[Federal Register Volume 84, Number 156 (Tuesday, August 13, 2019)]
[Rules and Regulations]
[Pages 40223-40224]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-17202]


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DEPARTMENT OF DEFENSE

GENERAL SERVICES ADMINISTRATION

NATIONAL AERONAUTICS AND SPACE ADMINISTRATION

48 CFR Chapter 1

[Docket No. FAR 2019-0002, Sequence No. 4]


Federal Acquisition Regulation; Federal Acquisition Circular 
2019-05; Small Entity Compliance Guide

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

ACTION: Small Entity Compliance Guide.

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SUMMARY: This document is issued under the joint authority of DOD, GSA, 
and NASA. This Small Entity Compliance Guide has been prepared in 
accordance with section 212 of the Small Business Regulatory 
Enforcement Fairness Act of 1996. It consists of a summary of the rule 
appearing in Federal Acquisition Circular (FAC) 2019-05, which amends 
the Federal Acquisition Regulation (FAR). An asterisk (*) next to a 
rule indicates that a regulatory flexibility analysis has been 
prepared. Interested parties may obtain further information regarding 
this rule by referring to FAC 2019-05, which precedes this document. 
These documents are also available via the internet at http://www.regulations.gov.

DATES: August 13, 2019.

FOR FURTHER INFORMATION CONTACT: [email protected] or call 202-969-
4075. Please cite FAC 2019-05, FAR Case 2018-017.

                       Rule Listed in FAC 2019-05
 
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             Subject                  FAR case            Analyst
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*Prohibition on Contracting for          2018-017  Francis.
 Certain Telecommunications and
 Video Surveillance Services or
 Equipment.
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[[Page 40224]]


SUPPLEMENTARY INFORMATION: A summary for the FAR rule follows. For the 
actual revisions and/or amendments made by this FAR Case, refer to the 
specific subject set forth in the document following this item summary. 
FAC 2019-05 amends the FAR as follows:

Prohibition on Contracting for Certain Telecommunications and Video 
Surveillance Services or Equipment (FAR Case 2018-017)

    This interim rule amends the FAR to implement section 889(a)(1)(A) 
of the John S. McCain National Defense Authorization Act (NDAA) for 
Fiscal Year (FY) 2019 (Pub. L. 115-232). Paragraph (a)(1)(A) of section 
889 prohibits agencies from procuring or obtaining, or extending or 
renewing a contract to procure or obtain, any equipment, system, or 
service that uses covered telecommunication equipment or services as a 
substantial or essential component of any system, or as a critical 
technology as part of any system on or after August 13, 2019, unless an 
exception applies or a waiver has been granted. Further prohibitions at 
paragraph (a)(1)(B) of section 889 go into effect August 13, 2020, and 
will be addressed through separate rulemaking.
    To implement paragraph (a)(1)(A) of section 889, this interim rule 
provides a new solicitation provision and contract clause. The 
provision at FAR 52.204-24 requires offerors to represent whether their 
offer includes covered telecommunications equipment or services and if 
so, to identify additional details about its use. Representations are 
also required for orders on indefinite delivery contracts. The clause 
at FAR 52.204-25 prohibits contractors from providing any equipment, 
system, or service that uses covered telecommunications equipment or 
services as a substantial or essential component of any system, or as 
critical technology as part of any system, unless an exception applies 
or the covered telecommunications equipment or services are covered by 
a waiver described in FAR 4.2104. The contractor must also report any 
such equipment, systems, or services discovered during contract 
performance; this requirement flows down to subcontractors.
    This rule applies to all acquisitions, including acquisitions at or 
below the simplified acquisition threshold and to acquisitions of 
commercial items, including commercially available off-the-shelf items. 
It may have a significant economic impact on a substantial number of 
small entities.
    This interim rule is being implemented as a national security 
measure to protect Government information, and Government information 
and communication technology systems.
    Contracting officers shall modify certain contracts to include the 
new FAR clause, as specified in the Dates section of the preamble of 
the interim rule. Contracting officers also shall include the new FAR 
provision in solicitations for an order, or notices of intent to place 
an order, under those contracts.

Janet M. Fry,
Director, Federal Acquisition Policy Division, Office of Government-
wide Policy.
[FR Doc. 2019-17202 Filed 8-12-19; 8:45 am]
 BILLING CODE 6820-EP-P