[Federal Register: November 22, 2002 (Volume 67, Number 226)]
[Rules and Regulations]
[Page 70515-70517]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr22no02-12]
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Part IV
Department of Defense
General Services Administration
National Aeronautics and Space Administration
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48 CFR Ch. 1, Parts 4, 7, et al.
Federal Acquisition Regulations; Final Rules
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DEPARTMENT OF DEFENSE
GENERAL SERVICES ADMINISTRATION
NATIONAL AERONAUTICS AND SPACE ADMINISTRATION
48 CFR Chapter 1
Federal Acquisition Circular 2001-10; Introduction
AGENCIES: Department of Defense (DoD), General Services Administration
(GSA), and National Aeronautics and Space Administration (NASA).
ACTION: Summary presentation of final rules and technical amendments
and corrections.
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SUMMARY: This document summarizes the Federal Acquisition Regulation
(FAR) rules agreed to by the Civilian Agency Acquisition Council and
the Defense Acquisition Regulations Council in this Federal Acquisition
Circular (FAC) 2001-10. A companion document, the Small Entity
Compliance Guide (SECG), follows this FAC. The FAC, including the SECG,
is available via the Internet at http://frwebgate.access.gpo.gov/cgi-bin/leaving.cgi?from=leavingFR.html&log=linklog&to=http://www.arnet.gov/far.
DATES: For effective dates and comment dates, see separate documents
which follow.
FOR FURTHER INFORMATION CONTACT: The FAR Secretariat, Room 4035, GS
Building, Washington, DC 20405, (202) 501-4755, for information
pertaining to status or publication schedules. For clarification of
content, contact the analyst whose name appears in the table below in
relation to each FAR case or subject area. Please cite FAC 2001-10 and
specific FAR case number(s). Interested parties may also visit our Web
site at http://frwebgate.access.gpo.gov/cgi-bin/leaving.cgi?from=leavingFR.html&log=linklog&to=http://www.arnet.gov/far.
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Item Subject FAR case Analyst
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I General Records Schedule............... 2002-016................. Nelson.
II Executive Order 13202, Preservation of 2001-016................. Nelson.
Open, Competition and Government
Neutrality Towards Government
Contractors' Labor Relations On
Federal and Federally Funded
Construction projects.
III Caribbean Basin Country End Products... 2000-306................. Davis.
IV Financing Policies..................... 2000-007................. Olson.
V Technical Amendments................... ......................... ...............
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SUPPLEMENTARY INFORMATION: Summaries for each FAR rule follow. For the
actual revisions and/or amendments to these FAR cases, refer to the
specific item number and subject set forth in the documents following
these item summaries.
FAC 2001-10 amends the FAR as specified below:
Item I--General Records Schedule (FAR Case 2002-016)
This final rule amends the FAR to reflect the previous language of
FAR 4.705-2 exactly as it was written prior to revision of this
subsection by FAC 97-18, item IV, General Records Schedule (FAR case
1999-615) published in the Federal Register on June 6, 2000 (65 FR
36012). It was brought to the attention of the Councils that the prior
change to FAR 4.705-2 made in FAC 97-18 inadvertently resulted in
longer record retention periods for contractors and subcontractors.
This final rule--
[sbull] Revises the subsection title of FAR 4.705-2 to read ``Pay
administration records'' instead of ``Construction contract pay
administration records,'' thus, making all record retention
requirements in the entire subsection applicable to all contracts
rather than limiting it to construction contracts;
[sbull] Revises FAR 4.705-2(a) to change from a record retention
period of 3 years after completion of contract unless contract
performance is the subject of enforcement action, to 4 years after
generation of the records.
For the period from June 6, 2000, through the effective date of
this final rule, compliance with either the record retention
requirements contained in this rule or the requirements published in
FAC 97-18 is acceptable.
Item II--Executive Order 13202, Preservation of Open Competition and
Government Neutrality Towards Government Contractors' Labor Relations
on Federal and Federally Funded Construction Projects (FAR Case 2001-
016)
This final rule terminates the stay and adopts the May 16, 2001,
interim rule as final without change. The rule amends FAR parts 17, 22,
and 36 to implement Executive Order 13202, as amended by Executive
Order 13208. Contracting officers, or any construction manager acting
on behalf of the Government, may not require or prohibit offerors,
contractors, or subcontractors from entering into or adhering to
project labor agreements with one or more labor organizations. It also
permits agency heads to exempt a project from the requirements of the
Executive order under special circumstances, but the exemption may not
be related to the possibility of, or an actual, labor dispute.
Item III--Caribbean Basin Country End Products (FAR Case 2000-306)
The interim rule published in the Federal Register as item V of FAC
2001-04 (67 FR 6116, February 8, 2002), is converted to a final rule
with changes. The interim rule implemented the determination of the
United States Trade Representative (USTR) to extend the treatment of
certain end products, from countries designated by the President as
beneficiaries under the Caribbean Basin Economic Recovery Act, as
eligible products under the Trade Agreements Act, with the exception of
end products from the Dominican Republic, Honduras, and Panama. It also
implemented section 211 of the United States-Caribbean Basin Trade
Partnership Act and the determination of the USTR as to which countries
qualify for the enhanced trade benefits under that Act. However, on
July 12, 2002, the USTR published a notice in the Federal Register to
reinstate the treatment on Government procurement of products from
Honduras. The notice stated that products of Honduras shall be treated
as eligible products for purposes of section 1-101 of Executive Order
12260. Such treatment shall not apply to products
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originating in Honduras that are excluded from duty-free treatment
under 19 U.S.C. 2703(b). The determination to reinstate Honduras as
published by the USTR has been incorporated in this final rule.
Item IV--Financing Policies (FAR Case 2000-007)
This final rule revises certain financing policies at FAR part 32,
Contract Financing, and related contract provisions at FAR part 52. The
rule--
[sbull] Removes the restriction on use of performance-based
payments on fixed-price contracts prior to definitization; and
[sbull] Permits large businesses, in their billings to the
Government, to include certain vendor and subcontractor costs that have
been incurred, but not actually paid, provided that, ordinarily, they
pay the subcontractor within 30 days.
Item V--Technical Amendments
These amendments update references and make editorial changes at
FAR 7.105(b)(4)(i) and 19.502-2(a).
Dated: November 12, 2002.
Al Matera,
Director, Acquisition Policy Division.
Federal Acquisition Circular
Federal Acquisition Circular (FAC) 2001-10 is issued under the
authority of the Secretary of Defense, the Administrator of General
Services, and the Administrator for the National Aeronautics and Space
Administration.
Unless otherwise specified, all Federal Acquisition Regulation
(FAR) and other directive material contained in FAC 2001-10 are
effective December 23, 2002, except for items II, III, and V, which are
effective November 22, 2002.
Dated: November 1, 2002.
Deidre A. Lee,
Director, Defense Procurement and Acquisition Policy.
Dated: October 28, 2002.
David A. Drabkin,
Deputy Associate Administrator, Office of Acquisition Policy, General
Services Administration.
Dated: October 28, 2002.
Tom Luedtke,
Assistant Administrator for Procurement, National Aeronautics and Space
Administration.
[FR Doc. 02-29088 Filed 11-21-02; 8:45 am]
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