94-8145. Federal Acquisition Regulation; InsuranceLiability to Third Persons  

  • [Federal Register Volume 59, Number 66 (Wednesday, April 6, 1994)]
    [Unknown Section]
    [Page 0]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 94-8145]
    
    
    [[Page Unknown]]
    
    [Federal Register: April 6, 1994]
    
    
    
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    48 CFR Parts 28 and 52
    
    [FAR Case 92-14]
    
     
    
    Federal Acquisition Regulation; Insurance--Liability to Third 
    Persons
    
    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 delete the 
    prescriptive language in the Federal Acquisition Regulation (FAR), 
    particularly at ``Solicitation provision and contract clause on 
    liability insurance under cost-reimbursement contracts''. This 
    regulatory action was not subject to Office of Management and Budget 
    review pursuant to Executive Order No. 12866 dated September 30, 1993.
    
    DATES: Comments should be submitted on or before June 6, 1994 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 92-14 in all correspondence related to this 
    case.
    
    FOR FURTHER INFORMATION CONTACT:
    Mr. Edward Loeb at (202) 501-4547 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 
    92-14.
    
    SUPPLEMENTARY INFORMATION:
    
    A. Background
    
        The FAR language proposed for deletion at 28.311-1 applies only to 
    cost-reimbursement contracts for research and development awarded to 
    state agencies or charitable institutions that claim partial or total 
    immunity from tort liability. For these entities, Alternates I and II 
    of 52.228-7, Insurance--Liability to Third Persons, limit the 
    contract's insurance requirements and the Government's obligation to 
    indemnify for third party liability. The Councils believe that the 
    current language is obsolete.
    
    B. Regulatory Flexibility Act
    
        The 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 
    language proposed for deletion applies only to cost-reimbursement 
    contracts for research and development that are awarded to entities 
    which, by virtue of their status as either an agency of the state or as 
    a charitable institution, claim partial or total immunity from tort 
    liability under such contracts. These entities are believed to be few 
    in number. An Initial Regulatory Flexibility Analysis has, therefore, 
    not been performed. Comments from small entities concerning the 
    affected FAR subpart will also be considered in accordance with section 
    610 of the Act. Such comments must be submitted separately and should 
    cite 5 U.S.C. 601, et seq. (FAR case 92-14), 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 28 and 52
    
        Government procurement.
    
        Dated: March 30, 1994.
    Albert A. Vicchiolla,
    Director, Office of Federal Acquisition Policy.
    
        Therefore, it is proposed that 48 CFR parts 28 and 52 be amended as 
    set forth below:
        1. The authority citation for 48 CFR parts 28 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 28--BONDS AND INSURANCE
    
    
    28.311-1  [Removed and redesignated]
    
        2. Section 28.311-1 is removed.
    
    
    28.311-2  [Redesignated and amended]
    
        3. Section 28.311-2 is redesignated as section 28.311-1 and amended 
    by removing the last two sentences.
    
    
    28.311-3  [Redesignated]
    
        4. Section 28.311-3 is redesignated as section 28.311-2.
    
    PART 52--SOLICITATION PROVISIONS AND CONTRACT CLAUSES
    
    
    52.228-6  [Removed and reserved]
    
        5. Section 52.228-6 is removed and reserved.
    
    
    52.228-7  [Amended]
    
        6. Section 52.228-7 is amended in the introductory paragraph by 
    removing the citation ``28.311-2'' and inserting in its place ``28.311-
    1''; in paragraph (a)(1) of the clause by removing the words ``or in 
    paragraph (h) of this clause (if the clause has a paragraph (h)),''; in 
    paragraph (c) introductory text by removing the words ``Except as 
    provided in paragraph (h) of this clause (if the clause has a paragraph 
    (h)), the'' and inserting in its place the word ``The''; and by 
    removing Alternates I and II at the end of the clause.
    
    
    52.245-7  [Amended]
    
        7. Section 52.245-7 is amended in the first sentence of paragraph 
    (j) by removing the words ``in the clause at FAR 52.228-6, Insurance--
    Liability to Third Persons, or''.
    
    
    52.245-10  [Amended]
    
        8. Section 52.245-10 is amended in the first sentence of paragraph 
    (f) by removing the words ``in the clause at FAR 52.228-6, Insurance--
    Liability to Third Persons or''.
    
    [FR Doc. 94-8145 Filed 4-5-94; 8:45 am]
    BILLING CODE 6820-34-M
    
    
    

Document Information

Published:
04/06/1994
Entry Type:
Uncategorized Document
Action:
Proposed rule.
Document Number:
94-8145
Dates:
Comments should be submitted on or before June 6, 1994 to be considered in the formulation of a final rule.
Pages:
0-0 (1 pages)
Docket Numbers:
Federal Register: April 6, 1994, FAR Case 92-14
CFR: (2)
48 CFR 28
48 CFR 52