Submission for OMB Review; Subcontract Consent and Contractors' Purchasing System Review, 9354-9355 [2022-03566]
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9354
Federal Register / Vol. 87, No. 34 / Friday, February 18, 2022 / Notices
x. Date placed in service (if required
in accordance with the terms and
conditions of the contract).
When approved by the Property
Administrator, contractors may
maintain, in lieu of formal property
records, a file of appropriately crossreferenced documents evidencing
receipt, issue, and use of material that
is issued for immediate consumption.
d. Paragraph (f)(1)(iv) requires
contractors to periodically perform,
record, and disclose physical inventory
results during contract performance,
including upon completion or
termination of the contract.
e. Paragraph (f)(1)(vii)(B) requires
contractors, unless otherwise directed
by the Property Administrator, to
investigate and report all incidents of
Government property loss as soon as the
facts become known. Such reports shall,
at a minimum, contain the following
information:
i. Date of incident (if known).
ii. The data elements required under
paragraph (f)(1)(iii)(A) of FAR 52.245–1.
iii. Quantity.
iv. Accountable contract number.
v. A statement indicating current or
future need.
vi. Unit acquisition cost, or if
applicable, estimated sales proceeds,
estimated repair or replacement costs.
vii. All known interests in
commingled material of which includes
Government material.
viii. Cause and corrective action taken
or to be taken to prevent recurrence.
ix. A statement that the Government
will receive compensation covering the
loss of Government property, in the
event the Contractor was or will be
reimbursed or compensated.
x. Copies of all supporting
documentation.
xi. Last known location.
xii. A statement that the property did
or did not contain sensitive, export
controlled, hazardous, or toxic material,
and that the appropriate agencies and
authorities were notified.
f. Paragraph (f)(1)(viii) requires
contractors to promptly disclose and
report Government property in its
possession that is excess to contract
performance.
g. Paragraph (f)(1)(ix) requires
contractors to disclose and report to the
Property Administrator the need for
replacement and/or capital
rehabilitation.
h. Paragraph (f)(1)(x) requires
contractors to perform and report to the
Property Administrator contract
property closeout.
i. Paragraph (f)(2) requires contractors
to establish and maintain Government
accounting source data, particularly in
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the areas of recognition of acquisitions,
loss of Government property, and
disposition of material and equipment.
j. Paragraphs (j)(2) and (3) require
contractors to submit inventory disposal
schedules to the Plant Clearance Officer
using the Standard Form (SF) 1428,
Inventory Disposal Schedule and if
needed the SF 1429, Inventory Disposal
Schedule—Continuation Sheet.
Paragraph (j)(2)(iv) requires contractors
to provide the following information:
i. Any additional information that
may facilitate understanding of the
property’s intended use.
ii. For work-in-progress, the estimated
percentage of completion.
iii. For precious metals in raw or bulk
form, the type of metal and estimated
weight.
iv. For hazardous material or property
contaminated with hazardous material,
the type of hazardous material.
v. For metals in mill product form, the
form, shape, treatment, hardness,
temper, specification (commercial or
Government) and dimensions
(thickness, width, and length).
2. FAR 52.245–9, Use and Charges.
Paragraph (d)(1) of this clause requires
contractors submitting a government
property rental request to: (1) Identify
the property for which rental is
requested, (2) propose a rental period,
and (3) compute an estimated rental
charge by using the Contractor’s best
estimate of rental time in the formulae
described in paragraph (e) of the clause
at FAR 52.245–9.
This information is used to facilitate
the management of Government
property in the possession of the
contractor.
C. Annual Burden
Respondents and Recordkeepers:
13,607.
Total Annual Responses and Records:
8,990,168.
Total Burden Hours: 4,442,877.
(2,291,997 reporting hours + 2,150,880
recordkeeping hours)
Obtaining Copies: Requesters may
obtain a copy of the information
collection documents from the GSA
Regulatory Secretariat Division by
calling 202–501–4755 or emailing
GSARegSec@gsa.gov. Please cite OMB
Control No. 9000–0075, Government
Property.
Janet Fry,
Director, Federal Acquisition Policy Division,
Office of Governmentwide Acquisition Policy,
Office of Acquisition Policy, Office of
Governmentwide Policy.
[FR Doc. 2022–03562 Filed 2–17–22; 8:45 am]
BILLING CODE 6820–EP–P
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DEPARTMENT OF DEFENSE
GENERAL SERVICES
ADMINISTRATION
NATIONAL AERONAUTICS AND
SPACE ADMINISTRATION
[OMB Control No. 9000–0149; Docket No.
2021–0053; Sequence No. 15]
Submission for OMB Review;
Subcontract Consent and Contractors’
Purchasing System Review
Department of Defense (DOD),
General Services Administration (GSA),
and National Aeronautics and Space
Administration (NASA).
ACTION: Notice.
AGENCY:
Under the provisions of the
Paperwork Reduction Act, the
Regulatory Secretariat Division has
submitted to the Office of Management
and Budget (OMB) a request to review
and approve an extension of a
previously approved information
collection requirement regarding
subcontract consent and Contractors’
Purchasing System Review.
DATES: Submit comments on or before
March 21, 2022
ADDRESSES: Written comments and
recommendations for this information
collection should be sent within 30 days
of publication of this notice to
www.reginfo.gov/public/do/PRAMain.
Find this particular information
collection by selecting ‘‘Currently under
Review—Open for Public Comments’’ or
by using the search function.
Additionally, submit a copy to GSA
through https://www.regulations.gov
and follow the instructions on the site.
This website provides the ability to type
short comments directly into the
comment field or attach a file for
lengthier comments.
Instructions: All items submitted
must cite OMB Control No. 9000–0149,
Subcontract Consent and Contractors’
Purchasing System Review. Comments
received generally will be posted
without change to https://
www.regulations.gov, including any
personal and/or business confidential
information provided. To confirm
receipt of your comment(s), please
check www.regulations.gov,
approximately two-to-three days after
submission to verify posting. If there are
difficulties submitting comments,
contact the GSA Regulatory Secretariat
Division at 202–501–4755 or
GSARegSec@gsa.gov.
FOR FURTHER INFORMATION CONTACT:
Zenaida Delgado, Procurement Analyst,
at telephone 202–969–7207, or
zenaida.delgado@gsa.gov.
SUMMARY:
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Federal Register / Vol. 87, No. 34 / Friday, February 18, 2022 / Notices
SUPPLEMENTARY INFORMATION:
jspears on DSK121TN23PROD with NOTICES1
A. OMB control number, Title, and any
Associated Form(s)
9000–0149, Subcontract Consent and
Contractors’ Purchasing System Review.
B. Need and Uses
This clearance covers the information
that a contractor must submit to comply
with the requirements in Federal
Acquisition Regulation (FAR) 52.244–2,
Subcontracts, regarding consent to
subcontract, advance notification, and
Contractors’ purchasing system review
as follows:
1. Consent to subcontract. This is the
contracting officer’s written consent for
the prime contractor to enter into a
particular subcontract. In order for the
contracting officer responsible for
consent to make an informed decision,
the prime contractor must submit
adequate information to ensure that the
proposed subcontract is appropriate for
the risks involved and consistent with
current policy and sound business
judgment. The review allows the
Government to determine whether the
contractor’s purchasing policies and
practices are efficient and adequately
protect the Government’s interests.
If the contractor has an approved
purchasing system, consent is required
for subcontracts specifically identified
by the contracting officer in the
subcontracts clause of the contract. The
contracting officer may require consent
to subcontract if the contracting officer
has determined that an individual
consent action is required to protect the
Government adequately because of the
subcontract type, complexity, or value,
or because the subcontract needs special
surveillance. These can be subcontracts
for critical systems, subsystems,
components, or services. If the
contractor does not have an approved
purchasing system, consent to
subcontract is required for costreimbursement, time-and-materials,
labor-hour, or letter contracts, and also
for unpriced actions under fixed-price
contracts that exceed the simplified
acquisition threshold.
2. Advance notification. Prime
contractors must provide contracting
officers notification before the award of
any cost-plus-fixed-fee subcontract, or
certain fixed-price subcontracts that are
identified in paragraph (b), (c) and (d)
of FAR clause 52.244–2. This
requirement for advance notification is
driven by statutory requirements in 10
U.S.C. 2306 and 41 U.S.C. 3905.
3. Contractors’ Purchasing System
Review. The objective of a contractor
purchasing system review (CPSR), is to
evaluate the efficiency and effectiveness
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with which a contractor spends
Government funds and complies with
Government policy when
subcontracting.
Paragraph (i) of FAR clause 52.244–2
specifies that the Government reserves
the right to review the contractor’s
purchasing system as set forth in FAR
subpart 44.3. This clause is the
mechanism through which the
requirements of FAR subpart 44.3 are
applied to contractors.
FAR 44.302 requires the
administrative contracting officer (ACO)
to determine the need for a CPSR based
on, but not limited to, the past
performance of the contractor, and the
volume, complexity and dollar value of
subcontracts. If a contractor’s sales to
the Government (excluding
competitively awarded firm-fixed-price
and competitively awarded fixed-price
with economic price adjustment
contracts and sales of commercial items
pursuant to Part 12) are expected to
exceed $25 million during the next 12
months, the ACO will perform a review
to determine if a CPSR is needed. Sales
include those represented by prime
contracts, subcontracts under
Government prime contracts, and
modifications. Generally, a CPSR is not
performed for a specific contract. The
head of the agency responsible for
contract administration may raise or
lower the $25 million review level if it
is considered to be in the Government’s
best interest. Once an initial
determination has been made to
conduct a review, at least every three
years the ACO shall determine whether
a purchasing system review is
necessary. If necessary, the cognizant
contract administration office will
conduct a purchasing system review.
A CPSR is a thorough review of a
contractor’s existing procurement
policies, procedures, management
control systems (including internal
audit procedures), and documentation.
The review provides the ACO a basis for
granting, withholding, or withdrawing
approval of a contractor’s purchasing
system. An approved purchasing system
allows the contractor more autonomy in
subcontracting actions. Without an
approved purchasing system more
Government oversight is necessary, and
Government consent to subcontract is
required. Generally, a CPSR is not
performed for a specific contract.
Rather, CPSRs are conducted on
contractors based on the factors
identified above. For example, the
Defense Contract Management Agency
Contractor Purchasing System Review
Group is a group dedicated to
conducting CPSRs for the Department of
Defense.
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9355
The cognizant ACO is responsible for
granting, withholding, or withdrawing
approval of a contractor’s purchasing
system and for promptly notifying the
contractor of same (FAR 44.305–1).
Related administrative requirements
are as follows:
FAR 44.305–2(c) requires that when
recommendations are made for
improvement of an approved system,
the contractor shall be requested to
reply within 15 days with a position
regarding the recommendations. FAR
44.305–3(b) requires when approval of
the contractor’s purchasing system is
withheld or withdrawn, the ACO shall
within 10 days after completing the inplant review (1) inform the contractor in
writing, (2) specify the deficiencies that
must be corrected to qualify the system
for approval, and (3) request the
contractor to furnish within 15 days a
plan for accomplishing the necessary
actions. If the plan is accepted, the ACO
shall make a follow-up review as soon
as the contractor notifies the ACO that
the deficiencies have been corrected.
C. Annual Burden
Respondents: 3,270.
Total Annual Responses: 9,330.
Total Burden Hours: 53,394.
D. Public Comment
A 60-day notice was published in the
Federal Register at 86 FR 71499, on
December 16, 2021. No comments were
received.
Obtaining Copies: Requesters may
obtain a copy of the information
collection documents from the GSA
Regulatory Secretariat Division, by
calling 202–501–4755 or emailing
GSARegSec@gsa.gov. Please cite OMB
Control No. 9000–0149, Subcontract
Consent and Contractors’ Purchasing
System Review.
Janet Fry,
Director, Federal Acquisition Policy Division,
Office of Governmentwide Acquisition Policy,
Office of Acquisition Policy, Office of
Governmentwide Policy.
[FR Doc. 2022–03566 Filed 2–17–22; 8:45 am]
BILLING CODE 6820–EP–P
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]]>Agencies
[Federal Register Volume 87, Number 34 (Friday, February 18, 2022)]
[Notices]
[Pages 9354-9355]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-03566]
-----------------------------------------------------------------------
DEPARTMENT OF DEFENSE
GENERAL SERVICES ADMINISTRATION
NATIONAL AERONAUTICS AND SPACE ADMINISTRATION
[OMB Control No. 9000-0149; Docket No. 2021-0053; Sequence No. 15]
Submission for OMB Review; Subcontract Consent and Contractors'
Purchasing System Review
AGENCY: Department of Defense (DOD), General Services Administration
(GSA), and National Aeronautics and Space Administration (NASA).
ACTION: Notice.
-----------------------------------------------------------------------
SUMMARY: Under the provisions of the Paperwork Reduction Act, the
Regulatory Secretariat Division has submitted to the Office of
Management and Budget (OMB) a request to review and approve an
extension of a previously approved information collection requirement
regarding subcontract consent and Contractors' Purchasing System
Review.
DATES: Submit comments on or before March 21, 2022
ADDRESSES: Written comments and recommendations for this information
collection should be sent within 30 days of publication of this notice
to www.reginfo.gov/public/do/PRAMain. Find this particular information
collection by selecting ``Currently under Review--Open for Public
Comments'' or by using the search function.
Additionally, submit a copy to GSA through https://www.regulations.gov and follow the instructions on the site. This
website provides the ability to type short comments directly into the
comment field or attach a file for lengthier comments.
Instructions: All items submitted must cite OMB Control No. 9000-
0149, Subcontract Consent and Contractors' Purchasing System Review.
Comments received generally will be posted without change to https://www.regulations.gov, including any personal and/or business
confidential information provided. To confirm receipt of your
comment(s), please check www.regulations.gov, approximately two-to-
three days after submission to verify posting. If there are
difficulties submitting comments, contact the GSA Regulatory
Secretariat Division at 202-501-4755 or [email protected].
FOR FURTHER INFORMATION CONTACT: Zenaida Delgado, Procurement Analyst,
at telephone 202-969-7207, or [email protected].
[[Page 9355]]
SUPPLEMENTARY INFORMATION:
A. OMB control number, Title, and any Associated Form(s)
9000-0149, Subcontract Consent and Contractors' Purchasing System
Review.
B. Need and Uses
This clearance covers the information that a contractor must submit
to comply with the requirements in Federal Acquisition Regulation (FAR)
52.244-2, Subcontracts, regarding consent to subcontract, advance
notification, and Contractors' purchasing system review as follows:
1. Consent to subcontract. This is the contracting officer's
written consent for the prime contractor to enter into a particular
subcontract. In order for the contracting officer responsible for
consent to make an informed decision, the prime contractor must submit
adequate information to ensure that the proposed subcontract is
appropriate for the risks involved and consistent with current policy
and sound business judgment. The review allows the Government to
determine whether the contractor's purchasing policies and practices
are efficient and adequately protect the Government's interests.
If the contractor has an approved purchasing system, consent is
required for subcontracts specifically identified by the contracting
officer in the subcontracts clause of the contract. The contracting
officer may require consent to subcontract if the contracting officer
has determined that an individual consent action is required to protect
the Government adequately because of the subcontract type, complexity,
or value, or because the subcontract needs special surveillance. These
can be subcontracts for critical systems, subsystems, components, or
services. If the contractor does not have an approved purchasing
system, consent to subcontract is required for cost-reimbursement,
time-and-materials, labor-hour, or letter contracts, and also for
unpriced actions under fixed-price contracts that exceed the simplified
acquisition threshold.
2. Advance notification. Prime contractors must provide contracting
officers notification before the award of any cost-plus-fixed-fee
subcontract, or certain fixed-price subcontracts that are identified in
paragraph (b), (c) and (d) of FAR clause 52.244-2. This requirement for
advance notification is driven by statutory requirements in 10 U.S.C.
2306 and 41 U.S.C. 3905.
3. Contractors' Purchasing System Review. The objective of a
contractor purchasing system review (CPSR), is to evaluate the
efficiency and effectiveness with which a contractor spends Government
funds and complies with Government policy when subcontracting.
Paragraph (i) of FAR clause 52.244-2 specifies that the Government
reserves the right to review the contractor's purchasing system as set
forth in FAR subpart 44.3. This clause is the mechanism through which
the requirements of FAR subpart 44.3 are applied to contractors.
FAR 44.302 requires the administrative contracting officer (ACO) to
determine the need for a CPSR based on, but not limited to, the past
performance of the contractor, and the volume, complexity and dollar
value of subcontracts. If a contractor's sales to the Government
(excluding competitively awarded firm-fixed-price and competitively
awarded fixed-price with economic price adjustment contracts and sales
of commercial items pursuant to Part 12) are expected to exceed $25
million during the next 12 months, the ACO will perform a review to
determine if a CPSR is needed. Sales include those represented by prime
contracts, subcontracts under Government prime contracts, and
modifications. Generally, a CPSR is not performed for a specific
contract. The head of the agency responsible for contract
administration may raise or lower the $25 million review level if it is
considered to be in the Government's best interest. Once an initial
determination has been made to conduct a review, at least every three
years the ACO shall determine whether a purchasing system review is
necessary. If necessary, the cognizant contract administration office
will conduct a purchasing system review.
A CPSR is a thorough review of a contractor's existing procurement
policies, procedures, management control systems (including internal
audit procedures), and documentation. The review provides the ACO a
basis for granting, withholding, or withdrawing approval of a
contractor's purchasing system. An approved purchasing system allows
the contractor more autonomy in subcontracting actions. Without an
approved purchasing system more Government oversight is necessary, and
Government consent to subcontract is required. Generally, a CPSR is not
performed for a specific contract. Rather, CPSRs are conducted on
contractors based on the factors identified above. For example, the
Defense Contract Management Agency Contractor Purchasing System Review
Group is a group dedicated to conducting CPSRs for the Department of
Defense.
The cognizant ACO is responsible for granting, withholding, or
withdrawing approval of a contractor's purchasing system and for
promptly notifying the contractor of same (FAR 44.305-1).
Related administrative requirements are as follows:
FAR 44.305-2(c) requires that when recommendations are made for
improvement of an approved system, the contractor shall be requested to
reply within 15 days with a position regarding the recommendations. FAR
44.305-3(b) requires when approval of the contractor's purchasing
system is withheld or withdrawn, the ACO shall within 10 days after
completing the in-plant review (1) inform the contractor in writing,
(2) specify the deficiencies that must be corrected to qualify the
system for approval, and (3) request the contractor to furnish within
15 days a plan for accomplishing the necessary actions. If the plan is
accepted, the ACO shall make a follow-up review as soon as the
contractor notifies the ACO that the deficiencies have been corrected.
C. Annual Burden
Respondents: 3,270.
Total Annual Responses: 9,330.
Total Burden Hours: 53,394.
D. Public Comment
A 60-day notice was published in the Federal Register at 86 FR
71499, on December 16, 2021. No comments were received.
Obtaining Copies: Requesters may obtain a copy of the information
collection documents from the GSA Regulatory Secretariat Division, by
calling 202-501-4755 or emailing [email protected]. Please cite OMB
Control No. 9000-0149, Subcontract Consent and Contractors' Purchasing
System Review.
Janet Fry,
Director, Federal Acquisition Policy Division, Office of Governmentwide
Acquisition Policy, Office of Acquisition Policy, Office of
Governmentwide Policy.
[FR Doc. 2022-03566 Filed 2-17-22; 8:45 am]
BILLING CODE 6820-EP-P
