[Federal Register Volume 80, Number 114 (Monday, June 15, 2015)]
[Proposed Rules]
[Pages 34126-34127]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-14198]



48 CFR Parts 517 and 552

[GSAR Case 2007-G500; Docket 2008-0007; Sequence 3]
RIN 3090-AI51

General Services Administration Acquisition Regulation (GSAR); 
Rewrite of GSAR Part 517, Special Contracting Methods

AGENCY: Office of Acquisition Policy, Office of Government-Wide Policy, 
General Services Administration (GSA).

ACTION: Proposed rule.


SUMMARY: The General Services Administration (GSA) is proposing to 
amend the General Services Administration Acquisition Regulation (GSAR) 
to revise requirements for special contracting methods and updates 
eliminating out of date references and reorganizes the text to align 
with the Federal Acquisition Regulation (FAR). This second proposed 
rule incorporates many of the changes of the proposed rule and makes 
additional modifications to the text.

DATES: Interested parties should submit written comments to the 
Regulatory Secretariat on or before August 14, 2015 to be considered in 
the formulation of a final rule.

ADDRESSES: Submit comments identified by GSAR case 2007-G500 by any of 
the following methods:
     Regulations.gov: http://www.regulations.gov. Submit 
comments via the Federal eRulemaking portal by searching for ``GSAR 
Case 2007-G500''. Select the link ``Comment Now'' that corresponds with 
``GSAR Case 2007-G500.'' Follow the instructions provided at the 
``Comment Now'' screen. Please include your name, company name (if 
any), and ``GSAR Case 2007-G500'' on your attached document.
     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 GSAR Case 2007-
G500, 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: For clarification about content, 
contact Ms. Janet Fry at 703-605-3167 or [email protected]. For 
information pertaining to the status or publication schedules, contact 
the Regulatory Secretariat (MVCB), 1800 F Street NW., Washington, DC 
20405, 202-501-4755. Please cite GSAR Case 2007-G500.


I. Background

    The General Services Administration (GSA) is amending the General 
Services Administration Acquisition Regulation (GSAR) to revise 
sections of GSAR part 517 that provide requirements for special 
contracting methods.
    GSA published a proposed rule in the Federal Register at 73 FR 
32274 on June 6, 2008 http://www.gpo.gov/fdsys/pkg/FR-2008-06-06/pdf/E8-12613.pdf as part of the General Services Administration Acquisition 
Manual (GSAM) Rewrite initiative undertaken by GSA to update the GSAM 
to maintain consistency with the Federal Acquisition Regulation (FAR). 
The GSAM incorporates the GSAR as well as internal agency acquisition 
policy. No comments were received in response to the Federal Register 
Notice for the proposed rule.
    The case is being issued as a second proposed rule due to the 
additional edits made to GSAR part 517 and the length of time since the 
proposed rule was published in 2008.

II. Discussion and Analysis

A. Summary of Significant Changes

    The second proposed rule:
     Updates the statutes cited in GSAR 517.109.
     Deletes GSAR 517.200(b), GSAR 517.202(iv), GSAR 
517.202(v), and GSAR 517.207(a) and makes conforming changes.
     Replaces the content of GSAR 517.203 with new text, cross 
referencing the requirements in FAR 22.407 when using option provisions 
that extend the term of a construction contract.
     Adds a new paragraph at GSAR 517.207(b) that reminds 
contracting officers to seek new wage determinations when exercising 
options that extend the term of the contract.
     Addresses other administrative and typographical updates.

    Note: The following proposed changes were not retained in the 
second proposed rule:
     517.202(c) was not retained as FAR 7.105 already 
requires contracting officers to address options in acquisition 
     517.203(c) was not retained as availability of funds is 
part of the FAR 17.207 determination.

B. Analysis of Public Comments

    No comments on the proposed rule were received from the public by 
the August 5, 2008 closing date.

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 not a significant regulatory action and, therefore, was not 
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.

IV. Regulatory Flexibility Act

    The General Services Administration does not expect this proposed 
rule to

[[Page 34127]]

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., because the revisions are administrative in nature. The 
changes merely update and reorganize existing GSAR coverage. Therefore, 
the agency did not perform an Initial Regulatory Flexibility Analysis 
    GSA will also consider comments from small entities concerning the 
subparts affected by the rule consistent with 5 U.S.C. 610. Interested 
parties must submit such comments separately and should cite 5 U.S.C. 
601, GSAR case 2007-G500, in correspondence.

V. Paperwork Reduction Act

    The Paperwork Reduction Act does not apply as the rule does not 
impose information collection requirements that require the approval of 
the Office of Management and Budget under 44 U.S.C. chapter 35.

List of Subjects in 48 CFR Parts 517 and 552

    Government procurement.

    Dated: June 5, 2015.
Jeffrey A. Koses,
Senior Procurement Executive, Office of Acquisition Policy, General 
Services Administration.

    Therefore, GSA proposes to amend 48 CFR parts 517 and 552 as set 
forth below:

1. The authority citation for 48 CFR part 517 is revised to read as 

    Authority: 40 U.S.C. 121(c).


517.109   [Amended]

2. Amend section 517.109 by removing from the introductory text ``40 
U.S.C. 490(a)(14)'' and ``40 U.S.C. 481(a)(3)'' and adding ``40 U.S.C. 
581(c)(6)'' and ``40 U.S.C. 501(b)(1)(B)'' in their places, 
3. Revise section 517.200 to read as follows:

517.200  Scope of subpart.

    This subpart applies to all GSA contracts for supplies and 
services, including:
    (a) Services involving construction, alteration, or repair 
(including dredging, excavating, and painting) of buildings, bridges, 
roads, or other kinds of real property.
    (b) Architect-engineer services.
4. Amend section 517.202 by--
a. Removing from the introductory paragraph of (a)(1) ``You should use 
options'' and adding ``Options should be used'' in its place;
b. Removing from paragraph (a)(2)(i) ``You anticipate a'' and adding 
``There is an anticipated'' in its place;
c. Revising paragraph (a)(2)(ii);
d. Removing paragraphs (a)(2)(iv) and (a)(2)(v); and
e. Removing from paragraph (a)(3) ``Do not use an option'' and adding 
``An option may not be used'' in its place.
    The revision reads as follows:

517.202  Use of options.

    (a) * * *
    (2) * * *
    (ii) The use of multiyear contracting authority is inappropriate 
and the contracting officer anticipates a need for additional supplies 
or services beyond the basic contract term.
* * * * *
5. Revise section 517.203 to read as follows:

517.203  Solicitations.

    Construction solicitations and contracts which contain options that 
extend the term of the contract must include one of the three clauses 
described at FAR 22.407(e), (f) or (g).
6. Revise section 517.207 to read as follows:

517.207  Exercise of options.

    In addition to the requirements of FAR 17.207, the contracting 
officer must also:
    (a) Determine that the contractor's performance under the contract 
met or exceeded the Government's expectation for quality performance, 
unless another circumstance justifies an extended contractual 
relationship; and
    (b) Obtain a new wage determination if the Service Contract Act 
(FAR 22.1007) or the Davis-Bacon Act (FAR 22.404-12) applies.
    (c) Determine that the option price is fair and reasonable.

517.208  [Amended]

7. Amend section 517.208 by removing from the introductory paragraph 
(a) ``FSS's'' and adding ``FAS''' in its place.


8. The authority citation for 48 CFR parts 552 continues to read as 

    Authority: 40 U.S.C. 121(c).

9. Amend section 552.217-70 by revising the date of the provision; and 
removing from paragraph (a), in the second sentence ``standard);'' and 
adding ``standard),'' in its place.
    The revision reads as follows:

552.217-70  Evaluation of options.

* * * * *

Evaluation of Options (Date)

* * * * *
[FR Doc. 2015-14198 Filed 6-12-15; 8:45 am]