81 FR 39882 - Federal Acquisition Regulation: Acquisition Threshold for Special Emergency Procurement Authority

DEPARTMENT OF DEFENSE
GENERAL SERVICES ADMINISTRATION
NATIONAL AERONAUTICS AND SPACE ADMINISTRATION

Federal Register Volume 81, Issue 118 (June 20, 2016)

Page Range		39882-39883
FR Document		2016-14413

DoD, GSA, and NASA are proposing to amend the Federal Acquisition Regulation (FAR) to implement the National Defense Authorization Act for Fiscal Year 2016 to raise the simplified acquisition threshold for special emergency procurement authority.

Federal Register, Volume 81 Issue 118 (Monday, June 20, 2016)

[Federal Register Volume 81, Number 118 (Monday, June 20, 2016)]
[Proposed Rules]
[Pages 39882-39883]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-14413]


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DEPARTMENT OF DEFENSE

GENERAL SERVICES ADMINISTRATION

NATIONAL AERONAUTICS AND SPACE ADMINISTRATION

48 CFR Parts 2, 13, and 19

[FAR Case 2016-004; Docket No. 2016-0004, Sequence No. 1]
RIN 9000-AN18


Federal Acquisition Regulation: Acquisition Threshold for Special 
Emergency Procurement Authority

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

ACTION: Proposed rule.

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SUMMARY: DoD, GSA, and NASA are proposing to amend the Federal 
Acquisition Regulation (FAR) to implement the National Defense 
Authorization Act for Fiscal Year 2016 to raise the simplified 
acquisition threshold for special emergency procurement authority.

DATES: Interested parties should submit written comments to the 
Regulatory Secretariat Division at one of the addresses shown below on 
or before August 19, 2016 to be considered in the formation of the 
final rule.

ADDRESSES: Submit comments in response to FAR case 2016-004 by any of 
the following methods:
     Regulations.gov: http://www.regulations.gov. Submit 
comments via the Federal eRulemaking portal by searching for ``FAR Case 
2016-004''. Select the link ``Comment Now'' that corresponds with ``FAR 
Case 2016-004.'' Follow the instructions provided on the screen. Please 
include your name, company name (if any), and ``FAR Case 2016-004'' on 
your attached document.
     Mail: General Services Administration, Regulatory 
Secretariat Division (MVCB), ATTN: Ms. Flowers, 1800 F Street NW., 2nd 
Floor, Washington, DC 20405.
    Instructions: Please submit comments only and cite FAR Case 2016-
004, in all correspondence related to this case. All comments received 
will be posted without change to http://www.regulations.gov, including 
any personal and/or business confidential information provided. To 
confirm receipt of your comment(s), please check www.regulations.gov, 
approximately two to three days after submission to verify posting 
(except allow 30 days for posting of comments submitted by mail).

FOR FURTHER INFORMATION CONTACT: Ms. Camara Francis, Procurement 
Analyst, at 202-550-0935 for clarification of content. For information 
pertaining to status or publication schedules, contact the Regulatory 
Secretariat Division at 202-501-4755. Please cite FAR Case 2016-004.

SUPPLEMENTARY INFORMATION: 

I. Background

    DOD, GSA, and NASA are proposing to revise the FAR to implement 
section 816 of the National Defense Authorization Act for Fiscal Year 
2016 (Pub. L. 114-92). FAR 2.101, 13.003, 19.203, and 19.502-2 are 
being amended to increase the simplified acquisition threshold for 
special emergency procurement authority from $300,000 to $750,000 
(within the United States) and from $1 million to $1.5 million (outside 
the United States). The threshold is used for acquisitions of supplies 
or services that, as determined by the head of the agency, are to be 
used to support a contingency operation or to facilitate defense 
against or recovery from nuclear, biological, chemical, or radiological 
attack.

II. 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

[[Page 39883]]

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 proposed rule is not a major rule under 5 
U.S.C. 804.

III. Regulatory Flexibility Act

    DoD, GSA, and NASA do not expect this proposed rule to 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 rule raises the simplified acquisition threshold for 
special emergency procurement authority, an arena in which a smaller 
percentage of small businesses participate, as compared to larger 
businesses. However, an initial regulatory flexibility analysis (IRFA) 
has been prepared consistent with 5 U.S.C. 603. The analysis is 
summarized as follows:

    This proposed rule implements section 816 of the National 
Authorization Act for Fiscal Year (FY) 2016 Public Law 114-92. 
Therefore, the FAR is revised to raise the simplified acquisition 
thresholds for special emergency procurement authority.
    The objective of this proposed rule is to increase the 
simplified acquisition thresholds for special emergency procurement 
authority from $300,000 to $750,000 (within the United States) and 
$1 million to $1.5 million (outside the United States) for 
acquisitions of supplies or services that, as determined by the head 
of the agency, are to be used to support a contingency operation or 
to facilitate defense against or recovery from nuclear, biological, 
chemical, or radiological attack.
    DoD, GSA, and NASA do not expect this proposed rule to 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 rule raises the simplified 
acquisition threshold for special emergency procurements, an arena 
in which a smaller percentage of small businesses participate, as 
compared to larger businesses. Between $300,000 and the increase to 
$750,000, 188 total awards were made of which 45 or 24 percent were 
to small businesses in FY 2014, and 219 total awards were made of 
which 66 or 30 percent were to small businesses in FY 2015. Between 
$1 million and the increase to $1.5 million, 56 total awards were 
made of which 10 or 17 percent were small businesses in FY 2014, and 
29 total awards were made of which 9 or 31 percent were to small 
businesses in FY 2015. The proposed rule imposes no reporting, 
recordkeeping, or other information collection requirements.
    The rule does not duplicate, overlap, or conflict with any other 
Federal rules.
    There are no known significant alternatives to the rule. The 
impact of this proposed rule on small business is not expected to be 
significant.

    The Regulatory Secretariat Division has submitted a copy of the 
IRFA to the Chief Counsel for Advocacy of the Small Business 
Administration. A copy of the IRFA may be obtained from the Regulatory 
Secretariat Division. DoD, GSA, and NASA invite comments from small 
business concerns and other interested parties on the expected impact 
of this proposed rule on small entities.
    DoD, GSA, and NASA will also consider comments from small entities 
concerning the existing regulations in subparts affected by the 
proposed rule consistent with 5 U.S.C. 610. Interested parties must 
submit such comments separately and should cite 5 U.S.C. 610 (FAR Case 
2016-004), in correspondence.

IV. Paperwork Reduction Act

    The proposed 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 Subjects in 48 CFR Parts 2, 13, and 19

    Government procurement.

    Dated: June 14, 2016.
William Clark,
Director, Office of Government-Wide Acquisition Policy, Office of 
Acquisition Policy, Office of Government-Wide Policy.
    Therefore, DoD, GSA, and NASA are proposing to amend 48 CFR parts 
2, 13, and 19, as set forth below:

0
1. The authority citation for 48 CFR parts 2, 13, and 19 continues to 
read as follows:

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

PART 2--DEFINITIONS WORDS AND TERMS


2.101   [Amended]

0
2. Amend the definition ``Simplified acquisition threshold'' in 
paragraph (b) of section 2.101 by:
0
a. Removing from paragraph (1) ``$300,000'' and adding in its place 
``$750,000''; and
0
b. Removing from paragraph (2) ``$1 million'' and adding in its place 
``$1.5 million''.

PART 13--SIMPLIFIED ACQUISITION PROCEDURES


13.003   [Amended]

0
3. Amend section 13.003 by removing from paragraph (b)(1) ``$300,000'' 
and adding ``$750,00'' in its place.

PART 19--SMALL BUSINESS PROGRAMS


19.203   [Amended]

0
4. Amend section 19.203 by removing from paragraph (b) ``$300,000'' and 
adding ``$750,000'' in its place.


19.502-2   [Amended]

0
5. Amend section 19.502-2 by removing from paragraph (a) ``$300,000'' 
and adding ``$750,000'' in its place.
[FR Doc. 2016-14413 Filed 6-17-16; 8:45 am]
 BILLING CODE 6820-EP-P

Federal Register / Vol. 81, No. 118 / Monday, June 20, 2016 / Proposed Rules 39883

effects, distributive impacts, and There are no known significant alternatives PART 13—SIMPLIFIED ACQUISITION
equity). E.O. 13563 emphasizes the to the rule. The impact of this proposed rule PROCEDURES
importance of quantifying both costs on small business is not expected to be
and benefits, of reducing costs, of significant. 13.003 [Amended]
harmonizing rules, and of promoting ■ 3. Amend section 13.003 by removing
flexibility. This is not a significant The Regulatory Secretariat Division from paragraph (b)(1) ‘‘$300,000’’ and
regulatory action and, therefore, was not has submitted a copy of the IRFA to the adding ‘‘$750,00’’ in its place.
subject to review under section 6(b) of Chief Counsel for Advocacy of the Small
E.O. 12866, Regulatory Planning and Business Administration. A copy of the PART 19—SMALL BUSINESS
IRFA may be obtained from the PROGRAMS
Review, dated September 30, 1993. This
proposed rule is not a major rule under Regulatory Secretariat Division. DoD, 19.203 [Amended]
5 U.S.C. 804. GSA, and NASA invite comments from
■ 4. Amend section 19.203 by removing
small business concerns and other from paragraph (b) ‘‘$300,000’’ and
III. Regulatory Flexibility Act interested parties on the expected adding ‘‘$750,000’’ in its place.
DoD, GSA, and NASA do not expect impact of this proposed rule on small
this proposed rule to have a significant entities. 19.502–2 [Amended]
economic impact on a substantial DoD, GSA, and NASA will also ■ 5. Amend section 19.502–2 by
number of small entities within the removing from paragraph (a) ‘‘$300,000’’
consider comments from small entities
meaning of the Regulatory Flexibility and adding ‘‘$750,000’’ in its place.
concerning the existing regulations in
Act, 5 U.S.C. 601, et seq., because the [FR Doc. 2016–14413 Filed 6–17–16; 8:45 am]
subparts affected by the proposed rule
rule raises the simplified acquisition BILLING CODE 6820–EP–P
threshold for special emergency consistent with 5 U.S.C. 610. Interested
procurement authority, an arena in parties must submit such comments
which a smaller percentage of small separately and should cite 5 U.S.C. 610 DEPARTMENT OF DEFENSE
businesses participate, as compared to (FAR Case 2016–004), in
larger businesses. However, an initial correspondence. GENERAL SERVICES
regulatory flexibility analysis (IRFA) has ADMINISTRATION
IV. Paperwork Reduction Act
been prepared consistent with 5 U.S.C.
603. The analysis is summarized as The proposed rule does not contain NATIONAL AERONAUTICS AND
follows: any information collection requirements SPACE ADMINISTRATION
This proposed rule implements section 816 that require the approval of the Office of
Management and Budget under the 48 CFR Parts 8 and 13
of the National Authorization Act for Fiscal
Year (FY) 2016 Public Law 114–92. Paperwork Reduction Act (44 U.S.C. [FAR Case 2015–015; Docket No. 2015–
Therefore, the FAR is revised to raise the chapter 35). 0015; Sequence No. 1]
simplified acquisition thresholds for special
emergency procurement authority. List of Subjects in 48 CFR Parts 2, 13, RIN 9000–AM89
The objective of this proposed rule is to and 19
increase the simplified acquisition thresholds Federal Acquisition Regulation:
for special emergency procurement authority Government procurement. Strategic Sourcing Documentation
from $300,000 to $750,000 (within the
United States) and $1 million to $1.5 million Dated: June 14, 2016. AGENCY: Department of Defense (DoD),
(outside the United States) for acquisitions of William Clark, General Services Administration (GSA),
supplies or services that, as determined by and National Aeronautics and Space
Director, Office of Government-Wide
the head of the agency, are to be used to Administration (NASA).
Acquisition Policy, Office of Acquisition
support a contingency operation or to ACTION: Proposed rule.
Policy, Office of Government-Wide Policy.
facilitate defense against or recovery from
nuclear, biological, chemical, or radiological Therefore, DoD, GSA, and NASA are SUMMARY: DoD, GSA, and NASA are
attack. proposing to amend 48 CFR parts 2, 13, proposing to amend the Federal
DoD, GSA, and NASA do not expect this Acquisition Regulation (FAR) to
and 19, as set forth below:
proposed rule to have a significant economic implement a section of the Carl Levin
impact on a substantial number of small ■ 1. The authority citation for 48 CFR
entities within the meaning of the Regulatory
and Howard P. ‘‘Buck’’ McKeon
parts 2, 13, and 19 continues to read as National Defense Authorization Act for
Flexibility Act, 5 U.S.C.601, et seq., because
the rule raises the simplified acquisition
follows: Fiscal Year 2015 that provides that the
threshold for special emergency Authority: 40 U.S.C. 121(c); 10 U.S.C. contract file shall contain certain
procurements, an arena in which a smaller chapter 137; and 51 U.S.C. 20113. documentation if the Federal
percentage of small businesses participate, as Government makes a purchase of
compared to larger businesses. Between PART 2—DEFINITIONS WORDS AND supplies and services offered under the
$300,000 and the increase to $750,000, 188 Federal Strategic Sourcing Initiative
total awards were made of which 45 or 24
TERMS
(FSSI), but the FSSI is not used.
percent were to small businesses in FY 2014, 2.101 [Amended]
and 219 total awards were made of which 66 DATES: Interested parties should submit
or 30 percent were to small businesses in FY 2. Amend the definition ‘‘Simplified comments to the Regulatory Secretariat
asabaliauskas on DSK3SPTVN1PROD with PROPOSALS

■
2015. Between $1 million and the increase to acquisition threshold’’ in paragraph (b) Division at one of the addresses shown
$1.5 million, 56 total awards were made of of section 2.101 by: below on or before August 19, 2016 to
which 10 or 17 percent were small be considered in the formulation of a
businesses in FY 2014, and 29 total awards ■ a. Removing from paragraph (1)
final rule.
were made of which 9 or 31 percent were to ‘‘$300,000’’ and adding in its place
small businesses in FY 2015. The proposed ADDRESSES: Submit comments in
‘‘$750,000’’; and
rule imposes no reporting, recordkeeping, or response to FAR case 2015–015 by any
other information collection requirements. ■ b. Removing from paragraph (2) ‘‘$1 of the following methods:
The rule does not duplicate, overlap, or million’’ and adding in its place ‘‘$1.5 • Regulations.gov: http://
conflict with any other Federal rules. million’’. www.regulations.gov.

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Document Created: 2016-06-18 00:09:17
Document Modified: 2016-06-18 00:09:17

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		Proposed Rules
Action		Proposed rule.
Dates		Interested parties should submit written comments to the
Contact		Ms. Camara Francis, Procurement Analyst, at 202-550-0935 for clarification of content. For information pertaining to status or publication schedules, contact the Regulatory Secretariat Division at 202-501-4755. Please cite FAR Case 2016-004.
FR Citation		81 FR 39882
RIN Number		9000-AN18
CFR Citation		48 CFR 13 48 CFR 19 48 CFR 2

81 FR 39882 - Federal Acquisition Regulation: Acquisition Threshold for Special Emergency Procurement Authority

DEPARTMENT OF DEFENSEGENERAL SERVICES ADMINISTRATIONNATIONAL AERONAUTICS AND SPACE ADMINISTRATION

Federal Register Volume 81, Issue 118 (June 20, 2016)

DEPARTMENT OF DEFENSE
GENERAL SERVICES ADMINISTRATION
NATIONAL AERONAUTICS AND SPACE ADMINISTRATION