Federal Register/Vol. 84, No. 230/Friday, November 29, 2019/Rules and Regulations
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Federal Register / Vol. 84, No. 230 / Friday, November 29, 2019 / Rules and Regulations 65647 rulemaking is required, the Regulatory as to clarify existing regulations. This Summary of Proposed Rule, Comments, Flexibility Act does not require an rule clarifies that contracting officers and SBA’s Responses initial or final regulatory flexibility have the authority to request I. National Defense Authorization Act 2 analysis. The Bureau has determined information in connection with a for Fiscal Year 2016, Public Law 114– that these corrections do not impose any contractor’s compliance with applicable 92, 129 Stat. 726, November 25, 2015 new or revise any existing limitations on subcontracting clauses; (NDAA of 2016) recordkeeping, reporting, or disclosure provides exclusions for purposes of requirements on covered entities or compliance with the limitations on Posting Notice of Substantial Bundling members of the public that would be subcontracting for certain contracts Section 863 of the NDAA of 2016 collections of information requiring performed outside of the United States, amended section 15(e)(3) of the Small OMB approval under the Paperwork for environmental remediation Business Act (15 U.S.C. 644(e)(3)) to 3 Reduction Act. contracts, and for information provide that if the head of a contracting II. Correction technology service acquisitions that agency determines that an acquisition require substantial cloud computing; plan involves a substantial bundling of In FR Doc. 2019–16300 appearing on requires a prime contractor with a contract requirements, the head of the page 37565 in the Federal Register of commercial subcontracting plan to contracting agency shall publish a Thursday, August 1, 2019, the following include indirect costs in its notice of such determination on a public correction is made: website within 7 days of making such subcontracting goals; establishes that determination. Section 863 also Supplement I to Part 1026—Official failure to provide timely subcontracting amended section 44(c)(2) of the Small Interpretations [Corrected] reports may constitute a material breach Business Act (15 U.S.C. 657q(c)(2)) to ■ 1. On page 37567, in the third column, of the contract; clarifies the provide that upon determining that a in Supplement I to part 1026, Section requirements for size and status consolidation of contract requirements 1026.32—Requirements for High-Cost recertification; and limits the scope of is necessary and justified, the Senior Mortgages, paragraph 32(a)(1)(ii), part Procurement Center Representative Procurement Executive (SPE) or Chief 1.vi., ‘‘For 2020, $21,980, reflecting a 2 (PCR) reviews of Department of Defense Acquisition Officer (CAO) shall publish percent increase in the CPI–U from June acquisitions performed outside of the a notice on a public website that such 2018 to June 2019, rounded to the United States and its territories. This determination has been made. An nearest whole dollar’’ is corrected to rule also authorizes agencies to receive agency may not issue the solicitation read ‘‘For 2020, $1,099, reflecting a 2 double credit for small business goaling any earlier than 7 days after publication percent increase in the CPI–U from June achievements as announced in SBA’s of the notice. The SPE or CAO must also 2018 to June 2019, rounded to the scorecard for local area small business publish the justification along with the nearest whole dollar.’’ set-asides in connection with a disaster. solicitation. The requirement may be Finally, SBA is removing the kit Dated: November 21, 2019. delegated. SBA proposed to amend assembler exception to the non- § 125.2(d) by adding new paragraphs Thomas Pahl, manufacturer rule. (d)(1)(v) and (d)(7) to implement these Policy Associate Director, Bureau of changes. Specifically, SBA proposed Consumer Financial Protection. DATES: This rule is effective on that the notice be published on the December 30, 2019. [FR Doc. 2019–25812 Filed 11–27–19; 8:45 am] contracting agency’s website. SBA BILLING CODE 4810–AM–P FOR FURTHER INFORMATION CONTACT: received three comments on these Brenda Fernandez, Office of Policy, proposed new paragraphs and all three Planning and Liaison, 409 Third Street supported the proposal to require public SMALL BUSINESS ADMINISTRATION SW, Washington, DC 20416; (202) 205– notification of a consolidation 7337; [email protected]. determination. Based on agency 13 CFR Parts 121, 124, 125, 126, 127, comments, SBA is adopting a final rule 129, and 134 SUPPLEMENTARY INFORMATION: that requires publication of the notice RIN 3245–AG86 Introduction on the Government Point of Entry website because this will be a more National Defense Authorization Acts of SBA published a proposed rule efficient and effective mechanism to 2016 and 2017, Recovery regarding these changes in the Federal notify the public. Notice provided Improvements for Small Entities After Register on December 4, 2018 (83 FR through one Government website, Disaster Act of 2015, and Other Small 62516), inviting the public to submit which already serves as the means for Business Government Contracting comments on or before February 4, most procurement-related notices, will 2019. SBA received extensive responses likely be viewed by a larger portion of AGENCY: U.S. Small Business on the proposed rule from 38 entities, the public than through an individual Administration. which comprised almost 250 specific agency website. ACTION: Final rule. comments. One commenter requested II. National Defense Authorization Act SUMMARY: The U.S. Small Business additional time to submit comments. for Fiscal Year 2017, Public Law 114– Administration (SBA or Agency) is SBA declined to provide an extension of 328, 130 Stat. 2000, December 23, 2016 amending its regulations to implement the comment period on grounds of (NDAA of 2017) several provisions of the National administrative efficiency, since this rule Procurement Center Representative Defense Authorization Acts (NDAA) of implements statutory requirements and Reviews 2016 and 2017 and the Recovery makes other changes of critical Improvements for Small Entities After importance to small businesses. SBA’s Section 1811 of the NDAA of 2017 Disaster Act of 2015 (RISE Act), as well discussion below summarizes the amended section 15(l) of the Small proposed rule, the comments related to Business Act (15 U.S.C. 644(l)) to 2 5 U.S.C. 603(a) and 604(a). each section of the proposed rule, and provide that PCRs may review any 3 44 U.S.C. 3501, et seq. SBA’s responses. acquisition, even those where the VerDate Sep<11>2014 15:44 Nov 27, 2019 Jkt 250001 PO 00000 Frm 00021 Fmt 4700 Sfmt 4700 E:\FR\FM\29NOR1.SGM 29NOR1 khammond on DSKJM1Z7X2PROD with RULES 65648 Federal Register / Vol. 84, No. 230 / Friday, November 29, 2019 / Rules and Regulations acquisition is set aside, partially set Act (22 U.S.C. 2762), is a humanitarian activities that would be considered a aside, or reserved for small business. operation as defined in 10 U.S.C. 401(e), failure to make a good faith effort to SBA’s current rules provide that PCRs is for a contingency operation as defined comply with a small business will review all acquisitions that are not in 10 U.S.C. 101(a)(13), is to be awarded subcontracting plan. Good faith effort set aside or reserved for small business. pursuant to an agreement with the considers a totality of the contractor’s These rules were intended to focus government of a foreign country in actions to provide the maximum limited resources on acquisitions that which Armed Forces of the United practicable opportunity to small were not already going to small States are deployed, or where both the businesses to participate as business, but were not intended to place of award and place of performance subcontractors (including those in the prohibit a PCR from reviewing any are outside of the United States and its socio-economic small business areas), acquisition as part of the PCR’s role as territories. SBA proposed to amend consistent with the information and an advocate for small business. SBA § 125.2(b)(1)(i) to implement these assurances provided in the proposed to amend § 125.2(b)(1)(i) to amendments. Under the proposed rule, subcontracting plan. A failure to exert provide that PCRs may review any PCRs would still be able to review good faith effort is predicated upon acquisition regardless of whether it is acquisitions awarded in the United evidence that an other than small set aside, partially set aside, or reserved States and its territories but performed Federal prime contractor, required to for small business or other outside of the United States and its have a subcontracting plan with socioeconomic categories. SBA believes territories, or awarded outside of the negotiated small business concern goals that this change will enable PCRs to United States and its territories for approved by a Federal contracting advocate for total set-asides or partial performance in the United States or its officer, has failed to attain these goals as set-asides when appropriate and territories, if the acquisition is not a outlined in the plan, and that this necessary. This provision merely gives foreign military sales, or in connection failure may be attributable to a lack of to the SBA PCR the authority to review with a contingency operation, good faith effort by the other than small set-aside actions where he or she deems humanitarian and civic assistance prime contractor. The term SBC for it appropriate. It is not the intent that provided in conjunction with military purposes of this rule includes all this will be done in every case. In fact, operations, or status of forces categories of small business, including SBA believes that such a review will not agreement. The proposed rule clarified small disadvantaged businesses, generally be done.