[Federal Register Volume 61, Number 96 (Thursday, May 16, 1996)]
[Rules and Regulations]
[Pages 24720-24722]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-12198]
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GENERAL SERVICES ADMINISTRATION
48 CFR Part 570
[APD 2800.12A, CHGE 71]
RIN 3090-AF92
General Services Administration Acquisition Regulation;
Acquisition of Leasehold Interests in Real Property
AGENCY: Office of Acquisition Policy, GSA.
ACTION: Interim rule.
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SUMMARY: The General Services Administration Acquisition Regulation
(GSAR) is amended to revise sections 570.106 and 570.303 to authorize
the use of design-build selection procedures in section 303M of the
Federal Property and Administrative Services Act of 1949, as amended by
Pub. L. 104-106, February 10, 1996, for lease construction projects
when the statutory criteria for use are met.
DATES: Effective Date: May 16, 1996.
Comment Date: Comments should be submitted in writing to the
address shown below on or before July 15, 1996 to be considered in
formulating the final rule.
ADDRESSES: Interested parties should submit written comments to the
Office of Acquisition Policy (MV), General Services Administration,
Room 4010, 18th & F Streets, NW, Washington, DC 20405.
FOR FURTHER INFORMATION CONTACT: Tom Wisnowski, GSA Acquisition Policy
Division, (202) 501-1224.
SUPPLEMENTARY INFORMATION:
A. Determination To Issue an Interim Rule
A determination has been made under the authority of the
Administrator of General Services that urgent and compelling reasons
exist to publish an interim rule prior to affording the public
opportunity for comment.
Section 4105 of Public Law 104-106 amended the Federal Property and
Administrative Services Act of 1949 to add a new section 303M on
design-build selection procedures. The law authorizes use of two-phase
selection
[[Page 24721]]
procedures for entering into a contract for the design and construction
of a public building, facility or work when certain criteria for use
are met. GSA has made a determination that the new authority may be
used for a contract for the design and construction of a building,
facility or work for lease to the Government.
The new two-phase selection process substantially reduces the cost
and time involved in such procurements for offerors and for the
Government. In the current environment of downsizing, it is critical
for both industry and Government to enhance the efficiency of the
contracting process.
Urgent and compelling reasons exist to make this rule effective
prior to full consideration of public comments. Proceeding with this
interim rule is required to permit GSA to take advantage of the
opportunity to use a more efficient contracting process for space
requirements that are currently pending and cannot be delayed, and to
cope with the continued downsizing of GSA and its customer agencies.
This interim rule only applies to the use of the new two-phase
selection process in the context of leases of real property. The
Federal Acquisition Regulation (FAR) will address the use of the
authority for direct Federal construction.
All public comments received in response to this interim rule will
be fully considered in formulating the final rule.
B. Executive Order 12866
This rule is not a significant rule as defined in Executive Order
12866.
This rule was submitted to the Office of Management and Budget
under Executive Order 12866, Regulatory Planning and Review.
C. Regulatory Flexibility Act
This interim rule is not expected to have a significant 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 will
apply to a very small number of leases per year (less than 25) and the
rule simplifies procedures and reduces the cost of competing in the
initial phases of a procurement. Therefore, the rule should have a
positive impact.
An Initial Regulatory Flexibility Analysis (IRFA) has been prepared
and may be obtained from the address stated above. A copy of the IRFA
has been submitted to the Chief Counsel for Advocacy of the Small
Business Administration. Comments from small entities will be
considered in accordance with Section 610 of the Act.
D. Paperwork Reduction Act
The Paperwork Reduction Act does not apply because the changes to
the GSAR do not impose recordkeeping or information collection
requirements, or otherwise collect information from offerors,
contractors or members of the public that require approval of the
Office of Management and Budget under 44 U.S.C. 3501, et seq.
E. Small Business Regulatory Enforcement Fairness Act of 1996
This rule is not a major rule under 5 U.S.C. 804. This rule was
submitted to Congress and GAO under 5 U.S.C. 804.
List of Subjects in 48 CFR Part 570
Government procurement.
Accordingly, 48 CFR 570 is amended as follows:
PART 570--ACQUISITION OF LEASEHOLD INTERESTS IN REAL PROPERTY
1. The authority citation for 48 CFR 570 continues to read as
follows:
Authority: 40 U.S.C. 486(c).
2. Section 570.106 is amended by adding paragraph (c) to read as
follows:
570.106 Methods of contracting.
* * * * *
(c) The design-build selection procedures in section 303M of the
Federal Property and Administrative Services Act of 1949, as amended,
may be used for lease construction projects, including lease
construction projects with options to purchase the real property
leased. The design-build selection procedures may be used when the
lease involves the design and construction of a public building,
facility or work for lease to the Government if the contracting officer
makes a determination that:
(1) Three or more offers are likely to be received,
(2) Design work must be performed before an offeror can develop a
price or cost proposal, and
(3) The offeror will incur a substantial amount of expense in
preparing the offer.
3. Section 570.303 is amended by revising paragraph (a)(7), by
deleting paragraph (a)(8) and redesignating paragaphs (a)(9) and
(a)(10) as (a)(8) and (a)(9) to read as follows:
570.303 Solicitation for offers (SFO).
(a) * * *
(7) Describe the source selection procedures to be used.
(i) Unless the design-build selection procedures are being used as
authorized by 570.106(c), the solicitation must either:
(A) State that award will be made to the offeror that meets the
SFO's minimum requirements at the lowest cost or price, or
(B) Identify all factors, including price or cost, and any
significant subfactors that will be considered in awarding the lease
and state the relative importance the Government places on those
evaluation factors and subfactors. In describing the evaluation factors
to be considered, the SFO shall clearly disclose whether all evaluation
factors other than cost or price when combined, are significantly more
important than cost or price, approximately equal in importance to cost
or price, or significantly less important than cost or price. Numerical
weights, which may be employed in the evaluation of proposals, need not
be disclosed in the solicitation. The SFO must inform offerors of
minimum requirements that apply to the procurement. The other factors
that will be considered in evaluating proposals should be tailored to
each acquisition and include only those factors that will have an
impact on the award decision. The evaluation factors that apply to an
acquisition and the relative importance of those factors are within the
broad discretion of the contracting officer. However, price or cost to
the Government must be included as an evaluation factor in every case.
(ii) When the design-build selection procedures are being used as
authorized by 570.106(c), the solicitation must
(A) Identify the evaluation factors and subfactors to be used in
evaluating phase-one proposals and indicate their relative importance,
(B) State the maximum number of offerors that are to be selected to
submit competitive proposals in phase-two, and
(C) Identify the evaluation factors and subfactors, including cost
or price, to be used in evaluating phase-two proposals and selecting
the successful offeror. Evaluation factors to be used in evaluating
phase-one proposals must be stated in the solicitation. Phase-one
factors include specialized experience and technical competence,
capability to perform, past performance of the offeror's team
(including the architect-engineer and construction members of the team)
and other appropriate factors, such as site or location. In phase-one,
offerors will not be required to submit detailed design information or
cost or price information and use of cost related or price related
evaluation factors is not permitted. The maximum number of
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offerors to be selected for phase-two must not exceed 5 unless the
contracting officer determines that specifying a number greater than 5
is in the Government's interest and is consistent with the purpose and
objectives of the two-phase selection process. For phase-two the
solicitation should identify all factors, including price or cost, and
any significant subfactors that will be considered in awarding the
lease and state the relative importance the Government places on those
evaluation factors and subfactors and otherwise comply with paragraph
(a)(7)(i) of this section.
* * * * *
Dated: May 10, 1996.
Ida M. Ustad,
Deputy Associate Administrator for Acquisition Policy.
[FR Doc. 96-12198 Filed 5-15-96; 8:45 am]
BILLING CODE 6820-61-P
