[Federal Register Volume 59, Number 173 (Thursday, September 8, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-22058]
[[Page Unknown]]
[Federal Register: September 8, 1994]
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DEPARTMENT OF THE TREASURY
Office of the Comptroller of the Currency
12 CFR Part 4
[Docket No. 94-14]
RIN 1557-AA92
Description of Office, Procedures, Public Information; Minority,
Women and Individuals With Disabilities-Owned Business; Contracting
Outreach Program
AGENCY: Office of the Comptroller of the Currency, Treasury.
ACTION: Final rule.
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SUMMARY: This final rule amends Office of the Comptroller of the
Currency (OCC) regulations regarding the description of its office,
procedures, and policies regarding public information to adopt a
Minority-, Women- and Individuals with Disabilities-Owned Business
Contracting Outreach Program (Outreach Program). This final rule is
intended to ensure that business concerns owned and controlled by
members of minority groups, women and individuals with disabilities are
provided the opportunity to participate in the OCC's contracting
processes. It also designates the official responsible for implementing
the Outreach Program and its oversight. This action, with respect to
minority- and women-owned businesses, is required by the Financial
Institutions Reform, Recovery, and Enforcement Act of 1989 (FIRREA),
and is necessary to promote participation of minority groups and women
in contracting programs. The inclusion of individuals with disabilities
is consistent with the intent of the Rehabilitation Act of 1973, as
amended.
EFFECTIVE DATE: This final rule is effective on October 11, 1994.
FOR FURTHER INFORMATION CONTACT: Mary Ellen Dorsey, Outreach Program
Specialist, Acquisitions Branch, (202) 874-5040; Patricia S. Grady,
Senior Attorney, Legislative, Regulatory, and International Activities
Division, (202) 874-5090, Office of the Comptroller of the Currency,
250 E Street SW., Washington, DC 20219.
SUPPLEMENTARY INFORMATION:
Background
The OCC, as the Federal financial institution regulatory agency
responsible for the supervision of national banks, has, since its
inception, engaged in the procurement of goods and services necessary
to accomplish its duties. Historically, the OCC has awarded a
significant number of contracts to minority- and women-owned
businesses. The OCC's Outreach Program promotes the participation of
minorities, women and individuals with disabilities in the OCC's
contracting activities.
Section 1216(c) of FIRREA (12 U.S.C. 1833e(c)) is intended to
further the participation of certain designated groups in the OCC's
contracting processes. FIRREA requires the OCC and certain other
Federal regulatory agencies (e.g., the Office of Thrift Supervision,
the Federal Deposit Insurance Corporation, and including the Resolution
Trust Corporation, and the Federal Housing Finance Board) to prescribe
regulations to establish and oversee a minority outreach program within
each agency.
The OCC has established its Outreach Program which is intended to
ensure inclusion, to the maximum extent possible, of minorities, women
and individuals with disabilities and entities owned by minorities,
women and individuals with disabilities in all contracts entered into
by the agency with such persons or entities, public and private, to
perform functions authorized by law.
The OCC is not required by FIRREA to include individuals with
disabilities in its Outreach Program. However, the OCC believes that
the inclusion of individuals with disabilities is consistent with the
intent of the Rehabilitation Act of 1973 (29 U.S.C. 701 et seq.) as
amended by the Rehabilitation, Comprehensive Service, and Developmental
Disabilities Amendments of 1978 (Pub. L. 95-602), and the
Rehabilitation Act Amendments of 1986 (Pub. L. 99-506). The OCC
believes that by encouraging participation by individuals with
disabilities, it will further the intent of the Rehabilitation Act of
1973, as amended (29 U.S.C. 701 et seq.). The definition of the term
``individual with disabilities'' is derived from the definition of the
term ``individual with handicaps'' in the Rehabilitation Act of 1973,
as amended.
The OCC, in an effort to ensure that the benefits of the Outreach
Program accrue to entities owned by minorities, women and individuals
with disabilities, is requiring that the participants in the Outreach
Program be minorities, women or individuals with disabilities. Further,
the participants must unconditionally own the business entities
participating in the Outreach Program.
On November 10, 1993, the OCC published a proposed rule to amend
its 12 CFR part 4 regulations on Office, Procedures, Public Information
to adopt a Minority-, Women- and Individuals with Disabilities-Owned
Business Contracting Outreach Program. See 58 FR 59686.
This final rule creates in part 4 a new subpart B and reserves it.
It also creates a new subpart C containing information on the Outreach
Program and revises the address for the Comptroller of the Currency in
Sec. 4.1a(a). Certain other changes have been made to the final rule
for clarification purposes.
Comments on Proposed Rule
The OCC received two comments on the proposed rule. Commenters
included a minority-owned compliance management firm and a national
bank. One commenter supported the proposal. One commenter recommended
that firms owned by recent veterans be included in the Outreach
Program.
The OCC has not included veterans in this final rule. However, the
OCC does include a veterans preference clause in some of its contracts
that requires vendors who contract with the OCC to take affirmative
action in hiring veterans.
The commenter further suggested that the OCC coordinate its
contract requirements with the Small Business Administration (SBA) so
that the OCC may utilize the SBA's 8(a) Business Development Program.
The OCC already coordinates its requirements with the SBA and utilizes
the SBA's 8(a) Business Development Program. As a result, the final
rule does not include this suggestion.
The commenter also suggested that the OCC contact community banks
for names of minority contractors and notify community banks of OCC's
contracting requirements so that the community banks can notify
minority contractors of OCC contracting requirements. The OCC believes
that its current coordination with the SBA of its contracting
requirements and use of the national directories of minority-owned and
women-owned businesses is a broad base from which to determine
minority- and women-owned businesses. Therefore, the OCC has not
included a requirement that it obtain lists of contractors from
community banks and inform community banks of OCC contracting
requirements.
Executive Order 12866
The OCC has determined that this document is not a significant
regulatory action.
Regulatory Flexibility Act
It is hereby certified that this regulation will not have a
significant economic impact on a substantial number of small entities.
Accordingly, a regulatory flexibility analysis is not required. This
regulation is intended to promote participation of minority-, women-
and individuals with disabilities-owned businesses, regardless of size,
in the OCC contracting program. The Outreach Program does not alter the
OCC's established procurement process for goods and services, and this
rule, should have a beneficial, although not significant, impact on
small entities.
List of Subjects in 12 CFR Part 4
Freedom of information, Organization and functions (Government
agencies), Reporting and recordkeeping requirements, Women and minority
businesses.
Authority and Issuance
For the reasons set forth in the preamble, part 4 of chapter I of
title 12 of the Code of Federal Regulations is amended as set out
below:
PART 4--DESCRIPTION OF OFFICE, PROCEDURES, PUBLIC INFORMATION,
CONTRACTING OUTREACH PROGRAM
1. The part heading for part 4 is revised to read as set forth
above.
2. The authority citation for part 4 is revised to read as follows:
Authority: 5 U.S.C. 552; 12 U.S.C. 1 et seq., 93a and 1833e.
Secs. 4.1 through 4.19 [Amended]
3. Part 4 is amended by designating Secs. 4.1 through 4.19 as
subpart A and adding a subpart A heading to read as follows:
Subpart A--Office, Procedures, Public Information
Sec. 4.1 [Amended]
4. In Sec. 4.1a(a)(1), fourth sentence, ``490 L'Enfant Plaza East''
is changed to ``250 E Street SW.''
Subpart B--[Reserved]
5. Part 4 is amended by adding and reserving subpart B.
6. Part 4 is amended by adding a new subpart C to read as follows:
Subpart C--Minority-, Women- and Individuals With Disabilities-Owned
Business Contracting Outreach Program; Contracting for Goods and
Services
Sec.
4.61 Purpose.
4.62 Definitions.
4.63 Policy.
4.68 Promotion.
4.72 Certification.
4.74 Oversight and monitoring.
Subpart C--Minority-, Women- and Individuals With Disabilities-
Owned Business Contracting Outreach Program; Contracting for Goods
and Services
Sec. 4.61 Purpose.
Pursuant to the Financial Institutions Reform, Recovery, and
Enforcement Act of 1989, Sec. 1216(c), Pub. L. 101-73, 103 Stat. 183,
529 (12 U.S.C. 1833e(c)) and consistent with the Rehabilitation Act of
1973, as amended (29 U.S.C. 701 et seq.), this subpart establishes the
OCC Minority-, Women- and Individuals with Disabilities-Owned Business
Contracting Outreach Program (Outreach Program). The Outreach Program
is intended to ensure that firms owned and operated by minorities,
women, and individuals with disabilities have the opportunity to
participate, to the maximum extent possible, in all contracting
activities of the OCC.
Sec. 4.62 Definitions.
(a) Minority- and/or women-owned (small and large) businesses and
entities owned by minorities and women (MWOB) means firms at least 51
percent unconditionally-owned by one or more members of a minority
group or by one or more women who are citizens of the United States. In
the case of publicly-owned companies, at least 51 percent of each class
of voting stock must be unconditionally-owned by one or more members of
a minority group or by one or more women who are citizens of the United
States. In the case of a partnership, at least 51 percent of the
partnership interest must be unconditionally-owned by one or more
members of a minority group or by one or more women who are citizens of
the United States. Additionally, for the foregoing cases, the
management and daily business operations must be controlled by one or
more such individuals.
(b) Minority means any African American, Native American (means
American Indian, Eskimo, Aleut and Native Hawaiian), Hispanic American,
Asian-Pacific American, or Subcontinent-Asian American.
(c) Individual with disabilities-owned (small and large) businesses
and entities owned by individuals with disabilities (IDOB) means firms
at least 51 percent unconditionally-owned by one or more members who
are individuals with disabilities and citizens of the United States. In
the case of publicly-owned companies, at least 51 percent of each class
of voting stock must be unconditionally-owned by one or more members
who are individuals with disabilities and who are citizens of the
United States. In the case of a partnership, at least 51 percent of the
partnership interest must be unconditionally-owned by one or more
members who are individuals with disabilities and citizens of the
United States. Additionally, for the foregoing cases, the management
and daily business operations must be controlled by one or more such
individuals.
(d) Individual with disabilities means any person who has a
physical or mental impairment which substantially limits one or more of
such person's major life activities, has a record of such an
impairment, or is regarded as having such an impairment. For purposes
of this part, it does not include an individual who is currently
engaging in the illegal use of drugs nor an individual who has a
currently contagious disease or infection and who, by reason of such
disease or infection, would constitute a direct threat to the health or
safety of other individuals or who, by reason of the currently
contagious disease or infection, is unable to perform the duties of the
job as defined by the IDOB.
(e) Unconditional ownership means ownership that is not subject to
conditions or similar arrangements which cause the benefits of the
Outreach Program to accrue to persons other than the participating MWOB
or IDOB.
Sec. 4.63 Policy.
The OCC policy is to ensure that MWOBs and IDOBs have the
opportunity to participate, to the maximum extent possible, in
contracts awarded by the OCC. The OCC awards contracts consistent with
the principles of full and open competition and best value acquisition,
and with the concept of contracting for agency needs at the lowest
practicable cost. The OCC ensures that MWOBs and IDOBs have the
opportunity to participate fully in all contracting activities that the
OCC enters into for goods and services, whether generated by the
headquarters office in Washington, DC, or any other office of the OCC.
Contracting opportunities may include small purchase awards, contracts
above the small purchase threshold, and delivery orders issued against
other governmental agency contracts.
Sec. 4.68 Promotion.
(a) Scope. The OCC, under the direction of the Deputy Comptroller
for Resource Management, engages in promotion and outreach activities
designed to identify MWOBs and IDOBs capable of providing goods and
services needed by the OCC, to facilitate interaction between the OCC
and the MWOBs and IDOBs community, and to indicate the OCC's commitment
to doing business with that community. The Outreach Program is designed
to facilitate OCC's participation in business promotion events
sponsored by other government agencies and attended by minorities,
women and individuals with disabilities. Once the OCC has identified a
prospective participant, it will assist the minority- or women-owned
business or individual with disabilities-owned business in
understanding the OCC's needs and contracting process.
(b) Outreach activities. OCC's Outreach Program includes the
following:
(1) Obtaining various lists and directories of MWOBs and IDOBs
maintained by government agencies;
(2) Contacting appropriate firms for participation in the OCC's
Outreach Program;
(3) Participating in business promotion events comprised of or
attended by MWOBs and IDOBs to explain OCC contracting opportunities
and to obtain names of potential MWOBs and IDOBs;
(4) Ensuring that the OCC contracting staff understands and
actively promotes this Outreach Program; and
(5) Registering MWOBs and IDOBs in the Department of the Treasury's
database to facilitate their participation in the competitive
procurement process for OCC contracts. This database is used by OCC
procurement staff to identify firms to be solicited for OCC
procurements.
Sec. 4.72 Certification.
(a) Objective. To preserve the integrity and foster the Outreach
Program's objectives, each prospective MWOB or IDOB must demonstrate
that it meets the ownership and control requirements for participation
in the Outreach Program.
(b) Process--MWOB. A prospective MWOB may demonstrate its
eligibility for participation in the Outreach Program by:
(1) Submitting a valid MWOB certification received from another
government agency whose definition of MWOB is substantially similar to
that specified in Sec. 4.62(a);
(2) Self-certifying MWOB ownership status by filing with the OCC a
completed and signed certification form as prescribed by the Federal
Acquisition Regulation, 48 CFR 53.301-129; or
(3) Submitting a valid MWOB certification received from the Small
Business Administration.
(c) Process--IDOB. A prospective IDOB may demonstrate its
eligibility for participation in the Outreach Program by:
(1) Submitting a valid IDOB certification received from another
government agency whose definition of IDOB is substantially similar to
that specified in Sec. 4.62(c); or
(2) Self-certifying IDOB ownership status by filing with the OCC a
completed and signed certification as prescribed in the Federal
Acquisition Regulation, 48 CFR 53.301-129, and adding an additional
certifying statement to read as follows:
I certify that I am an individual with disabilities as defined
in 12 CFR 4.62(d), and that my firm, (Name of Firm) qualifies as an
individual with disabilities-owned business as defined in 12 CFR
4.62(c).
Sec. 4.74 Oversight and monitoring.
The Deputy Comptroller for Resource Management shall appoint an
Outreach Program Manager, who shall appoint an Outreach Program
Specialist. The Outreach Program Manager is primarily responsible for
program advocacy, oversight and monitoring.
Dated: August 2, 1994.
Eugene A. Ludwig,
Comptroller of the Currency.
[FR Doc. 94-22058 Filed 9-7-94; 8:45 am]
BILLING CODE 4810-33-P
