[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]
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