FEDERAL PROPERTY AND ADMINISTRATIVE SERVICES ACT OF 1949FED. PROP. & ADMIN. SERVICES ACT OF 1949111–350Statute CompilationUnited States House of RepresentativesOffice of the Legislative Counseltext/xmlENPursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain.GPO Statute Compilations USLM converter, version 20210527.12021-10-15Federal Property and Administrative Services Act of 19491010811949-06-30FEDERAL PROPERTY AND ADMINISTRATIVE SERVICES ACT OF 194911
Provisions of the Federal Property and Administrative Services Act of 1949 other than title III were revised, codified, and enacted without substantive change as part of title 40, United States Code, by Public Law 107–217.
[As Amended Through P.L. 111–350, Enacted January 4, 2011][Currency: This publication is a compilation of Chapter 288 of the 81st Congress. It was last amended by the public law listed in the As Amended Through note above and below at the bottom of each page of the pdf version and reflects current law through the date of the enactment of the public law listed at https://www.govinfo.gov/app/collection/comps/][Note: While this publication does not represent an official version of any Federal statute, substantial efforts have been made to ensure the accuracy of its contents. The official version of Federal law is found in the United States Statutes at Large and in the United States Code. The legal effect to be given to the Statutes at Large and the United States Code is established by statute (1 U.S.C. 112, 204).]SECTION 1. SHORT TITLE; TABLE OF CONTENTS. (a) [41 U.S.C. 251 note]Short Title.—This Act may be cited as the “Federal Property and Administrative Services Act of 1949”.* * * * * * *
<num style="-uslm-dtd:enum" value="III">TITLE III—</num><heading style="-uslm-dtd:header">PROCUREMENT PROCEDURE </heading><editorialNote style="-uslm-dtd:legis-comment"><b>[</b>Sections 301 through 303D were repealed by section 7(b) of Public Law 111–350; 124 Stat. 3855, which provides for the codification of title 41, U.S.C. into positive law.<b>]</b> </editorialNote>
<section style="-uslm-dtd:section" identifier="/us/sComp/81/288/tIII/s303E" styleType="OLC">
<num style="-uslm-dtd:enum" value="303E">SEC. 303E. </num><heading style="-uslm-dtd:header">Repealed.</heading>
</section><editorialNote style="-uslm-dtd:legis-comment"><b>[</b>Sections 303F through 307 were repealed by section 7(b) of Public Law 111–350; 124 Stat. 3855, which provides for the codification of title 41, U.S.C. into positive law.<b>]</b> </editorialNote>
<section style="-uslm-dtd:section" identifier="/us/sComp/81/288/tIII/s308" styleType="OLC">
<num style="-uslm-dtd:enum" value="308">SEC. 308. </num><heading style="-uslm-dtd:header">Repealed.</heading>
</section><editorialNote style="-uslm-dtd:legis-comment"><b>[</b>Sections 309 through 316 were repealed by section 7(b) of Public Law 111–350; 124 Stat. 3855, which provides for the codification of title 41, U.S.C. into positive law.<b>]</b> </editorialNote>
<section style="-uslm-dtd:section" identifier="/us/sComp/81/288/tIII/s317" styleType="OLC">
<num style="-uslm-dtd:enum" value="317">SEC. 317. </num><editorialNote style="-uslm-dtd:usc-reference" role="uscRef"><b>[</b><ref href="/us/usc/t41/s266a">41 U.S.C. 266a</ref><b>]</b> </editorialNote><heading style="-uslm-dtd:header">SHARE-IN-SAVINGS CONTRACTS. </heading>
<subsection style="-uslm-dtd:subsection" identifier="/us/sComp/81/288/tIII/s317/a" styleType="OLC">
<num style="-uslm-dtd:enum" value="a">(a) </num><heading style="-uslm-dtd:header">Authority To Enter Into Share-in-Savings Contracts.—</heading><paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/81/288/tIII/s317/a/1" styleType="OLC" class="inline"><num style="-uslm-dtd:enum" value="1">(1) </num><content style="-uslm-dtd:text">The head of an executive agency may enter into a share-in-savings contract for information technology (as defined in section 11101(6) of title 40, United States Code) in which the Government awards a contract to improve mission-related or administrative processes or to accelerate the achievement of its mission and share with the contractor in savings achieved through contract performance.</content></paragraph>
<paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/81/288/tIII/s317/a/2" styleType="OLC" class="leftIndentDecrease1">
<num style="-uslm-dtd:enum" value="2">(2)</num><subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/81/288/tIII/s317/a/2/A" styleType="OLC" class="inline"><num style="-uslm-dtd:enum" value="A">(A) </num><content style="-uslm-dtd:text">Except as provided in subparagraph (B), a share-in-savings contract shall be awarded for a period of not more than five years.</content></subparagraph>
<subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/81/288/tIII/s317/a/2/B" styleType="OLC" class="leftIndentDecrease2">
<num style="-uslm-dtd:enum" value="B">(B) </num><chapeau style="-uslm-dtd:text">A share-in-savings contract may be awarded for a period greater than five years, but not more than 10 years, if the head of the agency determines in writing prior to award of the contract that—</chapeau>
<clause style="-uslm-dtd:clause" identifier="/us/sComp/81/288/tIII/s317/a/2/B/i" styleType="OLC" class="leftIndentDecrease2">
<num style="-uslm-dtd:enum" value="i">(i) </num><content style="-uslm-dtd:text">the level of risk to be assumed and the investment to be undertaken by the contractor is likely to inhibit the government from obtaining the needed information technology competitively at a fair and reasonable price if the contract is limited in duration to a period of five years or less; and</content>
</clause>
<clause style="-uslm-dtd:clause" identifier="/us/sComp/81/288/tIII/s317/a/2/B/ii" styleType="OLC" class="leftIndentDecrease2">
<num style="-uslm-dtd:enum" value="ii">(ii) </num><content style="-uslm-dtd:text">usage of the information technology to be acquired is likely to continue for a period of time sufficient to generate reasonable benefit for the government.</content>
</clause>
</subparagraph>
</paragraph>
<paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/81/288/tIII/s317/a/3" styleType="OLC" class="leftIndentDecrease1">
<num style="-uslm-dtd:enum" value="3">(3) </num><content style="-uslm-dtd:text">Contracts awarded pursuant to the authority of this section shall, to the maximum extent practicable, be performance-based contracts that identify objective outcomes and contain performance standards that will be used to measure achievement and milestones that must be met before payment is made.</content>
</paragraph>
<paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/81/288/tIII/s317/a/4" styleType="OLC" class="leftIndentDecrease1">
<num style="-uslm-dtd:enum" value="4">(4) </num><content style="-uslm-dtd:text">Contracts awarded pursuant to the authority of this section shall include a provision containing a quantifiable baseline that is to be the basis upon which a savings share ratio is established that governs the amount of payment a contractor is to receive under the contract. Before commencement of performance of such a contract, the senior procurement executive of the agency shall determine in writing that the terms of the provision are quantifiable and will likely yield value to the Government.</content>
</paragraph>
<paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/81/288/tIII/s317/a/5" styleType="OLC" class="leftIndentDecrease1">
<num style="-uslm-dtd:enum" value="5">(5)</num><subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/81/288/tIII/s317/a/5/A" styleType="OLC" class="inline"><num style="-uslm-dtd:enum" value="A">(A) </num><content style="-uslm-dtd:text">The head of the agency may retain savings realized through the use of a share-in-savings contract under this section that are in excess of the total amount of savings paid to the contractor under the contract, but may not retain any portion of such savings that is attributable to a decrease in the number of civilian employees of the Federal Government performing the function. Except as provided in subparagraph (B), savings shall be credited to the appropriation or fund against which charges were made to carry out the contract and shall be used for information technology.</content></subparagraph>
<subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/81/288/tIII/s317/a/5/B" styleType="OLC" class="leftIndentDecrease2">
<num style="-uslm-dtd:enum" value="B">(B) </num><chapeau style="-uslm-dtd:text">Amounts retained by the agency under this subsection shall—</chapeau>
<clause style="-uslm-dtd:clause" identifier="/us/sComp/81/288/tIII/s317/a/5/B/i" styleType="OLC" class="leftIndentDecrease2">
<num style="-uslm-dtd:enum" value="i">(i) </num><content style="-uslm-dtd:text">without further appropriation, remain available until expended; and</content>
</clause>
<clause style="-uslm-dtd:clause" identifier="/us/sComp/81/288/tIII/s317/a/5/B/ii" styleType="OLC" class="leftIndentDecrease2">
<num style="-uslm-dtd:enum" value="ii">(ii) </num><content style="-uslm-dtd:text">be applied first to fund any contingent liabilities associated with share-in-savings procurements that are not fully funded.</content>
</clause>
</subparagraph>
</paragraph>
</subsection>
<subsection style="-uslm-dtd:subsection" identifier="/us/sComp/81/288/tIII/s317/b" styleType="OLC">
<num style="-uslm-dtd:enum" value="b">(b) </num><heading style="-uslm-dtd:header">Cancellation and Termination.—</heading><paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/81/288/tIII/s317/b/1" styleType="OLC" class="inline"><num style="-uslm-dtd:enum" value="1">(1) </num><chapeau style="-uslm-dtd:text">If funds are not made available for the continuation of a share-in-savings contract entered into under this section in a subsequent fiscal year, the contract shall be canceled or terminated. The costs of cancellation or termination may be paid out of—</chapeau>
<subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/81/288/tIII/s317/b/1/A" styleType="OLC" class="leftIndentDecrease1">
<num style="-uslm-dtd:enum" value="A">(A) </num><content style="-uslm-dtd:text">appropriations available for the performance of the contract;</content>
</subparagraph>
<subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/81/288/tIII/s317/b/1/B" styleType="OLC" class="leftIndentDecrease1">
<num style="-uslm-dtd:enum" value="B">(B) </num><content style="-uslm-dtd:text">appropriations available for acquisition of the information technology procured under the contract, and not otherwise obligated; or</content>
</subparagraph>
<subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/81/288/tIII/s317/b/1/C" styleType="OLC" class="leftIndentDecrease1">
<num style="-uslm-dtd:enum" value="C">(C) </num><content style="-uslm-dtd:text">funds subsequently appropriated for payments of costs of cancellation or termination, subject to the limitations in paragraph (3).</content>
</subparagraph></paragraph>
<paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/81/288/tIII/s317/b/2" styleType="OLC" class="leftIndentDecrease1">
<num style="-uslm-dtd:enum" value="2">(2) </num><content style="-uslm-dtd:text">The amount payable in the event of cancellation or termination of a share-in-savings contract shall be negotiated with the contractor at the time the contract is entered into.</content>
</paragraph>
<paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/81/288/tIII/s317/b/3" styleType="OLC" class="leftIndentDecrease1">
<num style="-uslm-dtd:enum" value="3">(3)</num><subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/81/288/tIII/s317/b/3/A" styleType="OLC" class="inline"><num style="-uslm-dtd:enum" value="A">(A) </num><chapeau style="-uslm-dtd:text">Subject to subparagraph (B), the head of an executive agency may enter into share-in-savings contracts under this section in any given fiscal year even if funds are not made specifically available for the full costs of cancellation or termination of the contract if funds are available and sufficient to make payments with respect to the first fiscal year of the contract and the following conditions are met regarding the funding of cancellation and termination liability:</chapeau>
<clause style="-uslm-dtd:clause" identifier="/us/sComp/81/288/tIII/s317/b/3/A/i" styleType="OLC" class="leftIndentDecrease2">
<num style="-uslm-dtd:enum" value="i">(i) </num><chapeau style="-uslm-dtd:text">The amount of unfunded contingent liability for the contract does not exceed the lesser of—</chapeau>
<subclause style="-uslm-dtd:subclause" identifier="/us/sComp/81/288/tIII/s317/b/3/A/i/I" styleType="OLC" class="leftIndentDecrease2">
<num style="-uslm-dtd:enum" value="I">(I) </num><content style="-uslm-dtd:text">25 percent of the estimated costs of a cancellation or termination; or</content>
</subclause>
<subclause style="-uslm-dtd:subclause" identifier="/us/sComp/81/288/tIII/s317/b/3/A/i/II" styleType="OLC" class="leftIndentDecrease2">
<num style="-uslm-dtd:enum" value="II">(II) </num><content style="-uslm-dtd:text">$5,000,000.</content>
</subclause>
</clause>
<clause style="-uslm-dtd:clause" identifier="/us/sComp/81/288/tIII/s317/b/3/A/ii" styleType="OLC" class="leftIndentDecrease2">
<num style="-uslm-dtd:enum" value="ii">(ii) </num><content style="-uslm-dtd:text">Unfunded contingent liability in excess of $1,000,000 has been approved by the Director of the Office of Management and Budget or the Director's designee.</content>
</clause></subparagraph>
<subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/81/288/tIII/s317/b/3/B" styleType="OLC" class="leftIndentDecrease2">
<num style="-uslm-dtd:enum" value="B">(B) </num><content style="-uslm-dtd:text">The aggregate number of share-in-savings contracts that may be entered into under subparagraph (A) by all executive agencies to which this chapter applies in a fiscal year may not exceed 5 in each of fiscal years 2003, 2004, and 2005.</content>
</subparagraph>
</paragraph>
</subsection>
<subsection style="-uslm-dtd:subsection" identifier="/us/sComp/81/288/tIII/s317/c" styleType="OLC">
<num style="-uslm-dtd:enum" value="c">(c) </num><heading style="-uslm-dtd:header">Definitions.—</heading><chapeau style="-uslm-dtd:text">In this section:</chapeau>
<paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/81/288/tIII/s317/c/1" styleType="OLC">
<num style="-uslm-dtd:enum" value="1">(1) </num><content style="-uslm-dtd:text">The term “<term style="-uslm-dtd:term">contractor</term>” means a private entity that enters into a contract with an agency.</content>
</paragraph>
<paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/81/288/tIII/s317/c/2" styleType="OLC">
<num style="-uslm-dtd:enum" value="2">(2) </num><chapeau style="-uslm-dtd:text">The term “<term style="-uslm-dtd:term">savings</term>” means—</chapeau>
<subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/81/288/tIII/s317/c/2/A" styleType="OLC">
<num style="-uslm-dtd:enum" value="A">(A) </num><content style="-uslm-dtd:text">monetary savings to an agency; or</content>
</subparagraph>
<subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/81/288/tIII/s317/c/2/B" styleType="OLC">
<num style="-uslm-dtd:enum" value="B">(B) </num><content style="-uslm-dtd:text">savings in time or other benefits realized by the agency, including enhanced revenues (other than enhanced revenues from the collection of fees, taxes, debts, claims, or other amounts owed the Federal Government).</content>
</subparagraph>
</paragraph>
<paragraph style="-uslm-dtd:paragraph" identifier="/us/sComp/81/288/tIII/s317/c/3" styleType="OLC">
<num style="-uslm-dtd:enum" value="3">(3) </num><chapeau style="-uslm-dtd:text">The term “<term style="-uslm-dtd:term">share-in-savings contract</term>” means a contract under which—</chapeau>
<subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/81/288/tIII/s317/c/3/A" styleType="OLC">
<num style="-uslm-dtd:enum" value="A">(A) </num><chapeau style="-uslm-dtd:text">a contractor provides solutions for—</chapeau>
<clause style="-uslm-dtd:clause" identifier="/us/sComp/81/288/tIII/s317/c/3/A/i" styleType="OLC">
<num style="-uslm-dtd:enum" value="i">(i) </num><content style="-uslm-dtd:text">improving the agency's mission-related or administrative processes; or</content>
</clause>
<clause style="-uslm-dtd:clause" identifier="/us/sComp/81/288/tIII/s317/c/3/A/ii" styleType="OLC">
<num style="-uslm-dtd:enum" value="ii">(ii) </num><content style="-uslm-dtd:text">accelerating the achievement of agency missions; and</content>
</clause>
</subparagraph>
<subparagraph style="-uslm-dtd:subparagraph" identifier="/us/sComp/81/288/tIII/s317/c/3/B" styleType="OLC">
<num style="-uslm-dtd:enum" value="B">(B) </num><chapeau style="-uslm-dtd:text">the head of the agency pays the contractor an amount equal to a portion of the savings derived by the agency from—</chapeau>
<clause style="-uslm-dtd:clause" identifier="/us/sComp/81/288/tIII/s317/c/3/B/i" styleType="OLC">
<num style="-uslm-dtd:enum" value="i">(i) </num><content style="-uslm-dtd:text">any improvements in mission-related or administrative processes that result from implementation of the solution; or</content>
</clause>
<clause style="-uslm-dtd:clause" identifier="/us/sComp/81/288/tIII/s317/c/3/B/ii" styleType="OLC">
<num style="-uslm-dtd:enum" value="ii">(ii) </num><content style="-uslm-dtd:text">acceleration of achievement of agency missions.</content>
</clause>
</subparagraph>
</paragraph>
</subsection>
<subsection style="-uslm-dtd:subsection" identifier="/us/sComp/81/288/tIII/s317/d" styleType="OLC">
<num style="-uslm-dtd:enum" value="d">(d) </num><heading style="-uslm-dtd:header">Termination.—</heading><content style="-uslm-dtd:text">No share-in-savings contracts may be entered into under this section after September 30, 2005.</content>
<elided style="-uslm-dtd:omitted-text">* * * * * * *</elided>
</subsection>
</section>