[Federal Register Volume 60, Number 248 (Wednesday, December 27, 1995)]
[Proposed Rules]
[Pages 67024-67025]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-31204]
[[Page 67023]]
_______________________________________________________________________
Part II
Department of Defense
General Services Administration
National Aeronautics and Space Administration
_______________________________________________________________________
48 CFR Parts 46 and 52
Federal Acquisition Regulation: Clause Flowdown; Proposed Rule
Federal Register / Vol. 60, No. 248 / Wednesday, December 27, 1995 /
Proposed Rules
[[Page 67024]]
DEPARTMENT OF DEFENSE
GENERAL SERVICES ADMINISTRATION
NATIONAL AERONAUTICS AND SPACE ADMINISTRATION
48 CFR Parts 46 and 52
[FAR Case 92-035]
RIN 9000-AG76
Federal Acquisition Regulation; Clause Flowdown
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 (Councils) are proposing to amend the
Federal Acquisition Regulation (FAR) to reduce the number of contract
clauses requiring flowdown to subcontractors. This regulatory action
was not subject to Office of Management and Budget review under
Executive Order 12866, dated September 30, 1993.
DATES: Comments should be submitted on or before February 26, 1996 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 92-035 in all correspondence related to this
case.
FOR FURTHER INFORMATION CONTACT: Mr. Harry Rosinski at (202) 501-0692
in reference to this FAR case. For general information, contact the FAR
Secretariat, room 4037, GS Building, Washington, DC 20405 (202) 501-
4755. Please cite FAR case 92-035.
SUPPLEMENTARY INFORMATION:
A. Background
The Councils conducted an extensive review of all FAR clauses
requiring flowdown to subcontractors in an effort to eliminate any
unnecessary flowdown requirements. As a result, the Councils are
proposing to eliminate requirements for flowdown of the clauses at FAR
52.215-26, 52.216-5, 52.216-6, 52.216-16, 52.216-17, 52.222-1, 52.236-
21, 52.244-2(i), 52.246-23, 52.246-24, and 52.246-25.
B. Regulatory Flexibility Act
The proposed changes may 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 it will
reduce administrative burden for Government contractors and their
subcontractors. 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 92-035), 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.
List of Subjects in 48 CFR Parts 46 and 52
Government procurement.
Dated: December 18, 1995.
Edward C. Loeb,
Acting Director, Office of Federal Acquisition Policy.
Therefore, it is proposed that 48 CFR parts 46 and 52 be amended as
set forth below:
1. The authority citation for 48 CFR parts 46 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).
PART 46--QUALITY ASSURANCE
46.806 [Removed]
2. Section 46.806 is removed.
PART 52--SOLICITATION PROVISIONS AND CONTRACT CLAUSES
52.215-26 [Amended]
3. Section 52.215-26 is amended by revising the date of the clause
to read ``(DATE)'' and by removing paragraph (d).
4. 52.216-5 is amended by revising the introductory paragraph, the
date of the clause, and paragraph (i) to read as follows:
52.216-5 Price Redetermination--Prospective.
As prescribed in 16.205-4, insert the following clause:
PRICE REDETERMINATION--PROSPECTIVE (DATE)
* * * * *
(i) Subcontracts. No subcontract placed under this contract may
provide for payment on a cost-plus-a-percentage-of-cost basis.
* * * * *
(End of clause)
5. Section 52.216-6 is amended by revising the introductory text,
the date of the clause, and paragraph (h) to read as follows:
52.216-6 Price Redetermination--Retroactive.
As prescribed in 16.206-4, insert the following clause:
PRICE REDETERMINATION--RETROACTIVE (DATE)
* * * * *
(h) Subcontracts. No subcontract placed under this contract may
provide for payment on a cost-plus-a-percentage-of-cost basis.
* * * * *
(End of clause)
6. Section 52.216-16 is amended by revising the introductory
paragraph, the date of the clause, and paragraph (h) to read as
follows:
52.216-16 Incentive Price Revision--Firm Target.
As prescribed in 16.405(a), insert the following clause:
INCENTIVE PRICE REVISION--FIRM TARGET (DATE)
* * * * *
(h) Subcontracts. No subcontract placed under this contract may
provide for payment on a cost-plus-a-percentage-of-cost basis.
* * * * *
(End of clause)
* * * * *
7. Section 52.216-17 is amended by revising the introductory
paragraph, the date of the clause, and paragraph (j) to read as
follows:
52.216-17 Incentive Price Revision--Successive Targets.
As prescribed in 16.405(b), insert the following clause:
INCENTIVE PRICE REVISION--SUCCESSIVE TARGETS (DATE)
* * * * *
(j) Subcontracts. No subcontract placed under this contract may
provide for payment on a cost-plus-a-percentage-of-cost basis.
* * * * *
(End of clause)
* * * * *
8. Section 52.222-1 is amended by revising the introductory
paragraph and the date of the clause; by removing the paragraph
designation ``(a)'' in paragraph (a); and by removing paragraph (b).
The revised text reads as follows:
[[Page 67025]]
52.222-1 Notice to the Government of Labor Disputes.
As prescribed in 22.103-5(a), insert the following clause:
NOTICE TO THE GOVERNMENT OF LABOR DISPUTES (DATE)
* * * * *
(End of clause)
52.236-21 [Amended]
9. Section 52.236-21 is amended by revising the date of the clause
to read ``(DATE)'' and by removing paragraph (h).
52.244-2 [Amended]
10. Section 52.244-2 is amended by removing and reserving paragraph
(i).
52.246-23 [Amended]
11. Section 52.246-23 is amended by revising the date of the clause
to read ``(DATE)'' and by removing paragraph (d).
52.246-24 [Amended]
12. Section 52.246-24 is amended by revising the date of the clause
to read ``(DATE)'' and by removing paragraphs (f) and (g).
52.246-25 [Amended]
13. Section 52.246-25 is amended by revising the date of the clause
to read ``(DATE)'' and by removing paragraph (d).
[FR Doc. 95-31204 Filed 12-26-95; 8:45 am]
BILLING CODE 6820-EP-P