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 APPENDIX D
SAMPLE ATTACHMENT J-E__
STATISTICALLY EXTRAPOLATED SURVEILLANCE TECHNIQUES
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NOTE: This attachment shall be included in facility support contracts when
the use of statistically extrapolated surveillance techniques (RSED or RSWED)
are planned. This clause should be used in conjunction with the
"Consequences of Contractor's Failure to Perform Required Services",
(Alternate I) in Section E.
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In accordance with the "Consequences of Contractor's Failure to Perform
Required Services" Section E, the Government may apply statistically
extrapolated inspection techniques to either assess the contractor's
performance or determine the amount of payment due or both.
RSED is a statistically extrapolated inspection technique used to assess both
the contractor's performance and to determine the amount of payment due.
RSWED is a statistically extrapolated inspection technique used to assess the
contractor's performance only.
The Government will use the attached tables entitled Table of Sample Sizes
for Normal Sampling Level" and Table of Sample Sizes for Minimum Sampling
Level" to detemine sample sizes when either random sampling for extrapolated
deductions (RSED) or random sampling without extrapolated deductions (RSWED)
is used.
The Government reserves the right to start the surveillance using RSED or
RSWED at any time during the contract, to discontinue the use of RSED or
RSWED, and to resume the use of RSED or RSWED without notice to the
contractor. When RSED is commenced or recommenced after a lapse of time, the
normal sampling level will be used at the inception of the surveillance. The
sample size may be reduced to the minimum level when the MADR in the
previous surveillance period was not exceeded. Deductions to the contract
price, based on extrapolation of the results found in the sample, will be
made irrespective of whether normal or minimum sampling sizes are used. When
RSWED is used the sample size at the inception of the surveillance may be the
minimum sample size. The Contracting Officer may increase the size of the
samples above the required minimums at his/her discretion.
The Maximum Allowable Defect Rate (MADR) is defined as the defect rate above
which the contractor's quality control is unsatisfactory. The MADR for each
work requirement is shown in the Performance Requirements Summary (PRS)
contained in Attached JC_.
The defect rate for comparison with MADR when RSED or RSWED is used is
calculated by deducting an adjustment factor taken from the attached table
entitled "Table of Adjustment Factors for Random Sampling" from the observed
defect rate found in the sample. This is also the defect rate used to
extrapolate deductions to the contract price when RSED is used.
D-1
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