01 22 00.00 10 PRICE AND PAYMENT PROCEDURES.pdf

FY21 Duluth-Superior Maintenance Dredging FY21MDDULSUPHARB

CERTIFIED FINAL - READY TO ADVERTISE

SECTION TABLE OF CONTENTS

DIVISION 01 - GENERAL REQUIREMENTS

SECTION 01 22 00.00 10

PRICE AND PAYMENT PROCEDURES

08/15

PART 1 GENERAL

1.1 SINGLE JOB PAYMENT ITEMS

1.2 UNIT PRICE PAYMENT ITEMS

1.3 PRICE SCHEDULE

1.3.1 Mobilization and Demobilization (Item No. 0001)

1.3.1.1 Payment

1.3.1.2 Unit of Measure

1.3.2 Post-Construction Debris Monitoring (Item No. 0002)

1.3.2.1 Payment

1.3.2.2 Unit of Measure

1.3.3 Required Dredging (Item No. 0003, 0004, and 0005)

1.3.3.1 Payment

1.3.3.2 Measurement

1.3.3.3 Unit of Measure

1.3.4 Full Depth Clean-up (Item No. 0006)

1.3.4.1 Payment

1.3.4.2 Unit of Measure

1.3.5 Option Surface Clean-up (Item No. 0007)

1.3.5.1 Payment

1.3.5.2 Unit of Measure

PART 2 PRODUCTS

PART 3 EXECUTION

3.1 BASIS FOR SETTLEMENT OF PROPOSALS

3.2 EQUIPMENT OWNERSHIP AND OPERATING EXPENSE SCHEDULE

3.3 CONTRACT COST BREAKDOWN

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SECTION 01 22 00.00 10 Page 1

SECTION 01 22 00.00 10

PRICE AND PAYMENT PROCEDURES

08/15

PART 1 GENERAL

1.1 SINGLE JOB PAYMENT ITEMS

Payment items for the work of this contract for which contract job payments will be made are listed in the BIDDING SCHEDULE and described below. All costs for items of work, which are not specifically mentioned to be included in a particular job or unit price payment item, are included in the listed job item most closely associated with the work involved. The job price and payment made for each item listed constitutes full compensation for furnishing all plant, labor, materials, and equipment, and performing any associated Contractor quality control, environmental protection, meeting safety requirements, tests and reports, and for performing all work required for which separate payment is not otherwise provided.

1.2 UNIT PRICE PAYMENT ITEMS

Payment items for the work of this contract on which the contract unit price payments will be made are listed in the BIDDING SCHEDULE and described below. The unit price and payment made for each item listed constitutes full compensation for furnishing all plant, labor, materials, and equipment, and performing any associated Contractor quality control, environmental protection, meeting safety requirements, tests and reports, and for performing all work required for each of the unit price items.

1.3 PRICE SCHEDULE

BASE BID (LINE ITEMS 0001-0004)

1.3.1 Mobilization and Demobilization (Item No. 0001)

1.3.1.1 Payment

Payment will be made for single job costs associated with mobilization and demobilization, as defined in DFARS 252.236-7004 PAYMENT FOR MOBILIZATION

AND DEMOBILIZATION.

1.3.1.2 Unit of Measure

Unit of measure: job.

1.3.2 Post-Construction Debris Monitoring (Item No. 0002)

1.3.2.1 Payment

Payment will be made for single job costs associated with all labor and material necessary to perform all work as required in SECTION 01 35 13 paragraph titled "POST-CONSTRUCTION DEBRIS MONITORING."

SECTION 01 22 00.00 10 Page 2

1.3.2.2 Unit of Measure

Unit of measure: job.

1.3.3 Required Dredging (Item No. 0003, 0004, and 0005)

1.3.3.1 Payment

This item shall include all work as specified in SECTION 35 20 23 DREDGING.

The Contract unit price per cubic yard of dredging shall include the cost of removal, conveyance and disposal of all materials meeting the description specified in SECTION 35 20 23 "DREDGING" paragraph "Character of Materials" and as shown on the drawings and as specified herein. The contractor is not required to remove from the dredge area: original materials, ledge rock, boulders, cobbles, rock fragments, wrecks, scrap materials, snags, stumps, piles, debris or other material which cannot be removed by the plant specified in the accepted bid, or the equivalent of such plant, without blasting or special apparatus. The unit price shall also include the cost of all work required to be performed for the use of the disposal area. Nothing in this paragraph shall be construed as prohibiting the removal of excepted material by special means at the prices agreed and approved in accordance with applicable provisions of the contract. Costs may also include those associated with use of an upland placement site as specified in SECTION 35 20 23 DREDGING.

When an option has been exercised for increased depth or area at a specific location, all overdepth to 1.0 ft. below the required dredging areas and sideslope quantities associated with the Base Bid dredging areas shall be paid for at the applicable unit costs for the Base Bid AA and AB items. All other quantities dredged will be paid for at the unit costs associated with the option dredge areas.

This item shall also include all work as specified in SECTION 35 20 23 13 "NATIONAL DREDGING QUALITY MANAGEMENT PROGRAM SCOW". The contract unit price per cubic yard for "Dredging," shall constitute full compensation for all labor, equipment, tools, and incidentials necessary to operate and maintain the system as specified herein for the duration of the dredging operations.

1.3.3.2 Measurement

See SECTION 35 20 23 "DREDGING" paragraph "MEASUREMENT."

1.3.3.3 Unit of Measure

Cubic Yard

1.3.4 Full Depth Clean-up (Item No. 0006)

1.3.4.1 Payment

This item shall include all work as specified in SECTION 01 35 13 paragraph titled "FULL DEPTH CLEAN-UP." This item shall include all labor, material, and equipment necessary to accomplish the specified work.

1.3.4.2 Unit of Measure

Unit of measure: job.

SECTION 01 22 00.00 10 Page 3

1.3.5 Option Surface Clean-up (Item No. 0007)

1.3.5.1 Payment

This item shall include all work as specified in SECTION 01 35 13 paragraph titled "OPTIONAL SURFACE CLEAN-UP." This item shall include all labor, material, and equipment necessary to accomplish the specified work of two separate surface clean-ups.

1.3.5.2 Unit of Measure

Unit of measure: job.

PART 2 PRODUCTS

Not Used

PART 3 EXECUTION

3.1 BASIS FOR SETTLEMENT OF PROPOSALS

Actual costs will be used to determine equipment costs for a settlement proposal submitted on the total cost basis under Federal Acquisition Regulation (FAR) 49.206-2(b). In evaluating a termination settlement proposal using the total cost basis, the following principles will be applied to determine allowable equipment costs:

(a) Actual costs for each piece of equipment, or groups of similar serial or series equipment, need not be available in the contractor's accounting records to determine total actual equipment costs.

(b) If equipment costs have been allocated to a contract using predetermined rates, those charges will be adjusted to actual costs.

(c) Recorded job costs adjusted for unallowable expenses will be used to determine equipment operating expenses.

(d) Ownership costs (depreciation) will be determined using the contractor's depreciation schedule (subject to the provisions of Federal Acquisition Regulation (FAR) 31.205-11).

(e) License, taxes, storage and insurance costs are normally recovered as an indirect expense and unless the contractor charges these costs directly to contracts, they will be recovered through the indirect expense rate.

3.2 EQUIPMENT OWNERSHIP AND OPERATING EXPENSE SCHEDULE

(a) This clause does not apply to terminations. Federal Acquisition Regulation (FAR) part 49.

(b) Allowable costs for construction and marine plant and equipment in sound workable condition owned or controlled and furnished by a contractor or subcontractor at any tier shall be based on actual cost data for each piece of equipment or groups of similar serial and series for which the Government can determine both ownership and operating costs from the contractor's accounting records. When both ownership and operating costs cannot be determined for any piece of equipment or groups of similar serial or series equipment from the contractor's accounting records, costs for that equipment shall be based upon the applicable provisions of Engineer

SECTION 01 22 00.00 10 Page 4

Pamphlet (EP) 1110-1-8, Construction Equipment Ownership and Operating Expense Schedule, Region 4. Working conditions shall be considered to be average for determining equipment rates using the schedule unless specified otherwise by the contracting officer. For equipment not included in the schedule, rates for comparable pieces of equipment may be used or a rate may be developed using the formula provided in the schedule. For forward pricing, the schedule in effect at the time of negotiations shall apply.

For retroactive pricing, the schedule in effect at the time the work was performed shall apply.

(c) Equipment rental costs are allowable, subject to the provisions of FAR 31.105(d)(ii) and FAR 31.205-36. Rates for equipment rented from an organization under common control, lease-purchase arrangements, and sale-leaseback arrangements, will be determined using the schedule, except that actual rates will be used for equipment leased from an organization under common control that has an established practice of leasing the same or similar equipment to unaffiliated lessees.

(d) When actual equipment costs are proposed and the total amount of the pricing action exceeds the simplified acquisition threshold (SAT), the contracting officer shall request the contractor to submit either certified cost or pricing data, or partial/limited data, as appropriate. The data shall be submitted on Standard Form 1411, Contract Pricing Proposal Cover Sheet.

3.3 CONTRACT COST BREAKDOWN

The Contractor must furnish within 30 calendar days after the date of Notice to Proceed, and prior to the submission of its first partial payment estimate, a breakdown of its single job pay item or items which will be reviewed by the Contracting Officer as to propriety of distribution of the total cost to the various accounts. Any unbalanced items as between early and late payment items or other discrepancies will be revised by the Contracting Officer to agree with a reasonable cost of the work included in the various items. This contract cost breakdown will then be utilized as the basis for progress payments to the Contractor.

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