`[Federal Register Volume 65, Number 208 (Thursday, October 26, 2000)]
[Proposed Rules]
[Pages 64298-64299]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 00-27500]



[[Page 64297]]

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Part III





Department of Defense

General Services Administration

National Aeronautics and Space Administration





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48 CFR Part 52



Federal Acquisition Regulation; Application of Labor Clauses; Proposed 
Rule

  Federal Register / Vol. 65, No. 208 / Thursday, October 26, 2000 / 
Proposed Rules  

[[Page 64298]]



DEPARTMENT OF DEFENSE

GENERAL SERVICES ADMINISTRATION

NATIONAL AERONAUTICS AND SPACE ADMINISTRATION

48 CFR Part 52

[FAR Case 1999-612]
RIN 9000-AI95


Federal Acquisition Regulation; Application of Labor Clauses

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) by amending the clause, Terms and 
Conditions--Simplified Acquisitions (Other Than Commercial Items), to 
include the Prohibition of Segregated Facilities clause and to clarify 
the application of labor clauses below the simplified acquisition 
threshold. The Councils are also proposing to amend the Equal 
Opportunity clause to incorporate the exception for work performed 
outside the United States.

DATES: Interested parties should submit comments in writing on or 
before December 26, 2000 to be considered in the formulation of a final 
rule.

ADDRESSES: Submit written comments to: General Services Administration, 
FAR Secretariat (MVRS), 1800 F Street, NW., Room 4035, ATTN: Laurie 
Duarte, Washington, DC 20405.
    Submit electronic comments via the Internet to: farcase.1999 [email protected].
    Please submit comments only and cite FAR case 1999-612 in all 
correspondence related to this case.

FOR FURTHER INFORMATION CONTACT: The FAR Secretariat, Room 4035, GS 
Building, Washington, DC, 20405, at (202) 501-4755 for information 
pertaining to status or publication schedules. For clarification of 
content, contact Ms. Linda Klein, Procurement Analyst, at (202) 501-
3775. Please cite FAR case 1999-612.

SUPPLEMENTARY INFORMATION:

A. Background

    The proposed rule amends the clause at 52.213-4, Terms and 
Conditions--Simplified Acquisitions (Other Than Commercial Items), to 
include the clause at 52.222-21, Prohibition of Segregated Facilities. 
This amendment clarifies the existing requirements of 41 CFR 60-1.8, 
promulgated by the Department of Labor under E.O. 112146. The 
Prohibition of Segregated Facilities clause must be included in 
contracts whenever the Equal Opportunity clause (FAR 52.222-26) is 
included.
    Upon review of the requirements for inclusion of the Equal 
Opportunity clause, the Councils moved the Equal Opportunity clause 
from the list at paragraph (b), to the list at paragraph (a), because 
the clause must be included in almost all contracts, even those under 
$10,000, in accordance with the requirements at FAR 22.802(a)(1) and 
22.807(b). Even though included, the clause is inapplicable unless the 
aggregate value of contracts and subcontracts awarded to the contractor 
exceeds $10,000 in a year.
    The Councils have made other revisions to paragraphs (b)(1)(i), 
(b)(1)(iv), and (b)(1)(vi) of the clause at FAR 52.213-4, and paragraph 
(a) of the clause at FAR 52.222-26, relating to geographic 
applicability of labor clauses, to comply with the current regulations 
at FAR 22.603, 22.807(b)(2), 22.1001, 22.1003-2, and 22.1408(a)(1).
    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

    The Councils do not expect this proposed rule 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 this rule only clarifies the existing requirements. An Initial 
Regulatory Flexibility Analysis has, therefore, not been performed. We 
invite comments from small businesses and other interested parties. The 
Councils will consider comments from small entities concerning the 
affected FAR Part in accordance with 5 U.S.C. 610. Interested parties 
must submit such comments separately and should cite 5 U.S.C. 601, et 
seq. (FAR case 1999-612), in correspondence.

C. Paperwork Reduction Act

    The Paperwork Reduction Act does not apply because the proposed 
changes to the FAR 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 in 48 CFR Part 52

    Government procurement.

    Dated: October 20, 2000.
Al Matera,
Acting Director, Federal Acquisition Policy Division.
    Therefore, DoD, GSA, and NASA propose that 48 CFR part 52 be 
amended as set forth below:

PART 52--SOLICITATION PROVISIONS AND CONTRACT CLAUSES

    1. The authority citation for 48 CFR part 52 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).

    2. Amend section 52.213-4 by--
    a. Revising the date of the clause;
    b. Redesignating paragraphs (a)(1)(ii) and (a)(1)(iii) as 
(a)(1)(iv) and (a)(1)(v), respectively;
    c. Adding new paragraphs (a)(1)(ii) and (a)(1)(iii); and
    d. Revising paragraphs (b)(1)(i), (b)(1)(iv), and (b)(1)(vi) and 
removing and reserving paragraph (b)(1)(ii) 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) (Date)

    (a) * * *
    (1) * * *
    (ii) 52.222-21, Prohibition of Segregated Facilities (FEB 1999) 
(E.O. 11246).
    (iii) 52.222-26, Equal Opportunity (DATE) (E.O. 11246).
* * * * *
    (b) * * *
    (1) * * *
    (i) 52.222-20, Walsh-Healey Public Contracts Act (DEC 1996) (41 
U.S.C. 35-45) (Applies to supply contracts over $10,000 in the 
United States, Puerto Rico, or the U.S. Virgin Islands).
    (ii) [Reserved]
* * * * *
    (iv) 52.222-36, Affirmative Action for Workers with Disabilities 
(JUN 1998) (29 U.S.C. 793) (Applies to contracts over $10,000, 
unless the work is to be performed outside the United States by 
employees recruited outside the United States (for purposes of this 
clause, ``United States'' includes the 50 States, the District of 
Columbia, Puerto Rico, the Northern Mariana Islands, American Samoa, 
Guam, the U.S. Virgin Islands, and Wake Island).
* * * * *
    (vi) 52.222-41, Service Contract Act of 1965, As Amended (May 
1989) (41 U.S.C. 351, et seq.) (Applies to service contracts over 
$2,500 that are subject to the Service Contract Act and will be 
performed in the United States, District of Columbia, Puerto Rico, 
the Northern Mariana Islands,

[[Page 64299]]

American Samoa, Guam, the U.S. Virgin Islands, Johnston Island, Wake 
Island, or the outer continental shelf lands).
* * * * *
    3. Amend section 52.222-26 by--
    a. Revising the date of the clause;
    b. Removing the paragraph designation and the introductory text of 
paragraph (b);
    c. Redesignating paragraph (a) as paragraph (b) and revising the 
introductory text; and
    d. Adding a new paragraph (a) to read as follows:


52.222-26  Equal Opportunity.

* * * * *

Equal Opportunity (Date)

    (a) Definition. United States, as used in this clause, means the 
50 States, the District of Columbia, Puerto Rico, the Northern 
Mariana Islands, American Samoa, Guam, the U.S. Virgin Islands, and 
Wake Island.
    (b) If, during any 12-month period (including the 12 months 
preceding the award of this contract), the Contractor has been or is 
awarded nonexempt Federal contracts and/or subcontracts that have an 
aggregate value in excess of $10,000, the Contractor shall comply 
with paragraphs (b)(1) through (11) of this clause, except for work 
performed outside the United States by employees who were not 
recruited within the United States. Upon request, the Contractor 
shall provide information necessary to determine the applicability 
of this clause.
* * * * *

[FR Doc. 00-27500 Filed 10-25-00; 8:45 am]
BILLING CODE 6820-EP-P`