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Each month, contractor performance will be compared to contract
standards and acceptable quality levels using the quality assurance
surveillance plan.
If performance in any required service is unsatisfactory and the poor
performance is clearly the fault of the contractor, an amount of money up to
the percentage cost of the services as stated in Column 5 of the Performance
Requirements Summary will be withheld.
Performance Requirements
Example for data in Table B-2.
Frequency of pickups.
Base A
3508 pickup stations
*  2 pickups/week
*  4 weeks/month
= 28,064 pickups/mo
Sample size
= 315 samples
(See Tables B-3 and B-4; Level II inspection)
(Reference MIL-STD-105D for more details)
Base B
860 pickup stations
*  1 pickup/week
*  4 weeks/month
= 3,440 pickups/mo
Sample size
= 200 samples
(See Tables B-3 and B-4; Level II inspection)
(Reference MIL-STD-105D for more details)
In assigning numbers to pickup stations, a pickup station will receive
one number for each scheduled pickup.
The sample required/month will be taken from 28,064 pickups at Base A
and the 3,440 pickups at Base B separately.
Examples of Payment Computation
1.
For services surveyed by sampling, the maximum contract payment per month
is multiplied by the maximum percentage for the service to determine the
maximum payment for acceptable service.  This payment is multiplied by the
percentage found acceptable to determine what the contractor will be paid
for the listed service.  The total number of defectives found, not just
those in excess of the reject level, are used to determine the percentage
of the sample found unacceptable.  The percentage of the sample found
unacceptable subtracted from 100 percent determines the percentage of the
lot found acceptable.  The payment computation would be as follows:
B-22








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