96-1021. Federal Acquisition Regulation; Subcontract Proposal Audits  

  • [Federal Register Volume 61, Number 18 (Friday, January 26, 1996)]
    [Rules and Regulations]
    [Pages 2634-2635]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 96-1021]
    
    
    
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    DEPARTMENT OF DEFENSE
    DEPARTMENT OF DEFENSE
    
    GENERAL SERVICES ADMINISTRATION
    
    NATIONAL AERONAUTICS AND SPACE ADMINISTRATION
    
    48 CFR Part 15
    
    [FAC 90-37; FAR Case 92-002; Item VII]
    RIN 9000-AF74
    
    
    Federal Acquisition Regulation; Subcontract Proposal Audits
    
    AGENCIES: Department of Defense (DOD), General Services Administration 
    (GSA), and National Aeronautics and Space Administration (NASA).
    
    ACTION: Final rule.
    
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    SUMMARY: The Civilian Agency Acquisition Council and the Defense 
    
    [[Page 2635]]
    Acquisition Regulations Council have agreed on a final rule to amend 
    the Federal Acquisition Regulation (FAR) to add two additional examples 
    of when field pricing support audits of subcontract proposals may be 
    appropriate. This regulatory action was not subject to Office of 
    Management and Budget review under Executive Order 12866, dated 
    September 30, 1993.
    
    EFFECTIVE DATE: March 26, 1996.
    
    FOR FURTHER INFORMATION CONTACT:
    Mr. Jeremy Olson, at (202) 501-3221 in reference to this FAR case. For 
    general information, contact the FAR Secretariat, Room 4037, GS 
    Building, Washington, DC 20405 (202) 501-4755. Please cite FAC 90-37, 
    FAR case 92-002.
    
    SUPPLEMENTARY INFORMATION:
    
    A. Background
    
        An amendment to the FAR was published in the Federal Register at 59 
    FR 14457, March 28, 1994, as a proposed rule with a request for 
    comments. Three responses were received. Each supported the proposed 
    rule.
    
    B. Regulatory Flexibility Act
    
        The Department of Defense, the General Services Administration, and 
    the National Aeronautics and Space Administration certify that this 
    final rule will not have a significant economic impact on a substantial 
    number of small entities under the Regulatory Flexibility Act, 5 U.S.C. 
    601, et seq., because most contracts awarded to small entities are 
    awarded on a competitive, fixed-price basis and certified cost or 
    pricing data and field pricing support are not required.
    
    C. Paperwork Reduction Act
    
        The Paperwork Reduction Act does not apply because the changes to 
    the FAR do not impose recordkeeping or information collection 
    requirements, or collections of information from offerors, contractors, 
    or members of the public which require the approval of the Office of 
    Management and Budget under 44 U.S.C. 3501, et seq.
    
    List of Subjects in 48 CFR Part 15
    
        Government procurement.
    
        Dated: January 11, 1996.
    Edward C. Loeb,
    Acting Director, Office of Federal Acquisition Policy.
    
        Therefore, 48 CFR Part 15 is amended as set forth below:
    
    PART 15--CONTRACTING BY NEGOTIATION
        1. The authority citation for 48 CFR Part 15 continues to read as 
    follows:
    
        Authority; 40 U.S.C. 486(c); 10 U.S.C. chapter 137; and 42 
    U.S.C. 2473(c).
    
        2. Section 15.806-3 is amended in paragraph (a)(3) by removing 
    ``or''; in paragraph (a)(4) by removing the period and inserting a 
    semicolon; and by adding paragraphs (a) (5) and (6) to read as follows:
    15.806-3  Field pricing reports.
    
        (a) * * *
        (5) The contractor or higher tier subcontractor has been cited for 
    having significant estimating system deficiencies in the area of 
    subcontract pricing, especially the failure to perform adequate cost 
    analyses of proposed subcontract costs or to perform subcontract 
    analyses prior to negotiation of the prime contract with the 
    Government; or
        (6) A lower tier subcontractor has been cited as having significant 
    estimating system deficiencies.
    * * * * *
    [FR Doc. 96-1021 Filed 1-25-96; 8:45 am]
    BILLING CODE 6820-EP-M
    
    

Document Information

Effective Date:
3/26/1996
Published:
01/26/1996
Department:
National Aeronautics and Space Administration
Entry Type:
Rule
Action:
Final rule.
Document Number:
96-1021
Dates:
March 26, 1996.
Pages:
2634-2635 (2 pages)
Docket Numbers:
FAC 90-37, FAR Case 92-002, Item VII
RINs:
9000-AF74
PDF File:
96-1021.pdf
CFR: (1)
48 CFR 15