[Federal Register Volume 61, Number 197 (Wednesday, October 9, 1996)]
[Proposed Rules]
[Page 52998]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-25723]
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DEPARTMENT OF DEFENSE
GENERAL SERVICES ADMINISTRATION
NATIONAL AERONAUTICS AND SPACE ADMINISTRATION
48 CFR Part 31
[FAR Case 93-026]
RIN 9000-AG59
Federal Acquisition Regulation; Business Meals
AGENCIES: Department of Defense (DOD), General Services Administration
(GSA), and National Aeronautics and Space Administration (NASA).
ACTION: Withdrawal of proposed rule.
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SUMMARY: The Civilian Agency Acquisition Council and the Defense
Acquisition Regulations Council (Councils) have decided to withdraw FAR
Case 93-026, Business Meals, published in the Federal Register at 60 FR
43508, August 21, 1995. The rule proposed revisions to FAR 31.205-43,
Trade, business, technical and professional activity costs, and 31.205-
46, Travel costs to clarify when the costs of meals for contractor
employees are allowable.
The Office of Federal Procurement Policy SWAT Team on Civilian
Agency Contracting in its report of December 3, 1992, entitled
``Improving Contracting Practices and Management Controls on Cost-Type
Federal Contracts,'' recommended several FAR changes, including
revisions to the FAR cost principles to make them less general with
regard to the allowability of costs.
One area identified for clarification was the costs of business
meals of contractor employees who are not on official travel. A
proposed rule was published relating to making the costs of meals for
contractor employees unallowable unless the employee is on official
company travel or the meals are an integral part of a bona fide
business meeting.
As a result of our analysis of public comments received in response
to the proposed rule, we have determined that the current cost
principles, especially FAR 31.205-3, Determining reasonableness, and
31.205-43, Trade, business, technical and professional activity costs,
are adequate to properly assess the allowability of these costs.
Therefore, the proposed rule is withdrawn.
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 4041, GS Building, Washington, DC 20405 (202) 501-
4755. Please cite FAR case 93-026, withdrawal.
List of Subjects in 48 CFR Part 31
Government procurement.
Dated: October 2, 1996.
Edward C. Loeb,
Director, Federal Acquisition Policy Division.
[FR Doc. 96-25723 Filed 10-8-96; 8:45 am]
BILLING CODE 6820-EP-P
