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AMENDMENT OF SOLICITATION/MODIFICATION OF CONTRACT

1. CONTRACT ID CODE

PAGE OF PAGES

2. AMENDMENT/MODIFICATION NO.

A003

3. EFFECTIVE DATE

October 30, 2008

4. REQUISITION/PURCHASE REQ. NO.

5. PROJECT NO. (If applicable)

6. ISSUED BY CODE

7. ADMINISTERED BY (If other than Item 6) CODE

American Embassy Avenida Andres Bello 2800, Las Condes Santiago, Chile 56-2-330-3000

General Services Officer

8. NAME AND ADDRESS OF CONTRACTOR (NO., street,city,county,State,and ZIP Code)

9a. AMENDMENT OF SOLICITATION NO.

S-CI-800-08-R-0002

9b. DATED (SEE ITEM 11) July 15, 2008

10a. MODIFICATION OF CONTRACT/ORDER NO.

10b. DATED (SEE ITEM 13)

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 Offers [X] is extended, [ ] is not extended Offers 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 __2__ 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.)

This amendment: (1) corrects typographical errors for the Senior Guard labor category under additional or emergency services for option years, changing labor hours from 1,112 to 1,122 labor hours and (2) and corrected the numbering under additional or emergency services for every option year in section B (i.e. B.3.2 to B.4.1.2). (3) Due date for submissions has been extended to 11/14/2008.

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

16A. NAME OF CONTRACTING OFFICER

Therman Campbell

15B. NAME OF CONTRACTOR/OFFEROR

BY
(Signature of person authorized to sign)
15C.DATE SIGNED
16B. UNITED STATES OF AMERICA
BY
(Signature of Contracting Officer)
16C.DATE SIGNED

SF30

SECTION B

SERVICES AND PRICES

B.1. SERVICES. The Contractor shall provide guard services in accordance with Section C – PERFORMANCE WORK STATEMENT (PWS) and the Exhibits attached to this contract. As described in Section C, two types of services are required: Standard Services and Additional or Emergency Services. For the Additional or Emergency Services, the Government may require the Contractor to supply additional materials or equipment, the costs for which shall be reimbursed under and in accordance with the terms and conditions of this contract.

B.1.1. OFFERS AND PAYMENT IN U.S. DOLLARS. U.S. firms are eligible to be paid in U.S. dollars. U.S. firms desiring to be paid in U.S. dollars should submit their offers in U.S. dollars. A U.S. firm is defined as a company which operates as a corporation incorporated under the laws of a state within the United States.

NOTE: The definition of U.S. Firm for payment purposes should not be confused with the definition of U.S. Person for purpose of applying U.S. preference in the proposal evaluation. (See Section K for U.S. Person definition.)

FOREIGN FIRMS. Any firm, which is not a U.S. firm, is a foreign firm. Any firm that does not meet the above definition of U.S. firm shall submit its prices and receive payment in local currency.

B.2 PRICING

B.2.1 GENERAL. In consideration of satisfactory performance, the Government will pay the Contractor each month for Standard Services and Additional or Emergency services on a time and materials basis, and a fixed monthly rate for vehicles and other equipment, if provided by the Contractor. If Defense Base Act Insurance is required under this contract, the Government shall reimburse the Contractor at cost.

B.2.2 STANDARD SERVICES. The hourly rates for Standard Services are fully loaded rates, including:

· All direct and indirect labor costs (including any premiums relating to overtime, holidays or night shifts, etc., and materials, excluding separately priced vehicles and communications equipment);

· All direct and indirect material costs (except for separately priced vehicles and communications equipment);

· Insurance (see FAR 52.228-4 and 52.228-5 in Section I; except for separately reimbursed DBA insurance);

· Severance pay;

· All overhead and indirect costs, including general and administrative expenses (G&A); and

· Profit.

B.2.3 ADDITIONAL OR EMERGENCY SERVICES. The hourly rates for Additional or Emergency Services, as defined in Section C, are fully loaded rates, including:

· All direct and indirect labor costs (including any premiums relating to overtime, holidays or night shifts, etc., and materials, excluding separately priced vehicles and communications equipment);

· All direct and indirect material costs (except for separately priced vehicles and communications equipment);

· Insurance (see FAR 52.228-4 and 52.228-5 in Section I; except for separately reimbursed DBA insurance);

· All overhead and indirect costs, including general and administrative expenses (G&A); and

· Profit.

B.2.4 VEHICLES. The monthly rate shall include all operating costs (see Section H), including, but not limited to fuel, lubricants, oil, routine and special maintenance, care and cleaning, and insurance.

B.2.5 LOCAL GUARD FORCE RADIO NETWORK EQUIPMENT. The monthly rate shall include all costs associated with radio/communications equipment (see Section C), including maintenance costs.

B.2.6 MATERIALS OR EQUIPMENT. These are items for which the contractor shall be reimbursed at cost (see C.2.2.1.) for all non-expendable equipment and expendable supplies, related to performance of Additional or Emergency Services.

B.2.7 DEFENSE BASE ACT INSURANCE. The hourly rates and prices in the contract shall not include Defense Base Act (DBA) Insurance. The Government will reimburse the Contractor directly for DBA Insurance that is required and obtained in accordance with Section I, DOSAR 652.228-71, "Worker's Compensation Insurance (Defense Base Act) – Services" and FAR 52.228-3, "Worker's Compensation Insurance (Defense Base Act)".

When the contract is awarded, the Contractor shall contact the Contracting Officer and request the name of the insurance broker under contract to the Department of State. After paying the DBA insurance premium, the Contractor shall submit the certification of coverage from the carrier and a voucher for payment to the Contracting Officer. A paid invoice must support the voucher. The Contractor shall submit the certification to the Contracting Officer before the Notice to Proceed (see Section F).

The cost of DBA insurance is paid on an annual basis. The period of performance of this contract may be extended beyond one year. If so, the Contractor shall contact the Contracting Officer, request the new rates, and be reimbursed by the Government for the actual, documented DBA insurance costs.

B.2.8 DESCRIPTIONS OF LABOR CATEGORIES. See Section C for definitions and major duties/ responsibilities of the labor categories for Standard Services and Additional or Emergency Services. All other personnel that may be required in the performance of this contract are not separately priced. For example, the Project Manager (see Section H) and any administrative staff are not separately priced, but are included as part of overhead reflected in the hourly rates.

B.2.9 VALUE ADDED TAX. Value Added Tax (VAT) is not included in the rates for Standard Services, Additional or Emergency Services, Vehicles, communications equipment, or the estimated amount for Materials. Rather, the Contractor shall include VAT as a separate charge in the monthly invoice. The amount of VAT to be charged is 19%. Local law dictates the portion of the contract price that is subject to VAT; this percentage is multiplied only against that portion. It is reflected for each performance period. The portions of the solicitation subject to VAT are: Standard Services, Additional or Emergency Services, Vehicles, Vehicles – Surveillance Detection, Radio Network Equipment, Surveillance Detection Equipment, and Reimbursable Materials and Equipment.

B.3 PRICES.

B.3.1 STANDARD SERVICES. (See Section C and Exhibit A.) The Contractor shall provide the guard service shown below for the base period of the contract, starting on the date stated in the Notice to Proceed and continuing for a period of 12 months. The fixed hourly rate, estimated number of hours, and ceiling for each category are:

Labor CategoriesHourlyNumberCeiling
Ratexof Hours*=Price
Guard________56,968_______
Senior guard________22,440_______
SD Specialist________14,000_______
SD Supervisor________2,000_______
Supervisor________11,216_______

Subtotal 106,624 _______

B.3.2 ADDITIONAL OR EMERGENCY SERVICES**. (See Subsection C.1.2 and C.2.2., Additional or Emergency Services.) The following estimated services for the base period of the contract are as follows:

The fixed hourly rate, estimated number of hours, and ceiling for each category are:

Labor CategoriesHourlyNumberCeiling
Ratexof Hours**=Price
Guard________2,848_______
Senior guard________1,122_______
Supervisor________560_______

Subtotal 4,530 _______

B.3.3 VEHICLES. The firm fixedprice for all vehicles (excluding Surveillance Detection vehicles) necessary for performance of this contract, as described in B.2.4. is:

MonthlyNumberTotal
ratexof months=Price

_________ 12 _________

B.3.3.1 VEHICLES – SURVEILLANCE DETECTION. The firm fixedprice for all SD vehicles necessary for performance of this contract, as described in B.2.4, is:

MonthlyNumberTotal
ratexof months=Price

_________ 12 _________

B.3.4 RADIO NETWORK EQUIPMENT The firm fixed-price for all communications equipment necessary for performance of this contract, as described in B.2.5, is:

MonthlyNumberTotal
ratexof months=Price

_________ 12 _________

B.3.4.1 SURVEILLANCE DETECTION EQUIPMENT. The firm fixed-price for all Surveillance Detection equipment necessary for performance of this contract, as described in C.1.6, is:

MonthlyNumberTotal
ratexof months=Price

_________ 12 _________

B.3.5 Materials or equipment reimbursed for additional or emergency services shall not exceed (see B.2.6): USD $1,000 or its Chilean equivalent.

B.3.6 DEFENSE BASE ACT (DBA) INSURANCE. The Government will reimburse the Contractor for DBA insurance. The total estimated cost of this insurance is: $__________

B.3.7 CONTRACT PRICE. The total ceiling price for the base period of this contract is:

CEILINGPRICE
B.3.1 STANDARD SERVICES_________
B.3.2 ADDITIONAL OR EMERGENCY SERVICES_________
B.3.3 VEHICLES_________
B.3.3.1 SD VEHICLES_________
B.3.4 RADIO NETWORK EQUIPMENT_________
B.3.4.1 SD EQUIPMENT_________
B.3.5 REIMBURSABLE MATERIALS/EQUIPMENT$1,000.00_
B.3.6 DEFENSE BASE ACT INSURANCE_________
SUBTOTAL_________
VAT*_________

TOTAL CEILING PRICE FOR BASE PERIOD: _________

B.3.8 The Contractor shall notify the Contracting Officer in writing 60 days before the Contractor expects the total costs incurred to exceed 75% of any ceiling price/not to exceed amount listed above.

B.4 OPTION YEARS: LEVELS OF EFFORT AND PRICING.

B.4.1 FIRST OPTION YEAR - starting one year after the start date shown in the Notice to Proceed and continuing for a period of twelve months.

B.4.1.1 STANDARD SERVICES. (See Section C and Exhibit A.) The Contractor shall provide the guard service shown below for the first option year of the contract. The fixed hourly rate, estimated number of hours, and ceiling for each category are:

Labor CategoriesHourlyNumberCeiling
Ratexof Hours*=Price
Guard________56,968_______
Senior guard________22,440_______
SD Specialist________14,000_______
SD Supervisor________2,000_______
Supervisor________11,216_______

Subtotal 106,624 _______

B.4.1.2 ADDITIONAL OR EMERGENCY SERVICES**. (See Subsection C.1.2 and C.2.2., Additional or Emergency Services.) The following estimated services for the base period of the contract are as follows:

Labor CategoriesHourlyNumberCeiling
Ratexof Hours**=Price
Guard________2,848_______
Senior guard________1,122_______
Supervisor________560_______

Subtotal 4,530 _______

B.4.1.3 VEHICLES. The firm fixedprice for all vehicles (excluding Surveillance Detection vehicles) necessary for performance of this contract, as described in B.2.4, is:

MonthlyNumberTotal
ratexof months=Price

_________ 12 _________

B.4.1.3.1 VEHICLES – SURVEILLANCE DETECTION. The firm fixedprice for all SD vehicles necessary for performance of this contract, as described in B.2.4, is:

MonthlyNumberTotal
ratexof months=Price

_________ 12 _________

B.4.1.4 RADIO NETWORK EQUIPMENT. The firm fixed-price for all communications equipment necessary for performance of this contract, as described in B.2.5., is:

MonthlyNumberTotal
ratexof months=Price

_________ 12 _________

B.4.1.4.1 SURVEILLANCE DETECTION EQUIPMENT. The firm fixed-price for all Surveillance Detection equipment necessary for performance of this contract, as described in C.1.6, is:

MonthlyNumberTotal
ratexof months=Price

_________ 12 _________

B.4.1.5 Materials or equipment reimbursed for additional or emergency services shall not exceed (see B.2.6): USD $1,000 or its Chilean equivalent.

B.4.1.6 DEFENSE BASE ACT (DBA) INSURANCE. The Government will reimburse the Contractor for DBA insurance. The total estimated cost of this insurance is: $__________

B.4.1.7 CONTRACT PRICE. The total ceiling price for the first option year of this contract is:

CEILINGPRICE
B.4.1.1 STANDARD SERVICES_________
B.4.1.2 ADDITIONAL OR EMERGENCY SERVICES_________
B.4.1.3 VEHICLES_________
B.4.1.3.1 SD VEHICLES_________
B.4.1.4 RADIO NETWORK EQUIPMENT_________
B.4.1.4.1 SD EQUIPMENT_________
B.4.1.5 REIMBURSABLE MATERIALS/EQUIPMENT$1,000.00_
B.4.1.6 DEFENSE BASE ACT INSURANCE_________
SUBTOTAL___
VAT*_________

TOTAL CEILING PRICE FOR FIRST OPTION YEAR: _________

B.4.1.8 The Contractor shall notify the Contracting Officer in writing 60 days before the Contractor expects the total costs incurred to exceed 75% of any ceiling price/not to exceed amount listed above.

B.4.2 SECOND OPTION YEAR – starting two years after the start date shown in the Notice to Proceed and continuing for a period of twelve months.

B.4.2.1 STANDARD SERVICES. (See Section C and Exhibit A.) The Contractor shall provide the guard service shown below for the second option year of the contract. The fixed hourly rate, estimated number of hours, and ceiling for each category are:

Labor CategoriesHourlyNumberCeiling
Ratexof Hours*=Price
Guard________56,968_______
Senior guard________22,440_______
SD Specialist________14,000_______
SD Supervisor________2,000_______
Supervisor________11,216_______

Subtotal 106,624 _______

B.4.2 2 ADDITIONAL OR EMERGENCY SERVICES**. (See Subsection C.1.2 and C.2.2., Additional or Emergency Services.) The following estimated services for the base period of the contract are as follows:

Labor CategoriesHourlyNumberCeiling
Ratexof Hours**=Price
Guard________2,848_______
Senior guard________1,122_______
Supervisor________560_________

Subtotal 4,530 _______

B.4.2.3 VEHICLES. The firm fixedprice for all vehicles (excluding Surveillance Detection vehicles) necessary for performance of this contract, as described in B.2.4, is:

MonthlyNumberTotal
ratexof months=Price

_________ 12 _________

B.4.2.3.1 VEHICLES – SURVEILLANCE DETECTION. The firm fixedprice for all SD vehicles necessary for performance of this contract, as described in B.2.4, is:

MonthlyNumberTotal
ratexof months=Price

_________ 12 _________

B.4.2.4 RADIO NETWORK EQUIPMENT. The firm fixed-price for all communications equipment necessary for performance of this contract, as described in B.2.5., is:

MonthlyNumberTotal
ratexof months=Price

_________ 12 _________

B.4.2.4.1 SURVEILLANCE DETECTION EQUIPMENT. The firm fixed-price for all Surveillance Detection equipment necessary for performance of this contract, as described in C.1.6., is:

MonthlyNumberTotal
ratexof months=Price

_________ 12 _________

B.4.2.5 Materials or equipment reimbursed for additional or emergency services shall not exceed (see B.2.6): USD $1,000 or its Chilean equivalent.

B.4.2.6 DEFENSE BASE ACT (DBA) INSURANCE. The Government will reimburse the Contractor for DBA insurance. The total estimated cost of this insurance is: $__________

B.4.2.7 CONTRACT PRICE. The total ceiling price for the second option year of this contract is:

CEILINGPRICE
B.4.2.1 STANDARD SERVICES_________
B.4.2.2 ADDITIONAL OR EMERGENCY SERVICES_________
B.4.2.3 VEHICLES_________B.4.2.3.1 SD VEHICLES_________
B.4.2.4 RADIO NETWORK EQUIPMENT_________
B.4.2.4.1 SD EQUIPMENT_________
B.4.2.5 REIMBURSABLE MATERIALS/EQUIPMENT$1,000.00_
B.4.2.6 DEFENSE BASE ACT INSURANCE_________
SUBTOTAL_________
VAT*_________

TOTAL CEILING PRICE FOR SECOND OPTION YEAR: _________

B.4.2.8 The Contractor shall notify the Contracting Officer in writing 60 days before the Contractor expects the total costs incurred to exceed 75% of any ceiling price/not to exceed amount listed above.

B.4.3. THIRD OPTION YEAR – starting three years after the start date shown in the Notice to Proceed and continuing for a period of twelve months.

B.4.3.1 STANDARD SERVICES. (See Section C and Exhibit A.) The Contractor shall provide the guard service shown below for the third option year of the contract. The fixed hourly rate, estimated number of hours, and ceiling for each category are:

Labor CategoriesHourlyNumberCeiling
Ratexof Hours*=Price
Guard________56,968_______
Senior guard________22,440_______
SD Specialist________14,000_______
SD Supervisor________2,000________
Supervisor________11,216_______

Subtotal 106,624 _______

B.4.3.2 ADDITIONAL OR EMERGENCY SERVICES**. (See Subsection C.1.2 and C.2.2., Additional or Emergency Services.) The following estimated services for the base period of the contract are as follows:

Labor CategoriesHourlyNumberCeiling
Ratexof Hours**=Price
Guard________2,848_______
Senior guard________1,122_______
Supervisor________560_________

Subtotal 4,530 _______

B.4.3.3 VEHICLES. The firm fixedprice for all vehicles (excluding Surveillance Detection vehicles) necessary for performance of this contract, as described in B.2.4., is:

MonthlyNumberTotal
ratexof months=Price

_________ 12 _________

B.4.3.3.1 VEHICLES – SURVEILLANCE DETECTION. The firm fixedprice for all SD vehicles necessary for performance of this contract, as described in B.2.4, is:

MonthlyNumberTotal
ratexof months=Price

_________ 12 _________

B.4.3.4 RADIO NETWORK EQUIPMENT. The firm fixed-price for all communications equipment necessary for performance of this contract, as described in B.2.5, is:

MonthlyNumberTotal
ratexof months=Price

_________ 12 _________

B.4.3.4.1 SURVEILLANCE DETECTION EQUIPMENT. The firm fixed-price for all Surveillance Detection equipment necessary for performance of this contract, as described in C.1.6, is:

MonthlyNumberTotal
ratexof months=Price

_________ 12 _________

B.4.3.5 Materials or equipment reimbursed for additional or emergency services shall not exceed (see B.2.6): USD $1,000 or its Chilean equivalent.

B.4.3.6 DEFENSE BASE ACT (DBA) INSURANCE. The Government will reimburse the Contractor for DBA insurance. The total estimated cost of this insurance is: $__________

B.4.3.7 CONTRACT PRICE. The total ceiling price for the third option year of this contract is the sum of:

CEILINGPRICE
B.4.3.1 STANDARD SERVICES_________
B.4.3.2 ADDITIONAL OR EMERGENCY SERVICES_________B.4.3.3 VEHICLES_________
B.4.3.3.1 SD VEHICLES_________
B.4.3.4 RADIO NETWORK EQUIPMENT_________
B.4.3.4.1 SD EQUIPMENT_________
B.4.3.5 REIMBURSABLE MATERIALS/EQUIPMENT$1,000.00_
B.4.3.6 DEFENSE BASE ACT INSURANCE_________
SUBTOTAL_________
VAT*_________

TOTAL CEILING PRICE FOR THIRD OPTION YEAR: _________

B.4.3.8 The Contractor shall notify the Contracting Officer in writing 60 days before the Contractor expects the total costs incurred to exceed 75% of any ceiling price/not to exceed amount listed above.

B.4.4 FOURTH OPTION YEAR – starting four years after the start date shown in the Notice to Proceed and continuing for a period of twelve months.

B.4.4.1 STANDARD SERVICES. (See Section C and Exhibit A.) The Contractor shall provide the guard service shown below for the fourth option year of the contract. The fixed hourly rate, estimated number of hours, and ceiling for each category are:

Labor CategoriesHourlyNumberCeiling
Ratexof Hours*=Price
Guard________56,968_______
Senior guard________22,440_______
SD Specialist________14,000_______
SD Supervisor________2,000_______
Supervisor________11,216_______

Subtotal 106,624 _______

B.4.4.2 ADDITIONAL OR EMERGENCY SERVICES**. (See Subsection C.1.2 and C.2.2., Additional or Emergency Services.) The following estimated services for the base period of the contract are as follows:

Labor CategoriesHourlyNumberCeiling
Ratexof Hours**=Price
Guard________2,848_______
Senior guard________1,122_______
Supervisor________560_________

Subtotal 4,530 _______

B.4.4.3 VEHICLES. The firm fixedprice for all vehicles (excluding Surveillance Detection vehicles) necessary for performance of this contract, as described in B.2.4, is:

MonthlyNumberTotal
ratexof months=Price

_________ 12 _________

B.4.4.3.1 VEHICLES – SURVEILLANCE DETECTION. The firm fixedprice for all SD vehicles necessary for performance of this contract, as described in B.2.4, is:

MonthlyNumberTotal
ratexof months=Price

_________ 12 _________

B.4.4.4 RADIO NETWORK EQUIPMENT. The firm fixed-price for all communications equipment necessary for performance of this contract, as described in B.2.5., is:

MonthlyNumberTotal
ratexof months=Price

_________ 12 _________

B.4.4.4.1 SURVEILLANCE DETECTION EQUIPMENT. The firm fixed-price for all Surveillance Detection equipment necessary for performance of this contract, as described in C.1.6, is:

MonthlyNumberTotal
ratexof months=Price

_________ 12 _________

B.4.4.5 Materials or equipment reimbursed for additional or emergency services shall not exceed (see B.2.6): USD $1,000 or its Chilean equivalent.

B.4.4.6 DEFENSE BASE ACT (DBA) INSURANCE. The Government will reimburse the Contractor for DBA insurance. The total estimated cost of this insurance is: $__________

B.4.4.7 CONTRACT PRICE. The total ceiling price for the fourth option year of this contract is:

CEILINGPRICE
B.4.4.1 STANDARD SERVICES_________
B.4.4.2 ADDITIONAL OR EMERGENCY SERVICES_________
B.4.4.3 VEHICLES_________
B.4.4.3.1 SD VEHICLES_________
B.4.4.4 RADIO NETWORK EQUIPMENT_________
B.4.4.4.1 SD EQUIPMENT_________
B.4.4.5 REIMBURSABLE MATERIALS/EQUIPMENT$1,000.00_
B.4.4.6 DEFENSE BASE ACT INSURANCE_________
SUBTOTAL_________
VAT*_________

TOTAL CEILING PRICE FOR FOURTH OPTION YEAR: _________

B.4.4.8 The Contractor shall notify the Contracting Officer in writing 60 days before the Contractor expects the total costs incurred to exceed 75% of any ceiling price/not to exceed amount listed above.

B.4.5 GRAND TOTAL PRICE: The total ceiling price for the base period and all option years is: __________.

For purposes of evaluation only, the total price for the base period and all option years excluding VAT is _____________.

B.5 652.216-71 PRICE ADJUSTMENT (AUG 1999)

(a) The contract price may be increased or decreased in actual costs of direct service labor which result directly from laws enacted and effective during the term of this contract by the Chilean Government. Direct service labor costs include only the costs of wages and direct benefits (such as social security, health insurance, unemployment compensation insurance) paid to or incurred for the direct benefit of personnel performing services under one of the categories listed in Section B of this contract. Price adjustments will include only changes in direct service labor costs incurred in order to comply with the requirements of the law. No adjustment will be made under this clause with respect to labor costs of personnel not performing direct service labor under the categories of Section B, or for overhead, profit, general and administrative (G&A) costs, taxes or any other costs whatsoever.

(b) For the contracting officer to consider any request for adjustment, the contractor shall demonstrate in writing:

(1) That the change in the law occurred during the term of this contract and subsequent to the award date of this contract; and,

(2) That the change in the law could not have been reasonably anticipated prior to contract award; and,

(3) How the change in the law directly affects the contractor's costs under this contract.

(c) The contractor shall present data that clearly supports any request for adjustment. This data shall be submitted no later than 30 calendar days after the changes in the law have been made public. This data shall include, but not be limited to, the following:

(1) The calculation of the amount of adjustment requested; and,

(2) Documentation that identifies and provides the appropriate portions of the text of the particular law from which the request is derived.

(d) In order to establish the change between the requested adjusted rate and the original rate, the contractor shall support the appropriate data and composition of the original rate and the requested adjusted rate. This shall include details regarding specific hourly rates paid to individual employees. For contracts paid in U.S. dollars, the contractor's request for price adjustment shall present data reflecting:

(1) The exchange rate in effect on the date of the contractor's proposal that was accepted for the basic contract; and

(2) The current exchange rate and its effect on payment of workers in local currency. The allowable adjustment shall be limited to the extent to which increases in direct service labor costs due to host country law changes are not offset by exchange rate gains.

(e) Only direct cost changes mandated by enacted laws shall be considered for adjustment under this contract. Changes for purposes of maintaining parity of pay between employees at the minimum mandated levels and employees already paid at levels above the newly mandated minimums shall not be considered. Therefore, if the contractor elects to increase payments to employees who are already being paid at or above the mandated amounts, such increased costs shall be borne solely by the contractor and shall not be justification for an increase in the hourly and monthly rates under this contract.

(f) Any request for adjustment shall be presented by signature of an officer or general partner of the contractor having overall responsibility for the conduct of the contractor's affairs.

(g) No adjustment shall be made to the contract price that relates to any indirect, overhead, or fixed costs, profit or fee. Only the changes in direct service labor wages (and any benefits based directly on wages) shall be considered by the U.S. Government as basis for contract price changes.

(h) No request by the contractor for an adjustment under this clause shall be allowed if asserted after final payment has been made under this contract.

(i) This clause shall only apply to laws enacted by the Chilean Government meeting the criterion set forth above in paragraph (b). No adjustments shall be made due to currency fluctuations in exchange rates.

B.6 PAYMENT, CEILING, AND WITHHOLDING.

B.6.1 The Government will pay the Contractor for the number of hours worked, following the procedures in FAR clause 52.232-7 in Section I of this contract.

B.6.2 The Contractor shall not exceed the ceiling prices shown above either in total or for any category, unless the Contracting Officer signs a written contract modification to increase the ceiling.

B.6.3 The Government will make no withholding/retainage under FAR 52.232-7, paragraph (a)(2), "Payments Under Time-and-Materials and Labor-Hour Contracts," in Section I of this contract.

File details come from the government source that posted it. Updated .