Federal Acquisition Regulation: High Global Warming Potential Hydrofluorocarbons, 30429-30438 [2016-10998]
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Federal Register / Vol. 81, No. 94 / Monday, May 16, 2016 / Rules and Regulations
activity to approve a contracting officer
determination to select more than five
offerors to submit phase-two proposals.
The approval level is delegable no lower
than the senior contracting official
within the contracting activity. This rule
change does not place any new
requirements on small entities.
Item V—Technical Amendments
Editorial changes are made at FAR
1.106.
Dated: May 5, 2016.
William Clark,
Director, Office of Government-wide
Acquisition Policy, Office of Acquisition
Policy, Office of Government-wide Policy.
Federal Acquisition Circular (FAC)
2005–88 is issued under the authority of
the Secretary of Defense, the
Administrator of General Services, and
the Administrator for the National
Aeronautics and Space Administration.
Unless otherwise specified, all
Federal Acquisition Regulation (FAR)
and other directive material contained
in FAC 2005–88 is effective May 16,
2016 except for items I, II, III, and IV,
which are effective June 15, 2016.
Dated: May 4, 2016.
Claire M. Grady,
Director, Defense Procurement and
Acquisition Policy.
Dated: May 5, 2016.
Jeffrey A. Koses,
Senior Procurement Executive/Deputy CAO,
Office of Acquisition Policy, U.S. General
Services Administration.
Dated: April 28, 2016.
William P. McNally,
Assistant Administrator, Office of
Procurement National Aeronautics and
Space Administration.
[FR Doc. 2016–10995 Filed 5–13–16; 8:45 am]
DEPARTMENT OF DEFENSE
GENERAL SERVICES
ADMINISTRATION
NATIONAL AERONAUTICS AND
SPACE ADMINISTRATION
48 CFR Parts 1, 2, 7, 11, 23, 25, and 52
[FAC 2005–88; FAR Case 2014–026; Item
I; Docket No. 2014–0026; Sequence 1]
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RIN 9000–AM87
Federal Acquisition Regulation: High
Global Warming Potential
Hydrofluorocarbons
Department of Defense (DoD),
General Services Administration (GSA),
and National Aeronautics and Space
Administration (NASA).
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Final rule.
DoD, GSA, and NASA are
issuing a final rule amending the
Federal Acquisition Regulation (FAR) to
implement Executive branch policy in
the President’s Climate Action Plan to
procure, when feasible, alternatives to
high global warming potential (GWP)
hydrofluorocarbons (HFCs). This final
rule will allow agencies to better meet
the greenhouse gas emission reduction
goals and reporting requirements of the
Executive Order on Planning for
Sustainability in the Next Decade.
DATES: Effective: June 15, 2016.
FOR FURTHER INFORMATION CONTACT: Mr.
Charles Gray, Procurement Analyst, at
703–795–6328, for clarification of
content. For information pertaining to
status or publication schedules, contact
the Regulatory Secretariat Division at
202–501–4755. Please cite FAC 2005–
88, FAR Case 2014–026.
SUPPLEMENTARY INFORMATION:
SUMMARY:
I. Background
DoD, GSA, and NASA published a
proposed rule at 80 FR 26883, on May
11, 2015, to implement Executive
branch policy in the President’s Climate
Action Plan to procure, when feasible,
alternatives to high GWP HFCs. This
final rule will allow agencies to better
meet the greenhouse gas emission
reduction goals and reporting
requirements of the Executive Order
13693, Planning for Federal
Sustainability in the Next Decade, of
March 25, 2015.
Sixteen respondents submitted
comments on the proposed rule.
II. Discussion and Analysis
The Civilian Agency Acquisition
Council and the Defense Acquisition
Regulations Council (the Councils)
reviewed the public comments in the
development of the final rule. A
discussion of the comments and the
changes made to the rule as a result of
those comments are provided as
follows:
BILLING CODE 6820–EP–P
AGENCY:
ACTION:
A. Summary of Significant Changes
From the Proposed Rule
In response to public comments
received, the final rule contains the
following changes from the proposed
rule:
• Clarified the definition of ‘‘high
global warming potential
hydrofluorocarbons’’ to make it specific
to a particular end use.
• Included the use of reclaimed HFCs
as products that minimize or eliminate
the use, release, or emission of high
GWP HFCs.
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• Clarified that the clause
prescription exception is for supplies
that will be delivered outside the United
States and its outlying areas as well as
for contracts for services performed
outside the United States and its
outlying areas.
• Added in the clauses at 52.223–20
and 52.223–21 environmental,
technical, and economic factors to
consider when determining feasibility.
B. Analysis of Public Comments
1. General
a. Support the Objectives of the Rule
Comments: Many of the respondents
expressed specific support for the
objectives of the rule. Several
respondents applauded DoD, GSA, and
NASA in proposing that Federal
agencies procure, when feasible,
alternatives to high-GWP HFC
refrigerants. Other respondents stated
that the proposed rule is a step in the
right direction and could have
considerable impact on reducing the
Government’s greenhouse gas emissions
and helping Federal agencies and
departments meet several Executive
actions and orders pertaining to HFCs.
Response: Noted.
b. Oppose the Objectives of the Rule
Comment: One respondent believed
that global warming is a farce and that
the Government should not be allowed
to acquire anything because of global
warming.
Response: The FAR Council is
responsible for the implementation of
the Executive orders and policies of the
Administration. DoD, NASA, and GSA
have prepared this rule to implement
and facilitate compliance with
Executive Order 13693, Planning for
Sustainability in the Next Decade, and
the President’s Climate Action Plan.
2. Definition of ‘‘high global warming
potential hydrofluorocarbons’’
Various respondents commented on
the definition of ‘‘high global warming
potential hydrofluorocarbons.’’ One of
these respondents questioned whether
the identification of a lower GWP HFC
alternative pursuant to the SNAP
program meant that the Government
would be required to use the alternative.
Response: The Councils have further
clarified in the final rule that the term
‘‘high global warming potential
hydrofluorocarbons’’ means any
hydrofluorocarbons in a particular end
use for which EPA’s Significant New
Alternatives Policy (SNAP) program has
identified other acceptable alternatives
that have lower global warming
potential. The SNAP list of alternatives
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is found at 40 CFR part 82, subpart G,
with supplemental tables of alternatives
available at https://www.epa.gov/snap.
For every end use, the SNAP program
lists include several different
alternatives as acceptable for the same
end use or application and provides
information, including the GWPs of
alternatives. The decision as to which of
the SNAP-listed acceptable alternatives
to select in a particular end use should
emphasize the alternative with the
lowest GWP that meets the needs of the
user.
With regard to the required use of a
lower GWP HFC product identified in
the SNAP list of alternatives products,
the Government’s decision to do so
must take into consideration the
feasibility of moving on to an
alternative. This decision will require
the assessment of a number of factors,
including lifecycle costs and the overall
energy efficiency achieved through the
substitution of a lower GWP HFC
product.
Comment: One respondent criticized
the SNAP program, upon which the
proposed definition is based. Among
other concerns, the respondent believes
that the SNAP program has identified
some substitutes that have significant
drawbacks, including poor thermal
efficiency, flammability issues,
processing difficulties, and limited
global availability. Similarly, another
respondent did not agree that the
definition of high GWP HFCs should be
created by simple reference to the SNAP
program, because other relevant factors
need to be considered (see also section
3.d.). Another respondent commented
that the term ‘‘high global warming
potential hydrofluorocarbons’’ was
defined solely in term of relative GWP
(compared to alternatives approved
under the EPA’s SNAP program.) The
respondent is concerned that the
policies based on this definition fail to
take into account other major causes of
climate impact.
Response: In response to the concern
raised by one respondent regarding
significant drawbacks of some
substitutes identified by SNAP, it is
helpful to understand the SNAP
program’s framework for review and
listings. EPA applies seven specific
criteria for determining whether a
substitute is acceptable or unacceptable.
These criteria, which can be found at 40
CFR 82.180(a)(7), include atmospheric
effects and related health and
environmental effects, ecosystem risks,
consumer risks, flammability, and cost
and availability of the substitute. To
enable EPA to assess these criteria, EPA
requires submitters to include various
information including ozone depletion
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potential (ODP), GWP, toxicity,
flammability, and the potential for
human exposure. The SNAP program
does not review for a substitute’s
performance or efficacy. The SNAP list
of alternatives evolves as new
substitutes become available and
substitutes that pose significantly
greater risk than other available
substitutes are determined to no longer
be acceptable for use. These changes
occur because of the changing
availability of substitutes for a specific
use as well as EPA’s overall
understanding of the environmental and
human health impacts of substitutes
already listed as compared with new
substitutes. However, as changes are
made to the SNAP lists, EPA assures
users that multiple substitutes are
available for any given end use and that
end users continue to have options.
In its recent final rule, published at 80
FR 42869, on July 20, 2015, EPA
modified the listings for certain HFCs
and HFC blends in various end uses in
the aerosols, foam blowing, and
refrigeration and air conditioning
sectors where other alternatives were
available or potentially available that
posed lower overall risk to human
health and the environment. Pursuant to
the guiding principles of the SNAP
program, the action did not specify that
any HFCs are unacceptable across all
sectors and end uses. Consistent with
section 612 of the Clean Air Act (42
U.S.C. 7671k) as EPA has historically
interpreted it under the SNAP program,
EPA made the modifications based on
evaluation of the substitutes addressed
in that action using the SNAP criteria
for evaluation and considering the
current suite of other available and
potentially available substitutes.
For the refrigerant and foam blowing
agent end uses, equipment design is
critical. Thus, there is a range of thermal
conductivity and insulation values
among the acceptable alternatives, with
some having lower values than the
HFCs previously used (as well as ozonedepleting substances (ODS)) some
having higher values, and others having
comparable values. In EPA’s recent
rulemaking published at 80 FR 42869,
on July 20, 2015, EPA noted that no
information provided to EPA suggests
that the alternatives that remain
acceptable result in lower energy
efficiency. In fact, as stated in the
preamble to the rule, available
information indicates that the opposite
can be true, that the acceptable
alternatives not subject to a status
change have been used in equipment or
used to produce insulating foam that
provide for better energy efficiency.
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In response to the respondent who
disagreed that the definition of high
GWP HFCs should refer just to the
SNAP program, the Councils note that
the definition does not bind the end
user to select any specific alternative or
to ignore assessment of the unique
needs that end user may be facing.
Rather, requiring activities can use the
information provided by the SNAP list
of alternatives, including information on
the GWP of alternatives, in addition to
other factors, in the selection of
products and equipment that best meet
their needs. Please see related response
below regarding comments on the
feasibility of moving to alternatives.
In response to the respondent who
commented that the term ‘‘high global
warming potential hydrofluorocarbons’’
was defined solely in terms of relative
GWP (compared to other alternatives
approved under the EPA’s SNAP
program) and was concerned that this
failed to take into account other major
causes of climate impact, the term is
intended to reflect differences in GWP.
This is consistent with how climate
impacts are considered under the SNAP
program (See section VII.A.3., GWP
Considerations, in the preamble to the
recent EPA SNAP final rule published at
80 FR 42870 at 42937, on July 20, 2015).
Users may take into account additional
factors, such as energy efficiency, in
deciding which of the lower-GWP
alternatives listed as acceptable under
SNAP meet their needs. For
clarification, please also see the
response below that discusses other
factors such as energy efficiency, which
are related to the performance of the
equipment, whereas GWP relates to the
intrinsic characteristic and potential
environmental impact of the chemical
itself.
3. Policy.
a. Lower vs. lowest/climate-friendly
Comment: One respondent, primarily
addressing refrigerants, recommended
addition of the following definitions to
the rule:
‘‘Climate-friendly’’ alternative means
an alternative that is listed as acceptable
under the EPA’s SNAP program (40 CFR
part 82, subpart G) that has a GWP of
less than 150.
‘‘Lowest GWP alternative’’ means an
alternative that is identified as
acceptable under the EPA’s SNAP
program and has the lowest GWP
compared to all other acceptable
alternatives for the relevant end use and
has a GWP under 150 for new
equipment and a GWP at least 50
percent lower than the current
refrigerant for retrofits.
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The respondent further recommended
a policy that would avoid procurement
of mid-range GWP alternatives (from
300 to 1500 GWP) if truly low GWP
alternatives have been proven and
commercialized, because use of midrange alternatives would set up a
circumstance where a future phase-out
in just a few years will be necessary to
remove these mid-range GWP
alternatives due to their impact on the
climate. Consistent with the definition
recommended by the respondent, the
respondent also recommended that the
Government should not purchase any
new equipment or product unless it has
a refrigerant with a GWP of less than
150 and for retrofits, higher GWP
refrigerants can be used if they have
GWPs of at least 50 percent less than the
current refrigerant that will be replaced.
Otherwise, the respondent
recommended that the old system
should be decommissioned and
replaced.
Response: While GWP is an important
criterion, it should not be the sole
criterion for consideration. The EPA
SNAP program conducts comparative
risk analyses for each end use and
alternative, and has not set specific
GWP limits for acceptable alternatives
in a specific end use. For example,
while an alternative refrigerant in one
application might have a GWP that
meets the respondent’s proposed GWP
limit of 150, there may be other human
health or environmental considerations
for the particular end use or application
(e.g., toxicity limits, flammability) that
may lead the user to determine that
another alternative is more suitable for
that particular application. For this
reason and others, Federal agency
requiring activities and contractors need
the flexibility to be able to evaluate the
entire suite of lower GWP alternatives
and to balance direct climate impacts,
energy efficiency, safety, performance,
and other user needs before selecting
the one most appropriate for their
specific use.
b. Timing
Various respondents commented on
the timing of when the FAR rule should
take effect.
Comment: Several respondents
recommended that the enactment of this
rule should be tied to the HFC
conversion timelines within the EPA
SNAP rule published at 80 FR 42870, on
July 20, 2015, and that this rule is
imposing use of lower GWP alternatives
‘‘earlier than required.’’ Unless
otherwise noted, all references to a
SNAP rule in this document are in
reference to the final rule published at
80 FR 42870, on July 20, 2015.
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According to one of the respondents, the
SNAP final rule specified that use of
HFC–134a would be unacceptable for
use in polystyrene extruded boardstock
and billet as of January 1, 2021.
Response: It is not the intent of this
rule to require conversion to alternatives
on earlier timelines than in the SNAP
final rule. Rather, as stated in the
background section of the proposed
FAR rule, the purpose of this final rule
is to facilitate the purchase of cleaner
alternatives to HFCs whenever feasible
and transition over time to equipment
that uses safer and more sustainable
alternatives.
Comment: A respondent also
recommended coordinating with
Department of Energy rulemaking on
energy efficiency and conservation
standards. Companies are working to
comply with these stringent new
standards.
Response: The Councils are aware of
the Department of Energy (DOE)
rulemaking titled, ‘‘Energy Efficiency
Standards for New Federal Commercial
and Multi-Family High-Rise Residential
Buildings’ Baseline Standards Update’’,
published at 80 FR 68749, on November
6, 2015, and have taken the DOE rules
into account in drafting this final rule.
The rule requires reduction in the use,
release, and emissions of high GWP
HFCs only when feasible. The clauses
state that a determination of feasibility
would include consideration of energy
efficiency.
Comment: One respondent noted that
there is a great range of speeds by which
the sectors, and the companies within
them, who use HFCs, can transition into
lower GWP alternatives. Another
respondent stated that a transition to
low GWP blowing agents must be
conducted over a timeline that allows
individual manufacturers to identify
suitable alternatives and conduct
necessary product development and
testing to fully commercialize new
formulations. Another respondent
recommended modifying the clause at
FAR 52.223–12(c)(1) to require
transitioning ‘‘at the earliest feasible
time’’ from high GWP HFCs to
acceptable alternatives.
Response: The President’s Climate
Action Plan specifically directs agencies
to purchase cleaner alternatives to HFCs
whenever feasible and transition over
time to equipment that uses safer and
more sustainable alternatives. The
language used in the Climate Action
Plan: (1) Recognizes that there are
technical hurdles that must be overcome
to identify suitable alternatives, conduct
necessary product development and
testing, and fully commercialize new
formulations; and (2) envisions a
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transition ‘‘over time.’’ Accordingly, this
final rule allows existing Government
equipment to be utilized until the end
of its useful life, thus minimizing
stranded capital.
c. Acceptability and Feasibility
Comments: More than half of the
respondents commented on the need to
consider factors other than low GWP
value in determining the acceptability
and/or feasibility of using a lower GWP
alternative. According to many
respondents, lower GWP alternatives
must be both environmentally and
economically acceptable. One
respondent stated that considering only
the GWP of a compound may not be
appropriate, depending on the
circumstances of a particular use. This
respondent also stated that GWP alone
is an insufficient measure of a product’s
impact on human health and the
environment. A few respondents stated
the need for a definition of ‘‘feasible.’’
They noted that without a definition,
contractors will have little guidance as
to when adoption of low GWP
substances would be appropriate and/or
required and the rule will have little
impact on procurement decisions.
i. Life Cycle/Energy Efficiency
Many of the respondents
recommended consideration of the total
life-cycle of an alternative product, such
as in-use emission rates and energy
efficiency benefits.
• With regard to refrigerants, a
respondent commented that the
majority of the climate impact from
refrigerant used results from the energy
consumed by the air conditioning
system (i.e., the indirect impact) and not
from the GWP of the refrigerant itself
(i.e., the direct climate impact).
According to the respondent, refrigerant
selection has a substantial impact on the
energy efficiency of the air conditioning
system in which the refrigerant will be
used.
• With regard to foam insulation, a
respondent commented on the
importance of the use of thermal
insulation for increased energy
efficiency to reduce global warming.
Likewise, another respondent pointed
out the need to consider the life-cycle
benefits of products, because if less
energy efficient insulation products are
used in the construction of a building
the result may be increased greenhouse
gas emissions over the life of the
building or facility.
ii. Safety—Flammability
Several respondents commented on
the need to consider key product
attributes that affect safety, such as
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flammability. Another respondent
mentioned that feasible alternatives
should consider standards and codes
compliance (such as safety standards).
iii. Technical Capability
Several respondents commented on
the necessity to consider technical
capability of the proposed alternative to
avoid inadvertently selecting a product
that will prove to be less energy
efficient.
iv. Commercial Availability
Several respondents commented on
the need for alternatives to be
commercially available. One respondent
recommended that absence of
commercially available alternatives
should constitute a viable exemption
from the provisions of the rule. One
respondent recommended that decisions
on feasibility of low GWP alternatives
need to be assessed based on available
technologies.
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v. Cost
Several respondents mentioned cost
as another factor for consideration. One
respondent asked whether the taxpayer
should be forced to pay more than the
general public, by adopting lower GWP
products earlier than required.
vi. Definition
One of the respondents recommended
defining ‘‘feasibility’’ as ‘‘a
commercially available alternative with
a GWP lower than that of the currently
used substance in the relevant
application, that (1) is identified by EPA
as an acceptable alternative under 40
CFR part 82, which increases the total
cost of the installation or bid by not
more than 10 percent more than would
be the cost if high GWP substances were
used.’’
Response: The concerns raised by the
respondents in paragraphs 3.c.i. through
vi. of this analysis of the public
comments are issues considered by EPA
in making listing decisions under the
SNAP program. Section 612 of the Clean
Air Act provides that EPA must prohibit
the use of a substitute where EPA has
determined that there are other available
substitutes that pose less overall risk to
human health and the environment for
that use. EPA reviews substitutes using
a comparative risk framework and GWP
is only one of several criteria EPA
considers in its overall evaluation. EPA
also considers factors such as ozone
depletion potential, exposure
assessments, flammability, toxicity, and
other environmental impacts. In
addition, in the recent change of status
rule in which EPA changed the status of
a number of high GWP substitutes from
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acceptable to unacceptable, EPA
considered the technical challenges of a
transition and the supply of other
alternatives in establishing the
transition date. As the term is used in
this rule, ‘‘feasible’’ means not only
capable of being accomplished, but
capable of being accomplished
successfully and suitably. All of the
factors mentioned by respondents are
relevant in the decision as to which
acceptable alternative is preferable in a
given application. Alternatives that have
been determined acceptable by EPA
under the SNAP Program should still be
evaluated in each particular application
in terms of environmental, technical,
and economic feasibility. The FAR
Council does not have a basis (such as
statute or Executive Order) upon which
to establish a specific cost differential
that would constitute an unreasonable
cost. An assessment of whether a cost is
unreasonable depends partly on the
benefits to be derived from use of the
alternative and other economic factors.
Therefore, the final rule does not define
the term ‘‘feasibility,’’ but provides
direction to the Federal user and
contractor in terms of factors to be
considered when determining the
feasibility of using an acceptable lower
GWP alternative (FAR 52.223–20,
Aerosols, and 52.223–21, Foams).
d. Refrigerant Management
Comment: Many of the respondents
commented on the need for better
refrigerant management, including the
recovery, reclamation, and reuse of
refrigerant.
• Leaks and accidental or intentional
venting of refrigerant. As stated by one
respondent, refrigeration and air
conditioning systems are prone to leaks
during normal operations. Even with
aggressive leak detection, these
appliances and systems require
servicing to maintain the proper
refrigerant change and performance.
Another respondent emphasized that air
conditioning and refrigeration systems
are actually non-emissive uses of HFCs
since these are closed systems. The
concern with HFCs, therefore, is not the
use, but the misuse. According to the
respondent, the vast amount of HFC
emissions result from leaks and
accidental or intentional venting of
refrigerant.
• Increase the use of reclaimed
refrigerants. According to one
respondent, nearly all lost refrigerant is
replaced with newly produced virgin
refrigerant. Another respondent
recommended that the benefits of the
proposed rule could be significantly
enhanced by defining acceptable low
GWP alternatives to include reclaimed
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refrigerants. Rather than wait for low
GWP alternatives to be deployed in
retrofitted or newly installed
equipment, the Federal Government can
significantly reduce greenhouse gas
emissions in the near-term by including
reclaimed HFC refrigerant as part of the
procurement priorities. Another
respondent recommended that the
Government should give preference to
the use of reclaimed refrigerant to
service existing Federal buildings and
facilities, just like the Federal
Government promotes recycled paper
and other consumer goods.
• Improved refrigerant management.
As stated by a respondent, a Federal
program promoting reclaimed
refrigerant will encourage better
refrigerant management practices in the
private sector, because companies will
recognize that their used refrigerant has
an economic value. Another respondent
noted that the policy would provide
incentive for recovery of HFC refrigerant
from older end-of-life equipment
(currently only approximately 10
percent is recovered and reclaimed).
• Less production of virgin HFC
refrigerants. One respondent stated that
the goal should be to limit production
of all virgin refrigerants, including
lower GWP HFCs. As stated by another
respondent, use of reclaimed refrigerant
displaces additional production of new
HFC refrigerant, thereby preventing
greenhouse gas emissions that would
otherwise occur.
Response: The Councils recognize
that refrigerant management is an
important way to reduce climatedamaging and ozone-depleting
emissions from equipment used for airconditioning and refrigeration. While
the existing EPA regulations prohibit
any person from knowingly venting,
releasing, or disposing into the
environment any ozone-depleting or
HFC refrigerant in the course of
maintaining, servicing, repairing, or
disposing of air-conditioning or
refrigeration appliances, they do not
establish requirements to repair leaks or
specify other servicing requirements for
equipment containing HFCs. EPA has
recently proposed updating the existing
refrigerant management requirements
under section 608 of the Clean Air Act
and extending them to cover servicing
practices for HFCs (see 80 FR 69457,
dated November 9, 2015).
There are also environmental benefits
to promoting the use of reclaimed
material over virgin production. Both
newly-produced and reclaimed
refrigerants must meet the same purity
requirements and thus reclaimed
refrigerant can be used instead of newly
produced refrigerants. This final rule
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provides use of reclaimed HFCs as an
example of sustainable acquisition
under FAR 11.002(d)(1) and encourages
their use at FAR clause 52.223–12(c)(4).
4. Exceptions
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a. Outside the United States
Various respondents commented on
the exception in the proposed rule for
contracts that will be performed outside
the United States and its outlying areas.
Comment: One respondent requested
clarification of what ‘‘performed outside
the United States and its outlying areas’’
means for the acquisition of supplies.
Another respondent stated that the rule
should apply to both domestic and
foreign procurement decisions, because
limiting the scope to domestic
acquisitions misses an opportunity to
further reduce greenhouse gas
emissions. Other respondents stated that
an effective means of reducing the
future climate change contribution of
HFCs must be global in nature. One
respondent recommended that that
application to contracts outside to
United States and its outlying areas
should be excepted only if proven to be
unfeasible.
Response: The clause prescription at
FAR 23.804 has been clarified by
specifying that the exception to use of
the clause is for contracts for supplies
to be delivered outside the United States
and its outlying areas, or contracts for
services to be performed outside the
United States and its outlying areas.
This rule only applies to contracts for
supplies to be delivered within the
United States or its outlying areas or to
services to be performed within the
United States or its outlying areas.
b. Military and Space Activities
Comment: One respondent asked
whether DoD, GSA, and NASA would
be prohibited from taking advantage of
the SNAP exemptions provided for
military and space activities.
Response: Nothing in this rule
precludes Federal agencies from taking
advantage of the exemptions to the
SNAP requirements, as currently
provided in the SNAP final rule for
military and space- and aeronauticsrelated applications. However, this rule,
unlike the SNAP Program, requires
transitioning in advance of the SNAP
deadlines, only when feasible.
Therefore, an exception for military and
space activities is unnecessary. In
accordance with the overall
construction of the rule, exemptions for
military and space activities would fall
under the general exemption as
infeasible.
In addition, the FAR clauses state that
a contractor shall transition to lower
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GWP alternatives ‘‘unless otherwise
specified in the contract.’’ In those cases
where a Federal agency has critical uses
where only qualified high GWP HFCs
may be used, these would be specified
in a contract and unqualified lower
GWP alternatives would not be allowed.
c. Low Temperature Refrigeration
Systems
Comment: One respondent
recommended an exemption for low
temperature refrigeration systems
operating below ¥50 °C. The
respondent stated that in both the EU
and Canada, similar low GWP initiatives
have allowed such an exemption.
According to the respondent, due to
issues of flammability, energy
efficiency, and technical capability, the
respondent does not know of any low
GWP solutions that meet the needs of
ultra-low temperature refrigeration
systems.
Response: There is no need for a
special exemption for a low temperature
refrigeration system. The concept of
feasibility is addressed and an
exemption arises if use of lower GWP
alternatives is found to be infeasible. If
low GWP alternatives do not meet the
needs of ultra-low temperature
refrigeration systems, then transition is
not feasible and, therefore, not required
by this rule.
5. Other
a. Labeling
Comment: One respondent
recommended that contractors should
also be required to label products which
contain or are manufactured with HFCs.
Response: The labeling requirement
for products that contain or are
manufactured with Ozone-Depleting
Substances (ODS) at paragraph (b) of
FAR clause 52.223–11, Ozone-Depleting
Substances and High Global Warming
Potential Hydrofluorocarbons, is
required by statute (42 U.S.C. 7671j) and
EPA regulations (40 CFR part 82,
subpart E). There is not a comparable
requirement for high GWP HFCs.
b. Buildings With Multiple Systems
Comment: With regard to the
reporting requirement in FAR 52.223–
12(d), the respondent recommended
changing ‘‘50 or more pounds’’ to ‘‘25 or
more pounds’’ and that a building
containing multiple systems that each
contain individually less than 25
pounds of HFCs or refrigerant blends
containing HFCs should be assessed as
the entire building’s refrigerant use and
not on an individual system level.
Response: When drafting the
proposed rule, the 50-pound threshold
was chosen in order to eliminate
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30433
tracking and reporting on thousands of
pieces of smaller equipment, thereby
minimizing administrative burden and
costs to contractors, including many
small businesses; and also recognizing
that larger systems such as building
chillers, commissary/large commercial
refrigeration systems, and industrial
process refrigeration systems likely
contribute the largest percentage of total
HFC emissions. This 50-pound
threshold is also consistent with other
existing regulatory requirements for
refrigerants imposed under the Clean
Air Act and 40 CFR part 82. Recognizing
that EPA has proposed (see 80 FR
69457, dated November 9, 2015)
updating and expanding the coverage of
the refrigerant management
requirements established under section
608 of the Clean Air Act, if those
requirements are amended, they would
be applicable to the public and private
sectors.
c. Foreign Acquisition
Comment: One respondent
recommended that the rule should
clarify that if certain products identified
as acceptable under the EPA SNAP
program are available in other markets
but not available or not available at
commercial levels in the U.S., then the
products may be acquired under the
nonavailability exception to the Buy
American statute (see FAR 25.103).
Response: FAR part 25, Foreign
Acquisition, addresses domestic source
restrictions, including the Buy
American Act. However, not all
acquisitions are subject to the Buy
American Act (e.g., when the
acquisition is covered by the World
Trade Organization Government
Procurement Agreement). Other
domestic source restrictions may also
apply, and there are sanctions against
purchases from certain countries. FAR
part 23 must be read in conjunction
with FAR part 25.
d. Ozone-Depleting Substances
Comment: One respondent is
concerned that the proposed clause at
FAR 52.223–12, Maintenance, Service,
Repair, Recycling, or Disposal of
Refrigeration Equipment and Air
Conditioners, does not include ODS
within its scope.
Response: This rule is not intended to
suggest that users revert to an ODS in
lieu of a high-GWP HFC. The language
in the rule leaves the current ODS
regulatory language, currently at FAR
subpart 23.8, in place and only adds
language dealing with high GWP HFCs.
The definition of ‘‘ozone-depleting
substance’’ as any substance designated
by the EPA in 40 CFR part 82 also
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remains in FAR part 2. The language
also maintains the current FAR
23.803(a)(2) preference to the
procurement of substances that reduce
overall risks to human health and the
environment by the depletion of ozone
in the upper atmosphere.
asabaliauskas on DSK3SPTVN1PROD with RULES
e. Specific Refrigerants, Foams, and
Aerosols
Comments: Several respondents
commented on specific refrigerants,
foams, or aerosols and lower GWP
alternatives.
• One respondent sent information on
a low GWP substitute for HFC–134a.
• One respondent included a list of
some examples of available low GWP
replacements for high GWP HFCs by
application (i.e., refrigerants, foam, and
aerosols).
• Another respondent was concerned
that the rule does not require an
alternative to the most commonly used
refrigerant, HCFC–22, which is both an
ODS and has a high GWP, because it is
determined to be acceptable by EPA
under SNAP.
Response: The information on the low
GWP alternatives is noted. While the
revised FAR subpart 23.8 makes no
explicit mention of HCFC–22, or any
other specific substance, the regulation
refers to EPA’s SNAP program for the
list of acceptable alternatives. HCFC–22
remains acceptable as a refrigerant
under SNAP. However, existing
regulations effectively prohibit the use
of virgin HCFC–22 to manufacture a
new appliance or retrofit an existing
appliance (see 40 CFR 82.15(g)(2)). This
restriction does not affect the use of
used, recovered, and recycled HCFC–22.
Regulations also effectively prohibit the
manufacture or import of appliances
and appliance components that are precharged with HCFC–22 (see 40 CFR
82.304).
Comment: One respondent
recommended an additional clause to
address clean agent fire suppression.
Response: The suggested clause is
outside the scope of this case and could
not be included in the final rule without
publishing for public comment.
III. Applicability
This rule will apply to all acquisitions
inside the United States and its outlying
areas of products or services containing
or using high GWP HFCs, including—
• Acquisitions that do not exceed the
simplified acquisition threshold; and
• Commercial items (including
commercially available off-the-shelf
items) that use FAR part 12 procedures.
A majority of the acquisitions
involving high GWP HFCs do not
exceed the simplified acquisition
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18:51 May 13, 2016
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threshold. Applicability of the
requirements below the simplified
acquisition threshold is necessary to be
effective and to cover a significant
number of actions and dollars that fall
below this threshold. However, the
reporting requirement applies only for
delivery of, or maintenance, service,
repair and disposal of, equipment or
appliances normally containing 50
pounds or more of HFCs or refrigerant
blends containing HFCs.
Likewise, a majority of the
acquisitions involving high GWP HFCs
involve the acquisition of commercial
items. Applicability of the requirements
to commercial items is necessary to be
effective and include a significant
number of actions and dollars for
commercial item acquisitions.
IV. Executive Orders 12866 and 13563
Executive Orders (E.O.s) 12866 and
13563 direct agencies to assess all costs
and benefits of available regulatory
alternatives and, if regulation is
necessary, to select regulatory
approaches that maximize net benefits
(including potential economic,
environmental, public health and safety
effects, distributive impacts, and
equity). E.O. 13563 emphasizes the
importance of quantifying both costs
and benefits, of reducing costs, of
harmonizing rules, and of promoting
flexibility. This is a significant
regulatory action and, therefore, was
subject to review under Section 6(b) of
E.O. 12866, Regulatory Planning and
Review, dated September 30, 1993. This
rule is not a major rule under 5 U.S.C.
804.
V. Regulatory Flexibility Act
DoD, GSA, and NASA have prepared
a Final Regulatory Flexibility Analysis
(FRFA) consistent with the Regulatory
Flexibility Act, 5 U.S.C. 601, et seq. The
FRFA is summarized as follows:
This rule is necessary to implement
Executive branch policy stated in the
President’s Climate Action Plan. The
objective of this rule is to require Federal
agencies to procure climate-friendly chemical
alternatives to high global warming potential
(GWP) hydrofluorocarbons (HFCs) and allow
agencies to better meet the greenhouse gas
emission reduction goals and reporting
requirements of Executive Order 13693,
Planning for Sustainability in the Next
Decade.
There were no issues raised by the public
comments in response to the initial
regulatory flexibility analysis.
Based on FPDS data for Fiscal Year 2015,
this rule will apply to approximately 1400
small business contractors that provide
certain supplies (including equipment and
appliances) that contain HFCs to the Federal
Government and about 347 small business
contractors that provide maintenance,
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Fmt 4701
Sfmt 4700
service, repair, or disposal of refrigeration
equipment or air conditioners. In addition,
although the clauses at 52.223–20, Aerosols,
and 52.223–21, Foams, do not contain any
reporting requirements, these clauses also
apply respectively to solicitations and
contracts that involve repair or maintenance
of electronic or mechanical devices and
construction of buildings and facilities.
DoD, GSA, and NASA estimate an average
reporting burden of about 8 hours per year
for each small business providing supplies
that contain high GWP HFCs or maintenance,
repair, or disposal of refrigeration equipment
or air conditioners.
DoD, GSA, and NASA did not identify any
significant alternatives to the rule that would
accomplish the stated objectives of the
President’s Climate Action Plan and the
Executive Order.
It is necessary for the rule to apply to small
entities, because about three-quarters of the
affected contractors are small businesses and
excluding them would minimize the
importance of this policy and may prevent
the Government from meeting the objective
of this policy. Every effort has been made to
minimize the burdens imposed. For example,
this rule only requires tracking and reporting
on equipment that normally contain 50 or
more pounds of HFCs. In addition, this rule
does not impose a labeling requirement for
products that contain or are manufactured
with HFCs, unlike the labeling requirement
that is required by statute for ozone-depleting
substances.
Interested parties may obtain a copy
of the FRFA from the Regulatory
Secretariat Division. The Regulatory
Secretariat Division has submitted a
copy of the FRFA to the Chief Counsel
for Advocacy of the Small Business
Administration.
VI. Paperwork Reduction Act
The Paperwork Reduction Act (44
U.S.C. Chapter 35) applies. The rule
contains information collection
requirements. OMB has cleared this
information collection requirement
under OMB Control Number 9000–0191,
titled: ‘‘High Global Warming Potential
Hydrofluorocarbons.’’
List of Subjects in 48 CFR Parts 1, 2, 7,
11, 23, 25, and 52
Government procurement.
Dated: May 5, 2016.
William Clark,
Director, Office of Government-wide
Acquisition Policy, Office of Acquisition
Policy, Office of Government-wide Policy.
Therefore, DoD, GSA and NASA
amend 48 CFR parts 1, 2, 7, 11, 23, 25,
and 52 as set forth below:
1. The authority citation for 48 CFR
parts 1, 2, 7, 11, 23, 25, and 52
continues to read as follows:
■
Authority: 40 U.S.C. 121(c); 10 U.S.C.
chapter 137; and 51 U.S.C. 20113.
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Federal Register / Vol. 81, No. 94 / Monday, May 16, 2016 / Rules and Regulations
PART 1—FEDERAL ACQUISITION
REGULATIONS SYSTEM
1.106
[Amended]
2. Amend section 1.106 by adding to
the table, in numerical order, FAR
segments ‘‘52.223–11’’ and ‘‘52.223–12’’
with their corresponding OMB control
number ‘‘9000–0191’’.
■
PART 2—DEFINITIONS OF WORDS
AND TERMS
Definitions.
asabaliauskas on DSK3SPTVN1PROD with RULES
*
*
*
*
*
(b) * * *
(2) * * *
Global warming potential means how
much a given mass of a chemical
contributes to global warming over a
given time period compared to the same
mass of carbon dioxide. Carbon
dioxide’s global warming potential is
defined as 1.0.
*
*
*
*
*
High global warming potential
hydrofluorocarbons means any
hydrofluorocarbons in a particular end
use for which EPA’s Significant New
Alternatives Policy (SNAP) program has
identified other acceptable alternatives
that have lower global warming
potential. The SNAP list of alternatives
is found at 40 CFR part 82, subpart G,
with supplemental tables of alternatives
available at https://www.epa.gov/snap/).
*
*
*
*
*
Hydrofluorocarbons means
compounds that contain only hydrogen,
fluorine, and carbon.
*
*
*
*
*
Manufactured end product means any
end product in product and service
codes (PSC) 1000–9999, except—
(1) PSC 5510, Lumber and Related
Basic Wood Materials;
(2) Product or service group (PSG) 87,
Agricultural Supplies;
(3) PSG 88, Live Animals;
(4) PSG 89, Subsistence;
(5) PSC 9410, Crude Grades of Plant
Materials;
(6) PSC 9430, Miscellaneous Crude
Animal Products, Inedible;
(7) PSC 9440, Miscellaneous Crude
Agricultural and Forestry Products;
(8) PSC 9610, Ores;
(9) PSC 9620, Minerals, Natural and
Synthetic; and
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18:51 May 13, 2016
Jkt 238001
PART 7—ACQUISITION PLANNING
4. Amend section 7.103 by revising
paragraph (p)(2) to read as follows:
■
7.103
3. Amend section 2.101 in paragraph
(b)(2) by adding, in alphabetical order,
the definitions ‘‘Global warming
potential’’, ‘‘High global warming
potential hydrofluorocarbons’’,
‘‘Hydrofluorocarbons’’, ‘‘Manufactured
end product’’, and ‘‘Products’’ to read as
follows:
■
2.101
(10) PSC 9630, Additive Metal
Materials.
*
*
*
*
*
Products has the same meaning as
supplies.
*
*
*
*
*
Agency-head responsibilities.
*
*
*
*
*
(p) * * *
(2) Comply with the policy in
11.002(d) regarding procurement of
biobased products, products containing
recovered materials, environmentally
preferable products and services
(including Electronic Product
Environmental Assessment Tool
(EPEAT®)-registered electronic
products, nontoxic or low-toxic
alternatives), ENERGY STAR® and
Federal Energy Management Programdesignated products, renewable energy,
water-efficient products, non-ozonedepleting products, and products and
services that minimize or eliminate,
when feasible, the use, release, or
emission of high global warming
potential hydrofluorocarbons, such as
by using reclaimed instead of virgin
hydrofluorocarbons;
*
*
*
*
*
PART 11—DESCRIBING AGENCY
NEEDS
5. Amend section 11.002 by revising
paragraph (d)(1)(vi) to read as follows:
■
11.002
Policy.
*
*
*
*
*
(d)(1) * * *
(vi) Non-ozone-depleting substances,
and products and services that
minimize or eliminate, when feasible,
the use, release, or emission of high
global warming potential
hydrofluorocarbons, such as by using
reclaimed instead of virgin
hydrofluorocarbons (subpart 23.8).
*
*
*
*
*
PART 23—ENVIRONMENT, ENERGY
AND WATER EFFICIENCY,
RENEWABLE ENERGY
TECHNOLOGIES, OCCUPATIONAL
SAFETY, AND DRUG-FREE
WORKPLACE
6. Amend section 23.000 by revising
paragraph (d) to read as follows:
■
23.000
Scope.
*
*
*
*
*
(d) Acquiring energy-efficient and
water-efficient products and services,
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30435
environmentally preferable (including
EPEAT®-registered, and non-toxic and
less toxic) products, products
containing recovered materials,
biobased products, non-ozone-depleting
products, and products and services that
minimize or eliminate, when feasible,
the use, release, or emission of high
global warming potential
hydrofluorocarbons, such as by using
reclaimed instead of virgin
hydrofluorocarbons;
*
*
*
*
*
■ 7. Revise the heading of subpart 23.8
to read as follows:
Subpart 23.8—Ozone-Depleting
Substances and Hydrofluorocarbons
8. Revise section 23.800 to read as
follows:
■
23.800
Scope of subpart.
This subpart sets forth policies and
procedures for the acquisition of items
that—
(a) Contain, use, or are manufactured
with ozone-depleting substances; or
(b) Contain or use high global
warming potential hydrofluorocarbons.
■ 9. Revise section 23.801 to read as
follows:
23.801
Authorities.
(a) Title VI of the Clean Air Act (42
U.S.C. 7671, et seq.).
(b) Section 706 of division D, title VII
of the Omnibus Appropriations Act,
2009 (Public Law 111–8).
(c) Executive Order 13693 of March
25, 2015, Planning for Federal
Sustainability in the Next Decade.
(d) Environmental Protection Agency
(EPA) regulations, Protection of
Stratospheric Ozone (40 CFR part 82).
23.802
■
[Removed]
10. Remove section 23.802.
23.803 [Redesignated as 23.802 and
Amended]
11. Redesignate section 23.803 as
23.802 and revise newly redesignated
23.802 to read as follows:
■
23.802
Policy.
It is the policy of the Federal
Government that Federal agencies—
(a) Implement cost-effective programs
to minimize the procurement of
materials and substances that contribute
to the depletion of stratospheric ozone
and/or result in the use, release or
emission of high global warming
potential hydrofluorocarbons; and
(b) Give preference to the
procurement of acceptable alternative
chemicals, products, and manufacturing
processes that reduce overall risks to
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Federal Register / Vol. 81, No. 94 / Monday, May 16, 2016 / Rules and Regulations
human health and the environment by
minimizing—
(1) The depletion of ozone in the
upper atmosphere; and
(2) The potential use, release, or
emission of high global warming
potential hydrofluorocarbons.
■ 12. Add new section 23.803 to read as
follows:
23.803
Procedures.
In preparing specifications and
purchase descriptions, and in the
acquisition of products and services,
agencies shall—
(a) Comply with the requirements of
title VI of the Clean Air Act, section 706
of division D, title VII of Public Law
111–8, Executive Order 13693, and 40
CFR 82.84(a)(2), (3), (4), and (5);
(b) Substitute acceptable alternatives
to ozone-depleting substances, as
identified under 42 U.S.C. 7671k, to the
maximum extent practicable, as
provided in 40 CFR 82.84(a)(1), except
in the case of Class I substances being
used for specified essential uses, as
identified under 40 CFR 82.4(n);
(c) Unless a particular contract
requires otherwise, specify that, when
feasible, contractors shall use another
acceptable alternative in lieu of a high
global warming potential
hydrofluorocarbon in products and
services in a particular end use for
which EPA’s Significant New
Alternatives Policy (SNAP) program has
identified other acceptable alternatives
that have lower global warming
potential; and
(d) Refer to EPA’s SNAP program for
the list of alternatives, found at 40 CFR
part 82, subpart G, as well as
supplemental tables of alternatives
(available at https://www.epa.gov/snap).
■ 13. Revise section 23.804 to read as
follows:
asabaliauskas on DSK3SPTVN1PROD with RULES
23.804
Contract clauses.
Except for contracts for supplies that
will be delivered outside the United
States and its outlying areas, or
contracts for services that will be
performed outside the United States and
its outlying areas, insert the following
clauses:
(a) 52.223–11, Ozone-Depleting
Substances and High Global Warming
Potential Hydrofluorocarbons, in
solicitations and contracts for—
(1) Refrigeration equipment (in
product or service code (PSC) 4110);
(2) Air conditioning equipment (PSC
4120);
(3) Clean agent fire suppression
systems/equipment (e.g., installed room
flooding systems, portable fire
extinguishers, aircraft/tactical vehicle
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18:51 May 13, 2016
Jkt 238001
fire/explosion suppression systems) (in
PSC 4210);
(4) Bulk refrigerants and fire
suppressants (in PSC 6830);
(5) Solvents, dusters, freezing
compounds, mold release agents, and
any other miscellaneous chemical
specialty that may contain ozonedepleting substances or high global
warming potential hydrofluorocarbons
(in PSC 6850);
(6) Corrosion prevention compounds,
foam sealants, aerosol mold release
agents, and any other preservative or
sealing compound that may contain
ozone-depleting substances or high
global warming potential
hydrofluorocarbons (in PSC 8030);
(7) Fluorocarbon lubricants (primarily
aerosols) (in PSC 9150); and
(8) Any other manufactured end
products that may contain or be
manufactured with ozone-depleting
substances.
(b) 52.223–12, Maintenance, Service,
Repair, or Disposal of Refrigeration
Equipment and Air Conditioners, in
solicitations and contracts that include
the maintenance, service, repair, or
disposal of—
(1) Refrigeration equipment, such as
refrigerators, chillers, or freezers; or
(2) Air conditioners, including air
conditioning systems in motor vehicles.
(c) 52.223–20, Aerosols, in
solicitations and contracts—
(1) For products that may contain
high global warming potential
hydrofluorocarbons as a propellant, or
as a solvent; or
(2) That involve maintenance or
repair of electronic or mechanical
devices.
(d) 52.223–21, Foams, in solicitations
and contracts for—
(1) Products that may contain high
global warming potential
hydrofluorocarbons or refrigerant blends
containing hydrofluorocarbons as a
foam blowing agent, such as building
foam insulation or appliance foam
insulation; or
(2) Construction of buildings or
facilities.
PART 25—FOREIGN ACQUISITION
25.1101
[Amended]
14. Amend section 25.1101 by
removing from paragraph (f) ‘‘, as
defined in the provision at 52.225–18’’.
■
PART 52—SOLICITATION PROVISIONS
AND CONTRACT CLAUSES
■
■
■
15. Amend section 52.212–5 by—
a. Revising the date of the clause; and
b. In paragraph (b)—
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Fmt 4701
Sfmt 4700
i. Redesignating paragraphs (b)(36)
through (54) as paragraphs (b)(38)
through (56), respectively;
■ ii. Adding new paragraphs (b)(36) and
(37);
■ iii. Further redesignating newly
redesignated paragraphs (b)(43) through
(56) as paragraphs (b)(45) through (58),
respectively; and
■ iv. Adding new paragraphs (b)(43) and
(44).
The revision and additions reads 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
(June, 2016)
*
*
*
*
*
(b) * * *
____(36) 52.223–11, Ozone-Depleting
Substances and High Global Warming
Potential Hydrofluorocarbons (June, 2016)
(E.O. 13693).
____(37) 52.223–12, Maintenance, Service,
Repair, or Disposal of Refrigeration
Equipment and Air Conditioners (June, 2016)
(E.O. 13693).
*
*
*
*
*
____(43) 52.223–20, Aerosols (June, 2016)
(E.O. 13693).
____(44) 52.223–21, Foams (June, 2016)
(E.O. 13693).
*
*
*
*
*
16. Amend section 52.213–4 by—
a. Revising the date of the clause; and
b. In paragraph (b)(1)—
i. Redesignating paragraphs (b)(1)(xi)
through (xvi) as (b)(1)(xiii) through
(xviii), respectively;
■ ii. Adding new paragraphs (b)(1)(xi)
and (xii);
■ iii. Further redesignating newly
redesignated paragraphs (b)(1)(xiv)
through (xviii) as paragraphs (b)(1)(xvi)
through (xx), respectively; and
■ iv. Adding new paragraphs (b)(1)(xiv)
and (xv).
The revision and additions read as
follows:
■
■
■
■
52.213–4 Terms and Conditions—
Simplified Acquisitions (Other Than
Commercial Items).
*
*
*
*
*
Terms and Conditions—Simplified
Acquisitions (Other Than Commercial
Items) (June, 2016)
*
*
*
*
*
(b) * * *
(1) * * *
(xi) 52.223–11, Ozone-Depleting
Substances and High Global Warming
Potential Hydrofluorocarbons (June, 2016)
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Federal Register / Vol. 81, No. 94 / Monday, May 16, 2016 / Rules and Regulations
52.223–11 Ozone-Depleting Substances
and High Global Warming Potential
Hydrofluorocarbons.
* The Contractor shall insert the name of
the substance(s).
(c) Reporting. For equipment and
appliances that normally each contain 50 or
more pounds of hydrofluorocarbons or
refrigerant blends containing
hydrofluorocarbons, the Contractor shall—
(1) Track on an annual basis, between
October 1 and September 30, the amount in
pounds of hydrofluorocarbons or refrigerant
blends containing hydrofluorocarbons
contained in the equipment and appliances
delivered to the Government under this
contract by—
(i) Type of hydrofluorocarbon (e.g., HFC–
134a, HFC–125, R–410A, R–404A, etc.);
(ii) Contract number; and
(iii) Equipment/appliance;
(2) Report that information to the
Contracting Officer for FY16 and to
www.sam.gov, for FY17 and after—
(i) Annually by November 30 of each year
during contract performance; and
(ii) At the end of contract performance.
(d) The Contractor shall refer to EPA’s
SNAP program (available at https://
www.epa.gov/snap) to identify alternatives.
The SNAP list of alternatives is found at 40
CFR part 82, subpart G, with supplemental
tables available at https://www.epa.gov/snap.
(End of clause)
*
■
(E.O. 13693)(applies to contracts for products
as prescribed at FAR 23.804(a)).
(xii) 52.223–12, Maintenance, Service,
Repair, or Disposal of Refrigeration
Equipment and Air Conditioners (June, 2016)
(E.O. 13693) (Applies to maintenance,
service, repair, or disposal of refrigeration
equipment and air conditioners).
*
*
*
*
*
(xiv) 52.223–20, Aerosols (June, 2016) (E.O.
13693) (Applies to contracts for products that
may contain high global warming potential
hydrofluorocarbons as a propellant or as a
solvent; or contracts for maintenance or
repair of electronic or mechanical devices).
(xv) 52.223–21, Foams (June, 2016) (E.O.
13693) (Applies to contracts for products that
may contain high global warming potential
hydrofluorocarbons or refrigerant blends
containing hydrofluorocarbons as a foam
blowing agent; or contracts for construction
of buildings or facilities.
*
*
*
*
*
17. Amend section 52.223–11 by
revising the section heading, clause
heading, and clause to read as follows:
■
*
*
*
*
asabaliauskas on DSK3SPTVN1PROD with RULES
Ozone-Depleting Substances and High
Global Warming Potential
Hydrofluorocarbons (June, 2016)
(a) Definitions. As used in this clause—
Global warming potential means how
much a given mass of a chemical contributes
to global warming over a given time period
compared to the same mass of carbon
dioxide. Carbon dioxide’s global warming
potential is defined as 1.0.
High global warming potential
hydrofluorocarbons means any
hydrofluorocarbons in a particular end use
for which EPA’s Significant New Alternatives
Policy (SNAP) program has identified other
acceptable alternatives that have lower global
warming potential. The SNAP list of
alternatives is found at 40 CFR part 82,
subpart G, with supplemental tables of
alternatives available at (https://www.epa.gov/
snap/).
Hydrofluorocarbons means compounds
that only contain hydrogen, fluorine, and
carbon.
Ozone-depleting substance means any
substance the Environmental Protection
Agency designates in 40 CFR part 82 as—
(1) Class I, including, but not limited to,
chlorofluorocarbons, halons, carbon
tetrachloride, and methyl chloroform; or
(2) Class II, including, but not limited to,
hydrochlorofluorocarbons.
(b) The Contractor shall label products that
contain or are manufactured with ozonedepleting substances in the manner and to
the extent required by 42 U.S.C. 7671j (b), (c),
(d), and (e) and 40 CFR part 82, subpart E,
as follows:
Warning: Contains (or manufactured with,
if applicable) *_______, a substance(s) which
harm(s) public health and environment by
destroying ozone in the upper atmosphere.
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18. Amend section 52.223–12 by
revising the section heading, clause
heading, and clause to read as follows:
52.223–12 Maintenance, Service, Repair,
or Disposal of Refrigeration Equipment and
Air Conditioners.
*
*
*
*
*
Maintenance, Service, Repair, or
Disposal of Refrigeration Equipment
and Air Conditioners (June, 2016)
(a) Definitions. As used in this clause—
Global warming potential means how
much a given mass of a chemical contributes
to global warming over a given time period
compared to the same mass of carbon
dioxide. Carbon dioxide’s global warming
potential is defined as 1.0.
High global warming potential
hydrofluorocarbons means any
hydrofluorocarbons in a particular end use
for which EPA’s Significant New Alternatives
Policy (SNAP) program has identified other
acceptable alternatives that have lower global
warming potential. The SNAP list of
alternatives is found at 40 CFR part 82,
subpart G, with supplemental tables of
alternatives available at (https://www.epa.gov/
snap/).
Hydrofluorocarbons means compounds
that contain only hydrogen, fluorine, and
carbon.
(b) The Contractor shall comply with the
applicable requirements of sections 608 and
609 of the Clean Air Act (42 U.S.C. 7671g and
7671h) as each or both apply to this contract.
(c) Unless otherwise specified in the
contract, the Contractor shall reduce the use,
release, or emissions of high global warming
potential hydrofluorocarbons under this
contract by—
(1) Transitioning over time to the use of
another acceptable alternative in lieu of high
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30437
global warming potential hydrofluorocarbons
in a particular end use for which EPA’s
SNAP program has identified other
acceptable alternatives that have lower global
warming potential.
(2) Preventing and repairing refrigerant
leaks through service and maintenance
during contract performance;
(3) Implementing recovery, recycling, and
responsible disposal programs that avoid
release or emissions during equipment
service and as the equipment reaches the end
of its useful life; and
(4) Using reclaimed hydrofluorocarbons,
where feasible.
(d) For equipment and appliances that
normally each contain 50 or more pounds of
hydrofluorocarbons or refrigerant blends
containing hydrofluorocarbons, that will be
maintained, serviced, repaired, or disposed
under this contract, the Contractor shall—
(1) Track on an annual basis, between
October 1 and September 30, the amount in
pounds of hydrofluorocarbons or refrigerant
blends containing hydrofluorocarbons added
or taken out of equipment or appliances
under this contract by—
(i) Type of hydrofluorocarbon (e.g., HFC–
134a, HFC–125, R–410A, R–404A, etc.);
(ii) Contract number;
(iii) Equipment/appliance; and
(2) Report that information to the
Contracting Officer for FY16 and to
www.sam.gov, for FY17 and after—
(i) No later than November 30 of each year
during contract performance; and
(ii) At the end of contract performance.
(e) The Contractor shall refer to EPA’s
SNAP program to identify alternatives. The
SNAP list of alternatives is found at 40 CFR
part 82, subpart G, with supplemental tables
available at https://www.epa.gov/snap/.
(End of clause)
19. Add section 52.223–20 to read as
follows:
■
52.223–20
Aerosols.
As prescribed in 23.804(c), insert the
following clause:
Aerosols (June, 2016)
(a) Definitions. As used in this clause—
Global warming potential means how
much a given mass of a chemical contributes
to global warming over a given time period
compared to the same mass of carbon
dioxide. Carbon dioxide’s global warming
potential is defined as 1.0.
High global warming potential
hydrofluorocarbons means any
hydrofluorocarbons in a particular end use
for which EPA’s Significant New Alternatives
Policy (SNAP) program has identified other
acceptable alternatives that have lower global
warming potential. The SNAP list of
alternatives is found at 40 CFR part 82,
subpart G, with supplemental tables of
alternatives available at https://www.epa.gov/
snap/).
Hydrofluorocarbons means compounds
that contain only hydrogen, fluorine, and
carbon.
(b) Unless otherwise specified in the
contract, the Contractor shall reduce its use,
release, or emissions of high global warming
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Federal Register / Vol. 81, No. 94 / Monday, May 16, 2016 / Rules and Regulations
potential hydrofluorocarbons, when feasible,
from aerosol propellants or solvents under
this contract. When determining feasibility of
using a particular alternative, the Contractor
shall consider environmental, technical, and
economic factors such as—
(1) In-use emission rates, energy efficiency;
(2) Safety, such as flammability or toxicity;
(3) Ability to meet technical performance
requirements; and
(4) Commercial availability at a reasonable
cost.
(c) The Contractor shall refer to EPA’s
SNAP program to identify alternatives. The
SNAP list of alternatives is found at 40 CFR
part 82, subpart G, with supplemental tables
available at https://www.epa.gov/snap/.
(End of clause)
20. Add section 52.223–21 to read as
follows:
■
52.223–21
As prescribed in 23.804(d), insert the
following clause:
asabaliauskas on DSK3SPTVN1PROD with RULES
Foams (June, 2016)
(a) Definitions. As used in this clause—
Global warming potential means how
much a given mass of a chemical contributes
to global warming over a given time period
compared to the same mass of carbon
dioxide. Carbon dioxide’s global warming
potential is defined as 1.0.
High global warming potential
hydrofluorocarbons means any
hydrofluorocarbons in a particular end use
for which EPA’s Significant New Alternatives
Policy (SNAP) program has identified other
acceptable alternatives that have lower global
warming potential. The SNAP list of
alternatives is found at 40 CFR part 82,
subpart G, with supplemental tables of
alternatives available at https://www.epa.gov/
snap/.
Hydrofluorocarbons means compounds
that contain only hydrogen, fluorine, and
carbon.
(b) Unless otherwise specified in the
contract, the Contractor shall reduce its use,
release, and emissions of high global
warming potential hydrofluorocarbons and
refrigerant blends containing
hydrofluorocarbons, when feasible, from
foam blowing agents, under this contract.
When determining feasibility of using a
particular alternative, the Contractor shall
consider environmental, technical, and
economic factors such as—
(1) In-use emission rates, energy efficiency,
and safety;
(2) Ability to meet performance
requirements; and
(3) Commercial availability at a reasonable
cost.
(c) The Contractor shall refer to EPA’s
SNAP program to identify alternatives. The
SNAP list of alternatives is found at 40 CFR
part 82, subpart G, with supplemental tables
available at https://www.epa.gov/snap/.
(End of clause)
BILLING CODE 6820–EP–P
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GENERAL SERVICES
ADMINISTRATION
NATIONAL AERONAUTICS AND
SPACE ADMINISTRATION
48 CFR Parts 2, 4, 13, 18, and 19
[FAC 2005–88; FAR Case 2015–020; Item
II; Docket No. 2015–0020; Sequence No. 1]
RIN 9000–AN09
Federal Acquisition Regulation:
Simplified Acquisition Threshold for
Overseas Acquisitions in Support of
Humanitarian or Peacekeeping
Operations
Department of Defense (DoD),
General Services Administration (GSA),
and National Aeronautics and Space
Administration (NASA).
ACTION: Final rule.
AGENCY:
Foams.
[FR Doc. 2016–10998 Filed 5–13–16; 8:45 am]
DEPARTMENT OF DEFENSE
DoD, GSA, and NASA are
issuing a final rule to amend the Federal
Acquisition Regulation (FAR) to
implement a section of U.S. Code which
establishes a higher simplified
acquisition threshold for overseas
acquisitions in support of humanitarian
or peacekeeping operations.
DATES: Effective June 15, 2016.
FOR FURTHER INFORMATION CONTACT: Ms.
Camara Francis, Procurement Analyst,
at 202–550–0935, for clarification of
content. For information pertaining to
status or publication schedules, contact
the Regulatory Secretariat Division at
202–501–4755. Please cite FAC 2005–
88, FAR Case 2015–020.
SUPPLEMENTARY INFORMATION:
SUMMARY:
I. Background
DoD, GSA, and NASA published a
proposed rule in the Federal Register at
80 FR 60832 on October 8, 2015,
soliciting public comments on this rule,
drafted to implement 41 U.S.C. 153,
which establishes a higher simplified
acquisition threshold (SAT) for overseas
acquisitions in support of humanitarian
or peacekeeping operations. FAR Case
2003–022 was published in the Federal
Register as an interim rule at 69 FR
8312, on February 23, 2004, and as a
final rule published at 69 FR 76350, on
December 20, 2004. Drafters of that rule
had revised the definition for SAT
contained at FAR 2.101: Definitions, but
had also inadvertently deleted the
reference to overseas humanitarian or
peacekeeping missions and the requisite
doubling of the SAT in those
circumstances. The civilian statute at
the time was numbered 41 U.S.C.
259(d)(1); it is now at 41 U.S.C. 153. The
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purpose of this rule is to reinstate the
increased SAT for overseas acquisitions
for peacekeeping or humanitarian
operations. Conforming changes are
made in FAR parts 4, 13, 18, and 19.
One public comment was received.
II. Discussion and Analysis
The Civilian Agency Acquisition
Council and the Defense Acquisition
Regulations Council (the Councils)
reviewed the public comment in
development of the final rule.
A. Summary of Significant Changes
There were no changes made to the
rule as a result of the comment received.
There were no comments on the Initial
Regulatory Flexibility Analysis.
B. Analysis of Public Comments
Comment: One respondent stated that
the FAR definition of simplified
acquisition needed to clarify that
construction is included as part of
supplies or services in a contingency
environment, noting that construction
projects are very important to
contingency operations. The respondent
indicated that contracting professionals
generally understand that the FAR
covers two broad categories of
acquisition: Supplies and services.
Services include everything that is not
a commodity (supplies), and is therefore
inclusive of construction, which is a
type of service.
Response: The Councils appreciate
the comment and acknowledge the
broad understanding that services are
inclusive of construction services.
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 have prepared
a Final Regulatory Flexibility Analysis
(FRFA) consistent with the Regulatory
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[Federal Register Volume 81, Number 94 (Monday, May 16, 2016)]
[Rules and Regulations]
[Pages 30429-30438]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-10998]
-----------------------------------------------------------------------
DEPARTMENT OF DEFENSE
GENERAL SERVICES ADMINISTRATION
NATIONAL AERONAUTICS AND SPACE ADMINISTRATION
48 CFR Parts 1, 2, 7, 11, 23, 25, and 52
[FAC 2005-88; FAR Case 2014-026; Item I; Docket No. 2014-0026; Sequence
1]
RIN 9000-AM87
Federal Acquisition Regulation: High Global Warming Potential
Hydrofluorocarbons
AGENCY: Department of Defense (DoD), General Services Administration
(GSA), and National Aeronautics and Space Administration (NASA).
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: DoD, GSA, and NASA are issuing a final rule amending the
Federal Acquisition Regulation (FAR) to implement Executive branch
policy in the President's Climate Action Plan to procure, when
feasible, alternatives to high global warming potential (GWP)
hydrofluorocarbons (HFCs). This final rule will allow agencies to
better meet the greenhouse gas emission reduction goals and reporting
requirements of the Executive Order on Planning for Sustainability in
the Next Decade.
DATES: Effective: June 15, 2016.
FOR FURTHER INFORMATION CONTACT: Mr. Charles Gray, Procurement Analyst,
at 703-795-6328, for clarification of content. For information
pertaining to status or publication schedules, contact the Regulatory
Secretariat Division at 202-501-4755. Please cite FAC 2005-88, FAR Case
2014-026.
SUPPLEMENTARY INFORMATION:
I. Background
DoD, GSA, and NASA published a proposed rule at 80 FR 26883, on May
11, 2015, to implement Executive branch policy in the President's
Climate Action Plan to procure, when feasible, alternatives to high GWP
HFCs. This final rule will allow agencies to better meet the greenhouse
gas emission reduction goals and reporting requirements of the
Executive Order 13693, Planning for Federal Sustainability in the Next
Decade, of March 25, 2015.
Sixteen respondents submitted comments on the proposed rule.
II. Discussion and Analysis
The Civilian Agency Acquisition Council and the Defense Acquisition
Regulations Council (the Councils) reviewed the public comments in the
development of the final rule. A discussion of the comments and the
changes made to the rule as a result of those comments are provided as
follows:
A. Summary of Significant Changes From the Proposed Rule
In response to public comments received, the final rule contains
the following changes from the proposed rule:
Clarified the definition of ``high global warming
potential hydrofluorocarbons'' to make it specific to a particular end
use.
Included the use of reclaimed HFCs as products that
minimize or eliminate the use, release, or emission of high GWP HFCs.
Clarified that the clause prescription exception is for
supplies that will be delivered outside the United States and its
outlying areas as well as for contracts for services performed outside
the United States and its outlying areas.
Added in the clauses at 52.223-20 and 52.223-21
environmental, technical, and economic factors to consider when
determining feasibility.
B. Analysis of Public Comments
1. General
a. Support the Objectives of the Rule
Comments: Many of the respondents expressed specific support for
the objectives of the rule. Several respondents applauded DoD, GSA, and
NASA in proposing that Federal agencies procure, when feasible,
alternatives to high-GWP HFC refrigerants. Other respondents stated
that the proposed rule is a step in the right direction and could have
considerable impact on reducing the Government's greenhouse gas
emissions and helping Federal agencies and departments meet several
Executive actions and orders pertaining to HFCs.
Response: Noted.
b. Oppose the Objectives of the Rule
Comment: One respondent believed that global warming is a farce and
that the Government should not be allowed to acquire anything because
of global warming.
Response: The FAR Council is responsible for the implementation of
the Executive orders and policies of the Administration. DoD, NASA, and
GSA have prepared this rule to implement and facilitate compliance with
Executive Order 13693, Planning for Sustainability in the Next Decade,
and the President's Climate Action Plan.
2. Definition of ``high global warming potential hydrofluorocarbons''
Various respondents commented on the definition of ``high global
warming potential hydrofluorocarbons.'' One of these respondents
questioned whether the identification of a lower GWP HFC alternative
pursuant to the SNAP program meant that the Government would be
required to use the alternative.
Response: The Councils have further clarified in the final rule
that the term ``high global warming potential hydrofluorocarbons''
means any hydrofluorocarbons in a particular end use for which EPA's
Significant New Alternatives Policy (SNAP) program has identified other
acceptable alternatives that have lower global warming potential. The
SNAP list of alternatives
[[Page 30430]]
is found at 40 CFR part 82, subpart G, with supplemental tables of
alternatives available at https://www.epa.gov/snap. For every end use,
the SNAP program lists include several different alternatives as
acceptable for the same end use or application and provides
information, including the GWPs of alternatives. The decision as to
which of the SNAP-listed acceptable alternatives to select in a
particular end use should emphasize the alternative with the lowest GWP
that meets the needs of the user.
With regard to the required use of a lower GWP HFC product
identified in the SNAP list of alternatives products, the Government's
decision to do so must take into consideration the feasibility of
moving on to an alternative. This decision will require the assessment
of a number of factors, including lifecycle costs and the overall
energy efficiency achieved through the substitution of a lower GWP HFC
product.
Comment: One respondent criticized the SNAP program, upon which the
proposed definition is based. Among other concerns, the respondent
believes that the SNAP program has identified some substitutes that
have significant drawbacks, including poor thermal efficiency,
flammability issues, processing difficulties, and limited global
availability. Similarly, another respondent did not agree that the
definition of high GWP HFCs should be created by simple reference to
the SNAP program, because other relevant factors need to be considered
(see also section 3.d.). Another respondent commented that the term
``high global warming potential hydrofluorocarbons'' was defined solely
in term of relative GWP (compared to alternatives approved under the
EPA's SNAP program.) The respondent is concerned that the policies
based on this definition fail to take into account other major causes
of climate impact.
Response: In response to the concern raised by one respondent
regarding significant drawbacks of some substitutes identified by SNAP,
it is helpful to understand the SNAP program's framework for review and
listings. EPA applies seven specific criteria for determining whether a
substitute is acceptable or unacceptable. These criteria, which can be
found at 40 CFR 82.180(a)(7), include atmospheric effects and related
health and environmental effects, ecosystem risks, consumer risks,
flammability, and cost and availability of the substitute. To enable
EPA to assess these criteria, EPA requires submitters to include
various information including ozone depletion potential (ODP), GWP,
toxicity, flammability, and the potential for human exposure. The SNAP
program does not review for a substitute's performance or efficacy. The
SNAP list of alternatives evolves as new substitutes become available
and substitutes that pose significantly greater risk than other
available substitutes are determined to no longer be acceptable for
use. These changes occur because of the changing availability of
substitutes for a specific use as well as EPA's overall understanding
of the environmental and human health impacts of substitutes already
listed as compared with new substitutes. However, as changes are made
to the SNAP lists, EPA assures users that multiple substitutes are
available for any given end use and that end users continue to have
options.
In its recent final rule, published at 80 FR 42869, on July 20,
2015, EPA modified the listings for certain HFCs and HFC blends in
various end uses in the aerosols, foam blowing, and refrigeration and
air conditioning sectors where other alternatives were available or
potentially available that posed lower overall risk to human health and
the environment. Pursuant to the guiding principles of the SNAP
program, the action did not specify that any HFCs are unacceptable
across all sectors and end uses. Consistent with section 612 of the
Clean Air Act (42 U.S.C. 7671k) as EPA has historically interpreted it
under the SNAP program, EPA made the modifications based on evaluation
of the substitutes addressed in that action using the SNAP criteria for
evaluation and considering the current suite of other available and
potentially available substitutes.
For the refrigerant and foam blowing agent end uses, equipment
design is critical. Thus, there is a range of thermal conductivity and
insulation values among the acceptable alternatives, with some having
lower values than the HFCs previously used (as well as ozone-depleting
substances (ODS)) some having higher values, and others having
comparable values. In EPA's recent rulemaking published at 80 FR 42869,
on July 20, 2015, EPA noted that no information provided to EPA
suggests that the alternatives that remain acceptable result in lower
energy efficiency. In fact, as stated in the preamble to the rule,
available information indicates that the opposite can be true, that the
acceptable alternatives not subject to a status change have been used
in equipment or used to produce insulating foam that provide for better
energy efficiency.
In response to the respondent who disagreed that the definition of
high GWP HFCs should refer just to the SNAP program, the Councils note
that the definition does not bind the end user to select any specific
alternative or to ignore assessment of the unique needs that end user
may be facing. Rather, requiring activities can use the information
provided by the SNAP list of alternatives, including information on the
GWP of alternatives, in addition to other factors, in the selection of
products and equipment that best meet their needs. Please see related
response below regarding comments on the feasibility of moving to
alternatives.
In response to the respondent who commented that the term ``high
global warming potential hydrofluorocarbons'' was defined solely in
terms of relative GWP (compared to other alternatives approved under
the EPA's SNAP program) and was concerned that this failed to take into
account other major causes of climate impact, the term is intended to
reflect differences in GWP. This is consistent with how climate impacts
are considered under the SNAP program (See section VII.A.3., GWP
Considerations, in the preamble to the recent EPA SNAP final rule
published at 80 FR 42870 at 42937, on July 20, 2015). Users may take
into account additional factors, such as energy efficiency, in deciding
which of the lower-GWP alternatives listed as acceptable under SNAP
meet their needs. For clarification, please also see the response below
that discusses other factors such as energy efficiency, which are
related to the performance of the equipment, whereas GWP relates to the
intrinsic characteristic and potential environmental impact of the
chemical itself.
3. Policy.
a. Lower vs. lowest/climate-friendly
Comment: One respondent, primarily addressing refrigerants,
recommended addition of the following definitions to the rule:
``Climate-friendly'' alternative means an alternative that is
listed as acceptable under the EPA's SNAP program (40 CFR part 82,
subpart G) that has a GWP of less than 150.
``Lowest GWP alternative'' means an alternative that is identified
as acceptable under the EPA's SNAP program and has the lowest GWP
compared to all other acceptable alternatives for the relevant end use
and has a GWP under 150 for new equipment and a GWP at least 50 percent
lower than the current refrigerant for retrofits.
[[Page 30431]]
The respondent further recommended a policy that would avoid
procurement of mid-range GWP alternatives (from 300 to 1500 GWP) if
truly low GWP alternatives have been proven and commercialized, because
use of mid-range alternatives would set up a circumstance where a
future phase-out in just a few years will be necessary to remove these
mid-range GWP alternatives due to their impact on the climate.
Consistent with the definition recommended by the respondent, the
respondent also recommended that the Government should not purchase any
new equipment or product unless it has a refrigerant with a GWP of less
than 150 and for retrofits, higher GWP refrigerants can be used if they
have GWPs of at least 50 percent less than the current refrigerant that
will be replaced. Otherwise, the respondent recommended that the old
system should be decommissioned and replaced.
Response: While GWP is an important criterion, it should not be the
sole criterion for consideration. The EPA SNAP program conducts
comparative risk analyses for each end use and alternative, and has not
set specific GWP limits for acceptable alternatives in a specific end
use. For example, while an alternative refrigerant in one application
might have a GWP that meets the respondent's proposed GWP limit of 150,
there may be other human health or environmental considerations for the
particular end use or application (e.g., toxicity limits, flammability)
that may lead the user to determine that another alternative is more
suitable for that particular application. For this reason and others,
Federal agency requiring activities and contractors need the
flexibility to be able to evaluate the entire suite of lower GWP
alternatives and to balance direct climate impacts, energy efficiency,
safety, performance, and other user needs before selecting the one most
appropriate for their specific use.
b. Timing
Various respondents commented on the timing of when the FAR rule
should take effect.
Comment: Several respondents recommended that the enactment of this
rule should be tied to the HFC conversion timelines within the EPA SNAP
rule published at 80 FR 42870, on July 20, 2015, and that this rule is
imposing use of lower GWP alternatives ``earlier than required.''
Unless otherwise noted, all references to a SNAP rule in this document
are in reference to the final rule published at 80 FR 42870, on July
20, 2015. According to one of the respondents, the SNAP final rule
specified that use of HFC-134a would be unacceptable for use in
polystyrene extruded boardstock and billet as of January 1, 2021.
Response: It is not the intent of this rule to require conversion
to alternatives on earlier timelines than in the SNAP final rule.
Rather, as stated in the background section of the proposed FAR rule,
the purpose of this final rule is to facilitate the purchase of cleaner
alternatives to HFCs whenever feasible and transition over time to
equipment that uses safer and more sustainable alternatives.
Comment: A respondent also recommended coordinating with Department
of Energy rulemaking on energy efficiency and conservation standards.
Companies are working to comply with these stringent new standards.
Response: The Councils are aware of the Department of Energy (DOE)
rulemaking titled, ``Energy Efficiency Standards for New Federal
Commercial and Multi-Family High-Rise Residential Buildings' Baseline
Standards Update'', published at 80 FR 68749, on November 6, 2015, and
have taken the DOE rules into account in drafting this final rule. The
rule requires reduction in the use, release, and emissions of high GWP
HFCs only when feasible. The clauses state that a determination of
feasibility would include consideration of energy efficiency.
Comment: One respondent noted that there is a great range of speeds
by which the sectors, and the companies within them, who use HFCs, can
transition into lower GWP alternatives. Another respondent stated that
a transition to low GWP blowing agents must be conducted over a
timeline that allows individual manufacturers to identify suitable
alternatives and conduct necessary product development and testing to
fully commercialize new formulations. Another respondent recommended
modifying the clause at FAR 52.223-12(c)(1) to require transitioning
``at the earliest feasible time'' from high GWP HFCs to acceptable
alternatives.
Response: The President's Climate Action Plan specifically directs
agencies to purchase cleaner alternatives to HFCs whenever feasible and
transition over time to equipment that uses safer and more sustainable
alternatives. The language used in the Climate Action Plan: (1)
Recognizes that there are technical hurdles that must be overcome to
identify suitable alternatives, conduct necessary product development
and testing, and fully commercialize new formulations; and (2)
envisions a transition ``over time.'' Accordingly, this final rule
allows existing Government equipment to be utilized until the end of
its useful life, thus minimizing stranded capital.
c. Acceptability and Feasibility
Comments: More than half of the respondents commented on the need
to consider factors other than low GWP value in determining the
acceptability and/or feasibility of using a lower GWP alternative.
According to many respondents, lower GWP alternatives must be both
environmentally and economically acceptable. One respondent stated that
considering only the GWP of a compound may not be appropriate,
depending on the circumstances of a particular use. This respondent
also stated that GWP alone is an insufficient measure of a product's
impact on human health and the environment. A few respondents stated
the need for a definition of ``feasible.'' They noted that without a
definition, contractors will have little guidance as to when adoption
of low GWP substances would be appropriate and/or required and the rule
will have little impact on procurement decisions.
i. Life Cycle/Energy Efficiency
Many of the respondents recommended consideration of the total
life-cycle of an alternative product, such as in-use emission rates and
energy efficiency benefits.
With regard to refrigerants, a respondent commented that
the majority of the climate impact from refrigerant used results from
the energy consumed by the air conditioning system (i.e., the indirect
impact) and not from the GWP of the refrigerant itself (i.e., the
direct climate impact). According to the respondent, refrigerant
selection has a substantial impact on the energy efficiency of the air
conditioning system in which the refrigerant will be used.
With regard to foam insulation, a respondent commented on
the importance of the use of thermal insulation for increased energy
efficiency to reduce global warming. Likewise, another respondent
pointed out the need to consider the life-cycle benefits of products,
because if less energy efficient insulation products are used in the
construction of a building the result may be increased greenhouse gas
emissions over the life of the building or facility.
ii. Safety--Flammability
Several respondents commented on the need to consider key product
attributes that affect safety, such as
[[Page 30432]]
flammability. Another respondent mentioned that feasible alternatives
should consider standards and codes compliance (such as safety
standards).
iii. Technical Capability
Several respondents commented on the necessity to consider
technical capability of the proposed alternative to avoid inadvertently
selecting a product that will prove to be less energy efficient.
iv. Commercial Availability
Several respondents commented on the need for alternatives to be
commercially available. One respondent recommended that absence of
commercially available alternatives should constitute a viable
exemption from the provisions of the rule. One respondent recommended
that decisions on feasibility of low GWP alternatives need to be
assessed based on available technologies.
v. Cost
Several respondents mentioned cost as another factor for
consideration. One respondent asked whether the taxpayer should be
forced to pay more than the general public, by adopting lower GWP
products earlier than required.
vi. Definition
One of the respondents recommended defining ``feasibility'' as ``a
commercially available alternative with a GWP lower than that of the
currently used substance in the relevant application, that (1) is
identified by EPA as an acceptable alternative under 40 CFR part 82,
which increases the total cost of the installation or bid by not more
than 10 percent more than would be the cost if high GWP substances were
used.''
Response: The concerns raised by the respondents in paragraphs
3.c.i. through vi. of this analysis of the public comments are issues
considered by EPA in making listing decisions under the SNAP program.
Section 612 of the Clean Air Act provides that EPA must prohibit the
use of a substitute where EPA has determined that there are other
available substitutes that pose less overall risk to human health and
the environment for that use. EPA reviews substitutes using a
comparative risk framework and GWP is only one of several criteria EPA
considers in its overall evaluation. EPA also considers factors such as
ozone depletion potential, exposure assessments, flammability,
toxicity, and other environmental impacts. In addition, in the recent
change of status rule in which EPA changed the status of a number of
high GWP substitutes from acceptable to unacceptable, EPA considered
the technical challenges of a transition and the supply of other
alternatives in establishing the transition date. As the term is used
in this rule, ``feasible'' means not only capable of being
accomplished, but capable of being accomplished successfully and
suitably. All of the factors mentioned by respondents are relevant in
the decision as to which acceptable alternative is preferable in a
given application. Alternatives that have been determined acceptable by
EPA under the SNAP Program should still be evaluated in each particular
application in terms of environmental, technical, and economic
feasibility. The FAR Council does not have a basis (such as statute or
Executive Order) upon which to establish a specific cost differential
that would constitute an unreasonable cost. An assessment of whether a
cost is unreasonable depends partly on the benefits to be derived from
use of the alternative and other economic factors. Therefore, the final
rule does not define the term ``feasibility,'' but provides direction
to the Federal user and contractor in terms of factors to be considered
when determining the feasibility of using an acceptable lower GWP
alternative (FAR 52.223-20, Aerosols, and 52.223-21, Foams).
d. Refrigerant Management
Comment: Many of the respondents commented on the need for better
refrigerant management, including the recovery, reclamation, and reuse
of refrigerant.
Leaks and accidental or intentional venting of
refrigerant. As stated by one respondent, refrigeration and air
conditioning systems are prone to leaks during normal operations. Even
with aggressive leak detection, these appliances and systems require
servicing to maintain the proper refrigerant change and performance.
Another respondent emphasized that air conditioning and refrigeration
systems are actually non-emissive uses of HFCs since these are closed
systems. The concern with HFCs, therefore, is not the use, but the
misuse. According to the respondent, the vast amount of HFC emissions
result from leaks and accidental or intentional venting of refrigerant.
Increase the use of reclaimed refrigerants. According to
one respondent, nearly all lost refrigerant is replaced with newly
produced virgin refrigerant. Another respondent recommended that the
benefits of the proposed rule could be significantly enhanced by
defining acceptable low GWP alternatives to include reclaimed
refrigerants. Rather than wait for low GWP alternatives to be deployed
in retrofitted or newly installed equipment, the Federal Government can
significantly reduce greenhouse gas emissions in the near-term by
including reclaimed HFC refrigerant as part of the procurement
priorities. Another respondent recommended that the Government should
give preference to the use of reclaimed refrigerant to service existing
Federal buildings and facilities, just like the Federal Government
promotes recycled paper and other consumer goods.
Improved refrigerant management. As stated by a
respondent, a Federal program promoting reclaimed refrigerant will
encourage better refrigerant management practices in the private
sector, because companies will recognize that their used refrigerant
has an economic value. Another respondent noted that the policy would
provide incentive for recovery of HFC refrigerant from older end-of-
life equipment (currently only approximately 10 percent is recovered
and reclaimed).
Less production of virgin HFC refrigerants. One respondent
stated that the goal should be to limit production of all virgin
refrigerants, including lower GWP HFCs. As stated by another
respondent, use of reclaimed refrigerant displaces additional
production of new HFC refrigerant, thereby preventing greenhouse gas
emissions that would otherwise occur.
Response: The Councils recognize that refrigerant management is an
important way to reduce climate-damaging and ozone-depleting emissions
from equipment used for air-conditioning and refrigeration. While the
existing EPA regulations prohibit any person from knowingly venting,
releasing, or disposing into the environment any ozone-depleting or HFC
refrigerant in the course of maintaining, servicing, repairing, or
disposing of air-conditioning or refrigeration appliances, they do not
establish requirements to repair leaks or specify other servicing
requirements for equipment containing HFCs. EPA has recently proposed
updating the existing refrigerant management requirements under section
608 of the Clean Air Act and extending them to cover servicing
practices for HFCs (see 80 FR 69457, dated November 9, 2015).
There are also environmental benefits to promoting the use of
reclaimed material over virgin production. Both newly-produced and
reclaimed refrigerants must meet the same purity requirements and thus
reclaimed refrigerant can be used instead of newly produced
refrigerants. This final rule
[[Page 30433]]
provides use of reclaimed HFCs as an example of sustainable acquisition
under FAR 11.002(d)(1) and encourages their use at FAR clause 52.223-
12(c)(4).
4. Exceptions
a. Outside the United States
Various respondents commented on the exception in the proposed rule
for contracts that will be performed outside the United States and its
outlying areas.
Comment: One respondent requested clarification of what ``performed
outside the United States and its outlying areas'' means for the
acquisition of supplies. Another respondent stated that the rule should
apply to both domestic and foreign procurement decisions, because
limiting the scope to domestic acquisitions misses an opportunity to
further reduce greenhouse gas emissions. Other respondents stated that
an effective means of reducing the future climate change contribution
of HFCs must be global in nature. One respondent recommended that that
application to contracts outside to United States and its outlying
areas should be excepted only if proven to be unfeasible.
Response: The clause prescription at FAR 23.804 has been clarified
by specifying that the exception to use of the clause is for contracts
for supplies to be delivered outside the United States and its outlying
areas, or contracts for services to be performed outside the United
States and its outlying areas. This rule only applies to contracts for
supplies to be delivered within the United States or its outlying areas
or to services to be performed within the United States or its outlying
areas.
b. Military and Space Activities
Comment: One respondent asked whether DoD, GSA, and NASA would be
prohibited from taking advantage of the SNAP exemptions provided for
military and space activities.
Response: Nothing in this rule precludes Federal agencies from
taking advantage of the exemptions to the SNAP requirements, as
currently provided in the SNAP final rule for military and space- and
aeronautics-related applications. However, this rule, unlike the SNAP
Program, requires transitioning in advance of the SNAP deadlines, only
when feasible. Therefore, an exception for military and space
activities is unnecessary. In accordance with the overall construction
of the rule, exemptions for military and space activities would fall
under the general exemption as infeasible.
In addition, the FAR clauses state that a contractor shall
transition to lower GWP alternatives ``unless otherwise specified in
the contract.'' In those cases where a Federal agency has critical uses
where only qualified high GWP HFCs may be used, these would be
specified in a contract and unqualified lower GWP alternatives would
not be allowed.
c. Low Temperature Refrigeration Systems
Comment: One respondent recommended an exemption for low
temperature refrigeration systems operating below -50 [deg]C. The
respondent stated that in both the EU and Canada, similar low GWP
initiatives have allowed such an exemption. According to the
respondent, due to issues of flammability, energy efficiency, and
technical capability, the respondent does not know of any low GWP
solutions that meet the needs of ultra-low temperature refrigeration
systems.
Response: There is no need for a special exemption for a low
temperature refrigeration system. The concept of feasibility is
addressed and an exemption arises if use of lower GWP alternatives is
found to be infeasible. If low GWP alternatives do not meet the needs
of ultra-low temperature refrigeration systems, then transition is not
feasible and, therefore, not required by this rule.
5. Other
a. Labeling
Comment: One respondent recommended that contractors should also be
required to label products which contain or are manufactured with HFCs.
Response: The labeling requirement for products that contain or are
manufactured with Ozone-Depleting Substances (ODS) at paragraph (b) of
FAR clause 52.223-11, Ozone-Depleting Substances and High Global
Warming Potential Hydrofluorocarbons, is required by statute (42 U.S.C.
7671j) and EPA regulations (40 CFR part 82, subpart E). There is not a
comparable requirement for high GWP HFCs.
b. Buildings With Multiple Systems
Comment: With regard to the reporting requirement in FAR 52.223-
12(d), the respondent recommended changing ``50 or more pounds'' to
``25 or more pounds'' and that a building containing multiple systems
that each contain individually less than 25 pounds of HFCs or
refrigerant blends containing HFCs should be assessed as the entire
building's refrigerant use and not on an individual system level.
Response: When drafting the proposed rule, the 50-pound threshold
was chosen in order to eliminate tracking and reporting on thousands of
pieces of smaller equipment, thereby minimizing administrative burden
and costs to contractors, including many small businesses; and also
recognizing that larger systems such as building chillers, commissary/
large commercial refrigeration systems, and industrial process
refrigeration systems likely contribute the largest percentage of total
HFC emissions. This 50-pound threshold is also consistent with other
existing regulatory requirements for refrigerants imposed under the
Clean Air Act and 40 CFR part 82. Recognizing that EPA has proposed
(see 80 FR 69457, dated November 9, 2015) updating and expanding the
coverage of the refrigerant management requirements established under
section 608 of the Clean Air Act, if those requirements are amended,
they would be applicable to the public and private sectors.
c. Foreign Acquisition
Comment: One respondent recommended that the rule should clarify
that if certain products identified as acceptable under the EPA SNAP
program are available in other markets but not available or not
available at commercial levels in the U.S., then the products may be
acquired under the nonavailability exception to the Buy American
statute (see FAR 25.103).
Response: FAR part 25, Foreign Acquisition, addresses domestic
source restrictions, including the Buy American Act. However, not all
acquisitions are subject to the Buy American Act (e.g., when the
acquisition is covered by the World Trade Organization Government
Procurement Agreement). Other domestic source restrictions may also
apply, and there are sanctions against purchases from certain
countries. FAR part 23 must be read in conjunction with FAR part 25.
d. Ozone-Depleting Substances
Comment: One respondent is concerned that the proposed clause at
FAR 52.223-12, Maintenance, Service, Repair, Recycling, or Disposal of
Refrigeration Equipment and Air Conditioners, does not include ODS
within its scope.
Response: This rule is not intended to suggest that users revert to
an ODS in lieu of a high-GWP HFC. The language in the rule leaves the
current ODS regulatory language, currently at FAR subpart 23.8, in
place and only adds language dealing with high GWP HFCs. The definition
of ``ozone-depleting substance'' as any substance designated by the EPA
in 40 CFR part 82 also
[[Page 30434]]
remains in FAR part 2. The language also maintains the current FAR
23.803(a)(2) preference to the procurement of substances that reduce
overall risks to human health and the environment by the depletion of
ozone in the upper atmosphere.
e. Specific Refrigerants, Foams, and Aerosols
Comments: Several respondents commented on specific refrigerants,
foams, or aerosols and lower GWP alternatives.
One respondent sent information on a low GWP substitute
for HFC-134a.
One respondent included a list of some examples of
available low GWP replacements for high GWP HFCs by application (i.e.,
refrigerants, foam, and aerosols).
Another respondent was concerned that the rule does not
require an alternative to the most commonly used refrigerant, HCFC-22,
which is both an ODS and has a high GWP, because it is determined to be
acceptable by EPA under SNAP.
Response: The information on the low GWP alternatives is noted.
While the revised FAR subpart 23.8 makes no explicit mention of HCFC-
22, or any other specific substance, the regulation refers to EPA's
SNAP program for the list of acceptable alternatives. HCFC-22 remains
acceptable as a refrigerant under SNAP. However, existing regulations
effectively prohibit the use of virgin HCFC-22 to manufacture a new
appliance or retrofit an existing appliance (see 40 CFR 82.15(g)(2)).
This restriction does not affect the use of used, recovered, and
recycled HCFC-22. Regulations also effectively prohibit the manufacture
or import of appliances and appliance components that are pre-charged
with HCFC-22 (see 40 CFR 82.304).
Comment: One respondent recommended an additional clause to address
clean agent fire suppression.
Response: The suggested clause is outside the scope of this case
and could not be included in the final rule without publishing for
public comment.
III. Applicability
This rule will apply to all acquisitions inside the United States
and its outlying areas of products or services containing or using high
GWP HFCs, including--
Acquisitions that do not exceed the simplified acquisition
threshold; and
Commercial items (including commercially available off-
the-shelf items) that use FAR part 12 procedures.
A majority of the acquisitions involving high GWP HFCs do not
exceed the simplified acquisition threshold. Applicability of the
requirements below the simplified acquisition threshold is necessary to
be effective and to cover a significant number of actions and dollars
that fall below this threshold. However, the reporting requirement
applies only for delivery of, or maintenance, service, repair and
disposal of, equipment or appliances normally containing 50 pounds or
more of HFCs or refrigerant blends containing HFCs.
Likewise, a majority of the acquisitions involving high GWP HFCs
involve the acquisition of commercial items. Applicability of the
requirements to commercial items is necessary to be effective and
include a significant number of actions and dollars for commercial item
acquisitions.
IV. Executive Orders 12866 and 13563
Executive Orders (E.O.s) 12866 and 13563 direct agencies to assess
all costs and benefits of available regulatory alternatives and, if
regulation is necessary, to select regulatory approaches that maximize
net benefits (including potential economic, environmental, public
health and safety effects, distributive impacts, and equity). E.O.
13563 emphasizes the importance of quantifying both costs and benefits,
of reducing costs, of harmonizing rules, and of promoting flexibility.
This is a significant regulatory action and, therefore, was subject to
review under Section 6(b) of E.O. 12866, Regulatory Planning and
Review, dated September 30, 1993. This rule is not a major rule under 5
U.S.C. 804.
V. Regulatory Flexibility Act
DoD, GSA, and NASA have prepared a Final Regulatory Flexibility
Analysis (FRFA) consistent with the Regulatory Flexibility Act, 5
U.S.C. 601, et seq. The FRFA is summarized as follows:
This rule is necessary to implement Executive branch policy
stated in the President's Climate Action Plan. The objective of this
rule is to require Federal agencies to procure climate-friendly
chemical alternatives to high global warming potential (GWP)
hydrofluorocarbons (HFCs) and allow agencies to better meet the
greenhouse gas emission reduction goals and reporting requirements
of Executive Order 13693, Planning for Sustainability in the Next
Decade.
There were no issues raised by the public comments in response
to the initial regulatory flexibility analysis.
Based on FPDS data for Fiscal Year 2015, this rule will apply to
approximately 1400 small business contractors that provide certain
supplies (including equipment and appliances) that contain HFCs to
the Federal Government and about 347 small business contractors that
provide maintenance, service, repair, or disposal of refrigeration
equipment or air conditioners. In addition, although the clauses at
52.223-20, Aerosols, and 52.223-21, Foams, do not contain any
reporting requirements, these clauses also apply respectively to
solicitations and contracts that involve repair or maintenance of
electronic or mechanical devices and construction of buildings and
facilities.
DoD, GSA, and NASA estimate an average reporting burden of about
8 hours per year for each small business providing supplies that
contain high GWP HFCs or maintenance, repair, or disposal of
refrigeration equipment or air conditioners.
DoD, GSA, and NASA did not identify any significant alternatives
to the rule that would accomplish the stated objectives of the
President's Climate Action Plan and the Executive Order.
It is necessary for the rule to apply to small entities, because
about three-quarters of the affected contractors are small
businesses and excluding them would minimize the importance of this
policy and may prevent the Government from meeting the objective of
this policy. Every effort has been made to minimize the burdens
imposed. For example, this rule only requires tracking and reporting
on equipment that normally contain 50 or more pounds of HFCs. In
addition, this rule does not impose a labeling requirement for
products that contain or are manufactured with HFCs, unlike the
labeling requirement that is required by statute for ozone-depleting
substances.
Interested parties may obtain a copy of the FRFA from the
Regulatory Secretariat Division. The Regulatory Secretariat Division
has submitted a copy of the FRFA to the Chief Counsel for Advocacy of
the Small Business Administration.
VI. Paperwork Reduction Act
The Paperwork Reduction Act (44 U.S.C. Chapter 35) applies. The
rule contains information collection requirements. OMB has cleared this
information collection requirement under OMB Control Number 9000-0191,
titled: ``High Global Warming Potential Hydrofluorocarbons.''
List of Subjects in 48 CFR Parts 1, 2, 7, 11, 23, 25, and 52
Government procurement.
Dated: May 5, 2016.
William Clark,
Director, Office of Government-wide Acquisition Policy, Office of
Acquisition Policy, Office of Government-wide Policy.
Therefore, DoD, GSA and NASA amend 48 CFR parts 1, 2, 7, 11, 23,
25, and 52 as set forth below:
0
1. The authority citation for 48 CFR parts 1, 2, 7, 11, 23, 25, and 52
continues to read as follows:
Authority: 40 U.S.C. 121(c); 10 U.S.C. chapter 137; and 51
U.S.C. 20113.
[[Page 30435]]
PART 1--FEDERAL ACQUISITION REGULATIONS SYSTEM
1.106 [Amended]
0
2. Amend section 1.106 by adding to the table, in numerical order, FAR
segments ``52.223-11'' and ``52.223-12'' with their corresponding OMB
control number ``9000-0191''.
PART 2--DEFINITIONS OF WORDS AND TERMS
0
3. Amend section 2.101 in paragraph (b)(2) by adding, in alphabetical
order, the definitions ``Global warming potential'', ``High global
warming potential hydrofluorocarbons'', ``Hydrofluorocarbons'',
``Manufactured end product'', and ``Products'' to read as follows:
2.101 Definitions.
* * * * *
(b) * * *
(2) * * *
Global warming potential means how much a given mass of a chemical
contributes to global warming over a given time period compared to the
same mass of carbon dioxide. Carbon dioxide's global warming potential
is defined as 1.0.
* * * * *
High global warming potential hydrofluorocarbons means any
hydrofluorocarbons in a particular end use for which EPA's Significant
New Alternatives Policy (SNAP) program has identified other acceptable
alternatives that have lower global warming potential. The SNAP list of
alternatives is found at 40 CFR part 82, subpart G, with supplemental
tables of alternatives available at https://www.epa.gov/snap/).
* * * * *
Hydrofluorocarbons means compounds that contain only hydrogen,
fluorine, and carbon.
* * * * *
Manufactured end product means any end product in product and
service codes (PSC) 1000-9999, except--
(1) PSC 5510, Lumber and Related Basic Wood Materials;
(2) Product or service group (PSG) 87, Agricultural Supplies;
(3) PSG 88, Live Animals;
(4) PSG 89, Subsistence;
(5) PSC 9410, Crude Grades of Plant Materials;
(6) PSC 9430, Miscellaneous Crude Animal Products, Inedible;
(7) PSC 9440, Miscellaneous Crude Agricultural and Forestry
Products;
(8) PSC 9610, Ores;
(9) PSC 9620, Minerals, Natural and Synthetic; and
(10) PSC 9630, Additive Metal Materials.
* * * * *
Products has the same meaning as supplies.
* * * * *
PART 7--ACQUISITION PLANNING
0
4. Amend section 7.103 by revising paragraph (p)(2) to read as follows:
7.103 Agency-head responsibilities.
* * * * *
(p) * * *
(2) Comply with the policy in 11.002(d) regarding procurement of
biobased products, products containing recovered materials,
environmentally preferable products and services (including Electronic
Product Environmental Assessment Tool (EPEAT[supreg])-registered
electronic products, nontoxic or low-toxic alternatives), ENERGY
STAR[supreg] and Federal Energy Management Program-designated products,
renewable energy, water-efficient products, non-ozone-depleting
products, and products and services that minimize or eliminate, when
feasible, the use, release, or emission of high global warming
potential hydrofluorocarbons, such as by using reclaimed instead of
virgin hydrofluorocarbons;
* * * * *
PART 11--DESCRIBING AGENCY NEEDS
0
5. Amend section 11.002 by revising paragraph (d)(1)(vi) to read as
follows:
11.002 Policy.
* * * * *
(d)(1) * * *
(vi) Non-ozone-depleting substances, and products and services that
minimize or eliminate, when feasible, the use, release, or emission of
high global warming potential hydrofluorocarbons, such as by using
reclaimed instead of virgin hydrofluorocarbons (subpart 23.8).
* * * * *
PART 23--ENVIRONMENT, ENERGY AND WATER EFFICIENCY, RENEWABLE ENERGY
TECHNOLOGIES, OCCUPATIONAL SAFETY, AND DRUG-FREE WORKPLACE
0
6. Amend section 23.000 by revising paragraph (d) to read as follows:
23.000 Scope.
* * * * *
(d) Acquiring energy-efficient and water-efficient products and
services, environmentally preferable (including EPEAT[supreg]-
registered, and non-toxic and less toxic) products, products containing
recovered materials, biobased products, non-ozone-depleting products,
and products and services that minimize or eliminate, when feasible,
the use, release, or emission of high global warming potential
hydrofluorocarbons, such as by using reclaimed instead of virgin
hydrofluorocarbons;
* * * * *
0
7. Revise the heading of subpart 23.8 to read as follows:
Subpart 23.8--Ozone-Depleting Substances and Hydrofluorocarbons
0
8. Revise section 23.800 to read as follows:
23.800 Scope of subpart.
This subpart sets forth policies and procedures for the acquisition
of items that--
(a) Contain, use, or are manufactured with ozone-depleting
substances; or
(b) Contain or use high global warming potential
hydrofluorocarbons.
0
9. Revise section 23.801 to read as follows:
23.801 Authorities.
(a) Title VI of the Clean Air Act (42 U.S.C. 7671, et seq.).
(b) Section 706 of division D, title VII of the Omnibus
Appropriations Act, 2009 (Public Law 111-8).
(c) Executive Order 13693 of March 25, 2015, Planning for Federal
Sustainability in the Next Decade.
(d) Environmental Protection Agency (EPA) regulations, Protection
of Stratospheric Ozone (40 CFR part 82).
23.802 [Removed]
0
10. Remove section 23.802.
23.803 [Redesignated as 23.802 and Amended]
0
11. Redesignate section 23.803 as 23.802 and revise newly redesignated
23.802 to read as follows:
23.802 Policy.
It is the policy of the Federal Government that Federal agencies--
(a) Implement cost-effective programs to minimize the procurement
of materials and substances that contribute to the depletion of
stratospheric ozone and/or result in the use, release or emission of
high global warming potential hydrofluorocarbons; and
(b) Give preference to the procurement of acceptable alternative
chemicals, products, and manufacturing processes that reduce overall
risks to
[[Page 30436]]
human health and the environment by minimizing--
(1) The depletion of ozone in the upper atmosphere; and
(2) The potential use, release, or emission of high global warming
potential hydrofluorocarbons.
0
12. Add new section 23.803 to read as follows:
23.803 Procedures.
In preparing specifications and purchase descriptions, and in the
acquisition of products and services, agencies shall--
(a) Comply with the requirements of title VI of the Clean Air Act,
section 706 of division D, title VII of Public Law 111-8, Executive
Order 13693, and 40 CFR 82.84(a)(2), (3), (4), and (5);
(b) Substitute acceptable alternatives to ozone-depleting
substances, as identified under 42 U.S.C. 7671k, to the maximum extent
practicable, as provided in 40 CFR 82.84(a)(1), except in the case of
Class I substances being used for specified essential uses, as
identified under 40 CFR 82.4(n);
(c) Unless a particular contract requires otherwise, specify that,
when feasible, contractors shall use another acceptable alternative in
lieu of a high global warming potential hydrofluorocarbon in products
and services in a particular end use for which EPA's Significant New
Alternatives Policy (SNAP) program has identified other acceptable
alternatives that have lower global warming potential; and
(d) Refer to EPA's SNAP program for the list of alternatives, found
at 40 CFR part 82, subpart G, as well as supplemental tables of
alternatives (available at https://www.epa.gov/snap).
0
13. Revise section 23.804 to read as follows:
23.804 Contract clauses.
Except for contracts for supplies that will be delivered outside
the United States and its outlying areas, or contracts for services
that will be performed outside the United States and its outlying
areas, insert the following clauses:
(a) 52.223-11, Ozone-Depleting Substances and High Global Warming
Potential Hydrofluorocarbons, in solicitations and contracts for--
(1) Refrigeration equipment (in product or service code (PSC)
4110);
(2) Air conditioning equipment (PSC 4120);
(3) Clean agent fire suppression systems/equipment (e.g., installed
room flooding systems, portable fire extinguishers, aircraft/tactical
vehicle fire/explosion suppression systems) (in PSC 4210);
(4) Bulk refrigerants and fire suppressants (in PSC 6830);
(5) Solvents, dusters, freezing compounds, mold release agents, and
any other miscellaneous chemical specialty that may contain ozone-
depleting substances or high global warming potential
hydrofluorocarbons (in PSC 6850);
(6) Corrosion prevention compounds, foam sealants, aerosol mold
release agents, and any other preservative or sealing compound that may
contain ozone-depleting substances or high global warming potential
hydrofluorocarbons (in PSC 8030);
(7) Fluorocarbon lubricants (primarily aerosols) (in PSC 9150); and
(8) Any other manufactured end products that may contain or be
manufactured with ozone-depleting substances.
(b) 52.223-12, Maintenance, Service, Repair, or Disposal of
Refrigeration Equipment and Air Conditioners, in solicitations and
contracts that include the maintenance, service, repair, or disposal
of--
(1) Refrigeration equipment, such as refrigerators, chillers, or
freezers; or
(2) Air conditioners, including air conditioning systems in motor
vehicles.
(c) 52.223-20, Aerosols, in solicitations and contracts--
(1) For products that may contain high global warming potential
hydrofluorocarbons as a propellant, or as a solvent; or
(2) That involve maintenance or repair of electronic or mechanical
devices.
(d) 52.223-21, Foams, in solicitations and contracts for--
(1) Products that may contain high global warming potential
hydrofluorocarbons or refrigerant blends containing hydrofluorocarbons
as a foam blowing agent, such as building foam insulation or appliance
foam insulation; or
(2) Construction of buildings or facilities.
PART 25--FOREIGN ACQUISITION
25.1101 [Amended]
0
14. Amend section 25.1101 by removing from paragraph (f) ``, as defined
in the provision at 52.225-18''.
PART 52--SOLICITATION PROVISIONS AND CONTRACT CLAUSES
0
15. Amend section 52.212-5 by--
0
a. Revising the date of the clause; and
0
b. In paragraph (b)--
0
i. Redesignating paragraphs (b)(36) through (54) as paragraphs (b)(38)
through (56), respectively;
0
ii. Adding new paragraphs (b)(36) and (37);
0
iii. Further redesignating newly redesignated paragraphs (b)(43)
through (56) as paragraphs (b)(45) through (58), respectively; and
0
iv. Adding new paragraphs (b)(43) and (44).
The revision and additions reads 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 (June, 2016)
* * * * *
(b) * * *
____(36) 52.223-11, Ozone-Depleting Substances and High Global
Warming Potential Hydrofluorocarbons (June, 2016) (E.O. 13693).
____(37) 52.223-12, Maintenance, Service, Repair, or Disposal of
Refrigeration Equipment and Air Conditioners (June, 2016) (E.O.
13693).
* * * * *
____(43) 52.223-20, Aerosols (June, 2016) (E.O. 13693).
____(44) 52.223-21, Foams (June, 2016) (E.O. 13693).
* * * * *
0
16. Amend section 52.213-4 by--
0
a. Revising the date of the clause; and
0
b. In paragraph (b)(1)--
0
i. Redesignating paragraphs (b)(1)(xi) through (xvi) as (b)(1)(xiii)
through (xviii), respectively;
0
ii. Adding new paragraphs (b)(1)(xi) and (xii);
0
iii. Further redesignating newly redesignated paragraphs (b)(1)(xiv)
through (xviii) as paragraphs (b)(1)(xvi) through (xx), respectively;
and
0
iv. Adding new paragraphs (b)(1)(xiv) and (xv).
The revision and additions read as follows:
52.213-4 Terms and Conditions--Simplified Acquisitions (Other Than
Commercial Items).
* * * * *
Terms and Conditions--Simplified Acquisitions (Other Than Commercial
Items) (June, 2016)
* * * * *
(b) * * *
(1) * * *
(xi) 52.223-11, Ozone-Depleting Substances and High Global
Warming Potential Hydrofluorocarbons (June, 2016)
[[Page 30437]]
(E.O. 13693)(applies to contracts for products as prescribed at FAR
23.804(a)).
(xii) 52.223-12, Maintenance, Service, Repair, or Disposal of
Refrigeration Equipment and Air Conditioners (June, 2016) (E.O.
13693) (Applies to maintenance, service, repair, or disposal of
refrigeration equipment and air conditioners).
* * * * *
(xiv) 52.223-20, Aerosols (June, 2016) (E.O. 13693) (Applies to
contracts for products that may contain high global warming
potential hydrofluorocarbons as a propellant or as a solvent; or
contracts for maintenance or repair of electronic or mechanical
devices).
(xv) 52.223-21, Foams (June, 2016) (E.O. 13693) (Applies to
contracts for products that may contain high global warming
potential hydrofluorocarbons or refrigerant blends containing
hydrofluorocarbons as a foam blowing agent; or contracts for
construction of buildings or facilities.
* * * * *
0
17. Amend section 52.223-11 by revising the section heading, clause
heading, and clause to read as follows:
52.223-11 Ozone-Depleting Substances and High Global Warming
Potential Hydrofluorocarbons.
* * * * *
Ozone-Depleting Substances and High Global Warming Potential
Hydrofluorocarbons (June, 2016)
(a) Definitions. As used in this clause--
Global warming potential means how much a given mass of a
chemical contributes to global warming over a given time period
compared to the same mass of carbon dioxide. Carbon dioxide's global
warming potential is defined as 1.0.
High global warming potential hydrofluorocarbons means any
hydrofluorocarbons in a particular end use for which EPA's
Significant New Alternatives Policy (SNAP) program has identified
other acceptable alternatives that have lower global warming
potential. The SNAP list of alternatives is found at 40 CFR part 82,
subpart G, with supplemental tables of alternatives available at
(https://www.epa.gov/snap/).
Hydrofluorocarbons means compounds that only contain hydrogen,
fluorine, and carbon.
Ozone-depleting substance means any substance the Environmental
Protection Agency designates in 40 CFR part 82 as--
(1) Class I, including, but not limited to, chlorofluorocarbons,
halons, carbon tetrachloride, and methyl chloroform; or
(2) Class II, including, but not limited to,
hydrochlorofluorocarbons.
(b) The Contractor shall label products that contain or are
manufactured with ozone-depleting substances in the manner and to
the extent required by 42 U.S.C. 7671j (b), (c), (d), and (e) and 40
CFR part 82, subpart E, as follows:
Warning: Contains (or manufactured with, if applicable)
*_______, a substance(s) which harm(s) public health and environment
by destroying ozone in the upper atmosphere.
* The Contractor shall insert the name of the substance(s).
(c) Reporting. For equipment and appliances that normally each
contain 50 or more pounds of hydrofluorocarbons or refrigerant
blends containing hydrofluorocarbons, the Contractor shall--
(1) Track on an annual basis, between October 1 and September
30, the amount in pounds of hydrofluorocarbons or refrigerant blends
containing hydrofluorocarbons contained in the equipment and
appliances delivered to the Government under this contract by--
(i) Type of hydrofluorocarbon (e.g., HFC-134a, HFC-125, R-410A,
R-404A, etc.);
(ii) Contract number; and
(iii) Equipment/appliance;
(2) Report that information to the Contracting Officer for FY16
and to www.sam.gov, for FY17 and after--
(i) Annually by November 30 of each year during contract
performance; and
(ii) At the end of contract performance.
(d) The Contractor shall refer to EPA's SNAP program (available
at https://www.epa.gov/snap) to identify alternatives. The SNAP list
of alternatives is found at 40 CFR part 82, subpart G, with
supplemental tables available at https://www.epa.gov/snap.
(End of clause)
0
18. Amend section 52.223-12 by revising the section heading, clause
heading, and clause to read as follows:
52.223-12 Maintenance, Service, Repair, or Disposal of Refrigeration
Equipment and Air Conditioners.
* * * * *
Maintenance, Service, Repair, or Disposal of Refrigeration Equipment
and Air Conditioners (June, 2016)
(a) Definitions. As used in this clause--
Global warming potential means how much a given mass of a
chemical contributes to global warming over a given time period
compared to the same mass of carbon dioxide. Carbon dioxide's global
warming potential is defined as 1.0.
High global warming potential hydrofluorocarbons means any
hydrofluorocarbons in a particular end use for which EPA's
Significant New Alternatives Policy (SNAP) program has identified
other acceptable alternatives that have lower global warming
potential. The SNAP list of alternatives is found at 40 CFR part 82,
subpart G, with supplemental tables of alternatives available at
(https://www.epa.gov/snap/).
Hydrofluorocarbons means compounds that contain only hydrogen,
fluorine, and carbon.
(b) The Contractor shall comply with the applicable requirements
of sections 608 and 609 of the Clean Air Act (42 U.S.C. 7671g and
7671h) as each or both apply to this contract.
(c) Unless otherwise specified in the contract, the Contractor
shall reduce the use, release, or emissions of high global warming
potential hydrofluorocarbons under this contract by--
(1) Transitioning over time to the use of another acceptable
alternative in lieu of high global warming potential
hydrofluorocarbons in a particular end use for which EPA's SNAP
program has identified other acceptable alternatives that have lower
global warming potential.
(2) Preventing and repairing refrigerant leaks through service
and maintenance during contract performance;
(3) Implementing recovery, recycling, and responsible disposal
programs that avoid release or emissions during equipment service
and as the equipment reaches the end of its useful life; and
(4) Using reclaimed hydrofluorocarbons, where feasible.
(d) For equipment and appliances that normally each contain 50
or more pounds of hydrofluorocarbons or refrigerant blends
containing hydrofluorocarbons, that will be maintained, serviced,
repaired, or disposed under this contract, the Contractor shall--
(1) Track on an annual basis, between October 1 and September
30, the amount in pounds of hydrofluorocarbons or refrigerant blends
containing hydrofluorocarbons added or taken out of equipment or
appliances under this contract by--
(i) Type of hydrofluorocarbon (e.g., HFC-134a, HFC-125, R-410A,
R-404A, etc.);
(ii) Contract number;
(iii) Equipment/appliance; and
(2) Report that information to the Contracting Officer for FY16
and to www.sam.gov, for FY17 and after--
(i) No later than November 30 of each year during contract
performance; and
(ii) At the end of contract performance.
(e) The Contractor shall refer to EPA's SNAP program to identify
alternatives. The SNAP list of alternatives is found at 40 CFR part
82, subpart G, with supplemental tables available at https://www.epa.gov/snap/.
(End of clause)
0
19. Add section 52.223-20 to read as follows:
52.223-20 Aerosols.
As prescribed in 23.804(c), insert the following clause:
Aerosols (June, 2016)
(a) Definitions. As used in this clause--
Global warming potential means how much a given mass of a
chemical contributes to global warming over a given time period
compared to the same mass of carbon dioxide. Carbon dioxide's global
warming potential is defined as 1.0.
High global warming potential hydrofluorocarbons means any
hydrofluorocarbons in a particular end use for which EPA's
Significant New Alternatives Policy (SNAP) program has identified
other acceptable alternatives that have lower global warming
potential. The SNAP list of alternatives is found at 40 CFR part 82,
subpart G, with supplemental tables of alternatives available at
https://www.epa.gov/snap/).
Hydrofluorocarbons means compounds that contain only hydrogen,
fluorine, and carbon.
(b) Unless otherwise specified in the contract, the Contractor
shall reduce its use, release, or emissions of high global warming
[[Page 30438]]
potential hydrofluorocarbons, when feasible, from aerosol
propellants or solvents under this contract. When determining
feasibility of using a particular alternative, the Contractor shall
consider environmental, technical, and economic factors such as--
(1) In-use emission rates, energy efficiency;
(2) Safety, such as flammability or toxicity;
(3) Ability to meet technical performance requirements; and
(4) Commercial availability at a reasonable cost.
(c) The Contractor shall refer to EPA's SNAP program to identify
alternatives. The SNAP list of alternatives is found at 40 CFR part
82, subpart G, with supplemental tables available at https://www.epa.gov/snap/.
(End of clause)
0
20. Add section 52.223-21 to read as follows:
52.223-21 Foams.
As prescribed in 23.804(d), insert the following clause:
Foams (June, 2016)
(a) Definitions. As used in this clause--
Global warming potential means how much a given mass of a
chemical contributes to global warming over a given time period
compared to the same mass of carbon dioxide. Carbon dioxide's global
warming potential is defined as 1.0.
High global warming potential hydrofluorocarbons means any
hydrofluorocarbons in a particular end use for which EPA's
Significant New Alternatives Policy (SNAP) program has identified
other acceptable alternatives that have lower global warming
potential. The SNAP list of alternatives is found at 40 CFR part 82,
subpart G, with supplemental tables of alternatives available at
https://www.epa.gov/snap/.
Hydrofluorocarbons means compounds that contain only hydrogen,
fluorine, and carbon.
(b) Unless otherwise specified in the contract, the Contractor
shall reduce its use, release, and emissions of high global warming
potential hydrofluorocarbons and refrigerant blends containing
hydrofluorocarbons, when feasible, from foam blowing agents, under
this contract. When determining feasibility of using a particular
alternative, the Contractor shall consider environmental, technical,
and economic factors such as--
(1) In-use emission rates, energy efficiency, and safety;
(2) Ability to meet performance requirements; and
(3) Commercial availability at a reasonable cost.
(c) The Contractor shall refer to EPA's SNAP program to identify
alternatives. The SNAP list of alternatives is found at 40 CFR part
82, subpart G, with supplemental tables available at https://www.epa.gov/snap/.
(End of clause)
[FR Doc. 2016-10998 Filed 5-13-16; 8:45 am]
BILLING CODE 6820-EP-P