1201.1302 Place of delivery. 1201.1302-1 Shipments within the United States. 1201.1302-2 Shipments from the United States for oversea delivery. 1201.1302-3 Shipments originating outside the United States. 1201.1303 Quantity analysis. 1201.1303-1 Procurement of small quantities by negotiation. 1201.1305 Delivery terms. 1201.1305-1 General. 1201.1305-3 F.o.b. destination. 1201.1305-4 F.o.b. origin. 1201.1308 Transit arrangements. 1201.1312 Mode of transportation. 1201.1313 Transportation rates and related costs. 1201.1313-1 Evaluation-f.o.b. origin. 1201.1313-2 Sources of transportation rates and related costs. Subpart N Preference for United States Flag Privately Owned Ocean Carriers 1201.1405 Responsibilities. 1201.1405-1 Military departments. AUTHORITY: The provisions of this Part 1201 issued under R.S. 161, secs. 2202, 2301, 2314, 70A Stat. 120, 127; sec. 2(a), 72 Stat. 514, sec. 1, 76 Stat. 528; 5 U.S.C. 22, 171a(c), 10 U.S.C. 2202, 2301-2314; DoD Directive 5105.22, November 6, 1961. SOURCE: The provisions of this Part 1201 appear at 28 F.R. 2621, Mar. 19, 1963, unless otherwise noted. Subpart A-Introduction § 1201.101 Purpose of subchapter. The Defense Supply Procurement Regulation is issued by the Executive Director, Procurement and Production, by authority of the Director, Defense Supply Agency. It implements and supplements the Armed Services Procurement Regulation (Subchapter A, Chapter I, of this title) and other Department of Defense publications and pursuant to § 1.108 of this title, establishes for the Defense Supply Agency uniform policies and procedures relating to the procurement of supplies and services under the authority of Chapter 137, Title 10 of the United States Code, or under other statutory authority. The § 1201.102 Applicability of subchapter. The ASPR and DSPR shall apply to all purchases and contracts made by a procuring activity of the Defense Supply Agency for the procurement of supplies or services which obligate appropriated funds (whether direct appropriations, allocations of appropriated funds, or contract authorizations), unless otherwise specified herein. DSPR implements, supplements, and does not in any way supersede ASPR. Material published in ASPR is not duplicated in DSPR. The DSPR is not intended to prescribe the detailed operating instructions of the respective procuring activities of the Defense Supply agency. Such detailed operating instructions may be prescribed as required in accordance with the provisions of § 1201.108. § 1201.103 Arrangement of subchapter. § 1201.103-1 General plan. The DSPR is divided into parts, each one dealing with a separate aspect of procurement, one part implementing each part of ASPR. Each part is further divided into subparts and sections which conform to the parallel provisions of ASPR. Additional parts, subparts and sections are added whenever necessary to cover subjects not treated in ASPR. Numbering. § 1201.103-2 The numbering system in the DSPR follows the numbering system in ASPR. (a) Sections of the DSPR bearing numbers identical to those of ASPR implement and continue the policies and procedures of the respective ASPR section. (b) Where a numbered section, subpart, or part of the ASPR requires no implementation, the DSPR will make no reference to that section, subpart, or part further denoting that ASPR is the sole authority. (c) Where a section of the DSPR does not implement a particular section but pertains to the general subject matter covered in a particular subpart of the ASPR, the added section will be numbered consecutively starting with the subpart hundred plus .50. (e.g., DSPR § 1201.401-50). § 120.104 Content of subchapter. The DSPR contains delegations of authority, assignment of responsibilities, policies, procedures, and instructions relating to the procurement of supplies and services within the Defense Supply Agency. § 1201.106 Other Department of Defense publications. § 1201.106-1 Department of Defense Directives and Instructions. Department of Defense Directives and Instructions concerning procurement matters will be implemented by means of the DSPR. § 1201.107 Dissemination and effective date of ASPR, DSPR, and other printed procurement publications. (a) Compliance with a revision to the DSPR shall be permissive effective with the date of issuance thereof (as indicated by the page revision date) and shall be mandatory effective 30 days thereafter, unless otherwise provided in such revision. (b) Unless otherwise stated, contractual documents submitted to contractors for signature before receipt of new or revised clauses need not be rewritten to include the new or revised clause. (c) Copies of the ASPR or the DSPR are not available for distribution to private firms or individuals. These publications may be purchased from the Superintendent of Documents, United States Government Printing Office, Washington 25, D.C., either as printed in the FEDERAL REGISTER or in separate pamphlet form. § 1201.109 Deviation from ASPR, DSPR, and Department of Defense publications governing procurement. § 1201.109-1 Applicability. Actions, which constitute deviations from ASPR or Department of Defense publications governing procurement as set forth in § 1.109-1 of this title shall also constitute deviations from the provisions of the DSPR. § 1201.109-2 Deviations affecting one contract or transaction. Deviations from ASPR, a Department of Defense Directive, or the DSPR which affect only one contract or transaction will be made only after prior approval by the Executive Director, Procurement and Production, DSA. § 1201.109-3 Deviations affecting more than one contract or contractor. Requests for deviations from ASPR, Department of Defense Directives, or the DSPR which affect more than one contract or contractor will be forwarded for approval to the Executive Director, Procurement and Production, DSA. Such deviations will be authorized only after approval as provided in § 1.109-3 of this title. § 1201.109-4 Deviations required by Government-to-Government ments. agree unless otherwise specified in the approval expire two years from the date of approval, unless sooner rescinded, or without prejudice to any action taken thereunder. Where a requirement exists to continue in effect a deviation expiring under the provisions of this section, authority to continue use of the deviation may be requested. § 1201.111 Reports of suspected criminal conduct and noncompetitive prices. Reports of possible violations of Federal criminal statutes in connection with procurement and related matters, including reports of possible fraud or violation of antitrust laws, will be made in accordance with Part 1, Subpart F, of this title and Subpart F of this part. § 1201.113 Code of conduct. See § 1.113 of this title and DSA Regulation 5500.1. § 1201.150 Administration and interpretation. The administration and interpretation of the DSPR is the responsibility of the Executive Director, Procurement and Production (Chief, Procurement Division). Subpart B-Definition of Terms § 1201.201 Definitions. § 1201.201-14 Procuring activity. Procuring activities within the Defense Supply Agency are: Defense Clothing and Textile Supply Center. Defense Medical Supply Center. § 1201.201-18 Source of supplies. (a) Within the United States, Puerto Rico, or the Virgin Islands, "sources of supplies" shall be as defined in § 1.201-18 of this title. (b) Outside the United States, Puerto Rico, or the Virgin Islands, "sources of supplies" shall be as defined in § 1.20118 of this title, except that paragraph (b) (2) (ii) thereof does not apply, and shall include intermediaries, provided such sources are not prohibited by local foreign law. An "intermediary" shall be deemed to be any one of the following: (1) A person (or firm) who owns, operates, or maintains a place of business, regularly engaged in performing certain services which directly or indirectly increase the value of the materials, supplies, articles, or equipment being procured (services to consist of such functions as the recovery from consignees and redistribution to manufacturers and producers of containers and packing materials; the receiving, storing, repacking, and reshipping of items being procured; the collection, consolidation, assembling, packing, and shipping of items being procured, etc.; and not the mere soliciting of business, taking of orders, rendering assistance to manufacturers or producers by the preparation of receiving and paying documents, arranging for transportation facilities, etc.). (2) A person (or firm) who owns, operates, or maintains a place of business, regularly engaged in the importing and exporting business, provided that the items procured are not being imported from within the United States, Puerto Rico, or the Virgin Islands. (3) Agencies or instrumentalities of a foreign government. § 1201.201-50 Chief officer responsible for procurement. The term "chief officer responsible for procurement" when used in the ASPR and DSPR means the head of a procuring activity (§1.201-7 of this title). § 1201.201-51-Purchasing office. The term "purchasing office" when used in the DSPR means any division, office, branch, section, unit, or other organizational element within DSA performing the functions of buying, purchasing, or contracting for supplies or services. The term "purchasing activity" when used in the ASPR shall be interpreted to mean "purchasing office". Subpart C-General Policies § 1201.307. Priorities, allocations, and allotments. See § 1216.901-50 of this subchapter. § 1201.308 Record of contract actions. This section outlines a system for the organization of the contract file data, listed in § 1.308 of this title, which will facilitate locating any particular document with the least practicable delay and specifically incorporates into the contract file certain additional data not listed in § 1.308 of this title. (a) The preaward section of the contract file (Section A) should contain the applicable items listed in § 1.308(b) (1) through (14) and (16) as implemented by § 1.354(a) and (b). (b) The Contract Administration part of the file, should contain the applicable items listed below and may be broken into Sections as follows: Section B-Contract Section. (1) Contract (signed number) including any letter contract; (ii) Contract modifications in numerical sequence, a single numerical series will be used for change orders and supplemental agreements; (iii) Bonds, except Bid Bonds; (iv) Insurance policies or certificates of insurance which apply to operations under several contracts, shall be filed with one contract and a cross reference placed in all other applicable contract files; (v) Copy of Individual Procurement Action Report (DD Form 350); (vi) Information regarding royalties; (vii) Contractor's Statement of Contingent Fees; (viii) Neutrality Act certification of registration; (ix) Priority data and controller Materials Plan data; (x) Price adjustment data, including contractors proposals, price analyst recommendations, audit reports and negotiation reports; (xi) Waivers; and (xii) Any other documents and correspondence not covered by above items which properly belong in this section. Section C-Property Section. (Separate files sections may be maintained for Government-furnished property and for contract items. (i) End item delivery date, i.e., Material Inspection and Receiving Report-or other shipping documents with recap and storage data as appropriate (par. 303.3, Appendix B, ASPR); (11) Subsidiary-inspection documents such as Lot No. reports, technical data, report of sub-lot inspection, etc.; 11 is relieved of responsibility for property other than consumption; (viii) Copy of contracting officer's written determination and findings concerning loss, damage, shortage or destruction of contract items or of Government property used, including excess consumption. (Pars. 402.1 (v) and 402.2(a), Appendix B, Subchapter A, Chapter I of this title); and (ix) Disposal data-at contract completion. (Subpart E, Part 8 of this title); (x) Property correspondence in chronological order of sufficiently indexed for ready reference; (xi) Where the Government maintains the official property control records under the deviation authority contained in 301(a), Appendix B or 207.1, Appendix C, Subchapter A, Chapter I of this title, the property file will contain those records set forth in Appendix B or C necessary for effective property control; (xii) Contractor's written receipt for Government-furnished property. (Par. 303.1 (c), Subchapter A, Chapter I of this title); (xiii) Data, where appropriate, in connection with contractor acquired facilities; and (xiv) All other records required to be maintained by Appendix B or C, Subchapter A, Chapter I of this title. Section D-Fiscal Section. (ii) Other documents and correspondence relating to financial assistance to contractor. Section E-Termination Section. (i) Notice of Termination; (ii) Contractor's settlement proposals; (iv) Inventory schedule; (v) Storage or layaway agreements; Section F-Negotiation Data. (1) Efficiency of contractor; (ii) Reasonableness of costs and profits; (iv) Extent of risk assumed; (v) Contribution to the National Security; (vi) Character of the business. (c) Review of contract files. There should be a complete review of the contract files for contracts in excess of $25,000 prior to retirement to insure that all contractual actions have been completed. Contracts and purchase orders below the above dollar limitations will be reviewed on a spot check basis. § 1201.310 Liquidated damages. Recommendations concerning the remission of liquidated damages shall be transmitted to the Counsel, DSA. § 1201.312 Voluntary refunds. Voluntary refunds will be accepted and processed in accordance with instructions issued by the Heads of Procuring Activities. § 1201.350 Public release of long-range procurement estimates. To assist industry in planning its production and better serve the requirements of the DSA, heads of procuring activities may find it necessary to announce publicly unclassified long-range (9 months or over) procurement estimates on certain items, groups or types of items or materials procured by the DSA. (a) Public releases of long-range procurement estimates may be made when the Procuring Activity determines that (1) The information to be released will actually assist industry in its planning and facilitate meeting the procurement requirements. (2) The announcement will not adversely affect procurement of the Department of Defense requirements by encouraging such malpractices as attempts to corner the market or the hoarding of industrial materials. (3) The information to be released will not indicate the extent of industrial mobilization of the industry as a whole or its potential mobilization. § 1201.351 Closeout of contracts. It is the policy of the DSA to prevent contracts from running for protracted periods of time through continuation orders and yearly augmentations, thus limiting competition and causing difficulty in maintaining continuity of contract administration. The contracting officer should place written justification in the contract file, fully supporting the continuation of contracts beyond their initial expiration date. § 1201.352 Warranty or guarantee provisions; policy. Warranty clauses may be used in either individual procurements or in classes of procurements as authorized by the Head of the Procuring Activity. § 1201.353 Disclosure of procurement information. (a) Equal consideration and information will be given to all prospective contractors including but not limited to: (1) Simultaneous release of procurement information to all contractors solicited. (2) Discussion of procurement matters with prospective contractors will be conducted only by the Contracting Officer, his superiors having contractual authority or personnel so designated by the Contracting Officer. (3) Discussion of procurement matters with prospective contractors will be limited to information of a general nature that will in no way give one contractor an unfair advantage over another. (b) Information relative to review or clearance: Prior to award, no information shall be furnished to other than Government personnel concerned as to referrals (for technical review, contracting authority, or other reasons), or recommendations made with respect thereto, in connection with any given procurement. For example, the information that a particular procurement is under review by other personnel for business clearance, Buy American determination, or other reasons. § 1201.354 Records of contract actions— procurement directive or request. (a) Contract files of perishable subsistence are exempt from the requirement of § 1.308 (b) (1) of this title requiring a copy of the procurement directive or request to be filed with each contract file. This exception is subject to the condition that a copy of the Notice of Intent to Purchase (NIP) is cross referenced to the requisition, and that a copy of the NIP is included in the contract file. When multiple contracts are awarded under a single NIP, the requirement for retaining a copy of the NIP in the contract file is fulfilled by cross-referencing the file in which the NIP is retained. (b) Where multiple awards result from a single procurement directive or request and sufficient copies of the directive or request are not available for each contract file, the directive or request may be filed with the first contract issued and a cross reference made thereto in the pre-award file A of each additional resultant contract. |