This section of the FEDERAL REGISTER

contains regulatory documents having general

applicability and legal effect, most of which

are keyed to and codified in the Code of

Federal Regulations, which is published under

50 titles pursuant to 44 U.S.C. 1510.

The Code of Federal Regulations is sold by

the Superintendent of Documents. Prices of

new books are listed in the first FEDERAL

REGISTER issue of each week.

Rules and Regulations Federal Register

19783 

Vol. 72, No. 76 

Friday, April 20, 2007 

NATIONAL AERONAUTICS AND 

SPACE ADMINISTRATION 

2 CFR Part 1880 

14 CFR Parts 1260, 1265, and 1274 

RIN 2700–AD32 

NASA Implementation of OMB 

Guidance on Nonprocurement 

Debarment and Suspension 

AGENCY: National Aeronautics and 

Space Administration. 

ACTION: Final rule. 

SUMMARY: The National Aeronautics and 

Space Administration (NASA) is issuing 

a new Part 1880 on nonprocurement 

debarment and suspension in Title 2 of 

the Code of Federal Regulations (CFR). 

This new part is NASA’s 

implementation of the Office of 

Management and Budget’s (OMB) 

guidance provided at 2 CFR Part 180. In 

light of the new Part 1880, NASA is 

removing 14 CFR Part 1265 which 

contains the current NASA 

implementation of the government-wide 

common rule on nonprocurement 

debarment and suspension. The new 

part in 2 CFR serves the same purpose 

as the common rule in a simpler way. 

This final rule is part of OMB’s 

initiative to streamline and consolidate 

all federal regulations on 

nonprocurement debarment and 

suspension. It is an administrative 

simplification that makes no substantive 

change in NASA policy or procedures 

for nonprocurement debarment and 

suspension. 

EFFECTIVE DATE: This final rule is 

effective April 20, 2007. 

FOR FURTHER INFORMATION CONTACT: 

Jamiel C. Commodore, NASA, Office of 

Procurement, Contract Management 

Division; (202) 358–0302; e-mail: 

Jamiel.C.Commodore@nasa.gov. 

SUPPLEMENTARY INFORMATION: 

A. Background 

On May 11, 2004, OMB established 

Title 2 of the CFR with two subtitles (69 

FR 26275). Subtitle A, ‘‘Governmentwide Grants and Agreements,’’ contains 

OMB policy guidance to Federal 

agencies on grants and agreements. 

Subtitle B, ‘‘Federal Agency Regulations 

for Grants and Agreements,’’ contains 

Federal agencies’ regulations 

implementing the OMB guidance, as it 

applies to grants and other financial 

assistance agreements and 

nonprocurement transactions. 

On August 31, 2005, OMB published 

interim final guidance for governmentwide nonprocurement debarment and 

suspension in the Federal Register (70 

FR 51863). The guidance is located in 

Title 2 of the CFR as new Subtitle A, 

Chapter 1, Part 180. The interim final 

guidance updated previous OMB 

guidance that was issued pursuant to 

Executive Order 12549 of February 18, 

1996, Debarment and Suspension, 

which gave government-wide effect to 

each agency’s nonprocurement 

debarment and suspension actions. 

Section 6 of the Executive Order 

authorized OMB to issue guidance to 

Executive agencies on nonprocurement 

debarment and suspension, including 

provisions prescribing government-wide 

criteria and minimum due process. 

Section 3 directed Executive agencies to 

issue regulations implementing the 

Executive Order that are consistent with 

the OMB guidelines. On November 15, 

2006, OMB published a final rule 

adopting the interim final guidance with 

changes (71 FR 66431). 

In accordance with OMB’s guidance, 

NASA is issuing this final rule to adopt 

and implement Title 2 CFR, Part 180. 

The rule includes the same NASA 

additions and clarifications to the 

common rule on nonprocurement 

debarment and suspension that were 

added to 14 CFR 1265 in November 

2003 (68 FR 66573). As indicated, this 

latter coverage is now obsolete and is 

removed by this final rule. 

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 

NASA certifies that this final rule will 

not 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 involves an 

administrative adoption of a previously 

codified material in a new part of the 

CFR. 

C. Paperwork Reduction Act 

The Paperwork Reduction Act does 

not apply because the changes 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 

2 CFR Part 1880 

Administrative practice and 

procedure, Debarment and suspension, 

Grant programs, Reporting and 

recordkeeping requirements. 

14 CFR Part 1260 

Grant programs—science and 

technology. 

14 CFR Part 1265 

Administrative practice and 

procedure, Debarment and suspension, 

Grant programs, Reporting and 

recordkeeping requirements. 

14 CFR Part 1274 

Grant programs—science and 

technology. 

Tom Luedtke, 

Assistant Administrator for Procurement. 

■ Accordingly, 2 CFR and 14 CFR Parts 

1260, 1265 and 1274 are amended as 

follows: 

Title 2—Grants and Agreements 

■ 1. Add Chapter XVIII, consisting of 

Part 1880 to Subtitle B, to read as 

follows: 

CHAPTER 18—NATIONAL AERONAUTICS 

AND SPACE ADMINISTRATION 

PART 1880—NONPROCUREMENT 

DEBARMENT AND SUSPENSION 

Sec. 

1880.10 What does this part do? 

1880.20 Does this part apply to me? 

1880.30 What policies and procedures must 

I follow? 


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19784 Federal Register / Vol. 72, No. 76 / Friday, April 20, 2007 / Rules and Regulations 

Subpart A—General 

1880.137 Who in NASA may grant an 

exception to let an excluded person 

participate in a covered transaction? 

Subpart B—Covered Transactions 

1880.220 What contracts and subcontracts, 

in addition to those listed in 2 CFR 

180.220, are covered transactions? 

Subpart C—Responsibilities of Participants 

Regarding Transactions 

1880.332 What methods must I use to pass 

requirements down to participants at 

lower tiers with whom I intend to do 

business? 

Subpart D—Responsibilities of Federal 

Agency Officials Regarding Transactions 

1880.437 What method do I use to 

communicate to a participant the 

requirements described in the OMB 

guidance at 2 CFR 180.435? 

Subparts E–J—[Reserved] 

Authority: Sec. 2455, Pub. L. 103–355, 108 

Stat. 3327; E.O. 12549, 3 CFR, 1986 Comp., 

p. 189; E.O. 12689, 3 CFR, 1989 Comp., p. 

235; 42 U.S.C. 2473(c)(1). 

§ 1880.10 What does this part do? 

This Part adopts the Office of 

Management and Budget (OMB) 

guidance in Subparts A through I of 2 

CFR part 180, as supplemented by this 

part, as the NASA policies and 

procedures for nonprocurement 

debarment and suspension. It thereby 

gives regulatory effect for NASA to the 

OMB guidance as supplemented by this 

part. This part satisfies the requirements 

in section 3 of Executive Order 12549, 

‘‘Debarment and Suspension’’ (3 CFR 

1986 Comp., p. 189), Executive Order 

12689, ‘‘Debarment and Suspension’’ (3 

CFR 1989 Comp., p. 235) and 31 U.S.C. 

6101 note (Section 2455, Public Law 

103–355, 108 Stat. 3327). 

§ 1880.20 Does this part apply to me? 

This part and, through this part, 

pertinent portions of the OMB guidance 

in Subparts A through I of 2 CFR part 

180 (see table at 2 CFR 180.100(b)) 

apply to you if you are a—

(a) Participant or principal in a 

‘‘covered transaction’’ (see Subpart B of 

2 CFR part 180 and the definition of 

‘‘nonprocurement transaction’’ at 2 CFR 

180.970); 

(b) Respondent in a NASA suspension 

or debarment action; 

(c) NASA debarment or suspension 

official; or 

(d) NASA grants officer, agreements 

officer, or other official authorized to 

enter into any type of nonprocurement 

transaction that is a covered transaction. 

§ 1880.30 What policies and procedures 

must I follow? 

The NASA policies and procedures 

that you must follow are the policies 

and procedures specified in each 

applicable section of the OMB guidance 

in Subparts A through I of 2 CFR part 

180, as that section is supplemented by 

the section in this part with the same 

section number. The contracts that are 

covered transactions, for example, are 

specified by section 220 of the OMB 

guidance (i.e., 2 CFR 180.220) as 

supplemented by section 220 in this 

part (i.e., § 1880.220). For any section of 

OMB guidance in Subparts A through I 

of 2 CFR 180 that has no corresponding 

section in this part, NASA policies and 

procedures are those in the OMB 

guidance. 

Subpart A—General 

§ 1880.137 Who in NASA may grant an 

exception to let an excluded person 

participate in a covered transaction? 

The Chief Acquisition Officer has the 

authority to grant an exception to let an 

excluded person participate in a 

covered transaction, as provided in the 

OMB guidance at 2 CFR 180.135. 

Subpart B—Covered Transactions 

§ 1880.220 What contracts and 

subcontracts, in addition to those listed in 

2 CFR 180.220, are covered transactions? 

Although the OMB guidance at 2 CFR 

180.220(c) allows a Federal agency to do 

so (also see optional lower tier coverage 

in the figure in the Appendix to 2 CFR 

part 180), NASA does not extend 

coverage of nonprocurement suspension 

and debarment requirements beyond 

first-tier procurement contracts under a 

covered nonprocurement transaction. 

Subpart C—Responsibilities of 

Participants Regarding Transactions 

§ 1880.332 What methods must I use to 

pass requirements down to participants at 

lower tiers with whom I intend to do 

business? 

You as a participant must include a 

term or condition in lower-tier 

transactions requiring lower-tier 

participants to comply with Subpart C 

of the OMB guidance in 2 CFR part 180, 

as supplemented by this subpart. 

Subpart D—Responsibilities of Federal 

Agency Officials Regarding 

Transactions 

§ 1880.437 What method do I use to 

communicate to a participant the 

requirements described in the OMB 

guidance at 2 CFR 180.435? 

To communicate to a participant the 

requirements described in 2 CFR 

180.435 of the OMB guidance, you must 

include a term or condition in the 

transaction that requires the 

participant’s compliance with Subpart C 

of 2 CFR part 180, as supplemented by 

Subpart C of this part, and requires the 

participant to include a similar term or 

condition in lower-tier covered 

transactions. 

Subparts E–J—[Reserved] 

Title 14—Aeronautics and Space 

Chapter V—National Aeronautics and Space 

Administration 

PART 1260—GRANTS AND 

COOPERATIVE AGREEMENTS 

■ 2. The authority citation for 14 CFR 

part 1260 continues to read as follows: 

Authority: 42 U.S.C. 2473(c)(1), Pub. L. 97–

258, 96 Stat. 1003 (31 U.S.C. 6301, et seq.), 

and OMB Circular A–110. 

■ 3. Amend § 1260.10 by revising 

paragraph (c)(1)(i) to read as follows: 

§ 1260.10 Proposals. 

* * * * * 

(c)(1) * * * 

(i) A certification for debarment and 

suspension under the requirements of 2 

CFR § 180.510. 

* * * * * 

■ 4. Amend § 1260.76 by revising 

paragraph (b) to read as follows: 

§ 1260.76 Termination and enforcement. 

* * * * * 

(b) The Director, Contract 

Management Division, shall provide to 

the General Services Administration 

information concerning all NASA 

debarments, suspensions, 

determinations of ineligibility, and 

voluntary exclusions of persons in 

accordance with 2 CFR 180.505. 

* * * * * 

■ 5. Amend § 1260.113 to read as 

follows: 

§ 1260.113 Debarment and suspension. 

NASA and recipients shall comply 

with the nonprocurement debarment 

and suspension rule, 2 CFR 180 

implementing Executive Orders 12549 

and 12689, ‘‘Debarment and 

Suspension’’. This rule restricts 

contracts with certain parties that are 

debarred, suspended or otherwise 

excluded from or ineligible for 

participation in Federal assistance 

programs or activities. 

■ 6. Amend § 1260.144 by revising 

paragraph (d) to read as follows: 

§ 1260.144 Procurement procedures. 

* * * * * 


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Federal Register / Vol. 72, No. 76 / Friday, April 20, 2007 / Rules and Regulations 19785 

(d) Contracts shall be made only with 

responsible contractors who possess the 

potential ability to perform successfully 

under the terms and conditions of the 

proposed procurement. Consideration 

shall be given to such matters as 

contractor integrity, record of past 

performance, financial and technical 

resources or accessibility to other 

necessary resources. In certain 

circumstances, contracts with certain 

parties are restricted by 2 CFR part 180, 

the implementation of Executive Orders 

12549 and 12689, ‘‘Debarment and 

Suspension.’’

* * * * * 

■ 7. Amend § 1260.162 by revising 

paragraph (d) to read as follows: 

§ 1260.162 Enforcement. 

* * * * * 

(d) Relationship to debarment and 

suspension. The enforcement remedies 

identified in this section, including 

suspension and termination, do not 

preclude a recipient from being subject 

to debarment and suspension under 

Executive Orders 12549 and 12689 and 

2 CFR part 180 (see § 1260.113). 

PART 1265—GOVERNMENTWIDE 

DEBARMENT AND SUSPENSION 

(NONPROCUREMENT) 

■ 8. The authority citation for 14 CFR 

part 1265 continues to read as follows: 

Authority: Sec. 2455, Pub. L. 103–355, 108 

Stat. 3327; E.O. 12549, 3 CFR, 1986 Comp., 

p. 189; E.O. 12689, 3 CFR, 1989 Comp., p. 

235; 42 U.S.C. 2473(c)(1). 

PART 1265—[REMOVED] 

■ 9. Remove Part 1265. 

PART 1274—COOPERATIVE 

AGREEMENTS WITH COMMERCIAL 

FIRMS 

■ 10. The authority citation for 14 CFR 

part 1274 continues to read as follows: 

Authority: 31 U.S.C. 6301 to 6308; 42 

U.S.C. 2451, et seq. 

■ 11. Amend § 1274.211 by revising 

paragraph (d)(2) to read as follows: 

§ 1274.211 Award procedures. 

* * * * * 

(d) * * * 

(2) Each new proposal shall include a 

certification for debarment and 

suspension under the requirements of 2 

CFR 180.510 and 1260.117. 

* * * * * 

■ 12. Amend § 1274.505 by revising 

paragraph (d) to read as follows: 

§ 1274.505 Procurement procedures. 

* * * * * 

(d) Contracts shall be made only with 

responsible contractors who possess the 

potential ability to perform successfully 

under the terms and conditions of the 

proposed procurement. Consideration 

shall be given to such matters as 

contractor integrity, record of past 

performance, financial and technical 

resources or accessibility to other 

necessary resources. In certain 

circumstances, contracts with certain 

parties are restricted by 2 CFR part 180, 

the implementation of Executive Orders 

12549 and 12689, ‘‘Debarment and 

Suspension.’’

* * * * * 

■ 13. Revise § 1274.927 to read as 

follows: 

§ 1274.927 Debarment and Suspension 

and Drug-Free Workplace. 

Debarment and Suspension and DrugFree Workplace (APR 2007) 

NASA cooperative agreements are 

subject to the provisions of 2 CFR part 

180, Government-wide Debarment and 

Suspension (Nonprocurement) and 14 

CFR part 1267, Government-wide 

requirements for Drug-Free Workplace, 

unless excepted by 2 CFR 180.110 or 

180.610. 

[End of Provision] 

[FR Doc. 07–1949 Filed 4–19–07; 8:45 am] 

BILLING CODE 7510–01–P 

DEPARTMENT OF TRANSPORTATION 

Federal Aviation Administration 

14 CFR Part 39 

[Docket No. FAA–2006–26075; Directorate 

Identifier 2006–CE–55–AD; Amendment 39–

15025; AD 2007–08–08] 

RIN 2120–AA64 

Airworthiness Directives; Raytheon 

Aircraft Company (The Beech Aircraft 

Company and BEECH previously held 

Type Certificate Nos. 3A15, 3A16, 5A3, 

and A–777) Models 35–33, 35–A33, 35–

B33, 35–C33, E33, F33, G33, 35–C33A, 

E33A, F33A, E33C, F33C, 35, A35, B35, 

C35, D35, E35, F35, G35, H35, J35, K35, 

M35, N35, P35, S35, V35, V35A, V35B, 

36, A36, A45 (T–34A, B45), D45 (T–

34B), 95–55, 95–A55, 95–B55, 95–B55A, 

95–B55B (T–42A), 95–C55, 95–C55A, 

D55, D55A, E55, E55A, 56TC, A56TC, 

58, 95, B95, B95A, D95A, and E95 

Airplanes 

AGENCY: Federal Aviation 

Administration (FAA), DOT. 

ACTION: Final rule. 

SUMMARY: We are adopting a new 

airworthiness directive (AD) that 

supersedes AD 72–22–01, which applies 

to certain Raytheon Aircraft Company 

(RAC) (The Beech Aircraft Company 

and BEECH previously held Type 

Certificate Nos. 3A15, 3A16, 5A3, and 

A–777) Models 33, 35, 36, 45, and 95 

series airplanes. AD 72–22–01 currently 

requires you to determine if each uplock 

roller is of the greasible type (one 

having a drilled and grooved inner 

race), replace any nongreasible uplock 

roller (one having a solid inner race) 

with the greasible type before further 

flight, install hollow zerk-ended 

mounting bolts on the uplock rollers, 

and repetitively lubricate the uplock 

mechanism. Since we issued AD 72–22–

01, there was a recent incident 

involving a RAC Model 95–B55B (T–

42A) airplane where a seizure of the 

uplock rollers occurred. This 

malfunction of the uplock rollers is 

addressed in AD 72–22–01. Thus, the 

FAA has determined that the actions of 

AD 72–22–01 should also apply to 

certain serial numbers of the Model 95–

B55B (T–42A) airplanes. Consequently, 

this AD retains all the actions of AD 72–

22–01, adds those Model 95–B55B (T–

42A) airplanes to the applicability of 

this AD, and lists the specific serial 

numbers. We are issuing this AD to 

decrease the possibility of gear-up 

landings caused by seizure of the uplock 

rollers. 

DATES: This AD becomes effective on 

May 25, 2007. 

On May 25, 2007 the Director of the 

Federal Register approved the 

incorporation by reference of certain 

publications listed in this AD. 

ADDRESSES: To get the service 

information identified in this AD, 

contact Raytheon Aircraft Company, 

P.O. Box 85, Wichita, Kansas 67201–

0085; telephone: (800) 429–5372 or 

(316) 676–3140. To view the AD docket, 

go to the Docket Management Facility; 

U.S. Department of Transportation, 400 

Seventh Street, SW., Nassif Building, 

Room PL–401, Washington, DC 20590–

001 or on the Internet at http:// 

dms.dot.gov. The docket number is 

FAA–2006–26075; Directorate Identifier 

2006–CE–55–AD. 

FOR FURTHER INFORMATION CONTACT: 

Anthony Flores, Aerospace Engineer, 

FAA, Wichita Aircraft Certification 

Office, 1801 Airport Road, Wichita, 

Kansas 67209; telephone: (316) 946–

4174; facsimile: (316) 946–4107. 

SUPPLEMENTARY INFORMATION: 

Discussion 

On December 4, 2006, we issued a 

proposal to amend part 39 of the Federal 

Aviation Regulations (14 CFR part 39) to 

include an AD that would apply to 


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