97-21501. Federal Acquisition Regulation; Independent Government Estimates- Construction  

  • [Federal Register Volume 62, Number 163 (Friday, August 22, 1997)]
    [Rules and Regulations]
    [Page 44829]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 97-21501]
    
    
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    DEPARTMENT OF DEFENSE
    
    GENERAL SERVICES ADMINISTRATION
    
    NATIONAL AERONAUTICS AND SPACE ADMINISTRATION
    
    48 CFR Part 36
    
    [FAC 97-01; FAR Case 97-005; Item XVI]
    RIN 9000-AH63
    
    
    Federal Acquisition Regulation; Independent Government Estimates-
    Construction
    
    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 Civilian Agency Acquisition Council and the Defense 
    Acquisition Regulations Council have agreed on a final rule amending 
    the Federal Acquisition Regulation (FAR) to increase the threshold for 
    a mandatory independent Government estimate of construction costs and 
    architect-engineer costs from $25,000 to $100,000. This regulatory 
    action was not subject to Office of Management and Budget review under 
    Executive Order 12866, dated September 30, 1993, and is not a major 
    rule under 5 U.S.C. 804.
    
    DATES: Effective October 21, 1997.
    
    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 Mr. Jack O'Neill, Procurement Analyst, at (202) 501-
    3856. Please cite FAC 97-01, FAR case 97-005.
    
    SUPPLEMENTARY INFORMATION:
    
    A. Background
    
        This final rule amends FAR 36.203(a) and 36.605(a) to raise the 
    threshold for a mandatory independent Government estimate of 
    construction costs and architect-engineer costs from $25,000 to 
    $100,000. The benefits of an independent Government estimate do not 
    warrant the high cost of such effort to cover the small risk associated 
    with modifications under $100,000. The change will reduce costs and 
    streamline the acquisition procedures, permitting improved utilization 
    of resources.
    
    B. Regulatory Flexibility Act
    
        The final rule does not constitute a significant FAR revision 
    within the meaning of FAR 1.501 and Public Law 98-577, and publication 
    for public comment is not required. However, comments from small 
    entities concerning the affected FAR subpart will be considered in 
    accordance with 5 U.S.C. 610. Such comments must be submitted 
    separately and cite 5 U.S.C. 601, et seq. (FAC 97-01, FAR case 97-005), 
    in correspondence.
    
    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.
    
    List of Subjects in 48 CFR Part 36
    
        Government procurement.
    
        Dated: August 7, 1997.
    Edward C. Loeb,
    Director, Federal Acquisition Policy Division.
    
        Therefore, 48 CFR Part 36 is amended as set forth below:
    
    PART 36--CONSTRUCTION AND ARCHITECT-ENGINEER CONTRACTS
    
        1. The authority citation for 48 CFR Part 36 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).
    
    
    36.203  [Amended]
    
        2. Section 36.203 is amended in paragraph (a) by removing 
    ``$25,000'' and inserting ``$100,000'' in its place each time it 
    appears.
    
    
    36.605  [Amended]
    
        3. Section 36.605 is amended in paragraph (a) by removing 
    ``$25,000'' and inserting ``$100,000'' in its place.
    
    [FR Doc. 97-21501 Filed 8-21-97; 8:45 am]
    BILLING CODE 6820-EP-U
    
    
    

Document Information

Effective Date:
10/21/1997
Published:
08/22/1997
Department:
National Aeronautics and Space Administration
Entry Type:
Rule
Action:
Final rule.
Document Number:
97-21501
Dates:
Effective October 21, 1997.
Pages:
44829-44829 (1 pages)
Docket Numbers:
FAC 97-01, FAR Case 97-005, Item XVI
RINs:
9000-AH63
PDF File:
97-21501.pdf
CFR: (1)
48 CFR 36