[Federal Register Volume 59, Number 21 (Tuesday, February 1, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-1591]


[[Page Unknown]]

[Federal Register: February 1, 1994]


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DEPARTMENT OF TRANSPORTATION

48 CFR Chapter 12

[Docket 49356; Notice 94-1]
RIN 2105-AB75

 

Revision of Department of Transportation Acquisition Regulations

AGENCY: Transportation.

ACTION: Notice of proposed rulemaking (NPRM).

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SUMMARY: The Department is proposing to revise the Transportation 
Acquisition Regulation (TAR). The TAR has been rewritten in its 
entirety to eliminate coverage that is unnecessary (e.g., duplicates 
the Federal Acquisition Regulation (FAR) or other directives; adds no 
value), to present clear coverage that is written in plain English, and 
to retain only that coverage considered suitable for a regulation. 
These efforts would create a 1994 edition of the TAR that is in line 
with the Reinventing Government initiatives by creating a simpler, more 
comprehensible, and less burdensome regulation. The 1994 edition of the 
TAR would replace the 1988 edition.

DATES: Comments on the proposal must be received on or before April 4, 
1994.

ADDRESSES: Interested parties should submit written comments, 
preferably in triplicate, to Docket Clerk, Docket No. 49356, Department 
of Transportation, 400 7th Street, SW., Room 4107, Washington, DC, 
20590. Please cite TAR rewrite in all correspondence concerning this 
proposal.

FOR FURTHER INFORMATION CONTACT: Elaine Wheeler, Office of Acquisition 
and Grant Management, M-61, 400 Seventh Street SW., Washington, DC 
20590: (202) 366-4272.

SUPPLEMENTARY INFORMATION:

A. Background

    The Department of Transportation (DOT) conducted a comprehensive 
review of the September 1988 version of the Transportation Acquisition 
Regulation (TAR) with the goal of streamlining processes, removing 
guidance applicable to DOT internal operating procedures, and 
eliminating unnecessary burdens. As a result, the Transportation 
Acquisition Regulatory Council System, under the direction of the 
Senior Procurement Executive, has undertaken the complete rewrite of 
the TAR.
    The rewrite project was conducted in consonance with the National 
Performance Review (NPR) initiatives. Under the Transportation 
Acquisition Regulatory Council System, all elements of the DOT had an 
opportunity to participate in the development of the new TAR, and to 
devise processes that were the most efficient and least burdensome on 
its users. The same holds true for the delegations of authority and 
responsibility for internal acquisition functions. Authority and 
responsibility have been delegated as low as is reasonable or permitted 
by higher level regulation or statute. These changes empower employees 
in accordance with the NPR initiatives.
    The project examined all DOT acquisition issuances including 
internal directives, orders, and notices to ensure the information is 
necessary, accurate and current, and located in the appropriate 
document. When rewriting the TAR, care was taken to eliminate 
unnecessary coverage including clauses and forms, and to remove 
coverage pertaining to internal DOT operations (including delegations 
of authority) and to place any needed coverage into internal guidance. 
The goal of the rewriting effort was to ensure that the TAR would 
contain only that coverage appropriate for an acquisition regulation 
and enable continual improvement of the regulation through new, 
innovative processes and streamlining initiatives.
    The rewritten TAR is being published for public comment. Comments 
on this proposal are requested within 30 days of this publication in 
order to implement the NPR initiatives as expeditiously as possible. 
All public comments received in response to this notice will be 
considered in developing the final version of the TAR. Parties 
responding to this notice are requested to separate their comments by 
TAR part and address the specific cite (e.g., 1201.104-1).
    The rewritten TAR would be rearranged and, in some instances, moved 
to other parts, to more closely align the TAR text with the FAR text it 
implements or supplements. The rewritten TAR includes changes which are 
identified in the following discussion of revisions by part.
    Those parts which contain no coverage, but have been reserved, are 
Parts 1211, 1218, 1220, 1221, 1225, 1226, 1229, 1230, 1238 through 
1241, 1243, 1244, and 1248 through 1251.
    Part 1201, Federal Acquisition Regulations System. Section 1201.104 
would be changed to clarify the TAR numbering system. Coverage 
specifying the Office of Acquisition and Grant Management as having 
responsibility for the review and coordination of cases submitted by 
DOT to the Civilian Agency Acquisition Council would be reflected in 
Section 1201.201. Section 1201.301 would clarify that the Senior 
Procurement Executive would be delegated the authority to issue agency 
acquisition regulations and procedures under FAR 1.301 and would 
describe the TAR Council System, how changes will be made to the TAR, 
and when those changes would be effective. The TAR Council System 
provides a structure and a control and compliance mechanism within 
which changes to the TAR will be made. This is discussed in Section 
1201.304. The authority for granting individual deviations to the FAR 
and TAR would be delegated down to the Head of the Contracting 
Activity, as reflected in Section 1201.403. Section 1201.602 would be 
changed to clearly state that procurements are to be made by authorized 
personnel and provides the action which may occur against individuals 
causing an unauthorized commitment.
    Part 1202, Definitions of Words and Terms. A definition for 
``Agency,'' ``Federal agency,'' or ``Executive agency'' would be added. 
The definitions for the ``Head of the agency'' and ``Head of the 
Contracting Activity'' would be changed. The definition for the 
``Department of Transportation'' would be updated. The terms 
``Operating administration,'' ``Head of the operating administration,'' 
``Chief of the Contracting Office,'' ``Contracting activity,'' and 
``contracting officer,'' would be defined.
    Part 1203, Improper Business Practices and Personal Conflicts of 
Interest. Subpart 1203.1 would be revised to provide the statutory 
reference for standards of ethical conduct for Executive Branch 
employees, and to provide procedures for processing violations or 
possible violations. Subparts 1203.5, 1203.6, 1203.70 and 1203.71 would 
be removed and new Subparts 1203.1, 1203.2, 1203.3, 1204.4, 1203.5 and 
1203.8 would be included to provide procedures for reporting/processing 
suspected improper business practices.
    Part 1204, Administrative Matters. Would remove DOT internal 
contract distribution and acquisition funding requirements; would 
increase the quick closeout threshold from $1 to 3 million or less to 
reduce the backlog of contracts pending closeout; would relocate from 
part 1253, DOT Forms F 4220.4, F 4220.45 (formerly F 4220.5) and F 
4220.46 (formerly F 4220.6) and DOD Form 882 which apply to contract 
closeouts.
    Part 1205, Publicizing Contract Actions. Would include a 
recommendation for meeting the FAR requirement for public examination 
of solicitations. Would include information concerning the availability 
of the DOT annual procurement forecast. Would revise the policy for 
furnishing contract award information and include a reference to the 
DOT Freedom of Information Act (FOIA) rules and regulations to cover 
requests for specific contract award information. Would remove internal 
DOT administrative guidance.
    Part 1206, Competition Requirements. Subparts 1206.1, and 1206.3 
would be removed because they provide internal administrative guidance. 
Subpart 1206.5 would be replaced with new coverage on Competition 
Advocate requirements.
    Part 1207, Acquisition Planning. This part would reflect the 
deletion of TAR clauses 1252.207-70, Implementation of Right of First 
Refusal of Employment, and 1252.207-71, Financial and Technical 
Ability, as unnecessary. TAR 1207.370 would be deleted since FAR 
provides sufficient guidance and Section 1207.401 would be removed 
because it provides internal guidance.
    Part 1208, Required Sources of Supplies and Services. This part 
would be deleted since it duplicated coverage in the FAR.
    Part 1209, Contractor Qualifications. This part would be modified 
to remove internal administrative coverage at (TAR) 48 CFR 1209.104 
Standards and 1209.3 First Article Testing and Approval. Subpart (TAR) 
48 CFR 1209.4 Debarment, Suspension and Ineligibility would be revised 
to include debarment and suspension procedures.
    Part 1210, Specifications, Standards, and Other Purchase 
Descriptions. The coverage at (TAR) 48 CFR 1210.004-70 and (TAR) 48 CFR 
1210.004-71 would be deleted as unnecessary since it is covered in FAR. 
The clause (TAR) 48 CFR 1252.217-70 (renumbered 1252.210-71), Index for 
Specifications, would be transferred from part 1217 and placed in the 
more appropriate part 1210. The provision at (TAR) 48 CFR 1252.210-70, 
Brand Name or Equal, would be modified to permit its use in all 
solicitations when appropriate. Guidance for the U.S. Coast Guard 
(USCG) would be added which incorporates the USCG clause at 1252.210-
90, Bar Coding Requirement, when the bar coding of supplies is 
necessary.
    Part 1212, Contract Delivery or Performance. Would delete clause 
(TAR) 48 CFR 1252.212-71, Notice of Delay, because it duplicated 
coverage in the FAR. Would add (TAR) 48 CFR 1212.302 coverage on 
Priorities and Allocations, to advise that the Coast Guard is the only 
DOT operating administration given authority by the Department of 
Commerce to issue rated orders and contracts.
    Part 1213, Small Purchase and Other Simplified Purchase Procedures. 
Would remove internal administrative guidance concerning small 
purchases, basic purchasing agreements, and imprest funds. Would 
include in the USCG guidance to part 1252, the USCG clause (TAR) 48 CFR 
1252.213-90, Evaluation Factor for Coast Guard Performance of Bar 
Coding Requirement.
    Part 1214, Sealed Bidding. Subsection (TAR) 48 CFR 1214.205-1 would 
provide agency procedures for notifying prospective bidders that they 
have been added to solicitation mailing lists, and guidance for 
obtaining supplemental information to the Standard Form 129. Section 
(TAR) 48 CFR 1214.303 would provide guidelines for receiving a 
withdrawal of a bid in person. Other coverage would be deleted as 
unnecessary.
    Part 1215, Contracting by Negotiation. Coverage pertaining to 
precontract costs would be covered under a more appropriate part 1231. 
The provision at (TAR) 48 CFR 1252.209-71, Disclosure of Conflicts of 
Interest, would be transferred to a more appropriate part 1209. The 
clause at (TAR) 48 CFR 1252.215-71, Key personnel and facilities, would 
be edited and renumbered as 1252.215-70. For ease of completion, the 
clause at (TAR) 48 CFR 1252.215-72, Cost Proposal Instructions, would 
be edited and reformatted into TAR form DOT F 4220.44, Contract Pricing 
Summary (see (TAR) 48 CFR 1215.804-6). Coverage would be added to (TAR) 
48 CFR section 1215.413 to explain under what conditions proposals may 
be released outside the Government. (TAR) 48 CFR 1215.612 would be 
revised to identify location of procedures for formal source selection. 
(TAR) 48 CFR 1215.804 would be modified to remind contracting officers 
when partial/limited cost or pricing data may be required and the 
circumstances when certified cost or pricing data may be required. 
(TAR) 48 CFR 1215.970 pertaining to profit for letter contracts (i.e., 
an undefinitized action) would be transferred from (TAR) 48 CFR 
1216.603 and expanded to include all undefinitized actions. Other 
coverage would be deleted because it was unnecessary or redundant with 
the FAR.
    Part 1216, Types of Contracts. The clause at (TAR) 48 CFR 1252.216-
71, Evaluation of Proposals Subject to Economic Price Adjustment, would 
be modified to streamline the coverage. The clauses at (TAR) 48 CFR 
1252.216-72 and 1252.216-73 would be deleted as superfluous and a 
clause at (TAR) 48 CFR 1252.216-74, Settlement of Letter Contract, 
would be added to specify that the definitized contract results in the 
settlement of the letter contract. The remainder of the coverage would 
be removed because it provides internal administrative guidance or 
would be deleted as unnecessary.
    Part 1217, Special Contracting Methods. Subparts 1217.1 and 1217.4 
would be removed because they contained internal administrative 
guidance. Subpart 1217.1 would be replaced with new coverage on multi-
year procurement. The clauses prescribed in Subpart 1217.7000 would be 
revised to reflect simpler language. Subpart 1217.71 would be updated 
to reflect terminology changes.
    Part 1219, Small Business and Small Disadvantaged Business 
Concerns. This part would be modified to remove internal administrative 
guidance and to cancel the class set-aside for construction contracts 
since construction contracts are now covered by the Small Business 
Competitiveness Demonstration Program. A clause at (TAR) 48 CFR 
1252.219-70 would be added to provide the address for submission of the 
SF-295, Summary Subcontract Report. The coverage would include DOT's 10 
Targeted Industry Categories previously published for public comment in 
54 FR 24069, as amended by 58 FR 27613, and the increase to the 
Emerging Small Business Reserve Amount published in 56 FR 46656.
    Part 1220, Labor Surplus Area Concerns. This part would be modified 
to add coverage required by Pub. L. 101-225, Coast Guard Authorization 
Act of 1989, Section 206. A USCG clause at (TAR) 48 CFR 1252.220-90, 
Local Hire Provisions, would be added for use in all contracts.
    Part 1222, Application of Labor Laws to Government Acquisitions. 
Would revise the prescription for clause 1252.222-72 to permit all DOT 
operating administrations to use it when warranted. Would delete 
clauses 1252.222-75, 1252.222-77, and 1252.222-79 which are superseded 
by FAR clauses. Would remove DOT internal administrative guidance and 
make editorial changes to clarify coverage on admittance of union 
representatives to DOT installations. Would add the assignment of a DOT 
labor coordinator. Would add 1222.406-9 to prescribe form DOT 4220.7 
which is now illustrated under 1253.
    Part 1223, Environment, Conservation, Occupational Safety, and 
Drug-Free Workplace. Would remove internal administrative guidance 
dealing with the submission of notifications delaying contract awards. 
Would include clause 1252.223-70, Removal or Disposal of Hazardous 
Substances-Applicable Licenses and Permits, in solicitations and 
contracts involving the removal or disposal of hazardous waste 
material.
    Part 1224, Protection of Privacy and Freedom of Information. Would 
revise numbering to correspond to FAR coverage. Would reword coverage 
to more clearly define the applicability of the Privacy Act of 1974 and 
include guidance for requesting contract information under FOIA.
    Part 1225, Foreign Acquisition. Internal administrative 
requirements would be removed. A supplement would be added which 
contains Buy American Act requirements for steel and manufactured 
products pertaining only to the Federal Aviation Administration.
    Part 1227, Patents, Data and Copyrights. This part would be 
modified to remove coverage at (TAR) 48 CFR 1227.201-1, 1227.302, and 
1227.409 since the coverage was already in the FAR.
    Part 1228, Bonds and Insurance. Would include a requirement for 
providing coverage for taxes imposed by the U.S. in performance bonds. 
Would substitute a recommendation to seek the advice of legal counsel 
concerning legal remedies which may be available under the Miller Act 
in lieu of specifying legal rights. Would revise the payment method for 
records obtained under FOIA by referencing the DOT FOIA regulation. 
Would remove the coverage at (TAR) 48 CFR 1228.106-7 concerning 
withholding contract payments and the right of subrogation to contract 
funds by a surety because it was confusing and unnecessary. Would 
renumber clauses 1252.228-70, Accident and Fire Reporting, 1252.223-71, 
Protection of Human Subjects, and 1252.228-72, Loss of or Damage to 
Leased Aircraft to remove a previously ``reserved'' TAR clause number. 
Would include in the USCG guidance to part 1252, USCG clause 1252.228-
90, Notification of Miller Act Payment Bond Protection.
    Part 1231, Contract Cost Principles and Procedures. Precontract 
cost coverage would be transferred from part 1215. In addition, to 
assist contracting officers and provide ready identification by 
contractors for the allowance of precontract costs, the clause at (TAR) 
48 CFR 1252.231-70, Date of Incurrence of Costs, would be added.
    Part 1232, Contract Financing. Would remove DOT internal 
administrative guidance. Would remove paragraphs which paraphrase 
sections of FAR part 32. Would add Appendix A which is instructions for 
completing SF 1034s and SF 1035s submitted for payment under other than 
fixed price contracts.
    Part 1233, Protests, Disputes, and Appeals. Would remove internal 
administrative guidance concerning protests. Would include coverage 
concerning DOT Alternative Dispute Resolution (ADR) procedures, and 
location of DOT ADR resolution specialist and preferred neutral to 
perform the functions set forth in the Administrative Disputes 
Resolution Act.
    Part 1234, Major System Acquisition. The coverage would identify 
where DOT's internal operating procedures are located for the 
implementation of the Office of Management and Budget Circular A-109.
    Part 1235, Research and Development Contracting. Subpart 1235.003 
would be removed and replaced with new coverage designated as 1235.003 
which covers cost sharing. Internal administrative guidance on 
scientific and technical reports at Subpart 1235.010 would be removed. 
The coverage at (TAR) 48 CFR 1235.070 and the clause at (TAR) 48 CFR 
1252.235-70 on recoupment of development costs would be deleted.
    Part 1236, Construction and Architect-Engineer Contracts. Would 
remove internal administrative guidance regarding government estimates 
of construction costs, liquidated damages provisions, award of 
construction contracts to architect-engineer firms, agenda for pre-
construction conferences, conduct of architect-engineer evaluation 
boards, and negotiation of architect-engineer contracts. Would revise 
and reword criteria for selection of firms for architect-engineer 
contracts to eliminate duplication of FAR criteria and to more closely 
align with FAR coverage.
    Part 1237, Service Contracting. Would delete erroneous information 
on personal services contracts. Would remove unnecessary coverage on 
consulting and stenographic reporting services. The previous 1237.70, 
mortuary services, would be redesignated as guidance applicable to only 
the USCG since USCG is the only DOT operating administration which 
contracts for these services. The TAR coverage would remove unnecessary 
DOT internal administrative guidance and delete DOD clause 22.237-7111. 
The other DOD clauses would be given DOT numbers.
    Part 1242, Contract Administration. Would remove internal DOT 
administrative guidance and quick-closeout procedures and reinstate 
them under 1204. Would delete 1242.12 on novation and change of name 
agreements which is superseded by the FAR and would add clause (TAR) 48 
CFR 1252.242-73, Contracting Officer's Technical Representative, to 
provide a standard DOT clause. Would add coverage on the affect of 
payment of invoices when contract administration is assigned to another 
office/agency.
    Part 1243, Contract Modifications. Would delete unnecessary 
coverage.
    Part 1244, Subcontracting Policies and Procedures. Would delete 
unnecessary coverage.
    Part 1245, Government Property. Would revise the entire coverage 
and remove DOT internal administrative guidance and would delete 
unnecessary requirements or requirements superseded by the FAR. Would 
revise (TAR) 48 CFR 1245.505-14 to delete unnecessary reporting 
requirements and convert remaining information collection requirements 
to a standard format (Form DOT F 4220.43).
    Part 1246, Quality Assurance. This part would be modified to remove 
internal administrative guidance at (TAR) 48 CFR 1246.702, and to move 
1246.770 to USCG guidance at 1246.7.
    Part 1247, Transportation. Provisions and clauses would be added to 
implement the requirements of FAR part 47 with the goal of streamlining 
the process and eliminating the need for each contracting officer to 
develop their own language to meet these requirements.
    Part 1250, Extraordinary Contractual Actions. Would remove internal 
administrative guidance regarding contract adjustment boards, and the 
residual powers authority under Pub. L. 85-804.
    Part 1252, Solicitation Provisions and Contract Clauses. Revisions 
in provisions and clauses are identified in the discussion of the part 
which prescribes use of the provision or clause.
    Part 1253, Forms. Would delete DOD Forms DD 375, 1567, and 1568; 
DOT Forms F 4220.8 and F 4220.10; and FHWA Form 1140 which would be 
superseded by FAR forms. Would delete FAA Form 4450-2 as unnecessary. 
Would correct internal administrative errors on Form DOT F 4220.45 
(erroneously numbered F 4220.5), Contractor's Assignment of Refunds, 
Rebates, Credits, and Other Amounts, and Form DOT F 4220.46 
(erroneously numbered F 4220.6), Cumulative Claim and Reconciliation 
Statement. Would illustrate Form DOT F 4220.7, Employee Claim for Wage 
Restitution, which was previously referenced but not illustrated. Other 
revisions in forms are identified in the discussion of the part which 
prescribes use of the form.

B. Regulatory Flexibility Act

    This proposal is not expected to have a significant economic impact 
on a substantial number of small entities because the basic policies 
remain unchanged. An Initial Regulatory Flexibility Analysis has not 
been performed. Comments are solicited from small businesses and other 
interested parties and will be considered in the development of the 
final rule.

C. Paperwork Reduction Act

    The information collection requirements associated with this rule 
are being submitted to the Office of Management and Budget (OMB) for 
approval in accordance with 44 U.S.C. Chapter 35 under OMB No. 2105-
0517; Administration: Office of the Secretary of Transportation; Title: 
Transportation Acquisition Regulation; Need for Information: To 
solicit, negotiate, award, and administer contracts in accordance with 
the Federal Acquisition Regulation, other regulations, and statutes; 
Proposed Use of Information: to evaluate offers, ensure appropriate 
contract cost controls, and minimize conditions conducive to fraud, 
waste, and abuse; Frequency: on occasion; Burden Estimate: 56,375 
hours; Forms(s): DOT F 4220.4, 7, 43, 44, 45, 46 and DD Form 882; 
Average Burden Hours Per Respondent: 1.372. Comments on the proposed 
information collection requirement should be sent to the DOT rulemaking 
docket for this proposed action and comments may also be submitted to: 
Office of Management and Budget, Office of Information and Regulatory 
Affairs, Washington, D.C. 20503, Attention: Desk Officer for the 
Department of Transportation.
    This proposal revises recordkeeping and information collection 
requirements and require approval of OMB under 44 U.S.C. 3501, et seq.

List of Subjects in 48 CFR Chapter 12

    Government procurement.

    This NPRM is issued under delegated authority under 49 CFR part 
1.59(q). This authority has been redelegated to the Senior Procurement 
Executive. Issued this 7th day of January 1994, at Washington, DC.
Linda M. Higgins,
Director of Acquisition and Grant Management.

Adoption of Amendments

    For the reasons set out in the preamble, 48 CFR chapter 12 is 
revised to read as follows:

PART 1201--FEDERAL ACQUISITION REGULATION SYSTEM

Subpart 1201.1--Purpose, Authority, Issuance

1201.101  Purpose.
1201.102  Authority.
1201.103  Applicability.
1201.104  Issuance.
1201.104-1  Publication and code arrangement.
1201.104-2  Arrangement of regulations.
1201.104-3  Copies.
1201.105  OMB Approval Under the Paperwork Reduction Act.

Subpart 1201.2--Administration

1201.201  Maintenance of the FAR.
1201.201-1  The two councils.

Subpart 1201.3--Agency Acquisition Regulations

1201.301  Policy.
 1201.301-70  Amendment of (TAR) 48 CFR chapter 12.
1201.301-71  Effective date.
1201.301-72  TAC or TN numbering.
1201.304  Agency control and compliance procedures.

Subpart 1201.470--Deviations From the FAR and TAR

1201.403  Individual deviations.
1201.404  Class deviations.

Subpart 1201.6--Contracting Authority and Responsibilities

1201.602-3  Ratification of unauthorized commitments.
1201.603-1  General.

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.

Subpart 1201.1--Purpose, Authority, Issuance


1201.101  Purpose.

    The Department of Transportation Acquisition Regulation (TAR) 
establishes uniform acquisition policies and procedures, which 
implement and supplement the Federal Acquisition Regulation (FAR).


1201.102  Authority.

    The Secretary of Transportation has delegated the authority to 
issue Department of Transportation (DOT) procurement regulations (i.e., 
the TAR) to the Assistant Secretary for Administration who has 
redelegated this authority to the Senior Procurement Executive (SPE).


1201.103  Applicability.

    (a) Statute, the FAR, and (TAR) 48 CFR chapter 12 apply to all 
acquisitions within the Department unless otherwise excluded by 
statute, the FAR or (TAR) 48 CFR chapter 12.
    (b) The following order of precedence applies to resolve any 
acquisition regulation or procedural inconsistency found within (TAR) 
48 CFR chapter 12 or the Transportation Acquisition Manual (TAM) 
(stocked by the Government Printing Office): (1) Statute; (2) FAR or 
other applicable regulation; (3) TAR; (4) DOT Orders; and (5) TAM.
    (c) The Maritime Administration may depart from the requirements of 
the FAR and (TAR) 48 CFR chapter 12 as authorized by 40 U.S.C. 474(16), 
but shall adhere to those regulations to the maximum extent 
practicable. Exceptions from the requirements of the FAR and/or (TAR) 
48 CFR chapter 12 shall be documented in Maritime Administration 
procedures or each contract file, as appropriate.


1201.104  Issuance.


1201.104-1  Publication and code arrangement.

    (a) The TAR is published in: (1) The Federal Register; (2) 
cumulated form in the CFR; and (3) separate loose-leaf form.
    (b) TAR is issued as Chapter 12 of Title 48 of the CFR.


1201.104-2  Arrangement of regulations.

    (a) General. The TAR, which encompasses both Departmentwide and 
operating administration-unique guidance (see Subpart 1201.3), conforms 
with the arrangement and numbering system prescribed by (FAR) 48 CFR 
1.104. Operating administration-unique guidance contains the operating 
administration acronym directly preceding the cite/page number. The 
following acronyms apply when regulatory coverage is written:

FAA--Federal Aviation Administration
FHWA--Federal Highway Administration
FRA--Federal Railroad Administration
FTA--Federal Transit Administration
MARAD--Maritime Administration
NHTSA--National Highway Traffic Safety Administration
OST--Office of the Secretary
RSPA--Research and Special Programs Administration
SLSDC--Saint Lawrence Seaway Development Corporation
USCG--United States Coast Guard

    (b) Numbering--(1) Departmentwide guidance. (i) The numbering 
illustrations at (FAR) 48 CFR 1.104-2(b) apply to the TAR.
    (ii) Coverage within (TAR) 48 CFR chapter 12 is identified by the 
prefix ``12'' followed by the complete FAR cite which may be down to 
the subparagraph level (e.g., (TAR) 48 CFR 1201.201-1).
    (iii) Coverage in this Chapter 12 that supplements the FAR will use 
part, subpart, section and subsection numbers ending in ``70'' through 
``89''. A series of numbers beginning with ``70'' is used for 
provisions and clauses (e.g., (TAR) 48 CFR 1201.301-70).
    (iv) Coverage in (TAR) 48 CFR chapter 12, other than that 
identified with a ``70'' or higher number, that implements the FAR uses 
the identical number sequence and caption of the FAR segment being 
implemented which may be down to the subparagraph level. Subparagraph 
numbers/letters may not be shown as sequential, but may be shown by the 
specific paragraph/subparagraph implemented from the FAR (e.g., (TAR) 
48 CFR 1201.201-1 contains subparagraphs (b) and (d) because only these 
subparagraphs, correlating to FAR, are being implemented by (TAR) 48 
CFR chapter 12).
    (2) Operating administration-unique guidance. Supplementary 
material for which there is no counterpart in the FAR or TAR shall be 
identified using chapter, part, subpart, section, or subsection numbers 
of ``90'' and up (e.g., the U.S. Coast Guard's acronym is ``USCG''; an 
USCG-unique clause pertaining to ``Inspection and/or Acceptance'' would 
be designated as ``USCG clause at (TAR) 48 CFR 1252.246-90'') and 
introductory captions will be followed by the acronym of the operating 
administration that the chapter, part, subpart, section, or subsection 
applies to (e.g., USCG-unique guidance pertaining to Miller Act 
notification would be designated ``1228.9000 Miller Act Notification 
(USCG)''.
    (c) References and citations. (TAR) 48 CFR chapter 12 may be 
referred to as the Department of Transportation Acquisition Regulation 
or the TAR. Cross reference to the FAR in (TAR) 48 CFR chapter 12 will 
be cited by ``FAR'' followed by the FAR numbered cite, and cross 
reference to the TAM (Transportation Acquisition Manual which is 
stocked by the Government Printing Office) in (TAR) 48 CFR chapter 12 
will be cited by ``TAM'' followed by the TAM numbered cite. References 
to specific cites within (TAR) 48 CFR chapter 12 will be by the 
numbered cite only.


1201.104-3  Copies.

    Copies of the TAR in Federal Register, loose-leaf, and CFR form may 
be purchased from the Superintendent of Documents, Government Printing 
Office, Washington, DC, 20402.


1201.105  OMB Approval Under the Paperwork Reduction Act.

    (a) Data collection by regulation. The information collection and 
recordkeeping requirements contained in (TAR) 48 CFR chapter 12 have 
been approved by the Office of Management and Budget (OMB). The 
applicable OMB control number for DOT is 2105-0517.
    (b) Data collection under proposed contracts. Under the regulations 
implementing the requirements of the Paperwork Reduction Act (5 CFR 
part 1320), OMB must approve, prior to obligation of funds, proposed 
contracts which require the collection of information from ten or more 
non-Federal persons or entities. Solicitations containing this type of 
information collection may be released prior to OMB approval provided: 
(1) A statement is included in the solicitation to the effect that 
contract award will not be made until OMB approval of the information 
collection requirements of the proposed contract has been obtained; and 
(2) enough time is permitted to allow receipt of OMB approval prior to 
contract award.

Subpart 1201.2--Administration


1201.201  Maintenance of the FAR.


1201.201-1  The two councils.

* * * * *
    (b) The SPE is responsible for providing a DOT representative to 
the Civilian Agency Acquisition Council.
* * * * *
    (d) The Office of Acquisition and Grant Management is responsible 
for Departmentwide review and coordination of cases containing proposed 
FAR revisions, as necessary, approval of DOT-generated cases, and 
submission of cases to the Civilian Agency Acquisition Council.

Subpart 1201.3--Agency Acquisition Regulations


1201.301  Policy.

    (a)(1) Acquisition regulations--(i) Departmentwide acquisition 
regulations. The authority of the agency head under (FAR) 48 CFR 
1.301(a)(1) is delegated to the Assistant Secretary for Administration.
    (ii) Operating administration acquisition regulations. Operating 
administration acquisition regulations, and any changes thereto, shall 
be reviewed and approved by the SPE for insertion into the TAR as a TAR 
supplemental regulation before the SPE submits the proposed coverage 
for publication in the Federal Register in accordance with (FAR) 48 CFR 
1.501. operating administration regulations may be more restrictive or 
require higher approval levels than those permitted by (TAR) 48 CFR 
chapter 12 unless specified otherwise.


1201.301-70  Amendment of (TAR) 48 CFR Chapter 12.

    (a) Changes to (TAR) 48 CFR chapter 12 may be the result of 
recommendations from internal DOT personnel, other Government agencies, 
or the public. These changes are to be submitted in the following 
format to the Office of Acquisition and Grant Management, 400 7th 
Street, SW., Washington, DC 20590:
    (1) Problem: Succinctly state the problems created by current TAR 
language and describe the factual and/or legal reasons necessitating 
regulatory change.
    (2) Recommendation: Identify the recommended change by using the 
current language and lining through the words being deleted and 
inserting proposed language in brackets. If the change is extensive, 
deleted language may be displayed by forming a box with diagonal lines 
connecting the corners.
    (3) Discussion: Explain why the change is necessary and how the 
change will solve the problem. Address any cost or administrative 
impact on Government activities, offerors, and contractors. Provide any 
other helpful information and documents such as statutes, legal 
decisions, regulations, reports, etc.
    (4) Collaterals: Address the need for public comment (see (FAR) 48 
CFR 1.301 and subpart 1.5), the Paperwork Reduction Act, and the 
Regulatory Flexibility Act (see (FAR) 48 CFR 1.301(c)).
    (5) Point of Contact: Provide a point of contact for answering 
questions regarding the recommendation.
    (b) The TAR will be maintained by the SPE through the TAR Council 
System (i.e., representatives from DOT operating administrations 
specifically designated to formulate Departmental acquisition policies 
and procedures).
    (1) Transportation Acquisition Circular (TAC). TACs containing 
loose-leaf replacement pages which revise parts, subparts, or 
paragraphs (also see (TAR) 48 CFR 1201.301-72 of this subpart) will be 
used to amend (TAR) 48 CFR chapter 12. Each replacement page will bear 
at the top the TAC number and date. A vertical bar next to the coverage 
indicates that a change has been made.
    (2) TAR Notice (TN).
    (i) TNs shall be issued when interim guidance is necessary and as 
often as may be necessary, under any of the following circumstances:
    (A) To promulgate, as rapidly as possible, selected material in a 
general or narrative manner, in advance of a TAC issuance;
    (B) To disseminate other acquisition related information; or
    (C) To issue guidance which is expected to be effective for a 
period of 1 year or less.
    (ii) Each TN will terminate upon its specified expiration date.


1201.301-71  Effective date.

    Unless otherwise stated, the following applies--
    (a) Statements in TACs or TNs to the effect that the material 
therein is ``effective upon receipt,'' ``upon a specified date,'' or 
that changes set forth in the document are ``to be used upon receipt,'' 
mean that any new or revised provisions, clauses, procedures, or forms 
must be included in solicitations, contracts or modifications issued 
thereafter; and
    (b) Unless expressly directed by statute or regulation, if 
solicitations are already in process or negotiations complete when the 
TAC or TN is received, the new information (e.g., forms and clauses) 
need not be included if it is determined by the chief of the 
contracting office that its inclusion would not be in the best interest 
of the Government.


1201.301-72  TAC or TN numbering.

    TACs and Tns will be numbered consecutively on a fiscal year basis 
beginning with number ``01'' prefixed by the last two digits of the 
fiscal year (e.g., TNs 93-01 and 93-02 indicate the first two Tns 
issued in fiscal year 1993).


1201.304  Agency control and compliance procedures.

    (a) DOT shall control the proliferation of acquisition regulations 
by the TAR Council System. This (TAR) 48 CFR chapter 12 and any 
revisions thereto (except for paragraph (b) of this section) will be 
prepared and issued through the TAR Council System. The members of the 
TAR Council System shall represent their operating administration's 
viewpoints along with Departmentwide considerations and be selected for 
their superior expertise and acquisition knowledge. Further 
coordination (e.g., Offices of the Inspector General and General 
Counsel) beyond the TAR Council System may be recommended by the TAR 
Council to the SPE as deemed appropriate.
    (b) Operating administration-unique regulations will not be 
processed through the TAR Council System, but shall be reviewed by 
operating administration legal counsel and submitted to M-60 for review 
and approval. (See (TAR) 48 CFR 1252.101 for additional instructions 
pertaining to provisions and clauses.)

Subpart 1201.470--Deviations From the FAR and TAR


1.403  Individual deviations.

    Individual deviations from the FAR and (TAR) 48 CFR chapter 12 may 
be granted in writing by the Head of the Contracting Activity within 
the operating administration.


1.404  Class deviations.

    Class deviations from the FAR and (TAR) 48 CFR chapter 12 may be 
granted in writing by the Senior Procurement Executive unless (FAR) 48 
CFR 1.405(e) is applicable.

Subpart 1201.6--Contracting Authority and Responsibilities


1201.602-3  Ratification of unauthorized commitments.

* * * * *
    (b) Policy. It is the policy of DOT that all procurements are to be 
made by only Government officials having authority to make such 
acquisitions. Procurements made by other than authorized personnel are 
contrary to Departmental policy and may be considered matters of 
serious misconduct on the part of the employee making an unauthorized 
commitment. Consideration will be given to initiating disciplinary 
action against an employee who makes an unauthorized commitment.


1201.603-1  General.

    Each DOT operating administration is responsible for appointing its 
contracting officers.

PART 1202--DEFINITIONS OF WORDS AND TERMS

Subpart 1202.1--Definitions


1202.1  Definitions.

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.

Subpart 1202.1--Definitions


1202.1  Definitions.

    (a) Agency, Federal agency, or Executive agency means the 
Department of Transportation.
    (b) Chief of the contracting office (COCO) means the individual(s) 
responsible for managing the contracting office(s) within an operating 
administration.
    (c) Contracting activity includes all the contracting offices 
within an operating administration and is the same as the term 
procuring activity.
    (d) Contracting officer means an individual authorized by virtue of 
his/her position or by appointment to perform the functions assigned by 
the Federal Acquisition Regulation and the Transportation Acquisition 
Regulation.
    (e) Department of Transportation (DOT) means all of the operating 
administrations included within the Department of Transportation.
    (f) Head of the agency or agency head means the Secretary of 
Transportation.
    (g) Head of the contracting activity (HCA) means the individual 
responsible for managing the contracting offices within an operating 
administration who is a member of the Senior Executive Service or a 
flag officer.
    (h) Head of the operating administration (HOA) means the individual 
appointed by the President to manage the operating administration. (For 
acquisition related matters, the Assistant Secretary for Administration 
is the HOA for the Office of the Secretary (OST)).
    (i) Operating administration means the following components of DOT:
    (1) Federal Aviation Administration (FAA);
    (2) Federal Highway Administration (FHWA);
    (3) Federal Railroad Administration (FRA);
    (4) Federal Transit Administration (FTA);
    (5) Maritime Administration (MARAD);
    (6) National Highway Traffic Safety Administration (NHTSA);
    (7) Office of the Secretary (OST);
    (8) Research and Special Programs Administration (RSPA);
    (9) Saint Lawrence Seaway Development Corporation (SLSDC); and
    (10) United States Coast Guard (USCG).
    (j) Senior Procurement Executive means the Director of the Office 
of Acquisition and Grant Management (M-60).

PART 1203--IMPROPER BUSINESS PRACTICES AND PERSONAL CONFLICTS OF 
INTEREST

Subpart 1203.1--Safeguards

1203.101-3  Agency regulations.
1203.104-11  Processing violations or possible violations.

Subpart 1203.2--Contractor Gratuities to Government Personnel

1203.203  Reporting suspected violations of the Gratuities clause.
1203.204  Treatment of violations.

Subpart 1203.3--Reports of Suspected Antitrust Violations

1203.301  General.

Subpart 1203.4--Contingent Fees

1203.409  Misrepresentations or violations of the Covenant Against 
Contingent Fees.

Subpart 1203.5--Other Improper Business Practices

1203.502  Subcontractor kickbacks.
1203.502-2  General.
Subpart 1203.8--Limitation on the Payment of Funds To Influence Federal 
Transactions
1203.806  Processing suspected violations.

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.

Subpart 1203.1--Safeguards


1203.101-3  Agency regulations.

    (b) 5 CFR part 2635, Standards of Ethical Conduct for Employees of 
the Executive Branch, supersedes the DOT regulation at 49 CFR part 99.


1203.104-11  Processing violations or possible violations.

    (a)(1) When the contracting officer receives information of a 
violation or possible violation, and concludes that the reported 
violation or possible violation of the statutory prohibitions has no 
impact on the pending procurement, the contracting officer shall 
forward the information required by (FAR) 48 CFR 3.104-11(a)(1) to the 
COCO for concurrence with the contracting officer's conclusion. If the 
COCO concurs with the conclusion, the contracting officer shall proceed 
with the award, and the COCO shall submit the information and 
conclusion to the HCA.
    (2) When the COCO does not concur with the conclusion of the 
contracting officer, the COCO shall advise the contracting officer to 
withhold award, and the COCO shall promptly forward the information and 
documentation to the HCA.
    (3) When the contracting officer determines that the information 
concerning a violation or possible violation will impact the pending 
procurement, the contracting officer shall promptly forward the 
information and documentation to the HCA.
    (b) The HCA shall review the information transmitted in accordance 
with subparagraph (a)(1) through (a)(3) of this section and take 
appropriate action, as required by (FAR) 48 CFR 3.104-11(b).
    (c) If the HCA believes that a violation has occurred and the 
information should be disclosed to a criminal investigative agency 
(e.g, the Department of Justice) or that there may be a possible 
violation, and an investigation should be conducted, the HCA shall 
obtain guidance from legal counsel and the IG prior to taking any 
action. If the HCA, pursuant to (FAR) 48 CFR 3.104-11(f), determines 
that award is justified by urgent and compelling circumstances, or is 
otherwise in the interests of the Government, a memorandum of the facts 
and circumstances shall be signed by the HCA and placed in the contract 
file.

Subpart 1203.2--Contractor Gratuities to Government Personnel


1203.203  Reporting suspected violations of the Gratuities clause.

    (a) Suspected violations of the Gratuities clause shall be reported 
to the contracting officer responsible for the acquisition (or the COCO 
if the contracting officer is suspected of the violation). The 
contracting officer (or COCO) shall obtain from the person reporting 
the violation, and any witnesses to the violation, the following 
information:
    (1) The date, time, and place of the suspected violation;
    (2) The name and title (if known) of the individual(s) involved in 
the violation; and
    (3) The details of the violation (e.g., the gratuity offered or 
intended) to obtain a contract or favorable treatment under a contract.
    (b) The person reporting the violation and witnesses (if any) 
should be requested to sign and date the information certifying that 
the information furnished is true and correct.
    (c) The COCO shall report suspected violations to the Office of the 
Inspector General (J-1), 400 7th Street, S.W., Washington, DC, 20590, 
with a copy to General Counsel (C-1) and the OA's Chief Counsel.


1203.204  Treatment of violations.

    The COCO shall afford the contractor (and the contracting officer 
if he/she is suspected) the opportunity for an informal hearing. 
Government legal counsel should be consulted regarding appropriate 
hearing procedures.

Subpart 1203.3--Reports of Suspected Antitrust Violations


1203.301  General.

    (b) The same procedures contained in (TAR) 48 CFR 1203.203 shall 
also be followed for suspected antitrust violations, except suspected 
antitrust violation shall be reported through legal counsel in 
accordance with (FAR) 48 CFR 3.303.

Subpart 1203.4--Contingent Fees


1203.409  Misrepresentations or violations of the Covenant Against 
Contingent Fees.

    (a) The same procedures contained in (TAR) 48 CFR 1203.203 shall 
also be followed for misrepresentation or violations of the covenant 
against contingent fees.

Subpart 1203.5--Other Improper Business Practices


1203.502  Subcontractor kickbacks.


1203.502-2  General.

    (g) The same procedures contained in (TAR) 48 CFR 1203.203 shall 
also be followed for subcontractor kickbacks.

Subpart 1203.8--Limitation on the Payment of Funds to Influence 
Federal Transactions


1203.806  Processing suspected violations.

    Contracting officers shall report, in accordance with OA 
procedures, suspected violations of the requirements of 31 U.S.C. 1352 
to the Assistant Inspector General for Investigations (JI-1), 400 
Seventh Street, SW., Washington, DC, 20590.

PART 1204--ADMINISTRATIVE MATTERS

Subpart 1204.1--Contract Execution

1204.103  Contract clause.

Subpart 1204.8--Contract Files

1204.804  Closeout of contract files.
1204.804-1  Closeout by the office administering the contract.
1204.804-5  Detailed procedures closing out contract files.
1204.804-570  Supporting closeout documents.

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.

Subpart 1204.1--Contract Execution


1204.103  Contract clause.

    The contracting officer shall insert the clause at (FAR) 48 CFR 
52.204-1, Approval of Contract, filled in as appropriate, in 
solicitations when approval to award the resulting contract must be 
obtained from an official at a level above the contracting officer.

Subpart 1204.8--Contract Files


1204.804  Closeout of contract files.


1204.804-1  Closeout by the office administering the contract.

    (b) If the contracting officer determines appropriate, the quick 
closeout procedures under (FAR) 48 CFR 42.708 may be used for the 
settlement of indirect costs under contracts when the estimated amount 
(excluding any fixed fee) of the contract is $3 million or less.


1204.804-5  Detailed procedures for closing out contract files.


1204.804-570  Supporting closeout documents.

    (a) When applicable (see parenthetical examples in this paragraph) 
and prior to contract closure, the contracting officer shall obtain the 
listed DOT and Department of Defense (DOD) forms from the contractor to 
facilitate contract closeout.
    (1) Form DOT F 4220.4, Contractor's Release (e.g., see (FAR) 48 CFR 
52.216-7);
    (2) Form DOT F 4220.45, Contractor's Assignment of Refunds, 
Rebates, Credits and Other Amounts (e.g., see (FAR) 48 CFR 52.216-7);
    (3) Form DOT F 4220.46, Cumulative Claim and Reconciliation 
Statement (e.g., see (FAR) 48 CFR 4.804-5(a)(13); and
    (4) DD Form 882, Report of Inventions and Subcontracts (e.g., see 
(FAR) 48 CFR 52.227-14).
    (b) The forms (see (TAR) 48 CFR part 1253) are used primarily for 
the closeout of cost-reimbursement, time-and-materials, and labor-hour 
contracts. However, the forms may also be used for closeout of other 
contract types or when necessary to protect the Government's interest.

PART 1205--PUBLICIZING CONTRACT ACTIONS

Subpart 1205.1--Dissemination of Information

1205.101  Methods of disseminating information.

SUBPART 1205.4--RELEASE OF INFORMATION

1205.402  General public.

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.

SUBPART 1205.1--DISSEMINATION OF INFORMATION


1205.101  Methods of disseminating information.

    (a)(2) To facilitate public examination of solicitations expected 
to exceed $10,000, but not expected to exceed the small purchase 
limitation, COCOs are encouraged to post the notice of the solicitation 
or a copy of the solicitation in a central location within the 
contracting office.
    (b) DOT publishes a Procurement Forecast of planned procurements 
each fiscal year, which is available from the DOT Office of Small and 
Disadvantaged Business Utilization (S-40), 400 Seventh Street SW., 
Washington, DC, 20590.

Subpart 1205.4--Release of Information


1205.402  General public.

    It is DOT policy to furnish to the general public, upon request, 
the following information on proposed contracts and contract awards:
    (a) Prior to the opening of sealed bids or the closing date for 
receipt of proposals, the names of firms invited to submit sealed bids 
or proposals;
    (b) Prior to the opening of sealed bids or the closing date for 
receipt of proposals, the names of firms which attended pre-proposal or 
pre-bid conferences, when held;
    (c) After the opening of sealed bids, names of firms which 
submitted bids; and
    (d) After contract award, the names of firms which submitted 
proposals. Requests for other specific information shall be processed 
in accordance with the DOT Freedom of Information Act rules and 
regulations ((TAR) 48 CFR 1224.202).

PART 1206--COMPETITION REQUIREMENTS

Subpart 1206.5--Competition Advocates

1206.501  Requirement.

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.

Subpart 1206.5--Competition Advocates


1206.501  Requirement.

    The DOT Senior Competition Advocate (SCA) is located in the Office 
of the Assistant Secretary for Administration (M-66). Correspondence 
may be sent directly to M-66 or via M-60.

PART 1207--ACQUISITION PLANNING

Subpart 1207.3--Contractor Versus Government Performance

1207.302  General.
1207.307  Appeals.

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.

Subpart 1207.3--Contractor Versus Government Performance


1207.302  General.

    Procedures for DOT's implementation of OMB Circular A-76, 
Performance of Commercial Activities, and (FAR) 48 CFR 7.3 is under DOT 
Order 4400.2 series, Performance of Commercial Activities.


1207.307  Appeals.

    DOT appeal procedures for informal administrative review of initial 
cost-comparison results are contained in DOT Order 4400.2 series.

PART 1209--CONTRACTOR QUALIFICATIONS

Subpart 1209.4--Debarment, Suspension, and Ineligibility

1209.406  Debarment.
1209.406-3  Procedures.
1209.407  Suspension.
1209.407-3  Procedures.

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.

Subpart 1209.5--Organizational and Consultant Conflicts of Interest

1209.507  Solicitation provisions and contract clause.

Subpart 1209.4--Debarment, Suspension, and Ineligibility


1209.406  Debarment.


1209.406-3  Procedures.

    (a) Investigation and referral. The COCO shall submit a notice of 
proposed debarment for issuance by the SPE (see (FAR) 48 CFR 9.406-
3(c)). Reports and notices shall be coordinated with OA legal counsel 
prior to submission to the SPE.
    (b) Decisionmaking process. After receipt of the OA report, the SPE 
may request from interested parties (including the contractor if deemed 
appropriate) a meeting or additional supporting information to assist 
in the debarment decision.
    (c) Notice of proposal to debar. The SPE shall provide a copy of 
the dated, signed notice of proposed debarment to the COCO.
    (d) Debarring official's decision. When it is found that the 
contractor's submission raises a genuine dispute over facts material to 
the proposed debarment, the SPE may request the DOT Board of Contract 
Appeals (BCA) to conduct fact finding and provide a report containing 
the results of the fact finding.
    (e) Notice of debarring official's decision. The SPE shall notify 
the COCO prior to deciding whether or not to impose debarment. The COCO 
shall be furnished the original of the signed SPE decision to include 
in the contract file. The SPE shall provide a copy of the decision to 
GSA in accordance with (FAR) 48 CFR 9.404(c).


1209.407  Suspension.


1209.407-3  Procedures.

    (a) Investigation and referral. The COCO shall submit a notice of 
proposed suspension for issuance by the SPE (see (FAR) 48 CFR 9.407-
3(c)). Reports and notices shall be coordinated with OA legal counsel 
prior to submission to the SPE.
    (b) Decisionmaking process. After receipt of the OA report, the SPE 
may request from interested parties (including the contractor if deemed 
appropriate) a meeting or additional supporting information to assist 
in the suspension decision.
    (c) Notice of suspension. The SPE shall provide a copy of the 
dated, signed notice of suspension to the COCO.
    (d) Suspending official's decision. When it is found that the 
contractor's submission raises a genuine dispute over facts material to 
the proposed suspension, the SPE may request the DOTBCA to conduct fact 
finding and provide a report containing the results of the fact 
finding. The SPE shall notify the COCO prior to deciding whether or not 
to suspend. The COCO shall be furnished the original of the signed SPE 
decision, which shall be included in the contract file. The SPE shall 
provide a copy of the decision to GSA in accordance with (FAR) 48 CFR 
9.404(c).

Subpart 1209.5--Organizational and Consultant Conflicts of Interest


1209.507  Solicitation provisions.

    The contracting officer should insert the provision at (TAR) 48 CFR 
1252.209-70, ``Disclosure of Conflicts of Interest'' in all 
solicitations for negotiated acquisitions, above the small purchase 
limitation in (FAR) 48 CFR part 13, when the contracting officer 
believes the conditions under (FAR) 48 CFR 9.507-2 warrant inclusion.

PART 1210--SPECIFICATIONS, STANDARDS, AND OTHER PURCHASE 
DESCRIPTIONS

1210.004  Selecting specifications or descriptions for use.

1210.004-70  Offer evaluation and award, brand name or equal 
descriptions.

1210.011  Solicitation provisions and contract clauses.

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.


1210.004  Selecting specifications or descriptions for use.


1210.004-70  Offer evaluation and award, brand name or equal 
descriptions.

    (a) An offer may not be rejected for failure of the offered product 
to equal a characteristic of a brand name product if it was not 
specified in the brand name or equal description. However, if it is 
clearly established that the unspecified characteristic is essential to 
the intended end use, the solicitation may be defective and need to be 
amended or the requirement resolicited.
    (b) The contracting officer shall insert in the solicitation an 
entry substantially as follows for completion by the offeror in the 
item listing after each item or component part of an end item to which 
a brand name or equal purchase description applies:

Offering on:-----------------------------------------------------------
Manufacturer's Name:---------------------------------------------------
Brand:-----------------------------------------------------------------
No.:-------------------------------------------------------------------

    (c) Except when bid samples are requested for brand name or equal 
procurements, the following note shall be inserted in the item listing 
after each brand name or equal item (or component part), or at the 
bottom of each page, listing several such items, or in a manner that 
may otherwise direct the offeror's attention to this note:

    Offerors offering other than brand name items identified herein 
should furnish with their offers adequate information to ensure that 
a determination can be made as to equality of the product(s) offered 
(see the provision at (TAR) 48 CFR 1252.210-70, Brand Name or 
Equal).


1210.011  Solicitation provisions and contract clauses.

    (a) The contracting officer shall insert the provision at (TAR) 48 
CFR 1252.210-70, Brand Name or Equal, in solicitations using a brand 
name or equal purchase description whenever practicable.
    (b) The contracting officer shall insert the clause at (TAR) 48 CFR 
1252.210-71, Index for Specifications, when an index or table of 
contents may be furnished with the specification.

PART 1210--SPECIFICATIONS, STANDARDS, AND OTHER PURCHASE 
DESCRIPTIONS

1210.011-90  Solicitation provision and contract clause. (USCG)

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.


1210.011-90  Solicitation provision and contract clause. (USCG)

    (a) The contracting officer shall insert the USCG clause at (TAR) 
48 CFR 1252.210-90, Bar Coding Requirement, in solicitations and 
contracts over the small purchase limitation (also see (TAR) 48 CFR 
1213.507-90(a)) when the bar coding of supplies is necessary.
    (b) See (TAR) 48 CFR 1213.507-90(b) for a provision required when 
the USCG clause at (TAR) 48 CFR 1252.210-90, Bar Coding Requirement, is 
used in small purchases.

PART 1212--CONTRACT DELIVERY OR PERFORMANCE

Subpart 1212.3--Priorities and Allocations

1212.302  General.

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.

Subpart 1212.3--Priorities and Allocations


1212.302  General.

    (c) The USCG is the only DOT OA delegated authority under the 
Defense Priorities and Allocations System (DPAS) regulation (15 CFR 
part 700) to assign priority ratings on contracts and orders placed 
with contractors to acquire products, materials, and services in 
support of USCG certified national defense related programs.

PART 1213--SMALL PURCHASE AND OTHER SIMPLIFIED PURCHASE PROCEDURES

Subpart 1213.5--Purchase Orders

1213.107-90  Solicitation provision. (USCG)
1213.507-90  Clauses. (USCG)

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.

Subpart 1213.1--General


1213.107-90  Solicitation provision (supplies). (USCG)

    The contracting officer shall insert the USCG provision at (TAR) 48 
CFR 1252.213-90, Evaluation Factor for Coast Guard Performance of Bar 
Coding Requirement, in requests for quotations when the USCG clause at 
(TAR) 48 CFR 1252.210-90(a), Bar Coding Requirement, is used in small 
purchases.

Subpart 1213.5--Purchase Orders


1213.507-90  Clauses. (USCG)

    (a) The contracting officer shall insert the USCG clause at (TAR) 
48 CFR 1252.210-90, Bar Coding Requirement, in requests for quotations 
and purchase orders issued by the Inventory Control Points when bar 
coding of supplies is necessary.

PART 1214--SEALED BIDDING

Subpart 1214.2--Solicitation of Bids

1214.205  Solicitation mailing lists.
1214.205-1  Establishment of lists.

Subpart 1214.3--Submission of Bids

1214.302  Bid submission.
1214.303  Modification or withdrawal of bids.

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.

Subpart 1214.2--Solicitation of Bids


1214.205  Solicitation mailing lists.


1214.205-1  Establishment of lists.

    (b) The issuance of a solicitation within a reasonable time (i.e., 
normally 45 days) after receipt of a SF 129, Solicitation Mailing List 
Application, constitutes the notification required under (FAR) 48 CFR 
14.205-1. If a solicitation is not anticipated for release within a 
reasonable time after receipt of the SF 129 or if an applicant does not 
meet the criteria for placement on the list, the contracting officer 
shall provide a written notification of acceptance or non-acceptance to 
the applicant within 45 days of application receipt.
    (d) Requests for supplemental information shall normally be 
attached to the SF 129 and forwarded to potential suppliers for 
completion.

Subpart 1214.3--Submission of Bids


1214.302  Bid submission.

    (b) Contracting officers may permit telegraphic bids to be 
communicated by means of a telephone call from the telegraph office to 
the designated office provided that procedures and controls have been 
established by the COCO for receiving and safeguarding these incoming 
bids.


1214.303  Modification or withdrawal of bids.

    (b) The receipt required by (FAR) 48 CFR 14.303(b) for withdrawal 
of a bid in person shall be worded substantially as follows:

    I certify as a bona fide agent for or representative of

----------------------------------------------------------------------
(Bidder's name and address), I am authorized to withdraw the bid on 
IFB No. ________ scheduled for opening on ______________ and hereby 
acknowledge receipt of the unopened bid.
----------------------------------------------------------------------
(Name and telephone no.)

----------------------------------------------------------------------
(Date)

PART 1215--CONTRACTING BY NEGOTIATION

Subpart 1215.1--General Requirements for Negotiation

1215.106  Contract clauses.

SUBPART 1215.4--SOLICITATION AND RECEIPT OF PROPOSALS AND SOLICITATIONS

1215.407  Solicitation provisions.
1215.413  Disclosure and use of information before award.
1215.413-1  Alternate I.
1215.413-2  Alternate II.

SUBPART 1215.6--SOURCE SELECTION

1215.612  Formal source selection.

SUBPART 1215.8--PRICE NEGOTIATION

1215.804  Cost or pricing data.
1215.804-2  Requiring certified cost or pricing data.
1215.804-6  Submission of data.

Subpart 1215.9--Profit

1215.970  Payment of profit or fee under contracts.

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.

Subpart 1215.1--General Requirements for Negotiation


1215.106  Contract clauses.

    The contracting officer shall insert the clause at (TAR) 48 CFR 
1252.215-70, Key Personnel and/or Facilities, in solicitations and 
contracts when the selection for award is substantially based on the 
offeror's possession of special capabilities regarding personnel and/or 
facilities.

Subpart 1215.4--Solicitation and Receipt of Proposals and 
Quotations


1215.407  Solicitation provisions.

    (i) The provision at (FAR) 48 CFR 52.215-35, Annual Representations 
and Certifications--Negotiation, shall be included when applicable.


1215.413  Disclosure and use of information before award.


1215.413-1  Alternate I.

    The alternate procedures at (FAR) 48 CFR 15.413-2 shall be used in 
lieu of the alternate procedures prescribed at (FAR) 48 CFR 15.413-1.


1215.413-2  Alternate II.

    (e) The notice at (FAR) 48 CFR 15.413-2(e) shall be placed on the 
cover sheet of all proposals, whether solicited or unsolicited. The 
cite(s) under the first paragraph of the notice shall be, as a minimum, 
(TAR) 48 CFR 1215.413-2(f) and the cite of any OA implementing 
procedures.
    (f) Proposals may be released outside of the Government if it is 
necessary to receive the most competent technical and/or management 
evaluation available as long as the requirements of (FAR) 48 CFR 
15.413-2(f) are met.

Subpart 1215.6--Source Selection


1215.612  Formal source selection.

    DOT's formal source selection procedures are contained in TAM 
(Transportation Acquisition Manual which is stocked by the Government 
Printing Office), chapter 1215, Appendix A.

Subpart 1215.8--Price Negotiation


1215.804  Cost or pricing data.


1215.804-2  Requiring certified cost or pricing data.

    (a)(5) When certified cost or pricing data are not required (e.g., 
the action is below the thresholds at (FAR) 48 CFR 15.804-2 or adequate 
price competition is expected to exist), the contracting officer may 
ask for partial/limited data when it is necessary for the Government's 
analysis (e.g., cost realism). The contracting officer shall not 
require this data to be certified.
    (b) If, after receipt of proposals, the contracting officer 
determines that adequate price competition does not exist, the 
contracting officer shall obtain, as appropriate (see (FAR) 48 CFR 
15.804-2), certified cost or pricing data.


1215.804-6  Submission of data.

    The contracting officer may require the submission of DOT Form 
4220.44, Contract Pricing Summary, when submitting a proposal that 
requires a SF 1411.

Subpart 1215.9--Profit


1215.970  Payment of profit or fee under contracts.

    Profit or fee shall only be paid on definitized contracts and 
modifications. Any profit or fee earned during the undefinitized period 
shall be paid once the contract and/or modification, as applicable, is 
definitized.

PART 1216--TYPES OF CONTRACTS

Subpart 1216.2--Fixed-Price Contracts

1216.203  Fixed-price contracts with economic price adjustment.
1216.203-4  Contract clauses.
1216.203-470  Solicitation provision.

Subpart 1216.4--Incentive Contracts

1216.405  Contract clauses.

Subpart 1216.6--Time-and-Materials, Labor-Hour, and Letter Contracts

1216.603  Letter contracts.
1216.603-4  Contract clauses.

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.

Subpart 1216.2--Fixed-Price Contracts


1216.203  Fixed-price contracts with economic price adjustment.


1216.203-4  Contract clauses.


1216.203-470  Solicitation provision.

    The contracting officer shall insert the provision at (TAR) 48 CFR 
1252.216-70, Evaluation of Offers Subject to an Economic Price 
Adjustment Clause, in solicitations containing an economic price 
adjustment clause.

Subpart 1216.4--Incentive Contracts


1216.405  Contract clauses.

    (a) The contracting officer shall insert the clause at (TAR) 48 CFR 
1252.216-71, Determination of Award Fee, in all cost-plus-award-fee 
solicitations and contracts.
    (b) The contracting officer shall insert the clause at (TAR) 48 CFR 
1252.216-72, Performance Evaluation Plan, in all cost-plus-award-fee 
solicitations and contracts.
    (c) The contracting officer shall insert the clause at (TAR) 48 CFR 
1252.216-73, Distribution of Award Fee, in all cost-plus-award-fee 
solicitations and contracts.

Subpart 1216.6--Time-and-Materials, Labor-Hour, and Letter 
Contracts


1216.603  Letter contracts.


1216.603-4  Contract clause.

    The contracting officer shall insert the clause at (TAR) 48 CFR 
1252.216-74, Settlement of Letter Contract, in all definitized letter 
contracts.

Part 1217--Special Contracting Methods

Subpart 1217.1--Multiyear Contracting

1217.102  Policy.
1217.102-1  Uses.

Subpart 1217.70--Fixed Price Contracts for Vessel Repair, Alteration or 
Conversion

1217.7000  Clauses.

Subpart 1217.71--Energy Savings Performance Contracts

1217.7100  Policy.

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.

Subpart 1217.1--Multiyear Contracting


1217.102  Policy.


1217.102-1  Uses.

    The FAA Administrator has been granted specific statutory multiyear 
contracting authority by the Aviation Safety and Capacity Expansion Act 
of 1990 (Subtitle B of Title IX of Public Law 101-508, Omnibus Budget 
Reconciliation Act of 1990, Section 9118). FAA implementing procedures 
are contained in Federal Aviation Acquisition Manual Subchapter 1217.1.

Subpart 1217.70--Fixed Price Contracts for Vessel Repair, 
Alteration or Conversion


1217.7000  Clauses.

    The following clauses are to be used in specific solicitations and 
contracts:
    (a) The clauses set forth in (TAR) 48 CFR 1252.217-71 through (TAR) 
48 CFR 1252.217-74 and (TAR) 48 CFR 1252.217-76 through (TAR) 48 CFR 
1252.217-80 shall be included and clause (TAR) 48 CFR 1252.217-75 may 
be included in sealed bid fixed-price solicitations and contracts for 
vessel repair, alteration, or conversion which are to be performed 
within the United States, its possessions, or Puerto Rico.
    (b) Unless inappropriate, the clauses set forth in (TAR) 48 CFR 
1252.217-71 through (TAR) 48 CFR 1252.217-74 and (TAR) 48 CFR 1252.217-
76 through (TAR) 48 CFR 1252.217-80 should be included and (TAR) 48 CFR 
1252.217-75 may be included in negotiated solicitations and contracts 
to be performed outside the United States.
    (c) The clause at (TAR) 48 CFR 1252.217-81, Guarantee, shall be 
used where general guarantee provisions are deemed desirable by the 
contracting officer.
    (1) When inspection and acceptance tests will afford full 
protection to the Government in ascertaining conformance to 
specifications and the absence of defects and deficiencies, no 
guarantee clause for that purpose shall be included in the contract.
    (2) The customary guarantee period, to be inserted in the first 
sentence of the clause at (TAR) 48 CFR 1252.217-81, Guarantee, is 60 
days. However, in certain instances, the contracting officer may desire 
to include a clause in a contract for a guarantee period of more than 
60 days. In such instances:
    (i) Where, after full inquiry, it has been determined that such 
longer guarantee period will not involve increased costs, a longer 
guarantee period may be substituted by the contracting officer for the 
usual 60 days; or
    (ii) Where the full inquiry discloses that such longer guarantee 
period will involve, or is reasonably expected to involve, increased 
costs, such facts and the reasons for the need for such longer period 
shall be set forth in letter form to the COCO, requesting approval for 
use of guarantee period in excess of 60 days. Upon approval, the longer 
period may be inserted by the contracting officer in the first sentence 
of the clause at (TAR) 48 CFR 1252.217-81, Guarantee.

Subpart 1217.71--Energy Savings Performance Contracts


1217.7100  Policy.

    Federal agencies may enter into multi-year contracts for a period 
of up to 25 years under Title VIII of the National Energy Conservation 
Policy Act, 42 U.S.C. 8287, as amended. Energy savings performance 
arrangements are appropriate where a contractor makes improvements and/
or operating changes to Federally-owned buildings and facilities to 
improve energy efficiency, at no cost to the Federal Government. 
Proposed actions under this section shall be coordinated with M-60.

PART 1219--SMALL BUSINESS AND SMALL DISADVANTAGED BUSINESS CONCERNS

Subpart 1219.2--Policies

1219.201  General policy.
Subpart 1219.7--Subcontracting with Small Business and Small 
Disadvantaged Business Concerns
1219.708  Solicitation provisions and contract clauses.
1219.708-70  DOT solicitation and contract clause.
Subpart 1219.10--Small Business Competitiveness Demonstration Program
1219.1005  Applicability.
1219.1006  Procedures.

Appendices

Appendix A  Targeted Industry Categories

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.

Subpart 1219.2--Policies


1219.201  General policy.

    (c) The Director, Office of Small and Disadvantaged Business 
Utilization (S-40), is responsible for the implementation and execution 
of the small and small disadvantaged business programs required by 
sections 8 and 15 of the Small Business Act. HOAs or their designees 
are responsible for appointing Small and Disadvantaged Business 
Utilization Specialists within the OAs.

Subpart 1219.7--Subcontracting With Small Business and Small 
Disadvantaged Business Concerns


1219.708  Solicitation provisions and contract clauses.


1219.708-70  DOT solicitation and contract clause.

    The contracting officer shall insert the clause at (TAR) 48 CFR 
1252.219-70, Small Business and Small Disadvantaged Business 
Subcontracting Reporting, in solicitations and contracts containing the 
clause at (FAR) 48 CFR 52.219-9.

Subpart 1219.10--Small Business Competitiveness Demonstration 
Program


1219.1005  Applicability.

    (b) Targeted industry categories. DOT's targeted industry 
categories are shown in appendix A of this subpart.


1219.1006  Procedures.

    (c) Emerging small business set-aside. The SBA published a notice 
in the Federal Register, dated September 13, 1991, that increased the 
emerging small business reserve amount for Architect-Engineer (A-E) 
services from $25,000 to $50,000. Therefore, A-E services below $50,000 
are reserved for emerging small businesses, if the conditions of (FAR) 
48 CFR 19.1006(c)(1) are met. 

                               Appendix A                               
------------------------------------------------------------------------
                                                             Standard   
                                            FPDS product    industrial  
            Industry category*               and service  classification
                                                code           code     
------------------------------------------------------------------------
(1) Engineering Development...............  AT94                 8748   
(2) Systems Engineering Services (Only)...  R414                 8748   
(3) Radio/TV Communication Equipment        5820                 3663   
 (except airborne).                                                     
(4) Maintenance Engine/Turbine and          J028/J010            7699   
 Maintenance Repair, Rebuilding of Weapons                              
 Equipment.                                                             
(5) ADP Central Processing Units..........                              
  Analog..................................  7020                 3571   
  Digital.................................  7021                 3571   
  Hybrid..................................  7022                 3571   
(6) ADP Support Equipment.................  7035                 3577   
(7) ADP Components........................  7050                 3571   
(8) ADP Teleprocessing and Systems          D302/D305            7371   
 Development and Programming Services.                                  
(9) Gas Turbines and Jet Engines,           2840                 3724   
 Aircraft; and Components.                                              
(10) Radar Equipment and Navigation and     5840/AT30            3812   
 Navigational Aids R&D.                                                 
------------------------------------------------------------------------
*The industry categories were derived from Federal Procurement Data     
  Product and Services Codes Manual, dated September 1991.              

PART 1220--LABOR SURPLUS AREA CONCERNS

Subpart 1220.90--Local Hire

1220.9000  Policy. (USCG)
1220.9001  Solicitation provision and contract clause. (USCG)

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.

Subpart 1220.90--Local Hire


1220.9000  Policy. (USCG)

    Public Law 101-225, Coast Guard Authorization Act of 1989, Section 
206, added Section 666 to Title 14 of the United States Code, which 
requires the U.S. Coast Guard to include a provision for local hire in 
each contract for construction or services to be performed in whole or 
in part in a State that has an unemployment rate in excess of the 
national average rate of unemployment (as determined by the Secretary 
of Labor). The Secretary of Transportation may waive this requirement 
in the interest of national security or economic efficiency.


1220.9001  Solicitation provision and contract clause. (USCG)

    The contracting officer shall insert the USCG clause at (TAR) 48 
CFR 1252.220-90, Local Hire Provision, in all solicitations and 
contracts as required by (TAR) 48 CFR 1220.9000.

PART 1222--APPLICATION OF LABOR LAWS TO GOVERNMENT ACQUISITIONS

Subpart 1222.1--Basic Labor Policies

1222.101  Labor relations.
1222.101-70  Admittance of union representatives to DOT 
installations.
1222.101-71  Contract clauses.
Subpart 1222.4--Labor Standards for Contracts Involving Construction
1222.406  Administration and enforcement.
1222.406-9  Withholding from or suspension of contract payments.

Subpart 1222.6--Walsh-Healey Public Contracts Act

1222.608  Procedures.
1222.608-4  Award pending final determination.

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.

Subpart 1222.1--Basic Labor Policies


1222.101  Labor relations.


1222.101-70  Admittance of union representatives to DOT installations.

    (a) It is the policy of DOT to admit labor union representatives of 
contractor employees to DOT installations to visit work sites and 
transact labor union business with contractors, their employees, or 
union stewards pursuant to existing union collective bargaining 
agreements. Their presence shall not interfere with the contractor's 
work progress under a DOT contract nor violate the safety or security 
regulations that may be applicable to persons visiting the 
installation. The union representatives will not be permitted to 
conduct meetings, collect union dues, or make speeches concerning union 
matters while visiting a work site.
    (b) Whenever a union representative is denied entry to a work site, 
the person denying entry shall make a written report to the DOT labor 
coordinator (i.e., Director, Office of Economics (P-35), Office of the 
Secretary) or OA labor advisor, if any, within two working days after 
the request for entry is denied. The report shall include the reason(s) 
for the denial, the name of the representative denied entry, the union 
affiliation and number, and the name and title of the person that 
denied the entry.


1222.101-71  Contract clauses.

    (a) The contracting officer, may, when applicable, insert the 
clause at (TAR) 48 CFR 1252.222-70, Strikes or Picketing Affecting 
Timely Completion of the Contract Work, in solicitations and contracts.
    (b) The contracting officer may, when applicable, insert the clause 
at (TAR) 48 CFR 1252.222-71, Strikes or Picketing Affecting Access to a 
DOT Facility, in solicitations and contracts.

Subpart 1222.4--Labor Standards for Contracts Involving 
Construction


1222.406  Administration and enforcement.


1222.406-9  Withholding from or suspension of contract payments.

    (c) Disposition of contract payments withheld or suspended.
    (1) Forwarding wage underpayments to the Comptroller General. The 
contracting officer shall ensure that a completed Form DOT F 4220.7, 
Employee Claim for Wage Restitution, is obtained from each employee 
claiming restitution under the contract. The Comptroller General 
(Claims Division) must receive this form with a completed SF 1093, 
Schedule of Withholding Under the Davis-Bacon Act and/or the Contract 
Work Hours and Safety Standards Act, before payment can be made to the 
employee.

Subpart 1222.6--Walsh-Healey Public Contracts Act


1222.608  Procedures.


1222.608-4  Award pending final determination.

    (b) The official authorized to approve the contracting officer's 
written certification required by (FAR) 48 CFR 22.608-4(b)(1) is the 
HCA.

PART 1223--ENVIRONMENT, CONSERVATION, OCCUPATIONAL SAFETY, AND 
DRUG-FREE WORKPLACE

Subpart 1223.3--Hazardous Material Identification and Material Safety 
Data
1223.303  Contract clause.

Subpart 1223.70--Safety Requirements for Selected Dot Contracts

1223.7000  Contract clauses.

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.

Subpart 1223.3--Hazardous Material Identification and Material 
Safety Data


1223.303  Contract clause.

    The contracting officer shall insert the clause at (TAR) 48 CFR 
1252.223-70, Removal or Disposal of Hazardous Substances--Applicable 
Licenses and Permits, in solicitations and contracts involving the 
removal or disposal of hazardous waste material.

Subpart 1223.70--Safety Requirements for Selected DOT Contracts


1223.7000  Contract clauses.

    (a) Where all or part of a contract will be performed on 
Government-owned or leased property, the contracting officer shall 
insert the clause at (TAR) 48 CFR 1252.223-71, Accident and Fire 
Reporting.
    (b) For all solicitations and contracts under which human test 
subjects will be utilized, the contracting officer shall insert the 
clause at (TAR) 48 CFR 1252.223-72, Protection of Human Subjects.

PART 1224--PROTECTION OF PRIVACY AND FREEDOM OF INFORMATION

1224.000  Scope of part.

Subpart 1224.1--Protection of Individual Privacy

1224.102-70  Applicability.

SUBPART 1224.2--FREEDOM OF INFORMATION ACT

1224.202  Policy.

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.


1224.000  Scope of part.

    DOT's rules and regulations implementing the Privacy Act of 1974 
are located at 49 CFR part 10.

Subpart 1224.1--Protection of Individual Privacy


1224.102-70  Applicability.

    (a) Illustrations of systems of records to which the Privacy Act 
applies and which shall not be released irrespective of whether the 
Government or a contractor acting on behalf of the Government is 
maintaining the records include the following:
    (1) Personnel, payroll and background records personal to any 
officer or employee of DOT, or other person, including his or her 
residential address;
    (2) Medical histories and medical records concerning individuals, 
including applicants for licenses; and
    (3) Any other detailed record containing information identifiable 
with a particular person.
    (b) Illustrations of systems of records to which the Privacy Act 
does not apply include:
    (1) Records that are maintained by a contractor on individuals 
employed by the contractor in the process of providing goods and 
services to the Federal Government; and
    (2) The records generated, when contracting with an educational 
institution, on contract students pursuant to their attendance (e.g., 
admission forms, grade reports), provided that they are similar to 
those maintained on other students and are commingled with records of 
other students.

Subpart 1224.2--Freedom of Information Act


1224.202  Policy.

    DOT rules and regulations implementing the Freedom of Information 
Act (FOIA) and the names and addresses of the OA FOIA offices are 
located in 49 CFR part 7. Specific contract award information shall be 
requested from the FOIA office of the OA making the contract award.

PART 1225--FOREIGN ACQUISITION

Subpart 1225.90--Buy American Act--Steel and Manufactured Products
1225.900  Scope. (FAA)
1225.9001  Definitions. (FAA)
1225.9002  Policy. (FAA)
1225.9003  Order of Precedence. (FAA)
1225.9004  Findings. (FAA)
1225.9005  Solicitation Provisions and Contract Clauses. (FAA)

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.


1225.90  Steel and Manufactured Products. (FAA)


1225.9000  Scope. (FAA)

    For the FAA, this subpart implements the Buy American provisions of 
the Aviation Safety and Capacity Expansion Act of 1990 (Subtitle B of 
Title IX of Pub. L. 101-508, the Omnibus Budget Reconciliation Act of 
1990), and Pub. L. 102-581, The Airport and Airway Safety, Capacity, 
Noise Improvement, and Intermodal Transportation Act of 1992, Title I, 
Sec. 103 and 104, as these apply to the obligation of funds derived 
from appropriations through Fiscal Year (FY) 1995.


1225.9001  Definitions. (FAA)

     As used in this subpart:
    Manufactured product means an item produced as a result of the 
manufacturing process.
    Manufacturing process means the application of processes to alter 
the form or function of materials or of elements of the product in a 
manner adding value and transforming those materials or elements so 
that they represent a new end product functionally different from that 
which would result from mere assembly of the elements or materials.


1225.9002  Policy. (FAA)

    (a) This subpart sets forth the policy for the FAA pursuant to Pub. 
L. 101-508, and notwithstanding any other provision of law, the 
Secretary of Transportation shall not obligate any funds authorized to 
be appropriated for any project unless steel and manufactured products 
used in such projects are produced in the United States. Projects 
funded by the Research, Engineering and Development appropriation are 
excluded from this provision.
    (b) The Act provides that the general provisions in paragraph (a) 
shall not apply where the Secretary of Transportation finds that:
    (1) Their application would be inconsistent with the public 
interest;
    (2) Such materials and products are not produced in the United 
States in sufficient and reasonably available quantities and of a 
satisfactory quality;
    (3) In the case of the procurement of facilities and equipment 
under the Airport and Airway Improvement Act of 1982, (i) the cost of 
components and subcomponents which are produced in the United States is 
more than 60 percent of the cost of all components of the facility or 
equipment used in the project, and (ii) final assembly of the facility 
or equipment described in this paragraph has taken place in the United 
States; or
    (4) Inclusion of domestic material will increase the cost of the 
overall project contract by more than 25 percent.
    (c) There is no restriction against a company offering foreign 
steel or manufactured products in its bid or proposal. The FAA, 
however, may not award to that company unless it is pursuant to one of 
the exceptions listed under the FAA guidance at (TAR) 48 CFR 
1225.9002(b).
    (d) For the purpose of this subpart, in calculating components' 
costs, labor costs involved in final assembly shall not be included in 
the calculation.


1225.9003  Order of precedence. (FAA)

    (a) Any acquisition of FAA not subject to Pub. L. 101-508 should be 
treated as covered under the Buy American Act, unless a Buy American 
Act exception applies.
    (b) Nothing in this subpart relieves the contracting officer of 
responsibility for complying with the Federal Acquisition Regulation 
(FAR) 48 CFR subpart 25.1, Buy American Act--Supplies, and (FAR) 48 CFR 
subpart 25.2, Buy American Act Construction Materials, including the 
requirement to insert any FAR required Buy American clause or provision 
in solicitations or contracts. To the extent that there may be a 
conflict between the requirements of the clause prescribed by this 
subpart and a FAR prescribed Buy American clause, both of which may be 
required to be included in the same contract, this subpart's clause 
takes precedence.
    (c) The certificate required to be executed by this subpart, 
entitled, ``Buy American Certificate--Steel and Manufactured Products'' 
((TAR) 48 CFR 1252.225-90), will be in addition to any Buy American 
certification required by the FAR. Although this may appear to be a 
situation of a clear duplication of certifications (two Buy American 
certificates in the same acquisition) the separate certificates 
implement two separate statutes, which differ in coverage. 
Consequently, the contents of the two certificates included in the same 
acquisition may differ. As one example: such materials as copper or 
aluminum, if end products in the contract and if nondomestic, would be 
listed in the FAR Buy American certificate, whereas they would not be 
listed in the certificate required by this subpart. This is because 
only steel, among nonmanufactured materials, is subject to the 
restrictions of Pub. L. 101-508, whereas all nondomestic end products 
are subject to restrictions of the Buy American Act (unless a Buy 
American Act exception applies).


1225.9004  Findings. (FAA)

    In respect to the four findings enumerated in FAA guidance at (TAR) 
48 CFR 1225.9002(b), the following applies:
    (a) Based on delegations from the Secretary and the Federal 
Aviation Administrator, authorities for the making of these findings 
are established as follows:
    (1) Contracts exceeding $1,000,000: Head of the Contracting 
Activity. For construction contracts, this is for an amount exceeding 
$100,000.
    (2) Contracts below the above dollar thresholds: Contracting 
officer.
    (b) All findings, except those authorized to be made by the 
contracting officer, shall be coordinated with the Director, Office of 
Acquisition Policy and Oversight, ACQ-1. Every finding shall be 
coordinated with the Office of Chief Counsel and the appropriate 
Program Office.


1225.9005  Solicitation provision and contract clause. (FAA)

    (a) If the procurement includes the acquisition of steel or 
manufactured products, the contracting officer shall insert the FAA 
provision at (TAR) 48 CFR 1252.225-90, Buy American Certificate--Steel 
and Manufactured Products (July 1992), in solicitations. Projects 
funded by the Research, Engineering and Development appropriation to 
carry out the purpose of Section 302 of the Federal Aviation Act of 
1958, as amended (49 U.S.C. App. 1353) are excluded from this 
requirement. Only those contract actions obligating funds made 
available in appropriations for FY 1995 or for earlier fiscal years are 
subject to this requirement.
    (b) If the procurement includes the acquisition of steel or 
manufactured products, the contracting officer shall insert the FAA 
clause at (TAR) 48 CFR 1252.225-91, Buy American--Steel and 
Manufactured Products (July 1992) in solicitations and contracts. 
Projects funded by the Research, Engineering and Development 
appropriation to carry out the purpose of Section 302 of the Federal 
Aviation Act of 1958, as amended (49 U.S.C. App. 1353) are excluded 
from this requirement. Only those contract actions obligating funds 
made available in appropriations for FY 1995 or for earlier fiscal 
years are subject to this requirement.

PART 1227--PATENTS, DATA, AND COPYRIGHTS

Subpart 1227.3--Patent Rights Under Government Contracts

1227.305 Administration of patent rights clauses.
1227.305-4 Conveyance of invention rights acquired by the 
Government.

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.

Subpart 1227.3--Patent Rights Under Government Contracts


1227.305  Administration of patent rights clauses.


1227.305-4  Conveyance of invention rights acquired by the Government.

    The contracting officer shall ensure that solicitations and 
contracts which include a patent rights clause include a means for the 
contractor to report inventions made in the course of contract 
performance and at contract completion. This requirement may be 
fulfilled by requiring the contractor to submit a DD Form 882, Report 
of Inventions and Subcontracts.

PART 1228--BONDS AND INSURANCE

Subpart 1228.1--Bonds

1228.106  Administration.
1228.106-1  Bonds and bond-related forms.
1228.106-6  Furnishing of information.
1228.106-70  Execution and administration of bonds.

Subpart 1228.3--Insurance

1228.306  Insurance under fixed-price contracts.
1228.306-70  Contracts for lease of aircraft.

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.

Subpart 1228.1--Bonds


1228.106  Administration.


1228.106-1  Bonds and bond-related forms.

    (a) SF 25, Performance Bond, prescribed at (FAR) 48 CFR 28.106-
1(c), must provide coverage for taxes imposed by the United States 
which are collected, deducted, or withheld from wages paid by the 
contractor. Forms other than the SF 25 (e.g., a commercial form) shall 
not be used by contractors when a performance bond is required.


1228.106-6  Furnishing of information.

    (b) The contracting officer shall, upon request, furnish the name 
and address of the prime contractor's surety or sureties to employees, 
suppliers, and subcontractors having a contractual or employment 
relationship with prime contractors, subcontractors or suppliers. When 
furnishing surety information, the inquirer may also be informed that:
    (1) Persons believing that they have legal remedies under the 
Miller Act are cautioned to consult their own legal advisor regarding 
the proper steps to take to obtain remedies.
    (2) On construction contracts exceeding $2,000, if the contracting 
officer is informed (through routine compliance checking, a complaint, 
or a request for information) that a laborer, mechanic, apprentice, 
trainee, watchman, or guard employed by the contractor or subcontractor 
at any tier may have been paid wages less than those required by the 
applicable labor standards provisions of the contract, the contracting 
officer shall promptly initiate an investigation in accordance with 
(FAR) 48 CFR subpart 22.4, irrespective of the employee's rights under 
the Miller Act. When an employee's request for information is involved, 
the contracting officer shall inform the inquirer that such 
investigation will be made. Such investigation is required pursuant to 
the provisions of the Davis-Bacon Act, Contract Work Hours and Safety 
Standards Act, and Copeland (Anti-Kickback) Act for assuring proper 
payment to such employees.
    (c) When furnishing a copy of a payment bond and contract in 
accordance with (FAR) 48 CFR 28.106-6(c), the requirement for a copy of 
the contract may be satisfied by furnishing a machine-duplicate copy of 
the contractor's first pages which show the contract number and date, 
the contractor's name and signature, the contracting officer's 
signature, and the description of the contract work. The contracting 
officer furnishing the copies shall place the statement ``Certified to 
be a true and correct copy'' followed by his/her signature, title and 
name of the OA. The fee for furnishing the requested certified copies 
shall be determined in accordance with the DOT Freedom of Information 
Act regulation, 49 CFR part 7 ((TAR) 48 CFR 1224.202).


1228.106-70  Execution and administration of bonds.

    (a) The surety shall be notified, as soon as feasible, of the 
contractor's failure to perform in accordance with the terms of the 
contract.
    (b) When a partnership is a principal on a bond, the names of all 
the members of the firm shall be listed in the bond following the name 
of the firm, and the phrase ``a partnership composed of.'' If a 
principal is a corporation, the state of incorporation must also appear 
on the bond.
    (c) Performance or payment bond other than an annual bond shall not 
antedate the contract to which it pertains.
    (d) Bonds shall be filed with the original contract to which they 
apply, or all bonds shall be separately maintained and reviewed 
quarterly for validity. If separately maintained, each contract file 
shall cross-reference the applicable bonds.

Subpart 1228.3--Insurance


1228.306  Insurance under fixed-price contracts.


1228.306-70  Contracts for lease of aircraft.

    (a) The contracting officer shall insert the clauses at (TAR) 48 
CFR 1252.228-70 through 1252.228-72, unless otherwise indicated by the 
specific instructions for their use, in any contract for the lease of 
aircraft (including aircraft used in out-service flight training).
    (b) The contracting officer shall insert the clause at (TAR) 48 CFR 
1252.228-70, Loss of or Damage to Leased Aircraft, in any contract for 
the lease of aircraft, except in the following circumstances:
    (1) When the hourly rental rate does not exceed $250 and the total 
rental cost for any single transaction is not in excess of $2,500;
    (2) When the cost of hull insurance does not exceed 10 percent of 
the contract rate; or
    (3) When the lessor's insurer does not grant a credit for uninsured 
hours, thereby preventing the lessor from granting the same to the 
Government.
    (c) The contracting officer shall insert the clause at (TAR) 48 CFR 
1252.228-71, Fair Market Value of Aircraft, when fair market value of 
the aircraft can be determined.
    (d) Section 504 of the Federal Aviation Act of 1958, as amended, 
provides that no lessor of an aircraft under a bona fide lease of 30 
days or more shall be liable by reason of his interest as lessor or 
title-holder of the aircraft for any injury to or death of persons, or 
damage to or loss of property, unless such aircraft is in the actual 
possession or control of such person at the time of such injury, death, 
damage or loss. On short-term or intermittent-use leases, however, the 
owner may be liable for damage caused by operation of the aircraft. It 
is usual for the aircraft owner to retain insurance covering this 
liability during the term of such lease. Such insurance can, often for 
little or no increase in premium, be made to cover the Government's 
exposure to liability as well. In order to take advantage of this 
coverage, the Risks and Indemnities clause at (TAR) 48 CFR 1252.228-72 
prescribed in paragraph (d)(1) of this section shall be used.
    (1) The contracting officer shall insert the clause at (TAR) 48 CFR 
1252.228-72, Risk and Indemnities, in any contract for out-service 
flight training or for the lease of aircraft when the Government will 
have exclusive use of the aircraft for a period of less than thirty 
days.
    (2) Any contract for out-service flight training shall include a 
clause in the contract schedule stating substantially that the 
contractor's personnel shall at all times during the course of the 
training be in command of the aircraft, and that at no time shall other 
personnel be permitted to take command of the aircraft.

Subpart 1228.106--Bonds


1228.9000  Miller Act notification. (USCG)

    The contracting officer shall insert the USCG clause at (TAR) 48 
CFR 1252.228-90, Notification of Miller Act Payment Bond Protection, in 
solicitations and contracts, and shall require its first-tier 
subcontractors to insert the clause in all of their subcontracts, when 
payment bonds are required.

PART 1231--CONTRACT COST PRINCIPLES AND PROCEDURES

Subpart 1231.2--Contracts With Commercial Organizations


1231.205  Selected costs.


1231.205-32  Precontract costs.

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.

SUBPART 1231.2--CONTRACTS WITH COMMERCIAL ORGANIZATIONS


1231.205  Selected costs.


1231.205-32  Precontract costs.

     (a) The decision to incur precontract costs is that of the 
contractor. No DOT employee can authorize, demand, or require a 
contractor to incur precontract costs. The contracting officer may 
advise the prospective contractor that any costs incurred before 
contract award are at the contractor's sole risk and that if 
negotiations fail to result in a binding contract, payment of these 
costs may not be made by the Government.
    (b) When the contracting officer determines that incurring 
precontract costs was necessary to meet the proposed contract delivery 
schedule of a cost-reimbursement contract, the clause at (TAR) 48 CFR 
1252.231-70, Date of Incurrence of Costs, may be inserted in the 
resultant contract.

PART 1232--CONTRACT FINANCING

Subpart 1232.70--Contract Payments

1232.7002  Invoice and voucher review and approval.

Appendices

Appendix A  Instructions for completing the SF 1034.
Appendix B   Instructions for completing the SF 1035.

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.

Subpart 1232.70--Contract Payments


1232.7002  Invoice and voucher review and approval.

    (a) Under fixed-price contracts, the contracting officer shall 
require the contractor to submit an invoice or voucher in order to 
receive payment under the contract. The invoice or voucher may be on a 
form or company letterhead as long as it meets the requirements of the 
Prompt Payment Act as implemented by OMB Circular A-125--Prompt 
Payment, (FAR) 48 CFR subpart 32.9, and the contract.
    (b) Under other than fixed-price contracts, the contracting office 
shall require the contractor to submit the SF 1034, Public Voucher for 
Purchases and Services Other Than Personal, and the SF 1035, Public 
Voucher for Purchases and Services Other Than Personal (Continuation 
Sheet), to request payments. The forms must be completed as required by 
Appendix A, Instructions for Completing the SF 1034, and Appendix B, 
Instructions for Completing the SF 1035.

Appendix A--Instructions for Completing the SF 1034

    The SF 1034, Public Voucher for Purchases and Services Other 
Than Personal, shall be completed in accordance with the below 
instructions. The lettered items correspond to the entries on the 
form.

------------------------------------------------------------------------
       Caption on the SF 1034          Data to be inserted in the block 
------------------------------------------------------------------------
1. U.S. DEPARTMENT, BUREAU, OR       Name and address of the contracting
 ESTABLISHMENT AND LOCATION.          office which issued the contract. 
2. DATE VOUCHER PREPARED...........  Date voucher submitted to the      
                                      designated billing office cited   
                                      under the contract or order.      
3. CONTRACT NO. AND DATE...........  Contract No. and, when applicable, 
                                      the Order No. and date as shown on
                                      the award document.               
4. REQUISITION NO. AND DATE........  Leave blank or fill-in in          
                                      accordance with the instructions  
                                      in the contract.                  
5. VOUCHER NO......................  Start with ``1'' and number        
                                      consecutively. A separate series  
                                      of consecutive numbers must be    
                                      used beginning with ``1'' for each
                                      contract number or order number   
                                      (when applicable). Note: Insert   
                                      the word ``FINAL'' if this is the 
                                      last voucher.                     
6. SCHEDULE NO.; PAID BY; DATE       Leave all these blocks blank.      
 INVOICE RECEIVED; DISCOUNT TERMS;                                      
 PAYEE'S ACCOUNT NO.; SHIPPED FROM/                                     
 TO; WEIGHT; GOVERNMENT B/L.                                            
7. PAYEE'S NAME AND ADDRESS........  Name and address of contractor as  
                                      it appears on the contract. If the
                                      contract is assigned to a bank,   
                                      also show ``CONTRACT ASSIGNED''   
                                      below the name and address of the 
                                      contractor.                       
8. NUMBER AND DATE OF ORDER........  Leave blank. (See 3 above.)        
9. DATE OF DELIVERY OR SERVICE.....  The period for which the incurred  
                                      costs are being claimed (e.g.,    
                                      month and year; beginning and     
                                      ending date of services, etc.).   
10. ARTICLES OR SERVICES...........  Insert the following: ``For detail,
                                      see the total amount of the claim 
                                      transferred from the attached SF  
                                      1035, page X of X.'' One space    
                                      below this line, insert the       
                                      following: ``COST REIMBURSABLE-   
                                      PROVISIONAL PAYMENT.''            
11. QUANTITY; UNIT PRICE; (COST;     Leave blank.                       
 PER).                                                                  
12. AMOUNT.........................  Insert the total amount claimed    
                                      from the last page of the SF 1035.
Payee must NOT use the space below.  Do NOT write or type below this    
                                      line.                             
------------------------------------------------------------------------

Appendix B--Instructions for Completing the SF 1035

    The SF 1035, Public Voucher for Purchases and Services Other 
Than Personal (Continuation Sheet), shall be completed in accordance 
with the below instructions.
    1. Use the same basic instructions for the SF 1035 as used for 
the SF 1034. Ensure that the contract and, if applicable, order 
number, are shown on each continuation sheet. Use as many sheets as 
necessary to show the information required by the contract, 
contracting officer, or cognizant audit agency; however, if more 
than one sheet of SF 1035 is used, each sheet shall be in numerical 
sequence.
    2. The following items are generally entered below the line with 
Number and Date of Order; Date of Delivery or Service; Articles or 
Services; Quantity; Unit Price; and Amount (but do not necessarily 
tie to these captions).
    3. Description of data to be inserted as it applies to the 
contract or order number.
    a. Show, as applicable, the target or estimated costs, target or 
fixed-fee, and total contract value, as adjusted by any 
modifications to the contract or order. The FAR permits the 
contracting officer to withhold a percentage of fixed fee until a 
reserve is set aside in an amount that is considered necessary to 
protect the Government's interest.
    b. Show the following costs and supporting data (as applicable) 
to the contract or order:
    (1) Direct Labor. List each labor category, rate per labor hour, 
hours worked, and extended total labor dollars per labor category.
    (2) Premium Pay/Overtime. List each labor category, rate per 
labor hour, hours worked, and the extended total labor dollars per 
labor category. Note: Advance written authorization must be received 
from the contracting officer to work overtime or to pay premium 
rates; therefore, identify the contracting officer's written 
authorization to the contractor.
    (3) Fringe Benefits. If fringe benefits are included in the 
overhead pool, no entry is required. If the contract allows for a 
separate fringe benefit pool, cite the formula (rate and base) in 
effect during the time the costs were incurred. If the contract 
allows for billing fringe benefits as a direct expense, show the 
actual fringe benefit costs.
    (4) Materials, Supplies, Equipment. Show those items normally 
treated as direct costs. Expendable items need not be itemized and 
may be grouped into major classifications such as office supplies. 
However, items valued at $5,000 or more must be itemized. See (FAR) 
48 CFR part 45, Government Property, for reporting of property.
    (5) Travel. List the name and title of traveller, place of 
travel, and travel dates. If the travel claim is based on the actual 
costs expended, show the amount for the mode of travel (i.e., 
airline, private auto, taxi, etc.), lodging, meals, and other 
incidental expenses separately, on a daily basis. These actual costs 
must be supported with receipts to substantiate the costs paid. 
Travel costs for consultants must be shown separately and also 
supported.
    (6) Other Direct Costs. Itemize those costs that cannot be 
placed in categories (1) through (5) above. Categorize these costs 
to the extent possible.
    (7) Total Direct Costs. Cite the sum of categories (1) through 
(6) above.
    (8) Overhead. Cite the rate, base, and extended amount.
    (9) G&A Expense. Cite the rate, base, and extended amount.
    (10) Total Costs. Cite the sum of categories (7) through (9) 
above.
    (11) Fee. Cite the rate, base, and extended amount.
    (12) Total Cost and Fee Claimed. Enter this amount on the SF 
1034.

Completion Voucher

    The completion (final) voucher is the last voucher to be 
submitted for incurred, allocable, and allowable costs expended to 
perform the contract or order. This voucher should include all 
contract reserves, allowable cost withholdings, balance of fixed 
fee, etc. However, the amount of the completion voucher when added 
to the total amount previously paid cannot exceed the total amount 
of the contract.

PART 1233--PROTESTS, DISPUTES, AND APPEALS

Subpart 1233.2--Disputes and Appeals

1233.211  Contracting officer's decision.
1233.214  Alternative dispute resolution.

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.

Subpart 1233.2--Disputes and Appeals


1233.211  Contracting officer's decision.

    For DOT contracts, the Board of Contract Appeals (BCA) referenced 
at (FAR) 48 CFR 33.211 is the Department of Transportation Board of 
Contract Appeals (S-20), 400 7th Street SW, Washington, DC, 20590. The 
DOTBCA Rules of Procedure are contained in 48 CFR chapter 63, part 
6301.


1233.214  Alternative dispute resolution.

    (b) The Administrative Dispute Resolution Act (ADRA), Pub. L. 101-
552, authorizes and encourages agencies to use mediation, conciliation, 
arbitration, and other techniques for the prompt and informal 
resolution of disputes, and for other purposes. The DOTBCA Alternate 
Dispute Resolution (ADR) procedures are contained in 48 CFR chapter 63, 
section 6302.30, ADR Methods (Rule 30), which will be distributed to 
the parties, if ADR procedures are used, and may be obtained from the 
DOTBCA upon request. ADR procedures may be used when:
    (1) There is mutual consent by the parties to participate in the 
ADR process (with consent being obtained either before or after an 
issue in controversy has arisen);
    (2) Prior to the submission of a claim; and
    (3) In resolution of a formal claim.
    (c) DOT's Dispute Resolution Specialist in accordance with the ADRA 
is located in the DOT Office of the General Counsel, C-1.
     (d) The DOTBCA is designated as the preferred neutral to perform 
the functions set forth in the Administrative Disputes Resolution Act 
for DOT operating administrations on a non-reimbursable basis. The BCA 
may conduct any of the alternative means of dispute resolution set 
forth in Title 5, U.S.C. Section 581(3), including settlement 
negotiations under the auspices of a settlement judge, conciliation, 
facilitation, mediation, fact finding, mini-trials, and arbitration, or 
any combination of these methods.

PART 1234--MAJOR SYSTEM ACQUISITION

1234.003  Responsibilities.

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.


1234.003  Responsibilities.

     DOT's internal procedures for implementing OMB Circular A-109, 
Major System Acquisitions, is contained in Chapter 1234, Appendix A, of 
the Transportation Acquisition Manual.

PART 1235--RESEARCH AND DEVELOPMENT CONTRACTING

1235.003  Policy.

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.


1235.003  Policy.

     (b) Cost sharing. DOT cost sharing policies shall be in accordance 
with (FAR) 48 CFR 16.303, 48 CFR 42.707(a), and OA procedures.

PART 1236--CONSTRUCTION AND ARCHITECT-ENGINEER CONTRACTS

Subpart 1236.3--Special Aspects of Sealed Bidding in Construction 
Contracting
1236.305  Preconstruction conference.

Subpart 1236.5--Contract Clauses

1236.570  Special precautions for work at operating airports.

Subpart 1236.6--Architect-Engineer Services

1236.602  Selection of firms for architect-engineer contracts.
1236.602-1  Selection criteria.

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.

Subpart 1236.3--Special Aspects of Sealed Bidding in Construction 
Contracting


1236.305  Preconstruction conference.

    When the contracting officer considers such action warranted, he/
she shall arrange a preconstruction conference with the contractor and 
such subcontractors as the contractor may designate to assure that 
there is a clear understanding of the contract requirements (including 
labor standards provisions) and the rights and obligations of the 
parties.

Subpart 1236.5--Contract Clauses


1236.570  Special precautions for work at operating airports.

     Where any acquisition will require work at an operating airport, 
insert the clause at (TAR) 48 CFR 1252.236-70, Special Precautions for 
Work at Operating Airports, in solicitations and contracts.

Subpart 1236.6--Architect-Engineer Services


1236.602  Selection of firms for architect-engineer contracts.


1236.602-1  Selection criteria.

    (a) Appropriate criteria in addition to those under (FAR) 48 CFR 
36.602-1(a) may include, but are not limited to, the criteria listed in 
this section. The extent to which these criteria are used will depend 
on the size and the complexity of the project. For instance, for small 
and straight-forward projects, particularly those under the small 
purchase limitation, the data provided by the SFs 254 and 255 may 
provide an adequate measure of the firm's experience and qualification 
required for the project. However, on large and more complex projects, 
the evaluation criteria should be extended to consider such factors as 
the firm's suggested design approach, methods, and design ability, such 
as:
    (1) Capability of the firm to accomplish the work:
    (i) Relevant, recent experience and technical knowledge of key 
project personnel and key outside consultants;
    (ii) Total number of personnel the Architect-Engineer (A-E) firm 
employs in the technical disciplines required for the proposed work.
    (2) Capacity of the firm to accomplish the work. In assessing the 
firm's capacity to accomplish the work in the required time, 
considerations shall be given to the firm's current workload, total 
number of ongoing projects, and percentage of completion.
    (3) Design ability and understanding of the requirements:
    (i) Technical approach (planning and design process, overall 
planning and design philosophy), possible concepts (narrative), special 
design opportunities, innovative design possibilities (including 
environmental), and provisions for the handicapped;
    (ii) Understanding of, and experience in, energy conservation 
design:
    (A) Approach to maximizing energy conservation;
    (B) Project building and equipment systems that would significantly 
impact energy consumption;
    (C) Criteria and engineering considerations to be used in building 
and equipment design; and
    (D) Examples of previously used design techniques and measure of 
results (in BTUs consumed per square foot or energy costs);
    (iii) Proposed project schedule and personnel-loading plan;
    (iv) Quality of examples of previous work; and
    (v) Major awards and other major recognition the firm or members of 
the firm have received for design excellence;
    (4) Organization and management:
    (i) Project team organization and key personnel roles and 
responsibilities;
    (ii) Project management procedures such as coordination of design 
effort among technical disciplines;
    (iii) Methods used to control project schedule and construction 
cost estimates; and
    (iv) Quality control procedures.
     (5) Record of past performance:
    (i) Accuracy of construction cost estimates (compared to 
construction bids received and value of awarded construction 
contract(s);
    (ii) Number, dollar amount and reason for construction change 
orders, if any; and
    (iii) A-E/client relationship (for Government contracts, the above 
information is available from SF 1421, Performance Evaluation (A-E)).
     (b) If a design competition is to be used, written approval by the 
COCO shall be obtained prior to soliciting proposals.
    (c) The following evaluation criteria reflects DOT policy and shall 
be used in the A-E evaluation process for A-E acquisitions above the 
small purchase limitation. The criteria shall be evaluated separately 
from other criteria in terms of bonus or penalty points and added to 
the basic numerical evaluation rating for a composite rating. For the 
purposes of calculating bonus or penalty points, paragraphs (c)(1) and 
(2) of this section may not be double counted.
    (1) Minority Employment--Percentage of minority employees in all 
job classifications and pay scales, noting the percentage of minorities 
in the immediate locality where the work is to be performed (i.e. city, 
town, county, or township) and the Standard Metropolitan Statistical 
Area where the work is to be performed.
    (2) Women Employment--The number of women in all job 
classifications and pay scales compared to the women that will actually 
work on the immediate project.

PART 1237--SERVICE CONTRACTING

Subpart 1237.1--Service Contracts--General

1237.110  Solicitation provisions and contract clauses.

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.

Subpart 1237.1--Service Contracting--General


1237.110  Solicitation provisions and contract clauses.

    Contracting officers shall insert the clause at (TAR) 48 CFR 
1252.237-70, Qualifications of Employees, in all solicitations and 
contracts for services which require contract performance at a 
Government facility.

PART 1237--SERVICE CONTRACTING

Subpart 1237.90--Mortuary Services

1237.9000  Solicitation provisions and contract clauses. (USCG)

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.

Subpart 1237.90--Mortuary Services


1237.9000  Solicitation provisions and contract clauses. (USCG)

    (a) The contracting officer shall insert the following clauses in 
solicitations and contracts for mortuary services. However, USCG 
clauses (TAR) 48 CFR 1252.237-91 and 1252.237-97 shall not be inserted 
in solicitations and contracts that include port of entry requirements:
    (1) (TAR) 48 CFR 1252.237-90, Requirements (JAN 1994);
    (2) (TAR) 48 CFR 1252.237-91, Area of Performance (JAN 1994);
    (3) (TAR) 48 CFR 1252.237-92, Performance and Delivery (JAN 1994);
    (4) (TAR) 48 CFR 1252.237-93, Subcontracting (JAN 1994);
    (5) (TAR) 48 CFR 1252.237-94, Termination for Default (JAN 1994);
    (6) (TAR) 48 CFR 1252.237-95, Group Interment (JAN 1994);
    (7) (TAR) 48 CFR 1252.237-96, Permits (JAN 1994);
    (8) (TAR) 48 CFR 1252.237-97, Facility Requirements (JAN 1994); and
    (9) (TAR) 48 CFR 1252.237-98, Preparation History (JAN 1994).
    (b) The contracting officer shall insert USCG provision (TAR) 48 
CFR 1252.237-99, Award to Single Offeror, in all sealed bid 
solicitations for mortuary services. Use the basic provision with 
Alternate I in negotiated solicitations for mortuary services.
    (c) The contracting officer shall insert (FAR) 48 CFR 52.245-4, 
Government-Furnished Property (Short Form) in solicitations and 
contracts that include port of entry requirements.

PART 1242--CONTRACT ADMINISTRATION

Subpart 1242.2--Assignment of Contract Administration

1242.203  Retention of contract administration.
1242.203-70  Contract clauses.
1242.205  Designation of the paying office.

Subpart 1242.3--Contract Administration Office Functions

1242.302  Contract administration functions.

Subpart 1242.70--Contracting Officer's Technical Representative

1242.7000  Contract clause.

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.

Subpart 1242.2--Assignment of Contract Administration


1242.203  Retention of contract administration.

    (a) Contracting offices may obtain contract administration 
assistance from the Defense Logistics Agency (DLA), Defense Contract 
Management Command, Alexandria, VA, when the contracting officer 
determines that such action is to be in the best interest of DOT.


1242.203-70  Contract clauses.

     (a) The contracting officer may use the clause at (TAR) 48 CFR 
1252.242-70, Dissemination of Information--Educational Institutions, in 
lieu of the clause at (TAR) 48 CFR 1252.242-72, Dissemination of 
Contract Information, in DOT research contracts with educational 
institutions, except contracts that require the release or coordination 
of information.
    (b) The contracting officer shall insert the clause at (TAR) 48 CFR 
1252.242-71, Contractor Testimony, in all solicitations and contracts 
issued by NHTSA. Other OAs may use the clause as deemed appropriate.
    (c) The contracting officer may insert the clause at (TAR) 48 CFR 
1252.242-72, Dissemination of Contract Information, in all DOT 
contracts except contracts that require the release or coordination of 
information.


1242.205  Designation of the paying office.

    (a) The assignment of contract administration to a DLA Contract 
Administration Office (CAO) by the contracting officer does not affect 
the designation of the paying office unless a transfer of DOT funds to 
the agency of the CAO is effected, and the funds are converted to the 
agency's account for payment purposes.
    (b) When the contracting officer proposes to delegate the contract 
payment function to another agency (e.g., DLA), the contracting officer 
shall discuss the transfer of funds procedures with the OA cognizant 
payment office.

Subpart 1242.3--Contract Administration Office


1242.302  Contract administration functions.

    (a)(13) The CAO, or the contracting officer's designee under fixed 
price contracts, shall review and approve the contractor's invoice for 
payment. The CAO shall review and approve contractors' vouchers under 
cost-reimbursement contracts, and this function cannot be delegated to 
a COTR. All payments to contractors will be made by the payment office 
designated in the contract to make payments.

Subpart 1242.70--Contracting Officer's Technical Representative


1242.7000  Contract clause.

    The contracting officer shall insert the clause at (TAR) 48 CFR 
1252.242-73, Contracting Officer's Technical Representative, in 
solicitations and contracts when it is intended that a representative 
will be assigned to the contract to perform functions of a technical 
nature.

PART 1245--GOVERNMENT PROPERTY

Subpart 1245.5--Management of Government Property in the Possession of 
Contractors

1245.505  Records and reports of Government property.
1245.505-14  Reports of Government property.
1245.505-70  Solicitation provisions and contract clauses.
1245.508-2  Reporting results of inventories.
1245.508-3  Quantitative and monetary control.
1245.511  Audit of property control system.

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.

Subpart 1245.5--Management of Government Property in the Possession 
of Contractors


1245.505  Records and reports of Government property.


1245.505-14  Reports of Government property.

    When Government property is furnished to or acquired by the 
contractor to perform the contract, the contract shall require the 
contractor to submit annual reports (see (FAR) 48 CFR 45.505-14) to the 
contracting officer not later than September 15 of each year. The 
contractor's report shall be submitted on Form DOT F 4220.43, 
Contractor Report of Government Property.


1245.505-70  Solicitation provisions and contract clauses.

    Contracting officers shall insert the clause at (TAR) 48 CFR 
1252.245-70 in solicitations and contracts when the contract will 
require Government provided or contractor acquired property.


1245.508-2  Reporting results of inventories.

    The inventory report shall also include the following:
    (a) Name and title of the individual(s) that performed the physical 
inventory;
    (b) An itemized, categorized listing of all property capitalized: 
(1) land and rights therein; (2) other real property; (3) plant 
equipment; (4) special test equipment; and (5) special tooling;
    (c) An itemized listing of the property lost, damaged, destroyed, 
or stolen, the circumstances surrounding each incident, and the 
resolution of the incident; and
    (d) Any discrepancies between the physical inventory and the 
contractor's record of Government property.


1245.508-3  Quantitative and monetary control.

    Contracting officers shall require the contractor to provide the 
quantity and unit cost of each item of Government property reported 
under (TAR) 48 CFR 1245.508-2(b) and (c).


1245.511  Audit of property control system.

    (a) The property administrator (or other Government official 
authorized by the contracting officer) shall audit the contractor's 
property control system whenever there are indications that the 
contractor's property control system may be deficient. Examples of 
deficiencies are:
    (1) Failure of the contractor to acknowledge receipt of GFP;
    (2) Failure of the contractor to submit the annual property reports 
required by (TAR) 48 CFR 1245.505-14;
    (3) Failure of the contractor to reconcile its physical inventory 
with its property control record; or
    (4) Failure of the contractor to submit a Government property 
listing when requested by the property administrator.
    (b) When it is determined that the contractor's property control 
system is deficient, the property administrator, in coordination with 
the contracting officer, shall discuss the deficiencies with the 
contractor. If the contractor does not take action to correct the 
deficiencies, the contracting officer shall provide the contractor with 
a written notice of the deficiencies and the date all deficiencies must 
be corrected.

PART 1246--QUALITY ASSURANCE

Subpart 1246.7--Warranties

1246.701  Definitions.
1246.701-70  Additional definitions.
1246.703  Criteria for use of warranties.
1246.705  Limitations.
1246.706  Warranty terms and conditions.

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.

Subpart 1246.7--Warranties


1246.701  Definitions.


1246.701-70  Additional definitions.

    At no additional cost to the Government, means at no increase in 
price for firm-fixed-price contracts, at no increase in target or 
ceiling price for fixed price incentive contracts (see (FAR) 48 CFR 
46.707), or at no increase in estimated cost or fee for cost-
reimbursement contracts.
    Defect means any condition or characteristic in any supplies or 
services furnished by the contractor under the contract that is not in 
compliance with the requirements of the contract.
    Design and manufacturing requirements means structural and 
engineering plans and manufacturing particulars, including precise 
measurements, tolerances, materials and finished product tests for the 
major system being produced.
    Major system means a system or major subsystem used directly by DOT 
to carry out its mission(s), as defined by TAM (Transportation 
Acquisition Manual which is stocked by the Government Printing Office) 
Chapter 1234, Major Acquisition Policies and Procedures (for dollar 
threshold applicable to U.S. Coast Guard, see Coast Guard guidance at 
(TAR) 48 CFR 1246.701-90). The term does not include: (a) Related 
support equipment, such as ground-handling equipment, training devices 
and accessories thereto, unless a cost effective warranty for the 
system would require inclusion of such items; or (b) commercial items 
sold in substantial quantities to the general public as described in 
(FAR) 48 CFR 15.804-3(c).
    Performance requirements means the operating capabilities, 
maintenance, and reliability characteristics of a system that are 
determined to be necessary for it to fulfill the requirement for which 
the system is designed.


1246.703  Criteria for use of warranties.

    (a) Major Systems: The use of warranties in the procurement of 
major systems by the USCG is mandatory, unless waived (see USCG 
guidance at (TAR) 48 CFR 1246.792). Other OAs may use the procedures in 
USCG guidance at (TAR) 48 CFR 1246 and this part as a guideline for 
major systems acquisitions.
    (b) Other Systems: (1) Acquisition of warranties in the procurement 
of supplies that do not meet the definition of a major system (e.g., 
spare, repair, or replenishment parts) is governed by (FAR) 48 CFR 
46.703.
    (2) Contracting officers should negotiate a warranty that meets or 
exceeds the requirements of (TAR) 48 CFR 1246.706 when it is 
advantageous.


1246.705  Limitations.

    (a) The following restrictions are applicable to DOT contracts:
    (1) The USCG is the only DOT OA which is required to include a 
warranty in cost reimbursement contracts for the production of major 
systems acquisitions.
    (2) Any warranty on major systems acquisitions shall not apply in 
the case of any system or component thereof which has been furnished by 
the Government to a contractor except as indicated in the USCG guidance 
at (TAR) 48 CFR 1246.790-3.
    (3) Any warranty obtained shall specifically exclude coverage of 
combat damage.


1246.706  Warranty terms and conditions.

    (a) The contracting officer, in developing the warranty terms and 
conditions, shall consider the following, and, where appropriate and 
cost beneficial, shall:
    (1) Identify the affected line item(s) and the applicable 
specification(s);
    (2) Require that the line item's design and manufacture will 
conform to: (i) an identified revision of a top-level drawing; and/or 
(ii) an identified specification or revision thereof;
    (3) Require that the system conform to the specified Government 
performance requirements;
    (4) Require that all systems and components delivered under the 
contract will be free from defects in materials and workmanship;
    (5) State that in the event of failure due to nonconformance with 
specification and/or defects in material and workmanship, the 
contractor will bear the cost of all work necessary to achieve the 
specified performance requirements, including repair and/or replacement 
of all parts;
    (6) Require the timely replacement/repair of warranted items and 
specify lead times for replacement/repair where possible;
    (7) Identify the specific paragraphs containing Government 
performance requirements which must be met;
    (8) Ensure that any performance requirements identified as goals or 
objectives in excess of specification requirements are excluded from 
the warranty provision;
    (9) Define what constitutes the start of the warranty period (e.g., 
delivery, acceptance, in-service date), the ending of the warranty 
(e.g., passing a test or demonstration, or operation without failure 
for a specified time period), and circumstances requiring an extension 
of warranty duration (e.g., extending the warranty period as a result 
of mass defect correction during warranty period);
    (10) Identify what transportation costs will be paid by the 
contractor in conjunction with warranty coverage;
    (11) Identify any conditions which will not be covered by the 
warranty, other than the exclusion of combat damage; and
    (12) Identify any limitation on the total dollar amount of the 
contractor's warranty exposure, or agreement to share costs after a 
certain dollar threshold to avoid unnecessary warranty returns.
    (b) In addition, any contract that contains a warranty clause must 
contain warranty implementation procedures, including warranty 
notification content and procedures, and identify the individuals 
responsible for implementation of warranty provisions. The contract may 
also permit the contractor's participation in investigation of system 
failures, providing that the contractor is reimbursed at established 
rates for fault isolation work, and that the Government receive credit 
for any payments where equipment failure is covered by warranty 
provisions.

PART 1246--QUALITY ASSURANCE

Subpart 1246.7--Warranties

1246.701  Definitions. (USCG)
1246.701-90  Additional USCG definitions. (USCG)
1246.790  Use of warranties in major system acquisitions by the 
USCG. (USCG)
1246.790-1  Policy. (USCG)
1246.790-2  Tailoring warranty terms and conditions. (USCG)
1246.790-3  Warranties on Government-furnished property. (USCG)
1246.791  Cost benefit analysis. (USCG)
1246.792  Waiver and notification procedures. (USCG)

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.

Subpart 1246.7--Warranties


1246.701  Definitions. (USCG)


1246.701-90  Additional USCG definitions. (USCG)

    For the USCG, in accordance with Public Law 99-190, the dollar 
threshold as it pertains to the inclusion of a warranty in major 
systems acquisitions is $10 million.


1246.790  Use of warranties in major systems acquisitions by the USCG. 
(USCG)

    This subpart sets forth the policy for the USCG to use in obtaining 
warranties from contractors when contracting for the acquisition of a 
major system.


1246.790-1  Policy. (USCG)

     The USCG shall include a warranty in all contracts for major 
systems acquisitions. When drafting warranty provisions/clauses for 
major systems acquisitions, the contracting officer shall ensure that 
the items listed at (TAR) 48 CFR 1246.706 have been considered. The 
warranty shall also meet the following requirements:
    (a) For systems or components which are commercially available, 
such warranty as is normally provided by the manufacturer or supplier 
shall be obtained in accordance with (FAR) 48 CFR 46.703(d) and 
46.710(b)(2).
    (b) For systems or components provided in accordance with either 
design and manufacturing or performance requirements as specified in 
the contract or any modification to that contract, a warranty of 
compliance with the stated requirements shall be obtained.
    (c) The warranty provided under paragraph (b) of this section shall 
provide that in the event the major system or any component thereof 
fails to meet the terms of the warranty provided, the contracting 
officer may:
    (1) Require the contractor to promptly take such corrective action 
as the contracting officer determines to be necessary at no additional 
cost to the Government, including repairing or replacing all parts 
necessary to achieve the requirements set forth in the contract;
    (2) Require the contractor to pay costs reasonably incurred by the 
United States in taking necessary corrective action; or
    (3) Equitably reduce the contract price.
    (d) Any warranty shall specifically exclude coverage of combat 
damage.


1246.790-2  Tailoring warranty terms and conditions. (USCG)

    (a) As the objectives and circumstances vary considerably among 
major systems acquisition programs, contracting officers shall 
appropriately tailor the warranty on a case-by-case basis, including 
remedies, exclusions, limitations and durations, provided the tailoring 
is consistent with the specific requirements of this subpart and (FAR) 
48 CFR 46.706.
    (b) Contracting officers of major systems acquisitions may exclude 
from the terms of the warranty certain defects for specified supplies 
(exclusions) and may limit the contractor's liability under the terms 
of the warranty (limitations), as appropriate, if necessary to derive a 
cost-effective warranty in light of the technical risk, contractor 
financial risk, or other program uncertainties.
    (c) Contracting officers are encouraged to structure a broader and 
more comprehensive warranty where such is advantageous. Likewise, the 
contracting officer may narrow the scope of a warranty when appropriate 
(e.g., where it would be inequitable to require a warranty of all 
performance requirements because a contractor had not designed the 
system).
    (d) Contracting officers shall not include in a warranty clause any 
terms that require the contractor to incur liability for loss, damage, 
or injury to third parties.


1246.790-3  Warranties on Government-furnished property. (USCG)

    A contractor for a major systems acquisition shall not be required 
to provide the warranties specified in (TAR) 48 CFR 1246.790-1 on any 
property furnished to that contractor by the Government except for: (a) 
defects in installation; and (b) installation or modification in such a 
manner that invalidates a warranty provided by the manufacturer of the 
property.


1246.791  Cost benefit analysis. (USCG)

    Warranties shall be obtained for a major systems acquisition only 
when it is cost beneficial in accordance with TAM (Transportation 
Acquisition Manual which is stocked at the Government Printing Office) 
1246.703(c). If a specific warranty is considered not to be cost 
beneficial by the contracting officer, a waiver request shall be 
initiated in accordance with the USCG guidance at (TAR) 48 CFR 
1246.792.


1246.792  Waiver and notification procedures. (USCG)

    (a) The Secretary of Transportation, without delegation, may waive 
the requirement for a warranty for USCG major systems acquisitions when 
the waiver is in the interest of national defense or if the warranty 
obtained would not be cost beneficial. A waiver may be granted provided 
that the Committees on Appropriations of the Senate and the House of 
Representatives, the Committee on Commerce, Science and Transportation 
of the Senate, and the Committee on Merchant Marine and Fisheries of 
the House of Representatives are notified, in writing, of the 
Secretary's intention to waive the warranty requirements and the 
reasons supporting such a determination prior to granting the waiver. 
The request for Secretarial waiver shall include, at a minimum:
    (1) A brief description of the major system and its stage of 
production (e.g., the number of units delivered and anticipated to be 
delivered during the life of the program);
    (2) The specific waiver requested, the duration of the waiver if it 
is to involve more than one contract, and the rationale for the waiver; 
and
    (3) All documentation supporting the request for waiver, such as a 
cost-benefit analysis.
    (b) The waiver request shall be forwarded to the Secretary, via the 
Office of Acquisition and Grant Management (M-60). The USCG shall 
maintain a written record of each waiver granted and the Congressional 
notification and report made, together with supporting documentation.

PART 1247--TRANSPORTATION

Subpart 1247.1--General

1247.104-370  Contract clause.

Subpart 1247.3--Transportation in Supply Contracts

1247.305  Solicitation provisions, contract clauses, and 
transportation factors.
1247.305-70  Solicitation provisions.
1247.305-71  Contract clause.

Subpart 1247.5--Ocean Transportation by U.S.-Flag Vessels

1247.506  Procedures.

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.

Subpart 1247.1--General


1247.104-370  Contract clause.

    The contracting officer shall insert the clause at (TAR) 48 CFR 
1252.247-1, Acceptable Service at Reduced Rates, to implement the 
requirements of (FAR) 48 CFR 47.104-3.

Subpart 1247.3--Transportation in Supply Contracts


1247.305  Solicitation provisions, contract clauses, and transportation 
factors.


1247.305-70  Solicitation provisions.

    The contracting officer shall insert the following provisions in 
solicitations, as applicable:
    (a) 1252.247-2, F.o.b. Origin Information, with Alternates I or II, 
as applicable, shall be inserted in accordance with (FAR) 48 CFR 
47.305-3(b);
    (b) 1252.247-3, F.o.b. Origin Only, shall be inserted in accordance 
with (FAR) 48 CFR 47.305-3(e);
    (c) 1252.247-4, F.o.b. Destination Only, shall be inserted in 
accordance with (FAR) 48 CFR 47.305-4(b);
    (d) 1252.247-5, Shipments to Ports and Air Terminals, with 
Alternates I, II, and III, shall be inserted in accordance with (FAR) 
48 CFR 47.305-6(a)(1) through (a)(4);
    (e) 1252.247-6, F.o.b. Designated Air Carrier's Terminal, Point of 
Exportation, implements the requirements of (FAR) 48 CFR 47.305-
6(a)(5); and
    (f) 1252.247-7, Nomination of Additional Ports, implements the 
requirements of (FAR) 48 CFR 47.305-6(d).


1247.305-71  Contract clause.

    The contracting officer shall insert the clause at (TAR) 48 CFR 
1252.247-8, Supply Movement in the Defense Transportation System, in 
contracts to implement the requirements of (FAR) 48 CFR 47.305-6(f)(1).

Subpart 1247.5--Ocean Transportation by U.S.-Flag Vessels


1247.506  Procedures.

    (d) Reports concerning cargo preference shipments/ocean shipments 
(see (FAR) 48 CFR 47.506(d)) shall, as a minimum, contain the 
information and follow the procedures within subparagraph (c) of (FAR) 
48 CFR 52.247-64, Preference for Privately Owned U.S.-Flag Commercial 
Vessels.

PART 1252--SOLICITATION PROVISIONS AND CONTRACT CLAUSES

Subpart 1252.1--Instructions for Using Provisions and Clauses

1252.101  Using part 1252.

Subpart 1252.2--Texts of Provisions and Clauses

1252.209-70  Disclosure of Conflicts of Interest.
1252.210-70  Brand Name or Equal.
1252.210-71  Index for Specifications.
1252.215-70  Key Personnel and/or Facilities.
1252.216-70  Evaluation of Offers Subject to an Economic Price 
Adjustment Clause.
1252.216-71  Determination of Award Fee.
1252.216-72  Performance Evaluation Plan.
1252.216-73  Distribution of Award Fee.
1252.216-74  Settlement of Letter Contract.
1252.217-71  Delivery and Shifting of Vessel.
1252.217-72  Performance.
1252.217-73  Inspection and Manner of Doing Work.
1252.217-74  Subcontracts.
1252.217-75  Lay Days.
1252.217-76  Liability and Insurance.
1252.217-77  Title.
1252.217-78  Discharge of Liens.
1252.217-79  Delays.
1252.217-80  Department of Labor Safety and Health Regulations for 
Ship Repairing.
1252.217-81  Guarantee.
1252.219-70  Small Business and Small Disadvantaged Business 
Subcontracting Reporting
1252.222-70  Strikes or Picketing Affecting Timely Completion of the 
Contract Work.
1252.222-71  Strikes or Picketing Affecting Access to a DOT 
Facility.
1252.223-70  Removal or Disposal of Hazardous Substances--Applicable 
Licenses and Permits.
1252.223-71  Accident and Fire Reporting.
1252.223-72  Protection of Human Subjects.
1252.228-70  Loss of or Damage to Leased Aircraft.
1252.228-71  Fair Market Value of Aircraft.
1252.228-72  Risk and Indemnities.
1252.231-70  Date of Incurrence of Costs.
1252.236-70  Special Precautions for Work at Operating Airports.
1252.237-70  Qualifications of Employees.
1252.242-70  Dissemination of Information--Educational Institutions.
1252.242-71  Contractor Testimony.
1252.242-72  Dissemination of Contract Information.
1252.242-73  Contracting Officer's Technical Representative.
1252.245-70  Government Property Reports.
1252.247-1  Acceptable Service at Reduced Rates.
1252.247-2  F.o.b. Origin Information.
1252.247-3  F.o.b. Origin Only.
1252.247-4  F.o.b. Destination Only.
1252.247-5  Shipments to Ports and Air Terminals.
1252.247-6  F.o.b. Designated Air Carrier's Terminal, Point of 
Exportation.
1252.247-7  Nomination of Additional Ports.
1252.247-8  Supply Movement in the Defense Transportation System.

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.

Subpart 1252.1--Instructions for Using Provisions and Clauses


1252.101  Using part 1252.

    (b) Numbering.
    (2)(i) Provisions or clauses that supplement the FAR.
    (A) Agency-prescribed provisions and clauses permitted by TAR and 
used on a standard basis (i.e., normally used in two or more 
solicitations or contracts regardless of contract type) shall be 
prescribed and contained in the TAR. OAs desiring to use a provision or 
a clause on a standard basis shall submit a request containing a copy 
of the clause(s), justification for its use, and evidence of legal 
counsel review to M-60 in accordance with (TAR) 48 CFR 1201.304 for 
possible inclusion in the TAR.
    (B) Provisions and clauses used on a one-time basis (i.e., non-
standard provisions and clauses) may be approved by the contracting 
officer, unless a higher level is designated by the OA. This authority 
is permitted subject to: (1) evidence of legal counsel review in the 
contract file; (2) inserting these clauses in the appropriate sections 
of the uniform contract format; and (3) ensuring the provisions and 
clauses do not deviate from the requirements of the FAR and TAR.

Subpart 1252.2--Texts of Provisions and Clauses


1252.209-70  Disclosure of conflicts of interest.

    As prescribed in 1209.507, insert the following provision:

Disclosure of Conflicts of Interest (Jan 1994)

    It is the Department of Transportation's (DOT) policy to award 
contracts to only those offerors whose objectivity is not impaired 
because of any related past, present, or planned interest, financial 
or otherwise, in organizations regulated by DOT or in organizations 
whose interests may be substantially affected by Departmental 
activities. Based on this policy:
    (a) The offeror shall provide a statement in its proposal which 
describes in a concise manner all past, present or planned 
organizational, financial, contractual or other interest(s) with an 
organization regulated by DOT, or with an organization whose 
interests may be substantially affected by Departmental activities, 
and which is related to the work under this solicitation. The 
interest(s) described shall include those of the proposer, its 
affiliates, proposed consultants, proposed subcontractors and key 
personnel of any of the above. Past interest shall be limited to 
within one year of the date of the offeror's technical proposal. Key 
personnel shall include any person owning more than 20% interest in 
the offeror, and the offeror's corporate officers, its senior 
managers and any employee who is responsible for making a decision 
or taking an action on this contract where the decision or action 
can have an economic or other impact on the interests of a regulated 
or affected organization.
    (b) The offeror shall describe in detail why it believes, in 
light of the interest(s) identified in (a) above, that performance 
of the proposed contract can be accomplished in an impartial and 
objective manner.
    (c) In the absence of any relevant interest identified in (a) 
above, the offeror shall submit in its proposal a statement 
certifying that to its best knowledge and belief no affiliation 
exists relevant to possible conflicts of interest. The offeror must 
obtain the same information from potential subcontractors prior to 
award of a subcontract.
    (d) The Contracting Officer will review the statement submitted 
and may require additional relevant information from the offeror. 
All such information, and any other relevant information known to 
DOT, will be used to determine whether an award to the offeror may 
create a conflict of interest. If any such conflict of interest is 
found to exist, the Contracting Officer may (1) disqualify the 
offeror, or (2) determine that it is otherwise in the best interest 
of the United States to contract with the offeror and include 
appropriate provisions to mitigate or avoid such conflict in the 
contract awarded.
    (e) The refusal to provide the disclosure or representation, or 
any additional information required, may result in disqualification 
of the offeror for award. If nondisclosure or misrepresentation is 
discovered after award, the resulting contract may be terminated. If 
after award the Contractor discovers a conflict of interest with 
respect to the contract awarded as a result of this solicitation, 
which could not reasonably have been known prior to award, an 
immediate and full disclosure shall be made in writing to the 
Contracting Officer. The disclosure shall include a full description 
of the conflict, a description of the action the contractor has 
taken, or proposes to take, to avoid or mitigate such conflict. The 
Contracting Officer may, however, terminate the contract for 
convenience if he or she deems that termination is in the best 
interest of the Government.

(End of provision)


1252.210-70  Brand name or equal.

    As prescribed in (TAR) 48 CFR 1210.011, insert the following 
provision:

Brand Name or Equal (Jan 1994)

    (As used in this provision, the term ``brand name'' includes 
identification of products by make and model.)
    (a) If items called for by this solicitation have been 
identified in the schedule by a ``brand name or equal'' description, 
such identification is intended to be descriptive, but not 
restrictive, and is intended to indicate the quality and 
characteristics of products that will be satisfactory. Offers 
offering ``equal'' products (including products of the brand name 
manufacturer other than the one described by brand name) will be 
considered for award if such products are clearly identified in the 
offers and are determined by the Government to meet fully the 
salient characteristic requirements listed in the solicitation.
    (b) Unless the offeror clearly indicates in its offer that it is 
offering an ``equal'' product, its offer shall be considered as 
offering the brand name product referenced in the solicitation.
    (c) If the offeror proposed to furnish an ``equal'' product, the 
brand name, if any, of the product to be furnished shall be inserted 
in the space provided in the solicitation, or such product shall be 
otherwise clearly identified in the offer. The evaluation of offers 
and the determination as to equality of the product offered shall be 
the responsibility of the Government and will be based on 
information furnished by the offeror or identified in its offer as 
well as other information reasonably available to the contracting 
office.
    Caution to Offerors: The contracting office is not responsible 
for locating or securing any information which is not identified in 
the offer and reasonably available to the contracting office. 
Accordingly, to insure that sufficient information is available, the 
offeror must furnish as a part of its offer all descriptive material 
(such as cuts, illustrations, drawings, or other information) 
necessary for the contracting office to: (1) determine whether the 
product offered meets the salient characteristic requirements of the 
solicitation; and (2) establish exactly what the offeror proposes to 
furnish and what the Government would be binding itself to acquire 
by making an award. The information furnished may include specific 
reference to information previously furnished or to information 
otherwise available to the contracting office.
    (d) If the offeror proposes to modify a product so as to make it 
conform to the requirements of the solicitation, it shall: (1) 
include in its offer a clear description of such proposed 
modifications; and (2) clearly mark any descriptive material to show 
the proposed modifications.
    (e) Modifications to make a product conform to a brand name 
product referenced in the solicitation and proposed after the time 
for receipt of offers, will not be considered.

(End of provision)


1252.210-71  Index for specifications.

    As prescribed in (TAR) 48 CFR 1210.011, insert the following 
clause:

Index for Specifications (Jan 1994)

    If an index or table of contents is furnished in connection with 
specifications, it is understood that such index or table of 
contents is for convenience only. Its accuracy and completeness is 
not guaranteed, and it is not to be considered as part of the 
specification. In case of discrepancy between the index or table of 
contents and the specifications, the specifications shall govern.

(End of clause)


1252.215-70  Key personnel and/or facilities.

    As prescribed in (TAR) 48 CFR 1215.106, insert the following 
clause:

Key Personnel and/or Facilities (Jan 1994)

    (a) The personnel and/or facilities as specified below are 
considered essential to the work being performed hereunder and may, 
with the consent of the contracting parties, be changed from time to 
time during the course of the contract by adding or deleting 
personnel and/or facilities, as appropriate.
    (b) Prior to removing, replacing, or diverting any of the 
specified individuals or facilities, the Contractor shall notify, in 
writing, and receive consent from, the Contracting Officer 
reasonably in advance of the action and shall submit justification 
(including proposed substitutions) in sufficient detail to permit 
evaluation of the impact on this contract.
    (c) No diversion shall be made by the Contractor without the 
written consent of the Contracting Officer. The Contracting Officer 
may ratify, in writing, the change and such ratification shall 
constitute the consent of the Contracting Officer required by this 
clause.
    The Key Personnel and/or Facilities under this Contract:

(specify key personnel and/or facilities)
(End of clause)


1252.216-70  Evaluation of offers subject to an economic price 
adjustment clause.

    As prescribed in (TAR) 48 CFR 1216.203-470, insert the following 
provision:

Evaluation of Offers Subject to an Economic Price Adjustment Clause 
(Jan 1994)

    Offers shall be evaluated without an amount for an economic 
price adjustment being added. Offers will be rejected which: (1) 
increase the ceiling stipulated; (2) limit the downward adjustment; 
or (3) delete the economic price adjustment clause. If the offer 
stipulates a ceiling lower than that included in the solicitation, 
the lower ceiling will be incorporated into any resulting contract.

(End of provision)


1252.216-71  Determination of award fee.

    As prescribed in (TAR) 48 CFR 1216.405(a), insert the following 
clause:

Determination of Award Fee (Jan 1994)

    (a) The Government shall, at the conclusion of each specified 
evaluation period(s), evaluate the contractor's performance for a 
determination of award fee earned. The contractor agrees that the 
determination as to the amount of the award fee earned will be made 
by the Government Fee Determination Official (FDO) and such 
determination is binding on both parties and shall not be subject to 
appeal under the ``Disputes'' clause or to any board or court.
    (b) It is agreed that the evaluation of contractor performance 
shall be in accordance with a Performance Evaluation Plan and that 
the contractor shall be promptly advised in writing of the 
determination and reasons why the award fee was or was not earned. 
It is further agreed that the contractor may submit a self-
evaluation of performance of each period under consideration. While 
it is recognized that the basis for the determination of the fee 
shall be the evaluation by the Government, any self-evaluation which 
is received within ______ (insert number) days after the end of the 
period being evaluated may be given such consideration, if any, as 
the FDO shall find appropriate.
    (c) The FDO may specify in any fee determination that fee not 
earned during the period evaluated may be accumulated and be 
available for allocation to one or more subsequent periods. In that 
event, the distribution of award fee shall be adjusted to reflect 
such allocations.

(End of clause)


1252.216-72  Performance evaluation plan.

    As prescribed in (TAR) 48 CFR 1216.405(b), insert the following 
clause:

Performance Evaluation Plan (Jan 1994)

    (a) A Performance Evaluation Plan shall be unilaterally 
established by the Government and used for the determination of 
award fee. This plan shall include the criteria used to evaluate 
each area and the percentage of award fee (if any) available for 
each area. A copy of the plan shall be provided to the contractor 
______ (insert number) calendar days prior to the start of the first 
evaluation period.
    (b) The criteria contained within the Performance Evaluation 
Plan may relate to: (1) Technical (including schedule) requirements 
if appropriate; (2) Management; and (3) Cost.
    (c) The Performance Evaluation Plan may, consistent with the 
contract, be revised unilaterally by the Government at any time 
during the period of performance. Notification of such changes shall 
be provided to the contractor ______ (insert number) calendar days 
prior to the start of the evaluation period to which the change will 
apply.

(End of clause)


1252.216-73  Distribution of award fee.

    As prescribed in (TAR) 48 CFR 1216.405(c), insert the following 
clause:

Distribution of Award Fee (Jan 1994)

    (a) The total amount of award fee available under this contract 
is assigned according to the following evaluation periods and 
amounts:

Evaluation Period:
Available Award Fee:
(Insert appropriate information)

    (b) Payment of the base fee and award fee shall be made, 
provided that after payment of 85 percent of the base fee and 
potential award fee, the Government may withhold further payment of 
the base fee and award fee until a reserve is set aside in an amount 
that the Government considers necessary to protect its interest. 
This reserve shall not exceed 15 percent of the total base fee and 
potential award fee or $100,000, whichever is less.
    (c) In the event of contract termination, either in whole or in 
part, the amount of award fee available shall represent a prorata 
distribution associated with evaluation period activities or events 
as determined by the Government.
    (d) The Government will promptly make payment of any award fee 
upon the submission by the contractor to the contracting officer's 
authorized representative, of a public voucher or invoice in the 
amount of the total fee earned for the period evaluated. Payment may 
be made without using a contract modification.

(End of clause)


1252.216-74  Settlement of letter contract.

    As prescribed in (TAR) 48 CFR 1216.603-4, insert the following 
clause:

Settlement of Letter Contract (Jan 1994)

    (a) This contract constitutes the definitive contract 
contemplated by issuance of letter contract ____________ (insert 
number) dated ____________ (insert effective date). It supersedes 
the letter contract and its modification number(s) ____________ 
(insert number(s)) and, to the extent of any inconsistencies, 
governs.
    (b) The cost(s) and fee(s), or price(s), established in this 
definitive contract represents full and complete settlement of 
letter contract ____________ (insert number(s) and modification 
number(s) ____________ (insert number(s)). Payment of the agreed 
upon fee or profit withheld pending definitization of the letter 
contract, may commence immediately at the rate and times stated 
within this contract.

(End of clause)


1252.217-71  Delivery and shifting of vessel.

    As prescribed at (TAR) 48 CFR 1217.7000 (b) and (c), insert the 
following clause:

Delivery and Shifting of Vessel (Jan 1994)

    The Government shall deliver the vessel to the Contractor at his 
place of business. Upon completion of the work, the Government shall 
accept delivery of the vessel at the Contractor's place of business. 
The Contractor shall provide, at no additional charge, upon 24 
hours' advance notice, a tug or tugs and docking pilot, acceptable 
to the Contracting Officer, to assist in handling the vessel between 
(to and from) the Contractor's plant and the nearest point in a 
waterway regularly navigated by vessels of equal or greater draft 
and length. While the vessel is in the hands of the Contractor, any 
necessary towage, cartage, or other transportation between ship and 
shop or elsewhere, which may be incident to the work herein 
specified, shall be furnished by the Contractor without additional 
charge to the Government.

(End of clause)


1252.217-72  Performance.

    As prescribed at (TAR) 48 CFR 1217.7000 (b) and (c), insert the 
following clause:

Performance (Jan 1994)

    (a) Upon the award of the contract, the Contractor shall 
promptly start the work specified and shall diligently prosecute the 
work to completion. The Contractor shall not start work until the 
contract has been awarded except in the case of emergency work 
ordered by the Contracting Officer.
    (b) The Government shall deliver the vessel described in the 
contract at the time and location specified in the contract. Upon 
completion of the work, the Government shall accept delivery of the 
vessel at the time and location specified in the contract.
    (c) The Contractor shall without charge--
    (1) Make available to personnel of the vessel while in dry dock 
or on a marine railway, sanitary lavatory and similar facilities at 
the plant acceptable to the Contracting Officer;
    (2) Supply and maintain suitable brows and gangways from the 
pier, dry dock, or marine railway to the vessel;
    (3) Treat salvage, scrap or other ship's material of the 
Government resulting from performance of the work as items of 
Government-furnished property, in accordance with the Government 
Property (Fixed Price Contracts) clause;
    (4) Perform, or pay the cost of, any repair, reconditioning or 
replacement made necessary as the result of the use by the 
Contractor of any of the vessel's machinery, equipment or fittings, 
including, but not limited to, winches, pumps, rigging, or pipe 
lines; and
    (5) Furnish suitable offices, office equipment and telephones at 
or near the site of the work for the Government's use.
    (d) The contract will state whether dock and sea trials are 
required to determine whether or not the Contractor has 
satisfactorily performed the work.
    (1) If dock and sea trials are required, the vessel shall be 
under the control of the vessel's commander and crew.
    (2) The Contractor shall not conduct dock and sea trials not 
specified in the contract without advance approval of the 
Contracting Officer. Dock and sea trials not specified in the 
contract shall be at the Contractor's expense and risk.
    (3) The Contractor shall provide and install all fittings and 
appliances necessary for dock and sea trials. The Contractor shall 
be responsible for care, installation, and removal of instruments 
and apparatus furnished by the Government for use in the trials.

(End of clause)


1252.217-73  Inspection and manner of doing work.

    As prescribed at (TAR) 48 CFR 1217.7000 (b) and (c), insert the 
following clause:

Inspection and Manner of Doing Work (Jan 1994)

    (a) The Contractor shall perform work in accordance with the 
contract, any drawings and specifications made a part of the job 
order, and any change or modification issued under the Changes 
clause.
    (b)(1) Except as provided in paragraph (b)(2) of this clause, 
and unless otherwise specifically provided in the contract, all 
operational practices of the Contractor and all workmanship, 
material, equipment, and articles used in the performance of work 
under this contract shall be in accordance with the best commercial 
marine practices and the rules and requirements of the American 
Bureau of Shipping, the U.S. Coast Guard, and the Institute of 
Electrical and Electronic Engineers, in effect at the time of 
Contractor's submission of offer.
    (2) When Navy specifications are specified in the contract, the 
Contractor shall follow Navy standards of material and workmanship. 
The solicitation shall prescribe the Navy standard whenever 
applicable.
    (c) The Government may inspect and test all material and 
workmanship at any time during the Contractor's performance of the 
work.
    (1) If, prior to delivery, the Government finds any material or 
workmanship is defective or not in accordance with the contract, in 
addition to its rights under the Guarantee clause, the Government 
may reject the defective or nonconforming material or workmanship 
and require the Contractor to correct or replace it at the 
Contractor's expense.
    (2) If the Contractor fails to proceed promptly with the 
replacement or correction of the material or workmanship, the 
Government may replace or correct the defective or nonconforming 
material or workmanship and charge the Contractor the excess costs 
incurred.
    (3) As specified in the contract, the Contractor shall provide 
and maintain an inspection system acceptable to the Government.
    (4) The Contractor shall maintain complete records of all 
inspection work and shall make them available to the Government 
during performance of the contract and for 90 days after the 
completion of all work required.
     (d) The Contractor shall not permit any welder to work on a 
vessel unless the welder is, at the time of the work, qualified to 
the standards established by the U.S. Coast Guard, American Bureau 
of Shipping, or Department of the Navy for the type of welding being 
performed. Qualifications of a welder shall be as specified in the 
contract.
    (e) The Contractor shall--
    (1) Exercise reasonable care to protect the vessel from fire;
    (2) Maintain a reasonable system of inspection over activities 
taking place in the vicinity of the vessel's magazines, fuel oil 
tanks, or storerooms containing flammable materials.
    (3) Maintain a reasonable number of hose lines ready for 
immediate use on the vessel at all times while the vessel is berthed 
alongside the Contractor's pier or in dry dock or on a marine 
railway;
    (4) Unless otherwise provided in the contract, provide 
sufficient security patrols to reasonably maintain a fire watch for 
protection of the vessel when it is in the Contractor's custody;
    (5) To the extent necessary, clean, wash, and steam out or 
otherwise make safe, all tanks under alteration or repair.
    (6) Furnish the Contracting Officer a ``gas-free'' or ``safe-
for-hotwork'' certificate before any hot work is done on a tank;
    (7) Treat the contents of any tank as Government property in 
accordance with the Government Property (Fixed-Price Contracts) 
clause; and
    (8) Dispose of the contents of any tank only at the direction, 
or with the concurrence, of the Contracting Officer.
    (f) Except as otherwise provided in the contract, when the 
vessel is in the custody of the Contractor or in dry dock or on a 
marine railway and the temperature is expected to go as low as 35 
Fahrenheit, the Contractor shall take all necessary steps to--
    (1) Keep all hose pipe lines, fixtures, traps, tanks, and other 
receptacles on the vessel from freezing; and
    (2) Protect the stern tube and propeller hubs from frost damage.
    (g) The Contractor shall, whenever practicable--
    (1) Perform the required work in a manner that will not 
interfere with the berthing and messing of Government personnel 
attached to the vessel; and
    (2) Provide Government personnel attached to the vessel access 
to the vessel at all times.
    (h) Government personnel attached to the vessel shall not 
interfere with the Contractor's work or workers.
    (i)(1) The Government does not guarantee the correctness of the 
dimensions, sizes, and shapes set forth in any contract, sketches, 
drawings, plans, or specifications prepared or furnished by the 
Government, unless the contract requires that the Contractor perform 
the work prior to any opportunity to inspect.
    (2) Except as stated in paragraph (i)(1) of this clause, and 
other than those parts furnished by the Government, and the 
Contractor shall be responsible for the correctness of the 
dimensions, sizes, and shapes of parts furnished under this 
agreement.
    (j) The Contractor shall at all times keep the site of the work 
on the vessel free from accumulation of waste material or rubbish 
caused by its employees or the work. At the completion of the work, 
unless the contract specifies otherwise, the Contractor shall remove 
all rubbish from the site of the work and leave the immediate 
vicinity of the work area ``broom clean.''

(End of clause)


1252.217-74  Subcontracts.

     As prescribed at (TAR) 48 CFR 1217.7000 (b) and (c), insert the 
following clause:

Subcontracts (Jan 1994)

    (a) Nothing contained in the contract shall be construed as 
creating any contractual relationship between any subcontractor and 
the Government. The divisions or sections of the specifications are 
not intended to control the Contractor in dividing the work among 
subcontractors or to limit the work performed by any trade.
    (b) The Contractor shall be responsible to the Government for 
acts and omissions of its own employees, and of subcontractors and 
their employees. The Contractor shall also be responsible for the 
coordination of the work of the trades, subcontractors, and material 
men.
    (c) The Contractor shall, without additional expense to the 
Government, employ specialty subcontractors where required by the 
specifications.
    (d) The Government or its representatives will not undertake to 
settle any differences between the Contractor and its 
subcontractors, or between subcontractors.

(End of clause)


1252.217-75  Lay days.

    As prescribed at (TAR) 48 CFR 1217.7000 (b) and (c), insert the 
following clause:

Lay Days (Jan 1994)

    (a) Lay day time will be paid by the Government at the 
Contractor's stipulated bid price for this item of the contract when 
the vessel remains on the dry dock or marine railway as a result of 
any change that involves work in addition to that required under the 
basic contract.
    (b) No lay day time shall be paid until all items of the basic 
contract for which a price was established by the Contractor and for 
which docking of the vessel was required have been satisfactorily 
completed and accepted.
    (c) Days of hauling out and floating, whatever the hour, shall 
not be paid as lay day time, and days when no work is performed by 
the Contractor shall not be paid as lay day time.
    (d) Payment of lay day time shall constitute complete 
compensation for all costs, direct and indirect, to reimburse the 
Contractor for use of dry dock or marine railway.

(End of clause)


1252.217-76

Liability and insurance.

    As prescribed at (TAR) 48 CFR 1217.7000 (b) and (c), insert the 
following clause:

Liability and Insurance (Jan 1994)

    (a) The Contractor shall exercise its best efforts to prevent 
accidents, injury, or damage to all employees, persons, and 
property, in and about the work, and to the vessel or part of the 
vessel upon which work is done.
    (b) Loss or damage to the vessel, materials, or equipment. (1) 
Unless otherwise directed or approved in writing by the Contracting 
Officer, the Contractor shall not carry insurance against any form 
of loss or damage to the vessel(s) or to the materials or equipment 
to which the Government has title or which have been furnished by 
the Government for installation by the Contractor. The Government 
assumes the risks of loss of and damage to that property.
    (2) The Government does not assume any risk with respect to loss 
or damage compensated for by insurance or otherwise or resulting 
from risks with respect to which the Contractor has failed to 
maintain insurance, if available, as required or approved by the 
Contracting Officer.
    (3) The Government does not assume risk of and will not pay for 
any costs of the following:
    (i) Inspection, repair, replacement, or renewal of any defects 
in the vessel(s) or material and equipment due to--
    (A) Defective workmanship performed by the Contractor or its 
subcontractors;
    (B) Defective materials or equipment furnished by the Contractor 
or its subcontractors; or
    (C) Workmanship, materials, or equipment which do not conform to 
the requirements of the contract, whether or not the defect is 
latent or whether or not the nonconformance is the result of 
negligence.
    (ii) Loss, damage, liability, or expense caused by, resulting 
from, or incurred as a consequence of any delay or disruption, 
willful misconduct or lack of good faith by the Contractor or any of 
its representatives that have supervision or direction of--
    (A) All or substantially all of the Contractor's business; or
    (B) All or substantially all of the Contractor's operation at 
any one plant.
    (4) As to any risk that is assumed by the Government, the 
Government shall be subrogated to any claim, demand or cause of 
action against third parties that exists in favor of the Contractor. 
If required by the Contracting Officer, the Contractor shall execute 
a formal assignment or transfer of the claim, demand, or cause of 
action.
    (5) No party other than the Contractor shall have any right to 
proceed directly against the Government or join the Government as a 
codefendant in any action.
    (6) Notwithstanding the foregoing, the Contractor shall bear the 
first $5,000 of loss or damage from each occurrence or incident, the 
risk of which the Government would have assumed under the provision 
of this paragraph (b).
    (c) Indemnification. The Contractor indemnifies the Government 
and the vessel and its owners against all claims, demands, or causes 
of action to which the Government, the vessel or its owner(s) might 
be subject as a result of damage or injury (including death) to the 
property or person of anyone other than the Government or its 
employees, or the vessel or its owner, arising in whole or in part 
from the negligence or other wrongful act of the Contractor, or its 
agents or employees, or any subcontractor, or its agents or 
employees.
    (1) The Contractor's obligation to indemnify under this 
paragraph shall not exceed the sum of $300,000 as a consequence of 
any single occurrence with respect to any one vessel.
    (2) The indemnity includes, without limitation, suits, actions, 
claims, costs, or demands of any kind, resulting from death, 
personal injury, or property damage occurring during the period of 
performance of work on the vessel or within 90 days after redelivery 
of the vessel. For any claim, etc., made after 90 days, the rights 
of the parties shall be as determined by other provisions of this 
contract and by law. The indemnity does apply to death occurring 
after 90 days where the injury was received during the period 
covered by the indemnity.
    (d) Insurance. (1) The Contractor shall, at its own expense, 
obtain and maintain the following insurance--
    (i) Casualty, accident, and liability insurance, as approved by 
the Contracting Officer, insuring the performance of its obligations 
under paragraph (c) of this clause.
    (ii) Workers Compensation Insurance (or its equivalent) covering 
the employees engaged on the work.
    (2) The Contractor shall ensure that all subcontractors engaged 
on the work obtain and maintain the insurance required in paragraph 
(d)(1) of this clause.
    (3) Upon request of the Contracting Officer, the Contractor 
shall provide evidence of the insurance required by paragraph (d) of 
this clause.
    (e) The Contractor shall not make any allowance in the contract 
price for the inclusion of any premium expense or charge for any 
reserve made on account of self-insurance for coverage against any 
risk assumed by the Government under this clause.
    (f) The Contractor shall give the Contracting Officer written 
notice as soon as practicable after the occurrence of a loss or 
damage for which the Government has assumed the risk.
    (1) The notice shall contain full details of the loss or damage.
    (2) If a claim or suit is later filed against the Contractor as 
a result of the event, the Contractor shall immediately deliver to 
the Government every demand, notice, summons, or other process 
received by the Contractor or its employees or representatives.
    (3) The Contractor shall cooperate with the Government and, upon 
request, shall assist in effecting settlements, securing and giving 
evidence, obtaining the attendance of witnesses, and in the conduct 
of suits. The Government shall reimburse the Contractor for expenses 
incurred in this effort, other than the cost of maintaining the 
Contractor's usual organization.
    (4) The Contractor shall not, except at its own expense, 
voluntarily make any payments, assume any obligation, or incur any 
expense other than what would be imperative for the protection of 
the vessel(s) at the time of the event.
    (g) In the event of loss of or damage to any vessel(s), 
material, or equipment which may result in a claim against the 
Government under the insurance provisions of this contract, the 
Contractor shall promptly notify the Contracting Officer of the loss 
or damage. The Contracting Officer may, without prejudice to any 
right of the Government, either--
    (1) Order the Contractor to proceed with replacement or repair, 
in which event the Contractor shall effect the replacement or 
repair;
    (i) The Contractor shall submit to the Contracting Officer a 
request for reimbursement of the cost of the replacement or repair 
together with whatever supporting documentation the Contracting 
Officer may reasonably require, and shall identify the request as 
being submitted under the Insurance clause of this contract.
    (ii) If the Government determines that the risk of the loss or 
damage is within the scope of the risks assumed by the Government 
under this clause, the Government will reimburse the Contractor for 
the reasonable allowable cost of the replacement or repair, plus a 
reasonable profit (if the work or replacement or repair was 
performed by the Contractor) less the deductible amount specified in 
paragraph (b) of this clause.
    (iii) Payments by the Government to the Contractor under this 
clause are outside the scope of and shall not affect the pricing 
structure of the contract, and are additional to the compensation 
otherwise payable to the Contractor under this contract; or
    (2) Decide that the loss or damage shall not be replaced or 
repaired and in that event, the Contracting Officer shall--
    (i) Modify the contract appropriately, consistent with the 
reduced requirements reflected by the unreplaced or unrepaired loss 
or damage; or
    (ii) Terminate the repair of any part or all of the vessel(s) 
under the Termination for Convenience of the Government clause of 
this contract.

(End of clause)


1252.217-77  Title.

    As prescribed at (TAR) 48 CFR 1217.7000 (b) and (c), insert the 
following clause:

Title (Jan 1994)

    (a) Unless otherwise provided, title to all materials and 
equipment to be incorporated in a vessel in the performance of this 
contract shall vest in the Government upon delivery at the location 
specified for the performance of the work.
    (b) Upon completion of the contract, or with the approval of the 
Contracting Officer during performance of the contract, all 
Contractor-furnished materials and equipment not incorporated in, or 
placed on, any vessel, shall become the property of the Contractor, 
unless the Government has reimbursed the Contractor for the cost of 
the materials and equipments.
    (c) The vessel, its equipment, movable stores, cargo, or other 
ship's materials shall not be considered Government-furnished 
property.

(End of clause)


1252.217-78  Discharge of liens.

     As prescribed at (TAR) 48 CFR 1217.7000 (b) and (c), insert the 
following clause:

Discharge of Liens (Jan 1994)

    (a) The Contractor shall immediately discharge or cause to be 
discharged, any lien or right in rem of any kind, other than in 
favor of the Government, that exists or arises in connection with 
work done or materials furnished under this contract.
    (b) If any such lien or right in rem is not immediately 
discharged, the Government, at the expense of the Contractor, may 
discharge, or cause to be discharged, the lien or right.

(End of clause)


1252.217-79  Delays.

    As prescribed at (TAR) 48 CFR 1217.7000 (b) and (c), insert the 
following clause:

Delays (Jan 1994)

    When during the performance of this contract the Contractor is 
required to delay work on a vessel temporarily, due to orders or 
actions of the Government respecting stoppage of work to permit 
shifting the vessel, stoppage of hot work to permit bunkering, 
stoppage of work due to embarking or debarking passengers and 
loading or discharging cargo, and the Contractor is not given 
sufficient advance notice or is otherwise unable to avoid incurring 
additional costs on account thereof, an equitable adjustment shall 
be made in the price of the contract pursuant to the ``Changes'' 
clause.

(End of clause)


1252.217-80  Department of Labor Safety and Health Regulations for Ship 
Repairing.

    As prescribed at (TAR) 48 CFR 1217.7000 (b) and (c), insert the 
following clause:

Department of Labor Safety and Health Regulations for Ship Repair (Jan 
1994)

    Nothing contained in this contract shall relieve the Contractor 
of any obligations it may have to comply with--
    (a) The Occupational Safety and Health Act of 1970 (29 U.S.C. 
651, et seq.);
    (b) The Safety and Health Regulations for Ship Repairing (29 CFR 
part 1915); or
    (c) Any other applicable Federal, State, and local laws, codes, 
ordinances, and regulations.

(End of clause)


1252.217-81  Guarantee.

    As prescribed at (TAR) 48 CFR 1217.7000(d), insert the following 
clause:

Guarantee (Jan 1994)

    (a) In the event any work performed or materials furnished by 
the contractor prove defective or deficient within 90 days from the 
date of redelivery of the vessel(s), the Contractor, as directed by 
the Contracting Officer and at its own expense, shall correct and 
repair the deficiency to the satisfaction of the Contracting 
Officer.
    (b) If the Contractor or any subcontractor has a guarantee for 
work performed or materials furnished that exceeds the 90 day 
period, the Government shall be entitled to rely upon the longer 
guarantee until its expiration.
    (c) With respect to any individual work item identified as 
incomplete at the time of redelivery of the vessel(s), the guarantee 
period shall run from the date the item is completed.
    (d) If practicable, the Government shall give the Contractor an 
opportunity to correct the deficiency.
    (1) If the Contracting Officer determines it is not practicable 
or is otherwise not advisable to return the vessel(s) to the 
Contractor, or the Contractor fails to proceed with the repairs 
promptly, the Contracting Officer may direct that the repairs be 
performed elsewhere, at the Contractor's expense.
    (2) If correction and repairs are performed by other than the 
Contractor, the Contracting Officer may discharge the Contractor's 
liability by making an equitable deduction in the price of the 
contract.
    (e) The Contractor's liability shall extend for an additional 90 
day guarantee period on those defects or deficiencies that the 
Contractor corrected.
    (f) At the option of the Contracting officer, defects and 
deficiencies may be left uncorrected. In that event, the Contractor 
and Contracting Officer shall negotiate an equitable reduction in 
the contract price. Failure to agree upon an equitable reduction 
shall constitute a dispute under the Disputes clause of this 
contract.

(End of clause)


1252.219-70  Small Business and Small Disadvantaged Business 
subcontracting reporting.

    As prescribed in (TAR) 48 CFR 1219.708-70, insert the following 
clause:

Small Business and Small Disadvantaged Business Subcontracting 
Reporting (Jan 1994)

    (a) The Contractor shall submit the Summary Subcontract Report 
(Standard Form 295 (SF-295)) to the Department of Transportation, 
Office of the Secretary, Office of Small and Disadvantaged Business 
Utilization (S-42), 400 7th St., SW, Washington, DC, 20590.
    (b) The Contractor shall report the information in Blocks 12, 17 
and 18 of the SF-295.
    (c) The Contractor shall include this clause in all subcontracts 
that include the clause at FAR 52.219.9.

(End of clause)


1252.222-70  Strikes or picketing affecting timely completion of the 
contract work.

    As prescribed in (TAR) 48 CFR 1222.101-71(a), insert the following 
clause:

Strikes or Picketing Affecting Timely Completion of the Contract Work 
(Jan 1994)

    Notwithstanding any other provision hereof, the Contractor is 
responsible for delays arising out of labor disputes, including but 
not limited to strikes, if such strikes are reasonably avoidable. A 
delay caused by a strike or by picketing which constitutes an unfair 
labor practice is not excusable unless the Contractor takes all 
reasonable and appropriate action to end such a strike or picketing, 
such as the filing of a charge with the National Labor Relations 
Board, the use of other available Government procedures, and the use 
of private boards or organizations for the settlement of disputes.

(End of clause)


1252.222-71  Strikes or picketing affecting access to a DOT facility.

    As prescribed in (TAR) 48 CFR 1222.101-71(b), insert the following 
clause:

Strikes or Picketing Affecting Access to a DOT Facility (Jan 1994)

    If the Contracting Officer notifies the Contractor in writing 
that a strike or picketing: (a) is directed at the Contractor or 
subcontractor or any employee of either; and (b) impedes or 
threatens to impede access by any person to a DOT facility where the 
site of the work is located, the Contractor shall take all 
appropriate action to end such strike or picketing, including, if 
necessary, the filing of a charge of unfair labor practice with the 
National Labor Relations Board or the use of other available 
judicial or administrative remedies.

(End of clause)


1252.223-70  Removal or disposal of hazardous substances--applicable 
licenses and permits.

    As prescribed in (TAR) 48 CFR 1223.303, insert the following 
clause:

Removal or Disposal of Hazardous Substances--Applicable Licenses and 
Permits (Jan 1994)

    The Contractor certifies that it has ______ does not have ______ 
all licenses and permits required by Federal, state, and local laws 
to perform hazardous substance(s) removal or disposal services. If 
the Contractor does not currently possess these documents, it hereby 
certifies that it will obtain all requisite licenses and permits 
within ______ days after date of award. The Contractor shall provide 
evidence of said documents to the Contracting Officer or designated 
Government representative prior to commencement of work under the 
contract.

(End of clause)


1252.223-71  Accident and fire reporting.

    As prescribed in (TAR) 48 CFR 1223.7000(a), insert the following 
clause:

Accident and Fire Reporting (Jan 1994)

    (a) The Contractor shall report to the Contracting Officer any 
accident or fire occurring at the site of the work which causes:
    (1) A fatality or as much as one lost workday on the part of any 
employee of the Contractor or subcontractor at any tier;
    (2) Damage of $1,000 or more to Federal property, either real or 
personal;
    (3) Damage of $1,000 or more to Contractor or subcontractor 
owned or leased motor vehicles or mobile equipment; or
    (4) Damage for which a contract time extension may be requested.
    (b) Accident and fire reports required by paragraph (a) above 
shall be accomplished by the following means:
    (1) Accidents or fires resulting in a death, hospitalization of 
five or more persons, or destruction of Federal property (either 
real or personal), the total value of which is estimated at $100,000 
or more, shall be reported immediately by telephone to the 
Contracting Officer or his/her authorized representative and shall 
be confirmed by telegram or facsimile transmission within 24 hours 
to the Contracting Officer. Such telegram or facsimile transmission 
shall state all known facts as to extent of injury and damage and as 
to cause of the accident or fire.
    (2) Other accident and fire reports required by paragraph (a) 
above may be reported by the Contractor using a state, private 
insurance carrier, or Contractor accident report form which provides 
for the statement of:
    (i) The extent of injury; and
    (ii) The damage and cause of the accident or fire.
    Such report shall be mailed or otherwise delivered to the 
Contracting Officer within 48 hours of the occurrence of the 
accident or fire.
    (c) The Contractor shall assure compliance by subcontractors at 
all tiers with the requirements of this clause.

(End of clause)


1252.223-72  Protection of human subjects.

    As prescribed in (TAR) 48 CFR 1223.7000(b), insert the following 
clause:

Protection of Human Subjects (Jan 1994)

    The Contractor shall comply with the National Highway Traffic 
Safety Administration (NHTSA) principles and procedures (in 
accordance with NHTSA Order 700-1, 700-3, and 700-4) for the 
protection of human subjects participating in activities supported 
directly or indirectly by grants or contracts from NHTSA. A copy of 
the applicable NHTSA orders shall be provided to offerors and/or 
contractors upon request. In fulfillment of its assurance:
    (a) A committee competent to review projects and activities that 
involve human subjects shall be established and maintained by the 
Contractor.
    (b) The committee shall be assigned responsibility to determine 
for each activity planned and conducted that:
    (1) The rights and welfare of subjects are adequately protected;
    (2) The risks to subjects are outweighed by potential benefits; 
and
    (3) The informed consent of subjects shall be obtained by 
methods that are adequate and appropriate.
    (c) Committee reviews are to be conducted with objectivity and 
in a manner to ensure the exercise of independent judgment of the 
members. Members shall be excluded from review of projects or 
activities in which they have an active role or a conflict of 
interests.
    (d) Continuing constructive communication between the committee 
and the project directors must be maintained as a means of 
safeguarding the rights and welfare of subjects.
    (e) Facilities and professional attention required for subjects 
who may suffer physical, psychological, or other injury as a result 
of participating in an activity shall be provided.
    (f) The committee shall maintain records of committee review of 
applications and active projects, of documentation of informed 
consent, and of other documentation that may pertain to the 
selection, participation, and protection of subjects. Detailed 
records shall be maintained of circumstances of any review that 
adversely affects the rights or welfare of the individual subjects. 
Such materials shall be made available to NHTSA upon request.
    (g) The retention period of such records and materials shall be 
as specified at (FAR) 48 CFR 4.703.
    (h) Periodic reviews shall be conducted by the Contractor to 
assure, through appropriate administrative overview, that the 
practices and procedures designed for the protection of the rights 
and welfare of subjects are being effectively applied.

    (Note: If the Contractor has a Department of Health and Human 
Services approved Institutional Review Board (IRB) which can 
appropriately review this contract in accordance with the technical 
requirements and NHTSA Orders 700-1, 700-3, and 700-4, that IRB will 
be considered acceptable for the purposes of this contract.)

(End of clause)


1252.228-70  Loss of or damage to leased aircraft.

    As prescribed in (TAR) 48 CFR 1228.306-70 (a) and (b), insert the 
following clause:

Loss of or Damage to Leased Aircraft (Jan 1994)

    (a) The Government assumes all risk of loss of, or damage 
(except normal wear and tear) to, the leased aircraft during the 
term of this lease while the aircraft is in the possession of the 
Government.
    (b) In the event of damage to the aircraft, the Government, at 
its option, shall make the necessary repairs with its own facilities 
or by contract, or pay the Contractor the reasonable cost of repair 
of the aircraft.
    (c) In the event the aircraft is lost or damaged beyond repair, 
the Government shall pay the Contractor a sum equal to the fair 
market value of the aircraft at the time of such loss or damage, 
which value may be specifically agreed to in clause 1252.228-71, 
``Fair Market Value of Aircraft,'' less the salvage value of the 
aircraft. However, the Government may retain the damaged aircraft or 
dispose of it as it wishes. In that event, the Contractor will be 
paid the fair market value of the aircraft as stated in the clause.
    (d) The Contractor certifies that the contract price does not 
include any cost attributable to hull insurance or to any reserve 
fund it has established to protect its interest in the aircraft. If, 
in the event of loss or damage to the leased aircraft, the 
Contractor receives compensation for such loss or damage in any form 
from any source, the amount of such compensation shall be:
    (1) credited to the Government in determining the amount of the 
Government's liability; or
    (2) for an increment of value of the aircraft beyond the value 
for which the Government is responsible.
    (e) In the event of loss of or damage to the aircraft, the 
Government shall be subrogated to all rights of recovery by the 
Contractor against third parties for such loss or damage and the 
Contractor shall promptly assign such rights in writing to the 
Government.

(End of clause)


1252.228-71  Fair market value of aircraft.

    As prescribed in (TAR) 48 CFR 1228.306-70 (a) and (c), insert the 
following clause:

Fair Market Value of Aircraft (Jan 1994)

    For purposes of the clause entitled ``Loss of or Damage to 
Leased Aircraft,'' it is agreed that the fair market value of the 
aircraft to be used in the performance of this contract shall be the 
lesser of the two values set out in paragraphs (a) and (b) below:
    (a) $____________; or
    (b) If the contractor has insured the same aircraft against loss 
or destruction in connection with other operations, the amount of 
such insurance coverage on the date of the loss or damage for which 
the Government may be responsible under this contract.

(End of clause)


1252.228-72  Risk and indemnities.

    As prescribed in (TAR) 48 CFR 1228.306-70 (a) and (d), insert the 
following clause:

Risk and Indemnities (Jan 1994)

    The Contractor hereby agrees to indemnify and hold harmless the 
Government, its officers and employees from and against all claims, 
demands, damages, liabilities, losses, suits and judgments 
(including all costs and expenses incident thereto) which may be 
suffered by, accrue against, be charged to or recoverable from the 
Government, its officers and employees by reason of injury to or 
death of any person other than officers, agents, or employees of the 
Government or by reason of damage to property of others of 
whatsoever kind (other than the property of the Government, its 
officers, agents or employees) arising out of the operation of the 
aircraft. In the event the Contractor holds or obtains insurance in 
support of this covenant, a Certificate of Insurance shall be 
delivered to the Contracting Officer.

(End of clause)


1252.231-70  Date of incurrence of costs.

    As prescribed in (TAR) 48 CFR 1231.205-32, insert the following 
clause:

Date of Incurrence of Costs (Jan 1994)

    The Contractor shall be entitled to reimbursement for costs 
incurred on or after ____________ in an amount not to exceed 
$____________ that, if incurred after this contract had been entered 
into, would have been reimbursable under this contract.

(End of clause)


1252.236-70  Special precautions for work at operating airports.

    As prescribed in (TAR) 48 CFR 1236.570, insert the following 
clause:

Special Precautions for Work at Operating Airports (Jan 1994)

    (a) When work is to be performed at an operating airport, the 
Contractor must arrange its work schedule so as not to interfere 
with flight operations. Such operations will take precedence over 
construction convenience. Any operations of the Contractor which 
would otherwise interfere with or endanger the operations of 
aircraft shall be performed only at times and in the manner directed 
by the Contracting Officer. The Government will make every effort to 
reduce the disruption of the Contractor's operation.
    (b) Unless otherwise specified by local regulations, all areas 
in which construction operations are underway shall be marked by 
yellow flags during daylight hours and by red lights at other times. 
The red lights along the edge of the construction areas within the 
existing aprons shall be the electric type of not less than 100 
watts intensity placed and supported as required. All other 
construction markings on roads and adjacent parking lots may be 
either electric or battery type lights. These lights and flags shall 
be placed so as to outline the construction areas and the distance 
between any two flags or lights shall not be greater than 25 feet. 
The Contractor shall provide adequate watch to maintain the lights 
in working condition at all times other than daylight hours. The 
hour of beginning and the hour of ending of daylight will be 
determined by the Contracting Officer.
    (c) All equipment and material in the construction areas or when 
moved outside the construction area shall be marked with airport 
safety flags during the day and when directed by the Contracting 
Officer, with red obstruction lights at nights. All equipment 
operating on the apron, taxiway, runway, and intermediate areas 
after darkness hours shall have clearance lights in conformance with 
instructions from the Contracting Officer. No construction equipment 
shall operate within 50 feet of aircraft undergoing fuel operations. 
Open flames are not allowed on the ramp except at times authorized 
by the Contracting Officer.
    (d) Trucks and other motorized equipment entering the airport or 
construction area shall do so only over routes determined by the 
Contracting Officer. Use of runways, aprons, taxiways, or parking 
areas as truck or equipment routes will not be permitted unless 
specifically authorized for such use. Flag personnel shall be 
furnished by the Contractor at points on apron and taxiway for safe 
guidance of its equipment over these areas to assure right of way to 
aircraft. Areas and routes used during the contract must be returned 
to their original condition by the Contractor. The maximum speed 
allowed at the airport shall be established by airport management. 
Vehicles shall be operated so as to be under safe control at all 
times, weather and traffic conditions considered. Vehicles must be 
equipped with head and tail lights during the hours of darkness.

(End of clause)


1252.237-70  Qualifications of employees.

    As prescribed in (TAR) 48 CFR 1237.110, insert the following 
clause:

Qualifications of Employees (Jan 1994)

    The Contracting Officer may require dismissal from work of those 
employees which he/she deems incompetent, careless, insubordinate, 
unsuitable or otherwise objectionable, or whose continued employment 
he/she deems contrary to the public interest or inconsistent with 
the best interest of national security. The Contractor shall fill 
out, and cause each of its employees on the contract work to fill 
out, for submission to the Government, such forms as may be 
necessary for security or other reasons. Upon request of the 
Contracting Officer, the Contractor's employees shall be 
fingerprinted. Each employee of the Contractor shall be a citizen of 
the United States of America, or an alien who has been lawfully 
admitted for permanent residence as evidenced by Alien Registration 
Receipt Card Form I-151, or who presents other evidence from the 
Immigration and Naturalization Service that employment will not 
affect his/her immigration status.


1252.242-70  Dissemination of information--educational institutions.

     As prescribed in (TAR) 48 CFR 1242.203-70(a), insert the following 
clause:

Dissemination of Information--Educational Institutions (Jan 1994)

    (a) The Department of Transportation (DOT) desires widespread 
dissemination of the results of funded transportation research. The 
Contractor, therefore, may publish (subject to the provisions of the 
``Data Rights'' and ``Patent Rights'' clauses of the contract) 
research results in professional journals, books, trade 
publications, or other appropriate media (a thesis or collection of 
theses should not be used to distribute results because 
dissemination will not be sufficiently widespread). All costs of 
publication pursuant to this clause shall be borne by the Contractor 
and shall not be charged to the Government under this or any other 
Federal contract.
    (b) Any copy of material published under this clause must 
contain acknowledgment of DOT's sponsorship of the research effort 
and a disclaimer stating that the published material represents the 
position of the author(s) and not necessarily that of DOT. Articles 
for publication or papers to be presented to professional societies 
do not require the authorization of the Contracting Officer prior to 
release. However, two copies of each article shall be transmitted to 
the Contracting Officer at least two weeks prior to release or 
publication.
    (c) Press releases concerning the results or conclusions from 
the research under this contract shall not be made or otherwise 
distributed to the public without prior written approval of the 
Contracting Officer.
    (d) Publication under the terms of this clause does not release 
the Contractor from the obligation of preparing and submitting to 
the Contracting Officer a final report containing the findings and 
results of research, as set forth in the schedule of the contract.

(End of clause)


1252.242-71  Contractor testimony.

     As prescribed in (TAR) 48 CFR 1242.203-70(b), insert the following 
clause:

Contractor Testimony (Jan 1994)

     All requests for the testimony of the Contractor or its 
employees, and any intention to testify as an expert witness 
relating to: (a) any work required by, and/or performed under, this 
contract; or (b) any information provided by any party to assist the 
Contractor in the performance of this contract, shall be immediately 
reported to the Contracting Officer. Neither the Contractor nor its 
employees shall testify on a matter related to work performed or 
information provided under this contract, either voluntarily or 
pursuant to a request, in any judicial or administrative proceeding 
unless approved by the Contracting Officer or required by a judge in 
a final court order.

(End of clause)


1252.242-72  Dissemination of contract information.

    As prescribed in (TAR) 48 CFR 1242.203-70(c), insert the following 
clause:

Dissemination of Contract Information (Jan 1994)

    The Contractor shall not publish, permit to be published, or 
distribute for public consumption, any information, oral or written, 
concerning the results or conclusions made pursuant to the 
performance of this contract, without the prior written consent of 
the Contracting Officer. Two copies of any material proposed to be 
published or distributed shall be submitted to the Contracting 
Officer.

(End of clause)


1252.242-73  Contracting Officer's Technical Representative.

     As prescribed in (TAR) 48 CFR 1242.7000, insert the following 
clause:

Contracting Officer's Technical Representative (Jan 1994)

    (a) The Contracting Officer may designate Government personnel 
to act as the Contracting Officer's Technical Representative (COTR) 
to perform functions under the contract such as review and/or 
inspection and acceptance of supplies, services, including 
construction, and other functions of a technical nature. The 
Contracting Officer will provide a written notice of such 
designation to the Contractor within five working days after 
contract award or for construction, not less than five working days 
prior to giving the contractor the notice to proceed. The 
designation letter will set forth the authorities and limitations of 
the COTR under the contract.
    (b) The Contracting Officer cannot authorize the COTR or any 
other representative to sign documents (i.e., contracts, contract 
modifications, etc.) that require the signature of the Contracting 
Officer.

(End of clause)


1252.245-70  Government property reports.

    As prescribed in (TAR) 48 CFR 1245.505-70, insert the following 
clause:

Government Property Reports (Jan 1994)

    (a) The Contractor shall prepare an annual report of Government 
property in its possession and the possession of its subcontractors.
    (b) The report shall be submitted to the Contracting Officer not 
later than September 15 of each calendar year on Form DOT F 4220.43, 
Contractor Report of Government Property.

(End of clause)


1252.247-1  Acceptable service at reduced rates.

     As prescribed in (TAR) 48 CFR 1247.104-370, insert the following 
clause:

Acceptable Service at Reduced Rates (Jan 1994)

     The Contractor is to use carriers that offer acceptable service 
at reduced rates, if available, to transport supplies under this 
contract.

(End of clause)


1252.247-2  F.o.b. origin information.

    As prescribed in (TAR) 48 CFR 1247.305-70, insert the following 
provision:

F.O.B. Origin Information (Jan 1994)

    The offeror shall furnish information with the offer:
    (a) Location of the offeror's actual shipping point(s) (street 
address, city, state, and zip code) from which supplies will be 
delivered to the Government;
    (b) Whether the offered shipping point has a private railroad 
siding, and the name of the rail carrier serving it;
    (c) When the offered shipping point does not have a private 
siding, the names and addresses of the nearest public rail siding 
and of the carrier serving it; and
    (d) The quantity of supplies to be shipped from each shipping 
point.

(End of provision)

Alternate I (Jan 1994)

    If delivery is ``f.o.b. origin, contractor's facility,'' and the 
designated facility is not covered by the line-haul transportation 
rate, add the following paragraph to the basic provision:
    (e) The charges required to deliver the shipment to the point 
where the line-haul rate is applicable.

Alternate II (Jan 1994)

    When delivery is ``f.o.b. origin, freight allowed,'' add the 
following paragraph to the basic provision:
    (e) The basis on which transportation charges will be allowed, 
including the origin and destination from and to which 
transportation charges will be allowed.


1252.247-3  F.o.b. origin only.

    As prescribed in (TAR) 48 CFR 1247.305-70, insert the following 
provision:

F.O.B. Origin Only (Jan 1994)

    Offers are invited on the basis of f.o.b. origin only. Offers 
submitted on any other basis will be rejected as nonresponsive.

(End of provision)


1252.247-4  F.o.b. destination only.

    As prescribed in (TAR) 48 CFR 1247.305-70, insert the following 
provision:

F.O.B. Destination Only (Jan 1994)

    Offers are invited on the basis of f.o.b. destination only. 
Offers submitted on any other basis will be rejected as 
nonresponsive.

(End of provision)


1252.247-5  Shipments to ports and air terminals.

    As prescribed in (TAR) 48 CFR 1247.305-70, insert the following 
provision:

Shipments to Ports and Air Terminals (Jan 1994)

     The Offeror shall furnish the following information with the 
offer:
    (a) A delivery schedule in number of units and/or long or short 
tons;
    (b) Maximum quantities available per shipment; and
    (c) Other data appropriate to shipment by air carrier.

(End of provision)

Alternate I (Jan 1994)

    When the delivery term is ``ex dock, pier or warehouse, port of 
importation'' or ``c.& f. destination,'' substitute the following 
paragraph (c) for the paragraph (c) of the basic provision:
    (c) The number of containers or units that can be loaded in a 
car, truck, or other conveyance of the size normally used (specify 
type and size) for the commodity.

Alternate II (Jan 1994)

    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, 
point of exportation,'' substitute the following paragraphs (c), (d) 
and (e) for the paragraph (c) of the basic provision:
    (c) The quantity that can be made available for loading to 
vessel per running day of 24 hours (if acquisition involves a 
commodity to be shipped in bulk);
    (d) The minimum leadtime required to make supplies available for 
loading to vessel; and
    (e) The port and pier or other designation and, when applicable, 
the maximum draft of vessel (in feet) that can be accommodated.

Alternate III (Jan 1994)

    When the delivery term is ``c.i.f. destination,'' substitute the 
following paragraphs (c) and (d) for the paragraph (c) of the basic 
provision:
    (c) The number of containers or units that can be loaded in a 
car, truck, or other conveyance of the size normally used (specify 
type and size) for the commodity; and
    (d) The amount and type of marine insurance coverage; e.g., 
whether the coverage is ``With Average'' or ``Free of Particular 
Average'' and whether it covers any special risks or excludes any of 
the usual risks associated with the specific commodity involved.


1252.247-6  F.o.b. designated air carrier's terminal, point of 
exportation.

    As prescribed in (TAR) 48 CFR 1247.305-70, insert the following 
provision:

F.O.B. Designated Air Carrier's Terminal, Point of Exportation (Jan 
1994)

    The Offeror shall furnish the following information with the 
offer:
    (a) A delivery schedule in number of units, type of package, and 
individual weight and dimensions of each package;
    (b) Minimum leadtime required to make supplies available for 
loading into aircraft;
    (c) Name of airport and location to which shipment will be 
delivered; and
    (d) Other data appropriate to shipment by air carrier.

(End of provision)


1252.247-7  Nomination of additional ports.

    As prescribed in (TAR) 48 CFR 1247.305-70, insert the following 
provision:

Nomination of Additional Ports (Jan 1994)

    (a) Offerors may nominate additional ports (including ports in 
Alaska and Hawaii) more favorably located to their shipping points; 
and
    (b) These ports will be considered in the evaluation of offers 
if they possess all requisite capabilities of the listed ports in 
relation to the supplies being acquired.

(End of provision)


1252.247-8  Supply movement in the defense transportation system.

    As prescribed in (TAR) 48 CFR 1247.305-71, insert the following 
clause:

Supply Movement in the Defense Transportation System (Jan 1994)

    (a) The Contractor shall dispatch a Transportation Control 
Movement Document (TCMD) to the appropriate DOD air or water 
clearance authority in accordance with MILSTAMP procedures for all 
shipments consigned to DOD air or water terminal transshipment 
points; and
    (b) An Export Release must be obtained for supplies to be 
transshipped via a water port of loading to overseas destination, 
except for shipments for which an Export Release is not required, 
generally shipments of less than 10,000 pounds, (see paragraph 
202024 of the Military Traffic Management Regulation, AR 55-355, 
NAVSUP 4600.70, MCO 4600.14A, AFM 75-2, DLAR 4500.3).

(End of clause)

PART 1252--SOLICITATION PROVISIONS AND CONTRACT CLAUSES

Subpart 1252.2--Texts of Provisions and Clauses

1252.225-90  Buy American Certificate--Steel and Manufactured 
Products. (FAA)
1252.225-91  Buy American--Steel and Manufactured Products. (FAA)

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.

Subpart 1252.2--Texts of Provisions and Clauses


1252.225-90  Buy American Certificate--Steel and Manufactured Products. 
(FAA)

    As prescribed in 1225.9005(a), insert the following provision in 
solicitations:

Buy American Certificate--Steel and Manufactured Products (Jan 1994)

    (a) By submitting a bid/proposal under this solicitation, except 
for those items listed by the offeror below, the offeror certifies 
that steel and manufactured products to be used in the project are 
produced in the United States and that components of unknown origin 
are considered to have been produced or manufactured outside the 
United States.
    (b) This certification is required in implementation of Section 
9129 of the Aviation Safety and Capacity Expansion Act of 1990, 
(Subtitle B of Title IX of Pub. L. 101-508, the Omnibus Budget 
Reconciliation Act of 1990).

Product  Country of Origin

________  __________

________  __________

________  __________

________  __________

(End of provision)


1252.225-91  Buy American--steel and manufactured products. (FAA)

    As prescribed in 1225.9005(b), insert the following clause in 
solicitations and contracts:

Buy American--Steel and Manufactured Products (Jan 1994)

    (a) Section 9129 of the Aviation Safety and Capacity Expansion 
Act of 1990 (Subtitle B of Title IX of Pub. L. 101-508, the Omnibus 
Budget Reconciliation Act of 1990) requires the use of steel and 
manufactured products produced in the United States when a project 
such as that covered by this contract receives funding.
    (b) The Contractor shall deliver only steel and manufactured 
products produced in the United States. This requirement shall not 
apply where the Secretary or his or her designee has found--
    (1) that its application would be inconsistent with the public 
interest;
    (2) that such materials are not produced in the United States in 
sufficient and reasonably available quantities and of a satisfactory 
quality;
    (3) in the case of the procurement of facilities and equipment 
under the Airport and Airway Improvement Act of 1982, (i) the cost 
of components and subcomponents which are produced in the United 
States is more than 60 percent of the cost of all components to be 
delivered under this contract, and (ii) final assembly of the 
facility or equipment to be delivered under this contract has taken 
place in the United States; or
    (4) that inclusion of domestic material will increase the cost 
of the overall contract by more than 25 percent.
    (c) In calculating components' costs, labor costs involved in 
final assembly shall not be included in the calculation.
    (d) This clause takes precedence over the provisions of the FAR 
52.225-3, Buy American--Supplies, and the FAR clause 52.225-5, Buy 
American--Construction Materials, in respect to their applicability 
to steel and manufactured products.

(End of clause)

PART 1252--SOLICITATION PROVISIONS AND CONTRACT CLAUSES

Subpart 1252.2--Texts of Provisions and Clauses

1252.210-90  Bar coding requirement. (USCG)
1252.213-90  Evaluation factor for Coast Guard performance of bar 
coding requirement. (USCG)
1252.220-90  Local hire. (USCG)
1252.228-90  Notification of Miller Act payment bond protection. 
(USCG)
1252.237-90  Requirements. (USCG)
1252.237-91  Area of performance. (USCG)
1252.237-92  Performance and delivery. (USCG)
1252.237-93  Subcontracting. (USCG)
1252.237-94  Termination for default. (USCG)
1252.237-95  Group interment. (USCG)
1252.237-96  Permits. (USCG)
1252.237-97  Facility requirements. (USCG)
1252.237-98  Preparation history. (USCG)
1252.237-99  Award to single offeror. (USCG)

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.

Subpart 1252.2--Texts of Provisions and Clauses


1252.210-90  Bar coding requirement. (USCG)

    As prescribed in USCG guidance at (TAR) 48 CFR 1210.011-90 and 
1213.507-90, insert the following clause:

Bar Coding Requirements (Jan 1994)

    Item markings shall include bar coding in accordance with MIL-
STD-1189 as clarified below:
    (a) The stock number shall be bar coded with no prefixes, 
dashes, spaces, or suffixes encoded. The contract number, the 
delivery order, or call order number, when used, shall be bar coded 
with no spaces or dashes encoded.
    (b) Prefixes and suffixes to the stock number may be included in 
the OCR-A in-the-clear markings, but not in the bar code.
    (c) Preferred Bar Code Density (characters per inch as defined 
in MIL-STD-1189) is ``standard,'' but densities from ``standard'' to 
``low'' are acceptable.
    (d) OCR-A characters do not have to be machine readable.
    (e) Bar coding shall be machine readable.
    (f) Unless otherwise specified herein, minimum bar code height 
shall be 0.25 inch (6.4 mm) or 15 percent of the bar code length, 
whichever is greater.
    (g) The preferred position of the OCR-A characters is below the 
bar codes, but the OCR-A characters may be above the bar codes.
    (h) On outer containers contractors shall either:
    (1) Encode the stock numbers and contract number in one line of 
bar code with the stock number appearing first; or
    (2) Encode the item stock number and contract number on two 
labels, with the top label containing the stock number and the lower 
label containing the contract number.
    (i) On unit and intermediate containers, the item stock number 
in bar code with OCR-A below may be on the same label as the other 
data (identification markings) required by MIL-STD-129H. However, 
the bar code stock number shall appear on the top line with OCR-A 
characters on the second line; the OCR-A characters may include the 
stock number prefix and suffix, or alternatively, the complete stock 
number including any prefix and suffix, shall be repeated as part of 
the identification markings.
    (j) Exclusions from bar code markings are:
    (1) Multi-packs/consolidation containers (containers with two or 
more different stock numbers within).
    (2) Reusable shipping containers used for multiple/ different 
stock number applications.
    (3) Items consigned to a prime contractor's plant for 
installation in production.

(End of clause)


1252.213-90  Evaluation factor for Coast Guard performance of bar 
coding requirement. (USCG)

    As prescribed in USCG guidance at (TAR) 48 CFR 1213.107-90, insert 
the following provision:

Evaluation Factor for Coast Guard Performance of Bar Coding Requirement 
(Jan 1994)

    If a small business cannot provide the bar coding requirement, 
as indicated elsewhere in the schedule, the contracting officer will 
apply the following formula to the quoted amounts:
    (a) Unit price quoted by small business $______ .
    (b) Add unit cost to the USCG to provide bar coding $______.
    (c) Adjusted unit price (add lines a. and b.) $______.
    The line (c) amount will become the amount the contracting 
officer considered when determining the lowest quoted amount.

(End of provision)


1252.220-90  Local hire. (USCG)

    As prescribed in USCG guidance at (TAR) 48 CFR 1220.9001, insert 
the following clause:

Local Hire (Jan 1994)

    The Contractor shall employ, for the purpose of performing this 
contract in whole or in part in a State that has an unemployment 
rate in excess of the national average rate of unemployment (as 
defined by the Secretary of Labor), individuals who are local 
residents and who, in the case of any craft or trade, possess or 
would be able to acquire promptly the necessary skills. Local 
Resident means a resident or an individual who commutes daily to 
that State.

(End of clause)


1252.228-90  Notification of Miller Act payment bond protection. (USCG)

    As prescribed in USCG guidance at (TAR) 48 CFR 1228.9000, insert 
the following clause:

Notification of Miller Act Payment Bond Protection (Jan 1994)

    This notice clause shall be inserted by first tier 
subcontractors in all their subcontracts and shall contain the 
surety which has provided the payment bond under the prime contract.
    (a) The prime contract is subject to the Miller Act (40 U.S.C. 
270), under which the prime contractor has obtained a payment bond. 
This payment bond may provide certain unpaid employees, suppliers, 
and subcontractors a right to sue the bonding surety under the 
Miller Act for amounts owned for work performed and materials 
delivery under the prime contract.
    (b) Persons believing that they have legal remedies under the 
Miller Act should consult their legal advisor regarding the proper 
steps to take to obtain these remedies. This notice clause does not 
provide any party any rights against the Federal Government, or 
create any relationship, contractual or otherwise, between the 
Federal Government and any private party.
    (c) The surety which has provided the payment bond under the 
prime contract is:

----------------------------------------------------------------------

(Name)
----------------------------------------------------------------------

(Street Address)
----------------------------------------------------------------------

(City, State, Zip Code)
----------------------------------------------------------------------

(Contact and Tel. No.)

(End of clause)


1252.237-90  Requirements. (USCG)

     As prescribed in USCG guidance at (TAR) 48 CFR 1237.9000, insert 
the following clause:

Requirements (Jan 1994)

    (a) Except as provided in paragraphs (c) and (d) of this clause, 
the Government will order from the Contractor all of its 
requirements in the area of performance for the supplies and 
services listed in the schedule of this contract.
    (b) Each order will be issued as a delivery order and will 
list--
    (1) The supplies or services being ordered;
    (2) The quantities to be furnished;
    (3) Delivery or performance dates;
    (4) Place of delivery or performance;
    (5) Packing and shipping instructions;
    (6) The address to send invoices; and
    (7) The funds from which payment will be made.
    (c) The Government may elect not to order supplies and services 
under this contract in instances where the body is removed from the 
area for medical, scientific, or other reason.
    (d) In an epidemic or other emergency, the contracting activity 
may obtain services beyond the capacity of the Contractor's 
facilities from other sources.
    (e) Contracting Officers of the following activities may order 
services and supplies under this contract--

----------------------------------------------------------------------

----------------------------------------------------------------------

----------------------------------------------------------------------

----------------------------------------------------------------------

(End of clause)


1252.237-91  Area of performance. (USCG)

    As prescribed in USCG guidance at (TAR) 48 CFR 1237.9000, insert 
the following clause:

Area of Performance (Jan 1994)

    (a) The area of performance is as specified in the contract.
    (b) The Contractor shall take possession of the remains at the 
place where they are located, transport them to the Contractor's 
place of preparation, and later transport them to a place designated 
by the Contracting Officer.
    (c) The Contractor will not be reimbursed for transportation 
when both the place where the remains were located and the delivery 
point are within the area of performance.
    (d) If remains are located outside the area of performance, the 
Contracting Officer may place an order with the Contractor under 
this contract or may obtain the services elsewhere. If the 
Contracting Officer requires the Contractor to transport the remains 
into the area of performance, the Contractor shall be paid the 
amount per mile in the schedule for the number of miles required to 
transport the remains by a reasonable route from the point where 
located to the boundary of the area of performance.
    (e) The Contracting Officer may require the Contractor to 
deliver remains to any point within 100 miles of the area of 
performance. In this case, the Contractor shall be paid the amount 
per mile in the schedule for the number of miles required to 
transport the remains by a reasonable route from the boundary of the 
area of performance to the delivery point.

(End of clause)


1252.237-92  Performance and delivery. (USCG)

     As prescribed in USCG guidance at (TAR) 48 CFR 1237.9000, insert 
the following clause:

Performance and Delivery (Jan 1994)

    (a) The Contractor shall furnish the material ordered and 
perform the services specified as promptly as possible but not later 
than 36 hours after receiving notification to remove the remains, 
excluding the time necessary for the Government to inspect and check 
results of preparation.
    (b) The Government may, at no additional charge, require the 
Contractor to hold the remains for an additional period not to 
exceed 72 hours from the time the remains are casketed and final 
inspection completed.

(End of clause)


1252.237-93  Subcontracting. (USCG)

    As prescribed in USCG guidance at (TAR) 48 CFR 1237.9000, insert 
the following clause:

Subcontracting (Jan 1994)

    The Contractor shall not subcontract any work under this 
contract without the Contracting Officer's written approval. This 
clause does not apply to contracts of employment between the 
Contractor and its personnel.

(End of clause)


1252.237-94  Termination for default. (USCG)

    As prescribed in USCG guidance at (TAR) 48 CFR 1237.9000, insert 
the following clause:

Termination for Default (Jan 1994)

    (a) This clause supplements and is in addition to the Default 
clause of this contract.
    (b) The Contracting Officer may terminate this contract for 
default by written notice without the ten day notice required by 
paragraph (a)(2) of the Default clause if--
    (1) The Contractor, through circumstances reasonably within its 
control or that of its employees, performs any act under or in 
connection with this contract, or fails in the performance of any 
service under this contract and the act or failures may reasonably 
be considered to reflect discredit upon the Department of 
Transportation in fulfilling its responsibility for proper care of 
remains;
    (2) The Contractor, or its employees, solicits relatives or 
friends of the deceased to purchase supplies or services not under 
this contract. (The Contractor may furnish supplies or arrange for 
services not under this contract, only if representatives of the 
deceased voluntarily request, select, and pay for them.);
    (3) The services or any part of the services are performed by 
anyone other than the Contractor or the Contractor's employees 
without the written authorization of the Contracting Officer;
    (4) The Contractor refuses to perform the services required for 
any particular remains; or
    (5) The Contractor mentions or otherwise uses this contract in 
its advertising in any way.

(End of clause)


1252.237-95  Group interment. (USCG)

    As prescribed in USCG guidance at (TAR) 48 CFR 1237.9000, insert 
the following clause:

Group Interment (Jan 1994)

    The Government will pay the Contractor for supplies and services 
provided for remains interred as a group on the basis of the number 
of caskets furnished, rather than on the basis of the number of 
persons in the group.

(End of clause)


1252.237-96  Permits. (USCG)

    As prescribed in USCG guidance at (TAR) 48 CFR 1237.9000, insert 
the following clause:

Permits (Jan 1994)

    The Contractor shall meet all State and local licensing 
requirements and obtain and furnish all necessary health department 
and shipping permits at no additional cost to the Government. The 
Contractor shall ensure that all necessary health department permits 
are in order for disposition of the remains.

(End of clause)


1252.237-97  Facility requirements. (USCG)

    As prescribed in USCG guidance at (TAR) 48 CFR 1237.9000, insert 
the following clause:

Facility Requirements (Jan 1994)

    (a) The Contractor's building shall have complete facilities for 
maintaining the highest standards for solemnity, reverence, 
assistance to the family, and prescribed ceremonial services.
    (b) The Contractor's preparation room shall be clean, sanitary, 
and adequately equipped.
    (c) The Contractor shall have, or be able to obtain the 
necessary items (e.g. catafalques, structures, trucks, equipment) 
for religious services.
    (d) The Contractor's funeral home, furnishings, grounds, and 
surrounding area shall present a clean and well-kept appearance.

(End of clause)


1252.237-98  Preparation history. (USCG)

    As prescribed in USCG guidance at (TAR) 48 CFR 1237.9000, insert 
the following clause:

Preparation History (Jan. 1994)

    For each body prepared, or for each casket handled in a group 
interment, the Contractor shall state briefly the results of the 
embalming process on a certificate furnished by the Contracting 
Officer.
(End of clause)


1252.237-99  Award to single offeror. (USCG)

    As prescribed in USCG guidance at (TAR) 48 CFR 1237.9000, insert 
the following provision:

Award to Single Offeror (Jan. 1994)

    (a) Award shall be made to a single offeror.
    (b) Offerors shall include unit prices for each item. Failure to 
include unit prices for each item will be cause for rejection of the 
entire offer.
    (c) The Government will evaluate offers on the basis of the 
estimated quantities shown.
    (d) Award will be made to that responsive, responsible offeror 
whose total aggregate offer is the lowest price to the Government.
(End of provision)

Alternate I (Jan. 1994)

    If mortuary services are procured by negotiations, substitute 
the following paragraph (d) for paragraph (d) of the basic 
provision:
    (d) Award will be made to that responsive, responsible offeror 
whose total aggregate offer is in the best interest of the 
Government.

PART 1253--FORMS

Subpart 1253.2--Prescription of Forms

1253.204  Administrative matters.
1253.215  Contracting by negotiation.
1253.215-270  Price negotiation.
1253.222  Application of labor laws to Government acquisitions.
1253.227-70  Conveyance of invention rights acquired by the 
Government.
1253.245-70  Report of Government property.

Subpart 1253.3--Illustration of Forms

1253.303  Agency forms.
1253.303-4220.4  Contractor's Release.
1253.303-4220.7  Employee Claim for Wage Restitution.
1253.303-4220.43  Contractor Report of Government Property.
1253.303-4220.44  Contract Pricing Summary.
1253.303-4220.45  Contractor's Assignment of Refunds, Rebates, and 
Credits.
1253.303-4220.46  Cumulative Claim and Reconciliation Statement.
1253.303-DD882  Report of Inventions and Subcontracts.

    Authority: 5 U.S.C. 301; 41 U.S.C. 418(b); 48 CFR 3.1.

Subpart 1253.2--Prescription of Forms


1253.204  Administrative matters.

    The following forms are prescribed for use in the closeout of 
applicable contracts, as specified in (TAR) 48 CFR 1204.804-570:
    (a) Form DOT F 4220.4, Contractor's Release. (See (TAR) 48 CFR 
1204.804-570.) Form DOT F 4220.4 is authorized for local reproduction 
and a copy is furnished for this purpose in part 1253 of the loose-leaf 
edition of the TAR.
    (b) Form DOT F 4220.45, Contractor's Assignment of Refunds, 
Rebates, Credits, and Other Amounts. (See (TAR) 48 CFR 1204.804-570.) 
Form DOT F 4220.45 is authorized for local reproduction and a copy is 
furnished for this purpose in part 1253 of the looseleaf edition of the 
TAR.
    (c) Form DOT F 4220.46, Cumulative Claim and Reconciliation 
Statement. (See (TAR) 48 CFR 1204.804-570.) Form DOT F 4220.46 is 
authorized for local reproduction and a copy is furnished for this 
purpose in part 1253 of the looseleaf edition of the TAR.
    (d) DD Form 882, Report of Inventions and Subcontracts. (See (TAR) 
48 CFR 1204.804-570.) DD Form 882 is authorized for local reproduction 
and a copy is furnished for this purpose in part 1253 of the looseleaf 
edition of the TAR.


1253.215  Contracting by negotiation.


1253.215-270  Price negotiation.

    The following form(s) may be used in connection with requirements 
for obtaining cost or pricing data from offerors or contractors, as 
prescribed in (TAR) 48 CFR 1215.804-6:
    Form DOT F 4220.44, Contract Pricing Summary. (See (TAR) 48 CFR 
1215.804-6). Form DOT F 4220.44 is authorized for local reproduction 
and a copy is furnished for this purpose in TAR part 1253 of the 
looseleaf edition.


1253.222  Application of labor laws to Government acquisitions.

    The following form is prescribed for use in connection with the 
application of labor laws, as specified in (TAR) 48 CFR 1222.406-9:
    Form DOT F 4220.7, Employee Claim for Wage Restitution. (See (TAR) 
48 CFR 1222.406-9(c)(1).) Form DOT F 4220.7 is authorized for local 
reproduction and a copy is furnished for this purpose in part 1253 of 
the looseleaf edition of the TAR.


1253.227-70  Conveyance of invention rights acquired by the Government.

    The following form is prescribed for including a means for 
contractors to report inventions made in the course of contract 
performance, as specified in 1227.305-4:
    DD Form 882, Report of Inventions and Subcontracts. (See (TAR) 48 
CFR 1227.305-4.) DD Form 882 is authorized for local reproduction and a 
copy is furnished for this purpose in part 1253 of the looseleaf 
edition of the TAR.


1253.245-70  Report of Government property.

    The following form is prescribed for use by contractors to report 
Government property, as specified in (TAR) 48 CFR 1245.505-14:
    Form DOT F 4220.43, Contractor Report of Government Property. (See 
(TAR) 48 CFR 1245.505-14.) Form DOT F 4220.43 is authorized for local 
reproduction and a copy is furnished for this purpose in part 1253 of 
the looseleaf edition of the TAR.

Subpart 1253.3--Illustration of Forms


1253.303  Agency forms.

    This subpart contains illustrations of DOT and other agency forms 
specified by the TAR for use in DOT acquisitions.

BILLING CODE 4910-62-P

TP01FE94.000


TP01FE94.001


TP01FE94.002


TP01FE94.003


TP01FE94.004


TP01FE94.005


TP01FE94.006


TP01FE94.007


BILLING CODE 4910-62-C

Instructions for Completing Contract Pricing Summary

    Offerors are instructed to prepare their cost proposals in 
sufficient detail to permit thorough and complete evaluation by the 
Government. A separate DOT F 4220.44 is required for the basic and 
each option period (if applicable). The supporting data for the DOT 
F 4220.44 shall be as follows. (NOTE: The DOT F 4220.44 shall be 
used to implement the requirements of the SF 1411 and does not 
relieve offerors from complying with FAR 15.804-6 requirements.)
    (a) The basis for all proposed rates (including a copy of the 
indirect cost pool and a computational trail used to arrive at the 
proposed rate shall be clearly identified when the proposed rates 
are not approved by a Government audit agency for use in proposals; 
or approved by the Government audit agency, but the approval is 12 
months or more old. State rather an approved (within 12 months) 
Government audit agency rate was used.
    (b) The information below clarifies FAR 15.804-6 requirements 
for specific cost elements. The cost elements listed below shall be 
supported, as a minimum, with the following:

1. DIRECT MATERIAL

    A. Purchased Parts: Provide a consolidated priced summary of 
individual material quantities included in the various tasks, 
orders, or contract line items being proposed and the basis for 
pricing (vendor quotes, invoices prices, etc.). Give details on an 
attached schedule.
    B. Subcontracted Items: Show the total cost of subcontract 
effort and provide a separate SF 1411 and supporting DOT F 4220.44 
for each subcontractor or written quotations from the prospective 
subcontractor in accordance with FAR 15.806-2.
    C. Other.
    (1) Raw Material: Consists of material in a form or state that 
requires further processing. Provide priced quantities of items 
required for the proposal. Show total cost and give details on an 
attached schedule.
    (2) Standard Commercial Items: Consists of items that the 
offeror normally fabricates, in whole or in part, and that are 
generally stocked in inventory. Provide an appropriate explanation 
of the basis for pricing. If price is based on cost, provide a cost 
breakdown; if priced at other than cost, provide justification for 
exemption from submission of cost or pricing data, as required by 
FAR 15.804-3(e). Show total cost and give details on an attached 
schedule.

2. MATERIAL OVERHEAD

    Show cost here only if your accounting system provides for such 
cost segregation and only if this cost is not computed as part of 
labor overhead (item 4) or General and Administrative (G&A) (item 
6).

3. DIRECT LABOR

    Show the hourly rate and the total hours for each individual (if 
known) and discipline of direct labor proposed. Indicate whether 
actual rates or escalated rates are used. If escalation is included, 
state the degree (percent) and rationale used.

4. LABOR OVERHEAD

    See paragraph (a) above.

5. OTHER DIRECT COSTS

    (A) Special Tooling/Equipment. Identify and support specific 
equipment and unit prices. Use a separate schedule if necessary.
    (B) Travel. Identify and support each trip proposed and the 
persons (or disciplines) designated to make each trip. Identify and 
support transportation and per diem rates.
    (C) Individual Consultant Services. Identify and support the 
proposed contemplated consultants. State the amount of service 
estimated to be required and the consultant's quoted daily or hourly 
rate.
    (D) Other Costs. List all other direct charge costs not 
otherwise included in the categories described above (e.g., services 
of specialized trades, computer services, preservation, packaging 
and packing, leasing of equipment) and provide bases for pricing.

6. GENERAL AND ADMINISTRATIVE EXPENSE

    See paragraph (a) above and base approved by a Government audit 
agency for use in proposals.

7. ROYALTIES

    If more than $250, provide the following information on a 
separate page for each separate royalty or license fee; name and 
address of licensor; date of license agreement; patent numbers, 
patent application serial numbers, or other basis on which the 
royalty is payable; brief description (including any part of model 
numbers of each contract item or component on which the royalty is 
payable); percentage or dollar rate of royalty per unit; unit price 
of contract item; number of units; and total dollar amount of 
royalties. In addition, if specifically requested by the Contracting 
Officer, provide a copy of the current license agreement and 
identification of applicable claims of specific patents. (See FAR 
27.204 and 31.205-37)

8. SUBTOTAL ESTIMATED COST

    Enter the total of all direct and indirect costs excluding 
Contract Facilities Capital and Cost of Money and Fee or Profit.

9. CONTRACT FACILITIES CAPITAL AND COST OF MONEY

    Show total cost on line 9 and attach supporting calculations on 
the CASB-CMF forms. (See FAR 31.205-10).

10. SUBTOTAL ESTIMATED COST

    Enter the total of all proposed costs excluding Fee or Profit 
and insert this amount in Section 6.A. of SF 1411.

11. FEE OR PROFIT

    Enter this proposed Fee or Profit and insert this amount in 
Section 6.B. of SF 1411.

12. TOTAL ESTIMATED COST AND FEE OR PROFIT

    Enter the total estimated cost including Fee or Profit.
    (c) Under the column entitled, ``Reference,'' identify the 
attachment where information supporting the specific cost element 
may be found.

BILLING CODE 4910-62-P

TP01FE94.008


TP01FE94.009


TP01FE94.010


BILLING CODE 4910-62-C

DD Form 882 Instructions

General

    This form is for use in submitting INTERIM and FINAL Invention 
reports to the Contracting Officer and for use in the prompt 
notification of the award of subcontracts containing a ``Patent 
Rights'' clause. If the form does not afford sufficient space, 
multiple forms may be used or plain sheets of paper with proper 
identification of information by Item Number may be attached.
    An INTERIM report is due at least every 12 months from the date 
of contract award and shall include (a) a listing of ``Subject 
Inventions'' during the reporting period, (b) a certification of 
compliance with required invention identification and disclosure 
procedures together with a certification of reporting of all 
``Subject Inventions,'' and (c) any required information not 
previously reported on subcontracts awarded during the reporting 
period and containing a ``Patent Rights'' clause.
    A FINAL report is due within 6 months if contractor is a small 
business firm or domestic nonprofit organization and within 3 months 
for all others after completion of the contract work and shall 
include (a) a listing of all ``Subject Inventions'' required by the 
contract to be reported, and (b) any required information not 
previously reported on subcontracts awarded during the course of or 
under the contract and containing a ``Patent Rights'' clause.
    While the form may be used for simultaneously reporting 
inventions and subcontracts, it may also be used for reporting, 
promptly after award, subcontracts containing a ``Patent Rights'' 
clause.
    Dates shall be entered where indicated in certain items on this 
form and shall be entered in four or six digit numbers in the order 
of year and month (YYMM) or year, month and day (YYMMDD). Example: 
April 1986 should be entered as 8604 and April 15, 1986 should be 
entered as 860415.
    Item 1a. Self-explanatory.
    Item 1b. Self-explanatory.
    Item 1c. If ``same'' as Item 2c, so state.
    Item 1d. Self-explanatory.
    Item 2a. If ``same'' as Item 1a, so state.
    Item 2b. Self-explanatory.
    Item 2c. Procurement Instrument Identification (PII) number of 
contract (DFAR 4.7003).
    Item 2d thru 5e. Self-explanatory.
    Item 5f. The name and address of the employer of each inventor 
not employed by the contractor or subcontractor is needed because 
the Government's rights in a reported invention may not be 
determined solely by the terms of the ``Patent Rights'' clause in 
the contract.
    Example 1: If an invention is made by a Government employee 
assigned to work with a contractor, the Government rights in such an 
invention will be determined under Executive Order 10096.
    Example 2: If an invention is made under a contract by joint 
inventors and one of the inventors is a Government employee, the 
Government's rights in such an inventor's interest in the invention 
will also be determined under Executive Order 10096, except where 
the contractor is a small business or nonprofit organization, in 
which case the provisions of Section 202(e) of P.L. 96-517 will 
apply.
    Item 5g(1). Self-explanatory.
    Item 5g(2). Self-explanatory with the exception that the 
contractor or subcontractor shall indicate, if known at the time of 
this report, whether applications will be filed under either the 
Patent Cooperation Treaty (PCT) or the European Patent Convention 
(EPC). If such is known, the letters PCT or EPC shall be entered 
after each listed country.
    Item 6a. Self-explanatory.
    Item 6b. Self-explanatory.
    Item 6c. Self-explanatory.
    Item 6d. Patents Rights Clauses are located in FAR 52.227.
    Item 6e thru 7b. Self-explanatory.
    Item 7c. Certification not required by small business firms and 
domestic nonprofit organizations.

[FR Doc. 94-1591 Filed 1-31-94; 8:45 am]
BILLING CODE 4910-62-P-U