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DLAD PART 16 – TYPES OF CONTRACTS



PART 16 – TYPES OF CONTRACTS

TABLE OF CONTENTS

SUBPART 16.1 – SELECTING CONTRACT TYPES

16.105 Solicitation provision.

16.105-91 Alternate Offer Conditional Award.

16.190 Long-term contracting.

SUBPART 16.2 – FIXED PRICE CONTRACTS

16.203 Fixed-price contracts with economic price adjustment.

16.203 Definitions.

16.203-1 Description.

16.203-2 Application.

16.203-3 Limitations.

16.203-4 Contract clauses.

16.205-4 Contract clauses

SUBPART 16.5 – INDEFINITE-DELIVERY CONTRACTS

16.501-2 General.

16.503 Requirements contracts.

16.504 Indefinite-quantity contracts.

16.505 Ordering.

16.506 Solicitation provisions and contract clauses.

SUBPART 16.6 – TIME-AND-MATERIALS, LABOR-HOUR, AND LETTER CONTRACTS

16.601 Time and materials contracts.

16.603 Letter contracts.

16.603-3 Limitations.

16.603-90 Procedures.

SUBPART 16.7 – AGREEMENTS

16.703 Basic ordering agreements.

SUBPART 16.1 – SELECTING CONTRACT TYPES

(Revised July 6, 2012 through PROCLTR 2012-34)

16.105-90 Solicitation provisions.

16.190 Long-term contracting.

(a) Scope of section. This section and PGI 16.190 prescribe policy and procedures applicable to the Defense supply centers for establishing and processing long-term contracts (LTC) at all dollar values for supplies and services in support of DLA customers for all primary level field activities. Additional LTC policy is contained elsewhere in the DLAD (see parts 4, 7, 9-11, 13, 15 -17, 46, and 47).

SUBPART 16.2 – FIXED PRICE CONTRACTS

(Revised December 13, 2012 through FARS DEV 13-07)

16.203 Fixed-price contracts with economic price adjustment.

16.203-90 Definitions.

As used in this section---

“Established catalog price” means prices (including discounted prices) recorded in a catalog, price list, schedule, or other record that (a) are regularly maintained by the manufacturer or vendor; and (b) are published or otherwise available for customer inspection.

“Established market price” means a price that is established in the course of ordinary and usual trade between buyers and sellers free to bargain and that can be substantiated by data from sources independent of the offeror.

“Existing EPA clause” means a clause prescribed in FAR 16.203-4 or DFARS 216.203-4-70, or this subpart that has been reviewed and approved in accordance with agency procedures in 1.301-91.

16.203-1-90 Description.

16.203-2-90 Application.

16.203-3-90 Limitations.

16.203-4 Contract clauses – EPA and adjustments or indexes.

16.203-4(a)(2)(90) EPA – Established catalog price. two upward adjustments per year open season E-CAT solicitation.

16.203-4(a)(2)(91) EPA, FSS prices, open season E-CAT solicitation, medical FAR Part 12 solicitations and contracts.

16.203-4(a)(2)(92) Economic Price Adjustment – Federal Supply Schedule Prices, in medical FAR Part 12 solicitations and contracts.

16.203-4(a)(2)(93) Medical FAR Part 12 solicitations and contracts.

16.203-4(a)(2)(94) EPA, other federal agency contracts, E-CAT, medical far part 12 solicitations and contracts for the dental, optical, and laboratory integrated delivery system ECAT/CVC program.

16.203-4(a)(2)(95) EPA, other federal agency contracts, E-CAT, in medical FAR Part 12 solicitations and contracts.

16.203-4(a)(2)(96) EPA, established catalog price one upward adjustment per option year e-cat solicitation, in medical FAR Part 12 solicitations and contracts for the dental, optical, and laboratory integrated delivery system ECAT/CVC program.

16.203-4(a)(2)(97) EPA, established catalog price, multiple adjustments authorized per clause terms – E-CAT solicitation, in medical FAR Part 12 solicitations and contracts.

16.203-4(a)(2)(98) EPA, published market price, domestic bulk in domestic bulk fuel.

16.203-4(a)(2)(99) EPA, published market price, electricity, heat rate.

16.203-4(a)(2)(100) EPA, market price, posts, camps, and stations, Korea, Guam, Japan.

16.203-4(a)(2)(101) EPA, petroleum product price, post camp and station.

16.203-4(a)(2)(102) EPA, petroleum product market price, post camp and station Belgium.

16.203-4(a)(2)(103) EPA, daily market price indicators, ships’ bunkers.

16.203-4(a)(2)(104) EPA, market price and actual transportation cost, natural gas.

16.203-4(a)(2)(105) EPA, market price indicators, ships' bunkers, weekly.

16.203-4(b) Adjustments based on established prices--semistandard supplies.

16.203-4(c) Adjustments based on actual cost of labor or material.

16.203-4(d)(2) Clauses – consumer price index and economic price adjustment.

16.203-4(d)(2)(90) Medical FAR Part 12 solicitations and contracts under the DoD/VA shared procurement program.

16.203-4(d)(2)(91) Medical solicitations for readiness items.

16.203-4(d)(2)(92) Medical solicitations for readiness items.

16.203-4(d)(2)(93) Economic Price Adjustment when offeror does not agree to 52.216-9052.

16.203-4(d)(2)(94) Medical FAR Part 12 solicitations and contracts.

16.203-4(d)(2)(95) EPA – actual material costs for subsistence delivered price business model.

16.203-4(d)(2)(96) EPA – actual material costs for subsistence product price business model.

16.203-4-90 Additional clauses --- requirements of FAR 16.203-2 and DLAD 16.203.

These clauses can be used only when the requirements of FAR 16.203-2 and DLAD 16.203 are met and the determination required by FAR 16.203-3 is made, and the contracting officer determines that none of the standard FAR EPA clauses are appropriate for use in the acquisition.

16.205-4 Contract clauses.

Contracting officers may use clause 52.216-9038, Price Redetermination- Prospective (DEVIATION - PERMANENT), in contracts, including those subject to FAR Part 12, that meet the criteria in FAR 16.205 for fixed price prospective price redetermination, are determined not suitable for economic price adjustment, and have pricing based on the date supplies are ordered rather than on date of delivery.

Reference FARS DEV 13-07.

SUBPART 16.5 – INDEFINITE-DELIVERY CONTRACTS

(Revised September 26, 2012 through PROCLTR 2012-52)

16.501-2 General.

16.503 Requirements contracts.

16.504 Indefinite-quantity contracts.

16.504-90 Solicitations resulting in Indefinite Delivery Contracts (IDCs).

The clause at 52.216-9027, Evaluation of Quantity Sensitive and Indefinite Delivery Contracts (IDCs), shall be used in solicitations which will result in IDCs when it is anticipated that the contractor will offer a price break for high quantity delivery orders. Coordinate with the demand planner manager for establishment of the quantity most likely to be procured for each delivery order. The highest weight should then be assigned to this quantity. The standard form (SF) 36 shall be manually typed in the buying section to show the range of order quantities and to reflect the evaluation weight which will be placed upon the specific quantity range. The buyer shall also provide the contractor with an estimate of the annual requirements.

16.505 Ordering.

16.506 Solicitation provisions and contract clauses.

16.506(f)(90) Single or multiple awards.

Use 52.216-9017, Single or Multiple Awards, on solicitations and contracts for single or multiple awards of indefinite quantity contracts when the Government reserves the right to award multiple task/delivery order contracts for the same or similar services or supplies to two or more sources under this solicitation. One or more awards may be conditioned on the approval of an alternate offer. Use with FAR clause 52.216-27.

16.506(90). Additions or deletions.

The clause at 52.216-9006 may be used in solicitations when a mechanism is needed for making additions or deletions to items covered by the contract, e.g. corporate contracts, long term contracts (LTCs) incorporating a manufacturer’s price list, comprehensive weapon system spare parts support or a specific range of items.

16.506(91) Contract and/or delivery order limitations.

16.506-92(a) Evaluation of Offers for Indefinite Delivery Type Solicitations.

The contracting officer may use the provision at 52.216-9013, Evaluation of Offers for Indefinite Delivery Type Solicitations, to indicate to offerors how prices for quantity increments will be evaluated in solicitations for indefinite delivery contracts. If (c)(5) is selected, use when transportation costs will be evaluated and do not use FAR 52.247-50, No Evaluation of Transportation Costs. Use alternate I when not using the specified weights, but rather assigning the greatest weight to the quantity increment most likely to be procured for each delivery order.

16.506-93 Area requirements.

16.506-94 Construction and equipment solicitations for IDCs/IQCs.

Insert the provision at 52.216-9019, Area Requirements – East and West of Mississippi, in construction and equipment solicitations for IDCs/IQCs specifying f.o.b. destination only, covering items of supply or national stock numbers (NSNs) which are divided into requirements for delivery east and west of the Mississippi River, within the continental United States, excluding Alaska, and the procurement is not partially set aside. The clause requires the use of odd numbered items (i.e., 0001, 0003, 0005, etc.) for requirements scheduled for delivery east of the Mississippi River and even numbered items (i.e., 0002, 0004, 0006, etc.) for requirements scheduled for delivery west of the Mississippi River.

16.506-95 Medical prime vendor requirements.

Use a clause substantially the same as 52.216-9020, Prime Vendor Requirements, in medical pharmaceutical prime vendor solicitations and contracts when an indefinite delivery modified requirements contract is contemplated. 52.216-9020 is to be used only for acquisitions in the medical supply chain.

16.506(96) Invoices for delivery orders against federal supply schedules.

Use 52.216-9025, Invoices for Delivery Orders, in delivery orders against federal supply schedules assigned to DLA Aviation for administration.

16.506(96)(b) Pricing of delivery orders with quantity increments.

Use 52.216-9026, Pricing of Delivery Orders with Quantity Increments, in solicitations and awards for long term contracts which provide for shipment to more than one location and include quantity range pricing. Use when transportation costs will be relatively small compared to the cost of the item or when the contract price will be f.o.b. origin.

16.506-97 Restitution.

SUBPART 16.6 – TIME AND MATERIALS, LABOR-HOUR, AND LETTER CONTRACTS

(Revised December 3 2012, through PROCLTR 2013-13)

16.601 Time and materials contracts.

16.601-90 Monitoring and reporting.

16.603 Letter contracts.

16.603-3 Limitations.

16.603-90 Policy.

The policy and procedures of DFARS 217.74 and PGI 217.74 are applicable to letter contracts. See also DLAD 17.7403-90.

SUBPART 16.7 – AGREEMENTS

16.703-90 Basic ordering agreements.

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