52.241-10

Full Text

As prescribed in, insert a clause substantially the same as the following: (d)(4) 41.501

Termination Liability (Feb 1995)

(End of clause)

If the Government discontinues utility service under this contract before completion of the facilities cost recovery period specified in paragraph (b) of this clause, in consideration of the Contractor furnishing and installing at its expense, the new facility described herein, the Government shall pay termination charges, calculated as set forth in this clause. (a)

The period of time, not exceeding the term of this contract, during which the net cost of the new facility shall be recovered by the Contractor ismonths.[] (b) Facility cost recovery period. Insert negotiated duration. ______

The cost of the new facility, less the agreed upon salvage value of such facility, is $ (c) Net facility cost. _______. [.] Insert appropriate dollar amount

The monthly facility cost recovery rate which the Government shall pay the Contractor whether or not service is received is $ (d) Monthly facility cost recovery rate. _____.[.] Divide the net facility cost in paragraph (c) of this clause by the facility’s cost recovery period in paragraph (b) of this clause and insert the resultant figure

Termination charges = $ (e) Termination charges. ____.[.] Multiply the remaining months of the facility's cost recovery period specified in paragraph (b) of this clause by the monthly facility cost recovery rate in paragraph (d) of this clause and insert the resultant figure

If the Contractor has recovered its capital costs at the time of termination there will be no termination liability charge. (f)