[Federal Register Volume 61, Number 18 (Friday, January 26, 1996)]
[Rules and Regulations]
[Pages 2626-2627]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-1014]
[[Page 2625]]
_______________________________________________________________________
Part IV
Department of Defense
General Services Administration
National Aeronautics and Space Administration
_______________________________________________________________________
48 CFR Ch. I, et al.
Federal Acquisition Regulations; Final and Interim Rules
Federal Register / Vol. 61, No. 18 / Friday, January 26, 1996 / Rules
and Regulations
[[Page 2626]]
DEPARTMENT OF DEFENSE
GENERAL SERVICES ADMINISTRATION
NATIONAL AERONAUTICS AND SPACE ADMINISTRATION
48 CFR Chapter 1
Federal Acquisition Circular 90-37 Introduction
AGENCY: Department of Defense (DOD), General Services Administration
(GSA), and National Aeronautics and Space Administration (NASA).
ACTION: Summary presentation of final and interim rules with request
for comment.
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SUMMARY: This document summarizes the Federal Acquisition Regulation
(FAR) rules which follow it in the order listed below. The Civilian
Agency Acquisition Council and the Defense Acquisition Regulations
Council are issuing Federal Acquisition Circular (FAC) 90-37 to amend
the FAR.
DATES: For effective dates and comment dates, see separate documents
which follow. Please cite FAC 90-37 and the appropriate FAR case
number(s) in all correspondence related to the following documents.
FOR FURTHER INFORMATION CONTACT:
The analyst whose name appears (in the table below) 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 90-37 and specific FAR case number(s).
SUPPLEMENTARY INFORMATION: Federal Acquisition Circular 90-37 amends
the Federal Acquisition Regulation (FAR) as specified below:
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Item Subject FAR case Analyst
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I...................... Inherently Governmental Functions.......... 92-051 O'Such.
II..................... Javits-Wagner-O'Day Program................ 91-108 Klein.
III.................... Made in America Labels/Unfair Trade 93-301/ De Stefano.
Practices. 93-306
IV..................... Debarment and Suspension Certificate....... 92-615 De Stefano.
V...................... Nonprofit Institutions Clause Prescription. 92-010 Olson.
VI..................... Field Pricing Support Request.............. 95-006 Olson.
VII.................... Subcontract Proposal Audits................ 92-002 Olson.
VIII................... Overhead Should--Cost Reviews.............. 92-017 Olson.
IX..................... SBA Responsibility, Certificate of 92-606 Klein.
Competency Requests.
X...................... Mentor Protege Program (Interim)........... 93-308 Klein.
XI..................... Subcontracting Plans....................... 92-019 Klein.
XII.................... Insurance--Liability to Third Persons 92-014 O'Such.
(under Cost Reimbursement Contracts).
XIII................... Availability of Accounting Guide........... 94-002 Olson.
XIV.................... Nonallowability of Excise Taxes on 92-604 Olson.
Nondeductible Contributions to Deferred
Compensation Plans.
XV..................... Contractors' Purchasing Systems Reviews and 92-040 Klein.
Subcontractor Consent.
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Item I--Inherently Governmental Functions (FAR Case 92-051)
This final rule amends FAR Parts 7, 11, and 37 to provide policy
and procedures relating to inherently governmental functions. Subpart
7.5 is added to provide a definition of ``inherently governmental
functions'' and to provide a list of examples of functions considered
to be inherently governmental, or which shall be treated as such, and a
list of certain services and actions that are not considered to be
inherently governmental functions.
Item II--Javits-Wagner-O'Day Program (JWOD) (FAR Case 91-108)
This final rule amends FAR Parts 8, 51, and 52 to clarify that the
Government's statutory obligation to purchase certain items from the
Committee for Purchase from People Who Are Blind or Severely Disabled
also applies when contractors purchase items for Government use.
Item III--Made in America Labels/Unfair Trade Practices (FAR Cases 93-
301 and 93-306)
This final rule amends FAR 9.403, 9.406, and 9.407 to add language
concerning suspension or debarment of contractors who engage in unfair
trade practices and/or intentionally affix a label bearing a ``Made in
America'' inscription (or any inscription having the same meaning) to a
product sold in or shipped to the United States.
Item IV--Debarment and Suspension Certificate (FAR Case 92-615)
This final rule amends FAR 9.406-2, 9.407-2, and 52.209-5 to add
``tax evasion'' as a cause for debarment or suspension.
Item V--Nonprofit Institutions Clause Prescription (FAR Case 92-010)
This final rule amends the prescriptions for use of the clauses at
52.215-27, Termination of Defined Benefit Pension Plans, and 52.215-39,
Reversion or Adjustment of Plans for Postretirement Benefits Other Than
Pensions (PRB), and also clarifies the language of the clauses.
Item VI--Field Pricing Support Request (FAR Case 95-006)
This final rule revises FAR 15.805-5(c)(1) to clarify that
contracting officers may send audit requests directly to the cognizant
audit office, if no other type of field pricing support is required.
Item VII--Subcontract Proposal Audits (FAR Case 92-002)
This final rule amends FAR 15.806-3, Field pricing reports, to add
two additional examples of when field pricing support audits of
subcontract proposals may be appropriate. The first example is when the
contractor or higher tier subcontractor has been cited for having
significant estimating system deficiencies in the area of subcontract
pricing. The second example is when a lower tier subcontractor has been
cited as having significant estimating system deficiencies.
Item VIII--Overhead Should-Cost Reviews (FAR Case 92-017)
This final rule amends FAR 15.810 to add guidance on overhead
should-cost reviews.
Item IX--SBA Responsibility, Certificate of Competency Requests (FAR
Case 92-606)
This final rule amends FAR 19.602-2 to reflect the approval of
Small Business Administration regional offices to issue Certificate of
Competency (COC) Determinations as provided in 13 CFR Part 125.
[[Page 2627]]
Item X--Mentor Protege Program (FAR Case 93-308)
This interim rule amends FAR 19.702, Statutory requirements, to
allow mentor firms participating in the Department of Defense (DOD)
Mentor-Protege Program to be granted credit toward subcontracting goals
under small business subcontracting plans entered into with any
executive agency. FAR 52.244-5, Competition in Subcontracting, is
amended to permit DOD mentor firms to award subcontracts on a
noncompetitive basis to protege firms under DOD and other contracts.
Item XI--Subcontracting Plans (FAR Case 92-019)
This final rule amends FAR 19.705-2(d) to expand the circumstances
when subcontracting plans may be required from and negotiated with more
than the apparently successful offeror. The clause prescription at
19.708(b)(1) and Alternate II for the clause at 52.219-9 are added for
use when subcontracting plans are required with initial proposals.
Item XII--Insurance--Liability to Third Persons (under Cost
Reimbursement Contracting) (FAR Case 92-014)
This final rule deletes the provision at FAR 52.228-6 and makes
related changes at 28.311, 52.228-7, 52.245-7, and 52.245-10 to remove
obsolete language pertaining to liability insurance under cost-
reimbursement contracts.
Item XIII--Availability of Accounting Guide (FAR Case 94-002)
This final rule amends FAR Part 31 to add a new section 31.001
advising contractors on how to obtain a copy of an informational guide
entitled ``Guidance for New Contractors.''
Item XIV--Nonallowability of Excise Taxes on Nondeductible
Contributions to Deferred Compensation Plans (FAR Case 92-604)
This final rule amends FAR 31.205-41 to designate excise taxes at
subtitle D, chapter 43 of the Internal Revenue Code, as unallowable
costs.
Item XV--Contractors' Purchasing Systems Reviews and Subcontractor
Consent (FAR Case 92-40)
This final rule amends FAR Parts 44 and 52 to increase the
thresholds for Contractors' Purchasing Systems Reviews (CPSR's) and
subcontract consent. The threshold at 44.302(a) for performing CPSR's
is raised from $10 million to $25 million. The threshold at 52.244-2(a)
for consent to subcontract under cost-reimbursement and letter prime
contracts for fabrication, purchase, rental, installation, or other
acquisition for special test equipment is raised from $10,000 to
$25,000. The threshold at 52.244-2(b)(1) requiring additional
information on certain subcontracts is raised from $10,000 to $25,000.
Dated: January 11, 1996.
Edward C. Loeb,
Acting Director, Office of Federal Acquisition Policy.
Federal Acquisition Circular
Number 90-37
Federal Acquisition Circular (FAC) 90-37 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 90-37 is effective
March 26, 1996, except for Item X which is effective January 26, 1996.
Dated: January 4, 1996.
Eleanor R. Spector,
Director, Defense Procurement.
Dated: January 17, 1996.
Ada M. Ustad,
Deputy Associate Administrator, Office of Acquisition Policy, General
Services Administration.
Dated: January 12, 1996.
Deidre A. Lee,
Associate Administrator for Procurement, National Aeronautics and Space
Administration.
[FR Doc. 96-1014 Filed 1-25-96; 8:45 am]
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