[Federal Register Volume 81, Number 229 (Tuesday, November 29, 2016)]
[Proposed Rules]
[Pages 85916-85917]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-28338]



[[Page 85916]]

=======================================================================
-----------------------------------------------------------------------

AGENCY FOR INTERNATIONAL DEVELOPMENT

48 CFR Part 752

RIN 0412-AA85


Government Property--USAID Reporting Requirements

AGENCY: U.S. Agency for International Development.

ACTION: Proposed rule.

-----------------------------------------------------------------------

SUMMARY: The U.S. Agency for International Development (USAID) seeks 
public comment on a proposed rule that would amend the USAID 
Acquisition Regulation (AIDAR) clarifying accountability for all mobile 
Information Technology equipment provided as government-furnished 
property by Government officials.

DATES: Comments must be received no later than January 30, 2017.

ADDRESSES: Address all comments concerning this proposed rule to Carol 
Ketrick, Bureau for Management, Office of Acquisition and Assistance, 
Policy Division (M/OAA/P), Room 867F, SA-44, Washington, DC 20523-2052. 
Submit comments, identified by title of the action and Regulatory 
Information Number (RIN) by any of the following methods:
    1. Through the Federal eRulemaking Portal at http://www.regulations.gov by following the instructions for submitting 
comments.
    2. By Email: Submit electronic comments to [email protected]. See 
SUPPLEMENTARY INFORMATION for file formats and other information about 
electronic filing.
    3. By Mail addressed to: USAID, Bureau for Management, Office of 
Acquisition & Assistance, Policy Division, Room 867-F, SA-44, 
Washington, DC 20523-2052.

FOR FURTHER INFORMATION CONTACT: Carol Ketrick, Telephone: 202-567-4676 
or Email: [email protected].

SUPPLEMENTARY INFORMATION: 

A. Instructions

    All comments must be in writing and submitted through one of the 
methods specified in the ADDRESSES section above. All submissions must 
include the title of the action and RIN for this rulemaking. Please 
include your name, title, organization, postal address, telephone 
number, and email address in the text of the message.
    Comments submitted by email must be included in the text of the 
email or attached as a PDF file. Please avoid using special characters 
and any form of encryption. Please note that USAID recommends sending 
all comments to the Federal eRulemaking Portal because security 
screening precautions have slowed the delivery and dependability of 
surface mail to USAID/Washington.
    Three days after receipt of a comment and until finalization of the 
action, all comments will be made available at http://www.regulations.gov for public review without change, including any 
personal information provided. We recommend you do not submit 
information that you consider Confidential Business Information (CBI) 
or any information that is otherwise protected from disclosure by 
statute.
    USAID will only address comments that explain why the rule would be 
inappropriate, ineffective, or unacceptable without a change. Comments 
that are insubstantial or outside the scope of the rule may not be 
considered.

B. Background

    The Federal Government has been taking proactive steps to improve 
management and oversight of IT equipment especially in light of recent 
federal cybersecurity incidents. As part of a larger Agency effort to 
strengthen and clarify existing policy and procedures for 
accountability of all USAID Information Technology (IT) equipment and 
access to agency facilities and information systems, USAID is 
clarifying the requirements in the clause in the AIDAR at Sec.  
752.245-70, Government Property--USAID reporting requirements. While 
the clarifications are minor in nature, the entire clause at Sec.  
752.245-70 is being replaced at this time to correct formatting.
    As stated in the clause at Sec.  752.245-70, government-furnished 
property includes personal property furnished either prior to or during 
the performance of the contract by any U.S. Government accountable 
officer to the contractor for use in connection with performance of 
this contract and identified by such officer as accountable. Instead of 
requiring designation of mobile IT as accountable on a case-by-case 
basis, the clause is being amended to clarify that all mobile 
Information Technology (IT) equipment is identified as accountable. 
This includes both mobile IT equipment that is USAID-owned and 
furnished to the contractor, as well as contractor acquired mobile IT 
equipment, title to which vests in the U.S. Government. Mobile IT 
equipment includes, but is not limited to, mobile phones (e.g. 
smartphones), laptops, tablets, and encrypted devices. The format of 
the required Annual Report of Government Property in Contractor's 
Custody is corrected to read that all accountable government-furnished 
property must be reported.

C. Regulatory Planning and Review

    This rule has been determined to be ``nonsignificant'' under 
Executive Order 12866, Regulatory Planning and Review, dated September 
30, 1993 and, therefore, is not subject to review.
    This rule is not a major rule under 5 U.S.C. 804.

D. Regulatory Flexibility Act

    The proposed rule does not 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. Therefore, an Initial 
Regulatory Flexibility Analysis has not been performed.
    E. The proposed rule clarifies but does not establish a new 
collection of information that requires 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 752

    Government procurement.

    For the reasons discussed in the preamble, USAID proposes to amend 
48 CFR Chapter 7 as set forth below:

PART 752--SOLICITATION PROVISIONS AND CONTRACT CLAUSES

0
1. The authority citation for 48 CFR part 752 continues to read as 
follows:

    Authority: Sec. 621, Pub. L. 87-195, 75 Stat. 445, (22 U.S.C. 
2381) as amended; E.O. 12163, Sept. 29, 1979, 44 FR 56673; and 3 CFR 
1979 Comp., p. 435.

0
2. Revise 752.245-70 to read as follows:


752.245-70  Government property--USAID reporting requirements.

    USAID contracts, except those for commercial items, must contain 
the following preface and reporting requirement as additions to the 
appropriate Government Property clause prescribed by (48 CFR) FAR 
45.107, per a GAO audit recommendation.
    Preface: to be inserted preceding the text of the FAR clause.
Government Property--USAID Reporting Requirements (XXX 2016)
    (a)(1) The term Government-furnished property, wherever it appears 
in the following clause, shall mean (1) non-expendable personal 
property owned by or leased to the U.S. Government and furnished to the 
contractor, and (2)

[[Page 85917]]

personal property furnished either prior to or during the performance 
of this contract by any U.S. Government accountable officer to the 
contractor for use in connection with performance of this contract and 
identified by such officer as accountable. All mobile Information 
Technology (IT) equipment, including but not limited to, mobile phones 
(e.g. smartphones), laptops, tablets, and encrypted devices, either 
provided as government furnished property, or acquired by the 
contractor, title to which vests in the U.S. Government, are considered 
accountable.
    (2) The term Government property, wherever it appears in the 
following clause, shall mean Government-furnished property and non-
expendable personal property title to which vests in the U.S. 
Government under this contract, including ``Contractor-acquired 
Property'' title to which vests with the U.S. Government. Non-
expendable personal property, for purposes of this contract, is defined 
as personal property that is complete in itself, does not lose its 
identity or become a component part of another article when put into 
use; is durable, with an expected service life of two years or more; 
and that has a unit cost of more than $500.
    (b) Reporting Requirement: To be inserted following the text of the 
(48 CFR) FAR clause.
    Reporting Requirements: The Contractor will submit an annual report 
on all Government property in a form and manner acceptable to USAID 
substantially as follows:

                                              Annual Report of Government Property in Contractor's Custody
                                                 [Name of contractor as of (end of contract year), 20XX]
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                  Furniture and furnishings--
                                             Motor vehicles       ---------------------------------------------------------- Other  government  property
                                                                              Office                  Living quarters
--------------------------------------------------------------------------------------------------------------------------------------------------------
A. Value of property as of last       ...........................  ...........................  ...........................  ...........................
 report.
B. Transactions during this           ...........................  ...........................  ...........................  ...........................
 reporting period.
    1. Acquisitions (add):..........  ...........................  ...........................  ...........................  ...........................
        a. Contract acquired          ...........................  ...........................  ...........................  ...........................
         property \1\.
        b. Transferred from USAID     ...........................  ...........................  ...........................  ...........................
         \2\.
        c. Transferred from others,   ...........................  ...........................  ...........................  ...........................
         without reimbursement \3\.
    2. Disposals (deduct):..........  ...........................  ...........................  ...........................  ...........................
        a. Returned to USAID........  ...........................  ...........................  ...........................  ...........................
        b. Transferred to USAID--     ...........................  ...........................  ...........................  ...........................
         Contractor purchased.
        c. Transferred to other       ...........................  ...........................  ...........................  ...........................
         Government agencies \3\.
        d. Other disposals \3\......  ...........................  ...........................  ...........................  ...........................
C. Value of property as of reporting  ...........................  ...........................  ...........................  ...........................
 date.
D. Estimated average age of           ...........................  ...........................  ...........................  ...........................
 contractor held property.
                                                 Years                        Years                        Years                        Years
--------------------------------------------------------------------------------------------------------------------------------------------------------
\1\ Personal property that is complete in itself, does not lose its identity or become a component part of another article when put into use; is
  durable, with an expected service life of two years or more; and that has a unit cost of more than $500.
\2\ Government-furnished property listed in this contract as nonexpendable or accountable.
\3\ Explain if transactions were not processed through or otherwise authorized by USAID.

Property Inventory Verification
    I attest that (1) physical inventories of Government property 
are taken not less frequently than annually; (2) the accountability 
records maintained for Government property in our possession are in 
agreement with such inventories; and (3) the total of the detailed 
accountability records maintained agrees with the property value 
shown opposite line C above, and the estimated average age of each 
category of property is as cited opposite line D above.
Authorized Signature---------------------------------------------------
Name-------------------------------------------------------------------
Title------------------------------------------------------------------
Date-------------------------------------------------------------------

    Dated: October 20, 2016.
Roy Plucknett,
Chief Acquisition Officer.
[FR Doc. 2016-28338 Filed 11-28-16; 8:45 am]
BILLING CODE 6116-01-P