[Federal Register Volume 59, Number 66 (Wednesday, April 6, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-8148]


[[Page Unknown]]

[Federal Register: April 6, 1994]



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48 CFR Parts 19 and 52

[FAR Case 92-19]

 

Federal Acquisition Regulation; Subcontracting Plans

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

ACTION: Proposed rule.

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SUMMARY: The Civilian Agency Acquisition Council and the Defense 
Acquisition Regulations Council are proposing amending the Federal 
Acquisition Regulation (FAR) to expand the circumstances when 
subcontracting plans may be required and negotiated with more than the 
apparently successful offeror and to prescribe an Alternate II to the 
clause Small Business and Small Disadvantaged Business Subcontracting 
Plan to be used when contracting by negotiation and subcontracting 
plans are required with initial proposals. The intent of this proposal 
is to ensure that small and small disadvantaged business concerns are 
being afforded the maximum practical subcontracting opportunities 
consistent with statutory requirements and acquisition objectives. This 
regulatory action was not subject to Office of Management and Budget 
review pursuant to Executive Order 12866, dated September 30, 1993.

DATES: Comments should be submitted on or before June 6, 1994, to be 
considered in the formulation of a final rule.

ADDRESSES: Interested parties should submit written comments to: 
General Services Administration, FAR Secretariat (VRS), 18th & F 
Streets, NW., room 4037, Washington, DC 20405.
    Please cite FAR case 92-19 in all correspondence related to this 
case.

FOR FURTHER INFORMATION CONTACT:
Ms. Shirley Scott at (202) 501-0168 in reference to this FAR case. For 
general information, contact the FAR Secretariat, room 4037, GS 
Building, Washington, DC 20405 (202) 501-4755. Please cite FAR case 92-
19.

SUPPLEMENTARY INFORMATION: 

A. Regulatory Flexibility Act

    The proposed rule is not expected 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, et seq., because 
subcontracting plans are not required from small business concerns. An 
Initial Regulatory Flexibility Analysis has, therefore, not been 
performed. Comments from small entities concerning the affected FAR 
subpart will be considered in accordance with section 610 of the Act. 
Such comments must be submitted separately and should cite 5 U.S.C. 
601, et seq. (FAR case 92-19), in correspondence.

B. Paperwork Reduction Act

    The Paperwork Reduction Act     (Pub. L. 96-511) is deemed to apply 
because the proposed rule contains information collection requirements. 
Accordingly, a request for approval of revised burden estimates for 
Office of Management and Budget (OMB) Clearance Number 9000-0006 is 
being submitted to OMB under 44 U.S.C. 3501, et seq. Public comments 
concerning this request are invited through a notice document in this 
Federal Register issue.

List of Subjects in 48 CFR Parts 19 and 52

    Government procurement.

    Dated: March 28, 1994.
Albert A. Vicchiolla,
Director, Office of Federal Acquisition Policy.

    Therefore, it is proposed that 48 CFR parts 19 and 52 be amended as 
set forth below:
    1. The authority citation for 48 CFR parts 19 and 52 continues to 
read as follows:

    Authority: 40 U.S.C. 486(c); 10 U.S.C. chapter 137; and 42 
U.S.C. 2473(c).

PART 19--SMALL BUSINESS AND SMALL DISADVANTAGED BUSINESS CONCERNS

    2. Section 19.705-2 is amended by revising paragraph (d) to read as 
follows:


19.705-2  Determining the need for a subcontracting plan.

* * * * *
    (d) In solicitations for negotiated acquisitions, the contracting 
officer may require the submission of subcontracting plans with initial 
offers, or at any other time prior to award. In determining when 
subcontracting plans should be required, as well as when and with whom 
plans should be negotiated, the contracting officer shall consider the 
integrity of the competitive process, the goal of affording maximum 
practicable opportunity for small and small disadvantaged business 
concerns to participate, and the burden placed on offerors.
    3. Section 19.708 is amended in the first sentence of paragraph 
(b)(1) by removing the words ``has been'' and inserting ``is''; and at 
the end of the paragraph by adding a sentence to read as follows:


19.708  Solicitation provisions and contract clauses.

* * * * *
    (b)(1) * * * When contracting by negotiation, and subcontracting 
plans are required with initial proposals as provided for in 19.705-
2(d), the contracting officer shall use the clause with its Alternate 
II.
* * * * *

PART 52--SOLICITATION PROVISIONS AND CONTRACT CLAUSES

    4. Section 52.219-9 is amended by revising the date in the clause 
heading and adding Alternate II following Alternate I to read as 
follows:


52.219-9  Small Business and Small Disadvantaged Business 
Subcontracting Plan.

* * * * *

Small Business and Small Disadvantaged Business Subcontracting Plan 
(Date)

* * * * *
    Alternate II (DATE). As prescribed in 19.708(b)(1), substitute 
the following paragraph (c) for paragraph (c) of the basic clause:
    (c) Proposals submitted in response to this solicitation shall 
include a subcontracting plan, which separately addresses 
subcontracting with small business concerns and with small 
disadvantaged business concerns. If the offeror is submitting an 
individual contract plan, the plan must separately address 
subcontracting with small business concerns and with small 
disadvantaged business concerns with a separate part for the basic 
contract and separate parts for each option (if any). The plan shall 
be included in and made a part of the resultant contract. The 
subcontracting plan shall be negotiated within the time specified by 
the Contracting Officer. Failure to submit and negotiate a 
subcontracting plan shall make the offeror ineligible for award of a 
contract.

[FR Doc. 94-8148 Filed 4-5-94; 8:45 am]
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