Federal Register / Vol. 73, No. 151 / Tuesday, August 5, 2008 / Proposed Rules 45379 

contractual effect. GSAR 528.310(b) is 

being deleted because it relates to 

proposed deletion of 552.228–70 where 

it states ‘‘in the case of an ownercontrolled insurance program, or wrapup insurance, the clause will be a part 

of the policy holder’s requirements’’ the 

phrase ‘‘the clause’’ refers to 552.528–

70. 

• GSA is proposing to add 528.311, 

Solicitation provision and contract 

clause on liability insurance under costreimbursement contracts. The new 

language at 528.311–1 clarifies the usage 

for the FAR clause 52.228–7, 

Insurance—Liability to Third Persons, 

in solicitations and contracts. The 

language states that other than contracts 

and solicitations for construction and 

architect-engineer services, when a costreimbursement contract is 

contemplated, unless the head of the 

contracting activity waives the 

requirement for use of the clause, FAR 

clause 52.228–7 is required. 

• GSA is proposing to add clause 

552.228–5 to the GSAR. The language in 

this clause was previously in the GSAR 

and based upon GSA’s experience with 

contracts that do not have such a clause, 

it is being reinstated to protect the 

Federal Government’s interest. In 

essence, the new 552.228–5 replaced the 

newly deleted 552.228–70. GSAR 

552.228–70 (formerly GSAR 552.228–

75) did not serve any purpose other than 

to recite the fact that 40 U.S.C. 3172 

(formerly 40 U.S.C. 290) effects a 

limited cession of jurisdiction to states 

with respect to enforcement of worker’s 

compensation laws. 552.228–70 had no 

contractual effect and was superfluous. 

Discussion of Comments 

There were no public comments 

received in response to the Advanced 

Notice of Proposed Rulemaking. 

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 General Services Administration 

does 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 the revisions are not considered 

substantive. The revisions only update 

and reorganize existing coverage. An 

Initial Regulatory Flexibility Analysis 

has, therefore, not been performed. We 

invite comments from small businesses 

and other interested parties. GSA will 

consider comments from small entities 

concerning the affected GSAR Parts 528 

and 552 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. (GSAR Case 2006–

G517), in correspondence. 

C. Paperwork Reduction Act 

The Paperwork Reduction Act 

applies; however, these changes to the 

GSAR do not impose additional 

information collection requirements to 

the paperwork burden previously 

approved under OMB Control Number 

3090–0027. 

List of Subjects in 48 CFR Parts 528 and 

552 

Government procurement. 

Dated: July 28, 2008. 

Al Matera, 

Director, Office of Acquisition Policy, U.S. 

General Services Administration. 

Therefore, GSA proposes to amend 48 

CFR parts 528 and 552 as set forth 

below: 

PART 528—BONDS AND INSURANCE 

1. The authority citation for 48 CFR 

part 528 is revised to read as follows: 

Authority: 40 U.S.C. 121(c). 

528.202 [Amended] 

2. Amend section 528.202 by 

removing the word ‘‘You’’ and adding 

the words ‘‘The contracting officer’’ in 

its place. 

3. Revise section 528.310 to read as 

follows: 

528.310 Contract clause for work on a 

Government installation. 

Insert the clause at 552.228–5, 

Government as Additional Insured, in 

each solicitation and contract that meets 

all the following conditions: 

(a) The contract amount is expected to 

exceed the simplified acquisition 

threshold. 

(b) The contract will require work to 

be performed on Government property. 

4. Add section 528.311 to read as 

follows: 

528.311 Solicitation provision and 

contract clause on liability insurance under 

cost-reimbursement contracts. 

528.311–1 Contract clause. 

Use the clause at FAR 52.228–7, 

Insurance—Liability to Third Persons, 

in solicitations and contracts, other than 

those for construction and those for 

architect-engineer services, when a costreimbursement contract is 

contemplated, unless the head of the 

contracting activity waives the 

requirement for use of the clause. 

PART 552—SOLICITATION 

PROVISIONS AND CONTRACT 

CLAUSES 

5. The authority citation for 48 CFR 

part 552 continues to read as follows: 

Authority: 40 U.S.C. 121(c). 

6. Add section 552.228–5 to read as 

follows: 

552.228–5 Government as Additional 

Insured. 

As prescribed in 528.310, insert the 

following clause: 

GOVERNMENT AS ADDITIONAL 

INSURED (DATE) 

(a) This clause supplements the 

requirements set forth in FAR clause 52.528–

5, Insurance—Work on a Government 

Installation. 

(b) Each insurance policy required under 

this contract, other than workers’

compensation insurance, shall contain an 

endorsement naming the United States as an 

additional insured with respect to operations 

performed under this contract. The insurance 

carrier is required to waive all subrogation 

rights against any of the named insured. 

(End of clause) 

552.228–70 [Removed] 

7. Section 552.228–70 is removed. 

[FR Doc. E8–17938 Filed 8–4–08; 8:45 am] 

BILLING CODE 6820–61–S 

GENERAL SERVICES 

ADMINISTRATION 

48 CFR Parts 546 and 552 

[GSAR Case 2008–G514; Docket 2008–0007; 

Sequence 14] 

RIN 3090–AI69 

General Services Acquisition 

Regulation; GSAR Case 2008–G514; 

Rewrite of GSAR Part 546, Quality 

Assurance 

AGENCY: Office of the Chief Acquisition 

Officer, General Services 

Administration (GSA). 

ACTION: Proposed rule. 

SUMMARY: The General Services 

Administration (GSA) is proposing to 

amend the General Services Acquisition 

Regulation (GSAR) to revise language 

that provides requirements for quality 

assurance. 

DATES: Interested parties should submit 

written comments to the Regulatory 

Secretariat on or before October 6, 2008 

to be considered in the formulation of 

a final rule. 

ADDRESSES: Submit comments 

identified by GSAR Case 2008–G514 by 

any of the following methods: 

• Regulations.gov: http:// 

www.regulations.gov. Submit comments 


dwashington3 on PRODPC61 with PROPOSALS
45380 Federal Register / Vol. 73, No. 151 / Tuesday, August 5, 2008 / Proposed Rules 

via the Federal eRulemaking portal by 

inputting ‘‘GSAR Case 2008–G514’’

under the heading ‘‘Comment or 

Submission’’. Select the link ‘‘Send a 

Comment or Submission’’ that 

corresponds with GSAR Case 2008–G51. 

Follow the instructions provided to 

complete the ‘‘Public Comment and 

Submission Form’’. Please include your 

name, company name (if any), and 

‘‘GSAR Case 2008–G514’’ on your 

attached document. 

• Fax: 202–501–4067. 

• Mail: General Services 

Administration, Regulatory Secretariat 

(VPR), 1800 F Street, NW, Room 4041, 

ATTN: Laurieann Duarte, Washington, 

DC 20405. 

Instructions: Please submit comments 

only and cite GSAR Case 2008–G514 in 

all correspondence related to this case. 

All comments received will be posted 

without change to http:// 

www.regulations.gov, including any 

personal and/or business confidential 

information provided. 

FOR FURTHER INFORMATION CONTACT For 

clarification of content, contact Ms. 

Jeritta Parnell at (202) 501–4082. For 

information pertaining to the status or 

publication schedules, contact the 

Regulatory Secretariat (VPR), Room 

4041, GS Building, Washington, DC 

20405, (202) 501–4755. Please cite 

GSAR Case 2008–G514. 

SUPPLEMENTARY INFORMATION: 

A. Background 

The General Services Administration 

(GSA) is amending the General Services 

Administration Acquisition Regulation 

(GSAR) to revise GSAR Part 546, 

Quality Assurance. This proposed rule 

is a result of the General Services 

Administration Acquisition Manual 

(GSAM) rewrite initiative. The initiative 

was undertaken by GSA to revise the 

GSAM so as to maintain consistency 

with the FAR and implement 

streamlined and innovative acquisition 

procedures that contractors, offerors, 

and GSA contracting personnel can use 

when entering into and administering 

contractual relationships. The GSAM 

incorporates the General Services 

Administration Acquisition Regulation 

(GSAR) as well as internal agency 

acquisition policy. 

GSA will rewrite each part of the 

GSAR and GSAM, and as each GSAR 

part is rewritten, GSA will publish it in 

the Federal Register. 

This proposed rule revises GSAR 546 

as follows: 

GSAR 546.302–70, Source inspection 

by Quality Approved Manufacturer for 

fixed-price supply contracts, is revised 

to include applicability to certain 

programs, i.e., stock, special order 

program, wildfire. The subsection is 

revised to include reference to FAR 

52.246–2, Inspection of Supplies—Fixed 

Price. 

GSAR 546.302–71, Source Inspection, 

is retained with no revisions. 

GSAR 546.302–72, Destination 

Inspection, is added to prescribe the 

clause at 552.246–78, Inspection at 

Destination. 

The language in 546.312, 

Construction contracts, that prescribes 

the clause at 552.246–72, Final 

Inspection and Tests, is deleted. 

The language in 546.708, Warranties 

of data, is revised to place emphasis on 

the role of the contracting officer. 

The language in 546.710, Contract 

clause, is revised to add the clause at 

552.246–77, Additional Contract 

Warranty Provisions for Supplies of a 

Noncomplex Nature. This clause is used 

when the FAR clause at 52.246–17, 

Warranty of Supplies of a Noncomplex 

Nature, is included in solicitations and 

contracts. The prescriptive language in 

paragraphs (b), (c), and (d) is deleted. 

The clauses prescribed in paragraphs 

(b), (c), and (d) are being deleted. 

The clause at 552.246–17, Warranty of 

Supplies of a Noncomplex Nature, is 

being deleted as it unnecessarily 

repeats, paraphrases, or otherwise 

restates material contained in the FAR. 

A new clause 552.246–77, Additional 

Contract Warranty Provisions for 

Supplies of a Noncomplex Nature, is 

added to provide for GSA unique rights 

and remedies. 

The clause at 552.246.70, Source 

Inspection by Quality Approved 

Manufacturer, is revised to edit and 

clarify existing clause language. 

The clause at 552.246–71, Source 

Inspection by Government, is retained. 

The clause at 552.246–72, Final 

Inspection and Tests, is being deleted. 

The FAR provides sufficient guidance. 

The clause at 552.246–73, Warranty 

Multiple Award Schedule, is being 

relocated to GSAR Part 538. 

The clause at 552.246–75, Guarantees, 

is being deleted. The FAR provides 

sufficient guidance. 

The clause at 552.246–76, Pesticides, 

is being deleted. This clause was 

determined to be unnecessary for 

inclusion in the GSAR. 

The clause at 552.246–78, Inspection 

at Destination, is being added to provide 

for inspection by Government personnel 

at destination. 

Discussion of Comments 

There were no comments received in 

response to the ‘‘Advanced Notice of 

Proposed Rulemaking’’ pertaining to 

this GSAR Part. 

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 General Services Administration 

does 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 the revisions are not considered 

substantive. The revisions delete 

obsolete coverage, clarify existing 

coverage, and edit current language. An 

Initial Regulatory Flexibility Analysis 

has, therefore, not been performed. We 

invite comments from small businesses 

and other interested parties. GSA will 

consider comments from small entities 

concerning the affected GSAR Parts 546 

and 552 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., (GSAR case 2008–

G514), in all correspondence. 

C. Paperwork Reduction Act 

The Paperwork Reduction Act does 

apply; however, these changes to the 

GSAR do not impose additional 

information collection requirements to 

the paperwork burden previously 

approved under OMB Control Number 

3090–0027. 

List of Subjects in 48 CFR Parts 546 and 

552 

Government procurement. 

Dated: July 29, 2008. 

Al Matera, 

Director, Office of Acquisition Policy. 

Therefore, GSA proposes to amend 48 

CFR parts 546 and 552 as set forth 

below: 

1. The authority citation for 48 CFR 

parts 546 and 552 continues to read as 

follows: 

Authority: 40 U.S.C. 121(c). 

PART 546—QUALITY ASSURANCE 

2. Revise section 546.302–70 to read 

as follows: 

546.302–70 Source inspection by Quality 

Approved Manufacturer for fixed-price 

supply contracts. 

(a) For solicitations issued and 

contracts awarded by FAS that will 

exceed the simplified acquisition 

threshold and include the clause at 

52.246–2, Inspection of Supplies—

Fixed-Price—


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Federal Register / Vol. 73, No. 151 / Tuesday, August 5, 2008 / Proposed Rules 45381 

(1) The contracting officer shall insert 

the clause at 552.246–70, Source 

Inspection by Quality Approved 

Manufacturer, in solicitations and 

contracts that provide for source 

inspection for the Stock and Special 

Order Programs; and 

(2) The contracting officer may 

authorize inspection and testing at 

manufacturing plants or other facilities 

located outside the United States, 

Puerto Rico, or the U.S. Virgin Islands, 

under paragraph (a)(1) of the clause at 

552.246–70 under any of the following 

circumstances after coordinating the 

authorization with QVOC and 

documenting the authorization in the 

file: 

(i) Inspection services are available 

from another Federal agency with 

primary inspection responsibility in the 

geographic area. 

(ii) An inspection interchange 

agreement exists with another agency 

for inspection at a contractor’s plant. 

(iii) Other considerations will ensure 

more economical and effective 

inspection consistent with the 

Government’s interest. 

(b) When the estimated value of the 

acquisition is below the simplified 

acquisition threshold and will include 

the clause at 52.246–2, Inspection of 

Supplies—Fixed-Price, insert the clause 

at 552.246–70, Source Inspection by 

Quality Approved Manufacturer, only—

(1) In solicitations and contracts that 

support the Wildfire program; and 

(2) In contracts when a pattern of 

acquisitions demonstrates an ongoing 

relationship with the contractor. 

546.302–71 [Amended] 

3. Amend section 546.302–71 by 

removing ‘‘FSS’’ and adding ‘‘FAS’’ in 

its place. 

4. Add section 546.302–72 to read as 

follows: 

546.302–72 Destination inspection. 

The contracting officer shall include 

the clause at 552.246–78, Inspection at 

Destination, in supply contracts that 

require inspection at destination. 

546.312 [Removed] 

5. Remove section 546.312. 

Subpart 546.4 [Removed] 

6. Remove Subpart 546.4. 

7. Revise section 546.708 to read as 

follows: 

546.708 Warranties of data. 

(a) The contracting officer shall use 

warranties of data only when both of the 

following conditions are applicable: 

(1) Use of a warranty is in the 

Government’s interest and is 

documented. 

(2) The contracting director concurs 

with the decision. 

(b) The contracting officer shall 

consult with the technical or 

specification manager responsible for 

developing any warranties of data. 

8. Revise section 546.710 to read as 

follows: 

546.710 Contract clause. 

The contracting office shall insert the 

clause at 552.246—77, Additional 

Contract Warranty Provisions for 

Supplies of a Noncomplex Nature, when 

using the clause at 52.246–17 in 

solicitations and contracts. 

PART 552—SOLICITATION 

PROVISIONS AND CONTRACT 

CLAUSES 

552.246–17 [Removed] 

9. Remove section 552.246–17. 

10. Revise section 552.246–70 to read 

as follows: 

552.246–70 Source Inspection by Quality 

Approved Manufacturer. 

As prescribed in 546.302—70, insert 

the following clause: 

Source Inspection By Quality Approved 

Manufacturer (Date) 

(a) Inspection system and inspection 

of facilities. (1) The inspection system 

maintained by the Contractor under the 

Inspection of Supplies—Fixed Price 

clause (FAR 52.246—2) of this contract 

shall be maintained throughout the 

contract period. Unless otherwise 

authorized in writing by the Contracting 

Officer, the Contractor shall comply 

with all requirements of editions in 

effect on the date of the solicitation of 

either Federal Standard 368 or the 

International Organization for 

Standardization (ISO) Standard 

9001:2000 (Quality Management 

Systems—Requirements). A 

documented description of the 

inspection system shall be made 

available to the Government before 

contract award. At the sole discretion of 

the Contracting Officer, he/she may 

authorize in writing exceptions to the 

quality assurance standards identified 

above. The Contractor shall immediately 

notify the Administrative Contracting 

Officer (ACO) of any changes made in 

the inspection system during the 

contract period. As used herein, the 

term ‘‘inspection system’’ means the 

Contractor’s own facility or any other 

facility acceptable to the Government 

that will be used to perform inspections 

or tests of materials and components 

before incorporation into end articles 

and for inspection of such end articles 

before shipment. When the 

manufacturing plant is located outside 

of the United States, the Contractor shall 

arrange delivery of the items from a 

plant or warehouse located in the 

United States (including Puerto Rico 

and the U.S. Virgin Islands) equipped to 

perform all inspections and tests 

required by the contract or 

specifications to evidence conformance 

therewith, or shall arrange with a testing 

laboratory or other facility in the United 

States, acceptable to the Government, to 

perform the required inspections and 

tests. 

(2) In addition to the requirements in 

Federal Standard 368, ISO 9001:2000 or 

as otherwise approved by the 

Government, records shall include the 

date inspection and testing were 

performed. These records shall be 

available for—

(i) 3 years after final payment; or 

(ii) 4 years from the end of the 

Contractor’s fiscal year in which the 

record was created, whichever period 

expires first. 

(3) Offerors are required to specify, in 

the space provided elsewhere in this 

solicitation, the name and address of 

each manufacturing plant or other 

facility where supplies will be available 

for inspection, indicating the item 

number(s) to which each applies. 

(4) The Contractor shall provide the 

Administrative Contracting Officer 

(ACO) with the name of the individual 

and an alternate responsible for the 

inspection system. In the event that the 

designated individual(s) becomes 

unavailable to oversee the inspection 

system, the Contractor, within 10 

calendar days of such event, shall 

provide the ACO with the names of the 

replacement individual(s). 

(b) Inspection by the Contractor. The 

Contractor is required to demonstrate 

that the supplies in the shipment have 

been subject to had have passed all 

inspections and tests required by the 

contract and meet the requirements of 

the contract. 

(c) Inspection by Government 

personnel. (1) Although the Government 

will normally rely upon the Contractor’s 

representation as to the quality of 

supplies shipped, it reserves the right 

under the Inspection of Supplies—Fixed 

Price clause to inspect and test all 

supplies called for by this contract, 

before acceptance, at all times and 

places, including the point of 

manufacture. When the Government 

notifies the Contractor of its intent to 

inspect supplies before shipment, the 

Contractor shall notify or arrange for 

subcontractors to notify the designated 

GSA quality assurance office 7 

workdays before the date when supplies 

will be ready for inspection. Shipment 

shall not be made until inspection by 


dwashington3 on PRODPC61 with PROPOSALS
45382 Federal Register / Vol. 73, No. 151 / Tuesday, August 5, 2008 / Proposed Rules 

the Government is completed and 

shipment is authorized by the 

Government. 

(2) The offeror shall indicate, in the 

spaces provided below the location(s) at 

which the supplies will be inspected or 

made available for inspection. 

INSPECTION POINTS

Item No(s). Name of Manufacturer Name, Address (Including County), and Telephone Number 

lllll llllllll lllllllllll llllll 

lllll llllllll lllllllllll llllll 

lllll llllllll lllllllllll llllll 

NOTE: If additional space is needed, 

the offeror may furnish the requested 

information by an attachment to the 

offer. 

(3) During the contract period, a 

Government representative may 

periodically select samples of supplies 

produced under this contract for 

Government verification, inspection, 

and testing. Samples selected for testing 

will be disposed of as follows: Samples 

from an accepted lot, not damaged in 

the testing process, will be returned 

promptly to the Contractor after 

completion of tests. Samples damaged 

in the testing process will be disposed 

of as requested by the Contractor. 

Samples from a rejected lot will be 

returned to the Contractor or disposed 

of in a time and manner agreeable to 

both the Contractor and the 

Government. 

(d) Quality deficiencies. (1) 

Notwithstanding any other clause of this 

contract concerning the conclusiveness 

of acceptance by the Government, any 

supplies or production lots shipped 

under this contract found to be defective 

in material or workmanship, or 

otherwise not in conformity with the 

requirements of this contract within a 

period of llll✳llll months 

after acceptance shall, at the 

Government’s option, be replaced, 

repaired, or otherwise corrected by the 

Contractor at no cost to the Government 

within 30 calendar days (or such longer 

period as the Contracting Officer may 

authorize in writing) after receipt of 

notice to replace or correct. The 

Contractor shall remove, at its own 

expense, supplies rejected or required to 

be replaced, repaired, or corrected. 

When the nature of the defect affects an 

entire batch or lot of supplies, and the 

Contracting Officer determines that 

correction can best be accomplished by 

retaining the nonconforming supplies, 

and reducing the contract price by an 

equitable amount under the 

circumstances, then the equitable price 

adjustment shall apply to the entire 

batch or lot of supplies from which the 

nonconforming item was taken. 

(2) The Contractor may be issued a 

Quality Deficiency Notice (QDN) if—

(i) Supplies in process, shipped, or 

awaiting shipment to fill Government 

orders are found not to comply with 

contract requirements; or 

(ii) Deficiencies in either plant quality 

or process controls are found. Upon 

receipt of a QDN, the Contractor shall 

take immediate corrective action and 

shall suspend shipment of the supplies 

covered by the QDN until such time as 

corrective action has been completed. 

The Contractor shall notify the 

Government representative, within 5 

workdays, of the action plan or the 

corrective action taken. The 

Government may elect to verify the 

corrective action at the Contractor 

location(s). Shipments of 

nonconforming supplies will be 

returned at the Contractor’s expense and 

may constitute cause for termination of 

the contract. Delays due to the 

insurance of a QDN do not constitute 

excusable delay under the default clause 

of this contract. Failure to complete 

corrective action in a timely manner 

may result in termination of the 

contract. 

(3) This contract may be terminated 

for default if subsequent Government 

inspection discloses that plant quality 

or process controls are not being 

maintained, supplies that do not meet 

the requirements of the contract are 

being shipped, or if the contractor fails 

to comply with any other requirement of 

this clause. 

(e) Additional cost for inspection and 

testing. The Contractor shall be charged 

for any additional cost of inspection/ 

testing or reinspecting/retesting 

supplies for the reasons stated in 

paragraph (e) of FAR 52.246—2, 

Inspection of Supplies—Fixed Price. 

When inspection or testing is performed 

by or under the direction of GSA, 

charges will be at the rate of 

$lll✳lll per man-hour or 

fraction thereof if the inspection is at a 

GSA distribution center; 

$lll✳lll per man-hour or 

fraction thereof, plus travel costs 

incurred, if the inspection is at any 

other location; and $lll✳lll per 

man-hour or fraction thereof for 

laboratory testing, except that when a 

testing facility other than a GSA 

laboratory performs all or part of the 

required tests, the Contractor shall be 

assessed the actual cost incurred by the 

Government as a result of testing at such 

facility. When inspection is performed 

by or under the direction of any agency 

other than GSA, the charges indicated 

above may be used, or the agency may 

assess the actual cost of performing the 

inspection and testing. 

(f) Responsibility for rejected supplies. 

When the Contractor fails to remove or 

provide instructions for the removal of 

rejected supplies under paragraph (d) of 

this clause, pursuant to the Contracting 

Officer’s instructions, the Contractor 

shall be liable for all costs incurred by 

the Government in taking such 

measures as are expedient to avoid 

unnecessary loss to the Contractor. In 

addition to the remedies provided in 

FAR 52.246—2, supplies may be—

(1) Stored and charged against the 

Contractor’s account; 

(2) Reshipped to the Contractor at its 

expense (any additional expense 

incurred by the Government or the 

freight carrier caused by the refusal of 

the Contractor to accept their return 

shall also be charged against the 

Contractor’s account); 

(3) Sold to the highest bidder on the 

open market and the proceeds applied 

against the accumulated storage and 

other costs, including the cost of the 

sale; or 

(4) Otherwise disposed of by the 

Government. 

(g) Subcontracting requirements. The 

Contractor shall insert in any 

subcontracts the inspection or testing 

provisions set forth in paragraphs (a) 

through (d) of this clause and the 

Inspection of Supplies—Fixed Price 

clause of this contract. The Contractor 

shall be responsible for compliance by 

any subcontractor with the provisions 

set forth in paragraphs (a) through (d) of 

this clause and the Inspection of 

Supplies—Fixed Price clause. 

(End of clause) 


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Federal Register / Vol. 73, No. 151 / Tuesday, August 5, 2008 / Proposed Rules 45383 

✳Normally insert 12 months as the 

period during which defective or 

otherwise nonconforming supplies must 

be replaced. However, when the 

supplies being bought have a shelf life 

of less than 1 year, you should use the 

shelf-life period, or in the instance 

where you reasonably expect a longer 

period to be available, you should use 

the longer period. 

✳✳The rates to be inserted are 

established by the Commissioner of the 

Federal Acquisition Service or a 

designee. 

552.246–71 [Amended] 

11. Amend section 552.246–71 by—

a. Revising the date of the clause to 

read ‘‘(Date)’’; 

b. Removing from paragraph (c)(3) 

‘‘Virgin Islands’’ and adding ‘‘U.S. 

Virgin Islands’’ in its place; and 

c. Removing from the end of the 

section, at the footnote, ‘‘Supply’’ and 

adding ‘‘Acquisition’’ in its place. 

552.246–72 through 552.246–76 

[Reserved] 

12. Remove and reserve sections 

552.246–72 through 552.246–76. 

13. Add sections 552.246–77 and 

552.246–78 to read as follows: 

552.246–77 Additional Contract Warranty 

Provisions for Supplies of a Noncomplex 

Nature. 

As prescribed in 546.710(a), insert the 

following clause in solicitations and 

contracts that include FAR 52.246–17, 

Warranty of Supplies of a Noncomplex 

Nature. 

Additional Contract Warranty Provisions 

For Supplies of a Noncomplex Nature (Date) 

(a) Definition. Correction, as used in 

this clause, means the elimination of a 

defect. 

(b) Contractor’s obligations. When 

return, correction, or replacement is 

required, the Contractor shall be 

responsible for all costs attendant to the 

return, correction, or replacement of the 

nonconforming supplies. Any removal 

in connection with the above shall be 

done by the Contractor at its expense. 

(c) Remedies available to the 

Government. When the nature of the 

defect in the nonconforming item is 

such that the defect affects an entire 

batch or lot of material, then the 

equitable price adjustment shall apply 

to the entire batch or lot of material 

from which the nonconforming item 

was taken. 

(End of clause) 

552.246–78 Inspection at Destination. 

As prescribed in 546.302–72 insert 

the following clause: 

INSPECTION AT DESTINATION (DATE) 

Inspection of all purchases under this 

contract will be made at destination by 

an authorized government 

representative. 

(End of clause) 

[FR Doc. E8–17902 Filed 8–4–08; 8:45 am] 

BILLING CODE 6820–61–S 

DEPARTMENT OF THE INTERIOR 

Fish and Wildlife Service 

50 CFR Part 17 

[FWS-R9-ES-2008-0063; 92300-1113-0000- 

9B] 

RIN 1018–AU62 

Endangered and Threatened Wildlife 

and Plants; Amending the Formats of 

the Lists of Endangered and 

Threatened Wildlife and Plants 

AGENCY: Fish and Wildlife Service, 

Interior. 

ACTION: Proposed rule. 

SUMMARY: We, the U.S. Fish and 

Wildlife Service (FWS), propose to 

amend the formats of the Lists of 

Endangered and Threatened Wildlife 

and Plants to include current practices 

and standards that will make the 

regulations and Lists easier for the 

public to understand. When we finalize 

this proposed rule, we will publish the 

Lists of Endangered and Threatened 

Wildlife and Plants in their entirety in 

the new formats. 

DATES: We must receive comments by 

September 4, 2008 in order to ensure 

their consideration in our final decision. 

ADDRESSES: You may submit comments 

by one of the following methods: 

• Federal eRulemaking Portal: http:// 

www.regulations.gov. Follow the 

instructions for submitting comments. 

• U.S. mail or hand-delivery: Public 

Comments Processing, Attn: FWS-R9- 

ES-2008-0063; Division of Policy and 

Directives Management; U.S. Fish and 

Wildlife Service; 4401 N. Fairfax Drive, 

Suite 222; Arlington, VA 22203. 

We will not accept e-mail or faxes. We 

will post all comments on http:// 

www.regulations.gov. This generally 

means that we will post any personal 

information you provide us (see the 

Public Comments section below for 

more information). 

FOR FURTHER INFORMATION CONTACT: 

Michael Franz, Office of Program 

Support, Endangered Species, U.S. Fish 

and Wildlife Service, 4401 N. Fairfax 

Drive, Arlington, VA, 22203; telephone 

703-358-2079. If you use a 

telecommunications device for the deaf 

(TDD), call the Federal Information 

Relay Service (FIRS) at 800-877-8339. 

SUPPLEMENTARY INFORMATION: 

Background 

The Lists of Endangered and 

Threatened Wildlife and Plants (Lists), 

found in the Code of Federal 

Regulations (CFR) at 50 CFR 17.11 for 

wildlife and 50 CFR 17.12 for plants, 

contain the names of species officially 

listed as endangered or threatened 

under the Endangered Species Act of 

1973, as amended 16 U.S.C. §§1531 et 

seq.(ESA). The most recent compilation 

of Lists appears in the 2007 edition of 

title 50 CFR, which was issued in early 

2008. That compilation included 

regulatory amendments effective as of 

October 1, 2007. 

The species were placed on the Lists 

by FWS, by the National Marine 

Fisheries Service (NMFS) of the 

Department of Commerce’s National 

Oceanic and Atmospheric 

Administration, or by both of these 

agencies in joint rulemaking actions. 

References to ‘‘Services’’ in the text of 

§17.11 and §17.12 refer to both of these 

agencies. 

The Lists represent the official 

Government record of which species are 

listed and where they are considered 

listed under the ESA. Over time, we 

have noted numerous anomalies in the 

Lists, including ambiguous entries and 

confusing format and column titles. 

After detailed research on the origin, 

history, and purpose of the Lists, we 

determined that the format, references, 

and standards need to be updated. This 

rule is designed to address these 

observed problems and propose 

corrections to enhance the clarity of the 

lists. 

History of the Lists of Endangered and 

Threatened Species 

The first endangered species list was 

published March 8, 1969 (35 FR 5034) 

and included only two columns, 

Common Name and Scientific Name. In 

1971, that list was added to title 50 CFR 

in the newly created section 17 and 

divided into two separate lists with 

appendix A being the ‘‘U.S. List of 

Endangered Foreign Fish and Wildlife’’

with three columns (Common Name, 

Scientific Name, and Where Found) and 

appendix D being the ‘‘United States’

List of Endangered Native Fish and 

Wildlife’’ with still only the original two 

columns (Common Name and Scientific 

Name). 

In 1974, the two appendices were 

changed into the now familiar locations 

in §17.11 and §17.12 with the appendix 

A becoming §17.11 (Foreign) and 


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