80_FR_82138 80 FR 81887 - Federal Acquisition Regulation; Definition of “Multiple-Award Contract”

80 FR 81887 - Federal Acquisition Regulation; Definition of “Multiple-Award Contract”

DEPARTMENT OF DEFENSE
GENERAL SERVICES ADMINISTRATION
NATIONAL AERONAUTICS AND SPACE ADMINISTRATION

Federal Register Volume 80, Issue 251 (December 31, 2015)

Page Range81887-81888
FR Document2015-32427

DoD, GSA, and NASA are issuing a final rule to amend the Federal Acquisition Regulation (FAR) to define ``multiple-award contract.''

Federal Register, Volume 80 Issue 251 (Thursday, December 31, 2015)
[Federal Register Volume 80, Number 251 (Thursday, December 31, 2015)]
[Rules and Regulations]
[Pages 81887-81888]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2015-32427]



[[Page 81887]]

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DEPARTMENT OF DEFENSE

GENERAL SERVICES ADMINISTRATION

NATIONAL AERONAUTICS AND SPACE ADMINISTRATION

48 CFR Part 2

[FAC 2005-86; FAR Case 2015-019; Item I; Docket 2015-0019, Sequence 1]
RIN 9000-AM96


Federal Acquisition Regulation; Definition of ``Multiple-Award 
Contract''

AGENCY: Department of Defense (DoD), General Services Administration 
(GSA), and National Aeronautics and Space Administration (NASA).

ACTION: Final rule.

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

SUMMARY: DoD, GSA, and NASA are issuing a final rule to amend the 
Federal Acquisition Regulation (FAR) to define ``multiple-award 
contract.''

DATES: Effective: February 1, 2016.

FOR FURTHER INFORMATION CONTACT: Ms. Mahruba Uddowla, Procurement 
Analyst, at 703-605-2868, for clarification of content. For information 
pertaining to status or publication schedules, contact the Regulatory 
Secretariat Division at 202-501-4755. Please cite FAC 2005-86, FAR Case 
2015-019.

SUPPLEMENTARY INFORMATION:

I. Background

    DoD, GSA, and NASA published a proposed rule in the Federal 
Register at 80 FR 31342 on June 2, 2015, soliciting public comments 
regarding the definition of the term ``multiple-award contract.'' The 
proposed rule was implementing the definition that the U.S. Small 
Business Administration (SBA) established at 13 CFR 125.1(k) in its 
final rule which published in the Federal Register at 78 FR 61114 on 
October 2, 2013. SBA's final rule implemented several provisions of the 
Small Business Jobs Act of 2010, Pub. L. 111-240. Section 1311 of Pub. 
L. 111-240 (15 U.S.C. 632(v)) added a definition of ``multiple-award 
contract.'' One respondent submitted a comment on the proposed rule.

II. Discussion and Analysis

    The Civilian Agency Acquisition Council and the Defense Acquisition 
Regulations Council (the Councils) reviewed the comment in the 
development of the final rule. A discussion of the comment is provided 
as follows:

A. Summary of Significant Changes

    There were no changes made to the rule as a result of the comment 
received. There were no comments on the Regulatory Flexibility Act 
analysis.

B. Analysis of Public Comments

    Comment: One respondent stated that based on the proposed 
definition, any award made to multiple sources from one solicitation is 
a multiple award, even when the requirement is split between offerors 
and none of the subsequent task orders are competed because each 
offeror gets part of the overall requirement in the solicitation. The 
respondent requested that the FAR definition clarify that a multiple-
award contract is one that should be subject to fair opportunity.
    Response: FAR 16.505(b)(1) provides information concerning fair 
opportunity. Additional clarity is not needed for the definition of 
``multiple-award contract'' concerning fair opportunity since it is 
already provided at FAR 16.505(b)(1).

III. Executive Orders 12866 and 13563

    Executive Orders (E.O.s) 12866 and 13563 direct agencies to assess 
all costs and benefits of available regulatory alternatives and, if 
regulation is necessary, to select regulatory approaches that maximize 
net benefits (including potential economic, environmental, public 
health and safety effects, distributive impacts, and equity). E.O. 
13563 emphasizes the importance of quantifying both costs and benefits, 
of reducing costs, of harmonizing rules, and of promoting flexibility. 
This is not a significant regulatory action and, therefore, was not 
subject to review under section 6(b) of E.O. 12866, Regulatory Planning 
and Review, dated September 30, 1993. This rule is not a major rule 
under 5 U.S.C. 804.

IV. Regulatory Flexibility Act

    DoD, GSA, and NASA have prepared a Final Regulatory Flexibility 
Analysis (FRFA) consistent with the Regulatory Flexibility Act, 5 
U.S.C. 601, et seq. The FRFA is summarized as follows:

    The final rule amends the FAR to define ``multiple-award 
contract.'' On October 2, 2013, the Small Business Administration 
(SBA) issued a final rule in the Federal Register at 78 FR 61114 to 
implement various sections of the Small Business Jobs Act of 2010 
(Public L. 111-240) by establishing new policies and procedures for 
multiple-award contracts and task and delivery orders. SBA's final 
rule included a definition of ``multiple-award contract''. The final 
rule defines ``multiple-award contract'' in order to implement that 
part of SBA's final rule in the FAR.
    There were no significant issues raised by the public in 
response to the Initial Regulatory Flexibility Analysis provided in 
the proposed rule.
    This rule applies to all entities that do business with the 
Federal Government, but it is not expected to have a significant 
impact.
    This rule does not impose any new reporting, recordkeeping or 
other compliance requirements. The rule does not duplicate, overlap, 
or conflict with any other Federal rules.

    Interested parties may obtain a copy of the FRFA from the 
Regulatory Secretariat. The Regulatory Secretariat has submitted a copy 
of the FRFA to the Chief Counsel for Advocacy of the Small Business 
Administration.

V. Paperwork Reduction Act

    The rule does not contain any information collection requirements 
that require the approval of the Office of Management and Budget under 
the Paperwork Reduction Act (44 U.S.C. chapter 35).

List of Subject in 48 CFR Part 2

    Government procurement.

    Dated: December 17, 2015.
William F. Clark,
Director, Office of Government-wide Acquisition Policy, Office of 
Acquisition Policy, Office of Government-wide Policy.

    Therefore, DoD, GSA, and NASA amend 48 CFR part 2 as set forth 
below:

PART 2--DEFINITIONS OF WORDS AND TERMS

0
1. The authority citation for 48 CFR part 2 continues to read as 
follows:

    Authority: 40 U.S.C. 121(c); 10 U.S.C. chapter 137; and 51 
U.S.C. 20113.

0
2. Amend section 2.101 in paragraph (b)(2) by adding, in alphabetical 
order, the definition ``Multiple-award contract'' to read as follows:


2.101  Definitions.

* * * * *
    (b) * * *
    (2) * * *
    Multiple-award contract means a contract that is--
    (1) A Multiple Award Schedule contract issued by GSA (e.g., GSA 
Schedule Contract) or agencies granted Multiple Award Schedule contract 
authority by GSA (e.g., Department of Veterans Affairs) as described in 
FAR part 38;
    (2) A multiple-award task-order or delivery-order contract issued 
in accordance with FAR subpart 16.5, including Governmentwide 
acquisition contracts; or
    (3) Any other indefinite-delivery, indefinite-quantity contract 
entered into

[[Page 81888]]

with two or more sources pursuant to the same solicitation.
* * * * *

[FR Doc. 2015-32427 Filed 12-30-15; 8:45 am]
BILLING CODE 6820-EP-P



                                                              Federal Register / Vol. 80, No. 251 / Thursday, December 31, 2015 / Rules and Regulations                                          81887

                                             DEPARTMENT OF DEFENSE                                    A. Summary of Significant Changes                        There were no significant issues raised by
                                                                                                                                                            the public in response to the Initial
                                                                                                        There were no changes made to the                   Regulatory Flexibility Analysis provided in
                                             GENERAL SERVICES                                         rule as a result of the comment received.
                                             ADMINISTRATION                                                                                                 the proposed rule.
                                                                                                      There were no comments on the                            This rule applies to all entities that do
                                                                                                      Regulatory Flexibility Act analysis.                  business with the Federal Government, but it
                                             NATIONAL AERONAUTICS AND                                                                                       is not expected to have a significant impact.
                                             SPACE ADMINISTRATION                                     B. Analysis of Public Comments                           This rule does not impose any new
                                                                                                         Comment: One respondent stated that                reporting, recordkeeping or other compliance
                                             48 CFR Part 2                                            based on the proposed definition, any                 requirements. The rule does not duplicate,
                                                                                                      award made to multiple sources from                   overlap, or conflict with any other Federal
                                             [FAC 2005–86; FAR Case 2015–019; Item
                                                                                                      one solicitation is a multiple award,                 rules.
                                             I; Docket 2015–0019, Sequence 1]
                                                                                                      even when the requirement is split                      Interested parties may obtain a copy
                                             RIN 9000–AM96                                            between offerors and none of the                      of the FRFA from the Regulatory
                                                                                                      subsequent task orders are competed                   Secretariat. The Regulatory Secretariat
                                             Federal Acquisition Regulation;
                                                                                                      because each offeror gets part of the                 has submitted a copy of the FRFA to the
                                             Definition of ‘‘Multiple-Award
                                                                                                      overall requirement in the solicitation.              Chief Counsel for Advocacy of the Small
                                             Contract’’
                                                                                                      The respondent requested that the FAR                 Business Administration.
                                             AGENCY:  Department of Defense (DoD),                    definition clarify that a multiple-award
                                             General Services Administration (GSA),                   contract is one that should be subject to             V. Paperwork Reduction Act
                                             and National Aeronautics and Space                       fair opportunity.                                       The rule does not contain any
                                             Administration (NASA).                                      Response: FAR 16.505(b)(1) provides                information collection requirements that
                                             ACTION: Final rule.                                      information concerning fair                           require the approval of the Office of
                                                                                                      opportunity. Additional clarity is not                Management and Budget under the
                                             SUMMARY:    DoD, GSA, and NASA are                       needed for the definition of ‘‘multiple-              Paperwork Reduction Act (44 U.S.C.
                                             issuing a final rule to amend the Federal                award contract’’ concerning fair                      chapter 35).
                                             Acquisition Regulation (FAR) to define                   opportunity since it is already provided
                                             ‘‘multiple-award contract.’’                             at FAR 16.505(b)(1).                                  List of Subject in 48 CFR Part 2
                                             DATES: Effective: February 1, 2016.                                                                                Government procurement.
                                                                                                      III. Executive Orders 12866 and 13563
                                             FOR FURTHER INFORMATION CONTACT: Ms.                                                                             Dated: December 17, 2015.
                                                                                                         Executive Orders (E.O.s) 12866 and
                                             Mahruba Uddowla, Procurement                             13563 direct agencies to assess all costs             William F. Clark,
                                             Analyst, at 703–605–2868, for                            and benefits of available regulatory                  Director, Office of Government-wide
                                             clarification of content. For information                alternatives and, if regulation is                    Acquisition Policy, Office of Acquisition
                                             pertaining to status or publication                                                                            Policy, Office of Government-wide Policy.
                                                                                                      necessary, to select regulatory
                                             schedules, contact the Regulatory                        approaches that maximize net benefits                   Therefore, DoD, GSA, and NASA
                                             Secretariat Division at 202–501–4755.                    (including potential economic,                        amend 48 CFR part 2 as set forth below:
                                             Please cite FAC 2005–86, FAR Case                        environmental, public health and safety
                                             2015–019.                                                effects, distributive impacts, and                    PART 2—DEFINITIONS OF WORDS
                                             SUPPLEMENTARY INFORMATION:                               equity). E.O. 13563 emphasizes the                    AND TERMS
                                             I. Background                                            importance of quantifying both costs                  ■ 1. The authority citation for 48 CFR
                                                                                                      and benefits, of reducing costs, of                   part 2 continues to read as follows:
                                                DoD, GSA, and NASA published a                        harmonizing rules, and of promoting
                                             proposed rule in the Federal Register at                 flexibility. This is not a significant                  Authority: 40 U.S.C. 121(c); 10 U.S.C.
                                             80 FR 31342 on June 2, 2015, soliciting                  regulatory action and, therefore, was not             chapter 137; and 51 U.S.C. 20113.
                                             public comments regarding the                            subject to review under section 6(b) of               ■ 2. Amend section 2.101 in paragraph
                                             definition of the term ‘‘multiple-award                  E.O. 12866, Regulatory Planning and                   (b)(2) by adding, in alphabetical order,
                                             contract.’’ The proposed rule was                        Review, dated September 30, 1993. This                the definition ‘‘Multiple-award
                                             implementing the definition that the                     rule is not a major rule under 5 U.S.C.               contract’’ to read as follows:
                                             U.S. Small Business Administration                       804.
                                             (SBA) established at 13 CFR 125.1(k) in                                                                        2.101    Definitions.
                                             its final rule which published in the                    IV. Regulatory Flexibility Act                        *     *     *    *     *
                                             Federal Register at 78 FR 61114 on                         DoD, GSA, and NASA have prepared                      (b) * * *
                                             October 2, 2013. SBA’s final rule                        a Final Regulatory Flexibility Analysis                 (2) * * *
                                             implemented several provisions of the                    (FRFA) consistent with the Regulatory                   Multiple-award contract means a
                                             Small Business Jobs Act of 2010, Pub. L.                 Flexibility Act, 5 U.S.C. 601, et seq. The            contract that is—
                                             111–240. Section 1311 of Pub. L. 111–                    FRFA is summarized as follows:                          (1) A Multiple Award Schedule
                                             240 (15 U.S.C. 632(v)) added a                                                                                 contract issued by GSA (e.g., GSA
                                                                                                         The final rule amends the FAR to define
                                             definition of ‘‘multiple-award contract.’’               ‘‘multiple-award contract.’’ On October 2,            Schedule Contract) or agencies granted
                                             One respondent submitted a comment                       2013, the Small Business Administration               Multiple Award Schedule contract
                                             on the proposed rule.                                    (SBA) issued a final rule in the Federal              authority by GSA (e.g., Department of
                                                                                                      Register at 78 FR 61114 to implement various          Veterans Affairs) as described in FAR
                                             II. Discussion and Analysis                              sections of the Small Business Jobs Act of            part 38;
                                               The Civilian Agency Acquisition                        2010 (Public L. 111–240) by establishing new            (2) A multiple-award task-order or
tkelley on DSK3SPTVN1PROD with RULES2




                                             Council and the Defense Acquisition                      policies and procedures for multiple-award            delivery-order contract issued in
                                             Regulations Council (the Councils)                       contracts and task and delivery orders. SBA’s
                                                                                                      final rule included a definition of ‘‘multiple-
                                                                                                                                                            accordance with FAR subpart 16.5,
                                             reviewed the comment in the                              award contract’’. The final rule defines              including Governmentwide acquisition
                                             development of the final rule. A                         ‘‘multiple-award contract’’ in order to               contracts; or
                                             discussion of the comment is provided                    implement that part of SBA’s final rule in the          (3) Any other indefinite-delivery,
                                             as follows:                                              FAR.                                                  indefinite-quantity contract entered into


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                                             81888            Federal Register / Vol. 80, No. 251 / Thursday, December 31, 2015 / Rules and Regulations

                                             with two or more sources pursuant to                     1800 F Street NW., 2nd Floor,                         published in the Federal Register at 77
                                             the same solicitation.                                   Washington, DC 20405.                                 FR 12913, on March 2, 2012. The
                                             *     *    *     *     *                                    Instructions: Please submit comments               establishment of a set-aside mechanism
                                             [FR Doc. 2015–32427 Filed 12–30–15; 8:45 am]
                                                                                                      only and cite FAC 2005–86, FAR Case                   exclusively for women-owned small
                                                                                                      2015–032, in all correspondence related               businesses was the first step towards
                                             BILLING CODE 6820–EP–P
                                                                                                      to this case. All comments received will              leveling the playing field among the
                                                                                                      be posted without change to http://                   socioeconomic programs covered by the
                                             DEPARTMENT OF DEFENSE                                    www.regulations.gov, including any                    Small Business Act, i.e., the HUBZone,
                                                                                                      personal and/or business confidential                 service-disabled veteran-owned small-
                                             GENERAL SERVICES                                         information provided. To confirm                      business, 8(a), and WOSB programs.
                                             ADMINISTRATION                                           receipt of your comment(s), please
                                                                                                      check www.regulations.gov,                              The WOSB Program was subsequently
                                                                                                      approximately two to three days after                 amended in section 825 of the NDAA
                                             NATIONAL AERONAUTICS AND
                                                                                                      submission to verify posting (except                  for FY2015, which granted contracting
                                             SPACE ADMINISTRATION
                                                                                                      allow 30 days for posting of comments                 officers the authority to award sole
                                                                                                      submitted by mail).                                   source contracts to EDWOSB concerns
                                             48 CFR Parts 2, 4, 6, 18, 19, and 52
                                                                                                                                                            and WOSB concerns eligible under the
                                                                                                      FOR FURTHER INFORMATION CONTACT: Ms.
                                             [FAC 2005–86; FAR Case 2015–032; Item                                                                          WOSB Program. SBA established
                                                                                                      Mahruba Uddowla, Procurement
                                             II; Docket No. 2015–0032; Sequence No. 1]                                                                      procedures for this new statutory
                                                                                                      Analyst, at 703–605–2868 for
                                                                                                      clarification of content. For information             authority in its final rule published in
                                             RIN 9000–AN13                                                                                                  the Federal Register at 80 FR 55019, on
                                                                                                      pertaining to status or publication
                                                                                                      schedules, contact the Regulatory                     September 14, 2015. As in SBA’s earlier
                                             Federal Acquisition Regulation; Sole
                                                                                                      Secretariat Division at 202–501–4755.                 WOSB Program set-aside rule, sole
                                             Source Contracts for Women-Owned
                                                                                                      Please cite FAC 2005–86, FAR Case                     source awards under the WOSB
                                             Small Businesses
                                                                                                      2015–032.                                             program are only permitted in the
                                             AGENCY:  Department of Defense (DoD),                                                                          industries that SBA has determined to
                                                                                                      SUPPLEMENTARY INFORMATION:
                                             General Services Administration (GSA),                                                                         be underrepresented or substantially
                                             and the National Aeronautics and Space                   I. Background                                         underrepresented by WOSB concerns.
                                             Administration (NASA).                                      This interim rule revises the FAR to               Implementation of these sole source
                                             ACTION: Interim rule.                                    implement regulatory changes that the                 procedures in the FAR ensures that
                                                                                                      SBA has made in its final rule published              contracting officers will have the tools
                                             SUMMARY:   DoD, GSA, and NASA are                        in the Federal Register at 80 FR 55019,               necessary to maximize Federal
                                             issuing an interim rule amending the                     on September 14, 2015, concerning sole                procurement opportunities for WOSB
                                             Federal Acquisition Regulation (FAR) to                  source award authority under the WOSB                 concerns.
                                             implement regulatory changes made by                     Program. SBA’s final rule implements
                                             the Small Business Administration                                                                              II. Discussion and Analysis
                                                                                                      the statutory requirements of paragraph
                                             (SBA) that provide for authority to                      (a)(3) of section 825 of the Carl Levin                  In keeping with the tenets of the
                                             award sole source contracts to                           and Howard P. ‘‘Buck’’ McKeon                         WOSB Program, the sole source
                                             economically disadvantaged women-                        National Defense Authorization Act                    authority may only be used in industry
                                             owned small business concerns and to                     (NDAA) for Fiscal Year (FY) 2015,                     sectors that SBA has determined to be
                                             women-owned small business concerns                      Public Law 113–291, granting
                                             eligible under the Women-Owned Small                                                                           underrepresented or substantially
                                                                                                      contracting officers the authority to                 underrepresented by WOSB concerns.
                                             Business (WOSB) Program.                                 award sole source contracts to both                   The same eligibility requirements for
                                             DATES: Effective: December 31, 2015.                     economically disadvantaged women-                     participating in set-asides under the
                                                Comment date: Interested parties                      owned small business (EDWOSB)                         WOSB Program, set forth in SBA’s
                                             should submit written comments to the                    concerns and to WOSB concerns eligible                regulations at 13 CFR 127.100 through
                                             Regulatory Secretariat Division at one of                under the WOSB Program.                               127.509, also apply to sole source
                                             the addresses shown below on or before                      The WOSB Program, as set forth in                  acquisitions. In general, an award under
                                             February 29, 2016 to be considered in                    section 8(m) of the Small Business Act                the WOSB program may be pursued on
                                             the formation of the final rule.                         (15 U.S.C. 637(m)), authorizes                        a sole source basis when the contracting
                                             ADDRESSES: Submit comments                               contracting officers to restrict                      officer does not have a reasonable
                                             identified by FAC 2005–86, FAR Case                      competition to EDWOSB concerns and                    expectation, through market research,
                                             2015–032, by any of the following                        to WOSB concerns eligible under the                   that two or more eligible EDWOSB or
                                             methods:                                                 WOSB Program for Federal contracts, in                WOSB concerns will submit offers at a
                                                • Regulations.gov: http://                            certain industries that SBA has                       fair and reasonable price, but identifies
                                             www.regulations.gov. Submit comments                     determined to be underrepresented or
                                                                                                                                                            one responsible EDWOSB or WOSB that
                                             via the Federal eRulemaking portal by                    substantially underrepresented by small
                                                                                                                                                            can perform at a fair and reasonable
                                             searching for ‘‘FAR Case 2015–032.’’                     business concerns owned and
                                                                                                                                                            price. The dollar thresholds for sole
                                             Select the link ‘‘Comment Now’’ that                     controlled by women. DoD, GSA, and
                                                                                                                                                            source awards are equal to or less than
                                             corresponds with ‘‘FAR Case 2015–                        NASA published an interim rule for
                                                                                                                                                            $6.5 million for manufacturing
                                             032.’’ Follow the instructions provided                  FAR Case 2010–015 in the Federal
                                             on the screen. Please include your                       Register at 76 FR 18304, on April 1,                  requirements and equal to or less than
tkelley on DSK3SPTVN1PROD with RULES2




                                             name, company name (if any), and                         2011, providing guidance to contracting               $4 million for all other requirements,
                                             ‘‘FAR Case 2015–032’’ on your attached                   officers for the set-asides and                       including all options.
                                             document.                                                implementing SBA’s final rule,                           This rule amends FAR subparts 2.1,
                                                • Mail: General Services                              published in the Federal Register at 75               4.8, 6.3, 18.1, 19.0, 19.1, 19.3, 19.15, and
                                             Administration, Regulatory Secretariat                   FR 62258, on October 7, 2010. The FAR                 52.2. These changes are summarized in
                                             Division (MVCB), ATTN: Ms. Flowers,                      rule was finalized with changes and                   the following paragraphs:


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Document Created: 2015-12-31 02:14:51
Document Modified: 2015-12-31 02:14:51
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionRules and Regulations
ActionFinal rule.
DatesEffective: February 1, 2016.
ContactMs. Mahruba Uddowla, Procurement Analyst, at 703-605-2868, for clarification of content. For information pertaining to status or publication schedules, contact the Regulatory Secretariat Division at 202-501-4755. Please cite FAC 2005-86, FAR Case 2015-019.
FR Citation80 FR 81887 
RIN Number9000-AM96

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