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§ 891d. —  Contract authority.



[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
  January 24, 2002 and December 19, 2002]
[CITE: 33USC891d]

 
                TITLE 33--NAVIGATION AND NAVIGABLE WATERS
 
                    CHAPTER 17--NATIONAL OCEAN SURVEY
 
                SUBCHAPTER III--NOAA FLEET MODERNIZATION
 
Sec. 891d. Contract authority


(a) Multiyear contracts

                           (1) In general

        Subject to paragraphs (2) and (3), and notwithstanding section 
    1341 of title 31 and section 11 of title 41, the Secretary may 
    acquire vessels for the NOAA fleet by purchase, lease, lease-
    purchase, or otherwise, under one or more multiyear contracts.

                        (2) Required findings

        The Secretary may not enter into a contract pursuant to this 
    subsection unless the Secretary finds with respect to that contract 
    that--
            (A) there is a reasonable expectation that throughout the 
        contemplated contract period the Secretary will request from 
        Congress funding for the contract at the level required to avoid 
        contract termination; and
            (B) the use of the contract will promote the best interests 
        of the United States by encouraging competition and promoting 
        economic efficiency in the operation of the NOAA fleet.

                  (3) Required contract provisions

        The Secretary may not enter into a contract pursuant to this 
    subsection unless the contract includes--
            (A) a provision under which the obligation of the United 
        States to make payments under the contract for any fiscal year 
        is subject to the availability of appropriations provided in 
        advance for those payments;
            (B) a provision that specifies the term of effectiveness of 
        the contract; and
            (C) appropriate provisions under which, in case of any 
        termination of the contract before the end of the term specified 
        pursuant to subparagraph (B), the United States shall only be 
        liable for the lesser of--
                (i) an amount specified in the contract for such a 
            termination; or
                (ii) amounts that--
                    (I) were appropriated before the date of the 
                termination for the performance of the contract or for 
                procurement of the type of acquisition covered by the 
                contract; and
                    (II) are unobligated on the date of the termination.

(b) Service contracts

    Notwithstanding any other provision of law, the Secretary may enter 
into multiyear contracts for oceanographic research, fisheries research, 
and mapping and charting services to assist the Secretary in fulfilling 
NOAA missions. The Secretary may only enter into these contracts if--
        (1) the Secretary finds that it is in the public interest to do 
    so;
        (2) the contract is for not more than 7 years; and
        (3)(A) the cost of the contract is less than the cost (including 
    the cost of operation, maintenance, and personnel) to the NOAA of 
    obtaining those services on NOAA vessels; or
        (B) NOAA vessels are not available or cannot provide those 
    services.

(c) Bonding authority

    Notwithstanding any other law, the Secretary may not require a 
contractor for the construction, alteration, repair or maintenance of a 
NOAA vessel to provide a bid bond, payment bond, performance bond, 
completion bond, or other surety instrument in an amount greater than 20 
percent of the value of the base contract quantity (excluding options) 
unless the Secretary determines that requiring an instrument in that 
amount will not prevent a responsible bidder or offeror from competing 
for the award of the contract.

(Pub. L. 102-567, title VI, Sec. 606, Oct. 29, 1992, 106 Stat. 4301.)



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