[Federal Register Volume 64, Number 30 (Tuesday, February 16, 1999)]
[Proposed Rules]
[Page 7736]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-3615]
[[Page 7735]]
_______________________________________________________________________
Part V
Department of Defense
General Services Administration
National Aeronautics and Space Administration
_______________________________________________________________________
48 CFR Parts 47 and 52
Federal Acquisition Regulation; Contractor Liability for Loss of and/or
Damages to Household Goods; Proposed Rule
Federal Register / Vol. 64, No. 30 / Tuesday, February 16, 1999 /
Proposed Rules
[[Page 7736]]
DEPARTMENT OF DEFENSE
GENERAL SERVICES ADMINISTRATION
NATIONAL AERONAUTICS AND SPACE ADMINISTRATION
48 CFR Parts 47 and 52
[FAR Case 98-603]
RIN 9000-AI28
Federal Acquisition Regulation; Contractor Liability for Loss of
and/or Damages to Household Goods
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 to amend the Federal
Acquisition Regulation (FAR) to standardize the method of calculating
contractor liability for loss of and/or damage to shipments of
household goods to conform to International Through Government Bill of
Lading (ITGBL) procedures.
DATES: Comments should be submitted on or before April 19, 1999 to be
considered in the formulation of a final rule.
ADDRESSES: Interested parties should submit written comments to:
General Services Administration, FAR Secretariat (MVR), Attn: Laurie
Duarte, 1800 F Street, NW, Room 4035, Washington, DC 20405.
E-mail comments submitted over Internet should be addressed to:
farcase.98-603@gsa.gov. Please cite FAR case 98-603 in all
correspondence related to this case.
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 Klein, Procurement Analyst, at (202) 501-
3775. Please cite FAR case 98-603.
SUPPLEMENTARY INFORMATION:
A. Background
This proposed rule amends the clause at FAR 52.247-23 with regard
to the method of calculating contractor liability for loss of and/or
damage to shipments of household goods. Presently, when contracting for
the transportation of household goods, the contracting officer inserts
the FAR clause at 52.247-23, Contractor Liability for Loss of and/or
Damage to Household Goods, in solicitations and contracts. This clause
requires the contractor to indemnify the owner of the goods at a rate
per pound determined to be appropriate to the specific situation. To
provide standardization for liability on shipments of household goods
and a more equitable compensation for loss of individual items that
conforms with commercial industry standards, this rule calculates
liability as found in the ITGBL, at a rate of $5.00 per pound times the
total net shipment weight.
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.
B. Regulatory Flexibility Act
This proposed rule is not 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 rule
merely standardizes the method calculating contractor liability for
lost or damaged goods to conform with corporate practice offered to
national accounts today. An Initial Regulatory Flexibility Analysis
has, therefore, not been performed. Comments from small entities
concerning the affected FAR subpart will be considered in accordance
with 5 U.S.C. 610 of the Act. Such comments must be submitted
separately and should cite 5 U.S.C. 601, et seq. (FAR case 98-603), in
correspondence.
C. Paperwork Reduction Act
The Paperwork Reduction Act does not apply because the proposed
changes to the FAR do not impose information collection requirements
that 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 47 and 52
Government procurement.
Dated: February 8, 1999.
Edward C. Loeb,
Director, Federal Acquisition Policy Division.
Therefore, it is proposed that 48 CFR Parts 47 and 52 be amended as
set forth below:
1. The authority citation for 48 CFR Parts 47 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 47--TRANSPORTATION
2. Section 47.207-7 is amended by revising paragraph (e) to read as
follows:
47.207-7 Liability and insurance.
* * * * *
(e) The contracting officer shall insert the clause at 52.247-23,
Contractor Liability for Loss of and/or Damage to Household Goods, in
solicitations and contracts for the transportation of household goods.
The contracting officer may decide to revise paragraph (c) of the
clause by stipulating the rate of liability using the metric equivalent
in local currency in lieu of U.S. dollars and pound weight.
* * * * *
PART 52--SOLICITATION PROVISIONS AND CONTRACT CLAUSES
3. Section 52.247-23 is amended by revising the clause date and
paragraph (c) to read as follows:
52.247-23 Contractor Liability for Loss of and/or Damage to Household
Goods.
* * * * *
Contractor Liability for Loss of and/or Damage to Household Goods
(Date)
* * * * *
(c) The Contractor shall be liable at a rate of $5.00 per pound
times the total net shipment weight.
[FR Doc. 99-3615 Filed 2-12-99; 8:45 am]
BILLING CODE 6820-EP-P
