Federal Acquisition Regulation; Federal Acquisition Circular 2005-90; Introduction, 58561-58562 [2016-19675]

Download as PDF Vol. 81 Thursday, No. 165 August 25, 2016 Part II Department of Defense General Services Administration National Aeronautics and Space Administration mstockstill on DSK3G9T082PROD with RULES2 48 CFR Chapter 1 and Parts 1, 4, 9, et al. Federal Acquisition Regulations; Federal Acquisition Circular 2005–90; Introduction, Fair Pay and Safe Workplaces, and Federal Acquisition Circular 2005–90; Small Entity Compliance Guide; Final Rules VerDate Sep<11>2014 17:14 Aug 24, 2016 Jkt 238001 PO 00000 Frm 00001 Fmt 4717 Sfmt 4717 E:\FR\FM\25AUR2.SGM 25AUR2 58562 Federal Register / Vol. 81, No. 165 / Thursday, August 25, 2016 / Rules and Regulations DEPARTMENT OF DEFENSE GENERAL SERVICES ADMINISTRATION NATIONAL AERONAUTICS AND SPACE ADMINISTRATION 48 CFR Chapter 1 [Docket No. FAR 2015–0051, Sequence No. 4] Federal Acquisition Regulation; Federal Acquisition Circular 2005–90; Introduction Department of Defense (DoD), General Services Administration (GSA), and National Aeronautics and Space Administration (NASA). ACTION: Summary presentation of a final rule. AGENCY: This document summarizes the Federal Acquisition Regulation (FAR) rule agreed to by the Civilian Agency Acquisition Council and the Defense Acquisition Regulations Council (Councils) in this Federal Acquisition Circular (FAC) 2005–90. A companion document, the Small Entity Compliance Guide (SECG), follows this FAC. The FAC, including the SECG, is available via the Internet at http:// www.regulations.gov. DATES: For effective dates see separate documents, which follow. FOR FURTHER INFORMATION CONTACT: The analyst whose name appears in the table below in relation to the FAR case. Please cite FAC 2005–90 and the specific FAR case number. For information pertaining to status or publication schedules, contact the Regulatory Secretariat at 202–501–4755. SUMMARY: RULE LISTED IN FAC 2005–90 Subject FAR case Fair Pay and Safe Workplaces. Analyst 2014–025 Delgado. Summary for the FAR rule follows. For the actual revisions and/or amendments made by this FAR case, refer to the specific item number and subject set forth in the document following this item summary. FAC 2005–90 amends the FAR as specified below: mstockstill on DSK3G9T082PROD with RULES2 SUPPLEMENTARY INFORMATION: Fair Pay and Safe Workplaces (FAR Case 2014–025) DoD, GSA, and NASA are issuing a final rule amending the FAR to implement Executive Order (E.O.) 13673, Fair Pay and Safe Workplaces, amended by E.O. 13683, to correct a VerDate Sep<11>2014 17:14 Aug 24, 2016 Jkt 238001 statutory citation, and further amended by an E.O. signed today to modify the handling of subcontractor disclosures and clarify the requirements for public disclosure of documents. E.O. 13673 is designed to improve contractor compliance with labor laws and increase efficiency and cost savings in Federal contracting. As E.O. 13673 explains, ensuring compliance with labor laws drives economy and efficiency by promoting ‘‘safe, healthy, fair, and effective workplaces. Contractors that consistently adhere to labor laws are more likely to have workplace practices that enhance productivity and increase the likelihood of timely, predictable, and satisfactory delivery of goods and services to the Federal Government.’’ The E.O. was signed July 31, 2014. The Department of Labor is simultaneously issuing final Guidance to assist Federal agencies in implementation of the E.O. in conjunction with the FAR final rule. The E.O. requires that prospective and existing contractors on covered contracts disclose decisions regarding violations of certain labor laws, and that contracting officers, in consultation with agency labor compliance advisors (ALCAs), a new position created by the E.O., consider the decisions, (including any mitigating factors and remedial measures), as part of the contracting officer’s decision to award or extend a contract. In addition, the E.O. creates new paycheck transparency protections, among other things, to ensure that workers on covered contracts are given the necessary information each pay period to verify the accuracy of what they are paid. Finally, the E.O. limits the use of predispute arbitration clauses in employment agreements on covered Federal contracts. Phase-ins: (1) From October 25, 2016 through April 24, 2017, the prime contractor disclosure requirements will apply to solicitations with an estimated value of $50 million or more, and resultant contracts; after April 24, 2017, the requirements apply to solicitations estimated to exceed $500,000, and resultant contracts. (2) The requirements apply to subcontractors starting October 25, 2017. (3) The decision disclosure period covers labor law decisions rendered against the offeror during the period beginning on October 25, 2015 to the date of the offer, or for three years preceding the offer, whichever period is shorter. (4) The paycheck transparency clause applies to solicitations starting January 1, 2017. There is significant impact on small entities imposed by the FAR rule. PO 00000 Frm 00002 Fmt 4701 Sfmt 4700 Dated: August 10, 2016. William F. Clark, Director, Office of Government-wide Acquisition Policy, Office of Acquisition Policy, Office of Governmentwide Policy. Federal Acquisition Circular (FAC) 2005–90 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 2005–90 is effective August 25, 2016 except for FAR Case 2014–025, which is effective October 25, 2016. Dated: August 11, 2016. Claire M. Grady, Director, Defense Procurement and Acquisition Policy Dated: August 12, 2016. Jeffrey A. Koses, Senior Procurement Executive/Deputy CAO, Office of Acquisition Policy, U.S. General Services Administration. Dated: August 10, 2016. William G. Roets, Acting Assistant Administrator, Office of Procurement, National Aeronautics and Space Administration. [FR Doc. 2016–19675 Filed 8–24–16; 8:45 am] BILLING CODE 6820–EP–P DEPARTMENT OF DEFENSE GENERAL SERVICES ADMINISTRATION NATIONAL AERONAUTICS AND SPACE ADMINISTRATION 48 CFR Parts 1, 4, 9, 17, 22, 42, and 52 [FAC 2005–90; FAR Case 2014–025; Docket No. 2014–0025, Sequence No. 1] RIN 9000–AM81 Federal Acquisition Regulation; Fair Pay and Safe Workplaces Department of Defense (DoD), General Services Administration (GSA), and National Aeronautics and Space Administration (NASA). ACTION: Final rule. AGENCY: DoD, GSA, and NASA are issuing a final rule amending the Federal Acquisition Regulation (FAR) to implement Executive Order 13673, Fair Pay and Safe Workplaces, which is designed to increase efficiency and cost savings in Federal contracting by improving contractor compliance with labor laws. The Department of Labor is simultaneously issuing final Guidance to assist Federal agencies in SUMMARY: E:\FR\FM\25AUR2.SGM 25AUR2

Agencies

[Federal Register Volume 81, Number 165 (Thursday, August 25, 2016)]
[Rules and Regulations]
[Pages 58561-58562]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-19675]



[[Page 58561]]

Vol. 81

Thursday,

No. 165

August 25, 2016

Part II





Department of Defense





General Services Administration





National Aeronautics and Space Administration





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48 CFR Chapter 1 and Parts 1, 4, 9, et al.





Federal Acquisition Regulations; Federal Acquisition Circular 2005-90; 
Introduction, Fair Pay and Safe Workplaces, and Federal Acquisition 
Circular 2005-90; Small Entity Compliance Guide; Final Rules

Federal Register / Vol. 81 , No. 165 / Thursday, August 25, 2016 / 
Rules and Regulations

[[Page 58562]]


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DEPARTMENT OF DEFENSE

GENERAL SERVICES ADMINISTRATION

NATIONAL AERONAUTICS AND SPACE ADMINISTRATION

48 CFR Chapter 1

[Docket No. FAR 2015-0051, Sequence No. 4]


Federal Acquisition Regulation; Federal Acquisition Circular 
2005-90; Introduction

AGENCY: Department of Defense (DoD), General Services Administration 
(GSA), and National Aeronautics and Space Administration (NASA).

ACTION: Summary presentation of a final rule.

-----------------------------------------------------------------------

SUMMARY: This document summarizes the Federal Acquisition Regulation 
(FAR) rule agreed to by the Civilian Agency Acquisition Council and the 
Defense Acquisition Regulations Council (Councils) in this Federal 
Acquisition Circular (FAC) 2005-90. A companion document, the Small 
Entity Compliance Guide (SECG), follows this FAC. The FAC, including 
the SECG, is available via the Internet at http://www.regulations.gov.

DATES: For effective dates see separate documents, which follow.

FOR FURTHER INFORMATION CONTACT: The analyst whose name appears in the 
table below in relation to the FAR case. Please cite FAC 2005-90 and 
the specific FAR case number. For information pertaining to status or 
publication schedules, contact the Regulatory Secretariat at 202-501-
4755.

                       Rule Listed in FAC 2005-90
------------------------------------------------------------------------
               Subject                  FAR case          Analyst
------------------------------------------------------------------------
Fair Pay and Safe Workplaces.........   2014-025   Delgado.
------------------------------------------------------------------------


SUPPLEMENTARY INFORMATION: Summary for the FAR rule follows. For the 
actual revisions and/or amendments made by this FAR case, refer to the 
specific item number and subject set forth in the document following 
this item summary. FAC 2005-90 amends the FAR as specified below:

Fair Pay and Safe Workplaces (FAR Case 2014-025)

    DoD, GSA, and NASA are issuing a final rule amending the FAR to 
implement Executive Order (E.O.) 13673, Fair Pay and Safe Workplaces, 
amended by E.O. 13683, to correct a statutory citation, and further 
amended by an E.O. signed today to modify the handling of subcontractor 
disclosures and clarify the requirements for public disclosure of 
documents. E.O. 13673 is designed to improve contractor compliance with 
labor laws and increase efficiency and cost savings in Federal 
contracting. As E.O. 13673 explains, ensuring compliance with labor 
laws drives economy and efficiency by promoting ``safe, healthy, fair, 
and effective workplaces. Contractors that consistently adhere to labor 
laws are more likely to have workplace practices that enhance 
productivity and increase the likelihood of timely, predictable, and 
satisfactory delivery of goods and services to the Federal 
Government.'' The E.O. was signed July 31, 2014. The Department of 
Labor is simultaneously issuing final Guidance to assist Federal 
agencies in implementation of the E.O. in conjunction with the FAR 
final rule.
    The E.O. requires that prospective and existing contractors on 
covered contracts disclose decisions regarding violations of certain 
labor laws, and that contracting officers, in consultation with agency 
labor compliance advisors (ALCAs), a new position created by the E.O., 
consider the decisions, (including any mitigating factors and remedial 
measures), as part of the contracting officer's decision to award or 
extend a contract. In addition, the E.O. creates new paycheck 
transparency protections, among other things, to ensure that workers on 
covered contracts are given the necessary information each pay period 
to verify the accuracy of what they are paid. Finally, the E.O. limits 
the use of predispute arbitration clauses in employment agreements on 
covered Federal contracts. Phase-ins: (1) From October 25, 2016 through 
April 24, 2017, the prime contractor disclosure requirements will apply 
to solicitations with an estimated value of $50 million or more, and 
resultant contracts; after April 24, 2017, the requirements apply to 
solicitations estimated to exceed $500,000, and resultant contracts. 
(2) The requirements apply to subcontractors starting October 25, 2017. 
(3) The decision disclosure period covers labor law decisions rendered 
against the offeror during the period beginning on October 25, 2015 to 
the date of the offer, or for three years preceding the offer, 
whichever period is shorter. (4) The paycheck transparency clause 
applies to solicitations starting January 1, 2017. There is significant 
impact on small entities imposed by the FAR rule.

    Dated: August 10, 2016.
William F. Clark,
Director, Office of Government-wide Acquisition Policy, Office of 
Acquisition Policy, Office of Governmentwide Policy.

    Federal Acquisition Circular (FAC) 2005-90 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 2005-90 is 
effective August 25, 2016 except for FAR Case 2014-025, which is 
effective October 25, 2016.

Dated: August 11, 2016.

Claire M. Grady,
Director, Defense Procurement and Acquisition Policy

Dated: August 12, 2016.

Jeffrey A. Koses,
Senior Procurement Executive/Deputy CAO, Office of Acquisition 
Policy, U.S. General Services Administration.

Dated: August 10, 2016.

William G. Roets,
Acting Assistant Administrator, Office of Procurement, National 
Aeronautics and Space Administration.

[FR Doc. 2016-19675 Filed 8-24-16; 8:45 am]
 BILLING CODE 6820-EP-P