[Federal Register Volume 60, Number 140 (Friday, July 21, 1995)]
[Rules and Regulations]
[Pages 37776-37777]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-17937]
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[[Page 37777]]
DEPARTMENT OF DEFENSE
DEPARTMENT OF DEFENSE
GENERAL SERVICES ADMINISTRATION
NATIONAL AERONAUTICS AND SPACE ADMINISTRATION
48 CFR Parts 7, 11, 16, 19, 36, and 41
[FAC 90-30, FAR Case 94-700; Item IV]
RIN 9000-AG25
Federal Acquisition Regulation; Repeal of Requirements for
Secretarial/Agency Head Determinations Regarding Use of Cost Type or
Incentive Contracts
agencies: Department of Defense (DOD), General Services Administration
(GSA), and National Aeronautics and Space Administration (NASA).
action: Final rule.
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summary: The Federal Acquisition Regulatory Council has agreed to adopt
the interim rule published in the Federal Register at 59 FR 64784,
December 15, 1994, as a final rule and to make additional conforming
amendments. This rule is issued pursuant to the Federal Acquisition
Streamlining Act of 1994 to amend the Federal Acquisition Regulation
(FAR) to delete the requirement for a ``determination and findings''
before using a cost type or incentive contract and to delete references
to 10 U.S.C. 2301. This regulatory action was subject to Office of
Management and Budget review under Executive Order 12866, dated
September 30, 1993.
effective date: September 19, 1995.
for further information contact: Ms. Melissa Rider, Contract Award
Team Leader, at (703) 614-1634 in reference to this FAR case. For
general information, contract the FAR Secretariat, Room 4037, GS
Building, Washington, DC 20405 (202) 501-4755. Please cite FAC 90-30,
FAR case 94-700.
SUPPLEMENTARY INFORMATION:
A. Background
The Federal Acquisition Streamlining Act (FASA) of 199, Pub. L.
103-355, provides authorities that streamline the acquisition process
and minimize burdensome Government-unique requirements. Major changes
in the acquisition process as a result of FASA implementation include
changes in the areas of Commercial Item Acquisition, Simplified
Acquisition Procedures, the Truth in Negotiations Act, and introduction
of the Federal Acquisition Computer Network (FACNET).
The interim rule announced FAR revisions developed under FAR case
94-700, Repeal of Requirements for Secretarial/Agency Head
Determinations Regarding Use of Cost Type or Incentive Contracts.
Sections 1021 and 1071 repealed the requirement for a determination
regarding use of a cost type or incentive contract. Section 1501
repealed Section 2301 of Title 10, United States Code. Therefore, the
interim rule revised the FAR to delete the determination requirements
which are no longer necessary and to delete references to 10 U.S.C.
2301. The final rule also amends FAR 16.306(c)(2) to permit contracting
officers to sign determinations and findings that are still required to
establish the basis for application of the statutory price or fee
limitation in cost-plus-fixed-fee contracts.
B. Regulatory Flexibility Act
The Department of Defense, the General Services Administration, and
the National Aeronautics and Space Administration certify that this
final rule will not have a significant economic impact on a substantial
number of small entities under the Regulatory Flexibility Act, 5 U.S.C.
601, et seq., because the changes affect only internal Government
procedures for processing determinations and findings related to cost
type and incentive contracts.
C. Paperwork Reduction Act
The Paperwork Reduction Act does not apply because the 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.
D. Public Comments
Six public comments were received in response to the interim rule.
These comments were considered in the formulation of this final rule.
List of Subjects in 48 CFR Parts 7, 11, 16, 19, 36, and 41
Government procurement.
Dated: July 17, 1995.
Capt. Barry L. Cohen, SC, USN,
Project Manager for the Implementation of the Federal Acquisition
Streamlining Act of 1994.
Interim Rule Adopted as Final
Accordingly, the interim rule amending 48 CFR parts 7, 11, 16, and
19, which was published at 59 FR 64784 on December 15, 1994, is adopted
as a final rule and 48 CFR parts 16, 36, and 41 are amended as follows:
PART 16--TYPES OF CONTRACTS
1. The authority citation for 48 CFR parts 7, 11, 16, 19, 36, and
41 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).
2. Section 16.306 is amended by revising paragraph (c)(2) to read
as follows:
16.306 Cost-plus-fixed-fee Contracts.
* * * * *
(c) * * *
(2) The contracting officer has signed a determination and findings
establishing the basis for application of the statutory price or fee
limitation (see 15.903(d)).
* * * * *
PART 36--CONSTRUCTION AND ARCHITECT-ENGINEERING CONTRACTS
3. Section 36.606 is amended in paragraph (a) by revising the last
sentence to read as follows:
36.606 Negotiations.
(a) * * * Negotiations shall be conducted in accordance with part
15 of this chapter, beginning with the most preferred firm in the final
selection (see 15.903(d)(1)(ii) on fee limitation and the determination
and findings requirement at 16.306(c)(2) for a cost-plus-fixed-fee
contract).
* * * * *
PART 41--ACQUISITION OF UTILITY SERVICES
41.103 [Amended]
4. Section 41.103 is amended in paragraph (a)(2) by removing ``10
U.S.C. 2301, 2304,'' and inserting in its place ``10 U.S.C. 2304''.
[FR Doc. 95-17937 Filed 7-20-95; 8:45 am]
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