HTC711-13-R-R009.doc

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Attached to
Thule AB Air Transportation Services Federal contract opportunity
Solicitation number
HTC711-13-R-R009
Issued by
Department of Defense United States Transportation Command

About this file

Request For Proposal (RFP) HTC711-13-R-R009

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Question_and_Answers_-_23_May_13.pdf PDF
HTC711-13-R-R009-0002.pdf PDF
Attachment_3_-_Fuel_Report_Template.pdf PDF
Attachment_1_-_Performance_Work_Statement.pdf PDF
HTC711-13-R-R009-0001.pdf PDF
Attachment_4_-_Past_Perf_Questionnaire.docx DOCX document
Attachment_2_-_Aircraft.doc DOC document
Attachment_3_-_Fuel_Report_Template.docx DOCX document
Attachment_1_-_Performance_Work_Statement.docx DOCX document
Attachment_1_-_Performance_Work_Statement.docx DOCX document

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Section SF 1449 - CONTINUATION SHEET

ITEM NO
SUPPLIES/SERVICES
ESTIMATED QUANTITY
UNIT
UNIT PRICE
ESTIMATED AMOUNT
13
Each

Charter Services

FFP

Round trip charter flights for movement of passengers and cargo between Copenhagen, Denmark and Thule Air Base (AB), Greenland IAW Performance Work Statement paragraphs 1.1 and 1.3, excluding paragraph 1.1.7.

FOB: Destination

SIGNAL CODE: K

ESTIMATED

NET AMT

ITEM NO
SUPPLIES/SERVICES
ESTIMATED QUANTITY
UNIT
UNIT PRICE
ESTIMATED AMOUNT
27
Each

Charter Services

Round trip charter services for movement of passengers and cargo between Kangerlussuaq, Greenland and Thule AB, Greenland IAW Performance Work Statement paragraphs 1.1 and 1.3, excluding paragraph 1.1.7.

ESTIMATED

ITEM NO
SUPPLIES/SERVICES
ESTIMATED QUANTITY
UNIT
UNIT PRICE
ESTIMATED AMOUNT
700
Each

Scheduled Service-Passenger

Scheduled services (non-charter) for the movement of passengers (one-way tickets) per year between Copenhagen, Denmark and Kangerlussauq, Greenland IAW Performance Work Statement paragraphs 1.2 and 1.3.

ESTIMATED

ITEM NO
SUPPLIES/SERVICES
ESTIMATED QUANTITY
UNIT
UNIT PRICE
ESTIMATED AMOUNT
8,000
Kilogram

Schedule Service-Cargo

Schedule services (non charter) for movements of cargo per year between Copenhagen, Denmark and Kangerlussauq, Greenland IAW Performance Work Statement paragraphs 1.2 and 1.3.

ESTIMATED

ITEM NO
SUPPLIES/SERVICES
ESTIMATED QUANTITY
UNIT
UNIT PRICE
ESTIMATED AMOUNT
12
Months

Terminal Services/Cargo Processing

Terminal services and Cargo processing IAW Performance Work Statement paragraph 1.1.7.

ESTIMATED

ITEM NO
SUPPLIES/SERVICES
EST. QUANTITY
UNIT
UNIT PRICE
EST. AMOUNT
1
Lot

Fuel Reimbursable-EPA

FP-EPA

Fuel adjustments IAW Performance Work Statement paragraph 1.4.1.

EST. NET AMT

ITEM NO
SUPPLIES/SERVICES
EST. QUANTITY
UNIT
UNIT PRICE
EST. AMOUNT
1
Lot

Reimbursables

T&M

Actual costs reimbursed for authorized expenditures IAW Performance Work Statement paragraph 1.4, excluding paragraph 1.4.1.

TOT ESTIMATED PRICE

CEILING PRICE

ITEM NO
SUPPLIES/SERVICES
ESTIMATED QUANTITY
UNIT
UNIT PRICE
ESTIMATED AMOUNT
13
Each
OPTION
Charter Services

FFP

Round trip charter flights for movement of passengers and cargo between Copenhagen, Denmark and Thule AB, Greenland IAW Performance Work Statement paragraphs 1.1 and 1.3, excluding paragraph 1.1.7.

ESTIMATED

ITEM NO
SUPPLIES/SERVICES
ESTIMATED QUANTITY
UNIT
UNIT PRICE
ESTIMATED AMOUNT
27
Each
OPTION
Charter Services

FFP

Round trip charter services for movement of passengers and cargo between Kangerlussuaq, Greenland and Thule AB, Greenland IAW Performance Work Statement paragraphs 1.1 and 1.3, excluding paragraph 1.1.7.

ESTIMATED

ITEM NO
SUPPLIES/SERVICES
ESTIMATED QUANTITY
UNIT
UNIT PRICE
ESTIMATED AMOUNT
700
Each
OPTION
Scheduled Service-Passenger

FFP

Scheduled services (non-charter) for the movement of passengers (one-way tickets) per year between Copenhagen, Denmark and Kangerlussauq, Greenland IAW Performance Work Statement paragraphs 1.2 and 1.3.

ESTIMATED

ITEM NO
SUPPLIES/SERVICES
ESTIMATED QUANTITY
UNIT
UNIT PRICE
ESTIMATED AMOUNT
8,000
Kilogram
OPTION
Schedule Service-Cargo

FFP

Schedule services (non charter) for movements of cargo per year between Copenhagen, Denmark and Kangerlussauq, Greenland IAW Performance Work Statement paragraphs 1.2 and 1.3.

ESTIMATED

ITEM NO
SUPPLIES/SERVICES
ESTIMATED QUANTITY
UNIT
UNIT PRICE
ESTIMATED AMOUNT
12
Months
OPTION
Terminal Services/Cargo Processing

FFP

Terminal services and Cargo processing IAW Performance Work Statement paragraph 1.1.7.

ESTIMATED

ITEM NO
SUPPLIES/SERVICES
EST. QUANTITY
UNIT
UNIT PRICE
EST. AMOUNT
1
Lot
OPTION
Fuel Reimbursable-EPA

FP-EPA

Fuel adjustments IAW Performance Work Statement paragraph 1.4.1.

ITEM NO
SUPPLIES/SERVICES
EST. QUANTITY
UNIT
UNIT PRICE
EST. AMOUNT
1
Lot
OPTION
Reimbursables

T&M

Actual costs reimbursed for authorized expenditures IAW Performance Work Statement paragraph 1.4, excluding paragraph 1.4.1.

ITEM NO
SUPPLIES/SERVICES
ESTIMATED QUANTITY
UNIT
UNIT PRICE
ESTIMATED AMOUNT
13
Each
OPTION
Charter Services

FFP

Round trip charter flights for movement of passengers and cargo between Copenhagen, Denmark and Thule AB, Greenland IAW Performance Work Statement paragraphs 1.1 and 1.3, excluding paragraph 1.1.7.

ESTIMATED

ITEM NO
SUPPLIES/SERVICES
ESTIMATED QUANTITY
UNIT
UNIT PRICE
ESTIMATED AMOUNT
27
Each
OPTION
Charter Services

FFP

Round trip charter services for movement of passengers and cargo between Kangerlussuaq, Greenland and Thule AB, Greenland IAW Performance Work Statement paragraphs 1.1 and 1.3, excluding paragraph 1.1.7.

ESTIMATED

ITEM NO
SUPPLIES/SERVICES
ESTIMATED QUANTITY
UNIT
UNIT PRICE
ESTIMATED AMOUNT
700
Each
OPTION
Scheduled Service-Passenger

FFP

Scheduled services (non-charter) for the movement of passengers (one-way tickets) per year between Copenhagen, Denmark and Kangerlussauq, Greenland IAW Performance Work Statement paragraphs 1.2 and 1.3.

ESTIMATED

ITEM NO
SUPPLIES/SERVICES
ESTIMATED QUANTITY
UNIT
UNIT PRICE
ESTIMATED AMOUNT
8,000
Kilogram
OPTION
Schedule Service-Cargo

FFP

Schedule services (non charter) for movements of cargo per year between Copenhagen, Denmark and Kangerlussauq, Greenland IAW Performance Work Statement paragraphs 1.2 and 1.3.

ESTIMATED

ITEM NO
SUPPLIES/SERVICES
ESTIMATED QUANTITY
UNIT
UNIT PRICE
ESTIMATED AMOUNT
12
Months
OPTION
Terminal Services/Cargo Processing

FFP

Terminal services and Cargo processing IAW Performance Work Statement paragraph 1.1.7.

ESTIMATED

ITEM NO
SUPPLIES/SERVICES
EST. QUANTITY
UNIT
UNIT PRICE
EST. AMOUNT
1
Lot
OPTION
Fuel Reimbursable-EPA

FP-EPA

Fuel adjustments IAW Performance Work Statement paragraph 1.4.1.

ITEM NO
SUPPLIES/SERVICES
EST. QUANTITY
UNIT
UNIT PRICE
EST. AMOUNT
1
Lot
OPTION
Reimbursables

T&M

Actual costs reimbursed for authorized expenditures IAW Performance Work Statement paragraph 1.4, excluding paragraph 1.4.1.

ITEM NO
SUPPLIES/SERVICES
ESTIMATED QUANTITY
UNIT
UNIT PRICE
ESTIMATED AMOUNT
13
Each
OPTION
Charter Services

FFP

Round trip charter flights for movement of passengers and cargo between Copenhagen, Denmark and Thule AB, Greenland IAW Performance Work Statement paragraphs 1.1 and 1.3, excluding paragraph 1.1.7.

ESTIMATED

ITEM NO
SUPPLIES/SERVICES
ESTIMATED QUANTITY
UNIT
UNIT PRICE
ESTIMATED AMOUNT
27
Each
OPTION
Charter Services

FFP

Round trip charter services for movement of passengers and cargo between Kangerlussuaq, Greenland and Thule AB, Greenland IAW Performance Work Statement paragraphs 1.1 and 1.3, excluding paragraph 1.1.7.

ESTIMATED

ITEM NO
SUPPLIES/SERVICES
ESTIMATED QUANTITY
UNIT
UNIT PRICE
ESTIMATED AMOUNT
700
Each
OPTION
Scheduled Service-Passenger

FFP

Scheduled services (non-charter) for the movement of passengers (one-way tickets) per year between Copenhagen, Denmark and Kangerlussauq, Greenland IAW Performance Work Statement paragraphs 1.2 and 1.3.

ESTIMATED

ITEM NO
SUPPLIES/SERVICES
ESTIMATED QUANTITY
UNIT
UNIT PRICE
ESTIMATED AMOUNT
8,000
Kilogram
OPTION
Schedule Service-Cargo

FFP

Schedule services (non charter) for movements of cargo per year between Copenhagen, Denmark and Kangerlussauq, Greenland IAW Performance Work Statement paragraphs 1.2 and 1.3.

ESTIMATED

ITEM NO
SUPPLIES/SERVICES
ESTIMATED QUANTITY
UNIT
UNIT PRICE
ESTIMATED AMOUNT
12
Months
OPTION
Terminal Services/Cargo Processing

FFP

Terminal services and Cargo processing IAW Performance Work Statement paragraph 1.1.7.

ESTIMATED

ITEM NO
SUPPLIES/SERVICES
EST. QUANTITY
UNIT
UNIT PRICE
EST. AMOUNT
1
Lot
OPTION
Fuel Reimbursable-EPA

FP-EPA

Fuel adjustments IAW Performance Work Statement paragraph 1.4.1.

ITEM NO
SUPPLIES/SERVICES
EST. QUANTITY
UNIT
UNIT PRICE
EST. AMOUNT
1
Lot
OPTION
Reimbursables

T&M

Actual costs reimbursed for authorized expenditures IAW Performance Work Statement paragraph 1.4, excluding paragraph 1.4.1.

ITEM NO
SUPPLIES/SERVICES
ESTIMATED QUANTITY
UNIT
UNIT PRICE
ESTIMATED AMOUNT
13
Each
OPTION
Charter Services

FFP

Round trip charter flights for movement of passengers and cargo between Copenhagen, Denmark and Thule AB, Greenland IAW Performance Work Statement paragraphs 1.1 and 1.3, excluding paragraph 1.1.7.

ESTIMATED

ITEM NO
SUPPLIES/SERVICES
ESTIMATED QUANTITY
UNIT
UNIT PRICE
ESTIMATED AMOUNT
27
Each
OPTION
Charter Services

FFP

Round trip charter services for movement of passengers and cargo between Kangerlussuaq, Greenland and Thule AB, Greenland IAW Performance Work Statement paragraphs 1.1 and 1.3, excluding paragraph 1.1.7.

ESTIMATED

ITEM NO
SUPPLIES/SERVICES
ESTIMATED QUANTITY
UNIT
UNIT PRICE
ESTIMATED AMOUNT
700
Each
OPTION
Scheduled Service-Passenger

FFP

Scheduled services (non-charter) for the movement of passengers (one-way tickets) per year between Copenhagen, Denmark and Kangerlussauq, Greenland IAW Performance Work Statement paragraphs 1.2 and 1.3.

ESTIMATED

ITEM NO
SUPPLIES/SERVICES
ESTIMATED QUANTITY
UNIT
UNIT PRICE
ESTIMATED AMOUNT
8,000
Kilogram
OPTION
Schedule Service-Cargo

FFP

Schedule services (non charter) for movements of cargo per year between Copenhagen, Denmark and Kangerlussauq, Greenland IAW Performance Work Statement paragraphs 1.2 and 1.3.

ESTIMATED

ITEM NO
SUPPLIES/SERVICES
ESTIMATED QUANTITY
UNIT
UNIT PRICE
ESTIMATED AMOUNT
12
Months
OPTION
Terminal Services/Cargo Processing

FFP

Terminal services and Cargo processing IAW Performance Work Statement paragraph 1.1.7.

ESTIMATED

ITEM NO
SUPPLIES/SERVICES
EST. QUANTITY
UNIT
UNIT PRICE
EST. AMOUNT
1
Lot
OPTION
Fuel Reimbursable-EPA

FP-EPA

Fuel adjustments IAW Performance Work Statement paragraph 1.4.1.

ITEM NO
SUPPLIES/SERVICES
EST. QUANTITY
UNIT
UNIT PRICE
EST. AMOUNT
1
Lot
OPTION
Reimbursables

T&M

Actual costs reimbursed for authorized expenditures IAW Performance Work Statement paragraph 1.4, excluding paragraph 1.4.1.

CONTRACT MINIMUM/MAXIMUM QUANTITY AND CONTRACT VALUE

The minimum quantity and contract value for all orders issued against this contract shall not be less than the minimum quantity and contract value stated in the following table. The maximum quantity and contract value for all orders issued against this contract shall not exceed the maximum quantity and contract value stated in the following table.

MINIMUM

QUANTITY

MINIMUM

AMOUNT

MAXIMUM

QUANTITY

MAXIMUM

AMOUNT

$50,000,000.00

INSPECTION AND ACCEPTANCE TERMS

Supplies/services will be inspected/accepted at:

CLIN
INSPECT AT
INSPECT BY
ACCEPT AT
ACCEPT BY
0001
Destination
Government
Destination
Government
0002
Destination
Government
Destination
Government
0003
Destination
Government
Destination
Government
0004
Destination
Government
Destination
Government
0005
Destination
Government
Destination
Government
0006
Destination
Government
Destination
Government
0007
Destination
Government
Destination
Government
1001
Destination
Government
Destination
Government
1002
Destination
Government
Destination
Government
1003
Destination
Government
Destination
Government
1004
Destination
Government
Destination
Government
1005
Destination
Government
Destination
Government
1006
Destination
Government
Destination
Government
1007
Destination
Government
Destination
Government
2001
Destination
Government
Destination
Government
2002
Destination
Government
Destination
Government
2003
Destination
Government
Destination
Government
2004
Destination
Government
Destination
Government
2005
Destination
Government
Destination
Government
2006
Destination
Government
Destination
Government
2007
Destination
Government
Destination
Government
3001
Destination
Government
Destination
Government
3002
Destination
Government
Destination
Government
3003
Destination
Government
Destination
Government
3004
Destination
Government
Destination
Government
3005
Destination
Government
Destination
Government
3006
Destination
Government
Destination
Government
3007
Destination
Government
Destination
Government
4001
Destination
Government
Destination
Government
4002
Destination
Government
Destination
Government
4003
Destination
Government
Destination
Government
4004
Destination
Government
Destination
Government
4005
Destination
Government
Destination
Government
4006
Destination
Government
Destination
Government
4007
Destination
Government
Destination
Government

DELIVERY INFORMATION

CLIN
DELIVERY DATE
QUANTITY
SHIP TO ADDRESS
UIC
0001
POP 01-OCT-2013 TO

30-SEP-2014

N/A
N/A
0002
POP 01-OCT-2013 TO

30-SEP-2014

N/A
N/A
0003
POP 01-OCT-2013 TO

30-SEP-2014

N/A
N/A
0004
POP 01-OCT-2013 TO

30-SEP-2014

N/A
N/A
0005
POP 01-OCT-2013 TO

30-SEP-2014

N/A
N/A
0006
POP 01-OCT-2013 TO

30-SEP-2014

N/A
N/A
0007
POP 01-OCT-2013 TO

30-SEP-2014

N/A
N/A
1001
POP 01-OCT-2014 TO

30-SEP-2015

N/A
N/A
1002
POP 01-OCT-2014 TO

30-SEP-2015

N/A
N/A
1003
POP 01-OCT-2014 TO

30-SEP-2015

N/A
N/A
1004
POP 01-OCT-2014 TO

30-SEP-2015

N/A
N/A
1005
POP 01-OCT-2014 TO

30-SEP-2015

N/A
N/A
1006
POP 01-OCT-2014 TO

30-SEP-2015

N/A
N/A
1007
POP 01-OCT-2014 TO

30-SEP-2015

N/A
N/A
2001
POP 01-OCT-2015 TO

30-SEP-2016

N/A
N/A
2002
POP 01-OCT-2015 TO

30-SEP-2016

N/A
N/A
2003
POP 01-OCT-2015 TO

30-SEP-2016

N/A
N/A
2004
POP 01-OCT-2015 TO

30-SEP-2016

N/A
N/A
2005
POP 01-OCT-2015 TO

30-SEP-2016

N/A
N/A
2006
POP 01-OCT-2015 TO

30-SEP-2016

N/A
N/A
2007
POP 01-OCT-2015 TO

30-SEP-2016

N/A
N/A
3001
POP 01-OCT-2016 TO

30-SEP-2017

N/A
N/A
3002
POP 01-OCT-2016 TO

30-SEP-2017

N/A
N/A
3003
POP 01-OCT-2016 TO

30-SEP-2017

N/A
N/A
3004
POP 01-OCT-2016 TO

30-SEP-2017

N/A
N/A
3005
POP 01-OCT-2016 TO

30-SEP-2017

N/A
N/A
3006
POP 01-OCT-2016 TO

30-SEP-2017

N/A
N/A
3007
POP 01-OCT-2016 TO

30-SEP-2017

N/A
N/A
4001
POP 01-OCT-2017 TO

30-SEP-2018

N/A
N/A
4002
POP 01-OCT-2017 TO

30-SEP-2018

N/A
N/A
4003
POP 01-OCT-2017 TO

30-SEP-2018

N/A
N/A
4004
POP 01-OCT-2017 TO

30-SEP-2018

N/A
N/A
4005
POP 01-OCT-2017 TO

30-SEP-2018

N/A
N/A
4006
POP 01-OCT-2017 TO

30-SEP-2018

N/A
N/A
4007
POP 01-OCT-2017 TO

30-SEP-2018

N/A
N/A

CLAUSES INCORPORATED BY REFERENCE

52.203-3
Gratuities
APR 1984
52.203-6 Alt I
Restrictions On Subcontractor Sales To The Government (Sep 2006) -- Alternate I
OCT 1995
52.203-13
Contractor Code of Business Ethics and Conduct
APR 2010
52.204-10
Reporting Executive Compensation and First-Tier Subcontract Awards
AUG 2012
52.209-6
Protecting the Government's Interest When Subcontracting With Contractors Debarred, Suspended, or Proposed for Debarment
DEC 2010
52.209-9
Updates of Publicly Available Information Regarding Responsibility Matters
FEB 2012
52.212-4
Contract Terms and Conditions--Commercial Items
FEB 2012
52.216-31
Time-and-Materials/Labor-Hour Proposal Requirements--Commercial Item Acquisition
FEB 2007
52.222-19
Child Labor -- Cooperation with Authorities and Remedies
MAR 2012
52.222-21
Prohibition Of Segregated Facilities
FEB 1999
52.222-26
Equal Opportunity
MAR 2007
52.222-35
Equal Opportunity for Veterans
SEP 2010
52.222-36
Affirmative Action For Workers With Disabilities
OCT 2010
52.222-37
Employment Reports on Veterans
SEP 2010
52.222-50 Alt I
Combating Trafficking in Persons (Aug 2007) Alternate I
AUG 2007
52.225-13
Restrictions on Certain Foreign Purchases
JUN 2008
52.225-18
Place of Manufacture
SEP 2006
52.228-3
Worker's Compensation Insurance (Defense Base Act)
APR 1984
52.229-6
Taxes--Foreign Fixed-Price Contracts
FEB 2013
52.229-7
Taxes--Fixed Price Contracts With Foreign Governments
JAN 1991
52.232-18
Availability Of Funds
APR 1984
52.233-3
Protest After Award
AUG 1996
52.233-4
Applicable Law for Breach of Contract Claim
OCT 2004
52.237-3
Continuity Of Services
JAN 1991
52.242-15
Stop-Work Order
AUG 1989
52.247-5
Familiarization With Conditions
APR 1984
52.247-21
Contractor Liability for Personal Injury and/or Property Damage
APR 1984
52.247-22
Contractor Liability for Loss of and/or Damage to Freight Other Than Household Goods
APR 1984
252.201-7000
Contracting Officer's Representative
DEC 1991
252.203-7003
Agency Office of the Inspector General
DEC 2012
252.203-7005
Representation Relating to Compensation of Former DoD Officials
NOV 2011
252.204-7000
Disclosure Of Information
DEC 1991
252.204-7003
Control Of Government Personnel Work Product
APR 1992
252.209-7004
Subcontracting With Firms That Are Owned or Controlled By The Government of a Terrorist Country
DEC 2006
252.222-7002
Compliance With Local Labor Laws (Overseas)
JUN 1997
252.225-7012
Preference For Certain Domestic Commodities
DEC 2012
252.225-7041
Correspondence in English
JUN 1997
252.229-7000
Invoices Exclusive of Taxes or Duties
JUN 1997
252.232-7003
Electronic Submission of Payment Requests and Receiving Reports
JUN 2012
252.232-7010
Levies on Contract Payments
DEC 2006
252.233-7001
Choice of Law (Overseas)
JUN 1997
252.237-7010
Prohibition on Interrogation of Detainees by Contractor Personnel
NOV 2010
252.243-7001
Pricing Of Contract Modifications
DEC 1991
252.243-7002
Requests for Equitable Adjustment
DEC 2012
252.247-7023
Transportation of Supplies by Sea
MAY 2002
252.247-7024
Notification Of Transportation Of Supplies By Sea
MAR 2000

CLAUSES INCORPORATED BY FULL TEXT

52.212-5 CONTRACT TERMS AND CONDITIONS REQUIRED TO IMPLEMENT STATUTES OR EXECUTIVE ORDERS--COMMERCIAL ITEMS (JAN 2013) (DEVIATION)

(a) Comptroller General Examination of Record. The Contractor shall comply with the provisions of this paragraph (a) if this contract was awarded using other than sealed bid, is in excess of the simplified acquisition threshold, and does not contain the clause at 52.215-2, Audit and Records-Negotiation.

(1) The Comptroller General of the United States, or an authorized representative of the Comptroller General, shall have access to and right to examine any of the Contractor's directly pertinent records involving transactions related to this contract.

(2) The Contractor shall make available at its offices at all reasonable times, the records, materials, and other evidence for examination, audit, or reproduction, until 3 years after final payment under this contract or for any shorter period specified in FAR Subpart 4.7, Contractor Records Retention, of the other clauses of this contract. If this contract is completely or partially terminated, the records relating to the work terminated shall be made available for 3 years after any resulting final termination settlement. Records relating to appeals under the disputes clause or to litigation or the settlement of claims arising under or relating to this contract shall be made available until such appeals, litigation, or claims are finally resolved.

(3) As used in this clause, records include books, documents, accounting procedures and practices, and other data, regardless of type and regardless of form. This does not require the Contractor to create or maintain any record that the Contractor does not maintain in the ordinary course of business or pursuant to a provision of law.

(b)(1) Notwithstanding the requirements of any other clause in this contract, the Contractor is not required to flow down any FAR clause, other than those in this paragraph (b)(1) in a subcontract for commercial items. Unless otherwise indicated below, the extent of the flow down shall be as required by the clause-

(i) 52.203-13, Contractor Code of Business Ethics and Conduct (APR 2010) (Pub. L. 110-252, Title VI, Chapter 1 (41 U.S.C. 251 note).

(ii) 52.219-8, Utilization of Small Business Concerns (DEC 2010) (15 U.S.C. 637(d)(2) and (3)), in all subcontracts that offer further subcontracting opportunities. If the subcontract (except subcontracts to small business concerns) exceeds $650,000 ($1.5 million for construction of any public facility), the subcontractor must include 52.219-8 in lower tier subcontracts that offer subcontracting opportunities.

(iii) Reserved.

(iv) 52.222-26, Equal Opportunity (MAR 2007) (E.O. 11246).

(v) 52.222-35, Equal Opportunity for Veterans (SEP 2010) (38 U.S.C. 4212).

(vi) 52.222-36, Affirmative Action for Workers with Disabilities (OCT 2010) (29 U.S.C. 793).

(vii) 52.222-40, Notification of Employee Rights Under the National Labor Relations Act (DEC 2010) (E.O. 13496). Flow down required in accordance with paragraph (f) of FAR clause 52.222-40.

(viii) 52.222-41, Service Contract Act of 1965 (Nov 2007) (41 U.S.C. 351, et seq.).

(ix) 52.222-50, Combating Trafficking in Persons (FEB 2009) (22 U.S.C. 7104(g)).

___ Alternate I (AUG 2007) of 52.222-50 (22 U.S.C. 7104(g)).

(x) 52.222-51, Exemption from Application of the Service Contract Act to Contracts for Maintenance, Calibration, or Repair of Certain Equipment--Requirements (Nov 2007) (41 U.S.C. 351, et seq.).

(xi) 52.222-53, Exemption from Application of the Service Contract Act to Contracts for Certain Services--Requirements (FEB 2009) (41 U.S.C. 351, et seq.).

(xii) 52.222-54, Employment Eligibility Verification (JUL 2012).

(xiii) 52.226-6, Promoting Excess Food Donation to Nonprofit Organizations. (MAR 2009) (Pub. L. 110-247). Flow down required in accordance with paragraph (e) of FAR clause 52.226-6.

(xiv) 52.247-64, Preference for Privately Owned U.S.-Flag Commercial Vessels (FEB 2006) (46 U.S.C. Appx 1241(b) and 10 U.S.C. 2631). Flow down required in accordance with paragraph (d) of FAR clause 52.247-64.

(2) While not required, the contractor may include in its subcontracts for commercial items a minimal number of additional clauses necessary to satisfy its contractual obligations.

(End of clause)

52.216-18 Ordering. (OCT 1995)

(a) Any supplies and services to be furnished under this contract shall be ordered by issuance of delivery orders or task orders by the individuals or activities designated in the Schedule. Such orders may be issued 1 Oct 13 through 31 Mar 19 (inclusive of 6-month extension).

(b) All delivery orders or task orders are subject to the terms and conditions of this contract. In the event of conflict between a delivery order or task order and this contract, the contract shall control.

(c) If mailed, a delivery order or task order is considered "issued" when the Government deposits the order in the mail. Orders may be issued orally, by facsimile, or by electronic commerce methods only if authorized in the Schedule.

(End of clause)

52.216-19 Order Limitations. (OCT 1995)

(a) Minimum order. When the Government requires supplies or services covered by this contract in an amount of less than $1.00, the Government is not obligated to purchase, nor is the Contractor obligated to furnish, those supplies or services under the contract.

(b) Maximum order. The Contractor is not obligated to honor:

(1) Any order for a single item in excess of $1,000,000;

(2) Any order for a combination of items in excess of $1,000,000; or

(3) A series of orders from the same ordering office within one (1) day that together call for quantities exceeding the limitation in subparagraph (1) or (2) above.

(c) If this is a requirements contract (i.e., includes the Requirements clause at subsection 52.216-21 of the Federal Acquisition Regulation (FAR)), the Government is not required to order a part of any one requirement from the Contractor if that requirement exceeds the maximum-order limitations in paragraph (b) above.

(d) Notwithstanding paragraphs (b) and (c) above, the Contractor shall honor any order exceeding the maximum order limitations in paragraph (b), unless that order (or orders) is returned to the ordering office within one (1) day after issuance, with written notice stating the Contractor's intent not to ship the item (or items) called for and the reasons. Upon receiving this notice, the Government may acquire the supplies or services from another source.

(End of clause)

52.216-21 REQUIREMENTS (OCT 1995)

(a) This is a requirements contract for the supplies or services specified, and effective for the period stated, in the Schedule. The quantities of supplies or services specified in the Schedule are estimates only and are not purchased by this contract. Except as this contract may otherwise provide, if the Government's requirements do not result in orders in the quantities described as "estimated'' or "maximum" in the Schedule, that fact shall not constitute the basis for an equitable price adjustment.

(b) Delivery or performance shall be made only as authorized by orders issued in accordance with the Ordering clause. Subject to any limitations in the Order Limitations clause or elsewhere in this contract, the Contractor shall furnish to the Government all supplies or services specified in the Schedule and called for by orders issued in accordance with the Ordering clause. The Government may issue orders requiring delivery to multiple destinations or performance at multiple locations.

(c) Except as this contract otherwise provides, the Government shall order from the Contractor all the supplies or services specified in the Schedule that are required to be purchased by the Government activity or activities specified in the Schedule.

(d) The Government is not required to purchase from the Contractor requirements in excess of any limit on total orders under this contract.

(e) If the Government urgently requires delivery of any quantity of an item before the earliest date that delivery may be specified under this contract, and if the Contractor will not accept an order providing for the accelerated delivery, the Government may acquire the urgently required goods or services from another source.

(f) Any order issued during the effective period of this contract and not completed within that period shall be completed by the Contractor within the time specified in the order. The contract shall govern the Contractor's and Government's rights and obligations with respect to that order to the same extent as if the order were completed during the contract's effective period; provided, that the Contractor shall not be required to make any deliveries under this contract after 14 calendar days following contract expiration.

(End of clause)

52.217-8 OPTION TO EXTEND SERVICES (NOV 1999)

The Government may require continued performance of any services within the limits and at the rates specified in the contract. These rates may be adjusted only as a result of revisions to prevailing labor rates provided by the Secretary of Labor. The option provision may be exercised more than once, but the total extension of performance hereunder shall not exceed 6 months. The Contracting Officer may exercise the option by written notice to the Contractor within 15 calendar days.

(End of clause)

52.217-9 OPTION TO EXTEND THE TERM OF THE CONTRACT (MAR 2000)

(a) The Government may extend the term of this contract by written notice to the Contractor within 15 calendar days; provided that the Government gives the Contractor a preliminary written notice of its intent to extend at least 60 calendar days before the contract expires. The preliminary notice does not commit the Government to an extension.

(b) If the Government exercises this option, the extended contract shall be considered to include this option clause.

(c) The total duration of this contract, including the exercise of any options under this clause, shall not exceed 66 months.

(End of clause)

52.252-2 CLAUSES INCORPORATED BY REFERENCE (FEB 1998)

This contract incorporates one or more clauses by reference, with the same force and effect as if they were given in full text. Upon request, the Contracting Officer will make their full text available. Also, the full text of a clause may be accessed electronically at this/these address(es):

http:farsite.hill.af.mil/ http://farsite.hill.af.mil/vfdfara.htm or http://farsite.hill.af.mil/vfustca.htm (End of clause)

52.252-6 AUTHORIZED DEVIATIONS IN CLAUSES (APR 1984)

(a) The use in this solicitation or contract of any Federal Acquisition Regulation (48 CFR Chapter 1) clause with an authorized deviation is indicated by the addition of "(DEVIATION)" after the date of the clause.

(b) The use in this solicitation or contract of any Department of Defense Supplement to the Federal Acquisition

Regulations (48 CFR Chapter 2) clause with an authorized deviation is indicated by the addition of "(DEVIATION)" after the name of the regulation.

(End of clause)

252.212-7001 CONTRACT TERMS AND CONDITIONS REQUIRED TO IMPLEMENT STATUTES OR EXECUTIVE ORDERS APPLICABLE TO DEFENSE ACQUISITIONS OF COMMERCIAL ITEMS (DEC 2010) (DEVIATION)

(a) In addition to the clauses listed in paragraph (b) of the Contract Terms and Conditions Required to Implement Statutes or Executive Orders--Commercial Items clause of this contract (FAR 52.212-5) (OCT 2010) (DEVIATION), the Contractor shall include the terms of the following clause, if applicable, in subcontracts for commercial items or commercial components, awarded at any tier under this contract:

252.237-7010

252.237-7019 Prohibition on Interrogation of Detainees by Contractor Personnel (NOV 2010) (Section 1038 of Pub. L. 111-84).

Training for Contractor Personnel Interacting with Detainees (SEP 2006) (Section 1092 of Pub. L. 108-375).

252.247-7003
Pass-Through of Motor Carrier Fuel Surcharge Adjustment to the Cost Bearer (JUL 2009) (Section 884 of Public Law 110-417)
252.247-7023
Transportation of Supplies by Sea (MAY 2002) (10 U.S.C. 2631)
252.247-7024
Notification of Transportation of Supplies by Sea (MAR 2000) (10 U.S.C. 2631)

(End of clause)

5552.216-9001 Economic Price Adjustment based on Actual Cost of Fuel – Airlift (FEB 2009) ALT I (FEB 2009)

In order to protect the contractor and the government from significant market fluctuations in the price of fuel, an adjustment will be made based on actual costs incurred. Adjustments will be made as indicated below.

(a) Economic price adjustment (EPA) pursuant to this clause is limited to changes in the contractor’s cost for fuel only.

(b) Allowable fuel adjustments will be made upward or downward only if the price of fuel varies by more than one cent per gallon from the following pegged rate for fuel:

FUEL TYPE

PEGGED RATE(Base Price)

J8

$4.72

(1) When the average price per gallon paid by the contractor is greater than the established base price indicated above by more than $.01, the government will reimburse the contractor the difference between the price paid and the established base price.

(2) When the average price per gallon paid by the contractor is below the established base price indicated above by more than $.01, the contractor will reimburse the government the difference between the price paid and the established base price. Under these circumstances, the contracting officer will issue a demand letter and funds will be reimbursed as directed.

(c) Required reports adjustments shall be provided on a per mission basis no later than 30 days after completion of the mission. A sample report format is provided as an attachment to the contract.

(d) The actual average cost per gallon under this EPA clause shall be rounded to four decimal positions (e.g., $2.6308)

(e) For the contracting officer to consider a request for adjustment, the contractor shall submit data that clearly supports the request for adjustment. At a minimum, the contractor shall submit: 1) total mileage flown in performance of the USTRANSCOM contract 2) fuel costs associated with that performance, and 3) associated financial data or receipts, if requested by the Contracting Officer.

(f) The following steps will be taken to determine the adjustment:

(1) The contractor’s fuel burn rate, established in the List of Aircraft in the contract, is multiplied by the total mileage flown in performance of the contract. In the case of a substitute aircraft not listed in the schedule, the lower burn rate of the substitute aircraft or the aircraft normally used in performance of the contract shall be used.

(2) The product is then multiplied by the difference between the average price per gallon paid and the established base price in the contract (also known as the variance).

Example:

Miles flown in support of the USTRANSCOM contract = 23,654

Burn rate for aircraft type (in schedule) = 4.21 gallons per mile

Base price of fuel established in the contract = $2.50

Actual average cost per gallon = $2.6308

Calculation:

Miles * Burn Rate * EPA Price Variance = Adjustment

23,654 * 4.21 = 99,583.34* $0.1308 = $13,025.50

(End of Clause)

5552.216-9003 USTRANSCOM TASK AND DELIVERY ORDER OMBUDSMAN (JUNE 2009)

In accordance with FAR 16.505(b)(6), the individual identified below is designated as the USTRANSCOM Task and Delivery-Order Ombudsman. The ombudsman is an independent official designated to review contractor complaints and to ensure contractors are afforded a fair opportunity to be considered, consistent with the procedures in the contract. Consulting the ombudsman does not relieve the contractor from performance requirements in the contract, nor alter or postpone any timelines for any other processes. Interested parties should first address their concerns, issues, disagreements, and/or recommendations to the contracting officer for resolution. If resolution cannot be made by the contracting officer, concerned parties may contact:

Chief, Business Support/Policy Division

Telephone Number: 618-220-7021 FAX: 618-220-7959

5552.223-9001HEALTH AND SAFETY ON GOVERNMENT INSTALLATIONS (APRIL 2007)

(a) In performing work under this contract on a Government installation, the contractor shall:

(1) Comply with the specific health and safety requirements established by this contract;

(2) Comply with the health and safety rules of the Government installation that concern related activities not directly addressed in this contract;

(3) Take all reasonable steps and precautions to prevent accidents and preserve the health and safety of contractor and Government personnel performing or in any way coming in contact with the performance of this contract; and

(4) Take such additional immediate precautions as the contracting officer may reasonably require for health and safety purposes.

(b) The contracting officer may, by written order, direct Air Force Occupational safety and Health (AFOSH) Standards and/or health/safety standards as may be required in the performance of this contract and any adjustments resulting from such direction will be in accordance with the Changes clause of this contract.

(c) Any violation of these health and safety rules and requirements, unless promptly corrected as directed by the contracting officer, shall be grounds for termination of this contract in accordance with the Default clause of this contract.

(End of Clause)

5552.242-9000 COMMON ACCESS CARDS (CACs) FOR CONTRACTOR PERSONNEL (NOV 2011)

(a) When contractor performance is required on government installation(s)/location(s), contractors shall ensure Common Access Cards (CACs) are obtained by all contract or subcontract employees who meet one or both of the following criteria:

(1) Require long-term logical access to Department of Defense computer networks and systems in either:

(i) the unclassified environment; or

(ii) the classified environment where authorized by governing security directives.

(2) Performs work on a contract, which requires the use of a CAC for installation entry control or physical access to facilities and buildings.

(b) Contractors and their employees shall use the following procedures to obtain CACs:

(1) Contractors shall provide a listing of their employees that will require a CAC to the contracting officer. The listing will contain the following information in order for a CAC application to be created in the Contractor Verification System (CVS): last, middle, and first names; Social Security Number (SSN) or foreign identification number (FIN), as applicable; Date of Birth; email address; the contract number; and the contract end date. The contracting officer will provide a copy of the list to the government representative in the local organization designated to authorize issuance of contractor CACs (i.e., Trusted Agent (TA)). The TA will then create a CAC application in the Contractor Verification System (CVS.) The CVS TA on this contract is _______________________________________________________________. (Name, e-mail and phone number).

(2) Once the TA has created the CAC application, a temporary login/password will be generated in CVS. The TA will notify each contractor employee when his/her application is created and will securely distribute the login/password to that contractor employee. Each contractor employee will then enter the CVS web site using the temporary login/password and complete the CAC application and submit it back to the TA. This will require the contractor to obtain a Defense Knowledge On-line or similar .mil domain e-mail account working with the sponsoring TA indicated above.

(3) If contractor employees will not require access to classified information, the contractor will submit a compiled list of names with biographical data to include SSN or FIN on each employee requiring a CAC. Upon verification by security office ( name, e-mail and phone number) __________________________, those names who do not meet the background investigation criteria for a CAC will be required to complete the Questionnaire for Non-Sensitive Positions (SF85), located at www.opm.gov/forms/pdf_fill/SF85.pdf, and submit fingerprint cards (FD-258) to (security office contact information above or as appropriate if different) _______________________________________ who will verify each employee and then forward the documents to the servicing Security Office _____________________________________. The questionnaires and fingerprint cards will be forwarded by the Security Office to OPM who will conduct a National Agency Check with written Inquiries (NACI) background investigation

(4) Before any interim credential is authorized by the TA, the contractor employee must submit an accurate and complete signed application, with FD-258 attached. Upon the favorable review by the security office of the name, fingerprint, and criminal records check, the interim CAC application may be approved.

(5) If contractor employees will require access to classified information, the contractor’s company Facility Security Officer processes the Questionnaire for National Security Positions (SF86) and the fingerprint cards (FD-258) and submits them directly to the Defense Industrial Security Clearance Office (DISCO). In this instance, before the TA approves the CAC application in CVS, the TA must verify that the background investigation, name, fingerprint and criminal records check has been favorably adjudicated before the application for CVS can be processed.

(6) Once the TA has approved the CAC application, the TA will inform the contractor employee to proceed to the nearest CAC issuance workstation (usually located within the DEERS/RAPIDS website (insert website) with two forms of picture identification as indicated on the website. CAC issuance workstation personnel will then issue the CAC.

(c) While visiting or performing work on government installation(s)/location(s), contractor employees shall wear or prominently display the CAC as required by the governing local policy.

(d) During the performance period of the contract, the contractor, or contractor employee as appropriate, shall:

(1) Within 7 working days of any changes to the listing of the contract personnel authorized a CAC, provide an updated listing to the contracting officer who will provide the updated listing to the TA (who will create new CAC applications or revoke those for employees no longer performing on the contract as appropriate);

(2) As part of security out-processing, or when no longer performing on the specific contract for which the CAC was approved, return their CAC to the TA or DEERS/RAPIDS site.

(3) Report lost or stolen CAC’s immediately to the TA, the USTRANSCOM Security Services Center, or to a designated USTRANSCOM representative.

(e) Within 7 working days following completion/termination of the contract, return all CACs issued to contractor employees to the TA.

(f) Failure to comply with these requirements may result in withholding of final payment.

(g) For OCONUS contracts, in addition to the above procedures, contractor employees requiring a Geneva Convention category on their CAC will be required to complete DD Form 1172-2, Application for Department of Defense Common Access Card DEERS Enrollment. This form shall be submitted to/approved by the contracting officer and then be presented to the CAC issuance workstation personnel in conjunction with the CVS application for CAC issuance.

(End of clause)

5552.247-9000 AIR SAFETY (APRIL 2007)

(a) Contractor is obligated to comply with generally accepted standards of airmanship, training, and maintenance practices and procedures. Contractor must also satisfy Department of Defense (DOD) quality and safety requirements as described in 32 CFR Part 861, Section 861.4. In addition, contractor shall comply with all provisions of applicable statutes, tenders of service, and contract terms as such may affect flight safety, as well as with all applicable Federal Aviation Administration (FAA) Regulations, Airworthiness Directives, Orders, rules, and standards promulgated under the Federal Aviation Act of 1958, as amended. Compliance with published standards may not, standing alone, constitute compliance with generally accepted standards of airmanship, training, or maintenance.

(b) The cleanliness and orderliness of an aircraft, including the visible components and surfaces thereof affect the ability to inspect an aircraft, may be valid indicators of the overall maintenance level of an aircraft, and may have a direct effect on the security and confidence of passengers. Therefore, contractor's failure to keep and maintain all such components and surfaces of the aircraft used in performance of this contract clean, orderly, and in good state of repair may be deemed a failure to comply with generally accepted standards of maintenance to the extent the failure goes beyond mere cosmetic or housekeeping deficiencies and relates in some manner to confidence in the safety, maintenance, or airworthiness of the aircraft.

(c) Should the government determine that any of the following conditions exist, it may suspend or place in temporary nonuse status contractor's further performance of airlift transportation services for the DOD:

(1) Contractor's failure to meet any of the obligations imposed by the preceding two paragraphs.

(2) Involvement of one of contractor's aircraft in a serious or fatal accident, incident, or operational occurrence (regardless of whether or not such aircraft is being used in the performance of this contract).

(3) Any other condition that affects the safe operation of contractor's flights hereunder.

(d) Such suspension shall be accomplished pursuant to the Department of Defense Commercial Air Transportation Quality and Safety Review Program (32 CFR Part 861), which is hereby incorporated in this contract by reference, or any procedures that supersede same which may be adopted by the Commander (United States Transportation Command) from time to time. The suspension procedures, including the temporary nonuse, reinstatement and appeals processes, set out therein, are binding, final, and conclusive. In no event shall suspension or temporary nonuse proceedings, regardless of outcome, give rise to any liability on the part of the government.

(e) Suspension or temporary nonuse hereunder resulting in unavailability of contractor aircraft to perform service under this contract shall be treated as failure to maintain authorization to engage in air transportation under the clause of the contract 5552.247-9001, “Requirement for Authorization to Engage in Air Transportation.”

(End of Clause)

5552.247-9001 REQUIREMENT FOR AUTHORIZATION TO ENGAGE IN AIR TRANSPORTATION ALTERNATE II (AUG 2007)

(a) This contract is conditioned upon the Contractor (if the contractor is a team arrangement, applies to each team member) being an air carrier and holding a Certificate of Public Convenience and Necessity issued under Section 401 of the Federal Aviation Act (FAA of 1958, as amended), or otherwise authorized by the Department of Transportation (DOT) to engage in direct air transportation services, holding an Air Carrier's Operating Certificate issued by the FAA under Part 121 of the Federal Aviation Regulations (14 CFR 121) for airlift operated by the offeror, and participating in the CRAF, if applicable. Furthermore, the Contractor shall not be in a suspension or temporary nonuse status in accordance with clause 5552.247-9000, “AIR SAFETY.”

(b) If at any time during the performance period of this contract the contractor is not in compliance with the requirements of paragraph (a) above, including, but not limited to, instances when the certificate demonstrating compliance with paragraph (a) above is (i) suspended by the pertinent regulatory body for any period of time even though the effect of the suspension is stayed pending review by a court of competent jurisdiction, (ii) canceled or revoked in its entirety by the pertinent regulatory body even though the effect of the cancellation or revocation is stayed pending review by a court of competent jurisdiction, or (iii) such certificate or interim operating authority has expired and has not been renewed, then the contracting officer may elect any one or a combination of the following courses of action:

(1) Suspend the contractor from further performance of all or any part of this contract until such time as the suspension, temporary nonuse, cancellation, or revocation shall have been finally set aside, removed, or otherwise terminated. The period of suspension of this contract will begin when the contracting officer notifies the contractor. Any flights that were scheduled to be flown during the time any such suspension is in effect will be canceled and the government’s obligation reduced by all costs directly attributable to the canceled flights. Any such cancellation is not for the convenience of the government and will be accomplished at no cost to either party, and the substitute service provisions of this contract will not apply to such canceled flights.

(2) Exercise the government’s rights under clause 5552.247-9002, “Contractor’s Failure to Provide Service.”

(3) Terminate this contract for cause in whole or in part under FAR clause 52.212-4, “Contract Terms and Conditions—Commercial Items.”

(c) If at any time an air carrier ceases operations or surrenders their operating certificate to the Federal Aviation Administration (FAA), the air carrier is required to immediately notify the Contracting Officer the next business day and the DOD Commercial Airlift Division at (618) 229-4801, as well as in writing to HQ AMC/A3B, 402 Scott Drive, Unit 3A1 Scott AFB IL 62225-5302, stating the circumstances for ceasing operations and/or surrendering their operating certificate.

(End of Clause)

5552.247-9002 CONTRACTOR’S FAILURE TO PROVIDE SERVICE (AUG 2008)

(a) In the event that contractor's aircraft is unable to depart from any station, the government may invoke remedies which are set forth in this paragraph which will neither constitute a termination within the meaning of the clause entitled "Termination for Convenience of the Government," nor in any way diminish the government's rights under the clause entitled "Default." The rights and remedies of the government provided for in this paragraph are not exclusive and do not give rise to government liability for costs incurred and are in addition to any other government rights and remedies provided for by law or by this contract.

(b) Substitute Service. This term, as used herein, applies to the substitution of an aircraft to replace contractor's aircraft, which is unable to proceed from the departure station or from any en route station short of destination in accordance with schedules established pursuant to this contract. If the contractor fails to make an aircraft available for departure within 16 hours subsequent to scheduled departure time for a passenger flight or a mixed flight from an originating station or an en route station, or within 4 hours of a scheduled departure time for a passenger flight or a mixed flight from an en route station where no holding facilities for passengers are available, or within 24 hours of a scheduled departure time for a cargo flight from either the originating station or an en route station, or for any flight within such lesser time as may be agreed to by the contractor's designee, the government may: (1) cancel the requirement for further movement of the defaulted flight; (2) require the contractor to transport the defaulted passengers or cargo by substitute service within such additional time as the contracting officer may allow; (3) acquire substitute service from commercial sources; or (4) reschedule the defaulted flight or transport the defaulted passengers or cargo, or any portion thereof, itself. The exercise of any of these options will be in accordance with the following:

(1) In the event that the requirement for further movement of the defaulted flight is canceled, the number of passengers equal to the Guaranteed Allowable Cabin Load (GACL) for the flight involved, or the number of pounds of cargo equal to the GACL of the flight involved, or the number of miles for the flight involved, will be subtracted from the government's guarantee. Any canceled requirement will be deleted from the contract by unilateral modification. If the failure to depart was from the originating station, contractor will not be paid any amount for the flight involved. If the failure to depart was from an en route station, the contractor will be paid at the USTRANSCOM negotiated uniform rate for that portion of the trip over which he did transport the passengers or cargo.

(2) If the contractor is required to transport the passengers or cargo of the defaulted flight by substitute service within such additional time as the contracting officer may allow, the contractor shall arrange and pay directly all costs involved in the transportation by the substitute aircraft. In this event, the contractor will be paid the full contract price for the flight involved, irrespective of the amount paid by him for this transportation by substitute aircraft. The substitute aircraft provided by the contractor must be of like type, configured in accordance with the applicable specifications, and must be approved by the contracting officer. In lieu of, or in addition to, providing the above type substitute service, the contractor may, at his own expense, purchase the amount of space, by common carriage or otherwise, needed for the movement of the passengers or cargo of the defaulted flight. The purchase of such space must be approved by the contracting officer and must be obtained only from American Flag carriers, except that in the event an American Flag carrier is unavailable or not reasonably available for point-to-point substitute service within an overseas area, upon prior authorization of the contracting officer, the contractor may use a Foreign Flag schedule carrier for substitute service on an exception basis only and provided the requirements of the clause entitled "Preference for United States Flag Air Carriers," are complied with. In such event, contractor would be paid the contract price for the involved transportation.

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