[Federal Register Volume 60, Number 158 (Wednesday, August 16, 1995)]
[Rules and Regulations]
[Pages 42648-42649]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-19857]
[[Page 42647]]
_______________________________________________________________________
Part II
Department of Defense
General Services Administration
National Aeronautics and Space Administration
_______________________________________________________________________
48 CFR Part 1, et al.
Federal Acquisition Regulations; Final Rules
Federal Register / Vol. 60, No. 158 / Wednesday, August 16, 1995 /
Rules and Regulations
[[Page 42648]]
DEPARTMENT OF DEFENSE
GENERAL SERVICES ADMINISTRATION
NATIONAL AERONAUTICS AND SPACE ADMINISTRATION
48 CFR Chapter 1
[Federal Acquisition Circular 90-31]
Federal Acquisition Regulation; Introduction of Miscellaneous
Amendments
AGENCIES: Department of Defense (DOD), General Services Administration
(GSA), and National Aeronautics and Space Administration (NASA).
ACTION: Summary presentation of final rules.
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SUMMARY: This document serves to introduce the final rules which follow
and which comprise Federal Acquisition Circular (FAC) 90-31. The
Federal Acquisition Regulatory Council has agreed to issue FAC 90-31 to
amend the Federal Acquisition Regulation (FAR).
DATES: For effective dates, see individual documents following this
one.
FOR FURTHER INFORMATION CONTACT:The team leader whose name appears in
relation to each FAR case or subject area. For general information,
contact the FAR Secretariat, Room 4037, GS Building, Washington, DC,
20405 (202) 501-4755. Please cite FAC 90-31 and FAR case number(s).
SUPPLEMENTARY INFORMATION: Federal Acquisition Circular 90-31 amends
the Federal Acquisition Regulation (FAR) as specified below:
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Item Subject FAR case Team leader
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I Consolidation and 94-740 Tucciarone (703) 767-
Revision of the 2270
Authority to Examine
Records.
II Contract Award 94-701 Rider (703) 614-1634
Implementation.
III Penalties on 94-751 Belton (703) 602-2357
Unallowable Indirect
Costs.
IV Implementation of 94-754 Belton (703) 602-2357
Various Cost Principle
Provisions.
V Entertainment, Gift, 94-750 Belton (703) 602-2357
and Recreation Costs
for Contractor
Employees.
VI Contractor Overhead 94-752 Belton (703) 602-2357
Certification.
VII Technical Amendments...
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Case Summaries
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.
Item I--Consolidation and Revision of the Authority to Examine Records
(FAR Case 94-740)
This final rule implements Sections 2201(a), 2251(a), 4102(c), and
4103(d) of the Federal Acquisition Streamlining Act of 1994 (Pub. L.
103-355). The rule (1) permits contractors to store records in
electronic form; (2) restricts contracting officers from requesting a
preaward audit of indirect costs if the results of a recent audit are
available; (3) deletes the clause at 52.215-1, Examination of Records
by Comptroller General; (4) and revises the clauses at 52.214-26, Audit
and Records--Sealed Bidding, and 52.215-2, Audit and Records--
Negotiation, to provide for examination of records by the Comptroller
General.
Item II--Contract Award Implementation (FAR Case 94-701)
This final rule implements Sections 1002, 1003, 1005, 1011, 1012,
1013, 1014, 1052, 1053, 1055, 1061, 1062, 1063, 1064, 1555, 7203, and
10004 of Pub. L. 103-355. The rule (1) requires agencies to report
additional information on procurements exceeding $25,000; (2) expands
the criteria for establishing or maintaining alternative sources of
supplies or services; (3) permits use of other than full and open
competition to acquire expert services for litigation; (4) places
limitations on the use of other than full and open competition when
authorized or required by statute; (5) clarifies approval requirements
for written justifications for other than full and open competition;
(6) revises procedures for specifying evaluation factors and subfactors
in solicitations, for conducting written or oral discussions, and for
providing postaward notices and debriefings to offerors; (7) requires a
written determination before providing for evaluation of options in
sealed bid procurements; (8) permits nonprofit agencies for the blind
or severely disabled to use Government supply sources in performing
contracts under the Javits-Wagner-O'Day Act; and (9) allows award
without discussion to other than the lowest overall cost offeror.
Item III--Penalties on Unallowable Indirect Costs (FAR Case 94-751)
This final rule implements Sections 2101 and 2151 of Pub. L. 103-
355. The rule contains procedures for the assessment of penalties on
unallowable indirect costs under contracts exceeding $500,000. These
procedures are essentially the same as those contained in the Defense
FAR Supplement.
Item IV--Implementation of Various Cost Principle Provisions (FAR Case
94-754)
This final rule implements Section 2101 of Pub. L. 103-355. The
rule adds the costs of lobbying the legislative body of a political
subdivision of a state to the list of unallowable costs; adds the cost
of ``conventions'' to the costs to be clarified in the cost principles;
and expands the coverage to the Coast Guard and the National
Aeronautics and Space Administration. Section 2151 amends 41 U.S.C. 256
to include all the provisions of 10 U.S.C. 2324, as amended by Section
2101. Therefore, the provisions are made generally applicable to all
other executive agencies. The new FAR language, with only minor
variations, was transferred from the current coverage in the Defense
Federal Acquisition Regulation Supplement.
Item V--Entertainment, Gift, and Recreation Costs for Contractor
Employees (FAR Case 94-750)
This rule finalizes the interim rule published in FAC 90-25. The
rule implements Section 2192 of Pub. L. 103-355 to revise the cost
principles governing entertainment, gift, and recreation costs for
contractor employees. The final rule differs from the interim rule in
that it (1) clarifies that gifts do not include certain employee
performance and achievement awards; (2) clarifies the restrictions
[[Page 42649]]
pertaining to entertainment and recreation costs; and (3) eliminates
the requirement that certain costs are allowable only if the net amount
per employee is reasonable. This final rule replaces the interim rule
in its entirety for any contracts containing the interim rule. Thus,
the provisions of the interim rule will not apply to costs incurred
under any contract under any circumstances.
Item VI--Contractor Overhead Certification (FAR Case 94-752)
This final rule implements Section 2151 of Pub. L. 103-355. The
rule contains procedures for obtaining contractor certification of a
proposal to establish or modify billing rates or to establish final
indirect cost rates. These procedures are essentially the same as those
contained in the Defense FAR Supplement.
Dated: August 7, 1995.
Edward C. Loeb,
Deputy Project Manager for the Implementation of the Federal
Acquisition Streamlining Act of 1994.
Federal Acquisition Circular
[Number 90-31]
Federal Acquisition Circular (FAC) 90-31 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 90-31 is effective
October 1, 1995, except for Item VII which is effective August 16,
1995. FAC Items I through VI are applicable for solicitations issued on
or after October 1, 1995. Contracting officers may, at their
discretion, include the provisions and clauses in FAC Items I through
VI in solicitations issued before October 1, 1995, for contracts
expected to be awarded on or after October 1, 1995.
Dated: August 3, 1995.
Eleanor R. Spector,
Director, Defense Procurement.
Dated: August 3, 1995.
Ida M. Ustad,
Associate Administrator for Acquisition Policy, General Services
Administration.
Dated: August 7, 1995.
Deidre A. Lee,
Associate Administrator for Procurement, National Aeronautics & Space
Administration.
[FR Doc. 95-19857 Filed 8-15-95; 8:45 am]
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