Amendment 0002.pdf

N00189TUGBOATS

AMENDMENT OF SOLICITATION/MODIFICATION OF CONTRACT

Except as provided herein, all terms and conditions of the document referenced in Item 9A or 10A, as heretofore changed, remains unchanged and in full force and effect.

15A. NAME AND TITLE OF SIGNER (Type or print)

30-105-04EXCEPTION TO SF 30

APPROVED BY OIRM 11-84

STANDARD FORM 30 (Rev. 10-83) Prescribed by GSA

FAR (48 CFR) 53.243

The purpose of this amendment is to extend the solicitation to 19 January 2023, 1000 AM EST and update the PWS.

1. CONTRACT ID CODE PAGE OF PAGES

J 1 11

16A. NAME AND TITLE OF CONTRACTING OFFICER (Type or print)

16C. DATE SIGNED

BY 10-Jan-2023

16B. UNITED STATES OF AMERICA15C. DATE SIGNED15B. CONTRACTOR/OFFEROR

(Signature of Contracting Officer)(Signature of person authorized to sign)

8. NAME AND ADDRESS OF CONTRACTOR (No., Street, County, State and Zip Code) X N0018923R0006

X 9B. DATED (SEE ITEM 11)

08-Dec-2022

10B. DATED (SEE ITEM 13)

9A. AMENDMENT OF SOLICITATION NO.

11. THIS ITEM ONLY APPLIES TO AMENDMENTS OF SOLICITATIONS

X The above numbered solicitation is amended as set forth in Item 14. The hour and date specified for receipt of Offer X is extended, is not extended.

Offer must acknowledge receipt of this amendment prior to the hour and date specified in the solicitation or as amended by one of the following methods:

(a) By completing Items 8 and 15, and returning 1 copies of the amendment; (b) By acknowledging receipt of this amendment on each copy of the offer submitted;

or (c) By separate letter or telegram which includes a reference to the solicitation and amendment numbers. FAILURE OF YOUR ACKNOWLEDGMENT TO BE RECEIVED AT THE PLACE DESIGNATED FOR THE RECEIPT OF OFFERS PRIOR TO THE HOUR AND DATE SPECIFIED MAY RESULT IN

REJECTION OF YOUR OFFER. If by virtue of this amendment you desire to change an offer already submitted, such change may be made by telegram or letter, provided each telegram or letter makes reference to the solicitation and this amendment, and is received prior to the opening hour and date specified.

12. ACCOUNTING AND APPROPRIATION DATA (If required)

13. THIS ITEM APPLIES ONLY TO MODIFICATIONS OF CONTRACTS/ORDERS.

IT MODIFIES THE CONTRACT/ORDER NO. AS DESCRIBED IN ITEM 14.

A. THIS CHANGE ORDER IS ISSUED PURSUANT TO: (Specify authority) THE CHANGES SET FORTH IN ITEM 14 ARE MADE IN THE

CONTRACT ORDER NO. IN ITEM 10A.

B. THE ABOVE NUMBERED CONTRACT/ORDER IS MODIFIED TO REFLECT THE ADMINISTRATIVE CHANGES (such as changes in paying office, appropriation date, etc.) SET FORTH IN ITEM 14, PURSUANT TO THE AUTHORITY OF FAR 43.103(B).

C. THIS SUPPLEMENTAL AGREEMENT IS ENTERED INTO PURSUANT TO AUTHORITY OF:

D. OTHER (Specify type of modification and authority)

E. IMPORTANT: Contractor is not, is required to sign this document and return copies to the issuing office.

14. DESCRIPTION OF AMENDMENT/MODIFICATION (Organized by UCF section headings, including solicitation/contract subject matter where feasible.)

10A. MOD. OF CONTRACT/ORDER NO.

2. AMENDMENT/MODIFICATION NO. 5. PROJECT NO.(If applicable)

6. ISSUED BY

3. EFFECTIVE DATE

10-Jan-2023

CODE

NAVSUP FLC NORFOLK CONTRACTING

NORFOLK OFFICE

ATTN: L MOHNEY

1968 GILBERT STREET STE 600

NORFOLK VA 23511

N00189 7. ADMINISTERED BY (If other than item 6)

4. REQUISITION/PURCHASE REQ. NO.

CODE

See Item 6

FACILITY CODECODE

EMAIL:TEL:

N0018923R0006

SECTION SF 30 BLOCK 14 CONTINUATION PAGE

SUMMARY OF CHANGES

SECTION A - SOLICITATION/CONTRACT FORM

The required response date/time has changed from 12-Jan-2023 11:00 AM to 19-Jan-2023 10:00 AM.

SECTION C - DESCRIPTIONS AND SPECIFICATIONS

The following have been modified:

PERFORMANCE WORK STATEMENT

PERFORMANCE WORK STATEMENT

1. DESCRIPTION OF CONTRACTUAL SCOPE

1.1 This Contract requires U.S. flag tugs otherwise known as Call Out Tugs described to provide harbor support service and ship handling in locations identified in section 2 and surrounding waters. This requirement covers all call out non-emergency and non-charter tug requests that cannot be satisfied with Government-owned, Government-controlled or time charted vessels. The actual work may vary considerably from the schedule of estimates contained herein.

1.2 This contract is for all requirements that cannot be satisfied with Government-owned, government-controlled or time chartered vessels. The actual work may vary considerably from the schedule of estimates contained herein.

1.3 Tugs shall be available to simultaneously standby to support vessels in locations identified in section 2. The tug(s) may be required for at least one day or up to four weeks of standby at the dock. The tug(s) shall be required to offer assistance in case of an emergency to include any service required elsewhere in this contract. The normal work day is 8-10 hours Monday through Friday (M-F). Standby time will be at a daily rate as described in the Standby Tug Rates, for any day when operations require the tug to standby or provide services. The tug(s) will be permitted to berth overnight or on weekends at identified locations during the period of performance.

1.4 Within the geographical in locations identified in section 2, tug(s) may be ordered to any berth, dock, anchorage, wharf, place, open roadstead, or alongside any vessel, barge, lighter, craft, hull, derrick, or object of whatsoever nature that the Government may direct, provided the Tug can lie always safely afloat except in harbors or waters where groundings are custom of the port.

2. LOCATIONS AND DELIVERY

Delivery/Redelivery Port Earliest Delivery Date Cancelling Date

Apra Harbor, Guam Determined at the task order level 48 hours

Behm Canal, Alaska Determined at the task order level 48 hours

Seal Beach, CA Long Beach, CA

Determined at the task order level 48 hours

Port Hueneme, CA Determined at the task order level 48 hours

Port Canaveral, FL Determined at the task order level 48 hours

Bremerton, WA Everett, WA

Determined at the task order level 48 hours

Manchester, WA Port Hadlock, WA

San Diego, CA Determined at the task order level 48 hours

Earle, NJ Harbor Determined at the task order level 48 hours

All other locations within United States and outlying territories

Determined at the task order level 48 hours

2.1 All locations include surrounding water within 20 nautical miles unless the location of the tug/ship meeting changes and/or the usual pier has no vacancies.

3. TYPE OF TUGS & NOTIFICATION TIME NUMBERS

3.1 The contractor shall provide services 24 hours, 7 days per week, Sunday through Saturday, including Federal holidays.

3.2 When tug service is requested, service shall be provided within the time specified in the “Required

Response” boxes in the table below. All locations require two (2) hours for both Type A and B tugs, unless otherwise stated below. All locations require Standby Tugs.

TUG TYPE UNIT OF ISSUE REQUIRED RESPONSE

Type A Tugs Hour 15 Minutes – Guam

Type B Tugs Hour 15 Minutes – Guam

Type A Tugs Hour Two (2) Hours, or as provided below:

• Bremerton, WA, 4.5 hours

• Everett, WA, 6.5 hours

• Manchester, WA, 5 hours

• Port Hadlock, WA, 8 hours

Type B Tugs Hour Two (2) Hours, or as provided below:

• Bremerton, WA, 4.5 hours

• Everett, WA, 6.5 hours

• Manchester, WA, 5 hours

• Port Hadlock, WA, 8 hours

Type A Standby Tugs Day Twenty-Four (24) Hours

Type B Standby Tugs Day Twenty-Four (24) Hours

4. PERIODS OF PERFORMANCE

The anticipated period of performance is for a five-year ordering period to begin 01 April 2023 through 31 March

2028, and an additional six-months, Option to Extend Services, to continue services through 30 September 2028.

5. AUTHORIZED CONTRACTOR’S VESSELS

NAME LOCATION

TBD TBD

6. ORDERING

6.1 The Procuring Contracting Office will determine the ordering procedures at the time of award.

7. RATES FOR SERVICES

7.1 Service Rate: The Tug Service Rate shall be earned for the first two hours of service, such service to be calculated from the date and time the vessel reports in all aspects ready to perform at the location, time, and date specified in the Government order, but no earlier than the date and time specified in the order, unless agreed upon by the Contracting Officer and/or Contracting Officer’s Representative. This rate includes all of the following items: overtime (including but not limited to crew overtime/penalty time); penalty time; fuel costs;

bonuses; payments; emoluments payable to the Master, Officers and crew for services under this contract; the cost, if any, of transit to and from the location; and any other costs incurred in responding to the Government's order. Consecutive work shall not incur more than one Service Rate charge unless the vessel is released from government control in between work.

7.2 Hourly Rate: Each job shall earn the Hourly Rate, after completion of the first two hours of service.

The Hourly Rate will be pro-rated to the nearest quarter hour and continue to be earned until the Government dismisses the vessel. This rate includes all of the following items: overtime (including but not limited to crew overtime/penalty time); penalty time; fuel costs; bonuses; payments; emoluments payable to the Master, Officers and crew for services under this contract; the cost, if any, of transit to and from the location; and any other costs incurred in responding to the Government's order.

7.3 Standby Tug Rate: This rate is a daily rate to be applied pro-rated to the nearest hour to the period beginning at the time the Government dismisses the tug(s) from the call-out docking/undocking at the Service Rate or the Hourly Rate, whichever applies, until the tug(s) is dismissed from standby service.

This rate includes all of the following items: overtime (including but not limited to crew overtime/penalty time); penalty time; fuel costs; bonuses; payments; emoluments payable to the Master, Officers and crew for services under this contract; the cost, if any, of transit to and from the location; and any other costs incurred in responding to the Government's order.

7.3.1 If any tug is to be called out only for standby service, the Service Rate will be earned for the first two hours of standby time and the Standby Tug Rate will begin after the first two hours.

7.3.2 If any tug on standby is utilized at the Hourly Rate and returns to standby status, the Standby Tug Rate shall begin again after dismissal from assisting vessels at the Hourly Rate. For purposes of calculating the Standby Tug Rate, the 24 hour clock will begin again after return from the Hourly Rate, the previous standby time having been pro-rated to the nearest hour.

7.3.3 Fuel will be included in all orders issued against this contract.

7.4 Cancelled Orders: Orders cancelled within the required notification period shown in the Performance

Work Statement will incur no charge. Orders cancelled after the required notification period will incur a charge equal to two hours at the hourly rate.

8. SCHEDULE OF ESTIMATES

8.1 The following estimates are not a guarantee of work. This information is provided for estimation purposes only. Any difference in the actual numbers or workload experienced shall not form the basis for any claim or equitable adjustment. Normally two tugs are required for each call out but may not always be the case.

Place Estimated # of Call-outs per year Estimated # of Tugs Per Call-out

Apra Harbor, Guam 400 1-4

Behm Canal, Alaska 5 1-3

Seal Beach, CA Long Beach, CA

45 1-4

Port Hueneme, CA 19 1-3

Port Canaveral, FL 50 1-2

Bremerton, WA Everett, WA Manchester, WA Port Hadlock, WA

6 1-4

San Diego, CA 15 1-4

Earle, NJ Harbor 16 2-4

9. TUG CHARACTERISTIC SHEET:

The below table represents the characteristics and minimum qualifications associated per tug.

CHARACTERISTIC MINIMUM CHARACTERISTIC MINIMUM

FLAG USA

BOLLARD PULL

(ahead)

Type A: 65,000 lbs. (all other locations)

50,000 lbs. (Guam) 90,000 lbs. (Puget Sound)

Type B: 100,000 lbs. (all other locations)

40,000 lbs. (Puget Sound)

PROPULSION TYPE Twin Screw or better

SURFACE

FENDERING

Non-marking fendering, clean and sufficient to prevent metal-to-hull contact with surface vessels under normal conditions of vessel pitch and roll.

SURFACE

CONFIGURATION

Configured to prevent metal-to-hull contact with surface vessels objects under normal conditions of vessel pitch & roll. (E.g.

Tug(s) must be capable of working in & around the bow and stern of AOE & LHA class vessels.)

CAPSTANS/WINCHES

Sufficient for services performed under this contract with minimum safe working loads.

LINES

Lines, wires, and associated equipment sufficient to safely & efficiently perform the services under this contract.

COMMUNICATION

EQUIPMENT

Minimum required by the U.S.C.G. and FCC for inland & international waters. Equipment must be fixed (vice hand-held/portable)

NAVIGATION

EQUIPMENT

Minimum required by the U.S.C.G for inland & international waters.

Additionally, a radar, fathometer, GPS, & loudhailer.

FIREFIGHTING

EQUIPMENT

One tug Type A shall have monitors to provide 360 degree coverage at 2010 GPM at 125

PSI. The system shall be capable of AFFF injection

SUBSURFACE

FENDERING

Non-marking fendering, clean, sufficient and configured to prevent metal-to-hull or metal-to-metal contact with sub-surface vessels.

Fendering should be firmly secured to vessel along entire length. Fendering includes propeller guards, if applicable

CLASSIFICATION

Recognized IACS classification society

TRANSIT SPEED

11 knots minimum at 80% rated horsepower in moderate weather.

BOLLARD PULL

Tractor (40,000 - 100,000 lbs.

bollard pull ahead.)

Twin Screw (50,000 – 90,000 lbs. bollard pull ahead.)

MAXIMUM AIR

DRAFT

Tugs shall meet height restrictions of 24 ft. from the waterline to the top of the pilothouse. This does not include the height of the

MAXIMUM LENGTH

OVERALL

110 feet mast, which should not interfere for a carrier makeup.

ENDURANCE

7 days endurance with a minimum operational range of 500 nm.

TOW ROPE

Synthetic / 80 Ton Strength;

Sufficient quantity to meet PWS requirements.

TOWING CAPACITY

2,200 HP SHAFT

HORSEPOWER

MIN: 2,100

10. GENERAL REQUIREMENTS

10.1 Typical Services are listed as follows for illustrative purposes only and describe some of the services that may be performed as requested on the basis of a 24 hour per day, 365 day per year readiness, including but not limited to:

10.2 Towing, twisting, mooring, berthing, docking, streaming, shifting, assisting, pulling, and escorting those vessel types identified, the following is a list of vessel classes shall be supported during the term of this contract and any associated task orders. The list is for demonstration purposes only and is not a guarantee of vessel types to be supported and is not all-inclusive:

AE AO ARD ATF CV FF LHD LSD SSN

AFDM AOE ARS AVM CVN FFG LKA LST SSBN

AGDS AOR AS CG DD LCS LPD MCM SSGN

AKE AR ASR CGN DDG LHA LPH MSO

Or foreign military vessels equivalent to any of the above

Other miscellaneous vessels, barges, submarines, crafts, hulls, sleds, derricks, lighters, and objects of whatsoever nature including anything carried thereon maybe subject for task order proposal. Government reserves the right to use Government-owned or controlled Tugs or vessels separately or jointly with Contractor's Tugs in the performance of any services listed in this Contract;

10.2.1 Provide stand-by tug service on a day to day basis to meet port requirements that facilitate the movement of any ammunition laden barge, lighter or craft at all times;

10.2.2 Transfers of pilots and Government Personnel by vessel;

10.2.3 Tug emergency support services, including responses to weather conditions threatening vessels, piers, dry docks, or shore facilities; shipboard fires; collaborative fire support; vessels aground; vessel equipment failures; downed aircraft; oil spills; missions of mercy; collisions; ammunition mishaps; and search-and rescue operations and shipboard casualty or National Defense Emergency;

10.2.4 Line handling; the handling of Vessel mooring lines in the connection with the docking (tie-up) or undocking (let go) of a Vessel; and

10.2.5 Providing personnel (other than a riding crew) to go aboard a tow.

10.3 Contractor's representative shall provide adequate staff and communications to respond promptly to

Government's requests for services under this Contract on a 24-hour-day basis.

11. SHIP PHYSICAL SECURITY

11.1 The contractor will comply with and implement the Navy Force Protection and Security requirements for the port in which it is docked or berthed. All costs shall be included in the basic hire, except for Contracting Officer directed material purchases over $100 in total value, which shall be subject to the Pass Through.

12. OFF-HIRE.

12.1 Payment of hire may cease for all time lost in the event of the loss of time resulting from deficiency and/or default of men including but not limited to the following: misconduct, illness, injury, strikes, labor disruptions, lockouts; deficiency of stores; fire; breakdown of or damage to hull, machinery, or equipment;

collision; stranding; grounding; detention by authorities; average accidents to Vessel or cargo unless resulting from inherent vice, quality, or defect of the cargo; repairs; inspections; all dry-dockings including those for the purpose of examination/inspection or painting bottom; or deviation for the purpose of landing any ill or injured person on board other than any passenger, supercargo, or military personnel who may be carried at Charterer's request; or by any other cause whatsoever preventing the full working of the Vessel.

Payment will not begin again until the Vessel is ready and in a fully efficient state to resume her service at a position not less favorable to the Charterer than that at which such loss of time commenced. Should the Vessel deviate or put back during a voyage contrary to the orders or directions of the Charterer for any reason, the hire is to be suspended from the time of her deviation or putting back until she is again, at a position not less favorable to the Charterer than that at which such loss of time commenced, ready and in a fully efficient state to resume her service. When the period of time lost to the Charterer on any one occasion is less than two (2) consecutive hours, the hire shall not be reduced for such period, provided no missions were missed during that period of time. Off-hire is on a per vessel basis. Offeror may be allowed to substitute a tug in accordance with Section 13, Substitution of Tugs, below.

13. SUBSTITUTION OF TUGS

13.1 Substitution of tugs is authorized, upon proper notice, to the Government and approval of the Contracting

Officer. Notice shall be submitted in writing and shall be submitted sufficiently in advance to permit the Contracting Officer to make a reasoned determination substitute tug suitability. If circumstances require oral notification, said notice shall provide all of the above required information and shall include a statement of circumstances that preclude a written notice prior to substitution.

13.2 Any tug offered as a substitute shall have substantially the same characteristics, i.e., shall be similarly fitted and otherwise equal or superior in performance, as the tug for which substituted and shall be fully ready to perform in accordance with this Contract upon arrival at the Tow or other work site designated by Charterer.

Any tug substituted under this Clause shall result in no cost increase for Charterer and substitution shall result in no operation delay for Charterer except as provided above. It shall not otherwise excuse any other performance required under this Contract.

13.3 Contracting Officer’s notice of acceptance or rejection of the substitute tug shall be made within reasonable time following Contractor’s nomination thereof, provided that the Contracting Officer is furnished sufficient information on which to base such a determination. Silence of the Contracting Officer shall not be construed as acceptance of any nominated tug.

13.4 Notwithstanding Charterer's prior acceptance of any substitute tug under this paragraph, Charterer may at any time reject any previously accepted substitute tug if it is determined that the characteristics of that substitute tug were misrepresented by the Contractor or are otherwise unsuited to the requirements of this contract.

14. TUG COMPLEMENT AND CREW

14.1 The Master(s), Officers and entire crew shall speak English fluently and possess valid and current certificates, licenses, and documents. The Master, Officers and crew of the Tug(s) shall be appointed or hired by the Contractor and shall be deemed to be the servants and agents of the Contractor at all times except as otherwise expressly specified in this contract. The Master(s) of the Tug(s) shall be under the direction of the Government in regards to the employment of the Tug(s) under a given order, but shall not be under Government's orders is regards to navigation, care, and custody of the Tug(s).

14.2 Physical security equipment required to meet port security plans shall be Contractor-furnished.

14.3 All contractor employees shall wear a contractor-furnished uniform with Contractor and individual identification clearly and permanently marked. Individual employee names shall be visible on front of outer clothing. Contractor name shall be visible on the upper back of uniforms.

14.4 All contractor employees shall have in their possession photo identification at all times when working under this contract.

14.5 If the Charterer shall have reason to be dissatisfied with the conduct or performance of the Master, Officers, or crew, the Contractor shall, on receiving particulars of the complaint, investigate the matter and, if necessary to alleviate the cause of the complaint, make a change in personnel.

14.6 Each master of tugs shall possess a current U.S. Coast Guard 100 Ton Master License.

15. SECURITY CLEARANCES

15.1 The Contractor shall obtain and maintain Transportation Worker Identification Credential (TWIC) for the

Tug(s) Master(s), Officers(s) and Crew(s) throughout their service under this contract.

16. PLANS AND REPORTS

16.1 STRIKE CONTINGENCY PLAN

16.1.1 The Contractor shall provide and maintain a strike contingency plan that describes how services will be provided if there is a labor strike or any other deficiency of Master or crewmembers. The plan must be practicable and must clearly state the means and method for vessel manning during a strike or labor action and for providing services in the face of disruptive measures typical of a strike situation. The contractor’s strike contingency plan shall be determined acceptable by the COR and/or Contracting Officer prior to award. Award of the contract shall indicate approval of the plan.

16.2 VESSEL CASUALTY PLAN

16.2.1 The Contractor shall provide and maintain a vessel casualty plan that describes how services will be continued if there is a casualty to the Tug or to a system that makes the Tug inoperable or incapable of safely providing a required service. The plan must be practicable and must clearly state the means and method for timely acquisition and deployment of a substitute tug in the event of a vessel casualty. The contractor’s vessel casualty plan shall be determined acceptable by the COR and/or Contracting Officer prior to award. Award of the contract shall indicate approval of the plan.

16.3 The Contractor shall update the Strike Contingency and Vessel Causality plan as necessary, but no less frequently than yearly, and not later than the dates provided below. Annual approval by the COR and/or Contracting Officer shall be obtained for each updated plan.

01 March 2024 01 March 2025 01 March 2026 01 March 2027 01 March 2028

16.4 MONTHLY USAGE REPORTS

16.4.1 The contractor shall be required to complete a Monthly Usage Report (Attachment 1) for each order. After award, the proposed unit price for each tug type will be inputted into the Monthly Usage Report. Monthly Usage Reports must be provided to the contract specialist, no later than 30 days after the end of each month.

17. INCIDENT REPORTS

17.1 In any instance in which any vessel being handled by Contractor’s Tug(s) sustains damage or is involved in any incident resulting in damage to vessels or property, or in bodily injury or death, Contractor shall secure a report from the Tug Master or Officer acting as pilot, and from any licensed pilot aboard the vessel being handled. Contractor shall submit said report to the Contracting Officer within twenty-four hours following said incident, reporting the facts, listing deaths, reporting the extent of damages to property and any bodily injuries, and listing recommendations to prevent recurrence.

18. COMPLIANCE

18.1 All vessels shall be compliant with all applicable Federal and State Laws and regulations and in particular, with all applicable U.S. Coast Guard (USCG) regulations for tug vessels and their operation. The contractor shall provide USCG Certificates of Documentation and Inspection on Demand.

18.2 As applicable, the Contractor warrants that the Tug(s) and all Associated Equipment shall be in full compliance with all applicable International Conventions and all applicable laws, regulations, and other requirements of the nation of registry and of the nation(s) and local jurisdictions to whose port(s) and/or place(s) it is contemplated that the Tug(s) will be ordered hereunder. The Tug(s) shall additionally operate in compliance with the International Maritime Dangerous Goods Code.

18.3 The Owner further warrants that the Vessel shall have onboard all certificates, records, or other documents required by the aforesaid conventions, laws, regulations, and requirements, including a Certificate of Financial Responsibility meeting the requirements of the U.S. Coast Guard and promulgated pursuant to the U.S. Federal Water Pollution Control Act, as amended, and/or the Oil Pollution Act of 1990.

18.4 Complement. The Owner warrants that the Vessel shall have an efficient and legally sufficient complement of Masters, Officers, and crew with adequate training and experience to safely and effectively operate the Tug(s) and all Associated Equipment in accordance with the vessel’s USCG Certificate of Inspection under 46 CFR Subchapter M.

18.5

19. INSURANCE

19.1 VESSEL OWNER’S INSURANCE

19.1.1 General. During the full period of this contract, the Owner (i.e. contractor) shall maintain a commercially reasonable amount of marine insurance coverage on the Vessel, including Broad Form Tower’s Liability Insurance (including damage to the Tow) on each vessel performing under this Contract, Hull and Machinery, Protection and Indemnity (P&I) (including Tower’s Protection and Indemnity Liability Insurance on each vessel performing under this Contract), Pollution Liability, War Risk Hull and Machinery, War Risk P&I, Second Seamen's War Risk and Government Personnel Training Insurance (shall cover hands-on operation of the Vessel equipment by Government personnel while training to operate the Vessel under the Emergency Situations and Training clause). Except as otherwise provided in this contract, the expense for such insurance coverages shall be at Owner's expense and shall be deemed to be included in the hire payable under this contract. Except as provided herein, the Owner shall be responsible for the cost of such insurance, including deductibles, premia, and additional premia, calls, commissions, advancements, assessments, and overspill claims where applicable. Within 10 calendar days following award of the contract, the Owner shall provide proof all insurance to the Contracting Officer in writing that the required insurance has been obtained.

19.1.2 Limitation of Liability. Except as otherwise specifically provided herein, the Charterer shall not be liable for any loss, damage, expense, cost, or liability whatsoever and howsoever incurred by the Owner or Vessel, or which are imposed upon the Owner or Vessel by operation of law. Any Amount due the Owner under paragraph (19.1.1) shall be subject to set off by the Charterer to the extent of any amount recovered under insurance carried by the Owner, or to the extent of any amount recoverable under insurance required by paragraph (19.1.1).

19.1.3 Cancellation or Material Change in Coverage. All policies shall contain an endorsement stating that “in the event of cancellation or any material change in policies adversely affecting the interest of the Government in such insurance, the cancellation or change shall not be effective until 30 days after written notice thereto the Contracting Officer.” Wording such as “will endeavor to mail notice” or “failure to mail such notices shall impose no obligation or liability” is not acceptable.

19.1.4 Charterer Named Assured. The United States of America shall be named as an additional assured with waiver of subrogation under the all of contractor’s required insurance as stated above.

19.2 WAR

19.2.1 Voyage Instructions. If the Vessel is ordered under this contract to any port, place, or zone involved in a state of war, warlike operations or hostilities, civil strife, or piracy (whether there be a declaration of war or not) where it might be reasonably expected to be subject to capture, seizure, arrest, or hostile act by a belligerent power (whether de facto or de jure), pirate, or terrorist, it shall be unreasonable for the Contractor not to prosecute said voyage if insurance against said risks is then available commercially or under a Government program, or if the Government offers the Contractor indemnification against said risks pursuant to Public Law 85-804.

19.2.2 The Vessel Owner shall immediately notify the Charterer: (i) whenever any sailing orders will result in a vessel subject to this contract being sent beyond the limits of the War Risk Trading Warranties of insurance policies required under this contract (to include entry into a war risk exclusion zone or when the vessel will enter, sail for, or deviate towards the territorial waters of any of the Countries or places, or any other waters described in the Lloyd’s Joint War Committee’s current List of Areas of Perceived Enhanced Risk); (ii) if there are any changes to the War Risk Trading Warranties of insurance policies required under this contract (including changes to the exclusion zones or the List of Areas of Perceived Enhanced Risk) or changes to War Risk premiums, charges, or deductibles; or (iii) whenever additional premium charges or costs will be incurred as a direct result of compliance with any sailing orders issued by the Charterer under this contract.

The Owner shall ensure that the insurers provide it relevant information in a timely manner. If the Owner has given this required notice to the Charterer, the Charterer will reimburse the Owner for the increase in costs (if any) of insurance premiums, charges, or deductibles which arise from the vessel sailing beyond the applicable War Risk Trading Warranties (including changes to the war risk exclusion zones) when entry into any exclusion zone or Area of Perceived Enhanced Risk under such insurance has been approved in advance by the Charterer. The issuance of sailing orders, by itself, does not constitute approval in advance by the Charterer. The Charterer may give the Owner notice and instructions concerning suspension of commercial War Risk insurance coverage and substitution of Government indemnity or Government War Risk insurance as detailed in the section entitled “Government War Risk Insurance/Indemnity” below.

20. GOVERNMENT WAR RISK INSURANCE / INDEMNITY

20.1 General Upon receipt of notice and instruction from the Contracting Officer, as specified section entitled

“War” above, with respect to any area excluded by the War Risk Trading Warranties or included by the Lloyd’s Joint War Committee on the Hull War, Strikes, Terrorism and Related Perils Listed Areas (also known as Listed Areas of Perceived Enhanced Risk) under the Owner’s commercial War Risk coverage, the Owner shall, as soon as practicable, contact its insurance brokers or underwriters and arrange for the suspension of its commercial War Risk insurance upon entry of the vessel into, or extension of stay of the vessel in such area(s), or when the vessel will enter, sail for, or deviate towards the territorial waters of any of the Countries or places, or any other waters described in the Lloyd’s Joint War Committee’s current Listed Areas of Perceived Enhanced Risk, as the case may be, subject to resumption of its commercial War Risk insurance upon exiting such area(s). In such instances, the Owner shall accept the Government’s indemnity or War Risk insurance, whichever is applicable, in lieu of such commercial War Risk insurance. The Owner shall ensure that the suspension of its commercial War Risk coverage is coincident with the time that any Government indemnity or War Risk insurance becomes effective, and shall likewise ensure that its commercial War Risk insurance is resumed at the time when any Government indemnity or War Risk insurance becomes ineffective. The Owner shall retain the same risks, such as deductibles (if any), that it has under its commercial insurance.

20.2 Government War Risk Insurance. Under the authority of 46 U.S.C. § 53905, the United States Maritime

Administration (MARAD), at the request of Naval Supply Systems Command, may furnish the following war risk insurance coverage, which will be effective during the vessel’s transit under this Contract in areas which are in war risk exclusion zones, or waters described in the current Lloyd’s Joint War Committee Listed Areas of Perceived Enhanced Risk, or otherwise excluded under the Owner’s commercial marine War Risk trading warranties, and which are designated by notice from the Contracting Officer to the Owner:

20.3 War Risk Protection and Indemnity insurance covering all liabilities up to an amount of no less than

$250,000,000;

20.4 War Risk Second Seaman’s coverage, the principal sum of which shall be no less than $200,000 per Crew Member for loss of life.

20.5 Government Indemnity. Under the authority of Public Law 85-804 (72 Stat. 972, August 28, 1958) and

Executive Order 10789, as amended by Executive Order 11610, the Secretary of Defense or the Secretary of the Navy may authorize the Contracting Officer to indemnify the Owner against loss from risks that would be covered by MARAD war risk coverage as set forth in paragraph entitled “Government War Risk Insurance” directly above.

21. NO COST CANCELLATION OF CONTRACT.

21.1 The Government shall have the right to cancel the contract at no cost upon 30-days written notice by the

Contracting Officer.

22. GENERAL DEFINITIONS

22.1 “Assisting" - Movement of a tow, which is making use of, or which has available for use, her own propulsion.

22.2 "Associated Equipment" - Construed to include all Contractor-furnished or owned equipment necessary for performance under this Contract

22.3 "Crew" – Members of the Vessel(s) identified in rate schedule.

22.4 "Dry-docking" - For purposes of this Contract dry-docking shall mean any removal of the Vessel from the water for any purpose.

22.5 "Line-handling” - Movement or transportation of the tow's lines ashore by Vessel's crew

22.6 "Master" – Master of the Vessel identified in the rate schedule

22.7 "Overtime" – As shown in statement of work.

(End of Summary of Changes)