[Federal Register Volume 82, Number 76 (Friday, April 21, 2017)]
[Notices]
[Pages 18805-18806]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-08077]


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SMALL BUSINESS ADMINISTRATION


Small Business Size Standards: Termination of Nonmanufacturer 
Rule Class Waiver

AGENCY: U.S. Small Business Administration.

ACTION: Notice of termination of the class waiver to the 
nonmanufacturer rule for rubber gloves.

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SUMMARY: The U.S. Small Business Administration (SBA) is terminating a 
class waiver of the Nonmanufacturer Rule (NMR) for ``Gloves, rubber 
(e.g., electrician's, examination, household-type, surgeon's), 
manufacturing'' based on SBA's discovery of small business 
manufacturers. Terminating this waiver will require recipients of 
Federal contracts (except those valued between $3,500 and $150,000) set 
aside for small business, service-disabled veteran-owned small business 
(SDVOSB), women-owned small business (WOSB), economically disadvantaged 
women-owned small business (EDWOSB), or participants in the SBA's 8(a) 
Business Development (BD) program, to provide the products of small 
business manufacturers or processors on such contracts for rubber 
gloves, unless a Federal Contracting Officer obtains an individual 
waiver to the NMR.

DATES: This action is effective May 8, 2017.

FOR FURTHER INFORMATION CONTACT: Roman Ivey, Program Analyst, by 
telephone at 202-401-1420; or by email at [email protected].

SUPPLEMENTARY INFORMATION:  Section 8(a)(17) and 46 of the Small 
Business Act (Act), 15 U.S.C. 637(a)(17) and 657, and SBA's 
implementing regulations require that recipients of Federal supply 
contracts (except those valued between $3,500 and $150,000) set aside 
for small business, service-disabled veteran-owned small business 
(SDVOSB), women-owned small business (WOSB), economically disadvantaged 
women-owned small business (EDWOSB), or participants in the SBA's 8(a) 
Business Development (BD) program provide the product of a small 
business manufacturer or processor, if the recipient is other than the 
actual manufacturer or processor of the product. This requirement is 
commonly referred to as the Nonmanufacturer Rule (NMR). 13 CFR 
121.406(b). Sections 8(a)(17)(B)(iv)(II) and 46(a)(4)(B) of the Act 
authorize SBA to waive the NMR for a ``class of products'' for which 
there are no small business manufacturers or processors available to 
participate in the Federal market.
    As implemented in SBA's regulations at 13 CFR 121.1204(a)(7), SBA 
will periodically review existing class waivers to the NMR in order to 
determine whether small business manufacturers or processors have 
become available to participate in the Federal market. Upon receipt of 
information that such a small business manufacturer or processor 
exists, the SBA will announce its intent to terminate the NMR waiver 
for a class of products. 13 CFR 121.1204(a)(7)(ii). Unless public 
comment reveals that no small business manufacturer exists for the 
class of products in question, SBA will publish a final Notice of 
Termination in the Federal Register. 13 CFR 121.1204(a)(7)(iii).
    On October 27, 2016, SBA received a request to terminate the 
current class waiver to the NMR for ``Gloves, rubber (e.g., 
electrician's, examination, household-type, surgeon's), manufacturing'' 
under North American Industry Classification System (NAICS) code 339113 
(Surgical Appliance and Supplies Manufacturing), Product Service Code 
(PSC) 9320 (Rubber Fabricated Materials). The requester provided 
evidence that there is a small business manufacturer that has submitted 
offers on solicitations for government contracts within the last 24 
months. SBA issued a Federal Register notice of its intent to terminate 
the class waiver on March 14, 2017, 82 FR 13704. In response to this 
notice, SBA did not receive any comments from the public.
    As a result of this NMR class waiver termination, under a small 
business set-aside, small business dealers are no longer able to 
provide the product of an other than small manufacturer on contracts of 
those types for ``Gloves, rubber (e.g., electrician's, examination, 
household-type, surgeon's), manufacturing,'' unless a Federal

[[Page 18806]]

Contracting Officer obtains an individual waiver to the NMR.
    Therefore, SBA is retracting the NMR class waiver previously 
granted for Rubber Gloves, identified under PSC 9320 and NAICS code 
339113.
    More information on the NMR and Class Waivers can be found at 
https://www.sba.gov/contracting/contracting-officials/non-manufacturer-rule/non-manufacturer-waivers.

Se[aacute]n F. Crean,
Director, Office of Government Contracting.
[FR Doc. 2017-08077 Filed 4-20-17; 8:45 am]
BILLING CODE 8025-01-P