UNITED STATES POSTAL SERVICE OFFICE OF INSPECTOR GENERAL (USPS-OIG)

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PART 3 - CONTRACT CLAUSES CLAUSES INCORPORATED BY REFERENCE CLAUSE 2-19 OPTION TO EXTEND (SERVICES CONTRACT) (MARCH 2006) The above clauses are incorporated by reference as if set forth in full text. The text of these clauses may be accessed electronically at this address: http://www.usps.com/cpim/ftp/manuals/spp/spp.pdf or, upon request, will be provided by the contracting officer. CLAUSE B-3 CONTRACT TYPE (MARCH 2006) This is a FIRM FIXED PRICE contract. CLAUSE B-78 RENEWAL (MARCH 2006) This contract may be renewed by mutual agreement of the parties. CLAUSE 4-1 GENERAL TERMS AND CONDITIONS (JULY 2007) a. Inspection and Acceptance. The supplier will only tender for acceptance those items that conform to the requirements of this contract. The Postal Service reserves the right to inspect or test supplies or services that have been tendered for acceptance. The Postal Service may require repair or replacement of nonconforming supplies or reperformance of nonconforming services at no increase in contract price. The Postal Service must exercise its post acceptance rights (1) within a reasonable period of time after the defect was discovered or should have been discovered and (2) before any substantial change occurs in the condition of the items, unless the change is due to the defect in the item. b. Assignment. If this contract provides for payments aggregating $10,000 or more, claims for monies due or to become due from the Postal Service under it may be assigned to a bank, trust company, or other financing institution, including any federal lending agency, and may thereafter be further assigned and reassigned to any such institution. Any assignment or reassignment must cover all amounts payable and must not be made to more than one party, except that assignment or reassignment may be made to one party as agent or trustee for two or more parties participating in financing this contract. No assignment or reassignment will be recognized as valid and binding upon the Postal Service unless a written notice of the assignment or reassignment, together with a true copy of the instrument of assignment, is filed with: (1) The contracting officer; (2) The surety or sureties upon any bond; and (3) The office, if any, designated to make payment, and the contracting officer has acknowledged the assignment in writing. (4) Assignment of this contract or any interest in this contract other than in accordance with the provisions of this clause will be grounds for termination of the contract for default at the option of the Postal Service. c. Changes (1) The contracting officer may, in writing, without notice to any sureties, order changes within the general scope of this contract in the following: (a) Drawings, designs, or specifications when supplies to be furnished are to be specially manufactured for the Postal Service in accordance with them; (b) Statement of work or description of services; (c) Method of shipment or packing; (d) Places of delivery of supplies or performance of services; (e) Delivery or performance schedule; Page 6 of 11