[Federal Register Volume 71, Number 124 (Wednesday, June 28, 2006)]
[Rules and Regulations]
[Pages 36925-36927]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 06-5709]


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DEPARTMENT OF DEFENSE

GENERAL SERVICES ADMINISTRATION

NATIONAL AERONAUTICS AND SPACE ADMINISTRATION

48 CFR Parts 10 and 19

[FAC 2005-10; FAR Case 2006-003; Item II; Docket 2006-0020, Sequence 
12]


 Federal Acquisition Regulation; FAR Case 2006-003, Procedures 
Related to Procurement Center Representatives

AGENCIES: Department of Defense (DoD), General Services Administration 
(GSA), and National Aeronautics and Space Administration (NASA).

ACTION: Final rule.

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SUMMARY: The Civilian Agency Acquisition Council and the Defense 
Acquisition Regulations Council (Councils) have agreed on a final rule 
amending the Federal Acquisition Regulation (FAR) to provide internal 
procedures to cover situations when the FAR requires interaction with a 
procurement center representative and one has not been assigned to the 
procuring activity or contract administration office.

DATES: Effective Date: July 28, 2006.

FOR FURTHER INFORMATION CONTACT: For clarification of content, contact 
Ms. Rhonda Cundiff, Procurement Analyst, at (202) 501-0044. Please cite 
FAC 2005-10, FAR case 2006-003. For information pertaining to status or 
publication schedules, contact the FAR Secretariat at (202) 501-4755.

SUPPLEMENTARY INFORMATION:

A. Background

    This final rule amends the Federal Acquisition Regulation to 
provide internal procedures to cover situations when the FAR requires 
interaction with a Small Business Administration procurement center 
representative and one has not been assigned to the procuring activity 
or contract administration office.
    This is not a significant regulatory action and, therefore, was not 
subject to 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

    The Regulatory Flexibility Act does not apply to this rule. This 
final rule does not constitute a significant FAR revision within the 
meaning of FAR 1.501 and Public Law 98-577, and publication for public 
comments is not required. However, the Councils will consider comments 
from small entities concerning the affected FAR Parts 10 and 19 in 
accordance with 5 U.S.C. 610. Interested parties must submit such 
comments separately and should cite 5 U.S.C. 601, et seq. (FAC 2005-10, 
FAR case 2006-003), in correspondence.

C. Paperwork Reduction Act

    The Paperwork Reduction Act does not apply because the changes to 
the FAR do not impose information collection requirements that require 
the approval of the Office of Management and Budget under 44 U.S.C. 
3501, et seq.

List of Subjects in 48 CFR Parts 10 and 19

    Government procurement.

    Dated: June 20, 2006.
Ralph De Stefano,
Director, Contract Policy Division.

0
Therefore, DoD, GSA, and NASA amend 48 CFR parts 10 and 19 as set forth 
below:
0
1. The authority citation for 48 CFR parts 10 and 19 continues to read 
as follows:

    Authority:  40 U.S.C. 121(c); 10 U.S.C. chapter 137; and 42 
U.S.C. 2473(c).

PART 10--MARKET RESEARCH

0
2. Amend section 10.001 by revising paragraph (c)(1) to read as 
follows:


10.001  Policy.

* * * * *
    (c) * * *
    (1) When performing market research, should consult with the local 
Small Business Administration procurement center representative (PCR). 
If a PCR is not assigned, see 19.402 (a); and
* * * * *

PART 19--SMALL BUSINESS PROGRAMS

0
3. Amend section 19.201 by revising the introductory text of paragraph 
(d)(5) to read as follows:


19.201  General Policy.

* * * * *
    (d) * * *
    (5) Work with the SBA procurement center representative (or, if a 
procurement center representative is not assigned, see 19.402(a)) to--
* * * * *
0
4. Amend section 19.202-1 by revising the introductory text of 
paragraph (e)(1) and paragraph (e)(4) to read as follows:


19.202-1  Encouraging small business participation in acquisitions.

* * * * *
    (e)(1) Provide a copy of the proposed acquisition package to the 
SBA procurement center representative (or, if a procurement center 
representative is not assigned, see 19.402(a)) at least 30 days prior 
to the issuance of the solicitation if--
* * * * *
    (4) If the contracting officer rejects the SBA representative's 
recommendation made in accordance with 19.402(c)(2), the contracting 
officer shall document the basis for the rejection and notify the SBA 
representative in accordance with 19.505.
0
5. Amend section 19.202-2 by revising the last sentence in paragraph 
(a) to read as follows:


19.202-2  Locating small business sources.

* * * * *
    (a) * * * This effort should include contacting the SBA procurement 
center representative (or, if a procurement center representative is 
not assigned, see 19.402(a)).
* * * * *
0
6. Amend section 19.402 by redesignating paragraph (a) as (a)(1); 
adding a new paragraph (a)(2); revising paragraph (b); and revising the 
second

[[Page 36926]]

sentence of paragraph (c)(2) to read as follows:


19.402  Small Business Administration procurement center 
representatives.

    (a) * * *
    (2) If a SBA procurement center representative is not assigned to 
the procuring activity or contract administration office, contact the 
SBA Office of Government Contracting Area Office serving the area in 
which the procuring activity is located for assistance in carrying out 
SBA policies and programs. See http://www.sba.gov/GC/pcr.html for the 
location of the SBA office servicing the activity.
    (b) Upon their request and subject to applicable acquisition and 
security regulations, contracting officers shall give SBA procurement 
center representatives (or, if a procurement center representative is 
not assigned, see paragraph (a) of this section) access to all 
reasonably obtainable contract information that is directly pertinent 
to their official duties.
    (c) * * *
    (2) * * * If the SBA procurement center representative (or, if a 
procurement center representative is not assigned, see paragraph (a) of 
this section) believes that the acquisition, as proposed, makes it 
unlikely that small businesses can compete for the prime contract, the 
representative shall recommend any alternate contracting method that 
the representative reasonably believes will increase small business 
prime contracting opportunities. * * *
* * * * *
0
7. Amend section 19.501 by revising the last sentence in paragraph (b) 
and paragraph (f) to read as follows:


19.501  General.

* * * * *
    (b) * * * A joint determination is one that is recommended by the 
Small Business Administration (SBA) procurement center representative 
(or, if a procurement center representative is not assigned, see 
19.402(a)) and concurred in by the contracting officer.
* * * * *
    (f) At the request of an SBA procurement center representative, 
(or, if a procurement center representative is not assigned, see 
19.402(a)) the contracting officer shall make available for review at 
the contracting office (to the extent of the SBA representative's 
security clearance) all proposed acquisitions in excess of the micro-
purchase threshold that have not been unilaterally set aside for small 
business.
* * * * *
0
8. Amend section 19.503 by revising the last sentence in paragraph (d) 
to read as follows:


19.503  Setting aside a class of acquisitions for small business.

* * * * *
    (d) * * * If there are any changes of such a material nature as to 
result in probable payment of more than a fair market price by the 
Government or in a change in the capability of small business concerns 
to satisfy the requirements, the contracting officer may withdraw or 
modify (see 19.506(a)) the unilateral or joint set-aside by giving 
written notice to the SBA procurement center representative (or, if a 
procurement center representative is not assigned, see 19.402(a)) 
stating the reasons.
0
9. Amend section 19.505 by revising paragraphs (a), (b), and (c)(1) to 
read as follows:


19.505  Rejecting Small Business Administration recommendations.

    (a) If the contracting officer rejects a recommendation of the SBA 
procurement center representative (or, if a procurement center 
representative is not assigned, see 19.402(a)) or breakout procurement 
center representative, written notice shall be furnished to the 
appropriate SBA representative within 5 working days of the contracting 
officer's receipt of the recommendation.
    (b) The SBA procurement center representative (or, if a procurement 
center representative is not assigned, see 19.402(a)) may appeal the 
contracting officer's rejection to the head of the contracting activity 
(or designee) within 2 working days after receiving the notice. The 
head of the contracting activity (or designee) shall render a decision 
in writing, and provide it to the SBA representative within 7 working 
days. Pending issuance of a decision to the SBA representative, the 
contracting officer shall suspend action on the acquisition.
    (c) * * *
    (1) Within 2 working days, the SBA procurement center 
representative (or, if a procurement center representative is not 
assigned, see 19.402(a)) may request the contracting officer to suspend 
action on the acquisition until the SBA Administrator appeals to the 
agency head (see paragraph (f) of this section); and
* * * * *
0
10. Amend section 19.506 by revising the second sentence in paragraph 
(a) and paragraph (b) to read as follows:


19.506  Withdrawing or modifying small business set-asides.

    (a) * * * The contracting officer shall initiate a withdrawal of an 
individual small business set-aside by giving written notice to the 
agency small business specialist and the SBA procurement center 
representative (or, if a procurement center representative is not 
assigned, see 19.402(a)) stating the reasons. * * *
    (b) If the agency small business specialist does not agree to a 
withdrawal or modification, the case shall be promptly referred to the 
SBA representative (or, if a procurement center representative is not 
assigned, see 19.402(a)) for review.
* * * * *
0
11. Revise section 19.705-3 to read as follows:


19.705-3  Preparing the solicitation.

    The contracting officer shall provide the Small Business 
Administration's (SBA's) procurement center representative (or, if a 
procurement center representative is not assigned, see 19.402(a)) a 
reasonable period of time to review any solicitation requiring 
submission of a subcontracting plan and to submit advisory findings 
before the solicitation is issued.
0
12. Amend section 19.705-4 by revising paragraph (d)(7) to read as 
follows:


19.705-4  Reviewing the subcontracting plan.

* * * * *
    (d) * * *
    (7) Obtain advice and recommendations from the SBA procurement 
center representative (or, if a procurement center representative is 
not assigned, see 19.402(a)) and the agency small business specialist.
0
13. Amend section 19.705-5 by revising the first sentence in paragraph 
(a)(3) to read as follows:


19.705-5  Awards involving subcontracting plans.

    (a) * * *
    (3) Notify the SBA procurement center representative (or, if a 
procurement center representative is not assigned, see 19.402(a)) of 
the opportunity to review the proposed contract (including the plan and 
supporting documentation). * * *
* * * * *
0
14. Amend section 19.705-6 by revising the introductory text of 
paragraph (c) and paragraph (d) to read as follows:


19.705-6  Postaward responsibilities of the contracting officer.

* * * * *

[[Page 36927]]

    (c) Giving to the SBA procurement center representative (or, if a 
procurement center representative is not assigned, see 19.402(a)) a 
copy of--
* * * * *
    (d) Notifying the SBA procurement center representative (or, if a 
procurement center representative is not assigned, see 19.402(a)) of 
the opportunity to review subcontracting plans in connection with 
contract modifications.
* * * * *
0
15. Amend section 19.1305 by revising the second sentence of paragraph 
(e) to read as follows:


19.1305  HUBZone set-aside procedures.

* * * * *
    (e) * * * When the SBA intends to appeal a contracting officer's 
decision to reject a recommendation of the SBA procurement center 
representative (or, if a procurement center representative is not 
assigned, see 19.402(a)) to set aside an acquisition for competition 
restricted to HUBZone small business concerns, the SBA procurement 
center representative shall notify the contracting officer, in writing, 
of its intent within 5 working days of receiving the contracting 
officer's notice of rejection. * * *
0
16. Amend section 19.1405 by revising the second sentence of paragraph 
(d) to read as follows:


19.1405  Service-disabled veteran-owned small business set-aside 
procedures.

* * * * *
    (d) * * * When the SBA intends to appeal a contracting officer's 
decision to reject a recommendation of the SBA procurement center 
representative (or, if a procurement center representative is not 
assigned, see 19.402(a)) to set aside an acquisition for competition 
restricted to service-disabled veteran-owned small business concerns, 
the SBA procurement center representative shall notify the contracting 
officer, in writing, of its intent within 5 working days of receiving 
the contracting officer's notice of rejection. * * *

[FR Doc. 06-5709 Filed 6-27-06; 8:45 am]
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