08-R-0030-0003.doc

SECTION SF 30 BLOCK 14 CONTINUATION PAGE

SUMMARY OF CHANGES

SECTION H - SPECIAL CONTRACT REQUIREMENTS

The following have been modified:

H-903

VARIATION IN QUANTITY

During performance of this contract, the quantity of Test Measurement and Diagnostic Equipment (TMDE) required to be serviced may vary from the estimated amount stated in paragraph 1.2.5 of the Performance Work Statement. Upward variations shall not constitute a basis for adjustment of line item prices. Upward variations in the quantity of TMDE serviced shall be governed solely by the following procedure:

1) At the end of each calendar month, the average daily number of units of TMDE input for the month shall be determined by dividing the total number of units input for the month by the number of days worked in the month. A unit is considered to have been input for service when receipt by the contractor is recorded in the Facility and Equipment Maintenance System (FEMS) or a subsequent replacement information system. When calculating the average daily number of units of TMDE input, the value shall be rounded to the nearest whole number.

Example 1: Total units input for the month = 4,000, No. of days worked for the month = 21, Average daily units input = 4,000 ÷ 21 = 190.48 units/day, Rounded average daily units input = 190

Example 2: Total units input for the month = 3,100, No. of days worked for the month = 21, Average daily units input = 3,100 ÷ 21 = 147.62 units/day, Rounded average daily units input = 148

Example 3: Total units input for the month = 2,500, No. of days worked for the month = 21, Average daily units input = 2,500 ÷ 21 = 119.04 units/day, Rounded average daily units input = 119

2) If the average daily number of units of TMDE input for the calendar month is less than the amount stated in paragraph 1.2.5 of the Performance Work Statement, no adjustment shall be made. If the average daily number of units of TMDE input for the calendar month is greater than the amount stated in paragraph 1.2.5 of the Performance Work Statement, the gross quantity variance shall be determined by subtracting the average daily number of units of TMDE input for the month from the amount stated in paragraph 1.2.5 of the Performance Work Statement.

Example 1: Amount stated in paragraph 1.2.5 of the Performance Work Statement = 120, Rounded average daily units input = 191 units/day, Gross quantity variance = 120 – 191 = -71

Example 2: Amount stated in paragraph 1.2.5 of the Performance Work Statement = 120, Rounded average daily units input = 148 units/day, Gross quantity variance = 120 – 128 = -8

Example 3: Amount stated in paragraph 1.2.5 of the Performance Work Statement = 120, Rounded average daily units input = 119 units/day. No adjustment

3) The variance range shall be determined by multiplying the amount stated in paragraph 1.2.5 of the Performance Work Statement by 10%.

Examples 1, 2, 3: Amount stated in paragraph 1.2.5 of the Performance Work Statement = 120, Variance range = 120 x 10% = 12

4) If the absolute value of the gross quantity variance is not greater than the variance range, no adjustment is allowed. If the absolute value of the gross quantity variance is greater than the variance range, the net quantity variance shall be determined by subtracting the variance range from the absolute value of the gross quantity variance.

Example 1: Variance range = 12, Absolute value of the gross quantity variance = 71, Net quantity variance = 71 – 12 = 59

Example 2: Variance range = 12, Absolute value of the gross quantity variance = 8, No adjustment

5) The adjustment amount shall be determined by multiplying the net quantity variance times the applicable rate for CLIN X007 times the number of days worked in the month.

Example 1: Net quantity variance = 37, Adjustment amount = 37 x (CLIN X007 unit price) x 21

6) The adjustment amount shall be billed under CLIN X007 on the monthly invoice. The contractor shall notify the primary Government Quality Assurance Personnel at least five days prior to submitting an invoice that includes an adjustment pursuant to this clause.

Example 1: Bill adjustment amount under CLIN X007 on invoice

(End of Summary of Changes)