[Federal Register Volume 62, Number 236 (Tuesday, December 9, 1997)]
[Rules and Regulations]
[Pages 64932-64933]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-31822]


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DEPARTMENT OF DEFENSE

GENERAL SERVICES ADMINISTRATION

NATIONAL AERONAUTICS AND SPACE ADMINISTRATION

48 CFR Part 31

[FAC 97-03; FAR Case 97-007; Item IX]
RIN 9000-AH76


Federal Acquisition Regulation; Travel Reimbursement

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

ACTION: Interim rule with request for comments.

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SUMMARY: The Civilian Agency Acquisition Council and the Defense 
Acquisition Regulations Council have agreed on an interim rule amending 
the Federal Acquisition Regulation (FAR) to increase from $25 to $75 
the maximum travel expense amount that contractor personnel may claim 
without providing a supporting receipt. This regulatory action was not 
subject to Office of Management and Budget review under Executive Order 
12866, dated September 30, 1993, and is not a major rule under 5 U.S.C. 
804.

DATES: Effective: December 9, 1997.
    Comments: Comments should be submitted to the FAR Secretariat at 
the address shown below on or before February 9, 1998 to be considered 
in the formulation of a final rule.

ADDRESSES: Interested parties should submit written comments to:

General Services Administration, FAR Secretariat (MVR), 1800 F Street, 
NW., Room 4035, Washington, DC 20405

E-Mail comments submitted over the Internet should be addressed to:

<a href="/cdn-cgi/l/email-protection#3a5c5b48595b495f14030d170a0a0d7a5d495b145d554c"><span class="__cf_email__" data-cfemail="87e1e6f5e4e6f4e2a9beb0aab7b7b0c7e0f4e6a9e0e8f1">[email protected]</span></a>

    Please cite FAC 97-03, FAR case 97-007, in all correspondence 
related to this case.

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 Ms. Linda Nelson, Procurement Analyst, at (202) 501-
1900. Please cite FAC 97-03, FAR case 97-007.

SUPPLEMENTARY INFORMATION:

A. Background

    On October 28, 1996, GSA published Federal Travel Regulation (FTR) 
Amendment 50, in the Federal Register (61 FR 55577), to streamline the 
process of travel reimbursement claims. One of the FTR changes was to 
raise, from $25.00 to $75.00, the maximum travel expense amount which 
may be claimed without the requirement for a supporting receipt.
    In concert with the FTR change, this rule amends the cost principle 
at FAR 31.205-46 to increase, from $25.00 to $75.00, the threshold at 
which contractor personnel must provide a receipt to support travel 
expenditures.

B. Regulatory Flexibility Act

    The interim 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., because most 
contracts awarded to small entities use simplified acquisition 
procedures or are awarded on a competitive, fixed-price basis, and do 
not require application of the cost principle contained in this rule. 
An Initial Regulatory Flexibility Analysis has, therefore, not been 
performed. Comments are invited from small businesses and other 
interested parties. Comments from small entities concerning the 
affected FAR subpart also will be considered in accordance with 5 
U.S.C. 610. Such comments must be submitted separately and should cite 
5 U.S.C 601, et seq. (FAC 97-03, FAR case 97-007), in correspondence.

C. Paperwork Reduction Act

    The Paperwork Reduction Act (Pub. L. 96-511) is deemed to apply 
because the interim rule contains information collection requirements. 
The collection of this information is currently cleared under Office of 
Management and Budget number 9000-0088. The increase in the receipt 
threshold is expected to reduce the existing burden hours. Copies of 
the form and supporting documents reducing the burden hours may be 
obtained from the FAR Secretariat. Estimated number of respondents: 
5,800; responses per respondent: 10; total burden hours: 14,500; 
frequency of report: on occasion.

D. Determination to Issue an Interim Rule

    A determination has been made under the authority of the Secretary 
of Defense (DOD), the Administrator of General Services (GSA), and the 
Administrator of the National Aeronautics and Space Administration 
(NASA) that urgent and compelling reasons exist to promulgate this 
interim rule without prior opportunity for public comment. This action 
is necessary to make the cost principle consistent with the newly 
revised Federal Travel Regulations and to remove the unnecessarily 
burdensome recordkeeping requirement for travel expenses between $25.00 
and $75.00, as quickly as possible. However, pursuant to Public Law 98-
577 and FAR 1.501, public comments received in response to this interim 
rule will be considered in the formation of the final rule.

List of Subjects in 48 CFR Part 31

    Government procurement.

    Dated: December 1, 1997.
Edward C. Loeb,
Director, Federal Acquisition Policy Division.

    Therefore, 48 CFR Part 31 is amended as set forth below:

PART 31--CONTRACT COST PRINCIPLES AND PROCEDURES

    1. The authority citation for 48 CFR Part 31 continues to read as 
follows:


[[Page 64933]]


    Authority: 40 U.S.C. 486(c); 10 U.S.C. chapter 137; and 42 
U.S.C. 2473(c).

    2. Section 31.205-46 is amended by revising paragraph (a)(3)(iv) to 
read as follows:


31.205-46  Travel costs.

    (a) * * *
    (3) * * *
    (iv) Documentation to support actual costs incurred shall be in 
accordance with the contractor's established practices, subject to 
paragraph (a)(7) of this subsection, and provided that a receipt is 
required for each expenditure of $75.00 or more. The approved 
justification required by paragraph (a)(3)(ii) and, if applicable, 
paragraph (a)(3)(iii) of this subsection must be retained.
* * * * *
[FR Doc. 97-31822 Filed 12-8-97; 8:45 am]
BILLING CODE 6820-EP-P


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