[Federal Register Volume 61, Number 196 (Tuesday, October 8, 1996)]
[Proposed Rules]
[Pages 52844-52845]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-25721]
[[Page 52843]]
_______________________________________________________________________
Part II
Department of Defense
_______________________________________________________________________
General Services Administration
_______________________________________________________________________
National Aeronautics and Space Administration
_______________________________________________________________________
48 CFR Part 8, et al.
Federal Acquisition Regulation; ADP/Telecommunications Federal Supply
Schedules; Proposed Rule
Federal Register / Vol. 61, No. 196 / Tuesday, October 8, 1996 /
Proposed Rules
[[Page 52844]]
DEPARTMENT OF DEFENSE
GENERAL SERVICES ADMINISTRATION
NATIONAL AERONAUTICS AND SPACE ADMINISTRATION
48 CFR Parts 8, 13, 38, and 51
[FAR Case 96-602]
RIN 9000-AH29
Federal Acquisition Regulation; ADP/Telecommunications Federal
Supply Schedules
AGENCIES: Department of Defense (DOD), General Services Administration
(GSA), and National Aeronautics and Space Administration (NASA).
ACTION: Proposed rule.
-----------------------------------------------------------------------
SUMMARY: The Civilian Agency Acquisition Council and the Defense
Acquisition Regulations Council are proposing to amend the Federal
Acquisition Regulation (FAR) with respect to GSA''s Federal Supply
Schedules program. This regulatory action was not subject to Office of
Management and Budget review under Executive Order 12866, dated
September 30, 1993. This is not a major rule under 5 U.S.C. 804.
DATES: Comments should be submitted on or before December 9, 1996 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 and F
Streets, NW, Room 4037, Washington, DC 20405.
Please cite FAR case 96-602 in all correspondence related to this
case.
FOR FURTHER INFORMATION CONTACT: Ms. Linda Klein at (202) 501-3775 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 96-602.
SUPPLEMENTARY INFORMATION:
A. Background
This proposed rule amends the FAR to reflect the reassignment of
Federal Supply Schedule contracts for ADP/Telecommunications to GSA''s
Federal Supply Service; to add new coverage on the GSA Advantage!
program; to clarify when ordering offices should seek price reductions;
and to implement changes pertaining to procedures when placing orders
above the maximum order.
B. Regulatory Flexibility Act
This 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 the rule
merely updates and clarifies guidance for Government agencies regarding
use of the GSA Federal Supply Schedule program. 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 5 U.S.C. 610 of the Act. Such comments must be
submitted separately and should cite 5 U.S.C. 601, et seq. (FAR case
96-602), in correspondence.
C. Paperwork Reduction Act
The Paperwork Reduction Act does not apply because the proposed
changes to the FAR do not impose any additional reporting or
information collection requirements, or collections of information from
offerors, contractors, or members of the public which require the
approval of the Office of Management and Budget under 44 U.S.C. 3501,
et seq.
List of Subjects in 48 CFR Parts 8, 13, 38, and 51
Government procurement.
Dated: October 2, 1996.
Edward C. Loeb,
Director, Federal Acquisition Policy Division.
Therefore, it is proposed that 48 CFR Parts 8, 13, 38, and 51 be
amended as set forth below:
1. The authority citation for 48 CFR Parts 8, 13, 38, and 51
continues to read as follows:
Authority: 40 U.S.C. 486(c); 10 U.S.C. 2301 to 2331; and 42
U.S.C. 2473(c).
PART 8--REQUIRED SOURCES OF SUPPLIES AND SERVICES
2. Section 8.401 is revised to read as follows:
8.401 General.
(a) The Federal Supply Schedule program, directed and managed by
the General Services Administration (GSA), provides Federal agencies
with a simplified process for obtaining commonly used supplies and
services at prices associated with volume buying. Indefinite delivery
contracts (including requirements contracts) are established with
commercial firms to provide supplies and services at stated prices for
given periods of time. Similar systems of schedule-type contracting are
used for military items managed by the Department of Defense. These
systems are not included in the Federal Supply Schedule program covered
by this subpart.
(b) The GSA schedule contracting office issues publications, titled
Federal Supply Schedules, containing the information necessary for
placing delivery orders with schedule contractors. Ordering offices
issue delivery orders directly to the schedule contractors for the
required supplies and services. Ordering offices may request copies of
schedules by completing GSA Form 457, FSS Publications Mailing List
Application, and mailing it to the GSA Centralized Mailing List Service
(7CAFL), P.O. Box 6477, Fort Worth, Texas, 76115. Copies of GSA Form
457 also may be obtained from the above address.
(c) GSA offers an on-line shopping service called ``GSA
Advantage!'' that enables ordering offices to search product specific
information (i.e., NSN, part number, common name), review delivery
options, place orders directly with contractors (or ask GSA to place
orders on the agency's behalf), and pay contractors for orders using
the Governmentwide commercial purchase card (or pay GSA). Ordering
offices may access the ``GSA Advantage!'' shopping service by
connecting to Internet and using a web browser to connect to the GSA
Home Page (http://www.gsa.gov, or http://www.fss.gsa.gov). For more
information or assistance, contact GSA at Internet e-mail address:
[email protected].
3. Section 8.404 is amended by revising paragraphs (a) and (b), and
the heading of paragraph (c) to read as follows:
8.404 Using schedules.
(a) General. When agency requirements are to be satisfied through
the use of Federal Supply Schedules as set forth in this subpart 8.4,
the policies and procedures of FAR part 13 do not apply. Orders placed,
pursuant to a Multiple Award Schedule (MAS), using the procedures in
this subpart 8.4 are considered to be issued pursuant to full and open
competition (see 6.102(d)(3)). Therefore, when placing orders under
Federal Supply Schedules, ordering offices need not seek further
competition, synopsize the requirement, make a separate determination
of fair and reasonable pricing, or consider small business set-asides
in accordance with subpart 19.5.
(b) Ordering procedures for optional use schedules--(1) Orders at
or below the micro-purchase threshold. Ordering offices can place
orders at or below the micro-purchase threshold with any
[[Page 52845]]
Federal Supply Schedule contractor. GSA has already determined the
prices of items under these contracts to be fair and reasonable.
(2) Orders exceeding the micro-purchase threshold and not exceeding
the maximum order threshold. Before placing an order, ordering offices
should consider reasonably available information about products offered
under Multiple Award Schedule (MAS) contracts by using the ``GSA
Advantage!'' on-line shopping service, or if an automated information
system is not available, by reviewing the catalog, including price
lists, of at least 3 schedule contractors.
(3) Orders exceeding the maximum order threshold. Each schedule
contract has an established maximum order threshold. This threshold
represents the point where it is advantageous for the ordering office
to seek a price reduction. Before placing an order that exceeds the
maximum order threshold, ordering offices shall follow the procedures
in paragraph (b)(2) of this section; and--
(i) Review the catalogs, including price lists, of additional
schedule contractors, if appropriate, considering the dollar value of
the proposed order; and
(ii) Seek a further reduction in price and/or more favorable
delivery terms before selecting the contractor to receive the order.
(4) Blanket purchase agreements (BPAs). All schedule contracts
contain BPA provisions. Ordering offices are encouraged to use BPAs to
establish accounts with contractors to fill recurring requirements.
BPAs should address the frequency of ordering and invoicing, discounts,
delivery locations and times. BPAs may be used for any size orders.
(5) Price reductions. In addition to the circumstances outlined in
paragraph (b)(3) of this section, there may be instances where ordering
offices will find it advantageous to request a price reduction. For
example, when the ordering office finds a schedule product elsewhere at
a lower price or when a blanket purchase agreement (BPA) is being
established to fill recurring requirements, requesting a price
reduction could be advantageous. The potential volume of orders under
these agreements, regardless of the size of the individual order, may
offer the ordering office the opportunity to secure higher discounts.
Schedule contractors are not required to pass on to all schedule users
a price reduction extended only to an individual agency for a specific
order or under a BPA.
(6) Best value selection for orders exceeding the micro-purchase
threshold. Orders should be placed with the schedule contractor that
can provide an item which represents the best value. In selecting the
item representing the best value, the ordering office may consider--
(i) Special features of one item which are required in effective
program performance and which are not provided by comparable items;
(ii) Trade in considerations;
(iii) Probable life of the item selected as compared with that of a
comparable item;
(iv) Warranty considerations;
(v) Maintenance availability;
(vi) Past performance; and
(vii) Environmental and energy efficiency considerations.
(7) Small business. For orders exceeding the micro-purchase
threshold, ordering offices should give preference to the items of
small business concerns when two or more items at the same delivered
price will satisfy the requirement.
(8) Documentation. Orders should be documented, at a minimum, by
identifying the contractor the item was purchased from, the item
purchased, and the amount paid.
(c) Ordering procedures for mandatory use schedules. * * *
* * * * *
PART 13--SIMPLIFIED ACQUISITION PROCEDURES
4. Section 13.202 is amended by revising paragraph (c)(3) to read
as follows:
13.202 Establishment of blanket purchase agreements (BPA's).
* * * * *
(c) * * *
(3) Federal Supply Schedule contractors if not inconsistent with
the terms of the applicable schedule or other contract.
* * * * *
PART 38--FEDERAL SUPPLY SCHEDULE CONTRACTING
5. Section 38.000 is revised to read as follows:
38.000 Scope of part.
This part prescribes policies and procedures for contracting for
supplies and services under the Federal Supply Schedule program, which
is directed and managed by the General Services Administration (see
subpart 8.4, Federal Supply Schedules, for additional information). The
Department of Defense uses a similar system of schedule contracting for
military items that are not a part of the Federal Supply Schedule
program.
PART 51--USE OF GOVERNMENT SOURCES BY CONTRACTORS
51.103 [Amended]
6. Section 51.103 is amended by removing paragraph (c) and
redesignating paragraph (d) as (c).
[FR Doc. 96-25721 Filed 10-7-96; 8:45 am]
BILLING CODE 6820-EP-U