[Federal Register Volume 59, Number 179 (Friday, September 16, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-23025]
[[Page Unknown]]
[Federal Register: September 16, 1994]
_______________________________________________________________________
Part VI
Department of Defense
General Services
Administration
National Aeronautics and
Space Administration
_______________________________________________________________________
48 CFR Part 31
Federal Acquisition Regulations;
Legislative Lobbying Costs, Travel Costs
and Records Retention; Proposed Rule
48 CFR 45
Federal Acquisition Regulation;
Government Property; Withdrawal of
Proposed Rule
DEPARTMENT OF DEFENSE
GENERAL SERVICES ADMINISTRATION
NATIONAL AERONAUTICS AND SPACE ADMINISTRATION
48 CFR Part 31
[FAR Case 93-6]
Federal Acquisition Regulation; Legislative Lobbying Costs
AGENCIES: Department of Defense (DOD), General Services Administration
(GSA), and National Aeronautics and Space Administration (NASA).
ACTION: Proposed rule.
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SUMMARY: The Civilian Agency Acquisition Council and the Defense
Acquisition Regulations Council are proposing changes to amend the
Federal Acqusition Regulation (FAR) cost principles concerning lobbying
costs. This regulatory action was subject to Office of Management and
Budget (OMB) review pursuant to Executive Order No. 12866 dated
September 30, 1993.
DATES: Comments should be submitted on or before November 15, 1994 to
be considered in the formulation of a final rule.
ADDRESSES: Interested parties should submit written comments to:
General Services Administration, FAR Secretariat (VRS), 18th & F
Streets, NW, Room 4037, Washington, DC 20405. Please cite FAR case 93-6
in all correspondence related to this case.
FOR FURTHER INFORMATION CONTACT:Mr. Jeremy Olson at (202) 501-3221 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 FAR case 93-6.
SUPPLEMENTARY INFORMATION:
A. Background
This FAR case was opened to address issues raised by the OMB SWAT
Team concerning the requirement to maintain records which are in
addition to normal records maintained to record lobbying costs under
FAR 31.205-22(f). The proposed FAR rule would delete 31.205-22(f)
because it conflicts with the recordkeeping requirements in 31.201-
6(c), 31.205-22(e), and Cost Accounting Standards (CAS) 405, Accounting
for Unallowable Costs (48 CFR 9904.405-50(a)). In addition, the
Councils believe that 31.205-22(f) is inconsistent with the clause at
52.203-12, Limitation on Payments to Influence Certain Federal
Transactions, which requires contractors to disclose lobbying
activities. The reporting of such activities must necessarily be based
upon certain contractor records which support the disclosures. The
proposed rule also removes the prohibition against reimbursing
executive lobbying costs at 31.205-50 and adds it to the list of
specifically unallowable lobbying costs at 31.205-22(a).
B. Regulatory Flexibility Act
The proposed rule is not expected to have a significant economic
impact on a substantial number of small entities within the meaning of
the Regulatory Flexibility Act, 5 U.S.C. 601, et seq., because most
contracts awarded to small entities are awarded on a competitive,
fixed-price basis and the cost principles do not apply. The cost
principles apply only to contracts for which cost or pricing data has
been submitted. An Initial Regulatory Flexibility Analysis has,
therefore, not been performed. Comments are invited from small
businesses and other interested parties. Comments from small entities
concerning the affected FAR subpart will also be considered in
accordance with 5 U.S.C. 610 of the Act. Such comments must be
submitted separately and should cite 5 U.S.C. 601, et seq. (FAR case
93-6), in correspondence.
C. Paperwork Reduction Act
The Paperwork Reduction Act does not apply because the proposed
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 31
Government procurement.
Dated: September 13, 1994.
Albert A.Vicchiolla,
Director, Office of Federal Acquisition Policy.
Therefore, it is proposed that 48 CFR part 31 be amended as set
forth below:
PART 31--CONTRACT COST PRINCIPLES AND PROCEDURES
1. The authority citation for 48 CFR part 31 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 31.205-22 is amended by revising the section heading; at
the end of paragraph (a)(4) by removing the word ``or''; at the end of
paragraph (a)(5) by removing the period and inserting ``; or''; by
adding paragraph (a)(6); and by removing paragraph (f) and
redesignating paragraph (g) as (f) to read as follows:
31.205-22 Lobbying and political activity costs.
(a) * * *
(6) Costs incurred in attempting to improperly influence (see FAR
3.401), either directly or indirectly, an employee or officer of the
executive branch of the Federal Government to give consideration or to
act regarding a regulatory or contract matter.
* * * * *
31.205-50 [Removed and reserved]
3. Section 31.205-50 is removed and reserved.
[FR Doc. 94-23025 Filed 9-15-94; 8:45 am]
BILLING CODE 6820-34-M