[Federal Register Volume 79, Number 240 (Monday, December 15, 2014)]
[Rules and Regulations]
[Page 74554]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2014-29148]



[[Page 74554]]

-----------------------------------------------------------------------

DEPARTMENT OF DEFENSE

GENERAL SERVICES ADMINISTRATION

NATIONAL AERONAUTICS AND SPACE ADMINISTRATION

48 CFR Chapter 1

[Docket No. FAR 2014-0052, Sequence No. 7]


Federal Acquisition Regulation; Federal Acquisition Circular 
2005-79; Small Entity Compliance Guide

AGENCY: Department of Defense (DoD), General Services Administration 
(GSA), and National Aeronautics and Space Administration (NASA).

ACTION: Small Entity Compliance Guide.

-----------------------------------------------------------------------

SUMMARY: This document is issued under the joint authority of DOD, GSA, 
and NASA. This Small Entity Compliance Guide has been prepared in 
accordance with section 212 of the Small Business Regulatory 
Enforcement Fairness Act of 1996. It consists of a summary of the rules 
appearing in Federal Acquisition Circular (FAC) 2005-79, which amends 
the Federal Acquisition Regulation (FAR). An asterisk (*) next to a 
rule indicates that a regulatory flexibility analysis has been 
prepared. Interested parties may obtain further information regarding 
these rules by referring to FAC 2005-79, which precedes this document. 
These documents are also available via the Internet at http://www.regulations.gov.

DATES: December 15, 2014.

FOR FURTHER INFORMATION CONTACT: For clarification of content, contact 
the analyst whose name appears in the table below. Please cite FAC 
2005-79 and the FAR case number. For information pertaining to status 
or publication schedules, contact the Regulatory Secretariat at 202-
501-4755.

----------------------------------------------------------------------------------------------------------------
             Item                            Subject                 FAR Case                 Analyst
----------------------------------------------------------------------------------------------------------------
*I............................  Establishing a Minimum Wage for         2015-003  Loeb
                                 Contractors.
II............................  Prohibition on Contracting with         2014-017  Jackson
                                 Inverted Domestic Corporations.
----------------------------------------------------------------------------------------------------------------


SUPPLEMENTARY INFORMATION: Summaries for each FAR rule follow. For the 
actual revisions and/or amendments made by these rules, refer to the 
specific item numbers and subjects set forth in the documents following 
these item summaries. FAC 2005-79 amends the FAR as specified below:

Item I--Establishing a Minimum Wage for Contractors (FAR Case 2015-003)

    DoD, GSA, and NASA are issuing an interim rule amending the FAR to 
implement Executive Order (E.O.) 13658 and a Department of Labor (DOL) 
final rule issued on October 7, 2014, both entitled Establishing a 
Minimum Wage for Contractors. The interim rule establishes a new 
minimum wage for covered service and construction contracts of $10.10 
per hour, which will be adjusted annually, by the DOL. Contracting 
officers will include a clause in covered contracts and, if requested 
by the contractor and if appropriate, will adjust contract prices for 
the annual adjustments in the E.O. minimum wage. Contractors shall 
consider any subcontractor request, including requests by small 
businesses subcontractors, for a subcontract price adjustment due to 
the annual adjustment in the E.O. minimum wage.

Item II--Prohibition on Contracting With Inverted Domestic Corporations 
(FAR Case 2014-017)

    This interim rule amends the provisions of the FAR that address the 
continuing Governmentwide statutory prohibition (in effect since fiscal 
year (FY) 2008) on the award of contracts using appropriated funds to 
any foreign incorporated entity that is an inverted domestic 
corporation (under section 835 of the Homeland Security Act of 2002, 
codified at 6 U.S.C. 395) or to any subsidiary of such entity. In 
particular, this rule amends FAR 9.108 to revise the FAR coverage, 
including the language of solicitation provisions and contract clauses, 
so that it more clearly reflects the ongoing, continuing nature of the 
statutory prohibition on contracting with inverted domestic 
corporations and their subsidiaries.
    This rule is not expected to have an effect on small business 
because this rule will only impact an offeror that is a foreign 
incorporated entity that is treated as an inverted domestic corporation 
and wants to do business with the Government. Small business concerns 
are unlikely to have been incorporated in the United States and then 
reincorporated in a tax haven.

    Dated: December 5, 2014.
William Clark,
Acting Director, Office of Government-wide Acquisition Policy, Office 
of Acquisition Policy, Office of Government-wide Policy.
[FR Doc. 2014-29148 Filed 12-12-14; 8:45 am]
BILLING CODE 6820-EP-P