[Federal Register: December 12, 2005 (Volume 70, Number 237)]
[Proposed Rules]
[Page 73415-73423]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr12de05-23]
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DEPARTMENT OF DEFENSE
GENERAL SERVICES ADMINISTRATION
NATIONAL AERONAUTICS AND SPACE ADMINISTRATION
48 CFR Parts 1, 2, 4, 5, 6, 7, 8, 9, 12, 13, 15, 16, 17, 19, 22,
25, 28, 30, 32, 36, 42, 48, 49, 50, 52, and 53
[FAR Case 2004-033]
RIN 9000-AK26
Federal Acquisition Regulation; Inflation Adjustment of
Acquisition-Related Thresholds
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 adjust acquisition-related
thresholds for inflation. Section 807 of the Ronald W. Reagan National
Defense Authorization Act for Fiscal Year 2005 (Public Law 108-375)
requires that the FAR Council periodically adjust all statutory
acquisition-related dollar thresholds in the FAR for inflation, except
the statute does not permit escalation of acquisition-related dollar
thresholds established by the Davis-Bacon Act, the Service Contract
Act, or trade agreements. This rule also proposes to amend other
acquisition-related thresholds that are based on policy rather than
statute. Inflation adjustment of Cost Accounting Standards (CAS)
thresholds in the CAS regulations is simultaneously addressed in a
separate case.
DATES: Interested parties should submit written comments to the FAR
Secretariat on or before February 10, 2006 to be considered in the
formulation of a final rule.
ADDRESSES: Submit comments identified by FAR case 2004-033 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://www.regulations.gov.
Follow the instructions for submitting comments.
Agency Web Site: http://frwebgate.access.gpo.gov/cgi-bin/leaving.cgi?from=leavingFR.html&log=linklog&to=http://www.acqnet.gov/far/ProposedRules/proposed.htm.
Click on the FAR case number to submit comments. E-mail: farcase.2004-033@gsa.gov. Include FAR case 2004-
4-
033 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 2004-
033 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://www.acqnet.gov/far/ProposedRules/proposed.htm
, including any personal and/or business
confidential information provided.
FOR FURTHER INFORMATION CONTACT: The FAR Secretariat at (202) 501-4755
for information pertaining to status or publication schedules. For
clarification of content, contact Mr. Michael Jackson, Procurement
Analyst, at (202) 208-4949. Please cite FAR case 2004-033.
SUPPLEMENTARY INFORMATION:
A. Background
This proposed rule implements Section 807 of the Ronald W. Reagan
National Defense Authorization Act for Fiscal Year 2005 (Public Law
108-375). Section 807 provides for adjustment every 5 years of
acquisition-related thresholds, except for Davis-Bacon Act, Service
Contract Act, and trade agreements thresholds, as provided by law. This
rule also proposes escalation of some non-statutory acquisition-related
thresholds.
What is an acquisition-related threshold?
The statute defines an acquisition-related dollar threshold as a
dollar threshold that is specified in law as a factor in defining the
scope of the applicability of a policy, procedure, requirement, or
restriction provided in that law to the procurement of supplies or
services by an executive agency, as determined by the FAR Council.
There are other thresholds in the FAR that, while not meeting this
statutory definition of ``acquisition-related,'' nevertheless meet all
the other criteria. These thresholds may have their origin in executive
order or regulation.
Therefore, an acquisition-related threshold, for the purposes of
this rule, is a threshold that is specified in law, executive order, or
regulation as a factor in defining the scope of the applicability of a
policy, procedure, requirement, or restriction provided in that law,
executive order, or regulation to the procurement of supplies or
services by an executive agency, as determined by the FAR Council.
Acquisition-related thresholds are generally tied to the value of a
contract, subcontract, or modification.
Examples of thresholds that the Councils do not view as
``acquisition-related'' are thresholds relating to claims, penalties,
withholding, payments, required levels of insurance, small business
size standards, liquidated damages, etc.
What acquisition-related thresholds are not subject to escalation
adjustment under this case?
The statute does not permit escalation of acquisition-related
thresholds established by the Davis-Bacon Act, the Service Contract
Act, or trade agreements.
The statute does not authorize the FAR to escalate thresholds
originating in executive order or the implementing agency (such as the
Department of Labor or the Small Business Administration), unless the
executive order or agency regulations are first amended.
Analysis of statutory acquisition-related thresholds.
With the exception of thresholds set by the Davis-Bacon Act,
Service Contract Act, and trade agreements, the statute requires that
we adjust the acquisition-related thresholds for inflation using the
Consumer Price Index (CPI) for all urban consumers. Acquisition-related
thresholds in statutes that were in effect on October 1, 2000, are
subject to 5 years of
[[Page 73416]]
inflation. For purposes of this proposed rule, a matrix has been
developed that includes calculation of escalation based on the CPI from
December 1999 to December 2004 (the most recent available data), which
currently calculates as 1.1307. Acquisition-related thresholds in
statutes that took effect after October 1, 2000, are escalated
proportionately for the number of months between the effective date of
the statute, and October 1, 2005.
Once the escalation factor is applied to the acquisition-related
threshold, then the law requires rounding of the calculated threshold
as follows:
< $10,000.............................. Nearest $500
$10,000 - < $100,000................... Nearest $5,000
$100,000 - < $1,000,000................ Nearest $50,000
$1,000,000 or more.................... Nearest $500,000
At the current rate of inflation, this means that thresholds of
$1,000, $10,000, $100,000, and $1,000,000, although subject to
inflation calculation, will not actually be changed until 2010, because
the inflation is insufficient to overcome the rounding requirements.
Section 807(c) of the statute states that this statute supersedes
the applicability of any other provision of law that provides for the
adjustment of any acquisition-related threshold that is adjustable
under this statute. The cost or pricing data threshold in the Truth in
Negotiations Act (10 U.S.C. 2306a and 41 U.S.C. 254b) and allowable
costs threshold at 10 U.S.C. 2324(1) and 41 U.S.C. 256(1) currently
have built in escalation that is consistent with the escalation
provided in this statute. The thresholds for defining a major system
are stated in fiscal year 1990 constant dollars for DoD and in fiscal
year 1980 constant dollars for civilian agencies. This rule proposes to
convert these major system thresholds to current year dollars that will
be adjusted every 5 years.
The law tasks the FAR Council to carry out these inflation
adjustments, even if the change to a statutory threshold affects the
regulations of the primary implementing agency (such as DoL or SBA).
The Councils have coordinated with the affected agencies before
issuance of this proposed rule.
Analysis of non-statutory acquisition-related thresholds.
No statutory authorization is required to escalate thresholds that
were set as policy within the FAR. The FAR acquisition-related
threshold term ``simplified acquisition threshold (SAT)'' is
substituted for the current standard default of $100,000 amount for
SAT. This revision is made to eliminate future FAR adjustments and to
take advantage of the higher thresholds granted for special emergency
situations. It will escalate automatically whenever the SAT is
increased. In several other instances, the term ``micro-purchase'' has
been substituted for the various separate micro-purchase thresholds for
administrative simplicity. Escalation of the other FAR policy
acquisition-related thresholds has been calculated using the same
formula applied to the statutory thresholds, unless a reason has been
provided for not doing so. The Councils have also proposed changes
other than escalation in some cases.
Matrix of acquisition-related thresholds.
A matrix of the thresholds considered in the drafting of this
proposed rule is available via the Internet at http://frwebgate.access.gpo.gov/cgi-bin/leaving.cgi?from=leavingFR.html&log=linklog&to=http://www.acqnet.gov/far/ProposedRules/proposed.htm
.
Effect of this proposed rule on the most heavily used thresholds.
This rule includes the following proposed changes to heavily used
thresholds:
The micro-purchase threshold (FAR 2.101) will be raised
from $2,500 to $3,000.
The FPDS reporting threshold (FAR 4.602(c)) will be raised
from $2,500 to $3,000.
The simplified acquisition threshold (FAR 2.101) of
$100,000 will not be raised.
Commercial items test program ceiling (FAR 13.500) will be
raised from $5 million to $5.5 million.
The cost and pricing data threshold (FAR 15.403-4) will be
raised from $550,000 to $600,000.
The prime contractor subcontracting plan (FAR 19.702)
floor will be raised from $500,000 to $550,000, but for construction
($1,000,000) is unchanged.
Further explanation of proposed changes.
FAR 2.101, definition of ``Major system.'' The thresholds in the
definition of major system for DoD ($115 million and $540 million), are
based on fiscal year 1990 constant dollars. The threshold of $750,000
for the civilian agencies is based on fiscal year 1980 constant
dollars. The current statute provides that it supersedes the
applicability of any other provision of law that provides for the
adjustment of an acquisition-related threshold. The Councils have
calculated the 2004 value of these thresholds using the CPI inflation
calculator, as $166,210,000, $780,460,000, and $1,719,360, respectively
(the value of the thresholds in 2004 dollars at the time this statute
was enacted). Then applying the CPI--all urban consumers index for 1
year, the escalated and rounded totals are $171.5 million, $806
million, and $1.8 million.
FAR 4.601(a) and (d). 41 U.S.C. 417(a) and Section 1004 of Public
Law 103-355 specify the SAT as the threshold for the required records.
The FAR has a policy threshold of $25,000, which was the threshold
above which the DD 350 was required. Under the new FPDS-NG case, the
threshold will be changed to $2,500 (the new reporting threshold, which
equals the basic micro-purchase threshold). The Councils recommend that
this threshold be escalated along with the micro-purchase threshold to
$3,000.
FAR 4.602(c)(1). The threshold for FPDS-NG contract reporting is
$2,500, established January 1, 2004, at the basic micro-purchase
threshold. The micro-purchase threshold is being adjusted to $3,000
under this rule.
FAR Part 5--Publicizing Contract Actions. The Councils have
consulted with SBA regarding the proposed escalation of thresholds in
Part 5. The threshold for pre-award synopsis is currently $25,000 (see
FAR 5.101(a), 5.203(b), 5.205(d), and 5.207(c)(11)). Our international
trade agreements require that we publish intended procurement subject
to those agreements. Since the threshold for NAFTA (Canada) is $25,000,
the Council does not propose to increase this threshold.
At FAR 5.301, the threshold for post-award synopsis of contract
awards is currently $25,000, if the acquisition is covered by a trade
agreement or likely to result in the award of subcontracts. $25,000 is
the threshold for NAFTA (Canada), and is therefore not subject to
escalation for acquisitions subject to trade agreements. The threshold
for synopsis of acquisitions likely to result in subcontract award
could be raised to $30,000. The primary exception to trade agreements
in this range is for small business set-asides. The likelihood of
subcontracting opportunities under small business set-asides between
$25,000 and $30,000 is probably small. Therefore, the Councils propose,
for the sake of simplicity, that this threshold for post-award synopsis
also be left at $25,000.
The Councils propose to increase the threshold for public
announcement of contract awards from $3 million to $3.5 million.
FAR 7.107(b). The Councils have calculated an adjusted value of $85
million for the threshold at FAR 7.107(b)(1) and (b)(2). The amount of
$7.5 million, while not an acquisition threshold, must also be adjusted
(to $8.5 million) because it is based on the
[[Page 73417]]
calculation of 10 percent of the threshold.
FAR 8.405-6(f). Although these thresholds for sole source
justification and approval were not incorporated in the FAR until July
19, 2004, they must be kept parallel to the thresholds at 6.304(a).
FAR 9.405-2(b), 9.409(b), 52.209-6, 52.213-4(b)(2)(i). The
threshold of $25,000 was established in the mid 1980's, at the time
equivalent to the small purchase threshold, in order to balance the
goal of not awarding subcontracts to contractors that have been
debarred, suspended, or proposed for debarment or suspension, against
the administrative costs of enforcing this at very low dollar levels.
At the time the simplified acquisition threshold of $100,000 was
established, the Suspension, Debarment, and Business Ethics Committee
requested that as a matter of policy the threshold not be increased to
$100,000. 10 U.S.C. 2393 requires that for DoD contracts, the
requirement for subcontractors to disclose whether or not the
subcontractor is debarred or suspended shall apply to any subcontract
that exceeds the simplified acquisition threshold. However, to keep the
threshold at a lower level as a matter of policy still meets the
statutory requirement. The Councils concur not to raise this threshold
to $100,000. However, the Councils do recommend normal escalation for
this threshold to $30,000.
FAR 13.003(b)(1). These thresholds are for the exclusive set-aside
of acquisitions of supplies or services for small business concerns.
The FAR does not include the thresholds that apply outside the United
States because FAR Part 19 (except FAR Subpart 19.6) applies only in
the United States or its outlying areas (see FAR 19.000(b)). However,
since this statement of policy is in FAR Part 13, the Councils
recommend inclusion of a reference to FAR 19.000(b) or inclusion of the
phrase ``in the United States or its outlying areas.''
FAR 15.304(c)(3). The Councils have proposed to delete the
reference to $1 million, which was the threshold in 1995. Since January
1, 1998, past performance must be evaluated for all contracts over
$100,000, regardless of when the contract was awarded. These thresholds
are based on an OFPP policy memo 92-5, which has since been rescinded
(FAR case 93-002, March 31, 1995). The Councils recommend changing
``$100,000'' to ``simplified acquisition threshold'' (see note for FAR
42.1502(a)).
FAR 19.1202-2(a). Federal Acquisition Circular (FAC) 97-07 was
issued as an interim rule to make amendments to the FAR concerning
programs for small disadvantaged business concerns. These amendments
conform to a Department of Justice (DoJ) proposal to reform affirmative
action in Federal procurement. DoJ's proposal was designed to ensure
compliance with the constitutional standards established by the Supreme
Court in Adarand Constructors, Inc. v. Pena, 115 S.Ct. 2097 (1995).
This rule was finalized in FAC 97-13. These thresholds tie back to the
thresholds in 15 U.S.C. 637(d), which are proposed for escalation under
this case. Therefore, without disturbing the principles laid out by
DoJ, it would be inconsistent not to keep these thresholds the same as
those in FAR Subpart 19.7.
FAR 22.103-4(b) and 22.103-5(b). These thresholds originated in the
ASPR, 1 June 1967, Rev. 23 (ASPR case 64-336). This case included a
review of the need for administrative controls on Government
contractors and included recommendations of the Defense Industry
Advisory Council to prevent abuse of overtime by contractors. The
$100,000 threshold was an administrative threshold, below which the
clause would be unnecessary. The Councils recommend deletion of FAR
22.103-4(b) because it is redundant to the clause prescription at FAR
22.103-5(b). The Councils recommend changing $100,000 in FAR 22.103-
5(b) to the ``simplified acquisition threshold.''
FAR 22.1303(a) and (c), 22.1310, 52.213-4(b)(1)(iii) and (b)(1)(v),
52.222-35, and 52.222-37. This threshold, which is $25,000 in the FAR
(since FAR case 1998-614), should be $100,000 (see Public Law 107-288
enacted November 7, 2002), and is still $10,000 in the DoL regulations
(41 CFR 60-250). This proposed correction has been coordinated with
DoL.
FAR 25.1101(a)(1). To simplify future changes, the Councils propose
substitution of the term ``micro-purchase threshold'' rather than
trying to keep up with the various micro-purchase threshold changes.
FAR 25.1103(a). There is no specific micro-purchase exception for
the restrictions on certain foreign purchases. It should, therefore,
not be included in the clause prescription. However, unless a clause is
specifically prescribed in FAR Part 13, it will not be included in
micro-purchases.
FAR 28.102-1, 28.102-2, and 28.102-3. The proposed rule corrects
the statutory cites in the FAR. The Miller Act (formerly 40 U.S.C.
270a-270d) and Section 4104(b)(2) of FASA (Public Law 103-355) are now
codified at 40 U.S.C. 3131 and 3132.
FAR 42.705-3(b)(4)(ii). This FAR text mentions ``smaller contracts
(e.g., $100,000 or less).'' As written, this $100,000 may not actually
be a threshold. It is more appropriate to say ``i.e.'' In order to
avoid the need for future separate escalation, the Councils recommend
changing $100,000 to ``simplified acquisition threshold.''
FAR 42.709(b) and 42.709-6. Paragraph (l) of 10 U.S.C. 2324 and 41
U.S.C. 256 provides for escalation consistent with the escalation of
the cost or pricing data threshold and this statute. Although this
threshold should have been increased in 2000 to $550,000, it was not
actually increased in the FAR until January 19, 2005. This threshold
should, therefore, still be subject to another 5 years of inflation
from 2000 to 2005 under this rule.
FAR 42.1502(a). The proposed rule deletes the reference to $1
million, which was the threshold in 1995. Since January 1, 1998, past
performance must be evaluated for all contracts over $100,000,
regardless of when the contract was awarded. These thresholds are based
on an OFPP policy memo 92-5, which has since been rescinded (FAR case
93-002, March 31, 1995). The Councils recommend changing ``$100,000''
to ``simplified acquisition threshold.''
FAR 52.203-6(c). For accuracy (see 41 U.S.C. 253q (c)), simplicity,
and ease of future changes, the Councils propose changing $100,000'' to
``simplified acquisition threshold.''
FAR 52.212-1(j). The threshold for collection of the DUNS number
equals the threshold for the requirement for reporting individual
contract actions. With the implementation of the new FPDS-NG, the
threshold for reporting individual contract actions is $2,500, which is
proposed for escalation to $3,000 under this rule.
FAR 52.236-1, 52.243-7, and 52.249-1. The proposed rule modifies
the clause prefaces for these three clauses because, according to the
FAR Drafting Guide, the clause preface just cites the clause
prescription, not restates the entire conditions of the clause
prescription. These nonconforming clause prefaces came to light during
the review of FAR thresholds, because they repeat thresholds that are
contained in the clause prescriptions. The proposed revisions conform
to the FAR Drafting Guide. Even though these thresholds are not
changing this time, they are likely to increase in 5 years. This will
reduce the number of places that the thresholds have to be changed.
[[Page 73418]]
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
This proposed rule is not expected 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. However, an
Initial Regulatory Flexibility Analysis (IRFA) has been prepared. The
analysis is summarized as follows:
Most of the threshold changes proposed in this rule are not
expected to have any significant economic impact on small business
because they are intended to maintain the status quo by adjusting
for changes in the value of the dollar. For example, the prime
contractor subcontracting plan floor at FAR 19.702 for other than
construction contracts will be raised from $500,000 to $550,000.
This is just keeping pace with inflation.
Often, any impact will be beneficial by preventing burdensome
requirements from applying to more and more small dollar value
acquisitions, which are the acquisitions in which small businesses
are most likely to participate.
One threshold change in this rule which might temporarily impact
small business is the increase of the micro-purchase threshold (FAR
2.101) from $2,500 to $3,000. Although this may reduce some
burdensome requirement on small businesses, it will temporarily
narrow the range of acquisitions automatically set aside for small
business, because the simplified acquisition threshold of $100,000
will not increase at this time (although it is likely to increase to
$150,000 in the year 2010).
To assess the impact of the increase in the micro-purchase
threshold from $2,500 to $3,000, data was requested from FPDS-NG.
For FY 2004, 16,031 (value of $8,083,900) of the contract actions
between $2,500 and $3,000 went to small businesses. We expect that
most of these awards would still go to small businesses, even if
there is no longer a requirement to automatically set the
procurement aside for small business.
The FAR Secretariat has submitted a copy of the IRFA to the Chief
Counsel for Advocacy of the Small Business Administration. A copy of
the IRFA may be obtained from the FAR Secretariat. The Councils will
consider comments from small entities concerning the affected FAR parts
1, 2, 4, 5, 6, 7, 8, 9, 12, 13, 15, 16, 17, 19, 22, 25, 28, 30, 32, 36,
42, 48, 49, 50, 52, and 53 in accordance with 5 U.S.C. 610. Comments
must be submitted separately and should cite 5 U.S.C 601, et seq. (FAR
case 2004-033), in correspondence.
C. Paperwork Reduction Act
The Paperwork Reduction Act does apply; however, these changes to
the FAR do not impose additional information collection requirements to
the paperwork burden previously approved under OMB Control Numbers
9000-0006, 9000-0007, 9000-0013, 9000-0026, 9000-0027, 9000-0028, 9000-
0029, 9000-0037, 9000-0043, 9000-0045, 9000-0065, 9000-0066, 9000-0070,
9000-0078, 9000-0094, 9000-0115, 9000-0138, 9000-0145, 9000-0150, and
1215-0072. They maintain the current information collection
requirements at the status quo by adjusting the thresholds for
inflation.
List of Subjects in 48 CFR Parts 1, 2, 4, 5, 6, 7, 8, 9, 12, 13,
15, 16, 17, 19, 22, 25, 28, 30, 32, 36, 42, 48, 49, 50, 52, and 53
Government procurement.
Dated: August 16, 2005.
Julia B. Wise,
Director, Contract Policy Division.
Therefore, DoD, GSA, and NASA propose amending 48 CFR parts 1, 2,
4, 5, 6, 7, 8, 9, 12, 13, 15, 16, 17, 19, 22, 25, 28, 30, 32, 36, 42,
48, 49, 50, 52, and 53 as set forth below:
1. The authority citation for 48 CFR parts 1, 2, 4, 5, 6, 7, 8, 9,
12, 13, 15, 16, 17, 19, 22, 25, 28, 30, 32, 36, 42, 48, 49, 50, 52, and
53 is revised to read as follows:
Authority: 40 U.S.C. 121(c); 10 U.S.C. chapter 137; and 42
U.S.C. 2473(c).
PART 1--FEDERAL ACQUISITION REGULATIONS SYSTEM
2. Add section 1.109 to read as follows:
1.109 Statutory acquisition-related dollar thresholds--Adjustment for
inflation.
(a) Section 807 of the Ronald W. Reagan National Defense
Authorization Act for Fiscal Year 2005 (Public Law 108-375) requires
that the FAR Council periodically adjust all statutory acquisition-
related dollar thresholds in the FAR for inflation, except as provided
in paragraph (c) of this section. This adjustment is calculated every 5
years, starting in October 2005, using the Consumer Price Index (CPI)
for all-urban consumers, and supersedes the applicability of any other
provision of law that provides for the adjustment of such acquisition-
related dollar thresholds.
(b) The statute defines an acquisition-related dollar threshold as
a dollar threshold that is specified in law as a factor in defining the
scope of the applicability of a policy, procedure, requirement, or
restriction provided in that law to the procurement of supplies or
services by an executive agency, as determined by the FAR Council.
(c) The statute does not permit escalation of acquisition-related
dollar thresholds established by the Davis-Bacon Act (40 U.S.C. 3141
through 3144, 3146, and 3147), the Service Contract Act of 1965 (41
U.S.C. 351, et seq.), or the United States Trade Representative
pursuant to the authority of the Trade Agreements Act of 1979 (19
U.S.C. 2511, et seq.).
(d) A matrix showing calculation of the most recent escalation
adjustments of statutory acquisition-related dollar thresholds is
available via the Internet at http://frwebgate.access.gpo.gov/cgi-bin/leaving.cgi?from=leavingFR.html&log=linklog&to=http://www.acqnet.gov/far/ProposedRules/proposed.htm
.
PART 2--DEFINITIONS OF WORDS AND TERMS
3. Amend section 2.101 in paragraph (b), in the definition ``Major
system'', by revising paragraph (1), and removing from paragraph (2)
``$750,000 (based on fiscal year 1980 constant dollars)'' and adding
``$1.8 million'' in its place; and in the definition ``Micro-purchase
threshold'' by removing from the introductory paragraph ``$2,500'' and
adding ``$3,000'' in its place. The revised text reads as follows:
2.101 Definitions.
* * * * *
(b) * * *
Major system * * *
(1) The Department of Defense is responsible for the system and the
total expenditures for research, development, test, and evaluation for
the system are estimated to be more than $171.5 million or the eventual
total expenditure for the acquisition exceeds $806 million;
* * * * *
PART 4--ADMINISTRATIVE MATTERS
4.601 [Amended]
4. Amend section 4.601 by removing from paragraph (a) and the
introductory text of paragraph (d) ``$25,000'' and adding ``$3,000'' in
their place; and by removing from paragraph (e) ``$5,000,000'' and
adding ``$5.5 million'' in its place.
4.602 [Amended]
5. Amend section 4.602 by removing from paragraphs (c)(1) and
(c)(3) ``$2,500'' and adding ``$3,000'' in their place; and by removing
paragraph (c)(4).
[[Page 73419]]
PART 5--PUBLICIZING CONTRACT ACTIONS
6. Amend section 5.303 by revising paragraph (a) to read as
follows:
5.303 Announcement of contract awards.
(a) Public announcement. Contracting officers shall make
information available on awards over $3.5 million (unless another
dollar amount is specified in agency acquisition regulations) in
sufficient time for the agency concerned to announce it by 5 p.m.
Washington, DC, time on the day of award. Contracts excluded from this
reporting requirement include--
(1) Those placed with the Small Business Administration under
Section 8(a) of the Small Business Act;
(2) Those placed with foreign firms when the place of delivery or
performance is outside the United States and its outlying areas; and
(3) Those for which synopsis was exempted under 5.202(a)(1).
Agencies shall not release information on awards before the public
release time of 5 p.m. Washington, DC time.
* * * * *
PART 6--COMPETITION REQUIREMENTS
6.304 [Amended]
7. Amend section 6.304 by--
a. Removing from paragraph (a)(1) ``$500,000'' and adding
``$550,000'' in its place;
b. Removing from paragraph (a)(2) ``$500,000'' and ``$10,000,000''
and adding ``$550,000'' and ``$11.5 million'', respectively, in their
place;
c. Removing from paragraph (a)(3) $10,000,000'', ``$50,000,000'',
and ``$75,000,000'' and adding ``$11.5 million'', ``$56.5 million'',
and ``$77.5 million'', respectively, in their place; and
d. Removing from paragraph (a)(4) ``$50,000,000'' and
``75,000,000'' and adding ``$56.5 million'' and ``$77.5 million'',
respectively, in their place.
PART 7--ACQUISITION PLANNING
7.104 [Amended]
8. Amend section 7.104 by removing from paragraph (d)(2)(i)(A) ``$7
million'' and adding ``$7.5 million'' in its place; and removing from
paragraph (d)(2)(i)(B) ``$5 million'' and adding ``$5.5 million'' in
its place.
7.107 [Amended]
9. Amend section 7.107 by removing from paragraph (b)(1) ``$75
million'' and adding ``$85 million'' in its place; and removing from
paragraph (b)(2) ``$7.5 million'' and ``75 million'' and adding ``$8.5
million'' and ``$85 million'', respectively, in their place.
PART 8--REQUIRED SOURCES OF SUPPLIES AND SERVICES
8.405-6 [Amended]
10. Amend section 8.405-6 by--
a. Removing from paragraph (f)(1) ``$500,000'' and adding
``$550,000'' in its place;
b. Removing from paragraph (f)(2) ``$500,000, but not exceeding $10
million'' and adding ``$550,000, but not exceeding $11.5 million'' in
its place;
c. Removing from the introductory text of paragraph (f)(3) ``$10
million'', ``$50 million'', and ``$75 million'', and adding ``$11.5
million'', ``$56.5 million'', and ``$77.5 million'', respectively, in
their place; and
d. Removing from the first sentence of paragraph (f)(4) ``$50
million'' and ``$75 million'' and adding ``$56.5 million'' and ``$77.5
million'', respectively, in their place.
PART 9--CONTRACTOR QUALIFICATIONS
9.405-2 [Amended]
11. Amend section 9.405-2 in the second sentence of the
introductory text of paragraph (b) by removing ``$25,000'' and adding
``$30,000'' in its place.
9.409 [Amended]
12. Amend section 9.409 in paragraph (b) by removing ``$25,000''
and adding ``$30,000'' in its place.
PART 12--ACQUISITION OF COMMERCIAL ITEMS
12.102 [Amended]
13. Amend section 12.102 by removing from the introductory text of
paragraph (f)(2) ``$15,000,000'' and adding ``$15.5 million'' in its
place; and removing from paragraph (g)(1)(ii) ``$25 million'' and
adding ``$26 million'' in its place.
12.203 [Amended]
14. Amend section 12.203 by removing from the last sentence ``$5
million'' and ``$10 million'' and adding ``$5.5 million'' and ``$10.5
million'', respectively, in their place.
PART 13--SIMPLIFIED ACQUISITION PROCEDURES
13.000 [Amended]
15. Amend section 13.000 by removing from the second sentence ``$5
million'' and ``$10 million'' and adding ``$5.5 million'' and ``$10.5
million'', respectively, in their place.
13.003 [Amended]
16. Amend section 13.003 by--
a. Removing from the first sentence of paragraph (b)(1) ``$2,500''
and adding ``$3,000'' in its place; and in the second sentence, by
adding ``19.000(b) and'' after the word ``See''; and
b. Removing from paragraphs (c)(1)(ii) and (g)(2) ``$5 million''
and ``$10 million'' and adding ``$5.5 million'' and ``$10.5 million'',
respectively, in their place.
13.005 [Amended]
17. Amend section 13.005 in paragraph (a)(2) by removing
``$25,000'' and adding ``$30,000 (40 U.S.C. 4132).)'' in its place.
13.106-1 [Amended]
18. Amend section 13.106-1 by removing from paragraph (c)(2) and
the first sentence of paragraph (d) ``$25,000'' and adding ``$30,000''
in their place.
13.303-5 [Amended]
19. Amend section 13.303-5 by removing from paragraph (b)(1)
``$5,000,000'' and ``$10,000,000'' and adding ``$5.5 million'' and
``$10.5 million'' in their place; and removing from paragraph (b)(2)
``$5 million'' and ``$10 million'' and adding ``$5.5 million'' and
``$10.5 million'', respectively, in their place.
13.402 [Amended]
20. Amend section 13.402 by removing from paragraph (a) ``$25,000''
and adding ``30,000'' in its place.
13.500 [Amended]
21. Amend section 13.500 by removing from the first sentence of
paragraph (a) the phrase ``$5 million ($10 million'' and adding the
phrase ``$5.5 million ($10.5 million'' in its place; and removing from
the introductory text of paragraph (e) ``$10 million'' and adding
``$10.5 million'' in its place.
22. Amend section 13.501 by removing from paragraph (a)(2)(i)
``$500,000'' and adding ``$550,000'' in its place; removing from
paragraph (a)(2)(ii) ``$500,000'' and ``$10,000,000'' and adding
``$550,000'' and ``$11.5 million'', respectively, in their place; and
revising paragraphs (a)(2)(iii) and (a)(2)(iv) to read as follows:
13.501 Special documentation requirements.
(a) * * *
(2) * * *
(iii) For a proposed contract exceeding $11.5 million, but not
exceeding $56.5 million, or for DoD, NASA, and the Coast Guard, not
[[Page 73420]]
exceeding $77.5 million, the head of the procuring activity or the
official described in 6.304(a)(3) or (a)(4) must approve the
justification and approval. This authority is not delegable.
(iv) For a proposed contract exceeding $56.5 million, or for DoD,
NASA, and the Coast Guard, over $77.5 million, the official described
in 6.304(a)(4) must approve the justification and approval. This
authority is not delegable except as provided in 6.304(a)(4).
* * * * *
PART 15--CONTRACTING BY NEGOTIATION
23. Amend section 15.304 by removing paragraph (c)(3)(i);
redesignating paragraphs (c)(3)(ii), (c)(3)(iii), and (c)(3)(iv) as
(c)(3)(i), (c)(3)(ii), and (c)(3)(iii), respectively; revising newly
designated paragraph (c)(3)(i); and removing from paragraph (c)(4)
``$500,000'' and adding ``$550,000'' in its place. The revised text
reads as follows:
15.304 Evaluation factors and significant subfactors.
* * * * *
(c) * * *
(3)(i) Except as set forth in paragraph (c)(3)(iii) of this
section, past performance shall be evaluated in all source selections
for negotiated competitive acquisitions expected to exceed the
simplified acquisition threshold.
* * * * *
15.403-1 [Amended]
24. Amend section 15.403-1 by removing from paragraph (c)(3)(iii)
``$15,000,000'' and adding ``$15.5 million'' in its place.
25. Amend section 15.403-4 by removing from the third sentence of
the introductory text of paragraph (a)(1) ``$550,000'' and adding
``$600,000'' in its place; and revising the second sentence of
paragraph (a)(1)(iii) to read as follows:
15.403-4 Requiring cost or pricing data (10 U.S.C. 2306a and 41 U.S.C.
254b).
(a)(1) * * *
(iii) * * * Price adjustment amounts must consider both increases
and decreases (e.g., a $200,000 modification resulting from a reduction
of $500,000 and an increase of $300,000 is a pricing adjustment
exceeding $600,000. * * *
* * * * *
15.404-3 [Amended]
26. Amend section 15.404-3 by removing from paragraph (c)(1)(i)
``$10,000,000'' and adding ``$11.5 million'' in its place.
15.407-2 [Amended]
27. Amend section 15.407-2 by removing from paragraphs (c)(1) and
the introductory text of paragraph (c)(2) ``$10 million'' and adding
``$11.5 million'' in its place.
15.408 [Amended]
28. Amend section 15.408 in Table 15-2 following paragraph (m), in
section II, Cost Elements, in the third sentence of paragraph (A)(2),
by removing ``$10,000,000'' and adding ``$11.5 million'' in its place.
PART 16--TYPES OF CONTRACTS
16.503 [Amended]
29. Amend section 16.503 by removing from paragraph (d)(1)
``$10,000,000'' and adding ``$11.5 million'' in its place.
16.504 [Amended]
30. Amend section 16.504 by removing from the introductory text of
paragraph (c)(2)(i) ``$10 million'' and adding ``$11.5 million'' in its
place.
16.505 [Amended]
31. Amend section 16.505 by removing from paragraph (b)(1)(i) and
the introductory text of paragraph (b)(2) ``$2,500'' and adding
``$3,000'' in its place.
16.506 [Amended]
32. Amend section 16.506 by removing from paragraphs (f) and (g)
``$10 million'' and adding ``$11.5 million'' in its place.
16.601 [Amended]
33. Amend section 16.601 by removing from paragraph (b)(3)(i)
``$25,000'' and adding ``$30,000'' in its place.
PART 17--SPECIAL CONTRACTING METHODS
17.108 [Amended]
34. Amend section 17.108 in paragraph (a) by removing ``$10
million'' and adding ``$11.5 million'' in its place; and in paragraph
(b) by removing ``$100 million'' and adding ``$113 million'' in its
place.
PART 19--SMALL BUSINESS PROGRAMS
19.502-1 [Amended]
35. Amend section 19.502-1 by removing from paragraph (b)
``$2,500'' and adding ``$3,000'' in its place.
19.502-2 [Amended]
36. Amend section 19.502-2 by removing from the first sentence of
paragraph (a) ``$2,500'' and adding ``$3,000'' in its place; and
removing from paragraph (d) ``$25,000'' and adding ``$30,000'' in its
place.
19.702 [Amended]
37. Amend section 19.702 by removing from paragraphs (a)(1) and
(a)(2) ``$500,000'' and adding ``$550,000'' in its place.
19.704 [Amended]
38. Amend section 19.704 by removing from paragraph (a)(9)
``$500,000'' and adding ``$550,000'' in its place.
19.708 [Amended]
39. Amend section 19.708 by removing from the first sentence of
paragraph (b)(1) ``$500,000'' and adding ``$550,000'' in its place.
19.805-1 [Amended]
40. Amend section 19.805-1 by removing from paragraph (a)(2)
``$5,000,000'' and ``$3,000,000'' and adding ``$5.5 million'' and
``$3.5 million'', respectively, in their place.
19.1002 [Amended]
41. Amend section 19.1002 by removing from paragraph (1) of the
definition ``Emerging small business reserve amount'', ``$25,000'' and
adding ``$30,000'' in its place.
19.1007 [Amended]
42. Amend section 19.1007 by removing from paragraphs (c)(1)(i) and
(c)(1)(ii) ``$25,000'' and adding ``$30,000'' in its place.
19.1008 [Amended]
43. Amend section 19.1008 by removing from paragraph (c)
``$25,000'' and adding ``$30,000'' in its place.
19.1202-2 [Amended]
44. Amend section 19.1202-2 by removing from paragraph (a)
``$500,000'' and adding ``$550,000'' in its place.
19.1306 [Amended]
45. Amend section 19.1306 by removing from paragraph (a)(2)(i)
``$5,000,000'' and adding ``$5.5 million'' in its place; and removing
from paragraph (a)(2)(ii) ``$3,000,000'' and adding ``$3.5 million'' in
its place.
PART 22--APPLICATION OF LABOR LAWS TO GOVERNMENT ACQUISITIONS
22.103-4 [Amended]
46. Amend section 22.103-4 in paragraph (b) by removing the last
sentence.
22.103-5 [Amended]
47. Amend section 22.103-5 in the introductory text of paragraph
(b) by
[[Page 73421]]
removing ``be over $100,000;'' and adding ``exceed the simplified
acquisition threshold;'' in its place.
22.305 [Amended]
48. Amend section 22.305 by removing from paragraph (a) ``the
simplified acquisition threshold;'' and adding ``$100,000;'' in its
place.
22.1103 [Amended]
49. Amend section 22.1103 by removing from the second sentence
``$500,000'' and adding ``$550,000'' in its place.
22.1303 [Amended]
50. Amend section 22.1303 by removing from paragraphs (a) and (c)
``$25,000'' and adding ``$100,000'' in its place.
22.1310 [Amended]
51. Amend section 22.1310 by removing from the introductory text of
paragraph (a)(1) ``$25,000'' and adding ``$100,000'' in its place.
PART 25--FOREIGN ACQUISITION
52. Amend section 25.1101 in the introductory text of paragraph
(a)(1) by removing ``$2,500 ($15,000 for acquisitions as described in
13.201(g)(1)'') and adding ``the micro-purchase threshold'' in its
place; and revising paragraphs (e)(1) and (e)(2) to read as follows:
25.1101 Acquisition of supplies.
* * * * *
(e) * * *
(1) Exceeds the simplified acquisition threshold; or
(2) Does not exceed the simplified acquisition threshold, but the
savings from waiving the duty is anticipated to be more than the
administrative cost of waiving the duty. When used for acquisitions
that do not exceed the simplified acquisition threshold, the
contracting officer may modify paragraphs (b)(1) and (i)(2) of the
clause to reduce the dollar figure.
25.1103 [Amended]
53. Amend section 25.1103 in paragraph (a) by removing ``with a
value exceeding $2,500, $15,000 for acquisitions as described in
13.201(g)(1)''.
PART 28--BONDS AND INSURANCE
28.102-1 [Amended]
54. Amend section 28.102-1 by removing from the introductory text
of paragraph (b)(1) ``$25,000'' and adding ``$30,000'' in its place.
28.102-2 [Amended]
55. Amend section 28.102-2 by removing from the heading of
paragraph (c) ``$25,000'' and adding ``$30,000'' in its place.
28.102-3 [Amended]
56. Amend section 28.102-3 in the first sentence of paragraph (b)
by removing ``$25,000'' and adding ``$30,000'' in its place.
PART 30--COST ACCOUNTING STANDARDS ADMINISTRATION
30.201-4 [Amended]
57. Amend section 30.201-4 by removing from paragraph (b)(1)
``$500,000'' and ``$50 million'' and adding ``$550,000'' and ``$56.5
million'', respectively, in their place.
30.201-5 [Amended]
58. Amend section 30.201-5 by removing from the introductory text
of paragraph (b)(1) ``$15,000,000'' and adding ``$17 million'' in its
place.
PART 32--CONTRACT FINANCING
32.104 [Amended]
59. Amend section 32.104 by removing from paragraphs (d)(2)(i) and
(d)(2)(ii) ``$2 million'' and adding ``$2.5 million'' in its place.
PART 36--CONSTRUCTION AND ARCHITECT-ENGINEER CONTRACTS
36.201 [Amended]
60. Amend section 36.201 by removing from paragraph (a)(1)(i)
``$500,000'' and adding ``$550,000'' in its place.
61. Amend section 36.203 by revising paragraph (a) to read as
follows:
36.203 Government estimate of construction costs.
(a) An independent Government estimate of construction costs shall
be prepared and furnished to the contracting officer at the earliest
practicable time for each proposed contract and for each contract
modification anticipated to exceed the simplified acquisition
threshold. The contracting officer may require an estimate when the
cost of required work is not anticipated to exceed the simplified
acquisition threshold. The estimate shall be prepared in as much detail
as though the Government were competing for award.
* * * * *
62. Amend section 36.213-2 by revising paragraph (a) to read as
follows:
36.213-2 Presolicitation notices.
(a) Unless the requirement is waived by the head of the contracting
activity or a designee, the contracting officer shall issue
presolicitation notices on any construction requirement when the
proposed contract is expected to exceed the simplified acquisition
threshold. Presolicitation notices may also be used when the proposed
contract is not expected to exceed the simplified acquisition
threshold. These notices shall be issued sufficiently in advance of the
invitation for bids to stimulate the interest of the greatest number of
prospective bidders.
* * * * *
36.604 [Amended]
63. Amend section 36.604 by removing from the introductory text of
paragraph (a) ``$25,000'' each time it appears (twice) and adding
``$30,000'' in its place.
36.605 [Amended]
64. Amend section 36.605 by removing from the first sentence of
paragraph (a) ``$100,000'' and adding ``the simplified acquisition
threshold'' in its place.
PART 42--CONTRACT ADMINISTRATION AND AUDIT SERVICES
42.705-3 [Amended]
65. Amend section 42.705-3 by removing from the fourth sentence of
the introductory text of paragraph (b)(4)(ii) ``(e.g., $100,000 or
less'') and adding ``(i.e., contracts that do not exceed the simplified
acquisition threshold)'' in its place.
42.709 [Amended]
66. Amend section 42.709 by removing from paragraph (b)
``$550,000'' and adding ``$600,000'' in its place.
42.709-6 [Amended]
67. Amend section 42.709-6 by removing from the first sentence
``$550,000'' and adding ``$600,000'' in its place.
68. Amend section 42.1502 by revising the first sentence of
paragraph (a) to read as follows:
42.1502 Policy.
(a) Except as provided in paragraph (b) of this section, agencies
shall prepare an evaluation of contractor performance for each contract
that exceeds the simplified acquisition threshold at the time the work
under the contract is completed. * * *
* * * * *
[[Page 73422]]
PART 48--VALUE ENGINEERING
48.201 [Amended]
69. Amend section 48.201 by removing from the first sentence of the
introductory text of paragraph (a) ``be $100,000 or more,'' and adding
``exceed the simplified acquisition threshold,'' in its place.
48.202 [Amended]
70. Amend section 48.202 by removing from the first sentence ``be
$100,000 or more,'' and adding ``exceed the simplified acquisition
threshold,'' in its place.
PART 49--TERMINATION OF CONTRACTS
71. Amend section 49.502 by revising the heading of paragraph (a)
and the introductory text of paragraph (a)(1); and revising paragraph
(b) to read as follows:
49.502 Termination for convenience of the Government.
(a) Fixed-price contracts that do not exceed the simplified
acquisition threshold (short form).--(1) General use. The contracting
officer shall insert the clause at 52.249-1, Termination for
Convenience of the Government (Fixed-Price) (Short Form), in
solicitations and contracts when a fixed-price contract is contemplated
and the contract amount is not expected to exceed the simplified
acquisition threshold, except--
* * * * *
(b) Fixed-price contracts that exceed the simplified acquisition
threshold.--(1)(i) General use. The contracting officer shall insert
the clause at 52.249-2, Termination for Convenience of the Government
(Fixed-Price), in solicitations and contracts when a fixed-price
contract is contemplated and the contract amount is expected to exceed
the simplified acquisition threshold, except in contracts for--
(A) Dismantling and demolition;
(B) Research and development work with an educational or nonprofit
institution on a no-profit basis; or
(C) Architect-engineer services. It shall not be used if the clause
at 52.249-4, Termination for Convenience of the Government (Services)
(Short Form), is appropriate (see 49.502(c)), or one of the clauses
prescribed or cited at 49.505(a), (b), or (e), is appropriate.
(2) Construction. If the contract is for construction, the
contracting officer shall use the clause with its Alternate I.
(i) Partial payments. If the contract is with an agency of the U.S.
Government or with State, local, or foreign governments or their
agencies, and if the contracting officer determines that the
requirement to pay interest on excess partial payments is
inappropriate, the contracting officer shall use the clause with its
Alternate II. In such contracts for construction, the contracting
officer shall use the clause with its Alternate III.
(ii) Dismantling and demolition. The contracting officer shall
insert the clause at 52.249-3, Termination for Convenience of the
Government (Dismantling, Demolition, or Removal of Improvements) in
solicitations and contracts for dismantling, demolition, or removal of
improvements, when a fixed-price contract is contemplated and the
contract amount is expected to exceed the simplified acquisition
threshold. If the contract is with an agency of the U.S. Government or
with State, local, or foreign governments or their agencies, and if the
contracting officer determines that the requirement to pay interest on
excess partial payments is inappropriate, the contracting officer shall
use the clause with its Alternate I.
* * * * *
PART 50--EXTRAORDINARY CONTRACTUAL ACTIONS
50.201 [Amended]
72. Amend section 50.201 by removing from paragraph (b) ``$50,000''
and adding ``$55,000'' in its place.
50.203 [Amended]
73. Amend section 50.203 by removing from paragraph (b)(4) ``$25
million'' and adding ``$28.5 million'' in its place; and removing from
paragraphs (e)(1)(i) and (e)(1)(ii) ``$50,000'' and adding ``$55,000''
in its place.
PART 52--SOLICITATION PROVISIONS AND CONTRACT CLAUSES
52.203-6 [Amended]
74. Amend section 52.203-6 by revising the date of the clause to
read ``(Date)''; and removing from paragraph (c) of the clause
``$100,000'' and adding ``the simplified acquisition threshold'' in its
place.
52.209-6 [Amended]
75. Amend section 52.209-6 by revising the date of the clause to
read ``(Date)''; and removing from paragraphs (a) and (b) of the clause
``$25,000'' and adding ``$30,000'' in its place.
52.212-1 [Amended]
76. Amend section 52.212-1 by revising the date of the clause to
read ``(Date)''; and removing from the first sentence of paragraph (j)
of the clause ``$25,000'' each time it appears (twice) and adding
``$3,000'' in its place.
52.212-5 [Amended]
77. Amend section 52.212-5 by--
a. Revising the date of the clause to read ``(Date)'';
b. Removing from paragraph (b)(1) of the clause ``(Oct 1995)'' and
adding ``(Date)'' in its place;
c. Removing from paragraph (b)(8)(i) of the clause ``(July 2005)''
and adding ``(Date)'' in its place;
d. Removing from paragraphs (b)(18) and (b)(20) of the clause
``(Dec 2001)'' and adding ``(Date)'' in its place; and
e. Removing from paragraph (e)(1)(i) ``$500,000'' and adding
``$550,000'' in its place; and removing from paragraph (e)(1)(iii)
``(Dec 2001)'' and adding ``(Date)'' in its place.
52.213-4 [Amended]
78. Amend section 52.213-4 by--
a. Revising the date of the clause to read ``(Date)'';
b. Removing from paragraph (a)(2)(vi) of the clause ``(Dec 2004)''
and adding ``(Date)'' in its place; and
c. Removing from paragraphs (b)(1)(iii) and (b)(1)(v) of the clause
``(Dec 2001)'' and ``$25,000'' and adding ``(Date)'' and ``$100,000'',
respectively, in their place; and removing from paragraph (b)(2)(i)
``(Jan 2005)'' and ``$25,000'' and adding ``(Date)'' and ``$30,000'',
respectively, in their place.
52.219-9 [Amended]
79. Amend section 52.219-9 by revising the date of the clause to
read ``(Date)''; and removing from paragraph (d)(9) of the clause
``$500,000'' and adding ``$550,000'' in its place.
52.222-35 [Amended]
80. Amend section 52.222-35 by revising the date of the clause to
read ``(Date)''; and removing from the first sentence of paragraph (g)
of the clause ``$25,000'' and adding ``$100,000'' in its place.
52.222-37 [Amended]
81. Amend section 52.222-37 by revising the date of the clause to
read ``(Date)''; and removing from paragraph (f) of the clause
``$25,000'' and adding ``$100,000'' in its place.
52.230-1 [Amended]
82. Amend section 52.230-1 by revising the date of the provision to
read ``(Date)''; removing from paragraph (a) of the provision
``$500,000'' and adding ``$550,000'' in its place; and removing ``$50
million'' each time it appears in the provision (5 times) and adding
``$56.6 million'' in its place.
52.230-2 [Amended]
83. Amend section 52.230-2 by revising the date of the clause to
read
[[Page 73423]]
``(Date)''; and removing from the last sentence of paragraph (d) of the
clause ``$500,000'' and adding ``$550,000'' in its place.
52.230-3 [Amended]
84. Amend section 52.230-3 by revising the date of the clause to
read ``(Date)''; and removing from paragraph (d)(2) ``$500,000'' and
adding ``$550,000'' in its place.
52.230-5 [Amended]
85. Amend section 52.230-5 by revising the date of the clause to
read ``(Date)''; and removing from paragraph (d)(2) of the clause
``$500,000'' and adding ``$550,000'' in its place.
86. Amend section 52.236-1 by revising the introductory paragraph
to read as follows:
52.236-1 Performance of Work by the Contractor.
As prescribed in 36.501(b), insert the following clause. Complete
the clause by inserting the appropriate percentage consistent with the
complexity and magnitude of the work and customary or necessary
specialty subcontracting (see 36.501(a)):
* * * * *
87. Amend section 52.243-7 by revising the introductory paragraph
to read as follows:
52.243-7 Notification of Changes.
As prescribed in 43.107, insert the following clause:
* * * * *
52.244-6 [Amended]
88. Amend section 52.244-6 by revising the date of the clause to
read ``(Date)''; removing from paragraph (c)(1)(i) of the clause
``$500,000'' and adding ``$550,000'' in its place, and removing from
paragraph (c)(1)(iii) of the clause ``(Dec 2001)'' and adding
``(Date)'' in its place.
52.248-3 [Amended]
89. Amend section 52.248-3 by revising the date of the clause to
read ``(Date)''; and removing from the first sentence of paragraph (h)
of the clause ``$50,000'' and adding ``$55,000'' in its place.
90. Amend section 52.249-1 by revising the introductory paragraph
to read as follows:
52.249-1 Termination for Convenience of the Government (Fixed-Price)
(Short Form).
As prescribed in 49.502(a)(1), insert the following clause:
* * * * *
PART 53--FORMS
53.219 [Amended]
91. Amend section 53.219 by removing from paragraphs (a) and (b)
``(Rev. 10/01)'' and adding ``(Date)'' in its place.
53.301-294 [Amended]
92. Amend section 53.301-294 at the bottom of page 1 of the form by
revising the date of the form to read ``(Date)''; and on page 2 of the
form, by removing from the first sentence of paragraph 3, under General
Instructions, ``$500,000'' and adding ``$550,000'' in its place.
53.301-295 [Amended]
93. Amend section 53.301-295 at the bottom of page 1 of the form by
revising the date of the form to read ``(Date)''; and on page 2 of the
form, by removing from the first sentences of paragraphs 2 and 5, under
General Instructions, ``$500,000'' and adding ``$550,000'' in their
place.
[FR Doc. 05-16971 Filed 12-9-05; 8:45 am]
BILLING CODE 6820-EP-S