Legal Aspects Relevant to Outsourcing Transit Functions Not Traditionally Outsourced (2011) / Chapter Skim
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Pages 13-20
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From page 13... ...
13 fixed-price contract establishes a price that remains fixed without regard to the contractor's actual cost of performing the work. The fixed price could be the total price for the work or could be a fixed rate (i.e., 200 hours of maintenance work per month at $ xx/hour)
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14 pant) responsibilities under applicable Federal law and regulations, in accordance with applicable federal directives, except to the extent that FTA determines otherwise in writing.83 Under the FTA Master Agreement, a recipient is required to include in each such written document any necessary provisions requiring the third-party contractor to impose applicable federal requirements and directives on its third-party contractors and other participants in the project "…at the lowest tier necessary…." as well as "…appropriate provisions that would be applicable to the Recipient as set forth in the Grant Agreement or Cooperative Agreement for the Project or this Master Agreement, and extend those provisions to….third party contractors and other Project participants to the lowest tier necessary…."84 It thus should be no surprise that FTA also requires a recipient to agree that, absent FTA's express written consent, the federal government shall not be subject to any obligations or liabilities to any subrecipient, lessee, third-party contractor, or any other participant at any tier of the project.
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15 ify those terms and conditions or to add to or delete them. Separately, note also that bidders may be required to submit certifications as part of the bid process (e.g., lobbying, debarment)
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16 tion -- Effectuation of Title VI of the Civil Rights Act";96 and with related circulars and directives.
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17 revisions. This requirement applies to all third-party contracts and flows down to all tiers.
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18 This provision applies to all contracts involving the transportation of persons or property by air to a place outside the United States, and it is possible an outsourcing contract could trigger this provision. The requirements flow down from FTA recipients and subrecipients to first-tier contractors, who are responsible for ensuring that lower-tier contractors are in compliance.
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19 tracts exceeding $100,000) , and the Copeland AntiKickback Act.126 There are also bonding requirements for construction activities exceeding $100,000127 and seismic safety requirements for construction contracts for new buildings or for existing buildings.128 17.
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20 24. Patent Rights Under the Master Agreement, at Section 17, a recipient is to notify FTA if it or a third-party contractor develops or creates something "patentable." FTA provides for all contracts that if any improvement, invention, or discovery of the recipient or any third-party contractor or other participant at any tier of the project is conceived or first actually reduced to practice under the project, and such invention, improvement, or discovery is patentable under U.S.
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