such annual and sick leave as may be authorized by the State, and agreed to by AMS.

§ 70.404 Additional provisions. The cooperating State agency shall, without cost to AMS, furnish office space, office furniture and equipment, heat, light, clerical assistance, and telephone service for use by the Federal-State supervisor.

APPLICATION FOR GRADING SERVICE

§ 70.410 Application for grading service with respect to live poultry, dressed poultry and ready-to-cook poultry.

Application is hereby made, in accordance with the applicable provisions of the regulations (7 CFR Part 70) governing the grading and inspection of poultry and edible products thereof and United States classes, standards, and grades with respect thereto, for grading service to be performed at the plant hereinafter designated :

(Name of plant)

(Street address)

(City and State)

(a) Upon approval of this application by the Agricultural Marketing Service, United States Department of Agriculture (hereinafter referred to as "AMS"), AMS will furnish grading service in accordance with the terms and conditions hereof.

(b) In making this application, the applicant agrees to comply with the terms and conditions of the aforesaid regulations (including such applicable instructions as may be issued from time to time by the Administrator), and such other conditions as hereinafter enumerated.

(c) The applicant agrees to pay for the full cost of the grading service covered hereby to AMS at the time the respective invoices are rendered by AMS. The full costs shall comprise such of the following items as may be due and may be included, from time to time, in the invoice or invoices covering the period or periods during which the grading service may be rendered:

(1) A charge of $75.00 for the initial survey and examination of blueprints of the designated plant and its premises prior to the performance by AMS of the grading service covered hereby;

(ii) A charge of $100.00 for the final survey and inauguration of the grading service including the assignment of one grade and one alternate grader, provided they are installed at the same time.

(iii) A charge of $50.00 for each additional grader or replacement of a previously assigned grader to the designated plant: Provided, That, in the sole discretion of the Service no such charge will be made for a temporary replacement when such replacement is made by the use of a regular employee of the Service, or when the replacement is made necessary by a transfer of an employee of the Service for the sole benefit of the Service.

(iv) A charge equal to the salary costs paid to each grader assigned to the applicant's plant by AMS including earned annual leave and, if necessary, earned sick leave: Provided, That no charge is to be made for salary costs of any assigned grader of the designated plant while temporarily reassigned by AMS to perform grading service for other than the applicant except when the assigned grader is performing inspections for the Department of Defense on products accepted for delivery by the applicant to the Department of Defense, in which case the applicant will be given credit for the service rendered based on a formula concurred in jointly by the Departments of Defense and Agriculture.

(v) A charge equal to the salary costs, travel expenses and per diem paid by AMS to any grader whose services are required for relief purposes when regular graders are on annual or sick leave.

(vi) A charge for the actual cost to AMS of any travel and per diem incurred by each grader assigned to the plant while in the performance of grading service rendered the applicant;

(vii) A charge, at the sole discretion of AMS, of an amount not in excess of the actual cost to AMS of the travel (including the cost of movement of household goods and dependents) and per diem with respect to each grader who is transferred from an official station to the designated plant;

(viii) A charge included in salary costs equal to the Employer's tax imposed under the United States Internal Revenue Code (26 U. S. C.) for Old Age and Survivor's benefits under the Social Security System; and

(ix) An administrative service charge based upon the aggregate weight of the total monthly volume of all products handled in the plant, and computed in accordance with the following table:

(x) A charge of $4.00 per hour plus actual costs to AMS for per diem and travel costs incurred in rendering services not specifically covered by this contract; such as, surveys in addition to the initial and final.

(xi) A charge equal to 7 percent of the salary paid by AMS to each grader exclusive of one regular grader whose salary is paid by AMS.

(d) The applicant shall designate, in writing, the employees of the applicant, who will be required and authorized, to furnish each grader with such information as may be necessary for the performance of the grading service. It is agreed that:

(a) AMS will provide an adequate number of graders to perform the grading service covered hereby;

(b) At the sole discretion of AMS the graders may be either a Federal or State employee or a licensed employee of the applicant;

(c) AMS shall not be responsible for damages accruing through any acts of commission or omission on the part of any grader;

(d) The provisions hereof shall continue in full force and effect from its effective date until suspended, withdrawn, or terminated, by (i) mutual consent of the applicant and AMS; (ii) written notice given by either party to the other to take effect on a specific date not less than 30 days from the date of the giving of such notice; (iii) one (1) day's written notice by AMS to the applicant, if the applicant fails to honor any invoice within thirty (30) days after date of invoice covering the cost of the grading service as herein provided; or (iv) termination of the services requested herein pursuant to the provisions in the following paragraph (e);

(e) The services to be rendered hereunder shall be terminated by AMS at any time AMS, acting pursuant to any applicable laws, rules, or regulations, debars the applicant from receiving any further benefits of the service, or the services hereunder may be suspended or terminated at any time AMS concludes that the applicant has not conformed, or cannot conform, hereto;

(f) All terms used herein shall have the same meaning as when used in the aforesaid regulations and instructions;

(g) A federally employed grader will be required to confine his activities to those duties necessary in the rendering of grading service and such closely related activities as may be approved by AMS: Provided, That, in no instance will the federally employed grader assume the duties of management;

(h) No Member of or Delegate to Congress, or Resident Commissioner, shall be admitted to any share or part of this agreement or to any benefit that may arise therefrom unless derived through the agreement made with a corporation for its general benefit.

Unless otherwise indicated herein the bills will be rendered to the applicant at the addresse indicated above.

Application for Inspection Service

§ 70.416 Application for inspection of dressed poultry and edible products thereof for condition and wholesomeness.

Application is hereby made, in accordance with the applicable provisions of the regulations (7 CFR Part 70) governing the inspection of poultry and edible products thereof, for condition and wholesomeness at the following designated plant:

Name of plant
Street address
City and State

(a) In making this application, the applicant agrees to comply with the terms. and conditions of the aforesaid regulations (including, but not being limited to, such instructions governing inspection of products as may be issued, from time to time, by the Administrator), and the following:

(1) Payment for the full cost of the inspection service covered hereby shall be made by the applicant to the Agricultural Marketing Service, United States Department of Agriculture (hereinafter referred to as "AMS") not later than thirty (30) days from date of billing. Such full costs shall comprise such of the following items as may be due and may be included, from time to time, in the invoice or invoices covering the period or periods during which the inspection service may be rendered;

(i) A charge of $75.00 for the survey (required to be made with respect to an official plant pursuant to the aforesaid regulations) made of the designated plant and its premises (but no charge for the final survey) prior to the performance, by AMS, of the inspection service covered hereby: Provided, That, if at the time of submission of this application for inspection service such designated plant is an official plant in which grading service is performed by AMS and inspection service was not performed by AMS in such plant during the twelve-month period ending on the date of this application, the charge for the survey shall be computed in the manner specified in paragraph (a) (1) (ii) of this application;

(ii) Charges for each additional survey, if any, made at the request of the applicant to be computed on the basis (a) of the actual cost to AMS of the travel and per diem in lieu of subsistence incurred in the making of the survey, and (b) a charge of $4.00 per hour for the time consumed at the plant in making the survey;

(iii) A charge of (a) $116.00 per 40-hour work week for each inspector assigned to the designated plant by AMS for the inspection of dressed poultry at the time of evisceration; (b) $98.00 per 40-hour work week for each inspector assigned to the designated plant by AMS for the inspection of canning or other processing of poultry food products; and (c) $68.00 per 40-hour work week for each inspector assigned to the designated plant by AMS for the inspection of products for condition: Provided, That, with respect to each inspector who is employed by AMS on a "when actually employed" basis, such charges shall be computed on the appropriate hourly basis: Provided, further, That, no charge

shall be made hereunder for any inspector during any period of leave approved by AMS for such inspector;

(iv) A charge of $3.65 per hour for each hour of overtime work performed by each inspector assigned to any type of operation described in subdivision (iii) of this subparagraph: Provided, That any unscheduled overtime work performed by an inspector on a day when no work is scheduled for him, or for which he is required to return to his place of employment, shall be considered to be at least two hours in duration.

(v) A night differential charge of 10 percent of the inspector's basic hourly salary rate of compensation for each hour of any regularly scheduled work between the hours of 6:00 p. m. and 6:00 a. m.;

(vi) A charge at double the applicable hourly rate (weekly rates specified in subdivision (iii) of this subparagraph divided by 40) for any inspection service performed by an inspector on a designated holiday;

(vii) A charge for the actual cost to AMS of the travel and per diem in lieu of subsistence with respect to each inspector who is assigned to the designated plant but whose travel headquarters is not at the designated plant, such charge to cover the period during which each such inspector is assigned to the designated plant, and travel to and from the designated plant in connection with such assignment;

(viii) A charge at the sole discretion of AMS of an amount not in excess of the actual cost to the AMS of the travel (including the cost of movement of household goods and dependents) and per diem in lieu of subsistence with respect to each inspector who is transferred from another official plant to the designated plant, when the inspector's travel headquarters is changed to the designated plant at the time of such transfer;

(ix) A charge for the actual cost to AMS of the travel and per diem in lieu of subsistence with respect to each inspector who is assigned to the designated plant and whose travel headquarters is at the designated plant, if at the request of the designated plant, such inspector is reassigned temporarily to another official plant, such charge to cover the period during which each such inspector is reassigned to the other plan and the travel to and from the designated plant in connection with such reassignment;

(x) A charge in an amount equal to nine and one-half (9.5) percent of the amounts prescribed in subdivisions (iii), (iv), (v), (vi), (vii), (viii), and (ix) of this subparagraph to cover approximate overhead for administrative and other costs and expenses incurred by AMS in rendering inspection service pursuant to the aforesaid regulations: Provided, That, after the inspection service is inaugurated in the designated plant, the minimum charge for each calendar month shall be $25.00;

(xi) The applicant shall also, upon receipt of an invoice therefor,at the inauguration of the inspection service pursuant hereto, make an advance payment in an amount to cover the estimated average cost of inspection in the designated plant for a period of one month. The advance payment will be applied to the final bill and any balance due the applicant will be refunded on termination of this contract;

(xii) The charges and credits specified in subdivisions (iii), (iv), (v), (vi), (vvi), (viii), (ix), (x), and (xiii) of this subparagraph shall be billed at the end of each calendar month. The charge for each 8-hour day, for the services of any inspector, shall be at the rate of one-fifth of the applicable charge for each 40-hour work week, as provided in subdivision (iii) of this subparagraph. Overtime and night differential charges (when applicable) shall be billed at the rates specified in subdivisions (iv) and (v) of this subparagraph; and

(xiii) The applicant will be given credit when inspectors assigned to the applicant's official plant perform inspection for the Department of Defense on products accepted for delivery by the applicant to the Department of Defense. The amount of such credit will be based on a formula concurred in jointly by the Departments of Defense and Agriculture.

(2) The applicant shall furnish such stenographic and clerical assistance as may be necessary in typing certificates and handling correspondence in connection with the inspection service covered hereby.

(3) Inspectors will be provided by AMS to perform the inspection service covered hereby. AMS may, from time to time, assign to the designated plant such additional inspectors as it deems necessary in order to perform the inspection service covered hereby, or decrease the number of inspectors when fewer inspectors are needed to perform such service.

(4) Whenever operations at the designated plant are discontinued during any period or periods, any inspector (assigned, as aforesaid, by AMS to the designated plant) may perform such other services as may be deemed appropriate, and are approved, by the regional supervisor.

(5) AMS will not be responsible for damages accruing through errors of commission or omission on the part of its inspectors when engaged in rendering service hereunder.

(6) The inspection service herein applied for shall be provided at the designated plant and shall be continued until the service or this contract is suspended, withdrawn, or terminated (i) by mutual consent; (ii) by thirty (30) days' written notice given by either party to the other party specifying the date of suspension, withdrawal, or termination (iii) pursuant to the aforesaid regulations (iv) upon one (1) day's written notice by AMS to the applicant, if the applicant fails to honor any invoice within thirty (30) days after date of invoice covering the costs of the inspection service as herein provided, or if the applicant fails to comply with the terms and conditions hereof.

(b) All terms used herein shall have the same meaning as when used in the aforesaid regulations and instructions.

(c) No Member of or Delegate to Congress, or Resident Commissioner, shall be admitted to any share or part of this contract or to any benefit that may arise therefrom unless it be made with a corporation for its general benefit.

§ 70.417 Application for inspection of canning and processing of inspected ready-to-cook poultry in plants operating under federal meat inspection service. Application is hereby made, in accordance with the applicable provisions of the regulations (7 CFR Part 70) governing the inspection of poultry and edible products thereof, for condition and wholesomeness at the following designated plant:

Name of plant

Street address
City and State_

(a) In making this application, the applicant agrees to comply with the terms and conditions of the aforesaid regulations (including, but not being limited to, such instructions governing inspection of products as may be issued, from time to time, by the Administrator), and the following:

(1) Payment for the full cost of the inspection service covered hereby shall be made by the applicant to the Agricultural Marketing Service, U. S. Department of Agriculture (hereinafter referred to as "AMS") not later than thirty (30) days from date of billing. Such full costs shall comprise such of the following items as may be due and may be included, from time to time, in the invoice or invoices covering the period or periods during which the inspection service may be rendered;

(i) A charge of $75.00 for the survey (required to be made with respect to an official plant pursuant to the aforesaid regulations) made of the designated plant and its premises (but no charge for the final survey) prior to the performance, by AMS, of the inspection service covered hereby;

(ii) Charges for each additional survey, if any, made at the request of the applicant to be computed on the basis (a) of the actual cost to AMS of the travel and per diem in lieu of subsistence incurred in the making of the survey, and