97-31815. Federal Acquisition Regulation; Information Technology Management Reform Act of 1996  

  • [Federal Register Volume 62, Number 236 (Tuesday, December 9, 1997)]
    [Rules and Regulations]
    [Pages 64914-64915]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 97-31815]
    
    
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    DEPARTMENT OF DEFENSE
    
    GENERAL SERVICES ADMINISTRATION
    
    NATIONAL AERONAUTICS AND SPACE ADMINISTRATION
    
    48 CFR Parts 2, 5, 7, 8, 9, 12, 13, 16, 17, 19, 22, 32, 33, 34, 37, 
    38, 39, 45, 46, 51, 52, and 53
    
    [FAC 97-03; FAR Case 96-319; Item II]
    RIN 9000-AH75
    
    
    Federal Acquisition Regulation; Information Technology Management 
    Reform Act of 1996
    
    AGENCIES: Department of Defense (DoD), General Services Administration 
    (GSA), and National Aeronautics and Space Administration (NASA).
    
    ACTION: Interim rule adopted as final with change.
    
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    SUMMARY: The Civilian Agency Acquisition Council and the Defense 
    Acquisition Regulations Council have agreed to adopt as final, with 
    change, the interim rule published as Item I of Federal Acquisition 
    Circular 90-41 on August 8, 1996. The rule amends the Federal 
    Acquisition Regulation (FAR) to implement the Information Technology 
    Management Reform Act (ITMRA) of 1996, Division E of Pub. L. 104-106. 
    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: February 9, 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 Ms. Linda Nelson, Procurement Analyst, at (202) 501-
    1900. Please cite FAC 97-03, FAR case 96-319.
    
    SUPPLEMENTARY INFORMATION:
    
    A. Background
    
        An interim rule was published in the Federal Register at 61 FR 
    41467, August 8, 1996. Twelve comments from four respondents were 
    received during the public comment period. All comments were considered 
    in the development of the final rule. In response to public comments on 
    the interim rule, the definition of ``information technology'' at FAR 
    2.101 has been clarified.
    
    B. Regulatory Flexibility Act
    
        A Final Regulatory Flexibility Analysis (FRFA) has been prepared 
    and will be provided to the Chief Counsel for Advocacy of the Small 
    Business Administration. The analysis is summarized as follows:
    
        ITMRA requires a simplified, clear, and understandable process 
    in the FAR for acquiring information technology. No issues were 
    raised in response to the Initial Regulatory Flexibility Analysis. 
    The rule applies to all entities, large and small, that propose to 
    perform, or are awarded, Government contracts for information 
    technology. There are no statistics available on the exact number of 
    small businesses that submit bids or proposals for contracts for 
    information technology. However, based on information provided by 
    the Federal Procurement Data System, a total of 29,879 awards were 
    made to small businesses during fiscal year 1996 under information 
    technology product codes with a total dollar value of 
    $4,443,176,000. The rule imposes no new reporting, recordkeeping, or 
    other compliance requirements. There are no practical alternatives 
    that will effectively implement ITMRA. The final rule simplifies and 
    streamlines the process of acquiring information technology, and 
    minimizes the economic burden of such acquisitions, while expanding 
    opportunities for small entities to participate in Federal 
    information technology contracts.
    
        A copy of the FRFA may be obtained from the FAR Secretariat.
    
    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 2, 5, 7, 8, 9, 12, 13, 16, 17, 19, 22, 
    32, 33, 34, 37, 38, 39, 45, 46, 51, 52, and 53
    
        Government procurement.
    
        Dated: December 1, 1997.
    Edward C. Loeb,
    Director, Federal Acquisition Policy Division.
    
    Interim Rule Adopted as Final With Change
    
        Accordingly, the interim rule amending 48 CFR Parts 2, 5, 7, 8, 9, 
    12, 13, 16, 17, 19, 22, 32, 33, 34, 37, 38, 39, 45, 46, 51, 52, and 53, 
    which was published at 61 FR 41467, August 8, 1996, is adopted as a 
    final rule with the following change:
    
    PART 2--DEFINITIONS OF WORDS AND TERMS
    
        1. The authority citation for 48 CFR Part 2 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).
    
    
    [[Page 64915]]
    
    
        2. Section 2.101 is amended in the definition of ``Information 
    technology'' by revising paragraph (c) to read as follows:
    
    
    2.101  Definitions.
    
    * * * * *
        Information technology * * *
    * * * * *
        (c) The term information technology does not include--
        (1) Any equipment that is acquired by a contractor incidental to a 
    contract; or
        (2) Any equipment that contains imbedded information technology 
    that is used as an integral part of the product, but the principal 
    function of which is not the acquisition, storage, manipulation, 
    management, movement, control, display, switching, interchange, 
    transmission, or reception of data or information. For example, HVAC 
    (heating, ventilation, and air conditioning) equipment such as 
    thermostats or temperature control devices, and medical equipment where 
    information technology is integral to its operation, are not 
    information technology.
    * * * * *
    [FR Doc. 97-31815 Filed 12-8-97; 8:45 am]
    BILLING CODE 6820-EP-P
    
    
    

Document Information

Effective Date:
2/9/1998
Published:
12/09/1997
Department:
National Aeronautics and Space Administration
Entry Type:
Rule
Action:
Interim rule adopted as final with change.
Document Number:
97-31815
Dates:
February 9, 1998.
Pages:
64914-64915 (2 pages)
Docket Numbers:
FAC 97-03, FAR Case 96-319, Item II
RINs:
9000-AH75
PDF File:
97-31815.pdf
CFR: (15)
48 CFR 2
48 CFR 5
48 CFR 7
48 CFR 8
48 CFR 9
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