80_FR_24930 80 FR 24846 - Women-Owned Small Business Federal Contract Program

80 FR 24846 - Women-Owned Small Business Federal Contract Program

SMALL BUSINESS ADMINISTRATION

Federal Register Volume 80, Issue 84 (May 1, 2015)

Page Range24846-24850
FR Document2015-10331

The U.S. Small Business Administration (SBA) proposes to amend its regulations to implement section 825 of the National Defense Authorization Act for Fiscal Year 2015 (2015 NDAA). Section 825 of the 2015 NDAA included language granting contracting officers the authority to award sole source contracts to Women- Owned Small Businesses (WOSBs) and Economically Disadvantaged Women- Owned Small Businesses (EDWOSBs). Section 825 of the 2015 NDAA also changed the deadline for SBA to conduct a study to determine the industries in which WOSBs are underrepresented to January 2, 2016. As a result, SBA is proposing to amend its definitions of underrepresentation and substantial underrepresentation.

Federal Register, Volume 80 Issue 84 (Friday, May 1, 2015)
[Federal Register Volume 80, Number 84 (Friday, May 1, 2015)]
[Proposed Rules]
[Pages 24846-24850]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2015-10331]


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SMALL BUSINESS ADMINISTRATION

13 CFR Part 127

RIN 3245-AG72


Women-Owned Small Business Federal Contract Program

AGENCY: U.S. Small Business Administration.

ACTION: Proposed rule.

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SUMMARY: The U.S. Small Business Administration (SBA) proposes to amend 
its regulations to implement section 825 of the National Defense 
Authorization Act for Fiscal Year 2015 (2015 NDAA). Section 825 of the 
2015 NDAA included language granting contracting officers the authority 
to award sole source contracts to Women-

[[Page 24847]]

Owned Small Businesses (WOSBs) and Economically Disadvantaged Women-
Owned Small Businesses (EDWOSBs). Section 825 of the 2015 NDAA also 
changed the deadline for SBA to conduct a study to determine the 
industries in which WOSBs are underrepresented to January 2, 2016. As a 
result, SBA is proposing to amend its definitions of 
underrepresentation and substantial underrepresentation.

DATES: Comments must be received on or before June 30, 2015.

ADDRESSES: You may submit comments, identified by RIN: 3245-AG72, or by 
docket number SBA-2015-0004, by any of the following methods: (1) 
Federal Rulemaking Portal: http://www.regulations.gov and follow the 
instructions for submitting comments; or (2) Mail/Hand Delivery/
Courier: Brenda Fernandez, U.S. Small Business Administration, Office 
of Policy, Planning & Liaison, 409 Third Street SW., 8th Floor, 
Washington, DC 20416. SBA will not accept comments to this proposed 
rule submitted by email. SBA will post all comments on 
www.regulations.gov. If you wish to submit confidential business 
information (CBI) as defined in the User Notice at www.regulations.gov, 
please submit the information to Brenda Fernandez, U.S. Small Business 
Administration, Office of Policy, Planning and Liaison, 409 Third 
Street SW., 8th Floor, Washington, DC 20416, or send an email to 
brenda.fernandez@sba.gov. Highlight the information that you consider 
to be CBI and explain why you believe SBA should hold this information 
as confidential. SBA will review the information and make the final 
determination on whether it will publish the information.

FOR FURTHER INFORMATION CONTACT: Brenda Fernandez, U.S. Small Business 
Administration, Office of Policy, Planning & Liaison, 409 Third Street 
SW., 8th Floor, Washington, DC 20416; (202) 205-7337; 
brenda.fernandez@sba.gov.

SUPPLEMENTARY INFORMATION: 

I. Background

    The Women-Owned Small Business (WOSB) Program, set forth in section 
8(m) of the Small Business Act, 15 U.S.C. 637(m), authorizes Federal 
contracting officers to restrict competition to eligible Women-Owned 
Small Businesses (WOSBs) or Economically Disadvantaged Women-Owned 
Small Businesses (EDWOSBs) for Federal contracts in certain industries. 
Section 8(m) of the Small Business Act (Act) sets forth certain 
criteria for the WOSB Program, including the eligibility and contract 
requirements for the program. Congress recently amended the WOSB 
Program with section 825 of the National Defense Authorization Act for 
Fiscal Year 2015, Public Law 113-291, 128 Stat. 3292 (December 19, 
2014) (2015 NDAA), which included language granting contracting 
officers the authority to award sole source awards to WOSBs and EDWOSBs 
and shortening the time period for SBA to conduct a required study to 
determine the industries in which WOSBs are underrepresented.

II. Section-by-Section Analysis

A. Sole Source Authority

    In order to implement these statutory changes, SBA is proposing to 
amend 13 CFR part 127. Specifically, this proposed rule amends Sec.  
127.101, concerning the type of contracting assistance available under 
part 127, to include the new sole source authority. This proposed rule 
also amends the definitions of the terms ``EDWOSB requirement'' and 
``WOSB requirement'' in Sec.  127.102 to include sole source contracts. 
The proposed rule also amends Sec.  127.500, which concerns the 
industries in which a contracting officer is authorized to restrict 
competition under the WOSB program, to address the new sole source 
authority.
    SBA proposes to amend Sec.  127.503 by adding two new paragraphs to 
incorporate the statutory language of section 825 of the 2015 NDAA 
granting authority for sole source contracts to EDWOSBs and WOSBs. 
Under this statutory authority, if a contracting officer conducts 
market research in an industry where a WOSB or EDWOSB set-aside is 
authorized, and the contracting officer cannot identify two or more 
WOSBs or EDWOSBs that can perform at a fair and reasonable price, but 
identifies one WOSB or EDWOSB that can perform at a fair and reasonable 
price, the contracting officer can award the contract on a sole source 
basis, if the value of the contract, including options, does not exceed 
$6.5 million for manufacturing contracts and $4 million for all other 
contracts.
    The proposed rule also amends Sec.  127.507, concerning contracting 
opportunities at or below the simplified acquisition threshold, to 
address sole source awards under the WOSB Program. Finally, the 
proposed rule amends the protest regulations in Sec.  127.600 to 
include procedures for protests involving sole source contracts. The 
protest procedures for sole source contracts to WOSBs and EDWOSBs would 
be the same as those procedures for sole source contracts involving 
service-disabled veteran owned small business concerns (SDVO SBC) 
(Sec.  125.24(a)) and HUBZone small business concerns (Sec.  
126.800(a)).

B. Time Period for Study

    In order to comply with the revised timeline for SBA to conduct a 
required study to determine the industries in which WOSBs are 
underrepresented, SBA is proposing to revise the definitions of 
``underrepresentation'' and ``substantial underrepresentation'' in 
Sec.  127.102. Section 825 established a new timeline for SBA to 
conduct a study to determine the industries in which WOSBs are 
underrepresented. The original deadline for this study was established 
by section 1697(b) of the National Defense Authorization Act of 2013, 
Pub. L. 112-239, January 2, 2013, 126 Stat. 2091 (2013 NDAA), which 
required SBA to conduct a study of the industries in which WOSBs are 
underrepresented within five years of the date of enactment of the 2013 
NDAA (and every 5 years thereafter). Section 825 of the 2015 NDAA 
amended section 1697(b) of the 2013 NDAA and changed the deadline to 
within 3 years of the date of enactment of the 2013 NDAA, which means 
the study must be conducted by January 2, 2016.
    In order to meet this deadline, the proposed rule amends the 
definitions of the terms ``substantial underrepresentation'' and 
``underrepresentation'' in Sec.  127.102. This change would allow SBA 
to conduct a study within the time constraint imposed by Congress by 
providing SBA with the flexibility necessary to conduct the most 
reliable and relevant study of WOSB participation in Federal 
contracting. In addition, the new definitions of these terms would 
align more closely than the current definitions with the statutory 
intent of the 2013 NDAA and the 2015 NDAA.

C. Other

    SBA recognizes that Section 825 also created a requirement that a 
firm be certified as a WOSB or EDWOSB by a Federal Agency, a State 
government, SBA, or a national certifying entity approved by SBA. This 
statutory requirement appears to apply to both sole source and set 
asides under the WOSB Program, and may require substantial resources. 
Establishing a certification requirement and process will require a 
more prolonged rulemaking before SBA can establish such a program. In 
our view, there is no evidence that Congress intended to halt the 
existing WOSB Program until such time as SBA establishes the

[[Page 24848]]

infrastructure and issues regulations implementing the statutory 
certification requirement. Instead, we maintain that the new WOSB sole 
source authority can and should be implemented as quickly as possible, 
using existing program rules and procedures, while SBA proceeds with 
implementing the certification requirement through a separate 
rulemaking.

III. Compliance With Executive Orders 12866, 12988, 13132, 13563, the 
Paperwork Reduction Act (44 U.S.C. Ch. 35), and the Regulatory 
Flexibility Act (5 U.S.C. 601-612)

Executive Order 12866

    The Office of Management and Budget (OMB) has determined that this 
rule does not constitute a significant regulatory action under 
Executive Order 12866. This is not a major rule under the Congressional 
Review Act (CRA), 5 U.S.C. 800.

Executive Order 12988

    This action meets applicable standards set forth in Sections 3(a) 
and 3(b)(2) of Executive Order 12988, Civil Justice Reform, to minimize 
litigation, eliminate ambiguity, and reduce burden. The action does not 
have retroactive or preemptive effect.

Executive Order 13132

    For the purpose of Executive Order 13132, SBA has determined that 
the proposed rule will not have substantial direct effects on the 
States, on the relationship between the national government and the 
States, or on the distribution of power and responsibilities among the 
various levels of government. Therefore SBA has determined that this 
proposed rule has no federalism implications warranting the preparation 
of a federalism assessment.

Executive Order 13563

    A description of the need for this regulatory action, the benefits 
and costs associated with this action, and any alternatives are 
included in the Initial Regulatory Flexibility Analysis.
    In drafting this proposed rule, SBA considered input submitted by 
three coalitions of women's groups representing women-owned small 
businesses who support this rule and encourage its quick 
implementation.

Paperwork Reduction Act, 44 U.S.C., Ch. 35

    For the purpose of the Paperwork Reduction Act, 44 U.S.C., Chapter 
35, SBA has determined that this proposed rule does not impose 
additional reporting or recordkeeping requirements.

Regulatory Flexibility Act, 5 U.S.C., 601-612

    According to the Regulatory Flexibility Act (RFA), 5 U.S.C. 601, 
when an agency issues a rulemaking, it must prepare a regulatory 
flexibility analysis to address the impact of the rule on small 
entities. In accordance with this requirement, SBA has prepared an 
Initial Regulatory Flexibility Analysis addressing the impact of this 
rule.

Initial Regulatory Flexibility Analysis

1. What are the need for and objective of this proposed rule?
    This proposed rule is necessary to implement Section 825 of the 
National Defense Authorization Act for Fiscal Year 2015, Public Law 
113-291, December 19, 2014, 128 Stat. 3292 (2015 NDAA). Section 825 of 
the 2015 NDAA included language granting contracting officers the 
authority to award sole source contracts to Women-Owned Small 
Businesses (WOSBs) and Economically Disadvantaged Women-Owned Small 
Businesses (EDWOSBs). The purpose of this rule is to establish the 
procedures whereby Federal agencies may award sole source contracts to 
WOSBs and EDWOSBs and to provide a mechanism to protest such awards. 
The rule provides an additional tool for Federal agencies to ensure 
that WOSBs have an equal opportunity to participate in Federal 
contracting and ensures consistency among SBA's socio-economic small 
business contracting programs. The objectives of this proposed rule are 
to put the WOSB Program on a level playing field with other SBA 
government contracting programs with sole source authority, and to 
provide an additional, needed tool for agencies to meet the statutorily 
mandated 5% prime contracting goal for WOSBs.
    Section 825 of the 2015 NDAA also revised the timeline for SBA to 
conduct a study to determine the industries in which WOSBs are 
underrepresented. This proposed rule is necessary to allow SBA to 
conduct the most reliable and relevant study of WOSB participation in 
Federal contracting and comply with the new statutorily mandated 
timeline.
2. What is the legal basis for this proposed rule?
    The legal basis for this proposed rule is section 825 of the 
National Defense Authorization Act for Fiscal Year 2015, Public Law 
113-291, December 19, 2014, 128 Stat. 3292, which amended Section 8(m) 
of the Small Business Act, 15 U.S.C. 637(m).
3. What is SBA's description and estimate of the number of small 
entities to which the rule will apply?
    The RFA directs agencies to provide a description, and where 
feasible, an estimate of the number of small business concerns that may 
be affected by the rule. This proposed rule establishes a new 
procurement mechanism to benefit WOSBs. Therefore, WOSBs and EDWOSBs 
available to compete for Federal contracts under the WOSB Program are 
the specific group of small business concerns most directly affected by 
this rule.
    SBA searched the Dynamic Small Business Supplemental Search (DSBS) 
and determined that there were approximately 34,000 firms listed as 
either WOSBs or EDWOSBs under the WOSB Program. In addition, according 
to the fiscal year 2013 small business goaling report, there were a 
little over 250,000 actions concerning women-owned small businesses and 
the total dollar value of those actions was approximately $15 billion. 
An analysis of the Federal Procurement Data System from April 1, 2011 
(the implementation date of the WOSB Program) through January 1, 2013, 
revealed that there were approximately 26,712 women-owned small 
business concerns, including 131 EDWOSBs and 388 WOSBs eligible under 
the WOSB Program, that received obligated funds from Federal contract 
awards, task or delivery orders, and modifications to existing 
contracts.
    Therefore, this rule could affect a smaller number of EDWOSBs and 
WOSBs than those eligible under the WOSB Program. We note that the sole 
source authority can only be used where a contracting officer conducts 
market research in an industry where a WOSB or EDWOSB set-aside is 
authorized, and the contracting officer cannot identify two or more 
WOSBs or EDWOSBs that can perform at a fair and reasonable price, but 
identifies one WOSB or EDWOSB that can perform. In addition, the sole 
source authority for WOSBs and EDWOSBs is limited to contracts valued 
at $6.5 million or less for manufacturing contracts and $4 million or 
less for all other contracts.
    Nonetheless, we believe that this rule may have a significant 
positive economic impact on EDWOSB concerns competing for Federal 
contracting opportunities in industries determined by SBA to be 
underrepresented by WOSB concerns and likewise may positively affect 
WOSB concerns

[[Page 24849]]

eligible under the WOSB Program competing in industries determined by 
SBA to be substantially underrepresented by WOSB concerns, since the 
sole source authority will still provide greater access to Federal 
contracting opportunities.
4. What are the projected reporting, recordkeeping, Paperwork Reduction 
Act, and other compliance requirements?
    SBA has determined that this rule does not impose additional 
reporting or recordkeeping requirements.
5. What relevant Federal rules may duplicate, overlap, or conflict with 
this rule?
    SBA has not identified any relevant Federal rules currently in 
effect that duplicates this rule. The sole source mechanism of the WOSB 
program will be an addition to the procurement mechanisms available 
under the existing small business contracting programs that agencies 
currently administer, such as the HUBZone Program, the Service-Disabled 
Veteran-Owned (SDVO) Small Business Program, and the 8(a) Business 
Development Program. The sole source mechanism for WOSBs and EDWOSBs is 
only authorized where a contracting officer conducts market research in 
an industry where a WOSB or EDWOSB set aside is authorized, and the 
contracting officer cannot identify two or more WOSBs or EDWOSBs that 
can perform at a fair and reasonable price, but identifies one WOSB or 
EDWOSB that can perform (and so long as the value of the contract, 
including options, does not exceed $6.5 million for manufacturing 
contracts and $4 million for all other contracts). Therefore, the 
addition of the sole source mechanism for WOSBs and EDWOSBs should 
complement rather than conflict with the goals of existing small 
business procurement programs.
    SBA believes that the Federal Acquisition Regulations (FAR) will 
need to be amended to include this authority so that there is no 
conflict between the SBA's rules and the FAR.
6. What significant alternatives did SBA consider that accomplish the 
stated objectives and minimize and significant economic impact on small 
entitiese?
    The RFA requires agencies to identify alternatives to the rule in 
an effort to minimize any significant economic impact of the rule on 
small entities. The statutory authority for the sole source awards sets 
forth specific criteria, including dollar value thresholds for the 
awards. Therefore, the proposed regulations must implement the 
statutory provisions, and there are no alternatives for these 
regulations.

List of Subjects in 13 CFR Part 127

    Administrative practice and procedure, Government procurement, 
Reporting and recordkeeping requirements, Small businesses.

    Accordingly, for the reasons stated in the preamble, SBA proposes 
to amend 13 CFR part 127 as follows:

PART 127--WOMEN-OWNED SMALL BUSINESS FEDERAL CONTRACT PROGRAM

0
1. The authority for 13 CFR part 127 continues to read as follows:

    Authority: 15 U.S.C. 632, 634(b)(6), 637(m), and 644.

0
2. Revise Sec.  127.101 to read as follows:


Sec.  127.101  What type of assistance is available under this part?

    This part authorizes contracting officers to restrict competition 
or award sole source contracts or orders to eligible Economically 
Disadvantaged Women-Owned Small Businesses (EDWOSBs) for certain 
Federal contracts or orders in industries in which the Small Business 
Administration (SBA) determines that WOSBs are underrepresented in 
Federal procurement. It also authorizes contracting officers to 
restrict competition or award sole source contracts or orders to 
eligible WOSBs for certain Federal contracts or orders in industries in 
which SBA determines that WOSBs are substantially underrepresented in 
Federal procurement and has waived the economically disadvantaged 
requirement.
0
3. Amend Sec.  127.102 by revising the definitions of the terms 
``EDWOSB requirement'', ``Substantial underrepresentation'', 
``Underrepresentation'', and ``WOSB requirement'' to read as follows:


Sec.  127.102  What are the definitions of the terms used in this part?

* * * * *
    EDWOSB requirement means a Federal requirement for services or 
supplies for which a contracting officer has restricted competition or 
awarded a sole source contract or order to eligible EDWOSBs, including 
Multiple Award Contracts, partial set-asides, reserves, sole source 
awards, and orders set-aside for EDWOSBs issued against a Multiple 
Award Contract.
* * * * *
    Substantial underrepresentation is determined by a study using a 
reliable and relevant methodology.
* * * * *
    Underrepresentation is determined by a study using a reliable and 
relevant methodology.
* * * * *
    WOSB requirement means a Federal requirement for services or 
supplies for which a contracting officer has restricted competition or 
awarded a sole source contract or order to eligible WOSBs, including 
Multiple Award Contracts, partial set-asides, reserves, sole source 
awards, and orders set-aside for WOSBs issued against a Multiple Award 
Contract.
0
4. Revise Sec.  127.500 to read as follows:


Sec.  127.500  In what industries is a contracting officer authorized 
to restrict competition or make a sole source award under this part?

    A contracting officer may restrict competition or make a sole 
source award under this part only in those industries in which SBA has 
determined that WOSBs are underrepresented or substantially 
underrepresented in Federal procurement, as specified in Sec.  127.501.
0
5. Amend Sec.  127.503 as follows:
0
a. Revise section heading;
0
b. Revise paragraph (a) subject heading and paragraph (b) subject 
heading;
0
c. Redesigne paragraphs (c), (d), (e) and (f) as paragraphs (e), (f), 
(g) and (h); and
0
d. Add new paragraphs (c) and (d).
    The revisions and additions read as follows:


Sec.  127.503  When is a contracting officer authorized to restrict 
competition or award a sole source contract or order under this part?

    (a) Competition restricted to EDWOSBs. * * *
    (b) Competition restricted to WOSBs. * * *
    (c) Sole source awards to EDWOSBs. For requirements in industries 
designated by SBA as underrepresented pursuant to Sec.  127.501, a 
contracting officer may issue a sole source award to an EDWOSB when the 
contacting officer determines that:
    (1) The EDWOSB is a responsible contractor with respect to 
performance of the requirement and the contracting officer does not 
have a reasonable expectation that 2 or more EDWOSBs will submit 
offers;
    (2) The anticipated award price of the contract (including options) 
will not exceed $6,500,000 in the case of a contract assigned a North 
American

[[Page 24850]]

Industry Classification System (NAICS) code for manufacturing, or 
$4,000,000 in the case of any other contract opportunity; and
    (3) In the estimation of the contracting officer, the award can be 
made at a fair and reasonable price.
    (d) Sole source awards to WOSBs. For requirements in industries 
designated by SBA as substantially underrepresented pursuant to Sec.  
127.501, a contracting officer may issue a sole source award to a WOSB 
when the contacting officer determines that:
    (1) The WOSB is a responsible contractor with respect to 
performance of the requirement and the contracting officer does not 
have a reasonable expectation that 2 or more WOSBs will submit offers;
    (2) The anticipated award price of the contract (including options) 
will not exceed $6,500,000 in the case of a contract assigned a NAICS 
code for manufacturing, or $4,000,000 in the case of any other contract 
opportunity; and
    (3) In the estimation of the contracting officer, the award can be 
made at a fair and reasonable price.
* * * * *
0
6. Revise Sec.  127.507 to read as follows:


Sec.  127.507  Are there EDWOSB and WOSB contracting opportunities at 
or below the simplified acquisition threshold?

    If the requirement is valued at or below the simplified acquisition 
threshold, the contracting may set aside the requirement or award the 
requirement on a sole source basis as set forth in Sec.  127.503.
0
7. Revise Sec.  127.600 to read as follows:


Sec.  127.600  Who may protest the status of a concern as an EDWOSB or 
WOSB?

    (a) For sole source procurements. SBA or the contracting officer 
may protest the proposed awardee's EDWOSB or WOSB status.
    (b) For all other EDWOSB or WOSB requirements. An interested party 
may protest the apparent successful offeror's EDWOSB or WOSB status.

    Dated: April 27, 2015.
Maria Contreras-Sweet,
Administrator.
[FR Doc. 2015-10331 Filed 4-30-15; 8:45 am]
 BILLING CODE 8025-01-P



                                                    24846                       Federal Register / Vol. 80, No. 84 / Friday, May 1, 2015 / Proposed Rules

                                                    developing this sample, DOE was able                    industrial fan lifetime used in the LCC               pressure operating points used in the
                                                    to perform the LCC and PBP                              analysis, manufacturer selling prices                 energy use analysis.
                                                    calculations for each fan selection to                  from the MIA, average annual energy                      11. DOE requests comments on how
                                                    account for the variability in energy                   consumption, and efficiency                           to account for consumers purchasing
                                                    consumption associated with each fan                    distributions from the LCC.                           fans without providing any selection
                                                    selection. DOE notes that when                                                                                data (i.e., design flow and pressure
                                                    developing the LCC sample, it did not                   IV. Issues on Which DOE Seeks Public
                                                                                                                                                                  values) in the LCC calculations.
                                                    include fan sales data for which no flow                Comment
                                                                                                                                                                     12. DOE requests comment on
                                                    and pressure selection information was                     DOE is interested in receiving                     determining the motor horsepower
                                                    available.                                              comment on all aspects of this analysis.              based on 120 percent of the fan shaft
                                                      The primary outputs of the LCC and                    DOE is particularly interested in                     input power when performing the
                                                    PBP analyses are: (1) Average LCC in                    receiving comments and views of                       energy use calculation.
                                                    each standards case; (2) average PBPs;                  interested parties concerning the                        13. DOE requests comments on the
                                                    (3) average LCC savings at each                         following issues:                                     method used in the LCC to identify fans
                                                    standards case relative to the base case;                  1. DOE requests comments on the                    that could be considered substitutes.
                                                    and (4) the percentage of consumers that                equation expressing fan total efficiency                 14. DOE seeks comments and inputs
                                                    experience a net benefit, have no                       as presented in this notice, as a function            regarding the use of typical fan curves
                                                    impact, or have a net cost for each fan                 of flow and total pressure.                           and efficiency curves in order to
                                                    group and efficiency level. The average                    2. DOE requests comment on the                     calculate fan shaft input power at
                                                    annual energy consumption derived in                    values of the flow constant (Q0) and                  different flow and pressure values based
                                                    the LCC analysis is used as an input in                 total pressure constant (P0) used to                  on a fan selection’s performance data at
                                                    the NIA.                                                calculate the minimum fan total                       a single given design point.
                                                                                                            efficiency at a given operating point.                   15. DOE seeks inputs to support the
                                                    E. National Impact Analysis                                3. DOE requests comments on the                    development of trends in fan efficiency
                                                       The NIA estimates the national energy                default transmission efficiency equation              over time in the base case and in the
                                                    savings (NES) and the net present value                 used in the FEI calculation.                          standards cases.
                                                    (NPV) of total consumer costs and                          4. DOE requests comments on the                       The purpose of this NODA is to notify
                                                    savings expected to result from potential               default motor losses assumptions used                 industry, manufacturers, consumer
                                                    new standards at each EL. DOE                           in the FEI calculation.                               groups, efficiency advocates,
                                                    calculated NES and NPV for each EL as                      5. DOE requests comments on how
                                                                                                                                                                  government agencies, and other
                                                    the difference between a base case                      manufacturers determine/would
                                                                                                                                                                  stakeholders of the publication of an
                                                    forecast (without new standards) and                    determine whether to redesign or
                                                                                                                                                                  analysis of potential energy
                                                    the standards case forecast (with                       eliminate a fan model that is not
                                                    standards). Cumulative energy savings                                                                         conservation standards for commercial
                                                                                                            compliant at an operating point or
                                                    are the sum of the annual NES                                                                                 and industrial fans. Stakeholders should
                                                                                                            points at which it has been sold
                                                    determined for the lifetime of a                                                                              contact DOE for any additional
                                                                                                            previously.
                                                    commercial or industrial fan shipped                       6. DOE estimated the number of                     information pertaining to the analyses
                                                    during a 30 year analysis period                        redesigns at each efficiency level based              performed for this NODA.
                                                    assumed to start in 2019.19 Energy                      on the sales data provided by AMCA.                     Issued in Washington, DC, on April 21,
                                                    savings include the full-fuel cycle                     DOE recognizes that the AMCA data                     2015.
                                                    energy savings (i.e., the energy needed                 does not include all commercial and                   Kathleen B. Hogan,
                                                    to extract, process, and deliver primary                industrial fan sales for the industry, and            Deputy Assistant Secretary for Energy
                                                    fuel sources such as coal and natural                   that existing fans can operate at more                Efficiency, Energy Efficiency and Renewable
                                                    gas, and the conversion and distribution                selection points than those at which                  Energy.
                                                    losses of generating electricity from                   they were sold as represented in the                  [FR Doc. 2015–10036 Filed 4–30–15; 8:45 am]
                                                    those fuel sources). The NPV is the sum                 AMCA sales database. DOE requests                     BILLING CODE 6450–01–P
                                                    over time of the discounted net savings                 comments on whether the resulting total
                                                    each year, which consists of the                        conversion costs presented in the
                                                    difference between total energy cost                    spreadsheets released with this NODA                  SMALL BUSINESS ADMINISTRATION
                                                    savings and increases in total equipment                are representative of the industry at the
                                                    costs. NPV results are reported for                     efficiency levels analyzed. If not, how               13 CFR Part 127
                                                    discount rates of 3 and 7 percent.                      should the number of redesigns be                     RIN 3245–AG72
                                                      To calculate the NES and NPV, DOE                     adjusted to be representative of the
                                                    projected future shipments 20 and                       industry?                                             Women-Owned Small Business
                                                    efficiency distributions (for each EL) for                 7. DOE requests additional                         Federal Contract Program
                                                    each potential commercial and                           information to allow quantifying
                                                    industrial fan category. DOE recognizes                 installation, repair, and maintenance                 AGENCY:  U.S. Small Business
                                                    the uncertainty in projecting shipments                 costs for industrial and commercial                   Administration.
                                                    and electricity prices; as a result the                 fans.                                                 ACTION: Proposed rule.
                                                    NIA includes several different scenarios                   8. DOE requests additional
                                                                                                                                                                  SUMMARY:  The U.S. Small Business
mstockstill on DSK4VPTVN1PROD with PROPOSALS




                                                    for each. Other inputs to the NIA                       information to allow quantifying
                                                    include the estimated commercial and                    lifetimes for industrial and commercial               Administration (SBA) proposes to
                                                                                                            fans.                                                 amend its regulations to implement
                                                      19 The LCC and NIA spreadsheet provide results           9. DOE requests additional                         section 825 of the National Defense
                                                    for a different compliance year (2019, 2020, and        information to allow quantifying annual               Authorization Act for Fiscal Year 2015
                                                    2021).                                                                                                        (2015 NDAA). Section 825 of the 2015
                                                      20 The ‘‘shipments’’ worksheet of the NIA
                                                                                                            operating hours for industrial and
                                                    spreadsheet presents the scope of the analysis and      commercial fans.                                      NDAA included language granting
                                                    the total shipments value in units for the fans in         10. DOE seeks inputs and comments                  contracting officers the authority to
                                                    scope.                                                  on the estimates of flow and total                    award sole source contracts to Women-


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                                                                                Federal Register / Vol. 80, No. 84 / Friday, May 1, 2015 / Proposed Rules                                          24847

                                                    Owned Small Businesses (WOSBs) and                      including the eligibility and contract                service-disabled veteran owned small
                                                    Economically Disadvantaged Women-                       requirements for the program. Congress                business concerns (SDVO SBC)
                                                    Owned Small Businesses (EDWOSBs).                       recently amended the WOSB Program                     (§ 125.24(a)) and HUBZone small
                                                    Section 825 of the 2015 NDAA also                       with section 825 of the National Defense              business concerns (§ 126.800(a)).
                                                    changed the deadline for SBA to                         Authorization Act for Fiscal Year 2015,               B. Time Period for Study
                                                    conduct a study to determine the                        Public Law 113–291, 128 Stat. 3292
                                                    industries in which WOSBs are                           (December 19, 2014) (2015 NDAA),                         In order to comply with the revised
                                                    underrepresented to January 2, 2016. As                 which included language granting                      timeline for SBA to conduct a required
                                                    a result, SBA is proposing to amend its                 contracting officers the authority to                 study to determine the industries in
                                                    definitions of underrepresentation and                  award sole source awards to WOSBs                     which WOSBs are underrepresented,
                                                    substantial underrepresentation.                        and EDWOSBs and shortening the time                   SBA is proposing to revise the
                                                    DATES: Comments must be received on                     period for SBA to conduct a required                  definitions of ‘‘underrepresentation’’
                                                    or before June 30, 2015.                                study to determine the industries in                  and ‘‘substantial underrepresentation’’
                                                    ADDRESSES: You may submit comments,                     which WOSBs are underrepresented.                     in § 127.102. Section 825 established a
                                                    identified by RIN: 3245–AG72, or by                                                                           new timeline for SBA to conduct a
                                                                                                            II. Section-by-Section Analysis                       study to determine the industries in
                                                    docket number SBA–2015–0004, by any
                                                    of the following methods: (1) Federal                   A. Sole Source Authority                              which WOSBs are underrepresented.
                                                    Rulemaking Portal: http://                                                                                    The original deadline for this study was
                                                                                                               In order to implement these statutory              established by section 1697(b) of the
                                                    www.regulations.gov and follow the                      changes, SBA is proposing to amend 13
                                                    instructions for submitting comments;                                                                         National Defense Authorization Act of
                                                                                                            CFR part 127. Specifically, this                      2013, Pub. L. 112–239, January 2, 2013,
                                                    or (2) Mail/Hand Delivery/Courier:                      proposed rule amends § 127.101,
                                                    Brenda Fernandez, U.S. Small Business                                                                         126 Stat. 2091 (2013 NDAA), which
                                                                                                            concerning the type of contracting                    required SBA to conduct a study of the
                                                    Administration, Office of Policy,                       assistance available under part 127, to
                                                    Planning & Liaison, 409 Third Street                                                                          industries in which WOSBs are
                                                                                                            include the new sole source authority.                underrepresented within five years of
                                                    SW., 8th Floor, Washington, DC 20416.                   This proposed rule also amends the
                                                    SBA will not accept comments to this                                                                          the date of enactment of the 2013 NDAA
                                                                                                            definitions of the terms ‘‘EDWOSB                     (and every 5 years thereafter). Section
                                                    proposed rule submitted by email. SBA                   requirement’’ and ‘‘WOSB requirement’’
                                                    will post all comments on                                                                                     825 of the 2015 NDAA amended section
                                                                                                            in § 127.102 to include sole source                   1697(b) of the 2013 NDAA and changed
                                                    www.regulations.gov. If you wish to                     contracts. The proposed rule also
                                                    submit confidential business                                                                                  the deadline to within 3 years of the
                                                                                                            amends § 127.500, which concerns the                  date of enactment of the 2013 NDAA,
                                                    information (CBI) as defined in the User                industries in which a contracting officer
                                                    Notice at www.regulations.gov, please                                                                         which means the study must be
                                                                                                            is authorized to restrict competition                 conducted by January 2, 2016.
                                                    submit the information to Brenda                        under the WOSB program, to address                       In order to meet this deadline, the
                                                    Fernandez, U.S. Small Business                          the new sole source authority.                        proposed rule amends the definitions of
                                                    Administration, Office of Policy,                          SBA proposes to amend § 127.503 by                 the terms ‘‘substantial
                                                    Planning and Liaison, 409 Third Street                  adding two new paragraphs to                          underrepresentation’’ and
                                                    SW., 8th Floor, Washington, DC 20416,                   incorporate the statutory language of                 ‘‘underrepresentation’’ in § 127.102.
                                                    or send an email to brenda.fernandez@                   section 825 of the 2015 NDAA granting                 This change would allow SBA to
                                                    sba.gov. Highlight the information that                 authority for sole source contracts to                conduct a study within the time
                                                    you consider to be CBI and explain why                  EDWOSBs and WOSBs. Under this                         constraint imposed by Congress by
                                                    you believe SBA should hold this                        statutory authority, if a contracting                 providing SBA with the flexibility
                                                    information as confidential. SBA will                   officer conducts market research in an                necessary to conduct the most reliable
                                                    review the information and make the                     industry where a WOSB or EDWOSB                       and relevant study of WOSB
                                                    final determination on whether it will                  set-aside is authorized, and the                      participation in Federal contracting. In
                                                    publish the information.                                contracting officer cannot identify two               addition, the new definitions of these
                                                    FOR FURTHER INFORMATION CONTACT:                        or more WOSBs or EDWOSBs that can                     terms would align more closely than the
                                                    Brenda Fernandez, U.S. Small Business                   perform at a fair and reasonable price,               current definitions with the statutory
                                                    Administration, Office of Policy,                       but identifies one WOSB or EDWOSB                     intent of the 2013 NDAA and the 2015
                                                    Planning & Liaison, 409 Third Street                    that can perform at a fair and reasonable             NDAA.
                                                    SW., 8th Floor, Washington, DC 20416;                   price, the contracting officer can award
                                                    (202) 205–7337; brenda.fernandez@                       the contract on a sole source basis, if the           C. Other
                                                    sba.gov.                                                value of the contract, including options,               SBA recognizes that Section 825 also
                                                    SUPPLEMENTARY INFORMATION:                              does not exceed $6.5 million for                      created a requirement that a firm be
                                                                                                            manufacturing contracts and $4 million                certified as a WOSB or EDWOSB by a
                                                    I. Background                                           for all other contracts.                              Federal Agency, a State government,
                                                       The Women-Owned Small Business                          The proposed rule also amends                      SBA, or a national certifying entity
                                                    (WOSB) Program, set forth in section                    § 127.507, concerning contracting                     approved by SBA. This statutory
                                                    8(m) of the Small Business Act, 15                      opportunities at or below the simplified              requirement appears to apply to both
                                                    U.S.C. 637(m), authorizes Federal                       acquisition threshold, to address sole                sole source and set asides under the
                                                    contracting officers to restrict                        source awards under the WOSB                          WOSB Program, and may require
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                                                    competition to eligible Women-Owned                     Program. Finally, the proposed rule                   substantial resources. Establishing a
                                                    Small Businesses (WOSBs) or                             amends the protest regulations in                     certification requirement and process
                                                    Economically Disadvantaged Women-                       § 127.600 to include procedures for                   will require a more prolonged
                                                    Owned Small Businesses (EDWOSBs)                        protests involving sole source contracts.             rulemaking before SBA can establish
                                                    for Federal contracts in certain                        The protest procedures for sole source                such a program. In our view, there is no
                                                    industries. Section 8(m) of the Small                   contracts to WOSBs and EDWOSBs                        evidence that Congress intended to halt
                                                    Business Act (Act) sets forth certain                   would be the same as those procedures                 the existing WOSB Program until such
                                                    criteria for the WOSB Program,                          for sole source contracts involving                   time as SBA establishes the


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                                                    24848                       Federal Register / Vol. 80, No. 84 / Friday, May 1, 2015 / Proposed Rules

                                                    infrastructure and issues regulations                   reporting or recordkeeping                            Section 8(m) of the Small Business Act,
                                                    implementing the statutory certification                requirements.                                         15 U.S.C. 637(m).
                                                    requirement. Instead, we maintain that
                                                                                                            Regulatory Flexibility Act, 5 U.S.C.,                 3. What is SBA’s description and
                                                    the new WOSB sole source authority
                                                                                                            601–612                                               estimate of the number of small entities
                                                    can and should be implemented as                                                                              to which the rule will apply?
                                                    quickly as possible, using existing                       According to the Regulatory
                                                    program rules and procedures, while                     Flexibility Act (RFA), 5 U.S.C. 601,                     The RFA directs agencies to provide
                                                    SBA proceeds with implementing the                      when an agency issues a rulemaking, it                a description, and where feasible, an
                                                    certification requirement through a                     must prepare a regulatory flexibility                 estimate of the number of small
                                                    separate rulemaking.                                    analysis to address the impact of the                 business concerns that may be affected
                                                                                                            rule on small entities. In accordance                 by the rule. This proposed rule
                                                    III. Compliance With Executive Orders                   with this requirement, SBA has                        establishes a new procurement
                                                    12866, 12988, 13132, 13563, the                         prepared an Initial Regulatory                        mechanism to benefit WOSBs.
                                                    Paperwork Reduction Act (44 U.S.C.                      Flexibility Analysis addressing the                   Therefore, WOSBs and EDWOSBs
                                                    Ch. 35), and the Regulatory Flexibility                 impact of this rule.                                  available to compete for Federal
                                                    Act (5 U.S.C. 601–612)                                                                                        contracts under the WOSB Program are
                                                                                                            Initial Regulatory Flexibility Analysis               the specific group of small business
                                                    Executive Order 12866
                                                                                                            1. What are the need for and objective                concerns most directly affected by this
                                                      The Office of Management and Budget                                                                         rule.
                                                                                                            of this proposed rule?
                                                    (OMB) has determined that this rule                                                                              SBA searched the Dynamic Small
                                                    does not constitute a significant                          This proposed rule is necessary to                 Business Supplemental Search (DSBS)
                                                    regulatory action under Executive Order                 implement Section 825 of the National                 and determined that there were
                                                    12866. This is not a major rule under                   Defense Authorization Act for Fiscal                  approximately 34,000 firms listed as
                                                    the Congressional Review Act (CRA),                     Year 2015, Public Law 113–291,                        either WOSBs or EDWOSBs under the
                                                    5 U.S.C. 800.                                           December 19, 2014, 128 Stat. 3292 (2015               WOSB Program. In addition, according
                                                                                                            NDAA). Section 825 of the 2015 NDAA                   to the fiscal year 2013 small business
                                                    Executive Order 12988                                   included language granting contracting                goaling report, there were a little over
                                                       This action meets applicable                         officers the authority to award sole                  250,000 actions concerning women-
                                                    standards set forth in Sections 3(a) and                source contracts to Women-Owned                       owned small businesses and the total
                                                    3(b)(2) of Executive Order 12988, Civil                 Small Businesses (WOSBs) and                          dollar value of those actions was
                                                    Justice Reform, to minimize litigation,                 Economically Disadvantaged Women-                     approximately $15 billion. An analysis
                                                    eliminate ambiguity, and reduce                         Owned Small Businesses (EDWOSBs).                     of the Federal Procurement Data System
                                                    burden. The action does not have                        The purpose of this rule is to establish              from April 1, 2011 (the implementation
                                                    retroactive or preemptive effect.                       the procedures whereby Federal                        date of the WOSB Program) through
                                                                                                            agencies may award sole source                        January 1, 2013, revealed that there
                                                    Executive Order 13132                                   contracts to WOSBs and EDWOSBs and                    were approximately 26,712 women-
                                                      For the purpose of Executive Order                    to provide a mechanism to protest such                owned small business concerns,
                                                    13132, SBA has determined that the                      awards. The rule provides an additional               including 131 EDWOSBs and 388
                                                    proposed rule will not have substantial                 tool for Federal agencies to ensure that              WOSBs eligible under the WOSB
                                                    direct effects on the States, on the                    WOSBs have an equal opportunity to                    Program, that received obligated funds
                                                    relationship between the national                       participate in Federal contracting and                from Federal contract awards, task or
                                                    government and the States, or on the                    ensures consistency among SBA’s socio-                delivery orders, and modifications to
                                                    distribution of power and                               economic small business contracting                   existing contracts.
                                                    responsibilities among the various                      programs. The objectives of this                         Therefore, this rule could affect a
                                                    levels of government. Therefore SBA                     proposed rule are to put the WOSB                     smaller number of EDWOSBs and
                                                    has determined that this proposed rule                  Program on a level playing field with                 WOSBs than those eligible under the
                                                    has no federalism implications                          other SBA government contracting                      WOSB Program. We note that the sole
                                                    warranting the preparation of a                         programs with sole source authority,                  source authority can only be used where
                                                    federalism assessment.                                  and to provide an additional, needed                  a contracting officer conducts market
                                                                                                            tool for agencies to meet the statutorily             research in an industry where a WOSB
                                                    Executive Order 13563
                                                                                                            mandated 5% prime contracting goal for                or EDWOSB set-aside is authorized, and
                                                       A description of the need for this                   WOSBs.                                                the contracting officer cannot identify
                                                    regulatory action, the benefits and costs                  Section 825 of the 2015 NDAA also                  two or more WOSBs or EDWOSBs that
                                                    associated with this action, and any                    revised the timeline for SBA to conduct               can perform at a fair and reasonable
                                                    alternatives are included in the Initial                a study to determine the industries in                price, but identifies one WOSB or
                                                    Regulatory Flexibility Analysis.                        which WOSBs are underrepresented.                     EDWOSB that can perform. In addition,
                                                       In drafting this proposed rule, SBA                  This proposed rule is necessary to allow              the sole source authority for WOSBs and
                                                    considered input submitted by three                     SBA to conduct the most reliable and                  EDWOSBs is limited to contracts valued
                                                    coalitions of women’s groups                            relevant study of WOSB participation in               at $6.5 million or less for manufacturing
                                                    representing women-owned small                          Federal contracting and comply with                   contracts and $4 million or less for all
                                                    businesses who support this rule and                                                                          other contracts.
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                                                                                                            the new statutorily mandated timeline.
                                                    encourage its quick implementation.                                                                              Nonetheless, we believe that this rule
                                                                                                            2. What is the legal basis for this                   may have a significant positive
                                                    Paperwork Reduction Act, 44 U.S.C.,                     proposed rule?                                        economic impact on EDWOSB concerns
                                                    Ch. 35                                                     The legal basis for this proposed rule             competing for Federal contracting
                                                      For the purpose of the Paperwork                      is section 825 of the National Defense                opportunities in industries determined
                                                    Reduction Act, 44 U.S.C., Chapter 35,                   Authorization Act for Fiscal Year 2015,               by SBA to be underrepresented by
                                                    SBA has determined that this proposed                   Public Law 113–291, December 19,                      WOSB concerns and likewise may
                                                    rule does not impose additional                         2014, 128 Stat. 3292, which amended                   positively affect WOSB concerns


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                                                                                Federal Register / Vol. 80, No. 84 / Friday, May 1, 2015 / Proposed Rules                                              24849

                                                    eligible under the WOSB Program                         regulations must implement the                           Substantial underrepresentation is
                                                    competing in industries determined by                   statutory provisions, and there are no                determined by a study using a reliable
                                                    SBA to be substantially                                 alternatives for these regulations.                   and relevant methodology.
                                                    underrepresented by WOSB concerns,                                                                            *     *     *    *      *
                                                                                                            List of Subjects in 13 CFR Part 127
                                                    since the sole source authority will still                                                                       Underrepresentation is determined by
                                                    provide greater access to Federal                         Administrative practice and                         a study using a reliable and relevant
                                                    contracting opportunities.                              procedure, Government procurement,                    methodology.
                                                    4. What are the projected reporting,                    Reporting and recordkeeping                           *     *     *    *      *
                                                    recordkeeping, Paperwork Reduction                      requirements, Small businesses.                          WOSB requirement means a Federal
                                                    Act, and other compliance                                 Accordingly, for the reasons stated in              requirement for services or supplies for
                                                    requirements?                                           the preamble, SBA proposes to amend                   which a contracting officer has
                                                       SBA has determined that this rule                    13 CFR part 127 as follows:                           restricted competition or awarded a sole
                                                    does not impose additional reporting or                                                                       source contract or order to eligible
                                                    recordkeeping requirements.                             PART 127—WOMEN-OWNED SMALL                            WOSBs, including Multiple Award
                                                                                                            BUSINESS FEDERAL CONTRACT                             Contracts, partial set-asides, reserves,
                                                    5. What relevant Federal rules may                      PROGRAM                                               sole source awards, and orders set-aside
                                                    duplicate, overlap, or conflict with this                                                                     for WOSBs issued against a Multiple
                                                    rule?                                                   ■ 1. The authority for 13 CFR part 127                Award Contract.
                                                       SBA has not identified any relevant                  continues to read as follows:                         ■ 4. Revise § 127.500 to read as follows:
                                                    Federal rules currently in effect that                    Authority: 15 U.S.C. 632, 634(b)(6),                § 127.500 In what industries is a
                                                    duplicates this rule. The sole source                   637(m), and 644.                                      contracting officer authorized to restrict
                                                    mechanism of the WOSB program will                                                                            competition or make a sole source award
                                                                                                            ■   2. Revise § 127.101 to read as follows:
                                                    be an addition to the procurement                                                                             under this part?
                                                    mechanisms available under the                          § 127.101 What type of assistance is                    A contracting officer may restrict
                                                    existing small business contracting                     available under this part?                            competition or make a sole source
                                                    programs that agencies currently                           This part authorizes contracting                   award under this part only in those
                                                    administer, such as the HUBZone                         officers to restrict competition or award             industries in which SBA has
                                                    Program, the Service-Disabled Veteran-                  sole source contracts or orders to                    determined that WOSBs are
                                                    Owned (SDVO) Small Business                             eligible Economically Disadvantaged                   underrepresented or substantially
                                                    Program, and the 8(a) Business                          Women-Owned Small Businesses                          underrepresented in Federal
                                                    Development Program. The sole source                    (EDWOSBs) for certain Federal contracts               procurement, as specified in § 127.501.
                                                    mechanism for WOSBs and EDWOSBs                         or orders in industries in which the                  ■ 5. Amend § 127.503 as follows:
                                                    is only authorized where a contracting                  Small Business Administration (SBA)                   ■ a. Revise section heading;
                                                    officer conducts market research in an                  determines that WOSBs are                             ■ b. Revise paragraph (a) subject
                                                    industry where a WOSB or EDWOSB set                     underrepresented in Federal                           heading and paragraph (b) subject
                                                    aside is authorized, and the contracting                procurement. It also authorizes                       heading;
                                                    officer cannot identify two or more                     contracting officers to restrict                      ■ c. Redesigne paragraphs (c), (d), (e)
                                                    WOSBs or EDWOSBs that can perform                       competition or award sole source                      and (f) as paragraphs (e), (f), (g) and (h);
                                                    at a fair and reasonable price, but                     contracts or orders to eligible WOSBs                 and
                                                    identifies one WOSB or EDWOSB that                      for certain Federal contracts or orders in            ■ d. Add new paragraphs (c) and (d).
                                                    can perform (and so long as the value                   industries in which SBA determines                      The revisions and additions read as
                                                    of the contract, including options, does                that WOSBs are substantially                          follows:
                                                    not exceed $6.5 million for                             underrepresented in Federal
                                                    manufacturing contracts and $4 million                                                                        § 127.503 When is a contracting officer
                                                                                                            procurement and has waived the                        authorized to restrict competition or award
                                                    for all other contracts). Therefore, the                economically disadvantaged
                                                    addition of the sole source mechanism                                                                         a sole source contract or order under this
                                                                                                            requirement.                                          part?
                                                    for WOSBs and EDWOSBs should
                                                                                                            ■ 3. Amend § 127.102 by revising the                    (a) Competition restricted to
                                                    complement rather than conflict with
                                                    the goals of existing small business                    definitions of the terms ‘‘EDWOSB                     EDWOSBs. * * *
                                                    procurement programs.                                   requirement’’, ‘‘Substantial                            (b) Competition restricted to WOSBs.
                                                       SBA believes that the Federal                        underrepresentation’’,                                * * *
                                                    Acquisition Regulations (FAR) will need                 ‘‘Underrepresentation’’, and ‘‘WOSB                     (c) Sole source awards to EDWOSBs.
                                                    to be amended to include this authority                 requirement’’ to read as follows:                     For requirements in industries
                                                    so that there is no conflict between the                                                                      designated by SBA as underrepresented
                                                                                                            § 127.102 What are the definitions of the
                                                    SBA’s rules and the FAR.                                terms used in this part?                              pursuant to § 127.501, a contracting
                                                                                                                                                                  officer may issue a sole source award to
                                                    6. What significant alternatives did SBA                *     *     *    *      *                             an EDWOSB when the contacting officer
                                                    consider that accomplish the stated                       EDWOSB requirement means a                          determines that:
                                                    objectives and minimize and significant                 Federal requirement for services or                     (1) The EDWOSB is a responsible
                                                    economic impact on small entitiese?                     supplies for which a contracting officer              contractor with respect to performance
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                                                       The RFA requires agencies to identify                has restricted competition or awarded a               of the requirement and the contracting
                                                    alternatives to the rule in an effort to                sole source contract or order to eligible             officer does not have a reasonable
                                                    minimize any significant economic                       EDWOSBs, including Multiple Award                     expectation that 2 or more EDWOSBs
                                                    impact of the rule on small entities. The               Contracts, partial set-asides, reserves,              will submit offers;
                                                    statutory authority for the sole source                 sole source awards, and orders set-aside                (2) The anticipated award price of the
                                                    awards sets forth specific criteria,                    for EDWOSBs issued against a Multiple                 contract (including options) will not
                                                    including dollar value thresholds for the               Award Contract.                                       exceed $6,500,000 in the case of a
                                                    awards. Therefore, the proposed                         *     *     *    *      *                             contract assigned a North American


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                                                    24850                       Federal Register / Vol. 80, No. 84 / Friday, May 1, 2015 / Proposed Rules

                                                    Industry Classification System (NAICS)                  DEPARTMENT OF TRANSPORTATION                          phone 206–544–5000, extension 1; fax
                                                    code for manufacturing, or $4,000,000                                                                         206–766–5680; Internet https://
                                                    in the case of any other contract                       Federal Aviation Administration                       www.myboeingfleet.com. You may view
                                                    opportunity; and                                                                                              this referenced service information at
                                                                                                            14 CFR Part 39                                        the FAA, Transport Airplane
                                                      (3) In the estimation of the contracting
                                                                                                            [Docket No. FAA–2015–0935; Directorate                Directorate, 1601 Lind Avenue SW.,
                                                    officer, the award can be made at a fair
                                                                                                            Identifier 2014–NM–243–AD]                            Renton, WA. For information on the
                                                    and reasonable price.
                                                                                                                                                                  availability of this material at the FAA,
                                                      (d) Sole source awards to WOSBs. For                  RIN 2120–AA64                                         call 425–227–1221. It is also available
                                                    requirements in industries designated                                                                         on the Internet at http://
                                                    by SBA as substantially                                 Airworthiness Directives; The Boeing
                                                                                                                                                                  www.regulations.gov by searching for
                                                                                                            Company Airplanes
                                                    underrepresented pursuant to § 127.501,                                                                       and locating Docket No. FAA–2015–
                                                    a contracting officer may issue a sole                  AGENCY: Federal Aviation                              0935.
                                                    source award to a WOSB when the                         Administration (FAA), DOT.                            Examining the AD Docket
                                                    contacting officer determines that:                     ACTION: Notice of proposed rulemaking
                                                                                                            (NPRM).                                                  You may examine the AD docket on
                                                      (1) The WOSB is a responsible
                                                                                                                                                                  the Internet at http://
                                                    contractor with respect to performance                                                                        www.regulations.gov by searching for
                                                                                                            SUMMARY:   We propose to adopt a new
                                                    of the requirement and the contracting                                                                        and locating Docket No. FAA–2015–
                                                                                                            airworthiness directive (AD) for certain
                                                    officer does not have a reasonable                      The Boeing Company Model 747–100,                     0935; or in person at the Docket
                                                    expectation that 2 or more WOSBs will                   747–100B, 747–100B SUD, 747–200B,                     Management Facility between 9 a.m.
                                                    submit offers;                                          747–200C, 747–200F, 747–300, 747–                     and 5 p.m., Monday through Friday,
                                                      (2) The anticipated award price of the                400, 747–400D, 747–400F, 747SR, and                   except Federal holidays. The AD docket
                                                    contract (including options) will not                   747SP series airplanes. This proposed                 contains this proposed AD, the
                                                    exceed $6,500,000 in the case of a                      AD was prompted by several reports of                 regulatory evaluation, any comments
                                                    contract assigned a NAICS code for                      chafing of the wire bundles inside the                received, and other information. The
                                                    manufacturing, or $4,000,000 in the case                electrical conduit of the forward and aft             street address for the Docket Office
                                                    of any other contract opportunity; and                  boost pumps of the numbers 1 and 4                    (phone: 800–647–5527) is in the
                                                                                                            main fuel tanks due to high vibration.                ADDRESSES section. Comments will be
                                                      (3) In the estimation of the contracting                                                                    available in the AD docket shortly after
                                                                                                            These wire bundles can chafe through
                                                    officer, the award can be made at a fair                                                                      receipt.
                                                                                                            the wire sleeving into the insulation,
                                                    and reasonable price.                                   exposing the wire conductors. This                    FOR FURTHER INFORMATION CONTACT:
                                                    *     *     *     *    *                                proposed AD would require replacing                   Tung Tran, Aerospace Engineer,
                                                    ■ 6. Revise § 127.507 to read as follows:               the wire bundles inside the electrical                Propulsion Branch, ANM–140S, FAA,
                                                                                                            conduit of the forward and aft boost                  Seattle Aircraft Certification Office,
                                                    § 127.507 Are there EDWOSB and WOSB                     pumps of the numbers 1 and 4 main fuel                1601 Lind Avenue SW., Renton, WA
                                                    contracting opportunities at or below the               tanks with new, improved wire bundles                 98057–3356; phone: 425–917–6505; fax:
                                                    simplified acquisition threshold?                       inserted into conduit liners. We are                  425–917–6590; email: tung.tran@
                                                      If the requirement is valued at or                    proposing this AD to prevent chafing of               faa.gov.
                                                    below the simplified acquisition                        the wire bundles and subsequent arcing
                                                                                                                                                                  SUPPLEMENTARY INFORMATION:
                                                    threshold, the contracting may set aside                between the wiring and the electrical
                                                    the requirement or award the                            conduit creating an ignition source in                Comments Invited
                                                    requirement on a sole source basis as set               the fuel tanks, which could result in a                 We invite you to send any written
                                                                                                            fire and consequent fuel tank explosion.              relevant data, views, or arguments about
                                                    forth in § 127.503.
                                                                                                            DATES: We must receive comments on                    this proposal. Send your comments to
                                                    ■ 7. Revise § 127.600 to read as follows:
                                                                                                            this proposed AD by June 15, 2015.                    an address listed under the ADDRESSES
                                                    § 127.600 Who may protest the status of a               ADDRESSES: You may send comments,                     section. Include ‘‘Docket No. FAA–
                                                    concern as an EDWOSB or WOSB?                           using the procedures found in 14 CFR                  2015–0935; Directorate Identifier 2014–
                                                                                                            11.43 and 11.45, by any of the following              NM–243–AD’’ at the beginning of your
                                                      (a) For sole source procurements. SBA                 methods:                                              comments. We specifically invite
                                                    or the contracting officer may protest                     • Federal eRulemaking Portal: Go to                comments on the overall regulatory,
                                                    the proposed awardee’s EDWOSB or                        http://www.regulations.gov. Follow the                economic, environmental, and energy
                                                    WOSB status.                                            instructions for submitting comments.                 aspects of this proposed AD. We will
                                                      (b) For all other EDWOSB or WOSB                         • Fax: 202–493–2251.                               consider all comments received by the
                                                    requirements. An interested party may                      • Mail: U.S. Department of                         closing date and may amend this
                                                    protest the apparent successful offeror’s               Transportation, Docket Operations, M–                 proposed AD because of those
                                                    EDWOSB or WOSB status.                                  30, West Building Ground Floor, Room                  comments.
                                                                                                            W12–140, 1200 New Jersey Avenue SE.,                    We will post all comments we
                                                     Dated: April 27, 2015.
                                                                                                            Washington, DC 20590.                                 receive, without change, to http://
                                                    Maria Contreras-Sweet,                                     • Hand Delivery: Deliver to Mail
mstockstill on DSK4VPTVN1PROD with PROPOSALS




                                                                                                                                                                  www.regulations.gov, including any
                                                    Administrator.                                          address above between 9 a.m. and 5                    personal information you provide. We
                                                    [FR Doc. 2015–10331 Filed 4–30–15; 8:45 am]             p.m., Monday through Friday, except                   will also post a report summarizing each
                                                    BILLING CODE 8025–01–P                                  Federal holidays.                                     substantive verbal contact we receive
                                                                                                               For service information identified in              about this proposed AD.
                                                                                                            this proposed AD, contact Boeing
                                                                                                            Commercial Airplanes, Attention: Data                 Discussion
                                                                                                            & Services Management, P.O. Box 3707,                   We have received several reports of
                                                                                                            MC 2H–65, Seattle, WA 98124–2207;                     chafing of the wire bundles inside the


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Document Created: 2018-02-21 10:20:51
Document Modified: 2018-02-21 10:20:51
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionProposed Rules
ActionProposed rule.
DatesComments must be received on or before June 30, 2015.
ContactBrenda Fernandez, U.S. Small Business Administration, Office of Policy, Planning & Liaison, 409 Third Street SW., 8th Floor, Washington, DC 20416; (202) 205-7337; [email protected]
FR Citation80 FR 24846 
RIN Number3245-AG72
CFR AssociatedAdministrative Practice and Procedure; Government Procurement; Reporting and Recordkeeping Requirements and Small Businesses

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