16.203-4(a)(2)(105) ECONOMIC PRICE ADJUSTMENT - ECONOMIC PRICE ADJUSTMENT - MARKET PRICE INDICATORS - SHIPS' BUNKERS - WEEKLY.

Insert the Clause 52.216-9075 ECONOMIC PRICE ADJUSTMENT - MARKET PRICE INDICATORS - SHIPS' BUNKERS (JUN 2010) in Energy Supply Chain solicitations and contracts for ships' bunkers solicitations/contracts when market publications will be used for price escalation on a weekly basis.The Contracting Officer shall insert the appropriate ceiling percentage in paragraph (c)(4) as determined by the Chief of the Contracting Office or designee. Explicit approval must be obtained for any ceiling exceeding ten (10) percent in accordance with DLAD 16.203-3 (94).The buyer shall coordinate with the Market Research Section (DLA Energy ( formerly DESC )-RN) before completion of fill in the blank information sections of the clause such as base market, and publication dates, to ensure the accuracy of the information and the correct selection of the market price.

(b) Adjustments based on established prices--semistandard supplies.

(1)

(90) The clause at 52.216-9001 (or substantially the same clause) may be used with FAR clause 52.216-3.

(93) An actual cost type EPA clause (FAR 52.216-4 or a locally-developed clause) may be included in solicitations and resulting contracts for an item previously bought without such an EPA clause only after the contracting officer determines that no other type of EPA clause is appropriate and documents in the acquisition plan the results of actions taken in reaching this determination. A provision shall also be included in the solicitation and any resulting contracts that--

(i) Identifies the specific direct cost factor and dollar amount needed to establish the baseline from which adjustments will be made, regardless of whether cost or pricing data was submitted;

(ii) Incorporates by reference, the cost principles and procedures in FAR Subpart 31.2 for use as the basis for pricing the baseline and any adjustment under the EPA clause;

(iii) Identifies any appropriate markup factors/amounts; and

(iv) Provides the methodology for price adjustment calculations.

(1)

(90) The clause at 52.216-9002 (or substantially the same clause) may be used with FAR clause 52.216-4.

(3)

(90) When the FAR "Implementation" DLAD clause is also used (along with the note specified at 15.204-2(b)(91)), the contracting officer shall include the required information in such clause vice the contract Schedule.

(4)

(iii)

(2) The clause at 52.216-9012 may be included in solicitations and resulting contracts for Unitized Group Rations - A (UGR-A) when the requirements of FAR 16.203-2 are met and the determination required by FAR 16.203-3 is made. The clause is based on cost of materials (total components price defined below). There is no adjustment for the distribution price (defined below) for these rations. If the Contractor's applicable total components price of a ration component(s) changes (i.e. increase or decrease) after the contract date, the corresponding unit price may be increased, or shall be decreased, by the same amount (subject to upward ceiling discussed below). Clause requires contractor submission of supporting data adequate to support any requested price change.

(d) Adjustments based on cost indexes of labor or material. An index clause may be included in solicitations and resulting contracts only if the contracting officer documents in the acquisition plan, rationale indicating that the acquisition satisfies the requirements of FAR 16.203-4(d) and DFARS 216.203-4(d). The contracting officer shall select the most appropriate index published by the Bureau of Labor Statistics (BLS). Another index may be used provided the contracting officer determines that no BLS index is suitable and documents in the acquisition plan the specific BLS indexes considered, why they were unsuitable, and rationale demonstrating the suitablility of the index selected.

(iv)

(90) "In the event-

Any applicable index is discontinued or its method of derivation is altered substantially; or

The contracting officer determines that the index consistently and substantially fails to reflect market conditions-

the parties shall agree upon an appropriate substitute index for determining price adjustments hereunder. The contract shall be modified to reflect such substitute index, effective on the date the index specified in the contract is no longer published or began to consistently and substantially fail to reflect market conditions."

(v)

(90) When planning to use an index-type clause which provides for price adjustment, whenever the actual index for a period differs from the projected index for that period sufficiently to trigger a price adjustment, the contracting officer shall ensure that the projected index for each period to be included in the clause at least equals the projected indexes used in pricing the same cost element under the contract.