Federal Acquisition Regulation; Addition of Landscaping and Pest Control Services to the Small Business Competitiveness Demonstration Program, 11740-11742 [05-4087]
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11740
Federal Register / Vol. 70, No. 45 / Wednesday, March 9, 2005 / Rules and Regulations
than the simplified acquisition
threshold, but not exceeding $5,000,000
($10,000,000 for acquisitions as
described in 13.500(e)).
This is not a significant regulatory
action and, therefore, was not subject to
review under Section 6(b) of Executive
Order 12866, Regulatory Planning and
Review, dated September 30, 1993. This
rule is not a major rule under 5 U.S.C.
804.
DEPARTMENT OF DEFENSE
DEPARTMENT OF DEFENSE
B. Regulatory Flexibility Act
RIN 9000–AK14
GENERAL SERVICES
ADMINISTRATION
The Regulatory Flexibility Act does
not apply to this rule. This final rule
does not constitute a significant FAR
revision within the meaning of FAR
1.501 and Public Law98–577, and
publication for public comments is not
required. This rule continues current
FAR policy. However, the Councils will
consider comments from small entities
concerning the affected FAR Part 13 in
accordance with 5 U.S.C. 610. Interested
parties must submit such comments
separately and should cite 5 U.S.C. 601,
et seq. (FAR case 2004–034), in
correspondence.
Federal Acquisition Regulation;
Addition of Landscaping and Pest
Control Services to the Small Business
Competitiveness Demonstration
Program
(4) For a proposed contract over
$50,000,000 or, for DoD, NASA, and the
Coast Guard, over $75,000,000, by the
senior procurement executive of the
agency designatedpursuant to the OFPP
Act (41 U.S.C. 414(3)) in accordance
with agency procedures. * * *
*
*
*
*
*
[FR Doc. 05–4085 Filed 3–8–05; 8:45 am]
BILLING CODE 6820–EP–S
NATIONAL AERONAUTICS AND
SPACE ADMINISTRATION
48 CFR Part 13
[FAC 2005–01; FAR Case 2004–034; Item
III]
RIN 9000–AK11
Federal Acquisition Regulation;
Extension of Authority for Use of
Simplified Acquisition Procedures for
Certain Commercial Items, Test
Program
Department of Defense (DoD),
General Services Administration (GSA),
and National Aeronautics and Space
Administration (NASA).
ACTION: Final rule.
AGENCIES:
SUMMARY: The Civilian Agency
Acquisition Council and the Defense
Acquisition Regulations Council
(Councils) have agreed on a final rule
amending the Federal Acquisition
Regulation (FAR) to extend the
timeframe to use the test program for
commercial items.
DATES: Effective Date: April 8, 2005.
FOR FURTHER INFORMATION CONTACT: The
FAR Secretariat at (202) 501–4755 for
information pertaining to status or
publication schedules. For clarification
of content, contact Mr. Michael O.
Jackson, Procurement Analyst, at (202)
208–4949. Please cite FAC 2005–01,
FAR case 2004–034.
SUPPLEMENTARY INFORMATION:
A. Background
This final rule amends the Federal
Acquisition Regulation to implement
Section 817 of the Ronald W. Reagan
National Defense Authorization Act for
Fiscal Year 2005. Section 817 amended
section 4202(e) of the Clinger-Cohen Act
of 1996 (Public Law 104–106) by
extending until January 1, 2008, the
timeframe in which an agency may use
simplified procedures to purchase
commercial items in amounts greater
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GENERAL SERVICES
ADMINISTRATION
NATIONAL AERONAUTICS AND
SPACE ADMINISTRATION
48 CFR Parts 19 and 52
[FAC 2005–01; FAR Case 2004–036; Item
IV]
Department of Defense (DoD),
General Services Administration (GSA),
and National Aeronautics and Space
Administration (NASA).
ACTION: Interim rule with request for
comments.
AGENCIES:
SUMMARY: The Civilian Agency
Acquisition Council and the Defense
Acquisition Regulations Council
(Councils) have agreed on an interim
rule amending the Federal Acquisition
C. Paperwork Reduction Act
Regulation (FAR) regarding the addition
The Paperwork Reduction Act does
of landscaping and pest control services
not apply because the changes to the
to the Small Business Competitiveness
FAR do not impose information
Demonstration Program. This FAR
collection requirements that require the revision implements Section 821 of the
Ronald W. Reagan National Defense
approval of the Office of Management
Authorization Act for Fiscal Year 2005,
and Budget under 44 U.S.C. 3501, et
Public Law 108–375, which amends
seq.
Section 717 of the Small Business
List of Subjects in 48 CFR Part 13
Competitiveness Demonstration
Program Act of 1988 (15 U.S.C. 644
Government procurement.
note) to include landscaping and pest
Dated: February 24, 2005
control services.
Rodney P. Lantier,
DATES: Effective Date: March 9, 2005.
Comment Date: Interested parties
Director,Contract Policy Division.
should submit comments to the FAR
I Therefore, DoD, GSA, and NASA
Secretariat at the address shown below
amend 48 CFR part 13 as set forth below: on or before May 9, 2005 to be
considered in the formulation of a final
PART 13—SIMPLIFIED ACQUISITION
rule.
PROCEDURES
ADDRESSES: Submit comments
identified by FAC 2005–01, FAR case
I 1. The authority citation for 48 CFR
2004–036 by any of the following
part 13 is revised to read as follows:
methods:
Authority: 40 U.S.C. 121(c); 10 U.S.C.
• Federal eRulemaking Portal: https://
chapter 137; and 42 U.S.C. 2473(c).
www.regulations.gov. Follow the
instructions for submitting comments.
13.500 [Amended]
• Agency Web Site: https://
I 2. Amend Section 13.500 in paragraph
www.acqnet.gov/far/ProposedRules/
proposed.htm. Click on the FAR case
(d) by removing ‘‘January 1, 2006’’ and
by adding ‘‘January 1, 2008’’ in its place. number to submit comments.
• E-mail: farcase.2004–036@gsa.gov.
[FR Doc. 05–4086 Filed 3–8–05; 8:45 am]
Include FAC 2005–01, FAR case 2004–
BILLING CODE 6820–EP–S
036 in the subject line of the message.
• Fax: 202–501–4067.
• Mail: General Services
Administration, Regulatory Secretariat
PO 00000
Frm 00006
Fmt 4701
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E:\FR\FM\09MRR2.SGM
09MRR2
Federal Register / Vol. 70, No. 45 / Wednesday, March 9, 2005 / Rules and Regulations
(VIR), 1800 F Street, NW, Room 4035,
ATTN: Laurieann Duarte, Washington,
DC 20405.
Instructions: Please submit comments
only and cite FAC 2005–01, FAR case
2004–036, in all correspondence related
to this case. All comments received will
be posted without change to https://
www.acqnet.gov/far/ProposedRules/
proposed.htm, including any personal
information provided.
FOR FURTHER INFORMATION CONTACT: The
FAR Secretariat at (202) 501–4755, for
information pertaining to status or
publication schedules. For clarification
of content, contact Ms. Kimberly
Marshall, Procurement Analyst, at (202)
219–0986. Please cite FAC 2005–01,
FAR case 2004–036.
SUPPLEMENTARY INFORMATION:
A. Background
This interim rule amends the FAR to
implement Section 821 of the Ronald W.
Reagan National Defense Authorization
Act for Fiscal Year 2005, Public Law
108–375, which amends Section 717 of
the Small Business Competitiveness
Demonstration Program Act of 1988 (15
U.S.C. 644 note). The law amends the
Small Business Competitiveness
Demonstration Program to include
landscaping and pest control services.
The emerging small business reserve
amount for these new services is set at
$25,000.
This is not a significant regulatory
action and, therefore, was not subject to
review under Section 6(b) of Executive
Order 12866, Regulatory Planning and
Review, dated September 30, 1993. This
rule is not a major rule under5 U.S.C.
804.
B. Regulatory Flexibility Act
The changes may have a significant
economic impact on a substantial
number of small entities within the
meaning of the Regulatory Flexibility
Act, 5 U.S.C. 601 et seq., because there
will be additional categories added to
the designated industry groups listed in
FAR 19.1005. This rule adds
landscaping (561730) and pest control
(561710) services to the list of National
American Industry Classification
System (NAICS) codes included as
designated industry groups of the Small
Business Competitiveness
Demonstration Program. The Initial
Regulatory Flexibility Act is
summarized as follows:
The objective of the interim rule is to
further assess the ability of small business
concerns to compete successfully in certain
industry categories without competition
being restricted by the use of small business
set-asides. The implementation of Section
821 of the Ronald W. Reagan National
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Jkt 205001
Defense Authorization Act for Fiscal Year
2005, Public Law 108–375 will change the
FAR as follows: (1) revises the designated
industry groups to include Exterminating and
Pest Control Services and Landscaping
Services in the definition of ‘‘Emerging small
business reserve amount’’ at FAR 19.1002(1)
and in 19.1005(a); (2) deletes the word ‘‘four’’
before designated industry groups in the
FAR.
The interim rule will apply to all small
business concerns that compete on Federal
acquisitions falling under NAICS codes
561730 and 561710. Based on
Governmentwide data retrieved from the
Federal Procurement Data System (FPDS) for
the specified NAICS codes, approximately
141 small business concerns were awarded
contracts of $25,000 or more on an
unrestricted basis in Fiscal Year 2002 for
NAICS code 561730. This represents about
88 percent of all contracts awarded with
unrestricted competition for that NAICS
code. In Fiscal Year 2003, there were 116
contracts awarded to small business concerns
on an unrestricted basis, which represents
approximately 81 percent of all contracts
awarded with unrestricted competition for
that NAICS codes. FPDS data also show that
25 small business concerns were awarded
contracts of $25,000 or more on an
unrestricted basis in Fiscal Year 2002 for
NAICS code 561710. This represents about
56 percent of all contracts awarded with
unrestricted competition for that NAICS
code. In Fiscal Year 2003, there were 17
contracts awarded to small business concerns
on an unrestricted basis, which represents
approximately 77 percent of all contracts
awarded with unrestricted competition for
that NAICS codes. It is estimated that small
business concerns will continue to be
successful in winning at least one-half to
three-fourths of awards on an unrestricted
basis when these designated industry groups
are added to the Small Business
Competitiveness Demonstration Programs
given the history of their success in recent
unrestricted competitive government
acquisitions falling under NAICS codes
561730 and 561710. Additional data
retrieved from FPDS show that the number
of small business set-asides for NAICS code
561730 in Fiscal Years 2002 and 2003
combined was approximately 952 and the
number of small business set-asides for
NAICS code 561710 in Fiscal Years 2002 and
2003 combined was approximately 96.
The changes may have a significant
economic impact on a substantial number of
small entities within the meaning of the
Regulatory Flexibility Act, 5.U.S.C. 601, et
seq., because previously set-aside
acquisitions for services falling within
NAICS codes 561730 and 561710 will now be
included in the designated industry groups of
the Small Business Competitiveness
Demonstration Program. FAR 19.1007(b)
states that—
‘‘Solicitations for acquisitions in any of
the designated industry groups that have
an anticipated dollar value greater than
the emerging small business reserve
amount must not be considered for small
business set-asides under Subpart 19.5.
However, agencies may reinstate the use
PO 00000
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Fmt 4701
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11741
of small business set-asides as necessary
to meet their assigned goals, but only
within organizational units that failed to
meet the small business participation
goal. Acquisitions in the designated
industry groups must continue to be
considered for placement under the 8(a)
Program (see Subpart 19.8), the
HUBZone Program (see Subpart 19.13),
and the Service-Disabled Veteran-Owned
Small Business Procurement Program
(see Subpart 19.14).’’
Given the large number of awards made
under these NAICS codes, it is anticipated
that the addition of the 2 NAICS codes to the
Small Business Competitiveness
Demonstration Program will promote an
increased number of opportunities for small
business concerns to develop teaming
arrangements and joint ventures.
The purpose of the Competitiveness
Demonstration Program is to assess the
ability of small businesses to compete
successfully in certain industry categories
without competition being restricted by the
use of small business set-asides. This portion
of the program is limited to the four
designated industry groups listed in FAR
19.1005(a) and will include the addition of
landscaping and pest control services to the
designated industry groups. The interim rule
imposes no reporting, recordkeeping, or other
compliance requirements. The interim rule
does not duplicate, overlap, or conflict with
any other Federal rules. There are no
practical alternatives that will accomplish
the objectives of this interim rule.
The FAR Secretariat has submitted a
copy of the IRFA to the Chief Counsel
for Advocacy of the Small Business
Administration. Interested parties may
obtain a copy from the FAR Secretariat.
The Councils will consider comments
from small entities concerning the
affected FAR Parts 19 and 52 in
accordance with 5 U.S.C. 610. Interested
parties must submit such comments
separately and should cite 5 U.S.C 601,
et seq. (FAC 2005–01, FAR case 2004–
036), in correspondence.
C. Paperwork Reduction Act
The Paperwork Reduction Act does
not apply because the changes to the
FAR do not impose information
collection requirements that require the
approval of the Office of Management
and Budget under 44 U.S.C. 3501, et
seq.
D. Determination to Issue an Interim
Rule
A determination has been made under
the authority of the Secretary of Defense
(DoD), the Administrator of General
Services (GSA), and the Administrator
of the National Aeronautics and Space
Administration (NASA) that urgent and
compelling reasons exist to promulgate
this interim rule without prior
opportunity for public comment. This
action is necessary because the interim
rule includes FAR text revisions
E:\FR\FM\09MRR2.SGM
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Federal Register / Vol. 70, No. 45 / Wednesday, March 9, 2005 / Rules and Regulations
required to implement the recently
enacted Public Law 108–375, Ronald W.
Reagan National Defense Authorization
Act for Fiscal Year 2005 (October 28,
2004), Section 821, which amends
Section 717 of the Small Business
Competitiveness Demonstration
Program Act of 1988 (15 U.S.C. 644
note). However, pursuant to Public Law
98–577 and FAR 1.501, the Councils
will consider public comments received
in response to this interim rule in the
formation of the final rule.
List of Subjects in 48 CFR Parts 19 and
52
Government procurement.
Dated: February 24, 2005
Rodney P. Lantier,
Director,Contract Policy Division.
Therefore, DoD, GSA, and NASA
amend 48 CFR parts 19 and 52 as set
forth below:
I 1. The authority citation for 48 CFR
parts 19 and 52 is revised to read as
follows:
I
completely nonavailable from U.S.
sources, but that the item is not mined,
produced, or manufactured in the
United States in sufficient and
reasonably available commercial
PART 52—SOLICITATION PROVISIONS quantities and of a satisfactory quality.
AND CONTRACT CLAUSES
Therefore, the proposed rule also
emphasized the need to conduct market
I 6. Amend section 52.212–3 by revising
research, appropriate to the
the date of the clause to read ‘‘(MAR
2005)’’ and by removing from paragraphs circumstances, for potential domestic
sources, when acquiring an article on
(c)(8)(i) and (c)(8)(ii) the word ‘‘four’’
the list. The Councils received no
wherever it appears.
comments on the proposed rule and
[FR Doc. 05–4087 Filed 3–8–05; 8:45 am]
have agreed to convert the proposed
BILLING CODE 6820–EP–S
rule to a final rule without change.
This is not a significant regulatory
action and, therefore, was not subject to
DEPARTMENT OF DEFENSE
review under Section 6(b) of Executive
Order 12866, Regulatory Planning and
GENERAL SERVICES
Review, dated September 30, 1993. This
ADMINISTRATION
rule is not a major rule under 5 U.S.C.
804.
NATIONAL AERONAUTICS AND
SPACE ADMINISTRATION
B. Regulatory Flexibility Act
the following places:(a) Section
19.1001(a);(b) Section 19.1003(a) and
(c);(c) Section 19.1007(b) and (c); and(d)
Section 19.1008(a).
48 CFR Part 25
[FAC 2005–01; FAR Case 2003–021; Item
V]
Authority: 40 U.S.C. 121(c); 10 U.S.C.
chapter 137; and 42 U.S.C. 2473(c).
RIN 9000–AJ95
PART 19—SMALL BUSINESS
PROGRAMS
Federal Acquisition Regulation;
Nonavailable Articles-Policy
19.502–2
AGENCIES: Department of Defense (DoD),
General Services Administration (GSA),
and National Aeronautics and Space
Administration (NASA).
ACTION: Final rule.
[Amended]
2. Amend section 19.502–2 in
paragraph (d) by removing the word
‘‘four’’.
I 3. In section 19.1002 revise paragraph
(1) of the definition ‘‘Emerging small
business reserve amount’’ to read as
follows:
I
19.1002
Definitions.
*
*
*
*
*
Emerging small business reserve
amount * * *
(1) $25,000 for construction, refuse
systems and related services, nonnuclear ship repair, landscaping and
pest control services; and
*
*
*
*
*
I 4. Amend section 19.1005 in paragraph
(a) by adding an Item 5 to the ‘‘NAICS
Description’’ to read as follows:
19.1005
Applicability.
(a) * * *
NAICS CODE
NAICS DESCRIPTION
*
*
*
*
*
5. Landscaping and Pest Control
Services
561710
Exterminating and Pest
Control Services
561730
Landscaping Services
*
*
*
*
*
19.1001, 19.1003, 19.1007, and19.1008
[Amended]
5. In addition to the amendments set
forth above, remove the word ‘‘four’’ in
I
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16:48 Mar 08, 2005
Jkt 205001
The Civilian Agency
Acquisition Council and the Defense
Acquisition Regulations Council
(Councils) have agreed on a final rule
amending the Federal Acquisition
Regulation (FAR) to clarify the intent of
the list of items determined to be
nonavailable for purposes of the Buy
American Act, and to emphasize the
need to conduct market research,
appropriate to the circumstances, for
potential domestic sources.
DATES: Effective Date: April 8, 2005.
FOR FURTHER INFORMATION CONTACT The
FAR Secretariat at (202) 501–4755 for
information pertaining to status or
publication schedules. For clarification
of content, contact Ms. Cecelia Davis,
Procurement Analyst, at (202) 219–
0202. Please cite FAC 2005–01, FAR
case 2003–021.
SUPPLEMENTARY INFORMATION:
SUMMARY:
A. Background
DoD, GSA, and NASA published a
proposed rule in the Federal Register at
69 FR 29632, May 24, 2004. The rule
proposed to amend FAR Subpart 25.1 in
order to clarify that being on the list
does not mean that an item is
PO 00000
Frm 00008
Fmt 4701
Sfmt 4700
The Department of Defense, the
General Services Administration, and
the National Aeronautics and Space
Administration certify that this final
rule will not have a significant
economic impact on a substantial
number of small entities within the
meaning of the Regulatory Flexibility
Act, 5 U.S.C. 601, et seq., because it is
a clarification of existing policies,
except for requiring a more proactive
approach to market research by the
Government.
C. Paperwork Reduction Act
The Paperwork Reduction Act does
not apply because the changes to the
FAR do not impose information
collection requirements that require the
approval of the Office of Management
and Budget under 44 U.S.C. 3501, et
seq.
List of Subjects in 48 CFR Part 25
Government procurement.
Dated: February 24, 2005.
Rodney P. Lantier,
Director, Contract Policy Division.
Therefore, DoD, GSA, and NASA
amend 48 CFR part 25 as set forth below:
I
PART 25—FOREIGN ACQUISITION
1. The authority citation for 48 CFR
part 25 is revised to read as follows:
I
Authority: 40 U.S.C. 121(c); 10 U.S.C.
chapter 137; and 42 U.S.C. 2473(c).
2. Amend section 25.103 by revising
paragraph (b) to read as follows:
I
25.103
Exceptions.
*
*
*
*
*
(b) Nonavailability. The Buy
American Act does not apply with
respect to articles, materials, or supplies
E:\FR\FM\09MRR2.SGM
09MRR2
]]>Agencies
[Federal Register Volume 70, Number 45 (Wednesday, March 9, 2005)]
[Rules and Regulations]
[Pages 11740-11742]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 05-4087]
-----------------------------------------------------------------------
DEPARTMENT OF DEFENSE
GENERAL SERVICES ADMINISTRATION
NATIONAL AERONAUTICS AND SPACE ADMINISTRATION
48 CFR Parts 19 and 52
[FAC 2005-01; FAR Case 2004-036; Item IV]
RIN 9000-AK14
Federal Acquisition Regulation; Addition of Landscaping and Pest
Control Services to the Small Business Competitiveness Demonstration
Program
AGENCIES: Department of Defense (DoD), General Services Administration
(GSA), and National Aeronautics and Space Administration (NASA).
ACTION: Interim rule with request for comments.
-----------------------------------------------------------------------
SUMMARY: The Civilian Agency Acquisition Council and the Defense
Acquisition Regulations Council (Councils) have agreed on an interim
rule amending the Federal Acquisition Regulation (FAR) regarding the
addition of landscaping and pest control services to the Small Business
Competitiveness Demonstration Program. This FAR revision implements
Section 821 of the Ronald W. Reagan National Defense Authorization Act
for Fiscal Year 2005, Public Law 108-375, which amends Section 717 of
the Small Business Competitiveness Demonstration Program Act of 1988
(15 U.S.C. 644 note) to include landscaping and pest control services.
DATES: Effective Date: March 9, 2005.
Comment Date: Interested parties should submit comments to the FAR
Secretariat at the address shown below on or before May 9, 2005 to be
considered in the formulation of a final rule.
ADDRESSES: Submit comments identified by FAC 2005-01, FAR case 2004-
036 by any of the following methods:
Federal eRulemaking Portal: https://www.regulations.gov.
Follow the instructions for submitting comments.
Agency Web Site: https://www.acqnet.gov/far/ProposedRules/
proposed.htm. Click on the FAR case number to submit comments.
E-mail: farcase.2004-036@gsa.gov. Include FAC 2005-01, FAR
case 2004-036 in the subject line of the message.
Fax: 202-501-4067.
Mail: General Services Administration, Regulatory
Secretariat
[[Page 11741]]
(VIR), 1800 F Street, NW, Room 4035, ATTN: Laurieann Duarte,
Washington, DC 20405.
Instructions: Please submit comments only and cite FAC 2005-01, FAR
case 2004-036, in all correspondence related to this case. All comments
received will be posted without change to https://www.acqnet.gov/far/
ProposedRules/proposed.htm, including any personal information
provided.
FOR FURTHER INFORMATION CONTACT: The FAR Secretariat at (202) 501-
4755, for information pertaining to status or publication schedules.
For clarification of content, contact Ms. Kimberly Marshall,
Procurement Analyst, at (202) 219-0986. Please cite FAC 2005-01, FAR
case 2004-036.
SUPPLEMENTARY INFORMATION:
A. Background
This interim rule amends the FAR to implement Section 821 of the
Ronald W. Reagan National Defense Authorization Act for Fiscal Year
2005, Public Law 108-375, which amends Section 717 of the Small
Business Competitiveness Demonstration Program Act of 1988 (15 U.S.C.
644 note). The law amends the Small Business Competitiveness
Demonstration Program to include landscaping and pest control services.
The emerging small business reserve amount for these new services is
set at $25,000.
This is not a significant regulatory action and, therefore, was not
subject to review under Section 6(b) of Executive Order 12866,
Regulatory Planning and Review, dated September 30, 1993. This rule is
not a major rule under5 U.S.C. 804.
B. Regulatory Flexibility Act
The changes may have a significant economic impact on a substantial
number of small entities within the meaning of the Regulatory
Flexibility Act, 5 U.S.C. 601 et seq., because there will be additional
categories added to the designated industry groups listed in FAR
19.1005. This rule adds landscaping (561730) and pest control (561710)
services to the list of National American Industry Classification
System (NAICS) codes included as designated industry groups of the
Small Business Competitiveness Demonstration Program. The Initial
Regulatory Flexibility Act is summarized as follows:
The objective of the interim rule is to further assess the
ability of small business concerns to compete successfully in
certain industry categories without competition being restricted by
the use of small business set-asides. The implementation of Section
821 of the Ronald W. Reagan National Defense Authorization Act for
Fiscal Year 2005, Public Law 108-375 will change the FAR as follows:
(1) revises the designated industry groups to include Exterminating
and Pest Control Services and Landscaping Services in the definition
of ``Emerging small business reserve amount'' at FAR 19.1002(1) and
in 19.1005(a); (2) deletes the word ``four'' before designated
industry groups in the FAR.
The interim rule will apply to all small business concerns that
compete on Federal acquisitions falling under NAICS codes 561730 and
561710. Based on Governmentwide data retrieved from the Federal
Procurement Data System (FPDS) for the specified NAICS codes,
approximately 141 small business concerns were awarded contracts of
$25,000 or more on an unrestricted basis in Fiscal Year 2002 for
NAICS code 561730. This represents about 88 percent of all contracts
awarded with unrestricted competition for that NAICS code. In Fiscal
Year 2003, there were 116 contracts awarded to small business
concerns on an unrestricted basis, which represents approximately 81
percent of all contracts awarded with unrestricted competition for
that NAICS codes. FPDS data also show that 25 small business
concerns were awarded contracts of $25,000 or more on an
unrestricted basis in Fiscal Year 2002 for NAICS code 561710. This
represents about 56 percent of all contracts awarded with
unrestricted competition for that NAICS code. In Fiscal Year 2003,
there were 17 contracts awarded to small business concerns on an
unrestricted basis, which represents approximately 77 percent of all
contracts awarded with unrestricted competition for that NAICS
codes. It is estimated that small business concerns will continue to
be successful in winning at least one-half to three-fourths of
awards on an unrestricted basis when these designated industry
groups are added to the Small Business Competitiveness Demonstration
Programs given the history of their success in recent unrestricted
competitive government acquisitions falling under NAICS codes 561730
and 561710. Additional data retrieved from FPDS show that the number
of small business set-asides for NAICS code 561730 in Fiscal Years
2002 and 2003 combined was approximately 952 and the number of small
business set-asides for NAICS code 561710 in Fiscal Years 2002 and
2003 combined was approximately 96.
The changes may have a significant economic impact on a
substantial number of small entities within the meaning of the
Regulatory Flexibility Act, 5.U.S.C. 601, et seq., because
previously set-aside acquisitions for services falling within NAICS
codes 561730 and 561710 will now be included in the designated
industry groups of the Small Business Competitiveness Demonstration
Program. FAR 19.1007(b) states that--
``Solicitations for acquisitions in any of the designated
industry groups that have an anticipated dollar value greater than
the emerging small business reserve amount must not be considered
for small business set-asides under Subpart 19.5. However, agencies
may reinstate the use of small business set-asides as necessary to
meet their assigned goals, but only within organizational units that
failed to meet the small business participation goal. Acquisitions
in the designated industry groups must continue to be considered for
placement under the 8(a) Program (see Subpart 19.8), the HUBZone
Program (see Subpart 19.13), and the Service-Disabled Veteran-Owned
Small Business Procurement Program (see Subpart 19.14).''
Given the large number of awards made under these NAICS codes,
it is anticipated that the addition of the 2 NAICS codes to the
Small Business Competitiveness Demonstration Program will promote an
increased number of opportunities for small business concerns to
develop teaming arrangements and joint ventures.
The purpose of the Competitiveness Demonstration Program is to
assess the ability of small businesses to compete successfully in
certain industry categories without competition being restricted by
the use of small business set-asides. This portion of the program is
limited to the four designated industry groups listed in FAR
19.1005(a) and will include the addition of landscaping and pest
control services to the designated industry groups. The interim rule
imposes no reporting, recordkeeping, or other compliance
requirements. The interim rule does not duplicate, overlap, or
conflict with any other Federal rules. There are no practical
alternatives that will accomplish the objectives of this interim
rule.
The FAR Secretariat has submitted a copy of the IRFA to the Chief
Counsel for Advocacy of the Small Business Administration. Interested
parties may obtain a copy from the FAR Secretariat. The Councils will
consider comments from small entities concerning the affected FAR Parts
19 and 52 in accordance with 5 U.S.C. 610. Interested parties must
submit such comments separately and should cite 5 U.S.C 601, et seq.
(FAC 2005-01, FAR case 2004-036), in correspondence.
C. Paperwork Reduction Act
The Paperwork Reduction Act does not apply because the changes to
the FAR do not impose information collection requirements that require
the approval of the Office of Management and Budget under 44 U.S.C.
3501, et seq.
D. Determination to Issue an Interim Rule
A determination has been made under the authority of the Secretary
of Defense (DoD), the Administrator of General Services (GSA), and the
Administrator of the National Aeronautics and Space Administration
(NASA) that urgent and compelling reasons exist to promulgate this
interim rule without prior opportunity for public comment. This action
is necessary because the interim rule includes FAR text revisions
[[Page 11742]]
required to implement the recently enacted Public Law 108-375, Ronald
W. Reagan National Defense Authorization Act for Fiscal Year 2005
(October 28, 2004), Section 821, which amends Section 717 of the Small
Business Competitiveness Demonstration Program Act of 1988 (15 U.S.C.
644 note). However, pursuant to Public Law 98-577 and FAR 1.501, the
Councils will consider public comments received in response to this
interim rule in the formation of the final rule.
List of Subjects in 48 CFR Parts 19 and 52
Government procurement.
Dated: February 24, 2005
Rodney P. Lantier,
Director,Contract Policy Division.
0
Therefore, DoD, GSA, and NASA amend 48 CFR parts 19 and 52 as set forth
below:
0
1. The authority citation for 48 CFR parts 19 and 52 is revised to read
as follows:
Authority: 40 U.S.C. 121(c); 10 U.S.C. chapter 137; and 42
U.S.C. 2473(c).
PART 19--SMALL BUSINESS PROGRAMS
19.502-2 [Amended]
0
2. Amend section 19.502-2 in paragraph (d) by removing the word
``four''.
0
3. In section 19.1002 revise paragraph (1) of the definition ``Emerging
small business reserve amount'' to read as follows:
19.1002 Definitions.
* * * * *
Emerging small business reserve amount * * *
(1) $25,000 for construction, refuse systems and related services,
non-nuclear ship repair, landscaping and pest control services; and
* * * * *
0
4. Amend section 19.1005 in paragraph (a) by adding an Item 5 to the
``NAICS Description'' to read as follows:
19.1005 Applicability.
(a) * * *
NAICS CODE NAICS DESCRIPTION
* * * * *
5. Landscaping and Pest Control
Services
561710 Exterminating and Pest
Control Services
561730 Landscaping Services
* * * * *
19.1001, 19.1003, 19.1007, and19.1008 [Amended]
0
5. In addition to the amendments set forth above, remove the word
``four'' in the following places:(a) Section 19.1001(a);(b) Section
19.1003(a) and (c);(c) Section 19.1007(b) and (c); and(d) Section
19.1008(a).
PART 52--SOLICITATION PROVISIONS AND CONTRACT CLAUSES
0
6. Amend section 52.212-3 by revising the date of the clause to read
``(MAR 2005)'' and by removing from paragraphs (c)(8)(i) and (c)(8)(ii)
the word ``four'' wherever it appears.
[FR Doc. 05-4087 Filed 3-8-05; 8:45 am]
BILLING CODE 6820-EP-S
