VA Acquisition Regulation: Electronic Submission of Payment Requests, 70708-70710 [2012-28612]
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70708
Federal Register / Vol. 77, No. 228 / Tuesday, November 27, 2012 / Rules and Regulations
DEPARTMENT OF VETERANS
AFFAIRS
48 CFR Parts 832 and 852
RIN 2900–AN97
VA Acquisition Regulation: Electronic
Submission of Payment Requests
Department of Veterans Affairs.
Final rule.
AGENCY:
ACTION:
The Department of Veterans
Affairs (VA) is issuing a final rule to
require contractors to submit payment
requests in electronic form in order to
enhance customer service, departmental
productivity, and adoption of
innovative information technology,
including the appropriate use of
commercial best practices. This
document adopts the proposed rule
published on April 18, 2012, as a final
rule with a non-substantive technical
change.
SUMMARY:
Effective Date: This rule is
effective December 27, 2012.
DATES:
wreier-aviles on DSK5TPTVN1PROD with
FOR FURTHER INFORMATION CONTACT:
James Trudeau, Procurement Policy
Service (003A2A), Office of Acquisition
and Logistics, Department of Veterans
Affairs, 810 Vermont Ave., NW.,
Washington, DC 20420, (202) 461–5661.
(This is not a toll free number.)
SUPPLEMENTARY INFORMATION: On July 7,
2009, VA published a notice, in the
Federal Register at 74 FR 32223, of a
class deviation to Federal Acquisition
Regulation (FAR) 32.905 (48 CFR
32.905), which added an interim
electronic invoicing clause in the VA
Acquisition Regulation (VAAR). The
interim clause encouraged contractors to
voluntarily submit invoices
electronically, which VA determined
would improve the accuracy and
efficiency of payment processing. Under
this interim clause, contractors who
chose to use electronic invoicing had
three options to submit payment
requests in electronic form: (1)
Electronic Invoice Presentment and
Payment System; (2) American National
Standards Institute (ANSI) X12
electronic data interchange (EDI)
formats; or (3) another electronic form
as prescribed by the contract
administration office and the designated
agency office. VA’s notice regarding
interim, optional electronic invoicing
noted VA intended to initiate noticeand-comment rulemaking to amend the
VAAR to make electronic invoicing
mandatory.
On April 18, 2012, VA published a
proposed rule, in the Federal Register at
77 FR 23204, which announced the
intent to require contractors to submit
VerDate Mar<15>2010
13:41 Nov 26, 2012
Jkt 229001
payment requests in electronic form in
order to enhance customer service,
departmental productivity, and
adoption of innovative information
technology, including the appropriate
use of commercial best practices.
We provided a 60-day comment
period for interested parties to submit
comments to VA on or before June 18,
2012. We received no comments.
Based on the rationale set forth in the
proposed rule and this document, we
are adopting the proposed rule as a final
rule without any substantive changes.
We are renumbering proposed subpart
‘‘832.10’’ and VAAR ‘‘832.1001,’’
‘‘832.1002,’’ ‘‘832.1003,’’ ‘‘832.1003–1,’’
and ‘‘832.1003–2’’ to read subpart
‘‘832.70’’ and VAAR ‘‘832.7000,’’
‘‘832.7001,’’ ‘‘832.7002,’’ ‘‘832.7002–1,’’
and ‘‘832.7002–2,’’ respectively, to
ensure the VAAR subpart numbering
does not conflict with the FAR subpart
numbering. We are renumbering
proposed VAAR ‘‘852.273–76’’ to read
‘‘852.232–72’’ to align it with part 832Contract Financing. We are also making
non-substantive conforming changes to
the cross references in proposed VAAR
832.1002(c) (now VAAR 832.7001(c)),
VAAR 832.1003–2 (now VAAR
832.7002–2), and VAAR 852.273–76
(now VAAR 852.232–72).
Executive Orders 12866 and 13563
Executive Orders 12866 and 13563
direct agencies to assess the costs and
benefits of available regulatory
alternatives and, when regulation is
necessary, to select regulatory
approaches that maximize net benefits
(including potential economic,
environmental, public health and safety
effects, and other advantages;
distributive impacts; and equity).
Executive Order 13563 (Improving
Regulation and Regulatory Review)
emphasizes the importance of
quantifying both costs and benefits,
reducing costs, harmonizing rules, and
promoting flexibility. Executive Order
12866 (Regulatory Planning and
Review) defines a ‘‘significant
regulatory action’’ requiring review by
the Office of Management and Budget
(OMB) as ‘‘any regulatory action that is
likely to result in a rule that may: (1)
Have an annual effect on the economy
of $100 million or more or adversely
affect in a material way the economy, a
sector of the economy, productivity,
competition, jobs, the environment,
public health or safety, or State, local,
or tribal governments or communities;
(2) Create a serious inconsistency or
otherwise interfere with an action taken
or planned by another agency; (3)
Materially alter the budgetary impact of
entitlements, grants, user fees, or loan
PO 00000
Frm 00028
Fmt 4700
Sfmt 4700
programs or the rights and obligations of
recipients thereof; or (4) Raise novel
legal or policy issues arising out of legal
mandates, the President’s priorities, or
the principles set forth in this Executive
Order.’’
The economic, interagency,
budgetary, legal, and policy
implications of this regulatory action
have been examined, and it has been
determined not to be a significant
regulatory action under Executive Order
12866.
Regulatory Flexibility Act
The Secretary hereby certifies 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. 601–612. The Secretary
acknowledges that this final rule could
affect some small entities; however, the
economic impact was determined not
significant and is expected to be
outweighed by the positive economic
impact of the final rule. Small entities
should realize a positive economic
impact as a result of electronic invoice
submission due to the avoidance of
traditional invoicing costs such as
postage and mailing supplies. VA’s data
transmission methods for electronic
invoice submission accommodate all
existing accounts receivable/billing
systems that contractors are currently
using to submit electronic invoices to
VA. As a result, no additional hardware
or software purchases by contractors are
necessary to submit electronic invoices.
Additionally, the VA electronic invoice
payment and presentment system is
provided to all contractors free of
charge. No negative economic impact
has been reported by small entities
voluntarily using electronic invoice
submission in accordance with the
existing interim electronic invoicing
clause in the VAAR. In 2006, the U.S.
Government Accountability Office
issued a report to Congressional
Committees titled ‘‘DoD Payments to
Small Businesses: Implementation and
Effective Utilization of Electronic
Invoicing Could Further Reduce Late
Payments’’ (GAO–06–358). The report
confirmed the effectiveness of electronic
invoicing in eliminating paper and
redundant data entry; improving data
accuracy; reducing the number of lost or
misplaced documents; and ultimately,
improving timely payments to small
businesses. Therefore, pursuant to 5
U.S.C. 605(b), this rulemaking is exempt
from the initial and final regulatory
flexibility analysis requirements of
sections 603 and 604.
E:\FR\FM\27NOR1.SGM
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Federal Register / Vol. 77, No. 228 / Tuesday, November 27, 2012 / Rules and Regulations
Paperwork Reduction Act
PART 832—CONTRACT FINANCING
This final rule does not impose any
additional information collection
requirements requiring approval of
OMB under the Paperwork Reduction
Act of 1995, 44 U.S.C. 3501, et seq.
Collections of information referenced in
VAAR Parts 832 and 852 have
previously been approved in accordance
with OMB prompt payment regulations
at 5 CFR part 1315. See 64 FR 52580–
01. Collections relating to the
submission and payment of invoices are
approved under OMB Control Numbers
9000–0070 and 0102, which govern the
submission of adequate documentation
to support contractor requests for
payment.
Unfunded Mandates
The Unfunded Mandates Reform Act
of 1995 requires, at 2 U.S.C. 1532, that
agencies prepare an assessment of
anticipated costs and benefits before
issuing any rule that may result in an
expenditure by State, local, and tribal
governments, in the aggregate, or by the
private sector, of $100 million or more
(adjusted annually for inflation) in any
one year. This final rule will have no
such effect on State, local, and tribal
governments, or on the private sector.
Catalog of Federal Domestic Assistance
There is no Catalog of Federal
Domestic Assistance program number
and title for the program in this final
rule.
Signing Authority
The Secretary of Veterans Affairs, or
designee, approved this document and
authorized the undersigned to sign and
submit the document to the Office of the
Federal Register for publication
electronically as an official document of
the Department of Veterans Affairs. John
R. Gingrich, Chief of Staff, approved this
document on November 20, 2012, for
publication.
List of Subjects
48 CFR Part 832
Government procurement.
48 CFR Part 852
wreier-aviles on DSK5TPTVN1PROD with
Government procurement; Reporting
and recordkeeping requirements.
Dated: November 20, 2012.
Robert C. McFetridge,
Director of Regulation Policy and
Management, Office of the General Counsel,
Department of Veterans Affairs.
For the reasons set forth in the
preamble, the Department of Veterans
Affairs amends 48 CFR chapter 8 as
follows:
VerDate Mar<15>2010
13:41 Nov 26, 2012
Jkt 229001
1. The authority citation for part 832
continues to read as follows:
■
Authority: 40 U.S.C. 121(c) and 48 CFR
1.301–1.304.
2. Add subpart 832.70 to read as
follows:
■
Subpart 832.70—Electronic Invoicing
Requirements
832.7000 General.
832.7001 Definitions.
832.7002 Electronic payment requests.
832.7002–1 Data transmission.
832.7002–2 Contract clause.
Subpart 832.70—Electronic Invoicing
Requirements
832.7000
General.
This subpart prescribes requirements
and procedures for submitting and
processing payment requests in
electronic form.
832.7001
Definitions.
As used in this subpart:
(a) Contract financing payment has
the meaning given in FAR 32.001.
(b) Designated agency office has the
meaning given in 5 CFR 1315.2(m).
(c) Electronic form means an
automated system transmitting
information electronically according to
the accepted electronic data
transmission methods identified in
VAAR 832.7002–1. Facsimile, email,
and scanned documents are not
acceptable electronic forms for
submission of payment requests.
(d) Invoice payment has the meaning
given in FAR 32.001.
(e) Payment request means any
request for contract financing payment
or invoice payment submitted by a
contractor under a contract.
832.7002
processing of payment requests could
compromise the safeguarding of
classified or privacy information;
(3) Contracts awarded by contracting
officers in the conduct of emergency
operations, such as responses to
national emergencies;
(4) Solicitations or contracts in which
the designated agency office is a VA
entity other than the VA Financial
Services Center in Austin, Texas; or
(5) Solicitations or contracts in which
the VA designated agency office does
not have electronic invoicing capability
as described above.
832.7002–1
Data transmission.
The contractor shall submit electronic
payment requests through:
(a) VA’s Electronic Invoice
Presentment and Payment System (See
Web site at https://www.fsc.va.gov/
einvoice.asp.); or,
(b) A system that conforms to the X12
electronic data interchange (EDI)
formats established by the Accredited
Standards Center (ASC) chartered by the
American National Standards Institute
(ANSI). The X12 EDI Web site (https://
www.x12.org) includes additional
information on EDI 810 and 811
formats.
832.7002–2
Contract clause.
The contracting officer shall insert the
clause at 852.232–72, Electronic
submission of payment requests, in all
solicitations and contracts.
PART 852—SOLICITATION
PROVISIONS AND CONTRACT
CLAUSES
3. The authority citation for part 852
continues to read as follows:
■
Authority: 38 U.S.C. 501, 8127, 8128, and
8151–8153; 40 U.S.C. 121(c) and 48 CFR
1.301–1.304.
Electronic payment requests.
(a) The contractor shall submit
payment requests in electronic form
unless directed by the contracting
officer to submit payment requests by
mail. Purchases paid with a
Government-wide commercial purchase
card are considered to be an electronic
transaction for purposes of this rule, and
therefore no additional electronic
invoice submission is required.
(b) The contracting officer may direct
the contractor to submit payment
requests by mail, through the United
States Postal Service, to the designated
agency office for:
(1) Awards made to foreign vendors
for work performed outside the United
States;
(2) Classified contracts or purchases
when electronic submission and
PO 00000
70709
Frm 00029
Fmt 4700
Sfmt 4700
Subpart 852.2—Texts of Provisions
and Clauses
4. Add 852.232–72 to subpart 852.2 to
read as follows:
■
852.232–72 Electronic submission of
payment requests.
As prescribed in 832.7002–2, insert
the following clause:
Electronic Submission of Payment
Requests (NOV 2012)
(a) Definitions. As used in this clause—
(1) Contract financing payment has the
meaning given in FAR 32.001.
(2) Designated agency office has the
meaning given in 5 CFR 1315.2(m).
(3) Electronic form means an automated
system transmitting information
electronically according to the accepted
E:\FR\FM\27NOR1.SGM
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70710
Federal Register / Vol. 77, No. 228 / Tuesday, November 27, 2012 / Rules and Regulations
wreier-aviles on DSK5TPTVN1PROD with
electronic data transmission methods and
formats identified in paragraph (c) of this
clause. Facsimile, email, and scanned
documents are not acceptable electronic
forms for submission of payment requests.
(4) Invoice payment has the meaning given
in FAR 32.001.
(5) Payment request means any request for
contract financing payment or invoice
payment submitted by the contractor under
this contract.
(b) Electronic payment requests. Except as
provided in paragraph (e) of this clause, the
contractor shall submit payment requests in
electronic form. Purchases paid with a
Government-wide commercial purchase card
are considered to be an electronic transaction
for purposes of this rule, and therefore no
additional electronic invoice submission is
required.
(c) Data transmission. A contractor must
ensure that the data transmission method and
format are through one of the following:
(1) VA’s Electronic Invoice Presentment
and Payment System. (See Web site at
https://www.fsc.va.gov/einvoice.asp.)
(2) Any system that conforms to the X12
electronic data interchange (EDI) formats
established by the Accredited Standards
Center (ASC) and chartered by the American
National Standards Institute (ANSI). The X12
EDI Web site (https://www.x12.org) includes
additional information on EDI 810 and 811
formats.
(d) Invoice requirements. Invoices shall
comply with FAR 32.905.
(e) Exceptions. If, based on one of the
circumstances below, the contracting officer
directs that payment requests be made by
mail, the contractor shall submit payment
requests by mail through the United States
Postal Service to the designated agency
office. Submission of payment requests by
mail may be required for:
(1) Awards made to foreign vendors for
work performed outside the United States;
(2) Classified contracts or purchases when
electronic submission and processing of
payment requests could compromise the
safeguarding of classified or privacy
information;
(3) Contracts awarded by contracting
officers in the conduct of emergency
operations, such as responses to national
emergencies;
(4) Solicitations or contracts in which the
designated agency office is a VA entity other
than the VA Financial Services Center in
Austin, Texas; or
(5) Solicitations or contracts in which the
VA designated agency office does not have
electronic invoicing capability as described
above.
(End of clause)
[FR Doc. 2012–28612 Filed 11–26–12; 8:45 am]
BILLING CODE 8320–01–P
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13:41 Nov 26, 2012
Jkt 229001
DEPARTMENT OF TRANSPORTATION
National Highway Traffic Safety
Administration
49 CFR Part 578
[Docket No. NHTSA–2012–0131; Notice 2]
RIN 2127–AL16
Civil Penalties
National Highway Traffic
Safety Administration (NHTSA), DOT.
ACTION: Final rule.
AGENCY:
This document increases the
maximum civil penalty amounts for
violations of motor vehicle safety
requirements for the National Traffic
and Motor Vehicle Safety Act, as
amended, and violations of bumper
standards and consumer information
provisions. Specifically, this increases
the maximum civil penalty amounts for
single violations of motor vehicle safety
requirements, a series of related
violations of school bus and equipment
safety requirements, a series of related
violations of bumper standards, and a
series of related violations of consumer
information regarding crashworthiness
and damage susceptibility requirements.
This action is taken pursuant to the
Federal Civil Monetary Penalty Inflation
Adjustment Act of 1990, as amended by
the Debt Collection Improvement Act of
1996, which requires us to review and,
as warranted, adjust penalties based on
inflation at least every four years.
DATES: This rule is effective December
27, 2012.
ADDRESSES: Any petitions for
reconsideration should refer to the
docket number of this document and be
submitted to: Administrator, National
Highway Traffic Safety Administration,
1200 New Jersey Avenue SE, West
Building, Fourth Floor, Washington, DC
20590.
FOR FURTHER INFORMATION CONTACT:
Matthew Weisman, Office of Chief
Counsel, NHTSA, telephone (202) 366–
5834, facsimile (202) 366–3820, 1200
New Jersey Ave, SE., Washington, DC
20590.
SUMMARY:
SUPPLEMENTARY INFORMATION:
I. Background
In order to preserve the remedial
impact of civil penalties and to foster
compliance with the law, the Federal
Civil Monetary Penalty Inflation
Adjustment Act of 1990 (28 U.S.C. 2461
Notes, Pub. L. 101–410), as amended by
the Debt Collection Improvement Act of
1996 (Pub. L. 104–134) (referred to
collectively as the ‘‘Adjustment Act’’ or,
PO 00000
Frm 00030
Fmt 4700
Sfmt 4700
in context, the ‘‘Act’’), requires us and
other Federal agencies to adjust civil
penalties for inflation. Under the
Adjustment Act, following an initial
adjustment that was capped by the Act,
these agencies must make further
adjustments, as warranted, to the
amounts of penalties in statutes they
administer at least once every four
years.
NHTSA’s initial adjustment of civil
penalties under the Adjustment Act was
published on February 4, 1997. 62 FR
5167. At that time, we codified the
penalties under statutes administered by
NHTSA, as adjusted, in 49 CFR part
578, Civil Penalties. Thereafter, we
adjusted certain penalties based on the
Adjustment Act and codified others
based on other laws including the
Transportation Recall Enhancement,
Accountability, and Documentation Act.
On May 16, 2006, NHTSA last
adjusted the maximum civil penalty for
a single violation of the Motor Vehicle
Safety Act, sections 30112, 30115,
30117 through 30122, 30123, 30125(c),
30127, or 30141 through 30147 of Title
49 of the United States Code or a
regulation thereunder, as specified in 49
CFR 578.6(a)(1) from $5,000 to $6,000.
71 FR 28279. At the same time, the
agency adjusted the maximum civil
penalty for a single violation of the
Motor Vehicle Safety Act, section 30166
of Title 49 of the United States Code or
a regulation thereunder, to $6,000.
On February 10, 2010, NHTSA last
adjusted the maximum civil penalty for
a related series of violations of the
Motor Vehicle Safety Act as amended
involving school buses and school bus
equipment, section 30112(a)(1) as it
involves school buses and school bus
equipment and section 30112(a)(2) of
Title 49 of the United States Code, as
specified in 49 CFR 578.6(a)(2) from
$15,000,000 to $16,650,000. 75 FR 5246.
Also on February 10, 2010, NHTSA
last adjusted the maximum civil penalty
for a related series of violations of
bumper standards, section 32506 of
Title 49 of the United States Code, as
specified in 49 CFR 578.6(c)(2) from
$1,025,000 to $1,175,000. 75 FR 5246. In
addition, on February 10, 2010, NHTSA
last adjusted the maximum civil penalty
for a related series of violations of
consumer information requirements
regarding crashworthiness and damage
susceptibility, section 32308 of Title 49
of the United States Code, as specified
in 49 CFR 578.6(d)(1) from $500,000 to
$575,000. 75 FR 5246.
We have reviewed the civil penalty
amounts in 49 CFR part 578 and on
September 7, 2012, published a NPRM
initiating this rulemaking to adjust
E:\FR\FM\27NOR1.SGM
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]]>Agencies
[Federal Register Volume 77, Number 228 (Tuesday, November 27, 2012)]
[Rules and Regulations]
[Pages 70708-70710]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2012-28612]
[[Page 70708]]
=======================================================================
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DEPARTMENT OF VETERANS AFFAIRS
48 CFR Parts 832 and 852
RIN 2900-AN97
VA Acquisition Regulation: Electronic Submission of Payment
Requests
AGENCY: Department of Veterans Affairs.
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: The Department of Veterans Affairs (VA) is issuing a final
rule to require contractors to submit payment requests in electronic
form in order to enhance customer service, departmental productivity,
and adoption of innovative information technology, including the
appropriate use of commercial best practices. This document adopts the
proposed rule published on April 18, 2012, as a final rule with a non-
substantive technical change.
DATES: Effective Date: This rule is effective December 27, 2012.
FOR FURTHER INFORMATION CONTACT: James Trudeau, Procurement Policy
Service (003A2A), Office of Acquisition and Logistics, Department of
Veterans Affairs, 810 Vermont Ave., NW., Washington, DC 20420, (202)
461-5661. (This is not a toll free number.)
SUPPLEMENTARY INFORMATION: On July 7, 2009, VA published a notice, in
the Federal Register at 74 FR 32223, of a class deviation to Federal
Acquisition Regulation (FAR) 32.905 (48 CFR 32.905), which added an
interim electronic invoicing clause in the VA Acquisition Regulation
(VAAR). The interim clause encouraged contractors to voluntarily submit
invoices electronically, which VA determined would improve the accuracy
and efficiency of payment processing. Under this interim clause,
contractors who chose to use electronic invoicing had three options to
submit payment requests in electronic form: (1) Electronic Invoice
Presentment and Payment System; (2) American National Standards
Institute (ANSI) X12 electronic data interchange (EDI) formats; or (3)
another electronic form as prescribed by the contract administration
office and the designated agency office. VA's notice regarding interim,
optional electronic invoicing noted VA intended to initiate notice-and-
comment rulemaking to amend the VAAR to make electronic invoicing
mandatory.
On April 18, 2012, VA published a proposed rule, in the Federal
Register at 77 FR 23204, which announced the intent to require
contractors to submit payment requests in electronic form in order to
enhance customer service, departmental productivity, and adoption of
innovative information technology, including the appropriate use of
commercial best practices.
We provided a 60-day comment period for interested parties to
submit comments to VA on or before June 18, 2012. We received no
comments.
Based on the rationale set forth in the proposed rule and this
document, we are adopting the proposed rule as a final rule without any
substantive changes. We are renumbering proposed subpart ``832.10'' and
VAAR ``832.1001,'' ``832.1002,'' ``832.1003,'' ``832.1003-1,'' and
``832.1003-2'' to read subpart ``832.70'' and VAAR ``832.7000,''
``832.7001,'' ``832.7002,'' ``832.7002-1,'' and ``832.7002-2,''
respectively, to ensure the VAAR subpart numbering does not conflict
with the FAR subpart numbering. We are renumbering proposed VAAR
``852.273-76'' to read ``852.232-72'' to align it with part 832-
Contract Financing. We are also making non-substantive conforming
changes to the cross references in proposed VAAR 832.1002(c) (now VAAR
832.7001(c)), VAAR 832.1003-2 (now VAAR 832.7002-2), and VAAR 852.273-
76 (now VAAR 852.232-72).
Executive Orders 12866 and 13563
Executive Orders 12866 and 13563 direct agencies to assess the
costs and benefits of available regulatory alternatives and, when
regulation is necessary, to select regulatory approaches that maximize
net benefits (including potential economic, environmental, public
health and safety effects, and other advantages; distributive impacts;
and equity). Executive Order 13563 (Improving Regulation and Regulatory
Review) emphasizes the importance of quantifying both costs and
benefits, reducing costs, harmonizing rules, and promoting flexibility.
Executive Order 12866 (Regulatory Planning and Review) defines a
``significant regulatory action'' requiring review by the Office of
Management and Budget (OMB) as ``any regulatory action that is likely
to result in a rule that may: (1) Have an annual effect on the economy
of $100 million or more or adversely affect in a material way the
economy, a sector of the economy, productivity, competition, jobs, the
environment, public health or safety, or State, local, or tribal
governments or communities; (2) Create a serious inconsistency or
otherwise interfere with an action taken or planned by another agency;
(3) Materially alter the budgetary impact of entitlements, grants, user
fees, or loan programs or the rights and obligations of recipients
thereof; or (4) Raise novel legal or policy issues arising out of legal
mandates, the President's priorities, or the principles set forth in
this Executive Order.''
The economic, interagency, budgetary, legal, and policy
implications of this regulatory action have been examined, and it has
been determined not to be a significant regulatory action under
Executive Order 12866.
Regulatory Flexibility Act
The Secretary hereby certifies 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. 601-612.
The Secretary acknowledges that this final rule could affect some small
entities; however, the economic impact was determined not significant
and is expected to be outweighed by the positive economic impact of the
final rule. Small entities should realize a positive economic impact as
a result of electronic invoice submission due to the avoidance of
traditional invoicing costs such as postage and mailing supplies. VA's
data transmission methods for electronic invoice submission accommodate
all existing accounts receivable/billing systems that contractors are
currently using to submit electronic invoices to VA. As a result, no
additional hardware or software purchases by contractors are necessary
to submit electronic invoices. Additionally, the VA electronic invoice
payment and presentment system is provided to all contractors free of
charge. No negative economic impact has been reported by small entities
voluntarily using electronic invoice submission in accordance with the
existing interim electronic invoicing clause in the VAAR. In 2006, the
U.S. Government Accountability Office issued a report to Congressional
Committees titled ``DoD Payments to Small Businesses: Implementation
and Effective Utilization of Electronic Invoicing Could Further Reduce
Late Payments'' (GAO-06-358). The report confirmed the effectiveness of
electronic invoicing in eliminating paper and redundant data entry;
improving data accuracy; reducing the number of lost or misplaced
documents; and ultimately, improving timely payments to small
businesses. Therefore, pursuant to 5 U.S.C. 605(b), this rulemaking is
exempt from the initial and final regulatory flexibility analysis
requirements of sections 603 and 604.
[[Page 70709]]
Paperwork Reduction Act
This final rule does not impose any additional information
collection requirements requiring approval of OMB under the Paperwork
Reduction Act of 1995, 44 U.S.C. 3501, et seq. Collections of
information referenced in VAAR Parts 832 and 852 have previously been
approved in accordance with OMB prompt payment regulations at 5 CFR
part 1315. See 64 FR 52580-01. Collections relating to the submission
and payment of invoices are approved under OMB Control Numbers 9000-
0070 and 0102, which govern the submission of adequate documentation to
support contractor requests for payment.
Unfunded Mandates
The Unfunded Mandates Reform Act of 1995 requires, at 2 U.S.C.
1532, that agencies prepare an assessment of anticipated costs and
benefits before issuing any rule that may result in an expenditure by
State, local, and tribal governments, in the aggregate, or by the
private sector, of $100 million or more (adjusted annually for
inflation) in any one year. This final rule will have no such effect on
State, local, and tribal governments, or on the private sector.
Catalog of Federal Domestic Assistance
There is no Catalog of Federal Domestic Assistance program number
and title for the program in this final rule.
Signing Authority
The Secretary of Veterans Affairs, or designee, approved this
document and authorized the undersigned to sign and submit the document
to the Office of the Federal Register for publication electronically as
an official document of the Department of Veterans Affairs. John R.
Gingrich, Chief of Staff, approved this document on November 20, 2012,
for publication.
List of Subjects
48 CFR Part 832
Government procurement.
48 CFR Part 852
Government procurement; Reporting and recordkeeping requirements.
Dated: November 20, 2012.
Robert C. McFetridge,
Director of Regulation Policy and Management, Office of the General
Counsel, Department of Veterans Affairs.
For the reasons set forth in the preamble, the Department of
Veterans Affairs amends 48 CFR chapter 8 as follows:
PART 832--CONTRACT FINANCING
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1. The authority citation for part 832 continues to read as follows:
Authority: 40 U.S.C. 121(c) and 48 CFR 1.301-1.304.
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2. Add subpart 832.70 to read as follows:
Subpart 832.70--Electronic Invoicing Requirements
832.7000 General.
832.7001 Definitions.
832.7002 Electronic payment requests.
832.7002-1 Data transmission.
832.7002-2 Contract clause.
Subpart 832.70--Electronic Invoicing Requirements
832.7000 General.
This subpart prescribes requirements and procedures for submitting
and processing payment requests in electronic form.
832.7001 Definitions.
As used in this subpart:
(a) Contract financing payment has the meaning given in FAR 32.001.
(b) Designated agency office has the meaning given in 5 CFR
1315.2(m).
(c) Electronic form means an automated system transmitting
information electronically according to the accepted electronic data
transmission methods identified in VAAR 832.7002-1. Facsimile, email,
and scanned documents are not acceptable electronic forms for
submission of payment requests.
(d) Invoice payment has the meaning given in FAR 32.001.
(e) Payment request means any request for contract financing
payment or invoice payment submitted by a contractor under a contract.
832.7002 Electronic payment requests.
(a) The contractor shall submit payment requests in electronic form
unless directed by the contracting officer to submit payment requests
by mail. Purchases paid with a Government-wide commercial purchase card
are considered to be an electronic transaction for purposes of this
rule, and therefore no additional electronic invoice submission is
required.
(b) The contracting officer may direct the contractor to submit
payment requests by mail, through the United States Postal Service, to
the designated agency office for:
(1) Awards made to foreign vendors for work performed outside the
United States;
(2) Classified contracts or purchases when electronic submission
and processing of payment requests could compromise the safeguarding of
classified or privacy information;
(3) Contracts awarded by contracting officers in the conduct of
emergency operations, such as responses to national emergencies;
(4) Solicitations or contracts in which the designated agency
office is a VA entity other than the VA Financial Services Center in
Austin, Texas; or
(5) Solicitations or contracts in which the VA designated agency
office does not have electronic invoicing capability as described
above.
832.7002-1 Data transmission.
The contractor shall submit electronic payment requests through:
(a) VA's Electronic Invoice Presentment and Payment System (See Web
site at https://www.fsc.va.gov/einvoice.asp.); or,
(b) A system that conforms to the X12 electronic data interchange
(EDI) formats established by the Accredited Standards Center (ASC)
chartered by the American National Standards Institute (ANSI). The X12
EDI Web site (https://www.x12.org) includes additional information on
EDI 810 and 811 formats.
832.7002-2 Contract clause.
The contracting officer shall insert the clause at 852.232-72,
Electronic submission of payment requests, in all solicitations and
contracts.
PART 852--SOLICITATION PROVISIONS AND CONTRACT CLAUSES
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3. The authority citation for part 852 continues to read as follows:
Authority: 38 U.S.C. 501, 8127, 8128, and 8151-8153; 40 U.S.C.
121(c) and 48 CFR 1.301-1.304.
Subpart 852.2--Texts of Provisions and Clauses
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4. Add 852.232-72 to subpart 852.2 to read as follows:
852.232-72 Electronic submission of payment requests.
As prescribed in 832.7002-2, insert the following clause:
Electronic Submission of Payment Requests (NOV 2012)
(a) Definitions. As used in this clause--
(1) Contract financing payment has the meaning given in FAR
32.001.
(2) Designated agency office has the meaning given in 5 CFR
1315.2(m).
(3) Electronic form means an automated system transmitting
information electronically according to the accepted
[[Page 70710]]
electronic data transmission methods and formats identified in
paragraph (c) of this clause. Facsimile, email, and scanned
documents are not acceptable electronic forms for submission of
payment requests.
(4) Invoice payment has the meaning given in FAR 32.001.
(5) Payment request means any request for contract financing
payment or invoice payment submitted by the contractor under this
contract.
(b) Electronic payment requests. Except as provided in paragraph
(e) of this clause, the contractor shall submit payment requests in
electronic form. Purchases paid with a Government-wide commercial
purchase card are considered to be an electronic transaction for
purposes of this rule, and therefore no additional electronic
invoice submission is required.
(c) Data transmission. A contractor must ensure that the data
transmission method and format are through one of the following:
(1) VA's Electronic Invoice Presentment and Payment System. (See
Web site at https://www.fsc.va.gov/einvoice.asp.)
(2) Any system that conforms to the X12 electronic data
interchange (EDI) formats established by the Accredited Standards
Center (ASC) and chartered by the American National Standards
Institute (ANSI). The X12 EDI Web site (https://www.x12.org) includes
additional information on EDI 810 and 811 formats.
(d) Invoice requirements. Invoices shall comply with FAR 32.905.
(e) Exceptions. If, based on one of the circumstances below, the
contracting officer directs that payment requests be made by mail,
the contractor shall submit payment requests by mail through the
United States Postal Service to the designated agency office.
Submission of payment requests by mail may be required for:
(1) Awards made to foreign vendors for work performed outside
the United States;
(2) Classified contracts or purchases when electronic submission
and processing of payment requests could compromise the safeguarding
of classified or privacy information;
(3) Contracts awarded by contracting officers in the conduct of
emergency operations, such as responses to national emergencies;
(4) Solicitations or contracts in which the designated agency
office is a VA entity other than the VA Financial Services Center in
Austin, Texas; or
(5) Solicitations or contracts in which the VA designated agency
office does not have electronic invoicing capability as described
above.
(End of clause)
[FR Doc. 2012-28612 Filed 11-26-12; 8:45 am]
BILLING CODE 8320-01-P
