Federal Acquisition Regulation; Inflation Adjustment of Acquisition-Related Thresholds, 70141-70154 [2014-27512]
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Federal Register / Vol. 79, No. 227 / Tuesday, November 25, 2014 / Proposed Rules
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SUPPLEMENTARY INFORMATION:
Dated: November 12, 2014.
Bill Luthans,
Acting Director, Multimedia Planning and
Permitting Division, Region 6.
[FR Doc. 2014–27910 Filed 11–24–14; 8:45 am]
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BILLING CODE 6560–50–P
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DEPARTMENT OF DEFENSE
GENERAL SERVICES
ADMINISTRATION
NATIONAL AERONAUTICS AND
SPACE ADMINISTRATION
48 CFR Parts 1, 2, 3, 4, 6, 7, 8, 9, 10,
12, 13, 15, 16, 17, 19, 22, 25, 26, 28, 32,
42, 50, 52, and 53
[FAR Case 2014–022; Docket No. 2014–
0022; Sequence No. 1]
RIN 9000–AM80
Federal Acquisition Regulation;
Inflation Adjustment of AcquisitionRelated Thresholds
Department of Defense (DoD),
General Services Administration (GSA),
and National Aeronautics and Space
Administration (NASA).
ACTION: Proposed rule.
AGENCY:
DoD, GSA, and NASA are
proposing to amend the Federal
Acquisition Regulation (FAR) to further
implement the inflation adjustment of
acquisition-related dollar thresholds. A
statute requires an adjustment every five
years of acquisition-related thresholds
for inflation using the Consumer Price
Index for all urban consumers, except
for the Construction Wage Rate
Requirements statute (Davis-Bacon Act),
Service Contract Labor Standards
statute, and trade agreements
thresholds. DoD, GSA, and NASA are
also proposing to use the same
methodology to adjust nonstatutory FAR
acquisition-related thresholds in 2015.
DATES: Interested parties should submit
written comments to the Regulatory
Secretariat at one of the addresses
shown below on or before January 26,
2015 to be considered in the formation
of the final rule.
ADDRESSES: Submit comments in
response to FAR Case 2014–022 by any
of the following methods:
• Regulations.gov: https://
www.regulations.gov. Submit comments
via the Federal eRulemaking portal by
searching for ‘‘FAR Case 2014–022’’.
Select the link ‘‘Comment Now’’ that
corresponds with ‘‘FAR Case 2014–
022.’’ Follow the instructions provided
at the ‘‘Comment Now’’ screen. Please
include your name, company name (if
any), and ‘‘FAR Case 2014–022’’ on your
attached document.
• Fax: 202–501–4067.
• Mail: General Services
Administration, Regulatory Secretariat
(MVCB), ATTN: Ms. Flowers, 1800 F
Street NW., 2nd Floor, Washington, DC
20405.
SUMMARY:
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70141
Instructions: Please submit comments
only and cite FAR Case 2014–022, in all
correspondence related to this case. All
comments received will be posted
without change to https://
www.regulations.gov, including any
personal and/or business confidential
information provided.
FOR FURTHER INFORMATION CONTACT: Mr.
Michael O. Jackson, Procurement
Analyst, at 202–208–4949, for
clarification of content. For information
pertaining to status or publication
schedules, contact the Regulatory
Secretariat at 202–501–4755. Please cite
FAR Case 2014–022.
SUPPLEMENTARY INFORMATION:
I. Background
This rule proposes to amend multiple
FAR parts to further implement 41
U.S.C. 1908. Section 1908 requires an
adjustment every five years (on October
1 of each year evenly divisible by five)
of statutory acquisition-related
thresholds for inflation, using the
Consumer Price Index (CPI) for all urban
consumers, except for the Construction
Wage Rate Requirements statute (DavisBacon Act), Service Contract Labor
Standards statute, and trade agreements
thresholds (see FAR 1.109). As a matter
of policy, DoD, GSA, and NASA are also
proposing to use the same methodology
to adjust nonstatutory FAR acquisitionrelated thresholds on October 1, 2015.
This is the third review of FAR
acquisition-related thresholds since the
statute was passed on October 28, 2004
(section 807 of the Ronald W. Reagan
National Defense Authorization Act for
Fiscal Year (FY) 2005). The last review
was conducted under FAR Case 2008–
024 during FY 2010. The final rule was
published in the Federal Register at 75
FR 53129 on August 30, 2010, and was
effective October 1, 2010.
II. Analysis.
A. What is an acquisition-related
threshold?
This case builds on the review of FAR
thresholds in FY 2005 and FY 2010,
using the same interpretation of an
acquisition-related threshold. 41 U.S.C.
1908 is applicable to ‘‘a dollar threshold
that is specified in law as a factor in
defining the scope of the applicability of
a policy, procedure, requirement, or
restriction provided in that law to the
procurement of property or services by
an executive agency, as the FAR Council
determines.’’
There are other thresholds in the FAR
that, while not specified in law,
nevertheless meet all the other criteria.
These thresholds may have their origin
in Executive order or regulation.
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Therefore, the FAR Council has
determined, that in this case,
‘‘acquisition-related threshold’’ has a
broader meaning, i.e., a threshold that is
specified in law, Executive order, or
regulation as a factor in defining the
scope of the applicability of a policy,
procedure, requirement, or restriction
provided in that law, Executive order, or
regulation to the procurement of
property or services by an Executive
agency. DoD, GSA, and NASA conclude
that acquisition-related thresholds are
generally tied to the value of a contract,
subcontract, or modification.
Examples of thresholds that are not
‘‘acquisition-related,’’ as defined in this
case, are thresholds relating to claims,
penalties, withholding, payments,
required levels of insurance, small
business size standards, liquidated
damages, etc. This rule does not address
thresholds that are not acquisitionrelated.
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B. What acquisition-related thresholds
are not subject to escalation adjustment
under this case?
41 U.S.C. 1908 does not permit
escalation of acquisition-related
thresholds established by the
Construction Wage Rate Requirements
statute (Davis Bacon Act), the Service
Contract Labor Standards statute, or the
United States Trade Representative
pursuant to the authority of the Trade
Agreements Act of 1979.
Also, the statute does not authorize
the FAR to escalate thresholds
originating in Executive order or the
implementing agency (such as the
Department of Labor or the Small
Business Administration), unless the
Executive order or agency regulations
are first amended.
C. How do the Defense Acquisition
Regulations Council and the Civilian
Agency Acquisition Council (the
Councils) analyze a statutory
acquisition-related threshold?
If an acquisition-related threshold is
based on statute, the matrix at https://
acquisition.gov/far/facsframe.html
identifies the statute and the statutory
threshold, including the original
threshold and any FAR revisions.
With the exception of thresholds set
by the Construction Wage Rate
Requirements statute (Davis-Bacon Act),
Service Contract Labor Standards
statute, and the United States Trade
Representative pursuant to the authority
of the Trade Agreements Act of 1979, 41
U.S.C. 1908 requires that the FAR
Council adjust the acquisition-related
thresholds for inflation using the CPI for
all urban consumers. Acquisitionrelated thresholds in statutes that were
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in effect on October 1, 2000, are only
subject to escalation from that date
forward. For purposes of this proposed
rule, the matrix includes calculation of
escalation based on the estimated CPI
value for March 2015 (currently
estimated at 243.0) divided by the CPI
for the date of enactment of the statute
or regulation (October 2000, for statutes
enacted prior to October 1, 2000). The
Councils will subsequently adjust as
necessary before issuance of the final
rule.
Once the escalation factor is applied
to the acquisition-related threshold,
then the threshold must be rounded as
follows:
<$10,000 ........................
$10,000–<$100,000 .......
$100,000–<$1,000,000 ..
$1,000,000 or more .......
Nearest
Nearest
Nearest
Nearest
$500.
$5,000.
$50,000.
$500,000.
The calculations in this proposed rule
are all based on the base year amount,
because escalated amounts in the 2010
rule were subject to rounding and using
those amounts as the base would distort
future calculations.
In 2010, some thresholds (e.g.,
$3,000), although subject to inflation
calculation, did not actually change,
because the inflation in 2010 was
insufficient to overcome the rounding
requirements i.e., the escalation factor,
when applied, did not cause the
escalated values to be high enough to
round to the next higher value.
However, in FY 2015, thresholds that
did not escalate in 2010 will now
escalate because of five additional years
of inflation. Likewise, some thresholds
that were escalated in 2010 (e.g.,
$150,000) will not escalate in 2015.
The thresholds for defining a major
system were previously stated in FY
1990 constant dollars for DoD and in FY
1980 constant dollars for civilian
agencies. The 2005 rule converted the
base year for these major system
thresholds to 2004 dollars, that were
then adjusted in October 2005 and also
adjusted in October 2010. Although the
FAR will continue to escalate the major
systems threshold for the civilian
agencies, DoD has determined that for
DoD, the major systems thresholds in
the FAR must be consistent with the
major systems thresholds in DoD
Instruction 5000.02, established in
accordance with the authority in 10
U.S.C. 2302d(c)(1). This allows the
Secretary of Defense to adjust the
amounts (and the base fiscal year)
provided in subsection (a) on the basis
of DoD escalation rates (rather than the
CPI for all urban consumers). The
revised figures were calculated by the
DoD Comptroller, and coordinated with
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the Cost Assessment and Program
Evaluation (CAPE) Office and the DoD
General Counsel. In accordance with 10
U.S.C. 2302d(c)(3), DoD reported these
thresholds to Congress in December
2013.
This proposed rule has been
coordinated with the Department of
Labor and the Small Business
Administration in areas of the
regulation for which they are the lead
agency. As appropriate, any changes to
cost accounting standards (CAS)
thresholds will be coordinated with the
CAS Board and addressed under a
separate case.
D. How do the Councils analyze a
nonstatutory acquisition-related
threshold?
No statutory authorization is required
to escalate thresholds that are policybased within the FAR. For consistency,
escalation of the FAR policy
acquisition-related thresholds is
recommended using the same formula
applied to the statutory thresholds,
unless there is a valid reason for not
doing so.
E. What is the effect of this proposed
rule on the most heavily-used
thresholds?
This rule includes the following
proposed changes to heavily-used
thresholds:
• The micro-purchase threshold of
$3,000 (FAR 2.101) will increase to
$3,500. The Title 41 recodification (Pub.
L. 111–350, enacted January 4, 2011)
relocated the micro-purchase
authorization to 41 U.S.C. 1902, and
raised the micro-purchase threshold to
$3,000 (equivalent to the escalated value
in the FAR). However, as Congress
stated in House Report 111–42, the
recodification statute did not intend to
make any substantive changes, therefore
the inflation calculation will continue to
be calculated based on the October 2000
amount of $2,500, not the January 2011
value of $3,000.
• The simplified acquisition
threshold (FAR 2.101) of $150,000 will
not change.
• The FedBizOpps preaward and
post-award notices (FAR Part 5) remain
at $25,000 because of trade agreements.
• Commercial items test program
ceiling (FAR 13.500) will increase from
$6.5 million to $7 million.
• The cost or pricing data threshold
(FAR 15.403–4) will increase from
$700,000 to $750,000.
• The prime contractor
subcontracting plan (FAR 19.702) floor
will increase from $650,000 to $700,000,
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but the construction threshold of $1.5
million will not change.
• The threshold for reporting first-tier
subcontract information including
executive compensation will increase
from $25,000 to $30,000 (FAR subpart
4.14 and section 52.204–10).
This proposed rule is based on a
projected CPI of 243 for March 2015. If
the actual CPI for March 2015 is higher
than 243, then additional statutory
thresholds may be subject to escalation
in the final rule, even though not
included in the proposed rule.
F. Other Changes in the Rule
• FAR 12.102(g) is being deleted as
obsolete.
• The $30,000 threshold at FAR
13.106–2(c)(2) and (d) returns to
$25,000 to harmonize with the
5.101(a)(1) threshold for synopsizing
preaward notices in FedBizOpps.
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.
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IV. Regulatory Flexibility Act
DoD, GSA, and NASA do not expect
this 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 rule maintains the
status quo by adjusting thresholds for
actual inflationary increases in the CPI.
However, an Initial Regulatory
Flexibility Analysis has been performed
and is summarized as follows:
This rule will amend the Federal
Acquisition Regulation to implement 41
U.S.C. 1908 and to amend other acquisitionrelated dollar thresholds that are based on
policy rather than statute in order to adjust
for the changing value of the dollar. 41 U.S.C.
1908 requires adjustment every five years of
statutory acquisition-related dollar
thresholds, except for Construction Wage
Rate Requirements statute (Davis-Bacon Act),
Service Contract Labor Standards statute, and
trade agreements thresholds. While
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reviewing all statutory acquisition-related
thresholds, this case presented an
opportunity to also review all nonstatutory
acquisition-related thresholds in the FAR
that are based on policy.
The objective of the case is to maintain the
status quo, by adjusting acquisition-related
thresholds for inflation. The legal basis is 41
U.S.C. 1908. The statute does not authorize
the FAR to escalate thresholds originating in
Executive orders or the implementing agency
(such as the Department of Labor or the
Small Business Administration), unless the
Executive order or agency regulations are
first amended.
This rule will have a minimal impact on
small business concerns that submit offers or
are awarded contracts by the Federal
Government. However, most of the threshold
changes proposed in this rule are not
expected to have any significant economic
impact on small business concerns because
the threshold changes are intended to
maintain the status quo by adjusting for
changes in the value of the dollar. Often any
impact will be beneficial, by preventing
burdensome requirements from applying to
more and more acquisitions, as the dollar
loses value.
One threshold change in this rule which
may temporarily impact small business
concerns is the increase in the micropurchase threshold (FAR 2.101) from $3,000
to $3,500. This will temporarily narrow the
dollar range within which acquisitions are
automatically set aside for small business
concerns, because the simplified acquisition
threshold of $150,000 will not increase at
this time. To assess the impact of the increase
in the micro-purchase threshold from $3,000
to $3,500, data was requested from FPDS–
NG. For FY 2013, there were 83,951 contracts
and calls/orders between $3,000 and $3,500,
with a value of $272,567,926. Of these
actions, 34,828 (value of $113,280,333) were
awarded to small business concerns. DoD,
GSA, and NASA expect that many of these
awards will still go to small business
concerns, even if there is no longer a
requirement to automatically set the
procurement aside for small business
concerns.
The rule does not impose any new
reporting, recordkeeping, or compliance
requirements. Changes in thresholds for
approved information collection
requirements are intended to maintain the
status quo and prevent those requirements
from increasing over time.
The rule does not duplicate, overlap, or
conflict with any other Federal rules.
There are no practical alternatives that will
accomplish the objectives of the statute.
The Regulatory Secretariat has
submitted a copy of the IRFA to the
Chief Counsel for Advocacy of the Small
Business Administration. A copy of the
IRFA may be obtained from the
Regulatory Secretariat. DoD, GSA, and
NASA invite comments from small
business concerns and other interested
parties on the expected impact of this
rule on small entities.
DoD, GSA, and NASA will also
consider comments from small entities
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70143
concerning the existing regulations in
subparts affected by the rule in
accordance with 5 U.S.C. 610. Interested
parties must submit such comments
separately and should cite 5 U.S.C. 610
(FAR Case 2014–022), in
correspondence.
V. Paperwork Reduction Act
The Paperwork Reduction Act does
apply. The proposed changes to the FAR
do not impose new information
collection requirements that require the
approval of the Office of Management
and Budget (OMB) under 44 U.S.C.
3501, et seq. By adjusting the thresholds
for inflation, the status quo for the
current information collection
requirements are maintained under the
following OMB clearance numbers:
9000–0006, titled: Subcontracting Plans/
Individual Subcontract Report (SF 294);
9000–0007, titled: Summary
Subcontract Report; 9000–0094, titled:
Debarment and Suspension; 9000–0164,
titled: Contractor Business Ethics
Compliance Program and Disclosure
Requirements; 9000–0177, titled:
Reporting Executive Compensation and
First-tier Subcontract Awards; 1250–
0004, titled: OFCCP Recordkeeping and
Reporting Requirements—38 U.S.C.
4212, Vietnam Era Veterans’
Readjustment Assistance Act of 1974, as
amended; and 1293–0005, titled:
Federal Contractor Veterans
Employment Report, VETS–100/VETS–
100A.
List of Subjects in 48 CFR Parts 1, 2, 3,
4, 6, 7, 8, 9, 10, 12, 13, 15, 16, 17, 19,
22, 25, 26, 28, 32, 42, 50, 52, and 53
Government procurement.
Dated: November 13, 2014.
William Clark,
Acting Director, Office of Government-wide
Acquisition Policy, Office of Acquisition
Policy, Office of Government-wide Policy.
Therefore, DoD, GSA, and NASA
propose amending 48 CFR parts 1, 2, 3,
4, 6, 7, 8, 9, 10, 12, 13, 15, 16, 17, 19,
22, 25, 26, 28, 32, 42, 50, 52, and 53 as
set forth below:
■ 1. The authority citation for 48 CFR
parts 1, 2, 3, 4, 6, 7, 8, 9, 10, 12, 13, 15,
16, 17, 19, 22, 25, 26, 28, 32, 42, 50, 52,
and 53 continues to read as follows:
Authority: 40 U.S.C. 121(c); 10 U.S.C.
chapter 137; and 51 U.S.C. 20113.
PART 1—FEDERAL ACQUISITION
REGULATIONS SYSTEM
1.109
[Amended]
2. Amend section 1.109 by removing
from paragraph (d) ‘‘FAR Case 2008–
024’’ and adding ‘‘FAR Case 2014–022’’
in its place.
■
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4.1401
PART 2—DEFINITIONS OF WORDS
AND TERMS
3. Amend section 2.101, in paragraph
(b)(2) by:
■ a. Revising paragraph (1) of the
definition ‘‘Major System’’;
■ b. In the definition ‘‘Micro-purchase
threshold’’ by removing from the
introductory text ‘‘$3,000’’ and adding
‘‘$3,500’’ in its place, and removing
from paragraph (3)(i) ‘‘$15,000’’ and
adding ‘‘$20,000’’ in its place;
■ c. In the definition ‘‘Simplified
acquisition threshold’’ by removing
from the introductory text ‘‘$150,000,’’
and adding ‘‘$150,000 (41 U.S.C. 134),’’
in its place; removing from paragraph
(1) ‘‘$300,000’’ and adding ‘‘$350,000’’
in its place; and removing from
paragraph (2) ‘‘$1 million’’ and adding
‘‘$1.5 million’’ in its place; and
■ d. In the definition ‘‘Small business
subcontractor’’ by removing from
paragraphs (1) and (2) ‘‘$10,000’’ and
adding ‘‘$15,000’’ in their places.
The revised text reads as follows:
■
2.101
Definitions.
*
*
*
*
*
(b) * * *
(2) * * *
Major system * * *
(1) The Department of Defense is
responsible for the system and the total
expenditures for research, development,
test, and evaluation for the system are
estimated to be more than $185 million
based on Fiscal Year 2014 constant
dollars or the eventual total expenditure
for the acquisition exceeds $835 million
based on Fiscal Year 2014 constant
dollars (or any update of these
thresholds based on a more recent fiscal
year, as specified in the DoD Instruction
5000.02, ‘‘Operation of the Defense
Acquisition System’’);
*
*
*
*
*
PART 3—IMPROPER BUSINESS
PRACTICES AND PERSONAL
CONFLICTS OF INTEREST
3.1004
[Amended]
4. Amend section 3.1004 by removing
from paragraphs (a), (b)(1)(i), and (b)(3)
‘‘$5,000,000’’ and adding ‘‘$5.5 million’’
in their places.
■
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PART 4—ADMINISTRATIVE MATTERS
4.605
[Amended]
5. Amend section 4.605 by removing
from paragraphs (c)(2)(i) and (ii)
‘‘$25,000’’ and adding $30,000’’ in their
places.
■
4.1102
[Amended]
6. Amend section 4.1102 by removing
from paragraph (a)(6) ‘‘$25,000’’ and
adding ‘‘$30,000’’ in its place.
■
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[Amended]
4.1403
Contract clause.
(a) Except as provided in paragraph
(b) of this section, the contracting officer
shall insert the clause at 52.204–10,
Reporting Executive Compensation and
First-Tier Subcontract Awards, in all
solicitations and contracts of $30,000 or
more.
*
*
*
*
*
[Amended]
9. Amend section 6.204 by removing
from paragraph (b) ‘‘$20 million’’ and
adding ‘‘$22.5 million’’ in its place.
[Amended]
10. Amend section 6.302–5 by
removing from paragraphs (b)(4) and
(c)(2)(iii) ‘‘$20 million’’ and adding
‘‘$22.5 million’’ in their places.
■
6.303–1
[Amended]
11. Amend section 6.303–1 by
removing from paragraph (b),
introductory text, ‘‘$20 million’’ and
adding ‘‘$22.5 million’’ in its place.
■
6.303–2
[Amended]
12. Amend section 6.303–2 by
removing from the introductory text of
paragraphs (b) and (d) ‘‘$20 million’’
and adding ‘‘$22.5 million’’ in their
places.
■
6.304
[Amended]
15. Amend section 7.107 by removing
from paragraph (b)(1) ‘‘$94 million’’ and
adding ‘‘$104.5 million’’ in its place;
and removing from paragraph (b)(2)
‘‘$9.4 million’’ and ‘‘$94 million’’ and
adding ‘‘$10.45 million’’ and ‘‘$104.5
million’’ in their places, respectively.
■
PART 8—REQUIRED SOURCES OF
SUPPLIES AND SERVICES
8.404
[Amended]
16. Amend section 8.404 by removing
from paragraph (b)(2) ‘‘$500,000’’ and
adding ‘‘$550,000’’ in its place.
■
6.302–5
7.107
■
PART 6—COMPETITION
REQUIREMENTS
6.204
b. Removing from paragraph
(d)(2)(i)(B) ‘‘$6 million’’ and adding
‘‘$6.5 million’’ in its place.
■
7. Amend section 4.1401 by removing
from paragraph (a) ‘‘$25,000’’ and
adding ‘‘$30,000’’ in its place.
■ 8. Amend section 4.1403 by revising
paragraph (a) to read as follows:
■
[Amended]
13. Amend section 6.304 by:
a. Removing from paragraph (a)(1)
‘‘$650,000’’ and adding ‘‘$700,000’’ in
its place;
■ b. Removing from paragraph (a)(2)
‘‘$650,000’’ and ‘‘$12.5 million’’ and
adding ‘‘$700,000’’ and ‘‘$14 million’’ in
their places, respectively;
■ c. Removing from the introductory
text of paragraph (a)(3) ‘‘$12.5 million’’,
‘‘$62.5 million’’, and ‘‘85.5 million’’ and
adding ‘‘$14 million’’, ‘‘$70 million’’,
and ‘‘$95.5 million’’ in their places,
respectively; and
■ d. Removing from paragraph (a)(4)
‘‘$62.5 million’’ and ‘‘$85.5 million’’
and adding ‘‘$70 million’’ and ‘‘$95.5
million’’ in their places, respectively.
■
■
8.405–3
[Amended]
17. Amend section 8.405–3 by
a. Removing from paragraphs (a)(3)(ii)
and (iii) ‘‘$103 million’’ and adding
‘‘$115 million’’ in their places; and
■ b. Revising paragraph (a)(7)(v).
The revision reads as follows:
(a) * * *
(7) * * *
(v) Determination for a single-award
BPA exceeding $115 million, if
applicable (see paragraph (a)(3)(ii) of
this section);
■
■
8.405–6
[Amended]
18. Amend section 8.405–6 by:
a. Removing from paragraph (d)(1)
‘‘$650,000’’ and adding ‘‘$700,000’’ in
its place;
■ b. Removing from paragraph (d)(2)
‘‘$650,000’’ and ‘‘$12.5 million’’ and
adding ‘‘$700,000’’ and ‘‘$14 million’’ in
their places, respectively;
■ c. Removing from the introductory
text of paragraph (d)(3) ‘‘$12.5 million’’,
‘‘$62.5 million’’, and ‘‘$85.5 million’’,
and adding ‘‘$14 million’’, ‘‘$70
million’’ and ‘‘$95.5 million’’ in their
places, respectively; and
■ d. Removing from paragraph (d)(4)
‘‘$62.5 million’’ and ‘‘$85.5 million’’
and adding ‘‘$70 million’’ and ‘‘$95.5
million’’ in their places, respectively.
■
■
PART 9—CONTRACTOR
QUALIFICATIONS
9.104–5
[Amended]
PART 7—ACQUISITION PLANNING
19. Amend section 9.104–5 by
removing from paragraph (a)(2)
‘‘$3,000’’ and adding ‘‘$3,500’’ in its
place.
7.104
9.104–7
[Amended]
14. Amend section 7.104 by:
a. Removing from paragraph
(d)(2)(i)(A) ‘‘$8 million’’ and adding ‘‘$9
million’’ in its place; and
■
■
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■
[Amended]
20. Amend section 9.104–7 by
removing from paragraphs (b) and (c)(1)
‘‘$500,000’’ and adding ‘‘$550,000’’ in
their places.
■
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Federal Register / Vol. 79, No. 227 / Tuesday, November 25, 2014 / Proposed Rules
9.405–2
[Amended]
21. Amend section 9.405–2 by
removing from paragraph (b) ‘‘$30,000’’
and adding ‘‘$35,000’’ in their places
(twice).
■
9.406–2
[Amended]
13.005
22. Amend section 9.406–2 by
removing from paragraph (b)(1)(v)
‘‘$3,000’’ and adding ‘‘$3,500’’ in its
place.
■
9.407–2
[Amended]
31. Amend section 13.005 by
removing from paragraph (a)(2)
‘‘$30,000’’ and adding ‘‘$35,000’’ in its
place.
■
[Amended]
13.106–1
23. Amend section 9.407–2 by
removing from paragraph (a)(7)
‘‘$3,000’’ and adding ‘‘$3,500’’ in its
place.
■
9.409
adding ‘‘$7 million’’ and ‘‘$13 million’’
in their places, respectively; and
■ c. Removing from paragraph (g)(2)
‘‘$6.5 million’’ and ‘‘$12 million’’ and
adding ‘‘$7 million’’ and ‘‘$13 million’’
in their places, respectively.
[Amended]
32. Amend section 13.106–1 by
removing from paragraphs (c)(2) and (d)
‘‘$30,000’’ and adding ‘‘$25,000’’ in
their places.
■
[Amended]
24. Amend section 9.409 by removing
‘‘$30,000’’ and adding ‘‘$35,000’’ in its
place.
■
13.201
[Amended]
PART 10—MARKET RESEARCH
33. Amend section 13.201 by
removing from paragraph (g)(1)(i)
‘‘$15,000’’ and adding ‘‘$20,000’’ in its
place.
10.001
13.303–5
[Amended]
25. Amend section 10.001 by
removing from paragraph (d) ‘‘$5
million’’ and adding ‘‘$6 million’’ in its
place.
■
10.003
[Amended]
26. Amend section 10.003 by
removing ‘‘$5 million’’ and adding ‘‘$6
million’’ in its place.
■
PART 12—ACQUISITION OF
COMMERCIAL ITEMS
12.102
[Amended]
28. Amend section 12.203 by
removing ‘‘$6.5 million’’ and ‘‘$12
million’’ and adding ‘‘$7 million’’ and
‘‘$13 million’’ in their places,
respectively.
■
[Amended]
29. Amend section 13.000 by
removing ‘‘$6.5 million’’ and ‘‘$12
million’’ and adding ‘‘$7 million’’ and
‘‘$13 million’’ in their places,
respectively.
wreier-aviles on DSK4TPTVN1PROD with PROPOSALS
■
[Amended]
30. Amend section 13.003 by:
a. Removing from paragraph (b)(1)
‘‘$3,000’’, ‘‘$15,000’’, and ‘‘$300,000’’
and adding ‘‘$3,500’’, ‘‘$20,000’’ and
‘‘$350,000’’ in their places, respectively;
■ b. Removing from paragraph (c)(1)(ii)
‘‘$6.5 million’’ and ‘‘$12 million’’ and
■
■
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[Amended]
36. Amend section 13.500 by—
a. Removing from paragraph (a) ‘‘$6.5
million’’ and ‘‘$12 million’’ and adding
‘‘$7 million’’ and ‘‘$13 million’’ in their
places, respectively; and
■ b. Removing from the introductory
text of paragraph (e) ‘‘$12 million’’ and
adding ‘‘$13 million’’ in its place.
■
■
13.501
PART 13—SIMPLIFIED ACQUISITION
PROCEDURES
13.003
35. Amend section 13.402 by
removing from paragraph (a) ‘‘$30,000’’
and adding ‘‘$35,000’’ in its place.
13.500
[Amended]
37. Amend section 13.501 by:
a. Removing from paragraph (a)(2)(i)
‘‘$650,000’’ and adding ‘‘$700,000’’ in
its place;
■ b. Removing from paragraph (a)(2)(ii)
’’$650,000’’ and ‘‘$12.5 million’’ and
adding ‘‘$700,000’’ and ‘‘$14 million’’ in
their places, respectively;
■ c. Removing from paragraph (a)(2)(iii)
‘‘$12.5 million’’, ‘‘$62.5 million’’, and
‘‘$85.5 million’’ and adding ‘‘$14
million’’, ‘‘$70 million’’, and ‘‘$95.5
million’’ in their places, respectively;
and
■ d. Removing from paragraph (a)(2)(iv)
‘‘$62.5 million’’ and ‘‘$85.5 million’’
and adding ‘‘$70 million’’ and ‘‘$95.5
million’’ in their places, respectively.
■
■
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PART 15—CONTRACTING BY
NEGOTIATION
15.403–1
[Amended]
38. Amend section 15.403–1 by
removing from paragraph (c)(3)(iv)
‘‘$17.5 million’’ and adding ‘‘$20
million’’ in its place.
■
15.403–4
[Amended]
39. Amend section 15.403–4 by
removing from the introductory text of
paragraph (a)(1) and paragraph (a)(1)(iii)
‘‘$700,000’’ and adding ‘‘$750,000’’ in
its place.
■
15.404–3
[Amended]
40. Amend section 15.404–3 by
removing from paragraph (c)(1)(i) ‘‘$12.5
million’’ and adding ‘‘$14 million’’ in
its place.
■
15.407–2
[Amended]
41. Amend section 15.407–2 by
removing from paragraph (c)(1) and the
introductory text of paragraph (c)(2)
‘‘$12.5 million’’ and adding ‘‘$14
million’’ in their places.
■
15.408
[Amended]
42. Amend section 15.408 in Table
15–2, ‘‘II. Cost Elements’’ which follows
paragraph (n)(2)(iii), by removing from
paragraph ‘‘A(2)’’ ‘‘$12.5 million’’ and
adding ‘‘$14 million’’ in its place.
■
PART 16—TYPES OF CONTRACTS
[Amended]
■
[Amended]
27. Amend section 12.102 by
removing from the introductory text of
paragraph (f)(2) ‘‘$17.5 million’’ and
adding ‘‘$20 million’’ in its place; and
removing paragraph (g).
13.000
[Amended]
34. Amend section 13.303–5 by:
a. Removing from paragraph (b)(1)
‘‘$6.5 million’’ and ‘‘$12 million’’ and
adding ‘‘$7 million’’ and ‘‘$13 million’’
in their places, respectively; and
■ b. Removing from paragraph (b)(2)
‘‘$6.5 million’’ and ‘‘$12 million’’ and
adding ‘‘$7 million’’ and ‘‘$13 million’’
in their places, respectively.
■
■
13.402
■
12.203
■
70145
Sfmt 4702
16.503
[Amended]
43. Amend section 16.503 by
removing from paragraph (b)(2) ‘‘$103
million’’ and adding ‘‘$115 million’’ in
its place; and removing from paragraph
(d)(1) ‘‘$12.5 million’’ and adding ‘‘$14
million’’ in its place.
■
16.504
[Amended]
44. Amend section 16.504 by:
a. Removing from the introductory
text of paragraph (c)(1)(ii)(D)(1) ‘‘$103
million’’ and adding ‘‘$115 million’’ in
its place;
■ b. Removing from the introductory
text of paragraph (c)(1)(ii)(D)(3) ‘‘$103
million’’ and adding ‘‘$115 million’’ in
its place; and removing from the end of
the paragraph the colon and adding an
em dash in its place;
■ c. Removing from the end of
paragraph (c)(1)(ii)(D)(3)(i) the period
and adding ‘‘; and’’ in its place; and
■ d. Removing from the introductory
text of paragraph (c)(2)(i) ‘‘$12.5
million’’ and adding ‘‘$14 million’’ in
its place.
■
■
16.505
[Amended]
45. Amend section 16.505 by:
a. Removing from the introductory
text of paragraph (a)(4)(iii)(A) ‘‘$25,000’’
and adding ‘‘$30,000’’ in its place;
■
■
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Federal Register / Vol. 79, No. 227 / Tuesday, November 25, 2014 / Proposed Rules
b. Removing from paragraph (b)(1)(i)
‘‘$3,000’’ and adding ‘‘$3,500’’ in its
place;
■ c. Removing from the paragraph
(b)(1)(iv) ‘‘$5 million’’ and ‘‘$5 million’’
and adding ‘‘$5.5 million’’ and ‘‘$5.5
million’’ in their places, respectively;
■ d. Removing from paragraph (b)(2)(i)
‘‘$3,000’’ and adding ‘‘$3,500’’ in its
place;
■ e. Removing from the heading of
paragraph (b)(2)(ii)(A) ‘‘$3,000’’ and
adding ‘‘$3,500’’ in its place;
■ f. Removing from the paragraph
(b)(2)(ii)(C)(1) ‘‘$650,000’’ and adding
‘‘$700,000’’ in its place;
■ g. Removing from paragraph
(b)(2)(ii)(C)(2) ‘‘$650,000’’ and ‘‘$12.5
million’’ and adding ‘‘$700,000’’ and
‘‘14 million’’ in their places,
respectively;
■ h. Removing from paragraph
(b)(2)(ii)(C)(3) ‘‘$12.5 million’’, ‘‘$62.5
million’’, and ‘‘$85.5 million’’ and
adding ‘‘14 million’’, ‘‘70 million’’, and
‘‘95.5 million’’ in their places,
respectively;
■ i. Removing from paragraph
(b)(2)(ii)(C)(4) ‘‘$62.5 million’’ and
‘‘$85.5 million’’ and adding ‘‘70
million’’ and ‘‘95.5 million’’ in their
places, respectively; and
■ j. Removing from the heading of
paragraph (b)(6) ‘‘$5 million’’ and
adding ‘‘$5.5 million’’ in its place; and
removing from the introductory text ‘‘$5
million’’ and adding ‘‘$5.5 million’’ in
its place.
■
16.506
[Amended]
46. Amend section 16.506 by
removing from paragraphs (f) and (g)
‘‘$12.5 million’’ and adding ‘‘$14
million’’ in their places; and removing
from paragraph (h) ‘‘$5 million’’ and
adding ‘‘$6 million’’ in its place.
■
‘‘$15,000’’, and ‘‘$300,000’’ and adding
‘‘$3,500’’, ‘‘$20,000’’, and ‘‘$350,000’’ in
their places, respectively.
19.502–1
19.502–2
51. Amend section 19.502–2 by:
■ a. Removing from paragraph (a)
‘‘$3,000’’, ‘‘$15,000’’, and ‘‘$300,000’’
and adding ‘‘$3,500’’, ‘‘$20,000’’, and
‘‘$350,000’’ in their places, respectively;
and
■ b. Removing from the end of
paragraph (b) ‘‘that:’’ and adding
‘‘that—’’ in its place.
17.500
[Amended]
48. Amend section 17.500 by
removing from paragraph (c)(2)
‘‘$500,000’’ and adding ‘‘$550,000’’ in
its place.
■
[Amended]
49. Amend section 19.203 by
removing from paragraph (b) ‘‘$3,000’’,
■
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22.1310
[Amended]
61. Amend section 22.1310 by
removing from paragraph (a)(1)
‘‘$100,000’’ and adding ‘‘$150,000’’ in
its place.
■
PART 25—FOREIGN ACQUISITION
[Amended]
62. Amend section 25.703–2 by
removing from paragraph (a)(2)
‘‘$3,000’’ and adding ‘‘$3,500’’ in its
place.
25.703–4
[Amended]
[Amended]
63. Amend section 25.703–4 by
removing from paragraphs (c)(5)(ii),
(c)(7)(iii), and (c)(8)(iii) ‘‘$3,000’’ and
adding ‘‘$3,500’’ in their places.
53. Amend section 19.704 by
removing from paragraph (a)(9)
‘‘$650,000’’ and adding ‘‘$700,000’’ in
its place.
■
19.708
PART 26—OTHER SOCIOECONOMIC
PROGRAMS
■
[Amended]
54. Amend section 19.708 by
removing from paragraph (b)(1)
‘‘$650,000’’ and adding ‘‘$700,000’’ in
its place.
■
19.805–1
[Amended]
55. Amend section 19.805–1 by
removing from paragraph (a)(2) ‘‘$6.5
million’’ and adding ‘‘$7 million’’ in its
place.
■
[Amended]
56. Amend section 19.808–1 by
removing from paragraph (a) ‘‘$20
million’’ and adding ‘‘$22.5 million’’ in
its place.
19.1306
[Amended]
57. Amend section 19.1306 by
removing from paragraph (a)(2)(i) ‘‘$6.5
million’’ and adding ‘‘$7 million’’ in its
place.
■
58. Amend section 19.1406 by
removing from paragraph (a)(2)(i) ‘‘$6
million’’ and adding ‘‘$6.5 million’’ in
its place; and removing from paragraph
(a)(2)(ii) ‘‘$3.5 million’’ and adding ‘‘$4
million’’ in its place.
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26.404
[Amended]
64. Amend section 26.404 by
removing ‘‘$25,000’’ and adding
‘‘$30,000’’ in its place.
■
PART 28—BONDS AND INSURANCE
28.102–1
[Amended]
65. Amend section 28.102–1 by
removing from paragraph (b)(1)
‘‘$30,000’’ and adding ‘‘$35,000’’ in its
place.
■
28.102–2
[Amended]
66. Amend section 28.102–2 by
removing from paragraph (c) ‘‘$30,000’’
and adding ‘‘$35,000’’ in its place.
■
28.102–3
[Amended]
67. Amend section 28.102–3 by
removing from paragraph (b) ‘‘$30,000’’
and adding ‘‘$35,000’’ in its place.
■
[Amended]
■
19.203
60. Amend section 22.1303 by
removing from paragraphs (a) and (c)
‘‘$100,000’’ and adding ‘‘$150,000’’ in
their places.
19.704
19.1406
PART 19—SMALL BUSINESS
PROGRAMS
[Amended]
■
■
47. Amend section 17.108 by
removing from paragraph (a) ‘‘$12.5
million’’ and adding ‘‘$14 million’’ in
its place; and removing from paragraph
(b) ‘‘$125 million’’ and adding ‘‘$139.5
million’’ in its place.
22.1303
25.703–2
[Amended]
19.808–1
■
59. Amend section 22.1103 by
removing ‘‘$650,000’’ and adding
‘‘$700,000’’ in its place.
52. Amend section 19.702 by
removing from paragraphs (a)(1) and (2)
‘‘$650,000’’ and adding ‘‘$700,000’’ in
their places.
■
17.108
[Amended]
[Amended]
■
[Amended]
■
19.702
22.1103
■
50. Amend section 19.502–1 by
removing from paragraph (b) ‘‘$3,000’’
and ‘‘$15,000’’ and adding ‘‘$3,500’’ and
‘‘$20,000’’ in their places, respectively.
■
PART 17—SPECIAL CONTRACTING
METHODS
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[Amended]
PART 22—APPLICATION OF LABOR
LAWS TO GOVERNMENT
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PART 32—CONTRACT FINANCING
32.104
[Amended]
68. Amend section 32.104 by
removing from paragraphs (d)(2)(i) and
(ii) ‘‘$2.5 million’’ and adding ‘‘$3
million’’ in their places.
■
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Federal Register / Vol. 79, No. 227 / Tuesday, November 25, 2014 / Proposed Rules
from paragraphs (d)(2) and (3)
‘‘$25,000’’ and adding ‘‘$30,000’’ in
their places; and revising paragraph (e).
The revised text reads as follows:
PART 42—CONTRACT
ADMINISTRATION AND AUDIT
SERVICES
42.709
[Amended]
69. Amend section 42.709 by
removing from paragraph (b)
‘‘$700,000’’ and adding ‘‘$750,000’’ in
its place.
52.204–10 Reporting Executive
Compensation and First-Tier Subcontract
Awards.
42.709–6
Reporting Executive Compensation and
First-Tier Subcontract Awards (Date)
■
*
[Amended]
70. Amend section 42.709–6 by
removing ‘‘$700,000’’ and adding
‘‘$750,000’’ in its place.
■
*
*
*
*
52.212–3 Offeror Representations and
Certifications—Commercial Items.
*
*
*
*
*
Offeror Representations and
Certifications—Commercial Items
(Date)
*
*
*
*
*
81. Amend section 52.212–5 by—
a. Revising the date of the clause;
b. Revising paragraphs (b)(2), (b)(4),
(b)(8), (b)(17)(i), adding paragraph
(b)(17)(iv), and revising paragraphs
(b)(29), (b)(31), and (b)(33);
■ c. Revising paragraph (c)(8);
■ d. Revising paragraph (e)(1)(i);
■ e. Removing from paragraph (e)(1)(ii)
‘‘$650,000’’ and adding ‘‘$700,000’’ in
its place;
■ f. Revising paragraphs (e)(1)(v), (vii),
(xiii), and (xv); and
■ g. Amending Alternate II by revising
the date of Alternate II and paragraphs
(e)(1)(ii)(A), (C), (E), (L) and (M).
The revisions read as follows:
■
■
■
PART 50—EXTRAORDINARY
CONTRACTUAL ACTIONS AND THE
SAFETY ACT
*
*
*
*
(e) The Contractor shall not split or
break down first-tier subcontract awards
to a value less than $30,000 to avoid the
reporting requirements in paragraph (d)
of this clause.
*
*
*
*
*
■ 77. Amend section 52.209–5 by
revising the date of the provision; and
removing from paragraph (a)(1)(i)(D)
‘‘$3,000’’ and adding ‘‘$3,500’’ in its
place.
The revised text reads as follows:
50.102–1
52.209–5 Certification Regarding
Responsibility Matters.
*
52.212–5 Contract Terms and Conditions
Required to Implement Statutes or
Executive Orders—Commercial Items.
*
42.1502
*
70147
[Amended]
71. Amend section 42.1502 by
removing from paragraph (e) ‘‘$650,000’’
and adding ‘‘$700,000’’ in its place
(twice); and removing from paragraph (f)
‘‘$30,000’’ and adding ‘‘$35,000’’ in its
place (twice).
■
[Amended]
72. Amend section 50.102–1 by
removing from paragraph (b) ‘‘$65,000’’
and adding ‘‘$70,000’’ in its place.
■
50.102–3
[Amended]
*
*
*
*
Certification Regarding Responsibility
Matters (Date)
73. Amend section 50.102–3 by
removing from paragraph (b)(4) ‘‘$31.5
million’’ and adding ‘‘$35 million’’ in
its place; and removing from paragraphs
(e)(1)(i) and (ii) ‘‘$65,000’’ and adding
‘‘$70,000’’ in their places.
*
PART 52—SOLICITATION PROVISIONS
AND CONTRACT CLAUSES
52.209–6 Protecting the Government’s
Interest When Subcontracting with
Contractors Debarred, Suspended, or
Proposed for Debarment.
■
74. Amend section 52.203–13 by
revising the date of clause; and
removing from paragraph (d)(1)
‘‘$5,000,000’’ and adding ‘‘$5.5 million’’
in its place.
The revised text reads as follows:
■
*
*
*
wreier-aviles on DSK4TPTVN1PROD with PROPOSALS
*
*
*
*
*
■ 75. Amend section 52.203–14 by
revising the date of the clause; and
removing from the introductory text of
paragraph (d) ‘‘$5,000,000’’ and adding
‘‘$5.5 million’’ in its place.
The revised text reads as follows:
52.203–14
*
*
*
Display of Hotline Poster(s) (Date)
*
*
*
*
*
76. Amend section 52.204–10 by
revising the date of the clause; removing
■
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*
*
*
Jkt 235001
*
*
*
*
*
(b) * * *
*
*
l(2) 52.203–13, Contractor Code of
Business Ethics and Conduct (Date) (41
U.S.C. 3509).
*
*
*
*
*
l(4) 52.204–10, Reporting Executive
Compensation and First-Tier Subcontract
Awards (Date) (Pub. L. 109–282) (31 U.S.C.
6101 note).
*
*
*
*
*
Protecting the Government’s Interest
When Subcontracting With Contractors
Debarred, Suspended, or Proposed for
Debarment (Date)
l(8) 52.209–6, Protecting the
Government’s Interest When Subcontracting
with Contractors Debarred, Suspended, or
Proposed for Debarment. (Date) (31 U.S.C.
6101 note).
*
*
*
*
*
*
*
*
*
*
*
*
*
79. Amend section 52.212–1 by
revising the date of the provision; and
removing from paragraph (j) ‘‘$3,000’’
and adding ‘‘$3,500’’ in its place (twice).
The revised text reads as follows:
*
*
*
*
(iv) Alternate III (Date) of 52.219–9.
*
*
*
*
*
*
*
52.212–1 Instructions to Offerors—
Commercial Items.
*
l(17)(i) 52.219–9, Small Business
Subcontracting Plan (Date) (15 U.S.C.
637(d)(4)).
*
*
*
*
*
*
*
*
*
*
*
*
*
*
l(29) 52.222–35, Equal Opportunity for
Veterans (Date) (38 U.S.C. 4212).
Instructions to Offerors—Commercial
Items (Date)
l(31) 52.222–37, Employment Reports on
Veterans (Date) (38 U.S.C. 4212).
*
Display of Hotline Poster(s).
*
*
■
*
Contractor Code of Business Ethics and
Conduct (Date)
*
*
*
*
52.203–13 Contractor Code of Business
Ethics and Conduct
*
*
*
*
*
78. Amend section 52.209–6 by
revising the date of the clause; and
removing from paragraphs (b), (c), and
(e)(1) ‘‘$30,000’’ and adding ‘‘$35,000’’
in their places.
The revised text reads as follows:
■
*
Contract Terms and Conditions
Required to Implement Statutes or
Executive Orders—Commercial Items
(Date)
l(33) 52.222–54, Employment Eligibility
Verification (Date). (Executive Order 12989).
(Not applicable to the acquisition of
commercially available off-the-shelf items or
certain other types of commercial items as
prescribed in 22.1803.)
*
*
*
*
■ 80. Amend section 52.212–3 by
revising the date of the provision; and
removing from paragraphs (h)(4) and
(o)(2)(iii) ‘‘$3,000’’ and adding ‘‘$3,500’’
in their places. The revised text reads as
follows:
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(8) 52.226–6, Promoting Excess Food
Donation to Nonprofit Organizations (Date)
(42 U.S.C. 1792).
*
*
removing from paragraph (g) ‘‘$100,000’’
and adding ‘‘$150,000’’ in its place. The
revised text reads as follows:
(2) * * *
(c) * * *
*
*
(viii) 52.244–6, Subcontracts for
Commercial Items (Date).
*
*
(e)(1)
(i) 52.203–13, Contractor Code of Business
Ethics and Conduct (Date) (41 U.S.C. 3509).
*
*
(b) * * *
(1) * * *
*
*
52.222–37
Veterans.
*
(v) 52.222–35, Equal Opportunity for
Veterans (Date) (38 U.S.C. 4212).
(i) 52.204–10, Reporting Executive
Compensation and First-Tier Subcontract
Awards (Date) (Pub. L. 109–282) (31 U.S.C.
6101 note) (Applies to contracts valued at
$30,000 or more).
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
(xiii) 52.222–54, Employment Eligibility
Verification (Date) (Executive Order 12989).
*
*
*
*
*
(xv) 52.226–6, Promoting Excess Food
Donation to Nonprofit Organizations (Date)
(42 U.S.C. 1792).
Flow down required in accordance
with paragraph (e) of FAR clause
52.226–6.
*
*
*
*
*
*
*
(e)(1) * * *
(ii) * * *
*
*
*
*
*
(C) 52.219–8, Utilization of Small Business
Concerns (Date) (15 U.S.C. 637(d)(2) and (3)),
in all subcontracts that offer further
subcontracting opportunities. If the
subcontract (except subcontracts to small
business concerns) exceeds $700,000 ($1.5
million for construction of any public
facility), the subcontractor must include
52.219–8 in lower tier subcontracts that offer
subcontracting opportunities.
*
*
*
*
*
(E) 52.222–35, Equal Opportunity for
Veterans (Date) (38 U.S.C. 4212).
*
*
*
*
*
(L) Employment Eligibility Verification
(Date) (Executive Order 12989).
(M) 52.226–6, Promoting Excess Food
Donation to Nonprofit Organizations. (Date)
(42 U.S.C. 1792). Flow down required in
accordance with paragraph (e) of FAR clause
52.226–6.
*
*
*
*
*
■ 82. Amend section 52.213–4 by—
■ a. Revising the date of the clause; and
■ b. Revising paragraphs (a)(2)(viii),
(b)(1)(i), (iv), (vi), (xi), and (b)(2)(i).
The revised text reads as follows:
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*
*
*
*
*
*
*
(vi) 52.222–37, Employment Reports on
Veterans (Date) (38 U.S.C. 4212) (applies to
contracts of $150,000 or more).
*
*
*
*
*
(xi) 52.226–6, Promoting Excess Food
Donation to Nonprofit Organizations (Date)
(42 U.S.C. 1792) (Applies to contracts greater
than $30,000 that provide for the provision,
the service, or the sale of food in the United
States).
*
(A) 52.203–13, Contractor Code of Business
Ethics and Conduct (Date) (41 U.S.C. 3509).
*
*
*
Alternate II (Date).
*
*
(iv) 52.222–35, Equal Opportunity for
Veterans (Date) (38 U.S.C. 4212) (applies to
contracts of $150,000 or more).
(vii) 52.222–37, Employment Reports on
Veterans (Date) (38 U.S.C. 4212).
*
*
(2) * * *
*
*
52.219–9
Plan.
*
*
Small Business Subcontracting
*
*
Small Business Subcontracting Plan
(Date)
*
*
*
*
*
Alternate III (Date).
14:26 Nov 24, 2014
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*
*
*
*
86. Amend section 52.222–54 by
revising the date of the clause; and
removing from paragraph (e)(2)
‘‘$3,000’’ and adding ‘‘$3,500’’ in its
place. The revised text reads as follows:
■
52.222–54 Employment Eligibility
Verification.
*
*
*
*
*
Employment Eligibility Verification
(Date)
*
*
*
*
*
87. Amend section 52.225–25 by
revising the date of the provision; and
removing from paragraph (c)(3)
‘‘$3,000’’ and adding ‘‘$3,500’’ in its
place.
The revised text reads as follows:
■
*
*
*
*
*
84. Amend section 52.222–35 by
revising the date of the clause; and
removing from paragraph (c) ‘‘$100,000’’
and adding ‘‘$150,000’’ in its place.
The revised text reads as follows:
■
*
*
*
Equal Opportunity for Veterans (Date)
*
*
*
*
*
85. Amend section 52.222–37 by
revising the date of the clause; and
■
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*
*
*
Prohibition on Contracting With
Entities Engaging in Certain Activities
or Transactions Relating to Iran—
Representation and Certifications
(Date)
*
*
*
*
*
88. Amend section 52.226–6 by
revising the date of the clause; and
removing from paragraph (e) ‘‘$25,000’’
and adding ‘‘$30,000’’ in its place.
The revised text reads as follows:
■
*
*
*
*
*
Promoting Excess Food Donation to
Nonprofit Organizations (Date)
*
Equal Opportunity for Veterans.
VerDate Sep<11>2014
*
52.226–6 Promoting Excess Food
Donation to Nonprofit Organizations.
*
*
Terms and Conditions—Simplified
Acquisitions (Other Than Commercial
Items) (Date)
(a) * * *
Employment Reports on Veterans (Date)
*
*
*
*
*
83. Amend section 52.219–9 by—
a. Revising the date of the clause;
b. Removing from paragraph (d)(9)
and paragraph (l)(2)(i)(C) ‘‘$650,000’’
and adding ‘‘$700,000’’ in their places;
■ c. Amend Alternate III by—
■ 1. Revising the date of Alternate III;
■ 2. Removing from paragraph (l)(2)(C)
‘‘$550,000’’ and ‘‘$1,000,000’’ and
adding ‘‘$700,000’’ and ‘‘$1.5 million’’
in their places, respectively.
The revised text reads as follows:
■
■
■
*
*
*
*
52.222–35
*
*
52.225–25 Prohibition on Contracting With
Entities Engaging in Certain Activities or
Transactions Relating to Iran—
Representation and Certifications.
*
*
*
*
(i) 52.209–6, Protecting the Government’s
Interest When Subcontracting with
Contractors Debarred, Suspended, or
Proposed for Debarment (Date) (Applies to
contracts over $35,000).
52.213–4 Terms and Conditions—
Simplified Acquisitions (Other Than
Commercial Items).
*
Employment Reports on
Sfmt 4702
*
*
*
*
89. Amend section 52.244–6 by—
■ a. Revising the date of the clause;
■ b. Revising paragraph (c)(1)(i);
■ c. Removing from paragraph (c)(1)(iii)
‘‘$650,000’’ and adding ‘‘$700,000’’ in
its place; and
■ d. Revising paragraphs (c)(1)(v) and
(vii).
The revised text reads as follows:
■
52.244–6
Items.
*
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Subcontracts for Commercial
*
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*
Federal Register / Vol. 79, No. 227 / Tuesday, November 25, 2014 / Proposed Rules
agency Office of the Inspector General, with
a copy to the Contracting Officer.
*
*
*
(c)(1) * * *
*
*
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*
*
*
*
*
*
*
*
*
(v) 52.222–35, Equal Opportunity for
Veterans (Date) (38 U.S.C. 4212(a));
(i) 52.203–13, Contractor Code of Business
Ethics and Conduct (Date) (41 U.S.C. 3509),
if the subcontract exceeds $5.5 million and
has a performance period of more than 120
days. In altering this clause to identify the
appropriate parties, all disclosures of
violation of the civil False Claims Act or of
Federal criminal law shall be directed to the
VerDate Sep<11>2014
52.248–3 Value Engineering—
Construction.
*
Subcontracts for Commercial Items
(Date)
70149
Jkt 235001
Value Engineering—Construction (Date)
*
*
*
*
*
*
(vii) 52.222–37, Employment Reports on
Veterans (Date) (38 U.S.C. 4212).
*
*
*
*
*
■ 90. Amend section 52.248–3 by
revising the date of the clause; and
removing from paragraph (h) ‘‘$65,000’’
and adding ‘‘$70,000’’ in its place. The
revised text reads as follows:
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*
*
*
*
PART 53—FORMS
53.301–294 Subcontracting Report for
Individual Contracts.
91. Revise section 53.301–294 to read
as follows:
■
BILLING CODE 6820–14–P
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:1l);l,
70151
NMIE OF !NlJMOO.Al AOMINISTERING SUBCONTRACTING l'l.AN
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70152
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GENERAL INSTRUCTIONS
SPECIFIC INSTRUCTIONS
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70153
BlOCK 1!1: Report •fl sub"'oo!rec,rs
!rib"> th •I are rep(llt!"ll in Btocl<
bus-in~sses,
DfflNillONS
D!ST!liBUTI0111 Of TillS !UEPO~T
For the 1\wardto~g A!J&"ev Of Conlr~ctor:
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STANDARD FORM 294 (REV 101:2014) PAGE 4
70154
Federal Register / Vol. 79, No. 227 / Tuesday, November 25, 2014 / Proposed Rules
[FR Doc. 2014–27512 Filed 11–24–14; 8:45 am]
BILLING CODE 6820–EP–C
DEPARTMENT OF THE INTERIOR
Fish and Wildlife Service
50 CFR Part 17
[Docket No. FWS–R2–ES–2013–0056;
FXES11130900000C2–134–FF09E32000]
RIN 1018–AY46
Endangered and Threatened Wildlife
and Plants; Proposed Revision to the
Regulations for the Nonessential
Experimental Population of the
Mexican Wolf
Fish and Wildlife Service,
Interior.
ACTION: Proposed rule; availability of a
final environmental impact statement
and a draft record of decision.
AGENCY:
We, the U.S. Fish and
Wildlife Service (Service), make
available the final environmental impact
statement (EIS) on the proposed
revisions to the regulations for the
nonessential experimental population
designation of the Mexican wolf and our
draft record of decision (ROD), under
the National Environmental Policy Act
of 1969, as amended. Our intended
action is to revise the regulations
established in our 1998 Final Rule for
the nonessential experimental
population of the Mexican wolf. We also
propose to extend the authority of the
Mexican Wolf Recovery Program’s
section 10(a)(1)(A) research and
recovery permit to areas that are outside
of the Mexican Wolf Experimental
Population Area. In the EIS we analyzed
the environmental consequences of a
range of alternatives, including the
Proposed Action and No Action
alternative, for our proposed rule. The
action would be implemented through a
final rule, a revised section 10(a)(1)(A)
research and recovery permit, and the
provision of Federal funding.
DATES: We will consider comments
received on or before December 27,
2014. Comments submitted
electronically using the Federal
eRulemaking Portal (see ADDRESSES)
must be received by 11:59 p.m. Eastern
Time on the closing date. We will issue
a final ROD no sooner than December
27, 2014.
ADDRESSES: Document availability: The
final EIS and draft ROD are available
electronically on https://
www.regulations.gov in Docket No.
FWS–R2–ES–2013–0056, on the
Mexican Wolf Recovery Program’s Web
wreier-aviles on DSK4TPTVN1PROD with PROPOSALS
SUMMARY:
VerDate Sep<11>2014
14:26 Nov 24, 2014
Jkt 235001
site at https://www.fws.gov/southwest/es/
mexicanwolf/, or from the office listed
in FOR FURTHER INFORMATION CONTACT.
Document submission: You may
submit written comments on the final
EIS and draft ROD by one of the
following methods:
(1) Electronically: Go to the Federal
eRulemaking Portal: https://
www.regulations.gov. Search for FWS–
R2–ES–2013–0056, which is the docket
number for this rulemaking. You may
submit a comment by clicking on
‘‘Comment Now!’’. Please ensure that
you have found the correct rulemaking
before submitting your comment.
(2) By hard copy: Submit by U.S. mail
or hand delivery to: Public Comments
Processing, Attn: FWS–R2–ES–2013–
0056; Division of Policy and Directives
Management; U.S. Fish and Wildlife
Service Headquarters, MS: BPHC, 5275
Leesburg Pike, Falls Church, VA 22041–
3803.
We request that you send comments
on the final EIS and draft ROD only by
the methods described above. We will
post all comments on https://
www.regulations.gov. This generally
means that we will post any personal
information you provide us (see the
Public Comments section below for
more information). To increase our
efficiency in downloading comments,
groups providing mass submissions
should submit their comments in an
Excel file.
FOR FURTHER INFORMATION CONTACT:
Sherry Barrett, Mexican Wolf Recovery
Coordinator, U.S. Fish and Wildlife
Service, New Mexico Ecological
Services Field Office, 2105 Osuna Road,
NE., Albuquerque, NM 87113; by
telephone 505–761–4704; or by
facsimile 505–346–2542. If you use a
telecommunications device for the deaf
(TDD), call the Federal Information
Relay Service (FIRS) at 800–877–8339.
Further contact information can be
found on the Mexican Wolf Recovery
Program’s Web site at https://
www.fws.gov/southwest/es/
mexicanwolf/.
SUPPLEMENTARY INFORMATION: With this
Federal Register document, we
announce the availability of the final
EIS and our draft ROD for the Proposed
Revision to the Regulations for the
Nonessential Experimental Population
of the Mexican Wolf (Canis lupus
baileyi). We developed the final EIS and
our draft ROD in compliance with the
agency decision making requirements of
the National Environmental Policy Act
of 1969, as amended.
We have described all alternatives in
detail, and we have evaluated them in
our final EIS. Our draft decision is based
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on our review of the alternatives and
their environmental consequences as
described in our final EIS.
Reviewing Documents
You may obtain a copy of the final EIS
and draft ROD by going to the Mexican
Wolf Recovery Program Web site at
https://www.fws.gov/southwest/es/
mexicanwolf/. Alternatively, you may
obtain a compact disk with an electronic
copy of the final EIS by writing to Ms.
Sherry Barrett, Mexican Wolf Recovery
Coordinator (see FOR FURTHER
INFORMATION CONTACT). The final EIS
and draft ROD will also be available for
public inspection, by appointment,
during normal business hours (8 a.m. to
4:30 p.m.) at the New Mexico Ecological
Services Field Office, 2105 Osuna Road
NE., Albuquerque, NM 87113. In
cooperation with the U.S. Department of
Agriculture, Forest Service, Southwest
Region, we have also established
information repositories at the
Supervisor Offices for the National
Forests throughout Arizona and New
Mexico. Links to the National Forests
with the addresses of the supervisor
offices are available at https://
www.fs.usda.gov/r3.
Background
On June 13, 2013 (78 FR 35719), we
published a proposed rule to revise the
existing nonessential experimental
population designation of the Mexican
wolf. That proposal had a 90-day
comment period ending September 11,
2013. On August 5, 2013 (78 FR 47268),
we published a notice of intent to
prepare an environmental impact
statement in conjunction with the
proposed rule to revise the existing
nonessential experimental population
designation of the Mexican wolf. That
notice of intent to prepare an
environmental impact statement had a
45-day comment period ending
September 19, 2013. On September 5,
2013 (78 FR 54613), we extended the
public comment period on the proposed
rule to revise the existing nonessential
experimental population designation of
the Mexican wolf to end on October 28,
2013, and announced a public hearing.
On October 28, 2013 (78 FR 64192), we
once again extended the public
comment period on the proposed rule to
revise the existing nonessential
experimental population designation of
the Mexican wolf to end on December
17, 2013, and announced public
hearings on the proposed rule to revise
the existing nonessential experimental
population designation of the Mexican
wolf.
On July 25, 2014 (79 FR 43358), we
published a revised proposed rule to the
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Agencies
[Federal Register Volume 79, Number 227 (Tuesday, November 25, 2014)]
[Proposed Rules]
[Pages 70141-70154]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2014-27512]
=======================================================================
-----------------------------------------------------------------------
DEPARTMENT OF DEFENSE
GENERAL SERVICES ADMINISTRATION
NATIONAL AERONAUTICS AND SPACE ADMINISTRATION
48 CFR Parts 1, 2, 3, 4, 6, 7, 8, 9, 10, 12, 13, 15, 16, 17, 19,
22, 25, 26, 28, 32, 42, 50, 52, and 53
[FAR Case 2014-022; Docket No. 2014-0022; Sequence No. 1]
RIN 9000-AM80
Federal Acquisition Regulation; Inflation Adjustment of
Acquisition-Related Thresholds
AGENCY: Department of Defense (DoD), General Services Administration
(GSA), and National Aeronautics and Space Administration (NASA).
ACTION: Proposed rule.
-----------------------------------------------------------------------
SUMMARY: DoD, GSA, and NASA are proposing to amend the Federal
Acquisition Regulation (FAR) to further implement the inflation
adjustment of acquisition-related dollar thresholds. A statute requires
an adjustment every five years of acquisition-related thresholds for
inflation using the Consumer Price Index for all urban consumers,
except for the Construction Wage Rate Requirements statute (Davis-Bacon
Act), Service Contract Labor Standards statute, and trade agreements
thresholds. DoD, GSA, and NASA are also proposing to use the same
methodology to adjust nonstatutory FAR acquisition-related thresholds
in 2015.
DATES: Interested parties should submit written comments to the
Regulatory Secretariat at one of the addresses shown below on or before
January 26, 2015 to be considered in the formation of the final rule.
ADDRESSES: Submit comments in response to FAR Case 2014-022 by any of
the following methods:
Regulations.gov: https://www.regulations.gov. Submit
comments via the Federal eRulemaking portal by searching for ``FAR Case
2014-022''. Select the link ``Comment Now'' that corresponds with ``FAR
Case 2014-022.'' Follow the instructions provided at the ``Comment
Now'' screen. Please include your name, company name (if any), and
``FAR Case 2014-022'' on your attached document.
Fax: 202-501-4067.
Mail: General Services Administration, Regulatory
Secretariat (MVCB), ATTN: Ms. Flowers, 1800 F Street NW., 2nd Floor,
Washington, DC 20405.
Instructions: Please submit comments only and cite FAR Case 2014-
022, in all correspondence related to this case. All comments received
will be posted without change to https://www.regulations.gov, including
any personal and/or business confidential information provided.
FOR FURTHER INFORMATION CONTACT: Mr. Michael O. Jackson, Procurement
Analyst, at 202-208-4949, for clarification of content. For information
pertaining to status or publication schedules, contact the Regulatory
Secretariat at 202-501-4755. Please cite FAR Case 2014-022.
SUPPLEMENTARY INFORMATION:
I. Background
This rule proposes to amend multiple FAR parts to further implement
41 U.S.C. 1908. Section 1908 requires an adjustment every five years
(on October 1 of each year evenly divisible by five) of statutory
acquisition-related thresholds for inflation, using the Consumer Price
Index (CPI) for all urban consumers, except for the Construction Wage
Rate Requirements statute (Davis-Bacon Act), Service Contract Labor
Standards statute, and trade agreements thresholds (see FAR 1.109). As
a matter of policy, DoD, GSA, and NASA are also proposing to use the
same methodology to adjust nonstatutory FAR acquisition-related
thresholds on October 1, 2015.
This is the third review of FAR acquisition-related thresholds
since the statute was passed on October 28, 2004 (section 807 of the
Ronald W. Reagan National Defense Authorization Act for Fiscal Year
(FY) 2005). The last review was conducted under FAR Case 2008-024
during FY 2010. The final rule was published in the Federal Register at
75 FR 53129 on August 30, 2010, and was effective October 1, 2010.
II. Analysis.
A. What is an acquisition-related threshold?
This case builds on the review of FAR thresholds in FY 2005 and FY
2010, using the same interpretation of an acquisition-related
threshold. 41 U.S.C. 1908 is applicable to ``a dollar threshold that is
specified in law as a factor in defining the scope of the applicability
of a policy, procedure, requirement, or restriction provided in that
law to the procurement of property or services by an executive agency,
as the FAR Council determines.''
There are other thresholds in the FAR that, while not specified in
law, nevertheless meet all the other criteria. These thresholds may
have their origin in Executive order or regulation.
[[Page 70142]]
Therefore, the FAR Council has determined, that in this case,
``acquisition-related threshold'' has a broader meaning, i.e., a
threshold that is specified in law, Executive order, or regulation as a
factor in defining the scope of the applicability of a policy,
procedure, requirement, or restriction provided in that law, Executive
order, or regulation to the procurement of property or services by an
Executive agency. DoD, GSA, and NASA conclude that acquisition-related
thresholds are generally tied to the value of a contract, subcontract,
or modification.
Examples of thresholds that are not ``acquisition-related,'' as
defined in this case, are thresholds relating to claims, penalties,
withholding, payments, required levels of insurance, small business
size standards, liquidated damages, etc. This rule does not address
thresholds that are not acquisition-related.
B. What acquisition-related thresholds are not subject to escalation
adjustment under this case?
41 U.S.C. 1908 does not permit escalation of acquisition-related
thresholds established by the Construction Wage Rate Requirements
statute (Davis Bacon Act), the Service Contract Labor Standards
statute, or the United States Trade Representative pursuant to the
authority of the Trade Agreements Act of 1979.
Also, the statute does not authorize the FAR to escalate thresholds
originating in Executive order or the implementing agency (such as the
Department of Labor or the Small Business Administration), unless the
Executive order or agency regulations are first amended.
C. How do the Defense Acquisition Regulations Council and the Civilian
Agency Acquisition Council (the Councils) analyze a statutory
acquisition-related threshold?
If an acquisition-related threshold is based on statute, the matrix
at https://acquisition.gov/far/facsframe.html identifies the statute and
the statutory threshold, including the original threshold and any FAR
revisions.
With the exception of thresholds set by the Construction Wage Rate
Requirements statute (Davis-Bacon Act), Service Contract Labor
Standards statute, and the United States Trade Representative pursuant
to the authority of the Trade Agreements Act of 1979, 41 U.S.C. 1908
requires that the FAR Council adjust the acquisition-related thresholds
for inflation using the CPI for all urban consumers. Acquisition-
related thresholds in statutes that were in effect on October 1, 2000,
are only subject to escalation from that date forward. For purposes of
this proposed rule, the matrix includes calculation of escalation based
on the estimated CPI value for March 2015 (currently estimated at
243.0) divided by the CPI for the date of enactment of the statute or
regulation (October 2000, for statutes enacted prior to October 1,
2000). The Councils will subsequently adjust as necessary before
issuance of the final rule.
Once the escalation factor is applied to the acquisition-related
threshold, then the threshold must be rounded as follows:
------------------------------------------------------------------------
------------------------------------------------------------------------
<$10,000.............................. Nearest $500.
$10,000-<$100,000..................... Nearest $5,000.
$100,000-<$1,000,000.................. Nearest $50,000.
$1,000,000 or more.................... Nearest $500,000.
------------------------------------------------------------------------
The calculations in this proposed rule are all based on the base
year amount, because escalated amounts in the 2010 rule were subject to
rounding and using those amounts as the base would distort future
calculations.
In 2010, some thresholds (e.g., $3,000), although subject to
inflation calculation, did not actually change, because the inflation
in 2010 was insufficient to overcome the rounding requirements i.e.,
the escalation factor, when applied, did not cause the escalated values
to be high enough to round to the next higher value. However, in FY
2015, thresholds that did not escalate in 2010 will now escalate
because of five additional years of inflation. Likewise, some
thresholds that were escalated in 2010 (e.g., $150,000) will not
escalate in 2015.
The thresholds for defining a major system were previously stated
in FY 1990 constant dollars for DoD and in FY 1980 constant dollars for
civilian agencies. The 2005 rule converted the base year for these
major system thresholds to 2004 dollars, that were then adjusted in
October 2005 and also adjusted in October 2010. Although the FAR will
continue to escalate the major systems threshold for the civilian
agencies, DoD has determined that for DoD, the major systems thresholds
in the FAR must be consistent with the major systems thresholds in DoD
Instruction 5000.02, established in accordance with the authority in 10
U.S.C. 2302d(c)(1). This allows the Secretary of Defense to adjust the
amounts (and the base fiscal year) provided in subsection (a) on the
basis of DoD escalation rates (rather than the CPI for all urban
consumers). The revised figures were calculated by the DoD Comptroller,
and coordinated with the Cost Assessment and Program Evaluation (CAPE)
Office and the DoD General Counsel. In accordance with 10 U.S.C.
2302d(c)(3), DoD reported these thresholds to Congress in December
2013.
This proposed rule has been coordinated with the Department of
Labor and the Small Business Administration in areas of the regulation
for which they are the lead agency. As appropriate, any changes to cost
accounting standards (CAS) thresholds will be coordinated with the CAS
Board and addressed under a separate case.
D. How do the Councils analyze a nonstatutory acquisition-related
threshold?
No statutory authorization is required to escalate thresholds that
are policy-based within the FAR. For consistency, escalation of the FAR
policy acquisition-related thresholds is recommended using the same
formula applied to the statutory thresholds, unless there is a valid
reason for not doing so.
E. What is the effect of this proposed rule on the most heavily-used
thresholds?
This rule includes the following proposed changes to heavily-used
thresholds:
The micro-purchase threshold of $3,000 (FAR 2.101) will
increase to $3,500. The Title 41 recodification (Pub. L. 111-350,
enacted January 4, 2011) relocated the micro-purchase authorization to
41 U.S.C. 1902, and raised the micro-purchase threshold to $3,000
(equivalent to the escalated value in the FAR). However, as Congress
stated in House Report 111-42, the recodification statute did not
intend to make any substantive changes, therefore the inflation
calculation will continue to be calculated based on the October 2000
amount of $2,500, not the January 2011 value of $3,000.
The simplified acquisition threshold (FAR 2.101) of
$150,000 will not change.
The FedBizOpps preaward and post-award notices (FAR Part
5) remain at $25,000 because of trade agreements.
Commercial items test program ceiling (FAR 13.500) will
increase from $6.5 million to $7 million.
The cost or pricing data threshold (FAR 15.403-4) will
increase from $700,000 to $750,000.
The prime contractor subcontracting plan (FAR 19.702)
floor will increase from $650,000 to $700,000,
[[Page 70143]]
but the construction threshold of $1.5 million will not change.
The threshold for reporting first-tier subcontract
information including executive compensation will increase from $25,000
to $30,000 (FAR subpart 4.14 and section 52.204-10).
This proposed rule is based on a projected CPI of 243 for March
2015. If the actual CPI for March 2015 is higher than 243, then
additional statutory thresholds may be subject to escalation in the
final rule, even though not included in the proposed rule.
F. Other Changes in the Rule
FAR 12.102(g) is being deleted as obsolete.
The $30,000 threshold at FAR 13.106-2(c)(2) and (d)
returns to $25,000 to harmonize with the 5.101(a)(1) threshold for
synopsizing preaward notices in FedBizOpps.
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
DoD, GSA, and NASA do not expect this 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 rule maintains the status quo by adjusting thresholds for
actual inflationary increases in the CPI. However, an Initial
Regulatory Flexibility Analysis has been performed and is summarized as
follows:
This rule will amend the Federal Acquisition Regulation to
implement 41 U.S.C. 1908 and to amend other acquisition-related
dollar thresholds that are based on policy rather than statute in
order to adjust for the changing value of the dollar. 41 U.S.C. 1908
requires adjustment every five years of statutory acquisition-
related dollar thresholds, except for Construction Wage Rate
Requirements statute (Davis-Bacon Act), Service Contract Labor
Standards statute, and trade agreements thresholds. While reviewing
all statutory acquisition-related thresholds, this case presented an
opportunity to also review all nonstatutory acquisition-related
thresholds in the FAR that are based on policy.
The objective of the case is to maintain the status quo, by
adjusting acquisition-related thresholds for inflation. The legal
basis is 41 U.S.C. 1908. The statute does not authorize the FAR to
escalate thresholds originating in Executive orders or the
implementing agency (such as the Department of Labor or the Small
Business Administration), unless the Executive order or agency
regulations are first amended.
This rule will have a minimal impact on small business concerns
that submit offers or are awarded contracts by the Federal
Government. However, most of the threshold changes proposed in this
rule are not expected to have any significant economic impact on
small business concerns because the threshold changes are intended
to maintain the status quo by adjusting for changes in the value of
the dollar. Often any impact will be beneficial, by preventing
burdensome requirements from applying to more and more acquisitions,
as the dollar loses value.
One threshold change in this rule which may temporarily impact
small business concerns is the increase in the micro-purchase
threshold (FAR 2.101) from $3,000 to $3,500. This will temporarily
narrow the dollar range within which acquisitions are automatically
set aside for small business concerns, because the simplified
acquisition threshold of $150,000 will not increase at this time. To
assess the impact of the increase in the micro-purchase threshold
from $3,000 to $3,500, data was requested from FPDS-NG. For FY 2013,
there were 83,951 contracts and calls/orders between $3,000 and
$3,500, with a value of $272,567,926. Of these actions, 34,828
(value of $113,280,333) were awarded to small business concerns.
DoD, GSA, and NASA expect that many of these awards will still go to
small business concerns, even if there is no longer a requirement to
automatically set the procurement aside for small business concerns.
The rule does not impose any new reporting, recordkeeping, or
compliance requirements. Changes in thresholds for approved
information collection requirements are intended to maintain the
status quo and prevent those requirements from increasing over time.
The rule does not duplicate, overlap, or conflict with any other
Federal rules.
There are no practical alternatives that will accomplish the
objectives of the statute.
The Regulatory Secretariat has submitted a copy of the IRFA to the
Chief Counsel for Advocacy of the Small Business Administration. A copy
of the IRFA may be obtained from the Regulatory Secretariat. DoD, GSA,
and NASA invite comments from small business concerns and other
interested parties on the expected impact of this rule on small
entities.
DoD, GSA, and NASA will also consider comments from small entities
concerning the existing regulations in subparts affected by the rule in
accordance with 5 U.S.C. 610. Interested parties must submit such
comments separately and should cite 5 U.S.C. 610 (FAR Case 2014-022),
in correspondence.
V. Paperwork Reduction Act
The Paperwork Reduction Act does apply. The proposed changes to the
FAR do not impose new information collection requirements that require
the approval of the Office of Management and Budget (OMB) under 44
U.S.C. 3501, et seq. By adjusting the thresholds for inflation, the
status quo for the current information collection requirements are
maintained under the following OMB clearance numbers: 9000-0006,
titled: Subcontracting Plans/Individual Subcontract Report (SF 294);
9000-0007, titled: Summary Subcontract Report; 9000-0094, titled:
Debarment and Suspension; 9000-0164, titled: Contractor Business Ethics
Compliance Program and Disclosure Requirements; 9000-0177, titled:
Reporting Executive Compensation and First-tier Subcontract Awards;
1250-0004, titled: OFCCP Recordkeeping and Reporting Requirements--38
U.S.C. 4212, Vietnam Era Veterans' Readjustment Assistance Act of 1974,
as amended; and 1293-0005, titled: Federal Contractor Veterans
Employment Report, VETS-100/VETS-100A.
List of Subjects in 48 CFR Parts 1, 2, 3, 4, 6, 7, 8, 9, 10, 12,
13, 15, 16, 17, 19, 22, 25, 26, 28, 32, 42, 50, 52, and 53
Government procurement.
Dated: November 13, 2014.
William Clark,
Acting Director, Office of Government-wide Acquisition Policy, Office
of Acquisition Policy, Office of Government-wide Policy.
Therefore, DoD, GSA, and NASA propose amending 48 CFR parts 1, 2,
3, 4, 6, 7, 8, 9, 10, 12, 13, 15, 16, 17, 19, 22, 25, 26, 28, 32, 42,
50, 52, and 53 as set forth below:
0
1. The authority citation for 48 CFR parts 1, 2, 3, 4, 6, 7, 8, 9, 10,
12, 13, 15, 16, 17, 19, 22, 25, 26, 28, 32, 42, 50, 52, and 53
continues to read as follows:
Authority: 40 U.S.C. 121(c); 10 U.S.C. chapter 137; and 51
U.S.C. 20113.
PART 1--FEDERAL ACQUISITION REGULATIONS SYSTEM
1.109 [Amended]
0
2. Amend section 1.109 by removing from paragraph (d) ``FAR Case 2008-
024'' and adding ``FAR Case 2014-022'' in its place.
[[Page 70144]]
PART 2--DEFINITIONS OF WORDS AND TERMS
0
3. Amend section 2.101, in paragraph (b)(2) by:
0
a. Revising paragraph (1) of the definition ``Major System'';
0
b. In the definition ``Micro-purchase threshold'' by removing from the
introductory text ``$3,000'' and adding ``$3,500'' in its place, and
removing from paragraph (3)(i) ``$15,000'' and adding ``$20,000'' in
its place;
0
c. In the definition ``Simplified acquisition threshold'' by removing
from the introductory text ``$150,000,'' and adding ``$150,000 (41
U.S.C. 134),'' in its place; removing from paragraph (1) ``$300,000''
and adding ``$350,000'' in its place; and removing from paragraph (2)
``$1 million'' and adding ``$1.5 million'' in its place; and
0
d. In the definition ``Small business subcontractor'' by removing from
paragraphs (1) and (2) ``$10,000'' and adding ``$15,000'' in their
places.
The revised text reads as follows:
2.101 Definitions.
* * * * *
(b) * * *
(2) * * *
Major system * * *
(1) The Department of Defense is responsible for the system and the
total expenditures for research, development, test, and evaluation for
the system are estimated to be more than $185 million based on Fiscal
Year 2014 constant dollars or the eventual total expenditure for the
acquisition exceeds $835 million based on Fiscal Year 2014 constant
dollars (or any update of these thresholds based on a more recent
fiscal year, as specified in the DoD Instruction 5000.02, ``Operation
of the Defense Acquisition System'');
* * * * *
PART 3--IMPROPER BUSINESS PRACTICES AND PERSONAL CONFLICTS OF
INTEREST
3.1004 [Amended]
0
4. Amend section 3.1004 by removing from paragraphs (a), (b)(1)(i), and
(b)(3) ``$5,000,000'' and adding ``$5.5 million'' in their places.
PART 4--ADMINISTRATIVE MATTERS
4.605 [Amended]
0
5. Amend section 4.605 by removing from paragraphs (c)(2)(i) and (ii)
``$25,000'' and adding $30,000'' in their places.
4.1102 [Amended]
0
6. Amend section 4.1102 by removing from paragraph (a)(6) ``$25,000''
and adding ``$30,000'' in its place.
4.1401 [Amended]
0
7. Amend section 4.1401 by removing from paragraph (a) ``$25,000'' and
adding ``$30,000'' in its place.
0
8. Amend section 4.1403 by revising paragraph (a) to read as follows:
4.1403 Contract clause.
(a) Except as provided in paragraph (b) of this section, the
contracting officer shall insert the clause at 52.204-10, Reporting
Executive Compensation and First-Tier Subcontract Awards, in all
solicitations and contracts of $30,000 or more.
* * * * *
PART 6--COMPETITION REQUIREMENTS
6.204 [Amended]
0
9. Amend section 6.204 by removing from paragraph (b) ``$20 million''
and adding ``$22.5 million'' in its place.
6.302-5 [Amended]
0
10. Amend section 6.302-5 by removing from paragraphs (b)(4) and
(c)(2)(iii) ``$20 million'' and adding ``$22.5 million'' in their
places.
6.303-1 [Amended]
0
11. Amend section 6.303-1 by removing from paragraph (b), introductory
text, ``$20 million'' and adding ``$22.5 million'' in its place.
6.303-2 [Amended]
0
12. Amend section 6.303-2 by removing from the introductory text of
paragraphs (b) and (d) ``$20 million'' and adding ``$22.5 million'' in
their places.
6.304 [Amended]
0
13. Amend section 6.304 by:
0
a. Removing from paragraph (a)(1) ``$650,000'' and adding ``$700,000''
in its place;
0
b. Removing from paragraph (a)(2) ``$650,000'' and ``$12.5 million''
and adding ``$700,000'' and ``$14 million'' in their places,
respectively;
0
c. Removing from the introductory text of paragraph (a)(3) ``$12.5
million'', ``$62.5 million'', and ``85.5 million'' and adding ``$14
million'', ``$70 million'', and ``$95.5 million'' in their places,
respectively; and
0
d. Removing from paragraph (a)(4) ``$62.5 million'' and ``$85.5
million'' and adding ``$70 million'' and ``$95.5 million'' in their
places, respectively.
PART 7--ACQUISITION PLANNING
7.104 [Amended]
0
14. Amend section 7.104 by:
0
a. Removing from paragraph (d)(2)(i)(A) ``$8 million'' and adding ``$9
million'' in its place; and
0
b. Removing from paragraph (d)(2)(i)(B) ``$6 million'' and adding
``$6.5 million'' in its place.
7.107 [Amended]
0
15. Amend section 7.107 by removing from paragraph (b)(1) ``$94
million'' and adding ``$104.5 million'' in its place; and removing from
paragraph (b)(2) ``$9.4 million'' and ``$94 million'' and adding
``$10.45 million'' and ``$104.5 million'' in their places,
respectively.
PART 8--REQUIRED SOURCES OF SUPPLIES AND SERVICES
8.404 [Amended]
0
16. Amend section 8.404 by removing from paragraph (b)(2) ``$500,000''
and adding ``$550,000'' in its place.
8.405-3 [Amended]
0
17. Amend section 8.405-3 by
0
a. Removing from paragraphs (a)(3)(ii) and (iii) ``$103 million'' and
adding ``$115 million'' in their places; and
0
b. Revising paragraph (a)(7)(v).
The revision reads as follows:
(a) * * *
(7) * * *
(v) Determination for a single-award BPA exceeding $115 million, if
applicable (see paragraph (a)(3)(ii) of this section);
8.405-6 [Amended]
0
18. Amend section 8.405-6 by:
0
a. Removing from paragraph (d)(1) ``$650,000'' and adding ``$700,000''
in its place;
0
b. Removing from paragraph (d)(2) ``$650,000'' and ``$12.5 million''
and adding ``$700,000'' and ``$14 million'' in their places,
respectively;
0
c. Removing from the introductory text of paragraph (d)(3) ``$12.5
million'', ``$62.5 million'', and ``$85.5 million'', and adding ``$14
million'', ``$70 million'' and ``$95.5 million'' in their places,
respectively; and
0
d. Removing from paragraph (d)(4) ``$62.5 million'' and ``$85.5
million'' and adding ``$70 million'' and ``$95.5 million'' in their
places, respectively.
PART 9--CONTRACTOR QUALIFICATIONS
9.104-5 [Amended]
0
19. Amend section 9.104-5 by removing from paragraph (a)(2) ``$3,000''
and adding ``$3,500'' in its place.
9.104-7 [Amended]
0
20. Amend section 9.104-7 by removing from paragraphs (b) and (c)(1)
``$500,000'' and adding ``$550,000'' in their places.
[[Page 70145]]
9.405-2 [Amended]
0
21. Amend section 9.405-2 by removing from paragraph (b) ``$30,000''
and adding ``$35,000'' in their places (twice).
9.406-2 [Amended]
0
22. Amend section 9.406-2 by removing from paragraph (b)(1)(v)
``$3,000'' and adding ``$3,500'' in its place.
9.407-2 [Amended]
0
23. Amend section 9.407-2 by removing from paragraph (a)(7) ``$3,000''
and adding ``$3,500'' in its place.
9.409 [Amended]
0
24. Amend section 9.409 by removing ``$30,000'' and adding ``$35,000''
in its place.
PART 10--MARKET RESEARCH
10.001 [Amended]
0
25. Amend section 10.001 by removing from paragraph (d) ``$5 million''
and adding ``$6 million'' in its place.
10.003 [Amended]
0
26. Amend section 10.003 by removing ``$5 million'' and adding ``$6
million'' in its place.
PART 12--ACQUISITION OF COMMERCIAL ITEMS
12.102 [Amended]
0
27. Amend section 12.102 by removing from the introductory text of
paragraph (f)(2) ``$17.5 million'' and adding ``$20 million'' in its
place; and removing paragraph (g).
12.203 [Amended]
0
28. Amend section 12.203 by removing ``$6.5 million'' and ``$12
million'' and adding ``$7 million'' and ``$13 million'' in their
places, respectively.
PART 13--SIMPLIFIED ACQUISITION PROCEDURES
13.000 [Amended]
0
29. Amend section 13.000 by removing ``$6.5 million'' and ``$12
million'' and adding ``$7 million'' and ``$13 million'' in their
places, respectively.
13.003 [Amended]
0
30. Amend section 13.003 by:
0
a. Removing from paragraph (b)(1) ``$3,000'', ``$15,000'', and
``$300,000'' and adding ``$3,500'', ``$20,000'' and ``$350,000'' in
their places, respectively;
0
b. Removing from paragraph (c)(1)(ii) ``$6.5 million'' and ``$12
million'' and adding ``$7 million'' and ``$13 million'' in their
places, respectively; and
0
c. Removing from paragraph (g)(2) ``$6.5 million'' and ``$12 million''
and adding ``$7 million'' and ``$13 million'' in their places,
respectively.
13.005 [Amended]
0
31. Amend section 13.005 by removing from paragraph (a)(2) ``$30,000''
and adding ``$35,000'' in its place.
13.106-1 [Amended]
0
32. Amend section 13.106-1 by removing from paragraphs (c)(2) and (d)
``$30,000'' and adding ``$25,000'' in their places.
13.201 [Amended]
0
33. Amend section 13.201 by removing from paragraph (g)(1)(i)
``$15,000'' and adding ``$20,000'' in its place.
13.303-5 [Amended]
0
34. Amend section 13.303-5 by:
0
a. Removing from paragraph (b)(1) ``$6.5 million'' and ``$12 million''
and adding ``$7 million'' and ``$13 million'' in their places,
respectively; and
0
b. Removing from paragraph (b)(2) ``$6.5 million'' and ``$12 million''
and adding ``$7 million'' and ``$13 million'' in their places,
respectively.
13.402 [Amended]
0
35. Amend section 13.402 by removing from paragraph (a) ``$30,000'' and
adding ``$35,000'' in its place.
13.500 [Amended]
0
36. Amend section 13.500 by--
0
a. Removing from paragraph (a) ``$6.5 million'' and ``$12 million'' and
adding ``$7 million'' and ``$13 million'' in their places,
respectively; and
0
b. Removing from the introductory text of paragraph (e) ``$12 million''
and adding ``$13 million'' in its place.
13.501 [Amended]
0
37. Amend section 13.501 by:
0
a. Removing from paragraph (a)(2)(i) ``$650,000'' and adding
``$700,000'' in its place;
0
b. Removing from paragraph (a)(2)(ii) ''$650,000'' and ``$12.5
million'' and adding ``$700,000'' and ``$14 million'' in their places,
respectively;
0
c. Removing from paragraph (a)(2)(iii) ``$12.5 million'', ``$62.5
million'', and ``$85.5 million'' and adding ``$14 million'', ``$70
million'', and ``$95.5 million'' in their places, respectively; and
0
d. Removing from paragraph (a)(2)(iv) ``$62.5 million'' and ``$85.5
million'' and adding ``$70 million'' and ``$95.5 million'' in their
places, respectively.
PART 15--CONTRACTING BY NEGOTIATION
15.403-1 [Amended]
0
38. Amend section 15.403-1 by removing from paragraph (c)(3)(iv)
``$17.5 million'' and adding ``$20 million'' in its place.
15.403-4 [Amended]
0
39. Amend section 15.403-4 by removing from the introductory text of
paragraph (a)(1) and paragraph (a)(1)(iii) ``$700,000'' and adding
``$750,000'' in its place.
15.404-3 [Amended]
0
40. Amend section 15.404-3 by removing from paragraph (c)(1)(i) ``$12.5
million'' and adding ``$14 million'' in its place.
15.407-2 [Amended]
0
41. Amend section 15.407-2 by removing from paragraph (c)(1) and the
introductory text of paragraph (c)(2) ``$12.5 million'' and adding
``$14 million'' in their places.
15.408 [Amended]
0
42. Amend section 15.408 in Table 15-2, ``II. Cost Elements'' which
follows paragraph (n)(2)(iii), by removing from paragraph ``A(2)''
``$12.5 million'' and adding ``$14 million'' in its place.
PART 16--TYPES OF CONTRACTS
16.503 [Amended]
0
43. Amend section 16.503 by removing from paragraph (b)(2) ``$103
million'' and adding ``$115 million'' in its place; and removing from
paragraph (d)(1) ``$12.5 million'' and adding ``$14 million'' in its
place.
16.504 [Amended]
0
44. Amend section 16.504 by:
0
a. Removing from the introductory text of paragraph (c)(1)(ii)(D)(1)
``$103 million'' and adding ``$115 million'' in its place;
0
b. Removing from the introductory text of paragraph (c)(1)(ii)(D)(3)
``$103 million'' and adding ``$115 million'' in its place; and removing
from the end of the paragraph the colon and adding an em dash in its
place;
0
c. Removing from the end of paragraph (c)(1)(ii)(D)(3)(i) the period
and adding ``; and'' in its place; and
0
d. Removing from the introductory text of paragraph (c)(2)(i) ``$12.5
million'' and adding ``$14 million'' in its place.
16.505 [Amended]
0
45. Amend section 16.505 by:
0
a. Removing from the introductory text of paragraph (a)(4)(iii)(A)
``$25,000'' and adding ``$30,000'' in its place;
[[Page 70146]]
0
b. Removing from paragraph (b)(1)(i) ``$3,000'' and adding ``$3,500''
in its place;
0
c. Removing from the paragraph (b)(1)(iv) ``$5 million'' and ``$5
million'' and adding ``$5.5 million'' and ``$5.5 million'' in their
places, respectively;
0
d. Removing from paragraph (b)(2)(i) ``$3,000'' and adding ``$3,500''
in its place;
0
e. Removing from the heading of paragraph (b)(2)(ii)(A) ``$3,000'' and
adding ``$3,500'' in its place;
0
f. Removing from the paragraph (b)(2)(ii)(C)(1) ``$650,000'' and adding
``$700,000'' in its place;
0
g. Removing from paragraph (b)(2)(ii)(C)(2) ``$650,000'' and ``$12.5
million'' and adding ``$700,000'' and ``14 million'' in their places,
respectively;
0
h. Removing from paragraph (b)(2)(ii)(C)(3) ``$12.5 million'', ``$62.5
million'', and ``$85.5 million'' and adding ``14 million'', ``70
million'', and ``95.5 million'' in their places, respectively;
0
i. Removing from paragraph (b)(2)(ii)(C)(4) ``$62.5 million'' and
``$85.5 million'' and adding ``70 million'' and ``95.5 million'' in
their places, respectively; and
0
j. Removing from the heading of paragraph (b)(6) ``$5 million'' and
adding ``$5.5 million'' in its place; and removing from the
introductory text ``$5 million'' and adding ``$5.5 million'' in its
place.
16.506 [Amended]
0
46. Amend section 16.506 by removing from paragraphs (f) and (g)
``$12.5 million'' and adding ``$14 million'' in their places; and
removing from paragraph (h) ``$5 million'' and adding ``$6 million'' in
its place.
PART 17--SPECIAL CONTRACTING METHODS
17.108 [Amended]
0
47. Amend section 17.108 by removing from paragraph (a) ``$12.5
million'' and adding ``$14 million'' in its place; and removing from
paragraph (b) ``$125 million'' and adding ``$139.5 million'' in its
place.
17.500 [Amended]
0
48. Amend section 17.500 by removing from paragraph (c)(2) ``$500,000''
and adding ``$550,000'' in its place.
PART 19--SMALL BUSINESS PROGRAMS
19.203 [Amended]
0
49. Amend section 19.203 by removing from paragraph (b) ``$3,000'',
``$15,000'', and ``$300,000'' and adding ``$3,500'', ``$20,000'', and
``$350,000'' in their places, respectively.
19.502-1 [Amended]
0
50. Amend section 19.502-1 by removing from paragraph (b) ``$3,000''
and ``$15,000'' and adding ``$3,500'' and ``$20,000'' in their places,
respectively.
19.502-2 [Amended]
0
51. Amend section 19.502-2 by:
0
a. Removing from paragraph (a) ``$3,000'', ``$15,000'', and
``$300,000'' and adding ``$3,500'', ``$20,000'', and ``$350,000'' in
their places, respectively; and
0
b. Removing from the end of paragraph (b) ``that:'' and adding ``that--
'' in its place.
19.702 [Amended]
0
52. Amend section 19.702 by removing from paragraphs (a)(1) and (2)
``$650,000'' and adding ``$700,000'' in their places.
19.704 [Amended]
0
53. Amend section 19.704 by removing from paragraph (a)(9) ``$650,000''
and adding ``$700,000'' in its place.
19.708 [Amended]
0
54. Amend section 19.708 by removing from paragraph (b)(1) ``$650,000''
and adding ``$700,000'' in its place.
19.805-1 [Amended]
0
55. Amend section 19.805-1 by removing from paragraph (a)(2) ``$6.5
million'' and adding ``$7 million'' in its place.
19.808-1 [Amended]
0
56. Amend section 19.808-1 by removing from paragraph (a) ``$20
million'' and adding ``$22.5 million'' in its place.
19.1306 [Amended]
0
57. Amend section 19.1306 by removing from paragraph (a)(2)(i) ``$6.5
million'' and adding ``$7 million'' in its place.
19.1406 [Amended]
0
58. Amend section 19.1406 by removing from paragraph (a)(2)(i) ``$6
million'' and adding ``$6.5 million'' in its place; and removing from
paragraph (a)(2)(ii) ``$3.5 million'' and adding ``$4 million'' in its
place.
PART 22--APPLICATION OF LABOR LAWS TO GOVERNMENT
22.1103 [Amended]
0
59. Amend section 22.1103 by removing ``$650,000'' and adding
``$700,000'' in its place.
22.1303 [Amended]
0
60. Amend section 22.1303 by removing from paragraphs (a) and (c)
``$100,000'' and adding ``$150,000'' in their places.
22.1310 [Amended]
0
61. Amend section 22.1310 by removing from paragraph (a)(1)
``$100,000'' and adding ``$150,000'' in its place.
PART 25--FOREIGN ACQUISITION
25.703-2 [Amended]
0
62. Amend section 25.703-2 by removing from paragraph (a)(2) ``$3,000''
and adding ``$3,500'' in its place.
25.703-4 [Amended]
0
63. Amend section 25.703-4 by removing from paragraphs (c)(5)(ii),
(c)(7)(iii), and (c)(8)(iii) ``$3,000'' and adding ``$3,500'' in their
places.
PART 26--OTHER SOCIOECONOMIC PROGRAMS
26.404 [Amended]
0
64. Amend section 26.404 by removing ``$25,000'' and adding ``$30,000''
in its place.
PART 28--BONDS AND INSURANCE
28.102-1 [Amended]
0
65. Amend section 28.102-1 by removing from paragraph (b)(1)
``$30,000'' and adding ``$35,000'' in its place.
28.102-2 [Amended]
0
66. Amend section 28.102-2 by removing from paragraph (c) ``$30,000''
and adding ``$35,000'' in its place.
28.102-3 [Amended]
0
67. Amend section 28.102-3 by removing from paragraph (b) ``$30,000''
and adding ``$35,000'' in its place.
PART 32--CONTRACT FINANCING
32.104 [Amended]
0
68. Amend section 32.104 by removing from paragraphs (d)(2)(i) and (ii)
``$2.5 million'' and adding ``$3 million'' in their places.
[[Page 70147]]
PART 42--CONTRACT ADMINISTRATION AND AUDIT SERVICES
42.709 [Amended]
0
69. Amend section 42.709 by removing from paragraph (b) ``$700,000''
and adding ``$750,000'' in its place.
42.709-6 [Amended]
0
70. Amend section 42.709-6 by removing ``$700,000'' and adding
``$750,000'' in its place.
42.1502 [Amended]
0
71. Amend section 42.1502 by removing from paragraph (e) ``$650,000''
and adding ``$700,000'' in its place (twice); and removing from
paragraph (f) ``$30,000'' and adding ``$35,000'' in its place (twice).
PART 50--EXTRAORDINARY CONTRACTUAL ACTIONS AND THE SAFETY ACT
50.102-1 [Amended]
0
72. Amend section 50.102-1 by removing from paragraph (b) ``$65,000''
and adding ``$70,000'' in its place.
50.102-3 [Amended]
0
73. Amend section 50.102-3 by removing from paragraph (b)(4) ``$31.5
million'' and adding ``$35 million'' in its place; and removing from
paragraphs (e)(1)(i) and (ii) ``$65,000'' and adding ``$70,000'' in
their places.
PART 52--SOLICITATION PROVISIONS AND CONTRACT CLAUSES
0
74. Amend section 52.203-13 by revising the date of clause; and
removing from paragraph (d)(1) ``$5,000,000'' and adding ``$5.5
million'' in its place.
The revised text reads as follows:
52.203-13 Contractor Code of Business Ethics and Conduct
* * * * *
Contractor Code of Business Ethics and Conduct (Date)
* * * * *
0
75. Amend section 52.203-14 by revising the date of the clause; and
removing from the introductory text of paragraph (d) ``$5,000,000'' and
adding ``$5.5 million'' in its place.
The revised text reads as follows:
52.203-14 Display of Hotline Poster(s).
* * * * *
Display of Hotline Poster(s) (Date)
* * * * *
0
76. Amend section 52.204-10 by revising the date of the clause;
removing from paragraphs (d)(2) and (3) ``$25,000'' and adding
``$30,000'' in their places; and revising paragraph (e).
The revised text reads as follows:
52.204-10 Reporting Executive Compensation and First-Tier Subcontract
Awards.
* * * * *
Reporting Executive Compensation and First-Tier Subcontract Awards
(Date)
* * * * *
(e) The Contractor shall not split or break down first-tier
subcontract awards to a value less than $30,000 to avoid the reporting
requirements in paragraph (d) of this clause.
* * * * *
0
77. Amend section 52.209-5 by revising the date of the provision; and
removing from paragraph (a)(1)(i)(D) ``$3,000'' and adding ``$3,500''
in its place.
The revised text reads as follows:
52.209-5 Certification Regarding Responsibility Matters.
* * * * *
Certification Regarding Responsibility Matters (Date)
* * * * *
0
78. Amend section 52.209-6 by revising the date of the clause; and
removing from paragraphs (b), (c), and (e)(1) ``$30,000'' and adding
``$35,000'' in their places.
The revised text reads as follows:
52.209-6 Protecting the Government's Interest When Subcontracting with
Contractors Debarred, Suspended, or Proposed for Debarment.
* * * * *
Protecting the Government's Interest When Subcontracting With
Contractors Debarred, Suspended, or Proposed for Debarment (Date)
* * * * *
0
79. Amend section 52.212-1 by revising the date of the provision; and
removing from paragraph (j) ``$3,000'' and adding ``$3,500'' in its
place (twice).
The revised text reads as follows:
52.212-1 Instructions to Offerors--Commercial Items.
* * * * *
Instructions to Offerors--Commercial Items (Date)
* * * * *
0
80. Amend section 52.212-3 by revising the date of the provision; and
removing from paragraphs (h)(4) and (o)(2)(iii) ``$3,000'' and adding
``$3,500'' in their places. The revised text reads as follows:
52.212-3 Offeror Representations and Certifications--Commercial Items.
* * * * *
Offeror Representations and Certifications--Commercial Items (Date)
* * * * *
0
81. Amend section 52.212-5 by--
0
a. Revising the date of the clause;
0
b. Revising paragraphs (b)(2), (b)(4), (b)(8), (b)(17)(i), adding
paragraph (b)(17)(iv), and revising paragraphs (b)(29), (b)(31), and
(b)(33);
0
c. Revising paragraph (c)(8);
0
d. Revising paragraph (e)(1)(i);
0
e. Removing from paragraph (e)(1)(ii) ``$650,000'' and adding
``$700,000'' in its place;
0
f. Revising paragraphs (e)(1)(v), (vii), (xiii), and (xv); and
0
g. Amending Alternate II by revising the date of Alternate II and
paragraphs (e)(1)(ii)(A), (C), (E), (L) and (M).
The revisions read as follows:
52.212-5 Contract Terms and Conditions Required to Implement Statutes
or Executive Orders--Commercial Items.
* * * * *
Contract Terms and Conditions Required to Implement Statutes or
Executive Orders--Commercial Items (Date)
* * * * *
(b) * * *
_(2) 52.203-13, Contractor Code of Business Ethics and Conduct
(Date) (41 U.S.C. 3509).
* * * * *
_(4) 52.204-10, Reporting Executive Compensation and First-Tier
Subcontract Awards (Date) (Pub. L. 109-282) (31 U.S.C. 6101 note).
* * * * *
_(8) 52.209-6, Protecting the Government's Interest When
Subcontracting with Contractors Debarred, Suspended, or Proposed for
Debarment. (Date) (31 U.S.C. 6101 note).
* * * * *
_(17)(i) 52.219-9, Small Business Subcontracting Plan (Date) (15
U.S.C. 637(d)(4)).
* * * * *
(iv) Alternate III (Date) of 52.219-9.
* * * * *
_(29) 52.222-35, Equal Opportunity for Veterans (Date) (38
U.S.C. 4212).
* * * * *
_(31) 52.222-37, Employment Reports on Veterans (Date) (38
U.S.C. 4212).
* * * * *
_(33) 52.222-54, Employment Eligibility Verification (Date).
(Executive Order 12989). (Not applicable to the acquisition of
commercially available off-the-shelf items or certain other types of
commercial items as prescribed in 22.1803.)
* * * * *
[[Page 70148]]
(c) * * *
(8) 52.226-6, Promoting Excess Food Donation to Nonprofit
Organizations (Date) (42 U.S.C. 1792).
* * * * *
(e)(1) * * *
(i) 52.203-13, Contractor Code of Business Ethics and Conduct
(Date) (41 U.S.C. 3509).
* * * * *
(v) 52.222-35, Equal Opportunity for Veterans (Date) (38 U.S.C.
4212).
* * * * *
(vii) 52.222-37, Employment Reports on Veterans (Date) (38
U.S.C. 4212).
* * * * *
(xiii) 52.222-54, Employment Eligibility Verification (Date)
(Executive Order 12989).
* * * * *
(xv) 52.226-6, Promoting Excess Food Donation to Nonprofit
Organizations (Date) (42 U.S.C. 1792).
Flow down required in accordance with paragraph (e) of FAR clause
52.226-6.
* * * * *
Alternate II (Date). * * *
* * * * *
(e)(1) * * *
(ii) * * *
(A) 52.203-13, Contractor Code of Business Ethics and Conduct
(Date) (41 U.S.C. 3509).
* * * * *
(C) 52.219-8, Utilization of Small Business Concerns (Date) (15
U.S.C. 637(d)(2) and (3)), in all subcontracts that offer further
subcontracting opportunities. If the subcontract (except
subcontracts to small business concerns) exceeds $700,000 ($1.5
million for construction of any public facility), the subcontractor
must include 52.219-8 in lower tier subcontracts that offer
subcontracting opportunities.
* * * * *
(E) 52.222-35, Equal Opportunity for Veterans (Date) (38 U.S.C.
4212).
* * * * *
(L) Employment Eligibility Verification (Date) (Executive Order
12989).
(M) 52.226-6, Promoting Excess Food Donation to Nonprofit
Organizations. (Date) (42 U.S.C. 1792). Flow down required in
accordance with paragraph (e) of FAR clause 52.226-6.
* * * * *
0
82. Amend section 52.213-4 by--
0
a. Revising the date of the clause; and
0
b. Revising paragraphs (a)(2)(viii), (b)(1)(i), (iv), (vi), (xi), and
(b)(2)(i).
The revised text reads as follows:
52.213-4 Terms and Conditions--Simplified Acquisitions (Other Than
Commercial Items).
* * * * *
Terms and Conditions--Simplified Acquisitions (Other Than Commercial
Items) (Date)
(a) * * *
(2) * * *
(viii) 52.244-6, Subcontracts for Commercial Items (Date).
* * * * *
(b) * * *
(1) * * *
(i) 52.204-10, Reporting Executive Compensation and First-Tier
Subcontract Awards (Date) (Pub. L. 109-282) (31 U.S.C. 6101 note)
(Applies to contracts valued at $30,000 or more).
* * * * *
(iv) 52.222-35, Equal Opportunity for Veterans (Date) (38 U.S.C.
4212) (applies to contracts of $150,000 or more).
* * * * *
(vi) 52.222-37, Employment Reports on Veterans (Date) (38 U.S.C.
4212) (applies to contracts of $150,000 or more).
* * * * *
(xi) 52.226-6, Promoting Excess Food Donation to Nonprofit
Organizations (Date) (42 U.S.C. 1792) (Applies to contracts greater
than $30,000 that provide for the provision, the service, or the
sale of food in the United States).
* * * * *
(2) * * *
(i) 52.209-6, Protecting the Government's Interest When
Subcontracting with Contractors Debarred, Suspended, or Proposed for
Debarment (Date) (Applies to contracts over $35,000).
* * * * *
0
83. Amend section 52.219-9 by--
0
a. Revising the date of the clause;
0
b. Removing from paragraph (d)(9) and paragraph (l)(2)(i)(C)
``$650,000'' and adding ``$700,000'' in their places;
0
c. Amend Alternate III by--
0
1. Revising the date of Alternate III;
0
2. Removing from paragraph (l)(2)(C) ``$550,000'' and ``$1,000,000''
and adding ``$700,000'' and ``$1.5 million'' in their places,
respectively.
The revised text reads as follows:
52.219-9 Small Business Subcontracting Plan.
* * * * *
Small Business Subcontracting Plan (Date)
* * * * *
Alternate III (Date).
* * ** * * * *
0
84. Amend section 52.222-35 by revising the date of the clause; and
removing from paragraph (c) ``$100,000'' and adding ``$150,000'' in its
place.
The revised text reads as follows:
52.222-35 Equal Opportunity for Veterans.
* * * * *
Equal Opportunity for Veterans (Date)
* * * * *
0
85. Amend section 52.222-37 by revising the date of the clause; and
removing from paragraph (g) ``$100,000'' and adding ``$150,000'' in its
place. The revised text reads as follows:
52.222-37 Employment Reports on Veterans.
* * * * *
Employment Reports on Veterans (Date)
* * * * *
0
86. Amend section 52.222-54 by revising the date of the clause; and
removing from paragraph (e)(2) ``$3,000'' and adding ``$3,500'' in its
place. The revised text reads as follows:
52.222-54 Employment Eligibility Verification.
* * * * *
Employment Eligibility Verification (Date)
* * * * *
0
87. Amend section 52.225-25 by revising the date of the provision; and
removing from paragraph (c)(3) ``$3,000'' and adding ``$3,500'' in its
place.
The revised text reads as follows:
52.225-25 Prohibition on Contracting With Entities Engaging in Certain
Activities or Transactions Relating to Iran--Representation and
Certifications.
* * * * *
Prohibition on Contracting With Entities Engaging in Certain Activities
or Transactions Relating to Iran--Representation and Certifications
(Date)
* * * * *
0
88. Amend section 52.226-6 by revising the date of the clause; and
removing from paragraph (e) ``$25,000'' and adding ``$30,000'' in its
place.
The revised text reads as follows:
52.226-6 Promoting Excess Food Donation to Nonprofit Organizations.
* * * * *
Promoting Excess Food Donation to Nonprofit Organizations (Date)
* * * * *
0
89. Amend section 52.244-6 by--
0
a. Revising the date of the clause;
0
b. Revising paragraph (c)(1)(i);
0
c. Removing from paragraph (c)(1)(iii) ``$650,000'' and adding
``$700,000'' in its place; and
0
d. Revising paragraphs (c)(1)(v) and (vii).
The revised text reads as follows:
52.244-6 Subcontracts for Commercial Items.
* * * * *
[[Page 70149]]
Subcontracts for Commercial Items (Date)
* * * * *
(c)(1) * * *
(i) 52.203-13, Contractor Code of Business Ethics and Conduct
(Date) (41 U.S.C. 3509), if the subcontract exceeds $5.5 million and
has a performance period of more than 120 days. In altering this
clause to identify the appropriate parties, all disclosures of
violation of the civil False Claims Act or of Federal criminal law
shall be directed to the agency Office of the Inspector General,
with a copy to the Contracting Officer.
* * * * *
(v) 52.222-35, Equal Opportunity for Veterans (Date) (38 U.S.C.
4212(a));
* * * * *
(vii) 52.222-37, Employment Reports on Veterans (Date) (38
U.S.C. 4212).
* * * * *
0
90. Amend section 52.248-3 by revising the date of the clause; and
removing from paragraph (h) ``$65,000'' and adding ``$70,000'' in its
place. The revised text reads as follows:
52.248-3 Value Engineering--Construction.
* * * * *
Value Engineering--Construction (Date)
* * * * *
PART 53--FORMS
53.301-294 Subcontracting Report for Individual Contracts.
0
91. Revise section 53.301-294 to read as follows:
BILLING CODE 6820-14-P
[[Page 70150]]
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[[Page 70151]]
[GRAPHIC] [TIFF OMITTED] TP25NO14.056
[[Page 70152]]
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[[Page 70153]]
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[[Page 70154]]
[FR Doc. 2014-27512 Filed 11-24-14; 8:45 am]
BILLING CODE 6820-EP-C