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002037 Durango Pumping Plant Stage 1 Amendment 001 (2) The establishment of offices, buildings, plants and other facilities, at the site and utilities listed in the Operations and Storage Areas clause of this contract; (3) Payment of premiums for project bonds and insurance; and (4) Other work and operations which must be performed or costs incurred incident to the initiation of meaningful work at the site and for which the contract does not otherwise provide for payment. (b) Facilities and equipment covered by mobilization work. (I) All facilities, plant, and equipment which are established at, or brought to, the site shall be deemed to be subject to the provisions of this paragraph unless the Contracting Officer specifically provides other written authorization for a particular item or items. (2) The Contractor shall be solely responsible for the adequacy, efficiency, use, protection, maintenance, repair, and preservation of all facilities, plant, and equipment on site. (3) The facilities, plant, and equipment covered by this paragraph shall not be dismantled or removed from the site prior to completion of the work under the contract without the written authorization of the Contracting Officer. (c) Termination for cause. Should the Contractor be terminated for cause as provided by the i Termination for Cause clause of this contract -- (I) All facilities, plant, and equipment on the site shall be subject to the Government's right to take possession of and utilize such items for the purpose of completing the work; (2) The Contractor shall provide evidence of encumbrances, liens, or other security interests, to the Contracting Officer; and (3) Any encumbrance, lien, or other security interest on such facilities, plant, or equipment shall be subordinated to the Government's rights under the Termination for Cause clause of this contract to utilize all facilities, plant, and equipment to complete the work under the contract. (d) Payment, Payment for mobilization and preparatory work under paragraph (a) of this clause shall be made at the contractor lump-sum price for this item as contained in the Schedule. Progress payments for mobilization and preparatory work shall be made as follows -- (I) Seven calendar days after Notice to Proceed has been issued the Government shall pay the Contractor 10 percent of the mobilization and preparatory work contract line item amount. - 14 -