RIX Industries Flow Downs
Prime Coded Note:
R014
Revision:
4
Description:
SPCL TOOLING & SPCL TEST EQUIPMENT
Clause:
Applicable to prime contracts issued on or after June 14, 2007 special tooling and special test equipment (herein after jointly called tooling) is defined in FAR 2.101.Initial
Procurement
a. Seller agrees that it will fabricate and furnish to buyer (pursuant to delivery or disposition) all tooling (including all modifications thereto) necessary to produce parts to be delivered by seller under the purchase order as specified in the schedule hereto.
b. Seller agrees that tooling costs (for new or rework of existing tooling) included in this purchase order shall be subject to audit by buyer and revision downward only, to reflect fair and reasonable reimbursement to seller for tooling costs and upon buyers audit. In no event will such revised amount exceed:
(1) Seller's actual tooling costs, or
(2) The amount of tooling costs included in this order, whichever is less.
c. Upon completion of tooling under this purchase order, seller shall submit to buyer a vendor tool record (VTR, 84-00-3156) provided herewith of all tooling required to fabricate/test said parts along with an actual detail cost of each tool and drawing, sketches or photographs of said tooling. Seller shall also include a copy of the government letter approving their property control system or, at a minimum, a copy of their property control procedure (s). After the purchaser approval of VTR, seller shall invoice and payment be made for said tooling, and title to the tooling shall vest in the buyer or the government as specified in the buyer?s prime contract with the government.
d. Seller agrees not to use any item of tooling covered by this purchase order except in the performance of purchase orders issued by buyer. Seller agrees not to include in the price for any such purchase order the cost of this tooling or any allowances or charges to cover depreciation or amortization.
e. Seller agrees that it will comply with the provisions of the following documents, which by this reference are incorporated herein:
(1) ?Sellers tool requirements instruction? (see below).
(2) If the tooling is government property, parts 45, 52.245-1 and 52.245-2 of FAR shall prevail in the event of inconsistency with the above referenced document.
f. Seller shall request disposition instructions for tooling as soon as it becomes known that the tooling is no longer required by seller. Buyer agrees to pay reasonable transport charges connected with delivery or disposition in accordance with buyers written instruction. Follow on production
Tooling required for performance hereunder is furnished to seller under buyer?s purchase order. Except for such additional tooling or tooling modification as may be specifically authorized herein, seller certifies that additional tooling or tooling modifications is not required for performance hereunder, and that the price of this purchase order does not include any amount for tooling. If charges for tooling or modifications thereto are specified herein, title to such tooling or modifications shall vest in the buyer or the government as case may be.
Buyer Furnished tooling
a. Buyer will furnish to seller, on a loan basis and at no charge, the tooling referenced in this order (with such modifications as may have been requested by seller and agreed to by buyer) for such use, if any, as seller reasonable may elect to make of such tooling for the sole purpose of performance against this order. Upon request, buyer will advise seller where purchaser-furnished tooling may be examined. Buyer assumes no responsibility of any kind for the accuracy or sustainability of such tooling for the purposes of this order. By his acceptance and use of such tooling, seller expressly assumes the entire risk of their accuracy and suitability and therefore cautioned to take necessary steps to assure same before using them. The furnishing of such tooling by buyer, under the conditions set forth above, shall not in any way, relieve seller of complete responsibility for furnishing the suppliers covered by this order in strict accordance with the drawings and specifications and all other requirements of this order. Seller may not use buyer furnished tooling to accomplish work for other customers without express written consent of buyer.
b. The tooling detailed in this order is government-owned or purchaser-owned. Seller agrees that it will comply with the provisions of the following documents:
(1) ?Seller?s Tool Requirements Instruction? (See Below).
(2) If the tooling is government property, parts 45, 52.245-1 and 52.245-2 of FAR shall prevail in the event of inconsistency with the above referenced document.
(3) The seller agrees to assume the risk of liability for loss, damage or destruction of government property in their possession in accordance with FAR property clause 52.245-2 when invoked.
Seller's Tool Requirements Instruction
Sellers should be prepared to show positive evidence of the following:
a. Procedures
The seller shall establish and maintain a system to control, protect, preserve and maintain all government-owned property while in his possession. The property control system shall be in writing and will be subject to preview by purchaser. A copy of seller?s government property control procedure shall be submitted to the buyer.
b. Identification
Physical marking of special tooling and/or special test equipment will be as follows:
(1) A seven-digit identification number along with a prefix starting with the ?USN8? or ?EB8? will be stamped or etched onto a nameplate attached to the surface of the tool in a legible, permanent, conspicuous, tamperproof method. Also, the tool must be stamped with the same seven-digit identification number so that it can be matched with the nameplate, should they become separated.
(2) In the instances where it is impractical to use methods listed above, alternative methods may be improvised, I.E., a small hole may be drilled through the tool for attachment of a stock nameplate by wire. This hole, however, must be identified as a tag attachment hole by showing a prominent ?T? next to it. Also, the tool must be marked with the seven-digit identification number so that it can be matched with the nameplate, should they become separated.
(3) The identification number (USN8000000 or EB8000000) will be provided to the seller in the column ?For the Purchaser Use Only? on the completed vendor tool record (Form 84-00-3156) returned to the seller upon arrival/payment of the special tool and/or special test equipment.
c. Tooling Inventory and Record Requirements
The seller shall maintain at all times a current inventory listing and record of accountability of the purchaser and/or government-owned tools located at the seller?s facility or at the facility of his subcontractor. Upon request, the inventory records of all purchaser-owned and/or government-owned tools shall be submitted to the purchaser. Readily accessible files of documents and other documents are required to support the activities described in the paragraphs A through K, as well as such other property records as may be required under the purchase agreement. Ordinarily, the property record for each item of special tooling and special test equipment will indicate the following:
(1) Purchase order number
(2) Nomenclature/Description
(3) Quantity received or fabricated
(4) Location or disposition
(5) Unit price (as required)
(6) Posting references for each transaction
(7) Identification number (Seven-digit number prefixed by USN or EB) or as designated by the purchaser
(8) Usage information (when used)
(9) Item on which used
d. Acquisition
The system should have the ability to show the authority by which the property was acquired. Such authorization usually consists of a fully executed vendor tool record (Form 84-00-3156) and the purchase order.
e. Maintenance and protection
An effective program for preventive and repair maintenance for protection of special tooling and special test equipment in accordance with sound industrial practices is required including records of such actions.
f. Alteration and/or reidentifcation
No tool shall be altered or reidentified in any manner by the seller without prior written approval by the buyer.
g. Loss, damage or destruction
The seller shall report to the purchaser all cases of loss, damage or destruction of Electric Boat or government-owned tooling in his possession or control (Including such tooling in the possession or control of his subcontractor) as soon as the fact becomes known.
As soon as factual data can be obtained the following information shall be submitted.
(1) Sellers name and Purchase Order,
(2) Description of items lost, damaged, destroyed or unreasonably consumed,
(3) Cost of tooling lost, damaged, etc.
(4) Date, Time (if pertinent) and cause or origin of the loss, damage, etc.,
(5) Known interests in an commingled tooling of which purchaser-owned or government-owned tooling lost, damaged, etc., is (or was) a part,
(6) Insurance, if any, covering the tooling and
(7) Actions taken by the seller to prevent repetition of similar incidents.
h. Inactive tools
The seller and/or his subcontractor who has in his possession tools which have become inactive shall observe the following;
(1) Prepare a letter to the purchaser requesting disposition of the tools listed, and
(2) Stating the length of time that tools have been inactive
Seller shall not transfer or otherwise dispose of any tool without specific written authority from the purchasing buyer.
i. Physical inventories
The seller shall annually (in the second quarter of the year) physically inventory all purchase-owned and government-owned property in his possession and shall cause subcontractors to do likewise. Results of physical inventories shall be forward to the purchaser and shall include:
(1) A listing (By ID number) of all items inventoried with written certification that the items were signed, and
(2) A listing of discrepancies noted
j. Contract closeout
The seller shall report, investigate, and secure closure of all loss, theft, damage, or destruction cases; physically inventory all property upon termination or completion of this contract; and request disposition of items at the time they are determined to be excess to contractual need.
k. Subcontractor control
The seller shall require any of his subcontractors to comply with this instruction and FAR parts 45, 52.245-1 and 52.245-2 (only when government property is involved).
Procurement
a. Seller agrees that it will fabricate and furnish to buyer (pursuant to delivery or disposition) all tooling (including all modifications thereto) necessary to produce parts to be delivered by seller under the purchase order as specified in the schedule hereto.
b. Seller agrees that tooling costs (for new or rework of existing tooling) included in this purchase order shall be subject to audit by buyer and revision downward only, to reflect fair and reasonable reimbursement to seller for tooling costs and upon buyers audit. In no event will such revised amount exceed:
(1) Seller's actual tooling costs, or
(2) The amount of tooling costs included in this order, whichever is less.
c. Upon completion of tooling under this purchase order, seller shall submit to buyer a vendor tool record (VTR, 84-00-3156) provided herewith of all tooling required to fabricate/test said parts along with an actual detail cost of each tool and drawing, sketches or photographs of said tooling. Seller shall also include a copy of the government letter approving their property control system or, at a minimum, a copy of their property control procedure (s). After the purchaser approval of VTR, seller shall invoice and payment be made for said tooling, and title to the tooling shall vest in the buyer or the government as specified in the buyer?s prime contract with the government.
d. Seller agrees not to use any item of tooling covered by this purchase order except in the performance of purchase orders issued by buyer. Seller agrees not to include in the price for any such purchase order the cost of this tooling or any allowances or charges to cover depreciation or amortization.
e. Seller agrees that it will comply with the provisions of the following documents, which by this reference are incorporated herein:
(1) ?Sellers tool requirements instruction? (see below).
(2) If the tooling is government property, parts 45, 52.245-1 and 52.245-2 of FAR shall prevail in the event of inconsistency with the above referenced document.
f. Seller shall request disposition instructions for tooling as soon as it becomes known that the tooling is no longer required by seller. Buyer agrees to pay reasonable transport charges connected with delivery or disposition in accordance with buyers written instruction. Follow on production
Tooling required for performance hereunder is furnished to seller under buyer?s purchase order. Except for such additional tooling or tooling modification as may be specifically authorized herein, seller certifies that additional tooling or tooling modifications is not required for performance hereunder, and that the price of this purchase order does not include any amount for tooling. If charges for tooling or modifications thereto are specified herein, title to such tooling or modifications shall vest in the buyer or the government as case may be.
Buyer Furnished tooling
a. Buyer will furnish to seller, on a loan basis and at no charge, the tooling referenced in this order (with such modifications as may have been requested by seller and agreed to by buyer) for such use, if any, as seller reasonable may elect to make of such tooling for the sole purpose of performance against this order. Upon request, buyer will advise seller where purchaser-furnished tooling may be examined. Buyer assumes no responsibility of any kind for the accuracy or sustainability of such tooling for the purposes of this order. By his acceptance and use of such tooling, seller expressly assumes the entire risk of their accuracy and suitability and therefore cautioned to take necessary steps to assure same before using them. The furnishing of such tooling by buyer, under the conditions set forth above, shall not in any way, relieve seller of complete responsibility for furnishing the suppliers covered by this order in strict accordance with the drawings and specifications and all other requirements of this order. Seller may not use buyer furnished tooling to accomplish work for other customers without express written consent of buyer.
b. The tooling detailed in this order is government-owned or purchaser-owned. Seller agrees that it will comply with the provisions of the following documents:
(1) ?Seller?s Tool Requirements Instruction? (See Below).
(2) If the tooling is government property, parts 45, 52.245-1 and 52.245-2 of FAR shall prevail in the event of inconsistency with the above referenced document.
(3) The seller agrees to assume the risk of liability for loss, damage or destruction of government property in their possession in accordance with FAR property clause 52.245-2 when invoked.
Seller's Tool Requirements Instruction
Sellers should be prepared to show positive evidence of the following:
a. Procedures
The seller shall establish and maintain a system to control, protect, preserve and maintain all government-owned property while in his possession. The property control system shall be in writing and will be subject to preview by purchaser. A copy of seller?s government property control procedure shall be submitted to the buyer.
b. Identification
Physical marking of special tooling and/or special test equipment will be as follows:
(1) A seven-digit identification number along with a prefix starting with the ?USN8? or ?EB8? will be stamped or etched onto a nameplate attached to the surface of the tool in a legible, permanent, conspicuous, tamperproof method. Also, the tool must be stamped with the same seven-digit identification number so that it can be matched with the nameplate, should they become separated.
(2) In the instances where it is impractical to use methods listed above, alternative methods may be improvised, I.E., a small hole may be drilled through the tool for attachment of a stock nameplate by wire. This hole, however, must be identified as a tag attachment hole by showing a prominent ?T? next to it. Also, the tool must be marked with the seven-digit identification number so that it can be matched with the nameplate, should they become separated.
(3) The identification number (USN8000000 or EB8000000) will be provided to the seller in the column ?For the Purchaser Use Only? on the completed vendor tool record (Form 84-00-3156) returned to the seller upon arrival/payment of the special tool and/or special test equipment.
c. Tooling Inventory and Record Requirements
The seller shall maintain at all times a current inventory listing and record of accountability of the purchaser and/or government-owned tools located at the seller?s facility or at the facility of his subcontractor. Upon request, the inventory records of all purchaser-owned and/or government-owned tools shall be submitted to the purchaser. Readily accessible files of documents and other documents are required to support the activities described in the paragraphs A through K, as well as such other property records as may be required under the purchase agreement. Ordinarily, the property record for each item of special tooling and special test equipment will indicate the following:
(1) Purchase order number
(2) Nomenclature/Description
(3) Quantity received or fabricated
(4) Location or disposition
(5) Unit price (as required)
(6) Posting references for each transaction
(7) Identification number (Seven-digit number prefixed by USN or EB) or as designated by the purchaser
(8) Usage information (when used)
(9) Item on which used
d. Acquisition
The system should have the ability to show the authority by which the property was acquired. Such authorization usually consists of a fully executed vendor tool record (Form 84-00-3156) and the purchase order.
e. Maintenance and protection
An effective program for preventive and repair maintenance for protection of special tooling and special test equipment in accordance with sound industrial practices is required including records of such actions.
f. Alteration and/or reidentifcation
No tool shall be altered or reidentified in any manner by the seller without prior written approval by the buyer.
g. Loss, damage or destruction
The seller shall report to the purchaser all cases of loss, damage or destruction of Electric Boat or government-owned tooling in his possession or control (Including such tooling in the possession or control of his subcontractor) as soon as the fact becomes known.
As soon as factual data can be obtained the following information shall be submitted.
(1) Sellers name and Purchase Order,
(2) Description of items lost, damaged, destroyed or unreasonably consumed,
(3) Cost of tooling lost, damaged, etc.
(4) Date, Time (if pertinent) and cause or origin of the loss, damage, etc.,
(5) Known interests in an commingled tooling of which purchaser-owned or government-owned tooling lost, damaged, etc., is (or was) a part,
(6) Insurance, if any, covering the tooling and
(7) Actions taken by the seller to prevent repetition of similar incidents.
h. Inactive tools
The seller and/or his subcontractor who has in his possession tools which have become inactive shall observe the following;
(1) Prepare a letter to the purchaser requesting disposition of the tools listed, and
(2) Stating the length of time that tools have been inactive
Seller shall not transfer or otherwise dispose of any tool without specific written authority from the purchasing buyer.
i. Physical inventories
The seller shall annually (in the second quarter of the year) physically inventory all purchase-owned and government-owned property in his possession and shall cause subcontractors to do likewise. Results of physical inventories shall be forward to the purchaser and shall include:
(1) A listing (By ID number) of all items inventoried with written certification that the items were signed, and
(2) A listing of discrepancies noted
j. Contract closeout
The seller shall report, investigate, and secure closure of all loss, theft, damage, or destruction cases; physically inventory all property upon termination or completion of this contract; and request disposition of items at the time they are determined to be excess to contractual need.
k. Subcontractor control
The seller shall require any of his subcontractors to comply with this instruction and FAR parts 45, 52.245-1 and 52.245-2 (only when government property is involved).