[Federal Register Volume 61, Number 250 (Friday, December 27, 1996)]
[Notices]
[Pages 68312-68317]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-32917]


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OFFICE OF MANAGEMENT AND BUDGET


Federal Use of Standards

AGENCY: Office of Management and Budget, Executive Office of the 
President.

ACTION: Notice and request for comments on proposed revision of OMB 
Circular No. A-119, ``Federal Participation in the Development and Use 
of Voluntary Consensus Standards and in Conformity Assessment 
Activities.''

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SUMMARY: The Office of Management and Budget (OMB) is revising Circular 
A-119, ``Federal Participation in the Development and Use of Voluntary 
Consensus Standards and in Conformity Assessment Activities.'' Public 
Law 104-113, the National Technology Transfer Act of 1995 (hereinafter 
known as P.L. 104-113), was passed by Congress to codify existing 
policies in A-119, to establish additional reporting requirements, and 
to authorize the National Institute of Standards and Technology (NIST) 
to coordinate conformity assessment activities of the agencies. P.L. 
104-113 was signed into law by the President on March 13, 1996. This 
proposed revision of Circular A-119 implements the new law and makes 
certain other modifications.

DATES: Comments are requested on the proposed revisions to Circular A-
119 no later than February 25, 1997.

ADDRESSES: Direct written comments to: Information Policy and 
Technology Branch, Office of Information and Regulatory Affairs, Office 
of Management and Budget, NEOB Room 10236, Washington, D.C., 20503. E-
mail comments may be sent to: [email protected].

FOR FURTHER INFORMATION CONTACT: Virginia Huth, Information Policy and 
Technology Branch, Office of Information and Regulatory Affairs, Office 
of Management and Budget, Room 10236 NEOB, Washington, D.C., 20503. 
Telephone: 202-395-3785. The text of this proposed revision and of the 
current OMB Circular A-119 are available electronically on the OMB Home 
page in the documents section at http://www.whitehouse.gov/WH/ EOP/OMB. 
The current version of A-119 is available in paper format by contacting 
the OMB Publications Office at (202) 395-7332. To request a fax of the 
current A-119, call (202) 395-9068.

SUPPLEMENTARY INFORMATION: Section 12(d) of the National Technology 
Transfer Act of 1995 (P.L. 104-113, or ``the Act'') codified the 
policies of Circular A-119. Section 12(d)(1) states that ``Except as 
provided in paragraph (3) of this subsection, all Federal agencies and 
departments shall use technical standards that are developed or adopted 
by voluntary consensus standards bodies, using such technical standards 
as a means to carry out policy objectives or activities determined by 
the agencies and departments.''
    To carry out this requirement, Section 12(d)(2) states that 
agencies and departments ``shall consult'' with those bodies and 
``shall * * * participate'' with them in developing voluntary consensus 
standards ``when such participation is in the public interest and is 
compatible with agency and departmental missions, authorities, 
priorities, and budget resources.''
    Finally, Section 12(d)(3) states that, where it would be 
``inconsistent with applicable law or otherwise impractical'' to use 
standards that those bodies develop or adopt, an agency or department 
may use other standards; however, the head of the agency or department 
must send to OMB ``an explanation of the reasons for using such 
standards.'' The law states that, beginning with fiscal year 1997, OMB 
will transmit to Congress and its Committees an annual report 
summarizing all explanations received in the preceding year.
    This Circular provides instructions, beginning with FY 97, for 
agencies to report explanations of instances in which agencies used 
standards which were not developed by voluntary consensus standards 
bodies. For FY 96, OMB issued a letter on May 17, 1996, to the heads of 
departments and agencies notifying them of the Act and of the new 
reporting requirement. For the period March 13, 1996 (date of enactment 
of the Act) to September 30, 1996, any explanations that agencies have 
generated should be transmitted to NIST no later than January 31, 1997, 
for forwarding to OMB.
    The Act's legislative history confirms that Section 12(d) was 
intended to codify the Circular's policies. See 142 Cong. Rec. H1265 
(daily ed. February

[[Page 68313]]

27, 1996) (statement of Rep. Morella); 142 Cong. Rec. S1080-81 (daily 
ed. February 7, 1996) (statement of Sen. Rockefeller); 141 Cong. Rec. 
H14333-34 (daily ed. December 12, 1995) (statements of Reps. Brown and 
Morella).
    Accordingly, the revisions proposed to the Circular are not 
intended to change the policy with respect to agencies' use of 
voluntary consensus standards, but instead are intended to conform the 
Circular's terminology to the Act and to increase the Circular's 
clarity and effectiveness.

Summary of Changes

    This proposed revision incorporates the following changes:
    (1) Section 5 clarifies the definitions for ``agency'' and 
``standard.'' The definition for ``adoption'' has been replaced by a 
definition for ``use.'' The definition for ``voluntary standards'' has 
been replaced by a definition for ``voluntary consensus standards.'' 
The definition for ``voluntary standards bodies'' has been replaced 
with a definition for ``voluntary consensus standards bodies.'' New 
definitions for ``conformity assessment,'' ``impractical,'' 
``performance standard,'' and ``technical standard'' have been added. 
Finally, terminology throughout the Circular has been modified to 
reflect these changes.
    (2) Section 6a has been revised to state that these policies apply 
to all policy objectives and activities, including procurement and 
regulatory activities, to clarify that these policies do not pre-empt 
or restrict agencies' authorities and responsibilities to regulate, and 
to clarify that agencies retain discretion to decline to use an 
existing voluntary consensus standard if the agency determines that 
such standard is inconsistent with applicable law or otherwise 
impractical.
    (3) Section 6b has been modified to state that agencies are to 
refrain from actively participating in standards development committees 
when involvement in such committees does not clearly relate to the 
mission of the agency and to avoid dominating committee proceedings. 
Section 7b.6 has been modified to state that agency support for 
standards development activities is not to be contingent upon the 
outcome of the standards activity.
    (4) Section 6c has been modified to reflect the need for greater 
coordination among the federal agencies prior to their participation on 
technical committees. The material in Section 7c, which provides 
guidance on this subject, was formerly Sections 8b.2(a-e) and 8b.3. 
Some minor changes were made to ensure consistency in terminology. 
Section 9c has been added in order to make coordination of standards 
activities the explicit responsibility of the Standards Executive.
    (5) Section 7a.5 has been added to describe one way in which 
agencies may identify voluntary consensus standards.
    (6) Section 8 establishes procedures for reviewing existing 
voluntary consensus standards when issuing or revising a regulation or 
initiating a procurement. Such procedures provide for public notice and 
comment on proposed standards and require agencies to respond to public 
comment and to explain the final outcome.
    (7) Section 10a establishes requirements for reporting on 
exceptions to the use of voluntary consensus standards, as required by 
P.L. 104-113. The reporting requirements of Section 10b, although not 
required by statute, have been retained. The language has been modified 
to provide for coordination with the reporting requirements in Section 
10a.
    (8) Section 10 directs the National Institute of Standards and 
Technology to issue guidance to the agencies in order to promote the 
coordination of Federal, State, and local standards activities and 
conformity assessment activities with the private sector, as required 
by Section 12(b) of P.L. 104-113.
    Accordingly, OMB Circular A-119 is proposed to be revised as set 
forth below.
Sally Katzen,
Administrator, Office of Information and Regulatory Affairs.

To the Heads of Executive Departments and Establishments

Subject: Federal Participation in the Development and Use of Voluntary 
Consensus Standards and in Conformity Assessment Activities

    1. Purpose. This Circular establishes policy to be followed by 
agencies in working with voluntary consensus standards bodies and in 
using voluntary consensus standards, in accordance with Section 12(d) 
of the National Technology Transfer and Advancement Act (hereinafter 
cited as P.L. 104-113). It also implements reporting requirements for 
the use of voluntary consensus standards and addresses the role of the 
National Institute for Standards and Technology (NIST) in coordinating 
conformity assessment activities.
    2. Rescissions. This Circular supersedes OMB Circular No. A-119, 
dated October 20, 1993, which is rescinded.
    3. Background. Many standards that are developed by voluntary 
consensus standards bodies are appropriate or adaptable for the 
Government's purposes. The adoption of such standards, whenever 
practicable and appropriate, eliminates the cost to the Government of 
developing its own standards. At the same time, Government 
participation in standards-related activities provides incentives and 
opportunities to establish standards that serve national needs. 
Moreover, harmonization of standards promotes efficiency and economic 
competition, thus encouraging long-term growth for U.S. enterprises. 
Adoption of standards developed by voluntary consensus standards bodies 
also furthers the policy of reliance upon the private sector to supply 
Government needs for goods and services, as stated in OMB Circular No. 
A-76, ``Performance of Commercial Activities.''
    4. Applicability. This Circular applies to all agency participation 
in voluntary consensus standards activities, domestic and 
international, but not to activities carried out pursuant to treaties 
and international standardization agreements.
    5. Definitions. As used in this Circular:
    a. Agency means any executive department, independent commission, 
board, bureau, office, agency, Government-owned or controlled 
corporation or other establishment of the Federal Government, including 
any regulatory commission or board, except for independent regulatory 
commissions insofar as they are subject to separate statutory 
requirements regarding the use of voluntary consensus standards. It 
does not include the legislative or judicial branches of the Federal 
Government.
    b. Conformity assessment means any procedures used directly or 
indirectly to determine if relevant requirements in technical 
regulations or standards are fulfilled. The activities which are 
commonly termed ``conformity assessment'' include product testing, 
inspection and/or certification, including self-certification; 
accreditation of testing and calibration laboratories; and management 
system registration (for both quality and environment). Conformity 
assessment procedures include: sampling, testing and inspection, 
evaluation, verification and assurance of conformity, laboratory 
accreditation (for both testing and calibration), registration 
accreditation, and approval.

[[Page 68314]]

    c. Impractical, with respect to an agency's decision not to use an 
existing voluntary consensus standard, includes circumstances in which 
such use would demonstrably fail to serve the agency's program needs; 
would be infeasible; would be unnecessarily duplicative, inadequate, 
inefficient, or inconsistent with agency mission; or would impose more 
burdens, or would be less useful, than the use of another standard.
    d. Performance standard means a standard that states requirements 
in terms of required results with criteria for verifying compliance but 
without stating the methods for achieving required results. A 
performance standard defines the functional requirements for the item, 
the environment in which it must operate, and interface and 
interchangeability characteristics, while a design standard specifies 
design requirements, such as materials to be used, how a requirement is 
to be achieved, or how an item is to be fabricated or constructed. 
``Performance standard'' is a subset of ``standard'' as defined in 
section 5f. of this Circular.
    e. Secretary means the Secretary of Commerce or that Secretary's 
designee.
    f. Standard (or ``technical standard,'' as found in P.L. 104-113), 
as used in this Circular, means: (1) Common and repeated use of rules, 
conditions, guidelines or characteristics for products or related 
processes and production methods; (2) the definition of terms; 
classification of components; delineation of procedures; specification 
of dimensions, materials, performance, designs, or operations; 
measurement of quality and quantity in describing materials, products, 
systems, services, or practices; or descriptions of fit and 
measurements of size; (3) ``performance standard'' as defined above; or 
(4) ``non-government standard'', which is defined as a standardization 
document developed by a private sector association, organization or 
technical society which plans, develops, establishes or coordinates 
standards, specifications, handbooks, or related documents. The term 
does not include professional standards of personal conduct, 
institutional codes of ethics, or standards issued by individual 
companies. It also does not include standards created under other legal 
authority, such as those contained in the United States Pharmacopeia 
and the National Formulary, as referenced in 21 U.S.C. 351. A 
``Standard'' may also be a ``voluntary consensus standard,'' as defined 
below, or it may be what are commonly referred to as ``industry 
standards'' or ``de facto standards,'' which are developed by industry 
associations which do not always adhere to the full consensus process.
    g. Technical Standard, as used in this Circular, is synonymous with 
``standard.'' Examples of technical standards include, but are not 
limited to, size and strength specifications; technical performance 
criteria for a product, process, or material; test methods; procurement 
guidelines; sampling procedures; business practices; management 
systems; definitional standards; and installation safety codes.
    h. Use means (i) use of the latest edition of a standard in whole, 
in part, or by reference for procurement purposes, and (ii) the 
inclusion of the latest edition of a standard in whole, in part, or by 
reference in regulation(s).
    i. Voluntary consensus standards are standards developed or used by 
voluntary consensus standards bodies, both domestic and international, 
and which are made available in a manner which includes provisions 
requiring that owners of relevant intellectual property have agreed to 
make that intellectual property available on a non-discriminatory, 
royalty-free or reasonable royalty basis to all interested parties. A 
``Voluntary consensus standard'' may also be known in common usage as a 
``voluntary standard,'' a ``consensus standard,'' or a ``consensus 
technical standard.''
    j. Voluntary consensus standards bodies are domestic or 
international organizations which plan, develop, establish, or 
coordinate voluntary standards using agreed-upon procedures. For 
purposes of this Circular, ``voluntary, private sector, consensus 
standards bodies,'' as cited in P.L. 104-113, is an equivalent term. 
These bodies may include nonprofit organizations, industry 
associations, accredited standards developers, professional and 
technical societies, institutes, committees, task forces, or working 
groups. P.L. 104-113 and this Circular encourage the participation of 
government representatives in these bodies to increase the likelihood 
that the standards they develop will meet both public and private 
sector needs. A voluntary consensus standards body observes principles 
such as openness, balance of interest, and due process. Further, 
voluntary consensus standards bodies operate by consensus, which is 
defined as general agreement, characterized by the absence of sustained 
opposition to substantial issues by any important part of the concerned 
interests. Consensus requires that all views and objections be 
considered and that an effort be made toward their resolution.
    6. Use and Development of Voluntary Consensus Standards. a. 
Agencies shall use existing voluntary consensus standards, both 
domestic and international, in their regulatory and procurement 
activities as a means of carrying out policy objectives or activities 
determined by the agencies, unless use of such standards would be 
inconsistent with applicable law or otherwise impractical. Agencies 
shall use such voluntary consensus standards for test methods, 
procurement guidelines, management systems, sampling procedures, or 
protocols to determine whether established regulatory limits or targets 
have been met. This requirement does not preempt or restrict agencies' 
authorities and responsibilities to make regulatory decisions 
authorized by statute. Such regulatory authorities and responsibilities 
include determining the level of acceptable risk; setting the level of 
protection; and balancing risk, cost, and availability of technology in 
establishing regulatory standards. Agencies retain discretion to 
decline to use existing voluntary consensus standards if the agency 
determines that such standards are inconsistent with applicable law or 
otherwise impractical.
    b. Agencies shall consult with voluntary consensus standards bodies 
and shall participate with such bodies in their development and 
adoption of voluntary consensus standards when, in the determination of 
the agencies, participation is in the public interest and is compatible 
with their missions, authorities, priorities, and budget resources. 
Agency representatives shall refrain from actively participating in 
voluntary consensus standards bodies or their committees when 
involvement does not relate to the mission of the agency. In all cases, 
agency representatives shall ensure that the agency's influence does 
not dominate proceedings.
    c. Agencies shall coordinate their participation in voluntary 
consensus standards bodies so that: (1) The most effective use is made 
of agency resources and representatives; (2) the views expressed by 
such representatives are in the public interest and, at a minimum, do 
not conflict with the interests and established views of the agencies; 
(3) the positions among agencies serving on the same technical 
committees are consistent with administration policy; and (4) agency 
technical and policy positions are clearly defined and known in advance 
to all federal participants on a given committee.
    7. Guidelines. In implementing the policy established by this 
Circular,

[[Page 68315]]

agencies should recognize the positive contribution of standards 
development and related activities. When properly conducted, standards 
development can increase productivity and efficiency in Government and 
industry, expand opportunities for international trade, conserve 
resources, improve health and safety, and protect the environment. It 
also must be recognized, however, that these activities, if improperly 
conducted, can suppress free and fair competition; impede innovation 
and technical progress; exclude safer and less expensive products; or 
otherwise adversely affect trade, commerce, health, or safety. Full 
account in carrying out this policy shall be taken of the impact on the 
economy, applicable Federal laws, policies, and national objectives, 
including, for example, laws and regulations relating to antitrust, 
national security, small business, product safety, environment, 
metrication, technological development, and conflicts of interest. The 
following guidelines are provided to assist and govern the agencies' 
use of, and participation in the development and adoption of, voluntary 
consensus standards.
    a. Use of Voluntary Consensus Standards. (1) In the interests of 
promoting trade and implementing the provisions of the Agreement on 
Technical Barriers to Trade and the Agreement on Government Procurement 
(commonly referred to as the Technical Barriers to Trade (TBT) 
Agreement and the ``Procurement Code,'' respectively) of the World 
Trade Organization, international standards (standards developed and/or 
adopted by international voluntary consensus standards bodies) should 
be considered in procurement and regulatory applications.
    (2) In using voluntary consensus standards, preference should be 
given to standards based on performance criteria when such criteria may 
reasonably be used in lieu of design, material, or construction 
criteria.
    (3) Voluntary consensus standards used by agencies should be 
referenced, along with their dates of issuance and sources of 
availability, in appropriate publications, regulatory orders, and 
related in-house documents. Such use should take into account the 
rights of copyright holders and other similar obligations.
    (4) Agencies should not be inhibited from developing and using 
government standards in the event that voluntary consensus standards 
bodies cannot or do not develop a needed, acceptable standard in a 
timely fashion. Nor should this Circular be construed as committing any 
agency to the use of a voluntary consensus standard which, after due 
consideration, is determined by the agency to be inconsistent with 
applicable law or otherwise impractical.
    (5) Voluntary consensus standards may be identified through 
databases of standards maintained by the National Institute of 
Standards and Technology (NIST) or by voluntary consensus standards 
bodies.
    b. Participation in Voluntary Consensus Standards Bodies. (1) 
Participation by knowledgeable agency employees in the standards 
activities of voluntary consensus standards bodies, both domestic and 
international, should be actively encouraged and promoted by agency 
officials when consistent with P.L. 104-113 and this Circular.
    (2) Agency employees who participate in standards activities of 
voluntary consensus standards bodies shall do so as specifically 
authorized agency representatives. Agency representatives shall refrain 
from actively participating in standards development committees when 
involvement in such committees does not relate to the mission of the 
agency. Agency participation in voluntary consensus standards bodies 
does not necessarily connote agency agreement with, or endorsement of, 
decisions reached by such organizations.
    (3) Agency representatives shall participate in such bodies' 
development of voluntary consensus standards that:
    (i) Will eliminate the necessity for development or maintenance of 
separate Government standards; and
    (ii) Will further such national goals and objectives as increased 
use of the metric system of measurement; environmentally sound and 
energy efficient materials, products, systems, services, or practices; 
and public health and safety.
    (4) Agency representatives serving as members of voluntary 
consensus standards bodies should participate actively and on an equal 
basis with other members. In doing so, agency representatives should 
not seek to dominate such groups. Active participation includes full 
involvement in discussions and technical debates, registering of 
opinions and, if selected, serving as chairpersons or in other official 
capacities. Agency representatives may vote, in accordance with the 
procedures of the voluntary consensus standards body, at each stage of 
standards development unless prohibited from doing so by law or their 
agencies.
    (5) The number of individual agency participants in a given 
voluntary standards activity should be kept to the minimum required for 
effective presentation of the various program, technical, or other 
concerns of Federal agencies.
    (6) Agency support provided to a voluntary consensus standards 
activity shall be limited to that which is clearly in furtherance of an 
agency's mission and responsibility. Agency support shall not be 
contingent upon the outcome of the standards activity. Normally, the 
total amount of Federal support should be no greater than that of all 
other participants in that activity, except when it is in the direct 
and predominant interest of the Government to develop or revise a 
standard and its development or revision appears unlikely in the 
absence of such support. The form of agency support, subject to legal 
and budgetary authority, and availability of funds, may include:
    (i) Direct financial support; e.g., grants, sustaining memberships, 
and contracts;
    (ii) Administrative support; e.g., travel costs, hosting of 
meetings, and secretarial functions;
    (iii) Technical support; e.g., cooperative testing for standards 
evaluation and participation of agency personnel in the activities of 
voluntary consensus standards bodies;
    (iv) Joint planning with voluntary consensus standards bodies to 
facilitate a coordinated effort in identifying and developing needed 
standards; and
    (v) Participation of agency personnel.
    (7) Participation by agency representatives in the policy-making 
processes of voluntary consensus standards bodies, in accordance with 
the procedures of those bodies, is encouraged--particularly in matters 
such as establishing priorities, developing procedures for preparing, 
reviewing, and approving standards, and developing or adopting new 
standards. In order to maintain the independence of such organizations, 
however, agency representatives should refrain from involvement in the 
internal management of such organizations (e.g., selection of salaried 
officers and employees, establishment of staff salaries and 
administrative policies).
    (8) This Circular does not provide guidance concerning the internal 
operating procedures that may be applicable to voluntary consensus 
standards bodies because of their relationships to agencies under this 
Circular. Agencies should, however, carefully consider what laws or 
rules may apply in a particular instance because of these 
relationships. For example, these relationships may involve the Federal 
Advisory Committee Act, as amended (5 U.S.C. App. I), or a

[[Page 68316]]

provision of an authorizing statute for a particular agency.
    c. Coordination of participation in voluntary consensus standards 
bodies and standards activities. Agency Standards Executives, 
designated under section 9c., shall coordinate agency participation in 
voluntary consensus standards bodies. This coordination shall include, 
but need not be limited to:
    (1) Establishing procedures to ensure that agency representatives 
participating in voluntary consensus standards bodies will, to the 
extent possible, ascertain the views of the agency on matters of 
paramount interest and will, at a minimum, express views that are not 
inconsistent or in conflict with established agency views; and will, to 
the extent possible, ensure that the agency's participation in 
voluntary consensus standards bodies is consistent with agency 
missions.
    (2) Ensuring, when two or more agencies participate in a given 
voluntary consensus standards body, that they coordinate their views on 
matters of paramount importance so as to present, whenever feasible, a 
single, unified position and, where not feasible, a mutual recognition 
of differences;
    (3) Cooperating with the Secretary in carrying out his/her 
responsibilities under this Circular;
    (4) Consulting with the Secretary, as necessary, in the development 
and issuance of internal agency procedures and guidance implementing 
this Circular, including the development and harmonized implementation 
of an agency-wide directory identifying agency employees participating 
in standards developing groups;
    (5) Submitting, as described in section 10, in response to the 
request of the Secretary, a report on exceptions to the use of existing 
voluntary consensus standards and a report on the status of agency 
standards policy activities; and
    (6) Reviewing their existing standards within five years of 
issuance of this Circular, and at least once every five years 
thereafter, and replacing through applicable procedures those for which 
an adequate and appropriate voluntary consensus standard can be 
substituted.
    8. Procedures. a. When issuing or revising a regulation, agencies 
shall review for use existing voluntary consensus standards. Such 
review shall include:
    (1) A request for comment within the preamble of a Notice of 
Proposed Rulemaking (NPRM). Such request shall provide:
    (i) When an existing voluntary consensus standard is being proposed 
for use, a statement which identifies such standard, as well as the 
identity of any alternative voluntary consensus standards which may 
have been identified and/or considered, and an explanation of why the 
proposed standard should be used;
    (ii) When the agency has determined to not propose for use an 
existing voluntary consensus standard, a statement which identifies 
such standard, provides a preliminary explanation for why such standard 
would not be used, and invites the public to comment and to explain why 
such standard or an alternative voluntary consensus standard should be 
used; or
    (iii) When no existing voluntary consensus standard has been 
identified, a statement which invites the public to identify such 
voluntary consensus standards and to explain why such standard should 
be used; and
    (2) A discussion in the preamble of a Final Rulemaking that 
restates the discussion in the proposed rule, acknowledges and 
summarizes any comments received and responds to them, and explains the 
agency's final decision. The final rule shall provide:
    (i) When an existing voluntary consensus standard is being used, a 
statement that identifies such standard and any alternative voluntary 
consensus standards which have been identified;
    (ii) When an existing voluntary consensus standard is not being 
used, a statement that identifies such standard and explains why such 
use would be inconsistent with applicable law or otherwise impractical; 
or
    (iii) When no existing voluntary consensus standard has been 
identified, a statement to that effect.
    (b) When initiating a procurement, agencies shall consider using 
existing voluntary consensus standards. (1) Where the solicitation is 
for products that incorporate government-unique standards, the 
solicitation shall include a statement which identifies the standards 
to be used and provides offerors an opportunity to suggest alternatives 
in the nature of existing voluntary consensus standards that meet the 
government's requirements. Where such suggestions are made and do not 
result in a replacement of government-unique standards by existing 
voluntary consensus standards, the agency shall explain why such use is 
inconsistent with law or otherwise impractical.
    (2) Where the solicitation is for commercial, off-the-shelf 
products, or for products that rely on existing voluntary consensus 
standards, or for products that do not rely on government-unique 
standards, the requirement in subsection (1) above shall not apply.
    9. Responsibilities. a. The Secretary shall:
    (1) Coordinate and foster executive branch implementation of this 
Circular and may provide administrative guidance to assist agencies in 
implementing this Circular;
    (2) Continue the Interagency Committee on Standards Policy (ICSP), 
chaired by the National Institute of Standards and Technology (NIST), 
in order to consider their views and to advise the Secretary and agency 
heads in the Circular;
    (3) As described in section 10, report to the Office of Management 
and Budget (OMB), with the assistance of NIST, concerning 
implementation of the policy provisions of this Circular; and
    (4) Establish procedures for agencies to use when developing 
directories described in paragraph 7c(4) and establish procedures to 
make these directories available to the public.
    b. Heads of Agencies shall:
    (1) Implement section 6 of this Circular in accordance with the 
guidelines in section 7 and the procedures in section 8;
    (2) In the case of an agency with significant interest in the use 
of standards, designate a senior level official as the Standards 
Executive who shall be responsible for agency-wide implementation of 
this Circular and who shall represent the agency on the ICSP.
    c. The Standards Executive's responsibilities shall include, but 
not be limited to, those described in section 7c.
    10. Reporting Requirements. a. Agency Reports on exceptions to use 
of existing voluntary consensus standards. As required by P.L. 104-113, 
beginning for fiscal year 1997 and every fiscal year thereafter, 
agencies shall report to OMB, through NIST, no later than December 31 
of the following fiscal year, any decisions by the agency during that 
fiscal year to use a government-unique standard in lieu of an existing 
voluntary consensus standard, along with an explanation of the 
reason(s) why use of such standard would be inconsistent with 
applicable law or otherwise impractical, as described in sections 
8a.(2)(ii) and 8b.(1) of this Circular.
    b. Agency Reports on Standards Policy Activities. To assist OMB in 
its reporting to Congress, beginning for fiscal year 1996 and every 
fiscal year thereafter, agencies shall submit information to OMB, 
through NIST, on the status of agency interaction with voluntary 
consensus standards bodies, no later than December 31 of the following 
fiscal year. Such reporting

[[Page 68317]]

shall include the nature and extent of agency participation in the 
development and use of voluntary consensus standards, including:
    (1) The number of voluntary consensus standards bodies in which 
there is agency participation;
    (2) The number of voluntary consensus standards the agency has used 
since the last report which have come about as a result of the 
requirements set forth in sections 8a. and 8b. of this Circular;
    (3) Identification of voluntary consensus standards that have been 
substituted for other standards as a result of an agency review under 
paragraph 7c(6) of this Circular;
    (4) An evaluation of the effectiveness of the guidelines in section 
7 and recommendations for any changes; and
    c. No later than January 31 of the following fiscal year, NIST 
shall transmit to OMB such explanations as are received under section 
10a. and a summary report of the information received under section 
10b.
    10. Conformity Assessment. Section 12(b) of P.L. 104-113 requires 
NIST to coordinate Federal, State, and local standards activities and 
conformity assessment activities with private sector standards 
activities and conformity assessment activities, with the goal of 
eliminating unnecessary duplication and complexity in the development 
and promulgation of conformity assessment requirements and measures. To 
ensure effective coordination, NIST shall issue guidance to the 
agencies.
    11. Policy Review. This Circular shall be reviewed for 
effectiveness by the OMB three years from the date of issuance.
    12. Inquiries. For information concerning this Circular, contact 
the Office of Management and Budget, Office of Information and 
Regulatory Affairs: Telephone 202/395-3785.

[FR Doc. 96-32917 Filed 12-26-96; 8:45 am]
BILLING CODE 3110-01-P