[Federal Register Volume 67, Number 213 (Monday, November 4, 2002)]
[Proposed Rules]
[Page 67282]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-27268]
[[Page 67281]]
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Part III
Department of Defense
General Services Administration
National Aeronautics and Space Administration
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48 CFR Part 9
Federal Acquisition Regulation; Debarment and Suspension-Order
Placement and Option Exercise; Proposed Rule
Federal Register / Vol. 67, No. 213 / Monday, November 4, 2002 /
Proposed Rules
[[Page 67282]]
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DEPARTMENT OF DEFENSE
GENERAL SERVICES ADMINISTRATION
NATIONAL AERONAUTICS AND SPACE ADMINISTRATION
48 CFR Part 9
[FAR Case 2002-010]
RIN: 9000-AJ48
Federal Acquisition Regulation; Debarment and Suspension--Order
Placement and Option Exercise
AGENCIES: Department of Defense (DoD), General Services Administration
(GSA), and National Aeronautics and Space Administration (NASA).
ACTION: Proposed rule.
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SUMMARY: The Civilian Agency Acquisition Council and the Defense
Acquisition Regulations Council (Councils) are proposing to amend the
Federal Acquisition Regulation (FAR) to address the placement of orders
against existing contracts with contractors that have been debarred,
suspended, or proposed for debarment.
DATES: Interested parties should submit comments in writing on or
before January 3, 2003, to be considered in the formulation of a final
rule.
ADDRESSES: Submit written comments to--General Services Administration,
FAR Secretariat (MVA), 1800 F Street, NW, Room 4035, ATTN: Laurie
Duarte, Washington, DC 20405.
Submit electronic comments via the Internet to--farcase.2002-
[email protected].
Please submit comments only and cite FAR case 2002-010 in all
correspondence related to this case.
FOR FURTHER INFORMATION CONTACT: The FAR Secretariat, Room 4035, GS
Building, Washington, DC, 20405, at (202) 501-4755 for information
pertaining to status or publication schedules. For clarification of
content, contact Mr. Ralph De Stefano, Procurement Analyst, at (202)
501-1758. Please cite FAR case 2002-010.
SUPPLEMENTARY INFORMATION:
A. Background
This proposed rule revises FAR 9.405-1(b) to require that
discretionary actions on the part of the agency meet the same standards
as agencies would have to meet in awarding new contracts. Therefore,
for contractors debarred, suspended, or proposed for debarment, unless
the agency head makes a written determination of the compelling reasons
for doing so, ordering activities shall not place orders exceeding the
guaranteed minimum under indefinite-quantity contracts; place orders
against optional use Federal Supply Schedule contracts; or add new
work, exercise options, or otherwise extend the duration of current
contracts or orders.
In addition, minor editorial corrections are made in sections
9.405, 9.405-1, and 9.405-2. The various deletions of ``or a designee''
from the phrase ``agency head or designee'' does not signify a change
in policy, but implements the FAR convention at FAR 1.108(b) that each
authority is delegable unless specifically stated otherwise.
This is not a significant regulatory action and, therefore, was not
subject to review under Section 6(b) of Executive Order 12866,
Regulatory Planning and Review, dated September 30, 1993. This rule is
not a major rule under 5 U.S.C. 804.
B. Regulatory Flexibility Act
The Councils do 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.,
because it only affects orders placed by civilian agencies against
existing indefinite quantity contracts with contractors debarred,
suspended, or proposed for debarment. The Defense FAR Supplement
already prohibits the placement of such orders. An Initial Regulatory
Flexibility Analysis has, therefore, not been performed. We invite
comments from small businesses and other interested parties. The
Councils will consider comments from small entities concerning the
affected FAR Part in accordance with 5 U.S.C. 610. Interested parties
must submit such comments separately and should cite 5 U.S.C. 601, et
seq. (FAR case 2002-010), in correspondence.
C. Paperwork Reduction Act
The Paperwork Reduction Act does not apply because the proposed
changes to the FAR do not impose information collection requirements
that require the approval of the Office of Management and Budget under
44 U.S.C. 3501, et seq.
List of Subjects in 48 CFR Part 9
Government procurement.
Dated: October 18, 2002.
Al Matera,
Director, Acquisition Policy Division.
Therefore, DoD, GSA, and NASA propose amending 48 CFR part 9 as set
forth below:
PART 9--CONTRACTOR QUALIFICATIONS
1. The authority citation for 48 CFR part 9 continues to read as
follows:
Authority: 40 U.S.C. 486(c); 10 U.S.C. chapter 137; and 42
U.S.C. 2473(c).
2. Amend section 9.405 by revising paragraph (a); and removing from
paragraphs (d)(2) and (d)(3) the words ``or a designee''. The revised
text reads as follows:
9.405 Effect of listing.
(a) Contractors debarred, suspended, or proposed for debarment are
excluded from receiving contracts, and agencies shall not solicit
offers from, award contracts to, or consent to subcontracts with these
contractors, unless the agency head determines that there is a
compelling reason for such action (see 9.405-1(b), 9.405-2, 9.406-1(c),
9.407-1(d), and 23.506(e)). Contractors debarred, suspended, or
proposed for debarment are also excluded from conducting business with
the Government as agents or representatives of other contractors.
* * * * *
3. Amend section 9.405-1 by removing from the first sentence of
paragraph (a) the words ``or a designee''; revising paragraph (b); and
removing paragraph (c). The revised text reads as follows:
9.405-1 Continuation of current contracts.
* * * * *
(b) For contractors debarred, suspended, or proposed for debarment,
unless the agency head makes a written determination of the compelling
reasons for doing so, ordering activities shall not--
(1) Place orders exceeding the guaranteed minimum under indefinite-
quantity contracts;
(2) Place orders against optional use Federal Supply Schedule
contracts; or
(3) Add new work, exercise options, or otherwise extend the
duration of current contracts or orders.
9.405-2 [Amended]
4. Amend section 9.405-2 by removing from the first sentence of
paragraph (a) the words ``or a designee''.
[FR Doc. 02-27268 Filed 11-1-02; 8:45 am]
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