Model Contract Clauses

1
Model Contract Clauses

• NNSA Model Contract Clauses to Improve Management
  Performance
• Richard F. Sena

2
Clauses H-1 H-2

• H-1 Redefining the Federal/Contractor
  Relationship to Improve Management and
  Performance
• Clause sets forth key elements of the Model into
  Contract that commits both NNSA and the
  Contractor to a new relationship
• H-2 Performance Direction
• Clarifies that Only CO and COR are authorized to
  provide direction to contractor

3
Clause H-3

• H-3 Contractor Multi-Year Strategy For
  Performance Improvement
• Planned efforts to improve management
  performance at site
• includes planned contributions of its parent(s)
• Enhanced Contractor communications, cooperation
  and integration with the NNSA Weapon Complex
• with emphasis on Los Alamos National Laboratory
• Will be considered for inclusion as a performance
  element in contractor evaluations

4
Clause H-4

• H-4 Contractor Assurance System (CAS)
• Contractor to develop assurance system for
• Improved self-assessments
• Utilization of nationally recognized experts and
  other independent reviews
• Process for improving performance
• Approved and performance monitored by
  Contractors Board of Directors

5
Clauses H-5 H-6

• H-5 NNSA Oversight
• NNSA preserves and maintains the right to
  determine the level of NNSA oversight of all
  Contractor activities under this Contract
• H-6 Parent Organizations Oversight Plan
• Actions to monitor Laboratory performance and
• Assist the Laboratory in meeting its mission and
  operational requirements

6
Clauses H-7 H-8

• H-7 Accountability
• Contractor accountable for performance regardless
  of government evaluation
• Contractors Assurance System cannot take credit
  for oversight performed by NNSA
• H-8 Utilization of Parent Corporate Systems
• Where more efficient and represents an overall
  cost savings to the Government versus existing
  site systems
• Data is readily transferable to a successor
  contractor, and
• Approved by Contracting Officer

7
Clauses H-9

• H-9 Benchmarking Standards Management
• Contractor shall benchmark best commercial
  standards and business practices and incorporate
  where efficient and cost effective
• Where best commercial standards and/or business
  practices conflict with a DOE Directive or
  DOE/NNSA requirement, the Contractor will submit
  a proposal to NNSA for approval

8
Clause H-10

• H-10 Contractor Reinvestment of Cost Efficiencies
• Contractor cost efficiencies to be applied to
  un-funded priority mission work
• Extent of un-funded priority mission work
  accomplished is a performance target
• NNSA will allow the Contractor to apply a
  percentage of the indirect costs savings realized
  from efficiencies toward CDRD at LLNL

9
Clause H-10

• H-10 Contractor Reinvestment of Cost Efficiencies
• Contractor cost efficiencies to be applied to
  un-funded priority mission work
• Extent of un-funded priority mission work
  accomplished is a performance target
• NNSA will allow the Contractor to apply a
  percentage of the indirect costs savings realized
  from efficiencies toward CDRD at LLNL

10
Clause H-12

• H-12 Strategic Initiatives
• LLNL Contractor participation with NNSA NNSA
  MO Contractors
• Evaluate, plan, develop implement strategic
  initiative activities and across the Nuclear
  Weapons Complex
• Goal is to increase the efficiency and cost
  effectiveness of the Nuclear Weapons Complex
• Contractors and NNSA will negotiate annual
  multi-site objectives