98-16111. Federal Acquisition Circular 97-05; Introduction  

  • [Federal Register Volume 63, Number 119 (Monday, June 22, 1998)]
    [Rules and Regulations]
    [Pages 34058-34059]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 98-16111]
    
    
    
    [[Page 34057]]
    
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    Part III
    
    
    
    
    
    Department of Defense
    
    
    
    
    
    General Services Administration
    
    
    
    
    
    National Aeronautics and Space Administration
    
    
    
    
    
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    48 CFR Chapter 1
    
    
    
    Federal Acquisition Regulation (FAR); Final Rule
    
    Federal Register / Vol. 63, No. 119 / Monday, June 22, 1998 / Rules 
    and Regulations
    
    [[Page 34058]]
    
    
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    DEPARTMENT OF DEFENSE
    
    GENERAL SERVICES ADMINISTRATION
    
    NATIONAL AERONAUTICS AND SPACE ADMINISTRATION
    
    48 CFR Chapter 1
    
    
    Federal Acquisition Circular 97-05; Introduction
    
    AGENCIES: Department of Defense (DoD), General Services Administration 
    (GSA), and National Aeronautics and Space Administration (NASA).
    
    ACTION: Summary presentation of final and interim rules, and technical 
    amendments and corrections.
    
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    SUMMARY: This document summarizes the Federal Acquisition Regulation 
    (FAR) rules issued by the Civilian Agency Acquisition Council and the 
    Defense Acquisition Regulations Council in this Federal Acquisition 
    Circular (FAC) 97-05. A companion document, the Small Entity Compliance 
    Guide (SECG), follows this FAC. The FAC, including the SECG, may be 
    located on the Internet at http://www.arnet.gov/far.
    
    DATES: For effective dates and comment dates, see separate documents 
    which follow.
    
    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 the analyst whose name appears in the table below in 
    relation to each FAR case or subject area. Please cite FAC 97-05 and 
    specific FAR case number(s). Interested parties may also visit our 
    website at http://www.arnet.gov/far.
    
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         Item             Subject            FAR case           Analyst     
    ------------------------------------------------------------------------
    I............  Subcontract Consent.           95-011  Klein.            
    II...........  Availability of                97-034  DeStefano.        
                    Specifications.                                         
    III..........  Liquidated Damages..    89-042/97-300  Moss.             
    IV...........  Limits on Fee for              97-042  DeStefano.        
                    Cost-Plus-Incentive-                                    
                    Fee and Cost-Plus-                                      
                    Award-Fee Contracts.                                    
    V............  Rehabilitation Act,            96-610  O'Neill.          
                    Workers With                                            
                    Disabilities                                            
                    (Interim).                                              
    VI...........  Trade Agreements               97-044  Linfield.         
                    Thresholds.                                             
    VII..........  Restrictions on                97-301  Linfield.         
                    Purchases from                                          
                    Sudan.                                                  
    VIII.........  Software Copyrights.           97-614  O'Neill.          
    IX...........  Travel Reimbursement           97-007  Nelson.           
    X............  No-Cost Value                  96-011  Klein.            
                    Engineering Change                                      
                    Proposals (Interim).                                    
    XI...........  Technical                                                
                    Amendments.                                             
    XII..........  Availability of FAR                                      
                    via Internet.                                           
    ------------------------------------------------------------------------
    
    SUPPLEMENTARY INFORMATION: Summaries for each FAR rule follow. For the 
    actual revisions and/or amendments to these FAR cases, refer to the 
    specific item number and subject set forth in the documents following 
    these item summaries.
        Federal Acquisition Circular 97-05 amends the Federal Acquisition 
    Regulation (FAR) as specified below:
    
    Item I--Subcontract Consent (FAR Case 95-011)
    
        This final rule amends FAR Parts 4, 22, 35, 36, 44, and 52 to 
    reduce requirements for consent to subcontract. The rule eliminates 
    consent requirements for contractors that have an approved purchasing 
    system, except when specific contracts requiring consent are identified 
    by the contracting officer; eliminates consent requirements for fixed-
    price incentive contracts and fixed-price redeterminable contracts; and 
    increases, to the simplified acquisition threshold, the dollar level at 
    which consent requirements are included in time-and-materials, labor-
    hour, and letter contracts.
    
    Item II--Availability of Specifications (FAR Case 97-034)
    
        This final rule amends FAR Parts 9 and 11 and the provisions at 
    52.211-1, 52.211-2, and 52.212-1 to update addresses and other 
    information regarding the availability of specifications, standards, 
    and item descriptions that may be cited in Government solicitations and 
    contracts. In addition, the rule clarifies the pricing policy regarding 
    specifications, standards, and commercial item descriptions issued by 
    GSA.
    
    Item III--Liquidated Damages (FAR Cases 89-042 and 97-300)
    
        This final rule amends FAR Parts 11, 19, 52, and 53 to clarify 
    policy on liquidated damages and commercial subcontracting plans 
    pertaining to requirements for subcontracting with small, small 
    disadvantaged, and women-owned small business concerns. The rule 
    implements Section 304 of the Business Opportunity Development Reform 
    Act of 1988 (Pub. L. 100-656) and OFPP Policy Letter 95-1, 
    Subcontracting Plans for Companies Supplying Commercial Items. The 
    interim rule published in FAC 84-50, FAR case 89-042, 54 FR 30708, July 
    21, 1989, has been merged with this final rule.
    
    Item IV--Limits on Fee for Cost-Plus-Incentive-Fee and Cost-Plus-
    Award-Fee Contracts (FAR Case 97-042)
    
        This final rule amends FAR Part 16 to clarify fee limitations 
    pertaining to cost-reimbursement contracts. The FAR Part 15 rewrite in 
    FAC 97-02 eliminated non-statutory fee limitations for cost-plus-
    incentive-fee and cost-plus-award-fee contracts. This final rule makes 
    conforming changes to FAR Part 16.
    
    Item V--Rehabilitation Act, Workers With Disabilities (FAR Case 96-
    610)
    
        This interim rule amends FAR Subpart 22.14 and the clauses at 
    52.212-5 and 52.222-36 to implement revised Department of Labor 
    regulations regarding affirmative action to employ and advance in 
    employment qualified individuals with disabilities. The dollar 
    threshold for use of the clause at 52.222-36 has been increased from 
    $2,500 to $10,000.
    
    Item VI--Trade Agreements Thresholds (FAR Case 97-044)
    
        This final rule amends FAR Part 25 to implement revised thresholds 
    for application of the Trade Agreements Act and the North American Free 
    Trade Agreement, as published by the Office of the United States Trade 
    Representative in the Federal Register on January 14, 1998 (63 FR 
    2295).
    
    Item VII--Restrictions on Purchases from Sudan (FAR Case 97-301)
    
        This final rule amends FAR 25.701 and the clause at 52.225-11 to 
    add Sudan to the list of countries whose products are banned from 
    importation into the United States. This rule implements Executive 
    Order 13067, dated November 3, 997.
    
    [[Page 34059]]
    
    Item VIII--Software Copyrights (FAR Case 97-614)
    
        This final rule amends FAR 27.405 to add contracts for certain 
    computer software programs to the list of examples of contracts for 
    special works to which the Government may obtain copyrights.
    
    Item IX--Travel Reimbursement (FAR Case 97-007)
    
        The interim rule published as Item IX of FAC 97-03 is converted to 
    a final rule without change. The rule amends FAR 31.205-46 to increase 
    from $25.00 to $75.00 the threshold at which contractor personnel must 
    provide a receipt to support travel expenditures.
    
    Item X--No-Cost Value Engineering Change Proposals (FAR Case 96-
    011)
    
        This interim rule revises FAR 48.104-3 to clarify that no-cost 
    value engineering change proposals (VECPs) may be used when, in the 
    contracting officer's judgment, reliance on other VECP approaches 
    likely would not be more cost-effective, and the no-cost settlement 
    would provide adequate consideration to the Government.
    
    Item XI--Technical Amendments
    
        Amendments are being made at FAR 5.201(b)(2), 8.404(a), 31.002, and 
    45.607-2(b) to update references and make editorial changes.
    
    Item XII--Availability of FAR via Internet
    
        The FAR, along with Federal Acquisition Circulars and other 
    informational items, is available on the Internet at http://
    www.arnet.gov/far.
    
        Dated: June 11, 1998.
    Edward C. Loeb,
    Director, Federal Acquisition Policy Division.
    June 22, 1998.
        Federal Acquisition Circular (FAC) 97-05 is issued under the 
    authority of the Secretary of Defense, the Administrator of General 
    Services, and the Administrator for the National Aeronautics and Space 
    Administration.
        Unless otherwise specified, all Federal Acquisition Regulation 
    (FAR) and other directive material contained in FAC 97-05 are effective 
    August 21, 1998, except for Items V, X, and XI, which are effective 
    June 22, 1998.
    
        Dated: June 11, 1998.
    Eleanor R. Spector,
    Director, Defense Procurement.
    
        Dated: June 11, 1998.
    Ida M. Ustad,
    Deputy Associate Administrator, Office of Acquisition Policy, General 
    Services Administration.
    
        Dated: June 10, 1998.
    Tom Luedtke,
    Deputy Associate Administrator for Procurement, National Aeronautics 
    and Space Administration.
    [FR Doc. 98-16111 Filed 6-19-98; 8:45 am]
    BILLING CODE 6820-EP-P
    
    
    

Document Information

Published:
06/22/1998
Department:
National Aeronautics and Space Administration
Entry Type:
Rule
Action:
Summary presentation of final and interim rules, and technical amendments and corrections.
Document Number:
98-16111
Dates:
For effective dates and comment dates, see separate documents which follow.
Pages:
34058-34059 (2 pages)
PDF File:
98-16111.pdf
CFR: (1)
48 CFR None