H-901 Revised 8 Dec 09.docx

H-901 On-time Delivery of Parts Availability. The Contractor will be required to provide 90% on-time delivery of parts based on delivery of items within 2 business days as required by the PBWS. The Program Manager will measure performance metrics monthly and reconcile annually. This data will be reviewed on a monthly basis to measure and document the Contractor’s performance which will also support approval of monthly payments for Parts Availability (X011, X012, and X013).

On-time delivery for final performance payment is 90% for the year. At the end of each period of performance, the annual reconciliation will be calculated. If after the annual assessment, parts availability is assessed at 90% or greater, the Contractor is authorized to bill for the amounts identified in Section B, Supplies of Service and Price/Costs, for Contract Line Item X015 is the performance availability identified in the PBWS Section 2, Delivery Schedule, and Section 4.2 of the PBWS are met.

The annual parts availability price will be divided by 13 to establish the 13th payment (parts availability incentive). Payment of the 13th payment as established by CLIN X015 is contingent upon achieving the availability metric of 90% or better.