[Federal Register Volume 59, Number 128 (Wednesday, July 6, 1994)]
[Unknown Section]
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From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-16252]
[[Page Unknown]]
[Federal Register: July 6, 1994]
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OFFICE OF MANAGEMENT AND BUDGET
Office of Federal Procurement Policy
Federal Acquisition Regulation (FAR) Rewrite
AGENCY: Office of Federal Procurement Policy, Office of Management and
Budget.
ACTION: Notice of public meeting and request for public comments.
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SUMMARY: In response to the report of the National Performance Review
(NPR) recommendation to convert the FAR from rigid rules to guiding
principles, the Administrator for Federal Procurement Policy has
established a Board of Directors (hereinafter the Board), comprised of
senior level individuals from the Executive Branch, to develop a plan
for the FAR rewrite. This notice solicits public comment on two
approaches for the rewrite, including drafting principles, the Board is
considering.
Both approaches delineate mandatory and nonmandatory provisions.
The first approach would provide for (1) a FAR that is limited to
mandatory governmentwide regulations, and (2) an acquisition manual
that would reprint the FAR and also include nonmandatory governmentwide
policies, procedures, etc. In addition, agency supplements, including
both mandatory and nonmandatory provisions, would be authorized to
implement agency-unique statutes, policies, etc.
The second approach would consist of (1) the FAR which would
include all mandatory Governmentwide provisions, and (2) separate
acquisition manuals developed by an agency or a group of agencies. The
manuals would include mandatory provisions necessary to implement
statutes unique to the agency or group of agencies, a minimal number of
mandatory policies and procedures not required by statute, and
nonmandatory guidance.
Both approaches would result in a FAR containing only mandatory
provisions. However, the first approach would promulgate governmentwide
nonregulation guidance, while the second approach would permit an
agency to promulgate in agency manuals whatever nonregulation guidance
the agency deems appropriate. Additionally, the first approach would
retain agency FAR supplements, while the second approach would replace
agency supplements with agency acquisition manuals.
The Board has prepared a model rewrite of FAR Part 9 to illustrate
the first approach. It is drafted as a governmentwide manual containing
both the new FAR (which will also be codified in the Code of Federal
Regulations); and policies, procedures, provisions, forms, and clauses
that do not constitute regulations. An actual FAR rewrite would likely
include a wider variety of options and illustrations than appear in the
nonregulation component of the model. This notice solicits comments
only on the proposed approach for the FAR rewrite, and not on the
content of the model rewrite of Part 9.
The Board intends to provide for a mutual exchange of ideas and
information with affected parties both in the government and the
private sector by publishing this notice, soliciting public comments,
and holding a public meeting.
DATES: Written comments must be received in the Office of Federal
Procurement Policy on or before August 5, 1994.
A public meeting will be held at 9:30 on August 17, 1994. Persons
or organizations wishing to present ideas or suggestions will be
allowed five minutes each to present their views, provided they notify
Ms. Rebecca Hardy at 202-395-3501 by August 10, 1994. Persons or
organizations with similar positions are encouraged to select a common
spokesperson for presentation of their views.
ADDRESSES: Written comments and statements for presentation should be
submitted to Susan E. Alesi, Special Assistant for Regulations, Office
of Federal Procurement Policy, 725 17th Street, NW, Washington, DC
20503.
A public meeting will be held in Room 2010, New Executive Office
building (NEOB), 725 17th Street, NW, Washington, DC. Individuals
wishing to attend the meeting, including individuals wishing to make
presentations should contact Ms. Rebecca Hardy at 202-395-3501 prior to
3:30 p.m. on August 16, 1994, for clearance to the NEOB.
FOR FURTHER INFORMATION CONTACT: Susan E. Alesi, at 202-395-6803,
Office of Federal Procurement Policy.
SUPPLEMENTARY INFORMATION: On September 7, 1993, the Vice President
released the report of the NPR which required simplification of the
procurement process by rewriting the FAR, shifting from rigid rules to
guiding principles. According to the report, the FAR, which is the
government's principal set of procurement regulations, is too process
oriented, changes too often, minimizes discretion of procurement
officials, and stifles innovation. The Board intends to develop a plan
to rewrite the FAR to move from a system of rigid rules to guiding
principles, promote decision making at the lowest possible level,
eliminate unnecessary regulatory requirements, facilitate innovative
contracting and develop a more effective process to listen to its
customers.
This project will be accomplished under the direction of the
Administrator for Federal Procurement Policy with the assistance of a
Board of Directors comprised of senior-level officials from the
Executive Branch.
The Board has begun planning the FAR rewrite project by defining
two approaches and by drafting a model FAR Part 9 that adheres, for the
most part, to the drafting principles outlined in this announcement as
the first approach. However, if the FAR is actually rewritten along the
lines of the model, we expect that there would be additional material
and more than one optional approach or illustration to be included in
many parts of the nonregulation part of the model. The Board intends to
recommend adoption of the NPR philosophy of giving greater flexibility
in the formulation and administration of contracts.
Questions for Commentors
To assist the Board in its deliberations, it is requested that all
interested parties review the proposed approaches, drafting principles,
and illustration of the model rewrite of FAR Part 9. This notice
solicits comments on the proposed approaches for the FAR rewrite and
not on the content of the model rewrite of FAR Part 9. In preparing
comments the Board requests that commentors consider the following
questions with regard to each approach:
1. Does the proposed approach represent an improvement to the
existing FAR system? If not, please suggest an alternative approach.
2. Does the proposed approach remove from the regulations system
unnecessary, burdensome direction while still providing the procurement
community with sufficient common policy and principles? If not, please
suggest an alternative approach.
3. Does the proposed approach increase discretion and encourage
innovation while still fostering good contracting practices? If not,
please suggest an alternative approach.
4. Does the proposed approach simplify the procurement process? If
not, please suggest an alternative approach.
5. Does the approach of publishing nonregulation information in an
acquisition manual provide useful guidance for contracting officers in
decision making, formulating process or practical solutions,
identifying alternatives? If not, please suggest an alternative
approach.
6. Does the proposed approach for the Code of Federal Regulations
to contain only the regulation component of the model raise any
concerns for you? If so, please suggest an alternative approach.
7. The nonregulation component of the model would normally not be
published for public comment in the Federal Register. Does this
approach create a problem? What problem? If so, please suggest an
alternative approach.
8. Which types or categories of provisions and clauses would you
recommend to be included in the regulation component of the model? In
the nonregulation manual component of the model?
9. Does the proposed approach to include only guidance needed by
procurement personnel improve the contracting process? If not, please
suggest an alternative approach.
10. Is there a better approach for rewriting the FAR? What is it?
11. How do we carry forward to lower levels the concept of moving
away from a centralized direction?
12. Please provide any other comments you consider appropriate.
First Proposed Approach
Discussion
The basic thrust of this approach under consideration by the Board
is to divide the FAR into regulation and nonregulation (a
Governmentwide manual) components. The new FAR will essentially retain
its current 53 Part structure and will contain policies, provisions and
clauses necessary to implement statutory requirements, primary
regulation requirements, basic policies/guiding principles and
essential governmentwide procedures. Much of the material, provisions
and clauses that will be removed from the FAR will be made available in
nonregulation remarks in a Federal acquisition manual. In addition,
agencies will continue to issue supplements to the FAR, including
minimal mandatory as well as nonmandatory provisions. The FAR will be
mandatory for use by the agencies, and will be codified in the Code of
Federal Regulations.
The Government acquisition manual will include the FAR text, and in
addition, will provide nonmandatory guidance, alternative approaches,
forms, clauses, and other examples that may be used, at their
discretion, by contracting officers in structuring a procurement. The
nonregulation material in the manual will be published for public
comment only when required by Section 22 of the Office of Federal
Procurement Policy Act (41 U.S.C. 418b), which does not require
publication of the type of information normally provided nonregulation
component of the acquisition manual.
The FAR system will promote decision making at the lowest
practicable level by permitting contracting officers to use, modify,
tailor to best suit individual situations or disregard nonregulation
policies, procedures, provisions, forms and clauses. For example, in
the illustration of a new FAR Part 9, the clauses covering First
Article Approval, Contractor Testing, (FAR 52.209-3) would be
eliminated from the regulation component but would be included in the
nonregulation component.
Proposed Drafting Principles--Structure
1. Include in the FAR statements of general policy, standards,
forms, provisions, and clauses that--
a. Are required by, or reasonably necessary to implement Statutes,
Executive Orders, OMB Circulars, OFPP Policy Letters, and, as
appropriate, case law.
b. The FAR Council or joint FAR signatories decide must have
governmentwide application because consistency is essential to maintain
an effective and efficient acquisition system.
2. Do not include in the FAR:
a. Procedures, policies, provisions or clauses which are not
essential.
b. Guidance that is not needed by procurement personnel.
3. Include in the acquisition manual--
a. Examples of various optional methods for compliance with FAR
policies, provisions, and clauses.
b. Procedures, practices, forms provisions, and clauses that may be
used, modified, or not used, at the discretion of the Contracting
Officer.
Proposed Drafting Principles--General
1. Clearly identify the statutory requirements, basic policies, and
principles.
2. Avoid proscription and rigid rules in favor of setting forth
guiding principles.
3. Use goals and expected outcomes in place of processes or
procedures.
4. Assume the reader is a procurement professional with appropriate
knowledge, skills and abilities to do the job.
5. Assume contractors and contracting officials are going to do the
``right thing.''
6. Assign responsibility for decisions to the lowest practicable
level, giving contracting officers authority, responsibility, and
maximum flexibility to find the most efficient, cost-effective way to
meet customer mission needs and time frames.
7. Minimize administrative and paperwork burdens on contracting
officials and contractors.
8. Include in the FAR references to procurement related statutes
and regulations, such as labor laws, and small business size standards.
Provide, as appropriate, in the acquisition manual, necessary
additional information to assist the contracting officers in complying
with those requirements.
9. Provide guidance that encourages sound business practices,
streamline the contracting process, contributes to increased
productivity, and cost effectiveness.
10. Provide guidance that implements policies based on statute
without just restating the law.
11. Avoid guidance and other controls that impose unnecessary
dollar thresholds, approval levels, contractor certifications,
coordination and documentation requirements, determinations.
12. Provide guidance that offers maximum opportunity for innovative
contracting approaches.
13. Avoid the creation of regulations to address every contracting
contingency.
14. Provide guidance to contracting officers that encourages risk
management rather than risk avoidance.
15. Avoid regulations that impose government-unique, unnecessary
requirements on federal contractors. Promote the acquisition of
commercial products and reliance on the commercial marketplace.
16. Apply a consistent set of drafting conventions so that the FAR
will be succinct and understandable to the general reader.
Second Proposed Approach
The second approach is essentially the same as the first approach
with respect to which material would be regulations and which material
would be provided in a nonregulation acquisition manual. However, the
nonregulation material would not be published as a governmentwide
manual. Rather, each agency, or group of agencies would be authorized
to publish its own manual containing its own guidance. These manuals
would contain a minimal amount of mandatory material applicable to the
internal operations of the agency or necessary to implement the
statutes that apply to that agency or group of agencies. The remainder
of the material in the manual would be that as noted in the first
approach as nonregulation in nature and not mandatory. Thus the FAR
system would be comprised of the FAR (regulations) and agency
acquisition manuals (nonmandatory guidance and minimal mandatory
requirements) that would take the place of current agency supplements.
Illustration of the First Proposed Approach
Model of revised Part 9. The model FAR Part 9 is provided in the
appendix to illustrate the first approach being considered by the
Board. Comment only on the approach illustrated by this model rewrite,
and not on the content of the model rewrite on Part 9. FAR Part 9 will
be submitted to a committee for revisions in accordance with these
Drafting Principles once the Drafting Principles have been approved.
The following model rewrite of FAR Part 9 shows the governmentwide
acquisition manual as it would appear under proposed number one.
Proposed approach number two would follow the same criteria as is
followed under proposed approach one to determine which material is to
be codified in the CFR and which material is to appear in nonregulation
guidance. However, under proposed approach number two, the
nonregulation guidance would be published by individual agencies in
manuals that apply to contracts issued by that agency.
Dated: June 30, 1994.
Steven Kelman,
Administrator.
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[FR Doc. 94-16326 Filed 7-5-94; 8:45 am]
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RESOLUTION TRUST CORPORATION
Coastal Barrier Improvement Act; Property Availability; Pecos,
San Miguel County, NM
AGENCY: Resolution Trust Corporation.
ACTION: Notice.
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SUMMARY: Notice is hereby given that the property known as Pecos,
located in San Miguel County, New Mexico, is affected by Section 10 of
the Coastal Barrier Improvement Act of 1990 as specified below.
DATES: Written notices of serious interest to purchase or effect other
transfer of all or any portion of this property may be mailed or faxed
to the RTC until October 4, 1994.
ADDRESSES: Copies of detailed descriptions of this property, including
maps, can be obtained from or are available for inspection by
contacting the following person:
Mr. Stefan J. Vranka, Resolution Trust Corporation, c/o Nevander Asset
Management, Inc., 4665 MacArthur Court, Suite 200, Newport Beach, CA
92660, (714) 851-2530; Fax (714) 752-7057
SUPPLEMENTARY INFORMATION: The Pecos property consists of two (2) non-
continguous 80-acre tracts of undeveloped land located east and
southeast of Pecos, New Mexico. One 80-acre tract is located 2.25 miles
south of Lower Colonias and the other tract is one mile north of Upper
Colonias. The sites contain habitat for the Federally-listed endangered
peregrine falcon and a rare plant that is proposed for Federal-listing
as endangered. Both tracts are bordered by portions of the Santa Fe
National Forest and small corners of each tract fall within a 100-year
floodplain. This property is covered property within the meaning of
Section 10 of the Coastal Barrier Improvement Act of 1990, P.L. 101-591
(12 U.S.C. 1441a-3).
Written notice of serious interest in the purchase or other
transfer of all or any portion of this property must be received on or
before October 4, 1994 by the Resolution Trust Corporation at the
appropriate address stated above.
Those entities eligible to submit written notices of serious
interest are:
1. Agencies or entities of the Federal government;
2. Agencies or entities of State or local government; and
3. ``Qualified organizations'' pursuant to section 170(h)(3) of the
Internal Revenue Code of 1986 (26 U.S.C. 170(h)(3)).
Written notices of serious interest must be submitted in the
following form: Notice of Serious Interest RE: [insert name of
property] Federal Register Publication Date: ________ [insert Federal
Register publication date].
1. Entity name.
2. Declaration of eligibility to submit Notice under criteria set
forth in the Coastal Barrier Improvement Act of 1990, P.L. 101-591,
section 10(b)(2), (12 U.S.C. 1441a-3(b)(2)), including, for qualified
organizations, a determination letter from the United States Internal
Revenue Service regarding the organization's status under section
501(c)(3) of the U.S. Internal Revenue Code (26 U.S.C. 170(h)(3)).
3. Brief description of proposed terms of purchase or other offer
for all or any portion of the property (e.g., price, method of
financing, expected closing date, etc.).
4. Declaration of entity that it intends to use the property for
wildlife refuge, sanctuary, open space, recreational, historical,
cultural, or natural resource conservation purposes (12 U.S.C. 1441a-
3(b)(4)), as provided in a clear written description of the purpose(s)
to which the property will be put and the location and acreage of the
area covered by each purpose(s) including a declaration of entity that
it will accept the placement, by the RTC, of an easement or deed
restriction on the property consistent with its intended conservation
use(s) as stated in its notice of serious interest.
5. Authorized Representative (Name/Address/Telephone/Fax).
List of Subjects
Environmental protection.
Dated: June 29, 1994.
Resolution Trust Corporation.
William J. Tricarico,
Assistant Secretary.
[FR Doc. 94-16252 Filed 7-5-94; 8:45 am]
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