Federal Acquisition Regulation; Sole Source Contracts for Women-Owned Small Businesses, 67735-67736 [2016-23197]

Download as PDF Federal Register / Vol. 81, No. 190 / Friday, September 30, 2016 / Rules and Regulations response to a formal complaint or charge, in furtherance of an investigation, proceeding, hearing, or action, including an investigation conducted by the employer, or is consistent with the Contractor’s legal duty to furnish information. (ii) The Contractor shall disseminate the prohibition on discrimination in paragraph (c)(5)(i) of this clause, using language prescribed by the Director of the Office of Federal Contract Compliance Programs (OFCCP), to employees and applicants by— (A) Incorporation into existing employee manuals or handbooks; and (B) Electronic posting or by posting a copy of the provision in conspicuous places available to employees and applicants for employment. * * * * * I. Background 8. Amend section 52.244–6 by revising the date of the clause and paragraph (c)(1)(vi) to read as follows: ■ 52.244–6 Items. * * * Subcontracts for Commercial Items (Sept 2016) * * * * * (c)(1) * * * (vi) 52.222–26, Equal Opportunity (Sept 2016) (E.O. 11246). * * * * * [FR Doc. 2016–23196 Filed 9–29–16; 8:45 am] BILLING CODE 6820–EP–P DEPARTMENT OF DEFENSE GENERAL SERVICES ADMINISTRATION NATIONAL AERONAUTICS AND SPACE ADMINISTRATION [FAC 2005–91; FAR Case 2015–032; Item IV; Docket No. 2015–0032; Sequence No. 1] RIN 9000–AN13 Federal Acquisition Regulation; Sole Source Contracts for Women-Owned Small Businesses Department of Defense (DoD), General Services Administration (GSA), and the National Aeronautics and Space Administration (NASA). ACTION: Final rule. asabaliauskas on DSK3SPTVN1PROD with RULES AGENCY: DoD, GSA, and NASA have adopted as final, with a minor edit, an interim rule amending the Federal Acquisition Regulation (FAR) to implement regulatory changes made by the Small Business Administration (SBA) that provide for authority to award sole source contracts to 22:05 Sep 29, 2016 Jkt 238001 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: The Civilian Agency Acquisition Council and the Defense Acquisition Regulations Council (the Councils) reviewed the public comments in the development of the final rule. All four respondents expressed support of the interim rule. Therefore, no further change to the interim rule is required as a result of the public comments, but there is a minor edit to 19.1505(a)(1). 48 CFR Parts 2, 4, 6, 18, 19, and 52 VerDate Sep<11>2014 IV. Executive Orders 12866 and 13563 II. Discussion and Analysis * SUMMARY: Women-Owned Small Business Program, in order to implement paragraph (a)(3) of section 825 of the NDAA for FY 2015. The Federal Acquisition Regulatory Council, pursuant to the authority granted in 41 U.S.C. 1905 and 1906, and the Administrator, Office of Federal Procurement Policy, pursuant to the authority granted in 41 U.S.C 1907, have determined that the application of this statutory authority to contracts at or below the simplified acquisition threshold and to contracts for commercial items and commercially available off-the-shelf items, is in the best interests of the Federal Government. DoD, GSA, and NASA published an interim rule in the Federal Register at 80 FR 81888 on December 31, 2015, to implement regulatory changes that the SBA has made in its final rule published in the Federal Register at 80 FR 55019, on September 14, 2015, concerning sole source award authority under the WOSB Program. SBA’s final rule implements the statutory requirements of paragraph (a)(3) of section 825 of the Carl Levin and Howard P. ‘‘Buck’’ McKeon National Defense Authorization Act (NDAA) for Fiscal Year (FY) 2015, Public Law 113–291, granting contracting officers the authority to award sole source contracts to economically disadvantaged womenowned small business (EDWOSB) concerns and to WOSB concerns eligible under the WOSB Program. Four respondents submitted comments on the interim rule. Subcontracts for Commercial * economically disadvantaged womenowned small business concerns and to women-owned small business concerns eligible under the Women-Owned Small Business (WOSB) Program. DATES: Effective: September 30, 2016. FOR FURTHER INFORMATION CONTACT: Ms. Mahruba Uddowla, Procurement Analyst, at 703–605–2868 for clarification of content. For information pertaining to status or publication schedules, contact the Regulatory Secretariat Division at 202–501–4755. Please cite FAC 2005–91, FAR Case 2015–032. SUPPLEMENTARY INFORMATION: 67735 III. Applicability to Contracts at or Below the Simplified Acquisition Threshold and for Commercial Items, Including Commercially Available Offthe-Shelf Items This rule adopts as final the amendments to the FAR clauses at 52.219–29, Notice of Set-Aside for, or Sole Source Award to, Economically Disadvantaged Women-owned Small Business Concerns, and 52.219–30, Notice of Set-Aside for, or Sole Source Award to, Women-Owned Small Business Concerns Eligible Under the PO 00000 Frm 00011 Fmt 4701 Sfmt 4700 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. V. Regulatory Flexibility Act This rule implements paragraph (a)(3) of section 825 of the Carl Levin and Howard P. ‘Buck’ McKeon National Defense Authorization Act for Fiscal Year 2015, Public Law 113–291, (Fiscal Year 2015 NDAA). Section 825 of the Fiscal Year 2015 NDAA included language granting contracting officers the authority to award sole source contracts to Women-Owned Small Businesses (WOSBs) and Economically Disadvantaged Women-Owned Small Businesses (EDWOSBs) under the WOSB Program. The purpose of this rule is to finalize the procedures whereby Federal agencies may award sole source contracts to WOSBs and EDWOSBs eligible under the WOSB Program. The rule provides an additional tool for Federal agencies to ensure that WOSBs have an equal opportunity to participate in Federal contracting and ensures consistency among SBA’s socioeconomic small business contracting programs. E:\FR\FM\30SER4.SGM 30SER4 67736 Federal Register / Vol. 81, No. 190 / Friday, September 30, 2016 / Rules and Regulations asabaliauskas on DSK3SPTVN1PROD with RULES The interim rule, published at 80 FR 81888, on December 31, 2015, put the WOSB Program on a level playing field with other SBA Government contracting programs with sole source authority and provided an additional, needed tool for agencies to meet the statutorily mandated goal of 5 percent of the total value of all prime contract and subcontract awards for WOSBs. There were no significant issues raised by the public in response to the Initial Regulatory Flexibility Analysis provided in the interim rule. This rule may have a positive economic impact on WOSB concerns. The Dynamic Small Business Supplemental Search (DSBS) lists approximately 41,500 firms as either WOSBs or EDWOSBs under the WOSB Program. An analysis of the Federal Procurement Data System from April 1, 2011 (the implementation date of the WOSB Program), through September 1, 2015, revealed that there were approximately 17,353 women-owned small business concerns that received obligated funds from Federal contract awards, task or delivery orders, and modifications to existing contracts, in an industry where a WOSB or EDWOSB sole source is authorized, and where the contract is valued at or below the thresholds for sole source contracts to WOSBs or EDWOSBs. Of those 17,353 women-owned small business concerns, 328 EDWOSBs and 974 WOSBs were eligible to participate in the WOSB Program (i.e., received set-asides under the WOSB Program), and could have received sole source awards. This rule could affect a smaller number of EDWOSBs and WOSBs than those eligible under the WOSB Program since the sole source authority can only be used where a contracting officer conducts market research in an industry where a WOSB or EDWOSB set-aside is authorized, and cannot identify two or more eligible EDWOSB or WOSB concerns that can perform at a fair and reasonable price, but identifies one WOSB or EDWOSB that can perform. In addition, the sole source authority for WOSBs and EDWOSBs is limited to contracts valued at $6.5 million or less for manufacturing contracts and $4 million or less for all other contracts. This rule does not impose any new reporting, recordkeeping or other compliance requirements for small businesses. This rule does not duplicate, overlap, or conflict with any other Federal rules. 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 rule does not contain any information collection requirements that require the approval of the Office of Management and Budget under the Paperwork Reduction Act (44 U.S.C. chapter 35). VerDate Sep<11>2014 22:05 Sep 29, 2016 Jkt 238001 List of Subjects in 48 CFR Parts 2, 4, 6, 18, 19, and 52 Government procurement. Dated: September 19, 2016. William F. Clark, Director, Office of Government-wide Acquisition Policy, Office of Acquisition Policy, Office of Government-wide Policy. Interim Rule Adopted as Final With Change Accordingly, the interim rule amending 48 CFR parts 2, 4, 6, 18, 19, and 52 which was published in the Federal Register at 80 FR 81888, on December 31, 2015, is adopted as a final rule with the following change: ■ PART 19—SMALL BUSINESS PROGRAMS 1. The authority citation for 48 CFR part 19 continues to read as follows: ■ Authority: 40 U.S.C. 121(c); 10 U.S.C. chapter 137; and 51 U.S.C. 20113. 19.1505 [Amended] 2. Amend section 19.1505 by removing from paragraph (a)(1) ‘‘Program.’’ and adding ‘‘Program; and’’ in its place. ■ [FR Doc. 2016–23197 Filed 9–29–16; 8:45 am] BILLING CODE 6820–EP–P DEPARTMENT OF DEFENSE GENERAL SERVICES ADMINISTRATION NATIONAL AERONAUTICS AND SPACE ADMINISTRATION 48 CFR Parts 2, 4, 9, 12, 19, 52, and 53 [FAC 2005–91; FAR Case 2015–022; Item V; Docket No. 2015–0022, Sequence No. 1] RIN 9000–AN00 Federal Acquisition Regulation; Unique Identification of Entities Receiving Federal Awards 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 redesignate the terminology for unique identification of entities receiving Federal awards. The change to the FAR removes the proprietary standard or number. SUMMARY: DATES: PO 00000 Effective: October 31, 2016. Frm 00012 Fmt 4701 Sfmt 4700 Ms. Zenaida Delgado, Procurement Analyst, at 202–969–7207 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– 91, FAR Case 2015–022. SUPPLEMENTARY INFORMATION: FOR FURTHER INFORMATION CONTACT: I. Background DoD, GSA, and NASA published a proposed rule in the Federal Register at 80 FR 72035 on November 18, 2015, to redesignate the terminology for unique identification of entities receiving Federal awards. The change to the FAR eliminates references to the proprietary Data Universal Numbering System (DUNS®) number, and provides appropriate references to the Web site where information on the unique entity identifier used for Federal contractors will be located. This final rule also establishes definitions of ‘‘unique entity identifier’’, and ‘‘electronic funds transfer (EFT) indicator’’. Ten 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 comments in the development of the final rule. All ten respondents agreed with the rule. No changes were made to the rule as a result of those comments. A discussion of the comments is provided as follows: A. Analysis of Public Comments 1. Alternatives to and Considerations for the Evaluation of a Nonproprietary Entity Identifier Comment: Six respondents provided an alternative to the current entity identifier (e.g., Legal Entity Identifier (LEI), Contractor and Government Entity (CAGE) code) and four respondents provided additional considerations for the evaluation of alternatives for the entity identifier. Response: The scope of this rule is limited to removing the proprietary standard or number. The Office of Management and Budget (OMB) and the Department of Treasury, in collaboration with the General Services Administration and the Award Committee for E-Government, are establishing a process for considering alternatives to existing entity identifiers, including soliciting information about viable options from and reaching out about nonproprietary alternatives to all sectors, including private companies, nonprofits, and Federal Government E:\FR\FM\30SER4.SGM 30SER4

Agencies

[Federal Register Volume 81, Number 190 (Friday, September 30, 2016)]
[Rules and Regulations]
[Pages 67735-67736]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-23197]


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DEPARTMENT OF DEFENSE

GENERAL SERVICES ADMINISTRATION

NATIONAL AERONAUTICS AND SPACE ADMINISTRATION

48 CFR Parts 2, 4, 6, 18, 19, and 52

[FAC 2005-91; FAR Case 2015-032; Item IV; Docket No. 2015-0032; 
Sequence No. 1]
RIN 9000-AN13


Federal Acquisition Regulation; Sole Source Contracts for Women-
Owned Small Businesses

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

ACTION: Final rule.

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

SUMMARY: DoD, GSA, and NASA have adopted as final, with a minor edit, 
an interim rule amending the Federal Acquisition Regulation (FAR) to 
implement regulatory changes made by the Small Business Administration 
(SBA) that provide for authority to award sole source contracts to 
economically disadvantaged women-owned small business concerns and to 
women-owned small business concerns eligible under the Women-Owned 
Small Business (WOSB) Program.

DATES: Effective: September 30, 2016.

FOR FURTHER INFORMATION CONTACT: Ms. Mahruba Uddowla, Procurement 
Analyst, at 703-605-2868 for clarification of content. For information 
pertaining to status or publication schedules, contact the Regulatory 
Secretariat Division at 202-501-4755. Please cite FAC 2005-91, FAR Case 
2015-032.

SUPPLEMENTARY INFORMATION: 

I. Background

    DoD, GSA, and NASA published an interim rule in the Federal 
Register at 80 FR 81888 on December 31, 2015, to implement regulatory 
changes that the SBA has made in its final rule published in the 
Federal Register at 80 FR 55019, on September 14, 2015, concerning sole 
source award authority under the WOSB Program. SBA's final rule 
implements the statutory requirements of paragraph (a)(3) of section 
825 of the Carl Levin and Howard P. ``Buck'' McKeon National Defense 
Authorization Act (NDAA) for Fiscal Year (FY) 2015, Public Law 113-291, 
granting contracting officers the authority to award sole source 
contracts to economically disadvantaged women-owned small business 
(EDWOSB) concerns and to WOSB concerns eligible under the WOSB Program. 
Four respondents submitted comments on the interim 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. All four respondents expressed support 
of the interim rule. Therefore, no further change to the interim rule 
is required as a result of the public comments, but there is a minor 
edit to 19.1505(a)(1).

III. Applicability to Contracts at or Below the Simplified Acquisition 
Threshold and for Commercial Items, Including Commercially Available 
Off-the-Shelf Items

    This rule adopts as final the amendments to the FAR clauses at 
52.219-29, Notice of Set-Aside for, or Sole Source Award to, 
Economically Disadvantaged Women-owned Small Business Concerns, and 
52.219-30, Notice of Set-Aside for, or Sole Source Award to, Women-
Owned Small Business Concerns Eligible Under the Women-Owned Small 
Business Program, in order to implement paragraph (a)(3) of section 825 
of the NDAA for FY 2015. The Federal Acquisition Regulatory Council, 
pursuant to the authority granted in 41 U.S.C. 1905 and 1906, and the 
Administrator, Office of Federal Procurement Policy, pursuant to the 
authority granted in 41 U.S.C 1907, have determined that the 
application of this statutory authority to contracts at or below the 
simplified acquisition threshold and to contracts for commercial items 
and commercially available off-the-shelf items, is in the best 
interests of the Federal Government.

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 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.

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 implements paragraph (a)(3) of section 825 of the Carl 
Levin and Howard P. `Buck' McKeon National Defense Authorization Act 
for Fiscal Year 2015, Public Law 113-291, (Fiscal Year 2015 NDAA). 
Section 825 of the Fiscal Year 2015 NDAA included language granting 
contracting officers the authority to award sole source contracts to 
Women-Owned Small Businesses (WOSBs) and Economically Disadvantaged 
Women-Owned Small Businesses (EDWOSBs) under the WOSB Program. The 
purpose of this rule is to finalize the procedures whereby Federal 
agencies may award sole source contracts to WOSBs and EDWOSBs 
eligible under the WOSB Program. The rule provides an additional 
tool for Federal agencies to ensure that WOSBs have an equal 
opportunity to participate in Federal contracting and ensures 
consistency among SBA's socioeconomic small business contracting 
programs.

[[Page 67736]]

    The interim rule, published at 80 FR 81888, on December 31, 
2015, put the WOSB Program on a level playing field with other SBA 
Government contracting programs with sole source authority and 
provided an additional, needed tool for agencies to meet the 
statutorily mandated goal of 5 percent of the total value of all 
prime contract and subcontract awards for WOSBs.
    There were no significant issues raised by the public in 
response to the Initial Regulatory Flexibility Analysis provided in 
the interim rule.
    This rule may have a positive economic impact on WOSB concerns. 
The Dynamic Small Business Supplemental Search (DSBS) lists 
approximately 41,500 firms as either WOSBs or EDWOSBs under the WOSB 
Program. An analysis of the Federal Procurement Data System from 
April 1, 2011 (the implementation date of the WOSB Program), through 
September 1, 2015, revealed that there were approximately 17,353 
women-owned small business concerns that received obligated funds 
from Federal contract awards, task or delivery orders, and 
modifications to existing contracts, in an industry where a WOSB or 
EDWOSB sole source is authorized, and where the contract is valued 
at or below the thresholds for sole source contracts to WOSBs or 
EDWOSBs. Of those 17,353 women-owned small business concerns, 328 
EDWOSBs and 974 WOSBs were eligible to participate in the WOSB 
Program (i.e., received set-asides under the WOSB Program), and 
could have received sole source awards. This rule could affect a 
smaller number of EDWOSBs and WOSBs than those eligible under the 
WOSB Program since the sole source authority can only be used where 
a contracting officer conducts market research in an industry where 
a WOSB or EDWOSB set-aside is authorized, and cannot identify two or 
more eligible EDWOSB or WOSB concerns that can perform at a fair and 
reasonable price, but identifies one WOSB or EDWOSB that can 
perform. In addition, the sole source authority for WOSBs and 
EDWOSBs is limited to contracts valued at $6.5 million or less for 
manufacturing contracts and $4 million or less for all other 
contracts.
    This rule does not impose any new reporting, recordkeeping or 
other compliance requirements for small businesses. This rule does 
not duplicate, overlap, or conflict with any other Federal rules.

    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 rule does not contain any information collection requirements 
that require the approval of the Office of Management and Budget under 
the Paperwork Reduction Act (44 U.S.C. chapter 35).

List of Subjects in 48 CFR Parts 2, 4, 6, 18, 19, and 52

    Government procurement.

    Dated: September 19, 2016.
William F. Clark,
Director, Office of Government-wide Acquisition Policy, Office of 
Acquisition Policy, Office of Government-wide Policy.

Interim Rule Adopted as Final With Change

0
Accordingly, the interim rule amending 48 CFR parts 2, 4, 6, 18, 19, 
and 52 which was published in the Federal Register at 80 FR 81888, on 
December 31, 2015, is adopted as a final rule with the following 
change:

PART 19--SMALL BUSINESS PROGRAMS

0
1. The authority citation for 48 CFR part 19 continues to read as 
follows:

    Authority: 40 U.S.C. 121(c); 10 U.S.C. chapter 137; and 51 
U.S.C. 20113.


19.1505  [Amended]

0
2. Amend section 19.1505 by removing from paragraph (a)(1) ``Program.'' 
and adding ``Program; and'' in its place.

[FR Doc. 2016-23197 Filed 9-29-16; 8:45 am]
 BILLING CODE 6820-EP-P