La. Admin. Code tit. 34 § V-2101

Current through Register Vol. 50, No. 9, September 20, 2024

Section V-2101 - Contract Provisions

A. When a contract is to contain an option for renewal, extension, or purchase, notice of such provision shall be included in the solicitation. When such a contract is awarded, exercise of the option shall be at the state's discretion only, and shall be at the mutual agreement of the state and the contractor.

B. Contract Clauses. Contracts for supplies, services and major repairs may permit or require the inclusion of clauses providing for equitable adjustments in prices, time for performance, or other contract provisions identified in R.S. 39:1661 in addition to the following, as appropriate:

1. the unilateral right of the state to order in writing changes in the work within the general scope of the contract in any one or more of the following:

a. drawings, designs, or specifications, if the supplies to be furnished are to be specially manufactured for the state in accordance therewith;

b. method of shipment or packing; or

c. place of delivery;

d. security for contract performance;

e. insurance requirements including as appropriate but not limited to general liability, automobile coverage, workers' compensation, and errors and omissions;

f. beginning and ending d ates of the contract;

g. maximum compensation to be paid the contractor including due date of the payment(s);

2. the unilateral right of the state to order in writing temporary stopping of the work or delaying of performance;

3. variations between estimated quantities of work in a contract and actual quantities;

4. manufacturers' design drawings shall be supplied in duplicate for all state buildings, to the appropriate state agency at the conclusion of the contract.

C. Additional Contract Clauses. Contracts may permit or require the inclusion of clauses providing for appropriate remedies and covering the following subjects:

1. liquidated damages as appropriate;

2. specified excuses for delay or nonperformance;

3. termination of the contract for default;

4. termination of the contract in whole or in part for the convenience of the state.

5. an annual appropriation dependency clause;

6. audit language;

7. when a contract requires an original signature as provided by R.S. 9:2601-2621 and LAC 4:I.Chapter 7, Implementation of Electronic Signatures in Global and National Commerce Act-P.I., 106-229, an electronic signature is considered an original signature.

D. Additional contract clauses for contracts awarded from a competitive sealed proposal shall contain as a minimum:

1. description of the work to be performed or objectives to be met, when applicable;

2. amount and time of payments to be made;

3. description of reports or other deliverables to be received, when applicable;

4. date of reports or other deliverables to be received, when applicable;

5. responsibility for payment of taxes, when applicable;

6. circumstances under which the contract can be terminated either with or without cause;

7. remedies for default;

8. a statement giving the legislative auditor the authority to audit records of the individual firm;

9. performance measurement;

10. monitoring plan.

La. Admin. Code tit. 34, § V-2101

Promulgated by the Office of the Governor, Division of Administration, Office of State Purchasing, LR 8:337 (July 1982), amended LR 21:566 (June 1995), repromulgated LR 40:1362 (July 2014), amended LR 41:670 (April 2015), Amended by the Office of the Governor, Division of Administration, Office of State Procurement, LR 44759 (4/1/2018), Amended LR 47584 (5/1/2021).

AUTHORITY NOTE: Promulgated in accordance with R.S. 39:1581.