J85 IPE.pdf

FA8122-10-D-0012

ATTACHMENT ONE

INITIAL PRODUCTION EVALUATION (IPE)

(a) An IPE is to be conducted on one each of the master NSNs selected by the Government from the initial production quantity for each line item of the basic contract period. The purpose of the IPE is to ensure the Contractor’s clear understanding of the technical requirements and to evaluate the Contractor’s capability to produce a serviceable item as set forth in this contract. It is accomplished through item inspection, observing tests and a complete review of production procedures and processes. All IPE work will be performed by the Contractor under the precise production conditions and processes that will be used to repair the scheduled delivery quantities on the contract. The Contractor must assure the Government representatives witnessing the IPE, that the contractor is capable of performing all levels of testing, repair and/or modifications that may be required for compliance with the Performance Work Statement (PWS), even though each level of testing, repair or modification may not be required on each item in its actual overhaul/repair. The Contractor must have all test fixtures and production fixtures described in the tech order for each item or an acceptable substitute. An acceptable substitute must be approved in writing by the PCO prior to its use on any item.

(b) At least ten (10) working days prior to the availability of the required quantity of line items for the IPE, the contractor shall furnish written notice to the Procuring Contracting Officer (PCO). The Contractor will schedule the IPE far enough in advance to be able to deliver the first delivery increment on schedule upon receipt of approval from the PCO.

( c) The PCO shall, by written notice to the contractor within ten work days after the IPE is conducted, approve, conditionally approve, or disapprove such IPE. Continued production by the contractor piror to receipt of formal notification of IPE results will be at the Contractor’s risk. The notice of approval or conditional approval shall state any further action required of the contractor. A notice of disapproval shall cite the reasons therefore.

(d) If the IPE is disapproved by the Government, the contractor may be required, at the option of the Government, to repeat any part of or all of the IPE. After each notification by the Government of the requirement for an additional IPE, the contractor shall at no additional cost to the Government make any necessary changes, modifications, or repairs to the items overhauled/repaired. Therefore, the contractor shall perform the required additional IPE under the terms and conditions and within the time specified by the Government. All costs related to additional IPE shall be borne by the contractor. The Government reserves the right to require an equitable reduction of contract price for any extension of delivery or any additional costs to the Government related to an additional IPE.

(e) If the contractor fails to perform the tasks required for the IPE within the times or time specified, or if the PCO disapproves the IPE, the contractor shall be deemed to have failed to make progress within the meaning of the “Default” clause of the contract, and this contract shall be subject to termination for default: provided, that failure of the Government in such an event to terminate this contractor default shall not relieve the contractor of his responsibility to meet the specific work and quality requirements and delivery schedule for production quantities.

(f) If the item used in the IPE is not consumed or destroyed in testing, and unless otherwise provided in this contract, it may be delivered as part of the contract quantity if it meets all terms and conditions of acceptance. The Government has not identified any specific destructive testing requirements;

however, destructive testing may be required to investigate significant quality deficiencies identified during the IPE.

(g) In the event that the PCO does not approve, conditionally approve or disapprove the IPE within the time specified in (c) above, the PCO shall, upon timely written request from the contractor, make a determination of the delay incurred by the contractor thereby, and shall equitably adjust delivery or performance data or the contract price, or both, and any other contractual provision affected by such delay, in accordance with the procedures provided in the “Changes” clause. Failure to agree to any adjustments shall be a dispute concerning a question of “fact” within the meaning of the clause of this contract entitled “Disputes”.