Standard Bus Procurement Guidelines - APTAStandards.com

Standard Bus Procurement Guidelines
2.5.6 SURVIVABILITY
Contractor's obligations under this section 2.5 shall survive the nominal expiration or discharge of
other Contract obligations and Procuring Agency may obtain any remedy under law, Contract or
equity to enforce the obligations of contractor that survive the manufacturing, warranty, and final
payment periods.
2.6 AUDIT AND INSPECTION OF RECORDS
NOTE: There are three different kinds of audit requirements: pre- and post-award reviews for
compliance with Buy America, reviews to ensure specification compliance, and financial audits.
Financial audits are necessary for reimbursable contracts, sole source, change orders and sometimes
as the means to establish financial responsibility of an Offeror. The following will not deal with
audits for compliance with Buy America or the Contract specification. Also, pre-award audits of
financial responsibility should be treated as part of the procurement procedures. Bus procurements
are generally never reimbursable Contracts; therefore, the following deals only with the Procuring
Agency's audit rights in regard to sole source, single Offer and change orders.
In accordance with 49 C.F.R. § 18.36(i), 49 C.F.R. § 19.48(d), and 49 U.S.C. § 5325(a), provided the
Procuring Agency is the FTA Recipient or a subgrantee of the FTA Recipient, the Contractor agrees
to provide the Procuring Agency, FTA, the Comptroller General of the United States, the Secretary of
the U.S. Department of Transportation, or any of their duly authorized representatives access to any
books documents, papers, and records of the Contractor which are directly pertinent to or relate to
this Contract (1) for the purpose of making audits, examinations, excerpts, and transcriptions and (2)
when conducting an audit and inspection.
A. In the event of a sole source Contract, or single Offer, single responsive Offer, or competitive
negotiated procurement the Contractor shall maintain and the Contracting Officer, the U.S.
Department of Transportation (if applicable), or the representatives thereof, shall have the right to
examine all books, records, documents, and other cost and pricing data related to the Contract
price, unless such pricing is based on adequate price competition, established catalog or market
prices of commercial items sold in substantial quantities to the public, or prices set by law or
regulation, or combinations thereof. Data related to the negotiation or performance of the
contract shall be made available for the purpose of evaluating the accuracy, completeness, and
currency of the cost or pricing data. The right of examination shall extend to all documents
necessary for adequate evaluation of the cost or pricing data, along with the computations and
projections used therein, including review of accounting principles and practices that reflect
properly all direct and indirect costs anticipated for the performance of the Contract.
B. For Contract modifications or change orders the Contracting Officer, the U.S. Department of
Transportation (if applicable), or their representatives shall have the right to examine all books,
records, documents, and other cost and pricing data related to a Contract modification, unless such
pricing is based on adequate price competition, established catalog or market prices of commercial
items sold in substantial quantities to the public, or prices set by law or regulation, or
combinations thereof. Data related to the negotiation or performance of the Contract modification
or change order shall be made available for the purpose of evaluating the accuracy, completeness,
General Contractual Provisions 79 10/18/07