Federal Register / Vol. 77, No. 42 / Friday, March 2, 2012 / Rules and Regulations 12933 

(3) Shall consider SDVOSB set-asides 

before considering SDVOSB sole source 

awards (see 19.1406) or small business 

set-asides (see subpart 19.5). 

* * * * * 

■ 8. Amend section 19.1406 by revising 

the introductory text of paragraph (a) to 

read as follows: 

19.1406 Sole source awards to servicedisabled veteran-owned small business 

concerns. 

(a) A contracting officer shall consider 

a contract award to a SDVOSB concern 

on a sole source basis (see 6.302– 

5(b)(6)), before considering small 

business set-asides (see 19.203 and 

subpart 19.5) provided none of the 

exclusions of 19.1404 apply and— 

* * * * * 

[FR Doc. 2012–4488 Filed 3–1–12; 8:45 am] 

BILLING CODE 6820–EP–P 

DEPARTMENT OF DEFENSE 

GENERAL SERVICES 

ADMINISTRATION 

NATIONAL AERONAUTICS AND 

SPACE ADMINISTRATION 

48 CFR Parts 22, 25, and 52 

[FAC 2005–56; FAR Case 2012–002; Item 

V; Docket 2012–0002, Sequence 1] 

RIN 9000–AM17 

Federal Acquisition Regulation: Trade 

Agreements Thresholds 

AGENCIES: Department of Defense (DoD), 

General Services Administration (GSA), 

and National Aeronautics and Space 

Administration (NASA). 

ACTION: Final rule. 

SUMMARY: DoD, GSA, and NASA are 

issuing a final rule amending the 

Federal Acquisition Regulation (FAR) to 

incorporate adjusted thresholds for 

application of the World Trade 

Organization Government Procurement 

Agreement and the Free Trade 

Agreements, as determined by the 

United States Trade Representative. 

DATES: Effective Date: March 2, 2012. 

FOR FURTHER INFORMATION CONTACT: Ms. 

Cecelia L. Davis, Procurement Analyst, 

at 202–219–0202 for clarification of 

content. For information pertaining to 

status or publication schedules, contact 

the Regulatory Secretariat at 202–501– 

4755. Please cite FAC 2005–56, FAR 

Case 2012–002. 

SUPPLEMENTARY INFORMATION: 

I. Background 

Every two years, the trade agreements 

thresholds are adjusted according to a 

pre-determined formula set forth in the 

agreements. The United States Trade 

Representative has specified the 

following new thresholds in the Federal 

Register (see 76 FR 76808, published on 

December 8, 2011): 

Trade agreement 

Supply contract 

(equal to or 

exceeding) 

Service contract 

(equal to or 

exceeding) 

Construction 

contract 

(equal to or 

exceeding) 

WTO GPA .................................................................................................................. $202,000 $202,000 $7,777,000 

FTAs: 

Australia FTA ...................................................................................................... 77,494 77,494 7,777,000 

Bahrain FTA ....................................................................................................... 202,000 202,000 10,074,262 

CAFTA–DR (Costa Rica, Dominican Republic, El Salvador, Guatemala, Honduras, and Nicaragua) .................................................................................... 77,494 77,494 7,777,000 

Chile FTA ............................................................................................................ 77,494 77,494 7,777,000 

Morocco FTA ...................................................................................................... 202,000 202,000 7,777,000 

NAFTA: .............................. .............................. ..............................

—Canada .................................................................................................... 25,000 77,494 10,074,262 

—Mexico ...................................................................................................... 77,494 77,494 10,074,262 

Oman FTA ................................................................................................... 202,000 202,000 10,074,262 

Peru FTA ..................................................................................................... 202,000 202,000 7,777,000 

Singapore FTA ................................................................................................... 77,494 77,494 7,777,000 

Israeli Trade Act ........................................................................................................ 50,000 .............................. ..............................

II. Discussion and Analysis 

This final rule implements the new 

thresholds in FAR subpart 25.4, Trade 

Agreements, and other sections in the 

FAR that include trade agreements 

thresholds (i.e., 22.1503, 25.202, 25.603, 

25.1101, and 25.1102). 

In addition, changes are required to 

FAR clause 52.204–8, Annual 

Representations and Certifications, and 

FAR clause 52.222–19, Child LaborCooperation with Authorities and 

Remedies. Conforming changes are also 

required to the clause dates in FAR 

clause 52.212–5, Contract Terms and 

Conditions Required to Implement 

Statutes or Executive OrdersCommercial Items, and FAR clause 

52.213–4, Terms and ConditionsSimplified Acquisitions (Other Than 

Commercial Items). 

III. Executive Orders 12866 and 13563 

Executive Orders (E.O.s) 12866 and 

13563 direct agencies to assess all costs 

and benefits of available regulatory 

alternatives and, if regulation is 

necessary, to select regulatory 

approaches that maximize net benefits 

(including potential economic, 

environmental, public health and safety 

effects, distributive impacts, and 

equity). E.O. 13563 emphasizes the 

importance of quantifying both costs 

and benefits, of reducing costs, of 

harmonizing rules, and of promoting 

flexibility. This is not a significant 

regulatory action and, therefore, was not 

subject to review under Section 6(b) of 

E.O. 12866, Regulatory Planning and 

Review, dated September 30, 1993. This 

rule is not a major rule under 5 U.S.C. 

804. 

IV. Regulatory Flexibility Act 

The Regulatory Flexibility Act does 

not apply to this rule because this final 

rule does not constitute a significant 

FAR revision within the meaning of 

FAR 1.501–1 and 41 U.S.C. 1707 and 

does not require publication for public 

comment. 

V. Paperwork Reduction Act 

The final rule does not contain any 

information collection requirements that 

require the approval of the Office of 

Management and Budget under the 

Paperwork Reduction Act (44 U.S.C. 

chapter 35). 

List of Subjects in 48 CFR Parts 22, 25, 

and 52 

Government procurement. 

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12934 Federal Register / Vol. 77, No. 42 / Friday, March 2, 2012 / Rules and Regulations 

Dated: February 21, 2012. 

Laura Auletta, 

Director, Office of Governmentwide 

Acquisition Policy, Office of Acquisition 

Policy, Office of Governmentwide Policy. 

Therefore, DoD, GSA, and NASA 

amend 48 CFR parts 22, 25, and 52 as 

set forth below: 

■ 1. The authority citation for 48 CFR 

parts 22, 25, and 52 continues 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 22—APPLICATION OF LABOR 

LAWS TO GOVERNMENT 

ACQUISITIONS 

22.1503 [Amended] 

■ 2. Amend section 22.1503 by 

removing from paragraph (b)(3) 

‘‘$70,079’’ and adding ‘‘$77,494’’ in its 

place, and by removing from paragraph 

(b)(4) ‘‘$203,000’’ and adding 

‘‘$202,000’’ in its place. 

PART 25—FOREIGN ACQUISITION 

25.202 [Amended] 

■ 3. Amend section 25.202 by removing 

from paragraph (c) ‘‘$7,804,000’’ and 

adding ‘‘$7,777,000’’ in its place. 

■ 4. Amend section 25.402 by revising 

the table in paragraph (b) to read as 

follows: 

25.402 General. 

* * * * * 

(b) * * * 

Trade agreement 

Supply contract 

(equal to or exceeding) 

Service contract 

(equal to or exceeding) 

Construction 

contract 

(equal to or 

exceeding) 

WTO GPA .................................................................................................................. $202,000 $202,000 $7,777,000 

FTAs: 

Australia FTA ...................................................................................................... 77,494 77,494 7,777,000 

Bahrain FTA ....................................................................................................... 202,000 202,000 10,074,262 

CAFTA–DR (Costa Rica, Dominican Republic, El Salvador, Guatemala, Honduras, and Nicaragua) .................................................................................... 77,494 77,494 7,777,000 

Chile FTA ............................................................................................................ 77,494 77,494 7,777,000 

Morocco FTA ...................................................................................................... 202,000 202,000 7,777,000 

NAFTA:.

—Canada .................................................................................................... 25,000 77,494 10,074,262 

—Mexico ...................................................................................................... 77,494 77,494 10,074,262 

Oman FTA ................................................................................................... 202,000 202,000 10,074,262 

Peru FTA ..................................................................................................... 202,000 202,000 7,777,000 

Singapore FTA ............................................................................................ 77,494 77,494 7,777,000 

Israeli Trade Act ........................................................................................................ 50,000 .............................. ..............................

25.603 [Amended] 

■ 5. Amend section 25.603 by removing 

from paragraph (c)(1) ‘‘$7,804,000’’ and 

adding ‘‘$7,777,000’’ in its place. 

25.1101 [Amended] 

■ 6. Amend section 25.1101 by— 

■ a. Removing from paragraph 

(b)(1)(i)(A) ‘‘$203,000’’ and adding 

‘‘$202,000’’ in its place; 

■ b. Removing from paragraphs 

(b)(1)(iii) and (b)(2)(iii) ‘‘$70,079’’ and 

adding ‘‘$77,494’’ in its place; and 

■ c. Removing from paragraphs (c)(1) 

and (d) ‘‘$203,000’’ and adding 

‘‘202,000’’ in its place. 

25.1102 [Amended] 

■ 7. Amend section 25.1102 by— 

■ a. Removing from the introductory 

text of paragraph (a) ‘‘$7,804,000’’ and 

adding ‘‘$7,777,000’’ in its place; 

■ b. Removing from the introductory 

text of paragraph (c) ‘‘$7,804,000’’ and 

adding ‘‘$7,777,000’’ in its place; 

■ c. Removing from paragraph (c)(3) 

‘‘$7,804,000’’ and ‘‘$9,110,318’’ and 

adding ‘‘$7,777,000’’ and ‘‘$10,074,262’’ 

in their place, respectively; and 

■ d. Removing from paragraph (d)(3) 

‘‘$7,804,000’’ and ‘‘$9,110,318’’ and 

adding ‘‘$7,777,000’’ and ‘‘$10,074,262’’ 

in their place, respectively. 

PART 52—SOLICITATION PROVISIONS 

AND CONTRACT CLAUSES 

■ 8. Amend section 52.204–8 by 

revising the date of the provision as set 

forth below, and removing from 

paragraph (c)(1)(xvii)(C) ‘‘$67,826’’ and 

adding ‘‘$77,494’’ in its place. 

52.204–8 Annual Representations and 

Certifications. 

* * * * * 

ANNUAL REPRESENTATIONS AND 

CERTIFICATIONS (MAR 2012) 

* * * * * 

■ 9. Amend section 52.212–5 by 

revising the date of the clause and 

paragraph (b)(27) to read as follows: 

52.212–5 Contract Terms and Conditions 

Required to Implement Statutes or 

Executive Orders—Commercial Items. 

* * * * * 

CONTRACT TERMS AND 

CONDITIONS REQUIRED TO 

IMPLEMENT STATUTES OR 

EXECUTIVE ORDERS—COMMERCIAL 

(MAR 2012) 

* * * * * 

(b) * * * 

l(27) 52.222–19, Child LaborCooperation with Authorities and 

Remedies (MAR 2012) (E.O. 13126). 

* * * * * 

■ 10. Amend section 52.213–4 by 

revising the date of the clause and 

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

52.213–4 Terms and Conditions— 

Simplified Acquisitions (Other Than 

Commercial Items). 

* * * * * 

TERMS AND CONDITIONS— 

SIMPLIFIED ACQUISITIONS (OTHER 

THAN COMMERCIAL ITEMS) (MAR 

2012) 

* * * * * 

(b) * * * 

(1) * * * 

(i) 52.222–19, Child Labor— 

Cooperation with Authorities and 

Remedies (MAR 2012) (E.O. 13126). 

(Applies to contracts for supplies 

exceeding the micro-purchase 

threshold.) 

* * * * * 

■ 11. Amend section 52.222–19 by 

revising the date of the clause; removing 

from paragraph (a)(3) ‘‘$70,079’’ and 

adding ‘‘$77,494’’ in its place; and 

removing from paragraph (a)(4) 

‘‘$203,000’’ and adding ‘‘$202,000’’ in 

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Federal Register / Vol. 77, No. 42 / Friday, March 2, 2012 / Rules and Regulations 12935 

its place. The revised text reads as 

follows: 

52.222–19 Child Labor—Cooperation with 

Authorities and Remedies. 

* * * * * 

CHILD LABOR—COOPERATION WITH 

AUTHORITIES AND REMEDIES (MAR 

2012) 

* * * * * 

[FR Doc. 2012–4492 Filed 3–1–12; 8:45 am] 

BILLING CODE 6820–EP–P 

DEPARTMENT OF DEFENSE 

GENERAL SERVICES 

ADMINISTRATION 

NATIONAL AERONAUTICS AND 

SPACE ADMINISTRATION 

48 CFR Parts 22, 25, and 52 

[FAC 2005–56; FAR Case 2011–030; Item 

VI; Docket 2011–0030, Sequence 1] 

RIN 9000–AM16 

Federal Acquisition Regulation; New 

Designated Country (Armenia) and 

Other Trade Agreements Updates 

AGENCIES: Department of Defense (DoD), 

General Services Administration (GSA), 

and National Aeronautics and Space 

Administration (NASA). 

ACTION: Final rule. 

SUMMARY: DoD, GSA, and NASA are 

issuing a final rule amending the 

Federal Acquisition Regulation (FAR) to 

add Armenia as a designated country, 

due to the accession of Armenia to 

membership in the World Trade 

Organization Government Procurement 

Agreement. The rule also updates the 

FAR lists of countries that are party to 

the Agreement on Trade in Civil 

Aircraft. 

DATES: Effective Date: March 2, 2012. 

FOR FURTHER INFORMATION CONTACT: Ms. 

Cecelia L. Davis, Procurement Analyst, 

at 202–219–0202 for clarification of 

content. For information pertaining to 

status or publication schedules, contact 

the Regulatory Secretariat at 202–501– 

4755. Please cite FAC 2005–56, FAR 

Case 2011–030. 

SUPPLEMENTARY INFORMATION: 

I. Background 

On September 15, 2011, Armenia 

became a party to the World Trade 

Organization Government Procurement 

Agreement (WTO GPA). The Trade 

Agreements Act (19 U.S.C. 2501 et seq.) 

provides the authority for the President 

to waive the Buy American Act and 

other discriminatory provisions for 

eligible products from countries that 

have signed an international trade 

agreement with the United States (such 

as the WTO GPA). The President has 

delegated this waiver authority to the 

U.S. Trade Representative (see FAR 

25.402). 

On September 22, 2011, because 

Armenia became a party to the WTO 

GPA and because the U.S. Trade 

Representative has determined that 

Armenia will provide appropriate 

reciprocal competitive Government 

procurement opportunities to United 

States products and services and 

suppliers of such products and services, 

the U.S. Trade Representative published 

a notice in the Federal Register (76 FR 

58856) waiving the Buy American Act 

and other discriminatory provisions for 

eligible products from Armenia. 

In addition, the Office of the U.S. 

Trade Representative has provided an 

updated list of countries that are party 

to the Agreement on Trade in Civil 

Aircraft. The U.S. Trade Representative 

has waived the Buy American Act for 

civil aircraft and related articles from 

countries that are parties to the 

Agreement on Trade on Civil Aircraft. 

II. Discussion and Analysis 

FAR 25.003 defines WTO GPA 

countries by listing the parties to the 

WTO GPA, and defines ‘‘designated 

country’’ as a WTO GPA country, a Free 

Trade Agreement country, a least 

designated country, or a Caribbean 

Basin country (including the lists of 

countries in each category). 

Because Armenia is now a WTO GPA 

country and therefore also a designated 

country, as determined by the U.S. 

Trade Representative, this final rule 

adds Armenia to the lists of WTO GPA 

countries and designated countries at 

FAR 22.1503, 25.003, 52.222–19, 

52.225–5, 52.225–11, and 52.225–23. 

This final rule also updates the FAR 

lists of countries that are party to the 

Agreement on Trade in Civil Aircraft at 

FAR 25.407 and 52.225–7, Waiver of 

Buy American Act for Civil Aircraft and 

Related Articles. 

Conforming changes have also been 

made to the associated clause dates for 

the revised clauses in the lists at FAR 

52.212–5, Contract Terms and 

Conditions Required to Implement 

Statutes or Executive Orders— 

Commercial Items, and FAR 52.213–4, 

Terms and Conditions—Simplified 

Acquisitions (Other Than Commercial 

Items). 

III. Publication of This Final Rule for 

Public Comment Is Not Required by 

Statute 

‘‘Publication of proposed 

regulations’’, 41 U.S.C. 1707, is the 

statute which applies to the publication 

of the Federal Acquisition Regulation. 

Paragraph (a)(1) of the statute requires 

that a procurement policy, regulation, 

procedure or form (including an 

amendment or modification thereof) 

must be published for public comment 

if it relates to the expenditure of 

appropriated funds, and has either a 

significant effect beyond the internal 

operating procedures of the agency 

issuing the policy, regulation, procedure 

or form, or has a significant cost or 

administrative impact on contractors or 

offerors. This final rule is not required 

to be published for public comment, 

because it recognizes actions taken by 

the United States Trade Representative 

that do not have a significant effect on 

contractors or offerors. 

IV. Executive Orders 12866 and 13563 

Executive Orders (E.O.s) 12866 and 

13563 direct agencies to assess all costs 

and benefits of available regulatory 

alternatives and, if regulation is 

necessary, to select regulatory 

approaches that maximize net benefits 

(including potential economic, 

environmental, public health and safety 

effects, distributive impacts, and 

equity). E.O. 13563 emphasizes the 

importance of quantifying both costs 

and benefits, of reducing costs, of 

harmonizing rules, and of promoting 

flexibility. This is a significant 

regulatory action and, therefore, was 

subject to review under Section 6(b) of 

E.O. 12866, Regulatory Planning and 

Review, dated September 30, 1993. This 

rule is not a major rule under 5 U.S.C. 

804. 

V. Regulatory Flexibility Act 

The Regulatory Flexibility Act does 

not apply to this rule because this final 

rule does not constitute a significant 

FAR revision within the meaning of 

FAR 1.501–1 and 41 U.S.C. 1707 and 

does not require publication for public 

comment. 

VI. Paperwork Reduction Act 

Notwithstanding any other provision 

of law, no person is required to respond 

to, nor shall any person be subject to a 

penalty for failure to comply with a 

collection of information subject to the 

requirements of the Paperwork 

Reduction Act of 1995 (44 U.S.C. 3501 

et seq.) unless the collection of 

information displays a currently valid 

Office of Management and Budget 

(OMB) Control Number. The Paperwork 

mstockstill on DSK4VPTVN1PROD with RULES2