attch1.pdf

DEFENSE LOGISTICS AGENCY

DEFENSE ENERGY SUPPORT CENTER

8725 JOHN J. KINGMAN RD. SUITE 4950

FORT BELVOIR, VIRGINIA 22060-6222

Instruction Number: DESC-I-3 February 17, 2010

DEFENSE ENERGY SUPPORT CENTER FUEL PURCHASE AGREEMENT PROGRAM

References: (a) DoD Manual 4140.25, DoD Management of Bulk Petroleum, Natural Gas, and Coal

(b) DESC-P-6, Authorized Customers and Cash Sales

(c) DESC-I-26, Ordering Forms and Equipment and Embossing of Forms Used for Documentation of Fuel Sale and Credit Transactions

(d) DESC-P-5, Vehicle Identification Link (VIL) Key Encoding, Accountability, and Control

(e) Federal Acquisition Regulations Part 51, Use of Government Sources by

Contractors

(f) Federal Acquisition Regulations Part 52.251-1, Government Supply Sources

1. GENERAL. This instruction was coordinated with Military Service Control Points (SCP) and approved by DESC as interim guidance pending inclusion in DoD Manual 4140.25-M

(Reference (a)).

a. Applicability. This interim instruction is applicable to the Defense Fuel Support Points

(DFSPs) that manage Defense Working Capital Fund (DWCF) petroleum products including

Government-Owned Government-Operated (GOGO), Government-Owned Contractor-Operated

(GOCO), and Contractor-Owned Contractor-Operated (COCO) DFSPs managed or contracted by

DESC and the Military Services.

b. Supersession. This revision supersedes DESC-I-3, Defense Energy Support Center

Fuel Purchase Agreement Program, dated August 11, 2008.

c. Content Review. The Supply Chain Policy and Procedures Branch (DESC-OSP) reviewed this instruction in accordance with DESC-S-D-10-07, Supply Chain Management

Publication Development. All changes were coordinated with the Office of Primary

Responsibility (OPR).

2. PURPOSE. This document contains instructions for non-DoD agencies to establish a Fuel

Purchase Agreement (FPA) with the DESC to purchase DWCF petroleum products.

http://www.desc.dla.mil/DCM/DCMPage.asp?PageID=699 http://www.desc.dla.mil/DCM/DCMPage.asp?PageID=699 http://www.desc.dla.mil/DCM/Files/DESC-P-6.pdf http://www.desc.dla.mil/DCM/Files/DESC-I-26.pdf http://www.desc.dla.mil/DCM/Files/DESC-I-26.pdf http://www.desc.dla.mil/DCM/Files/DESC-P-5.pdf http://www.desc.dla.mil/DCM/Files/DESC-P-5.pdf http://www.acquisition.gov/far/current/html/FARTOCP51.html http://www.acquisition.gov/far/current/html/FARTOCP51.html http://acquisition.gov/far/current/html/52_248_253.html

DESC-I-3

February 17, 2010

3. ELIGIBLE NON-DOD ORGANIZATIONS

a. DESC P-6, (Reference (b)) provides guidance on non-DoD customers that are eligible to receive an authorized fuel purchase device from DESC to obtain DWCF owned fuel.

b. U.S. Government contractors, charters, and subcontractors.

c. Foreign commercial entities under limited circumstances.

d. State and local governments.

e. Civil Air Patrol (CAP).

f. Aircraft museums.

g. Educational institutions.

h. Organizations chartered/established by Congress such as the Red Cross, United Service

Organizations (USO), and the Smithsonian Institution.

i. Humanitarian Organizations.

j. Other Non-DoD Agencies and customers approved by the DESC Director.

4. FPA APPLICATION

a. U.S. Government contractors/charters and subcontractors:

(1) U.S. Government contractors/charters and subcontractors shall complete and submit the FPA application at Appendix 1.

(2) Contracting Officers, Administrative Contracting Officers, and Defense Corporate

Executives, all referred to as the CO throughout this document, shall complete a CO letter to be included in the FPA package submitted to the DESC Retail Management Division (DESC-RR.)

Additionally, the CO will certify the contractor’s list of aircraft supporting the contract that require a DD Form 1896, DOD Fuel Identaplate. See Appendix 2 for the CO letter format and signature element. The CO letter shall include the following information:

(a) An initial issue request or renewal for a DoD Activity Address Code (DoDAAC) account.

(b) The complete contractor operational and billing addresses.

(c) The prime contract number(s).

http://www.desc.dla.mil/DCM/Files/DESC-P-6.pdf

(d) The start and end date of contract under which the government contractor may receive Government furnished supplies.

(e) A list of aircraft tail numbers supporting the contract that requires a

DD Form 1896.

(f) Request for additional identaplates by government contractor should be coordinated through the CO. The CO will also notify DESC-RR of any additions or deletions from the original approved aircraft list.

(g) Replacement identaplates may be ordered directly from DESC-RR by e-mail to fpa@dla.mil.

b. Foreign commercial companies shall forward a justification letter describing the need to purchase DWCF owned fuel to DESC-RR along with the FPA application at Appendix 1.

c. Display aircraft and vehicles. Military, DoD museums, and DoD sponsored organizations that provide static, aerial, vintage, military, civilian aircraft, or vehicle displays on a military installation shall provide on letterhead, justification describing their mission along with a completed FPA application at Appendix 1 to DESC-RR.

d. Weather Alternate Applicants shall provide on letterhead, justification describing their mission along with a completed FPA application at Appendix 1, and supporting DD Form 2401, Civil Aircraft Landing Permit.

e. State and local governments, CAP units, humanitarian organizations, educational institutions, and congressionally chartered organizations shall forward a letter justifying the need to purchase DWCF owned fuel to DESC-RR along with the FPA application at Appendix 1.

They must also include copies of applicable agreements or arrangements with the FPA application.

f. 1122 Program, Emergency or 1st Responders, and Homeland Security, and

U.S. Government AIR Card® Program participants:

(1) All 1122 Program participants shall complete the FPA package at Appendix 3.

(2) U.S. Government AIR Card® Program applicants shall complete the FPA and the

U.S. Government AIR Card® Accountable Official Nomination Form at appendix 3

Attachment 2. The State Point of Contact (SPOC) shall complete the Agency Certification to use the U.S. Government AIR Card® Program form at appendix 3Attachment 1.

(3) Applicants requesting a DD Form 1896 shall submit the completed FPA and appendix 3 Attachment 1.

file://bel2sc-fd05-v3/desc-s/DESC-T/DESC-TK/DESC-OSP%20021009/Supplemental%20Interim%20Guidance/In%20Coordination/Interim%20Instructions/DESC-I-3/fpa@dla.mil http://www.gsa.gov/Portal/gsa/ep/contentView.do?contentType=GSA_OVERVIEW&contentId=8058

5. APPROVAL PROCESS

a. FPA requests are subject to the following checks prior to the FPA approval.

(1) Background Check. DESC-RR shall check the General Services Administration

(GSA) Excluded Parties Listing System (EPLS) http://www.epls.gov/ and the U.S. Department of Commerce, Bureau of Industry and Security (BIS) http://www.bis.doc.gov/ websites to ensure the requesting contractor or subcontractor is not barred from doing business with the U.S.

Government.

(2) Credit History Check. DESC-RR shall review the customer payment and credit history prior to renewing the FPA to ensure there are no unpaid invoices or administration and interest charges. Unpaid invoices are justification for non-renewal of a customer account.

b. Upon FPA approval, newly authorized customers are assigned a T-DoDAAC account.

DESC-RR shall coordinate with the DFSP Management office, (DESC-N) to create the new customer account and shall provide all pertinent information for DESC-N to load into the

Business Systems Modernization- Energy (BSM-E) Fuels Enterprise Server (FES). Minimum required information includes the company/organization name, billing and operational addresses.

c. DESC-N shall load the information into the FES to enable military installations to process sale and credit transactions and shall advise DESC-RR the assigned T-DoDAAC account for the new customer.

d. DESC-RR shall prepare a fuel identaplate for each aviation fuel customer in accordance with DESC-I-26, (Reference (c)), paragraph 5.4. New customers that require ground fuel products shall request Vehicle Identification Link (VIL) key(s) in accordance with DESC-P-5

(Reference (d)).

e. The DESC approval or rejection decision is solely the right of DESC.

6. FPA RENEWALS

a. The primary purpose for FPA renewal is to validate account data currency and confirm that purchase authorization still exists.

b. The FPA is normally reviewed and renewed annually. But an FPA may be approved for longer periods at the discretion of DESC-RR. Customers that present an expired DD Form 1896, or VIL key are authorized to purchase DWCF petroleum products with prior approval from

DESC-RR by an FPA Extension letter or renewed FPA.

c. DESC-RR shall send an electronic FPA renewal notification letter to the CO or renewal point of contact (POC) listed on the FPA 60 days prior to the FPA expiration date.

d. DESC-RR shall forward a second and Final Notice notification letter within 30 days of http://www.epls.gov/ http://www.bis.doc.gov/ http://www.desc.dla.mil/DCM/Files/DESC-I-26.pdf http://www.desc.dla.mil/DCM/Files/DESC-P-5.pdf the FPA expiration date when the renewal POC does not respond to the first FPA renewal notification request letter.

f. When the renewal POC does not respond to the second and Final Notice request, DESC-

RR shall take actions to deactivate the T-DoDAAC on the FPA expiration date.

g. DESC-RR shall prepare and forward the new DD Form 1896 from the approved CO list to the aviation fuel customer. Customers that require ground fuel products shall present copy of the renewed FPA provided by the CO to the supporting DFSP for extension of VIL Key expiration dates.

h. An FPA is non-transferable. If at any time during the approved period of an FPA, a company is sold, the CO shall notify DESC-RR on letter head of the effective sale date.

DESC-RR shall issue a revised expiration date for the FPA of the company being sold. The new incoming company is required to submit an FPA through their respective CO if they wish to purchase fuel from DESC.

7. REASONS FOR FPA SUSPENSION OR TERMINATION

a. A customer becomes delinquent for failure to comply with any of the FPA payment terms.

T-DODAAC account customers receive monthly invoices with full payment due to DESC within

30 days of the billing date. Accounts may be suspended when payment delinquencies exceed 60 days and results in account reinstatement denial until DESC receives satisfactory payment.

DESC reserves the right to deny FPA account reinstatement after receipt of payment.

b. In consultation with DESC Office of Counsel (DESC-G), DESC-RR shall notify the CO and the customer that purchase authority is suspended and shall advise DFSPs of any account suspension. Notification to parties is normally accomplished via e-mail. Accordingly, DFSP personnel shall lock out all VIL Keys associated with the revoked or suspended T-DODAAC.

c. U.S. Government Contractors, Subcontractors, and Charters. Pursuant to FAR Part 51, (Reference (e)), the contracting agency is responsible for any indebtedness for supply purchases incurred, but not paid by the contractor.

(1) DESC-RR shall contact the CO on a delinquent customer account and caution that immediate payment to DESC is necessary and that untimely or late invoice payment shall result in purchase authority suspension.

(2) DESC-RR shall request CO assistance to obtain timely full payment when a customer remains delinquent.

(3) DESC-RR shall consult with DESC-G to shall obtain debt payment through the contracting agency by whatever means feasible, including the offset of contract payment to the contractor, direct contracting agency payment, or both.

d. Civil authorities, State and local governments, CAP, aircraft museum, educational http://www.acquisition.gov/far/current/html/FARTOCP51.html institutions, congressionally established or chartered organizations, humanitarian organizations, weather alternates, and other non-DoD agencies and customers approved by the DESC Director.

(1) DESC-RR shall contact a delinquent customer to caution that immediate payment to

DESC is necessary and that untimely invoice payment shall result in purchase authority suspension.

(2) For 1122 Program participants, DESC-RR shall contact the delinquent customer and the applicable SPOC to caution that immediate payment to DESC is necessary and that untimely invoice payment shall result in purchase authority suspension.

e. DESC-RR will immediately remove customers from the authorized T-DoDAAC account customer listing upon T-DoDAAC suspension, revocation, or when no longer required.

//Signed copy on file//

MICHAEL D. BRODERICK

Director, Business Process Support

Defense Energy Support Center

DESC OPR: DESC-R

DESC OCR: DESC-G, K, N, PH, RB, RP, RR

Appendixes:

AP1 Appendix 1: Fuel Purchase Agreement

AP2 Appendix 2: Sample Contracting Officer FPA Request Letter

AP3 Appendix 3: Fuel Purchase Agreement (FPA) For 1122 Program, 1st Responders

(Emergency), and Homeland Security (Anti-Terrorism) Program Participants

Attachment 1: Agency Certification to use the AIR Card® Program

Attachment 2: AIR Card® Accountable Official Nomination Form (1122 Program, 1ST

Responders (Emergency), and Homeland Security (Anti-Terrorism) Participants

AP4 Appendix 4: Points of Contact Listing https://www.desc.dla.mil/DCM/Restricted/DCMRestrictedPage.asp?ReDirect=NO&PageID=855 https://www.desc.dla.mil/DCM/Restricted/DCMRestrictedPage.asp?ReDirect=NO&PageID=855

AP1. APPENDIX 1

Fuel Purchase Agreement (FPA) Application

See next page

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, 1014 Billy Mitchell

Blvd, San Antonio, TX 78226 (“Seller” or “Government”) and

______________________, its successors and assigns (“Purchaser”).

This Fuel Purchase Agreement is an (a):

The Purchaser desires to purchase Defense Working Capital Fund fuel:

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

Purchaser is a:

(Check all that apply)

Other Specify: ___________________________________________

Humanitarian

Educational institution

Aircraft museum

Civil Air Patrol

State or local Government

Foreign Government Contractor/Charter

Airline/Aircraft Operator

U.S. Government Contractor/Charter

Diesel

Gasoline

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

Renewal (Please enter assigned T-DoDAAC)

Initial Requirement

Modification Center

AP1. APPENDIX 1 (CONTINUED)

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

Department/Agency: _______________________________________

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:

Department/Agency: ________________________________________

Contract Number: __________________________________________

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

Department/Agency Point of Contact Name and Phone Number:

Specify: _________________________________________________

Purchaser:

Other Specify: _______________________________________________________

Exclusively by a nonprofit educational institution

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

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.

Official Civil Air Patrol missions

Weather Alternate, Emergency Landing, etc.

Emergency, such as, firefighting, air evacuation and rescue (State and local Governments only)

Interagency agreement or arrangement (State and local Governments only)

Foreign Government Contract/Charter

U.S. Government Contract/Charter

Does not require DD Form 1896, DOD Fuel Identaplates Requires

Purchaser billing address is:

Purchaser financial point of contact, name and Telephone phone number and E-mail Address:

Purchaser operational address is:

Purchaser POC for annual renewal of this FPA, name, phone number and e-mail 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 U.S.

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 United States Government or Foreign http://www.desc.dla.mil/DCM/DCMPage.asp?pageid=644

Government contract or charter, when the contract or charter expires, whichever is earlier. 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

Signed and Agreed:

SELLER (DESC) PURCHASER: __________________________

By: _________________________________ By:____________________________

DAVID A. LAWSON

Chief, Retail Management Division

(Printed Name & Title)

E-mail Address:

Telephone Number:

Date: ___________________ Date: ___________________

AP2. APPENDIX 2

Sample Contracting Officer FPA Request Letter

Letterhead

From: Contracting Officer Name and Address

To: Defense Logistics Agency

Building 1621

1014 Billy Mitchell Blvd

San Antonio, TX 78226

Subject: Request to Use Government Supply Source, Purchasing Defense Working Capital Fund (DWCF) Fuel

The purpose of this letter is to inform that (Company Name and Address) is under contract to perform (function) at

(supported Government Agency). Performance of these services is under Contract Number (contract number).

The contract term under which the Government contractor may receive Government furnished supplies (start and end date of contract and current delivery/performance period of contract ).

(Company Name) provides all personnel, equipment, tools, materials, parts, supplies, supervision, and other services as necessary to perform (describe services to be performed) as defined in the Statement of Work (SOW) under contract (contract number).

Supplies from the Defense Energy Support Center (DESC) are required in the performance of this contract. The contract includes the Government Supply Sources clause (FAR 52.251-1) and is of contract type described in FAR

51.101(a). The contract file supporting issuance of this authorization contains the written finding required by FAR

51.102.

Therefore, pursuant to FAR Subpart 51.1, (Company Name) is authorized to purchase direct materials, equipment, supplies, and other services from Government sources under contract (contract number) on behalf of (Government

Agency that is supported).

Include a statement that the list of aircraft tail numbers has been reviewed and are in support of the contract.

For renewals include any information that may have change from the last submission of the contractor; i.e. telephone number, operational and/or billing addresses, renewal and financial POCs.

DESC must have all current information for renewing current accounts with the Contracting Officers letter.

Direct any questions or request additional information to (point of contact, telephone number, e-mail, or fax number).

Contracting Officer http://www.acquisition.gov/far/current/html/52_248_253.html#wp1120030 http://www.acquisition.gov/far/current/html/Subpart%2051_1.html#wp1082594 http://www.acquisition.gov/far/current/html/Subpart%2051_1.html#wp1082594 http://www.acquisition.gov/far/current/html/Subpart%2051_1.html#wp1082594

AP3. APPENDIX 3

Fuel Purchase Agreement (FPA) For 1122 Program, 1st Responders (Emergency), and

Homeland Security (Anti-Terrorism) Program Participants

See next page

DEFENSE LOGISTICS AGENCY

DEFENSE ENERGY SUPPORT CENTER

8725 John J. Kingman Rd. Suite 4950

Fort Belvoir, Virginia 22060-6222

Fuels Purchase Agreement (FPA) For 1122 Program, 1st Responders Emergency), and Homeland Security (Anti-

Terrorism) Program Participants

This Agreement is dated ______________, 20___, by and between the Defense Energy Support Center (DESC), Resources Management Directorate, Retail Management Division (DESC-RR), Building 1621, 1014 Billy Mitchell

Blvd, San Antonio, TX 78226 (“Seller” or “Government”) and

______________________, its successors and assigns (“Purchaser”).

This Fuel Purchase Agreement is an (a):

The Purchaser desires to purchase Defense Working Capital Fund fuel:

___ At Commercial Airport / Intoplane Refueling Locations

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

Purchaser is a 10U.S.C. § 381:

Customer Information:

Billing address is: ________________________________________________________________

Operational address is: ____________________________________________________________

Financial point of contact, name and phone number and e-mail address is:

Homeland Security (anti-terrorism)

1st Responders (Emergency)

1122 Program

Aviation and / or Ground Fuel

Aviation Fuel

Renewal (Please enter assigned T-DoDAAC)

Initial Requirement

AP3. APPENDIX 3 (CONTINUED)

POC for annual renewal of this FPA, name, phone number and e-mail address

Customer is requesting:

(Additional Documentation Required to be Submitted; see attachments 1 and 2 )

Further guidance on the Air Card® program can be found at http://www.desc.dla.mil/DCM/DCMPage.asp?PageID=614

Types of aircraft and tail numbers are:

Purpose: This Agreement does not obligate the Government or otherwise guarantee the Purchaser 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. As set forth below, the cognizant legal office representing the state, county, city or other governmental entity applying to purchase fuel from DESC is required to confirm the authority of the purchaser and verify that funds are allocated to pay for the purchased fuel.

Fuel Use: Purchaser warrants that use of fuel purchased from Seller is to support only the performance of an approved use in accordance with the Purchaser’s representations above. 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 any re-sale of fuel purchased from Seller to the U.S. Government shall not exceed the purchase price paid under this Agreement (see below). 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 and AIR Card ® usage 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.

Fuel Identaplate, DD Form 1896

Air Card® http://www.desc.dla.mil/DCM/DCMPage.asp?PageID=614

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.

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

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

DEFENSE ENERGY SUPPORT CENTER ___________________________________

SELLER PURCHASER

By: _________________________________ By: ____________________________

DAVID A. LAWSON (Printed name, title)

Chief, Retail Management Division E-mail Address ___________________________

Defense Energy Support Center Telephone Number____________________________

Date: ___________________ Date: ___________________

STATEMENT OF LEGAL AUTHORITY

The undersigned hereby certifies that he/she is legal counsel for the Purchaser and has reviewed this

Agreement. The undersigned further certifies that the individual executing this Agreement has legal authority to bind the Purchaser and that this Agreement is legally sufficient and binding under all statutes, regulations, policies and other laws applicable to purchases of fuel by the Purchaser.

LEGAL OFFICE

By:

(Printed Name, title, telephone and e-mail address)

Date: ___________________

AP3, ATTACHMENT 1

Agency Certification to use the AIR Card® Program

8725 John J. Kingman Road

Fuel Card Program Management Office

Attn: DESC-K

Ft. Belvoir, VA 22060

Subject: Agency Certification to use the AIR Card® Program

The enclosed document represents the agreement by the Name of State and Local Government Agency accepting responsibility as provided by DESC and the AIR Card® Program through the use of the Multi Service

Corp card.

This letter represents authorization by the State Point of Contact (SPOC) for State for the unit/activity name, address, phone number to access the DESC aviation fuel program as a bona fide law enforcement agency in support of either (Circle all that apply):

1122 Program, 1 st Responders (Emergency) Homeland Security (Anti-Terrorism)

Signature of SPOC:

Date of Signature:

Printed Name of State Point of Contact:

Address of SPOC:

E-mail of SPOC:

Phone Number of SPOC:

Fax of SPOC:

I understand that participation in the AIR Card® Program requires the appointment of an Accountable Official (AO) and the AO will receive an appointment letter to sign. The AO is responsible for supporting the certification of payment vouchers and documents for vendor pay. As such, the AO should be familiar with all rules and regulations applicable to their AIR Card® appointment letter. Fuel Card Program guidance and AO training can be found at http://www.desc.dla.mil under the Customer Resources and DESC Fuel Card Program links. Please be sure your

AO is familiar with this web site. Your Account Manager can be reached at (703) 767-0689.

http://www.desc.dla.mil/

AP3. ATTACHMENT 2

AIR CARD® ACCOUNTABLE OFFICIAL NOMINATION FORM

1122 Program, 1st Responders (Emergency), and Homeland Security (Anti-Terrorism)

Participants

Attention State and Local Law Enforcement agencies:

It is a requirement to nominate an Accountable Official (AO) to manage the AIR Card®

Program. AIR Card® will be issued to state and local government owned or leased aircraft, doing counter drug activities, 1 st Responders (emergency response), and Homeland Security

(anti-terrorism initiatives). Please complete and return the Accountable Official Nomination

Form as soon as possible. NOTE: An Accountable Official must be a state or local government official or employee, not contractor personnel.

Please enter information then print the completed form, sign, date and fax form to (210) 925-

0555/ DSN 945-0555/9520 or scan and attach the form to an e-mail then send to aircard@dla.mil. Failure to return this form will result in the deactivation of your current AIR

Cards® or not establishing a new account. DoDAAC, Signal Code, Fund Code, and SUPAAC

DoDAAC will be completed by DESC personnel.

ACCOUNT DETAILS:

DoDAAC Signal

Code

Fund Code APC/ORG/TEC/JONO SUPAAC

DoDAAC

AIR Card® Account # Activity

Name

Unit/Wing/Squadron:

Activity Operating Address

City State Zip Code Country

Nominee Full Name and Title ( O Primary

O Alternate)

Nominee E-mail Address

Nominee Phone DSN Nominee Fax

I hereby nominate the above individual as the Accountable Official for the AIR Card® account identified above. In this context, (he/she) agree to assume responsibility for AIR Card® associated with this account and their use in accordance with Department of Defense Financial

Management Regulation Volume 5 Chapter 33. Specifically, (he/she) agree to:

mailto:aircard@dla.mil

AP3. ATTACHMENT 2 (CONTINUED)

a. Receive the cards associated with this account and control their distribution to users.

b. Oversee the use of all cards, to include review of associated transactions and exception reporting as prescribed in DESC's procedures for card use.

c. Promptly report any misuse, loss or theft of any card in accordance with DESC procedures.

d. Maintain accuracy of the billing and point of contact data in the AIR Card®.

Supervisor of the individual nominated as Accountable Official shall designate the departmental accountable official in writing. Departmental accountable official shall not be appointed certifying officers for the same types of payments. The departmental accountable official will be appointed by appointment letter and notified in writing by letter of the designation that apprises them of pecuniary liability for all illegal, improper or incorrect payments that result from negligent performance of duties.

Authorized Signature (Nominee’s Supervisor) Date

Full Name and Title

Note: Nominee cannot be the Authorized signee this form

Billing details (if different for account details): A physical mailing address is required for all

Federal Express deliveries as they will not deliver to a PO Box address.

DoDAAC Signal

Code

Fund Code APC/ORG/TEC/JONO SUPAAC

DoDAAC

AIR Cards® Account # Activity

Name

Unit/Wing/Squadron:

Activity Billing Address

City State Zip Code Country

POC Full Name and Title POC E-mail Address

POC Phone DSN POC Fax

List of Aircraft (Aircraft must be State/Local owned or leased):

Tail # A/C type

STATEMENT OF AVAILABILITY OF FUNDS

I certify funds are available to pay for fuel purchased under this agreement.

COMPTROLLER OFFICE

By:____________________

(Print name, title, telephone

E-mail address)

AP4. APPENDIX 4

Points of Contact

1. forward customer approval requests for assistance to the following address:

Retail Management Division (DESC-RR)

Building 1621

1014 Billy Mitchell Blvd

San Antonio, TX 78226

Commercial Telephone Number: (210) 925-4887/5944/2884, DSN: 945-

4887/5944/2884

Commercial FAX: (210) 925-0555, DSN: 945-0555

Hours of Operation: 0800 – 1700 CST Monday through Friday

2. The DESC-RR office can provide customer assistance to obtain a T-DoDAAC.

Retail Management Division (DESC-RR)

Building 1621

1014 Billy Mitchell Blvd

San Antonio, TX 78226

Commercial Telephone Number: (210) 925-4887/5944/2884, DSN: 945

Commercial FAX: (210) 925-0555, Hours of Operation: 0800 – 1700 CST Monday through Friday

3. For assistance to determine customers authorized to receive fuel, contact the POCs listed in paragraph 2 during normal duty hours. After hours contact either of the following offices:

BSM-E Help Desk (J-62)

8725 John J. Kingman Road, Suite 2839

Ft. Belvoir, VA 22060-6222

Commercial Telephone Number: 1-800-446-4950

DSN: 697-6733

Operations Center (DESC-DL)

8725 John J. Kingman Road, Suite 2839

Ft. Belvoir, VA 22060-6222

Commercial Telephone Number: (703) 767-8420 or 1-800-2-TOPOFF

DSN: 427-8420