Attachment_4_-_Fuel_Purchase_Agreement.pdf

Attachment 4 – Fuel Purchase Agreement

HTC711-14-R-C003

15 October 2013

DEFENSE LOGISTICS AGENCY

DEFENSE ENERGY SUPPORT CENTER

8725 John J. Kingman Rd., Suite 4950

Fort Belvoir, Virginia 22060-6222

FUEL PURCHASE AGREEMENT (FPA)

This Agreement is dated ______________, 20___, by and between the Defense Energy Support Center (DESC), Resources Management Directorate, Retail Management Division (DESC-RR), Building 1621-K, 1014 Billy Mitchell Blvd, San Antonio, TX 78226 (“Seller” or “Government”) and ___________________ its successors and assigns (“Purchaser”).

This Fuel Purchase Agreement is an (a):

Initial Requirement

Renewal (Please enter assigned T-DoDAAC)

The Purchaser desires to purchase Defense Working Capital Fund fuel:

Aviation Fuel (JP8, JP5, Jet A1, etc.)

Gasoline

Diesel

At Department of Defense location(s): (attach list if necessary)

Purchaser is a:

U.S. Government Contractor/Charter (Check all that apply)

Airline/Aircraft Operator Modification Center

Foreign Government Contractor/Charter

State or local Government

Civil Air Patrol

Aircraft museum

Educational institution

Emergency & Rescue

Humanitarian

Other

Specify: _____________________________________________

And will use the fuel in support of: (Check all that apply)

U.S. Government Contract/Charter

Department/Agency: ___ United States Transportation Command___

Contract Number(s):

(Attach list if necessary)

Contract type(s) (e.g., contracted fueling services, transient aircraft parking services, grounds maintenance, space launch operations, charter aircraft, etc.)

Department/Agency Point of Contact Name and Phone Number:

Foreign Government Contract/Charter

Department/Agency: ________________________________________

Contract Number: __________________________________________

Contract type (e.g., contracted fueling services, charter aircraft, etc.)

Department/Agency Point of Contact Name and Phone Number:

Interagency agreement or arrangement (State and local Governments only)

Specify:

1122 Program (State and local Governments only)

Emergency, e.g., firefighting, air evacuation and rescue (State and local Governments only)

Weather Alternate, Emergency Landing, etc.

Official Civil Air Patrol missions

Military/DoD museums and organizations engaged by the DoD to provide static or aerial vintage, military or civilian aircraft or vehicle displays on a military installation.

Helicopter or fixed-wing aircraft providing air transportation for acute care emergency medical services (Air ambulance)

Exclusively by a nonprofit educational institution

Other Specify:

Purchaser:

does or does not require DD Form 1896, DoD Fuel Identaplates.

Purchaser billing address is:

Purchaser financial point of contact, name and Telephone phone number and Email Address:

Purchaser operational address is:

Purchaser POC for annual renewal of this FPA, name, phone number and email address:

Types of aircraft and tail numbers are:

Purpose: This Agreement does not obligate the Government or otherwise guarantee the Purchaser right to land at or enter any particular Department of Defense (DoD) location, even if identified above. The right to land at or enter a DoD installation is within the control and authority of the individual installation commander, not DESC. This Agreement merely establishes that Purchaser has permission to purchase DWCF fuel at DoD locations where the DoD installation commander approves entry on the installation.

Authority: Purchaser represents that it has the full authority to enter into this agreement and to consummate the transactions intended by this agreement, and no other consent to do so is required.

Fuel Use: Purchaser warrants that use of fuel purchased from Seller is to support only the performance of a U.S. Government contract, charter or other approved use. Failure to abide by this requirement may result in cancellation of this Agreement, as well as other civil, administrative, or criminal penalties. Purchaser shall not resell fuel purchased under this Agreement without written authorization from Seller.

Cost Reimbursement: Purchaser warrants that billing of fuel purchased from Seller to the U.S. Government contracting or sponsoring agency shall not exceed the purchase price paid under this Agreement (see below), with exception of overhead or other similar charges approved and authorized by the U.S.

Government contracting or sponsoring agency. Failure to abide by this term may subject the Purchaser to civil, administrative, or criminal penalties.

Purchase Price: The purchase price shall be Cost plus the DESC surcharge or DoD standard price, as appropriate. Prices may also vary by type of fuel purchased. Product sales are in United States Gallons

(USG).

Payment Terms: Purchaser shall remit payment within 30 days from the date of invoice issue (“invoice date”) by the Defense Finance and Accounting Service Columbus, Ohio (DFAS-CO). Prices generally include Federal taxes and fees that Purchaser is required to pay with respect to the purchase of fuel covered by this Agreement, unless Purchaser provides appropriate tax exemption documentation. Prices shall not include any state/local taxes or fees and Purchaser is solely responsible for remitting such taxes/fees directly to the appropriate authority.

If Purchaser does not remit payment to Seller within 30 days from the invoice date, the account becomes delinquent and Seller may revoke Purchaser credit and/or fuel purchase privileges at U.S. Military facilities immediately and without prior notice to Purchaser. In the event of credit revocation, payment for aviation fuel purchases at a U.S. Military Facility is restricted to cash, company check or wired payment prior to arrival at the facility. Upon revocation of fuel purchase privileges, Purchaser shall not purchase DWCF fuel at any U.S. Military or Contracted Facility.

Purchaser understands that Seller shall take all available measures to obtain fuel purchase payment in the event Purchaser account becomes delinquent. This includes, but is not limited to, offsetting or recouping delinquent payments against payments due to Purchaser from any U.S. Government entity.

Taxes: To qualify for tax exemption, Purchaser shall provide applicable tax exemption certificates in advance of the fuel purchase. Purchaser may use the tax exemption templates developed by Seller to ensure timely posting of Purchaser tax entitlement. Templates are located on the Seller home page:

http://www.desc.dla.mil/DCM/DCMPage.asp?pageid=644.

If Purchaser fails to provide tax exemption certificates in advance of the purchase, DESC shall include Federal taxes in the price. Purchaser is solely responsible for payment of any state/local taxes/fees and any Federal taxes/fees not included in the price.

Interest: Any delinquent Purchaser account shall bear interest on the delinquent amount from the date payment is due until the delinquent amount is paid, offset, recouped or otherwise collected at a rate determined by the United States Department of Treasury. Purchaser is also responsible to pay any administrative fees incurred because of the delinquency. The DFAS-CO applies any Purchaser payments received first to interest and administrative fees, then to principle amounts owed.

Assignment: Without prior written consent of Seller, Purchaser may not assign all or any part of its duties, rights or obligations under this Agreement, whether by transfer, merger, operation of law or otherwise. For purposes of bankruptcy involving Purchaser, this Agreement is part of a Government contract authorizing the purchase of DWCF fuel and assumption or rejection of one is assumption or rejection of the other.

No Warranties: Notwithstanding anything to the contrary in this Agreement or representations made at the time of purchase, fuel sales are “AS IS.” "AS-IS" means the Government makes no warranty, express or implied, as to quantity, kind, character, quality, weight, size, or description of any product sold under this Agreement, or its fitness for any use or purpose. In no event shall Seller be liable (a) in warranty, negligence or strict liability regarding any defects, failures or malfunctions in performance, design, manufacture or otherwise, or (b) for any damages (whether direct, consequential, incidental, punitive, indirect, special or otherwise) arising from the sale, use or operation of the fuel, regardless of legal theory or negligence. Further, purchaser hereby releases Seller from all liability, claims (including legal or litigation related expenses), or causes of action arising from this Agreement or the activities contemplated herein.

Modification: Except those portions reserved for Seller to fill in and changes made by Seller to comply with any existing or after-imposed U.S. law, this Agreement shall not be amended, supplemented, or modified in any way unless such amendment, supplement, or modification is made in writing and signed by all parties to the original Agreement.

Governing Law: This Agreement shall be governed by and construed in accordance with United States Federal law.

Term: The term of this Agreement shall commence on and shall continue until subject to any earlier termination as provided herein, or in the case of a Purchaser under U.S. Government or Foreign Government contract or charter, when the contract or charter expires, whichever is earlier.

http://www.desc.dla.mil/DCM/DCMPage.asp?pageid=644

Notwithstanding the foregoing, the Seller may extend the term of this agreement for additional periods of one year by giving Purchaser written notice no less than thirty (30) days prior to the expiration of the term of the Agreement as originally established or extended.

Termination: Notwithstanding anything to the contrary in this Agreement, Seller may terminate this Agreement at any time, with or without cause, by providing the Purchaser no less than fifteen (15) days prior written notice of termination. Further, in the event that the Purchaser fails to pay all or any portion of any invoice within thirty (30) days from the invoice date, Seller may terminate this Agreement at any time without prior notification to the Purchaser.

Either party may terminate this Agreement by written notice to the other party if the other party breaches any obligations hereunder and fails to remedy the breach within fifteen (15) days after receiving written notice of such from the non-breaching party. Termination by the purchaser does not relieve the purchaser of any liability incurred prior to termination.

Severability: If any provision of this Agreement is declared invalid or unenforceable, by judicial determination or otherwise, such provision shall not invalidate or render unenforceable the entire Agreement, but rather the entire Agreement shall be construed as if not containing the particular invalid or unenforceable provision or provisions and the rights and obligations of the parties shall be construed and enforced accordingly.

Miscellaneous: (a) Purchaser agrees that any ambiguity, contradiction or inconsistency will not be construed against Seller due to the fact that Seller drafted this Agreement.

(b) Caption headings are for convenience of reference only and will not affect the interpretation of this Agreement.

Signed and Agreed:

SELLER (DESC) PURCHASER:

By: _________________________________ By: ____________________________

DAVID A. LAWSON

Chief, Retail Management Division Defense Energy Support Center

(Printed Name & Title)

Email Address:

Telephone Number:

Date: ___________________ Date: ___________________