81 FR 30427 - Federal Acquisition Regulation; Federal Acquisition Circular 2005-88; Introduction

DEPARTMENT OF DEFENSE
GENERAL SERVICES ADMINISTRATION
NATIONAL AERONAUTICS AND SPACE ADMINISTRATION

Federal Register Volume 81, Issue 94 (May 16, 2016)

Page Range		30427-30429
FR Document		2016-10995

This document summarizes the Federal Acquisition Regulation (FAR) rules agreed to by the Civilian Agency Acquisition Council and the Defense Acquisition Regulations Council (Councils) in this Federal Acquisition Circular (FAC) 2005-88. A companion document, the Small Entity Compliance Guide (SECG), follows this FAC. The FAC, including the SECG, is available via the Internet at http://www.regulations.gov.

Federal Register, Volume 81 Issue 94 (Monday, May 16, 2016)

[Federal Register Volume 81, Number 94 (Monday, May 16, 2016)]
[Rules and Regulations]
[Pages 30427-30429]
From the Federal Register Online [www.thefederalregister.org]
[FR Doc No: 2016-10995]

[[Page 30427]]

Vol. 81

Monday,

No. 94

May 16, 2016

Part II

Department of Defense

General Services Administration

National Aeronautics and Space Administration

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48 CFR Chapter 1

Federal Acquisition Regulations; Rules

Federal Register / Vol. 81 , No. 94 / Monday, May 16, 2016 / Rules
and Regulations

[[Page 30428]]

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DEPARTMENT OF DEFENSE

GENERAL SERVICES ADMINISTRATION

NATIONAL AERONAUTICS AND SPACE ADMINISTRATION

48 CFR Chapter 1

[Docket No. FAR 2016-0051, Sequence No. 2]

Federal Acquisition Regulation; Federal Acquisition Circular
2005-88; Introduction

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

ACTION: Summary presentation of final rules.

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SUMMARY: This document summarizes the Federal Acquisition Regulation
(FAR) rules agreed to by the Civilian Agency Acquisition Council and
the Defense Acquisition Regulations Council (Councils) in this Federal
Acquisition Circular (FAC) 2005-88. A companion document, the Small
Entity Compliance Guide (SECG), follows this FAC. The FAC, including
the SECG, is available via the Internet at http://www.regulations.gov.

DATES: For effective dates see the separate documents, which follow.

FOR FURTHER INFORMATION CONTACT: The analyst whose name appears in the
table below in relation to the FAR case. Please cite FAC 2005-88 and
the specific FAR case number. For information pertaining to status or
publication schedules, contact the Regulatory Secretariat Division at
202-501-4755.

Rules Listed in FAC 2005-88
----------------------------------------------------------------------------------------------------------------
Item Subject FAR case Analyst
----------------------------------------------------------------------------------------------------------------
I................................ High Global Warming 2014-026 Gray.
Potential
Hydrofluorocarbons.
II............................... Simplified Acquisition 2015-020 Francis.
Threshold for Overseas
Acquisitions in Support of
Humanitarian or
Peacekeeping Operations.
III.............................. Basic Safeguarding of 2011-020 Davis.
Contractor Information
Systems.
IV............................... Improvement in Design-Build 2015-018 Glover.
Construction Process.
V................................ Technical Amendments.
----------------------------------------------------------------------------------------------------------------

SUPPLEMENTARY INFORMATION: Summaries for each FAR rule follow. For the
actual revisions and/or amendments made by these rules, refer to the
specific item numbers and subjects set forth in the documents following
these item summaries. FAC 2005-88 amends the FAR as follows:

Item I--High Global Warming Potential Hydrofluorocarbons (FAR Case
2014-026)

This final rule implements Executive branch policy in the
President's Climate Action Plan to procure, when feasible, alternatives
to high global warming potential--hydrofluorocarbons (HFCs). The rule
also requires contractors to report annually the amount of HFCs
contained in equipment delivered to the Government or added or taken
out of Government equipment under service contracts. This will allow
agencies to better meet the greenhouse gas emission reduction goals and
reporting requirements of the Executive Order 13693 on Planning for
Sustainability in the Next Decade. This rule applies to small entities
because about three-quarters of the affected contractors are small
businesses and precluding them would undermine the overall intent of
this policy. However, to minimize the impact this rule could have on
all businesses, especially small businesses, this rule only requires
tracking and reporting on equipment that normally contain 50 or more
pounds of HFCs. In addition, this rule does not impose a labeling
requirement for products that contain or are manufactured with HFCs,
unlike the labeling requirement that is required by statute for ozone-
depleting substances.

Item II--Simplified Acquisition Threshold for Overseas Acquisitions in
Support of Humanitarian or Peacekeeping Operations (FAR Case 2015-020)

This final rule amends the FAR to implement 41 U.S.C. 153, which
establishes a higher simplified acquisition threshold (SAT) for
overseas acquisitions in support of humanitarian or peacekeeping
operations. When FAR Case 2003-022 was published as a rule in 2004, the
definition for SAT at FAR 2.101 was changed, but the drafters of the
rule also inadvertently deleted the reference to overseas humanitarian
or peacekeeping missions and the requisite doubling of the SAT in those
circumstances. This rule reinstates the increased SAT for overseas
acquisitions for peacekeeping or humanitarian operations. Accordingly,
this rule provides contracting officers with more flexibility when
contracting in support of overseas humanitarian or peacekeeping
operations. This final rule does not place any new requirements on
small entities.

Item III--Basic Safeguarding of Contractor Information Systems (FAR
Case 2011-020)

This final rule amends the FAR to add a new FAR subpart 4.19 and
contract clause 52.204-21 for the basic safeguarding of covered
contractor information systems, i.e., that process, store, or transmit
Federal contract information. The clause does not relieve the
contractor of any other specific safeguarding requirement specified by
Federal agencies and departments as it relates to covered contractor
information systems generally or other Federal requirements for
safeguarding controlled unclassified information (CUI) as established
by Executive Order 13556. Systems that contain classified information,
or CUI such as personally identifiable information, require more than
the basic level of protection. This rule will not have a significant
economic impact on contractors (including small business concerns) or
the Government.

Item IV--Improvement in Design-Build Construction Process (FAR Case
2015-018)

This final rule revises the FAR to implement section 814 of the
Carl Levin and Howard P. `Buck' McKeon National Defense Authorization
Act for Fiscal Year 2015. When a two-phase design-build construction
acquisition is valued at greater than $4 million, section 814 requires
the head of the contracting

[[Page 30429]]

activity to approve a contracting officer determination to select more
than five offerors to submit phase-two proposals. The approval level is
delegable no lower than the senior contracting official within the
contracting activity. This rule change does not place any new
requirements on small entities.

Item V--Technical Amendments

Editorial changes are made at FAR 1.106.

Dated: May 5, 2016.
William Clark,
Director, Office of Government-wide Acquisition Policy, Office of
Acquisition Policy, Office of Government-wide Policy.

Federal Acquisition Circular (FAC) 2005-88 is issued under the
authority of the Secretary of Defense, the Administrator of General
Services, and the Administrator for the National Aeronautics and Space
Administration.
Unless otherwise specified, all Federal Acquisition Regulation
(FAR) and other directive material contained in FAC 2005-88 is
effective May 16, 2016 except for items I, II, III, and IV, which are
effective June 15, 2016.

Dated: May 4, 2016.

Claire M. Grady,

Director, Defense Procurement and Acquisition Policy.

Dated: May 5, 2016.

Jeffrey A. Koses,

Senior Procurement Executive/Deputy CAO, Office of Acquisition
Policy, U.S. General Services Administration.

Dated: April 28, 2016.

William P. McNally,

Assistant Administrator, Office of Procurement National Aeronautics
and Space Administration.

[FR Doc. 2016-10995 Filed 5-13-16; 8:45 am]
BILLING CODE 6820-EP-P

30428 Federal Register / Vol. 81, No. 94 / Monday, May 16, 2016 / Rules and Regulations

DEPARTMENT OF DEFENSE and National Aeronautics and Space DATES: For effective dates see the
Administration (NASA). separate documents, which follow.
GENERAL SERVICES
ADMINISTRATION ACTION: Summary presentation of final FOR FURTHER INFORMATION CONTACT: The
rules. analyst whose name appears in the table
NATIONAL AERONAUTICS AND below in relation to the FAR case.
SPACE ADMINISTRATION SUMMARY: This document summarizes Please cite FAC 2005–88 and the
the Federal Acquisition Regulation specific FAR case number. For
48 CFR Chapter 1 (FAR) rules agreed to by the Civilian information pertaining to status or
Agency Acquisition Council and the publication schedules, contact the
[Docket No. FAR 2016–0051, Sequence Defense Acquisition Regulations Regulatory Secretariat Division at 202–
No. 2] Council (Councils) in this Federal 501–4755.
Acquisition Circular (FAC) 2005–88. A
Federal Acquisition Regulation;
Federal Acquisition Circular 2005–88; companion document, the Small Entity
Introduction Compliance Guide (SECG), follows this
FAC. The FAC, including the SECG, is
AGENCIES: Department of Defense (DoD), available via the Internet at http://
General Services Administration (GSA), www.regulations.gov.

RULES LISTED IN FAC 2005–88
Item Subject FAR case Analyst

I ......................... High Global Warming Potential Hydrofluorocarbons ............................................................... 2014–026 Gray.
II ........................ Simplified Acquisition Threshold for Overseas Acquisitions in Support of Humanitarian or 2015–020 Francis.
Peacekeeping Operations.
III ....................... Basic Safeguarding of Contractor Information Systems .......................................................... 2011–020 Davis.
IV ...................... Improvement in Design-Build Construction Process ............................................................... 2015–018 Glover.
V ....................... Technical Amendments.

SUPPLEMENTARY INFORMATION: addition, this rule does not impose a Item III—Basic Safeguarding of
Summaries for each FAR rule follow. labeling requirement for products that Contractor Information Systems (FAR
For the actual revisions and/or contain or are manufactured with HFCs, Case 2011–020)
amendments made by these rules, refer unlike the labeling requirement that is This final rule amends the FAR to add
to the specific item numbers and required by statute for ozone-depleting a new FAR subpart 4.19 and contract
subjects set forth in the documents substances. clause 52.204–21 for the basic
following these item summaries. FAC safeguarding of covered contractor
2005–88 amends the FAR as follows: Item II—Simplified Acquisition
information systems, i.e., that process,
Threshold for Overseas Acquisitions in
Item I—High Global Warming Potential store, or transmit Federal contract
Support of Humanitarian or
Hydrofluorocarbons (FAR Case 2014– information. The clause does not relieve
Peacekeeping Operations (FAR Case the contractor of any other specific
026) 2015–020) safeguarding requirement specified by
This final rule implements Executive Federal agencies and departments as it
This final rule amends the FAR to
branch policy in the President’s Climate relates to covered contractor
implement 41 U.S.C. 153, which
Action Plan to procure, when feasible, information systems generally or other
alternatives to high global warming establishes a higher simplified
acquisition threshold (SAT) for overseas Federal requirements for safeguarding
potential—hydrofluorocarbons (HFCs). controlled unclassified information
The rule also requires contractors to acquisitions in support of humanitarian
(CUI) as established by Executive Order
report annually the amount of HFCs or peacekeeping operations. When FAR
13556. Systems that contain classified
contained in equipment delivered to the Case 2003–022 was published as a rule information, or CUI such as personally
Government or added or taken out of in 2004, the definition for SAT at FAR identifiable information, require more
Government equipment under service 2.101 was changed, but the drafters of than the basic level of protection. This
contracts. This will allow agencies to the rule also inadvertently deleted the rule will not have a significant
better meet the greenhouse gas emission reference to overseas humanitarian or economic impact on contractors
reduction goals and reporting peacekeeping missions and the requisite (including small business concerns) or
requirements of the Executive Order doubling of the SAT in those the Government.
13693 on Planning for Sustainability in circumstances. This rule reinstates the
the Next Decade. This rule applies to increased SAT for overseas acquisitions Item IV—Improvement in Design-Build
small entities because about three- for peacekeeping or humanitarian Construction Process (FAR Case 2015–
quarters of the affected contractors are 018)
operations. Accordingly, this rule
asabaliauskas on DSK3SPTVN1PROD with RULES

small businesses and precluding them provides contracting officers with more This final rule revises the FAR to
would undermine the overall intent of flexibility when contracting in support implement section 814 of the Carl Levin
this policy. However, to minimize the of overseas humanitarian or and Howard P. ‘Buck’ McKeon National
impact this rule could have on all peacekeeping operations. This final rule Defense Authorization Act for Fiscal
businesses, especially small businesses, does not place any new requirements on Year 2015. When a two-phase design-
this rule only requires tracking and small entities. build construction acquisition is valued
reporting on equipment that normally at greater than $4 million, section 814
contain 50 or more pounds of HFCs. In requires the head of the contracting

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Federal Register / Vol. 81, No. 94 / Monday, May 16, 2016 / Rules and Regulations 30429

activity to approve a contracting officer ACTION: Final rule. • Clarified that the clause
determination to select more than five prescription exception is for supplies
offerors to submit phase-two proposals. SUMMARY: DoD, GSA, and NASA are that will be delivered outside the United
The approval level is delegable no lower issuing a final rule amending the States and its outlying areas as well as
than the senior contracting official Federal Acquisition Regulation (FAR) to for contracts for services performed
within the contracting activity. This rule implement Executive branch policy in outside the United States and its
change does not place any new the President’s Climate Action Plan to outlying areas.
requirements on small entities. procure, when feasible, alternatives to • Added in the clauses at 52.223–20
high global warming potential (GWP) and 52.223–21 environmental,
Item V—Technical Amendments hydrofluorocarbons (HFCs). This final technical, and economic factors to
Editorial changes are made at FAR rule will allow agencies to better meet consider when determining feasibility.
1.106. the greenhouse gas emission reduction
goals and reporting requirements of the B. Analysis of Public Comments
Dated: May 5, 2016.
William Clark, Executive Order on Planning for 1. General
Director, Office of Government-wide
Sustainability in the Next Decade.
a. Support the Objectives of the Rule
Acquisition Policy, Office of Acquisition DATES: Effective: June 15, 2016.
Policy, Office of Government-wide Policy. Comments: Many of the respondents
FOR FURTHER INFORMATION CONTACT: Mr.
expressed specific support for the
Federal Acquisition Circular (FAC) Charles Gray, Procurement Analyst, at objectives of the rule. Several
2005–88 is issued under the authority of 703–795–6328, for clarification of respondents applauded DoD, GSA, and
the Secretary of Defense, the content. For information pertaining to NASA in proposing that Federal
Administrator of General Services, and status or publication schedules, contact agencies procure, when feasible,
the Administrator for the National the Regulatory Secretariat Division at alternatives to high-GWP HFC
Aeronautics and Space Administration. 202–501–4755. Please cite FAC 2005–
Unless otherwise specified, all refrigerants. Other respondents stated
88, FAR Case 2014–026. that the proposed rule is a step in the
Federal Acquisition Regulation (FAR) SUPPLEMENTARY INFORMATION:
and other directive material contained right direction and could have
in FAC 2005–88 is effective May 16, I. Background considerable impact on reducing the
2016 except for items I, II, III, and IV, Government’s greenhouse gas emissions
DoD, GSA, and NASA published a and helping Federal agencies and
which are effective June 15, 2016. proposed rule at 80 FR 26883, on May departments meet several Executive
Dated: May 4, 2016. 11, 2015, to implement Executive actions and orders pertaining to HFCs.
Claire M. Grady, branch policy in the President’s Climate Response: Noted.
Director, Defense Procurement and Action Plan to procure, when feasible,
Acquisition Policy. alternatives to high GWP HFCs. This b. Oppose the Objectives of the Rule
Dated: May 5, 2016. final rule will allow agencies to better Comment: One respondent believed
Jeffrey A. Koses, meet the greenhouse gas emission that global warming is a farce and that
Senior Procurement Executive/Deputy CAO, reduction goals and reporting the Government should not be allowed
Office of Acquisition Policy, U.S. General requirements of the Executive Order to acquire anything because of global
Services Administration. 13693, Planning for Federal warming.
Dated: April 28, 2016. Sustainability in the Next Decade, of Response: The FAR Council is
William P. McNally, March 25, 2015. responsible for the implementation of
Assistant Administrator, Office of Sixteen respondents submitted the Executive orders and policies of the
Procurement National Aeronautics and comments on the proposed rule. Administration. DoD, NASA, and GSA
Space Administration. have prepared this rule to implement
II. Discussion and Analysis
[FR Doc. 2016–10995 Filed 5–13–16; 8:45 am] and facilitate compliance with
BILLING CODE 6820–EP–P
The Civilian Agency Acquisition Executive Order 13693, Planning for
Council and the Defense Acquisition Sustainability in the Next Decade, and
Regulations Council (the Councils) the President’s Climate Action Plan.
DEPARTMENT OF DEFENSE reviewed the public comments in the
development of the final rule. A 2. Definition of ‘‘high global warming
GENERAL SERVICES discussion of the comments and the potential hydrofluorocarbons’’
ADMINISTRATION changes made to the rule as a result of Various respondents commented on
those comments are provided as the definition of ‘‘high global warming
NATIONAL AERONAUTICS AND follows: potential hydrofluorocarbons.’’ One of
SPACE ADMINISTRATION these respondents questioned whether
A. Summary of Significant Changes
the identification of a lower GWP HFC
48 CFR Parts 1, 2, 7, 11, 23, 25, and 52 From the Proposed Rule
alternative pursuant to the SNAP
[FAC 2005–88; FAR Case 2014–026; Item
In response to public comments program meant that the Government
I; Docket No. 2014–0026; Sequence 1] received, the final rule contains the would be required to use the alternative.
following changes from the proposed Response: The Councils have further
RIN 9000–AM87 rule: clarified in the final rule that the term
asabaliauskas on DSK3SPTVN1PROD with RULES

• Clarified the definition of ‘‘high ‘‘high global warming potential
Federal Acquisition Regulation: High
global warming potential hydrofluorocarbons’’ means any
Global Warming Potential
hydrofluorocarbons’’ to make it specific hydrofluorocarbons in a particular end
Hydrofluorocarbons
to a particular end use. use for which EPA’s Significant New
AGENCY: Department of Defense (DoD), • Included the use of reclaimed HFCs Alternatives Policy (SNAP) program has
General Services Administration (GSA), as products that minimize or eliminate identified other acceptable alternatives
and National Aeronautics and Space the use, release, or emission of high that have lower global warming
Administration (NASA). GWP HFCs. potential. The SNAP list of alternatives

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Document Created: 2016-05-14 01:17:13
Document Modified: 2016-05-14 01:17:13

Category		Regulatory Information
Collection		Federal Register
sudoc Class		AE 2.7: GS 4.107: AE 2.106:
Publisher		Office of the Federal Register, National Archives and Records Administration
Section		Rules and Regulations
Action		Summary presentation of final rules.
Dates		For effective dates see the separate documents, which follow.
Contact		The analyst whose name appears in the table below in relation to the FAR case. Please cite FAC 2005-88 and the specific FAR case number. For information pertaining to status or publication schedules, contact the Regulatory Secretariat Division at 202-501-4755.
FR Citation		81 FR 30427

81 FR 30427 - Federal Acquisition Regulation; Federal Acquisition Circular 2005-88; Introduction

DEPARTMENT OF DEFENSEGENERAL SERVICES ADMINISTRATIONNATIONAL AERONAUTICS AND SPACE ADMINISTRATION

Federal Register Volume 81, Issue 94 (May 16, 2016)

DEPARTMENT OF DEFENSE
GENERAL SERVICES ADMINISTRATION
NATIONAL AERONAUTICS AND SPACE ADMINISTRATION