25382 Federal Register / Vol. 63, No. 88 /Thursday, May 7, 1998 / Proposed Rules

DEPARTMENT OF DEFENSE

GENERAL SERVICES

ADMINISTRATION

NATIONAL AERONAUTICS AND

SPACE ADMINISTRATION

48 CFR Parts 1, 4, 12, 14, 19, 26, 27,

32, 41, and 52

[FAR Case 96–013]

RIN 9000–AH97

Federal Acquisition Regulation;

Review of FAR Representations

AGENCY: Department of Defense (DOD),

General Services Administration (GSA),

and National Aeronautics and Space

Administration (NASA).

ACTION: Proposed rule.

SUMMARY: The Civilian Agency

Acquisition Council and the Defense

Acquisition Regulations Council are

proposing to amend the Federal

Acquisition Regulation (FAR) to remove

or reduce certain requirements for

representations and other statements

from offerors and contractors. This

regulatory action was not subject to

Office of Management and Budget

review under Executive Order 12866,

dated September 30, 1993. This is not a

major rule under 5 U.S.C. 804.

DATES: Comments should be submitted

on or before July 6, 1998, to be

considered in the formulation of a final

rule.

ADDRESSES: Interested parties should

submit written comments to: General

Services Administration, FAR

Secretariat (MVRS), 1800 F Street, NW,

Room 4035, Washington, DC 20405.

E-mail comments submitted over

Internet should be addressed to:

farcase.96–013@gsa.gov.

Please cite FAR case 96–013 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 Mr. Paul

Linfield, Procurement Analyst, at (202)

501–1757. Please cite FAR case 96–013.

SUPPLEMENTARY INFORMATION:

A. Background

This case was initiated in response to

requests from industry to eliminate

representations required by the FAR

that place an unnecessary burden on

offerors or contractors. This case

proposes to—

1. Delete the clause at 52.214–17,

Affiliated bidders.

2. Reduce the information collection

requirements associated with the

clauses at 52.204–5, Women-Owned

Business; 52.212–3, Offeror

Representations and Certifications—

Commercial Items; 52.214–21,

Descriptive Literature; and 52.241–1,

Electric Service Territory Compliance

Representation; and

3. Reduce the level of affirmation or

substitute a contract requirement in the

clauses at 52.216–2, Economic Price

Adjustment—Standard Supplies;

52.216–3, Economic Price Adjustment—

Semistandard Supplies; 52.222–43, Fair

Labor Standards Act and Service

Contracts Act—Price Adjustment

(Multiple Year and Option Contracts);

52.222–44, Fair Labor Standards Act

and Service Contract Act—Price

Adjustment; 52.225–10, Duty-Free

Entry; 52.226–1, Utilization of Indian

Organizations and Indian-Owned

Economic Enterprises; 52.227–15,

Representation of Limited Rights Data

and Restricted Computer Software;

52.228–8, Liability and Insurance—

Leased Motor Vehicles; 52.228–9, Cargo

Insurance; 52.229–3, Federal, State and

Local Taxes; and 52.232–12, Advance

Payments.

B. Regulatory Flexibility Act

This proposed 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.

While it is expected to reduce the

administrative burden associated with

representation requirements, it does not

significantly alter the type of

information to be provided to the

Government under the amended

provisions and clauses. An Initial

Regulatory Flexibility Analysis has,

therefore, not been performed.

Comments from small entities

concerning the affected FAR subpart

will be considered in accordance with 5

U.S.C. 610 of the Act. Such comments

must be submitted separately and

should cite 5 U.S.C. 601, et seq. (FAR

case 96–013), in correspondence.

C. Paperwork Reduction Act

The Paperwork Reduction Act (44

U.S.C. 3501, et seq.) is deemed to apply

because this proposed rule contains

information collection requirements that

will result in the reduction of

approximately 119,150 hours as stated

and approved under the following

Office of Management and Budget

(OMB) Control Numbers:

9000–0018, Certification of

Independent Price Determination and

Parent Company and Identifying Data

(Deletion of 52.214–17, Affiliated

Bidders.) Public reporting burden for

this collection of information is

estimated to average 0.1 hours per

response, including the time for

reviewing instruction, searching

existing data sources, gathering and

maintaining the data needed, and

completing and reviewing the collection

of information.

The annual reporting burden is

estimated as follows:

Respondents Responses per respondent Total annual responses Preparation hours per responses

Total response burden

hours

64,250 20 1,285,000 .01 12,850

9000–0039, Descriptive Literature (Revision of 52.214–21, Descriptive Literature). Public reporting burden for this

collection of information is estimated to average .157 hours per response, including the time for reviewing instruction,

searching existing data sources, gathering and maintaining the data needed, and completing and reviewing the collection

of information.

The annual reporting burden is estimated as follows:

Respondents Responses per respondent Total annual responses Preparation hours per responses

Total response burden

hours

3 2663 7989 .157 1.254

(c) 9000–0136, Solicitation/Contract/Order for Commercial Items (Revision of 52.212–3, Offeror Representations and

Certifications—Commercial Items). Public reporting burden for this collection of information is estimated to average
Federal Register / Vol. 63, No. 88 /Thursday, May 7, 1998 / Proposed Rules 25383

.74 hr. per response, including the time for reviewing instruction, searching existing data sources, gathering and maintaining the data needed, and completing and reviewing the collection of information.

The annual reporting burden is estimated as follows:

Respondents Responses per respondent Total annual responses Preparation hours per responses

Total response burden

hours

500,000 20 10,000,000 .74 7,394,050

(d) 9000–0126, Electric Service

Territory Compliance Representation

(Revision of 52.241–1, Electric Service

Territory Representations. Reduction

from 500 hours to approximately 230

hours. A notice for public comment was

published in the Federal Register at 63

FR 2218, January 14, 1998.

(e) Although OMB Clearance Number

9000–0145, use of Data Universal

Numbering System (DUNS) as Primary

Contractor Identification (FAR Case 95–

307), ostensibly covers FAR clause

52.204–5, Women-Owned Business, the

estimated burdens for that clearance

appear to be based on the information

collection requirements associated with

use of the DUNS number. Therefore,

although revisions to 52.204–5 will

significantly reduce the number of

responses required, we do not estimate

any impact on the hours approved

under 9000–0145.

Accordingly, a request for review of a

revised information collection

requirement concerning the OMB

clearance numbers noted above were

submitted to the Office of Management

and Budget under 44 U.S.C. 3501, et

seq.

D. Request for Comments Regarding

Paperwork Burden

Members of the public are invited to

comment on the recordkeeping and

information collection requirements and

estimates set forth above. Please send

comments to: Office of Information and

Regulatory Affairs, Office of

Management and Budget, Attention: Mr.

Peter N. Weiss, FAR Desk Officer, New

Executive Office Building, Room 10102,

725 17th Street, NW. Washington, DC

20503.

Also send a copy of any comments to

the FAR Secretariat at the address

shown under ADDRESSES. Please cite the

corresponding OMB Clearance Number

in all correspondence related to the

estimate.

List of Subjects in 48 CFR Parts 1, 4, 12,

14, 19, 26, 27, 32, 41, and 52

Government procurement.

Dated: May 1, 1998.

Edward C. Loeb,

Director, Federal Acquisition Policy Division.

Therefore, it is proposed that 48 CFR

Parts 1, 4, 12, 14, 19, 26, 27, 32, 41, and

52 be amended as set forth below:

1. The authority citation for 48 CFR

Parts 1, 4, 12, 14, 19, 26, 27, 32, 41, and

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).

PART 1—FEDERAL ACQUISITION

REGULATIONS SYSTEM

2. Section 1.106 is amended in the

table following the introductory

paragraph by removing the FAR

segment ‘‘52.214–17’’ and its

corresponding OMB Control Number

‘‘9000–0018’’; and by adding, in

numerical order, the following entries:

1.106 OMB Approval under the Paperwork

Reduction Act.

FAR segment OMB control No.

52.212–3 ................................... 9000–0136

* * * * *

52.241–1 ................................... 9000–0126

* * * * *

PART 4—ADMINISTRATIVE MATTERS

3. Section 4.603 is amended by

revising paragraph (b) to read as follows:

4.603 Solicitation provisions.

* * * * *

(b) The contracting officer shall insert

the provision at 52.204–5, WomenOwned Business (Other Than Small

Business), in all solicitations that are

not set aside for small business concerns

and that exceed the simplified

acquisition threshold, when the contract

is to be performed inside the United

States, its territories or possessions,

Puerto Rico, the Trust Territory of the

Pacific Islands, or the District of

Columbia.

* * * * *

PART 12—ACQUISITION OF

COMMERCIAL ITEMS

4. Section 12.503 is amended by

revising paragraph (b)(5) to read as

follows:

12.503 Applicability of certain laws to

Executive agency contracts for the

acquisition of commercial items.

* * * * *

(b) * * *

(5) 49 U.S.C. 40118, Requirement for

a clause under the Fly American

provisions (see 47.405).

* * * * *

PART 14—SEALED BIDDING

14.201–6 [Amended]

5. Section 14.201–6 is amended by

removing and reserving paragraph (k).

14.405 [Amended]

6. Section 14.405 is amended in

paragraph (d)(2) by inserting the word

‘‘and’’ at the end; by removing

paragraph (e) and redesignating

paragraph (f) as (e).

PART 19—SMALL BUSINESS

PROGRAMS

7. Section 19.703 is amended by

revising the last sentence of paragraph

(b) to read as follows:

19.703 Eligibility requirements for

participating in the program.

* * * * *

(b) * * * Protests challenging a

subcontractor’s representation of its

status as a women-owned small

business concern shall be filed in

accordance with Small Business

Administration procedures.

* * * * *

PART 26—OTHER SOCIOECONOMIC

PROGRAMS

26.103 [Amended]

8. Section 26.103 is amended in

paragraphs (a), (b), and (e) by removing

‘‘self-certification’’ and inserting

‘‘representation’’.

PART 27—PATENTS, DATA, AND

COPYRIGHTS

9. Section 27.404 is amended by

revising the first and second sentences
25384 Federal Register / Vol. 63, No. 88 /Thursday, May 7, 1998 / Proposed Rules

of paragraphs (d)(2) and of (e)(3) to read

as follows:

27.404 Basic rights in data clause.

(d) * * *

(2) As an aid in determining whether

the clause at 52.227–14 should be used

with its Alternate II, the provision at

52.227–15, Statement of Limited Rights

Data and Restricted Computer Software,

may be included in any solicitation

containing the clause at 52.227–14,

Rights in Data—General. This provision

requests that an offeror state in response

to a solicitation, to the extent feasible,

whether limited rights data are likely to

be used in meeting the data delivery

requirements set forth in the

solicitation. * * *

* * * * *

(e) * * *

(3) As an aid in determining whether

the clause should be used with its

Alternate III, the provision at 52.227–15,

Statement of Limited Rights Data and

Restricted Computer Software, may be

included in any solicitation containing

the clause at 52.227–14, Rights in

Data—General. This provision requests

that an offeror state, in response to a

solicitation, to the extent feasible,

whether restricted computer software is

likely to be sued in meeting the data

delivery requirements set forth in the

solicitation. * * *

* * * * *

10. Section 27.409 is amended by

revising the first sentence of paragraph

(g) to read as follows:

27.409 Solicitation provisions and

contract clauses.

* * * * *

(g) In accordance with 27.404(d)(2), if

the contracting officer desires to have an

offeror state in response to a solicitation,

to the extent feasible, whether limited

rights data or restricted computer

software are likely to be sued in meeting

the data delivery requirements set forth

in the solicitation, the contracting

officer shall insert the provision at

52.227–15, Statement of Limited Rights

Data and Restricted Computer Software,

in any solicitation containing the clause

at 52.227–14, Rights in Data—General.

* * *

* * * * *

PART 32—CONTRACT FINANCING

11. Section 32.805 is amended by

revising the introductory text of

paragraph (a)(1), and paragraphs (a)(2)

and (a)(3) to read as follows:

32.805 Procedure.

(a) Assigments. (1) Assignments by

corporations shall be—

* * * * *

(2) Assignments by a partnership may

be signed by one partner, if the

assignment is accompanied by adequate

evidence that the signer is a general

partner of the partnership and is

authorized to execute assignments on

behalf on the partnership.

(3) Assignments by an individual

must be signed by that individual and

the signature acknowledged before a

notary public or other person authorized

to administer oaths.

* * * * *

PART 41—ACQUISITION OF UTILITY

SERVICES

12. Section 41.201 is amended by

revising the last two sentences of

paragraph (e) to read as follows:

41.201 Policy.

* * * * *

(e) * * * Proposals from alternative

electric suppliers must provide a

representation that service can be

provided in a manner consistent with

section 8093 of Public Law 100–202 (see

41.201(d)).

PART 52—SOLICITATION PROVISIONS

AND CONTRACT CLAUSES

13. Section 52.204–5 is revised to read

as follows:

52.204–5 Women-Owned Business (Other

Than Small Business).

As prescribed in 4.603(b), insert the

following provision:

Women-Owned Business (Other Than Small

Business) (Date)

(a) Definition. women-owned business

concern, as used in this provision, means a

concern which is at least 51 percent owned

by one or more women; or in the case of any

publicly owned business, at least 51 percent

of the stock of which is owned by one or

more women; and whose management and

daily business operations are controlled by

one or more women.

(b) Representation. [Complete only if the

offeror is a women-owned business concern

and has not represented itself as a small

business concern in paragraph (b)(1) of FAR

52.219–1, Small Business Program

Representations, of this solicitation.] The

offeror represents that it is a women-owned

business concern.

(End of provision)

14. Section 52.212–3 is amended by

revising the date of the provision, and

paragraphs (c)(2), (c)(3), and (c)(4) to

read as follows:

52.212–3 Offeror Representations and

Certifications—Commercial Items.

* * * * *

Offeror Representations and Certifications—

Commercial Items (Date)

* * * * *

(c) * * *

(2) Small disadvantaged business concern.

[Complete only if the offeror represented

itself as a small business concern in

paragraph (c)(1) of this provision.] The

offeror represents that it is, is not a small

disadvantaged business concern.

(3) Women-owned small business concern.

[Complete only if the offeror represented

itself as a small business concern in

paragraph (c)(1) of this provision.] The

offeror represents that it is, is not a womenowned small business concern.

* * * * *

(4) Women-owned business concern (other

than small business concern). [Complete only

if the offeror is a women-owned business

concern and did not represent itself as a

small business concern in paragraph (c)(1) of

this provision.] The offeror represents that it

is a women-owned business concern.

* * * * *

52.214–17 [Reserved]

15. Section 52.214–17 is removed and

reserved.

16. Section 52.214–21 is amended by

revising the introductory text of the

provision; and by revising the date,

introductory text, and paragraph (d) of

Alternate I to read as follows:

52.214–21 Descriptive Literature.

As prescribed in 14.201–6(p)(1), insert the

following provision:

* * * * *

Alternate I (DATE). As prescribed in

14.201–6(p)(2), add the following paragraphs

(d) and (e) to the basic provision.

(d) The Contracting Officer may waive the

requirement for furnishing descriptive

literature if the bidder has supplied a product

the same as that required by this solicitation

under a prior contract. A bidder that requests

a waiver of this requirement shall provide the

following information.

Prior contract number

Date of prior contract llllllllll

Contract line item number of product

supplied llll

Name and address of Government activity to

which delivery was made

lllllllllllllllllllll

Date of final delivery of product supplied

lllllllllllllllllllll

* * * * *

17. Section 52.216–2 is amended by

revising the clause date and the first

sentence of paragraph (a) to read as

follows:

52.216–2 Economic Price Adjustment—

Standard Supplies.

* * * * *

Economic Price Adjustment—Standard

Supplies (Date)

(a) The Contractor states that the unit price

in the Schedule for llll [offeror insert
Federal Register / Vol. 63, No. 88 /Thursday, May 7, 1998 / Proposed Rules 25385

Schedule line item number] is not in excess

of the Contractor’s applicable established

price in effect on the contract date for like

quantities of the same item. * * *

* * * * *

18. Section 52.216–3 is amended by

revising the clause date and paragraph

(a) to read as follows:

52.216–3 Economic Price Adjustment—

Semistandard Supplies.

* * * * *

Economic Price Adjustment—Semistandard

Supplies (Date)

(a) The contractor states that the supplies

identified as line items llll [offeror

insert Schedule line item number] in the

Schedule are, except for modifications

required by the contract specifications,

supplies for which it has an established

price. The term ‘‘established price’’ means a

price that (1) is an established catalog or

market price for a commercial item sold in

substantial quantities to the general public,

and (2) is the net price after applying any

standard trade discounts offered by the

Contractor. The Contractor further states that,

as of the date of this contract, any difference

between the unit prices in the contract for

these line items and the Contractor’s

established prices for like quantities of the

nearest commercial equivalents are due to

compliance with contract specifications and

with any contract requirements for

preservation, packaging, and packing beyond

standard commercial practice.

* * * * *

19. Section 52.219–1 is amended by

revising the provision date, and the

introductory text of paragraph (d)(2) to

read as follows:

52.219–1 Small Business Program

Representations.

* * * * *

Small Business Program Representations

(Date)

* * * * *

(d) * * *

(2) Under 15 U.S.C. 645(d), any person

who misrepresents a firm’s status as a small,

small disadvantaged, or women-owned small

business concern in order to obtain a contract

to be awarded under the preference programs

established pursuant to section 8(a), 8(d), 9,

or 15 of the Small Business Act or any other

provision of Federal law that specifically

references section 8(d) for a definition of

program eligibility, shall—

* * * * *

52.219–21 [Amended]

20. Section 52.219–21 is amended by

revising the provision date to read

‘‘(Date)’’; and by removing the statement

‘‘Offeror represents as follows:’’, which

follows the first parenthetical.

52.222–43 [Amended]

21. Section 52.222–43 is amended by

revising the date of the clause to ‘‘read

‘‘(Date)’’; and in paragraph (b) by

removing ‘‘warrants’’ and inserting

‘‘states’’.

52.222–44 [Amended]

22. Section 52.222–44 is amended by

revising the date of the clause to read

‘‘(Date)’’; and in paragraph (b) by

removing ‘‘warrants’’ and inserting

‘‘states’’.

23. Section 52.225–10 is amended by

revising the introductory paragraph, the

date of the clause, and paragraph (d); in

paragraphs (g), (h), and (i), by removing

‘‘agrees to’’ and inserting ‘‘shall’’. The

revised text reads as follows:

52.225–10 Duty-Free Entry.

As prescribed in 25.605, insert the

following clause. When used in

contracts of $100,000 or less, paragraphs

(b)(1) and (i)(2) shall be modified to

reduce the dollar figure.

* * * * *

Duty-Free Entry (Date)

* * * * *

(d) The Contractor shall—

(1) Claim duty-free entry only for supplies

that are intended to be delivered to the

Government or incorporated into the end

items to be delivered under this contract; and

(2) Pay duty to the extent that these

supplies, or any portion of them, are diverted

to non-Governmental use, other than as scrap

or salvage or as a result of a competitive sale

authorized by the Contracting Officer.

* * * * *

24. Section 52.226–1 is amended by

revising the clause date and the first two

sentences of paragraph (c)(1) to read as

follows:

52.226–1 Utilization of Indian

Organizations and Indian-Owned Economic

Enterprises.

* * * * *

Utilization of Indian Organizations and

Indian-Owned Economic Enterprises (Date)

* * * * *

(c) * * *

(c) The Contracting Officer and the

Contractor, acting in good faith, may rely on

the representation of an Indian organization

or Indian-owned economic enterprise as to

its eligibility, unless an interested party

challenges its status or the Contracting

Officer has independent reason to question

that status. In the event of a challenge to the

representation of a subscontractor, the

Contracting Officer shall refer the matter to

the U.S. Department of the Interior, Bureau

of Indian Affairs (BIA), Attn: Chief, Division

of Contracting and Grants Administration,

1849 C Street, NW., MS–334A–SIB,

Washington, DC 20245. * * *

* * * * *

25. Section 52.227–15 is revised to

read as follows:

52.227–15 Statement of Limited Rights

Data and Restricted Computer Software.

As prescribed in 27.409(b), insert the

following provision:

Statement of Limited Rights Data and

Restricted Computer Software (Date)

(a) This solicitation sets forth the work to

be performed if a contract award results, and

the Government’s known delivery

requirements for data (as defined in FAR

27.401). Any resulting contract may also

provide the Government the option to order

additional data under the Additional data

Requirements clause at 52.227–16 of the

FAR, if included in the contract. Any data

delivered under the resulting contract will be

subject to the Rights in Data-General clause

at 52.227–14 that is to be included in this

contract. Under the latter clause, a contractor

may withhold from delivery data that qualify

as limited rights data or restricted computer

software, and deliver form, fit, and function

data in lieu thereof. The latter clause also

may be used with its alternates II and/or III

to obtain delivery of limited rights data or

restricted computer software, marked with

limited rights or restricted rights notices, as

appropriate. In addition, use of alternate V

with this latter clause provides the

Government the right to inspect such data at

the Contractor’s facility.

(b) As an aid in determining the

Governments’s need to include Alternate II or

Alternate III in the clause at 52.227–14,

Rights in Data—General, the offeror shall

complete paragraph (c) of this provision to

either state that none of the data qualify as

limited rights data or restricted computer

software, or identify, to the extent feasible,

which of the data qualifies as limited rights

data or restricted computer software. Any

identification of limited rights data or

restricted computer software in the offeror’s

response is not determinative of the status of

such data should a contract be awarded to

the offeror.

(c) The offeror has reviewed the

requirements for the delivery of data or

software and states [offeror check

appropriate block]—

None of the data proposed for fulfilling

such requirements qualifies as limited rights

data or restricted computer software.

Data proposed for fulfilling such

requirements qualify as limited rights data or

restricted computer software and are

identified as follows:

lllllllllllllllllllll

Note: ‘‘Limited rights data’’ and ‘‘Restricted

computer software’’ are defined in the

contract clauses entitled ‘‘Rights in DataGeneral’’.

26. Section 52.228–8 is amended by

revising the introductory paragraph, the

data and paragraph (e) of the clause to

read as follows:

52.228–8 Liability and Insurance—Leased

Motor Vehicles.

As prescribed in 28.312, insert the

following clause:

Liability and Insurance-Leased Motor

Vehicles (Date)

* * * * *
25386 Federal Register / Vol. 63, No. 88 /Thursday, May 7, 1998 / Proposed Rules

(e) The contract price shall not include any

cost for insurance or contingency to cover

losses, damage, injury, or death for which the

Government is responsible under paragraph

(a) of this clause.

(End of clause)

27. Section 52.228–9 is revised to read

as follows:

52.227–9 Cargo Insurance

As prescribed in 28.313(a), insert the

following clause:

Cargo Insurance (Date)

(a) The Contractor, at the Contractor’s

expense, shall provide and maintain, during

the continuance of this contract, cargo

insurance of $llll per vehicle to cover

the value of property on each vehicle and of

$llll to cover the total value of the

property in the shipment.

(b) All insurance shall be written on

companies acceptable to llll [insert

name of contracting agency], and policies

shall include such terms and conditions as

required by llll [insert name of

contracting agency] before commencing

operations under this contract.

(c) Each cargo insurance policy shall

include the following statement:

‘‘It is a condition of this policy that the

Company shall furnish—

(1) Written notice to llll [insert name

and address of contracting agency], 30 days

in advance of the effective date of any

reduction in, or cancellation of, this policy;

and

(2) Evidence of any renewal policy to the

address specified in paragraph (a) of this

statement, not less than 15 days prior to the

expiration of any current policy on file with

llll [insert name of contracting agency].

’’

(End of clause)

52.229–3 [Amended]

28. Section 52.229–3 is amended by

revising the date of the clause to read

‘‘(DATE)’’; and in paragraph (c) by

removing ‘‘warrants’’ and inserting

‘‘states’’

29. Section 52.232–12 is amended—

(a) By revising the introductory text,

the date, paragraph (j) and the

introductory text of paragraph (o) of the

clause;

(b) In paragraph (o)(8) by removing

‘‘representations and’’;

(c) By revising the date of Alternate V;

and

(d) The date, paragraph (g), the

introductory text of paragraph (l), and

paragraph (l)(8) of the clause following

Alternate V.

The revised text reads as follows:

52.232–12 Advance Payments.

As prescribed in 32.412(a), insert the

following clause:

Advance Payments (Date)

* * * * *

(j) Insurance. The Contractor shall

maintain with responsible insurance carriers

(1) insurance on plant and equipment against

fire and other hazards, to the extent that

similar properties are usually insured by

others operating plants and properties of

similar character in the same general locality;

(2) adequate insurance against liability on

account of damage to persons or property;

and (3) adequate insurance under all

applicable workers’ compensation laws.

Until work under this contract has been

completed and all advance payment made

under the contract have been liquidated, the

Contractor shall maintain this insurance;

maintain adequate insurance on any

materials, parts, assemblies, subassemblies,

supplies, equipment, and other property

acquired for or allocable to this contract and

subject to the Government lien under

paragraph (i) of this clause; and furnish any

evidence with respect to its insurance that

the administering office may require.

* * * * *

(o) Warranties. The Contractor warrants the

following:

* * * * *

Alternate V (Date). * * *

* * * * *

Advance Payment Without Special Bank

Account (Date)

* * * * *

(g) Insurance. The Contractor shall

maintain with responsible insurance carriers

(1) insurance on plant and equipment against

fire and other hazards, to the extent that

similar properties are usually insured by

others operating plants and properties of

similar character in the same general locality;

(2) adequate insurance against liability on

account of damage to persons or property;

and (3) adequate insurance under all

applicable workers’ compensation laws.

Until work under this contract has been

completed and all advance payments made

under the contract have been liquidated, the

Contractor shall maintain this insurance;

maintain adequate insurance on any

materials, parts, assemblies, subassemblies,

supplies, equipment, and other property

acquired for or allocable to this contract and

subject to the Government lien under

paragraph (f) of this clause; and furnish any

evidence with respect to its insurance that

the administering office may require.

* * * * *

(1) Warranties. The Contractor warrants the

following:

* * * * *

(8) These warranties shall be continuing

and shall be considered to have been

repeated by the submission of each invoice

for advance payments.

* * * * *

30. Section 52.241–1 is revised to read

as follows:

52.241–1 Electric Service Territory

Compliance Representation.

As prescribed in 41.501(b), insert a

provision substantially the same as the

following:

Electric Service Territory Compliance

Representation (Date)

(a) Section 8093 of Public Law 100–200

generally requires purchases of electricity by

any department, agency, or instrumentality of

the United States to be consistent with State

law governing the provision of electric utility

service, including State utility commission

rulings and electric utility franchises or

service territories established pursuant to

State statute, State regulation, or Stateapproved territorial agreements.

(b) By signing this offer, the offeror

represents that this offer to sell electricity is

consistent with Section 8093 of Public Law

100–202.

(c) Upon request of the Contracting Officer,

the offeror shall submit support legal and

factual rationale for this representation.

(End of provision)

31. Section 52.247–63 is amended by

revising the date and paragraph (c) of

the clause to read as follows:

52.247–63 Preference for U.S.-Flag Air

Carriers.

* * * * *

Preference for U.S.-Flag Air Carriers (Date)

* * * * *

(c) In performing work under this contract,

the Contractor shall use U.S.-flag air carriers

for international air transportation of

personnel (and their personal effects) or

property to the extent that service by those

carriers is available.

* * * * *

[FR Doc. 98–2096 Filed 5–6–98; 8:45 am]

BILLING CODE 6820–EP–M