FAR 52.241-9 - Connection Charge
Prescribed in 41.501(d)(3) | ||
Effective Date: | 1 February 1995 | |
Clause or Provision: | Clause | |
Provision or Clause Number: | 52.241-9 - Connection Charge | |
Principle Type And/Or Purpose of Contract: | ||
Required: | ||
Applicable: | Utility Services | |
Optional: | Simplified Acquisition Procedures (Excludes Micro-Purchase); Facilities; Indefinite Delivery; Dismantling, Demolition or Removal of Improvements; Leasing of Motor Vehicles; Fixed Price, Construction; Time & Material/Labor Hour; Cost Reimbursement, Construction; Fixed Price, Service; Cost Reimbursement, Supply; Cost Reimbursement, Service | |
Subject: | Utility Contracts | |
ProcurementType: | ||
Contract Threshold: | ||
Prescription Overview: |
Prescription | |
Clause Overview: |
Clause(a) ChargeIn consideration of the Contractor furnishing and installing at its expense the new connection facilities described herein, the Government shall pay the Contractor a connection charge. The payment shall be in the form of progress payments, advance payments or as a lump sum, as agreed to by the parties and as permitted by applicable law. The total amount payable shall be either the estimated cost of $______ less the agreed to salvage value of $______, or the actual cost less the salvage value, whichever is less. As a condition precedent to final payment, the Contractor shall execute a release of any claims against the Government arising under or by the virtue of such installation. (b) Ownership, Operation, Maintenance and Repair of New Facilities to Be ProvidedThe facilities to be supplied by the Contractor under this clause, notwithstanding the payment by the Government of a connection charge, shall be and remain the property of the Contractor and shall, at all times during the life of this contract or any renewals thereof, be operated, maintained, and repaired by the Contractor at its expense. All taxes and other charges in connection therewith, together with all liability arising out of the construction, operations, maintenance, or repair of such facilities, shall be the obligation of the Contractor. (c) Credits
(d) Termination Before Completion of FacilitiesThe Government reserves the right to terminate this contract at any time before completion of the facilities with respect to which the Government is to pay a connection charge. In the event the Government exercises this right, the Contractor shall be paid the cost of any work accomplished, including direct and indirect costs reasonably allocable to the completed work prior to the time of termination by the Government, plus the cost of removal, less the salvage value. (e) Termination after Completion of FacilitiesIn the event the Government terminates this contract after completion of the facilities with respect to which the Government has paid a connection charge, but before the crediting in full by the Contractor of any connection charge in accordance with the terms of this contract, the Contractor shall have the following options:
==Alternate++ Alternate I (Feb 1995)If the Contracting Officer determines that a nonrefundable charge is to be paid and no credits are due the Government, delete paragraphs (c) and (e), renumber paragraph (d) as (c) and add the following as paragraph (d): (d) Termination after completion of facilities. In the event the Government terminates this contract after completion of the facilities with respect to which the Government is to pay a connection charge, the Contractor shall have the following options:
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Important Notes/Requirements: |
Only applicable to Utility Contracts???? | |
Subcontract Threshold: | ||
Incorporated by Reference: | No | |
Uniform Contract Format: | I | |
Editor: | Marshall |
Personal notes.