JR3 Sample Connection Charge Agreement

CONNECTION CHARGE AGREEMENT

THIS CONNECTION CHARGE AGREEMENT between ABC Construction (Contractor) 20___.
WHEREAS, Contractor and the United States Government (Government) entered into Contract (the installation), (collectively the “Construction Contract”); WHEREAS, in accordance with the Department of Defense utilities privatization (UP) program, (the UP Contract) with the Government to assume ownership, operations and maintenance of the management, supervision, permits, equipment, supplies, materials, transportation, and any other incidental services required for the complete ownership, operation, maintenance, repair, upgrade, and improvement of these utility systems in accordance with all terms, conditions, and special contract requirements, specifications, attachments, and drawings contained in the UP Contract or incorporated by reference therein;
NOW, THEREFORE, in consideration of the mutual covenants contained herein as well as other good and valuable consideration, the receipt and adequacy of which is hereby acknowledged, the Parties hereto agree to the following terms and conditions of this Connection Charge Agreement: 1.
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[Insert Statement of Work for connecting facilities.]
[Insert Schedule provisions and penalties for connecting facilities] [Insert Pricing and Payment provisions]
[Insert any other special provisions specific to the relationship between the construction contractor and the UP contractor, e.g., disputes, risk allocation, liability, etc.] Any disputes between the Contractor and the Utility Owner shall be resolved by and between the parties to this Agreement and shall not be cognizable under the Disputes provisions of the Construction Contract or the UP Contract.
The parties acknowledge that installation of connecting facilities pursuant to a connection charge falls within the utility services provisions of Federal Acquisition Regulation (FAR) Part 41 and thus, is not a construction sub-contract. Therefore, the terms and conditions of the UP Contract shall govern the relationship between the Utility Owner and the Government, including the Utility Owner’s responsibility for compliance with applicable statutes and regulations. Notices: All notices shall be delivered or sent to the respective parties at the respective addresses set forth below or to such different addresses as the respective parties may from time to time designate by notice properly given hereunder.
If to Utility Owner:

If to Contractor: