[Federal Register Volume 79, Number 143 (Friday, July 25, 2014)]
[Rules and Regulations]
[Pages 43575-43579]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2014-17498]


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DEPARTMENT OF DEFENSE

GENERAL SERVICES ADMINISTRATION

NATIONAL AERONAUTICS AND SPACE ADMINISTRATION

48 CFR Parts 1, 22, and 52

[FAC 2005-76; FAR Case 2014-013; Item I; Docket 2014-0013, Sequence 1]
RIN 9000-AM76


Federal Acquisition Regulation: Equal Employment and Affirmative 
Action for Veterans and Individuals With Disabilities

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

ACTION: Interim rule.

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SUMMARY: DoD, GSA, and NASA are issuing an interim rule amending the 
Federal Acquisition Regulation (FAR) to implement final rules issued by 
the Office of Federal Contract Compliance Programs at the Department of 
Labor (DOL) relating to equal opportunity and affirmative action for 
veterans and individuals with disabilities.

DATES: Effective: July 25, 2014.
    Comment Date: Interested parties should submit written comments to 
the Regulatory Secretariat on or before September 23, 2014 to be 
considered in the formation of the final rule.

ADDRESSES: Submit comments identified by FAC 2005-76, FAR Case 2014-
013, by any of the following methods:
     Regulations.gov: http://www.regulations.gov. Submit 
comments via the Federal eRulemaking portal by searching for ``FAR Case 
2014-013'' Select the link ``Comment Now'' that corresponds with ``FAR 
Case 2014-013.'' Follow the instructions provided at the ``Comment 
Now'' screen. Please include your name, company name (if any), and 
``FAR Case 2014-013'' on your attached document.
     Fax: 202-501-4067.
     Mail: General Services Administration, Regulatory 
Secretariat (MVCB), ATTN: Ms. Flowers, 1800 F Street NW., 2nd floor, 
Washington, DC 20405.
    Instructions: Please submit comments only and cite FAC 2005-76, FAR 
Case 2014-013, in all correspondence related to this case. 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, 
at 202-501-0650 for clarification of content. For information 
pertaining to status or publication schedules, contact the Regulatory 
Secretariat at 202-501-4755. Please cite FAC 2005-76, FAR Case 2014-
013.

SUPPLEMENTARY INFORMATION: 

I. Background

    DoD, GSA, and NASA are issuing an interim rule amending the FAR to 
implement two DOL final rules that were published in the Federal 
Register on September 24, 2013 at 78 FR 58614 and at 78 FR 58682 as 
follows:
     ``Affirmative Action and Nondiscrimination Obligations of 
Contractors and Subcontractors Regarding Special Disabled Veterans, 
Veterans of the Vietnam Era, Disabled Veterans, Recently Separated 
Veterans, Active Duty Wartime or Campaign Badge Veterans, and Armed 
Forces Service Medal Veterans'', which amended DOL regulations at 41 
CFR parts 60-250 and 60-300 (78 FR 58614).
     ``Affirmative Action and Nondiscrimination Obligations of 
Contractors and Subcontractors Regarding Individuals with 
Disabilities'', which amended DOL regulations at 41 CFR part 60-741 (78 
FR 58682).

II. Discussion and Analysis

A. Subpart 22.13--Equal Opportunity for Veterans

    This interim rule amends the definitions in FAR subpart 22.13 to 
conform to the definitions in 41 CFR 60-300.2.
     Adds a definition of ``active duty wartime or campaign 
badge veteran,'' which replaces the definition of ``other protected 
veteran.'' The only change is in the definition title.
     Adds a definition of ``protected veteran.''
     Expands policy at FAR 22.1302 to address appropriate 
outreach and recruitment, and hiring benchmarks.

B. Subpart 22.14--Employment of Workers With Disabilities

    The interim rule amends FAR subpart 22.14 to conform to DOL 
regulations at 41 CFR part 60-741.
     Changes references to the title of the FAR clause at 
52.222-36 to ``Equal Opportunity for Workers with Disabilities''.
     Changes the responsible official at DOL to the ``Director 
of Federal Contract Compliance Programs'' (Director of OFCCP).
     Expands policy at FAR 22.1401 to address appropriate 
outreach and recruitment, and utilization goals, as prescribed in the 
regulations of the Secretary of Labor.
     Amends the waiver authority at FAR 22.1403 to be the 
Director of the Office of Federal Contract Compliance Programs to 
conform to the Department of Labor regulations. Also revises the policy 
at FAR 22.1403(b) concerning national security waivers to conform to 
the DOL regulations.

C. Clauses

    The DOL regulations contain two revised Equal Opportunity clauses 
at 41 CFR 60-300.5 (relating to veterans) and 41 CFR 60-741.5 (relating 
to individuals with disabilities).
     The clause for Equal Opportunity for VEVRAA Protected 
Veterans provides clarification of mandatory listing of employment 
openings and posting of notices, in paragraphs 2, 4, 9, and 12 of 41 
CFR 60-300.5(a).
     The clause for Equal Opportunity for Workers with 
Disabilities adds some requirements with regard to posting in 
electronic format and making notices accessible to persons with 
disabilities, in paragraphs 4 and 7 of 41 CFR 60-741.5(a).
     Both clauses add requirements with regard to contractor 
solicitations or advertisements for employees, requiring inclusion of 
statements that all qualified applicants will receive consideration for 
employment, without regard to their protected veteran status; and that 
qualified applicants will not be discriminated against on the basis of 
disability.
    At 41 CFR 60-300.5(d) and 41 CFR 60-741.5(d), each entitled 
``Inclusion of the equal opportunity clause in the contract,'' the DOL 
regulations provide that it is not necessary to include the equal 
opportunity clause verbatim in the contract (as had been considered in 
the proposed rule), but that the clause shall be made a part of the 
contract by citation to 41 CFR 60-300.5(a) and 41 CFR 60-741.5(a) 
respectively, and then provides a short paragraph that must be

[[Page 43576]]

included after the citation, providing a brief summary that highlights 
to contractors and subcontractors the nature of their obligation, i.e.;
     This regulation prohibits discrimination against qualified 
protected veterans, and requires affirmative action by covered prime 
contractor and subcontractors to employ and advance in employment 
qualified protected veterans; and
     This regulation prohibits discrimination against qualified 
individuals on the basis of disability, and requires affirmative action 
by covered prime contractors and subcontractors to employ and advance 
in employment qualified individuals with disabilities.
    Therefore, in the interim FAR rule, the clauses at FAR 52.222-35, 
Equal Opportunity for Veterans, and 52.222-36, Equal Opportunity for 
Workers with Disabilities, do not repeat the entire equal opportunity 
clauses from the DOL regulations. Instead, each clause provides a 
citation to the applicable clause in the DOL regulations and includes a 
statement that summarizes the contractors' top level obligations under 
each clause. The FAR clauses must be incorporated in the contract in 
full text, as required by the DOL regulations.
    Because some of the definitions and clause flowdown are not 
included within the equal opportunity clauses in the DOL regulations, 
the FAR clause 52.222-35 adds a paragraph to reference the appropriate 
definitions at FAR 22.1301, relating to types of veterans, and both 
52.222-35 and 52.222-36 include a final paragraph requiring clause 
flowdown.
    At 41 CFR 60-300.5(e) and 41 CFR 60-741.5(e), each paragraph 
entitled ``Incorporation by Operation of the Act,'' the DOL regulations 
state that the equal opportunity clause shall be considered to be a 
part of every contract and subcontract required by the Act and the 
regulation to include such clause, whether or not it is physically 
incorporated in such contract.
    A minor conforming change has been made to the clause at FAR 
52.222-37, Employment Reports on Veterans, to add a definition of 
``active duty wartime or campaign badge veterans,'' because the term 
``other protected veterans'' is no longer defined in FAR subpart 22.13. 
However, the term ``other protected veterans'' still appears on the 
VETS-100 report, so the term is explained as equivalent in meaning to 
``active duty wartime or campaign badge veterans.'' The FAR clause 
52.222-37 has also been added to the lists at 52.212-5(e) and 52.244-6 
to require flowdown to commercial subcontracts.

D. Additional Contractor Duties

    The DOL regulations mandate in 41 CFR part 60 additional duties 
that contractors must perform. Contractors must consult the DOL 
regulations at 41 CFR parts 60-250, 60-300, and 60-741 to understand 
their full obligations. The contract clause does not include detail on 
the duties.

E. Threshold

    This rule does not change the threshold for applicability of FAR 
subpart 22.13 and the associated clause at 52.222-35, which is 
$100,000. Nor does it change the threshold for applicability of FAR 
subpart 22.14 and the associated clause at 52.222-36, which is $15,000. 
The thresholds for these clauses are set by statute. FAR 1.109 explains 
the statutory requirement, now codified at 41 U.S.C. 1908, for the FAR 
Council to subsequently adjust all the acquisition-related statutory 
thresholds for inflation, every five years in October.
    Although the statute (section 503 of the Rehabilitation Act of 
1973) (29 U.S.C. 793) originally established a threshold of $10,000, 
relating to equal opportunity for workers with disabilities, this was 
adjusted to $15,000 in October 2010. The threshold adjustment was 
discussed with DOL/OFCCP and they concurred with this change. The 
threshold of $100,000 relating to equal opportunity for veterans was 
not adjusted in 2010 because the inflationary adjustment resulted in an 
increase that was insufficient to justify an adjustment to the next 
threshold level.

III. Executive Orders 12866 and 13563

    Executive Orders (E.O.s) 12866 and 13563 direct agencies to assess 
all costs and benefits of available regulatory alternatives and, if 
regulation is necessary, to select regulatory approaches that maximize 
net benefits (including potential economic, environmental, public 
health and safety effects, distributive impacts, and equity). E.O. 
13563 emphasizes the importance of quantifying both costs and benefits, 
of reducing costs, of harmonizing rules, and of promoting flexibility. 
This is a significant regulatory action and, therefore, was subject to 
review under section 6(b) of E.O. 12866, Regulatory Planning and 
Review, dated September 30, 1993. This rule is not a major rule under 5 
U.S.C. 804.
    Both rules issued by the Department of Labor were determined to be 
economically significant under E.O. 12866, and major rules under 5 
U.S.C. 804. The Regulatory Impact Analysis for these rules was 
published in the Federal Register on September 24, 2013 at 78 FR 59643 
and at 78 FR 58714. The FAR rule adds no new information collections, 
recordkeeping, or other compliance burdens. The FAR rule cites to the 
DOL OMB Control numbers 1250-0004 and 1250-0005 for OMB approval under 
the PRA for any information collection requirements associated with 
revised FAR 52.222-35 (Equal Opportunity for Veteran) and 52.225-36 
(Equal Opportunity for Workers with Disabilities). As explained in the 
section on clauses (II.C.) above, the FAR clauses, to be incorporated 
in solicitations and contracts in full text, include the required 
summary statement (paragraph (b) and (a) of each of the FAR clauses, 
respectively) and then reference to the DOL clauses. There is no 
economic impact arising from the FAR rule, since the FAR rule only 
informs the contractors of the requirements of the DOL rules. Further, 
each DOL rule states that ``By operation of the Act, the equal 
opportunity clause shall be considered to be a part of every contract 
and subcontract required by the Act and the regulations in this part to 
include such a clause, whether or not it is physically incorporated in 
such contract . . .'' (41 CFR 60-300.5(e) and 60-741.5(e)). So the FAR 
is not actually imposing any requirement, but for consistency is 
incorporating this guidance and informing the contractor of existing 
requirements.

IV. Regulatory Flexibility Act

    DoD, GSA, and NASA do not expect this rule to 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. 
However, an Initial Regulatory Flexibility Analysis (IRFA) has been 
prepared and is summarized as follows:

    This interim rule is being issued to implement changes to 41 CFR 
60-25, 60-300, and 60-741, as published in the Federal Register on 
September 24, 2013 at 78 FR 58614 and at 78 FR 58682 by the Office 
of Federal Contract Compliance Programs of the Department of Labor 
(DOL).
    The DOL rules revise the current regulations implementing 38 
U.S.C. 4211 and 4212, and the nondiscrimination and affirmative 
action regulations of section 503 of the Rehabilitation Act of 1973, 
as amended. The DOL rules add requirements on mandatory job 
listings, data collection, and establishing hiring benchmarks.
    With regard to equal opportunity for veterans, DOL estimated 
that the approximate number of small entities that would be subject 
to the rule would be 20,490

[[Page 43577]]

federal contractors with between 50 and 500 employees (approximately 
44 percent of the total Federal contractors impacted by the rule).
    With regard to equal opportunity for individuals with 
disabilities, DOL estimated that the final rule impacts 20,490 
Federal contractors with between 50 and 500 employees (approximately 
44 percent of total Federal contractors impacted by the rule).
    This FAR rule does not add any new reporting, recordkeeping, or 
other compliance burdens. The FAR rule makes contracting officers 
and contractors aware of the DOL requirements.
    The rule does not duplicate, overlap, or conflict with any other 
Federal rules.
    DoD, GSA, and NASA are not aware of any significant alternatives 
to the rule which would accomplish the stated objectives of 
implementing the DOL final rules, while minimizing impact on small 
entities. DoD, GSA, and NASA do not have the flexibility of making 
any changes to the DOL rules, which have already been published for 
public comment and are now taking effect as final rules. There is no 
significant impact on small entities imposed by the FAR rule.

    The Regulatory Secretariat has submitted a copy of the IRFA to the 
Chief Counsel for Advocacy of the Small Business Administration. A copy 
of the IRFA may be obtained from the Regulatory Secretariat. DoD, GSA, 
and NASA invite comments from small business concerns and other 
interested parties on the expected impact of this rule on small 
entities.
    DoD, GSA, and NASA will also consider comments from small entities 
concerning the existing regulations in subparts affected by this rule 
in accordance with 5 U.S.C. 610. Interested parties must submit such 
comments separately and should cite 5 U.S.C. 610 (FAC 2005-76, FAR Case 
2014-013) in correspondence.

V. Paperwork Reduction Act

    The Paperwork Reduction Act (44 U.S.C chapter 35) does apply; 
however, these changes to the FAR do not impose additional information 
collection requirements to the paperwork burden previously approved for 
the DOL regulations under OMB Control Numbers 1250-004, titled: OFCCP 
Recordkeeping and Reporting Requirements--38 U.S.C. 4212, Vietnam Era 
Veterans' Readjustment Assistance Act of 1974, as amended; 1250-005, 
titled: OFCCP Recordkeeping and Reporting Requirements--Section 503 of 
the Rehabilitation Act of 1973, as amended, 29 U.S.C. 703; and 1293-
0005, titled: Federal Contractor Veterans' Employment Report, VETS-100/
VETS-100A.

VI. Determination To Issue an Interim Rule

    A determination has been made under the authority of the Secretary 
of Defense (DoD), the Administrator of General Services (GSA), and the 
Administrator of the National Aeronautics and Space Administration 
(NASA) that urgent and compelling reasons exist to promulgate this 
interim rule without prior opportunity for public comment. This action 
is necessary because the Department of Labor rules became effective on 
March 24, 2014. The DOL rules were published for public comment prior 
to publication of the final rules. Further, each DOL rule states that 
``By operation of the Act, the equal opportunity clause shall be 
considered to be a part of every contract and subcontract required by 
the Act and the regulations in this part to include such a clause, 
whether or not it is physically incorporated in such contract . . .'' 
(41 CFR 60-300.5(e) and 60-741.5(e)). However, the FAR does provide 
government-wide policy and procedures to contractors and even though 
the FAR rule only informs the contractors of DOL's requirements, and it 
is not actually imposing any new requirements, immediate implementation 
in the FAR is necessary to provide awareness and ensure compliance 
across all agencies and contractors, respectively. The FAR rule adds no 
new information collections, recordkeeping, or other burdens. If the 
FAR rule is not issued as an interim rule, which becomes effective upon 
publication, the incorporation of the new clauses in solicitations and 
contracts would be delayed, and contractors may not be aware of DOL's 
regulatory changes with regard to the employment of and outreach 
methods used to hire veterans and workers with disabilities under these 
new rules.
    However, pursuant to 41 U.S.C. 1707, DoD, GSA, and NASA will 
consider public comments received in response to this interim rule in 
the formation of the final rule.

List of Subjects in 48 CFR Parts 1, 22, and 52

    Government procurement.

    Dated: July 18, 2014.
William Clark,
Acting Director, Office of Government-Wide Acquisition Policy, Office 
of Acquisition Policy, Office of Government-Wide Policy.

    Therefore, DoD, GSA, and NASA amend 48 CFR parts 1, 22, and 52 as 
set forth below:

0
1. The authority citation for 48 CFR parts 1, 22, and 52 continues to 
read as follows:

    Authority:  40 U.S.C. 121(c); 10 U.S.C. chapter 137; and 51 
U.S.C. 20113.

PART 1--FEDERAL ACQUISITION REGULATIONS SYSTEM


1.106  [Amended]

0
2. Amend section 1.106, in the table following the introductory text, 
by--
0
a. Removing from FAR segment 22.13 OMB Control Number ``1215-0072'' and 
adding ``1250-0004'' in its place;
0
b. Removing from FAR segment 22.14 OMB Control Number ``1215-0072'' and 
adding ``1250-0005'' in its place; and
0
c. Removing from FAR segments 52.222-35 and 52.222-36 OMB Control 
Number ``1215-0072'' and adding ``1250-0004'' and ``1250-0005'' in 
their places, respectively.

PART 22--APPLICATION OF LABOR LAWS TO GOVERNMENT ACQUISITIONS


22.1300  [Amended]

0
3. Amend section 22.1300 by removing from paragraph (e) ``part 60-
250,''.

0
4. Amend section 22.1301 by adding, in alphabetical order, the 
definitions ``Active duty wartime or campaign badge veteran'' and 
``Protected veteran''; and removing the definition ``Other protected 
veteran''.
    The additions read as follows:


22.1301  Definitions.

* * * * *
    Active duty wartime or campaign badge veteran means a veteran who 
served on active duty in the U.S. military, ground, naval, or air 
service, during a war or in a campaign or expedition for which a 
campaign badge has been authorized under the laws administered by the 
Department of Defense.
* * * * *
    Protected veteran means a veteran who is protected under the non-
discrimination and affirmative action provisions of 38 U.S.C. 4212; 
specifically, a veteran who may be classified as a ``disabled 
veteran,'' ``recently separated veteran,'' ``active duty wartime or 
campaign badge veteran,'' or an ``Armed Forces service medal veteran,'' 
as defined by this section.
* * * * *

0
5. Amend section 22.1302 by revising paragraph (a) to read as follows:


22.1302  Policy.

    (a) Contractors and subcontractors, when entering into contracts 
and subcontracts subject to the Act, are required to--

[[Page 43578]]

    (1) List all employment openings, with the appropriate employment 
service delivery system where the opening occurs, except for--
    (i) Executive and senior management positions;
    (ii) Positions to be filled from within the contractor's 
organization; and
    (iii) Positions lasting three days or less;
    (2) Take affirmative action to employ, advance in employment, and 
otherwise treat qualified individuals, including qualified disabled 
veterans, without discrimination based upon their status as a protected 
veteran, in all employment practices;
    (3) Undertake appropriate outreach and positive recruitment 
activities that are reasonably designed to effectively recruit 
protected veterans; and
    (4) Establish a hiring benchmark and apply it to hiring of 
protected veterans in each establishment, on an annual basis, in the 
manner prescribed in the regulations of the Secretary of Labor.
* * * * *

0
6. Amend section 22.1310 by--
0
a. Revising paragraph (a)(1)(ii); and
0
b. Removing from paragraph (a)(2) ``Programs'' and adding ``Programs of 
the U.S. Department of Labor'' in its place.
    The revision reads as follows:


22.1310  Solicitation provision and contract clauses.

* * * * *
    (a)(1) * * *
    (ii) The Director, Office of Federal Contract Compliance Programs 
of the U.S. Department of Labor, has waived, in accordance with 
22.1305(a), or the head of the agency has waived, in accordance with 
22.1305(b), all of the terms of the clause.
* * * * *


22.1400  [Amended]

0
7. Amend section 22.1400 by removing ``implementing Section'' and 
adding ``implementing section'' in its place.
0
8. Revise section 22.1401 to read as follows:


22.1401  Policy.

    Contractors and subcontractors, when entering into contracts and 
subcontracts subject to the Act, are required to--
    (a) Take affirmative action to employ, and advance in employment, 
qualified individuals with disabilities, and to otherwise treat 
qualified individuals without discrimination based on their physical or 
mental disability;
    (b) Undertake appropriate outreach and positive recruitment 
activities that are reasonably designed to effectively recruit 
qualified individuals with disabilities; and
    (c) Compare the utilization of individuals with disabilities in 
their workforces to the utilization goal, as prescribed in the 
regulations of the Secretary of Labor, on an annual basis.


22.1402  [Amended]

0
9. Amend section 22.1402 by removing from paragraphs (a) and (b) 
``Affirmative Action'' and adding ``Equal Opportunity'' in their 
places.

0
10. Amend section 22.1403 by--
0
a. Revising the introductory text of paragraph (a);
0
b. Revising paragraph (b); and
0
c. Removing from paragraph (d) ``Deputy Assistant Secretary'' and 
adding ``Director of OFCCP'' in its place.
    The revisions read as follows:


22.1403  Waivers.

    (a) The Director of the Office of Federal Contract Compliance 
Programs of the U.S. Department of Labor (Director of OFCCP), may waive 
the application of any or all of the terms of the clause at 52.222-36, 
Equal Opportunity for Workers with Disabilities, for--
* * * * *
    (b) The head of an agency may waive any requirement in this subpart 
when it is determined that the contract is essential to the national 
security, and that its award without complying with such requirements 
is necessary to the national security. Upon making such a 
determination, the head of the agency shall notify the Director of 
OFCCP in writing within 30 days.
* * * * *


22.1405  [Amended]

0
11. Amend section 22.1405 by removing ``Affirmative Action'' and adding 
``Equal Opportunity'' in its place.

0
12. Revise section 22.1406 to read as follows:


22.1406  Complaint procedures.

    (a) Following agency procedures, the contracting office shall 
forward any complaints received about the administration of the Act 
to--
    (1) Director, Office of Federal Contract Compliance Programs, U.S. 
Department of Labor, 200 Constitution Avenue NW., Washington, DC 20210; 
or
    (2) Any OFCCP regional or area office.
    (b) The OFCCP shall institute investigation of each complaint and 
shall be responsible for developing a complete case record.


22.1407  [Amended]

0
13. Amend section 22.1407 by removing from the introductory text 
``Affirmative Action'' and adding ``Equal Opportunity'' in its place.


22.1408  [Amended]

0
14. Amend section 22.1408 by--
0
a. Removing from paragraph (a) introductory text ``Affirmative Action'' 
and adding ``Equal Opportunity'', in its place; and
0
b. Removing from paragraphs (a)(2) and (b) ``agency head'' and adding 
``Director of OFCCP or agency head'', in their places.

PART 52--SOLICITATION PROVISIONS AND CONTRACT CLAUSES

0
15. Amend section 52.212-5 by--
0
a. Revising the date of the clause;
0
b. Revising paragraphs (b)(32) through (34);
0
c. Revising paragraphs (e)(1)(v) and (e)(1)(vi);
0
d. Redesignating paragraphs (e)(1)(vii) through (e)(1)(xv) as 
paragraphs (e)(1)(viii) through (e)(1)(xvi), respectively; and
0
e. Adding a new paragraph (e)(1)(vii); and
0
f. Amending Alternate II by--
0
1. Revising the date of the Alternate; and
0
2. Revising paragraphs (e)(1)(ii)(E) and (F).
    The revisions and additions 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 (July 2014)

* * * * *
    (b) * * *
    ----(32) 52.222-35, Equal Opportunity for Veterans (July 2014) 
(38 U.S.C. 4212).
    ----(33) 52.222-36, Equal Opportunity for Workers with 
Disabilities (July 2014) (29 U.S.C. 793).
    ----(34) 52.222-37, Employment Reports on Veterans (July 2014) 
(38 U.S.C. 4212).
* * * * *
    (e)(1) * * *
    (v) 52.222-35, Equal Opportunity for Veterans (July 2014) (38 
U.S.C. 4212).
    (vi) 52.222-36, Equal Opportunity for Workers with Disabilities 
(July 2014) (29 U.S.C. 793).
    (vii) 52.222-37, Employment Reports on Veterans (July 2014) (38 
U.S.C. 4212).
* * * * *

Alternate II (July 2014). * * *

* * * * *

[[Page 43579]]

    (e)(1) * * *
    (ii) * * *
    (E) 52.222-35, Equal Opportunity for Veterans (July 2014) (38 
U.S.C. 4212).
    (F) 52.222-36, Equal Opportunity for Workers with Disabilities 
(July 2014) (29 U.S.C. 793).
* * * * *


0
16. Amend section 52.213-4 by revising the date of the clause and 
paragraphs (a)(2)(viii), (b)(1)(iv), (b)(1)(v), and (b)(1)(vi) to read 
as follows:


52.213-4  Terms and Conditions--Simplified Acquisitions (Other Than 
Commercial Items).

* * * * *

Terms and Conditions--Simplified Acquisitions (Other Than Commercial 
Items) (July 2014)

    (a) * * *
    (2) * * *
    (viii) 52.244-6, Subcontracts for Commercial Items (July 2014).
* * * * *
    (b) * * *
    (1) * * *
    (iv) 52.222-35, Equal Opportunity for Veterans (July 2014) (38 
U.S.C. 4212) (applies to contracts of $100,000 or more).
    (v) 52.222-36, Equal Employment for Workers with Disabilities 
(July 2014) (29 U.S.C. 793). (Applies to contracts over $15,000, 
unless the work is to be performed outside the United States by 
employees recruited outside the United States.) (For purposes of 
this clause, ``United States'' includes the 50 States, the District 
of Columbia, Puerto Rico, the Northern Mariana Islands, American 
Samoa, Guam, the U.S. Virgin Islands, and Wake Island.)
    (vi) 52.222-37, Employment Reports on Veterans (July 2014) (38 
U.S.C. 4212) (applies to contracts of $100,000 or more).
* * * * *

0
17. Revise section 52.222-35 to read as follows:


52.222-35  Equal Opportunity for Veterans.

    As prescribed in 22.1310(a)(1), insert the following clause:

Equal Opportunity for Veterans (July 2014)

    (a) Definitions. As used in this clause--
    ``Active duty wartime or campaign badge veteran,'' ``Armed 
Forces service medal veteran,'' ``disabled veteran,'' ``protected 
veteran,'' ``qualified disabled veteran,'' and ``recently separated 
veteran'' have the meanings given at FAR 22.1301.
    (b) Equal opportunity clause. The Contractor shall abide by the 
requirements of the equal opportunity clause at 41 CFR 60-300.5(a), 
as of March 24, 2014. This clause prohibits discrimination against 
qualified protected veterans, and requires affirmative action by the 
Contractor to employ and advance in employment qualified protected 
veterans.
    (c) Subcontracts. The Contractor shall insert the terms of this 
clause in subcontracts of $100,000 or more unless exempted by rules, 
regulations, or orders of the Secretary of Labor. The Contractor 
shall act as specified by the Director, Office of Federal Contract 
Compliance Programs, to enforce the terms, including action for 
noncompliance. Such necessary changes in language may be made as 
shall be appropriate to identify properly the parties and their 
undertakings.

    (End of clause)
    Alternate I (July 2014). As prescribed in 22.1310(a)(2), add the 
following as a preamble to the clause:
    Notice: The following term(s) of this clause are waived for this 
contract: --------------------[List term(s)].

0
18. Revise section 52.222-36 to read as follows:


52.222-36  Equal Opportunity for Workers with Disabilities.

    As prescribed in 22.1408(a), insert the following clause:

Equal Opportunity for Workers with Disabilities (July 2014)

    (a) Equal opportunity clause. The Contractor shall abide by the 
requirements of the equal opportunity clause at 41 CFR 60-741.5(a), 
as of March 24, 2014. This clause prohibits discrimination against 
qualified individuals on the basis of disability, and requires 
affirmative action by the Contractor to employ and advance in 
employment qualified individuals with disabilities.
    (b) Subcontracts. The Contractor shall include the terms of this 
clause in every subcontract or purchase order in excess of $15,000 
unless exempted by rules, regulations, or orders of the Secretary, 
so that such provisions will be binding upon each subcontractor or 
vendor. The Contractor shall act as specified by the Director, 
Office of Federal Contract Compliance Programs of the U.S. 
Department of Labor, to enforce the terms, including action for 
noncompliance. Such necessary changes in language may be made as 
shall be appropriate to identify properly the parties and their 
undertakings.


(End of clause)
    Alternate I (July 2014). As prescribed in 22.1408(b), add the 
following as a preamble to the clause:
    Notice: The following term(s) of this clause are waived for this 
contract: --------------------[List term(s)].

0
19. Amend section 52.222-37 by revising the date of the clause and 
paragraphs (a), (b)(1), and (2) to be read as follows:


52.222-37  Employment Reports on Veterans.

* * * * *

Employment Reports on Veterans (July 2014)

    (a) Definitions. As used in this clause, ``Armed Forces service 
medal veteran,'' ``disabled veteran,'' ``active duty wartime or 
campaign badge veteran,'' and ``recently separated veteran,'' have 
the meanings given in FAR 22.1301.
    (b) Unless the Contractor is a State or local government agency, 
the Contractor shall report at least annually, as required by the 
Secretary of Labor, on--
    (1) The total number of employees in the contractor's workforce, 
by job category and hiring location, who are disabled veterans, 
other protected veterans (i.e., active duty wartime or campaign 
badge veterans), Armed Forces service medal veterans, and recently 
separated veterans;
    (2) The total number of new employees hired during the period 
covered by the report, and of the total, the number of disabled 
veterans, other protected veterans (i.e., active duty wartime or 
campaign badge veterans), Armed Forces service medal veterans, and 
recently separated veterans; and
* * * * *

0
20. Amend section 52.244-6 by--
0
a. Revising the date of the clause;
0
b. Revising paragraphs (c)(1)(v) and (vi);
0
c. Redesignating paragraphs (c)(1)(vii) through (c)(1)(xi) as 
paragraphs (c)(1)(viii) through (c)(1)(xii), respectively;
0
d. Adding new paragraph (c)(1)(vii);
    The revised and added text reads as follows:


52.244-6  Subcontracts for Commercial Items.

* * * * *

Subcontracts for Commercial Items (July 2014)

* * * * *
    (c)(1) * * *
    (v) 52.222-35, Equal Opportunity for Veterans (July 2014) (38 
U.S.C. 4212(a));
    (vi) 52.222-36, Equal Opportunity for Workers with Disabilities 
(July 2014) (29 U.S.C. 793).
    (vii) 52.222-37, Employment Reports on Veterans (July 2014) (38 
U.S.C. 4212).
* * * * *
[FR Doc. 2014-17498 Filed 7-24-14; 8:45 am]
BILLING CODE 6820-EP-P