[Federal Register Volume 60, Number 215 (Tuesday, November 7, 1995)]
[Rules and Regulations]
[Pages 56125-56126]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-27515]



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NATIONAL AERONAUTICS AND SPACE ADMINISTRATION

48 CFR Part 1815


Acquisition Regulation; Cost or Pricing Data; Correction

AGENCY: Office of Procurement, National Aeronautics and Space 
Administration (NASA).

ACTION: Correction to final rule.

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SUMMARY: This document contains corrections to the final rule which was 
published October 18, 1995 (60 FR 53878) The final rule revised NASA 
policies on cost or pricing data in order to make the policies 
consistent with recently revised Federal-wide policies.

EFFECTIVE DATE: October 18, 1995.

FOR FURTHER INFORMATION CONTACT:
William T. Childs, (202) 358-0454.

SUPPLEMENTARY INFORMATION:

Background

    The Federal Acquisition Streamlining Act of 1994 (FASA) revised 
policy on cost or pricing data under the Truth in Negotiations Act 
(TINA), among other things. The TINA changes have been implemented in 
the Federal Acquisition Regulation (FAR) at 48 CFR chapter 1, and those 
changes necessitate corresponding revisions of the NASA FAR Supplement 
(NFS).

Need for Correction

    Two section headings were incorrectly published. In section 
1815.804-1, paragraph (a)(1) is removed because it is adequately 
covered by FAR 15.804-1, two citations are corrected, and the term 
``exemption'' is revised to read ``exception'', which is the term used 
by the FAR. Paragraph (b) was inadvertently omitted from Sec. 1815.804-
2. The paragraph provides guidance that the agreed date under FAR 
15.804-2(b)(2) should generally be within two weeks of the date of 
price agreement.

Correction of Publication

    Accordingly, the publication on October 18, 1995 of the final rule 
which was the subject of FR Doc. 95-25858, is corrected as follows:


1815.804  [Corrected]

    Paragraph 2. on page 53879, in the first column, is corrected by 
revising the heading of Sec. 1815.804 to read as follows:


1815.804  Cost or pricing data and information other than cost or 
pricing data.


1815.804-1  [Corrected]

    Paragraph 3. on page 53879, in the first column, is corrected by 
revising the heading and paragraphs (a), (b), and (c) of section 
1815.804-1 to read as follows:


1815.804-1  Prohibition on obtaining cost or pricing data.

    (a)(1) When the adequate price competition exception will be used 
in a single-offer situation, the exception shall be approved by the 
head of the contracting activity. The exception document shall cite the 
authority of 10 U.S.C. 2306(b)(1)(B), and the procedure in paragraph 
(d) of this section shall be used.
    (2) The adequate price competition exception is applicable to both 
fixed-price and cost-reimbursement type procurements.
    (i) The use of this exception for a cost-reimbursement procurement 
requires the careful exercise of judgment on the part of the 
contracting officer based on the application of the guidance in FAR 
15.804-1(b)(1)(i)(A) and the regulations of this chapter to the facts 
of each procurement. The instances when its use under cost-
reimbursement procurements would be appropriate should be limited. One 
reason is that, unlike fixed-price type contracts, where the final cost 
to the Government is set at the negotiated contract amount, in cost-
reimbursement contracts, the contract amount is only an estimate of the 
Government's final cost. As a consequence, the failure to obtain cost 
or pricing data could result in a competing contractor intentionally 
underestimating its costs for the purpose of winning the award, which 
could then cause the actual contract costs to significantly exceed 
those proposed.
    (ii) If and when negotiations conducted with a successful offeror 
after receipt of Best and Final Offers result in a substantial change 
in that offeror's price, the validity of any adequate price competition 
exception which previously applied could be nullified, regardless of 
contract type.
    (3) When the decision is made to apply the adequate price 
competition exception, that decision shall be documented in the 
contract file. In addition, for cost-reimbursement procurements, that 
document shall be signed by the procurement officer and a copy provided 
to the Analysis Division, Code HC.
    (b) When an exception is granted under FAR 15.804-1(c)(4) for 
repetitive submissions of catalog items, Government approval of the 
exception request shall state the effective period, usually not more 
than one year, and require the contractor to furnish any later 
information that might raise a 

[[Page 56126]]
question as to the exception's continuation.
    (c) When excepting submission under FAR 15.804-1(b)(2)(iii), the 
contracting officer shall document the reasons for the exception. It is 
generally appropriate to include a description of the similarities and 
differences from a commercial item, along with a discussion of the 
actual sales prices of the commercial item and an explanation of the 
value of the differences from that item. If the fact of substantial 
sales to the general public is well known, information addressing the 
quantity of sales is not required.
* * * * *


1815.804-2  [Corrected]

    Paragraph 4. on page 53879, in the third column, is corrected by 
adding paragraph (b) to read as follows:


1815.804-2  Requiring cost or pricing data.

* * * * *
    (b) If a certificate of current cost or pricing data is made 
applicable as of a date other than the date of price agreement, the 
agreed date should generally be within two weeks of the date of price 
agreement.
Tom Luedtke,
Deputy Associate Administrator for Procurement.
[FR Doc. 95-27515 Filed 11-6-95; 8:45 am]
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