[Federal Register Volume 64, Number 184 (Thursday, September 23, 1999)]
[Proposed Rules]
[Pages 51656-51661]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-24685]



[[Page 51655]]

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Part III





Department of Defense





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General Services Administration





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National Aeronautics and Space Administration





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48 CFR Parts 2 and 4, et al.



Federal Acquisition Regulation; Requirements Supporting Procurement of 
Recycled Products and Environmentally Preferable Services; Proposed 
Rule

  Federal Register / Vol. 64, No. 184 / Thursday, September 23, 1999 / 
Proposed Rules  

[[Page 51656]]



DEPARTMENT OF DEFENSE

GENERAL SERVICES ADMINISTRATION

NATIONAL AERONAUTICS AND SPACE ADMINISTRATION

48 CFR Parts 2, 4, 7, 11, 13, 23, and 52

[FAR Case 98-015]
RIN 9000-AI49


Federal Acquisition Regulation; Requirements Supporting 
Procurement of Recycled Products and Environmentally Preferable 
Services

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 (Councils) are proposing to amend the 
Federal Acquisition Regulation (FAR) to implement Executive Order 
(E.O.) 13101 dated September 14, 1998, Greening the Government through 
Waste Prevention, Recycling, and Federal Acquisition. The amendments 
also would reorganize and revise existing FAR text. FAR changes to 
implement E.O. 13123 dated June 3, 1999, Greening the Government 
through Efficient Energy Management, are the subject of a separate FAR 
case.

DATES: Interested parties should submit comments to the FAR Secretariat 
at the address shown below on or before November 22, 1999 to be 
considered in the formulation of a final rule.

ADDRESSES: Interested parties should submit written comments to: 
General Services Administration, FAR Secretariat (MVRS), 1800 F Street, 
NW, Room 4035, ATTN: Laurie Duarte, Washington, DC 20405. Address e-
mail comments submitted via the Internet to: [email protected]. 
Please submit comments only and cite FAR case 98-015 in all 
correspondence related to this case.

FOR FURTHER INFORMATION CONTACT: The FAR Secretariat, Room 4035, GS 
Building, Washington, DC, 20405, at (202) 501-4755 for information 
pertaining to status or publication schedules. For clarification of 
content, contact Mr. Paul Linfield, Procurement Analyst, at (202) 501-
1757. Please cite FAR case 98-015.

SUPPLEMENTARY INFORMATION:

A. Background

    This proposed rule amends the FAR to implement E.O. 13101. The 
proposed rule amends FAR Subpart 2.1 to add definitions of terms used 
in the FAR to implement environmental policies. In most cases, these 
terms previously were defined in FAR Part 23, Environment, 
Conservation, Occupational Safety, and Drug-Free Workplace. These terms 
are used in other FAR parts. The relocation of these definitions to 
Subpart 2.1 should make them easier to find and is intended to 
facilitate understanding the FAR when the terms are used in these other 
FAR parts. Other amendments include--
    1. Reorganizing and revising Subpart 4.3;
    2. Revising Subpart 7.1 to emphasize requirements in the E.O. that 
agency requirements for printing and writing paper must meet minimum 
content standards specified in section 505 of E.O. 13101;
    3. Removing the definition of ``recovered material'' from Part 11, 
since it is the same as the definition relocated to Subpart 2.1 and 
making editorial changes;
    4. Revising Subpart 11.3 to add definitions and special 
requirements that the E.O. and Environmental Protection Agency (EPA) 
use to implement policies concerning minimum content standards for 
agency purchases of printing and writing paper; and
    5. Clarifying the application to purchases at or below the micro-
purchase threshold ($2,500) of statutory requirements for buying 
products containing recovered material.
    Furthermore, the proposed rule rewrites Subparts 23.4 and 23.7. 
While this rewrite does not change fundamental environmental policies, 
the intent is to describe the policies and procedures in a more easily 
understood manner, substitute reference to E.O. 13101 and remove 
reference to the revoked E.O. 12873, and define ``biobased product,'' a 
term defined in E.O. 13101. The proposed rule also contains a new 
reference to an electronic address that provides Internet access to EPA 
policy and requirements for acquiring products containing recovered 
material. Finally, the rule revises the prescriptions for using clauses 
prescribed in Subparts 4.3, 23.4, and 23.7 and the text of the clauses 
implementing statutory requirements of the Resource Conservation 
Recovery Act and requirements in E.O. 13101.
    This rule was not subject to Office of Management and Budget review 
under Section 6(b) of Executive Order 12866, Regulatory Planning and 
Review, dated September 30, 1993. This rule is not a major rule under 5 
U.S.C. 804.

B. Regulatory Flexibility Act

    This proposed rule may 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 
amends two clauses and their applicability to small business concerns. 
Small business concerns must certify minimum recovered materials 
content for EPA-designated products when the percentage can be 
verified. In addition, the rule will require small business concerns 
that are awarded contracts for support services at Government-owned or 
-operated facilities to comply with requirements of E.O. 13101 and 
develop programs promoting and implementing cost-effective waste 
reduction and affirmative procurement programs for EPA-designated 
products. Therefore, the Councils performed an Initial Regulatory 
Flexibility Analysis (IRFA), and it is summarized as follows:

    The objective of this rule is to expand markets for products 
that contain recovered material and to improve the Government's use 
of products containing recovered material or environmentally 
preferable products and services. The Resource Conservation Recovery 
Act (RCRA) defines a ``procuring agency'' as ``any Federal agency, 
or any State agency or agency of a political subdivision of a State 
which is using appropriated Federal funds for such procurement, or 
any person contracting with any such agency with respect to work 
performed under such contract.'' RCRA applies to both large and 
small businesses. RCRA's requirements for Federal procurement apply 
to all purchases of an EPA-designated product after the Federal 
agency purchases more than $10,000 of the product or functionally 
equivalent products in a fiscal year. However, certain statutory 
reporting requirements only apply to acquisitions exceeding 
$100,000.
    The proposed revision to FAR 52.223-9 removes the requirement 
that a contractor provide at contract completion a certification of 
minimum recovered material content actually utilized in contract 
performance, except when the contracting officer believes the 
percentage can be verified. We estimate that this reduced reporting 
requirement will affect approximately 35,000 small entities that 
perform contracts that utilize recovered materials.
    Section 701 of E.O. 13101 requires that agency contracts for 
contractor operation of a Government-owned or -leased facility and 
contracts for support services at a Government-owned or -leased 
facility include provisions obligating the contractor to comply with 
requirements of the order. Compliance includes developing programs 
to promote and implement cost-effective waste reduction and 
affirmative procurement

[[Page 51657]]

programs required by RCRA. In fiscal year 1998, we estimate that 
Federal agencies awarded approximately 1,000 contracts to small 
entities for support services that would be covered by the 
requirements in section 701 of E.O. 13101.

    The FAR Secretariat has submitted a copy of the IRFA to the Chief 
Counsel for Advocacy of the Small Business Administration. Interested 
parties may obtain a copy from the FAR Secretariat. The Councils invite 
comments from small businesses and other interested parties. The 
Councils will consider comments from small entities concerning the 
affected FAR subparts in accordance with 5 U.S.C. 610. Interested 
parties must submit such comments and should cite 5 U.S.C. 601, et seq. 
(FAR Case 98-015), in correspondence.

C. Paperwork Reduction Act

    The Paperwork Reduction Act (Pub. L. 104-13) applies because the 
proposed changes to the FAR reduce information collection requirements 
that have been approved by the Office of Management and Budget (OMB) 
under OMB Control Number 9000-0134. The annual reporting burden for OMB 
Control Number 9000-0134 is estimated to apply to 64,350 respondents 
and the preparation time is estimated at .5 hours per response for a 
total burden hour of 32,175 hours. We estimate that removal of the 
certification requirement will affect more than one-half of the 
respondents and reduce preparation time for those respondents by one-
third.
    Annual Reporting Burden: We estimate the revised total burden hours 
as follows:
    Respondents: 64,350;
    Responses per respondent: 1;
    Total annual responses: 64,350;
    Preparation hours per response: 25 minutes;
    Total response burden hours: 26,800.

D. Request for Comments Regarding Paperwork Burden

    We invite interested parties to comment on the information 
collection requirements set forth above. Please send comments to: 
Office of Information and Regulatory Affairs, Office of Management and 
Budget, Attn: Mr. Peter N. Weiss, FAR Desk Officer, New Executive 
Office Building, Room 10102, 725 17th Street, NW, Washington, DC 20503.
    Also send a copy of any comments to the FAR Secretariat at the 
address shown under ADDRESSES. Please cite the OMB Clearance Number 
9000-0134 in all correspondence related to the estimate.

List of Subjects in 48 CFR Parts 2, 4, 7, 11, 13, 23, and 52

    Government procurement.

    Dated: September 17, 1999.
Edward C. Loeb,
Director, Federal Acquisition Policy Division.
    Therefore, DoD, GSA, and NASA propose that 48 CFR parts 2, 4, 7, 
11, 13, 23, and 52 be amended as set forth below:
    1. The authority citation for 48 CFR parts 2, 4, 7, 11, 13, 23, and 
52 continues to read as follows:

    Authority: 40 U.S.C. 486(c); 10 U.S.C. chapter 137; and 42 
U.S.C. 2473(c).

PART 2--DEFINITIONS OF WORDS AND TERMS

    2. Amend section 2.101 by adding, in alphabetical order, the 
definitions ``Energy-efficient product'', ``Environmentally 
preferable'', ``Pollution prevention'', ``Recovered material'', 
``Virgin material'', and ``Waste reduction'' to read as follows:


2.101   Definitions.

* * * * *
    Energy-efficient product means a product in the upper 25 percent of 
efficiency for all similar products or if there are applicable Federal 
appliance or equipment efficiency standards, a product that is at least 
10 percent more efficient than the minimum Federal standard.
    Environmentally preferable means products or services that have a 
lesser or reduced negative effect on human health and the environment 
when compared with competing products or services that serve the same 
purpose. This comparison may consider raw materials acquisition, 
production, manufacturing, packaging, distribution, reuse, operation, 
maintenance, or disposal of the product or service.
* * * * *
    Pollution prevention means any practice that
    (1) Reduces the amount of any hazardous substance, pollutant, or 
contaminant entering any waste stream or otherwise released into the 
environment (including fugitive emissions) prior to recycling, 
treatment, or disposal, and reduces the hazards to public health and 
the environment associated with the release of such substances, 
pollutants, and contaminants;
    (2) Reduces or eliminates the creation of pollutants through 
increased efficiency in the use of raw materials, energy, water, or 
other resources; or
    (3) Protects natural resources by conservation.
* * * * *
    Recovered material means waste materials and by-products recovered 
or diverted from solid waste, but the term does not include those 
materials and by-products generated from, and commonly reused within, 
an original manufacturing process. For use in subpart 11.3 for paper 
and paper products, see the definition at 11.301.
* * * * *
    Virgin material means previously unused raw material, including 
previously unused copper, aluminum, lead, zinc, iron, other metal or 
metal ore, or any undeveloped resource that is, or with new technology 
will become, a source of raw materials.
    Waste reduction means preventing or decreasing the amount of waste 
being generated through waste prevention, recycling, or purchasing 
recycled and environmentally preferable products.

PART 4--ADMINISTRATIVE MATTERS

    3. Amend Subpart 4.3 by removing section 4.301 and redesignating 
sections 4.302 through 4.304 as sections 4.301 through 4.303, 
respectively; and by revising the newly designated sections to read as 
follows:

Subpart 4.3--Paper Documents

* * * * *


4.301   Definition.

    Printed or copied double-sided, as used in this subpart, means 
printing or reproducing a document so that information is on both sides 
of a sheet of paper.


4.302   Policy.

    It is the policy of the Government that, when electronic commerce 
methods (see 4.502) are not being used, a contractor should submit 
paper documents to the Government relating to an acquisition printed or 
copied double-sided on recycled paper whenever practicable. If the 
contractor cannot print or copy double-sided, it should print or copy 
single-sided on recycled paper.


4.303   Contract clause.

    Insert the clause at 52.204-4, Printed or Copied Double-Sided on 
Recycled Paper, in solicitations and contracts that exceed the 
simplified acquisition threshold.

PART 7--ACQUISITION PLANNING

    4. Amend section 7.103 by revising paragraph (n) to read as 
follows:

[[Page 51658]]

7.103  Agency-head responsibilities.

* * * * *
    (n) Ensuring that agency planners--
    (1) Specify needs for printing and writing paper consistent with 
the minimum content standards specified in section 505 of Executive 
Order 13101 of September 14, 1998, Greening the Government through 
Waste Prevention, Recycling, and Federal Acquisition (see 11.303); and
    (2) Comply with the policy in 11.002(d) regarding procurement of 
products containing recovered materials and environmentally preferable 
and energy-efficient products and services.
* * * * *

PART 11--DESCRIBING AGENCY NEEDS


11.001  [Amended]

    5. Amend section 11.001 by removing the definitions ``Recovered 
material'' and ``Virgin material.''
    6. Amend section 11.002 by revising paragraph (d) to read as 
follows:


11.002  Policy.

* * * * *
    (d) The Resource Conservation and Recovery Act of 1976 (42 U.S.C. 
6901, et seq.), Executive Order 12902 of March 8, 1994, Energy 
Efficiency and Water Conservation at Federal Facilities, and Executive 
Order 13101 of September 14, 1998, Greening the Government through 
Waste Prevention, Recycling, and Federal Acquisition, establish 
requirements for the procurement of products containing recovered 
materials, and environmentally preferable and energy-efficient products 
and services. Executive agencies must consider use of recovered 
materials, environmentally preferable purchasing criteria developed by 
the EPA, and environmental objectives (see 23.704(b)) when--
    (1) Developing, reviewing, or revising Federal and military 
specifications, product descriptions including commercial item 
descriptions) and standards;
    (2) Describing Government requirements for supplies and services; 
and
    (3) Developing source selection factors.
* * * * *
    7. Revise Subpart 11.3 to read as follows:

Subpart 11.3--Acceptable Material

Sec.
11.301  Definitions.
11.302  Policy.
11.303  Special requirements for printing and writing paper.
11.304  Contract clause.


11.301  Definitions.

    As used in this subpart--
    Postconsumer material means a material or finished product that has 
served its intended use and has been discarded for disposal or 
recovery, having completed its life as a consumer item. Postconsumer 
material is a part of the broader category of ``recovered material.'' 
For paper and paper products, postconsumer material means 
``postconsumer fiber'' defined by the U.S. Environmental Protection 
Agency (EPA) as--
    (1) Paper, paperboard, and fibrous materials from retail stores, 
office buildings, homes, and so forth, after they have passed through 
their end-usage as a consumer item, including: used corrugated boxes; 
old newspapers; old magazines; mixed waste paper; tabulating cards; and 
used cordage;
    (2) All paper, paperboard, and fibrous materials that enter and are 
collected from municipal solid waste; and
    (3) Postconsumer fiber does not include fiber derived from 
printers' over-runs, converters' scrap, and over-issue publications.
    Recovered material for paper and paper products, is defined by EPA 
in its Comprehensive Procurement Guideline as ``recovered fiber'' and 
means the following materials:
    (1) Postconsumer fiber.
    (2) Manufacturing wastes such as--
    (i) Dry paper and paperboard waste generated after completion of 
the papermaking process (that is, those manufacturing operations up to 
and including the cutting and trimming of the paper machine reel into 
smaller rolls or rough sheets) including: envelope cuttings, bindery 
trimmings, and other paper and paperboard waste resulting from 
printing, cutting, forming, and other converting operations; bag, box, 
and carton manufacturing wastes; and butt rolls, mill wrappers, and 
rejected unused stock; and
    (ii) Repulped finished paper and paperboard from obsolete 
inventories of paper and paperboard manufacturers, merchants, 
wholesalers, dealers, printers, converters, or others.


11.302  Policy.

    (a) Agencies must not require virgin material or supplies composed 
of or manufactured using virgin material unless compelled by law or 
regulation or unless virgin material is vital for safety or meeting 
performance requirements of the contract.
    (b) Except when acquiring commercial items, agencies must require 
offerors to identify used, reconditioned, or remanufactured supplies, 
or unused former Government surplus property, proposed for use under 
the contract. These supplies or property may not be used in contract 
performance unless authorized by the contracting officer.
    (c) The contracting officer may require offerors to--
    (1) Provide information on used, reconditioned, or remanufactured 
supplies, or unused former Government surplus property, proposed for 
use under the contract; or
    (2) Meet minimum recovered material standards stated in the 
solicitation. Information requested on recovered material standards 
specified in a solicitation, to the maximum practicable extent, must be 
limited to information or standards consistent with normal commercial 
practices.


11.303  Special requirements for printing and writing paper.

    (a) Section 505 of Executive Order 13101, Greening the Government 
through Waste Prevention, Recycling, and Federal Acquisition, 
establishes minimum recovered material content standards for agency 
purchases of printing and writing paper. Section 505 requires that 100 
percent of an agency's purchases of printing and writing paper must 
meet or exceed one of the minimum content standards specified in 
paragraph (b) of this section.
    (b) For high-speed copier paper, offset paper, forms bond, computer 
printout paper, carbonless paper, file folders, white wove envelopes, 
writing and office paper, book paper, cotton fiber paper, and cover 
stock, the minimum content standard must be no less than 30 percent 
postconsumer materials. If paper containing 30 percent postconsumer 
material is not reasonably available, does not meet reasonable 
performance requirements, or is only available at an unreasonable 
price, then the agency must purchase paper containing no less than 20 
percent postconsumer material.


11.304  Contract clause.

    Insert the clause at 52.211-5, Material Requirements, in 
solicitations and contracts for supplies that are not commercial items.

PART 13--SIMPLIFIED ACQUISITION PROCEDURES

    8. Amend section 13.006 by revising paragraph (g) to read as 
follows:


13.006  Inapplicable provisions and clauses.

* * * * *

[[Page 51659]]

    (g) 52.223-9, Estimate of Percentage of Recovered Material Content 
for EPA-Designated Products.
    9. Amend section 13.201 by adding paragraph (f) to read as follows:


13.201  General.

* * * * *
    (f) The procurement requirements in the Resource Conservation 
Recovery Act (42 U.S.C. 6962) and Executive Order 13101 of September 
14, 1998, Greening the Government through Waste Prevention, Recycling, 
and Federal Acquisition, apply to purchases at or below the micro-
purchase threshold (see subpart 23.4).

PART 23--ENVIRONMENT, CONSERVATION, OCCUPATIONAL SAFETY, AND DRUG-
FREE WORKPLACE

    10. Revise section 23.400 to read as follows:


23.400  Scope of subpart.

    This subpart prescribes policies and procedures for acquiring 
Environmental Protection Agency (EPA)-designated products through 
affirmative procurement programs required by the Resource Conservation 
and Recovery Act of 1976 (RCRA) (42 U.S.C. 6962) and Executive Order 
13101 of September 14, 1998, Greening the Government through Waste 
Prevention, Recycling, and Federal Acquisition.


23.401  [23.402 revised]

    11. Revise 23.402 to read as follows:


23.402  Authorities.

    (a) The Resource Conservation and Recovery Act of 1976 (RCRA), 42 
U.S.C. 6962, requires agencies responsible for drafting or reviewing 
specifications used in agency acquisitions to--
    (1) Eliminate from those specifications any requirement excluding 
the use of recovered materials or requiring products to be manufactured 
from virgin materials; and
    (2) Require, for EPA-designated products, using recovered materials 
to the maximum extent practicable without jeopardizing the intended end 
use of the item.
    (b) RCRA also requires--
    (1) EPA to prepare guidelines on the availability, sources, and 
potential uses of recovered materials and associated products, 
including solid waste management services; and
    (2) Agencies to develop and implement affirmative procurement 
programs for EPA-designated products within one year after EPA's 
designation.
    (c) Executive Order 13101 requires that the agency head--
    (1) Work to increase and expand markets for recovered materials 
through greater Government preference and demand for such products 
consistent with the demands of efficiency and cost-effectiveness; and
    (2) Develop and implement affirmative procurement programs in 
accordance with direction in RCRA and the Executive Order.


23.402  [23.401 revised]

    12. Revise 23.401 to read as follows:


23.401  Definition.

    EPA-designated product, as used in this subpart, means a product--
    (1) That is or can be made with recovered material;
    (2) That is listed by EPA in a procurement guideline (40 CFR part 
247); and
    (3) For which EPA has provided purchasing recommendations in a 
related Recovered Materials Advisory Notice (RMAN).
    13. Revise section 23.403 to read as follows:


23.403  Policy.

    Government policy on the use of recovered materials considers cost, 
availability of competition, and performance. The objective is to 
acquire competitively, in a cost-effective manner, products that meet 
performance requirements and that are composed of the highest 
percentage of recovered materials practicable.
    14. Redesignate sections 23.404 and 23.405 as 23.405 and 23.406, 
respectively, revise them, and add a new section 23.404 to read as 
follows:


23.404  Agency Affirmative Procurement Programs.

    (a) For EPA-designated products, an agency must establish an 
affirmative procurement program, if the agency's purchases meet the 
threshold in 23.405(a). Technical or requirements personnel and 
procurement personnel are responsible for the preparation, 
implementation, and monitoring of affirmative procurement programs. 
Agency affirmative procurement programs must include--
    (1) A recovered materials preference program;
    (2) An agency promotion program;
    (3) A program for requiring reasonable estimates, certification, 
and verification of recovered material used in the performance of 
contracts; and
    (4) Annual review and monitoring of the effectiveness of the 
program.
    (b) Agency affirmative procurement programs must require that 100 
percent of purchases of EPA-designated products contain recovered 
material, unless the item cannot be acquired--
    (1) Competitively within a reasonable time frame;
    (2) Meeting appropriate performance standards; or
    (3) At a reasonable price.
    (c) Agency affirmative procurement programs must provide guidance 
for purchases of EPA-designated products at or below the micro-purchase 
threshold.


23.405  Procedures.

    (a) These procedures apply to all agency acquisitions of EPA-
designated products, including micro-purchases, if--
    (1) The price of the product exceeds $10,000; or
    (2) The aggregate amount paid for products, or for functionally 
equivalent products, in the preceding fiscal year was $10,000 or more. 
RCRA requires that an agency include micro-purchases in determining if 
the aggregate amount paid was $10,000 or more. However, it is not 
recommended that an agency track micro-purchases unless it intends to 
claim an exemption from the requirement to establish an affirmative 
procurement program in the following fiscal year.
    (b) Contracting officers should refer to EPA's list of EPA-
designated products (available via the Internet at http://www.epa.gov/
cpg/) and to their agencies' affirmative procurement program when 
purchasing supplies that contain recovered material or services that 
could include incidental supplies that contain recovered material.
    (c) The contracting officer must place in the contract file a 
written justification if an acquisition of EPA-designated products 
above the micro-purchase threshold does not contain recovered material. 
If the agency has designated an Environmental Executive, the 
contracting officer must give a copy of the written justification to 
that official. The contracting officer must base the justification on 
the inability to acquire the product--
    (1) Competitively within a reasonable period of time;
    (2) At reasonable prices; or
    (3) To reasonable performance standards in the specifications, 
provided written determination by technical or requirements personnel 
is included with the justification. The contracting officer must base 
the justification on National Institute of Standards and Technology 
guidelines, if available.
    (d) Agencies must establish procedures for consolidating and 
reporting contractor estimates required by the clause at 52.223-9.

[[Page 51660]]

23.406  Solicitation provision and contract clause.

    (a) Insert the provision at 52.223-4, Recovered Material 
Certification, in solicitations that are for, or specify the use of, 
recovered materials.
    (b) Insert the clause at 52.223-9, Estimate of Percentage of 
Recovered Material Content for EPA-Designated Products, in 
solicitations and contracts exceeding $100,000 that include the 
provision at 52.223-4. If it is practical to verify the estimate, use 
the clause with its Alternate I.
    15. Revise Subpart 23.7 to read as follows:

Subpart 23.7--Contracting for Environmentally Preferable and 
Energy-Efficient Products and Services

Sec.
23.700  Scope.
23.701  Definition.
23.702  Authorities.
23.703  [Reserved]
23.704  Policy.
23.705  Application to Government-owned or -leased facilities.
23.706  Contract clause.


23.700  Scope.

    This subpart prescribes policies for obtaining environmentally 
preferable and energy-efficient products and services.


23.701  Definition.

    Biobased product, as used in this subpart, means a commercial or 
industrial product (other than food or feed) that utilizes biological 
products or renewable domestic agricultural (plant, animal, and marine) 
or forestry materials.


23.702  Authorities.

    (a) Resource Conservation and Recovery Act (RCRA) (42 U.S.C. 6901, 
et seq.).
    (b) National Energy Conservation Policy Act (42 U.S.C. 8262g).
    (c) Pollution Prevention Act of 1990 (42 U.S.C. 13101, et seq.).
    (d) Executive Order 12856 of August 3, 1993, Federal Compliance 
with Right-to-Know Laws and Pollution Prevention Requirements.
    (e) Executive Order 12902 of March 8, 1994, Energy Efficiency and 
Water Conservation at Federal Facilities.
    (f) Executive Order 13101 of September 14, 1998, Greening the 
Government through Waste Prevention, Recycling, and Federal 
Acquisition.


23.703  [Reserved]


23.704  Policy

    Agencies must--
    (a) Implement cost-effective contracting preference programs 
favoring the acquisition of environmentally preferable and energy-
efficient products and services; and
    (b) Employ acquisition strategies that affirmatively implement the 
following environmental objectives:
    (1) Maximize the utilization of environmentally preferable products 
and services (based on EPA-issued guidance).
    (2) Maximize the utilization of energy-efficient products.
    (3) Eliminate or reduce the generation of hazardous waste and the 
need for special material processing (including special handling, 
storage, treatment, and disposal).
    (4) Promote the use of nonhazardous and recovered materials.
    (5) Realize life-cycle cost savings.
    (6) Promote cost-effective waste reduction when creating plans, 
drawings, specifications, standards, and other product descriptions 
authorizing material substitutions, extensions of shelf-life, and 
process improvements.
    (7) Consider the use of biobased products.


23.705  Application to Government-owned or -leased facilities

    Executive Order 13101, section 701, requires that contracts for 
contractor operation of a Government-owned or -leased facility and 
contracts for support services at a Government-owned or -operated 
facility include provisions that obligate the contractor to comply with 
the requirements of the order. Compliance includes developing programs 
to promote and implement cost-effective waste reduction and affirmative 
procurement programs required by 42 U.S.C. 6962 for all products 
designated in EPA's Comprehensive Procurement Guideline (40 CFR part 
247).


23.706  Contract clause

    Insert the clause at 52.223-10, Waste Reduction Program, in all 
solicitations and contracts for contractor operation of Government-
owned or -leased facilities and all solicitations and contracts for 
support services at Government-owned or -operated facilities.

PART 52--SOLICITATION PROVISIONS AND CONTRACT CLAUSES

    16. Revise the section heading and text of 52.204-4 to read as 
follows:


52.204-4  Printed or Copied Double-Sided on Recycled Paper

    As prescribed in 4.303, insert the following clause:

Printed or Copied Double-Sided on Recycled Paper (Date)

    (a) Definitions. As used in this clause--
    Postconsumer material means a material or finished product that 
has served its intended use and has been discarded for disposal or 
recovery, having completed its life as a consumer item. Postconsumer 
material is a part of the broader category of ``recovered 
material.'' For paper and paper products, postconsumer material 
means ``postconsumer fiber'' defined by the U.S. Environmental 
Protection Agency (EPA) as--
    (1) Paper, paperboard, and fibrous materials from retail stores, 
office buildings, homes, and so forth, after they have passed 
through their end-usage as a consumer item, including: used 
corrugated boxes; old newspapers; old magazines; mixed waste paper; 
tabulating cards; and used cordage;
    (2) All paper, paperboard, and fibrous materials that enter and 
are collected from municipal solid waste; and
    (3) Postconsumer fiber does not include fiber derived from 
printers' over-runs, converters' scrap, and over-issue publications.
    Printed or copied double-sided means printing or reproducing a 
document so that information is on both sides of a sheet of paper.
    Recovered material, for paper and paper products, is defined by 
EPA in its Comprehensive Procurement Guideline as ``recovered 
fiber'' and means the following materials:
    (1) Postconsumer fiber.
    (2) Manufacturing wastes such as--
    (i) Dry paper and paperboard waste generated after completion of 
the papermaking process (that is, those manufacturing operations up 
to and including the cutting and trimming of the paper machine reel 
into smaller rolls or rough sheets) including: envelope cuttings, 
bindery trimmings, and other paper and paperboard waste resulting 
from printing, cutting, forming, and other converting operations; 
bag, box, and carton manufacturing wastes; and butt rolls, mill 
wrappers, and rejected unused stock; and
    (ii) Repulped finished paper and paperboard from obsolete 
inventories of paper and paperboard manufacturers, merchants, 
wholesalers, dealers, printers, converters, or others.
    (b) In accordance with section 101 of Executive Order 13101 of 
September 14, 1998, Greening the Government through Waste 
Prevention, Recycling, and Federal Acquisition, the Contractor is 
encouraged to submit paper documents, such as offers, letters, or 
reports, that are printed or copied double-sided on recycled paper 
that meet minimum content standards specified in section 505 of 
Executive Order 13101, when not using electronic commerce methods to 
submit information or data to the Government.
    (c) If the Contractor cannot purchase high-speed copier paper, 
offset paper, forms bond, computer printout paper, carbonless paper, 
file folders, white wove envelopes, writing and office paper, book 
paper, cotton fiber paper, and cover stock meeting the 30 percent 
postconsumer material standard for

[[Page 51661]]

use in submitting paper documents to the Government, it should use 
paper containing no less than 20 percent postconsumer material. This 
lesser standard should be used only when paper meeting the 30-
percent postconsumer material standard is not obtainable at a 
reasonable price or does not meet performance standards.

(End of clause)

    17. Amend section 52.211-5 by revising the introductory text, the 
date of the clause, and the definition ``Recovered material'' in 
paragraph (a) to read as follows:


52.211-5  Material Requirements

    As prescribed in 11.304, insert the following clause:

Material Requirements (Date)

    (a) * * *
    Recovered material means waste materials and by-products 
recovered or diverted from solid waste, but the term does not 
include those materials and by-products generated from, and commonly 
reused within, an original manufacturing process.
* * * * *
    18. Amend section 52.212-5 by revising the date of the clause; 
removing paragraph (b)(18) and redesignating paragraphs (b)(16) and 
(b)(17) as (b)(17) and (b)(18), respectively; and adding a new 
paragraph (b)(16) to read as follows:


52.212-5  Contract Terms and Conditions Required to Implement Statutes 
or Executive Orders--Commercial Items.

* * * * *

Contract Terms and Conditions Required to Implement Statutes or 
Executive Orders--Commercial Items (Date)

* * * * *
    (b) * * *
    ____ (16)(i) 52.223-9, Estimate of Percentage of Recovered 
Material Content for EPA-Designated Products (42 U.S.C. 
6962(c)(3)(A)(ii)).
    ____ (ii) Alternate I of 52.223-9 (42 U.S.C. 6962(i)(2)(C)).
* * * * *


52.223-4  [Amended]

    19. Amend the introductory text of section 52.223-4 by revising the 
citation ``23.405(a)'' to read ``23.406(a)''.
    20. Revise the section heading and text of 52.223-9 to read as 
follows:


52.223-9  Estimate of Percentage of Recovered Material Content for EPA-
Designated Products.

    As prescribed in 23.406(b), insert the following clause:

Estimate of Percentage of Recovered Material Content for EPA-Designated 
Products (Date)

    (a) Definitions. As used in this clause--
    Postconsumer material means a material or finished product that 
has served its intended use and has been discarded for disposal or 
recovery, having completed its life as a consumer item. Postconsumer 
material is a part of the broader category of ``recovered 
material.''
    Recovered material means waste materials and by-products 
recovered or diverted from solid waste, but the term does not 
include those materials and by-products generated from, and commonly 
reused within, an original manufacturing process.
    (b) The Contractor, on completion of this contract, shall--
    (1) Estimate the percentage of the total recovered material used 
in contract performance, including, if applicable, the percentage of 
postconsumer material content; and
    (2) Submit this estimate to ____________________ [Contracting 
Officer complete] in accordance with agency procedures.
    Alternate I (Date). As prescribed in 23.406(b), redesignate 
paragraph (b) of the basic clause as paragraph (c) and add the 
following paragraph (b) to the basic clause:
    (b) The Contractor shall execute the following certification 
required by the Resource Conservation and Recovery Act of 1976 (42 
U.S.C. 6962(i)(2)(C):

Certification

    I, ____________________ (name of certifier), am an officer or 
employee responsible for the performance of this contract and hereby 
certify that the percentage of recovered material content for EPA-
designated products met the applicable contract specifications.
----------------------------------------------------------------------
(Signature of the Officer or Employee)
----------------------------------------------------------------------
(Typed Name of the Officer or Employee)
----------------------------------------------------------------------
(Title)
----------------------------------------------------------------------
(Name of Company, Firm, or Organization)
----------------------------------------------------------------------
(Date)

(End of certification)
    21. Revise section 52.223-10 to read as follows:


52.223-10  Waste Reduction Program.

    As prescribed in 23.706, insert the following clause:

Waste Reduction Program (Date)

    (a) Definitions. As used in this clause--
    Recycling means the series of activities, including collection, 
separation, and processing, by which products or other materials are 
recovered from the solid waste stream for use in the form of raw 
materials in the manufacture of products other than fuel for 
producing heat or power by combustion.
    Waste prevention means any change in the design, manufacturing, 
purchase, or use of materials or products (including packaging) to 
reduce their amount or toxicity before they are discarded. Waste 
prevention also refers to the reuse of products or materials.
    Waste reduction means preventing or decreasing the amount of 
waste being generated through waste prevention, recycling, or 
purchasing recycled and environmentally preferable products.
    (b) Consistent with the requirements of Section 701 of Executive 
Order 13101, the Contractor shall establish a program to promote 
cost-effective waste reduction in all operations and facilities 
covered by this contract. The Contractor's programs shall comply 
with applicable Federal, State, and local requirements, specifically 
including Section 6002 of the Resource Conservation and Recovery Act 
(42 U.S.C. 6962, et seq.) and implementing regulations (40 CFR part 
247).

(End of clause)

[FR Doc. 99-24685 Filed 9-22-99; 8:45 am]
BILLING CODE 6820-EP-P