[Federal Register Volume 87, Number 37 (Thursday, February 24, 2022)]
[Rules and Regulations]
[Pages 10313-10314]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-03808]


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

GENERAL SERVICES ADMINISTRATION

48 CFR Parts 538 and 552

[GSAR Case 2020-G509; Docket No. GSA-GSAR 2021-0015; Sequence No. 1]
RIN 3090-AK19


General Services Administration Acquisition Regulation (GSAR); 
Extending Federal Supply Schedule Orders Beyond the Contract Term

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

ACTION: Final rule.

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

SUMMARY: GSA is issuing a final rule amending the General Services 
Administration Acquisition Regulation (GSAR) to incorporate existing 
internal GSA Federal Supply Schedule (FSS) policy concerning the option 
to extend the term of the contract and the performance of orders beyond 
the term of the base FSS contract.

DATES: Effective March 28, 2022.

FOR FURTHER INFORMATION CONTACT: Mr. Thomas O'Linn, Procurement 
Analyst, at [email protected] for clarification of content. For 
information pertaining to status or publication schedules, contact the 
Regulatory Secretariat Division at 202-501-4755 or [email protected]. 
Please cite GSAR Case 2020-G509.

SUPPLEMENTARY INFORMATION:

I. Background

    GSA published a proposed rule at 86 FR 48617 on August 31, 2021, to 
amend the GSAR to incorporate existing internal Federal Supply Schedule 
(FSS) policy concerning the option to extend the term of the contract 
and performance of orders beyond the term of the base FSS contract. 
Specifically, this rule incorporates into the GSAR FSS clause I-FSS-
163, Option to Extend the Term of the Contract (Evergreen), and FSS 
policy concerning standard fill-in information for paragraph (d) of FAR 
clause 52.216-22, Indefinite Quantity.

II. Discussion and Analysis

A. Summary of Significant Changes

    There are no significant changes from the proposed rule. However, 
two minor editorial changes have been made. The two minor editorial 
changes are as follows:
     Removal of the proposed changes to 517.207 from the final 
rule. The reason is because 517.207 is no longer regulatory as the 
section was made non-regulatory under a final rule published at 86 FR 
28499 on May 27, 2021, and corrected at 86 FR 61079 published on 
November 5, 2021; and
     Change the prescription language for GSAR Clause 552.238-
116, Option to Extend the Term of the FSS Contract, noted at section 
538.238(d)(36). The final rule changes the prescription from ``Use in 
all FSS solicitations and contracts'' to ``Use in FSS solicitations and 
contracts when appropriate.'' This change recognizes that not all FSS 
contracts are five year contracts with three five year options (e.g., 
VA Schedules).

B. Analysis of Public Comments

    No public comments were received in response to the proposed rule.

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 rule has been reviewed and determined by Office of Management and 
Budget (OMB) not to be 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.

IV. Congressional Review Act

    The Congressional Review Act, 5 U.S.C. 801 et seq., as amended by 
the Small Business Regulatory Enforcement Fairness Act of 1996, 
generally provides that before a ``major rule'' may take effect, the 
agency promulgating the rule must submit a rule report, which includes 
a copy of the rule, to each House of the Congress and to the 
Comptroller General of the United States. The General Services 
Administration will submit a report

[[Page 10314]]

containing this rule and other required information to the U.S. Senate, 
the U.S. House of Representatives, and the Comptroller General of the 
United States. A major rule cannot take effect until 60 days after it 
is published in the Federal Register. This rule has been reviewed and 
determined by OMB not to be a ``major rule'' under 5 U.S.C. 804(2).

V. Regulatory Flexibility Act

    GSA does not expect this final 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.
    Therefore, a Final Regulatory Flexibility Analysis has not been 
performed. GSA invites comments from small business concerns and other 
interested parties on the expected impact of this rule on small 
entities.
    GSA will also consider comments from small entities concerning the 
existing regulations in subparts affected by the rule in accordance 
with 5 U.S.C. 610. Interested parties must submit such comments 
separately and should cite 5 U.S.C. 610 (GSAR Case 2020-G509), in 
correspondence.

VI. Paperwork Reduction Act

    This final 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 Parts 538 and 552

    Government procurement.

Jeffrey Koses,
Senior Procurement Executive, Office of Acquisition Policy, Office of 
Government-wide Policy, General Services Administration.

    Therefore, GSA amends 48 CFR parts 538 and 552 as set forth below:

0
1. The authority citation for 48 CFR parts 538 and 552 continues to 
read as follows:

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

PART 538--FEDERAL SUPPLY SCHEDULE CONTRACTING

0
2. Revise section 538.270 heading to read as follows:


538.270   Solicitation, evaluation, and award of Federal Supply 
Schedule (FSS) contracts.

0
3. Amend section 538.273 by adding paragraphs (d)(36) and (e) to read 
as follows:


538.273   FSS solicitation provisions and contract clauses.

* * * * *
    (d) * * *
    (36) 552.238-116, Option to Extend the Term of the FSS Contract. 
Use in FSS solicitations and contracts when appropriate.
    (e) Insert the following fill-in information within the blank of 
paragraph (d) of FAR clause 52.216-22, Indefinite Quantity: ``the 
completion of customer order, including options, 60 months following 
the expiration of the FSS contract ordering period''.

PART 552--SOLICITATION PROVISIONS AND CONTRACT CLAUSES

0
4. Add section 552.238-116 to read as follows:


552.238-116   Option to Extend the Term of the FSS Contract.

    As prescribed in 538.273(d)(36), insert the following clause:

Option To Extend the Term of the FSS Contract (Mar 2022)

    (a) The Government may require continued performance of this 
contract for an additional 5 year period. This option may be 
exercised up to three times.
    (b) The Contracting Officer may exercise the option by providing 
written notice to the Contractor 30 days before the contract 
expires.
(End of clause)
[FR Doc. 2022-03808 Filed 2-23-22; 8:45 am]
BILLING CODE 6820-61-P