Federal Register / Vol. 73, No. 195 / Tuesday, October 7, 2008 / Proposed Rules 58515 

ACTION: Correction to notice of proposed 

rulemaking. 

SUMMARY: This document contains a 

correction to a notice of proposed 

rulemaking (REG–128841–07) that was 

published in the Federal Register on 

Tuesday, September 9, 2008 (73 FR 

52220) relating to the public approval 

requirements under section 147(f) of the 

Internal Revenue Code applicable to taxexempt private activity bonds issued by 

State and local governments. The 

proposed regulations affect State and 

local governmental issuers of taxexempt private activity bonds. 

FOR FURTHER INFORMATION CONTACT: 

David White, (202) 622–3980 (not a tollfree number). 

SUPPLEMENTARY INFORMATION: 

Background 

The correction notice that is the 

subject of this document is under 

section 147 of the Internal Revenue 

Code. 

Need for Correction 

As published, the notice of proposed 

rulemaking (REG–128841–07) contains 

an error that may prove to be misleading 

and is in need of clarification. 

Correction of Publication 

Accordingly, the publication of the 

notice of proposed rulemaking (REG– 

128841–07), which was the subject of 

FR Doc. E8–20771, is corrected as 

follows: 

§ 1.147(f)–1 [Corrected] 

On page 52225, column 1, § 1.147(f)– 

1(b)(6)(ii)(A), line 4, the language ‘‘and 

public approval stated would to be’’ is 

corrected to read ‘‘and public approval 

stated would be’’. 

LaNita Van Dyke, 

Chief, Publications and Regulations Branch, 

Legal Processing Division, Associate Chief 

Counsel, (Procedure and Administration). 

[FR Doc. E8–23651 Filed 10–6–08; 8:45 am] 

BILLING CODE 4830–01–P 

ENVIRONMENTAL PROTECTION 

AGENCY 

40 CFR Part 52 

[EPA–R06–OAR–2007–0525; FRL–8726–3] 

Approval and Promulgation of Air 

Quality Implementation Plans; Texas; 

Reasonable Further Progress Plan, 

Motor Vehicle Emissions Budgets and 

Revised 2002 Emissions Inventory; 

Dallas/Fort Worth Ozone 

Nonattainment Area 

AGENCY: Environmental Protection 

Agency (EPA). 

ACTION: Proposed rule. 

SUMMARY: The Environmental Protection 

Agency (EPA) is proposing to approve a 

revision to the Texas State 

Implementation Plan (SIP) to meet the 

Reasonable Further Progress (RFP) 

requirements of the Clean Air Act (CAA) 

for the Dallas/Fort Worth (DFW) 

moderate 1997 8-hour ozone 

nonattainment area. EPA is also 

proposing to approve the RFP motor 

vehicle emissions budgets (MVEBs) and 

a revised 2002 Base Year Emission 

Inventory associated with the revision. 

EPA is proposing to approve the SIP 

revision because it satisfies the RFP, 

RFP transportation conformity, and 

Emissions Inventory requirements for 

1997 8-hour ozone nonattainment areas 

classified as moderate, and 

demonstrates further progress in 

reducing ozone precursors. EPA is 

proposing to approve the revision 

pursuant to section 110 and part D of 

the CAA and EPA’s regulations. 

DATES: Written comments must be 

received on or before November 6, 2008. 

ADDRESSES: Comments may be mailed to 

Mr. Guy Donaldson, Chief, Air Planning 

Section (6PD–L), Environmental 

Protection Agency, 1445 Ross Avenue, 

Suite 1200, Dallas, Texas 75202–2733. 

Comments may also be submitted 

electronically or through hand delivery/ 

courier by following the detailed 

instructions in the ADDRESSES section of 

the direct final rule located in the rules 

section of this Federal Register. 

FOR FURTHER INFORMATION CONTACT: 

Emad Shahin, Air Planning Section 

(6PD–L), Environmental Protection 

Agency, Region 6, 1445 Ross Avenue, 

Suite 700, Dallas, Texas 75202–2733, 

telephone (214) 665–6717; fax number 

214–665–7263; e-mail address 

shahin.emad@epa.gov. 

SUPPLEMENTARY INFORMATION: In the 

final rules section of this Federal 

Register, EPA is approving the State’s 

SIP submittal as a direct final rule 

without prior proposal because the 

Agency views this as a noncontroversial 

submittal and anticipates no adverse 

comments. A detailed rationale for the 

approval is set forth in the direct final 

rule. If no relevant adverse comments 

are received in response to this action, 

no further activity is contemplated. If 

EPA receives adverse comments, the 

direct final rule will be withdrawn and 

all public comments received will be 

addressed in a subsequent final rule 

based on this proposed rule. EPA will 

not institute a second comment period. 

Any parties interested in commenting 

on this action should do so at this time. 

Please note that if EPA receives adverse 

comment on an amendment, paragraph, 

or section of this rule and if that 

provision may be severed from the 

remainder of the rule, EPA may adopt 

as final those provisions of the rule that 

are not the subject of an adverse 

comment. 

For additional information, see the 

direct final rule, which is located in the 

rules section of this Federal Register. 

Dated: September 26, 2008. 

Richard E. Greene, 

Regional Administrator, Region 6. 

[FR Doc. E8–23674 Filed 10–6–08; 8:45 am] 

BILLING CODE 6560–50–P 

GENERAL SERVICES 

ADMINISTRATION 

48 CFR Parts 532 and 552 

[GSAR Case 2006–G515; Docket 2008–0007; 

Sequence 22] 

RIN 3090–AI75 

General Services Acquisition 

Regulation; GSAR Case 2006–G515; 

Rewrite of Part 532, Contract Financing 

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 and update 

the agency’s implementation of Federal 

Acquisition Regulation (FAR) contract 

financing policies. GSA has taken this 

opportunity to implement coverage for 

incremental funding of fixed-price, 

time-and-materials, and labor-hour 

contracts. 

DATES: Interested parties should submit 

written comments to the Regulatory 

Secretariat on or before November 6, 

2008 to be considered in the 

formulation of a final rule. 


pwalker on PROD1PC71 with PROPOSALS
58516 Federal Register / Vol. 73, No. 195 / Tuesday, October 7, 2008 / Proposed Rules 

ADDRESSES: Submit comments 

identified by GSAR Case 2006–G515 by 

any of the following methods: 

• Regulations.gov: http:// 

www.regulations.gov. 

Submit comments via the Federal 

eRulemaking portal by inputting ‘‘GSAR 

Case 2006–G515’’ under the heading 

‘‘Comment or Submission’’. Select the 

link ‘‘Send a Comment or Submission’’ 

that corresponds with GSAR Case 2006– 

G515. Follow the instructions provided 

to complete the ‘‘Public Comment and 

Submission Form’’. Please include your 

name, company name (if any), and 

‘‘GSAR Case 2006–G515’’ 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 2006–G515 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. 

Meredith Murphy at (202) 208–6925, or 

by e-mail at meredith.murphy@gsa.gov. 

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 2006–G515. 

SUPPLEMENTARY INFORMATION: 

A. Background 

This is part of the GSAM Rewrite 

Project, which was initiated in 2006 to 

revise, update, and simplify the GSAM. 

An Advance Notice of Proposed 

Rulemaking (ANPR), with a request for 

comments, was published February 15, 

2006. Three comments on Part 532 were 

received in response and are discussed 

below. Prior to publication of this 

proposed rule, the draft coverage was 

circulated within GSA to the Services 

and regions. A total of 114 comments 

were received from 17 commenters. 

This proposed rule incorporates those 

recommendations where appropriate. 

The current GSAM Part 532 implements 

nine of the FAR Part 32 subparts and 

includes three supplementary subparts 

and 17 clauses. The proposed rule 

contains seven FAR Part 32 

implementing subparts and two 

supplementary subparts, retains four 

clauses, and creates two new clauses. Of 

the 13 clauses that are omitted from Part 

532, eight were moved to other parts of 

the GSAM (five to Part 538, two to Part 

570, and one to Part 512), one was 

converted to FAR coverage, and four 

were cancelled. 

In Subpart 532.1, Non-Commercial 

Item Purchase Financing, two of the 

three clauses prescribed were cancelled 

as redundant to the FAR and/or 

Standard Form 26. The clause at 

552.232–72 was renamed ‘‘Final 

Payment Under Building Services 

Contracts’’ and the prescription was 

relocated to 532.904, ‘‘Determining 

payment due dates.’’ There is no FAR 

clause covering final payment for 

service contracts. The GSA Form 2419, 

Certification of Progress Payments 

Under Fixed-Price Construction 

Contracts, was made mandatory at the 

request of the Office of General Counsel 

and Office of Inspector General, and the 

form’s prescription was moved to 

Subpart 532.1. The certification 

language in the GSA form was modified 

to match the current required 

certification language in the clause at 

FAR 52.232–5(c). 

The four clauses prescribed in 

Subpart 532.2 are for Schedules only, so 

Subpart 532.2 and clauses 552.232–8, 

552.232–81, 552.232–82, and 552.232– 

83 were deleted in their entirety. 

Subpart 532.7, Contract Funding, has 

been substantially revised to authorize 

the use of incremental funding for fixedprice, time-and-materials, and laborhour contracts and provide a contract 

clause, 552.232–7007, Limitation of 

Government’s Obligation. The FAR 

provides clauses for incremental 

funding of cost-type contracts, but not 

for the above contract types—although 

the use of incremental funding for such 

contracts is not prohibited by the FAR. 

The clause at 552.232–73, Availability 

of Funds, was cancelled because the use 

of such contingency-type clauses is 

inappropriate in circumstances other 

than those authorized by the FAR. 

Subpart 532.8 included procedures 

for the contracting officer to follow 

when an assignment of claims was 

received under FAR 52.232–23, 

Assignment of Claims. It also included 

the prescription for GSAR 552.232–23, 

Assignment of Claims. The clause was 

used only for requirements or indefinite 

quantity contracts under which more 

than one agency could place orders. In 

such cases, the GSAR clause is required 

to be substituted for paragraph (a) of the 

FAR clause at 52.232–23, thus limiting 

the assignment of claims capability to 

an individual order, rather than to the 

contract as a whole. The GSAR 

prescription and clause at 552.232–23 

provided an important protection for 

GSA, and one that should be available 

to other Government agencies that 

award contracts used by more than one 

agency and for the various Government 

agencies that issue orders under such 

contracts. Therefore, the clause is 

removed from the GSAR and has been 

proposed for inclusion in the FAR as 

Alternate 1 to FAR 52.232–23. 

In Subpart 532.9, the definition of 

‘‘full cycle electronic commerce’’ was 

deleted because the term is not used in 

the GSAM text. It is used in paragraph 

(a)(2) of the GSAR clause at 552.232–25 

where the associated requirements are 

fully described. GSA has an approved 

deviation to use GSAR 552.232–25, 

Prompt Payment, in lieu of FAR 52.232– 

25, Prompt Payment. The effect of this 

is to waive Prompt Payment Act 

requirements for certain situations and 

types of contracts to allow GSA to pay 

its contractors more quickly than would 

be the case under the Prompt Payment 

Act. A related clause, GSAM 552.232– 

74, Invoice Payments, is used only in 

accordance with the FAR deviation to 

reduce payment times for commercial 

items when EFT is used (per FAR 

52.232–33 instructions). Because this is 

the only difference from normal 

payment terms, the team determined 

that it was not necessary to have a 

separate clause that repeated much of 

other clauses. For this reason, 552.232– 

74 was converted to Alternate II of 

GSAR 552.212.4, prescribed at 

532.908(c)(2). 

The FAR does not cover contracting 

for leasehold interests, while the GSAM 

has a separate part, Part 570, devoted to 

the subject. Two clauses, GSAM 

552.232–75 and 552.232–76, and their 

associated clause prescriptions, have 

been transferred to the Part 570 Review 

Team because they apply only to 

contracts for leasehold interests. 

GSAR clause 552.232–78, Payment 

Information, has no FAR equivalent. All 

this GSAM clause does is direct 

contractors to a GSA-unique site which 

they can use to monitor the status of 

their payments. It is not necessary to use 

a clause to inform contractors of this 

web site. The web site can be included 

in section G, Contract Administration 

Data, in the body of the contract itself. 

This is the appropriate location for 

information relating to contract 

financing payments. The GSAR clause is 

therefore deleted. 

In Subpart 532.70, Authorizing 

Payment of Governmentwide 

Commercial Purchase Card, the 

definition of ‘‘Governmentwide 

commercial purchase card’’ was deleted 

because it merely refers to the FAR 

definition. Section 532.7002, which 

contains the solicitation requirements 

for use of the purchase card, and section 


pwalker on PROD1PC71 with PROPOSALS
Federal Register / Vol. 73, No. 195 / Tuesday, October 7, 2008 / Proposed Rules 58517 

532.7003, which prescribes the use of 

the contract clause entitled Payment By 

Governmentwide Commercial Purchase 

Card, have been renumbered and edited, 

as has the clause at 552.232–77. 

Personnel in the Office of the Chief 

Financial Officer (OCFO) provided 

counsel on updated terminology and 

recommended deletion of references to 

‘‘the credit card clearing house.’’ 

Subpart 532.71 defines ‘‘fixed-roll 

payments’’ and the circumstances in 

which they may be used. Since the 

implementation of Pegasys, GSA no 

longer uses the fixed-roll payment 

process; therefore, GSA has deleted 

Subpart 532.71 in its entirety, as well as 

the related clause, 552.232–71, 

Adjusting Payments. 

Only minor edits were made to 

Subpart 532.72, Payments Under 

Contracts Subject to Audit. 

Three public comments on Part 532 

were received in response to the 

Advance Notice of Public Rulemaking. 

Comment: Two commenters stated 

that mandatory acceptance of 

Governmentwide credit cards (see 

GSAR 532.7003, 552.232–79, and clause 

552.232–77) below the micro purchase 

threshold was inconsistent with the 

commercial practices for some Schedule 

contractors and should be made 

voluntary. 

Response: The Governmentwide 

charge card is a critical element in the 

Government’s electronic funds transfer 

system. FAR Part 13 directs Government 

agencies to use the Governmentwide 

credit card for purchases under the 

micropurchase threshold. Over the 

micropurchase threshold, contractors 

may, or may not, accept the card. 

Although GSA has changed portions of 

these clauses, the commenter’s 

suggestion was not accepted. 

Comment: One commenter requested 

that advanced payments be permitted 

for commercial items in the schedule 

program, stating ‘‘(t)here is no statutory 

or regulatory prohibition from 

application of advanced payments to the 

MAS schedules.’’ The Federal 

Acquisition Streamlining Act (FASA), 

Section 41.255(f), permitted advanced 

payment for commercial items at the 

discretion of the contracting officer 

when a series of conditions have been 

met. These conditions are delineated in 

FAR 32.202–1(b). 

Response: The advance payments 

permitted by FAR 32.202 are a 

maximum of 15 percent of the contract 

price. The GSAR does not prohibit the 

types of advance payments authorized 

by FAR Subpart 32.2. Advance 

payments for services remain a violation 

of GAO guidelines. No change was 

made. 

Comment: One commenter 

recommended that the GSAR be revised 

to clarify that subcontractor labor hours 

under a T&M contract are paid at the 

rates established in the prime contract 

or task order. 

Response: This is not a GSA issue, but 

rather an issue for the FAR. There is no 

reason for GSA to have separate or 

different coverage than other 

Government agencies for this subject. 

No change was made to the GSAM as a 

result of this comment. 

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 a number of contract clauses 

and requirements are being eliminated 

from the current regulation. 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 532 

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– 

G515), 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 

9000–0102. 

List of Subjects in 48 CFR Parts 532 and 

552 

Government procurement. 

Dated: September 25, 2008. 

Al Matera, 

Director, Office of Acquisition Policy, General 

Services Administration. 

Therefore, GSA proposes to amend 48 

CFR parts 532 and 552 as set forth 

below: 

PART 532—CONTRACT FINANCING 

1. The authority citation for 48 CFR 

part 532 continues to read as follows: 

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

2. Revise section 532.111 to read as 

follows: 

532.111 Contract clauses for noncommercial purchases. 

For contracts that include the clause 

at FAR 52.232–5, Payments Under 

Fixed-Price Construction Contracts, the 

contracting officer shall provide the 

contractor with GSA Form 2419, 

Certification of Progress Payments 

Under Fixed-Price Construction 

Contracts, to be used to make the 

certification required by FAR 52.232– 

5(c). 

Subpart 532.2—[Removed] 

3. Remove Subpart 532.2. 

4. Revise section 532.705–1 to read as 

follows: 

532.705–1 Clauses for contracting in 

advance of funds. 

(a) In most circumstances, contracting 

officers should be able to use either— 

(1) FAR 52.232–18, Availability of 

Funds (i.e., for any contract type when 

the funds will not be appropriated until 

the next fiscal year); or 

(2) FAR 52.232–19, Availability of 

Funds for the Next Fiscal Year (i.e., for 

a one-year ID/IQ or requirements 

contract for services). 

(b) Contracting officers may only use 

552.232–73, Availability of Funds, 

when all of the following conditions 

apply: 

(1) The acquisition is for severable 

services. 

(2) The contract, or a portion of the 

contract, will be chargeable to funds of 

the new fiscal year. 

(3) The circumstances described in 

the prescriptions for FAR 52.232–18 or 

52.232–19 do not apply. 

(c) Contracting officers may use the 

clause at 552.232–7007, Limitation of 

Government’s Obligation, or its 

Alternate I, in clauses that are 

incrementally funded. 

Subpart 532.8—[Removed] 

5. Remove subpart 532.8. 

532.902 [Removed] 

6. Remove section 532.902. 

7. Add section 532.904 to read as 

follows: 

532.904 Determining payment due dates. 

Payment due dates for construction 

contracts are addressed at FAR 

32.904(d). The following procedures 

apply to construction and building 

service contracts: 

(a) The final payment on construction 

or building service contracts shall not be 

processed until the contractor submits a 

properly executed GSA Form 1142, 


pwalker on PROD1PC71 with PROPOSALS
58518 Federal Register / Vol. 73, No. 195 / Tuesday, October 7, 2008 / Proposed Rules 

Release of Claims. If, after repeated 

attempts, a release of claims cannot be 

obtained from the contractor, the 

contracting officer may process the final 

payment with the approval of assigned 

legal counsel. 

(b) The amount of final payment must 

include, as appropriate, deductions to 

cover any of the following: 

(1) Liquidated damages for late 

completion. 

(2) Liquidated damages for labor 

violations. 

(3) Amounts withheld for improper 

payment of labor wages. 

(4) The amount of unilateral change 

orders covering defects and omissions. 

(5) The agreed-upon dollar amount in 

a Deficiency Report, which is included 

in all applicable Operation and 

Maintenance (O&M) service contracts. 

(c) When the contract is for the 

performance of building services, the 

contracting officer shall include the 

clause at 552.232–72, Final Payment 

Under Building Services Contracts. 

8. Revise section 532.905 to read as 

follows: 

532.905 Payment documentation and 

process. 

For contracts of the type shown in 

532.7201(a)(1) through (4)— 

(a) Contractors are to submit invoices 

or vouchers concurrently to the Office of 

the Chief Financial Officer and to the 

contracting officer for approval. Invoices 

must be annotated with the date of 

receipt, as required by FAR 32.905. That 

date will be used to determine interest 

penalties for late payments. The 

contracting officer or designee must 

review the processing of invoices or 

vouchers before payment to determine if 

the items and amounts claimed are 

consistent with the contract terms and 

represent prudent business transactions. 

The contracting officer must ensure that 

these payments are commensurate with 

physical and technical progress under 

the contract. If the contractor has not 

deducted questionable amounts from 

the invoice or amounts required to be 

withheld, the contracting officer must 

make the required deduction, except as 

provided in 532.7203. Subject to 

532.7201, the contracting officer must 

note approval of any payment on (or 

attached to) the invoice or voucher 

submitted by the contractor and forward 

the invoice or voucher to the 

appropriate contract finance office for 

retention after certification and 

scheduling for payment by a disbursing 

office. 

(b) See GSAM 532.7203 for the 

handling of audit findings. 

532.905–70 and 532.905–71 [Removed] 

9. Remove sections 532.905–70 and 

532.905–71. 

10. Revise section 532.908 to read as 

follows: 

532.908 Contract clauses. 

(a) General and architect-engineer 

contracts. Before exercising the 

authority to modify the date for 

constructive acceptance or constructive 

approval of progress payments in the 

clauses listed below, the contracting 

officer must prepare a written 

justification explaining why a longer 

period is necessary. An official one level 

above the contracting officer must 

approve the justification. The time 

needed should be determined on a caseby-case basis. 

(1) In paragraph (a)(6)(i) of the clause 

at FAR 52.232–25, Prompt Payment, the 

specified constructive acceptance 

period shall not exceed 30 days. 

(2) In paragraph (a)(4)(i)(A) of the 

clause at FAR 52.232–26, Prompt 

Payment for Fixed-Price ArchitectEngineer Contracts, the specified 

constructive acceptance period shall not 

exceed 30 days. 

(3) In paragraph (a)(4)(i)(B) of the 

clause at FAR 52.232–26, Prompt 

Payment for Fixed-Price ArchitectEngineer Contracts, the specified period 

for constructive approval of progress 

payments shall not exceed seven days. 

(b) Construction contracts. (1) The 

contracting officer shall determine on a 

case-by-case basis the time specified for 

payment of progress payments as 

described in paragraph (a)(1)(i)(A) of the 

clause at FAR 52.232–27, Prompt 

Payment for Construction Contracts. 

The contracting officer shall justify in 

writing periods longer than 14 days. An 

official one level above the contracting 

officer must approve the justification. 

Under no circumstances may more than 

30 days be specified for payment of 

progress payments. 

(2) The contracting officer shall 

determine the time to be specified in 

paragraph (a)(4)(i) of FAR clause 

52.232–27, for constructive acceptance 

or approval, on a case-by-case basis. 

This time may not exceed seven days 

unless the contracting officer justifies in 

writing a longer period and obtains the 

approval of an official one level above 

the contracting officer. Under no 

circumstances may more than 30 days 

be specified for constructive acceptance 

or approval. 

(c) Stock, Special Order, and 

Schedules Programs. (1) GSA has 

obtained a FAR Deviation to authorize 

payment within 10 days of receipt of a 

proper invoice. The authority applies 

only to— 

(i) Orders placed by GSA under the 

referenced programs; 

(ii) That include FAR 52.232–33, 

Mandatory Information for Electronic 

Funds Transfer Payment, and; 

(iii) For which the order is placed, 

and the contractor submits invoices, 

using EDI in accordance with the 

Trading Partner Agreement. 

(2) If the contract is for commercial 

items and will include FAR 52.212–4, 

use the clause with its Alternate II. If the 

contract is not for commercial items, use 

the clause at 552.232–25, Prompt 

Payment, instead of FAR 52.232–25. 

532.7001 [Removed] 

11. Remove section 532.7001. 

12. Revise section 532.7003 to read as 

follows: 

532.7003 Contract clause. 

For indefinite-delivery, indefinitequantity (IDIQ) contracts other than 

Schedules, insert the clause at 552.232– 

77, Payment By Government Charge 

Card, if the contract will provide for 

payment by Government charge card as 

an alternative method of payment for 

orders. For Schedule contracts that 

provide for payment using the 

Government charge card, use the 

clause(s) prescribed at Part 538. 

Subpart 532.71—[Removed] 

13. Remove Subpart 532.71. 

PART 552—SOLICITATION 

PROVISIONS AND CONTRACT 

CLAUSES 

14. The authority citation for 48 CFR 

part 552 continues to read as follows: 

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

15. Add section 552.212–4 to read as 

follows: 

552.212–4 Contract Terms and 

Conditions—Commercial Items. 

Alternate II (FAR Deviation) (DATE). 

When a commercial item contract is 

contemplated and the contract will 

include the clause at FAR 52.212–4, 

insert this Alternate II instead of 

paragraph (g)(2) of the FAR clause. 

(g)(2) The due date for making invoice 

payments by the designated payment 

office is the later of the following two 

events: 

(i) The 10th day after the designated 

billing office receives a proper invoice 

from the Contractor. If the designated 

billing office fails to annotate the 

invoice with the date of receipt at the 

time of receipt, the invoice payment due 

date shall be the 10th day after the date 

of the Contractor’s invoice; provided the 

Contractor submitted a proper invoice 

and no disagreement exists over 


pwalker on PROD1PC71 with PROPOSALS
Federal Register / Vol. 73, No. 195 / Tuesday, October 7, 2008 / Proposed Rules 58519 

quantity, quality, or Contractor 

compliance with contract requirements. 

(ii) The 10th day after Government 

acceptance of supplies delivered or 

services performed by the Contractor. 

16. Amend section 552.232–1 by 

revising the date of the clause and 

paragraph (c) to read as follows: 

552.232–1 Payments. 

* * * * * 

PAYMENTS (DATE) (DEVIATION 

FAR 52.232—1) 

* * * * * 

(c) When processing payment, GSA’s 

Finance Office will automatically 

generate the 12 digit invoice number 

using the PDN assigned to the contract, 

followed by an abbreviated month and 

year of service (e.g., 84261554JUN7, for 

June 2007). The PDN appears on the 

contract award document. 

(End of clause) 

552.232–8 and 552.232–23 [Removed] 

17. Remove sections 552.232–8 and 

552.232–23. 

552.232–25 Prompt Payment. 

18. Amend section 552.232–25 by 

removing from the introductory text of 

the prescription ‘‘532.908(a)(2)’’ and 

adding ‘‘532.908(c)(2)’’ in its place; 

revising the date of the clause to read 

‘‘(Date)’’; and removing from paragraph 

(a)(1)(i) ‘‘Supply Service (FSS)’’ and 

adding ‘‘Acquisition Service (FAS)’’ in 

its place. 

552.232–70 and 552.232–71 [Removed] 

19. Remove sections 552.232–70 and 

552.232–71. 

20. Amend section 552.232–72 by 

revising the section heading, the 

introductory text of the prescription, 

and the heading and date of the clause 

to read as follows: 

552.232–72 Final Payment Under Building 

Services Contracts. 

As prescribed in 532.904(c), insert the 

following clause: 

FINAL PAYMENT UNDER BUILDING 

SERVICES CONTRACTS (DATE) 

* * * * * 

552.232–74 through 552.232–76 

[Removed] 

21. Remove sections 552.232–74 

through 552.232–76. 

22. Revise section 552.232–77 to read 

as follows: 

552.232–77 Payment By Government 

Charge Card. 

As prescribed in 532.7003, insert the 

following clause: 

PAYMENT BY GOVERNMENT CHARGE 

CARD (DATE) 

(a) Definitions. 

Governmentwide commercial 

purchase card means a uniquely 

numbered charge card issued by a 

contractor under the GSA 

SmartPayprogram contract for Fleet, 

Travel, and Purchase Card Services to 

named individual Government 

employees or entities to pay for official 

Government purchases. 

Oral order means an order placed 

orally either in person or by telephone. 

(b) At the option of the Government 

and if agreeable to the Contractor, 

payments of ll *ll or less for oral 

or written orders may be made using the 

Governmentwide commercial purchase 

card. 

(c) The Contractor shall not process a 

transaction for payment using the 

charge card until the purchased 

supplies have been shipped or services 

performed. Unless the cardholder 

requests correction or replacement of a 

defective or faulty item under other 

contract requirements, the Contractor 

must immediately credit a cardholder’s 

account for items returned as defective 

or faulty. 

(d) Payments made using the 

Governmentwide commercial purchase 

card are not eligible for any negotiated 

prompt payment discount. Payment 

made using a Government debit card 

will receive the applicable prompt 

payment discount. 

(End of clause) 

* Enter amount not to exceed 

$100,000. 

552.232–78 through 552.232–83 

[Removed] 

23. Remove sections 552.232–78 

through 552.232–83. 

24. Add section 552.232–7007 to read 

as follows: 

552.232–7007 Limitation of Government’s 

Obligation. 

As prescribed in 532.705–1(c), use the 

following clause: 

LIMITATION OF GOVERNMENT’S 

OBLIGATION (DATE) 

(a) Contract line item(s) ll*ll 

through ll*ll are incrementally 

funded. For these item(s), the sum of 

$ll*ll of the total price is presently 

available for payment and allotted to 

this contract. An allotment schedule is 

set forth in paragraph (j) of this clause. 

(b) For item(s) identified in paragraph 

(a) of this clause, the Contractor agrees 

to perform up to the point at which the 

total amount payable by the 

Government, including reimbursement 

in the event of termination of those 

item(s) for the Government’s 

convenience, approximates, but does 

not exceed, the total amount currently 

allotted to the contract. The Contractor 

is not authorized to continue work on 

those item(s) beyond that point. The 

Government will not be obligated in any 

event to reimburse the Contractor in 

excess of the amount allotted to the 

contract for those item(s) regardless of 

anything to the contrary in the clause 

entitled ‘‘Termination for Convenience 

of the Government’’ or paragraph (l) 

entitled ‘‘Termination for the 

Government’s Convenience’’ of the 

clause at FAR 52.212–4, ‘‘Commercial 

Terms and Conditions-Commercial 

Items.’’ As used in this clause, the total 

amount payable by the Government in 

the event of termination of applicable 

contract line item(s) for convenience 

includes costs, profit, and estimated 

termination settlement costs for those 

item(s). 

(c) Notwithstanding the dates 

specified in the allotment schedule in 

paragraph (j) of this clause, the 

Contractor will notify the Contracting 

Officer in writing at least 90 days prior 

to the date when, in the Contractor’s 

best judgment, the work will reach the 

point at which the total amount payable 

by the Government, including any cost 

for termination for convenience, will 

approximate 85 percent of the total 

amount then allotted to the contract for 

performance of the applicable item(s). 

The notification will state: (1) the 

estimated date when that point will be 

reached; and (2) an estimate of 

additional funding, if any, needed to 

continue performance of applicable line 

items up to the next scheduled date for 

allotment of funds identified in 

paragraph (j) of this clause, or to a 

mutually agreed upon substitute date. 

The notification will also advise the 

Contracting Officer of the estimated 

amount of additional funds that will be 

required for the timely performance of 

the item(s) funded pursuant to this 

clause, for a subsequent period as may 

be specified in the allotment schedule 

in paragraph (j) of this clause or 

otherwise agreed to by the parties. If 

after such notification additional funds 

are not allotted by the date identified in 

the Contractor’s notification, or by an 

agreed substitute date, the Contracting 

Officer will terminate any item(s) for 

which additional funds have not been 

allotted, pursuant to the clause of this 

contract entitled ‘‘Termination for 

Convenience of the Government’’ or 

paragraph (l) entitled ‘‘Termination for 

the Government’s Convenience’’ of the 

clause at FAR 52.212–4, ‘‘Commercial 

Terms and Conditions-Commercial 

Items.’’ 

(d) When additional funds are allotted 

for continued performance of the 

contract line item(s) identified in 

paragraph (a) of this clause, the parties 


pwalker on PROD1PC71 with PROPOSALS
58520 Federal Register / Vol. 73, No. 195 / Tuesday, October 7, 2008 / Proposed Rules 

will agree as to the period of contract 

performance which will be covered by 

the funds. The provisions of paragraphs 

(b) through (d) of this clause will apply 

in like manner to the additional allotted 

funds and agreed substitute date, and 

the contract will be modified 

accordingly. 

(e) If, solely by reason of failure of the 

Government to allot additional funds, 

by the dates indicated below, in 

amounts sufficient for timely 

performance of the contract line item(s) 

identified in paragraph (a) of this clause, 

the Contractor incurs additional costs or 

is delayed in the performance of the 

work under this contract and if 

additional funds are allotted, an 

equitable adjustment will be made in 

the price or prices (including 

appropriate target, billing, and ceiling 

prices where applicable) of the item(s), 

or in the time of delivery, or both. 

Failure to agree to any such equitable 

adjustment hereunder will be a dispute 

concerning a question of fact within the 

meaning of the clause entitled 

‘‘Disputes.’’ 

(f) The Government may at any time 

prior to termination allot additional 

funds for the performance of the 

contract line item(s) identified in 

paragraph (a) of this clause. 

(g) The termination provisions of this 

clause do not limit the rights of the 

Government under the clause entitled 

‘‘Default’’ or ‘‘Termination for Cause.’’ 

The provisions of this clause are limited 

to the work and allotment of funds for 

the contract line item(s) set forth in 

paragraph (a) of this clause. This clause 

no longer applies once the contract is 

fully funded except with regard to the 

rights or obligations of the parties 

concerning equitable adjustments 

negotiated under paragraphs (d) and (e) 

of this clause. 

(h) Nothing in this clause affects the 

right of the Government to terminate 

this contract pursuant to the clause of 

this contract entitled ‘‘Termination for 

Convenience of the Government’’ or 

paragraph (l) entitled ‘‘Termination for 

the Government’s Convenience’’ of the 

clause at FAR 52.212–4, ‘‘Commercial 

Terms and Conditions-Commercial 

Items.’’ 

(i) Nothing in this clause shall be 

construed as authorization of voluntary 

services whose acceptance is otherwise 

prohibited under 31 U.S.C. 1342. 

(j) The parties contemplate that the 

Government will allot funds to this 

contract in accordance with the 

following schedule: 

On execution of contract $ ll 

(month) (day), (year) $ ll 

(month) (day), (year) $ ll 

(month) (day), (year) $ ll 

(End of clause) 

ALTERNATE I (DATE). If only a 

certain line item(s) will be 

incrementally funded, substitute the 

following paragraph (a) for paragraph (a) 

of the basic clause: 

(a) Contract line item(s) ll is 

incrementally funded. The sum of 

$ll*ll is presently available for 

payment and allotted to this contract. 

An allotment schedule is contained in 

paragraph (j) of this clause. 

* To be inserted after negotiation. 

[FR Doc. E8–23660 Filed 10–6–08; 8:45 am] 

BILLING CODE 6820–EP–S 

NATIONAL TRANSPORTATION 

SAFETY BOARD 

49 CFR Part 830 

Notification and Reporting of Aircraft 

Accidents or Incidents and Overdue 

Aircraft, and Preservation of Aircraft 

Wreckage, Mail, Cargo, and Records 

AGENCY: National Transportation Safety 

Board (NTSB). 

ACTION: Notice of proposed rulemaking. 

SUMMARY: The NTSB is proposing to 

amend its regulations concerning 

notification and reporting requirements 

with regard to aircraft accidents or 

incidents. The existing regulations (49 

CFR 830.5) do not include certain 

events that the NTSB has determined to 

be necessary. The NTSB anticipates that 

these proposed amendments will 

enhance aviation safety by providing the 

NTSB with direct notification of events 

that involve safety concerns, thereby 

enabling the NTSB to conduct 

investigations, identify necessary 

corrective actions in a timely manner, 

and work to prevent transportation 

accidents. 

DATES: Submit comments on or before 

December 8, 2008. 

ADDRESSES: You may send comments 

using any of the following methods: 

1. Government-wide rulemaking Web 

site: Go to http://www.regulations.gov 

and follow the instructions for sending 

your comments electronically. 

2. Mail: Mail comments concerning 

this proposed rule to Deepak Joshi, AS– 

40, National Transportation Safety 

Board, 490 L’Enfant Plaza, SW., 

Washington, DC 20594–2000. 

3. Fax: (202) 314–6308, Attention: 

Deepak Joshi 

4. Hand Delivery: 6th Floor, 490 

L’Enfant Plaza, SW., Washington, DC, 

between 9 a.m. and 5 p.m., Monday 

through Friday, except Federal holidays. 

FOR FURTHER INFORMATION CONTACT: 

Deepak Joshi, Lead Aerospace Engineer 

(Structures), Office of Aviation Safety, 

(202) 314–6348. 

SUPPLEMENTARY INFORMATION: 

Regulatory History 

On December 27, 2004, the NTSB 

published a notice of proposed 

rulemaking (NPRM) titled, ‘‘Notification 

and Reporting of Aircraft Accidents or 

Incidents and Overdue Aircraft, and 

Preservation of Aircraft Wreckage, Mail, 

Cargo, and Records,’’ in the Federal 

Register (69 FR 77150). The December 

2004 NPRM proposed various changes 

to 49 CFR Part 830, all of which affected 

the types of accidents and incidents that 

individuals and entities must report 

under 49 CFR Part 830. The NTSB 

received numerous comments on the 

NPRM and carefully considered each 

comment. In light of some commenters’ 

suggestions and concerns, and to ensure 

that the NTSB engages in all requisite 

statutory and regulatory analyses, the 

NTSB elected to revise the proposed 

regulations and issue a new NPRM. The 

NTSB has declined to implement some 

commenters’ suggestions in some 

proposed sections, and the preamble for 

each proposed section explains the 

NTSB’s reasoning. Each proposed 

revision and addition, as well as 

summaries of and responses to some 

comments from the prior NPRM, is 

discussed in detail below. The NTSB 

does not plan to issue a final notice or 

proceed in any way with the NPRM that 

was published on December 27, 2004. 

The NTSB intends to finalize and 

proceed with the NPRM herein. 

Statutory and Regulatory Evaluation 

This proposed rule would amend the 

requirements for providing immediate 

notification to the NTSB of certain 

aviation events, to include certain 

events that were not previously 

reportable. These amendments will 

enhance aviation safety by providing the 

NTSB with direct notification of these 

events and, thereby enabling the NTSB 

to conduct investigations, identify 

corrective actions, and propose safety 

recommendations in a timely manner. 

This rule is not a ‘‘significant 

regulatory action’’ under section 3(f) of 

Executive Order 12866, Regulatory 

Planning and Review, and does not 

require an assessment of the potential 

costs and benefits under section 6(a)(3) 

of that Order. As such, the Office of 

Management and Budget (OMB) has not 

reviewed this rule under Executive 

Order 12866. Likewise, this rule does 

not require an analysis under the 

Unfunded Mandates Reform Act, 2 

United States Code (U.S.C.) 1501–1571, 

or the National Environmental Policy 

Act, 42 U.S.C. 4321–4347. 


pwalker on PROD1PC71 with PROPOSALS