Common use of Operating Spare Parts Clause in Contracts

Operating Spare Parts. With respect to operating spare parts for use after Substantial Completion (but only to the extent not taken into consideration by the Capital Spare Parts listed in Attachment W), Contractor shall deliver to Owner for Owner’s approval, not to be unreasonably withheld, a detailed priced list of the manufacturer and Contractor-recommended operating spare parts for each applicable item of Equipment necessary for operating such Equipment for two (2) years. The purchase price of each operating spare part shall be provided to Owner for each item of Equipment for which there is manufacturer or Contractor-recommended operating spare parts no later than thirty (30) Days after the execution of the applicable Subcontract for such Equipment, and such purchase prices will be valid for ninety (90) Days after Contractor’s execution thereof. Within such ninety (90) Days, Owner may respond to Contractor identifying which operating spare parts, if any, that Owner wishes Contractor to procure under each Subcontract. The cost associated with all Work related to the two (2) years’ operating spare parts is included in the Contract Price, except for the purchase price of such operating spare parts. In the event Owner requests in writing that Contractor procure any operating spare parts on Owner’s behalf, Contractor shall be entitled to a Change Order in accordance with Section 6.2A.6 to increase the Contract Price for the actual purchase price and delivery costs of such requested operating spare parts, plus costs of transportation, preservation and a profit of [***] percent ([***]%) on such price and costs. To the extent that Contractor desires to use any operating spare parts, Contractor must obtain Owner’s prior approval, not to be unreasonably withheld, and replace all such spare parts as a condition of Substantial Completion in new and unused condition unless otherwise approved by Owner. Operating spare parts shall be treated, as appropriate, as Equipment or as a component of the Aggregate Labor and Skills Price.

Appears in 3 contracts

Sources: Fixed Price Turnkey Agreement (NextDecade Corp.), Fixed Price Turnkey Agreement (NextDecade Corp), Epc Agreement (NextDecade Corp)

Operating Spare Parts. With respect to operating spare parts for use after Substantial Completion (but only to the extent not taken into consideration by the Capital Spare Parts listed in Attachment W), Contractor shall deliver to Owner for Owner’s approval, not to be unreasonably withheld, a detailed priced list of the manufacturer and Contractor-recommended operating spare parts for each applicable item of Equipment necessary for operating such Equipment for two (2) years. The purchase price of each operating spare part shall be provided to Owner for each item of Equipment for which there is manufacturer or Contractor-recommended operating spare parts no later than thirty (30) Days after the execution of the applicable Subcontract for such Equipment, and such purchase prices will be valid for ninety one hundred and eighty (90180) Days after Contractor’s execution thereof. Within such ninety one hundred and eighty (90180) Days, Owner may respond to Contractor identifying which operating spare parts, if any, that Owner wishes Contractor to procure under each Subcontract. The cost associated with all Work related to the two (2) years’ operating spare parts is included in the Contract Price, except for the purchase price of such operating spare parts. In the event Owner requests in writing that Contractor procure any operating spare parts on Owner’s behalf, Contractor shall be entitled to a Change Order in accordance with Section 6.2A.6 to increase the Contract Price for the actual purchase price and delivery costs of such requested operating spare parts, plus costs of transportation, preservation and a profit of [***] five percent ([***]5%) on such price and costs. To the extent that Contractor desires to use any operating spare partsOperating Spare Parts, Contractor must obtain Owner’s prior approval, not to be unreasonably withheld, and replace all such spare parts as a condition of Substantial Completion in new and unused condition unless otherwise approved by Owner. Operating spare parts shall be treated, as appropriate, as Equipment or as a component of the Aggregate Labor and Skills Price.

Appears in 2 contracts

Sources: Fixed Price Turnkey Agreement (NextDecade Corp.), Fixed Price Turnkey Agreement (NextDecade Corp.)

Operating Spare Parts. With respect to operating spare parts for the Equipment for use after Substantial Completion Completion, no later than five hundred fifty (but only to 550) Days after the extent not taken into consideration by the Capital Spare Parts listed in Attachment W)FNTP Date, Contractor shall deliver to Owner for Owner’s approval, not to be unreasonably withheld, review and comment a detailed priced list of the manufacturer manufacturer- and Contractor-recommended operating spare parts for each applicable item of Equipment necessary for operating such Equipment for (including components and systems of such Equipment). If Contractor is not able to obtain the necessary information with respect to the recommended operating spare parts from a Supplier by such date due to the Supplier’s inability to identify the recommended operating spare parts based on the progress of the relevant Purchase Order, Contractor shall notify Owner as to the date by which such operating spare parts shall be identified. In any event, Contractor shall deliver the required information with respect to the recommended operating spare parts from such Suppliers by no later than seven hundred (700) Days after the FNTP Date. The list shall consist of spare parts to support two (2) years. The purchase price years of normal operation, and shall include details of each proposed operating spare part shall be provided to Owner fully enable its procurement (including the manufacturer, ordering contact information, pricing, lead-time for ordering such part, complete item description, part number, quantity to order based on manufacturer’s recommendation and a separate column indicating the quantity recommended by Contractor based on its experience for each item part necessary for operating such Equipment (including components and systems of Equipment such Equipment)). The list shall contain an interchangeability matrix for which there is manufacturer or Contractor-recommended the operating spare parts no later than indicating which operating spare parts may be used across different items of Equipment. Owner shall have forty-five (45) Business Days to comment on such operating spare parts list. Contractor shall update such list and provide a revised list to Owner within thirty (30) Business Days after the execution receipt of the applicable Subcontract for comments from Owner to such Equipment, and such purchase prices will be valid for ninety list. Owner shall then have ten (9010) Business Days after Contractor’s execution thereof. Within such ninety (90) Days, Owner may to respond to Contractor identifying which the operating spare parts, if any, that Owner wishes Contractor to procure as part of its execution of a Purchase Order. Prior to execution of the applicable Purchase Orders, or addendums or releases to Purchase Orders that were previously placed, under which such operating spare parts will be ordered, Contractor shall deliver the pricing and schedule for the operating spare parts to be ordered under each Subcontractsuch Purchase Order to Owner (but Contractor may redact the other commercial terms related to liquidated damages provisions, performance security and limits of liability, before making such copies available to Owner). The cost associated with all Work related to the two (2) years’ operating spare parts is included in the Contract Price, except for the actual purchase price price, property taxes associated with storage if Owner agrees in the applicable Change Order that such operating spare parts will not be delivered directly to the Site, and delivery costs of such operating spare partsparts (which, subject to Contractor’s compliance with the timely preparation and delivery of the list of operating spare parts in accordance with this Section 2.14.2, and timely placement of the Purchase Order, may include costs to expedite delivery so that the operating spare parts are delivered prior to Substantial Completion of the Stage for which such operating spare parts are being procured). In the event Owner requests in writing that Contractor procure any operating spare parts on for Owner’s behalf, Contractor shall be entitled to a Change Order to the extent provided in accordance with Section 6.2A.6 to increase the Contract Price for the actual purchase price and delivery costs of such requested 8.3.1(a). The operating spare parts, plus costs of transportation, preservation and a profit of [***] percent parts so requested by Owner shall be delivered to the Site ([***]%or to another location reasonably requested by Owner) on such price and costs. To the extent that Contractor desires to use any operating spare parts, Contractor must obtain Owner’s prior approval, not to be unreasonably withheld, and replace all such spare parts as a condition of Substantial Completion in new of the relevant Stage. Contractor shall maintain, and unused condition unless otherwise approved by Owner. Operating update as necessary, a spreadsheet listing all of the operating spare parts shall be treatedordered and delivered, as appropriatethat includes detailed information regarding the operating spare parts delivered, as Equipment or as including the manufacturer, complete item description, part number, quantity ordered, and amount paid for such operating spare parts, in a component format mutually agreed by the Parties to allow Owner to upload such list into Owner’s inventory management system in advance of the Aggregate Labor and Skills Pricedelivery of such operating spare parts.

Appears in 1 contract

Sources: Engineering, Procurement and Construction Contract (San Diego Gas & Electric Co)