[Federal Register Volume 62, Number 23 (Tuesday, February 4, 1997)]
[Rules and Regulations]
[Pages 5166-5167]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-2626]



48 CFR Part 570

[APD 2800.12A, CHGE 74]
RIN 3090-AF92

General Services Administration Acquisition Regulation; 
Acquisition of Leasehold Interests in Real Property

AGENCY: Office of Acquisition Policy. GSA.

ACTION: Interim rule adopted as final.


SUMMARY: The General Services Administration Acquisition Regulation 
(GSAR) interim rule published at 61 FR 2470, May 16, 1996, is converted 
to a final rule with changes. The interim rule is amended to revise 
section 570.106 to reflect changes made as a result of public comments. 
Section 570.303 of the interim rule is adopted as final without change. 
The interim rule published at 61 FR 2470, May 16, 1996, authorized the 
use of design-build select procedures in Section 303M of the Federal 
Property and Administrative Services Act of 1949, as amended by Public 
Law 104-106, February 10, 1996, for lease construction projects.

EFFECTIVE DATE: February 10, 1997.

FOR FURTHER INFORMATION CONTACT: Tom Wisnowski, GSA Acquisition Policy 
Division, (202) 501-1224.


A. Public Comments

    Comments on the interim rule published on May 16, 1996, (61 FR 
24720) were submitted by the Council on Federal Procurement of 
Architectural and Engineering Services (COFPAES). COFPAES recommended 
revision of section 570.106(c) to more closely reflect statutory 
language, including circumstances for use of two-phase design-build 
procedures and specification of all criteria to be considered by the 
contracting officer. This revision has been incorporated in the final 

B. Executive Order 12866

    This rule is not a significant rule as defined in Executive Order 

C. Regulatory Flexibility Act

    The GSA certifies that this final rule will not have a significant 
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 
will apply to a very small number of leases per year (less than 25) and 
the rule simplifies procedures and reduces the cost of competing in the 
initial phases of a procurement.

D. Paperwork Reduction Act

    The Paperwork Reduction Act does not apply because the changes to 
the GSAR do not impose recordkeeping or information collection 
requirements, or otherwise collect information from offerors, 
contractors or members of the public that require approval of the 
Office of Management and Budget under 44 U.S.C. 3501, et seq.

E. Small Business Regulatory Enforcement Fairness Act of 1996

    This rule is not a major rule under 5 U.S.C. 804. This rule was 
submitted to Congress and GAO under 5 U.S.C. 804.

List of Subjects in 48 CFR Part 570

    Government procurement.

    Accordingly, the interim rule amending 48 CFR Part 570 which was 
published at 61 FR 24720 on May 16, 1996, is adopted as a final rule 
with the following changes:


    1. The authority citation for 48 CFR 570-continues to read as 

    Authority: 40 U.S.C. 486(c).

    2. Section 570.106 is amended by revising paragraphs (c), (c)(1), 
(c)(2), and (c)(3) to read as follows:

570.106  Methods of contracting

* * * * *
    (c) Unless another acquisition procedure authorized by law is used, 
the design-build selection procedures in section 303M of the Federal 

[[Page 5167]]

and Administrative Services Act of 1949, as amended, shall be used for 
lease construction projects, including projects with options to 
purchase the real property leased. The design-build selection 
procedures in section 303M shall be used when the lease involves the 
design and construction of a public building, facility or work for 
lease to the Government when the contracting officer determines that 
this method is appropriate, based on the following:
    (1) Three or more offers are anticipated;
    (2) A substantial amount of design work will be performed by 
offerors, that may result in offerors incurring substantial expenses in 
preparing offers; and
    (3) Criteria, such as the following, have been considered:
    (i) The extent to which the project requirements have been 
adequately defined;
    (ii) The time constraints for delivery of the project;
    (iii) The capability and experience of potential contractors;
    (iv) The suitability of the project for use of the two-phase 
selection procedures;
    (v) The capability of the agency to manage the two-phase selection 
process; and
    (vi) Other criteria established by the head of the contracting 

    Dated: January 27, 1997.
Ida M. Ustad,
Deputy Associate Administrator, Office of Acquisition Policy.
[FR Doc. 97-2626 Filed 2-3-97; 8:45 am]