[Federal Register Volume 68, Number 209 (Wednesday, October 29, 2003)]
[Proposed Rules]
[Pages 61636-61637]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 03-27201]


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SMALL BUSINESS ADMINISTRATION

13 CFR Part 121


Small Business Size Standards; Waiver of the Nonmanufacturer Rule

AGENCY: U.S. Small Business Administration.

ACTION: Notice of intent to terminate waiver of the Nonmanufactuer Rule 
for Small Arms Manufacturing.

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SUMMARY: The U.S. Small Business Administration (SBA) intends to 
terminate the waivers of the Nonmanufacturer Rule for Small Arms 
Manufacturing based on our recent discovery of small business 
manufacturers for these classes of products. Terminating these waivers 
will require recipients of contracts set aside for small or 8(a) 
businesses to provide the products of small business manufacturers or 
processor on such contracts.

DATES: Comments must be received on or before November 7, 2003.

ADDRESSES: Edith Butler, Program Analyst, U.S. Small Business 
Administration, 409 3rd Street, SW., Washington, DC 20416, Tel: (202) 
619-0422.

FOR FURTHER INFORMATION CONTACT: Edith Butler, Program Analyst, (202) 
619-0422 FAX (202) 205-7280.

SUPPLEMENTARY INFORMATION: Public Law 100-656, enacted on November 15, 
1988, incorporated into the Small Business Act the previously existing 
regulation that recipients of Federal contracts set aside for small 
businesses or SBA's 8(a) Program must provide the product of a small 
business manufacturer or processor, if the recipient is other than the 
actual manufacturer or processor. This requirement is commonly referred 
to as the Nonmanufacturer Rule. The SBA regulations imposing this 
requirement are found at 13 CFR 121.406(b). Section 303(h) of the law 
provides for waiver of this requirement by SBA for any ``class of 
products'' for which there are no small business manufacturers or 
processors in the Federal market.
    To be considered available to participate in the Federal market on 
these classes of products, a small business manufacturer must have 
submitted a proposal for a contract solicitation or received a contract 
from the Federal government within the last 24 months.
    The SBA defines ``class of products'' based on a six digit North 
American Industry Classification System (NAICS) and the four digit 
Product and Service Code established by the Federal Procurement Data 
System.

[[Page 61637]]

    SBA announced its decision to grant the waiver of Small Arms 
Manufacturing, in the Federal Register on June 13, 2003. It was 
recently brought to SBA's attention by small business manufacturers and 
SBA's Procurement Center Representatives that small business 
manufacturers exist for items within this class of products. For this 
reason, SBA intends to terminate the waiver for Small Arms 
Manufacturing, identified under the North American Industry 
Classification System (NAICS) 332994.
    Based on the above information, this notice proposes to terminate 
the class waivers of the Nonmanufacturer Rule for Small Arms 
Manufacturing, NAICS 332994.
    The public is invited to comment to SBA on the proposed termination 
of the waivers of the nonmanufacturer rule for the class of products 
specified. All comments by the public will be duly considered by SBA in 
determining whether to finalize its intent to terminate these classes 
of products.

    Dated: October 22, 2003.
Linda G. Williams,
Associate Administrator for Government Contracting.
[FR Doc. 03-27201 Filed 10-28-03; 8:45 am]
BILLING CODE 8025-01-P