the contractor and the government see 42.1203e. c when it is in the government’s interest not to concur in the',
24862:'transfer ofa contract from one company toanother company, the original contractor remainsunder contractualobligation tothe government, and thecontract maybe terminated for',
24863:'reasons of default, should the original contractor not perform. d when considering whether to recognize a third party as a',
24864:'successor in interest to government contracts, the responsible contracting officershallidentify and evaluate any significantorganizational conflicts of interest in accordance with',
24865:'subpart 9.5.if the responsiblecontracting officer determines thata conflict ofinterest cannot be resolved, but that it is in the best interest',
24866:'of the government to approve the novation request, a request for a waiver may be submitted in accordance with the',
24867:'procedures at 9.503. e when a contractor asks the government to recognize a successor in interest, the contractor shall submit',
24868:'to the responsible contracting officerthree signed copiesof the proposednovation agreement and one copy each, as applicable, of the following: 1',
24869:'the document describing the proposed transaction, e.g., purchase/sale agreement or memorandum of understanding. 2 a listof all affected contracts between',
24870:'the transferor andthe government, as of the date ofsale or transfer of assets, showing for each, as of that date,',
24871:'the i contract number and type; iiname and address of thecontracting office; iii total dollar value, as amended; and iv',
24872:'approximate remaining unpaid balance. 3 evidenceof the transferee’s capability to perform. 4 any other relevant information requested by theresponsible contracting',
24873:'officer. f except as provided in paragraphgof this section, the contractor shall submitto theresponsible contracting officer one copy of each',
24874:'of the following documents, as applicable, as the documents become available: 1 an authenticated copy of the instrumenteffecting the transfer',
24875:'ofassets; e.g., bill ofsale,certificate of merger, contract, deed, agreement, or court decree. 2 a certified copy of each resolution of',
24876:'the corporate parties’ boards of directors authorizing the transfer of assets. 3 a certified copy of theminutes of eachcorporate party’s',
24877:'stockholdermeeting necessary to approvethe transfer of assets. subpart 42.12 novation and changeofname agreements 42.1204 4 an authenticated copy of the',
24878:'transferee’s certificate andarticlesof incorporation, if a corporation was formed for the purpose of receiving the assets involved in performing the',
24879:'government contracts. 5 the opinion of legal counselforthe transferorand transfereestating that the transferwas properly effected under applicable law and the',
24880:'effective date of transfer. 6 balance sheets of the transferor and transferee as of the dates immediately before and after',
24881:'the transfer of assets, audited by independent accountants. 7 evidence that any security clearance requirements have been met. 8 the',
24882:'consent of sureties on all contracts listed under paragraph e2 of this section if bonds are required, or a statement',
24883:'from the transferor that none are required. g if the government has acquired the documents during its participationin thepremerger or',
24884:'preacquisition review process,or the government’s interests areadequately protected with analternativeformulation of the information, the responsible contracting officermay modify the list',
24885:'of documents tobe submitted by the contractor. h when recognizinga successor in interestto a government contract is consistent with the',
24886:'government’s interest,the responsible contracting officershallexecutea novationagreement with the transferor and the transferee. it shall ordinarily provide in part that 1',
24887:'the transferee assumesallthe transferor’s obligations underthe contract; 2 the transferor waives all rights under the contract against the government; 3',
24888:'the transferor guarantees performance of the contract by the transferee a satisfactory performance bond may be accepted instead of the',
24889:'guarantee; and 4 nothing inthe agreement shall relievethe transferoror transferee fromcompliance with any federal law. ithe responsible contracting officer shall',
24890:'use thefollowing format for agreements when thetransferor and transferee are corporations and all the transferor’s assets are transferred. this format',
24891:'may be adapted to fit specific cases and may be used as a guide in preparing similar agreements for other',
24892:'situations. novation agreement the abc corporationtransferor, a corporation dulyorganized and existing under the laws of [insert state] with its principal',
24893:'office in [insert city]; the xyz corporation transferee,[if appropriate add formerly known as the efg corporation] a corporation duly organized',
24894:'and existing under the laws of [insert state] with itsprincipal officein [insert city]; and the united states of america government',
24895:'enter into this agreement as of [insert the date transfer of assets became effective under applicable state law]. a the',
24896:'parties agree to the following facts: 1 the government, represented by various contracting officers of the [insert names of agencyies],',
24897:'has entered into certain contracts with the transferor,namely: [insert contract or purchase order identifications]; [or delete namely and insert as',
24898:'shown in the attached list marked ‘exhibit a’ and incorporated in this agreement by reference.]. the term the contracts, as',
24899:'used in this agreement, means the above contracts and purchase orders and all other contracts and purchase orders, including all',
24900:'modifications, made between the government and the transferor before the effective date of thisagreement whether or not performance and paymenthavebeencompleted',
24901:'and releases executed ifthe government or the transferor has any remaining rights, duties, orobligations under these contracts and purchase orders.',
24902:'included in the term the contracts are also all modifications made under the terms and conditions of these contracts andpurchase',
24903:'orders between the government and thetransferee, on orafter the effective date of this agreement. 2 asof , 20, the transferor',
24904:'has transferredto thetransferee all the assets of thetransferor by virtue of a [insert term descriptive of the legal transaction involved]',
24905:'between the transferor and the transferee. 3 the transferee has acquired all the assets of thetransferor by virtue of the',
24906:'above transfer. 4 the transferee has assumedall obligations and liabilities of the transferor under the contracts by virtue of the',
24907:'above transfer. 5 the transferee is in a position tofullyperform allobligations that may exist under the contracts. 6 it is',
24908:'consistent with the government’s interestto recognizethe transferee as the successor party to the contracts. 7 evidence of the above transfer',
24909:'has been filed with the government. [when a change of name is also involved; e.g.,a prior or concurrent change of',
24910:'the transferee’s name, an appropriate statement shall be inserted see example in paragraph8 of this agreement]. 8 a certificate dated',
24911:', 20, signed by the secretary of state of [insert state], tothe effect that the corporate name of efg corporation',
24912:'was changed to xyz corporation on , 20, has been filed with the government. 42.1204 federal acquisition regulation b in',
24913:'consideration of these facts, the parties agree that by this agreement 1 the transferor confirmsthe transfer to the transferee, and',
24914:'waives any claims and rightsagainst thegovernment that it now has or may have in the future in connection with the',
24915:'contracts. 2 the transferee agreesto bebound by and toperformeach contract in accordance with the conditions contained in thecontracts. the transferee',
24916:'alsoassumes all obligations and liabilities of, and all claims against,the transferor under the contracts asif the transferee were theoriginal party',
24917:'to the contracts. 3 the transferee ratifies all previousactions taken by the transferor with respectto thecontracts, withthe same force and',
24918:'effect as if the action had been takenby the transferee. 4 the government recognizes the transferee asthe transferor’s successor ininterest',
24919:'in and tothe contracts. the transferee by this agreement becomes entitled to all rights, titles, and interestsof the transferor in',
24920:'and to the contracts as if thetransferee were the original party to the contracts. followingthe effective date of this agreement,the',
24921:'term contractor, as used in the contracts, shall refer to the transferee. 5 except as expressly provided in this agreement,',
24922:'nothing in it shall be construed as a waiver of any rights of the government against the transferor. 6 all',
24923:'payments and reimbursements previously made bythe government to the transferor, and all other previous actions taken by the governmentunder thecontracts,shallbe',
24924:'consideredto have discharged those parts ofthe government’s obligations under the contracts. all payments and reimbursements made by the government after',
24925:'the date of this agreement in the name ofor to the transferor shall have the sameforce and effect as if',
24926:'made tothe transferee, and shall constitute a complete discharge ofthe government’s obligationsunder thecontracts,to the extent of theamountspaid or reimbursed. 7',
24927:'the transferor and the transferee agree thatthe government isnot obligated to pay or reimburse either ofthem for, or otherwise give',
24928:'effect to, any costs, taxes, or other expenses, or any related increases,directlyor indirectlyarising out of or resulting from the transfer',
24929:'or this agreement, other than those that the government in the absence of this transfer or agreement would have been',
24930:'obligated to pay or reimburse under the terms of the contracts. 8 the transferor guarantees payment of all liabilities andthe',
24931:'performanceof all obligationsthat thetransferee i assumes under this agreement; or iimay undertake in the future should these contracts be modified',
24932:'under their terms andconditions. the transferor waives notice of, and consents to, any such future modifications. 9 the contractsshallremainin fullforce',
24933:'and effect, except as modifiedby this agreement. each party has executed this agreement as of the day and year first',
24934:'above written. united states of america, by title abc corporation, by title [corporate seal] xyz corporation, by title [corporate seal]',
24935:'certificate i, , certify that i am the secretary of abc corporation, that , who signed this agreement for this',
24936:'corporation, was then of this corporation; and that this agreement was duly signed for and on behalf of this corporation',
24937:'by authority of its governing body andwithin thescope of its corporate powers. witness my hand and the seal of this',
24938:'corporation this day of 20 . by [corporate seal] certificate i, , certify that i am the secretary of xyz',
24939:'corporation, that , who signed this agreement for this corporation, was then of this corporation; and that this agreement was',
24940:'duly signed for and on behalf of thiscorporation by authority of its governing bodyandwithin the scope of its corporate powers.',
24941:'witness my hand and the seal of this corporation this day of 20. by subpart 42.12 novation and changeofname agreements',
24942:'42.1205 [corporate seal] 42.1205 agreement to recognize contractor’s changeof name. a if onlya change of the contractor’sname is involved and',
24943:'the government’sandcontractor’srights and obligations remain unaffected, the partiesshallexecutean agreement to reflect the name change. the contractor shall forward to the',
24944:'responsible contracting officerthree signed copiesof the changeofname agreement,and one copyeach of thefollowing: 1 the documenteffectingthe name change,authenticated by a proper',
24945:'official of thestate having jurisdiction. 2 the opinion of the contractor’s legal counsel stating that the change of name was',
24946:'properly effected under applicable law and showing the effective date. 3 a listof all affected contracts and purchase orders remaining',
24947:'unsettled between the contractor and the government, showing for eachthe contract number and type, and name and address of the',
24948:'contracting office. thecontracting officer may request the total dollar value as amended and the remaining unpaid balance for each contract.',
24949:'b the following suggested format for an agreement may be adapted for specific cases: changeofname agreement the abc corporationcontractor, acorporation',
24950:'duly organized and existing under the lawsof [insert state], and the united states of america government, enter into this agreement',
24951:'as of [insert date when the change of name became effective under applicable state law]. a the parties agree to',
24952:'the following facts: 1 the government, represented by various contracting officers of the [insert names of agencyies], has entered into',
24953:'certain contracts and purchase orders with the xyz corporation, namely: [insert contract or purchase order identifications]; [or delete namely and',
24954:'insert as shown in the attached list marked exhibit a and incorporated in this agreement by reference.]. the term the',
24955:'contracts, as used in this agreement, means the above contracts and purchase orders and all other contracts and purchase orders,',
24956:'including all modifications, made by the government and the contractorbefore theeffective date ofthis agreement whether or notperformance and payment have',
24957:'been completed and releases executed if the government or the contractor has any remaining rights, duties, or obligations under these',
24958:'contracts and purchase orders. 2 the xyz corporation, by an amendment to its certificate of incorporation, dated 20, has changed',
24959:'its corporate name to abc corporation. 3 this amendment accomplishes a change of corporate name only and all rights and',
24960:'obligations of the government and of the contractor under the contracts are unaffected by this change. 4 documentary evidence of',
24961:'this change of corporate name has been filed with the government. b in consideration of these facts, the parties agree',
24962:'that 1 the contracts covered by this agreement are amended by substituting the name abc corporation for the name xyz',
24963:'corporation wherever it appears in the contracts; and 2 each party has executed this agreement as of the day and',
24964:'year first above written. united states of america, by title abc corporation, by title [corporate seal] certificate i, , certify',
24965:'that i am the secretary of abc corporation; that , who signed this agreement for this corporation, was then of',
24966:'this corporation; and that this agreement was duly signed for and on behalf of this corporation by authority of its',
24967:'governing body and within the scope of its corporatepowers. witnessmy handandthe seal of this corporation this day of 20. by',
24968:'[corporate seal] this page intentionally left blank. 42.126 subpart 42.13 suspension of work, stopwork orders, and government delay of work',
24969:'42.1305 subpart 42.13 suspension of work, stopwork orders, and government delay of work 42.1301 general. situations may occur during contract',
24970:'performance that cause the government to order a suspension of work, or a work stoppage. this subpart provides clauses to',
24971:'meet these situations and a clause for settling contractor claims for unordered government caused delays that are not otherwise covered',
24972:'in the contract. 42.1302 suspension of work. a suspensionof work under a constructionor architectengineer contract may be ordered by thecontracting',
24973:'officer for a reasonable period of time. if the suspension is unreasonable, the contractor may submit a written claim for',
24974:'increases in the cost of performance, excluding profit. 42.1303 stopwork orders. a stopwork orders may beused, when appropriate, in anynegotiated',
24975:'fixedprice or costreimbursement supply, research and development, or service contract if work stoppage may be required for reasons such as',
24976:'advancement in the stateoftheart, production or engineering breakthroughs, or realignment of programs. b generally,a stopwork orderwill be issued only if',
24977:'it is advisable to suspend work pending a decision bythe government and a supplemental agreement providing for the suspension is',
24978:'not feasible. issuance of a stopwork order shall beapproved at a level higher than thecontracting officer. stopwork orders shall not',
24979:'beused inplace of a termination notice after a decision to terminate has been made. c stopwork orders should include 1',
24980:'a description of the work to be suspended; 2 instructions concerning the contractor’s issuance of further orders for materialsor services;',
24981:'3 guidance to the contractor on action to be taken on any subcontracts; and 4 other suggestions to the contractor',
24982:'for minimizing costs. d promptly after issuing thestopwork order, the contracting officer should discussthe stopwork order with the contractor and',
24983:'modify the order, if necessary, inlight of the discussion. e as soon as feasible after a stopwork order is issued,',
24984:'but before its expiration,the contracting officer shall take appropriate action to 1 terminate thecontract; 2 cancel the stopwork order any',
24985:'cancellation of a stopwork order shall be subject to the same approvals as were required for its issuance; or 3',
24986:'extend the period of the stopwork order if it is necessary and if the contractor agrees any extension of the',
24987:'stop work order shall be by a supplemental agreement. 42.1304 government delay of work. a the clause at 52.24217, government',
24988:'delay of work, provides for the administrative settlementof contractor claims that arisefrom delays and interruptions in the contract work causedby',
24989:'the acts, orfailures toact, of the contracting officer. this clause is not applicable if the contract otherwise specifically provides for',
24990:'an equitable adjustment because of the delay or interruption; e.g., when the changes clause is applicable. b the clause doesnot',
24991:'authorize the contracting officer to order a suspension, delay, or interruption of the contract work and it shall not be',
24992:'used asthe basis orjustification of such an order. c if the contracting officerhas noticeof an unordered delay or interruption covered',
24993:'bythe clause,the contracting officer shall act to end the delay or take other appropriate action as soon as practicable. d',
24994:'the contractingofficer shall retain inthe file arecord of all negotiations leading to any adjustmentmadeunder the clause, and related certified cost',
24995:'or pricing data, or data other than certified cost or pricing data. 42.1305 contract clauses. a thecontracting officer shall insert',
24996:'the clause at 52.24214, suspension of work, insolicitationsand contracts when a fixedprice construction or architectengineer contract is contemplated. b 1thecontractingofficermay,whencontractingbynegotiation,inserttheclauseat',
24997:'52.24215,stopworkorder,in solicitations and contracts for supplies, services, or research and development. 2 if a costreimbursement contract is contemplated, the contracting',
24998:'officer shall use theclause with itsalternatei. 42.1305 federal acquisition regulation c thecontracting officer shall insert the clause at 52.24217, government',
24999:'delay of work, in solicitations and contracts when a fixedprice contract is contemplated for supplies other than commercial or modifiedcommercial',
25000:'products. the clause use is optional when a fixedprice contract is contemplated for services, or for supplies that are commercial',
25001:'or modified commercial products. subpart 42.14 [reserved] subpart 42.14 [reserved] this page intentionally left blank. 42.142 subpart 42.15 contractor performance',
25002:'information 42.1502 subpart 42.15 contractor performance information 42.1500 scope of subpart. this subpart provides policies and establishes responsibilities for recording',
25003:'and maintaining contractor performance information. this subpart does not apply to procedures used by agencies in determining fees under award',
25004:'or incentive fee contracts. see subpart 16.4. however, the fee amount paid tocontractors should bereflectiveof the contractor’s performance and the',
25005:'past performance evaluation should closely parallel and be consistent with the fee determinations. 42.1501 general. a past performance information including',
25006:'the ratings and supporting narratives is relevant information, for future source selection purposes, regardinga contractor’s actions under previously awardedcontracts or',
25007:'orders. itincludes, for example, the contractor’s recordof 1 conforming to requirements and to standards of good workmanship; 2 forecasting and',
25008:'controlling costs; 3 adherence to schedules, including the administrative aspects of performance; 4 reasonable and cooperative behavior and commitment to',
25009:'customer satisfaction; 5 complying with the requirements of the small business subcontracting plan see 19.7057b; 6 reporting into databases see',
25010:'subpart 4.14, and reporting requirements in the solicitation provisions and clauses referenced in 9.1047; 7 integrity and business ethics; and',
25011:'8 businesslikeconcern for the interest of the customer. b agencies shall monitor their compliance with the past performance evaluation requirements',
25012:'see 42.1502, and use the contractor performance assessment reporting system cparsmetric toolsto measure the quality and timely reporting of past',
25013:'performanceinformation. cpars is the official source for past performance information. 42.1502 policy. a general. past performance evaluations shall be prepared',
25014:'at least annually and at the time the work under a contract or order is completed. past performance evaluations are',
25015:'required for contracts and orders as specified in paragraphs b through f of this section, including contracts and orders performed',
25016:'outside the united states. these evaluations are generally for theentity, division, or unit thatperformed the contractor order. past performance information',
25017:'shall be entered into cpars, the governmentwide evaluation reporting tool for all past performance reports on contracts and orders. instructions',
25018:'for submitting evaluations into cpars are available at http://www.cpars.gov/. b contracts. except as provided in paragraphs e, f, and h',
25019:'of this section, agencies shall prepare evaluations of contractorperformanceforeachcontractasdefinedinfar part 2 that exceeds the simplified acquisition threshold and for each',
25020:'order that exceeds the simplified acquisition threshold. agencies are required to prepare an evaluation if a modification to the contract',
25021:'causes the dollar amount to exceed the simplified acquisition threshold. c orders under multipleagency contracts. agencies shall prepare an evaluation',
25022:'of contractor performance for each order that exceeds the simplified acquisition threshold that is placed under a federal supply schedule',
25023:'contract or placed under a taskorder contract or a deliveryorder contract awarded by another agency i.e., governmentwide acquisition contract or',
25024:'multiagency contract. agencies placing orders under their own multipleagency contract shall also prepare evaluations for their own orders. this evaluation',
25025:'shall not consider the requirements under paragraph g of this section. agencies are required to prepare an evaluation if a',
25026:'modification to the order causes the dollar amount to exceed the simplified acquisition threshold. d ordersunder singleagency contracts. for singleagency',
25027:'taskorderanddeliveryorder contracts, the contractingofficer may require performance evaluations for each order in excess of the simplified acquisition threshold when such',
25028:'evaluations would produce more usefulpast performance information for source selectionofficialsthan that contained in the overall contract evaluation e.g., when the',
25029:'scope of the basic contract is very broad and the nature of individual orders could be significantly different. this evaluation',
25030:'need not consider therequirements under paragraph g of thissection unless the contracting officerdeems it appropriate. e past performance evaluations shall',
25031:'be prepared for each construction contract of $750,000 or more, and for each construction contract terminated for default regardless of',
25032:'contract value. past performance evaluations may also be prepared for construction contracts below $750,000. 42.1503 federal acquisition regulation f past',
25033:'performance evaluations shall be prepared for each architectengineer services contract of $35,000 or more, and for each architectengineer services contract',
25034:'that is terminated for default regardless of contract value. past performance evaluations may also be prepared for architectengineer services contracts',
25035:'below $35,000. g past performance evaluations shall include an assessment of the contractors 1 performance against, and efforts to achieve,',
25036:'the goals identifiedin the small business subcontracting plan when the contract includes the clause at 52.2199, small business subcontracting plan;',
25037:'and 2 reduced or untimely payments as defined in 19.701, made to small business subcontractors, determined by the contracting officerto',
25038:'beunjustified. thecontracting officer shall i consider and evaluate a contractors written explanation for a reduced or an untimely payment when',
25039:'determining whether the reduced or untimely payment is justified; and ii determine that a history of unjustified reduced or untimely',
25040:'payments has occurred when the contractor has reported three or more occasions of unjustified reduced or untimely payments under a',
25041:'single contract within a 12month period see 42.1503h1vi and the evaluation ratings in 42.1503 procedures. [for the small business subcontracting',
25042:'evaluationfactor, when 52.2199 is used]. the following payment or nonpayment situations are not considered to be unjustified: a there is',
25043:'a contract dispute on performance. b a partial payment is made for amounts not in dispute. c a payment is',
25044:'reduced due to past overpayments. d there is an administrative mistake. e late performance bythe subcontractor leads to later paymentby',
25045:'the prime contractor. h agencies shall not evaluate performance for contracts awarded under subpart 8.7. i agencies shall promptly report',
25046:'other contractor information in accordance with 42.1503h. 42.1503 procedures. a 1 agencies shall assign responsibility and management accountability for the',
25047:'completeness of past performance submissions. agency procedures for the past performance evaluation system shall igenerallyprovide for input to the evaluations',
25048:'fromthe technical office, contractingoffice, program management office, and where appropriate, quality assurance and end users of the product or service;',
25049:'ii identify and assign past performance evaluation roles and responsibilities to those individuals responsible for preparing and reviewing interim evaluations,',
25050:'if prepared, and final evaluations e.g., contractingofficers, contracting officer representatives, project managers, and program managers. those individuals identified may obtain',
25051:'information for the evaluationof performance from theprogramoffice, administrative contracting office, auditoffice, end users of theproduct or service, andanyothertechnicalor business advisor,',
25052:'asappropriate;and iii address management controls and appropriate management reviews of past performance evaluations, to include accountability for documenting past performance',
25053:'oncpars. 2 if agency procedures do not specify the individuals responsible for past performance evaluation duties, the contracting officeris responsible',
25054:'for this function. 3 interim evaluations may be prepared as required, in accordance with agency procedures. b 1theevaluationshouldincludeaclear,nontechnicaldescriptionoftheprincipalpurposeofthecontractororder. the evaluation',
25055:'should reflect how the contractor performed. the evaluation should include clear relevant information that accurately depicts the contractor’s performance, and',
25056:'bebased on objective facts supported by program andcontract ororder performance data. the evaluations should be tailored to the contract type,',
25057:'size, content, and complexity of the contractual requirements. 2 evaluation factors for each assessment shall include, at a minimum, the',
25058:'following: itechnicalquality ofproduct or service. ii cost control not applicable for firmfixedprice or fixedprice with economic price adjustment arrangements. iii',
25059:'schedule/timeliness. iv management or business relations. v small business subcontracting, including reduced or untimely payments to small business subcontractors when',
25060:'19.702a requires a subcontracting plan as applicable, see 42.1503 procedures. [for the small business subcontracting evaluationfactor, when 52.2199 is used].',
25061:'subpart 42.15 contractor performance information 42.1503 vi otherasapplicable e.g., trafficking violations, tax delinquency, failure to report in accordance with contract',
25062:'terms and conditions, defective cost or pricing data, terminations, suspension and debarments, and failure to comply with limitations on subcontracting.',
25063:'3 evaluation factors may include subfactors. 4 each factor and subfactor used shall be evaluatedanda supportingnarrative provided. each evaluationfactor, as',
25064:'listed in paragraph b2 of this section, shall be rated in accordance with a five scale rating system i.e., exceptional,',
25065:'very good, satisfactory, marginal, andunsatisfactory. the ratingsand narratives must reflect the definitions in the tables 42.1503 procedures. or 42.1503 procedures.',
25066:'[for the small businesssubcontractingevaluation factor, when 52.2199 is used] of this section. c 1 when the contract provides for incentive',
25067:'fees, the incentivefee contract performance evaluation shall be entered into cpars. 2 when the contract provides for award fee, the',
25068:'award feecontract performance adjectival rating as described in 16.401e3 shall be entered into cpars. d agency evaluations of contractor performance,',
25069:'including both negative and positive evaluations, prepared under this subpart shall be provided to the contractor as soon as practicable',
25070:'after completion of the evaluation. the contractor will receive a cparssystem generated notification when an evaluation is ready for comment.',
25071:'contractors shall be afforded up to 14 calendar days from the date of notification of availability of the past performance',
25072:'evaluation to submit comments, rebuttingstatements, or additional information. agencies shall provide for review at a level above thecontracting officer to',
25073:'consider disagreements between the parties regarding the evaluation. the ultimate conclusion on the performance evaluation is a decision of the',
25074:'contracting agency. copiesof the evaluation, contractor response, and review comments, if any,shallbe retained as part of the evaluation. these evaluations',
25075:'may be used to support future award decisions, and should therefore be marked source selection information. evaluation of federal prison',
25076:'industries fpi performance may be used to support a waiver request see 8.604 when fpi is a mandatory source in',
25077:'accordance with subpart 8.6. the completed evaluation shall not be released to other than government personnel and the contractor whose',
25078:'performance is being evaluated during the period the information may be used to provide source selection information. disclosure of such',
25079:'information could cause harm both to the commercial interest of the government and to the competitive position of the contractor',
25080:'being evaluated as well as impede theefficiencyof government operations. evaluations used in determining award or incentive fee payments may also',
25081:'be used to satisfy the requirements of this subpart. a copy of the annual or final past performance evaluation shall',
25082:'be provided to the contractor as soon as it is finalized. e agencies shall require frequent evaluation e.g., monthly, quarterly',
25083:'of agency compliance with thereporting requirements in 42.1502, so agencies can readily identify delinquent past performance reports and monitor their',
25084:'reports for quality control. f agencies shall prepare and submit all pastperformance evaluations electronicallyin cpars at https://www.cpars.gov. these evaluations, including',
25085:'any contractorsubmitted information with indication whether agency review is pending, become available for source selectionofficialsnot later than14 days afterthe date',
25086:'onwhich the contractor is notified of the evaluations availability for comment. the government shall updatecpars withanycontractor comments provided after 14',
25087:'days, as well as any subsequent agency review of comments received. past performance evaluations for classified contracts and special access',
25088:'programs shall not be reported in cpars, but will be reported asstated in this subpart and in accordance with agency',
25089:'procedures. agencies shall ensure that appropriate management and technical controls are in place to ensure that only authorized personnel have',
25090:'access to the data and the information safeguarded in accordance with 42.1503d. g agencies shall usethe past performance information in',
25091:'cpars. that is within threeyears six for construction and architectengineercontractsof the completion of performance of the evaluated contract or order,',
25092:'and information contained in the federalawardee performanceandintegrity information system fapiis, e.g., terminations for default or cause. h other contractor performance',
25093:'information. 1 agencies shall ensure information is accurately reported inthe fapiis module of cpars within 3 calendar days after a',
25094:'contracting officer i issues a final determination that a contractor has submitted defective cost or pricing data; ii makes a',
25095:'subsequent change to the final determination concerning defective cost or pricing data pursuant to 15.4071d; iii issues a final termination',
25096:'for cause or default notice; iv makes a subsequent withdrawal or a conversion of a termination for default to a',
25097:'termination for convenience; v receives a final determination after an administrative proceeding, in accordance with 22.1704d1, that substantiates an allegationof',
25098:'aviolation ofthe trafficking in persons prohibitions in 22.1703a and 52.22250b; or 42.1503 federal acquisition regulation vi determines that a contractor',
25099:'has a history of three or more unjustified reduced or untimely payments to small business subcontractors under a single contract',
25100:'within a 12month period see 42.1502g2. 2 the information to be posted in accordance with this paragraph h is information',
25101:'relating to contractor performance, but does not constitute a pastperformance review, which would be exempted from public availability in accordance',
25102:'withsection 3010 of the supplemental appropriations act, 2010 pub. l. 111212. therefore, all such information posted in fapiis will be',
25103:'publiclyavailable, unless covered by a disclosure exemption under the freedom of information act see 9.1052b2. 3 agencies shall establish cpars',
25104:'focal points who will register users to report data into the fapiis module of cpars available at https://www.cpars.gov/. 4 with',
25105:'regardto information thatmay be coveredby a disclosure exemption underthe freedom of information act, thecontracting officer shall follow the procedures at',
25106:'9.1052b2iv. table 421 evaluation rating definitions rating definition note a exceptional performance meets contractual requirements and exceeds many to the',
25107:'government’s benefit. the contractual performance of the element or sub element being evaluated was accomplished with few minor problems for',
25108:'which corrective actions taken by the contractor were highly effective. to justify an exceptional rating, identify multiple significant events and',
25109:'state how they were of benefit to the government. a singular benefit, however, could be of such magnitude that it',
25110:'alone constitutes an exceptional rating. also, there should have been no significant weaknesses identified. b very good performance meets contractual',
25111:'requirements and exceeds some to the government’s benefit. the contractual performance of the element or subelement being evaluated was accomplished',
25112:'with some minor problems for which corrective actions taken by the contractor were effective. to justify a very good rating,',
25113:'identify a significant event and state how it was a benefit to the government. there should have been no significant',
25114:'weaknesses identified. c satisfactory performance meets contractual requirements. the contractual performance of the element or sub element contains some minor',
25115:'problems for which corrective actions taken by the contractor appear or were satisfactory. to justify a satisfactory rating, there should',
25116:'have been only minor problems, or major problems the contractor recovered from without impact to the contract/order. there should have',
25117:'been no significant weaknesses identified. a fundamental principle of assigning ratings is that contractors will not be evaluated with a',
25118:'rating lower than satisfactory solely for not performing beyond the requirements of the contract/order. d marginal performance does not meet',
25119:'some contractual requirements. the contractual performance of the element or subelement being evaluated reflects a serious problem for which the',
25120:'contractor has not yet identified corrective actions. the contractor’s proposed actions appear only marginally effective or were not fully implemented.',
25121:'to justify marginal performance, identify a significant event in each category that the contractor had trouble overcoming and state how',
25122:'it impacted the government. a marginal rating should be supported by referencing the management tool that notified the contractor of',
25123:'the contractual deficiency e.g., management, quality, safety, or environmental deficiency report or letter. subpart 42.15 contractor performance information 42.1503 rating',
25124:'definition note e unsatisfactory performance does not meet most contractual to justify an unsatisfactory rating, identify requirements and recovery is',
25125:'not likely in a multiple significant events in each category timely manner. the contractual performance of that the contractor had',
25126:'trouble overcoming the element or subelement contains a serious and state how it impacted the government. a problems for which',
25127:'the contractor’s corrective singular problem, however, could be of such actions appear or were ineffective. serious magnitude that it alone',
25128:'constitutes an unsatisfactory rating. an unsatisfactory rating should be supported by referencing the management tools used to notify the contractor',
25129:'of the contractual deficiencies e.g., management, quality, safety, or environmental deficiency reports, or letters. note 1:plus or minussignsmay be used',
25130:'to indicate an improving + or worsening trend insufficient to changethe evaluation status. note 2: n/a not applicable should be',
25131:'used if the ratings are not going to be applied to a particular area for evaluation. table 422 evaluation rating',
25132:'definitions [for the small business subcontracting evaluation factor, when 52.2199 is used] rating definition note a exceptional exceeded all statutory',
25133:'goals or goals as negotiated. to justify an exceptional rating, identify had exceptional success with initiatives to multiple significant events',
25134:'and state how assist, promote, and utilize small business sb, they were a benefit to small business small disadvantaged business',
25135:'sdb, womenutilization. a singular benefit, however, owned small business wosb, hubzone could be of such magnitude that it small business,',
25136:'veteranowned small business constitutes an exceptional rating. small vosb and service disabled veteran owned businesses should be given meaningful small',
25137:'business sdvosb. complied with far and innovative work directly related to the 52.2198, utilization of small business concerns. contract, and',
25138:'opportunities should not be exceeded any other small business participation limited to indirect work such as cleaning requirements incorporated in',
25139:'the contract/ offices, supplies, landscaping, etc. also, order, including the use of small businesses in there should have been no',
25140:'significant mission critical aspects of the program. went weaknesses identified. above and beyond the required elements of the subcontracting plan',
25141:'and other small business requirements of the contract/order. completed and submitted individual subcontract reports and/or summary subcontract reports in an',
25142:'accurate and timely manner. did not have a history of three or more unjustified reduced or untimely payments to small',
25143:'business subcontractors within a 12month period. 42.1503 federal acquisition regulation rating definition note b very good met all of the',
25144:'statutory goals or goals as negotiated. had significant success with initiatives to assist, promote and utilize sb, sdb, wosb, hubzone,',
25145:'vosb, and sdvosb. complied with far 52.2198, utilization of small business concerns. met or exceeded any other small business participation',
25146:'requirements incorporated in the contract/order, including the use of small businesses in mission critical aspects of the program. endeavored to',
25147:'go above and beyond the required elements of the subcontracting plan. completed and submitted individual subcontract reports and/or summary subcontract',
25148:'reports in an accurate and timely manner. did not have a history of three or more unjustified reduced or untimely',
25149:'payments to small business subcontractors within a 12month period. to justify a very good rating, identify a significant event and',
25150:'state how it was a benefit to small business utilization. small businesses should be given meaningful and innovative opportunities to',
25151:'participate as subcontractors for work directly related to the contract, and opportunities should not be limited to indirect work such',
25152:'as cleaning offices, supplies, landscaping, etc. there should be no significant weaknesses identified. c satisfactory demonstrated a good faith effort',
25153:'to meet all of the negotiated subcontracting goals in the various socioeconomic categories for the current period. complied with far',
25154:'52.2198, utilization of small business concerns. met any other small business participation requirements included in the contract/order. fulfilled the requirements',
25155:'of the subcontracting plan included in the contract/ order. completed and submitted individual subcontract reports and/or summary subcontract reports in',
25156:'an accurate and timely manner. did not have a history of three or more unjustified reduced or untimely payments to',
25157:'small business subcontractors within a 12month period. to justify a satisfactory rating, there should have been only minor problems, or',
25158:'major problems the contractor has addressed or taken corrective action. there should have been no significant weaknesses identified. a fundamental',
25159:'principle of assigning ratings is that contractors will not be assessed a rating lower than satisfactory solely for not performing',
25160:'beyond the requirements of the contract/order. d marginal deficient in meeting key subcontracting plan elements. deficient in complying with far',
25161:'52.2198, utilization of small business concerns, and any other small business participation requirements in the contract/order. did not submit individual',
25162:'subcontract reports and/or summary subcontract reports in an accurate or timely manner. failed to satisfy one or more requirements of',
25163:'a corrective action plan currently in place; however, does show an interest in bringing performance to a satisfactory level and',
25164:'has demonstrated a commitment to apply the necessary resources to do so. required a corrective action plan. did not have',
25165:'a history of three or more unjustified reduced or untimely payments to small business subcontractors within a 12month period. to',
25166:'justify a marginal rating, identify a significant event that the contractor had trouble overcoming and how it impacted small business',
25167:'utilization. a marginal rating should be supported by referencing the actions taken by the government that notified the contractor of',
25168:'the contractual deficiency. subpart 42.15 contractor performance information 42.1504 rating definition note e unsatisfactory noncompliant with far 52.2198 and 52.2199,',
25169:'and any other small business participation requirements in the contract/order. did not submit individual subcontract reports and/or summary subcontract reports',
25170:'in an accurate or timely manner. showed little interestin bringing performance to a satisfactory level or is generally uncooperative. required',
25171:'a corrective action plan. had a history of three or more unjustified reduced or untimely payments to small business subcontractors',
25172:'within a 12month period. to justify an unsatisfactory rating, identify multiple significant events that the contractor had trouble overcoming and',
25173:'state how it impacted small business utilization. a singular problem,however, could be of such serious magnitude that it alone constitutes',
25174:'an unsatisfactory rating. an unsatisfactory rating should be supported by referencing the actions taken by the government to notify the',
25175:'contractor of the deficiencies. when an unsatisfactory rating is justified, the contractingofficer must consider whether the contractor made a good',
25176:'faith effort to comply with the requirements of the subcontracting plan required by far 52.2199 and follow the procedures outlined',
25177:'in 52.21916, liquidated damagessubcontracting plan. note 1:plus or minussignsmay be used to indicate an improving + or worsening trend insufficient',
25178:'to change evaluation status. note 2:generally, zero percent is not a goal unless the contracting officer determinedwhen negotiating the subcontracting',
25179:'plan that no subcontracting opportunities exist in aparticular socioeconomic category. in such cases, the contractor shall be considered to have',
25180:'met the goal for any socioeconomic category where the goal negotiated in the plan was zero. 42.1504 contract clause. insert',
25181:'the clause at 52.2425, payments to small business subcontractors, in all solicitations and contracts containing the clause at 52.2199, small',
25182:'business subcontracting plan. this page intentionally left blank. 42.158 subpart 42.16 small business contract administration 42.1601 subpart 42.16 small business',
25183:'contract administration 42.1601 general. the contractingofficer shall make everyreasonable effortto respond in writing within 30 days toanywritten request to the',
25184:'contracting officerfrom a small business concernwith respect toa contract administration matter. inthe event the contracting officercannot respond to the request',
25185:'within the 30day period, the contractingofficer shall,within the period, transmit to the contractor a written notification of thespecific datethe contracting',
25186:'officerexpects torespond. this provision shall not apply to arequest for acontracting officer decision under 41 u.s.c. chapter 71, contract disputes.',
25187:'this page intentionally left blank. 42.162 subpart 42.17 forward pricing rate agreements 42.1701 subpart 42.17 forward pricing rate agreements 42.1701',
25188:'procedures. a negotiation of forward pricingrate agreements fpra’s may berequested bythe contracting officeror the contractor or initiated by the administrative',
25189:'contractingofficer aco. in determining whether or notto establish such an agreement, the aco should consider whether the benefitsto bederived from',
25190:'the agreement are commensurate with the effort of establishing and monitoring it. normally, fpra’s should be negotiated only withcontractors having',
25191:'asignificant volume ofgovernment contract proposals. the cognizant contract administration agency shall determine whether an fpra will be established. b the',
25192:'aco shall obtain the contractor’s forward pricingrate proposal and require that it include cost or pricingdata that are accurate, complete,',
25193:'and current as of the date of submission but see 15.4073c. the aco shall invite the cognizant contract auditorand contracting',
25194:'offices having a significant interest toparticipate in developing agovernment objective and in the negotiations. upon completing negotiations, the aco shall',
25195:'prepare a price negotiation memorandum pnm see 15.4063 and forward copies ofthe pnmandfpra to the cognizant auditor and toallcontracting officesthat',
25196:'areknown to beaffected by the fpra. c the fpra shall provide specific terms and conditions covering expiration, application, and data',
25197:'requirements for systematic monitoring to ensure the validity of the rates. the agreement shall provide for cancellation at the option',
25198:'of either party and shall require the contractor to submit to the aco and to the cognizant contract auditor any',
25199:'significant change in cost or pricing data used to support the fpra. d when an fpra is invalid, the contractor',
25200:'should submit and negotiate a new proposal to reflect the changed conditions. if an fpra has not been established or',
25201:'has been invalidated, the aco will issue a forward pricing rate recommendation fprr to buying activities with documentation to assist',
25202:'negotiators. in the absence of an fpra or fprr, the aco shall include support for rates utilized. e the aco',
25203:'may negotiate continuous updates to the fpra. the fpra will provide specific terms and conditions covering notification, application, and data',
25204:'requirements for systematic monitoring to ensure the validity of the rates. this page intentionally left blank. 42.172 part 43 contract',
25205:'modifications sec. 43.000 scope of part. subpart 43.2 change orders 43.201 general. subpart 43.1 general 43.202 authority to issue change',
25206:'orders. 43.101 definitions. 43.203 change order accounting procedures. 43.102 policy. 43.204 administration. 43.103 types of contract modifications. 43.205 contract clauses.',
25207:'43.104 notification of contract changes. 43.105 availability of funds. subpart 43.3 forms 43.106 [reserved] 43.301 use of forms. 43.107 contract',
25208:'clause. this page intentionally left blank. subpart 43.1 general 43.103 43.000scope of part. this part prescribes policies and procedures for',
25209:'preparing and processing contract modifications for all types of contracts including construction and architectengineer contracts. it does not apply to',
25210:'a orders for supplies or services not otherwise changing the terms of contracts or agreements e.g., delivery orders under indefinitedelivery',
25211:'contracts; or b modifications for extraordinary contractual relief see subpart 50.1. subpart 43.1 general 43.101definitions. as used in this part',
25212:'administrative change means a unilateral see 43.103b contract change,in writing, that does not affect the substantive rights of the parties',
25213:'e.g.,achange in the paying office or the appropriation data. effective date 1 for a solicitation amendment, changeorder, or administrative change,',
25214:'the effective dateshallbe the issue date of the amendment, change order, or administrative change. 2 for a supplemental agreement, the',
25215:'effective dateshallbe thedate agreedupon by the contracting parties. 3 for a modification issued as a confirming notice of termination for',
25216:'the convenience of the government, the effective date of theconfirming noticeshallbe thesame asthe effective date of theinitial notice. 4 for',
25217:'a modification converting a termination for default to a termination for the convenience of the government, the effective date shall',
25218:'be the sameas the effectivedate of the termination for default. 5 for a modificationconfirming the termination contracting officer’sprevious letter determination',
25219:'of the amount due in settlementof acontract termination for convenience,the effective date shall be the sameas the effectivedate of the',
25220:'previous letter determination. 43.102 policy. a only contracting officersacting within the scope oftheir authority are empowered toexecute contract modifications on',
25221:'behalf of the government. other government personnel shall not 1 execute contract modifications; 2 act in such a manner as',
25222:'to cause the contractor to believe that they have authority to bind the government; or 3 direct or encourage the',
25223:'contractor to perform work that should be the subject of a contract modification. b contractmodifications, including changes that could be',
25224:'issued unilaterally, shall be pricedbefore their execution if this canbe done without adversely affecting the interest of the government. if',
25225:'a significant cost increase could result from a contract modification and time does not permit negotiation of a price, at',
25226:'least a ceiling price shall be negotiated unless impractical. 43.103 typesof contractmodifications. contract modifications are of the following types: a',
25227:'bilateral. a bilateral modification supplemental agreement is a contract modification that is signed by the contractor and the contracting officer.',
25228:'bilateralmodifications areused to 1 make negotiated equitable adjustments resulting from the issuance of a change order; 2 definitize letter contracts;',
25229:'and 3 reflect other agreements of the parties modifying the terms of contracts. b unilateral. aunilateralmodification is a contract modification',
25230:'that is signed only by thecontracting officer. unilateral modifications are used, for example, to 1 make administrative changes; 2 issue',
25231:'change orders; 3 make changes authorized by clauses other than a changes clause e.g., property clause, options clause, or suspension',
25232:'of workclause; and 4 issue termination notices. federal acquisition regulation 43.104notification of contract changes. a when a contractor considers that',
25233:'the governmenthas effectedor may effect a change inthe contract thathas notbeen identified as suchin writing andsigned by the contracting officer,',
25234:'it is necessary that the contractor notify the government in writing as soon as possible. this will permit the government',
25235:'to evaluate the alleged change and 1 confirm that it is a change, direct the mode of further performance, and',
25236:'plan for its funding; 2 countermand the alleged change; or 3 notify the contractor that no change is considered to',
25237:'have occurred. b the clause at 52.2437, notification of changes, which is prescribed in 43.107 1 incorporates the policy expressed',
25238:'in paragraph a of this section; 2 requires the contractor to notify the government promptly of any government conduct that',
25239:'the contractor considers a change to the contract, and 3 specifies the responsibilities of the contractor and the government with',
25240:'respect to such notifications. 43.105 availability of funds. a thecontracting officer shall not execute a contract modification thatcausesor will cause',
25241:'an increasein funds without havingfirstobtained a certificationof fund availability, except for modificationsto contracts that 1 are conditioned on availability of',
25242:'funds see 32.7032; or 2 contain a limitation of cost or funds clause see 32.704. b the certification required by',
25243:'paragraph a of this section shall be based on the negotiated price, except that modifications executed before agreement on price',
25244:'may be based on the best available estimate of cost. c in accordance with 10 u.s.c. 983, do not provide',
25245:'funds by contract or contract modification, or make contract payments, to an institution ofhigher educationthat has a policyor practice of',
25246:'hindering senior reserve officer training corps units or military recruiting on campus as described at 9.110. the prohibition in this',
25247:'paragraph c does not apply to acquisitions at or below the simplified acquisition threshold or to acquisitions of commercial products,',
25248:'including commercially availableofftheshelf items, and commercialservices. 43.106[reserved] 43.107contract clause. the contractingofficer may insert a clause substantially the same as the',
25249:'clauseat 52.2437, notification of changes, in solicitations and contracts. the clause is available for use primarily in negotiated research and',
25250:'development or supply contracts for the acquisition of major weapon systems or principal subsystems. if the contract amount is expected',
25251:'to be less than $1,000,000, the clause shall not be used, unless the contracting officer anticipates that situations will arise',
25252:'that may result in a contractor alleging that the governmenthas effectedchangesotherthan those identified as such in writingand signed bythe contracting',
25253:'officer. subpart 43.2 change orders 43.204 subpart 43.2 change orders 43.201general. a generally, government contracts contain a changes clausethat permitsthe',
25254:'contracting officerto make unilateral changes, in designated areas, within the general scope of the contract. these are accomplished by issuing',
25255:'written change orders on standard form 30, amendment of solicitation/modification of contract sf 30, unless otherwise provided see 43.301. b',
25256:'the contractor must continue performance of the contract as changed, except that in costreimbursement or incrementally funded contracts the contractor',
25257:'is not obligated to continue performance or incur costs beyond the limits established in the limitation of cost or limitation',
25258:'of funds clause see 32.7062. c thecontracting officer may issuea change order byelectronic means without a sf 30under unusual or',
25259:'urgent circumstances, provided that the message contains substantially the information required by the sf 30 and immediate action is taken',
25260:'to issue the sf 30. 43.202authority to issue change orders. change orders shall be issued by the contractingofficer except when',
25261:'authority is delegated to an administrative contracting officersee 42.202c. 43.203 change orderaccounting procedures. a contractors’ accounting systems are seldom designed',
25262:'to segregate the costs of performing changed work. therefore, beforeprospective contractors submit offers, the contractingofficer should advise them of the',
25263:'possible need torevise their accounting procedures to comply with the cost segregation requirements of the change order accounting clause at',
25264:'52.2436. b the following categories of direct costs normally are segregable and accountable under the terms of the change order',
25265:'accounting clause: 1 nonrecurring costs e.g., engineering costs and costs of obsolete or reperformed work. 2 costs of added distinct',
25266:'work caused by the change order e.g., new subcontract work, new prototypes, or new retrofit or backfit kits. 3 costs',
25267:'of recurring work e.g., labor and material costs. 43.204administration. a change order documentation. when change orders are not forward priced,',
25268:'they require two documents: the change order and a supplemental agreement reflecting the resulting equitable adjustment in contract terms. if',
25269:'an equitable adjustment in the contract price or delivery terms or both can be agreed upon in advance, only a',
25270:'supplemental agreement need be issued, but administrative changes and changes issued pursuant to a clause giving the government a unilateral',
25271:'right to make a change e.g., an option clause initially require only one document. b definitization. 1 icontractingofficersshallnegotiateequitableadjustmentsresultingfromchangeordersintheshortest practicable time.',
25272:'ii agencies shall, in accordance with agency procedures, record and maintain data regarding the time required to definitize equitable adjustments',
25273:'associated with change orders for construction. the definitization of an equitable adjustment begins upon receipt of an adequate change order',
25274:'definitization proposalby the contractingofficer, and ends upon the contracting officers execution ofa contractual action todefinitizethe change order. the contracting officer',
25275:'shall ensure the data is recorded promptly in accordance with agency procedures. see 36.211b. 2 administrative contractingofficers negotiating equitable adjustments',
25276:'by delegation under 42.302b1, shall obtain thecontracting officer’s concurrence before adjusting the contract delivery schedule. 3 contracting offices and contract',
25277:'administration offices, as appropriate, shall establish suspense systems adequate to ensure accurate identification and prompt definitization of unpriced change orders.',
25278:'4 the contractingofficer shall ensure thata cost analysis ismade, if appropriate, under 15.4041c and shall consider thecontractor’ssegregable costsof the change,',
25279:'if available. if additional funds are required as a result of the change, the contracting officershallsecure the funds before makinganyadjustment',
25280:'to the contract. 5 when the contractingofficer requires a field pricing review of requests for equitableadjustment, the contracting officer shall',
25281:'providea list of any significant contract eventswhich may aidin the analysis of the request. this list should include federal acquisition',
25282:'regulation i date and dollar amount of contract award and/or modification; ii date of submission of initial contract proposal and',
25283:'dollar amount; iii date of alleged delays or disruptions; iv performance dates as scheduled at date of award and/or modification;',
25284:'v actual performance dates; vi date entitlement to an equitable adjustment was determined or contracting officer decisionwas rendered if applicable;',
25285:'vii date of certification of the request for adjustment if certification is required; and viii dates of any pertinent government',
25286:'actions or other key events during contract performance which may have animpact on the contractor’s requestforequitable adjustment. c complete and',
25287:'final equitable adjustments. to avoid subsequent controversiesthat may result from asupplemental agreementcontaining an equitable adjustment as the resultof achange order,',
25288:'the contracting officer should 1 ensure that all elements of the equitable adjustment have been presented and resolved; and 2',
25289:'include, in the supplemental agreement, a release similar to the following: contractor’sstatement of release in consideration of the modificationsagreed to',
25290:'hereinas completeequitable adjustments for the contractor’s describe proposals for adjustment, the contractor hereby releases the government from any and all',
25291:'liability under this contract for further equitable adjustments attributable to such facts or circumstances giving rise to the proposals for',
25292:'adjustment except for . 43.205contract clauses. a 1thecontractingofficershallinserttheclauseat 52.2431, changesfixedprice, in solicitations and contracts when a fixedprice contract for supplies',
25293:'is contemplated. 2 if the requirement is for services, other than architectengineer or other professional services, and no supplies are',
25294:'to befurnished, the contractingofficer shall usethe clause withits alternatei. 3 if the requirement is for services other than architectengineer services,',
25295:'transportation, or research and development and suppliesare tobe furnished, the contracting officer shall use the clause with its alternateii. 4',
25296:'if the requirement is for architectengineer or other professional services,the contracting officer shall use the clause with its alternateiii. 5',
25297:'if the requirement is for transportationservices, the contracting officer shall use theclause with itsalternateiv. 6 if it is desired to',
25298:'include the clause in solicitations and contracts when a research and development contract is contemplated, thecontracting officer shall use the',
25299:'clause with its alternate v. b 1thecontractingofficershallinserttheclauseat 52.2432, changescostreimbursement, in solicitations and contracts when a costreimbursement contract for supplies is',
25300:'contemplated. 2 if the requirement is for services and no supplies areto befurnished, the contractingofficer shall usethe clause with its',
25301:'alternatei. 3 if the requirement is for services and supplies are to be furnished, the contracting officershalluse the clause withits',
25302:'alternateii. 4 if the requirement is for construction,the contracting officer shall use the clausewith its alternateiii. 5 [reserved] 6 if',
25303:'it is desired to include the clause in solicitations and contracts when a research and development contract is contemplated, thecontracting',
25304:'officer shall use the clause with its alternate v. c insert the clause at 52.2433, changestimeandmaterials or laborhours, in solicitations',
25305:'and contracts when a timeand materials or laborhourcontract is contemplated. the contracting officer mayvary the 30day periodin paragraph c of',
25306:'the clause according to agency procedures. d the contractingofficer shall insertthe clause at 52.2434, changes, in solicitations and contracts for',
25307:'1 dismantling, demolition, or removal of improvements; and 2 construction, when a fixedprice contract is contemplated and the contract amount',
25308:'is expected to exceed the simplified acquisition threshold. e thecontracting officer shall insert the clause at 52.2435, changes and changed',
25309:'conditions, in solicitations and contracts for construction, when the contract amount is not expected to exceed the simplified acquisition threshold.',
25310:'f the contracting officer may insert aclause, substantially the same as the clause at 52.2436, change order accounting, in solicitations',
25311:'and contracts for supply and research and development contracts ofsignificant technical complexity, if subpart 43.2 change orders 43.205 numerous changes',
25312:'are anticipated. the clause may be included in solicitations and contracts for construction if deemed appropriate by the contracting officer.',
25313:'this page intentionally left blank. 43.24 subpart 43.3 forms 43.301 subpart 43.3 forms 43.301use of forms. a 1 the standard',
25314:'form 30 sf 30, amendment of solicitation/modification of contract, shall except for the options stated in 43.301a2 or actions processed',
25315:'under part 15 be used for i any amendment to a solicitation; ii change orders issued under the changes clause',
25316:'of the contract; iii any other unilateral contract modification issued under a contract clause authorizing such modification without the consent',
25317:'of the contractor; iv administrative changes such as thecorrection of typographicalmistakes,changesin thepaying office, and changes in accounting and appropriation data;',
25318:'v supplemental agreements see 43.103; and vi removal, reinstatement, or addition of funds to a contract. 2 the sf 30',
25319:'may be used for i modifications that change the price of contracts for the acquisition of petroleum as a result',
25320:'of economic price adjustment; iitermination notices; and iii purchase order modifications as specified in 13.3023. 3 if it is anticipated',
25321:'that a change will result in a price change, the estimated amount of the price change shall not be shown',
25322:'on copies of sf 30 furnishedto thecontractor. b the optional form 336 of 336, continuation sheet, ora blank sheet of',
25323:'paper,may be usedas acontinuationsheet for a contract modification. this page intentionally left blank. 43.32 part 44 subcontracting policies and procedures',
25324:'sec. 44.000 scope of part. subpart 44.1 general 44.101 definitions. subpart 44.2 consent to subcontracts 44.201 consent and advance notification',
25325:'requirements. 44.2011 consent requirements. 44.2012 advance notification requirements. 44.202 contracting officer’s evaluation. 44.2021 responsibilities. 44.2022 considerations. 44.203 consent limitations. 44.204',
25326:'contract clauses. subpart 44.3 contractors’ purchasing systems reviews 44.301 objective. 44.302 requirements. 44.303 extent of review. 44.304 surveillance. 44.305 granting,',
25327:'withholding, or withdrawing approval. 44.3051 responsibilities. 44.3052 notification. 44.3053 withholdingorwithdrawingapproval. 44.306 disclosure of approval status. 44.307 reports. subpart 44.4 subcontracts',
25328:'for commercial products andcommercial services 44.400 scope of subpart. 44.401 applicability. 44.402 policy requirements. 44.403 contract clause. this page intentionally',
25329:'left blank. subpart 44.1 general 44.101 44.000scope of part. a this part prescribes policies and procedures for consent to subcontracts',
25330:'or advance notification of subcontracts, and for review, evaluation, and approvalof contractors’ purchasing systems. b the consent and advance notification',
25331:'requirements of subpart 44.2 are not applicable to prime contracts for commercial supplies or commercial services acquired pursuant to part',
25332:'12. subpart 44.1 general 44.101definitions. as used in this part approved purchasing system means a contractor’s purchasing system that has',
25333:'been reviewed and approvedin accordance with this part. contractor meansthe total contractor organization ora separate entity of it, such as',
25334:'an affiliate, division, or plant, that performs its own purchasing. contractor purchasing system review cpsr meansthe complete evaluation ofa contractor’s',
25335:'purchasingof material and services, subcontracting, and subcontract management from development of the requirement through completion of subcontract performance. subcontract means',
25336:'any contract as defined in subpart 2.1 entered into by a subcontractor to furnish supplies or services for performance of',
25337:'a prime contract or a subcontract. it includes but is not limited to purchase orders, and changes and modifications to',
25338:'purchase orders. subcontractor means any supplier,distributor, vendor,or firm thatfurnishes supplies or servicesto or for a prime contractor oranother subcontractor. this',
25339:'page intentionally left blank. 44.12 subpart 44.2 consent to subcontracts 44.2022 subpart 44.2 consent to subcontracts 44.201 consentand advance notification',
25340:'requirements. 44.2011consent requirements. a if the contractor has an approved purchasing system, consent is required for subcontracts specifically identified by',
25341:'thecontracting officer inthe subcontracts clause of thecontract. thecontracting officer may require consent to subcontract if the contractingofficer hasdetermined that an',
25342:'individual consent actionis required to protectthe government adequately because ofthe subcontract type, complexity,or value, or because the subcontract needs specialsurveillance.',
25343:'these can be subcontracts for critical systems, subsystems, components, or services. subcontracts may be identified by subcontract number or by',
25344:'class of items e.g., subcontracts for engines on a prime contract for airframes. b if the contractor does not have',
25345:'an approved purchasing system, consent to subcontract is required for cost reimbursement, timeandmaterials, laborhour, or letter contracts, and also for',
25346:'unpriced actions including unpriced modifications and unpriced delivery orders under fixedprice contracts that exceed the simplified acquisition threshold, for 1',
25347:'costreimbursement, timeandmaterials, or laborhour subcontracts; and 2 fixedprice subcontracts that exceed i for the department of defense, the coast guard,',
25348:'and the national aeronautics and space administration, the greater of the simplified acquisition threshold or 5 percent of the total',
25349:'estimated cost of the contract; or ii for civilian agencies other than the coast guard and the national aeronautics and',
25350:'space administration, either the simplified acquisition threshold or 5 percent of the total estimated cost of the contract. c consent',
25351:'may be required for subcontracts under prime contracts for architectengineer services. dthecontractingofficer’swrittenauthorizationforthecontractortopurchasefromgovernmentsourcessee part 51 constitutes consent. 44.2012advance notification requirements. under',
25352:'costreimbursement contracts, the contractor is requiredby statute to notify thecontracting officer as follows: a for the department of defense, the',
25353:'coast guard, and the national aeronautics and space administration, unless the contractor maintains an approved purchasing system, 10 u.s.c. 3322c',
25354:'requires notification before the award of any costplus fixedfee subcontract, or any fixedprice subcontract that exceeds the greater of the',
25355:'simplified acquisition threshold or 5 percent of the total estimated cost of the contract. b for civilian agencies other than',
25356:'the coast guard and the national aeronautics and space administration, even if the contractor has an approved purchasing system, 41',
25357:'u.s.c. 3905 requires notification before the award of any costplusfixedfee subcontract, or any fixedprice subcontract that exceeds either the simplified',
25358:'acquisition threshold or 5 percent of the total estimated cost of the contract. 44.202 contracting officer’sevaluation. 44.2021 responsibilities. a thecognizant',
25359:'administrative contracting officer acois responsible for consent to subcontracts,exceptwhen the contracting officerretains the contractforadministration or withholds the consent responsibilityfrom delegation',
25360:'to the aco. in such cases, thecontract administration officeshouldassist the contracting office in its evaluation asrequested. b the contractingofficer responsible',
25361:'for consent shall review the contractor’s notification and supportingdata toensure that the proposed subcontract is appropriate for the risks involved',
25362:'and consistent with current policy and sound business judgment. c designation of specific subcontractors during contract negotiations does not in',
25363:'itself satisfy the requirements for advance notification or consent pursuant to the clause at 52.2442. however, if, in the opinionof',
25364:'the contractingofficer, the advance notification or consent requirements were satisfied for certain subcontracts evaluated during negotiations, the contracting officershallidentify those',
25365:'subcontracts in paragraph jof the clause at 52.2442. 44.2022 considerations. a thecontracting officer responsible for consent must, at a minimum,',
25366:'review the request and supporting dataand consider the following: federal acquisition regulation 1 is thedecision to subcontract consistent withthe contractor’s',
25367:'approved makeorbuy program,if any see 15.4072? 2 is the subcontract for special test equipment, equipment or real property that are',
25368:'available from government sources? 3 is the selection of the particular supplies, equipment, or services technically justified? 4 has the',
25369:'contractor complied with the prime contract requirements regarding i small business subcontracting, including, if applicable, its plan for subcontracting with',
25370:'small, veteranowned, servicedisabled veteranowned, hubzone, small disadvantaged and womenowned small business concerns see part 19; and ii purchase from nonprofit',
25371:'agencies designated by the committee for purchase from people who are blind or severely disabled 41 u.s.c.8504 see part 8?',
25372:'5 was adequate price competition obtained or itsabsence properly justified? 6 did the contractoradequately assess and dispose of subcontractors’ alternateproposals,if',
25373:'offered? 7 does the contractor have a sound basis for selecting and determining the responsibility of the particular subcontractor? 8',
25374:'has the contractor performed adequate cost or price analysis or price comparisons and obtained certified cost or pricing data and',
25375:'data other than certified cost or pricing data? 9 is the proposed subcontract type appropriate for the risks involved and',
25376:'consistent with current policy? 10 has adequate consideration been obtained for any proposed subcontract that will involve the use of',
25377:'government provided equipment and real property? 11 has thecontractor adequately and reasonably translated prime contract technical requirements into subcontract requirements?',
25378:'12 does the prime contractor comply with applicable cost accounting standards for awarding the subcontract? 13istheproposedsubcontractorlistedasexcludedinthesystemforawardmanagementsee subpart 9.4? b particularly',
25379:'careful and thorough consideration under paragraph a of this section is necessary when 1 the prime contractor’s purchasingsystemor performance is',
25380:'inadequate; 2 closeworking relationships orownership affiliations between the prime and subcontractor may precludefree competition or result in higher prices; 3',
25381:'subcontracts are proposed for award on a noncompetitive basis, at prices that appear unreasonable, or at prices higher than those',
25382:'offered to the government in comparable circumstances; or 4 subcontracts are proposed on a costreimbursement, timeandmaterials, or laborhour basis. 44.203consent',
25383:'limitations. a thecontracting officer’s consent to a subcontract or approval of the contractor’s purchasing system does not constitute a determination',
25384:'of the acceptability of the subcontract terms or price, or of the allowability of costs, unless the consent or approval',
25385:'specifies otherwise. b contracting officersshallnot consent to 1 costreimbursement subcontracts if the fee exceeds the fee limitations of 15.4044c4i; 2',
25386:'subcontracts providing for payment on a costplusapercentageofcost basis; 3 subcontracts obligating the contracting officer to deal directly with the subcontractor;',
25387:'4 subcontracts that make the results of arbitration, judicial determination, or voluntary settlement between the prime contractor and subcontractor binding',
25388:'on the government; or 5 repetitive or unduly protracted use of costreimbursement, timeandmaterials, or laborhour subcontracts contracting officers should follow',
25389:'the principlesof 16.103c. c contracting officers should not refuse consent to a subcontract merely becauseitcontains aclause giving the subcontractor theright',
25390:'of indirect appeal toan agencyboard of contract appealsif the subcontractor is affected by a dispute between the government and the',
25391:'prime contractor. indirectappealmeans assertion by thesubcontractorof the prime contractor’s right to appeal or the prosecution of an appeal bythe prime',
25392:'contractor onthe subcontractor’s behalf. theclause may also provide that theprimecontractor and subcontractor shall be equally bound by the contracting officer’s',
25393:'or board’s decision. the clause may notattempt toobligate the contracting officer orthe appealsboard todecidequestions thatdo not arise between the government',
25394:'and the prime contractor or that are not cognizable under the clause at 52.2331, disputes. subpart 44.2 consent to subcontracts',
25395:'44.204 44.204contract clauses. a 1thecontractingofficershallinserttheclauseat 52.2442, subcontracts, in solicitations and contracts when contemplating i a costreimbursement contract; ii a letter',
25396:'contract that exceeds the simplified acquisition threshold; iii a fixedprice contract that exceeds the simplified acquisition threshold under which unpriced',
25397:'contract actions including unpriced modifications or unpriced delivery orders are anticipated; iv a timeandmaterials contract that exceeds the simplified acquisition',
25398:'threshold; or v a laborhour contract that exceeds the simplified acquisition threshold. 2 if a costreimbursement contract is contemplated, for',
25399:'civilian agencies other than the coast guard and the national aeronautics and space administration,the contracting officershalluse the clausewith its alternate',
25400:'i. 3 use of this clause is not required in i fixedprice architectengineer contracts; or iicontracts for mortuaryservices, refuseservices, orshipmentand',
25401:'storage of personal property,when an agency prescribed clause on approval of subcontractors’ facilities is required. b the contractingofficer may insert',
25402:'the clause at 52.2444, subcontractors and outside associates and consultants architectengineer services, in architectengineer contracts. c thecontracting officer shall, when',
25403:'contracting bynegotiation, insert the clause at 52.2445, competition in subcontracting, in solicitations and contracts when the contract amount is expected',
25404:'to exceed the simplified acquisition threshold, unless 1 a firmfixedprice contract, awarded on the basis of adequate price competition or',
25405:'whose prices are set by law or regulation, is contemplated; or 2 a timeandmaterials, laborhour, or architectengineer contract is contemplated.',
25406:'this page intentionally left blank. 44.24 subpart 44.3 contractors’ purchasing systems reviews 44.304 subpart 44.3 contractors’ purchasing systems reviews 44.301objective.',
25407:'the objective of a contractor purchasing system review cpsr is to evaluate theefficiencyandeffectiveness with which the contractor spends government funds',
25408:'and complies with government policy when subcontracting. the review provides theadministrativecontracting officer aco a basis for granting, withholding,or withdrawingapproval of',
25409:'the contractor’s purchasing system. 44.302 requirements. a theaco shall determine the need for a cpsrbased on, but notlimited to, the',
25410:'past performance ofthe contractor, and thevolume, complexity and dollar valueof subcontracts. if a contractor’ssales to the government excluding competitively awarded',
25411:'firmfixedprice and competitively awarded fixedprice with economic price adjustment contracts and sales of commercial supplies and commercial services pursuant to',
25412:'part 12 are expected to exceed $25 million during the next 12 months, perform a review to determine if a',
25413:'cpsr is needed. sales include those represented by prime contracts, subcontracts undergovernment prime contracts, and modifications. generally, acpsr is notperformed',
25414:'for a specificcontract. thehead of the agency responsible for contract administration may raise or lower the $25 million review level',
25415:'if it is considered to be in the government’s best interest. b once an initial determination has been made under',
25416:'paragraph a of this section, at least every three years the aco shall determine whether a purchasing system review is',
25417:'necessary. if necessary,the cognizantcontract administration office will conduct apurchasing system review. 44.303 extent of review. a cpsrrequiresan evaluationof the contractor’s',
25418:'purchasing system. unless segregation of subcontracts is impracticable, this evaluation shall not include subcontracts awarded by the contractor exclusively in',
25419:'support of government contracts that are competitively awarded firmfixedprice, competitively awarded fixedprice with economic price adjustment, or awarded for commercial',
25420:'supplies and commercial services pursuant to part 12. the considerations listed in 44.2022 for consent evaluation of particular subcontracts alsoshallbe',
25421:'usedto evaluate thecontractor’spurchasing system, including the contractor’s policies,procedures,andperformance underthat system. special attention shall be given to a the results of',
25422:'market research accomplished; b the degree of price competition obtained; c pricing policies and techniques, including methods of obtaining certified',
25423:'cost or pricing data, and data other than certified cost or pricing data; d methods of evaluating subcontractor responsibility, including',
25424:'thecontractor’suse ofthe system for award management exclusions see 9.404 and, if the contractor has subcontracts with parties on the exclusions',
25425:'list, the documentation,systems, and procedures thecontractor has established to protect the government’s interests see 9.4052; e treatment accorded affiliates and',
25426:'other concernshaving close working arrangementswith the contractor; f policies and procedures pertaining to small business concerns, including small disadvantaged, womenowned,',
25427:'veteran owned, hubzone, and servicedisabled veteranowned small business concerns; g planning, award, and postaward management of major subcontract programs; h',
25428:'compliance with cost accounting standards in awarding subcontracts; i appropriateness of types of contracts used see 16.103; j management control',
25429:'systems, including internal audit procedures, to administer progress payments to subcontractors; and k implementation of higherlevel quality standards. 44.304surveillance. a',
25430:'theaco shall maintain a sufficient level of surveillance to ensure that the contractor is effectively managing its purchasing program. b',
25431:'surveillance shall be accomplished in accordance with a plan developed by the aco with the assistance of subcontracting, audit, pricing,technical,',
25432:'or otherspecialists asnecessary. the plan should cover pertinent phases of a contractor’s purchasing system preaward,postaward, performance, and contract completion and',
25433:'pertinentoperations that affect the contractor’s purchasing andsubcontracting. theplan should also provide for reviewing the effectiveness of the federal acquisition regulation',
25434:'contractor’s correctiveactions taken as a result of previous government recommendations. duplicative reviews of the same areas by cpsr and other',
25435:'surveillance monitors should be avoided. 44.305 granting, withholding, or withdrawingapproval. 44.3051 responsibilities. the cognizant aco is responsible for granting, withholding,',
25436:'or withdrawing approval ofa contractor’s purchasingsystem. the aco shall a approve a purchasing system only after determining thatthe contractor’s purchasing',
25437:'policies and practicesare efficient and provide adequate protection ofthe government’s interests; and b promptly notify the contractor in writing of',
25438:'the granting, withholding, or withdrawal of approval. 44.3052 notification. a the notification granting system approval shall include 1 identification of',
25439:'the plant or plants covered by the approval; 2 the effective date of approval;and 3 a statement that system approval',
25440:'i applies to all federal government contracts at that plant to the extent that crossservicing arrangements exist; iiwaives the contractual',
25441:'requirement for advance notification in fixedprice contracts, but notforcostreimbursement contracts; iii waives the contractual requirement for consentto subcontracts in fixedprice',
25442:'contracts and for specified subcontracts in costreimbursement contracts but not for those subcontracts, ifany, selected for special surveillanceand identified in',
25443:'the contract schedule; and iv may be withdrawn at any time atthe aco’s discretion. b in exceptional circumstances, consent to',
25444:'certain subcontracts or classes of subcontracts may be required even though thecontractor’spurchasing system has been approved. thesystemapproval notification shall identify',
25445:'theclass or classes of subcontracts requiring consent. reasons for selecting the subcontracts include the fact that a cpsr or continuing',
25446:'surveillance has revealedsufficient weaknessesin a particulararea of subcontracting to warrant specialattentionby the aco. c when recommendations are made for improvement',
25447:'of an approved system, the contractor shall be requested to reply within 15 days with a position regarding the recommendations.',
25448:'44.3053withholding or withdrawingapproval. a theaco shall withhold or withdraw approval of a contractor’s purchasing system when thereare major weaknesses or',
25449:'whenthe contractor is unable to provide sufficient information upon which to make an affirmative determination. the aco may withdraw approval',
25450:'at any time on the basis of a determination that there has been a deteriorationof the contractor’s purchasing system or',
25451:'to protect the government’s interest. approval shall be withheld or withdrawn when thereis a recurring noncompliance with requirements, including but',
25452:'not limited to 1 certified cost or pricing data see 15.403; 2 implementation of cost accounting standards see 48 cfr',
25453:'chapter 99; 3 advance notification as required by the clauses prescribed in 44.204; or 4 small business subcontracting see subpart',
25454:'19.7. b when approval of the contractor’spurchasing system is withheld or withdrawn,the aco shall within 10 days after completing the',
25455:'inplant review 1 inform the contractor in writing, 2 specify the deficiencies that must be corrected to qualify the system',
25456:'for approval, and 3 request the contractor to furnish within 15 days a plan for accomplishing the necessary actions. if',
25457:'the plan is accepted, the aco shall make a followup review as soon as the contractor notifies the aco that',
25458:'the deficiencies have been corrected. 44.306 disclosure ofapproval status. upon request, the aco may inform a contractor that the purchasing',
25459:'system of a proposed subcontractor has been approved or disapproved, but shall caution that the government will not keep the',
25460:'contractor advised of any changes in the approval status. if the proposedsubcontractor’s purchasingsystemhas not been reviewed, the contractor shall besoadvised.',
25461:'subpart 44.3 contractors’ purchasing systems reviews 44.307 44.307reports. the aco shall distribute copies of cpsr reports; notifications granting, withholding, or',
25462:'withdrawing system approval; and government recommendations for improvement of an approved system, including the contractor’s response, to at least a',
25463:'thecognizant contract audit office; b activities prescribed by the cognizant agency; and c thecontractor exceptthat furnishing copies of the contractor’sresponse',
25464:'is optional. this page intentionally left blank. 44.34 subpart 44.4 subcontracts for commercial products and commercial services 44.403 subpart 44.4',
25465:'subcontracts for commercial products and commercial services 44.400scope of subpart. this subpart prescribes the policies limiting the contract clauses a',
25466:'contractor may be required to apply to any subcontractors that are furnishing commercial products, including commercial components, or commercial services',
25467:'in accordance with 41 u.s.c. 3307. 44.401 applicability. this subpart applies to all contracts and subcontracts. for the purpose of',
25468:'this subpart, the term subcontract has the same meaning as defined in part 12. 44.402 policy requirements. a contractors and',
25469:'subcontractors at all tiers shall, to the maximum extent practicable: 1 be required to incorporate commercial products, commercial services, or',
25470:'nondevelopmental items as components of items delivered to the government; and 2 not be requiredto apply toanyof its divisions, subsidiaries,',
25471:'affiliates,subcontractors or suppliers that are furnishing commercial products or commercial services any clause, except those i required to implement provisions',
25472:'of law or executive orders applicable to subcontractors furnishing commercial products or commercial services; or ii determined to be consistent',
25473:'with customary commercial practice for the item being acquired. b the clause at 52.2446, subcontracts for commercial products and commercial',
25474:'services, implements the policy in paragraph a of this section. notwithstanding any other clause in the prime contract, only those',
25475:'clauses identified in the clause at 52.2446 are required to be in subcontracts for commercial products or commercial services. c',
25476:'agencies may supplement the clause at 52.2446 only as necessary to reflect agency unique statutes applicable to the acquisition of',
25477:'commercial products and commercial services. 44.403contract clause. the contractingofficer shall insertthe clause at 52.2446, subcontracts for commercial products and commercial',
25478:'services, in solicitations and contracts other than those for commercial products or commercial services. this page intentionally left blank. 44.42',
25479:'part 45 government property sec. 45.000 scope of part. subpart 45.5 support government property administration subpart 45.1 general 45.501 prime',
25480:'contractor alternate locations. 45.101 definitions. 45.502 subcontractor and alternate prime contractor 45.102 policy. locations. 45.103 general. 45.503 support property administrator',
25481:'findings. 45.104 responsibility and liability for government property. subpart 45.6 reporting, 45.105 contractors’ property management system reutilization, and disposal compliance.',
25482:'45.600 scope of subpart. 45.106 transferring accountability. 45.601 [reserved] 45.107 contract clauses. 45.602 reutilization of government property. 45.6021 inventory disposal',
25483:'schedules. subpart 45.2 solicitation 45.6022 reutilization priorities. and evaluation procedures 45.6023 screening. 45.201 solicitation. 45.6024 interagency property transfer costs. 45.202',
25484:'evaluation procedures. 45.603 abandonment or destruction of personal property. subpart 45.3 authorizing the use 45.604 sale of surplus personal property.',
25485:'and rental of government property 45.6041 sales procedures. 45.301 use and rental. 45.6042 use of gsa sponsored sales centers. 45.302',
25486:'contracts with foreign governments or 45.6043 proceeds from sales of surplus property. international organizations. 45.6044 sale of property pursuant to',
25487:'the exchange/ 45.303 use of government property on independent sale authority. research and development programs. 45.605 inventory disposal reports. 45.606',
25488:'contractor scrap procedures. subpart 45.4 title to government property 45.401 title to governmentfurnished property. 45.402 title to contractoracquired property. this',
25489:'page intentionally left blank. subpart 45.1 general 45.101 45.000scope of part. a this part prescribes policies and procedures for providing',
25490:'government property to contractors; contractors’ management and use of government property;andreporting,redistributing, and disposing of contractorinventory. b it does not apply',
25491:'to 1 government property provided underany statutory leasing authority, except asto nongovernment use of property under 45.301f; 2 property to',
25492:'which the government has acquired a lien or title solely because of partial, advance, progress, or performance based payments; 3',
25493:'disposal of real property; 4 software and intellectual property; or 5 government property that is incidental to the place of',
25494:'performance, when the contract requires contractor personnel to be located on a government site or installation, and when the property',
25495:'used by the contractor within the location remains accountable to the government. items consideredto beincidentalto theplace of performance include, for',
25496:'example, office space, desks, chairs, telephones, computers, and fax machines. subpart 45.1 general 45.101definitions. as used in this part cannibalize',
25497:'means to remove partsfrom government property for use orforinstallation on other government property. contractoracquired property means property acquired, fabricated, or',
25498:'otherwise provided by the contractor for performing a contract and to which the government has title. contractor inventory means 1',
25499:'any property acquired by and in the possession of a contractor or subcontractor under a contract for which title is',
25500:'vested in the government and which exceeds the amounts needed to complete full performance under the entire contract; 2 any',
25501:'property that the government is obligated or has the option to take over under any type of contract, e.g., as',
25502:'a result either of any changes in the specifications or plans thereunder or of the termination of the contract or',
25503:'subcontract thereunder, before completion of the work, for the convenience or at the option of the government; and 3 governmentfurnished',
25504:'property that exceeds the amounts needed to complete full performance under the entire contract. contractor’s managerial personnel means the contractor’sdirectors,officers,',
25505:'managers,superintendents, or equivalent representatives who have supervision or direction of 1 all orsubstantially all of the contractor’s business; 2 all',
25506:'orsubstantially all of the contractor’s operation at any one plant or separate location; or 3 a separate and complete major',
25507:'industrial operation. demilitarization means rendering a product unusablefor, and not restorable to, the purpose for which it wasdesigned oris customarily',
25508:'used. discrepancies incident to shipment meansany differences e.g., count or condition between the items documented to have been shipped and',
25509:'items actually received. equipment means a tangible item that is functionally complete for its intended purpose, durable, nonexpendable, and needed',
25510:'for the performance of a contract. equipment is not intended for sale, and does not ordinarily lose its identity or',
25511:'become acomponent partof another article when put into use. equipmentdoes not include material, real property, special test equipment or special',
25512:'tooling. governmentfurnished property means property in the possession of, or directly acquired by,the government and subsequently furnished to the contractor',
25513:'for performance of a contract. governmentfurnished property includes, but is not limitedto, spares and property furnished for repair, maintenance, overhaul,',
25514:'or modification. governmentfurnished property also includes contractoracquired property if the contractoracquired property is a deliverable under a cost contract when',
25515:'accepted by the government for continued use under the contract. government property means all property owned or leased by the',
25516:'government. government property includes both governmentfurnishedpropertyandcontractoracquired property. government property includes material, equipment, special tooling, specialtest equipment, and realproperty. government property',
25517:'doesnot include intellectual property and software. loss of government property means unintended, unforeseen or accidental loss, damage, or destruction of',
25518:'government property that reduces the government’s expectedeconomic benefits ofthe property. loss of government property doesnot federal acquisition regulation include occurrences',
25519:'such as purposeful destructive testing,obsolescence, normal wear and tear, or manufacturing defects. loss of government property includes, but is not',
25520:'limited to 1 items that cannot be found after a reasonable search; 2 theft; 3 damage resulting in unexpected harm',
25521:'to property requiring repair to restore the item to usable condition; or 4 destruction resulting from incidents that render the',
25522:'item useless for its intended purpose or beyond economical repair. material means property that may be consumed or expended during',
25523:'the performance of a contract, component parts of a higher assembly, or items that lose their individual identitythroughincorporation into an',
25524:'enditem. material does notinclude equipment, special tooling,special test equipment or real property. nonseverable means property that cannot be removed after',
25525:'construction or installation without substantial loss of value or damage to the installed property or to the premises where installed.',
25526:'precious metals means silver, gold, platinum, palladium,iridium, osmium, rhodium, and ruthenium. production scrap means unusable material resulting from production,engineering, operations',
25527:'and maintenance, repair,and research and development contract activities. production scrap may have value when remelted or reprocessed, e.g., textile and',
25528:'metal clippings, borings, and faulty castings and forgings. property means all tangible property,bothreal and personal. property administrator means an authorized',
25529:'representativeof the contractingofficer appointed in accordancewith agency procedures, responsible for administering the contract requirements and obligations relating to government property',
25530:'in the possession ofa contractor. property records means the records created and maintained by the contractor in support of its',
25531:'stewardship responsibilities for themanagement of government property. provide means to furnish, as in governmentfurnished property, or toacquire, as in contractoracquiredproperty.',
25532:'real property see federal management regulation 10271.20 41 cfr 10271.20. sensitive property means property potentially dangerous to the public safety',
25533:'or security if stolen, lost, or misplaced, or that shall be subject to exceptional physical security, protection, control, andaccountability. examples',
25534:'include weapons, ammunition, explosives, controlled substances, radioactive materials, hazardous materials or wastes, or precious metals. unit acquisition cost means 1',
25535:'for governmentfurnished property,the dollar value assigned by the governmentandidentified in the contract; and 2 for contractoracquired property, the cost derived',
25536:'from the contractor’s records that reflectconsistently applied generally accepted accounting principles. 45.102 policy. a contractors are ordinarily required to furnish',
25537:'all property necessary to perform government contracts. b contracting officersshallprovide property to contractors only when it isclearly demonstrated 1 to',
25538:'be in the government’s best interest; 2 that the overall benefit to the acquisition significantly outweighs the increased cost of',
25539:'administration, including ultimate property disposal; 3 that providing the property does not substantially increase the government’sassumption of risk; and 4',
25540:'that government requirements cannot otherwise be met. c thecontractor’sinability or unwillingness to supply its own resources is notsufficient reason for',
25541:'the furnishing or acquisition of property. d exception. property provided under contractsforrepair, maintenance, overhaul, or modificationis not subject to the',
25542:'requirements of paragraph b of this section. e government property, other than foundations and similar improvements necessary for installing special',
25543:'tooling, special test equipment, or equipment, shall not be installed or constructed on contractorowned real property in such fashion as',
25544:'to become nonseverable, unless the head of the contracting activity determines that such installation or construction is necessary and in',
25545:'the government’s interest. 45.103general. a agencies shall 1 allow and encourage contractors to use voluntary consensus standards see far 11.101b',
25546:'and industryleading practices and standards to manage government property in their possession; subpart 45.1 general 45.106 2 eliminate to the',
25547:'maximum practical extent any competitive advantage a prospective contractor may have by using government property; 3 ensure maximum practical reutilization',
25548:'of contractor inventory for government purposes; 4 require contractors to use government property already in their possession to the maximum',
25549:'extent practical in performing government contracts; 5 charge appropriate rentals when the property isauthorized for useon otherthan arentfree basis; and',
25550:'6 require contractors to justify retaining government property not needed for contract performance and to declare property as excess when',
25551:'no longer needed for contract performance. b agencies will not generally require contractors to establish property management systems that are',
25552:'separate from a contractor’s established procedures, practices, and systemsused to account for and manage contractorowned property. 45.104 responsibility and liability',
25553:'for government property. a generally, contractorsare not held liable for loss ofgovernment property under the following types of contracts: 1',
25554:'costreimbursement contracts. 2 timeandmaterial contracts. 3 laborhour contracts. 4 fixedprice contracts awarded on the basis of submission of certified cost',
25555:'or pricing data. b the contractingofficer may revoke the government’sassumption of risk when the property administrator determines that the contractor’s',
25556:'property management practices are noncompliant withcontract requirements. c a prime contractor that provides government property to a subcontractor shall not',
25557:'be relieved of any responsibility to the government that the prime contractor may have under the terms of the prime',
25558:'contract. d with respectto lossof government property, the contracting officer, in consultation with the property administrator, shall determine 1 the',
25559:'extent, if any,of contractor liability based uponthe amount of damages corresponding to the associated property loss; and 2 the appropriate',
25560:'form and method of government recovery may include repair, replacement,or other restitution. e any monies received as financial restitution shall',
25561:'becredited to the treasury ofthe united states as miscellaneous receipts, unless otherwise authorized by statute 31 u.s.c. 3302b. 45.105 contractors’',
25562:'property managementsystem compliance. a theagency responsible for contract administration shall conduct ananalysisof the contractor’s property management policies, procedures, practices, and',
25563:'systems. this analysis shall be accomplished as frequently as conditions warrant, in accordance with agency procedures. b the property administrator',
25564:'shall notify the contractor in writing when the contractors property management system does not comply with contractual requirements, shall request',
25565:'prompt correction of deficiencies, and shall request from the contractor a corrective action plan, including a schedule for correction of',
25566:'the deficiencies. if the contractor does not correct thedeficiencies in accordance with the schedule, the contracting officershallnotify the contractor,in writing,',
25567:'that failure to take the required corrective actions may result in 1 revocation of the government’s assumptionof riskforloss of government',
25568:'property; and/or 2 the exercise of other rights or remedies available tothe contracting officer. c if the contractor fails to',
25569:'take the required corrective actions in response to the notification provided by the contracting officer in accordance with paragraphbof this',
25570:'section, the contracting officer shall notify the contractor in writingof any government decision to apply the remedies described in paragraphs',
25571:'b1 and b2 of this section. d when the property administrator determines that a reported case of loss of government',
25572:'property is a risk assumed by the government, the property administrator shall notify the contractor in writing that it is',
25573:'granted relief of stewardship responsibility and liability in accordance with 52.2451f1vii. where the property administrator determines that the risk of',
25574:'loss of government property is not assumed by the government, the property administrator shall request that the contracting officerhold the',
25575:'contractor responsible and liable. 45.106 transferring accountability. government property shall be transferred from one contract to another only when firm',
25576:'requirements exist under the gaining contract see 45.102. such transfers shall be documented by modifications to both gaining and losing',
25577:'contracts. once transferred, all property shall be considered governmentfurnished property to the gaining contract. the warranties of federal acquisition regulation',
25578:'suitability of use and timely delivery of governmentfurnished property do not apply to property acquired or fabricated by the contractor',
25579:'ascontractoracquired property that is subsequently transferred to another contract with the same contractor. 45.107contract clauses. a 1exceptasprovidedinparagraphdofthissection,thecontractingofficershallinserttheclauseat 52.2451, government property,',
25580:'in i all costreimbursement and timeandmaterial type solicitations and contracts, and laborhour solicitations when property is expected to be furnished',
25581:'for the laborhour contracts. iifixedprice solicitations and contractswhen the government willprovide government property. iiicontractsormodificationsawardedunderfar part 12 procedures where government property',
25582:'that exceeds thesimplified acquisition threshold,as defined in far 2.101, is furnished or where the contractor is directed to acquire property',
25583:'for use under the contract that is titled in the government. 2 the contractingofficer shall usethe clause with its alternatei',
25584:'in contracts other than thoseidentified in far 45.104a, responsibility and liabilityforgovernment property. 3 the contractingofficer shall usethe clause with its',
25585:'alternateii when a contract for the conductof basic or applied research at nonprofit institutions of highereducation or at nonprofit organizations',
25586:'whose primary purpose is the conductof scientific research see 35.014 is contemplated. b the contractingofficer shall also insert the clause',
25587:'at 52.2452, government property installation operation services, in fixedprice service contracts to be performed on a government installation when governmentfurnished',
25588:'property will be provided for initial provisioning only and the government is not responsible for repair or replacement. c thecontracting',
25589:'officer shall insert the clause at 52.2459, use andcharges,in solicitations and contracts when the clause at 52.2451 is included. d',
25590:'purchase orders for property repair need not include a government property clause when the unit acquisition cost of government property',
25591:'to be repaired does not exceed the simplified acquisition threshold, unless other government property not for repair is provided. subpart',
25592:'45.2 solicitation and evaluation procedures 45.202 subpart 45.2 solicitation and evaluation procedures 45.201solicitation. a thecontracting officer shall insert alisting of',
25593:'the government property to be offered inallsolicitationswhere governmentfurnished property is anticipated see 45.102. the listing shall include at a minimum',
25594:'1 the name, partnumber and description, manufacturer,model number, and national stock number if needed for additional item identification tracking and',
25595:'management, and disposition; 2 quantity/unit of measure; 3 unit acquisition cost; 4 uniqueitem identifier or equivalent if available and necessary',
25596:'for individual item tracking and management; and 5 a statement as to whether the property is to be furnished in',
25597:'an asis condition and instructions for physical inspection. b when government property is offered for use in a competitive acquisition,',
25598:'solicitations should specify thatthe contractor is responsible for all costs related to making the property available for use, such as',
25599:'payment of all transportation, installation or rehabilitation costs. c thesolicitation shall describe the evaluation proceduresto befollowed, includingrental charges orequivalentsand other',
25600:'costs orsavings to be evaluated, and shall require all offerors to submit the followinginformationwith their offers 1 a listor descriptionof',
25601:'all government property that the offeroror its subcontractorspropose to useon arentfree basis. the list shall identify the accountable contract under',
25602:'which the property is held and the authorization for its use from thecontracting officer havingcognizance of the property; 2 the',
25603:'dates during which the property will be available for use including the first, last, and all intervening months and, for',
25604:'any property that will be used concurrently in performing two or more contracts, the amounts of the respective uses in',
25605:'sufficient detail tosupport prorating the rent; 3 the amount of rent that would otherwisebe charged in accordancewith far 52.2459, useand',
25606:'charges; and 4 a description of theofferorspropertymanagement system,plan,and any customary commercial practices, voluntary consensus standards, or industryleading practices and standardsto',
25607:'beused by the offeror in managing government property. d any additional instructions to thecontractor regarding property management,accountability, and use, not',
25608:'addressed in far clause 52.2451, government property,shouldbe specifically addressedin thestatement ofworkon the contract providing property or in a special provision.',
25609:'45.202 evaluation procedures. a thecontracting officer shall consider any potentially unfair competitive advantage that may result froman offeroror contractor possessinggovernmentproperty.',
25610:'this shall be done by adjusting the offers byapplying, for evaluation purposes only,a rentalequivalent evaluationfactor asspecified in far 52.2459. b',
25611:'the contractingofficer shall ensure the offeror’s property management plans, methods, practices, orprocedures for accounting for property are consistent with the',
25612:'requirements of the solicitation. this page intentionally left blank. 45.22 subpart 45.3 authorizing the use and rental of government property',
25613:'45.303 subpart 45.3 authorizing the use and rental of government property 45.301 use andrental. this subpart prescribes policies and procedures',
25614:'for contractor use and rentalof government property. a government property shall normally be provided on a rentfree basis in performance',
25615:'of the contract under which it is accountable or otherwise authorized. b rental charges,to theextent authorized do not apply to',
25616:'government property that is left in place orinstalled on contractorowned property for mobilization or futuregovernment production purposes; however,rental charges shall',
25617:'apply to that portion of property or its capacity used for nongovernment commercial purposes or otherwise authorized for use. c',
25618:'thecontracting officer cognizant of the government property may authorize the rentfree useof property in the possession ofnonprofit organizations when used',
25619:'for research, development,or educational work and 1 the use of the property is in the national interest; 2 the property',
25620:'willnot be used for the directbenefit of a profitmaking organization; and 3 the government receives some direct benefit, such as',
25621:'rightsto use theresults of the workwithout charge, fromits use. d in exchangeforconsideration as determined by the cognizant contractingofficers,the contractor may',
25622:'use government property under fixedprice contracts other than the contract to which it is accountable. when, after contract award, a',
25623:'contractor requests the use of governmentproperty, thecontracting officer shall obtain afair rental or other adequate consideration if use is authorized.',
25624:'e thecognizant contracting officers mayauthorize theuse ofgovernment property on arentfree basis on a cost type government contract other than the',
25625:'contract to which it is accountable. f in exchangeforconsideration as determined bythe cognizant contracting officer, the contractor may use government',
25626:'property for commercial use. prior approval of the head of the contracting activity is required where nongovernment use is expected',
25627:'to exceed 25 percent of the total use of government and commercial work performed. 45.302 contractswith foreign governments orinternational organizations.',
25628:'requestsby, or for the benefit of, foreign governments or international organizations to use government property shall be processed in accordance',
25629:'with agency procedures. 45.303 use of government property on independent research and development programs. the contractingofficer may authorize a contractor',
25630:'to use the property onan independent research and development ir&d program, if a such use will not conflict with the',
25631:'primary use of the property or enable the contractor to retain property that could otherwise be released; b the contractor',
25632:'agrees not to claim reimbursement against any government contract for the rental value of the property; and c a rentalcharge',
25633:'for the portion of the contractor’s ir&d program cost allocated to commercialworkis deducted from theclaim for reimbursement ofany agreedupon government',
25634:'share ofthe contractor’s ir&d costs. this page intentionally left blank. 45.32 subpart 45.4 title to government property 45.402 subpart 45.4',
25635:'title to government property 45.401 title to governmentfurnished property. the government retains title to all governmentfurnished property until properly disposed',
25636:'of, as authorized by law or regulation. property that is leased by the government and subsequently furnished to the contractor',
25637:'for use shall be considered governmentfurnished property under the clause 52.2451,governmentproperty. 45.402 title to contractoracquired property. a title vestsin the',
25638:'government for all property acquired or fabricated by thecontractor in accordance with the financing provisions or other specific requirements for',
25639:'passage of title in the contract. under fixedprice type contracts, in the absence of financing provisions or other specific requirements',
25640:'for passage of title in the contract, the contractor retains title to all property acquired by the contractor for use',
25641:'on the contract, except for property identified as a deliverable end item. if a deliverable item is to be retained',
25642:'by the contractor for use after inspection and acceptance by the government, it shall be made accountable to thecontract through',
25643:'a contract modification listing theitem as governmentfurnished property. b under cost type and timeandmaterial contracts, the government acquires title to',
25644:'all property to which the contractor is entitled to reimbursement, in accordance with paragraph e3 of clause 52.2451. this page',
25645:'intentionally left blank. 45.42 subpart 45.5 support government property administration 45.503 subpart 45.5 support government property administration 45.501prime contractor alternate',
25646:'locations. the property administrator assigned to the prime contract may request support property administration from another contract administrationoffice, for purposes',
25647:'of evaluatingprimecontractor management of property located at subcontractors and alternate locations. 45.502subcontractor and alternate prime contractor locations. a to ensure',
25648:'subcontractor compliancewith government property administration requirements, and with prime contractor consent, the property administrator assigned to the prime contract may',
25649:'request support property administration from another contract administrationoffice. if the prime contractor does not provide consent to support property administration',
25650:'at subcontractor locations, the property administrator shall refer the matter to the contractingofficer for resolution. b the prime property administrator',
25651:'shall accept the findings of the delegated support property administrator and advise theprimecontractor of theresults of property management reviews, including',
25652:'deficiencies found with the subcontractor’s property management system. c prime contractor consent is not required for support delegations involving prime',
25653:'contractor alternate locations. 45.503 supportproperty administrator findings. in instances wherethe prime contractor does not concur with the findingsof the support',
25654:'property administrator, the prime property administrator shall immediatelyrefer the matter to the contractingofficer. this page intentionally left blank. 45.52 subpart',
25655:'45.6 reporting, reutilization, and disposal 45.6022 subpart 45.6 reporting, reutilization, and disposal 45.600scope of subpart. this subpart establishes policies and',
25656:'procedures for the reporting, reutilization, and disposal of contractor inventory excess to contracts and of property that forms the basis',
25657:'of a claim against the government e.g., termination inventory under fixed price contracts. this subpart does not apply to the',
25658:'disposal of real property or to property for which the government has a lien or title solely as a result',
25659:'of advance, progress, or performancebased payments that have been liquidated. 45.601[reserved] 45.602 reutilization of governmentproperty. this section is applicable to',
25660:'the reutilization, including transfer and donation, of government property that is not required for continued performance of a government contract.',
25661:'except for 45.6021, this section does not apply to scrap other than scrap aircraft parts. 45.6021 inventory disposal schedules. a',
25662:'plant clearance officers should review and accept, or return for correction, inventory disposal schedules within 10 days following receipt from',
25663:'a contractor. schedules that are completed in accordancewith the instructions for standard form 1428 should be accepted. b plant clearance',
25664:'officers shall 1 use standard form 1423 to verify, in accordancewith agency procedures, accepted schedules within 20 days following acceptance;',
25665:'2 require the contractor to correct any discrepancies found during verification; 3 require the contractor to correct any failure to',
25666:'complete predisposal requirements of the contract; and 4 provide the contractor disposition instructions for property identified on an acceptable inventory',
25667:'disposal schedule within 120 days. a failure to provide timely disposition instructions may entitle the contractor to an equitable adjustment.',
25668:'c thecontractor may request the plant clearance officer’s approval to remove the governmentpropertyfrom an inventory schedule. 1 plant clearance officers',
25669:'should approveremoval of government property from aninventoryschedule when i the contractor wishes to purchase a contractoracquired or contractorproduced item at',
25670:'unit acquisition cost and credit the contract; ii the contractor is able to return unused property to the supplier at',
25671:'fair market value and credit the contract less, if applicable, a reasonable restockingfee thatis consistentwith the supplier’s customary practices; iii',
25672:'the government has authorized the contractor to use the property on another government contract; or iv the contractor hasrequested continueduse',
25673:'ofthe government property, and the contractingofficer has authorized its retention and further use. 2 if the screening process see 45.6023',
25674:'has not begun, the plant clearance officer shall adjust theschedule or return theschedule to the contractor for correction. if screening',
25675:'has begun, the plant clearance officer shall promptly notify the activity performing the screening that the items should be removed',
25676:'from the screening process. 45.6022 reutilization priorities. plant clearance officers shall initiate reutilization actionsforallpropertynot meeting the abandonmentor destruction criteria of',
25677:'45.603b. authorized methods, listed indescending orderfrom highest to lowest priority,are a reuse within the owning agency; b transfer of educationally',
25678:'useful equipment toschools and nonprofit organizations see executive order12999, educational technology: ensuring opportunity forall children in the next century,april 17,',
25679:'1996,and 15 u.s.c. 3710i; c report to gsa for reuse within the federal government or donation as surplus property; d',
25680:'dispose of the following property in accordance with agency procedures without reporting to gsa: 1 property determined appropriate for abandonment',
25681:'or destruction see federal management regulation fmr 10236.305, 41 cfr 10236.305. 2 property furnished to nonappropriated fund activities see fmr',
25682:'10236.165, 41 cfr 10236.165. 3 foreign excess personal property see fmr 10236.380, 41 cfr 10236.380. 45.6023 federal acquisition regulation 4',
25683:'scrap, except aircraft in scrap condition. 5 perishables, defined for the purposes of this section as any personal property subjectto',
25684:'spoilage or decay. 6 tradingstamps and bonus goods. 7 hazardous waste or toxic and hazardous materials. 8 controlled substances. 9',
25685:'property dangerous topublic healthand safety. 10 classified items or property determined to be sensitive for reasons of national security; and',
25686:'e dispose of nuclear materials see 45.6033b5 in accordance with the nuclear regulatory commission, applicable state licenses, applicable federal regulations,',
25687:'and agency regulations. 45.6023screening. the screening period begins uponthe plant clearance officer’s acceptanceof an inventory disposal schedule. the plant clearance',
25688:'officer shall determine whether standardor special screeningis appropriate and initiatescreening actions. a standard screening. the standard screening period is 46',
25689:'days. 1 first through twentieth dayscreening by the contracting agency. the contracting agency has 20 days to screen property reported',
25690:'on the inventory disposal schedule for: other use within the agency; transfer of educationally useful equipment to other federal agencies',
25691:'that have expressed a need for the property; and transfer of educationally useful equipment to schoolsand nonprofitorganizations if a federal',
25692:'agency hasnot expressed a need for the property. excess personal property,meeting the conditions of 45.603, may be abandoned, destroyed, or',
25693:'donated to public bodies. no later than the21st day, the plantclearance officershallsubmit four copies ofthe revised schedules and standard form',
25694:'sf 120, report of excess personal property, or an electronicequivalent to gsa see 41 cfr 10236.215. 2 twentyfirst through fortysixth',
25695:'day 21 days concurrent screening plus5 daysdonation processing.i screening by other federal agencies. gsa will normally honor requests for transfers',
25696:'of property on a firstcomefirstserved basis through the41st day. whena requestis honored,the gsaregional officeshallpromptly transmit to the plantclearance officer an',
25697:'approved transferorder that includes shipping instructions. ii screening for possible donation. screening for donation is also completed during days 21',
25698:'through 41. property is not available for allocation to donees until after the completion of screening. days 42 through 46',
25699:'are reserved for gsa to make such allocation. 3 screening period transfer request. if an agency receives an intraagency transfer',
25700:'request during the screening periods described inparagraph a2 of this section, the plant clearance officer shall request gsa approval to',
25701:'withdraw the item from the inventory disposal schedule. b special screening requirements. 1 special tooling and special test equipment without',
25702:'commercial components. agencies shall follow the procedures in paragraph a of this section. this property owned by the department of',
25703:'defense dod or the national aeronautics and space administration nasa may be screened for reutilization only within these agencies. 2',
25704:'special test equipment with commercial components. i agencies shall complete the screening required by paragraph a of this section. if',
25705:'an agency has no further need for the property and the contractor has not expressed an interest in using or',
25706:'acquiringthe property by annotating the inventory disposal schedule,the plant clearance officer shall forward the inventory disposal schedule tothe gsaregional officethat',
25707:'serves theregion in which thepropertyis located. ii if the contractor has expressed an interest in using the property on another',
25708:'government contract, the plant clearance officer shall contact the contracting officer for that contract. if the contracting officer concurs withthe',
25709:'proposed use, thecontracting officer for the contract under which thepropertyis accountable shall transfer the property’s accountability to thatcontract. ifthe contracting',
25710:'officer does not concurwith the proposed use, the plantclearance officer shall deny the contractor’s requestandshallcontinue thescreening process. iii if the',
25711:'property is contractoracquired or produced, and the contractor or subcontractor has expressed an interest in acquiring the property, and no',
25712:'other party expresses an interest during agency or gsa screening, the property may besold to the contractor or subcontractor at',
25713:'acquisition cost. 3 printing equipment. agenciesshallreport all excess printing equipment tothe publicprinter,government publishing office, 732 north capitol street,nw, washington, dc',
25714:'20401, afterscreening within theagency see 44 u.s.c. 312. if the public printer does not express a need for the equipment',
25715:'within 21 days, the agency shall submit the report to gsa for further use and donation screening as described in',
25716:'paragraph a of this section. subpart 45.6 reporting, reutilization, and disposal 45.6041 4 nonnuclear hazardous materials, hazardous wastes, and classified',
25717:'items. these items shall be screened in accordance with agency procedures. report nonnuclear hazardous materials to gsa if the agency',
25718:'has no requirement for them. 5 nuclear materials. the possession, use, and transfer of certain nuclear materials are subject to',
25719:'the regulatory controls of the nuclear regulatory commission nrc. contracting activities shall screen excess nuclear materials in the following categories:',
25720:'i byproduct material. any radioactive material except special nuclear material yielded in or made radioactive by exposure to the radiation',
25721:'incident to producing or using special nuclear material. ii source material. uranium or thorium, or any combination thereof, in any',
25722:'physical or chemical form; or ores that contain by weight onetwentieth of 1 percent 0.05 percent or more of uranium,',
25723:'thorium, or any combination thereof. source material does not include special nuclear material. iii special nuclear material. plutonium, uranium 233,',
25724:'uranium enriched in the isotope 233 or in the isotope 235, any other material that the nrc determines to be',
25725:'special nuclear material but not including source material; or any material artificially enriched by any nuclear material. 45.6024interagency property transfer',
25726:'costs. agencies whose property is transferred to other agencies shall not be reimbursed for the property in any manner unless',
25727:'thecircumstances of fmr 10236.28541cfr10236.285 apply. the agencyreceiving thepropertyshallpay any transportation costs that are not thecontractor’s responsibilityandany costs topack, crate, or',
25728:'otherwise prepare the property for shipment. the contract administration office shall process appropriate contractmodifications. toaccelerate plant clearance, the receiving agency',
25729:'shall promptly furnish funding data, and transfer or shipping documents to the contract administration office. 45.603 abandonment ordestruction of personal',
25730:'property. a when contractor inventory is processed through the reutilization screening process prescribed in 45.6022 without success, and provided the',
25731:'property has no commercial value, does not require demilitarization, and does not constitute a dangerto public health or welfare,plant clearance',
25732:'officers orother authorizedofficialsmay without further approval 1 direct the contractor to destroy the property; 2 abandon nonsensitive property at thecontractor’s',
25733:'or subcontractor’s premises; or 3 abandon sensitive property at the contractor’s or subcontractor’spremises, with contractor consent. b provided a governmentreviewing',
25734:'official at least one levelhigher than the plant clearance officer or other agency authorized official approves, plant clearance officers or',
25735:'other agencyauthorized officials may authorize the abandonment, or order the destruction of other contractor inventory at the contractor’sor subcontractor’spremises, in',
25736:'accordance withfmr 10236.305 through 325 41 cfr 10236.305325 and consistent with the following: 1 the property is not considered sensitive,',
25737:'does not require demilitarization, has no commercial value or reutilization, transfer or donation potential, and does not constitute a danger',
25738:'to public health or welfare. 2 the estimated cost of continued care and handling of the property including advertising, storage',
25739:'and other costs associated with making the sale, exceed the estimated proceeds from its sale. c inlieu of abandonment or',
25740:'itsauthorized destruction, the plant clearance officer or authorized official may authorize the donation ofpropertyincluding unsold surplus property to public bodies,',
25741:'provided thatthe property is notsensitive property, does not require demilitarization, and it does not constitute a danger to public health',
25742:'or welfare. the government will not bear any of the costs incident to such donations. d unless the property qualifies',
25743:'for one of the exceptions under fmr 10236.330 41 cfr 10236.330, the plant clearance officer or requesting officialwill ensure prior',
25744:'public notice of suchactions of abandonment or destruction consistent with fmr 10236.325 41 cfr 10236.325. 45.604 sale of surplus personal',
25745:'property. 45.6041sales procedures. surplus personal property that has completed screening in accordance with 45.6023a shall be sold in accordance with',
25746:'the policy for the sale of surplus personal property contained in the federal management regulation, at part 10238 41 cfr',
25747:'part 10238. agencies may specify implementing procedures. 45.6042 federal acquisition regulation 45.6042use of gsa sponsoredsales centers. agencies may use sales',
25748:'center services. use of such centers for sale of surplus property is authorized when in the best interest of the',
25749:'government, consistent with contract terms and conditions. 45.6043proceeds from sales of surplus property. proceedsof any sale are to be credited',
25750:'to the treasury of the united states as miscellaneous receipts, unless otherwise authorized by statute or the contract or any',
25751:'subcontract thereunder authorizes the proceeds to be credited to the price or cost of the work 40 u.s.c. 571 and',
25752:'574. 45.6044sale ofproperty pursuant tothe exchange/sale authority. agencies should consider the sale of property pursuant to the exchange/sale authority in',
25753:'fmr 10239 41 cfrpart10239 when agencies are acquiring or plan to acquire similar products and other requirements of the authority',
25754:'are satisfied. 45.605 inventorydisposal reports. the plantclearance officershallpromptly prepare an sf1424, inventory disposal report, following disposition of the property identified',
25755:'on an inventory disposal schedule and the crediting of any related proceeds. the report shall identify any lost or otherwise',
25756:'unaccounted for property and any changes in quantity or value of the property made by the contractor after submission of',
25757:'theinitial inventory disposal schedule. the report shall be provided to the administrative contractingofficer or, for terminationinventory, to the termination contracting',
25758:'officer,with a copy tothe property administrator. 45.606 contractor scrap procedures. a thepropertyadministrator should, in coordination with the plant clearance officer,',
25759:'ensurethat contractor scrap disposal processes,methods, andpractices allow for effective, efficient, and properdisposition and are properly documented in the contractor’s property',
25760:'management procedures. b the property administrator should determine the extent to which separate disposal processing or physical segregation for different',
25761:'scraptypes is or may be required. such scrap may require physical segregation, unique disposal processing, or separate plant clearance reporting.',
25762:'for example, the scope of work may create scrap 1 consisting of sensitive items; 2 containing hazardous materials or wastes;',
25763:'3 contaminated with hazardous materials or wastes; 4 that is classified or otherwise controlled; 5 containing precious or strategic metals;',
25764:'or 6 that is dangerous topublic healthor safety. c absent contract terms and conditionsto thecontrary, the government may abandon parts',
25765:'removed and replaced from property as a result of normal maintenance actionsor removed from property as a result of the',
25766:'repair,maintenance, overhaul, or modification process. part 46 quality assurance sec. 46.000 scope of part. subpart 46.1 general 46.101 definitions. 46.102',
25767:'policy. 46.103 contracting office responsibilities. 46.104 contract administration office responsibilities. 46.105 contractor responsibilities. subpart 46.2 contract quality requirements 46.201 general.',
25768:'46.202 types of contract quality requirements. 46.2021 contracts for commercial products and commercial services. 46.2022 government reliance on inspection by',
25769:'contractor. 46.2023 standard inspection requirements. 46.2024 higherlevel contract quality requirements. 46.203 criteria for use of contract quality requirements. subpart 46.3',
25770:'contract clauses 46.301 contractor inspection requirements. 46.302 fixedprice supply contracts. 46.303 costreimbursement supply contracts. 46.304 fixedprice service contracts. 46.305 costreimbursement',
25771:'service contracts. 46.306 timeandmaterial and laborhour contracts. 46.307 fixedprice research and development contracts. 46.308 costreimbursement research and development contracts. 46.309',
25772:'research and development contracts short form. 46.310 [reserved] 46.311 higherlevel contract quality requirement. 46.312 construction contracts. 46.313 contracts for dismantling,',
25773:'demolition, or removal of improvements. 46.314 transportation contracts. 46.315 certificate of conformance. 46.316 responsibility for supplies. 46.317 reporting nonconforming items.',
25774:'subpart 46.4 government contract quality assurance 46.401 general. 46.402 government contract quality assurance at source. 46.403 government contract quality assurance',
25775:'at destination. 46.404 government contract quality assurance for acquisitions at or below the simplified acquisition threshold. 46.405 subcontracts. 46.406 foreign',
25776:'governments. 46.407 nonconforming supplies or services. 46.408 singleagency assignments of government contract quality assurance. subpart 46.5 acceptance 46.501 general. 46.502',
25777:'responsibility for acceptance. 46.503 place of acceptance. 46.504 certificate of conformance. 46.505 transfer of title and risk of loss. subpart',
25778:'46.6 material inspection and receiving reports 46.601 general. subpart 46.7 warranties 46.701 [reserved] 46.702 general. 46.703 criteria for use of',
25779:'warranties. 46.704 authority for use of warranties. 46.705 limitations. 46.706 warrantytermsandconditions. 46.707 pricing aspects of fixedprice incentive contract warranties. 46.708',
25780:'warrantiesofdata. 46.709 warrantiesofcommercialproductsand commercial services. 46.710 contract clauses. subpart 46.8 contractor liability for loss of ordamage to propertyof thegovernment 46.800',
25781:'scope of subpart. 46.801 applicability. 46.802 definition. 46.803 policy. 46.804 [reserved] 46.805 contract clauses. this page intentionally left blank. subpart',
25782:'46.1 general 46.102 46.000scope of part. this part prescribes policies and procedures to ensure that supplies and services acquired under',
25783:'government contract conform to the contract’squalityand quantity requirements. included are inspection, acceptance,warranty, and other measures associated with quality requirements. subpart',
25784:'46.1 general 46.101definitions. as used in this part acceptance means the act of an authorized representative of the government by',
25785:'which the government, for itself or as agent of another, assumes ownershipof existing identified supplies tendered or approves specificservices renderedas',
25786:'partial or complete performance of the contract. conditional acceptance means acceptance of supplies or services that do not conform to',
25787:'contract quality requirements, or are otherwise incomplete, that the contractor is required to correct or otherwise complete by a specified',
25788:'date. contract quality requirements means the technical requirements in the contract relating to the quality of the product or serviceand',
25789:'those contract clauses prescribing inspection,andotherqualitycontrolsincumbent on thecontractor, to assure that the product or service conforms to the contractual requirements. counterfeit',
25790:'item means an unlawful or unauthorized reproduction, substitution, or alteration that has been knowingly mismarked, misidentified,or otherwise misrepresented tobe an',
25791:'authentic, unmodified itemfrom the originalmanufacturer, or a source with theexpress written authority of the original manufacturer orcurrent design activity, includingan',
25792:'authorized aftermarket manufacturer. unlawfulor unauthorized substitution includes useditemsrepresented as new, orthe false identificationof grade, serial number, lot number,date code, or',
25793:'performancecharacteristics. critical item means an item, the failure of which is likely to result in hazardous or unsafe conditions for',
25794:'individuals using, maintaining, or depending upon the item; or is likely to prevent performance of a vital agency mission. critical',
25795:'nonconformance means a nonconformance that is likely to result in hazardous or unsafe conditions for individuals using, maintaining, or depending',
25796:'upon the supplies or services; or is likely to prevent performance of a vital agency mission. design activity means an',
25797:'organization,government or contractor, that has responsibility for the design and configuration of an item, includingthe preparation or maintenanceof design documents.',
25798:'design activitycould be the original organization, or an organization to which design responsibility has been transferred. government contract quality assurance',
25799:'means the various functions, including inspection, performed by the government to determine whether a contractor has fulfilled thecontract obligations pertainingto',
25800:'quality and quantity. major nonconformance means a nonconformance, other than critical, that is likely to result in failure of the',
25801:'supplies or services, or to materially reduce the usability of the supplies or services for their intended purpose. minor nonconformance',
25802:'means a nonconformance that is not likely to materially reduce the usability of the supplies or services for their intended',
25803:'purpose, oris adeparture fromestablished standardshaving little bearing on the effective useor operation of the supplies or services. offtheshelf item means',
25804:'anitem produced and placed in stock by a contractor, or stocked bya distributor,before receiving orders or contracts for its sale.',
25805:'the item may be commercial or produced to military or federal specifications or description. patent defect means any defect which',
25806:'exists at the time of acceptance and is not a latent defect. subcontractor see 44.101. suspect counterfeit item means an',
25807:'item for which credible evidence including but not limited to, visual inspection or testing provides reasonable doubt that the item',
25808:'is authentic. testing means that element of inspection that determines the properties or elements, including functional operation of supplies or',
25809:'their components, by the application of established scientific principles and procedures. 46.102 policy. agencies shall ensure that a contracts include',
25810:'inspection and other quality requirements, including warranty clauses when appropriate, that are determined necessary to protect the government’s interest; b',
25811:'supplies or services including commercial services tendered by contractors meet contract requirements; c government contract quality assurance is conducted before',
25812:'acceptance except as otherwise provided in this part, by or under the direction of government personnel; d no contract precludes',
25813:'the government from performing inspection; federal acquisition regulation e nonconforming supplies or services are rejected, except as otherwise provided in',
25814:'46.407; f contracts for commercialproducts relyon a contractor’s existing quality assurance system as a substitute for compliance with government inspection',
25815:'and testing before tender for acceptance unless customary market practices for the commercial product being acquired permit inprocess inspection 41',
25816:'u.s.c. 3307. any inprocess inspection by the government shall be conducted in a manner consistent with commercial practice; and g',
25817:'the quality assurance and acceptanceservices of otheragencies are used when this will be effective, economical, or otherwiseinthegovernment’sinterestsee 42.002 and subpart',
25818:'42.2. 46.103 contracting office responsibilities. contracting offices are responsible for a receiving from the activity responsible for technical requirements any',
25819:'specifications for inspection, testing, and other contract quality requirements essential to ensure the integrity of the supplies or services the',
25820:'activity responsible for technical requirementsis responsible for prescribing contract quality requirements, such as inspection and testing requirements or, for service',
25821:'contracts, a quality assurance surveillance plan; b including in solicitations and contracts theappropriate requirements for the contractor’s control of quality',
25822:'for the supplies or services to be acquired; c issuing any necessary instructions to the cognizant contract administration office and',
25823:'acting onrecommendations submitted by that office see 42.301 and 46.104f; d when contract administration is retained see 42.201, verifying that',
25824:'the contractor fulfills the contract quality requirements; and e ensuring that nonconformances are identified, and establishing the significance of a',
25825:'nonconformance when considering the acceptability of supplies or services which do not meet contract requirements. 46.104 contract administration office responsibilities.',
25826:'when acontract is assigned for administration tothe contract administrationoffice cognizant ofthe contractor’s plant, that office, unless specifiedotherwise, shall a develop',
25827:'and apply efficient procedures for performing government contract quality assurance actions under the contract inaccordancewith the writtendirection of the contracting',
25828:'office; b perform all actions necessary to verify whether the supplies or services conform to contract quality requirements; c maintain,',
25829:'as part of the performance records of the contract, suitable records reflecting 1 the nature of government contract quality assurance',
25830:'actions, including, when appropriate, the number of observations made and the number and type of defects; and 2 decisions regarding',
25831:'the acceptability of the products, the processes, and the requirements, as well as action to correct defects. d implementanyspecific written',
25832:'instructions from the contractingoffice; e report to the contracting officeanydefects observedin design or technical requirements, including contract quality requirements; and',
25833:'f recommend any changes necessary to the contract, specifications, instructions, or other requirements that will provide more effective operations or',
25834:'eliminateunnecessary costs see 46.103c. 46.105 contractor responsibilities. a the contractor is responsible for carrying out its obligations under the contract',
25835:'by 1 controlling the quality of supplies or services; 2 tendering to the governmentforacceptance only those supplies or servicesthat conform',
25836:'to contractrequirements; 3 ensuring that vendors or suppliers of raw materials, parts, components, subassemblies, etc., have an acceptable quality control',
25837:'system; and 4 maintaining substantiating evidence, when required by the contract, that the supplies or services conform to contract quality',
25838:'requirements, and furnishing such information to the government as required. b the contractor may be required to provide and maintain',
25839:'an inspection system or program for the control of quality that is acceptable to the government see 46.202. c the',
25840:'control of quality by the contractor may relate to, but is not limited to 1 manufacturing processes,to ensure that the',
25841:'productis produced to, and meets, the contract’s technical requirements; subpart 46.1 general 46.105 2 drawings, specifications, and engineering changes, to',
25842:'ensure that manufacturing methods and operations meet the contract’stechnicalrequirements; 3 testing and examination, toensure that practices and equipment provide the',
25843:'means for optimum evaluation of the characteristics subject to inspection; 4 reliability and maintainability assessment life, endurance, and continued readiness;',
25844:'5 fabrication and delivery of products, to ensure that only conforming products are tendered to the government; 6 technical documentation,including',
25845:'drawings, specifications, handbooks, manuals, and other technical publications; 7 preservation, packaging, packing, and marking; and 8 procedures and processes for',
25846:'services to ensure that services meet contract performance requirements. d the contractor is responsible for performing all inspections and test',
25847:'required by the contract except those specifically reserved for performance by the government see 46.201c. this page intentionally left blank.',
25848:'46.14 subpart 46.2 contract quality requirements 46.2024 subpart 46.2 contract quality requirements 46.201general. a thecontracting officer shall include in the',
25849:'solicitationandcontract the appropriate quality requirements. the typeand extent of contract quality requirements needed depends on the particular acquisition and may',
25850:'range from inspection at time of acceptance to a requirement for thecontractor’simplementation of a comprehensiveprogramforcontrolling quality. b as feasible, solicitations',
25851:'and contracts may provide for alternative, but substantially equivalent, inspection methods to obtain wide competition and low cost. the contracting',
25852:'officer mayalso authorize contractorrecommendedalternatives when in the government’s interestand approved bythe activity responsiblefortechnicalrequirements. c although contracts generally make contractors responsible',
25853:'for performing inspection before tendering supplies to the government, there are situations in which contracts will provide for specialized inspections',
25854:'to be performed solely by the government. among situations of this kind are 1 tests that require use of specializedtest',
25855:'equipment or facilitiesnot ordinarily available insuppliers’ plantsor commercial laboratories e.g., ballistic testing of ammunition, unusual environmental tests, and simulated service',
25856:'tests; and 2 contracts that require government testing for first article approval see subpart 9.3. d except as otherwise specified',
25857:'by thecontract, requiredcontractor testingmay be performed in the contractor’s or subcontractor’s laboratory or testing facility, or inanyotherlaboratoryor testingfacility acceptable to',
25858:'the government. 46.202 typesof contractquality requirements. contract quality requirements fall into four general categories, depending on the extent of quality',
25859:'assurance needed by the government for the acquisition involved. 46.2021contracts for commercial products andcommercial services. when acquiring commercial products see',
25860:'part 12, the government shall rely on contractors existing quality assurance systems as a substitute for government inspection and testing',
25861:'before tender for acceptance unless customary market practices for the commercial product being acquired include inprocess inspection. any inprocess inspection',
25862:'by the government shall be conducted in a manner consistent with commercial practice. the government shall rely on the contractor',
25863:'to accomplish all inspection and testing needed to ensure that commercial services acquired conform to contract requirements before they are',
25864:'tendered to the government. 46.2022government reliance on inspection bycontractor. a except as specified in b of this section, the government',
25865:'shall rely on the contractor to accomplish all inspection and testing needed to ensure that supplies or services acquired at',
25866:'or below the simplified acquisition threshold conform to contract quality requirements before they are tendered to the government see 46.301.',
25867:'b the government shall not rely on inspection by the contractor if the contracting officerdeterminesthat the government has a need',
25868:'to test the supplies or services in advance of their tender for acceptance, or to pass judgment upon the adequacy',
25869:'ofthe contractor’s internal work processes. in makingthe determination, thecontracting officer shall consider 1 the nature of the supplies and services',
25870:'being purchased and their intended use; 2 the potential losses in the event of defects; 3 the likelihood of uncontested',
25871:'replacement or correction of defective work; and 4 the cost of detailed government inspection. 46.2023standard inspection requirements. a standard inspection',
25872:'requirements are contained in the clauses prescribed in 46.302 through 46.308, and in the product and service specifications that are',
25873:'included in solicitations and contracts. b the clauses referred to in a of this section 1 require the contractor to',
25874:'provide and maintain an inspection system that is acceptable to the government; 2 give the government the right to make',
25875:'inspections and tests while work is in process; and 3 require the contractor to keep complete, and make available to',
25876:'the government, records of its inspection work. 46.2024higherlevel contract quality requirements. a agencies shall establish procedures for determining whenhigherlevelcontract quality',
25877:'requirements are necessary, for determining the risk both thelikelihood and theimpactof nonconformance, and for advising the contracting officer about federal',
25878:'acquisition regulation which higherlevel standards should be applied and included in the solicitation and contract. requiring compliance with higherlevel quality',
25879:'standards is necessary in solicitations and contracts for complex or critical items see 46.203or when the technical requirements of the',
25880:'contract require 1 control of such things as design, work operations, inprocess controls, testing, and inspection; or 2 attention to',
25881:'such factors as organization, planning, work instructions,documentation control,and advanced metrology. b examples of higherlevel quality standards include overarching quality management',
25882:'system standards such as iso 9001, asq/ansi e4, asme nqa1, sae as9100, sae as9003, and iso/ts 16949, and product or',
25883:'process specific quality standards such as sae as5553. 46.203 criteria foruse of contract quality requirements. the extent of contract quality',
25884:'requirements, including contractor inspection, required under a contract shall usually be based upon the classification of the contract item supply',
25885:'or service as determined by its technical description, its complexity, and thecriticality of its application. a technical description. contract items',
25886:'may be technically classified as 1 commercial described in commercial catalogs, drawings, or industrial standards; see part 2; or 2',
25887:'militaryfederal described in government drawings and specifications. b complexity. 1 complex items have quality characteristics, not wholly visible in the',
25888:'end item, for which contractual conformance must be established progressively through precise measurements, tests, and controls applied during purchasing, manufacturing,',
25889:'performance,assembly, and functional operation either as an individual item orin conjunction with other items. 2 noncomplex items have quality characteristics',
25890:'for which simple measurementandtest of the end item are sufficient to determine conformance to contract requirements. c criticality. 1 a',
25891:'critical application of an item is one in which the failure of the item could injure personnel or jeopardizea vital',
25892:'agencymission. a critical itemmay be either peculiar, meaning it has only one application,or common, meaning it has multiple applications. 2',
25893:'a noncritical application is any other application. noncritical items may also be either peculiar or common. subpart 46.3 contract clauses',
25894:'46.308 subpart 46.3 contract clauses 46.301 contractor inspection requirements. the contractingofficer shall insertthe clause at 52.2461, contractor inspection requirements, in',
25895:'solicitations and contracts for supplies or services when the contract amount is expected to be at or below the simplified',
25896:'acquisition threshold and a inclusionof the clause is necessary to ensurean explicit understanding of the contractor’sinspectionresponsibilities, or b inclusion of',
25897:'the clause is requiredunder agencyprocedures. the clauseshallnot be used if the contracting officer has made the determination specified in 46.2022b.',
25898:'46.302fixedprice supply contracts. the contractingofficer shall insertthe clause at 52.2462, inspection of suppliesfixedprice, in solicitations and contracts for supplies, or',
25899:'services that involve the furnishing of supplies, when a fixedprice contract is contemplated and the contract amount is expectedto exceed',
25900:'thesimplified acquisition threshold. the contracting officer may insert theclause in such solicitations and contracts when the contract amount is expected',
25901:'to be at or below the simplified acquisition threshold and inclusion of the clause is inthe government’s interest. if a',
25902:'fixedprice incentive contract is contemplated, the contracting officer shall use theclause with itsalternatei. if a fixedceilingprice contract withretroactive price redetermination',
25903:'is contemplated, thecontracting officer shall use the clause with its alternateii. 46.303 costreimbursement supply contracts. the contractingofficer shall insertthe clause',
25904:'at 52.2463, inspection of suppliescostreimbursement, in solicitations and contracts for supplies, or services that involve the furnishing of supplies, when',
25905:'a costreimbursement contract is contemplated. 46.304fixedprice service contracts. the contractingofficer shall insertthe clause at 52.2464, inspection of servicesfixedprice, in solicitations',
25906:'and contracts for services, or supplies that involve the furnishing of services, when a fixedprice contract is contemplated and the',
25907:'contract amount is expectedto exceed thesimplified acquisition threshold. the contracting officer may insert theclause in such solicitations and contracts when',
25908:'the contract amount is expected to be at or below the simplified acquisition threshold and inclusion isin thegovernment’s interest. 46.305',
25909:'costreimbursement servicecontracts. the contractingofficer shall insertthe clause at 52.2465, inspection of servicescost reimbursement, in solicitations and contracts for services, or',
25910:'supplies that involve the furnishing of services, when a costreimbursement contract is contemplated. 46.306 timeandmaterial and laborhour contracts. the contractingofficer',
25911:'shall insertthe clause at 52.2466, inspectiontimeandmaterialandlaborhour, in solicitations and contracts when a timeandmaterial contract or a laborhour contract is contemplated.',
25912:'if government inspection and acceptance are to be performed at the contractor’s plant, the contracting officer shall use the clause',
25913:'with its alternatei. 46.307 fixedprice researchand development contracts. a thecontracting officer shall insert the clause at 52.2467, inspection of research',
25914:'and developmentfixedprice, in solicitations and contracts for research and development when 1 the primary objective of the contract is the',
25915:'delivery of end items other than designs, drawings, or reports, 2 a fixedprice contract is contemplated, and 3 the contract',
25916:'amount is expected to exceed the simplified acquisition threshold; unless use of the clause is impractical and the clause prescribed',
25917:'in 46.309 is considered to be more appropriate. b the contractingofficer may insert the clause insuch solicitations and contracts whenthe',
25918:'contract amountis expected to be at or belowthe simplified acquisition threshold, and itsuse is in the government’s interest. 46.308 costreimbursement',
25919:'research and development contracts. the contractingofficer shall insertthe clause at 52.2468, inspection of research and developmentcostreimbursement, in solicitations and contracts',
25920:'for research and development when a the primary objective of the contract is the delivery of federal acquisition regulation end',
25921:'items other than designs, drawings, or reports, and ba costreimbursement contract is contemplated; unless use of the clause is impractical',
25922:'and the clause prescribed in 46.309 is considered to be more appropriate. if it is contemplated that the contract will',
25923:'beon anofee basis, the contracting officer shall use the clause with its alternatei. 46.309 research and development contracts short form.',
25924:'the contractingofficer shall insertthe clause at 52.2469, inspection of research and development short form, in solicitations and contracts for research',
25925:'and development when the clause prescribed in 46.307 or the clause prescribed in 46.308 is not used. 46.310[reserved] 46.311higherlevel contract',
25926:'quality requirement. a thecontracting officer shall insert the clause at 52.24611, higherlevel contract quality requirement, in solicitations and contracts when',
25927:'the inclusion of a higherlevel contract quality requirement is necessary see 46.2024. b for each higherlevel quality standard, the contracting',
25928:'officershallfill in thetitle, number, date, andtailoring if any. 46.312construction contracts. the contractingofficer shall insertthe clause at 52.24612, inspection of construction,',
25929:'in solicitations and contracts for construction when a fixedprice contract is contemplated and the contract amount is expected to exceed',
25930:'the simplified acquisition threshold. the contracting officer mayinsert the clausein such solicitations and contracts when the contract amount is expectedto',
25931:'beat or below thesimplified acquisition threshold,andits use is in the government’s interest. 46.313 contractsfor dismantling,demolition,or removalof improvements. the contractingofficer shall',
25932:'insertthe clause at 52.24613, inspectiondismantling, demolition, or removal of improvements, in solicitations and contracts for dismantling, demolition, or removal of',
25933:'improvements. 46.314 transportation contracts. the contractingofficer shall insertthe clause at 52.24614,inspection of transportation, in solicitations and contracts for freight transportation',
25934:'services including localdrayage by rail, motor including bus, domestic freight forwarder, and domestic water carriers includinginland, coastwise,andintercoastal. the contracting officer',
25935:'shall not use the clauseforthe acquisition of transportation services by domestic or international air carriers or by international ocean carriers,',
25936:'or to freight services provided under bills of lading or to those negotiated for reduced rates under 49 u.s.c. 10721',
25937:'or 1 3712. see part 47, transportation. 46.315certificate of conformance. the contractingofficer shall insertthe clause at 52.24615, certificate of conformance,',
25938:'in solicitations and contracts for supplies or services when the conditions in 46.504 apply. 46.316responsibility for supplies. the contractingofficer shall',
25939:'insertthe clause at 52.24616, responsibility for supplies, in solicitations and contracts for a supplies, b services involving the furnishing of',
25940:'supplies, or c research and development, when a fixedprice contract is contemplatedand the contract amountis expectedto exceed the simplified acquisition',
25941:'threshold. the contracting officer may insert the clause in such solicitations and contracts when the contract amount is not expected',
25942:'to exceed the simplified acquisition threshold and inclusion of the clause is authorized under agency procedures. 46.317reporting nonconforming items. a',
25943:'except as provided in paragraph b of this section, the contracting officer shall insert theclause at 52.24626, reporting nonconforming items,',
25944:'in solicitations and contracts as follows: 1 for an acquisition by any agency,including the department of defense, of– i any',
25945:'items that are subject to higherlevel quality standards in accordance with the clause at 52.24611, higher level contract quality requirement;',
25946:'iiany items thatthe contracting officer, inconsultation with the requiring activity determines to be critical items for which use of the',
25947:'clause is appropriate; subpart 46.3 contract clauses 46.317 2 in addition as required by paragraph c4 of section 818 of',
25948:'the national defense authorization act for fiscal year 2012 pub. l. 11281,foran acquisition that exceeds the simplified acquisition thresholdand is',
25949:'by, or for, the department of defense of electronic parts or end items, components, parts, or materials containing electronic parts,',
25950:'whether or not covered in paragraph a1 of this section; or 3 for the acquisition of services, if the contractor',
25951:'will furnish, as part of the service, any items that meet the criteria specified in paragraphs a1 through a2 of',
25952:'this section. b the contractingofficer shall not insert the clause at 52.24626, reporting nonconforming items, in solicitations and contracts when',
25953:'acquiring— 1 commercial products and commercial services using part 12 procedures; or 2 medical devices that are subject to the',
25954:'food and drug administration reporting requirements at 21 cfr 803. c if required by agency policy, thecontracting officer may modifyparagraph',
25955:'b4of the clause at 52.24626, but only to change the responsibility for the contractor to submit reports to the agency',
25956:'rather than to governmentindustry data exchange program gidep, so that the agency instead of the contractor submits reports to gidep',
25957:'within the mandatory 60 days. this page intentionally left blank. 46.34 subpart 46.4 government contract quality assurance 46.403 subpart 46.4',
25958:'government contract quality assurance 46.401general. a government contract quality assurance shall be performed at such times including any stage of',
25959:'manufacture or performance of services and places including subcontractors’ plants as may be necessary to determine that the supplies or',
25960:'services conform to contract requirements. quality assurance surveillance plans should be prepared in conjunction with the preparation of the statement',
25961:'of work. the plans should specify 1 all work requiring surveillance; and 2 the method of surveillance. b each contract',
25962:'shall designate the place or places where the government reserves the right to perform quality assurance. c if the contract',
25963:'provides for performance of government quality assurance at source, the place or places of performance may notbe changed without the',
25964:'authorization of the contracting officer. d if a contract provides for delivery and acceptance at destination and the government inspects',
25965:'the supplies at a place other than destination, thesupplies shall notordinarily be reinspected at destination, but should be examined for',
25966:'quantity, damage in transit, and possible substitution or fraud. e government inspection shall be performed by or under the direction',
25967:'or supervision of government personnel. f government inspection shall be documented on an inspection or receiving report form or commercial',
25968:'shipping document/packing list, under agency procedures see subpart 46.6. g agencies may prescribe the use of inspection approval or disapproval',
25969:'stamps to identify and control supplies and material that have been inspected for conformance with contract quality requirements. 46.402 governmentcontract',
25970:'quality assuranceat source. agencies shall perform contract quality assurance, including inspection, at source if a performance at any other place',
25971:'would require uneconomical disassembly or destructive testing; b considerable loss would result from the manufacture and shipment of unacceptable supplies,',
25972:'or from the delay in making necessary corrections; c special required instruments, gauges, or facilities are available only at source;',
25973:'d performance at any other place would destroy or require the replacement of costly special packing and packaging; e government',
25974:'inspection during contract performance is essential; or f it is determined for other reasons tobe inthe government’s interest. 46.403government contract',
25975:'quality assurance at destination. a government contract quality assurance that can be performed at destination is normally limited to inspection',
25976:'of the supplies or services. inspection shall be performed at destination under the following circumstances 1 supplies are purchasedofftheshelf and',
25977:'require no technical inspection; 2 necessary testing equipment is located only at destination; 3 perishable subsistence supplies purchased within the',
25978:'united states, except that those supplies destined for overseas shipment will normally be inspected for condition and quantity at points',
25979:'of embarkation; 4 brand nameproducts purchasedforauthorized resalethroughcommissariesor similar facilities however, supplies destined for directoverseas shipment may be acceptedby the contractingofficer',
25980:'or an authorizedrepresentative on the basis of a tally sheetevidencing receipt of shipment signed bythe port transportation officeror other designatedofficial',
25981:'at the transshipment point; 5 the products being purchased are processed under direct control of the national institutes of health',
25982:'or the food and drug administration of the department of health and human services; 6 the contract is for services',
25983:'performed at destination; or 7 it is determined for other reasons to be in the government’sinterest. b overseas inspection of',
25984:'supplies shipped from the united states shall not be required except in unusual circumstances, and then only whenthe contracting officer',
25985:'determines in advancethat inspection can be performedor makes necessary arrangements for its performance. federal acquisition regulation 46.404 governmentcontract quality assurancefor',
25986:'acquisitionsat or below the simplified acquisition threshold. a in determining the type and extent of government contract quality assurance to',
25987:'be required for contracts at or below thesimplified acquisition threshold,the contracting officershallconsider the criticality of application ofthe supplies or services,',
25988:'the amount of possible losses, and the likelihood of uncontested replacement of defective work see 46.2022. b when the conditions',
25989:'in 46.2022b apply,the following policies shall govern: 1 unless a special situation exists, the government shall inspect contracts at or',
25990:'below the simplified acquisition threshold at destination and only for type and kind; quantity; damage; operability if readily determinable; and',
25991:'preservation, packaging, packing, and marking, if applicable. 2 special situations may require more detailed quality assurance and the use of',
25992:'a standard inspection or higher level contract quality requirement. these situations include those listed in 46.402 and contracts for items',
25993:'having critical applications. 3 detailed government inspection may be limited to those characteristics that are special or likely to cause',
25994:'harm to personnel or property. when repetitive purchases ofthe same itemare made from the same manufacturer witha history of defectfree',
25995:'work, government inspection may be reduced to a periodic check of occasional purchases. 46.405subcontracts. a government contract quality assurance on',
25996:'subcontracted supplies or services shall be performed only when required in the government’s interest. the primary purpose is toassist the',
25997:'contract administration office cognizantof the prime contractor’s plant in determining the conformance of subcontracted supplies or services with contract requirements',
25998:'orto satisfy one or more of the factors included in b of this section. it does not relieve the prime',
25999:'contractor of any responsibilities under the contract. when appropriate, the prime contractor shall be requested to arrange for timely government',
26000:'access to the subcontractor facility. b the government shall perform quality assurance at the subcontract level when 1 the item',
26001:'is to be shipped from thesubcontractor’s plant to theusing activity and inspection at source isrequired; 2 the conditions for quality',
26002:'assurance at source are applicable see 46.402; 3 the contract specifies that certain quality assurance functions, which canbe performed onlyat',
26003:'the subcontractor’s plant, are to be performed by the government; or 4 it is otherwiserequired by thecontract ordetermined to be',
26004:'in the government’sinterest. c supplies or services for which certificates, records, reports, or similar evidence of quality are available at',
26005:'the prime contractor’s plant shall notbe inspected at the subcontractor’s plant, except occasionally toverify this evidence or when required under',
26006:'b of this section. d all oral and written statements and contract terms and conditions relating to government quality assurance',
26007:'actions at the subcontract level shall be worded so as not to 1 affect thecontractual relationship between theprimecontractor and the',
26008:'government, orbetween the prime contractor and the subcontractor; 2 establish a contractual relationship between the government and the subcontractor; or',
26009:'3 constitute a waiver of the government’sright to acceptor reject the suppliesor services. 46.406 foreign governments. government contract quality assurance',
26010:'performed for foreign governments or international agencies shall be administered according to the foreign policy and security objectives of the',
26011:'united states. such support shall be furnished only when consistent with or required by legislation, executive orders, or agency policies',
26012:'concerning mutual international programs. 46.407nonconforming supplies or services. a thecontracting officer should rejectsupplies orservices not conforming in allrespectsto contract requirements',
26013:'see 46.102. in thoseinstances where deviation from this policy is foundto bein the government’s interest, such supplies or services may',
26014:'be accepted only as authorized in this section. b the contractingofficer ordinarily must give the contractoran opportunityto correct or replace',
26015:'nonconformingsupplies or services when this can be accomplished within the required delivery schedule. unless the contract specifies otherwise as may',
26016:'be the case in some costreimbursement contracts, correction or replacement must be without additional cost to the government. paragraph e2',
26017:'of the clause at 52.2462, inspection of suppliesfixedprice, reserves to the government the right to charge the contractor the cost',
26018:'of government reinspection and retestsbecause of prior rejection. subpart 46.4 government contract quality assurance 46.408 c 1insituationsnotcoveredbyparagraphbofthissection,thecontractingofficerordinarilymustrejectsupplies or services whenthe',
26019:'nonconformance is critical or major or the supplies or services are otherwise incomplete. however, there may be circumstances e.g., reasons',
26020:'ofeconomy or urgency whenthe contracting officer determines acceptance or conditional acceptance of supplies or services isin the bestinterest ofthe government.',
26021:'the contractingofficer must make this determination based upon i advice of the technical activity that the item is safe to',
26022:'use and will perform its intended purpose; ii information regarding the nature and extent of the nonconformance or otherwise incomplete',
26023:'supplies or services; iii a request from the contractor for acceptance of the nonconforming or otherwise incomplete supplies or services',
26024:'if feasible; iv a recommendation for acceptance, conditional acceptance, or rejection, with supporting rationale; and v the contract adjustment considered',
26025:'appropriate,including any adjustment offered by the contractor. 2 the cognizant contractadministration office,or other government activity directly involved, must furnish this',
26026:'data to the contracting officerin writing, except that inurgentcases it may befurnished orally and later confirmed in writing. before making',
26027:'a decision toaccept, the contracting officermust obtain the concurrence ofthe activity responsibleforthe technical requirementsof the contract and, where healthfactors are',
26028:'involved, ofthe responsible health official of the agency concerned. d if the nonconformance is minor, the cognizant contract administration office',
26029:'may make thedeterminationto accept or reject, except where this authority iswithheld by the contractingoffice of the contracting activity. to assistin',
26030:'making this determination, thecontract administration office mayestablish a joint contractorcontract administrative office reviewgroup. acceptance of supplies and services with critical',
26031:'or major nonconformances is outside the scope of the review group. e thecontracting officer must discourage the repeated tender ofnonconforming',
26032:'supplies or services, including those with only minornonconformances, by appropriate action, such as rejection and documentingthe contractor’s performance record. f',
26033:'when supplies or services are accepted with critical or major nonconformances as authorized in paragraph c of this section,the contracting',
26034:'officer must modifythe contract toprovide for an equitable price reduction or otherconsideration. in the case of conditional acceptance, amounts withheld',
26035:'from payments generally should be atleast sufficient to cover the estimated cost and related profit to correct deficiencies and complete',
26036:'unfinished work. the contracting officer must document in the contract file the basisforthe amounts withheld. forservices, the contracting officer canconsideridentifying',
26037:'the value of the individual work requirements or tasks subdivisions that may be subject to price or fee reduction. this',
26038:'value may beused todetermine anequitable adjustmentfornonconforming services. however, whensupplies orservices involving minor nonconformances are accepted, the contract need not be',
26039:'modified unless it appears that the savings to the contractor in fabricating the nonconforming supplies or performing the nonconforming services',
26040:'will exceed the cost to the government of processing the modification. g notices of rejection must include the reasons for',
26041:'rejection and be furnished promptly tothe contractor. promptness in giving this notice is essential because, if timely nature of rejection',
26042:'is not furnished, acceptance may in certain cases be implied as a matter of law. the noticemust be in writing',
26043:'if 1 the supplies or services have been rejected at a place other than the contractor’s plant; 2 the contractorpersists',
26044:'in offering nonconforming suppliesor services for acceptance; or 3 delivery or performance was late without excusable cause. h the contractingofficer',
26045:'shall provide disposition instructions for counterfeit or suspect counterfeititemsin accordance with agencypolicy. agency policy may require the contracting officer to',
26046:'direct the contractor toretain such items for investigative or evidentiary purposes. 46.408singleagency assignments of government contract quality assurance. a governmentwide',
26047:'responsibility for quality assurance support for acquisitions of certain commodities is assigned as follows: 1 for drugs, biologics, and other',
26048:'medical suppliesthe food and drug administration; 2 for food, except seafoodthe department of agriculture. 3 for seafoodthe national marine fisheries',
26049:'service of the department of commerce. b agencies requiring quality assurance support for acquiring these supplies should request the support',
26050:'directly from the cognizantoffice. this page intentionally left blank. 46.44 subpart 46.5 acceptance 46.505 subpart 46.5 acceptance 46.501general. acceptance constitutes',
26051:'acknowledgment that the supplies or services conform with applicable contract quality and quantity requirements, except as provided in this subpart',
26052:'and subject to other terms and conditions of the contract. acceptance may takeplace before delivery,at the timeof delivery, or after',
26053:'delivery, depending on the provisions of the terms and conditions of the contract. supplies or services shall ordinarily not be',
26054:'accepted before completion of government contract quality assurance actions however, see 46.504. acceptance shall ordinarily be evidenced by execution of',
26055:'an acceptance certificate on an inspection or receiving report form or commercial shipping document/packing list. 46.502responsibility for acceptance. acceptance of',
26056:'supplies or services isthe responsibility of the contracting officer. when this responsibility is assigned to a cognizantcontract administration office or',
26057:'to another agency see 42.202g, acceptanceby that office or agencyis binding on the government. 46.503place of acceptance. each contract shall',
26058:'specify the place of acceptance. contracts that provide for government contract quality assurance at source shall ordinarily provide for acceptance',
26059:'at source. contracts that provide for government contract quality assurance at destination shall ordinarily provide for acceptance at destination. for',
26060:'transportation terms, see subpart 47.3. supplies accepted at a place other than destination shall not be reinspected at destination for',
26061:'acceptance purposes, but should be examinedat destination for quantity,damage in transit,andpossible substitution or fraud. 46.504certificate of conformance. a certificate of',
26062:'conformance see 46.315 may be used in certain instances instead of source inspection whether the contract calls for acceptance at',
26063:'source or destination at the discretion ofthe contracting officerif the following conditions apply: a acceptance on the basis ofa contractor’s',
26064:'certificate of conformance is in thegovernment’s interest. b 1 small losses would be incurred in the event of a defect;',
26065:'or 2 because of the contractor’s reputation or past performance, it is likely that the supplies or services furnished will',
26066:'be acceptable and any defective work would be replaced, corrected, or repaired without contest. in no case shall the government’s',
26067:'right to inspect supplies under the inspection provisions of the contract be prejudiced. 46.505 transfer of title and riskof loss.',
26068:'a titleto supplies shall pass tothe government upon formal acceptance, regardless ofwhen or where the government takes physical possession, unless',
26069:'the contract specifically provides for earlier passage of title. b unless the contract specifically provides otherwise, risk of loss of',
26070:'or damage to supplies shall remain with the contractor until, and shall pass to the government upon 1 delivery of',
26071:'the supplies to a carrier if transportation is f.o.b. origin; or 2 acceptance by the government or delivery of the',
26072:'supplies to the government at the destination specified in the contract, whichever is later, if transportation is f.o.b. destination. c',
26073:'paragraph b of this section shall not apply to supplies that so fail to conform to contract requirements as to',
26074:'give a right of rejection. the risk of loss of or damage to such nonconforming supplies remains with the contractor',
26075:'until cure or acceptance. after cure or acceptance, paragraph b of this sectionshallapply. d under paragraph b of this section,',
26076:'the contractor shall not be liable for loss of or damage to supplies caused by the negligence of officers, agents,',
26077:'or employeesof the government actingwithin thescope of theiremployment. e the policy expressed in a through d of this section is',
26078:'specified in the clause at 52.24616, responsibility for supplies, which is prescribed in 46.316. this page intentionally left blank. 46.52',
26079:'subpart 46.6 material inspection and receiving reports 46.601 subpart 46.6 material inspection and receiving reports 46.601general. agencies shall prescribe procedures',
26080:'and instructions for the use, preparation, and distribution of material inspection and receiving reports and commercial shipping document/packing lists to',
26081:'evidence government inspection see 46.401 and acceptance see 46.501. this page intentionally left blank. 46.62 subpart 46.7 warranties 46.705 subpart',
26082:'46.7 warranties 46.701[reserved] 46.702general. a the principal purposes of a warranty in a government contract are 1 to delineate the',
26083:'rights and obligations of the contractor and the government for defective items and services; and 2 to foster quality performance.',
26084:'b generally,a warranty should provide 1 a contractual right for the correction of defects notwithstanding any other requirement of the',
26085:'contract pertaining to acceptance of the supplies or services by the government; and 2 a stated period of time or',
26086:'use, or the occurrence of a specified event, after acceptance by the government to assert a contractual right for the',
26087:'correction of defects. c the benefits to be derived from a warranty must be commensurate with the cost of the',
26088:'warranty to the government. 46.703criteria for use of warranties. the use of warranties is notmandatory. in determining whether a warranty',
26089:'is appropriate for a specific acquisition, the contracting officershallconsider the followingfactors: a nature and use of the supplies or services.',
26090:'this includes such factors as 1 complexity and function; 2 degree of development; 3 state of the art; 4 end',
26091:'use; 5 difficulty in detecting defectsbefore acceptance; and 6 potential harm to the government if the item is defective. b',
26092:'cost. warranty costs arise from 1 the contractor’s charge for accepting thedeferred liability created bythe warranty; and 2 government administration',
26093:'and enforcement of the warranty see paragraph c of this section. c administration and enforcement. the government’sability toenforce the warranty',
26094:'isessential to the effectiveness of any warranty. there must besome assurancethat anadequate administrative system for reporting defects exists or can',
26095:'be established. the adequacy of a reporting system may depend upon such factors as the 1 nature and complexity of',
26096:'the item; 2 location and proposed use of the item; 3 storage time for the item; 4 distance of the',
26097:'using activity from the source of the item; 5 difficulty in establishing existence of defects; and 6 difficulty in tracing',
26098:'responsibility for defects. d trade practice. in many instances an item is customarily warranted in the trade, and, as a',
26099:'result of that practice, the cost of an item to the government will be the same whether or not a',
26100:'warranty is included. in those instances, it would be in thegovernment’s interest toinclude such a warranty. e reduced requirements. the',
26101:'contractor’s charge for assumption of added liabilitymay be partially orcompletely offset by reducing the government’scontract quality assurance requirements wherethe warranty',
26102:'provides adequate assurance of a satisfactory product. 46.704authority for use of warranties. the use of a warranty in an acquisition',
26103:'shall be approved in accordance with agency procedures. 46.705limitations. a except for the warranties in the clauses at 52.2463, inspection',
26104:'of suppliescostreimbursement, and 52.2468, inspection of research and developmentcostreimbursement, the contracting officer shall notinclude warranties in cost reimbursement contracts, unless',
26105:'authorized in accordance with agency regulations see 46.708. bwarrantyclausesshallnotlimitthegovernment’srightsunderaninspectionclausesee subpart 46.3 in relation to latent defects, fraud, or gross mistakes',
26106:'that amount to fraud. federal acquisition regulation c except for warranty clauses in construction contracts, warranty clauses shall provide that',
26107:'the warranty applies notwithstanding inspection and acceptance or other clauses or terms of the contract. 46.706 warrantyterms and conditions. a',
26108:'to facilitatethe pricing and enforcement of warranties, the contracting officer shall ensure that warranties clearlystate the 1 exact nature of',
26109:'the item and its components and characteristics that the contractor warrants; 2 extent of the contractor’s warrantyincluding all of thecontractor’sobligations',
26110:'to the governmentforbreach of warranty; 3 specific remedies available to the government; and 4 scope andduration of thewarranty. b the',
26111:'contractingofficer shall consider the following guidelines when preparing warranty termsandconditions: 1 extent of contractor obligations. i generally, the contractor’s obligationsunder',
26112:'warrantiesextend to all defects discovered during the warranty period, but do not include damage caused by the government. when a',
26113:'warranty for the entire item is not advisable, a warranty may be required for a particular aspect of the item',
26114:'that may require special protection e.g., installation, components, accessories, subassemblies, preservation, packaging, and packing, etc.. ii if the government specifies',
26115:'the design of the end item and its measurements, tolerances, materials, tests, or inspection requirements, the contractor’s obligationsforcorrection of defectsshallusually',
26116:'be limited to defects inmaterial and workmanship or failure to conform to specifications. if the government does not specify the',
26117:'design, the warranty extends also to the usefulness of the design. iii if express warranties are included in a contract',
26118:'except contracts for commercial products and commercial services, all implied warranties of merchantability and fitness for a particular purpose shall',
26119:'be negated by the use of specific language in the clause see clauses 52.24617, warranty of suppliesof anoncomplexnature; 52.24618, warranty',
26120:'of supplies of a complex nature; and 52.24619, warranty of systems andequipment under performance specifications or design criteria. 2 remedies.',
26121:'i normally, awarranty shall provideas a minimum thatthe government may a obtain an equitable adjustment of the contract, or b',
26122:'direct the contractor to repair or replace the defective itemsat the contractor’s expense. iiif it is notpractical to directthe contractor',
26123:'to make the repair orreplacement, or,because of thenature of the item,the repair or replacement does not afford an appropriateremedy to',
26124:'the government, thewarranty should provide alternate remedies, such as authorizing the government to a retain the defective item and reduce',
26125:'the contract price by an amount equitable under the circumstances; or b arrange for the repair or replacement of the',
26126:'defective item, by the government or by another source, at the contractor’s expense. iii if it can be foreseenthat it',
26127:'will not be practical to returnan itemto the contractor for repair, to remove it to an alternate source for repair,',
26128:'or to replace the defective item, the warranty should provide thatthe government may repair,or require the contractor to repair, theitem',
26129:'in place at thecontractor’s expense. thecontract shall providethat in thecircumstance where the government isto accomplish therepair, thecontractor will furnish at',
26130:'the placeof delivery the material or parts, and the installation instructions required tosuccessfully accomplish the repair. iv unless providedotherwise in',
26131:'the warranty, the contractor’s obligation to repair or replace thedefective item, or to agree to an equitable adjustment of the',
26132:'contract, shall include responsibility for the costs of furnishing all labor and material to a reinspect items that the government',
26133:'reasonably expected to be defective, b accomplish the required repair or replacement of defective items, and c test, inspect,package, pack,',
26134:'and mark repaired or replaced items. v if repair or replacement of defective items is required, the contractor shall generally',
26135:'be required by the warranty to bear the expense of transportation for returning the defective item from the place of',
26136:'delivery specified in the contract irrespective of thef.o.b. point or the point of acceptance to thecontractor’s plant and subsequent return.',
26137:'when defective items are returned to the contractor from other than the place of delivery specified in the contract, or',
26138:'when the government exercises alternate remedies, the contractor’sliability for transportation charges incurred shall notexceed an amount equal to the cost',
26139:'of transportation by the usual commercial method of shipment between the place of delivery specified in the contract and the',
26140:'contractor’splant and subsequent return. subpart 46.7 warranties 46.710 3 duration of the warranty. the time period or duration of the',
26141:'warranty must be clearly specified and shall be established after consideration of such factors as i the estimated useful life',
26142:'of the item, ii the nature of the item including storage orshelflife, and iii tradepractice. the period specifiedshallnot extendthe contractor’s',
26143:'liabilityforpatent defects beyond a reasonable time after acceptance by the government. 4 notice. the warranty shall specify a reasonable time',
26144:'for furnishing notice to the contractor regarding the discovery of defects. this notice period, which shall apply to all defects',
26145:'discovered during the warranty period, shall be long enough to assurethat the government hasadequate time to givenotice to the contractor.',
26146:'thecontracting officer shall consider the following factors when establishing the notice period: i the time necessary for the government to',
26147:'discover the defects. ii the time reasonably required for the government to take necessary administrative steps and make a timely',
26148:'report of discoveryof the defects to the contractor. iii the time required to discover and report defective replacements. 5 markings.',
26149:'i the packaging and preservation requirements of the contract shall require the contractor to stamp or mark the suppliesdelivered or',
26150:'otherwise furnishnotice withthe supplies of theexistence of the warranty. the purpose of the markings or notice is to inform government',
26151:'personnel who store, stock, or use the supplies that the supplies are under warranty. markings maybe brief but should include—',
26152:'a a brief statement that a warranty exists; b the substance of the warranty; c its duration; and d who',
26153:'to notify if the supplies are found to be defective. ii for commercial products see 46.709, the contractors trade practice',
26154:'in warranty marking is acceptable if sufficient information is presented for supply personnel andusersto identify warrantedsupplies. 6 consistency. contracting officers',
26155:'shall ensure thatthe warranty clauseand any other warranty conditions in the contract e.g., in the specifications or an inspection clause',
26156:'are consistent. to the extentpracticable, all of the warranties to be contained in the contract should be expressed in the',
26157:'warranty clause. 46.707pricing aspects of fixedprice incentive contract warranties. if a fixedprice incentive contract contains a warranty see 46.708, the',
26158:'estimated cost of the warranty to the contractor should beconsidered inestablishing theincentive target price and the ceiling price ofthe contract.',
26159:'all costs incurred, or estimated to be incurred, by the contractor in complying with the warranty shall be considered when',
26160:'establishing the total final price. contractor compliance with the warranty after the establishment of the total final price shall be',
26161:'at no additional cost to the government. 46.708 warranties ofdata. warranties ofdata shall be developed andused inaccordance withagency regulations. 46.709',
26162:'warranties ofcommercial products and commercial services. the contractingofficer should take advantage of commercial warranties,including extended warranties,where appropriate and in the',
26163:'government’s best interests, offeredby the contractorforthe repair and replacement of commercial products and commercial services see part 12. 46.710contract clauses.',
26164:'the clauses and alternates prescribed in this section may be used in solicitations and contracts in which inclusion of a',
26165:'warranty is appropriate see 46.709 for warranties for commercial products and commercial services. however, because of the many situations that',
26166:'may influence the warranty terms and conditions appropriate to a particular acquisition, the contracting officermay varythe terms and conditionsof the',
26167:'clausesandalternates to the extent necessary. thealternates prescribed in this section addressthe clauses; however, the conditionspertaining toeach alternate must be consideredif',
26168:'the terms and conditions are varied to meet a particular need. a 1thecontractingofficermayinsertaclausesubstantiallythesameastheclauseat 52.24617,warrantyof supplies of a noncomplex nature, in',
26169:'solicitations and contracts for noncomplex items when a fixedprice supply contract is contemplated and the use of a warranty clause',
26170:'has been approved under agency procedures. if the contractor’sdesign rather than the government’s design will be used, insert the word',
26171:'design before material in paragraph b1i. federal acquisition regulation 2 if it is desirable to specify that necessary transportation incident',
26172:'to correction or replacement will be at the government’s expense as might be the case if, for example, the cost',
26173:'of a warranty would otherwisebe prohibitive, the contracting officermay usethe clause withits alternate ii. 3 if the supplies cannot be',
26174:'obtained from anothersource,the contracting officermay usethe clause withits alternate iii. 4 if a fixedprice incentive contract is contemplated, the contracting',
26175:'officer may use theclause with itsalternate iv. 5 if it is anticipated that recovery of the warranted items will involve',
26176:'considerable government expense for disassembly and/orreassembly of largeritems, the contracting officer mayuse the clausewith its alternate v. b 1thecontractingofficermayinsertaclausesubstantiallythesameastheclauseat 52.24618,warrantyofsupplies',
26177:'of a complex nature, in solicitations and contracts for deliverable complex items when a fixedprice supply or research and development',
26178:'contract is contemplated and the use of a warranty clause has been approved under agency procedures. if the contractor’s design',
26179:'rather than the government’sdesign will be used, insertthe word design before material in paragraph b1. 2 if it is desirable',
26180:'to specify that necessary transportation incident to correction or replacement will be at the government’s expense as might be the',
26181:'case if, for example, the cost of a warranty would otherwisebe prohibitive, the contracting officermay usethe clause withits alternate ii.',
26182:'3 if a fixedprice incentive contract is contemplated, the contracting officer may use theclause with itsalternate iii. 4 if it',
26183:'is anticipated that recovery of the warranted item will involve considerable government expense for disassembly and/orreassembly of largeritems, the contracting',
26184:'officer mayuse the clausewith its alternate iv. c 1thecontractingofficermayinsertaclausesubstantiallythesameastheclauseat 52.24619,warrantyofsystems and equipment under performance specifications or design criteria, in solicitations',
26185:'and contracts when performance specificationsor design are of major importance; a fixedprice supply, service,or research and development contract for systems',
26186:'and equipment is contemplated; and the use of a warranty clause has been approved under agency procedures. 2 if it',
26187:'is desirable to specify that necessary transportation incident to correction or replacement will be at the government’s expense as might',
26188:'be the case if, for example, the cost of a warranty would otherwisebe prohibitive, the contracting officermay usethe clause withits',
26189:'alternate i. 3 if a fixedprice incentive contract is contemplated, the contracting officer may use theclause with itsalternate ii. 4',
26190:'if it is anticipated that recovery of the warranted item will involve considerable government expense for disassembly and/orreassembly of largeritems,',
26191:'the contracting officer mayuse the clausewith its alternate iii. d the contractingofficer may insert a clause substantially the same as',
26192:'the clauseat 52.24620, warranty of services, in solicitations and contracts for services when a fixedprice contract for services is contemplated',
26193:'and the use of warranty clause has been approved under agency procedures; unless a clause substantially the same as the',
26194:'clause at 52.24619,warranty of systems and equipment under performance specifications or design criteria, has been used. e 1thecontractingofficermayinsertaclausesubstantiallythesameastheclauseat 52.24621,warrantyof construction,',
26195:'in solicitations and contracts when a fixedprice construction contract see 46.705c is contemplated and the use of a warranty clause',
26196:'has been approved under agency procedures. 2 if the government specifies in the contract the use of any equipment by',
26197:'brand name and model, the contracting officer may use the clausewith its alternate i. subpart 46.8 contractor liability for loss',
26198:'of or damage to property of the government 46.805 subpart 46.8 contractor liability for loss of or damage to property',
26199:'of the government 46.800scope of subpart. this subpart prescribes policies and procedures for limiting contractor liability for loss of or',
26200:'damage to property of the government that a occurs after acceptance and b results from defects or deficiencies in the',
26201:'supplies delivered or services performed. 46.801 applicability. a this subpart does not apply to commercial products and commercial services. this',
26202:'subpart applies to contracts other than those for— 1 information technology, including telecommunications; 2 construction; 3 architectengineer services; and 4',
26203:'maintenance and rehabilitation ofreal property. b see subpart 46.7,warranties,forpoliciesandproceduresconcerningcontractorliabilitycausedbynonconforming technical data. 46.802definition. highvalue item, as used in this subpart, means',
26204:'a contract end item that 1 has a high unit cost normally exceeding $100,000 per unit, such as an aircraft,',
26205:'an aircraft engine, a communication system, a computer system, a missile, or a ship, and 2 is designated by thecontracting',
26206:'officer as a highvalue item. 46.803 policy. a general. the government will generally act as a selfinsurer by relieving contractors,',
26207:'as specified in this subpart, of liability for loss of or damage to property of the government that 1 occurs',
26208:'after acceptance of supplies delivered or services performed under a contract and 2 results from defects ordeficiencies in the suppliesor',
26209:'services. however, the government will not relieve the contractor of liability for loss of or damage to the contract end',
26210:'item itself, except for highvalue items. b highvalue items. in contracts requiring delivery of highvalue items, the government will relieve',
26211:'contractors of contractualliability for lossof or damage to those items. however, thisrelief shall not limit thegovernment’s rights arising under the',
26212:'contract to 1 have any defective item or its components corrected, repaired, or replaced when the defect or deficiency is',
26213:'discovered before the loss of or damage to a highvalue item occurs; or 2 obtain equitable relief when the defect',
26214:'or deficiency is discovered after such loss or damage occurs. c exception. the government will not provide contractual relief under',
26215:'paragraphs a and b of this section when contractor liability can be preserved without increasing the contract price. d limitations.',
26216:'subject to the specific terms of the limitation of liability clause included in the contract, the relief provided under paragraphs',
26217:'a and b of this section does not apply 1 to the extent that contractor liability is expressly provided under',
26218:'acontract clause authorized bythisregulation; 2 when adefector deficiency in, or government’sacceptance of, the suppliesor services results from willful misconduct or',
26219:'lack of good faithon the part of the contractor’s managerialpersonnel; or 3 to the extent that any contractor insurance, or',
26220:'selfinsurance reserve, covers liability for loss or damage suffered by the government through purchase or use of the supplies delivered',
26221:'or services performed under the contract. 46.804[reserved] 46.805contract clauses. a contracts that exceed the simplified acquisition threshold. the contracting officer',
26222:'shall insert theappropriate clause or combination of clauses specified in paragraphs a1 through a5 of this section in solicitations and',
26223:'contracts when the contract amount is expected to be in excess of the simplified acquisition threshold and the contract is',
26224:'subject to the requirements of this subpart as indicated in 46.801: federal acquisition regulation 1 in contracts requiring delivery of',
26225:'end items that are not highvalue items, insert the clause at 52.24623, limitation of liability. 2 in contracts requiring delivery',
26226:'of highvalue items, insert the clause at 52.24624, limitation of liabilityhigh valueitems. 3 in contracts requiring delivery of both highvalue',
26227:'items and other end items, insert both clauses prescribed in a 1 and a2 of this section, alternatei of the',
26228:'clause at 52.24624, and identify clearly in the contract schedule the line items designated as highvalue items. 4 in contracts',
26229:'requiring the performance of services, insert the clause at 52.24625, limitation of liabilityservices. 5 in contracts requiring both the performance',
26230:'of services and the delivery of end items, insert the clause prescribed in paragraph a4 of this section and the',
26231:'appropriate clause or clauses prescribed in paragraph a1, 2, or 3 of this section, and identify clearly in the contract',
26232:'schedule any highvalue line items. b acquisitions at or below the simplified acquisition threshold. the clauses prescribed by paragraph a',
26233:'of this section arenot required for contracts at or below the simplifiedacquisitionthreshold. however, in responseto a contractor’s specific request, the',
26234:'contracting officer may insert theclauses prescribed in paragrapha1 or a4 of this sectionin a contract ator below the simplified acquisition',
26235:'threshold and may obtain any price reduction that is appropriate. part 47 transportation sec. 47.000 scope of part. subpart 47.3',
26236:'transportation 47.001 definitions. in supply contracts 47.002 applicability. 47.300 scope of subpart. 47.301 general. subpart 47.1 general 47.3011 responsibilities of',
26237:'contracting officers. 47.101 policies. 47.3012 participation of transportation officers. 47.102 transportation insurance. 47.3013 using the defense transportation system 47.103 transportation',
26238:'payment and audit dts. regulation. 47.302 place of deliveryf.o.b. point. 47.1031 general. 47.303 standard delivery terms and contract clauses. 47.1032',
26239:'contract clause. 47.3031 f.o.b. origin. 47.104 government rate tenders under sections 47.3032 f.o.b. origin, contractor’s facility. 10721 and 13712 of',
26240:'the interstate commerce 47.3033 f.o.b. origin, freight allowed. act 49 u.s.c. 10721 and 13712. 47.3034 f.o.b. origin, freight prepaid. 47.1041',
26241:'government rate tender procedures. 47.3035 f.o.b. origin, with differentials. 47.1042 fixedprice contracts. 47.3036 f.o.b. destination. 47.1043 costreimbursement contracts. 47.3037 f.o.b.',
26242:'destination, within consignee’s 47.1044 contract clauses. premises. 47.1045 citation of government rate tenders. 47.3038 f.a.s. vessel, port of shipment. 47.105',
26243:'transportation assistance. 47.3039 f.o.b. vessel, port of shipment. 47.30310 f.o.b. inland carrier, point of exportation. subpart 47.2 contracts for transportation',
26244:'47.30311 f.o.b. inland point, country of importation. or for transportationrelated services 47.30312 ex dock, pier, or warehouse, port of 47.200',
26245:'scope of subpart. importation. 47.201 definitions. 47.30313 c. & f. destination. 47.202 presolicitation planning. 47.30314 c.i.f. destination. 47.203 [reserved] 47.30315',
26246:'f.o.b. designated air carrier’s terminal, point 47.204 singlemovement contracts. of exportation. 47.205 availability of term contracts and basic 47.30316 f.o.b.',
26247:'designated air carrier’s terminal, point ordering agreements for transportation or for of importation. transportationrelated services. 47.30317 contractorprepaid commercial bills of',
26248:'47.206 preparation of solicitations and contracts. lading, small package shipments. 47.207 solicitation provisions, contract clauses, and 47.304 determination of delivery',
26249:'terms. special requirements. 47.3041 general. 47.2071 qualifications of offerors. 47.3042 shipments within conus. 47.2072 duration of contract and time of',
26250:'47.3043 shipments from conus for overseas performance. delivery. 47.2073 description of shipment, origin, and 47.3044 shipments originating outside conus. destination.',
26251:'47.3045 exceptions. 47.2074 determination of weights. 47.305 solicitation provisions, contract clauses, and 47.2075 contractor responsibilities. transportation factors. 47.2076 rates and',
26252:'charges. 47.3051 solicitation requirements. 47.2077 liability and insurance. 47.3052 solicitations f.o.b. origin and f.o.b. 47.2078 government responsibilities. destinationlowest overall cost.',
26253:'47.2079 annotation and distribution of shipping and 47.3053 f.o.b. origin solicitations. billing documents. 47.3054 f.o.b. destination solicitations. 47.20710 discrepancies incident',
26254:'to shipments. 47.3055 destination unknown. 47.20711 volume movements within the contiguous 47.3056 shipments to ports and air terminals. united states.',
26255:'47.3057 quantity analysis, direct delivery, and 47.208 report of shipment repship. reduction of crosshauling and backhauling. 47.2081 advance notice. 47.3058',
26256:'consolidation of small shipments and the use 47.2082 contract clause. of stopoff privileges. 47.3059 commodity description and freight classification. 47.30510',
26257:'packing, marking, and consignment instructions. 47.30511 options in shipment and delivery. 47.30512 delivery of governmentfurnished property. 47.30513 transit arrangements. 47.30514',
26258:'mode of transportation. 47.30515 loading responsibilities of contractors. 47.30516 shipping characteristics. 47.30517 returnable cylinders. 47.306 transportationfactorsintheevaluationof offers. 47.3061 transportation cost',
26259:'determinations. 47.3062 lowest overall transportation costs. 47.3063 adequacy of loading and unloading facilities. subpart 47.4 air transportation by u.s.flag carriers',
26260:'47.401 definitions. 47.402 policy. 47.403 guidelines for implementation of the fly america act. 47.4031 availability and unavailability of u.s.flag air',
26261:'carrier service. 47.4032 air transport agreements between the united states and foreign governments. 47.4033 disallowance of expenditures. 47.404 air freight',
26262:'forwarders. 47.405 contract clause. subpart 47.5 ocean transportation by u.s.flag vessels 47.500 scope of subpart. 47.501 definitions. 47.502 policy. 47.503',
26263:'applicability. 47.504 exceptions. 47.505 construction contracts. 47.506 procedures. 47.507 contract clauses. 47.000scope of part. a this part prescribes policies and',
26264:'procedures for 1 applyingtransportation and trafficmanagementconsiderations in the acquisitionof supplies;and 2 acquiring transportation or transportationrelated services by contract methods other',
26265:'than bills of lading, transportation requests, transportation warrants, andsimilar transportation forms. transportation and transportation services can be obtained byacquisitionsubject to',
26266:'the far or by acquisition under 49 u.s.c. 10721 or 49 u.s.c. 13712. even though thefar does not regulate the',
26267:'acquisition of transportation or transportationrelatedservices when the bill of lading is the contract, this contract method is widely used and,',
26268:'therefore, relevant guidance on the use of the bill of lading is provided in this part see 47.104. b the',
26269:'definitions in this part have been condensed from statutory definitions. in case of inconsistency between the language of this part',
26270:'and the statutory requirements, the statute shall prevail. 47.001definitions. as used in this part bill of lading means a transportation',
26271:'document, used as a receipt of goods, as documentary evidence of title, for clearing customs, and generally used as a',
26272:'contract of carriage. 1 commercial bill of lading cbl, unlike the government bill of lading, is not an accountable transportation',
26273:'document. 2 government bill of lading gbl is an accountable transportation document, authorized and prepared by a government official. carrier',
26274:'or commercial carrier meansa commoncarrieror acontract carrier. common carrier means a person holding itself out to the general public to',
26275:'provide transportation for compensation. contract carrier means a person providing transportation for compensation under continuing agreements with one person or',
26276:'a limited number of persons. government rate tender under 49 u.s.c. 10721 and 13712means an offerby acommon carrier to the',
26277:'united states ata ratebelow the regulated rate offered to the general public. household goods in accordance with 49 u.s.c. 13102',
26278:'means personal effects andpropertyused or to be used in a dwelling, when a part ofthe equipment orsupplyof such dwelling, and',
26279:'similar property if thetransportation of sucheffects or property is arranged and paid for by 1 the householder, except such termdoes',
26280:'not include property movingfrom a factoryor store, other than property that the householder has purchased with the intent to use',
26281:'in his or her dwelling and is transported at the request of, and the transportation charges are paidto thecarrierby, the',
26282:'householder; or 2 another party. noncontiguous domestic trade means transportation except with regard to bulk cargo, forest products, recycledmetal scrap,',
26283:'waste paper, and paper waste subjectto regulation bythe surface transportation boardinvolving traffic originating in or destined to alaska, hawaii, or',
26284:'a territory or possession of the united states see 49 u.s.c. 1310215 and 13702. released or declared value means the',
26285:'assigned value of the cargo for reimbursement purposes, not necessarily the actual value of the cargo. released value may be',
26286:'more or less than the actual value of thecargo. the released value is the maximum amount that could be recovered',
26287:'by the agency in the event of loss or damage for the shipments of freight and household goods. 47.002 applicability.',
26288:'all government personnel concerned with the following activities shall follow the regulations in part 47 as applicable: a acquisition of',
26289:'supplies. b acquisition of transportation and transportationrelated services. c transportation assistance and traffic management. d administration of transportation contracts, transportationrelated',
26290:'services, and other contracts that involve transportation. e the making and administration of contracts under which payments are made from',
26291:'government funds for 1 the transportation of supplies; 2 transportationrelated services; or 3 transportation of contractor personnel and their personalbelongings.',
26292:'federal acquisition regulation subpart 47.1 general 47.101policies. a for domestic shipments,the contracting officershallauthorize shipmentson commercial bills of ladingcbl’s. government bills',
26293:'ofladinggbl’s maybe used for international or noncontiguous domestic trade shipments or when otherwise authorized. b the contract administration office cao',
26294:'shall ensurethat instructionsto contractors resultin themost efficient and economicaluse oftransportation services and equipment. transportation personnelwill assist and provide transportation management',
26295:'expertise to the cao. specific responsibilities and details on transportation management are located in the federalmanagement regulation at 41 cfr',
26296:'parts 102117 and 102118. for thedepartment ofdefense, dod 4500.9r, defense transportation regulation. c thecontracting officer shall obtain trafficmanagementadviceand assistance see',
26297:'47.105 in the consideration of transportation factors required for 1 solicitations and awards; 2 contract administration, modification, and termination; and',
26298:'3 transportation of property bythe government to and fromcontractors’ plants. d 1thepreferredmethodoftransportingsuppliesforthegovernmentisbycommercialcarriers. however, governmentowned, leased, or chartered vehicles, aircraft, and',
26299:'vessels may be used if i they are available and not fully utilized; ii their use will result in substantial',
26300:'economies; and iii their use is in accordance with all applicable statutes, agency policies and regulations. 2 if the three',
26301:'circumstances listed in paragraph d1 of this section apply, government vehicles may be used for purposes such as i local',
26302:'transportation of supplies between government installations; ii pickup and delivery services that commercial carriers do not perform in connection with',
26303:'linehaul transportation; iii transportation of supplies to meet emergencies; and iv accomplishment of program objectives that cannot be attained by',
26304:'using commercial carriers. e agencies shall not accord preferential treatment to any mode of transportation or to any particular carrier',
26305:'either in awarding or administering contracts for the acquisition of supplies or in awarding contracts for the acquisition of transportation.',
26306:'see subparts 47.2 and 47.3forsituationsinwhichthecontractingofficerispermittedtousespecificmodes of transportation. f agencies shall place with small business concerns purchases and contracts for transportation',
26307:'and transportationrelated services as prescribed in part 19. g agencies shall comply with theflyamerica act, the cargo preference act,andrelated statutes',
26308:'as prescribed in subparts 47.4,airtransportationbyu.s.flagcarriers,and 47.5,oceantransportationbyu.s.flagvessels. h when a contract specifies delivery of supplies f.o.b. origin with transportation costs to',
26309:'be paid by the government, the contractor shall make shipments on bills of lading, or on other shipping documents prescribed',
26310:'by military surface deployment and distribution command sddc in the case of seavan containers, either at the direction of or',
26311:'furnished by thecao orthe appropriate agencytransportation office. 47.102 transportation insurance. a the government generally 1 retains the risk of loss',
26312:'of and/or damage to its property that is not the legal liability of commercial carriers and 2 does not buy',
26313:'insurance coverage for its property in the possession of commercial carriers 40 u.s.c. 17307. see part 28, bonds and insurance.',
26314:'b under special circumstances the government may, if suchaction is considerednecessary and in the government’s interest, 1 buy insurance coverage',
26315:'for government property or 2 require the carrier to i assume full responsibility for lossof or damage to the government',
26316:'property in its possession and iibuy insurance to coverthe carrier’s assumed responsibility. the cost of this insurance tothe carrier shall',
26317:'be part of the transportation cost. the secretaryof the treasury prescribes regulations regarding shipments of valuables in 31 cfr parts',
26318:'361 and 362. c 1ifspecialcircumstancesdictatetheneedforthegovernmenttobuyinsurancecoverage,thecontractingofficer shall ascertain that i there is no statutory prohibition; and subpart 47.1 general 47.104 ii',
26319:'funds for insurance are available. 2 the contractingofficer shall document the need andauthorizationforinsurance coveragein the contractfile. 47.103 transportation payment and',
26320:'audit regulation. 47.1031 general. a 1 regulations and procedures governing the bill of lading, documentation, payment, and audit of transportation',
26321:'services acquired by the united states government are prescribed in 41 cfr part 102118, transportation payment and audit. 2 for',
26322:'dodshipments, corresponding guidanceis in dod 4500.9r, defense transportation regulation, part ii. b under 31 u.s.c. 3726, all agencies are required',
26323:'to establish a prepayment audit program. for details on the establishment of a prepayment audit, see 41 cfr part 102118.',
26324:'c the agency designated in paragraph a3 of the clause at 52.24767 shall forward original copies of paid freight bills/',
26325:'invoices, bills of lading, passenger coupons, and supporting documents as soon as possible following the end of the month, in',
26326:'one package for postpaymentaudit to the general services administration, transportation audit division qmca, crystal plaza 4, room 300, 2200 crystaldrive,',
26327:'arlington, va 22202. the specified agency shall include the paid freight bills/invoices, bills of lading, passenger coupons, and supporting documents',
26328:'for firsttier subcontractors under a cost reimbursement contract. if the inclusion of the paid freight bills/invoices, bills of lading, passenger',
26329:'coupons, and supporting documents for any subcontractor in the shipment is not practicable, the documents may be forwarded to gsa',
26330:'in a separate package. d any original transportation billsor other documents requested by gsa shall be forwarded promptly. the specified',
26331:'agency shall ensure that the name of the contracting agency is stamped or written on the face of the bill',
26332:'before sending it to gsa. e a statement prepared in duplicate by the specified agency shall accompany each shipment of',
26333:'transportation documents. gsa will acknowledge receipt of the shipment by signing and returning the copy of the statement. the statement',
26334:'shall show 1 the name and address of the specified agency; 2 the contract number, including any alphanumeric prefixidentifying the',
26335:'contractingoffice; 3 the name andaddress of the contracting office; 4 the total number of bills submitted with the statement; and',
26336:'5 a listing of the respective amounts paid or, in lieu of such listing,an adding machine tapeof the amounts paid',
26337:'showing the contractor’s voucher orchecknumbers. 47.1032 contract clause. complete and insert the clause at 52.24767, submission of transportation documents for',
26338:'audit, in solicitations and contracts when a costreimbursement contract is contemplated and the contract or a firsttier costreimbursement subcontract thereunder',
26339:'will authorize reimbursement of transportation asa directcharge to the contractor subcontract. 47.104 governmentrate tenders under sections 10721 and 13712of the',
26340:'interstate commerce act 49u.s.c. 10721 and 13712. a this section explains statutory authorityforcommon carriers subject to the jurisdiction of thesurface',
26341:'transportation board motor carrier, water carrier, freight forwarder, railcarrier to offer totransport persons or property for the account of theunited',
26342:'stateswithout charge or at a rate reduced from the applicable commercial rate. reduced ratesare offered in a government rate tender.',
26343:'additional informationforcivilian agencies isavailable in the federal managementregulation 41 cfr parts 102117 and102118 and for dod in the defense transportation',
26344:'regulationdod 4500.9r. b reduced rates offered in a government rate tenderare authorized for transportation provided bya rail carrier, for the',
26345:'movement of household goods, and for movement by or with a water carrier in noncontiguous domestic trade. 1 for government',
26346:'rate tenderssubmitted by arail carrier, a rate reduced from theapplicable commercial rate is a rate reduced from a rate regulated',
26347:'by thesurface transportation board. 2 for government rate tenders submitted for the movement of household goods, a rate reduced from',
26348:'the applicable commercial rate is a ratereduced froma rate contained in apublished tariff subjectto regulation bythe surface transportation board. 47.1041',
26349:'federal acquisition regulation 3 for government rate tenders submitted for movement by or with a water carrier in noncontiguous domestic',
26350:'trade, a ratereduced from the applicable commercialrate is a ratereduced from a rate contained in a published tariff required to',
26351:'be filed with the surface transportation board. 47.1041government rate tender procedures. a 49 u.s.c. 10721 and 13712 rates are published',
26352:'in government rate tenders and apply to shipments moving for the account of the government on 1 commercial bills of',
26353:'ladingendorsed to show that total transportation chargesare assignableto, and will be reimbursedby, the government seethe clause at 52.2471, commercial bill',
26354:'of lading notations; and 2 government bills of lading. b agencies may negotiate with carriers for additional or revised 49',
26355:'u.s.c. 10721 and 13712 rates in appropriate situations. only personnel authorized in agency procedures may carry out these negotiations. the',
26356:'following are examples of situations in which negotiations for additional or revised 49 u.s.c. 10721 and 13712 rates may be',
26357:'appropriate: 1 volumemovements areexpected. 2 shipments will be made on a recurring basis between designated places, and substantial savings in',
26358:'transportation costs appear possible even though a volume movement is not involved. 3 transit arrangements are feasible and advantageous to',
26359:'the government. 47.1042 fixedprice contracts. a f.o.b. destination. 49 u.s.c. 10721 and 13712 rates do not apply to shipments under',
26360:'fixedprice f.o.b. destination contracts delivered price. b f.o.b. origin. ifitis advantageous to the government, the contractingofficer may occasionally require the',
26361:'contractor to prepaythe freight charges to a specific destination. in such cases, the contractor shall use acommercial bill of lading',
26362:'and be reimbursed for the direct and actual transportation cost as a separate item in the invoice. the clause at',
26363:'52.2471, commercial bill of lading notations, will ensure that the government in this type of arrangement obtains the benefit of',
26364:'49 u.s.c. 10721 and 13712 rates. 47.1043costreimbursement contracts. a 49 u.s.c. 10721 and 13712 rates may be applied to shipments',
26365:'other than those made by the government if the total benefit accrues to the government, i.e., the government shall pay',
26366:'the charges or directly and completely reimburse theparty that initially bears the freight charges. therefore, 49 u.s.c. 10721 and 13712',
26367:'rates may be used for shipments moving on commercial bills of lading in cost reimbursement contracts under which the transportation',
26368:'costs are direct and allowable costs under the cost principles of part 31. b 49 u.s.c. 10721 and 13712 rates',
26369:'may beapplied to the movement of household goods and personal effects of contractor employees who are relocated for the convenience',
26370:'and at the direction of the government and whose total transportation costs are reimbursed by the government. c the clause',
26371:'at 52.2471, commercial bill of lading notations, will ensure that the government receives the benefit of lower 49 u.s.c. 10721',
26372:'and 13712 rates in costreimbursement contracts as described in paragraphs a and b of this section. d contracting officersshall 1',
26373:'includein contracts a statement requiring the contractor to use carriers that offer acceptable serviceat reduced rates if available; and 2',
26374:'ensure that contractors receive the name and location of the transportation officer designated tofurnish support and guidance when using government',
26375:'rate tenders. e thetransportation office shall 1 advise and assist contracting officers and contractors; and 2 make available to contractors',
26376:'the names of carriers that provide service under 49 u.s.c. 10721 and 13712 rates, cite applicable rate tenders, andadvise contractors',
26377:'of the statement that must be shown on the carrier’scommercial bill of lading see the clause at 52.2471, commercial bill',
26378:'of lading notations. 47.1044 contract clauses. a in order to ensure the application of 49 u.s.c. 10721 and 13712 rates,',
26379:'where authorized see 47.104b, insert the clause at 52.2471, commercial bill of lading notations, in solicitations and contracts when the',
26380:'contracts will be subpart 47.1 general 47.105 1 costreimbursement contracts, including those that may involve the movement of household goods',
26381:'see 47.1043b; or 2 fixedprice f.o.b. origin contracts other than contracts at or below the simplified acquisition threshold see 47.1042b',
26382:'and 47.1043. b the contractingofficer may insert the clause at 52.2471, commercial bill of lading notations, in solicitations and contracts',
26383:'made at or below the simplified acquisition threshold when it is contemplated that the delivery terms will be f.o.b. origin.',
26384:'47.1045 citation of government rate tenders. when 49 u.s.c. 10721 and 13712 ratesapply, transportation offices or contractors, as appropriate, shall',
26385:'identify the applicable government rate tender by endorsement on bills of lading. 47.105 transportation assistance. a civilian government activities that',
26386:'do not have transportation officers, or otherwise need assistance ontransportation matters, shall obtain assistance from 1 the gsa regional federal',
26387:'supply service bureau that provides support to the activity or 2 the transportationelement of thecontract administration office designated in the',
26388:'contract. b military installations shall obtaintransportation assistance from the transportation office ofthe contracting activity, unless another military activity has been',
26389:'designated as responsible for furnishing assistance, guidance, or data. military transportation offices shall request needed additional aid from the military',
26390:'surface deploymentanddistribution command sddc. this page intentionally left blank. 47.16 subpart 47.2 contracts for transportation or for transportationrelated services 47.204',
26391:'subpart 47.2 contracts for transportation or for transportationrelated services 47.200scope of subpart. a this subpart prescribes procedures for the acquisition',
26392:'by sealed bid or negotiated contracts of 1 freight transportation including local drayage from rail, motor including bus, domestic water',
26393:'including inland, coastwise, and intercoastal carriers, and from freight forwarders; and 2 transportationrelated services includingbut not limitedto stevedoring, storage, packing,marking,',
26394:'and ocean freight forwarding. b except as provided in paragraph c of this section, this subpart does not apply to',
26395:'1 the acquisition of freight transportation from i domestic or international air carriers; and ii international ocean carriers see subparts',
26396:'47.4 and 47.5; 2 freight transportation acquired by bills of lading; 3 household goods for which rates are negotiated under',
26397:'49 u.s.c. 10721 and 13712. these statutes do not apply in intrastate moves; or 4 contracts at or below the',
26398:'simplified acquisition threshold. c with appropriate modifications,the procedures in this subpart may beapplied to the acquisitionof freight transportation from the',
26399:'carriers listed in paragraph b1 of this section and passenger transportation from any carrier or mode. d the procedures in',
26400:'this subpart are applicable to the transportation of household goods of persons being relocated at government expense except when acquired',
26401:'1 under thecommuted rate schedules as required in the federal travel regulation 41 cfr chapter 302; 2 by dod under',
26402:'the dod 4500.9r, defense transportationregulation; or 3 under 49 u.s.c. 10721 and 13712 rates. these statutes do not apply in',
26403:'intrastate moves. e additional guidancefordod acquisitionof freightandpassenger transportation is in the defense transportation regulation. 47.201definitions. as used in this subpart',
26404:'general freight means supplies, goods, and transportable property not encompassed in the definitions of household goods or office furniture. office',
26405:'furniture means furniture, equipment, fixtures, records, and other equipment and materials used in government offices, hospitals, andsimilar establishments. 47.202 presolicitationplanning.',
26406:'contracting officersshallinform activities that plan to acquire transportation or transportationrelated services of the applicable leadtime requirements, that is a theservice',
26407:'contract labor standards statute requirement to obtain awage determination by accessing thewage determinations at sam.gov website https://www.sam.gov using thewage determinations',
26408:'atsam.gov process or by submitting a request directly to the department of labor on this website using the e98 process',
26409:'before the issuance of an invitation for bid, request for proposal, or commencement of negotiations for any contract exceeding $2,500',
26410:'that may be subject to the service contract labor standards statute see subpart 22.10; b the possible requirement to provide,',
26411:'during thesolicitation period,time for prospective offerors or contractors to inspect origin and destination locations; or c the possible requirement for',
26412:'inspection by agency personnel of prospective contractor facilities and equipment. 47.203[reserved] 47.204singlemovement contracts. singlemovement contracts may be awarded for unique',
26413:'transportation services that are not otherwise available under carrier tariffs or covered by dod or gsa contracts; e.g., special requirements',
26414:'at origin and/or destination. federal acquisition regulation 47.205 availability of term contracts andbasic ordering agreements for transportation or fortransportationrelated services.',
26415:'a all government agencies may contract for transportation or for transportationrelated services and execute basic orderingagreementsboa’ssee subpart 16.7unlessagencyregulationsprescribeotherwise. however,itisgenerally more',
26416:'economical andefficient for most agencies to make useof term contracts andbasic ordering agreements that have been executed by agencies that',
26417:'employ personnel experienced in contracting for transportation or for transportationrelated services. the department of defense dod and the general services',
26418:'administration gsa contract for transportation or for transportationrelated services on behalf of other activities and agencies. for instance, gsa awards',
26419:'term contracts for services suchas local drayage, office moves, and oceanfreightforwarding see 47.105 for assistance. b agencies may obtain transportation',
26420:'or transportationrelated services for which the cost does not exceed the simplified acquisition threshold if term contracts or basic ordering',
26421:'agreements are not available. 47.206 preparationof solicitationsand contracts. a contracting officers shall prepare solicitations and contractsfortransportation or for transportationrelated services',
26422:'as prescribed elsewhere in the far for fixedprice servicecontracts to the extent thatthose requirementsare applicable and not inconsistent with the',
26423:'requirements in subpart 47.2. b in addition, the contractingofficer shall includein solicitations and contractsfortransportation or for transportation related services provisions,',
26424:'clauses, and instructions as prescribed in section 47.207. 47.207 solicitation provisions, contract clauses, and special requirements. the contractingofficer shall includeprovisions,',
26425:'clauses, and special requirements in solicitations and contractsfor transportation or for transportationrelated services as prescribed in 47.2071 through 47.2079. 47.2071qualifications',
26426:'of offerors. a operating authorities. the contracting officershallinsert the clauseat 52.2472, permits, authorities, or franchises, when regulated transportation is involved.',
26427:'the clauseneednot be used when a federal officemove is intrastate andthe contracting officerdeterminesthat it is in thegovernment’s interest not to',
26428:'applythe requirement for holding or obtaining state authority to operate within the state. b performance capability for federaloffice moving contracts.',
26429:'1 the contracting officer shall insert the clause at 52.2473, capability to perform a contract for the relocation of a',
26430:'federaloffice, whena federal office isrelocated, to ensure that offerors are capable to perform interstateor intrastatemoving contracts involving the relocation offederal',
26431:'offices. 2 if a federaloffice move is intrastate and thecontracting officer determines thatitis in the government’sinterest not to apply the',
26432:'requirements for holding or obtaining state authority to operate within the state, and to maintain a facility within thestate or',
26433:'commercialzone, the contracting officer shall use the clause with its alternatei. c inspection of shipping and receiving facilities.the contracting officer',
26434:'shall insert theprovision at 52.2474, inspection of shipping and receiving facilities, when it isdesired for offerors to inspect the shipping,',
26435:'receiving, orothersites to ensure realistic bids. d familiarization with conditions. thecontracting officer shall insert the clause at 52.2475, familiarization with',
26436:'conditions, to ensure thatofferorsbecome familiar with conditions underwhich and where the serviceswill be performed. e financial statement.the contracting officer shall',
26437:'insert the provision at 52.2476, financial statement, to ensure that offerors arepreparedto furnish financial statements. 47.2072 duration of contract and',
26438:'time of performance. the contractingofficer shall a establish a specific expiration date month, day, and year for the contractor state',
26439:'thelength of time that the contract will remain in effect; e.g.,6 months commencing from the date of award; and b',
26440:'include the following items as appropriate: 1 a statement of the time period during which the service is required when',
26441:'the service is a onetime job; e.g.,a routine officerelocation. 2 a time schedule for the performance of segments of a',
26442:'major job; e.g., an office relocation for which the work phases must be coordinated tomeet other needs ofthe agency. 3',
26443:'statements of performance times for particular services; e.g., pickup and delivery services. specify i on which days of the week',
26444:'and during which hours of the day pickup and delivery services may be required; subpart 47.2 contracts for transportation or',
26445:'for transportationrelated services 47.2075 ii the maximum time allowable to the contractor for accomplishing delivery under regular or priority service;',
26446:'and iii how much advance notice the contractor will be given for regular pickup services and, if applicable, priority pickup',
26447:'services. 47.2073 description of shipment, origin, and destination. a origin of shipments.the contracting officer shall include in solicitations full details',
26448:'regarding thelocation from which thefreight is to be shipped. for example,if a single locationis shown, furnish theshipper’s name, street address,city,state,',
26449:'and zip code. if several or indefinite locations are involved, as in the case of multiple shippers or drayage contracts,',
26450:'describe the area of origin including boundaries and zip codes. b destination of shipments. the contracting officer shall include full',
26451:'details regardingdelivery points. for example,if a single delivery point is shown, furnish the consignee’sname,streetaddress, city, state, and zip code. if',
26452:'severalor indefinite delivery points are involved, describe the delivery area, including boundaries and zip codes. c description of the freight.',
26453:'the contracting officershallinclude in solicitations 1 an inventory if the freight consists of nonbulk items; and 2 the freight classification',
26454:'description,which should be obtained fromthe transportation office. if afreight classification description is not available, use a clear nontechnical description. include',
26455:'additional details necessary to ensure that the prospective offerors have completeinformationabout the freight; e.g., size, weight, hazardous material, whether packed',
26456:'for export, or unusual value. d exclusion of freight. thecontracting officer shall 1 clearly identify any freight or types of',
26457:'shipments that are subject to exclusion; e.g., bulk freight, hazardous commodities, or shipments under or over specified weights; and 2',
26458:'insert a clause substantially the same as the clause at 52.2477, freight excluded, when any commodities or types of shipments',
26459:'have been identified for exclusion. e quantity. 1 the contractingofficer shall state the actual weight ofthe freight or a reasonably',
26460:'accurate estimate. the following are examples: i if the contract covers transportation services required over an extended period of time,',
26461:'include a schedule of actual or estimated tonnage or number of items to be transported per week, month, or other',
26462:'time period. ii if the contract covers a group movement of household goods, give an estimate of the aggregate weights',
26463:'and the basis for determining the aggregate weight. 2 the contractingofficer shall insertthe clause at 52.2478, estimated weights or quantities',
26464:'not guaranteed, when weights or quantities are estimates. 47.2074determination ofweights. the contractingofficer shall specify inthe contract the method of determining',
26465:'the weights of shipments asappropriatefor the kind of freight involved and the type of service required. a shipments of freight',
26466:'other than household goods and office furniture. 1 the contracting officer shall insert the clause at 52.2479, agreed weight—general freight,',
26467:'when the shipping activity determines theweight of shipments of freight other than householdgoods or office furniture. 2 the contractingofficer shall',
26468:'insertthe clause at 52.24710,netweight—general freight,when the weight of shipmentsof freightotherthan household goods or officefurniture is not known at the time',
26469:'of shipment and the contractor is responsible for determining the net weight of the shipments. b shipments of household goods',
26470:'or office furniture. the contractingofficer shall insertthe clause at 52.24711, net weight—householdgoods or office furniture, when movementsof government employees household',
26471:'goods or relocations of government offices are involved. 47.2075contractor responsibilities. contractor responsibilities varywith the kinds offreight to be shipped and',
26472:'services required. thecontracting officer shall specify clearly those service requirements that are not considered normal transportation or transportationrelated requirements. a',
26473:'type of equipment. if appropriate, thecontracting officer shall specify the type and size of equipmentto befurnished by the contractor. otherwise,',
26474:'state that the contractor shall furnishclean and sound closedtype equipment of sufficientsize to accommodate the shipment. 47.2076 federal acquisition regulation',
26475:'b supervision, labor, or materials. the contractingofficer shall insert a clause substantiallythe same as theclause at 52.24712, supervision,labor, or materials,',
26476:'when the contractor is requiredto furnish supervision,labor, or materials. c accessorial servicesmoving contracts. the contracting officer shall insert a clause',
26477:'substantially the sameas the clause at 52.24713,accessorial servicesmoving contracts, in contractsforthe transportation ofhousehold goods or office furniture. d receipt of',
26478:'shipment. thecontracting officer shall insert the clause at 52.24714, contractor responsibility for receipt of shipment. e loading and unloading. thecontracting',
26479:'officer shall insert the clause at 52.24715, contractor responsibility for loading and unloading, when the contractor is responsible for loading',
26480:'and unloading shipments. f return of undelivered freight. thecontracting officer shall insert the clause at 52.24716, contractor responsibility for returning',
26481:'undelivered freight, when the contractor is responsible for returning undelivered freight. 47.2076 rates and charges. a 1thecontractingofficershallincludeinthesolicitationastatementthatthechargesinthecontractshallnotexceed thecontractor’scharges for thesame',
26482:'service thatis iavailable to the generalpublic;or ii otherwise tendered to the government. 2 the contractingofficer shall insertthe clause at 52.24717,charges.',
26483:'b the contractingofficer shall includein the solicitation a tabulation listingeach required serviceand the basisforthe rate price; e.g.,unit of weight or',
26484:'per workhour, leaving sufficient space for offerors to insert the rates offeredforeach service. c the following guidelines apply to the',
26485:'composition of a tabulation of transportation or of transportationrelated services and their rate price bases: 1 combination of pricing bases.',
26486:'if various types of serviceswith different basesforassessing charges are required under the same contract, show each service separately and the',
26487:'applicable basis for that service. 2 hourly rate basis. if chargesare based onan hourly rate, state the method for charging',
26488:'for fractions of an hour; e.g. iaperiod of 30minutes or less is charged at onehalf thehourly rate;and ii the hourly',
26489:'rate applies to any portion of an hour that exceeds 30 minutes. 3 shipments of varying weights. if charges are',
26490:'based on weight and shipments will vary inweight, request rates on a graduated weightbasis. include a tableof graduated weights for',
26491:'offerors to insert rates. 4 multiple origins and/or destinations. specify whether rates are requested for each origin and/or each destination',
26492:'or for specific groups of origins and/or destinations. 5 multiple shipments from one origin. if multiple shipments will be tendered',
26493:'at one time to the contractor for delivery to two or more consignees at the same destination, request the rate',
26494:'applicable to the aggregate weight. if such shipments are for delivery to various destinations along the route between origin and',
26495:'last destination, request the rate applicable to the aggregate weight and a stopoff charge for each intermediate destination. ithe contracting',
26496:'officer shall insert the clause at 52.24718, multiple shipments, when multiple shipments are tendered at one time to the contractor',
26497:'for transportation from one origin to two or more consignees at the same destination. iithe contracting officer shall insert theclause',
26498:'at 52.24719, stopping in transit for partial unloading, when multiple shipments are tendered at one time to the contractor for',
26499:'transportation from one origin to two or more consignees along the route between origin and last destination. 6 estimated quantities',
26500:'or weights. the contracting officershallinsert in solicitations the provision at 52.24720, estimated quantitiesor weights for evaluation of offers, when quantities',
26501:'or weights of shipmentsbetween each origin and destination arenot known, stating estimated quantity or weight for each origin/destination pair. 7',
26502:'additional services. if services in addition to those covered in the basic rate are anticipated; e.g., inside delivery, state the',
26503:'conditions under which payment will be made for those services. 47.2077 liability and insurance. a thecontracting officer shall specify 1',
26504:'the contractor’s liability for injuryto personsor damage to property other than thefreight being transported; 2 the contractor’s liability for loss',
26505:'ofand/or damage to the freightbeing transported; and 3 the amount of insurance the contractor is required to maintain. subpart 47.2',
26506:'contracts for transportation or for transportationrelated services 47.20711 b when the contractor’s liability for loss of and/or damage to the',
26507:'freightbeing transported is not specified, the usual measure ofliability as prescribed in section 11706 of the interstate commerce act 49',
26508:'u.s.c. 11706 applies. c thecontracting officer shall insert the clause at 52.24721, contractor liability for personal injury and/or property damage.',
26509:'d the contractingofficer shall insertthe clause at 52.24722, contractor liability for loss of and/or damage to freight other than household',
26510:'goods, in solicitations and contracts for the transportation of freight other than household goods. e thecontracting officer shall insert the',
26511:'clause at 52.24723, contractor liability for loss of and/or damage to household goods, in solicitations and contracts for the transportation',
26512:'of household goods, including the rate per pound appropriate to the situation. f when freight is not shipped under rates',
26513:'subject to released or declared value, see 28.313a and the clause at 52.2289, cargo insurance. g when the contractingofficer determines',
26514:'that vehicular liability and/or general publicliability insurance required by law are not sufficientfora contract, see 28.313b and the clause at',
26515:'52.22810, vehicular and generalpublic liability insurance. 47.2078government responsibilities. a thecontracting officer shall state clearly the government’sresponsibilities that have a direct',
26516:'bearingon the contractor’s performanceunder thecontract; e.g., the government’sresponsibilityto notify the contractor in advance when hazardous materials are included in a',
26517:'shipment. 1 advance notification. the contracting officershallinsert the clauseat 52.24724, advance notification by the government, when the government is responsible',
26518:'for notifying the contractor of specific service times or unusual shipments. 2 government equipment with or without operators. i the',
26519:'contracting officer shall insert theclause at 52.24725, governmentfurnished equipment with or without operators, when thegovernmentfurnishes equipment with or without operators.',
26520:'ii insert the kind of equipment and the locations where the equipment will be furnished. 3 direction and marking. the',
26521:'contracting officershallinsert the clauseat 52.24726, government direction and marking,when office relocations are involved. b the contractingofficer shall insertthe clause at',
26522:'52.24727,contract not affected by oral agreement. 47.2079 annotation and distribution of shipping and billing documents. a thecontracting officer shall state',
26523:'in detail the responsibilities of thecontractor, the contracting agency, and, if appropriate, the consignee for the annotation and distribution of',
26524:'shipping and billing documents. see 41 cfr part 102118, transportation payment and audit. b in instances of mass movements of',
26525:'freight made available to the contractor at one time, it is particularly important that the contracting officerspecifiesthat bills ofladingbe crossreferenced',
26526:'so that the government benefits from applicable volume rates. c thecontracting officer shall insert the clause at 52.24728, contractor’s invoices,',
26527:'indrayage or other term contracts. 47.20710 discrepanciesincident to shipments. discrepancies incident to shipment include overage, shortage, loss, damage, and other',
26528:'discrepancies between the quantity and/or condition of supplies received from commercial carrier and the quantity and/or condition of these supplies',
26529:'as shown on the covering bill of lading or other transportation document. regulations and procedures for reporting and adjusting discrepancies',
26530:'in government shipments are in 41cfr parts 102117 and 118. for the department of defense dod, see dod 4500.9r, defensetransportation',
26531:'regulation,partii, chapter 210. 47.20711volume movements within the contiguous unitedstates. a for purposes of contract administration, a volume movement is 1',
26532:'in dod, the aggregate of freight shipments amounting to or exceeding 25 carloads, 25 truckloads, or 500,000 pounds, to move',
26533:'during the contract period from one origin point for delivery to one destination point or area; and 2 in civilian',
26534:'agencies, 50 short tons 100,000 pounds in the aggregate to move during the contract period from one origin point for',
26535:'delivery to one destination point or area. b transportation personnel assigned to or supporting the cao, orappropriateagency personnel,shallreport plannedand actual',
26536:'volume movements in accordance with agency regulations. dod activities report to the military surface deployment federal acquisition regulation and distribution',
26537:'command sddc under dod 4500.9r, defense transportation regulation. civilianagencies reportto the localoffice of gsa’s office of transportation see www.gsa.gov/transportation click',
26538:'on transportation management zone offices in lefthand column, then click ontransportation management zones under contacts on righthand column. 47.208report of',
26539:'shipment repship. 47.2081 advance notice. military and as required, civilian agency storage and distribution points, depots, and other receiving activities',
26540:'require advancenotice of shipmentsen route fromcontractors’ plants. generally, this notificationis required only for classified material; sensitive, controlled, and certain other',
26541:'protected material; explosives, and some other hazardous materials; selected shipments requiring movement control; or minimum carload or truckload shipments. it',
26542:'facilitates arrangements for transportation control, labor, space, and use of materials handling equipment at destination. also, timely receiptof notices by',
26543:'theconsignee transportationoffice precludes the incurring of demurrageandvehicle detention charges. 47.2082 contract clause. the contractingofficer shall insertthe clause at 52.24768, report',
26544:'of shipment repship, in solicitations and contracts when advance notice of shipment is required for safety or security reasons, or',
26545:'where carload or truckload shipments will be made to dodinstallationsor, asrequired,to civilianagency facilities. subpart 47.3 transportation in supply contracts 47.3013',
26546:'subpart 47.3 transportation in supply contracts 47.300scope of subpart. a this subpart prescribespolicies and procedures for the applicationof transportation and',
26547:'traffic management considerations in the acquisition of supplies. the terms and conditions contained in this subpart are applicable to fixedprice',
26548:'contracts. b if a special requirement exists for application of any of these terms and conditions to other types of',
26549:'contracts; e.g., costreimbursement contracts, for which transportation arrangements are normally the responsibility of the contractor and transportation costs are allowable,',
26550:'the contracting officer shall use theterms and conditions prescribed in this subpart asa guide for 1 contract coverage of transportation;',
26551:'and 2 instructions to the contractor to minimize the ultimate transportation costs to the government. 47.301general. a transportation andtraffic management',
26552:'factorsare important in awarding and administering contractsto ensure that 1 acquisitions are made on the basis most advantageous to the',
26553:'government and 2 supplies arrive in good order and condition and on time at the required place. see 47.104 for',
26554:'possible reduced transportation rates for government shipments. b the requiring activity shall 1 consider all transportation factors including present and',
26555:'future requirements, positioning of supplies, and subsequent distribution to the extent known or ascertainable; and 2 provide thecontracting office with',
26556:'information and instructions reflecting transportation factorsapplicable to the particular acquisition. 47.3011 responsibilities of contracting officers. a contracting officers shall obtain',
26557:'from traffic management offices transportation factorsrequired for 1 solicitations and awards; and 2 contract administration, modification, and termination, including the',
26558:'movement of property by the government to and from contractors’ plants. b contracting officersshallrequest transportation office participation especially before making',
26559:'an initial acquisition of supplies that are unusuallylarge, heavy, high, wide, or long; have sensitive or dangerous characteristics; or lend',
26560:'themselves to containerized movements fromthe source. in determining total transportation charges, contracting officersshallalsoconsider additional costs arising from factors such as',
26561:'the use of special equipment, excess blocking and bracing material, or circuitous routing. 47.3012 participation of transportation officers. agencies’ transportation',
26562:'officers shall participate in the solicitation and evaluation of offers to ensure thatallnecessary transportation factors, such as transportation costs, transit',
26563:'arrangements, time in transit, and port capabilities, are considered and result insolicitationsandcontracts advantageous to the government. transportation officersshallprovide traffic management',
26564:'assistance throughout the acquisition cycle see 47.105, transportation assistance. 47.3013using the defense transportation system dts. a all military and civilian',
26565:'agencies shipping, or arranging for the acquisition and shipment by government contractors, through the use of militarycontrolled transport or through',
26566:'military transshipment facilities shall follow department of defense dod regulation dod 4500.9r, defensetransportation regulation part ii. this establishes uniform procedures',
26567:'and documents for the generation, documentation, communication, and use of transportation information, thus providing the capability for control of shipments',
26568:'moving in the dts. dod 4500.9r, defense transportation regulationpart ii hasbeen implemented on a worldwide basis. b contracting activities are',
26569:'responsible for 1 ensuring that the requirements of the dod 4500.9r, defense transportation regulation part iiregulation are included in appropriate',
26570:'contractsforall applicable shipments and 2 enforcing these requirements with regard to shipments under their control. this includes requirements relating to',
26571:'documentation, marking, advance notification of shipment dates, and terminal clearances. c contractual documents shall designate a contract administration office see',
26572:'42.202a as the contact point to which the contractor will provide necessary information to federal acquisition regulation 1 effect dod4500.9r,defense',
26573:'transportation regulation part iidocumentation and movementcontrol, including air or water terminal shipment clearances; and 2 obtain data necessary for shipment',
26574:'marking and freight routing. contractual documents shall specify that the contractor shall not ship directly to a military air or',
26575:'water port terminal without authorization from the designated contract administration office see 47.3056f. 47.302place of deliveryf.o.b. point. a the policies',
26576:'and procedures in 47.3041, 2, and 3 govern the transportation of supplies from sources in the contiguous united states conus,exceptwhen',
26577:'identifiablecosts, natureof the supplies security,safety, or value, delivery requirements premium modes of transport, escorts, transit arrangements, and tentative conditions, or',
26578:'other advantages, limitations, or requirements dictate otherwise. the policies and procedures in 47.3044 govern the transportation of supplies from sources',
26579:'outside conus. b generally,the contracting officershallsolicit offers, and award contracts,with delivery terms on the basis prescribed in 47.304.the contracting officer',
26580:'shall document the contract file see 4.801 with justifications for solicitations that do not specify delivery on the basis prescribed',
26581:'in 47.304. c 1 the place of performance of government acquisition quality assurance actions and the place of acceptance shall',
26582:'not control the delivery term, except that if acceptance is at destination, transportation shall be f.o.b. destination see 47.3041f. 2',
26583:'the fact that transportation is f.o.b. destination does not alone necessitate changing the place of acceptance from origin to destination;',
26584:'and the fact that acceptance is at origin does not necessitate an f.o.b. origin delivery term. providing for inspection and',
26585:'acceptance at origin if appropriate under 46.402, in conjunction with an f.o.b. destination term, may be advantageous to boththe government',
26586:'and the contractor. acceptance of titleat origin by the government permits payment of the contractor,providedthe invoice is supportedeither by a',
26587:'copy of the signed commercial bill of lading indicating the carrier’s receipt of thesupplies covered by the invoice for transportation',
26588:'to theparticular destination specifiedin thecontract or byother appropriate evidence of shipment to the particular destination for thecontractor’saccount. 47.303standard delivery terms',
26589:'and contract clauses. standard delivery terms are listed in 47.3031 through 47.30316 but see 47.300 regarding applicability to cost reimbursement',
26590:'contracts. 47.3031f.o.b. origin. a explanation of delivery term.f.o.b. origin meansfree of expense tothe government delivered 1 on board the indicated',
26591:'type of conveyance of the carrier or of the government, if specified at a designated point in the city, county,',
26592:'and statefrom whichthe shipment will be made and from which linehaul transportation serviceas distinguished from switching, local drayage, or other',
26593:'terminal service will begin; 2 to,andplacedon,the carrier’s wharf at shipside, withinreachof the ship’sloading tackle, whenthe shipping point is within a',
26594:'port area havingwater transportationservice or thecarrier’s freight station; 3 to a u.s. postal service facility; or 4 if stated in',
26595:'the solicitation, to any governmentdesignated point located within the same city or commercial zone as the f.o.b. origin point specified',
26596:'in the contract the federal motor carrier safety administration prescribes commercial zones at subpart b of 49 cfr part 372.',
26597:'b contractor responsibilities. the contractor shall 1 i pack and mark the shipment to comply with contract specifications; or ii',
26598:'in the absence of specifications, prepare the shipment in conformance with carrier requirements to protect the goods and to ensure',
26599:'assessmentof the lowestapplicable transportationcharge; 2 i order specified carrier equipment requested by the government; or ii if not specified, order',
26600:'appropriate carrier equipment not in excess of capacity to accommodate shipment; 3 deliverthe shipment in good order and condition to',
26601:'the carrier, and load, stow, trim, block, and/or brace carload or truckloadshipment when loaded bythe contractor on orin thecarrier’s conveyance',
26602:'as required bycarrier rules and regulations; 4 be responsible for any loss of and/or damage to the goods i occurring',
26603:'before delivery to the carrier; ii resulting from improper packing and marking; or subpart 47.3 transportation in supply contracts 47.3034',
26604:'iii resulting from improper loading, stowing, trimming, blocking, and/or bracing of the shipment, if loaded by the contractor onor in',
26605:'the carrier’s conveyance; 5 completethe government bill of lading supplied by the ordering agency or, when a government bill of',
26606:'lading is not supplied, prepare a commercial bill of lading or other transportation receipt. the bill of lading shall show',
26607:'iadescription ofthe shipment in terms of the governing freightclassification ortariff or government rate tender under which lowest freight rates are',
26608:'applicable; iithe seals affixedto theconveyance with theirserialnumbers or other identification; iii lengths and capacities of cars or trucks ordered and',
26609:'furnished; iv otherpertinent information required to effect prompt delivery to the consignee, including name,delivery address, postal address and zip code',
26610:'of consignee, routing, etc. ; v special instructions or annotations requested by the ordering agency for commercial bills of lading;',
26611:'e.g., this shipment isthe property of, and the freight charges paid to the carriers will be reimbursed by, the government',
26612:'; and vi the signature of the carrier’s agent and the date the shipment is received bythe carrier; and 6',
26613:'distribute the copies of thebill oflading, orothertransportation receipts, as directed by the ordering agency. c contract clause. the contracting officer',
26614:'shall insert insolicitationsandcontracts the clause at 52.24729, f.o.b. origin, when the delivery term is f.o.b. origin. 47.3032f.o.b. origin,contractor’s facility. a',
26615:'explanation of delivery term.f.o.b. origin, contractor’s facility means free of expense to the government delivered on board the indicated type',
26616:'ofconveyance ofthe carrier or of the government if specified at the designatedfacility,on the named street or highway, in the city,',
26617:'county, andstate from which the shipment willbe made. b contractor responsibilities. thecontractor’s responsibilities are the same as those listed in',
26618:'47.3031b. c contract clause. the contracting officer shall insert insolicitationsandcontracts the clause at 52.24730, f.o.b. origin, contractor’sfacility, when the delivery',
26619:'term is f.o.b. origin, contractor’s facility. 47.3033f.o.b. origin,freight allowed. a explanation of delivery term.f.o.b. origin, freightallowed means 1 free of',
26620:'expense to the government delivered i on board the indicated type or conveyance of the carrier or of the government,',
26621:'if specified at a designated point in the city, county, and statefrom whichthe shipmentswill be made and from whichlinehaul transportation',
26622:'service as distinguished from switching, local drayage, or other terminal service will begin; iito, and placed on, thecarrier’s wharf at',
26623:'shipside, within reach of the ship’s loadingtackle, when theshipping point is within a port area havingwater transportationservice or thecarrier’s freight',
26624:'station; iii to a u.s. postal service facility; or iv if stated in the solicitation, to any governmentdesignated point located',
26625:'within the same city or commercial zone as the f.o.b. origin point specified in the contract the federal motor carrier',
26626:'safety administration prescribes commercial zones at subpart b of 49 cfr part 372; and 2 an allowance for freight,based on',
26627:'applicable publishedtariff rates or government rate tenders between the points specified in the contract, is deducted from the contract price.',
26628:'b contractor responsibilities. thecontractor’s responsibilities are the same as those listed in 47.3031b. c contract clause. the contracting officer shall',
26629:'insert insolicitationsandcontracts the clause at 52.24731, f.o.b. origin, freight allowed, when the delivery term is f.o.b. origin, freight allowed. 47.3034f.o.b.',
26630:'origin,freight prepaid. a explanation of delivery term.f.o.b. origin, freightprepaid means 1 free of expense to the government delivered i on',
26631:'board the indicated type of conveyance of the carrier or of the government, if specified at a designated point in',
26632:'the city, county, and statefrom whichthe shipmentswill be made and from whichlinehaul transportation service as distinguished from switching, local drayage,',
26633:'or other terminal service will begin; iito, and placed on, thecarrier’s wharf at shipside, within reach of the ship’s loadingtackle,',
26634:'when theshipping point is within a port area havingwater transportationservice or thecarrier’s freight station; iii to a u.s. postal service',
26635:'facility; or 47.3035 federal acquisition regulation iv if stated in the solicitation, to any governmentdesignated point located within the same',
26636:'city or commercial zone as the f.o.b. origin point specified in the contract the federal motor carrier safety administration prescribes',
26637:'commercial zones at subpart b of 49 cfr part 372; and 2 the cost oftransportation,ultimately the government’s obligation, isprepaid by',
26638:'the contractor tothe point specified in the contract. b contractor responsibilities. thecontractor’s responsibilities are the same as those listed in',
26639:'47.3031b, except that the contractor shall prepare commercial billsof lading or other transportation receipts and shall prepay all freight charges',
26640:'to the extent specified in the contract. c contract clause. the contracting officer shall insert insolicitationsandcontracts the clause at 52.24732,',
26641:'f.o.b. origin, freight prepaid, when the delivery term is f.o.b. origin, freight prepaid. 47.3035f.o.b. origin,with differentials. a explanation of delivery',
26642:'term.f.o.b. origin, with differentials means 1 free of expense to the government delivered i on board the indicated type of',
26643:'conveyance of the carrier or of the government, if specified at a designated point in the city, county, and statefrom',
26644:'whichthe shipmentswill be made and from whichlinehaul transportation service as distinguished from switching, local drayage, or other terminal service will',
26645:'begin; iito, and placed on, thecarrier’s wharf at shipside, within reach of the ship’s loadingtackle, when theshipping point is within',
26646:'a port area havingwater transportationservice or thecarrier’s freight station; iii to a u.s. postal service facility; or iv if stated',
26647:'in the solicitation, to any governmentdesignated point located within the same city or commercial zone as the f.o.b. origin point',
26648:'specified in the contract the federal motor carrier safety administration prescribes commercial zones at subpart b of 49 cfr part',
26649:'372; and 2 differentials for mode of transportation, type ofvehicle,or place of delivery as indicated incontractor’s offermay be added to',
26650:'the contract price. b contractor responsibilities. thecontractor’s responsibilities are the same as those listed in 47.3031b. c contract clause. insert',
26651:'in solicitations and contracts the clause at 52.24733, f.o.b. origin, with differentials, when it is likely that offerors may include',
26652:'inf.o.b. origin offers a contingency to compensate for unfavorable routing conditions by the government at the time of shipment. 47.3036f.o.b.',
26653:'destination. a explanation of delivery term.f.o.b. destinationmeans 1 free of expense to the government delivered,on board the carrier’s conveyance, at',
26654:'aspecified delivery point where theconsignee’s facility plant, warehouse, store, lot, or other location towhich shipment can be madeis located; and',
26655:'2 supplies shall be delivered to the destination consignee’s wharf if destination is a port city andsupplies are for export,',
26656:'warehouse unloading platform, or receiving dock, atthe expense of the contractor. thegovernment shall not be liable for any delivery, storage,',
26657:'demurrage,accessorial, orother charges involved before the actual delivery or constructive placement as definedin carrier tariffs of thesupplies to the destination,',
26658:'unless such charges are caused by an actor order of thegovernment acting in its contractual capacity. if rail carrier is',
26659:'used, supplies shall bedelivered to the specified unloading platform of the consignee. if motor carrier including piggyback is used, supplies',
26660:'shall be delivered to truck tailgate at the unloading platform of the consignee, except when the supplies delivered meet the',
26661:'requirements of item568 of the national motor freight classification for heavy or bulky freight. when supplies meeting the requirements of',
26662:'the referenced item568 are delivered, unloading including movement to the tailgate shall be performed by the consignee, with assistance from',
26663:'the truck driver, if requested. if the contractoruses railcarrier or freight forwarderforless than carload shipments,the contractor shall ensure that the',
26664:'carrier will furnish tailgate delivery when required, if transfer to truck is required to complete delivery to consignee. b contractor',
26665:'responsibilities. the contractor shall 1 i pack and mark the shipment to comply with contract specifications; or ii in the',
26666:'absence of specifications, prepare the shipment in conformance with carrier requirements; 2 prepare and distribute commercial bills of lading; 3',
26667:'deliver the shipment in good order and condition to the point of delivery specified in the contract; 4 be responsible',
26668:'for any loss of and/or damage to the goods occurring before receipt of the shipment by the consignee at the',
26669:'delivery point specified in the contract; subpart 47.3 transportation in supply contracts 47.3039 5 furnish a delivery schedule and designate',
26670:'the mode of delivering carrier; and 6 pay and bear all chargesto thespecified point of delivery. c contract clause. the',
26671:'contracting officer shall insert insolicitationsandcontracts the clause at 52.24734, f.o.b. destination, when the delivery term is f.o.b. destination. 47.3037f.o.b. destination,',
26672:'within consignee’s premises. a explanation of delivery term.f.o.b. destination, within consignee’s premises means freeof expense to the government delivered and',
26673:'laid down within the doors of the consignee’spremises, including delivery tospecific rooms within a building if so specified. b contractor',
26674:'responsibilities. thecontractor’s responsibilities are the same as those listed in 47.3036b. c contract clause. the contracting officer shall insert insolicitationsandcontracts',
26675:'the clause at 52.24735, f.o.b. destination,within consignee’s premises, whenthe deliveryterm is f.o.b. destination,within consignee’spremises. 47.3038f.a.s. vessel, port of shipment. a',
26676:'explanation of delivery term.f.a.s. vessel, port ofshipment means free ofexpenseto the government delivered alongside the ocean vessel and within reach',
26677:'of its loading tackle at the specified port of shipment. b contractor responsibilities. the contractor shall 1 i pack and',
26678:'mark the shipment to comply with contract specifications; or ii in the absence of specifications, prepare the shipment for ocean',
26679:'transportation in conformance with carrier requirementsto protect thegoods andto ensure assessment of the lowest applicable transportation charge; 2 i deliver',
26680:'the shipment in good order and condition alongside the ocean vessel and within reach of its loading tackle, at the',
26681:'point of delivery and on the date or within the period specified in the contract; and iipay and bearall applicable',
26682:'charges,including transportation costs, wharfage, handling, and heavylift charges, if necessary, up to this point; 3 provide a clean dock or',
26683:'ship’s receipt; 4 be responsible for any loss of and/or damage to the goods occurring before delivery of the shipment',
26684:'to the point specified in the contract; and 5 at the government’s requestand expense,assist in obtainingthe documents required for i',
26685:'exportation; or ii importation at destination. c contract clause. the contracting officer shall insert insolicitationsandcontracts the clause at 52.24736, f.a.s.',
26686:'vessel, port of shipment, when the delivery term is f.a.s. vessel, port of shipment. 47.3039f.o.b. vessel, port of shipment. a',
26687:'explanation of delivery term.f.o.b. vessel, port shipment means free of expense to the governmentloaded, stowed, and trimmed on board the',
26688:'ocean vessel at the specified port of shipment. b contractor responsibilities. the contractor shall 1 i pack and mark the',
26689:'shipment to comply with contract specifications; or ii in the absence of specifications, prepare the shipment for ocean transportation in',
26690:'conformance with carrier requirementsto protect thegoods andto ensure assessment of the lowest applicable transportation charge; 2 i deliver the shipment',
26691:'on board the ocean vessel in good order and condition on the date or within the period fixed; and iipay',
26692:'and bearall charges incurred in placing the shipment actually onboard; 3 provide a clean ship’s receiptor onboard ocean bill of',
26693:'lading; 4 be responsible for any loss of and/or damage to the goods occurring before delivery of the shipment on',
26694:'board the ocean vessel; and 5 at the government’s requestand expense,assist in obtainingthe documents required for i exportation; or ii',
26695:'importation at destination. c contract clause.the contracting officer shall insert insolicitationsandcontracts the clause at 52.24737, f.o.b. vessel, port of shipment,',
26696:'when the delivery term is f.o.b. vessel, port of shipment. 47.30310 federal acquisition regulation 47.30310 f.o.b. inland carrier, point of',
26697:'exportation. a explanation of delivery term.f.o.b. inland carrier,pointof exportation means freeof expense to the government, on boardthe conveyance of theinlandcarrier,',
26698:'delivered to thespecified point of exportation. b contractor responsibilities. the contractor shall 1 i pack and mark the shipment to',
26699:'comply with contract specifications; or ii in the absence of specifications, prepare the shipment for ocean transportation in conformance with',
26700:'carrier requirementsto protect thegoods andto ensure assessment of the lowest applicable transportation charge; 2 prepare and distribute commercial bills of',
26701:'lading; 3 i deliver the shipment in good order and condition in or on the conveyance of the carrier on',
26702:'the date or within the period specified; and iipay and bearall applicable charges,including transportation costs, to the point of delivery',
26703:'specifiedin the contract; 4 be responsible for any loss of and/or damage to the goods occurring before delivery of the',
26704:'shipment to the point of delivery specified in the contract; and 5 at the government’s requestand expense,assist in obtainingthe documents',
26705:'required for i exportation; or ii importation at destination. c contract clause. the contracting officer shall insert insolicitationsandcontracts the clause',
26706:'at 52.24738, f.o.b. inland carrier, point of exportation, when thedelivery term is f.o.b. inland carrier,pointof exportation. 47.30311f.o.b. inland point, country',
26707:'of importation. a explanation of delivery term.f.o.b. inland point, country ofimportation means free of expense to the government, on boardthe',
26708:'indicated type of conveyance of the carrier, delivered to the specified inland point where the consignee’s facilityis located. b contractor',
26709:'responsibilities. the contractor shall 1 i pack and mark the shipment to comply with contract specifications; or ii in the',
26710:'absence of specifications, prepare the shipment for ocean transportation in conformance with carrier requirements to protect the goods; 2 ideliver,inorontheinlandcarrier’sconveyance,theshipmentingoodorderandconditiontothespecified',
26711:'inland point where the consignee’s facilityis located; iipay and bearall applicable charges incurred up to the point ofdelivery,including transportation costs;export,',
26712:'import, or other fees or taxes; costs of landing; wharfage costs; customs duties and costs of certificates of origin; consular',
26713:'invoices; and other documents that may be required for importation; and 3 be responsible for anyloss of and/or damage to',
26714:'thegoods until their arrival on orin the carrier’s conveyance at the specified inland point. c contract clause. the contracting officer',
26715:'shall insert insolicitationsandcontracts the clause at 52.24739, f.o.b. inland point, country of importation, when the delivery term is f.o.b. inland',
26716:'point, country of importation. 47.30312 ex dock, pier, or warehouse, port of importation. a explanation of delivery term.ex dock, pier,or',
26717:'warehouse,portof importation meansfree of expense tothe government delivered on the designated dock or pier or in the warehouse at the',
26718:'specified port of importation. b contractor responsibilities. the contractor shall 1 i pack and mark the shipment to comply with',
26719:'contract specifications; or ii in the absence of specifications, prepare the shipment for ocean transportation in conformance with carrier requirements',
26720:'to protect the goods; 2 i deliver shipment in good order and condition; and iipay and bearall charges up to',
26721:'the point ofdelivery specified in the contract, including transportation costs; export, import, or other fees or taxes; costs of wharfage',
26722:'and landing, if any; customs duties; and costs of certificates of origin, consular invoices, or other documents that may be',
26723:'required for exportation or importation; and 3 be responsible for any loss of and/or damage to the goods occurring before',
26724:'delivery of the shipment to the point of delivery specified in the contract. c contract clause. the contracting officer shall',
26725:'insert insolicitationsandcontracts the clause at 52.24740, ex dock, pier,or warehouse, port of importation, when the delivery termis ex dock, pier,',
26726:'or warehouse, port of importation. subpart 47.3 transportation in supply contracts 47.30316 47.30313 c. & f. destination. a explanation of',
26727:'delivery term.c.&f. cost & freight destination means free of expense to the government delivered on board the ocean vessel to',
26728:'thespecified point of destination, with the cost of transportation paid by thecontractor. b contractor responsibilities. the contractor shall 1 i',
26729:'pack and mark the shipment to comply with contract specifications; or ii in the absence of specifications, prepare the shipment',
26730:'for ocean transportation in conformance with carrier requirements; 2 i deliver the shipment in good order and condition; and iipay',
26731:'and bearall applicable charges to the point of destination specified in thecontract, includingtransportation costs andexport taxes or other fees or',
26732:'charges levied because of exportation; 3 obtain and dispatch promptly to the government clean onboard ocean bills of lading to',
26733:'the specified point of destination. 4 be responsible for any loss of and/or damage to the goods occurring before delivery;',
26734:'and 5 at the government’s requestand expense,provide certificates of origin, consular invoices, oranyotherdocuments issued in the country of origin or',
26735:'of shipment, or both, that may be required for importation into the country of destination. c contract clause. the contracting',
26736:'officer shall insert insolicitationsandcontracts the clause at 52.24741, c.&f. destination, when the delivery term is c.&f. cost & freight destination.',
26737:'47.30314 c.i.f. destination. a explanation of delivery term.c.i.f. cost, insurance, freight destination means free of expense to the government delivered',
26738:'on board the ocean vessel to the specified point of destination, with the cost of transportation and marine insurance paid',
26739:'by the contractor. b contractor responsibilities. thecontractor’s responsibilities are the same as those listed in 47.30313b, except that, in addition,',
26740:'the contractor shall obtain and dispatch to the government an insurance policy or certificate providing the amount and extent of',
26741:'marine insurance coverage specified in the contract or agreed upon by the government contracting officer. c contract clause. the contracting',
26742:'officer shall insert insolicitationsandcontracts the clause at 52.24742, c.i.f. cost, insurance, freight destination, when the delivery term is c.i.f. destination.',
26743:'47.30315 f.o.b. designated aircarrier’s terminal, point of exportation. a explanation of delivery term.f.o.b. designated air carrier’s terminal, point of exportation',
26744:'means free of expense to the government loaded aboard the aircraft, or delivered to the custody of the air carrier',
26745:'if only the air carrier performs the loading, at theair carrier’s terminal specified in the contract. b contractor responsibilities. the',
26746:'contractor shall 1 i pack and mark the shipment to comply with contract specifications; or ii in the absence of',
26747:'specifications, prepare the shipment for air transportation in conformance with carrier requirementsto protect thegoods andto ensure assessment of the lowest',
26748:'applicable transportation charge; 2 idelivertheshipmentingoodorderandconditionintotheconveyanceofthecarrier,ortothecustodyofthe carrier if only the carrier performs the loading, at the point of delivery and on',
26749:'the date or within the period specified in the contract; and iipay and bearall applicable charges up tothispoint; 3 provide',
26750:'a clean bill of lading and/or air waybill; 4 be responsible for any loss of and/or damage to the goods',
26751:'occurring before delivery of the goods to the point specified in the contract; and 5 at the government’s requestand expense,assist',
26752:'in obtainingthe documents required for the purpose of exportation. c contract clause. the contracting officer shall insert insolicitationsandcontracts the clause',
26753:'at 52.24743. f.o.b. designated air carrier’s terminal, point of exportation, when the delivery term is f.o.b. designated air carrier’s terminal,',
26754:'point of exportation. 47.30316 f.o.b. designated aircarrier’s terminal, point of importation. a explanation of delivery term.f.o.b. designated air carrier’s terminal,',
26755:'point of importation means free ofexpenseto thegovernment delivered to the air carrier’s terminalat the point of importation specifiedin the contract.',
26756:'b contractor responsibilities. the contractor shall 47.30317 federal acquisition regulation 1 i pack and mark the shipment to comply with',
26757:'contract specifications; or ii in the absence of specifications, prepare the shipment for air transportation in conformance with carrier requirements',
26758:'to protect the goods; 2 prepare and distribute bills of lading or air waybills; 3 i deliver the shipment in',
26759:'good order and condition to the point of delivery specified in the contract; and iipay and bearall charges incurred up',
26760:'to thepointof delivery specifiedin the contract, including transportation costs; export, import, or other fees or taxes; cost of landing, if',
26761:'any; customs duties; and costs of certificates of origin, consular invoices, or other documents that may be required for exportation',
26762:'or importation; and 4 be responsible for any loss of and/or damage to the goods until delivery of the goods',
26763:'to the government at the designated aircarrier’s terminal. c contract clause. the contracting officer shall insert insolicitationsandcontracts the clause at',
26764:'52.24744, f.o.b. designated air carrier’s terminal, point of importation, when the delivery term is f.o.b. designated air carrier’s terminal, point',
26765:'of importation. 47.30317 contractorprepaidcommercial bills of lading, small package shipments. a if it is advantageous tothe government, thecontracting officer may',
26766:'authorizethe contractor to shipsupplies, which have been acquired f.o.b. origin, to domestic destinations, including dod air and water terminals by',
26767:'common carriers on commercial bills of lading. such shipments shall not exceed 150 pounds by commercial air or 1,000 pounds',
26768:'by other commercial carriers and shall not have a security classification. b the contractingofficer may authorize the shipments under paragraph',
26769:'a of this subsectionto beconsolidated with the contractor’s own prepaid shipments for delivery to one or more destinations, if all',
26770:'appropriate f.o.b. origin shipmentsunder one or more government contracts have been consolidated initially. thecontractor may be authorizedto consolidate lessthancarload or',
26771:'lessthantruckload government shipments with its own shipments so that the government can take advantage of lower carload or truckload freight',
26772:'costs. the government shall assume its pro rata share of the combined shipment cost. agency transportation personnel shall evaluate overall',
26773:'transportation costs before authorizing any movement to ensure savings to the government consistent withother contract and traffic management considerations. when',
26774:'consolidation is authorized, a copy of the commercial bill of lading shall be mailed promptly to each consignee. c shipments',
26775:'under prepaid commercial bills of lading, as authorized in paragraph a of this subsection, do not require a contract modification.',
26776:'unless otherwise provided in the contract, the supplies move for the account of, and at the risk of, thegovernment. the',
26777:'suppliesbecome government property whenloaded on the carrier’sequipment and the contractorhas obtainedthe carrier’s receipt. the contractor pays the transportation charges and',
26778:'is reimbursed by thegovernment. lossor damage claims shall be processed in accordance with agency regulations. d the contractor’s invoice for',
26779:'reimbursement by the government shall show the prepaid transportation chargesas agreed see paragraph b of this subsection, as a separate',
26780:'item for each individual shipment. the contractor shall support the transportation charges with acopy ofthe carrier’sreceipted freight bill or other',
26781:'evidenceof receipt, except as follows: 1 a government agency may determine that receipted freight bills or other evidence of receipt',
26782:'are not required for transportation charges of $100 or less. 2 a government agency may pay an invoiced but unsupported',
26783:'transportation charge of$250 or less per transaction i.e., purchase, invoice, or aggregate billing or payment for multiple purchases, if i',
26784:'the contractor cannot reasonably provide a receipted freight bill; and iithe agency has determinedthat thecharges arereasonable. determination of reasonableness may',
26785:'be based on apast experience authenticatedtransportation charges for similar shipments; b rate checks; c copies of previous freight bills submitted',
26786:'by the contractor; or d other information submitted by the contractor to substantiate the amount claimed. 3 receiptedfreight billsin support',
26787:'of invoicedtransportation charges of $100 or less arenot required for reimbursement by the government, if i the underlying contract specifies',
26788:'retention by the contractor of all records for at least 3 years after final payment under the contract; and ii',
26789:'the contractor agrees to furnish evidence of payment when requested by the government. e shipments and invoices shall not be',
26790:'split toreduce transportation charges to$100 or less per transaction as a means of avoidingthe required documented support for the charges.',
26791:'see paragraphd2 of this subsection for unsupported transportation charges of $250 or less. subpart 47.3 transportation in supply contracts 47.3043',
26792:'f the contracting officer shall insertthe clause at 52.24765,f.o.b. origin, prepaid freightsmall packageshipments, in solicitations and contracts when f.o.b. origin',
26793:'shipments are to be made. 47.304determination of delivery terms. 47.3041 general. a thecontracting officer shall determinef.o.b. terms generally on the',
26794:'basis ofoverall costs,giving due consideration to the criteria given in 47.304. b solicitations shall specify whether offerors must submitoffers f.o.b.',
26795:'origin, f.o.b. destination, or both; or whether offerors may choose the basis on which they make an offer. the contracting',
26796:'officer shall consider the mostadvantageous delivery point, such as 1 f.o.b. origin, carrier’sequipment, wharf,or specified freight stationnear contractor’splant; or 2',
26797:'f.o.b. destination. c in determining whether f.o.b. origin or f.o.b. destination is more advantageous to the government, the contracting officer',
26798:'shall consider the availability of lower freight rates government rate tenders to thegovernmentforf.o.b. origin acquisitions. f.o.b. origincontracts also present other',
26799:'desirable traffic management features, in that they 1 permit use of transit privileges see 47.30513; 2 permit diversions to new',
26800:'destinations without price adjustment for transportation see 47.30511; 3 facilitate use of special routings or types of equipment e.g., circuitous',
26801:'routing or oversize shipments see 47.30514; 4 facilitate, if necessary, useof premium cost transportation andpermitgovernmentcontrolled transportation; 5 permit negotiations for',
26802:'reduced freight rates see 47.1041b; and 6 permit use of small shipment consolidation stations. d when destinations are tentative or',
26803:'unknown, the solicitation shall be f.o.b. origin only see 47.3055. e when the size or quantity of supplies with confidential',
26804:'or higher security classification requires commercial transportation services, thecontracting officer shall generallyspecify f.o.b. origin acquisitions. f when acceptance must be',
26805:'at destination, solicitation shall be on an f.o.b. destination only basis. g following are examples of situations when solicitations shall',
26806:'normally be on an f.o.b. destination only basis because it is advantageous to the government see 47.3054: 1 bulk supplies,',
26807:'such as coal, that require other than governmentowned or operated handling, storage, and loading facilities, are destined for shipment outside',
26808:'conus. 2 steel or other bulk construction products are destined for shipment outside conus. 3 supplies consist of forestproducts such',
26809:'as lumber. 4 perishable or medical supplies are subject to intransit deterioration. 5 evaluationof f.o.b. origin offersis anticipated to result',
26810:'inincreased administrativelead time or administrative cost that would outweigh the potential advantages of an f.o.b. origin determination. 47.3042 shipments within',
26811:'conus. a solicitations shall providethat offers may be submitted onthe basis of either or both f.o.b origin andf.o.b. destination and',
26812:'that they will be evaluated on the basis of the lowest overall cost to the government. b when sufficient reasons',
26813:'exist not to follow this policy,the contract fileshallbe documented to include the reasons. 47.3043shipments from conus for overseas delivery. a',
26814:'when government acquisitions involve shipments from conus to overseas destinations, delivery f.o.b. origin may afford not only theeconomies of lower',
26815:'freight rates available to the government withinconus,but also flexibility for selection of 1 the port of export; and 2 the',
26816:'ocean transportation providing the lowest overall cost to the government. b 1 unless there are valid reasons to the contrary',
26817:'see 47.3045, acquisition of supplies originating within conus for ultimate delivery to destinations outside conus shall be made on the',
26818:'basis of f.o.b. origin. this policy applies to supplies and equipment to be shipped either directly to a port area',
26819:'for export or to a storage or holding area for subsequent forwarding to a port area for export. 47.3044 federal',
26820:'acquisition regulation 2 justification for the solicitation of offers on other than an f.o.b. originbasis shall be recorded and the',
26821:'contract file documented accordingly. c export cargo involves considerations of operational and cost factors from the point of origin withinconus',
26822:'to the overseas port destination. the lowest cost of shipping can be determined only by evaluating and comparing the various',
26823:'prospective landed costs including inland, terminal, and ocean costs. also, agencies may have export licensing privileges for shipmentsto foreigndestinations. the',
26824:'contracting officershallobtain advice from the transportation officer to ensure full use of these privileges. 47.3044 shipments originating outside conus. a',
26825:'unless there are valid reasons to the contrary see 47.3045, acquisition of supplies originating outside conus for ultimate delivery to',
26826:'destinations within conus or elsewhere, regardless of the quantity of the shipments, shall be on the basis of f.o.b. origin',
26827:'or f.o.b. destination, whichever is more advantageous to the government. b the contractingofficer shall request theadviceof the transportationofficer to determine',
26828:'the most appropriate place of delivery to be specified in acquisition documents, giving full consideration to the possible use of',
26829:'government transportation facilities, reduced rates available, special licensing or custom requirements, and availability of u.s. flag shipping services between the',
26830:'points involved see subpart 47.5. 47.3045 exceptions. a unusual conditions or circumstances may require the use of terms other than',
26831:'f.o.b. origin or f.o.b. destination. such conditions or circumstances include, but are not limited to 1 transportation disabilitiesat origin or',
26832:'destination; 2 mode of transportation required; 3 availability ofgovernmentor commercial loading, unloading,or transshipment facilities; 4 characteristics of the supplies; 5',
26833:'trade customs related tocertain supplies; 6 origins or destinations in alaska and hawaii; and 7 program requirements. b contracting officersshallobtain',
26834:'assistance from transportation officersbefore issuing solicitations when unusual conditions or circumstances exist that relate to f.o.b. terms. 47.305 solicitation provisions,',
26835:'contract clauses, and transportationfactors. a thecontracting officer shall coordinate transportation factors withthe transportation office during theplanning, solicitation, and award phases',
26836:'of the acquisition process see 47.105. b to the extent feasible, activities shall schedule deliveries to effectsavings in transportation costs,',
26837:'and concomitant reductions in energy consumption bycarriers see 47.3057 and 47.3058 for specific possibilities. 47.3051solicitation requirements. when the acquisition ofsupplies',
26838:'is on f.o.b. origin or f.o.b. destination delivery terms, the contracting officer shall include in solicitations a requirement that theofferor',
26839:'furnish the governmentas muchof the following data asis applicableto the particular acquisition: a modes of transportation and, if rail transportation',
26840:'is used,names of rail carriers serving the offeror’s facility. b the numberof railroadcars, motor trucks, or other conveyances that can',
26841:'be loadedper day. c typeof packaging; e.g., box, carton, crate, drum, bundle, skids, and when applicable, package number from the',
26842:'governing freight classification. d number of units packed in one container. e guaranteed maximum shipping weight;cubicmeasurement; and length, width, andheight',
26843:'of each container. f minimum size of each shipment. g number of containers or units thatcan be loaded in a',
26844:'car, truck, or other conveyance of the size normally used specify type and size for the commodity. h description ofmaterial',
26845:'interms ofthe governingfreight classification or tariff or government rate tender under which lowest freight rates are applicable. ibenefits available to',
26846:'the government under transit arrangementsmadeby the offeror. j other requirements as stated under specific section headings. subpart 47.3 transportation in',
26847:'supply contracts 47.3054 47.3052 solicitations f.o.b. origin and f.o.b. destinationlowest overall cost. a solicitations, when appropriate, shall specify that offersmay',
26848:'be f.o.b. origin, f.o.b. destination, or both; and that they will be evaluated on the basis of the lowest overall',
26849:'cost to the government. b when offers are solicitedon the basisof both f.o.b. origin and f.o.b. destination, the contracting officer',
26850:'shall insert in solicitations the provision at 52.24745, f.o.b. origin and/or f.o.b. destination evaluation. 47.3053f.o.b. origin solicitations. when preparing f.o.b.',
26851:'origin solicitations, the contracting officershallreferto 47.303, where f.o.b. origin clauses relating to standard delivery terms are prescribed. supply solicitations that',
26852:'will or may result in f.o.b. origin contracts shall also contain requirements, information, provisions, and clauses concerning the following items:',
26853:'a delivery in carload or truckload lots f.o.b. carrier’s equipment, wharf, orfreight station. b the requirement that the offeror furnish',
26854:'the following information with the offer: 1 location of theofferor’s actual shipping points streetaddress, city, state, and zip code from',
26855:'which supplieswill be delivered to the government. 2 whetherthe offeror’s shipping point has aprivaterailroad siding, andthe name of the railcarrier',
26856:'serving it. 3 when the offeror’sshipping point does not have a private siding, the names and addresses of the nearest',
26857:'public rail sidingandof the carrier serving it. this will enable transportation officers,when issuing routing instructions, to select the mode of',
26858:'transportation that will provide the required service at the lowest possible overall cost. 4 i the quantity of supplies to',
26859:'be shipped from each shipping point. iithe contracting officer shall insert inf.o.b. origin solicitations the provision at 52.24746, shipping points',
26860:'used in evaluation of f.o.b. originoffers, when price evaluation for shipments fromvariousshipping points is contemplated. c when deliveryis f.o.b. origin,',
26861:'contractor’s facility, and the designated facilityis not coveredby the linehaul transportation rate, the charges required todeliverthe shipment to the point',
26862:'where the linehaulrate is applicable. d when delivery is f.o.b. origin, freight allowed, the basis onwhich transportation charges will be',
26863:'allowed,including theorigin and destinationfrom and to which transportationcharges will be allowed. e if f.o.b. origin offers only are desired, astatement',
26864:'that offers submittedon any other basis will be rejected as nonresponsive. f 1 the methods of transportation used in evaluating',
26865:'offers. the government normally uses land transportation by regulated common carriers between points in the 48 contiguous united states and',
26866:'the district of columbia. 2 the contractingofficer shall insertthe provisionat 52.24747, evaluationf.o.b. origin, insolicitationsthat require prices f.o.b. origin for the',
26867:'purpose of establishing the basison which offerswill be evaluated. g 1whenitisbelievedthatprospectivecontractorsarelikelytoincludeinf.o.b. originoffersacontingencyto compensate for what may be an unfavorable routing',
26868:'condition by the government at the time of shipment, the contracting officer may permitprospective contractors to statein offers areimbursable differential',
26869:'thatrepresents the cost ofbringing the supplies to any f.o.b. origin place of delivery specified by the government at the time',
26870:'of shipment see the clause at 52.24733, f.o.b. origin, with differentials. 2 following are situations that might impose on the',
26871:'contractor a substantial cost above at plant or commercial shipping point prices because of governmentrequired routings: i the loading nature',
26872:'of the supplies; e.g., wheeled vehicles. iithe different methods of shipment specified bythe government; e.g., towaway, driveaway, trilevel vehicle, or',
26873:'rail car, that may increase the contractor’s cost in varying amounts for bringing thesupplies to, or loadingand bracing the supplies',
26874:'at,the specified placeof delivery. iii the contractor’s f.o.b. origin shipping point is a port city servedby united states inland,coastwise, or',
26875:'intercoastal water transportation, and the contractor would incur additional costs to make delivery f.o.b. a wharf in that city to',
26876:'accommodate water routing specified by the government. iv the contractor’s plantdoes not have a private rail siding and in order',
26877:'to shipby governmentspecified rail routing, the contractor would be required to deliver the supplies to a public siding or freight',
26878:'terminal and to load, brace, and install dunnage in rail cars. 47.3054f.o.b. destination solicitations. a when preparing f.o.bdestinationsolicitations, the contracting',
26879:'officer shall refer to 47.303 for the prescription of f.o.b. destination clauses relating to standard delivery terms. 47.3055 federal acquisition',
26880:'regulation b if f.o.b. destination only offers are desired, the solicitation shall state that offers submittedon abasis other than f.o.b.',
26881:'destination will be rejected as nonresponsive. c when supplies will or may be purchased f.o.b. destination but inspection and acceptance',
26882:'will be at origin, the contracting officershallinsert in solicitations and contracts the clause at 52.24748, f.o.b. destinationevidenceof shipment. 47.3055 destination',
26883:'unknown. a 1whendestinationsareunknown,solicitationsshallbef.o.b. originonly. 2 the contractingofficer shall includein the contractfile justifications for such solicitations. b 1 when the exact',
26884:'destination of the supplies to be acquired is not known, but the general location of the users can be reasonably',
26885:'established, the acquiring activity shall designate tentative destinations for the purpose of computing transportation costs, showing estimated quantities for each',
26886:'tentative destination. 2 the contractingofficer shall insertin solicitations theprovision at 52.24749, destination unknown, when destinationsare tentative and only for the',
26887:'purpose ofevaluating offers. 3 if it is necessary to control subsequent shipping weights, the solicitation shall state that subsequent shipments',
26888:'shall be made in carloads or truckloads see the clause at 52.24759, f.o.b. origincarload and truckload shipments. c 1 when',
26889:'exact destinations are not known and it is impracticable to establish tentative or general delivery places for thepurpose of evaluating',
26890:'transportation costs, the contracting officer shall insert insolicitationsthe provisionat 52.24750, no evaluation of transportationcosts. 2 the solicitation shall also state',
26891:'that the transportation costs of subsequent shipments must be controlled see, for example, the clause at 52.24761, f.o.b. originminimum size',
26892:'of shipments. 47.3056 shipments to ports and air terminals. a when supplies are acquired on the basis of the delivery',
26893:'terms in 47.3038 through 47.30316, the solicitation shall include a requirement that the offeror furnish the government the following information:',
26894:'1 when the delivery term is f.a.s. vessel, port of shipment, f.o.b. vessel, port of shipment, or f.o.b. inland carrier,',
26895:'point of exportation, the required data shall include i a delivery schedule in number of units and/or long or short',
26896:'tons; ii maximum quantities available per shipment; iii the quantity that can be made available for loading to vessel per',
26897:'running day of 24 hours if acquisition involves a commodity to be shipped in bulk; iv the minimum leadtime required',
26898:'to make supplies available for loading to vessel; and v the port and pier or other designation and, when applicable,',
26899:'the maximum draft of vessel in feet that can be accommodated. 2 when the delivery term is:f.o.b. inland point, country',
26900:'of importation or f.o.b. designated aircarrier’s terminal, point of importation, the required data shall include i a delivery schedule in',
26901:'number of units and/or long or short tons; ii maximum quantities available per shipment; and iii other dataappropriate to shipment',
26902:'by air carrier. 3 when the delivery term is ex dock, pier or warehouse, port of importation or c.&f. cost',
26903:'& freight destination, the required data shall include i a delivery schedule in number of units and/or long or short',
26904:'tons; ii maximum quantities available per shipment; and iii the number of containers orunits that can be loaded in a',
26905:'car, truck, or otherconveyance ofthe size normally usedspecifytype and size for the commodity. 4 when the delivery term is c.i.f.',
26906:'cost, insurance, freight destination, the required data shall include i the same as specified in 47.3056a3; and ii the amount',
26907:'and type of marine insurance coverage; e.g., whether the coverage is with average or freeof particular average and whether it',
26908:'covers any special risks or excludes any of theusual risks associated with thespecific commodity involved. 5 when the delivery term',
26909:'is f.o.b. designated air carrier’s terminal, point of exportation, the required data shall include i a delivery schedule number of',
26910:'units, type of package, and individual weight and dimensions of each package; ii minimum leadtime required to make supplies available',
26911:'for loading into aircraft; subpart 47.3 transportation in supply contracts 47.3057 iii name of airport and location to which shipment',
26912:'will be delivered; and iv otherdata appropriate toshipmentby air carrier. b when supplies are acquired for known destinations outside conus',
26913:'and originate within conus, the contracting officer shall, for transportation evaluation purposes, note in the solicitationthe conus port of loading',
26914:'or point ofexit aerial or water and the water port of debarkation that serves the overseas destination. c thecontracting officer',
26915:'may also, for evaluation purposes, list in the solicitation other conusports thatmeet the eligibility criteria compatible with the nature and',
26916:'quantity of the supplies, their destination, type of carrier required, and specified overseas delivery dates. this permits offerors that are',
26917:'geographically remote fromthe port that normally serves the overseas destination to be competitive as far as transportation costs are concerned.',
26918:'d unless logistics requirements limit the ports of loading to the ports listed in the solicitation, the solicitation shall state',
26919:'that 1 offerorsmay nominate additional ports includingports inalaskaandhawaiimore favorably located to their shipping points; and 2 these ports will be',
26920:'considered in the evaluation of offers if theypossess all requisitecapabilities ofthe listed ports in relation to the supplies being acquired.',
26921:'e when supplies are to be exported through conusports and offersare solicited on an f.o.b. originor f.o.b. destination basis, the',
26922:'contracting officer shall insert insolicitationsthe provisionat 52.24751, evaluation of export offers. the contracting officershalluse the provision with its 1 alternatei,',
26923:'when the conus ports of export are dod water terminals; 2 alternateii, when offers are solicited on an f.o. b.',
26924:'origin only basis; or 3 alternateiii,when offers are solicitedon an f.o.b. destination onlybasis. f 1whenthesuppliesaretomoveinthedefensetransportationsystemdtssee 47.3013, the contract shall specify',
26925:'that iatransportationcontrol movement document tcmd must be dispatched tothe appropriate dod air or water clearanceauthority inaccordance withdod 4500.9r, defense transportation',
26926:'regulation, part ii, procedures for all shipments consigned to dod air or water terminal transshipment points; and ii an export',
26927:'release must be obtained for supplies to be transshipped via a water port of loading to overseas destinations, except for',
26928:'shipments for which an export release is not required, generally shipments of less than 10,000 pounds,see dod 4500.9r, defense transportation',
26929:'regulation, part ii. 2 when shipments willbe consigned to dod air or water terminal transshipment points,the contracting officershall insert in',
26930:'solicitations and contracts the clause at 52.24752, clearance and documentation requirementsshipments to dod air or waterterminal transshipment points. g when',
26931:'a contract will not generate any shipments that require an export release, only the dod conus ports that serve theoverseas',
26932:'destination shall belisted in the solicitation, except that the responsible contractingofficer may limit the water ports listed when such limitation',
26933:'is considered necessary to meet delivery or other requirements. h the awardshallspecify the united states ports of loadingthat afford thelowest',
26934:'overallcostto theoverseas destination. i when supplies will be from origins outside conus to destinations either within or outside conus, the',
26935:'contracting officer shall use theappropriatef.o.b. term and include evaluationofoffers information. jin furtheranceof the cargo preference act of1954 46 u.s.c. 1241b,',
26936:'to encourage and foster the american merchant marine, the port of delivery of supplies originating outside the united states and',
26937:'shipped by ocean vessel shall be based on the availability of united statesflag vessels between the ports involved, unless the',
26938:'acquiring activity has given other specific instructions. see subpart 47.5oceantransportationbyu.s.flagvessels. k for application of the fly america act to the',
26939:'transportation of supplies and personnel when the government is responsible for the transportation costs, see subpart 47.4airtransportationbyu.s.flagcarriers. lmilitary and civilianagencies',
26940:'shall obtain assistance from transportation offices in connection with allexport shipments see 47.105. 47.3057quantity analysis, direct delivery,and reduction ofcrosshauling and',
26941:'backhauling. a quantity analysis. 1 the requiring activity shall consider the acquisition of carload or truckload quantities. 2 when additional',
26942:'quantities of the supplies being acquired can be transported at lower unit transportation costs or with a relatively small increase',
26943:'in total transportation costs, with no impairment to the program schedule, the contracting officer shall ascertain fromthe requiring activity whether',
26944:'thereis a known requirement for additional quantities. this may 47.3058 federal acquisition regulation be the case, for example, when the',
26945:'additional quantity could profitably be stored by the activity for future use, or could be distributed advantageously to several using',
26946:'activities on the same transportation route or in the same geographical area. b direct delivery. when it is the usualpracticeof',
26947:'arequiring activity toacquire supplies in large quantities for shipment to a centralpointand subsequentdistribution to using activities, as needed, consideration shall',
26948:'begiven, if sufficient quantitiesare involved to warrant scheduling direct delivery, to the feasibility of providing for direct delivery from the',
26949:'contractor to the using activity,thereby reducing the cost of transportation and handling. c crosshauling and backhauling. the contracting officer shall',
26950:'select distribution and transshipment facilities intermediate to origins and ultimate destinations to reduce crosshauling and backhauling; i.e., to the transportation',
26951:'of personal property of the same kind in opposite directions or the return of the property to or through areas',
26952:'previously traversed in shipment. 47.3058 consolidation of small shipments and the use of stopoff privileges. a consolidation of small shipments.',
26953:'consolidation of small shipmentsinto larger lots frequently resultsin lower transportation costs. therefore, the contracting officer, after consultation withthe transportation office',
26954:'and the activity requiring the supplies, may revise thedelivery schedulesto provide for deliveries in larger quantities. b stopping for partial',
26955:'unloading. when feasible, schedules for delivery of supplies to multiple destinations shall be consolidated and the stopoffprivileges permitted under carrier',
26956:'tariffs shall be used for partial unloading at one or more points directly en route between the point of origin',
26957:'and the last destination. 47.3059commoditydescription and freight classification. a generally, the freight rateforsupplies is based on the rating applicableto thefreight',
26958:'classification description published in the national motor freight classification nmfc for carriers and the uniform freight classification ufc for rail',
26959:'filedwith federal and state regulatory bodies. therefore, thecontracting officer shall show in the solicitation a complete description of the commodity',
26960:'to be acquired and of packing requirements to determine proper transportation charges for the evaluation of offers. if supplies cannot',
26961:'beproperlyclassified through reference tofreight classification tariffs or if doubtexists, the contractingofficer shall obtain the applicable freight classificationfrom the transportation office.',
26962:'in some situationsprospective contractors have establishedan officialfreight classification description that can be applied. b 1 when the supplies being acquired',
26963:'are new to the supply system, nonstandard, or modifications of previously shipped items, and different freight classifications may apply, the',
26964:'contracting officer shall insert in solicitations the provision at 52.24753, freight classification description. 2 the contractingofficer shall alert the transportation',
26965:'officer to the possibility of negotiations for appropriate freight classification ratings and reasonable transportation rates. c the solicitation shall contain',
26966:'adequate descriptions of explosives and other dangerous supplies according to 1 the regular freight classification; and 2 the hazardous material',
26967:'description and hazard class as shown in 49 cfr172.101. d the contractingofficer shall furnishthe freight classification informationdevelopedin 47.3059a, b, and',
26968:'c of this section to the contractadministration office. 47.30510 packing, marking, and consignment instructions. a acquisition documents shall include packing',
26969:'and marking requirements necessary to prevent deterioration of supplies and damages due to the hazards of shipping, handling, and storage,',
26970:'and, when appropriate, marking in accordance with the requirements of 49 cfr 172.300. b contracts shall include complete consignment and',
26971:'marking instructions at the time the contract is awarded to ensure that supplies are delivered to proper destinations without delay.',
26972:'if complete consignment information is notinitially known, thecontracting officer shall issue amended delivery instructionsunder thechanges clause of the contractsee 43.205',
26973:'as soon as the information becomes known. c if necessary to meet required delivery schedules, the contracting officer may issue',
26974:'instructions by telephone or electronic means. thecontracting officer shall confirm telephonic instructions in writing, and confirm electronic instructions if the',
26975:'contractingofficer did not receive confirmation of receipt. d marking and consignment instructions for military shipments shall conform to the current',
26976:'issue of milstd129 military standard marking for shipment and storage and other applicable dod regulations. shipments for civilian agencies shall',
26977:'be marked as specified in federal standard 123, marking for domestic shipment civil agencies. subpart 47.3 transportation in supply contracts',
26978:'47.30513 47.30511options in shipment anddelivery. although the clauses prescribed in subpart 43.2allowcertainchangestobemadeinregardtoshipmentanddelivery,it may be desirable to provide specifically for certain',
26979:'options in the solicitation. the government may reserve the right to a direct deliveries of all or part of the',
26980:'contract quantity to destinations or to consignees other than those specified in the solicitation and in the contract; b direct',
26981:'shipments in quantities that may require transportation rates different fromthose on whichthe contract price is based; and c direct shipments',
26982:'by a mode of transportation other than that stipulated in the solicitation and in the contract. 47.30512 delivery of governmentfurnished',
26983:'property. a 1 when government property is furnished to a contractor and transportation costs to the government are a factor',
26984:'in theevaluation of offers, the contractingofficer shall includein thesolicitation a clear description of the property, its location, and other information',
26985:'necessary for the preparation of cost estimates. 2 the contractingofficer shall insertin solicitations and contracts the clause at 52.24755, f.o.b.',
26986:'point for deliveryof governmentfurnished property, whengovernmentpropertyis tobe furnished under acontract andthe government will be responsible for transportation arrangements and costs.',
26987:'b the contractingofficer shall describe explosive and dangerous material accordingto 1 the regular freight classification and 2 the hazardous material',
26988:'description and hazard class as shown in 49 cfr172.101. 47.30513 transitarrangements. a transit privileges. 1 transitarrangements permit the stopping of',
26989:'a carload or truckload shipmentat a specific intermediate point en route to the finaldestinationforstorage, processing,or other purposes,as specified incarrier tariffsor',
26990:'ratetenders. a single through rate is charged from originto final destinationplus a transit or other related charge, rather than a',
26991:'more expensive combination of rates to and from the transit point. 2 the contractingofficer shall consider possible benefits available to',
26992:'the government through theuse ofexisting transit arrangements or through efforts to obtainadditional transit privileges from the carriers. solicitationsincorporating transit arrangements',
26993:'shall berestricted tof.o.b. origin offers, as f.o.b. destination offers can only quotefixed overall delivered prices at first destination. 3 i',
26994:'traffic management personnel shall furnish information and analyses of situations in which transit arrangements may be beneficial. thequantity to be',
26995:'awarded must be ofsufficient tonnageto ensure that carload/truckload shipments can bemadeby the contractor, and there should be reasonable certainty that',
26996:'shipments out of the transit point willbe requested in carload/truckload quantities. iithe contracting officer shall insert insolicitationsthe provisionat 52.24756, transit',
26997:'arrangements, when benefits mayaccrueto thegovernment because transit arrangements may apply. b transit credits. 1 inevaluations of f.o.b. origin offers for',
26998:'large quantitiesof suppliesthat contractors normally have in process orstorage atintermediate points,contracting officers shall make use ofcontractors’ earnedcommercial transit credits, which',
26999:'are recorded with the carriers. a transit credit represents the transportation costs for a recorded tonnage from theinitial point to',
27000:'an intermediate point. the remainingtransportation charges from theintermediate point to the government destination, because they are based on through rates,',
27001:'arefrequentlylower than the transportation chargesthat would apply for the same tonnage if the intermediate point were the initial origin point.',
27002:'2 if transit credits apply, the contractshallstate that the contractor shall ship the goods on prepaid commercialbills of lading, subject',
27003:'to reimbursement by the government. the contracting officer shall ensurethat this does not preclude a proper change in delivery terms',
27004:'under the changes clause. the shipments move for the account and at the risk of the government, as they become',
27005:'government property at origin. 3 the contractorshallshow the transportation and transit chargesas separate amounts on the invoice for each individualshipment.',
27006:'the amount to be reimbursed by the government shall not exceedthe amountquoted in the offer. 4 the contractingofficer shall insertin',
27007:'solicitations and contracts the clause at 52.24757, transportationtransit privilege credits,when suppliesare of such a nature, or whenitis the custom of',
27008:'thetrade,that offerors may have potential transit credits available and the government may reduce transportation costs through the use of transit',
27009:'credits. 47.30514 federal acquisition regulation 47.30514 mode of transportation. generally,solicitationsshallnot specify a particularmode oftransportation or a particularcarrier. if theuse ofparticular',
27010:'types of carriers isnecessary tomeet program requirements, the solicitation shall provide that only offers involving the specified types of carrierswill',
27011:'be considered. the contracting officer shall obtain all specifications for mode, route, delivery, etc.,from the transportation office. 47.30515 loading responsibilities',
27012:'of contractors. a 1 contractors are responsible for loading, blocking, and bracing carload shipments as specified in standards published by',
27013:'the association of american railroads. 2 the contractingofficer shall insertin solicitations and contracts the clause at 52.24758, loading, blocking, and',
27014:'bracing of freight car shipments, when supplies may be shipped in carload lots by rail. b if the nature of',
27015:'thesupplies orsafety,environmental, or transportability factors require specialmethodsforsecuring thesupplies onthe carrier’sequipment, or ifonlya special mode of transportation or type vehicle is',
27016:'appropriate, the contracting officershallinclude in solicitations detailed specificationsthat have been coordinated with the transportation office. 47.30516 shipping characteristics. a required',
27017:'shipping weights. the contractingofficer shall insert in solicitations and contracts the clauseat 52.24759, f.o.b. origincarload and truckload shipments, whenitis contemplated',
27018:'that they may result in f.o.b. origincontracts with shipmentsin carloads ortruckloads. this will facilitate realistic freight costevaluationsof offers and ensurethat',
27019:'contractors produce economical shipments of agreed size. b guaranteed shipping characteristics. 1 the contracting officershallinsert in solicitations and contracts, excluding',
27020:'those at or below the simplified acquisition threshold, the clause at 52.24760, guaranteed shipping characteristics, when shipping and other characteristics',
27021:'are required to evaluate offersas to transportationcosts. when all ofthe shipping characteristics listed in paragraph a of the clause at',
27022:'52.24760 are notrequired to evaluate offers as to transportation costs, thecontracting officer shall delete the characteristicsnot required from the clause.',
27023:'2 the award document shall show the shipping characteristics used in the evaluation. c minimum size of shipments. when volume',
27024:'ratesmay apply, thecontracting officer shall insert in solicitations and contracts the clause at 52.24761, f.o.b. originminimum size of shipments. d',
27025:'specific quantities unknown. 1 when total requirements and destinations to which shipments will be made are known,but the specific quantityto',
27026:'beshippedto each destination cannot bepredetermined, solicitations shall state that offers areto besubmitted on the basis of delivery f.o.b. origin and/or',
27027:'f.o.b. destination and that offers will be evaluated onboth bases. 2 the contractingofficer shall insertin solicitations and contracts the clause',
27028:'at 52.24762, specific quantities unknown, when total requirements and destinations to which shipments will be made are known, but the',
27029:'specific quantity to be shipped to each destination cannot be predetermined. this clause protects the interests of both the government',
27030:'and the contractor during the course of the performance of the contract. 47.30517 returnable cylinders. the contractingofficer shall insertthe clause',
27031:'at 52.24766, returnable cylinders, in a solicitation and contract whenever the contract involves the purchase of gas in contractorfurnished returnable',
27032:'cylinders and the contractor retains title to the cylinders. 47.306 transportation factors in the evaluation of offers. when evaluating offers,',
27033:'contracting officersshallconsider transportation and transportationrelated costs aswell as the offerors’ shippingand receiving facilities. 47.3061transportation cost determinations. when requesting the transportation',
27034:'officer to assist in evaluating offers,the contracting officershallgive the transportation officer all pertinent data, including the followinginformation: a a complete',
27035:'description of the commodity being acquired including packaging instructions. b planned date of award. c date of initial shipment. subpart',
27036:'47.3 transportation in supply contracts 47.3063 d total quantity to be shipped including weight and cubic content, when appropriate. e',
27037:'delivery schedule. f contract period. g possibleuse oftransit privileges, including stopoffs for partial loading orunloading, orboth. 47.3062 lowest overall transportation',
27038:'costs. a for the evaluation of offers,the transportation officershallgive to the contracting officer, and the contractingofficer shall use, the lowest',
27039:'availablefreight rates and related accessorial and incidental charges that 1 are in effect on, or become effective before,the expected date',
27040:'of the initial shipment; and 2 are on file or published on the date of the bid opening. b if',
27041:'rates orrelated charges become available after the bid opening orthe due dateof offers, they shall notbe usedin the evaluation unless',
27042:'they cover transportation for which no applicable rates or accessorial or incidental costs were in existence at thetime ofbid opening',
27043:'or due date of the offers. 47.3063 adequacy of loading and unloading facilities. a when determining thetransportation capabilitiesof an offeror,',
27044:'the contracting officer shall consider thetype and adequacy ofthe offeror’s shipping facilities, including the ability to consolidate and shipin carload',
27045:'or truckload lots. b the contractingofficer shall consider the type and adequacyof the consignee’s receiving facilities to avoid shipping schedules',
27046:'that cannot be properly accommodated. this page intentionally left blank. 47.318 subpart 47.4 air transportation by u.s.flag carriers 47.4031 subpart',
27047:'47.4 air transportation by u.s.flag carriers 47.401definitions. as used in this subpart air freight forwarder means an indirect air carrier',
27048:'that is responsible for the transportation of property from the point of receipt to the point of destination, and utilizes',
27049:'for the whole or any part of such transportation the services of a direct air carrier or its agent,or of',
27050:'anotherair freight forwarder. gateway airport abroad means the airport from which the traveler last embarks en route to the united',
27051:'states or at which the traveler first debarks incident to travel from the united states. gateway airport in the united',
27052:'states means the last u.s. airport from which thetraveler’s flight departsor the first u.s. airport at which thetraveler’s flight arrives.',
27053:'international air transportation means transportation by air between a place in the united states and a place outside the united',
27054:'states or between two places both of which are outside the united states. united states means the 50 states, the',
27055:'district of columbia, and outlying areas of the united states. u.s.flag air carrier means an air carrier holding a certificate',
27056:'undersection 401 of the federal aviation act of1958 49 u.s.c. 41102. 47.402 policy. federal employees and their dependents, consultants, contractors,',
27057:'grantees, and others must use u.s.flag air carriers for u.s. governmentfinancedinternational airtravel and transportation of their personaleffects or property, if',
27058:'available section5 of the international air transportation fair competitive practices act of1974 49 u.s.c. 40118 fly america act. 47.403guidelines for',
27059:'implementation of the fly america act. this section 47.403 is based on the guidelines for implementation of the fly america',
27060:'act case number b138942, issued by the comptroller general of the united states on march 31,1981. 47.4031availabilityand unavailability of u.s.flag',
27061:'air carrier service. a if a u.s.flag air carrier cannot provide the international air transportation needed or if the use',
27062:'of u.s.flag air carrier servicewould not accomplish an agency’s mission, foreignflag air carrier service may be deemed necessary. b u.s.flag',
27063:'air carrier service is considered available even though 1 comparable or a different kindof service can be provided at lesscost',
27064:'bya foreignflag air carrier; 2 foreignflag air carrier service ispreferred by, or is moreconvenient for, the agency ortraveler;or 3 service',
27065:'by a foreignflag air carrier can be paid for in excess foreign currency unless u.s.flag air carriers decline to accept',
27066:'excess or near excess foreign currencies for transportation payable only out of such monies. c except as provided in paragraph',
27067:'47.4031a, u.s.flag air carrier service shall be used for u.s. governmentfinanced commercial foreign air travel if service provided by u.s.flag',
27068:'air carriers is available. in determining availability of a u.s.flag air carrier, the followingscheduling principles shall befollowed unless their application',
27069:'would result in the lastor first leg of travel to or from the united states being performed by a foreignflag',
27070:'air carrier: 1 u.s.flag air carrier service available at point of origin shall beused to destination or,in theabsence of direct',
27071:'or through service, to the farthest interchange point on a usually traveled route. 2 when an origin or interchange point',
27072:'isnot served by a u.s.flag air carrier, foreignflagair carrier serviceshallbe used only to the nearest interchange point on a usually',
27073:'traveled route to connect with u.s.flag air carrier service. 3 when au.s.flag air carrier involuntarily reroutes thetravelervia a foreignflag air',
27074:'carrier, the foreignflag air carrier may be used notwithstanding the availability of alternative u.s.flag air carrier service. d for travel',
27075:'between a gateway airport in the united states and a gateway airport abroad, passenger service by u.s.flag air carrier shall',
27076:'not be considered available if 1 the gatewayairport abroad is thetraveler’s origin or destination airport and theuse ofu.s.flag air carrier',
27077:'service would extend the time in a travel status, including delay at origin and accelerated arrival at destination, by at',
27078:'least 24 hours more than travel by a foreignflag air carrier; or 2 the gateway airport abroad is an interchange',
27079:'point and the use of u.s.flag air carrier service would require the traveler to wait 6 hours or more to',
27080:'make connections at that point, or if delayed departure from, or accelerated arrival at, the 47.4032 federal acquisition regulation gateway',
27081:'airport in the united states would extend time in a travel status by at least 6 hours more than travel',
27082:'by a foreignflag air carrier. e for travel between two points outside the united states, the rules in paragraphs 47.4031a,',
27083:'b, and c shall be applicable, but passenger service by a u.s.flag air carrier shall not be considered to be',
27084:'reasonably available if 1 travel by a foreignflagair carrier would eliminatetwo ormore aircraft changes en route; 2 one of the',
27085:'two points abroad is the gateway airport en route to or from the united states and the use of a',
27086:'u.s.flag air carrierwould extend the timein a travel statusby atleast 6 hours more than travel by aforeignflag air carrier, including',
27087:'accelerated arrival at the over seas destination or delayed departure from the overseas origin, as well as delay at the',
27088:'gateway airport or other interchange point abroad; or 3 the travel is not part of the trip to or from',
27089:'the united states and the use of a u.s.flag air carrier would extend the time in a travel status by',
27090:'at least 6 hours more than travel by a foreignflag air carrier including delay at origin, delay en route, and',
27091:'accelerated arrival at destination. f for all shortdistance travel under either paragraph d or paragraph e of 47.4031, u.s. air',
27092:'carrier service shall not be considered available when the elapsed travel time on a scheduled flight from origin to destination',
27093:'airport by foreignflag air carrier is 3 hours or less and service by a u.s.flag air carrier would involve twice',
27094:'such travel time. 47.4032airtransport agreements betweenthe united states andforeign governments. nothing in the guidelines of the comptroller general see 47.403',
27095:'shall preclude, and no penalty shall attend, the use of a foreignflag air carrier that provides transportation under an air',
27096:'transport agreement between the united states and a foreign government, the terms of which are consistent with the international aviation',
27097:'policy goals at 49 u.s.c. 1502b and provide reciprocal rights and benefits. 47.4033disallowanceof expenditures. a agencies shall disallow expenditures for',
27098:'u.s. governmentfinanced commercial international air transportation on foreignflag air carriers unless there is attached to the appropriate voucher a memorandum',
27099:'adequately explaining why service by u.s.flag air carriers was not available, or why it was necessary to use foreignflag air',
27100:'carriers. b when the travel is by indirect route or the traveler otherwise fails to use available u.s.flag air carrier',
27101:'service, the amount to be disallowed against the traveler isbased on theloss of revenues suffered by u.s.flagair carriers asdetermined under',
27102:'the following formula, which is prescribed and more fully explained in 56 comp. gen. 209 1977: c thejustification requirement is',
27103:'satisfied bythe contractor’s use of a statementsimilar to theonecontained inthe clause at 52.24763, preference for u.s.flag air carriers. see 47.405.',
27104:'subpart 47.4 air transportation by u.s.flag carriers 47.405 47.404 air freight forwarders. a agencies may use air freight forwarders that',
27105:'are engaged in international air transportation 49 u.s.c. 1301c for u.s. governmentfinancedmovements of property. the rule ondisallowance of expenditures in',
27106:'47.4033a applies also to the air carriers used by these international air freight forwarders. b agency personnel shall inform international',
27107:'air freight forwarders that to facilitate prompt payments of their bills, they shall submit with their bills 1 a copy',
27108:'of the airway bill or manifest showing the air carriers used; and 2 justification for the use of foreignflag air',
27109:'carriers similar to the one shown in the clause at 52.24763, preference for u.s.flag air carriers. 47.405contract clause. the contractingofficer',
27110:'shall insertthe clause at 52.24763, preference for u.s.flag air carriers, in solicitations and contracts whenever it is possible that u.s.',
27111:'governmentfinanced international air transportation of personnel and their personal effects or property will occur in the performance of the contract.',
27112:'this clause does not apply to contracts awarded using the simplified acquisition procedures in part 13 or contracts for commercial',
27113:'products see part 12. this page intentionally left blank. 47.44 subpart 47.5 ocean transportation by u.s.flag vessels 47.502 subpart 47.5',
27114:'ocean transportation by u.s.flag vessels 47.500scope of subpart. this subpart prescribes policy and procedures for giving preference to u.s.flag vessels',
27115:'when transportation of supplies by ocean vessel is required. this subpart does not apply to the department of defense dod.',
27116:'policy and procedures applicable to dodappear in dfars subpart 247.5. 47.501definitions. as used in this subpart dry bulk carrier means',
27117:'a vessel used primarily for the carriage of shipload lots of homogeneous unmarked nonliquid cargoes such as grain, coal, cement,',
27118:'and lumber. dry cargo liner means a vessel usedforthe carriage of heterogeneous marked cargoes in parcellots. however, any cargo may',
27119:'be carriedin these vessels, including part cargoesof dry bulk items or,when carriedin deep tanks,bulkliquids suchas petroleum and vegetable oils. foreignflag',
27120:'vessel means any vessel of foreign registry including vessels owned by u.s. citizens but registered in a nation other than',
27121:'the united states. government vessel means a vessel owned by the u.s. government and operated directly by the government or',
27122:'for thegovernment by an agent orcontractor, including a privately owned u.s.flag vessel under bareboat charter to the government. privately owned',
27123:'u.s.flag commercial vessel means a vessel 1 registered and operated under the laws of the united states, 2 used in',
27124:'commercial trade of the united states, 3 owned and operated by u.s. citizens, including a vessel under voyage or time',
27125:'charter to the government, and 4 a governmentowned vessel under bareboat charter to, andoperated by,u.s. citizens. tanker means avessel used',
27126:'primarily for the carriage of bulk liquid cargoes such asliquid petroleum products,vegetable oils, and molasses. u.s.flag vessel when used independently',
27127:'means either a government vessel or a privately owned u.s.flag commercial vessel. 47.502 policy. a the policy of the united',
27128:'states regarding the use of u.s.flag vessels is stated in the following acts: 1 the cargo preference act of 190410',
27129:'u.s.c. 2631, which requires the department of defense to use only u.s.flag vessels for ocean transportation of supplies for the',
27130:'army, navy, air force, or marine corpsunlessthose vessels are not available at fair and reasonable rates. 2 the merchant marine',
27131:'act of 1936 46 u.s.c. 1101, which declares it is the policy of the united states to foster the development',
27132:'and encourage the maintenance of its merchant marine. 3 the cargo preference act of 195446 u.s.c. 1241b, which is section',
27133:'901b of the merchant marine act. under this act, government agencies acquiring, either within or outside the united states, supplies',
27134:'that may require ocean transportation shall ensure that at least 50 percent of the gross tonnage of these supplies computed',
27135:'separately for dry bulk carriers, dry cargo liners, and tankers is transported on privately ownedu.s.flag commercial vessels tothe extent that',
27136:'such vessels are available at rates that are fair and reasonable for u.s.flag commercial vessels. this applies when the supplies',
27137:'are i acquired for the account of the united states; ii furnished to, or for the account of, a foreign',
27138:'nation without provision for reimbursement; iii furnished for the account of a foreign nation in connection with which the united',
27139:'states advances funds or credits, or guarantees the convertibility of foreign currencies; or iv acquired with advance of funds, loans,',
27140:'or guaranties made by or on behalf of the united states. b additional policies providing preference for the use of',
27141:'u.s.flag vessels are contained in 1 46 u.s.c. 1241aforofficial business travel byofficers and employees of the united states and for',
27142:'the transportation oftheir personal effects; and 2 46 u.s.c. 1241e for the transportation of motor vehicles owned by government personnel',
27143:'when transportation is at government expense or otherwise authorized by law. federal acquisition regulation c theprovisionsof the cargo preference act',
27144:'of 1954may be temporarily waivedwhen the congress, the president, or the secretary of defense declares that an emergency justifying a',
27145:'temporary waiver exists and so notifies the appropriate agency or agencies. 47.503 applicability. a except as stated in paragraph b',
27146:'of this section and in 47.504, thecargo preference actsof1904 and1954 described in 47.502aapply to the following cargoes: 1 supplies owned',
27147:'by the government and in the possession of i the government; ii a contractor; or iii a subcontractor atanytier. 2',
27148:'supplies for use of the government that are contracted for and require subsequent delivery to a government activity but are',
27149:'not owned by the government at the time of shipment. 3 supplies not owned by the government at the time',
27150:'of shipment that are to be transported for distribution to foreign assistance programs, but only if these supplies are not',
27151:'acquired or contracted for with local currency funds see 47.504b. b governmentowned supplies to be shipped commercially that are 1',
27152:'in the possession of a department, a contractor,or asubcontractorat anytier and 2 for use of military departments shall be transported',
27153:'exclusively in privately owned u.s.flag commercial vessels if such vessels are available at rates that are fair and reasonable for',
27154:'u.s.flag commercial vessels. c the 50percent requirement shall not prevent the use of privately owned u.s.flag commercial vessels for transportation',
27155:'ofup to 100 percent of the cargo subjectto thecargo preference act of1954. 47.504exceptions. the policy and procedures in this subpart',
27156:'do not apply to the following: a shipments aboard vessels as required orauthorized by law or treaty. b ocean transportation',
27157:'between foreign countries of supplies purchased with foreign currencies made available, or derived from funds that are made available, under',
27158:'the foreign assistance act of1961 22 u.s.c. 2353. c shipments of classified supplies when the classification prohibits the use of',
27159:'nongovernment vessels. d subcontracts for the acquisition of commercial products, including commercial components, or commercial services see 12.504a1anda11. this exception',
27160:'does not apply to 1 grantsinaid shipments, such as agricultural and foodaid shipments; 2 shipments covered under 46 u.s.c. app.12411,',
27161:'such as those generated by exportimport bank loans or guarantees; 3 subcontracts under i government contracts or agreements for ocean',
27162:'transportation services; or ii construction contracts; or 4 shipments of commercial products that are iitems the contractor is reselling or',
27163:'distributing to the government without adding value seefar 12.501b. generally,the contractor does not add value to the items when it',
27164:'subcontracts items for f.o.b. destination shipment; or ii shipped in direct support of u.s. military a contingency operations; b exercises;',
27165:'or c forces deployed in connectionwith united nationsor north atlantic treaty organization humanitarian or peacekeeping operations. 47.505construction contracts. a except',
27166:'as stated in paragraph b of this section, construction contractors, including subcontractors and suppliers, engaged in overseas work shall comply',
27167:'with the policies and regulations in this subpart. b these requirements shall not apply to military assistance, foreign aid, or',
27168:'similar projects under the auspices of the u.s. government when the recipient nation furnishes, or paysfor, at least 50 percent',
27169:'of the transportation, in which event foreign flag vessels may be used for a portion not to exceed 50 percent',
27170:'of the gross tonnage for the project. subpart 47.5 ocean transportation by u.s.flag vessels 47.507 47.506 procedures. a thecontracting officer',
27171:'shall obtain assistancefrom the transportation activity see 47.105 in developing appropriate shipping instructions and delivery terms for inclusion in solicitations',
27172:'and contracts that may involve ocean transportation of supplies subject to therequirements of the cargopreference act of1954 see 47.502a3. b',
27173:'when the contractornotifies thecontracting officer thata privately owned u.s.flag commercialvessel is not available, thecontracting officer shall seek assistance from thetransportation',
27174:'activity. c for purposes of determining the availability of privately owned u.s.flag commercial vessels at fair and reasonable rates, rates',
27175:'filed and published in accordance with the requirements of the federal maritime commission may be accepted as fair andreasonable. when',
27176:'applicablerates for charter cargoes are notin published tariffs, a determinationas to whether the rates are fair and reasonable shall be',
27177:'obtained from the maritime administration. d the maritime administration has issued regulations 46 cfr381 that require agencies to submit reports',
27178:'regarding ocean shipments. contracting officers shall follow agencyregulations whenpreparing, orfurnishing information for, these reports. 47.507contract clauses. a 1 insert the',
27179:'clause at 52.24764,preferenceforprivatelyownedu.s.flagcommercialvessels,insolicitationsand contracts that may involve oceantransportation of supplies subject to thecargo preference act of1954. for application of thecargo',
27180:'preference act of1954, see 47.502a3, 47.503a, and 47.504. 2 if an applicable statute requires, or if it has been determined',
27181:'under agency procedures, that the supplies to be furnished under the contracts must be transported exclusively in privately owned u.s.flag',
27182:'commercial vessels see 47.502a 1 and 47.503b, use the clause with its alternatei. 3 except for contracts or agreements for',
27183:'ocean transportation services or construction contracts, use the clause with its alternate ii if any of the supplies to be',
27184:'transported are commercial products that are shipped in direct support of u.s. military i contingency operations; ii exercises; or iii',
27185:'forcesdeployedin connection with unitednations ornorth atlantictreaty organizationhumanitarianor peacekeeping operations. b the contractingofficer may insert in solicitations and contracts, under agencyprocedures,additional',
27186:'appropriate clauses concerning the vessels to be used. this page intentionally left blank. 47.54 part 48 value engineering sec. 48.000',
27187:'scope of part. subpart 48.2 contract clauses 48.001 definitions. 48.201 clauses for supply or service contracts. 48.202 clause for construction',
27188:'contracts. subpart 48.1 policies and procedures 48.101 general. 48.102 policies. 48.103 processing value engineering change proposals. 48.104 sharing arrangements. 48.1041',
27189:'determining sharing period. 48.1042 sharing acquisition savings. 48.1043 sharing collateral savings. 48.1044 sharing alternativenocost settlement method. 48.105 relationship to other',
27190:'incentives. this page intentionally left blank. 48.000scope of part. this part prescribes policies and procedures for using and administering value',
27191:'engineering techniques in contracts. 48.001definitions. as used in this part acquisition savings means savings resulting from the application of a',
27192:'value engineering change proposal vecp to contracts awarded by the same contracting office orits successor for essentially thesame unit. acquisition',
27193:'savingsinclude 1 instant contract savings, that are the net cost reductions on the contract under which the vecp is submitted',
27194:'and accepted, and that are equal tothe instant unit cost reduction multiplied by the number of instant contract units affected',
27195:'by the vecp, less thecontractor’sallowable development and implementation costs; 2 concurrent contract savings, that are net reductions in the prices',
27196:'of other contracts that are definitized and ongoing at the time the vecp is accepted; and 3 future contract savings,',
27197:'that are the product of the future unit cost reduction multiplied by the number of future contract units in the',
27198:'sharing base. on an instant contract, future contract savings include savings on increases in quantities after vecp acceptance that are',
27199:'due to contract modifications, exercise of options, additional orders, and funding of subsequent year requirements on a multiyear contract. collateral',
27200:'costs means agencycosts of operation, maintenance, logistic support, or governmentfurnished property. collateral savings means those measurable net reductions resulting from',
27201:'avecp in the agency’s overall projected collateral costs, exclusive of acquisition savings, whether or not the acquisition cost changes. contracting',
27202:'office includes any contractingoffice thatthe acquisition is transferred to, such as another branch of the agency or another agency’soffice thatis',
27203:'performing a jointacquisition action. contractor’s development and implementation costs means those costs the contractor incurs on a vecp specifically in',
27204:'developing, testing, preparing, and submitting the vecp, as well as those costs the contractor incurs to make thecontractual changes required',
27205:'bygovernmentacceptance ofa vecp. future unit cost reduction means theinstant unitcostreduction adjusted as the contracting officer considers necessary for projected learning',
27206:'or changes in quantity during the sharing period. it is calculated at the time the vecp is accepted and applies',
27207:'either 1 throughout the sharing period, unless the contracting officer decidesthat recalculationis necessary because conditions are significantly different from those',
27208:'previously anticipated,or 2 to the calculation of a lumpsumpayment, thatcannot later be revised. government costs means those agencycosts that result',
27209:'directly from developing and implementing thevecp, such as any net increases in the cost of testing, operations, maintenance, and logistics',
27210:'support. the term does not include the normal administrative costs of processing the vecp or any increase in instant contract',
27211:'cost or price resulting from negative instant contract savings, except that for use in 52.2483, see the definition at 52.2483b.',
27212:'instant contract means the contract under which the vecp is submitted. it does not include increases in quantities after acceptance',
27213:'of the vecp that are due to contract modifications, exercise of options, or additional orders. if the contract is a',
27214:'multiyear contract, the term does not include quantities funded after vecp acceptance. in a fixedprice contract with prospective price redetermination,',
27215:'the term refers to the period for which firm prices have been established. instant unit cost reduction means the amount',
27216:'of the decrease in unit cost of performance without deducting any contractor’s development or implementation costs resultingfrom usingthe vecp on',
27217:'the instant contract. in service contracts, the instant unit cost reduction is normally equal to the number of hours per',
27218:'lineitem task saved by using the vecp on the instant contract, multiplied by the appropriate contract labor rate. negative instant',
27219:'contract savings means the increase in the instant contract cost or price when the acceptance of a vecp results in',
27220:'an excess ofthe contractor’s allowable development and implementation costs overthe product ofthe instant unit cost reduction multiplied by the number',
27221:'of instant contract units affected. net acquisition savings means total acquisition savings, including instant, concurrent, and future contract savings, less',
27222:'government costs. sharing base means the numberof affected end items on contractsof the contractingoffice accepting the vecp. sharing period means',
27223:'the period beginning with acceptance of the first unit incorporating the vecp and ending at a calendar date or eventdetermined',
27224:'by the contracting officer for each vecp. unit means the itemor task to which the contracting officerand the contractor agree',
27225:'the vecpapplies. federal acquisition regulation value engineering proposal means, in connection with an ae contract, a change proposal developed by',
27226:'employees of the federal government or contractor value engineering personnel under contract to an agency to provide value engineering services',
27227:'for the contract or program. subpart 48.1 policies and procedures 48.101general. a value engineeringis the formal techniqueby which contractors may',
27228:'1 voluntarily suggest methods for performing more economically and share in any resulting savings or 2be required to establish a',
27229:'program to identify and submit to thegovernment methods for performing more economically. value engineering attempts to eliminate,without impairing essential functions',
27230:'or characteristics, anything that increases acquisition, operation, or support costs. b there are two value engineering approaches: 1 the first',
27231:'is an incentive approach in which contractor participation is voluntary and the contractor uses its own resources to develop and',
27232:'submit any value engineering changeproposalsvecp’s. the contract provides for sharing of savings and for payment ofthe contractor’s allowable development and',
27233:'implementation costs only if a vecp is accepted. this voluntary approach should not in itself increase costs to the government.',
27234:'2 the second approach is a mandatory program in which the government requires and pays for a specific value engineering',
27235:'program effort. the contractormust perform value engineering ofthe scope andlevel of effortrequired by thegovernment’s program plan andincluded as a separately',
27236:'priced itemof work inthe contract schedule. no value engineering sharing is permitted in architect engineer contracts. all other contracts with',
27237:'a program clause share in savings on accepted vecp’s, but at a lower percentagerate than under the voluntary approach. the',
27238:'objective of this valueengineering program requirement is to ensure that the contractor’s value engineering effort is appliedto areas of thecontract',
27239:'that offer opportunities for considerable savings consistent with the functional requirements of the end item of the contract. 48.102policies. a',
27240:'as required by 41 u.s.c. 1711, agencies shall establish and maintain costeffectivevalue engineeringprocedures and processes. agencies shall provide contractors a',
27241:'substantial financial incentive to develop and submit vecp’s. contracting activities will include value engineering provisions in appropriatesupply, service, architectengineer and',
27242:'construction contracts as prescribed by 48.201 and 48.202 except where exemptions are granted on a casebycase basis, or for specific',
27243:'classes of contracts, by the agency head. b agencies shall 1 establish guidelines for processing vecp’s, 2 process vecp’sobjectively and',
27244:'expeditiously, and 3 provide contractors a fair share ofthe savings on accepted vecp’s. c agencies shall consider requiring incorporation of',
27245:'value engineering clauses in appropriate subcontracts. d 1 agencies other than the department of defense shall use the value engineering',
27246:'program requirement clause 52.2481, alternates i or ii in initial production contracts for major system programs see definition of major',
27247:'system in 34.001 and for contracts for major systems research and development except where the contracting officer determines and documents',
27248:'the file to reflect that such use is not appropriate. 2 in department of defense contracts, the ve program requirement',
27249:'clause 52.2481, alternates i or ii, shall be placed in initial production solicitations and contracts first and second production buys',
27250:'for major system acquisition programs as defined in dod directive 5000.1, except as specified in subdivisions d2i and ii of',
27251:'this section. a program requirement clause may be included in initial production contracts for less than major systems acquisition programs',
27252:'if there is a potential for savings. the contracting officer is not required to includea program requirement clause in initialproduction',
27253:'contracts iwhere, inthe judgment of the contracting officer, theprimecontractor has demonstrated an effective veprogram during either earlier program phases, or',
27254:'during other recent comparable production contracts. ii which are awarded on the basis of competition. e value engineeringincentive payments donot',
27255:'constitute profit or fee within the limitationsimposedby 10 u.s.c. 3322b and 41 u.s.c.3905 see 15.4044c4i. f generally, profitor fee on',
27256:'the instantcontract should not be adjusted downward as a resultof acceptance of a vecp. profit or fee shall be excluded',
27257:'when calculating instant or future contract savings. subpart 48.1 policies and procedures 48.1041 g the contractingofficer determines the sharing periods',
27258:'and sharing rates on a casebycase basisusing the guidelines in 48.1041 and 48.1042, respectively. inestablishing a sharing period and sharing',
27259:'rate, the contractingofficer must consider the following, as appropriate, and must insert supporting rationale in the contract file: 1 extent',
27260:'of the change. 2 complexity of the change. 3 development risk e.g., contractor’s financial risk. 4 development cost. 5 performance',
27261:'and/or reliability impact. 6 production period remaining at the time of vecp acceptance. 7 number of units affected. h contracts',
27262:'for architectengineer services must require a mandatory value engineering program to reduce total ownership cost in accordance with 48.101b2. however,',
27263:'there must be nosharingof value engineering savings in contracts for architectengineer services. iagencies shall establish procedures for funding and payment',
27264:'of the contractor’sshare of collateralsavings and future contract savings. 48.103 processingvalue engineering change proposals. a instructions to the contractor for',
27265:'preparing a vecp and submitting it to the government are included in paragraphs c and d of the value engineering',
27266:'clauses prescribed in subpart 48.2.uponreceivingavecp,thecontractingofficerorother designated officialshallpromptly process and objectively evaluate the vecp in accordance withagency procedures and shall document',
27267:'the contractfile with therationaleforaccepting or rejecting the vecp. b the contractingofficer is responsible for accepting or rejecting thevecp within 45',
27268:'days from itsreceipt by the government. if the government will need more time to evaluate the vecp, the contracting officer',
27269:'shall notify the contractor promptly in writing, giving the reasons and the anticipated decision date. the contractor may withdraw, in',
27270:'whole or in part, any vecp not accepted by the government within the period specified in the vecp. any vecp',
27271:'may be approved, in whole or in part, bya contract modification incorporating the vecp. until the effective date of the',
27272:'contract modification, the contractor shall perform in accordance with the existing contract. if the government accepts thevecp, but properly rejects',
27273:'units subsequently delivered or does not receive units on which a savings share was paid, the contractor shall reimburse the',
27274:'government for the proportionate shareof these payments. if the vecp is notaccepted, the contracting officer shall provide the contractor with',
27275:'prompt written notification, explaining the reasons for rejection. c the following government decisions are unilateral decisions made solely at the',
27276:'discretion of the government: 1 the decisionto accept or reject a vecp. 2 the determination of collateral costs or collateral',
27277:'savings. 3 the decision as to which of the sharing rates applies when alternateii of the clause at 52.2481, value',
27278:'engineering, is used. 4 the contractingofficer’s determinationof the durationof the sharing period and thecontractor’s sharing rate. 48.104sharing arrangements. 48.1041 determining',
27279:'sharing period. a contracting officers mustdetermine discrete sharing periods for each vecp. ifmorethan one vecp is incorporated into a contract,',
27280:'the sharing period for each vecp need not be identical. b the sharing period begins with acceptance of the first',
27281:'unit incorporating thevecp. except as provided inparagraph c of this subsection, the end of the sharing period is a specific',
27282:'calendar date that is the later of 1 36 to 60 consecutive months set at the discretion ofthe contracting officer',
27283:'for each vecp after the first unit affected bythe vecp is accepted; or 2 the last scheduled delivery date of',
27284:'an item affected by the vecp under the instant contract deliveryschedulein effect atthe time the vecp is accepted. c for',
27285:'engineeringdevelopment contracts and contracts containing lowrateinitialproduction or early production units, the end of the sharing period is based not on',
27286:'a calendar date, but on acceptance of a specified quantity of future contract units. this quantityis the number of units',
27287:'affected by thevecp that are scheduled tobe deliveredover a period of between 36 and 60 consecutive months set at thediscretionof',
27288:'the contractingofficer for each vecp that spans the highest planned production, based on planning and programming or production documentation at',
27289:'the time the vecp is accepted. the 48.1042 federal acquisition regulation specified quantity begins with thefirstfuture contract unit affectedby the',
27290:'vecp and continues over consecutivedeliveries until the sharing period ends at acceptance of the last of the specified quantity of',
27291:'units. d for contracts other than those in paragraph c of this subsection for items requiring a prolonged production schedule',
27292:'e.g., ship construction, major system acquisition, the end of the sharing period is determined according to paragraph b of this',
27293:'subsection. agencies may prescribe sharing of future contract savings on all future contract units to be delivered under contracts awarded',
27294:'within the sharing period for essentially the same item, even if the scheduled delivery date is outside the sharing period.',
27295:'48.1042 sharing acquisition savings. a supply or service contracts. 1 the sharing base for acquisition savings is the number of',
27296:'affected enditemson contracts ofthe contracting office accepting the vecp. thesharingrates government/contractorfornet acquisition savings for supplies and services are based on',
27297:'the type of contract, the value engineering clause or alternate used, and the type of savings, as follows: contract type',
27298:'sharing agreement concurrent and future contract rate fixedprice includes fixedpriceawardfee; excludes other 75/25 fixedprice incentive contracts incentive fixedprice or cost',
27299:'other than award fee 75/25 costreimbursement includes costplusawardfee; excludes 85/15 other costtype incentive contracts incentive voluntary program requirement mandatory instant',
27300:'contract rate concurrent and future contract rate instant contract rate 50/50 50/50 75/25 50/50 75/25 75/25 85/15 thecontracting officermay increase',
27301:'the contractor’s sharing rateto as high as 75percent foreach vecp. see 48.102g 1 through 7. same sharing arrangementasthecontract’s profit or',
27302:'fee adjustment formula. the contractingofficer mayincreasethecontractor’s sharing rate toas high as 50 percent for each vecp. see 48.102g 1 through',
27303:'7. government/contractor shares of net acquisition savings figures in percent 2 acquisition savings may be realized on the instant contract,',
27304:'concurrent contracts, and future contracts. the contractor is entitled to a percentage share see paragraph a1 of any net acquisition',
27305:'savings. net acquisition savings result when the total of acquisition savings becomes greater than the total of government costs and',
27306:'any negative instant contract savings. this may occur on the instant contract or it may not occur until reductions have',
27307:'been negotiated on concurrent contracts or until future contract savings are calculated, either through lumpsum payment or as each future',
27308:'contract is awarded. iwhen the instant contract isnot an incentive contract, the contractor’s share of net acquisitionsavings is calculated and',
27309:'paid eachtime such savings are realized. thismay occuronce, several times, or,in rare cases,not atall. ii when the instant contract is',
27310:'an incentive contract, the contractor shares in instant contract savings through the contract’sincentive structure. incalculating acquisition savings underincentive contracts,the contracting',
27311:'officer shall add any negative instant contractsavings to the target cost or to the target price and ceilingprice and then',
27312:'offset these negative instant contract savings and any government costs against concurrent and future contract savings. 3 the contractorsharesin thesavings',
27313:'on all affectedunits scheduled for delivery during thesharingperiod. the contractor is responsible for maintaining, for 3 years after final payment',
27314:'on the contract under which the vecp was accepted, records adequateto identify the first delivered unit incorporatingthe applicable vecp. 4',
27315:'contractor shares of savings are paid through the contract under which the vecp was accepted. on incentive contracts, the contractor’sshare',
27316:'of concurrent and future contract savings andof collateral savings shall be paid as a separate firmfixedprice line item on the',
27317:'instant contract. 5 within 3 months afterconcurrent contracts have been modified to reflect price reductions attributableto use of the vecp,',
27318:'the contracting officer shall modify the instant contract to provide the contractor’s shareof savings. subpart 48.1 policies and procedures 48.105',
27319:'6 the contractor’s share of future contractsavings may be paid as subsequent contracts are awardedor in a lumpsum paymentat the',
27320:'timethe vecp is accepted. the lumpsummethod may be used only if the contractingofficer hasestablished that this is thebestway to proceed',
27321:'and thecontractor agrees. the contractingofficer ordinarily shall make calculations as future contracts are awarded and, within 3 months afteraward, modify',
27322:'theinstant contract to provide thecontractor’s share of the savings. for future contract savings calculated under the optional lumpsum method, the',
27323:'sharing base is an estimate of the number ofitems that the contracting officer will purchase for delivery during thesharingperiod. in',
27324:'deciding whether or not to use the more convenient lumpsum methodforan individual vecp, the contractingofficer shall consider i the accuracy',
27325:'with which the number of items to be delivered during the sharing period can be estimated and the probability of',
27326:'actual production of the projected quantity; ii the availability of funds for a lumpsum payment; and iii the administrative expense',
27327:'of amending the instant contract as future contracts are awarded. b construction contracts. sharing on construction contracts applies only to',
27328:'savings on the instant contract and to collateral savings. the government’s share ofsavings isdetermined by subtracting government costs from instantcontract',
27329:'savings and multiplying the result by 145 percent for fixedprice contracts or 275 percent for costreimbursement contracts. valueengineering sharing does',
27330:'not apply toincentive construction contracts. 48.1043 sharing collateral savings. a thegovernment sharescollateral savingswith the contractor,unlessthe head of the contracting activity',
27331:'has determined that the cost of calculating and tracking collateral savings will exceed the benefits to be derived see 48.201e.',
27332:'b the contractor’s share of collateral savings may range from20 to 100 percent of the estimated savings tobe realized during',
27333:'a typical year of use but must not exceed the greater of 1 the contract’s firmfixedprice, target price, target cost,',
27334:'or estimated cost,at the timethe vecp is accepted; or 2 $100,000. c thecontracting officer must determine the sharing rate for',
27335:'eachvecp. d in determining collateral savings, the contracting officer must consider any degradation of performance, service life, or capability. 48.1044',
27336:'sharing alternativenocost settlement method. in selecting an appropriate mechanism for incorporatinga vecp into a contract, the contractingofficer shall analyze thedifferentapproaches',
27337:'available todetermine which onewouldbe inthe government’s best interest. contracting officers should balance the administrative costs of negotiating a settlement against',
27338:'the anticipated savings. a nocost settlement may beused if,in thecontracting officer’s judgment, reliance on other vecp approaches likely would not',
27339:'be more costeffective, and the nocost settlement would provide adequate consideration to the government. under this method of settlement, thecontractor',
27340:'would keep all of thesavings on the instant contract, and all savings on itsconcurrent contracts only. the government would keep',
27341:'all savings resulting from concurrent contracts placed with other sources, savings from all future contracts, and all collateral savings. use',
27342:'of this method must be by mutual agreement of both parties for individual vecps. 48.105relationship to other incentives. contractors should',
27343:'be offeredthe fullest possiblerange ofmotivation, yet the benefits ofan accepted vecp should not be rewarded bothas value engineering sharesand under',
27344:'performance,designtocost, or similar incentives ofthe contract. to that end,when performance, designtocost,or similar targets are setand incentivized, thetargets of such incentives',
27345:'affected by the vecp are not to be adjusted becauseof the acceptance of the vecp. onlythose benefits of an accepted',
27346:'vecpnot rewardable under other incentives are rewarded under a value engineering clause. this page intentionally left blank. 48.16 subpart 48.2',
27347:'contract clauses 48.201 subpart 48.2 contract clauses 48.201clauses for supply or service contracts. a general. the contracting officershallinsert a value',
27348:'engineering clause in solicitations and contractswhen the contract amount is expected to exceed the simplified acquisition threshold, except as specified',
27349:'in paragraphs a1 through 5 and in paragraph f of this section. a value engineeringclause maybe included in contracts oflesser',
27350:'value ifthe contracting officer seesa potential for significantsavings. unlessthe chief of the contracting officeauthorizesits inclusion, the contracting officer shall notinclude',
27351:'a value engineering clause in solicitations and contracts 1 for research and development other than fullscale development; 2 for engineeringservices',
27352:'from notforprofit or nonprofit organizations; 3 for personal services see subpart 37.1; 4 providing for product or component improvement, unless',
27353:'the value engineering incentive application is restricted to areas not covered by provisions for product or component improvement; 5 for',
27354:'commercial products see part 11 that do not involve packaging specifications or other special requirements or specifications; or 6 when',
27355:'the agency head has exempted the contract or a class of contracts from the requirements of this part 48. b',
27356:'value engineering incentive. to provide a value engineering incentive,the contracting officer shall insert the clause at 52.2481, valueengineering, in solicitations',
27357:'and contracts except as provided in paragrapha of this section but see paragraph e1 of this section. c value engineeringprogramrequirement.',
27358:'1 if amandatory valueengineering effortis appropriate i.e., if the contracting officerconsiders that substantial savings tothe government may result from asustained',
27359:'value engineering effort of a specified level, the contracting officer shall use the clause with its alternatei but see paragraph',
27360:'e2 of this section. 2 the value engineering program requirement may be specified by the government in the solicitationor, in',
27361:'the case of negotiated contracting, proposed by the contractor as partof its offer and included as a subject for negotiation.',
27362:'the program requirement shall be shown as a separately priced line item in the contract schedule. d valueengineering incentive and',
27363:'program requirement. 1 if both a value engineering incentive and a mandatory program requirement areappropriate, the contracting officer shall use',
27364:'theclause with itsalternateii but seeparagraph e3 of this section. 2 the contract shall restrict the value engineering program requirement to',
27365:'welldefined areas of performance designated by line item in the contract schedule. alternateii applies a value engineering program to the',
27366:'specified areas and a value engineering incentive to the remaining areas of the contract. e collateral savings computation not costeffective.',
27367:'if the head of the contracting activity determines for a contract or class of contracts that the cost of computing',
27368:'and tracking collateral savings will exceed the benefits to be derived, the contracting officershalluse the clausewith its 1 alternateiii if',
27369:'a value engineering incentive is involved; 2 alternateiii and alternatei if a value engineering program requirement is involved; or 3',
27370:'alternateiii and alternateii if both an incentive and a program requirement are involved. f architectengineer contracts. thecontracting officer shall insert',
27371:'the clause at 52.2482, valueengineering architect engineer, insolicitationsandcontracts whenever the government requires and paysfora specific value engineering effort in architectengineer',
27372:'contracts. the clause at 52.2481, value engineering, shall notbe usedin solicitations and contracts for architectengineer services. g engineeringdevelopment solicitations and',
27373:'contracts. for engineeringdevelopment solicitations and contracts, and solicitations and contracts containing lowrateinitialproduction or earlyproduction units, the contractingofficer must modify the',
27374:'clause at 52.2481, value engineering, by 1 revising paragraph i3i of the clause by substituting a number equal to the',
27375:'quantity required to be delivered over a period ofbetween 36 and 60 consecutive months set at the discretion ofthe contracting',
27376:'officerforeach vecp that spans the highest planned production, based on planning and programming or production documentation at the time the',
27377:'vecp is accepted; for the number of future contract units scheduled for delivery during the sharing period; and 2 revising',
27378:'the first sentence under paragraph 3 of the definition of acquisition savings by substituting a number equal to the quantity',
27379:'to be delivered over a period of between 36 and 60 consecutive months set at the discretion of the contracting',
27380:'officerforeach vecp that spans the highestplanned production,based on planning and programmingor production documentation at the time the vecp is accepted.',
27381:'for the number of future contract units in the sharing base. federal acquisition regulation h extended production period solicitations and',
27382:'contracts. in solicitations and contracts for items requiring an extended period for production e.g., ship construction, major system acquisition, if',
27383:'agency procedures prescribe sharing of future contract savings on all units to be delivered under contracts awarded during the sharing',
27384:'period see 48.1041c, the contracting officermust modify the clause at 52.2481, value engineering, by revising paragraph i3i of the clause',
27385:'and the first sentence under paragraph 3 of the definition of acquisition savings by substituting under contracts awarded during the',
27386:'sharing period for during the sharing period. 48.202clause for construction contracts. the contractingofficer shall insertthe clause at 52.2483, value engineeringconstruction,',
27387:'in construction solicitations and contracts when the contract amount is estimated to exceed the simplified acquisition threshold, unless an incentive',
27388:'contract is contemplated. thecontracting officer may include the clause in contracts of lesservalue if the contracting officer seesa potential for',
27389:'significantsavings. the contractingofficer shall not include the clause inincentivetypeconstruction contracts. if the head of the contracting activity determines that the',
27390:'cost of computing and tracking collateral savings for a contract will exceed thebenefits to be derived, the contracting officer shall',
27391:'use the clause with its alternatei. part 49 termination of contracts sec. 49.000 scope of part. subpart 49.2 additional principles',
27392:'49.001 definitions. for fixedprice contracts 49.002 applicability. terminated for convenience 49.201 general. subpart 49.1 general principles 49.202 profit. 49.100 scope',
27393:'of subpart. 49.203 adjustment for loss. 49.101 authorities and responsibilities. 49.204 deductions. 49.102 notice of termination. 49.205 completed end items.',
27394:'49.103 methods of settlement. 49.206 settlement proposals. 49.104 duties of prime contractor after receipt of 49.2061 submission of settlement proposals.',
27395:'notice of termination. 49.2062 bases for settlement proposals. 49.105 duties of termination contracting officer after 49.2063 submission of inventory disposal',
27396:'schedules. issuance of notice of termination. 49.207 limitation on settlements. 49.1051 termination status reports. 49.208 equitable adjustment after partial 49.1052',
27397:'release of excess funds. termination. 49.1053 termination case file. 49.1054 cleanup of construction site. subpart 49.3 additional principles 49.106 fraud',
27398:'or other criminal conduct. for costreimbursement contracts 49.107 audit of prime contract settlement proposals terminated for convenience and subcontract settlements.',
27399:'49.301 general. 49.108 settlement of subcontract settlement 49.302 discontinuance of vouchers. proposals. 49.303 procedure after discontinuing vouchers. 49.1081 subcontractor’s rights.',
27400:'49.3031 submission of settlement proposal. 49.1082 prime contractor’s rights and obligations. 49.3032 submission of inventory disposal schedules. 49.1083 settlement procedure.',
27401:'49.3033 audit of settlement proposal. 49.1084 authorization for subcontract settlements 49.3034 adjustment of indirect costs. without approval or ratification. 49.3035',
27402:'final settlement. 49.1085 recognition of judgments and arbitration 49.304 procedure for partial termination. awards. 49.3041 general. 49.1086 delay in settling',
27403:'subcontractor settlement 49.3042 submission of settlement proposal fee only. proposals. 49.3043 submission of vouchers. 49.1087 government assistance in settling 49.305',
27404:'adjustment of fee. subcontracts. 49.3051 general. 49.1088 assignment of rights under subcontracts. 49.3052 construction contracts. 49.109 settlement agreements. 49.1091 general.',
27405:'subpart 49.4 termination for default 49.1092 reservations. 49.401 general. 49.1093 government property. 49.402 termination of fixedprice contracts for 49.1094 nocost',
27406:'settlement. default. 49.1095 partial settlements. 49.4021 the government’s right. 49.1096 joint settlement of two or more settlement 49.4022 effect of',
27407:'termination for default. proposals. 49.4023 procedure for default. 49.1097 settlement by determination. 49.4024 procedure in lieu of termination for default.',
27408:'49.110 settlement negotiation memorandum. 49.4025 memorandum by the contracting officer. 49.111 review of proposed settlements. 49.4026 repurchase against contractor’s account.',
27409:'49.112 payment. 49.4027 other damages. 49.1121 partial payments. 49.4028 reporting information. 49.1122 final payment. 49.403 termination of costreimbursement contracts 49.113',
27410:'cost principles. for default. 49.114 unsettled contract changes. 49.404 suretytakeover agreements. 49.115 settlement of terminated incentive contracts. 49.405 completion by',
27411:'another contractor. 49.406 liquidation of liability. subpart 49.5 contract termination clauses 49.501 general. subpart 49.6 contract termination forms and formats',
27412:'49.502 termination for convenience of the 49.601 notice of termination for convenience. government. 49.6011 electronic notice. 49.503 termination for convenience',
27413:'of the 49.6012 letter notice. government and default. 49.602 forms for settlement of terminated contracts. 49.504 49.505 termination of fixedprice',
27414:'contracts for default. other termination clauses. 49.6021 49.6022 49.6023 49.6024 49.6025 49.603 termination settlement proposal forms. inventory forms. schedule of',
27415:'accounting information. partial payments. settlement agreement. formats for termination for convenience 49.6031 49.6032 49.6033 settlement agreements. fixed price contractscomplete termination.',
27416:'fixedprice contractspartial termination. cost reimbursement contractscomplete termination, if settlement includes cost. 49.6034 costreimbursement contractscomplete termination, with settlement limited to fee.',
27417:'49.6035 costreimbursement contractspartial termination. 49.6036 nocost settlement agreementcomplete termination. 49.6037 nocost settlement agreementpartial termination. 49.6038 49.6039 fixedprice contractssettlements with subcontractors',
27418:'only. settlement of reservations. 49.604 release of excess funds under terminated contracts. 49.605 49.606 request to settle subcontractor settlement proposals.',
27419:'granting subcontract settlement authorization. 49.607 delinquency notices. subpart 49.1 general principles 49.100 49.000scope of part. this part establishes policies and',
27420:'procedures relating to the complete or partial termination of contracts for the convenience of the government or for default. it',
27421:'prescribes contract clauses relating to termination and excusable delay and includes instructions for using termination and settlement forms. 49.001definitions. as',
27422:'used in this part other work means any current or scheduled work of thecontractor, whether government orcommercial, other than work',
27423:'related to the terminated contract. plant clearance period, asused inthis subpart,means theperiod beginning on the effective date of contractcompletion or',
27424:'termination and ending 90days or suchlonger period as may beagreed toafter receipt by thecontracting officer of acceptable inventory schedules for',
27425:'each property classification. the final phase of the plant clearance period means that period after receipt of acceptable inventory schedules.',
27426:'settlement agreement means a written agreement in the form of a contract modification settling all or a severable portion of',
27427:'a settlement proposal. settlement proposal means a proposal for effectingsettlement ofa contract terminated in whole or inpart,submitted by a contractor',
27428:'or subcontractor in the form, and supported by the data, required by this part. a settlement proposal is included within',
27429:'the generic meaning of the word claim under false claims acts see 18 u.s.c.287 and 31 u.s.c. 3729. unsettled contract',
27430:'change means any contract change or contract term for which a definitive modification is required but has not been executed.',
27431:'49.002 applicability. a 1 this part applies to contracts that provide for termination for the convenience of the government or',
27432:'for the default of the contractor see also 12.403 and 13.3024. 2 this part does not apply to commercial product',
27433:'and commercial service contracts awarded using part 12 procedures. see 12.403 for termination policies for contracts for the acquisition of',
27434:'commercial products and commercial services. however, for contracts for the acquisitionof commercial products and commercial services, thispart provides administrative guidance',
27435:'which may be followed unless it is inconsistent with the requirements and procedures in 12.403, termination, and the clause at',
27436:'52.2124, contract termsand conditionscommercial products andcommercial services. b contractors shall use this part, unless inappropriate, to settle subcontracts terminated as',
27437:'a result of modification of prime contracts. the contracting officer shall use this part as a guide in evaluating settlements',
27438:'of subcontracts terminated for the convenience of a contractor whenever the settlement will be the basis of a proposal for',
27439:'reimbursement from the government under a costreimbursement contract. c thecontracting officer may use this part in determining an equitable adjustment',
27440:'resultingfrom a modification under the changes clause of any contract, except costreimbursement contracts. d when action to be taken or',
27441:'authority to be exercised under this part depends upon the amount of the settlement proposal, that amount shall be determined',
27442:'by deducting from the gross settlement proposed the amounts payable for completed articles or work at the contract price and',
27443:'amounts for the settlement of subcontractor settlement proposals. credits for retention or other disposal of termination inventory and amounts for',
27444:'advance or partial payments shall not be deducted. subpart 49.1 general principles 49.100scope of subpart. a this subpart deals with',
27445:'1 the authority and responsibility of contracting officers toterminatecontracts in whole or inpart for the convenience of the government or',
27446:'for default; 2 duties ofthe contractor and the contracting officer afterissuance ofthe notice oftermination; 3 general procedures for the settlement',
27447:'of terminated contracts; and 4 settlement agreements. b additional principles applicable to the termination for convenience and settlement of fixedprice',
27448:'and cost reimbursement contracts are included in subparts 49.2 and 49.3. additional principles applicable to the termination of contracts for',
27449:'default are included in subpart 49.4. federal acquisition regulation 49.101 authorities andresponsibilities. a thetermination clauses orother contract clauses authorize contracting',
27450:'officers to terminate contractsforconvenience, or for default, and to enter into settlement agreements under this regulation. b the contractingofficer shall',
27451:'terminate contracts, whether for default or convenience, onlywhen it is in the government’s interest. thecontracting officer shall effect a nocost',
27452:'settlement instead of issuing atermination notice when 1 it is known that the contractor will accept one, 2 government property',
27453:'was not furnished, and 3 there are no outstanding payments, debts due the government, or other contractor obligations. c when',
27454:'the price of the undelivered balance of the contract is less than $5,000, the contract should not normally be terminated',
27455:'for convenience but should be permitted to run to completion. d afterthe contracting officerissues a notice of termination, the termination',
27456:'contracting officer tco is responsible for negotiating anysettlement with thecontractor, including a nocost settlement if appropriate. auditors and tco’s shall',
27457:'promptly schedule and complete audit reviews and negotiations, giving particular attention to the need for timely action on all settlements',
27458:'involving small business concerns. e if the same item is undercontract with both large and small business concerns and it',
27459:'is necessaryto terminate for convenience part of the units still to be delivered, preference shall be given to the continuing',
27460:'performance of small business contracts over large business contracts unless the chief of the contracting office determines that this is',
27461:'notin the government’s interest. f the contracting officer is responsible for the releaseof excess funds resulting from the termination unless',
27462:'this responsibility is specifically delegated to the tco. 49.102notice of termination. a general. the contracting officershallterminatecontracts for convenienceor default only',
27463:'by awritten notice to the contractor see 49.601. the notice of termination may be expedited by means of electronic communication',
27464:'capable of providing confirmation of receipt by the contractor. when the noticeis mailed, it shall be sent bycertifiedmail, return receipt',
27465:'requested. when the contracting officearranges for hand delivery of thenotice,a written acknowledgment shall be obtained from the contractor. the notice',
27466:'shall state 1 that the contract is being terminated for the convenience of the government or for default under the',
27467:'contract clause authorizing the termination; 2 the effective date of termination; 3 the extent of termination; 4 any special instructions;',
27468:'and 5 the steps the contractor should take to minimize the impact on personnel if the termination, together with all',
27469:'other outstandingterminations, willresult in asignificant reduction inthe contractor’s work force see paragraphgof the notice in 49.6012. if the termination notice',
27470:'is by telegram, include these steps in the confirming letter or modification. b distribution of copies. the contracting officershallsimultaneouslysend thetermination',
27471:'notice to the contractor, and a copy to the contract administration office and toanyknown assignee, guarantor, orsurety of the contractor.',
27472:'c amendment of termination notice. the contracting officer may amend atermination notice to 1 correct nonsubstantive mistakes in the notice;',
27473:'2 add supplemental data or instructions; or 3 rescind thenotice if it is determined thatitems terminated had been completed or',
27474:'shipped beforethe contractor’s receipt of the notice. d reinstatement of terminated contracts. upon writtenconsent of thecontractor, the contracting office mayreinstate',
27475:'the terminated portion of a contract in whole or in part by amending the notice of termination if it has',
27476:'been determined in writing that 1 circumstances clearly indicate a requirement for the terminated items; and 2 reinstatement is advantageous',
27477:'to the government. 49.103methods of settlement. settlement of terminated costreimbursement contracts and fixedprice contracts terminated for convenience may be effected',
27478:'bya negotiated agreement,bdeterminationby the tco, c costingout under vouchers using sf 1034, public voucherforpurchasesandservicesotherthanpersonal,forcostreimbursementcontractsasprescribedin subpart 49.3, subpart 49.1 general principles',
27479:'49.105 or d a combination of these methods. when possible, the tco should negotiate a fair and prompt settlement with',
27480:'the contractor. the tco shall settlea settlement proposal by determination only when it cannot be settled by agreement. 49.104 dutiesof',
27481:'prime contractor afterreceipt of notice of termination. after receipt of the notice of termination, the contractor shall comply with the',
27482:'notice and the termination clause of the contract, except as otherwise directed by the tco. the notice and clause applicable',
27483:'to convenience terminations generally require that the contractor a stop work immediately on the terminated portion of the contract and',
27484:'stop placing subcontracts thereunder; b terminate all subcontracts related to the terminated portion ofthe prime contract; c immediately advise the',
27485:'tco of any special circumstances precluding the stoppage of work; d perform the continued portion of the contract and submit',
27486:'promptly any request for an equitable adjustment of price for the continued portion, supported by evidence of any increase in',
27487:'the cost, if the termination is partial; e take necessary or directed action to protect and preserve property in the',
27488:'contractor’s possession inwhich the government has or may acquire an interest and, as directed by the tco, deliver the property',
27489:'to the government; f promptly notify the tco in writing of any legal proceedings growing out of any subcontract or',
27490:'other commitment related to the terminated portion of the contract; g settle outstanding liabilities and proposals arising out of termination',
27491:'of subcontracts, obtaining any approvals or ratifications required by the tco; h promptly submit the contractor’s own settlement proposal, supported',
27492:'by appropriate schedules; and idispose of termination inventory, as directed or authorized bythe tco. 49.105duties of termination contracting officer after',
27493:'issuance of notice of termination. a consistent with the termination clause and the notice of termination, the tco shall 1',
27494:'direct the action required of the prime contractor; 2 examine the settlement proposal of the prime contractor and, when appropriate,',
27495:'the settlement proposals of subcontractors; 3 promptly negotiate settlement with the contractor and enter into a settlement agreement; and 4',
27496:'promptly settle the contractor’s settlement proposal by determination for the elements that cannot be agreed on, if unable to negotiate',
27497:'a complete settlement. b to expedite settlement, thetco may request specially qualifiedpersonnel to 1 assist in dealings with the contractor;',
27498:'2 advise on legal and contractual matters; 3 conduct accounting reviews and advise and assist on accounting matters; and 4',
27499:'perform the following functions regarding termination inventory see subpart 45.6: iverifyits existence. iidetermine qualitative and quantitative allocability. iii make recommendations',
27500:'concerningserviceability. iv undertake necessary screening and redistribution. v assist the contractor in accomplishing other disposition. c thetco should promptly hold',
27501:'a conference withthe contractor to develop a definite program for effecting the settlement. when appropriate in the judgment of the',
27502:'tco,after consultingwith the contractor, principal subcontractors should berequested to attend. topicsthat should bediscussedat the conference and documented include 1 general',
27503:'principles relating to the settlement of any settlement proposal, including obligations of the contractor under the termination clause of the',
27504:'contract; 2 extent of the termination, point at which work is stopped, and status of any plans, drawings, and information',
27505:'that would have been delivered had the contract been completed; 3 status of any continuing work; 4 obligation of the',
27506:'contractor to terminate subcontracts and general principles to be followed in settling subcontractor settlement proposals; 5 names of subcontractors involved',
27507:'and the dates termination notices were issued to them; 6 contractor personnel handling review and settlement of subcontractor settlement proposals',
27508:'and the methods being used; 7 arrangements for transfer of title and delivery to the government of any material required',
27509:'by the government; 49.1051 federal acquisition regulation 8 general principles andprocedures to be followedin theprotection, preservation, and disposition ofthe contractor’s',
27510:'and subcontractors’ termination inventories, including the preparation of termination inventory schedules; 9 contractor accounting practices and preparation of sf 1439',
27511:'schedule of accounting information 49.6023; 10 form in which to submit settlement proposals; 11 accounting review ofsettlement proposals; 12 any',
27512:'requirement for interim financing in the nature of partial payments; 13 tentative time schedule for negotiation of the settlement, including',
27513:'submission bythe contractor and subcontractors of settlement proposals, termination inventory schedules, and accounting information schedules see 49.2063 and 49.3032; 14',
27514:'actionstaken by the contractorto minimize impactupon employees affected adversely by thetermination see paragraph g of the letter notice in 49.6012;',
27515:'and 15 obligation of the contractor to furnish accurate, complete, and current cost or pricing data, and to certify to',
27516:'that effect in accordance with 15.4034a1 when the amount of a termination settlement agreement, or a partial termination settlement agreement',
27517:'plus the estimate to complete the continued portion of the contract exceeds the threshold in 15.4034. 49.1051termination statusreports. when the',
27518:'tcoand contracting officer arein different activities, the tco will furnish periodic status reports on terminationactions to the contractingoffice upon request.',
27519:'the contracting office shall specify the information required. 49.1052 release of excess funds. a the tco shall estimate the funds',
27520:'required to settle the termination, and within 30 days after the receipt of the terminationnotice,recommend the release of excess funds',
27521:'tothe contracting officer. the initial deobligation of excess funds should beaccomplished ina timely manner by the contracting officer, or thetco,',
27522:'if delegated theresponsibility. the tco shall not recommend the release of amounts under $1,000, unless requested by thecontracting officer. b',
27523:'the tco shall maintain continuous surveillance of required funds to permit timely release of any additional excess funds a recommended',
27524:'format for release of excess funds is in 49.604. if previous releases of excess funds result in a shortage of',
27525:'the amount requiredforsettlement, the tco shall promptly inform the contracting officer, who shall reinstate the funds within 30 days. 49.1053termination',
27526:'case file. the tco responsible for negotiating the final settlement shall establish a separate case file for each termination. this',
27527:'file will include memoranda and records of all actions relative to the settlement see 4.801. 49.1054 cleanup of construction site.',
27528:'in the case of terminated construction contracts, the contracting officer shall direct actionto ensure the cleanupof the site, protection of',
27529:'serviceable materials, removal of hazards, and other action necessary to leave a safe and healthful site. 49.106fraud or other criminal',
27530:'conduct. if the tco suspects fraud or other criminal conduct related to the settlement of a terminated contract, the tco',
27531:'shall discontinue negotiations and report the facts under agency procedures. 49.107 auditof prime contract settlement proposals and subcontract settlements. a',
27532:'the tco shall refer each prime contractor settlement proposal valued at or above the threshold for obtaining certified cost or',
27533:'pricing data setforth in far 15.4034a1 to the appropriate audit agency for review and recommendations. the tco may submit settlement',
27534:'proposals of less than the threshold for obtaining certified cost or pricing data to the audit agency. referrals shall indicate',
27535:'any specific information or data that thetco considers relevant and shall include facts and circumstances that will assist the audit',
27536:'agency in performing its function. the audit agency shall develop requested information and may make any further accounting reviews it',
27537:'considers appropriate. after its review,the audit agency shall submit written comments and recommendations to the tco. when a formal examination',
27538:'of settlement proposals valued under the threshold for obtaining certified cost or pricing data is not warranted, the tco will',
27539:'perform or have performed a desk review and include a written summary of the review in the termination case file.',
27540:'b the tco shall refer subcontract settlements received for approval or ratification to the appropriate audit agency for review and',
27541:'recommendations when— subpart 49.1 general principles 49.1083 1 the amount exceeds the threshold for obtaining certified cost or pricing data;',
27542:'or 2 the tco determines that a complete or partial accounting review is advisable. the audit agency shall submit written',
27543:'comments and recommendations to the tco. the review by the audit agency does not relieve the prime contractor or higher',
27544:'tier subcontractor ofthe responsibility for performing an accounting review. c 1 the responsibility of the prime contractor and of each',
27545:'subcontractor see 49.108 includes performance of accounting reviews and any necessaryfield audits. however, the tco should request thegovernmentaudit agency to',
27546:'perform the accounting review of a subcontractor’s settlementproposal when i a subcontractor objects, for competitive reasons, to an accounting review',
27547:'of its records by an upper tier contractor; iithe government audit agency is currently performing audit work at thesubcontractor’s plant,',
27548:'orcan perform the audit more economically or efficiently; iii audit by the government is necessary for consistent audit treatment and',
27549:'orderly administration; or iv the contractor hasa substantial or controllingfinancial interest in the subcontractor. 2 the audit agency should avoid',
27550:'duplication of accounting reviews performed by the upper tier contractor on subcontractor settlement proposals. however, this should not preclude thegovernment',
27551:'from making additional reviews when appropriate. when the contractor is performing accounting reviews according to this section, the tco should',
27552:'request theaudit agency to periodically examine thecontractor’saccountingreview procedures and performance,andto make appropriate comments and recommendations to the tco. d the',
27553:'auditreport isadvisory only, and is for thetco touse in negotiating a settlement or issuing aunilateral determination. government personnel handling audit',
27554:'reports must be careful not to reveal privileged information or information thatwill jeopardize the negotiation position ofthe government, the prime',
27555:'contractor, or a higher tier subcontractor. consistent withthis, andwhen in the government’sinterest, thetco may furnish audit reports under paragraph c',
27556:'of this section to prime and higher tier subcontractors for their use in settling subcontract settlement proposals. 49.108 settlement of',
27557:'subcontract settlement proposals. 49.1081subcontractor’s rights. a subcontractor has no contractual rights against the government upon the termination of a prime',
27558:'contract. a subcontractor may have rights against the prime contractor or intermediate subcontractor with whom it has contracted. upon termination',
27559:'of a prime contract, the prime contractor and each subcontractor are responsible for the prompt settlement of the settlement proposals',
27560:'of their immediate subcontractors. 49.1082primecontractor’s rights andobligations. a termination for convenience clauses provide that after receipt of a terminationnotice the',
27561:'prime contractorshall, unless directed otherwise by the tco, terminate all subcontracts to the extent that they relate to the performance',
27562:'of prime work terminated. therefore, prime contractors should include a termination clause in their subcontracts for their own protection. suggestions',
27563:'regarding use of subcontract termination clauses are in subpart 49.5. b the failure of a prime contractor to include an',
27564:'appropriate termination clause in any subcontract, or to exercise the clause rights, shall not 1 affect thegovernment’s right to require',
27565:'the termination of the subcontract; or 2 increase the obligation of the government beyond what it would have been if',
27566:'the subcontract had contained an appropriate clause. c inany case,the reasonableness of the prime contractor’s settlementwith the subcontractor should normally',
27567:'be measured by the aggregate amount due under paragraph f of the subcontract termination clause suggested in 49.502e. the tco',
27568:'shall allow reimbursement in excess of that amount only in unusual cases and then only to the extent that the',
27569:'terms of thesubcontract did not unreasonablyincrease the rights of the subcontractor. 49.1083settlementprocedure. a contractors shall settle with subcontractors in general',
27570:'conformity with the policies and principles relating to settlement of prime contracts in this subpart and subparts 49.2 or 49.3.however,thebasisandformofthesubcontractor’ssettlement',
27571:'proposal mustbe acceptable to the prime contractor or the next highertier subcontractor. each settlement must besupported by accounting data and',
27572:'other information sufficient for adequate review by the government. in no event willthe government 49.1084 federal acquisition regulation pay the',
27573:'prime contractor any amount for loss of anticipatory profits or consequential damages resulting from the termination of any subcontract but',
27574:'see 49.1085. b except as provided in 49.1084, the tco shall require that 1 all subcontractor termination inventory be disposed',
27575:'of and accounted for in accordance with the procedures contained in paragraph j of the clause at 52.2451, government property;',
27576:'and 2 the prime contractor submit, for approval or ratification, all termination settlements with subcontractors. c the tco shall promptly',
27577:'examine each subcontract settlement received to determine that the subcontract termination was made necessary by the termination of the prime',
27578:'contract or by issuance of a change ordersee 49.002b. the tco will also determine if the settlement was arrived at',
27579:'in good faith, is reasonable in amount, and is allocable to the terminated portion of the contract or, if allocable',
27580:'only inpart,that the proposed allocation is reasonable. in considering the reasonableness of any subcontract settlement, the tco shall generally be',
27581:'guided by the provisions of this part relating to the settlement of prime contracts, and shall comply with any applicable',
27582:'requirements of 49.107 and 49.111 relating to accounting and other reviews. after the examination, the tco shall notify the contractor',
27583:'in writing of 1 approval or ratification, or 2 the reasons for disapproval. 49.1084authorization for subcontract settlementswithout approval orratification. a',
27584:'1thetcomay,uponwrittenrequest,givewrittenauthorizationtotheprimecontractortoconcludesettlementsof subcontracts terminated in whole or in part without approval or ratification when the amount of settlement see 49.002d is',
27585:'$100,000 or less, if i the tco is satisfied with the adequacy of the procedures used by the contractor in',
27586:'settling settlement proposals, including proposals for retention, sale, or other disposal of termination inventory of the immediate and lower tier',
27587:'subcontractors the tco shall obtain the advice and recommendations of athe appropriate audit agencyrelatingto the adequacy of thecontractor’saudit administration, including',
27588:'personnel, and b the cognizantplant clearance officer relating to the adequacy of the contractor’s procedures and personnel for the administration',
27589:'of property disposal matters; ii any termination inventory included in determining the amount of the settlement will be disposed of',
27590:'as directed by the prime contractor,exceptthat thedisposition of the inventory shall not be subject to a review by the tco',
27591:'under 49.1083c; or b the screening requirements in 45.6023; and iii a certificate similar to the certificate in the settlement',
27592:'proposal form in 49.6021a will accompany the settlement. 2 except as provided in paragraph a4 of this section, authority granted',
27593:'to a prime contractor under paragraph a1 of this section by any tco shall apply to all executive agencies’ prime',
27594:'contracts that are terminated, or modified by change orders. 3 except as provided in paragraph a4 of this section,the tco',
27595:'shall accept,as part of the prime contractor’s settlement proposal, settlementsof terminated lower tiersubcontractsconcludedby any of theprimecontractor’s immediate or lower tier',
27596:'subcontractors who have been granted authority as prime contractors to settle subcontracts; provided, that thesettlement is within the limit of',
27597:'the authority. authorizationto settleproposalsof lower tier subcontractors shall not begranted directly tosubcontractors. however, a prime contractor authorizedto approve subcontractor settlements',
27598:'may also exercise thisauthority inits capacity as a subcontractor, with respect to its terminated subcontracts and orders. when exercising this',
27599:'authorityas a subcontractor, the contractor shall notify the purchaser. 4 the provisions of paragraphs a1, 2, and 3 of this',
27600:'section shall not apply to contracts under the administration of any contracting officer ifthe contracting officer so notifies the prime',
27601:'contractorconcerned. this notice shall i be in writing, and iiif paragraph a3 of this section is involved, specify any subcontractor',
27602:'affected. b section 45.602shallapply to disposal of completedenditems allocable to the terminatedsubcontract. however,these items may be disposed of without review',
27603:'by the tco under 49.1083 and without screening under 45.6023, if the items do not require demilitarization and the total',
27604:'amount at the subcontract price when added to the amount of the settlement does not exceed the amount authorized under',
27605:'this subsection. c a tco granting the authorization in paragraph a1 of this section shall periodically at least annually make',
27606:'a selective review of settlements and settlement procedures to determine if the contractor is making adequate reviews and fair subpart',
27607:'49.1 general principles 49.1088 settlements, and whether the authorization should remainin effect. the tco shall obtain the advice and recommendations',
27608:'of theappropriateaudit agency and the cognizant plantclearance officer. whenitis determined that the contractor’s procedures are not adequate, or that improper',
27609:'settlements are being made, or when the authority has not been used in the preceding 2 years, the tco shall',
27610:'revoke the authorization by written notice to the contractor, effective on the date ofreceipt. d the contractor may make any',
27611:'number of separate settlements with a single subcontractor but shall not divide settlement proposals solely to bring them under an',
27612:'authorization limit. separate settlement proposals that would normally be included in a single proposal, such as those based on a',
27613:'series of separate orders for the same item under one contract, shall be consolidated whenever possible. e upon written request',
27614:'of the contractor, the tcomay increase anauthorizationgranted underparagraph a1 of this subsection to authorize the contractor to conclude settlements under',
27615:'a particular prime contract. the tco may limit the increased authorization to specific subcontracts or classes of subcontracts. f authorizations',
27616:'granted under this 49.1084 shall not authorize the settlement of requisitions or orders placed with any unit within thecontractor’s corporateentity.',
27617:'g recommended formats for a request to settle subcontractor settlement proposals and the tco’s letter ofauthorization to the contractor are',
27618:'in 49.605 and 49.606, respectively. 49.1085 recognition of judgments and arbitration awards. a when a subcontractor obtains a final judgmentagainst',
27619:'a prime contractor,the tco shall, for the purposes of settling theprimecontract, treat the amount of the judgment as a cost',
27620:'of settling with the contractor, tothe extent the judgment is properly allocable to the terminated portion of the prime contract,',
27621:'if 1 the prime contractorhas madereasonable efforts toinclude in the subcontract a termination clause described in 49.502e, 49.503c, or a',
27622:'similar clause excluding payment of anticipatory profits or consequential damages; 2 the provisions of the subcontract relating to the rights',
27623:'of the parties upon its termination are fair and reasonable and do not unreasonably increase the common law rights of',
27624:'the subcontractor; 3 the contractormade reasonable efforts to settle thesettlement proposal of the subcontractor; 4 the contractorgaveprompt notice to the',
27625:'contractingofficer of the initiation of the proceedingsin whichthe judgment was rendered and did not refuse to give the government control',
27626:'of the defense of the proceedings; and 5 the contractordiligently defended the suit or, if the government assumedcontrol ofthe defense',
27627:'of the proceedings, rendered reasonable assistance requested by the government. b if the conditions in paragraphs a1 through 5 of',
27628:'this section are not all met, the tco may allow the contractor the part of the judgment considered fair for',
27629:'settling the subcontract settlement proposal, giving due regard to the policies in this part for settlement of proposals. c when',
27630:'a contractor and a subcontractor submit the subcontractor’ssettlement proposal toarbitration underany applicable law or contract provision, the tco shall recognize',
27631:'the arbitration award as the cost of settling the proposal of the contractor to the same extent and under the',
27632:'same conditions as in paragraphs a and b of this section. 49.1086delay in settling subcontractor settlement proposals. when aprimecontractor’s inabilityto',
27633:'settlewith a subcontractor delaysthe settlement of theprimecontract, the tco may settle with the prime contractor. thetco shall except the subcontractor',
27634:'settlement proposal fromthe settlement in whole or part and reserve the rights of the government and the prime contractor with',
27635:'respect to the subcontractor proposal. 49.1087 government assistance in settling subcontracts. in unusual cases the tcomay determine, with the consentof',
27636:'the prime contractor, that it is inthe government’s interest to provide assistance to the prime contractor in the settlement of',
27637:'a particular subcontract. in these situations, the government, theprimecontractor, and a subcontractor may enterinto an agreement covering the settlement of',
27638:'one or moresubcontracts. in these settlements, the subcontractor shall be paid through the prime contractor as part of the overall',
27639:'settlement with the prime contractor. 49.1088 assignment of rights under subcontracts. a the termination for convenience clauses in 52.249, except',
27640:'the shortform clauses, obligate the prime contractor to assign to the government, as directed by the tco, all rights, titles,',
27641:'and interest under any subcontract terminated because of terminationof the prime contract. the tcoshallnot require the assignment unless it is',
27642:'in the government’s interest. federal acquisition regulation b the termination for convenience clauses except the shortform clauses also provide the',
27643:'government the right, in its discretion, to settle and pay any settlement proposal arising out of the termination of subcontracts.',
27644:'this right does not obligate the government to settle and pay settlement proposals of subcontractors. as a general rule, the',
27645:'prime contractor is obligated to settleand pay theseproposals. however, when the tco determines that it is in the government’s interest,',
27646:'the tco shall, afternotifying the contractor, settle the subcontractor’s proposal using the procedures for settlement of prime contracts. an examplein',
27647:'whichthe government’s interest wouldbe served is when a subcontractor is asole sourceand it appears that adelayby the prime contractorin settlement',
27648:'or paymentof the subcontractor’s proposal will jeopardize the financial position of the subcontractor. direct settlements with subcontractors are not encouraged.',
27649:'49.109 settlement agreements. 49.1091 general. when a termination settlement has been negotiated and all required reviews have been obtained, the',
27650:'contractor and the tco shall execute a settlement agreement on standard form 30 amendment of solicitation/modification of contract see 49.603.',
27651:'the settlement shall cover a any setoffs thatthe government has againstthe contractor that may beapplied against the terminated contract and',
27652:'b all settlement proposals of subcontractors, except proposals that are specifically excepted from the agreement and reserved for separate settlement.',
27653:'49.1092 reservations. a the tco shall 1 reserve in the settlement agreement any rights or demands of the parties that',
27654:'are excepted from the settlement; 2 ensure that the wording of the reservation does not create any rights for the',
27655:'parties beyond those in existence before execution of the settlement agreement; 3 mark each applicable settlement agreement with this settlement',
27656:'agreement contains a reservation and retain the contract file until the reservation is removed; 4 ensure that sufficient funds are',
27657:'retained to cover complete settlementof the reserved items; and 5 at the appropriate time, prepare a separate settlement of reserved',
27658:'items and include it in a separate settlement agreement. b a recommended format for settlement of reservations appears in 49.6039.',
27659:'49.1093government property. before execution of a settlement agreement, the tco shall determine the accuracy of the government property account for',
27660:'the terminated contract. if an audit discloses property for which the contractor cannot account, the tco shall reserve in the',
27661:'settlement agreement the rights of the government regarding that property or make an appropriate deduction from the amount otherwise due',
27662:'the contractor. 49.1094 nocost settlement. the tco shall execute a nocost settlement agreement see 49.6036 or 49.6037, as applicable if',
27663:'a the contractor has not incurred costs for the terminated portion of the contract or b the contractor is willing',
27664:'to waive the costs incurred and c no amounts are due the government under the contract. 49.1095 partial settlements. the',
27665:'tco should attempt to settle in one agreement all rights and liabilities of the parties under the contract except those',
27666:'arisingfrom any continuedportion of the contract. generally, the tco shall not attempt to make partial settlements covering particular items of',
27667:'theprimecontractor’ssettlement proposal. however, whena tco cannot promptlycomplete settlement under the terminated contract, a partial settlement may be entered into if',
27668:'a the issues on which agreement has been reached are clearly severable from other issues and b the partial settlement',
27669:'will not prejudice the government’sor contractor’s interests indisposing of the unsettled part of the settlement proposal. subpart 49.1 general principles',
27670:'49.1097 49.1096joint settlement of twoor more settlement proposals. a with the consent of the contractor, the tco ortco’s concerned maynegotiate',
27671:'jointlytwo ormore termination settlement proposals of the samecontractor under different contracts, even thoughthe contracts are withdifferent contracting offices or agencies.',
27672:'insuch cases, accounting workshallbe consolidatedto thegreatest extent practical. theresulting settlement may be evidenced by one settlement agreement covering all contracts',
27673:'involved or by a separate agreement for each contract involved. b when the settlement agreement covers more than one contract,',
27674:'it shall 1 clearly identify the contracts involved, 2 assign an amendment modification number to each contract, 3 apportion the',
27675:'total amount of the settlement among the several contracts on some reasonable basis, 4 have attached or incorporated a schedule',
27676:'showing the apportionment, and 5 be distributed and attached to each contract involved in the same manner as other contract',
27677:'modifications. 49.1097 settlement by determination. a general. if the contractor and tco cannot agree on a termination settlement, or if',
27678:'a settlement proposal is not submitted within the period required by the termination clause, the tco shall issue a determination',
27679:'of the amount due consistent with the termination clause, including any cost principles incorporated by reference. the tco shall comply',
27680:'with 49.1091 through 49.1096 in making a settlement by determination and with 49.203 in making an adjustment for loss, if',
27681:'any. copies of determinations shall receive the same distribution as other contract modifications. b notice to contractor. before issuing adetermination',
27682:'of the amount due thecontractor, the tco shall give the contractor at least 15 days notice by certified mail return',
27683:'receipt requested to submit written evidence, so as to reach the tco on or before a stated date, substantiating the',
27684:'amount previously proposed. c justification of settlement proposal. 1 the contractor has the burden of establishing, by proof satisfactory to',
27685:'the tco, the amount proposed. 2 the contractormay submit vouchers,verified transcripts of books of account, affidavits, auditreports, andother documents as',
27686:'desired. the tco may request the contractor to submit additional documents and data, and may request appropriate accountings, investigations, and',
27687:'audits. 3 the tco may accept copies of documents and records without requiring original documents unless there is a question',
27688:'of authenticity. 4 the tco may hold any conferences considered appropriate ito conferwith the contractor, iito obtain additional information from',
27689:'governmentpersonnel or from independent experts, or iii to consultpersons who have submitted affidavits or reports. d determinations. after reviewing the',
27690:'information available, the tco shall determine the amount due and shall transmit a copy of the determination to the contractor',
27691:'by certified mail return receipt requested, or by any other method that provides evidence of receipt. the transmittal letter shall',
27692:'advise the contractor that the determination is a final decision from which the contractor may appeal under the disputes clause,',
27693:'except as shown in paragraph f of this section. the determination shall specify the amount due the contractor and will',
27694:'be supported by detailed schedules conforming generally to the forms for settlement proposals prescribed in 49.6021 and by additional information,',
27695:'schedules, and analyses as appropriate. the tco shall explain each major item of disallowance. the tco need not reconsider any',
27696:'other action relating to the terminated portionof the contract that was ratified or approved by the tco or another contracting',
27697:'officer. e preservation of evidence. the tco shall retain all written evidence and other data relied upon in making a',
27698:'determination, except that copies of original books of account need not be made. the tco shall return books of account,',
27699:'together with other original papers and documents, to the contractor within a reasonable time. f appeals. the contractor may appeal,',
27700:'under the disputes clause, any settlement by determination, except when the contractor has failed to submit the settlement proposal within',
27701:'the time provided in the contract and failed to request an extension of time. the pendency of anappealshallnot affectthe authority',
27702:'of the tcoto settle the settlement proposal orany part by negotiation with the contractor at any time before the appeal',
27703:'is decided. g decision on the contractor’s appeal. the tco shall giveeffect to adecision of theclaims courtor aboard of contract',
27704:'appeals, whennecessary,by an appropriate modification to the contract. whenappropriate, the tco should obtain a release from the contractor. tco’s are',
27705:'authorized to modify the formats of settlement agreements in 49.603 to agree with this provision. federal acquisition regulation 49.110settlement negotiation',
27706:'memorandum. a the tco shall, at the conclusion of negotiations, prepare a settlement negotiation memorandum describing the principal elements of',
27707:'the settlement for inclusion in the termination case file and for use by reviewing authorities. pricing aspects of the settlement',
27708:'shall be documented in accordance with 15.4063. the memorandum shall be distributed in accordance with 15.4063. b if the settlement',
27709:'was negotiated on the basis of individual items, the tco shall specify the factors considered for each item. if the',
27710:'settlement was negotiated on an overall lumpsum basis, the tco need not evaluate each item or group of items individually,',
27711:'but shall support the total amountof the recommended settlement in reasonable detail. the memorandum shall include explanationsof mattersinvolvingdifferences and doubtful',
27712:'questions settled by agreement, and the factorsconsidered. the tco should include any other matters that will assist reviewing authorities in',
27713:'understanding the basis for the settlement. 49.111 review of proposed settlements. each agency shall establish procedures, when necessary, for theadministrativereview',
27714:'of proposed termination settlements. when one agency provides terminationsettlement services for another agency, the agency providing the services shall also',
27715:'perform the settlement review function. 49.112payment. 49.1121 partial payments. a general. if the contract authorizes partial payments on settlement proposals',
27716:'before settlement, a prime contractor may request them on the form prescribed in 49.6024 at any time after submission of',
27717:'interim or final settlement proposals. the government will process applications for partial payments promptly. a subcontractor shall submit its application',
27718:'through the prime contractor which shall attach itsown invoice and recommendations to thesubcontractor’s application. partialpayments to a subcontractor shall be',
27719:'made only through the prime contractor and only after the prime contractor has submitted its interim or final settlement proposal.',
27720:'except for undelivered acceptable finished products, partial payments shall not be made for profit or fee claimed under the terminated',
27721:'portion of the contract. in exercising discretion on the extent of partial payments to be made, the tco shall consider',
27722:'the diligence of the contractor in settling with subcontractors and in preparing its own settlement proposal. b amount of partial',
27723:'payment. before approving any partial payment, the tco shall obtain any desired accounting, engineering, or other specialized reviews of the',
27724:'data submitted in support of thecontractor’s settlement proposal. if the reviews and the tco’s examinationof the data indicate thatthe requested',
27725:'partial payment is proper, reasonablepayments may be authorized in the discretion of the tco up to 1 100 percent of',
27726:'the contract price, adjusted for undelivered acceptable items completed before the termination date, or later completed with the approval of',
27727:'the tco see 49.205; 2 100 percent of the amount of any subcontract settlement paid by the prime contractor if',
27728:'the settlement was approved or ratified by the tco under 49.1083c or was authorized under 49.1084; 3 90 percent of',
27729:'the direct cost of termination inventory, includingcosts of raw materials, purchased parts, supplies, and direct labor; 4 90 percent of',
27730:'other allowable costs including settlement expense and manufacturing and administrative indirect costs allocable to the terminated portion of the contract',
27731:'and not included in paragraphs b1, 2, or 3 of this section; and 5 100 percent of partial payments made',
27732:'to subcontractors under this section. c recognition of assignments. when an assignment of claims has been made under the contract,',
27733:'the government shall not make partial payments to other than the assignee unless the parties to the assignment consent in',
27734:'writing see 32.805e. d security for partial payments. if any partial payment is made for completed end items or for',
27735:'costs of termination inventory,the tco shall protect the government’sinterest. this shall be done by obtainingtitle to the completed end items',
27736:'or termination inventory, or by the creation of a lien in favor of the government,paramountto all other liens, on the',
27737:'completedend items or terminationinventory, or by other appropriate means. e deductions in computing amount of partial payments. the tco shall',
27738:'deduct from the gross amount of any partial payment otherwise payable under 49.1121b 1 all unliquidated balancesof progress and advancepayments',
27739:'includinginterest made to the contractor, which are allocable to the terminated portion of the contract; and 2 the amounts ofallcredits',
27740:'arisingfrom the purchase, retention, or sale ofproperty, thecosts of whichare included in the application for payment. subpart 49.1 general principles',
27741:'49.115 f limitation on total amount. the total amount of all partial payments shall not exceed the amount that will,',
27742:'in the opinion of the tco, become due to the contractor because of the termination. g effect of overpayment. if',
27743:'the total of partial payments exceeds the amount finally determined due on the settlement proposal, the contractor shall repay the',
27744:'excess to the government on demand, together with interest. the interest shall be computed at therate established by the secretaryof',
27745:'the treasury under50 u.s.c. app.1215b2 from thedate the excess paymentwas receivedby the contractorto thedate of repayment. however, interestwill not becharged',
27746:'for any 1 excess payment attributable to a reduction in the settlement proposal because of retention or other disposition of',
27747:'terminationinventory, until10 days after the date ofthe retention or disposition, or a later date determined bythe tco, or 2 overpayment',
27748:'under costreimbursement research and development contracts without profit or fee if the overpayments are repaid to the government within 30',
27749:'days after demand. h certification and approval of partial payments. 1 the contractor shall place the following certification on vouchers',
27750:'or invoices for partial payments: the payment covered by this voucheris apartial payment onthe contractor’ssettlement proposal undercontract no. under part',
27751:'49 of the federal acquisition regulation. 2 the tco shall approve the invoice or voucher by noting on it the',
27752:'following: payment of $ is approved. 49.1122 final payment. a negotiated settlement. after execution of a settlement agreement, the contractor',
27753:'shall submit a voucher or invoice showing the amount agreed upon, less any portion previously paid. the tco shall attach',
27754:'a copy of the settlement agreement to the voucher orinvoice and forward the documents tothe disbursing officer for payment. b',
27755:'settlement by determination. if the settlement is by determination and 1 there is no appeal within the allowed time, the',
27756:'contractor shall submit a voucher or invoice showing the amount determined due, less any portion previously paid; or 2 there',
27757:'is an appeal, the contractor shall submit a voucher or invoice showing the amount finally determined due on the appeal,',
27758:'less any portion previously paid. pending determination of any appeal, the contractor may submit vouchers or invoices for charges thatare',
27759:'not directly involved with the portion being appealed, without prejudice to the rights of either party on the appeal. c',
27760:'construction contracts. in the case ofconstruction contracts, beforeforwarding the final payment voucher, the contracting officershallascertain whether there areany outstanding labor',
27761:'violations. if so, thecontracting officer shall determine the amount to be withheld from the final payment see subpart 22.4. d',
27762:'interest. the government shall not pay interest on the amount due under a settlement agreement or a settlement by determination.',
27763:'the government may, however, pay interest on a successful contractor appeal from acontracting officer’s determination under the disputes clause at',
27764:'52.2331. 49.113cost principles. the cost principles and procedures in the applicable subpart of part 31 shall, subject to the general',
27765:'principles in 49.201 a be used in asserting, negotiating, or determining costs relevant to termination settlements under contracts with other',
27766:'than educational institutions, and b be a guide for the negotiation of settlements under contracts for experimental, developmental, or research',
27767:'work with educational institutions but see 31.104. 49.114unsettled contract changes. a before settlement of a completely terminated contract, the tco',
27768:'shall obtain from the contractingoffice a list ofall related unsettled contract changes. the tco shall settle, as part of final',
27769:'settlement, all unsettled contract changes after obtaining the recommendationsof the contractingoffice concerning the changes. b when the contract has been',
27770:'partially terminated, any outstanding unsettled contract changes will usually be handled by thecontracting officer. however, the contractingofficer may delegate this',
27771:'function to the tco. 49.115settlement of terminated incentive contracts. a fixedprice incentive contracts. the tco shall settle terminated fixedprice incentive',
27772:'fpi contracts under the provisions of paragraph j of the clause at 52.21616, incentive price revisionfirmtarget, and 52.2492, termination for',
27773:'convenience of the government fixedprice. federal acquisition regulation 1 partial termination. under a partially terminated contract, the tco shall negotiate',
27774:'a settlement as provided in the termination clause of the contract, and paragraph j of the clause at 52.21616, incentive',
27775:'pricerevisionfirm target, or paragraph 1 of the clause at 52.21617, incentiveprice revisionsuccessive targets. thecontracting officer shall apply the incentive price',
27776:'revision provisions to completed items accepted by the government, including any for which the contractor may requestreimbursement in the settlementproposal.',
27777:'the tcoshallreimburse the contractor at target price for completed articles included in the settlement proposal for which a final price',
27778:'has not been established. the tco shall incorporate in the settlement agreement an appropriate reservation as to final price for',
27779:'these completed articles. 2 complete termination. if anyitemswere delivered and acceptedby the government, the contracting officer shall establish prices under',
27780:'the incentive provisions of the contract. on the terminated portion of the contract, the provisions of the termination clause see',
27781:'52.2492, termination for convenience of the government fixedprice shall governand theprovisionsof the incentive clause shall not apply. the tco responsible',
27782:'for thetermination settlement will ensure, on thebasis of evidence considered properincludingcoordination with thecontracting officer,that no portion of thecosts considered in',
27783:'the negotiations under the incentive provisions are included in the termination settlement. b costplusincentivefee contracts. the tco shall settle terminated',
27784:'costplusincentivefee contracts under the clause at 52.2496, termination costreimbursement. 1 partial termination. under a partial termination, the tco shall limit',
27785:'thesettlement to an adjustment of target fee as provided in paragraph e of the clause at 52.21610, incentive fee. the',
27786:'settlement agreement shall include a reservation regarding any adjustment of target cost resulting from thepartial termination. the contracting officer shall',
27787:'adjustthe target cost, if required. 2 complete termination. the parties shall negotiate the settlement under the provisions of subpart 49.3',
27788:'and the clause at 52.2496, termination cost reimbursement. the fee shall beadjusted on the basis of thetarget fee,andthe incentive provisions',
27789:'shall not be applied or considered. subpart 49.2 additional principles for fixedprice contracts terminated for convenience 49.203 subpart 49.2 additional',
27790:'principles for fixedprice contracts terminated for convenience 49.201general. a a settlement should compensate the contractor fairly for the work done',
27791:'and the preparations made for the terminated portions of the contract, including a reasonable allowance for profit. fair compensation is',
27792:'a matter of judgment and cannot be measured exactly. in agiven case, various methods may be equallyappropriateforarriving at fair compensation.',
27793:'the use of business judgment, as distinguished from strict accounting principles, is the heart of a settlement. b the primary',
27794:'objective is to negotiate a settlement by agreement. the parties may agree upon a total amount to be paid the',
27795:'contractor without agreeing on or segregating the particular elements of costs or profit comprising this amount. c cost and accounting',
27796:'data may provide guides, but are not rigid measures, for ascertaining fair compensation. in appropriate cases, costsmay be estimated, differences',
27797:'compromised, and doubtful questions settled by agreement. other types of data, criteria, or standards may furnish equally reliable guides to',
27798:'fair compensation. the amount of recordkeeping, reporting, and accounting related to the settlement of terminated contracts should be kept to',
27799:'a minimum compatible with the reasonable protection of the public interest. 49.202 profit. a the tco shall allow profit on',
27800:'preparations made and work done by the contractor for the terminated portion of the contract but not on the settlement',
27801:'expenses. anticipatory profits and consequential damages shall not be allowed but see 49.1085. profitforthe contractor’s efforts in settling subcontractor proposals',
27802:'shall not be based on the dollar amountof thesubcontract settlement agreements but thecontractor’s efforts will be considered in determining the',
27803:'overall rate of profit allowed the contractor. profit shall not beallowed the contractor for material or services that,as of theeffective',
27804:'date of termination, have not been delivered by a subcontractor,regardless of the percentage of completion. thetco may use any reasonable',
27805:'method to arrive at a fair profit. b in negotiating or determining profit, factors to be considered include 1 extent',
27806:'and difficulty ofthe work done by thecontractor as compared with the total work required bythe contract engineering estimates of the',
27807:'percentage of completion ordinarily should not be required, but if available should be considered; 2 engineering work, production scheduling, planning,',
27808:'technical study and supervision, and other necessary services; 3 efficiency of the contractor,with particular regardto i attainment of quantity and',
27809:'quality production; ii reduction of costs; iii economic use of materials, facilities, and manpower; and iv disposition of termination inventory;',
27810:'4 amount and source of capital and extent of risk assumed; 5 inventive and developmental contributions, and cooperation with the',
27811:'government and other contractors in supplying technical assistance; 6 character of the business, including the source and nature of materials',
27812:'and the complexity of manufacturing techniques; 7 the rate of profit that the contractor would have earned had the contract',
27813:'been completed; 8 the rate of profit both parties contemplated at the time the contract was negotiated; and 9 character',
27814:'and difficultyof subcontracting,including selection, placement, and management of subcontracts, and effort in negotiating settlements of terminated subcontracts. c when computing',
27815:'profit on theterminated portionof aconstruction contract, the contracting officershall 1 comply with paragraphs a and b of this section; 2',
27816:'allow profit on theprimecontractor’ssettlements withconstruction subcontractors for actual work in place atthe job site; and 3 exclude profiton the prime',
27817:'contractor’s settlements with constructionsubcontractors for materials on handand for preparations made to complete the work. 49.203adjustment for loss. a in',
27818:'the negotiation or determination of any settlement, the tco shall not allow profit if it appears that the contractor would',
27819:'have incurred a loss had the entire contract been completed. the tco shall negotiate or determine the amount of loss',
27820:'federal acquisition regulation and make an adjustment in the amount of settlement as specified in paragraph b or c of',
27821:'this section. in estimating the cost to complete, the tco shall consider expected production efficiencies and other factors affectingthe cost',
27822:'tocomplete. b if the settlement is on an inventory basis see 49.2062a, the contractor shall not be paid more than',
27823:'the total of the amounts in paragraphs b1, 2, and 3 of this section, less all disposal credits and all',
27824:'unliquidated advance and progress payments previously made under the contract: 1 the amount negotiated or determined for settlement expenses. 2',
27825:'the contract price, as adjusted, for acceptable completed end items see 49.205. 3 the remainder of the settlement amount otherwise',
27826:'agreed upon or determined including the allocable portion of initial costs see 31.20542c, reduced by multiplying the remainder by the',
27827:'ratio of i the total contract price to ii the total cost incurred before termination plus the estimated cost to',
27828:'complete the entire contract. c if the settlement is on a total cost basis see 49.2062b, the contractor shall not',
27829:'be paid more than the total of the amounts in paragraphs c1 and 2 of this section, less all disposal',
27830:'and other credits, all advance and progress payments, and all other amounts previously paid under the contract: 1 the amount',
27831:'negotiated or determined for settlement expenses. 2 the remainder of the total settlement amount otherwise agreed upon or determined lines',
27832:'7 and 14 of sf 1436, settlement proposal totalcost basis reduced by multiplyingthe remainder by the ratio of i the',
27833:'total contract price to ii the remainder plus the estimated cost to complete the entire contract. 49.204deductions. from the amount',
27834:'payable to the contractor under a settlement, the tco shall deduct a theagreed price for anypart of thetermination inventory purchased',
27835:'or retainedby the contractor, and theproceeds from any materials sold that have not been paid or credited to the government;',
27836:'b the fair value, as determined by the tco, of any part of the termination inventory that, before transfer of',
27837:'title to the government or to a buyer under part 45, is lost or so damaged as to become undeliverable',
27838:'normal spoilage is excepted, as is inventory for which the government has expressly assumed the risk of loss; and c',
27839:'any other amounts as appropriate in the particular case. 49.205completed end items. a promptly after the effective date of termination,',
27840:'the tco shall 1 have all undelivered completed end itemsinspected and accepted if they comply with the contract requirements, and',
27841:'2 determine which accepted end items are to be delivered under the contract. the contractor shall invoice accepted and delivered',
27842:'end items at the contract price in the usual manner and shall not include them in the settlement proposal. when',
27843:'completed end items, though accepted, are not to be delivered under the contract, the contractor shall include them in the',
27844:'settlement proposal at the contract price, adjusted for any saving of freight or other charges, together with any creditsfortheir purchase,retention,',
27845:'or sale. b work inplace accepted by the government under a construction contract is notconsidered a completed item even though',
27846:'that work may have been paid for at unit prices specified in the contract. 49.206 settlement proposals. 49.2061submission of settlement',
27847:'proposals. a subject to the provisions of the termination clause, the contractor should promptly submit to the tco a settlement',
27848:'proposal for the amount claimed because of the termination. the final settlement proposal must be submitted within oneyear from the',
27849:'effective date of the termination, unless the period isextended by thetco. termination charges under a single prime contract involving two',
27850:'or more divisions or units of the prime contractor may be consolidated and included in a single settlement proposal. b',
27851:'the settlement proposal must cover all cost elements including settlements with subcontractors and any proposed profit. with the consent ofthe',
27852:'tco, proposals maybe filed in successive steps coveringseparate portions of thecontractor’s costs. such interim proposals shall include all costs of',
27853:'a particular type, except as the tco may authorize otherwise. c settlement proposals must be on the forms prescribed in',
27854:'49.602 unless the forms are inadequate for a particular contract. settlement proposals must be in reasonable detail supported by adequate',
27855:'accounting data. actual, standard appropriately adjusted, or average costs may be used in preparing settlement proposals if they are determined',
27856:'under subpart 49.2 additional principles for fixedprice contracts terminated for convenience 49.2062 generallyrecognizedaccounting principles consistently followed by the contractor. when',
27857:'actual, standard, or average costs are not reasonably available, estimated costs may be used if the method of arriving at',
27858:'the estimates is approved by the tco. contractors shall not be required to maintain unduly elaborate cost accounting systems merely',
27859:'because their contracts may subsequently be terminated. d the contractor may use the settlement proposal short form, sf 1438 see',
27860:'49.6021d and 53.249, when the total proposal is less than $10,000, unless otherwise instructed by the tco. settlement proposals that',
27861:'would normally be included in a single settlement proposal; e.g., those based on a series of separate orders for the',
27862:'same item under one contract, should be consolidated whenever possible and not divided to bring them below $10,000. e the',
27863:'schedule of accounting information, sf 1439, must be submitted for each termination under a contract for which a settlement proposal',
27864:'is submitted, except when the standard form 1438 is used. although several interim proposals may be submitted, sf 1439 need',
27865:'be submitted only once unless, subsequent to filing the original form, major changes occur in the information submitted. 49.2062bases for',
27866:'settlementproposals. a inventory basis. 1 use of the inventory basis for settlement proposals is preferred. under this basis, the contractor',
27867:'may propose only costs allocable to the terminated portion of the contract, and the settlement proposal must itemize separately i',
27868:'metals, raw materials, purchased parts, work in process, finished parts, components, dies, jigs, fixtures, and tooling, at purchase or manufacturing',
27869:'cost; iicharges such as engineering costs, initial costs, andgeneral administrative costs; iii costs of settlements with subcontractors; iv settlement expenses;',
27870:'and v otherproper charges. 2 an allowance for profit 49.202 or adjustment for loss 49.203b must be made to complete',
27871:'the gross settlement proposal. all unliquidated advance and progress payments and all disposal and other credits known when the proposal',
27872:'is submitted must then be deducted. 3 this inventory basis is also appropriate for use under the following circumstances: i',
27873:'the partial termination of a construction or related professional services contract. ii the partial or complete termination of supply orders',
27874:'under any terminated construction contract. iii the complete termination of a unitprice as distinguished from a lumpsum professional services contract.',
27875:'b total cost basis. 1 when use of the inventory basis is not practicable or will unduly delay settlement, the',
27876:'totalcost basis sf 1436 may be used if approved in advance by the tco as in the following examples: i',
27877:'if production has not commenced and the accumulated costs represent planning and preproduction or get ready expenses. iiif, under the',
27878:'contractor’s accounting system, unit costs for work in processand finished products cannot readily be established. iii if the contract does',
27879:'not specify unit prices. iv if the termination is complete and involves a letter contract. 2 when the totalcost basis',
27880:'is used under a complete termination, the contractor must itemize costs incurred under thecontract upto the effective date of termination.',
27881:'the costsof settlements with subcontractors and applicable settlement expenses must also be added. an allowance for profit 49.202 or adjustment',
27882:'for loss 49.203c must be made. the contract price for all end items delivered or to be delivered and accepted',
27883:'must be deducted. all unliquidated advance and progress payments and disposal and other credits known when the proposal is submitted',
27884:'must also be deducted. 3 when the totalcost basis is used under a partial termination, the settlement proposal shall not',
27885:'be submitted until completion of the continued portion of the contract. the settlement proposal must be prepared as in paragraph',
27886:'b2 of this section, except that all costs incurred to the date of completion of the continued portion of the',
27887:'contract must be included. 4 if a construction contract or a lumpsum professional services contract is completely terminated, the contractor',
27888:'shall i use the total cost basis of settlement; ii omit line 10 deductfinished product invoiced or to be invoiced',
27889:'from section ii of sf 1436 settlement proposal total cost basis; and iii reduce the gross amount of the settlement',
27890:'by the total of all progress and other payments. 49.2063 federal acquisition regulation c other basis. settlement proposals may not',
27891:'be submitted on any basis other than paragraph a or b of this section without the priorapproval of thechief of',
27892:'the contracting or contract administration office. 49.2063 submission of inventory disposal schedules. subject to the terms of the termination clause,',
27893:'and whenever termination inventory is involved, the contractor shall submit complete inventory disposal schedules to the tco reflecting inventory that',
27894:'is allocable to the terminated portion of the contract. the inventory disposal schedules shall be submitted within 120 days fromthe',
27895:'effective date of terminationunless otherwise extended by the tco based on a written justification to support the extension. the inventory',
27896:'schedules shall be prepared on standard form 1428, inventory disposal schedule. 49.207limitation on settlements. the total amount payable to the',
27897:'contractor for a settlement, before deducting disposal or other credits and exclusive of settlement costs, must not exceed the contract',
27898:'price less payments otherwise made or to be made under the contract. 49.208equitable adjustment after partial termination. under the termination',
27899:'clause, after partial termination, a contractor may request an equitable adjustment in the price or prices of the continuedportion of',
27900:'a fixedprice contract. the tco shall forward the proposal tothe contracting officer except when negotiation authority is delegated to the',
27901:'tco. the contractor shall submit the proposal in the format of table 151 of 15.408. a when thecontracting officer retainsresponsibility',
27902:'for negotiating theequitable adjustment andexecuting a supplemental agreement, thecontracting officer shall ensure that no portion ofan increase in price is',
27903:'included ina termination settlement made or in process. b the tco shall also ensure that no portion of the costs',
27904:'included in the equitable adjustment are included in the termination settlement. subpart 49.3additionalprinciples for costreimbursementcontractsterminatedfor convenience 49.3035 subpart 49.3 additional',
27905:'principles for cost reimbursement contracts terminated for convenience 49.301general. terminationclauses for costreimbursement contracts see 49.503a provide for the settlementof costs',
27906:'and fee, if any. the contract clauses governing costs shall determine what costs are allowable. 49.302discontinuance of vouchers. a when',
27907:'the contract has been completely terminated, the contractor shall not use standard form 1034 public voucher for purchases and services',
27908:'other than personal after the last day of the sixth month following the month in which the terminationis effective. the',
27909:'contractormay electto stop using vouchersat anytime duringthe 6month period. when the contractor has vouchered out all costs within the 6monthperiod,',
27910:'a proposal for fee,if any, may be submittedon sf 1437 see 49.6021 or by letter appropriately certified. the contractor must',
27911:'submit a substantiated proposal for fee to the tco within 1 year from theeffective date oftermination, unless the period is',
27912:'extendedby the tco. when theuse of vouchers is discontinued, the contractor shall submitall unvouchered costs and the proposedfee, ifany, as',
27913:'specifiedin 49.303. b when the contract is partially terminated, 49.304 shall apply. 49.303 procedure afterdiscontinuing vouchers. 49.3031submission of settlement proposal.',
27914:'the contractor shall submit a final settlement proposal covering unvouchered costs and any proposed fee to within 1 year from',
27915:'the effective date of termination, unless the period is extended bythe tco. thecontractor shall usethe form prescribed in 49.6021, unless',
27916:'the tco authorizes otherwise. the proposal shall not include costs that have been a finally disallowedby the contracting officer; or',
27917:'b previously vouchered and formally questioned by the government but not yet decided asto allowability. 49.3032 submission of inventory disposal',
27918:'schedules. subject to the terms of the termination clause, and whenever termination inventory is involved, the contractor shall submit complete',
27919:'inventory disposal schedules to the tco reflecting inventory that is allocable to the terminated portion of the contract. the inventory',
27920:'disposal schedules shall be submitted within 120 days fromthe effective date of terminationunless otherwise extended by the tco based on',
27921:'a written justification to support the extension. the inventory disposal schedules shall be prepared on standard form 1428 inventory disposal',
27922:'schedule. 49.3033audit of settlement proposal. the tco shall submit the settlement proposal to the appropriate audit agency for review see',
27923:'49.107. however, if the settlement proposal is limited to an adjustment of fee, no referral to the audit agency is',
27924:'required. 49.3034adjustmentof indirect costs. a if the contract contains the clause at 52.2167, allowable cost and payment, and it appears',
27925:'that adjustment of indirect costs will unduly delay final settlement, the tco,after obtaining information from the appropriate auditagency,may agree with',
27926:'the contractor to 1 negotiate the amount of indirect costs for the contract period for which final indirect cost rates',
27927:'have not been negotiated, or to use billing rates as final rates for this period if the billing rates appear',
27928:'reasonable; or 2 reserve any indirect cost adjustment in the final settlement agreement, pending establishment of negotiated rates under subpart',
27929:'42.7. b when an amount of indirect cost is negotiated under paragraph a1 of this section, the contractor shall eliminate',
27930:'the indirect cost and the related direct costs on which it was based from the total pool and base used',
27931:'to compute indirect costs for other contracts performed during the applicable accounting period. 49.3035 final settlement. a the tco shall',
27932:'proceed with the settlement and execution of a settlement agreement upon receipt of the audit report, if applicable, and the',
27933:'contract audit closing statement covering vouchered costs. b the tco shall adjust the fee as provided in 49.305. federal acquisition',
27934:'regulation c the final settlement agreement may include all demands of the government and proposals of the contractor under the',
27935:'terminated contract. however, no amount shall be allowedforanyitem ofcost disallowed by thegovernment,nor for any other item of cost of the',
27936:'same nature. d if an overall settlementof costs is agreed upon, agreement on each element of costis not necessary. if',
27937:'appropriate, differences may be compromised and doubtful questions settled byagreement. anoverall settlement shall not include costs that are clearly not',
27938:'allowable under the terms of the contract. 49.304 procedure for partial termination. 49.3041 general. a ina partial termination, thetco shall',
27939:'limit the settlement toan adjustment of the fee, if any, and with the concurrence of the contracting officeto a reduction',
27940:'in the estimated cost. the tco shall adjust the fee as provided in 49.3042 and 49.305, unless 1 the terminated',
27941:'portion is clearly severable from the balance of the contract; or 2 performance of the contract is virtually complete, or',
27942:'performance of any continued portion is only on subsidiary items or spare parts, or is otherwise not substantial. b in',
27943:'the case of the exceptions in paragraph a, the procedures in 49.302 and 49.303 apply. 49.3042submission of settlement proposalfee only.',
27944:'the contractor shall limit the settlement proposal to a proposed reduction in the amount of fee. the final settlement proposal',
27945:'shall be submitted to the tco within oneyear from the effective date of termination, unless the period is extended by',
27946:'the tco. the proposal may be submitted in the form prescribed in 49.6021 or by letter appropriately certified. the contractor',
27947:'shall substantiate the amount of fee claimed see 49.305. 49.3043 submission of vouchers. when a partial termination settlement is limited',
27948:'to adjustment of fee, the contractor shall continue to submit the sf 1034, public voucherforpurchases andservices other than personal, for',
27949:'costs reimbursable underthe contract. the contractor shall not be reimbursed for costs of settlements with subcontractors unless required approvals or',
27950:'ratifications have been obtained see 49.108. 49.305adjustment of fee. 49.3051 general. a thetco shall determinethe adjusted fee to be paid,',
27951:'if any, inthe mannerprovided bythe contract. the determination is generally based on a percentage of completion of the contract or',
27952:'of the terminated portion. when this basis is used, factors such as theextent and difficulty of the work performed bythe',
27953:'contractor e.g., planning, scheduling,technicalstudy, engineering work, production and supervision, placing and supervising subcontracts, and work performed by the contractor in',
27954:'1 stopping performance, 2 settling terminated subcontracts, and 3 disposing of termination inventory shall be compared with the total work',
27955:'required bythe contract or by the terminatedportion. the contractor’s adjusted feeshallnot include an allowance for fee for subcontract effortincluded insubcontractors’',
27956:'settlementproposals. b the ratio of costs incurred to the total estimated cost of performing the contract or the terminated portion',
27957:'is only one factor in computing the percentage of completion. this percentage may be either greater or less than that',
27958:'indicated by the ratio of costs incurred, depending upon the evaluation by the tco of other pertinent factors. 49.3052 construction',
27959:'contracts. a thepercentage of completion basis refers to the contractor’s total effort and not solely tothe actualconstruction work. generally,the effort',
27960:'ofa contractorunder a costreimbursement construction or professional services contract can be segregated into factors such as 1 mobilization including organization,',
27961:'2 use of finances, 3 contracting for and receipt of materials, 4 placement of subcontracts, 5 preparation of shop drawings,',
27962:'subpart 49.3additionalprinciples for costreimbursementcontractsterminatedfor convenience 49.3052 6 work inplace performedby own forces, 7 supervision of subcontractors’ work, 8 job administration,',
27963:'and 9 demobilization. b each of the applicable factors in paragraph a of this section shall be assigned a weighted',
27964:'value depending on itsimportance and difficulty. the total weight value of all factors should be easily divisible e.g., by 100',
27965:'to determine percentages. the percentage of completion of each factor must be established based upon the specific facts of each',
27966:'contract. when totaled, the percentage of completion of each factor applied to the weighted value of each factor results in',
27967:'the overall percentage of contract completion. the percentage of completion is then applied to the total contract fee or to',
27968:'the fee applicable to the terminated portion of the contract to arrive at an equitable adjustment. this page intentionally left',
27969:'blank. 49.34 subpart 49.4 termination for default 49.4022 subpart 49.4 termination for default 49.401general. a termination for default is generallythe',
27970:'exerciseof the government’s contractual rightto completely or partially terminate a contract because of the contractor’sactual or anticipated failure to perform',
27971:'its contractual obligations. b if the contractor can establish, or it is otherwise determined that the contractor was not in',
27972:'default or that the failure to perform is excusable; i.e., arose out of causes beyond thecontrol and withoutthe fault or',
27973:'negligence of the contractor,the default clauses prescribed in 49.503 and located at 52.249 provide that a termination for default will',
27974:'be considered to have been a termination for the convenience of the government, and the rights andobligations ofthe parties governedaccordingly.',
27975:'c thegovernment may, in appropriate cases, exercisetermination or cancellation rightsin addition to those inthe contract clauses see for example, paragraph',
27976:'h of the default clause at 52.2498. d for default terminations of orders under federal supply schedule contracts, see subpart',
27977:'8.4. e notwithstanding the provisions of this 49.401, the contractingofficer may, with the written consentof the contractor, reinstate the terminated',
27978:'contract by amending the notice of termination, after a written determination is made that the supplies or services are still',
27979:'required and reinstatement is advantageous to the government. 49.402 termination of fixedprice contracts for default. 49.4021the government’s right. under contracts',
27980:'containing the default clause at 52.2498, the government has the right, subject to the notice requirements of the clause, to',
27981:'terminate the contract completely or partially for default if the contractor fails to a make delivery of the supplies or',
27982:'perform the services within the time specified in the contract, b perform any other provision of the contract, or c',
27983:'make progress and that failure endangers performance of the contract. 49.4022 effect of termination for default. a under a terminationfordefault,',
27984:'the government is notliable for thecontractor’scosts on undelivered work and is entitled to therepayment of advance andprogresspayments, if any,applicable to',
27985:'thatwork. the government may elect, under the default clause, to require the contractor to transfer title and deliver to the',
27986:'government completed supplies and manufacturing materials, as directed by the contracting officer. b the contractingofficer shall not use the default',
27987:'clauseas authority to acquire anycompleted supplies or manufacturing materials unless it has been ascertained that the government does not already',
27988:'have title under some other provisionof the contract. the contractingofficer shall acquire manufacturing materialsunder thedefault clause for furnishing to another',
27989:'contractor onlyafter considering the difficultiesthe other contractor may have in using the materials. c subject to paragraph d of this',
27990:'section, the government shall pay the contractor the contract price for any completed supplies, and the amount agreedupon by the',
27991:'contracting officer and the contractor for any manufacturing materials, acquired by the government under the default clause. d the government',
27992:'must beprotected from overpayment that might result fromfailureto provide for the government’s potential liability to laborers and material suppliers for',
27993:'lien rights outstanding against the completed supplies or materials after the government has paid the contractor for them. to accomplish',
27994:'this, before paying for supplies or materials, the contracting officershalltake one or more of the followingmeasures: 1 ascertain whether the',
27995:'payment bonds,if any, furnished by the contractor areadequate to satisfy all lienors’ claims or whether it is feasible to obtain',
27996:'similar bonds to cover outstanding liens. 2 require the contractor to furnish appropriate statements from laborers and material suppliers disclaiming',
27997:'any lien rights they may have to the supplies and materials. 3 obtainappropriate agreement by thegovernment, the contractor, and lienors',
27998:'ensuring releaseof the government from any potential liability to the contractor or lienors. 4 withhold from the amount due for',
27999:'thesupplies ormaterials any amount the contracting officer determines necessary to protectthe government’s interest, butonlyif the measures in paragraphs d1, 2,',
28000:'and 3 of this section cannotbe accomplished or are considered inadequate. 5 takeother appropriate actionconsidering the circumstancesand the degree of',
28001:'thecontractor’ssolvency. e the contractor is liable to the government for any excess costs incurred in acquiring supplies and services similar',
28002:'to those terminated for default see 49.4026, and for any other damages, whether or notrepurchase is effectedsee 49.4027. 49.4023 federal',
28003:'acquisition regulation 49.4023procedure for default. a when a default termination is being considered, the government shall decide which type of',
28004:'termination action to take i.e., default, convenience, or nocost cancellation only after review by contracting and technical personnel, and by',
28005:'counsel, to ensure the propriety of the proposed action. b the administrative contractingofficer shall not issue a show cause noticeor',
28006:'cure notice without the priorapproval of thecontracting office, which should be obtained bythe most expeditious means. c subdivision a1i of',
28007:'the default clause covers situations when the contractor has defaulted by failure to make delivery of the supplies or to',
28008:'perform the services within the specified time. in these situations, no notice of failure or of the possibility of termination',
28009:'for default is required to be sent to the contractor before the actual notice of termination but see paragraph e',
28010:'of this section. however, if the government has taken any actionthat might be construed as a waiverof the contract deliveryor',
28011:'performance date,the contracting officer shall send a notice to the contractor setting a new date for the contractor to make',
28012:'deliveryor complete performance. the notice shall reservethe government’s rights under the default clause. d subdivisions a1ii and a1iii of the',
28013:'default clause cover situations when the contractor fails to perform some of the other provisions of the contract such as',
28014:'not furnishing a required performance bond or so fails to make progress as to endanger performanceof the contract. if the',
28015:'termination is predicated uponthis type of failure, the contracting officer shall give the contractor written notice specifying the failure and',
28016:'providing a period of 10 days or longer period as necessary in which to cure the failure. when appropriate, this',
28017:'notice may be made a part of the notice described in paragraph e1 of this section. uponexpiration of the 10',
28018:'days or longer period, thecontracting officer may issuea notice of termination for default unless it is determined that the failure',
28019:'to perform has been cured. a format for a cure notice is in 49.607. e 1ifterminationfordefaultappearsappropriate,thecontractingofficershould,ifpracticable,notifythecontractor in writing of the',
28020:'possibilityof the termination. this noticeshallcall the contractor’s attention to the contractual liabilities if the contract is terminated for default, and',
28021:'request the contractor to show cause why the contract should not be terminated for default. the notice may further state',
28022:'that failure of the contractor to present an explanation may be taken as an admission that no valid explanation exists.',
28023:'when appropriate, the notice may invite the contractor to discuss the matter at a conference. a format for a show',
28024:'cause notice is in 49.607. 2 when atermination for default appears imminent, the contracting officershallprovide awritten notification to the surety.',
28025:'if the contractor is subsequently terminated for default, a copy of the notice of default shall be sent to the',
28026:'surety. 3 if requested by the surety, and agreedto by the contractor and any assignees, arrangementsmay be made to have',
28027:'future checks mailed to the contractor in careof the surety. in thiscase, the contractor must forward a written request tothe',
28028:'designated disbursing officer specifically directing a change in addressformailingchecks. 4 if the contractor isa small business firm, the contracting officer',
28029:'shall immediately provide a copy of any cure notice or show cause notice tothe contracting office’s small business specialist and',
28030:'the small business administration area office nearestthe contractor. the contracting officer should, wheneverpracticable, consultwith the small business specialist before proceeding',
28031:'with a default termination see also 49.4024. f the contracting officer shall consider the following factors in determining whether toterminatea',
28032:'contract for default: 1 the terms of the contract and applicable laws and regulations. 2 the specific failure of the',
28033:'contractor and the excuses for the failure. 3 the availability of the supplies or services from other sources. 4 the',
28034:'urgency of the need for the supplies or services and the period oftime required to obtain them from other sources,as',
28035:'compared withthe time delivery could beobtained from the delinquentcontractor. 5 the degree of essentiality of the contractor in thegovernmentacquisition program',
28036:'and the effect of a termination for default uponthe contractor’s capability as a supplier under other contracts. 6 the effect',
28037:'of a terminationfordefault onthe abilityof the contractorto liquidate guaranteed loans,progress payments, or advance payments. 7 any other pertinent facts and',
28038:'circumstances. g if, after compliance with the procedures in paragraphs a through f of this 49.4023, thecontracting officer determines that',
28039:'a termination for default is proper, the contracting officer shall issue a notice of termination stating 1 the contract number',
28040:'and date; 2 the acts or omissions constituting the default; 3 that the contractor’s right toproceed further under the contract',
28041:'or a specified portionof the contract is terminated; 4 that the supplies or services terminatedmay be purchasedagainst thecontractor’saccount, and that',
28042:'the contractor will be held liable for any excess costs; subpart 49.4 termination for default 49.4026 5 if the contracting',
28043:'officer has determined that thefailureto perform isnot excusable,that the notice of termination constitutes such decision, and that the contractor has',
28044:'the right to appeal such decision under the disputes clause; 6 that the government reservesallrights and remedies provided by law',
28045:'or under the contract, in additionto charging excess costs; and 7 that the notice constitutes a decision that the contractor',
28046:'is in default as specified and that the contractor has the right to appeal under the disputes clause. h the',
28047:'contractingofficer shall make the same distribution of the termination notice aswas made of the contract. a copy shall also be',
28048:'furnished to the contractor’s surety, if any, when the notice is furnishedto the contractor. the surety should berequested to advise',
28049:'if it desires to arrange for completion of the work. in addition, the contractingofficer shall notify thedisbursingofficer to withhold furtherpaymentsunder',
28050:'theterminated contract, pending further advice, whichshouldbe furnished at the earliest practicable time. iin the case ofa construction contract, promptlyafter issuanceof',
28051:'the termination notice, the contractingofficer shall determine the manner in which the work is to be completed and whether the',
28052:'materials, appliances, and plant that are on the site will be needed. jif the contractingofficer determines before issuing thetermination notice',
28053:'that the failure to perform is excusable, thecontract shall not be terminated for default. if termination is in the government’s',
28054:'interest, thecontracting officer may terminate the contract for the convenience of the government. k if the contracting officer has not',
28055:'been able to determine, before issuance of the notice of termination whether the contractor’s failure toperform is excusable, the contractingofficer',
28056:'shall make awritten decision onthat point as soonas practicable after issuance of the notice of termination. the decision shall be',
28057:'delivered promptly to the contractor with a notification that the contractor has the right to appeal as specified in the',
28058:'disputes clause. 49.4024procedure in lieuof terminationfor default. the following coursesof action, among others,are available tothe contracting officerin lieu of termination',
28059:'for default when in the government’s interest: a permit thecontractor, the surety, or the guarantor, to continue performance of the',
28060:'contract undera reviseddelivery schedule. b permit the contractor to continue performance of the contract by means of a subcontract or',
28061:'other business arrangement with an acceptable third party, providedthe rightsof the government are adequately preserved. c if the requirement for',
28062:'the supplies and services in the contract no longer exists, and the contractor is not liable to the government for',
28063:'damages as provided in 49.4027, execute a nocost termination settlement agreement using the formats in 49.6036 and 49.6037 as a',
28064:'guide. 49.4025memorandum by thecontracting officer. when a contract is terminated for default or a procedure authorized by 49.4024 is followed,',
28065:'the contractingofficer shall prepare a memorandum for the contract file explaining the reasons for the action taken. 49.4026repurchase against contractor’s',
28066:'account. a when thesupplies orservices are still required after termination, the contracting officer shall repurchasethe same or similar supplies or',
28067:'services againstthe contractor’s accountas soon as practicable. the contracting officer shall repurchase at as reasonable aprice as practicable,considering the quality',
28068:'and delivery requirements. thecontracting officer may repurchase a quantity in excess of the undelivered quantity terminated for default when the',
28069:'excess quantity is needed, but excess cost may notbe charged against the defaulting contractor for more thanthe undelivered quantityterminated for',
28070:'default including variations in quantitypermitted by the terminatedcontract. generally,the contracting officer will make adecision whether or not to repurchase before',
28071:'issuing the termination notice. b if the repurchase is for a quantity not over the undelivered quantity terminated for default,',
28072:'the default clause authorizes thecontracting officer touse any terms and acquisition method deemedappropriateforthe repurchase. however, thecontracting officer shall obtain competition',
28073:'to the maximum extent practicable for the repurchase. the contracting officer shall cite the default clauseas the authority. ifthe repurchase',
28074:'is for aquantity over theundelivered quantity terminated for default, the contractingofficer shall treat the entire quantity as a new acquisition.',
28075:'c if repurchase is madeat a price over theprice of thesupplies orservices terminated, the contracting officer shall, after completion and',
28076:'final payment of the repurchase contract, make written demand on the contractor for the total amount of the excess, giving',
28077:'consideration to any increases or decreases in other costs such as transportation, discounts, etc. if the 49.4027 federal acquisition regulation',
28078:'contractorfailstomakepayment,thecontractingofficershallfollowtheproceduresin subpart 32.6 for collecting contract debts due the government. 49.4027 other damages. a if the contracting officerterminates a contractfordefaultor',
28079:'follows a course ofaction instead oftermination for default see 49.4024, the contractingofficer promptly must assess and demandanyliquidated damages to which',
28080:'the government is entitled under the contract. under the contract clause at 52.21111, these damages are in addition to any',
28081:'excess repurchase costs. b if the government has suffered any other ascertainable damages, including administrative costs, asa result of the',
28082:'contractor’s default, the contractingofficer must, on the basis oflegal advice, take appropriate action asprescribed in subpart 32.6 to assert the',
28083:'government’s demand for the damages. 49.4028 reporting information. the contractingofficer, in accordance with agency procedures, shall ensurethat information relating tothe',
28084:'terminationfor default notice and a subsequent withdrawal or a conversion to a termination for convenience is reported in accordance with',
28085:'42.1503h. 49.403 termination of costreimbursement contracts for default. a theright to terminate a costreimbursement contract for default is provided for',
28086:'inthe terminationfordefault or for convenience of the government clause at 52.2496. a 10day notice to the contractor before termination for',
28087:'default is required in every case by the clause. b settlement of a costreimbursement contract terminated for default is subject',
28088:'to the principles in subparts 49.1 and 49.3 the same as when a contract is terminated for convenience, except that',
28089:'1 the costs of preparing the contractor’s settlement proposal are not allowable seeparagraph h3 of the clause; and 2 the',
28090:'contractoris reimbursed the allowable costs, and an appropriate reduction is made in thetotal fee, if any, see paragraph h4 of',
28091:'the clause. c thecontracting officer shall use the proceduresin 49.402 to the extent appropriate in considering the termination for default',
28092:'of a costreimbursement contract. however, a costreimbursement contract does notcontain anyprovision for recovery of excess repurchase costs after termination for',
28093:'default but see paragraph g of the clause at 52.2463 with respect to failure of the contractor to replace or',
28094:'correct defective supplies. 49.404 suretytakeover agreements. a theprocedures in this section apply primarily, but not solely,to fixedprice constructioncontracts terminatedfor default.',
28095:'b since the surety is liablefordamages resulting fromthe contractor’s default, the suretyhas certainrights and interests in the completionof the contract',
28096:'work and application of any undisbursedfunds. therefore, the contracting officer must consider carefullythe surety’s proposals for completing the contract. the',
28097:'contracting officer must take actionon the basisof thegovernment’s interest, including the possible effect uponthe government’s rights against the surety. c',
28098:'thecontracting officer should permit surety offers tocomplete the contract,unlessthe contracting officerbelieves that the persons or firms proposed by the surety',
28099:'to complete the work are not competent and qualified or the proposal is not in the best interest of the',
28100:'government. d there may beconflicting demands for the defaulting contractor’sassets, including unpaid prior earnings retained percentages and unpaid progress estimates.',
28101:'therefore, the surety may include a takeover agreement in its proposal, fixing thesurety’srights topayment from those funds. thecontracting officer may',
28102:'but not before the effective date of termination enter intoa written agreement with the surety. the contracting officer should consider',
28103:'using a tripartite agreement among thegovernment,the surety, and the defaulting contractor toresolve the defaulting contractor’sresidual rights, including assertions to unpaid',
28104:'prior earnings. e any takeover agreementmust require the surety to complete thecontract andthe government to pay the surety’s costs and',
28105:'expenses up to the balance of the contract price unpaid at the time of default, subject to the following conditions:',
28106:'1 any unpaid earnings of thedefaulting contractor, including retained percentagesandprogress estimates for work accomplishedbefore termination, must besubject to debts due',
28107:'the government by the contractor, except to theextent that subpart 49.4 termination for default 49.406 the unpaid earnings may be',
28108:'used to pay the completing surety its actual costs and expenses incurred in the completion of the work, but not',
28109:'including its payments and obligations under the payment bond given in connection with the contract. 2 the surety is bound',
28110:'by contract terms governing liquidated damages for delays in completion of the work, unless the delays are excusable under the',
28111:'contract. 3 if the contract proceeds have been assigned to a financing institution, the surety must not be paid from',
28112:'unpaid earnings, unless the assignee provides written consent. 4 the contractingofficer mustnot pay the surety morethan the amount it expended',
28113:'completing thework and discharging its liabilities under the defaulting contractor’s payment bond. payments to the surety to reimburse it for',
28114:'discharging its liabilities under the payment bond of the defaulting contractor must be only on authority of imutual agreement among',
28115:'the government, the defaulting contractor, and the surety; ii determination of the comptroller general as to payee and amount; or',
28116:'iii order of a court of competent jurisdiction. 49.405 completion by anothercontractor. if the surety does not arrange for completion',
28117:'of thecontract, the contracting officer normallywill arrange for completion of the work by awarding a new contract based on the',
28118:'same plans and specifications. the new contract may be the result of sealed bidding or anyother appropriate contractingmethod or procedure.',
28119:'the contractingofficer shall exercise reasonable diligence to obtain the lowest price available for completion. 49.406 liquidation of liability. 1the contract',
28120:'provides that the contractor and the surety are liable to the government for resultant damages. the contracting officershalluse all retained',
28121:'percentages of progress payments previously madeto thecontractor and any progress payments due for work completed before the termination to liquidate',
28122:'the contractor’s and the surety’s liability to thegovernment. if the retained and unpaid amounts are insufficient, the contracting officer shall',
28123:'take steps to recover the additional sum from the contractor and thesurety. this page intentionally left blank. 49.46 subpart 49.5',
28124:'contract termination clauses 49.502 subpart 49.5 contract termination clauses 49.501general. this subpart prescribes the principal contract termination clauses. this subpart',
28125:'does not apply to contracts that use the clause at 52.2134, terms and conditionssimplified acquisitions other than commercial productsand commercial',
28126:'services. in appropriate cases, agencies may authorize the use ofspecial purpose clauses, ifconsistent with this chapter. 49.502 termination for convenience',
28127:'of the government. a fixedprice contracts that do not exceed the simplified acquisition threshold short form 1 general use. the',
28128:'contracting officershallinsert the clauseat 52.2491,termination for convenienceof the government fixedprice short form, in solicitations and contracts when a fixedprice contract',
28129:'is contemplated and the contract amount is not expected to exceed the simplified acquisition threshold, except i if use of',
28130:'the clause at 52.2494, termination for convenience of the government services short formis appropriate, ii in contracts for research and',
28131:'development work with an educational or nonprofit institution on a noprofit basis, iii in contracts for architectengineer services, or iv',
28132:'if one of the clauses prescribed or cited at 49.505a or c, is appropriate. 2 dismantling and demolition. if the',
28133:'contract is for dismantling, demolition, or removal of improvements, the contracting officershalluse the clausewith its alternatei. b fixedprice contracts that',
28134:'exceed the simplified acquisition threshold 1 i general use. thecontracting officer shall insert the clause at 52.2492, termination for convenience',
28135:'of the government fixedprice,in solicitations and contracts when a fixedprice contract is contemplated and the contract amount is expected to',
28136:'exceed the simplified acquisition threshold except in contracts for a dismantling and demolition, b research and development work with an',
28137:'educational or nonprofit institution on a noprofit basis, or c architectengineer services; it shall not be used if the clause',
28138:'at 52.2494, termination for convenience of the government services short form, is appropriate see 49.502c, or one of the clauses',
28139:'prescribed or cited at 49.505a or c, is appropriate. 2 construction. if the contract isforconstruction, the contractingofficer shall usethe clause',
28140:'with its alternatei. i partial payments. if the contract is with an agency of the u.s. government or with state,',
28141:'local, or foreign governments or their agencies, and ifthe contracting officerdeterminesthat therequirementto pay interest on excess partial payments is inappropriate,',
28142:'the contractingofficer shall usethe clause with its alternateii. in suchcontracts for construction, thecontracting officer shall use the clause with its',
28143:'alternateiii. ii dismantling and demolition. the contracting officer shall insert the clause at 52.2493,termination for convenience of the government dismantling,',
28144:'demolition, or removal of improvements in solicitations and contracts for dismantling, demolition, or removal of improvements, when a fixedprice contract',
28145:'is contemplated and the contract amount is expected to exceed the simplified acquisition threshold. if the contract is with an',
28146:'agency of the u.s. government or with state, local, or foreign governments or theiragencies, and ifthe contracting officer determines that',
28147:'therequirementto pay interest on excess partial payments is inappropriate, the contracting officer shall use the clause with its alternatei. c',
28148:'service contracts short form. thecontracting officer shall insert the clause at 52.2494, terminationforconvenience of the government services short form, in',
28149:'solicitations and contracts for services, regardless of value, when a fixedprice contract is contemplated andthe contracting officer determines that because',
28150:'ofthe kind of services required, the successful offeror will not incur substantial chargesin preparation for and in carrying out the',
28151:'contract, and would, if terminated for the convenience of the government,limittermination settlement charges to services rendered before the date oftermination.',
28152:'examples of services where this clause may be appropriate are contracts for rental of unreserved parking space, laundry and dry',
28153:'cleaning, etc. d research and development contracts. the contracting officer shall insert the clause at 52.2495, termination for the convenience',
28154:'of the government educational and other nonprofit institutions, in solicitations and contracts when either a fixedprice or costreimbursement contract is',
28155:'contemplated for research and development work with an educational or nonprofit institution on a nonprofit or nofee basis. e subcontracts',
28156:'1 general use. the prime contractor may find the clause at 52.2491, termination for convenience of the government fixedprice short',
28157:'form, or at 52.2492, termination for convenience of the governmentfixedprice, as appropriate, suitable for use in fixedprice subcontracts, except as',
28158:'noted in paragraph e2 of this section; provided, that federal acquisition regulation the relationship between the contractor and subcontractor is',
28159:'clearly indicated. inapplicable conditions e.g., paragraph d in 52.2492shouldbe deleted and theperiodsreduced for submitting the subcontractor’s terminationsettlement proposal e.g.,6 months,',
28160:'and for requesting an equitable price adjustment e.g.,45 days. 2 research and development. the prime contractor may find the clause',
28161:'at 52.2495, termination for the convenience of the government educational and other nonprofit institutions, suitable for use in subcontracts placed',
28162:'with educational or nonprofit institutions on a noprofit or nofee basis; provided, that the relationship between the contractor and subcontractor',
28163:'is clearly indicated. inapplicable conditions e.g., paragraph h should be deleted, the period for submitting thesubcontractor’s termination settlementproposal should bereduced',
28164:'e.g.,6 months, the subcontract should be placed on a noprofit or nofee basis, and the subcontract should incorporate or be',
28165:'negotiated on the basis of the cost principles in part 31 of the federal acquisition regulation. 49.503 termination for convenience',
28166:'of the governmentand default. a costreimbursement contracts 1 general use. insert the clause at 52.2496, terminationcostreimbursement, in solicitations and contracts',
28167:'when a costreimbursement contract is contemplated, except contracts for research and development with an educational or nonprofit institution on a',
28168:'nofee basis. 2 construction. if the contract isforconstruction, the contractingofficer shall usethe clause with its alternatei. 3 partial payments. if',
28169:'the contract is with an agency of the u.s. government or with state, local, or foreign governments or their agencies,',
28170:'and ifthe contracting officerdeterminesthat therequirementto pay interest on excess partial payments is inappropriate, the contractingofficer shall usethe clause with its',
28171:'alternateii. in suchcontracts for construction, thecontracting officer shall use the clause with its alternateiii. 4 timeandmaterial and laborhour contracts. if',
28172:'the contract is a timeandmaterial or laborhour contract, the contracting officershalluse the clausewith its alternateiv. if the contract is with',
28173:'anagency of the u.s. government or with state, local, or foreign governments or theiragencies, and ifthe contracting officer determines that',
28174:'therequirementto pay interest on excess partial payments is inappropriate, the contracting officer shall use the clause with its alternate v.',
28175:'b insert the clause at 52.2497, termination fixedprice architectengineer,in solicitations and contractsforarchitectengineer services, when a fixedprice contract is contemplated. c',
28176:'subcontracts. the prime contractor may find the clause at 52.2496, termination costreimbursement, suitable for use in costreimbursement subcontracts; provided, that',
28177:'the relationship between the contractor and subcontractor is clearly indicated. inapplicable conditions e.g., paragraphs e, j and n should be',
28178:'deleted and the period for submitting the subcontractor’s termination settlement proposal should be reduced e.g.,6 months. 49.504 termination of fixedprice',
28179:'contracts for default. a 1 supplies and services. the contracting officer shall insert theclause at 52.2498, default fixedprice supply and',
28180:'service, in solicitations and contracts when a fixedprice contract is contemplated and the contract amount is expected to exceedthe simplified',
28181:'acquisition threshold. the contractingofficer may use the clause when the contractamount is at or below the simplified acquisition threshold, if',
28182:'appropriate e.g., if the acquisition involves items with a history of unsatisfactory quality. 2 transportation. if thecontract is for transportation',
28183:'or transportationrelatedservices, the contracting officer shall use the clause with its alternatei. b research and development. the contracting officer shall',
28184:'insert the clause at 52.2499, default fixedprice research and development, in solicitations and contracts for research and development when a',
28185:'fixedprice contract is contemplated and the contract amount is expected to exceed the simplified acquisition threshold, except those with educational',
28186:'or nonprofit institutions on a noprofit basis. the contracting officermay usethe clause when thecontract amount is at or below the',
28187:'simplified acquisition threshold;, if appropriate e.g., if thecontracting officer believesthat key personnel essential to the work may be devoted to',
28188:'other programs. c 1 construction. the contracting officer shall insert theclause at 52.24910, default fixedprice construction, in solicitations and contracts',
28189:'for construction, when a fixedprice contract is contemplated and the contract amount is expected to exceedthe simplified acquisition threshold. the',
28190:'contractingofficer may use the clause when the contractamount is at or below the simplified acquisition threshold, if appropriate e.g., if',
28191:'completion dates are essential. 2 dismantling and demolition. if the contract is for dismantling, demolition, or removal of improvements, the',
28192:'contracting officershalluse the clausewith its alternatei. 3 national emergencies. if the contractis tobe awarded during a period of nationalemergency,the contracting',
28193:'officer may use the clause subpart 49.5 contract termination clauses 49.505 iwith its alternateii when a fixedprice contractforconstruction is contemplated,',
28194:'or iiwithits alternateiiiwhen acontract for dismantling, demolition,or removal ofimprovements is contemplated. 49.505other termination clauses. a personal service contracts. the contracting',
28195:'officer shall insert the clause at 52.24912, termination personal services, in solicitations and contracts for personal services see part 37.',
28196:'b excusable delays. thecontracting officer shall insert the clause at 52.24914, excusable delays, in solicitations and contracts for supplies, services,',
28197:'construction, and research and development on a fee basis, when a costreimbursement contract is contemplated. thecontracting officer shall also insertthe',
28198:'clause in timeandmaterial contracts, andlaborhour contracts. c communication service contracts. this regulation does not prescribe a clause for the cancellation',
28199:'or termination of orders under communication service contracts with common carriers because of special agency requirements that apply to these',
28200:'services. an appropriate clause, however, shall be prescribed at agency level, within those agencies contracting for these services. this page',
28201:'intentionally left blank. 49.54 subpart 49.6 contract termination forms and formats 49.6012 subpart 49.6 contract termination forms and formats 49.601notice',
28202:'of termination for convenience. see 49.4023g for notice of termination for default. 49.6011electronic notice. the contractingofficer may provide expeditednotice of',
28203:'terminationby electronicmeans thatincludes arequirementfor thecontractor to confirm receipt. if the contractor does not confirm receipt promptly, the contracting officer shall',
28204:'resend the notice electronically, and expedite the letter noticedescribed in 49.6012. if confirmation of the electronic notice is received, and',
28205:'the electronic notice includes all content in 49.6012,the contracting officer need not send the letter noticedescribed in 49.6012. a complete',
28206:'termination: the following electronic notice is suggested for use if a supply contract is being completely terminated for convenience. if',
28207:'appropriately modified, the notice may be used for other than supply contracts. date xyz corporation new york, ny 12345 contractno.',
28208:'is completely terminated underclause , effective [insert immediately,today’s date or on , 20, or as soon as you have delivered,',
28209:'including prior deliveries, the following items: list]. immediately stop all work, terminate subcontracts, and place no further orders except to',
28210:'the extent [insert if applicable necessary to complete items not terminated or] that you or a subcontractor wish to retain',
28211:'and continue for your own account any workinprocess or other materials. provide by electronic means similar instructions to allsubcontractors and',
28212:'suppliers. detailed instructions follow. contractingofficer b partial termination:the following electronic notice is suggested for use if a supply contract is',
28213:'being partially terminated for convenience. if appropriately modified, the notice may be used for other than supply contracts. date xyz',
28214:'corporation new york, ny 12345 contractno. is partially terminated under clause , effective [insert immediately, today’s date or on ,',
28215:'20]. reduce items to be delivered as follows: [insert instructions]. immediately stop all work, terminate subcontracts, and place no further',
28216:'orders except as necessary to perform the portion not terminated or that you or a subcontractor wish to retain and',
28217:'continue for your account any workinprocess or other materials. provide by electronic meanssimilar instructions to all subcontractors and suppliers. detailed',
28218:'instructions follow. contractingofficer 49.6012 letter notice. the following letter notice of termination is suggested for use if a contract for',
28219:'supplies is being terminated for convenience. with appropriatemodifications, it may beused in terminating contracts for other thansupplies and in terminatingsubcontracts.',
28220:'this notice shall be sent by certified mail, return receipt requested, or electronically, provided evidence of receipt is received by',
28221:'the contracting officer. if no prior electronicnotice was issued, or if no confirmation of an electronic notice was received, use',
28222:'the alternate notice that follows this notice. notice of termination to prime contractors [at the top of the notice, set',
28223:'out all special details relating to the particular termination; e.g.,name and address of company, contract number of terminated contract, line',
28224:'items, etc.] 49.6012 federal acquisition regulation a effective date of termination. this confirmsthe government’s electronicnotice to you dated , 20,',
28225:'terminating [insert completely or in part] contract no. referred to as the contract for the government’s convenience under the clause',
28226:'entitled [insert title of appropriate termination clause]. the termination is effectiveon the date and in the manner stated in the',
28227:'electronic notice. b cessation of work and notification to immediate subcontractors. you shall takethe following steps: 1 stop all work,',
28228:'make no further shipments, and place no further orders relating to the contract, except for i the continued portion of',
28229:'the contract, if any; iiworkinprocess or othermaterials that you may wish to retain for yourown account;or iii workinprocessthat thecontracting officer',
28230:'authorizes you to continue a for safety precautions, bto clear or avoid damage to equipment, cto avoid immediate complete spoilage',
28231:'of workinprocess having a definite commercial value, or dto prevent any other undue loss to the government. if you believe',
28232:'this authorization is necessary or advisable, immediately notifythe contracting officerby telephone or personal conference and obtain instructions. 2 keep adequate',
28233:'records of your compliance with paragraph b1 of this section showing the idate you received the notice of termination; iieffective',
28234:'date ofthe termination;and iii extent of completion ofperformance on the effective date. 3 furnishnotice of termination to each immediate subcontractor',
28235:'and supplier that will be affected by this termination. in the notice i specify your government contract number; ii state',
28236:'whether the contract has been terminated completely or partially; iii provide instructions to stop all work, make no further shipments,',
28237:'place no further orders, and terminate all subcontracts under the contract, subject to the exceptions in paragraph b1 of this',
28238:'section; iv provide instructions to submit any settlement proposal promptly; and v request that similar notices and instructions be given',
28239:'to its immediate subcontractors. 4 notify the contracting officer ofallpending legal proceedings that are based on subcontracts or purchase orders',
28240:'under the contract, or in which a lien has been or may be placed against termination inventory to be reported',
28241:'to the government. also, promptly notify the contracting officer of any such proceedings thatare filed afterreceipt of this notice. 5',
28242:'takeanyotheraction required by thecontracting officer or under the termination clausein the contract. c termination inventory.1asinstructedby the contracting officer, transfer title',
28243:'anddeliver to thegovernmentall termination inventory of the following types or classes, including subcontractor termination inventory that you have the right',
28244:'to take: [contracting officer insert proper identification or none]. 2 to settle yourproposal, it will be necessary to establish that',
28245:'all prime and subcontractor termination inventory has beenproperlyaccountedfor. fordetailedinformation,see part 45. d settlements with subcontractors. you remain liable toyour subcontractorsandsuppliers',
28246:'for proposals arisingbecause of the termination oftheir subcontracts or orders. you are requested to settle these settlement proposals as promptly',
28247:'as possible. for purposes of reimbursement by the government, settlements will be governed by the provisions of part 49. e',
28248:'completed end items.1 notify the contracting officer of the number of items completedunder thecontract and still on hand and arrange',
28249:'for their delivery or other disposal see 49.205. 2 invoice acceptable completed end items under the contract in the usual',
28250:'way and do not include them in the settlement proposal. f patents. if required by the contract, promptlyforward thefollowing to',
28251:'the contracting officer: 1 disclosure of all inventions, discoveries, and patent applications made in the performance of the contract. 2',
28252:'instruments of license or assignment on all inventions, discoveries, and patent applications made in the performance of the contract. g',
28253:'employees affected.1if this termination, together with other outstanding terminations, will necessitate a significant reduction in yourworkforce, you areurgedto i promptly',
28254:'inform the local state employment service of your reductioninforce schedule in numbers and occupations, so that the service can take',
28255:'timely action in assisting displaced workers; iigive affectedemployees maximum practical advance noticeof the employment reductionand inform them of thefacilities and',
28256:'services available to them through the local state employment service offices; iii advise affected employeesto file applications withthe state employment',
28257:'serviceto qualify for unemployment insurance, if necessary; iv inform officials oflocal unions havingagreements with you of the impending reductioninforce; and',
28258:'subpart 49.6 contract termination forms and formats 49.6024 v inform the local chamber ofcommerceandotherappropriate organizations whichare prepared to offer practical',
28259:'assistance in finding employment for displaced workers of the impending reductioninforce. 2 if practicable, urge subcontractors to take similar actions',
28260:'to those described in paragraph1of this section. h administrative. the contract administrationoffice named in the contract will identify the contracting',
28261:'officer who will bein charge ofthe settlement of this terminationand who will, uponrequest, provide the necessary settlementforms. matters not covered',
28262:'by this notice should be brought to the attention of the undersigned. iplease acknowledge receipt of thisnotice as provided below.',
28263:'contracting officer name ofoffice address acknowledgment of notice the undersigned acknowledges receipt of a signed copy of this notice on',
28264:', 20. two signed copies of this notice are returned. name of contractor by name title end of notice alternate',
28265:'notice. substitute the following paragraph a for paragraph a of 49.6012, notice of terminationto prime contractors, if no prior electronic',
28266:'notice was issued, or if no confirmation of an electronic notice was received: a effective date of termination. you are',
28267:'notified that contract no. referred to as the contract is terminated [insert completely or in part] for the government’s convenience',
28268:'under the clauseentitled [insert title of appropriate termination clause]. the termination is effective [insert either immediately upon receipt of this',
28269:'notice or on , 20, or as soon as you have delivered, including prior deliveries, the following items: list]. reduce',
28270:'items to be delivered as follows: [insert instructions]. 49.602forms for settlement of terminated contracts. the standard forms listed below shall',
28271:'be used for settling terminated prime contracts. the forms at 49.6021 and 49.6012 may also be used for settling terminated',
28272:'subcontracts. a listing of the standard forms is located in subpart 53.3. 49.6021termination settlementproposal forms. a standard form 1435, settlement',
28273:'proposal inventory basis, shall be used to submit settlement proposals resulting from the termination of fixedprice contracts if the proposals',
28274:'are computed on an inventory basis see 49.2062a. b standard form 1436,settlement proposaltotal costbasis, shall be used to submit settlement',
28275:'proposals resulting from the termination of fixedprice contracts if the proposals are computed on a total cost basis see 49.2062b.',
28276:'c standard form 1437, settlementproposal for costreimbursement type contracts, shall be used to submit settlement proposals resulting from the termination',
28277:'of costreimbursement contracts see 49.302. d standard form 1438, settlement proposal short form, shall be used to submit settlement proposals',
28278:'resulting from the termination of fixedprice contracts if the total proposal is less than $10,000 see 49.2061d. 49.6022 inventory forms.',
28279:'standard form sf 1428, inventory disposal schedule, and sf 1429, inventory disposal schedulecontinuation sheet, shall be used to support settlement',
28280:'proposals submitted on the forms specified in 49.6021b and d. 49.6023 schedule of accounting information. standard form 1439, schedule of',
28281:'accounting information, shall be filed in support of a settlement proposal unless the proposal is filed on standard form 1438,',
28282:'settlement proposal short form see 49.2061e. 49.6024 partial payments. standard form 1440, application for partial payment, shall be used to',
28283:'apply for partial payments see 49.1121. 49.6025 federal acquisition regulation 49.6025settlementagreement. standard form30 sf 30, amendment of solicitation/modification of contract,',
28284:'shall be used to execute a settlement agreement see 49.1091. 49.603 formatsfor terminationfor conveniencesettlementagreements. the formats to be used for',
28285:'termination for convenience settlement agreements should be substantially as shown in this section see 49.109. terminationcontracting officers tco’s may,however,modify thecontents',
28286:'of these agreements to conform with special termination clauses prescribed or authorized by their agencies e.g., see 49.501 and 49.505c.',
28287:'49.6031 fixed price contractscomplete termination. [insert the following in block 14 of sf 30 for settlements of fixedprice contracts completely',
28288:'terminated.] a this supplemental agreement settles thesettlement proposal resulting from the notice of termination dated . b the parties agree',
28289:'to the following: 1 the contractor certifies that all contract termination inventory including scrap has been retained or acquired by',
28290:'thecontractor, sold tothird parties, returned to suppliers, delivered to or stored for thegovernment, or otherwise properly accounted for, and thatall',
28291:'proceeds and retention creditshavebeenused in arriving at this agreement. 2 the contractor certifies thateach immediate subcontractor, whose settlement proposal is',
28292:'included in the proposal settled by this agreement, has furnished the contractor a certificate stating ithat all subcontract termination inventory',
28293:'including scrap has been retained or acquiredby the subcontractor, sold to third parties, returned to suppliers, deliveredto or stored for',
28294:'the government, or otherwise properly accounted for, and that all proceeds and retention credits were used in arriving at the',
28295:'settlement of the subcontract, and ii that the subcontractor has received a similar certificate from each immediate subcontractor whose proposal',
28296:'was included in its proposal. 3 the contractorcertifies that all items of termination inventory, the costs of whichwere used in',
28297:'arriving atthe amount of this settlement or the settlement of any subcontract settlement proposal included in this settlement, i are',
28298:'properly allocable to the terminated portion of the contract, iido not exceed the reasonable quantitative requirements of the terminated portion',
28299:'of the contract, and iiido not include any items reasonably usable without loss to the contractor on its other work.',
28300:'the contractor further certifies that the contracting officer hasbeeninformed of any substantial change in the status of the items between',
28301:'the dates of the termination inventory schedules and the date of this agreement. 4 the contractor transfers,conveys, and assignsto the',
28302:'government all the right, title, and interest, if any, that the contractor has received, or is entitled to receive, in',
28303:'and to subcontract termination inventory not otherwise properly accounted for. 5 the contractor shall, within 10 days after receipt of',
28304:'the payment specified in this agreement, pay to each of its immediate subcontractors or their respective assignees the amounts to',
28305:'which they are entitled, after deducting any prior payments and, if the contractor so elects, any amounts due and payable',
28306:'to the contractor by those subcontractors. 6i the contractor has received $ for work and services performed, or items delivered,',
28307:'under the completedportion of the contract. the government confirmsthe right of the contractor, subject to paragraph 7 of this section,',
28308:'to retain this sum and agrees that it constitutes a portion of the total amount to which the contractor is',
28309:'entitled in complete and final settlement of the contract. iifurther, thegovernment agrees to pay to the contractor or its assignee,',
28310:'uponpresentation of a proper invoice or voucher, the sum of $ [insert net amount of settlement], arrived at by deducting',
28311:'from the sum of $ [for proposals on an inventory basis insert gross amount of settlement; for proposals on a',
28312:'total cost basis, insert gross amount of settlement less amount shown in subdivision6i of this subsection] a the amount of',
28313:'$ for all unliquidated partial or progress payments previously made to the contractor or its assignee and all unliquidated advance',
28314:'payments with any interest, b the amount of $ for all applicable property disposal credits [insert if appropriate, and c',
28315:'the amount of $ for all other amounts due the government under this contract, except as provided in paragraph 7',
28316:'of this section.] iii the net settlement of $ in subdivisioniiof this section, together with sums previously paid, constitutes payment',
28317:'in full and complete settlement of the amount due the contractor for the complete termination of the contract and all',
28318:'other demands and liabilities of the contractor and the government under the contract, except as provided in paragraph b7 of',
28319:'this section. subpart 49.6 contract termination forms and formats 49.6032 7 regardless of any other provision of this agreement, the',
28320:'following rights and liabilities of the parties under the contract are reserved: [the following list of reserved or excepted rights',
28321:'and liabilities is intended to cover those that should most frequently be reserved and that should be scrutinized at the',
28322:'time a settlement agreement is negotiated see 49.1092. the suggested language of the excepted items on the list may be',
28323:'varied at the discretion of the contracting officer. if accuracy or completeness can be achieved by referencing the number of',
28324:'a contract clause or provision covering the matter in question, then follow that method of enumerating reserved rights and liabilities.',
28325:'omit any of the following that are not applicable and add any additional exceptions or reservations required.] iall rights and',
28326:'liabilities, if any, of the parties, as to matters covered by any renegotiation authority. iiall rights ofthe government to take',
28327:'thebenefitof agreementsor judgmentsaffecting royalties paid orpayable in connection with the performance of the contract. iii all rights and liabilities,if any,',
28328:'of theparties under those clausesinserted in the contract because of the requirements of acts of congress and executive orders, including,',
28329:'without limitation, any applicable clauses relating to: labor law,contingent fees, domestic articles,and employment of aliens. [if the contract contains clauses',
28330:'of this character inserted for reasons other than requirements of acts of congress or executive orders, the suggested language should',
28331:'be appropriately modified.] iv all rights and liabilities of the parties arising under the contract and relating to reproduction rights,',
28332:'patent infringements, inventions, or applications for patents, including rights to assignments, invention reports, licenses, covenants of indemnity against patent risks,',
28333:'and bonds for patent indemnity obligations, together with all rights and liabilities under the bonds. v all rights and liabilities',
28334:'of the parties, arising under the contract or otherwise, and concerning defects, guarantees, or warranties relating to any articles or',
28335:'component parts furnished to the government by the contractor under the contract or this agreement. vi all rights and liabilities',
28336:'of the parties under the contract relating to any contract termination inventory stored for the government. vii all rights and',
28337:'liabilities of the parties under agreements relating to the future care and disposition by the contractor of governmentowned property remaining',
28338:'in thecontractor’s custody. viii all rights and liabilities of the parties relating to government property furnished to the contractor for',
28339:'the performance of this contract. ix all rights and liabilities of the parties under the contract relating to options except',
28340:'options to continue or increasethe work underthe contract,covenants notto compete, and covenantsof indemnity. x all rights and liabilities, if any,',
28341:'ofthe parties under those clauses of the contractrelatingto price reductions for defective certified cost or pricing data. end of agreement',
28342:'49.6032 fixedprice contractspartial termination. [insert the following in block14 of sf 30 for settlements of fixedprice contracts partially terminated.] a',
28343:'this supplemental agreement settles thesettlement proposal resulting from the notice of termination dated . b the parties agree to the',
28344:'following: 1 the terminated portion of the contract is as follows: [specify the terminated portion clearly as to i line',
28345:'item numbers, ii descriptions, iii quantity terminated, iv unit price of items, v total price of terminated items, and vi',
28346:'any other explanation necessary to avoid uncertainty or misunderstanding]. 2 the contractor certifies that all contract termination inventory including scrap',
28347:'has been retained or acquired by thecontractor, soldto third parties, returned tosuppliers, delivered to or storedforthe government, or otherwise properly',
28348:'accounted for, and thatall proceeds and retention creditshavebeenused in arriving at this agreement. 3 the contractor certifies thateach immediate subcontractor,',
28349:'whose settlement proposal is included in the proposal settled by this agreement, has furnished the contractor a certificate stating 49.6032',
28350:'federal acquisition regulation ithat all subcontract termination inventory including scrap has been retained or acquiredby the subcontractor, sold to third',
28351:'parties, returned to suppliers, deliveredto or stored for the government, or otherwise properly accounted for, and that all proceeds and',
28352:'retention credits were used in arriving at the settlement of the subcontract, and ii that the subcontractor has received a',
28353:'similar certificate from each immediate subcontractor whose proposal was included in its proposal. 4 the contractor certifies thatall itemsof termination',
28354:'inventory, the costsof which were used in arriving at the amount of this settlement or the settlement of any subcontract',
28355:'settlement proposal included in this settlement, i are properly allocable to the terminated portion of the contract, iido not exceed',
28356:'the reasonable quantitative requirements of the terminated portion of the contract, and iiido not include any items reasonably usable without',
28357:'loss to the contractor on its other work. the contractor further certifies that the contracting officer hasbeeninformed of any substantial',
28358:'change in the status of the items between the dates of the termination inventory schedules and the date of this',
28359:'agreement. 5 the contractor transfers,conveys, and assignsto the government all the right, title, and interest, if any, that the contractor',
28360:'has received, or is entitled to receive, in and to subcontract termination inventory not otherwise properly accounted for. 6 the',
28361:'contractor shall, within 10 days after receipt of the payment specified in this agreement, pay to each of its immediate',
28362:'subcontractors or their respective assignees the amounts to which they are entitled, after deducting any prior payments and, if the',
28363:'contractor so elects, any amounts due and payable to the contractor by those subcontractors. 7i the government agrees to pay',
28364:'to the contractor or its assignee, upon presentationof aproper invoiceor voucher, the sum of $ [insert net amount of settlement],',
28365:'arrived at by deducting from $ [insert gross amount of settlement], a the amount of $ for all unliquidated partial',
28366:'or progress payments previously made to the contractor or its assignee and all unliquidated advance payments with any interest applicable',
28367:'to the terminated portion of the contract and b the amount of $ for all applicable property disposal credits. ii',
28368:'the net settlement of $ in subdivision b7i of this section, together with sums previously paid, constitutes payment in full',
28369:'and complete settlement of the amount due the contractor for the terminated portion of the contract, except as provided in',
28370:'paragraph b8 of this section. iii upon payment of the net settlement of $, all obligations of the contractor to',
28371:'perform further work or services or to make further deliveries under the terminated portion of the contract and all obligations',
28372:'of the government to take further payments or carry out other undertakings concerning the terminated portion of the contract shall',
28373:'cease; provided, that nothing in this agreement shall impair or affect any covenants,terms, or conditions of the contract relating to',
28374:'the completed or continued portion of this contract. 8 regardless of any other provision of this agreement, the following rights',
28375:'and liabilities of the parties under the contract are reserved: [the following list of reserved or excepted rights and liabilities',
28376:'is intended to cover those that should most frequently be reserved and that should be scrutinized at the time a',
28377:'settlement agreement is negotiated see 49.1092. the suggested language of the excepted items in the list may be varied at',
28378:'the discretion of the contracting officer. if accuracy or completeness can be achieved by referencing the number of a contract',
28379:'clause or provision covering the matter in question, then follow that method of enumerating reserved rights and liabilities. omit any',
28380:'of the following that are not applicable and add any additional exceptions or reservations required.] iall rights and liabilities, if',
28381:'any, of the parties, as to matters covered by any renegotiation authority. iiall rights ofthe government to take thebenefitof agreementsor',
28382:'judgmentsaffecting royalties paid orpayable in connection with the performance of the contract. iii all rights and liabilities,if any, of theparties',
28383:'under those clausesinserted in the contract because of the requirements of acts of congress and executive orders, including, without limitation,',
28384:'any applicable clauses relating to: labor law,contingent fees, domestic articles,and employment of aliens. [if the contract contains clauses of this',
28385:'character inserted for reasons other than requirements of acts of congress or executive orders, the suggested language should be appropriately',
28386:'modified.] iv all rights and liabilities of the parties arising under the contract and relating to reproduction rights, patent infringements,',
28387:'inventions, or applications for patents, including rights to assignments, invention reports, licenses, covenants of indemnity against patent risks, and bonds',
28388:'for patent indemnity obligations, together with all rights and liabilities under the bonds. v all rights and liabilities of the',
28389:'parties, arising under the contract or otherwise, and concerning defects, guarantees, or warranties relating to any articles or component parts',
28390:'furnished to the government by the contractor under the contract or this agreement. subpart 49.6 contract termination forms and formats',
28391:'49.6033 vi all rights and liabilities of the parties under the contract relating to any contract termination inventory stored for',
28392:'the government. vii all rights and liabilities, if any, of the parties under those clauses of the contract relating to',
28393:'price reductions for defective certified cost or pricing data. end of agreement 49.6033cost reimbursement contractscomplete termination, ifsettlementincludes cost. [insert the',
28394:'following in block 14 of sf 30 for settlement of costreimbursement contracts that are completely terminated, if settlement includes costs.]',
28395:'a this supplemental agreement settles thesettlement proposal resulting from the notice of termination dated . b the parties agree to',
28396:'the following: 1 the contractor certifies that all contract termination inventory including scrap has been retained or acquired by thecontractor,',
28397:'soldto third parties, returned tosuppliers, delivered to or storedforthe government, or otherwise properly accounted for, and thatall proceeds and retention',
28398:'creditshavebeenused in arriving at this agreement. 2 the contractor certifies thateach immediate subcontractor, whose settlement proposal is included in the',
28399:'proposal settled by this agreement, has furnished the contractor a certificate stating ithat all subcontract termination inventory including scrap has',
28400:'been retained or acquiredby the subcontractor, sold to third parties, returned to suppliers, deliveredto or stored for the government, or',
28401:'otherwise properly accounted for, and that all proceeds and retention credits were used in arriving at the settlement of the',
28402:'subcontract; and ii that the subcontractor has received a similar certificate from each immediate subcontractor whose proposal was included in',
28403:'its proposal. 3 the contractor certifies thatall itemsof termination inventory, the costsof which were used in arriving at the amount',
28404:'of this settlement or he settlement of any subcontract settlement proposal included in this settlement, i are properly allocable to',
28405:'the terminated portion of the contract, ii do not exceed the reasonable quantitative requirements of the terminated portion of the',
28406:'contract, and iii do not include any items reasonably usable without loss to the contractor on its other work. the',
28407:'contractor further certifies that the contracting officer hasbeeninformed of any substantial change in the status of the items between the',
28408:'dates of the termination inventory schedules and the date of this agreement. 4 the contractor transfers,conveys, and assignsto the government',
28409:'all the right, title and interest, ifany, that the contractor has received, or is entitled to receive, in and to',
28410:'subcontract termination inventory not otherwise properly accounted for. 5 the contractor shall, within 10 days after receipt of the payment',
28411:'specified in this agreement, pay to each of its immediate subcontractors or their respective assignees the amounts to which they',
28412:'are entitled, after deducting any prior payments and, if the contractor so elects, any amounts due and payable to the',
28413:'contractor by those subcontractors. 6i the contractor has received $ for work and services performed, or articles delivered, under the',
28414:'contract beforethe effective date of termination. the government confirmsthe right of the contractor, subject to paragraph b7 of this section,',
28415:'to retain this sum and agrees that it constitutes a portion of the total amount to which the contractor is',
28416:'entitled in complete and final settlement of the contract. iifurther, thegovernment agrees to pay to the contractor or its assignee,',
28417:'uponpresentation of a proper invoice or voucher, the sum of $ [insert net amount of settlement], arrived at by deducting',
28418:'from the sum of $ [insert gross amount of settlement less amount shown in subdivision6i a of this section] a',
28419:'the amount of $ for all unliquidated partial or progress payments previously made to the contractor or its assignee and',
28420:'all unliquidated advance payments with any interest, b the amount of $ for all applicable property disposal credits [insert if',
28421:'appropriate, and c the amount of $ for all other amounts due the government under this contract, except as provided',
28422:'in paragraph b7 of this section.] iii the net settlement of $ in subdivision b6ii of this section, together with',
28423:'sums previously paid, constitutes payment in full and complete settlement of the amount due the contractor for the complete termination',
28424:'of the contract and of all other demands and liabilities of the contractor and the government under the contract, except',
28425:'as provided in paragraph b7 in this section. 7 regardless of any other provision of this agreement, the following rights',
28426:'and liabilities of the parties under the contract are reserved: [the following list of reserved or excepted rights and liabilities',
28427:'is intended to cover those that should most frequently be reserved and that should be scrutinized at the time a',
28428:'settlement agreement is negotiated see 49.1092. the suggested language of the excepted items on the list may be varied at',
28429:'the discretion of the contracting officer. if accuracy or completeness can be achieved by referencing the number of a contract',
28430:'clause or provision covering the matter in question, 49.6034 federal acquisition regulation then follow that method of enumerating reserved rights',
28431:'and liabilities. omit any of the following that are not applicable and add any additional exceptions or reservations required.] iall',
28432:'rights and liabilities, if any, of the parties, as to matters covered by any renegotiation authority. iiall rights ofthe government',
28433:'to take thebenefitof agreementsor judgmentsaffecting royalties paid orpayable in connection with the performance of the contract. iii all rights and',
28434:'liabilities,if any, of theparties under those clausesinserted in the contract because of the requirements of acts of congress and executive',
28435:'orders, including, without limitation, any applicable clauses relating to: labor law,contingent fees, domestic articles,and employment of aliens. [if the contract',
28436:'contains clauses of this character inserted for reasons other than requirements of acts of congress or executive orders, the suggested',
28437:'language should be appropriately modified.] iv all rights and liabilities of the parties arising under the contract and relating to',
28438:'reproduction rights, patent infringements, inventions, or applications for patents, including rights to assignments, invention reports, licenses, covenants of indemnity against',
28439:'patent risks, and bonds for patent indemnity obligations, together with all rights and liabilities under the bonds. v all rights',
28440:'and liabilities of the parties, arising under the contract or otherwise, and concerning defects, guarantees, or warranties relating to any',
28441:'articles or component parts furnished to the government by the contractor under the contract or this agreement. vi all rights',
28442:'and liabilities of the parties under the contract relating to any contract termination inventory stored for the government. vii all',
28443:'rights and liabilities of the parties under agreements relating to the future care and disposition by the contractor of governmentowned',
28444:'property remaining in thecontractor’s custody. viii all rights and liabilities of the parties relating to government property furnished to the',
28445:'contractor for the performance of this contract. ix all rights and liabilities of the parties under the contract relating to',
28446:'options except options to continue or increasethe work underthe contract,covenants notto compete, and covenantsof indemnity. x unresolved demands or assertions',
28447:'by the contractor against the government for costs under government accountabilityofficeexceptions orothercosts of thesame nature that are excludedfrom the settlementwithout',
28448:'prejudice to therights of eitherparty, as follows: [insert amount and describe charges not waived.] xi claims by the contractor against',
28449:'the government, whenthe contractor’srights of reimbursement are disputed, that are excluded without prejudice to the rights of either party are',
28450:'as follows: [insert the amounts and describe the claims on which the contracting officer has made findings and has disallowed',
28451:'and on which the contractor has taken, or intends to take, timely appeal.] xii unresolved demands or assertions by the',
28452:'contractor against the government that are unknown in amount and involve costs alleged to be reimbursable under the contract are',
28453:'as follows: [insert the estimated amounts and describe the charges.] xiii unknown amounts alleged by the contractor against the government,',
28454:'based upon responsibility of the contractor to third parties that involve costs reimbursable under the contract. xiv debts due the',
28455:'government by the contractor that are based on refunds, rebates, credits, or other amounts not now known to the government,',
28456:'with interest, now due or that may become due the contractor from third parties, if the amounts arise out of',
28457:'transactions for which reimbursement has been made to the contractor under the contract. the contractor shall pay to the government,',
28458:'within 30 days after receipt, any of these amounts that become due from any third party or any other source.',
28459:'interest atthe rateestablished by the secretary of the treasuryunder 50 u.s.c. app. 1215b2 shall accrue and shall be paid to',
28460:'the government on any amounts that remain unpaid after the 30day period. xv all rights andliabilities, if any, of the',
28461:'parties under those clausesof the contract relating to price reductionsfor defective certified cost or pricing data. end of agreement 49.6034costreimbursement',
28462:'contractscomplete termination, with settlement limitedto fee. [insert the following in block 14 of sf 30 for settlement of costreimbursement contracts',
28463:'that are completely terminated, if settlement is limited to fee.] a this supplemental agreement settles the amount of fee due',
28464:'under the contract, terminated in its entirety by notice of terminationdated . b the parties agree to the following: subpart',
28465:'49.6 contract termination forms and formats 49.6035 1 the contractor has received $ on account of its fee underthe contract',
28466:'before the effective date of termination. 2 the government agrees to payto thecontractor or its assignee, upon presentation of a',
28467:'proper invoice or voucher, $ [insert net amount to be paid on account of fee]. this sum, with sums previously',
28468:'paid, constitutes payment in full and complete settlement of the amount due the contractor on account of its fee under',
28469:'the contract. 3 the contractor’s allowable costsunder thecontract willbe paid under the terms and conditions of thecontract and parts 31',
28470:'and 49 of the federal acquisition regulation. [insert paragraph a3 of this subsection only if there are costs to be',
28471:'vouchered out see 49.302 or if there are costs to be covered later by a separate settlement agreement.] 4 regardless',
28472:'of any other provision of this agreement, the following rights and liabilities of the parties under the contract are reserved:',
28473:'[the following list of reserved or excepted rights and liabilities is intended to cover those that should most frequently be',
28474:'reserved and that should be scrutinized at the time a settlement agreement is negotiated see 49.1092. the suggested language of',
28475:'the excepted items on the list may be varied at the discretion of the contracting officer. if accuracy or completeness',
28476:'can be achieved by referencing the number of a contract clause or provision covering the matter in question, then follow',
28477:'that method of enumerating reserved rights and liabilities. omit any of the following that are not applicable and add any',
28478:'additional exceptions or reservations required.] iall rights and liabilities, if any, of the parties, as to matters covered by any',
28479:'renegotiation authority. iiall rights and liabilities,if any, of theparties under those clauses inserted in the contract because of the requirements',
28480:'of acts of congress and executive orders, including, without limitation, any applicable clauses relating to: labor law,contingent fees, domestic articles,and',
28481:'employment of aliens. [if the contract contains clauses of this character inserted for reasons other than requirements of acts of',
28482:'congress or executive orders, the suggested language should be appropriately modified.] iii all rights and liabilities of the parties arising',
28483:'under the contract and relating to reproduction rights, patent infringements, inventions, or applications for patents, including rights to assignments, invention',
28484:'reports, licenses, covenants of indemnity against patent risks, and bonds for patent indemnity obligations, together with all rights and liabilities',
28485:'under the bonds. iv all rights and liabilities of the parties, arising under the contract or otherwise, and concerning defects,',
28486:'guarantees, or warranties relating to any articles or component parts furnished to the government by the contractor under the contract',
28487:'or this agreement. v all rights and liabilities of the parties under agreements relating to the future care and disposition',
28488:'by the contractor of governmentowned property remaining in thecontractor’s custody. vi all rights and liabilities ofthe parties relating to government',
28489:'property furnished to, or acquired by,the contractor for the performance of the contract. vii all rights and liabilities of the',
28490:'parties under the contract relating to options except options to continue or increasethe work underthe contract,covenants notto compete, and covenantsof',
28491:'indemnity. viii allrights and liabilities, if any,of the parties under those clauses of the contract relating to pricereductions for defective',
28492:'certified cost or pricing data. end of agreement 49.6035costreimbursement contractspartial termination. [insert the following in block 14 of sf 30,',
28493:'amendment of solicitation/modification of contract, for settlement agreements for costreimbursement contracts as a result of partial termination.] a this supplemental',
28494:'agreement settles thetermination settlement proposal resultingfrom the noticeof termination dated . b the parties agree as follows: 1 the contract',
28495:'is amended by deleting the terminated portion as follows: [specify the terminated portion clearly as to i line item numbers,',
28496:'ii descriptions, iii quantity terminated, iv unit and total price of terminated items, and v any other explanation necessary to',
28497:'avoid uncertainty or misunderstanding]. 2 the fee stated in the contract is decreased by $, from $ to $ [insert,',
28498:'if appropriate,3 the estimated cost of the contract is decreased by $, from $ to $]. 49.6036 federal acquisition regulation',
28499:'c thecontractor’s allowable costs and earnedfee, if any, for theterminated portionof the contract will continue tobe reimbursed on sf 1034,public',
28500:'voucher for purchase andservices other than personal, underthe applicable provisions of the contract and part 31 of the federal acquisition',
28501:'regulation. end of agreement 49.6036nocost settlement agreementcomplete termination. [insert the following in block 14 of sf 30 if a nocost',
28502:'settlement agreement, under a complete termination, is to be executed.] a this supplemental agreement [insert modifies the contract to reflect',
28503:'a nocost settlement agreement with respect to the notice of terminationdated or, if not previously terminated, terminates the contract in',
28504:'its entirety]. b the parties agree as follows: the contractor unconditionallywaivesany charges against the government because of the termination of',
28505:'the contractand, except as setforth below, releases it from all obligations under the contractor due toits termination. thegovernmentagrees that all',
28506:'obligations under the contract are concluded, except as follows: [list reserved or excepted rights and liabilities. see 49.1092 and 49.6031b7.]',
28507:'end of agreement 49.6037nocost settlement agreementpartial termination. [insert the following in block 14 of sf 30 if a nocost settlement',
28508:'agreement, under partial termination, is to executed.] a this supplemental agreement modifies the contract to reflect a nocost settlement agreement',
28509:'with respect to the notice of termination dated . b the parties agree as follows: 1 the terminated portion of',
28510:'the contract is as follows: [specify i line item numbers, ii descriptions, iii quantity terminated, iv unit and total price',
28511:'of terminated items, and v any other explanation necessary to avoid uncertainty or misunderstanding.] 2 the contractor unconditionallywaivesany charges against',
28512:'the government arising under the terminatedportion of the contract or by reason of its termination, including, without limitation, all obligations',
28513:'of the government to make further payments or to carry out any further undertakings under the terminated portion of the',
28514:'contract. the government acknowledges that the contractor has no obligation to perform further work or services or to make further',
28515:'deliveries under theterminated portion of the contract. nothing inthisparagraph affects anyother covenants, terms,or conditionsof the contract. under the terminated portion',
28516:'of the contract, the following rights and liabilities of the parties are reserved: [list reserved or excepted rights and liabilities.',
28517:'see 49.1092 and 49.6031b7.] end of agreement 49.6038fixedprice contractssettlements with subcontractors only. [insert the following in block 14 of sf',
28518:'30 for settlements of fixedprice contracts covering only settlements with subcontractors.] a this agreement settles that portion of the settlement',
28519:'proposal of the contractor that is based upon termination of the following subcontracts entered into in performing this contract: [insert',
28520:'a list of the terminated subcontracts included in this settlement.] b the parties agree to the following: 1 the contractor',
28521:'certifies thateach immediate subcontractor, whose settlement proposal is included in the proposal settled by the agreement, has furnished the contractor',
28522:'a certificate stating ithat all subcontract termination inventory including scrap has been retained or acquiredby the subcontractor, sold to third',
28523:'parties, returned to suppliers, deliveredto or stored for the government, or otherwise properly accounted for, and that all proceeds and',
28524:'retention credits were used in arriving at the settlement of the subcontract, and ii that the subcontractor has received a',
28525:'similar certificate from each immediate subcontractor whose proposal was included in its proposal. 2 the contractor certifies thatall itemsof termination',
28526:'inventory, the costsof which were used in arriving at the amount of this settlement or the settlement of any subcontract',
28527:'settlement proposal included in this settlement, subpart 49.6 contract termination forms and formats 49.604 i are properly allocable to the',
28528:'terminated portion of the contract, ii do not exceed the reasonable quantitative requirements of the terminated portion of the contract,',
28529:'and iii do not include any items reasonably usable without loss to the contractor on its other work. the contractor',
28530:'furthercertifies that the contracting officer has been informed of any substantial changein thestatus of the items between the dates of',
28531:'the termination inventory schedules and the date of this agreement. 3 the contractor transfers,conveys, and assignsto the government all the',
28532:'right, title, and interest, if any, thatthe contractor has received or is entitled to receive, in and to subcontract termination',
28533:'inventory not otherwise properly accounted for. 4 the contractor shall, within 10 days after receipt of the payment specified in',
28534:'this agreement, pay to each of its immediate subcontractors or their respective assignees the amounts to which they are entitled,',
28535:'after deducting any prior payments and, if the contractor so elects, any amounts due and payable to the contractor by',
28536:'those subcontractors. 5 the government agrees to paythe contractor or itsassignee, upon presentation ofa properinvoice or voucher, $ [insert net',
28537:'amount of settlement], which, together with the amount of $ previously paid the contractor as partial, progress, or advance payments,',
28538:'constitutes payment in full and complete settlement, except as provided in paragraph b6 of this section, of the amount due',
28539:'the contractor for that portion of its settlement proposal that is based upon termination of the subcontracts listed above. 6',
28540:'regardless of any other provision of this agreement, the following rights and liabilities of the parties under the contract are',
28541:'reserved: [list reserved or excepted rights and liabilities. see 49.1092 and 49.6031b7.] end of agreement 49.6039settlementof reservations. [insert the following',
28542:'in block14 of sf 30 for settlement of reservations.] a supplemental agreement no. , dated , was executed to reflect',
28543:'the settlement of the termination of this contract. the supplemental agreement excepted from the settlement certain items described in the',
28544:'agreement including the items described in paragraph b of this section. this supplemental agreement settles those items listed in paragraph',
28545:'b of this section. b the parties agree to the following: 1 the government agrees to pay the contractor $',
28546:'for the following reserved or excepted items: [list items.] 2 the contractor releases and forever discharges the government from all',
28547:'liability and from all existing andfuture claims and demands that it may have under this contract, insofar as it pertains',
28548:'to the contract, for the items described in paragraph 1 of this section. when payment is due the government, reverse',
28549:'the words government and contractor in paragraphs b1 and b2. end of agreement 49.604release of excess funds under terminated contracts.',
28550:'the following format shall be used to recommend the release of excess funds under terminated contracts, except if the contracting',
28551:'office retains responsibilityforsettlement ofthe termination: : terminationcontracting officer [address] to: contracting office [address] subj: terminated contract no with [contractor] refs:',
28552:'a [cite termination notice and effective date.] b [cite prior letters releasing excess funds, if any.] 1 referenced termination notice,',
28553:'[insert completely or partially] terminated contract . 2 based on the best information available, it is estimated that the gross',
28554:'settlement cost will be $ the amount available for release as excess to the contract is $. any payments previously',
28555:'made to the contractor for terminated items have been considered in arriving at the above amounts. [if prior letters recommending',
28556:'release of excess funds are cited, use the following as paragraph 2: federal acquisition regulation the estimated settlement costs previously',
28557:'reported by reference b in the amount of $ are revised. on the best evidence now available, it is estimated',
28558:'that the settlement costs will be $ the additional amount available for release is $.] 3 the related appropriations and',
28559:'amounts involved are: appropriations allocated amounts copies to: paying office accounting and finance office other 49.605 request to settle subcontractor',
28560:'settlement proposals. contractors requesting authority to settle subcontractor settlement proposals shall furnish applicable information from the listbelow and any additional',
28561:'information required by thecontracting officer: a name of contractor andaddress of principal office. b name and location of divisionsof the',
28562:'applicant’s plant for which authorization isrequested. c an explanation of the necessity and justification for the authorization requested. d a',
28563:'fulldescription ofthe applicant’s organization for handling terminations, including the names of the officials in charge ofprocessingandsettling proposals. e the number',
28564:'and dollar amount estimated if necessary of uncompleted contracts with government agencies and the percentage applicable to each agency. f',
28565:'the number and dollar amount estimated if necessary of uncompleted subcontracts under government contracts and thepercentage applicableto each agency. g',
28566:'the extentof the applicant’s experience intermination matters,including the handling of proposals of subcontractors. h the approximate amount and general nature',
28567:'of terminations of the applicant currently in process. iastatement that no other application has been made for any divisionof the',
28568:'applicant’s plant covered bythe application or, ifonehas been made, a fullstatement of the facts. j the limit of authorization requested.',
28569:'49.606granting subcontract settlement authorization. contracting officersshalluse the followingformat whengranting subcontract settlement authorization: letter of authorization a your request of date',
28570:'is approved, and you are authorized, subject to the limitations of subsection 49.1084 and those statedbelow, to settle, without further',
28571:'approval of the government, allsubcontractsand purchase orders terminated by you as a result of a government contract being terminated or',
28572:'modified 1 for the convenience of the government or 2 under any other circumstances that may require the government to',
28573:'bear the cost of their settlement. b this authorization does not extend to the disposition of governmentfurnished material or articles',
28574:'completed but undelivered under the subcontractor purchaseorder,as theserequire screening and approval ofdisposal actions by the government, except that allocable completed',
28575:'articles may be disposed of without government approval or screening if the total amount at subcontract price when added to',
28576:'the amount of settlement as computed below does not exceed $ [insert limit of authorization being granted]. c this authorization',
28577:'is subject to the following conditions and requirements: 1 the amount of the subcontract termination settlement does not exceed $',
28578:'[insert limit of authorization being granted], computed as follows: i do not deduct advance or partial payments or credits for',
28579:'retention or other disposal of termination inventory allocated to the settlement proposal. ii deduct amounts payable for completed articles or',
28580:'work at the contract price or for the settlement of termination proposals of subcontractors except those settlements that have not',
28581:'been approved by the government. 2 any termination inventory involved has been disposed of under subsection 49.1084, except that screening',
28582:'and government approval of scrap and salvage determinations are not required. subpart 49.6 contract termination forms and formats 49.607 3',
28583:'the contracting officer may incorporate into eachnotice of termination specificinstructions about the disposition of specific items of termination inventory, orthe',
28584:'contracting officermay, at any time before finalsettlement, issuespecific instructions. these instructions will not affect any disposal action taken byyou or',
28585:'your subcontractors before theirreceipt. 4 the settlements made by you with your subcontractors and suppliers under this authorization, including sales,',
28586:'retention, or other dispositions of property involved in making these settlements, are reimbursable under part 49 and the terminationclause ofthe',
28587:'contract, and do not require approval of the contractingofficer. 5 any number of separate settlements of $ [insert limit of',
28588:'authorization granted] or less may be made with a single subcontractor. settlement proposals that would normally be included in a',
28589:'single proposal; e.g., those based on a series of separate orders for the same item under one contract, should be',
28590:'consolidated whenever possible and shall not be divided to bring them within the authorization. 6 this authorization does not applyif',
28591:'a subcontractor or supplier isaffiliated with you. for this purpose, youshould consider a contractor tobe affiliatedwith you if you are',
28592:'under common controlor ifthere is any common interest between you by reason ofstock ownership, or otherwise, that is sufficient tocreate',
28593:'areasonable doubt thatthe bargaining betweenyou is completely at arm’s length. 7 a representative of this office will,from time totime, review',
28594:'the methods used in negotiating settlements with your subcontractors and will make a selective examination of the settlements made by',
28595:'you. if the review indicates that you are not adequately protecting the government’s interest,thisdelegation will be revoked. end of letter',
28596:'49.607delinquency notices. the formats of the delinquency notices in this section may be used to satisfy the requirements of 49.4023.',
28597:'all notices will be sent with proof of delivery requested. see subpart 42.13 for stopwork orders. a cure notice. if',
28598:'a contract is to be terminated for default before the delivery date, a cure notice is required by the default',
28599:'clause. before using this notice, it must be ascertained that an amount of time equal to or greater than the',
28600:'period of cure remains in the contract delivery schedule or any extension to it. if the time remaining in the',
28601:'contract delivery schedule is not sufficient to permit a realistic cure periodof 10 days or more, the curenotice should notbe',
28602:'issued. the cure notice may be in the following format: cure notice you arenotified that the government considers your [specify',
28603:'the contractor’s failure or failures] a condition that is endangering performance of the contract. therefore, unless this condition is cured',
28604:'within 10 days after receipt of this notice [or insert any longer time that the contracting officer may consider reasonably',
28605:'necessary], the government may terminate for default under the terms and conditions of the [insert clause title] clause of this',
28606:'contract. end of notice b show cause notice. if the time remaining in the contractdelivery schedule isnot sufficientto permit a',
28607:'realistic cure period of 10 days or more, the following show cause notice may be used. it should be sent',
28608:'immediately upon expiration of the delivery period. show cause notice since you have failed to [insert perform contract no. within',
28609:'the time required by its terms, or cure the conditions endangering performance under contract no as describedto you inthe government’s',
28610:'letter of date], the government is considering terminating the contract under the provisions for default of this contract. pending a',
28611:'final decision in this matter, it will be necessary to determine whether your failure toperform arose from causes beyond your',
28612:'control and without fault or negligence on your part. accordingly, you are giventhe opportunityto present, in writing, any facts bearing',
28613:'on the question to [insert the name and complete address of the contracting officer], within 10 days after receipt ofthisnotice.',
28614:'your failure to present any excuses withinthis time maybe considered asan admissionthat none exist. your attention is invited to the',
28615:'respective rights of the contractorandthe government and the liabilities that may be invoked if a decision is made to terminate',
28616:'for default. any assistance given to you on this contract or any acceptance by the government of delinquent goods or',
28617:'services will be solely for the purpose of mitigating damages, and it is not the intention of the government to',
28618:'condone any delinquency or to waive any rights the government has under the contract. end of notice this page intentionally',
28619:'left blank. 49.614 part 50 extraordinary contractual actions and the safety act sec. 50.000 scope of part. subpart 50.2 support',
28620:'antiterrorism by fostering effective technologies act of 2002 subpart 50.1 extraordinary 50.200 scope of subpart. contractual actions 50.201 definitions. 50.100',
28621:'definitions. 50.202 authorities. 50.101 general. 50.203 general. 50.1011 authority. 50.204 policy. 50.1012 policy. 50.205 procedures. 50.1013 records. 50.2051 safety act',
28622:'considerations. 50.102 delegation of and limitations on exercise of 50.2052 prequalification designation notice. authority. 50.2053 authorization of offers contingent upon',
28623:'50.1021 delegation of authority. safety act designation or certification 50.1022 contract adjustment boards. before contract award. 50.1023 limitations on exercise',
28624:'of authority. 50.2054 authorization of awards made presuming 50.103 contract adjustments. safety act designation or certification 50.1031 general. after contract',
28625:'award. 50.1032 types of contract adjustment. 50.206 solicitation provisions and contract clause. 50.1033 contract adjustment. 50.1034 facts and evidence. 50.1035',
28626:'processing cases. 50.1036 disposition. 50.1037 contract requirements. 50.104 residual powers. 50.1041 standards for use. 50.1042 general. 50.1043 special procedures for',
28627:'unusually hazardous or nuclear risks. 50.1044 contract clause. this page intentionally left blank. subpart 50.1 extraordinary contractual actions 50.1013 50.000scope',
28628:'of part. this part a 1 prescribes policies and procedures for entering into, amending, or modifying contracts in order to',
28629:'facilitate the national defense underthe extraordinary emergency authority granted by publiclaw 85804 50 u.s.c. 14311434 and executive order 10789, dated',
28630:'november 14, 1958. it does not cover advance payments see subpart 32.4; and 2 implements indemnification authority granted by pub.',
28631:'l. 85804 and paragraph 1 a of e.o. 10789 with respect to any matter that has been, or could be,',
28632:'designated by the secretary of homeland security as a qualified antiterrorism technology as definedin the support antiterrorism by fostering effective',
28633:'technologiesactof 2002 safetyact; and b implements safety act liability protections to promote development and use of antiterrorism technologies. subpart 50.1',
28634:'extraordinary contractual actions 50.100definitions. as used in this part approving authority means an agency officialor contract adjustment board authorized to',
28635:'approve actions under pub. l. 85804 and e.o. 10789. secretarial level means a level at or above the level of',
28636:'a deputy assistant agency head, or a contract adjustment board. 50.101general. 50.1011authority. a pub. l. 85804 empowers the president to',
28637:'authorize agencies exercising functions in connection with the national defense to enter into, amend, and modify contracts, without regard to',
28638:'other provisions of law related to making, performing, amending, or modifying contracts, whenever the president considers that such action would',
28639:'facilitate the national defense. b e.o. 10789 authorizes the heads of the following agencies to exercise the authority conferred by',
28640:'pub. l. 85804 and to delegate it to other officials within the agency: the governmentpublishing office; the department of homeland',
28641:'security; thetennessee valley authority;the nationalaeronauticsand space administration; the general services administration; thedefense, army, navy, air force,treasury, interior, agriculture, commerce, and',
28642:'transportation departments;the department of energy for functions transferred to that department from other authorized agencies; and any other agency that',
28643:'may be authorized by the president. 50.1012policy. a the authority conferred by pub. l. 85804 may not 1 be used',
28644:'in a manner that encouragescarelessness and laxityon the partof persons engaged in the defenseeffort; or 2 be reliedupon when other',
28645:'adequate legal authority exists within the agency. b actions authorized under pub. l. 85804 shall be accomplished as expeditiously as',
28646:'practicable, consistent with the care, restraint,and exercise of sound judgmentappropriateto theuse of such extraordinaryauthority. c certain kinds of relief previously',
28647:'available only under pub. l. 85804; e.g., rescission or reformation for mutual mistake, are now available under the authority of',
28648:'41 u.s.c. chapter 71, contract disputes. in accordance with paragraph a 2 of this subsection, part 33 must be followed',
28649:'in preference to subpart 50.1 for such relief. in case of doubt as to whether part 33applies,thecontractingofficershouldseeklegaladvice. 50.1013 records. agencies',
28650:'shall maintain complete records of all actions taken under this subpart 50.1. for each request for relief processed, these records',
28651:'shall include, as a minimum a thecontractor’srequest; b all relevant memorandums, correspondence, affidavits, and other pertinent documents; c the memorandum',
28652:'of decision see 50.1036 and 50.1042; and d a copy of the contractual document implementing an approved request. federal acquisition',
28653:'regulation 50.102 delegation of andlimitations onexercise of authority. 50.1021delegationof authority. an agency head may delegate in writing authority under pub.',
28654:'l. 85804 and e.o. 10789, subject to the following limitations: a authority delegated shall be to a level high enough',
28655:'to ensure uniformity of action. b authority to approve requests to obligate the government in excess of $75,000 may not',
28656:'be delegated below the secretarial level. c regardless of dollar amount, authority to approve any amendment without consideration that increases',
28657:'the contract price or unit price may not be delegated below the secretarial level, except in extraordinary cases or classes',
28658:'of cases when the agency head finds that special circumstances clearly justify such delegation. d regardless of dollar amount, authority',
28659:'to indemnify against unusually hazardous or nuclear risks, including extension of such indemnification to subcontracts, shall be exercised only by',
28660:'the secretary or administrator of the agency concerned, thepublic printer, or the chairman of the board of directors of thetennessee',
28661:'valley authoritysee 50.1043. 50.1022 contract adjustment boards. an agency head may establish a contract adjustment board with authority to approve,',
28662:'authorize, and direct appropriate action under this subpart 50.1 and to make all appropriate determinations and findings. the decisions of',
28663:'the board shall not besubject to appeal; however, the board may reconsiderand modify,correct, orreverse its previous decisions. theboard shall determine',
28664:'its own procedures and have authority to take all action necessary or appropriate to conduct its functions. 50.1023limitations on exercise',
28665:'of authority. a pub. l. 85804 is not authority for 1 using a costplusapercentageofcost system of contracting; 2 making any',
28666:'contract that violates existing law limiting profit or fees; 3 providing for other than full and open competition for award',
28667:'of contracts for supplies or services; or 4 waiving any bid bond,payment bond, performance bond, orother bond required by law.',
28668:'b no contract, amendment, or modification shall be made under pub. l. 85804’s authority 1 unless the approving authority finds',
28669:'that the action will facilitate the national defense; 2 unless other legal authority within the agency concerned is deemed to',
28670:'be lacking or inadequate; 3 except withinthe limits of the amounts appropriated and the statutorycontract authorization however, indemnification agreements authorized',
28671:'by an agency head 50.1043 are not limited to amounts appropriated or to contract authorization; and 4 that will obligate',
28672:'the government for any amount over $150 million unless the senate and house committees on armed services are notified in',
28673:'writing of the proposed obligation and 60 days of continuous session of congress have passed since the transmittal of such',
28674:'notification. however,this paragraph b4does not apply to indemnificationagreements authorized under 50.1043. c no contract shall be amended or modified unless',
28675:'the contractor submits a request before all obligations including final payment under the contract have been discharged. no amendment or',
28676:'modification shall increase the contract price to an amount higher than the lowest rejected bid of any responsible bidder, ifthe',
28677:'contract was negotiated under 14.4041f. d no informal commitment shall be formalized unless 1 the contractor submits a written request',
28678:'for payment within 6 months after furnishing, or arranging to furnish, supplies or services in reliance upon the commitment; and',
28679:'2 the approving authority finds that, at the time the commitment was made, it was impracticable to use normal contracting',
28680:'procedures. e theexercise of authority by officials below the secretarial level is subject to the following additional limitations: 1 the',
28681:'action shall not i release a contractor from performance of an obligation over $75,000; ii result in an increase in',
28682:'cost to the government over $75,000; iii dealwith, ordirectlyaffect, any matter that has been submitted tothe government accountability office; or',
28683:'iv involve disposal of governmentsurplus property. 2 mistakes shall not be corrected by an action obligating the government for over',
28684:'$1,000, unless the contracting officer receives notice of themistake before final payment. subpart 50.1 extraordinary contractual actions 50.1032 3 the',
28685:'correction of a contract because of a mistake in its making shall not increase the original contract price to an',
28686:'amount higher than the next lowest responsive offer of a responsibleofferor. f no executive department or agency shall exercise the',
28687:'indemnification authority granted under paragraph 1 a of e.o. 10789 with respect to any supply or service that has been,',
28688:'or could be, designated by the secretary of homeland security as a qualified antiterrorism technology unless 1 for the department',
28689:'of defense, the secretary of defense has determined that the exercise of authority under e.o. 10789 is necessaryforthe timely andeffective',
28690:'conduct ofthe united states military orintelligence activities, after consideration of the authority provided under the safety act subtitle g of',
28691:'title viii of the homeland security act of 2002, 6 u.s.c. 44 1444; or 2 for other departments and agencies',
28692:'that have authority under e.o. 10789 i the secretary of homeland security has advised whether the use of the authority',
28693:'under the safety act would be appropriate; and iithe director of the office of management and budget hasapproved the exercise',
28694:'ofauthority under the executive order. 50.103contract adjustments. this section prescribes standards and procedures for processing contractors’ requests for contract adjustment',
28695:'under pub. l. 85804 and e.o. 10789. 50.1031 general. the fact that losses occur under a contract is notsufficient basisforexercisingthe',
28696:'authority conferred by pub. l. 85804. whether appropriate action will facilitate the national defense is a judgment to be made',
28697:'on the basis of all of the facts of the case. although it is impossible to predict or enumerate all',
28698:'the types of cases in which action may be appropriate, examples are included in 50.1032. even if all of the',
28699:'factors in any of the examples are present, other considerations may warrant denying a contractors request for contract adjustment. the',
28700:'examples are not intended to exclude other cases in which the approving authority determines that the circumstances warrant action. 50.1032types',
28701:'of contract adjustment. a amendments without consideration. 1 when an actual or threatened loss under a defense contract, however caused,',
28702:'will impair the productive ability of a contractor whose continued performance on any defense contract or whose continued operation as',
28703:'a source of supply is found to be essential to the national defense, the contract may be amended without consideration,',
28704:'butonly to theextent necessary to avoidsuch impairmentto thecontractor’sproductive ability. 2 when acontractor suffers aloss not merely adecrease in anticipated profits',
28705:'under adefensecontract because of government action, the character of the action will generally determine whether any adjustment in the contract',
28706:'will be made, and its extent. when the government directs its action primarily at the contractor and acts in its',
28707:'capacity as the other contracting party, the contract may be adjusted inthe interest of fairness. thus, when government action, while',
28708:'not creating any liability on the government’s part, increases performancecost andresults in a loss to thecontractor, fairness may make some',
28709:'adjustment appropriate. b correcting mistakes. 1 a contract may be amendedor modified to correct or mitigate the effectof amistake. the',
28710:'following are examples of mistakes that may make such action appropriate: iamistake or ambiguity consisting ofthe failure to express, or',
28711:'express clearly,in a writtencontract, the agreement as both parties understood it. iiacontractor’smistake so obvious that it was or should have',
28712:'been apparent to the contracting officer. iii a mutual mistake as to a material fact. 2 amending contracts to correct',
28713:'mistakes with the least possible delay normally will facilitate the national defense by expediting the contracting program and assuringcontractors that',
28714:'mistakes will becorrected expeditiously andfairly. c formalizing informal commitments. under certain circumstances, informal commitments may be formalized to permit payment',
28715:'to persons who have taken action without a formal contract; for example, when a person, responding to an agency official’s',
28716:'written or oral instructions and relying ingood faith upon the official’sapparent authority to issue them, has furnishedor arranged to furnish',
28717:'supplies or services to the agency, orto a defense contractor orsubcontractor, without formal contractual coverage. formalizing commitments under such circumstances',
28718:'normally will facilitate the national defense by assuringsuch persons that they will be treated fairly and paid expeditiously. 50.1033 federal',
28719:'acquisition regulation 50.1033 contract adjustment. a contractor requests. a contractor seeking a contract adjustment shall submit a request in duplicate',
28720:'to the contracting officer oran authorized representative. the request, normally a letter, shall state asa minimum 1 the precise adjustment',
28721:'requested; 2 the essential facts, summarized chronologically in narrative form; 3 the contractor’s conclusions based on these facts, showing, in',
28722:'terms of theconsiderations setforth in 50.1031 and 50.1032, when the contractor considers itself entitled to the adjustment; and 4 whether',
28723:'or not iall obligationsunder thecontracts involved have been discharged; ii final payment under the contracts involved has been made; iii',
28724:'any proceeds fromthe request willbe subjectto assignmentor other transfer, and to whom; and iv the contractor has sought the same,',
28725:'or a similar or related, adjustment from the government accountability office or any other partof the government, or anticipates doingso.',
28726:'b contractor certification. a contractor seeking a contract adjustment that exceeds the simplified acquisition threshold shall, at the time the',
28727:'request is submitted, submit a certification by a person authorized to certify the request on behalf of the contractor that',
28728:'1 the request is made in good faith; and 2 the supportingdata are accurate and complete to the best of',
28729:'that person’sknowledge and belief. 50.1034 facts and evidence. a general. whenitis appropriate,the contracting officeror other agency official shall request thecontractor',
28730:'to support any request made under 50.1033a with any of the following information: 1 a brief description of the contracts',
28731:'involved, the dates of execution and amendments, the items being acquired, the price or prices, the delivery schedules, and any',
28732:'special contract provisions relevant to the request. 2 a history of performance indicating when work under the contracts or commitments',
28733:'began, the progress made to date, an exact statement of thecontractor’s remaining obligations, andthe contractor’s expectations regarding completion. 3 a',
28734:'statement of payments received, due, and yet to be received or to become due, including advance and progress payments; amounts',
28735:'withheld by the government; and information as to any obligations of the government yet to be performed under the contracts.',
28736:'4 a detailed analysis ofthe request’s monetary elements,including precisely how the actual orestimated dollar amount was determined and the effectof',
28737:'approval or denial onthe contractor’s profits before federal income taxes. 5 a statement of thecontractor’s understanding of why the request’s',
28738:'subjectmatter cannot now,andcould not atthe time it arose, be disposed of under the contract terms. 6 the best supporting evidence',
28739:'available to the contractor, including contemporaneous memorandums, correspondence, and affidavits. 7 relevant financial statements, cost analyses, or other such data,',
28740:'preferably certified by a certified public accountant, as necessary to support therequest’s monetaryelements. 8 a listof persons connected with the',
28741:'contracts who have factualknowledge of thesubject matter, including, when possible, their names, offices or titles, addresses,andtelephone numbers. 9 a statement',
28742:'and evidence of steps taken to reduce losses and claims to a minimum. 10 any other relevant statements or evidence',
28743:'that may be required. b amendments without considerationessentiality a factor. when a request involves possible amendment without consideration, and essentiality',
28744:'to the national defense is a factor 50.1032a1, the contractor may be asked to furnish, in addition to the facts',
28745:'and evidence listed in paragraph a of this subsection, any of the following information: 1 a statement and evidence of',
28746:'the contractor’s original breakdown of estimated costs, including contingency allowances, and profit. 2 a statement and evidence of the contractor’s',
28747:'present estimate oftotal costsunder thecontracts involved if it is enabled to complete them, broken down between costs accrued to date',
28748:'and completion costs, and between costs paid and those owed. 3 a statement and evidence of the contractor’s estimate of',
28749:'the final price ofthe contracts, taking into account all known or contemplated escalation, changes, extras, and the like. 4 a',
28750:'statement of any claims known or contemplated by the contractor against the government involving the contracts, other than those stated',
28751:'in response to paragraph b3 of this subsection. subpart 50.1 extraordinary contractual actions 50.1034 5 an estimate of thecontractor’s total',
28752:'profit or lossunder thecontracts ifitis enabledto complete them at the estimated final contract price, broken down between profit or loss',
28753:'to date and completion profit or loss. 6 an estimate of thecontractor’s total profit or lossfrom other government business andall',
28754:'other sources, fromthe date of the first contract involved to the estimated completion date of the last contract involved. 7',
28755:'a statement of the amount of any tax refunds to date, and an estimate of those anticipated, for the period',
28756:'from the date of the first contract involved to the estimated completion date of the last contract involved. 8 a',
28757:'detailed statement of efforts the contractorhas madeto obtain funds from commercial sources toenablecontract completion. 9 a statement of the minimum',
28758:'amount the contractor needs as an amendment without consideration to enable contract completion, and the detailed basis for that amount.',
28759:'10 an estimate of the time required to complete each contract if the request is granted. 11 a statement ofthe',
28760:'factors causingthe lossunder thecontracts involved. 12 a statement of the course of events anticipated if the request is denied. 13',
28761:'balancesheets,preferablycertifiedby a certified public accountant,i for the contractor’s fiscal year immediately preceding the date of the first contract, ii for',
28762:'each subsequent fiscal year, iii as of the request date, and iv projected asof the completion date of all the',
28763:'contracts involved assuming the contractor is enabled to complete them at the estimated final prices, together with income statements for',
28764:'annual periods subsequent to the date of the first balance sheet. balance sheets and income statements should beboth consolidated and',
28765:'broken down by affiliates. theyshouldshow all transactionsbetween thecontractor and its affiliates,stockholders, and partners, including loans tothe contractor guaranteed by anystockholder',
28766:'or partner. 14 a list ofall salaries,bonuses, and other compensation paid or furnished to the principalofficers or partners, and of',
28767:'all dividends and other withdrawals, and of all payments to stockholders in any form since the date of the first',
28768:'contract involved. c amendments without considerationessentiality not a factor. when a request involves possible amendment without consideration because of government',
28769:'action, and essentiality to the national defense is not a factor 50.1032a2, the contractor may be asked to furnish, in',
28770:'addition to the facts and evidence listed in paragraph a of this subsection, any of the following information: 1 a',
28771:'clear statement of the precise government action that the contractor considers to have caused a loss under the contract, with',
28772:'evidence to support each essential fact. 2 a statement and evidence of the contractor’s original breakdown of estimated costs, including',
28773:'contingency allowances, and profit. 3 the estimated total loss under the contract, with detailed supporting analysis. 4 the estimated loss',
28774:'resulting specifically from the government action, with detailed supporting analysis. d correcting mistakes. when a request involves possible correction of',
28775:'a mistake 50.1032b, the contractor may be asked to furnish, in addition to the facts and evidence listed in paragraph',
28776:'a of this subsection, any of the following information: 1 a statement and evidence of the precise error made, ambiguity',
28777:'existing, or misunderstanding arising, showing what it consists of, how it occurred, and the intention of the parties. 2 a',
28778:'statement explaining when the mistake was discovered, when the contracting officer wasgiven noticeof it, and whether this notice was givenbefore',
28779:'completion ofwork under, or the effective termination date of, the contract. 3 an estimate of profit or loss under the',
28780:'contract, with detailed supporting analysis. 4 an estimate of the increase in cost to the government resulting from the adjustment',
28781:'requested, with detailed supporting analysis. e formalizing informal commitments. when a request involves possible formalizing of an informal commitment 50.1032c,',
28782:'the contractor may be asked to furnish, in addition to the facts and evidence listed in paragraph a of this',
28783:'subsection, any of the following information: 1 copies of any written instructions or assurances or a sworn statement of any',
28784:'oral instructions or assurances given thecontractor, and identification of the government official who gave them. 2 a statement as to',
28785:'when the contractor furnished or arranged to furnish the supplies or services involved, and to whom. 3 evidence that the',
28786:'contractor relied upon the instructions or assurances, with a full description of the circumstances that led to this reliance. 50.1035',
28787:'federal acquisition regulation 4 evidence that, when performing the work, the contractor expected to be compensated directly for it by',
28788:'the government and didnot anticipate recovering the costsin some other way. 5 a cost breakdown supporting the amount claimed as',
28789:'fair compensation for the work performed. 6 a statement and evidence of the impracticability of providing, in an appropriate contractual',
28790:'instrument, for the work performed. 50.1035processing cases. a in response to a contractor request made in accordance with 50.1033a, the',
28791:'contracting officer or anauthorized representative shall make a thorough investigation to establish the facts necessary to decide a given case.',
28792:'facts and evidence, including signed statements of material facts within the knowledge of individuals when documentary evidence is lacking, and',
28793:'audits if considered necessary to establish financial or cost facts, shall be obtained from contractor and government personnel. b when',
28794:'acaseinvolvesmatters ofinterest to more than one government agency, the interested agencies should maintain liaison with each other to determine whether',
28795:'joint action should be taken. c when additional funds are required from anotheragency, the contracting agency may not approveadjustmentrequests beforereceiving',
28796:'advice that the funds will be available. the request for this advice shall givethe contractor’s name, the contract number, the',
28797:'amount of proposed relief, a brief description of the contract, and the accounting classification or fund citation. if the other',
28798:'agency makes additional funds available, the agency considering the adjustment request shall be solely responsible for any action taken on',
28799:'the request. d when essentiality to the national defense is an issue 50.1032a1, agencies considering requests for amendment without consideration',
28800:'involving another agency shall obtain advice on the issue from the other agency before making the final decision. when this',
28801:'advice is received, the agency considering the request for amendment without consideration shall be responsible for taking whatever action is',
28802:'appropriate. 50.1036 disposition. when approving ordenying acontractor’s request made in accordance with 50.1033a, the approving authority shall sign and date',
28803:'a memorandum of decision containing a thecontractor’snameand address, thecontract identification, and the nature of the request; b a concise description',
28804:'of the supplies or services involved; c the decision reached and the actual cost or estimated potential cost involved, if',
28805:'any; d a statement of the circumstances justifying the decision; e identification of any of the foregoing information classified confidential',
28806:'or higher instead of being included in the memorandum, such information may be set forth in a separate classified document',
28807:'referenced in the memorandum; and f if some adjustment is approved, a statement in substantially the following form: i find',
28808:'that the action authorized herein will facilitate the national defense. the case files supporting this statement will show the derivation',
28809:'and rationale for the dollar amount of the award. when the dollar amount exceeds the amounts supported by audit or',
28810:'other independent reviews, the approving authority will further document the rationale for deviating from the recommendation. 50.1037contractrequirements. a pub. l.',
28811:'85804 and e.o. 10789 require that every contract entered into, amended, or modified under this subpart 50.1 shall contain— 1',
28812:'a citation of pub. l. 85804 and e.o. 10789; 2 a brief statement of the circumstances justifying the action; and',
28813:'3 a recital of the finding that the action will facilitate the national defense. b the authority in 50.1011a shall',
28814:'not be used to omit from contracts, when otherwise required, the clauses at 52.2035, covenant against contingent fees; 52.2152, audit',
28815:'and recordsnegotiation; 52.2224, contract work hours and safety standardsovertime compensation; 52.2226, construction wage rate requirements; 52.22210, compliance with copeland act',
28816:'requirements; 52.22220, contracts for materials, supplies, articles, and equipment;52.22226, equal opportunity; and 52.23223, assignment of claims. 50.104residual powers. this section',
28817:'prescribes standards and procedures for exercising residual powers under pub. l. 85804. the term residual powers includes all authority under',
28818:'pub. l. 85804 except subpart 50.1 extraordinary contractual actions 50.1043 a that covered by section 50.103; and b the authority',
28819:'to make advance payments see subpart 32.4. 50.1041 standards for use. subject to the limitations in 50.1023, residual powers may',
28820:'be used in accordance with the policies in 50.1012 when necessary and appropriate, all circumstances considered. in authorizing the inclusion',
28821:'of the clause at 52.2501, indemnification under public law 85804, in a contract or subcontract, an agency head may require',
28822:'the indemnified contractor to provide and maintain financial protection of the type and amount determined appropriate. in deciding whether to',
28823:'approve use of the indemnification clause, and in determining the type and amount of financial protection the indemnified contractor is',
28824:'to provide and maintain, an agency head shall consider such factors as selfinsurance, other proof of financial responsibility, workers’ compensation',
28825:'insurance,andthe availability, cost, andterms ofprivate insurance. the approvaland determination shall be final. 50.1042 general. a when approving or denying a',
28826:'proposal for the exercise of residual powers, the approving authority shall sign and date a memorandum of decision containing substantially',
28827:'the same information called for by 50.1036. b every contract entered into, amended, or modified under residual powers shall comply',
28828:'with the requirements of 50.1037. 50.1043special procedures for unusually hazardousor nuclear risks. a indemnification requests. 1 contractor requests for the',
28829:'indemnification clause to cover unusually hazardous or nuclear risks should be submittedto the contracting officer and shall include thefollowing information:',
28830:'i identification of the contract for which the indemnification clause is requested. ii identification and definition of the unusually hazardous',
28831:'or nuclear risks for which indemnification is requested, with a statement indicating how the contractor would be exposed to them.',
28832:'iii a statement, executed by a corporate official with bindingcontractual authority, of all insurance coverage applicable to the risks to',
28833:'be definedin the contractas unusually hazardous or nuclear, including a names of insurance companies, policy numbers, and expiration dates; b',
28834:'a description of the types of insurance provided including the extent to which the contractor is selfinsured or intends to',
28835:'selfinsure, with emphasis on identifying the risks insured against and the coverage extended to persons or property,or both; c dollar',
28836:'limits per occurrence and annually, and any other limitation, for relevant segments of the total insurance coverage; ddeductibles, ifany, applicable',
28837:'to losses under the policies; e any exclusions from coverage under such policies for unusually hazardous or nuclear risks; and',
28838:'f applicable workers’ compensation insurance coverage. iv the controlling or limiting factors for determining the amount of financial protection the',
28839:'contractor is to provide and maintain, with information regarding the availability, cost,andterms ofadditional insurance or other forms of financial protection.',
28840:'v whetherthe contractor’s insurance program hasbeenapproved oraccepted byany government agency; and whether the contractor has an indemnification agreement covering similar',
28841:'risks under any other government program, and, if so, a brief description of any limitations. vi if the contractor is',
28842:'a division or subsidiary of a parent corporation a a statement of any insurance coverage of the parent corporation that',
28843:'bears on the risks for which the contractor seeks indemnification; and b a description of the precise legal relationship between',
28844:'parent and subsidiary or division. 2 if the dollar value of the contractor’s insurancecoverage varies by10 percent or morefrom that',
28845:'stated in an indemnification request submitted in accordance with paragraph a1 of this subsection, or if other significant changes in',
28846:'insurance coverage occur after submission and before approval, the contractor shall immediately submit to the contracting officer a brief description',
28847:'of thechanges. b action on indemnification requests. 1 the contractingofficer, with assistancefrom legal counsel and cognizant program officepersonnel, shall review',
28848:'the indemnificationrequest and ascertain whether it contains allrequired information. if the contracting officer, after considering the facts and evidence, denies',
28849:'the request, the contracting officer shall notify the 50.1044 federal acquisition regulation contractor promptlyof the denial andof the reasons for',
28850:'it. if recommending approval, the contracting officer shall forward therequest as modified, if necessary,by negotiation through channels tothe appropriate officialspecified',
28851:'in 50.1021d. the contractingofficer’s submission shall include all information submitted by thecontractor and i all pertinent information regarding the proposed',
28852:'contract or program, including the period of performance, locations, and facilities involved; ii a definition of the unusually hazardous or',
28853:'nuclear risks involved in the proposed contract or program, with a statement that the parties have agreed to it; iii',
28854:'a statement by responsible authority that the indemnification action would facilitate the national defense; iv a statement that the contract',
28855:'will involve unusually hazardous or nuclear risks that could impose liability upon the contractor in excess of financial protection reasonably',
28856:'available; v a statement that the contractor is complying with applicable government safety requirements; vi a statement of whether the',
28857:'indemnification should be extended to subcontractors; and vii a description of any significant changes in the contractors insurance coverage see',
28858:'50.1043a2 occurring since submission of the indemnification request. 2 approval of a request to include the indemnification clause in a',
28859:'contract shall be by a memorandum of decision executed by the appropriate official specified in 50.1021d. 3 when use of',
28860:'the indemnification clause is approved under paragraph b2 of this subsection, the definition of unusually hazardous or nuclear risks see',
28861:'paragraph b1ii of this subsection shall be incorporated into the contract, along with the clause. 4 when approval is i',
28862:'authorized in the memorandum of decision; and iijustifiedby the circumstances, the contracting officer may approve the contractor’s written request to',
28863:'providefor indemnification of subcontractors, using the same procedures as those required for contractors. 50.1044 contract clause. the contractingofficer shall insertthe',
28864:'clause at 52.2501, indemnification under public law 85804, in contracts wheneverthe approving official determines that the contractorshallbe indemnified against unusually',
28865:'hazardous or nuclear risks also see 50.1043b3. incostreimbursementcontracts, the contracting officershalluse the clause withits alternate i. subpart 50.2 support antiterrorism',
28866:'by fostering effective technologies act of 2002 50.203 subpart 50.2 support antiterrorism by fostering effective technologies act of 2002 50.200scope',
28867:'of subpart. this subpart implements thesupport antiterrorism by fosteringeffective technologies act of 2002 safety act liability protections to promote development',
28868:'and use of antiterrorism technologies. 50.201definitions. act of terrorism means any act determined to have met the following requirements or',
28869:'such other requirements as defined and specified by the secretary of homeland security: 1 is unlawful. 2 causes harm,including financial',
28870:'harm,to a person,property, or entity, in the united states, or in the case of a domestic united states air carrier',
28871:'or a united statesflag vessel or a vessel based principally in the united states on which united states income tax',
28872:'is paid and whose insurance coverage is subject to regulation in the united states, in or outside the united states.',
28873:'3 uses or attempts to use instrumentalities, weapons or other methods designed or intended to cause mass destruction, injury or',
28874:'other loss to citizens or institutions of the united states. block certification means safety act certification of a technology class',
28875:'that the department of homeland security dhs has determined to be anapproved class of approved productsforhomeland security. block designation means',
28876:'safety act designation of a technology class that the dhs has determined to be a qualified antiterrorism technology qatt. prequalification',
28877:'designation notice means a notice in a procurement solicitation or other publication by the government stating that the technology to',
28878:'be procuredeither affirmativelyor presumptively satisfies the technicalcriteria necessary to be deemed aqualified antiterrorism technology. a prequalificationdesignation notice authorizes offerors to',
28879:'submit streamlined safety act applications for safety act designation and receive expedited processing of those applications. qualified antiterrorism technology qatt',
28880:'means any technology designed, developed, modified, procured, or sold for the purpose of preventing, detecting, identifying, or deterring acts of',
28881:'terrorism or limiting the harm such acts might otherwise cause,forwhich a safety act designation has been issued. for purposes of',
28882:'defining a qatt, technologymeans any product, equipment, service including support services, device, or technology including information technology or any combination',
28883:'of the foregoing. design services, consulting services, engineering services, software development services, software integration services, threat assessments, vulnerability studies, and',
28884:'other analyses relevant to homeland security may bedeemed a technology. safety act certification means a determination by dhs pursuant to',
28885:'6 u.s.c. 442d, as further delineated in 6 cfr 25.8 and 25.9, that a qatt for which a safety act',
28886:'designation has been issued is anapproved productforhomeland security, i.e., it will perform as intended, conforms to the seller’s specifications, and',
28887:'is safe for use as intended. safety act designation means a determination by dhs pursuant to 6 u.s.c. 441 b',
28888:'and 6 u.s.c. 443a, as further delineated in 6 cfr 25.4,that a particularantiterrorism technology constitutes a qatt under the safety',
28889:'act. 50.202authorities. the following authorities apply: a support antiterrorism by fostering effectivetechnologies act of 2002 safety act, 6 u.s.c. 441444.',
28890:'b executive order 13286 of february 28, 2003, amendment of executive orders, and other actions, in connection with thetransfer of',
28891:'certain functions to the secretary of homeland security. c executive order 10789 of november 14, 1958, contracting authority of government',
28892:'agencies in connection with national defense functions. d 6 cfr part 25. 50.203general. a as part of the homeland security',
28893:'act of 2002, pub. l. 107296, congress enacted the safety act to 1 encourage the development and use of antiterrorism',
28894:'technologies that will enhance the protection of the nation; and 2 provide risk management and litigation management protections for sellers',
28895:'of qatts and others in thesupplyand distribution chain. b the safety act’s liability protections are complementary to the terrorism risk',
28896:'insurance act of 2002. federal acquisition regulation c questions concerning thesafety act may bedirected to dhsoffice of safety act implementation',
28897:'osai. additional information about the safety act may be found at http://www.safetyact.gov. included on this website are block designations and',
28898:'block certifications granted by dhs. 50.204 policy. a agencies should 1 determine whether the technology to be procured is appropriate',
28899:'for safety act protections and, if appropriate, formally relay this determination to dhs for purposes of supporting contractor applications for',
28900:'safety act protections in relation to criteria bviii of 6 cfr 25.4, designation of qualified antiterrorism technologies; 2 encourage offerors',
28901:'toseek safety act protectionsfortheir offeredtechnologies, even inadvance of the issuance of a solicitation; and 3 not mandate safety act protections',
28902:'for acquisitions because applying for safety act protections for a particular technologyis the choice of the offeror. b agencies shall',
28903:'not solicit offers contingent upon safety act designationor certificationoccurringbefore contract award unless authorized in accordance with 50.2053. c agencies shall',
28904:'not solicit offers or award contracts presuming dhswill issue a safety act designation or certification after contract award unless authorized',
28905:'in accordance with 50.2054. d the dhs determination to extend safety act protections for a particular technology is not a',
28906:'determination that the technology meets, or fails to meet, the requirements of a solicitation. 50.205 procedures. 50.2051 safety act considerations.',
28907:'a safety act applicability. requiring activities should review requirements to identify potential technologies that prevent, detect, identify, or deter actsof',
28908:'terrorism or limit the harm such acts might cause,and may be appropriate for safety act protections. in questionable cases, the',
28909:'agency shall consult with dhs. for acquisitions involving such technologies, the requiring activity should ascertain through discussions with dhs whether',
28910:'a block designation or block certification exists for the technology being acquired. 1 if onedoes exist, the requiring activity should',
28911:'request thatthe contracting officernotify offerors. 2 if one does not exist, see 50.2052, prequalification designation notice. b early consideration of',
28912:'the safety act. acquisition officials shall consider safetyactissues asearly in the acquisition cycle as possible see 7.105b20v. normally, this would',
28913:'be at the point where the required capabilities or performance characteristics are addressed. this is important because the processing times',
28914:'for issuing determinations on all types of safety act applications vary depending on many factors, including the influx of applications',
28915:'to dhs and the technical complexity of individual applications. c industry outreach. when applicable,acquisition officials should includesafety act considerations in',
28916:'all industry outreachefforts including, butnot limited to, requests for information, draft requests for proposal, and industry conferences. d reciprocal waiver',
28917:'of claims. for purposes of 6 cfr 25.5e, the government is not a customer from which a contractor must request',
28918:'a reciprocal waiver of claims. 50.2052prequalification designation notice. a requiring activity responsibilities. 1 if the requiring activity determines that the',
28919:'technology to be acquired may qualify for safety act protection, the requiring activity is responsible for requesting a prequalification designation',
28920:'notice from dhs. such a request for a prequalification designation notice should be made once the requiring activity has determined',
28921:'that the technology specifications or statementof work are established and areunlikely to undergo substantive modification. dhswill then determinewhetherthe technology identified',
28922:'in the request either affirmatively or presumptively satisfies thetechnicalcriteria for safety act designation. anaffirmativedetermination means the technologydescribed in the prequalification',
28923:'designation noticesatisfies the technical criteria for safety act designationas a qatt. a presumptivedeterminationmeans that the technology is a goodcandidate for',
28924:'safety act designation asa qatt. in either case, the noticewill authorize offerors to i submit a streamlined application for safety',
28925:'act designation; and ii receive expedited review of their application for safety act designation. subpart 50.2 support antiterrorism by fostering',
28926:'effective technologies act of 2002 50.206 2 the requiring activity shall make requests using the procurement prequalification request form available',
28927:'at http:// www.safetyact.gov. the website includes instructions for completing and submitting the form. 3 the requiring activity shall provide a',
28928:'copy of the request, as well as a copy of the resulting prequalification designation notice or dhs denial, to the',
28929:'contracting officer. b contracting officer responsibilities. upon receipt of the documentation specified in paragraph a3 of this subsection, thecontracting officer',
28930:'shall 1 include in any presolicitation notice subpart 5.2 that a prequalification designation notice has been i requested and is',
28931:'under review by dhs; ii denied by dhs; or iii issued and a copy will be included with the solicitation;',
28932:'and 2 incorporate the prequalification designation notice into the solicitation. 50.2053authorization of offerscontingent uponsafety actdesignation or certification beforecontract award. a',
28933:'contracting officers may authorize such contingent offers,onlyif 1 dhs has issued ifor offers contingent upon safety act designation, a prequalification',
28934:'designation noticeor ablock designation; or iifor offers contingent uponsafety act certification,a block certification; 2 to the contracting officer’s knowledge, the',
28935:'government has not provided advance noticesothat potential offerors could have obtained safety act designations/ certifications for theiroffered technologies before release',
28936:'of anysolicitation; and 3 market research showsthat there willbe insufficient competition without safetyactprotections orthe subject technology would be sold to',
28937:'the government only with safety act protections. b contracting officersshallnot authorize offers contingent uponobtaining a safety act certification as opposed',
28938:'to a safety act designation, unless a block certification applies to the class of technology to be acquired under the',
28939:'solicitation. 50.2054authorization of awards made presuming safetyact designation or certification after contract award. a when necessary to award a contract',
28940:'priorto dhs issuingsafety act protections,contracting officers mayaward contracts presuming that dhs will issue a safety act designation/certification to the contractor',
28941:'after contract award only if 1 the criteria of 50.2053a are met; 2 the chiefof the contractingoffice or other official',
28942:'designated in agency procedures approves the action;and 3 the contractingofficer advises dhs of the timelines for potential award and consults',
28943:'dhs asto when dhs could reasonablycomplete evaluations ofofferors’ applications for safety act designations or certifications. b contracting officersshallnot authorize offers',
28944:'presuming that safety act certification will be obtained as opposed to a safety act designation, unless a block certification applies',
28945:'to the class of technology to be acquired under the solicitation. 50.206 solicitation provisions and contract clause. a insert the',
28946:'provision at 52.2502, safety act coverage not applicable, in solicitations if 1 the agency consulted with dhs on a questionable',
28947:'case of safety act applicability to an acquisition in accordance with 50.2051a, and after the consultation, the agency has determined',
28948:'that safety act protection is not applicable for the acquisition; or 2 dhs has denied approval of a prequalification designation',
28949:'notice. b 1 insert the provision at 52.2503, safety act block designation/certification, in a solicitation when dhs has issued a',
28950:'block designation/certification for the solicited technologies. 2 use the provision at 52.2503 withits alternate i when contingent offers are authorizedin',
28951:'accordance with 50.2053. 3 use the provision at 52.2503 withits alternate ii when offerspresuming safety act designation or certification are',
28952:'authorized in accordance with 50.2054. if this alternate is used, the contracting officermay increase the number of days within which',
28953:'offerors must submit theirsafety act designation or certification application. c 1 insert the provision at 52.2504, safety act prequalification designation',
28954:'notice, in a solicitation for which dhs has issued a prequalification designation notice. federal acquisition regulation 2 use the provision',
28955:'at 52.2504 withits alternate i when contingent offers are authorizedin accordance with 50.2053. 3 use the provision at 52.2504 withits',
28956:'alternate ii when offerspresuming safety act designation or certification are authorized in accordance with 50.2054. if this alternate is used,',
28957:'the contracting officermay increase the number of days within which offerors must submit theirsafety act designation or certification application. d',
28958:'insert the clause at 52.2505, safety actequitable adjustment 1 in the solicitation, if the provision at 52.2503 or 52.2504 is',
28959:'used with its alternate ii; and 2 in any resultant contract,if dhs hasnot issued safety act designation or certification tothe',
28960:'successful offeror before contract award. part 51 use of government sources by contractors sec. 51.000 scope of part. subpart 51.2',
28961:'contractor use of interagency fleet management system ifms vehicles subpart 51.1 contractor use 51.200 scope of subpart. of government supply',
28962:'sources 51.201 policy. 51.100 scope of subpart. 51.202 authorization. 51.101 policy. 51.203 means of obtaining service. 51.102 authorization to use',
28963:'government supply 51.204 use of interagency fleet management system sources. ifms vehicles and related services. 51.103 ordering from government supply',
28964:'sources. 51.205 contract clause. 51.104 furnishing assistance to contractors. 51.105 payment for shipments. 51.106 title. 51.107 contract clause. this page',
28965:'intentionally left blank. subpart 51.1 contractor use of government supply sources 51.102 51.000scope of part. this part prescribes policies and',
28966:'procedures for the use by contractors of government supply sources and interagency fleet management system ifms vehicles and related services.',
28967:'subpart 51.1 contractor use of government supply sources 51.100scope of subpart. this subpart prescribes policies and procedures for the use',
28968:'of government supply sources see 51.102c by contractors. in this subpart, the terms contractors and contracts include subcontractors and subcontracts.',
28969:'51.101 policy. a if it is inthe government’s interest, and if supplies or services required in the performance of a',
28970:'government contract areavailablefrom government supply sources, contracting officers may authorize contractors touse these sources in performing 1 government costreimbursement contracts;',
28971:'2 othertypes of negotiated contracts when the agency determines that a substantialdollarportion of the contractor’s contracts are of a government',
28972:'costreimbursement nature; or 3 a contract under 41 u.s.c. chapter 85, committee for purchase from people who are blind or',
28973:'severely disabled, if i the nonprofit agency requesting use of the supplies and services is providing a commodity or service',
28974:'to the federal government; and ii the supplies or services received are directly used in making or providing a commodity',
28975:'or service, approved by the committee for purchase from people who are blind or severely disabled, to the federal government',
28976:'see subpart 8.7. b contractors with fixedprice government contracts that require protection of security classified information may acquire security equipment',
28977:'through gsa sources see 41 cfr 10126.507. c contracting officers shall authorize contractors purchasing supply items for government use that',
28978:'are available from the committee for purchase from people who are blind or severely disabled see subpart 8.7 to purchase',
28979:'such items from the defense logistics agencydla, the generalservices administration gsa, and the departmentof veterans affairs va if they are',
28980:'available from these agencies through their distribution facilities. mandatory supplies that are not available from dla/gsa/vashallbe ordered through the appropriatecentral',
28981:'nonprofitagency see 52.2089c. 51.102 authorizationto use government supply sources. a before issuing an authorization to a contractor to use government',
28982:'supply sources in accordance with 51.101a or b, thecontracting officer shall place in the contract file a written finding supporting',
28983:'issuance of the authorization. a written finding is not required when authorizing use of government supply sources in accordance with',
28984:'51.101c. except for findings under 51.101a3, the determination shall be based on, but not limited to, considerations of the following',
28985:'factors: 1 the administrative cost of placing orders with government supply sources and the program impact of delay factors, if',
28986:'any. 2 the lower cost of items available through government supply sources. 3 suitability of items available through government supply',
28987:'sources. 4 delivery factors such as cost and time. 5 recommendationsof the contractor. b authorizations to subcontractors shall be issued',
28988:'through, and with the approvalof, the contractor. c upon deciding to authorize a contractor touse government supply sources, the contractingofficer',
28989:'shall request, in writing, as applicable 1 a fedstrip activity address code, through the agency’s centralcontact point for matters involvingactivity',
28990:'address codes, from the general services administration gsa fxs washington, dc 20406; 2 a milstrip activity address code from the',
28991:'appropriate department of defense dod service point listed in section 1 of the introduction to the dod activity address directory;',
28992:'3 approvalforthe contractor to use department of veterans affairs va supply sources from the executive director, office of acquisitionand logistics',
28993:'003a, department of veteransaffairs,810 vermont avenue,nw, washington dc 20420; or federal acquisition regulation 4 approval from the appropriate agency for',
28994:'the contractor to use a government supply source other than those identified in paragraphs c1 through c3 of this section.',
28995:'d each request made under paragraph c of this section shall contain 1 the complete addressesto whichthe contractor’s mail, freight,',
28996:'and billing documents are to be directed; 2 a copy of thecontracting officer’s letter ofauthorizationto the contractor; 3 the prime',
28997:'contract numbers; and 4 the effective date and durationof each contract. e ineach authorization to the contractor, the contracting officer',
28998:'1 shall cite the contract numbers involved; 2 shall, when practicable, limit the period of the authorization; 3 shall specify,',
28999:'as appropriate, that iwhen requisitioningfrom gsa or dod, the contractor shall use fedstrip or milstrip, asappropriate, and include the activity',
29000:'address code assigned by gsa or dod; and iiwhen requisitioningfrom the va, the contractor should use fedstrip or milstrip, as',
29001:'appropriate, optional form 347, order for supplies or services see 53.302347, or an agencyapproved form; 4 mayinclude anyother limitations or',
29002:'conditions deemed necessary. for example, the contracting officer may i authorize purchases from government supply sources of any overhead supplies,',
29003:'but no production supplies; ii limit any authorization requirement to use government sources to a specific dollar amount, thereby leaving',
29004:'the contractor free to make smaller purchases from other sources if so desired; iii restrict the authorization to certain facilities',
29005:'or to specific contracts; or iv provide specifically if vesting of title is to differ from otherpropertyacquired or otherwise furnished',
29006:'by the contractor for use under the contract; and 5 shall instruct the contractor to comply with the applicable policies',
29007:'and procedures prescribed in this subpart. f after issuing the authorization, the authorizing agency shall be responsible for 1 ensuring',
29008:'that contractors comply with the terms of their authorizations and that supplies and services obtained from government supply sources are',
29009:'properly accounted for and properly used; 2 any indebtedness incurred for supplies or services and not satisfied by the contractor;',
29010:'and 3 submitting, in writing, to the appropriate government sources, address changes of the contractor and deletions when contracts are',
29011:'completed or terminated. 51.103 ordering from government supply sources. a contractors placing orders under federal supply schedules shall follow the',
29012:'terms of the applicable schedule and authorization and include with each order 1 a copy of the authorization unless a',
29013:'copy was previously furnished to the federal supply schedule contractor; and 2 the following statement: this order is placed under',
29014:'written authorization from dated . in the event of any inconsistency between the terms and conditions of this order and',
29015:'those of your federal supply schedule contract, the latter will govern. b contractors placing orders for government stock shall 1',
29016:'comply with therequirements of the contracting officer’s authorization, using fedstrip or milstrip procedures, as appropriate; 2 use only the government',
29017:'activity address code obtained bythe contracting officer in accordance with 51.102e along with the contractor’s assigned access code, when ordering',
29018:'from gsa customer supply centers. 3 order only those items required in the performance of their contracts. 51.104furnishing assistance to',
29019:'contractors. afterreceiving anactivity address code, the contracting officer will notify the appropriategsa regional office or military activity, which willcontactthe contractor',
29020:'and a provide initial copies of ordering information and instructions; and b when necessary, assist the contractorin preparing and submitting,',
29021:'as appropriate 1 the initial fedstrip or milstrip requisitions, the optional form 347, or the agencyapproved forms; 2 a completed',
29022:'gsa form 457, fss publications mailing list application, so that the contractor will automatically receive current copies of required publications;',
29023:'or subpart 51.1 contractor use of government supply sources 51.107 3 a completed gsa form 3525, application for customer supply',
29024:'center services and address change. 51.105payment for shipments. gsa, dod, and va will not forward bills to contractors for supplies',
29025:'ordered from government stock until after the supplies have been shipped. receiptof billing is sufficient evidenceto establish contractor liability and',
29026:'to provide a basis for payment. contracting officers should direct their contractors to make payment promptly upon receipt of billings.',
29027:'51.106 title. a titleto all property acquired bythe contractor under the contractingofficer’s authorization shall vest in the parties as provided',
29028:'in the contract, unless specifically provided for otherwise. b if contracts are with educational institutions and the government property clause',
29029:'at 52.2451, alternateii, is used, title to property having a unit acquisition cost of less than $5,000 shall vest in',
29030:'the contractor as provided in the clause. agencies may provide higher thresholds, if appropriate. 51.107contract clause. the contractingofficer shall insertthe',
29031:'clause at 52.2511, government supply sources, in solicitations and contracts when thecontracting officer authorizes the contractor to acquire supplies or',
29032:'services from a governmentsupplysource. this page intentionally left blank. 51.14 subpart 51.2 contractor use of interagency fleet management system ifms',
29033:'vehicles 51.203 subpart 51.2 contractor use of interagency fleet management system ifms vehicles 51.200scope of subpart. this subpart prescribes policies',
29034:'and procedures for the use by contractors of interagency fleet management system ifms vehicles and related services. in this subpart,',
29035:'the terms contractors and contracts include subcontractors and subcontracts see 45.102. 51.201 policy. a if it is inthe government’s interest,',
29036:'the contracting officer may authorize costreimbursement contractorsto obtain, for official purposes only, interagency fleet management system ifms vehicles and relatedservices,',
29037:'including 1 fuel and lubricants, 2 vehicleinspection, maintenance,andrepair, 3 vehiclestorage,and 4 commercially rented vehicles for shortterm use. b complete rebuilding',
29038:'of major components of contractorowned or leased equipment requires the approval of the contracting officerin each instance. c government contractors',
29039:'shall not be authorized to obtain interagency fleet management system ifms vehicles and related services for use in performance of',
29040:'any contract other than a costreimbursement contract, except as otherwise specifically approved by the administrator of the general services administration',
29041:'at the request of the agency involved. 51.202authorization. a thecontracting officer may authorize a costreimbursement contractor to obtain interagency fleet',
29042:'management system ifms vehicles andrelated services, if thecontracting officer has 1 determined that the authorization will accomplish theagency’s contractual objectivesandeffect',
29043:'demonstrable economies; 2 received evidence that the contractor has obtained motor vehicle liability insurance covering bodily injury and property damage,with',
29044:'limits of liabilityas required or approved by the agency, protecting thecontractor and the government against thirdparty claims arising from the',
29045:'ownership, maintenance, or use of an interagency fleet management system vehicle ifms; 3 arranged for periodic checks to ensure that',
29046:'authorized contractors are using vehicles and related services exclusively under costreimbursement contracts; 4 ensured that contractors shall establish and enforce',
29047:'suitable penalties for their employees who use or authorize the use of government vehicles for other than performance of government',
29048:'contracts see 41 cfr 10138.3011; 5 received a written statement that the contractor will assume, without the right of reimbursement',
29049:'from the government, the cost or expense of any use of interagency fleet management vehicles ifms and services not related',
29050:'to the performance of the contract; and 6 considered any recommendations of the contractor. b the authorization shall 1 be',
29051:'in writing; 2 cite the contract number; 3 specify any limitations on the authority, including its duration,and any other pertinent',
29052:'information; and 4 instruct the contractor to comply with the applicable policies and procedures provided in this subpart. c authorizations',
29053:'tosubcontractors shall be issued through, and with the approval of, the contractor. d contracting officersauthorizingcontractor useof interagency fleetmanagementsystem ifmsvehicles and',
29054:'related services subject their agencies to the responsibilities and liabilities provided in 41 cfr 10139.4 regarding accidents and claims. 51.203means',
29055:'of obtaining service. a authorized contractors shall submit requests for interagency fleet management system ifms vehicles and related services inwriting',
29056:'tothe appropriate gsa regional federal supply service bureau, attention: regionalfleet manager, except that requests for more than five vehicles shall',
29057:'be submitted to: general services administration fbf washington dc 20406, and not to the regions. each request shall include the',
29058:'following: federal acquisition regulation 1 two copies ofthe agency authorization to obtain vehicles and related services fromgsa. 2 the number',
29059:'of vehicles and related services required and period of use. 3 a listof the contractor’s employees who are authorized torequest',
29060:'vehicles and relatedservices. 4 a listing of the make, model, and serial numbers of contractorowned orleased equipment authorized to be',
29061:'serviced. 5 billing instructions and address. b contractors requesting unusual quantities ofvehicles should do so as farin advance as possibleto',
29062:'facilitate availability. 51.204 use of interagency fleet management system ifms vehicles and related services. contractors authorized to use interagency fleet',
29063:'management system ifms vehicles and related services shall comply with the requirements of 41 cfr 10139 and 41 cfr 10138.3011',
29064:'and theoperator’s packet furnished with each vehicle. see 41 cfr 1016.4 for additional guidance for hometowork use of government vehicles.',
29065:'51.205contract clause. the contractingofficer shall insertthe clause at 52.2512, interagencyfleet management system ifms vehicles and related services, in solicitations and',
29066:'contracts when a costreimbursement contract is contemplated and the contracting officer may authorize the contractor to use interagency fleet management',
29067:'system ifms vehicles and relatedservices. volume iiparts 52 & 53 federal acquisition regulation issued fiscal year 2019 by the: generalservicesadministration',
29068:'departmentofdefense national aeronautics andspaceadministration title48federal acquisition regulations system chapter 1 federal acquisition regulation volume i foreword the far is the',
29069:'primary regulation for use by all executive agencies in their acquisitionofsupplies andserviceswithappropriatedfunds. it became effective on april 1, 1984, and',
29070:'is issued within applicable laws under the joint authorities of the administrator of general services, the secretary of defense, and',
29071:'the administrator for the national aeronautics and space administration, under the broad policy guidelines of the administrator, office of federal',
29072:'procurement policy, office of management and budget. the far precludes agency acquisition regulations that unnecessarily repeat, paraphrase,orotherwiserestatethefar,limitsagencyacquisitionregulationsto thosenecessarytoimplementfarpoliciesandprocedureswithinanagency,and provides for',
29073:'coordination, simplicity, and uniformity in the federal acquisition process. it also provides for agency and public participation in developing the',
29074:'far and agency acquisition regulation. the federal acquisition regulation far includes all federal acquisition circulars through 202501. beginning in fiscal',
29075:'year 2019, designation of federal acquisition circulars was changed to reflect the fiscal year in the first four digits and',
29076:'the sequence of the issued circular in the last two digits. part 52 solicitation provisions and contract clauses sec. 52.000',
29077:'scope of part. 52.20319 prohibition on requiring certain internal confidentiality agreements or statements. subpart 52.1 instructions for 52.204 [reserved] using',
29078:'provisions and clauses 52.2041 approval of contract. 52.100 scope of subpart. 52.2042 security requirements. 52.101 using part 52. 52.2043 taxpayer',
29079:'identification. 52.102 incorporating provisions and clauses. 52.2044 [reserved] 52.103 identification of provisions and clauses. 52.2045 womenowned business other than small',
29080:'52.104 procedures for modifying and completing business. provisions and clauses. 52.2046 unique entity identifier. 52.105 procedures for using alternates. 52.2047',
29081:'system for award management. 52.106 [reserved] 52.2048 annual representations and certifications. 52.107 provisions and clauses prescribed in subpart 52.2049 personal',
29082:'identity verification of contractor 52.1. personnel. 52.20410 reporting executive compensation and subpart 52.2 text of provisions and clauses firsttier subcontract',
29083:'awards. 52.200 scope of subpart. 52.20411 [reserved] 52.201 [reserved] 52.20412 unique entity identifier maintenance. 52.2011 acquisition 360: voluntary survey. 52.20413',
29084:'system for award management 52.202 [reserved] maintenance. 52.2021 definitions. 52.20414 service contract reporting requirements. 52.203 [reserved] 52.20415 service contract reporting',
29085:'requirements for 52.2031 [reserved] indefinitedelivery contracts. 52.2032 certificate of independent price 52.20416 commercial and government entity code determination. reporting. 52.2033',
29086:'gratuities. 52.20417 ownership or control of offeror. 52.2034 [reserved] 52.20418 commercial and government entity code 52.2035 covenant against contingent fees.',
29087:'maintenance. 52.2036 restrictions on subcontractor sales to the 52.20419 incorporation by reference of government. representations and certifications. 52.2037 antikickback procedures.',
29088:'52.20420 predecessor of offeror. 52.2038 cancellation, rescission, and recovery of 52.20421 basic safeguarding of covered contractor funds for illegal or',
29089:'improper activity. information systems. 52.2039 [reserved] 52.20422 alternative line item proposal. 52.20310 price or fee adjustment for illegal or 52.20423',
29090:'prohibition on contracting for hardware, improper activity. software, and services developed or 52.20311 certification and disclosure regarding provided by kaspersky',
29091:'lab covered payments to influence certain federal entities. transactions. 52.20424 representation regarding certain 52.20312 limitation on payments to influence certain',
29092:'telecommunications and video surveillance federal transactions. services or equipment. 52.20313 contractor code of business ethics and 52.20425 prohibition on contracting',
29093:'for certain conduct. telecommunications and video surveillance 52.20314 display of hotline posters. services or equipment. 52.20315 whistleblower protections under the',
29094:'52.20426 covered telecommunications equipment or american recovery and reinvestment act of servicesrepresentation. 2009. 52.20427 prohibition on a bytedance covered 52.20316',
29095:'preventing personal conflicts of interest. application. 52.20317 contractor employee whistleblower rights. 52.20428 federal acquisition supply chain security 52.20318 prohibition on',
29096:'contracting with entities act orders—federal supply schedules, that require certain internal confidentiality governmentwide acquisition contracts, and agreements or statementsrepresentation. multiagency',
29097:'contracts. fac 202501 november 12, 2024 52.20429 federal acquisition supply chain security act orders—representation and disclosures. 52.20430 federal acquisition supply',
29098:'chain security act orders—prohibition. 52.205 [reserved] 52.206 [reserved] 52.207 [reserved] 52.2071 notice of standard competition. 52.2072 notice of streamlined competition.',
29099:'52.2073 right of first refusal of employment. 52.2074 economic purchase quantitysupplies. 52.2075 option to purchase equipment. 52.2076 solicitationofoffersfromsmallbusiness concerns andsmallbusiness',
29100:'teaming arrangementsor jointventures multiple award contracts. 52.208 [reserved] 52.2081 [reserved] 52.2082 [reserved] 52.2083 [reserved] 52.2084 vehicleleasepayments. 52.2085 condition of leased',
29101:'vehicles. 52.2086 markingofleasedvehicles. 52.2087 tagging of leased vehicles. 52.2088 [reserved] 52.2089 contractor use of mandatory sources of supply or services.',
29102:'52.209 [reserved] 52.2091 qualification requirements. 52.2092 prohibition on contracting with inverted domestic corporationsrepresentation. 52.2093 firstarticleapprovalcontractortesting. 52.2094 firstarticleapprovalgovernmenttesting. 52.2095 certification regarding',
29103:'responsibility matters. 52.2096 protectingthegovernment’sinterestwhen subcontracting with contractors debarred, suspended, or proposed for debarment. 52.2097 information regarding responsibility matters. 52.2098 [reserved]',
29104:'52.2099 updatesofpubliclyavailableinformation regarding responsibility matters. 52.20910 prohibition on contracting with inverted domestic corporations. 52.20911 representation by corporations regarding delinquent tax',
29105:'liability or a felony conviction under anyfederal law. 52.20912 certificationregardingtaxmatters. 52.20913 violationofarmscontroltreatiesor agreementscertification. 52.20914 reserve officer training corps and military',
29106:'recruiting on campus. 52.210 [reserved] 52.2101 market research. 52.211 [reserved] 52.2111 52.2112 52.2113 52.2114 52.2115 52.2116 52.2117 52.2118 52.2119 52.21110',
29107:'52.21111 52.21112 52.21113 52.21114 52.21115 52.21116 52.21117 52.21118 52.212 52.2121 52.2122 52.2123 52.2124 52.2125 52.213 52.2131 52.2132 52.2133 availability ofspecifications',
29108:'listed in the gsa index of federal specifications, standards and commercial item descriptions, fpmr part 10129. availability ofdefense specifications, standards,',
29109:'and data item descriptions in the acquisition streamlining and standardization information system assist website. availability ofspecifications not listed in the',
29110:'gsa index of federal specifications, standards and commercial item descriptions. availability for examination of specifications not listed in the gsa',
29111:'index of federal specifications, standards and commercial item descriptions. material requirements. brand name or equal. alternatives to governmentunique standards. timeof',
29112:'delivery. desired and required time of delivery. commencement, prosecution, and completion of work. liquidated damagessupplies, services, or research and development.',
29113:'liquidated damagesconstruction. timeextensions. notice of priority rating for national defense,emergency preparedness, and energy programuse. defense priority and allocation requirements. variation',
29114:'in quantity. delivery of excess quantities. variation in estimated quantity. [reserved] instructions to offerors—commercial products and commercial services. evaluation—commercial products',
29115:'and commercial services. offeror representations and certifications —commercial products and commercial services. contractterms and conditions— commercial products and commercial services.',
29116:'contractterms and conditions required to implement statutes or executive orders —commercial products and commercial services. [reserved] fast payment procedure. invoices.',
29117:'notice to supplier. fac 202501 november 12, 2024 52.2134 terms and conditions—simplified acquisitions other than commercial products and commercial services.',
29118:'52.214 [reserved] 52.2141 [reserved] 52.2142 [reserved] 52.2143 amendments to invitations for bids. 52.2144 false statements in bids. 52.2145 submission of',
29119:'bids. 52.2146 explanation to prospective bidders. 52.2147 late submissions, modifications, and withdrawals of bids. 52.2148 [reserved] 52.2149 [reserved] 52.21410 contractawardsealedbidding.',
29120:'52.21411 [reserved] 52.21412 preparation of bids. 52.21413 [reserved] 52.21414 place of performancesealed bidding. 52.21415 period for acceptance of bids. 52.21416',
29121:'minimum bid acceptance period. 52.21417 [reserved] 52.21418 preparation of bidsconstruction. 52.21419 contractawardsealedbidding construction. 52.21420 bid samples. 52.21421 descriptive literature. 52.21422',
29122:'evaluationofbidsformultipleawards. 52.21423 late submissions, modifications, revisions, and withdrawals of technical proposals undertwostep sealed bidding. 52.21424 multipletechnicalproposals. 52.21425 step two of',
29123:'twostep sealed bidding. 52.21426 audit and recordssealed bidding. 52.21427 price reduction for defective certified cost or pricing datamodificationssealed bidding. 52.21428',
29124:'subcontractor certified cost or pricing data modificationssealed bidding. 52.21429 order of precedencesealed bidding. 52.21430 [reserved] 52.21431 facsimile bids. 52.21432 [reserved]',
29125:'52.21433 [reserved] 52.21434 submissionofoffersintheenglish language. 52.21435 submissionofoffersinu.s. currency. 52.215 [reserved] 52.2151 instructions to offerorscompetitive acquisition. 52.2152 audit and recordsnegotiation. 52.2153',
29126:'request for information or solicitation for planning purposes. 52.2154 [reserved] 52.2155 facsimile proposals. 52.2156 place of performance. 52.2157 [reserved] 52.2158',
29127:'52.2159 52.21510 52.21511 52.21512 52.21513 52.21514 52.21515 52.21516 52.21517 52.21518 52.21519 52.21520 52.21521 52.21522 52.21523 52.216 52.2161 52.2162 52.2163 52.2164',
29128:'52.2165 52.2166 52.2167 52.2168 52.2169 52.21610 52.21611 52.21612 52.21613 52.21614 52.21615 52.21616 52.21617 52.21618 52.21619 52.21620 52.21621 52.21622 52.21623 52.21624',
29129:'52.21625 order of precedenceuniform contract format. changes or additions to makeorbuy program. price reduction for defective certified cost or pricing',
29130:'data. price reduction for defective certified cost or pricing datamodifications. subcontractor certified cost or pricing data. subcontractor certified cost or',
29131:'pricing data modifications. integrity of unit prices. pension adjustments and asset reversions. facilities capital cost of money. waiver of facilities',
29132:'capital cost of money. reversion or adjustment of plans for postretirement benefits prb other than pensions. notification of ownership changes.',
29133:'requirements for certified cost or pricing data and data other than certified cost or pricing data. requirements for certified cost',
29134:'or pricing data and data other than certified cost or pricing datamodifications. limitationson passthrough charges identification ofsubcontract effort. limitationson passthrough',
29135:'charges. [reserved] type ofcontract. economic price adjustmentstandard supplies. economic price adjustmentsemistandard supplies. economic price adjustmentlabor and material. price redeterminationprospective. price',
29136:'redeterminationretroactive. allowable cost and payment. fixed fee. fixed feeconstruction. incentive fee. cost contractno fee. costsharing contractno fee. [reserved] [reserved] predetermined',
29137:'indirect cost rates. incentiveprice revisionfirm target. incentiveprice revisionsuccessive targets. ordering. order limitations. definitequantity. requirements. indefinitequantity. execution andcommencement of work. limitation',
29138:'of governmentliability. contract definitization. 52.21626 payments of allowable costs before definitization. 52.21627 single or multiple awards. 52.21628 multipleawardsforadvisoryand assistance services.',
29139:'52.21629 timeandmaterials/laborhourproposal requirements—other than commercial acquisition with adequate price competition. 52.21630 timeandmaterials/laborhourproposal requirements—other than commercial acquisition without adequateprice competition. 52.21631',
29140:'timeandmaterials/laborhourproposal requirements—commercial acquisition. 52.21632 taskorder and deliveryorder ombudsman. 52.217 [reserved] 52.2171 [reserved] 52.2172 cancellation under multiyear contracts. 52.2173 evaluation exclusive',
29141:'of options. 52.2174 evaluationofoptionsexercisedattimeof contractaward. 52.2175 evaluation of options. 52.2176 option for increased quantity. 52.2177 option for increased quantityseparately priced',
29142:'line item. 52.2178 option to extend services. 52.2179 optiontoextendthetermofthecontract. 52.21710 reverse auction 52.21711 reverse auction—orders. 52.21712 reverse auction services. 52.218',
29143:'[reserved] 52.219 [reserved] 52.2191 small business program representations. 52.2192 equal low bids. 52.2193 notice of hubzone setaside or sole source',
29144:'award. 52.2194 notice of price evaluation preference for hubzone small business concerns. 52.2195 [reserved] 52.2196 noticeoftotalsmallbusinesssetaside. 52.2197 notice of partial',
29145:'small business setaside. 52.2198 utilization of small business concerns. 52.2199 small business subcontracting plan. 52.21910 incentive subcontracting program. 52.21911 special',
29146:'8a contract conditions. 52.21912 special 8a subcontract conditions. 52.21913 notice of setaside of orders. 52.21914 limitations on subcontracting. 52.21915 [reserved]',
29147:'52.21916 liquidated damagessubcontracting plan. 52.21917 section8aaward. 52.21918 notification of competition limited to eligible 8a participants. 52.21919 [reserved] 52.21920 [reserved] 52.21921',
29148:'[reserved] 524 52.21922 52.21923 52.21924 52.21925 52.21926 52.21927 52.21928 52.21929 52.21930 52.21931 52.21932 52.21933 52.220 52.221 52.222 52.2221 52.2222 52.2223',
29149:'52.2224 52.2225 52.2226 52.2227 52.2228 52.2229 52.22210 52.22211 52.22212 52.22213 52.22214 52.22215 52.22216 52.22217 52.22218 52.22219 52.22220 52.22221 52.22222 52.22223',
29150:'[reserved] [reserved] [reserved] [reserved] [reserved] notice of setaside for, or solesource award to, servicedisabledveteranowned small business sdvosb concerns eligible under',
29151:'the sdvosb program. postaward small business program rerepresentation. notice of setaside for, or solesource award to, economicallydisadvantaged womenowned small business',
29152:'concerns. notice of setaside for, or solesource award to, womenownedsmallbusiness concerns eligible under the womenowned small business program. notice of',
29153:'small business reserve. orders issued directly under small business reserves nonmanufacturer rule. [reserved] [reserved] [reserved] notice to the government of',
29154:'labor disputes. payment for overtime premiums. convictlabor. contractwork hours and safety standards overtime compensation. construction wage raterequirements secondary site of',
29155:'the work. construction wage raterequirements. withholdingof funds. payrolls and basic records. apprentices and trainees. compliance with copeland act requirements. subcontracts',
29156:'labor standards. contractterminationdebarment. compliance with construction wage rate requirements and related regulations. disputes concerning labor standards. certification of eligibility. approvalof',
29157:'wage rates. [reserved] certification regarding knowledge of child labor for listed end products. child laborcooperation with authorities and remedies. contracts',
29158:'for materials, supplies, articles, and equipment. prohibition of segregated facilities. previous contracts and compliance reports. notice of requirement for affirmative',
29159:'action to ensure equal employment opportunity for construction. 52.22224 preaward onsite equal opportunity compliance evaluation. 52.22225 affirmative action compliance. 52.22226',
29160:'equal opportunity. 52.22227 affirmative action compliance requirements for construction. 52.22228 [reserved] 52.22229 notification of visa denial. 52.22230 constructionwageraterequirementsprice adjustment none',
29161:'or separately specified method. 52.22231 constructionwageraterequirementsprice adjustment percentage method. 52.22232 constructionwageraterequirementsprice adjustment actual method. 52.22233 notice of requirement for project',
29162:'labor agreement. 52.22234 project labor agreement. 52.22235 equal opportunity for veterans. 52.22236 equal opportunity for workers with disabilities. 52.22237 employment',
29163:'reports on veterans. 52.22238 compliance with veterans’ employment reporting requirements. 52.22239 [reserved] 52.22240 notification of employee rights under the national',
29164:'labor relations act. 52.22241 service contract labor standards. 52.22242 statement of equivalent rates for federal hires. 52.22243 fair labor standards',
29165:'act and service contract labor standardsprice adjustment multiple yearand option contracts. 52.22244 fair labor standards act and service contract labor',
29166:'standardsprice adjustment. 52.22245 [reserved] 52.22246 evaluation of compensation for professional employees. 52.22247 [reserved] 52.22248 exemption from application of the service',
29167:'contract labor standards to contracts for maintenance, calibration, or repair of certain equipmentcertification. 52.22249 service contract labor standardsplace of performance',
29168:'unknown. 52.22250 combating trafficking in persons. 52.22251 exemption from application of the service contract labor standards to contracts for maintenance,',
29169:'calibration, or repair of certain equipmentrequirements. 52.22252 exemption from application of the service contract labor standards to contracts for certain',
29170:'servicescertification. 52.22253 exemption from application of the service contract labor standards to contracts for certain servicesrequirements. 52.22254 employment eligibility verification.',
29171:'52.22255 52.22256 52.22257 52.22258 52.22259 52.22260 52.22261 52.22262 52.223 52.2231 52.2232 52.2233 52.2234 52.2235 52.2236 52.2237 52.2238 52.2239 52.22310 52.22311',
29172:'52.22312 52.22313 52.22314 52.22315 52.22316 52.22317 52.22318 52.22319 52.22320 52.22321 52.22322 52.22323 52.224 52.2241 52.2242 52.2243 52.225 52.2251 52.2252 52.2253',
29173:'52.2254 minimum wages for contractorworkers under executive order 14026. certification regarding traffickingin persons compliance plan. [reserved]. [reserved]. [reserved]. [reserved]. [reserved].',
29174:'paid sick leave under executive order 13706. [reserved] biobased product certification. reporting of biobased products under service and construction contracts.',
29175:'hazardous material identification and material safety data. recovered material certification. pollution prevention and righttoknow information. [reserved] notice of radioactive materials.',
29176:'[reserved] estimate of percentage of recovered material content for epadesignated items. waste reduction program. ozonedepleting substances and highglobal warmingpotential hydrofluorocarbons.',
29177:'maintenance,service, repair, or disposal of refrigeration equipment and air conditioners. [reserved] [reserved] [reserved] [reserved] [reserved] [reserved] compliance with environmental management',
29178:'systems. aerosols. foams. public disclosure of greenhouse gas emissions and reduction goals representation. sustainable products and services. [reserved] privacy act',
29179:'notification. privacy act. privacy training. [reserved] buy americansupplies buy american certificate. buy americanfree trade agreements israeli trade act. buy americanfree',
29180:'trade agreements israeli trade act certificate. 52.2255 trade agreements. 52.2256 trade agreements certificate. 52.2257 waiver of buy american statute for',
29181:'civil aircraft and related articles. 52.2258 dutyfree entry. 52.2259 buy americanconstruction materials. 52.22510 notice of buy american requirement construction materials.',
29182:'52.22511 buy americanconstruction materials under trade agreements. 52.22512 notice of buy american requirement construction materials under trade agreements. 52.22513 restrictions',
29183:'on certain foreign purchases. 52.22514 inconsistencybetweenenglishversionand translation of contract. 52.22515 [reserved] 52.22516 [reserved] 52.22517 evaluationofforeigncurrencyoffers. 52.22518 place of manufacture. 52.22519',
29184:'contractor personnel in a designated operational area or supporting a diplomatic or consular mission outside the united states. 52.22520 prohibition',
29185:'on conducting restricted business operations in sudancertification. 52.22521 required use of american iron, steel, and manufactured goodsbuy american statute construction',
29186:'materials. 52.22522 notice of required use of american iron, steel, and manufactured goodsbuy american statuteconstruction materials. 52.22523 required use of',
29187:'american iron, steel, and manufactured goodsbuy american statuteconstruction materials undertrade agreements. 52.22524 notice of required use of american iron, steel,',
29188:'and manufactured goodsbuy american statuteconstruction materials under trade agreements. 52.22525 prohibition on contracting with entities engaging in certain activities or',
29189:'transactionsrelating to iran— representation and certifications. 52.22526 contractors performing private security functions outside the united states. 52.226 [reserved] 52.2261 utilizationofindianorganizationsand',
29190:'indianowned economic enterprises. 52.2262 historically black college or university and minority institution representation. 52.2263 disaster or emergency area representation. 52.2264',
29191:'noticeofdisasteroremergencyareaset aside. 52.2265 restrictions on subcontracting outside disaster or emergency area. 52.2266 52.2267 52.2268 52.227 52.2271 52.2272 52.2273 52.2274 52.2275',
29192:'52.2276 52.2277 52.2278 52.2279 52.22710 52.22711 52.22712 52.22713 52.22714 52.22715 52.22716 52.22717 52.22718 52.22719 52.22720 52.22721 52.22722 52.22723 52.228 52.2281',
29193:'52.2282 52.2283 52.2284 52.2285 52.2286 52.2287 52.2288 52.2289 52.22810 52.22811 52.22812 52.22813 52.22814 52.22815 promoting excess food donation to nonprofit',
29194:'organizations. drugfree workplace. encouraging contractor policiesto ban text messaging while driving. [reserved] authorization and consent. notice and assistance regarding patent',
29195:'and copyright infringement. patent indemnity. patent indemnityconstruction contracts. waiver of indemnity. royalty information. patentsnotice of government licensee. [reserved] refund of',
29196:'royalties. filing of patent applicationsclassified subjectmatter. patent rightsownership bythe contractor. [reserved] patent rightsownership by the government. rights in datageneral. representation',
29197:'of limited rights data and restricted computer software. additional data requirements. rights in dataspecialworks. rights in dataexisting works. commercial computer',
29198:'software license. rights in datasbir program. technical data declaration, revision,and withholdingof paymentmajor systems. major systemminimum rights. rights to proposal data',
29199:'technical. [reserved] bid guarantee. additional bond security. workers’ compensationinsurance defense base act. workers’ compensationand warhazard insurance overseas. insurancework ona government',
29200:'installation. [reserved] insuranceliability to third persons. liability and insuranceleased motor vehicles. cargo insurance. vehicular and general public liability insurance. individual',
29201:'surety—pledge of assets. prospective subcontractor requests for bonds. alternative payment protections. irrevocable letter of credit. performance and payment bonds construction.',
29202:'52.22816 performance and payment bondsother than construction. 52.22817 individual surety—pledge of assets bid guarantee. 52.229 [reserved] 52.2291 stateandlocaltaxes. 52.2292 north',
29203:'carolina state and local sales and use tax. 52.2293 federal, state, and local taxes. 52.2294 federal,state,andlocaltaxesstateand local adjustments. 52.2295 [reserved]',
29204:'52.2296 taxesforeign fixedprice contracts. 52.2297 taxesfixedprice contracts with foreign governments. 52.2298 taxesforeign costreimbursement contracts. 52.2299 taxescostreimbursement contracts with foreign governments.',
29205:'52.22910 state of new mexico gross receipts and compensating tax. 52.22911 taxoncertainforeignprocurements— notice and representation. 52.22912 taxoncertainforeignprocurements. 52.22913 taxes—foreign contracts',
29206:'in afghanistan. 52.22914 taxes—foreign contracts in afghanistan north atlantic treaty organization status of forces agreement. 52.230 [reserved] 52.2301 cost accounting',
29207:'standards notices and certification. 52.2302 cost accounting standards. 52.2303 disclosure and consistency of cost accounting practices. 52.2304 disclosure and consistency',
29208:'of cost accounting practicesforeign concerns. 52.2305 cost accounting standardseducational institution. 52.2306 administration of cost accounting standards. 52.2307 proposal disclosurecost accounting',
29209:'practice changes. 52.231 [reserved] 52.232 [reserved] 52.2321 payments. 52.2322 payments under fixedprice research and development contracts. 52.2323 payments under personal',
29210:'services contracts. 52.2324 payments under transportation contracts and transportationrelated services contracts. 52.2325 payments under fixedprice construction contracts. 52.2326 payment under',
29211:'communication service contracts with common carriers. 52.2327 payments under timeandmaterials and laborhour contracts. 52.2328 discounts for prompt payment. 52.2329 52.23210',
29212:'52.23211 52.23212 52.23213 52.23214 52.23215 52.23216 52.23217 52.23218 52.23219 52.23220 52.23221 52.23222 52.23223 52.23224 52.23225 52.23226 52.23227 52.23228 52.23229 52.23230',
29213:'52.23231 52.23232 52.23233 52.23234 52.23235 52.23236 52.23237 52.23238 52.23239 52.23240 52.233 52.2331 52.2332 52.2333 52.2334 52.234 52.2341 limitation on withholding',
29214:'of payments. payments under fixedprice architect engineer contracts. extras. advance payments. notice of progress payments. notice of availability of progress',
29215:'payments exclusively for small business concerns. progress payments not included. progress payments. interest. availability offunds. availability offunds for thenext fiscal',
29216:'year. limitation of cost. [reserved] limitation of funds. assignment of claims. prohibition of assignment of claims. prompt payment. prompt payment',
29217:'for fixedprice architect engineer contracts. prompt payment for construction contracts. invitation to propose performancebased payments. terms for financing of purchases',
29218:'of commercial products and commercial services. installment payments for commercial products and commercial services. invitationto propose financing terms. performancebased payments.',
29219:'payment by electronic funds transfer system for award management. payment by electronic funds transferother than system for award management. designation',
29220:'ofoffice for government receipt of electronic fundstransfer information. payment by third party. multiple payment arrangements. submission of electronic funds transfer',
29221:'information withoffer. unenforceability of unauthorized obligations. providing accelerated payments to small business subcontractors. [reserved] disputes. service of protest. protest after',
29222:'award. applicable law for breach of contract claim. [reserved] industrial resources developedundertitle iii, defense production act. fac 202501 november 12,',
29223:'2024 52.2342 noticeofearnedvaluemanagement systempreaward integrated baseline review. 52.2343 noticeofearnedvaluemanagement systempost award postaward integrated baseline review. 52.2344 earnedvaluemanagementsystem. 52.235 [reserved] 52.236',
29224:'[reserved] 52.2361 performanceofworkbythecontractor. 52.2362 differingsiteconditions. 52.2363 site investigation and conditions affecting thework. 52.2364 physical data. 52.2365 material and workmanship. 52.2366',
29225:'superintendence by the contractor. 52.2367 permits and responsibilities. 52.2368 other contracts. 52.2369 protection of existing vegetation, structures, equipment, utilities, and',
29226:'improvements. 52.23610 operations and storage areas. 52.23611 use and possession prior to completion. 52.23612 cleaning up. 52.23613 accident prevention. 52.23614',
29227:'availability and use of utility services. 52.23615 schedules for construction contracts. 52.23616 quantity surveys. 52.23617 layout of work. 52.23618 work',
29228:'oversight in costreimbursement construction contracts. 52.23619 organizationanddirectionofthework. 52.23620 [reserved] 52.23621 specifications and drawings for construction. 52.23622 designwithinfundinglimitations. 52.23623 responsibility of',
29229:'the architectengineer contractor. 52.23624 work oversight in architectengineer contracts. 52.23625 requirements for registration of designers. 52.23626 preconstruction conference. 52.23627 site',
29230:'visit construction. 52.23628 preparation of proposalsconstruction. 52.237 [reserved] 52.2371 site visit. 52.2372 protection of government buildings, equipment, and vegetation. 52.2373',
29231:'continuity of services. 52.2374 paymentbygovernmenttocontractor. 52.2375 payment by contractor to government. 52.2376 incremental payment by contractor to government. 52.2377 indemnification',
29232:'and medical liability insurance. 52.2378 restriction on severance payments to foreign nationals. 52.2379 52.23710 52.238 52.239 52.2391 52.240 52.2401 52.241',
29233:'52.2411 52.2412 52.2413 52.2414 52.2415 52.2416 52.2417 52.2418 52.2419 52.24110 52.24111 52.24112 52.24113 52.242 52.2421 52.2422 52.2423 52.2424 52.2425 52.2426',
29234:'52.2427 52.2428 52.2429 52.24210 52.24211 52.24212 52.24213 52.24214 52.24215 52.24216 52.24217 52.243 52.2431 52.2432 52.2433 52.2434 52.2435 52.2436 52.2437 52.244',
29235:'waiver of limitationon severancepayments to foreign nationals. identification of uncompensated overtime. [reserved] [reserved] privacy or security safeguards. [reserved] prohibition on',
29236:'unmanned aircraft systems manufactured or assembled by american security drone actcovered foreign entities. utility services provisions and clauses. electricservice territorycompliance',
29237:'representation. order of precedenceutilities. scope and duration of contract. change in class of service. contractor’sfacilities. service provisions. change in ratesor',
29238:'termsandconditions of service for regulated services. change in ratesor termsandconditions of service for unregulated services. connection charge. terminationliability. multiple service',
29239:'locations. nonrefundable, nonrecurring service charge. capital credits. [reserved] notice of intent to disallow costs. production progress reports. penalties for unallowable',
29240:'costs. certification of final indirect costs. payments to small business subcontractors. [reserved] [reserved] [reserved] [reserved] [reserved] [reserved] [reserved] bankruptcy. suspension',
29241:'of work. stopwork order. [reserved] government delay of work. [reserved] changesfixedprice. changescostreimbursement. changestimeandmaterials or labor hours. changes. changes and changed',
29242:'conditions. change order accounting. notification of changes. [reserved] fac 202501 november 12, 2024 52.2441 [reserved] 52.2442 subcontracts. 52.2443 [reserved] 52.2444',
29243:'subcontractors and outside associates and consultants architectengineer services. 52.2445 competition in subcontracting. 52.2446 subcontracts for commercial products and commercial services.',
29244:'52.245 [reserved] 52.2451 government property. 52.2452 government property installation operation services. 52.2453 [reserved] 52.2454 [reserved] 52.2455 [reserved] 52.2456 [reserved] 52.2457',
29245:'[reserved] 52.2458 [reserved] 52.2459 useandcharges. 52.246 [reserved] 52.2461 contractor inspection requirements. 52.2462 inspection of suppliesfixedprice. 52.2463 inspection of suppliescostreimbursement. 52.2464',
29246:'inspection of servicesfixedprice. 52.2465 inspection of servicescostreimbursement. 52.2466 inspectiontimeandmaterial and labor hour. 52.2467 inspection of research and development fixedprice. 52.2468',
29247:'inspection of research and developmentcost reimbursement. 52.2469 inspection of research and development short form. 52.24610 [reserved] 52.24611 higherlevel contract quality',
29248:'requirement. 52.24612 inspection of construction. 52.24613 inspectiondismantling, demolition, or removal of improvements. 52.24614 inspection of transportation. 52.24615 certificate of conformance.',
29249:'52.24616 responsibility for supplies. 52.24617 warrantyofsuppliesofanoncomplex nature. 52.24618 warrantyofsuppliesofacomplexnature. 52.24619 warrantyofsystemsandequipmentunder performance specifications or design criteria. 52.24620 warrantyofservices. 52.24621 warrantyofconstruction.',
29250:'52.24622 [reserved] 52.24623 limitation of liability. 52.24624 limitation of liabilityhighvalue items. 52.24625 limitation of liabilityservices. 52.24626 reporting nonconforming items. 52.247',
29251:'[reserved] 52.2471 commercial bill of lading notations. 52.2472 permits, authorities, or franchises. 52.2473 52.2474 52.2475 52.2476 52.2477 52.2478 52.2479 52.24710',
29252:'52.24711 52.24712 52.24713 52.24714 52.24715 52.24716 52.24717 52.24718 52.24719 52.24720 52.24721 52.24722 52.24723 52.24724 52.24725 52.24726 52.24727 52.24728 52.24729 52.24730',
29253:'52.24731 52.24732 52.24733 52.24734 52.24735 52.24736 52.24737 52.24738 52.24739 52.24740 52.24741 52.24742 52.24743 capability to perform a contract for the',
29254:'relocation of a federal office. inspection of shipping and receiving facilities. familiarization with conditions. financial statement. freight excluded. estimated weights',
29255:'orquantities not guaranteed. agreed weightgeneral freight. net weightgeneral freight. net weighthousehold goods oroffice furniture. supervision, labor, or materials. accessorial servicesmoving',
29256:'contracts. contractor responsibility for receipt of shipment. contractor responsibility for loading and unloading. contractor responsibility for returning undelivered freight. charges.',
29257:'multiple shipments. stopping in transit for partial unloading. estimated quantitiesor weights for evaluationof offers. contractor liability for personal injury and/',
29258:'or property damage. contractor liability for loss of and/or damage to freight other than household goods. contractor liability for loss',
29259:'of and/or damage to household goods. advance notification by the government. governmentfurnished equipment with or without operators. government direction and',
29260:'marking. contractnot affected by oral agreement. contractor’sinvoices. f.o.b. origin. f.o.b. origin,contractor’s facility. f.o.b. origin,freight allowed. f.o.b. origin,freight prepaid. f.o.b. origin,with',
29261:'differentials. f.o.b. destination. f.o.b. destination, withinconsignee’s premises. f.a.s. vessel, portof shipment. f.o.b. vessel, portof shipment. f.o.b. inland carrier, point of',
29262:'exportation. f.o.b. inland point,country ofimportation. ex dock,pier, or warehouse, port of importation. c.& f. destination. c.i.f. destination. f.o.b. designated aircarrier’s',
29263:'terminal, point of exportation. 52.24744 f.o.b. designated air carrier’s terminal, 52.2494 termination for convenience of the point of importation. government',
29264:'services short form. 52.24745 f.o.b. origin and/or f.o.b. destination 52.2495 termination for convenience of the evaluation. government educational and other',
29265:'52.24746 shipping points used in evaluation of nonprofit institutions. f.o.b. origin offers. 52.2496 termination costreimbursement. 52.24747 evaluationf.o.b. origin. 52.2497 termination',
29266:'fixedprice architect52.247 48 f.o.b. destinationevidence of shipment. engineer. 52.24749 destination unknown. 52.2498 default fixedprice supply and service. 52.24750 no evaluation',
29267:'of transportation costs. 52.2499 default fixedprice research and 52.24751 evaluation of export offers. development. 52.24752 clearance and documentation requirements52.249 10',
29268:'default fixedprice construction. shipments to dod air or water terminal 52.24911 [reserved] transshipment points. 52.24912 termination personal services. 52.24753 freight',
29269:'classification description. 52.24913 [reserved] 52.24754 [reserved] 52.24914 excusable delays. 52.24755 f.o.b. point for delivery of government52.250 [reserved] furnished property. 52.2501',
29270:'indemnification under public law85804. 52.24756 transit arrangements. 52.2502 safety act coverage not applicable. 52.24757 transportation transit privilege credits. 52.2503 safety',
29271:'act block designation/ 52.24758 loading, blocking, and bracing of freight certification. car shipments. 52.2504 safety act prequalification designation 52.24759 f.o.b.',
29272:'origincarload and truckload notice. shipments. 52.2505 safety actequitable adjustment. 52.24760 guaranteed shipping characteristics. 52.251 [reserved] 52.24761 f.o.b. originminimum size of',
29273:'shipments. 52.2511 government supply sources. 52.24762 specific quantities unknown. 52.2512 interagency fleet management system 52.24763 preference for u.s.flag air carriers.',
29274:'vehicles and related services. 52.24764 preference for privately owned u.s.flag 52.252 [reserved] commercial vessels. 52.2521 solicitation provisions incorporated by 52.24765',
29275:'f.o.b. origin, prepaid freightsmall package reference. shipments. 52.2522 clauses incorporated by reference. 52.24766 returnable cylinders. 52.2523 alterations in solicitation. 52.24767',
29276:'submission of transportation documents for 52.2524 alterations in contract. audit. 52.2525 authorized deviations in provisions. 52.24768 report of shipment repship.',
29277:'52.2526 authorized deviations in clauses. 52.248 [reserved] 52.253 [reserved] 52.2481 value engineering. 52.2531 computer generated forms. 52.2482 value engineeringarchitectengineer. 52.2483',
29278:'value engineeringconstruction. subpart 52.3 provision and clause matrix 52.249 [reserved] 52.300 scope of subpart. 52.2491 termination for convenience of the',
29279:'52.301 solicitation provisions and contract clauses government fixedprice short form. matrix. 52.2492 termination for convenience of the 52.3011 far matrix',
29280:'government fixedprice. 52.3012 matrix notes 52.2493 termination for convenience of the government dismantling, demolition, or removal of improvements. subpart 52.1',
29281:'instructions for using provisions and clauses 52.101 52.000scope of part. this part a gives instructions for using provisions and clauses',
29282:'in solicitations and/or contracts; b sets forth the solicitation provisions and contract clauses prescribed by this regulation; and c presents',
29283:'a matrixlisting the farprovisionsandclauses applicableto each principal contract type and/orpurpose e.g., fixedprice supply,costreimbursementresearch and development. subpart 52.1 instructions for using',
29284:'provisions and clauses 52.100scope of subpart. this subpart a gives instructions for using part 52, including the explanation and use',
29285:'of provision and clause numbers, prescriptions, prefaces, and the matrix; b prescribes procedures for incorporating, identifying, and modifying provisions and',
29286:'clauses in solicitations and contracts, and for using alternates; and c describes the derivation offar provisions and clauses. 52.101using part',
29287:'52. a definition. modification, as used in this subpart, means a minor change in the details of a provision or',
29288:'clause that is specifically authorizedby the far and doesnot alter the substance ofthe provisionor clausesee 52.104. b numbering— 1 far',
29289:'provisions and clauses. subpart 52.2setsforththetextofallfarprovisionsandclauses,each in its own separate subsection. the subpart isarranged by subject matter, in the same order',
29290:'as, and keyedto, the parts of the far. each far provision or clause is uniquelyidentified. all far provision andclause numbers',
29291:'begin with 52.2, since thetextofallfarprovisionsandclausesappearin subpart 52.2. the next two digits of the provision or clause number correspond tothe number',
29292:'ofthe far subject partin whichthe provisionor clauseis prescribed. thefar provision or clause number is then completed by a hyphen and',
29293:'a sequential number assigned within each section of subpart 52.2. the following example illustrates the makeup of the farprovision or',
29294:'clause number see figure 1 below. 2 provisionsorclausesthatsupplementthefar. iprovisionsorclausesthatsupplementthefarare a prescribed and included in authorized agency acquisition regulations issued within',
29295:'an agency to satisfy the specific needs of the agency as a whole; b prescribed and included in a regulation',
29296:'issued bya suborganizationof an agency to satisfythe needs of that particular suborganization; or c developed for use at a suborganizational',
29297:'levelof an agency, notmeant for repetitive use, butintended to meet theneeds of an individual acquisition and, thus,impracticalto include ineither an',
29298:'agency or suborganization acquisition regulation. see 1.301c. ii supplemental provisions or clauses published in agency acquisition regulations shall be in',
29299:'full text and the prescription for the use of each shall be included. supplemental provisions or clauses published in agency',
29300:'acquisition regulations shall be numbered in the same mannerin which far provisions and clauses are numberedexceptthat a if it is',
29301:'included in an agency acquisition regulation that is published in the federal register and is codified in title48, code of',
29302:'federal regulations 48 cfr, the number shall be preceded by the chapter number within 48 cfr assigned by the cfrstaff;',
29303:'and b the sequential number shall be 70 or a higher number see 1.303. federal acquisition regulation iii the sequential',
29304:'number at the end of thenumber of a provision orclause that supplements thefar, likeits counterpart at the end of any',
29305:'far provision or clause number, indicates the subsection location of the provision orclause in subpart 52.2 of the agency acquisition',
29306:'regulation that contains its full text. if, for example, an agency acquisition regulation contains only one provision followed by only',
29307:'one clausesupplementing the far in its section 52.236 construction and architectengineer contracts, then the sequential numbers would be 70 for',
29308:'the provision and 71 for the clause. c prescriptions. each provision or clause in subpart 52.2isprescribedatthatplaceinthefartextwherethesubject matter of the provision',
29309:'or clause receives its primary treatment. the prescription includes all conditions, requirements, and instructions for using the provision or clause',
29310:'and its alternates, if any. the provision or clause may be referredto in other far locations. d introductory text. within',
29311:'subpart 52.2, the introductory text of each provision or clause includes a crossreference to thelocationin thefar subject text that prescribes',
29312:'its use. e matrix. 1 the matrix in subpart 52.3 contains a column for each principal type and/or purpose of',
29313:'contract e.g., fixedprice supply,costreimbursement research and development. thematrixliststhe i required solicitation provisions; ii requiredwhenapplicable solicitation provisions; iii optional solicitation provisions;',
29314:'iv required contract clauses; v requiredwhenapplicable contract clauses; and vi optional contract clauses. 2 for each provision or clause listed,',
29315:'the matrix provides information on i whether incorporation by reference is or is not authorized see 52.102; ii the section',
29316:'of the uniform contract format ucf in which it is to be located, if it is used in an acquisition',
29317:'that is subject to the ucf; iii its number; iv the citation of thefar text that prescribes its use; and',
29318:'v its title. 3 since the matrix does not provide sufficient information todetermine the applicability of a provision or clause',
29319:'inthe requiredwhenapplicable and optional categories, contracting officers shall refer to the far text cited in the matrix that prescribes its',
29320:'use. 4 the far matrix may be reproduced at agencylevels, and at subordinatelevels, for the purpose ofsupplementing it with agencydeveloped',
29321:'provisions and clauses. the resulting consolidated matrices may be included in agency acquisition regulations. f dates. since they are subject',
29322:'to revision from time to time, all provisions, clauses, and alternates are dated; e.g.,dec 1983. to avoid questions concerning which',
29323:'version of any provision, clause, or alternate is operative in any given solicitation or contract, its date shall be included',
29324:'whether it is incorporated by reference or in full text. 52.102 incorporatingprovisionsand clauses. a provisions and clauses should be incorporated',
29325:'by reference to the maximum practical extent, rather than being incorporated in full text, even if they 1 are used',
29326:'with one or more alternates or on an optional basis; 2 are prescribed on a substantially as follows or substantially',
29327:'the same as basis, provided they are used verbatim; 3 require modification or the insertion by the government of fillin',
29328:'material see 52.104; or 4 require completion by the offeror or prospective contractor. this instruction also appliesto provisions completedas annual',
29329:'representations and certifications. b except for provisions and clauses prescribed in 52.107, any provision or clause that can be accessed',
29330:'electronically by the offeror orprospective contractor maybe incorporatedby reference in solicitations and/or contracts. however, the contracting officer, uponrequest,shallprovide the full',
29331:'text ofany provision or clause incorporated by reference. c agency approved provisions and clauses prescribed in agency acquisition regulations, and',
29332:'provisions and clauses not authorized by subpart 52.3 to be incorporated by reference, need not be incorporated in full text,',
29333:'provided the contracting officer includesin thesolicitation and contract a statementthat 1 identifies all provisions and clauses that requirecompletion by theofferor',
29334:'or prospective contractor; 2 specifies thatthe provisions and clauses must be completed by theofferor or prospective contractor and must be',
29335:'submitted with thequotation or offer; and subpart 52.1 instructions for using provisions and clauses 52.104 3 identifies to the offeror',
29336:'or prospective contractor at least one electronic addresswhere the full text maybe accessed. d an agency may develop a group',
29337:'listing of provisions and clauses that apply to a specific category of contracts. an agency group listing may be incorporated',
29338:'by reference in solicitations and/or contracts in lieu of citing the provisions and clauses individually, provided the grouplistingis made available',
29339:'electronicallyto offerors and prospective contractors. e a provision or clause that is not available electronically to offerors and prospective contractorsshallbe',
29340:'incorporatedin solicitations and/or contracts in full text if it is 1 a far provision orclause that otherwise is not authorized',
29341:'to be incorporated by reference see sub part 52.3; or 2 a provision or clause prescribed for use in an',
29342:'agency acquisition regulation. f provisions or clauses may not be incorporated by reference by being listed in the 1 provision',
29343:'at 52.2523, alterations in solicitations; or 2 clause at 52.2524, alterations in contract. 52.103 identification of provisions and clauses. a',
29344:'whenever any far provisionor clauseis used withoutdeviation in asolicitation or contract, whether it is incorporated by referenceor in full text,',
29345:'it shall be identified bynumber, title, and date. this identification shall also be used if the far provisionor clauseis used',
29346:'with an authorized deviation, except that the contractingofficer shall then insert deviation after the date. solicited firms and contractors will',
29347:'be advised of the meaning of this insertion through the use of the 1 provision at 52.2525, authorized deviations in',
29348:'provisions, or 2 clause at 52.2526, authorized deviations in clauses. the above mentioned provision and clause are prescribed in 52.107e',
29349:'and f. b any provision or clause thatsupplementsthe far whether it is incorporated by reference or in full text shall',
29350:'be clearly identified by number, title, date, and name ofthe regulation. when asupplemental provision or clause is usedwith an authorized',
29351:'deviation, insert deviation after the name of the regulation. c a provision or clause of the type described in 52.101b2ic',
29352:'shall be identified by the title, date, and the name of theagency or suborganizationwithin the agency that developed it. d',
29353:'except for provisions or clauses covered by 52.103c, the following hypothetical examples illustrate how a provision or clause that supplements',
29354:'the far shall be identified when it is incorporated in solicitations and/or contracts by reference or in full text: 1',
29355:'if part 14 sealed bidding of the x agency acquisition regulation, published in the federal register and codified as chapter',
29356:'99 in 48 cfr, prescribes the use of a provision entitled bid envelopes, dated october 1983, and that provision is',
29357:'sequentially the first provision or clause appearing in section 52.214 of the x agency acquisition regulation, then the identification of',
29358:'that provision shall be 9952.21470bid envelopes oct 1983. 2 assume that y, a major organizational element ofthe x agency, is',
29359:'authorized toissue the y acquisition regulation, which is not published in the federal register and codified in 48 cfr. if',
29360:'part 36 construction and architect engineer contracts of the y acquisition regulation prescribes the use of a clause entitled refrigerated',
29361:'display cases, dated march 1983, pertaining to a specialized type of construction work, and that clause is sequentially the second',
29362:'provision or clause appearing in section 52.236 of the y acquisition regulation, then the identification of that clause shall be',
29363:'52.23671refrigerated display cases mar 1983y acquisition regulation. 52.104 procedures for modifying and completing provisions and clauses. a thecontracting officer must',
29364:'not modify provisions and clausesunlessthe far authorizes their modification. for example 1 the contractingofficer may use aperiod shorter than 60days',
29365:'but not less than 30 daysin paragraph x of the clause; or 2 the contractingofficer may substitute the words ‘taskorder’',
29366:'for the word ‘schedule’ whereverthat word appears in the clause. b when modifying provisions or clauses incorporated by reference, insert',
29367:'the changed wording directly below the title of the provision or clause identifying to the lowest level necessary e.g., paragraph,',
29368:'sentence, word, to clearly indicate what is being modified. c when modifying provisions or clauses incorporated in full text, modify',
29369:'the language directly by substituting the changed wording as permitted. d when completing blanks in provisions or clauses incorporated by',
29370:'reference, insert the fillin information directly below the title of the provision or clause identifying to the lowest level necessary',
29371:'to clearly indicate the blanks being filled in. federal acquisition regulation e when completing blanks in provisions or clauses incorporated',
29372:'in full text, insert the fillin information in the blanks of the provision or clause. 52.105 procedures for using alternates.',
29373:'a thefar accommodates a major variation in a provision or clause by use of analternate. the farprescribes alternates to a',
29374:'given provision orclause in the far subject text wherethe provisionor clauseis prescribed. thealternates to each provision or clause are titled',
29375:'alternate i, alternate ii, alternate iii, etc. b when an alternate is used, its date shall be cited along with',
29376:'the date of the basic provision or clause; e.g., 52.2093 first article approvalcontractor testing oct 1983alternate i dec 1983. c',
29377:'under certain circumstances, a provision or clause may be used with two or more alternates. in these circumstances, each of',
29378:'the applicable alternates shall be cited, whether incorporated by reference or in full text; e.g., 52.2093 first article approvalcontractor testing',
29379:'oct 1983alternate i dec 1983 and alternate ii feb 1984. however, under no circumstances may an alternate to a specific',
29380:'provision or clause be applied to any other provision or clause. 52.106[reserved] 52.107 provisionsand clauses prescribed in subpart52.1. a thecontracting',
29381:'officer shall insert the provision at 52.2521, solicitation provisions incorporated by reference, in solicitations in order to incorporate provisions by',
29382:'reference. b the contractingofficer shall insertthe clause at 52.2522, clauses incorporated by reference, in solicitations and contracts in order to',
29383:'incorporate clauses by reference. c thecontracting officer shall insert the provision at 52.2523, alterations in solicitation, in solicitations in order',
29384:'to revise or supplement, asnecessary,other parts of the solicitation that apply to the solicitationphase only, except for any provision authorized',
29385:'for use with a deviation. d the contractingofficer shall insertthe clause at 52.2524, alterations in contract, in solicitations and contracts',
29386:'in order to revise orsupplement, as necessary, other parts of the contract, or parts of the solicitations that apply to',
29387:'the contract phase, except for any clause authorized for use with a deviation. e thecontracting officer shall insert the provision',
29388:'at 52.2525, authorized deviations in provisions, in solicitations that include any far or supplementalprovision with an authorizeddeviation. whenever any faror',
29389:'supplementalprovision is used with an authorized deviation, the contractingofficer shall identify it bythe same number, title,and date assigned to the',
29390:'provision when it is used without deviation, include regulation name for any supplemental provision, except that the contracting officershallinsert deviation',
29391:'after the dateof the provision. f the contracting officer shall insertthe clause at 52.2526, authorized deviations in clauses, in solicitations',
29392:'and contracts that include any faror supplemental clause with an authorizeddeviation. whenever any far or supplemental clause is used withan',
29393:'authorized deviation,the contracting officer shall identify it by the same number, title, and date assigned to the clause when it',
29394:'is used without deviation, include regulation name for any supplemental clause, except that the contracting officershallinsert deviation after the dateof',
29395:'the clause. subpart 52.2 text of provisions and clauses 52.2011 subpart 52.2 text of provisions and clauses 52.200scope of subpart.',
29396:'this subpart setsforth the text of allfar provisions and clauses see 52.101b1 and gives a crossreference to the location inthe',
29397:'far that prescribes the provision or clause. 52.201[reserved] 52.2011acquisition360: voluntary survey. as prescribed in 1.1023b, insert the following provision: acquisition',
29398:'360: voluntary survey sep 2023 a allactual and potential offerors are encouraged toprovide feedback on the preaward and debriefing processes,',
29399:'as applicable. feedback may be provided to agencies up to 45 days after award. the feedback is anonymous, unless the',
29400:'participant selfidentifies in the survey. actual and potential offerors can participate in the survey by selecting the following link: https://www.acquisition.gov/360.',
29401:'b the contracting officer will not review the information provided until after contractaward and will not consider it in the',
29402:'award decision. the survey is voluntary and does not convey any protections, rights, or grounds for protest. it creates a',
29403:'way for actual and potential offerors toprovide the government constructive feedback about thepreaward and debriefing processes, as applicable, used for',
29404:'a specific acquisition. end of provision this page intentionally left blank. 52.22 subpart 52.2 text of provisions and clauses 52.2021',
29405:'52.202[reserved] 52.2021 definitions. as prescribed in 2.201, insert the following clause: definitions jun 2020 when a solicitation provision or contract',
29406:'clause uses a word or term that is defined in the federal acquisition regulation far, theword or term has thesame',
29407:'meaning as thedefinition in far 2.101 in effect at the time the solicitation was issued, unless a thesolicitation, or amendedsolicitation,',
29408:'provides a different definition; b the contractingparties agree to adifferentdefinition; c thepart, subpart,or section ofthe far where theprovision or clause',
29409:'is prescribed providesa different meaning; dthewordortermisdefinedinfar part 31, for use in the cost principles and procedures; or e the word',
29410:'or term defines an acquisitionrelated threshold, and if the threshold is adjusted for inflation as set forth in far 1.109a,',
29411:'then the changed threshold applies throughout the remaining term of the contract, unless there is a subsequent threshold adjustment; see',
29412:'far 1.109d. end of clause this page intentionally left blank. 52.24 subpart 52.2 text of provisions and clauses 52.2033 52.203[reserved]',
29413:'52.2031 [reserved] 52.2032 certificate of independent price determination. as prescribed in 3.1031, insert the following provision. if the solicitation is',
29414:'a request for quotations, the terms quotation and quoter may be substituted for offer and offeror. certificate of independent price',
29415:'determination apr 1985 a theofferor certifies that 1 the prices inthisoffer have been arrived at independently, without, for the purpose',
29416:'ofrestricting competition, any consultation, communication, or agreement with any other offeror orcompetitor relating to i those prices; iithe intentionto submit',
29417:'an offer; or iii the methods or factorsused tocalculate the prices offered. 2 the prices inthisoffer have not been and',
29418:'will notbe knowingly disclosed by theofferor,directlyor indirectly, to any other offeror or competitor before bid opening inthe case of a',
29419:'sealed bid solicitation or contractaward in thecaseof a negotiated solicitation unless otherwise required by law; and 3 no attempt has',
29420:'been made or willbe made by the offeror to induceany otherconcern tosubmit or notto submitan offer for the purpose ofrestricting',
29421:'competition. b each signature on the offer is considered tobe a certification bythe signatory that the signatory 1 is thepersonin',
29422:'theofferor’s organization responsible for determining the pricesbeing offered in this bid or proposal, and that the signatory has not participated',
29423:'and will not participate in any action contrary to paragraphs a1 through a3 of this provision; or 2 i has',
29424:'been authorized, in writing, to act as agent for the following principals in certifying that those principals have not participated,',
29425:'and will not participate in any action contrary to paragraphs a1 through a3 of this provision [insert full name of',
29426:'persons in the offeror’s organization responsible for determining the prices offered in this bid or proposal, and the title of',
29427:'his or her position in the offeror’s organization]; ii as an authorized agent, does certify that the principals named in',
29428:'subdivision b2i of this provision have not participated, and will not participate, in any action contrary to paragraphs a1 through',
29429:'a3 of this provision; and iii as an agent, has not personally participated, and will not participate, in any action',
29430:'contrary to paragraphs a1 through a3 of this provision. c if the offeror deletesor modifies subparagrapha2 above, the offerormust furnish',
29431:'with its offera signedstatement setting forth in detail the circumstances of the disclosure. end of provision 52.2033 gratuities. as prescribed',
29432:'in 3.202, insert the following clause: gratuities apr 1984 a the right of the contractor to proceed may be terminated',
29433:'by written notice if, after notice and hearing, the agency head or a designee determines that the contractor,its agent, or',
29434:'another representative 1 offered orgavea gratuity e.g., an entertainmentor gift toan officer,official, or employee of the government;and 2 intended, by',
29435:'the gratuity, toobtaina contract or favorabletreatmentunder a contract. b the facts supporting this determination may be reviewed by any court',
29436:'having lawful jurisdiction. c if this contract is terminated under paragraph a of this clause, the government is entitled 1',
29437:'to pursuethe same remedies as in a breach ofthe contract; and 2 in addition toany otherdamages providedby law, to exemplary',
29438:'damages of notless than 3 nor more than 10 times the cost incurred by the contractor in giving gratuities to',
29439:'the person concerned, as determined by the agency head or a designee. this paragraph c2 is applicable only if this',
29440:'contract uses money appropriated to the department of defense. 52.2034 federal acquisition regulation d the rights and remedies of the',
29441:'government provided in this clause shall not be exclusive and are in addition to any other rights and remedies provided',
29442:'by law or under this contract. end of clause 52.2034 [reserved] 52.2035 covenant against contingent fees. as prescribed in 3.404,',
29443:'insert the following clause: covenant against contingent fees may 2014 a the contractor warrants that no person or agency has',
29444:'been employed or retained to solicit or obtain this contract upon anagreement or understanding for acontingent fee, except a bonafide',
29445:'employee oragency. for breach or violation of this warranty, the government shall have the rightto annul this contract without liability',
29446:'or, to deduct fromthe contract price or consideration, orotherwise recover, the full amount of the contingent fee. b bona fide',
29447:'agency, as used in this clause, means an establishedcommercial or selling agency, maintained by a contractor for the purpose of',
29448:'securing business, that neither exerts nor proposes to exert improper influence to solicit or obtain government contracts nor holds itself',
29449:'out as being able to obtain any government contract or contracts through improper influence. bona fide employee, as used inthisclause,',
29450:'means a person, employed bya contractorandsubject to the contractor’s supervision and control as to time, place, and manner of performance,',
29451:'who neither exerts nor proposes to exert improper influence to solicit or obtain government contracts nor holds out as being',
29452:'able to obtain any government contract or contracts through improper influence. contingent fee, as used in this clause, means any',
29453:'commission, percentage, brokerage, or other fee that is contingent upon the success that a person or concern has in securing',
29454:'a government contract. improper influence, as used in this clause, means any influence that induces or tends to induce a',
29455:'government employee or officer to give consideration orto act regarding agovernment contracton any basis other than the meritsof the matter.',
29456:'end of clause 52.2036 restrictions on subcontractor sales to the government. as prescribed in 3.5032, insert the following clause: restrictions',
29457:'on subcontractor sales to the government jun 2020 a except as provided in b of this clause, the contractor shall',
29458:'not enter into any agreement with an actual or prospective subcontractor,norotherwise act in any manner, which hasor may have theeffect',
29459:'of restricting sales by such subcontractors directly to the government of any item or process including computer software made or',
29460:'furnished by the subcontractor under this contract or under any followon production contract. b the prohibition in a of this',
29461:'clause does not preclude the contractor from asserting rights that are otherwise authorized by law or regulation. c the contractor',
29462:'agrees to incorporate the substance of this clause, including this paragraph c, in all subcontracts under this contract which exceed',
29463:'the simplified acquisition threshold, as defined in federal acquisition regulation 2.101 on the date of subcontract award. end of clause',
29464:'alternate i nov 2021. as prescribed in 3.5032, substitute the following paragraph in place of paragraph b of the basic',
29465:'clause: b the prohibition in paragraph a of this clause does not preclude the contractor from asserting rights that are',
29466:'otherwise authorized by law or regulation. for acquisitions of commercial products or commercial services. the prohibition in paragraph a applies',
29467:'only to the extent that any agreement restricting sales by subcontractors results in the federal subpart 52.2 text of provisions',
29468:'and clauses 52.2038 government being treated differently fromany otherprospective purchaser for the sale ofthe commercial products and commercial services. 52.2037antikickback',
29469:'procedures. as prescribed in 3.5023, insert the following clause: antikickback procedures jun 2020 a definitions. kickback, asused inthis clause, means',
29470:'any money, fee, commission, credit, gift,gratuity, thing of value, or compensation of any kind which is provided toanyprimecontractor, prime contractor',
29471:'employee, subcontractor,or subcontractor employee for the purpose of improperly obtaining or rewarding favorable treatment in connection with a prime contract',
29472:'or in connection with a subcontract relating to a prime contract. person, as used in this clause, means a corporation,',
29473:'partnership, business association of any kind, trust, jointstock company, or individual. prime contract, as used in this clause, means a',
29474:'contract or contractual action entered into by the united states for the purpose of obtaining supplies, materials, equipment, or services',
29475:'of any kind. prime contractor as used in this clause, means a person who has entered into a prime contract',
29476:'with the united states. prime contractor employee, as used in thisclause, meansany officer, partner, employee, or agent of a prime',
29477:'contractor. subcontract, as used in this clause, means a contract or contractual action entered into by a prime contractor or',
29478:'subcontractor for the purpose of obtaining supplies, materials, equipment, or services of any kind under a prime contract. subcontractor, as',
29479:'used inthisclause, 1 means any person,other thanthe prime contractor, who offers to furnish or furnishes any supplies, materials, equipment, or',
29480:'services of any kind under a prime contract or a subcontract entered into in connection with suchprimecontract, and 2 includesanypersonwho',
29481:'offers to furnish or furnishes general supplies to the prime contractor or a highertier subcontractor. subcontractor employee, asused inthis clause,',
29482:'means any officer,partner,employee, or agent of a subcontractor. b 41 u.s.c. chapter 87, kickbacks, prohibits any person from 1 providingor',
29483:'attemptingto provide oroffering to provide any kickback; 2 soliciting, accepting, or attempting to accept any kickback; or 3 including, directly',
29484:'or indirectly, the amountof any kickback in the contract price charged by a prime contractor to theunited statesor in the',
29485:'contract price charged by a subcontractor to a prime contractor or higher tier subcontractor. c 1 the contractor shall have',
29486:'in place and follow reasonable procedures designed to prevent and detect possible violations described in paragraph b of this clause',
29487:'in its own operations and direct business relationships. 2 when the contractor has reasonable grounds to believe that a violation',
29488:'described in paragraph b of this clause may have occurred, the contractor shall promptly report in writing the possible violation.',
29489:'such reports shall be made to theinspectorgeneral ofthe contracting agency, the head of the contracting agencyif the agency does not',
29490:'have an inspector general, or the attorney general. 3 the contractor shall cooperate fully with any federal agency investigating a',
29491:'possible violation described in paragraph b of this clause. 4 the contracting officer may i offset the amount of the',
29492:'kickbackagainst any moniesowed by the united states under the prime contract and/or ii direct that the prime contractor withhold from',
29493:'sums owed a subcontractor under the prime contract the amount of the kickback. the contracting officer may order that monies',
29494:'withheldunder subdivision c4 iiof this clause be paid over to the government unless the government has already offset those monies',
29495:'under subdivision c4i of this clause. in eithercase, the primecontractor shall notify thecontracting officer when the monies arewithheld. 5 the',
29496:'contractor agrees to incorporate the substance of this clause, including this paragraph c5 but excepting paragraph c1 of this clause,',
29497:'in all subcontracts under this contract that exceed the threshold specified in federal acquisition regulation 3.5022i on the date of',
29498:'subcontract award. end of clause 52.2038cancellation, rescission, and recovery of funds for illegal or improper activity. as prescribed in 3.1049a,',
29499:'insert the following clause: 52.2039 federal acquisition regulation cancellation, rescission, and recovery of funds for illegal or improper activity may',
29500:'2014 a if the government receives information that a contractor or a person has violated 41 u.s.c. 21022104, restrictions on',
29501:'obtaining and disclosing certain information, the government may 1 cancel the solicitation, if the contract has not yet been awarded',
29502:'or issued; or 2 rescind the contract with respect to which ithe contractoror someone acting for the contractor has been',
29503:'convicted for an offense wherethe conduct violates 41 u.s.c.2102 for the purpose of either a exchanging the information covered by',
29504:'such subsections for anything of value; or b obtaining or giving anyone a competitive advantage in the award of a',
29505:'federal agency procurement contract; or ii the head of the contracting activity has determined, based upon a preponderance of the',
29506:'evidence, that the contractor or someone acting for the contractor has engaged in conduct punishable under 41 u.s.c. 2105a. b',
29507:'if the government rescinds the contract underparagraph aof this clause, the government is entitled to recover, in addition to any',
29508:'penalty prescribed by law,the amountexpendedunder thecontract. c the rights and remedies of the government specified herein are not exclusive, and',
29509:'are in addition to any other rights and remedies provided bylaw, regulation, or under this contract. end of clause 52.2039',
29510:'[reserved] 52.20310 price or feeadjustmentfor illegalor improper activity. as prescribed in 3.1049b, insert the following clause: price or fee adjustment',
29511:'for illegal or improper activity may 2014 a the government, at its election, may reduce the price of a fixedprice',
29512:'type contract and the total cost and fee under a costtype contract by the amount of profit or fee determined',
29513:'as set forth in paragraph b of this clause if the head of the contracting activity or designee determines that',
29514:'there was a violation of 41 u.s.c.2102 or 2103, as implemented in section 3.104 of the federal acquisition regulation. b',
29515:'the price or fee reduction referred to in paragraph a of this clause shall be 1 for costplusfixedfee contracts, the',
29516:'amount of the fee specified in the contract at the time of award; 2 for costplusincentivefee contracts, the targetfee specified',
29517:'in the contract at thetime of award,notwithstanding any minimum fee or fee floor specified in the contract; 3 for costplusawardfee',
29518:'contracts i the base fee established in the contract at the time of contract award; ii if no base fee',
29519:'is specified in the contract, 30 percent of the amount of each award fee otherwise payable to the contractor for',
29520:'each award fee evaluation period or at each award fee determination point. 4 for fixedpriceincentive contracts, the government may ireduce',
29521:'the contract target price and contract target profit bothby an amount equal to the initial targetprofit specified in the contract',
29522:'at the time of contract award; or iiif an immediate adjustment to thecontract target price and contract target profit would',
29523:'have asignificant adverse impact onthe incentive price revision relationship under the contract,or adversely affect the contract financing provisions, thecontracting officer',
29524:'may defer suchadjustment until establishmentof the total final priceof the contract. the total final price established in accordance with the',
29525:'incentive price revision provisions of the contract shall be reduced by an amount equal to the initial target profit specified',
29526:'inthe contract at the time of contract award and such reduced price shall be the total final contract price. 5',
29527:'for firmfixedprice contracts, by 10 percent of the initial contract price or a profit amount determined by the contracting officerfrom',
29528:'records ordocuments in existence prior to the date ofthe contract award. c thegovernment may, at itselection,reduce a prime contractor’s price',
29529:'or fee in accordance with the procedures of paragraph b of this clause for violations of the statute by its',
29530:'subcontractors by an amount not to exceed the amount of profit or fee reflected in the subcontract at the time',
29531:'the subcontract was first definitively priced. subpart 52.2 text of provisions and clauses 52.20312 d in addition to the remedies',
29532:'in paragraphs a and c of this clause, the government may terminate this contract for default. the rights and remedies',
29533:'of the government specified herein are not exclusive, and are in addition to any other rights and remedies provided by',
29534:'law or under this contract. end of clause 52.20311certificationand disclosure regardingpayments toinfluence certain federaltransactions. as prescribed in 3.808a, insert the',
29535:'following provision: certification and disclosure regarding payments to influence certain federal transactions sep 2024 a definitions. as used in this',
29536:'provisionlobbying contact has the meaning provided at 2 u.s.c. 16028. the terms agency, influencing or attempting to influence, officer oremployee',
29537:'of anagency, person, reasonable compensation, and regularlyemployed are definedin the far clause of this solicitation entitled limitation onpayments to influence',
29538:'certain federal transactions 52.20312. b prohibition.the prohibition and exceptions contained in the far clauseof this solicitationentitled limitation on payments to',
29539:'influence certain federaltransactions 52.20312 are hereby incorporated by reference in this provision. c certification. theofferor,by signing its offer, hereby certifies',
29540:'to the best of its knowledge and belief that no federal appropriated funds have been paid or will be paid',
29541:'toanypersonforinfluencingor attemptingto influencean officer or employeeof any agency, a memberof congress,an officer or employee of congress, or an employee of',
29542:'a member of congress on its behalf in connection with the awarding of this contract. d disclosure. if any registrants',
29543:'under the lobbying disclosure act of 1995 have made a lobbying contact on behalf of the offeror with respect to',
29544:'this contract, theofferor shall complete and submit, with its offer, omb standard form lll, disclosure of lobbying activities, to provide',
29545:'thenameof the registrants. the offerorneednot reportregularly employed officers or employees of theofferor to whom payments of reasonable compensation weremade. e',
29546:'penalty. submission of this certification and disclosure is a prerequisite for making or entering into this contract imposed by 31',
29547:'u.s.c. 1352. any person who makes an expenditure prohibited under this provision or who fails to file or amend the',
29548:'disclosure required to be filed or amended by this provision, shall be subject to civil penalties as provided in 31',
29549:'u.s.c. 1352. an imposition of a civil penalty does not prevent the government from seeking any other remedy that may',
29550:'be applicable. end of provision 52.20312 limitation on payments to influence certain federal transactions. as prescribed in 3.808b, insert the',
29551:'following clause: limitation on payments to influence certain federal transactions jun 2020 a definitions. as used in this clause agency',
29552:'means executive agency as defined in federal acquisition regulation far 2.101. covered federal action means any of the following actions:',
29553:'1 awarding anyfederal contract. 2 making any federal grant. 3 making any federal loan. 4 entering into any cooperative agreement.',
29554:'5 extending, continuing, renewing, amending, or modifying any federal contract, grant, loan, or cooperative agreement. indian tribe and tribal organization',
29555:'have the meaning provided in section 4 of the indian selfdetermination and education assistance act 25 u.s.c. 450b and include',
29556:'alaskan natives. influencing or attempting to influence means making, with the intent to influence, any communication to or appearance beforean',
29557:'officer or employee of any agency, a member of congress, an officer or employee of congress, or an employee of',
29558:'a member of congress in connection with any covered federal action. 52.20312 federal acquisition regulation local government means a unit',
29559:'of government in a state and, if chartered, established, or otherwise recognized by a state for the performance ofa governmental',
29560:'duty, includinga local public authority, a special district, an intrastate district, a council of governments, a sponsor group representative organization,',
29561:'and any other instrumentality of a local government. officer or employee of an agency includes the following individuals who are',
29562:'employed by an agency: 1 an individual whois appointed toa positionin thegovernment under title 5, united states code, including a',
29563:'position under a temporary appointment. 2 a member of the uniformed services, as definedin subsection1013, title 37, united states code.',
29564:'3 a special government employee, as defined insection 202, title 18, united states code. 4 an individual who is a',
29565:'member of a federal advisory committee, as defined by the federal advisory committee act, title 5, unitedstates code,appendix 2. person',
29566:'means an individual, corporation,company, association,authority,firm,partnership, society, state, and local government, regardless of whether such entity is operated for profit, or',
29567:'not for profit. this term excludes an indian tribe, tribalorganization, or any other indianorganization eligible to receive federal contracts, grants,cooperative',
29568:'agreements, or loans from an agency, but only with respect to expenditures by such tribe ororganization thatare made for purposes',
29569:'specified in paragraph b of this clauseandare permitted by other federal law. reasonable compensation means, with respectto a regularly employed',
29570:'officeror employee of anyperson, compensation that is consistent withthe normal compensation for suchofficer or employee for work that is notfurnished',
29571:'to, not funded by, or not furnished in cooperation with the federal government. reasonable payment means, with respect to professional',
29572:'and other technical services, a payment in an amount that is consistent with the amount normally paid for such services',
29573:'in the private sector. recipient includes the contractor and all subcontractors. this term excludes anindian tribe, tribal organization, or any',
29574:'other indianorganization eligible to receive federal contracts, grants,cooperative agreements, orloans from an agency, but only with respect to expenditures by',
29575:'such tribe or organization that are made for purposes specified in paragraphbof this clause and are permitted byotherfederal law. regularly',
29576:'employed means, with respect to an officer or employeeof aperson requesting or receiving afederal contract, anofficer or employee who is',
29577:'employed by such person for atleast 130 working days within 1 year immediatelypreceding thedate of the submission that initiates agency',
29578:'consideration of such person for receipt of such contract. an officer or employee who is employed by such person for',
29579:'less than 130 working days within 1 year immediately preceding the date of the submission that initiates agency consideration of',
29580:'such person shall be considered to be regularly employed as soon as he or she is employed by such person',
29581:'for 130 working days. state means a state of the united states, the district of columbia, or an outlying area',
29582:'of the united states, an agency or instrumentality of a state, and multistate, regional, or interstate entity having governmental duties',
29583:'and powers. b prohibition. 31 u.s.c. 1352 prohibits a recipient of a federal contract, grant, loan, or cooperative agreement from',
29584:'using appropriated funds topay any person for influencing or attempting to influence an officer oremployee of any agency, a member',
29585:'of congress, an officer oremployee of congress, or anemployee of a member of congress inconnectionwith any covered federal actions. in',
29586:'accordance with 31 u.s.c. 1352 the contractor shall not use appropriated funds to pay any person for influencing or attempting',
29587:'toinfluence anofficer or employee ofany agency, amember of congress, an officer or employee of congress, or an employee of a',
29588:'member of congress in connection with the award of this contractor the extension, continuation, renewal, amendment, or modification of this',
29589:'contract. 1 the term appropriated funds does not include profit or fee from a covered federal action. 2 to the',
29590:'extent the contractor can demonstrate that the contractorhas sufficient monies, other than federal appropriated funds, the government will assume that',
29591:'these other monies were spent for any influencing activities that would be unallowable if paid for with federal appropriated funds.',
29592:'c exceptions. the prohibition in paragraph b of this clause does not apply under the following conditions: 1 agency and',
29593:'legislative liaison by contractor employees. i payment of reasonable compensation made to an officer oremployee of the contractorif the payment',
29594:'isforagency and legislative liaison activities not directly related to this contract. for purposes of this paragraph, providing any information specifically',
29595:'requested by an agency or congress is permitted at any time. ii participating with an agency in discussions that are',
29596:'not related to a specific solicitation for any covered federal action, but that concern athe qualitiesand characteristics including individual demonstrations',
29597:'of the person’s products or services, conditions or terms of sale, and service capabilities; or b the application or adaptationof',
29598:'the person’s products or servicesforan agency’s use. subpart 52.2 text of provisions and clauses 52.20312 iii providing prior to formal',
29599:'solicitation of any covered federal action any information not specifically requested but necessary for an agency to make an informed',
29600:'decision about initiation of a covered federal action; iv participating in technical discussions regarding thepreparationof an unsolicited proposal prior to',
29601:'its official submission; and v making capability presentations prior to formal solicitation of any covered federal action by persons seeking',
29602:'awards from an agency pursuant to the provisions of the small business act, as amended by pub. l. 95507, and',
29603:'subsequent amendments. 2 professional and technical services. iapayment of reasonable compensation made to an officeror employee of a person requesting',
29604:'or receiving a covered federal action or an extension, continuation, renewal, amendment, or modification of a covered federal action, if',
29605:'payment is for professional or technical services rendered directly in the preparation, submission, or negotiation of any bid, proposal, or',
29606:'application for that federal action or for meeting requirements imposed by or pursuant to law as a condition for receiving',
29607:'that federal action. iiany reasonable payment to aperson, other than an officer or employeeof apersonrequesting or receiving a covered federal',
29608:'action or an extension, continuation, renewal, amendment, or modification of a covered federal action if the payment is for professional',
29609:'or technical services rendered directly in the preparation, submission, or negotiation of any bid, proposal, or application for that federal',
29610:'action or for meeting requirements imposed by or pursuant to law as a condition for receivingthat federalaction. personsotherthan officers oremployees',
29611:'ofa person requesting or receiving a covered federal action include consultants and trade associations. iii as used in paragraph c2',
29612:'of this clause, professional and technical services are limited to advice and analysis directly applying any professional ortechnicaldiscipline for examples,',
29613:'see far 3.803a2iii. iv requirements imposed by or pursuant to law as a condition for receiving a covered federal award',
29614:'include those required by law or regulation and any other requirements in the actual award documents. 3 only those communications',
29615:'and services expressly authorized by paragraphs c1 and 2 of this clause are permitted. d disclosure. 1 if the contractor',
29616:'did not submit omb standard form lll, disclosure of lobbying activities, with its offer, but registrantsunder thelobbying disclosure act of1995',
29617:'have subsequently made alobbyingcontacton behalfof the contractor with respect to this contract, the contractor shall complete and submit omb standard',
29618:'form lll to provide the name of the lobbying registrants, including the individuals performing the services. 2 if the contractor',
29619:'did submitomb standard form llldisclosure pursuant to paragraph d of the provision at far 52.20311, certification and disclosure regarding paymentsto',
29620:'influence certain federal transactions,anda change occurs that affects block 10of the omb standard form lll name and address of lobbying',
29621:'registrant orindividuals performing services, the contractor shall, at the end of the calendar quarter in which the change occurs, submit',
29622:'to the contracting officer within 30days an updated disclosure usingomb standard form lll. e penalties. 1 any person who makes',
29623:'an expenditure prohibited under paragraph b of this clause or who fails to file or amend the disclosure to be',
29624:'filed or amended by paragraph d of this clause shall be subject to civil penalties as provided for by 31',
29625:'u.s.c. 1352. an imposition of a civil penalty does not prevent the government from seeking any other remedy that may',
29626:'be applicable. 2 contractors may rely without liability on the representation made by their subcontractors in the certification and disclosure',
29627:'form. f cost allowability. nothing in this clause makes allowable or reasonable any costs which would otherwise be unallowable or',
29628:'unreasonable. conversely,costs made specifically unallowable by therequirements inthis clause will not be made allowable under any other provision. g subcontracts.',
29629:'1 the contractor shall obtain a declaration, including the certification and disclosure in paragraphs c and d of the provision',
29630:'at 52.20311, certification and disclosure regarding payments to influence certain federal transactions, from each person requesting or receivinga subcontract under',
29631:'this contract that exceeds thethreshold specified in far 3.808 on the date of subcontract award. the contractor or subcontractor that',
29632:'awards the subcontract shall retain the declaration. 2 a copy of each subcontractor disclosure form but not certifications shall be',
29633:'forwarded from tier to tier until received by the prime contractor. the prime contractorshall, at the end of thecalendar quarter',
29634:'in which the disclosure form is submitted bythe subcontractor,submit tothe contracting officerwithin 30 days acopy ofalldisclosures. each subcontractor certification shall',
29635:'be retained in the subcontract file of the awarding contractor. 52.20313 federal acquisition regulation 3 the contractor shall include the',
29636:'substance of this clause, including this paragraph g, in any subcontract that exceeds the thresholdspecified in far 3.808 onthe dateof',
29637:'subcontract award. end of clause 52.20313 contractor code of business ethics and conduct. as prescribed in 3.1004a, insert the following',
29638:'clause: contractor code of business ethics and conduct nov 2021 a definitions. as used in this clause— agent meansany individual,',
29639:'including a director, anofficer, an employee, or anindependent contractor, authorized to act on behalf of the organization. full cooperation 1',
29640:'means disclosure to the governmentof the information sufficient for law enforcement to identify thenature and extent ofthe offense andthe individuals',
29641:'responsible for the conduct. it includesproviding timely and complete response to government auditors’ and investigators request for documents and access',
29642:'to employees with information; 2 does not foreclose any contractor rights arising in law, the far, or the terms of',
29643:'the contract. it does notrequire iacontractor to waiveits attorneyclient privilege or the protections affordedby the attorney work product doctrine; or',
29644:'iiany officer,director, owner, oremployee of the contractor, including a sole proprietor, to waivehisor her attorney client privilege or fifth amendment',
29645:'rights; and 3 does not restrict a contractor from i conducting an internal investigation; or ii defending a proceeding or',
29646:'dispute arising under the contract or related to a potential or disclosed violation. principal means an officer, director, owner,partner, or',
29647:'a personhaving primarymanagementor supervisory responsibilities within a business entity e.g., general manager; plant manager; head of a division or business',
29648:'segment; and similar positions. subcontract means any contract entered into by a subcontractor to furnish supplies or services for performance',
29649:'of a prime contract or a subcontract. subcontractor means any supplier,distributor, vendor,or firm thatfurnished supplies or services to or for',
29650:'a prime contractor oranother subcontractor. united states, means the 50 states, the district of columbia, and outlying areas. b code',
29651:'of business ethics and conduct. 1 within 30 daysafter contractaward, unless the contracting officer establishes a longer time period, the',
29652:'contractor shall— i have a written code of business ethics and conduct; and ii make a copy of the code',
29653:'available to each employee engaged in performance of the contract. 2 the contractor shall i exercise due diligence to prevent',
29654:'and detect criminal conduct; and iiotherwisepromote an organizational culture that encouragesethical conductanda commitment to compliance with the law. 3 ithecontractorshalltimelydisclose,inwriting,totheagencyofficeoftheinspectorgeneraloig,with',
29655:'a copyto the contractingofficer, whenever, in connection with the award, performance, or closeoutof this contract or any subcontract thereunder, thecontractor',
29656:'has credible evidence that a principal,employee, agent, or subcontractor of the contractor has committed aaviolation offederal criminal law involving fraud,conflictof',
29657:'interest, bribery, orgratuity violations found in title18 of theunited statescode; or b a violation of the civil false claims act',
29658:'31 u.s.c. 37293733. ii the government, to the extent permitted by law and regulation, will safeguard and treat information obtained',
29659:'pursuant to the contractor’s disclosure as confidential wherethe information has been marked confidential or proprietary by the company. to the',
29660:'extentpermitted bylawandregulation, such information will not be releasedby the government to the public pursuant to a freedom of information act',
29661:'request, 5 u.s.c. section 552, without prior notification to the subpart 52.2 text of provisions and clauses 52.20313 contractor. the',
29662:'governmentmay transfer documents provided by the contractor to any department or agencywithin the executive branch ifthe information relates tomatters within',
29663:'the organization’s jurisdiction. iii if the violation relates to an order against a governmentwide acquisition contract, a multiagency contract, a',
29664:'multipleaward schedule contract such as the federal supply schedule, or any other procurement instrument intended for use by multiple agencies,',
29665:'the contractor shall notify the oig of the ordering agency and the ig of the agency responsible for the basic',
29666:'contract. c business ethics awareness and compliance program and internal control system. this paragraph c does not apply if the',
29667:'contractor has represented itself as a small business concern pursuant to the award of this contract or if this contract',
29668:'is for theacquisition of a commercial productor commercial service as definedat far 2.101. the contractor shall establish the following within',
29669:'90days after contract award, unless the contractingofficer establishesa longer timeperiod: 1 an ongoing business ethics awareness and compliance program. i',
29670:'this program shall include reasonable steps to communicate periodically and in a practical manner the contractor’sstandards and procedures and other',
29671:'aspects ofthe contractor’sbusiness ethicsawarenessandcompliance program and internal control system, by conducting effective training programs and otherwise disseminating information appropriate toan',
29672:'individual’s respective roles and responsibilities. iithe trainingconductedunder this program shall beprovidedto thecontractor’s principals and employees, and as appropriate, thecontractor’s agentsandsubcontractors.',
29673:'2 an internal control system. ithe contractor’s internal control system shall— a establish standards and procedures to facilitate timely discovery',
29674:'of improper conduct in connection with government contracts; and b ensure corrective measures are promptly instituted and carried out. iiat',
29675:'a minimum, the contractor’s internal controlsystemshallprovide for the following: aassignment ofresponsibilityat a sufficientlyhighlevel and adequate resources toensure effectiveness of the',
29676:'business ethics awareness and compliance program and internal control system. b reasonable efforts not to include an individualas aprincipal, whom',
29677:'due diligence would have exposed as havingengaged in conduct that is in conflict with the contractor’s code of businessethics andconduct.',
29678:'c periodic reviews of company business practices, procedures, policies, and internal controls for compliance with the contractor’s code of business',
29679:'ethics and conduct and the special requirementsof government contracting, including 1 monitoring and auditing to detect criminal conduct; 2 periodic',
29680:'evaluation of theeffectiveness ofthe business ethics awareness and complianceprogramand internal control system, especially if criminal conduct has been detected; and',
29681:'3 periodic assessment of the risk of criminal conduct, with appropriate steps to design, implement, or modify the business ethics',
29682:'awareness and compliance program and the internal control system as necessary to reduce the risk of criminal conduct identified through',
29683:'this process. dan internal reporting mechanism, suchas ahotline, which allows for anonymity or confidentiality, by which employees may report suspected',
29684:'instances of improper conduct, and instructions that encourage employees to make such reports. e disciplinary action for improper conduct or',
29685:'for failing to take reasonable steps to prevent or detect improper conduct. f timely disclosure, in writing, tothe agency oig,',
29686:'with a copy to the contracting officer, whenever, in connection with the award, performance, or closeout of any government contract',
29687:'performed by the contractor or a subcontract thereunder, thecontractor has credible evidencethat a principal, employee, agent,or subcontractor of the contractor',
29688:'has committeda violation of federal criminal law involving fraud, conflict ofinterest, bribery, or gratuity violations foundin title 18 u.s.c. or',
29689:'aviolation ofthe civil false claims act 31 u.s.c. 37293733. 1 if a violation relates to more than one government contract,',
29690:'the contractor may make the disclosure to the agency oigand contractingofficer responsible for the largest dollar value contract impacted by',
29691:'the violation. 2 if the violation relates to an order against a governmentwide acquisition contract, a multiagency contract, a multipleaward',
29692:'schedule contract such as the federal supply schedule, or any other procurement instrument intended for use by multiple agencies, the',
29693:'contractor shall notify the oig of the ordering agency and the ig of the agency responsible for thebasic contract, and',
29694:'the respective agencies’ contracting officers. 3 the disclosure requirement for an individual contract continues until at least 3 years after',
29695:'final payment on the contract. 52.20314 federal acquisition regulation 4 the government will safeguard such disclosures in accordance with paragraph',
29696:'b3ii of this clause. g full cooperation with any government agencies responsible for audits, investigations, or corrective actions. d subcontracts.',
29697:'1 the contractor shall include the substance of this clause, including this paragraph d, in subcontracts that exceedthe threshold specified',
29698:'infar 3.1004a on the date of subcontract award and a performance period of more than 120 days. 2 in altering',
29699:'this clause to identify the appropriate parties, all disclosures of violation of the civil false claims act or of federal',
29700:'criminal law shall be directed to the agency office of the inspector general, with a copyto thecontracting officer. end of',
29701:'clause 52.20314 display of hotline posters. as prescribed in 3.1004b, insert the following clause: display of hotline posters nov 2021',
29702:'a definition. united states, as used in this clause, means the 50 states, the district of columbia, and outlying areas.',
29703:'b display of fraud hotline posters. except as provided in paragraph c— 1 during contract performance in the united states,',
29704:'the contractor shall prominently display in common work areas within business segments performing work under this contract and at contract',
29705:'work sites i any agency fraud hotline poster or department of homeland security dhs fraud hotline poster identified in paragraph',
29706:'b3 of this clause; and iiany dhs fraud hotline poster subsequently identified by the contracting officer. 2 additionally, if the',
29707:'contractor maintains a companywebsiteas amethod of providing information toemployees, the contractor shall display an electronic version of the posters at',
29708:'the website. 3 any required posters may be obtained as follows: posters obtain from contracting officer shall insert— i appropriate',
29709:'agency names and/or title of applicable department of homeland security fraud hotline poster; and ii the websites or other contact',
29710:'information for obtaining the posters. c if the contractor has implemented a business ethics and conduct awareness program, including a',
29711:'reporting mechanism, suchas ahotlineposter, thenthe contractor need not display anyagency fraud hotline posters asrequired in paragraph b of this clause,',
29712:'other than any required dhs posters. d subcontracts. the contractor shall include the substance of this clause, including this paragraph',
29713:'d, in all subcontracts that exceed the threshold specified in federal acquisition regulation 3.1004b1 on the date of subcontract award,',
29714:'except when the subcontract— 1 is for the acquisition of a commercial product or commercial service; or 2 is performed',
29715:'entirely outside the united states. end of clause 52.20315 whistleblower protectionsunder the american recovery and reinvestmentact of 2009. as prescribed',
29716:'in 3.9077, use the following clause: whistleblower protections under the american recovery and reinvestment act of 2009 june 2010 subpart',
29717:'52.2 text of provisions and clauses 52.20316 a the contractor shall post notice of employees rights and remedies for whistleblower',
29718:'protections provided under section 1553 of the american recovery and reinvestment act of2009 pub. l. 1115recovery act. b the contractor',
29719:'shall include the substance of this clause, including this paragraph b, in all subcontracts that are funded in whole or',
29720:'in part with recovery act funds. end of clause 52.20316 preventing personalconflictsof interest. as prescribed in 3.1106 , insert the',
29721:'following clause: preventing personal conflicts of interest jun 2020 a definitions. as used in this clause— acquisition function closely associated',
29722:'with inherently governmental functions means supporting or providing advice or recommendations with regard to the following activities of a federal',
29723:'agency: 1 planning acquisitions. 2 determining what supplies or services are to be acquired by the government, including developing statements',
29724:'of work. 3 developing or approving any contractual documents, to include documents defining requirements, incentive plans, and evaluation criteria. 4',
29725:'evaluating contract proposals. 5 awarding governmentcontracts. 6 administering contracts including ordering changes or giving technical direction in contract performance or',
29726:'contract quantities, evaluating contractor performance, and accepting or rejecting contractor products or services. 7 terminatingcontracts. 8 determining whether contract costs',
29727:'are reasonable, allocable, and allowable. covered employee means an individual who performs an acquisition function closely associated with inherently governmental',
29728:'functions and is— 1 an employee of the contractor; or 2 a subcontractor that is a selfemployed individual treated as',
29729:'a covered employee of the contractor because there is no employer to whom such an individual could submit the required',
29730:'disclosures. nonpublic information means any government or thirdparty information that 1 is exempt from disclosure under the freedom of information',
29731:'act 5 u.s.c. 552 or otherwise protected from disclosureby statute,executive order, or regulation; or 2 has not been disseminated to',
29732:'the general public and the government has not yet determined whether the information can or will be made available to',
29733:'the public. personal conflict of interest means a situationin whicha coveredemployee has afinancialinterest, personal activity, or relationship that couldimpair the',
29734:'employee’s abilityto act impartially and inthe best interest of the governmentwhen performingunder thecontract. a de minimis interest that wouldnot impair',
29735:'the employee’s ability to act impartially and in the best interest of the government is not covered under this definition.',
29736:'1 among the sources of personal conflicts of interest are i financial interests of the covered employee, of close family',
29737:'members, or of other members of the covered employee’s household; ii other employment or financial relationships including seeking or negotiating',
29738:'for prospective employment or business; and iii gifts, including travel. 2 for example, financial interests referred to in paragraph 1',
29739:'of this definition may arise from i compensation, including wages, salaries, commissions, professional fees, or fees for business referrals; ii',
29740:'consulting relationships including commercial and professional consulting and service arrangements, scientific and technical advisory board memberships, or serving as an',
29741:'expert witness in litigation; iii services provided in exchange for honorariums or travel expense reimbursements; iv research funding or other',
29742:'forms of research support; 52.20316 federal acquisition regulation v investment in the form of stock or bond ownership or partnership',
29743:'interest excluding diversified mutual fund investments; vi real estate investments; vii patents, copyrights, and other intellectual property interests; or viii',
29744:'business ownership and investment interests. b requirements. the contractor shall— 1 have procedures in place to screen covered employees for',
29745:'potential personal conflicts of interest, by i obtaining and maintaining from each covered employee, when the employee is initially assigned',
29746:'to the task underthe contract, adisclosure of interests that might be affected by the task to which the employee has',
29747:'been assigned, as follows: a financial interests of the covered employee, of close family members, or of other members of',
29748:'the covered employee’s household. b other employment or financial relationships of the covered employee including seeking or negotiating for prospective',
29749:'employment or business. c gifts, including travel; and iirequiring each covered employee to update the disclosure statement whenever the employee’s',
29750:'personal or financial circumstances change in such a way that a new personal conflict of interest might occur because of',
29751:'the task the covered employee is performing. 2 for each covered employee— i prevent personal conflicts of interest, including not',
29752:'assigning or allowing a covered employee to perform any task under the contract for which the contractor has identified a',
29753:'personal conflict of interest for the employee that the contractor or employee cannot satisfactorily prevent or mitigate in consultation with',
29754:'the contracting agency; ii prohibit use of nonpublic information accessed through performance of a government contract for personal gain; and',
29755:'iii obtain a signed nondisclosure agreement to prohibit disclosure of nonpublic information accessed through performance of a government contract. 3',
29756:'inform covered employees of their obligation ito disclose and prevent personalconflicts of interest; ii not to use nonpublic information accessed',
29757:'through performance of a government contract for personal gain; and iii to avoid even theappearance of personal conflicts ofinterest; 4',
29758:'maintain effective oversightto verify compliance with personal conflictofinterest safeguards; 5 takeappropriate disciplinary action in thecaseof covered employees who fail tocomply',
29759:'with policiesestablished pursuant to this clause; and 6 reportto thecontracting officer any personal conflictofinterest violation by acovered employee assoon as',
29760:'it is identified. this report shall include a description of the violation and the proposed actions to be taken by',
29761:'the contractor in response tothe violation. providefollowup reports of corrective actions taken, as necessary. personal conflictofinterest violations include i failure',
29762:'by a covered employee to disclose a personal conflict of interest; ii use by a covered employee of nonpublic information',
29763:'accessed through performance of a government contract for personal gain; and iii failure of a covered employee to comply with',
29764:'the terms of a nondisclosure agreement. c mitigationor waiver. 1 in exceptional circumstances, if the contractor cannot satisfactorily prevent a',
29765:'personal conflict of interest as required by paragraph b2i of this clause, the contractor may submit a request through the',
29766:'contracting officerto the head of the contracting activity for i agreement to a plan to mitigate the personal conflict of',
29767:'interest; or ii a waiver of the requirement. 2 the contractor shall include in the request any proposed mitigation of',
29768:'the personal conflict of interest. 3 the contractor shall icomply, and require compliance by the covered employee,with any conditions imposed',
29769:'by the government as necessary to mitigate the personal conflict of interest; or ii remove the contractor employee or subcontractor',
29770:'employee from performance of the contract or terminate the applicable subcontract. subpart 52.2 text of provisions and clauses 52.20319 d',
29771:'subcontracts. the contractor shall include the substance of this clause, including this paragraph d, in subcontracts— 1 that exceed the',
29772:'simplified acquisition threshold, as defined in federal acquisition regulation 2.101 on the date of subcontract award; and 2 in which',
29773:'subcontractor employees will perform acquisition functions closely associated with inherently governmental functions i.e., instead of performance only by a selfemployed',
29774:'individual. end of clause 52.20317 contractor employee whistleblower rights. as prescribed in 3.906, insert the following clause: contractor employee whistleblower',
29775:'rights nov 2023 a this contract and employees working on this contract will be subject to the whistleblower rights and',
29776:'remedies established at 41 u.s.c. 4712and federal acquisition regulationfar 3.900 through 3.905. b the contractor shall inform its employees in',
29777:'writing, in the predominant language of the workforce, of employee whistleblower rights and protections under 41 u.s.c. 4712, as described',
29778:'in far 3.900 through 3.905. c the contractor shall insert the substance of this clause, including this paragraph c, in',
29779:'all subcontracts. end of clause 52.20318 prohibitionon contractingwith entities that require certain internalconfidentiality agreements or statementsrepresentation. as prescribed in 3.9093a,',
29780:'insert the following provision: prohibition on contracting with entities that require certain internal confidentiality agreements or statementsrepresentation jan 2017 a',
29781:'definition. as used in this provision internal confidentiality agreement or statement, subcontract, and subcontractor , are defined in the clause',
29782:'at 52.20319, prohibition on requiring certain internal confidentiality agreements or statements. b in accordance with section 743 of divisione, title',
29783:'vii, ofthe consolidated and further continuing appropriations act, 2015 pub. l. 113235 and its successor provisionsin subsequent appropriations acts and',
29784:'as extended in continuing resolutions, government agencies are not permitted to use funds appropriated or otherwise made available for contracts',
29785:'with an entity that requires employees or subcontractors of such entity seeking to report waste, fraud, or abuse to sign',
29786:'internal confidentiality agreements or statements prohibiting or otherwise restricting such employees or subcontractors from lawfully reporting such waste, fraud, or',
29787:'abuse to a designated investigative or law enforcement representative of a federal department or agency authorized to receive such information.',
29788:'c the prohibition in paragraph b of this provision does not contravene requirements applicable to standard form 312, classified information',
29789:'nondisclosure agreement, form 4414 sensitive compartmented information nondisclosure agreement, or any other form issued by a federal department or agency',
29790:'governing the nondisclosure of classified information. d representation. by submission ofits offer, the offeror representsthat it will not require its',
29791:'employeesor subcontractors to sign or comply with internal confidentiality agreements or statements prohibiting or otherwise restricting such employees or subcontractors',
29792:'from lawfully reporting waste, fraud, or abuse related to the performance of a government contract to a designated investigative or',
29793:'law enforcement representative of a federal department or agency authorized to receive suchinformatione.g., agency office of the inspector general. end',
29794:'of provision 52.20319 prohibitionon requiring certain internal confidentialityagreements or statements. as prescribed in 3.9093b, insert the following clause: 52.20319 federal',
29795:'acquisition regulation prohibition on requiring certain internal confidentiality agreements or statements jan 2017 a definitions. as used in this clause',
29796:'internal confidentiality agreement or statement means a confidentiality agreement or any other written statement that the contractor requires any of',
29797:'its employees or subcontractors to sign regarding nondisclosure of contractor information, except that it does not include confidentiality agreements arising',
29798:'out of civil litigation or confidentiality agreements that contractor employees or subcontractorssign at thebehest of a federalagency. subcontract means any',
29799:'contract as defined in subpart 2.1 entered into by a subcontractor to furnish supplies or services for performance of a',
29800:'prime contract or a subcontract. it includes but is not limited to purchase orders, and changes and modifications to purchase',
29801:'orders. subcontractor means any supplier,distributor, vendor,or firm including a consultantthat furnishes supplies or services to or for a prime contractor',
29802:'or another subcontractor. b the contractor shall not require its employees or subcontractors to sign or comply with internal confidentiality',
29803:'agreements or statements prohibiting or otherwise restricting such employees or subcontractors from lawfully reporting waste, fraud, or abuse related to',
29804:'the performance of a government contract to a designated investigative or law enforcement representative of a federal department or agency',
29805:'authorized to receive such information e.g., agencyofficeof the inspector general. c the contractor shall notify current employees and subcontractors that',
29806:'prohibitions and restrictions of any preexisting internal confidentiality agreements or statements covered by this clause, to the extent that such',
29807:'prohibitions and restrictions areinconsistent with the prohibitions of this clause,are no longer in effect. d the prohibition in paragraph b',
29808:'of this clause does not contravene requirements applicable to standard form 312 classified information nondisclosure agreement, form 4414 sensitive compartmented',
29809:'information nondisclosure agreement, or any other form issued by a federal department or agency governing the nondisclosure of classified information.',
29810:'e inaccordance withsection 743 of division e, title vii,of the consolidatedandfurthercontinuing appropriations act, 2015, pub. l. 113235, and its successor',
29811:'provisions in subsequent appropriationsacts andas extended in continuing resolutions use of funds appropriated or otherwise made available is prohibited, if',
29812:'the government determines that the contractor is not in compliance with the provisions of this clause. f the contractor shall',
29813:'include the substance of this clause, including this paragraph f, in subcontracts under such contracts. end of clause subpart 52.2',
29814:'text of provisions and clauses 52.2042 52.204[reserved] 52.2041approval of contract. as prescribed in 4.103, insert the following clause: approval of',
29815:'contractdec 1989 this contract is subject to the written approval of [identify title of designated agency official here] and shall',
29816:'not be binding until so approved. end of clause 52.2042security requirements. as prescribed in 4.404a, insert the following clause: security',
29817:'requirements mar 2021 a this clause applies to the extent that this contract involves access to information classified confidential, secret,',
29818:'or top secret. b the contractor shall comply with 1 the security agreement dd form441, including the national industrial security',
29819:'program operating manual 32 cfr part117; and 2 any revisions tothat manual, notice of whichhas been furnished to the contractor.',
29820:'c if, subsequent to the date of this contract, the security classification or security requirements under this contract are changed',
29821:'bythe government and if the changes cause an increase or decrease in security costsor otherwise affect any other term or',
29822:'condition of this contract, the contract shall be subject to an equitable adjustment as if the changes were directed under',
29823:'the changes clause of this contract. d the contractor agrees to insert terms that conform substantially to the language of',
29824:'this clause, including this paragraph d but excluding any reference to the changes clause of this contract, in all subcontracts',
29825:'under this contract that involve access to classified information. end of clause alternate i apr 1984. if a cost contract',
29826:'for research and development with an educational institution is contemplated, add the following paragraphs e, f, and g to the',
29827:'basic clause: e if a change in security requirements, as provided in paragraphs b and c, results 1in a change',
29828:'in the security classification of this contract or any of its elements from an unclassified status or a lower classification',
29829:'to a higher classification, or 2in more restrictive area controls than previously required, the contractor shall exert every reasonable effort',
29830:'compatible with the contractor’s established policies to continue the performance of workunder thecontract in compliance with the change insecurity classification',
29831:'or requirements. if, despite reasonable efforts, the contractor determines that the continuation of work under this contract is not practicable',
29832:'because of the change in security classification or requirements,the contractor shall notify the contracting officer in writing. until resolution of',
29833:'the problem ismade by the contracting officer, thecontractor shall continue safeguarding all classified material as requiredby this contract. f after',
29834:'receiving the written notification,the contracting officershallexplore thecircumstances surrounding the proposed change in security classification or requirements, and shall endeavor to',
29835:'work out a mutually satisfactory method whereby the contractor can continue performance of the work under this contract. g if,',
29836:'15 days after receipt bythe contracting officerof the notification of thecontractor’s stated inability to proceed, 1 the application to this',
29837:'contract of the change in security classification or requirements has not been withdrawn, or 2a mutually satisfactory method for continuing',
29838:'performance of work under this contract has not been agreed upon, the contractor may request the contracting officer to terminate',
29839:'the contract in whole or in part. the contracting officer shall terminate the contract in whole or in part, as',
29840:'may be appropriate, and the termination shall be deemed a termination under the terms of thetermination for theconvenience of the',
29841:'government clause. 52.2043 federal acquisition regulation alternate ii apr 1984. if employee identification is required for security or other reasons',
29842:'in a construction contract or architectengineer contract, add the following paragraph e to the basic clause: e the contractor shall',
29843:'be responsible for furnishing to each employee and for requiring each employee engaged on the work to display suchidentification as',
29844:'may be approvedand directedby the contracting officer. all prescribed identification shall immediately be delivered to the contracting officer, for cancellationupon',
29845:'therelease ofany employee. whenrequired by the contractingofficer, the contractor shall obtain and submitfingerprints of all persons employedor to be employed',
29846:'on the project. 52.2043taxpayer identification. as prescribed in 4.905, insert the following provision: taxpayer identification oct 1998 a definitions. common',
29847:'parent, as used in this provision, means thatcorporate entity thatowns orcontrols an affiliated group of corporations that files its federal',
29848:'incometax returns on a consolidatedbasis, and of which the offeroris amember. taxpayer identification number tin, as used in this provision,',
29849:'means the number required by the internal revenue serviceirs to be used by theofferor in reporting income tax and other',
29850:'returns. the tin may beeither asocial security number or anemployer identification number. b all offerors must submitthe information required in',
29851:'paragraphs d through f of this provision to comply with debt collection requirements of 31 u.s.c. 7701c and 3325d, reporting',
29852:'requirements of 26 u.s.c.6041, 6041 a, and 6050 m, and implementing regulations issued by the irs. if the resulting contract',
29853:'is subject to the payment reporting requirements described infederal acquisition regulation far 4.904, the failure or refusal by the offeror',
29854:'tofurnish the information may result in a 31 percent reduction of payments otherwise due under the contract. c thetin may',
29855:'be used by the government tocollect and report on any delinquent amounts arising out of the offeror’s relationship with the',
29856:'government 31 u.s.c. 7701c3. if the resulting contract is subject to the payment reporting requirementsdescribed in far 4.904, the tin',
29857:'provided hereunder may be matched with irs records to verify the accuracy of the offeror’s tin. d taxpayer identification number',
29858:'tin. □ tin: . □ tin has been appliedfor. □ tin is not required because: □ offeror is a nonresident',
29859:'alien, foreign corporation, or foreignpartnership thatdoes not have income effectively connected with the conduct of a trade orbusinessin the united',
29860:'states and does nothavean office orplace of business ora fiscal paying agent in the united states; □ offeror is an',
29861:'agency or instrumentality of a foreign government; □ offeror is an agency or instrumentality of the federal government. e type',
29862:'of organization. □ sole proprietorship; □ partnership; □ corporate entity not taxexempt; □ corporate entity taxexempt; □ government entity federal,',
29863:'state, or local; □ foreign government; □ international organization per 26 cfr 1.60494; □ other. f common parent. □ offeror',
29864:'is not owned or controlled bya commonparent asdefined in paragraph a of this provision. □ name and tin of common',
29865:'parent: □ name. □ tin. end of provision fac 202501 november 12, 2024 subpart 52.2 text of provisions and clauses',
29866:'52.2047 52.2044 [reserved] 52.2045womenowned business other than small business. as prescribed in 4.607a, insert the following provision: womenowned business other',
29867:'than small business oct 2014 a definition.womenowned business concern, as used in this provision, means a concern that is atleast',
29868:'51 percent owned by one or more women; or in the case of any publicly owned business, at least 51',
29869:'percent of its stock is owned by one or more women; and whose management and daily business operations are controlled',
29870:'by one or more women. b representation. [complete only if the offeror is a womenowned business concern and has not',
29871:'represented itself as a small business concern in paragraph c1 of far 52.2191, small business program representations, of this solicitation.]',
29872:'the offeror represents that it □ is a womenowned business concern. end of provision 52.2046uniqueentity identifier. as prescribed in 4.607b,',
29873:'insert the following provision: unique entity identifier oct 2016 a definition. as used in this provision electronic funds transfer eft',
29874:'indicator meansa fourcharactersuffix to the unique entity identifier. thesuffix is assigned atthe discretion of the commercial, nonprofit, or government entityto',
29875:'establish additional system for award management records for identifying alternative eft accounts see subpart 32.11forthesameentity. unique entity identifier means a',
29876:'number or other identifier used to identify a specific commercial, nonprofit, or government entity. see www.sam.gov for the designated entity',
29877:'for establishing unique entity identifiers. b the offeror shall enter, in the block with its name and address on the',
29878:'cover page of its offer, the annotation unique entity identifier followed by the unique entity identifier thatidentifies theofferors name and',
29879:'address exactly as stated inthe offer. the offeror also shall enter its eft indicator, if applicable. c if the offeror',
29880:'does not have a unique entityidentifier, it should contact theentity designated at www.sam.gov for establishmentof the unique entity identifier directly',
29881:'toobtainone. the offeror should be prepared to provide thefollowing information: 1 company legal business name. 2 tradestyle, doing business,or other',
29882:'name by which your entity iscommonlyrecognized. 3 company physical street address, city,state and zip code. 4 company mailing address, city,',
29883:'stateand zip code if separatefrom physical. 5 company telephone number. 6 date the company was started. 7 number of employees',
29884:'at your location. 8 chief executiveofficer/key manager. 9 line of business industry. 10 company headquarters name and address reporting relationship',
29885:'within your entity. end of provision 52.2047system for award management. as prescribed in 4.1105a1, use the following provision: system for',
29886:'award management nov 2024 a definitions. as used in this provision— fac 202501 november 12, 2024 52.2048 federal acquisition regulation',
29887:'electronic funds transfer eft indicator means afourcharacter suffixto theunique entity identifier. the suffix is assigned atthe discretion of the commercial,',
29888:'nonprofit, or government entityto establish additional system for award management records for identifying alternative eft accounts see subpart 32.11forthesameentity. registered',
29889:'in the system for award management sam means that– 1 the offeror has entered all mandatory information,including the unique entity',
29890:'identifier and the eftindicator, if applicable, the commercial and government entity cage code, as well as data required by the',
29891:'federal funding accountabilityandtransparencyactof2006see subpart 4.14 into sam 2 the offeror has completed the core, assertions,andrepresentations and certifications, and points of',
29892:'contact sections of the registration in sam; 3 the government has validated all mandatory data fields, toinclude validation of the',
29893:'taxpayer identification number tin with the internal revenue service irs. the offeror will be required toprovide consent for tinvalidation to',
29894:'the government as a part of the sam registration process; and 4 the government has marked the record active. unique',
29895:'entity identifier means a number or other identifier used to identify a specific commercial, nonprofit, or government entity. see www.sam.gov',
29896:'for the designated entity for establishing unique entity identifiers. b 1 anofferorisrequiredtoberegisteredinsamwhensubmittinganofferorquotationandattimeofawardsee far clause 52.20413, system for award management maintenance,',
29897:'for the requirement to maintain sam registration during performance and through final payment. 2 the offeror shall enter, in the',
29898:'block with its name and address on the cover page of its offer, the annotation unique entity identifier followed by',
29899:'the unique entity identifier thatidentifies theofferors name and address exactly as stated inthe offer. the offeror also shall enter its',
29900:'eft indicator, if applicable. the unique entity identifierwill be used by the contracting officer to verify thatthe offeror isregisteredin thesam.',
29901:'c if the offeror does not have a unique entityidentifier, it should contact theentity designated at www.sam.gov for establishmentof the',
29902:'unique entity identifier directly toobtainone. the offeror should be prepared to provide thefollowing information: 1 company legal business name. 2',
29903:'tradestyle, doing business,or other name by which your entity iscommonlyrecognized. 3 company physical street address, city,state,and zip code. 4 company',
29904:'mailing address, city, stateand zip code if separatefrom physical. 5 company telephone number. 6 date the company was started. 7',
29905:'number of employees at your location. 8 chief executiveofficer/key manager. 9 line of business industry. 10 company headquarters name and',
29906:'address reporting relationship within your entity. d processing time should be taken into considerationwhen registering. offerors who are not registered',
29907:'insam should consider applying for registration immediately upon receipt of this solicitation. see https://ww.sam.gov for information on registration. end of',
29908:'provision alternate i oct 2018. as prescribed in 4.1105a2 , substitute the following paragraph b1 for paragraph b1 of the',
29909:'basic provision: b1 an offeror is requiredto beregisteredin samas soon as possible. if registration is notpossible when submitting anoffer or',
29910:'quotation, theawardee shall be registered in sam in accordance withthe requirementsof clause 52.20413, system for award management maintenance. 52.2048annual representations',
29911:'and certifications. as prescribed in 4.1202a, insert the following provision: annual representations and certifications may 2024 subpart 52.2 text of',
29912:'provisions and clauses 52.2048 a 1 the north american industry classification system naics code for this acquisition is [insert naics',
29913:'code]. 2 the small business size standard is [insert size standard]. 3 the small businesssize standardfora concern that submits anoffer,',
29914:'other than ona construction or service acquisition, but proposes to furnish an end item that it did not itself manufacture,',
29915:'process, or produce is 500 employees, or 150 employees for information technology valueadded resellers under naics code 541519 if the',
29916:'acquisition— i is set aside for small business and has a value above the simplified acquisition threshold; iiuses the hubzoneprice',
29917:'evaluation preference regardlessof dollar value, unless the offeror waives the price evaluation preference; or iii is an 8a, hubzone, servicedisabled',
29918:'veteranowned, economically disadvantaged womenowned, or women owned small business setaside or solesource award regardless of dollar value. b 1 if',
29919:'the provision at 52.2047,systemforawardmanagement,isincludedinthissolicitation,paragraphdofthis provision applies. 2 if the provision at 52.2047,systemforaward management, is not included in this solicitation, and',
29920:'the offeror has an active registration in the system for award management sam, the offeror maychoose to use paragraph d',
29921:'of this provisioninstead of completing the correspondingindividual representations and certifications inthe solicitation. the offeror shall indicate which option applies by',
29922:'checking one of the following boxes: i □ paragraph d applies. ii □ paragraph d does not apply and the',
29923:'offeror has completed the individual representations and certifications in the solicitation. c 1 the following representations or certifications in sam',
29924:'are applicable to this solicitation as indicated: i 52.2032, certificate of independent price determination. this provision applies to solicitations when',
29925:'a firm fixedprice contract or fixedprice contract with economic price adjustment is contemplated, unless– a the acquisition is to be',
29926:'made under the simplified acquisition procedures in part 13; b the solicitation is a request for technical proposals under twostep',
29927:'sealed bidding procedures; or c the solicitation is for utility services for which rates are set by law or regulation.',
29928:'ii 52.20311, certification and disclosure regarding payments toinfluence certainfederal transactions. this provision applies to solicitations expected to exceed $150,000. iii',
29929:'52.20318, prohibition on contracting with entities that require certain internal confidentiality agreements or statementsrepresentation. this provision applies to all solicitations.',
29930:'iv 52.2043, taxpayer identification. this provision applies to solicitations that do not include the provision at 52.2047, system for award',
29931:'management. v 52.2045, womenowned business otherthan small business. this provision applies to solicitations that a are not set aside for',
29932:'small business concerns; b exceed the simplified acquisition threshold; and c are for contracts that will be performed in the',
29933:'united states or its outlying areas. vi 52.20426, covered telecommunications equipment orservicesrepresentation. this provisionapplies to all solicitations. vii 52.2092, prohibition',
29934:'on contracting with inverted domestic corporationsrepresentation. viii 52.2095, certification regarding responsibility matters. this provision applies to solicitations where the contract',
29935:'value is expected to exceed the simplified acquisition threshold. ix 52.20911, representation by corporations regardingdelinquent tax liability or a felony',
29936:'conviction under any federallaw. this provision applies to all solicitations. x 52.21414, place of performancesealed bidding. this provision applies to',
29937:'invitations for bids except those in which the place of performance is specified by the government. xi 52.2156, place of',
29938:'performance. this provision applies to solicitations unless the place of performance is specified by the government. xii 52.2191, small business',
29939:'program representations basic, alternates i, and ii. this provision applies to solicitations when the contract is for supplies to be',
29940:'delivered or services to be performed in the united states or its outlying areas,orwhenthecontractingofficerhasapplied part 19 in accordance with 19.000b1ii.',
29941:'a the basic provision applies when the solicitations are issued by other than dod, nasa, and the coast guard. b',
29942:'the provision with its alternate i applies to solicitations issued by dod, nasa, or the coast guard. 52.2048 federal acquisition',
29943:'regulation c the provision with its alternate ii applies to solicitations that will result in a multipleaward contract with more',
29944:'than one naics code assigned. xiii 52.2192, equal low bids. this provision applies to solicitations when contracting by sealed bidding',
29945:'and the contract is for supplies to be delivered or services to be performed in the united states or its',
29946:'outlying areas, or when the contractingofficerhasapplied part 19 in accordance with 19.000b1ii. xiv 52.22222, previous contracts and compliance reports. this',
29947:'provision applies to solicitations that include the clause at 52.22226,equalopportunity. xv 52.22225, affirmative action compliance. this provisionapplies to solicitations,other thanthose',
29948:'for construction, when the solicitation includes the clause at 52.22226, equal opportunity. xvi 52.22238, compliance withveterans’ employment reportingrequirements. this provision',
29949:'appliesto solicitations when it is anticipated the contract award will exceed the simplified acquisition threshold and the contract is not',
29950:'for acquisition of commercial products or commercial services. xvii 52.2231, biobased product certification. this provision applies to solicitations that require',
29951:'the delivery or specify the use of biobased products in usdadesignated product categories; or include the clause at 52.2232, reporting',
29952:'of biobased products under service and construction contracts. xviii 52.2234, recovered material certification. this provision applies to solicitations that are',
29953:'for, or specify the use of, epa–designated items. xix 52.22322, public disclosure of greenhouse gas emissions and reduction goalsrepresentation. this',
29954:'provision applies to solicitations that include the provision at 52.2047. xx 52.2252, buy american certificate. this provision applies to solicitations',
29955:'containing the clause at 52.2251. xxi 52.2254, buy americanfree trade agreementsisraeli trade act certificate. basic, alternates ii and iii. this',
29956:'provision applies to solicitations containing the clause at 52.2253. a if the acquisition value is less than $50,000, the basic',
29957:'provision applies. b if the acquisition value is $50,000 or more but is less than $100,000, the provision with its',
29958:'alternate ii applies. c if the acquisition value is $100,000 or more but is less than $102,280, the provision with',
29959:'its alternate iii applies. xxii 52.2256, trade agreements certificate. this provision applies to solicitations containing the clause at 52.2255. xxiii',
29960:'52.22520, prohibition on conducting restricted business operations in sudancertification. this provision applies to all solicitations. xxiv 52.22525, prohibition on contracting',
29961:'with entities engaging in certain activitiesor transactions relating to iranrepresentation and certifications. this provision applies to all solicitations. xxv 52.2262,',
29962:'historically black college or university and minority institution representation. this provision applies to solicitations for research, studies, supplies, or services',
29963:'of the type normally acquired from higher educational institutions. 2 the following representations or certifications areapplicable asindicated bythe contracting officer:',
29964:'[contracting officer check as appropriate.] i 52.20417,ownershiporcontrolofofferor. ii 52.20420,predecessorofofferor. iii 52.22218, certification regarding knowledge of child labor for listed end',
29965:'products. iv 52.22248, exemption from application of the service contract labor standards to contracts for maintenance, calibration, or repair of',
29966:'certain equipment certification. v 52.22252, exemption from application of the service contract labor standards to contracts for certain servicescertification. vi',
29967:'52.2276, royalty information. a basic. b alternate i. vii 52.22715, representation of limited rights data and restricted computer software. d',
29968:'the offeror has completed the annualrepresentations and certificationselectronically in sam website accessed through https://www.sam.gov. after reviewing thesam information, the offeror',
29969:'verifies by submission of the offer thatthe representations and certifications currently posted electronically that apply to this solicitation as indicated',
29970:'in paragraph c of this provision have been entered or updated within the last 12 months, are current, accurate, complete,',
29971:'and applicable to this subpart 52.2 text of provisions and clauses 52.2049 solicitation including the business size standard applicable to',
29972:'the naics code referenced for this solicitation, as of the date of this offerand are incorporated in this offerby reference',
29973:'see far 4.1201; except for the changes identified below [offeror to insert changes, identifying change by clause number, title, date].',
29974:'these amended representations and/or certifications arealso incorporated inthis offer and are current, accurate,andcomplete asof the date of this offer. far',
29975:'clause titledate change any changes provided bythe offerorare applicable to this solicitation only, anddo not result in an update to',
29976:'the representations and certifications posted on sam. end of provision alternate i mar 2023. as prescribed in 4.1202a , substitute',
29977:'the following paragraph a for paragraph a of the basic provision: a1 the north american industry classification system naics codes',
29978:'and corresponding size standards for this acquisition are as follows; the categories or portions these naics codes are assigned to',
29979:'are specified elsewhere in the solicitation: naics code size standard [contracting officer to insert naics codes and size standards]. 2',
29980:'the small businesssize standardfora concern that submits anoffer, other than ona construction or service acquisition, but proposes to furnish an',
29981:'end item that it did not itself manufacture, process, or produce, i.e., nonmanufacturer, is 500 employees, or 150 employees for',
29982:'information technology valueadded resellers under naics code 541519, if the acquisition— i is set aside for small business and has',
29983:'a value above the simplified acquisition threshold; iiuses the hubzoneprice evaluation preference regardlessof dollar value, unless the offeror waives the',
29984:'price evaluation preference; or iii is an 8a, hubzone, servicedisabled veteranowned, economically disadvantaged womenowned, or women owned small business setaside',
29985:'or solesource award regardless of dollar value. 52.2049personal identity verification of contractor personnel. as prescribed in 4.1303, insert the following',
29986:'clause: personal identity verification of contractor personnel jan 2011 a the contractor shall comply with agency personal identity verification procedures',
29987:'identified in the contract that implement homelandsecurity presidentialdirective12 hspd12, office of management and budget omb guidance m0524 and federal information',
29988:'processing standards publication fips pub number 201. b the contractor shall account for all forms of governmentprovided identification issued to',
29989:'the contractor employees in connection with performance under this contract. the contractor shall return such identification to the issuing agency',
29990:'at the earliest of any of the following, unless otherwise determined by the government: 1 when no longer needed for',
29991:'contract performance. 2 upon completion of the contractor employee’s employment. 3 upon contract completion or termination. c thecontracting officer may',
29992:'delay final payment under a contract if the contractor fails to complywith these requirements. 52.20410 federal acquisition regulation d the',
29993:'contractor shall insert the substance of this clause, including this paragraph d, in all subcontracts when the subcontractor’s employeesare required',
29994:'to have routinephysical access to a federallycontrolled facility and/or routine access to a federallycontrolled information system. it shall be the',
29995:'responsibility of the prime contractor to return such identification to the issuing agency in accordance with the terms set forth',
29996:'in paragraph b of this section, unless otherwise approved in writing by the contracting officer. end of clause 52.20410 reporting',
29997:'executive compensation and firsttier subcontract awards. as prescribed in 4.1403a, insert the following clause: reporting executive compensation and firsttier subcontract',
29998:'awards jun 2020 a definitions. as used in this clause: executive means officers, managing partners, or any other employees in',
29999:'management positions. firsttier subcontract means a subcontract awarded directly by the contractor for the purpose of acquiring supplies or services',
30000:'including constructionforperformance of a prime contract. it does not include the contractor’s supplier agreements with vendors, such as longterm arrangements',
30001:'for materials or supplies that benefit multiple contracts and/or the costs of which are normally applied to a contractor’sgeneral and',
30002:'administrative expenses or indirect costs. month of award means the month in which a contract is signed bythe contracting officeror',
30003:'the month inwhich a first tier subcontract is signed by thecontractor. total compensation means thecash and noncash dollar value earned',
30004:'by theexecutive duringthe contractor’spreceding fiscal year and includes the following for more information see 17 cfr 229.402c2: 1 salary and',
30005:'bonus. 2 awards of stock, stock options, and stock appreciation rights. use the dollar amount recognized for financial statement reporting',
30006:'purposes with respect to the fiscal year in accordance with the financial accounting standards board’s accounting standards codificationfasb asc 718,compensationstock',
30007:'compensation. 3 earnings for services under nonequity incentive plans. this does not include group life, health, hospitalization or medical reimbursement',
30008:'plans that do not discriminate in favor of executives, and are available generally to all salaried employees. 4 change in',
30009:'pension value. this is the change in present value of defined benefit and actuarial pension plans. 5 abovemarket earnings on',
30010:'deferred compensation which is not taxqualified. 6 other compensation, if the aggregate value of all such other compensation e.g., severance,',
30011:'termination payments, value of life insurance paid on behalf of the employee, perquisites or property for the executive exceeds $10,000.',
30012:'b section2d2 of the federalfunding accountability and transparency act of 2006pub. l. 109282, as amended by section 6202 ofthe government',
30013:'funding transparency act of 2008pub. l. 110252, requires the contractorto report information on subcontract awards. the law requires all reported',
30014:'information be made public, therefore, the contractor is responsible for notifying its subcontractors that the required information will be made',
30015:'public. c nothing in this clause requires the disclosure of classified information d 1executivecompensationoftheprimecontractor. asapartofitsannualregistrationrequirementinthesystem for award management sam federalacquisition',
30016:'regulation far provision 52.2047, the contractor shall report the namesand total compensationof each of the five most highlycompensated executives for',
30017:'its precedingcompleted fiscal year, if– iin the contractor’s preceding fiscal year, the contractor received a 80 percent or more of',
30018:'its annual gross revenues from federal contracts and subcontracts, loans, grants and subgrants, cooperative agreements, and other forms of federal',
30019:'financial assistance; and b $25,000,000 or more in annual gross revenues from federal contracts and subcontracts, loans, grants and subgrants,',
30020:'cooperative agreements, and other forms of federal financial assistance; and ii the public does not have access to information about',
30021:'the compensation of the executives through periodic reports filed under section 13a or 15d of the securities exchange act of',
30022:'1934 15 u.s.c. 78ma, 78od or section 6104 of the internalrevenuecode of 1986. to determine if the public hasaccess tothe',
30023:'compensation information, see theu.s. security and exchange commission total compensation filings at http://www.sec.gov/answers/execomp.htm. subpart 52.2 text of provisions and clauses',
30024:'52.20410 2 firsttier subcontract information. unless otherwise directed by the contracting officer, or as provided in paragraph g of this',
30025:'clause, by the end of the month following the month of award of a firsttier subcontract valued at or above',
30026:'the threshold specified in far 4.1403a on the date of subcontract award, the contractor shall report the following information at',
30027:'http://www.fsrs.gov for that firsttier subcontract. the contractor shall follow the instructions at http:// www.fsrs.gov to report the data. iuniqueentity identifier',
30028:'for the subcontractor receiving the award andforthe subcontractors parent company, if thesubcontractorhas a parent company. iiname of the subcontractor. iii',
30029:'amount of the subcontract award. iv date of the subcontract award. v a description of the products or services including',
30030:'construction being provided under the subcontract, including the overall purpose and expected outcomes or results of the subcontract. vi subcontract',
30031:'number the subcontract number assigned by the contractor. vii subcontractor’s physical address including street address, city,state,and country. alsoinclude the ninedigit',
30032:'zip code and congressional district. viii subcontractor’s primary performance location including street address,city,state, and country. also include the ninedigit zip',
30033:'code and congressional district. ix the prime contract number, and order number ifapplicable. x awarding agency name and code. xi',
30034:'funding agency name and code. xii government contractingoffice code. xiii treasury account symbol tas as reported in fpds. xiv the',
30035:'applicable north american industry classification system code naics. 3 executive compensation of the firsttier subcontractor. unless otherwise directed by the',
30036:'contracting officer, by the end of the month following the month of award of a firsttier subcontract valued at or',
30037:'above the threshold specified in far 4.1403a on the date of subcontract award, and annually thereafter calculated from the prime',
30038:'contract award date, the contractor shall report the names and total compensation of each of the five most highly compensated',
30039:'executives for that firsttiersubcontractorforthe firsttiersubcontractor’s preceding completed fiscal year at http://www.fsrs.gov, if iin the subcontractor’s preceding fiscal year,the subcontractor received',
30040:'a 80 percent or more of its annual gross revenues from federal contracts and subcontracts, loans, grants and subgrants, cooperative',
30041:'agreements, and other forms of federal financial assistance; and b $25,000,000 or more in annual gross revenues from federal contracts',
30042:'and subcontracts, loans, grants and subgrants, cooperative agreements, and other forms of federal financial assistance; and ii the public does',
30043:'not have access to information about the compensation of the executives through periodic reports filed under section 13a or 15d',
30044:'of the securities exchange act of 1934 15 u.s.c. 78ma, 78od or section 6104 of the internalrevenuecode of 1986. to',
30045:'determine if the public hasaccess tothe compensation information, see theu.s. security and exchange commission total compensation filings at http://www.sec.gov/answers/execomp.htm. e',
30046:'the contractor shall not split or break down firsttier subcontract awards to a value below the threshold specified in far',
30047:'4.1403a, on the date of subcontract award, to avoid the reporting requirements in paragraph d of this clause. f the',
30048:'contractor is required to report information on a firsttier subcontract covered by paragraph d when the subcontract is awarded. continued',
30049:'reporting on the same subcontract is not required unless one of the reported data elements changes during the performance of',
30050:'the subcontract. the contractor is not required to make further reports after the firsttier subcontract expires. g 1 if the',
30051:'contractor in the previous tax year had gross income, from all sources, under $300,000, the contractor is exempt from the',
30052:'requirement to report subcontractor awards. 2 if a subcontractor in the previous tax year had gross income from all sources',
30053:'under $300,000, the contractor does not need to reportawards for that subcontractor. h the fsrs database at http://www.fsrs.gov will be',
30054:'prepopulated with some information from sam and the fpds database. iffpdsinformationis incorrect, the contractor should notify the contractingofficer. if the',
30055:'sam information is incorrect, the contractor is responsible for correcting this information. end of clause 52.20411 federal acquisition regulation 52.20411',
30056:'[reserved] 52.20412 unique entity identifier maintenance. as prescribed in 4.607c, insert the following clause: unique entity identifier maintenance oct 2016',
30057:'a definition. uniqueentity identifier, as used in thisclause, meansa numberor other identifierused to identify a specific commercial,nonprofit, or governmententity. see',
30058:'www.sam.gov for the designated entity for establishing unique entity identifiers. b the contractor shall ensure that the unique entity identifier',
30059:'is maintained with the entity designated at the system for award management sam for establishment of theunique entity identifier throughout',
30060:'the life of thecontract. the contractor shall communicate any change to the unique entity identifierto thecontracting officer within 30 days',
30061:'after the change, so an appropriate modification can be issued to update the data on the contract. a change in',
30062:'the unique entity identifier does not necessarily require a novation be accomplished. end of clause 52.20413 systemfor awardmanagement maintenance. as',
30063:'prescribed in 4.1105b, use the following clause: system for award management maintenance. oct 2018 a definitions. as used in this',
30064:'clause— electronic funds transfer eft indicator meansa fourcharactersuffix to the unique entity identifier. thesuffix is assigned atthe discretion of the',
30065:'commercial, nonprofit, or government entityto establish additional system for award management sam records for identifying alternative eft accounts see subpart',
30066:'32.11forthesameentity. registered in the system for award management sam means that– 1 the contractor has entered all mandatory information, including',
30067:'the unique entity identifier and the eft indicator if applicable, the commercial and government entity cage code, as well as',
30068:'data required by the federal funding accountabilityandtransparencyactof2006see subpart 4.14, into sam; 2 the contractor has completed the core, assertions, representations',
30069:'and certifications, and points of contact sections of the registration in sam; 3 the government has validated all mandatory data',
30070:'fields, toinclude validation of the taxpayer identification number tin with the internal revenue service irs. the contractor will be required',
30071:'to provide consent for tin validation to the government as a part of the sam registration process; and 4 the',
30072:'government has marked the record active. system for award management sam means the primary government repository for prospective federal awardee',
30073:'and federal awardee information and the centralized government system for certain contracting, grants, and other assistance related processes. it includes–',
30074:'1 data collected from prospective federal awardees required for the conduct of business with the government; 2prospectivecontractorsubmittedannualrepresentationsandcertificationsinaccordancewithfar subpart 4.12; and',
30075:'3 identification of those parties excluded from receiving federal contracts, certain subcontracts, and certain types of federal financial and nonfinancial',
30076:'assistance and benefits. unique entity identifier means a number or other identifier used to identify a specific commercial, nonprofit, or',
30077:'government entity. see www.sam.gov for the designated entity for establishing unique entity identifiers. b if the solicitation for this contract',
30078:'contained the provision 52.2047 with its alternate i, and the contractor was unable to register prior to award, the contractor',
30079:'shall be registered in sam within 30 days after award or before three days prior to submission of the first',
30080:'invoice, whichever occurs first. c the contractor shall maintain registration in sam during contract performance and through final payment of',
30081:'any contract, basic agreement, basic ordering agreement, or blanket purchasing agreement. the contractor is responsible for the currency, accuracy and',
30082:'completenessof the data within sam,andforany liability resulting from the governments reliance subpart 52.2 text of provisions and clauses 52.20414 on',
30083:'inaccurate or incomplete data. toremainregisteredin samafter the initial registration, the contractor isrequired to review and update on an annual basis,',
30084:'from the date of initial registration or subsequent updates, its information in sam to ensure it is current, accurate and',
30085:'complete. updating information in sam does not alter the terms and conditions of this contract and is not a substitute',
30086:'for a properly executed contractual document. d 1 i if a contractor has legally changed its business name or doing',
30087:'business as name whichever is shown on the contract, or has transferred the assets used in performing the contract, but',
30088:'has not completed the necessary requirements regarding novation and changeofname agreements in subpart 42.12, the contractor shall provide the responsible',
30089:'contracting officera minimum of one business days written notification of itsintention to— a change the name in sam; b comply',
30090:'with the requirements of subpart 42.12 of the far; and c agree in writing to the timelineand procedures specified by',
30091:'the responsible contracting officer. the contractor shall provide with thenotification sufficient documentation to supportthe legally changedname. ii if the contractor',
30092:'fails to comply with the requirements of paragraph d1i of this clause, or fails to perform the agreement at paragraph',
30093:'d1ic of this clause, and, in the absence of a properly executed novation or changeofname agreement, the sam information that',
30094:'shows the contractor to be other than the contractor indicated in the contract will be considered to be incorrect information',
30095:'within the meaning of the suspension of payment paragraph of the electronic funds transfer eft clause of this contract. 2',
30096:'the contractor shall not change the name or address for eft payments or manual payments, as appropriate, in samrecordtoreflectanassigneeforthepurposeofassignmentofclaimsseefar subpart',
30097:'32.8, assignment of claims. assigneesshallbe separately registered in the sam. information provided tothe contractor’ssam recordthat indicates payments, including those made',
30098:'by eft,to anultimate recipient other than thatcontractor willbe consideredto beincorrect information within the meaning of the suspension of payment paragraph',
30099:'of the eft clause of this contract. 3 the contractor shall ensure that the unique entity identifier is maintained with',
30100:'the entity designated at www.sam.gov for establishment of the unique entity identifier throughout the life of the contract. the contractor',
30101:'shall communicate any change tothe uniqueentity identifier to the contractingofficer within 30 daysafter the change, soan appropriate modification can be',
30102:'issued to update the data on the contract. a change in the unique entity identifier does not necessarily require a',
30103:'novation be accomplished. e contractors may obtain additional information on registration and annual confirmation requirements at https:// www.sam.gov. end of',
30104:'clause 52.20414 service contract reporting requirements. as prescribed in 4.1705a, insert the following clause: service contract reporting requirementsoct 2016 a',
30105:'definition. firsttier subcontract means a subcontract awarded directly by the contractor for the purpose of acquiring supplies or services including',
30106:'constructionforperformance of a prime contract. it does not include the contractor’s supplier agreements with vendors, such as longterm arrangements for',
30107:'materials or supplies that benefit multiple contracts and/or the costs of which are normally applied to a contractor’sgeneral and administrative',
30108:'expenses or indirect costs. b the contractor shall report, in accordance with paragraphs c and d of this clause, annually',
30109:'by october 31, for services performed under this contract during the preceding government fiscal year october 1september 30. c the',
30110:'contractor shall report the following information: 1 contractnumber and, as applicable, order number. 2 the total dollar amount invoiced for',
30111:'services performed during the previous government fiscal year under the contract. 3 the number of contractor direct labor hours expended',
30112:'on the services performed during the previous government fiscal year. 4 data reported by subcontractors under paragraph f of this',
30113:'clause. d the information required in paragraph c of this clause shall be submitted via the internet at www.sam.gov. see',
30114:'sam user guide. if the contractor fails to submit the report in a timely manner, the contractingofficer will exercise appropriate',
30115:'52.20415 federal acquisition regulation contractualremedies. in addition, the contracting officer will make the contractor’s failure to comply with the reporting',
30116:'requirementsapartofthecontractor’sperformanceinformationunderfar subpart 42.15. e agencies will review contractor reported information for reasonableness and consistency with available contract information. in the',
30117:'event the agency believes that revisions to the contractor reported information are warranted, the agency will notify the contractor no',
30118:'later than november 15. by november 30, the contractor shall revise the report, or document its rationale for theagency. f',
30119:'1 the contractor shall require each firsttier subcontractor providing services under this contract, with subcontracts each valued at or above',
30120:'the thresholds set forth in 4.1703a2, to provide the following detailed information to the contractor insufficient time to submit the',
30121:'report: i subcontract number including subcontractor name and unique entity identifier; and ii the number of firsttier subcontractor directlabor hours',
30122:'expended on the services performed during the previous government fiscal year. 2 the contractor shall advise the subcontractor that the',
30123:'information will be made available to the public as required by section 743 of division c of the consolidated appropriations',
30124:'act, 2010. end of clause 52.20415 service contract reporting requirements for indefinitedelivery contracts. as prescribed in 4.1705b, insert the following',
30125:'clause: service contract reporting requirements for indefinitedelivery contractsoct 2016 a definitions. firsttier subcontract means a subcontract awarded directly by the',
30126:'contractor for the purpose of acquiring supplies or services including constructionforperformance of a prime contract. it does not include the',
30127:'contractor’s supplier agreements with vendors, such as longterm arrangements for materials or supplies that benefit multiple contracts and/or the costs',
30128:'of which are normally applied to a contractor’sgeneral and administrative expenses or indirect costs. b the contractor shall report, in',
30129:'accordance with paragraphs c and d of this clause, annually by october 31, for services performed during the preceding government',
30130:'fiscal year october 1september 30 under this contract for orders that exceed the thresholds established in 4.1703a2. c the contractor',
30131:'shall report the following information: 1 contractnumber and order number. 2 the total dollar amount invoiced for services performed during',
30132:'the previous government fiscal year under the order. 3 the number of contractor direct labor hours expended on the services',
30133:'performed during the previous government fiscal year. 4 data reported by subcontractors under paragraph f of this clause. d the',
30134:'information required in paragraph c of this clause shall be submitted via the internet at www.sam.gov. see sam user guide.',
30135:'if the contractor fails to submit the report in a timely manner, the contracting officer will exerciseappropriate contractualremedies. in addition,',
30136:'the contracting officer will make the contractor’s failure to comply with the reporting requirementsapartofthecontractor’sperformanceinformationunderfar subpart 42.15. e agencies will review',
30137:'contractor reported information for reasonableness and consistency with available contract information. in the event the agency believes that revisions to',
30138:'the contractor reported information are warranted, the agency will notify the contractor no later than november 15. by november 30,',
30139:'the contractor shall revise the report, or document its rationale for theagency. f 1 the contractor shall require each firsttier',
30140:'subcontractor providing services under this contract, with subcontracts each valued at or above the thresholds set forth in 4.1703a2, to',
30141:'provide the following detailed information to the contractor insufficient time to submit the report: i subcontract number including subcontractor name',
30142:'and unique entity identifier, and ii the number of firsttier subcontractor directlabor hours expended on the services performed during the',
30143:'previous government fiscal year. subpart 52.2 text of provisions and clauses 52.20416 2 the contractor shall advise the subcontractor that',
30144:'the information will be made available to the public as required by section 743 of division c of the consolidated',
30145:'appropriations act, 2010. end of clause 52.20416 commercial and government entity code reporting. as prescribed in 4.1804a, use the following',
30146:'provision: commercial and government entity code reporting aug 2020 a definition. as used in this provision – commercial and government',
30147:'entity cage code means– 1 an identifier assigned to entities located in the united states or its outlying areas by',
30148:'the defense logistics agency dla commercial and government entity cage branch to identify a commercial or government entity by unique',
30149:'location; or 2 an identifierassigned by a member of the northatlantic treatyorganization nato or by the nato supportand procurement agency',
30150:'nspa toentitieslocated outside theunited statesandits outlying areas that the dla commercial and government entity cage branch records and maintains in',
30151:'the cage master file. this type of code is known as a natocage ncage code. b the offeror shall provide',
30152:'its cagecodewith its offer with its name and location address or otherwise includeit prominently in its proposal. the cage code',
30153:'must be for that name and location address. insert the word cage before the number. the cage code is required',
30154:'prior to award. c cage codes may be obtained via– 1 registration in the system for award management sam at',
30155:'www.sam.gov.if the offeror is located in the united states or its outlying areas and does not already have a cage',
30156:'code assigned, the dla commercial and government entity cage branch will assign a cage code as a part of the',
30157:'sam registration process. sam registrants located outside the united states and its outlying areas shall obtain a ncage code prior',
30158:'to registration in sam see paragraph c3 of this provision. 2 the dla contractor and government entity cage branch. if',
30159:'registration in sam is not required for the subject procurement,andthe offeror does not otherwise register in sam, an offeror located',
30160:'in the united states orits outlying areas may request that a cage code be assigned by submitting a request at',
30161:'https://cage.dla.mil. 3 the appropriate country codification bureau. entities located outside the united states and its outlying areas may obtain an',
30162:'ncage code by contacting the codification bureau in the foreign entitys country if that country is a member of natoor',
30163:'asponsored nation. ncage codes may be obtained from the nspa at https://eportal.nspa.nato.int/ac135public/ scage/cagelist.aspx if the foreign entity’s country is not',
30164:'a member ofnato or a sponsored nation. pointsof contact for codification bureaus, as well as additional information on obtaining ncage',
30165:'codes, are available at http://www.nato.int/ structur/ac/135/main/links/contacts.htm. d additional guidance for establishing and maintaining cage codes is available at https://cage.dla.mil. e',
30166:'when a cage code is required for the immediate owner and/or the highestlevel owner by federal acquisition regulation far 52.20417',
30167:'or 52.2123p, theofferor shall obtainthe respective cage code fromthat entity to supply the cage code to the government. f do',
30168:'not delay submission of theoffer pending receipt of a cagecode. g if the solicitationincludes far clause 52.2042, security requirements, a',
30169:'subcontractor requiring access to classified information under a contract shall be identified with a cage code on the dd form',
30170:'254. the contractor shall require a subcontractor requiring access to classified information to provide its cage code with its name',
30171:'and location address or otherwise include it prominently in the proposal. each location of subcontractor performance listed on the dd',
30172:'form 254 is required to reflect a corresponding unique cage code for each listed location unless the work is being',
30173:'performed at a government facility, in which case the agency location code shall be used. the cage code must be',
30174:'for that name and location address. insert the word cage before the number. the cage code isrequired priorto award. end',
30175:'of provision 52.20417 federal acquisition regulation 52.20417 ownership or controlof offeror. as prescribed in 4.1804b, use the following provision: ownership',
30176:'or control of offeror aug 2020 a definitions. as used in this provision– commercial and government entity cage code means–',
30177:'1 an identifier assigned to entities located in the united states or its outlying areas by the defense logistics agency',
30178:'dla commercial and government entity cage branch to identify a commercial or government entity by unique location; or 2 an',
30179:'identifierassigned by a member of the northatlantic treatyorganization nato or by the nato supportand procurement agency nspa toentitieslocated outside theunited',
30180:'statesandits outlying areas that the dla commercial and government entity cage branch records and maintains in the cage master file.',
30181:'this type of code is known as a natocage ncage code. highestlevel owner means theentity thatowns orcontrolsan immediate owner of',
30182:'the offeror, or that owns or controls one or more entities that control an immediate owner of the offeror. no',
30183:'entity owns or exercisescontrol of the highest level owner. immediate owner means an entity, other than the offeror, that has',
30184:'direct control of the offeror. indicators of control include, but are not limited to, one or more of the following:',
30185:'ownership or interlocking management, identity of interests among family members, shared facilities and equipment, and the common use of employees.',
30186:'b the offeror represents that it □ has or □ does nothavean immediate owner. ifthe offeror has more than one',
30187:'immediate owner such asa joint venture, then the offerorshallrespond to paragraph c and if applicable, paragraph d of this provision',
30188:'for each participant in the joint venture. c if the offeror indicates has in paragraph b of this provision, enter',
30189:'the following information: immediate owner cage code: immediate owner legal name: do not use a doing business as name is',
30190:'the immediate owner owned or controlled by another entity? : □ yes or □ no. d if the offeror indicates',
30191:'yes in paragraph c of this provision, indicating that the immediate owner is owned or controlled byanother entity, then enter',
30192:'the following information: highestlevel owner cage code: highestlevel owner legal name: do not use a doing business as name end',
30193:'of provision 52.20418 commercial and government entity code maintenance. as prescribed in 4.1804c, use the following clause: commercial and government',
30194:'entity code maintenance aug 2020 a definition. as used in this clause– commercial and government entity cage code means– 1',
30195:'an identifier assigned to entities located in the united states or its outlying areas by the defense logistics agency dla',
30196:'commercial and government entity cage branch to identify a commercial or government entity by unique location; or 2 an identifierassigned',
30197:'by a member of the northatlantic treatyorganization nato or by the nato supportand procurement agency nspa toentitieslocated outside theunited statesandits',
30198:'outlying areas that the dla commercial and government entity cage branch records and maintains in the cage master file. this',
30199:'type of code is known as a natocage ncage code. b contractors shall ensure that the cage code is maintained',
30200:'throughout the life of the contract for each location of contract, including subcontract,performance. for contractors registered in the system for',
30201:'award managementsam, the dla commercial and government entity cage branch shall only modify data received from sam in the cage',
30202:'master subpart 52.2 text of provisions and clauses 52.20420 file if the contractor initiates those changes via update of its',
30203:'sam registration. contractors undergoing a novation or change ofname agreement shall notifythe contracting officer in accordance with subpart 42.12. the',
30204:'contractor shall communicate any change to the cage code to the contracting officer within 30days after the change, so that',
30205:'amodification can be issued to update the cage code on the contract. c contractors located in the united states or',
30206:'its outlying areas that are not registered in sam shall submit written change requests to the dla commercial and government',
30207:'entity cage branch. requests for changes shall be provided at https:// cage.dla.mil. change requests to the cage master file are',
30208:'accepted from the entity identified by the code. d contractors located outside the united states and its outlying areas that',
30209:'are not registered in sam shall contact the appropriate national codification bureau points of contact available at http://www.nato.int/structur/ac/135/main/links/ contacts.htm or',
30210:'nspa at https://eportal.nspa.nato.int/ac135public/scage/cagelist.aspx to request cage changes. e additional guidance for maintaining cage codes is available at https://cage.dla.mil. f if',
30211:'the contract includes federal acquisition regulation clause 52.2042, security requirements, the contractor shall ensure that subcontractors maintain their cage codes',
30212:'throughout the life of the contract. end of clause 52.20419 incorporation byreferenceof representations and certifications. as prescribed in 4.1202b, insert',
30213:'the following clause: incorporation by reference of representations and certifications dec 2014 the contractor’s representationsand certifications, including thosecompleted electronically via',
30214:'the system for award management sam, are incorporated by reference into the contract. end of clause 52.20420 predecessor of offeror.',
30215:'as prescribed in 4.1804d, insert the following provision: predecessor of offeror aug 2020 a definitions. as used in this provision–',
30216:'commercial and government entity cage code means– 1 an identifier assigned to entities located in the united states or its',
30217:'outlying areas by the defense logistics agency dla commercial and government entity cage branch to identify a commercial or government',
30218:'entity by unique location; or 2 an identifierassigned by a member of the northatlantic treatyorganization nato or by the nato',
30219:'supportand procurement agency nspa toentitieslocated outside theunited statesandits outlying areas that the dla commercial and government entity cage branch records',
30220:'and maintains in the cage master file. this type of code is known as a natocage ncage code. predecessor means',
30221:'an entitythat isreplaced by a successor and includes any predecessors of the predecessor. successor means an entity that hasreplaced a',
30222:'predecessor by acquiring the assets and carrying out the affairs of the predecessor under a new name oftenthroughacquisitionor merger. the',
30223:'term successor doesnot includenew offices/ divisions of the same company or a company that only changes its name. the extent',
30224:'of the responsibility of the successor for theliabilities of the predecessormay vary, depending on state law and specific circumstances. b',
30225:'the offeror represents that it □ is or □ is not a successor to a predecessor that held a federal',
30226:'contract or grant within the last three years. c if the offeror has indicated is in paragraphbof this provision, enter',
30227:'the followinginformationforall predecessors that held afederal contract or grant withinthe last threeyears ifmore thanone predecessor, listin reverse chronological order: predecessor',
30228:'cage code: or mark unknown. predecessor legal name: . 52.20421 federal acquisition regulation do not use a doing business as',
30229:'name. end of provision 52.20421 basicsafeguarding of covered contractor information systems. as prescribed in 4.1903, insert the following clause: basic',
30230:'safeguarding of covered contractor information systems nov 2021 a definitions. as used in this clause— covered contractor information system means',
30231:'an information system that is owned or operated by a contractor that processes, stores, or transmits federal contract information. federal',
30232:'contract information means information, not intended for public release, that is provided by or generated for the government under a',
30233:'contract to develop or deliver a product or service to the government, but not including information provided by the government',
30234:'to the public such as on public websites or simple transactional information, such as necessary to process payments. information means',
30235:'any communication or representation of knowledge such as facts, data, or opinions, in any medium or form, including textual, numerical,',
30236:'graphic, cartographic, narrative, or audiovisual committee on national security systems instruction cnssi 4009. information system means a discrete set of',
30237:'information resources organized for the collection, processing, maintenance, use, sharing, dissemination, or disposition of information 44 u.s.c. 3502. safeguarding means',
30238:'measures or controls that are prescribed to protect information systems. b safeguarding requirements and procedures. 1 the contractor shall apply',
30239:'the following basic safeguarding requirements and procedures to protect covered contractor information systems. requirements and procedures for basic safeguarding of',
30240:'covered contractor information systems shall include, at a minimum, the following security controls: i limit information system access to authorized',
30241:'users, processes acting on behalf of authorized users, or devices including other information systems. ii limit information system access to',
30242:'the types of transactions and functions that authorized users are permitted to execute. iii verify and control/limitconnections to and useof',
30243:'external informationsystems. iv control information posted or processed on publicly accessible information systems. v identify information system users, processes acting',
30244:'on behalf of users, or devices. vi authenticate or verify the identities of those users, processes, or devices, as a',
30245:'prerequisite to allowing access to organizational information systems. vii sanitize or destroy information system media containing federal contract information before',
30246:'disposal or release for reuse. viii limit physical accessto organizationalinformationsystems, equipment, and therespective operating environments to authorized individuals. ix escort',
30247:'visitors and monitor visitor activity; maintain audit logs of physical access; and control and manage physical access devices. x monitor,',
30248:'control, and protect organizational communications i.e., information transmitted or received by organizationalinformation systems atthe external boundaries and key internal boundariesof',
30249:'the information systems. xi implement subnetworks for publicly accessible system components that are physically or logically separated from internal networks.',
30250:'xii identify, report, and correctinformationandinformationsystemflaws in a timelymanner. xiii provide protectionfrom malicious code atappropriatelocations within organizational information systems. xiv update',
30251:'malicious code protection mechanisms when new releases are available. xv perform periodic scans of the information system and realtime scans',
30252:'of files from external sources as files are downloaded, opened, or executed. 2 other requirements. this clause does not relieve',
30253:'the contractor of any other specific safeguarding requirements specified by federal agencies and departments relating to covered contractor information systems',
30254:'generally or other federal safeguarding requirements for controlled unclassified information cui as established by executive order 13556. subpart 52.2 text',
30255:'of provisions and clauses 52.20423 c subcontracts. the contractor shall include the substance of this clause, including this paragraph c,',
30256:'in subcontracts under this contract including subcontracts for the acquisition of commercial products or commercial services, other than commercially availableofftheshelf',
30257:'items, in whichthe subcontractor may have federal contractinformation residingin or transiting through its information system. end of clause 52.20422 alternative',
30258:'line item proposal. as prescribed in 4.1008, insert the following provision: alternative line item proposaljan 2017 a thegovernment recognizes that',
30259:'theline items established in thissolicitation may notconformto theofferor’s practices. failure tocorrect these issues can result in difficultiesin acceptance of deliverables',
30260:'and processing payments. therefore, the offeroris invited to propose alternative lineitemsforwhich bids, proposals, orquotes are requested in this solicitation to',
30261:'ensure that the resulting contract is economically and administratively advantageous to the government and the offeror. b the offeror maysubmit',
30262:'one or more additional proposals with alternative line items, provided that alternative line items are consistent with subpart 4.10ofthefederalacquisitionregulation. however,acceptanceofanalternativeproposal',
30263:'is a unilateral decision madesolely at thediscretionof the government. offers that do not comply with the line items specified in',
30264:'this solicitation may be determined to be nonresponsive or unacceptable. end of provision 52.20423 prohibitionon contractingfor hardware, software,and services developedor',
30265:'provided by kaspersky lab covered entities. as prescribed in 4.2004, insert the following clause: prohibition on contracting for hardware, software,',
30266:'and services developed or provided by kaspersky lab covered entities. dec 2023 a definitions. as used in this clause— kaspersky',
30267:'lab covered article means any hardware, software, or service that– 1 is developed or provided by a kaspersky lab covered',
30268:'entity; 2 includes any hardware, software, or service developed or provided in whole or in part by a kaspersky lab',
30269:'covered entity; or 3 contains components using any hardware or software developed in whole or in part by a kaspersky',
30270:'lab covered entity. kaspersky lab covered entity means– 1 kaspersky lab; 2 any successor entity to kaspersky lab, including any',
30271:'change in name, e.g., “kaspersky”; 3 any entity that controls, iscontrolled by,or is under common controlwith kaspersky lab; or 4',
30272:'any entity of which kaspersky lab has a majority ownership. b prohibition.section 1634of divisionaof the national defense authorizationactforfiscal year 2018',
30273:'pub. l. 11591 prohibitsgovernment useof any kaspersky labcovered article. thecontractor is prohibited from— 1 providing any kaspersky lab covered article',
30274:'that the government will use on or after october 1, 2018; and 2 using any kaspersky lab covered article on',
30275:'or after october 1, 2018, in the development of data or deliverables first produced in the performance of the contract.',
30276:'c reporting requirement. 1 in the event the contractoridentifies a kaspersky lab covered article provided to the government during contract',
30277:'performance, or the contractor is notified of such by a subcontractor at any tier or any other source, the contractor',
30278:'shall report,in writing, to the contracting officer or, in the case of thedepartment ofdefense, tothe website at https:// dibnet.dod.mil. for',
30279:'indefinite delivery contracts, the contractor shall report to thecontracting officer for theindefinite 52.20424 federal acquisition regulation delivery contractandthe contracting officersforanyaffected',
30280:'order or, in the case ofthe department of defense, identify both theindefinite delivery contract and any affected orders in the',
30281:'report provided at https://dibnet.dod.mil. 2 the contractor shall report the following information pursuant to paragraph c1 of this clause: iwithin',
30282:'3 business days from thedate of such identification or notification: thecontract number; the order numbers, if applicable;supplier name; brand; model',
30283:'numberoriginalequipment manufacturer oem number, manufacturer part number, or wholesaler number; item description; and any readily available information about mitigation actions',
30284:'undertaken or recommended. iiwithin 10 businessdays of submitting the report pursuant to paragraph c1 of this clause: any furtheravailable information',
30285:'about mitigation actions undertaken or recommended. in addition, the contractor shall describe the efforts it undertook to prevent use or',
30286:'submission of a kaspersky lab covered article, any reasons that led to the use or submission of thekaspersky lab coveredarticle,',
30287:'and any additional effortsthat will be incorporated to prevent future use or submission of kaspersky lab covered articles. d subcontracts.',
30288:'the contractor shall insert the substance of this clause, including this paragraph d, in all subcontracts including subcontracts for the',
30289:'acquisition of commercial products or commercial services. end of clause 52.20424 representation regarding certain telecommunicationsand video surveillance services or equipment.',
30290:'as prescribed in 4.2105a, insert the following provision: representation regarding certain telecommunications and video surveillance services or equipment nov 2021',
30291:'the offeror shall not completethe representation at paragraph d1 of this provision ifthe offeror has representedthat it doesnot provide covered',
30292:'telecommunicationsequipment or services as a part of its offeredproducts or services to the government in the performance of any contract,',
30293:'subcontract, or other contractual instrument in paragraph c1 in the provision at 52.20426, covered telecommunications equipmentor services—representation, or in paragraphv2i',
30294:'of the provision at 52.2123, offerorrepresentations and certificationscommercial products orcommercial services. the offeror shall not completethe representation in paragraph d2',
30295:'of this provision if the offeror has represented that it does not use covered telecommunications equipment or services, or any',
30296:'equipment, system, or service that uses covered telecommunications equipment or services in paragraph c2 of the provision at 52.20426, or',
30297:'in paragraph v2ii of the provision at 52.2123. a definitions. as used in this provision— backhaul, covered telecommunications equipment or',
30298:'services, critical technology, interconnection arrangements, reasonable inquiry, roaming, and substantial or essential component have the meanings provided in the clause',
30299:'52.20425, prohibition on contracting for certain telecommunicationsandvideo surveillance servicesor equipment. b prohibition. 1 section 889a1a of the john s. mccain',
30300:'national defense authorization act for fiscal year 2019 pub. l. 115232 prohibitsthe head of an executive agency on or after',
30301:'august 13, 2019,from procuring or obtaining, or extending or renewing a contract to procure or obtain, any equipment, system, or',
30302:'service that uses covered telecommunications equipment or services as a substantial or essential component of any system, or as critical',
30303:'technology as part of any system. nothing in the prohibition shall be construed to— i prohibit the head of an',
30304:'executive agency from procuring with an entity to provide a service that connects to the facilities ofa thirdparty, such as',
30305:'backhaul,roaming, or interconnectionarrangements; or iicover telecommunications equipment that cannotrouteor redirect user data traffic orcannot permit visibility into any user data',
30306:'or packets that such equipment transmits or otherwise handles. 2 section889a1b of the john s. mccain national defense authorization act',
30307:'for fiscal year 2019pub. l. 115232 prohibits the head of an executive agency on or after august 13, 2020, from',
30308:'enteringinto acontract or extending or renewing a contract with an entity that uses any equipment, system, or service that uses',
30309:'covered telecommunications equipment or services as a substantial or essential component of any system, or as critical technology as part',
30310:'of any system. this prohibition applies to the use of covered telecommunications equipment or services, regardless of whether that use',
30311:'is in performance of work under a federal contract. nothing in the prohibition shall be construed to— i prohibit the',
30312:'head of an executive agency from procuring with an entity to provide a service that connects to the facilities ofa',
30313:'thirdparty, such as backhaul,roaming, or interconnectionarrangements; or subpart 52.2 text of provisions and clauses 52.20425 iicover telecommunications equipment that cannotrouteor',
30314:'redirect user data traffic orcannot permit visibility into any user data or packets that such equipment transmits or otherwise handles.',
30315:'c procedures. the offeror shall review the list ofexcluded partiesin the system for awardmanagement sam https:// www.sam.gov for entities excluded',
30316:'from receiving federal awards for covered telecommunications equipment or services. d representation. the offeror represents that— 1 it □ will,',
30317:'□ will not provide covered telecommunications equipment or services to the government in the performanceof any contract,subcontract or other contractual',
30318:'instrument resulting from this solicitation. the offerorshall provide the additionaldisclosure information required at paragraph e1 of this section if the',
30319:'offeror responds will in paragraph d1 of this section; and 2 afterconducting a reasonable inquiry, for purposes of this representation,',
30320:'the offeror represents that— it □ does, □ does not use covered telecommunications equipment or services, or use any equipment,',
30321:'system, or service that uses covered telecommunications equipmentor services. the offeror shall provide the additional disclosure information required at paragraph',
30322:'e2 ofthis section if the offerorresponds does inparagraph d2of this section. e disclosures. 1 disclosure for the representation in paragraph',
30323:'d1 of thisprovision. if the offeror hasresponded will in the representation in paragraph d1 ofthisprovision, the offerorshallprovide the following information',
30324:'as part of theoffer: i for covered equipment— a the entity that produced the covered telecommunications equipment include entity name,',
30325:'unique entity identifier, cage code, and whether the entity was theoriginal equipmentmanufacturer oemor adistributor, if known; b a description of',
30326:'all covered telecommunications equipmentoffered include brand; model number, suchas oem number, manufacturer partnumber, orwholesaler number; and item description, as applicable;',
30327:'and c explanation of the proposed use of covered telecommunications equipment and any factors relevant to determining if such use',
30328:'would be permissible under the prohibition in paragraph b1 of this provision. ii for covered services— a if the service',
30329:'is related to item maintenance: a description of all covered telecommunications services offered include onthe item beingmaintained: brand; modelnumber, such',
30330:'as oem number, manufacturer partnumber, or wholesaler number; and item description, as applicable; or b if not associated with maintenance,',
30331:'the product service code psc of the service being provided; and explanation of the proposed use of covered telecommunications services',
30332:'and any factors relevant to determining if such use would be permissible under the prohibition in paragraph b1 of this',
30333:'provision. 2 disclosure for therepresentation in paragraph d2 ofthis provision. if the offeror has responded does in the representation in',
30334:'paragraph d2 of this provision,the offeror shall provide the followinginformationas part of the offer: i for covered equipment— a the',
30335:'entity that produced the covered telecommunications equipment include entity name, unique entity identifier, cage code, and whether the entity was',
30336:'theoem or a distributor, if known; b a description of all covered telecommunications equipmentoffered include brand; model number, suchas oem',
30337:'number, manufacturer partnumber, orwholesaler number; and item description, as applicable; and c explanation of the proposed use of covered telecommunications',
30338:'equipment and any factors relevant to determining if such use would be permissible under the prohibition in paragraph b2 of',
30339:'this provision. ii for covered services— a if the service is related to item maintenance: a description of all covered',
30340:'telecommunications services offered include onthe item beingmaintained: brand; modelnumber, such as oem number, manufacturer partnumber, or wholesaler number; and item',
30341:'description, as applicable; or b if not associated with maintenance, the psc of the service being provided; and explanation of',
30342:'the proposed use of covered telecommunications services and any factors relevant to determining if such use would be permissible under',
30343:'the prohibition in paragraph b2 of this provision. end of provision 52.20425 prohibitionon contractingfor certain telecommunications and video surveillance services',
30344:'orequipment. as prescribed in 4.2105b, insert the following clause: 52.20425 federal acquisition regulation prohibition on contracting for certain telecommunications and',
30345:'video surveillance services or equipment nov 2021 a definitions. as used in this clause— backhaul means intermediate links between the',
30346:'core network, or backbone network, and the small subnetworks at the edge of the network e.g., connecting cell phones/towers to',
30347:'the core telephone network. backhaul can be wireless e.g., microwave or wired e.g., fiber optic, coaxial cable, ethernet. covered foreign',
30348:'country means the people’s republic ofchina. covered telecommunications equipment or services means– 1 telecommunications equipment produced by huawei technologies company',
30349:'orzte corporation or any subsidiary oraffiliate of such entities; 2 for the purpose of public safety, security ofgovernment facilities, physical',
30350:'security surveillance of critical infrastructure, and other national security purposes, video surveillance and telecommunications equipment produced by hytera communications corporation,',
30351:'hangzhou hikvision digitaltechnology company,or dahua technology company or any subsidiary oraffiliateof such entities; 3 telecommunications or video surveillance services provided',
30352:'by such entities or using such equipment; or 4 telecommunications or video surveillance equipment or servicesproduced orprovidedby an entity that',
30353:'the secretary of defense, in consultation with the director of national intelligence or the director of the federal bureau of',
30354:'investigation, reasonably believes to be an entity owned or controlled by, orotherwise connected to, the government of a covered foreign',
30355:'country. critical technology means– 1 defense articles or defense services included on the united states munitions list set forth in',
30356:'the international trafficin arms regulationsunder subchapterm of chapter i of title 22, code of federalregulations; 2 items included on the',
30357:'commerce control list set forth in supplement no. 1 to part 774 of the export administration regulations under subchapter c',
30358:'of chapter vii of title 15, code of federal regulations, and controlled ipursuant to multilateral regimes, including for reasons relating',
30359:'to national security, chemical and biological weapons proliferation, nuclear nonproliferation, or missile technology; or ii for reasons relating to regional',
30360:'stability or surreptitious listening; 3 specially designed and prepared nuclear equipment, parts and components, materials, software, and technology covered bypart',
30361:'810 of title 10, codeof federal regulations relatingto assistance to foreignatomic energy activities; 4 nuclear facilities, equipment, andmaterial covered by',
30362:'part110 oftitle 10, code offederal regulations relating to export and import of nuclear equipment and material; 5 select agents and',
30363:'toxins covered by part 331 of title 7, code of federal regulations, part 121 of title 9 of such code,',
30364:'or part 73 of title 42 of such code; or 6 emerging and foundationaltechnologies controlled pursuant to section 1758 of',
30365:'theexport control reform act of 2018 50 u.s.c. 4817. interconnection arrangements means arrangements governing the physical connection of two or',
30366:'more networks to allow theuse of anothersnetwork to hand off traffic where it is ultimatelydelivered e.g., connection of a customer',
30367:'of telephone provider a to a customer of telephone company b or sharing data and other information resources. reasonable inquiry',
30368:'means an inquiry designed to uncover any information in the entitys possession about the identity of the producer or provider',
30369:'of covered telecommunications equipment or services used by the entity that excludes the need to include an internal or thirdparty',
30370:'audit. roaming means cellular communications services e.g., voice, video, data received from a visited network when unable to connect to',
30371:'the facilities of the homenetwork eitherbecause signalcoverage is too weak or because traffic is toohigh. substantial or essential component means',
30372:'any component necessary for the proper function or performance of a piece of equipment, system, or service. b prohibition. 1',
30373:'section 889a1a of the john s. mccain national defense authorization act for fiscal year 2019 pub. l. 115232 prohibitsthe head',
30374:'of an executive agency on or after august 13, 2019,from procuring or obtaining, or extending or renewing a contract to',
30375:'procure or obtain, any equipment, system, or service that uses covered telecommunications equipment or services as a substantial or essential',
30376:'component of any system, or as critical technology as part of any system. the contractor is prohibited from providing to',
30377:'the government any equipment, system, or service that uses covered telecommunications equipment or services as a substantial or essential component',
30378:'of any system, or subpart 52.2 text of provisions and clauses 52.20426 as critical technology as part of any system,',
30379:'unless an exception at paragraph c of this clause applies or the covered telecommunication equipment or services arecovered by a',
30380:'waiver described infar 4.2104. 2 section889a1b of the john s. mccain national defense authorization act for fiscal year 2019pub. l.',
30381:'115232 prohibits the head of an executive agency on or after august 13, 2020, from enteringinto acontract, orextending or renewing',
30382:'a contract, with an entity that uses any equipment, system, or service that uses covered telecommunications equipment or services as',
30383:'a substantial or essential component of any system, or as critical technology as part of any system, unless an exception',
30384:'at paragraph c of this clause applies or the covered telecommunication equipment or services are covered bya waiver describedin far',
30385:'4.2104. this prohibition applies to the use of covered telecommunications equipment or services, regardless of whether that use is in',
30386:'performance of work under a federal contract. c exceptions. this clause does not prohibit contractors from providing— 1 a servicethat',
30387:'connects to the facilitiesof athirdparty, such asbackhaul, roaming, or interconnection arrangements; or 2 telecommunications equipment that cannot route or redirect',
30388:'user data traffic or permit visibilityinto any userdata or packets that such equipment transmits or otherwise handles. d reporting requirement.',
30389:'1 in the event the contractor identifies covered telecommunications equipment or services used as a substantial or essential component of',
30390:'any system, or as critical technology as part of any system, during contract performance, or the contractor is notified of',
30391:'such by a subcontractor at any tier or by any other source, the contractor shall report the information in paragraphd2',
30392:'of this clause to the contracting officer, unless elsewhere in this contract are established procedures for reporting the information; in',
30393:'the case of the department of defense, the contractor shall report to the website at https://dibnet.dod.mil. forindefinite delivery contracts, thecontractor',
30394:'shall report tothe contracting officer for theindefinite delivery contract and the contracting officers for any affected order or, in thecaseof',
30395:'the department of defense,identify both the indefinite delivery contract and any affected orders in the report provided at https://dibnet.dod.mil. 2',
30396:'the contractor shall report the following information pursuant to paragraph d1 of this clause iwithin one business day from the',
30397:'date of such identification ornotification: the contractnumber; the order numbers, if applicable; supplier name; supplier unique entity identifier if known;',
30398:'supplier commercial and government entity cage code if known; brand; model number originalequipment manufacturer number, manufacturer part number, or wholesaler',
30399:'number; item description; and any readily available information about mitigation actions undertaken or recommended. iiwithin 10 businessdays of submitting the',
30400:'information in paragraph d2i of this clause: any further available information about mitigation actions undertaken or recommended. in addition, the',
30401:'contractor shall describe the efforts it undertook to prevent useor submissionof covered telecommunications equipment or services, andanyadditional efforts that will',
30402:'be incorporated to prevent future use or submission of covered telecommunications equipment or services. e subcontracts. the contractor shall insert',
30403:'the substance of this clause, including this paragraph e and excluding paragraph b2, in all subcontracts and other contractual instruments,',
30404:'including subcontracts for the acquisition of commercial products or commercial services. end of clause 52.20426 covered telecommunications equipmentor servicesrepresentation. as',
30405:'prescribed in 4.2105c, insert the following provision: covered telecommunications equipment or servicesrepresentation oct 2020 a definitions. as used in this',
30406:'provision, covered telecommunications equipment or services and reasonable inquiry have the meaning provided in the clause 52.20425, prohibition oncontracting for',
30407:'certain telecommunications and video surveillance services or equipment. b procedures. the offeror shall review thelist of excluded parties in the',
30408:'system for award management sam https:// www.sam.gov for entities excluded from receiving federal awards for covered telecommunications equipment or services.',
30409:'c 1 representation. the offeror represents that it □ does, □ does not provide covered telecommunications equipment or services as',
30410:'a part of its offered productsor services to the government in the performance of any contract, subcontract, or other contractual',
30411:'instrument. 52.20427 federal acquisition regulation 2 afterconducting a reasonable inquiry for purposes ofthis representation, the offeror represents that it □',
30412:'does, □ does not use covered telecommunications equipment or services, or any equipment, system, or service that uses covered telecommunications',
30413:'equipment or services. end of provision 52.20427 prohibitionon a bytedancecoveredapplication. as prescribed in 4.2203, insert the following clause: prohibition on',
30414:'a bytedance covered application jun 2023 a definitions. as used in this clause— covered application means the social networking servicetiktok',
30415:'or any successor application orservice developed or provided by bytedance limited or an entity owned by bytedance limited. information technology,',
30416:'as defined in 40 u.s.c. 111016— 1 means any equipment or interconnected system or subsystem of equipment, used in the',
30417:'automatic acquisition, storage, analysis, evaluation, manipulation, management, movement, control, display,switching, interchange, transmission, or reception of dataor information by the executive',
30418:'agency, if the equipmentis used bythe executive agency directly oris used by a contractor under a contract with the executive',
30419:'agency that requires the use— i of that equipment; or ii of that equipment to a significant extent in the',
30420:'performance of a service or the furnishing of a product; 2 includes computers, ancillary equipment including imaging peripherals, input, output,',
30421:'and storage devices necessary for security and surveillance, peripheral equipment designed to be controlled by the central processing unit of',
30422:'a computer, software, firmware and similar procedures, services including support services, and relatedresources; but 3 does not include any equipment',
30423:'acquired by a federal contractor incidental to a federal contract. b prohibition.section 102 of division r of the consolidated appropriations',
30424:'act, 2023pub. l. 117328, the no tiktok on government devices act, and itsimplementing guidance underoffice of management and budgetomb memorandum',
30425:'m2313, dated february 27, 2023, “no tiktok on government devices” implementation guidance, collectively prohibitthe presence or use of a covered',
30426:'application on executive agency information technology, including certain equipment used by federal contractors. the contractor is prohibited from having or',
30427:'using a covered application on any information technology owned or managed by the government, or on any information technology used',
30428:'or provided by thecontractor under this contract, including equipment provided by the contractor’s employees; however, this prohibition doesnot apply if',
30429:'the contracting officer provides writtennotification to the contractor thatan exception has been granted in accordance with omb memorandum m2313. c',
30430:'subcontracts. the contractor shall insert the substance of this clause, including this paragraph c, in all subcontracts, including subcontracts for',
30431:'the acquisition of commercial products or commercial services. end of provision 52.20428 federal acquisition supply chain security act orders—federal supply',
30432:'schedules, governmentwide acquisition contracts, and multiagency contracts. as prescribed in 4.2306a, insert the following clause: federal acquisition supply chain security',
30433:'act orders—federal supply schedules, governmentwide acquisition contracts, and multiagency contracts dec 2023 a definitions. as used in this clause— covered',
30434:'article as defined in 41 u.s.c. 4713k, means— 1 information technology, as defined in 40 u.s.c. 11101, including cloud computing',
30435:'services of all types; 2 telecommunications equipment or telecommunications service, as those termsare definedin section 3 of the communications act',
30436:'of 1934 47 u.s.c. 153; 3 the processing of information on a federal or nonfederal information system, subject to the',
30437:'requirements of the controlled unclassified information program see 32 cfr part 2002; or subpart 52.2 text of provisions and clauses',
30438:'52.20428 4 hardware, systems, devices,software, or services that includeembeddedor incidental informationtechnology. fascsa order, means any of the following orders issued',
30439:'under the federal acquisition supply chain security act fascsa requiring the removal ofcovered articles fromexecutive agency information systems orthe exclusion',
30440:'of one or more named sources or named covered articles from executive agency procurement actions, as described in 41 cfr',
30441:'201– 1.303d and e: 1 the secretary of homeland securitymay issue fascsaordersapplicable to civilian agencies, to theextent not covered by',
30442:'paragraph2or 3 of this definition. this typeof fascsa order may be referred to as a department of homeland security dhs',
30443:'fascsaorder. 2 the secretary of defense may issue fascsa orders applicable tothe department of defense dod and national security systems',
30444:'other than sensitive compartmented informationsystems. this type of fascsa order may be referred to as a dod fascsa order. 3',
30445:'the directorof national intelligence dni may issue fascsa orders applicable tothe intelligence community and sensitive compartmented information systems, to the',
30446:'extent not covered by paragraph 2 of this definition. this type of fascsaorder may be referred toas adni fascsa order.',
30447:'intelligence community, as defined by 50 u.s.c. 30034, means the following— 1 the office ofthe director of national intelligence; 2',
30448:'the central intelligence agency; 3 the national security agency; 4 the defense intelligence agency; 5 the national geospatialintelligence agency; 6',
30449:'the national reconnaissance office; 7 otheroffices within the department of defense for thecollection of specialized national intelligence through reconnaissance programs;',
30450:'8 the intelligence elements of thearmy, the navy,the air force, themarine corps,the coast guard, the federal bureau ofinvestigation, the drugenforcement',
30451:'administration, and thedepartment ofenergy 9 the bureau of intelligence and research of the department of state; 10 the office of',
30452:'intelligence and analysis of the departmentof the treasury; 11 the office of intelligence and analysis of the departmentof homeland security;',
30453:'or 12 such other elements of any department or agency as may be designated by the president, or designated jointly',
30454:'by the director of national intelligence and the head of the department or agency concerned, as an element of the',
30455:'intelligence community. national security system, as defined in 44 u.s.c. 3552, means any information system including any telecommunications system used',
30456:'or operated by an agency orby a contractor of an agency, or otherorganization on behalf of an agency— 1 the',
30457:'function, operation, or use of which involves intelligence activities; involves cryptologic activities related to national security; involves command and control',
30458:'of military forces; involves equipment that is an integral part of a weapon or weapons system; or is critical to',
30459:'the direct fulfillment of military or intelligence missions, but does not include a system that is to be used for',
30460:'routine administrative and business applications including payroll, finance, logistics, and personnel management applications; or 2 is protected at all times',
30461:'by procedures established for information that have been specifically authorized under criteria established by an executive order or an act',
30462:'of congress to be kept classified in the interest of national defense or foreign policy sensitive compartmented information means classified',
30463:'information concerning or derived from intelligence sources, methods, or analytical processes, which is required to be handled within formal access',
30464:'control systems established by the director of national intelligence. sensitive compartmented information system means a national security system authorized to',
30465:'process or store sensitive compartmented information. source meansa nonfederalsupplier, or potential supplier, of products or services, at any tier. b',
30466:'notice. during contract performance, the contractor shall be required to comply with any of the following that apply: dhsfascsa orders,',
30467:'dod fascsa orders, or dni fascsa orders. the applicablefascsa orderswill be identified in the request for quotation see 8.4052, or',
30468:'in the notice of intent to place an order see 16.505b. fascsa orders will be identified in paragraph b1 offar',
30469:'52.20430, federal acquisition supply chain security act orders—prohibition, with its alternate ii. 52.20429 federal acquisition regulation c removal. upon notification',
30470:'fromthe contracting officer, during the performance ofthe contract, the contractor shall promptly make any necessary changes or modifications to remove',
30471:'any covered article or any product or service produced or provided by a source that is subjectto anapplicable governmentwide fascsa',
30472:'order see far 4.2303b. end of clause 52.20429 federal acquisition supplychain security act orders—representationand disclosures. as prescribed in 4.2306b, insert',
30473:'the following provision: federal acquisition supply chain security act orders—representation and disclosures dec 2023 a definitions. as used in this',
30474:'provision, covered article, fascsa order, intelligence community, national security system, reasonable inquiry, sensitive compartmented information, sensitive compartmented information system, and',
30475:'source have the meaning provided in the clause 52.20430, federal acquisition supply chain security act orders—prohibition. b prohibition. contractors are',
30476:'prohibited from providing or using as part of the performance of the contract any covered article, or any products or',
30477:'services produced or provided by a source, if the prohibition is set out in an applicable federal acquisition supply chain',
30478:'security act fascsa order, asdescribed in paragraph b1 of far 52.20430, federal acquisition supply chain security act orders—prohibition. c procedures.',
30479:'1theofferorshallsearchforthephrase “fascsaorder” inthesystemforawardmanagement sam https://www.sam.gov for any covered article, or any products or services produced or provided by a source,',
30480:'if there is an applicablefascsa order describedin paragraph b1 of far 52.20430, federal acquisition supply chain security act orders—prohibition. 2',
30481:'the offeror shall review the solicitation for any fascsa orders that are not in sam,but are effectiveanddo apply to the',
30482:'solicitation and resultant contract see far 4.2303c2. 3 fascsaordersissuedafter the date of solicitationdo not apply unless addedby an amendment to',
30483:'the solicitation. d representation. by submission ofthis offer, the offeror represents that it has conducted a reasonable inquiry,and that theofferor',
30484:'does not proposeto provide oruse in response to this solicitationanycovered article, orany products orservices produced or provided by a source,',
30485:'ifthe covered article or the source is prohibited byan applicable fascsa order in effect on the date the solicitation was',
30486:'issued, except as waived by the solicitation, or as disclosed in paragraph e. e disclosures. the purpose for this disclosure',
30487:'is so the government may decide whether to issue a waiver. for any covered article, or any products or services',
30488:'produced or provided by a source, if the covered article or the source is subject to anapplicable fascsa order, and',
30489:'the offeroris unableto represent compliance, thenthe offeror shall provide the following information as part of the offer: 1 name of',
30490:'the product or service provided to the government; 2 name of the covered article orsource subject to a fascsa order;',
30491:'3 if applicable, name of the vendor,including the commercialandgovernment entity code and uniqueentity identifier if known,that supplied the covered articleor',
30492:'the productor service to the offeror; 4 brand; 5 model numberoriginal equipment manufacturer number, manufacturer partnumber, orwholesaler number; 6 item',
30493:'description; 7 reason why the applicable covered article or the product or service is being provided or used; f executive',
30494:'agency review of disclosures. the contracting officer will review disclosures provided in paragraphe to determine if any waiver may be',
30495:'sought. a contracting officermay choose not to pursuea waiver for covered articles or sources otherwise subject to a fascsaorder and',
30496:'may instead make anaward to an offeror that does not require a waiver. end of provision 52.20430 federal acquisition supplychain',
30497:'security act orders—prohibition. as prescribed in 4.2306c, insert the following clause: federal acquisition supply chain security act orders—prohibition dec 2023',
30498:'a definitions. as used in this clause— subpart 52.2 text of provisions and clauses 52.20430 covered article, as defined in',
30499:'41 u.s.c. 4713k, means— 1 information technology, as defined in 40 u.s.c. 11101, including cloud computing services of all types;',
30500:'2 telecommunications equipment or telecommunications service, as those termsare definedin section 3 of the communications act of 1934 47 u.s.c.',
30501:'153; 3 the processing of information on a federal or nonfederal information system, subject to the requirements of the controlled',
30502:'unclassified information program see 32 cfr part 2002; or 4 hardware, systems, devices,software, or services that includeembeddedor incidental informationtechnology. fascsa',
30503:'order means any of the following orders issued under the federal acquisition supply chain security act fascsa requiring the removal',
30504:'ofcovered articles fromexecutive agency information systems orthe exclusion of one or more named sources or named covered articles from executive',
30505:'agency procurement actions, as described in 41 cfr 201– 1.303d and e: 1 the secretary of homeland securitymay issue fascsaordersapplicable',
30506:'to civilian agencies, to theextent not covered by paragraph2or 3 of this definition. this typeof fascsa order may be referred',
30507:'to as a department of homeland security dhs fascsaorder. 2 the secretary of defense may issue fascsa orders applicable tothe',
30508:'department of defense dod and national security systems other than sensitive compartmented informationsystems. this type of fascsa order may be',
30509:'referred to as a dod fascsa order. 3 the directorof national intelligence dni may issue fascsa orders applicable tothe intelligence',
30510:'community and sensitive compartmented information systems, to the extent not covered by paragraph 2 of this definition. this type of',
30511:'fascsaorder may be referred toas adni fascsa order. intelligence community, as defined by 50 u.s.c. 30034, means the following— 1',
30512:'the office ofthe director of national intelligence; 2 the central intelligence agency; 3 the national security agency; 4 the defense',
30513:'intelligence agency; 5 the national geospatialintelligence agency; 6 the national reconnaissance office; 7 otheroffices within the department of defense for',
30514:'thecollection of specialized national intelligence through reconnaissance programs; 8 the intelligence elements of thearmy, the navy,the air force, themarine corps,the',
30515:'coast guard, the federal bureau ofinvestigation, the drugenforcement administration, and thedepartment ofenergy; 9 the bureau of intelligence and research of',
30516:'the department of state; 10 the office of intelligence and analysis of the departmentof the treasury; 11 the office of',
30517:'intelligence and analysis of the departmentof homeland security; or 12 such other elements of any department or agency as may',
30518:'be designated by the president, or designated jointly by the director of national intelligence and the head of the department',
30519:'or agency concerned, as an element of the intelligence community. national security system, as defined in 44 u.s.c. 3552, means',
30520:'any information system including any telecommunications system used or operated by an agency orby a contractor of an agency, or',
30521:'otherorganization on behalf of an agency— 1 the function, operation, or use of which involves intelligence activities; involves cryptologic activities',
30522:'related to national security; involves command and control of military forces; involves equipment that is an integral part of a',
30523:'weapon or weapons system; or is critical to the direct fulfillment of military or intelligence missions, but does not include',
30524:'a system that is to be used for routine administrative and business applications including payroll, finance, logistics, and personnel management',
30525:'applications; or 2 is protected at all times by procedures established for information that have been specifically authorized under criteria',
30526:'established by an executive order or an act of congress to be kept classified in the interest of national defense',
30527:'or foreign policy. reasonable inquiry means an inquiry designed to uncover any information in the entitys possession about the identity',
30528:'of any covered articles, or any products or services produced or provided by a source. this applies when the covered',
30529:'article or thesource is subject to an applicable fascsa order. a reasonableinquiry excludes theneedto include an internal orthirdparty audit. 52.20430',
30530:'federal acquisition regulation sensitive compartmented information means classified information concerning or derived from intelligence sources, methods, or analytical processes, which',
30531:'is required to be handled within formal access control systems established by the director of national intelligence. sensitive compartmented information',
30532:'system means a national security system authorized to process or store sensitive compartmented information. source meansa nonfederalsupplier, or potential supplier,',
30533:'of products or services, at any tier. b prohibition. 1 unless an applicable waiver has been issued by the issuing',
30534:'official, contractors shall not provide or use as part of the performance of the contract any covered article, or any',
30535:'products or services produced or provided by a source, if the coveredarticle or the source is prohibitedby an applicable fascsa',
30536:'orders asfollows: ifor solicitations and contracts awarded by a department of defense contracting office, dod fascsaorders apply. iifor all other',
30537:'solicitations and contracts dhs fascsa orders apply. 2 the contractor shall searchforthe phrase “fascsa order” in the system for award',
30538:'managementsamat https://www.sam.gov to locate applicable fascsa orders identified in paragraph b1. 3 the government mayidentify in the solicitation additional fascsa',
30539:'orders that are not in sam, whichare effective and apply to the solicitation and resultant contract. 4 a fascsaorder issued',
30540:'after the date ofsolicitation applies to this contract only if addedby an amendment to the solicitation or modification to the',
30541:'contract see far 4.2304c. however, see paragraph c of thisclause. 5 iifthecontractorwishestoaskforawaiveroftherequirementsofanewfascsaorderbeingappliedthrough modification, then the contractor shall disclose the following:',
30542:'a name of the product or service provided to the government; b nameof the coveredarticle or sourcesubject to afascsa order;',
30543:'c if applicable, name of the vendor, including the commercial and governmententity code and unique entity identifier if known,that supplied',
30544:'or supplies the covered articleor the productor service to the offeror; d brand; e modelnumber original equipmentmanufacturer number, manufacturer part',
30545:'number, or wholesaler number; f item description; g reason why the applicable covered article or the product or service is',
30546:'being provided or used; ii executive agency review of disclosures. the contracting officer willreview disclosures providedin paragraph b 5i to',
30547:'determine ifanywaiver is warranted. a contracting officer may choose not to pursue a waiver for coveredarticlesor sources otherwise coveredby a',
30548:'fascsa orderandto instead pursue otherappropriateaction. c notice and reporting requirement. 1 during contract performance, the contractor shall review sam.gov at',
30549:'least once every three months, or as advisedby the contracting officer, to check for covered articles subjectto fascsa orders, or',
30550:'for products or services produced by asource subject to fascsa orders not currentlyidentified under paragraphbof this clause. 2 if the',
30551:'contractor identifies a newfascsa ordersthat could impact theirsupplychain,then the contractor shall conduct a reasonable inquiry to identify whether a covered',
30552:'article or product or service produced or provided by a source subject to the fascsa orders was provided tothe government',
30553:'or used during contract performance. 3 ithecontractorshallsubmitareporttothecontractingofficeasidentifiedinparagraphc3iiofthisclause,if thecontractor identifies, including through any notification by asubcontractorat anytier, that a covered article',
30554:'or product or service produced or provided by a source was provided to the government or used during contract performance',
30555:'and is subject to a fascsa orders identified in paragraphbof this clause, or a new fascsaorder identified in paragraph c2of',
30556:'this clause. for indefinite deliverycontracts, the contractor shall report to both the contracting office for the indefinitedelivery contract and thecontracting',
30557:'office for any affectedorder. iiif a report is required tobe submitted to a contracting office underc3iof this clause,the contractor shall',
30558:'submit the report as follows: aif a department of defense contractingoffice, the contractor shall report to the website at https://',
30559:'dibnet.dod.mil. b forall other contractingoffices, the contractorshallreport to the contracting officer. 4 the contractor shall report the following information for',
30560:'each covered article or each product or service produced or provided by a source, where the covered article or source',
30561:'issubject to afascsa order, pursuant to paragraph c3i of this clause: iwithin 3 business days from thedate of such identification',
30562:'or notification: subpart 52.2 text of provisions and clauses 52.20430 a contract number; b order numbers, if applicable; c name',
30563:'of the product or service provided to the government or used during performance of the contract; dname of the covered',
30564:'article or source subject to a fascsa order; e ifapplicable, name ofthe vendor, including thecommercial and government entity code and',
30565:'unique entity identifier if known, that supplied the covered article or the product or service to the contractor; f brand;',
30566:'gmodel number originalequipment manufacturer number, manufacturer part number, or wholesaler number; h item description; and i any readily available information',
30567:'about mitigation actions undertaken or recommended. iiwithin 10 businessdays of submitting the information in paragraph c4i of this clause: a',
30568:'any further available information about mitigation actions undertaken or recommended. b in addition, the contractor shall describe the efforts it',
30569:'undertook toprevent submission or use of thecovered article or the product or service produced or provided bya source subject toan',
30570:'applicable fascsa order, and anyadditional efforts that willbe incorporatedto prevent future submission or use of the covered article or theproduct',
30571:'or serviceproduced or provided by a source that is subject to an applicablefascsa order. d removal. for federal supply schedules,',
30572:'governmentwide acquisition contracts, multiagency contracts or any other procurement instrumentintended for use by multiple agencies, upon notification from the contractingofficer,',
30573:'during the performance of the contract, the contractor shall promptly make any necessary changes or modifications to remove any product',
30574:'orservice produced or provided by a source that is subjectto anapplicable fascsa order. e subcontracts. 1 the contractor shall insert',
30575:'the substance of this clause, including this paragraph e and excluding paragraph c1 of this clause, in all subcontracts and',
30576:'other contractual instruments, including subcontracts for the acquisition of commercial products and commercial services. 2 the government mayidentify in the',
30577:'solicitation additional fascsa orders that are not in sam, whichare effective and apply to the contract and any subcontracts and',
30578:'other contractual instruments under the contract. the contractor or higher tier subcontractor shall notifytheir subcontractors, and suppliers under other contractualinstruments,',
30579:'that the fascsa orders in the solicitation that are not in sam apply to the contract and all subcontracts. end',
30580:'of clause alternate i dec 2023. as prescribed in 4.2306c, substitute the following paragraph b1 for paragraph b1 of the',
30581:'basic clause: b prohibition. 1 contractors are prohibited from providing or using as part of the performance of the contract',
30582:'any covered article, or any products or services produced or provided by a source, if the covered article or the',
30583:'source is prohibited by any applicable fascsaordersidentified bythe checkboxes in this paragraph b1. [ contracting officer must select either “yes”',
30584:'or “no” for each of the following types of fascsa orders:] yes □ no □ dhsfascsa order yes □ no',
30585:'□ dod fascsa order yes □ no □ dni fascsaorder alternate ii dec 2023. as prescribed in 4.2306c2ii, substitute the',
30586:'following paragraph b in place of paragraph b of the basic clause. this clause applies to each order as identified',
30587:'by the contracting officer. b prohibition. 1 contractors are prohibited from providing or using as part of the performance of',
30588:'the contract any covered article, or any products or services produced or provided by a source, if the covered article',
30589:'or the source is prohibited by any applicable fascsaordersidentified bythe checkboxes in this paragraph b1. [ contracting officer must select',
30590:'either “yes” or “no” for each of the following types of fascsa orders:] yes □ no □ dhsfascsa order yes',
30591:'□ no □ dod fascsa order yes □ no □ dni fascsaorder 2 the contractor shall searchforthe phrase “fascsa order”',
30592:'in the system for award managementsamat https://www.sam.gov to locate applicable fascsa orders identified in paragraph b1of this clause. 3 the',
30593:'government may identify in the request for quotation rfq or in the notice of intent to place an order additional',
30594:'fascsa orders that are notin sam, butare effective and apply to the order. federal acquisition regulation 4 a fascsaorder issued',
30595:'after the date ofthe rfq or the notice of intent to place an order applies tothiscontract only if added by',
30596:'an amendment to the rfq or in the notice of intent to place an order or added by modification to',
30597:'the order see far 4.2304c. however, see paragraph c ofthisclause. 5i if thecontractor wishes to ask for a waiver, the',
30598:'contractorshalldisclosethe following: a name of the product or service provided to the government; b nameof the coveredarticle or sourcesubject to',
30599:'afascsa order; c if applicable, name of the vendor, including the commercial and governmententity code and unique entity identifier if',
30600:'known,that supplied the covered articleor the productor service to the offeror; d brand; e modelnumber original equipmentmanufacturer number, manufacturer part',
30601:'number, or wholesaler number; f item description; g reason why the applicable covered article or the product or service is',
30602:'being provided or used; ii executive agency review of disclosures. the contracting officer willreview disclosures providedin paragraph b 5i of',
30603:'this clause to determine ifany waiver may besought. a contracting officer may choose not to pursue awaiver for covered articles',
30604:'or sources otherwise covered by a fascsaorder and may instead make award to an offeror that does not require a',
30605:'waiver. 52.205[reserved] 52.206[reserved] subpart 52.2 text of provisions and clauses 52.2073 52.207[reserved] 52.2071 notice of standard competition. as prescribed in',
30606:'7.305a, insert the following provision: notice of standard competitionmay 2006 a this solicitation is part ofa standard competition under office',
30607:'of management and budget circular no. a76 revised, performance of commercial activities, dated may 29, 2003 hereafter the circular, to',
30608:'determine whether to accomplish the specified work under contract or by government performance. b the government will evaluate privatesector offers,the',
30609:'agency tender, and public reimbursable tenders,as providedin this solicitation and the circular. c a performance decision resulting from this standard',
30610:'competition will be publicly announced in accordance with the circular. if the performance decision favors a private sector offeror, acontract',
30611:'willbe awarded. if theperformance decision favors anagency or a public reimbursable tender, the contracting officer shall establish, respectively, either a',
30612:'most efficient organization letter of obligation ora feeforservice agreement, asthose terms are defined in the circular. d asprovided in thecircular,directlyinterested',
30613:'partiesmay file contests, whichare governed by the proceduresin federal acquisition regulation 33.103. until resolution of any contest, or the expiration',
30614:'of the time for filing a contest, only legalagents for directly interested parties shall have access to thecertifiedstandard competition form,',
30615:'the agencytender, and public reimbursable tenders. end of provision 52.2072notice of streamlined competition. as prescribed in 7.305b, insert the following',
30616:'provision: notice of streamlined competition may 2006 a this solicitation is part ofa streamlined competition under office ofmanagement and budget',
30617:'circular no. a76 revised, performance of commercial activities, dated may 29, 2003 hereafter the circular, to determine whether to accomplish',
30618:'the specified work under contract or by government performance. b the government will evaluate the cost of private sector and',
30619:'agency or public reimbursable performance, as provided in this solicitation and the circular. c a performance decision resulting from this',
30620:'streamlined competition will be publicly announced in accordance with the circular. if the performance decision favors private sector performance, the',
30621:'contractingofficer shall eitheraward acontract or issue a competitive solicitation for privatesector offers. if the performance decision favors agency or public',
30622:'reimbursable performance, the agency shall establish, respectively, either a letter of obligation or a feeforservice agreement, asthose terms are defined',
30623:'in the circular. end of provision 52.2073 right of first refusal of employment. as prescribed in 7.305c, insert the following',
30624:'clause: right of first refusal of employment may 2006 a thecontractor shall givegovernment personnel whohavebeenor will beadversely affectedor separated as',
30625:'a result of award of this contract the right of first refusal for employment openings under the contract in positions',
30626:'for which they are qualified, if that employment is consistent with postgovernment employment conflict of interest standards. b within 10',
30627:'days after contractaward,the contracting officerwill provide to the contractor a list ofall government personnel who have been or willbe adversely',
30628:'affected or separated asa result of awardof this contract. 52.2074 federal acquisition regulation c thecontractor shall report to the contracting',
30629:'officer the names of individuals identifiedon the list who are hired within 90 days after contract performance begins. this report',
30630:'shall be forwarded within 120 days after contract performance begins. end of clause 52.2074economic purchasequantitysupplies. as prescribed in 7.203, insert',
30631:'the following provision: economic purchase quantitysupplies aug 1987 a offerors are invited to state anopinion on whether thequantityies of supplies',
30632:'on whichbids, proposals or quotes are requested in this solicitation is are economically advantageous to the government. b each offeror',
30633:'who believes that acquisitions in different quantities would be more advantageous is invited to recommend an economic purchasequantity. if different',
30634:'quantities are recommended, a total anda unitprice mustbe quoted for applicable items. an economic purchase quantity is that quantity at',
30635:'which a significant price break occurs. if there are significant price breaksat different quantity points, this information isdesired as well.',
30636:'offerorrecommendations item quantity price quotation total c the information requested in this provision is being solicited to avoid acquisitions in',
30637:'disadvantageous quantities and to assist the government in developing a data base for future acquisitions ofthese items. however, the governmentreserves',
30638:'the right to amend or cancel the solicitation and resolicit with respect to any individual item in the event quotations',
30639:'received and thegovernment’s requirements indicate that different quantities should be acquired. end of provision 52.2075option topurchase equipment. as prescribed in',
30640:'7.404, insert a clause substantially the same as the following: option to purchase equipment feb 1995 a the government may',
30641:'purchase the equipment provided on a lease or rental basis under this contract. the contracting officer may exercise this option',
30642:'only by providing a unilateral modification to the contractor. the effectivedate of the purchase will be specified in the unilateral',
30643:'modification and may be any time during the period of the contract, including any extensions thereto. b except for final',
30644:'payment and transfer of title to the government, the lease or rental portion of the contract becomes complete and lease',
30645:'or rentalcharges shall bediscontinued on theday immediately precedingthe effective date of purchase specified in the unilateral modification required in paragraph',
30646:'a of this clause. c thepurchase conversioncostof the equipmentshallbe computed as ofthe effective date specified inthe unilateral modification required in',
30647:'paragraph a of this clause, on the basis of the purchase price set forth in the contract, minus the total',
30648:'purchase option credits accumulated during the period of lease or rental, calculated by the formula contained elsewhere in this contract.',
30649:'subpart 52.2 text of provisions and clauses 52.2076 d the accumulated purchase option credits available to determine the purchase conversion',
30650:'cost will also include any credits accrued during a period of lease or rental of the equipment under any previous',
30651:'government contract if the equipment has been on continuous lease or rental. the movement of equipment from one site to',
30652:'another site shall be continuous rental. end of clause 52.2076solicitation of offers from small business concernsand small business teaming arrangementsor',
30653:'joint venturesmultipleaward contracts. as prescribed in 7.1076, insert the following provision: solicitation of offers from small business concerns and small',
30654:'business teaming arrangements or joint ventures multipleaward contracts aug 2024 a definition.smallbusiness teaming arrangement, as used inthisprovision 1 means an',
30655:'arrangement where– itwo ormore smallbusinessconcerns have formed a joint venture; or iiasmall business offeror agrees withone or more other small',
30656:'business concerns to have themact as its subcontractorsunder a specified government contract. a small business teamingarrangement between the offeror and',
30657:'its small business subcontractors exists through a written agreement between the parties that– aisspecifically referred to as a small businessteamingarrangement;',
30658:'and b setsforth the different responsibilities, roles, and percentagesorotherallocationsof work as it relates tothe acquisition; 2 i for civilian agencies,',
30659:'may include two business concerns in a mentorprotégé relationship when both the mentor and the protégé aresmall or the protégé',
30660:'is small and the concerns have received an exception to affiliation pursuant to 13 cfr 121.103h3ii or iii. ii for',
30661:'dod, may include two business concerns in a mentorprotégé relationship in the department of defense mentorprotégé program see 10 u.s.c.',
30662:'4902 when both the mentor and the protégé are small. there is no exception to joint venturesize affiliation for offers',
30663:'received from teaming arrangements under the dod mentorprotégé program; and 3 see 13 cfr 121.103b9 regarding the exception to affiliation',
30664:'for offers receivedfrom small business teaming arrangementsin the case of a solicitation ofoffers for a bundled contract with a reserve.',
30665:'b the government is soliciting and will consideroffers from any responsible source, including responsiblesmall business concerns and offersfrom small business',
30666:'teaming arrangements or joint ventures ofsmallbusiness concerns. end of provision this page intentionally left blank. 52.250 subpart 52.2 text of',
30667:'provisions and clauses 52.2086 52.208[reserved] 52.2081 [reserved] 52.2082 [reserved] 52.2083 [reserved] 52.2084vehicle lease payments. as prescribed in 8.1104a, insert the',
30668:'following clause in solicitations and contracts for leasing motor vehicles, unless the motor vehicles are leased in foreign countries: vehicle',
30669:'lease payments apr 1984 a upon the submission of proper invoices or vouchers, the government shall pay rent for each',
30670:'vehicle at the rates specified in this contract. b rent shall accrue from the beginning of this contract, or from',
30671:'the date each vehicle is delivered to the government, whichever is later, and shall continue until theexpiration of the contractterm',
30672:'or thetermination of this contract. however, rent shall accrue only for the period that each vehicle is in the possession',
30673:'of the government. c rent shall notaccrueforanyvehicle that the contractingofficer determines does not complywith the condition of leasedvehicles clause of',
30674:'thiscontract orotherwise doesnot comply with the requirements of thiscontract, untilthe vehicle is replaced or the defects are corrected. d rent',
30675:'shall not accrue for any vehicle during any period when the vehicle is unavailable or unusable as a result of',
30676:'the contractor’sfailureto render servicesforthe operation and maintenance of thevehicleas prescribed bythiscontract. e rent stated in monthly terms shall be prorated',
30677:'on the basis of 1/30 th of the monthly rate for each day the vehicle is in thegovernment’s possession. ifthis',
30678:'contractcontains amileage provision, thegovernmentshallpay rent as provided inthe schedule. end of clause 52.2085condition of leasedvehicles. as prescribed in 8.1104b, insert',
30679:'the following clause in solicitations and contracts for leasing motor vehicles, unless the motor vehicles are leased in foreign countries:',
30680:'condition of leased vehicles apr 1984 each vehicle furnished under this contract shall be of good quality and in safe',
30681:'operating condition, and shall comply with the federal motor vehicle safety standards 49 cfr571 and state safety regulationsapplicable to the',
30682:'vehicle. the government shall accept or reject the vehicles promptly afterreceipt. if the contracting officer determines thatanyvehicle furnishedis not in',
30683:'compliance with this contract, the contracting officer shall promptly inform the contractor in writing. if thecontractor failsto replace thevehicle or',
30684:'correct the defects as required by the contracting officer, the government may a by contract or otherwise, correctthe defect or',
30685:'arrange for the lease of a similar vehicle andshallcharge or set off against the contractor any excess costs occasioned thereby;',
30686:'or b terminate thecontract under the default clauseof this contract. end of clause 52.2086marking of leased vehicles. as prescribed in',
30687:'8.1104c, insert the following clause in solicitations and contracts for leasing motor vehicles, unless the motor vehicles are leased in',
30688:'foreign countries: marking of leased vehicles apr 1984 52.2087 federal acquisition regulation a thegovernment may place nonpermanent markings or decals,',
30689:'identifying theusing agency, on each side, and on the front and rear bumpers, of any motor vehicle leased under this',
30690:'contract. the government shall use markings or decals that are removable without damage to the vehicle. b the contractor may',
30691:'use placards for temporary identification of vehicles except that the placards may not contain any references to the contractor that',
30692:'maybe construedas advertising or endorsement by thegovernment of the contractor. end of clause 52.2087tagging ofleased vehicles. as prescribed in 8.1104d,',
30693:'insert a clause substantially as follows: tagging of leased vehicles may 1986 while it is the intent that vehicles leased',
30694:'under this contract will operate on federal tags, the government reserves the right to utilize state tags if necessary to',
30695:'accomplish its mission. should state tags be required, the contractor shall furnish the government documentation necessary to allow acquisition of',
30696:'such tags. federal tags are the responsibility of the government. end of clause 52.2088 [reserved] 52.2089contractor use of mandatory sources',
30697:'of supply orservices. as prescribed in 8.005, insert the following clause: contractor use of mandatory sources of supply or services',
30698:'may 2014 a certain supplies or services to be provided under this contract for use by the government are required',
30699:'by law to be obtained from nonprofit agencies participating in the program operated by the committee for purchase from people',
30700:'who are blind or severely disabled the committee under 41 u.s.c. 8504.additionally, certain of these supplies are available from the',
30701:'defense logistics agency dla, thegeneral services administrationgsa, or the department of veterans affairs va. the contractor shall obtain mandatory supplies',
30702:'or services tobe provided for government use under this contract from the specific sources indicated in the contract schedule. b',
30703:'the contractor shall immediately notify the contracting officer if a mandatory source isunable to provide thesupplies or services by the',
30704:'timerequired, or ifthe quality of supplies or services provided by the mandatory source is unsatisfactory. the contractor shall not purchase',
30705:'the supplies or servicesfrom other sources until the contractingofficer has notified the contractor that the committee or an abilityone central',
30706:'nonprofit agency has authorized purchase from other sources. c price and delivery information for the mandatory supplies is available from',
30707:'thecontracting officer for thesupplies obtainedthroughthe dla/gsa/vadistribution facilities. for mandatory suppliesor services that are not available from dla/gsa/va, priceand delivery information',
30708:'isavailablefrom the appropriate central nonprofit agency. payments shall be made directly to the source making delivery. points of contactforabilityone central',
30709:'nonprofit agencies are: 1 nationalindustries for the blind 1310braddock place alexandria, va 223141691 703 3100500; and 2 nish 8401 oldcourthouse',
30710:'road vienna, va22182 571 2264660. end of clause subpart 52.2 text of provisions and clauses 52.2092 52.209[reserved] 52.2091qualificationrequirements. as prescribed',
30711:'in 9.2062, insert the following clause: qualification requirements feb 1995 a definition. qualification requirement, as used in this clause, means',
30712:'a government requirement for testing or other quality assurance demonstration that must be completed before award. b one or more',
30713:'qualification requirements apply to the supplies or services covered by this contract. for those supplies or services requiring qualification, whether',
30714:'the covered product or service is an end item under this contract or simply a component of an end item,',
30715:'the product,manufacturer,or source must have demonstrated that it meetsthe standards prescribed for qualification beforeaward of this contract. the product, manufacturer,',
30716:'orsource must be qualifiedat the time of award whether ornot the name ofthe product, manufacturer, orsource is actually included on',
30717:'aqualified products list, qualified manufacturers list, or qualified bidders list. offerors should contact the agency activity designatedbelow to obtain all',
30718:'requirements that they or their products or services, or their subcontractors or their products or services, must satisfy to become',
30719:'qualified and to arrange for an opportunity to demonstrate their abilities to meet the standards specified for qualification. name address',
30720:'c if an offeror, manufacturer, source, productor service coveredby aqualification requirement has alreadymet the standards specified, the relevant information noted',
30721:'below should be provided. offeror’s name manufacturer’s name source’s name item name service identification test number to the extent known',
30722:'d even though a product or service subject to a qualification requirement is not itself an end item under this',
30723:'contract, theproduct, manufacturer, or source must nevertheless bequalified at thetime ofaward of this contract. thisis necessary whether the contractor or',
30724:'a subcontractor will ultimately provide the product or service in question. if, after award, the contracting officerdiscovers thatan applicable qualification',
30725:'requirement was not in fact met at the time ofaward, the contracting officermay either terminate this contract for default or',
30726:'allow performance to continue if adequate consideration is offered and the action is determinedto beotherwise inthe government’s best interests. e',
30727:'if an offeror, manufacturer, source, productor service has met the qualificationrequirementbut is not yet on a qualified products list, qualified',
30728:'manufacturers list, or qualified bidders list, the offeror must submit evidence ofqualification prior to award ofthis contract. unless determined to',
30729:'be in the government’s interest, award of this contract shall not bedelayed to permit anofferor to submit evidence of qualification.',
30730:'f any change in location or ownership of the plant where a previously qualified product or service was manufactured or',
30731:'performed requires reevaluation of the qualification. similarly, any change in location or ownership ofa previously qualified manufacturer or source requires',
30732:'reevaluation of the qualification. the reevaluation must be accomplished before the date of award. end of provision 52.2092prohibition on contracting',
30733:'with inverted domestic corporationsrepresentation. as prescribed in 9.1085a, insert the following provision: 52.2093 federal acquisition regulation prohibition on contracting with',
30734:'inverted domestic corporationsrepresentation nov 2015 a definitions. inverted domestic corporation and subsidiary have the meaning given in the clause of',
30735:'this contract entitled prohibition on contracting with inverted domestic corporations 52.20910. b government agencies are not permitted to use appropriated',
30736:'or otherwise made available funds for contracts with either an inverted domestic corporation, or a subsidiary of an inverted domestic',
30737:'corporation, unless the exception at 9.1082b applies or the requirement is waived in accordance with the procedures at 9.1084. c',
30738:'representation. the offeror representsthat 1 it □ is, □ is not an inverted domestic corporation; and 2 it □ is,',
30739:'□ is not a subsidiary of an inverted domestic corporation. end of provision 52.2093first article approvalcontractor testing. as prescribed in',
30740:'9.3081a and b, insert the following clause: first article approvalcontractor testing sept 1989 [contracting officer shall insert details] a the',
30741:'contractor shall test units of lot/item as specified in this contract. at least calendar days beforethe beginning of first article',
30742:'tests, the contractor shall notify the contracting officer, inwriting, of the time and location of the testing so that the',
30743:'government may witness the tests. b the contractor shall submit the first article test report within calendar days from the',
30744:'date of this contract to [insert address of the government activity to receive the report] marked first article test report:',
30745:'contract no. , lot/item no. within calendar days after the government receives the test report, the contracting officer shall notifythe',
30746:'contractor, in writing, of the conditional approval, approval, or disapproval of thefirst article. the notice of conditional approval or approval',
30747:'shall not relieve the contractor from complying with all requirements of the specifications and all other terms and conditions of',
30748:'this contract. a notice of conditional approval shall state any further action requiredof the contractor. a noticeof disapproval shall cite',
30749:'reasonsforthe disapproval. c if the first article is disapproved, the contractor,upon government request, shall repeat any or allfirstarticle tests. after',
30750:'each request for additional tests, the contractor shall make any necessary changes, modifications, or repairs to the first article or',
30751:'select anotherfirstarticle for testing. all costs related to these testsare tobe borne bythe contractor, including any and all costs for',
30752:'additional tests following a disapproval. the contractor shall then conduct the tests and deliver another report to the government under',
30753:'the terms and conditions and within the time specified by the government. the government shall take action on this report',
30754:'within the time specified in paragraph b of this subsection. the government reserves the right to require an equitable adjustment',
30755:'of the contract price for any extension of the delivery schedule, or for any additional costs to the government related',
30756:'to these tests. d if the contractor fails to deliver any first article reporton time, orthe contracting officerdisapproves any first',
30757:'article, the contractor shall be deemed to have failed to make delivery within the meaning of the default clause of',
30758:'this contract. e unless otherwise provided in the contract, and if the approved first article is not consumed or destroyed',
30759:'in testing, the contractor may deliver the approved first article as part of the contract quantity if it meets all',
30760:'contract requirements for acceptance. f if the government does not act within the time specified in paragraph b or c',
30761:'of this subsection, the contracting officer shall,upon timelywritten request from thecontractor, equitablyadjust under the changes clause of this contract the',
30762:'delivery or performance dates and/or the contract price, and any other contractual term affected bythe delay. g before first article',
30763:'approval, the acquisitionof materialsor components for,or the commencement of production of, thebalanceof the contract quantity is at the sole risk',
30764:'of the contractor. before first article approval, the coststhereof shall not be allocable to this contract for 1 progress payments,',
30765:'or 2 termination settlements if the contract is terminated for the convenience of the government. subpart 52.2 text of provisions',
30766:'and clauses 52.2094 h the government may waive the requirement for first article approval test where supplies identical or similar',
30767:'to those called for in the schedule have been previously furnished by the offeror/contractor and have been accepted by the',
30768:'government. the offeror/contractor mayrequest awaiver. end of clause alternate i jan 1997. as prescribed in 9.3081a2 and b2, add the',
30769:'following paragraph i to the basic clause: ithe contractorshallproduce boththe first articleand the production quantityat the same facility. alternate ii',
30770:'sept1989. as prescribed in 9.3081a3 and b3, substitute the following paragraph g for paragraph g of the basic clause: g',
30771:'before first article approval, the contracting officer may,by written authorization, authorize the contractor toacquire specific materials or components or to',
30772:'commence production to the extent essential to meet the delivery schedules. until first article approval is granted, only costs for',
30773:'the first article and costs incurred under this authorization are allocable to this contract for 1 progress payments, or 2',
30774:'termination settlements if the contract is terminated for the convenience of the government. if first article tests reveal deviations from',
30775:'contract requirements, the contractor shall, at the location designated by the government, make the required changes or replace all items',
30776:'produced under this contract at no change in the contract price. 52.2094first article approvalgovernmenttesting. as prescribed in 9.3082a and b,',
30777:'insert the following clause: first article approvalgovernment testing sep 1989 [contracting officer shall insert details] a the contractor shall deliver',
30778:'units of lot/item within calendar days from the date of this contract to the government at [insert name and address',
30779:'of the testing facility] for first article tests. the shipping documentation shall contain this contract number and the lot/item identification.',
30780:'the characteristics that the first article must meet and the testing requirements are specified elsewhere in this contract. b within',
30781:'calendardays after the government receives the first article, the contractingofficer shall notify the contractor, in writing, of the conditional approval,',
30782:'approval, ordisapproval of thefirstarticle. the notice ofconditional approval or approval shall not relieve the contractor from complying with all requirements',
30783:'of the specifications and all other terms and conditions of this contract. a notice of conditional approval shall state any',
30784:'further action required of the contractor. a notice ofdisapproval shall cite reasons for the disapproval. c if the first article',
30785:'is disapproved, the contractor,upon government request, shall submit an additional first article for testing. after each request, the contractor shall',
30786:'make any necessary changes, modifications, or repairs to the first article or selectanother first articlefortesting. all costsrelated to these tests',
30787:'are to be borne by thecontractor, including any and all costs for additional tests following a disapproval. the contractor shall',
30788:'furnish any additional first article to the government under the terms and conditions and within the time specified by the',
30789:'government. the government shall act on this first article within the time limit specified in paragraph b of this clause.',
30790:'the government reserves the right to require an equitable adjustment of the contract price for any extension of the delivery',
30791:'schedule or for any additional costs to the government related to these tests. d if the contractor fails to deliver',
30792:'any first article on time,or the contracting officer disapprovesanyfirstarticle, the contractor shall be deemed to have failed to make delivery',
30793:'within the meaning of the default clause of this contract. e unless otherwise provided in the contract, the contractor 1',
30794:'maydeliverthe approved first article as a part of the contract quantity, provided it meets all contract requirements for acceptance and',
30795:'was not consumed or destroyed in testing; and 2 shall removeanddispose ofanyfirstarticle from the government test facility at thecontractor’s expense.',
30796:'f ifthe government doesnot actwithin the time specifiedin paragraph b or c of this clause, the contracting officer shall, upon',
30797:'timely written request from the contractor, equitably adjustunder thechanges clause of this contract thedelivery or performance dates and/or the contractprice,and',
30798:'any other contractual termaffected by the delay. g the contractor is responsible for providing operating and maintenance instructions, spare parts',
30799:'support, and repair of the first article during any first article test. 52.2095 federal acquisition regulation h before first article',
30800:'approval, the acquisitionof materialsor components for,or the commencement of production of, thebalanceof the contract quantity is at the sole risk',
30801:'of the contractor. before first article approval, the coststhereof shall not be allocable to this contract for 1 progress payments,',
30802:'or 2 termination settlements if the contract is terminated for the convenience of the government. i the government may waive',
30803:'the requirement for first article approval test where supplies identical or similar to those called for in the schedule have',
30804:'been previously furnished by the offeror/contractor and have been accepted by the government. the offeror/contractor mayrequest awaiver. end of clause',
30805:'alternate i jan 1997. as prescribed in 9.3082a2 and b2, add the following paragraph j to the basic clause: jthe',
30806:'contractorshallproduce boththe first articleand the production quantityat the same facility. alternate ii sept 1989. as prescribed in 9.3082a3 and b3,',
30807:'substitute the following paragraph h for paragraph h of the basic clause: h before first article approval, the contracting officer',
30808:'may,by written authorization, authorize the contractor toacquire specific materials or components or to commence production to the extent essential to',
30809:'meet the delivery schedules. until first article approval is granted, only costs for the first article and costs incurred under',
30810:'this authorization are allocable to this contract for 1 progress payments, or 2 termination settlements if the contract is terminated',
30811:'for the convenience of the government. if first article tests reveal deviations from contract requirements, the contractor shall, at the',
30812:'location designated by the government, make the required changes or replace all items produced under this contract at no change',
30813:'in the contract price. 52.2095 certification regarding responsibility matters. as prescribed in 9.1047a, insert the following provision: certification regarding responsibility',
30814:'matters aug 2020 a 1theofferorcertifies,tothebestofitsknowledgeandbelief,that— ithe offeror and/or anyof its principals– a are □ are not □ presently debarred, suspended,',
30815:'proposed for debarment, or declared ineligible for the award of contracts by any federal agency; b have □ have not',
30816:'□, within a threeyear period preceding this offer, been convicted of or had acivil judgment rendered against them for: commission',
30817:'offraud or a criminal offense in connection with obtaining, attempting to obtain, or performing a public federal, state, or local',
30818:'contract or subcontract; violation of federal or state antitrust statutes relating to the submission of offers; or commission ofembezzlement, theft,',
30819:'forgery, bribery, falsification or destruction of records, making falsestatements,tax evasion, violating federal criminal tax laws, or receiving stolen property if',
30820:'offeror checks have, the offeror shall also see 52.2097, if included in this solicitation; c are □ are not □',
30821:'presentlyindictedfor, or otherwise criminallyor civilly charged by a governmentalentity with, commission of any ofthe offenses enumerated inparagraph a1ib ofthis provision;',
30822:'d have □, have not □, within a threeyear period precedingthisoffer, been notified of any delinquentfederal taxes in an amount',
30823:'that exceeds the threshold at 9.1045a2 for which the liability remains unsatisfied. 1 federal taxes are considered delinquent if both',
30824:'of the following criteria apply: i the tax liability is finally determined. the liability is finally determined if it has',
30825:'been assessed. a liability is not finally determined if there is a pending administrative or judicial challenge. in the case',
30826:'of a judicial challenge to the liability, the liability is not finally determined until alljudicial appeal rights have been exhausted.',
30827:'ii the taxpayer is delinquent in making payment. a taxpayer is delinquent if the taxpayer has failed to pay the',
30828:'tax liability when full payment was due and required. a taxpayer is not delinquent in cases where enforced collection action',
30829:'is precluded. 2 examples. i the taxpayer has received a statutorynotice of deficiency, under i.r.c. § 6212, which entitles the',
30830:'taxpayerto seek tax court review of a proposed tax deficiency. this is not a delinquent tax because it is nota',
30831:'final tax liability. should thetaxpayer seek tax court review,this will not bea final tax liability until the taxpayer has exercised',
30832:'all judicial appeal rights. subpart 52.2 text of provisions and clauses 52.2096 ii the irs has filed a notice offederal',
30833:'taxlien with respect to an assessed tax liability, and thetaxpayer has been issued a notice under i.r.c. § 6320 entitlingthe',
30834:'taxpayerto request a hearingwith the irs office ofappeals contesting thelien filing, and to further appeal to the tax court if',
30835:'theirs determines tosustainthe lien filing. in the course of the hearing, the taxpayer is entitled to contest the underlying tax',
30836:'liability because the taxpayer has had no prior opportunity to contest the liability. this is not a delinquent tax because',
30837:'it is nota final tax liability. should the taxpayer seek tax court review, this will notbe a final taxliability untilthe',
30838:'taxpayer has exercised all judicialappealrights. iii the taxpayer has entered into an installment agreement pursuant to i.r.c. § 6159. the',
30839:'taxpayer is making timely payments and is in full compliance with the agreement terms. the taxpayer is not delinquent because',
30840:'the taxpayer is not currently required to make full payment. iv the taxpayer has filed for bankruptcy protection. the taxpayer',
30841:'is not delinquent because enforced collection action is stayed under 11u.s.c. 362 the bankruptcy code. iithe offeror has □ has',
30842:'not □, withina threeyearperiod preceding this offer, had one or more contracts terminated for default by any federal agency. 2',
30843:'principal, for the purposes of this certification, means anofficer, director, owner, partner, or a person having primary management or supervisory',
30844:'responsibilities within a business entity e.g., general manager; plant manager; head of a division or business segment; and similar positions.',
30845:'this certification concernsa matter within the jurisdictionof an agency of the united states and the making ofa false, fictitious, or',
30846:'fraudulent certification may render themaker subject to prosecution under section 1001, title18,united states code. b the offeror shall provide immediate',
30847:'written notice to thecontracting officer if,at any time prior to contract award, theofferor learns that its certification was erroneouswhen submitted',
30848:'or has become erroneous by reason ofchanged circumstances. c a certification that any of the items in paragraph a of',
30849:'this provision exists will not necessarily result in withholding of an award underthissolicitation. however,the certification will beconsidered inconnection witha determination',
30850:'ofthe offeror’s responsibility. failure of the offeror to furnish a certification or provide such additional information asrequested by thecontracting officer',
30851:'may render the offeror nonresponsible. d nothing contained in the foregoing shall be construed to require establishment of a system',
30852:'of records in order to render, in good faith, the certificationrequired by paragraph a of this provision. the knowledge and',
30853:'information of an offeror isnot required toexceed that which is normally possessed bya prudentpersonin theordinarycourse of business dealings. e the',
30854:'certification in paragraph a of this provision is a material representation of fact upon which reliance was placed when making',
30855:'award. if it is later determinedthat theofferor knowingly rendered an erroneouscertification, in addition to otherremedies available tothe government, the contracting',
30856:'officer may terminate thecontract resultingfrom this solicitation for default. end of provision 52.2096protecting thegovernment’s interest whensubcontracting withcontractorsdebarred, suspended, or proposedfor',
30857:'debarment. as prescribed in 9.409, insert the following clause: protecting the government’s interest when subcontracting with contractors debarred, suspended, or',
30858:'proposed for debarment nov 2021 a definition. commercially available offtheshelf cots item, as used in this clause— 1 means any',
30859:'item of supply including construction material that is– i a commercial product as defined in paragraph 1 of the definition',
30860:'of “commercial product” in federal acquisition regulationfar2.101; ii sold in substantial quantities in the commercial marketplace; and iii offered tothe',
30861:'government, under a contract or subcontract at any tier, without modification, in the same form in which it is sold',
30862:'in the commercial marketplace; and 52.2097 federal acquisition regulation 2 does not include bulk cargo, as defined in 46 u.s.c.',
30863:'401024, such as agricultural products and petroleum products. b the government suspends or debarscontractors to protect the government’s interests. other',
30864:'than a subcontract for a commercially available offtheshelf item, the contractorshallnot enter into any subcontract, in excessof the threshold specified',
30865:'in far 9.4052b on the date of subcontract award, with a contractor that is debarred, suspended, or proposed for debarment',
30866:'by any executive agency unless there is a compelling reason to do so. c the contractor shall require each proposed',
30867:'subcontractor whose subcontract will exceed the threshold specified in far 9.4052b on the date of subcontractaward, otherthan asubcontractorproviding a commercially',
30868:'available offtheshelf item,to disclose to the contractor,in writing, whether asof the time of award of the subcontract,the subcontractor,or its principals,',
30869:'is or is not debarred, suspended, or proposed for debarment by the federal government. d a corporate officer or a',
30870:'designeeof the contractor shall notify the contracting officer, in writing, beforeentering into a subcontract witha party other than a subcontractor',
30871:'providinga commercially available offtheshelf item that is debarred, suspended, or proposed for debarment see far 9.404 for information on the',
30872:'system for award management sam exclusions. the notice must include the following: 1 the name of the subcontractor. 2 the',
30873:'contractor’s knowledge of the reasons for the subcontractor being listed with an exclusion insam. 3 the compelling reasons for doing',
30874:'business with the subcontractor notwithstanding its being listed with an exclusion in sam. 4 the systems and procedures the contractor',
30875:'has established to ensure that it is fully protecting the governments interests whendealing with such subcontractor in view of the',
30876:'specific basisforthe party’sdebarment,suspension, or proposed debarment. e subcontracts. unless this is a contract for the acquisition of commercial products or',
30877:'commercial services, the contractor shall include the requirements of this clause, including this paragraph e appropriately modified for the identification',
30878:'of the parties, in each subcontract that— 1 exceeds the thresholdspecified in far 9.4052b on the date of subcontract award;',
30879:'and 2 is not a subcontract for commercially available offtheshelfitems. end of clause 52.2097 information regarding responsibility matters. as prescribed',
30880:'at 9.1047b, insert the following provision: information regarding responsibility matters oct 2018 a definitions. as used in this provision— administrative',
30881:'proceeding means a nonjudicial process that is adjudicatory in nature in order to make a determination of fault or liability',
30882:'e.g., securities and exchange commission administrative proceedings, civilian board of contract appeals proceedings, and armed services board of contract appeals',
30883:'proceedings. this includes administrative proceedings at the federal and state level but only in connection with performance of a federal',
30884:'contract or grant. it does not include agency actions such as contract audits, site visits, corrective plans, or inspection of',
30885:'deliverables. federal contracts and grants with total value greater than $10,000,000 means— 1 the total value of all current, active',
30886:'contracts and grants, including all priced options; and 2 the total value of all current, active orders including all priced',
30887:'options under indefinitedelivery,indefinitequantity, 8a, or requirements contracts including task and delivery and multipleaward schedules. principal means an officer, director, owner,partner,',
30888:'or a personhaving primarymanagementor supervisory responsibilities within a business entity e.g., general manager; plant manager; head of a division or',
30889:'business segment; and similar positions. b the offeror □ has □ does not have current active federal contracts and grants',
30890:'with total value greater than $10,000,000. c if the offeror checked has in paragraph b of this provision, theofferor represents,',
30891:'bysubmission of thisoffer, that theinformationithas entered in the federalawardee performanceandintegrity information system fapiisis current, accurate, and complete as of the',
30892:'date of submission of this offerwith regard to the followinginformation: subpart 52.2 text of provisions and clauses 52.2099 1 whetherthe',
30893:'offeror, and/or any of its principals, has or has not, within the last five years, in connection with the award',
30894:'to or performance by the offeror of a federal contract or grant, been the subject ofa proceeding, at the federalor',
30895:'state level that resulted in any of the following dispositions: i in a criminal proceeding, a conviction. iiin acivil proceeding,',
30896:'afinding of faultand liability that results inthe paymentof amonetary fine, penalty, reimbursement, restitution, or damages of $5,000 or more. iii',
30897:'in an administrative proceeding, a finding of fault and liability that results in– a the payment of a monetary fine',
30898:'or penalty of $5,000 or more; or b the payment of a reimbursement, restitution, or damages in excess of $100,000.',
30899:'iv in a criminal, civil, or administrative proceeding, a disposition of the matter by consent or compromise with an acknowledgment',
30900:'of fault by the contractor if the proceeding could have led to any of the outcomes specified in paragraphs c1i,',
30901:'c1ii, or c1iii of this provision. 2 if the offerorhas been involvedin the last five years in any of the',
30902:'occurrenceslistedin c1of this provision, whether theofferor has provided the requested information with regardto each occurrence. d the offeror shall postthe',
30903:'information inparagraphs c1i through c1iv of this provision in fapiis as required through maintaining an activeregistrationin thesystemforawardmanagement, which can be',
30904:'accessed via https:// www.sam.gov see 52.2047. end of provision 52.2098 [reserved] 52.2099updates of publicly available informationregarding responsibility matters. as prescribed',
30905:'at 9.1047c, insert the following clause: updates of publicly available information regarding responsibility matters oct 2018 a thecontractor shall update',
30906:'the informationin the federal awardee performance and integrityinformation system fapiis on a semiannualbasis, throughout thelife ofthe contract, by posting the',
30907:'required informationin the system for award management via https://www.sam.gov. b asrequired by section3010 of the supplemental appropriations act, 2010 pub.',
30908:'l. 111212, all information posted in fapiis on or after april 15, 2011,exceptpast performance reviews,will be publicly available. fapiis consistsof',
30909:'two segments 1 the nonpublic segment, into which government officials and the contractor post information, which can only be viewed',
30910:'by i government personnel and authorized users performing business on behalf of the government; or iithe contractor, when viewingdata on',
30911:'itself; and 2 the publiclyavailable segment, to which all data in the nonpublic segment offapiis is automatically transferred after a',
30912:'waiting period of 14 calendar days, except for i past performance reviews required by subpart 42.15; iiinformation that was entered',
30913:'priorto april 15, 2011; or iii information that is withdrawn duringthe 14calendarday waiting period by thegovernmentofficial whoposted it in accordance',
30914:'with paragraph c1 of this clause. c thecontractor will receive notification when the government posts new informationto the contractor’s record.',
30915:'1 if the contractor assertsin writing within 7calendar days,to thegovernment official whoposted the information, that some ofthe information posted to',
30916:'the nonpublic segment of fapiis is covered bya disclosure exemption underthe freedom of information act,the government official who posted the',
30917:'information mustwithin 7calendar days remove the posting from fapiis and resolvethe issue in accordance with agencyfreedom ofinformation procedures, prior toreposting',
30918:'the releasable information. the contractor must cite 52.2099 and request removal within 7 calendar days of the posting to fapiis.',
30919:'2 the contractor will also have an opportunity to post comments regarding information that has been posted by the government.',
30920:'the comments will be retained as long as the associated information is retained, i.e., for a total period of 6',
30921:'years. contractor comments will remain a part of the record unless the contractor revises them. 52.20910 federal acquisition regulation 3',
30922:'asrequired by section3010 of pub. l. 111212, all information posted in fapiis onor after april15,2011, except past performance reviews, will',
30923:'be publicly available. d public requests for system information postedprior to april15,2011, will be handled under freedom of information act',
30924:'procedures, including, where appropriate, procedures promulgated under e.o. 12600. end of clause 52.20910 prohibitionon contractingwith inverted domestic corporations. as prescribed',
30925:'in 9.1085b, insert the following clause: prohibition on contracting with inverted domestic corporations nov 2015 a definitions. as used in',
30926:'this clause inverted domestic corporation means a foreign incorporated entity that meets the definition of an inverted domestic corporation under',
30927:'6 u.s.c. 395b, applied in accordance with the rules and definitions of 6 u.s.c. 395c. subsidiary means an entity in',
30928:'which more than 50 percent of the entity is owned 1 directly by a parent corporation; or 2 through another',
30929:'subsidiary of a parent corporation. b if the contractor reorganizes as an inverted domestic corporation orbecomes a subsidiaryof an inverted',
30930:'domestic corporation at any time during the period of performance of this contract, the government may be prohibited from paying',
30931:'for contractor activities performed after the date when it becomes aninverted domesticcorporation or subsidiary. the government may seek any available',
30932:'remedies in the event the contractor fails to perform in accordance with the terms and conditions of the contract as',
30933:'a result of government action under this clause. c exceptions to this prohibition are located at 9.1082. d in the',
30934:'event the contractor becomes either an inverted domestic corporation, or a subsidiary of an inverted domestic corporation during contract performance,',
30935:'the contractorshallgive written noticeto thecontracting officer within five business days from the date of the inversion event. end of clause',
30936:'52.20911representation by corporations regarding delinquent tax liability ora felony conviction underany federallaw. as prescribed in 9.1047d, insert the following provision:',
30937:'representation by corporations regarding delinquent tax liability or a felony conviction under any federal law feb 2016 a as required',
30938:'by sections 744 and 745 of division e of the consolidated and further continuing appropriations act, 2015pub. l. 113235, and',
30939:'similar provisions, if contained in subsequentappropriations acts, the government will notenter into a contract with any corporation that– 1 has',
30940:'any unpaid federal tax liability that has been assessed, for which all judicial and administrative remedies have been exhausted or',
30941:'have lapsed, and that is not being paid in a timely manner pursuant to an agreement with the authority responsible',
30942:'for collecting thetax liability, where the awardingagency isaware of the unpaid tax liability, unless an agency has considered suspension or',
30943:'debarment of the corporation and made a determination that suspension or debarment is not necessary to protect the interests of',
30944:'the government; or 2 was convictedof afelony criminal violation underanyfederal law withinthe preceding 24 months, wherethe awarding agency is aware',
30945:'of the conviction, unless an agency has considered suspension or debarment of the corporation and made a determination that this',
30946:'action is not necessary to protect the interests of the government. b the offeror represents that– 1 it is □',
30947:'is not □ a corporation that has any unpaid federal tax liability that has been assessed, for which all judicial',
30948:'and administrative remedies have been exhausted or have lapsed, and that is not being paid in a timely manner pursuant',
30949:'to an agreement with the authority responsible for collecting the tax liability; and subpart 52.2 text of provisions and clauses',
30950:'52.20913 2 it is □ is not □ a corporation that was convicted of a felony criminal violation under a',
30951:'federal law within the preceding 24 months. end of provision 52.20912 certification regarding tax matters. as prescribed in 9.1047e, insert',
30952:'the following provision: certification regarding tax matters oct 2020 a this provision implements section 523 of division b of the',
30953:'consolidated and further continuing appropriations act, 2015pub. l. 113235, and similar provisions, if contained in subsequentappropriations acts. b if the',
30954:'offeror is proposing a total contract price that will exceed$5.5 million includingoptions, the offeror shall certify that, to the best',
30955:'of its knowledge and belief, it 1 has □ filed all federal tax returns required during the three years preceding',
30956:'the certification; 2 has not □ been convicted ofa criminal offense under the internal revenuecode of 1986; and 3 has',
30957:'not □, more than 90 days prior to certification, been notified of any unpaid federal tax assessment for which theliability',
30958:'remainsunsatisfied, unless the assessment is the subjectof an installment agreement or offerin compromisethat has been approved by the internal revenue',
30959:'service and is not in default, or the assessment is the subject of a nonfrivolous administrative or judicial proceeding. end',
30960:'of provision 52.20913 violation of arms control treaties or agreementscertification. as prescribed in 9.1095, insert the following provision: violation of',
30961:'arms control treaties or agreementscertification nov 2021 a this provision does not apply to acquisitions at or below the simplified',
30962:'acquisition threshold or to acquisitions of commercial products and commercial services as defined in federal acquisition regulation 2.101. b certification.',
30963:'[offeror shall check either 1 or 2.] 1 the offeror certifies that– i it does not engage and has not',
30964:'engaged in any activity that contributed to or was a significant factor in the presidents or secretary of states determination',
30965:'that a foreign country is in violation of its obligations undertaken in any arms control, nonproliferation, or disarmament agreement to',
30966:'which the united states is a party, oris not adhering to its arms control, nonproliferation, or disarmament commitments in which',
30967:'the united states is a participating state. the determinations are described in the most recent unclassified annual report provided to',
30968:'congress pursuant to section 403 of the arms control and disarmament act 22 u.s.c. 2593a. the report is available at',
30969:'https://www.state.gov/bureausoffices/undersecretaryfor armscontrolandinternationalsecurityaffairs/bureauofarmscontrolverificationandcompliance/; and iino entityownedor controlled by the offeror has engaged inanyactivity thatcontributedto or was a significant factor in the',
30970:'presidents or secretary of states determination that a foreign country is in violation of its obligations undertaken in anyarms control,',
30971:'nonproliferation, or disarmament agreement to which the united states isa party, or is not adhering to its arms control, nonproliferation,',
30972:'or disarmament commitments in which the united states is a participating state. the determinations are described in the most recent',
30973:'unclassified annual report provided to congress pursuant to section 403 of the arms control and disarmament act 22 u.s.c. 2593a.',
30974:'the report is available at https://www.state.gov/ bureausoffices/undersecretaryforarmscontrolandinternationalsecurityaffairs/bureauofarmscontrolverificationandcompliance/; or 2theofferorisprovidingseparateinformationwithitsofferinaccordancewithparagraphd2ofthis provision. c procedures for reviewing the annual unclassifiedreport see paragraph b1',
30975:'of this provision. for clarity, references to the report in this section refer to the entirety of the annual unclassified',
30976:'report, including any separate reports that are incorporated by reference into the annual unclassified report. 52.20914 federal acquisition regulation 1',
30977:'check the table of contents of the annual unclassified report and the country section headings of the reports incorporated by',
30978:'reference to identifythe foreign countries listed there. determinewhetherthe offeror or any person owned or controlled bythe offeror may have engagedin',
30979:'any activityrelated to one or moreof such foreign countries. 2 if theremay have been such activity, review all findings in',
30980:'the report associated withthose foreigncountriesto determine whether or not each such foreign country was determined to be in violation of',
30981:'its obligations undertaken in an arms control,nonproliferation, ordisarmament agreement to which the unitedstates isa party, or tobe not adhering to',
30982:'its arms control,nonproliferation, ordisarmament commitments in which the united states is a participating state. for clarity, in the annual reportan',
30983:'explicit certification of noncompliance is equivalent to adetermination of violation. however, thefollowing statements in the annual report are not equivalent',
30984:'to a determination of violation: i an inability to certify compliance. ii an inability to conclude compliance. iii a statement',
30985:'about compliance concerns. 3 if so, determine whether the offeror orany personownedor controlled by the offeror has engaged inanyactivity that',
30986:'contributed to or is a significant factor in the determination in the report that one or more of these foreign',
30987:'countries is in violation of its obligations undertaken in an arms control, nonproliferation, or disarmament agreement to which the united',
30988:'states is a party, or is not adhering to its arms control, nonproliferation, or disarmament commitments inwhich the united states',
30989:'is a participating state. review the narrative for any such findings reflecting a determination of violation or non adherence related',
30990:'to thoseforeign countries inthe report,including the finding itself, and to the extent necessary, theconduct giving rise to the compliance oradherence',
30991:'concerns, the analysis of compliance or adherence concerns, andefforts to resolve compliance or adherence concerns. 4 the offeror maysubmit any',
30992:'questionswith regard tothisreport by email to ndaa1290cert@state.gov. to the extent feasible, the department of state will respond to such email',
30993:'inquiries within 3 business days. d do not submitan offer unless— 1 a certification is provided in paragraph b1of this',
30994:'provision andsubmitted withthe offer; or 2 in accordance with paragraph b2 of thisprovision, the offeror provides with its offerinformation that',
30995:'the president of the united states has iwaivedapplication under 22 u.s.c. 2593ed or e; or ii determined under 22 u.s.c.',
30996:'2593eg2 that the entity has ceased all activities for which measures were imposed under 22 u.s.c. 2593eb. e remedies. the',
30997:'certification in paragraph b1 of this provision is a material representation of fact upon which reliance was placed when making',
30998:'award. if it is laterdetermined that the offeror knowingly submitted a false certification,in addition to otherremedies available tothe government, such',
30999:'assuspension or debarment, the contractingofficer may terminate any contract resulting from the false certification. end of provision 52.20914 reserve officer',
31000:'training corps andmilitary recruiting on campus. as prescribed in 9.1105 , insert the following clause: reserve officer training corps and',
31001:'military recruiting on campus nov 2021 a definitions. as used in this clause— covered agency means— 1 the department of',
31002:'defense; 2 any department or agencyforwhich regular appropriations are made in a department of labor, health and human services; and',
31003:'education, and related agencies appropriations act; 3 the department of homeland security; 4 the national nuclear security administration of the',
31004:'department of energy; 5 the department of transportation;or 6 the central intelligence agency. institution of higher education means an institution',
31005:'that meets the requirements of 20 u.s.c. 1001 and includes all sub elements of such an institution. subpart 52.2 text',
31006:'of provisions and clauses 52.20914 b limitation on contract award. except as provided in paragraph c of this clause, an',
31007:'institution of higher education is ineligible for contract award if the secretary of defense determines that the institution has a',
31008:'policy or practice regardless of when implemented that prohibits or in effect prevents— 1 the secretary of a military department',
31009:'from maintaining, establishing, or operating a unit of the senior reserve officer training corps rotcat that institution or any subelement',
31010:'of that institution; 2 a student at that institution or any subelement of that institution from enrolling in a unit',
31011:'of the senior rotc at another institution of higher education; 3 the secretary of a military department or the secretary',
31012:'of homeland security from gaining access to campuses, or access to students who are 17 years of age or older',
31013:'on campuses, for purposes of military recruiting; or 4 military recruiters from accessing, for purposes of military recruiting, the following',
31014:'information pertaining to students who are 17 years of age or older enrolled at that institution: i name, address, and',
31015:'telephone listings. ii date and place of birth, educational level, academic majors, degrees received, and the most recent educational institution',
31016:'enrolled in by the student. c exception. the limitation in paragraph b of this clause does not apply to an',
31017:'institution of higher education if the secretary of defense determines that— 1 the institution has ceased the policy or practice',
31018:'described in paragraph b of this clause; or 2 the institution hasa longstanding policy of pacifism based on historical religious',
31019:'affiliation. d notwithstanding any other clause of this contract, if the secretary of defense determines that the institution has violated',
31020:'the contract in paragraph b of this clause— 1 the institution will be ineligible for further payments under this and',
31021:'any other contracts with this agency and any other covered agency, except for contracts ator below thesimplified acquisition threshold or',
31022:'contracts for the acquisition of commercial products or commercial services; and 2 the government will terminate this contract for default',
31023:'for the institutions material failure to comply with the terms and conditions of award. end of clause this page intentionally',
31024:'left blank. 52.264 subpart 52.2 text of provisions and clauses 52.2101 52.210[reserved] 52.2101marketresearch. as prescribed in 10.003, insert the following',
31025:'clause: market research nov 2021 a definition. as used in this clause— commercial product, commercial service, and nondevelopmental item have',
31026:'the meaning contained in federal acquisition regulation 2.101. b before awarding subcontracts for other than commercial acquisitions, where the subcontracts',
31027:'are over the simplified acquisition threshold, as defined in far 2.101 on the date of subcontract award, the contractor shall',
31028:'conduct market research to— 1 determine if commercial products, commercialservices, or, tothe extent commercial productssuitable to meet the agency’s needs',
31029:'are not available, nondevelopmental items areavailable that– imeet the agency’s requirements; iicould be modified to meet the agency’srequirements; or iii',
31030:'could meetthe agency’s requirements if those requirements were modified to a reasonable extent; and 2 determine the extent to which',
31031:'commercial products, commercial services, or nondevelopmental items could be incorporated at the component level. end of clause this page intentionally',
31032:'left blank. 52.266 subpart 52.2 text of provisions and clauses 52.2113 52.211[reserved] 52.2111 availability of specifications listed in the gsa',
31033:'index of federalspecifications, standards and commercial item descriptions, fpmr part 10129. as prescribed in 11.204a, insert the following provision: availability',
31034:'of specifications listed in the gsa index of federal specifications, standards and commercial item descriptions, fpmr part 10129 sep 2023',
31035:'a the gsa index of federal specifications, standards and commercial item descriptions, fpmr part 101–29, and copies of federal specifications,',
31036:'standards, and product descriptions can be downloaded from the assist website at https:// assist.dla.mil. b if the general services administration,',
31037:'departmentof agriculture, or department of veterans affairs issued this solicitation, a copy of specifications, standards, and commercial item descriptions cited',
31038:'in this solicitation may be obtained from the assist website identified in paragraph a of this provision. end of provision',
31039:'52.2112 availability of defense specifications, standards, and data item descriptions in the acquisition streamlining and standardization information system assist website.',
31040:'as prescribed in 11.204b, insert the following provision: availability of defense specifications, standards, and data item descriptions in the acquisition',
31041:'streamlining and standardization information system assist website sep 2023 a most unclassified defense specifications and standards may be downloaded from',
31042:'the assist website at https:// assist.dla.mil. b defense documents notavailablefrom assist may berequested from thedefense standardization program office by —',
31043:'1 using the assist feedback module https://assist.dla.mil/feedback ; or 2 contacting the defense standardizationprogram office by telephone at571–767–6888 oremail at',
31044:'assisthelp@dla.mil. end of provision 52.2113 availability of specifications not listedin thegsa index of federal specifications, standards and commercial item descriptions.',
31045:'as prescribed in 11.204c, insert a provision substantially the same as the following: availability of specifications not listed in the',
31046:'gsa index of federal specifications, standards and commercial item descriptions june 1988 the specifications cited in this solicitation may be',
31047:'obtained from: activity address telephone number person to be contacted 52.2114 federal acquisition regulation the requestshouldidentify the solicitation number and',
31048:'the specification requested by date,title, andnumber, as cited in the solicitation. end of clause 52.2114 availability for examination of specifications',
31049:'not listed in the gsa index offederal specifications, standards and commercial item descriptions. as prescribed in 11.204d, insert a provision',
31050:'substantially the same as the following: availability for examination of specifications not listed in the gsa index of federal specifications,',
31051:'standards and commercial item descriptions june 1988 activity complete address telephone number person to be contacted times for viewing end',
31052:'of clause 52.2115 material requirements. as prescribed in 11.302 , insert the following clause: material requirements aug 2000 a definitions.',
31053:'as used in this clause new means composed of previouslyunused components, whether manufactured from virgin material, recovered material in the',
31054:'form of raw material, or materials and byproducts generated from, and reused within, an original manufacturing process; provided that thesupplies',
31055:'meet contract requirements, including butnot limited to, performance, reliability, and life expectancy. reconditioned means restored to the original normal operating',
31056:'condition by readjustments and material replacement. recovered material means waste materials and byproducts recovered or diverted from solid waste, but',
31057:'the term does not include those materials and byproducts generated from, and commonly reused within, an original manufacturing process. remanufactured',
31058:'means factory rebuilt to original specifications. virgin material means 1 previously unused raw material, including previouslyunused copper, aluminum,lead, zinc, iron,',
31059:'other metal or metal ore; or 2 any undeveloped resource that is, or with new technology will become, a source',
31060:'of raw materials. b unlessthis contractotherwise requires virgin materialor suppliescomposed of ormanufactured from virgin material, thecontractor shall provide supplies that',
31061:'are new,reconditioned, or remanufactured, as defined in thisclause. c a proposal to provide unused former government surplus property shall include',
31062:'a complete description of the material, thequantity, the name ofthe government agency fromwhich acquired, and the date of acquisition. d',
31063:'a proposal to provide used, reconditioned, or remanufactured supplies shall include a detailed description of such supplies and shall be',
31064:'submittedto thecontracting officer for approval. subpart 52.2 text of provisions and clauses 52.2118 e used, reconditioned,or remanufactured supplies,or unused former',
31065:'government surplus property, may be used in contract performance if thecontractor has proposedthe use of suchsupplies, and the contractingofficer has',
31066:'authorized their use. end of clause 52.2116 brand name or equal. as prescribed in 11.107a, insert the following provision: brand',
31067:'name or equalaug 1999 a if an item in this solicitation is identified as brand name or equal, the purchase',
31068:'description reflects the characteristics and level of quality thatwill satisfy the government’s needs. thesalientphysical, functional, or performancecharacteristics that equal products',
31069:'must meet are specified in the solicitation. b to be consideredforaward, offers of equal products, including equal products of the',
31070:'brand namemanufacturer, must 1 meet the salient physical, functional, or performance characteristic specified in this solicitation; 2 clearly identify the',
31071:'item by i brand name, if any; and ii make or model number; 3 include descriptive literature such as illustrations,',
31072:'drawings, or a clear reference to previously furnished descriptive dataor information available to the contracting officer; and 4 clearly describe',
31073:'any modifications the offeror plans to make ina productto make it conform to the solicitation requirements. mark any descriptive material',
31074:'to clearly show the modifications. c thecontracting officer will evaluate equal products on the basis of information furnished by the',
31075:'offeror or identified in the offer and reasonably available to the contracting officer. the contracting officer is not responsible for',
31076:'locating or obtainingany informationnot identifiedin the offer. d unlessthe offeror clearly indicates in its offerthat the product being offeredis an',
31077:'equal product, the offerorshall provide the brand name product referenced in the solicitation. end of provision 52.2117 alternatives to governmentunique',
31078:'standards. as prescribed in 11.107b, insert the following provision: alternatives to governmentunique standards nov 1999 a this solicitation includes governmentuniquestandards.',
31079:'the offerormay propose voluntary consensus standards that meetthe government’s requirements as alternatives to the governmentunique standards. the government will accept',
31080:'use of the voluntary consensus standard instead of the governmentunique standard if it meets the government’s requirements unless inconsistent with',
31081:'law or otherwise impractical. b if an alternative standard is proposed, theofferor must furnish data and/or information regardingthe alternative in',
31082:'sufficient detail for the government todetermine if it meets the government’s requirements. acceptance of the alternative standard is a unilateral',
31083:'decision made solely at the discretion of the government. c offers that do not comply with the governmentunique standards specified',
31084:'in this solicitation may be determinedto benonresponsiveor unacceptable. the offerormay submit an offer that complies withthe governmentuniquestandards specified in this',
31085:'solicitation, in addition to any proposed alternative standards. end of provision 52.2118 time of delivery. as prescribed in 11.404a2, insert',
31086:'the following clause: 52.2118 federal acquisition regulation time of delivery june 1997 a the government requires delivery to be made',
31087:'according to the following schedule: required delivery schedule [contracting officer insert specific details] item no. quantity within days after date',
31088:'of contract the government will evaluate equally, as regards time of delivery, offers that propose delivery of each quantitywithin theapplicable',
31089:'delivery periodspecified above. offers that proposedelivery that will not clearly fall withinthe applicable required delivery period specified above, will be',
31090:'considered nonresponsive and rejected. the government reserves the right to award under either the required delivery schedule or the proposed',
31091:'delivery schedule,when an offeror offers an earlier delivery schedule than required above. if theofferor proposes no other delivery schedule, the',
31092:'required delivery schedule above will apply. offeror’s proposed delivery schedule item no. quantity within days after date of contract b',
31093:'attention is directedto thecontract award provision of the solicitation that provides thata written award or acceptance of offer mailed, orotherwise',
31094:'furnished to thesuccessfulofferor,results in a binding contract. the government will mail or otherwise furnishto the offeror an award or notice',
31095:'ofaward not later than the day award is dated. therefore, theofferor should compute the time available for performance beginning with',
31096:'the actual dateof award, rather than the date thewritten notice ofaward is received fromthe contracting officerthroughthe ordinary mails. however,the government',
31097:'will evaluate an offer thatproposesdelivery basedon the contractor’s date of receiptof the contract or noticeof award by adding 1 five',
31098:'calendar days for delivery of the award through the ordinary mails, or 2 one working day if the solicitation states',
31099:'that the contract or notice of awardwill be transmittedelectronically. theterm working day excludesweekends and u.s. federalholidays. if, as so computed,',
31100:'the offereddelivery dateis laterthan the required delivery date, the offer will be considered nonresponsive and rejected. end of clause alternate',
31101:'i apr 1984. if the delivery schedule is expressed in terms of specific calendar dates or specific periods and is',
31102:'basedon an assumed date of award, the contracting officer maysubstitute the followingparagraph b for paragraph b of the basic clause.',
31103:'the time may be expressed by substituting on or before; during the months ; or not sooner than or later',
31104:'than as headings for the third column of paragraph a the basic clause. b the delivery dates or specific periods',
31105:'above are based on the assumption that the government will make award by [contracting officer insert date]. each delivery date',
31106:'in the delivery schedule above will be extended by the number of calendar days afterthe above date that the contract',
31107:'is in fact awarded. attention is directedto thecontract award provision of the solicitation that provides that a writtenaward or acceptance',
31108:'of offer mailed or otherwise furnishedto the successful offeror results in a bindingcontract. therefore, theofferor should computethe time available for',
31109:'performance beginning with subpart 52.2 text of provisions and clauses 52.2119 theactual date of award, rather than the date the',
31110:'written notice of awardis receivedfrom the contractingofficer through the ordinary mails. alternate ii apr 1984. if the delivery schedule is',
31111:'expressed in terms of specific calendar dates or specific periods and is based on an assumed date the contractor will',
31112:'receive noticeof award, the contracting officer may substitute the following paragraph b for paragraph b of the basic clause. the',
31113:'time may be expressed by substituting within days after the date of receipt of a written notice of award as',
31114:'the heading for the third column of paragraph a of the basic clause. b the delivery dates or specificperiodsabove are',
31115:'based on the assumption thatthe successful offerorwill receive notice of award by [contracting officer insert date]. each delivery date in',
31116:'the delivery schedule above will be extended by the number of calendar days after the above date that the contractor',
31117:'receives notice of award; provided, that the contractor promptly acknowledges receipt of notice of award. alternate iii apr 1984. if',
31118:'the delivery schedule is to be based on the actual date the contractor receives a written notice of award, the',
31119:'contracting officer maydelete paragraph b of the basic clause. the time may be expressedby substituting within days after the date',
31120:'of receipt of a written notice of award as the heading for the third column of paragraph a of the',
31121:'basic clause. 52.2119 desired and requiredtime of delivery. as prescribed in 11.404a3, insert the following clause: desired and required time',
31122:'of delivery june 1997 a the government desires delivery to be made according to the following schedule: desired delivery schedule',
31123:'[contracting officer insert specific details] item no. quantity within days after date of contract if the offeroris unableto meet the',
31124:'desired delivery schedule, it may,without prejudicing evaluation ofits offer, propose a delivery schedule below. however, the offeror’s proposed delivery schedule',
31125:'mustnot extendthe delivery period beyond the time for delivery in the government’s required delivery schedule as follows: required delivery schedule',
31126:'[contracting officer insert specific details] item no. quantity within days after date of contract offers that propose delivery of a',
31127:'quantityunder suchterms orconditions that deliverywill not clearly fall within the applicable required delivery period specifiedabove, will be considered nonresponsive and',
31128:'rejected. ifthe offerorproposesno other deliveryschedule,the desired delivery schedule abovewill apply. offeror’sproposed deliveryschedule item no. quantity within days after date of',
31129:'contract 52.21110 federal acquisition regulation b attention is directedto thecontract award provision of the solicitation that provides thata written award',
31130:'or acceptance of offer mailed or otherwise furnishedto the successful offeror results in a binding contract. the government will mail',
31131:'or otherwise furnishto the offeror an award or notice ofaward not later than the day the award isdated. therefore, theofferor',
31132:'shall compute the time available for performance beginning with the actual dateof award, rather than the date thewritten notice ofaward',
31133:'is received fromthe contracting officerthroughthe ordinary mails. however,the government will evaluate an offer thatproposesdelivery basedon the contractor’s date of receiptof',
31134:'the contract or noticeof award by adding 1 five calendar days for delivery of the award through the ordinary mails,',
31135:'or 2 one working day if the solicitation states that the contract or notice of awardwill be transmittedelectronically. theterm working',
31136:'day excludesweekends and u.s. federalholidays. if, as so computed, the offereddelivery dateis laterthan the required delivery date, the offer will',
31137:'be considered nonresponsive and rejected. end of clause alternate i apr 1984. if the delivery schedule is expressed in terms',
31138:'of specific calendar dates or specific periods and is basedon an assumed date of award, the contracting officer maysubstitute the',
31139:'followingparagraph b for paragraph b of the basic clause. the time may be expressed by substituting on or before; during',
31140:'the months ; or not sooner than , or later than as headings for the third column of paragraph a',
31141:'of the basic clause. b the delivery dates or specific periods above are based on the assumption that the government',
31142:'will make award by [contracting officer insert date]. each delivery date in the delivery schedule above will be extended by',
31143:'the number ofcalendar days after theabove datethat the contractis in fact awarded. attention is directed tothe contractaward provisionof the solicitation',
31144:'thatprovides that awritten award oracceptance ofoffer mailed or otherwise furnished to the successful offeror results in a bindingcontract. therefore, theofferor',
31145:'shall computethe time available for performance beginning with the actual date of award, rather than the date the written notice',
31146:'of award is received from the contracting officer through the ordinary mails. alternate ii apr 1984. if the delivery schedule',
31147:'is expressed in terms of specific calendar dates or specific periods and is based on an assumed date the contractor',
31148:'receivesnotice of award, thecontracting officer may substitute thefollowing paragraph b for paragraph b of the basic clause. the time may',
31149:'be expressed by substituting within days after the date of receipt of a written notice of award as the heading',
31150:'of the third column of paragraph a of the basic clause. b the delivery dates or specificperiodsabove are based on',
31151:'the assumption thatthe successful offerorwill receive notice of award by [contracting officer insert date]. each delivery date in the delivery',
31152:'schedule above will be extended by the number of calendar days after the above date that the contractor receives notice',
31153:'of award; provided, that the contractor promptly acknowledges receipt of notice of award. alternate iii apr 1984. if the delivery',
31154:'schedule is to be based on the actual date the contractor receives a written notice of award, the contracting officer',
31155:'maydelete paragraph b of the basic clause. the time may be expressedby substituting within days after the date of receipt',
31156:'of a written notice of award as the heading of the third column of paragraph a of the basic clause.',
31157:'52.21110commencement, prosecution, andcompletion of work. as prescribed in 11.404b, insert the following clause in solicitations and contracts when a fixedprice',
31158:'construction contract is contemplated. the clause may be changed to accommodate the issuance of orders under indefinitedelivery contracts for construction.',
31159:'commencement, prosecution, and completion of work apr 1984 the contractor shall be required to a commence work under this contract',
31160:'within [contracting officer insert number] calendardays after the date the contractorreceives the noticeto proceed, b prosecute the work diligently, and',
31161:'c subpart 52.2 text of provisions and clauses 52.21113 complete the entire work ready for use not later than .',
31162:'the time stated for completion shall include final cleanup of the premises. the contracting officer shall specifyeither anumber of daysafter',
31163:'the date the contractorreceives the noticeto proceed, or a calendar date. end of clause alternate i apr 1984. if the',
31164:'completion date is expressed as a specific calendar date, computed on the basis of the contractor receiving the noticeto proceed',
31165:'bya certainday, add the following paragraph to the basic clause: the completion date is based on theassumption that the successful',
31166:'offeror willreceivethe notice to proceed by [contracting officer insert date]. the completion date will be extended by the number of',
31167:'calendar days after the above date that the contractor receives the notice to proceed, except to the extent that the',
31168:'delay in issuance of the notice to proceed results from the failure of the contractor to execute the contract and',
31169:'give the required performance and paymentbondswithin thetime specifiedin theoffer. 52.21111 liquidated damagessupplies, services, orresearch and development. as prescribed in 11.503a,',
31170:'insert the following clause in solicitations and contracts: liquidated damagessupplies, services, or research and development sept 2000 a if the',
31171:'contractor fails to deliver the supplies or perform the services within the time specified in this contract, the contractor shall,',
31172:'in place of actual damages, pay to the government liquidated damages of $ per calendar day of delay [contracting officer',
31173:'insert amount]. b if the government terminates this contract in whole or in part under the defaultfixedprice supply and service',
31174:'clause, the contractor is liable for liquidated damages accruing until the government reasonably obtains delivery or performance of similar supplies',
31175:'or services. these liquidated damages are in addition to excess costs of repurchase under the terminationclause. c thecontractor will not',
31176:'be charged with liquidated damages when thedelayin delivery or performanceis beyond the control and without the fault or negligence of',
31177:'the contractor as defined in the defaultfixedprice supply and service clause in this contract. end of clause 52.21112 liquidated damagesconstruction.',
31178:'as prescribed in 11.503b, insert the following clause in solicitations and contracts: liquidated damagesconstruction sept 2000 a if the contractor',
31179:'fails to complete the work within the time specified in the contract, the contractor shall pay liquidated damages to the',
31180:'government in the amount of [contracting officer insert amount] for each calendar day of delay until the work is completed',
31181:'or accepted. b if the government terminates the contractor’s rightto proceed, liquidated damages will continue to accrue until the work',
31182:'iscompleted. these liquidated damages arein addition to excesscosts of repurchaseunder thetermination clause. end of clause 52.21113time extensions. as prescribed in',
31183:'11.503c, insert the following clause: time extensions sept 2000 52.21114 federal acquisition regulation timeextensions for contract changes will depend upon',
31184:'the extent, if any,by which thechangescause delay in the completion of the various elements of construction. the change order granting',
31185:'the time extension may provide that the contract completion date will be extended only for those specific elements related to',
31186:'the changed work and that the remaining contract completion dates for all other portions of the work will not be',
31187:'altered. the change order also may provide an equitable readjustment of liquidated damages under the new completion schedule. end of',
31188:'clause 52.21114notice of priority rating fornational defense, emergency preparedness,and energyprogram use. as prescribed in 11.604a, insert the following provision: notice',
31189:'of priority rating for national defense, emergency preparedness, and energy program use apr 2008 any contract awarded as a result',
31190:'of this solicitation will be □ dx rated order; □ do rated order certified for national defense, emergencypreparedness, and energy',
31191:'program use under the defense priorities and allocations system dpas 15 cfr700, and the contractor will be required to follow',
31192:'all of the requirements of this regulation. [contracting officer check appropriate box.] end of provision 52.21115defense priorityand allocation requirements. as',
31193:'prescribed in 11.604b, insert the following clause: defense priority and allocation requirement apr 2008 this is a rated order certified',
31194:'for national defense,emergency preparedness, andenergy program use, and the contractor shall follow all the requirements of the defense priorities and',
31195:'allocations system regulation 15 cfr 700. end of clause 52.21116variation in quantity. as prescribed in 11.703a, insert the following clause:',
31196:'variation in quantity apr 1984 a a variation in the quantity of any item called for by this contract will',
31197:'not be accepted unless the variation has been caused by conditions of loading, shipping, or packing, or allowances in manufacturing',
31198:'processes, and then only to the extent, if any, specifiedin paragraph b of this clause. b the permissible variation shall',
31199:'be limited to: percent increase [contracting officer insert percentage] percent decrease [contracting officer insert percentage] this increase or decrease shall',
31200:'apply to . contracting officer shall insert in the blank the designations to which the percentages apply, such as 1',
31201:'the total contract quantity; 2 item1 only; 3 each quantity specified in the delivery schedule; 4 the total item quantity',
31202:'for each destination; or 5 the total quantity of each item without regard to destination. end of clause subpart 52.2',
31203:'text of provisions and clauses 52.21118 52.21117 delivery of excess quantities. as prescribed in 11.703b, insert the following clause: delivery',
31204:'of excess quantities sept 1989 the contractor isresponsibleforthe delivery of each item quantitywithin allowable variations, if any. if the contractor',
31205:'delivers and the government receives quantities of any item in excess of the quantity called for after considering any allowable',
31206:'variation in quantity, such excess quantities will be treated as being delivered for the convenience of the contractor. the governmentmay',
31207:'retain such excessquantities up to $250 in value without compensating the contractor therefor, and thecontractor waives all right, title, or',
31208:'intereststherein. quantities in excess of $250will, atthe option of the government, either be returned at the contractor’s expense or retained',
31209:'and paid for by the government at the contract unit price. end of clause 52.21118variation in estimated quantity. as prescribed',
31210:'in 11.703c, insert the following clause in solicitations and contracts when a fixedprice construction contract is contemplated that authorizes a',
31211:'variation in the estimated quantity of unitpriced items: variation in estimated quantity apr 1984 if the quantity of a unitpriced',
31212:'item in this contract is an estimated quantity and the actual quantity of the unitpriced item varies morethan 15 percent',
31213:'above orbelow the estimated quantity, an equitableadjustmentin the contractprice shall be made upon demand of eitherparty. the equitable adjustment shall',
31214:'bebased uponanyincrease or decreasein costs duesolely to the variation above115 percent or below85 percentof the estimated quantity. if the quantityvariation',
31215:'issuch as to cause an increase in the time necessary for completion, the contractor may request, in writing, an extension',
31216:'of time, to be received by the contractingofficer within 10 daysfrom the beginning of the delay, or within such further',
31217:'period asmay be granted by the contractingofficer before the date of final settlement of the contract. upon the receipt of',
31218:'a written request for an extension, the contracting officer shall ascertain the facts and make an adjustment for extendingthe completion',
31219:'date as, in thejudgement of thecontracting officer,is justified. end of clause this page intentionally left blank. 52.276 subpart 52.2 text',
31220:'of provisions and clauses 52.2121 52.212[reserved] 52.2121instructions to offerors—commercial products and commercial services. as prescribed in 12.301b1, insert the following',
31221:'provision: instructions to offerors—commercial products and commercial services sep 2023 a north american industry classification system naics code and small',
31222:'business size standard. the naics codes and small business sizestandards for this acquisitionappear elsewhere in the solicitation. however, the small',
31223:'businesssize standard for a concern that submitsan offer, otherthan on a construction or service acquisition, but proposes tofurnish an end',
31224:'item that it did not itself manufacture, process, or produce is 500 employees, or 150 employees for information technology valueadded',
31225:'resellers under naics code 541519, if the acquisition— 1 is set aside for small business and has a value above',
31226:'the simplified acquisition threshold; 2 uses the hubzone price evaluation preference regardless of dollar value, unless the offeror waives the',
31227:'price evaluation preference; or 3 is an 8a, hubzone, servicedisabled veteranowned, economically disadvantaged womenowned, or women owned small business setaside',
31228:'or solesource award regardless of dollar value. b submission of offers. submit signed and dated offers to the office specified',
31229:'in this solicitation ator before the exact time specified inthis solicitation. offers may be submitted on the sf 1449, letterhead',
31230:'stationery, or as otherwise specified in thesolicitation. as a minimum,offers must show— 1 the solicitation number; 2 the time specified',
31231:'in the solicitation for receipt of offers; 3 the name, address, and telephone number of the offeror; 4 a technical',
31232:'description of the items beingoffered in sufficientdetail to evaluate compliance with therequirements in the solicitation. this may include product literature,',
31233:'or other documents, if necessary; 5 terms of any express warranty; 6 price and any discount terms; 7 remit to',
31234:'address, if different than mailing address; 8 a completedcopy ofthe representations and certifications at federal acquisition regulation far 52.2123 see',
31235:'far 52.2123b for those representations and certifications thatthe offerorshallcomplete electronically; 9 acknowledgment of solicitation amendments; 10 past performance information,when included',
31236:'asan evaluation factor, to include recent and relevant contractsfor the same or similar items and other references including contract numbers,',
31237:'points of contact with telephone numbers and other relevant information; and 11 if theoffer is not submitted onthe sf 1449,',
31238:'include a statement specifying the extent of agreement with all terms, conditions, and provisions included in the solicitation. offers that',
31239:'fail tofurnish required representations or information, or reject the terms and conditions of the solicitation may be excluded from consideration.',
31240:'c period for acceptance of offers. the offeroragrees toholdthe pricesin itsoffer firm for 30 calendar days from thedate specified for',
31241:'receiptof offers, unless another time period is specifiedin anaddendum to the solicitation. d product samples. when required by the solicitation,',
31242:'product samples shall be submitted at or prior to the time specified for receipt ofoffers. unless otherwise specified in this',
31243:'solicitation, these samples shall besubmitted atno expense to the government, and returned at the sender’srequest and expense, unless they are',
31244:'destroyed during preaward testing. e multiple offers. offerors are encouraged tosubmit multiple offers presenting alternative terms and conditions, includingalternativelineitemsprovidedthatthealternativelineitemsareconsistentwithfar subpart',
31245:'4.10, or alternative commercial products orcommercial services for satisfying the requirementsof this solicitation. eachoffer submitted will be evaluated separately. f',
31246:'late submissions, modifications, revisions, andwithdrawals ofoffers. 1 offerors are responsible for submitting offers,andany modifications, revisions, or withdrawals, so as to',
31247:'reach the governmentoffice designated in the solicitation by the time specified in the solicitation. if no time is specified in',
31248:'the solicitation, the time for receipt is 4:30 p.m., local time, for thedesignated governmentoffice on thedate thatoffers or revisions are',
31249:'due. 2 ianyoffer,modification,revision,orwithdrawalofanofferreceivedatthegovernmentofficedesignatedinthe solicitation after the exact time specified for receipt of offers is late and will not be considered',
31250:'unless it is received before award is made,the contracting officerdeterminesthat accepting the late offer would not unduly delay theacquisition; and',
31251:'52.2121 federal acquisition regulation a if it was transmitted through an electronic commerce method authorized by the solicitation, it was',
31252:'received at the initial point of entry to the government infrastructure not later than 5:00 p.m. one working day prior',
31253:'to the date specified for receipt ofoffers; or b there is acceptable evidence to establish that it was received at',
31254:'the government installation designated for receipt ofoffers and wasunder thegovernment’s control priorto the time setforreceipt of offers; or c if',
31255:'this solicitation is a request for proposals, it was the only proposal received. iihowever, a late modification of anotherwise successful',
31256:'offer, that makes its terms more favorable to the government, will be considered at any time it is received and',
31257:'may be accepted. 3 acceptable evidence to establish the time of receipt at the government installation includes the time/date stamp',
31258:'of that installation on the offer wrapper, other documentary evidence ofreceipt maintained by the installation, ororal testimony or statements of',
31259:'government personnel. 4 if an emergency orunanticipated event interrupts normal governmentprocesses so that offerscannot be received at thegovernment office designated',
31260:'for receipt of offers by theexact timespecified in the solicitation, and urgentgovernment requirements preclude amendment of the solicitation or other',
31261:'notice of an extension of the closing date, the time specified for receipt ofoffers will be deemed to be extended',
31262:'to the same time ofday specified inthe solicitationon the first work day on which normal government processes resume. 5 offers',
31263:'may be withdrawn by writtennotice received at any time before the exact time set for receipt ofoffers. oral offers in',
31264:'response to oral solicitations may be withdrawn orally. ifthe solicitationauthorizesfacsimile offers, offers may be withdrawn via facsimile receivedat anytime before',
31265:'the exacttime set for receiptof offers, subject to the conditions specified in the solicitation concerning facsimileoffers. anoffer may be withdrawn',
31266:'in person by an offeror or its authorized representative if, before the exacttime set for receiptof offers, the identity of',
31267:'thepersonrequesting withdrawalis established and the personsigns a receiptforthe offer. g contract award not applicable to invitation for bids. thegovernment intends',
31268:'toevaluateoffers and awarda contract without discussionswith offerors. therefore, theofferor’s initial offer should contain the offeror’s best terms from aprice and',
31269:'technical standpoint. however, the government reservesthe right to conduct discussions if later determined by the contracting officerto benecessary. the government',
31270:'may rejectanyor all offers if suchaction is inthe public interest; accept other than the lowest offer; and waive informalities and',
31271:'minor irregularities inoffers received. h multiple awards. the government may acceptany item orgroup of items of an offer,unlessthe offerorqualifies the',
31272:'offer by specific limitations. unless otherwiseprovidedin theschedule, offers may not be submitted for quantities less than those specified. the government',
31273:'reserves the right to make an awardon any itemfora quantity lessthan the quantity offered, at the unit prices offered, unless',
31274:'the offeror specifies otherwisein theoffer. iavailability of requirements documents cited in thesolicitation. 1 i the gsa index of federal specifications,',
31275:'standards and commercial item descriptions, fpmr part 101–29, and copies of federal specifications, standards, and product descriptions can be downloaded',
31276:'from the assist website at https://assist.dla.mil. iiif the general servicesadministration, department of agriculture, or department of veterans affairsissuedthis solicitation, a',
31277:'copy of specifications, standards, and commercial item descriptions cited in this solicitation may be obtained from the address in paragraph',
31278:'i1i of this provision. 2 most unclassified defense specifications and standards may be downloaded from the assist website at https://',
31279:'assist.dla.mil. 3 defense documents not available from the assist website may be requested from the defense standardization program office by—',
31280:'i using the assist feedback module https://assist.dla.mil/feedback; or iicontacting the defense standardization program officeby telephone at 571–767–6688 or email at',
31281:'assisthelp@dla.mil. 4 nongovernment voluntary standards must be obtained from the organization responsible for their preparation, publication, or maintenance. j unique',
31282:'entity identifier.applies to all offers that exceed the micropurchase threshold,and offers at or below the micropurchase thresholdif the solicitation requires',
31283:'the contractorto beregisteredin the system for awardmanagement sam.the offeror shall enter,in the blockwith its name and addresson the cover page',
31284:'of itsoffer, the annotation unique entity identifier followed by the unique entity identifier thatidentifies theofferors name and address. the offeror',
31285:'also shall enter its electronic funds transfer eft indicator, if applicable. the eft indicator is afourcharacter suffix to theunique entity',
31286:'identifier. the suffix is assigned at the discretion of theofferorto establish additional sam records for identifying subpart 52.2 text of',
31287:'provisions and clauses 52.2123 alternativeeftaccountsseefar subpart 32.11forthesameentity. iftheofferordoesnothaveauniqueentityidentifier, it should contact the entity designated at www.sam.gov for unique entity identifier',
31288:'establishment directly to obtain one. the offeror should indicate that it is an offeror for a government contract when contacting',
31289:'the entitydesignated at www.sam.gov for establishingthe uniqueentity identifier. k [reserved] l debriefing. if a postaward debriefing is given torequesting offerors,',
31290:'thegovernmentshalldisclosethe following information, if applicable: 1 the agency’sevaluation of the significant weak or deficientfactors inthe debriefed offeror’s offer. 2 the',
31291:'overall evaluated cost or price and technical rating of the successful and the debriefed offerorandpast performanceinformationon the debriefed offeror. 3',
31292:'the overall rankingof all offerors,when any ranking was developed bythe agency during source selection. 4 a summary of the rationale',
31293:'for award; 5 for acquisitions of commercial products, the make and model of the product to be delivered by the',
31294:'successful offeror. 6 reasonableresponses to relevant questions posed by the debriefed offeror as to whether sourceselection procedures set forth in',
31295:'the solicitation,applicable regulations, and other applicable authorities were followed by the agency. end of provision 52.2122evaluation—commercial products and commercial services.',
31296:'as prescribed in 12.301c,thecontractingofficermayinsertaprovisionsubstantiallyasfollows: evaluation—commercial products and commercial services nov 2021 a thegovernment will award a contract resulting from this',
31297:'solicitation to the responsibleofferor whose offer conforming to the solicitation will be most advantageous to the government, price and other',
31298:'factors considered. the following factors shall beused toevaluateoffers: [contracting officer shall insert the significant evaluation factors, such as i technical',
31299:'capability of the item offered to meet the government requirement; ii price; iii past performance see far 15.304; and include',
31300:'them in the relative order of importance of the evaluation factors, such as in descending order of importance.] technical and',
31301:'past performance,when combined, are [contracting officer state, in accordance with far 15.304, the relative importance of all other evaluation factors,',
31302:'when combined, when compared to price.] b options.the government will evaluate offers for award purposes by addingthe total price for',
31303:'all options tothe total price for the basic requirement. the government maydetermine that an offer is unacceptable ifthe option prices',
31304:'are significantly unbalanced. evaluation of options shall not obligate the government to exercise the options. c a written notice of',
31305:'awardor acceptanceof an offer, mailed or otherwise furnished to the successful offeror within thetime for acceptance specified in the offer,',
31306:'shall result in a binding contract without further action by either party. before theoffer’s specified expiration time,the government may acceptan',
31307:'offer or part ofan offer, whether or not there are negotiations after its receipt, unless a written notice of withdrawal',
31308:'is received before award. end of provision 52.2123offerorrepresentations andcertifications—commercial productsand commercial services. as prescribed in 12.301b2, insert the following provision:',
31309:'offeror representations and certifications—commercial products and commercial services may 2024 the offeror shall complete only paragraph b of this provision',
31310:'if the offeror has completed the annualrepresentations and certification electronicallyin thesystemforawardmanagement sam accessed through https://www.sam.gov. if theofferor hasnot completed the',
31311:'annualrepresentations and certificationselectronically,the offeror shall complete only paragraphs c through v of this provision. 52.2123 federal acquisition regulation a definitions.',
31312:'as used in this provision— covered telecommunications equipment or services has the meaning provided in the clause 52.20425, prohibition on',
31313:'contracting for certain telecommunications and video surveillance services or equipment. economically disadvantaged womenowned small business edwosb concern means a small',
31314:'business concern that is at least51 percent directly andunconditionally owned by,andthe management and dailybusinessoperations ofwhich arecontrolled by,oneor more women who',
31315:'arecitizens of the unitedstates and whoare economically disadvantaged in accordance with 13 cfr part 127, and the concern is certified',
31316:'by sba or an approved thirdparty certifier in accordance with 13 cfr 127.300. it automatically qualifies as a womenowned small',
31317:'business eligible under the wosb program. forced or indentured child labor means all work or service— 1 exacted from any',
31318:'person under the age of 18 under the menace of any penalty for its nonperformance and for which theworker does',
31319:'not offer himself voluntarily; or 2 performed by any person under the age of 18 pursuant to a contract the',
31320:'enforcement of which can be accomplished by process or penalties. highestlevel owner means theentity thatowns orcontrolsan immediate owner of the',
31321:'offeror, or that owns or controls one or more entities that control an immediate owner of the offeror. no entity',
31322:'owns or exercisescontrol of the highest level owner. immediate owner means an entity, other than the offeror, that has direct',
31323:'control of the offeror. indicators of control include, but are not limited to, one or more of the following: ownership',
31324:'or interlocking management, identity of interests among family members, shared facilities and equipment, and the common use of employees. inverted',
31325:'domestic corporation, means a foreign incorporated entity that meets the definition of an inverted domestic corporation under 6 u.s.c. 395b,',
31326:'applied in accordance with the rules and definitions of 6 u.s.c. 395c. manufactured end product means any end product in',
31327:'product and service codes pscs 10009999, except— 1 psc 5510, lumber and related basicwood materials; 2 product or service group',
31328:'psg 87, agricultural supplies; 3 psg 88, live animals; 4 psg 89, subsistence; 5 psc 9410, crude grades of plant',
31329:'materials; 6 psc 9430, miscellaneous crude animal products, inedible; 7 psc 9440, miscellaneous crude agricultural and forestry products; 8 psc',
31330:'9610, ores; 9 psc 9620, minerals, natural and synthetic; and 10 psc 9630, additive metal materials. place of manufacture means',
31331:'the place where an end product is assembled out of components, or otherwise made or processed from raw materials into',
31332:'the finished product that is to be provided to the government. if a product is disassembled and reassembled, the place',
31333:'of reassembly is not the place of manufacture. predecessor means an entitythat isreplaced by a successor and includes any predecessors',
31334:'of the predecessor. reasonable inquiry has the meaning provided in the clause 52.20425, prohibition on contracting for certain telecommunications and',
31335:'videosurveillance services orequipment. restricted business operations means business operations in sudan that include power production activities, mineral extraction activities, oilrelated',
31336:'activities, or the production of military equipment, as those terms are defined in the sudan accountabilityand divestment act of2007 pub.',
31337:'l. 110174. restricted business operationsdo not include business operations that the person as that term is defined in section 2',
31338:'of the sudan accountability and divestment act of 2007 conducting the business can demonstrate— 1 are conducted under contract directly',
31339:'and exclusively with the regional government of southern sudan; 2 are conducted pursuant to specificauthorizationfrom the office of foreign assets',
31340:'control in thedepartment ofthe treasury, or are expressly exempted under federal law fromthe requirement tobe conducted undersuch authorization; 3 consist',
31341:'of providing goods or services to marginalized populationsof sudan; 4 consist of providing goods or services to an internationally recognized',
31342:'peacekeeping force or humanitarian organization; 5 consist of providing goods or services that are used only to promote health or',
31343:'education; or 6 have been voluntarily suspended.sensitive technology— sensitive technology— 1 means hardware, software, telecommunications equipment, or any other technology',
31344:'that is to be used specifically— subpart 52.2 text of provisions and clauses 52.2123 ito restrict the freeflow of unbiased',
31345:'information in iran; or iito disrupt, monitor, or otherwise restrict speech of the peopleof iran; and 2 does not include',
31346:'information or informational materials the export of which the president does not have the authorityto regulate or prohibit pursuant to',
31347:'section203b3of theinternational emergency economic powersact50 u.s.c. 1702b3. servicedisabled veteranowned small business sdvosb concern means a small business concern— 1 inotlessthan51percentofwhichisownedandcontrolledbyoneormoreservicedisabledveteransor,inthe',
31348:'case of any publicly owned business, not less than 51 percent of the stock of which is owned by one',
31349:'or more servicedisabled veterans; and ii the management and daily business operations of which are controlled by one or more',
31350:'servicedisabled veterans or, in the case of a servicedisabledveteran with permanent and severe disability, the spouse or permanent caregiver of',
31351:'such veteran; or 2 a small business concern eligible under the sdvosb program in accordance with 13 cfr part 128',
31352:'see subpart 19.14. 3 servicedisabled veteran, as used in this definition, means a veteran as defined in 38 u.s.c. 1012,',
31353:'with a disability that is service connected, as defined in 38 u.s.c. 10116, and who is registered in the beneficiary',
31354:'identification and records locator subsystem, or successor system that is maintained by the department of veterans affairs’ veterans benefits administration,',
31355:'as a servicedisabled veteran. servicedisabled veteranowned small business sdvosb concern eligible under the sdvosb program means an sdvosb concern that—',
31356:'1 effective january 1,2024, is designated inthe system for award management sam ascertifiedby the small business administration sba in accordance',
31357:'with 13 cfr 128.300; or 2 has represented that it is an sdvosb concern in sam and submitted a complete',
31358:'application for certification to sba on or before december 31, 2023. servicedisabled veteranowned small business sdvosb program means a program',
31359:'that authorizes contracting officers to limit competition, including award on a solesource basis, to sdvosb concerns eligible under the sdvosb',
31360:'program. small business concern— 1 means a concern, including itsaffiliates, that is independently owned and operated, not dominant inits field',
31361:'of operation, and qualified as a small business under the criteria in 13 cfr part 121 and size standards in',
31362:'this solicitation. 2 affiliates, as used in this definition, means business concerns, one of whom directly or indirectly controls or',
31363:'has the power to control the others, or a third party or parties control or have the power to control',
31364:'the others. in determining whether affiliationexists, consideration is given to all appropriate factors including commonownership, commonmanagement, and contractualrelationships. sbadeterminesaffiliation based',
31365:'onthe factors setforth at 13 cfr121.103. small disadvantaged business concern, consistent with 13 cfr 124.1001, means a small business concern',
31366:'under the size standard applicable to the acquisition, that— 1 is at least 51 percent unconditionally and directly owned as',
31367:'defined at 13 cfr 124.105 by— i one or more socially disadvantaged as defined at13 cfr 124.103 and economically disadvantaged',
31368:'as defined at 13 cfr 124.104 individuals who are citizens of the united states; and ii each individual claiming economic',
31369:'disadvantage has a net worth not exceeding the threshold at 13 cfr 124.104c2 after taking into account the applicable exclusions',
31370:'set forth at 13 cfr124.104c2; and 2 the management and daily business operations of which are controlled as defined at',
31371:'13.cfr 124.106 by individuals, who meet the criteria in paragraphs 1i and ii of this definition. subsidiary means an entity',
31372:'in which more than 50 percent of the entity is owned— 1 directly by a parent corporation; or 2 through',
31373:'another subsidiary of a parent corporation successor means an entity that hasreplaced a predecessor by acquiring the assets and carrying',
31374:'out the affairs of the predecessor under a new name oftenthroughacquisitionor merger. the term successor doesnot includenew offices/ divisions of',
31375:'the same company or a company that only changes its name. the extent of the responsibility of the successor for',
31376:'theliabilities of the predecessormay vary, depending on state law and specific circumstances. veteranowned small business concern means a small business',
31377:'concern— 1 not less than 51 percent of which is owned and controlled by one or more veterans as defined',
31378:'at 38 u.s.c. 1012 or, in the case of any publicly owned business, not less than 51 percent of thestock',
31379:'of which is owned by one or more veterans; and 52.2123 federal acquisition regulation 2 the management and daily business',
31380:'operations of which are controlled by one or more veterans. womenowned business concern means a concern which is at least',
31381:'51 percent owned by one or more women; or in the case of any publicly owned business, at least 51',
31382:'percent of its stock is owned by one or more women; and whose management and daily business operations are controlled',
31383:'by one or more women womenowned small business concern means a small business concern— 1 that is atleast 51 percent',
31384:'owned by one or more women; or, inthe case of any publicly owned business, at least51 percent of the stock',
31385:'of which is owned by one or more women; and 2 whose management and daily business operations are controlled by',
31386:'one or more women. womenowned small business wosb concern eligible under the wosb program in accordance with 13 cfr part',
31387:'127, meansa small businessconcern that is atleast 51 percent directly and unconditionally owned by, and the managementand daily business operations',
31388:'of which are controlled by, one or more women who are citizens of the united states,and the concern is certified',
31389:'by sba or an approved thirdparty certifier in accordance with 13 cfr 127.300. b 1 annual representations and certifications. any',
31390:'changes provided by theofferor in paragraph b2 of this provision do not automatically change the representations and certifications in sam.',
31391:'2 the offeror has completed the annualrepresentations and certificationselectronically in sam accessed through http://www.sam.gov. after reviewing sam information, the offeror',
31392:'verifies by submission of this offer that the representations and certifications currently posted electronically at far 52.2123, offeror representationsand certifications',
31393:'commercial products and commercial services, have been entered or updated in the last 12 months, are current, accurate, complete, and',
31394:'applicable to this solicitation including the business size standards applicable to the naics codes referenced for this solicitation, at the',
31395:'time this offeris submitted and areincorporated in this offer by referencesee far 4.1201, except for paragraphs . [offeror to identify',
31396:'the applicable paragraphs at c through v of this provision that the offeror has completed for the purposes of this',
31397:'solicitation only, if any. these amended representations and/or certifications are also incorporated in this offer and are current, accurate, and',
31398:'complete as of the date of this offer. any changes provided by the offeror are applicable to this solicitation only,',
31399:'and do not result in an update to the representations and certifications posted electronically on sam.] c offerors mustcomplete the',
31400:'followingrepresentations whenthe resulting contract is for supplies to be delivered or servicestobeperformedintheunitedstatesoritsoutlyingareas,orwhenthecontractingofficerhasapplied part 19 in accordance with 19.000b1ii. check all',
31401:'that apply. 1 small business concern.the offeror represents as part of its offer that— i it □ is, □ is',
31402:'not a small business concern; or ii it □ is, □ is not a small business joint venture that complies',
31403:'with the requirements of 13 cfr 121.103h and 13 cfr 125.8a and b. [ the offeror shall enter the name',
31404:'and unique entity identifier of each party to the joint venture: .] 2 veteranowned small business concern. [complete only if',
31405:'the offeror represented itself as a small business concern in paragraph c1 of this provision.] the offeror represents as partof',
31406:'its offer that it □ is, □ is not a veteranowned small business concern. 3 sdvosb concern. [complete only if',
31407:'the offeror represented itself as a veteranowned small business concern in paragraph c2 of this provision.] the offeror representsthat it',
31408:'□ is, □ is not an sdvosb concern. 4 sdvosb concern joint venture eligible under the sdvosb program. the offerorrepresents',
31409:'thatit □ is, □ is not an sdvosb joint venture eligible under the sdvosb program that complies with the requirements',
31410:'of 13 cfr 128.402. [complete only if the offeror represented itself as an sdvosb concern in paragraph c3 of this',
31411:'provision.] [the offeror shall enter the name and unique entity identifier of each party to the joint venture: .] 5',
31412:'small disadvantaged business concern. [complete only if the offeror represented itself as a small business concern in paragraph c1 of',
31413:'this provision.] the offerorrepresents that it □ is, □ is not a small disadvantaged business concern as defined in 13',
31414:'cfr 124.1001. 6 womenowned small business concern. [complete only if the offeror represented itself as a small business concern in',
31415:'paragraph c1 of this provision.] the offeror represents that it □ is, □ is not a womenowned small business concern.',
31416:'7 wosb joint venture eligible under the wosb program. the offeror represents that it □ is, □ is not a',
31417:'joint venture that complies with the requirements of 13 cfr 127.506a through c. [ the offeror shall enter the name',
31418:'and unique entity identifier of each party to the joint venture: .] subpart 52.2 text of provisions and clauses 52.2123',
31419:'8 economically disadvantaged womenowned small business edwosb joint venture. the offeror representsthat it □ is, □ is not a joint',
31420:'venture that complies with the requirements of 13 cfr 127.506a through c. [the offeror shall enter the name and unique',
31421:'entity identifier of each party to the joint venture: .] note to paragraphs c9 and 10: complete paragraphs c9 and',
31422:'10 only if this solicitation is expected to exceed the simplified acquisition threshold. 9 womenowned business concern other than small',
31423:'business concern. [complete only if the offeror is a women owned business concern and did not represent itself as a',
31424:'small business concern in paragraph c1 of this provision.] the offeror represents thatit □ is a womenowned business concern. 10',
31425:'tie bid priority for labor surplus area concerns. if this is an invitation for bid, small business offerors may identify',
31426:'thelaborsurplus areas in which costs tobe incurred on account of manufacturing or productionbyofferor or firsttier subcontractors amount to more than',
31427:'50 percent of the contract price: 11 hubzone small business concern. [complete only if the offeror represented itself as a',
31428:'small business concern in paragraph c1 of this provision.] the offeror represents, aspart of itsoffer, that– i it □ is,',
31429:'□ is not a hubzone small business concern listed, on the date of this representation, as having been certified by',
31430:'sba as a hubzone small business concern in the dynamic small business search and sam, and will attempt to maintain',
31431:'an employment rate of hubzone residents of 35 percent of its employees during performance of a hubzone contract see 13',
31432:'cfr 126.200e1; and ii it □ is, □ is not a hubzone joint venture that complies with the requirements of',
31433:'13 cfr 126.616a through c. [the offeror shall enter the name and unique entity identifier of each party to the',
31434:'joint venture: .] each hubzone small business concern participating in the hubzone joint venture shall provide representation of its hubzone',
31435:'status. d representationsrequired to implement provisions of executive order112461 previous contracts and compliance. the offeror represents that i it □',
31436:'has, □ has not participated in a previous contract or subcontract subject to the equal opportunity clause of this solicitation;',
31437:'and ii it □ has, □ has not filed all required compliance reports. 2 affirmative action compliance. theofferor representsthat i',
31438:'it □ has developed and has on file, □ has not developed and does not have on file, at each',
31439:'establishment, affirmative action programs required by rules and regulationsof the secretary of labor 41 cfr parts 601 and 602, or',
31440:'ii it □ has notpreviously had contracts subject to the writtenaffirmativeaction programs requirement of the rules and regulations of the',
31441:'secretary of labor. e certification regarding payments to influence federal transactions 31 http://uscode.house.gov/ u.s.c. 1352. applies onlyif the contractis expectedto',
31442:'exceed $150,000. by submissionof its offer, the offeror certifies to the best of its knowledge and belief that no federal',
31443:'appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officeror',
31444:'employee of anyagency,a member ofcongress, anofficer or employee of congress or an employee of a member of congress on his',
31445:'or her behalf in connection with the award of any resultant contract. if any registrants under the lobbying disclosure act',
31446:'of1995 have made a lobbying contact on behalf of the offeror with respect to this contract, the offerorshallcomplete and submit,',
31447:'withits offer, omb standard form lll,disclosureof lobbying activities, to provide thename of the registrants. the offeror need not reportregularly employed',
31448:'officers or employees of the offeror to whom payments ofreasonable compensationwere made. f buy american certificate. applies only ifthe clause',
31449:'atfederal acquisition regulation far 52.2251, buy americansupplies, is included in this solicitation. 1 itheofferorcertifiesthateachendproduct,exceptthoselistedinparagraphf2ofthisprovision,isa domestic end product and that each',
31450:'domestic end product listed in paragraph f3 of this provision contains a critical component. iithe offeror shall list asforeign end',
31451:'products those end products manufacturedin theunited statesthat do not qualify as domestic end products. for those foreign end products that',
31452:'do not consist wholly or predominantly of iron or steel or a combination of both, theofferor shall alsoindicate whether theseforeign',
31453:'end products exceed55 percent domestic content, except for those that are cots items. if the percentage of the domestic content',
31454:'is unknown, select “no”. iii the offeror shall separately list the line item numbers of domestic end products that contain',
31455:'acritical component see far 25.105. iv the terms “commercially availableofftheshelf cots item,” “critical component,” “domestic end product,” end product, foreign',
31456:'end product, and united states are defined in the clause of this solicitation entitled buy americansupplies. 52.2123 federal acquisition regulation',
31457:'2 foreign end products: line item no. country of origin exceeds 55% domestic content yes/no [list as necessary] 3 domestic',
31458:'end products containing a critical component: line item no. [list as necessary] 4 the government will evaluate offers in accordance',
31459:'with the policies and procedures of far part 25. g 1 buy americanfree trade agreementsisraeli trade act certificate. applies only',
31460:'if theclause at far 52.2253, buy americanfree trade agreementsisraeli trade act, is included in thissolicitation. i atheofferorcertifiesthateachendproduct,exceptthoselistedinparagraphg1iioriiiofthis provision, is a',
31461:'domestic end product and that each domestic end product listed in paragraph g1iv of this provision contains a critical component.',
31462:'b the terms bahraini, moroccan, omani, panamanian, or peruvian end product, commercially available off theshelf cots item, criticalcomponent, domesticendproduct, end',
31463:'product, foreign end product, free trade agreement country, free trade agreement country end product, israeli end product, and united states',
31464:'are defined in theclause ofthis solicitation entitled buy americanfree trade agreementsisraeli trade act. iithe offeror certifies that the following supplies',
31465:'arefree trade agreement country end products other than bahraini, moroccan, omani, panamanian, or peruvian end products or israeli end products',
31466:'as defined in the clause of this solicitation entitled buy americanfree trade agreementsisraeli trade act. free trade agreementcountry end products',
31467:'other than bahraini, moroccan,omani, panamanian, orperuvian end products or israeli end products: line item no. country of origin [list as',
31468:'necessary] iii the offeror shall listthose supplies that are foreign end products otherthan those listed in paragraph g1ii of this',
31469:'provision as defined in the clause of thissolicitation entitled buy americanfree trade agreementsisraelitrade act. the offeror shall list as other',
31470:'foreign end products thoseendproducts manufactured in the united states that donot qualify as domestic end products. for those foreign end',
31471:'products that do not consist wholly or predominantly of iron or steel or a combination of both, theofferor shall alsoindicate',
31472:'whether theseforeign end products exceed55 percent domestic content, except for those that are cots items. if the percentage of the',
31473:'domestic content is unknown, select “no”. other foreign end products: line country of origin exceeds 55% domestic content yes/no item',
31474:'no. [list as necessary] subpart 52.2 text of provisions and clauses 52.2123 iv the offerorshalllist theline item numbers of domestic',
31475:'end products that contain a criticalcomponent see far 25.105. line item no. [list as necessary] v the government will evaluate',
31476:'offers inaccordancewiththepoliciesandproceduresoffar part 25. 2 buy americanfree trade agreementsisraeli trade act certificate, alternate ii. if alternate ii to the clause',
31477:'at far 52.2253 is included in this solicitation, substitute the following paragraph g1ii for paragraph g1ii of the basic provision:',
31478:'g1ii the offeror certifiesthat thefollowing supplies are israeli end products as definedin the clause of this solicitation entitled “buyamerican—free trade',
31479:'agreements—israeli trade act”: israeli end products: line item no. [list as necessary] 3 buy americanfree trade agreementsisraeli trade act certificate,',
31480:'alternate iii. if alternate iii to the clause at 52.2253 is included in this solicitation, substitute the following paragraphs g1ib',
31481:'and g1ii for paragraphs g1i b and g1ii of the basic provision: g1ib the terms “korean end product”, “commercially available',
31482:'offtheshelfcots item,” “critical component,” “domestic end product,” “end product,” “foreign end product,” “free trade agreement country,” “free trade agreement country',
31483:'end product,” “israeli end product,” and “united states” are defined in the clause of this solicitation entitled “buy american—free trade',
31484:'agreements—israeli trade act.” g1ii the offeror certifies thatthe following suppliesare korean end productsor israeliend products asdefined inthe clause of this',
31485:'solicitation entitled “buy american—free trade agreements—israeli trade act”: korean end products or israeli end products: line item no. country of',
31486:'origin [list as necessary] 4 trade agreements certificate.applies only if the clause at far 52.2255, trade agreements,is included in this',
31487:'solicitation. ithe offeror certifies that each end product, except those listed in paragraph g4ii of this provision,is a u.s.made or',
31488:'designated countryendproduct, as defined in the clause of thissolicitation entitled trade agreements. iithe offeror shall list as other end products',
31489:'those end products that are not u.s.made ordesignated country end products. other end products: line item no. country of origin',
31490:'[list as necessary] 52.2123 federal acquisition regulation iiithegovernmentwillevaluateoffersinaccordancewiththepoliciesandproceduresoffar part 25. for line items coveredby the wto gpa, the government will',
31491:'evaluate offers ofu.s.madeor designatedcountry end products without regard to the restrictionsof the buy american statute. the government will consider for',
31492:'awardonlyoffers of u.s.made or designated countryendproducts unless the contractingofficer determines that there are nooffers for such products or that the',
31493:'offers for suchproducts areinsufficient tofulfill the requirements of thesolicitation. h certification regarding responsibility matters executive order 12689. applies only if',
31494:'the contract value is expected to exceed thesimplified acquisition threshold. theofferor certifies, to the best of its knowledge and belief,',
31495:'that the offeror and/or any ofits principals– 1 □ are, □ are not presently debarred, suspended, proposed for debarment, or',
31496:'declared ineligible for the award of contracts by any federal agency; 2 □ have, □ have not, within a threeyear',
31497:'period preceding this offer, been convicted of or had acivil judgment rendered against them for: commission offraud or a criminal',
31498:'offense in connection with obtaining, attempting to obtain, or performing a federal, state or local government contract or subcontract; violation',
31499:'of federal or state antitrust statutes relating to the submission of offers; or commission ofembezzlement, theft, forgery, bribery, falsification or',
31500:'destruction of records, making false statements, tax evasion, violating federal criminal tax laws, or receiving stolen property; 3 □ are,',
31501:'□ are notpresentlyindictedfor, or otherwise criminallyor civilly charged by a government entity with, commission ofany of these offensesenumerated in paragraph',
31502:'h2 of thisclause; and 4 □ have, □ have not, within a threeyear period preceding this offer, been notifiedof any',
31503:'delinquent federaltaxes in an amount that exceeds the threshold at 9.1045a2 for which the liability remains unsatisfied. itaxes are considered',
31504:'delinquentif both of the followingcriteria apply: a the tax liability is finally determined. the liability is finally determined if it',
31505:'has been assessed. a liability is not finally determined if there is a pending administrative or judicial challenge. in the',
31506:'case of a judicial challenge to the liability, the liability isnot finally determined untilalljudicial appeal rights have been exhausted. b',
31507:'the taxpayer is delinquent in making payment. a taxpayer is delinquent if the taxpayer has failed to pay the tax',
31508:'liability when full payment was due and required. a taxpayer is not delinquent in cases where enforced collection action is',
31509:'precluded. ii examples. a the taxpayer has receiveda statutorynotice of deficiency, under i.r.c. §6212, which entitles thetaxpayer toseek tax court',
31510:'review of a proposed tax deficiency. this isnot adelinquent tax becauseitis not a final tax liability. should thetaxpayer seek tax',
31511:'court review,this will not bea final tax liability until the taxpayer has exercised all judicial appeal rights. b the irshas',
31512:'filed anotice of federal tax lien with respect to an assessed tax liability, and the taxpayer has been issued a',
31513:'notice underi.r.c. §6320 entitling the taxpayer to request a hearing with the irs officeof appealscontesting thelien filing, and to further',
31514:'appeal to the tax court if theirs determines tosustainthe lien filing. in the courseof the hearing, the taxpayer is entitled',
31515:'to contest the underlying tax liability because the taxpayer has had no prior opportunity to contest the liability. this is',
31516:'not a delinquent tax because it is nota final tax liability. should the taxpayer seek tax court review, this will',
31517:'notbe a final taxliability untilthe taxpayer has exercised all judicialappealrights. c the taxpayer has entered into an installment agreement pursuant',
31518:'to i.r.c. §6159. the taxpayer is making timely payments and is in full compliance with the agreement terms. the taxpayer',
31519:'is not delinquent because the taxpayer is not currently required to make full payment. d the taxpayer has filed for',
31520:'bankruptcy protection. the taxpayer is not delinquent because enforced collection action isstayed under11 u.s.c. §362the bankruptcy code. i certification regarding',
31521:'knowledge of child labor for listed end products executive order 13126. [the contracting officer must list in paragraph i1 any',
31522:'end products being acquired under this solicitation that are included in the list of products requiring contractor certification as to',
31523:'forced or indentured child labor, unless excluded at 22.1503b.] 1 listed end products. listed end product listed countries of origin',
31524:'2 certification. [if the contracting officer has identified end products and countries of origin in paragraph i1 of this provision,',
31525:'then the offeror must certify to either i2i or i2ii by checking the appropriate block.] subpart 52.2 text of provisions',
31526:'and clauses 52.2123 ❏ i the offeror will not supply any end product listed in paragraph i1 of this provision',
31527:'that was mined, produced, or manufactured in the corresponding country as listed for that product. ❏ ii the offeror may',
31528:'supply an end product listed in paragraph i1 of this provision that was mined, produced, or manufactured in the corresponding',
31529:'country as listed for that product. the offeror certifies that it has made a good faith effort to determine whether',
31530:'forced or indentured child labor was used to mine, produce, or manufacture any such end product furnished under this contract.',
31531:'on the basis of those efforts, the offeror certifies that it is not aware of any such use of child',
31532:'labor. j place of manufacture. does not apply unless the solicitation is predominantly for the acquisition of manufactured end products.',
31533:'for statistical purposes only, the offeror shall indicatewhetherthe place ofmanufacture of the end products it expects to provide in response',
31534:'to this solicitation is predominantly 1 □ inthe united states check this box if the total anticipated price of offered',
31535:'end products manufactured in the unitedstates exceeds the totalanticipated priceof offeredendproducts manufactured outside theunited states; or 2 □ outside the',
31536:'united states. k certificates regarding exemptions from the application of the service contract labor standards certification by the offeror as',
31537:'to its compliance with respectto the contractalso constitutes its certification asto complianceby its subcontractor if it subcontracts out the exempt',
31538:'services. [the contracting officer is to check a box to indicate if paragraph k1 or k2 applies.] ❏ 1 maintenance,',
31539:'calibration, or repair of certain equipment as described in far 22.10034c1. the offeror □ does □ does not certify that–',
31540:'i the items of equipment to be serviced under this contract are used regularly for other than governmental purposes and',
31541:'aresold ortraded bythe offerororsubcontractorin the case of an exempt subcontractin substantial quantities to the general public in the course of',
31542:'normal business operations; iithe services will be furnished at prices whichare, or arebased on, establishedcatalog or market prices see far',
31543:'22.10034c2ii for the maintenance, calibration, or repair of such equipment; and iii the compensation wage and fringe benefits plan for',
31544:'all service employees performing work under the contract will be the same as that used for these employees and equivalent',
31545:'employees servicing the same equipment of commercial customers. ❏ 2 certain services as described in far 22.10034d1. the offeror □',
31546:'does □ does not certify that ithe services under the contractare offered and sold regularly to nongovernmental customers, andare provided',
31547:'by the offeror or subcontractor in the case of an exempt subcontract to the general public insubstantial quantities in the',
31548:'course of normal business operations; ii the contract services will be furnished at prices that are, or are based on,',
31549:'established catalog or market prices see far 22.10034d2iii; iii each service employee who will perform the services under the contract',
31550:'will spend only a small portion of his or her time a monthly average of less than 20 percent of',
31551:'the available hours on an annualized basis, or less than 20 percent of available hours during the contract period if',
31552:'the contract period is less than a month servicing the government contract; and iv the compensation wage and fringe benefits',
31553:'plan for all service employees performing work under the contract is the same as that used for these employees and',
31554:'equivalent employees servicing commercial customers. 3 if paragraph k1 or k2 of this clause applies– iif the offeror does not',
31555:'certify to the conditionsin paragraph k1 or k2 andthe contracting officerdid not attacha service contract labor standards wagedeterminationto the solicitation,',
31556:'theofferor shall notify the contracting officer as soon as possible; and iithe contracting officer maynot make an awardto theofferor if',
31557:'the offeror fails toexecutethe certification in paragraph k1 or k2 of this clauseor to contact the contracting officer asrequired in',
31558:'paragraph k3i of this clause. l taxpayer identification number tin 26 u.s.c. 6109, 31 u.s.c. 7701. not applicable ifthe offeroris',
31559:'required to provide this information to the sam to be eligible for award. 1 all offerors must submitthe information required',
31560:'in paragraphs l3throughl5 of this provision tocomply with debt collection requirements of 31 u.s.c. 7701c and 3325d, reporting requirements of',
31561:'26 u.s.c. 6041, 6041a, and 6050m, and implementing regulations issued by the internal revenue service irs. 2 the tin may',
31562:'be used by the government to collect and report on any delinquent amounts arising out of the offeror’s relationship with',
31563:'thegovernment31 u.s.c. 7701c3. if the resulting contract is subject to the payment reporting requirementsdescribed in far 4.904, the tin provided',
31564:'hereunder may be matched with irs records to verify the accuracyof the offeror’stin. 52.2123 federal acquisition regulation 3 taxpayer identification',
31565:'number tin. ❏ tin: . ❏ tin has been applied for. ❏ tin is not required because: ❏ offeror is',
31566:'a nonresident alien,foreign corporation, or foreign partnership that doesnot have incomeeffectively connected with the conduct of a trade orbusinessin the',
31567:'united states and does nothavean office orplace of business ora fiscal paying agent in the united states; ❏ offeror is',
31568:'anagency or instrumentality of a foreigngovernment; ❏ offeror is anagency or instrumentality of the federal government. 4 type of organization.',
31569:'❏ sole proprietorship; ❏ partnership; ❏ corporate entity not taxexempt; ❏ corporate entity taxexempt; ❏ government entity federal, state, or',
31570:'local; ❏ foreign government; ❏ international organization per 26cfr1.60494; ❏ other . 5 common parent. ❏ offeror is not owned',
31571:'orcontrolled by a common parent; ❏ name and tin of common parent: name . tin . m restricted business operations',
31572:'in sudan. by submission of its offer, theofferor certifies thatthe offerordoes not conduct any restricted business operations in sudan. n',
31573:'prohibition on contracting with inverted domestic corporations. 1 government agencies are not permitted to use appropriated or otherwise made available',
31574:'funds for contracts with either an inverted domestic corporation, or a subsidiary of an inverted domestic corporation, unless the exception',
31575:'at 9.1082b applies or the requirement is waived in accordance with the procedures at 9.1084. 2 representation. the offeror represents',
31576:'that– i it □ is, □ is not an inverted domestic corporation; and ii it □ is, □ is not',
31577:'a subsidiary of an inverted domestic corporation. o prohibition on contracting with entities engaging in certain activities or transactions relating',
31578:'to iran. 1 the offeror shall email questions concerning sensitive technology to the department of state at cisada106@state.gov. 2 representation',
31579:'and certifications. unless a waiver is granted or an exception applies as provided in paragraph o 3 of this provision,',
31580:'by submissionof its offer, the offeror irepresents, to thebest of its knowledge and belief,that theofferor does not exportanysensitive technologyto thegovernment',
31581:'of iran orany entities or individuals owned or controlled by, or acting onbehalf or atthe direction of, the government of',
31582:'iran; iicertifies thatthe offeror, or any person owned orcontrolled by theofferor,does not engage inanyactivities for which sanctions may be imposed',
31583:'under section 5 of the iran sanctions act; and iii certifies thatthe offeror, and any person owned or controlled by',
31584:'the offeror,does not knowingly engage in any transaction that exceedsthe threshold at far 25.7032a2 with iran’s revolutionary guard corps or',
31585:'any of its officials, agents, oraffiliates, the property and interests in property of whichare blocked pursuant to the international emergencyeconomic',
31586:'powers act etseq. see ofac’s specially designated nationals and blocked persons list at https:// www.treasury.gov/resourcecenter/sanctions/sdnlist/pages/default.aspx. 3 the representation and certification',
31587:'requirements of paragraph o2 of this provision do not apply if i this solicitation includes a trade agreements certification e.g.,',
31588:'52.2123g or a comparable agency provision; and iithe offeror has certified that all the offered products to be supplied are',
31589:'designated country end products. subpart 52.2 text of provisions and clauses 52.2123 p ownership or control of offeror. applies in',
31590:'all solicitations when there is a requirement to be registered in sam or a requirement to have a unique entity',
31591:'identifier in the solicitation. 1 the offeror represents that it □ has or □ does nothavean immediate owner. ifthe offeror',
31592:'has more than one immediate owner such asa joint venture, then the offerorshallrespond to paragraph 2 andif applicable, paragraph3of this',
31593:'provision for each participant in the joint venture. 2 if the offeror indicates has in paragraph p1 of this provision,enter',
31594:'the following information: immediate owner cage code: . immediate owner legal name: . do not use a doing business as',
31595:'name is the immediate owner owned or controlled by another entity: □ yes or □ no. 3 if the offeror',
31596:'indicates yes in paragraph p2 of this provision,indicating that the immediate owner is ownedor controlled byanother entity, then enter the',
31597:'following information: highestlevel owner cage code: . highestlevel owner legal name: . do not use a doing business as name',
31598:'q representation by corporations regarding delinquent tax liability or a felony conviction under any federal law. 1 as required by',
31599:'sections 744 and 745 of division e of the consolidated and further continuing appropriations act, 2015pub. l. 113235, and similar',
31600:'provisions, if contained in subsequentappropriations acts, the government will not enter into a contract with any corporation that– i has',
31601:'any unpaid federal tax liability that has been assessed, for which all judicial and administrative remedies have been exhausted or',
31602:'have lapsed, and that is not being paid in a timely manner pursuant to an agreement with the authority responsible',
31603:'for collecting thetax liability, where the awardingagency isaware of the unpaid tax liability, unless an agency has considered suspension or',
31604:'debarment of the corporation and made a determination that suspension or debarment is not necessary to protect the interests of',
31605:'the government; or iiwas convicted of a felony criminal violationunder any federallawwithin thepreceding 24 months, where the awarding agency is',
31606:'aware of the conviction, unless an agency has considered suspension or debarment of the corporation and made a determination that',
31607:'this action is not necessary to protect the interests of the government. 2 the offeror represents that– i it is',
31608:'□ is not □ a corporation that has any unpaid federal tax liability that has been assessed, for which all',
31609:'judicial and administrative remedies have been exhausted or have lapsed, and that is not being paid in a timely manner',
31610:'pursuant to an agreement with the authority responsible for collecting the tax liability; and ii it is □ is not',
31611:'□ a corporation that was convicted of a felony criminal violation under a federal law within the preceding 24 months.',
31612:'r predecessor of offeror. applies in all solicitations that include the provision at 52.20416, commercial and government entity code reporting.',
31613:'1 the offeror represents that it □ is or □ is not a successor to a predecessor that held a',
31614:'federal contract or grant within the last three years. 2 if the offeror has indicated is inparagraph r1of this provision,',
31615:'enter the followinginformationforall predecessors that held a federal contract or grant within the last three years if more than one',
31616:'predecessor, list in reverse chronological order: predecessor cage code: or mark unknown. predecessor legal name: . do not use a',
31617:'doing business as name. s [reserved]. t public disclosure of greenhouse gas emissions and reduction goals. applies in all solicitations',
31618:'that require offerors to register in sam 12.301d1. 1 this representation shall be completed if the offeror received $7.5 million',
31619:'or more in contractawards in the prior federalfiscalyear. the representation is optional if theofferor received less than $7.5 million in',
31620:'federal contract awardsin theprior federal fiscal year. 2 representation. [offeror to check applicable blocks in paragraph t2i and ii]. i',
31621:'the offeror itself or through its immediate owner or highestlevel owner □ does, □ does not publicly disclose greenhouse gas',
31622:'emissions, i.e., makesavailable on apublicly accessible website the results of a greenhouse gas inventory,performed in accordance with an 52.2123 federal',
31623:'acquisition regulation accounting standard with publicly available and consistently applied criteria, such as the greenhouse gas protocol corporate standard. iithe',
31624:'offeror itself or through itsimmediateowneror highestlevelowner □ does, □ does not publicly disclose a quantitative greenhouse gas emissions reduction goal,',
31625:'i.e.,makeavailable on apublicly accessible website a target toreduce absolute emissions or emissions intensity by a specific quantity or percentage. iii',
31626:'a publicly accessible websiteincludes the offerors own website or a recognized, thirdparty greenhouse gas emissions reporting program. 3 if the',
31627:'offeror checked does inparagraphs t2i or t2ii of this provision, respectively,the offeror shall provide the publiclyaccessible websites where greenhouse gas',
31628:'emissions and/or reduction goalsare reported:. u 1inaccordancewithsection743ofdivisione,titlevii,oftheconsolidatedandfurthercontinuing appropriations act, 2015pub. l. 113235 and its successor provisions in subsequent appropriations acts',
31629:'and as extended in continuing resolutions, government agencies are not permitted to use appropriated or otherwise made available funds for',
31630:'contracts with an entity that requires employees or subcontractors of such entity seeking to report waste, fraud, or abuse to',
31631:'sign internal confidentiality agreements or statements prohibiting or otherwise restricting such employees or subcontractors from lawfully reporting such waste, fraud,',
31632:'or abuse to a designated investigative or law enforcement representative of a federal department or agency authorized to receive such',
31633:'information. 2 the prohibition in paragraph u1 of this provision does not contravene requirements applicable to standard form 312 classified',
31634:'information nondisclosure agreement, form 4414 sensitive compartmented information nondisclosure agreement, or any other form issued by a federal department or',
31635:'agency governing the nondisclosure of classified information. 3 representation. by submission ofits offer, the offeror representsthat it will not require',
31636:'its employeesor subcontractors to sign or comply with internal confidentiality agreements or statements prohibiting or otherwise restricting such employees or',
31637:'subcontractors from lawfully reporting waste, fraud, or abuse related to the performance of a government contract to a designated investigative',
31638:'or law enforcement representative of a federal department or agency authorized to receive such information e.g., agency office of the',
31639:'inspector general. v covered telecommunications equipment or servicesrepresentation. section 889a1a and section 889 a1b of public law 115232. 1 the',
31640:'offeror shall review the list of excluded parties inthe system for award management sam https:// www.sam.gov for entities excluded from',
31641:'receiving federal awards for covered telecommunications equipment or services. 2 the offeror represents that– i it □ does, □ does',
31642:'notprovide covered telecommunications equipmentor services as apart of itsoffered products or services to the government in the performance of any',
31643:'contract, subcontract, or other contractual instrument. ii after conducting a reasonable inquiry for purposes of this representation, that it □',
31644:'does, □ does not use covered telecommunications equipment or services, or any equipment, system, or service that uses covered telecommunications',
31645:'equipment or services. end of provision alternate i feb 2024. as prescribed in 12.301b2, add the following paragraph c12 to',
31646:'the basic provision: 12 complete ifthe offeror hasrepresented itself as disadvantaged in paragraph c5 of thisprovision. □ black american. □',
31647:'hispanic american. □ native american american indians, eskimos, aleuts, or native hawaiians. □ asianpacific american persons with origins from burma,',
31648:'thailand, malaysia, indonesia, singapore, brunei, japan, china, taiwan, laos, cambodia kampuchea,vietnam, korea, the philippines,republic of palau, republic of the marshall',
31649:'islands, federated states of micronesia, the commonwealth of the northern mariana islands, guam, samoa, macao, hong kong, fiji, tonga, kiribati,tuvalu,',
31650:'or nauru. □ subcontinent asian asianindian american persons with origins from india, pakistan, bangladesh, sri lanka, bhutan, the maldives islands,',
31651:'or nepal. □ individual/concern, other than one of the preceding. subpart 52.2 text of provisions and clauses 52.2124 52.2124contractterms and',
31652:'conditions—commercial products andcommercial services. as prescribed in 12.301b3, insert the following clause: contract terms and conditions—commercial products and commercial services',
31653:'nov 2023 a inspection/acceptance. the contractor shall only tender for acceptance those items that conform to the requirements of this',
31654:'contract. the government reserves the right to inspect or test any supplies or services that have been tendered for acceptance.',
31655:'the government may require repair or replacement of nonconforming supplies or reperformance of nonconforming services at no increase in contract',
31656:'price. if repair/replacement or reperformance will not correct the defects or is not possible, the government may seek an equitable',
31657:'price reduction or adequate consideration for acceptance of nonconforming supplies or services. the government must exercise its postacceptance rights 1',
31658:'within areasonable time after the defect was discoveredor should have been discovered; and 2 before any substantial change occurs in',
31659:'the condition of the item, unless the change is due to the defect in the item. b assignment. the contractor',
31660:'or its assignee may assign its rights to receive payment due as a result of performance of this contract to',
31661:'abank, trust company,or other financing institution, includingany federal lending agency in accordance with the assignment of claims act 31 u.s.c.',
31662:'3727. however, when a third party makes payment e.g., use of the governmentwide commercial purchase card, the contractor may not',
31663:'assign its rights to receive payment under this contract. c changes. changes in the terms and conditions of this contract',
31664:'may be made only by written agreement of the parties. d disputes. this contract is subject to 41 u.s.c. chapter',
31665:'71, contract disputes. failure of the parties to this contract to reach agreement on any request for equitable adjustment, claim,',
31666:'appeal or action arising under or relating to this contract shall bea disputeto beresolvedin accordance with theclause at federalacquisition regulation',
31667:'far 52.2331, disputes, which is incorporated herein by reference. the contractor shall proceed diligently with performance of this contract, pending',
31668:'final resolution of any dispute arising under the contract. e definitions. the clause at far 52.2021, definitions, is incorporated herein',
31669:'by reference. f excusable delays. the contractor shall be liable for default unless nonperformance is caused by an occurrence beyond',
31670:'thereasonable control of the contractorand without its fault or negligence such as, acts of godor the public enemy, acts of',
31671:'the government ineither its sovereign or contractualcapacity, fires,floods,epidemics,quarantine restrictions, strikes, unusually severe weather, and delaysof common carriers. the contractor shall',
31672:'notify thecontracting officer inwriting as soonas it is reasonablypossible afterthe commencement of any excusable delay, setting forth the full particulars',
31673:'in connection therewith, shall remedy such occurrence with all reasonable dispatch, and shall promptly give written notice to the contracting',
31674:'officerof the cessation ofsuch occurrence. g invoice. 1 the contractor shall submit an original invoice and three copies or electronic',
31675:'invoice, if authorized to the address designated in the contract to receive invoices. an invoice must include i name and',
31676:'address of the contractor; ii invoice date and number; iii contract number, line item number and, if applicable,the ordernumber; iv',
31677:'description, quantity, unit of measure, unit priceandextended price of the items delivered; v shipping number and date of shipment, including',
31678:'the bill of lading number and weight of shipment if shipped on government bill of lading; vi terms of any',
31679:'discount for prompt payment offered; vii name and addressof official to whom paymentis to be sent; viii name, title, and',
31680:'phone number of person to notify in event of defective invoice; and ix taxpayeridentification numbertin. the contractorshallinclude its tin onthe',
31681:'invoice only if required elsewhere in this contract. x electronic funds transfer eft banking information. a the contractor shall include',
31682:'eft banking information on the invoice only if required elsewhere in this contract. b if eft banking information is not',
31683:'required to be on the invoice, in order for the invoice to be a proper invoice, the contractor shall have',
31684:'submitted correct eft banking information in accordance with the applicable solicitation provision, contract clause e.g., 52.23233,payment by electronic funds transfersystem',
31685:'for award management, or 52.23234, payment by electronic funds transferother than system for award management, or applicable agency procedures. c',
31686:'eft banking information is not required if the government waived the requirement to pay byeft. 52.2124 federal acquisition regulation 2',
31687:'invoices will be handled in accordance with the prompt payment act 31 u.s.c. 3903 and office of management and budget',
31688:'omb prompt payment regulations at 5 cfr part 1315. h patent indemnity. the contractor shall indemnify the government and its',
31689:'officers, employeesand agents against liability, includingcosts, for actual or alleged direct or contributory infringement of, orinducement to infringe,any united states',
31690:'or foreign patent, trademark or copyright, arising out of the performance of this contract, provided the contractor is reasonably notified',
31691:'of such claims and proceedings. i payment. 1 items accepted. payment shall be made for items accepted by the government',
31692:'that have been delivered to the delivery destinations set forth in this contract. 2 prompt payment. the government will make',
31693:'payment in accordance with the prompt payment act 31 u.s.c. 3903 and prompt payment regulations at 5 cfr part 1315.',
31694:'3 electronic funds transfer eft. if the government makes payment by eft, see 52.2125b for the appropriate eft clause. 4',
31695:'discount. in connection withany discount offered for earlypayment, timeshallbe computed from the date of the invoice. for the purpose of',
31696:'computing the discount earned, payment shall be considered to have been made on the date which appears on the payment',
31697:'check or the specified payment date if an electronic funds transfer payment is made. 5 overpayments. if the contractor becomes',
31698:'aware of a duplicate contract financing or invoice payment or that the government has otherwise overpaid on a contract financing',
31699:'or invoice payment, the contractor shall iremit the overpayment amount to the payment office cited in the contract alongwith a',
31700:'description of the overpayment including the a circumstances of the overpayment e.g., duplicate payment, erroneous payment, liquidation errors, dates of',
31701:'overpayment; b affected contract numberanddelivery order number,if applicable; c affected line item or subline item, if applicable; and d contractor',
31702:'point of contact. iiprovidea copy of the remittance and supporting documentationto thecontracting officer. 6 interest. i all amounts that become',
31703:'payable by the contractor to the government under this contract shall bear simple interest from the date due until paid',
31704:'unless paid within 30 days of becoming due. the interest rate shall be the interest rateestablished by the secretary of',
31705:'the treasuryas provided in 41 u.s.c. 7109, which is applicable to the period in which the amount becomes due, as',
31706:'provided in i6v of this clause, and then at the rate applicable for each sixmonth period as fixed by the',
31707:'secretary until the amount is paid. ii the government may issue a demand for payment to the contractor upon finding',
31708:'a debt is due under the contract. iii final decisions. thecontracting officer will issue a final decision as required by',
31709:'33.211 if– athe contracting officer and the contractor are unable toreachagreement on theexistence or amount of a debt within 30',
31710:'days; b the contractor fails to liquidate a debtpreviously demanded by the contractingofficer within the timeline specified in the demand',
31711:'for payment unless the amounts were not repaid because the contractor has requested an installment payment agreement; or c the',
31712:'contractor requests a deferment of collection on a debt previously demanded bythe contracting officer see 32.6072. iv if a demand',
31713:'for payment was previously issued for the debt, the demand for payment included in the final decision shall identify the',
31714:'same due date as the original demand for payment. v amounts shall be due at the earliest of the following',
31715:'dates: a the date fixed under this contract. b the date of the first written demand for payment, including any',
31716:'demand for payment resulting from a default termination. vi the interest charge shall be computed for the actual number of',
31717:'calendar daysinvolved beginning on the due date and ending on athe date on which the designated officereceives payment from the',
31718:'contractor; b the date of issuance of a government check to the contractor from which an amount otherwise payable has',
31719:'been withheld as a credit against the contract debt; or c the date on which an amount withheld and applied',
31720:'to the contract debt would otherwise have become payable to the contractor. subpart 52.2 text of provisions and clauses 52.2124',
31721:'vii theinterest charge madeunder this clause may be reduced under the procedures prescribedin far 32.6082 in effect on the date',
31722:'of this contract. j risk of loss. unless the contract specifically provides otherwise, risk of loss or damage to the',
31723:'supplies provided under this contract shall remain with the contractor until, and shall pass to the government upon: 1 delivery',
31724:'of the supplies to a carrier, if transportation is f.o.b. origin; or 2 delivery of the supplies to the government',
31725:'at the destination specified in the contract, if transportation is f.o.b. destination. k taxes. the contract price includes all applicable',
31726:'federal, state, and local taxes and duties. l termination for the government’s convenience. the government reserves the right to terminate',
31727:'this contract, or any part hereof, for its sole convenience. in the event of such termination, the contractor shall immediately',
31728:'stop all work hereunder and shall immediately cause any and all of its suppliers and subcontractors to cease work. subject',
31729:'to the terms of this contract, the contractor shall be paid a percentage of the contract price reflecting the percentage',
31730:'of the work performed priorto thenotice of termination, plus reasonable charges the contractor can demonstrate to the satisfactionof the government',
31731:'using its standard record keeping system, have resulted from the termination. the contractor shall not be required to comply with',
31732:'the cost accounting standards or contract cost principles for this purpose. this paragraph does not give the government any right',
31733:'toaudit the contractor’s records. the contractor shall not be paidforanywork performed or costs incurred which reasonably could have been avoided.',
31734:'m termination for cause. the government may terminate this contract, or any part hereof, for cause in the event of',
31735:'any default by the contractor, or if thecontractor fails to complywith anycontract terms and conditions, or fails to provide the',
31736:'government, upon request, with adequate assurances of future performance. in the event of termination for cause, the government shall not',
31737:'be liable to the contractor for any amount for supplies or services not accepted, and the contractor shall beliable to',
31738:'the government for any and all rights and remedies provided by law. if it is determined that the government improperly',
31739:'terminated this contract for default, such termination shall be deemed a termination for convenience. n title. unless specified elsewhere in',
31740:'this contract, title to items furnished under this contract shall pass to the government upon acceptance, regardless of when or',
31741:'where the government takes physical possession. o warranty. the contractor warrants and implies that the items delivered hereunder are merchantable',
31742:'and fit for use for the particular purpose described in this contract. p limitation of liability. except as otherwise provided',
31743:'byan expresswarranty, the contractor will notbe liableto the government for consequential damages resulting from any defect or deficiencies in accepted',
31744:'items. q other compliances. the contractor shall comply with all applicable federal, state and local laws, executive orders, rules and',
31745:'regulations applicable to its performance under this contract. r compliance with laws unique to government contracts. the contractor agrees to',
31746:'comply with 31 u.s.c. 1352 relating to limitations on the use of appropriated funds to influence certain federal contracts; 18',
31747:'u.s.c. 431 relating to officials not to benefit; 40 u.s.c. chapter 37, contract work hours and safety standards; 41 u.s.c.',
31748:'chapter 87, kickbacks; 49 u.s.c. 40118, fly american; and 41 u.s.c. chapter 21relatingto procurement integrity. s order of precedence. any',
31749:'inconsistencies in this solicitation or contract shall be resolved by giving precedence in the following order: 1 the schedule of',
31750:'supplies/services. 2 the assignments, disputes, payments, invoice, other compliances, compliance with laws unique to government contracts, and unauthorized obligations paragraphs',
31751:'of this clause; 3 the clause at 52.2125. 4 addenda to this solicitation or contract, including any license agreements for',
31752:'computer software. 5 solicitation provisions if this is a solicitation. 6 other paragraphs of this clause. 7 the standard form',
31753:'1449. 8 other documents, exhibits, and attachments. 9 the specification. t [reserved] u unauthorized obligations. 1 except as stated in',
31754:'paragraph u2 of this clause, when any supply or service acquired underthis contractis subject to any end user license agreement',
31755:'eula,terms ofservice tos, or similar legal instrument or agreement, that includes any clause requiring the government to indemnify the contractor',
31756:'or any person or entity for damages, costs, fees, or any other loss or liability that would create an antideficiency',
31757:'act violation 31 u.s.c. 1341, the following shall govern: 52.2124 federal acquisition regulation i any such clause is unenforceable against',
31758:'the government. ii neither the government nor any government authorized end user shall be deemed to have agreed to such',
31759:'clause by virtue ofitappearingin the eula, tos, or similar legalinstrument or agreement. if the eula, tos, or similar legal instrument',
31760:'or agreement is invoked through an i agree click box or other comparable mechanism e.g., clickwrap or browsewrap agreements, execution',
31761:'does not bind the government or any government authorized end user to such clause. iii any suchclause isdeemed to be',
31762:'strickenfrom the eula,tos, or similar legal instrumentor agreement. 2 paragraph u1 of this clause does not apply to indemnification by',
31763:'the government that is expressly authorized by statute and specifically authorized under applicable agency regulations and procedures. v incorporation by',
31764:'reference. the contractor’s representations and certifications, including those completed electronically via the system for awardmanagement sam, are incorporated by reference',
31765:'intothe contract. end of clause alternate i nov 2021. when a timeandmaterials or laborhour contract is contemplated, substitute the following',
31766:'paragraphs a, e, i, l, and m for those in the basic clause. a inspection/acceptance. 1 the government has the',
31767:'right to inspect and test all materials furnished and services performed under this contract, to the extent practicable at all',
31768:'places and times, including the period of performance, and in any event before acceptance. the government may also inspect the',
31769:'plant or plants of the contractor or any subcontractor engaged in contract performance. the government will perform inspections and tests',
31770:'in a manner that will not unduly delay the work. 2 if the government performsinspectionor testson the premises of the',
31771:'contractoror asubcontractor, thecontractor shall furnish and shall require subcontractors to furnish all reasonable facilities and assistance for the safe and',
31772:'convenient performance of these duties. 3 unless otherwise specified in the contract, the government will accept or reject services and',
31773:'materials at the place of delivery as promptly as practicable after delivery,andthey will be presumed accepted 60 daysafter the date',
31774:'of delivery, unless accepted earlier. 4 at any time during contract performance, but not later than 6 months or such',
31775:'other time as may be specified in the contract after acceptance of the services or materials last delivered under this',
31776:'contract, the government may require the contractor to replace or correct services or materials that at time of delivery failed',
31777:'to meet contract requirements. except as otherwise specified in paragraph a6 of this clause, the cost of replacement or correction',
31778:'shall be determined under paragraph i of this clause, but the hourly rate for labor hours incurred in the replacement',
31779:'or correction shall be reduced to exclude that portion ofthe rateattributable to profit. unless otherwisespecified below, the portionof the hourly',
31780:'rate attributable to profit shall be 10 percent. the contractor shall not tender for acceptance materials and services required to',
31781:'be replaced or corrected without disclosing the former requirement for replacement or correction, and, when required, shall disclose the corrective',
31782:'action taken. [insert portion of labor rate attributable to profit.] 5i if the contractor fails to proceed with reasonable promptness',
31783:'to perform required replacement or correction, and if the replacement or correction can be performed within the ceiling price or',
31784:'the ceiling price as increased by the government, the government may abycontract or otherwise, perform thereplacement or correction, chargeto thecontractor',
31785:'anyincreasedcost, or deduct such increased cost from any amounts paid or due under this contract; or b terminate this contract',
31786:'for cause. iifailure to agree to the amount of increased cost to be chargedto thecontractor shall be adispute under the',
31787:'disputes clause of the contract. 6 notwithstanding paragraphs a4 and 5 above, the government may at any time require the',
31788:'contractor to remedy by correction or replacement, without cost to the government, any failure by the contractor to comply with',
31789:'the requirements of this contract, if the failure is due to i fraud, lack of good faith, or willful misconduct',
31790:'on the part of the contractors managerial personnel; or iithe conduct ofoneor more of thecontractor’s employees selectedor retained by the',
31791:'contractor after anyof the contractor’smanagerial personnel hasreasonable groundsto believe that the employee is habitually careless or unqualified. 7 this clause',
31792:'applies in the same manner and to the same extent to corrected or replacement materials or services as to materials',
31793:'and services originally delivered under this contract. subpart 52.2 text of provisions and clauses 52.2124 8 the contractor has no',
31794:'obligation or liability under this contract to correct or replace materials and services that at time of delivery do not',
31795:'meet contract requirements, except as provided in this clause or as may be otherwise specified in the contract. 9 unless',
31796:'otherwise specified in the contract, the contractors obligation to correct or replace governmentfurnished property shall begoverned by the clause pertaining',
31797:'togovernment property. e definitions. 1 the clause at far 52.2021, definitions, is incorporated herein by reference. as used in this',
31798:'clause i direct materials means those materials that enter directly into the end product, or that are used or consumed',
31799:'directly in connection with the furnishing of the end product or service. ii hourly rate means the rates prescribed in',
31800:'the contract for payment for labor that meets the labor category qualifications of a labor category specified in the contract',
31801:'that are a performed by the contractor; b performed by the subcontractors; or c transferred between divisions, subsidiaries,or affiliates of',
31802:'the contractor undera commoncontrol. iii materials means adirect materials, including supplies transferred betweendivisions, subsidiaries, or affiliates ofthe contractor under a',
31803:'common control; b subcontracts for supplies and incidental services for which there is not a labor category specified in the',
31804:'contract; c other direct costs e.g., incidental services for which there is not a labor category specified in the contract,',
31805:'travel, computer usage charges, etc. ; d the following subcontracts for services which are specifically excluded from the hourly rate:',
31806:'[insert any subcontracts for services to be excluded from the hourly rates prescribed in the schedule. ]; and e indirect',
31807:'costs specifically provided for in this clause. iv subcontract meansanycontract,asdefinedinfar subpart 2.1, entered into with a subcontractor to furnish supplies',
31808:'or services for performance of the prime contract or a subcontract including transfers between divisions, subsidiaries, or affiliates of a',
31809:'contractor or subcontractor. it includes, but is not limitedto, purchase orders,andchangesand modifications to purchase orders. i payments. 1 work performed.',
31810:'the government will pay the contractor as follows upon the submission of commercial invoices approved by the contractingofficer: i hourly',
31811:'rate. a the amounts shall be computed by multiplying the appropriate hourly rates prescribed in the contract by the number',
31812:'of direct labor hours performed. fractional parts of an hour shall be payable on a prorated basis. b the rates',
31813:'shall be paid for all labor performed on the contract that meets the labor qualifications specified in the contract. labor',
31814:'hours incurred to perform tasks for which labor qualifications were specified in the contract will not be paid to the',
31815:'extent the work is performed by individuals that do not meet the qualifications specified in the contract, unless specifically authorizedby',
31816:'the contracting officer. c invoices may be submitted once each month or at more frequent intervals, if approved by the',
31817:'contracting officerto thecontracting officer or the authorized representative. dwhen requested by the contractingofficer orthe authorized representative,the contractor shall substantiate invoices',
31818:'including any subcontractor hours reimbursed at the hourly rate in the schedule by evidence of actual payment, individual daily job',
31819:'timecards, records that verify the employees meet the qualifications for the labor categories specified in the contract, or other substantiation',
31820:'specified in the contract. e unless the schedule prescribes otherwise, the hourly rates in the schedule shall not be varied',
31821:'by virtue of the contractor having performed work on an overtime basis. 1 if noovertime rates areprovidedin thescheduleand the contracting',
31822:'officer approves overtime work in advance, overtime rates shall be negotiated. 2 failure to agree upon these overtime rates shall',
31823:'be treated as a dispute under the disputes clause of this contract. 3 if the schedule provides rates for overtime,',
31824:'the premium portion of those rates will be reimbursable only to theextent the overtime is approved by the contractingofficer. ii',
31825:'materials. aif the contractor furnishes materials that meet the definition ofa commercial product at far 2.101, the price to be',
31826:'paid for such materialsshallnot exceedthe contractor’sestablished catalog ormarketprice,adjusted to reflectthe 52.2124 federal acquisition regulation 1 quantities being acquired; and 2',
31827:'any modifications necessary because of contract requirements. b except as provided for in paragraph i1iia and d2 of this clause,',
31828:'the government will reimburse the contractor the actual cost of materials less any rebates, refunds, or discounts received by the',
31829:'contractor that are identifiable to the contract provided the contractor 1 has made payments for materials in accordance with the',
31830:'terms and conditions of the agreement or invoice; or 2 makes these payments within 30 days of the submission ofthe',
31831:'contractor’spayment request to the government and such payment is in accordance with the terms and conditions of the agreement or',
31832:'invoice. c tothe extent able, the contractor shall 1 obtain materials at the most advantageous prices available with due regard',
31833:'to securing prompt delivery of satisfactory materials; and 2 give credit to the government for cash and trade discounts, rebates,',
31834:'scrap, commissions, and other amounts that are identifiable to the contract. d other costs. unless listed below, other direct and',
31835:'indirect costs will not be reimbursed. 1 other direct costs. the government will reimburse the contractor on the basis of',
31836:'actual cost for the following, provided such costs comply with the requirements in paragraph i1iib of this clause:[insert each element',
31837:'of other direct costs e.g., travel, computer usage charges, etc. insert none if no reimbursement for other direct costs will',
31838:'be provided. if this is an indefinite delivery contract, the contracting officer may insert each order must list separately the',
31839:'elements of other direct charges for that order or, if no reimbursement for other direct costs will be provided, insert',
31840:'‘none’.] 2 indirect costs material handling, subcontract administration, etc.. the government will reimburse the contractor for indirect costs on a',
31841:'prorata basis over the period of contract performance at the following fixed price:[insert a fixed amount for the indirect costs',
31842:'and payment schedule. insert $0 if no fixed price reimbursement for indirect costs will be provided. if this is an',
31843:'indefinite delivery contract, the contracting officer may insert each order must list separately the fixed amount for the indirect costs',
31844:'and payment schedule or, if no reimbursement for indirect costs, insert ‘none’.] 2 total cost. it is estimated that the',
31845:'total cost to the government for the performance of this contract shall not exceed theceiling price set forth inthe schedule',
31846:'and the contractoragrees touse its best efforts to perform theworkspecified in the schedule and all obligations under this contract within',
31847:'such ceiling price. if at any time the contractor has reason to believe that the hourly rate payments and material',
31848:'costs that will accrue in performing this contract in the next succeeding 30 days, if added to all other payments',
31849:'and costs previously accrued, will exceed 85 percent of the ceiling price in the schedule, the contractor shall notify thecontracting',
31850:'officer giving a revised estimate of the total price to the government for performing this contract with supporting reasons and',
31851:'documentation. if at any time during the performance of this contract, the contractor has reason to believe that the total',
31852:'price to the government for performing this contract will be substantially greateror less thanthe then stated ceiling price, the contractor',
31853:'shall so notify the contracting officer, giving a revised estimate of the total price for performing this contract, with supporting',
31854:'reasons and documentation. if at any time during performance of this contract, the government has reason to believe that the',
31855:'work to be required in performing this contract will besubstantially greater or less than thestatedceiling price, the contracting officer will',
31856:'so advise the contractor, giving the then revised estimate of the total amount of effort to be required under the',
31857:'contract. 3 ceiling price. the government will not be obligated to pay the contractor any amount in excess of the',
31858:'ceiling price in the schedule, and the contractor shall not be obligated to continue performance if to do so would',
31859:'exceed the ceiling price set forth in the schedule, unless and untilthe contracting officernotifies thecontractor in writing that the ceilingprice',
31860:'has been increased and specifies in the notice a revised ceiling that shall constitute the ceiling price for performance under',
31861:'this contract. when and to the extent that the ceiling price set forth in the schedule has been increased, any',
31862:'hours expended and material costs incurred by the contractor in excess of the ceiling price before the increase shall be',
31863:'allowable to the same extent as if the hours expended and material costs had been incurred after the increase in',
31864:'the ceiling price. 4 access to records. at any time before finalpayment underthiscontract, the contractingofficer or authorized representative will have',
31865:'access to the following access shall be limited to the listing below unless otherwise agreed to by the contractor and',
31866:'thecontracting officer: i records that verify that the employees whose time has been included in any invoice meet the qualifications',
31867:'for the labor categories specified in the contract; ii for labor hours including any subcontractor hours reimbursed at the hourly',
31868:'rate in the schedule, when timecards are required as substantiation for payment a the original timecards paperbased or electronic; subpart',
31869:'52.2 text of provisions and clauses 52.2124 b the contractor’s timekeeping procedures; c contractor records that show the distribution of',
31870:'labor between jobs or contracts; and d employees whose time has been included in any invoice for the purpose of',
31871:'verifying that these employees have worked the hours shown on the invoices. iii for material and subcontract costs that are',
31872:'reimbursed on the basis of actual cost a any invoices or subcontract agreements substantiating material costs; and b any documents',
31873:'supporting payment of those invoices. 5 overpayments/underpayments. each payment previously made shall be subject to reduction to the extent of',
31874:'amounts, on preceding invoices, that are foundby the contracting officer not tohavebeenproperlypayable and shall also be subject to reduction for',
31875:'overpayments or to increase for underpayments. the contractor shall promptly pay any such reduction within 30 days unless the parties',
31876:'agree otherwise. the government within 30 days will pay any such increases, unless theparties agree otherwise. the contractor’s payment will',
31877:'bemadeby check. if the contractor becomes aware of a duplicate invoice payment or that the government has otherwise overpaid on',
31878:'an invoice payment, the contractor shall iremit the overpayment amount to the payment office cited in the contract alongwith a',
31879:'description of the overpayment including the a circumstances of the overpayment e.g., duplicate payment, erroneous payment, liquidation errors, dates of',
31880:'overpayment; b affected contract numberanddelivery order number,if applicable; c affected line item or subline item, if applicable; and d contractor',
31881:'point of contact. iiprovidea copy of the remittance and supporting documentationto thecontracting officer. 6i all amounts that become payable by',
31882:'the contractor to the government under this contract shall bear simple interest from the date due until paid unless paid',
31883:'within 30 days of becoming due. the interest rate shall be the interest rate established by the secretaryof the treasury,as',
31884:'provided in 41 u.s.c. 7109, which is applicableto theperiod in which the amount becomes due, and then at the rate',
31885:'applicable for each six month period as established by the secretary until the amount is paid. ii the government may',
31886:'issue a demand for payment to the contractor upon finding a debt is due under the contract. iii final decisions.',
31887:'the contracting officerwill issue a final decisionas required by 33.211 if athe contracting officer and the contractor are unable toreachagreement',
31888:'on theexistence or amount of a debt in a timely manner; b the contractor fails to liquidate a debtpreviously demanded',
31889:'by the contractingofficer within the timeline specified in the demand for payment unless the amounts were not repaid because the',
31890:'contractor has requested an installment payment agreement; or c the contractor requests a deferment of collection on a debt previously',
31891:'demanded bythe contracting officer see far 32.6072. iv if a demand for payment was previously issued for the debt, the',
31892:'demand for payment included in the final decision shall identify the same due date as the original demand for payment.',
31893:'v amounts shall be due at the earliest of the following dates: a the date fixed under this contract. b',
31894:'the date of the first written demand for payment, including any demand for payment resulting from a default termination. vi',
31895:'the interest charge shall be computed for the actual number of calendar daysinvolved beginning on the due date and ending',
31896:'on athe date on which the designated officereceives payment from the contractor; b the date of issuance of a government',
31897:'check to the contractor from which an amount otherwise payable has been withheld as a credit against the contract debt;',
31898:'or c the date on which an amount withheld and applied to the contract debt would otherwise have become payable',
31899:'to the contractor. vii theinterest charge madeunder this clause may be reduced under the procedures prescribedin far 32.6082 in effect',
31900:'on the date of this contract. viii upon receipt and approval of the invoice designated by the contractor as the',
31901:'completion invoice and supporting documentation, and upon compliance by the contractor with all terms of this contract, any outstanding balances',
31902:'fac 202501 november 12, 2024 52.2125 federal acquisition regulation will be paid within 30 days unless the parties agree otherwise.',
31903:'the completion invoice, and supporting documentation, shall be submitted by the contractor as promptly as practicable following completion of the',
31904:'work under this contract, but in no event later than 1 yearorsuch longerperiod as the contracting officer mayapprovein writing from',
31905:'thedate of completion. 7 release of claims. thecontractor, and each assignee underan assignment entered into under this contract and in',
31906:'effect atthe time of final payment under this contract, shall execute and deliver,at the timeof and as a condition precedent',
31907:'to final payment under thiscontract, a release dischargingthe government, its officers, agents, and employees of and from all liabilities, obligations,',
31908:'and claims arising out of or under this contract, subject only to the following exceptions. i specified claims in stated',
31909:'amounts, or in estimated amounts if the amounts are not susceptible to exact statement by the contractor. ii claims, together',
31910:'with reasonable incidental expenses, based upon the liabilities of the contractor to third parties arising out of performing this contract,',
31911:'that are not known to the contractor on the date of the execution of the release, and of which the',
31912:'contractor gives noticein writing to thecontracting officer not more than 6 years afterthe dateof the release or thedate of any',
31913:'noticeto thecontractor that thegovernmentis prepared tomake final payment, whichever is earlier. iii claims for reimbursement of costs other than expenses',
31914:'of the contractor by reason of its indemnification of the government against patent liability, including reasonable incidental expenses, incurred by',
31915:'the contractor under the terms of this contract relating to patents. 8 prompt payment. the government will make payment in',
31916:'accordance with the prompt payment act 31 u.s.c. 3903 and prompt payment regulations at 5 cfr part 1315. 9 electronic',
31917:'funds transfer eft. if the government makes payment by eft, see 52.2125b for the appropriate eft clause. 10 discount. in',
31918:'connection with any discount offered for early payment,time shall be computed fromthe dateof the invoice. for the purpose of computing',
31919:'the discount earned, payment shall be considered to have been made on the date that appears on the payment check',
31920:'or the specified payment date if an electronic funds transfer payment is made. ltermination for thegovernment’s convenience. the government reserves',
31921:'the right to terminate this contract, or any part hereof, for its sole convenience. in the event of such termination,',
31922:'the contractor shall immediately stop all work hereunder and shall immediately cause any and all of its suppliers and subcontractors',
31923:'to cease work. subject to the terms of this contract, the contractor shall be paid an amount for direct labor',
31924:'hours as defined in the schedule of the contract determined bymultiplying the numberof direct labor hours expended before the effective',
31925:'date of termination bythe hourly ratesin thecontract, less any hourly rate payments alreadymadeto the contractorplus reasonable chargesthe contractor can demonstrate',
31926:'to the satisfaction of the government using its standard record keeping system that have resulted from the termination. the contractor',
31927:'shall not be required to comply with the cost accounting standards or contract cost principles for this purpose. this paragraph',
31928:'does not give thegovernment any right to audit the contractor’s records. the contractorshall not be paid for any work performed',
31929:'or costs incurred that reasonably could have been avoided. m termination for cause. the governmentmay terminate this contract, or any',
31930:'part hereof, for cause inthe event of any default by the contractor, or if thecontractor fails to complywith anycontract terms',
31931:'and conditions, or fails to provide the government, upon request, with adequate assurances of future performance. in the event of',
31932:'termination for cause, the government shall not be liable to the contractor for any amount for supplies or services not',
31933:'accepted, and the contractor shall beliable to the government for any and all rights and remedies provided by law. if',
31934:'it is determined that the government improperly terminated this contract for default, such termination shall be deemed a termination for',
31935:'convenience. 52.2125contractterms and conditions required toimplement statutes or executive orders—commercial productsand commercial services. as prescribed in 12.301b4, insert the following',
31936:'clause: contract terms and conditions required to implement statutes or executive orders—commercial products and commercial services nov 2024 a thecontractor',
31937:'shall comply with the following federal acquisition regulation far clauses, which are incorporated in this contract by reference, to implement',
31938:'provisions of law or executive orders applicable to acquisitions of commercial products and commercial services: 1 52.20319, prohibition on requiring',
31939:'certain internal confidentiality agreements or statements jan 2017 section 743 of division e, title vii,of the consolidatedandfurthercontinuing appropriations act, 2015pub.',
31940:'l. 113235 andits successor provisions in subsequent appropriations acts and as extended in continuing resolutions. subpart 52.2 text of provisions',
31941:'and clauses 52.2125 2 52.20423, prohibition on contracting for hardware, software, and services developed or provided by kaspersky lab covered',
31942:'entities dec 2023 section1634 of pub. l. 11591. 3 52.20425, prohibitionon contractingforcertain telecommunications andvideo surveillance servicesor equipment. nov 2021 section',
31943:'889a1a of pub. l. 115232. 4 52.20910, prohibition on contracting with inverted domestic corporations nov 2015. 5 52.23240, providing accelerated',
31944:'payments to small business subcontractors mar 2023 31 u.s.c. 3903 and 10 u.s.c. 3801. 6 52.2333,protestafterawardaug 1996 31 u.s.c. 3553.',
31945:'7 52.2334, applicable law for breach of contract claim oct 2004 public laws 10877 and 10878 19 u.s.c. 3805 note.',
31946:'b the contractor shall comply withthe far clauses inthisparagraph b that the contracting officer has indicatedas being incorporated in this',
31947:'contract by reference to implement provisions of law or executive orders applicable to acquisitions of commercial products and commercial services:',
31948:'[contracting officer check as appropriate.] 1 52.2036, restrictions on subcontractor sales to the government jun 2020, with alternate i nov',
31949:'2021 41 u.s.c. 4704 and 10 u.s.c. 4655. 2 52.20313, contractor code of business ethics and conduct nov 2021 41',
31950:'u.s.c. 3509. 3 52.20315, whistleblower protections under the american recovery and reinvestment act of 2009 jun 2010 section 1553 of',
31951:'pub. l. 1115. applies to contracts funded by the american recovery and reinvestment act of2009. 4 52.20317, contractor employee whistleblower',
31952:'rights nov 2023 41 u.s.c. 4712; this clause does not apply tocontracts of dod, nasa, the coast guard, or applicable',
31953:'elementsof the intelligence community—see far 3.900a. 5 52.20410, reporting executive compensation and firsttier subcontract awards jun 2020 pub. l. 109282',
31954:'31 u.s.c. 6101 note. 6 [reserved]. 7 52.20414, service contract reporting requirements oct 2016pub. l. 111117,section743ofdiv. c. 8 52.20415, service',
31955:'contract reporting requirements for indefinitedelivery contracts oct 2016 pub. l. 111117, section 743 of div. c. 9 52.20427, prohibition on',
31956:'a bytedance covered application jun 2023 section 102 of division r of pub. l. 117328. 10 52.20428, federal acquisition supply',
31957:'chain security act orders—federal supply schedules, governmentwide acquisition contracts, and multiagency contracts. dec 2023 pub. l. 115–390, title ii. 11',
31958:'i 52.20430, federal acquisition supply chain security act orders—prohibition. dec 2023 pub. l. 115– 390, title ii. ii alternate i',
31959:'dec 2023 of 52.20430. 12 52.2096,protectingthegovernment’sinterestwhensubcontractingwithcontractorsdebarred,suspended, or proposed for debarment. nov 2021 31 u.s.c. 6101 note. 13 52.2099,updatesofpubliclyavailableinformationregardingresponsibilitymattersoct 2018 41',
31960:'u.s.c. 2313. 14 [reserved]. 15 52.2193, notice of hubzone setaside or solesource award oct 2022 15 u.s.c. 657a. 16 52.2194,',
31961:'notice of price evaluation preference for hubzone small business concerns oct 2022 if the offeror elects to waive thepreference, it',
31962:'shall so indicate in its offer 15 u.s.c. 657a. 17 [reserved] 18 i 52.2196,noticeoftotalsmallbusinesssetasidenov 2020 15 u.s.c. 644. ii alternate',
31963:'i mar 2020 of 52.2196. 19 i 52.2197, notice of partial small business setaside nov 2020 15 u.s.c. 644. ii',
31964:'alternate i mar 2020 of 52.2197. 20 52.2198, utilization of small business concerns feb 2024 15 u.s.c. 637d2 and 3.',
31965:'21 i 52.2199, small business subcontracting plan sep 2023 15 u.s.c. 637d4. ii alternate i nov 2016 of 52.2199. iii',
31966:'alternate ii nov 2016 of 52.2199. iv alternate iii jun 2020 of 52.2199. 52.2125 federal acquisition regulation v alternate iv',
31967:'sep 2023 of 52.2199. 22 i 52.21913, notice of setaside of orders mar 2020 15 u.s.c. 644r. ii alternate i',
31968:'mar 2020 of 52.21913. 23 52.21914, limitations on subcontracting oct 2022 15 u.s.c. 657s. 24 52.21916, liquidated damages—subcontracting plan sep',
31969:'2021 15 u.s.c. 637d4fi. 25 52.21927,noticeofsetasidefor,orsolesourceawardto,servicedisabledveteranownedsmallbusiness sdvosb concerns eligible under the sdvosb program feb 2024 15 u.s.c. 657f. 26 i',
31970:'52.21928,postawardsmallbusinessprogramrerepresentationfeb 2024 15 u.s.c. 632a2. ii alternate i mar 2020 of 52.21928. 27 52.21929,noticeofsetasidefor,orsolesourceawardto,economicallydisadvantagedwomenowned small business concerns oct 2022 15',
31971:'u.s.c. 637m. 28 52.21930,noticeofsetasidefor,orsolesourceawardto,womenownedsmallbusinessconcerns eligible under the womenowned small business program oct 2022 15 u.s.c. 637m. 29 52.21932, orders issued',
31972:'directly under small business reserves mar 2020 15 u.s.c. 644r. 30 52.21933, nonmanufacturer rule sep 2021 15 u.s.c. 637a17. 31',
31973:'52.2223, convict labor jun 2003 e.o.11755. 32 52.22219, child laborcooperation with authorities and remedies feb 2024. 33 52.22221, prohibition of',
31974:'segregated facilities apr 2015. 34 i 52.22226, equal opportunity sep 2016e.o.11246. ii alternate i feb 1999 of 52.22226. 35 i',
31975:'52.22235, equal opportunity for veterans jun 2020 38 u.s.c. 4212. ii alternate i jul 2014 of 52.22235. 36 i 52.22236,equalopportunityforworkerswithdisabilitiesjun',
31976:'2020 29 u.s.c. 793. ii alternate i jul 2014 of 52.22236. 37 52.22237,employmentreportsonveteransjun 2020 38 u.s.c. 4212. 38 52.22240, notification',
31977:'of employee rights under the national labor relations act dec 2010 e.o. 13496. 39 i 52.22250, combating trafficking in persons',
31978:'nov 2021 22 u.s.c. chapter 78 and e.o. 13627. ii alternate i mar 2015 of 52.22250 22 u.s.c. chapter 78',
31979:'and e.o. 13627. 40 52.22254,employmenteligibilityverificationmay 2022 executive order 12989. not applicable to theacquisition of commercially available offtheshelf items or certain',
31980:'other types of commercial products orcommercial services as prescribed in far 22.1803. 41 i 52.2239,estimateofpercentageofrecoveredmaterialcontentforepa–designateditemsmay2008 42 u.s.c. 6962c3aii. not applicable',
31981:'to theacquisitionof commercially available offtheshelf items. ii alternate i may 2008 of 52.2239 42 u.s.c. 6962i2c. not applicable to the',
31982:'acquisition of commercially availableofftheshelf items. 42 52.22311,ozonedepletingsubstancesandhighglobalwarmingpotentialhydrofluorocarbonsmay 2024 42 u.s.c. 7671, et seq.. 43 52.22312,maintenance,service,repair,ordisposalofrefrigerationequipmentandairconditionersmay 2024 42 u.s.c. 7671, et',
31983:'seq.. 44 52.22320, aerosols may 2024 42 u.s.c. 7671, et seq.. 45 52.22321, foams may 2024 42 u.s.c. 7671, et',
31984:'seq.. 46 52.22323, sustainable products and services may 2024 e.o. 14057, 7 u.s.c. 8102, 42 u.s.c. 6962, 42 u.s.c. 8259b,',
31985:'and 42 u.s.c. 7671l. 47 i 52.2243privacytrainingjan 2017 5 u.s.c. 552 a. ii alternate i jan 2017 of 52.2243. 48',
31986:'i 52.2251, buy americansupplies oct 2022 41 u.s.c. chapter 83. ii alternate i oct 2022 of 52.2251. 49 i 52.2253,buyamericanfreetradeagreementsisraelitradeactnov',
31987:'2023 19 u.s.c. 3301 note, 19 u.s.c. 2112 note, 19 u.s.c. 3805 note, 19 u.s.c. 4001 note, 19 u.s.c. chapter',
31988:'29 sections 45014732, public law 103182,10877, 10878, 108286, 108302, 10953,109169, 109283, 110138, 11241, 11242, and 11243. ii alternate i [reserved].',
31989:'iii alternate ii dec 2022 of 52.2253. iv alternate iii feb 2024 of 52.2253. 52.2100 fac 202501 november 12, 2024',
31990:'subpart 52.2 text of provisions and clauses 52.2125 v alternate iv oct 2022 of 52.2253. 50 52.2255, trade agreements nov',
31991:'2023 19 u.s.c. 2501, et seq., 19 u.s.c. 3301 note. 51 52.22513, restrictions on certain foreign purchases feb 2021 e.o.’s,',
31992:'proclamations, and statutes administered by theoffice of foreignassets control of the departmentof the treasury. 52 52.22526, contractors performing private security',
31993:'functions outside the united states oct 2016 section 862, as amended, of the national defense authorization act for fiscal year',
31994:'2008;10 u.s.c. subtitle a,partv, subpartg note. 53 52.2264,noticeofdisasteroremergencyareasetasidenov200742u.s.c. 5150. 54 52.2265,restrictionsonsubcontractingoutsidedisasteroremergencyareanov 2007 42 u.s.c. 5150. 55 52.2268,encouragingcontractorpoliciestobantextmessagingwhiledrivingmay 2024 e.o. 13513.',
31995:'56 52.22912, tax on certain foreign procurements feb 2021. 57 52.23229, terms for financing of purchases of commercial products and',
31996:'commercial services nov 2021 41 u.s.c. 4505, 10 u.s.c. 3805. 58 52.23230, installment payments for commercial products and commercial services',
31997:'nov 2021 41 u.s.c. 4505, 10 u.s.c. 3805. 59 52.23233,paymentbyelectronicfundstransfersystemforawardmanagementoct2018 31 u.s.c. 3332. 60 52.23234,paymentbyelectronicfundstransferotherthansystemforawardmanagementjul2013 31 u.s.c. 3332. 61 52.23236,',
31998:'payment by third party may 2014 31 u.s.c. 3332. 62 52.2391, privacy or security safeguards aug 1996 5 u.s.c. 552a.',
31999:'63 52.2401, prohibition on unmanned aircraft systems manufactured or assembled by american security drone actcovered foreign entities nov 2024 sections',
32000:'18211826,pub. l. 11831, 41 u.s.c. 3901 note prec.. 64 52.2425, payments to small business subcontractors jan 2017 15 u.s.c. 637d13.',
32001:'65 i 52.24764,preferenceforprivatelyownedu.s.flagcommercialvesselsnov 2021 46 u.s.c. 55305 and 10 u.s.c. 2631. ii alternate i apr 2003 of 52.24764. iii alternate',
32002:'ii nov 2021 of 52.24764. c thecontractor shall comply with the far clauses in this paragraphc, applicable to commercialservices, that',
32003:'the contracting officerhas indicated as being incorporated in thiscontract byreference to implement provisions of law or executive orders applicable to',
32004:'acquisitions of commercial products and commercial services: [contracting officer check as appropriate.] 1 52.22241, service contract labor standards aug 2018',
32005:'41 u.s.c. chapter67. 2 52.22242, statement of equivalent rates for federal hires may 2014 29 u.s.c. 206 and 41 u.s.c.',
32006:'chapter 67. 3 52.22243,fairlaborstandardsactandservicecontractlaborstandardspriceadjustmentmultipleyear and option contracts aug 2018 29 u.s.c. 206 and 41 u.s.c. chapter 67. 4 52.22244, fair',
32007:'labor standards act and service contract labor standardsprice adjustment may 2014 29u.s.c.206 and 41 u.s.c. chapter 67. 5 52.22251, exemption',
32008:'from application of the service contract labor standards to contracts for maintenance, calibration, or repair of certain equipmentrequirements may 2014',
32009:'41 u.s.c. chapter 67. 6 52.22253, exemption from application of the service contract labor standards to contracts for certain servicesrequirements',
32010:'may 2014 41 u.s.c. chapter 67. 7 52.22255,minimumwagesforcontractorworkersunderexecutiveorder14026jan 2022. 8 52.22262, paid sick leave under executive order 13706 jan 2022',
32011:'e.o. 13706. 9 52.2266,promotingexcessfooddonationtononprofitorganizationsjun202042u.s.c. 1792. d comptroller general examination of record. the contractor shall comply with the provisions of this',
32012:'paragraph d if this contract was awarded usingother thansealed bid, is in excess of the simplifiedacquisitionthreshold, as defined in far',
32013:'2.101, on the date of award of this contract, and does not contain the clause at 52.2152, audit and recordsnegotiation.',
32014:'1 the comptroller general of the united states, or an authorized representative of the comptroller general, shall have access to',
32015:'and right to examineanyof the contractor’s directly pertinentrecords involvingtransactions related to this contract. 52.2101 52.2125 federal acquisition regulation 2 the',
32016:'contractor shall make available at itsoffices at all reasonable times therecords, materials, and other evidence for examination, audit, or reproduction,',
32017:'until 3 years after final payment under this contract or for any shorter period specified in far subpart 4.7, contractor',
32018:'records retention, of the other clauses of this contract. if this contract is completely or partially terminated, the records relating',
32019:'to the work terminated shall be made available for 3 years after any resulting final termination settlement. records relating to',
32020:'appeals under the disputes clause or to litigation or the settlement of claims arising under or relating to this contract',
32021:'shall be made available until such appeals, litigation, or claims are finally resolved. 3 as used in this clause, records',
32022:'include books, documents, accounting procedures and practices, and other data, regardless of type and regardless of form. this does not',
32023:'require the contractor to create or maintain any record that the contractor does not maintain in the ordinary course of',
32024:'business orpursuant to aprovision of law. e 1 notwithstanding the requirements of the clauses in paragraphs a, b, c, and',
32025:'d of this clause, the contractor is not requiredto flow down any far clause, other than those in this paragraph',
32026:'e1, in a subcontract for commercial products or commercial services. unless otherwise indicatedbelow, the extent of the flow down shall',
32027:'be as required by the clause i 52.20313, contractor code of business ethics and conduct nov 2021 41 u.s.c. 3509.',
32028:'ii 52.20317, contractor employee whistleblower rights nov 2023 41 u.s.c. 4712. iii 52.20319, prohibition on requiring certain internal confidentiality agreements',
32029:'or statements jan 2017 section 743 ofdivision e, titlevii, of the consolidated and further continuingappropriationsact, 2015 pub. l. 113235 and',
32030:'its successor provisions in subsequent appropriations acts and as extended in continuing resolutions. iv 52.20423, prohibition on contracting for hardware,',
32031:'software, and services developed or provided by kaspersky lab covered entities dec 2023 section 1634of pub. l. 11591. v 52.20425,',
32032:'prohibitionon contractingforcertain telecommunications andvideo surveillance servicesor equipment. nov 2021 section 889a1a of pub. l. 115232. vi 52.20427, prohibition on a',
32033:'bytedance covered application jun 2023 section 102 of division r of pub. l. 117328. vii a 52.204–30, federal acquisition supply',
32034:'chain security act orders—prohibition. dec 2023 pub. l. 115–390, title ii. b alternate i dec 2023 of 52.204–30. viii 52.2198,',
32035:'utilization of small business concerns feb 2024 15 u.s.c. 637d2 and 3, in all subcontracts that offer further subcontracting opportunities.',
32036:'if the subcontract exceptsubcontractsto small business concerns exceeds the applicable thresholdspecified in far 19.702a on the date of subcontract award,',
32037:'the subcontractor must include 52.2198 in lowertier subcontracts that offer subcontracting opportunities. ix 52.22221, prohibition of segregated facilities apr 2015.',
32038:'x 52.22226, equal opportunity sep 2015 e.o.11246. xi 52.22235, equal opportunity for veteransjun 2020 38 u.s.c. 4212. xii 52.22236, equal',
32039:'opportunity for workers with disabilities jun 2020 29 u.s.c. 793. xiii 52.22237, employment reports on veterans jun 2020 38 u.s.c.',
32040:'4212. xiv 52.22240, notification of employee rights under the national labor relations act dec 2010 e.o. 13496. flow down required',
32041:'in accordance with paragraph f of far clause 52.22240. xv 52.22241, service contract labor standards aug 2018 41 u.s.c. chapter',
32042:'67. xvi a 52.22250,combatingtraffickinginpersonsnov 2021 22 u.s.c. chapter 78 and e.o 13627. b alternate i mar 2015 of 52.22250 22',
32043:'u.s.c. chapter 78 and e.o. 13627. xvii 52.22251, exemption from application of the service contract labor standards to contracts for',
32044:'maintenance, calibration, or repair of certain equipmentrequirements may 2014 41 u.s.c. chapter 67. xviii 52.22253, exemption from application of the',
32045:'service contract labor standards to contracts for certain servicesrequirements may 2014 41 u.s.c. chapter 67. xix 52.22254, employment eligibility verification',
32046:'may 2022 e.o. 12989. xx 52.22255, minimum wages for contractor workers under executive order 14026 jan 2022. xxi 52.22262, paid',
32047:'sick leave under executive order 13706 jan 2022 e.o. 13706. xxii a 52.2243,privacytrainingjan20175 u.s.c. 552a. b alternate i jan 2017',
32048:'of 52.2243. xxiii 52.22526, contractors performing private security functions outside the united states oct 2016 section 862, as amended, of',
32049:'the national defense authorization act for fiscal year 2008;10 u.s.c. subtitle a,partv, subpartg note. 52.2102 fac 202501 november 12, 2024',
32050:'subpart 52.2 text of provisions and clauses 52.2125 xxiv 52.2266, promoting excess food donation to nonprofit organizations jun 2020 42',
32051:'u.s.c. 1792. flow down required in accordance with paragraphe of far clause 52.2266. xxv 52.23240, providing accelerated payments to small',
32052:'business subcontractors mar 2023 31 u.s.c. 3903 and 10 u.s.c. 3801. flow down required in accordance with paragraph c of',
32053:'52.23240. xxvi 52.2401, prohibition on unmanned aircraft systems manufactured or assembled by american security drone actcovered foreign entities nov 2024',
32054:'sections 18211826,pub. l. 11831, 41 u.s.c. 3901 note prec.. xxvii 52.24764,preferenceforprivatelyownedu.s.flagcommercialvesselsnov 2021 46 u.s.c. 55305 and 10 u.s.c. 2631. flow',
32055:'down required in accordance withparagraph d offar clause 52.24764. 2 while not required, the contractor may include in its subcontracts',
32056:'for commercial products and commercial services a minimal number of additional clauses necessary to satisfy its contractual obligations. end of',
32057:'clause alternate i feb 2000. as prescribed in 12.301b4i, delete paragraph d from the basic clause, redesignate paragraph e as',
32058:'paragraph d, and revise the reference to paragraphs a, b, c, or d of this clause in the redesignated paragraph',
32059:'d to read paragraphs a, b, and c of this clause. alternate ii nov 2024 . as prescribed in 12.301b4ii,',
32060:'substitute the following paragraphs d1 and e1 for paragraphs d1 and e1 of the basic clause as follows: d1 the',
32061:'comptroller general of the united states, an appropriate inspector general appointed under section 3 or 8 g of the inspector',
32062:'general act of 1978 5 u.s.c. app., or anauthorized representative ofeither of theforegoing officials shall have access to and right',
32063:'to— iexamine any ofthe contractor’sor any subcontractors’ records thatpertain to, and involvetransactions relating to, this contract; and iiinterview anyofficer or',
32064:'employee regarding such transactions. e1 notwithstanding the requirements of the clauses in paragraphs a, b, and c, of this clause,',
32065:'the contractor is not requiredto flow down any far clause in asubcontract for commercial products orcommercial services, other than— i',
32066:'paragraph d of this clause. this paragraph flows down to all subcontracts, except the authority of the inspector general under',
32067:'paragraph d1ii does not flow down; and ii those clauses listed in this paragraph e1. unless otherwise indicatedbelow, the extent',
32068:'of the flow down shall be as required by the clause a 52.20313, contractor code of business ethics and conduct',
32069:'nov 2021 41 u.s.c. 3509. b 52.20315, whistleblower protections under the american recovery and reinvestment act of 2009 jun 2010',
32070:'section1553 of pub. l. 1115. c 52.20317, contractor employee whistleblower rights nov 2023 41 u.s.c. 4712. d 52.20423, prohibition on',
32071:'contracting for hardware, software, and services developed or provided by kaspersky lab covered entities dec 2023 section 1634of pub. l.',
32072:'11591. e 52.20425, prohibition on contracting for certaintelecommunicationsand video surveillance services or equipment. nov 2021 section 889a1a of pub. l.',
32073:'115232. f 52.20427, prohibition on a bytedance covered application jun 2023 section 102 of division r of pub. l. 117328.',
32074:'g 1 52.204–30, federal acquisition supply chain security act orders— prohibition. dec 2023 pub. l. 115–390, title ii. 2 alternate',
32075:'i dec 202352.20430. h 52.2198, utilization of small business concerns feb 2024 15 u.s.c. 637d2 and 3, in all subcontracts',
32076:'that offer further subcontracting opportunities. if the subcontract exceptsubcontractsto small business concernsexceeds the applicable threshold specified in far 19.702a on',
32077:'the date of subcontract award, the subcontractor must include 52.2198 in lower tier subcontracts that offersubcontractingopportunities. i 52.22221, prohibition of',
32078:'segregated facilities apr 2015. j 52.22226, equal opportunity sep 2016 e.o. 11246. k 52.22235, equal opportunityfor veterans jun 2020 38',
32079:'u.s.c. 4212. l 52.22236, equal opportunity for workers with disabilities jun 2020 29 u.s.c. 793. m 52.22240, notification of employee',
32080:'rights under the national labor relations act dec 2010 e.o. 13496. flow down required in accordance with paragraph fof far',
32081:'clause 52.22240. 52.2103 fac 202501 november 12, 2024 52.2125 federal acquisition regulation n 52.22241, service contract labor standards aug 2018',
32082:'41 u.s.c. chapter 67. o 1 52.22250, combating trafficking in personsnov 2021 22 u.s.c. chapter 78 and e.o 13627. 2',
32083:'alternate i mar 2015 of 52.22250 22 u.s.c. chapter 78 and e.o. 13627. p 52.22251, exemption from application of the',
32084:'service contract labor standards to contracts for maintenance, calibration, or repair of certain equipmentrequirements may 2014 41 u.s.c. chapter 67.',
32085:'q 52.22253, exemption from application of the service contract labor standards to contracts for certain servicesrequirements may 2014 41 u.s.c.',
32086:'chapter 67. r 52.22254, employment eligibility verification may 2022 executive order 12989. s 52.22255, minimum wages for contractor workers under',
32087:'executive order 14026 jan 2022. t 52.22262, paid sick leave under executive order 13706 jan 2022 e.o. 13706. u 1',
32088:'52.2243, privacy training jan 2017 5 u.s.c. 552a. 2 alternate i jan 2017 of 52.2243. v 52.22526, contractors performing private',
32089:'security functions outside the united states oct 2016 section 862, as amended, of the national defense authorization act for fiscal',
32090:'year 2008;10 u.s.c. subtitle a,partv, subpartg note. w 52.2266, promoting excess food donation to nonprofitorganizations. jun 2020 42 u.s.c. 1792.',
32091:'flow down required in accordance with paragraphe of far clause52.2266. x 52.23240, providing accelerated payments to small business subcontractors mar',
32092:'2023 31 u.s.c. 3903 and 10 u.s.c. 3801. flow down required in accordance with paragraph c of 52.23240. y 52.2401,',
32093:'prohibition on unmanned aircraft systems manufactured or assembled by american security drone actcovered foreign entities nov 2024 sections 18211826,pub. l.',
32094:'11831, 41 u.s.c. 3901 note prec.. z 52.24764, preference for privately owned u.s.flag commercial vesselsnov 2021 46 u.s.c. 55305 and',
32095:'10 u.s.c. 2631. flow down required inaccordance withparagraph d offar clause 52.24764. 52.2104 subpart 52.2 text of provisions and clauses',
32096:'52.2131 52.213[reserved] 52.2131fast payment procedure. as prescribed in 13.404, insert the following clause: fast payment procedure may 2006 a general.',
32097:'the government will payinvoices based on the contractor’s delivery toa post office orcommon carrier or, if shipped by other means,',
32098:'to the point of first receipt by the government. b responsibility for supplies. 1titletothesuppliespassestothegovernmentupondeliveryto iapost officeor common carrier for shipment',
32099:'to the specific destination; or ii the point of first receipt by the government, if shipment is by means other',
32100:'than postal service or common carrier. 2 notwithstanding any other provisionof the contract, order, or blanket purchase agreement, thecontractor shall',
32101:'i assume all responsibility and risk of loss for supplies not received at destination, damaged in transit, or not conforming',
32102:'to purchase requirements; and iireplace, repair,or correct those supplies promptly at thecontractor’s expense, ifinstructedto do so by the contracting officerwithin',
32103:'180 daysfrom the date title to the supplies vests in thegovernment. c preparation of invoice. 1upondeliverytoapostofficeorcommoncarrieror,ifshippedbyothermeans,thepoint of first receipt by',
32104:'the government, the contractor shall ipreparean invoice as provided inthiscontract, order, orblanket purchase agreement; and iidisplay prominently on the invoice',
32105:'fast pay. invoicesnot prominentlymarked fast pay via manual or electronic means may be accepted by the payment office for fast',
32106:'payment. if the payment office declines to make fast payment, the contractor shall be paid in accordance with procedures applicable',
32107:'to invoices to which the fast payment clause doesnot apply. 2 if the purchase price excludes the cost of transportation,',
32108:'the contractor shall enter the prepaid shipping cost on theinvoice asa separate item. thecontractor shall notinclude the cost of parcel',
32109:'post insurance. if transportation charges are stated separately on the invoice, the contractor shall retain related paid freight bills or',
32110:'other transportation billings paid separately for a period of 3 years and shall furnish the bills to the government upon',
32111:'request. 3 if thiscontract, order, orblanket purchase agreementrequiresthe preparation of a receiving report, the contractor shall either i submit the',
32112:'receiving report on the prescribed form with the invoice; or ii include the following information on the invoice: ashipmentnumber. b',
32113:'mode of shipment. c at line item level 1 nationalstock number and/or manufacturer’s part number; 2 unit of measure; 3',
32114:'shipto point; 4 markfor point, if in the contract; and 5 fedstrip/milstripdocument number, if in the contract. 4 if thiscontract,',
32115:'order, orblanket purchase agreementdoes not require preparation of a receiving report on a prescribed form, the contractor shall include on',
32116:'the invoice the following information at the line item level, in addition to that required in paragraph c1 of this',
32117:'clause: ishiptopoint. ii markfor point. iii fedstrip/milstrip document number, if in the contract. 5 where a receiving report is not',
32118:'required, the contractor shall include a copy of the invoice in each shipment. d certification of invoice. the contractor certifies',
32119:'by submitting an invoice to the government that the supplies being billed to the government have been shipped or delivered',
32120:'in accordance with shipping instructions issued by the ordering officer, in the quantities shown on the invoice, and that the',
32121:'supplies are in the quantity and of the quality designated by the contract, order, or blanket purchase agreement. 52.2105 fac',
32122:'202501 november 12, 2024 52.2132 federal acquisition regulation e fast pay containeridentification. the contractorshall mark all outer shippingcontainers fast pay',
32123:'when outer shipping containers are not marked fast pay, the payment office may make fast payment. if thepayment officedeclines to',
32124:'make fast payment, the contractor shall be paid in accordance with procedures applicable to invoices to which the fast payment',
32125:'clause doesnot apply. end of clause 52.2132 invoices. as prescribed in 13.3025b, insert the following clause: invoicesapr 1984 the contractor’s',
32126:'invoices must be submitted before payment can be made. the contractor will be paid on the basis of the invoice,',
32127:'which must state a the starting and ending dates of the subscription delivery; and b either that orders have been',
32128:'placed in effect for theaddressees required,or that the orders will beplacedin effect upon receipt of payment. end of clause 52.2133notice',
32129:'to supplier. as prescribed in 13.3025c, insert the following clause: notice to supplier apr 1984 this is a firm order',
32130:'onlyif your price doesnot exceedthe maximumline item or total price in the schedule. submit invoices to the contracting officer. ifyou',
32131:'cannot perform in exact accordance with this order, withhold performance, and notify the contracting officer immediately, giving your quotation. end',
32132:'of clause 52.2134terms and conditions—simplifiedacquisitions other than commercial products and commercial services. as prescribed in 13.3025d, insert the following clause:',
32133:'terms and conditions—simplified acquisitions other than commercial products and commercial services nov 2024 a thecontractor shall comply with the following',
32134:'federal acquisition regulation far clauses that are incorporated by reference: 1 the clauses listed below implement provisions of law or',
32135:'executive order: i 52.20319, prohibition on requiring certain internal confidentiality agreements or statements jan 2017 section 743 ofdivision e, titlevii,',
32136:'of the consolidated and further continuingappropriationsact, 2015 pub. l. 113235 and its successor provisions in subsequent appropriations acts and as',
32137:'extended in continuing resolutions. ii 52.20423, prohibition on contracting for hardware, software, and services developed or provided by kaspersky lab',
32138:'covered entities dec 2023 section 1634of pub. l. 11591. iii 52.20425,prohibition on contracting for certain telecommunications and video surveillance services',
32139:'or equipment. nov 2021 section 889a1a of pub. l. 115232. iv 52.20427, prohibition on a bytedance covered application jun 2023',
32140:'section 102 of division r of pub. l. 117328, unless the agency grantsan exception see paragraph b of 52.20427. v',
32141:'52.20430, federal acquisition supply chain security act orders—prohibition. dec 2023 pub. l. 115–390, title ii. vi 52.2223, convict labor jun',
32142:'2003 e.o.11755. 52.2106 fac 202501 november 12, 2024 subpart 52.2 text of provisions and clauses 52.2134 vii 52.22221, prohibition of',
32143:'segregated facilities apr 2015. viii 52.22226, equal opportunity sep 2016 e.o.11246. ix 52.22513, restrictions on certain foreign purchases feb 2021',
32144:'e.o.s, proclamations, and statutes administered by theoffice of foreignassets control of the departmentof the treasury. x 52.23240, providing accelerated payments',
32145:'to small business subcontractors mar 2023 31 u.s.c. 3903 and 10 u.s.c. 3801. xi 52.2333,protestafterawardaug 1996 31 u.s.c. 3553. xii',
32146:'52.2334, applicable law for breach of contract claim oct 2004 pub. l. 10877 and 10878 19 u.s.c. 3805 note. 2',
32147:'listed below are additional clauses that apply: i 52.2321, payments apr 1984. ii 52.2328, discounts for prompt payment feb 2002.',
32148:'iii 52.23211, extras apr 1984. iv 52.23225, prompt payment jan 2017. v 52.23239, unenforceability of unauthorized obligations jun 2013. vi',
32149:'52.2331, disputes may 2014. vii 52.2446, subcontracts for commercial products and commercial services nov 2024. viii 52.2531, computer generated forms',
32150:'jan 1991. b the contractor shall comply withthe following far clauses, incorporated by reference, unless the circumstances do not apply:',
32151:'1 the clauses listed below implement provisions of law or executive order: i 52.20317, contractor employee whistleblower rights nov 2023',
32152:'41 u.s.c. 4712; this clause does not apply to contracts of dod, nasa, the coast guard, or applicable elements of',
32153:'the intelligence community—see far 3.900a. ii 52.20410, reporting executive compensation and firsttier subcontract awardsjun 2020pub. l. 109282 31 u.s.c. 6101',
32154:'note applies to contracts valued at or above the threshold specified in far 4.1403a on the date of award of',
32155:'this contract. iii 52.22219, child laborcooperation with authorities and remedies feb 2024 e.o. 13126 applies to contracts for supplies exceeding',
32156:'the micropurchase threshold, as defined in 2.101 on the date of award of this contract. iv 52.22220, contracts for materials,',
32157:'supplies, articles, and equipment., contracts for materials, supplies, articles, and equipment jun 2020 41 u.s.c. chapter 65 appliesto supply contracts',
32158:'over the threshold specified in far 22.602 on the date of award of this contract, in the united states,puerto rico,',
32159:'or the u.s. virgin islands. v 52.22235, equal opportunity for veteransjun 2020 38 u.s.c. 4212 applies to contracts valued at',
32160:'or above thethreshold specifiedin far 22.1303a on the date of award of this contract. vi 52.22236, equal employment for workers',
32161:'with disabilitiesjun 2020 29 u.s.c. 793 applies to contracts over the threshold specified in far 22.1408a on the date of',
32162:'award of this contract, unless the work is to be performed outside the united states by employees recruited outside the',
32163:'united states. for purposes of this clause, united states includes the 50 states, the district of columbia, puerto rico, the',
32164:'northern mariana islands, american samoa, guam, the u.s. virgin islands, andwake island. vii 52.22237, employment reports on veteransjun 2020 38',
32165:'u.s.c. 4212 applies to contracts valued at or above the threshold specified in far 22.1303a on the date of award',
32166:'of this contract. viii 52.22241, service contract labor standards aug 2018 41 u.s.c. chapter 67 applies to service contracts over',
32167:'$2,500 that are subject to the service contract labor standards statute and will be performed in the united states, districtof',
32168:'columbia, puerto rico, the northern mariana islands,americansamoa, guam, theu.s. virgin islands, johnston island, wakeisland, or the outer continentalshelf. ix a',
32169:'52.22250,combatingtraffickinginpersonsnov 2021 22 u.s.c. chapter 78 and e.o. 13627 applies to all solicitations and contracts. b alternate i mar 2015',
32170:'applies if the contracting officer hasfilled inthe following informationwith regard to applicable directives or notices: document titles, source for obtaining',
32171:'documents, and contract performance location outside the united states to which the document applies. x 52.22255, minimum wagesfor contractor workers',
32172:'under executive order 14026 jan 2022 applies when 52.2226 or 52.22241 are in the contract and performance in whole or',
32173:'in part is in the united states the 50 states, the districtof columbia, puerto rico, the northern mariana islands,americansamoa, guam,',
32174:'theu.s. virgin islands, johnston 52.2107 fac 202501 november 12, 2024 52.2134 federal acquisition regulation island, wakeisland, and the outer continental',
32175:'shelf as definedin the outer continental shelf lands act 43 u.s.c. 1331, et seq.. xi 52.22262, paid sick leave under',
32176:'executive order 13706 jan 2022 e.o. 13706 applies when 52.2226 or 52.22241 are in the contract and performance in whole',
32177:'or in part is in the united states the 50 states and the district of columbia. xii 52.2235, pollution prevention',
32178:'and righttoknow information may 2024 42 u.s.c. 1100111050 and 1310113109 applies to services performed on federal facilities. xiii 52.22311, ozonedepleting',
32179:'substances and high global warming potential hydrofluorocarbons may 2024 42 u.s.c. 7671, et seq. appliesto contracts for products as prescribed',
32180:'atfar 23.109d1. xiv 52.22312, maintenance, service, repair, or disposal of refrigeration equipment and air conditioners may 2024 42 u.s.c. 7671,',
32181:'et seq. applies to maintenance,service, repair, ordisposal ofrefrigeration equipmentand air conditioners. xv 52.22320, aerosols may 2024 42 u.s.c. 7671, et',
32182:'seq. applies to contracts for products that may contain high global warming potential hydrofluorocarbons as a propellant or as a',
32183:'solvent; or contracts for maintenance or repair of electronic or mechanical devices. xvi 52.22321, foams may 2024 42 u.s.c. 7671,',
32184:'et seq. applies to contracts for products that may contain high global warming potential hydrofluorocarbons or refrigerant blends containing hydrofluorocarbons',
32185:'as a foam blowing agent; or contracts for construction of buildings or facilities. xvii 52.22323, sustainable products and services may',
32186:'2024 e.o. 14057, 7 u.s.c. 8102, 42 u.s.c. 6962, 42 u.s.c. 8259b, and 42 u.s.c. 7671l applies to contracts when',
32187:'the agency identifies in the statement of work, or elsewhere in the contract, the sustainable products and services that apply',
32188:'to the acquisition. xviii a 52.2251, buy americansupplies oct 2022 41 u.s.c. chapter 67 applies to contracts for supplies, and',
32189:'to contracts for services involving the furnishing of supplies, for use in the united states or its outlying areas, if',
32190:'the value of the supply contract or supply portion of a service contract exceeds the micropurchase threshold, as defined in',
32191:'2.101 on the date of award of this contract, and the acquisition 1 is set aside for small business concerns;',
32192:'or 2 cannot be set aside for small business concerns see 19.5022, and does not exceed $50,000. b alternate i',
32193:'oct 2022 applies ifthe contracting officerhas filled in the domestic content threshold below, which will apply to the entire contract',
32194:'period of performance. substitute the following sentence for the first sentence of paragraph 1iia of the definition of domestic end',
32195:'product in paragraph a of 52.2251: a the cost of its components mined, produced, or manufactured in the united states',
32196:'exceeds percent of the cost of all its components. [ contracting officer to insert the percentage per instructions at 13.3025d4.',
32197:'] xix 52.2266, promotingexcessfood donationto nonprofit organizations., promoting excess food donation to nonprofit organizations jun 2020 42 u.s.c. 1792 applies',
32198:'tocontracts greater than the threshold specified in far 26.404 on the date of award of this contract, that provide for',
32199:'the provision, the service, or the sale of food in the united states. xx 52.23233, payment by electronic funds transfersystem',
32200:'for award managementoct 2013applies when thepayment will be made by electronic funds transfer eft and the payment office uses thesystemforaward',
32201:'management sam as its source of eft information. xxi 52.23234, payment by electronic funds transferother than system for award management',
32202:'jul 2013 applies when the payment will bemade by eft and the payment office does not use the sam database',
32203:'as itssource of eft information. xxii 52.2401, prohibition on unmanned aircraft systems manufactured or assembled by american security drone actcovered',
32204:'foreign entities nov 2024 sections 18211826,pub. l. 11831, 41 u.s.c. 3901 note prec.. xxiii 52.24764, preferencefor privately owned u.s.flag commercial',
32205:'vessels nov 2021 46 u.s.c. 55305 applies to supplies transported by ocean vessels except for the types of subcontracts listed',
32206:'at 47.504d. 2 listed below are additional clauses that may apply: i 52.20421, basic safeguarding of covered contractor information systems',
32207:'nov 2021 applies to contracts when the contractor or a subcontractor at any tier may have federal contract information residing',
32208:'in or transiting through its information system. ii 52.2096, protecting the government’s interest when subcontracting with contractors debarred,suspended, or proposed',
32209:'for debarment nov 2021 applies to contracts overthe threshold specified infar 9.4052b on the date of award of this contract.',
32210:'52.2108 subpart 52.2 text of provisions and clauses 52.2134 iii 52.21117, delivery of excess quantities sept 1989 applies to fixedprice',
32211:'supplies. iv 52.24729, f.o.b. origin feb 2006 applies to supplies if delivery is f.o.b. origin. v 52.24734, f.o.b. destination jan',
32212:'1991 applies to supplies if delivery is f.o.b. destination. c far 52.2522, clauses incorporated by reference feb 1998. this contract',
32213:'incorporates one or more clauses by reference, with thesame force and effect as if they weregiven in full text. upon',
32214:'request, the contracting officer will make their full text available. also, the full text of a clause may be accessed',
32215:'electronically at this/these addresses: [insert one or more internet addresses] d inspection/acceptance. the contractor shall tender for acceptance only those',
32216:'items that conform to the requirements of this contract. the government reserves the right to inspect or test any supplies',
32217:'or services that have been tendered for acceptance. the government may require repair or replacement of nonconforming supplies or reperformance',
32218:'of nonconforming services at no increase in contract price. the government must exercise its postacceptance rights 1 within areasonable period',
32219:'of time after thedefectwas discovered or should have been discovered; and 2 before any substantial change occurs in the condition',
32220:'of the item, unless the change is due to the defect in the item. e excusable delays. the contractor shall',
32221:'be liable for default unless nonperformance is caused by an occurrence beyond thereasonable control of the contractorand without its fault',
32222:'or negligence, suchas acts of godor the public enemy, acts of the government ineither its sovereign or contractualcapacity, fires,floods,epidemics,quarantine restrictions,',
32223:'strikes, unusually severe weather, and delaysof common carriers. the contractor shall notify thecontracting officer inwriting as soonas it is reasonablypossible',
32224:'afterthe commencement of any excusable delay, setting forth the full particulars in connection therewith, shall remedy such occurrence with all',
32225:'reasonable dispatch, and shall promptly give written notice to the contracting officerof the cessation ofsuch occurrence. f termination for the',
32226:'governments convenience. the government reserves the right to terminate this contract, or any part hereof, for its sole convenience. in',
32227:'the event of such termination, the contractor shall immediately stop all work hereunder and shall immediately cause any and all',
32228:'of its suppliers and subcontractors to cease work. subject to the terms of this contract, the contractor shall be paid',
32229:'a percentage of the contract price reflecting the percentage of the work performed prior to the notice of termination, plus',
32230:'reasonable charges that the contractorcan demonstrateto the satisfactionof the government, using its standard record keeping system, have resulted from the',
32231:'termination. the contractor shall not be required to comply with the cost accounting standards or contract cost principles for this',
32232:'purpose. this paragraph does not give the government any right toaudit the contractor’s records. the contractor shall not be paidforanywork',
32233:'performed or costs incurred that reasonably could have been avoided. g termination for cause. the government may terminate this contract,',
32234:'or any part hereof, for cause in the event of any default by the contractor, or if the contractor fails',
32235:'to complywith any contract terms and conditions, or fails toprovide the government, upon request, with adequate assurances of future performance.',
32236:'in the event of termination for cause, the government shall not be liable to the contractor for any amount for',
32237:'supplies or services not accepted, and the contractor shall beliable to the government for any and all rights and remedies',
32238:'provided by law. if it is determined that the government improperly terminated this contract for default, such termination shall be',
32239:'deemed a termination for convenience. h warranty. the contractor warrants and implies that the items delivered hereunder are merchantable and',
32240:'fit for use for the particular purpose described in this contract. end of clause 52.2109 this page intentionally left blank.',
32241:'52.2110 subpart 52.2 text of provisions and clauses 52.2146 52.214[reserved] 52.2141 [reserved] 52.2142 [reserved] 52.2143 amendments to invitations for bids.',
32242:'as prescribed in 14.2016b1, insert the following provision: amendments to invitations for bidsdec 2016 a if this solicitation is amended,',
32243:'then all terms and conditions which are not modified remain unchanged. b 1 bidders shall acknowledge receipt of any amendment',
32244:'to this solicitation i by signing and returning the amendment; ii by identifying the amendment number and date in space',
32245:'provided for this purpose on the form for submitting a bid; iii by letter; iv by facsimile, if facsimile bids',
32246:'are authorized in the solicitation; or v by email, if email bids are authorized in the solicitation. 2 the government',
32247:'must receive the acknowledgement by the time and at the place specified for receipt of bids. end of provision 52.2144',
32248:'false statements in bids. as prescribed in 14.2016b2, insert the following provision in all invitations for bids: false statements in',
32249:'bids apr 1984 bidders must provide full, accurate, and complete information as required by this solicitation and its attachments. the',
32250:'penalty for making false statements in bids is prescribed in 18 u.s.c. 1001. end of provision 52.2145 submission of bids.',
32251:'as prescribed in 14.2016c1, insert the following provision: submission of bids dec 2016 a bids and bid modifications shall be',
32252:'submitted in sealed envelopes or packages unless submitted by electronic means 1 addressedto theoffice specified in the solicitation; and 2',
32253:'showing the time and date specified for receipt, thesolicitation number, and thenameand address ofthe bidder. b bidders using commercial carrier',
32254:'services shall ensure that the bid is addressed and marked on the outermost envelope or wrapper asprescribed in paragraphs a1',
32255:'and 2 ofthis provision when delivered tothe office specified in the solicitation. c facsimile bids, modifications, or withdrawals, will not',
32256:'be considered unless authorized by the solicitation. d bids submitted by electronic commerce shall be considered only if the electronic',
32257:'commerce method was specifically stipulated or permitted by the solicitation. end of provision 52.2146explanation to prospective bidders. as prescribed in',
32258:'14.2016c2, insert the following provision: 52.2111 52.2147 federal acquisition regulation explanation to prospective bidders apr 1984 any prospective bidder desiring',
32259:'an explanation or interpretation of the solicitation, drawings, specifications, etc., must request it in writing soon enough to allow a',
32260:'reply to reach all prospective bidders before the submission of their bids. oral explanations or instructions given before the award',
32261:'of a contract will not be binding. any information given a prospective bidder concerning a solicitation will be furnished promptly',
32262:'to all other prospective bidders as an amendment to the solicitation, if that information is necessary in submitting bids or',
32263:'if the lack of it would be prejudicial to other prospective bidders. end of provision 52.2147late submissions, modifications, and withdrawals',
32264:'of bids. as prescribed in 14.2016c3, insert the following provision: late submissions, modifications, and withdrawals of bids nov 1999 a',
32265:'bidders are responsible for submitting bids, and any modifications or withdrawals, so as to reach the government officedesignated in the',
32266:'invitation for bids ifb by thetime specified in theifb. if no time is specifiedin theifb, the time for receipt is4:30p.m.,',
32267:'local time, for the designatedgovernment office on the date that bids are due. b 1anybid,modification,orwithdrawalreceivedatthegovernmentofficedesignatedintheifbaftertheexacttime specified for receipt of bids',
32268:'is late and will not be considered unless it is received before award is made, the contracting officer determines that',
32269:'accepting thelate bidwould not unduly delay the acquisition; and i if it was transmitted through an electronic commerce method authorized',
32270:'by the ifb, it was received at the initial point of entry to the government infrastructure not later than 5:00',
32271:'p.m. oneworking day prior to the date specified for receipt of bids; or ii there is acceptable evidence to establish',
32272:'that it was received at the government installation designated for receipt ofbids and wasunder thegovernment’s control prior to the time',
32273:'set for receipt of bids. 2 however, a late modification of an otherwisesuccessfulbid that makes its terms more favorable to',
32274:'the government, will be considered at any time it is received and may be accepted. c acceptable evidence to establish',
32275:'the time of receipt at the government installation includes the time/date stamp of that installation on the bidwrapper, other documentary',
32276:'evidence of receipt maintained by the installation, or oral testimonyor statements of government personnel. d if an emergency orunanticipated event',
32277:'interrupts normal governmentprocesses so that bidscannot be received at the government officedesignated for receiptof bidsby the exacttime specified in theifb',
32278:'and urgent government requirements preclude amendment of the ifb, the time specified for receipt of bids will be deemed to',
32279:'be extended to the same time of day specified in the solicitation on the first work day on which normal',
32280:'government processes resume. e bids may be withdrawn by written notice received at any time before the exact time set',
32281:'for receipt of bids. if the ifb authorizes facsimile bids, bids may be withdrawn via facsimile received at any time',
32282:'before the exact time set for receipt of bids, subject to the conditions specified in the provision at 52.21431, facsimile',
32283:'bids. a bid may be withdrawn in person by a bidder or its authorized representative if, before the exact time',
32284:'set for receipt of bids, the identity of the person requesting withdrawal is established and the person signs a receipt',
32285:'for the bid. end of provision 52.2148 [reserved] 52.2149 [reserved] 52.21410 contract awardsealed bidding. as prescribed in 14.2016e, insert the',
32286:'following provision: contract awardsealed bidding july 1990 52.2112 subpart 52.2 text of provisions and clauses 52.21414 a the government will',
32287:'evaluate bids in response to this solicitation without discussions and will award a contract to the responsible bidder whose bid,',
32288:'conforming to the solicitation, will be most advantageous to the government considering only price and the pricerelated factors specified elsewhere',
32289:'in the solicitation. b the government may 1 reject any or all bids; 2 accept other than the lowest bid;',
32290:'and 3 waive informalitiesor minorirregularitiesin bids received. c the government may accept any item or group of items of a',
32291:'bid, unless the bidder qualifies the bid by specific limitations. unless otherwise provided in the schedule, bids may be submitted',
32292:'for quantities less than those specified. the government reserves the right to make an award on any itemfora quantity less',
32293:'than the quantity offered,at the unit prices offered, unless the bidder specifies otherwise in the bid. d a written award',
32294:'or acceptance of a bid mailed or otherwise furnished to the successful bidder within the time for acceptance specified inthe',
32295:'bid shall result in a binding contractwithout further action byeither party. e the government may reject a bid as nonresponsive',
32296:'if the prices bid are materially unbalanced between line items or subline items. a bid is materially unbalanced when it',
32297:'is based on prices significantly less than cost for some work and prices which are significantly overstated in relation to',
32298:'cost for other work, and if there is a reasonable doubt that the bid will result in the lowest overall',
32299:'cost to the government even though it may be the low evaluated bid, or if it is so unbalanced as',
32300:'to be tantamount to allowing an advance payment. end of provision 52.21411 [reserved] 52.21412 preparationof bids. as prescribed in 14.2016f,',
32301:'insert the following provision: preparation of bidsapr 1984 a bidders are expected to examine the drawings, specifications, schedule, and all',
32302:'instructions. failure to do so will be at thebidder’s risk. b each bidder shall furnish the information required by the',
32303:'solicitation. the bidder shall sign the bid and print or type itsnameon the schedule and eachcontinuationsheet onwhich it makes an',
32304:'entry. erasures or other changes must be initialed by the person signing the bid. bids signed by an agent shall',
32305:'be accompanied by evidence of that agent’s authority, unless that evidence hasbeenpreviously furnished to the issuing office. c for each',
32306:'item offered, bidders shall 1 show the unit price, including, unless otherwise specified, packaging,packing, and preservationand2enter the extendedprice for the',
32307:'quantity of each item offered in the amount column ofthe schedule. in case of discrepancy between a unit price and',
32308:'an extended price, the unit price will be presumed to be correct, subject,however,to correction to thesame extentandin the samemanner as',
32309:'any other mistake. d bids for supplies or services other than those specified will not be considered unless authorized by',
32310:'the solicitation. e bidders must state a definite time for delivery of supplies or for performance of services, unless otherwise',
32311:'specified in the solicitation. f time,if stated as a number ofdays, will include saturdays, sundays, and holidays. end of provision',
32312:'52.21413 [reserved] 52.21414 place of performancesealed bidding. as prescribed in 14.2016h, insert the following provision: place of performancesealed bidding apr',
32313:'1985 52.2113 52.21415 federal acquisition regulation a thebidder, in the performance ofanycontract resultingfrom this solicitation, □ intends, □ does not',
32314:'intend [check applicable box] to useone or more plantsor facilities located at adifferentaddress from the address of the bidder as',
32315:'indicated in this bid. b if the bidder checks intends in paragraph a of this provision, it shall insert in',
32316:'the spaces provided below the required information: place of performance street name and address of owner and operator of address,',
32317:'city, state, county, zip code the plantor facilityif otherthan bidder end of provision 52.21415 period for acceptance of bids. as',
32318:'prescribed in 14.2016i, insert the following provision: period for acceptance of bids apr 1984 in compliance with the solicitation, the',
32319:'bidder agrees, if this bid is accepted within calendar days 60 calendar daysunlessa different period is insertedby the bidderfrom the',
32320:'date specified in thesolicitation for receipt ofbids, tofurnish any or all items upon which prices are bid at the price',
32321:'set opposite each item, delivered at the designated points, within the time specified in the schedule. end of provision 52.21416',
32322:'minimum bid acceptance period. as prescribed in 14.2016j, insert the following provision in invitations for bids, except for construction, if',
32323:'the contracting officerdeterminesthat a minimum acceptance period must be specified: minimum bid acceptance period apr 1984 a acceptance period, as',
32324:'used in this provision, means the number of calendar days available to the government for awarding a contract from the',
32325:'date specified in this solicitation for receipt of bids. b this provision supersedes any language pertaining to the acceptance period',
32326:'that may appear elsewhere in this solicitation. c the government requires a minimum acceptance period of calendar days [the contracting',
32327:'officer shall insert the number of days]. d in the spaceprovided immediately below, bidders may specify a longer acceptance period',
32328:'than the government’s minimum requirement. the bidder allows the following acceptance period: calendar days. e a bidallowing less thanthe government’s',
32329:'minimum acceptance periodwill be rejected. f the bidder agrees to execute all that it has undertaken to do, in compliance',
32330:'with its bid, if that bid is accepted in writing within 1 the acceptance period stated in paragraph c of',
32331:'this clause; or 2 any longer acceptance period stated in paragraph d of this clause. end of clause 52.21417 [reserved]',
32332:'52.21418 preparationof bidsconstruction. as prescribed in 14.2016l, insert the following provision: 52.2114 subpart 52.2 text of provisions and clauses 52.21420',
32333:'preparation of bidsconstruction apr 1984 a bids must be 1 submitted on the forms furnished by the government or on',
32334:'copies of those forms, and 2 manually signed. the person signing a bid must initial each erasure or change appearing',
32335:'on any bid form. b the bid form may require bidders to submit bid prices for one or more items',
32336:'on various bases, including 1 lump sum bidding; 2 alternate prices; 3 units of construction; or 4 any combination of',
32337:'paragraphs b1 through b3 of this provision. c if the solicitation requires bidding on all items, failure to do so',
32338:'will disqualify the bid. if bidding on all items is not required, bidders should insert the words no bid in',
32339:'the space provided for any item on which no price is submitted. d alternate bids will not be considered unless',
32340:'this solicitation authorizes their submission. end of provision 52.21419 contract awardsealed biddingconstruction. as prescribed in 14.2016m, insert the following provision:',
32341:'contract awardsealed biddingconstruction aug 1996 a the government will evaluate bids in response to this solicitation without discussions and will',
32342:'award a contract to the responsible bidder whose bid, conforming to the solicitation, will be most advantageous to the government,',
32343:'considering only price and the pricerelated factors specified elsewhere in the solicitation. b the government may reject any or all',
32344:'bids, and waive informalities or minor irregularities in bids received. c the government may accept any item or combination of',
32345:'items, unless doing so is precluded by a restrictive limitation in the solicitation or the bid. d the government may',
32346:'reject a bid as nonresponsive if the prices bid are materially unbalanced between line items or subline items. a bid',
32347:'is materially unbalanced when it is based on prices significantly less than cost for some work and prices which are',
32348:'significantly overstated in relation to cost for other work, and if there is a reasonable doubt that the bid will',
32349:'result in the lowest overall cost to the government even though it may be the low evaluated bid, or if',
32350:'it is so unbalanced as to be tantamount to allowing an advance payment. end of provision 52.21420 bid samples. as',
32351:'prescribed in 14.2016o1, insert the following provision: bid samples apr 2002 a bid sample meansa productsample required to be submittedby',
32352:'a bidder toshow those characteristicsof the offered products that cannot adequately be described by specifications, purchase descriptions, or the invitation',
32353:'for bid e.g., balance, facility of use, or pattern. b bidders must furnish bid samples as part of the bid.',
32354:'the government must receive the bid samples by the time specified in the invitation for bids. if the bidder fails',
32355:'to submit samples on time, the government will reject the bid, except that the contracting officer will consider alate sample',
32356:'sent by mail under the late submissions, modifications, and withdrawals of bids provision of thissolicitation. c the government will test',
32357:'or evaluate bid samples to determine compliance with all the characteristics listed for examination in this solicitation. the government will',
32358:'reject the bid when the sample fails to conform to the required characteristics. products delivered under any resulting contract must',
32359:'conform to 1 the approved sample for the characteristics listed for test or evaluation; and 2 the specifications for all',
32360:'other characteristics. d unless otherwise specified in the solicitation, bid samples shall be52.2 115 52.21421 federal acquisition regulation 1 submitted',
32361:'at no expense to the government; and 2 returned at the bidder’s request and expense, unless they are destroyed during',
32362:'preaward testing. end of provision alternate i may 2002. as prescribed in 14.2016 o2i, insert the following alternate i: e',
32363:'at the discretion of the contractingofficer, the requirement for furnishingbid samples may be waivedfora bidder if 1 the bidstates that',
32364:'the offered product is the same as a product offered by thebidder to the [as appropriate, the contracting officer shall',
32365:'designate the contracting office or an alternate activity or office]; and 2 the contracting officer determines that the previously offered',
32366:'product was acceptedor tested and found tocomply with specification and other requirements for technical acceptability conforming in every material respect',
32367:'with those in this solicitation. alternate ii may 2002. as prescribed in 14.2016o2ii, insert the following alternate ii: e at',
32368:'the discretion of the contractingofficer, the requirements for furnishing bid samples may be waived for a bidder if 1 the',
32369:'bidstates that the offered product is the same as a product offered by thebidder to the [as appropriate, the contracting',
32370:'officer shall designate the contracting office or an alternate activity or office] on a previous acquisition; 2 the contracting officer',
32371:'determines that the previously offered product was acceptedor tested and found tocomply with specification and other requirements for technical acceptability',
32372:'conforming in every material respect with those of this solicitation; and 3 the productoffered under this solicitationwill be produced under',
32373:'a resulting contract at thesame plantin whichthe previously acquired or tested product was produced. 52.21421 descriptive literature. as prescribed in',
32374:'14.2016p1, insert the following provision: descriptive literature apr 2002 a descriptive literature, as used in this provision, means information furnished',
32375:'by a bidder, such as cuts, illustrations, drawings, and brochures, that shows a product’scharacteristics orconstruction or explains its operation. the',
32376:'termincludes only that information required to evaluate the acceptability of the product and excludes other information for operating or maintaining',
32377:'the product. b descriptiveliterature is required to establish, for the purpose of evaluationand award, details of theproduct offered that are',
32378:'specified elsewhere in the solicitation and pertain to significant elements such as 1 design; 2 materials; 3 components; 4 performance',
32379:'characteristics; and 5 methods of manufacture, assembly,construction, or operation. c descriptive literature, required elsewhere in this solicitation, shall be 1',
32380:'identifiedto show the items of the offer to which it applies; and 2 received by the time specified in this',
32381:'solicitation. d if the bidder fails to submit descriptive literature on time, the government will reject the bid, except that',
32382:'late descriptive literature sent by mail may beconsidered underthe latesubmissions, modifications, and withdrawals of bids provision of this solicitation. e',
32383:'if the descriptive literature fails to show that the product offered conforms to the requirements of the solicitation, the government',
32384:'will reject the bid. end of provision alternate i jan 2017. as prescribed in 14.2016p2, add the following paragraphs f',
32385:'and g to the basic provision: 52.2116 subpart 52.2 text of provisions and clauses 52.21423 f the contracting officer may',
32386:'waive the requirement for furnishing descriptive literatureif the offeror has supplied a product that is the same as that required',
32387:'by this solicitation under a prior contract. a bidder that requests a waiver of this requirement shall provide the following',
32388:'information: prior contract number date of prior contract line item number of product supplied name and address of government activity',
32389:'to which delivery was made date of final delivery of product supplied g bidders shall submit bids on the basis',
32390:'of required descriptive literature or on the basis of a previously supplied product under paragraph f of this provision. a',
32391:'bidder submitting a bid on one of these two bases may not elect to have its bid considered on the',
32392:'alternative basis after the time specified for receipt of bids. the government will disregard a bidders request for a waiver',
32393:'under paragraph f if that bidder has submitted the descriptive literature requested under this solicitation. 52.21422 evaluation of bids for',
32394:'multiple awards. as prescribed in 14.2016q, insert the following provision: evaluation of bids for multiple awards mar 1990 in addition',
32395:'to other factors, bids will be evaluated on the basis of advantages and disadvantages to the government that might result',
32396:'from making more than one award multiple awards. it is assumed, for the purpose of evaluating bids, that $500 would',
32397:'be the administrative cost to the government for issuing and administering each contract awarded under this solicitation, and individual awards',
32398:'will be for the items or combinations of items that result in the lowest aggregate cost to the government, including',
32399:'the assumed administrative costs. end of provision 52.21423 late submissions, modifications, revisions, and withdrawals of technical proposalsunder twostep sealed bidding.',
32400:'as prescribed in 14.2016r, insert the following provision: late submissions, modifications, revisions, and withdrawals of technical proposals under twostep sealed',
32401:'biddingnov 1999 a bidders are responsible for submitting technical proposals, and any modifications or revisions, so as to reach the',
32402:'government officedesignated in therequest for technical proposals by thetime specifiedin theinvitation for bids ifb. if no time is specifiedin theifb,',
32403:'the time for receipt is4:30 p.m., local time, for the designatedgovernmentoffice on the date that bids or revisions are due.',
32404:'b 1 any technical proposal under step one of twostep sealed bidding, modification, revision, or withdrawal of such proposal received',
32405:'at the government office designated in the request for technicalproposalsafter the exact time specifiedfor receipt willnot be considered unless the',
32406:'contracting officer determines that accepting the late technical proposal would not unduly delay the acquisition; and i if it was',
32407:'transmitted through an electronic commerce method authorized by the request for technical proposals, it was received at the initial point',
32408:'of entry to the government infrastructure not later than 5:00 p.m. oneworking day prior to the date specified for receipt',
32409:'of proposals; or ii there is acceptable evidence to establish that it was received at the government installation designated for',
32410:'receipt ofoffers and wasunder thegovernment’s control priorto the time setforreceipt; or iii it is the only proposal received and it',
32411:'is negotiated under part 15 of the federal acquisition regulation. 2 however, a late modification of an otherwisesuccessfulproposal that makes',
32412:'its termsmore favorableto the government will be considered at any time it is received and may be accepted. 52.2117 52.21424',
32413:'federal acquisition regulation c acceptable evidence to establish the time of receipt at the government installation includes the time/date stamp',
32414:'of that installation on the technical proposal wrapper, other documentary evidence ofreceipt maintained by the installation, ororal testimony or statements',
32415:'of government personnel. d if an emergency orunanticipated event interrupts normal governmentprocesses so that technical proposals cannot bereceived at thegovernmentoffice',
32416:'designated for receipt of technical proposals bythe exact time specified in the request for technical proposals, and urgent government requirements',
32417:'preclude amendment ofthe request for technical proposals, the time specified for receipt of technical proposals will be deemed to be',
32418:'extended to the same time of day specified in the request for technical proposals on the first work day on',
32419:'which normal government processes resume. e technical proposalsmay be withdrawn by written notice received atanytime before the exacttime setforreceipt of',
32420:'technical proposals. if the request for technical proposals authorizes facsimile technical proposals, they may be withdrawn via facsimile received at',
32421:'any time before the exact time set for receipt of proposals, subject to the conditions specified in the provision at',
32422:'52.21431, facsimile bids. a technical proposal may be withdrawn in person by a bidder or its authorized representative if, before',
32423:'the exact time set for receipt of technical proposals, the identity of the person requesting withdrawal is established and the',
32424:'person signs a receipt for the technical proposal. end of provision 52.21424 multiple technical proposals. as prescribed in 14.2016s, insert',
32425:'the following provision: multiple technical proposals apr 1984 in the first step of this twostep acquisition, solicited sources are encouraged',
32426:'to submit multiple technical proposals presenting different basicapproaches. each technical proposalsubmitted will be separatelyevaluated and the submitter will benotified as',
32427:'to its acceptability. end of provision 52.21425 step two oftwostep sealed bidding. as prescribed in 14.2016t, insert the following provision:',
32428:'step two of twostep sealed bidding apr 1985 a this invitation for bids is issued to initiate step two of',
32429:'twostep sealed bidding under subpart 14.5 of the federal acquisition regulation. b the only bids thatthe contracting officermay considerforaward of',
32430:'a contract are those received from bidders that have submitted acceptable technical proposals in step one of this acquisition under',
32431:'[the contracting officer shall insert the identification of the stepone request for technical proposals]. c any bidder that has submitted',
32432:'multiple technical proposals in step one of this acquisition may submit a separate bid on each technical proposal that was',
32433:'determined to be acceptable to the government. end of provision 52.21426 audit and recordssealed bidding. as prescribed in 14.2017a1, insert',
32434:'the following clause: audit and recordssealed bidding jun 2020 a as used in this clause, records includes books, documents, accounting',
32435:'procedures and practices, and other data, regardless of type and regardless of whether such items are in written form, in',
32436:'the form of computer data, or in any other form. b certified cost or pricing data. if the contractor has',
32437:'been required to submit certified cost or pricing data in connection with the pricing of any modificationto this contract, the',
32438:'contracting officer, or an authorized representative of the 52.2118 subpart 52.2 text of provisions and clauses 52.21427 contracting officer, in',
32439:'order to evaluate the accuracy, completeness, andcurrencyof the certified cost orpricing data, shall have theright to examine and audit all',
32440:'ofthe contractor’srecords, includingcomputations and projections, related to 1 the proposal for the modification; 2 the discussions conducted on the proposals,',
32441:'including those related to negotiating; 3 pricing of the modification; or 4 performance of the modification. c comptroller general. in',
32442:'the case of pricing any modification, the comptroller general of the united states, or an authorized representative, shall have the',
32443:'same rights as specified in paragraph b of this clause and also the right to interview any current employee regarding',
32444:'such transactions. d availability. thecontractor shall makeavailableat its office at all reasonable times the materials described in paragraph b of',
32445:'this clause, for examination, audit, or reproduction, until 3 years after final payment under this contract, or for any other',
32446:'period specified in subpart 4.7ofthefederalacquisitionregulationfar. far subpart 4.7, contractor records retention, ineffect on the date ofthis contract, is incorporated by',
32447:'reference in its entirety and made a part of this contract. 1 if this contract is completely or partially terminated,',
32448:'the records relating to the work terminated shall be made available for 3 years after any resulting final termination settlement.',
32449:'2 records pertaining to appeals under the disputes clause or to litigation or the settlement of claims arising under or',
32450:'relating to the performance of this contract shall be made available until disposition of such appeals, litigation, or claims. e',
32451:'subcontracts. the contractor shall insert a clause containing all the provisions of this clause, including this paragraph e, in all',
32452:'subcontracts expected to exceed the threshold for submissionof certified cost or pricing data in far 15.4034a1 on the date of',
32453:'subcontract award. end of clause alternate i mar 2009. as prescribed in 14.2017a2, substitute the following paragraphs c and e',
32454:'for paragraphs c and e of the basic clause: c the comptroller general of the united states, an appropriate inspector',
32455:'general appointed under section 3 or 8 g of the inspector general act of 1978 5 u.s.c. app., or an',
32456:'authorized representativeof either of the foregoing officials, shall have access to and the right to 1 examine any of thecontractor’s',
32457:'or any subcontractors records that pertain to, and involve transactions relating to, this contract or a subcontract hereunder; and 2',
32458:'interview any officer or employee regarding such transactions. e1 except as provided in paragraph e2, the contractor shall insert a',
32459:'clause containing the provisions of this clause, including this paragraph e, in all subcontracts. 2 the authority of the inspector',
32460:'general under paragraph c2 of this clause does not flow down to subcontracts. 52.21427 price reduction for defective certified cost',
32461:'or pricing datamodificationssealed bidding. as prescribed in 14.2017b, insert the following clause: price reduction for defective certified cost or pricing',
32462:'datamodificationssealed bidding jun 2020 a this clause shall become operative only for any modification to this contract involving aggregate increases',
32463:'and/or decreases in costs, plus applicable profits, expected to exceed the threshold for the submission of certified cost or pricing',
32464:'data in federal acquisition regulationfar 15.4034a1 on the date of execution of the modification, except that this clause doesnot apply',
32465:'to a modification if an exception under far 15.4031b applies. b if any price, including profit, negotiated in connection with',
32466:'any modification under this clause, was increased by any significant amount because 1 the contractor or a subcontractor furnished certified',
32467:'cost or pricing data that were not complete, accurate, and current as certified in its certificate of current cost or',
32468:'pricing data, 2a subcontractor or prospective subcontractor furnished the contractor certified cost or pricing data that were not complete, accurate,',
32469:'and current as certified in the contractor’s certificate of current costor pricing data, or 3 any ofthese parties furnished data',
32470:'of any description that were not accurate, the price shall be reduced accordingly and the contract shall be modified to',
32471:'reflect the reduction. this right to a price reduction is limited to that resulting from defects in data relating to',
32472:'modifications for which this clause becomes operative under paragraph a of this clause 52.2119 52.21428 federal acquisition regulation c any',
32473:'reduction in the contract price under paragraph b of this clause due to defective data from a prospective subcontractor that',
32474:'was not subsequently awarded the subcontract shall be limited to the amount, plus applicable overhead and profit markup, by which1the',
32475:'actual subcontract or 2 the actual cost to the contractor,if there was no subcontract, was less than the prospective subcontract',
32476:'cost estimate submitted by the contractor; provided, that the actual subcontract price was not itself affected by defective certified cost',
32477:'or pricing data. d 1ifthecontractingofficerdeterminesunderparagraphbofthisclausethatapriceorcostreductionshouldbe made, the contractor agrees not to raise the following matters as a defense: ithe contractoror',
32478:'subcontractor was a sole source supplier or otherwise was in asuperior bargaining position and thus the price of the contract',
32479:'would not have been modified even if accurate, complete, and current certified cost or pricing data had been submitted. iithe',
32480:'contracting officer should have known thatthe certified cost or pricing data in issue were defectiveeven though the contractor or subcontractor',
32481:'took no affirmative action to bring the characterof the data to the attention of the contracting officer. iii the contract',
32482:'was based on an agreement about the total cost of the contract and there was no agreement about the cost',
32483:'of each item procured under the contract. iv the contractor or subcontractor did not submit a certificate of current cost',
32484:'or pricing data. 2 iexceptasprohibitedbysubdivisiond2iiofthisclause,anoffsetinanamountdeterminedappropriateby thecontracting officer basedupon thefacts shall be allowed against the amount of a contract price reduction',
32485:'if athe contractor certifies to thecontracting officer that, to thebest of the contractor’s knowledge and belief, thecontractor is entitled to',
32486:'the offset in the amount requested; and b the contractor proves that the certified cost or pricing data were available',
32487:'before the date of agreement on the price of the contract or price of the modification and that the data',
32488:'were not submitted before such date. iian offset shall not be allowed if a the understated data was known by',
32489:'the contractor to be understated when the certificate of current cost or pricing data was signed; or b the government',
32490:'proves that the facts demonstrate that the contract price would not have increased in the amount to be offsetevenif the',
32491:'available data had been submittedbefore thedate of agreementon price. e if any reduction in the contract price under this clause',
32492:'reduces the price of items for which payment was made prior to the date of the modification reflecting the price',
32493:'reduction, the contractor shall be liable to and shall pay the united states at the time such overpayment is repaid',
32494:'1 interestcompoundeddaily, asrequired by 26u.s.c.6622, the amount of such overpayment to be computed from the dates of overpayment to the',
32495:'contractor to the date the government is repaid by the contractor at the applicable underpayment rate effective for each quarter',
32496:'prescribedby the secretary ofthe treasury under 26 u.s.c. 6621a2; and 2 a penalty equal to the amount of the overpayment,',
32497:'if the contractor or subcontractor knowingly submitted certified cost or pricing data which were incomplete, inaccurate, or noncurrent. end of',
32498:'clause 52.21428 subcontractor certified cost or pricing datamodificationssealed bidding. as prescribed in 14.2017c1i, insert the following clause in solicitations and',
32499:'contracts: subcontractor certified cost or pricing datamodificationssealed bidding jun 2020 a the requirements of paragraphs b and c of this',
32500:'clause shall 1 become operative only for any modification to this contract involving aggregate increases and/or decreases in costs, plus',
32501:'applicable profits, expected to exceed the threshold for submission of certified cost or pricing data in federal acquisition regulation far',
32502:'15.4034a1 on the date of execution of the modification; and 2 be limited to such modifications. b before awarding any',
32503:'subcontract expected to exceed the threshold for submission of certified cost or pricing data in far 15.4034a1, on the date',
32504:'ofagreement on price orthe date of award, whichever is later, or beforepricing any subcontract modifications involving aggregate increases and/or decreases',
32505:'in costs, plus applicable profits, expected to exceed the threshold for submission of certified cost or pricing data in far',
32506:'15.4034a1, the contractor shall require the subcontractor to submit certified cost or pricing data actually or by specific identification in',
32507:'writing, as part of the 52.2120 subpart 52.2 text of provisions and clauses 52.21431 subcontractor’s proposal in accordance with far',
32508:'15.408, table 152to include any information reasonably required to explain the subcontractor’s estimatingprocess such as the judgmental factors applied and',
32509:'the mathematical orothermethods used in the estimate, including those used in projecting from known data, and the nature and amount',
32510:'of any contingencies includedin the price, unless an exception under far 15.4031b applies. if the threshold for submission of certified',
32511:'cost or pricing data specified in far 15.4034a1 is adjustedforinflation asset forthin far 1.109a, thenpursuant to far 1.109d the changed',
32512:'threshold applies throughout the remaining term of the contract, unless there is a subsequent threshold adjustment. c thecontractor shall require',
32513:'thesubcontractorto certify in substantially the formprescribed in far subsection 15.4062 that, to the best of its knowledge and belief, the',
32514:'data submitted under paragraph b of this clause were accurate, complete, and current as of the date of agreement on',
32515:'the negotiated price of the subcontract or subcontract modification. d the contractor shall insert the substance of this clause, including',
32516:'this paragraph d, in each subcontract that, when entered into, exceeds the thresholdforsubmission of certified cost orpricing data in far',
32517:'15.4034a1. end of clause alternate i aug 2020. as prescribed in 14.2017c1ii, substitute the following paragraph b in place of',
32518:'paragraph b of the basic clause: b unlessan exception under far 15.4031b applies, the contractor shall require the subcontractor to',
32519:'submit certified cost or pricing data actually or by specific identification in writing, as part of the subcontractors proposal in',
32520:'accordance with far 15.408, table 152to include any information reasonably required to explain the subcontractors estimating process such as the',
32521:'judgmental factors applied and the mathematical or other methods used in the estimate, including those used in projecting from known',
32522:'data, and the nature and amount of any contingencies included in the price— 1 before modifying any subcontract that was',
32523:'awarded prior to july 1, 2018, involving a pricing adjustment expected to exceed $750,000; or 2 before awarding any subcontract',
32524:'expected to exceed $2 million on or after july 1, 2018, or modifying any subcontract that was awarded on or',
32525:'after july 1, 2018, involving a pricing adjustment expected to exceed $2 million. 52.21429 order of precedencesealed bidding. as prescribed',
32526:'in 14.2017d, insert the following clause: order of precedencesealed bidding jan 1986 any inconsistency in this solicitation or contract shall',
32527:'be resolved by giving precedence in the following order: a the schedule excluding the specifications; b representations and other instructions;',
32528:'c contract clauses; d other documents, exhibits, and attachments; and e the specifications. end of clause 52.21430 [reserved] 52.21431 facsimile',
32529:'bids. as prescribed in 14.2016v, insert the following provision: facsimile bids dec 1989 a definition. facsimile bid, as used in',
32530:'this solicitation, means a bid, modification of a bid, or withdrawal of a bid that is transmitted to and received',
32531:'by the government via electronic equipment that communicates and reproduces both printed and handwritten material. b bidders may submit facsimile',
32532:'bids as responses to this solicitation. these responses must arrive at the place and by the time, specified in the',
32533:'solicitation. 52.2121 52.21432 federal acquisition regulation c facsimile bids that fail to furnish required representations or information or that reject',
32534:'any of the terms, conditions, and provisions of the solicitation may be excluded from consideration. d facsimile bids must contain',
32535:'the required signatures. e thegovernment reserves the right to makeaward solely onthe facsimile bid. however,if requested todo so by the',
32536:'contracting officer, theapparently successful bidder agrees to promptlysubmit thecomplete original signed bid. f facsimile receiving data and compatibility characteristics are',
32537:'as follows: 1 telephonenumber of receivingfacsimile equipment: 2 compatibility characteristics of receiving facsimile equipment e.g., make andmodel number, receiving speed,',
32538:'communications protocol: g if the bidder chooses to transmit a facsimile bid, the government will not be responsible for any',
32539:'failure attributable to the transmission or receipt of the facsimile bid including, but not limited to, the following: 1 receipt',
32540:'of garbled or incomplete bid. 2 availability orcondition of thereceiving facsimile equipment. 3 incompatibility between the sending and receiving equipment.',
32541:'4 delay in transmission or receipt of bid. 5 failure of the bidder to properly identify the bid. 6 illegibility',
32542:'of bid. 7 security of bid data. end of provision 52.21432 [reserved] 52.21433 [reserved] 52.21434 submission of offers in the',
32543:'english language. as prescribed in 14.2016w, insert the following provision: submission of offers in the english language apr 1991 offers',
32544:'submitted in response to this solicitation shall be in the english language. offers received in otherthan english shall be rejected.',
32545:'end of provision 52.21435 submission of offers in u.s. currency. as prescribed in 14.2016x, insert the following provision: submission of',
32546:'offers in u.s. currency apr 1991 offers submitted in response to this solicitation shall be in terms of u.s. dollars.',
32547:'offers received in other than u.s. dollars shall be rejected. end of provision 52.2122 subpart 52.2 text of provisions and',
32548:'clauses 52.2151 52.215[reserved] 52.2151instructions to offerorscompetitive acquisition. as prescribed in 15.209a, insert the following provision: instructions to offerorscompetitive acquisition nov',
32549:'2021 a definitions. as used in this provision discussions are negotiations thatoccur afterestablishment of the competitiverange that may,at the contracting',
32550:'officer’s discretion, result in the offeror being allowedto revise its proposal. in writing, writing, or written means any worded or',
32551:'numbered expression that can be read, reproduced, and later communicated, and includes electronically transmitted and stored information. proposal modification is',
32552:'a changemade to a proposal before the solicitation’s closing dateand time, or madein response to an amendment, or made to',
32553:'correct a mistake at any time before award. proposal revision is a change to a proposal made after the solicitation',
32554:'closing date, at the request of or as allowed by a contracting officeras the result of negotiations. time, if stated',
32555:'as a number of days, is calculated using calendar days, unless otherwise specified, and will include saturdays, sundays, and legal',
32556:'holidays. however, if the last day falls on a saturday, sunday, orlegal holiday, then the period shall include the nextworking',
32557:'day. b amendments to solicitations. if this solicitation is amended, all terms and conditions that are not amended remain unchanged.',
32558:'offerors shall acknowledge receipt ofanyamendment to this solicitation by the date and time specified in the amendments. c submission, modification,',
32559:'revision, and withdrawal of proposals. 1 unless other methods e.g., electronic commerce or facsimile are permitted in the solicitation, proposals',
32560:'and modifications to proposals shall be submitted in paper media in sealed envelopes or packages i addressed tothe office specified',
32561:'in the solicitation, and ii showing the time and date specified for receipt, the solicitation number, and the name and',
32562:'addressof the offeror. offerorsusing commercialcarriers should ensure that the proposal is marked on the outermost wrapper with the information in',
32563:'paragraphs c1i and c1ii of this provision. 2 the first page of the proposal must show– i the solicitation number;',
32564:'iithe name, address, and telephone and facsimilenumbers of the offerorand electronic address if available; iii a statement specifying the extent',
32565:'of agreement with all terms, conditions, and provisions included in the solicitation and agreement to furnishany or all items upon',
32566:'which prices are offeredat the price set opposite eachitem; iv names, titles, and telephone and facsimile numbers and electronic addresses',
32567:'if available of persons authorized to negotiateon the offeror’s behalf with thegovernment in connection with this solicitation; and v name,',
32568:'title, and signature of person authorized to sign the proposal. proposals signed by an agent shall be accompanied by evidence',
32569:'of thatagent’s authority, unless that evidence has been previouslyfurnished tothe issuing office. 3 submission, modification, revision, and withdrawal of proposals.',
32570:'i offerors are responsible for submitting proposals, and any modifications or revisions, so as to reach thegovernmentoffice designated in the',
32571:'solicitationby the time specified in the solicitation. if no time is specified in the solicitation, the time for receipt is',
32572:'4:30 p.m., local time, for the designated government office onthe datethat proposal or revision is due. ii aanyproposal,modification,orrevisionreceivedatthegovernmentofficedesignatedinthesolicitation after the',
32573:'exact time specified for receipt ofoffers is late and willnot be considered unless it is received before awardis made, thecontracting',
32574:'officer determines thataccepting the lateoffer would not unduly delay the acquisition; and 1 if it was transmitted through an electronic',
32575:'commerce method authorized by the solicitation, it was received at the initial point of entry to the government infrastructure not',
32576:'later than 5:00 p.m. one working day prior to the date specified for receipt of proposals; or 2 there is',
32577:'acceptable evidence to establish that it was received at the government installation designated for receipt ofoffers and wasunder thegovernment’s control',
32578:'priorto the time setforreceipt of offers; or 3 it is the only proposal received. b however,a late modification ofan otherwise',
32579:'successful proposal that makes itsterms more favorable to the government, will be considered at any time it is received and',
32580:'may be accepted. 52.2123 52.2151 federal acquisition regulation iii acceptable evidence to establish the time of receipt at the government',
32581:'installation includes the time/date stamp of that installationon the proposal wrapper, other documentary evidence of receipt maintained by the installation,',
32582:'or oral testimony or statements of government personnel. iv ifan emergency or unanticipated event interrupts normalgovernmentprocessesso that proposals cannot bereceived',
32583:'at theoffice designated for receipt of proposals by the exact time specified in the solicitation, and urgent government requirements preclude',
32584:'amendment of the solicitation, the time specified for receipt of proposals will be deemed to be extended to the same',
32585:'time of day specified in the solicitation on the first work day on which normal government processes resume. v proposals',
32586:'may be withdrawn by written notice received at any time before award. oral proposals in response to oral solicitations may',
32587:'bewithdrawnorally. if the solicitation authorizes facsimile proposals, proposals may be withdrawn via facsimile received at any time before award, subject',
32588:'to the conditions specified in the provision at 52.2155, facsimile proposals. proposals maybe withdrawn inpersonby an offeror or an authorizedrepresentative,',
32589:'ifthe identity of the person requesting withdrawal is established and the person signs a receipt for the proposal before award.',
32590:'4 unlessotherwise specified in the solicitation, the offeror may propose to provideanyitem orcombinationof items. 5 offerorsshallsubmit proposals in response tothis',
32591:'solicitation in english, unless otherwise permitted by the solicitation,andin u.s. dollars, unless the provision at far 52.22517, evaluation offoreign currency',
32592:'offers, is included in the solicitation. 6 offerorsmay submit modifications to their proposals at any time before the solicitation closing',
32593:'date and time, and may submit modifications in response to an amendment, or to correct a mistake at any time',
32594:'before award. 7 offerorsmay submit revisedproposalsonlyif requested or allowedby the contracting officer. 8 proposals may be withdrawn at any time',
32595:'beforeaward. withdrawals are effective upon receipt of notice by the contracting officer. d offer expiration date. proposals in response to',
32596:'this solicitation will be valid for the number of days specified on the solicitation cover sheet unless a different period',
32597:'isproposed by theofferor. e restriction on disclosure and use of data.offerors thatinclude in their proposals data that theydo not want',
32598:'disclosed to the public for any purpose, or used by the government except for evaluation purposes, shall 1 mark the',
32599:'title page with the following legend: this proposal includes data that shall not be disclosed outside the government and shall',
32600:'not be duplicated, used, or disclosedin wholeor in partforany purpose other than to evaluate this proposal. if, however, acontract is',
32601:'awardedto this offeror as aresult ofor in connection withthe submission ofthis data, the governmentshallhavethe right to duplicate, use, or disclose',
32602:'the data to the extent provided in the resulting contract. this restriction does not limit the governments right to use',
32603:'information contained in this data if it is obtained from another source without restriction. the data subject to this restriction',
32604:'are contained in sheets [insert numbers or other identification of sheets]; and 2 mark each sheet of data it wishes',
32605:'to restrict with the following legend: use or disclosure of data contained on this sheet is subject to the restriction',
32606:'on the title page of this proposal. f contract award. 1 the government intends to award a contract or contracts',
32607:'resulting from this solicitation to the responsible offerors whose proposals represents the best value after evaluationin accordance with thefactors and',
32608:'subfactors in the solicitation. 2 the government mayreject any or all proposals if suchaction is in the government’s interest. 3',
32609:'the government may waive informalities and minor irregularities in proposals received. 4 the government intends to evaluate proposals andaward acontract',
32610:'withoutdiscussions with offerors except clarifications as described in far 15.306a. therefore, the offeror’s initial proposalshouldcontain the offeror’s best terms from',
32611:'a cost or price and technical standpoint. the government reserves the right to conduct discussions if the contracting officer later',
32612:'determines themto benecessary. if the contracting officer determines that the number of proposalsthat would otherwise be in the competitive rangeexceeds',
32613:'the numberat which an efficient competition can be conducted, the contracting officermay limit the number of proposals in the competitiverange',
32614:'to the greatest number that will permit an efficientcompetition amongthe most highly ratedproposals. 5 the government reserves therightto make an',
32615:'award on any item for aquantity less than thequantity offered, at the unit cost orprices offered, unless the offeror specifies',
32616:'otherwise in the proposal. 6 the government reserves the right to make multiple awards if, after considering the additional administrative',
32617:'costs, it is in thegovernment’s best interest to doso. 7 exchangeswith offerors after receipt of a proposaldo not constitute a',
32618:'rejection or counteroffer by the government. 52.2124 subpart 52.2 text of provisions and clauses 52.2152 8 the government may determine',
32619:'that a proposal is unacceptable if the prices proposed are materially unbalanced between line items or subline items. unbalanced pricing',
32620:'exists when, despite an acceptable total evaluated price, the price of one or more line items is significantly overstated or',
32621:'understated as indicated by the application of cost or price analysis techniques. a proposal maybe rejected if the contracting officer',
32622:'determines that the lack ofbalance poses an unacceptable risk to the government. 9 if a cost realism analysis is performed,',
32623:'cost realism may be considered by the source selection authority in evaluating performance or schedule risk. 10 a written awardor',
32624:'acceptanceof proposal mailed or otherwise furnished to the successful offerorwithin thetime specified in the proposal shall result in a bindingcontract',
32625:'withoutfurther action by eitherparty. 11 if a postawarddebriefingis given to requesting offerors, the government shall disclose the followinginformation, if applicable:',
32626:'ithe agency’s evaluation of the significant weak or deficient factors in the debriefedofferor’s offer. iithe overall evaluated cost orprice and',
32627:'technical rating of the successful and the debriefed offeror and past performanceinformationon the debriefed offeror. iii the overall ranking of',
32628:'all offerors, when any ranking was developed by the agency duringsource selection. iv a summary of the rationale for award.',
32629:'v for acquisitions of commercial products, the make and model of the product to be delivered by the successful offeror.',
32630:'vi reasonable responses to relevant questions posed bythe debriefed offeror as towhethersourceselection procedures setforth in the solicitation, applicableregulations, and other',
32631:'applicable authorities werefollowed bythe agency. end of provision alternate i oct1997. as prescribed in 15.209a1, substitute the following paragraph f4',
32632:'for paragraph f4 of the basic provision: f4 thegovernment intends toevaluateproposals and award a contractafter conducting discussions with offerors whose',
32633:'proposals have been determined to be within the competitive range. if the contracting officer determines that the number ofproposals that',
32634:'would otherwise be in the competitive range exceeds thenumber atwhich an efficient competition can be conducted, the contracting officer may',
32635:'limit the numberof proposals in the competitiverange to the greatest number that will permit an efficient competition among the most',
32636:'highly rated proposals. therefore, the offerors initial proposal should contain the offerors best terms from aprice and technical standpoint. alternate',
32637:'ii oct1997. as prescribed in 15.209a2, add a paragraph c9 substantially the same as the following to the basic clause:',
32638:'c9offerors may submit proposals that depart from stated requirements. suchproposalsshallclearly identifywhy the acceptance of the proposal would be advantageous to',
32639:'the government. any deviations from the terms and conditions of the solicitation, as well as the comparative advantage to the',
32640:'government, shall be clearly identified and explicitly defined. the government reserves the right to amend the solicitation to allow all',
32641:'offerors an opportunity tosubmit revised proposals based on the revised requirements. 52.2152 audit and recordsnegotiation. as prescribed in 15.209b, insert',
32642:'the following clause: audit and recordsnegotiation jun 2020 a as used in this clause, records includes books, documents, accounting procedures',
32643:'and practices, and other data, regardless of type and regardless of whether such items are in written form, in the',
32644:'form of computer data, or in any other form. b examination of costs. ifthisis a costreimbursement,incentive, timeandmaterials, laborhour, orprice redeterminable',
32645:'contract, or any combination of these, thecontractor shall maintain and the contracting officer, or anauthorized representative of the contracting officer,',
32646:'shall have the right toexamine and audit allrecordsandotherevidence sufficient to reflect properly all costs claimed to have been incurred or',
32647:'anticipated to be incurred directly or indirectly in performance of this contract. this right of examination shall include inspection at',
32648:'all reasonabletimes of the contractor’s plants, or parts of them, engaged in performing the contract. 52.2125 52.2152 federal acquisition regulation',
32649:'c certified cost or pricing data. if the contractor has been required to submit certified cost or pricing data in',
32650:'connection with any pricing action relating to thiscontract, the contractingofficer, or an authorizedrepresentative of the contracting officer, in order to',
32651:'evaluate theaccuracy,completeness,and currency of thecertifiedcost or pricing data,shallhavethe right to examine andaudit all of the contractor’s records, including computations andprojections,',
32652:'related to 1 the proposal for the contract, subcontract, or modification; 2 the discussions conducted on the proposals, including those',
32653:'related to negotiating; 3 pricing of the contract, subcontract, or modification; or 4 performance of the contract, subcontract or modification.',
32654:'d comptroller general. 1 the comptroller general of the united states, or an authorized representative, shall have access to and',
32655:'theright to examine any of the contractor’s directly pertinent records involving transactions relatedto this contract or a subcontract hereunder and',
32656:'to interview any current employee regarding such transactions. 2 this paragraph may not be construed to require the contractor or',
32657:'subcontractor to create or maintain any record that thecontractor or subcontractor does not maintain in theordinarycourse of business or pursuant',
32658:'toa provision of law. e reports. if the contractor is required to furnish cost, funding, orperformance reports, the contracting officer',
32659:'or an authorized representative of thecontracting officer shall have theright to examine and audit the supporting records and materials, for',
32660:'the purpose of evaluating 1 the effectiveness of the contractor’s policies and procedures to produce data compatible with the objectivesof',
32661:'these reports; and 2 the data reported. f availability. the contractorshallmakeavailable atits office at all reasonable times the records, materials,',
32662:'and other evidence described in paragraphs a, b, c, d, and e of this clause, for examination, audit, or reproduction,',
32663:'until 3 years after final payment under this contract or for any shorter period specified in subpart 4.7, contractor records',
32664:'retention, of thefederal acquisition regulation far, or for any longer period required by statute orby other clauses of this contract.',
32665:'in addition 1 if this contract is completely or partially terminated, the contractor shall make available the records relating to',
32666:'the work terminated until 3 years after any resulting final termination settlement; and 2 the contractor shall make available records',
32667:'relating to appeals under the disputes clause or to litigation or the settlement of claims arising under or relating to',
32668:'this contract until such appeals, litigation, or claims are finally resolved. g the contractor shall insert a clause containing all',
32669:'the terms of this clause, including this paragraph g, in all subcontracts underthis contractthat exceed the simplified acquisition threshold, asdefined',
32670:'in far 2.101 on the date of subcontract award, and— 1 that are costreimbursement, incentive, timeandmaterials,laborhour, or priceredeterminable type or',
32671:'any combination of these; 2 for which certified cost or pricing data are required; or 3 that require the subcontractor',
32672:'to furnish reports as discussed in paragraph e of this clause. the clause may be altered only as necessary to',
32673:'identify properly the contracting parties and the contractingofficer under the government prime contract. end of clause alternate i mar 2009.',
32674:'as prescribed in 15.209 b2, substitute the following paragraphs d1 and g for paragraphs d1 and g of the basic',
32675:'clause: d comptroller general or inspector general. 1 the comptroller general of the united states, an appropriate inspector general appointed',
32676:'under section 3 or 8g of the inspector general act of 1978 5 u.s.c. app., or an authorized representative of',
32677:'either of the foregoingofficials, shall have access to and the right to iexamine any ofthe contractor’sor any subcontractor’srecords that pertain',
32678:'toandinvolve transactionsrelatingto this contract or a subcontract hereunder; and iiinterview anyofficer or employee regarding such transactions. g1 except as provided',
32679:'in paragraph g2 of this clause, the contractor shall insert a clause containing all the terms of this clause, including',
32680:'this paragraph g, in all subcontracts under this contract. the clause may be altered only as necessary to identify properly',
32681:'the contracting parties and the contracting officer under the government prime contract. 2 the authority of the inspector general under',
32682:'paragraph d1ii of this clause does not flow down to subcontracts. alternate ii aug 2016. as prescribed in 15.209b3, add',
32683:'the following paragraph h to the basic clause: 52.2126 subpart 52.2 text of provisions and clauses 52.2155 h the provisions',
32684:'of the omb uniform guidance at 2 cfr part 200, subpart f apply to this contract. alternate iii june1999. as',
32685:'prescribed in 15.209b4, delete paragraph d of the basic clause and redesignate the remaining paragraphsaccordingly, and substitute the following paragraph',
32686:'e for theredesignated paragraph e of the basic clause: e availability.the contractor shall make available at its officeat all reasonable',
32687:'times therecords, materials, and other evidence described in paragraphs a, b, c, and d of this clause, for examination, audit,',
32688:'or reproduction, until 3 years after final payment under this contract or for any shorter period specified in subpart 4.7,',
32689:'contractor records retention, of thefederal acquisition regulation far, or for any longer period required by statute orby other clauses of',
32690:'this contract. in addition 1 if this contract is completely or partially terminated, the contractor shall make available the records',
32691:'relating to the work terminated until 3 years after any resulting final termination settlement; and 2 the contractor shall make',
32692:'available records relating to appeals under the disputes clause or to litigation or the settlement of claims arising under or',
32693:'relating to this contract until such appeals, litigation, or claims are finally resolved. 52.2153 request for information or solicitation for',
32694:'planning purposes. as prescribed in 15.209c, insert the following provision: request for information or solicitation for planning purposes oct 1997',
32695:'a the government does not intend to award a contract on the basis of this solicitation or to otherwise pay',
32696:'for the information solicited except as an allowable cost under other contracts as provided in subsection 31.20518, bid and proposal',
32697:'costs, of the federal acquisition regulation. b although proposal and offeror are used in thisrequestforinformation, yourresponse will be treatedas information',
32698:'only. it shall not be used as a proposal. c this solicitation is issued for the purpose of: [state purpose].',
32699:'end of provision 52.2154 [reserved] 52.2155facsimile proposals. as prescribed in 15.209e, insert the following provision: facsimile proposals oct 1997 a',
32700:'definition. facsimile proposal, as used in this provision, means a proposal, revision or modification of a proposal, or withdrawal of',
32701:'a proposal that is transmitted to and received by the government via facsimile machine. b offerorsmay submit facsimile proposals as',
32702:'responses tothissolicitation. facsimile proposals are subject to thesame rules as paper proposals. c the telephone number of receiving facsimile equipment',
32703:'is: [insert telephone number]. d if anyportion of a facsimile proposal received by the contractingofficer isunreadableto thedegree that conformance to',
32704:'the essential requirements of the solicitation cannot be ascertained from the document 1 the contracting officer immediatelyshallnotify the offeror andpermitthe',
32705:'offeror to resubmit the proposal; 2 the method and time for resubmission shall be prescribed by the contractingofficer after consultation',
32706:'with the offeror; and 3 the resubmission shall be considered as if it were received at the date and time',
32707:'of the original unreadable submission for the purpose of determining timeliness, provided the offeror complieswith the timeand format requirements for',
32708:'resubmission prescribed by the contractingofficer. e thegovernment reserves the right to makeaward solely onthe facsimile proposal. however, ifrequested to do',
32709:'so by thecontracting officer,the apparently successful offeror promptly shall submitthe complete originalsigned proposal. end of provision 52.2127 52.2156 federal acquisition',
32710:'regulation 52.2156 place of performance. as prescribed in 15.209f, insert the following provision: place of performance oct 1997 a theofferor',
32711:'or respondent,in theperformance of any contract resulting from this solicitation, □ intends, □ does not intend [check applicable block] touse',
32712:'oneor more plants orfacilities located at a different address from the address of the offeror or respondent as indicated in',
32713:'this proposalor response torequest for information. b if the offeroror respondent checks intends in paragraph a ofthisprovision, it shall insert',
32714:'in the following spaces the required information: place of performance street address, city, state, county, zip code name andplant or',
32715:'fac address of owner and operator of the ility if other than offeror or respondent end of provision 52.2157 [reserved]',
32716:'52.2158order of precedenceuniform contract format. as prescribed in 15.209h, insert the following clause: order of precedenceuniform contract format oct 1997',
32717:'any inconsistency in this solicitation or contract shall be resolved by giving precedence in the following order: a the schedule',
32718:'excluding the specifications. b representations and other instructions. c contract clauses. d other documents, exhibits, and attachments. e the specifications.',
32719:'end of clause 52.2159changes or additions tomakeorbuy program. as prescribed in 15.408a, insert the following clause: changes or additions to',
32720:'makeorbuy program oct 1997 a the contractor shall perform in accordance with the makeorbuy program incorporated in this contract. if',
32721:'the contractor proposes to change the program, the contractor shall, reasonably in advance of the proposed change, 1 notify the',
32722:'contracting officerin writing, and 2 submit justification in sufficientdetail to permit evaluation. changes in the place of performance of any',
32723:'make items in the program are subject to this requirement. b for items deferred at the time of negotiation of',
32724:'this contract for later addition to the program, the contractor shall, at the earliest possible time 1 notify the contracting',
32725:'officer ofeach proposed addition; and 2 provide justification in sufficientdetail to permit evaluation. c modification of themakeorbuyprogramto incorporate proposed changes',
32726:'oradditions shall be effective upon the contractor’sreceipt of thecontracting officer’s written approval. end of clause alternate i oct 2010. as',
32727:'prescribed in 15.408 a1 add the following paragraph d to the basic clause: 52.2128 subpart 52.2 text of provisions and',
32728:'clauses 52.21510 d if the contractor desires to reverse the categorization of make or buy for any item or items',
32729:'designated in the contract as subject to this paragraph, it shall 1supportitsproposalwithcertifiedcostorpricingdatainaccordancewithfar 15.408, table 151 when required by far 15.403,',
32730:'and data other than certified cost or pricing data, to permit evaluation; and 2 afterapproval is granted, promptlynegotiate with the',
32731:'contractingofficer an equitablereduction in the contract price in accordance with paragraphkof the incentive pricerevisionfirm target clauseor paragraphm of the incentive',
32732:'price revisionsuccessive targets clause of this contract. alternate ii oct 2010. as prescribed in 15.408a2, add the following paragraph d',
32733:'to the basic clause: d if the contractor desires to reverse the categorization of make or buy for any item',
32734:'or items designated in the contract as subject to this paragraph, it shall 1supportitsproposalwithcertifiedcostorpricingdatainaccordancewithfar 15.408, table 151, when required by',
32735:'far 15.403, and data other than certified cost or pricing data, to permit evaluation; and 2 afterapproval is granted, promptlynegotiate',
32736:'with the contractingofficer an equitablereduction in the contracts total estimated cost and fee in accordance with paragraph e of the',
32737:'incentive fee clause of this contract. 52.21510 price reduction for defective certified cost or pricing data. as prescribed in 15.408b,',
32738:'insert the following clause: price reduction for defective certified cost or pricing data aug 2011 a if any price, including',
32739:'profit or fee, negotiated in connection with this contract, or any cost reimbursable under this contract, was increased by any',
32740:'significant amount because— 1 the contractor or a subcontractor furnished certified cost or pricing data that were not complete, accurate,',
32741:'and current as certified in its certificate of current cost or pricing data; 2 a subcontractor or prospective subcontractor furnished',
32742:'the contractor certified cost or pricing data that were not complete, accurate,andcurrent as certified in the contractor’s certificate of current',
32743:'cost or pricing data; or 3 any of these parties furnished data of any description that were not accurate, the',
32744:'price or cost shall be reduced accordingly and the contract shall be modified to reflect the reduction. b any reduction',
32745:'in the contract price under paragraph a of this clause due to defective data from a prospective subcontractor that was',
32746:'not subsequently awarded the subcontract shall be limited to the amount, plus applicable overhead and profit markup, by which1the actual',
32747:'subcontract or 2 the actual cost to the contractor,if there was no subcontract, was less than the prospective subcontract cost',
32748:'estimate submitted by the contractor; provided, that the actual subcontract price was not itself affected by defective certified cost or',
32749:'pricing data. c 1ifthecontractingofficerdeterminesunderparagraphaofthisclausethatapriceorcostreductionshouldbe made, the contractor agrees not to raise the following matters as a defense: ithe contractoror subcontractor',
32750:'was a sole source supplier or otherwise was in asuperior bargaining position and thus the price of the contract would',
32751:'not have been modified even if accurate, complete, and current certified cost or pricing data had been submitted. iithe contracting',
32752:'officer should have known thatthe certified cost or pricing data in issue were defectiveeven though the contractor or subcontractor took',
32753:'no affirmative action to bring the characterof the data to the attention of the contracting officer. iii the contract was',
32754:'based on an agreement about the total cost of the contract and there was no agreement about the cost of',
32755:'each item procured under the contract. iv the contractor or subcontractor did not submit a certificate of current cost or',
32756:'pricing data. 2 iexceptasprohibitedbysubdivisionc2iiofthisclause,anoffsetinanamountdeterminedappropriateby thecontracting officer basedupon thefacts shall be allowed against the amount of a contract price reduction if',
32757:'athe contractor certifies to thecontracting officer that, to thebest of the contractor’s knowledge and belief, thecontractor is entitled to the',
32758:'offset in the amount requested; and b the contractor proves that the certified cost or pricing data were available before',
32759:'the as of date specified on its certificate of current cost or pricing data, and that the data were not',
32760:'submitted before such date. iian offset shall not be allowed if— a the understated data were known by the contractor',
32761:'to be understated before the as of date specified on its certificate of current cost or pricing data; or 52.2129',
32762:'52.21511 federal acquisition regulation b the government proves that the facts demonstrate that the contract price would not have increased',
32763:'in the amount to be offsetevenif the available data had been submittedbefore the as of date specifiedon its certificate of',
32764:'current cost or pricing data. d if any reduction in the contract price under this clause reduces the price of',
32765:'items for which payment was made prior to the date of the modification reflecting the price reduction, the contractor shall',
32766:'be liable to and shall pay the united states at the time such overpayment is repaid 1 interestcompoundeddaily, asrequired by',
32767:'26 u.s.c.6622, on the amount of such overpayment to be computed from the dates of overpayment to the contractor to',
32768:'the date the government is repaid by the contractor at the applicable underpayment rate effective for each quarter prescribedby the',
32769:'secretary ofthe treasury under 26 u.s.c. 6621a2; and 2 a penalty equal to the amount of the overpayment, if the',
32770:'contractor or subcontractor knowingly submitted certified cost or pricing data that were incomplete, inaccurate, or noncurrent. end of clause 52.21511',
32771:'price reduction for defective certified cost or pricing datamodifications. as prescribed in 15.408c, insert the following clause: price reduction for',
32772:'defective certified cost or pricing datamodifications jun 2020 a this clause shall become operative only for any modification to this',
32773:'contract involving a pricing adjustment expected to exceedthe threshold for submission of certified costor pricingdata infederal acquisition regulation far 15.4034a',
32774:'1 on the date of execution of the modification, except that this clause does not apply to any modification if',
32775:'an exception underfar 15.4031b applies. b if any price, including profit or fee, negotiated in connection with any modification under',
32776:'this clause, or any cost reimbursable under this contract, was increased by any significant amount because 1 the contractor or',
32777:'a subcontractor furnished certified cost or pricing data that were not complete, accurate, and current as certified in its certificate',
32778:'of current cost or pricing data, 2a subcontractor or prospective subcontractor furnished the contractor certified cost or pricing data that',
32779:'were notcomplete, accurate, and currentas certified in the contractor’s certificate of currentcost or pricing data, or 3 any of these',
32780:'parties furnished data of any description that were not accurate, the price or cost shall be reduced accordingly and the',
32781:'contract shall be modified to reflect the reduction. this right to a price reduction is limited to that resulting from',
32782:'defects in data relating to modifications for which this clause becomes operative under paragraph a of this clause. c any',
32783:'reduction in the contract price under paragraph b of this clause due to defective data from a prospective subcontractor that',
32784:'was not subsequently awarded the subcontract shall be limited to the amount, plus applicable overhead and profit markup, by which1the',
32785:'actual subcontract or 2 the actual cost to the contractor,if there was no subcontract, was less than the prospective subcontract',
32786:'cost estimate submitted by the contractor; provided, that the actual subcontract price was not itself affected by defective certified cost',
32787:'or pricing data. d 1ifthecontractingofficerdeterminesunderparagraphbofthisclausethatapriceorcostreductionshouldbe made, the contractor agrees not to raise the following matters as a defense: ithe contractoror',
32788:'subcontractor was a sole source supplier or otherwise was in asuperior bargaining position and thus the price of the contract',
32789:'would not have been modified even if accurate, complete, and current certified cost or pricing data had been submitted. iithe',
32790:'contracting officer should have known thatthe certified cost or pricing data in issue were defectiveeven though the contractor or subcontractor',
32791:'took no affirmative action to bring the characterof the data to the attention of the contracting officer. iii the contract',
32792:'was based on an agreement about the total cost of the contract and there was no agreement about the cost',
32793:'of each item procured under the contract. iv the contractor or subcontractor did not submit a certificate of current cost',
32794:'or pricing data. 2 iexceptasprohibitedbyparagraphd2iiofthisclause,anoffsetinanamountdeterminedappropriatebythe contracting officerbased uponthe facts shall be allowed against the amount ofa contract price reductionif athe',
32795:'contractor certifies to thecontracting officer that, to thebest of the contractor’s knowledge and belief, thecontractor is entitled to the offset',
32796:'in the amount requested; and b the contractor proves that the certified cost or pricing data were available before the',
32797:'as of date specified on its certificate of current cost or pricing data, and that the data were not submitted',
32798:'before such date. 52.2130 subpart 52.2 text of provisions and clauses 52.21512 iian offset shall not be allowed if a',
32799:'the understated data were known by the contractor to be understated before the as of date specified on its certificate',
32800:'of current cost or pricing data; or b the government proves that the facts demonstrate that the contract price would',
32801:'not have increased in the amount to be offsetevenif the available data had been submittedbefore the as of date specifiedon',
32802:'its certificate of current cost or pricing data. e if any reduction in the contract price under this clause reduces',
32803:'the price of items for which payment was made prior to the date of the modification reflecting the price reduction,',
32804:'the contractor shall be liable to and shall pay the united states at the time such overpayment is repaid 1',
32805:'interestcompoundeddaily, asrequired by 26u.s.c.6622, on the amount of such overpayment to be computed from the dates of overpayment to the',
32806:'contractor to the date the government is repaid by the contractor at the applicable underpayment rate effective for each quarter',
32807:'prescribedby the secretary ofthe treasury under 26 u.s.c. 6621a2; and 2 a penalty equal to the amount of the overpayment,',
32808:'if the contractor or subcontractor knowingly submitted certified cost or pricing data that were incomplete, inaccurate, or noncurrent. end of',
32809:'clause 52.21512 subcontractor certified cost or pricing data. as prescribed in 15.408d1, insert the following clause: subcontractor certified cost or',
32810:'pricing data jun 2020 a before awarding any subcontract expected to exceed the threshold for submission of certified cost or',
32811:'pricing data in federalacquisition regulation far 15.4034a1, on the date of agreement on price or the date of award, whichever',
32812:'is later; or before pricing any subcontract modification involving a pricing adjustment expected to exceed the threshold for submission of',
32813:'certified cost or pricing data in far 15.4034a1, the contractor shall require the subcontractor to submit certified cost or pricing',
32814:'data actually orby specific identification in writing, in accordance with far 15.408, table 152to include any information reasonably required to',
32815:'explain the subcontractors estimating process such as the judgmental factors applied and the mathematical or other methods used in the',
32816:'estimate, including those used in projecting from known data, and the nature and amount of any contingencies included in the',
32817:'price, unless an exception under 15.4031b applies. if the threshold for submissionof certified cost or pricingdata specified in far 15.4034a1',
32818:'is adjusted for inflation as set forth in far 1.109a, then pursuant to far 1.109d the changed threshold applies throughout',
32819:'the remaining term of the contract, unless there is a subsequent threshold adjustment. b the contractor shall require the subcontractor',
32820:'to certify in substantially theform prescribed in far 15.4062 that, to the best of its knowledge and belief, the data',
32821:'submitted under paragraph a of this clause were accurate, complete, and current as of the date of agreement on the',
32822:'negotiated price of the subcontract or subcontract modification. c in each subcontract that, when entered into, exceeds the threshold for',
32823:'submission of certified cost or pricing data in far 15.4034a1, the contractor shall insert either— 1 the substance of this',
32824:'clause, including this paragraph c, if paragraph a of this clause requires submission of certified cost or pricing data for',
32825:'the subcontract; or 2 the substance of theclause at far 52.21513, subcontractor certified cost or pricing datamodifications. end of clause',
32826:'alternate i aug 2020. as prescribed in 15.408d2, substitute the following paragraph a in place of paragraph a of the',
32827:'basic clause: a unless an exception under far 15.4031 applies, the contractor shall require the subcontractor to submit certified cost',
32828:'or pricing data actually orby specific identification in writing, in accordance with far 15.408, table 152 to includeany information reasonably',
32829:'required to explain the subcontractors estimating process such as the judgmental factors applied and the mathematical or other methods used',
32830:'in the estimate, including those used in projecting from known data, and the nature and amount of any contingencies included',
32831:'in the price— 1 before modifying any subcontract that was awarded prior to july 1, 2018, involving a pricing adjustment',
32832:'expected to exceed $750,000; or 52.2131 52.21513 federal acquisition regulation 2 before awarding any subcontract expected to exceed $2 million',
32833:'on or after july 1, 2018, or modifying any subcontract that was awarded on or after july 1, 2018, involving',
32834:'a pricing adjustment expected to exceed $2 million. 52.21513 subcontractor certified cost or pricing datamodifications. as prescribed in 15.408e1, insert',
32835:'the following clause: subcontractor certified cost or pricing datamodifications jun 2020 a the requirements of paragraphs b and c of',
32836:'this clause shall— 1 become operative only for any modification to this contract involving a pricing adjustment expected to exceed',
32837:'the threshold for submissionof certified cost or pricingdata infederal acquisition regulation far 15.4034a1 on the date of execution of the',
32838:'modification; and 2 be limited to such modifications. b before awarding any subcontract expected to exceed the threshold for submission',
32839:'of certified cost or pricing data in far 15.4034a1, on the date of agreement on price or the date of',
32840:'award, whichever is later; or before pricing any subcontract modification involving a pricing adjustment expected to exceed the threshold for',
32841:'submission of certified cost or pricing data in far 15.4034a1, the contractor shall require the subcontractor to submit certified cost',
32842:'or pricing data actually or by specific identificationin writing, inaccordance withfar 15.408, table152 to include any information reasonably required to',
32843:'explain the subcontractors estimating process such as the judgmental factors applied and the mathematical or other methods used in the',
32844:'estimate, including those used in projecting from known data, and the nature and amount of any contingenciesincluded inthe price, unless',
32845:'an exception under far 15.4031b applies. if the threshold for submission of certified cost or pricing data specifiedin far 15.4034a1',
32846:'is adjusted for inflation as setforth in far 1.109a, then pursuantto far 1.109d the changed threshold applies throughout the remaining',
32847:'term of the contract, unless there is a subsequent threshold adjustment. c thecontractor shall require thesubcontractorto certify in substantially the',
32848:'formprescribed in far 15.4062 that, to the best of its knowledge and belief, the data submitted under paragraph b of',
32849:'this clause were accurate, complete, and current as of the date of agreement on the negotiated price of the subcontract',
32850:'or subcontract modification. d the contractor shall insert the substance of this clause, including this paragraph d, in each subcontract',
32851:'that exceeds thethreshold for submission of certified cost or pricing datain far 15.4034a1 on the date of agreement on price',
32852:'or the dateof award, whichever is later. end of clause alternate i aug 2020. as prescribed in 15.408 e2, substitute',
32853:'the following paragraphs a, b, and d for paragraphs a, b, and d of the basic clause: a the requirements',
32854:'of paragraphs b and c of this clause shall— 1 become operative only for any modification to this contract involving',
32855:'aggregate increases and/or decreases in costs, plus applicableprofits,expected to exceedthe threshold for submissionof certified cost or pricingdata at far 15.4034a',
32856:'1; and 2 be limited to such modifications. b unlessan exception under far 15.4031 applies, the contractor shall require the',
32857:'subcontractor to submit certified cost or pricing data actually orby specific identification in writing, in accordance with far 15.408, table',
32858:'152 to includeany information reasonably required to explain the subcontractors estimating process such as the judgmental factors applied and the',
32859:'mathematical or other methods used in the estimate, including those used in projecting from known data, and the nature and',
32860:'amount of any contingencies included in the price— 1 before modifying any subcontract that was awarded prior to july 1,',
32861:'2018, involving a pricing adjustment expected to exceed $750,000; or 2 before modifying any subcontract that was awarded on or',
32862:'after july 1, 2018, involving a pricing adjustment expected to exceed $2 million. d the contractor shall insert the substance',
32863:'of this clause, including this paragraph d, in each subcontract that exceeds $2 million. 52.2132 subpart 52.2 text of provisions',
32864:'and clauses 52.21516 52.21514 integrity of unit prices. as prescribed in 15.408f1, insert the following clause: integrity of unit prices',
32865:'nov 2021 a any proposal submitted for the negotiation of prices for items of supplies shall distribute costs within contracts',
32866:'on a basis that ensures that unit prices are in proportion to the items’ base cost e.g., manufacturing or acquisition',
32867:'costs. any method of distributing costs to line items that distorts unit prices shall not be used. for example, distributing',
32868:'costs equally among line items is not acceptable except when there is little or no variation in base cost. nothing',
32869:'in this paragraph requires submission of certified cost or pricing data not otherwise required by law or regulation. b when',
32870:'requestedby the contracting officer, the offeror/contractor shall also identifythose supplies thatitwill not manufacture or to which it will not contribute',
32871:'significant value. c the contractor shall insert the substance of this clause, less paragraph b of this clause, in all',
32872:'subcontracts for other than: acquisitions at or below the simplified acquisition threshold, as defined in federal acquisition regulation far 2.101',
32873:'onthedateofsubcontractaward;constructionorarchitectengineerservicesunderfar part 36;utilityservicesunderfar part 41; services where supplies are not required; commercial products and commercial services; and petroleum products. end',
32874:'of clause alternate i oct 1997. as prescribed in 15.408f2, substitute the following paragraph b for paragraph b of the',
32875:'basic clause: b the offeror/contractorshallalso identify those suppliesthat it will notmanufacture or to whichitwill not contribute significant value. 52.21515 pension',
32876:'adjustments and asset reversions. as prescribed in 15.408g, insert the following clause: pension adjustments and asset reversions oct 2010 a',
32877:'thecontractor shall promptlynotify the contracting officer in writing whenitdeterminesthat it will terminate a definedbenefit pension plan or otherwise recapture such',
32878:'pension fund assets. b for segment closings, pension plan terminations, or curtailment of benefits, the amount of the adjustment shall',
32879:'be 1 for contracts and subcontracts that are subject to full coverage under the cost accounting standards cas board rules',
32880:'and regulations 48 cfr chapter 99, the amount measured, assigned, and allocated in accordance with 48 cfr 9904.41350c12 ; and',
32881:'2 for contracts and subcontracts that are not subject to full coverage under the cas, the amount measured, assigned, and',
32882:'allocated in accordance with 48 cfr 9904.41350c12, except the numerator of the fraction at 48 cfr 9904.41350c12 vi shall be',
32883:'the sum of the pension plan costs allocated to all noncas covered contracts and subcontracts that are subject to federal',
32884:'acquisition regulation far subpart 31.2 or for which certified cost or pricing data were submitted. c for all other situations',
32885:'where assets revert to the contractor, orsuch assets are constructively receivedby it for any reason, thecontractor shall, at thegovernment’s option,',
32886:'make arefund or give a credit to the government for its equitable shareof the gross amount withdrawn. the government’s equitable',
32887:'share shall reflect thegovernment’s participationin pension costs through those contracts for whichcertifiedcost or pricing data were submittedor that are subject',
32888:'to far subpart 31.2. d the contractor shall include the substance of this clause in all subcontracts under this contract',
32889:'that meet the applicability requirement of far 15.408g. end of clause 52.21516 facilities capital cost ofmoney. as prescribed in 15.408h,',
32890:'insert the following provision: 52.2133 52.21517 federal acquisition regulation facilities capital cost of money june 2003 a facilities capital cost',
32891:'of money will be an allowable cost under the contemplated contract, if the criteria for allowability in far 31.20510b are',
32892:'met. one of the allowability criteria requires the prospective contractor to propose facilities capital cost of money in its offer.',
32893:'b if the prospectivecontractor does not propose this cost,the resulting contract will include theclause waiver of facilities capital cost of',
32894:'money. end of provision 52.21517 waiver of facilities capitalcost ofmoney. as prescribed in 15.408i, insert the following clause: waiver of',
32895:'facilities capital cost of money oct 1997 the contractor did not include facilities capital cost of money as a proposed',
32896:'cost of this contract. therefore, it is an unallowable cost under this contract. end of clause 52.21518 reversion oradjustmentof plans',
32897:'for postretirementbenefits prb other than pensions. as prescribed in 15.408j, insert the following clause: reversion or adjustment of plans for',
32898:'postretirement benefits prb other than pensions july 2005 a thecontractor shall promptlynotify the contracting officer in writing whenthe contractor determines',
32899:'that it will terminate or reduce the benefits of a prb plan. b if prbfund assets revert or inure to',
32900:'the contractor, or are constructively received byitunder a plan termination or otherwise, the contractor shall make a refund or give',
32901:'a credit to the government for its equitable share as required by 31.2056o5 of thefederal acquisition regulation far. when determining',
32902:'or agreeing on themethod for recovery of thegovernment’s equitable share, the contracting parties should consider the following methods: cost reduction,',
32903:'amortizing the credit over a number of years with appropriate interest, cash refund, or some other agreed upon method. should',
32904:'the parties be unable toagreeon the method for recovery of thegovernment’s equitable share, through good faith negotiations, thecontracting officer shall',
32905:'designate the method ofrecovery. c the contractor shall insert the substance of this clause in all subcontracts that meet the',
32906:'applicability requirements of far 15.408j. end of clause 52.21519 notification of ownership changes. as prescribed in 15.408k, insert the following',
32907:'clause: notification of ownership changes oct 1997 a the contractor shall make the following notifications in writing: 1 when the',
32908:'contractor becomes aware that a changein itsownership has occurred, or is certain tooccur, that could result in changes in the',
32909:'valuation of its capitalized assets in the accounting records, the contractor shall notify the administrative contracting officer aco within30 days.',
32910:'2 the contractor shall also notify the aco within 30 days whenever changes to asset valuations or any other cost',
32911:'changes have occurred or are certain to occur as a result of a change in ownership. b the contractor shall',
32912:'1 maintain current, accurate, and complete inventory records of assets and their costs; 2 provide the aco or designated representative',
32913:'ready access to the records upon request; 52.2134 subpart 52.2 text of provisions and clauses 52.21520 3 ensure that all',
32914:'individual and grouped assets, their capitalized values, accumulated depreciation or amortization, and remaininguseful lives are identified accurately before and aftereach',
32915:'of thecontractor’s ownership changes; and 4 retain and continue to maintain depreciation and amortization schedules based on the asset records',
32916:'maintained before each contractor ownership change. c the contractor shall include the substance of this clause in all subcontracts under',
32917:'this contract that meet the applicability requirement of far 15.408k. end of clause 52.21520 requirements for certified cost or pricing',
32918:'data and data other than certified cost or pricing data. as prescribed in 15.408l, insert the following provision: requirements for',
32919:'certified cost or pricing data and data other than certified cost or pricing data nov 2021 a exceptions from certified',
32920:'cost or pricing data. 1 in lieu of submitting certified cost or pricing data, offerors may submit a written request',
32921:'for exception by submitting the information described in the following paragraphs.the contracting officer may requireadditional supporting information, but only to',
32922:'the extentnecessary todetermine whether anexception should be granted, and whether the price is fair and reasonable. i identification of the',
32923:'law or regulation establishing the price offered. if the price is controlled under law by periodic rulings, reviews, orsimilar actions',
32924:'of a governmentalbody,attach a copyof the controlling document, unless it was previouslysubmitted to the contracting office. ii commercial product and',
32925:'commercial service exception. for a commercial product and commercial service exception, the offeror shall submit, ata minimum, information on prices',
32926:'at whichthe same itemor similar items have previously been sold in the commercial market that is adequate for evaluating the',
32927:'reasonableness of the price for this acquisition. such information may include a for catalog items, a copy of or identification',
32928:'of the catalog and its date, or the appropriate pages for the offered items, or a statement that thecatalogis on',
32929:'file in the buying officeto which the proposalis being submitted. provide a copy or describe current discount policies and price',
32930:'lists published or unpublished, e.g., wholesale, original equipment manufacturer, or reseller. alsoexplain the basis of each offered priceand its relationship',
32931:'tothe established catalog price, including how the proposed price relates to the price of recent sales in quantities similar to',
32932:'the proposed quantities; b for marketpriced items, the source and date or period of the market quotation or other basis',
32933:'for market price, the base amount, and applicable discounts. in addition, describe the nature of the market; c foritemsincluded on',
32934:'an active federalsupply service multiple award schedule contract, proof that an exception has been granted for the schedule item. 2',
32935:'the offeror grants the contractingofficer oran authorized representative the right to examine, at any time before award, books, records, documents,',
32936:'or other directly pertinent records to verify any request for an exception under this provision, and the reasonableness of price.',
32937:'for items priced using catalog or market prices, or law or regulation, access does not extend to costor profit informationor',
32938:'other data relevant solely to the offeror’s determination of the prices to be offered in the catalog or marketplace. b',
32939:'requirements for certified cost or pricing data.if the offeror is notgranted an exception fromthe requirement to submit certified cost or',
32940:'pricing data, the following applies: 1 the offeror shall prepare and submit certified cost or pricing data, data other thancertifiedcost',
32941:'or pricing data,and supporting attachments in accordance with the instructions contained in table 151 offar 15.408, which is incorporated byreferencewiththesameforceandeffectasthoughitwereinsertedhereinfulltext.',
32942:'theinstructionsin table 151 are incorporated as amandatoryformat to be used in this contract, unless thecontracting officer and the contractoragreeto a',
32943:'different format and change thisclause to use alternate i. 2 as soon as practicable after agreement on price, but before',
32944:'contract award except for unpriced actions such as letter contracts, the offeror shall submita certificate of currentcost or pricingdata, asprescribed',
32945:'by far 15.4062. end of provision 52.2135 52.21521 federal acquisition regulation alternate i oct 2010. as prescribed in 15.408l and',
32946:'see 15.4035b1, substitute the following paragraph b1 for paragraph b1 of the basic provision: b1 theofferor shall submitcertifiedcostor pricing data,',
32947:'data other than certified cost or pricing data, and supporting attachments in the following format: [insert description of the data',
32948:'and format that are required, and include access to records necessary to permit an adequate evaluation of the proposed price',
32949:'in accordance with 15.408, table 151, note 2. the description may be inserted at the time of issuing the solicitation,',
32950:'or the contracting officer may specify that the offeror’s format will be acceptable, or the description may be inserted as',
32951:'the result of negotiations.] alternate ii oct 1997. as prescribed in 15.408l, add the following paragraph c to the basic',
32952:'provision: c when theproposal issubmitted,also submit one copy each to: 1 the administrative contracting officer, and 2 the contractauditor. alternate',
32953:'iii oct 1997. as prescribed in 15.408 l, add the following paragraph c to the basic provision if alternate ii',
32954:'is also used, redesignate the following paragraph as paragraph d. c submit the cost portion of the proposal via the',
32955:'following electronic media: [insert media format, e.g.,electronic spreadsheet format, electronic mail, etc.] alternate iv oct 2010. as prescribed in 15.408l,',
32956:'replace the text of the basic provision with the following: a submission of certified cost or pricing data is not',
32957:'required. b provide data described below: [insert description of the data and the format that are required, including the access',
32958:'to records necessary to permit an adequate evaluation of the proposed price in accordance with 15.4033 .] 52.21521 requirements for',
32959:'certified cost or pricing data and data other than certified cost or pricing data modifications. as prescribed in 15.408m, insert',
32960:'the following clause: requirements for certified cost or pricing data and data other than certified cost or pricing datamodifications nov',
32961:'2021 a exceptions from certified cost or pricing data. 1 in lieu of submitting certified cost or pricing data for',
32962:'modifications underthis contract, for priceadjustments expectedto exceed thethreshold setforth in federal acquisitionregulation far 15.4034a1 on the date of the agreement',
32963:'onprice or the date of theaward, whichever islater, the contractor may submit a written request for exception by submitting the',
32964:'information described in paragraphs a1i and ii of this clause. if the threshold for submissionof certified cost or pricingdata specified',
32965:'in far 15.4034a1 is adjusted for inflation as set forth in far 1.109a, then pursuant to far 1.109d the changed',
32966:'threshold applies throughout the remaining term of the contract, unless there isa subsequent threshold adjustment. the contracting officer may require',
32967:'additional supporting information, but only to the extent necessary to determine whether an exception should be granted, and whether the',
32968:'price is fair and reasonable— i identification of the law or regulation establishing the price offered. if the price is',
32969:'controlled under law by periodic rulings, reviews, orsimilar actions of a governmentalbody,attach a copyof the controlling document, unless it was',
32970:'previouslysubmitted to the contracting office. ii information on modifications of contracts or subcontracts for commercial products or commercial services. a',
32971:'if— 1 the original contract or subcontract was granted an exception from certified cost or pricing data requirements because the',
32972:'price agreed upon was based on adequate price competition or prices set by law or regulation, or was a contract',
32973:'or subcontract for the acquisition of a commercial product or commercial service; and 2 the modification to the contract or',
32974:'subcontract is not exempted based on one of these exceptions, then the contractor may provide information to establish that the',
32975:'modification would not change the contract or subcontract from a contract or subcontract for the acquisition of a commercial product',
32976:'or commercial service, to a contract or subcontract for the acquisition of other than a commercial product or commercial service.',
32977:'b for a commercial product and commercial service exception, the contractor shall provide, at a minimum, information on prices at',
32978:'which the same item or similar items have previously been sold that is adequate for evaluating the reasonableness of the',
32979:'price of the modification. such information may include 1 for catalog items, a copy of or identification of the catalog',
32980:'and its date, or the appropriate pages for the offered items, or a statement that thecatalogis on file in the',
32981:'buying officeto which the proposalis being submitted. provide 52.2136 subpart 52.2 text of provisions and clauses 52.21522 a copy or',
32982:'describe current discount policies and price lists published or unpublished, e.g., wholesale, original equipment manufacturer, or reseller. alsoexplain the basis',
32983:'of each offered priceand its relationship tothe established catalog price, including how the proposed price relates to the price of',
32984:'recent sales in quantities similar to the proposed quantities. 2 for marketpriced items, the source and date or period of',
32985:'the market quotation or other basis for market price, the base amount, and applicable discounts. in addition, describe the nature',
32986:'of the market. 3 for items included on an active federal supplyservice multipleaward schedule contract, proof that an exception has',
32987:'been granted for the schedule item. 2 the contractor grantsthe contracting officeror an authorized representative the rightto examine, atanytime before',
32988:'award, books, records, documents, or other directly pertinent records to verify any request for an exception under this clause, and',
32989:'the reasonableness of price. for items priced using catalog or market prices, or law or regulation, access does not extend',
32990:'to cost orprofit information orotherdata relevant solely to thecontractor’s determination of the prices to be offered in the catalog or',
32991:'marketplace. b requirements for certified cost or pricing data. if the contractor is not granted an exception from the requirement',
32992:'to submit certified cost or pricing data, the following applies: 1 the contractor shall submit certified cost or pricing data,',
32993:'data other than certified cost or pricing data, and supporting attachments in accordance with the instructions contained in table 151',
32994:'offar 15.408, which is incorporated byreferencewiththesameforceandeffectasthoughitwereinsertedhereinfulltext. theinstructionsin table 151 are incorporated as amandatoryformat to be used in this contract, unless',
32995:'thecontracting officer and the contractoragreeto a different format and change thisclause to use alternate i. 2 as soon as practicable',
32996:'after agreement on price, but before award except for unpriced actions, the contractor shall submita certificate of currentcost or pricing',
32997:'data, asprescribed by far 15.4062. end of clause alternate i oct 2010. as prescribed in 15.408m and 15.4035b1, substitute the',
32998:'following paragraph b1 for paragraph b1 of the basic clause. b1 the contractor shall submit certified cost or pricing data,',
32999:'data other than certified cost or pricing data, and supporting attachments prepared in the following format: [insert description of the',
33000:'data and format that are required and include access to records necessary to permit an adequate evaluation of the proposed',
33001:'price in accordance with 15.408, table 151, note 2. the description may be inserted at the time of issuing the',
33002:'solicitation, or the contracting officer may specify that the offerors format will be acceptable, or the description may be inserted',
33003:'as the result of negotiations. ]: alternate ii oct 1997. as prescribed in 15.408m, add the following paragraph c to',
33004:'the basic clause: c when theproposal issubmitted,also submit one copy each to: 1 the administrative contracting officer, and 2 the',
33005:'contractauditor. alternate iii oct 1997. as prescribed in 15.408m, add the following paragraph c to the basic clause if alternate',
33006:'ii is also used, redesignate the following paragraph as paragraph d: c submit the cost portion of the proposal via',
33007:'the following electronic media: [insert media format] alternate iv oct 2010. as prescribed in 15.408m, replace the text of the',
33008:'basic clause with the following: a submission of certified cost or pricing data is not required. b provide data described',
33009:'below: [insert description of the data and the format that are required, including the access to records necessary to permit',
33010:'an adequate evaluation of the proposed price in accordance with 15.4033 .] 52.21522 limitations onpassthrough chargesidentificationof subcontracteffort. as prescribed in',
33011:'15.408n1, use the following provision: limitations on passthrough chargesidentification of subcontract effort oct 2009 a definitions. added value, excessivepassthrough charge,',
33012:'subcontract, and subcontractor, as used in this provision, are definedin the clause of this solicitation entitled limitations on passthrough charges',
33013:'far 52.21523. b general.the offeror’s proposal shall exclude excessive passthrough charges. 52.2137 52.21523 federal acquisition regulation cperformanceofworkbythecontractororasubcontractor. 1theofferorshallidentifyinitsproposalthetotalcost of the',
33014:'work tobe performedby the offeror, and the totalcostof the work to be performed by each subcontractor, under the contract, task',
33015:'order, or deliveryorder. 2 if the offerorintends to subcontract more than 70 percent of the total cost ofwork to be',
33016:'performed under the contract, task order, or deliveryorder, the offeror shall identifyin itsproposal ithe amount ofthe offeror’s indirect costs and',
33017:'profit/fee applicable tothe work to be performed by the subcontractors; and iiadescription ofthe added value provided by the offeror as',
33018:'related to the workto beperformed by the subcontractors. 3 if anysubcontractorproposed under the contract, task order, or delivery order intends',
33019:'to subcontract to a lowertier subcontractor more than 70 percent of the totalcost of work to be performed under its',
33020:'subcontract, the offeror shall identify in its proposal ithe amount ofthe subcontractor’s indirect costs and profit/fee applicable to theworkto beperformed',
33021:'by the lowertier subcontractors; and ii a description of the added value provided by the subcontractor as related to the',
33022:'work to be performed by the lowertier subcontractors. end of provision 52.21523 limitations onpassthrough charges. as prescribed in 15.408n2, use',
33023:'the following clause: limitations on passthrough charges jun 2020 a definitions. as used in this clause added value means that',
33024:'the contractor performs subcontract management functions that the contracting officer determines are a benefit to the government e.g., processing orders',
33025:'of parts or services, maintaining inventory, reducing delivery lead times, managing multiple sources for contract requirements, coordinating deliveries, performing quality',
33026:'assurance functions. excessive passthrough charge, with respect to a contractor or subcontractor that adds no or negligible value to a',
33027:'contract or subcontract, means a charge to the government bythe contractor or subcontractor that is for indirect costs orprofit/fee on',
33028:'work performed by a subcontractor otherthan charges for the costs of managingsubcontractsand any applicableindirect costs and associated profit/fee based on',
33029:'such costs. no or negligible value means the contractoror subcontractor cannotdemonstrate to the contracting officer that its effort added value',
33030:'to the contract or subcontract in accomplishing the work performed under the contract including task or delivery orders. subcontract means',
33031:'any contract,as defined in federal acquisitionregulation far2.101, entered into by a subcontractor to furnish supplies or services for performance of',
33032:'the contract or a subcontract. it includes but is not limited to purchase orders, and changes and modifications to purchase',
33033:'orders. subcontractor, as defined infar 44.101, meansanysupplier, distributor, vendor, or firmthat furnishes supplies or services toor for aprimecontractor or another',
33034:'subcontractor. b general.the government will not payexcessive passthrough charges. the contracting officershalldetermine if excessive passthrough chargesexist. c reporting. required reporting',
33035:'of performance of work by the contractor or a subcontractor. the contractor shall notify thecontracting officer in writing if 1',
33036:'the contractor changes the amount ofsubcontract effort afteraward such that it exceeds 70 percent of the totalcost of work to',
33037:'be performed underthe contract, task order, or deliveryorder. the notification shall identify the revised costof the subcontract effort and shall',
33038:'include verification that the contractor will provide added value;or 2 any subcontractor changes the amountof lowertier subcontractor effort after awardsuch',
33039:'thatitexceeds 70 percent of the total cost of the work to be performed under its subcontract. the notification shall identify',
33040:'the revised cost of the subcontract effort and shall include verification that the subcontractor willprovide addedvalueas related tothe work to',
33041:'be performed by the lowertier subcontractors. 52.2138 subpart 52.2 text of provisions and clauses 52.21523 d recovery of excessive passthrough',
33042:'charges. if the contracting officer determines that excessive passthrough charges exist; 1 for otherthan fixedprice contracts, the excessive passthrough charges',
33043:'are unallowable inaccordancewith the provisions infar subpart 31.2; and 2 for applicable dod fixedprice contracts, as identified in 15.408n2ib, the',
33044:'government shall be entitled to a price reductionforthe amountof excessivepassthrough charges included in the contract price. e access to records.',
33045:'1 the contracting officer, orauthorized representative, shall have the right to examine and audit all thecontractor’s records as defined at',
33046:'far 52.2152a necessary to determine whether the contractor proposed, billed, or claimedexcessive passthrough charges. 2 for those subcontracts to which',
33047:'paragraph f of this clause applies,the contracting officer, or authorized representative,shallhavethe right to examine andaudit all the subcontractor’s records as',
33048:'defined at far 52.2152a necessaryto determine whether the subcontractor proposed, billed, or claimed excessivepassthrough charges. f subcontracts. the contractor shall',
33049:'insert the substance of this clause, including this paragraph f, in all cost reimbursement subcontracts under this contract that exceed',
33050:'thesimplified acquisition threshold,as defined in far 2.101 on the date of subcontract award, except if the contract is with dod,',
33051:'then insert in all costreimbursement subcontracts and fixedprice subcontracts, except thoseidentified in far 15.408n2ib2, that exceed the threshold for obtaining',
33052:'cost or pricing data in far 15.4034 on the date of subcontract award. end of clause alternate i oct 2009.',
33053:'as prescribed in 15.408n2iii, substitute the following paragraph b for paragraph b of the basic clause: b general.the government will',
33054:'not payexcessive passthrough charges. the contracting officerhas determined that there willbe no excessive passthrough charges, provided the contractor performs the',
33055:'disclosed valueadded functions. 52.2139 this page intentionally left blank. 52.2140 subpart 52.2 text of provisions and clauses 52.2163 52.216[reserved] 52.2161typeof',
33056:'contract. as prescribed in 16.105, complete and insert the following provision: type of contract apr 1984 the government contemplates award',
33057:'of a [contracting officer insert specific type of contract] contract resulting from this solicitation. end of provision 52.2162 economic price',
33058:'adjustmentstandard supplies. as prescribed in 16.2034a, insert the following clause: economic price adjustmentstandard supplies nov 2021 a the contractor warrants',
33059:'that the unit price stated in the schedule for [offeror insert schedule line item number] isnot in excess of the',
33060:'contractor’s applicable established price in effecton the contract date for like quantities of the same item. the term unit price',
33061:'excludes any part of the price directly resulting from requirements for preservation, packaging, or packing beyond standard commercial practice. the',
33062:'term established price means a price that 1 is an established catalog or market price for a commercial product sold',
33063:'in substantial quantities to the general public; and 2 is thenet price afterapplying any standard trade discounts offered by the',
33064:'contractor. b the contractor shall promptly notify thecontracting officer of the amount andeffective date ofeach decrease in any applicable established',
33065:'price. each corresponding contract unit price shall be decreased by the same percentage that the established price is decreased. the',
33066:'decreaseshallapply to thoseitemsdelivered on and afterthe effective date of thedecrease in the contractor’s established price, and thiscontract shall be modified',
33067:'accordingly. c if the contractor’s applicable established price isincreased after the contract date,the corresponding contract unit price shall be increased,upon',
33068:'thecontractor’s written request tothe contracting officer, by the samepercentage that the established price is increased, and the contractshallbe modified accordingly,',
33069:'subject to the following limitations: 1 the aggregate of the increases in any contract unit price under this clause shall',
33070:'not exceed 10 percent of the original contract unit price. 2 the increased contract unitprice shall be effective ion the',
33071:'effective date of the increasein the applicable established price if the contracting officer receives the contractor’swritten request within 10 days',
33072:'thereafter; or iiif the written request isreceived later, onthe date the contracting officer receives the request. 3 the increased contract',
33073:'unit price shall not apply to quantities scheduled under the contract for delivery before the effective date of theincreased contractunit',
33074:'price, unless failure to deliver before that date results from causes beyond the control and without thefault or negligenceof the',
33075:'contractor,within the meaning of the default clause. 4 no modification increasing a contract unit price shall be executed under this',
33076:'paragraph c until the contracting officer verifies the increase in the applicable establishedprice. 5 within 30 days after receipt of',
33077:'thecontractor’s written request, the contracting officer may cancel, without liability to either party, any undelivered portion of the contract items',
33078:'affectedby the requested increase. d during the time allowed for the cancellation provided for in paragraph c5 of this clause,',
33079:'and thereafter if there is no cancellation, the contractor shall continue deliveries according to the contract delivery schedule, and the',
33080:'government shall pay for such deliveries at the contract unit price, increased to the extent provided by paragraph c of',
33081:'this clause. end of clause 52.2163 economic price adjustmentsemistandard supplies. as prescribed in 16.2034b, insert the following clause: 52.2141 52.2164',
33082:'federal acquisition regulation economic price adjustmentsemistandard supplies nov 2021 a the contractor warrants that the supplies identified as line items',
33083:'[offeror insert schedule line item number] in the schedule are, except for modifications required by the contract specifications, supplies for',
33084:'which it has an established price. the term established price means a price that 1is an established catalog or market',
33085:'price for a commercial product sold in substantial quantities to the general public, and 2is the net price after applying',
33086:'any standard trade discounts offered bythe contractor. the contractor further warrants that,as of thedate of this contract, any difference between',
33087:'the unit prices statedin the contractforthese line items and thecontractor’s established prices for like quantities of the nearest commercial equivalents',
33088:'are due to compliance with contract specifications and with any contract requirements for preservation, packaging, and packing beyond standard commercial',
33089:'practice. b the contractor shall promptly notify thecontracting officer of the amount andeffective date ofeach decrease in any applicable established',
33090:'price. each corresponding contract unit price exclusive of any part of the unit price that reflects modifications resulting from compliance',
33091:'with specifications or with requirements for preservation, packaging, and packing beyond standard commercial practice shall be decreased by the same',
33092:'percentage that the established price is decreased. the decrease shall apply to those items delivered on and after the effective',
33093:'date of the decrease in the contractor’s established price, and this contract shall bemodified accordingly. c if the contractor’s applicable',
33094:'established price isincreased after the contract date,the corresponding contract unitprice exclusive of any part of the unit price resulting from',
33095:'compliance with specifications or with requirements for preservation, packaging, and packing beyondstandard commercial practice shall be increased, upon the contractor’s',
33096:'written requestto thecontracting officer,by the same percentage that the established price isincreased,andthe contract shall be modified accordingly, subject tothe following',
33097:'limitations: 1 the aggregate of the increases in any contract unit price under this clause shall not exceed 10 percent',
33098:'of the original contract unit price. 2 the increased contract unitprice shall be effective ion the effective date of the',
33099:'increasein the applicable established price if the contracting officer receives the contractor’swritten request within 10 days thereafter; or iiif the',
33100:'written request isreceived later, onthe date the contracting officer receives the request. 3 the increased contract unit price shall not',
33101:'apply to quantities scheduled under the contract for delivery before the effective date of theincreased contractunit price, unless failure to',
33102:'deliver before that date results from causes beyond the control and without thefault or negligenceof the contractor,within the meaning of',
33103:'the default clause. 4 no modification increasing a contract unit price shall be executed under this paragraph c until the',
33104:'contracting officer verifies the increase in the applicable establishedprice. 5 within 30 days after receipt of thecontractor’s written request, the',
33105:'contracting officer may cancel, without liability to either party, any undelivered portion of the contract items affectedby the requested increase.',
33106:'d during the time allowed for the cancellation provided for in paragraph c5 of this clause, and thereafter if there',
33107:'is no cancellation, the contractor shall continue deliveries according to the contract delivery schedule, and the government shall pay for',
33108:'such deliveries at the contract unit price, increased to the extent provided by paragraph c of this clause. end of',
33109:'clause 52.2164 economic price adjustmentlabor and material. as prescribed in 16.2034c, insert the following clause: economic price adjustmentlabor and material',
33110:'jan 2017 a thecontractor shall notify the contractingofficer if, atanytime duringcontract performance, the rate of pay for labor including fringe',
33111:'benefits or the unit prices for material shown in the schedule either increase or decrease. the contractor shall furnish this',
33112:'notice within 60 days after the increase or decrease, or within any additional period that the contracting officer may approve',
33113:'inwriting, but not later than thedate of finalpayment underthiscontract. thenotice shall include thecontractor’s proposal for an adjustment in the contract',
33114:'unitprices to be negotiatedunder paragraph b of this clause, and shall include, in the form required by thecontracting officer,supporting data',
33115:'explaining the cause, effective date, and amount of the increase or decrease and the amountof the contractor’s adjustment proposal. 52.2142',
33116:'subpart 52.2 text of provisions and clauses 52.2165 b promptly after the contractingofficer receivesthe notice and data under paragraph a',
33117:'ofthisclause, the contracting officer and the contractor shall negotiate a price adjustment inthe contract unit prices and its effective date.',
33118:'however, thecontracting officer may postpone the negotiations untilan accumulation of increases and decreases inthe labor rates including fringe benefits and',
33119:'unit prices of material shown in the schedule results in an adjustment allowable under paragraph c3 ofthisclause. the contracting officer',
33120:'shall modify this contract 1to include the priceadjustmentand its effective date and 2to revise the labor ratesincluding fringe benefits or',
33121:'unit pricesof material as shown in the schedule to reflect the increases or decreases resulting from the adjustment. the contractor',
33122:'shall continue performance pending agreementon,or determination of, any adjustment and itseffective date. c any price adjustment under this clause is',
33123:'subject to the following limitations: 1 any adjustmentshallbe limited to theeffect on unit prices ofthe increases or decreases in the',
33124:'rates of pay for labor including fringe benefits or unit prices for material shown in the schedule. there shall be',
33125:'no adjustment for isupplies or services for which the production cost is not affectedby such changes; ii changes in rates',
33126:'or unit prices other than those shown in the schedule; or iii changes in the quantities of labor or material',
33127:'used from those shown in the schedule for each item. 2 no upward adjustment shall apply to supplies or services',
33128:'that are required to be delivered or performed before theeffective date ofthe adjustment, unless thecontractor’s failure todeliveror perform according tothe',
33129:'deliveryschedule results from causes beyond the contractor’s control and without itsfault or negligence, within the meaning of the default clause.',
33130:'3 there shall be no adjustment for any change in rates of pay for labor including fringe benefits or unit',
33131:'prices for material which would not result in a net change of at least 3 percent of the thencurrent total',
33132:'contract price. this limitation shall not apply, however, if, afterfinal delivery of allline items, either party requests an adjustment under',
33133:'paragraph b of this clause. 4 the aggregate of the increases in any contract unit price made under this clause',
33134:'shall not exceed 10 percent of the original unit price. there is no percentage limitation on the amount of decreases',
33135:'that may be made under this clause. d the contracting officer may examine the contractor’s books,records, and other supporting data',
33136:'relevant to the cost of labor including fringe benefits and material during all reasonable times until the end of 3',
33137:'years after the date of final payment under this contract or the time periods specified in subpart 4.7ofthefederalacquisitionregulationfar, whichever is',
33138:'earlier. end of clause 52.2165price redeterminationprospective. as prescribed in 16.2054, insert the following clause: price redeterminationprospective jan 2022 a general.',
33139:'the unit prices and the total price stated in this contract shall be periodically redetermined in accordance with this clause,',
33140:'except that 1 the prices for supplies delivered and services performed before the first effective dateof price redetermination see paragraph',
33141:'c of this clause shall remain fixed; and 2 in no event shall the total amount paid under this contract',
33142:'exceed any ceiling price included in the contract. b definition. costs, as used in this clause, means allowable costs in',
33143:'accordance with part 31 of the federal acquisition regulation far in effecton the date of this contract. c price redetermination',
33144:'periods. for the purpose of price redetermination, performance of this contract is divided into successive periods. the first period shall',
33145:'extend from the date of the contract to , see note1 and the second and each succeeding period shall extend',
33146:'for [insert appropriate number] months from the end of the last preceding period, except that the parties may agree to',
33147:'vary the length of the final period. the first day of the second and each succeeding period shall be the',
33148:'effectivedate of price redetermination for that period. d data submission. 1 not more than nor less than see note 2',
33149:'days before the end of each redetermination period, except the last, the contractor shall submit i proposed prices for supplies',
33150:'that may be delivered or services that may be performed in the next succeeding period, and52.2 143 52.2165 federal acquisition',
33151:'regulation a an estimate and breakdown of the costs of these supplies or services in the format of table 151,far',
33152:'15.408, or in any other form on which the parties may agree; b sufficientdata tosupport the accuracy and reliabilityof this',
33153:'estimate; and c anexplanation of thedifferencesbetween this estimate and the original or lastpreceding estimate for the same supplies or services;',
33154:'and ii a statement of all costs incurred in performing this contract through the end of the month see note',
33155:'3 before the submission of proposed prices in the format of table 151,far 15.408 or in any other form on',
33156:'which the partiesmay agree, with sufficient supporting data to disclose unit costs and cost trends for a supplies delivered and',
33157:'services performed; and b inventories of work in process and undelivered contract supplies on hand estimated to the extent necessary.',
33158:'2 the contractor shall also submit, to the extent that it becomes available before negotiations on redetermined prices are concluded',
33159:'i supplemental statements of costs incurred after the date stated in subdivision d1ii of this section for a supplies delivered',
33160:'and services performed; and b inventories of work in process and undelivered contract supplies on hand estimated to the extent',
33161:'necessary; and iiany other relevant data that the contracting officer may reasonably require. 3 if the contractor fails to submit',
33162:'the data required by paragraphs d1 and 2 of this section, within the time specified, the contractingofficer may suspendpaymentsunder this',
33163:'contract until the data are furnished. if it islater determined that the governmenthas overpaidthe contractor, the contractor shall repay the',
33164:'excess tothe government immediately. unless repaid within 30 days after the end of thedata submittalperiod, the amount of the excess',
33165:'shall bear interest, computed from the date the data were due to the date of repayment, at the rate established',
33166:'in accordance with the interest clause. e price redetermination. upon the contracting officer’s receipt of the data requiredby paragraphdof this',
33167:'section, the contracting officerand the contractor shall promptly negotiate toredetermine fair and reasonable pricesforsupplies that may be delivered or services',
33168:'that may beperformed in the period followingthe effective date of price redetermination. f contract modifications. each negotiated redetermination of prices',
33169:'shall be evidenced by a modification to this contract, signed bythe contractor and the contracting officer, stating the redeterminedprices that',
33170:'applyduring the redetermination period. g adjusting billing prices. pending execution of the contract modification see paragraph f of this section,',
33171:'the contractor shall submit invoices or vouchers in accordance with the billing prices stated in this contract. if at any',
33172:'time it appears that the thencurrent billing prices will be substantially greater than the estimated final prices, or if the',
33173:'contractor submits data showing that the redetermined price will be substantially greater than the current billing prices, the parties shall',
33174:'negotiate an appropriate decrease or increase in billing prices. any billing price adjustment shall be reflected in a contract modification',
33175:'and shall notaffect the redeterminationof prices under this clause. after thecontract modificationforprice redetermination is executed, the total amount paid or',
33176:'to be paid on all invoices or vouchers shall be adjusted to reflect the agreedupon prices,and any requestedadditional payments, refunds,or',
33177:'credits shall be made promptly. h quarterly limitation on payments statement. this paragraph h applies only during periods for which',
33178:'firm prices have not been established. 1 within 45 days after the end ofthe quarterof the contractor’s fiscal year inwhich',
33179:'adelivery isfirst madeor services are first performed and accepted by the government under this contract, and for each quarterthereafter, the',
33180:'contractor shall submit to thecontract administration office with a copyto thecontracting office and the cognizant contract auditor a statement, cumulative',
33181:'from the beginning of the contract, showing i the total contract price of all supplies delivered or services performed and',
33182:'accepted by the government and for which final prices have been established; iithe totalcosts estimated to the extentnecessary reasonably incurred',
33183:'for, and properly allocable solely to, the supplies delivered or services performed and accepted by the government and for which',
33184:'final prices have not been established; iii the portion of the total interim profit used in establishing the initial contract',
33185:'price or agreed to for the purpose of this paragraph h that is in direct proportion to the supplies delivered',
33186:'or services performed and accepted by the government and for which final prices have not been established; and iv the',
33187:'total amount of all invoices or vouchers for supplies delivered or services performed and accepted by the government including amounts',
33188:'applied or to be applied to liquidate progress payments. 52.2144 subpart 52.2 text of provisions and clauses 52.2166 2 the',
33189:'statement required by paragraph h1 of this section need not be submitted for any quarter for which either no costs',
33190:'are to be reported under subdivision h1ii of this section, or revised billing prices have been established in accordance withparagraph',
33191:'g ofthis section, and do notexceed the existing contract price, the contractor’s price redetermination proposal, or a price based on',
33192:'the most recent quarterly statement, whichever is least. 3 notwithstanding any provision of this contract authorizing greater payments, if on',
33193:'any quarterly statement the amount under subdivision h1ivof this section exceeds the sum due the contractor, as computed in accordance',
33194:'with subdivisions h1i, ii, and iii of this section, the contractor shall immediately refund or credit to the government the',
33195:'amount of this excess. the contractor may, when appropriate, reduce this refund or credit by the amount of previous refunds',
33196:'or credits affected under this clause. if any portion ofthe excess has been applied to the liquidation ofprogress payments, then',
33197:'that portion may, insteadof beingrefunded, be added to the unliquidated progresspayment account,consistent with the progress payments clause. the contractor shall',
33198:'provide complete details to support any claimed reductions in refunds. 4 if the contractor fails to submit the quarterly statement',
33199:'within 45 days after the end of each quarter and it is later determined that the governmenthas overpaidthe contractor, the',
33200:'contractor shall repay the excess tothe government immediately. unless repaid within 30 days after the end of thestatement submittal period,',
33201:'the amount ofthe excess shall bear interest, computed from the date the quarterly statement was due to the date of',
33202:'repayment, at the rate established in accordance with the interest clause. i subcontracts. no subcontract placed under this contract may',
33203:'provide for payment on a costplusapercentageofcostbasis. j disagreements.if the contractor and the contracting officer fail toagreeupon redetermined pricesforany price redetermination',
33204:'period within 60 days or within such other period as the parties agree after the date on which the data',
33205:'required byparagraph d ofthissection areto besubmitted,the contracting officershallpromptly issue a decision in accordance with the disputes clause. for the purpose',
33206:'of paragraphs f, g, and h of this section, and pending final settlement of the disagreement on appeal, by failure',
33207:'to appeal, or by agreement, this decision shall be treated as an executed contract modification. pending final settlement, price redeterminationforsubsequentperiods,',
33208:'if any,shallcontinue to be negotiated as provided in this clause. k termination. if this contract is terminated, prices shall continue',
33209:'to be established in accordance with this clause for 1 completed supplies and services accepted by the government and 2',
33210:'those supplies and services not terminated under a partial termination. all other elements of the termination shall be resolved in',
33211:'accordance with other applicable clauses of this contract. notes: 1 express in terms of units delivered, or as a date;',
33212:'but in either case the period should end on the last day of a month. 2 insertthe number ofdays chosen',
33213:'so thatthe contractor’ssubmission willbe late enough to reflect recent cost experience taking into account thecontractor’s accounting system, but early enough',
33214:'to permit review, audit if necessary, and negotiation before the start of the prospective period. 3 insert first, except that',
33215:'second may beinserted ifnecessary toachieve compatibility with the contractor’s accounting system. end of clause 52.2166price redeterminationretroactive. as prescribed in 16.2064,',
33216:'insert the following clause: price redeterminationretroactive jan 2022 a general. the unit price and the total price stated in this',
33217:'contract shall be redetermined in accordance with this clause, but in no event shall the total amount paid under this',
33218:'contract exceed [insert dollar amount of ceiling price]. b definition. costs, as used in this clause, means allowable costs in',
33219:'accordance with part 31 of the federal acquisition regulation far in effecton the date of this contract. c data submission.',
33220:'1 within [contracting officer insert number of days] days after delivery of all supplies to be delivered and completion of',
33221:'all services to be performed under this contract, the contractor shall submit i proposed prices; ii a statement in the',
33222:'format of table 151,far 15.408, or in any other form on which the parties may agree, of all costs incurred',
33223:'in performing the contract; and 52.2145 52.2166 federal acquisition regulation iii any other relevant data that the contracting officer may',
33224:'reasonably require. 2 if the contractor fails to submit the data required by paragraph c1 of this section within the',
33225:'time specified, the contracting officermay suspend payments under thiscontract until the data are furnished. if it is laterdetermined that the',
33226:'government has overpaid the contractor, theexcessshallbe repaid to the government immediately. unless repaidwithin 30 days after the end of the',
33227:'data submittal period, the amount of the excess shall bear interest, computed from the date the data were due to',
33228:'the date of repayment, at the rate established in accordance with the interest clause. d price determination. upon the contracting',