[Federal Register Volume 80, Number 26 (Monday, February 9, 2015)]
[Rules and Regulations]
[Pages 6909-6925]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2014-30714]


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DEPARTMENT OF STATE

48 CFR Parts 601, 603, 604, 605, 606, 607, 608, 609, 613, 615, 616, 
617, 619, 622, 623, 624, 625, 627, 628, 631, 632, 633, 636, 637, 
642, 644, 645, 647, 649, and 652

[Public Notice 8971]
RIN 1400-AD63


Department of State Acquisition Regulation

AGENCY: Department of State.

ACTION: Final rule.

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

SUMMARY: The Department of State (DoS) is making technical amendments 
to the Department of State Acquisition Regulation (DOSAR) to provide 
needed editorial changes, updating procedures and terminology, and 
aligning the DOSAR with changes to the Federal Acquisition Regulation 
(FAR).

DATES: This rule is effective on February 9, 2015.

FOR FURTHER INFORMATION CONTACT: Ms. Ella Ramirez, Policy Division, 
Office of the Procurement Executive, A/OPE, 2201 C Street NW., Suite 
1060, State Annex Number 15, Washington, DC 20520. Telephone 703-516-
1693.

SUPPLEMENTARY INFORMATION: This rulemaking is necessary to update

[[Page 6910]]

certain provisions of the DOSAR, located in 48 CFR parts 601, 603, 604, 
605, 606, 607, 608, 609, 613, 615, 616, 617, 619, 622, 623, 624, 625, 
627, 628, 631, 632, 633, 636, 637, 642, 644, 645, 647, 649 and 652.
    The amendments being made in this rule are all either corrections 
of typographical errors, alignments of wording/titling/numbering with 
the FAR, re-numbering/relocating without substantive change, changes in 
delegated authority, incorporation of agency procedural guidance into 
the CFR, or other minor editorial adjustments without substantive 
change.
    The changes being made by this rule are:

------------------------------------------------------------------------
            DOSAR citation                   Description of change
------------------------------------------------------------------------
                   Correction of typographical errors
------------------------------------------------------------------------
605.2................................  Correct ``Synopsis'' to
                                        ``Synopses.''
605.403..............................  Correct ``members'' to
                                        ``Members.''
606.202..............................  Correct ``alternate'' to
                                        ``alternative.''
619.202-70(n)(2).....................  Correct spelling--``recission''
                                        to ``rescission.''
627.3................................  Correct ``Under'' to ``under.''
633.214-70(d)........................  Correct ``simplified acquisition
                                        limitation'' to ``simplified
                                        acquisition threshold.''
644.3................................  Correct misplaced apostrophe in
                                        the title.
------------------------------------------------------------------------
              Renumber/relocate without substantive change
------------------------------------------------------------------------
601.603-70...........................  Redesignate as 601.601-70.
642.14...............................  Redesignate as Subpart 647.3 and
                                        revise internal cites.
647.3................................  Add as new subpart (moved from
                                        subpart 642.14).
652.242-71...........................  Clause redesignated as 652.247-
                                        70, remove 642.1406-2-70(a) and
                                        add 647.305-70 in its place.
652.242-72...........................  Clause redesignated as 652.247-
                                        71, remove 642.1406-2-70(b) and
                                        add 647.305-71 in its place.
652.247-70...........................  Editorial change. Clause moved
                                        from 652.242-71.
652.247-71...........................  Editorial change. Clause moved
                                        from 652.242-72.
------------------------------------------------------------------------
               Wording/title/numbering alignment with FAR
------------------------------------------------------------------------
601.603..............................  Add missing words, ``for
                                        contracting officers'' to the
                                        title.
604.13...............................  Correct the title to read
                                        ``Personal Identity
                                        Verification.''
604.1300.............................  Redesignate as 604.1301.
604.1301.............................  Redesignate as section 604.1303.
604.1301-70..........................  Redesignate as section 604.1303-
                                        70.
606.304(a)(2), 606.304-70,             Change ``competition advocate''
 606.370(b), 606.501(a), 606.501(b),    and ``Competition Advocate'' to
 606.501-70, 606.570, 616.505(b)(5),    ``advocate for competition'' and
 633.103(d)(4), 637.601, 652.206-70.    ``Advocate for Competition,''
                                        respectively.
606.370(a) & (b).....................  Remove ``41 U.S.C 253(c)(1),''
                                        and insert ``41 U.S.C.
                                        3304(a)(1)'' in its place.
609.404..............................  Change title to SAM from EPLS,
                                        correct reference and change
                                        (c)(3) to (c)(6).
609.404-70...........................  Revise last sentence and correct
                                        link to SAM vice EPLS.
616.505(b)(5)........................  Redesignate as 616.505(b)(8).
619.202-70(o)........................  Change threshold from
                                        ``$500,000'' to ``$650,000'' and
                                        from ``$1,000,000'' to
                                        ``$1,500,000.''
619.6................................  Replace ``Eligibility'' with
                                        ``Responsibility.''
619.803-71...........................  Update the SAT to $150,000.
619.803-71(b)........................  Change CCR to SAM.
619.804-3-70.........................  Update the SAT to $150,000.
619.805-2............................  Update the SAT to $150,000.
619.811-1(d)(1)......................  Remove ``41 U.S.C 253(c)(5),''
                                        and insert ``41 U.S.C.
                                        3304(a)(5)'' in its place.
619.811-1(d)(3)......................  Update the SAT to $150,000.
619.811-3(d).........................  Update the SAT to $150,000.
622.404..............................  Correct title to align with FAR.
622.6................................  Correct title to align with FAR.
622.13...............................  Correct title to align with FAR.
623.4................................  Correct title to align with FAR
624.202..............................  Redesignate as 624.203.
625.1................................  Correct title to align with FAR.
625.2................................  Correct title to align with FAR.
627.2................................  Correct title to align with FAR.
627.203..............................  Redesignate as 627.201 and
                                        correct the title.
627.203-6............................  Redesignate as 627.201-2, revise
                                        the title to ``Contract
                                        clauses'', designate para as
                                        (e), and correct FAR citation.
627.304-5............................  Redesignate as 627.304-4 and
                                        correct FAR citations.
628.1................................  Correct title to align with FAR.
628.2................................  Correct title to align with FAR.
631.205-6(g)(3)......................  Redesignate (g)(3) to (g)(6).
632.705..............................  Redesignate as section 632.706.
632.705-70...........................  Redesignate as section 632.706-
                                        70.
633.203(b)...........................  Designate the text as (b).
633.214-70(a)........................  Remove ``Contract Disputes Act''
                                        and insert ``Disputes statute
                                        (41 U.S.C. chapter 71)'' in its
                                        place.
636.202..............................  Delete section (due to revocation
                                        of E.O. 13202, per FAC 2005-35).
------------------------------------------------------------------------

[[Page 6911]]

 
                  Add existing policy/procedure to CFR
------------------------------------------------------------------------
601.601-70(c)........................  Incorporate template for
                                        justifying use of
                                        ``notwithstanding'' authority.
601.602-3............................  Incorporate procedures for
                                        ratifications.
601.603-3(e).........................  Incorporate advice regarding
                                        authority to sign real property
                                        leases.
604.2................................  Incorporate contract distribution
                                        procedures.
604.8................................  Incorporate contract file
                                        procedures.
604.16...............................  Incorporate contract solicitation/
                                        contract numbering guidelines.
604.70...............................  Incorporate contract review
                                        procedures.
604.71...............................  Incorporate procurement QA
                                        program procedures.
604.72...............................  Incorporate procedures for secure
                                        procurement for controlled
                                        access areas.
605.207..............................  Incorporate procedures for
                                        preparation and transmittal of
                                        synopses.
606.303-2............................  Incorporate content requirements
                                        for justifications and
                                        approvals.
607.102..............................  Incorporate policy statement
                                        regarding acquisition planning.
607.103(d) and (j)...................  Incorporate requirement for
                                        written acquisition plans and
                                        approval level.
607.105..............................  Incorporate requirements for
                                        content of acquisition plans.
607.5................................  Incorporate requirement for
                                        determination of not inherently
                                        governmental.
608.8................................  Incorporate statutory exemption
                                        for overseas printing and
                                        binding services.
608.70...............................  Incorporate procedures for
                                        overseas acquisition of official
                                        vehicles.
613.302..............................  Incorporate guidance on
                                        distribution and content of
                                        purchase orders.
613.303-1............................  Incorporate prohibition on use of
                                        BPAs for pest control services.
613.303-6............................  Incorporate procedures for
                                        internal reviews of BPAs.
613.307..............................  Incorporate guidance on use of
                                        forms for purchase orders,
                                        delivery orders and BPAs.
615.4................................  Incorporate procedures for
                                        structured approach for profit/
                                        fee analysis.
616.1................................  Incorporate limitations on
                                        overseas contracting authority
                                        and guidance on use of model
                                        solicitations.
619.870..............................  Incorporate administrative
                                        requirements related to 8(a)
                                        contracts.
628.305( c)..........................  Remove guidance on DoS contract
                                        with insurance broker/carrier.
628.309-70(b)........................  Remove guidance on DoS contract
                                        with insurance broker/carrier.
628.309-70(c)........................  Remove guidance on DoS contract
                                        with insurance broker/carrier.
632.006-3............................  Incorporate requirements for
                                        reporting fraud and payment
                                        process.
633.203(c)...........................  Incorporate change from GSBCA to
                                        CBCA.
633.214-70(c) & (c)(2)...............  Incorporate change from GSBCA to
                                        CBCA.
636.602-4............................  Incorporate guidance on selection
                                        authority for AE contracts.
636.606..............................  Incorporate guidance on waiver
                                        from statutory fee limitation.
637.102(c)...........................  Incorporate requirement for
                                        requiring activity justification
                                        for acquisition of services.
637.103( e)..........................  Incorporate guidance to
                                        contracting officers regarding
                                        review of services acquisition
                                        requests.
637.104-71...........................  Incorporate guidance on personal
                                        services agreements.
642.1503-70..........................  Revise to recognize shift to
                                        CPARS.
649.111..............................  Incorporate guidance on review
                                        and approval of termination
                                        settlements.
652.228-72/73/74.....................  Remove clause on DoS contract
                                        with insurance broker/carrier.
652.228-70(d)........................  Remove paragraph on DoS contract
                                        with insurance broker/carrier.
652.228-71...........................  Revise clause to reflect
                                        elimination of DoS contract with
                                        insurance broker/carrier.
652.236-71...........................  Incorporate statutory changes.
652.236-72...........................  Delete from para. (a) phrases
                                        ``and Section 406(c)``, ``, and
                                        excludes . . . Libya'', and ``,
                                        and whether they . . . in this
                                        solicitation''; and delete para
                                        (d)(9).
------------------------------------------------------------------------
                     Changes in delegated authority
------------------------------------------------------------------------
601.601-70(b)(5).....................  Reflects increased authority.
601.601-70(a)(6).....................  Move to section 601.601-70(b)(8).
601.601-70(b)(8).....................  Revise subparagraph to reflect
                                        that RPSOs are not ``contracting
                                        activities.''
615.303(a)...........................  Incorporate HCA authority to
                                        appoint other than a contracting
                                        officer as selection authority.
623.2................................  Incorporate designation of HCA as
                                        agency head.
------------------------------------------------------------------------
         Other editorial adjustments without substantive change
------------------------------------------------------------------------
601.106..............................  Delete burden hours estimates.
601.301 (a)..........................  Delete specific delegation
                                        letters.
601.302(b)...........................  Editorial changes.
601.603-1............................  Correct URL for ACMP Handbook.
603.104-4(a).........................  Remove ``who is the agency head's
                                        designee,''
603.104-4(a)(6), 619.201(a), (b),      Change OSDBU office code.
 (d)(18) and (f)(1). 619.202-
 70(e)(3), (j)(1), (j)(2), (k)(1),
 (k)(2), (m)(2), (m)(3), (m)(4),
 (n)(1), and (n)(2). 619.402-70.
 619.506(b), 619.602-1, 619.705-4,
 619.705-6-70(a) and (b), 619.803-70,
 619.803-71(d) and 619.811-1(d)(4).
604.1303-70..........................  Revise to show proper clause
                                        title for 652.204-70.
606.302-6(c)(1)......................  Update E.O. to ``13526'' and
                                        replace the ``Office of Security
                                        Infrastructure'' with ``Security
                                        Infrastructure Directorate.''
606.303..............................  Insert the title line ``606.303
                                        Justifications.''
606.304(a)(2)........................  Editorial change to eliminate the
                                        need for future changes to
                                        thresholds.
606.304(d)...........................  Delete text--merely repeats the
                                        FAR.

[[Page 6912]]

 
609.402..............................  Add new section, with designation
                                        of Procurement Executive as the
                                        suspending official and
                                        debarring official.
609.403..............................  Remove the definitions of
                                        ``Debarring official'' and
                                        ``Suspending official.''
616.505(b)(5)........................  Delete ``contract.''
617.201, 617.201-70..................  Remove both sections entirely.
619.803-71(d)........................  Delete unnecessary terms and
                                        change A/SDBU to OSDBU.
619.811-1(d)(2), 619.811-1(d)(3),      Remove the word ``DOSAR,'' per
 619.811-1(e), 619.811-3(e),            the citation convention at
 619.812(d), 625.7002, 636.570(a)(3).   601.303(c).
622.404-3............................  Correct DOSAR citation.
622.406-8(a).........................  Correct ``chief of the
                                        contracting activity'' to ``head
                                        of the contracting activity.''
623.302-70...........................  Change ``with'' to ``that.''
627.303..............................  Revise first sentence for
                                        clarity.
636.513(a)...........................  Replace ``DOSAR'' with ``the
                                        clause at.''
637.103(a)(2)........................  Insert missing sub-paragraph
                                        identifier ``(a)(2).''
637.104..............................  Designate the text as para (e).
637.104-70...........................  Correct title.
645.107-70(a)(1).....................  Change ``and'' to ``or.''
645.107-70(a)(3).....................  Change `` . . . paragraphs (a)(1)
                                        or (2) of this . . .'' to ``. .
                                        . paragraph (a)(1) of this . .
                                        .''
649.106..............................  Delete ``Termination'' and
                                        replace ``TCO'' to ``CO.''
652.204-70...........................  Correct the title to ``Department
                                        of State Personal Identification
                                        Card Policy and Procedures'' and
                                        make editorial corrections to
                                        the body of the clause.
652.206-70...........................  Editorial changes.
652.237-72...........................  Correct the first sentence of
                                        paragraph (b).
652.245-71(c)(1).....................  Change ``and'' to ``or.''
652.245-71(c)(3).....................  Delete ``or (c)(2).''
------------------------------------------------------------------------

Regulatory Findings

Administrative Procedure Act

    The Department is publishing this rule as a final rule, in 
accordance with the ``good cause'' provision of 5 U.S.C. 553(b). The 
Department finds that, since the amendments in this rule are merely 
technical in nature or address the internal operating procedures of the 
agency, public comment is unnecessary. For the same reason, the 
effective date of this rulemaking is the date of publication, in 
accordance with 5 U.S.C. 553(d).

Regulatory Flexibility Act

    The Department of State, in accordance with the Regulatory 
Flexibility Act (5 U.S.C. 605(b)), has reviewed this regulation and, by 
approving it, certifies that this rule will not have a significant 
economic impact on a substantial number of small entities. This 
determination was based on the fact that the amendments in this rule 
are merely technical in nature, or consist of internal operating 
procedures of the agency, and they do not have any cost or 
administrative impact on offerors or contractors. Thus, it was 
concluded that the rule will not have a significant economic impact on 
a substantial number of small entities.

Unfunded Mandates Act of 1995

    This rule will not result in the expenditure by State, local, and 
tribal governments, in the aggregate, or by the private sector, of $100 
million or more in any year and it will not significantly or uniquely 
affect small governments. Therefore, no actions were deemed necessary 
under the provisions of the Unfunded Mandates Act of 1995.

Small Business Regulatory Enforcement Fairness Act of 1996

    This rule is not a major rule as defined by the Small Business 
Regulatory Enforcement Act of 1996 (5 U.S.C. 801 et seq.). This rule 
will not result in an annual effect on the economy of $100 million or 
more; a major increase in costs or prices; or significant adverse 
effects on competition, employment, investment, productivity, 
innovation, or on the ability of United States-based companies to 
compete with foreign-based companies in domestic and import markets. 
This determination was based on the fact that the amendments in this 
rule are merely technical in nature or address the internal operating 
procedures of the agency. The rule does not have any cost or 
administrative impact on offerors or contractors.

Executive Orders 12866 and 13563

    Executive Orders (E.O.) 12866 and 13563 direct agencies to assess 
costs and benefits of available regulatory alternatives and, if 
regulation is necessary, to select regulatory approaches that maximize 
net benefits (including potential economic, environmental, public 
health and safety effects, distributive impacts and equity). E.O. 13563 
emphasized the importance of quantifying both costs and benefits, of 
reducing costs, of harmonizing rules, and of promoting flexibility. The 
Department of State does not consider this rule to be a ``significant 
regulatory action'' under Executive Order 12866.
    In addition, the Department is exempt from Executive Order 12866 
except to the extent that it is promulgating regulations in conjunction 
with a domestic agency that are significant regulatory actions. The 
Department has nevertheless reviewed the regulation to ensure its 
consistency with the regulatory philosophy and principles set forth in 
the Executive Orders and finds that the benefits of updating this rule 
outweigh any costs, which the Department assesses to be minimal.

Executive Order 13132

    This rule will not have substantial direct effects on the States, 
on the relationship between the national government and the States, or 
on the distribution of power and responsibilities among the various 
levels of government. Therefore, in accordance with section 6 of 
Executive Order 13132, it is determined that this rule does not have 
sufficient federalism implications to require consultations or warrant 
the preparation of a federalism summary impact statement.

Executive Order 13175

    The Department has determined that this rulemaking will not have 
tribal implications, will not impose substantial direct compliance 
costs on Indian tribal governments, and will not pre-empt tribal law. 
Accordingly, the

[[Page 6913]]

requirements of Executive Order 13175 do not apply to this rulemaking.

Paperwork Reduction Act

    The rule imposes no new or revised information collections under 
the Paperwork Reduction Act of 1980 (44 U.S.C. Chapter 35).

List of Subjects in 48 CFR Parts 601, 603, 604, 605, 606, 607, 608, 
609, 613, 615, 616, 617, 619, 622, 623, 624, 625, 627, 628, 631, 
632, 633, 636, 637, 642, 644, 645, 647, 649, and 652

    Administrative practice and procedure, Government procurement.

    For the reasons stated in the preamble, the Department of State 
amends 48 CFR chapter 6 as follows:

0
1. The authority citation for 48 CFR parts 601, 603, 604, 605, 606, 
607, 609, 613, 615, 616, 617, 619, 622, 623, 624, 625, 627, 628, 631, 
632, 633, 636, 637, 642, 644, 645, 647, 649 and 652 is revised to read 
as follows:

    Authority:  22 U.S.C. 2651a, 40 U.S.C. 121(c) and 48 CFR chapter 
1.

PART 601--DEPARTMENT OF STATE ACQUISITION REGULATION SYSTEM

0
2. Section 601.106 is revised to read as follows:


601.106   OMB approval under the Paperwork Reduction Act.

    The Paperwork Reduction Act of 1980 (44 U.S.C. 3501-3520) requires 
that Federal agencies obtain approval from the Office of Management and 
Budget before collecting information from ten (10) or more members of 
the public. Individuals are not required to respond to information 
collection unless the OMB number and burden estimate information is 
provided. Accordingly, the information and recordkeeping requirements 
contained in this regulation have been approved by OMB under OMB 
Control Number 1405-0050. The information and recordkeeping 
requirements for Form DS-4053, Department of State Mentor-
Prot[eacute]g[eacute] Program Application, have been approved by OMB 
under OMB Control Number 1405-0161.


0
3. In section 601.301, paragraph (a) is revised to read as follows:


601.301   Policy.

    (a) The Assistant Secretary of State for Administration is the 
agency head for the purposes of FAR 1.301. The Assistant Secretary of 
State for Administration redelegated to the Procurement Executive the 
authority to prescribe, promulgate, and amend DOS acquisition policies, 
rules, and regulations.
* * * * *


0
4. In section 601.302, revise paragraph (b) to read as follows:


601.302   Limitations.

* * * * *
    (b) At posts where Joint Administrative Offices have been formed 
and DOS is the procurement agency, the FAR and DOSAR apply to all 
administrative and technical support acquisitions.


601.603-70   [Redesignated as 601.601-70]


0
5. Redesignate section 601.603-70 as section 601.601-70.


0
6. Revise newly redesignated section 601.601-70 as follows:
0
a. Revise paragraph (b)(5);
0
b. Redesignate paragraph (a)(6) as paragraph (b)(8);
0
c. Revise newly redesignated (b)(8) and
0
d. Add paragraph (c).
    The revisions and addition read as follows:


601.601-70   Delegations of authority.

* * * * *
    (b) * * *
    (5) Bureau of International Narcotics and Law Enforcement Affairs. 
The authority to enter into and administer simplified acquisition 
transactions under FAR part 13, to enter into and administer contracts 
over the simplified acquisition threshold but not exceeding $500,000 
for non-commercial item acquisitions; up to $6.5 million for the 
acquisition of commercial items using the simplified acquisition 
procedures under the Test Program of FAR subpart 13.5; orders against 
existing contracts up to the maximum ordering threshold or limitation 
and personal services contracts pursuant to the Foreign Assistance Act 
of 1961, as amended; and, 48 CFR Chapter 7, Agency for International 
Development Acquisition Regulation (AIDAR), including any amendments 
thereto. INL follows the AIDAR guidance for doing personal service 
contracts. All other contracting actions follow the DOSAR and DoS 
regulations. These authorities extend to any acquisition performed by 
any Department of State contracting activity on behalf of INL.
* * * * *
    (8) Regional Procurement Support Offices. The authority to enter 
into and administer contracts for the expenditure of funds involved in 
the acquisition of supplies, equipment, publications, and services on 
behalf of overseas posts is delegated to each Director, Regional 
Procurement Support Office (RPSO) at the following locations:
    (i) RPSO Frankfurt in conjunction with Consulate General Frankfurt; 
and
    (ii) RPSO Florida in conjunction with the Florida Regional Center.
    (c) Execution of delegated authority. (1) Whenever the contracting 
officer makes use of the various statutory authorities available to the 
Department to waive the application of the Federal Acquisition 
Regulation or laws governing acquisition, such as those provided in the 
Foreign Assistance Act (22 U.S.C. 2291) or the Foreign Service 
Buildings Act (22 U.S.C. 294), a written determination of the basis for 
using the authority must be prepared and included in the file.
    (2) If the statute or current practice of the requiring office does 
not specify a particular format, use the following format.

DETERMINATION FOR USE OF AUTHORITY TO WAIVE ____[fill in what is being 
waived]

SUBJECT: [State title of program or project]
DESCRIPTION OF REQUIREMENT: [Briefly describe what is being 
acquired]
STATUTORY AUTHORITY: [Cite specific statute, such as 22 U.S.C. 
2291(a)(4) for INL, and provide quotation from the law that conveys 
authority for the waiver at issue]
SCOPE OF WAIVER: [Describe what is being waived, such as (but not 
limited to) the Federal Acquisition Regulation (FAR) in its 
entirety, the Competition in Contracting Act as implemented in FAR 
Parts 5 and 6, or FAR Part 32 limitation on advance payments, etc.; 
also identify the individual acquisition or class of acquisitions 
for which the waiver is being sought.]
JUSTIFICATION: [Describe the need to use the authority and the 
anticipated impact of not doing so; discuss alternatives considered, 
if any]

CONCURRENCE:

-----------------------------------------------------------------------
Contracting Officer
-----------------------------------------------------------------------
 Date
-----------------------------------------------------------------------
Legal Advisor
-----------------------------------------------------------------------
 Date

-----------------------------------------------------------------------
APPROVAL/SIGNATURE:

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

Approving Official

-----------------------------------------------------------------------
 Date

    (3) The determination may be made for an individual acquisition or 
on a class basis, as appropriate. The Contracting Officer must ensure 
that the proper official makes the determination in question. There may 
already be a Department of State delegation of

[[Page 6914]]

authority to a specific individual to make the determination.

0
7. Add sections 601.602-3 and 601.602-3-70 as follows:


601.602-3   Ratification of unauthorized commitments.

    (b) Policy. (1) The Government generally is not bound by 
unauthorized commitments. Unauthorized commitments violate the Federal 
Property and Administrative Services Act, other Federal laws, the FAR, 
the DOSAR, and proper acquisition practice. Therefore, such 
unauthorized commitments are serious violations that could result in 
disciplinary action against the transgressor, e.g., withdrawal of a 
contracting officer's warrant or a Contracting Officer's Representative 
delegation or collection action.
    (2)(i) Unauthorized commitments not exceeding $1,000. The head of 
the contracting activity is delegated the authority to serve as the 
ratifying official for unauthorized commitments not exceeding $1,000, 
including unauthorized commitments from other agencies where a DOS 
employee serves as the contracting officer for that action. The head of 
the contracting activity may refer any actions not exceeding $1,000 to 
the DOS Procurement Executive for ratification if he or she so chooses.
    (ii) Unauthorized commitments exceeding $1,000. All DOS 
unauthorized commitments in excess of $1,000 shall be submitted to the 
DOS Procurement Executive for ratification. Unauthorized commitments in 
excess of $1,000 from other agencies may be referred to the other 
agency's representative at post for resolution in accordance with that 
agency's ratification process.
    (3) Claims. Unauthorized contractual commitments that would involve 
claims subject to resolution under the Contracts Dispute Act of 1978 
shall be processed in accordance with FAR subpart 33.2 and subpart 
633.2.
    (4) Disciplinary action. The Procurement Executive may refer 
egregious cases of unauthorized commitments to HR/ER for possible 
disciplinary action in accordance with 3 FAM 4370 or 3 FAM 4540. 
Examples might include repeated unauthorized commitments knowingly made 
by an employee; failure to take responsibility for a deliberate 
unauthorized commitment; or similar reasons. The Procurement Executive 
may revoke the appointment certificate of any contracting officer who 
makes an unauthorized commitment. The Procurement Executive may direct 
a contracting officer to revoke the appointment memorandum of a 
Contracting Officer's Representative or Government Technical Monitor 
who makes an unauthorized commitment.


601.602-3-70   Procedures.

    (a)(1) The person who made the unauthorized commitment shall submit 
all records and documents concerning the unauthorized commitment to the 
contracting officer assigned the ratification action. That person shall 
provide a complete written, signed statement of the facts, including 
why normal acquisition procedures were not followed; a statement 
justifying a sole source acquisition (Justification for Other Than Full 
and Open Competition) if the unauthorized commitment exceeds $100,000; 
why and how the vendor was selected; a list of other sources 
considered; a description of work or products; a statement regarding 
the status of performance; an estimated or agreed price; certified 
funding citations; a statement as to why he/she should not be 
personally liable for the cost, e.g., a public purpose was served and 
no personal benefit was received; a statement as to whether the 
individual has ever been responsible for any other unauthorized 
commitments in the Department of State; and, a statement as to the 
number of unauthorized commitments processed by the responsible office 
within the last three calendar years and the circumstances surrounding 
each of these actions.
    (2) When the person who made the unauthorized contractual 
commitment is no longer available to attest to the circumstances of the 
unauthorized commitment, an officer from the responsible office shall 
accomplish the requirements of this paragraph; the statement shall 
identify the individual responsible for the unauthorized commitment.
    (3) In addition, a cognizant management official from the office 
that employed the individual who made the unauthorized commitment at 
the time the unauthorized commitment was made shall provide a statement 
detailing actions that he/she will take to ensure that such commitments 
will not occur again under the same or similar circumstances.
    (4) This statement shall be cleared by the Executive Director of 
the Bureau that employs (or employed) the person who made the 
unauthorized commitment.
    (b) The contracting officer assigned the ratification action shall 
prepare and execute a recommendation to the ratifying official. The 
contracting officer shall either recommend that the ratifying official 
approve and ratify the unauthorized commitment; or, disapprove the 
ratification of the unauthorized commitment.
    (1) The recommendation shall include the facts and circumstances of 
the unauthorized commitment; the information prescribed in FAR 1.602-
3(c)(1) and (c)(3) through (6); and a recommendation to the ratifying 
official as to whether the unauthorized commitment should be ratified.
    (2) Following the signature of the contracting officer, the 
recommendation shall include a statement that the ratifying official 
could have granted authority to enter into a contractual commitment at 
the time it was made and still has the authority to do so; that the 
ratifying official hereby ratifies (or disapproves) the unauthorized 
commitment in the amount specified; and a date and signature block for 
the ratifying official.
    (c) The information required in paragraph (b)(1) of this section 
shall be supported by factual findings included or referenced in the 
recommendation.
    (d) The contracting officer shall submit the complete file to the 
ratifying official. For actions exceeding $1,000, the file shall be 
submitted through the head of the contracting activity to the 
Procurement Executive.
    (e) Upon receipt and review of the complete file, if the ratifying 
official ratifies the unauthorized commitment, the file shall be 
returned, through the head of the contracting activity if the action 
exceeds $1,000, to the contracting officer for issuance of the 
appropriate contractual document(s). If the request for ratification is 
not justified, the ratifying official shall return the request to the 
head of the contracting activity (if over $1,000) or to the contracting 
officer (if under $1,000) with a written explanation for the decision 
and a recommendation for disposition of the action.

0
8. Revise the section 601.603 heading to read as follows:


601.603  Selection, appointment, and termination of appointment for 
contracting officers.

* * * * *


601.603-1  [Amended]

0
9. In section 601.603-1, remove ``http://foia.state.gov/REGS/search.asp'' and add ``http://www.state.gov/m/a/dir/regs/fah/14fah03/index.htm'' in its place.

0
10. In section 601.603-3, add paragraph (e) to read as follows:


601.603-3  Appointment.

* * * * *
    (e) Real property leases. The FAR and DOSAR do not apply to leases 
of real

[[Page 6915]]

property. A contracting officer certificate of appointment is not 
required. Authority to sign real property leases is as follows:
    (1) Domestic real property leases. The General Services 
Administration has delegated domestic leasing authority to the 
Department of State's Office of Real Property Management (A/OPR/RPM). 
This delegation is accomplished on a case-by-case basis.
    (2) Real property leases abroad. Authority to sign real property 
leases abroad is held by the Director/Chief Operating Officer (DIR/COO) 
of the Bureau of Overseas Buildings Operations (OBO), through the 
Secretary of State, under the Foreign Buildings Act of 1926, as amended 
(22 U.S.C. 292 et seq.). Leases at post may be executed by the General 
Services Officer or by other post administrative personnel as 
authorized by OBO.

PART 603--IMPROPER BUSINESS PRACTICES AND PERSONAL CONFLICTS OF 
INTEREST


603.104-4  [Amended]

0
11. Amend section 603.104-4 as follows:
0
a. In paragraph (a), remove ``who is the agency head's designee''; and
0
b. In paragraph (a)(6), remove ``A/SDBU'' and add in its place 
``OSDBU''.

PART 604--ADMINISTRATIVE MATTERS

0
12. Add subpart 604.2, consisting of section 604.202, to read as 
follows:

Subpart 604.2--Contract Distribution


604.202  Agency distribution requirements.

    As necessary, the contracting officer shall distribute copies of 
the signed contract or modification to those officers/offices involved 
in contract administrative support functions, e.g., the Contracting 
Officer's Representative; the requirements office; the Post 
Occupational Safety and Health Officer (POSHO); the Despatch Agent or 
other receiving activity, particularly if it is the initial point of 
contact for receipt of goods or services; the financial management 
office; and each post or office where the contract shall be performed. 
Where required by the laws of a foreign country, overseas posts shall 
retain the original copy of the contract or modification awarded by a 
domestic contracting activity for performance overseas. The contracting 
officer shall send copies of contracts and modifications awarded as 
small business or 8(a) set-asides to OSDBU.

0
13. Add subpart 604.8 to read as follows:
Subpart 604.8--Government Contract Files
604.802 Contract files.
604.803 Contents of contract files.
604.803-70 Contract file table of contents.
604.804 Closeout of contract files.
604.804-70 Contract closeout procedures.
604.805 Storage, handling, and disposal of contract files.

Subpart 604.8--Government Contract Files


604.802  Contract files.

    Heads of contracting activities shall maintain standard procedures 
to conform to FAR 4.802 for file location and maintenance.
    (f) Electronic files. Offices may maintain files in electronic 
media provided all documentation is maintained as required by FAR 
subpart 4.8. Electronic files dispersed in multiple locations, or 
maintained with no naming convention, do not constitute adequate 
electronic records.


604.803  Contents of contract files.


604.803-70  Contract file table of contents.

    (a) It is the Department's policy that all contracts, regardless of 
dollar value, be properly documented so as to provide a complete record 
of: pre-solicitation activities; the solicitation, evaluation, and 
award process; and, the administration of the contract through 
closeout.
    (b) All domestic contracting activities awarding contracts using 
other than simplified acquisition procedures shall use the format of 
Form DS-1930, Domestic Contract File Table of Contents, and all 
overseas contracting activities shall use the format of Form DS-1929, 
Overseas Contract File Table of Contents, unless an alternate format 
has been approved by A/OPE.
    (c) Each table of contents is organized in chronological order, 
with six separate sections for each of the six parts of the file folder 
(from Section I, Pre-Solicitation, through Section VI, Contract and 
Modifications/Contract Closeout). Alternatively, for ease of contract 
administration, offices may choose to organize contract files with 
Section VI of the table of contents at the beginning of the folder, 
with Section I at the back of the folder.
    (d) The format of Form DS-1928, Contract Administration File Table 
of Contents, may be used by those offices that prefer to have a 
separate file folder for contract modifications or delivery/task 
orders.


604.804  Closeout of contract files.


604.804-70  Contract closeout procedures.

    (a) This section sets forth procedures for closing out contracts 
awarded using other than simplified acquisition procedures by 
contracting activities and requirements offices. It is the Department's 
policy to close out contracts in the time frames prescribed by FAR Part 
4.
    (b) Contracting activities are responsible for initiating each 
contract closeout. Contracting activities and requirements offices are 
jointly responsible for timely compliance with required contract 
closeout procedures.
    (c) The contract closeout process shall begin as soon as possible 
after the contract is physically completed, which means that the 
contractor has delivered the required supplies and the Government has 
inspected and accepted them, or the contractor has performed and the 
Government has accepted all services required by the contract, and the 
base period and any option periods exercised have expired.
    (d) Specific procedures. The normal steps for closing out a 
physically completed contract shall be as follows. These steps are 
summarized in the Contract Closeout Checklist, which shall be completed 
by the contracting officer and included in the contract file. The 
contracting officer shall indicate any items that are not applicable 
(e.g., patent reports, royalty reports, etc.).
    (1) The contracting officer shall verify that all work under the 
contract has been completed; obtain the COR's assessment of the 
contractor's performance; and conduct an initial funds status review, 
i.e., determine if the contract has excess funds that should be 
deobligated by contract modification. Contracting officers shall send a 
cover memo to the COR, to which should be attached the COR Completion 
Certificate, the applicable performance evaluation form (depending on 
whether the contract is for construction (SF-1420), architect-
engineering services (SF-1421), or other supplies or services (DS-1771, 
Contractor Evaluation Statement)); and, a final payment and closeout 
memorandum. Contracting officers may require CORs to input past 
performance data directly into the Contractor Performance Assessment 
Reporting System (CPARS) as opposed to completing a paper evaluation 
form (see 642.1503-70).
    (2) After receipt of the COR's response, and the contractor's 
release, the contracting officer shall send a final payment memo to the 
office responsible for payment of invoices/vouchers.
    (3) An audit is required for cost-reimbursement contracts over 
$550,000, unless available data are considered adequate for a 
reasonableness determination, in which case the

[[Page 6916]]

contract file shall be documented with the appropriate rationale. 
Requests for audits shall be submitted through the Office of the 
Inspector General. Cost-reimbursement contracts may be closed after 
receipt of the audit report and resolution of any issues raised. Quick 
closeout procedures may be followed, as prescribed in FAR 42.708. The 
contracting officer may request an audit of any contract, if warranted; 
however, audits should not be requested if the cost of the audit is 
likely to exceed potential cost recovery, except where fraud or 
misrepresentation is suspected.
    (4) The contracting officer shall send a letter to the contractor 
requesting release of claims, using the appropriate format. In 
addition, a Contractor Assignment Letter is required for certain 
contracts. To determine which format is applicable, contracting 
officers shall refer to the Payments clause in the contract.
    (5) The contracting officer shall reconcile the contract 
obligations and contractor payments, and then deobligate any excess 
funds remaining in the contract by issuing a contract modification on a 
SF-30. Close coordination with the finance office is necessary in order 
to receive the required information to perform a funds status review.
    (6) The contracting officer shall verify that all relevant 
documentation is included in the contract file (see 604.803-70).
    (7) Upon completion of 8(a) contracts, the contracting officer 
shall complete the Small Business Administration's Contract Completion 
Form within ten (10) days of contract completion. One copy shall be 
forwarded to SBA, one copy shall be retained in the contract file, and 
one copy shall be sent to OSDBU.
    (8) For classified contracts, the contractor is required to return 
to the Department all classified material received or generated under 
the contract, or to destroy all classified material, unless retention 
is requested and authorized by the Department. The contracting officer 
shall notify DS/PRD/IN of contract completion, final delivery of goods 
or services or the termination of the classified contract. The 
contracting officer shall ensure that any classified material contained 
in the contract file is properly marked and accounted for.
    (9) Closeout documents are available on the Intranet at the A/OPE 
Web site.
    (e) Contract files that have been closed out shall be retained in 
accordance with the schedule in FAR 4.805.
    (f) Contract files for contracts using simplified acquisition 
procedures are considered closed when the contracting officer receives 
evidence of property/services and final payment. Disposal of such files 
shall be as prescribed in FAR 4.805.


604.805  Storage, handling, and disposal of contract files.

    Heads of contracting activities shall prescribe procedures for 
handling, storing, and disposing of contract files. Additional guidance 
on records management may be found in 5 FAM.

Subpart 604.13 Personal Identity Verification

0
14. Revise the subpart 604.13 heading to read as set forth above.


604.1300 and 604.1301  [Redesignated as 604.1301 and 604.1303]

0
15. Redesignate sections 604.1300 and 604.1301 as sections 604.1301 and 
604.1303, respectively.


604.1301-70  [Redesignated as 604.1303-70]

0
16. Redesignate section 604.1301-70 as 604.1303-70 and revise it to 
read as follows:


604.1303-70  DOSAR contract clause.

    The contracting officer shall insert the clause at 652.204-70, 
Department of State Personal Identification Card Policy and Procedures, 
in solicitations and contracts that require contractor employees to 
perform on-site at a DOS location and/or that require contractor 
employees to have access to DOS information systems.

0
17. Add subparts 604.16, 604.70, 604.71, and 604.72 to read as follows:

Subpart 604.16--Unique Procurement Instrument Identifiers


604.1601  Policy.

    (c)(1) Procurement Instrument Identifier (PIID). Uniform numbers 
shall be assigned to all DOS procurement instruments, domestic and 
overseas. The numbering system applies to all contracts, purchase 
orders, and other related instruments, including solicitation documents 
and delivery orders. This includes instruments executed by DOS 
contracting officers on behalf of other federal agencies. It does not 
include requisitions submitted to a contracting activity, or to 
instruments awarded under Federal assistance arrangements, e.g., 
grants, cooperative agreements, and loans. Numbers shall be placed in 
appropriate spaces on government forms and appear on all documentation 
intended to support official contract files.
    (2) Responsibility. Heads of contracting activities are responsible 
for enforcing compliance with the uniform numbering system. Heads of 
contracting activities shall develop and maintain a system for 
assigning and recording contract numbers that conforms to this section.
    (3) Instrument identification numbers. A 13-character ``alpha-
numeric'' designator shall be assigned to all DOS procurement 
instruments. Positions (beginning at the left) one through six shall 
identify the purchasing office; positions seven and eight, the fiscal 
year in which the number is assigned; position nine, a symbol 
designating a type of procurement instrument; and positions ten through 
thirteen, a four-position serial number.
    (i) The first six positions shall commence with ``S'' to designate 
a DOS-issued contract. The remaining five characters shall identify the 
activity preparing the instrument. Domestic and overseas contracting 
activities shall assign the character codes using the five-digit 
designator from the listing at http://www.aopeprocurementreports.com/ReportServer_OPEMS2008/Pages/ReportViewer.aspx?%2fDOSReport%2fPostCodeList&rs:Command=Render. DOS 
organizations not listed shall contact A/OPE for assignment of an 
office code.
    (ii) The seventh and eighth positions shall be the last two digits 
of the fiscal year in which the number is assigned.
    (iii) The ninth position shall be a capital letter assigned to 
indicate the type of instrument, as follows:

------------------------------------------------------------------------
 
------------------------------------------------------------------------
(A) Blanket Purchase Agreement..................................      A
(B) Invitation for Bids.........................................      B
(C) Contract (includes letter contracts, contracts incorporating       C
 basic agreements and basic ordering agreements)................
(D) Indefinite Delivery Contract................................      D
(E) Reserved. Do not use........................................      E
(F) Delivery/Task Order (includes orders placed against all U.S.      F
 Government contracts, whether issued by DOS or another agency).
(G) Basic Ordering Agreement....................................      G
(H) Basic Agreement.............................................      H
(I) Request for Information/Comment.............................      I
(J) Reserved. Do not use........................................      J
(K) Reserved. Do not use........................................      K
(L) Orders under Blanket Purchase Agreements....................      L
(M) Purchase Order..............................................      M
(N) Reserved. Do not use........................................      N
(O) Do not use this letter......................................      O
(P) Personal services contract..................................      P
(Q) Request for Quotations......................................      Q
(R) Request for Proposals.......................................      R
------------------------------------------------------------------------


[[Page 6917]]

    (iv)(A) The tenth through thirteenth positions shall be the serial 
number for the instrument. A separate set of serial numbers may be used 
for any type of instrument listed in paragraph (c)(3)(iii) of this 
section. Each series of numbers for the same activity shall begin with 
the number 0001 at the start of each fiscal year.
    (v)(A) The following illustrates a properly configured contract 
number for the first number assigned to a fiscal year 2015 contract 
awarded by the Department of State, Embassy Ottawa: SCA525-15-C-0001
    (B) Use of the dashes to separate the individual elements of the 
series is optional; however, when reporting individual contract actions 
to the Federal Procurement Data System (see FAR subpart 6.4), dashes 
shall not be used.
    (C) Contracting activities are authorized to use the first digit of 
the serial number (position 10) to establish discrete series of 
numbers. For example, the ``1000'' series may be reserved for Bureau of 
Consular Affairs requirements (domestic), or the ``1000'' series may be 
reserved for Economic section requirements (overseas). Use of discrete 
series is appropriate generally for activities handling large numbers 
of transactions and can provide useful management information.
    (4) Solicitation amendment and contract modification numbers. 
Solicitation amendments are to be numbered sequentially, beginning with 
the alpha designator ``A,'' e.g., A001. Contract modifications shall 
also be numbered sequentially, beginning with the alpha designator 
``M,'' e.g., M001.
Subpart 604.70--Contract Review
604.7001 Policy.
604.7002 Procedures.

Subpart 604.70--Contract Review


604.7001  Policy.

    The contracting officer shall review each proposed contractual 
document and its supporting file for completeness and accuracy. Each 
contract file shall contain all pertinent information applicable to the 
proposed action. Each contract file should be in sufficient detail to 
permit reconstruction of all significant events by any subsequent 
reviewer without referral to the individual responsible for the 
contractual action.


604.7002  Procedures.

    (a) Overseas contracting activities. (1) A/OPE reviews all 
procurements that exceed the warrant levels of post contracting 
officers. Post contracting officers may request A/OPE review and 
assistance for transactions below this level.
    (2) Personal services agreements. Prior A/OPE approval is not 
applicable to personal services agreements, as they are not subject to 
procurement statute and regulation.
    (b) Domestic contracting activities and Regional Procurement 
Support Offices. A/OPE reviews domestic acquisitions as described in 
the A/LM/AQM Quality Assurance Plan.
    (c) Delegation or waiver. The Procurement Executive may delegate or 
waive the review requirements. In such instances, the Procurement 
Executive shall provide to each head of the contracting activity, as 
appropriate, a written delegation or waiver of these requirements.
Subpart 604.71--Procurement Quality Assurance Program
604.7101 Purpose.
604.7102 Contracting activity reviews.
604.7102-1 Peer reviews.
604.7102-2 Form and scope of review
604.7102-3 Approval.
604.7103 Review by Assistant Legal Adviser for Buildings and 
Acquisitions (L/BA).

Subpart 604.71--Procurement Quality Assurance Program


604.7101  Purpose.

    A procurement quality assurance program is essential to the 
effective operation of each domestic contracting activity. Each 
domestic contracting activity and RPSO shall develop a quality 
assurance plan for review and approval of contract actions to ensure 
that all requirements of law, regulation, Departmental policy, and 
sound procurement practices are met, the taxpayer's interests are 
adequately protected, and the Department's mission is well-served. Post 
quality assurance includes A/OPE review of actions exceeding warrant 
levels and Staff Assistance Visits (SAVs).


604.7102  Contracting activity reviews.


604.7102-1  Peer reviews.

    All contract actions above the simplified acquisition threshold 
shall be independently reviewed by at least one other qualified 
contracting professional. This includes solicitations, contracts, 
contract modifications, and delivery/task orders. This requirement is 
waived for overseas posts and RPSOs that have only one qualified 
contracting professional.


604.7102-2  Form and scope of review

    (a) The review shall focus on both compliance with statutory/
regulatory requirements as well as good contracting practices. Reviews 
shall be included in the official contract file along with 
documentation regarding the actions taken in response to the review.
    (b) Reviews should be limited in time to prevent unnecessary 
procurement lead-time, but thorough in scope, considering all documents 
in the contract file and all relevant contracting issues. Checklists 
may be used to facilitate a thorough review, as appropriate.


604.7102-3  Approval.

    The solicitation, contract, or contract modification being reviewed 
shall not be issued until all review comments requiring corrective 
action are satisfactorily resolved. Waivers shall not be granted except 
in unusual circumstances, and shall be approved in advance by the head 
of the contracting activity.


604.7103  Review by Assistant Legal Adviser for Buildings and 
Acquisitions (L/BA).

    (a) L/BA shall review solicitations, contract awards, and delivery 
orders against GSA Federal Supply Schedule contracts exceeding $1 
million that are generated by domestic contracting activities, 
including RPSOs. L/BA shall also review domestic contract modifications 
exceeding $1 million if the scope or ceiling of the contract may be in 
question. This review is not required for modifications exercising 
priced options, incremental funding modifications, and similar actions 
that do not involve questions regarding the scope or ceiling of the 
contract.
    (b) L/BA shall also review and approve any nonpersonal services 
contract, purchase order or blanket purchase agreement to be awarded to 
an individual who is a U.S. citizen.

Subpart 604.72--Secure Procurement for Controlled Access Areas


604.7201  Policy.

    A/LM issues procedures for the acquisition of secure items that are 
needed by overseas posts. Posts shall contact A/LM/AQM regarding secure 
procurement matters, and shall consult the periodic guidance issued by 
A/LM on this subject.

PART 605--PUBLICIZING CONTRACT ACTIONS

Subpart 605.2--Synopses of Proposed Contract Actions

0
18. Revise the subpart 605.2 heading to read as set forth above.

0
19. Add section 605.207 to read as follows:

[[Page 6918]]

605.207  Preparation and transmittal of synopses.

    (a)(1) Contracting officers at overseas posts shall submit notices 
of proposed contract actions to A/OPE for electronic transmittal to the 
GPE. Alternately, posts may obtain a user ID and password that allows 
direct registration and issuance of the notice in the GPE. Posts should 
contact A/OPE for assistance in obtaining the ID and password if they 
choose to directly input the notice information.

0
20. Revise the heading of section 605.403 to read as follows:


605.403  Requests from Members of Congress.

* * * * *

PART 606--COMPETITION REQUIREMENTS

0
21. Revise the heading of section 606.202 to read as follows:


606.202  Establishing or maintaining alternative sources.

* * * * *


606.302-6  [Amended]

0
22. In section 606.302-6, in paragraph (c)(1) introductory text, remove 
``12958'' and add in its place ``13526'' in two places and remove 
``Office of Security Infrastructure'' and add in its place ``Security 
Infrastructure Directorate''.

0
23A. Add section 606.303 heading to read as follows:


606.303  Justifications.

* * * * *

0
23B. Add section 606.303-2 to read as follows:


606.303-2  Content.

    (a) All justifications shall address the requirements of FAR 6.303-
2. A sample Justification for Other than Full and Open Competition for 
acquisitions by both overseas posts and domestic contracting activities 
is available on the A/OPE Intranet Web site. Use of the format for 
overseas posts is mandatory; domestic contracting activities may 
develop their own format based on the sample. In addition, sample 
formats are provided for posts to justify motor vehicle and household 
appliance purchases made in accordance with the Department's 
standardization program (see 606.370(b)). All applicable approvals are 
as indicated on the formats. The justification must be completed and 
signed by the appropriate individuals.
    (b)(9) All justifications for acquisitions exceeding $5 million 
shall include a copy of the acquisition plan, as required by 
607.103(d).


606.304  [Amended]

0
24. Amend section 606.304 as follows:
0
a. In paragraph (a)(2), remove ``over $550,000 but not exceeding $11.5 
million'' and add in its place ``within the dollar range set forth in 
FAR 6.304(a)(2)'' and remove ``competition advocate'' and ``Competition 
Advocate'' and add in their place ``advocate for competition'' and 
``Advocate for Competition'', respectively; and
0
b. Remove paragraph (d).


606.304-70  [Amended]

0
25. In section 606.304-70, remove ``Competition Advocate'' and add in 
its place ``Advocate for Competition''.


606.370  [Amended]

0
26. In section 606.370, in paragraphs (a) and (b), remove ``41 U.S.C 
253(c)(1),'' and add in its place ``41 U.S.C. 3304(a)(1)'' and in two 
places in paragraph (b), remove ``competition advocate'' and add in its 
place ``advocate for competition''.


606.501  [Amended]

0
27A. In section 606.501, in paragraphs (a) and (b), remove 
``Competition Advocate'' and add in its place ``Advocate for 
Competition'' and in three places in paragraph (b), remove 
``competition advocate'' and add in its place ``advocate for 
competition''.


606.501-70  [Amended]

0
27B. In section 606.501-70, remove ``competition advocate'' and add in 
its place ``advocate for competition''.


606.570  [Amended]

0
28. In section 606.570, remove ``Competition Advocate'' and add in its 
place ``Advocate for Competition''.

PART 607--ACQUISITION PLANNING

0
29. Add section 607.102 to read as follows:


607.102  Policy.

    It is the Department's policy that every acquisition be conducted 
and the contract file documented in conformance with the requirements 
for acquisition planning pursuant to FAR part 7.

0
30. In Sec.  607.103, add paragraphs (d) and (j) to read as follows:


607.103  Agency-head responsibilities.

* * * * *
    (d) Domestic requirements offices must develop a formal, written 
acquisition plan for all acquisitions exceeding $5 million. This 
includes base period plus all option years. The plan shall address the 
content requirements of FAR 7.105.
    (j) Acquisition plans for service contracts with an anticipated 
annual expenditure exceeding $25 million must be approved by the bureau 
Assistant Secretary.

0
31. Add section 607.105 to read as follows:


607.105  Contents of written acquisition plans.

    (b)(10) Acquisition Plans for support of contract administration 
and other tasks closely related to inherently governmental functions 
must include a determination that the services being requested are not 
inherently governmental and a risk mitigation strategy. Procurement 
Information Bulletin (PIB) 2011-11, Attachment 1, lists functions 
requiring additional oversight and potential mitigation strategies.
    (b)(19) Acquisition Plans must include planning for contract 
administration. Planning shall be developed by the bureau technical 
program office and should consider an initial assessment of resources 
required for contractor oversight, support, travel and communications. 
Planning should take into account the need for multiple technical 
monitors based on geographic dispersion and multiple technical 
disciplines. Program offices must identify financial and other 
resources that are reserved for implementation of contract 
administration.

0
32. Add subpart 607.5, consisting of section 607.503, to read as 
follows:

Subpart 607.5--Inherently Governmental Functions


607.503  Policy.

    (e) Requirements offices shall provide to the contracting officer a 
written determination that none of the functions to be performed are 
inherently governmental. This determination shall be included with the 
procurement request package, which is transmitted to the contracting 
officer to initiate an action. The Form DS-4208 may be used to meet 
this requirement. The contracting officer shall obtain review from the 
Assistant Legal Adviser for Buildings and Acquisitions (L/BA) of any 
request package that the contracting officer determines raises 
substantial questions as to the performance of inherently governmental 
functions. Disagreements regarding the determination shall be resolved 
by the head of the contracting activity.

0
33. Add part 608 to read as follows:

[[Page 6919]]

PART 608--REQUIRED SOURCES OF SUPPLIES AND SERVICES

Subpart 608.8--Acquisition of Printing and Related Services
608.802 Policy.
Subpart 608.70--Acquisition of Official Vehicles by Overseas 
Contracting Activities
608.7001 Definitions.
608.7002 Acquisitions for the Department of State.
608.7003 Acquisitions on behalf of other Federal agencies.

    Authority: 22 U.S.C. 2651a, 41 U.S.C. 1702 and 48 CFR chapter 1.

Subpart 608.8--Acquisition of Printing and Related Services


608.802  Policy.

    (a)(4) In accordance with Section 2(a) of the State Department 
Basic Authorities Act of 1956, as amended (22 U.S.C. 2669), overseas 
printing and binding services may be acquired from sources other than 
the Government Printing Office.
    (b) The DOS central printing authority is the Director, Global 
Publishing Solutions under the Deputy Assistant Secretary for Global 
Information Services.

Subpart 608.70--Acquisition of Official Vehicles by Overseas 
Contracting Activities


608.7001  Definitions.

    Official vehicle means a U.S. Government-owned or leased motor 
vehicle that is fueled by petroleum or electric batteries, has a 
minimum of four wheels, and is designed primarily for use on highways, 
such as sedans, station wagons, buses, carryalls, and trucks.


608.7002  Acquisitions for the Department of State.

    (a) A/LM funds and controls the acquisition of official vehicles 
required by overseas posts. Accordingly, any acquisition of official 
vehicles by overseas contracting activities must be approved and 
authorized in advance by A/LM.
    (b) GSA is the mandatory source for U.S. manufactured vehicles 
acquired in the United States. Purchase requests are submitted by A/LM 
to GSA on behalf of overseas posts. Overseas posts shall use U.S. 
manufactured vehicles unless justified as described in paragraph (c) of 
this section.
    (c) Overseas posts may acquire non-U.S. manufactured vehicles only 
in special cases that are approved in advance. Requests to purchase 
non-U.S. manufactured vehicles may be justified under the conditions 
specified in 6 FAM 228.9-3(B)(c). The request shall be submitted to A/
LM for approval. If approval is granted to acquire non-U.S. 
manufactured vehicles from the local economy, overseas posts shall 
follow the normal procedures in the FAR.
    (d) Standardization of motor vehicles shall follow the procedures 
in 606.370.


608.7003  Acquisitions on behalf of other Federal agencies.

    (a) Acquisition of U.S. manufactured vehicles. (1) GSA is the 
mandatory source for official vehicles purchased in the United States 
for all Federal agencies. Non-DOS agencies must have a waiver from GSA 
that allows them to acquire official vehicles from sources in the 
United States other than GSA, in accordance with the Federal Property 
Management Regulation, 41 CFR 101-38.104.
    (2) DOS overseas contracting activities shall not obtain GSA 
waivers or acquire vehicles through GSA or directly from sources in the 
United States on behalf of other agencies. Requests to acquire vehicles 
in this manner shall be returned to the requesting agency without 
action, and the agency instructed to use its own contracting personnel 
or GSA for this purpose.
    (b) Acquisition from non-U.S. sources. No GSA waiver is required 
for official vehicles purchased outside the United States from non-U.S. 
sources. Normal acquisition procedures shall be followed. However, 
contracting officers should be aware that statutory ceilings apply to 
the acquisition of passenger vehicles (i.e., sedans and station wagons) 
(see P.L. 103-329), so other agencies shall not request that posts 
acquire vehicles without providing an analysis of how the price 
compares with this ceiling.

PART 609--CONTRACTOR QUALIFICATIONS

0
34. Add section 609.402 to subpart 609.4 to read as follows:


609.402  Policy.

    The Procurement Executive is the agency head's designee to be the 
debarring official and the suspending official.


609.403  [Amended]

0
35. In section 609.403, remove the definitions of ``Debarring 
official'' and ``Suspending official.''

0
36. Revise sections 609.404 and 609.404-70 to read as follows:


609.404  System for Award Management Exclusions.

    A/OPE shall accomplish the agency responsibilities prescribed in 
FAR 9.404(c)(1) through (6). The authority to establish procedures 
prescribed in FAR 9.404(c)(7) is delegated, without power of 
redelegation, to the head of the contracting activity.


609.404-70  Specially Designated Nationals List.

    Contracting officers shall not award to any of the entities listed 
on the Specially Designated Nationals (SDN) List, available on the 
Department of Treasury's Office of Foreign Assets Control Web site at 
http://www.treas.gov/ofac/. Contracting officers shall consult this 
list prior to award for any dollar amount. This list is included in 
searches conducted on the System for Award Management (SAM) Web site at 
https://www.sam.gov.

PART 613--SIMPLIFIED ACQUISITION PROCEDURES

0
37. Add sections 613.302, 613.302-1, 613.302-5, and 613.302-5-70 to 
read as follows:


613.302  Purchase orders.


613.302-1  General.

    (d) The contracting officer shall distribute copies of each 
purchase order in conformance with subpart 604.2.


613.302-5  Clauses.

    The contracting officer shall ensure that the appropriate clauses 
prescribed in FAR part 13 are added or incorporated by reference on all 
purchase orders with both U.S. and foreign vendors.


613.302-5-70  DOSAR clauses.

    In addition to the appropriate FAR clauses, each purchase order 
shall incorporate all DOSAR clauses required for or applicable to the 
acquisition. The DOSAR clauses may be incorporated by reference.

0
38. Add section 613.303-1 to read as follows:


613.303-1  General.

    BPAs shall not be used to acquire pest control services.

0
39. Add section 613.303-6 to read as follows:


613.303-6  Review procedures.

    (a) Contracting officers shall conduct an annual internal review to 
ensure that authorized BPA procedures are being followed and report the 
results of the review, including needed corrective action, to the head 
of the contracting activity.

0
40. Add sections 613.307 and 613.307-70 as follows:

[[Page 6920]]

613.307  Forms.

    (b)(2) Other than commercial items. The OF-347 shall be mandatory 
for use by domestic contracting activities for issuing purchase orders, 
delivery orders, and BPAs, unless ordering against another Federal 
agency contract that stipulates a different form (e.g., DD-1155, Order 
for Supplies or Services:) or, unless the Procurement Executive has 
approved another form. The OF-347 may also be used as a voucher. In 
lieu of the OF-347, DOS overseas contracting activities may use the DS-
2076, Purchase Order, Receiving Report, and Voucher; and DS-2077, 
Continuation Sheet. Contracting activities may use the Optional Form 
(OF) 127, Receiving and Inspection Report, for documenting receipt and 
inspection.


613.307-70  File folders for purchase orders, delivery orders, blanket 
purchase agreements, and purchase card transactions.

    Contracting officers shall use Forms DS-1918, Purchase Order File; 
DS-1919, Delivery Order File; DS-1920, Blanket Purchase Agreement (BPA) 
File; and DS-3014, Purchase Card Transaction File (Actions Exceeding 
$3,000 Through $25,000), to record relevant data and document those 
acquisitions, respectively.

PART 615--CONTRACTING BY NEGOTIATION

0
41. In section 615.303, add a sentence to the end of paragraph (a) to 
read as follows:


615.303  Responsibilities.

    (a) * * * The HCA is delegated authority to appoint someone other 
than the contracting officer as source selection authority for a 
particular acquisition.

0
42. Add subpart 615.4 to read as follows:
Subpart 615.4--Contract Pricing
615.404 Proposal analysis.
615.404-4 Profit.

Subpart 615.4--Contract Pricing


615.404  Proposal analysis.


615.404-4  Profit.

    (b)(2) It is the Department's policy to use the structured approach 
for profit/fee analysis contained in the Department of Health and Human 
Services' (HHS) FAR Supplement (see 48 CFR chapter 3), for acquisitions 
awarded by domestic contracting activities and RPSOs. This document may 
be accessed from A/OPE's Acquisition Web site (see 601.105-3). 
Contracting officers shall follow these procedures. HHS Form 674, 
Structured Approach Profit/Fee Objective, or an equivalent form, may be 
used to document the profit/fee analysis. If more than one pre-
negotiation cost objective is developed (e.g., high and low), a 
separate form should be completed for each. The contracting officer 
shall ensure that a written explanation is attached to the form 
justifying the weights chosen for each cost category or factor. This 
approach considers the factors outlined in FAR 15.404-4(d).
    (c)(4)(i)(B) In accordance with a delegation from OBO, overseas 
posts may request a waiver from A/OPE if post is unable to negotiate a 
price for architect-engineer services within the six percent price 
limitation. To obtain a waiver, the contracting officer must send the 
following information to A/OPE:
    (1) Description of project;
    (2) Estimated dollar amount, with cost breakdown; and,
    (3) Description of negotiation efforts.

PART 616--TYPES OF CONTRACTS

0
43. Add subpart 616.1 as follows:
Subpart 616.1--Selecting Contract Types
616.102 Policies.
616.102-70 Overseas posts.
616.103 Negotiating contract types.

Subpart 616.1--Selecting Contract Types


616.102  Policies.


616.102-70  Overseas posts.

    Pursuant to 601.601-70(a)(1)(i), no authority is delegated to 
overseas posts to enter into cost-reimbursement, fixed-price incentive, 
or fixed-price redeterminable contracts, unless the Procurement 
Executive's approval is obtained. Such requests shall be submitted by 
the head of the contracting activity on a case-by-case basis.


616.103  Negotiating contract types.

    (d) The Procurement Executive has issued class determinations for 
the following categories of contracts awarded by overseas contracting 
activities: painting, vehicle insurance, vehicle rental, alarm 
installation, cell phone rental, janitorial, hotel and cost per copy 
services; gardening and maintenance services; and packing/shipping 
services. Copies may be found in the Overseas Contracting and 
Simplified Acquisition Guidebook. Contracting officers need not develop 
their own determinations provided that they use A/OPE's model 
solicitations. Contracting officers shall place a copy of the 
appropriate determination in the contract file.


616.505  [Amended]

0
44. In section 616.505, in paragraph (b)(5), remove the word 
``contract'' and remove ``Competition Advocate'' and add in its place 
``Advocate for Competition''.

PART 617--SPECIAL CONTRACTING METHODS


617.201 and 617.201-70  [Removed]

0
45. Remove sections 617.201 and 617.201-70.

PART 619--SMALL BUSINESS PROGRAMS


619.201  [Amended]

0
46. In section 619.201, in paragraphs (a), (b), (d)(18), and (f)(1), 
remove ``A/SDBU'' and add in its place ``OSDBU'';


619.202-70  [Amended]

0
47. Amend 619.202-70 as follows:
0
a. In paragraphs (e)(3), (j)(1), (j)(2), (k)(1), (k)(2), (m)(2), 
(m)(3), (m)(4), (n)(1) and (n)(2), remove ``A/SDBU'' and add in its 
place ``OSDBU'';
0
b. In paragraph (n)(2), revise the word ``recission'' to read 
``rescission''; and
0
c. In paragraph (o)(1), remove the phrase ``exceeding $500,000'' and 
add in its place ``exceeding $650,000'' and remove ``$1,000,000'' and 
add in its place ``$1,500,000''.


619.402-70  [Amended]

0
48. In section 619.402-70, remove ``A/SDBU'' and add in its place 
``OSDBU''.


619.506  [Amended]

0
49. In section 619.506, in paragraph (b), remove ``A/SDBU'' and add in 
its place ``OSDBU''.

Subpart 619.6--Certificates of Competency and Determinations of 
Responsibility

0
50. Revise the subpart 619.6 heading as set forth above.


619.602-1  [Amended]

0
51. In section 619.602-1, remove ``A/SDBU'' and add in its place 
``OSDBU''.


619.705-4  [Amended]

0
52. In section 619.705-4, remove ``A/SDBU'' and add in its place 
``OSDBU''.


619.705-6-70  [Amended]

0
53. In section 619.705-6-70, in paragraphs (a) and (b), remove ``A/
SDBU'' and add in its place ``OSDBU''.

[[Page 6921]]

619.803-70  [Amended]

0
54. In section 619.803-70, remove ``A/SDBU'' and add in its place 
``OSDBU''.


619.803-71  [Amended]

0
55. Amend 619.803-71 as follows:
0
a. In the introductory text, remove ``$100,000'' and add in its place 
``$150,000'' in both places it occurs;
0
b. In paragraph (b), remove ``Central Contractor Registration database 
(http://www.ccr.gov)'' and add in its place ``System for Award 
Management (https://www.sam.gov)''; and
0
c. In paragraph (d), in the second sentence, remove ``clause'' and 
``DOSAR Clause'' and in the last sentence, remove ``A/SDBU and add in 
its place ``OSDBU''.

0
56. Revise section heading for 619.804-3-70 to read as follows:

SBA Acceptance Under MOUs for Acquisitions Exceeding $150,000.

* * * * *


619.805-2  [Amended]

0
57. In 619.805-2, in paragraph (b), remove ``$100,000'' and add in its 
place ``$150,000''.


619.811-1  [Amended]

0
58. In 619.811-1:
0
a. In paragraph (d)(1), remove ``41 U.S.C 253(c)(5),'' and add in its 
place ``41 U.S.C. 3304(a)(5)'';
0
b. In paragraph (d)(2), remove the word ``DOSAR'';
0
c. In paragraph (d)(3), remove ``$100,000'' and add in its place 
``$150,000''; and
0
d. In paragraph (d)(4), remove ``A/SDBU and add in its place ``OSDBU''.


619.811-3  [Amended]

0
59. In section 619.811-3, in paragraph (d), remove ``$100,000'' and add 
in its place ``$150,000'' and in paragraph (e), remove ``DOSAR''.


619.812  [Amended]

0
60. In section 619.812, in paragraph (d), remove ``DOSAR''.

0
61. Add section 619.870 to read as follows:


619.870  Acquisition of technical requirements.

    (a) Offering letter. When a decision has been made by OSDBU and the 
contracting officer to process an acquisition through the SBA under the 
8(a) program, the contracting activity shall promptly send to the 
applicable SBA office a letter offering the acquisition to the SBA, 
with an information copy to the Small and Disadvantaged Business 
Utilization Specialist. The offering letter should transmit the 
statement of work, purchase description, technical data package, or 
specifications and such other information deemed necessary by the 
contracting officer.
    (b) The contracting officer has greater latitude in holding 
discussions with the business concerns being considered under an 8(a) 
program acquisition if under the $4 million competitive threshold for 
8(a) competition than under a non-8(a) program acquisition. Informal 
assessments of potential 8(a) sources shall be within the parameters of 
13 CFR 124.308(g). The technical evaluation must be carefully reviewed 
to determine if any source declared to be unacceptable is capable of 
being made acceptable.

PART 622--APPLICATION OF LABOR LAWS TO GOVERNMENT ACQUISITIONS

0
62. Revise the section 622.404 heading to read as follows:


622.404  Construction Wage Rate Requirements statute wage 
determinations.

* * * * *


622.404-3  [Amended]

0
63. In section 622.404-3, remove ``601.603-70'' and add in its place 
``601.601-70'', and add ``FAR'' immediately before ``22.404-3(b) and 
(d)''.


622.406-8  [Amended]

0
64. In 622.406-8, paragraph (a), remove ``chief of the contracting 
activity'' and add in its place ``head of the contracting activity''.

Subpart 622.6--Contracts for Materials, Supplies, Articles, and 
Equipment Exceeding $15,000

0
65. Revise the subpart 622.6 heading to read as set forth above.

Subpart 622.13--Equal Opportunity for Veterans

0
66. Revise the subpart 622.13 heading to read as set forth above.

PART 623--ENVIRONMENT, ENERGY AND WATER EFFICIENCY, RENEWABLE 
ENERGY TECHNOLOGIES, OCCUPATIONAL SAFETY, AND DRUG-FREE WORKPLACE

0
67. Add subpart 623.2, consisting of section 623.204, to read as 
follows:

Subpart 623.2--Energy and Water Efficiency and Renewable Energy


623.204  Procurement exemptions.

    The head of the contracting activity is the agency head's designee 
for the purpose of executing the written determination to not purchase 
ENERGY STAR[supreg] or FEMP-designated products.''


623.302-70  [Amended]

0
68. In section 623.302-70, in the first sentence, remove ``which'' and 
add in its place ``that''.

Subpart 623.4--Use of Recovered Materials and Biobased Products

0
69. Revise the subpart 623.4 heading to read as set forth above.

PART 624--PROTECTION OF PRIVACY AND FREEDOM OF INFORMATION


624.202  [Redesignated as 624.203]

0
70. Redesignate 624.202 as 624.203.

PART 625--FOREIGN ACQUISITION

Subpart 625.1--Buy American--Supplies

0
71. Revise the subpart 625.1 heading to read as set forth above.

Subpart 625.2--Buy American--Construction Materials

0
72. Revise the subpart 625.2 heading as set forth above.


625.7002  [Amended]

0
73. In section 625.7002, remove ``DOSAR''.

PART 627--PATENTS, DATA, AND COPYRIGHTS

Subpart 627.2--Patents and Copyrights

0
74. Revise the subpart 627.2 heading as set forth above.


627.203 and 627.203-6  [Redesignated as 627.201 and 627.201-2]

0
75. Redesignate sections 627.203 and 627.203-6 as 627.201 and 627.201-
2.

0
76A. Revise the newly redesignated section 627.201 heading to read as 
follows:


627.201  Patent and copyright infringement liability.

0
76B. In newly redesignated section 627.201-2:
0
a. Revise the section heading.
0
b. Designate the text as paragraph (e).
0
c. Revise newly designated paragraph (e).
    The revision reads as follows:

[[Page 6922]]

627.201-2  Contract clauses.

    (e) The Procurement Executive is the agency head's designee for the 
purposes of FAR 27.201-2(e).

Subpart 627.3--Patent Rights under Government Contracts

0
77. Revise the subpart 627.3 heading to read as set forth above.


627.303  [Amended]

0
78. In the first sentence of section 627.303, remove ``for the purposes 
of'' and add in its place ``to make the determinations addressed in'' 
and, in the second sentence, add ``proposed to be'' between 
``Determinations'' and ``issued''.


627.304-5  [Redesignated as 627.304-4]

0
79. Redesignate section 627.304-5 as 627.304-4.


627.304-4  [Amended]

0
80. In newly redesignated section 627.304-4, remove ``FAR 27.304-5'' 
and add in its place ``FAR 27.304-4'' and remove ``FAR 27.304-5(b)'' 
and add in its place ``FAR 27.304-4(b)''.

PART 628--BONDS AND INSURANCE

Subpart 628.1--Bonds and Other Financial Protections

0
81. Revise the subpart 628.1 heading to read as set forth above.

Subpart 628.2--Sureties and Other Security for Bonds

0
82. Revise subpart 628.2 heading to read as set forth above.


628.305  [Amended]

0
83. In section 628.305, remove paragraph (c).


628.309-70  [Amended]

0
84. In section 628.309-70, remove the last sentence in paragraph (b) 
and remove paragraph (c).

PART 631--CONTRACT COST PRINCIPLES AND PROCEDURES


631.205-6  [Amended]

0
85. In section 631.205-6, redesignate paragraph (g)(3) as (g)(6).

PART 632--CONTRACT FINANCING

0
86. Add section 632.006-3 to read as follows:


632.006-3  Responsibilities.

    (b) DOS personnel shall report immediately and in writing any 
apparent or suspected instances where the contractor's request for 
advance, partial, or progress payments is based on fraud. The report 
shall be made to the contracting officer and the Assistant Inspector 
General for Investigations. The report shall outline the events, acts, 
or conditions which indicate the apparent or suspected violation and 
include all pertinent documents. The Assistant Inspector General for 
Investigations will investigate, as appropriate. If appropriate, the 
Office of the Inspector General will provide a report to the 
Procurement Executive.


632.705  [Redesignated as 632.706]

0
87. Redesignate section 632.705 as 632.706.


632.705-70  [Redesignated as 632.706-70]

0
88. Redesignate section 632.705-70 as 632.706-70.

PART 633--PROTESTS, DISPUTES, AND APPEALS


633.103  [Amended]

0
89. In section 633.103, in paragraph (d)(4), remove ``Competition 
Advocate'' and add in its place ``Advocate for Competition''.

0
90. In section 633.203, designate the current text as paragraph (b) and 
add paragraph (c) to read as follows:


633.203  Applicability.

* * * * *
    (c) The Agency Board of Contract Appeals for the Department of 
State is the United States Civilian Board of Contract Appeals (CBCA). 
See http://www.cbca.gsa.gov.


633.214-70  [Amended]

0
91. In section 633.214-70--
0
a. In paragraph (a), remove ``Contract Disputes Act'' and add in its 
place ``Disputes statute (41 U.S.C. chapter 71)''.
0
b. In paragraphs (c) introductory text and (c)(2), remove ``GSBCA'' and 
add in its place ``CBCA''.
0
c. In paragraph (d), last sentence, remove from the parentheses 
``simplified acquisition limitation'' and add in its place ``simplified 
acquisition threshold''.


633.270  [Removed]

0
92. Remove section 633.270.

PART 636--CONSTRUCTION AND ARCHITECT-ENGINEER CONTRACTS


636.202  [Removed]

0
93. Remove section 636.202.


636.513  [Amended]

0
94. In section 636.513, in paragraph (a), remove ``DOSAR'' and add in 
its place ``the clause at''.


636.570  [Amended]

0
95. In section 636.570, in paragraph (a)(3), remove ``DOSAR''.

0
96. Add section 636.602-4 to read as follows:


636.602-4  Selection authority.

    (a) For acquisitions conducted by A/LM/AQM on behalf of the Bureau 
of Overseas Buildings Operations, the final selection decision shall be 
made by the Director/Chief Operating Officer of the Bureau of Overseas 
Buildings Operations, with the concurrence of the contracting officer 
and L/BA. For other domestic acquisitions, the selection decision shall 
be made by an individual designated by the Assistant Secretary of State 
for Administration. For acquisitions conducted by overseas posts, the 
selection decision shall be made by the contracting officer.''

0
97. Add section 636.606 to read as follows:


636.606  Negotiations.

    (a) Contracting officers at overseas posts may request a waiver 
from A/OPE if the contracting officer is unable to negotiate a fee 
within the six percent limitation. See 615.404-4(c)(4)(i)(B).''

PART 637--SERVICE CONTRACTING

0
98. In section 637.102, add paragraph (c) to read as follows:


637.102  Policy.

    (c) Any Acquisition Plan or procurement request package for 
services expected to exceed $25,000 shall include a Form DS-4208 
completed by the requiring activity. Instructions for completing the 
DS-4208 may be found at http://aopepd.a.state.gov/Content/documents/DS-4208-Instructions.docx.

0
99. Amend section 637.103 by designating the current text as paragraph 
(a)(2) and adding paragraph (e) to read as follows:


637.103  Contracting officer responsibility.

* * * * *
    (e) The Contracting Officer shall review the Forms DS-4208 
submitted by requiring activities, not contract for inherently 
governmental functions and assist in implementation of mitigation 
strategies for efforts that are closely associated with inherently 
governmental functions. A copy of the DS-4208 shall be retained in the 
contract file.


637.104  [Amended]

0
100. Amend section 637.104 by designating the current text as paragraph 
(e).

[[Page 6923]]


0
101. Revise the heading for section 637.104-70 to read as follows:


637.104  DOS authorities for personal services contracts.

* * * * *

0
102. Add section 637.104-71 to read as follows:


637.104-71  Personal services agreements.

    (a) Applicability. This section applies only to personal services 
agreements (PSAs) awarded under the authority of 22 U.S.C. 2669(c).
    (b) Definition. ``Personal Services Agreement (PSA)'' is a method 
of employment using the statutory authority under 22 U.S.C. 2669(c). 
The Procurement Executive has delegated program management 
responsibility for PSAs awarded under the Department of State basic 
authority at 22 U.S.C. 2669(c). When applied to U.S. citizens hired 
under this authority, the term ``PSA Plus'' is normally used.
    (c) Policy. DOS contracting officers at overseas posts should not 
award any personal services contracts that are subject to acquisition 
statutes and regulations.
    (d) Authority. (1) The Foreign Relations Authorization Act, Fiscal 
Years 1994 and 1995, amended section 2(c) of the State Department Basic 
Authorities Act of 1956 (22 U.S.C. 2669(c)) by revising the 
Department's authority. This language states: ``and such contracts are 
authorized to be negotiated, the terms of the contracts to be 
prescribed, and the work to be performed, where necessary, without 
regard to such statutory provisions as relative to the negotiation, 
making, and performance of contracts and performance of work in the 
United States.''
    (2) This authority was further amended under the National Defense 
Authorization Act for Fiscal Year 2002 which added subsection (n) to 22 
U.S.C. 2669. This language states ``exercise the authority provided in 
section (c), upon the request of the Secretary of Defense or the head 
of any other department or agency of the United States, to enter into 
personal services contracts with individuals to perform services in 
support of the Department of Defense or such other department or 
agency, as the case may be.'' This authority allowed the use of 22 
U.S.C. 2669(c) by all other agencies, provided they meet certain 
criteria and agree to follow certain guidelines laid out in a 
Memorandum of Agreement (MOA). That MOA is not signed at the post 
level, but by a senior official at the Department of State and the 
other agency. Without the MOA in place, other agencies may not use this 
basic authority. HR/OE has responsibility for implementation of the 
authority that came with this legislative change. The HR/OE Web site 
includes the latest listing of agencies that have signed the MOA and 
can use this authority.
    (3) This statutory language has continuing effect and provides 
authority to the Department of State, and now other agencies, if they 
so agree, to obtain personal services without adherence to acquisition 
statutes. In furtherance of the authority provided by the statute, the 
Procurement Executive has waived the applicability of acquisition 
regulations when obtaining personal services under the authority of 22 
U.S.C. 2669(c). As a result, it is not necessary for the individual 
executing a PSA under the authority of 22 U.S.C. 2669(c) to have a 
contracting officer's certificate of appointment required under FAR 
1.603 and 601.603 (see 601.603-3(d)).
    (e) Signatory authority. Only direct hire U.S. citizens may sign 
PSAs. Provided the individual meets that criterion, individuals who may 
sign PSAs are limited to the following:
    (1) The Human Resources Officer;
    (2) The Human Resources/Financial Management Officer; or,
    (3) The Management Officer or American FSO designated to perform 
human resources functions (e.g., GSO, RSO, etc.).


637.601  [Amended]

0
103. In 637.601, remove ``Competition Advocate'' and add in its place 
``Advocate for Competition''.

PART 642--CONTRACT ADMINISTRATION AND AUDIT SERVICES

Subpart 642.14 [Removed]

0
104. Remove subpart 642.14.

0
105. Revise section 642.1503-70 to read as follows:


642.1503-70  Contractor Performance Assessment Reporting System 
(CPARS).

    (a) The Department of State subscribes to the Contractor 
Performance Assessment Reporting System (CPARS) maintained at http://www.cpars.gov/. CPARS is an Internet-based tool allowing government 
activities to input past performance information. This information is 
uploaded by CPARS into the Past Performance Information Retrieval 
System (PPIRS).
    (b) All DOS contracting officers shall evaluate contractors' past 
performance as required by FAR 42.1502 and 42.1503.
    (c) All Terminations for Default and Terminations for Cause shall 
be entered into CPARS regardless of contract purpose or dollar value.
    (d) Heads of contracting activities shall send a list of the names, 
work addresses, and phone numbers of all acquisition personnel whom 
they wish to have access to the CPARS to <a href="/cdn-cgi/l/email-protection#581909151b08190a0b182b2c392c3d763f372e"><span class="__cf_email__" data-cfemail="2160706c62716073726152554055440f464e57">[email protected]</span></a>.

PART 644--SUBCONTRACTING POLICIES AND PROCEDURES

Subpart 644.3--Contractors' Purchasing Systems Reviews

0
106. Revise the subpart 644.3 heading to read as set forth above.

PART 645--GOVERNMENT PROPERTY


645.107-70  [Amended]

0
107. Amend section 645.107-70 as follows:
0
a. In paragraph (a)(1), remove ``and'' and add in its place ``or,''; 
and
0
b. In paragraph (a)(3), remove ``paragraphs'' and add in its place 
``paragraph'' and remove ``or (2)''.

PART 647--TRANSPORTATION

0
108. Add subpart 647.3 to read as follows:
Subpart 647.3--Transportation in Supply Contracts
647.305 Solicitation provisions, contract clauses, and 
transportation factors.
647.305-70 Notice of shipment.
647.305-71 Shipping instructions.
Subpart 647.3--Transportation in Supply Contracts


647.305  Solicitation provisions, contract clauses, and transportation 
factors.


647.305-70  Notice of shipment.

    The contracting officer shall insert the clause at 652.247-70, 
Notice of Shipment, in solicitations and contracts entered into and 
performed outside the United States, when overseas shipment of supplies 
is required.


647.305-71  Shipping instructions.

    The contracting officer shall insert the clause at 652.247-71, 
Shipping Instructions, in solicitations and contracts with a source in 
the United States if overseas shipment of supplies is required.

PART 649--TERMINATION OF CONTRACTS


649.106  [Amended]

0
109. In section 649.106, remove ``Termination'' and remove ``TCO'' and 
add in its place ``CO'' both places it occurs.

0
110. Add section 649.111 as follows:

[[Page 6924]]

649.111  Review of proposed settlements.

    All proposed termination settlements shall be reviewed and approved 
by the Office of the Legal Adviser for legal sufficiency. In addition,
    (a) All proposed termination settlements from domestic contracting 
activities shall be approved by the head of the contracting activity, 
with the exception of termination settlements on simplified 
acquisitions and no-cost termination settlements; and,
    (b) All proposed termination settlements from overseas contracting 
activities shall be approved by the Procurement Executive.

PART 652--SOLICITATION PROVISIONS AND CONTRACT CLAUSES

0
111. Revise section 652.204-70 to read as follows:


652.204-70  Department of State Personal Identification Card Policy and 
Procedures.

    As prescribed in 604.1303-70, insert the following clause:

DEPARTMENT OF STATE PERSONAL IDENTIFICATION CARD POLICY AND PROCEDURES 
([DATE])

    (a) The Contractor shall comply with the Department of State 
(DOS) Personal Identification Card Policy and Procedures for all 
employees performing under this contract who require frequent and 
continuing access to DOS facilities, or information systems. The 
Contractor shall insert the substance of this clause in all 
subcontracts when the subcontractor's employees will require 
frequent and continuing access to DOS facilities, or information 
systems.
    (b) The DOS Personal Identification Card Policy and Procedures 
may be accessed at http://www.state.gov/m/ds/rls/rpt/c21664.htm.


(End of clause)

0
112. Amend section 652.206-70 by revising the section heading and the 
clause date and revising paragraph (a) to read as follows:


652.206-70  Advocate for Competition/Ombudsman.

* * * * *

Advocate for Competition/Ombudsman (DATE)

    (a) The Department of State's Advocate for Competition is 
responsible for assisting industry in removing restrictive requirements 
from Department of State solicitations and removing barriers to full 
and open competition and use of commercial items. If such a 
solicitation is considered competitively restrictive or does not appear 
properly conducive to competition and commercial practices, potential 
offerors are encouraged first to contact the contracting officer for 
the solicitation. If concerns remain unresolved, contact:
    (1) For solicitations issued by the Office of Acquisition 
Management (A/LM/AQM) or a Regional Procurement Support Office, the A/
LM/AQM Advocate for Competition, at <a href="/cdn-cgi/l/email-protection#5213031f113d3f2237263b263b3d3c1336243d313326371221263326377c353d24"><span class="__cf_email__" data-cfemail="7332223e301c1e0316071a071a1c1d3217051c101207163300071207165d141c05">[email protected]</span></a>.
    (2) For all others, the Department of State Advocate for 
Competition at <a href="/cdn-cgi/l/email-protection#aac9cbdeead9decbdecf84cdc5dc"><span class="__cf_email__" data-cfemail="e3808297a39097829786cd848c95">[email protected]</span></a>.


652.228-70  [Amended]

0
113. Amend section 652.228-70 by removing the clause date ``(JUN 
2006)'' and adding in its place ``(DATE)'' and by removing paragraph 
(d).

0
114. Amend section 652.228-71 as follows:
0
a. Remove the clause date ``(JUN 2006)'' and add in its place 
``(DATE)'';
0
b. Revise paragraph (b);
0
c. Remove paragraphs (c), (d), (e), and (f);
0
d. Redesignate paragraph (g) as (c); and
0
e. Remove Alternate I.
    The revision reads as follows:


652.228-71  Worker's Compensation Insurance (Defense Base Act)--
Services.

* * * * *
    (b) The Contractor shall procure Defense Base Act (DBA) insurance 
directly from a Department of Labor (DOL) approved insurance provider. 
Approved providers can be found at the DOL Web site at http://www.dol.gov/owcp/dlhwc/lscarrier.htm.''
* * * * *


652.228-72 and 652.228-73  [Removed]

0
115. Remove reserved sections 652.228-72 and 652.228-73.


652.228-74  [Removed]

0
116. Remove section 652.228-74.

0
117. Section 652.236-71 is amended as follows:
0
a. Remove the clause date ``(APR 2004)'' and add in its place 
``(DATE)'';
0
b. in subparagraph (b)(1), add the phrase ``or at a United States 
diplomatic or consular establishment abroad'' immediately following 
``in the United States''; and
0
c. In paragraph (d)(1):
0
i. Add the phrase ``or at a United States diplomatic or consular 
establishment abroad'' immediately following ``in the United States'' 
both places it occurs;
0
ii. Add ``/Country'' after ``City and State'' each time it occurs under 
the ``Location'' fill-ins; and
0
iii. Revise the last sentence of paragraph (d)(1).
    The revision reads as follows:


652.236-71  Foreign Service Buildings Act, as Amended.

* * * * *
    (d) * * *
    (1) * * *
    If the bidder/offeror's participation was as a partner or co-
venturer, indicate the percentage of the project performed by the 
bidder/offeror: ____ %
* * * * *.


652.236-72  [Amended]

0
118. Section 652.236-72 is amended as follows:
0
a. Remove the clause date ``(APR 2004)'' and add in its place 
``(DATE)'';
0
b. In paragraph (a):
0
i. In the first sentence, remove the phrase ``and Section 406(c)'';
0
ii. In the second sentence; remove ``, and excludes organizations that 
have business arrangements with Libya''; and
0
iii. In the third sentence, remove the phrase ``, and whether they have 
any business arrangements with Libya that may disqualify them from 
participating in this solicitation''; and
0
c. Remove paragraph (d)9.

0
119. In section 652.237-72, remove the clause date ``(APR 2004)'' and 
add in its place ``(DATE)'' and revise the first sentence of paragraph 
(b) to read as follows:


652.237-72  Observance of Legal Holidays and Administrative Leave.

* * * * *
    (b) When New Year's Day, Independence Day, Veterans Day or 
Christmas Day falls on a Sunday, the following Monday is observed; when 
it falls on Saturday, the preceding Friday is observed. * * *
* * * * *


652.242-71  [Redesignated as 652.247-70]

0
120. Redesignate section 652.242-71 as 652.247-70.


652.242-71  [Reserved]

0
121. Add reserved section 652.242-71.


652.242-72  [Redesignated as 652.247-71]

0
122. Redesignate section 652.242-72 as 652.247-71.


652.242-72  [Reserved]

0
123. Add reserved section 652.242-72.


652.245-71  [Amended]

0
124. Amend section 652.245-71 by removing the clause date ``(DEC 
2013)'' and adding in its place ``(DATE)'', by removing ``and'' and 
adding in its place ``or'' in paragraph (c)(1), and by removing ``or 
(c)(2)'' in paragraph (c)(3).

[[Page 6925]]

652.247-70  [Amended]

0
125. In newly redesignated section 652.247-70, in the introductory 
text, remove ``642.1406-2-70(a)'' and add ``647.305-70'' in its place 
and remove the clause date ``(JUL 1988)'' and add in its place 
``(DATE)''.


652.247-71  [Amended]

0
126. In newly redesignated section 652.247-71, in the introductory 
text, remove ``642.1406-2-70(b)'' and add ``647.305-71'' in its place 
and remove the clause date ``(DEC 1994)'' and add in its place 
``(DATE)''.

    Dated: December 23, 2014.
Corey M. Rindner,
Procurement Executive, Department of State.
[FR Doc. 2014-30714 Filed 2-6-15; 8:45 am]
BILLING CODE 4710-24-P


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