NATIONAL OCEANOGRAPHIC PROGRAM LEGISLATION 225 



"Contract No. 

 C-300-65(Neg.) 



ARTICI^ 5. Limitation of Cost 



(a) It 1b estimated that the total cost to the Qovernment, 

 exclusive of any fixed fee, for the performance of this 

 contract will not exceed the estimated cost set forth in 

 the Schedule, and the Contractor agrees to use his best 

 efforts to perform the work specified in the Schedule, and 

 all obligations undor this contract within such estimated 

 cost. If at any time the Contractor has reason to believe 

 that the cost which he expects to incur in the performance 

 of this contract in the next succeeding sixty (6o) days, 

 when added to all costs previously incurred, will exceed 

 seventy-five percent (75?^) of the estimated cost then set 

 forth in the Schedule, or if at any time, the Contractor 

 has reason to believe that the total coat to the Qovernment, 

 exclusive of. any fixed fee, for the performance of this 

 contract will be substantially greater or less than the then 

 estimated cost thereof, the Contractor shall notify the 

 Contracting Officer in writing to that effect, giving the 

 revised estimate of such total cost for the performance of 

 this contract, 



(b) The Qovernment shall not be obligated to reimburse the 

 Contractor for costs Incurred in excess of the estimated 

 cost set forth in the Schedule, and the Contractor shall . 

 not be obligated to continue performance under the contract 

 or to incur costs in excess of the estimated coat set forth 

 in the Schedule, unless and until the Contracting Officer 

 shall have notified the Contractor In writing vhat such 

 estimated cost has been Increased and shall have specified 



in such notice a revised estimated coat which shall thereupon 

 constitute the estimated cost of perfonnance of this contract. 

 When and to the extent that the estimated coat set forth in 

 the Schedule has been Increased, any coats incurred by the 

 Contractor in excess of such estimated coat prior to the 

 Increase In estimated cost shall be allov;able to the same 

 extent as If such costs had been Incurred after such increase 

 In estimated cost. 



