[Federal Register Volume 81, Number 126 (Thursday, June 30, 2016)]
[Proposed Rules]
[Pages 42608-42609]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-15257]
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DEPARTMENT OF DEFENSE
Defense Acquisition Regulations System
48 CFR Part 252
[Docket DARS-2016-0020]
RIN 0750-AI96
Defense Federal Acquisition Regulation Supplement: Administrative
Cost To Issue and Administer a Contract (DFARS Case 2016-D020)
AGENCY: Defense Acquisition Regulations System, Department of Defense
(DoD).
ACTION: Proposed rule.
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SUMMARY: DoD is proposing to amend the Defense Federal Acquisition
Regulation Supplement (DFARS) to revise the estimated administrative
cost to award and administer a contract, for the purpose of evaluating
bids for multiple awards.
DATES: Comments on the proposed rule should be submitted in writing to
the address shown below on or before August 29, 2016, to be considered
in the formation of a final rule.
ADDRESSES: Submit comments identified by DFARS Case 2016-D020, using
any of the following methods:
[cir] Regulations.gov: http://www.regulations.gov. Submit comments
via the Federal eRulemaking portal by entering ``DFARS Case 2016-D020''
under the heading ``Enter keyword or ID'' and selecting ``Search.''
Select the link ``Submit a Comment'' that corresponds with ``DFARS Case
2016-D020.'' Follow the instructions provided at the ``Submit a
Comment'' screen. Please include your name, company name (if any), and
``DFARS Case 2016-D020'' on your attached document.
[cir] Email: [email protected]. Include DFARS Case 2016-D020 in
the subject line of the message.
[cir] Fax: 571-372-6094.
[cir] Mail: Defense Acquisition Regulations System, Attn: Mr.
Christopher Stiller, OUSD (AT&L) DPAP/DARS, Room 3B941, 3060 Defense
Pentagon, Washington, DC 20301-3060.
[[Page 42609]]
Comments received generally will be posted without change to http://www.regulations.gov, including any personal information provided. To
confirm receipt of your comment(s), please check www.regulations.gov,
approximately two to three days after submission to verify posting
(except allow 30 days for posting of comments submitted by mail).
FOR FURTHER INFORMATION CONTACT: Mr. Christopher Stiller, telephone
571-372-6176.
SUPPLEMENTARY INFORMATION:
I. Background
DoD is proposing to revise the DFARS to implement a policy that
addresses the Government's cost to award and administer a contract, for
the purpose of evaluating bids for multiple awards. The provision at
DFARS 252.247-7008, Evaluation of Bids--Basic, and its Alternate I,
reflects that $500 is the administrative cost to the Government for
issuing and administering contracts. Based on increase in the Consumer
Price Index since 1990, an upward adjustment of $500 in the provision
to $1,000 would be a realistic reflection of the actual cost to the
Government to issue and administer a contract. This increase conforms
to an equivalent adjustment proposed under FAR Case 2016-003 published
in the Federal Register on May 12, 2016 (81 FR 29514).
II. Discussion and Analysis
Amendments to DFARS provision 252.247-7008, Evaluation of Bids--
Basic, and its Alternate I, are proposed by this rule. A monetary
adjustment is proposed to increase, from $500 to $1,000, the
administrative cost to the Government for issuing and administering
each contract to be awarded under a solicitation for the purpose of
evaluating bids for multiple awards.
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
DoD does not expect this proposed 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 has been performed
and is summarized as follows:
The clause at DFARS 252.247-7008, Evaluation of Bids, reflects that
$500 is the administrative cost to the Government for issuing and
administering contracts. The rule is necessary to reestablish a more
realistic estimate of the cost to award and administer a contract, for
the purpose of evaluating bids for multiple awards. The estimated
administrative cost to award and administer a contract has not changed
since 1990.
The objective of this rule is to revise DFARS 252.247-7008,
Evaluation of Bids, to include an inflation adjustment based on
increase in the Consumer Price Index since 1990. See http://data.bls.gov/cgi-bin/cpicalc.pldata. The adjustment will change the
estimated cost to award and administer a contract from $500 to $1,000.
According to the Federal Procurement Data System, in fiscal year
2015, the Federal Government made approximately 2,019 definitive
contract awards to small businesses using sealed bidding procedures and
103 indefinite delivery contract awards to small businesses using
sealed bidding procedures, 12 of which were multiple awards. Thus, DoD
does not expect this rule to have an economic impact on a substantial
number of small entities. Additionally, the rule does not place any new
requirements on small entities.
The rule does not duplicate, overlap, or conflict with any other
Federal rules.
There are no significant alternatives to the rule which accomplish
the stated objectives.
DoD invites comments from small business concerns and other
interested parties on the expected impact of this rule on small
entities.
DoD 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 (DFARS Case 2016-D020), in
correspondence.
V. Paperwork Reduction Act
The rule does not contain any information collection requirements
that require the approval of the Office of Management and Budget under
the Paperwork Reduction Act (44 U.S.C. chapter 35).
List of Subjects in 48 CFR Part 252
Government procurement.
Jennifer L. Hawes,
Editor, Defense Acquisition Regulations System.
Therefore, 48 CFR part 252 is proposed to be amended as follows:
PART 252--SOLICITATION PROVISIONS AND CONTRACT CLAUSES
0
1. The authority citation for part 252 continues to read as follows:
Authority: 41 U.S.C. 1303 and 48 CFR chapter 1.
252.247-7009 [Amended]
0
2. Amend section 252.247-7008 by--
0
a. Removing the provision date ``(APR 2014)'' and adding ``(DATE)'' in
its place;
0
b. In paragraph (b)(1), removing ``$500'' and adding ``$1,000'' in its
place; and
0
c. In Alternate I:
0
i. Removing the clause date ``(APR 2014)'' and adding ``(DATE)'' in its
place; and
0
ii. In paragraph (b)(1), removing ``$500'' and adding ``$1,000'' in its
place.
[FR Doc. 2016-15257 Filed 6-29-16; 8:45 am]
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