95-27515. Acquisition Regulation; Cost or Pricing Data; Correction  

  • [Federal Register Volume 60, Number 215 (Tuesday, November 7, 1995)]
    [Rules and Regulations]
    [Pages 56125-56126]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 95-27515]
    
    
    
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    NATIONAL AERONAUTICS AND SPACE ADMINISTRATION
    
    48 CFR Part 1815
    
    
    Acquisition Regulation; Cost or Pricing Data; Correction
    
    AGENCY: Office of Procurement, National Aeronautics and Space 
    Administration (NASA).
    
    ACTION: Correction to final rule.
    
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    SUMMARY: This document contains corrections to the final rule which was 
    published October 18, 1995 (60 FR 53878) The final rule revised NASA 
    policies on cost or pricing data in order to make the policies 
    consistent with recently revised Federal-wide policies.
    
    EFFECTIVE DATE: October 18, 1995.
    
    FOR FURTHER INFORMATION CONTACT:
    William T. Childs, (202) 358-0454.
    
    SUPPLEMENTARY INFORMATION:
    
    Background
    
        The Federal Acquisition Streamlining Act of 1994 (FASA) revised 
    policy on cost or pricing data under the Truth in Negotiations Act 
    (TINA), among other things. The TINA changes have been implemented in 
    the Federal Acquisition Regulation (FAR) at 48 CFR chapter 1, and those 
    changes necessitate corresponding revisions of the NASA FAR Supplement 
    (NFS).
    
    Need for Correction
    
        Two section headings were incorrectly published. In section 
    1815.804-1, paragraph (a)(1) is removed because it is adequately 
    covered by FAR 15.804-1, two citations are corrected, and the term 
    ``exemption'' is revised to read ``exception'', which is the term used 
    by the FAR. Paragraph (b) was inadvertently omitted from Sec. 1815.804-
    2. The paragraph provides guidance that the agreed date under FAR 
    15.804-2(b)(2) should generally be within two weeks of the date of 
    price agreement.
    
    Correction of Publication
    
        Accordingly, the publication on October 18, 1995 of the final rule 
    which was the subject of FR Doc. 95-25858, is corrected as follows:
    
    
    1815.804  [Corrected]
    
        Paragraph 2. on page 53879, in the first column, is corrected by 
    revising the heading of Sec. 1815.804 to read as follows:
    
    
    1815.804  Cost or pricing data and information other than cost or 
    pricing data.
    
    
    1815.804-1  [Corrected]
    
        Paragraph 3. on page 53879, in the first column, is corrected by 
    revising the heading and paragraphs (a), (b), and (c) of section 
    1815.804-1 to read as follows:
    
    
    1815.804-1  Prohibition on obtaining cost or pricing data.
    
        (a)(1) When the adequate price competition exception will be used 
    in a single-offer situation, the exception shall be approved by the 
    head of the contracting activity. The exception document shall cite the 
    authority of 10 U.S.C. 2306(b)(1)(B), and the procedure in paragraph 
    (d) of this section shall be used.
        (2) The adequate price competition exception is applicable to both 
    fixed-price and cost-reimbursement type procurements.
        (i) The use of this exception for a cost-reimbursement procurement 
    requires the careful exercise of judgment on the part of the 
    contracting officer based on the application of the guidance in FAR 
    15.804-1(b)(1)(i)(A) and the regulations of this chapter to the facts 
    of each procurement. The instances when its use under cost-
    reimbursement procurements would be appropriate should be limited. One 
    reason is that, unlike fixed-price type contracts, where the final cost 
    to the Government is set at the negotiated contract amount, in cost-
    reimbursement contracts, the contract amount is only an estimate of the 
    Government's final cost. As a consequence, the failure to obtain cost 
    or pricing data could result in a competing contractor intentionally 
    underestimating its costs for the purpose of winning the award, which 
    could then cause the actual contract costs to significantly exceed 
    those proposed.
        (ii) If and when negotiations conducted with a successful offeror 
    after receipt of Best and Final Offers result in a substantial change 
    in that offeror's price, the validity of any adequate price competition 
    exception which previously applied could be nullified, regardless of 
    contract type.
        (3) When the decision is made to apply the adequate price 
    competition exception, that decision shall be documented in the 
    contract file. In addition, for cost-reimbursement procurements, that 
    document shall be signed by the procurement officer and a copy provided 
    to the Analysis Division, Code HC.
        (b) When an exception is granted under FAR 15.804-1(c)(4) for 
    repetitive submissions of catalog items, Government approval of the 
    exception request shall state the effective period, usually not more 
    than one year, and require the contractor to furnish any later 
    information that might raise a 
    
    [[Page 56126]]
    question as to the exception's continuation.
        (c) When excepting submission under FAR 15.804-1(b)(2)(iii), the 
    contracting officer shall document the reasons for the exception. It is 
    generally appropriate to include a description of the similarities and 
    differences from a commercial item, along with a discussion of the 
    actual sales prices of the commercial item and an explanation of the 
    value of the differences from that item. If the fact of substantial 
    sales to the general public is well known, information addressing the 
    quantity of sales is not required.
    * * * * *
    
    
    1815.804-2  [Corrected]
    
        Paragraph 4. on page 53879, in the third column, is corrected by 
    adding paragraph (b) to read as follows:
    
    
    1815.804-2  Requiring cost or pricing data.
    
    * * * * *
        (b) If a certificate of current cost or pricing data is made 
    applicable as of a date other than the date of price agreement, the 
    agreed date should generally be within two weeks of the date of price 
    agreement.
    Tom Luedtke,
    Deputy Associate Administrator for Procurement.
    [FR Doc. 95-27515 Filed 11-6-95; 8:45 am]
    BILLING CODE 7510-01-M
    
    

Document Information

Effective Date:
10/18/1995
Published:
11/07/1995
Department:
National Aeronautics and Space Administration
Entry Type:
Rule
Action:
Correction to final rule.
Document Number:
95-27515
Dates:
October 18, 1995.
Pages:
56125-56126 (2 pages)
PDF File:
95-27515.pdf
CFR: (1)
48 CFR 1815