[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: 48CFR47]



[Page 881-882]

 

            TITLE 48--FEDERAL ACQUISITION REGULATIONS SYSTEM

 

                CHAPTER 1--FEDERAL ACQUISITION REGULATION

 

PART 47_TRANSPORTATION--Table of Contents

 

                          Subpart 47.1_General

 

47.104-3  Cost-reimbursement contracts.



    (a) The Interstate Commerce Commission has ruled that section 10721 

rates may be applied to shipments other than those made by the 

Government if the total benefit accrues to the Government; i.e., the 

Government must pay the charges or directly and completely reimburse the 

party that initially bears the freight charges. Therefore, section 10721 

rates may be used for shipments moving on commercial bills of lading in 

cost-reimbursement contracts under which the transportation costs are 

direct and allowable costs under the cost principles of part 31.

    (b) Section 10721 rates may be applied to the movement of household 

goods and personal effects of contractor employees who are relocated for 

the convenience and at the direction of the Government and whose total 

transportation costs are reimbursed by the Government.

    (c) The clause at 52.247-1, Commercial Bill of Lading Notations, 

will ensure that the Government receives the benefit of lower section 

10721 rates in cost-reimbursement contracts as described in paragraphs 

(a) and (b) above.

    (d) Contracting officers shall--

    (1) Include in contracts a statement requiring the contractor to use 

carriers



[[Page 882]]



that offer acceptable service at reduced rates if available; and

    (2) Ensure that contractors receive the name and location of the 

transportation officer designated to furnish support and guidance when 

using Government rate tenders under 47.104-5(b).

    (e) Transportation officers shall--

    (1) Advise and assist contracting officers and contractors; and

    (2) Make available to contractors the names of carriers that provide 

service under section 10721 quotations, cite applicable rate tenders, 

and advise contractors of the statement that must be shown on the 

carrier's commercial bill of lading (see the clause at 52.247-1, 

Commercial Bill of Lading Notations).