[Federal Register Volume 59, Number 230 (Thursday, December 1, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-29420]
[[Page Unknown]]
[Federal Register: December 1, 1994]
_______________________________________________________________________
Part VI
Department of Defense
General Services Administration
National Aeronautics and Space Administration
_______________________________________________________________________
48 CFR Parts 49 and 52
Federal Acquisition Regulation; Termination Inventory Schedules;
Proposed Rules
DEPARTMENT OF DEFENSE
GENERAL SERVICES ADMINISTRATION-
NATIONAL AERONAUTICS AND SPACE ADMINISTRATION
48 CFR Parts 49 and 52
[FAR Case 94-3]
RIN 9000-AG13
Federal Acquisition Regulation; Termination Inventory Schedules
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 changes concerning
termination of contracts to preclude excessive delays in processing
terminations for the convenience of the Government. The proposed change
will require contractors to prepare and submit termination inventory
schedules within 120 days from the effective date of termination,
unless otherwise extended by the Termination Contracting Officer (TCO).
This will enable the TCO to initiate early inventory screening and
final disposition, thereby substantially reducing the time required to
achieve termination settlement.
DATES: Comments should be submitted on or before January 30, 1995, to
be considered in the formulation of a final rule.
ADDRESSES: Interested parties should submit written comments to: -
General Services Administration, FAR Secretariat (VRS),-18th & F
Streets, NW, Room 4037, Washington, DC 20405.
Please cite FAR case 94-3 in all correspondence related to this
case.
FOR FURTHER INFORMATION CONTACT: Ms. Linda Klein at (202) 501-3775 in
reference to this FAR case. For general information, contact the FAR
Secretariat, Room 4037, GS Building, Washington, DC 20405, Telephone:
(202) 501-4755. Please cite FAR case 94-3.
SUPPLEMENTARY INFORMATION:
A. Background
When inventory schedules required for contracts terminated for the
convenience of the Government are not submitted in a timely manner by
the terminated contractors, unnecessary delays are experienced both in
effecting redistribution and disposal of the termination inventory and
in reaching final settlement of those contracts. DOD's Inspector
General has recommended the imposition of a new contractor requirement
to submit inventory schedules within 120 days, unless an extension is
justified.
B. Regulatory Flexibility Act
The proposed changes are 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
change will require contractors to prepare and submit termination
inventory schedules within 120 days from the effective date of
termination, unless otherwise extended by the Termination Contracting
Officer. Only the timing of the submission of the inventory schedule
has changed; the requirement to submit a schedule is a long-standing
one. Due to the length of time currently required to settle
terminations, it is anticipated that the proposed expedited procedure
will lessen any adverse financial impact generally experienced by small
and medium sized firms.
An Initial Regulatory Flexibility Analysis (IRFA) has been prepared
and will be provided to the Chief Counsel for Advocacy for the Small
Business Administration. A copy of the IRFA may be obtained from the
FAR Secretariat. Comments are invited. Comments from small entities
concerning the affected FAR subpart 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. (FAR case 94-3), in correspondence.
C. Paperwork Reduction Act
The Paperwork Reduction Act does not apply because the proposed
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. Only the
timing of the submission of the inventory schedule is changed; the
requirement to submit a schedule is a long-standing one.
List of Subjects in 48 CFR Parts 49 and 52
Government procurement.
Dated: November 18, 1994.
Albert A. Vicciolla,
Director, Office of Federal Acquisition Policy.
Therefore, it is proposed that 48 CFR Parts 49 and 52 be amended as
set forth below:
PART 49--TERMINATION OF CONTRACTS
1. The authority citation for 48 CFR Parts 49 and 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).
49.105 [Amended]
2. Section 49.105(c)(13) is amended by adding ``(see 49.206-3 and
49.303-2)'' to the end of the sentence.
3. Section 49.206-3 is added to read as follows:
49.206-3 Submission of inventory schedules.
Subject to the provisions of the termination clause and whenever
termination inventory is involved, the contractor shall submit complete
inventory schedules, to the TCO, reflecting inventory that is allocable
to the terminated portion of the contract. The inventory schedules must
be submitted within 120 days from the effective date of termination
unless otherwise extended by the TCO based on a written justification
to support the extension. The inventory schedules must be prepared on
the forms prescribed in 49.602-2 and in accordance with 45.605-5.
4. Sections 49.303-2, 49.303-3, and 49.303-4 are redesignated as
49.303-3, 49.303-4, and 49.303-5, respectively, and a new section
49.303-2 is added to read as follows:
49.303-2 Submission of inventory schedules.
Subject to the provisions of the termination clause and whenever
termination inventory is involved, the contractor shall submit complete
inventory schedules, to the TCO, reflecting inventory that is allocable
to the terminated portion of the contract. The inventory schedules must
be submitted within 120 days from the effective date of termination
unless otherwise extended by the TCO based on a written justification
to support the extension. The inventory schedules must be prepared on
the forms prescribed in 49.602-2 and in accordance with 45.606-5.
PART 52--SOLICITATION PROVISIONS AND CONTRACT CLAUSES
5. Section 52.249-2 is amended in the clause by:
(a) Revising the clause date;
(b) Redesignating paragraphs (d) through (m) as (e) through (n),
respectively; and
(c) Adding a new paragraph (d) to read as follows:
52.249-2 Termination for Convenience of the Government (Fixed-Price).
* * * * *
TERMINATION FOR CONVENIENCE OF THE GOVERNMENT (FIXED-PRICE) (XXX 1994)
* * * * *
(d) The Contractor shall submit complete termination inventory
schedules no later than 120 days from the effective date of
termination, unless extended in writing by the Contracting Officer
upon written request of the Contractor within this 120 day period.
* * * * *
6. Section 52.249-3 is amended in the clause by:
(a) Revising the clause date;
(b) Redesignating paragraphs (d) through (m) as (e) through (n),
respectively; and
(c) Adding a new paragraph (d) to read as follows:
52.249-3 Termination for Convenience of the Government (Dismantling,
Demolition, or Removal of Improvements).
* * * * *
TERMINATION FOR CONVENIENCE OF THE GOVERNMENT (DISMANTLING, DEMOLITION,
OR REMOVAL OF IMPROVEMENTS) (XXX 1994)
* * * * *
(d) The Contractor shall submit complete termination inventory
schedules no later than 120 days from the effective date of
termination, unless extended in writing by the Contracting Officer
upon written request of the Contractor within this 120 day period.
* * * * *
7. Section 52.249-5 is amended in the clause by:
(a) Revising the clause date;
(b) Redesignating paragraphs (c) through (g) as (d) through (h),
respectively; and
(c) Adding a new paragraph (c) to read as follows:
52.249-5 Termination for Convenience of the Government (Educational
and Other Nonprofit Institutions).
* * * * *
TERMINATION FOR CONVENIENCE OF THE GOVERNMENT (EDUCATIONAL AND OTHER
NONPROFIT INSTITUTIONS) (XXX 1994)
* * * * *
(c) The Contractor shall submit complete termination inventory
schedules no later than 120 days from the effective date of
termination, unless extended in writing by the Contracting Officer
upon written request of the Contractor within this 120 day period.
* * * * *
8. Section 52.249-6 is amended in the clause by:
(a) Revising the clause date;
(b) Redesignating paragraphs (e) through (m) as (f) through (n),
respectively; and
(c) Adding a new paragraph (e) to read as follows:
52.249-6 Termination (Cost-Reimbursement).
* * * * *
TERMINATION (COST-REIMBURSEMENT) (XXX 1994)
* * * * *
(e) The Contractor shall submit complete termination inventory
schedules no later than 120 days from the effective date of
termination, unless extended in writing by the Contracting Officer
upon written request of the Contractor within this 120 day period.
* * * * *
9. Section 52.249-11 is amended in the clause by:
(a) Revising the clause date;
(b) Redesignating paragraphs (d) through (k) as (e) through (l),
respectively; and
(c) Adding a new paragraph (d) to read as follows:
52.249-11 Termination of Work (Consolidated Facilities or Facilities
Acquisition).
* * * * *
TERMINATION OF WORK (CONSOLIDATED FACILITIES OR FACILITIES ACQUISITION)
(XXX 1994)
* * * * *
(d) The Contractor shall submit complete termination inventory
schedules no later than 120 days from the effective date of
termination, unless extended in writing by the Contracting Officer
upon written request of the Contractor within this 120 day period.
* * * * *
10. In addition to the amendments set forth above, newly-
redesignated paragraphs in sections 52.249-2, 52.249-3, 52.249-5,
52.249-6, and 52.249-11 are further amended by updating the internal
references and dates as follows:
SECTION REMOVE INSERT
52.249-2(f);
first sentence........................ ``(d)'' ``(e)''
third sentence........................ ``(e)'' ``(f)''
``(f)'' ``(g)''
``(f)(3)'' ``(g)(3)''
fourth sentence....................... ``(f)'' ``(g)''
52.249-2(g)-.............................. ``(e)'' ``(f)''
52.249-2(g)(2)(i)......................... ``(f)(l)'' ``(g)(l)''
52.249-2(h)-.............................. ``(f)'' ``(g)''
52.249-2(j);
first sentence........................ ``(d), (f), or (k)'' ``(e), (g), or (l)''
``(d) or (k)'' ``(e) or (l)''
second sentence....................... ``(d), (f), or (k)'' ``(e), (g), or (l)''
52.249-2, Alternate I
introductory paragraph................ ``(APR 1984)'' ``(XXX 1994)''
(twice)............................... ``(f)'' ``(g)''
paragraph (f)
designation......................... ``(f)'' ``(g)''
introductory paragraph.............. ``(e)'' ``(f)''
52.249-2, Alternate II.................... ``(APR 1984)'' ``(XXX 1994)''
``(l)(2)''- ``(m)(2)''
52.249-2, Alternate III................... ``(APR 1984)'' ``(XXX 1994)''
first sentence (twice)................ ``(f)'' ``(g)''
second sentence....................... ``(l)(2)'' ``(m)(2)''
paragraph (f)
designation-........................ ``(f)'' ``(g)''
introductory paragraph.............. ``(e)'' ``(f)''
52.249-3(f);..............................
first sentence........................ ``(d)'' ``(e)''
third sentence........................ ``(e)'' ``(f)''
``(f)'' ``(g)''
fifth sentence........................ ``(f)'' ``(g)''
52.249-3(g)-.............................. ``(e)'' ``(f)''
52.249-3(h)-.............................. ``(f)'' ``(g)''
52.249-3(j);
first sentence........................ ``(d), (f), or (k)'' ``(e), (g), or (l)''
``(d) or (k)'' ``(e) or (l)''
second sentence....................... ``(d), (f), or (k)'' ``(e), (g), or (l)
52.249-3, Alternate I..................... ``(APR 1984)'' ``(XXX 1994)''
``(l)(2)''- ``(m)(2)''
52.249-5(e)-.............................. ``(c)'' ``(d)''
52.249-5(h)-.............................. ``(c)'' ``(d)''
52.249-6(g)-.............................. ``(e)'' ``(f)''
52.249-6(h)(5)............................ ``(g)(4)''- ``(h)(4)''
52.249-6(j)-
first sentence........................ ``(c) or (g)'' ``(f) or (h),-
``(k)'' ``(l)''
``(e)''- ``(f)''
second sentence....................... ``(c), (g), or (k)'' ``(f), (h), or (l)''
52.249-6, Alternate I,.................... ``(APR 1984)'' (XXX 1994)''
``(g)(4)'' ``(h)(4)''
introductory paragraph
(twice) and subparagraph
designation (once)
52.249-6, Alternate II.................... ``(APR 1984)'' ``(XXX 1994)''
``(l)(2)'' ``(m)(2)''
52.249-6, Alternate III
introductory paragraph................ ``(APR 1984)'' ``(XXX 1994)''
(twice)............................... ``(g)(4)'' ``(h)(4)''
(once)................................ ``(l)(2)''- ``(m)(2)''
subparagraph designation.............. ``(g)(4)'' ``(h)(4)''
52.249-6, Alternate IV
introductory paragraph................ ``(APR 1984)'' ``(XXX 1994)''
(twice)............................... ``(g) and (k)'' ``(h) and (l)''
subparagraph designation.............. ``(g)'' ``(h)''
52.249-6, Alternate V
introductory paragraph................ ``(APR 1984)'' ``(XXX 1994)''
(twice)............................... ``(g) and (k)'' ``(h) and (l)''
(once)................................ ``(l)(2)''- ``(m)(2)''
subparagraph designation.............. ``(g)'' ``(h)''
subparagraph designation.............. ``(k)''- ``(l)''
52.249-11(f).............................. ``(d)'' ``(e)''
52.249-11(i)
first sentence........................ ``(d) or (f)'' ``(e) or (g)''
``(d) ``(e)''
second sentence....................... ``(d) or (f)'' ``(e) or (g)''
52.249-11, Alternate I.................... ``(APR 1984)'' ``(XXX 1994)''
``(j)(2)'' ``(k)(2)''
[FR Doc. 94-29420 Filed 11-30-94; 8:45 am]
BILLING CODE 6820-34-P
