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<dita xmlns:ditaarch="http://dita.oasis-open.org/architecture/2005/"
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   <concept id="i1874373"
            audience="GSAR"
            ditaarch:DITAArchVersion="1.2"
            class="- topic/topic concept/concept ">
      <title xtrc="GSAR" class="- topic/title ">
         <ph props="autonumber" class="- topic/ph ">552.246-70</ph> Source
Inspection by Quality Approved Manufacturer.</title>
      <conbody class="- topic/body  concept/conbody ">
         <p audience="GSAR" class="- topic/p ">As prescribed in <xref outputclass="fm:ParaNumOnly"
                  href="GSAM-IUPJRDBI.dita#IUPJRDBI"
                  class="- topic/xref ">546.302-70</xref>,
insert the following clause:</p>
         <p audience="GSAR" outputclass="Ctr_SmCaps" class="- topic/p ">Source Inspection
by Quality Approved Manufacturer (July 2009)</p>
         <ol id="d888e21" class="- topic/ol ">
            <li props="Runin" audience="GSAR" class="- topic/li ">
               <p id="d880e26" audience="GSAR" class="- topic/p ">
                  <ph props="autonumber" class="- topic/ph ">(a)</ph>
                  
                  
                     <i class="+ topic/ph hi-d/i ">Inspection
system and inspection facilities</i>.</p>
               <ol id="d888e34" class="- topic/ol ">
                  <li audience="GSAR" class="- topic/li ">
                     <p id="d880e39" audience="GSAR" class="- topic/p ">
                        <ph props="autonumber" class="- topic/ph ">(1)</ph>
                        
                        
                         The inspection system maintained
by the Contractor under the Inspection of Supplies—Fixed Price clause
(FAR 52.246-2) of this contract shall be maintained throughout the
contract period. Unless otherwise authorized in writing by the Contracting
Officer, the Contractor shall comply with all requirements of editions
in effect on the date of the solicitation of either Federal Standard
368 or the International Organization for Standardization (ISO)
Standard 9001:2000 (Quality Management Systems—Requirements). A
documented description of the inspection system shall be made available
to the Government before contract award. At the sole discretion
of the Contracting Officer, he/she may authorize in writing exceptions
to the quality assurance standards identified above. The Contractor
shall immediately notify the Administrative Contracting Officer
(ACO) of any changes made in the inspection system during the contract
period. As used herein, the term “inspection system” means the Contractor’s
own facility or any other facility acceptable to the Government
that will be used to perform inspections or tests of materials and
components before incorporation into end articles and for inspection
of such end articles before shipment. When the manufacturing plant
is located outside of the United States, the Contractor shall arrange
delivery of the items from a plant or warehouse located in the United
States (including Puerto Rico and the U.S. Virgin Islands) equipped
to perform all inspections and tests required by the contract or
specifications to evidence conformance therewith, or shall arrange
with a testing laboratory or other facility in the United States,
acceptable to the Government, to perform the required inspections
and tests.</p>
                  </li>
                  <li audience="GSAR" class="- topic/li ">
                     <p id="d880e48" audience="GSAR" class="- topic/p ">
                        <ph props="autonumber" class="- topic/ph ">(2)</ph>
                        
                        
                          In addition to the requirements
in Federal Standard 368, ISO 9001:2000 or as otherwise approved
by the Government, records shall include the date inspection and
testing were performed. These records shall be available for (i) 3
years after final payment; or (ii) 4 years from the end of the Contractor’s
fiscal year in which the record was created, whichever period expires
first.</p>
                  </li>
                  <li audience="GSAR" class="- topic/li ">
                     <p id="d880e57" audience="GSAR" class="- topic/p ">
                        <ph props="autonumber" class="- topic/ph ">(3)</ph>
                        
                        
                          Offerors are required
to specify, in the space provided elsewhere in this solicitation,
the name and address of each manufacturing plant or other facility
where supplies will be available for inspection, indicating the
item number(s) to which each applies.</p>
                  </li>
                  <li id="i1874385" audience="GSAR" class="- topic/li ">
                     <p id="d880e66" audience="GSAR" class="- topic/p ">
                        <ph props="autonumber" class="- topic/ph ">(4)</ph>
                        
                        
                          The
Contractor shall provide the Administrative Contracting Officer
ACO with the name(s) of the individual and an alternate responsible
for the inspection system. In the event that the designated individual(s)
becomes unavailable to oversee the inspection system, the Contractor,
within 10 calendar days of such event, shall provide the ACO with the
names of the replacement individual(s).</p>
                  </li>
               </ol>
            </li>
            <li audience="GSAR" class="- topic/li ">
               <p id="d880e77" audience="GSAR" class="- topic/p ">
                  <ph props="autonumber" class="- topic/ph ">(b)</ph>
                  
                  
                     <i class="+ topic/ph hi-d/i ">Inspection by the
Contractor</i>.The Contractor is required to demonstrate that the
supplies in the shipment have been subject to and have passed all
inspections and tests required by the contract and meet the requirements
of the contract.</p>
            </li>
            <li props="Runin" audience="GSAR" class="- topic/li ">
               <p id="d880e95" audience="GSAR" class="- topic/p ">
                  <ph props="autonumber" class="- topic/ph ">(c)</ph>
                  
                  
                     <i class="+ topic/ph hi-d/i ">Inspection
by Government personnel</i>.</p>
               <ol id="d888e103" class="- topic/ol ">
                  <li audience="GSAR" class="- topic/li ">
                     <p id="d880e108" audience="GSAR" class="- topic/p ">
                        <ph props="autonumber" class="- topic/ph ">(1)</ph>
                        
                        
                          Although the Government
will normally rely upon the Contractor’s representation as to the
quality of supplies shipped, it reserves the right under the Inspection
of Supplies—Fixed Price clause to inspect and test all supplies
called for by this contract, before acceptance, at all times and
places, including the point of manufacture. When the Government
notifies the Contractor of its intent to inspect supplies before
shipment, the Contractor shall notify or arrange for subcontractors
to notify the designated GSA quality assurance office 7 workdays
before the date when supplies will be ready for inspection. Shipment
shall not be made until inspection by the Government is completed
and shipment is authorized by the Government.</p>
                  </li>
                  <li audience="GSAR" class="- topic/li ">
                     <p id="d880e117" audience="GSAR" class="- topic/p ">
                        <ph props="autonumber" class="- topic/ph ">(2)</ph>
                        
                        
                          The offeror shall indicate,
in the spaces provided below, the location(s) at which the supplies
will be inspected or made available for inspection.</p>
                     <p id="d880e123"
                        audience="GSAR"
                        outputclass="Ctr"
                        class="- topic/p ">INSPECTION
POINT</p>
                     <table frame="none" colsep="0" rowsep="0" class="- topic/table ">
                        <tgroup cols="4"
                                colsep="0"
                                rowsep="0"
                                outputclass="Notitle_norule"
                                class="- topic/tgroup ">
                           <colspec colnum="1"
                                    colname="1"
                                    colwidth="25*"
                                    colsep="0"
                                    class="- topic/colspec "/>
                           <colspec colnum="2"
                                    colname="2"
                                    colwidth="25*"
                                    colsep="0"
                                    class="- topic/colspec "/>
                           <colspec colnum="3"
                                    colname="3"
                                    colwidth="25*"
                                    colsep="0"
                                    class="- topic/colspec "/>
                           <colspec colnum="4"
                                    colname="4"
                                    colwidth="25*"
                                    colsep="0"
                                    class="- topic/colspec "/>
                           <thead class="- topic/thead ">
                              <row rowsep="0" class="- topic/row ">
                                 <entry colname="1" class="- topic/entry ">
                                    <p audience="GSAR" outputclass="CBottom" class="- topic/p ">ITEM
NO(S)</p>
                                 </entry>
                                 <entry colname="2" class="- topic/entry ">
                                    <p audience="GSAR" outputclass="CBottom" class="- topic/p ">NAME
OF MANUFACTURER</p>
                                 </entry>
                                 <entry colname="3" class="- topic/entry ">
                                    <p audience="GSAR" outputclass="CBottom" class="- topic/p ">NAME,
ADDRESS (Including County), and</p>
                                 </entry>
                                 <entry colname="4" class="- topic/entry ">
                                    <p audience="GSAR" outputclass="CBottom" class="- topic/p ">TELEPHONE
NUMBER</p>
                                 </entry>
                              </row>
                           </thead>
                           <tbody class="- topic/tbody ">
                              <row rowsep="0" class="- topic/row ">
                                 <entry colname="1" class="- topic/entry ">
                                    <p audience="GSAR" class="- topic/p ">
                                       <cite outputclass="SingleLine" xtrc="552.246-70_d966e170">____________</cite>
                                    </p>
                                 </entry>
                                 <entry colname="2" class="- topic/entry ">
                                    <p audience="GSAR" class="- topic/p ">
                                       <cite outputclass="SingleLine" xtrc="552.246-70_d966e179">____________</cite>
                                    </p>
                                 </entry>
                                 <entry colname="3" class="- topic/entry ">
                                    <p audience="GSAR" class="- topic/p ">
                                       <cite outputclass="SingleLine" xtrc="552.246-70_d966e188">____________</cite>
                                    </p>
                                 </entry>
                                 <entry colname="4" class="- topic/entry ">
                                    <p audience="GSAR" class="- topic/p ">
                                       <cite outputclass="SingleLine" xtrc="552.246-70_d966e197">____________</cite>
                                    </p>
                                 </entry>
                              </row>
                              <row rowsep="0" class="- topic/row ">
                                 <entry colname="1" class="- topic/entry ">
                                    <p audience="GSAR" class="- topic/p ">
                                       <cite outputclass="SingleLine" xtrc="552.246-70_d966e209">____________</cite>
                                    </p>
                                 </entry>
                                 <entry colname="2" class="- topic/entry ">
                                    <p audience="GSAR" class="- topic/p ">
                                       <cite outputclass="SingleLine" xtrc="552.246-70_d966e218">____________</cite>
                                    </p>
                                 </entry>
                                 <entry colname="3" class="- topic/entry ">
                                    <p audience="GSAR" class="- topic/p ">
                                       <cite outputclass="SingleLine" xtrc="552.246-70_d966e227">____________</cite>
                                    </p>
                                 </entry>
                                 <entry colname="4" class="- topic/entry ">
                                    <p audience="GSAR" class="- topic/p ">
                                       <cite outputclass="SingleLine" xtrc="552.246-70_d966e236">____________</cite>
                                    </p>
                                 </entry>
                              </row>
                              <row rowsep="0" class="- topic/row ">
                                 <entry colname="1" class="- topic/entry ">
                                    <p audience="GSAR" class="- topic/p ">
                                       <cite outputclass="SingleLine" xtrc="552.246-70_d966e248">____________</cite>
                                    </p>
                                 </entry>
                                 <entry colname="2" class="- topic/entry ">
                                    <p audience="GSAR" class="- topic/p ">
                                       <cite outputclass="SingleLine" xtrc="552.246-70_d966e257">____________</cite>
                                    </p>
                                 </entry>
                                 <entry colname="3" class="- topic/entry ">
                                    <p audience="GSAR" class="- topic/p ">
                                       <cite outputclass="SingleLine" xtrc="552.246-70_d966e266">____________</cite>
                                    </p>
                                 </entry>
                                 <entry colname="4" class="- topic/entry ">
                                    <p audience="GSAR" class="- topic/p ">
                                       <cite outputclass="SingleLine" xtrc="552.246-70_d966e275">____________</cite>
                                    </p>
                                 </entry>
                              </row>
                           </tbody>
                        </tgroup>
                     </table>
                     <note type="note" class="- topic/note ">
                        <p audience="GSAR" class="- topic/p ">
                           <i class="+ topic/ph hi-d/i ">NOTE:
If additional space is needed, the offeror may furnish the requested
information by an attachment to the offer.</i>
                        </p>
                     </note>
                  </li>
                  <li audience="GSAR" class="- topic/li ">
                     <p id="d880e267" audience="GSAR" class="- topic/p ">
                        <ph props="autonumber" class="- topic/ph ">(3)</ph>
                        
                        
                          During the contract
period, a Government representative may periodically select samples
of supplies produced under this contract for Government verification,
inspection, and testing. Samples selected for testing will be disposed of
as follows: Samples from an accepted lot, not damaged in the testing
process, will be returned promptly to the Contractor after completion
of tests. Samples damaged in the testing process will be disposed
of as requested by the Contractor. Samples from a rejected lot will
be returned to the Contractor or disposed of in a time and manner
agreeable to both the Contractor and the Government.</p>
                  </li>
               </ol>
            </li>
            <li props="Runin" audience="GSAR" class="- topic/li ">
               <p id="d880e278" audience="GSAR" class="- topic/p ">
                  <ph props="autonumber" class="- topic/ph ">(d)</ph>
                  
                  
                     <i class="+ topic/ph hi-d/i ">Quality
deficiencies</i>.</p>
               <ol id="d888e286" class="- topic/ol ">
                  <li audience="GSAR" class="- topic/li ">
                     <p id="d880e291" audience="GSAR" class="- topic/p ">
                        <ph props="autonumber" class="- topic/ph ">(1)</ph>
                        
                        
                          Notwithstanding
any other clause of this contract concerning the conclusiveness
of acceptance by the Government, any supplies or production lots
shipped under this contract found to be defective in material or
workmanship, or otherwise not in conformity with the requirements
of this contract within a period of <cite outputclass="SingleLine" xtrc="552.246-70_d966e325">_____</cite>*
months after acceptance shall, at the Government’s option, be replaced,
repaired, or otherwise corrected by the Contractor at no cost to
the Government within 30 calendar days (or such longer period as
the Contracting Officer may authorize in writing) after receipt
of notice to replace or correct. The Contractor shall remove, at
its own expense, supplies rejected or required to be replaced, repaired,
or corrected. When the nature of the defect affects an entire batch or
lot of supplies, and the Contracting Officer determines that correction
can best be accomplished by retaining the nonconforming supplies,
and reducing the contract price by an equitable amount under the
circumstances, then the equitable price adjustment shall apply to
the entire batch or lot of supplies from which the nonconforming
item was taken.</p>
                  </li>
                  <li audience="GSAR" class="- topic/li ">
                     <p id="d880e300" audience="GSAR" class="- topic/p ">
                        <ph props="autonumber" class="- topic/ph ">(2)</ph>
                        
                        
                          The Contractor may be
issued a Quality Deficiency Notice (QDN) if:</p>
                     <ol id="d888e305" class="- topic/ol ">
                        <li audience="GSAR" class="- topic/li ">
                           <p id="d880e310" audience="GSAR" class="- topic/p ">
                              <ph props="autonumber" class="- topic/ph ">(i)</ph>
                              
                              
                                Supplies in process,
shipped, or awaiting shipment to fill Government orders are found
not to comply with contract requirements, or</p>
                        </li>
                        <li audience="GSAR" class="- topic/li ">
                           <p id="d880e319" audience="GSAR" class="- topic/p ">
                              <ph props="autonumber" class="- topic/ph ">(ii)</ph>
                              
                              
                                deficiencies in either
plant quality or process controls are found. Upon receipt of a QDN,
the Contractor shall take immediate corrective action and shall
suspend shipment of the supplies covered by the QDN until such time as
corrective action has been completed. The Contractor shall notify
the Government representative, within 5 workdays, of the action
plan or the corrective action taken. The Government may elect to
verify the corrective action at the Contractor location(s). Shipments
of nonconforming supplies will be returned at the Contractor’s expense and
may constitute cause for termination of the contract. Delays due
to the insurance of a QDN do not constitute excusable delay under
the default clause of this contract. Failure to complete corrective
action in a timely manner may result in termination of the contract.</p>
                        </li>
                     </ol>
                  </li>
                  <li audience="GSAR" class="- topic/li ">
                     <p id="d880e330" audience="GSAR" class="- topic/p ">
                        <ph props="autonumber" class="- topic/ph ">(3)</ph>
                        
                        
                          This contract may be
terminated for default if subsequent Government inspection discloses
that plant quality or process controls are not being maintained,
supplies that do not meet the requirements of the contract are being
shipped, or if the contractor fails to comply with any other requirement
of this clause.</p>
                  </li>
               </ol>
            </li>
            <li audience="GSAR" class="- topic/li ">
               <p id="d880e341" audience="GSAR" class="- topic/p ">
                  <ph props="autonumber" class="- topic/ph ">(e)</ph>
                  
                  
                     <i class="+ topic/ph hi-d/i ">Additional cost
for inspection and testing</i>. The Contractor shall be charged
for any additional cost of inspection/testing or reinspecting/retesting
supplies for the reasons stated in paragraph (e) of FAR 52.246-2,
Inspection of Supplies-Fixed Price. When inspection or testing is
performed by or under the direction of GSA, charges will be at the
rate of $ <cite outputclass="SingleLine" xtrc="552.246-70_d966e381">_____</cite>* per man-hour
or fraction thereof if the inspection is at a GSA distribution center;
$ <cite outputclass="SingleLine" xtrc="552.246-70_d966e384">_____</cite>* per man-hour or
fraction thereof, plus travel costs incurred, if the inspection
is at any other location; and $ <cite outputclass="SingleLine" xtrc="552.246-70_d966e387">_____</cite>*
per man-hour or fraction thereof for laboratory testing, except
that when a testing facility other than a GSA laboratory performs
all or part of the required tests, the Contractor shall be assessed
the actual cost incurred by the Government as a result of testing
at such facility. When inspection is performed by or under the direction
of any agency other than GSA, the charges indicated above may be
used, or the agency may assess the actual cost of performing the
inspection and testing.</p>
            </li>
            <li audience="GSAR" class="- topic/li ">
               <p id="d880e353" audience="GSAR" class="- topic/p ">
                  <ph props="autonumber" class="- topic/ph ">(f)</ph>
                  
                  
                     <i class="+ topic/ph hi-d/i ">Responsibility for
rejected supplies</i>. When the Contractor fails to remove or provide
instructions for the removal of rejected supplies under paragraph(d)
of this clause, pursuant to the Contracting Officer’s instructions,
the Contractor shall be liable for all costs incurred by the Government
in taking such measures as are expedient to avoid unnecessary loss
to the Contractor. In addition to the remedies provided in FAR 52.246-2,
supplies may be—</p>
               <ol id="d888e361" class="- topic/ol ">
                  <li audience="GSAR" class="- topic/li ">
                     <p id="d880e366" audience="GSAR" class="- topic/p ">
                        <ph props="autonumber" class="- topic/ph ">(1)</ph>
                        
                        
                           <i class="+ topic/ph hi-d/i ">Stored
and charged against the Contractor’s account;</i>
                     </p>
                  </li>
                  <li audience="GSAR" class="- topic/li ">
                     <p id="d880e378" audience="GSAR" class="- topic/p ">
                        <ph props="autonumber" class="- topic/ph ">(2)</ph>
                        
                        
                           <i class="+ topic/ph hi-d/i ">Reshipped to the
Contractor at its expense (any additional expense incurred by the
Government or the freight carrier caused by the refusal of the Contractor
to accept their return shall also be charged against the Contractor’s account);</i>
                     </p>
                  </li>
                  <li audience="GSAR" class="- topic/li ">
                     <p id="d880e390" audience="GSAR" class="- topic/p ">
                        <ph props="autonumber" class="- topic/ph ">(3)</ph>
                        
                        
                           <i class="+ topic/ph hi-d/i ">Sold to the highest
bidder on the open market and the proceeds applied against the accumulated
storage and other costs, including the cost of the sale; or</i>
                     </p>
                  </li>
                  <li audience="GSAR" class="- topic/li ">
                     <p id="d880e402" audience="GSAR" class="- topic/p ">
                        <ph props="autonumber" class="- topic/ph ">(4)</ph>
                        
                        
                           <i class="+ topic/ph hi-d/i ">Otherwise disposed
of by the Government.</i>
                     </p>
                  </li>
               </ol>
            </li>
            <li audience="GSAR" class="- topic/li ">
               <p id="d880e416" audience="GSAR" class="- topic/p ">
                  <ph props="autonumber" class="- topic/ph ">(g)</ph>
                  
                  
                     <i class="+ topic/ph hi-d/i ">Subcontracting requirements</i>.
The Contractor shall insert in any subcontracts the inspection or
testing provisions set forth in paragraphs (a) through (d) of this
clause and the Inspection of Supplies—Fixed Price clause of this
contract. The Contractor shall be responsible for compliance by
any subcontractor with the provisions set forth in paragraphs (a) through
(d) of this clause and the Inspection of Supplies—Fixed Price clause.</p>
            </li>
         </ol>
         <p audience="GSAR" class="- topic/p ">* <i class="+ topic/ph hi-d/i ">Normally insert 12 months as the period
during which defective or otherwise nonconforming supplies must
be replaced. However, when the supplies being bought have a shelf
life of less than 1 year, you should use the shelf-life period,
or in the instance where you reasonably expect a longer period to
be available, you should use the longer period.</i>
         </p>
         <p audience="GSAR" class="- topic/p ">
            <i class="+ topic/ph hi-d/i ">** The rates to be inserted are established
by the Commissioner of the Federal Acquisition Service or a designee.</i>
         </p>
         <p audience="GSAR" outputclass="Endofclause" class="- topic/p ">(End of clause)</p>
      </conbody>
   </concept>
</dita>
