joint AEC-Department of Navy agreement outlined in OPNAV 4000.10A

(7-1-53) as follows:

‘Effective this date, the following terms and conditions will
apply to any loans of craft made in the future by the Navy
Department to the Atomic Energy Commission. In addition,
these terms and conditions will be applicable to Navy craft

in the custody of the Atomic Energy Commission as of this

date, insofar as applicable.

1.

The Navy Department, upon request of the Atomic

Energy Commission, will lend to the AEC such craft

as can be made available and as are required in the

prosecution of projects which are the responsibility

of the AEC.

Loan of such craft shall be made on

custody receipt without charge for the capital value
of the craft.
2 eo

The AEC will provide funds on request by the Navy
for activation, if required, and for preparing for
operation and tow, if necessary, any craft made
available to the AEC, including funds to procure

additional spare parts and accessories required for
operation of the craft. Normal overhead will be
charged for this work.

Delivery of craft that are loaned to the AEC under
this agreement will be on a "where is" basis.

delivery of these craft will be at the point of

original transfer or at a point mutually agreed upon.

he

|

Where practicable, available Navy transport will be
used to redeploy craft. However, any expenses beyond normal Navy operating expenses, incurred in
redeployment of craft, will be borne by AEC. Return

a. The Atomic Energy Commission shall be responsible for the operation, protection, security, repair,
and maintenance of all craft loaned to it by the

Navy while such craft are in its custody or the cus-

tody of others acting for the Commission.

To assure that craft in the custody of the

Atomic Energy Commission under the terms of this

agreement are maintained at satisfactory Navy stan-

rw

b.

dards, they will be subject to the routine materiel
inspection normally conducted by the Navy for naval

craft. The scheduling of these inspections will be
mutually agreed upon by representatives of the Navy
and the AEC in the field.

a.

Upon transfer of Naval craft from the Navy to

the AEC and return of such craft to the Navy by the

AEC, joint inspections of craft so transferred or
returned will be conducted. Such inspections will
be conducted by an appropriate board appointed by
the Commander in Chief, U.S. Pacific Fleet and
composed of both Navy and AEC members. The reports
of the above board will be itemized in sufficient

K-IJ~2
Rev.

9525-53

ChL

wry

5e

Select target paragraph3