[Federal Register: July 26, 2006 (Volume 71, Number 143)]
[Proposed Rules]               
[Page 42344-42345]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]





48 CFR Part 52

[FAR Case 2006-012; Docket 2006-0020; Sequence 4]
RIN: 9000-AK51

Federal Acquisition Regulation; FAR Case 2006-012; Contract Terms 
and Conditions Required to Implement Statute or Executive Orders--
Commercial Items

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

ACTION: Proposed rule.


SUMMARY: The Civilian Agency Acquisition Council and the Defense 
Acquisition Regulations Council (Councils) are proposing to amend the 
Federal Acquisition Regulation (FAR) to update the required contract 
clauses that implement provisions of law or executive orders for 
acquisitions of commercial items.

DATES: Interested parties should submit written comments to the FAR 
Secretariat on or before September 25, 2006 to be considered in the 
formulation of a final rule.

ADDRESSES: Submit comments identified by FAR case 2006-012 by any of 
the following methods:
    Federal eRulemaking Portal: http://frwebgate.access.gpo.gov/cgi-bin/leaving.cgi?from=leavingFR.html&log=linklog&to=http://acquisition.gov. Follow 

the instructions for submitting comments.
     Agency Web site: http:// acquisition.gov/far/

ProposedRules/proposed.htm. Click on the FAR case number to submit 
     E-mail: farcase.2006-012@gsa.gov. Include FAR case 2006-
012 in the subject line of the message.
     Fax: 202-501-4067.
     Mail: General Services Administration, Regulatory 
Secretariat (VIR), 1800 F Street, NW, Room 4035, ATTN: Laurieann 
Duarte, Washington, DC 20405.
    Instructions: Please submit comments only and cite FAR case 2006-
012 in all correspondence related to this case. All comments received 
will be posted without change to http://frwebgate.access.gpo.gov/cgi-bin/leaving.cgi?from=leavingFR.html&log=linklog&to=http://acquisition.gov/far/ProposedRules/proposed.htm
, including any personal and/or business 

confidential information provided.

[[Page 42345]]

FOR FURTHER INFORMATION CONTACT: For clarification of content, contact 
Mr. Michael O. Jackson, Procurement Analyst, at (202) 208-4949. Please 
cite FAR case 2006-012. For information pertaining to status or 
publication schedules, contact the FAR Secretariat at (202) 501-4755.


A. Background

    In accordance with Section 8002 of Public Law 103-355 (41 U.S.C. 
264, note), contract clauses applicable to acquisitions of commercial 
items are limited, to the maximum extent practicable, to clauses that 
    (1)Required to implement provisions of law or executive orders 
applicable to the acquisition of commercial items; or
    (2)Determined to be consistent with customary commercial practice.
    The clause at FAR 52.212-5, Contract Terms and Conditions Required 
to Implement Statutes or Executive Orders --Commercial Items, 
incorporates, by reference, the contract clauses that the contracting 
officer may select to implement provisions of law or executive orders 
for acquisitions of commercial items. The clause at FAR 52.219-16, 
Liquidated Damages--Subcontracting Plan, is a contract clause that is 
required to implement 15 U.S.C. 637(d)(4)(F)(i). However, the clause at 
FAR 52.219-16 is not included in the list of clauses for commercial 
contracts in FAR 52.212-5. This proposed rule will incorporate the 
clause at FAR 52.219-16 in the list of clauses for commercial contracts 
that the contracting officer may select.
    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 the rule merely clarifies existing language and does not change 
existing policy. Therefore, an Initial Regulatory Flexibility Analysis 
has not been performed. The Councils will consider comments from small 
entities concerning the affected FAR clause at 52.212-5 in accordance 
with 5 U.S.C. 610. Interested parties must submit such comments 
separately and should cite FAR case 2006-012.

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 52

    Government procurement.

    Dated: July 19, 2006.
Ralph De Stefano
Director, Contract Policy Division.

    Therefore, DoD, GSA, and NASA propose amending 48 CFR Part 52 as 
set forth below:


    1. The authority citation for 48 CFR part 52 continues to read as 

    Authority: 40 U.S.C. 121(c); 10 U.S.C. chapter 137; and 42 
U.S.C. 2473(c).

    2. Amend section 52.212-5 by redesignating paragraphs (b)(10) 
through (b)(35) as (b)(11) through (b)(36), respectively, and adding a 
new (b)(10) to read as follows:
    52.212-5 Contract Terms and Conditions Required to Implement 
Statues or Executive Orders--Commercial Items.
* * * * *
    (b) * * *
* * * * *
    (10) 52.219-16, Liquidated Damages-Subcontracting Plan [Date](15 
U.S.C. 637(d)(4)(F)(i)).

[FR Doc. 06-6471 Filed 7-25-06; 8:45 am]