DETROIT DIESEL INSPECTION WITH MAINTENANCE OPTIONS

(i) This is a combined synopsis/solicitation for commercial items, prepared in accordance with the format in subpart 12.6 of the FAR and as supplemented with additional information included in this notice. This announcement constitutes the only solicitation; quotes are being requested and a separate written solicitation will not be issued. (ii) Solicitation number 70Z04019Q60821Y00 applies and is used as a Request For Quote (RFQ). This solicitation document and incorporated provisions and clauses are those in effect through Federal Acquisition Circular 2005-87, effective, 7 March 2016. (iii) It is anticipated that a competitive price purchase order shall be awarded as a result of this synopsis/solicitation. All responsible sources may submit a quotation, which if timely received, shall be considered by this agency. (iv) The U.S. Coast Guard, Surface Forces Logistics Center (SFLC) intends to award a Firm Fixed Price Purchase Order. (v) The United States Coast Guard Surface Forces Logistics Center has a requirement for the following items: INSPECTION PRICE________________ OPTIONAL TUNE UP PRICE__________________ OPTIONAL OVERHAUL PRICE_________________ SCOPE Engines are already removed from vessel. Transportation of the engines to & from inspection / maintenance facility will be the responsibility of the vendor. Completion date of all work prior to 2/1/19 Quantity (2), Main Propulsion Diesel Engine No. 1 & 2, Mfr.: Detroit Allison, Division General Motors Corporation, Heat Exchanger Cooled Diesel, Type 12V71N, Model 7122-7000 12 Cylinder, 437 H.P.(SHP),2100 RPM S/N 12VA-81319 & 12VA-80777 1.3.2.1 Quantity (2), Variable Speed Governor No. 5102825 Quantity (2), Ship Service Diesel Engine, Mfr.: Detroit Allison, Division General Motors Corporation, Heat Exchanger Cooled Diesel, Type 3-71, Model 1033-7005, 3 Cylinder 1.3.1.1 Quantity (1 EA), Woodward Constant Speed Variable Load Governor Model: 2310D Woodward, P/N 8561-752 S/N 3A101282 & 3A-101281 1. Perform condition assessment of equipment. The condition assessment shall include the following, Lubricating Oil Analysis - Accomplish lubricating oil sampling and analysis for the engine type and model in accordance with engine manufacturer's recommendations. The engine manufacturer's lubricating oil characteristics and impurity limits shall be used to assess diesel components that may be failing or have failed and if the engine may have sustained fuel or water dilution. Air Box Pressure Test - Accomplish air box pressure test in accordance engine manufacturer's recommendations to determine sufficient air is being provided for combustion and scavenging of the burned gases. Compression Pressure Test - Accomplish compression pressure test to determine adequate ignition pressure is available within the engine cylinders in accordance with engine manufacturer's recommendations. Bore-scope inspection - Accomplish a bore scope inspection of each cylinder liner. ENGINE CONDITION FOUND REPORT" A condition found report shall be provided for each engine. The report shall include authorized Detroit Diesel Representative Recommendation for engine suitability for tune-up and maintenance or for an engine overhaul. Report: Inspection Results: If the condition found determines that a tune up and maintenance is required perform the requirements. If the condition found determines that an overhaul is required, perform the requirements. Report: Inspection Results within 7 days. 2. OPTIONAL: TUNE-UP If the condition of the Diesel Engines Inspection; accomplish, determines that a tune up and maintenance is required perform the following Pre-Tune-up items. Pre Tune-up lubricating Oil and Grease Changeover Accomplish oil changeover, grease replenishment, and replacement of oil filtration devices after completion of corrective actions. If no corrective actions are required After completion of Lubricating Oil Analysis, accomplish oil changeover, grease replenishment, and replacement of oil filtration devices. Accessory Drive Assembly and Power Take-Off Assembly Inspections and Preventative Maintenance - Accomplish inspections and preventative maintenance of gears and pulley drives of the Accessory Drive Assembly and Power Take Off in Accordance with engine manufacturer's recommendations. Starter Motor Test - Accomplish starter motor test IAW engine manufacturer's recommendations. Fuel Oil Injector Nozzle Testing - Accomplish fuel oil injector nozzle test for each nozzle to assess proper operation. Fuel oil inject nozzle testing shall consist of the following tests to satisfy the engine manufacturer's recommended acceptability criteria: Opening Pressure Test Holding Pressure Test (Leakage) Spray Pattern Test Chatter Test Record test results for each tested fuel injector nozzle. Exterior Visual inspection -Perform exterior visual inspection of the engine. Visually assess all hoses, gaskets, O-rings, packing, cotter pins, insulation, and sealing materials for potential replacement. Tune-up - Perform the following tune-up requirements: Exhaust Valve Clearance Adjustment - Accomplish exhaust valve clearance adjustment in the cold engine condition to prevent loss of compression and misfiring cylinders in accordance with engine manufacturer's recommendations. Fuel Injector Timing Adjustment - Accomplish fuel oil injector timing after exhaust valve clearance in accordance with engine manufacturer's recommendations. Speed Governor and Fuel Injector Rack Control Lever Adjustment. - Accomplish speed governor and fuel injector rack control lever adjustment in accordance with engine manufacturer's recommendations. No-load Speed Maximum Adjustment - Accomplish no-load maximum speed adjustment in accordance with engine manufacturers Recommendations. Idle Speed Adjustment - Accomplish idle speed adjustment in accordance with engine manufacturer's recommendations. Buffer Screw Adjustment - Accomplish buffer speed adjustment In accordance with engine manufacturer's recommendations. Booster Spring Adjustment - Accomplish booster spring adjustment in accordance with engine manufacturer's recommendations. Fuel Flow Test - After completion of the work, accomplish fuel flow test to check the condition of the fuel pump, strainer, and fuel filter in accordance with engine manufacturer's recommendations. Accomplish the following requirements for the starting motor. Inspect mounting for structural integrity, deterioration, pitting, cracks, and areas of damage or distortion, and determine required repairs. Perform insulation resistance testing. Spot test with 40 C temperature correction. Polarization Index test. 3.OPTIONAL: ENGINE OVERHAUL Diesel Engines Inspection; accomplish, determines that an overhaul is required perform the following: Overhaul service for Detroit Diesel series 12V-71N marine diesel propulsion engines and Detroit Diesel series 3-71 marine diesel generator engines. Engine equipment specifications are available from the manufacturer. OVERHAUL AND PERSONNEL REQUIREMENTS 1. Engine overhaul work shall be performed by an Authorized Detroit Diesel Distributor/Dealer repair facility (or approved, with the exception of non-Detroit Diesel engine accessory overhaul, which may occur at a sub-contract site). 2. Use only Detroit Diesel factory trained and certified technicians or A.S.E. certified technicians for engine disassembly, inspection, reassembly and testing. Technician certificates must be current and must have been valid for a minimum of two (2) years. Copies of technician certificates shall be furnished for review with Contractor's bid solicitation response. Directly employed by the repair facility contractor. 3. Use only parts manufactured by Detroit Diesel Corporation Inc. in the overhaul of engines described in "Scope of Work". In the case of items or systems in these engines supplied by manufacturers other than Detroit Diesel Corporation Inc., only the Original Equipment Manufacturers (OEM) parts shall be used. 3. Replacement parts shall be new or factory rebuilt. 4. Disassemble and chemically clean each engine before overhaul. 5. Exchange engine subassemblies (cylinder heads, turbo-chargers, governors, fuel injectors, fuel pumps, connecting rod assemblies, rocker arms, vibration damper, blowers, seawater, and coolant pumps, engine lube oil pump) and camshafts for Detroit Diesel Reliabilit - assemblies. Only new or Detroit Diesel Reliabilt "Plus" cylinder heads, and camshafts shall be utilized. 5.6. Test all major components not designated as exchange items (Para. 5) for suitability for re-use by drophydraulic pressure test or non-destructive test methods. The following items are in this category: a) Cylinder Block b) Flywheel housing c) Flywheel d) Oil pan e) Oil cooler housing f) Heat exchanger tank g) Front balance weight cover h) Front crankshaft cover i) Front crankshaft pulley j) Thermostat housing k) Blower air inlet housing l) Gear train m) Rocker cover n) Crankshaft o) Air Silencers Furnish written documentation of all negative test results to the SUPERVISOR and make failed components available for inspection by the SUPERVISOR. Obtain written authorization from the SUPERVISOR prior to purchase of any parts intended to replace unacceptable cores. Cost of replacing unacceptable cores shall be documented by invoices. Only new or Detroit Diesel Reliabilt "Plus" crank shafts shall be utilized. 7. Replace all fuel and lube oil hoses with new Aeroquip hoses and correct Aeroquip - fittings. All fuel and lube oil hose assemblies must be pressure tested and carry attached and dated proof test tags. 6. Or installation of any parts intended for replacement. Replace all fuel and lube oil with identical or equal parts. 7.8. Replace all sea water and coolant hoses and hose clamps with identical or equal parts. 8.9. Replace engine gauge board vibration snubbers and mounting hardware. 9.10. Replace all wiring harnesses. 10.11. Replace and calibrate each gauge, switch, and thermometer. 11.12. Ensure that all engine component and assembly specifications are in accordance with current Detroit Diesel engine specifications. Provide specification sheet showing measurements and clearances obtained, and manufacturer tolerance/specification. 12.13. Assembly engine and install the following "new" Detroit Diesel manufactured parts in each overhauled engine: a) Cylinder components, i.e., piston domes and skirts, piston rings, piston pins, piston rod bolts, cylinder liners b) Main bearings, rod bearings, camshaft bearings, thrust washers, idler bearing c) Gaskets and seals d) Engine oil cooler cores e) Transmission oil cooler cores (not applicable to SSDG engine) f) Thermostats g) Jacket water cooler core 13.14. Replace engine electric starter assemblies and alternator assemblies with identical re-manufactured assemblies. 14.15. Prepare each engine for painting after assembly. Preparation, priming and painting must be in accordance with the topcoat manufacturer's instructions. Topcoat must be designated engine enamel in the following color: Detroit Diesel Green. The Contractor shall ensure that flexible hoses installed on the engine are not painted. 15.16. Accomplish break-in and dynamometer test on engine. Furnish a dynamometer test report with each overhauled engine certifying engine performance equal to Detroit Diesel performance specifications for that engine type and model. Test report shall be provided at time of engine delivery. Dynamometer tests shall be witnessed by the SUPERVISOR prior to acceptance of any report. 16. The items, parts or components described herein shall be furnished in strict accordance with the manufacturer's published data relating to said supplies. Utilized parts shall be interchangeability with the manufacturer's original equipment. 17. Provide the following measurement readings and manufacturer tolerance and specifications for: a. Blower clearances b. Injector height settings c. Valve lash adjustment d. Crankshaft thrust Install new engraved metal label plates for the Equipment. Equal to original factory installation to Include Make, Model, Type and Serial Number of the equipment. COMMERCIAL WARRANTY REQUIREMENTS Warranty each overhauled engine against any defects in workmanship and materials according to the following schedule: 1. Warranty for defects in workmanship shall begin at completion start of overhaul engine light-off and remain in effect for a minimum of (12) month thereafter. 2. Warranty for defects in new Detroit Diesel parts shall begin at completion of start overhaul of engine light-off and remain in effect for a minimum of (6) months thereafter. 3. Warranty for defect in Detroit Diesel Reliabilt - assemblies shall begin at completion of overhaul and remain in effect for a minimum of (12) months thereafter. D. BRAND-NAME SPECIFIED IS MANDATORY (SOLE MAKE OR MODEL) 2. The items, parts or components described herein by reference to a manufacturer's name and/or part number and nomenclature shall be furnished in strict accordance with the manufacturer's published data relating to said supplies. Complete interchangeability of parts with the manufacturer's original equipment is mandatory. (vi) PLACE OF SERVICE: USCG YARD 2401 HAWKINS POINT ROAD BALTIMORE, MD 21226 GOVERNMENT ACCEPTANCE: Acceptance will be made at destination by a Government representative. Acceptance will be contingent upon the representative's verification of no damage in transit, correctness and completeness of order. FAR 52.212-1 Instructions to Offerors-Commercial Items (OCT 2015). Parties responding to this solicitation may submit their offer in accordance with their standard commercial practices to the office specified in this solicitation at or before the exact time specified in this solicitation. Offers may be submitted on the SF 1449, letterhead stationery, or email. As a minimum, offers must show: (1) The solicitation number (2) The time specified in the solicitation for receipt of offers; (3) The name, address, and telephone number of the offeror; (4) A technical description of the items being offered in sufficient detail to evaluate compliance with the requirements in the solicitation. This may include product literature, or other documents, if necessary; (5) Terms of any express warranty; (6) Price. Delivery information and any discount terms; (7) "Remit to" address, if different than mailing address; (8) A completed copy of the representations and certifications at FAR 52.212-3 (see FAR 52.212-3(b) for those representations and certifications that the offeror shall complete electronically); (9) Acknowledgment of Solicitation Amendments; (10) Past performance information, when included as an evaluation factor, to include recent and relevant contracts for the same or similar items and other references (including contract numbers, points of contact with telephone numbers and other relevant information); and (11) If the offer is not submitted on the SF 1449, include a statement specifying the extent of agreement with all terms, conditions, and provisions included in the solicitation. (12) Dun & Bradstreet number. (vii) FAR 52.212-2 Evaluation-Commercial Items (OCT 2014). - This is a commercial services acquisition. The evaluation and award procedures in FAR 13.106 apply. The following evaluation factors shall be considered: The Government will award a purchase order resulting from this solicitation to the responsible offeror whose offer conforming to the solicitation will be most advantageous to the Government, price, delivery date and other factors considered. The following factors shall be used to evaluate offers: The Government will evaluate offers based on delivery date and lowest technically acceptable price. (viii) FAR 52.212-3 Offeror Representations and Certifications-Commercial Items (MAR 2016) - An offeror shall complete only paragraphs (b) of this provision if the offeror has completed the annual representations and certificates electronically via http://www.acquisition.gov . If an offeror has not completed the annual representations and certifications electronically at the System for Award Management (SAM) website (www.sam.gov), the offeror shall complete only paragraphs (c) through (o) of this provision. (ix) FAR 52.212-4 Contract Terms and Conditions-Commercial Items (May 2015) applies to this acquisition. The following addendum applies: Address for submission of invoices is U.S. Coast Guard, P.O. Box 4122, Chesapeake, VA 23327-4122, Phone +1 (555) 000-0000 or Email address for submission of invoices is contact@example.gov . (x) 52.212-5 Contract Terms and Conditions Required to Implement Statutes or Executive Orders -Commercial Items (MAR 2016) (xi) FAR 52.213-4 Terms and Conditions - Simplified Acquisitions (Other Than Commercial Item). (xii) The Contractor shall comply with the FAR clauses which are incorporated in this contract by reference, to implement provisions of law or Executive orders applicable to acquisitions of commercial items: (a) The Contractor shall comply with the following Federal Acquisition Regulation (FAR) clauses, which are incorporated in this contract by reference, to implement provisions of law or Executive orders applicable to acquisitions of commercial items: (1) 52.209-10, Prohibition on Contracting with Inverted Domestic Corporations (Nov 2015) (2) 52.233-3, Protest After Award (AUG 1996) (31 U.S.C. 3553). (3) 52.233-4, Applicable Law for Breach of Contract Claim (OCT 2004) (Public Laws 108-77, 108-78 (19 U.S.C. 3805 note)). (b) The Contractor shall comply with the FAR clauses in this paragraph (b) that the contracting officer has indicated as being incorporated in this contract by reference to implement provisions of law or Executive orders applicable to acquisitions of commercial items: [Contracting Officer check as appropriate.] ___ (1) 52.203-6, Restrictions on Subcontractor Sales to the Government (Sept 2006), with Alternate I (Oct 1995) (41 U.S.C. 4704 and 10 U.S.C. 2402). ___ (2) 52.203-13, Contractor Code of Business Ethics and Conduct (Oct 2015) (41 U.S.C. 3509). ___ (3) 52.203-15, Whistleblower Protections under the American Recovery and Reinvestment Act of 2009 (Jun 2010) (Section 1553 of Pub L. 111-5) (Applies to contracts funded by the American Recovery and Reinvestment Act of 2009). ___ (4) 52.204-10, Reporting Executive compensation and First-Tier Subcontract Awards (Oct 2015) (Pub. L. 109-282) (31 U.S.C. 6101 note). ___ (5) [Reserved] __x_ (6) 52.204-14, Service Contract Reporting Requirements (Jan 2014) (Pub. L. 111-117, section 743 of Div. C). __x_ (7) 52.204-15, Service Contract Reporting Requirements for Indefinite-Delivery Contracts (Jan 2014) (Pub. L. 111-117, section 743 of Div. C). ___ (8) 52.209-6, Protecting the Government's Interest When Subcontracting with Contractors Debarred, Suspended, or Proposed for Debarment (Oct 2015) (31 U.S.C. 6101 note). ___ (9) 52.209-9, Updates of Publicly Available Information Regarding Responsibility Matters (Jul 2013) (41 U.S.C. 2313). ___ (10) [Reserved] ___ (11) (i) 52.219-3, Notice of HUBZone Set-Aside or Sole-Source Award (Nov 2011) (15 U.S.C. 657a). ___ (ii) Alternate I (Nov 2011) of 52.219-3. ___ (12) (i) 52.219-4, Notice of Price Evaluation Preference for HUBZone Small Business Concerns (Oct 2014) (if the offeror elects to waive the preference, it shall so indicate in its offer)(15 U.S.C. 657a). ___ (ii) Alternate I (Jan 2011) of 52.219-4. ___ (13) [Reserved] __ (14) (i) 52.219-6, Notice of Total Small Business Aside (Nov 2011) (15 U.S.C. 644). ___ (ii) Alternate I (Nov 2011). ___ (iii) Alternate II (Nov 2011). ___ (15) (i) 52.219-7, Notice of Partial Small Business Set-Aside (June 2003) (15 U.S.C. 644). ___ (ii) Alternate I (Oct 1995) of 52.219-7. ___ (iii) Alternate II (Mar 2004) of 52.219-7. ___ (16) 52.219-8, Utilization of Small Business Concerns (Oct 2014) (15 U.S.C. 637(d)(2) and (3)). ___ (17) (i) 52.219-9, Small Business Subcontracting Plan (Oct 2015) (15 U.S.C. 637 (d)(4)). ___ (ii) Alternate I (Oct 2001) of 52.219-9. ___ (iii) Alternate II (Oct 2001) of 52.219-9. ___ (iv) Alternate III (Oct 2015) of 52.219-9. __ (18) 52.219-13, Notice of Set-Aside of Orders (Nov 2011) (15 U.S.C. 644(r)). ___ (19) 52.219-14, Limitations on Subcontracting (Nov 2011) (15 U.S.C. 637(a)(14)). ___ (20) 52.219-16, Liquidated Damages-Subcontracting Plan (Jan 1999) (15 U.S.C. 637(d)(4)(F)(i)). ___ (21) 52.219-27, Notice of Service-Disabled Veteran-Owned Small Business Set-Aside (Nov 2011) (15 U.S.C. 657f). __ (22) 52.219-28, Post Award Small Business Program Rerepresentation (Jul 2013) (15 U.S.C. 632(a)(2)). ___ (23) 52.219-29, Notice of Set-Aside for, or Sole Source Award to, Economically Disadvantaged Women-Owned Small Business Concerns (Dec 2015) (15 U.S.C. 637(m)). ___ (24) 52.219-30, Notice of Set-Aside for, or Sole Source Award to, Women-Owned Small Business Concerns Eligible Under the Women-Owned Small Business Program (Dec 2015) (15 U.S.C. 637(m)). X__ (25) 52.222-3, Convict Labor (June 2003) (E.O. 11755). X__ (26) 52.222-19, Child Labor-Cooperation with Authorities and Remedies (Feb 2016) (E.O. 13126). X__ (27) 52.222-21, Prohibition of Segregated Facilities (Apr 2015). X__ (28) 52.222-26, Equal Opportunity (Apr 2015) (E.O. 11246). ___ (29) 52.222-35, Equal Opportunity for Veterans (Oct 2015) (38 U.S.C. 4212). X__ (30) 52.222-36, Equal Opportunity for Workers with Disabilities (Jul 2014) (29 U.S.C. 793). ___ (31) 52.222-37, Employment Reports on Veterans (Feb 2016) (38 U.S.C. 4212). ___ (32) 52.222-40, Notification of Employee Rights Under the National Labor Relations Act (Dec 2010) (E.O. 13496). X__ (33) (i) 52.222-50, Combating Trafficking in Persons (Mar 2015) (22 U.S.C. chapter 78 and E.O. 13627). ___ (ii) Alternate I (Mar 2015) of 52.222-50, (22 U.S.C. chapter 78 and E.O. 13627). ___ (34) 52.222-54, Employment Eligibility Verification (Oct 2015). (E. O. 12989). (Not applicable to the acquisition of commercially available off-the-shelf items or certain other types of commercial items as prescribed in 22.1803.) ___ (35) (i) 52.223-9, Estimate of Percentage of Recovered Material Content for EPA-Designated Items (May 2008) (42 U.S.C. 6962(c)(3)(A)(ii)). (Not applicable to the acquisition of commercially available off-the-shelf items.) ___ (ii) Alternate I (May 2008) of 52.223-9 (42 U.S.C. 6962(i)(2)(C)). (Not applicable to the acquisition of commercially available off-the-shelf items.) ___ (36) (i) 52.223-13, Acquisition of EPEAT -Registered Imaging Equipment (Jun 2014) (E.O.s 13423 and 13514 ___ (ii) Alternate I (Oct 2015) of 52.223-13. ___ (37) (i) 52.223-14, Acquisition of EPEAT -Registered Television (Jun 2014) (E.O.s 13423 and 13514). ___ (ii) Alternate I (Jun 2014) of 52.223-14. ___ (38) 52.223-15, Energy Efficiency in Energy-Consuming Products (Dec 2007) (42 U.S.C. 8259b). ___ (39) (i) 52.223-16, Acquisition of EPEAT -Registered Personal Computer Products (Oct 2015) (E.O.s 13423 and 13514). ___ (ii) Alternate I (Jun 2014) of 52.223-16. X__ (40) 52.223-18, Encouraging Contractor Policies to Ban Text Messaging while Driving (Aug 2011) (E.O. 13513). X__ (41) 52.225-1, Buy American--Supplies (May 2014) (41 U.S.C. chapter 83). ___ (42) (i) 52.225-3, Buy American--Free Trade Agreements--Israeli Trade Act (May 2014) (41 U.S.C. chapter 83, 19 U.S.C. 3301 note, 19 U.S.C. 2112 note, 19 U.S.C. 3805 note, 19 U.S.C. 4001 note, Pub. L. 103-182, 108-77, 108-78, 108-286, 108-302, 109-53, 109-169, 109-283, 110-138, 112-41, 112-42, and 112-43). ___ (ii) Alternate I (May 2014) of 52.225-3. ___ (iii) Alternate II (May 2014) of 52.225-3. ___ (iv) Alternate III (May 2014) of 52.225-3. ___ (43) 52.225-5, Trade Agreements (Feb 2016) (19 U.S.C. 2501, et seq., 19 U.S.C. 3301 note). X__ (44) 52.225-13, Restrictions on Certain Foreign Purchases (Jun 2008) (E.O.'s, proclamations, and statutes administered by the Office of Foreign Assets Control of the Department of the Treasury). ___ (45) 52.225-26, Contractors Performing Private Security Functions Outside the United States (Jul 2013) (Section 862, as amended, of the National Defense Authorization Act for Fiscal Year 2008; 10 U.S.C. 2302 Note). ___ (46) 52.226-4, Notice of Disaster or Emergency Area Set-Aside (Nov 2007) (42 U.S.C. 5150). ___ (47) 52.226-5, Restrictions on Subcontracting Outside Disaster or Emergency Area (Nov 2007) (42 U.S.C. 5150). ___ (48) 52.232-29, Terms for Financing of Purchases of Commercial Items (Feb 2002) (41 U.S.C. 4505), 10 U.S.C. 2307(f)). ___ (49) 52.232-30, Installment Payments for Commercial Items (Oct 1995) (41 U.S.C. 4505, 10 U.S.C. 2307(f)). X__ (50) 52.232-33, Payment by Electronic Funds Transfer- System for Award Management (Jul 2013) (31 U.S.C. 3332). ___ (51) 52.232-34, Payment by Electronic Funds Transfer-Other Than System for Award Management (Jul 2013) (31 U.S.C. 3332). ___ (52) 52.232-36, Payment by Third Party (May 2014) (31 U.S.C. 3332). ___ (53) 52.239-1, Privacy or Security Safeguards (Aug 1996) (5 U.S.C. 552a). ___ (54) (i) 52.247-64, Preference for Privately Owned U.S.-Flag Commercial Vessels (Feb 2006) (46 U.S.C. Appx 1241(b) and 10 U.S.C. 2631). ___ (ii) Alternate I (Apr 2003) of 52.247-64. (c) The Contractor shall comply with the FAR clauses in this paragraph (c), applicable to commercial services, that the Contracting Officer has indicated as being incorporated in this contract by reference to implement provisions of law or executive orders applicable to acquisitions of commercial items: X__52.246-2 -- Inspection of Supplies -- Fixed-Price. (Aug. 1996) (a) Definition. "Supplies," as used in this clause, includes but is not limited to raw materials, components, intermediate assemblies, end products, and lots of supplies. (b) The Contractor shall provide and maintain an inspection system acceptable to the Government covering supplies under this contract and shall tender to the Government for acceptance only supplies that have been inspected in accordance with the inspection system and have been found by the Contractor to be in conformity with contract requirements. As part of the system, the Contractor shall prepare records evidencing all inspections made under the system and the outcome. These records shall be kept complete and made available to the Government during contract performance and for as long afterwards as the contract requires. The Government may perform reviews and evaluations as reasonably necessary to ascertain compliance with this paragraph. These reviews and evaluations shall be conducted in a manner that will not unduly delay the contract work. The right of review, whether exercised or not, does not relieve the Contractor of the obligations under the contract. (c) The Government has the right to inspect and test all supplies called for by the contract, to the extent practicable, at all places and times, including the period of manufacture, and in any event before acceptance. The Government shall perform inspections and tests in a manner that will not unduly delay the work. The Government assumes no contractual obligation to perform any inspection and test for the benefit of the Contractor unless specifically set forth elsewhere in this contract. (d) If the Government performs inspection or test on the premises of the Contractor or a subcontractor, the Contractor shall furnish, and shall require subcontractors to furnish, at no increase in contract price, all reasonable facilities and assistance for the safe and convenient performance of these duties. Except as otherwise provided in the contract, the Government shall bear the expense of Government inspections or tests made at other than the Contractor's or subcontractor's premises; provided, that in case of rejection, the Government shall not be liable for any reduction in the value of inspection or test samples. (e) (1) When supplies are not ready at the time specified by the Contractor for inspection or test, the Contracting Officer may charge to the Contractor the additional cost of inspection or test. (2) The Contracting Officer may also charge the Contractor for any additional cost of inspection or test when prior rejection makes reinspection or retest necessary. (f) The Government has the right either to reject or to require correction of nonconforming supplies. Supplies are nonconforming when they are defective in material or workmanship or are otherwise not in conformity with contract requirements. The Government may reject nonconforming supplies with or without disposition instructions. (g) The Contractor shall remove supplies rejected or required to be corrected. However, the Contracting Officer may require or permit correction in place, promptly after notice, by and at the expense of the Contractor. The Contractor shall not tender for acceptance corrected or rejected supplies without disclosing the former rejection or requirement for correction, and, when required, shall disclose the corrective action taken. (h) If the Contractor fails to promptly remove, replace, or correct rejected supplies that are required to be removed or to be replaced or corrected, the Government may either (1) by contract or otherwise, remove, replace, or correct the supplies and charge the cost to the Contractor or (2) terminate the contract for default. Unless the Contractor corrects or replaces the supplies within the delivery schedule, the Contracting Officer may require their delivery and make an equitable price reduction. Failure to agree to a price reduction shall be a dispute. (i) (1) If this contract provides for the performance of Government quality assurance at source, and if requested by the Government, the Contractor shall furnish advance notification of the time -- (i) When Contractor inspection or tests will be performed in accordance with the terms and conditions of the contract; and (ii) When the supplies will be ready for Government inspection. (2) The Government's request shall specify the period and method of the advance notification and the Government representative to whom it shall be furnished. Requests shall not require more than 2 workdays of advance notification if the Government representative is in residence in the Contractor's plant, nor more than 7 workdays in other instances. (j) The Government shall accept or reject supplies as promptly as practicable after delivery, unless otherwise provided in the contract. Government failure to inspect and accept or reject the supplies shall not relieve the Contractor from responsibility, nor impose liability on the Government, for nonconforming supplies. (k) Inspections and tests by the Government do not relieve the Contractor of responsibility for defects or other failures to meet contract requirements discovered before acceptance. Acceptance shall be conclusive, except for latent defects, fraud, gross mistakes amounting to fraud, or as otherwise provided in the contract. (l) If acceptance is not conclusive for any of the reasons in paragraph (k) hereof, the Government, in addition to any other rights and remedies provided by law, or under other provisions of this contract, shall have the right to require the Contractor (1) at no increase in contract price, to correct or replace the defective or nonconforming supplies at the original point of delivery or at the Contractor's plant at the Contracting Officer's election, and in accordance with a reasonable delivery schedule as may be agreed upon between the Contractor and the Contracting Officer; provided, that the Contracting Officer may require a reduction in contract price if the Contractor fails to meet such delivery schedule, or (2) within a reasonable time after receipt by the Contractor of notice of defects or nonconformance, to repay such portion of the contract as is equitable under the circumstances if the Contracting Officer elects not to require correction or replacement. When supplies are returned to the Contractor, the Contractor shall bear the transportation cost from the original point o...