81 FR 36421 - General Services Administration Acquisition Regulation (GSAR); Rewrite of GSAR Part 517, Special Contracting Methods

GENERAL SERVICES ADMINISTRATION

Federal Register Volume 81, Issue 108 (June 6, 2016)

The General Services Administration (GSA) is issuing a final rule, with editorial revisions to the second proposed rule, amending the General Services Administration Acquisition Regulation (GSAR) to update requirements for special contracting methods by eliminating out of date references and reorganizing the text to align with the Federal Acquisition Regulation (FAR).

[Federal Register Volume 81, Number 108 (Monday, June 6, 2016)]
[Rules and Regulations]
[Pages 36421-36423]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-13113]



[[Page 36421]]

Vol. 81

Monday,

No. 108

June 6, 2016

Part III





General Services Administration





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48 CFR Part 501, 511, 515, et al.





General Services Administration Acquisition Regulations; Final Rules

Federal Register / Vol. 81 , No. 108 / Monday, June 6, 2016 / Rules 
and Regulations

[[Page 36422]]


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GENERAL SERVICES ADMINISTRATION

48 CFR Parts 517 and 552

[GSAR Change 71; GSAR Case 2007-G500; Docket No. 2008-0007; Sequence 
No. 3]
RIN 3090-AI51


General Services Administration Acquisition Regulation (GSAR); 
Rewrite of GSAR Part 517, Special Contracting Methods

AGENCIES:  Office of Government-wide Policy, Office of Acquisition 
Policy, General Services Administration (GSA).

ACTION: Final rule.

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SUMMARY: The General Services Administration (GSA) is issuing a final 
rule, with editorial revisions to the second proposed rule, amending 
the General Services Administration Acquisition Regulation (GSAR) to 
update requirements for special contracting methods by eliminating out 
of date references and reorganizing the text to align with the Federal 
Acquisition Regulation (FAR).

DATES:  Effective: July 6, 2016.

FOR FURTHER INFORMATION CONTACT: For clarification of content, contact 
Ms. Janet Fry, General Services Acquisition Policy Division, GSA, by 
phone at 703-605-3167 or by email at [email protected]. For information 
pertaining to status or publication schedules, contact the Regulatory 
Secretariat at 202-501-4755. Please cite GSAR case 2007-G500.

SUPPLEMENTARY INFORMATION: 

I. Background

    The General Services Administration (GSA) is amending the General 
Services Administration Acquisition Regulation (GSAR) to update 
outdated statutes and remove unnecessary or duplicative language from 
sections of GSAR part 517 that provide requirements for special 
contracting methods.
    GSA published a proposed rule in the Federal Register at 73 FR 
32274 on June 6, 2008 http://www.thefederalregister.org/fdsys/pkg/FR-2008-06-06/pdf/E8-12613.pdf as part of the General Services Administration Acquisition 
Manual (GSAM) Rewrite initiative undertaken by GSA to update the GSAM 
to maintain consistency with the Federal Acquisition Regulation (FAR). 
The GSAM incorporates the General Services Administration Acquisition 
Regulation (GSAR) as well as internal agency acquisition policy. No 
comments were received in response to the Federal Register Notice for 
the proposed rule.
    GSA published a second proposed rule in the Federal Register at 80 
FR 34126 on June 15, 2015 http://www.thefederalregister.org/fdsys/pkg/FR-2015-06-15/pdf/2015-14198.pdf due to the additional edits made to GSAR part 517 
and the length of time since the proposed rule was published in 2008. 
No comments were received in response to the Federal Register Notice 
for the second proposed rule.

II. Discussion and Analysis

    To keep the GSAR current, GSA has updated statutes, removed 
unnecessary or duplicative language, aligned part 517 with the FAR and 
made editorial revisions as described below.

A. Summary of Significant Changes

    The final rule:
     Replaces ``multiyear'' with ``multi-year'' through the 
517.1 subpart.
     Updates the statutes cited in GSAR 517.109.
     Deletes GSAR 517.200(b), GSAR 517.202(a)(2)(iv), GSAR 
517.202(a)(2)(v) and GSAR 517.207(a), and makes conforming changes.
     Removes and reserves section 517.203 because the 
introduction text and paragraphs are duplicative of FAR 17.207 and GSAR 
517.207.
     Replaces the content of GSAR 517.207(b) with new text, 
clarifying the need for the Contracting Officer to document the 
determination.
     Updates the program reference in GSAR 517.208(a).
     Addresses other administrative and typographical updates.

    Note:  The following changes proposed in the second proposed 
rule were not retained in the final rule:
     The proposed new text in GSAR 517.203 cross referencing 
the requirements in FAR 22.407 when using option provisions was not 
retained in the final rule as the FAR adequately addresses the 
inclusion of option clauses.
     The proposed new text in GSAR 517.207 reminding 
Contracting Officers to seek new wage determinations when exercising 
options was not retained in the final rule since the requirement is 
adequately addressed in FAR 22.1007 for Service Contract Labor 
Standard and in FAR 22.404-12 for Wage Rate Requirements 
(Construction).

B. Analysis of Public Comments

    No comments on the second proposed rule were received from the 
public by the August 14, 2015 closing date.

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

    The General Services Administration certifies that this final rule 
will not have a significant economic impact on a substantial number of 
small entities within the meaning of the Regulatory Flexibility Act, 5 
U.S.C. 601, et seq., because the revisions are administrative in 
nature. The changes merely update and reorganize existing GSAR 
coverage.

V. Paperwork Reduction Act

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

List of Subjects in 48 CFR Parts 517 and 552

    Government procurement.

    Dated: May 27, 2016.
Jeffrey A. Koses,
Senior Procurement Executive, Office of Acquisition Policy, Office of 
Government-wide Policy.
    Therefore, GSA amends 48 CFR parts 517 and 552 as set forth below:

0
1. The authority citation for 48 CFR parts 517 and 552 continues to 
read as follows:

    Authority:  40 U.S.C. 121(c).

PART 517--SPECIAL CONTRACTING METHODS

Subpart 517.1--Multi-year Contracting

0
2. Revise the heading of subpart 517.1 to read as set forth above.


517.109  [Amended]

0
3. Amend section 517.109 by removing from the introductory text 
``multiyear'', ``40 U.S.C. 490(a)(14)'', and ``40 U.S.C. 481(a)(3)'' 
and adding ``multi-year'', ``40 U.S.C. 581(c)(6)'', and ``40 U.S.C. 
501(b)(1)(B)'' in their places, respectively.

0
4. Revise section 517.200 to read as follows:

[[Page 36423]]

517.200  Scope of subpart.

    This subpart applies to all GSA contracts for supplies and 
services, including:
    (a) Services involving construction, alteration, or repair 
(including dredging, excavating, and painting) of buildings, bridges, 
roads, or other kinds of real property.
    (b) Architect-engineer services.

0
5. Amend section 517.202 by--
0
a. Removing from the introductory text of paragraph (a)(1) ``You should 
use options'' and adding ``Options may be used'' in its place;
0
b. Removing from paragraph (a)(2)(i) ``You anticipate a'' and adding 
``There is an anticipated'' in its place;
0
c. Revising paragraph (a)(2)(ii);
0
d. Removing paragraphs (a)(2)(iv) and (a)(2)(v); and
0
e. Removing from paragraph (a)(3) ``Do not use an option'' and adding 
``An option shall not be used'' in its place.
    The revision reads as follows:


517.202  Use of options.

    (a) * * *
    (2) * * *
    (ii) When there is both a need for additional supplies or services 
beyond the basic contract period and the use of multi-year contracting 
authority is inappropriate.
* * * * *


517.203  [Removed and Reserved]

0
6. Remove and reserve section 517.203.

0
7. Revise section 517.207 to read as follows:


517.207  Exercise of options.

    In addition to the requirements of FAR 17.207, the Contracting 
Officer must also:
    (a) Document the contract file with the rationale for an extended 
contractual relationship if the contractor's performance rating under 
the contract is less than satisfactory.
    (b) Determine that the option price is fair and reasonable.


517.208  [Amended]

0
8. Amend section 517.208 by removing from paragraph (a) ``FSS's Stock 
or'' and adding ``the Federal Acquisition Service's'' in its place.

PART 552--SOLICITATION PROVISIONS AND CONTRACT CLAUSES

0
9. The authority citation for 48 CFR part 552 continues to read as 
follows:

    Authority:  40 U.S.C. 121(c).


0
10. Amend section 552.217-70 by revising the date of the provision; and 
removing from paragraph (a), in the second sentence ``standard);'' and 
adding ``standard),'' in its place.
    The revision reads as follows:


552.217-70  Evaluations of options.

* * * * *

EVALUATION OF OPTIONS (JUL 2016)

* * * * *

[FR Doc. 2016-13113 Filed 6-3-16; 8:45 am]
 BILLING CODE 6820-61-P