82 FR 4734 - Federal Acquisition Regulation; Federal Acquisition Circular 2005-95; Small Entity Compliance Guide
DEPARTMENT OF DEFENSE
GENERAL SERVICES ADMINISTRATION
NATIONAL AERONAUTICS AND SPACE ADMINISTRATION Federal Register Volume 82, Issue 9 (January 13, 2017)
GENERAL SERVICES ADMINISTRATION
NATIONAL AERONAUTICS AND SPACE ADMINISTRATION
Federal Register Volume 82, Issue 9 (January 13, 2017)
| Page Range | 4734-4735 | |
| FR Document | 2016-31500 |
[Federal Register Volume 82, Number 9 (Friday, January 13, 2017)] [Rules and Regulations] [Pages 4734-4735] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2016-31500] ----------------------------------------------------------------------- DEPARTMENT OF DEFENSE GENERAL SERVICES ADMINISTRATION NATIONAL AERONAUTICS AND SPACE ADMINISTRATION 48 CFR Chapter 1 [Docket No. FAR 2016-0051, Sequence No. 9] Federal Acquisition Regulation; Federal Acquisition Circular 2005-95; Small Entity Compliance Guide AGENCY: Department of Defense (DoD), General Services Administration (GSA), and National Aeronautics and Space Administration (NASA). ACTION: Small Entity Compliance Guide. ----------------------------------------------------------------------- SUMMARY: This document is issued under the joint authority of DOD, GSA, and NASA. This Small Entity Compliance Guide has been prepared in accordance with section 212 of the Small Business Regulatory Enforcement Fairness Act of 1996. It consists of a summary of the rules appearing in Federal Acquisition Circular (FAC) 2005-95, which amends the Federal Acquisition Regulation (FAR). An asterisk (*) next to a rule indicates that a regulatory flexibility analysis has been prepared. Interested parties may obtain further information regarding these rules by referring to FAC 2005-95, which precedes this document. These [[Page 4735]] documents are also available via the Internet at http://www.regulations.gov. DATES: January 13, 2017. FOR FURTHER INFORMATION CONTACT: For clarification of content, contact the analyst whose name appears in the table below. Please cite FAC 2005-95 and the FAR case number. For information pertaining to status or publication schedules, contact the Regulatory Secretariat Division at 202-501-4755. Rules Listed in FAC 2005-95 ---------------------------------------------------------------------------------------------------------------- Item Subject FAR Case Analyst ---------------------------------------------------------------------------------------------------------------- * I........................... Uniform Use of Line Items....... 2013-014 Francis. * II.......................... Acquisition Threshold for 2016-004 Francis. Special Emergency Procurement Authority. * III......................... Contractor Employee Internal 2015-012 Davis. Confidentiality Agreements or Statements. * IV.......................... Contracts Under the Small 2012-022 Uddowla. Business Administration 8(a) Program. * V........................... Prohibition on Reimbursement for 2015-016 Delgado. Congressional Investigations and Inquiries. ---------------------------------------------------------------------------------------------------------------- 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 2005-95 amends the FAR as follows: Item I--Uniform Use of Line Items (FAR Case 2013-014) This final rule amends the FAR to establish standards for the uniform use of line items in Federal procurement. These standards are designed to improve the accuracy, traceability, and usability of procurement data. The implementation of these standards will facilitate the identification and traceability of spending from appropriation through expenditure, supporting automated collection of information using key identifiers. The implementation date for FAR 4.1002 through 4.1008 will be October 1, 2019. The requirements in the rule have the potential to impact any entity, small or large, that does business with the Federal Government because the proposed rule would apply to purchases of items, including commercial items and commercially available off-the-shelf items, and purchases under the simplified acquisition threshold. Any small business that contracts with a Federal agency could be impacted to at least some extent. Item II--Acquisition Threshold for Special Emergency Procurement Authority (FAR Case 2016-004) This final rule amends the FAR by increasing the simplified acquisition threshold (SAT) 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) 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. This change implements Section 816 of the National Defense Authorization Act for Fiscal Year 2016 (Pub. L. 114-92). This rule provides contracting officers with more flexibility when contracting in support of contingency operations. The rule is not anticipated to have a significant economic impact on small business entities, because the rule raises the SAT for special emergency procurements, an arena in which a smaller percentage of small businesses participate, as compared to larger businesses. This final rule does not place any new requirements on small entities. Item III--Contractor Employee Internal Confidentiality Agreements or Statements (FAR Case 2015-012) This final rule revises the FAR to implement section 743 of division E, title VII, of the Consolidated and Further Continuing Appropriations Act, 2015 (Pub. L. 113-235) and successor provisions in subsequent appropriations acts. Section 743 prohibits the use of funds appropriated or otherwise made available by Division E or any other act, for a contract with an entity that requires employees and subcontractors of such entity to sign internal confidentiality agreements or statements prohibiting or otherwise restricting such employees or subcontractors from lawfully reporting waste, fraud, or abuse, to a designated investigative or law enforcement representative of a Federal department or agency authorized to receive such information (e.g., agency office of the Inspector General). This rule is not expected to have a significant impact on small entities contracting with the Government. Item IV--Contracts Under the Small Business Administration 8(a) Program (FAR Case 2012-022) This final rule amends the Federal Acquisition Regulation (FAR) to implement clarifications made by the Small Business Administration in its final rule, which published in the Federal Register at 76 FR 8222 on February 11, 2011. This final rule clarifies in the FAR the procedures and requirements used when contracting under the 8(a) program. Clarifications include the evaluation, offering, and acceptance process, procedures for acquiring SBA's consent to procure an 8(a) requirement outside the 8(a) program, and the impact of exiting the 8(a) program in terms of the firm's ability to receive future 8(a) requirements and its current contractual commitments. This final rule does not place any new requirements, financial or otherwise, on small entities, and serves mainly to provide more explicit guidance to Federal contracting officials. Item V--Prohibition on Reimbursement for Congressional Investigations and Inquiries (FAR Case 2015-016) This rule amends the FAR to implement section 857 of the Carl Levin and Howard P. `Buck' McKeon National Defense Authorization Act for Fiscal Year 2015. Section 857 imposes additional requirements relative to the allowability of costs incurred by a contractor in connection with a congressional investigation or inquiry. Contracting officers need to be aware of these new restrictions on certain costs, which cannot be charged under contracts. Although small businesses subject to FAR part 31 will need to maintain accounting records, this rule does not place any new requirements on small entities. Dated: December 21, 2016. William F. Clark, Director, Office of Government-wide Acquisition Policy, Office of Acquisition Policy, Office of Government-wide Policy. [FR Doc. 2016-31500 Filed 1-12-17; 8:45 am] BILLING CODE 6820-EP-P
![4734 Federal Register / Vol. 82, No. 9 / Friday, January 13, 2017 / Rules and Regulations
5 U.S.C. 601, et seq., because the rule will be PART 31—CONTRACT COST criminal, civil, or administrative
manifested as a cost principle to which only PRINCIPLES AND PROCEDURES proceedings that result in dispositions
select small businesses are subject. Pursuant described at 31.205–47(b)(1) through (5)
to FAR 31.000, the cost principles are ■ 1. The authority citation for 48 CFR commenced by: A Federal, State, local,
applicable to contracts, subcontracts, and part 31 continues to read as follows:
modifications whenever cost analysis is
or foreign government, for a violation of,
performed, or when a contract clause Authority: 40 U.S.C. 121(c); 10 U.S.C. or failure to comply with, law or
requires the determination or negotiation of chapter 137; and 51 U.S.C. 20113. regulation by the contractor (including
costs. An analysis of contracts awarded ■ 2. Amend section 31.205–47 by— its agents or employees); a contractor or
during Fiscal Year 2014, the most recent full ■ a. In paragraph (a): subcontractor employee submitting a
year for which information was available, ■ i. In the definition of ‘‘Fraud’’, whistleblower complaint of reprisal in
revealed that fewer than 200 small businesses accordance with 41 U.S.C. 4712 or 10
removing ‘‘Fraudmeans’’ and adding
were performing contracts subject to FAR 31. U.S.C. 2409; or a third party in the name
Again, the rule merely disallows costs ‘‘Fraud means’’ in its place;
■ ii. In the definition of ‘‘Penalty’’, of the United States under the False
incurred in the extremely rare instances
when a contractor incurs costs in connection removing the comma after the word Claims Act, 31 U.S.C. 3730. For any
with a Congressional investigation or inquiry ‘‘Penalty’’; such proceeding that does not result in
into an issue resulting in a disposition (e.g., ■ iii. In the definition of ‘‘Proceeding’’, a disposition described at 31.205–
conviction, liability, corrective action, etc.), removing the comma after the word 47(b)(1) through (5), or to which 31.205–
as described in 10 U.S.C. 2324(k)(2). ‘‘Proceeding’’; 47(c) exceptions apply, the cost of that
Accordingly, given the miniscule segment of ■ b. Revising paragraph (b) introductory proceeding shall be subject to the
the small business population that could limitations in 31.205–47(e).
text; and
potentially be impacted by the rule, and the (16) Costs incurred in connection
■ c. Adding paragraph (f)(9).
low likelihood of the conditions being met, with a Congressional investigation or
the impact on small businesses is The addition reads as follows:
inquiry into an issue that is the subject
insignificant. 31.205–47 Costs related to legal and other matter of a proceeding resulting in a
There were no significant issues proceedings. disposition as described at 31.205–
raised by the public in response to the * * * * * 47(b)(1) through (5).
Initial Regulatory Flexibility Analysis (b) Costs incurred in connection with [FR Doc. 2016–31499 Filed 1–12–17; 8:45 am]
provided in the proposed rule. The final any proceeding brought by: A Federal, BILLING CODE 6820–EP–P
rule applies to all entities, both small State, local, or foreign government for a
and other than small, performing as violation of, or failure to comply with,
contractors or subcontractors on U.S. law or regulation by the contractor DEPARTMENT OF DEFENSE
Government contracts, and who are (including its agents or employees) (41
required to abide by the Cost Principles U.S.C. 4310 and 10 U.S.C. 2324(k)); a GENERAL SERVICES
at FAR part 31. However, the rule is not contractor or subcontractor employee ADMINISTRATION
expected to have a significant impact. submitting a whistleblower complaint of
There are no reporting, recordkeeping, reprisal in accordance with 41 U.S.C. NATIONAL AERONAUTICS AND
or other information collection 4712 or 10 U.S.C. 2409; or a third party SPACE ADMINISTRATION
requirements of the rule. in the name of the United States under
DoD, GSA, and NASA did not identify the False Claims Act, 31 U.S.C. 3730, 48 CFR Chapter 1
any significant alternatives that would are unallowable if the result is— [Docket No. FAR 2016–0051, Sequence No.
reduce the impact on small entities and * * * * * 9]
still meet the objectives of the statute. (f) * * *
(9) A Congressional investigation or Federal Acquisition Regulation;
Interested parties may obtain a copy
inquiry into an issue that is the subject Federal Acquisition Circular 2005–95;
of the FRFA from the Regulatory
matter of a proceeding resulting in a Small Entity Compliance Guide
Secretariat. The Regulatory Secretariat
has submitted a copy of the FRFA to the disposition as described in paragraphs AGENCY: Department of Defense (DoD),
Chief Counsel for Advocacy of the Small (b)(1) through (5) of this section (see 10 General Services Administration (GSA),
Business Administration. U.S.C. 2324(e)(1)(Q)). and National Aeronautics and Space
* * * * * Administration (NASA).
V. Paperwork Reduction Act ■ 3. Amend section 31.603 by— ACTION: Small Entity Compliance Guide.
This rule does not contain any ■ a. Revising paragraphs (b)
information collection requirements that introductory text and (b)(15); and SUMMARY: This document is issued
require the approval of the Office of ■ b. Adding paragraph (b)(16). under the joint authority of DOD, GSA,
Management and Budget under the The revisions and addition reads as and NASA. This Small Entity
Paperwork Reduction Act (44 U.S.C. follows: Compliance Guide has been prepared in
chapter 35). accordance with section 212 of the
31.603 Requirements. Small Business Regulatory Enforcement
List of Subjects in 48 CFR Part 31 * * * * * Fairness Act of 1996. It consists of a
Government procurement. (b) Agencies are not expected to place summary of the rules appearing in
additional restrictions on individual Federal Acquisition Circular (FAC)
Dated: December 21, 2016.
asabaliauskas on DSK3SPTVN1PROD with RULES
items of cost. However, under 10 U.S.C. 2005–95, which amends the Federal
William F. Clark, 2324, 41 U.S.C. 4304, 31 U.S.C. 3730, Acquisition Regulation (FAR). An
Director, Office of Government-wide and 41 U.S.C. 4310, the following costs asterisk (*) next to a rule indicates that
Acquisition Policy, Office of Acquisition are unallowable: a regulatory flexibility analysis has been
Policy, Office of Government-wide Policy.
* * * * * prepared. Interested parties may obtain
Therefore, DoD, GSA, and NASA (15) Unless any of the exceptions at further information regarding these
amend 48 CFR part 31 as set forth 31.205–47(c) or (d) apply, costs incurred rules by referring to FAC 2005–95,
below: by a contractor in connection with any which precedes this document. These
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![Federal Register / Vol. 82, No. 9 / Friday, January 13, 2017 / Rules and Regulations 4735
documents are also available via the FOR FURTHER INFORMATION CONTACT: For FAR case number. For information
Internet at http://www.regulations.gov. clarification of content, contact the pertaining to status or publication
analyst whose name appears in the table schedules, contact the Regulatory
DATES: January 13, 2017. below. Please cite FAC 2005–95 and the Secretariat Division at 202–501–4755.
RULES LISTED IN FAC 2005–95
Item Subject FAR Case Analyst
* I .................... Uniform Use of Line Items ......................................................................................................... 2013–014 Francis.
* II ................... Acquisition Threshold for Special Emergency Procurement Authority ...................................... 2016–004 Francis.
* III .................. Contractor Employee Internal Confidentiality Agreements or Statements ................................ 2015–012 Davis.
* IV .................. Contracts Under the Small Business Administration 8(a) Program ........................................... 2012–022 Uddowla.
* V ................... Prohibition on Reimbursement for Congressional Investigations and Inquiries ........................ 2015–016 Delgado.
SUPPLEMENTARY INFORMATION: radiological attack. This change Small Business Administration in its
Summaries for each FAR rule follow. implements Section 816 of the National final rule, which published in the
For the actual revisions and/or Defense Authorization Act for Fiscal Federal Register at 76 FR 8222 on
amendments made by these rules, refer Year 2016 (Pub. L. 114–92). This rule February 11, 2011. This final rule
to the specific item numbers and provides contracting officers with more clarifies in the FAR the procedures and
subjects set forth in the documents flexibility when contracting in support requirements used when contracting
following these item summaries. FAC of contingency operations. under the 8(a) program. Clarifications
2005–95 amends the FAR as follows: The rule is not anticipated to have a include the evaluation, offering, and
significant economic impact on small acceptance process, procedures for
Item I—Uniform Use of Line Items
business entities, because the rule raises acquiring SBA’s consent to procure an
(FAR Case 2013–014)
the SAT for special emergency 8(a) requirement outside the 8(a)
This final rule amends the FAR to procurements, an arena in which a program, and the impact of exiting the
establish standards for the uniform use smaller percentage of small businesses 8(a) program in terms of the firm’s
of line items in Federal procurement. participate, as compared to larger
These standards are designed to ability to receive future 8(a)
businesses. This final rule does not
improve the accuracy, traceability, and requirements and its current contractual
place any new requirements on small
usability of procurement data. The entities. commitments.
implementation of these standards will This final rule does not place any new
facilitate the identification and Item III—Contractor Employee Internal requirements, financial or otherwise, on
traceability of spending from Confidentiality Agreements or
small entities, and serves mainly to
appropriation through expenditure, Statements (FAR Case 2015–012)
provide more explicit guidance to
supporting automated collection of This final rule revises the FAR to Federal contracting officials.
information using key identifiers. The implement section 743 of division E,
implementation date for FAR 4.1002 title VII, of the Consolidated and Item V—Prohibition on Reimbursement
through 4.1008 will be October 1, 2019. Further Continuing Appropriations Act, for Congressional Investigations and
The requirements in the rule have the 2015 (Pub. L. 113–235) and successor Inquiries (FAR Case 2015–016)
potential to impact any entity, small or provisions in subsequent appropriations
This rule amends the FAR to
large, that does business with the acts. Section 743 prohibits the use of
implement section 857 of the Carl Levin
Federal Government because the funds appropriated or otherwise made
proposed rule would apply to purchases available by Division E or any other act, and Howard P. ‘Buck’ McKeon National
of items, including commercial items for a contract with an entity that Defense Authorization Act for Fiscal
and commercially available off-the-shelf requires employees and subcontractors Year 2015. Section 857 imposes
items, and purchases under the of such entity to sign internal additional requirements relative to the
simplified acquisition threshold. Any confidentiality agreements or statements allowability of costs incurred by a
small business that contracts with a prohibiting or otherwise restricting such contractor in connection with a
Federal agency could be impacted to at employees or subcontractors from congressional investigation or inquiry.
least some extent. lawfully reporting waste, fraud, or Contracting officers need to be aware of
abuse, to a designated investigative or these new restrictions on certain costs,
Item II—Acquisition Threshold for which cannot be charged under
law enforcement representative of a
Special Emergency Procurement
Federal department or agency contracts. Although small businesses
Authority (FAR Case 2016–004)
authorized to receive such information subject to FAR part 31 will need to
This final rule amends the FAR by (e.g., agency office of the Inspector maintain accounting records, this rule
increasing the simplified acquisition General). This rule is not expected to does not place any new requirements on
threshold (SAT) for special emergency have a significant impact on small small entities.
procurement authority from $300,000 to entities contracting with the
asabaliauskas on DSK3SPTVN1PROD with RULES
$750,000 (within the United States) and Dated: December 21, 2016.
Government.
from $1 million to $1.5 million (outside William F. Clark,
the United States) for acquisitions of Item IV—Contracts Under the Small Director, Office of Government-wide
supplies or services that, as determined Business Administration 8(a) Program Acquisition Policy, Office of Acquisition
by the head of the agency, are to be used (FAR Case 2012–022) Policy, Office of Government-wide Policy.
to support a contingency operation or to This final rule amends the Federal [FR Doc. 2016–31500 Filed 1–12–17; 8:45 am]
facilitate defense against or recovery Acquisition Regulation (FAR) to BILLING CODE 6820–EP–P
from nuclear, biological, chemical, or implement clarifications made by the
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Document Created: 2017-01-13 02:44:27
Document Modified: 2017-01-13 02:44:27
| 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 | Small Entity Compliance Guide. | |
| Dates | January 13, 2017. | |
| Contact | For clarification of content, contact the analyst whose name appears in the table below. Please cite FAC 2005-95 and the FAR case number. For information pertaining to status or publication schedules, contact the Regulatory Secretariat Division at 202-501-4755. | |
| FR Citation | 82 FR 4734 |
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