[Federal Register Volume 61, Number 145 (Friday, July 26, 1996)]
[Rules and Regulations]
[Pages 39224-39226]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-18513]
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DEPARTMENT OF DEFENSE
GENERAL SERVICES ADMINISTRATION
NATIONAL AERONAUTICS AND SPACE ADMINISTRATION
48 CFR Chapter 1
Federal Acquisition Regulation; Small Entity Compliance Guide
AGENCIES: Department of Defense (DOD), General Services Administration
(GSA), and National Aeronautics and Space Administration (NASA).
ACTION: Small Entity Compliance Guide.
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summary: This document is issued under the joint authority of the
Secretary of Defense, the Administrator of General Services and the
Administrator for the National Aeronautics and Space Administration as
the Federal Acquisition Regulation (FAR) Council. This Small Entity
Compliance Guide has been prepared in accordance with Section 212 of
the Small Business Regulatory Enforcement Fairness Act of 1996 (Public
Law 104-121). It consists of a summary of rules appearing in Federal
Acquisition Circular (FAC) 90-40 which amend the FAR. The rules marked
with an asterisk (*) are those for which a final regulatory flexibility
analysis has been prepared in accordance with 5 U.S.C. 604. Further
information regarding these rules may be obtained by referring to FAC
90-40 which precedes this notice. This document may be obtained from
the Internet at http://www.gsa.gov/far/compliance.
for further information contact: Beverly Fayson, FAR Secretariat, (202)
501-4755.
List of Rules in FAC 90-40
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Item Subject FAR case
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I................ Contingent Fee Representation........... 93-009
II............... Simplified Acquisition Threshold/Federal *94-770 *94-
Acquisition Computer Network; and Micro- 771
Purchase Procedures.
III.............. Gratuities.............................. 96-300
IV............... Disaster Relief Act..................... 93-303
V................ Responsibility Determinations........... 95-007
VI............... Task and Delivery Orders................ *94-711
VII.............. Multiyear Contracting................... *94-712
VIII............. Small Business/Simplified Acquisition *94-782
Threshold.
IX............... Indian-Owned Economic Enterprises....... *91-028
X................ General Agreement on Tariffs and Trade 95-308
Patent Authorization.
XI............... Performance and Payment Bonds........... 91-027
XII.............. Employee Compensation Costs............. 93-005
XIII............. Agency Procurement Protests............. 95-309
XIV.............. Value Engineering....................... 96-315
XV............... Termination Inventory Schedules......... *94-003
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[[Page 39225]]
Item I--Contingent Fee Representation (FAR Case 93-009)
This final rule amends FAR Subpart 3.4 to remove the requirement
for prospective contractors to provide certain information regarding
contingent fee arrangements. Accordingly, the provision at 52.203-4,
Contingent Fee Representation and Agreement, and Standard Form 119,
Statement of Contingent or Other Fees, are also removed. The underlying
policy pertaining to contingent fee arrangements, as set forth in
Subpart 3.4, remains the same.
Item II--Simplified Acquisition Threshold/Federal Acquisition Computer
Network; and Micro-Purchase Procedures (FAR Cases 94-770 and 94-771)
The interim rules published as Item II of FAC 90-24 and Item III of
FAC 90-29 are amended and adopted as final. The rules implement the
micro-purchase, simplified acquisition, and Federal Acquisition
Computer Network (FACNET) provisions of the Federal Acquisition
Streamlining Act of 1994 (Public Law 103-355), and Section 4302(b) of
the Federal Acquisition Reform Act of 1996 (Public Law 104-106). The
final rules differ from the interim rules in that they (1) move
definitions pertaining to micro-purchases, simplified acquisition
procedures, and FACNET from Parts 4 and 13 to Part 2; (2) remove the
requirement for interim FACNET certification before a contracting
office may use simplified acquisition procedures for contract actions
exceeding $50,000; (3) remove the clause at 52.222-40, Service Contract
Act of 1965, as Amended--Contracts of $2,500 or Less, based upon a
change in Department of Labor regulations; and (4) provide a telephone
number for information regarding FACNET at 4.503.
Item III--Gratuities (FAR Case 96-300)
This interim rule amends FAR 3.202 and 52.203-3 to implement
Section 801 of the National Defense Authorization Act for Fiscal Year
1996 (Public Law 104-106). Section 801 amends 10 U.S.C. 2207, generally
referred to as the Gratuities Act, to exempt contracts which do not
exceed the simplified acquisition threshold from application of the
Act. Therefore, the clause at 52.203-3, Gratuities, is now prescribed
for inclusion in only those contracts which exceed the simplified
acquisition threshold.
Item IV--Disaster Relief Act (FAR Case 93-303)
This final rule amends FAR 6.302-5, and adds FAR Subpart 26.2, to
implement the Robert T. Stafford Disaster Relief and Emergency
Assistance Act (42 U.S.C. 5150). Section 5150 establishes a preference
for local sources in the award of contracts for major disaster or
emergency assistance activities.
Item V--Responsibility Determinations (FAR Case 95-007)
This final rule amends FAR Subpart 9.1 to emphasize the use of
commercial sources of information for determining the responsibility of
prospective contractors, and to clarify that preaward surveys normally
should be requested only when information on hand or readily available
is not sufficient.
Item VI--Task and Delivery Orders (FAR Case 94-711)
The interim rule published as Item III of FAC 90-33 is amended and
adopted as final. The interim rule added FAR Section 16.500 to define
the scope of the multiple award preference established by Subpart 16.5
for indefinite-quantity contracts. The final rule differs from the
interim rule in that it amends Section 16.500 to clarify that the
multiple award preference does not apply to architect-engineer
contracts subject to the procedures in Subpart 36.6. However, agencies
are not precluded from making multiple awards for architect-engineer
services, provided the selection of contractors and placement of orders
is consistent with Subpart 36.6. The rule also amends Section 16.504 to
clarify procedures for determining if multiple awards are appropriate.
Item VII--Multiyear Contracting (FAR Case 94-712)
This final rule revises FAR Subpart 17.1, removes the clause at
52.217-1, and revises the clause at 52.217-2 to implement Sections 1022
and 1072 of the Federal Acquisition Streamlining Act of 1994 (Public
Law 103-355). Sections 1022 and 1072 provide for use of multiyear
contracting in a manner that will encourage competition or promote
economy in administration, performance, and operation of an agency's
programs.
Item VIII--Small Business/Simplified Acquisition Threshold (FAR Case
94-782)
This final rule amends FAR Part 19 and the clauses at 52.219-6,
52.219-7, and 52.219-18 to implement Section 4004 of the Federal
Acquisition Streamlining Act of 1994 (Public Law 103-355). Section 4004
amends Section 15(j) of the Small Business Act (15 U.S.C. 644(j)) to
reserve each contract for supplies or services that has an anticipated
value greater than $2,500, but not greater than $100,000, for exclusive
participation by small business concerns, unless the contracting
officer is unable to obtain offers from two or more small business
concerns that are competitive with regard to price, quality, and
delivery. This rule also reflects a final rule published by the Small
Business Administration at 13 CFR 121.406, which provides that, where
the procurement of a manufactured item is processed under FAR Part 13
procedures, set aside for small business concerns, and not expected to
exceed $25,000, an offeror need not supply the end product of a small
business concern as long as the product is manufactured or produced in
the United States.
Item IX--Indian-Owned Economic Enterprises (FAR Case 91-028)
The interim rule published as Item VIII of FAC 90-7 is amended and
adopted as final. The rule implements 25 U.S.C. 1544, which provides
for payment of incentives to prime contractors who use Indian
organizations or Indian-owned economic enterprises as subcontractors.
The principal difference between the interim rule and the final rule is
the method of incentive payment contained in each. The interim rule
permitted prime contractors to recover certain costs of subcontracting
with Indian organizations and Indian-owned economic enterprises based
on the difference in price between the acceptable low non-Indian
subcontractor and the acceptable low Indian subcontractor, when the
Indian subcontractor's price exceeded the price of the non-Indian
subcontractor. The final rule instead permits an incentive payment to
the prime contractor in an amount which equals 5 percent of the amount
of the subcontract awarded to the Indian organization or Indian-owned
economic enterprise. The applicable amendments are in Subpart 26.1 and
the clause at 52.226-1.
Item X--General Agreement on Tariffs and Trade Patent Authorization
(FAR Case 95-308)
This final rule adds FAR Section 27.209 to provide guidance
pertaining to the use of patented technology under the General
Agreement on Tariffs and Trade.
[[Page 39226]]
Item XI--Performance and Payment Bonds (FAR Case 91-027)
This final rule amends FAR Subpart 28.1 and the clause at 52.228-1,
and adds two clauses at 52.228-15 and 52.228-16, and new SF 1418 to
update, clarify, and standardize policy pertaining to bid guarantees
and performance and payment bonds.
Item XII--Employee Compensation Costs (FAR Case 93-005)
This final rule amends FAR Part 31 to clarify the allowability of
personal services compensation costs. The rule adds definitions at
31.001; clarifies the standard for reasonableness of labor-management
compensation agreements at 31.205-6(b); revises 31.205-6(b)(1)(i) to
clearly allow offsets of allowable elements of employee compensation
packages among jobs of the same grade or level; and revises 31.205-6(i)
to provide a general allowability rule pertaining to corporate
securities.
Item XIII--Agency Procurement Protests (FAR Case 95-309)
This interim rule revises FAR 33.103 to implement Executive Order
12979, Agency Procurement Protests. Executive Order 12979 provides for
inexpensive, informal, procedurally simple, and expeditious resolution
of agency protests, including, where appropriate and permitted by law,
the use of alternative dispute resolution techniques, third party
neutrals, and another agency's personnel.
Item XIV--Value Engineering (FAR Case 96-315)
This final rule amends FAR Part 48 to revise the definition of
value engineering and to require agencies to establish and maintain
cost-effective value engineering procedures and processes. The rule
implements Section 4306 of the Federal Acquisition Reform Act of 1996
(Public Law 104-106).
Item XV--Termination Inventory Schedules (FAR Case 94-003)-
This final rule amends FAR Part 49 and the clauses at 52.249-2,
52.249-3, 52.249-5, 52.249-6, and 52.249-11 to require contractors
under terminated contracts to submit termination inventory schedules
within 120 days from the date of termination, unless this period is
extended by the contracting officer.
Dated: July 16, 1996.
Edward C. Loeb,
Director, Federal Acquisition Policy Division.
[FR Doc. 96-18513 Filed 7-25-96; 8:45 am]
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