Federal Acquisition Regulation; Federal Acquisition Circular 2021-01; Small Entity Compliance Guide, 62484-62485 [2020-21691]
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Federal Register / Vol. 85, No. 192 / Friday, October 2, 2020 / Rules and Regulations
DEPARTMENT OF DEFENSE
GENERAL SERVICES
ADMINISTRATION
NATIONAL AERONAUTICS AND
SPACE ADMINISTRATION
48 CFR Chapter 1
[Docket No. FAR–2020–0051, Sequence No.
6]
Federal Acquisition Regulation;
Federal Acquisition Circular 2021–01;
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) 2021–01. A
companion document, the Small Entity
Compliance Guide (SECG), follows this
FAC.
DATES: For effective date see the
separate document, which follows.
FOR FURTHER INFORMATION CONTACT: Mr.
Michael O. Jackson, Procurement
Analyst, at 202–208–4949 or
Michaelo.jackson@gsa.gov for
clarification of content. For information
pertaining to status or publication
schedules, contact the Regulatory
Secretariat Division at 202–501–4755.
Please cite FAC 2021–01, FAR Case
2019–013.
SUMMARY:
RULE LISTED IN FAC 2021–01
Subject
Inflation Adjustment of Acquisition-Related Thresholds
FAR case
2019–013
William F. Clark,
Director, Office of Government-wide
Acquisition Policy, Office of Acquisition
Policy, Office of Government-wide Policy.
Federal Acquisition Circular (FAC)
2021–01 is issued under the authority of
the Secretary of Defense, the
Administrator of General Services, and
the Administrator of National
Aeronautics and Space Administration.
Unless otherwise specified, all
Federal Acquisition Regulation (FAR)
and other directive material contained
in FAC 2021–01 is effective October 2,
2020 except for FAR Case 2019–013,
which is effective October 1, 2020.
Linda W. Neilson,
Director, Defense Acquisition Regulations
System Department of Defense.
Jeffrey A. Koses,
Senior Procurement Executive/Deputy CAO,
Office of Acquisition Policy, U.S. General
Services Administration.
William G. Roets, II,
Acting Assistant Administrator, Office of
Procurement, National Aeronautics and
Space Administration.
[FR Doc. 2020–21689 Filed 10–1–20; 8:45 am]
BILLING CODE 6820–EP–P
DEPARTMENT OF DEFENSE
The FAC, including the
SECG, is available via the internet at
https://www.regulations.gov.
SUPPLEMENTARY INFORMATION: A
summary for the FAR rule follows. For
the actual revisions and/or amendments
made by this FAR case, refer to the
specific subject set forth in the
document following this summary. FAC
2021–01 amends the FAR as follows:
GENERAL SERVICES
ADMINISTRATION
Inflation Adjustment of AcquisitionRelated Thresholds (FAR Case 2019–
013)
This final rule amends the Federal
Acquisition Regulation (FAR) to further
Federal Acquisition Regulation;
Federal Acquisition Circular 2021–01;
Small Entity Compliance Guide
ADDRESSES:
jbell on DSKJLSW7X2PROD with RULES2
implement 41 U.S.C. 1908. Section 1908
requires an adjustment every 5 years (in
years evenly divisible by 5) of statutory
acquisition-related thresholds for
inflation using the Consumer Price
Index for all urban consumers, except
for the Construction Wage Rate
Requirements statute (Davis-Bacon Act),
Service Contract Labor Standards
statute, and trade agreements thresholds
(see FAR 1.109). DoD, GSA, and NASA
are also using the same methodology to
change nonstatutory FAR acquisitionrelated thresholds for adjustment in
2020. This final rule will not have a
significant economic impact on a
substantial number of small entities.
VerDate Sep<11>2014
21:17 Oct 01, 2020
Jkt 253001
NATIONAL AERONAUTICS AND
SPACE ADMINISTRATION
48 CFR Chapter 1
[Docket No. FAR–2020–0051, Sequence No.
6]
Department of Defense (DoD),
General Services Administration (GSA),
AGENCY:
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and National Aeronautics and Space
Administration (NASA).
ACTION: Small Entity Compliance Guide.
This document is issued
under the joint authority of DOD, GSA,
and NASA. This Small Entity
Compliance Guide has been prepared in
accordance with section 212 of the
Small Business Regulatory Enforcement
Fairness Act of 1996. It consists of a
summary of the rule appearing in
Federal Acquisition Circular (FAC)
2021–01, which amends the Federal
Acquisition Regulation (FAR). An
asterisk (*) next to a rule indicates that
a regulatory flexibility analysis has been
prepared. Interested parties may obtain
further information regarding this rule
by referring to FAC 2021–01, which
precedes this document. These
documents are also available via the
internet at https://www.regulations.gov.
DATES: October 2, 2020.
FOR FURTHER INFORMATION CONTACT: Mr.
Michael O. Jackson, Procurement
Analyst, at 202–208–4949 or
Michaelo.jackson@gsa.gov for
clarification of content. For information
pertaining to status or publication
schedules, contact the Regulatory
Secretariat Division at 202–501–4755.
Please cite FAC 2021–01, FAR case
2019–013.
SUMMARY:
RULE LISTED IN FAC 2021–01
Subject
* Inflation Adjustment of Acquisition-Related Thresholds ....................................
FAR case
2019–013
The FAC, including the
SECG, is available via the internet at
https://www.regulations.gov.
SUPPLEMENTARY INFORMATION: A
summary for the FAR rule follows. For
the actual revisions and/or amendments
made by this FAR case, refer to the
specific subject set forth in the
document following this summary. FAC
2021–01 amends the FAR as follows:
ADDRESSES:
Inflation Adjustment of AcquisitionRelated Thresholds (FAR Case 2019–
013)
This final rule amends the Federal
Acquisition Regulation (FAR) to further
implement 41 U.S.C. 1908. Section 1908
requires an adjustment every 5 years (in
years evenly divisible by 5) of statutory
acquisition-related thresholds for
inflation using the Consumer Price
Index for all urban consumers, except
for the Construction Wage Rate
Requirements statute (Davis-Bacon Act),
Service Contract Labor Standards
statute, and trade agreements thresholds
E:\FR\FM\02OCR2.SGM
02OCR2
Federal Register / Vol. 85, No. 192 / Friday, October 2, 2020 / Rules and Regulations
(see FAR 1.109). DoD, GSA, and NASA
are also using the same methodology to
change nonstatutory FAR acquisitionrelated thresholds for adjustment in
2020. This final rule will not have a
significant economic impact on a
substantial number of small entities.
William F. Clark,
Director, Office of Government-wide
Acquisition Policy, Office of Acquisition
Policy, Office of Government-wide Policy.
[FR Doc. 2020–21691 Filed 10–1–20; 8:45 am]
BILLING CODE 6820–EP–P
DEPARTMENT OF DEFENSE
GENERAL SERVICES
ADMINISTRATION
NATIONAL AERONAUTICS AND
SPACE ADMINISTRATION
48 CFR Parts 1, 2, 3, 5, 6, 8, 9, 10, 12,
13, 15, 16, 17, 19, 22, 26, 32, 36, 42, 50,
52, and 53
[FAC 2021–01, FAR Case 2019–013, Docket
No. FAR–2019–0013; Sequence No. 1]
RIN 9000–AN96
Federal Acquisition Regulation:
Inflation Adjustment of AcquisitionRelated Thresholds
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
further implement the statute which
requires an adjustment every five years
of statutory acquisition-related
thresholds for inflation. The adjustment
uses the Consumer Price Index for all
urban consumers, and does not apply to
the Construction Wage Rate
Requirements statute (Davis-Bacon Act),
Service Contract Labor Standards
statute, and trade agreements
thresholds. DoD, GSA, and NASA are
also using the same methodology to
adjust nonstatutory FAR acquisitionrelated thresholds in 2020.
DATES: Effective: October 1, 2020.
FOR FURTHER INFORMATION CONTACT: Mr.
Michael O. Jackson, Procurement
Analyst, at 202–208–4949 or
Michaelo.jackson@gsa.gov for
clarification of content. For information
pertaining to status or publication
schedules, contact the Regulatory
Secretariat Division at 202–501–4755.
Please cite FAC 2021–01, FAR Case
2019–013.
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SUMMARY:
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21:17 Oct 01, 2020
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SUPPLEMENTARY INFORMATION:
I. Background
DoD, GSA, and NASA published a
proposed rule at 85 FR 39146 on June
30, 2020, to further implement 41 U.S.C.
1908. Section 1908 requires an
adjustment every five years (on October
1 of each year evenly divisible by five)
of statutory acquisition-related
thresholds for inflation, using the
Consumer Price Index (CPI) for all urban
consumers, except for the Construction
Wage Rate Requirements statute (DavisBacon Act), Service Contract Labor
Standards statute, and trade agreements
thresholds (see FAR 1.109). As a matter
of policy, DoD, GSA, and NASA are also
using the same methodology to adjust
nonstatutory FAR acquisition-related
thresholds on October 1, 2020.
The preamble to the proposed rule
contained detailed explanations of—
• What an acquisition-related
threshold is;
• What acquisition-related thresholds
are not subject to escalation adjustment
under this case;
• How the Defense Acquisition
Regulations Council and the Civilian
Agency Acquisition Council (Councils)
analyze statutory and non-statutory
acquisition-related thresholds; and
• The effect of this rule on the most
heavily used thresholds.
DoD, GSA, and NASA implemented
three rules that have reduced the
complexity and impact of the October 1,
2020, threshold adjustments throughout
the FAR. The changes implemented
through these rules significantly
reduced the number of cite-specific
inflation adjustments in the FAR and
associated matrix.
FAR Case 2018–004, published as a
final rule on July 2, 2020 (85 FR 40064)
implemented section 217(b) of the
National Defense Authorization Act
(NDAA) for Fiscal Year (FY) 2017 (Pub.
L. 114–328) and sections 805, 806, and
1702(a) of the NDAA for FY 2018 (Pub.
L. 115–91), to increase the micropurchase threshold (MPT) to $10,000
and simplified acquisition threshold
(SAT) to $250,000 throughout the FAR.
The case also changed some stated
dollar thresholds to text to ensure
continued alignment with the value
defined in FAR subpart 2.101.
FAR Case 2018–005, published as a
final rule on July 2, 2020 (85 FR 40071)
implemented section 811 of the NDAA
for FY 2018 that amended 10 U.S.C.
2306a, Cost or Pricing Data: Truth in
Negotiations and 41 U.S.C. 3502,
Required cost or pricing data and
certification. The case increased the
threshold for requesting certified cost or
pricing data from $750,000 to $2 million
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62485
for contracts entered into after June 30,
2018.
FAR Case 2018–007, published as a
final rule on May 6, 2020 (85 FR 27088)
implemented section 821 of the NDAA
for FY 2018 (Pub. L. 115–91) which
made inflation adjustments of statutory
acquisition-related thresholds under 41
U.S.C. 1908 applicable to existing
contracts and subcontracts that contain
the clause implementing section 821
and that are in effect on the date of the
adjustment. The case replaced
throughout FAR part 52 as appropriate,
numerical values based on the value of
the MPT or the SAT with the term
‘‘micro-purchase threshold’’ or
‘‘simplified acquisition threshold’’.
When such terms are used, there is a
reference to the definition in FAR 2.101.
In addition to the MPT and SAT,
numerical values for certain thresholds
have been replaced with a reference to
the applicable FAR text that specifies
the numerical threshold.
The following list identifies the
impact of this rule on heavily-used
thresholds.
• The micro-purchase threshold at
FAR 2.101 was raised to $10,000 by
statute (see FAR Case 2018–004). No
further increase to the basic threshold is
made at this time, as there has been
insufficient inflation. Paragraph 3(ii) of
the definition, for acquisitions to
support contingency operations or to
facilitate defense against certain attacks,
is increasing from $30,000 to $35,000.
• The simplified acquisition
threshold was changed to $250,000 by
statute (see FAR Case 2018–004). No
further increase in the basic threshold is
proposed, as there has been insufficient
inflation. Paragraph (1)(i) of the
definition for acquisitions to support
contingency operations or to facilitate
defense against certain attacks, is
increasing from $750,000 to $800,000.
• The preaward and post-award
notices (FAR part 5) remain at $25,000
because of trade agreements.
• The requirements for limiting
competition (FAR part 6) to eligible 8(a)
awards over $22 million is increased to
$25 million.
• The simplified procedures for
certain commercial items ceiling (FAR
13.500) is increased from $7 million to
$7.5 million. For acquisitions described
at 13.500(c), the ceiling is increasing
from $13.5 million to $15 million.
• The cost or pricing data threshold
(FAR 15.403–4) was increased by statute
from $750,000 to $2 million (see FAR
Case 2018–005) and is not increasing in
this case.
• The prime contractor
subcontracting plan (FAR 19.702)
threshold is increasing from $700,000 to
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Agencies
[Federal Register Volume 85, Number 192 (Friday, October 2, 2020)]
[Rules and Regulations]
[Pages 62484-62485]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-21691]
-----------------------------------------------------------------------
DEPARTMENT OF DEFENSE
GENERAL SERVICES ADMINISTRATION
NATIONAL AERONAUTICS AND SPACE ADMINISTRATION
48 CFR Chapter 1
[Docket No. FAR-2020-0051, Sequence No. 6]
Federal Acquisition Regulation; Federal Acquisition Circular
2021-01; Small Entity Compliance Guide
AGENCY: Department of Defense (DoD), General Services Administration
(GSA), and National Aeronautics and Space Administration (NASA).
ACTION: Small Entity Compliance Guide.
-----------------------------------------------------------------------
SUMMARY: This document is issued under the joint authority of DOD, GSA,
and NASA. This Small Entity Compliance Guide has been prepared in
accordance with section 212 of the Small Business Regulatory
Enforcement Fairness Act of 1996. It consists of a summary of the rule
appearing in Federal Acquisition Circular (FAC) 2021-01, which amends
the Federal Acquisition Regulation (FAR). An asterisk (*) next to a
rule indicates that a regulatory flexibility analysis has been
prepared. Interested parties may obtain further information regarding
this rule by referring to FAC 2021-01, which precedes this document.
These documents are also available via the internet at https://www.regulations.gov.
DATES: October 2, 2020.
FOR FURTHER INFORMATION CONTACT: Mr. Michael O. Jackson, Procurement
Analyst, at 202-208-4949 or [email protected] for clarification
of content. For information pertaining to status or publication
schedules, contact the Regulatory Secretariat Division at 202-501-4755.
Please cite FAC 2021-01, FAR case 2019-013.
Rule Listed in FAC 2021-01
------------------------------------------------------------------------
Subject FAR case
------------------------------------------------------------------------
* Inflation Adjustment of Acquisition-Related Thresholds 2019-013
------------------------------------------------------------------------
ADDRESSES: The FAC, including the SECG, is available via the internet
at https://www.regulations.gov.
SUPPLEMENTARY INFORMATION: A summary for the FAR rule follows. For the
actual revisions and/or amendments made by this FAR case, refer to the
specific subject set forth in the document following this summary. FAC
2021-01 amends the FAR as follows:
Inflation Adjustment of Acquisition-Related Thresholds (FAR Case 2019-
013)
This final rule amends the Federal Acquisition Regulation (FAR) to
further implement 41 U.S.C. 1908. Section 1908 requires an adjustment
every 5 years (in years evenly divisible by 5) of statutory
acquisition-related thresholds for inflation using the Consumer Price
Index for all urban consumers, except for the Construction Wage Rate
Requirements statute (Davis-Bacon Act), Service Contract Labor
Standards statute, and trade agreements thresholds
[[Page 62485]]
(see FAR 1.109). DoD, GSA, and NASA are also using the same methodology
to change nonstatutory FAR acquisition-related thresholds for
adjustment in 2020. This final rule will not have a significant
economic impact on a substantial number of small entities.
William F. Clark,
Director, Office of Government-wide Acquisition Policy, Office of
Acquisition Policy, Office of Government-wide Policy.
[FR Doc. 2020-21691 Filed 10-1-20; 8:45 am]
BILLING CODE 6820-EP-P