Article IX: Property Management

ARTICLE IX: PROPERTY MANAGEMENT

ARTICLE IX, CL. 1 - PROPERTY (APR 1984) - DEAR 970.5204-21

(a) Furnishing of Government property. The Government reserves the right to furnish any property or services required for the performance of the work under this contract.

(b) Title to property. Except as otherwise provided by the Contracting Officer, title to all materials, equipment, supplies, and tangible personal property of every kind and description purchased by the University, for the cost of which the University is entitled to be reimbursed as a direct item of cost under this contract, shall pass directly from the vendor to the Government. The Government reserves the right to inspect, and to accept or reject, any item of such property. The University shall make such disposition of rejected items as the Contracting Officer shall direct. Title to other property, the cost of which is reimbursable to the University under this contract, shall pass to and vest in the Government upon (1) issuance for use of such property in the performance of this contract, or (2) commencement of processing or use of such property in the performance of this contract, or (3) reimbursement of the cost thereof by the Government, whichever first occurs. Property furnished by the Government and property purchased or furnished by the University, title to which vests in the Government, under this paragraph are hereinafter referred to as Government property. Title to Government property shall not be affected by the incorporation of the property into or the attachment of it to any property not owned by the Government, nor shall such Government property or any part thereof, be or become a fixture or lose its identity as personalty by reason of affixation to any realty.

(c) Identification. To the extent directed by the Contracting Officer, the University shall identify Government property coming into the contractor's possession or custody, by marking and segregating in such a way, satisfactory to the Contracting Officer, as shall indicate its ownership by the Government.

(d) Disposition. The University shall make such disposition of Government property which has come into the possession or custody of the University under this contract as the Contracting Officer may direct during the progress of the work or upon completion or termination of this contract. The University may, upon such terms and conditions as the Contracting Officer may approve, sell, or exchange such property, or acquire such property at a price agreed upon by the Contracting Officer and the University as the fair value thereof. The amount received by the University as the result of any disposition, or the agreed fair value of any such property acquired by the University, shall be applied in reduction of costs allowable under this contract or shall be otherwise credited to the account to the Government, as the Contracting Officer may direct. Upon completion of the work or the termination of this contract, the University shall render an accounting, as prescribed by the Contracting Officer, of all government property which had come into the possession or custody of the University under this contract.

(e) Protection of government property. The University shall take all reasonable precautions, as directed by the Contracting Officer, or in the absence of such direction in accordance with sound industrial practice, to safeguard and protect government property in the University's possession or custody.

(f) Risk of loss of government property. The University shall not be liable for loss or destruction of or damage to government property in the University's possession unless such loss, destruction or damage results from willful misconduct or lack or good faith on the part of the University's managerial personnel, or unless such loss, destruction or damage results from a failure on the part of the University's managerial personnel to take all reasonable steps to comply with any appropriate written directive of the Contracting Officer to safeguard such property under paragraph (e) hereof. The term "University's managerial personnel" as used herein means any officer or officers of The Regents of the University of California or any person acting as Laboratory Director.

(g) Steps to be taken in event of loss. Upon the happening of any loss or destruction of or damage to government property in the possession or custody of the University, the University shall immediately inform the Contracting Officer of the occasion and extent thereof, shall take all reasonable steps to protect the property remaining, and shall repair or replace the lost, destroyed, or damaged property, unless otherwise directed by the Contracting Officer, but shall take no action prejudicial to the right of the Government to recover therefor and shall furnish to the Government, on request, all reasonable assistance in obtaining recovery.

(h) Government property for Government use only. Government property shall be used only for the performance of this contract.

(i) Property Management. The University shall maintain and administer a property management system, subject to the approval of the Contracting Officer, of accounting for and control, utilization, maintenance, repair, protection and preservation of Government property in its possession under the contract. The University's property management system shall be maintained and administered in accordance with sound business practice, and in accordance with Department of Energy Property Management Regulations and such directives or instructions which the Contracting Officer may from time to time prescribe.

ARTICLE IX, CL. 2 - INTERAGENCY FLEET MANAGEMENT SYSTEM (IFMS) VEHICLES AND RELATED SERVICES (JAN 1991) - FAR 52.251-2

The Contracting Officer may issue the University an authorization to obtain interagency fleet management system (IFMS) vehicles and related services for use in the performance of this contract. The use, service, and maintenance of interagency fleet management system vehicles and the use of related services by the University shall be in accordance with 41 CFR 101-39 and CFR 101-38.301-1.

ARTICLE IX, CL. 3 - LEASING OF MOTOR VEHICLES - DEAR 970.7104-5

The University shall abide by the provisions of FAR 8.11 and 908.11 in the leasing of motor vehicles.

ARTICLE IX, CL. 4 - TAGGING OF LEASED VEHICLES (APR 1984) - DEAR 952.208-7

(a) DOE intends to use U.S. Government license tags.

(b) While it is the intention that vehicles leased hereunder shall operate on Federal tags, the DOE reserves the right to utilize State tags if necessary to accomplish its mission. Should State tags be required, the University shall furnish the DOE the documentation required by the State to acquire such tags.

ARTICLE IX, CL. 5 - ACQUISITION OF REAL PROPERTY (APR 1984) DEAR 952.217-70

(a) Notwithstanding any other provision of the contract, the prior approval of the Contracting Officer shall be obtained when, in performance of this contract, the University acquires or proposes to acquire use of real property by:

(b) Justification of and execution of any real property acquisitions shall be in accordance and compliance with directions provided by the Contracting Officer.

(c) The substance of this clause, including this paragraph (c), shall be included in any subcontract occasioned by this contract under which property described in paragraph (a) of this clause shall be acquired.

ARTICLE IX, CL. 6 - REQUIRED BONDS AND INSURANCE - EXCLUSION OF GOVERNMENT PROPERTY (APR 1984) * - DEAR 970.5204-32

The University shall use its best efforts to ascertain what bonds and insurance are required by law, shall advise the Contracting Officer of such requirements and of changes in such requirements on a timely basis, and shall procure and maintain such bonds and insurance as are required by law or by the written direction of the Contracting Officer. The terms and conditions of any such bonds and insurance shall conform to the directions of the Contracting Officer. In view of the provisions of Article IX, Clause 1, "Property," of this contract, the University shall not procure or maintain for its own protection any insurance (including self-insurance or reserves) covering loss or destruction of, or damage to, Government-owned property.

ARTICLE IX, CL. 7 - FACILITIES MANAGEMENT (SPECIAL)

(a) Real Property Management.

(b) Site Development Planning. The Government shall provide to the University site development guidance for the facilities and lands for which the University is responsible. Based upon this guidance, the University shall prepare, and maintain through annual updates, a long range Site Development Plan to reflect those actions necessary to keep the development of these facilities current with the needs of the Government and allow the University to successfully accomplish the work required under this contract. In developing this plan, the University shall follow the procedural guidance set forth in applicable directives treated under this contract pursuant to Article XV, Clause 3, "Procedure for Treatment of Prospective DOE Directives and Extant DOE Orders," of this contract. The University shall use the Plan to manage and control the development of facilities and lands. All plans and revisions shall be approved by the Government.

(c) General Design Criteria. The general design criteria which shall be utilized by the University in managing the site for which it is responsible under this contract are those specified in applicable directives treated under this contract pursuant to Article XV, Clause 3, "Procedure for Treatment of Prospective DOE Directives and Extant DOE Orders," of this contract. The University shall comply with these mandatory, minimally acceptable requirements for all facility design with regard to any building acquisition, new facility, facility addition, alteration, or facility lease. This includes on-site constructed buildings, pre-engineered buildings, plan fabricated modular buildings, and temporary facilities. For existing facilities, original design criteria apply to the structure in general; however, additions or modifications shall comply with applicable directives.

(d) Project Management.

(e) Maintenance Management. (Approved by The Regents of the University of California on May 21, 1993.)

(f) Energy Management. The University shall manage the facilities and vehicle fleets for which it is responsible in an energy efficient manner in accordance with applicable directives treated under this contract pursuant to Article XV, Clause 3, "Procedure for Treatment of Prospective DOE Directives and Extant DOE Orders," of this contract. The University shall develop a 10-year energy management plan for the laboratory with annual reviews and revisions. The University shall submit an annual report on progress toward achieving the goals of the 10-year Plan for the site, and an energy conservation analysis report for each new building or building addition project.

(g) Utilities Management. The University shall conduct the on-site utilities planning, utility operations management, certify billing invoices, and provide support for DOE's utility acquisition effort in accordance with applicable directives treated under this contract pursuant to Article XV, Clause 3, "Procedure for Treatment of Prospective DOE Directives and Extant DOE Orders," of this contract. The University shall develop a short-range (5 years) and long-range (20 years) utility management plan in accordance with applicable directives treated under this contract pursuant to Article XV, Clause 3, "Procedure for Treatment of Prospective DOE Directives and Extant DOE Orders," of this contract, noted above.

(h) Capital Assets Management. The University shall manage capital assets in accordance with applicable directives treated under this contract pursuant to Article XV, Clause 3, "Procedure for Treatment of Prospective DOE Directives and Extant DOE Orders," of this contract.

(i) Any change implied or expressed to the above referenced orders in paragraphs (a), (b), (c), (d), (e), (f) and (g) shall be processed in accordance with Article XV, Clause 3, "Procedure for Treatment of Prospective DOE Directives and Extant DOE Orders," of this contract.

(j) Approvals. Where the cost thereof will be claimed for reimbursement under this contract, the University shall obtain written approval of the Contracting Officer for the following:

For projects which exceed $300,000, the University will submit a request to the Contracting Officer describing the project containing a cost estimate and the reasons for the project. If after 60 days the Contracting Officer has not responded, then the project is approved and the University may proceed.

ARTICLE IX, CL. 8 - DISPOSITION OF EXCESS RESEARCH EQUIPMENT (SPECIAL)

The Laboratory Director may dispose of research equipment that is excess to the needs of the Laboratory and the Department by gift to an educational institution or a non-profit organization for the conduct of scientific education or research activities. Gifts to the University require advance notice to the Contracting Officer. Title of ownership shall pass to the recipient as of the time of the gift.

ARTICLE IX, CL. 9 - REAL PROPERTY (SPECIAL)

(a) Lease and Occupancy by DOE of Real Property Owned by the University s Disposition of Premises Altered or Constructed.

(b) Lease and Occupancy by DOE of Real Property Owned by the University s Responsibility for Environmental Restoration and Remedial Work. Upon termination or expiration of this contract or any lease or occupancy agreements (see Appendix I hereto), DOE shall be responsible for complying with applicable federal, state and local laws, regulations, or orders requiring investigation, monitoring, cleanup, containment, restoration, removal, or other remedial activity with respect to any hazardous substances present in the soil, ground water, or buildings as a result of activities conducted during the term of this contract or any prior contract modifications or during the term of any said lease or occupancy agreements.

ARTICLE IX, CL. 10 - CAMPUS BUILDING SPACE AND EQUIPMENT (SPECIAL)

The University shall provide building space and equipment as set forth in "Campus Building Space and Equipment," Appendix J, to this contract.

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