Federal Acquisition Regulation: Inflation Adjustment of Acquisition-Related Thresholds, 94649-94656 [2024-27851]

Agencies

• DEPARTMENT OF DEFENSE
• General Services Administration
• National Aeronautics and Space Administration

[Federal Register Volume 89, Number 230 (Friday, November 29, 2024)]
[Proposed Rules]
[Pages 94649-94656]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-27851]


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DEPARTMENT OF DEFENSE

GENERAL SERVICES ADMINISTRATION

NATIONAL AERONAUTICS AND SPACE ADMINISTRATION

48 CFR Parts 1, 2, 3, 4, 5, 6, 8, 9, 10, 12, 13, 15, 16, 17, 19, 
22, 23, 25, 26, 30, 32, 36, 42, 50, and 52

[FAR Case 2024-001, Docket No. FAR-2024-0001, Sequence No. 1]
RIN 9000-AO73


Federal Acquisition Regulation: Inflation Adjustment of 
Acquisition-Related Thresholds

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

ACTION: Proposed rule.

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SUMMARY: DoD, GSA, and NASA are proposing to amend 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, performance and payment bonds, and 
trade agreements thresholds. DoD, GSA, and NASA are also proposing to 
use the same methodology to adjust nonstatutory FAR acquisition-related 
thresholds in 2025.

DATES: Interested parties should submit written comments to the 
Regulatory Secretariat Division at the address shown below on or before 
January 28, 2025 to be considered in the formation of the final rule.

ADDRESSES: Submit comments in response to FAR case 2024-001 to Federal 
eRulemaking portal at https://www.regulations.gov by searching for 
``FAR Case 2024-001''. Select the link ``Comment Now'' that corresponds 
with ``FAR Case 2024-001''. Follow the instructions provided on the 
``Comment Now'' screen. Please include your name, company name (if 
any), and ``FAR Case 2024-001'' on your attached document. If your 
comment cannot be submitted using https://www.regulations.gov, call or 
email the points of contact in the FOR FURTHER INFORMATION CONTACT 
section of this document for alternate instructions.
    Instructions: Please submit comments only and cite ``FAR Case 2024-
001'' in all correspondence related to this case. Comments received 
generally will be posted without change to https://www.regulations.gov, 
including any personal and/or business confidential information 
provided. Public comments may be submitted as an individual, as an 
organization, or anonymously (see frequently asked questions at https://www.regulations.gov/faq). To confirm receipt of your comment(s), 
please check https://www.regulations.gov, approximately two to three 
days after submission to verify posting.

FOR FURTHER INFORMATION CONTACT: For clarification of content, contact 
Mr. Michael O. Jackson, Procurement Analyst, at 202-821-9776 or by 
email at [email protected]. For information pertaining to 
status, publication schedules, or alternate instructions for submitting 
comments if https://www.regulations.gov cannot be used, contact the 
Regulatory Secretariat Division at 202-501-4755 or [email protected]. 
Please cite FAR Case 2024-001.

SUPPLEMENTARY INFORMATION:

I. Background

    This rule proposes to amend multiple FAR parts 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 (Davis-Bacon Act), Service Contract Labor 
Standards statute, performance and payment bonds, and trade agreements 
thresholds (see FAR 1.109). As a matter of policy, DoD, GSA, and NASA 
are also proposing to use the same methodology to adjust nonstatutory 
FAR acquisition-related thresholds on October 1, 2025.
    This is the fifth review of FAR acquisition-related thresholds 
since the statute was passed on October 28, 2004 (section 807 of the 
Ronald W. Reagan National Defense Authorization Act for Fiscal Year 
2005). The last review was

[[Page 94650]]

conducted under FAR Case 2019-013 during fiscal year (FY) 2020. The 
final rule under that case was published in the Federal Register on 
October 2, 2020 (85 FR 62485), effective October 1, 2020.

II. Discussion and Analysis

A. What is an acquisition-related threshold?

    This case builds on the review of FAR thresholds in FY 2005, FY 
2010, FY 2015, and FY 2020, using the same interpretation of an 
acquisition-related threshold. 41 U.S.C. 1908 is applicable to ``a 
dollar threshold that is specified in law as a factor in defining the 
scope of the applicability of a policy, procedure, requirement, or 
restriction provided in that law to the procurement of property or 
services by an executive agency, as the Federal Acquisition Regulatory 
Council (the Council) determines.''
    There are other thresholds in the FAR that, while not specified in 
law, nevertheless meet all the other criteria. These thresholds may 
have their origin in Executive order or regulation. Therefore, the 
Council has determined that in this case ``acquisition-related 
threshold'' has a broader meaning, i.e., a threshold that is specified 
in law, Executive order, or regulation as a factor in defining the 
scope of the applicability of a policy, procedure, requirement, or 
restriction provided in that law, Executive order, or regulation to the 
procurement of property or services by an Executive agency. DoD, GSA, 
and NASA conclude that acquisition-related thresholds are generally 
tied to the value of a contract, subcontract, or modification.
    This rule does not address thresholds that are not acquisition-
related. Examples of thresholds that are not ``acquisition-related,'' 
as defined in this proposed rule, include thresholds relating to 
claims, penalties, withholding, payments, required levels of insurance, 
small business size standards, liquidated damages, and protests.

B. What acquisition-related thresholds are not subject to escalation 
adjustment under this case?

    41 U.S.C. 1908 does not permit escalation of acquisition-related 
thresholds established by the Construction Wage Rate Requirements 
statute (Davis Bacon Act), the Service Contract Labor Standards 
statute, performance and payment bonds (formerly the Miller Act), or 
the United States Trade Representative pursuant to the authority of the 
Trade Agreements Act of 1979.
    Also, the statute does not authorize the FAR to escalate thresholds 
originating in Executive order or the implementing agency (such as the 
Department of Labor or the Small Business Administration), unless the 
Executive order or agency regulations are first amended.

C. How do the Defense Acquisition Regulations Council and the Civilian 
Agency Acquisition Council (the Councils) analyze a statutory 
acquisition-related threshold?

    If an acquisition-related threshold is based on statute, the matrix 
at https://www.regulations.gov identifies the statute and the statutory 
threshold, including the original threshold and any FAR revisions.
    With the exception of thresholds set by the Construction Wage Rate 
Requirements statute (Davis-Bacon Act), Service Contract Labor 
Standards statute, performance and payment bonds (formerly the Miller 
Act), and the United States Trade Representative pursuant to the 
authority of the Trade Agreements Act of 1979, 41 U.S.C. 1908 requires 
that the Councils adjust the acquisition-related thresholds for 
inflation using the CPI for all urban consumers. Acquisition-related 
thresholds in statutes that were in effect on October 1, 2000, are only 
subject to escalation from that date forward. For purposes of this 
proposed rule, the matrix includes calculation of escalation based on 
the estimated CPI value for March 2025 (currently projected at 323.193) 
divided by the CPI for the date of enactment of the statute or 
regulation (October 2000, for statutes enacted prior to October 1, 
2000). The Councils will subsequently adjust as necessary before 
issuance of the final rule.
    Once the escalation factor is applied to the acquisition-related 
threshold, then the threshold must be rounded as follows:

------------------------------------------------------------------------
 
------------------------------------------------------------------------
<$10,000..................................  Nearest $500.
$10,000-<$100,000.........................  Nearest $5,000.
$100,000-<$1 million......................  Nearest $50,000.
$1 million-<$10 million...................  Nearest $500,000.
$10 million-<$100 million.................  Nearest $5 million.
$100 million-<$1 billion..................  Nearest $50 million.
$1 billion or more........................  Nearest $500 million.
------------------------------------------------------------------------

    The calculations in this proposed rule are all based on the base 
year amount, because escalated amounts in the 2020 rule were subject to 
rounding. Therefore, using those amounts as the base would distort 
future calculations.
    In 2020, some thresholds, although subject to inflation 
calculation, did not actually change, because the inflation in 2020 was 
insufficient to overcome the rounding requirements--i.e., the 
escalation factor when applied did not cause the escalated values to be 
high enough to round to the next higher value. However, in FY 2025 many 
thresholds that did not escalate in 2020 have increased through other 
statutory actions or will now escalate because of five additional years 
of inflation. Likewise, some thresholds that were escalated in 2020 
will not escalate in 2025.
    The thresholds for defining a major system differ for the civilian 
agencies and DoD. The FAR will continue to escalate the major systems 
threshold for the civilian agencies; however, DoD has determined that 
for DoD the major systems thresholds in the FAR must be consistent with 
the major systems thresholds in DoD Instruction 5000.85, Major 
Capability Acquisition, established in accordance with the authority in 
10 U.S.C. 3041. For the purposes of this rule, the thresholds are 
unchanged.
    This proposed rule has been coordinated with the Department of 
Labor and the Small Business Administration in areas of the regulation 
for which they are the lead agency.

D. How do the Councils analyze a nonstatutory acquisition-related 
threshold?

    No statutory authorization is required to escalate thresholds that 
are policy-based within the FAR. For consistency, escalation of the FAR 
policy-based acquisition-related thresholds is recommended using the 
same formula applied to the statutory thresholds, unless there is a 
valid reason for not doing so.

E. What is the effect of this proposed rule on the most heavily-used 
thresholds?

    This rule includes the following proposed changes to heavily-used 
thresholds. All these inflation increases assume that the current rate 
of inflation continues.
     The micro-purchase threshold at FAR 2.101 will increase 
from $10,000 to $15,000. Paragraphs (3)(i) and (ii) of the definition, 
for acquisitions to support contingency operations or to facilitate 
defense against certain attacks, are proposed to increase from $20,000 
to $25,000 and from $35,000 to $40,000, respectively. Paragraph (4)(i), 
for acquisitions from institutions of higher education, nonprofit 
entities, or nonprofit and independent research

[[Page 94651]]

activities, is proposed to increase from $10,000 to $15,000.
     The simplified acquisition threshold will increase from 
$250,000 to $350,000. Paragraphs (1)(i) and (ii) of the definition, for 
acquisitions to support contingency operations or to facilitate defense 
against certain attacks, are proposed to increase from $800,000 to $1 
million and from $1.5 million to $2 million, respectively. Paragraph 
(2) of the definition, for acquisitions to support humanitarian or 
peacekeeping operations, is proposed to increase from $500,000 to 
$650,000.
     The threshold for reporting first-tier subcontract 
information including executive compensation (FAR subpart 4.14) will 
increase from $30,000 to $40,000.
     The preaward and postaward notices (FAR part 5) remain at 
$25,000 because of trade agreements.
     The threshold requirement for limiting competition (FAR 
part 6) to eligible 8(a) awards over $25 million is increased to $30 
million.
     Approval thresholds of justifications for other than full 
and open competition (FAR 6.304) will increase from $750,000 to 
$950,000. Paragraphs (a)(3) and (4) will increase from $15 million to 
$20 million and from $75 million to $95 million, respectively. The $100 
million threshold applicable to DoD, NASA, and the Coast Guard will 
increase to $150 million.
     The ceiling for using simplified procedures for certain 
commercial products and commercial services (FAR 13.500) will increase 
from $7.5 million to $9.5 million. For acquisitions described at FAR 
13.500(c), the ceiling will increase from $15 million to $20 million.
     The cost or pricing data threshold (FAR 15.403-4) will 
increase from $2 million to $2.5 million.
     The threshold for justifications of single-award 
indefinite-delivery contracts (FAR 16.504(c)(1)(ii)(D)(1)) will 
increase from $100 million to $150 million.
     The prime contractor subcontracting plan (FAR 19.702) 
floor will increase from $750,000 to $950,000. The construction 
threshold will increase from $1.5 million to $2 million.
    This proposed rule is based on a projected CPI of 323.193 for March 
2025. If the actual CPI for March 2025 is higher than 323.193, then 
additional statutory thresholds may be subject to escalation in the 
final rule, even though not included in the proposed rule.

III. Applicability to Contracts at or Below the Simplified Acquisition 
Threshold (SAT) and for Commercial Products (Including Commercially 
Available Off-the-Shelf (COTS) Items) or for Commercial Services

    This proposed rule does not create any new provisions or clauses, 
nor does it change the applicability of any existing provisions or 
clauses included in solicitations and contracts valued at or below the 
SAT, or for commercial products, including COTS items, or for 
commercial services.

IV. Expected Impact of the Rule

    The proposed rule is not expected to have a significant impact on 
the public or the Government because the rule is intended to maintain 
the status quo by adjusting acquisition-related thresholds for 
inflation. The escalation of statutory acquisition-related thresholds 
is mandated by 41 U.S.C. 1908, including how to calculate the 
escalation. The impact on heavily-used FAR thresholds is described in 
Section II.E. of this preamble.
    The most impactful threshold escalations will likely be associated 
with the proposed increases to the micro-purchase threshold (MPT) and 
SAT. According to data from the Federal Procurement Data System (FPDS), 
the average number of Federal awards valued at or below the current MPT 
($10,000) during FY 2022 through FY 2024 was approximately 562,324. 
Those actions were awarded to approximately 18,440 unique entities. For 
the same period, FPDS data indicates that between the current MPT and 
the proposed threshold value of $15,000, another 49,321 awards were 
made to approximately 13,788 unique entities. While it is unclear how 
much duplication there is between the unique entities for each data 
point, the data illustrates an approximate 9 percent increase in the 
number of actions that would be considered under the MPT.
    For actions above the current MPT but valued at or below the 
current SAT ($250,000), FPDS data for the same period indicates that an 
average of 235,020 contract actions were awarded to approximately 
48,686 unique entities. According to FPDS data between the current SAT 
and the proposed threshold value of $350,000, another 5,150 (2 percent) 
contract actions could be awarded to approximately 3,580 entities using 
the flexibilities afforded to contracts at or below the SAT.
    While not significant in number or percentage, the data appears to 
illustrate slight decreases in the number of contract actions that were 
valued at or under the MPT for each of the reported fiscal years. 
However, the number of contract actions having a value between the MPT 
and the SAT have increased slightly. DoD, GSA, and NASA assume that 
these changes, however insignificant, illustrate that the value of 
Federal procurements have increased, resulting in more regulatory 
burden on offerors and contractors.
    DoD, GSA, and NASA expect this proposed rule to provide the 
adjustments necessary to mitigate the impact of inflation on both the 
public and the Government as intended under 41 U.S.C. 1908. The rule 
does not change direction to contracting officers, nor does it change 
the applicability of any requirements for offerors and contractors.

V. Executive Orders 12866 and 13563

    Executive Orders (E.O.s) 12866 (as amended by E.O. 14094) and 13563 
direct agencies to assess the 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.

VI. Regulatory Flexibility Act

    DoD, GSA, and NASA do not expect this rule to have a significant 
economic impact on a substantial number of small entities within the 
meaning of the Regulatory Flexibility Act, 5 U.S.C. 601-612, because 
the rule maintains the status quo by adjusting thresholds for actual 
inflationary increases in the CPI. However, an Initial Regulatory 
Flexibility Analysis has been performed and is summarized as follows:

    This proposed rule will amend the Federal Acquisition Regulation 
(FAR) to implement 41 U.S.C. 1908 and to amend other acquisition-
related dollar thresholds that are based on policy rather than 
statute in order to adjust for the changing value of the dollar. 41 
U.S.C. 1908 requires adjustment every 5 years of statutory 
acquisition-related dollar thresholds, except for Construction Wage 
Rate Requirements statute (Davis-Bacon Act), Service Contract Labor 
Standards statute, performance and payment bonds (formerly the 
Miller Act), and trade agreements thresholds. While reviewing all 
statutory acquisition-related thresholds, this case presented an 
opportunity to also review all

[[Page 94652]]

nonstatutory acquisition-related thresholds in the FAR that are 
based on policy.
    The objective of the rule is to maintain the status quo by 
adjusting acquisition-related thresholds for inflation. The legal 
basis is 41 U.S.C. 1908. The promulgation of the FAR is authorized 
by 40 U.S.C. 121(c); 10 U.S.C. chapter 4 and 10 U.S.C. chapter 137 
legacy provisions (see 10 U.S.C. 3016); and 51 U.S.C. 20113.
    This rule will have a minimal impact on small entities that 
submit offers or are awarded contracts by the Federal Government. 
However, most of the threshold changes proposed in this rule are not 
expected to have any significant economic impact on small entities 
because the threshold changes are intended to maintain the status 
quo by adjusting for changes in the value of the dollar. Often any 
impact will be beneficial, by preventing burdensome requirements 
from applying to more and more acquisitions, as the dollar loses 
value.
    According to the System for Award Management (SAM), as of 
December 2023, there were 361,685 entities registered as small 
businesses under any North American Industry Classification System 
code. This rule assumes that any of the 361,685 small entities 
registered in SAM may experience some benefit from a reduction in 
burden as a result of this proposed rule.
    The rule does not impose any new reporting, recordkeeping, or 
compliance requirements. Changes in thresholds for approved 
information collection requirements are intended to maintain the 
status quo and prevent those requirements from increasing over time.
    The rule does not duplicate, overlap, or conflict with any other 
Federal rules.
    There are no practical alternatives that will accomplish the 
objectives of the statute.

    The Regulatory Secretariat Division has submitted a copy of the 
IRFA to the Chief Counsel for Advocacy of the Small Business 
Administration. A copy of the IRFA may be obtained from the Regulatory 
Secretariat Division. DoD, GSA, and NASA invite comments from small 
business concerns and other interested parties on the expected impact 
of this rule on small entities.
    DoD, GSA, and NASA will also consider comments from small entities 
concerning the existing regulations in subparts affected by the rule in 
accordance with 5 U.S.C. 610. Interested parties must submit such 
comments separately and should cite 5 U.S.C. 610 (FAR Case 2024-001), 
in correspondence.

VII. Paperwork Reduction Act

    The Paperwork Reduction Act does apply. The proposed changes to the 
FAR do not impose new information collection requirements that require 
the approval of the Office of Management and Budget (OMB) under 44 
U.S.C. 3501, et seq. By adjusting the thresholds for inflation, the 
status quo for the current information collection requirements is 
maintained under the following OMB clearance numbers: 9000-0007, 1250-
0004, and 1293-0005.

List of Subjects in 48 CFR Parts 1, 2, 3, 4, 5, 6, 8, 9, 10, 12, 
13, 15, 16, 17, 19, 22, 23, 25, 26, 30, 32, 36, 42, 50, and 52

    Government Procurement.

William F. Clark,
Director, Office of Government-wide Acquisition Policy, Office of 
Acquisition Policy, Office of Government-wide Policy.

    Therefore, DoD, GSA, and NASA propose amending 48 CFR parts 1, 2, 
3, 4, 5, 6, 8, 9, 10, 12, 13, 15, 16, 17, 19, 22, 23, 25, 26, 30, 32, 
36, 42, 50, and 52 as set forth below:

0
1. The authority citation for 48 CFR parts 1, 2, 3, 4, 5, 6, 8, 9, 10, 
12, 13, 15, 16, 17, 19, 22, 23, 25, 26, 30, 32, 36, 42, 50, and 52 
continues to read as follows:

    Authority: 40 U.S.C. 121(c); 10 U.S.C. chapter 4 and 10 U.S.C. 
chapter 137 legacy provisions (see 10 U.S.C. 3016); and 51 U.S.C. 
20113.

PART 1--FEDERAL ACQUISITION REGULATIONS SYSTEM


1.109  [Amended]

0
2. Amend section 1.109, in paragraph (e) by removing ``2019-013'' and 
adding ``2024-001'' in its place.

PART 2--DEFINITIONS OF WORDS AND TERMS


2.101  [Amended]

0
3. Amend section 2.101, by--
0
a. In the definition ``Major system'', removing from paragraph (2) ``$ 
2.5 million'' and adding ``$3 million'' in its place;
0
b. In the definition ``Micro-purchase threshold'':
0
i. Removing from the introductory text ``$10,000'' and adding 
``$15,000'' in its place;
0
ii. Removing from paragraph (3)(i) ``$20,000'' and adding ``$25,000'' 
in its place;
0
iii. Removing from paragraph (3)(ii) ``$35,000'' and adding ``$40,000'' 
in its place;
0
iv. Removing from paragraph (4)(i) ``$10,000'' and adding ``$15,000'' 
in its place;
0
c. In the definition ``Simplified acquisition threshold'':
0
i. Removing from the introductory text ``$250,000'' and adding 
``$350,000'' in its place;
0
ii. Removing from paragraph (1)(i) ``$800,000'' and adding ``$1 
million'' in its place;
0
iii. Removing from paragraph (1)(ii) ``$1.5 million'' and adding ``$2 
million'' in its place; and
0
iv. Removing from paragraph (2) ``(10 U.S.C. 3015), the term means 
$500,000'' and adding ``(10 U.S.C. 3015), the term means $650,000'' in 
its place.

PART 3--IMPROPER BUSINESS PRACTICES AND PERSONAL CONFLICTS OF 
INTEREST


3.502-2  [Amended]

0
4. Amend section 3.502-2 in paragraph (i) introductory text by removing 
``$150,000'' and adding ``$200,000'' in its place.


3.502-3  [Amended]

0
5. Amend section 3.502-3 by removing ``$150,000'' and adding 
``$200,000'' in its place.


3.804  [Amended]

0
6. Amend section 3.804 by removing ``$150,000'' and adding ``$200,000'' 
in its place.


3.808  [Amended]

0
7. Amend section 3.808 in paragraphs (a) and (b) by removing 
``$150,000'' and adding ``$200,000'' in their places, respectively.


3.1004  [Amended]

0
8. Amend section 3.1004 in paragraphs (a), (b)(1)(i), and (b)(3) by 
removing ``$6 million'' and adding ``$7.5 million'' in their places, 
respectively.

PART 4--ADMINISTRATIVE AND INFORMATION MATTERS


4.605  [Amended]

0
9. Amend section 4.605 in paragraphs (c)(2)(i) introductory text and 
(c)(2)(ii) by removing ``$30,000'' and adding ``$40,000'' in their 
places, respectively.


4.1102  [Amended]

0
10. Amend section 4.1102 in paragraph (a)(6) by removing ``$30,000'' 
and adding ``$40,000'' in its place.


4.1401  [Amended]

0
11. Amend section 4.1401 in paragraph (a) by removing ``$30,000'' and 
adding ``$40,000'' in its place.


4.1403  [Amended]

0
12. Amend section 4.1403 in paragraph (a) by removing ``$30,000'' and 
adding ``$40,000'' in its place.

PART 5--PUBLICIZING CONTRACT ACTIONS


5.101  [Amended]

0
13. Amend section 5.101 in paragraph (a)(2) introductory text by 
removing ``$15,000'' and adding ``$20,000'' in its place.

[[Page 94653]]

5.205  [Amended]

0
14. Amend section 5.205 in paragraph (d)(2) by removing ``$15,000'' and 
adding ``$20,000'' in its place.


5.206  [Amended]

0
15. Amend section 5.206 in paragraph (a)(2) by removing ``$15,000'' and 
adding ``$20,000'' in its place.


5.303  [Amended]

0
16. Amend section 5.303 in paragraph (a) introductory text by removing 
``$4.5 million'' and adding ``$5.5 million'' in its place.

PART 6--COMPETITION REQUIREMENTS


6.204  [Amended]

0
17. Amend section 6.204 in paragraph (b) by removing ``$25 million'' 
and adding ``$30 million'' in its place.


6.302-5  [Amended]

0
18. Amend section 6.302-5 in paragraphs (b)(4) and (c)(2)(iii) by 
removing ``$25 million'' and adding ``$30 million'' in their places, 
respectively.


6.303-1  [Amended]

0
19. Amend section 6.303-1 in paragraph (b) introductory text by 
removing ``$25 million'' and adding ``$30 million'' in its place.


6.303-2  [Amended]

0
20. Amend section 6.303-2 by removing from the introductory text of 
paragraphs (b) and (d) ``$25 million'' and adding ``$30 million'' in 
their places, respectively.


6.304  [Amended]

0
21. Amend section 6.304 by--
0
a. Removing from paragraph (a)(1) ``$750,000'' and adding ``$950,000'' 
in its place;
0
b. Removing from paragraph (a)(2) ``$750,000'' and ``$15 million'' and 
adding ``$950,000'' and ``$20 million'' in their places, respectively;
0
c. Removing from paragraph (a)(3) introductory text ``$15 million'', 
``$75 million'', and ``$100 million'' and adding ``$20 million'', ``$95 
million'', and ``$150 million'' in their places, respectively; and
0
d. Removing from paragraph (a)(4) ``$75 million'' and ``$100 million'' 
and adding ``$95 million'' and ``$150 million'' in their places, 
respectively.


6.502  [Amended]

0
22. Amend section 6.502 in paragraph (b)(2)(vii) by removing 
``$1,000,000'' and adding ``$1.5 million'' in its place.

PART 8--REQUIRED SOURCES OF SUPPLIES AND SERVICES


8.404  [Amended]

0
23. Amend section 8.404 in paragraph (b)(2) by removing ``$600,000'' 
and adding ``$750,000'' in its place.


8.405-3  [Amended]

0
24. Amend section 8.405-3 by--
0
a. Removing from paragraph (a)(3)(ii) introductory text ``$100 
million'' and adding ``$150 million'' in its place;
0
b. Removing from paragraph (a)(3)(iii) ``$100 million'' and adding 
``$150 million'' in its place; and
0
c. Removing from paragraph (a)(7)(v) ``$100 million'' and adding ``$150 
million'' in its place.


8.405-6  [Amended]

0
25. Amend section 8.405-6 by--
0
a. Removing from paragraph (d)(1) ``$750,000'' and adding ``$950,000'' 
in its place;
0
b. Removing from paragraph (d)(2) ``$750,000'' and ``$15 million'' and 
adding ``$950,000'' and ``$20 million'' in their places, respectively;
0
c. Removing from paragraph (d)(3) introductory text ``$15 million'', 
``$75 million'', and ``$100 million'' and adding ``$20 million'', ``$95 
million'', and ``$150 million'' in their places, respectively; and
0
d. Removing from paragraph (d)(4) ``$75 million'' and ``$100 million'' 
and adding ``$95 million'' and ``$150 million'' in their places, 
respectively.

PART 9--CONTRACTOR QUALIFICATIONS


9.104-5  [Amended]

0
26. Amend section 9.104-5 by--
0
a. Removing from paragraph (a)(2) ``$10,000'' and adding ``$15,000'' in 
its place; and
0
b. Removing from paragraph (c) ``$5.5 million'' and adding ``$7 
million'' in its place.


9.104-7  [Amended]

0
27. Amend section 9.104-7 by--
0
a. Removing from paragraphs (b) and (c)(1) ``$600,000'' and adding 
``$750,000'' in their places, respectively; and
0
b. Removing from paragraph (e) ``$5.5 million'' and adding ``$7 
million'' in its place.


9.405-2  [Amended]

0
28. Amend section 9.405-2 in paragraph (b) introductory text by 
removing ``$35,000'' wherever it appears and adding ``$45,000'' in 
their places, respectively.


9.409  [Amended]

0
29. Amend section 9.409 by removing ``$35,000'' and adding ``$45,000'' 
in its place.

PART 10--MARKET RESEARCH


10.001  [Amended]

0
30. Amend section 10.001 in paragraph (d) by removing ``$6 million'' 
and adding ``$7.5 million'' in its place.


10.003  [Amended]

0
31. Amend section 10.003 by removing ``$6 million'' and adding ``$7.5 
million'' in its place.

PART 12--ACQUISITION OF COMMERCIAL PRODUCTS AND COMMERCIAL SERVICES


12.102  [Amended]

0
32. Amend section 12.102 in paragraph (f)(2) introductory text by 
removing ``$20 million'' and adding ``$25 million'' in its place.


12.203  [Amended]

0
33. Amend section 12.203 in paragraph (a) by removing ``$7.5 million 
($15 million'' and adding ``$9.5 million ($20 million'' in its place.

PART 13--SIMPLIFIED ACQUISITION PROCEDURES


13.000  [Amended]

0
34. Amend section 13.000 by removing ``$7.5 million ($15 million'' and 
adding ``$9.5 million ($20 million'' in its place.


13.003  [Amended]

0
35. Amend section 13.003 by removing from paragraphs (c)(1)(ii) and 
(g)(2) ``$7.5 million ($15 million'' and adding ``$9.5 million ($20 
million'' in their places, respectively.


13.201  [Amended]

0
36. Amend section 13.201 in paragraph (g)(1) by--
0
a. Removing from paragraph (i) ``$20,000'' and adding ``$25,000'' in 
its place; and
0
b. Removing from paragraph (ii) ``$35,000'' and adding ``$40,000'' in 
its place.


13.303-5  [Amended]

0
37. Amend section 13.303-5 by--
0
a. Removing from paragraph (b)(1) ``$7.5 million'' and ``$15 million'' 
and adding ``$9.5 million'' and ``$20 million'' in their places, 
respectively; and
0
b. Removing from paragraph (b)(2) ``commercial serviceacquisitions'' 
and ``$7.5 million ($15 million'' and adding ``commercial service 
acquisitions'' and

[[Page 94654]]

``$9.5 million ($20 million'' in their places, respectively.


13.402  [Amended]

0
38. Amend section 13.402 in paragraph (a) by removing ``$35,000'' and 
adding ``$45,000'' in its place.


13.500  [Amended]

0
39. Amend section 13.500 by--
0
a. Removing from paragraph (a) ``$7.5 million ($15 million'' and adding 
``$9.5 million ($20 million'' in its place; and
0
b. Removing from paragraph (c) introductory text ``$15 million'' and 
adding ``$20 million'' in its place.


13.501  [Amended]

0
40. Amend section 13.501 by--
0
a. Removing from paragraph (a)(2)(i) ``$750,000'' and adding 
``$950,000'' in its place;
0
b. Removing from paragraph (a)(2)(ii) ``$750,000'' and ``$15 million'' 
and adding ``$950,000'' and ``$20 million'' in their places, 
respectively;
0
c. Removing from paragraph (a)(2)(iii) ``$15 million'', ``$75 
million'', and ``$100 million'' and adding ``$20 million'', ``$95 
million'', and ``$150 million'' in their places, respectively; and
0
d. Removing from paragraph (a)(2)(iv) ``$75 million'' and ``$100 
million'' and adding ``$95 million'' and ``$150 million'' in their 
places, respectively.

PART 15--CONTRACTING BY NEGOTIATION


15.403-1  [Amended]

0
41. Amend section 15.403-1 in paragraph (c)(3)(iv) by removing ``$20 
million'' and adding ``$25 million'' in its place.


15.403-4  [Amended]

0
42. Amend section 15.403-4 by removing from paragraphs (a)(1) 
introductory text and (a)(3) ``$2 million'' and adding ``$2.5 million'' 
in their places, respectively.


15.404-3  [Amended]

0
43. Amend section 15.404-3 in paragraph (c)(1)(i) by removing ``$15 
million'' and adding ``$20 million'' in its place.


15.407-2  [Amended]

0
44. Amend section 15.407-2 by removing from paragraphs (c)(1) and 
(c)(2) introductory text ``$15 million'' and adding ``$20 million'' in 
their places, respectively.


15.408  [Amended]

0
45. Amend section 15.408, in Table 15-2, section II, paragraph A.(2) by 
removing ``$15 million'' and adding ``$20 million'' in its place.

PART 16--TYPES OF CONTRACTS


16.503  [Amended]

0
46. Amend section 16.503 by--
0
a. Removing from paragraph (b)(2) ``$100 million'' and adding ``$150 
million'' in its place; and
0
b. Removing from paragraph (d) ``$15 million'' and adding ``$20 
million'' in its place.


16.504  [Amended]

0
47. Amend section 16.504 by--
0
a. Removing from paragraphs (c)(1)(ii)(D)(1) introductory text and 
(D)(3) introductory text, ``$100 million'' and adding ``$150 million'' 
in their places, respectively; and
0
b. Removing from paragraph (c)(2)(i) introductory text ``$15 million'' 
and adding ``$20 million'' in its place.


16.505  [Amended]

0
48. Amend section 16.505 by--
0
a. Removing from paragraph (a)(4)(iii)(A) introductory text ``$30,000'' 
and adding ``$40,000'' in its place;
0
b. Removing from paragraph (b)(1)(iv) heading and introductory text 
``$6 million'' and ``$6 million'' and adding ``$7.5 million'' and 
``$7.5 million'' in their places, respectively;
0
c. Removing from paragraph (b)(2)(ii)(C)(1) ``$750,000'' and adding 
``$950,000'' in its place;
0
d. Removing from paragraph (b)(2)(ii)(C)(2) ``$750,000'' and ``$15 
million'' and adding ``$950,000'' and ``$20 million'' in their places, 
respectively;
0
e. Removing from paragraph (b)(2)(ii)(C)(3) introductory text ``$15 
million'', ``$75 million, and ``$100 million'' and adding ``$20 
million'', ``$95 million'' and ``$150 million'' in their places, 
respectively;
0
f. Removing from paragraph (b)(2)(ii)(C)(4) ``$75 million'' and ``$100 
million'' and adding ``$95 million'' and ``$150 million'' in their 
places, respectively; and
0
g. Removing from paragraph (b)(6) heading and introductory text ``$6 
million'' and ``$6 million'' and adding ``$7.5 million'' and ``$7.5 
million'' in their places, respectively.


16.506  [Amended]

0
49. Amend section 16.506 by--
0
a. Removing from paragraphs (f) and (g) ``$15 million'' and adding 
``$20 million'' in their places, respectively; and
0
b. Removing from paragraph (h) ``$6 million'' and adding ``$7.5 
million'' in its place.

PART 17--SPECIAL CONTRACTING METHODS


17.108  [Amended]

0
50. Amend section 17.108 by--
0
a. Removing from paragraph (a) ``$15 million'' and adding ``$20 
million'' in its place; and
0
b. Removing from paragraph (b) ``$150 million'' and adding ``$200 
million'' in its place.


17.500  [Amended]

0
51. Amend section 17.500 in paragraph (c)(2) by removing ``$600,000'' 
and adding ``$750,000'' in its place.

PART 19--SMALL BUSINESS PROGRAMS


19.702  [Amended]

0
52. Amend section 19.702 by removing from paragraphs (a)(1)(i) through 
(iii) ``$750,000 ($1.5 million'' and adding ``$950,000 ($2 million'' in 
their places, respectively.


19.704  [Amended]

0
53. Amend section 19.704 in paragraph (a)(9) by removing ``$750,000 
($1.5 million'' and adding ``$950,000 ($2 million'' in its place.


19.708  [Amended]

0
54. Amend section 19.708 in paragraph (b)(1) by removing ``$750,000 
($1.5 million'' and adding ``$950,000 ($2 million'' in its place.


19.804-6  [Amended]

0
55. Amend section 19.804-6 in paragraph (c)(2) by removing ``$7 
million'' and ``$4.5 million'' and adding ``$8.5 million'' and ``$5.5 
million'' in their places, respectively.


19.805-1  [Amended]

0
56. Amend section 19.805-1 in paragraph (a)(2) by removing ``$7 
million'' and ``$4.5 million'' and adding ``$8.5 million'' and ``$5.5 
million'' in their places, respectively.


19.808-1  [Amended]

0
57. Amend section 19.808-1 in paragraph (a) by removing ``$25 million'' 
and adding ``$30 million'' in its place.


19.1306  [Amended]

0
58. Amend section 19.1306 by--
0
a. Removing from paragraph (a)(2)(i) ``$7 million'' and adding ``$8.5 
million'' in its place; and
0
b. Removing from paragraph (a)(2)(ii) ``$4.5 million'' and adding 
``$5.5 million'' in its place.


19.1406  [Amended]

0
59. Amend section 19.1406 by--

[[Page 94655]]

0
a. Removing from paragraph (a)(2)(i) ``$7 million'' and adding ``$8.5 
million'' in its place; and
0
b. Removing from paragraph (a)(2)(ii) ``$4 million'' and adding ``$5.5 
million'' in its place.


19.1506   [Amended]

0
60. Amend section 19.1506 by--
0
a. Removing from paragraph (c)(1)(i) ``$7 million'' and adding ``$8.5 
million'' in its place; and
0
b. Removing from paragraph (c)(1)(ii) ``$4.5 million'' and adding 
``$5.5 million'' in its place.

PART 22--APPLICATION OF LABOR LAWS TO GOVERNMENT ACQUISITIONS


22.305   [Amended]

0
61. Amend section 22.305 in paragraph (a) by removing ``$150,000'' and 
adding ``$200,000'' in its place.


22.602  [Amended]

0
62. Amend section 22.602 by removing ``$15,000'' and adding ``$20,000'' 
in its place.


22.603   [Amended]

0
63. Amend section 22.603 in paragraph (b) by removing ``$15,000'' and 
adding ``$20,000'' in its place.


22.605   [Amended]

0
64. Amend section 22.605 by removing from paragraphs (a)(1), (a)(2), 
(a)(3), and (a)(5) ``$15,000'' wherever it appears and adding 
``$20,000'' in their places, respectively.


22.1103  [Amended]

0
65. Amend section 22.1103 by removing ``$750,000'' and adding 
``$950,000'' in its place.


22.1303   [Amended]

0
66. Amend section 22.1303 in paragraphs (a) and (c) by removing 
``$150,000'' and adding ``$200,000'' in their places, respectively.


22.1310   [Amended]

0
67. Amend section 22.1310 in paragraph (a)(1) by removing ``$150,000'' 
and adding ``$200,000'' in its place.


22.1402   [Amended]

0
68. Amend section 22.1402 in paragraph (a) by removing ``$15,000'' and 
adding ``$20,000'' in its place.


22.1408   [Amended]

0
69. Amend section 22.1408 in paragraph (a) introductory text by 
removing ``$15,000'' and adding ``$20,000'' in its place.


22.1701   [Amended]

0
70. Amend section 22.1701 in paragraph (b)(2) by removing ``$550,000'' 
and adding ``$700,000'' in its place.


22.1703  [Amended]

0
71. Amend section 22.1703 by removing from paragraphs (c)(1)(i)(B) and 
(c)(3)(i)(B) ``$550,000'' and adding ``$700,000'' in their places, 
respectively.


22.1705   [Amended]

0
72. Amend section 22.1705 in paragraph (b)(1) by removing ``$550,000'' 
and adding ``$700,000'' in its place.

PART 23--ENVIRONMENT, SUSTAINABLE ACQUISITION, AND MATERIAL SAFETY


23.109   [Amended]

0
73. Amend section 23.109 in paragraph (b)(2) by removing ``$150,000'' 
and adding ``$200,000'' in its place.

PART 25--FOREIGN ACQUISITION


25.703-2  [Amended]

0
74. Amend section 25.703-2 in paragraph (a)(2) by removing ``$10,000'' 
and adding ``$15,000'' in its place.

PART 26--OTHER SOCIOECONOMIC PROGRAMS


26.404  [Amended]

0
75. Amend section 26.404 by removing ``$30,000'' and adding ``$35,000'' 
in its place.

PART 30--COST ACCOUNTING STANDARDS ADMINISTRATION


30.201-4  [Amended]

0
76. Amend section 30.201-4 in paragraph (b)(1) by removing ``$2 
million'' and adding ``$2.5 million'' in its place.

PART 32--CONTRACT FINANCING


32.104   [Amended]

0
77. Amend section 32.104 by removing from paragraphs (d)(2)(i) and (ii) 
``$3 million'' and adding ``$3.5 million'' in their places, 
respectively.


32.404  [Amended]

0
78. Amend section 32.404 in paragraph (a)(7)(i) by removing ``$15,000'' 
and adding ``$20,000'' in its place.

PART 36--CONSTRUCTION AND ARCHITECT-ENGINEER CONTRACTS


36.303-1   [Amended]

0
79. Amend section 36.303-1 in paragraph (a)(4) by removing ``$4.5 
million'' and adding ``$5.5 million'' in its place.


36.501  [Amended]

0
80. Amend section 36.501 in paragraph (b) by removing ``$1.5 million'' 
wherever it appears and adding ``$2 million'' in their places, 
respectively.

PART 42--CONTRACT ADMINISTRATION AND AUDIT SERVICES


42.709-1   [Amended]

0
81. Amend section 42.709-1 in paragraph (b) by removing ``$800,000'' 
and adding ``$1 million'' in its place.


42.709-7  [Amended]

0
82. Amend section 42.709-7 by removing ``$800,000'' and adding ``$1 
million'' in its place.


42.1502  [Amended]

0
83. Amend section 42.1502 by--
0
a. Removing from paragraph (e) ``$750,000'' wherever it appears and 
adding ``$950,000'' in their places, respectively; and
0
b. Removing from paragraph (f) ``$35,000'' wherever it appears and 
adding ``$45,000'' in their places, respectively.

PART 50--EXTRAORDINARY CONTRACTUAL ACTIONS AND THE SAFETY ACT


50.102-1   [Amended]

0
84. Amend section 50.102-1 in paragraph (b) by removing ``$75,000'' and 
adding ``$95,000'' in its place.


50.102-3   [Amended]

0
85. Amend section 50.102-3 by removing from paragraphs (e)(1)(i) and 
(ii) ``$75,000'' and adding ``$95,000'' in their places, respectively.

PART 52--SOLICITATION PROVISIONS AND CONTRACT CLAUSES

0
86. Amend section 52.204-8 by revising the date of the provision, and 
removing from paragraph (c)(1)(ii) ``$150,000'' and adding ``$200,000'' 
in its place.
    The revision reads as follows:


52.204-8   Annual Representations and Certifications.

* * * * *
Annual Representations and Certifications (DATE)
* * * * *
0
87. Amend section 52.209-12 by revising the date of the provision, and 
removing from paragraph (b) introductory text ``$5.5 million'' and 
adding ``$7 million'' in its place.

[[Page 94656]]

    The revision reads as follows:


52.209-12  Certification Regarding Tax Matters.

* * * * *
Certification Regarding Tax Matters (DATE)
* * * * *
0
88. Amend section 52.212-3 by revising the date of the provision, and 
removing from paragraph (e) ``$150,000'' and adding ``$200,000'' in its 
place.
    The revision reads as follows:


52.212-3   Offeror Representations and Certifications--Commercial 
Products and Commercial Services.

* * * * *
Offeror Representations and Certifications--Commercial Products and 
Commercial Services (DATE)
* * * * *
0
89. Amend section 52.212-5 by--
0
a. Revising the date of the clause;
0
b. Removing from paragraphs (b)(39)(i) and (e)(1)(xvi)(A) ``NOV 2021'' 
and adding ``DATE'' in their places, respectively;
0
c. In Alternate II:
0
i. Revising the date of the alternate; and
0
ii. Removing from paragraph (e)(1)(ii)(O)(1) ``NOV 2021'' and adding 
``DATE'' in its place.
    The revision reads as follows:


52.212-5  Contract Terms and Conditions Required To Implement Statutes 
or Executive Orders--Commercial Products and Commercial Services.

* * * * *
Contract Terms and Conditions Required To Implement Statutes or 
Executive Orders--Commercial Products and Commercial Services (DATE)
* * * * *
    Alternate II (DATE). * * *
* * * * *
0
90. Amend section 52.213-4 by--
0
a. Revising the date of the clause;
0
b. Removing from paragraph (a)(2)(vii) ``NOV 2024'' and adding ``DATE'' 
in its place; and
0
c. Removing from paragraph (b)(1)(ix)(A) ``NOV 2021'' and adding 
``DATE'' in its place.
    The revision reads as follows:


52.213-4  Terms and Conditions--Simplified Acquisitions (Other Than 
Commercial Products and Commercial Services).

* * * * *
Terms and Conditions--Simplified Acquisitions (Other Than Commercial 
Products and Commercial Services) (DATE)
* * * * *
0
91. In section 52.214-28, amend Alternate I by:
0
a. Revising the date of the alternate; and
0
b. Removing from paragraph (b)(2) ``$2 million'' wherever it appears 
and adding ``$2.5 million'' in their places, respectively.
    The revision reads as follows:


52.214-28  Subcontractor Certified Cost or Pricing Data--
Modifications--Sealed Bidding.

* * * * *
    Alternate I (DATE) * * *
* * * * *
0
92. In section 52.215-12, amend Alternate I by:
0
a. Revising the date of the alternate; and
0
b. Removing from paragraph (a)(2) ``$2 million'' wherever it appears 
and adding ``$2.5 million'' in their places, respectively.
    The revision reads as follows:


52.215-12   Subcontractor Certified Cost or Pricing Data.

* * * * *
    Alternate I (DATE) * * *
* * * * *
0
93. In section 52.215-13, amend Alternate I by:
0
a. Revising the date of the alternate; and
0
b. Removing from paragraphs (b)(2) and (d) ``$2 million'' and adding 
``$2.5 million'' in their places, respectively.
    The revision reads as follows:


52. 215-13  Subcontractor Certified Cost or Pricing Data--
Modifications.

* * * * *
    Alternate I (DATE) * * *
* * * * *
0
94. Amend section 52.222-50 by revising the date of the clause, and 
removing from paragraphs (h)(1)(ii) and (i)(1)(ii) ``$550,000'' and 
adding ``$700,000'' in their places, respectively.
    The revision reads as follows:


52.222-50   Combating Trafficking in Persons.

* * * * *
Combating Trafficking in Persons (DATE)
* * * * *
0
95. Amend section 52.222-56 by revising the date of the provision, and 
removing from paragraph (b)(2) ``$550,000'' and adding ``$700,000'' in 
its place.
    The revision reads as follows:


52.222-56  Certification Regarding Trafficking in Persons Compliance 
Plan.

* * * * *
Certification Regarding Trafficking in Persons Compliance Plan (DATE)
* * * * *
0
96. Amend section 52.225-8 by revising the date of the clause, and 
removing from paragraphs (c)(1) introductory text and (j)(2) 
``$15,000'' and adding ``$20,000'' in its place.
    The revision reads as follows:


52.225-8   Duty-Free Entry.

* * * * *
Duty-Free Entry (DATE)
* * * * *
0
97. Amend section 52.244-6 by--
0
a. Revising the date of the clause; and
0
b. Removing from paragraph (c)(1)(xvii)(A) ``NOV 2021'' and adding 
``DATE'' in its place.
    The revision reads as follows:


52.244-6   Subcontracts for Commercial Products and Commercial 
Services.

* * * * *
Subcontracts for Commercial Products and Commercial Services (DATE)
* * * * *
0
98. Amend section 52.248-3 by revising the date of the clause, and 
removing from paragraph (h) ``$75,000'' and adding ``$95,000'' in its 
place.
    The revision reads as follows:


52.248-3   Value Engineering--Construction.

* * * * *
Value Engineering--Construction (DATE)
* * * * *
[FR Doc. 2024-27851 Filed 11-27-24; 8:45 am]
BILLING CODE 6820-EP-P