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FARS

Section 5490.1302: DFARS Clauses/Provisions.

252.243-7001 Pricing of Contract Modifications (DEC 1991)

The price of petroleum is based on market-conditions, not cost, thus making this clause unnecessary for DESC.

252.247-7022 Representation of Extent of Transportation by Sea (AUG

1992)

252.247-7023 Transportation of Supplies by Sea (DEC 1991)

252.247-7024 Notification of Transportation of Supplies by Sea (DEC

1991)

These clauses are unnecessary in acquisitions for petroleum, petroleum related services, and coal. Domestic acquisitions rarely, if ever, involve supplies which have been transported from outside the United States by sea. Overseas bunkers, into-plane, and storage also do not involve ocean transportation. Nearly all shipments to overseas posts, camps, and stations take place by land; those few made by water are nearly all within foreign territorial waters and therefore subject to foreign cabotage laws, so that no U.S.-flag vessels are available. Bulk fuels shipments are rarely on other than an f.o.b. origin basis, so that ocean shipment of end items is managed by the Military Sealift Command.




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