Imágenes de páginas
PDF
EPUB

Part 1453 Mandatory Exemptions From Renegotiation

, dentist

, e services are to patientë dfinan's er this n the time ument en employee ghout his bmission

he Civil 6.

Sec.

customarily sold or in which it has an established 1453.1 Contracts with other governmental agencies. market. The term "agricultural commodity" as used 1453.2 Contracts and subcontracts for certain agricul- herein shall include but shall not be limited to tural commodities and raw materials.

(A) commodities resulting from the cultivation of 1453.3 Exemption of common carriers and public

the soil such as grains of all kinds, fruits, nuts, vegeutilities.

tables, hay, straw, cotton, tobacco, sugarcane, and 1453.4 Contracts or subcontracts with tax-exempt

sugar beets ; charitable, religious and educational institu

(B) natural resins, saps, and gums of trees; tions.

(C) animals, such as cattle, hogs, poultry, and sheep, 1453.5 Contracts that do not have a direct and im

fish and other marine life, and the produce of live mediate connection with the national de

animals, such as wool, eggs, milk and cream;
fense.
1453.6 Subcontracts under exempt contracts and sub-

(2) Interpretation of exemption. The purcontracts,

pose of this provision is to exempt from re1453.7 Construction contracts awarded as a result negotiation farmers, fruit growers, livestock of competitive bidding.

raisers, fishermen, and other basic producers of AUTHORITY; Sections 1453.1 to 1453.6 issued under

agricultural commodities and those who trade section 109, Pub. Law 9, 82d Cong. Interpret or apply

in such products or store, handle, or transport sec. 106, Pub. Law, 9, 82d Cong.

such products without processing them before 1453.1 Contracts with other governmental

the acquisition of such products by a Departagencies.-(a) Statutory provision.-Section

ment; it is not intended to exempt canners, 106(a) (1) of the act exempts the following:

manufacturers, and others who acquire such (1) any contract by a Department with any Terri

products and process them to a higher form or tory, possession, or State, or any agency or political

state, or those who store, handle, or transport subdivision thereof, or with any foreign government or

such products pursuant to a prime contract any agency thereof;

with a Department. In order to qualify for (b) Interpretation and application of exemp

exemption the product contracted for must be tion. This provision is construed to exclude

an agricultural commodity in its raw or natfrom renegotiation any contract by a Depart

ural state, or if such a commodity is not cusment with any Territory, possession or State or

tomarily sold or does not have an established any agency or political subdivision thereof or

market in its raw or natural state, in the first with any foreign government or any agency

form or state beyond the raw or natural state in thereof. A municipal corporation, whether act

which it is customarily sold or in which it has ing in a proprietary or governmental capacity,

an established market.
is a political subdivision of a State for the
purposes of this exemption.

(3) Application of exemption.—A commod(c) Limitation. The exemption provided in

ity will be deemed to be an agricultural com

modity in its raw or natural state only so long paragraph (1) of section 106(a) of the act is

as it has not undergone some process of treatlimited to prime contracts; related subcontracts

mentor fabrication. In the case of fruits, are not exempt under such provision. Such subcontracts are also specifically excluded from

vegetables and other like products this state

does not ordinarily extend beyond the state in the subcontract exemption provided in section 106(a) (7). See $ 1453.6.

which said products are harvested. In the case 1453.2 Contracts and subcontracts for cer

of livestock, it terminates at the time the animal tain agricultural commodities and raw ma

is slaughtered. When an agricultural comterials.-(a) Agricultural commodities.-(1)

modity is not customarily sold or does not have

an established market in its raw or natural state Statutory provision.-Section 106(a) (2) of

as above defined and is no longer in such state, the act exempts the following:

the exempt status of such commodity will ter(2) any contract or subcontract for an agricultural minate with the state in which the commodity is commodity in its raw or natural state, or if the com

first customarily sold or has an established marmodity is not customarily sold or has not an established market in its raw or natural state, in the first form or

ket, and, with the execption of the produce of state, beyond the raw or natural state, in which it is live animals which are specifically exempted,

61

the exemption will not apply to any derivative the Standard Form of Contractor's Report preproducts which are derived from such com- scribed in section 1470.3(a) of this subchapter. modity in the state in which it is first sold, The Board intends to review the list and revise whether as a result of division, separation or it if errors are found in it before concluding further treatment or processing. For the pur- the renegotiation proceeding of any contractor poses of determining whether an agricultural under the act in which it is claimed that the act commodity is customarily sold or has an es- does not apply to certain prime contracts or subtablished market, regard will be given to the contracts of the contractor by virtue of section entire field in which such commodity is pro- 106(a) (2) of the act and in which such claim duced or marketed rather than to sectional or would affect the determination of excessive local practices; and varieties, types or classes of profits or the absence thereof. Therefore, even the commodity will be disregarded. Receipts though an item appears on the following list, a or accruals from sales of agricultural commodi

contractor may be required to substantiate its ties in their exempt form or state, including claim that such item is exempt from renegotiasales of "futures” in such commodities, are ex- tion. empt from renegotiation.

(b) Raw materials.—(1) Statutory provi(4) Tentative list of exempt agricultural

sion.-Section 106(a) (3) of the act exempts commodities.The Board has tentatively de

the following: termined that the form or state indicated in the following list is the last form or state to which (3) any contract or subcontract for the product of a

mine, oil or gas well, or other mineral or natural dethe exemption set forth in section 106(a)(2)

posit, or timber, which has not been processed, refined, of the act applies. This list is being promul

or treated beyond the first form or state suitable for gated as a guide to contractors in completing industrial use;

Agricultural Commoditics Exemption List

[merged small][ocr errors][ocr errors]

Agricultural commodity
Beans and peas, dry-
Beeswax----
Berries, edible
Chinchona bark.
Cocoa bean.---
Coffee.---.
Corn..----
Cotton..--
Cottonseed..
Cream, fluid
Drugs (botanical).

Eggs
Flax fiber----
Faxseed (linseed)-
Fruits, edible.----
Gum opium.
Hay---
Hemp fiber
Honey----
Jute and sisal fiber.
Livestock.
Milk, raw fluid.
Peanuts --
Pine gum.-
Poultry--
Rice-----
Rubber.
Shellac-
Silk.
Sugar beets.
Sugarcane..

Last form or state at which exemption is to apply
Threshed.
Crude or "country run."
Fresh.
As bark (unprocessed).
Fermented and dried.
Beans (green).
As grain (shelled).
Ginned (in the bale).
Unprocessed (as they come from the gin).
As sold from farms (not pasteurized).
Crude (unground, unprocessed, unstandardized, unpurified) as customarily sold

by the basic producer.
In the shell (raw).
In bales.
As seed (unprocessed).
Fresh.
As gum in its natural state.
Baled or unbaled.
In bales.
In the comb, or in bulk (not packed).
In bales.
On the hoof.
As sold from farms (not pasteurized).
In the shell (raw).
Crude, not distilled.
Alive.
Rough, unpolished (as it comes from the thresher).
Crude natural; natural liquid latex.
Flake or powder.
Raw; raw silk reeled from the cocoon.
As beets.
As cane.

[blocks in formation]

Agricultural Commodities Exemption List-Continued
Agricultural commodity

Last form or state at which exemption is to apply
Tobacco---

Not processed beyond the form or state at which farmers ordinarily sell it.
Tree nuts, edible--

In the shell (raw).
Vegetables.-----

Fresh.
Vegetable seeds---

Not processed beyond the form or state at which they may be used as seeds.
Wheat, rye, oats, and barley ----- As threshed grain.
Wool --

In the grease (as clipped from live animals).

[merged small][merged small][merged small][ocr errors][merged small][merged small][merged small][merged small][merged small]

62.1

(3-15-66)

must be to perform services generally similar to those performed by the prime contractor or subcontractor as a common carrier or public utility. A contract which meets the tests prescribed herein qualifies for the exemption even though it is a contract by a common carrier for private carriage or is a contract by a public utility on terms not offered to the general public.

(d) Common carriers by water—(1) Fiscal years ending before December 31, 1953.-Removed to Appendix.

(2) Fiscal years ending on or after December 31, 1953.-(i) With respect to fiscal years ending on or after December 31, 1953, a contract with a common carrier for transportation by water is exempt if it meets the conditions set forth in subparagraph (1) of this paragraph or if the Board finds that the regulatory aspects of rates for the sale or furnishing of such transportation, or the type and nature of the contract for such furnishing or sale, are such as to indicate, in the opinion of the Board, that excessive profits are improbable. Pursuant to the foregoing authority, the Board has exempted from the provisions of the act, to the extent of amounts received or accrued before January 1, 1964, in any fiscal year ending on or after December 31, 1953:

(a) All prime contracts for transportation by common carrier by water at, or at rates below, rates or charges filed with, fixed, approved or regulated by the Federal Maritime Board before August 12, 1961, or by the Federal Maritime Commission on or after August 12, 1961.

(6) All prime contracts with the Military Sea Transportation Service for transportation of cargo at rates or charges based upon the manifest measurement or manifest weight of

that excessive profits are improbable. Any application for such a finding shall be filed with the Board not later than the date when the contractor files the financial statement prescribed in section 105(e)(1) of the act (see $ 1470.3 (a) of this subchapter) for the fiscal year in which the contractor received or accrued the amounts with respect to which the exemption is claimed. In any financial statement so filed, receipts or accruals under any contract with respect to which the Board is requested to make such a finding shall be included initially in computing the aggregate renegotiable receipts or accruals of the contractor for the fiscal year to which such statement relates.

(e) Exempt rates: Regulated and unregulated.--Section 106(a)(4) of the act exempts prime contracts and subcontracts of a public utility or a common carrier only if the rates charged thereunder fall into one of the three following types: (i) Rates filed with, fixed, approved or regulated by a public regulatory body; (ii) unregulated rates charged for services for which published rates are filed with, fixed, approved or regulated by a public regulatory body and which unregulated rates are not in excess of such regulated rates; (iii) unregulated rates which are not in excess of unregulated rates offered generally by such a public utility which are substantially as favorable to users and consumers as are comparable regulated rates.

(1) Published rates.-If a common carrier or public utility enters into a prime contract or subcontract to be performed at rates published or filed with, fixed, approved or regulated by a public regulatory body, State, Federal, or local, such prime contract or subcontract is exempt. Example: A prime contract entered into by a railroad for transporting Government personnel at rates not in excess of the tariff rates available to the general public is exempt from renegotiation under this section.

(2) Unregulated rates not in excess of regulated rates.-(i) If a common carrier or public utility enters into a contract for the furnishing of services which are the same as those for which a rate has been published or filed with, fixed, approved, or regulated by a public regulatory body and the rate provided by the transaction for such services is not in excess of such regulated rate, the contract is exempt from renego

[blocks in formation]
« AnteriorContinuar »