94-2678. General Services Administration Acquisition Regulation: Discontinuing Paper Orders  

  • [Federal Register Volume 59, Number 25 (Monday, February 7, 1994)]
    [Unknown Section]
    [Page 0]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 94-2678]
    
    
    [[Page Unknown]]
    
    [Federal Register: February 7, 1994]
    
    
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    GENERAL SERVICES ADMINISTRATION
    
    48 CFR Parts 516 and 552
    
    [GSA Notice 5-381]
    
     
    
    General Services Administration Acquisition Regulation: 
    Discontinuing Paper Orders
    
    AGENCY: Office of Acquisition Policy, GSA.
    
    ACTION: Proposed rule.
    
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    SUMMARY: This notice invites written comments on a proposed change to 
    the General Services Administration Acquisition Regulation (GSAR), that 
    would revise the clause at 552.216-73, Placement of Orders, to provide 
    for the placement of orders through computer-to-computer Electronic 
    Data Interchange (EDI) or by an alternative method employing facsimile 
    transmission if computer-to-computer EDI is not possible and to 
    prescribe a new clause describing ordering information a contractor 
    should provide to the contracting officer.
    
    DATES: Comments are due in writing on or before March 9, 1994.
    
    ADDRESSES: Comments should be addressed to the GSA Desk Officer, Room 
    3235, NEOB, Washington, DC 20503 and to Ms. Marjorie Ashby, General 
    Services Administration, Office of GSA Acquisition Policy, 18th and F 
    Streets NW., Washington, DC 20405.
    
    FOR FURTHER INFORMATION CONTACT:
    Paul Linfield, Office of GSA Acquisition Policy (202) 501-1224.
    
    SUPPLEMENTARY INFORMATION:
    
    A. Background
    
        On January 22, 1993, the Federal Supply Service (FSS) published 
    notice in the Federal Register (58 FR 5731) of its intent after October 
    1, 1993, to discontinue issuing paper deliver orders in favor of 
    electronic distribution of delivery orders under stock, special order 
    program, and schedule contracts. This change to the GSAR revises the 
    clause at 552.216-73, Placement of Orders, to provide for placement of 
    orders through computer-to-computer Electronic Data Interchange (EDI) 
    or by an alternative method employing facsimile transmission if 
    computer-to-computer EDI is not possible. Other agencies, if authorized 
    to directly place delivery orders under a GSA contract, may continue to 
    mail paper orders. The change also prescribes a new clause describing 
    ordering information a contractor should provide to the contracting 
    officer.
    
    B. Executive Order 12866-
    
        This rule was submitted to and approved by the Office of Management 
    and Budget (OMB) in accordance with Executive Order 12866, Regulatory 
    Planning and Review.
    
    C. Regulatory Flexibility Act
    
        An initial regulatory flexibility analysis has been prepared and 
    submitted to the Acting Chief Counsel for Advocacy of the Small 
    Business Administration. Copies of the initial regulatory flexibility 
    analysis are available from the office identified above. The initial 
    regulatory flexibility analysis indicates that the proposed rule will 
    affect contractors, including small businesses under FSS solicitations 
    issued under its Stock, Special Order, and Multiple Award Schedule 
    Programs. In FY 1993 more than 850 solicitations were issued and 
    approximately 35,000 offers were received. Approximately 75 percent 
    were received from small business concerns. On January 22, 1993, FSS 
    published a notice of intent to discontinue placing paper delivery 
    orders (58 FR 5731) and invited public comment. Of the 70 comments 
    received there were five received from small businesses that expressed 
    concern about the effect of the policy on small business. One stated it 
    personally would not be affected and a second indicated the policy 
    would impose some inconvenience as it currently had no computer or FAX 
    capability. Three expressed concern over their ability to continue to 
    be Government suppliers as they currently had neither a EDI compatible 
    computer or facsimile machine.
    
    D. Paperwork Reduction Act
    
        The information collection requirements contained in this proposed 
    rule have been submitted to the Office of Management and Budget for 
    approval. Comments on the information collection requirements may be 
    directed to the Office of Information and Regulatory Affairs of OMB, 
    Attention: Desk Officer for GSA, Washington, DC 20503. The title of one 
    of the information collections is ``GSAR 552.216-73, Placement of 
    Orders,'' used in GSA's Federal Supply Services' (FSS's) Stock, Special 
    Order, and Schedule Programs. FSS intends to maximize the use of 
    computer-to-computer electronic data interchange (EDI) to place 
    delivery orders. To accomplish computer-to-computer EDI, a company will 
    have to enter into a Trading Partner Agreement (TPA) with FSS (as an 
    alternative, a contractor can receive delivery orders through facsimile 
    transmission). This extended use of EDI furthers congressional and 
    executive branch policies that Federal agencies provide leadership in 
    advancing environmental objectives through technology and the expanded 
    use of electronic commerce.
        FSS anticipates entering into 400 TPA's with contractors, an 
    expansion of the information collection currently approved under OMB 
    Control No. 3090-0248. The same protocols apply to a contractor's 
    commercial activity. Consequently, if it currently uses electronic 
    commerce for its commercial activity, the total burden is the time it 
    takes to sign and submit its current protocols. Otherwise, it is 
    estimated that it would take approximately one hour for a contractor to 
    develop the necessary protocols. Based upon one hour per respondent, 
    the additional burden to the public will be 400 hours. The title of the 
    second information collection is 552.216-74, Ordering Information. This 
    information collection requires offerors to identify their 
    representative who is familiar with establishing EDI interfaces; 
    telephone numbers of facsimile equipment, if computer-to-computer EDI 
    is not practicable; and postal mailing addresses, if delivery orders 
    are mailed. It is estimated that it will take an average of one-half 
    hour to develop this information.
        Based upon one-half hour per respondent and approximately 35,000 
    respondents, the additional burden will be 17,500 hours.
    
    List of Subjects in 48 CFR Parts 516 and 552
    
        Government procurement.
    
        Accordingly, it is proposed to amend 48 CFR parts 516 and 552 as 
    follows:
        1. The authority citation for 48 CFR parts 516 and 552 continues to 
    read as follows:
    
    
        Authority: 40 U.S.C. 486(c).
    
    PART 516--TYPES OF CONTRACTS
    
        2. Section 516.505 is revised to read as follows:
    
    
    516.505  Contract clauses.
    
        (a) The contracting officer shall insert the clause at 552.216-73, 
    Placement of Orders, in solicitations and contracts for stock or 
    special order program items when the contract authorizes agencies other 
    than FSS to issue delivery orders. If only FSS will issue delivery 
    orders under any of its supply programs, use Alternate I. If a Federal 
    Supply Schedule contract (single or multiple award) permits other 
    agencies to issue delivery orders, use Alternate II.
        (b) The contracting officer shall insert the provision at 552.216-
    74, Ordering Information, in solicitations for stock items and in other 
    Federal Supply Service solicitations when FSS alone will issue delivery 
    orders. If the contract will authorize paper delivery orders, use 
    Alternate I. If a Federal Supply Multiple Award Schedule contract 
    permitting other agencies to issue delivery orders is contemplated, use 
    Alternate II.
        3. Section 552.216-73 is revised to read as follows:
    
    
    552.216-73  Placement of orders.
    
        As prescribed in 516.505(a), insert the following clause:
    
    Placement of Orders (XXX 1993)
    
        (a) Delivery orders (orders) will be placed by:
    
    [Contracting Officer insert names of Federal agencies]
    
        (b) Orders may be placed through Electronic Data Interchange 
    (EDI) or mailed in paper form. EDI orders shall be placed using the 
    American National Standards Institute (ANSI) X12 Standard for 
    Electronic Data Interchange (EDI) format.
        (c) GSA's Federal Supply Service (FSS), if specified in 
    paragraph (a) above, will place all orders by EDI using computer-to-
    computer EDI, whenever possible. If computer-to-computer EDI is not 
    possible, an alternative method allowing the Contractor to receive 
    orders by facsimile transmission will be used. Subject to the 
    Contractor's agreement, other agencies may place orders by EDI.
        (d) When computer-to-computer EDI procedures will be used to 
    place orders, the Contractor shall enter into one or more Trading 
    Partner Agreements (TPA) with each Federal agency placing orders 
    electronically in order to ensure mutual understanding by the 
    parties of certain electronic transaction conventions and to 
    recognize the rights and responsibilities of the parties as they 
    apply to this method of placing orders. The TPA must identify, among 
    other things, the third party provider(s) through which electronic 
    orders are placed, the transaction sets used, security procedures, 
    and guidelines for implementation.
        (e) The Contractor shall be responsible for providing its own 
    hardware and software necessary to transmit and receive data 
    electronically. Additionally, each party to the TPA shall be 
    responsible for the costs associated with its use of third party 
    provider services.
        (f) Nothing in the TPA will invalidate any part of this contract 
    between the Contractor and the General Services Administration. All 
    terms and conditions of this contract that otherwise would be 
    applicable to a mailed order shall apply to the electronic order.
        (g) The basic content and format of the TPA will be provided by: 
    General Services Administration, Systems Inventory and Operations 
    Management Center (FCS), Washington, DC 20406, Telephone: 
    [Contracting Officer insert, FAX: appropriate telephone numbers]
        Alternate I (XXX 1993). As prescribed in 516.505(a), substitute 
    the following paragraphs (a), (b), (c), and (d) for paragraphs, (a), 
    (b), (c), and (d), of the basic clause:
        (a) All delivery orders (orders) under this contract will be 
    placed by the General Services Administration's Federal Supply 
    Service (FSS). The Contractor is not authorized to accept orders 
    from any other agency. Violation of this restriction may result in 
    termination of the contract pursuant to the default clause of this 
    contract.
        (b) All orders shall be placed by Electronic Data Interchange 
    (EDI) using the American National Standards Institute (ANSI) X12 
    Standard for Electronic Data Interchange (EDI) format.
        (c) Transmission will be computer-to-computer EDI, whenever 
    possible. If computer-to-computer EDI is not possible, an 
    alternative method allowing the Contractor to receive orders by 
    facsimile transmission will be used.
        (d) When computer-to-computer EDI procedures will be used to 
    place orders, the Contractor shall enter into a Trading Partner 
    Agreement (TPA) with FSS in order to ensure mutual understanding by 
    the parties of certain electronic transaction conventions and to 
    recognize the rights and responsibilities of the parties as they 
    apply to this method of placing orders. The TPA must identify, among 
    other things, the third party provider(s) through which electronic 
    orders are placed, the transaction sets used, security procedures, 
    and guidelines for implementation.
        Alternate II (XXX 1993). As prescribed in 516.505(a), substitute 
    the following paragraph (a) for paragraph (a) of the basic clause:
        (a) Delivery orders under this contract may be placed by either 
    the using Federal agencies or the General Services Administration's 
    Federal Supply Service (FSS).
    
    
        4. Section 552.216-74 is added to read as follows:
    
    
    552.216-74  Ordering Information.
    
        As prescribed in 516.505(b), insert the following provision:
    
    Ordering Information (XXX 1993)
    
        (a) In accordance with the Placement of Orders clause of this 
    solicitation, the offeror elects to receive orders placed by GSA's 
    Federal Supply Service (FSS) by either () facsimile transmission or 
    () computer-to-computer Electronic Data Interchange (EDI).
        (b) An offeror electing to receive computer-to-computer EDI is 
    requested to indicate below the name, address, and telephone number 
    of the representative to be contacted regarding establishment of an 
    EDI interface.
    
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        (c) An offeror electing to receive orders by facsimile 
    transmission is requested to indicate below the telephone number(s) 
    for facsimile transmission equipment where orders should be 
    forwarded.
    
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    (End of Provision)
    
        Alternate I (XXX 1993). As prescribed in 516.505(b), add the 
    following paragraph (d) to the basic provision:
        (d) If the Placement of Orders clause provides for the mailing 
    of orders, the offeror is requested to include the postal mailing 
    address.
    
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        Alternate II (XXX 1993). As prescribed in 516.505(b), add the 
    following paragraphs (d) and (e) to the basic provision:
        (d) For mailed orders, the offeror is requested to include the 
    postal mailing address(es) where paper form orders should be mailed.
    
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        (e) Offerors marketing through dealers are requested to indicate 
    below whether those dealers will be participating in the proposed 
    contract.
    
    Yes (  )        No (  )
    
        If ``yes'' is checked, ordering information to be inserted above 
    shall reflect that in addition to offeror's name, address, and 
    facsimile transmission telephone number, orders can be addressed to 
    the offeror's name, c/o nearest local dealer. In this event, two 
    copies of a list of participating dealers shall accompany this 
    offer, and shall also be included in Contractor's Federal Supply 
    Schedule pricelist.
    
        Dated: November 29, 1993.
    Richard H. Hopf, III,
    Associate Administrator for Acquisition Policy.
    [FR Doc. 94-2678 Filed 2-4-94; 8:45 am]
    BILLING CODE 6820-61-M
    
    
    

Document Information

Published:
02/07/1994
Department:
General Services Administration
Entry Type:
Uncategorized Document
Action:
Proposed rule.
Document Number:
94-2678
Dates:
Comments are due in writing on or before March 9, 1994.
Pages:
0-0 (1 pages)
Docket Numbers:
Federal Register: February 7, 1994, GSA Notice 5-381
CFR: (2)
48 CFR 516
48 CFR 552