[Federal Register Volume 61, Number 146 (Monday, July 29, 1996)]
[Rules and Regulations]
[Pages 39304-39305]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-19171]
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SMALL BUSINESS ADMINISTRATION
13 CFR Part 125
Government Contracting Assistance; Correction
AGENCY: Small Business Administration.
ACTION: Correction to final regulation.
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SUMMARY: This document contains corrections to a final rule published
by the Small Business Administration (SBA) in the Federal Register on
Wednesday, January 31, 1996 (61 FR 3310). The regulation related to
small business prime contractor's performance. The correction is needed
to ensure consistency with other provisions contained in SBA's
regulations.
EFFECTIVE DATE: July 29, 1996.
FOR FURTHER INFORMATION CONTACT: Richard Sadowski, Acting Assistant
Administrator, Office of Industrial Assistance, (202) 205-6475.
SUPPLEMENTARY INFORMATION: On January 31, 1996, SBA published in the
Federal Register (61 FR 3310) a complete revision to the regulations
pertaining to SBA's procurement assistance programs. Included within
this final rule was a new section (Sec. 125.6) entitled ``Prime
contractor performance requirements (limitations on subcontracting).''
61 FR 3315. As published, the final regulation contains two errors that
may be misleading and need to be changed. First, Sec. 125.6(a)(2) uses
the term ``regular dealer.'' However, the definition of ``regular
dealer'' was abolished by section 7201 of the Federal Acquisition
Streamlining Act of 1994 (FASA). Specifically, FASA repealed the
``regular dealer'' or ``manufacturer'' eligibility requirements imposed
by the Walsh-Healey Public Contracts Act. Without a current definition
for the term ``regular dealer,'' SBA believes that its use in this
[[Page 39305]]
regulation would be confusing. As such, this correction rule
substitutes the term ``non-manufacturer'' for ``regular dealer'' in
Sec. 125.6(a)(2) to ensure consistency with other sections of 13 CFR
Part 125 and to remove the ambiguity created by the use of the term
``regular dealer.''
Second, as set forth in the January 31, 1996 final rule,
Sec. 125.6(c) stated that compliance with the Prime Contractor
Performance Requirements would be determined as of the date the bid was
submitted in a sealed bid procurement, and as of the date the concern
submits its best and final offer in a negotiated procurement. This
provision is inconsistent with the general responsibility requirements.
In determining an offeror's responsibility to perform a specific
contract as part of a Certificate of Competency review, SBA determines
whether the offeror is capable of performing the contract at the time
of award. The offeror can make changes to demonstrate that it can
perform the contract up until the time of award. Because the Prime
Contractor Performance Requirements are now to be considered an issue
of responsibility, compliance with them also should be able to be
demonstrated up until the time of award. Thus, this correction rule
eliminates Sec. 125.6(c) for internal consistency, and redesignates
paragraphs (d), (e), (f), and (g) as paragraphs (c), (d), (e), and (f),
respectively.
Correction of Publication
Accordingly, the publication on January 31, 1996, of the final
regulations that were the subject of FR Doc. 96-1157, is corrected as
follows:
Sec. 125.6 [Corrected]
1. On page 3315 in the third column, Sec. 125.6(a)(2), remove the
words ``regular dealer'' and add in their place the word ``non-
manufacturer''.
2. On page 3316, in the first column, section 125.6, remove
paragraph (c) in its entirety and redesignate paragraphs (d) through
(g) as (c) through (f), respectively.
Dated: July 16, 1996.
Ginger Lew,
Deputy Administrator.
[FR Doc. 96-19171 Filed 7-26-96; 8:45 am]
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