83 FR 48691 - Federal Acquisition Regulation: System for Award Management Registration
DEPARTMENT OF DEFENSE
GENERAL SERVICES ADMINISTRATION
NATIONAL AERONAUTICS AND SPACE ADMINISTRATION Federal Register Volume 83, Issue 187 (September 26, 2018)
GENERAL SERVICES ADMINISTRATION
NATIONAL AERONAUTICS AND SPACE ADMINISTRATION
Federal Register Volume 83, Issue 187 (September 26, 2018)
| Page Range | 48691-48700 | |
| FR Document | 2018-20706 |
[Federal Register Volume 83, Number 187 (Wednesday, September 26, 2018)] [Rules and Regulations] [Pages 48691-48700] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2018-20706] [[Page 48691]] ----------------------------------------------------------------------- DEPARTMENT OF DEFENSE GENERAL SERVICES ADMINISTRATION NATIONAL AERONAUTICS AND SPACE ADMINISTRATION 48 CFR Parts 1, 2, 4, 7, 8, 9, 12, 13, 16, 17, 18, 19, 22, 23, 25, 26, 28, 32, 44, and 52 [FAC 2005-101; FAR Case 2015-005; Item I; Docket No. 2015-0005, Sequence No. 1] RIN 9000-AN19 Federal Acquisition Regulation: System for Award Management Registration AGENCY: Department of Defense (DoD), General Services Administration (GSA), and the National Aeronautics and Space Administration (NASA). ACTION: Final rule. ----------------------------------------------------------------------- SUMMARY: DoD, GSA, and NASA are issuing a final rule amending the Federal Acquisition Regulation (FAR) to update the instructions for registration in the System for Award Management and clarify the timing of registration in the System for Award Management. DATES: Effective October 26, 2018. FOR FURTHER INFORMATION CONTACT: Mr. Curtis E. Glover, Sr., Procurement Analyst, at 202-501-1448, for clarification of content. For information pertaining to status or publication schedules, contact the Regulatory Secretariat Division at 202-501-4755. Please cite FAC 2005-101, FAR Case 2015-005. SUPPLEMENTARY INFORMATION: I. Background DoD, GSA, and NASA published a proposed rule in the Federal Register at 81 FR 31895 on May 20, 2016, to update the instructions for registration in the System for Award Management (SAM) and correct an inconsistency involving the timing of registration. In order to correct this inconsistency, the rule proposed changes to FAR 4.1102, 4.1103, 52.204-7, and 52.212-1(k) to require offeror registration in SAM prior to submission of an offer. In addition, the proposed rule also required contracting officers to use the name and physical address from the contractor's SAM registration for the provided Data Universal Numbering System (DUNS) (now the unique entity identifier). The proposed rule also removed the term ``division name'' from the FAR text at FAR 4.1102, clause 52.204-13, and provision 52.212-4. These proposed changes have been implemented in the final rule. Ten respondents submitted comments on the proposed rule. II. Discussion and Analysis The Civilian Agency Acquisition Council and the Defense Acquisition Regulations Council (the Councils) reviewed the public comments in the development of the final rule. A discussion of the comments and changes to the rule is provided as follows: A. Summary of Significant Changes in Response to Public Comments There are no changes from the proposed rule as a result of the public comments received. B. Analysis of Public Comments The concerns of many respondents were based on the perception that this rule creates a new requirement for offerors. The Councils emphasize that this rulemaking effort does not create a new requirement for offerors, large or small. The purpose of this rule is to clarify for offerors the required timing of SAM registration, i.e., when should offerors register in SAM. This clarification is necessary because of the following inconsistencies in current FAR language:FAR 4.1102 states that prospective contractors shall be registered in SAM (which includes online representations and certifications) prior to contract award (with some exceptions) and FAR clause 52.204-7(b)(1) currently requires the offeror to acknowledge the requirements that a prospective awardee shall be registered in SAM prior to award. However, paragraphs (b) and (d) of FAR clause 52.204-8, require that if the provision 52.204-7, System for Award Management, is included in the solicitation, then the offeror shall have completed the annual representations and certifications electronically via the SAM website (which would require registration in SAM). The offeror then verifies, by submission of its offer, that the representations and certifications in SAM are current, accurate, and complete, except for changes identified by the offeror in its offer. This requirement has been in the FAR since 2005, when registering in the legacy Central Contractor Registration (CCR). Along with representations required by FAR 52.212-3 for offers of commercial item acquisitions, these provisions have generally made registration in SAM at the time of offer the de facto requirement, despite the language in FAR 4.1102(a) and 52.204-7 speaking to registration in SAM prior to award. This final rule corrects the inconsistency. The rule requires all offerors (except as provided at FAR 4.1102) to be registered in SAM at the time of submission of an offer or quotation, consistent with the requirements of FAR clause 52.204-8. Offerors can complete their representations and certifications as part of their SAM registration. 1. Effect on Offers and Competition Comments: A number of comments were received regarding the effect of this rule on submission of offers. One respondent stated that the change could have a potential impact on the prime contractor's ability to respond in a timely manner to a Request for Technical Proposal (RFTP) on an indefinite-delivery indefinite-quantity (IDIQ) contract where small businesses are used as subcontractors. One respondent was concerned that many offerors would not want to register in SAM with submission of the offer, because they would want to wait until they had the incentive of knowing that they were going to receive the award. Another respondent stated that the proposed change requiring offerors to be registered in SAM prior to submitting an offer would increase the possibility of the Government receiving only one bid (the ``one bid'' issue) in response to a solicitation and would especially impact simplified procurements. Still another respondent stated that the rule will severely limit the number of potential offerors. Another respondent was concerned that the reduction of competition would put the Government in a situation where SAM- registered vendors could charge exorbitant prices. One respondent commented that the rule would hamper Government efforts to maintain an adequate list of SAM-registered vendors to obtain offers, which could in turn hamper efforts to prevent damage to the Government's real property loan security while seeking a SAM-registered vendor to perform the work. Another respondent stated that requiring SAM registration prior to submitting an offer would potentially restrict a newly formed company, a new division of an existing company, or an existing company that is pursuing its first Government contract from responding to a solicitation. According to the respondent, newly established entities or business units would be disadvantaged, because the proposed rule fails to address how they should respond to certain questions, thereby disadvantaging otherwise qualified [[Page 48692]] entities from participating in competitions until they resolve how to complete the complicated SAM registration. The respondent stated that the proposed change would, in effect, limit competition to existing SAM-registered companies, and eliminate new creative solutions. One respondent stated that restricting business opportunities to those companies that have completed SAM registration prior to submitting an offer would undoubtedly work against the Better Buying Power initiative (DoD's implementation of best practices to strengthen the Defense Department's buying power, improve industry productivity, and provide an affordable, value-added military capability to the Warfighter, including promoting effective competition and increasing small business participation). Another respondent commented that the rule would severely limit the contracting officer's ability to solicit offers from vendors who may be willing to register in SAM, but do not know about Government requirements until the Government contract office asks them for quotes for the new work. Finally, a respondent stated that mandating registration in SAM prior to proposal submission, in comparison to current practice of ensuring that parties are registered prior to receipt of contract award, may significantly discourage non-traditional suppliers from responding to broad agency announcements and other research and development (R&D) type solicitation opportunities of interest. Response: As stated at the beginning of section II.B. of this preamble, the requirement for offerors to be registered in SAM at time of submission of an offer is not new. All vendors (unless an exception cited in FAR 4.1102 applies) are required to be registered in SAM in order to complete the annual representations and certifications when responding to a Government solicitation. Therefore, clarifying the required timing of SAM registration will not restrict competition and will not limit the number of offerors. Although SAM can be used as a Government source list for procurements (see FAR 13.103), the Government also uses other means of identifying sources using market research (see FAR part 10). As stated in FAR clause 52.204-7(e), offerors that are not registered in SAM should consider applying for registration immediately upon issuance of a solicitation. Offerors or potential contractors needing assistance in responding to SAM registration questions should contact the Federal Service Desk at https://www.fsd.gov/fsd-gov/home.do if they need assistance. 2. The SAM Repository Comment: One respondent stated that, while they fully supported the improvements in the SAM registration system requirements, they strongly recommended that agencies take time to address all of the inconsistencies and ambiguities at once as a piecemeal approach exacerbates the problems with SAM and creates substantial additional work in terms of revising processes, reviewing answers for accuracy, etc. Some of the concerns expressed by this respondent related to the inter-relationship between the various elements of SAM (i.e., the former CCR and the Online Representations and Certifications) the difficulty of interpreting and understanding new fields in SAM; and concern about several specific representations and certifications required or proposed for inclusion in SAM. Response: The concerns of the respondent are outside the scope of this case. It is not relevant whether a question in SAM arose from the CCR or another system in SAM, since SAM is now a unified repository. This rule cannot provide an interpretation of, or justification for, individual representations and certifications. These representations and certifications were all developed and published in the Federal Register for public comment through various individual FAR cases. This rule corrects the known inconsistencies relating to the timing of registration in SAM, not the content of SAM. As stated in section II.B.1. of this preamble, offerors needing assistance in responding to SAM registration questions should contact the Federal Service Desk at https://www.fsd.gov/fsd-gov/home.do. 3. Exception for Joint Ventures Comment: One respondent expressed support for the proposed rule; however, the respondent suggested an exception for newly formed joint ventures as a direct result of a procurement opportunity. The respondent suggested that the Government could either require proof of submission for SAM registration as of the date of offer, or could require proof/verification that each joint venture entity has an active SAM registration at the time of proposal submission. Response: An exception to SAM registration requirements to provide for registration of joint ventures after submission of offers but prior to award is not practicable, because the contracting officer needs to review the annual representations and certifications to evaluate the offers. Joint venture agreements should be in place more than 48-72 hours in advance of proposal submission, which allows adequate time for completion of registration in SAM. It is also not feasible to rely on the SAM registration of separate members of the joint venture, because the Government collects specific part 19-related joint venture information in the representations and certifications (52.219-1) part of SAM, and the contracting activity works with Small Business Administration to validate that joint ventures meet the requirements of the small business category which they have provided in SAM. Offerors that are not registered in SAM should apply for registration immediately upon issuance of the solicitation so that there should be time for a joint venture or any other type of business to be registered in SAM at the time of the submission of an offer. 4. Public Burden Comment: Several respondents commented on the public burden that the proposed rule would impose. One respondent stated that for larger companies, the effort to complete a SAM registration can take many weeks. This respondent also stated that it had commented on a proposed FAR rule covering debarment and suspension, and had shared in that comment that the Federal Government had vastly underestimated the burden associated with compiling and reporting requisite information to complete registration in SAM. Another respondent stated that this added requirement may serve to impose a potential cost on those that otherwise may have been willing to submit a R&D idea for funding consideration via long standing streamlined R&D solicitation procedures. Response: As previously stated, this rule does not impose a new requirement and is therefore not an impediment for businesses, because registration in SAM at time of offer submission is already required by FAR provision 52.204-8(b) and (d), if the provision FAR 52.204-7 is in the solicitation. SAM is the single entry point for the representations and certifications used in Federal contracting. This one-time investment of time of completing the annual representations and certifications at time of registration is less than the time that would be needed to prepare and submit representations and certifications manually on paper and in response to each Government solicitation. Once a business is registered in SAM there is an annual [[Page 48693]] renewal requirement to update the annual representations and certifications, and a requirement for entities to update throughout the year only if an entity's information has changed. This eliminates the need for potential offerors to complete full representations and certifications on paper multiple times a year when responding to solicitations. 5. Applicability to Subcontractors Comment: One respondent recommended that the rule clarify that the prime and any key subcontractors are required to be registered upon proposal submission, but that lesser subcontractors or consultants are only required to be registered prior to receipt of a subaward. Response: Subcontractors or consultants to prime contractors are not required to be registered in SAM. 6. Impact on Small Businesses See the analysis of public comments on the initial regulatory flexibility analysis in section VI. of this preamble. C. Other Changes From the Proposed Rule 1. Baseline There have been many FAR baseline changes since publication of the proposed rule in May 2016, due to publication of Federal Acquisition Circulars 2005-89 through the present one. In particular, the issuance of the final rule under FAR Case 2015-022, Unique Identification of Entities Receiving Federal Awards, published in FAC 2005-91 on September 30, 2016 (81 FR 67736), changed the term ``DUNS number'' to ``unique entity identifier''. 2. Exemptions at FAR 4.1102 and 18.102 The exemption at FAR 4.1102(a)(5) is an inaccurate rewording of the exemption at FAR 6.302-2, which addresses needs of unusual and compelling urgency. FAR 4.1102(a)(5) and 18.102(a)(1) have been reworded to accurately reflect this exception to include ``urgency''. In addition FAR 18.102(a) has been corrected to indicate that 4.1102 exempts contractors from the requirements to be registered at time of submission of offers or quotations. However, 4.1103(b) requires subsequent registration for those offers exempted on the basis of 6.302-2. FAR 18.102 has also been amplified to include the exemptions for contracts awarded by contracting officers deployed in certain difficult situations. 3. Use and Content of 52.204-7 and 52.204-13 The final rule changes the structure and presentation of the requirements of FAR provisions 52.204-7, System for Award Management, and FAR clause 52.204-13, System for Award Management Maintenance, as well as the means of inclusion of those requirements in solicitations and contracts for the acquisition of commercial items. There were several structural and technical issues that required resolution, without any change in the stated policies of the proposed rule. a. Prescription for use of 52.204-7 and 52.204-13 and the associated requirements for acquisitions of commercial items. FAR 4.1105(a) requires use of the provision at FAR 52.204-7 in all solicitations unless an exception at FAR 4.1102(a) applies. The provision is used with its Alternate I if the solicitation is for a contract to support needs of unusual and compelling urgency in accordance with FAR 4.1102(a)(5), the exception for contracts to support needs of unusual and compelling urgency in accordance with 6.302-2 (see section II.C.2. of this preamble). Likewise, FAR 4.1105(b) requires use of the clause at FAR 52.204-13 in solicitations that contain the provision at 52.204-7, and resulting contracts (i.e., it will not be used if an exception at FAR 4.1102 applies). However, when this provision and clause are incorporated in paragraph (k) of FAR provision 52.212-1, Instruction to Offerors-- Commercial Items; and paragraph (t) of FAR clause 52.212-4, Contract terms and Conditions--Commercial Items, the exceptions must be applied by an addendum to the solicitation and resultant contract, inserted by the contracting officer to exclude applicability of paragraphs (k) and (t), respectively. There are no other paragraphs in 52.212-1 and 52.212-4 that rely on an addendum by the contracting officer to establish inapplicability of the entire paragraph. Nor is there an instruction in the clause prescription alerting the contracting officer to the requirement to include such an addendum. There is high risk that the addendum will not be consistently inserted as required. Furthermore, with regard to implementation of the equivalent of Alternate I in solicitations for the acquisition of commercial items, the current FAR does not specifically address how to implement Alternate I, but apparently also relies on an addendum to the contract to specify the conditions applicable if the contract is in support of needs of unusual or compelling urgency. The proposed rule just inserted the terms ``except in instances of urgency,'' apparently leaving it to the contractor to determine, and not providing the process to be applied if there are instances of urgency (which is not the same as the terminology at 4.1102(a)(5)) or 6.302-2. The final rule resolves these issues by removing paragraph (k) from FAR 52.212-1 and paragraph (t) from FAR 52.212-4, and clearly prescribes at 12.301(d) the use of the correct provision or clause at 12.301(d) by referencing the prescriptions at 4.1105(a) and (b) for appropriate use of FAR 52.204-7 (including use with its Alternate I) and FAR 52.204-13. b. Text of 52.204-7, its Alternate I, and 52.204-13. The text of 52.204-7 included various acknowledgements, which became more awkward when requiring the offeror to acknowledge that the offeror is registered in SAM at time of submission of the offer. These acknowledgements were inconsistent with the location of the provisions in 52.212-1, which is supposed to be instructions to the offeror. The acknowledgements have been replaced with instructions to the offeror, relating to preaward requirements. The postaward requirements have been moved to the FAR clause 52.204-13. There were some errors made in the proposed changes to Alternate I, which is applicable in the circumstances where registration in SAM may be delayed until after award due to urgency. Therefore, if Alternate I is included by the contracting officer in the solicitation, it is not required to be registered in SAM at time of submission of the offer. The only requirement prior to award is that the offeror complete the registration as soon as possible. If registration has not yet occurred at time of award, the offeror is directed to the postaward requirements, which have been moved to the clause 52.204-13. 4. Active in SAM The language at FAR 4.1103(a)(1) has been changed to specify that offerors must have status designation of ``active'' in SAM at the time of offer or quotation submission, to distinguish active from inactive registrants in SAM. The ``active'' state is the normal state for the contractor account. In this state, contractors can log in to SAM and perform all necessary functions. Contractor accounts become inactive either after an extensive period of user inactivity, or if the contractor chooses to manually deactivate the account. To prevent the account from becoming inactive, contractors should log in to [[Page 48694]] SAM at least once every 13 months (395 days). 5. SAM Website and Terminology The final rule changes the referenced website ``acquisition.gov'' to ``sam.gov'' to be consistent with the rest of the FAR. ``Database'' is also removed from ``SAM'' for consistency throughout. 6. ``Offeror'' vs. ``Prospective Contractor'' Previously, we noted that the prospective contractor had to register in SAM prior to contract award; not all prospective contractors are required to be registered. Only the offeror/quoter is required to be registered in SAM at time of submission of the offer. 7. Exclusions The final rule amends 9.405, 17.207, and 22.1025 to match the terminology proposed at 9.404 with regard to exclusions in SAM. 8. Miscellaneous Edits The final rule contains other miscellaneous edits relating to word usage (e.g., ``must'' vs. ``shall'' and ``quote'' vs. ``quotation''), punctuation, and capitalization. III. Applicability to Contracts at or Below the Simplified Acquisition Threshold and for Commercial Items, Including Commercially Available Off-the Shelf Items This rule is not statutory and is not subject to 41 U.S.C. 1905 through 1907. This rule clarifies the timing of existing SAM registration requirements. It does not impact the applicability at or below the simplified acquisition threshold or applicability to commercial items. The affected clauses are FAR 52.204-7, System for Award Management; FAR 52.204-8, Annual Representations and Certifications; FAR 52.204-13, System for Award Management Maintenance; FAR 52.212-1, Instructions to Offerors--Commercial Items; FAR 52.212-4, Contract Terms and Conditions--Commercial Items; and 52.212-5, Contract Terms and Conditions Required to Implement Statutes or Executive Orders--Commercial Items. IV. Executive Orders 12866 and 13563 Executive Orders (E.O.s) 12866 and 13563 direct agencies to assess all costs and benefits of available regulatory alternatives and, if regulation is necessary, to select regulatory approaches that maximize net benefits (including potential economic, environmental, public health and safety effects, distributive impacts, and equity). E.O. 13563 emphasizes the importance of quantifying both costs and benefits, of reducing costs, of harmonizing rules, and of promoting flexibility. This is not a significant regulatory action and, therefore, was not subject to review under Section 6(b) of E.O. 12866, Regulatory Planning and Review, dated September 30, 1993. This rule is not a major rule under 5 U.S.C. 804. V. Executive Order 13771 This rule is not subject to the requirements of E.O. 13771, because this rule is not a significant regulatory action under E.O. 12866. VI. Regulatory Flexibility Act DoD, GSA, and NASA have prepared a Final Regulatory Flexibility Analysis (FRFA) consistent with the Regulatory Flexibility Act, 5 U.S.C. 601 et seq. The FRFA is summarized as follows: This rule amends the FAR to update the instructions for System for Award Management (SAM) registration and to clarify the required timing of SAM registration. The objective of the rule is to clarify that the offeror must be registered in SAM at the time of offer submission in order to complete the required annual representations and certifications. Comments: Several respondents submitted public comments in response to the initial regulatory flexibility analysis with regard to the impact the rule would have on small businesses. A discussion of the comments is provided as follows: According to the respondents, the requirement to be registered in SAM at time of offer submission would-- Further restrict competition among small businesses; Discriminate against the small business owner; Effectively shut out small businesses from submitting offers as they generally are not registered in SAM; Slow the procurement processes and not give fair opportunity to all small businesses; and Place an undue burden on small businesses, because the window to participate in a solicitation is short, and for a small business there are competing demands for developing an adequate proposal and completing the SAM registration. One respondent recommended that small businesses should be allowed extra time to complete their SAM registration, which would promote small business participation. Response: The Government notes that most of these respondents were not small entities. The requirement for offerors to be registered in SAM at time of submission of an offer is not new. All vendors (unless an exception cited in FAR 4.1102 applies) are required to be registered in SAM in order to complete the annual representations and certifications when responding to a Government solicitation. Therefore, clarifying the required timing of SAM registration will not restrict competition and will not limit the number of offerors, whether the business is large or small. About 75 percent of the current registrants in SAM meet the small business size code for their primary North American Industry Classification System (NAICS) code, so there is no indication that required registration in SAM creates an unreasonable impediment to small businesses. Once a business, including a small business, is registered in SAM, there is an annual renewal requirement to update the annual representations and certifications, and a requirement for entities to update throughout the year only if an entity's information has changed. This eliminates the need for potential offerors to complete full representations and certifications on paper multiple times a year when responding to multiple solicitations. There were no changes from the proposed rule in response to these comments. The final rule applies, with some exceptions, to small businesses that submit offers to the Federal Government for acquisitions that exceed the micro-purchase threshold. Currently, of the 452,310 active registrants in SAM for ``all awards,'' 338,207 (75 percent) certified to meeting the size standard as small for their primary NAICS code. We estimate that not more than half of those small businesses will submit an offer in a given year. The rule contains information collection requirements. OMB has cleared this information collection requirement under OMB Control Number 9000-0159, titled: System for Award Management Registration (SAM). No alternative approaches were identified that would meet the objectives of the rule. This rule requires offerors to be registered in SAM at the time of submission of an offer, which is necessary in order to submit the required representations and certifications electronically with submission of the offer. It is not anticipated that the rule will have a significant economic impact on small entities, because this is already required by FAR 52.204-8. This approach is less burdensome than submitting annual representations and certifications manually on paper in response to every solicitation. Interested parties may obtain a copy of the FRFA from the Regulatory Secretariat Division. The Regulatory Secretariat Division has submitted a copy of the FRFA to the Chief Counsel for Advocacy of the Small Business Administration. VII. Paperwork Reduction Act The Paperwork Reduction Act (44 U.S.C. Chapter 35) applies. The rule contains information collection requirements. OMB has cleared this information collection requirement under OMB Control Number 9000-0159; ``System for Award Management Registration''. [[Page 48695]] List of Subjects in 48 CFR Parts 1, 2, 4, 7, 8, 9, 12, 13, 16, 17, 18, 19, 22, 23, 25, 26, 28, 32, 44, and 52 Government procurement. Dated: September 17, 2018. William F. Clark, Director, Office of Government-wide Acquisition Policy, Office of Acquisition Policy, Office of Government-wide Policy. Therefore, DoD, GSA, and NASA amend 48 CFR parts 1, 2, 4, 7, 8, 9, 12, 13, 16, 17, 18, 19, 22, 23, 25, 26, 28, 32, 44, and 52 as set forth below: 0 1. The authority citation for parts 1, 2, 4, 7, 8, 9, 12, 13, 16, 17, 18, 19, 22, 23, 25, 26, 28, 32, 44, and 52 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 1--FEDERAL ACQUISITION REGULATIONS SYSTEM 1.106 [Amended] 0 2. Amend section 1.106 by removing from the table the entries for FAR segments ``52.212-1(k)'' and ``52.212-4(t)''. PART 2--DEFINITIONS OF WORDS AND TERMS 2.101 [Amended] 0 3. Amend section 2.101 in paragraph (b)(2) revising the defined term ``Registered in the System for Award Management (SAM) database'' to read ``Registered in the System for Award Management (SAM)'' and by removing from paragraphs (1) and (2), ``the SAM database;'' and adding ``SAM;'' in their places. PART 4--ADMINISTRATIVE MATTERS 4.605 [Amended] 0 4. Amend section 4.605 by removing from paragraph (b), in the third sentence, ``database''. 4.1100 [Amended] 0 5. Amend section 4.1100 by removing from the introductory text ``database''. 0 6. Amend section 4.1102 by-- 0 a. Revising paragraph (a) introductory text; 0 b. Removing from paragraph (a)(2) ``the SAM database;'' and adding ``SAM;'' in its place; 0 c. Revising paragraphs (a)(5) and (6); 0 d. Redesignating paragraph (c) as paragraph (d); 0 e. Adding a new paragraph (c); 0 f. Revising newly redesignated paragraph (d)(1); and 0 g. Removing from newly redesignated paragraph (d)(3) ``the SAM database'' and adding ``SAM'' in its place. The revisions and addition reads as follows. 4.1102 Policy. (a) Offerors and quoters are required to be registered in SAM at the time an offer or quotation is submitted in order to comply with the annual representations and certifications requirements except for-- * * * * * (5) Contracts awarded without providing for full and open competition due to unusual or compelling urgency (see 6.302-2); (6) Contract actions at or below $30,000 awarded to foreign vendors for work performed outside the United States, if it is impractical to obtain SAM registration; and * * * * * (c) Contracting officers shall use the legal business name or ``doing business as'' name and physical address from the contractor's SAM registration for the provided unique entity identifier to identify the contractor in section A of the contract schedule, similar sections of non-uniform contract formats and agreements, and all corresponding forms and data exchanges. Contracting officers shall make no changes to the data retrieved from SAM. (d)(1)(i) If a contractor has legally changed its business name or ``doing business as'' name (whichever is shown on the contract), or has transferred the assets used in performing the contract, but has not completed the necessary requirements regarding novation and change-of- name agreements in subpart 42.12, the contractor is required to provide the responsible contracting officer a minimum of one business day's written notification of its intention to change the name in SAM, comply with the requirements of subpart 42.12, and agree in writing to the timeline and procedures specified by the responsible contracting officer. Along with the notification, the contractor is required to provide the contracting officer sufficient documentation to support the legally changed name. (ii) If the contractor fails to comply with the requirements of paragraph (d)(1)(i) of the clause at 52.204-13, System for Award Management Maintenance, or fails to perform the agreement at 52.204-13, paragraph (d)(1)(i)(C), and, in the absence of a properly executed novation or change-of-name agreement, the SAM information that shows the contractor to be other than the contractor indicated in the contract will be considered to be incorrect information within the meaning of the ``Suspension of Payment'' paragraph of the EFT clause of the contract. * * * * * 0 7. Revise section 4.1103 to read as follows: 4.1103 Procedures. (a) Unless the acquisition is exempt under 4.1102(a), the contracting officer-- (1) Shall verify that the offeror or quoter is registered in SAM (see paragraph (b) of this section) at the time an offer or quotation is submitted; (2) Should use the unique entity identifier to verify SAM registration-- (i) Via https://www.sam.gov; or (ii) As otherwise provided by agency procedures; or (3) Need not verify SAM registration before placing an order or call if the contract or agreement includes the provision at 52.204-7, System for Award Management, or the clause at 52.212-4, Contract Terms and Conditions--Commercial Items, or a similar agency clause, except when use of the Governmentwide commercial purchase card is contemplated as a method of payment. (See 32.1108(b)(2).) (b) If the contract action is being awarded in accordance with 4.1102(a)(5), the contractor is required to be registered in SAM within 30 days after contract award, or at least three days prior to submission of the first invoice, whichever occurs first. (c) Agencies shall protect against improper disclosure of information contained in SAM. (d) The contracting officer shall, on contractual documents transmitted to the payment office, provide the unique entity identifier, or, if applicable, the Electronic Funds Transfer indicator, in accordance with agency procedures. 4.1104 [Amended] 0 8. Amend section 4.1104 by removing ``https://www.acquisition.gov'' and adding ``https://www.sam.gov, Search Records, Advanced Search, Disaster Response Registry Search'' in its place. 0 9. Revise section 4.1105 to read as follows: 4.1105 Solicitation provision and contract clauses. (a)(1) Insert the provision at 52.204-7, System for Award Management, in all solicitations except when the conditions in 4.1102(a) apply. (2) Insert the provision at 52.204-7, System for Award Management, with its Alternate I when the solicitation is anticipated to be awarded in accordance with 4.1102(a)(5). (b) Insert the clause at 52.204-13, System for Award Management [[Page 48696]] Maintenance, in solicitations that contain the provision at 52.204-7, and resulting contracts. 0 10. Revise section 4.1201 to read as follows: 4.1201 Policy. (a) Offerors and quoters are required to complete electronic annual representations and certifications in SAM accessed via https://www.sam.gov as a part of required registration (see FAR 4.1102). (b)(1) All registrants are required to review and update the representations and certifications submitted to SAM as necessary, but at least annually, to ensure they are kept current, accurate, and complete. The representations and certifications are effective until one year from date of submission or update to SAM. (2) A contractor that represented itself as a small business prior to award of a contract must update the representations and certifications in SAM in accordance with 52.219-28. A contractor that represented itself as other than small business before contract award and qualifies as a small business may update its representations and certifications in SAM in accordance with 52.219-28. (c) Data in SAM is archived and is electronically retrievable. Therefore, when a prospective contractor has completed representations and certifications electronically in SAM, the contracting officer must reference the date of SAM verification in the contract file to satisfy contract file documentation requirements of 4.803(a)(11). However, if an offeror identifies changes to SAM data pursuant to the FAR provisions at 52.204-8(d) or 52.212-3(b), the contracting officer must include a copy of the changes in the contract file. (d) The contracting officer shall incorporate the representations and certifications by reference in the contract (see 52.204-19, or for acquisitions of commercial items see 52.212-4(v)). 0 11. Amend section 4.1202 by revising paragraph (a) introductory text to read as follows: 4.1202 Solicitation provision and contract clause. (a) Insert the provision at 52.204-8, Annual Representations and Certifications, in solicitations, except for commercial item solicitations issued under FAR part 12. The contracting officer shall check the applicable provisions at 52.204-8(c)(2). When the provision at 52.204-7, System for Award Management, is included in the solicitation, do not separately include the following representations and certifications: * * * * * PART 7--ACQUISITION PLANNING 7.103 [Amended] 0 12. Amend section 7.103 by removing from paragraph (y) ``https://www.acquisition.gov'' and adding ``https://www.sam.gov, Search Records, Advanced Search, Disaster Response Registry Search'' in its place. PART 8--REQUIRED SOURCES OF SUPPLIES AND SERVICES 8.402 [Amended] 0 13. Amend section 8.402 by removing from paragraph (g) ``database''. PART 9--CONTRACTOR QUALIFICATIONS 9.109-2 [Amended] 0 14. Amend section 9.109-2 by removing ``database''. 9.109-4 [Amended] 0 15. Amended section 9.109-4 by removing from paragraph (b) ``database''. 0 16. Amend section 9.404 by-- 0 a. Revising the section heading; 0 b. Revising paragraph (a)(1); 0 c. Removing from paragraph (b) introductory text ``The SAM Exclusions'' and adding ``An exclusion record in SAM'' in its place; 0 d. Removing from paragraph (b)(1) ``of all contractors debarred'' and adding ``of the entities debarred'' in its place; 0 e. Revising paragraph (c); and 0 f. Removing from paragraph (d) ``https://www.acquisition.gov'' and adding ``https://www.sam.gov'' in its place. The revisions read as follows: 9.404 Exclusions in the System for Award Management. (a) * * * (1) Operates the web-based System for Award Management (SAM), which contains exclusion records; and * * * * * (c) Each agency shall-- (1) Identify the individual(s) responsible for entering and updating exclusions data in SAM and assign the appropriate roles; (2) Remove the exclusion roles in SAM when the individual leaves the organization or changes functions; (3) For each exclusion accomplished by the Agency-- (i) Enter the information required by paragraph (b) of this section within 3 working days after the action becomes effective; (ii) Determine whether it is legally permitted to enter the SSN, EIN, or other TIN, under agency authority to suspend or debar; and (iii) Update the exclusion record in SAM, generally within 5 working days after modifying or rescinding an action; (4) In accordance with internal retention procedures, maintain records relating to each debarment, suspension, or proposed debarment taken by the agency; (5) Establish procedures to ensure that the agency does not solicit offers from, award contracts to, or consent to subcontracts with contractors who have an active exclusion record in SAM, except as otherwise provided in this subpart; (6) Direct inquiries concerning listed contractors and other entities to the agency or other authority that took the action; and (7) Contact GSA for technical assistance with SAM, via the support email address or on the technical support phone line. * * * * * 9.405 [Amended] 0 17. Amend section 9.405 by-- 0 a. Removing from paragraph (b) ``Contractors included in the SAM Exclusions as having'' and adding ``Contractors and other entities that have an active exclusion record in SAM because they have'' in its place; 0 b. Removing from paragraph (d)(1) ``proposals, the contracting officer shall review the SAM Exclusions'' and adding ``proposals or quotes, the contracting officer shall review the exclusion records in SAM'' in its place; and 0 c. Removing from paragraph (d)(4) ``SAM Exclusions'' and adding ``the exclusion records in SAM'' in its place. 9.405-2 [Amended] 0 18. Amend section 9.405-2 by-- 0 a. Removing from paragraph (b) introductory text ``the parties' listing in SAM Exclusions'' and adding ``the party's having an active exclusion record in SAM'' in its place; 0 b. Removing from paragraph (b)(2) ``being listed in SAM Exclusions'' and adding ``having an active exclusion record in SAM'' in its place; and 0 c. Removing from paragraph (b)(3) ``listing in SAM Exclusions'' and adding ``having an active exclusion record in SAM'' in its place. PART 12--ACQUISITION OF COMMERCIAL ITEMS 0 19. Amend section 12.301 by-- [[Page 48697]] 0 a. Redesignating paragraphs (d)(1) through (9) as (d)(3) through (11), respectively; 0 b. Adding new paragraphs (d)(1) and (2); 0 c. Revising newly redesignated paragraphs (d)(3) and (4); and 0 d. Removing from paragraph (e)(4) ``database''. The additions and revisions read as follows: 12.301 Solicitation provisions and contract clauses for the acquisition of commercial items. * * * * * (d) * * * (1) Insert the provision at 52.204-7, System for Award Management, as prescribed in 4.1105(a). (2) Insert the clause at 52.204-13, System for Award Management Maintenance, as prescribed in 4.1105(b). (3) Insert the provision at 52.204-16, Commercial and Government Entity Code Reporting, as prescribed in 4.1804(a). (4) Insert the clause at 52.204-18, Commercial and Government Entity Code Maintenance, as prescribed in 4.1804(c). * * * * * PART 13--SIMPLIFIED ACQUISITION PROCEDURES 13.102 [Amended] 0 20. Amend section 13.102 by removing from paragraph (a) ``database (see subpart 4.11) via https://www.acquisition.gov'' and adding ``(see subpart 4.11) via https://www.sam.gov'' in its place. 13.201 [Amended] 0 21. Amend section 13.201 by removing from paragraph (h) ``database''. PART 16--TYPES OF CONTRACTS 16.505 [Amended] 0 22. Amend section 16.505 by removing from paragraph (a)(12) ``database''. PART 17--SPECIAL CONTRACTING METHODS 0 23. Amend section 17.207 by revising paragraph (c)(5) to read as follows: 17.207 Exercise of options. * * * * * (c) * * * (5) The contractor does not have an active exclusion record in the System for Award Management (see FAR 9.405-1); * * * * * PART 18--EMERGENCY ACQUISITIONS 0 24. Revise section 18.102 to read as follows: 18.102 System for Award Management. (a) In accordance with 4.1102, contractors are not required to be registered in the System for Award Management (SAM) at the time of submission of offers or quotations for-- (1) Contracts awarded without providing for full and open competition due to unusual and compelling urgency (see 6.302-2); or (2) Contracts awarded by a contracting officer-- (i) Deployed in the course of military operations; (ii) Located outside the United States and its outlying areas, for work to be performed in support of diplomatic or developmental operations, in an area that has been designated by the Department of State as a danger pay post; or (iii) In the conduct of emergency operations. (b) However, contractors are required to be registered in SAM in order to gain access to the Disaster Response Registry. (c) Contracting officers shall consult the Disaster Response Registry via https://www.sam.gov, Search Records, Advanced Search, Disaster Response Registry Search to determine the availability of contractors for debris removal, distribution of supplies, reconstruction, and other disaster or emergency relief activities inside the United States and outlying areas. (See 26.205). PART 19--SMALL BUSINESS PROGRAMS 19.308 [Amended] 0 25. Amend section 19.308 by removing from paragraph (i)(3)(iii) ``the System for Award Management (SAM)'' and adding ``SAM'' in its place. 19.703 [Amended] 0 26. Amend section 19.703 by removing from paragraph (d)(1) introductory text ``database''. PART 22--APPLICATION OF LABOR LAWS TO GOVERNMENT ACQUISITIONS 0 27. Amend section 22.1025 by revising the first sentence to read as follows: 22.1025 Ineligibility of violators. Persons or firms found to be in violation of the Service Contract Labor Standards statute will have an active exclusion record contained in the System for Award Management (see 9.404). * * * PART 23--ENVIRONMENT, ENERGY AND WATER EFFICIENCY, RENEWABLE ENERGY TECHNOLOGIES, OCCUPATIONAL SAFETY, AND DRUG-FREE WORKPLACE 23.802 [Amended] 0 28. Amend section 23.802 by removing from paragraph (d) introductory text ``database''. PART 25--FOREIGN ACQUISITION 0 29. Amend section 25.703-3 by revising paragraph (a) to read as follows: 25.703-3 Prohibition on contracting with entities that export sensitive technology to Iran. (a) The head of an executive agency may not enter into or extend a contract for the procurement of goods or services with a person that exports certain sensitive technology to Iran, as determined by the President, and has an active exclusion in the System for Award Management at http://www.sam.gov (22 U.S.C. 8515). * * * * * PART 26--OTHER SOCIOECONOMIC PROGRAMS 26.205 [Amended] 0 30. Amended section 26.205 by removing from paragraph (a) ``https://www.acquisition.gov'' and adding ``https://www.sam.gov'' in its place; and removing from paragraph (b) ``https://www.acquisition.gov'' and ``register with SAM'' and adding ``https://www.sam.gov, Search Records, Advanced Search, Disaster Response Registry Search'' and ``in SAM'' in their places, respectively. PART 28--BONDS AND INSURANCE 0 31. Amend section 28.203-7 by revising paragraph (c) and removing from paragraph (d) ``the System for Award Management Exclusions (see 9.404)'' and adding ``an active exclusion record in the System for Award Management (see 9.404),'' in its place. The revision reads as follows: 28.203-7 Exclusion of individual sureties. * * * * * (c) An individual surety excluded pursuant to this subsection shall be entered as an exclusion in the System for Award Management (see 9.404). * * * * * [[Page 48698]] PART 32--CONTRACT FINANCING 32.1108 [Amended] 0 32. Amend section 32.1108 by removing from paragraph (b)(2)(i) ``(by looking in the System for Award Management (SAM))'' and adding ``by looking in the System for Award Management (SAM)'' in its place. 0 33. Amend section 32.1110 by revising paragraph (a)(1) introductory text and removing from (a)(2)(i) ``the SAM database'' and adding ``SAM'' in its place. The revision reads as follows: 32.1110 Solicitation provision and contract clauses. (a) * * * (1) 52.232-33, Payment by Electronic Funds Transfer--System for Award Management, in solicitations and contracts that include the provision at 52.204-7, System for Award Management, or an agency clause that requires a contractor to be registered in SAM and maintain registration until final payment, unless-- * * * * * PART 44--SUBCONTRACTING POLICIES AND PROCEDURES 0 34. Amend section 44.202-2 by revising paragraph (a)(13) to read as follows: 44.202-2 Considerations. (a) * * * (13) Is the proposed subcontractor listed as excluded in the System for Award Management (see subpart 9.4)? * * * * * PART 52--SOLICITATION PROVISIONS AND CONTRACT CLAUSES 0 35. Amend section 52.204-7 by-- 0 a. Revising the date of the provision; 0 b. In paragraph (a), revising the defined term ``Registered in the System for Award Management (SAM) database'' to read ``Registered in the System for Award Management (SAM)''; 0 c. Removing from paragraphs (a)(1) and (2) ``the SAM database;'' and adding ``SAM;'' in their places; 0 d. Revising paragraph (b)(1); 0 e. Removing from paragraph (b)(2) ``the SAM database'' and adding ``SAM'' in its place; 0 f. Revising paragraph (d); 0 g. Removing paragraphs (e) and (f); and 0 h. Revising the date of Alternate I and paragraph (b)(1). The revisions read as follows. 52.204-7 System for Award Management. * * * * * System for Award Management (Oct 2018) * * * * * (b)(1) An Offeror is required to be registered in SAM when submitting an offer or quotation, and shall continue to be registered until time of award, during performance, and through final payment of any contract, basic agreement, basic ordering agreement, or blanket purchasing agreement resulting from this solicitation. * * * * * (d) Processing time should be taken into consideration when registering. Offerors who are not registered in SAM should consider applying for registration immediately upon receipt of this solicitation. See https://www.sam.gov for information on registration. (End of provision) Alternate I (Oct 2018). * * * (b)(1) An Offeror is required to be registered in SAM as soon as possible. If registration is not possible when submitting an offer or quotation, the awardee shall be registered in SAM in accordance with the requirements of clause 52.204-13, System for Award Management Maintenance. 0 36. Amend section 52.204-8 by revising the date of the provision and paragraphs (b)(2) introductory text and (d) to read as follows: 52.204-8 Annual Representations and Certifications. * * * * * Annual Representations and Certifications (Oct 2018) * * * * * (b) * * * (2) If the provision at 52.204-7, System for Award Management, is not included in this solicitation, and the Offeror has an active registration in the System for Award Management (SAM), the Offeror may choose to use paragraph (d) of this provision instead of completing the corresponding individual representations and certifications in the solicitation. The Offeror shall indicate which option applies by checking one of the following boxes: * * * * * (d) The Offeror has completed the annual representations and certifications electronically in SAM accessed through https://www.sam.gov. After reviewing the SAM information, the Offeror verifies by submission of the offer that the representations and certifications currently posted electronically that apply to this solicitation as indicated in paragraph (c) of this provision have been entered or updated within the last 12 months, are current, accurate, complete, and applicable to this solicitation (including the business size standard applicable to the NAICS code referenced for this solicitation), as of the date of this offer and are incorporated in this offer by reference (see FAR 4.1201); except for the changes identified below [offeror to insert changes, identifying change by clause number, title, date]. These amended representation(s) and/or certification(s) are also incorporated in this offer and are current, accurate, and complete as of the date of this offer. * * * * * 0 37. Amend section 52.204-10 by-- 0 a. Revising the date of the clause; 0 b. Removing from paragraph (d)(1) introductory text ``database''; and 0 c. Revising paragraph (h). The revisions read as follows: 52.204-10 Reporting Executive Compensation and First-Tier Subcontract Awards. * * * * * Reporting Executive Compensation and First-Tier Subcontract Awards (Oct 2018) * * * * * (h) The FSRS database at http://www.fsrs.gov will be prepopulated with some information from SAM and the FPDS database. If FPDS information is incorrect, the contractor should notify the contracting officer. If the SAM information is incorrect, the contractor is responsible for correcting this information. * * * * * 0 38. Amend section 52.204-13 by-- 0 a. Revising the date of the clause; 0 b. In paragraph (a), revising the defined term ``Registered in the System for Award Management (SAM) database'' to read ``Registered in the System for Award Management (SAM)''; 0 c. Removing from paragraphs (a)(1) and (2) ``the SAM database'' and adding ``SAM'' in their places; 0 d. Redesignating paragraphs (b) through (d) as paragraphs (c) through (e); 0 e. Adding a new paragraph (b); 0 f. Revising newly redesignated paragraphs (c) and (d)(1)(i) introductory text; 0 g. Removing from newly redesignated paragraph (d)(1)(i)(A) ``the SAM database'' and adding ``SAM'' in its place; 0 h. Removing from newly redesignated paragraph (d)(1)(ii) ``(c)(1)(i)'' and ``(c)(1)(i)(C)'' and adding ``(d)(1)(i)'' and ``(d)(1)(i)(C)'' in their places, respectively; [[Page 48699]] 0 i. Removing from newly redesignated paragraph (d)(2) ``in the SAM'' and adding ``in SAM'' in its place; and 0 j. Removing from newly redesignated paragraph (e) ``https://www.acquisition.gov'' and adding ``https://www.sam.gov'' in its place. The addition and revisions read as follows: 52.204-13 System for Award Management Maintenance. * * * * * System for Award Management Maintenance (Oct 2018) * * * * * (b) If the solicitation for this contract contained the provision 52.204-7 with its Alternate I, and the Contractor was unable to register prior to award, the Contractor shall be registered in SAM within 30 days after award or before three days prior to submission of the first invoice, whichever occurs first. (c) The Contractor shall maintain registration in SAM during contract performance and through final payment of any contract, basic agreement, basic ordering agreement, or blanket purchasing agreement. The Contractor is responsible for the currency, accuracy and completeness of the data within SAM, and for any liability resulting from the Government's reliance on inaccurate or incomplete data. To remain registered in SAM after the initial registration, the Contractor is required to review and update on an annual basis, from the date of initial registration or subsequent updates, its information in SAM to ensure it is current, accurate and complete. Updating information in SAM does not alter the terms and conditions of this contract and is not a substitute for a properly executed contractual document. (d) * * * (1) * * * (i) If a Contractor has legally changed its business name or ``doing business as'' name (whichever is shown on the contract), or has transferred the assets used in performing the contract, but has not completed the necessary requirements regarding novation and change-of- name agreements in subpart 42.12, the Contractor shall provide the responsible Contracting Officer a minimum of one business day's written notification of its intention to-- * * * * * 0 39. Amend section 52.209-7 by revising the date of the provision and removing from paragraph (d) ``Management database via https://www.acquisition.gov'' and adding ``Management, which can be accessed via https://www.sam.gov'' in its place. The revision reads as follows: 52.209-7 Information Regarding Responsibility Matters. * * * * * Information Regarding Responsibility Matters (Oct 2018) * * * * * 0 40. Amend section 52.209-9 by revising the date of the clause and removing from paragraph (a) ``Management database via https://www.acquisition.gov'' and adding ``Management via https://www.sam.gov'' in its place. The revision reads as follows: 52.209-9 Updates of Publicly Available Information Regarding Responsibility Matters. * * * * * Updates of Publicly Available Information Regarding Responsibility Matters (Oct 2018) * * * * * 0 41. Amend section 52.212-1 by-- 0 a. Revising the date of provision; 0 b. Removing from paragraph (j) ``(SAM) database'' and adding ``(SAM)'' in its place; and 0 c. Removing and reserving paragraph (k). The revision reads as follows: 52.212-1 Instructions to Offerors--Commercial Items. * * * * * Instructions to Offerors--Commercial Items (Oct 2018) * * * * * 0 42. Amend section 52.212-3 by-- 0 a. Revising the date and the introductory text of the provision; 0 b. Revising paragraph (b); 0 c. Removing from paragraph (l) introductory text ``the SAM database'' and adding ``SAM'' in its place; and 0 d. Removing from paragraph (t) introductory text ``(52.212-1(k))'' and adding ``(12.301(d)(1))'' in its place. The revisions read as follows: 52.212-3 Offeror Representations and Certifications--Commercial Items. * * * * * Offeror Representations and Certifications--Commercial Items (Oct 2018) The Offeror shall complete only paragraph (b) of this provision if the Offeror has completed the annual representations and certification electronically in the System for Award Management (SAM) accessed through https://www.sam.gov. If the Offeror has not completed the annual representations and certifications electronically, the Offeror shall complete only paragraphs (c) through (u)) of this provision. * * * * * (b)(1) Annual Representations and Certifications. Any changes provided by the Offeror in paragraph (b)(2) of this provision do not automatically change the representations and certifications in SAM. (2) The offeror has completed the annual representations and certifications electronically in SAM accessed through http://www.sam.gov. After reviewing SAM information, the Offeror verifies by submission of this offer that the representations and certifications currently posted electronically at FAR 52.212-3, Offeror Representations and Certifications--Commercial Items, have been entered or updated in the last 12 months, are current, accurate, complete, and applicable to this solicitation (including the business size standard applicable to the NAICS code referenced for this solicitation), at the time this offer is submitted and are incorporated in this offer by reference (see FAR 4.1201), except for paragraphs __. [Offeror to identify the applicable paragraphs at (c) through (u) of this provision that the offeror has completed for the purposes of this solicitation only, if any. These amended representation(s) and/or certification(s) are also incorporated in this offer and are current, accurate, and complete as of the date of this offer. Any changes provided by the offeror are applicable to this solicitation only, and do not result in an update to the representations and certifications posted electronically on SAM.] * * * * * 0 43. Amend section 52.212-4 by revising the date of the clause and removing and reserving paragraph (t). The revision reads as follows: 52.212-4 Contract Terms and Conditions--Commercial Items. * * * * * Contract Terms and Conditions--Commercial Items (Oct 2018) * * * * * 0 44. Amend section 52.212-5 by-- 0 a. Revising the date of the clause and paragraphs (b)(4), (b)(9), (b)(16), (b)(55), (e)(1)(iv), Alternate II heading and introductory text, and paragraph (e)(1)(ii)(D) of Alternate II to read as follows: [[Page 48700]] 52.212-5 Contract Terms and Conditions Required To Implement Statutes or Executive Orders--Commercial Items. * * * * * Contract Terms and Conditions Required To Implement Statutes or Executive Orders--Commercial Items (Oct 2018) * * * * * (b) * * * * * * * * __(4) 52.204-10, Reporting Executive Compensation and First-Tier Subcontract Awards (Oct 2018) (Pub. L. 109-282) (31 U.S.C. 6101 note). * * * * * __(9) 52.209-9, Updates of Publicly Available Information Regarding Responsibility Matters (Oct 2018) (41 U.S.C. 2313). * * * * * __(16) 52.219-8, Utilization of Small Business Concerns (Oct 2018) (15 U.S.C. 637(d)(2) and (3)). * * * * * __(55) 52.232-33, Payment by Electronic Funds Transfer--System for Award Management (Oct 2018) (31 U.S.C. 3332). * * * * * (e)(1) * * * (iv) 52.219-8, Utilization of Small Business Concerns (Oct 2018) (15 U.S.C. 637(d)(2) and (3)), in all subcontracts that offer further subcontracting opportunities. If the subcontract (except subcontracts to small business concerns) exceeds $700,000 ($1.5 million for construction of any public facility), the subcontractor must include 52.219-8 in lower tier subcontracts that offer subcontracting opportunities. * * * * * Alternate II (Oct 2018). As prescribed in 12.301(b)(4)(ii), substitute the following paragraphs (d)(1) and (e)(1) for paragraphs (d)(1) and (e)(1) of the basic clause as follows: * * * * * (e)(1) * * * (ii) * * * (D) 52.219-8, Utilization of Small Business Concerns (Oct 2018) (15 U.S.C. 637(d)(2) and (3)), in all subcontracts that offer further subcontracting opportunities. If the subcontract (except subcontracts to small business concerns) exceeds $700,000 ($1.5 million for construction of any public facility), the subcontractor must include 52.219-8 in lower tier subcontracts that offer subcontracting opportunities. * * * * * 0 45. Amend section 52.213-4 by revising the date of the clause and paragraphs (a)(2)(viii), (b)(1)(i), and (b)(1)(xix) to read as follows: 52.213-4 Terms and Conditions--Simplified Acquisitions (Other Than Commercial Items). * * * * * Terms and Conditions--Simplified Acquisitions (Other Than Commercial Items) (Oct 2018) (a) * * * (2) * * * (viii) 52.244-6, Subcontracts for Commercial Items (Oct 2018). * * * * * (b) * * * (1) * * * (i) 52.204-10, Reporting Executive Compensation and First-Tier Subcontract Awards (Oct 2018) (Pub. L. 109-282) (31 U.S.C. 6101 note) (Applies to contracts valued at $30,000 or more). * * * * * (xix) 52.232-33, Payment by Electronic Funds Transfer--System for Award Management (Oct 2018) (Applies when the payment will be made by electronic funds transfer (EFT) and the payment office uses the System for Award Management (SAM) as its source of EFT information). * * * * * 0 46. Amend section 52.219-8 by revising the date of the clause and removing from paragraph (d)(5) introductory text ``database''. The revision reads as follows: 52.219-8 Utilization of Small Business Concerns. * * * * * Utilization of Small Business Concerns (Oct 2018) * * * * * 0 47. Amend section 52.232-33 by-- 0 a. Revising the date of the clause; 0 b. Removing from paragraph (b) ``(SAM) database'' and ``the SAM database'' and adding ``(SAM)'' and ``SAM'' in their places, respectively; 0 c. Removing from paragraph (d) ``the SAM database'' and adding ``SAM'' in two places; and 0 d. Removing from paragraphs (g) and (i) ``the SAM database'' and adding ``SAM'' in their places, respectively. The revision reads as follows: 52.232-33 Payment by Electronic Funds Transfer-System for Award Management. * * * * * Payment by Electronic Funds Transfer-System for Award Management (Oct 2018) * * * * * 0 48. Amend section 52.244-6 by revising the date of the clause and paragraph (c)(1)(vi) to read as follows: 52.244-6 Subcontracts for Commercial Items. * * * * * Subcontracts for Commercial Items (Oct 2018) * * * * * (c)(1) * * * (vi) 52.219-8, Utilization of Small Business Concerns (Oct 2018) (15 U.S.C. 637(d)(2) and (3)), if the subcontract offers further subcontracting opportunities. If the subcontract (except subcontracts to small business concerns) exceeds $700,000 ($1.5 million for construction of any public facility), the subcontractor must include 52.219-8 in lower tier subcontracts that offer subcontracting opportunities. * * * * * [FR Doc. 2018-20706 Filed 9-25-18; 8:45 am] BILLING CODE 6820-EP-P
![Federal Register / Vol. 83, No. 187 / Wednesday, September 26, 2018 / Rules and Regulations 48691
DEPARTMENT OF DEFENSE final rule. Ten respondents submitted This final rule corrects the
comments on the proposed rule. inconsistency. The rule requires all
GENERAL SERVICES offerors (except as provided at FAR
ADMINISTRATION II. Discussion and Analysis
4.1102) to be registered in SAM at the
The Civilian Agency Acquisition time of submission of an offer or
NATIONAL AERONAUTICS AND Council and the Defense Acquisition quotation, consistent with the
SPACE ADMINISTRATION Regulations Council (the Councils) requirements of FAR clause 52.204–8.
reviewed the public comments in the Offerors can complete their
48 CFR Parts 1, 2, 4, 7, 8, 9, 12, 13, 16, development of the final rule. A representations and certifications as part
17, 18, 19, 22, 23, 25, 26, 28, 32, 44, and discussion of the comments and of their SAM registration.
52 changes to the rule is provided as 1. Effect on Offers and Competition
[FAC 2005–101; FAR Case 2015–005; Item follows:
Comments: A number of comments
I; Docket No. 2015–0005, Sequence No. 1] A. Summary of Significant Changes in were received regarding the effect of this
RIN 9000–AN19 Response to Public Comments rule on submission of offers.
There are no changes from the • One respondent stated that the
Federal Acquisition Regulation: change could have a potential impact on
proposed rule as a result of the public
System for Award Management the prime contractor’s ability to respond
comments received.
Registration in a timely manner to a Request for
B. Analysis of Public Comments Technical Proposal (RFTP) on an
AGENCY: Department of Defense (DoD),
General Services Administration (GSA), The concerns of many respondents indefinite-delivery indefinite-quantity
and the National Aeronautics and Space were based on the perception that this (IDIQ) contract where small businesses
Administration (NASA). rule creates a new requirement for are used as subcontractors.
• One respondent was concerned that
ACTION: Final rule. offerors. The Councils emphasize that
many offerors would not want to
this rulemaking effort does not create a
SUMMARY: DoD, GSA, and NASA are register in SAM with submission of the
new requirement for offerors, large or
issuing a final rule amending the offer, because they would want to wait
small. The purpose of this rule is to
Federal Acquisition Regulation (FAR) to until they had the incentive of knowing
clarify for offerors the required timing of
update the instructions for registration that they were going to receive the
SAM registration, i.e., when should
in the System for Award Management award.
offerors register in SAM. This • Another respondent stated that the
and clarify the timing of registration in clarification is necessary because of the
the System for Award Management. proposed change requiring offerors to be
following inconsistencies in current registered in SAM prior to submitting an
DATES: Effective October 26, 2018. FAR language: offer would increase the possibility of
FOR FURTHER INFORMATION CONTACT: Mr. • FAR 4.1102 states that prospective the Government receiving only one bid
Curtis E. Glover, Sr., Procurement contractors shall be registered in SAM (the ‘‘one bid’’ issue) in response to a
Analyst, at 202–501–1448, for (which includes online representations solicitation and would especially
clarification of content. For information and certifications) prior to contract impact simplified procurements. Still
pertaining to status or publication award (with some exceptions) and FAR another respondent stated that the rule
schedules, contact the Regulatory clause 52.204–7(b)(1) currently requires will severely limit the number of
Secretariat Division at 202–501–4755. the offeror to acknowledge the potential offerors.
Please cite FAC 2005–101, FAR Case requirements that a prospective awardee • Another respondent was concerned
2015–005. shall be registered in SAM prior to that the reduction of competition would
SUPPLEMENTARY INFORMATION: award. put the Government in a situation where
• However, paragraphs (b) and (d) of SAM-registered vendors could charge
I. Background FAR clause 52.204–8, require that if the exorbitant prices.
DoD, GSA, and NASA published a provision 52.204–7, System for Award • One respondent commented that
proposed rule in the Federal Register at Management, is included in the the rule would hamper Government
81 FR 31895 on May 20, 2016, to update solicitation, then the offeror shall have efforts to maintain an adequate list of
the instructions for registration in the completed the annual representations SAM-registered vendors to obtain offers,
System for Award Management (SAM) and certifications electronically via the which could in turn hamper efforts to
and correct an inconsistency involving SAM website (which would require prevent damage to the Government’s
the timing of registration. In order to registration in SAM). The offeror then real property loan security while
correct this inconsistency, the rule verifies, by submission of its offer, that seeking a SAM-registered vendor to
proposed changes to FAR 4.1102, the representations and certifications in perform the work.
4.1103, 52.204–7, and 52.212–1(k) to SAM are current, accurate, and • Another respondent stated that
require offeror registration in SAM prior complete, except for changes identified requiring SAM registration prior to
to submission of an offer. In addition, by the offeror in its offer. This submitting an offer would potentially
the proposed rule also required requirement has been in the FAR since restrict a newly formed company, a new
contracting officers to use the name and 2005, when registering in the legacy division of an existing company, or an
physical address from the contractor’s Central Contractor Registration (CCR). existing company that is pursuing its
SAM registration for the provided Data Along with representations required by first Government contract from
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Universal Numbering System (DUNS) FAR 52.212–3 for offers of commercial responding to a solicitation. According
(now the unique entity identifier). The item acquisitions, these provisions have to the respondent, newly established
proposed rule also removed the term generally made registration in SAM at entities or business units would be
‘‘division name’’ from the FAR text at the time of offer the de facto disadvantaged, because the proposed
FAR 4.1102, clause 52.204–13, and requirement, despite the language in rule fails to address how they should
provision 52.212–4. These proposed FAR 4.1102(a) and 52.204–7 speaking to respond to certain questions, thereby
changes have been implemented in the registration in SAM prior to award. disadvantaging otherwise qualified
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List of Subjects in 48 CFR Parts 1, 2, 4, The revisions and addition reads as Payment’’ paragraph of the EFT clause
7, 8, 9, 12, 13, 16, 17, 18, 19, 22, 23, 25, follows. of the contract.
26, 28, 32, 44, and 52 * * * * *
4.1102 Policy.
Government procurement. ■ 7. Revise section 4.1103 to read as
(a) Offerors and quoters are required follows:
Dated: September 17, 2018. to be registered in SAM at the time an
William F. Clark, offer or quotation is submitted in order 4.1103 Procedures.
Director, Office of Government-wide to comply with the annual (a) Unless the acquisition is exempt
Acquisition Policy, Office of Acquisition representations and certifications under 4.1102(a), the contracting
Policy, Office of Government-wide Policy. requirements except for— officer—
Therefore, DoD, GSA, and NASA * * * * * (1) Shall verify that the offeror or
amend 48 CFR parts 1, 2, 4, 7, 8, 9, 12, (5) Contracts awarded without quoter is registered in SAM (see
13, 16, 17, 18, 19, 22, 23, 25, 26, 28, 32, providing for full and open competition paragraph (b) of this section) at the time
44, and 52 as set forth below: due to unusual or compelling urgency an offer or quotation is submitted;
■ 1. The authority citation for parts 1, 2, (see 6.302–2); (2) Should use the unique entity
4, 7, 8, 9, 12, 13, 16, 17, 18, 19, 22, 23, (6) Contract actions at or below identifier to verify SAM registration—
25, 26, 28, 32, 44, and 52 continues to $30,000 awarded to foreign vendors for (i) Via https://www.sam.gov; or
read as follows: work performed outside the United (ii) As otherwise provided by agency
States, if it is impractical to obtain SAM procedures; or
Authority: 40 U.S.C. 121(c); 10 U.S.C. registration; and (3) Need not verify SAM registration
chapter 137; and 51 U.S.C. 20113. before placing an order or call if the
* * * * *
(c) Contracting officers shall use the contract or agreement includes the
PART 1—FEDERAL ACQUISITION
legal business name or ‘‘doing business provision at 52.204–7, System for
REGULATIONS SYSTEM
as’’ name and physical address from the Award Management, or the clause at
1.106 [Amended] contractor’s SAM registration for the 52.212–4, Contract Terms and
■ 2. Amend section 1.106 by removing provided unique entity identifier to Conditions—Commercial Items, or a
from the table the entries for FAR identify the contractor in section A of similar agency clause, except when use
segments ‘‘52.212–1(k)’’ and ‘‘52.212– the contract schedule, similar sections of the Governmentwide commercial
4(t)’’. of non-uniform contract formats and purchase card is contemplated as a
agreements, and all corresponding forms method of payment. (See 32.1108(b)(2).)
PART 2—DEFINITIONS OF WORDS and data exchanges. Contracting officers (b) If the contract action is being
AND TERMS shall make no changes to the data awarded in accordance with
retrieved from SAM. 4.1102(a)(5), the contractor is required
2.101 [Amended] to be registered in SAM within 30 days
(d)(1)(i) If a contractor has legally
■ 3. Amend section 2.101 in paragraph changed its business name or ‘‘doing after contract award, or at least three
(b)(2) revising the defined term business as’’ name (whichever is shown days prior to submission of the first
‘‘Registered in the System for Award on the contract), or has transferred the invoice, whichever occurs first.
Management (SAM) database’’ to read assets used in performing the contract, (c) Agencies shall protect against
‘‘Registered in the System for Award but has not completed the necessary improper disclosure of information
Management (SAM)’’ and by removing requirements regarding novation and contained in SAM.
from paragraphs (1) and (2), ‘‘the SAM change-of-name agreements in subpart (d) The contracting officer shall, on
database;’’ and adding ‘‘SAM;’’ in their 42.12, the contractor is required to contractual documents transmitted to
places. provide the responsible contracting the payment office, provide the unique
officer a minimum of one business day’s entity identifier, or, if applicable, the
PART 4—ADMINISTRATIVE MATTERS Electronic Funds Transfer indicator, in
written notification of its intention to
4.605 [Amended] change the name in SAM, comply with accordance with agency procedures.
■ 4. Amend section 4.605 by removing the requirements of subpart 42.12, and 4.1104 [Amended]
from paragraph (b), in the third agree in writing to the timeline and ■ 8. Amend section 4.1104 by removing
sentence, ‘‘database’’. procedures specified by the responsible ‘‘https://www.acquisition.gov’’ and
contracting officer. Along with the adding ‘‘https://www.sam.gov, Search
4.1100 [Amended] notification, the contractor is required to Records, Advanced Search, Disaster
■ 5. Amend section 4.1100 by removing provide the contracting officer sufficient Response Registry Search’’ in its place.
from the introductory text ‘‘database’’. documentation to support the legally ■ 9. Revise section 4.1105 to read as
■ 6. Amend section 4.1102 by— changed name. follows:
■ a. Revising paragraph (a) introductory (ii) If the contractor fails to comply
text; with the requirements of paragraph 4.1105 Solicitation provision and contract
■ b. Removing from paragraph (a)(2) (d)(1)(i) of the clause at 52.204–13, clauses.
‘‘the SAM database;’’ and adding System for Award Management (a)(1) Insert the provision at 52.204–
‘‘SAM;’’ in its place; Maintenance, or fails to perform the 7, System for Award Management, in all
■ c. Revising paragraphs (a)(5) and (6); agreement at 52.204–13, paragraph solicitations except when the conditions
■ d. Redesignating paragraph (c) as (d)(1)(i)(C), and, in the absence of a in 4.1102(a) apply.
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paragraph (d); properly executed novation or change- (2) Insert the provision at 52.204–7,
■ e. Adding a new paragraph (c); of-name agreement, the SAM System for Award Management, with its
■ f. Revising newly redesignated information that shows the contractor to Alternate I when the solicitation is
paragraph (d)(1); and be other than the contractor indicated in anticipated to be awarded in accordance
■ g. Removing from newly redesignated the contract will be considered to be with 4.1102(a)(5).
paragraph (d)(3) ‘‘the SAM database’’ incorrect information within the (b) Insert the clause at 52.204–13,
and adding ‘‘SAM’’ in its place. meaning of the ‘‘Suspension of System for Award Management
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![48696 Federal Register / Vol. 83, No. 187 / Wednesday, September 26, 2018 / Rules and Regulations
Maintenance, in solicitations that solicitation, do not separately include (ii) Determine whether it is legally
contain the provision at 52.204–7, and the following representations and permitted to enter the SSN, EIN, or
resulting contracts. certifications: other TIN, under agency authority to
■ 10. Revise section 4.1201 to read as * * * * * suspend or debar; and
follows: (iii) Update the exclusion record in
PART 7—ACQUISITION PLANNING SAM, generally within 5 working days
4.1201 Policy.
after modifying or rescinding an action;
(a) Offerors and quoters are required 7.103 [Amended]
(4) In accordance with internal
to complete electronic annual ■ 12. Amend section 7.103 by removing retention procedures, maintain records
representations and certifications in from paragraph (y) ‘‘https:// relating to each debarment, suspension,
SAM accessed via https://www.sam.gov www.acquisition.gov’’ and adding or proposed debarment taken by the
as a part of required registration (see ‘‘https://www.sam.gov, Search Records, agency;
FAR 4.1102). Advanced Search, Disaster Response
(5) Establish procedures to ensure that
(b)(1) All registrants are required to Registry Search’’ in its place.
the agency does not solicit offers from,
review and update the representations
PART 8—REQUIRED SOURCES OF award contracts to, or consent to
and certifications submitted to SAM as
SUPPLIES AND SERVICES subcontracts with contractors who have
necessary, but at least annually, to
an active exclusion record in SAM,
ensure they are kept current, accurate, 8.402 [Amended] except as otherwise provided in this
and complete. The representations and
■ 13. Amend section 8.402 by removing subpart;
certifications are effective until one year
from date of submission or update to from paragraph (g) ‘‘database’’. (6) Direct inquiries concerning listed
SAM. contractors and other entities to the
PART 9—CONTRACTOR agency or other authority that took the
(2) A contractor that represented itself QUALIFICATIONS
as a small business prior to award of a action; and
contract must update the 9.109–2 [Amended] (7) Contact GSA for technical
representations and certifications in ■ 14. Amend section 9.109–2 by assistance with SAM, via the support
SAM in accordance with 52.219–28. A removing ‘‘database’’. email address or on the technical
contractor that represented itself as support phone line.
other than small business before 9.109–4 [Amended] * * * * *
contract award and qualifies as a small ■ 15. Amended section 9.109–4 by
removing from paragraph (b) 9.405 [Amended]
business may update its representations
and certifications in SAM in accordance ‘‘database’’. ■ 17. Amend section 9.405 by—
with 52.219–28. ■ 16. Amend section 9.404 by— ■ a. Removing from paragraph (b)
(c) Data in SAM is archived and is ■ a. Revising the section heading; ‘‘Contractors included in the SAM
■ b. Revising paragraph (a)(1); Exclusions as having’’ and adding
electronically retrievable. Therefore,
■ c. Removing from paragraph (b) ‘‘Contractors and other entities that have
when a prospective contractor has
completed representations and introductory text ‘‘The SAM an active exclusion record in SAM
certifications electronically in SAM, the Exclusions’’ and adding ‘‘An exclusion because they have’’ in its place;
contracting officer must reference the record in SAM’’ in its place; ■ b. Removing from paragraph (d)(1)
■ d. Removing from paragraph (b)(1) ‘‘of
date of SAM verification in the contract ‘‘proposals, the contracting officer shall
all contractors debarred’’ and adding ‘‘of
file to satisfy contract file review the SAM Exclusions’’ and
the entities debarred’’ in its place;
documentation requirements of ■ e. Revising paragraph (c); and
adding ‘‘proposals or quotes, the
4.803(a)(11). However, if an offeror ■ f. Removing from paragraph (d) contracting officer shall review the
identifies changes to SAM data pursuant ‘‘https://www.acquisition.gov’’ and exclusion records in SAM’’ in its place;
to the FAR provisions at 52.204–8(d) or adding ‘‘https://www.sam.gov’’ in its and
52.212–3(b), the contracting officer must place. ■ c. Removing from paragraph (d)(4)
include a copy of the changes in the The revisions read as follows: ‘‘SAM Exclusions’’ and adding ‘‘the
contract file. exclusion records in SAM’’ in its place.
(d) The contracting officer shall 9.404 Exclusions in the System for Award
incorporate the representations and Management. 9.405–2 [Amended]
certifications by reference in the (a) * * * ■ 18. Amend section 9.405–2 by—
contract (see 52.204–19, or for (1) Operates the web-based System for ■ a. Removing from paragraph (b)
acquisitions of commercial items see Award Management (SAM), which introductory text ‘‘the parties’ listing in
52.212–4(v)). contains exclusion records; and SAM Exclusions’’ and adding ‘‘the
■ 11. Amend section 4.1202 by revising * * * * * party’s having an active exclusion
paragraph (a) introductory text to read (c) Each agency shall— record in SAM’’ in its place;
as follows: (1) Identify the individual(s) ■ b. Removing from paragraph (b)(2)
responsible for entering and updating ‘‘being listed in SAM Exclusions’’ and
4.1202 Solicitation provision and contract exclusions data in SAM and assign the
clause. adding ‘‘having an active exclusion
appropriate roles; record in SAM’’ in its place; and
(a) Insert the provision at 52.204–8, (2) Remove the exclusion roles in ■ c. Removing from paragraph (b)(3)
Annual Representations and SAM when the individual leaves the ‘‘listing in SAM Exclusions’’ and adding
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Certifications, in solicitations, except for organization or changes functions; ‘‘having an active exclusion record in
commercial item solicitations issued (3) For each exclusion accomplished
SAM’’ in its place.
under FAR part 12. The contracting by the Agency—
officer shall check the applicable (i) Enter the information required by PART 12—ACQUISITION OF
provisions at 52.204–8(c)(2). When the paragraph (b) of this section within 3 COMMERCIAL ITEMS
provision at 52.204–7, System for working days after the action becomes
Award Management, is included in the effective; ■ 19. Amend section 12.301 by—
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■ a. Redesignating paragraphs (d)(1) PART 18—EMERGENCY System for Award Management (see
through (9) as (d)(3) through (11), ACQUISITIONS 9.404). * * *
respectively;
■ b. Adding new paragraphs (d)(1) and
■ 24. Revise section 18.102 to read as PART 23—ENVIRONMENT, ENERGY
(2); follows: AND WATER EFFICIENCY,
■ c. Revising newly redesignated 18.102 System for Award Management.
RENEWABLE ENERGY
paragraphs (d)(3) and (4); and TECHNOLOGIES, OCCUPATIONAL
(a) In accordance with 4.1102,
■ d. Removing from paragraph (e)(4) SAFETY, AND DRUG–FREE
contractors are not required to be
‘‘database’’. WORKPLACE
registered in the System for Award
The additions and revisions read as Management (SAM) at the time of 23.802 [Amended]
follows: submission of offers or quotations for—
(1) Contracts awarded without ■ 28. Amend section 23.802 by
12.301 Solicitation provisions and removing from paragraph (d)
contract clauses for the acquisition of providing for full and open competition
commercial items. due to unusual and compelling urgency introductory text ‘‘database’’.
* * * * * (see 6.302–2); or
(2) Contracts awarded by a contracting PART 25—FOREIGN ACQUISITION
(d) * * *
(1) Insert the provision at 52.204–7, officer—
(i) Deployed in the course of military ■ 29. Amend section 25.703–3 by
System for Award Management, as revising paragraph (a) to read as follows:
operations;
prescribed in 4.1105(a).
(ii) Located outside the United States 25.703–3 Prohibition on contracting with
(2) Insert the clause at 52.204–13,
and its outlying areas, for work to be entities that export sensitive technology to
System for Award Management
performed in support of diplomatic or Iran.
Maintenance, as prescribed in 4.1105(b).
developmental operations, in an area
(3) Insert the provision at 52.204–16, (a) The head of an executive agency
that has been designated by the
Commercial and Government Entity may not enter into or extend a contract
Department of State as a danger pay
Code Reporting, as prescribed in for the procurement of goods or services
post; or
4.1804(a). (iii) In the conduct of emergency with a person that exports certain
(4) Insert the clause at 52.204–18, operations. sensitive technology to Iran, as
Commercial and Government Entity (b) However, contractors are required determined by the President, and has an
Code Maintenance, as prescribed in to be registered in SAM in order to gain active exclusion in the System for
4.1804(c). access to the Disaster Response Registry. Award Management at http://
* * * * * (c) Contracting officers shall consult www.sam.gov (22 U.S.C. 8515).
the Disaster Response Registry via * * * * *
PART 13—SIMPLIFIED ACQUISITION https://www.sam.gov, Search Records,
PROCEDURES Advanced Search, Disaster Response PART 26—OTHER SOCIOECONOMIC
Registry Search to determine the PROGRAMS
13.102 [Amended]
availability of contractors for debris 26.205 [Amended]
■ 20. Amend section 13.102 by
removal, distribution of supplies,
removing from paragraph (a) ‘‘database 30. Amended section 26.205 by
reconstruction, and other disaster or ■
(see subpart 4.11) via https:// removing from paragraph (a) ‘‘https://
emergency relief activities inside the
www.acquisition.gov’’ and adding ‘‘(see www.acquisition.gov’’ and adding
United States and outlying areas. (See
subpart 4.11) via https://www.sam.gov’’ ‘‘https://www.sam.gov’’ in its place; and
26.205).
in its place. removing from paragraph (b) ‘‘https://
13.201 [Amended] PART 19—SMALL BUSINESS www.acquisition.gov’’ and ‘‘register with
PROGRAMS SAM’’ and adding ‘‘https://
■ 21. Amend section 13.201 by
removing from paragraph (h) www.sam.gov, Search Records,
19.308 [Amended]
‘‘database’’. Advanced Search, Disaster Response
■ 25. Amend section 19.308 by Registry Search’’ and ‘‘in SAM’’ in their
removing from paragraph (i)(3)(iii) ‘‘the places, respectively.
PART 16—TYPES OF CONTRACTS System for Award Management (SAM)’’
16.505 [Amended] and adding ‘‘SAM’’ in its place. PART 28—BONDS AND INSURANCE
■ 22. Amend section 16.505 by 19.703 [Amended]
removing from paragraph (a)(12) ■ 31. Amend section 28.203–7 by
■ 26. Amend section 19.703 by revising paragraph (c) and removing
‘‘database’’. removing from paragraph (d)(1) from paragraph (d) ‘‘the System for
introductory text ‘‘database’’. Award Management Exclusions (see
PART 17—SPECIAL CONTRACTING
METHODS PART 22—APPLICATION OF LABOR 9.404)’’ and adding ‘‘an active exclusion
LAWS TO GOVERNMENT record in the System for Award
■ 23. Amend section 17.207 by revising Management (see 9.404),’’ in its place.
paragraph (c)(5) to read as follows: ACQUISITIONS
The revision reads as follows:
17.207 Exercise of options. ■ 27. Amend section 22.1025 by
revising the first sentence to read as 28.203–7 Exclusion of individual sureties.
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* * * * *
follows: * * * * *
(c) * * *
(5) The contractor does not have an 22.1025 Ineligibility of violators. (c) An individual surety excluded
active exclusion record in the System Persons or firms found to be in pursuant to this subsection shall be
for Award Management (see FAR 9.405– violation of the Service Contract Labor entered as an exclusion in the System
1); Standards statute will have an active for Award Management (see 9.404).
* * * * * exclusion record contained in the * * * * *
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PART 32—CONTRACT FINANCING System for Award Management (Oct solicitation as indicated in paragraph (c)
2018) of this provision have been entered or
32.1108 [Amended] updated within the last 12 months, are
* * * * *
■ 32. Amend section 32.1108 by (b)(1) An Offeror is required to be current, accurate, complete, and
removing from paragraph (b)(2)(i) ‘‘(by registered in SAM when submitting an applicable to this solicitation (including
looking in the System for Award offer or quotation, and shall continue to the business size standard applicable to
Management (SAM))’’ and adding ‘‘by be registered until time of award, during the NAICS code referenced for this
looking in the System for Award performance, and through final payment solicitation), as of the date of this offer
Management (SAM)’’ in its place. of any contract, basic agreement, basic and are incorporated in this offer by
■ 33. Amend section 32.1110 by reference (see FAR 4.1201); except for
ordering agreement, or blanket
revising paragraph (a)(1) introductory the changes identified below [offeror to
purchasing agreement resulting from
text and removing from (a)(2)(i) ‘‘the insert changes, identifying change by
this solicitation.
SAM database’’ and adding ‘‘SAM’’ in clause number, title, date]. These
its place. * * * * * amended representation(s) and/or
The revision reads as follows: (d) Processing time should be taken certification(s) are also incorporated in
into consideration when registering. this offer and are current, accurate, and
32.1110 Solicitation provision and Offerors who are not registered in SAM complete as of the date of this offer.
contract clauses. should consider applying for
registration immediately upon receipt of * * * * *
(a) * * * ■ 37. Amend section 52.204–10 by—
(1) 52.232–33, Payment by Electronic this solicitation. See https:// ■ a. Revising the date of the clause;
Funds Transfer—System for Award www.sam.gov for information on ■ b. Removing from paragraph (d)(1)
Management, in solicitations and registration. introductory text ‘‘database’’; and
contracts that include the provision at (End of provision) ■ c. Revising paragraph (h).
52.204–7, System for Award The revisions read as follows:
Management, or an agency clause that Alternate I (Oct 2018). * * *
requires a contractor to be registered in 52.204–10 Reporting Executive
(b)(1) An Offeror is required to be Compensation and First-Tier Subcontract
SAM and maintain registration until registered in SAM as soon as possible. Awards.
final payment, unless— If registration is not possible when
* * * * *
* * * * * submitting an offer or quotation, the
awardee shall be registered in SAM in Reporting Executive Compensation and
PART 44—SUBCONTRACTING accordance with the requirements of First-Tier Subcontract Awards (Oct
POLICIES AND PROCEDURES clause 52.204–13, System for Award 2018)
Management Maintenance. * * * * *
■ 34. Amend section 44.202–2 by
■ 36. Amend section 52.204–8 by (h) The FSRS database at http://
revising paragraph (a)(13) to read as
revising the date of the provision and www.fsrs.gov will be prepopulated with
follows:
paragraphs (b)(2) introductory text and some information from SAM and the
44.202–2 Considerations. (d) to read as follows: FPDS database. If FPDS information is
(a) * * * 52.204–8 Annual Representations and incorrect, the contractor should notify
(13) Is the proposed subcontractor Certifications. the contracting officer. If the SAM
listed as excluded in the System for * * * * * information is incorrect, the contractor
Award Management (see subpart 9.4)? is responsible for correcting this
* * * * * Annual Representations and information.
Certifications (Oct 2018) * * * * *
PART 52—SOLICITATION PROVISIONS * * * * * ■ 38. Amend section 52.204–13 by—
AND CONTRACT CLAUSES (b) * * * ■ a. Revising the date of the clause;
(2) If the provision at 52.204–7, ■ b. In paragraph (a), revising the
■ 35. Amend section 52.204–7 by— defined term ‘‘Registered in the System
■ a. Revising the date of the provision; System for Award Management, is not
included in this solicitation, and the for Award Management (SAM)
■ b. In paragraph (a), revising the database’’ to read ‘‘Registered in the
defined term ‘‘Registered in the System Offeror has an active registration in the
System for Award Management (SAM), System for Award Management (SAM)’’;
for Award Management (SAM) ■ c. Removing from paragraphs (a)(1)
database’’ to read ‘‘Registered in the the Offeror may choose to use paragraph
(d) of this provision instead of and (2) ‘‘the SAM database’’ and adding
System for Award Management (SAM)’’; ‘‘SAM’’ in their places;
■ c. Removing from paragraphs (a)(1)
completing the corresponding
■ d. Redesignating paragraphs (b)
and (2) ‘‘the SAM database;’’ and adding individual representations and
through (d) as paragraphs (c) through
‘‘SAM;’’ in their places; certifications in the solicitation. The
(e);
■ d. Revising paragraph (b)(1);
Offeror shall indicate which option ■ e. Adding a new paragraph (b);
■ e. Removing from paragraph (b)(2)
applies by checking one of the following ■ f. Revising newly redesignated
‘‘the SAM database’’ and adding ‘‘SAM’’ boxes: paragraphs (c) and (d)(1)(i) introductory
in its place; * * * * * text;
■ f. Revising paragraph (d); (d) The Offeror has completed the ■ g. Removing from newly redesignated
■ g. Removing paragraphs (e) and (f); annual representations and paragraph (d)(1)(i)(A) ‘‘the SAM
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and certifications electronically in SAM database’’ and adding ‘‘SAM’’ in its
■ h. Revising the date of Alternate I and accessed through https://www.sam.gov. place;
paragraph (b)(1). After reviewing the SAM information, ■ h. Removing from newly redesignated
The revisions read as follows. the Offeror verifies by submission of the paragraph (d)(1)(ii) ‘‘(c)(1)(i)’’ and
offer that the representations and ‘‘(c)(1)(i)(C)’’ and adding ‘‘(d)(1)(i)’’ and
52.204–7 System for Award Management. certifications currently posted ‘‘(d)(1)(i)(C)’’ in their places,
* * * * * electronically that apply to this respectively;
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■ i. Removing from newly redesignated ‘‘Management, which can be accessed https://www.sam.gov. If the Offeror has
paragraph (d)(2) ‘‘in the SAM’’ and via https://www.sam.gov’’ in its place. not completed the annual
adding ‘‘in SAM’’ in its place; and The revision reads as follows: representations and certifications
■ j. Removing from newly redesignated electronically, the Offeror shall
52.209–7 Information Regarding
paragraph (e) ‘‘https:// complete only paragraphs (c) through
Responsibility Matters.
www.acquisition.gov’’ and adding (u)) of this provision.
‘‘https://www.sam.gov’’ in its place. * * * * *
* * * * *
The addition and revisions read as Information Regarding Responsibility (b)(1) Annual Representations and
follows: Matters (Oct 2018) Certifications. Any changes provided by
* * * * * the Offeror in paragraph (b)(2) of this
52.204–13 System for Award Management
Maintenance. ■ 40. Amend section 52.209–9 by provision do not automatically change
revising the date of the clause and the representations and certifications in
* * * * * SAM.
removing from paragraph (a)
System for Award Management ‘‘Management database via https:// (2) The offeror has completed the
Maintenance (Oct 2018) www.acquisition.gov’’ and adding annual representations and
* * * * * ‘‘Management via https://www.sam.gov’’ certifications electronically in SAM
in its place. accessed through http://www.sam.gov.
(b) If the solicitation for this contract
The revision reads as follows: After reviewing SAM information, the
contained the provision 52.204–7 with
Offeror verifies by submission of this
its Alternate I, and the Contractor was 52.209–9 Updates of Publicly Available offer that the representations and
unable to register prior to award, the Information Regarding Responsibility certifications currently posted
Contractor shall be registered in SAM Matters. electronically at FAR 52.212–3, Offeror
within 30 days after award or before * * * * * Representations and Certifications—
three days prior to submission of the
Updates of Publicly Available Commercial Items, have been entered or
first invoice, whichever occurs first.
Information Regarding Responsibility updated in the last 12 months, are
(c) The Contractor shall maintain
Matters (Oct 2018) current, accurate, complete, and
registration in SAM during contract
applicable to this solicitation (including
performance and through final payment * * * * * the business size standard applicable to
of any contract, basic agreement, basic ■ 41. Amend section 52.212–1 by— the NAICS code referenced for this
ordering agreement, or blanket ■ a. Revising the date of provision; solicitation), at the time this offer is
purchasing agreement. The Contractor is ■ b. Removing from paragraph (j) submitted and are incorporated in this
responsible for the currency, accuracy ‘‘(SAM) database’’ and adding ‘‘(SAM)’’ offer by reference (see FAR 4.1201),
and completeness of the data within in its place; and except for paragraphs ll.
SAM, and for any liability resulting ■ c. Removing and reserving paragraph [Offeror to identify the applicable
from the Government’s reliance on (k). paragraphs at (c) through (u) of this
inaccurate or incomplete data. To The revision reads as follows: provision that the offeror has completed
remain registered in SAM after the
52.212–1 Instructions to Offerors— for the purposes of this solicitation only,
initial registration, the Contractor is
Commercial Items. if any.
required to review and update on an
* * * * * These amended representation(s)
annual basis, from the date of initial
and/or certification(s) are also
registration or subsequent updates, its Instructions to Offerors—Commercial incorporated in this offer and are
information in SAM to ensure it is Items (Oct 2018) current, accurate, and complete as of
current, accurate and complete.
* * * * * the date of this offer.
Updating information in SAM does not
■ 42. Amend section 52.212–3 by— Any changes provided by the offeror
alter the terms and conditions of this
■ a. Revising the date and the are applicable to this solicitation only,
contract and is not a substitute for a
introductory text of the provision; and do not result in an update to the
properly executed contractual
■ b. Revising paragraph (b); representations and certifications
document.
■ c. Removing from paragraph (l) posted electronically on SAM.]
(d) * * *
(1) * * * introductory text ‘‘the SAM database’’ * * * * *
and adding ‘‘SAM’’ in its place; and ■ 43. Amend section 52.212–4 by
(i) If a Contractor has legally changed
its business name or ‘‘doing business ■ d. Removing from paragraph (t) revising the date of the clause and
as’’ name (whichever is shown on the introductory text ‘‘(52.212–1(k))’’ and removing and reserving paragraph (t).
contract), or has transferred the assets adding ‘‘(12.301(d)(1))’’ in its place. The revision reads as follows:
used in performing the contract, but has The revisions read as follows:
52.212–4 Contract Terms and
not completed the necessary 52.212–3 Offeror Representations and Conditions—Commercial Items.
requirements regarding novation and Certifications—Commercial Items. * * * * *
change-of-name agreements in subpart * * * * *
42.12, the Contractor shall provide the Contract Terms and Conditions—
responsible Contracting Officer a Offeror Representations and Commercial Items (Oct 2018)
minimum of one business day’s written Certifications—Commercial Items (Oct * * * * *
notification of its intention to— 2018)
daltland on DSKBBV9HB2PROD with RULES2
■ 44. Amend section 52.212–5 by—
* * * * * The Offeror shall complete only ■ a. Revising the date of the clause and
■ 39. Amend section 52.209–7 by paragraph (b) of this provision if the paragraphs (b)(4), (b)(9), (b)(16), (b)(55),
revising the date of the provision and Offeror has completed the annual (e)(1)(iv), Alternate II heading and
removing from paragraph (d) representations and certification introductory text, and paragraph
‘‘Management database via https:// electronically in the System for Award (e)(1)(ii)(D) of Alternate II to read as
www.acquisition.gov’’ and adding Management (SAM) accessed through follows:
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![48700 Federal Register / Vol. 83, No. 187 / Wednesday, September 26, 2018 / Rules and Regulations
52.212–5 Contract Terms and Conditions 52.213–4 Terms and Conditions— 52.244–6 Subcontracts for Commercial
Required To Implement Statutes or Simplified Acquisitions (Other Than Items.
Executive Orders—Commercial Items. Commercial Items). * * * * *
* * * * * * * * * *
Subcontracts for Commercial Items (Oct
Contract Terms and Conditions Terms and Conditions—Simplified 2018)
Required To Implement Statutes or Acquisitions (Other Than Commercial
Executive Orders—Commercial Items * * * * *
Items) (Oct 2018)
(c)(1) * * *
(Oct 2018)
(a) * * * (vi) 52.219–8, Utilization of Small
* * * * * (2) * * * Business Concerns (Oct 2018) (15 U.S.C.
(b) * * * (viii) 52.244–6, Subcontracts for 637(d)(2) and (3)), if the subcontract
* * * * * Commercial Items (Oct 2018). offers further subcontracting
ll(4) 52.204–10, Reporting * * * * * opportunities. If the subcontract (except
Executive Compensation and First-Tier (b) * * * subcontracts to small business concerns)
Subcontract Awards (Oct 2018) (Pub. L. exceeds $700,000 ($1.5 million for
(1) * * *
109–282) (31 U.S.C. 6101 note). construction of any public facility), the
(i) 52.204–10, Reporting Executive
* * * * * Compensation and First-Tier subcontractor must include 52.219–8 in
ll(9) 52.209–9, Updates of Publicly Subcontract Awards (Oct 2018) (Pub. L. lower tier subcontracts that offer
Available Information Regarding 109–282) (31 U.S.C. 6101 note) (Applies subcontracting opportunities.
Responsibility Matters (Oct 2018) (41 to contracts valued at $30,000 or more). * * * * *
U.S.C. 2313). [FR Doc. 2018–20706 Filed 9–25–18; 8:45 am]
* * * * *
* * * * * BILLING CODE 6820–EP–P
(xix) 52.232–33, Payment by
ll(16) 52.219–8, Utilization of
Electronic Funds Transfer—System for
Small Business Concerns (Oct 2018) (15
Award Management (Oct 2018) (Applies DEPARTMENT OF DEFENSE
U.S.C. 637(d)(2) and (3)).
when the payment will be made by
* * * * * electronic funds transfer (EFT) and the
ll(55) 52.232–33, Payment by GENERAL SERVICES
payment office uses the System for ADMINISTRATION
Electronic Funds Transfer—System for Award Management (SAM) as its source
Award Management (Oct 2018) (31 of EFT information).
U.S.C. 3332). NATIONAL AERONAUTICS AND
* * * * * SPACE ADMINISTRATION
* * * * *
■ 46. Amend section 52.219–8 by
(e)(1) * * *
(iv) 52.219–8, Utilization of Small revising the date of the clause and 48 CFR Parts 37 and 52
Business Concerns (Oct 2018) (15 U.S.C. removing from paragraph (d)(5) [FAC 2005–101; FAR Case 2018–009; Item
637(d)(2) and (3)), in all subcontracts introductory text ‘‘database’’. II; Docket No. 2018–0009; Sequence No. 1]
that offer further subcontracting The revision reads as follows:
RIN 9000–AN70
opportunities. If the subcontract (except 52.219–8 Utilization of Small Business
subcontracts to small business concerns) Concerns. Federal Acquisition Regulations: One
exceeds $700,000 ($1.5 million for * * * * * Dollar Coins
construction of any public facility), the
subcontractor must include 52.219–8 in Utilization of Small Business Concerns AGENCY: Department of Defense (DoD),
lower tier subcontracts that offer (Oct 2018) General Services Administration (GSA),
subcontracting opportunities. and National Aeronautics and Space
* * * * *
* * * * * Administration (NASA).
■ 47. Amend section 52.232–33 by—
Alternate II (Oct 2018). As prescribed ACTION: Final rule.
■ a. Revising the date of the clause;
in 12.301(b)(4)(ii), substitute the ■ b. Removing from paragraph (b) SUMMARY: DoD, GSA, and NASA are
following paragraphs (d)(1) and (e)(1) ‘‘(SAM) database’’ and ‘‘the SAM issuing a final rule amending the
for paragraphs (d)(1) and (e)(1) of the database’’ and adding ‘‘(SAM)’’ and Federal Acquisition Regulation (FAR) to
basic clause as follows: ‘‘SAM’’ in their places, respectively; implement a section of the National
* * * * * ■ c. Removing from paragraph (d) ‘‘the Defense Authorization Act for Fiscal
(e)(1) * * * SAM database’’ and adding ‘‘SAM’’ in Year 2018 that provides an exception for
(ii) * * * two places; and
(D) 52.219–8, Utilization of Small business operations conducted by a
■ d. Removing from paragraphs (g) and contractor while performing under a
Business Concerns (Oct 2018) (15 U.S.C. (i) ‘‘the SAM database’’ and adding
637(d)(2) and (3)), in all subcontracts Government contract from the
‘‘SAM’’ in their places, respectively. requirement to accept and dispense $1
that offer further subcontracting
The revision reads as follows: coins.
opportunities. If the subcontract (except
subcontracts to small business concerns) 52.232–33 Payment by Electronic Funds DATES: Effective October 26, 2018.
exceeds $700,000 ($1.5 million for Transfer-System for Award Management. FOR FURTHER INFORMATION CONTACT: Mr.
construction of any public facility), the * * * * * Curtis E. Glover, Sr., Procurement
subcontractor must include 52.219–8 in Analyst, at 202–501–1448 for
Payment by Electronic Funds Transfer-
daltland on DSKBBV9HB2PROD with RULES2
lower tier subcontracts that offer clarification of content. For information
subcontracting opportunities. System for Award Management (Oct pertaining to status or publication
2018) schedules, contact the Regulatory
* * * * *
■ 45. Amend section 52.213–4 by * * * * * Secretariat Division at 202–501–4755.
revising the date of the clause and ■ 48. Amend section 52.244–6 by Please cite FAC 2005–101, FAR Case
paragraphs (a)(2)(viii), (b)(1)(i), and revising the date of the clause and 2018–009.
(b)(1)(xix) to read as follows: paragraph (c)(1)(vi) to read as follows: SUPPLEMENTARY INFORMATION:
VerDate Sep<11>2014 19:41 Sep 25, 2018 Jkt 244001 PO 00000 Frm 00012 Fmt 4701 Sfmt 4700 E:\FR\FM\26SER2.SGM 26SER2](https://thefederalregister.org/doc/83_FR_48878/page/10.svg)
Document Created: 2018-09-26 00:47:56
Document Modified: 2018-09-26 00:47:56
| 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 | Final rule. | |
| Dates | Effective October 26, 2018. | |
| Contact | Mr. Curtis E. Glover, Sr., Procurement Analyst, at 202-501-1448, for clarification of content. For information pertaining to status or publication schedules, contact the Regulatory Secretariat Division at 202-501-4755. Please cite FAC 2005-101, FAR Case 2015-005. | |
| FR Citation | 83 FR 48691 | |
| RIN Number | 9000-AN19 | |
| CFR Citation | 48
CFR
12 48 CFR 13 48 CFR 16 48 CFR 17 48 CFR 18 48 CFR 19 48 CFR 1 48 CFR 2 48 CFR 22 48 CFR 23 48 CFR 25 48 CFR 26 48 CFR 28 48 CFR 32 48 CFR 4 48 CFR 44 48 CFR 52 48 CFR 7 48 CFR 8 48 CFR 9 |
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