[Federal Register Volume 63, Number 210 (Friday, October 30, 1998)]
[Rules and Regulations]
[Pages 58600-58601]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-28962]
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DEPARTMENT OF DEFENSE
GENERAL SERVICES ADMINISTRATION
NATIONAL AERONAUTICS AND SPACE ADMINISTRATION
48 CFR Parts 32 and 37
[FAC 97-09; FAR Case 97-302; Item VIII]
RIN 9000-AI09
Federal Acquisition Regulation; Service Contracts
AGENCIES: Department of Defense (DoD), General Services Administration
(GSA), and National Aeronautics and Space Administration (NASA).
[[Page 58601]]
ACTION: Final rule.
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SUMMARY: The Civilian Agency Acquisition Council and the Defense
Acquisition Regulations Council have agreed on a final rule amending
the Federal Acquisition Regulation (FAR) to expand the authority of the
Department of Defense and the Coast Guard to enter into contracts that
cross fiscal years.
This regulatory action was not subject to Office of Management and
Budget review under Executive Order 12866, dated September 30, 1993,
and is not a major rule under 5 U.S.C. 804.
EFFECTIVE DATE: December 29, 1998.
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 Mr. Jeremy F. Olson at (202) 501-0692. Please cite FAC
97-09, FAR case 97-302.
SUPPLEMENTARY INFORMATION:
A. Background
Section 801 of the National Defense Authorization Act for Fiscal
Year 1998 (Pub. L. 105-85) amends 10 U.S.C. 2410a to authorize the
Secretary of Defense, the Secretary of a military department, or the
Secretary of Transportation with regard to the Coast Guard when not
operating as a service in the Navy, to enter into a contract for
procurement of severable services for a period that begins in one
fiscal year and ends in the next fiscal year.
B. Regulatory Flexibility Act
The final rule does not constitute a significant FAR revision
within the meaning of FAR 1.501 and Public Law 98-577, and publication
for public comments is not required. However, comments from small
entities concerning the affected FAR subparts will be considered in
accordance with 5 U.S.C. 610. Such comments must be submitted
separately and should cite 5 U.S.C. 601, et seq. (FAC 97-09, FAR case
97-302), in correspondence.
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 Parts 32 and 37
Government procurement.
Dated: October 22, 1998.
Edward C. Loeb,
Director, Federal Acquisition Policy Division.
Therefore, 48 CFR Parts 32 and 37 are amended as set forth below:
1. The authority citation for 48 CFR Parts 32 and 37 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).
PART 32--CONTRACT FINANCING
2. Section 32.703-3 is revised to read as follows:
32.703-3 Contracts crossing fiscal years.
(a) A contract that is funded by annual appropriations may not
cross fiscal years, except in accordance with statutory authorization
(e.g., 41 U.S.C. 11a, 31 U.S.C. 1308, 42 U.S.C. 2459a, 42 U.S.C. 3515,
and paragraph (b) of this subsection), or when the contract calls for
an end product that cannot feasibly be subdivided for separate
performance in each fiscal year (e.g., contracts for expert or
consultant services).
(b) The head of an executive agency, except NASA, may enter into a
contract, exercise an option, or place an order under a contract for
severable services for a period that begins in one fiscal year and ends
in the next fiscal year if the period of the contract awarded, option
exercised, or order placed does not exceed one year (10 U.S.C. 2410a
and 41 U.S.C. 253l). Funds made available for a fiscal year may be
obligated for the total amount of an action entered into under this
authority.
PART 37--SERVICE CONTRACTING
3. Section 37.106 is amended by revising paragraph (b) to read as
follows:
37.106 Funding and term of service contracts.
* * * * *
(b) The head of an executive agency, except NASA, may enter into a
contract, exercise an option, or place an order under a contract for
severable services for a period that begins in one fiscal year and ends
in the next fiscal year if the period of the contract awarded, option
exercised, or order placed does not exceed one year (10 U.S.C. 2410a
and 41 U.S.C. 253l). Funds made available for a fiscal year may be
obligated for the total amount of an action entered into under this
authority.
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[FR Doc. 98-28962 Filed 10-29-98; 8:45 am]
BILLING CODE 6820-EP-U
