64932 Federal Register / Vol. 62, No. 236 / Tuesday, December 9, 1997 / Rules and Regulations

PART 31—CONTRACT COST

PRINCIPLES AND PROCEDURES

2. Section 31.205–18 is amended in

paragraph (a) by removing definitions

for ‘‘Contractor’’, ‘‘Covered contract’’,

‘‘Covered segment’’, and ‘‘Major

contractor’’; by revising paragraph (c)

and the heading of paragraph (d); and

adding paragraph (e)(3) to read as

follows:

31.205–18 Independent research and

development and bid and proposal costs.

* * * * *

(c) Allowability. Except as provided in

paragraphs (d) and (e) of this subsection,

or as provided in agency regulations,

costs for IR&D and B&P are allowable as

indirect expenses on contracts to the

extent that those costs are allocable and

reasonable.

(d) Deferred IR&D costs.* * *

* * * * *

(e) * * *

(3) Costs incurred in preparing,

submitting, and supporting offers on

potential cooperative arrangements are

allowable to the extent they are

allocable, reasonable, and not otherwise

unallowable.

PART 42—CONTRACT

ADMINISTRATION

Subpart 42.10 [Reserved]

3. Subpart 42.10 is removed and

reserved.

[FR Doc. 97–31821 Filed 12–8–97; 8:45 am]

BILLING CODE 6820–EP–P

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.

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:

farcase.97–007@gsa.gov

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:
Federal Register / Vol. 62, No. 236 / Tuesday, December 9, 1997 / Rules and Regulations 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

DEPARTMENT OF DEFENSE

GENERAL SERVICES

ADMINISTRATION

NATIONAL AERONAUTICS AND

SPACE ADMINISTRATION

48 CFR Part 33

[FAC 97–03; FAR Case 97–009; Item X]

RIN 9000–AH81

Federal Acquisition Regulation;

Protests to GAO

AGENCIES: Department of Defense (DoD),

General Services Administration (GSA),

and National Aeronautics and Space

Administration (NASA).

ACTION: Final rule.

SUMMARY: The Civilian Agency

Acquisition Council and the Defense

Acquisition Regulations Council have

agreed on a final rule amending the

Federal Acquisition Regulation (FAR) to

conform with revisions to the General

Accounting Office (GAO) Bid Protest

Regulations. 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.

EFFECTIVE DATE: February 9, 1998.

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 Mr. Jack

O’Neill, Procurement Analyst, at (202)

501–3856. Please cite FAC 97–03, FAR

case 97–009.

SUPPLEMENTARY INFORMATION:

A. Background

The GAO published a final rule

amending its Bid Protest Regulations in

the Federal Register on July 26, 1996

(61 FR 39039). Several conforming

amendments to FAR Part 33 are

necessary to reflect the current GAO Bid

Protest Regulations. The definition of

‘‘day’’ in FAR 33.101 is amended to

exclude Saturdays, Sundays, and

Federal holidays from being counted if

such day is the last day of the period

after the act, event, or default. FAR

33.104 is amended to require agencies to

include a best estimate of the contract

value in an agency report of a protest;

and to require agencies to provide to all

parties, at least 5 days prior to the filing

of a report, a list of documents the

agency intends to release or withhold,

and reasons for proposed withholding.

The time within which agencies are

required to provide additional

documents requested by a protester is

reduced from 5 to 2 days. The time

within which protesters or other

interested parties are required to furnish

comments on an agency report is

reduced from 14 to 10 days, or from 7

to 5 days if an express option is used;

or, if a hearing is held, from 7 to 5 days.

Language is added to require a protester

to file its claim for costs with the

contracting agency within 60 days after

receipt of GAO’s recommendation that

the agency pay the protester its costs.

B. Regulatory Flexibility Act

The final rule does not constitute a

significant FAR revision within the

meaning of FAR 1.501 and Public Law

98–577, and publication for public

comments is not required. However,

comments from small entities

concerning the affected FAR subpart

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 97–009), in correspondence.

C. Paperwork Reduction Act

The Paperwork Reduction Act does

not apply because the changes to the

FAR do not impose recordkeeping or

information collection requirements, or

collections of information from offerors,

contractors, or members of the public

which 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 33

Government procurement.

Dated: December 1, 1997.

Edward C. Loeb,

Director, Federal Acquisition Policy Division.

Therefore, 48 CFR part 33 is amended

as set forth below:

PART 33—PROTESTS, DISPUTES,

AND APPEALS

1. The authority citation for 48 CFR

part 33 continues to read as follows:

Authority: 40 U.S.C. 486(c); 10 U.S.C.

chapter 137; and 42 U.S.C. 2473(c).

33.101 [Amended]

2. Section 33.101 is amended in

paragraph (b)(1) under the definition of

‘‘Day’’ by removing the word ‘‘legal’’

and inserting ‘‘Federal’’ in its place; and

by removing paragraph (c).

3. Section 33.104 is amended by—

a. Redesignating (a)(3)(iii) as (a)(3)(iv),

and adding a new (a)(3)(iii);

b. Revising newly designated

(a)(3)(iv)(B); removing (a)(3)(iv)(C);

redesignating (a)(3)(iv)(D) as

(a)(3)(iv)(C);

c. Replacing ‘‘5’’ with ‘‘2’’ in

paragraphs (a)(4)(ii)(A) and (a)(4)(ii)(B);

d. Replacing ‘‘14’’ with ‘‘10’’ and ‘‘7’’

with ‘‘5’’ each time it appears in

paragraph (a)(6);

e. Adding ‘‘the agency’’ before the

word ‘‘report’’ in the third sentence of

paragraph (e);

f. Revising paragraph (h) to read as

follows:

33.104 Protests to GAO.

* * * * *

(a) * * *

(3) * * *

(iii) At least 5 days prior to the filing

of the report, in cases in which the

protester has filed a request for specific

documents, the agency shall provide to

all parties and the GAO a list of those

documents, or portions of documents,

that the agency has released to the

protester or intends to produce in its

report, and those documents that the

agency intends to withhold from the

protester and the reasons for the

proposed withholding. Any objection to

the scope of the agency’s proposed

disclosure or nondisclosure of the

documents must be filed with the GAO

and the other parties within 2 days after

receipt of this list.

(iv) * * *

(A) * * *

(B) The contracting officer’s signed

statement of relevant facts, including a

best estimate of the contract value, and

a memorandum of law. The contracting

officer’s statement shall set forth

findings, actions, and recommendations,

and any additional evidence or

information not provided in the protest