<PAGE> 1
EXHIBIT 10.27
April 18, 2000
Genencor International, Inc.
925 Page Mill Road
Palo Alto, CA 94304
Attention: Michael Arbige, Senior Vice President, Technology
Dear Mr. Arbige:
SUBJECT: Letter Subcontract No. ZCO-0-30017-01 Entitled "Cellulase Cost
Reduction for Bioethanol"
This letter subcontract is effective upon execution between the Midwest Research
Institute acting through its National Renewable Energy Laboratory Division
(hereinafter called "NREL"), and Genencor International, Inc. (hereinafter
called the "Subcontractor") whose principal offices are located in Palo Alto,
CA.
Midwest Research Institute has entered into Contract No. DE-AC36-99GO10337 with
the Department of Energy (hereinafter called "DOE"), an agency of the U.S.
Government (hereinafter called the "Government"), for the operation and
management of the National Renewable Energy Laboratory. This letter subcontract
is entered into in furtherance of the performance of the work provided for in
the Prime Contract.
The purpose of this letter subcontract is to allow the Subcontractor to begin
work as of the date of execution by NREL on research and development entitled
"Cellulase Cost Reduction for Bioethanol." This letter subcontract is written in
anticipation of a definitized subcontract. It is expected that this definitized
subcontract will be a cost sharing type of subcontract in the amount not to
exceed $7,041,444.00. It is agreed by the parties hereto that said total not to
exceed amount for the definitized subcontract shall be shared as follows:
<TABLE>
<S> <C> <C>
Estimated NREL Share: $ 5,633,155.00 - 80%
Estimated Subcontractor Share: $ 1,408,289.00 - 20%
--------------- ----
Total: $ 7,041,444.00 - 100%
</TABLE>
It is estimated that the allotted amount will cover work under the definitized
subcontract through fourteen (14) months. The period of performance under the
definitized subcontract shall commence upon the execution date of the letter
subcontract and shall he completed fourteen (14) months after such date;
provided, however, that this period may be extended for additional periods by
mutual written agreement of the parties. This letter subcontract will be in
effect only until a definitive subcontract can be put in place. Therefore, this
letter subcontract has a period of performance of one hundred eighty (180) days
from the effective date (execution date by NREL) and a value not to exceed
$3,017,762.00 of allowable and allocable costs. It is agreed by the parties
hereto that said not to exceed value of the letter subcontract shall be shared
as follows:
<PAGE> 2
Letter Subcontract No. ZCO-0-30017-01
April 18, 2000
Page 2
<TABLE>
<S> <C> <C>
Estimated NREL Share: $ 2,414,209.00 - 80%
Estimated Subcontractor Share: $ 603,552.00 - 20%
--------------- ---
Total: $ 3,017,762.00 - 100%
</TABLE>
This cost sharing formula shall also apply (on the percentage
basis shown above) to any increase or decrease in the estimated
total cost of subcontract performance, changes under the
"Changes" clause and/or terminations under the "Terminations"
clause contained in Appendix B.
The following clauses are included in this letter subcontract and are in full
force and effect:
A. EXECUTION AND COMMENCEMENT OF WORK
The Subcontractor shall indicate acceptance of this letter subcontract
by signing three (3) copies of the letter subcontract and returning them
to Deborah J. Bullard, Senior Subcontract Administrator, no later than
04/26/00. Upon acceptance by both parties, the Subcontractor shall
proceed with performance of the work described in Appendix A, including
purchase of necessary materials.
B. LIMITATION OF NREL LIABILITY
1. In performing this letter subcontract, the Subcontractor is not
authorized to make expenditures or incur obligations exceeding
Three Million Seventeen Thousand Seven Hundred Sixty-two Dollars
and No Cents ($3,017,762.00), said amount to include the
Estimated NREL Share of $2,414,209.00 and Estimated
Subcontractor Share of $603,552.00.
2. The maximum amount for which NREL shall be liable if this letter
subcontract is terminated or a definitized subcontract is not
completed is Two Million Four Hundred Fourteen Thousand Two
Hundred Nine Dollars and No Cents ($2,414,209.00).
3. The Subcontractor shall be paid for the work conducted under
this subcontract in accordance with the clause entitled
"Allowable Cost and Payment" contained in Appendix B and the
article entitled "Payments of Allowable Costs Before
Definitization" in this Letter Subcontract. The Subcontractor is
cautioned that, subject to the provisions of the clauses
entitled "Limitation of Funds" and "Limitation of Cost"
contained in Appendix B, NREL is not obligated to reimburse the
Subcontractor for costs incurred in excess of the estimated NREL
share set forth.
4. Pursuant to the clause entitled "Limitation of Funds" in
Appendix B, the amount of $1,549,695.00 has been allotted and is
available for payment of NREL's estimated share of allowable
costs under this subcontract. It is estimated that the allotted
amount will cover work under this subcontract through July,
2000.
<PAGE> 3
Letter Subcontract No. ZCO-0-30017-01
April 18, 2000
Page 3
5. The amount of $1,549,695.00, presently obligated by NREL with
respect to this subcontract, may be unilaterally increased by
NREL by written notice to the Subcontractor, and may be
increased or decreased by written agreement of the parties by
formal modification of this subcontract.
6. The giving of any notice by either party under this Letter
Subcontract or the clauses entitled "Limitation of Funds" and
"Limitation of Costs" in Appendix B, as applicable, shall not be
construed to waive or impair any rights of NREL to terminate
this subcontract under the provisions of the termination
clause(s) contained in Appendix B.
7. The "Limitations of Funds" clause contained in Appendix B shall
be operable during such time that NREL incrementally allots
additional funds to this subcontract as set forth above. (The
Limitations of Cost clause shall be inoperable during such
time.)
8. The "Limitations of Cost" clause contained in Appendix B shall
become operable at such time that NREL allots to this
subcontract an amount equal to the total estimated NREL cost
share set forth above. (The Limitations of Funds clause shall be
inoperable at such time.)
C. SUBCONTRACT DEFINITIZATION
1. A cost sharing definitized subcontract is contemplated. The
Subcontractor agrees to begin promptly negotiating with the
Subcontract Administrator the terms of a definitized subcontract
that will include:
a. (1) Request for approval by the Department of Energy
Chicago Patent Office to include the EPAct
clause in definitized subcontract;
(2) Request for approval by the Department of Energy
Chicago Patent Office of the Patent Waiver
Application;
(3) Completion of audit requirements; and,
(4) Supplemental funding that may become available
on behalf of NREL for purchase of additional
capital equipment and the treatment of
"Government Property" in accordance with the
"Government Property" clause of Appendix B.
b. The following appendices which also apply to the work
done under this letter subcontract, except payment shall
be governed by Paragraph D of this letter subcontract:
(1) Appendix A, Statement of Work, dated 03/30/00;
<PAGE> 4
Letter Subcontract No. ZCO-0-30017-01
April 18, 2000
Page 4
(2) Appendix B-1, Standard Terms and Conditions for
a Cost Sharing Subcontract, dated 05/10/99;
(3) Appendix C-1 Intellectual Property Provisions
for a Large Business, dated 10/22/98;
(4) Appendix D-1, Clauses for Subcontracts in Excess
of $500,000, dated 05/10/99; and,
(5) Appendix E, NREL Approved Travel Policies, dated
03/09/00.
a. All clauses required by law on the date of execution of
the definitive subcontract, and,
c. Any other mutually agreeable clauses, terms, and
conditions. If determined necessary by the Subcontract
Administrator, the Subcontractor agrees to submit a
revised proposal and cost or pricing data supporting its
proposal.
2. The schedule for definitizing this letter subcontract is as
follows:
Begin Negotiations of the Definitized Subcontract:
05/15/00
Certificate of Current Cost or Pricing Data:
Upon Completion of
Negotiations
Execute Definitized Subcontract: 10/31/00
3. If agreement on a definitized subcontract to supersede this
letter subcontract is not reached by the target date in
Paragraph 2 above, or within any extension granted by NREL, the
Subcontract Administrator may, with the approval of the
Subcontracts Team Lead, determine a reasonable cost in
accordance with Subpart 15.8 and Part 31 of the Federal
Acquisition Regulation (FAR), as supplemented by Part 931 of the
Department of Energy Acquisition Regulation (DEAR), subject to
Subcontractor appeal as provided in the Disputes clause of
Appendix B-1. In any event, the Subcontractor shall proceed with
completion of the letter subcontract, subject only to the
Limitation of NREL Liability clause.
a. In the event agreement on a definitized subcontract is
not reached, and after the Subcontract Administrator's
determination of cost, the subcontract shall be governed
by:
(1) Appendix A, Statement of Work, dated 03/30/00;
(2) Appendix B-1, Standard Terms and Conditions for
a Cost Sharing, dated 05/10/99;
(3) Appendix C-1, Intellectual Property Provisions
for a Large Business, dated 10/22/98;
<PAGE> 5
Letter Subcontract No. ZCO-0-30017-01
April 18, 2000
Page 5
(4) Appendix D-1, Clauses for Subcontracts in Excess
of $500,000, dated 05/10/99; and,
(5) Appendix E, NREL Approved Travel Policies, dated
03/09/00.
b. All clauses required by law as of the date of the
Subcontract Administrator's determination; and
c. Any other clauses, terms and conditions mutually agreed
upon.
d. To the extent consistent with Subparagraph 3.a. above,
all clauses, terms and conditions included in this
letter subcontract shall continue in effect, except
those that by their nature apply only to a letter
subcontract.
D. PAYMENTS OF ALLOWABLE COSTS BEFORE DEFINITIZATION
1. Reimbursement rate. Pending the placing of the definitized
subcontract referred to in this letter subcontract, NREL shall
promptly reimburse the Subcontractor for all allowable costs
under this letter subcontract at the following rates:
a. One hundred percent (100%) of approved costs
representing progress payments to lower-tier
subcontractors under fixed-price subcontracts; provided,
that NREL's payments to the Subcontractor shall not
exceed eighty percent (80%) of the allowable costs of
those lower-tier subcontractors.
b. One hundred percent (100%) of approved costs
representing cost reimbursement lower-tier subcontracts;
provided, that NREL's payments to the Subcontractor
shall not exceed eighty-five percent (85%) of the
allowable costs of those lower-tier subcontractors.
c. Eighty-five percent (85%) of all other approved costs.
2. Limitation of Reimbursement. To determine the amounts payable to
the Subcontractor under this letter subcontract, the Subcontract
Administrator shall determine allowable costs in accordance with
the applicable cost principles in Part 31 of the FAR as
supplemented by Part 931 of the DEAR. The total reimbursement
made under this paragraph shall not exceed eighty-five percent
(85%) of the maximum amount of NREL's liability, as stated in
this letter subcontract.
3. Invoicing. Payments shall be made promptly to the Subcontractor
when requested as work progresses but (except for small business
concerns) not more often than every two weeks, in amounts
approved by the Subcontract Administrator. The Subcontractor may
submit to an authorized representative of the Subcontract
Administrator, in such form and reasonable detail as the
representative may
<PAGE> 6
Letter Subcontract No. ZCO-0-30017-01
April 18, 2000
Page 6
require, an invoice in an ORIGINAL AND ONE (1) COPY, supported
by a statement of the claimed allowable cost incurred by the
Subcontractor in the performance of this letter subcontract.
Each invoice shall indicate the current and cumulative costs
incurred broken down by cost categories (cost elements). The
cost category for lower-tier subcontracts shall indicate the
total costs incurred for each lower-tier subcontract.
An authorized official of the Subcontractor shall sign the
following certification on each invoice submitted for payment:
"I certify that this invoice is correct and proper for
payment, and reimbursement for these costs has not and
will not be received under any other Government contract
or subcontract or other source of Government funds.
----------------------------- ----------------
Authorized Official Date"
4. Allowable Costs. For the purpose of determining allowable costs,
the term "costs" includes:
a. Those recorded costs that result, at the time of the
request for reimbursement, from payment by cash, check,
or other form of actual payment for items or services
purchased directly for the subcontract;
b. When the Subcontractor is not delinquent in payment of
costs of letter subcontract performance in the ordinary
course of business, costs incurred, but not necessarily
paid, for:
(1) Materials issued from the Subcontractor's stores
inventory and placed in the production process
for use on the subcontract;
(2) Direct labor;
(3) Direct travel;
(4) Other direct in-house costs; and
(5) Properly allocable and allowable indirect costs
as shown on the records maintained by the
Subcontractor for purposes of obtaining
reimbursement under Government contracts or
subcontracts; and
c. The amount of progress payments that have been paid to
the Subcontractor's lower-tier subcontractors under
similar cost standards.
<PAGE> 7
Letter Subcontract No. ZCO-0-30017-01
April 18, 2000
Page 7
5. Small Business Concerns. A small business concern may receive
more frequent payments than every two weeks and may invoice and
be paid for recorded costs for items or services purchased
directly for the subcontract, even though it has not yet paid
for such items or services.
6. Audit. At any time before final payment, the Subcontract
Administrator may have the Subcontractor's invoices and
statements of costs audited. Any payment may be (a) reduced by
any amounts found by the Subcontract Administrator not to
constitute allowable costs, or (b) adjusted for overpayments or
underpayments made on preceding invoices.
E. [Not Used]
F. CAPITAL EQUIPMENT ACQUISITIONS, ACCOUNTABILITY, REPORTING AND
INVENTORIES
1. The estimated cost set forth in Article 3 includes $49,695.00
for capital equipment acquisitions on behalf of NREL with title
vesting in the Government. These funds are set aside
specifically for the acquisition of the capital equipment shown
below and may not be used for any other purpose. In addition,
NREL shall not be obligated to reimburse the Subcontractor for
costs incurred for capital equipment acquisitions which are in
excess of the total amount specified in this article. In
accordance with "Lower-Tier Subcontracts" clause of Appendix B,
advance notification for the purchase of any equipment in excess
of $5,000, except as approved hereunder, is required. Advance
notification is not required prior to the actual purchase of the
following capital equipment in that this equipment is approved
as part of this award:
<TABLE>
<CAPTION>
Equipment Description Value
--------------------- ----------
<S> <C>
SGI Octane/MXE Work Station, Model #WT5-2P300MXE18, $49,695.00
and Accessories
Total Amount: $49,695.00
</TABLE>
2. The Subcontractor shall treat all Government property in
accordance with the "Government Property" clause of Appendix B
and other requirements as contained in this subcontract.
3. The Subcontractor shall submit supporting documentation in
accordance with the article entitled "Invoices," for all
property acquired under this subcontract, affix the property
identification tags to all Government property acquired upon
receipt from NREL, comply with all reporting requirements
requested by NREL or the Government, and conduct an annual
physical inventory of all Government property under this
subcontract. The annual physical inventory shall be conducted by
the Subcontractor based on the Government's fiscal year (October
1 through
<PAGE> 8
Letter Subcontract No. ZCO-0-30017-01
April 18, 2000
Page 8
September 30) or a portion thereof covered by the subcontract's
period of performance. The Subcontractor shall accomplish this
annual physical inventory and submit the annual physical
inventory report on or before October 31 of each year covered by
the subcontract's period of performance and submit a final
physical inventory report within thirty (30) days after
completion of the subcontract. The report(s) shall be submitted
on NREL's form entitled "Government Property Inventory &
Certification" in accordance with the instructions contained in
the form in an original and one (1) copy to the Subcontract
Administrator. This form shall be sent to the Subcontractor with
the fully executed copy of the subcontract.
G. ORDER OF PRECEDENCE
Any inconsistency in this letter subcontract, shall be resolved by
giving precedence in the following order:
1. This Letter Subcontract Schedule;
2. Statement of Work (Appendix A);
3. Standard Terms and Conditions (Appendix B-1);
4. Intellectual Property Provisions (Appendix C-1);
5. Clauses for Subcontracts in Excess of $500,000 (Appendix D-1);
6. NREL Approved Travel Policies (Appendix E);
7. Other provisions of this letter subcontract whether incorporated
by reference or otherwise; and,
8. The Subcontractor's technical proposal, if incorporated in this
letter subcontract by reference or otherwise.
H. LETTER SUBCONTRACT ADMINISTRATION RESPONSIBILITIES
1. Signature Authority: This subcontract may only be modified by a
formal modification signed by an authorized official of NREL.
2. Subcontract Administration Responsibilities: The authorized
official of NREL has designated Deborah J. Bullard, as the
Subcontract Administrator for this subcontract with the
responsibilities for subcontract administration and negotiation
of any modifications to this subcontract. The Subcontract
Administrator's telephone number is (303) 384-6876.
<PAGE> 9
Letter Subcontract No. ZCO-0-30017-01
April 18, 2000
Page 9
3. Technical Monitoring Responsibilities: The authorized official
of NREL has designated Mike Himmel, as the Technical Monitor for
this subcontract with the responsibilities of monitoring the
technical work or services to be performed under this
subcontract. The Technical Monitor does not have the authority
to make any commitments or authorize any changes which may
affect the subcontract's cost, scope of work, terms, or
conditions. Any such changes shall be referred to the
Subcontract Administrator designated in Paragraph B above. The
Technical Monitor's telephone number is (303) 384-7756.
I. KEY PERSONNEL
1. It having been determined that the individuals, whose names
appear below, are necessary for the successful performance of
this subcontract, the Subcontractor agrees to assign or have
assigned such individuals to the performance of the work under
this subcontract and shall not reassign or remove any of them
without the consent of the Subcontract Administrator by
modification to this subcontract:
Name Project Title Telephone No.
---- ------------- -------------
Colin Mitchinson Principal Investigator (650) 846-5853
2. Whenever, for any reason, one or more of the designated key
personnel designated above, is unavailable for assignment for
work under this subcontract, the Subcontractor shall, with the
approval of the Subcontract Administrator, replace such
individual with an individual of substantially equal abilities
and qualifications.
J. RIGHTS TO PROPOSAL DATA
Except for technical data contained on the pages identified below of the
subcontractor's proposal dated 01/26/00, and any revisions thereof,
which are asserted by the Subcontractor as being proprietary data, it is
agreed that, as a condition of the award of this subcontract, and
notwithstanding the provisions of any notice appearing on the proposal,
the Government and NREL shall have the right to use, duplicate, disclose
and have others do so for any purpose whatsoever, the technical data
contained in the proposal upon which this subcontract is based.
Technical Proposal's Page and Line Numbers
Representations and Certifications, Page 17, Item 16, Intellectual
Property, Paragraph A, Subparagraph a., Rights in Proposal Data, Lines
identifying "the following identified technical data in Volume 1 is
proprietary," and Page 18, Item 16, Intellectual Property, Paragraph A,
Subparagraph a., Rights in Proposal Data , Lines identifying "all pages
in volume 2."
<PAGE> 10
Letter Subcontract No. ZCO-0-30017-01
April 18, 2000
Page 10
Representations and Certifications, Pages 19 through 22, Paragraph C.,
Identification of Technical Data which is Proprietary, Subparagraph (1),
Proprietary Data, Lines identifying "the following information and
technology is considered proprietary data."
IN WITNESS WHEREOF, the parties hereto have executed this letter subcontract
effective as of the date executed by NREL below.
Sincerely,
Deborah J. Bullard
Senior Subcontract Administrator
ACCEPTED: GENENCOR INTERNATIONAL, INC. AUTHORIZED: MIDWEST RESEARCH
INSTITUTE NATIONAL RENEWABLE
ENERGY LABORATORY DIVISION
BY: /s/ Michael V. Arbige BY: /s/ Daniel J. Cornell
--------------------------------- ---------------------------
NAME: Michael V. Arbige NAME: Daniel J. Cornell
--------------------------------- ---------------------------
TITLE: Sr. V.P. Technology TITLE: Director, Contracts
--------------------------------- ---------------------------
DATE: 4-25-00 DATE: 4/27/00
--------------------------------- ---------------------------
<PAGE> 11
APPENDIX A
STATEMENT OF WORK
CELLULASE COST REDUCTION FOR BIOETHANOL
March 30, 2000
OVERVIEW
The Department of Energy's (DOE) Office of Fuels Development Biofuels Program
has determined that the realization of a more economic process for the
conversion of low-value biomass to sugars and ethanol is dependent on the
availability of low cost cellulase enzyme. Encouragingly, reverse income
analysis of biomass market segments for enzymatic cellulose hydrolysis indicates
potentially large cellulase markets. Thus, low cost, effective cellulase enzyme
systems are required to enable this important nascent industry.
The Biofuels Program recently conducted a multi-disciplinary evaluation of
cellulase production for the program's near and mid-term goals. The information
collected indicated that cellulase enzyme suitable for biomass hydrolysis is
available, but the cost is not economical. Recent Biofuels Program estimates
(Hettenhaus, 1997) for the cost of purchased cellulase enzyme, 45 cents per
gallon ethanol produced, are still too costly for economic enzymatic hydrolysis.
Therefore, reduction in the cost of cellulase preparations to about 5 to 10
cents per gallon ethanol for purchased enzyme is required to enable the biomass
sugar and ethanol industry.
BACKGROUND
Low-cost high specific activity cellulases have been a primary objective in the
biomass-to-ethanol forum. NREL process-engineering projections indicate that
purchase of cellulase enzyme for under 10 cents per gallon can help to move
ethanol production costs to less than 90 cents per gallon at the 2,000 ton per
day scale. Operation at the 5,000 ton per day scale would further reduce the
ethanol production costs to less than 75 cents per gallon, assuming the lower
cost for enzyme. Developing a proprietary process for economic conversion
appears to be an attractive opportunity due to the market size for ethanol,
measured in hundreds of millions to billions of dollars. A focused effort to
commercialize the enzyme hydrolysis of "high potential," low cost feedstock
provides the best scenario for short-term success. These feedstocks include
bagasse, rice straw, corn stover and corn fiber.
The goal of the Biofuels Program is to reduce cellulase costs by about ten-fold
to the 5 to 10 cents per gallon of ethanol range. This scope of work shall be
directed at achieving this metric.
SCOPE OF WORK
Achieving the NREL goal of cellulase cost in the 5 to 10 cents per gallon of
ethanol range is a complex and difficult task. Subcontractor's success in
reaching this goal requires a tightly coordinated multi-disciplinary effort that
integrates all of the following:
The discovery of novel cellulolytic activities
<PAGE> 12
Protein engineering (directed evolution, structural analysis,
high-throughput protein mutagenesis, etc.
Overall production technology (expression systems, fermentation,
recovery, formulation, and manufacturing)
Access to an established manufacturing position
Subcontractor shall execute the first year of a multi-year effort required to
reach the NREL goal by performing the following tasks.
TASK 1 DEVELOP TECHNICAL PLAN
Subcontractor shall provide a Technical Plan for NREL's review and approval. The
Technical Plan shall clearly identify the objectives and goals of the test
program and define the sequence of activities required to achieve the ten-fold
improvement in cellulase enzyme cost. The first 14 months of the Technical Plan
shall be described in detail. Less detail for the remaining plan to reach the
NREL goal is acceptable. The Technical Plan shall define the criteria for
determining success in achieving the ten-fold cost reduction goal.
The Technical Plan shall address the two primary issues that must be addressed
to achieve a ten-fold improvement in cellulase performance economics:
1. Reducing the per gram cost of the proteins, i.e. reducing the
fermentation costs and increasing the yield of protein.
2. Increasing the performance per gram of protein.
The project goal can be met with significant improvements in both production
economics and specific performance. The Technical Plan shall address the
following cellulase improvement activities:
Enzyme Expression:
Choice of organism
Regulation of expression
Lactose replacement
Glucose depression
Genomics
Enzyme Specific Performance
Novel cellulolytic activities
Enzyme discovery
Generation of diversity
Protein engineering
Assays and screens
Enzyme Production Process:
Host engineering
Fermentation process development
Breakthrough production economics
Product recovery
<PAGE> 13
Manufacturing economics of scale
The Technical Plan shall also clearly identify the type and amount of enzyme
samples to be produced and the date the samples are to be delivered to NREL for
evaluation.
Task 1 Deliverable: Technical Plan for achieving ten-fold cellulase enzyme cost
reduction. Due 4 weeks after subcontract award.
TASK 2 CARRYOUT TECHNICAL PLAN
After approval of the Technical Plan by the NREL Technical Monitor,
Subcontractor shall perform the portion of the Technical Plan covered under the
initial period of performance of the subcontract.
Task 2 Deliverable: See "Reporting Requirements" section below.
TASK 3 PROJECT REVIEW MEETINGS
Subcontractor shall arrange and conduct review meetings with the NREL Technical
Monitor and other NREL personnel as required, to present project research
updates. These review meetings shall be scheduled at four, eight, and twelve
months after the subcontract has been awarded. Subcontractor shall prepare an
agenda at least one week prior to each review meeting and submit review meeting
minutes to NREL four weeks after each meeting.
Task 3 Deliverables: Project review meeting agendas due one week prior to each
meeting. Project review meeting minutes, due 5, 9, and 13 months after
subcontract award.
REPORTING REQUIREMENTS
In addition to the deliverables listed above, the Subcontractor shall prepare
and submit the following reports to the NREL Technical Monitor and Subcontract
Administrator. All deliverables shall be submitted in both hard copies and
electronic files (see below). Distribution shall be as specified below.
A. SUBCONTRACT MANAGEMENT SUMMARY REPORT (SMRS): An initial SMSR detailing
financial and manpower plans broken down for each task, giving the
summary of project costs to date and planned or projects costs over the
life of the project shall be sent at the time of Subcontractor's
signature of the subcontract. This initial SMSR shall be the cost plan
for the subcontract. Thereafter, two copies of the monthly SMSR shall be
sent to the NREL Contracts and Business Services Associate on or before
the 15th day after the end of each month. This report may be submitted
using NREL Form 619AA or an alternative format that conveys this same
information. The Subcontractor shall be responsible for accurately
completing (including costs and overheads), signing and submitting this
report.
<PAGE> 14
B. BI-MONTHLY PROJECT STATUS REPORT (non-confidential): A bi-monthly report
(every 2 months) to communicate to NREL an assessment of subcontract
status, to explain variances and problems, and to discuss any other
areas of concern or achievements. This report should be one or two pages
written in a letter format with emphasis placed on the status and a
description of the progress. Subcontractor's intellectual property or
confidential information shall not be included in this report. This
report is due fifteen days after the completion of the first month of
the subcontract and every other month thereafter.
C. BI-MONTHLY TECHNICAL PROGRESS REPORT (may include confidential
information): A bi-monthly report (every 2 months) to communicate to
NREL the technical progress of the project. The Technical Progress
report shall include detailed descriptions and results of the previous
two months activities. This report should be written in a format
suitable for the technical information to be conveyed with emphasis
placed on the technical and experimental results and progress towards
the project goals. Subcontractor's intellectual property or confidential
information shall be included in this report only to the extent required
to convey the technical results and progress of the project. This report
is due fifteen days after the completion of the second month of the
subcontract and every other month thereafter.
D. COPIES OF ANY TECHNICAL PAPERS OR PRESENTATIONS: The Subcontractor shall
provide copies of all papers or presentation materials for activities
relating to the work supported through this subcontract.
E. FINAL TECHNICAL REPORT: A formal, structured technical report which
describes all significant work performed during the entire subcontract.
A draft Final Technical Report is due on or before forty-five days prior
to the completion date for this subcontract. The Subcontractor shall
make corrections or revisions per NREL direction upon receipt of the
revisions. The Final Technical Report is due on or before fifteen days
after receipt of NREL's recommendations for revisions or approval.
GUIDELINES FOR ELECTRONIC SUBCONTRACT DOCUMENTATION FILES
It is NREL's intention to make the reports from this subcontract
available on the NREL internal Intranet. Therefore, all reporting
deliverables (status reports, draft final reports, or final reports)
must be supplied as electronic files. All submissions shall be delivered
to NREL on PC readable CD's, formatted floppy disks or by email to the
NREL Technical Monitor and the NREL Subcontract Administrator. The only
exception to this will be legible hand calculations and vendor quotes.
Those can be supplied as hard copies only. It should be made clear in
the letter of transmittal that certain documents are supplied in hard
copy only.
The preferred format is ONE file which includes all of the text,
figures, illustrations and photographs (e.g. photographs shall have been
scanned and incorporated in the text) in Adobe Acrobat Portable Document
Format (.pdf). The following file formats are also acceptable:
<PAGE> 15
Microsoft Word (v.97 or older for PC)
Microsoft Excel (v.97 or older for PC) for data tables
If it is not possible to include all of the graphics (figures,
illustrations and photographs) in the same file as the text, NREL shall
accept the text in one of the above formats (MS Word or Adobe Acrobat)
and the graphics as separate electronic image files. The resolution of
the graphics must be 100 dpi to 300 dpi. The acceptable graphics file
formats are:
Standard pcx, gif or jpeg
Microsoft Powerpoint
Microsoft Excel (v.97 or older for PC) for graphics
In the rare case that the graphics cannot be supplied electronically,
either incorporated with the text or as a separate electronic file,
ORIGINAL hard copies will be accepted.
Completed release forms (attached) shall be supplied to NREL with all
photographs whether they are delivered to NREL electronically or in hard
copy.
All deliverables shall have the subcontractor's name, and subcontract
number contained in a header in each document submitted. These items
shall also appear in the cover letter.
OTHER ELECTRONIC SUBMITTALS
For all calculations in support of this contract conducted in ASPEN+ an
electronic copy of INPUT, REPORT and BACKUP (if Model Manager is used)
must be submitted with all reports. Additionally, if costing or sizing
(no process calculations (heat and material balances) in spreadsheet
format are allowed) calculations are conducted in a spreadsheet, a copy
of the fully documented MS Excel file should be supplied. All other
calculations must be supplied electronically per the requirements in
section VI. Note that vendor quotes and other non-original material can
be supplied in hard-copy.
REPORT DISTRIBUTION
One copy of all deliverables shall be sent to the NREL Technical Monitor:
National Renewable Energy Laboratory
Attn: Dr. Michael Himmel, MS 3323
1617 Cole Blvd.
Golden, CO 80401-3393
One copy of all deliverables shall be sent to the NREL Contracts and Business
Services Associate:
National Renewable Energy Laboratory
Attn: Pat Weitzel, MS 1632
1617 Cole Blvd.
Golden, CO 80401-3393
