Amendment_0003_Attachment.pdf

Amendment 0003 Attachment

C. The following update has been made in Section B:

(Note: No changes have been made to the prices or the evaluation factors. The only change is to add the percentage in paragraph (c)(5))

FAR 52.216-9069 Economic Price Adjustment – Published Market Price – DLA Energy Domestic Bulk (NOV 2011) is deleted in its entirety and replaced with the following:

52.216-9069 Economic Price Adjustment – Published Market Price – DLA Energy Domestic Bulk (NOV 2011)

(a) Warranties. The Contractor warrants that—

(1) The base unit prices set forth in the Schedule do not include allowances for any portion of the contingency covered by this clause; and

(2) The prices to be invoiced shall be computed in accordance with the provisions of this clause.

(b) Definitions. As used throughout this clause, the term—

(1) Base unit price means the unit price set forth opposite the item in the Schedule.

(2) Market price means the price to be used in determining an economic price adjustment of the base unit price of an individual product for the market area and time period specified in this clause. The market price is derived from quotes, assessments, or sales prices in the market place for one or several items or commodity groups as reported in a consistent manner in a publication, electronic data base, or other form, as determined by an independent trade association, governmental body, or other third party independent of the Contractor.

(i) Base market price means the price as shown in Column V of the table below, which is the market price from which economic price adjustments are calculated pursuant to this clause.

(ii) Adjusting market price means the market price for deliveries during the most recent period, as defined in the table below.

(3) Date of delivery is defined as follows:

(i) For tanker or barge deliveries.

(A) Free on board (f.o.b.) origin. The date and time vessel commences loading.

(B) F.o.b. destination. The date and time vessel commences discharging.

(ii) For pipeline deliveries. The date and time product commences to move past the specified f.o.b. point.

(iii) For all other types of deliveries. The date product is received.

(c) Adjustments.

(1) Subject to the provisions of this clause, the price payable shall be the base unit price in effect on the date of delivery increased or decreased by the same number of cents, or fraction thereof, that the adjusting market price applicable at date of delivery increases or decreases, per like unit of measure, from the base market price.

(2) Calculations. All calculations shall be rounded to six decimal places.

(3) Modifications. Any resultant price changes to the base market price and base unit price shall be executed by the Contracting Officer through a weekly price adjustment modification effective each Tuesday.

(4) Failure to deliver. Notwithstanding any other provisions of this clause, no upward adjustment shall apply to product scheduled under the contract to be delivered before the effective date of the adjustment, unless the Contractor’s failure to deliver according to the delivery schedule results from causes beyond the Contractor’s control and without its fault or negligence, within the meaning of paragraphs (f), Excusable Delays, and (m), Termination for Cause, of the Contract Terms And Conditions - Commercial Items clause of this contract, in which case the contract shall be amended to make an equitable extension of the delivery schedule.

(5) Upward ceiling on economic price adjustment. The Contractor agrees that the total increase in any contract unit price, pursuant to these economic price adjustment provisions shall not exceed 330 percent of the original base unit price in any applicable program year (whether a single year or multiyear program), except as provided hereafter.

(i) If at any time the Contractor has reason to believe that within the near future a price adjustment under the provisions of this clause will be required that will exceed the current contract ceiling price for any item, the Contractor shall promptly notify the Contracting Officer in writing of the expected increase. The notification shall include a revised ceiling which the Contractor believes is sufficient to permit completion of remaining contract performance, along with appropriate explanation and documentation as required by the Contracting Officer.

(ii) If an actual increase in the established market price would raise a contract unit price for an item above the current ceiling, the Contractor shall have no obligation under this contract to fill pending or future orders for such item, as of the effective date of the increase, unless the Contracting Officer issues a contract modification to raise the ceiling. If the contract ceiling will not be raised, the Contracting Officer shall so promptly notify the Contractor in writing.

(6) Revision of market price indicator. In the event—

(i) Any applicable market price indicator is discontinued or its method of derivation is altered substantially; or

(ii) The Contracting Officer determines that the market price indicator consistently and substantially fails to reflect market conditions,-the parties shall mutually agree upon an appropriate and comparable substitute and the contract shall be modified to reflect such substitute effective on the date the indicator was discontinued, altered, or began to consistently and substantially fail to reflect market conditions. If the parties fail to agree on an appropriate substitute, the matter shall be resolved in accordance with paragraph (d), Disputes, of the Contract Terms And Conditions - Commercial Items clause of this contract.

(d) Conversion factors. If this clause requires quantity conversions for economic price adjustment purposes, the conversion factors for applicable products, as specified in the DLA Energy conversion factor instruction, apply unless otherwise specified in the Schedule.

(e) Examination of records. The Contractor agrees that the Contracting Officer or designated representative shall have the right to examine the Contractor's books, records, documents, or other data the Contracting Officer deems necessary to verify Contractor adherence to the provisions of this clause.

(f) Final invoice. The Contractor shall include a statement on the final invoice that the amounts invoiced hereunder have applied all decreases required by this clause.

(g) Table.

I II III IV V

Item No.

Name of Publication

Heading under which market indicator is published and name of product

Location where market price is applicable

Base market price as of April 5, 2016 (excludes all taxes) (see note(s) below)

EAST/GULF/INLAND/

OFFSHORE JP5/JP8/JAA

PLATT’S

OILGRAM

PRICE

REPORT

JET KERO 54

US GULF PIPE

U.S. GULF

COAST

$1.039260

The reference price shall be determined as follows: 100% Average of the Low and High U.S. Gulf Coast

NOTE: Prices based on this escalator will change on Tuesdays based on the prior week average. The simple average of the daily average highs and lows of the prices effective Monday through Friday (excluding any days prices are not published) shall be the adjusting market price effective for the following Tuesday through Monday.

EAST/GULF/INLAND/

OFFSHORE JP5/JP8/JAA

PLATT’S

OILGRAM

PRICE

REPORT

JET KERO 54 COAST

PIPELINE

U.S. GULF

COAST

$0.964800

The reference price shall be determined as follows: 100% Average of the Low and High U.S. Gulf Coast

NOTE: Offers based on the Jet Kero 54 Coast Pipeline market price indicator will be subject to a positive factor of $0.065454 for evaluation purposes only. This evaluation factor represents the spread between the difference of the two reference prices and the 12-month averages of both market price indicators.

Prices based on this escalator will change daily based on the published price for that day and use the last available daily price on days a price is not published.

EAST/GULF/INLAND/

OFFSHORE JP5/JP8/JAA

ARGUS US

PRODUCTS

JET KERO 54

COLONIAL

PIPELINE

HOUSTON $1.035330

The reference price shall be determined as follows: 100% Average of the Low and High Houston - Colonial Pipeline

NOTE: Offers based on the Jet Kero 54 Colonial Pipeline market price indicator will be subject to a positive factor of $0.002101evaluation purposes only. This evaluation factor represents the spread between the difference of the two reference prices and the 12-month averages of both market price indicators.

Prices based on this escalator will change on Tuesdays based on the prior week average. The simple average of the daily average highs and lows of the prices effective Monday through Friday (excluding any days prices are not published) shall be the adjusting market price effective for the following Tuesday through Monday.

EAST/GULF/INLAND/

OFFSHORE JP5/JP8/JAA

PLATT’S

OILGRAM

PRICE

REPORT

JET KERO NEW

YORK HARBOR

BARGE

NEW YORK

HARBOR

$1.094040

The reference price shall be determined as follows: 100% Average of the Low and High NYHB

NOTE: Offers based on the Jet Kero NYHB market price indicator will be subject to a positive factor of $0.010378 for evaluation purposes only. This evaluation factor represents the spread between the difference of the two reference prices and the 12-month averages of both market price indicators.

Prices based on this escalator will change on Tuesdays based on the prior week average. The simple average of the daily average highs and lows of the prices effective Monday through Friday (excluding any days prices are not published) shall be the adjusting market price effective for the following Tuesday through Monday.

EAST/GULF/INLAND/

OFFSHORE JP5/JP8/JAA

PLATT’S

OILGRAM

PRICE

REPORT

JET KERO GROUP 3

SPOT

GROUP 3 $1.032080

The reference price shall be determined as follows: 100% Average of the Low and High Group 3

NOTE: Offers based on the Jet Kero Group 3 Spot market price indicator will be subject to a positive factor of $0.050904 for evaluation purposes only. This evaluation factor represents the spread between the difference of the two reference prices and the 12-month averages of both market price indicators.

Prices based on this escalator will change on Tuesdays based on the prior week average. The simple average of the daily average highs and lows of the prices effective Monday through Friday (excluding any days prices are not published) shall be the adjusting market price effective for the following Tuesday through Monday.

EAST/GULF/INLAND/

OFFSHORE JP5/JP8/JAA

ARGUS

PRODUCTS

JET KERO NEW

YORK HARBOR

BARGE

NEW YORK

HARBOR

$1.086310

The reference price shall be determined as follows: 100% Average of the Low and High NYHB

NOTE: Offers based on the Jet Kero NYHB market price indicator will be subject to a positive factor of $0.015872 for evaluation purposes only. This evaluation factor represents the spread between the difference of the two reference prices and the 12-month averages of both market price indicators.

Prices based on this escalator will change on Tuesdays based on the prior week average. The simple average of the daily average highs and lows of the prices effective Monday through Friday (excluding any days prices are not published) shall be the adjusting market price effective for the following Tuesday through Monday.

EAST/GULF/INLAND

OFFSHORE JP5/JP8/JAA

PLATT’S

OILGRAM

PRICE

REPORT

JET KERO

BUCKEYE PIPELINE

NEW JERSEY $1.094040

The reference price shall be determined as follows: 100% Average of the Low and High New Jersey – Buckeye Pipeline

Note: Offers based on the Jet Kero Buckeye Pipeline market price indicator will be subject to a positive factor of $0.010417 for evaluation purposes only. This evaluation factor represents the spread between the difference of the two reference prices and the 12-month averages of both market price indicators.

Prices based on this escalator will change on Tuesdays based on the prior week average. The simple average of the daily average highs and lows of the prices effective Monday through Friday (excluding any days prices are not published) shall be the adjusting market price effective for the following Tuesday through Monday.

EAST/GULF/INLAND

OFFSHORE JP5/JP8/JAA

PLATT’S

OILGRAM

PRICE REPORT

JET KERO 54

WATERBORNE

USGC $1.056760

The reference price shall be determined as follows: 100% Average of the Low and High US Gulf Coast

Prices based on this escalator will change on Tuesdays based on the prior week average. The simple average of the daily average highs and lows of the prices effective Monday through Friday (excluding any days prices are not published) shall be the adjusting market price effective for the following Tuesday through Monday.

EAST/GULF/INLAND

OFFSHORE JP5/JP8/JAA

PLATT’S

OILGRAM

PRICE REPORT

JET KERO ASIA

SINGAPORE

$1.132571

The reference price shall be determined as follows: 100% Average of the Low and High Asia Singapore

Note: Offers based on the Jet Kero Asia Singapore market price indicator will be subject to a negative factor of $-0.076310 for evaluation purposes only. This evaluation factor represents the spread between the difference of the two reference prices and the 12-month averages of both market price indicators.

Prices based on this escalator will change on Tuesdays based on the prior week average. The simple average of the daily average highs and lows of the prices effective Monday through Friday (excluding any days prices are not published) shall be the adjusting market price effective for the following Tuesday through Monday.

EAST/GULF /

OFFSHORE F76

PLATT’S

OILGRAM

PRICE

REPORT

GASOIL NO.2

PIPELINE

U.S. GULF

COAST

$0.927080

The reference price shall be determined as follows: 100% Average of the Low and High U.S. Gulf Coast

Prices based on this escalator will change on Tuesdays based on the prior week average. The simple average of the daily average highs and lows of the prices effective Monday through Friday (excluding any days prices are not published) shall be the adjusting market price effective for the following Tuesday through Monday.

EAST/GULF /

OFFSHORE F76

PLATT’S

OILGRAM

PRICE

REPORT

ULSD

PIPELINE

U.S. GULF

COAST

$1.084080

The reference price shall be determined as follows: 100% Average of the Low and High U.S. Gulf Coast.

NOTE: Offers based on the ULSD Pipeline market price indicator will be subject to a negative factor of $-0.033596 for evaluation purposes only. This evaluation factor represents the spread between the difference of the two reference prices and the 12-month averages of both market price indicators.

Prices based on this escalator will change on Tuesdays based on the prior week average. The simple average of the daily average highs and lows of the prices effective Monday through Friday (excluding any days prices are not published) shall be the adjusting market price effective for the following Tuesday through Monday.

EAST/GULF /

OFFSHORE F76

ARGUS US

PRODUCTS

ULS Diesel 61 10 ppm Colonial PIPELINE

HOUSTON $1.076350

The reference price shall be determined as follows: 100% Average of the Low and High Colonial

NOTE: Offers based on the ULS Diesel 61 10 ppm Colonial Pipeline market price indicator will be subject to a negative factor of $-0.027297 for evaluation purposes only. This evaluation factor represents the spread between the difference of the two reference prices and the 12-month averages of both market price indicators.

Prices based on this escalator will change on Tuesdays based on the prior week average. The simple average of the daily average highs and lows of the prices effective Monday through Friday (excluding any days prices are not published) shall be the adjusting market price effective for the following Tuesday through Monday.

EAST/GULF /

OFFSHORE F76

PLATTS

OILGRAM

PRICE REPORT

ULSD No2 CARB

DIESEL PIPELINE

LOS ANGELES $1.201640

The reference price shall be determined as follows: 100% Average of the Low and High Colonial

NOTE: Offers based on the ULSD No2 CARB Diesel Pipeline market price indicator will be subject to a negative factor of $-0.064423 for evaluation purposes only. This evaluation factor represents the spread between the difference of the two reference prices and the 12-month averages of both market price indicators.

Prices based on this escalator will change on Tuesdays based on the prior week average. The simple average of the daily average highs and lows of the prices effective Monday through Friday (excluding any days prices are not published) shall be the adjusting market price effective for the following Tuesday through Monday.

EAST/GULF /

OFFSHORE F76

ARGUS

PRODUCTS

ULSD NEW YORK

HARBOR BARGE

NEW YORK $1.152260

The reference price shall be determined as follows: 100% Average of the Low and High NYHB

NOTE: Offers based on the ULSD NYHB market price indicator will be subject to a negative factor of $-0.049954 for evaluation purposes only. This evaluation factor represents the spread between the difference of the two reference prices and the 12-month averages of both market price indicators.

Prices based on this escalator will change on Tuesdays based on the prior week average. The simple average of the daily average highs and lows of the prices effective Monday through Friday (excluding any days prices are not published) shall be the adjusting market price effective for the following Tuesday through Monday.