83_FR_47278 83 FR 47097 - VA Acquisition Regulation: Subcontracting Policies and Procedures; Government Property

83 FR 47097 - VA Acquisition Regulation: Subcontracting Policies and Procedures; Government Property

DEPARTMENT OF VETERANS AFFAIRS

Federal Register Volume 83, Issue 181 (September 18, 2018)

Page Range47097-47099
FR Document2018-20183

The Department of Veterans Affairs (VA) is amending and updating its VA Acquisition Regulation (VAAR) in phased increments to revise or remove any policy superseded by changes in the Federal Acquisition Regulation (FAR), to remove procedural guidance internal to VA into the VA Acquisition Manual (VAAM), and to incorporate any new agency specific regulations or policies. These changes seek to streamline and align the VAAR with the FAR and remove outdated and duplicative requirements and reduce burden on contractors. The VAAM incorporates portions of the removed VAAR as well as other internal agency acquisition policy. VA will rewrite certain parts of the VAAR and VAAM, and as VAAR parts are rewritten, we will publish them in the Federal Register. In particular, this rulemaking revises VAAR concerning Subcontracting Policies and Procedures and Government Property.

Federal Register, Volume 83 Issue 181 (Tuesday, September 18, 2018)
[Federal Register Volume 83, Number 181 (Tuesday, September 18, 2018)]
[Rules and Regulations]
[Pages 47097-47099]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-20183]


=======================================================================
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DEPARTMENT OF VETERANS AFFAIRS

48 CFR Parts 844 and 845

RIN 2900-AQ05


VA Acquisition Regulation: Subcontracting Policies and 
Procedures; Government Property

AGENCY: Department of Veterans Affairs.

ACTION: Final rule.

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

[[Page 47098]]

SUMMARY: The Department of Veterans Affairs (VA) is amending and 
updating its VA Acquisition Regulation (VAAR) in phased increments to 
revise or remove any policy superseded by changes in the Federal 
Acquisition Regulation (FAR), to remove procedural guidance internal to 
VA into the VA Acquisition Manual (VAAM), and to incorporate any new 
agency specific regulations or policies. These changes seek to 
streamline and align the VAAR with the FAR and remove outdated and 
duplicative requirements and reduce burden on contractors. The VAAM 
incorporates portions of the removed VAAR as well as other internal 
agency acquisition policy. VA will rewrite certain parts of the VAAR 
and VAAM, and as VAAR parts are rewritten, we will publish them in the 
Federal Register. In particular, this rulemaking revises VAAR 
concerning Subcontracting Policies and Procedures and Government 
Property.

DATES: This rule is effective on October 18, 2018.

FOR FURTHER INFORMATION CONTACT: Mr. Rafael N. Taylor, Senior 
Procurement Analyst, Procurement Policy and Warrant Management 
Services, 003A2A, 425 I Street, NW, Washington, DC 20001, (202) 382-
2787. (This is not a toll-free number.)

SUPPLEMENTARY INFORMATION: On April 6, 2018, VA published a proposed 
rule in the Federal Register (83 FR 14833) which announced VA's intent 
to amend regulations for VAAR Case RIN 2900-AQ05 (Parts 844 and 845). 
In particular, this final rule implements FAR part 44 by making public 
VA's additional requirements for providing its consent to subcontract, 
describes items that should be evaluated as a part of a contractor's 
purchasing system review and establishes that contractors should 
determine whether subcontract items meet the FAR definition of a 
commercial item and implements and supplements FAR part 45 by 
addressing procedures for contractors to document their acquisition of 
property for use in the service of VA contracts; to address the 
transfer of title to the Government of contractor-acquired property; 
and to outline the procedures for the use of such property on a 
successor contract.
    VA provided a 60-day comment period for the public to respond to 
the proposed rule. The comment period for the proposed rule ended on 
June 5, 2018 and VA received no comments. This document adopts as a 
final rule the proposed rule published in the Federal Register on April 
6, 2018, with minor formatting and/or grammatical edits.

Unfunded Mandates

    The Unfunded Mandates Reform Act of 1995 requires, at 2 U.S.C. 
1532, that agencies prepare an assessment of anticipated costs and 
benefits before issuing any rule that may result in the expenditure by 
State, local, and tribal Governments, in the aggregate, or by the 
private sector, of $100 million or more (adjusted annually for 
inflation) in any one year. This final rule will have no such effect on 
State, local, and tribal Governments or on the private sector.

Paperwork Reduction Act

    This final rule contains no provisions constituting a collection of 
information under the Paperwork Reduction Act of 1995 (44 U.S.C. 3501-
3521).

Regulatory Flexibility Act

    This final rule will not have a significant economic impact on a 
substantial number of small entities as they are defined in the 
Regulatory Flexibility Act, 5 U.S.C. 601-612. The overall impact of 
this final rule will be of benefit to small businesses owned by 
Veterans or service-disabled Veterans as the VAAR is being updated to 
remove extraneous procedural information that applies only to VA's 
internal operating procedures. VA is merely adding existing and current 
regulatory requirements to the VAAR and removing any guidance that is 
applicable only to VA's internal operation processes or procedures. VA 
estimates no cost impact to individual businesses would result from 
these rule updates. This rulemaking does not change VA's policy 
regarding small businesses, does not have an economic impact to 
individual businesses, and there are no increased or decreased costs to 
small business entities. On this basis, the final rule would not have 
an economic impact on a substantial number of small entities as they 
are defined in the Regulatory Flexibility Act, 5 U.S.C. 601-612. 
Therefore, under 5 U.S.C. 605(b), this regulatory action is exempt from 
the initial and final regulatory flexibility analysis requirements of 
sections 603 and 604.

Executive Orders 12866, 13563 and 13771

    Executive Orders (E.O.) 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. 
E.O. 12866, Regulatory Planning and Review defines ``significant 
regulatory action'' to mean any regulatory action that is likely to 
result in a rule that may: ``(1) Have an annual effect on the economy 
of $100 million or more or adversely affect in a material way the 
economy, a sector of the economy, productivity, competition, jobs, the 
environment, public health or safety, or State, local, or tribal 
Governments or communities; (2) Create a serious inconsistency or 
otherwise interfere with an action taken or planned by another agency; 
(3) Materially alter the budgetary impact of entitlements, grants, user 
fees, or loan programs or the rights and obligations of recipients 
thereof; or (4) Raise novel legal or policy issues arising out of legal 
mandates, the President's priorities, or the principles set forth in 
this Executive order.''
    VA has examined the economic, interagency, budgetary, legal, and 
policy implications of this regulatory action, and it has been 
determined this rule is not a significant regulatory action under E.O. 
12866. This final rule is not an E.O. 13771 regulatory action because 
this rule is not significant under E.O. 12866.
    VA's impact analysis can be found as a supporting document at 
http://www.regulations.gov, usually within 48 hours after the 
rulemaking document is published. Additionally, a copy of the 
rulemaking and its impact analysis are available on VA's website at 
http://www.va.gov/orpm by following the link for VA Regulations 
Published from FY 2004 Through Fiscal Year to Date.

List of Subjects

48 CFR Part 844

    Government procurement, Reporting and recordkeeping requirements.

48 CFR Part 845

    Government procurement, Government property, Reporting and 
recordkeeping requirements.

Signing Authority

    The Secretary of Veterans Affairs approved this document and 
authorized the undersigned to sign and submit the document to the 
Office of the Federal Register for publication electronically as an 
official document of the Department of Veterans Affairs. Robert L. 
Wilkie, Secretary, Department of Veterans Affairs, approved this 
document on August 24, 2018, for publication.


[[Page 47099]]


    Dated: September 12, 2018.
Consuela Benjamin,
Regulations Development Coordinator, Office of Regulation Policy & 
Management, Office of the Secretary, Department of Veterans Affairs.

0
For the reasons set out in the preamble, VA amends 48 CFR by adding 
parts 844 and 845 to read as follows:

PART 844--SUBCONTRACTING POLICIES AND PROCEDURES

Sec.
Subpart 844.2--Consent to Subcontracts
844.202-2 Considerations.
Subpart 844.3--Contractors' Purchasing Systems Reviews
844.303 Extent of review.
Subpart 844.4--Subcontracts for Commercial Items and Commercial 
Components
844.402 Policy requirements.


    Authority: 40 U.S.C. 121(c); 41 U.S.C. 1702 and 48 CFR 1.301-
1.304.

Subpart 844.2--Consent to Subcontracts


844.202-2  Considerations.

    (a)(14) Where other than lowest price is the basis for 
subcontractor selection, has the contractor adequately substantiated 
the selection as being fair, reasonable, and representing the best 
value to the Government?

Subpart 844.3--Contractors' Purchasing Systems Reviews


844.303  Extent of review.

    (f) Policies and procedures pertaining to the use of VA-verified 
Service-Disabled Veteran-Owned Small Businesses (SDVOSBs) and Veteran-
Owned Small Businesses (VOSBs) and utilization in accordance with 
subpart 819.70 and the Veterans First Contracting Program;
    (l) Documentation of commercial item determinations to ensure 
compliance with the definition of ``commercial item'' in FAR 2.101; and
    (m) For acquisitions involving electronic parts, that the 
contractor has implemented a counterfeit electronic part detection and 
avoidance system to ensure that counterfeit electronic parts do not 
enter the supply chain.

Subpart 844.4--Subcontracts for Commercial Items and Commercial 
Components


844.402  Policy requirements.

    (a)(3) Determine whether a particular subcontract item meets the 
definition of a commercial item. This requirement does not affect the 
contracting officer's responsibilities or determinations made under FAR 
15.403-1(c)(3).

PART 845--GOVERNMENT PROPERTY

Sec.
Subpart 845.4--Title to Government Property
845.402 Title to contractor-acquired property.
845.402-70 Policy.

    Authority: 40 U.S.C. 121(c); 41 U.S.C. 1702 and 48 CFR 1.301-
1.304.

Subpart 845.4--Title to Government Property


845.402  Title to contractor-acquired property.


845.402-70  Policy.

    (a) For other than firm-fixed-price contracts, contractor-acquired 
property items not anticipated at time of contract award, or not 
otherwise specified for delivery on an existing line item, shall, by 
means of a contract modification, be specified for delivery to the 
Government on an added contract line item. The value of such 
contractor-acquired property item shall be recorded at the original 
purchase cost. Unless otherwise noted by the contractor at the time of 
delivery to the Government, the placed-in-service date shall be the 
date of acquisition or completed manufacture, if fabricated.
    (b) Following delivery and acceptance by the Government of 
contractor-acquired property items, if these items are to be retained 
by the contractor for continued use under a successor contract, these 
items become Government-furnished property (GFP). The items shall be 
added to the successor contract as GFP by contract modification.
    (c) Individual contractor-acquired property items should be 
recorded in the contractor's property management system at the 
contractor's original purchase cost.
    (d) All other contractor inventory that is excess to the needs of 
the contract shall be disposed of in accordance with FAR subpart 45.6.

[FR Doc. 2018-20183 Filed 9-17-18; 8:45 am]
BILLING CODE 8320-01-P



                                                                  Federal Register / Vol. 83, No. 181 / Tuesday, September 18, 2018 / Rules and Regulations                                                                                            47097

                                                                                                                          Radio facilities                                                                                                    Fee amount

                                             Carriers:
                                                 1. Interstate Telephone Service Providers (per interstate and international end-user revenues (see FCC Form                                                                      $.00291.
                                                    499–A).
                                                 2. Toll Free Number Fee .........................................................................................................................................                $.10 per Toll Free Number.



                                             ■ 5. Section 1.1155 is revised to read as                                   § 1.1155 Schedule of regulatory fees for
                                             follows:                                                                    cable television services.

                                             1. Cable Television Relay Service .................................................................................................................................                  $1,075.
                                             2. Cable TV System, Including IPTV (per subscriber) ...................................................................................................                              $.77.
                                             3. Direct Broadcast Satellite (DBS) ................................................................................................................................                 $.48 per subscriber.



                                             ■ 6. Section 1.1156 is revised to read as                                   § 1.1156 Schedule of regulatory fees for                                    Stations. The following schedule
                                             follows:                                                                    international services.                                                     applies for the listed services:
                                                                                                                          (a) Geostationary Orbit (GSO) and
                                                                                                                         Non-Geostationary Orbit (NGSO) Space

                                                                                                                                   Fee category                                                                                                   Fee amount

                                             Space Stations (Geostationary Orbit) ..............................................................................................................................................                      $127,850
                                             Space Stations (Non-Geostationary Orbit) ......................................................................................................................................                           122,775
                                             Earth Stations: Transmit/Receive & Transmit only (per authorization or registration) ...................................................................                                                      325



                                               (b) International Terrestrial and                                         prior year in any terrestrial or satellite                                  addition, whether circuits are used
                                             Satellite. (1) Regulatory fees for                                          transmission facility for the provision of                                  specifically for voice or data is not
                                             International Bearer Circuits are to be                                     service to an end user or resale carrier,                                   relevant in determining that they are
                                             paid by facilities-based common carriers                                    which includes active circuits to                                           active circuits.
                                             and non-common carrier basis that have                                      themselves or to their affiliates. ‘‘Active                                    (2) The fee amount on a per active
                                             active (used or leased) international                                       circuits’’ for these purposes include                                       Gbps basis will be determined for each
                                             bearer circuits as of December 31 of the                                    backup and redundant circuits. In                                           fiscal year.

                                                                              International terrestrial and satellite (capacity as of December 31, 2017)                                                                                      Fee amount

                                             Terrestrial Common Carrier ............................................................................................................................................              $176 per Gbps Circuit.
                                             Terrestrial Non-Common Carrier.
                                             Satellite Common Carrier.
                                             Satellite Non-Common Carrier.



                                               (c) Submarine cable. Regulatory fees                                      for all submarine cable systems                                             year. The fee amount will be determined
                                             for submarine cable systems will be                                         operating as of December 31 of the prior                                    by the Commission for each fiscal year.
                                             paid annually, per cable landing license,

                                                                                                  Submarine cable systems (capacity as of Dec. 31, 2017)                                                                                          Fee amount

                                             <50 Gbps .........................................................................................................................................................................................           $9,850
                                             50 Gbps or greater, but less than 250 Gbps ..................................................................................................................................                                19,725
                                             250 Gbps or greater, but less than 1,000 Gbps .............................................................................................................................                                  39,425
                                             1,0000 Gbps or greater, but less than 4,000 Gbps ........................................................................................................................                                    78,875
                                             4,000 Gbps or greater .....................................................................................................................................................................                 157,750



                                             ■ 7. Section 1.1940(c) is revised to read                                   costs as determined by the Commission.                                      DEPARTMENT OF VETERANS
                                             as follows:                                                                 Commission administrative costs                                             AFFAIRS
                                                                                                                         include the personnel and service costs
                                             § 1.1940        Assessment.                                                 (e.g., telephone, copier, and overhead)                                     48 CFR Parts 844 and 845
                                             *     *    *     *     *                                                    to notify and collect the debt, without                                     RIN 2900–AQ05
                                               (c) The Commission shall assess                                           regard to the success of such efforts by
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                                             administrative costs incurred for                                           the Commission.                                                             VA Acquisition Regulation:
                                             processing and handling delinquent                                          *      *     *    *     *                                                   Subcontracting Policies and
                                             debts, unless otherwise prohibited by                                                                                                                   Procedures; Government Property
                                                                                                                         [FR Doc. 2018–19548 Filed 9–17–18; 8:45 am]
                                             statute. The calculation of                                                                                                                             AGENCY:        Department of Veterans Affairs.
                                                                                                                         BILLING CODE 6712–01–P
                                             administrative costs may be based on
                                                                                                                                                                                                     ACTION:       Final rule.
                                             actual costs incurred or upon estimated


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                                             47098            Federal Register / Vol. 83, No. 181 / Tuesday, September 18, 2018 / Rules and Regulations

                                             SUMMARY:   The Department of Veterans                   Unfunded Mandates                                     and benefits of reducing costs, of
                                             Affairs (VA) is amending and updating                      The Unfunded Mandates Reform Act                   harmonizing rules, and of promoting
                                             its VA Acquisition Regulation (VAAR)                    of 1995 requires, at 2 U.S.C. 1532, that              flexibility. E.O. 12866, Regulatory
                                             in phased increments to revise or                       agencies prepare an assessment of                     Planning and Review defines
                                             remove any policy superseded by                         anticipated costs and benefits before                 ‘‘significant regulatory action’’ to mean
                                             changes in the Federal Acquisition                      issuing any rule that may result in the               any regulatory action that is likely to
                                             Regulation (FAR), to remove procedural                  expenditure by State, local, and tribal               result in a rule that may: ‘‘(1) Have an
                                             guidance internal to VA into the VA                     Governments, in the aggregate, or by the              annual effect on the economy of $100
                                             Acquisition Manual (VAAM), and to                       private sector, of $100 million or more               million or more or adversely affect in a
                                             incorporate any new agency specific                     (adjusted annually for inflation) in any              material way the economy, a sector of
                                             regulations or policies. These changes                  one year. This final rule will have no                the economy, productivity, competition,
                                             seek to streamline and align the VAAR                   such effect on State, local, and tribal               jobs, the environment, public health or
                                             with the FAR and remove outdated and                    Governments or on the private sector.                 safety, or State, local, or tribal
                                             duplicative requirements and reduce                                                                           Governments or communities; (2) Create
                                             burden on contractors. The VAAM                         Paperwork Reduction Act
                                                                                                                                                           a serious inconsistency or otherwise
                                             incorporates portions of the removed                      This final rule contains no provisions              interfere with an action taken or
                                             VAAR as well as other internal agency                   constituting a collection of information              planned by another agency; (3)
                                             acquisition policy. VA will rewrite                     under the Paperwork Reduction Act of                  Materially alter the budgetary impact of
                                             certain parts of the VAAR and VAAM,                     1995 (44 U.S.C. 3501–3521).                           entitlements, grants, user fees, or loan
                                             and as VAAR parts are rewritten, we                                                                           programs or the rights and obligations of
                                                                                                     Regulatory Flexibility Act
                                             will publish them in the Federal                                                                              recipients thereof; or (4) Raise novel
                                             Register. In particular, this rulemaking                  This final rule will not have a
                                                                                                     significant economic impact on a                      legal or policy issues arising out of legal
                                             revises VAAR concerning
                                                                                                     substantial number of small entities as               mandates, the President’s priorities, or
                                             Subcontracting Policies and Procedures
                                                                                                     they are defined in the Regulatory                    the principles set forth in this Executive
                                             and Government Property.
                                                                                                     Flexibility Act, 5 U.S.C. 601–612. The                order.’’
                                             DATES: This rule is effective on October                overall impact of this final rule will be                VA has examined the economic,
                                             18, 2018.                                               of benefit to small businesses owned by               interagency, budgetary, legal, and policy
                                             FOR FURTHER INFORMATION CONTACT:    Mr.                 Veterans or service-disabled Veterans as              implications of this regulatory action,
                                             Rafael N. Taylor, Senior Procurement                    the VAAR is being updated to remove                   and it has been determined this rule is
                                             Analyst, Procurement Policy and                         extraneous procedural information that                not a significant regulatory action under
                                             Warrant Management Services, 003A2A,                    applies only to VA’s internal operating               E.O. 12866. This final rule is not an E.O.
                                             425 I Street, NW, Washington, DC                        procedures. VA is merely adding                       13771 regulatory action because this
                                             20001, (202) 382–2787. (This is not a                   existing and current regulatory                       rule is not significant under E.O. 12866.
                                             toll-free number.)                                      requirements to the VAAR and
                                                                                                     removing any guidance that is                            VA’s impact analysis can be found as
                                             SUPPLEMENTARY INFORMATION:      On April                                                                      a supporting document at http://
                                             6, 2018, VA published a proposed rule                   applicable only to VA’s internal
                                                                                                     operation processes or procedures. VA                 www.regulations.gov, usually within 48
                                             in the Federal Register (83 FR 14833)                                                                         hours after the rulemaking document is
                                             which announced VA’s intent to amend                    estimates no cost impact to individual
                                                                                                     businesses would result from these rule               published. Additionally, a copy of the
                                             regulations for VAAR Case RIN 2900–                                                                           rulemaking and its impact analysis are
                                                                                                     updates. This rulemaking does not
                                             AQ05 (Parts 844 and 845). In particular,                                                                      available on VA’s website at http://
                                                                                                     change VA’s policy regarding small
                                             this final rule implements FAR part 44                                                                        www.va.gov/orpm by following the link
                                                                                                     businesses, does not have an economic
                                             by making public VA’s additional                                                                              for VA Regulations Published from FY
                                                                                                     impact to individual businesses, and
                                             requirements for providing its consent                                                                        2004 Through Fiscal Year to Date.
                                                                                                     there are no increased or decreased
                                             to subcontract, describes items that
                                                                                                     costs to small business entities. On this
                                             should be evaluated as a part of a                                                                            List of Subjects
                                                                                                     basis, the final rule would not have an
                                             contractor’s purchasing system review
                                                                                                     economic impact on a substantial                      48 CFR Part 844
                                             and establishes that contractors should
                                                                                                     number of small entities as they are
                                             determine whether subcontract items                     defined in the Regulatory Flexibility                   Government procurement, Reporting
                                             meet the FAR definition of a                            Act, 5 U.S.C. 601–612. Therefore, under               and recordkeeping requirements.
                                             commercial item and implements and                      5 U.S.C. 605(b), this regulatory action is
                                             supplements FAR part 45 by addressing                                                                         48 CFR Part 845
                                                                                                     exempt from the initial and final
                                             procedures for contractors to document                  regulatory flexibility analysis
                                             their acquisition of property for use in                                                                        Government procurement,
                                                                                                     requirements of sections 603 and 604.                 Government property, Reporting and
                                             the service of VA contracts; to address
                                             the transfer of title to the Government of              Executive Orders 12866, 13563 and                     recordkeeping requirements.
                                             contractor-acquired property; and to                    13771                                                 Signing Authority
                                             outline the procedures for the use of                      Executive Orders (E.O.) 12866 and
                                             such property on a successor contract.                  13563 direct agencies to assess all costs               The Secretary of Veterans Affairs
                                                VA provided a 60-day comment                         and benefits of available regulatory                  approved this document and authorized
                                             period for the public to respond to the                 alternatives and, if regulation is                    the undersigned to sign and submit the
                                             proposed rule. The comment period for                   necessary, to select regulatory                       document to the Office of the Federal
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                                             the proposed rule ended on June 5, 2018                 approaches that maximize net benefits                 Register for publication electronically as
                                             and VA received no comments. This                       (including potential economic,                        an official document of the Department
                                             document adopts as a final rule the                     environmental, public health and safety               of Veterans Affairs. Robert L. Wilkie,
                                             proposed rule published in the Federal                  effects, distributive impacts, and                    Secretary, Department of Veterans
                                             Register on April 6, 2018, with minor                   equity). E.O. 13563 emphasizes the                    Affairs, approved this document on
                                             formatting and/or grammatical edits.                    importance of quantifying both costs                  August 24, 2018, for publication.


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                                                              Federal Register / Vol. 83, No. 181 / Tuesday, September 18, 2018 / Rules and Regulations                                         47099

                                                Dated: September 12, 2018.                           does not affect the contracting officer’s               DEPARTMENT OF COMMERCE
                                             Consuela Benjamin,                                      responsibilities or determinations made
                                             Regulations Development Coordinator, Office             under FAR 15.403–1(c)(3).                               National Oceanic and Atmospheric
                                             of Regulation Policy & Management, Office                                                                       Administration
                                             of the Secretary, Department of Veterans                PART 845—GOVERNMENT PROPERTY
                                             Affairs.                                                                                                        50 CFR Part 679
                                                                                                     Sec.
                                             ■ For the reasons set out in the                                                                                [Docket No. 170817779–8161–02]
                                             preamble, VA amends 48 CFR by adding                    Subpart 845.4—Title to Government
                                             parts 844 and 845 to read as follows:                   Property                                                RIN 0648–XG491
                                                                                                     845.402 Title to contractor-acquired                    Fisheries of the Exclusive Economic
                                             PART 844—SUBCONTRACTING
                                                                                                         property.                                           Zone Off Alaska; ‘‘Other Flatfish’’ in the
                                             POLICIES AND PROCEDURES                                 845.402–70 Policy.                                      Bering Sea and Aleutian Islands
                                             Sec.                                                      Authority: 40 U.S.C. 121(c); 41 U.S.C. 1702           Management Area
                                             Subpart 844.2—Consent to Subcontracts                   and 48 CFR 1.301–1.304.
                                                                                                                                                             AGENCY:  National Marine Fisheries
                                             844.202–2 Considerations.
                                                                                                     Subpart 845.4—Title to Government                       Service (NMFS), National Oceanic and
                                             Subpart 844.3—Contractors’ Purchasing                                                                           Atmospheric Administration (NOAA),
                                                                                                     Property
                                             Systems Reviews                                                                                                 Commerce.
                                             844.303 Extent of review.                               845.402 Title to contractor-acquired                    ACTION: Temporary rule; closure.
                                                                                                     property.
                                             Subpart 844.4—Subcontracts for                                                                                  SUMMARY:    NMFS is prohibiting retention
                                             Commercial Items and Commercial                         845.402–70         Policy.                              of ‘‘other flatfish’’ in the Bering Sea and
                                             Components                                                                                                      Aleutian Islands management area
                                                                                                        (a) For other than firm-fixed-price
                                             844.402 Policy requirements.                                                                                    (BSAI). This action is necessary because
                                                                                                     contracts, contractor-acquired property                 the 2018 ‘‘other flatfish’’ initial total
                                               Authority: 40 U.S.C. 121(c); 41 U.S.C. 1702           items not anticipated at time of contract               allowable catch (ITAC) in the BSAI has
                                             and 48 CFR 1.301–1.304.                                 award, or not otherwise specified for                   been reached.
                                                                                                     delivery on an existing line item, shall,               DATES: Effective 1200 hrs, Alaska local
                                             Subpart 844.2—Consent to                                by means of a contract modification, be
                                             Subcontracts                                                                                                    time (A.l.t.), September 13, 2018,
                                                                                                     specified for delivery to the Government                through 2400 hrs, A.l.t., December 31,
                                             844.202–2    Considerations.                            on an added contract line item. The                     2018.
                                                (a)(14) Where other than lowest price                value of such contractor-acquired
                                                                                                                                                             FOR FURTHER INFORMATION CONTACT:
                                             is the basis for subcontractor selection,               property item shall be recorded at the
                                                                                                                                                             Steve Whitney, 907–586–7228.
                                             has the contractor adequately                           original purchase cost. Unless otherwise
                                                                                                                                                             SUPPLEMENTARY INFORMATION: NMFS
                                             substantiated the selection as being fair,              noted by the contractor at the time of
                                                                                                     delivery to the Government, the placed-                 manages the groundfish fishery in the
                                             reasonable, and representing the best                                                                           BSAI according to the Fishery
                                             value to the Government?                                in-service date shall be the date of
                                                                                                                                                             Management Plan for Groundfish of the
                                                                                                     acquisition or completed manufacture,
                                                                                                                                                             Bering Sea and Aleutian Islands
                                             Subpart 844.3—Contractors’                              if fabricated.                                          Management Area (FMP) prepared by
                                             Purchasing Systems Reviews                                 (b) Following delivery and acceptance                the North Pacific Fishery Management
                                             844.303    Extent of review.                            by the Government of contractor-                        Council under authority of the
                                                (f) Policies and procedures pertaining               acquired property items, if these items                 Magnuson-Stevens Fishery
                                             to the use of VA-verified Service-                      are to be retained by the contractor for                Conservation and Management Act.
                                             Disabled Veteran-Owned Small                            continued use under a successor                         Regulations governing fishing by U.S.
                                             Businesses (SDVOSBs) and Veteran-                       contract, these items become                            vessels in accordance with the FMP
                                             Owned Small Businesses (VOSBs) and                      Government-furnished property (GFP).                    appear at subpart H of 50 CFR part 600
                                             utilization in accordance with subpart                  The items shall be added to the                         and 50 CFR part 679.
                                             819.70 and the Veterans First                           successor contract as GFP by contract                      The 2018 ‘‘other flatfish’’ ITAC in the
                                             Contracting Program;                                    modification.                                           BSAI is 3,400 metric tons (mt) as
                                                (l) Documentation of commercial item                                                                         established by the final 2018 and 2019
                                                                                                        (c) Individual contractor-acquired                   harvest specifications for groundfish in
                                             determinations to ensure compliance                     property items should be recorded in
                                             with the definition of ‘‘commercial                                                                             the BSAI (83 FR 8365, February 27,
                                                                                                     the contractor’s property management                    2018). In accordance with
                                             item’’ in FAR 2.101; and
                                                                                                     system at the contractor’s original                     § 679.20(d)(2), the Administrator,
                                                (m) For acquisitions involving
                                                                                                     purchase cost.                                          Alaska Region, NMFS (Regional
                                             electronic parts, that the contractor has
                                             implemented a counterfeit electronic                       (d) All other contractor inventory that              Administrator), has determined that the
                                             part detection and avoidance system to                  is excess to the needs of the contract                  2018 ‘‘other flatfish’’ ITAC in the Bering
                                             ensure that counterfeit electronic parts                shall be disposed of in accordance with                 Sea subarea of the BSAI has been
                                             do not enter the supply chain.                          FAR subpart 45.6.                                       reached. Therefore, NMFS is requiring
                                                                                                     [FR Doc. 2018–20183 Filed 9–17–18; 8:45 am]
                                                                                                                                                             that ‘‘other flatfish’’ in the BSAI be
                                             Subpart 844.4—Subcontracts for                                                                                  treated as prohibited species in
                                                                                                     BILLING CODE 8320–01–P
daltland on DSKBBV9HB2PROD with RULES




                                             Commercial Items and Commercial                                                                                 accordance with § 679.21(b).
                                             Components                                                                                                      Classification
                                             844.402    Policy requirements.                                                                                    This action responds to the best
                                               (a)(3) Determine whether a particular                                                                         available information recently obtained
                                             subcontract item meets the definition of                                                                        from the fishery. The Assistant
                                             a commercial item. This requirement                                                                             Administrator for Fisheries, NOAA


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Document Created: 2018-09-18 01:18:27
Document Modified: 2018-09-18 01:18:27
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.
DatesThis rule is effective on October 18, 2018.
ContactMr. Rafael N. Taylor, Senior Procurement Analyst, Procurement Policy and Warrant Management Services, 003A2A, 425 I Street, NW, Washington, DC 20001, (202) 382- 2787. (This is not a toll-free number.)
FR Citation83 FR 47097 
RIN Number2900-AQ05
CFR Citation48 CFR 844
48 CFR 845
CFR AssociatedGovernment Procurement; Reporting and Recordkeeping Requirements and Government Property

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