ML20126M805

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Contract:Environ Assessment for Low Level Waste Storage at TVA Sequoyah Nuclear Plant, Awarded to Science Applications,Inc
ML20126M805
Person / Time
Site: Sequoyah  Tennessee Valley Authority icon.png
Issue date: 05/21/1981
From: Findley D, Mattia M
NRC OFFICE OF ADMINISTRATION (ADM), SCIENCE APPLICATIONS INTERNATIONAL CORP. (FORMERLY
To:
Shared Package
ML20126M804 List:
References
CON-FIN-B-7332-1, CON-NRC-02-81-053, CON-NRC-2-81-53 NUDOCS 8106220102
Download: ML20126M805 (19)


Text

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y STAN add ' 26. JULY 1966 AWARD / CONTRACT I cc im..c. 5ucneNi: 19

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'mS-81-053 ",t'J ~o' c' e 5 " o i-t.RC-02-31-053 MAY 21 G31

4. A0utN5TEREo 8f CODE l j f. CMERY S ISSUED SY CODE s (If stbre than b!xk $) C "cg^*" Cg$gs.

U.S. Nuclear Regulatory Commission e Division of Contracts Cmutsu ">

Washington, DC 20555 FACILITY CODE j 9 DisCCLNT sca ra:wT P Arwist j

a. CONfuCTCt CODE l NOJAf At<3 ADC2E55 l

1 (Sorret. eorp.

Science Applications, Inc.

. - r.e,. 1710 Goodridge Drive P.O. Box 1303 t o SLLu17 INvCaCI5 (4 cspsts a n ,ris et h e r u ns g w ,J;fo :: nss S e a iteCx i McLean, VA 22102 i As specified in the attachec, L J Billinq Instructions i12. FMMENT MLL 58 xADE SY CODEj 11 SMiP TO/MAM PCR CODE j j U.S. Nuclear Regulatory Ccmmission Office of the Controller Washincton, DC- 20555

.004 !at l NEOCT!AftD, PLR$UANT 'O { 10 V $ C.

13. Nt5 PROCL2tufNf W AS Q A0WEf:5ED. X 41U5C.232Ic40
14. ACCOUNTING ANQ APPaOFri AILON CAfA FIN NO., S 7332-1 03L! GATE: 525,553.00 B&R No.. 50-19-01-01
17. II. 19- 20.

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13. QU A Nfif Y UNIT UNIT PatCI irt u wo. SUPPUES. Sf fYC$

Envirem ntal Ass essment for Lcw Level Waste 5:srage at I'/A Sequcyah Nuclear Plant y

csama +d L]st aca aat,-,, .vv Fixec F)e 2,115.00 Cost Plis Fixed Fee 325,553.00 This contract is to be-performed in accordance with the terms of the Statement of Work delineated I

herein and the requirements of Basic Ordering Agreement NRC-02-30-035.

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1 Faye 2 i TASt_E OF CC;TEtiTS This Contract Consists of: )

1. Cover Page i
2. Table of Contents 3 Schedule Article I Statement of h'ork Article II Period of Parformance Article III Considsration and Fayment l

Article IV Overhead /Senaral and Administrative Rates Article V Provisions Applicable to Direct Costs Article VI Travel Reimbursement Article VII Key Personnel Article VIII Project Of ficer Article IX Conflict of Interest Article X General Provisions / Alterations l

l 4. Attachments Appendix A - General Previsions (Rev.11/30)

Appendix B - Billing Instructions for Cost-Type Contracts t-m I

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EfiVIR0t";EliTAL ASSESSHEtU OF LOW LEVEL WNSTE STdPAGE -

AT TYA SEQU3YAH tiUCLEAR PLANT 1.0 Background _

TVA prs ared Environmental Impact Statements in support of their applications to construct and operate the Sequoyah tiuclear Plant, Units 1 :nd 2, in Hamilton County, Tennessee. The Statements l

covered the collection, treatment and stcrage of icw-level waste

. associated with the. operation of the reactors. TVA now plans to store low level waste for five years, an activity not originally contemplated and not associated with the operation of the reactors.

l This activity is essentially an additional step in the fuel cycle.

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- Tne storage modules being constructed at the Sequoyah fluclear Plant are similar in design to these at TVA's Browns Ferry tiuclear Plant.

l 2.0 Work Recuired Tne contractor shall gather data, analyze the data, and prepare an environmental assessment based on the analysis, consideration of site and surrounding chara:taristics, and the applicant's Environ-mental Assessment. The assess . ant shall be tiered on previous Environ-mental Statements for the Sequoyah fluclear Plant and the Environmental Assessment of low-level waste storage at iYA's Browns Ferry ?!uclear Plant and shall include the following topics to the extent that they j are not redundant.

1 l 1. Description of the Site Erivironment

a. Site Location .
b. Damagraphy
c. Land Use
d. Geology
e. Hydrology -(Groundwater and Surface Water) i
f. Meteorology and Climatology -
o. Back0round Radiological Characteristics.
h. Ecol 5gy (terrestrial and Aquatic Biota
2. Tne Facility l

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a. External Appearance
b. Summary of Operations Processes 6
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3. 1?asta c:nTinamant and Effluent Control
e. G:::. us Eff1uants
b. Li:vid ETfluants Solid 1lr.stes (Includi.ng paci: aging integrity verif t:.. ion)'

c.

4. Environmantal Impacts of Facility Operations
a. F.2diological '
b. I':n-radiol ogical .

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5. D2scription of Environmental and Occupational Measuram nt and ibnitoring Programs
a. Radiological
b. ?lon-radiological
6. Impact of Accidents
a. Radiological Accidents'
b.  :;on-radiological Accidents
c. Evaluation of Potential Environmental and Occupational Impact i of Accidents
7. Sun.ary and Conclusion of Environmental Impacts of Construction and Operation In addi: ion, the contractor shall provide a discussion of reasonable alternatives 'available for reducing or avoiding adverse environmental effects and alternative uses of resources. The discussion of alterna-l tives will include the environmental impacts of each in proportion to l- its significance and balancing environmental, economic and technical costs and banefits of the proposed action and each alternative considered.

3.0 Additional "aterials to be Furnished by llRC_

Final Er.vircnmental Impact Statament - TVA sequoyah Nuclear Plant Unit i 1 l

Final Environmental Impact Statement - T/A sequoyah Nuclear Plant Unit #2 TVA Licensing Subniittal - LLW Storage Facility e

4.0 Schedule Schedule to be negotiat,ed after meeting with contractor to discuss and clarify tasks.

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Page 5 5.0 Travel 1 After initial review of l;RC , .:caish d r,sterials, .' 2 cat. h:'.3r '

shall visit the Slip to acqui 2 site specific data . d addi ::nal information n?cessary to pr3 para the environmantal impsct as::ssc2nt.

It is expected that several c:ntractor personnel will b2 required to At timas spend a fcw days each at tha sita on two separate occ:siens.

to be desi;nated by the NRC peoject Officer, the can'.rictor will meet with the NRC in Silver Spring, F.D to discuss the pr:ble .s, ;rogress and technical aspects of the ass 2ssment. Approximat21y three meetings, not to excsed one day each in daration, are anticipated.

6.0 Reports Report requiremants sha'l be as specified in th'e Basic Ordering Agreement, NRC-02-30-035.

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.. a P TICLE 11 P E T< I OD OF PE Rf CF." NICE l j

The period of parforcance shall be from the effective date of contrl thru Six (6) months, l

r: ports shall have been deliverad to the !!?C as required by Article I, 3bove.

ARTICLE III - C0f? SIDERATION A'iD PAYliElii' (Fully P.nded CFFF)

A. Estimated _ Cost, Fixed Fee and Oblication It is estimated that the total cost to the Govarn=2nt for full perform-ance of this contract will be $25,653.00 of which the sum of 1.

$23,537.00- represents the esticated raicbursable costs, and of which S2,116.00 represents the fixed fee.

2. Total funds currently available for p2yment and allotted to this con-tract are $25,653.00 of which $23,537.C0 represants the estimated reicbursable costs, and of which 52,116.00 represents the fixed fee.
3. It is estimated that the amount currently allotted will cover the (6) period of performance which is scheduled to be completed six months from the effective da'te of the contract.

B. Paym2nt T,e Government shall render paym nt to the contractor in approximately thirty (30) days af ter submission of proper and correct invoices and vouche rs .

Additional provisions relating to payment are contained in Cin32 5.1-3 of the Ganaral Frcvisions hereto.

ARilCLE IV - OVERHEAD /3ENERAL AND AD:41N!STRATIVE RATES 3d rates which shall be ns;otiated A. Panding the establishment of final overh:

based on audit of actual costs, the contractor i shall benefit rate _of_83.5 percentof direct labor costs and at a provisional fr nge rate of 39 percent .of direct , labor , costs.

B.

Pending the establishment of final ceneral and administrative rates be reimbursed for alicwable indirect costs hereun rate of 12. 5 parcant of total direct cost and everhead.

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I ARTICLE V - PROVIS10'iS APPLICABLE TO DIF.ECT COST Items Unalic abl e Unless Otherwise Previ f ed liothwithstanding Clause llo. 5,3, ALLO' A3LE C:'STS, Fixed-Fee and Papent, and Clause !?o.10, SU3C0!iTP.ACT, of the General Pr: visions of this Contract, unless authorized in writing by the Contracting Of ficer, the costs of the following items or activities shall be unalle.;able as direct costs:

1. Fees for Consultants
2. Overtime; shift or incentive payments
3. All travel outside of the United States and its territories and possessions.
4. Maintenance agreements, service contracts, or maintanance of Gaverr.mant equipment.

ARTICLE VI - TRAVEL Relit 3URSEliENT_

tic travel The contractor will be reimbursed for the followingf reesenable this centract dcmes costs incurred directly and specifically in the parfomance o and accepted by the Contractinq Giiicer; 0 1.

Per diem shall be reimbursed at a daily rate not to exceed $62.0 the 2.

The cost of tcavel by privately cwned autcrobile shall be r2irbursa ra te of 221/2t par mile. ble 3.

T'he cost of travel by rented autcmobile shall be reimbursed on a re actual expense basis not to exceed 533.00 par day. l s 4.

All comon carrier travel reimbursable If not available, hereunder reimbursemant shall vcuchers willbe be via econ First-class l

rates when available.

annotated that econcay class accomodations were not availab e.

air travel is not authorized. d 5.

Eeceipts are required for common carrier transportation, lodging an miscellar.cous items in excess of $15.00

e a A?,TICLE VII - XEY PE?,50hNEL Pursuant to this ARTICLE ("
-y Personnel), the fol': wing individuals are c:nsilared to be essential :: tSe successful perf:rmnce of the work . ara-under and shall not be repli.ad without the prior approval of the Csntracting Of ficer. In such event, tra : .ntractor agrees to substitate persons possersing substantially eq al abilities and qualifications satisfactory to the Contracting Officer.

Dr. Frank Nimpey ARTICLE VIII P?0 JECT OFFICER RESPONSIBILITIES Mr. Peter Loysen, is hereby designated as the Contracting Officer's authorized representative (h3reinafter called Project Officer) for technical aspecte of this contract. The Project Of ficer is not authori:2d to a:prov recuest any act,on which results in or could result in an incraase in contract cost; or terminate, settle any claim or dispute arising undar the

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contract; or issue any unilateral cirective whatever.

The Project Of ficer is responsible for: (1) Monitoring fhe Contractor's technical progress, including the surveillance and assessment of performance and recommanding to the Contracting Of ficer changes in requirements; (2) interpr3 ting the statemant of work; (3) performing technical evaluation as required; (4) performing technical inspections 2nd acceptances requirad by this contract; and (5) assisting the C:ntractor in theWithin resolution of technical prob 12ms encountered during performance.

the pr2 View of this authority, the rapresentative is authorized to apprcve payment vouchers for supplies / services required under the contract.

The Contracting Officer is responsible for directirg or negotiating any changes in terms, ccnditions, or amounts cited in the contract.

For guidance from the Project Of ficer to the Contractor to be valid, it mus t: (1) be consistent with the description of wrk set forth in this contract; (2) not constitute new assignm' ant of work or change to the expressed tenns, conditions, or specifications incorporated into this contract; (3) not constitute a basis for an extensicn to the period of ,

performance or contract delivery schedule, (4).not constitute a basis for any increase in the contract price.

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Fage 9 M71CLE IX CCN FL I CT O F I N T E R._E.S.T_

(a) Purpose. The primary (purpose of this clause is to aid in1) ensuring that the contractor:

because of current or planned interest (financial, contractual, (2)organizatical, or otherwise) which relate to the work undar this contract, and does not obtain an unfair competitive advantage over othar parties by virtue of its performance of this contract.

Scope.

The restrictions described herein shall apply to (b) performance or participation by the contractor as defined in 41 CFR 5 20-1.5402(f) in the actitities covered by this clause.

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." otwithstanding any other provision of this (c) Work for others.

I contract, during the tem of this contract, the contractor agrees to i

forego entering into ccasuiting or other contractual arrangemants win of interest with respect to the work being performed l

I The contractor shall ensure that all employees If the who ar any, under this contract abide by the provision of this clause.

contractor believes with respect to itself or any such employee that any l

proposed consultant or othar contractual arrangement with any firm or organizati0n may involve a potential conflict of interest, the contractor shall obtain the written 27;reval of the contracting officar prior to excrution of_ such contractal arrangement.

(d) Disclosure after award.

(1) The contractor warrants that to the best of its kncwledge and belief and except as otharsise set forth in this contract, it dces not have any organizational conflicts of interest, as defined in 41 CFR 520-1.5402(a).

The centractor agraes that if af ter award it discovers organizational

'(2) conflicts of interest with respect to this contract, it shall make an irrediate and full disclosure in writing to the contracting oi~ficer.

  • This statement..shal.1_ include a description of the action which the contractor has taken or proposes to take to avoid or mitiga conflicts.

if it deems such termination to be in the best interests of the government.

(1) If the contractor in (e) Access to and use of information.

the performance of this contract obtains access to infon ation, such as NRC plans, policies, reports, studies, financial plans, internal data protected by the privacy Act of 1974 (pub. L.93-579), (i) orUse data which ha not been. released to the public, the contractor agrees not to:

such information for any private purpose until the information has been d released to the public; (ii) ccmpete for work for the Ccmission base l

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cn such irJ:rma tion for a ;eriod of six (5) n ntns a f ter either the ccceplet :r. of this c:ntract-ce the reisesa-of such informatien to the public, a.dchever is first, (iii) sub: nit 'an unsolicited proposal to the goverr.mant Sa sed on such informatica until one year a f ter the release of such inf:rration to the public, or_(iv) release the information withou; i prior written appecval by the centracting officer unless such inforratien has previ:vs1y been released to the public by the NRC.

(2) n addit' ion, the contractor agrees that to the extant it receives 'cr is given access to proprietary data, da ta protected by the Frivacy Act of 1974 (Pub. L.93-579), or other confidential or privileged technical, business, or financial information under this ccatrect, the contractor shall treat such information in accordance with restrictions placed en use c f the information.

(3) The contractor shall hai,a, subject to patent and security provisions of this contract, the right to use technical data it produces

' under this contract for private purposas provided that all requiremants 7 of this contract have been met.

Subcontracts. Except as provided in ?1 CFR 5 20-1.5402(h), the

( f) contractor shall include this clause, including this " paragraph, contractor," and in subcontracts of any tier. ice terms " contract,"

"c:ntracting officar,* shall be apprepriately modifiad to.praserve the gcverr. ment's rights.

(g) Ramedies. For breach of any of the abcva prescriptiens or for interest intentional nondisclosure or misrepresantation of any relavant required to be disclosed ccocarning this contract or f,or such erroneous representaticas as necessarily imply bad faith, the government may tarminate the contract for default, discualify the contractor fecm subsequent contractual efforts, and pursue other remedies as .nay be permitted by law or this contract. '

(h) Waiver. A request for waivar under this clause sha.11 be directed in writing through the contracting officer to the Esecutive Director for Operations (E00) in accordance with the procedures outlinec in i 20-1. 5411.

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is sub.#ect to the a;; ached provisions of .ypendix A, Genera Pecsii -"I, er.:itled " Cost Type F:ssearcn and Deveic; ment Con:cacts ,lith C0rc a : il ': ; m i:a tions ," da ted 11/20.

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3.12 La':or Surplus Area Subcontracting . rogram (1-1.805-3(b))

T'ie C:ntractor agrees to establish and c:nduct a pr:; rimwithin ',,hich their will (a) encouraga labar surplus area c:ncerns to c::;ete for subccntra:::

capabilities. In this connection, the C:ntractor shall--

(1) Designate a liaison officar who will (i) maintain liais:n with duly authoriced representatives of the2 hvernmant en labor tion of Concarns in Lalor sur;1.:s Surplusaraa matters, (ii) se;ervise compliance with the Utili:

Areas clause, and (iii) administer the C:ntractor's " Labor Surplus Area Sub-contracting ?rogram;"

provide adequate and timely c:nsideratien of the potentialities (2) of labor surplus area concerns in all "maka-or-buy" decisicns; Assure that labor surplus area c:ncarns will hava an equitable (3) opportunity toraccmpete. for bids, n or.subcon:racts, es, spectrications, particular.ly by arrang and m,alivery quanti

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schedules so as to facilitate the participation of labor surplus aras concerns;

." aintain records shcwing the procedures which have 522n af:;;ed subc:n:ract (4) a cords to c:mply .ith the policies set for:h in :his clause and racor:re;ardin; awards (s :a 41 CFF,1-15.504-5 use of maintained ;ursuant to this cl2use will ba kept available for raview by the ~

hvernman un:il the expiration of 1 year after the award of this c:n:ract, ce for sucn 1:n;2r period as 'may be required by any other clause of this c:ntract or by a;plicable law or regulat!cns; and Include the Utili:atica of C ncerns in Labor Surplus Areas clau:e (5) in subc:n:racts which offer substantial labor surplus area subc:ntracting opportunities, The term " labor surplus area" maans a geographical area identified (b) (1) i by the Ce;artment of Labor as an area of c:ncentrated unempicymant or und empicyman; or an area of Tsce surplus.

The term "concarn located in a labor surplus area" maans a labor (2) surplus area ccncarn.

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1 The taa " labor surplus aras c:ncern" means a c:ncarn that, labor (3) together with its first-tier subcontrac:ces, will perform substantially in sur;1us areas.

The term " perform substantially in labor surplus arass" maans N) that the cos s incurred cn ac unt of ranufacturing, pr:duc:icn, or g:;r: riate services in labcr surplus areas excaed 50 percent of the centr 3 t price.

in any subcontract hereuncer (c) The Contractor furthar agrees to insert, which ray e):eed 5500,000 and whicn c:n ains the Utili:2:i:n of C:ncarns Ze in

' labor 5;r:ius Areas clause, pr:visicns .n'ch shall ::nf r-::Iv:stan~ially r :ify Ms ':2: ' ::#'?

languace of nis clause, inclucing,tnis ::ragraph (:', an:

Of ficer of :ne nimes of such sub :ntra:::rs.

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3.13 Utili:ation of Women-Owned Cusiness Concerns (Over 2n-ownec t'.a; .

the policy of tr.e 'm;ed States Goveric an: h (a) It i:shall businesses have the maxima prac;icable opportuni y to ;ar.ici;> ate in t f erfornance of c:ntracts awarded by :ny fsderal agency.

ue his best efforts toL:.si carry :an; cutwith thisthe (b) The ~;ntractor agrees :

policy in the a,.ird of sub:entracts to the fullest extan:As used ain"by woman-the centract, a woman ef ficient per for, nance of this centact.

o;.ned business" concern means a business that is at least 511 c.ineo"Contrel" in this or ucman who also control and operate it. " Operate" in this contex t exercising the pcuer to mate policy decisions. "'l:.en" mean all means being actively involved in the day-to-day management.

woman business owners. 5500~,000 or 3.14 Woman-0,cnsd Business Concerns Subcontracting Program (Over

$ 1,000,000 for Construction of Any Public Facility)

The Contractor agrees to establish and conductt a program tors which wi (a) enable woman-cuned business concerns to be censidered fairly as subco and suppliers under this contract, (1)

Designate a liaison officar who will administer the Contractor's

" Woman-0.ined Business Concerns Program."

(2) Provide adequate and timely consideration of the (3)

Cavalep a list of qualified bidders that are woman-cunad businessesha and op. or assure unitythat Encun woran-enned to ccmpete business for subcontracts, particularly concern:by making infceration on forthcoming opportunities available, by arranging solici a tions, tima for the preparation of bids, ,_an of woman-owned business con: erns.

(4)

Maintain records showing (i) procedures which have baan adopted to c=py with the policies set forth in this clause, including the establishment of a source list of women-own i and ncn-minority women-owned business concerns; and (iii) specif c ef forts to identify and award contracts to woman-cuned business concerns.

(5) Include the " Utilization of Women-Owned Busines (6)

Cccperate in any studies and surveys of the Contractor's w; ma business concerns procedures and practices that tha C;ntracting Of ficer may from tima-to-time conduct.

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c.on::i n s wi tn res act to . .Ea j s boa t. seuch , i nt r.sesch*not:.more rr :nor:en fcr  :~ a n,.

than quar:erly) as the Con:rac:ing Of ficer may prescribe.

' sert, in any sub;:ntract her2under (b) The Ccntractor further 3;r:25 ::

uhich r.ay excaed !!;3,%0 or $1,0?0,5J in t' ? :ase of centracts for the c:nstro::f:-

of any public facility and which offers ssa;antial subc ntractin; *.b is cl osp:ssibili;ies, e, incl u di-provisions which shall conforir, substantia:b ::this paragraph (b), a subcontractors.

(c)

The contractor further egrees to r? quire written certification by its subcontractors that they are bona fide w:m.c -c.cned and controlled business concer in in the accordance Utilization Clause with the 1(b)ddfinitionabbve at the of time a wo: 2n-chned ofbusiness of submission bids or prepo con 5.8 Price Reduction for Defective Cost or Fricing Data (1-3.814-1(a))

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If any price, in:1uding profit or fee, nagotiated in c:nnectica with this c:ntract or any cost rafabursable under this c:ntract was increased by any sicn ficant sums because:

The Contractor furnished cost or pricing data which was not accurate, (a) ccmpleta and current 2s certified in th: C ntractor's Cartificate of Current Cost or Pricing Data; A subcontractor, pursuant to the clause of this contract entitled (b)

"Subc:ntract:r Cast :r Fricing Cata" or "Subc:ntractor C st or Pricing Cat:--Frice Adjustm:nts" or any sub::ntract clause therein racuired, furnished sub::ntract:r's c:st er p da:a .shich was not ac: urate, c:rple e and currant as certified in th2 Ca r:m. ..ca:e or Curren: L:s: or cricing Ca:a; or Ori::ing (c) A sub::ntract:r or pr: 3:ec:fve sub::ntractor furnished c:s: :ubmitted to data which seas requir2d to be ac: urate, c::;12te and curren; and to b2 accurate, complete and current as of the data cartified Cartificate of Curran: C:st or Fricing Cata; or (d)

The Contractor or a subc:ntractor or prospective subcontractor furnishe any data, not within (a), (b) or (c) above, which was in writing as may be necessary to reflect such reduction.

tractor when the subc:ntract was not subsecuently ) by which awa will be limited to the amount (clus apolicable overhead and profit marhuo the actual subcontract, or actual cost to the Con:ractor if there uns no subcen Sa less than the prospective subc:ncract 2 was so;cost estin3:e affec:ed svimi:ted by dafe:ti /e ::stbyorthe C:ntrac:or Fr;vided. The actual sub:pntract pri:

pricing data.

  • Since the c:ntract is subject to riduction undar this clause by

( *io te :

r23scn af defective ces; or pricino data submitted in c:nnection with cartain subc:ntracts, it is expected that ihe Centrac:Or ray wish to include a,ciau:e i in each such subc ntract r2quirina the subcontract:r to a;;ropriately incemniry It is also expecied that any subc ntrac:ce subject to sugh ,

the C:ntrac::r.

indemnificaticn will generally recuire subst:.1:ially similar incannmca ticn ::r da'ective c:s: or cricine data recuired to be submitted by his Icw tiir s;b :.n:rict,rs.)

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  • Fage 14 5.3 Trice Tedaticr. f:r hfe:tive Cest o Crichg Data - Frice Acjustents (1- 3. 214 - 1 ( b ) )

(a). This clause shall tscc:a c;irative caly with ris;sct to any :diff.:aticn of this centrec: which involves 5;;raans Nrnias and/or decrnses in c:sts ;1us applicable profits in excess of 5100,000 unless the modificatica;ri::s is pricof3 :n. the basis of adequate price competition, estas1ist,+d catalco or rarl.2:

cc=arcial itams sold in substantial cuantities to the general public, or orices set by law or regulation.. The right to ; rice reducticn undar this clause is limited to defects in data relating to such c:dificati:n.

(b) If s.ny price, including profit, ce f as, negotiated in connectica with any price adjustment undar this c:ntract has increased by any significant sums because:

(1) The Contractor furnished cost or pricina data which was not accurate, complete and currant as csrtified in the C:ntractor's Certificate of ,

Current Cost or Fricing .Cata; (2)

A subcontractor, pursuant to the clause of this centract intitled

" Subcontractor Cost or Fricing Data" or " Subcontractor Cost or Pricing Dat:--Frice

  • djustments" or any subcontract clause therein required, furnished cost or pricina data which was not accurate, ccmplete and current as cartified in the subc:ntractor's Carti'ffcate of Current Cost or Fricing Cata; (3) A subcentractor or prospectivs sube:ntractor furnished cost or pricing data which was recuired to be accura e, c:mpleta and which was not accurate, c:molete and current as of the date cartified in the C n-tractor's Cartificate of Currant C:st or Tri:ing Cata; or (4) The C:ntractor or a subcont'ractor or prospective subcon:ractor .

furnished any data, not within (1), (2) or Mcwever, (3)'ab:ve, which was n any reduction in writing as may ha necessary to reflect such reduction.

in the centract price due to defective sub::ntract data of a prospective subc:n-l

! will be limitad to the amount (plus apolicable cvarhead and pro l ahich the actual subcontract, or actual cost to the C:ntractor if there was no subcontract, was less than the prospective subcentract cost estimate submitted by the Contractor. Provided the actual sub::ntract price was not affected by l

dafective cost or pricing data.

l Since the centract is subject to reduction undar this clause by rusen (2te:

l of defective cost or cricina data subaitted in connection with certain sub::ntrac s, it is expected th'at the Contractsr may wish to include a clause in nch such rub::ntract requirine the subcontractor to appr:priate C;ntractor.

c3ti:n will cinerally require substantially similar indsmnification for defective cost or pricing data required to be submitted by his icwer tier subcontentors.)

- (c) Tailure to aarse en a reducticn shall be a discute c:ncerninc a c of fact within the meaning of the " Disputes" clause of th'is contract.

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Page 15

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l re:uire subcontr3: tors hereunder to s W it, '

l (a) ~ha C:ntrac::r skal a:tu:lly ce by s;2cific identificatien in writing, cost or pricir.c w.a a,dar t. e

  • e j
01 *i ch , ng . c , reums t a nc e s :

Frior to t's award of any.suocan:ract the anount of ..hi:h is l (1 ) : then entered into; expected to exceed-5100,0;0 (2)

Prio_c to the pricing of any subcco:ract modificaticn shich involve

~

ascragate increases uhare and/cr the ; rice decrasses is based cnin costs plus adequate applicable :rofit price c::;etition, exceed 5100,000; excep:

established catalog or' nnat prices of co=arcial items sold in substantial .

cuantities to the genaral public, or' prices set by law or ragulation.

the(b)same form as that used in the cartificate by th hvernmant, that to the. bast of their knowledge and belief, the cost and p da:a submitted under (a) ab:ve is accurate, c::ple c:dification. '

(c)

The Contractor shall insert the substance5100,000 of thiswhan clause entered including th paragraph (c) in each sui::ntract heraunder which axceedsi established catalog or market pricas of co=ercial itams sold in subs:antia In each such .

cuantities to the ganeral ;ublic, ce prices 5100,000, set by lawthe or Contractor regulation.shall insert ex;ected subcontract harsundar in excess of tha substance of the folicwing clause:

SUECONTFJCTCR C057 CP, FRIC*NG CATA-

? RICE A03USTMiliT5 (a)

Paragraphs (b) and (c) of this clause snail beccce f thisopera c:ntract .ive cn res;ect to any modification made pursuant to one ort core provisiens olus applic thich involves aggregata increases The and/orrequirimants decreases of this in cos clause s p shall be limited

=x.: ected to excsed $100,000.

i to such contract modificaticas.

1 I

The Contract:r shall require subcontractors heraunder to submit, d the

'- (b) actually or by specific identificatien in writing, cost or pricing data un er

  • follcwing circumstances: ,

(1) prior to award of any subcontract, the amount of which is exp to excaed $100,000 when en:ared into; (2)

Frice to the pricing of any subcon:n ct n:dific3ticn ex;ec}ed which to involve aggregate increases and/cr decrassas in c:::s plus a;plicable profi::

except Shere the price is based on adequate prica cce?e:1:1cn, excaed 5100,000; established catalog or carket ; rices of c:=arcial itams sold in substantia quantities to the general public, or prices set by law or regulation.

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(c)

The._ Contr.2ctor shall require subcontrac:,rs to car-ify, in subs:ar:f a I

-na sama form as that used in the cartifica:e by t'.s Frirs C:ntract:r and prf:fc;to ths hvaramant, that tc tha :::t :f their kn:wied;s and helief the cos  !

data submitted under (b) ab:ve is accurate, cc:;Iate, and currant as of the .: .2 of agres:snt on .tne negotiaad prica of the subc:ntract or subcontract cha .,

dificaticn.

The Contrac::e shall insert the substance of this5100,000 clausewhen including (d) this para;raph (d) in each subcontract hsraundar which excaeds entered in'a. ... --

5;11 Cost Accounting Standards--I,'ondefense Contract (1-3.1204-2(a))

(a) Unless the Administrator of Gansral Servicas has prescribed rules cesta regulaticns exempting the Contractor or this c:ntract frc regulations promulgatsd by the C:st Acc:unting St.andards Board, the Centrac in connection with this contract, shall:

f~olicw c:nsistantly tha c:st accounting practices established or disclosed(1)as required by regulaticas of the C:st Acc:unting Standards If Board an administered under tha Administratica of Cost Accounting Standards clause.

any change in disclosed practices is made for purposas of any c:ntract or subcontract subject to those discicsura requireman s, the changa must b2 ap in a censistant manner to this c:ntract. is ith all cost ac::vnting standards which the C:ntract:r or (2) Ccmply required to c: ply wi .n by raisen of c:n:urrent parformanca of any c:ntrac:

sub::ntract subject to the Cost Ac::un:ing Standards *cc:un:ing 5tandards ciause (4clause. CFR 331) The and administered under the Administra:icn of C:s:

l C ntractor also shall c:: ply with any cost ac:cunting standard which hereaf:erS  !

l l becomes applicable to such a contract or subcontract.

required prospectively fr:m the date of applicabili:y to such contract par- or subcontract. Complianca shall c:ntinue until the Ccatractor cc plete:

formance of work under this c:ntract.

clause of this contract, (3) Agree to an equitable adjustmant (as provided in the C which, pursuant to (2) above, the Contractor is required to make to his estab-lished cost accounting practices whethar such practices are covered by a Dis-cle:ura Statsment or not.

(4) llegotiate with tha C:n:racting Officar toaccounting determine practhefc2ter-s ar.d c:nditions under which a chance to either a disclcsed cos:other than a change under (a)(3) or an established cost acc:unting practice,A change to a practice may be propo:ed by at:ye or (a)(5) balcw, may be made.

either the Government or the Centractor, Frovided, h:..ever, That no agreemant may be made under this prcvision that will increase costs paid by the Unite Statas.

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(5) Agese- to 'an adjustrant of the c:ntract price or ces as tr:r::ria:e, if it or a s'<:,::n: rector fails. to c:r;1y with the 3;oli:2:le C:s: A:::.n:ino Standards cr :s follcw any ;rac.i:2 c scics&d or es:2bli:ha:

=
.23: *i sd; ara;raph la)(Il Or (a)(?) 2hve.a-d :.:h f2iiure risuit: " Iry increasd c:sts paid by the Unit 3d States. Such adjustcent shall provide for r&cc,ac., vi .no increased c:3:2 :o tha Unitad Statis i:;athar with inti;13:

' thera:n :' :u:ed at the rate ca arninad by the Secretary of the Treasury ;ur-suan: :: 2;b. L. 92-41 (50 U.S.C. App. 1215(b)(2)), cc 7 parcant ;er annum, whichi.ie is less, frca time the ;ayrant by the United States tas cade to the tim: tha idfust.. ant is effected. . . - .. , . . . _ ,

(5) llacotiate an equitable adjustcant (as providad in the Changes cleuse of this co5 tract, if any) when the parties agree to a change to eithar a disclesid cost accounting practice or an established cost accounting practice.

' (b)

Tne Contractor shali perait any authorized representatives of the hand of the acancy, of the Cost Accounting Standards hard, or of the Comptroller Ganaral cf the United States to examine and cake c:pias of any documents, papar-s, or rec:rds relating to c::;1iance with tha r2;uirerants of this clause ancil the expiration of 3 years after final paymant under this centract or suca lesser. time spacified in the Fedaral Procuracant Raculaticas (FPR) part 1-20.

(c)

Unless a subcontrac: or Subc:ntractor is exam?t undar rules or regu-laticns :rescribed by the administrator of Ganar31 Services, the C:ntractor:

(1)~ shal'1 include the substance of this clause including this paragraph (c) in

, all necotiated subcontracts undar this c:ntract with subc:ntractors that are curranti~v ;3rformino a naticnal defanse c:ntract ce subc:ntract

~

to accap:

the clause in appli:a: e national dafanse aards, and (2) shall include the substance of the C nsistincy of C:s: Acc:unting Fractices -fyn-1 .

defsnse 2n rac: clause sat f:r:n in i The C:ntrac.:e subc ntracts under this c:ntract witn all othar subc;ntrac; ors.

may alect to use tha subs ance of the solicitati:n notice set forth in i l-3.1202-Z(b) of the FPR in his da:arminaticn of applicability cost accounting standards to subcentracts. .

(d) The tarms dafined in i 231.20 of Fart 331 of i'itle 4, Coda of Fedaral

?egulaticas, shall have the sare meaning herein. As there defined, "negotia ted subcontract" maans "any subcontrict except a firm fixed-price subcontract cad.e by a contractor or. subcontractor after receiving offers from at least two firms not associated with each other or such c:ntractor or subcentractor, providing I

(1) the solicitation to all com;eting firms is identical, (2) price is the caly c:nsideraticn in selecting the subc:ntractor frca among the competing firms solicitied, and (3) the 1ctiest effer re:sived in c::pliance with the solicitati n fr:m 1::ng those solicited is ac:ap;ed.' .

(e) T,e administration of this clause by the Governmant shall be accc -

plishad in c:njunction with the administratica of the Contractor's national cafinse contracts and subcontracts subject to rules and raculations of the Cost Acc unting Standards Soard, pursuant to the Ad..inistr'atica'of Cost 'ccounting Standards clause. For the purp:ses of the Ac2inistraticn of Cost Accounting l

i l Standards clause c:ntained in this c:ntract, referencas to the Cost Accounting Standards clause shall be daemed to include this Cost Acc:unting Standards--

I

.bndaiense C;ntract clause and rafarar.ce to the Disciosure and Consistency of Cost Ac::;n:ing Fractices clause shall be daared to include the Consistancy of

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quired to cc: ply (1)

For any changa in c:st acc:unting practicas ) and with a r.aw ccst accounting s:2niar'requiring in acc:rdancesuch with ;t da:e as ray be mutually agrzed to) aftar award of a contrac: I chance; -

For any change to c:st accounting practices prc; sedd in accord-(2) anca with paragraphs (a)(4)(3), (a)(3)(C) of the Cost Acc:unting Standar f s clause cr with paragraph (a)(3) or (a)(5) of the Disclcsure and C:nsistency o C:st ;:c:unting Fracticas clause not less than 50 days (cr such othar date as ray ha mutually agraed to) prior to the effective date of the Frc;csed change; or '

For any failure to c:rply with an applicablebyC0st paragel;hAcc:unting(5)

(a)

(3) ,

i l 5: 2nf 2-d or to follow a discicsed ;ractice as conta. ;1atad e of :53 Cost Accounting Standards chuse or with paragraph 50 days (or(a)(4) such of the D sc osur 2nd : sistancy of Cast Ac::unting Fracticas clause within 3nt of such othar :3:e as may ba cutually agesed to) after the data of 29rza:

n:nc: aliance by the C:n:ractor.

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.:; ally agr3ed to) af:3r2d the; rsuant da:e oftodatar:ina (a) (1), (2), f cn or (3),of the sf a tacy and ab:ve.

c:-;1:ance of a changa submit:

Ents to reflect

(:) A;ree to appropriate c:ntract and subcentract arand: ) of the adjust:2n:s established in accordan;e . ith paragraphs (2)(4)(and (a)(32)(4), cr (a Case Acc:unting Standards clause or with paragraphs (2)(3),the D i Standards

'.! hen the subcontract is subject to either the C:st Ac: cunt ng chuse (d) or the Disclosure and C:nsis ancy of Cost Ac cunting Self- Fractice clause so s:::e in the body of the subcontract and/or in the letter of a'..ard.

dele:ing clauses shall not be used.

(3) Include the substance  :,. . . . , . .. , e. .: ....a 3 of 2 : pthis g clause

c. . ,. m e ., v r' ' . "in

. =.all. D i nacotiated

c. c i c .e " ra. and subc:n:racts

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2. In (d:ition, includa ahin ;rc-30 C.nais ancy of Cos: Acc unting ?ra::icas ch::visica in these subcontracts days subr.it th2 aftir receipt of at.ard (or such othar date as may be of the s .;c:ntractor's f acility.

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Cansistancy of Cost .*cc:untir; Tr3cticas c'$ usa .niiss se:resui:s in :2;.ing a 150 'c2 reported.

b22n rtported. If suard of the subcontrsc:

standard (s) effective for tha first tire, this sbli 2 d ds For nagotiated subc:ntracts c ntaining th2 C:st *cc:unting S signed Cartificata clause, (f) r:-quira the subcontractor to co.rply with a '

data of final agrae.. int :n prica as shownihen2rthe is earlier.

subc:ntr*ctar s of Current C:st or pricing Cata or data of n.ard, .m c av t is requir2d to b3.c.3d2. atodja.ny

. . us tran subcontract t and e.reunder, (g) In the. evne ..

notiry t.ent anOr.

Contracting adjus.t:2n r ic .. ar in 'nri ting or suc.1ticated co igree to 2n adfustaant in the price or est establishad urd2r the subccntract. os;d sub-2s appro;riate, based up;n tha adjustran h higher Such notica shall be given within 30 days after racaipt of th e c:ntract adjustrant,tiar subc:ntract er prima c:ntract as appr:priate.

2 or the Di{:ksure and

'T.en eithar the C:s: Acccunting 5tandardsi clau: iau3e are in:Tuird in (h)

n5is:an:y of C: 5t Acc:' n .

nting ?-actices c12use and ch s cOfficir" snail be suitab

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Ccst .'cenunting Slindard Withdrawal 5.13 t of the cost of Cast 'ccounting Stanhrd 414.-Cost of canay as an eierenlicuabia facilitics c2 pita 1--sha11 not be reimbursed as an a ccntract. .

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