Modification to RFQ-20-4329-RS001.pdf

This modification is to incorporate the following FAR clauses into the solicitation and the resulting contract and will only be applied if award amount is to be $35,000 or more.

52.228-13 Alternative Payment Protections.

As prescribed in 28.102-3(b), insert the following clause:

(a)The Contractor shall submit one of the following payment protections:

____Payment Bond or Irrevocable Letter of Credit__________________________ (b)The amount of the payment protection shall be 100 percent of the contract price.

(c)The submission of the payment protection is required within _10_ days of contract award.

(d)The payment protection shall provide protection for the full contract performance period plus a one-year period.

(e)Except for escrow agreements and payment bonds, which provide their own protection procedures, the Contracting Officer is authorized to access funds under the payment protection when it has been alleged in writing by a supplier of labor or material that a nonpayment has occurred, and to withhold such funds pending resolution by administrative or judicial proceedings or mutual agreement of the parties.

(f)When a tripartite escrow agreement is used, the Contractor shall utilize only suppliers of labor and material that signed the escrow agreement.

(End of clause)

52.228-14 Irrevocable Letter of Credit.

As prescribed in 28.204-4 , insert the following clause:

(a) “Irrevocable letter of credit” (ILC), as used in this clause, means a written commitment by a federally insured financial institution to pay all or part of a stated amount of money, until the expiration date of the letter, upon presentation by the Government (the beneficiary) of a written demand therefor. Neither the financial institution nor the offeror/Contractor can revoke or condition the letter of credit.\

(b) If the offeror intends to use an ILC in lieu of a bid bond, or to secure other types of bonds such as performance and payment bonds, the letter of credit and letter of confirmation formats in paragraphs (e) and (f) of this clause shall be used.

(c) The letter of credit shall be irrevocable, shall require presentation of no document other than a written demand and the ILC (including confirming letter, if any), shall be issued/confirmed by an acceptable federally insured financial institution as provided in paragraph (d) of this clause, and-

(1) If used as a bid guarantee, the ILC shall expire no earlier than 60 days after the close of the bid acceptance period;