EP 1165-2-1
30 Jul 99
by government plant; or (2) in any other circumstance, if the contract
price is less than 125 percent of a fair and reasonable estimated cost
of a well-equipped contractor doing the work. Public Law 95-269
further provides for the reduction of the existing fleet of Federally-
owned dredges to a fully operational minimum fleet of technologically
modern, efficient dredges to meet emergency and national defense
requirements. The Act also provides that the Secretary of the Army
shall maintain a sufficient number of Federally-owned dredges to
insure the capability of the Federal Government and private industry
together to carry out projects for improvements of rivers and harbors.
(ER 1110-2-1302, ER 1130-2-520, EFARS)
d. Contracting with Small and Small Disadvantaged Business.
Contracting with small business concerns is governed by the provisions
of the FAR. (FAR, 19.0)
e. Buy American Act. Part 25 of the FAR and supplements
govern the implementation of the Buy American Act (41 U.S.C. 10a-d)
and its application to civil works construction contracts. New rules
have made Trade Agreement Acts such as the North American Fair Trade
Act (NAFTA) applicable to the Corps of Engineers. These recent
changes are reflected in FAR Part 25.407(d).
f. Construction Quality Management. Part 46 of the FAR and
supplements require the use of a Quality Management System consisting
of Contractor Quality Control (CQC) and Government Quality Assurance
(QA) for fixed price construction contracts where the contract amount
is expected to exceed the small purchase limitation. CQC is the
contractor's inspection system used to ensure that work performed
under the contract is performed in conformance with contract
requirements. QA is the system through which the government assures
that the CQC system is working and that the contract quality
requirements are fulfilled. (ER 1180-1-6)
10-7. Reservoir Clearing. The general objective in clearing
reservoir areas is to hold such clearings to a minimum compatible with
project purposes in order to effect an over-all reduction in
construction costs. All areas which are potential hazards in
achieving primary project purposes should be cleared in accordance
with established guidelines. Clearing and disposal of cleared
material must comply with all local and state laws applicable in the
area where the project is located.
10-8. Use of Dredged Material. It is Corps policy to secure the
maximum practicable benefits through the use of material dredged from
navigation channels and harbors, provided such use is in the public
interest. Such use of suitable non-contaminated dredged materials can
include creation of wetlands, nourishment of beaches, erosion control
of river banks, and land reclamation. In accordance with Section 150
of Public Law 94-587 up to 0,000 may be expended by the United
States to create a wetland area from dredged material (paragraph
20-5). However, since this authority does not require cost sharing,
it will not be used. Section 145 of Public Law 94-587, as amended,
authorizes the placement of sand obtained from dredging operations
onto adjacent beaches if requested by states, if deemed to be in the
public interest, and if increased disposal costs are provided 100
percent by the state, or are shared (50-50) when certain criteria are
met (paragraph 12-22). Section 204 of WRDA 1992, as amended,
authorizes the Secretary of the Army to carry out projects for the
protection, restoration, and creation of aquatic and ecologically
related habitats, including wetlands. Project implementation is
conditioned on non-Federal interests entering into a cooperative
10-15
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