[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: 94-18246]


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[Federal Register: July 27, 1994]


_______________________________________________________________________

Part VII





Committee for Purchase From People Who Are Blind or Severely Disabled





_______________________________________________________________________



41 CFR Part 51-2, et al.




Revisions to Committee Regulations, Proposed Rule
COMMITTEE FOR PURCHASE FROM PEOPLE WHO ARE BLIND OR SEVERELY 
DISABLED

41 CFR Parts 51-2, 51-3, 51-4, 51-5, 51-6, 51-8, and 51-9

 
Revisions to Committee Regulations

AGENCY: Committee for Purchase From People Who Are Blind or Severely 
Disabled.

ACTION: Proposed rule.

-----------------------------------------------------------------------

SUMMARY: This proposed rule updates the regulations of the Committee 
for Purchase From People Who Are Blind or Severely Disabled to reflect 
developments and changes in Committee procedures which have occurred 
since the regulations were last substantively revised in 1991, and to 
include wording changes that were overlooked in that revision. The new 
revisions were made necessary by changes in the Government procurement 
process, of which the Committee's program is a part, and by the 
Committee's experiences since 1991, including litigation, which have 
demonstrated that the regulations do not always clearly reflect the 
authorities given the Committee by the Javits-Wagner-O'Day (JWOD) Act 
and other laws as implemented in its procedures. The proposed rule will 
enable the JWOD Program to operate more efficiently to fulfill the 
Committee's mission of increasing employment opportunities for people 
with severe disabilities through the Government procurement process

.DATES: Comments must be submitted on or before September 26, 1994.

ADDRESSES: Committee for Purchase From People Who Are Blind or Severely 
Disabled, Crystal Square 3, Suite 403, 1735 Jefferson Davis Highway, 
Arlington, Virginia 22202-3461.

FOR FURTHER INFORMATION CONTACT: G. John Heyer (703) 603-7740. Copies 
of this notice will be made available on request in Wordperfect 5.1 
format on diskette.

SUPPLEMENTARY INFORMATION: The Committee's regulations were last 
substantively amended in 1991 (56 FR 48974, effective October 28, 
1991). Those amendments were the result of the first comprehensive 
review of the regulations since their promulgation in 1973. The purpose 
of the current proposed revision to the regulations is to update them 
to reflect developments and changes in procedures since 1991, and to 
include changes that were overlooked in the last revision.
    Among the changes to part 51-2 on Committee responsibilities, 
Sec. 51-2.2(b) has been amended to make clear that the Committee 
authorizes and deauthorizes both central nonprofit agencies and 
nonprofit agencies employing people who are blind or have other severe 
disabilities to accept orders from Government agencies under the 
Committee's program. Section 51-2.3 is amended to indicate that the 
Committee publishes notices of proposed deletions and additions to the 
Procurement List and to require interested persons who submit bound 
comments on these proposals to also submit an unbound copy to be 
duplicated for staff use.
    Sections 51-2.4, 51-2.7, and 51-3.2 have been amended to make them 
consistent with the JWOD Act, which considers a determination that a 
commodity or service is suitable for addition to the Procurement List 
and the establishment of an initial fair market price for the commodity 
or service to be two legally separate actions. The confusing term 
``current or most recent contractor'' in Sec. 51-2.4 has been changed 
to ``current contractor.'' An explanation of those rare instances when 
``current contractor'' means ``most recent contractor'' will be 
addressed in the Committee's procedural memoranda. The Committee's 
position that the ``current contractor'' includes affiliated companies 
and parent corporations is explicitly stated in the amended Sec. 51-
2.4. A provision has been added to Sec. 51-2.4 to express the 
Committee's position that its discretion to determine what commodities 
and services are suitable for addition to the Procurement List is not 
totally constrained by the enumerated criteria in the section. Section 
51-2.7 has also been rewritten to reflect current Committee pricing 
practices.
    Section 51-2.5 has been amended to make clear that when the 
Committee decides that a proposed addition is likely to have a severe 
adverse impact on a current contractor, it will decide either to reduce 
the portion of the Government requirement for the commodity or service 
to be added to the Procurement List or will decline to add it. The 
Committee's standard for reconsidering a decision to add a commodity or 
service to the Procurement List, which appears in an internal 
memorandum, has been added to Sec. 51-2.6.
    Section 51-3.3, which deals with assignment of a commodity or 
service to a central nonprofit agency for possible addition to the 
Procurement List, and Secs. 51-6.4 and 51-6.12, which deal with 
military resale commodities and specification changes respectively, 
have been rewritten to clarify their language. Small editorial changes 
for clarity have been made in Secs. 51-4.2 and 51-5.2. Recordkeeping 
provisions in Sec. 51-4.3 have been changed to permit acceptance of 
State certifications of disability to document individuals' disability 
status in accordance with recent changes in Federal disability 
regulations. The section title ``Violations'' used for both Secs. 51-
4.5 and 51-5.8 has been changed to indicate that the former applies to 
violations of Committee regulations by nonprofit agencies and the 
latter to violations by entities of the Government.
    Section 51-5.3, which sets forth the scope of the mandatory 
procurement source requirement of the JWOD Program, has been amended to 
indicate that the requirement applies to items that are essentially the 
same as commodities identified on the Pro curement List by a National 
Stock Number or other item designation. This change was made necessary 
by the increasing number of commercial items in the system which are 
essentially the same as Procurement List commodities. A similar change 
was made in Sec. 51-6.13 on replacement and similar commodities. A new 
paragraph was added to Sec. 51-5.3 to set forth the Committee's 
longstanding policy that Procurement List additions do not affect 
contracts in being before the effective date of the addition, or 
options exercised under those contracts.
    The minimum figure for prior Committee approval of purchase 
exceptions granted by central nonprofit agencies in Sec. 51-5.4 has 
been raised from $25,000 to $100,000. The $25,000 figure was set in the 
1991 revision of the Committee regulations to correspond with the 
Government's small purchase limitation. The new figure corresponds with 
the simplified acquisition threshold which is expected to replace the 
small purchase limitation. Sections 51-5.5 and 51-5.6 on prices and 
shipping of commodities have been amended to allow for pricing and 
delivery on an FOB destination basis, consistent with recent 
developments in Government ordering procedures, as well as the 
Committee's traditional FOB origin practice.
    Section 51-6.2 has been amended in paragraph (f) to correct an 
undetected typographical error in the 1991 amendments. Section 51-6.8 
on deletions from the Procurement List has been amended by adding a 
paragraph making it clear that the Committee can delete a commodity or 
service from the Procurement List without a request from a central 
nonprofit agency. A new paragraph has been added to Sec. 51-6.12 on 
specification changes to indicate that nonprofit agencies are to 
recommend changes that will improve the commodity or service being 
provided, reduce costs, or improve overall value to the Government. The 
paragraph also requires contracting activities to respond promptly to 
the recommendations. Section 51-6.13 has been amended to clarify its 
language and to indicate that other colors, sizes, or variations of 
commodities on the Procurement List which have not been previously 
procured are considered to be on the Procurement List as well.
    Section 51-8.3, consisting of definitions applicable only to part 
51-8 on Committee actions under the Freedom of Information Act (FOIA), 
has been amended by removing the definition of the Committee, which 
also appears in the general definitions for the Committee's regulations 
at Sec. 51-1.3, and by changing the title ``Chairman'' to 
``Chairperson'' as the title of the Committee's presiding officer. The 
same change to ``Chairperson'' has also been made in Secs. 51-8.7, 51-
8.10, 51-8.11, and 51-9.405.
    Changes have been made to Secs. 51-8.1 and 51-8.4 and to paragraph 
(a) of Sec. 51-8.5 to make clear the distinction between material which 
the Committee is required to make available for public inspection and 
material which the Committee provides in response to a FOIA request. 
The provision in Sec. 51-8.14 for a minimum amount for FOIA processing 
costs below which no fee will be charged has been qualified to indicate 
that the minimum will apply to each Committee response to a FOIA 
request where it is necessary to make more than one response to a 
request. The Committee bills FOIA requesters separately for each 
response, which requires a decision each time as to whether the cost of 
collection would exceed the amount billed.

Regulatory Flexibility Act

    I certify that this proposed revision of the Committee regulations 
will not have a significant economic impact on a substantial number of 
small entities because the revisions basically update and clarify 
program policies and procedures and do not essentially change the 
impact of the regulations on small entities.

Paperwork Reduction Act

    The Paperwork Reduction Act does not apply to this proposed 
regulatory revision because it contains no information collection or 
recordkeeping requirements as defined in that Act and its regulations.

Executive Order No. 12866

    The Committee has been exempted from the regulatory review 
requirements of the Executive Order by the Office of Information and 
Regulatory Affairs. Additionally, the proposed revision to the 
Committee's regulations is not a significant regulatory action as 
defined in the Executive Order.

List of Subjects

41 CFR Parts 51-2 Through 51-6

    Government procurement, Handicapped, Organization and functions 
(Government agencies), Reporting and recordkeeping requirements.

41 CFR Part 51-8

    Freedom of information.

41 CFR Part 51-9

    Privacy.

    For the reasons set out in the preamble, Parts 51-2 through 51-6, 
51-8 and 51-9 of Title 41, Chapter 51 of the Code of Federal 
Regulations are proposed to be amended as follows:
    1. The authority citation for parts 51-2 through 51-6 continues to 
read as follows:

    Authority: 41 U.S.C. 46-48C

PART 51-2--COMMITTEE FOR PURCHASE FROM PEOPLE WHO ARE BLIND OR 
SEVERELY DISABLED

    2. Section 51-2.2 is amended by adding the following sentence at 
the end of paragraph (b):


Sec. 51-2.2  Powers and responsibilities.

* * * * *
    (b) * * * Authorize and deauthorize central nonprofit agencies and 
nonprofit agencies to accept orders from contracting activities for the 
furnishing of specific commodities and services on the Procurement 
List.
* * * * *
    3. Section 51-2.3 is revised to read as follows:


Sec. 51-2.3  Notice of proposed addition or deletion.

    At least 30 days prior to the Committee's consideration of the 
addition or deletion of commodity or service to or from the Procurement 
List, the Committee publishes a notice in the Federal Register 
announcing the proposed addition or deletion and providing interested 
persons an opportunity to submit written data or comments on the 
proposal. Interested persons submitting comments in bound form should 
also submit an unbound copy that is capable of being legibly 
photocopied.
    4. Section 51-2.4 is amended by removing paragraph (d), 
redesignating the introductory text and paragraphs (a) through (c) as 
paragraphs (a) through (a)(3), redesignating paragraphs (e) through 
(e)(3) as paragraphs (a)(4) through (a)(4)(ii), revising the newly 
redesignated paragraphs (a)(4) through (a)(4)(ii), and adding paragraph 
(b) to read as follows:


Sec. 51-2.4  Determination of suitability.

    (a) For a commodity or service to be suitable for addition to the 
Procurement List, each of the following criteria must be satisfied:
* * * * *
    (4) Level of impact on the current contractor for the commodity or 
service. (i) In deciding whether or not a proposed addition to the 
Procurement List is likely to have a severe adverse impact on the 
current contractor for the specific commodity or service, the Committee 
gives particular attention to:
    (A) The possible impact on the contractor's total sales, including 
the sales of affiliated companies and parent corporations. In addition, 
the Committee considers the effects of previous Committee actions.
    (B) Whether that contractor has been a continuous supplier to the 
Government of the specific commodity or service proposed for addition 
and is, therefore, more dependent on the income from such sales to the 
Government.
    (C) Any substantive comments received as the result of the notice 
of the proposed addition in the Federal Register.
    (ii) If there is not a current contract for the commodity or 
service being proposed for addition to the Procurement List, the 
Committee may consider the most recent contractor to furnish the item 
to the Government as the current contractor for the purpose of 
determining the level of impact.
    (b) In determining the suitability of a commodity or service for 
addition to the Procurement List, the Committee also considers other 
information it deems pertinent, including comments on a proposal 
published in the Federal Register to add the commodity or service to 
the Procurement List and information submitted by Government personnel 
and interested persons.
    5. Section 51-2.5 is revised to read as follows:


Sec. 51-2.5  Committee decision.

    The Committee considers the particular facts and circumstances in 
each case in determining if a commodity or service is suitable for 
addition to the Procurement List. When the Committee determines that a 
proposed addition is likely to have a severe adverse impact on a 
current contractor, it takes this fact into consideration in deciding 
not to add the commodity or service to the Procurement List, or to add 
only a portion of the Government requirement for the item. If the 
Committee decides to add a commodity or service in whole or in part to 
the Procurement List, that decision is announced in the Federal 
Register with a notice that includes information on the effective date 
of the addition.

    6. Section 51-2.6 is amended by redesignating the current text of 
the section as paragraph (a) and adding paragraph (b) to read as 
follows:


Sec. 51-2.6  Reconsideration of Committee decision.

    (a) * * *
    (b) In reconsidering its decision, the Committee will balance the 
harm to the party requesting reconsideration if the item remains on the 
Procurement List against the harm which the nonprofit agency or its 
employees who are blind or have other severe disabilities would suffer 
if the item were deleted from the Procurement List. The Committee may 
also consider information bringing into question its conclusions on the 
suitability criteria on which it based its original decision as factors 
weighing toward a decision to delete the item, and information 
concerning possible harm to the contracting activity and the JWOD 
Program as factors weighing toward confirmation of the original 
decision.

    7. Section 51-2.7 is revised to read as follows:


Sec. 51-2.7  Fair market price.

    The Committee is responsible for determining the fair market 
prices, and changes thereto, for commodities and services on the 
Procurement List. The Committee establishes the initial fair market 
price at the time a commodity or service is added to the Procurement 
List. In cases where the prices are not based on competitive bids, the 
Committee considers recommendations from contracting activities and the 
central nonprofit agency concerned. Recommendations for fair market 
prices or changes thereto shall be submitted by the nonprofit agencies 
to the appropriate central nonprofit agency. The central nonprofit 
agency shall analyze the data and submit a recommended fair market 
price to the Committee accompanied by the information required by the 
Committee's pricing procedures to support the recommended price.

PART 51-3--CENTRAL NONPROFIT AGENCIES

    8. Section 51-3.2 is amended by revising paragraph (d), designating 
paragraphs (e) through (m) as paragraphs (f) through (n), and adding a 
new paragraph (e) to read as follows:


Sec. 51-3.2  Responsibilities under the JWOD Program.

* * * * *
    (d) Recommend to the Committee, with the supporting information 
required by Committee procedures, suitable commodities or services for 
procurement from its nonprofit agencies.
    (e) Recommend to the Committee, with the supporting information 
required by Committee procedures, initial fair market prices for 
commodities or services proposed for addition to the Procurement List.
* * * * *
    9. Section 51-3.3 is revised to read as follows:


Sec. 51-3.3  Assignment of commodity or service.

    (a) The central nonprofit agencies shall determine by mutual 
agreement the assignment to one of them of a commodity or service for 
the purpose of evaluating its potential for possible future addition to 
the Procurement List, except that the Committee shall initially assign 
a commodity to National Industries for the Blind when NISH has 
expressed an interest in the commodity and National Industries for the 
Blind has exercised the blind priority.
    (b) NISH shall provide National Industries for the Blind with 
procurement information necessary for a decision to exercise or waive 
the blind priority when it requests a decision. National Industries for 
the Blind shall normally notify NISH of its decision within 30 days, 
but not later than 60 days after receipt of the procurement 
information, unless the two central nonprofit agencies agree to an 
extension of time for the decision. Disagreements on extensions shall 
be referred to the Committee for resolution.
    (c) If National Industries for the Blind exercises the blind 
priority for a commodity, it shall immediately notify the Committee and 
NISH and shall submit to the Committee a proposal to add the commodity 
to the Procurement List within nine months of the notification, unless 
the Committee extends the assignment period because of delays beyond 
the control of National Industries for the Blind. Upon expiration of 
the assignment period, the Committee shall reassign the commodity to 
NISH.
    (d) The central nonprofit agency assigned a commodity shall obtain 
a decision from Federal Prison Industries on the exercise or waiver of 
its priority and shall submit the procurement information required by 
Federal Prison Industries when it requests the decision. Federal Prison 
Industries shall normally notify the central nonprofit agency of its 
decision within 30 days, but not later than 60 days after receipt of 
the procurement information, unless it agrees with the central 
nonprofit agency on an extension of time for the decision. The central 
nonprofit agency shall refer a disagreement over an extension to the 
Committee for resolution with Federal Prison Industries.
    (e) The central nonprofit agency shall provide the Committee the 
decision of Federal Prison Industries on the waiver or exercise of its 
priority when it requests the addition of the commodity to the 
Procurement List. NISH shall also provide the decision of National 
Industries for the Blind waiving its priority.

PART 51-4--NONPROFIT AGENCIES

    10. Section 51-4.2 is amended by revising paragraph (a)(1) 
introductory text, and (a)(2) introductory text, to read as follows:


Sec. 51-4.2  Initial qualification.

    (a) * * *
    (1) A privately incorporated nonprofit agency shall submit to the 
Committee through its central nonprofit agency the following documents, 
transmitted by a letter signed by an officer of the corporation or 
chief executive:
* * * * *
    (2) A State-owned or State-operated nonprofit agency, or a 
nonprofit agency established or authorized by a State statute other 
than the State corporation laws and not privately incorporated, shall 
submit to the Committee through its central nonprofit agency the 
following documents, transmitted by a letter signed by an officer of 
the wholly-owned State corporation or an official of the agency that 
directs the operations of the nonprofit agency, as applicable:
* * * * *
    11. Section 51-4.3 is amended by revising paragraphs (b)(6) and 
(c)(1) to read as follows:


Sec. 51-4.3  Maintaining qualification.

* * * * *
    (b) * * *
    (6) Maintain a file on each blind individual performing direct 
labor which contains a written report reflecting visual acuity and 
field of vision of each eye, with best correction, signed by a person 
licensed to make such an evaluation, or a State certification of 
blindness.
* * * * *
    (c) * * *
    (1) A written report signed by a licensed physician, psychiatrist, 
or qualified psychologist, reflecting the nature and extent of the 
disability or disabilities that cause such person to qualify as a 
person with a severe disability, or a State certification listing the 
disability or disabilities.
* * * * *
    12. Section 51-4.5 is amended by revising the section heading to 
read as follows:


Sec. 51-4.5  Violations by nonprofit agencies.

* * * * *

PART 51-5--CONTRACTING REQUIREMENTS

    13. Section 51-5.2 is amended by revising the section heading and 
paragraph (a) and adding a second sentence to paragraph (e) to read as 
follows:


Sec. 51-5.2  Mandatory source requirement.

    (a) Nonprofit agencies designated by the Committee are mandatory 
sources of supply for all entities of the Government for commodities 
and services included on the Procurement List, as provided in Sec. 51-
1.2 of this chapter.
* * * * *
    (e) * * * This requirement applies both to contracting activities 
and to other persons providing such commodities to them by contract.
* * * * *
    14. Section 51-5.3 is amended by revising the first sentence of 
paragraph (a) and adding paragraph (c) to read as follows:


Sec. 51-5.3  Scope of requirement.

    (a) When a commodity is included on the Procurement List, the 
mandatory source requirement covers the National Stock Number or item 
designation listed and commodities that are essentially the same as the 
listed item. * * *
* * * * *
    (c) When a commodity or service is added to the Procurement List, 
the addition does not affect contracts for the commodity or service 
awarded prior to the effective date of the Procurement List addition or 
options exercised under those contracts.


Sec. 51-5.4  [Amended]

    15. Section 51-5.4 is amended by removing ``$25,000'' where it 
appears in paragraphs (d) and (f)(1) and replacing it with ``$100,000'' 
in both places.
    16. Section 51-5.5 is amended by revising paragraph (b) to read as 
follows:


Sec. 51-5.5  Prices.

* * * * *
    (b) Prices for commodities include applicable packaging, packing, 
and marking. Prices include transportation to point of delivery as 
specified in Sec. 51-5.6 of this chapter.
* * * * *
    17. Section 51-5.6 is revised to read as follows:


Sec. 51-5.6  Shipping.

    (a) Except as provided in paragraph (c) of this section for 
commodities other than military resale commodities, delivery is 
accomplished when a shipment is placed aboard the vehicle of the 
initial carrier. Time of delivery is when the shipment is released to 
and accepted by the initial carrier.
    (b) Method of transportation to destination shall normally be by 
Government bills of lading although the contracting activity may 
designate another method of transportation on its order, in accordance 
with Committee procedures. Government bills of lading may accompany 
orders or be otherwise furnished, but shall be supplied promptly. If 
the contracting activity fails to designate a method of transportation 
or furnish a Government bill of lading promptly, it shall constitute an 
excusable cause for delay in delivery.
    (c) The Committee may determine that for certain commodity orders, 
delivery is accomplished when the shipment is delivered to the 
purchaser's facility (plant, warehouse, store, lot, or other location 
to which shipment can be made). Time of delivery for these orders is 
when the shipment is released by the carrier and accepted by the 
purchaser. Under this method of transportation, the nonprofit agency 
will normally ship by commercial bills of lading and will be 
responsible for any loss or damage to the goods occurring before 
receipt of the shipment at the delivery point specified. The nonprofit 
agency will prepare and distribute commercial bills of lading, furnish 
a delivery schedule and designate the mode of delivering carrier, and 
pay all charges to the specified point of delivery.


Sec. 51-5.8  Violations by entities of the Government.

    18. Section 51-5.8 is amended by revising the section heading to 
read as set forth above.
* * * * *

PART 51-6--PROCUREMENT PROCEDURES

    19. Section 51-6.2 is amended by revising the second sentence in 
paragraph (f) to read as follows:


Sec. 51-6.2  Allocation process.

* * * * *
    (f) * * * When a request for allocation provides a delivery 
schedule (based on established lead times and time required for 
processing the allocation request) which cannot be met, the central 
nonprofit agency shall request a revision, which the contracting 
activity shall grant, if feasible, or the central nonprofit agency 
shall issue a purchase exception authorizing procurement from 
commercial sources as provided in Sec. 51-5.4 of this chapter.
* * * * *
    20. Section 51-6.4 is amended by revising paragraphs (a), (b), 
(c)(3), and (c)(4), and the second sentence of paragraph (e) to read as 
follows:


Sec. 51-6.4  Military resale commodities.

    (a) Purchase procedures for ordering military resale commodities 
are available from the central nonprofit agencies. Authorized resale 
outlets (military commissary stores, Armed Forces exchanges and like 
activities of other Government departments and agencies) shall request 
the central nonprofit agency responsible for the military resale 
commodity being ordered to designate the nonprofit agency or its agent 
to which the outlets shall forward orders.
    (b) Authorized resale outlets shall stock military resale 
commodities in as broad a range as practicable. Authorized resale 
outlets may stock commercial items comparable to the military resale 
commodities they stock, except that military commissary stores shall 
stock military resale commodities in the 900-series exclusively, unless 
an exception has been granted on an individual store basis for the 
stocking of comparable commercial items for which there is a 
significant customer demand.
    (c) * * *
    (3) Issue guidance requiring commissary store personnel to maximize 
sales potential of military resale commodities.
    (4) Establish policies and procedures which reserve to its agency 
headquarters the authority to grant exceptions to the exclusive 
stocking of 900-series military resale commodities.
* * * * *
    (e) * * * Zone pricing is used for delivery to Alaska and Hawaii.
    21. Section 51-6.8 is amended by adding paragraph (e) to read as 
follows:


Sec. 51-6.8  Deletion of items from the Procurement List.

* * * * *
    (e) The Committee may delete an item from the Procurement List 
without a request from a central nonprofit agency if the Committee 
determines that none of the nonprofit agencies participating in the 
JWOD Program are capable and desirous of furnishing the commodity or 
service to the Government, or if the Committee decides that the 
commodity or service is no longer suitable for procurement from 
nonprofit agencies employing people who are blind or have other severe 
disabilities. In considering such an action, the Committee will consult 
with the appropriate central nonprofit agency, the nonprofit agency or 
agencies involved, and the contracting activity.

    22. Section 51-6.12 is amended by revising paragraphs (a), (c), and 
(d) and adding paragraph (e) to read as follows:


Sec. 51-6.12   Specification changes and similar actions.

    (a) Contracting activities shall notify the nonprofit agency or 
agencies authorized to furnish a commodity on the Procurement List and 
the central nonprofit agency concerned of any changes to the 
specification or other description of the commodity.
* * * * *
    (c) For services on the Procurement List, the contracting activity 
shall notify the nonprofit agency furnishing the service and the 
central nonprofit agency concerned at least 90 days prior to the date 
that any changes in the statement of work or other conditions of 
performance will be required.
    (d) If an emergency makes it impossible for a contracting activity 
to give the 90-day notice required by paragraphs (b) and (c) of this 
section, the contracting activity shall inform the nonprofit agency and 
the central nonprofit agency concerned of the reasons it cannot meet 
the 90-day notice requirement when it places the order or change 
notice.
    (e) Nonprofit agencies shall recommend changes in specifications, 
item descriptions, and statements of work that will improve the 
commodity or service being provided, reduce costs, or improve overall 
value to the Government. Contracting activities shall respond promptly 
to these recommendations and work with the nonprofit agencies to 
implement them when appropriate.

    23. Section 51-6.13 is revised to read as follows:


Sec. 51-6.13   Replacement and similar commodities.

    (a) When a commodity on the Procurement List is replaced by another 
commodity which has not been recently procured, and a nonprofit agency 
can furnish the replacement commodity in accordance with the 
Government's quality standards and delivery schedules, the replacement 
commodity is automatically considered to be on the Procurement List and 
shall be procured from the nonprofit agency designated by the Committee 
at the fair market price the Committee has set. The commodity being 
replaced shall continue to be included on the Procurement List until 
there is no longer a Government requirement for that commodity.
    (b) If contracting activities desire to procure additional sizes, 
colors, or other variations of a commodity after the commodity is added 
to the Procurement List, and these similar commodities have not 
recently been procured, these commodities are also automatically 
considered to be on the Procurement List.
    (c) In accordance with Sec. 51-5.3 of this chapter, contracting 
activities are not permitted to purchase commercial items that are 
essentially the same as commodities on the Procurement List.

PART 51-8--PUBLIC AVAILABILITY OF AGENCY MATERIALS

    24. The authority citation for part 51-8 continues to read as 
follows:

    Authority: 5 U.S.C. 552.

    25. Section 51-8.1 is revised to read as follows:


Sec. 51-8.1   Purpose.

    These regulations implement the provisions of the ``Freedom of 
Information Act,'' 5 U.S.C. 552. They establish procedures under which 
the public may inspect and obtain copies of material maintained by the 
Committee, provide for administrative appeal of initial determinations 
to deny requests for material, and prescribe fees to be charged by the 
Committee to recover search, review, and duplication costs.

    26. Section 51-8.3 is amended by revising the introductory text of 
the section, removing paragraph (b), redesignating paragraphs (c) 
through (i) as paragraphs (b) through (h), and revising newly 
redesignated paragraph (b), to read as follows:


Sec. 51-8.3   Definitions.

    As used in this part:
    (a) * * *
    (b) The term Chairperson means the Chairperson of the Committee for 
Purchase From People Who Are Blind or Severely Disabled.
* * * * *
    27. Section 51-8.4 is revised to read as follows:


Sec. 51-8.4   Availability of materials.

    Material described in 5 U.S.C. 552(a)(2) shall be available for 
inspection during normal business hours at the Committee's offices, 
Crystal Square 3, 1735 Jefferson Davis Highway, Suite 403, Arlington, 
Virginia 22202-3461. An individual who intends to visit the Committee 
offices to inspect this material shall make an appointment with the 
Executive Director at least one week in advance, except when the 
Committee has provided notification to the individual that the material 
is available for inspection in the Committee offices, in which case an 
appointment must be made at least 24 hours in advance.

    28. Section 51-8.5 is amended by revising the first sentence in 
paragraph (a) to read as follows:


Sec. 51-8.5   Requests for records.

    (a) Requests to obtain copies of any material maintained by the 
Committee must be submitted in writing to the Executive Director at the 
Committee's offices, Crystal Square 3, Suite 403, 1735 Jefferson Davis 
Highway, Arlington, Virginia 22202-3461. * * *
* * * * *


Sec. 51-8.7   [Amended]

    29. Section 51-8.7 is amended by removing ``Chairman'' where it 
appears in paragraph (e) and replacing it with ``Chairperson.''


Sec. 51-8.10   [Amended]

    30. Section 51-8.10 is amended by removing ``Chairman'' where it 
appears in paragraphs (a), (b), (c), and (d) and replacing it with 
``Chairperson'' in each place it occurs.


Sec. 51-8.11   [Amended]

    31. Section 51-8.11 is amended by removing ``Chairman'' where it 
appears in paragraph (a) and replacing it with ``Chairperson.''
    32. Section 51-8.14 is amended by revising paragraph (c) to read as 
follows:


Sec. 51-8.14   Fee waivers and reductions.

* * * * *
    (c) Fees shall be waived in all circumstances where the amount of 
the fee is $10 or less as the cost of collection would be greater than 
the fee. This minimum shall be applied separately to each Committee 
response when it is necessary for the Committee to make more than one 
response to a request for records.

PART 51-9--PRIVACY ACT RULES

    33. The authority citation for part 51-9 is amended to read as 
follows:

    Authority: 5 U.S.C. 552a


Sec. 51-9.405   [Amended]

    34. Section 51-9.405 is amended by removing ``Chairman'' wherever 
it appears in each paragraph of the section and replacing it with 
``Chairperson'' in each place it occurs.

    Dated: July 21, 1994.
Beverly L. Milkman,
Executive Director.
[FR Doc. 94-18246 Filed 7-26-94; 8:45 am]
BILLING CODE 6820-33-P