[Federal Register Volume 63, Number 17 (Tuesday, January 27, 1998)]
[Proposed Rules]
[Page 4074]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-1909]
[[Page 4073]]
_______________________________________________________________________
Part IV
Department of Defense
General Services Administration
National Aeronautics and Space Administration
_______________________________________________________________________
48 CFR Part 52
Federal Acquisition Regulation; Evidence of Shipment in Electronic Data
Interchange (EDI) Transactions; Proposed Rule
Federal Register / Vol. 63, No. 17 / Tuesday, January 27, 1998 /
Proposed Rules
[[Page 4074]]
DEPARTMENT OF DEFENSE
GENERAL SERVICES ADMINISTRATION
NATIONAL AERONAUTICS AND SPACE ADMINISTRATION
48 CFR Part 52
[FAR Case 97-011]
RIN 9000-AH73
Federal Acquisition Regulation; Evidence of Shipment in
Electronic Data Interchange (EDI) Transactions
AGENCIES: Department of Defense (DoD), General Services Administration
(GSA), and National Aeronautics and Space Administration (NASA).
ACTION: Proposed rule.
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SUMMARY: The Civilian Agency Acquisition Council and the Defense
Acquisition Regulations Council are proposing to amend the Federal
Acquisition Regulation (FAR) to facilitate the use of electronic data
interchange (EDI) transactions and to streamline the payment process
when supplies are purchased free on board (f.o.b.) destination with
inspection and acceptance at origin. This regulatory action was not
subject to Office of Management and Budget review under Executive Order
12866, dated September 30, 1993. This is not a major rule under 5
U.S.C. 804.
DATES: Comments should be submitted on or before March 30, 1998 to be
considered in the formulation of a final rule.
ADDRESSES: Interested parties should submit written comments to:
General Services Administration, FAR Secretariat (MVR), 1800 F Street,
NW, Room 4035, Washington, DC 20405. E-mail comments submitted over
Internet should be addressed to: farcase.97-011@gsa.gov. Please cite
FAR case 97-011 in all correspondence related to this case.
FOR FURTHER INFORMATION CONTACT: The FAR Secretariat, Room 4035, GS
Building, Washington, DC 20405 (202) 501-4755 for information
pertaining to status or publication schedules. For clarification of
content, contact Ms. Linda Klein, Procurement Analyst, at (202) 501-
3775. Please cite FAR case 97-011.
SUPPLEMENTARY INFORMATION:
A. Background
This proposed rule amends the clause at FAR 52.247-48 to eliminate
the current barriers to full implementation of electronic data
interchange (EDI) in certain contracts awarded on an f.o.b. destination
basis. Presently, if a contract is awarded on an f.o.b. destination
basis, and if transportation is accomplished by a common carrier, the
contractor is required to provide, with the invoice, a signed copy of
the commercial bill of lading indicating the carriers receipt of the
supplies or to furnish the information electronically as evidence of
shipment. Additionally, if transportation is accomplished by other than
a common carrier or parcel post, the contractor is required to provide,
with the invoice, a copy of the appropriate delivery document showing
receipt at the destination specified in the contract. To eliminate
current barriers to transmission of signed bills of lading, or other
required delivery documentation through EDI, this rule eliminates any
requirement for contractors to provide evidence of shipment. However,
contractors will be required to retain, and to make available to the
Government for review as necessary, the evidence of shipment
documentation for a period of 4 years after contract completion.
B. Regulatory Flexibility Act
This proposed rule is not expected to have a significant economic
impact on a substantial number of small entities within the meaning of
the Regulatory Flexibility Act, 5 U.S.C. 601, et seq., because the rule
applies to a limited number of EDI transactions, e.g., when supplies
are purchased f.o.b. destination, but inspection and acceptance will be
at origin. Therefore, the rule is estimated to affect only a small
number of entities, both large and small. For DoD, less than 1 percent
(129) of all f.o.b. destination supply contracts over $25,000 (14,664)
are likely to be affected by this rule. Therefore, an Initial
Regulatory Flexibility Analysis has not been performed. Comments from
small entities concerning the affected FAR subpart will be considered
in accordance with 5 U.S.C. 610 of the Act. Such comments must be
submitted separately and should cite 5 U.S.C. 601, et seq. (FAR case
97-011), in correspondence.
C. Paperwork Reduction Act
The Paperwork Reduction Act (44 U.S.C. 3501, et seq.) is deemed to
apply because the proposed rule contains information collection
requirements. It is estimated that the revision to the FAR clause at
52.247-48 will slightly increase, by 45 hours, to 74,795 hours, the
annual paperwork burden associated with FAR Part 47 and related
provisions and clauses approved by the Office of Management and Budget
(OMB) under OMB Control Number 9000-0061.
List of Subjects in 48 CFR Part 52
Government procurement.
Dated: January 21, 1998.
Jeremy F. Olson,
Acting Director, Federal Acquisition Policy Division.
Therefore, it is proposed that 48 CFR Part 52 be amended as set
forth below:
PART 52--SOLICITATION PROVISIONS AND CONTRACT CLAUSES
1. The authority citation for 48 CFR Part 52 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 52.247-48 is revised to read as follows:
52.247-48 F.o.b. Destination--Evidence of Shipment.
As prescribed in 47.305-4(c), insert the following clause:
F.O.B. Destination--Evidence of Shipment (Date)
(a) If this contract is awarded on a free on board (f.o.b.)
destination basis, the Contractor--
(1) Shall not submit an invoice for payment until the supplies
covered by the invoice have been shipped; and
(2) Shall retain, and make available to the Government for
review as necessary, the following evidence of shipment
documentation for a period of 4 years after completion of the
contract:
(i) If transportation is accomplished by common carrier, a
signed copy of the commercial bill of lading for the supplies
covered by the Contractor's invoice, indicating the carrier's intent
to ship the supplies to the destination specified in the contract.
(ii) If transportation is accomplished by parcel post, a copy of
the certificate of mailing.
(iii) If transportation is accomplished by other than common
carrier or parcel post, a copy of the delivery document showing
receipt at the destination specified in the contract.
(b) The Contractor is not required to submit evidence of
shipment documentation with its invoice.
(End of clause)
[FR Doc. 98-1909 Filed 1-26-98; 8:45 am]
BILLING CODE 6820-EP-P
