70Z0G125BSNNE0001 Invitation for Bid - Repair Waterfront Phase I Solicitation.pdf

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Repair Waterfront - Phase I at USCG Station Portsmouth Harbor (New Castle, New Hampshire)
Solicitation number
70Z0G125BSNNE0001
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About this file

This is an Invitation for Bid (IFB) for the U.S. Coast Guard's Repair Waterfront - Phase I project at the Portsmouth Harbor Station in New Castle, New Hampshire. The solicitation (Number 70Z0G125BSNNE0001) is a 100% small business set-aside construction contract with a base bid for waterfront structural repairs, valued between $250,000 and $500,000. The project involves repairing multiple pier and floating dock systems, including replacing failed timber bracing, struts, guide posts, support blocking, rubber d-fenders, handrail elements, and other incidental work at the USCG station.

Key solicitation details include a bid due date of 8 July 2025 at 2:00 PM EST, with questions due by 24 June 2025. The contract requires a 20% bid guarantee and has a 77-calendar day completion timeline from the Notice to Proceed. Potential bidders must be registered in the System for Award Management (SAM) and submit questions to Cam Ormiston at Cameron.h.ormiston@uscg.mil. The project is classified under NAICS code 237990 with a small business size standard of $45 million, and all bid documents are available on SAM.gov.

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INVITATION FOR BID

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SOLICITATION NUMBER: 70Z0G125BSNNE0001

ISSUED: 5 June 2025

QUESTIONS DUE: 24 June 2025 by 2:00PM LOCAL TIME, WARWICK, RI

BIDS DUE: 8 July 2025, AT 2:00 PM LOCAL TIME, WARWICK, RI

FOR: Repair Waterfront – Phase I at USCG Station Portsmouth Harbor, New

Castle, New Hampshire, PSN# 29238553

IMPORTANT - NOTICE TO BIDDER

1. Read the ENTIRE solicitation (Sections B through M, pages 1 through 49)

a) See Section L for instructions

b) Sign and return ONE original of the entire solicitation form (see SF 1442, Section B, Section I and Section K for applicable fill-in information).

c) Bids shall be addressed to:

USCG Civil Engineering Unit Providence Attn: Cam Ormiston 475 Kilvert Street Suite 100 Warwick, RI 02886

2. Before submitting your bid, please recheck the following:

a) Does your bid set forth full, accurate, and complete information as required by this solicitation, including all attachments and acknowledging all amendments?

b) Have you rechecked your figures, including calculations on your work sheets?

c) Have you completed and signed all required documents?

d) Have you included a bid guarantee? A 20% bid guarantee (SF 24) is required.

3. Bidders offering less than 60 calendar days for acceptance WILL NOT BE considered and WILL BE rejected.

4. Submit any QUESTIONS to the Contract Specialist via email at cameron.h.ormiston@uscg.mil not later than 24

June 2025 at 2:00PM LOCAL TIME, WARWICK, RI.

5. Email, telegraphic, telephonic, or facsimile bids will not be accepted.

6. Bid results will be available on-line at https://sam.gov

7. This solicitation is issued as a 100% Total Small Business Set-aside, pursuant to FAR Parts 5, 14, & 19.

8. Bidder shall include all APPLICABLE Federal, State, and Local taxes in their bid price. A tax-exempt number will not be provided.

9. Performance Bonds and Payment Bonds will be required for 100% of the total award amount.

mailto:cameron.h.ormiston@uscg.mil https://sam.gov/

(See ).

SOLICITATION, OFFER,

AND AWARD

(Construction, Alteration, or Repair)

IMPORTANT - The "offer" section on the reverse must be fully completed by offeror.

9. FOR

INFORMATION CALL:

NOTE: In sealed bid solicitations "offer" and "offeror" mean "bid and "bidder".

SOLICITATION

1. SOLICITATION NUMBER

5. REQUISITION/PURCHASE REQUEST NUMBER

CODE

6. PROJECT NUMBER

8. ADDRESS OFFER TO

4. CONTRACT NUMBER

7. ISSUED BY

10. THE GOVERNMENT REQUIRES PERFORMANCE OF THE WORK DESCRIBED IN THESE DOCUMENTS (Title, identifying number, date)

11. The contractor shall begin performance within

12a. THE CONTRACTOR MUST FURNISH ANY REQUIRED PERFORMANCE AND PAYMENT BONDS?

(If "YES", indicate within how many calendar days after award in Item 12b.)

13. ADDITIONAL SOLICITATION REQUIREMENTS:

a. Sealed offers in original and

b. An offer guarantee

c. All offers are subject to the (1) work requirements, and (2) other provisions and clauses incorporated in the solicitation in full text or by reference.

d. Offers providing less than

STANDARD FORM 1442 (REV. 12/2022)

Prescribed by GSA - FAR (48 CFR) 53.236-1(d) calendar days for Government acceptance after the date offers are due will not be considered and will be rejected.

is, is not required.

local time containing offers shall be marked to show the offeror's name and address, the solicitation number, and the date and time offers are due.

(date). If this is a sealed bid solicitation, offers will be publicly opened at that time. Sealed envelopes copies to perform the work required are due at the place specified in Item 8 by (hour) award, YES NO notice to proceed. This performance period is mandatory negotiable.

calendar days and complete it within calendar days after receiving

a. NAME b. TELEPHONE NUMBER (Include area code) (NO COLLECT CALLS)

12b. CALENDAR DAYS

2. TYPE OF SOLICITATION

SEALED BID (IFB)

INVITATION FOR BID

NEGOTIATED (RFP)

REQUEST FOR PROPOSAL

3. DATE ISSUED PAGE OF PAGES

AWARD (To be completed by Government)

17. The offeror agrees to perform the work required at the prices specified below in strict accordance with the terms of this solicitation, if this offer is accepted calendar days after the date offers are due. (Insert any number equal to or greater than the minimum requirement by the Government in writing within stated in Item 13d. Failure to insert any number means the offeror accepts the minimum in Item 13d.)

OFFER (Must be fully completed by offeror)

AMOUNTS

18. The offeror agrees to furnish any required performance and payment bonds.

19. ACKNOWLEDGMENT OF AMENDMENTS

(The offeror acknowledges receipt of amendments to the solicitation -- give number and date of each)

AMENDMENT

NUMBER

DATE

CONTRACTING OFFICER WILL COMPLETE ITEM 28 OR 29 AS APPLICABLE

14. NAME AND ADDRESS OF OFFEROR (Include ZIP Code)

CODE FACILITY CODE

15. TELEPHONE NUMBER (Include area code)

16. REMITTANCE ADDRESS (Include only if different than Item 14.)

20a. NAME AND TITLE OF PERSON AUTHORIZED TO SIGN OFFER (Type or print)

21. ITEMS ACCEPTED:

22. AMOUNT

26. ADMINISTERED BY

30a. NAME AND TITLE OF CONTRACTOR OR PERSON AUTHORIZED TO SIGN (Type or print)

31c. DATE

STANDARD FORM 1442 (REV. 12/2022) BACK

31b. UNITED STATES OF AMERICA

BY

31a. NAME OF CONTRACTING OFFICER (Type or print)

29. AWARD (Contractor is not required to sign this document.) Your offer on this solicitation is hereby accepted as to the items listed. This award consummates the contract, which consists of (a) the Government solicitation and your offer, and (b) this contract award. No further contractual document is necessary.

30b. SIGNATURE 30c. DATE

28. NEGOTIATED AGREEMENT (Contractor is required to sign this document and return and deliver all items or perform all work requirements identified on this form and any continuation sheets for the consideration stated in this contract. The rights and obligations of the parties to this contract shall be governed by (a) this contract award, (b) the solicitation, and (c) the clauses, representations, certifications, and specifications incorporated by reference in or attached to this contract.

copies to issuing office.) Contractor agrees to furnish

24. SUBMIT INVOICES TO ADDRESS SHOWN IN

(4 copies unless otherwise specified)

23. ACCOUNTING AND APPROPRIATION DATA

ITEM

25. OTHER THAN FULL AND OPEN COMPETITION PURSUANT TO THE UNITED STATES

CODE AT

27. PAYMENT WILL BE MADE BY

10 U.S.C. 3204(a) ( ) 41 U.S.C. 3304(a) ( )

20b. SIGNATURE 20c. OFFER DATE

70Z0G125BSNNE0001

TABLE OF CONTENTS:

1. Listing of Incorporated Purchase Requisitions

2. Section B - Supplies or Services and Prices/Costs

3. Section C - Description/Specifications/Work Statement

4. Section D - Packaging and Marking

5. Section E - Inspection and Acceptance Terms

6. Section F - Delivery or Performance

7. Section G - Contract Administration Data

8. Section H - Special Contract Requirements

9. Section I - Contract Clauses

10. Section J - List of Documents, Exhibits, and other Attachments

11. Section K - Representations, Certifications, and Other Statements of Offerors

12. Section L - Instructions, Conditions and Notices to Offerors

13. Section M - Evaluation Factors for Award

1. Listing of Incorporated Purchase Requisitions

Incorporated Purchase Requisition Numbers:

2. Section B - Supplies or Services and Prices/Costs

Item Number Base Item Number

Supplies/Services Quantity Unit

0001 Base Bid - Repair Waterfront - Phase I - STA Portsmouth Harbor

1 DO

Contract Type:Firm Fixed Price Unit Price

Extended Price

Description:

Purchase Requisitions

IDC Type: Not Applicable

Clauses incorporated by reference

None

Clauses incorporated by full text

3. Section C - Description/Specifications/Work Statement

All work shall be accomplished in accordance with contract terms and conditions, as well as the documents listed in Section J.

4. Section D - Packaging and Marking

5. Section E - Inspection and Acceptance Terms

Article Number Reference Text

52.246-12 52.246-12 INSPECTION OF CONSTRUCTION (AUG 1996)

6. Section F - Delivery or Performance

52.242-14 52.242-14 SUSPENSION OF WORK (APR 1984)

52.211-10 COMMENCEMENT, PROSECUTION, AND COMPLETION OF WORK (APR 1984)

The Contractor shall be required to (a) commence work under this contract within 10 calendar days after the date the Contractor receives the notice to proceed, (b) prosecute the work diligently, and (c) complete the entire work ready for use not later than 77 calendar days after the date the Contractor receives the notice to proceed. The time stated for completion shall include final cleanup of the premises.

(End of clause)

52.236-15:SCHEDULES FOR CONSTRUCTION CONTRACTS (APR 1984)

(a) The Contractor shall, within five days after the work commences on the contract or another period of time determined by the Contracting Officer, prepare and submit to the Contracting Officer for approval three copies of a practicable schedule showing the order in which the Contractor proposes to perform the work, and the dates on which the Contractor contemplates starting and completing the several salient features of the work (including acquiring materials, plant, and equipment). The schedule shall be in the form of a progress chart of suitable scale to indicate appropriately the percentage of work scheduled for completion by any given date during the period. If the Contractor fails to submit a schedule within the time prescribed, the Contracting Officer may withhold approval of progress payments until the Contractor submits the required schedule.

(b) The Contractor shall enter the actual progress on the chart as directed by the Contracting Officer, and upon doing so shall immediately deliver three copies of the annotated schedule to the Contracting Officer. If, in the opinion of the Contracting Officer, the Contractor falls behind the approved schedule, the Contractor shall take steps necessary to improve its progress, including those that may be required by the Contracting Officer, without additional cost to the Government. In this circumstance, the Contracting Officer may require the Contractor to increase the number of shifts, overtime operations, days of work, and/or the amount of construction plant, and to submit for approval any supplementary schedule or schedules in chart form as the Contracting Officer deems necessary to demonstrate how the approved rate of progress will be regained.

(c) Failure of the Contractor to comply with the requirements of the Contracting Officer under this clause shall be grounds for a determination by the Contracting Officer that the Contractor is not prosecuting the work with sufficient diligence to ensure completion within the time specified in the contract. Upon making this determination, the Contracting Officer may terminate the Contractor's right to proceed with the work, or any separable part of it, in accordance with the default terms of this contract.

7. Section G - Contract Administration Data

Requesting Office Address 51283 CEU PROVIDENCE - PL - Regional Execution

CEU PROVIDENCE USCG

475 KILVERT ST STE 100

WARWICK RI 02886

Phone: Fax:

Contact Details:

ARPIN, Mr. DAVID J

DAVID.J.ARPIN@USCG.MIL

Property Administration Office Address 51283 PROP CEU PROVIDENCE - Command Cadre

CEU PROVIDENCE USCG

475 KILVERT ST STE 100

WARWICK RI 02886

Phone: Fax:

Contact Details:

ARPIN, Mr. DAVID J

DAVID.J.ARPIN@USCG.MIL

COR Office Address 51283 COR CEU PROVIDENCE - PL - Regional Execution

475 KILVERT ST STE 100

WARWICK RI 02886

Phone: 804/296-5552 Fax:

Contact Details:

SCHMIDT, MADISON RILEY

Madison.R.Schmidt@uscg.mil

Issuing Office Address 70Z0G1 CEU Providence 475 Kilvert Street, Suite 100 Warwick RI 02886 Phone: Fax:

Contact Details:

ORMISTON, Mr. CAMERON H Cameron.H.Ormiston@uscg.mil

Payment Office Address

USCG FINANCE CENTER

FINANCE CENTER USCG

1430A KRISTINA WAY

CHESAPEAKE VA 23326-1000

Phone: Fax:

Contact Details:

G.1 ELECTRONIC SUBMISSION OF PAYMENT REQUESTS

(a) Definitions. As used in these instructions -

(1) "Payment request" means a bill, voucher, invoice, or request for contract financing payment with associated supporting documentation. The payment request must: comply with the requirements identified in FAR 32.905(b), "Content of Invoices" and the applicable Payment clause included in this contract. In addition, discount offerings and small business status if available shall be stated. If travel was allowable and approved, components in accordance with FAR 31.205-46 shall be provided.

(b) Except as provided in paragraph (c) of this clause, the Contractor shall submit payment requests electronically using the Invoice Processing Platform (IPP). Information regarding IPP, including IPP Customer Support contact information, is available at www.ipp.gov or any successor site.

(c) The Contractor may submit payment requests using a method other than IPP only when the Contracting Officer authorizes alternate procedures in writing in accordance with Coast Guard procedures.

(d) If alternate payment procedures are authorized, the Contractor shall include a copy of the Contracting Officer's written authorization with each payment request. Note: Scanned invoices for Final Payment shall be accompanied by a fully executed Contractor's Release, DHS Form 700-3.

(e) IPP enrollment information is at https://www.uscg.mil/fincen/IPP/.

(f) Receiving Official: Daniel B. Walker, Contracting Officer: daniel.b.walker@uscg.mil

Invoice Approver Official: Madison Schmidt, COR: madison.r.schmidt@uscg.mil http://www.ipp.gov https://www.uscg.mil/fincen/IPP/ mailto:daniel.b.walker@uscg.mil mailto:madison.r.schmidt@uscg.mil

Contracting Officer's Representative: Madison Schmidt madison.r.schmidt@uscg.mil

G.2 CONTRACT ADMINISTRATION

This contract will be administered by the Contract Specialist, U.S. Coast Guard, Civil Engineering Unit

Providence. All matters related to the performance of this contract, and all correspondence, shall be coordinated with and directed to the Contract Specialist at:

USCG, CEU Providence

Attn: Cam Ormiston

475 Kilvert Street, Suite 100

Warwick, RI 02886

(401)736-1731 cameron.h.ormiston@uscg.mil

8. Section H - Special Contract Requirements

3052.223-70 REMOVAL OR DISPOSAL OF HAZARDOUS SUBSTANCES - APPLICABLE LICENSES

AND PERMITS (JUN 2006)

The Contractor shall 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 shall 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.

H.1 REQUIREMENT FOR INSURANCE

In accordance with the provisions of FAR Clause 52.228-5, "Insurance - Work on a Government Installation," the Contractor shall furnish to the Contracting Officer a certificate of insurance, identified by contract number, as evidence of the existence of the following minimum insurance coverages.

Type of Coverage

Accident Per Person Per Accident Property

Comprehensive

General Liability $500,000

Automobile Liability $200,000 $500,000 $20,000

Workmen's Compensation--As required by Federal and State Law. Full insurance coverage in accordance with the U.S.

Longshoremen's and Harbor Worker's Compensation Act, 33 USC 901 et. Seq. will be required when a specific mailto:madison.r.schmidt@uscg.mil project involves operations in or on piers or waterways.

In accordance with FAR Clause 52.228-5, "Insurance - Work on a Government Installation," the certificate of insurance shall also indicate that a 30-day notice of cancellation applies. Any cancellation or material change, adversely affecting the Government's interest, shall not be effective until 30 days after the insurer or Contractor gives written notice to the Contracting Officer. A certificate of insurance must be presented to the Contracting Officer within ten (10) calendar days after award of the contract.

H.2 SUBCONTRACT DATA

The Contractor shall submit an executed Statement and Acknowledgement (Standard Form 1413), to the Contracting Officer for every subcontractor (including every subcontractor of the second or lower tier) that will be performing work at the construction site. This shall be done before the subcontractor begins work. This form provides an acknowledgement by the subcontractor that mandatory "flow-down" contract clauses have been included in his/her contract in accordance with FAR Clause 52.222-11. A copy of Form SF 1413 will be given to the Contractor at time of award. Completing this form creates no contractual relationship between the subcontractor and the Government.

H.3 MODIFICATION PROPOSALS - PRICE BREAKDOWN

The Contractor shall furnish a detailed Proposal for all Contract Modification Requests (CMR's) from the Contracting Officer.

All Proposals shall reach the Contracting Officer within 10 calendar days after receipt of the CMR unless otherwise directed by the Contracting Officer. The Proposal shall comprise an itemized price breakdown in sufficient detail to permit an analysis of all materials, labor, equipment, overhead and profit, at both the prime and subcontracting levels and shall cover all work involved in the modification whether such work was deleted, added or changed. In addition, if the Proposal includes a request to extend time it shall show the effect on the approved schedule. Contractor-initiated requests, for changes to the contract (other than corrective), shall be considered by the Government only if they meet all of the following conditions:

(1) The request shall be submitted to the Contracting Officer by separate correspondence signed by an authorized representative of the Contractor.

(2) The request shall state how the proposed change would be incorporated into the schedule; whether or not a time extension will be necessary, and the calendar date that the Contractor must receive approval or disapproval so as not to affect the existing schedule.

(3) The request shall include a complete listing of existing labor, materials and equipment costs and proposed change as well as all indirect costs, and delays. It shall include a listing with telephone number, of all sources necessary for Government verification of costs and the Contractor's offer. The Government will reject any request that does not provide ALL of the above information in a single submission. The Contractor shall submit supporting data for claimed overhead rates to the Contracting Officer. In connection with the negotiation of any change or other modification of this contract that involves aggregate increase or decrease in costs, plus applicable profits (as explained in FAR 15.804-2), in excess of $100,000, and that is not based on adequate price competition, established catalog or market prices of commercial items sold in substantial quantities to the general public, or prices set by law or regulation, the Contractor shall furnish cost or pricing data; and, as soon as practicable after agreement is reached on price, shall furnish a Certificate of Current Cost or Pricing Data.

H.4 PRICING OF ADJUSTMENTS

When costs are a factor in any determination of a contract price adjustment pursuant to the Changes clause or any other provision of this contract such costs shall be in accordance with the contract cost principles and procedures in Federal Acquisition Regulation Part 31.

9. Section I - Contract Clauses

52.202-1 52.202-1 DEFINITIONS (JUN 2020)

52.203-3 52.203-3 GRATUITIES (APR 1984)

52.203-5 52.203-5 COVENANT AGAINST CONTINGENT FEES (MAY 2014)

52.203-7 52.203-7 ANTI-KICKBACK PROCEDURES (JUN 2020)

52.203-8 52.203-8 CANCELLATION, RESCISSION, AND RECOVERY OF FUNDS FOR ILLEGAL OR

IMPROPER ACTIVITY (MAY 2014)

52.203-10 52.203-10 PRICE OR FEE ADJUSTMENT FOR ILLEGAL OR IMPROPER ACTIVITY (MAY 2014)

52.203-12 52.203-12 LIMITATION ON PAYMENTS TO INFLUENCE CERTAIN FEDERAL

TRANSACTIONS (JUN 2020)

52.203-19 52.203-19 PROHIBITION ON REQUIRING CERTAIN INTERNAL CONFIDENTIALITY

AGREEMENTS OR STATEMENTS (JAN 2017)

52.204-9 52.204-9 Personal Identity Verification of Contractor Personnel.

52.204-10 52.204-10 REPORTING EXECUTIVE COMPENSATION AND FIRST-TIER SUBCONTRACT

AWARDS (JUN 2020)

52.204-13 52.204-13 SYSTEM FOR AWARD MANAGEMENT MAINTENANCE (OCT 2018)

52.204-14 52.204-14 SERVICE CONTRACT REPORTING REQUIREMENTS (OCT 2016)

52.204-18 52.204-18 COMMERCIAL AND GOVERNMENT ENTITY CODE MAINTENANCE (AUG 2020)

52.204-19 52.204-19 INCORPORATION BY REFERENCE OF REPRESENTATIONS AND

CERTIFICATIONS (DEC 2014)

52.204-27 52.204-27 PROHIBITION ON A BYTEDANCE COVERED APPLICATION (JUN 2023)

52.209-6 52.209-6 PROTECTING THE GOVERNMENT'S INTEREST WHEN SUBCONTRACTING

WITH CONTRACTORS DEBARRED, SUSPENDED, PROPOSED FOR DEBARMENT, OR

VOLUNTARILY EXCLUDED (JAN 2025)

52.209-9 52.209-9 UPDATES OF PUBLICLY AVAILABLE INFORMATION REGARDING

RESPONSIBILITY MATTERS (OCT 2018)

52.209-10 52.209-10 PROHIBITION ON CONTRACTING WITH INVERTED DOMESTIC

CORPORATIONS (NOV 2015)

52.214-26 52.214-26 AUDIT AND RECORDS-SEALED BIDDING (JUNE 2020)

52.215-8 52.215-8 ORDER OF PRECEDENCE-UNIFORM CONTRACT FORMAT (OCT 1997)

52.219-6 52.219-6 NOTICE OF TOTAL SMALL BUSINESS SET-ASIDE (NOV 2020)

52.219-8 52.219-8 UTILIZATION OF SMALL BUSINESS CONCERNS (JAN 2025)

52.219-28 52.219-28 POSTAWARD SMALL BUSINESS PROGRAM REPRESENTATION (JAN 2025)

52.222-1 52.222-1 NOTICE TO THE GOVERNMENT OF LABOR DISPUTES (FEB 1997)

52.222-3 52.222-3 CONVICT LABOR (JUNE 2003)

52.222-4 52.222-4 CONTRACT WORK HOURS AND SAFETY STANDARDS-OVERTIME

COMPENSATION (MAY 2018)

52.222-6 52.222-6 CONSTRUCTION WAGE RATE REQUIREMENTS (AUG 2018)

52.222-7 52.222-7 WITHHOLDING OF FUNDS (MAY 2014)

52.222-8 52.222-8 PAYROLLS AND BASIC RECORDS (JUL 2021)

52.222-10 52.222-10 COMPLIANCE WITH COPELAND ACT REQUIREMENTS (FEB 1988)

52.222-11 52.222-11 SUBCONTRACTS (LABOR STANDARDS) (MAY 2014)

52.222-12 52.222-12 CONTRACT TERMINATION-DEBARMENT (MAY 2014)

52.222-13 52.222-13 COMPLIANCE WITH CONSTRUCTION WAGE RATE REQUIREMENTS AND

RELATED REGULATIONS (MAY 2014)

52.222-14 52.222-14 DISPUTES CONCERNING LABOR STANDARDS (FEB 1988)

52.222-15 52.222-15 CERTIFICATION OF ELIGIBILITY (MAY 2014)

52.222-35 52.222-35 EQUAL OPPORTUNITY FOR VETERANS (JUN 2020)

52.222-36 52.222-36 EQUAL OPPORTUNITY FOR WORKERS WITH DISABILITIES (JUN 2020)

52.222-37 52.222-37 EMPLOYMENT REPORTS ON VETERANS (JUN 2020)

52.222-40 52.222-40 NOTIFICATION OF EMPLOYEE RIGHTS UNDER THE NATIONAL LABOR

RELATIONS ACT (DEC 2010)

52.222-50 52.222-50 COMBATING TRAFFICKING IN PERSONS (NOV 2021)

52.222-54 52.222-54 EMPLOYMENT ELIGIBILITY VERIFICATION (JAN 2025)

52.222-62 52.222-62 PAID SICK LEAVE UNDER EXECUTIVE ORDER 13706 (JAN 2022)

52.223-5 52.223-5 POLLUTION PREVENTION AND RIGHT-TO-KNOW INFORMATION (MAY 2024)

52.226-7 52.226-7 DRUG-FREE WORKPLACE (MAY 2024)

52.226-8 52.226-8 ENCOURAGING CONTRACTOR POLICIES TO BAN TEXT MESSAGING WHILE

DRIVING (MAY 2024)

52.227-1 52.227-1 AUTHORIZATION AND CONSENT (JUN 2020)

52.227-2 52.227-2 NOTICE AND ASSISTANCE REGARDING PATENT AND COPYRIGHT

INFRINGEMENT (JUN 2020)

52.227-4 52.227-4 PATENT INDEMNITY-CONSTRUCTION CONTRACTS (DEC 2007)

52.227-17 52.227-17 RIGHTS IN DATA-SPECIAL WORKS (DEC 2007)

52.228-2 52.228-2 ADDITIONAL BOND SECURITY (OCT 1997)

52.228-5 52.228-5 INSURANCE-WORK ON A GOVERNMENT INSTALLATION (JAN 1997)

52.228-12 52.228-12 PROSPECTIVE SUBCONTRACTOR REQUESTS FOR BONDS (DEC 2022)

52.228-14 52.228-14 IRREVOCABLE LETTER OF CREDIT (NOV 2014)

52.229-3 52.229-3 FEDERAL, STATE, AND LOCAL TAXES (FEB 2013)

52.229-4 52.229-4 FEDERAL, STATE, AND LOCAL TAXES (STATE AND LOCAL ADJUSTMENTS)

(FEB 2013)

52.232-5 52.232-5 PAYMENTS UNDER FIXED-PRICE CONSTRUCTION CONTRACTS (MAY 2014)

52.232-16 52.232-16 PROGRESS PAYMENTS (NOV 2021)

52.232-17 52.232-17 INTEREST (MAY 2014)

52.232-23 52.232-23 ASSIGNMENT OF CLAIMS (MAY 2014)

52.232-27 52.232-27 PROMPT PAYMENT FOR CONSTRUCTION CONTRACTS (JAN 2017)

52.232-33 52.232-33 PAYMENT BY ELECTRONIC FUNDS TRANSFER-SYSTEM FOR AWARD

MANAGEMENT (OCT 2018)

52.232-39 52.232-39 UNENFORCEABILITY OF UNAUTHORIZED OBLIGATIONS (JUN 2013)

52.232-40 52.232-40 PROVIDING ACCELERATED PAYMENTS TO SMALL BUSINESS

SUBCONTRACTORS (MAR 2023)

52.233-1 Alt I 52.233-1 DISPUTES (MAY 2014) ALTERNATE I (DEC 1991)

52.233-3 52.233-3 PROTEST AFTER AWARD (AUG 1996)

52.233-4 52.233-4 APPLICABLE LAW FOR BREACH OF CONTRACT CLAIM (OCT 2004)

52.236-2 52.236-2 DIFFERING SITE CONDITIONS (APR 1984)

52.236-3 52.236-3 SITE INVESTIGATION AND CONDITIONS AFFECTING THE WORK (APR 1984)

52.236-5 52.236-5 MATERIAL AND WORKMANSHIP (APR 1984)

52.236-6 52.236-6 SUPERINTENDENCE BY THE CONTRACTOR (APR 1984)

52.236-7 52.236-7 PERMITS AND RESPONSIBILITIES (NOV 1991)

52.236-8 52.236-8 OTHER CONTRACTS (APR 1984)

52.236-9 52.236-9 PROTECTION OF EXISTING VEGETATION, STRUCTURES, EQUIPMENT,

UTILITIES, AND IMPROVEMENTS.(APR 1984)

52.236-10 52.236-10 OPERATIONS AND STORAGE AREAS (APR 1984)

52.236-11 52.236-11 USE AND POSSESSION PRIOR TO COMPLETION (APR 1984)

52.236-12 52.236-12 CLEANING UP (APR 1984)

52.236-13 52.236-13 ACCIDENT PREVENTION (NOV 1991)

52.236-17 52.236-17 LAYOUT OF WORK (APR 1984)

52.236-21 Alt I 52.236-21 SPECIFICATIONS AND DRAWINGS FOR CONSTRUCTION (FEB 1997)

ALTERNATE I (APR 1984)

52.236-26 52.236-26 PRECONSTRUCTION CONFERENCE (FEB 1995)

52.240-1 52.240-1 PROHIBITION ON UNMANNED AIRCRAFT SYSTEMS MANUFACTURED OR

ASSEMBLED BY AMERICAN SECURITY DRONE ACT-COVERED FOREIGN ENTITIES

(NOV 2024)

52.242-13 52.242-13 BANKRUPTCY (JULY 1995)

52.243-4 52.243-4 CHANGES (JUNE 2007)

52.246-21 52.246-21 WARRANTY OF CONSTRUCTION (MAR 1994)

52.249-2 Alt I 52.249-2 TERMINATION FOR CONVENIENCE OF THE GOVERNMENT (FIXED-PRICE)

(APR 2012) ALTERNATE I (SEP 1996)

52.249-10 52.249-10 DEFAULT (FIXED-PRICE CONSTRUCTION) (APR 1984)

52.253-1 52.253-1 COMPUTER GENERATED FORMS (JAN 1991)

3052.205-70 3052.205-70 ADVERTISEMENTS, PUBLICIZING AWARDS, AND RELEASES (SEP 2012)

3052.211-70 3052.211-70 INDEX FOR SPECIFICATIONS (DEC 2003)

3052.222-70 3052.222-70 STRIKES OR PICKETING AFFECTING TIMELY COMPLETION OF THE

CONTRACT WORK (DEC 2003)

3052.222-71 3052.222-71 STRIKES OR PICKETING AFFECTING ACCESS TO A DHS FACILITY (DEC 2003)

3052.222-90 3052.222-90 LOCAL HIRE (JUN 2006)

3052.223-90 3052.223-90 ACCIDENT AND FIRE REPORTING (DEC 2003)

3052.228-70 3052.228-70 INSURANCE (DEC 2003)

3052.242-72 3052.242-72 CONTRACTING OFFICER'S TECHNICAL REPRESENTATIVE (DEC 2003)

52.203-17 (Deviation) CONTRACTOR EMPLOYEE WHISTLEBLOWER RIGHTS (April 2024) (DHS-USCG DEVIATION 14-01, Revision 1)

(a) This contract and employees working on this contract will be subject to the whistleblower rights and remedies established at 10 U.S.C. 4701 and Homeland Security Acquisition Regulation (HSAR) 3.900 (DEVIATION) through 3.905 (DEVIATION).

(b) The Contractor shall inform its employees in writing, in the predominant language of the workforce, of employee whistleblower rights and protections under 10 U.S.C. 4701, as described in HSAR 3.900 (DEVIATION) through 3.905

(DEVIATION).

(c) The Contractor shall insert the substance of this clause, including this paragraph (c), in all subcontracts.

52.204-23 (DEVIATION) PROHIBITION ON CONTRACTING FOR HARDWARE, SOFTWARE, AND SERVICES

DEVELOPED OR PROVIDED BY KASPERSKY LAB AND OTHER COVERED ENTITIES

(DEVIATION 2020-05 Rev 3) (July 2024)

(a) Definitions.As used in this clause- Kaspersky Lab covered article means any hardware, software, or service that–

(1) Is developed or provided by a Kaspersky Lab covered entity;

(2) Includes any hardware, software, or service developed or provided in whole or in part by a Kaspersky Lab covered entity; or

(3) Contains components using any hardware or software developed in whole or in part by a Kaspersky Lab covered entity.

Kaspersky Lab covered entity means–

(1) Kaspersky Lab;

(2) Any successor entity to Kaspersky Lab, including any change in name, e.g., "Kaspersky";

(3) Any entity that controls, is controlled by, or is under common control with Kaspersky Lab; or https://www.law.cornell.edu/uscode/text/10/4701 https://www.law.cornell.edu/uscode/text/10/4701 https://www.law.cornell.edu/uscode/text/10/4701 https://www.law.cornell.edu/uscode/text/10/4701

(4) Any entity of which Kaspersky Lab has a majority ownership.

(b)Prohibition. Section 1634 of Division A of the National Defense Authorization Act for Fiscal Year 2018 (Pub. L. 115-

91) prohibits Government use of any Kaspersky Lab covered article. The Contractor is prohibited from—

(1) Providing any Kaspersky Lab covered article that the Government will use on or after October 1, 2018; and

(2) Using any Kaspersky Lab covered article on or after October 1, 2018, in the development of data or deliverables first produced in the performance of the contract.

(c)Reporting requirement.

(1)IntheeventtheContractoridentifiescoveredarticleprovidedtotheGovernmentduringcontractperformance,ortheContractoris notifiedofsuchbyasubcontractoratanytierorbyanyothersource,theContractorshallreport,inwriting,via email,totheContracting Officer,ContractingOfficer'sRepresentative,andtheEnterpriseSecurityOperationsCenter(SOC)atNDAAIncidents@hq.dhs.gov, withrequiredinformationin thebodyoftheemail.InthecaseoftheDepartmentofDefense,theContractorshallreportto thewebsiteat https://dibnet.dod.mil.Forindefinitedeliverycontracts,theContractorshallreporttotheEnterpriseSOC,ContractingOfficerforthe indefinitedelivery contractandtheContractingOfficer(s) and Contracting Officer's Representative(s)foranyaffected order or,inthe caseoftheDepartment ofDefense,identifyboth theindefinite deliverycontract and anyaffectedorders inthe report provided athttps ://dibnet.dod.mil.

(2) The Contractor shallreport thefollowing information pursuant to paragraph (c)(1) of this clause:

(i) Within3business daysfromthedateofsuchidentificationornotification:thecontractnumber;theorder number(s),ifapplicable;supplier name;brand;modelnumber (Original EquipmentManufacturer (OEM) number,manufacturerpartnumber,orwholesaler number);item description;and anyreadilyavailable information about mitigation actions undertaken orrecommended.

(ii) Within10business days ofsubmittingthereportpursuanttoparagraph (c)(1)ofthisclause: anyfurther available information aboutmitigationactionsundertaken orrecommended.Inaddition,theContractor shalldescribe theeffortsitundertook toprevent useorsubmission ofaKaspersky Lab coveredarticle,any reasonsthat ledtotheuseorsubmission oftheKaspersky Lab coveredarticle,andanyadditional efforts that willbeincorporatedtoprevent futureuseorsubmission ofKaspersky Lab coveredarticles.

(d) Subcontracts.TheContractor shall insert thesubstance ofthisclause,including thisparagraph (d),inallsubcontracts, including subcontracts fortheacquisition ofcommercialitems.

52.204-25 (DEVIATION) PROHIBITION ON CONTRACTING FOR CERTAIN TELECOMMUNICATIONS AND VIDEO

SURVEILLANCE SERVICES OR EQUIPMENT (DEVIATION 2020-05)(DEC 2020)

(a)Definitions. As used in this clause—

"Backhaul" means intermediate links between the core network, or backbone network, and the small subnetworks at the edge of the network (e.g., connecting cell phones/towers to the core telephone network). Backhaul can be wireless (e.g., microwave) or wired (e.g., fiber optic, coaxial cable, Ethernet).

"Covered foreign country" means The People's Republic of China.

"Covered telecommunications equipment or services" means–

(1) Telecommunications equipment produced by Huawei Technologies Company or ZTE Corporation (or any subsidiary or affiliate of such entities);

(2) For the purpose of public safety, security of Government facilities, physical security surveillance of critical infrastructure, and other national security purposes, video surveillance and telecommunications equipment produced by Hytera Communications Corporation, Hangzhou Hikvision Digital Technology Company, or Dahua Technology Company (or any subsidiary or affiliate of such entities);

(3) Telecommunications or video surveillance services provided by such entities or using such equipment; or

(4) Telecommunications or video surveillance equipment or services produced or provided by an entity that the Secretary of Defense, in consultation with the Director of National Intelligence or the Director of the Federal Bureau of Investigation, reasonably believes to be an entity owned or controlled by, or otherwise connected to, the government of a covered foreign country.

"Critical technology" means–

(1) Defense articles or defense services included on the United States Munitions List set forth in the International Traffic in Arms Regulations under subchapter M of chapter I of title 22, Code of Federal Regulations;

(2) Items included on the Commerce Control List set forth in Supplement No. 1 to part 774 of the Export Administration Regulations under subchapter C of chapter VII of title 15, Code of Federal Regulations, and controlled-

(i) Pursuant to multilateral regimes, including for reasons relating to national security, chemical and biological weapons proliferation, nuclear nonproliferation, or missile technology; or

(ii) For reasons relating to regional stability or surreptitious listening;

(3) Specially designed and prepared nuclear equipment, parts and components, materials, software, and technology covered by part 810 of title 10, Code of Federal Regulations (relating to assistance to foreign atomic energy activities);

(4) Nuclear facilities, equipment, and material covered by part 110 of title 10, Code of Federal Regulations (relating to export and import of nuclear equipment and material);

(5) Select agents and toxins covered by part 331 of title 7, Code of Federal Regulations, part 121 of title 9 of such Code, or part 73 of title 42 of such Code; or

(6) Emerging and foundational technologies controlled pursuant to section 1758 of the Export Control Reform Act of 2018 (50 U.S.C. 4817).

"Interconnection arrangements" means arrangements governing the physical connection of two or more networks to allow the use of another's network to hand off traffic where it is ultimately delivered (e.g., connection of a customer of telephone provider A to a customer of telephone company B) or sharing data and other information resources.

"Reasonable inquiry" means an inquiry designed to uncover any information in the entity's possession about the identity of the producer or provider of covered telecommunications equipment or services used by the entity that excludes the need to include an internal or third-party audit.

"Roaming" means cellular communications services (e.g., voice, video, data) received from a visited network when unable to connect to the facilities of the home network either because signal coverage is too weak or because traffic is too high.

"Substantial or essential component" means any component necessary for the proper function or performance of a piece of equipment, system, or service.

(b)Prohibition.

(1) Section 889(a)(1)(A) of the John S. McCain National Defense Authorization Act for Fiscal Year 2019 (Pub. L.

115–232) prohibits the head of an executive agency on or after August 13, 2019, from procuring or obtaining, or extending or renewing a contract to procure or obtain, any equipment, system, or service that uses covered telecommunications equipment or services as a substantial or essential component of any system, or as critical technology as part of any system. The Contractor is prohibited from providing to the Government any equipment, system, or service that uses covered telecommunications equipment or services as a substantial or essential component of any system, or as critical technology as part of any system, unless an exception at paragraph (c) of this clause applies or the covered telecommunication equipment or services are covered by a waiver described in

FAR 4.2104.

(2) Section 889(a)(1)(B) of the John S. McCain National Defense Authorization Act for Fiscal Year 2019 (Pub. L.

115–232) prohibits the head of an executive agency on or after August 13, 2020, from entering into a contract, or extending or renewing a contract, with an entity that uses any equipment, system, or service that uses covered telecommunications equipment or services as a substantial or essential component of any system, or as critical technology as part of any system, unless an exception at paragraph (c) of this clause applies or the covered telecommunicationequipment or services are covered by a waiver described in FAR 4.2104. This prohibition applies to the use of covered telecommunications equipment or services, regardless of whether that use is in performance of work under a Federal contract.

(c)Exceptions. This clause does not prohibit contractors from providing—

(1)A service that connects to the facilities of a third-party, such as backhaul, roaming, or interconnection arrangements; or

(2) Telecommunications equipment that cannot route or redirect user data traffic or permit visibility into any user data or packets that such equipment transmits or otherwise handles.

(d)Reporting requirement.

(1) In the event the Contractor identifies covered telecommunications equipment or services used as a substantial or essential component of any system, or as critical technology as part of any system, during contract performance, or the Contractor is notified of such by a subcontractor at any tier or by any other source, the Contractor shall report the information in paragraph (d)(2) of this clause in writing via email to the Contracting Officer, Contracting Officer's Representative, and the Network Operations Security Center (NOSC) at NDAA_Incidents@hq.dhs.gov, with required information in the body of the email. In the case of the Department of Defense, the Contractor shall report to the website at https://dibnet.dod.mil. For indefinite delivery contracts, the Contractor shall report to the NOSC, Contracting Officer for the indefinite delivery contract and the Contracting Officer(s) and Contracting Officer's Representative(s) for any affected order or, in the case of the Department of Defense, identify both the indefinite delivery contract and any affected orders in the report provided at https://dibnet.dod.mil.

(2) The Contractor shall report the following information pursuant to paragraph (d)(1) of this clause

(i) Within one business day from the date of such identification or notification: the contract number; the order number(s), if applicable; supplier name; supplier unique entity identifier (if known); supplier Commercial and Government Entity (CAGE) code (if known); brand; model number (original equipment manufacturer number, manufacturer part number, or wholesaler number); item description; and any readily available information about mitigation actions undertaken or recommended.

(ii) Within 10 business days of submitting the information in paragraph (d)(2)(i) of this clause: any further available information about mitigation actions undertaken or recommended. In addition, the Contractor shall describe the efforts it undertook to prevent use or submission of covered telecommunications equipment or services, and any additional efforts that will be incorporated to prevent future use or submission of covered telecommunications equipment or services.

(e)Subcontracts. The Contractor shall insert the substance of this clause, including this paragraph (e)and excluding paragraph (b)(2), in all subcontracts and other contractual instruments, including subcontracts for the acquisition of commercial items.

52.214-27 (OCT 2021)

(DEVIATION)

PRICE REDUCTION FOR DEFECTIVE CERTIFIED COST OR PRICING DATA—

MODIFICATIONS—SEALED BIDDING (OCT 2021) (DEVIATION)

(a) This clause shall become operative only for any modification to this contract involving aggregate increases and/or decreases in costs, plus applicable profits, expected to exceed $2 million on the date of execution of the modification, except that this clause does not apply to a modification if an exception under FAR 15.403-1(b) applies.

(b) If any price, including profit, negotiated in connection with any modification under this clause, was increased by any significant amount because (1) the Contractor or a subcontractor furnished certified cost or pricing data that were not complete, accurate, and current as certified in its Certificate of Current Cost or Pricing Data, (2) a subcontractor or prospective subcontractor furnished the Contractor certified cost or pricing data that were not complete, accurate, and current as certified in the Contractor's Certificate of Current Cost or Pricing Data, or (3) any of these parties furnished data of any description that were not accurate, the price shall be reduced accordingly and the contract shall be modified to reflect the reduction. This right to a price reduction is limited to that resulting from defects in data relating to modifications for which this clause becomes operative under paragraph (a) of this clause.

(c) Any reduction in the contract price under paragraph (b) of this clause due to defective data from a prospective subcontractor that was not subsequently awarded the subcontract shall be limited to the amount, plus applicable overhead and profit markup, by which (1) the actual subcontract or (2) the actual cost to the Contractor, if there was no subcontract, was less than the prospective subcontract cost estimate submitted by the Contractor; provided, that the actual subcontract price was not itself affected by defective certified cost or pricing data.

(d)(1) If the Contracting Officer determines under paragraph (b) of this clause that a price or cost reduction should be made, the Contractor agrees not to raise the following matters as a defense—

(i) The Contractor or subcontractor was a sole source supplier or otherwise was in a superior bargaining position and thus the price of the contract would not have been modified even if accurate, complete, and current certified cost or pricing data had been submitted;

mailto:NDAA_Incidents@hq.dhs.gov

(ii) The Contracting Officer should have known that the certified cost or pricing data in issue were defective even though the Contractor or subcontractor took no affirmative action to bring the character of the data to the attention of the Contracting Officer;

(iii) The contract was based on an agreement about the total cost of the contract and there was no agreement about the cost of each item procured under the contract; or

(iv) The Contractor or subcontractor did not submit a Certificate of Current Cost or Pricing Data.

(2)(i) Except as prohibited by subdivision (d)(2)(ii) of this clause, an offset in an amount determined appropriate by the Contracting Officer based upon the facts shall be allowed against the amount of a contract price reduction if—

(A) The Contractor certifies to the Contracting Officer that, to the best of the Contractor's knowledge and belief, the Contractor is entitled to the offset in the amount requested; and

(B) The Contractor proves that the certified cost or pricing data were available before the date of agreement on the price of the contract (or price of the modification) and that the data were not submitted before such date.

(ii) An offset shall not be allowed if—

(A) The understated data was known by the Contractor to be understated when the Certificate of Current

Cost or Pricing Data was signed; or

(B) The Government proves that the facts demonstrate that the contract price would not have increased in the amount to be offset even if the available data had been submitted before the date of agreement on price.

(e) If any reduction in the contract price under this clause reduces the price of items for which payment was made prior to the date of the modification reflecting the price reduction, the Contractor shall be liable to and shall pay the United States at the time such overpayment is repaid—

(1) Interest compounded daily, as required by 26 U.S.C. 6622, on the amount of such overpayment to be computed from the date(s) of overpayment to the Contractor to the date the Government is repaid by the Contractor at the applicable underpayment rate effective for each quarter prescribed by the Secretary of the Treasury under 26 U.S.C. 6621(a)(2); and

(2) A penalty equal to the amount of the overpayment, if the Contractor or subcontractor knowingly submitted certified cost or pricing data which were incomplete, inaccurate, or noncurrent.

52.214-28 (OCT 2021)

(DEVIATION)

SUBCONTRACTOR CERTIFIED COST OR PRICING DATA— MODIFICATIONS—SEALED

BIDDING (OCT 2021) (DEVIATION)

(a) The requirements of paragraphs (b) and (c) of this clause shall—

(1) Become operative only for any modification to this contract involving aggregate increases and/or decreases in costs, plus applicable profits, expected to exceed $2 million on the date of execution of the modification, and

(2) Be limited to such modifications.

(b) Before awarding any subcontract expected to exceed $2 million, on the date of agreement on price or the date of award, whichever is later, or before pricing any subcontract modifications involving aggregate increases and/or decreases in costs, plus applicable profits, expected to exceed $2 million, the Contractor shall require the subcontractor to submit certified cost or pricing data (actually or by specific identification in writing), as part of the subcontractor's proposal in accordance with Federal Acquisition Regulation (FAR) 15.408, Table 15-2 (to include any information reasonably required to explain the subcontractor's estimating process such as the judgmental factors applied and the mathematical or other methods used in the estimate, including those used in projecting from known data, and the nature and amount of any contingencies included in the price), unless an exception under FAR 15.403-1(b) applies. If the

$2 million threshold for submission of certified cost or pricing data specified is adjusted for inflation as set forth in FAR 1.109(a), then pursuant to FAR 1.109(d) the changed threshold applies throughout the remaining term of the contract, unless there is a subsequent threshold adjustment.

(c) The Contractor shall require the subcontractor to certify in substantially the form prescribed in subsection 15.406-2 of the Federal Acquisition Regulation that, to the best of its knowledge and belief, the data submitted under paragraph (b) above were accurate, complete, and current as of the date of agreement on the negotiated price of the subcontract or subcontract modification.

(d) The Contractor shall insert the substance of this clause, including this paragraph (d), in each subcontract that, when entered into, exceeds $2 million.

52.219-14 (DEVIATION) LIMITATIONS ON SUBCONTRACTING (DEVIATION 2023-07)

(a) This clause does not apply to the unrestricted portion of a partial set-aside.

(b) Definition. Similarly situated entity, as used in this clause, means a first-tier subcontractor, including an independent contractor, that—

(1) Has the same small business program status as that which qualified the prime contractor for the award (e.g., for a small business set-aside contract, any small business concern, without regard to its socioeconomic status); and

(2) Is considered small for the size standard under the North American Industry Classification System (NAICS) code the prime contractor assigned to the subcontract.

(c) Applicability. This clause applies only to—

(1) Contracts that have been set aside for any of the small business concerns identified in 19.000(a)(3);

(2) Part or parts of a multiple-award contract that have been set aside for any of the small business concerns identified in 19.000(a)(3);

(3) Contracts that have been awarded on a sole-source basis in accordance with subparts 19.8, 19.13, 19.14, and 19.15;

(4) Orders expected to exceed the simplified acquisition threshold and that are—

(i) Set aside for small business concerns under multiple-award contracts, as described in 8.405-5 and 16.505(b)(2)(i)(F); or

(ii) Issued directly to small business concerns under multiple-award contracts as described in 19.504(c)(1)(ii);

(5) Orders, regardless of dollar value, that are—

(i) Set aside in accordance with subparts 19.8, 19.13, 19.14, or 19.15 under multiple-award contracts, as described in 8.405- 5 and 16.505(b)(2)(i)(F); or

(ii) Issued directly to concerns that qualify for the programs described in subparts 19.8, 19.13, 19.14, or 19.15 under multiple-award contracts, as described in 19.504(c)(1)(ii); and

(6) Contracts using the HUBZone price evaluation preference to award to a HUBZone small business concern unless the concern waived the evaluation preference.

(d) Independent contractors. An independent contractor shall be considered a subcontractor.

(e) Limitations on subcontracting. By submission of an offer and execution of a contract, the Contractor agrees to the following requirements in the performance of a contract assigned a North American Industry Classification System (NAICS) code applicable to this contract:

(1) Services (except construction). It will not pay more than 50 percent of the amount paid by the Government for contract performance, excluding certain other direct costs and certain work performed outside the United States (see paragraph (e)(1)(i)), to subcontractors that are not similarly situated entities. Any work that a similarly situated entity further subcontracts will count towards the prime contractor's 50 percent subcontract amount that cannot be exceeded. When a contract includes both services and supplies, the 50 percent limitation shall apply only to the service portion of the contract.

(i) The following services may be excluded from the 50 percent limitation:

(A) Other direct costs, to the extent they are not the principal purpose of the acquisition and small business concerns do not provide the service. Examples include airline travel, work performed by a transportation or disposal entity under a contract assigned the environmental remediation NAICS code (562910), cloud computing services, or mass media purchases.

(B) Work performed outside the United States on awards made pursuant to the Foreign Assistance Act of 1961, or work performed outside the United States required to be performed by a local contractor.

(2) Supplies (other than procurement from a nonmanufacturer of such supplies). It will not pay more than 50 percent of the amount paid by the Government for contract performance, excluding the cost of materials, to subcontractors that are not similarly situated entities.

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