[Federal Register Volume 78, Number 101 (Friday, May 24, 2013)]
[Notices]
[Pages 31552-31553]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2013-12353]


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DEPARTMENT OF DEFENSE

GENERAL SERVICES ADMINISTRATION

NATIONAL AERONAUTICS AND SPACE ADMINISTRATION

[Docket 2012-0076; Sequence 32; OMB Control No. 9000-0078]


Federal Acquisition Regulation; Submission for OMB Review; Make-
or-Buy Program

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

ACTION: Notice of request for an extension to an information collection 
requirement for an existing OMB clearance.

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SUMMARY: Under the provisions of the Paperwork Reduction Act, the 
Regulatory Secretariat will be submitting to the Office of Management 
and Budget (OMB) a request to review and approve an extension of a 
previously approved information collection requirement concerning the 
Make-or-Buy Program. A notice was published in the Federal Register at 
77 FR 43080, on July 23, 2012. One respondent provided comments.

DATES: Submit comments on or before June 24, 2013.

ADDRESSES: Submit comments identified by Information Collection 9000-
0078, Make-or-Buy Program, by any of the following methods:
     Regulations.gov: http://www.regulations.gov. Submit 
comments via the Federal eRulemaking portal by searching the OMB 
control number. Select the link ``Submit a Comment'' that corresponds 
with ``Information Collection 9000-0078, Make-or-Buy Program.'' Follow 
the instructions provided at the ``Submit a Comment'' screen. Please 
include your name, company name (if any), and ``Information Collection 
9000-0078, Make-or-Buy Program'' on your attached document.
     Fax: 202-501-4067.
     Mail: General Services Administration, Regulatory 
Secretariat (MVCB), 1275 First Street NE., Washington, DC 20417. ATTN: 
Hada Flowers/IC 9000-0078, Make-or-Buy Program.
    Instructions: Please submit comments only and cite Information 
Collection 9000-0078, Make-or-Buy Program, in all correspondence 
related to this collection. Submit comments regarding this burden 
estimate or any other aspect of this collection of information, 
including suggestions for reducing this burden to: FAR Desk Officer, 
OMB, Room 10102, NEOB, Washington, DC 20503. All comments received will 
be posted without change to http://www.regulations.gov, including any 
personal and/or business confidential information provided.

FOR FURTHER INFORMATION CONTACT: Mr. Edward Loeb, Procurement Analyst, 
Contract Policy Division, GSA, (202) 501-0650 or via email at 
[email protected].

SUPPLEMENTARY INFORMATION:

A. Purpose

    Price, performance, and/or implementation of socio-economic 
policies may be affected by make-or-buy decisions under certain 
Government prime contracts. Accordingly, FAR 15.407-2, Make-or-Buy 
Programs--
    (i) Sets forth circumstances under which a Government contractor 
must submit for approval by the contracting officer a make-or-buy 
program, i.e., a written plan identifying major items to be produced or 
work efforts to be performed in the prime contractor's facilities and 
those to be subcontracted;
    (ii) Provides guidance to contracting officers concerning the 
review and approval of the make-or-buy programs; and

[[Page 31553]]

    (iii) Prescribes the contract clause at FAR 52.215-9, Changes or 
Additions to Make-or-Buy Programs, which specifies the circumstances 
under which the contractor is required to submit for the contracting 
officer's advance approval a notification and justification of any 
proposed change in the approved make-or-buy program.
    The information is used to assure the lowest overall cost to the 
Government for required supplies and services.
    Public comments are particularly invited on: Whether this 
collection of information is necessary for the proper performance of 
functions of the Federal Acquisition Regulation (FAR), and whether it 
will have practical utility; whether our estimate of the public burden 
of this collection of information is accurate, and based on valid 
assumptions and methodology; ways to enhance the quality, utility, and 
clarity of the information to be collected; and ways in which we can 
minimize the burden of the collection of information on those who are 
to respond, through the use of appropriate technological collection 
techniques or other forms of information technology.

B. Analysis of Public Comments

    One respondent submitted public comments on the extension of the 
previously approved information collection. The analysis of public 
comments is summarized as follows:
    Comment: The respondent commented that the extension of the 
information collection would violate the fundamental purposes of the 
Paperwork Reduction Act because of the burden it puts on the entity 
submitting the information and the agency collecting the information.
    Response: In accordance with the Paperwork Required Act (PRA), 
agencies can request an OMB approval of an existing information 
collection. The PRA requires that agencies use the Federal Register 
notice and comment process, to extend the OMB's approval, at least 
every three years. This extension, to a previously approved information 
collection, pertains to implementation of requirements of the 
provisions in FAR 15.407-2, Make-or-buy programs, and the related 
clause at FAR 52.215-9, Changes or Additions to Make-or-Buy Program. 
The information is used to assure the lowest overall cost to the 
Government for required supplies and services.
    Comment: The respondent commented that the agency did not 
accurately estimate the public burden challenging that the agency's 
methodology for calculating it is insufficient and inadequate and does 
not reflect the total burden. For this reason, the respondent provided 
that the agency should reassess the total burden hours and revise the 
estimate upwards to be more accurate, as was done in FAR Case 2007-006. 
The same respondent also provided that the burden of compliance with 
the agency's information collection requirement greatly exceeds the 
agency's estimate and outweighs any potential utility of the extension. 
Further, the respondent commented that the estimate of 150 respondents 
subject to this requirement annually across the entire Government is 
far too low. The respondent offered that at least ten times and 
potentially as many as one hundred times as many respondents are 
subject to these make-or-buy requirements. The respondent stated that 
the estimate of three responses per respondent is also substantially 
understated. Contractors that hold cost reimbursement contracts subject 
to the requirements may be required to submit this type of information 
upwards of 50 times per year, especially for larger contracts. The 
respondent further believes that while the estimated eight hours of 
burden per response is not out of the realm of reasonableness and is 
more realistic than other estimates provided, the estimate is 
understated, and that most companies will require two to three times 
that amount of time per response.
    Response: Serious consideration is given, during the open comment 
period, to all comments received and adjustments are made to the 
paperwork burden estimate based on reasonable considerations provided 
by the public. This is evidenced, as the respondent notes, in FAR Case 
2007-006 where an adjustment was made from the total preparation hours 
from three to 60. This change was made considering particularly the 
hours that would be required for review within the company, prior to 
release to the Government.
    The burden is prepared taking into consideration the necessary 
criteria in OMB guidance for estimating the paperwork burden put on the 
entity submitting the information. For example, consideration is given 
to an entity reviewing instructions; using technology to collect, 
process, and disclose information; adjusting existing practices to 
comply with requirements; searching data sources; completing and 
reviewing the response; and transmitting or disclosing information. The 
estimated burden hours for a collection are based on an average between 
the hours that a simple disclosure by a very small business might 
require and the much higher numbers that might be required for a very 
complex disclosure by a major corporation. Also, the estimated burden 
hours should only include projected hours for those actions which a 
company would not undertake in the normal course of business. Careful 
consideration went into assessing the estimated burden hours for this 
collection. An informal survey of the primary agencies that would 
require submission of the information for this collection indicated 
that the total estimated annual burden remains a valid estimate. 
Additionally, a review of the estimated burden by agency experts 
revealed that the estimated burden was realistic.
    At any point, members of the public may submit comments for further 
consideration, and are encouraged to provide data to support their 
request for an adjustment.

C. Annual Reporting Burden

    Respondents: 150.
    Responses per Respondent: 3.
    Total Responses: 450.
    Hours per Response: 8.
    Total Burden Hours: 3,600.
    Obtaining Copies of Proposals: Requesters may obtain a copy of the 
information collection documents from the General Services 
Administration, Regulatory Secretariat (MVCB), 1275 First Street NE., 
Washington, DC 20417, telephone (202) 501-4755. Please cite OMB Control 
No. 9000-0078, Make-or-Buy Program, in all correspondence.

    Dated: May 17, 2013.
William Clark,
Acting Director, Federal Acquisition Policy Division, Office of 
Governmentwide Acquisition Policy, Office of Acquisition Policy, Office 
of Governmentwide Policy.
[FR Doc. 2013-12353 Filed 5-23-13; 8:45 am]
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