[Federal Register Volume 61, Number 145 (Friday, July 26, 1996)]
[Rules and Regulations]
[Pages 39081-39083]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 96-18887]


=======================================================================
-----------------------------------------------------------------------

GENERAL SERVICES ADMINISTRATION

41 CFR Parts 201-23 and 201-24

[FIRMR Amendment 8]
RIN 3090-AF32


Amendment of FIRMR Provisions Relating to GSA's Role in Screening 
Excess and Exchange/Sale Federal Information Processing (FIP) Equipment

AGENCY: Information Technology Service, GSA.

ACTION: Final rule.

-----------------------------------------------------------------------

SUMMARY: This document amends the Federal Information Resources 
Management Regulation (FIRMR) to allow Federal agencies to screen and 
transfer all excess and exchange/sale FIP equipment.
    Currently, the FIRMR requires Federal agencies to request GSA to 
interagency screen and transfer excess equipment that is not outdated 
and has an original acquisition cost (OAC) per component of $1 million 
or more.

EFFECTIVE DATE: August 26, 1996.

FOR FURTHER INFORMATION CONTACT:
R. Stewart Randall, GSA, Office of Policy, Planning and Evaluation, 
Policy and Regulations Division (MKR), 18th and F Streets, NW., Room 
3224, Washington, DC 20405, telephone FTS/Commercial (202) 501-4469 (v) 
or (202) 501-4469 (tdd), or Internet (stewart.randall@gsa.gov).

SUPPLEMENTARY INFORMATION: (1) All comments received in response to the 
proposed rule were reviewed and, where appropriate, incorporated in 
this rule.
    (2) Explanation of the changes being made in this issuance are 
shown below:
    (a) Section 201-23.000 ``Scope of part'' is revised by removing 
paragraphs (b), (c), and (d) to more succinctly describe the entire 
contents of this revised part.
    (b) Section 201-23.001 paragraph (a)(2) is revised and paragraph 
(a)(4) is deleted to remove the reference to the GSA Excess FIP 
Equipment Program. Agencies will no longer be required to submit to GSA 
information about their excess FIP equipment with an OAC above $1 
million for GSA to do interagency screening. It is not necessary for 
GSA to continue to operate this program on a centralized basis. 
Accordingly, the requirement for GSA to be directly involved in 
interagency screening and transfer of excess FIP equipment is removed 
from the FIRMR.

[[Page 39082]]

    (c) Section 201-23.001 paragraph (b) is deleted to remove the 
reference to FIRMR Bulletin C-2, which is referenced elsewhere in this 
rule. Section 201-23.001 paragraph (c) is redesignated as paragraph 
(b).
    (d) In Section 201-23.002, the sentence ``Agencies may interagency 
screen and transfer excess FIP equipment without GSA approval'' is 
added at the end of paragraph c.
    (e) Paragraph (b) of section 201-23.003 is redesignated as (c) and 
a new paragraph (b) is added. In the newly designated section 201-
23.003 paragraph (c)(1), the word ``internal'' is removed because it is 
redundant in this context. The words ``within the agency'' are added at 
the end of the paragraph to distinguish these procedures for 
interagency screening from those GSA will require.
    (f) Section 201-23.003(c) is redesignated as paragraph (d) and is 
completely revised to remove the mandatory reporting requirement for 
agencies to submit equipment with an OAC of $1 million or more to GSA 
or interagency screening purposes. The section now shows that agencies 
must offer to other Federal agencies excess FIP equipment with an OAC 
of $1 million or more in accordance with guidelines that will be 
published in FIRMR Bulletin C-2.
    (g) Section 201-23.003(d) is redesignated as paragraph (e) and is 
revised to remove words indicating GSA's former role in interagency 
screening of agencies' excess FIP equipment.
    (h) Paragraph (h) is added to section 201-23.003 to show that an 
agency may request GSA to review another agency's decision to transfer 
excess FIP equipment.
    (i) Section 201-24.202 referencing the GSA Excess FIP Program as a 
mandatory for consideration program will be removed because changes to 
part 201-23 and FIRMR Bulletin C-2 will make the references no longer 
valid.
    (3) GSA has determined that this rule is not a significant rule for 
the purposes of Executive Order 12866 of September 30, 1993, because it 
is not likely to result in any of the impacts noted in Executive Order 
12866, affect the rights of specified individuals, or raise issues 
arising from the policies of the Administration. GSA has based all 
administrative decisions underlying this rule on adequate information 
concerning the need for and consequences of this rule; has determined 
that the potential benefits to society from this rule outweigh the 
potential costs; has maximized the net benefits; and has chosen the 
alternative approach involving the least net cost to society.

List of Subjects in 41 CFR Parts 201-23 and 201-24

    Archives and records, Computer technology, Federal information 
processing resources activities, Government procurement, Property 
management, Records management, and Telecommunications.

    Accordingly 41 CFR chapter 201 is amended as follows:
    1. Part 201-23 is revised to read as follows:

PART 201-23--DISPOSITION

Sec.
201-23.000  Scope of part.
201-23.001  General.
201-23.002  Policies.
201-23.003  Procedures.

    Authority: 40 U.S.C. 486(c) and 751(f).


Sec. 201-23.000  Scope of part.

    This part prescribes policies and procedures to be followed by 
agencies for disposing of Government-owned Federal information 
processing (FIP) equipment and software that is no longer needed for 
the purpose for which it was acquired.


Sec. 201-23.001  General.

    (a) Government-owned FIP equipment that is no longer needed for the 
purpose for which it was acquired is either--
    (1) Reassigned within the agency;
    (2) Declared excess to the agency's needs and made available for 
transfer to another agency;
    (3) Exchanged or sold as part of a transaction to acquire 
replacement FIP equipment; or
    (4) Declared surplus and made available for donation.
    (b) FIP software that is no longer needed for the purpose for which 
it was acquired is either--
    (1) Reassigned within the agency consistent with the limitations of 
any applicable license; or
    (2) Otherwise disposed of consistent with the limitations of any 
applicable license.


Sec. 201-23.002  Policies.

    Agencies shall--
    (a) Use FIP equipment or FIP software that is available for 
reassignment within the agency or by transfer from another agency when 
such use is the most advantageous alternative to satisfy the agency's 
requirements.
    (b) Make available for reassignment within the agency FIP equipment 
that is not outdated and that is no longer needed for the purpose for 
which it was acquired.
    (c) Make available for interagency screening and transfer to 
another agency, excess FIP equipment that is not outdated and has an 
original acquisition cost (OAC) per component of $1 million or more. 
Interagency transfer of FIP equipment that is not outdated with an OAC 
per component of less than $1 million, is permitted if the holding 
agency learns of a potential user outside of the screening process. 
Agencies may interagency screen and transfer excess FIP equipment 
without GSA approval.
    (d) Make available for surplus donation or subsequent sale, excess 
FIP equipment not exchanged, sold, reassigned or transferred.
    (e) Consistent with the limitations of any applicable license--
    (1) Make available for reassignment within the agency FIP software 
that is no longer needed for the purpose for which it was acquired;
    (2) Make available for interagency transfer, excess FIP software 
not exchanged or sold, if the holding agency learns of a potential user 
outside of the screening process (GSA does not require interagency 
screening of FIP software);
    (3) For excess FIP software not reassigned, transferred, exchanged, 
or sold, either:
    (i) Return it to the licensor; or
    (ii) Destroy it after a duly authorized agency official determines 
in writing that destruction is the most cost-effective disposal 
approach.


Sec. 201-23.003  Procedures.

    (a) Each agency head shall designate an agency point of contact for 
managing the disposition of FIP equipment and software. Each agency 
shall submit the name, address, and phone number of this individual to 
the General Services Administration/MKA, 18th and F Streets NW., 
Washington, DC 20405.
    (b) GSA will convene meetings with agency points of contacts 
periodically to discuss emerging issues relating to the disposition of 
excess FIP resources.
    (c) Agencies shall--
    (1) Establish procedures for the reassignment of FIP equipment and 
software within the agency; and
    (2) Obtain approval from the agency DSO before reassigning outdated 
FIP equipment.
    (d) Agencies shall offer excess FIP equipment that is not outdated 
and has an OAC per component of $1 million or more to other Federal 
agencies in accordance with FIRMR Bulletin C-2.
    (e) Agencies may conduct exchange/sale transactions of FIP 
equipment and software not transferred to another agency without GSA 
approval. (Exchange/sale transactions for FIP equipment may be 
initiated in parallel

[[Page 39083]]

with interagency screening, but screening of exchange/sale transactions 
with an OAC per component of $1 million or more shall be completed 
prior to concluding an exchange/sale transaction.) When an agency 
determines that FIP equipment will be replaced by exchanging or selling 
it, the agency shall follow the contracting policies and procedures in 
part 201-39 and the Federal Acquisition Regulation (FAR) (48 CFR 
chapter 1) and the policies and procedures on exchange/sale contained 
in 41 CFR part 101-46. FIP software transactions must be consistent 
with the limitations of any applicable license.
    (f) Agencies shall make available for surplus donation or 
subsequent sale, in accordance with 41 CFR parts 101-44 and 101-45, 
excess FIP equipment not exchanged, sold, reassigned, or transferred.
    (g) Agencies shall apply the policies and procedures of this part 
201-23 to FIP equipment used by grantees and contractors when FIP 
equipment is--
    (1) Acquired by the contractor or grantee under a contract or grant 
and the terms vest title in the Government or the Government is 
obligated or has the option to take over title;
    (2) Furnished to the grantee or contractor by the Government 
(Transfer of excess FIP equipment to agency project grantees shall be 
conducted in accordance with 41 CFR 101-43.314.); or
    (3) Operated by the grantee or contractor as part of a Government-
owned or Government-controlled facility.
    (h) Agencies may request GSA to review another agency's decision to 
transfer excess FIP equipment. Requests shall be sent to the General 
Services Administration/MKA, 18th and F Streets NW., Washington, DC 
20405.

PART 201-24--GSA SERVICES AND ASSISTANCE

    2. The authority citation for part 201-24 continues to read as 
follows:

    Authority: 40 U.S.C. 486(c) and 751(f).


Sec. 201-24.202  [Removed and reserved]

    3. Section 201-24.202 is removed and reserved.

    Dated: July 10, 1996.
William R. Ratchford,
Acting Administrator of General Services.
[FR Doc. 96-18887 Filed 7-25-96; 8:45 am]
BILLING CODE 6820-25-M