[Federal Register Volume 70, Number 5 (Friday, January 7, 2005)]
[Notices]
[Pages 1411-1412]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 05-356]


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COMMITTEE FOR PURCHASE FROM PEOPLE WHO ARE BLIND OR SEVERELY DISABLED


Procurement List; Addition and Deletions

AGENCY: Committee for Purchase from People Who Are Blind or Severely 
Disabled.

ACTION: Addition to and deletions from Procurement List.

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SUMMARY: This action adds to the Procurement List a product to be 
furnished by nonprofit agencies employing persons who are blind or have 
other severe disabilities, and deletes from the Procurement List 
services previously furnished by such agencies.

DATES: Effective Date: February 6, 2005.

ADDRESSES: Committee for Purchase From People Who Are Blind or Severely 
Disabled, Jefferson Plaza 2, Suite 10800, 1421 Jefferson Davis Highway, 
Arlington, Virginia, 22202-3259.

FOR FURTHER INFORMATION CONTACT: Sheryl D. Kennerly, Telephone: (703) 
603-7740, Fax: (703) 603-0655, or e-mail [email protected].

SUPPLEMENTARY INFORMATION:

Addition

    On November 5, 2004, the Committee for Purchase From People Who Are 
Blind or Severely Disabled published notice (69 F.R. 64562) of proposed 
addition to the Procurement List.
    The following comments pertain to Body Fluids Barrier Kit:
    Comments were received from the current contractor for this kit and 
from a district office of the Small Business Administration (SBA). The 
contractor addressed the impact of this addition to the Procurement 
List on the contractor's business, and set forth technical reasons why 
it does not believe the designated nonprofit agency and its blind 
workers can produce the kit in accordance with Government technical and 
health requirements.
    The contractor claimed that it would be severely impacted by this 
addition to the Procurement List because the addition would make the 
difference between a net profit and a net loss for the company. The 
contractor stated that it operates on a narrow profit margin because it 
reinvests most of its profits in the company. However, the Committee's 
measure of contractor impact, as stated at 41 CFR 51-2.4(a)(4), is the 
percentage of the contractor's total sales represented by this 
addition, with consideration being given to the length of time the 
contractor has held a Government contract for the kit. That percentage 
of sales is very small (less than one percent), so even taking into 
account the length of time the contractor has held a contract for the 
kit, the Committee does not consider this addition to the Procurement 
List to have a severe adverse impact on the contractor, particularly as 
the contractor may vary its profit level by changing its profit 
reinvestment pattern.
    The contractor claimed that the kit requires an FDA 501(k) 
certification, along with Letters of Certification/Compliance for each 
component in the kit. However, these requirements apply to the 
manufacturers of the kit and its components, not to the assembler, 
which is what the nonprofit agency designated by the Committee will be 
doing. The contractor also claimed that specifications for the kit 
require 100 percent visual inspection of components and the assembly 
operation. However, the Contracting Officer has informed the Committee 
that there is no such inspection requirement. In addition, inspections 
will be performed by the nonprofit agency's quality control personnel. 
The Committee's law, at 41 U.S.C. 48b(5), excludes inspection from the 
definition of direct labor tasks

[[Page 1412]]

which must be performed by blind individuals in this situation.
    The contractor claimed that there is a long learning curve to 
manufacturing the kit, and that letting an inexperienced producer like 
the designated nonprofit agency have the contract would expose the 
Government customer to significant risks. As noted above, the nonprofit 
agency will only be assembling the kits, not manufacturing any part of 
them. The Government procuring activity has inspected the nonprofit 
agency and concluded that it is capable of performing all tasks 
necessary to assemble the kit. The nonprofit agency has experience in 
assembling a First Aid kit which is similar to the body fluids barrier 
kit being added to the Procurement List.
    The SBA office stated that the Committee cannot add the kit to the 
Procurement List because the current contractor is a participant in 
SBA's 8(a) program, so the addition is prohibited by an agreement 
between SBA and NISH, one of the Committee's designated central 
nonprofit agencies. What the SBA office is actually referring to is a 
Committee policy by which the Committee will not add to the Procurement 
List items produced by a contractor which holds the Government contract 
for the item through the 8(a) program, until that contractor graduates 
from the 8(a) program. However, while the current contractor for the 
kit is a participant in the 8(a) program, its contract for the kit was 
not awarded under the 8(a) program, so the limitation on additions to 
the Procurement List expressed in the Committee policy is not 
applicable to this addition.
    The following material pertains to the item being added to the 
Procurement List.
    After consideration of the material presented to it concerning 
capability of qualified nonprofit agencies to provide the products and 
impact of the additions on the current or most recent contractors, the 
Committee has determined that the product listed below is suitable for 
procurement by the Federal Government under 41 U.S.C. 46-48c and 41 CFR 
51-2.4.

Regulatory Flexibility Act Certification

    I certify that the following action will not have a significant 
impact on a substantial number of small entities. The major factors 
considered for this certification were:
    1. The action will not result in any additional reporting, 
recordkeeping or other compliance requirements for small entities other 
than the small organizations that will furnish the product to the 
Government.
    2. The action will result in authorizing small entities to furnish 
the product to the Government.
    3. There are no known regulatory alternatives which would 
accomplish the objectives of the Javits-Wagner-O'Day Act (41 U.S.C. 46-
48c) in connection with the product proposed for addition to the 
Procurement List.

End of Certification

    Accordingly, the following product is added to the Procurement 
List:

Product

Product/NSN: Body Fluids Barrier Kit, 6515-01-376-7247.
NPA: The Oklahoma League for the Blind, Oklahoma City, Oklahoma.
Contracting Activity: GSA, Southwest Supply Center, Fort Worth, 
Texas.

Deletions

    On November 12, 2004, the Committee for Purchase From People Who 
Are Blind or Severely Disabled published notice (69 FR 65409) of 
proposed deletions to the Procurement List. After consideration of the 
relevant matter presented, the Committee has determined that the 
services listed below are no longer suitable for procurement by the 
Federal Government under 41 U.S.C. 46-48c and 41 CFR 51-2.4.

Regulatory Flexibility Act Certification

    I certify that the following action will not have a significant 
impact on a substantial number of small entities. The major factors 
considered for this certification were:
    1. The action may result in additional reporting, recordkeeping or 
other compliance requirements for small entities.
    2. The action may result in authorizing small entities to furnish 
the services to the Government.
    3. There are no known regulatory alternatives which would 
accomplish the objectives of the Javits-Wagner-O'Day Act (41 U.S.C. 46-
48c) in connection with the services deleted from the Procurement List.

End of Certification

    Accordingly, the following services are deleted from the 
Procurement List:

Services

Service Type/Location: Medical Transcription, 97th Medical Group, 
Altus AFB, Oklahoma.
NPA: New Vision Enterprises, Inc., Louisville, Kentucky.
Contracting Activity: Department of the Air Force.
Service Type/Location: Medical Transcription, Dwight D. Eisenhower, 
Veterans Affairs Medical Center, Leavenworth, Kansas.
NPA: New Vision Enterprises, Inc., Louisville, Kentucky.
Contracting Activity: Department of Veterans Affairs, Washington, 
DC.

Sheryl D. Kennerly,
Director, Information Management.
[FR Doc. 05-356 Filed 1-6-05; 8:45 am]
BILLING CODE 6353-01-U