[Code of Federal Regulations]

[Title 48, Volume 1]

[Revised as of October 1, 2005]

From the U.S. Government Printing Office via GPO Access

[CITE: 48CFR41.402]



[Page 779-780]

 

            TITLE 48--FEDERAL ACQUISITION REGULATIONS SYSTEM

 

                CHAPTER 1--FEDERAL ACQUISITION REGULATION

 

PART 41_ACQUISITION OF UTILITY SERVICES--Table of Contents

 

                       Subpart 41.4_Administration

 

Sec. 41.402  Rate changes and regulatory intervention.



    (a) When a change is proposed to rates or terms and conditions of 

service to the Government, the agency shall promptly determine whether 

the proposed change is reasonable, justified, and not discriminatory.

    (b) If a change is proposed to rates or terms and conditions of 

service that may be of interest to other Federal agencies, and 

intervention before a regulatory body is considered justified, the 

matter shall be referred to GSA. The agency may request from GSA a 

delegation of authority for the agency to intervene on behalf of the 

consumer interests of the Federal executive agencies (see 41.301).

    (c) Pursuant to 52.241-7, Change in Rates or Terms and Conditions of 

Service for Regulated Services, if a regulatory body approves a rate 

change, any rate change shall be made a part of the contract by 

unilateral contract modification or otherwise documented in accordance 

with agency procedures. The approved applicable rate shall be effective 

on the date determined by the regulatory body and resulting rates and 

charges shall be paid promptly to avoid late payment provisions. Copies 

of the modification containing the approved rate change shall be sent to 

the agency's paying office or office responsible for verifying billed 

amounts (see 41.401).

    (d) If the utility supplier is not regulated and the rates, terms, 

and conditions of service are subject to negotiation pursuant to the 

clause at 52.241-8,



[[Page 780]]



Change in Rates or Terms and Conditions of Service for Unregulated 

Services, any rate change shall be made a part of the contract by 

contract modification, with copies sent to the agency's paying office or 

office responsible for verifying billed amounts.