[Federal Register Volume 59, Number 143 (Wednesday, July 27, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-18066]
[[Page Unknown]]
[Federal Register: July 27, 1994]
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SMALL BUSINESS ADMINISTRATION
13 CFR Part 121
Small Business Size Standards; Waiver of the Nonmanufacturer Rule
AGENCY: Small Business Administration.
ACTION: Waiver of the Nonmanufacturer Rule for television receiving
sets and compact disc players.
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SUMMARY: The Small Business Administration (SBA) is establishing a
waiver of the Nonmanufacturer Rule for television receiving sets and
compact disc players. The basis for a waiver for these classes of
products is that there are no small business manufacturers or
processors available to supply them to the Federal Government. The
effect of these waivers is to allow otherwise qualified regular dealers
to supply the products of any domestic manufacturer on a Federal
contract set aside for small businesses or awarded through the SBA 8(a)
Program for television receiving sets or compact disc players.
EFFECTIVE DATE: July 27, 1994. This class waiver applies to all
solicitations dated on or after July 27, 1994.
FOR FURTHER INFORMATION CONTACT:
James Parker, Procurement Analyst, U.S. Small Business Administration,
409 3rd Street, SW., Washington DC, 20416, Tel: (202) 205-6465.
SUPPLEMENTARY INFORMATION: Public Law 100-656, enacted on November 15,
1988, incorporated into the Small Business Act the previously existing
regulation that recipients of Federal contracts set aside for small
businesses or the SBA 8(a) Program must provide the products of a small
business manufacturer or processor, if the recipient is other than the
actual manufacturer or processor. This requirement is commonly referred
to as the Nonmanufacturer Rule. The SBA regulations which implement
this requirement are found at 13 CFR 121.906(b) and 121.1106(b).
Section 8(a)(17)(B)(iv)(II), 15 U.S.C. 637(a)(17)(B)(iv)(II), provides
for waiver of this requirement by SBA for any ``class of products'' for
which there are no small business manufacturers or processors available
to participate in the Federal procurement market. To be considered
available to participate in the Federal procurement market on these
classes of products, a small business manufacturer must have submitted
a proposal for a contract solicitation or received a contract from the
Federal Government within the last 24 months. The SBA defines ``class
of products'' based on two coding systems. The first is the Office of
Management and Budget Standard Industrial Classification Manual, and
the second is the Product and Service Code established by the Federal
Procurement Data System.
The SBA was originally asked to process 15 class waivers of these
Nonmanufacturer Rule, and sources were found for all but these
remaining two classes: (1) Television receiving sets and (2) compact
disc players.
Regarding television receiving sets, the SBA sought small business
sources by contacting the General Services Administration's Federal
Supply Service in Fort Worth, Texas. The SBA also researched its
Procurement Automated Source System (PASS) and the Thomas Register. In
addition, SBA published a notice seeking potential sources in the May
6, 1994, Commerce Business Daily and an intent to grant a class waiver
in the April 22, 1994, Federal Register, 59 FR 19150. After a 15-day
comment period, two comments were received received.
Both comments regarded the existence of a small business
manufacturer of health care televisions. These televisions are wall- or
ceiling-mounted and are normally used in hospitals, nursing homes and
dialysis facilities. Although health care televisions may be purchased
and used by individuals in their homes, these televisions are not
normally used in households for home entertainment. Two marketing firms
for these televisions confirmed that these televisions are not
considered household items and are not marketed to individuals for home
entertainment. After reviewing the marketing information for health
care televisions, it has become apparent that they are in a different
category from household television receiving sets.
Based on the absence of small business manufacturers, SBA is
establishing a class waiver for television receiving sets (SIC code
3651, PSC code 7730) pursuant to Section 8(a)(17)(B)(iv)(ii) of the
Small Business Act, 15 U.S.C. 637(a)(17)(B)(iv)(II). The effect of this
class waiver is to allow otherwise qualified regular dealers to supply
the products of any domestic manufacturer on a Federal contract set
aside for small businesses or awarded through the SBA 8(a) Program for
household television receiving. This waiver will be in effect
indefinitely, but is subject to review by SBA.
Regarding compact disc players, the SBA sought small business
sources by contacting the General Services Administration's Federal
Supply Service in Fort Worth, Texas. The SBA also researched the PASS
and the Thomas Register. In addition, SBA published a notice seeking
potential sources in the May 9, 1994, Commerce Business Daily and an
intent to grant a class waiver in the April 22, 1994, Federal Register,
59 FR 19150. After a 15-day comment period, no comments were received.
Based on the absence of small business manufacturers, SBA is
establishing a class waiver for compact disc players (SIC code 3651,
PSC code 7730) pursuant to the statutory authority cited above. The
effect of this class waiver is to allow otherwise qualified regular
dealers to supply the products of any domestic manufacturer on a
Federal contract set aside for small businesses or awarded through the
SBA 8(a) Program for compact disc players. This waiver will be in
effect indefinitely, but is subject to review by SBA.
Dated: July 19, 1994.
Thomas A. Dumaresq,
Associate Administrator for Government Contracting.
[FR Doc. 94-18066 Filed 7-26-94; 8:45 am]
BILLING CODE 8025-01-M