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part ii - contract clauses

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DE-AC05-00OR22725<br />

Modification No. 341<br />

Section I<br />

(e)<br />

The Contracting Officer may waive the penalty provisions when—<br />

(1) The Contractor withdraws the submission before the formal initiation of an<br />

audit of the submission and submits a revised submission;<br />

(2) The amount of the unallowable costs allocated to covered <strong>contract</strong>s is $10,000<br />

or less; or<br />

(3) The Contractor demonstrates to the Contracting Officer's satisfaction that—<br />

(i)<br />

(<strong>ii</strong>)<br />

It has established appropriate policies, personnel training, and an internal<br />

control and review system that provides assurances that unallowable<br />

costs subject to penalties are precluded from the Contractor's submission<br />

for settlement of costs; and<br />

The unallowable costs subject to the penalty were inadvertently<br />

incorporated into the submission.<br />

I.161 970.5243-1 CHANGES. (DEC 2000) (DEVIATION)<br />

(a) Changes and adjustment of fee. The <strong>contract</strong>ing officer may at any time and without<br />

notice to the sureties, if any, issue written directions within the general scope of this<br />

<strong>contract</strong> requiring additional work or directing the omission of, or variation in, work<br />

covered by this <strong>contract</strong>.<br />

(1) (Deviation) If any such direction results in a material change in the level of the<br />

Contractor’s management effort, an equitable adjustment of the fee, if any, shall<br />

be made in accordance with the agreement of the <strong>part</strong>ies and the <strong>contract</strong> shall<br />

be modified in writing accordingly. Any claim by the <strong>contract</strong>or for an<br />

adjustment under this clause must be asserted in writing within 30 days from the<br />

date of receipt by the <strong>contract</strong>or of the notification of change; provided,<br />

however, that the <strong>contract</strong>ing officer, if it is determined that the facts justify<br />

such action, may receive and act upon any such claim asserted at any time prior<br />

to final payment under this <strong>contract</strong>. A failure to agree on an equitable<br />

adjustment under this clause shall be deemed to be a dispute within the meaning<br />

of the clause entitled “Disputes.”<br />

(2) (Deviation) Services pursuant to mutual agreement under the provisions of<br />

paragraph (e)(4) of Section C-4, Statement of Work, of this <strong>contract</strong> shall be<br />

performed without additional fee unless DOE and the <strong>contract</strong>or shall mutually<br />

agree in writing that they will constitute a material increase in the level of the<br />

<strong>contract</strong>or’s management effort under this <strong>contract</strong>, in which event the <strong>part</strong>ies<br />

hereto will negotiate in good faith to agree upon an equitable fee for such<br />

DE-AC05-00OR22725 Section I—Page 264 of 276

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