General Services Administration Acquisition Regulation; (GSAR); Electronic Contracting Initiative (ECI), 14182-14185 [2014-05409]
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Federal Register / Vol. 79, No. 49 / Thursday, March 13, 2014 / Rules and Regulations
categorical exclusions to cover actions
that typically do not trigger significant
impacts to the human environment
individually or cumulatively. Agencies
develop environmental assessments
(EA) to evaluate those actions that do
not fit an agency’s categorical exclusion
and for which the need for an EIS is not
readily apparent. At the end of the EA
process, the agency will determine
whether to make a Finding of No
Significant Impact or whether to initiate
the EIS process.
Rulemaking is a major federal action
subject to NEPA. However, FEMA has
categorically excluded certain actions
from the preparation of an EIS or EA,
unless extraordinary circumstances
exist. As applicable here, 44 CFR
10.8(d)(2)(ii) exempts the preparation,
revision, and adoption of regulations
from the preparation of an EA or EIS if
the rule relates to an action that
qualifies for a categorical exclusion.
Administrative actions are categorically
excluded from NEPA. 44 CFR
10.8(d)(2)(i). Because this is a
rulemaking related to an administrative
function and no extraordinary
circumstances exist, no EA or EIS will
be prepared.
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G. Executive Order 13175, Consultation
and Coordination With Indian Tribal
Governments
Executive Order 13175, ‘‘Consultation
and Coordination With Indian Tribal
Governments,’’ (65 FR 67249, Nov. 9,
2000), applies to agency regulations that
have Tribal implications, that is,
regulations that have substantial direct
effects on one or more Indian tribes, on
the relationship between the Federal
Government and Indian Tribes, or on
the distribution of power and
responsibilities between the Federal
Government and Indian Tribes. Under
this Executive Order, to the extent
practicable and permitted by law, no
agency shall promulgate any regulation
that has Tribal implications, that
imposes substantial direct compliance
costs on Indian Tribal governments, and
that is not required by statute, unless
funds necessary to pay the direct costs
incurred by the Indian Tribal
government or the Tribe in complying
with the regulation are provided by the
Federal Government, or the agency
consults with Tribal officials. FEMA has
determined that this rulemaking will
not have tribal implications.
H. Executive Order 13132, Federalism
A rule has implications for federalism
under Executive Order 13132,
‘‘Federalism’’ (64 FR 43255, Aug. 10,
1999), if it has a substantial direct effect
on the States, on the relationship
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between the national government and
the States, or on the distribution of
power and responsibilities among the
various levels of government. This
rulemaking does not have federalism
implications.
I. Executive Order 12898,
Environmental Justice
Under Executive Order 12898, as
amended, ‘‘Federal Actions To Address
Environmental Justice in Minority
Populations and Low-Income
Populations’’ (59 FR 7629, Feb. 16,
1994), FEMA incorporates
environmental justice into its policies
and programs. Executive Order 12898
requires each Federal agency to conduct
its programs, policies, and activities that
substantially affect human health or the
environment, in a manner that ensures
that those programs, policies, and
activities do not have the effect of
excluding persons from participation in,
denying persons the benefit of, or
subjecting persons to discrimination
because of their race, color, national
origin or income level.
No action that FEMA can anticipate
under this rule will have a
disproportionately high and adverse
human health or environmental effect
on any segment of the population.
J. Executive Order 12988, Civil Justice
Reform
This rule meets applicable standards
in sections 3(a) and 3(b)(2) of Executive
Order 12988, ‘‘Civil Justice Reform’’ (61
FR 4729, Feb. 9, 1996), to minimize
litigation, eliminate ambiguity, and
reduce burden.
K. Congressional Review Act
FEMA has sent this final rule to the
Congress and to the Government
Accountability Office under the
Congressional Review of Agency
Rulemaking Act, (‘‘Congressional
Review Act’’), Public Law 104–121, 110
Stat. 847 (Mar. 29, 1996) (5 U.S.C. 801
et seq.). This rule is not a ‘‘major rule’’
within the meaning of the Congressional
Review Act. It will not have an annual
effect on the economy of $100,000,000
or more; it will not result in a major
increase in costs or prices for
consumers, individual industries,
Federal, State, or local government
agencies, or geographic regions; and it
will not have significant adverse effects
on competition, employment,
investment, productivity, innovation, or
on the ability of United States-based
enterprises to compete with foreignbased enterprises in domestic and
export markets.
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List of Subjects in 44 CFR Part 12
Advisory committees.
For the reasons discussed in the
preamble, and under the authority of the
Homeland Security Act of 2002, 6
U.S.C. 101 et seq., and the Federal
Advisory Committee Act, 5 U.S.C. App.,
the Federal Emergency Management
Agency amends 44 CFR Chapter I,
subchapter A, as follows:
PART 12—[REMOVED AND
RESERVED]
1. Remove and reserve part 12,
consisting of §§ 12.1 through 12.19.
■
Dated: March 6, 2014.
W. Craig Fugate,
Administrator, Federal Emergency
Management Agency.
[FR Doc. 2014–05442 Filed 3–12–14; 8:45 am]
BILLING CODE 9111–19–P
GENERAL SERVICES
ADMINISTRATION
48 CFR Parts 501, 538, and 552
[(Change 56); GSAR Case 2012–G501
Docket No. 2013–0006; Sequence No. 1]
RIN 3090–AJ36
General Services Administration
Acquisition Regulation; (GSAR);
Electronic Contracting Initiative (ECI)
Office of Acquisition Policy,
General Services Administration (GSA).
ACTION: Final rule.
AGENCY:
The General Services
Administration (GSA) is issuing a final
rule amending the General Services
Administration Acquisition Regulation
(GSAR) to add a Modifications (Federal
Supply Schedule) clause, and an
Alternate I version of the clause that
will require electronic submission of
modifications under Federal Supply
Schedule (FSS) contracts managed by
GSA. The public reporting burdens
associated with both the basic and
Alternate I clauses are also being
updated.
SUMMARY:
DATES:
Effective: April 14, 2014.
Ms.
Dana Munson, General Services
Acquisition Policy Division, GSA, 202–
357–9652 or email Dana.Munson@
gsa.gov, for clarification of content. For
information pertaining to status or
publication schedules, contact the
Regulatory Secretariat (MVCB), 1800 F
Street NW., Washington, DC 20405,
202–501–4755. Please cite GSAR case
2012–G501.
SUPPLEMENTARY INFORMATION:
FOR FURTHER INFORMATION CONTACT:
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A. Background
GSA published a proposed rule with
a request for public comments in the
Federal Register at 78 FR 31879 on May
28, 2013, to amend the GSAR to add
clause 552.243–81 Modifications
(Federal Supply Schedule), and an
Alternate I version of the clause that
requires electronic submission of
modifications for FSS contracts
managed by GSA.
GSAR Clause 552.243–81,
Modifications (Federal Supply
Schedule) will replace 552.243–72,
Modifications (Multiple Award
Schedule), which was removed during
the initial GSAR rewrite under GSAR
proposed rule GSAR case 2006–G507
that was published in the Federal
Register at 74 FR 4596 on January 26,
2009. Withdrawal of GSAR case 2006–
G507 was published in the Federal
Register at 77 FR 76446 on December
28, 2012.
The alternate version of the clause
implements and mandates electronic
submission of modifications, and only
applies to FSS contracts managed by
GSA. The alternate version of the clause
links to GSA’s electronic tool, eMod at
https://eoffer.gsa.gov/. Use of eMod will
streamline the modification submission
process for both FSS contractors and
contracting officers.
Use of eMod will establish automated
controls in the modification process that
will ensure contract documentation is
completed and approved by all required
parties. Additionally, eMod will foster
GSA’s Rapid Action Modification
(RAM), which allows contracting
officers to process certain modification
requests to the FSS contract (e.g.,
administrative changes) as unilateral
modifications with no requirement for
contractor signature on the Standard
Form 30, Amendment of Solicitation/
Modification of Contract (SF30).
Current and new FSS contractors will
be required to obtain a digital certificate
in order to comply with submission of
information via eMod. A digital
certificate is an electronic credential
that asserts the identity of an individual
and enables eMod to verify the identity
of the individual entering the system
and signing documents. The certificate
will be valid for a period of two years,
after which, contractors must renew the
certificate at the associated cost during
that time. At present, two FSS vendors
are authorized to issue digital
certificates that facilitate the use of
eMod, at a price of $119 per issuance
and at renewals every two years. Having
a digital certificate creates digital
signatures which are verifiable. GSA has
developed training on eMod, and
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obtaining a digital certificate. This
information is posted on GSA’s eOffer
Web site at https://eoffer.gsa.gov.
The Department of Veterans Affairs
(VA) does not have access to eMod, and
is therefore not required to comply with
the requirements of the Alternate I
version of GSAR clause 552.238–81,
Modifications (Federal Supply
Schedule). VA will continue to utilize
the basic version of the clause in
management of their FSS contracts.
GSA is in the process of rewriting
each part of the GSAR and GSAM, and
as each GSAR part is rewritten, GSA
will publish it in the Federal Register
for comments. This rule, Electronic
Contracting Initiative (Modifications), is
included in the rewrite of GSAR Part
538, Federal Supply Schedule
Contracting.
One respondent submitted a comment
in response to the proposed rule. The
comment is addressed in the Discussion
and Analysis section below of this rule.
II. Discussion and Analysis
The General Services Administration
reviewed the comment in the
development of this final rule. The
commenter requested GSA contact them
regarding ‘‘accountability of Chevron
contract #1’’, in which they have
‘‘percent interest in these assets.’’ GSA
contacted the commenter to follow-up
on their request. Based on the telephone
discussion, it was determined that the
commenter wanted GSA to address
accountability within the partnership
agreement. The comment received was
outside the scope of this case; therefore,
no changes were made to the final rule.
III. 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.
IV. Regulatory Flexibility Act
The General Services Administration
does not expect this proposed rule to
have a significant economic impact on
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14183
a substantial number of small entities
within the meaning of the Regulatory
Flexibility Act, 5 U.S.C. 601, et seq.,
because the proposed rule will
implement a streamlined, electronic
process for submission and processing
of modification requests pertaining to
FSS contracts managed by GSA.
However, small businesses will be
positively impacted by this initiative in
that the process for submitting
information is simplified, more
structured and easy to use, and
processing time is significantly reduced.
For example, submission of a paper
modification request is often a labor
intensive process that involves repeated
exchanges of information via standard
mail and/or facsimile. The electronic
process will include controls to prevent
submission of incomplete requests that
require follow-up.
Contractors will be able to offer the
latest products and services to the
Federal Government faster and more
often due to this streamlined
submission process.
Contractors will be required to obtain
a digital certificate in order to comply
with the eMod requirement. The cost of
the digital certificate will impose some
economic impact on all contractors,
both small and other than small, doing
business under Federal Supply
Schedule contracts managed by GSA.
Therefore, a Final Regulatory Flexibility
Analysis (FRFA) has been prepared
consistent with 5 U.S.C. 603, and is
summarized as follows:
The General Services Administration
(GSA) is proposing to amend the General
Services Administration Acquisition
Regulation (GSAR) to add clause 552.238–81,
Modifications (Federal Supply Schedule)
back into the GSAR, and an alternate version
of the clause that requires electronic
submission of modifications for Federal
Supply Schedule (FSS) contracts managed by
GSA via eMod. The addition of the basic
clause is an administrative change that
reinstates a previous clause inadvertently
removed from the GSAR. The alternate clause
has never received public comment.
The alternate version of this clause
mandates electronic submission of
modifications through GSA’s electronic tool,
eMod. Use of eMod establishes automated
controls in the modification process that will
ensure contract documentation is completed
and approved by all required parties.
Additionally, eMod will foster Rapid Action
Modification (RAM), which allows
contracting officers to process certain
modifications (e.g., administrative changes)
as unilateral modifications with no
requirement for contractor signature on the
Standard Form 30, Amendment of
Solicitation/Modification of Contract (SF30).
eMod will streamline the process and result
in modification actions being processed more
timely and efficiently.
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In addition to adding automated controls
into the modification process, mandating the
electronic submission of modifications will
support several Federal Acquisition Service
(FAS) initiatives that are currently underway
to enhance the MAS Program’s ability to
transition to a completely electronic
contracting environment. These initiatives
include but are not limited to digitization of
Multiple Award Schedule (MAS) contract
files, Contracts Online, and the Enterprise
Acquisition Solution (EAS).
eMod is consistent with the Electronic
Signatures In Global and National Commerce
Act (E–SIGN), enacted on June 20, 2000, and
the Office of Management and Budget (OMB)
Memoranda M–00–15, Guidance on
Implementing the Electronic Signatures,
dated September 25, 2000.
All of GSA’s FSS contractors (19,000) will
be required to obtain a digital certificate in
order to comply with this requirement.
Approximately 80 percent (15,200) GSA FSS
contracts are held by small businesses. A
digital certificate is an electronic credential
that enables eMod to verify the identity of the
individual entering the system and signing
documents. The certificate will be valid for
a period of two years, after which,
contractors must renew the certificate. At
present, two FSS vendors are authorized to
issue digital certificates that facilitate the use
of eMod, at a price of $119 per issuance. The
alternate version of this requirement does not
apply to FSS contracts managed by the
Department of Veteran Affairs (VA) because
the VA does not utilize or have access to
eMod.
PART 501—GENERAL SERVICES
ADMINISTRATION ACQUISITION
REGULATION SYSTEM
V. Paperwork Reduction Act
(a) General. The Contractor may request a
contract modification by submitting a request
to the Contracting Officer for approval,
except as noted in paragraph (d) of this
clause. At a minimum, every request shall
describe the proposed change(s) and provide
the rationale for the requested change(s).
(b) Types of Modifications. (1) Additional
items/additional SINs. When requesting
additions, the following information must be
submitted:
(i) Information requested in paragraphs (1)
and (2) of the Commercial Sales Practice
Format to add SINs.
(ii) Discount information for the new
items(s) or new SIN(s). Specifically, submit
the information requested in paragraphs 3
through 5 of the Commercial Sales Practice
Format. If this information is the same as the
initial award, a statement to that effect may
be submitted instead.
(iii) Information about the new item(s) or
the item(s) under the new SIN(s) as described
in 552.212–70, Preparation of Offer (Multiple
Award Schedule), is required.
(iv) Delivery time(s) for the new item(s) or
the item(s) under the new SIN(s) must be
submitted in accordance with FAR 552.211–
78, Commercial Delivery Schedule (Multiple
Award Schedule).
(v) Production point(s) for the new item(s)
or the item(s) under the new SIN(s) must be
submitted if required by FAR 52.215–6, Place
of Performance.
The Paperwork Reduction Act (44
U.S.C. chapter 35) does apply; however,
these changes to the GSAR do not
impose additional information
collection requirements to the
paperwork burden previously approved
under the Office of Management and
Budget Control Number 3090–0302,
titled: Modifications (Multiple Award
Schedule): GSAR Part Affected:
552.243–81.
List of Subjects in 48 CFR Parts 501,
538, and 552
Government procurement.
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Dated: March 5, 2014.
Jeffrey Koses,
Senior Procurement Executive, Office of
Acquisition Policy, Office of Governmentwide Policy.
Therefore, GSA amends 48 CFR parts
501, 538, and 552 as set forth below:
1. The authority citation for 48 CFR
parts 501, 538, and 552 continues to
read as follows:
■
Authority: 40 U.S.C. 121(c).
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501.106
[Amended]
2. Amend section 501.106 in the table,
by adding in sequence, GSAR Reference
‘‘552.238–81’’ and its corresponding
OMB Control Number ‘‘3090–0302’’.
■
PART 538—FEDERAL SUPPLY
SCHEDULE CONTRACTING
3. Amend section 538.273 by adding
paragraph (b)(3) to read as follows:
■
538.273
Contract clauses.
*
*
*
*
*
(b) * * *
(3) 552.238–81, Modifications
(Federal Supply Schedule). Use
Alternate I for Federal Supply
Schedules that only accept electronic
modifications.
PART 552—SOLICITATION
PROVISIONS AND CONTRACT
CLAUSES
4. Add section 552.238–81 to read as
follows:
■
552.238–81
Schedule).
Modification (Federal Supply
As prescribed in 538.273(b), insert the
following clause:
Modifications (Federal Supply
Schedule) (APR 2014)
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(vi) Hazardous Material information (if
applicable) must be submitted as required by
FAR 52.223–3 (Alternate I), Hazardous
Material Identification and Material Safety
Data.
(vii) Any information requested by FAR
52.212–3(f), Offeror Representations and
Certifications—Commercial Items, that may
be necessary to assure compliance with FAR
52.225–1, Buy American Act—Balance of
Payments Programs—Supplies.
(2) Deletions. The Contractors shall provide
an explanation for the deletion. The
Government reserves the right to reject any
subsequent offer of the same item or a
substantially equal item at a higher price
during the same contract period, if the
contracting officer finds the higher price to
be unreasonable when compared with the
deleted item.
(3) Price Reduction. The Contractor shall
indicate whether the price reduction falls
under the item (i), (ii), or (iii) of paragraph
(c)(1) of the Price Reductions clause at
552.238–75. If the Price reduction falls under
item (i), the Contractor shall submit a copy
of the dated commercial price list. If the price
reduction falls under item (ii) or (iii), the
Contractor shall submit a copy of the
applicable price list(s), bulletins or letters or
customer agreements which outline the
effective date, duration, terms and conditions
of the price reduction.
(c) Effective dates. The effective date of any
modification is the date specified in the
modification, except as otherwise provided
in the Price Reductions clause at 552.238–75.
(d) Electronic File Updates. The Contractor
shall update electronic file submissions to
reflect all modifications. For additional items
or SINs, the Contractor shall obtain the
Contracting Officer’s approval before
transmitting changes. Contract modifications
will not be made effective until the
Government receives the electronic file
updates. The Contractor may transmit price
reductions, item deletions, and corrections
without prior approval. However, the
Contractor shall notify the Contracting
Officer as set forth in the Price Reductions
clause at 552.238–75.
(e) Amendments to Paper Federal Supply
Schedule Price Lists.
(1) The Contractor must provide
supplements to its paper price lists, reflecting
the most current changes. The Contractor
may either:
(i) Distribute a supplemental paper Federal
Supply Schedule Price List within 15
workdays after the effective date of each
modification.
(ii) Distribute quarterly cumulative
supplements. The period covered by a
cumulative supplement is at the discretion of
the Contractor, but may not exceed three
calendar months from the effective date of
the earliest modification. For example, if the
first modification occurs in February, the
quarterly supplement must cover February–
April, and every three month period after.
The Contractor must distribute each quarterly
cumulative supplement within 15 workdays
from the last day of the calendar quarter.
(2) At a minimum, the Contractor shall
distribute each supplement to those ordering
activities that previously received the basic
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document. In addition, the Contractor shall
submit two copies of each supplement to the
Contracting Officer and one copy to the FSS
Schedule Information Center.
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(End of Clause)
Alternate I (APR2014). As prescribed
in 538.273(b)(3), add the following
paragraph (f) to the basic clause:
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(f) Electronic submission of modification
requests is mandatory via eMod (https://
eOffer.gsa.gov), unless otherwise stated in the
electronic submission standards and
requirements at the Vendor Support Center
Web site (https://vsc.gsa.gov). If the electronic
submissions standards and requirements
information is updated at the Vendor
Support Center Web site, Contractors will be
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notified prior to the effective date of the
change.
[FR Doc. 2014–05409 Filed 3–12–14; 8:45 am]
BILLING CODE 6820–61–P
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]]>Agencies
[Federal Register Volume 79, Number 49 (Thursday, March 13, 2014)]
[Rules and Regulations]
[Pages 14182-14185]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2014-05409]
=======================================================================
-----------------------------------------------------------------------
GENERAL SERVICES ADMINISTRATION
48 CFR Parts 501, 538, and 552
[(Change 56); GSAR Case 2012-G501 Docket No. 2013-0006; Sequence No. 1]
RIN 3090-AJ36
General Services Administration Acquisition Regulation; (GSAR);
Electronic Contracting Initiative (ECI)
AGENCY: Office of Acquisition Policy, General Services Administration
(GSA).
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: The General Services Administration (GSA) is issuing a final
rule amending the General Services Administration Acquisition
Regulation (GSAR) to add a Modifications (Federal Supply Schedule)
clause, and an Alternate I version of the clause that will require
electronic submission of modifications under Federal Supply Schedule
(FSS) contracts managed by GSA. The public reporting burdens associated
with both the basic and Alternate I clauses are also being updated.
DATES: Effective: April 14, 2014.
FOR FURTHER INFORMATION CONTACT: Ms. Dana Munson, General Services
Acquisition Policy Division, GSA, 202-357-9652 or email
Dana.Munson@gsa.gov, for clarification of content. For information
pertaining to status or publication schedules, contact the Regulatory
Secretariat (MVCB), 1800 F Street NW., Washington, DC 20405, 202-501-
4755. Please cite GSAR case 2012-G501.
SUPPLEMENTARY INFORMATION:
[[Page 14183]]
A. Background
GSA published a proposed rule with a request for public comments in
the Federal Register at 78 FR 31879 on May 28, 2013, to amend the GSAR
to add clause 552.243-81 Modifications (Federal Supply Schedule), and
an Alternate I version of the clause that requires electronic
submission of modifications for FSS contracts managed by GSA.
GSAR Clause 552.243-81, Modifications (Federal Supply Schedule)
will replace 552.243-72, Modifications (Multiple Award Schedule), which
was removed during the initial GSAR rewrite under GSAR proposed rule
GSAR case 2006-G507 that was published in the Federal Register at 74 FR
4596 on January 26, 2009. Withdrawal of GSAR case 2006-G507 was
published in the Federal Register at 77 FR 76446 on December 28, 2012.
The alternate version of the clause implements and mandates
electronic submission of modifications, and only applies to FSS
contracts managed by GSA. The alternate version of the clause links to
GSA's electronic tool, eMod at https://eoffer.gsa.gov/. Use of eMod will
streamline the modification submission process for both FSS contractors
and contracting officers.
Use of eMod will establish automated controls in the modification
process that will ensure contract documentation is completed and
approved by all required parties. Additionally, eMod will foster GSA's
Rapid Action Modification (RAM), which allows contracting officers to
process certain modification requests to the FSS contract (e.g.,
administrative changes) as unilateral modifications with no requirement
for contractor signature on the Standard Form 30, Amendment of
Solicitation/Modification of Contract (SF30).
Current and new FSS contractors will be required to obtain a
digital certificate in order to comply with submission of information
via eMod. A digital certificate is an electronic credential that
asserts the identity of an individual and enables eMod to verify the
identity of the individual entering the system and signing documents.
The certificate will be valid for a period of two years, after which,
contractors must renew the certificate at the associated cost during
that time. At present, two FSS vendors are authorized to issue digital
certificates that facilitate the use of eMod, at a price of $119 per
issuance and at renewals every two years. Having a digital certificate
creates digital signatures which are verifiable. GSA has developed
training on eMod, and obtaining a digital certificate. This information
is posted on GSA's eOffer Web site at https://eoffer.gsa.gov.
The Department of Veterans Affairs (VA) does not have access to
eMod, and is therefore not required to comply with the requirements of
the Alternate I version of GSAR clause 552.238-81, Modifications
(Federal Supply Schedule). VA will continue to utilize the basic
version of the clause in management of their FSS contracts.
GSA is in the process of rewriting each part of the GSAR and GSAM,
and as each GSAR part is rewritten, GSA will publish it in the Federal
Register for comments. This rule, Electronic Contracting Initiative
(Modifications), is included in the rewrite of GSAR Part 538, Federal
Supply Schedule Contracting.
One respondent submitted a comment in response to the proposed
rule. The comment is addressed in the Discussion and Analysis section
below of this rule.
II. Discussion and Analysis
The General Services Administration reviewed the comment in the
development of this final rule. The commenter requested GSA contact
them regarding ``accountability of Chevron contract 1'', in
which they have ``percent interest in these assets.'' GSA contacted the
commenter to follow-up on their request. Based on the telephone
discussion, it was determined that the commenter wanted GSA to address
accountability within the partnership agreement. The comment received
was outside the scope of this case; therefore, no changes were made to
the final rule.
III. 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.
IV. Regulatory Flexibility Act
The General Services Administration does not expect this proposed
rule to 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 the proposed rule will implement a
streamlined, electronic process for submission and processing of
modification requests pertaining to FSS contracts managed by GSA.
However, small businesses will be positively impacted by this
initiative in that the process for submitting information is
simplified, more structured and easy to use, and processing time is
significantly reduced. For example, submission of a paper modification
request is often a labor intensive process that involves repeated
exchanges of information via standard mail and/or facsimile. The
electronic process will include controls to prevent submission of
incomplete requests that require follow-up.
Contractors will be able to offer the latest products and services
to the Federal Government faster and more often due to this streamlined
submission process.
Contractors will be required to obtain a digital certificate in
order to comply with the eMod requirement. The cost of the digital
certificate will impose some economic impact on all contractors, both
small and other than small, doing business under Federal Supply
Schedule contracts managed by GSA. Therefore, a Final Regulatory
Flexibility Analysis (FRFA) has been prepared consistent with 5 U.S.C.
603, and is summarized as follows:
The General Services Administration (GSA) is proposing to amend
the General Services Administration Acquisition Regulation (GSAR) to
add clause 552.238-81, Modifications (Federal Supply Schedule) back
into the GSAR, and an alternate version of the clause that requires
electronic submission of modifications for Federal Supply Schedule
(FSS) contracts managed by GSA via eMod. The addition of the basic
clause is an administrative change that reinstates a previous clause
inadvertently removed from the GSAR. The alternate clause has never
received public comment.
The alternate version of this clause mandates electronic
submission of modifications through GSA's electronic tool, eMod. Use
of eMod establishes automated controls in the modification process
that will ensure contract documentation is completed and approved by
all required parties. Additionally, eMod will foster Rapid Action
Modification (RAM), which allows contracting officers to process
certain modifications (e.g., administrative changes) as unilateral
modifications with no requirement for contractor signature on the
Standard Form 30, Amendment of Solicitation/Modification of Contract
(SF30). eMod will streamline the process and result in modification
actions being processed more timely and efficiently.
[[Page 14184]]
In addition to adding automated controls into the modification
process, mandating the electronic submission of modifications will
support several Federal Acquisition Service (FAS) initiatives that
are currently underway to enhance the MAS Program's ability to
transition to a completely electronic contracting environment. These
initiatives include but are not limited to digitization of Multiple
Award Schedule (MAS) contract files, Contracts Online, and the
Enterprise Acquisition Solution (EAS).
eMod is consistent with the Electronic Signatures In Global and
National Commerce Act (E-SIGN), enacted on June 20, 2000, and the
Office of Management and Budget (OMB) Memoranda M-00-15, Guidance on
Implementing the Electronic Signatures, dated September 25, 2000.
All of GSA's FSS contractors (19,000) will be required to obtain
a digital certificate in order to comply with this requirement.
Approximately 80 percent (15,200) GSA FSS contracts are held by
small businesses. A digital certificate is an electronic credential
that enables eMod to verify the identity of the individual entering
the system and signing documents. The certificate will be valid for
a period of two years, after which, contractors must renew the
certificate. At present, two FSS vendors are authorized to issue
digital certificates that facilitate the use of eMod, at a price of
$119 per issuance. The alternate version of this requirement does
not apply to FSS contracts managed by the Department of Veteran
Affairs (VA) because the VA does not utilize or have access to eMod.
V. Paperwork Reduction Act
The Paperwork Reduction Act (44 U.S.C. chapter 35) does apply;
however, these changes to the GSAR do not impose additional information
collection requirements to the paperwork burden previously approved
under the Office of Management and Budget Control Number 3090-0302,
titled: Modifications (Multiple Award Schedule): GSAR Part Affected:
552.243-81.
List of Subjects in 48 CFR Parts 501, 538, and 552
Government procurement.
Dated: March 5, 2014.
Jeffrey Koses,
Senior Procurement Executive, Office of Acquisition Policy, Office of
Government-wide Policy.
Therefore, GSA amends 48 CFR parts 501, 538, and 552 as set forth
below:
0
1. The authority citation for 48 CFR parts 501, 538, and 552 continues
to read as follows:
Authority: 40 U.S.C. 121(c).
PART 501--GENERAL SERVICES ADMINISTRATION ACQUISITION REGULATION
SYSTEM
501.106 [Amended]
0
2. Amend section 501.106 in the table, by adding in sequence, GSAR
Reference ``552.238-81'' and its corresponding OMB Control Number
``3090-0302''.
PART 538--FEDERAL SUPPLY SCHEDULE CONTRACTING
0
3. Amend section 538.273 by adding paragraph (b)(3) to read as follows:
538.273 Contract clauses.
* * * * *
(b) * * *
(3) 552.238-81, Modifications (Federal Supply Schedule). Use
Alternate I for Federal Supply Schedules that only accept electronic
modifications.
PART 552--SOLICITATION PROVISIONS AND CONTRACT CLAUSES
0
4. Add section 552.238-81 to read as follows:
552.238-81 Modification (Federal Supply Schedule).
As prescribed in 538.273(b), insert the following clause:
Modifications (Federal Supply Schedule) (APR 2014)
(a) General. The Contractor may request a contract modification
by submitting a request to the Contracting Officer for approval,
except as noted in paragraph (d) of this clause. At a minimum, every
request shall describe the proposed change(s) and provide the
rationale for the requested change(s).
(b) Types of Modifications. (1) Additional items/additional
SINs. When requesting additions, the following information must be
submitted:
(i) Information requested in paragraphs (1) and (2) of the
Commercial Sales Practice Format to add SINs.
(ii) Discount information for the new items(s) or new SIN(s).
Specifically, submit the information requested in paragraphs 3
through 5 of the Commercial Sales Practice Format. If this
information is the same as the initial award, a statement to that
effect may be submitted instead.
(iii) Information about the new item(s) or the item(s) under the
new SIN(s) as described in 552.212-70, Preparation of Offer
(Multiple Award Schedule), is required.
(iv) Delivery time(s) for the new item(s) or the item(s) under
the new SIN(s) must be submitted in accordance with FAR 552.211-78,
Commercial Delivery Schedule (Multiple Award Schedule).
(v) Production point(s) for the new item(s) or the item(s) under
the new SIN(s) must be submitted if required by FAR 52.215-6, Place
of Performance.
(vi) Hazardous Material information (if applicable) must be
submitted as required by FAR 52.223-3 (Alternate I), Hazardous
Material Identification and Material Safety Data.
(vii) Any information requested by FAR 52.212-3(f), Offeror
Representations and Certifications--Commercial Items, that may be
necessary to assure compliance with FAR 52.225-1, Buy American Act--
Balance of Payments Programs--Supplies.
(2) Deletions. The Contractors shall provide an explanation for
the deletion. The Government reserves the right to reject any
subsequent offer of the same item or a substantially equal item at a
higher price during the same contract period, if the contracting
officer finds the higher price to be unreasonable when compared with
the deleted item.
(3) Price Reduction. The Contractor shall indicate whether the
price reduction falls under the item (i), (ii), or (iii) of
paragraph (c)(1) of the Price Reductions clause at 552.238-75. If
the Price reduction falls under item (i), the Contractor shall
submit a copy of the dated commercial price list. If the price
reduction falls under item (ii) or (iii), the Contractor shall
submit a copy of the applicable price list(s), bulletins or letters
or customer agreements which outline the effective date, duration,
terms and conditions of the price reduction.
(c) Effective dates. The effective date of any modification is
the date specified in the modification, except as otherwise provided
in the Price Reductions clause at 552.238-75.
(d) Electronic File Updates. The Contractor shall update
electronic file submissions to reflect all modifications. For
additional items or SINs, the Contractor shall obtain the
Contracting Officer's approval before transmitting changes. Contract
modifications will not be made effective until the Government
receives the electronic file updates. The Contractor may transmit
price reductions, item deletions, and corrections without prior
approval. However, the Contractor shall notify the Contracting
Officer as set forth in the Price Reductions clause at 552.238-75.
(e) Amendments to Paper Federal Supply Schedule Price Lists.
(1) The Contractor must provide supplements to its paper price
lists, reflecting the most current changes. The Contractor may
either:
(i) Distribute a supplemental paper Federal Supply Schedule
Price List within 15 workdays after the effective date of each
modification.
(ii) Distribute quarterly cumulative supplements. The period
covered by a cumulative supplement is at the discretion of the
Contractor, but may not exceed three calendar months from the
effective date of the earliest modification. For example, if the
first modification occurs in February, the quarterly supplement must
cover February-April, and every three month period after. The
Contractor must distribute each quarterly cumulative supplement
within 15 workdays from the last day of the calendar quarter.
(2) At a minimum, the Contractor shall distribute each
supplement to those ordering activities that previously received the
basic
[[Page 14185]]
document. In addition, the Contractor shall submit two copies of
each supplement to the Contracting Officer and one copy to the FSS
Schedule Information Center.
(End of Clause)
Alternate I (APR2014). As prescribed in 538.273(b)(3), add the
following paragraph (f) to the basic clause:
(f) Electronic submission of modification requests is mandatory
via eMod (https://eOffer.gsa.gov), unless otherwise stated in the
electronic submission standards and requirements at the Vendor
Support Center Web site (https://vsc.gsa.gov). If the electronic
submissions standards and requirements information is updated at the
Vendor Support Center Web site, Contractors will be notified prior
to the effective date of the change.
[FR Doc. 2014-05409 Filed 3-12-14; 8:45 am]
BILLING CODE 6820-61-P
