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FEDERAL CONTRACTS PERSPECTIVE

Federal Acquisition Developments, Guidance, and Opinions


January 2005
Vol. VI, No. 1

CONTENTS


FAC 2001-26 Mandates Use of "Online Representations and Certifications Application"
SBA Seeks Comments on Size Standards Issues
DFARS Changes Address Task Order Contract Limit
One Nonmanufacturer Rule Waived, One Proposed, One Terminated
Labor Proposes Requiring WDOL Website



FAC 2001-26 Mandates Use of "Online
Representations and Certifications Application"

Federal Acquisition Circular (FAC) 2001-26 takes a couple of steps towards implementation of the "Integrated Acquisition Environment" by requiring offerors to submit their representations and certifications electronically through the "Online Representations and Certifications Application" (ORCA), and by replacing the paper "List of Parties Excluded from Federal Procurement and Nonprocurement Programs" with the electronic "Excluded Parties List System" (EPLS). FAC 2001-26 also adds regulations on the notification of employees regarding their rights concerning payment of union dues or fees, and increases the thresholds for special emergency procurement authorities.


SBA Seeks Comments on Size Standards Issues

The Small Business Administration (SBA) has announced that it is seeking comments on several issues that were raised on the recently withdrawn proposal to restructure the small business size standards. The issues on which SBA is seeking comments pertain to SBA's size standards but were not part of the proposed changes (for more on the proposed rule, see the April 2004 Federal Contracts Perspective article "SBA proposes to Restructure Size Standards, Would Reduce Number of Categories from 37 to 10"; for more on the withdrawal of that proposed rule, see the August 2004 Federal Contracts Perspective article "SBA Withdraws Proposed Size Standards Revision, 'Needs a Little More Work'").

SBA is giving the public an opportunity to comment on the following issues before deciding on its next course of action:

SBA is planning to hold a series of public meetings on size standards that will focus on these issues. Also, SBA is examining a number of specific size standards as separate rulemaking actions, such as the nonmanufacturer size standard of 500 employees regardless of the actual size standard for the particular industry.

Comments must be received on or before February 1, 2005. Respondents may submit comments directly on the Federal eRulemaking Portal at http://www.regulations.gov; by e-mail to: restructure.sizestandandards@sba.gov; by fax to 202-205-6930; or by mail, hand-delivery, or courier to Gary M. Jackson, Assistant Administrator for Size Standards, 409 Third Street, SW, Washington, DC 20416. Cite "RIN 3245-ZA02" when making comments.


DFARS Changes Address Task Order Contract Limit

In December, the Department of Defense (DOD) maintained its frantic pace of changes to the Defense FAR Supplement (DFARS) with six final rules (most implementing the "DFARS transformation") and one interim rule:


One Nonmanufacturer Rule Waived, One Proposed, One Terminated

The SBA has decided to waive the nonmanufacturer rule for general aviation turboprop aircraft with six or more passenger seats under North American Industry Classification System (NAICS) code 336411 because no small business manufacturers are currently supplying these classes of products to the federal government. This waiver allows otherwise qualified nonmanufacturers to supply the general aviation turboprop aircraft of any domestic manufacturer on a federal contract set aside for small businesses, set aside for service-disabled veteran-owned small businesses, or awarded through the SBA's 8(a) program. (EDITOR'S NOTE: For more on the proposed waiver, see the November 2004 Federal Contracts Perspective article "One Nonmanufacturer Rule Waived, Two Proposed.")

Also, SBA is proposing to waive the nonmanufacturer rule for adhesives and sealants manufacturing under NAICS code 325520, and petroleum and coal products manufacturing under NAICS code 324110.

Finally, SBA is terminating consideration of a proposed waiver of the nonmanufacturer rule for small arms ammunition manufacturing under North American Industry Classification System (NAICS) code 332992 because of its recent discovery of a small business manufacturer for this class of products. (EDITOR'S NOTE: SBA originally waived the nonmanufacturer rule for small arms ammunition manufacturing in September 2002 (see the October 2002 Federal Contracts Perspective article "SBA Waives One Nonmanufacturer Rule, Rethinks Another"). However, SBA terminated its waiver of the nonmanufacturer rule in October 2003 because it discovered a small business manufacturer (see the December 2003 Federal Contracts Perspective article "Small Arms Ammo Nonmanufacturer Waiver Terminated"). Apparently, SBA didn't think the small business manufacturer was still capable of providing small arms ammunition to the government, so another waiver was proposed. It appears SBA has changed its mind once again about the capabilities of the small business. For more on the proposed waiver, see the November 2004 Federal Contracts Perspective article mentioned above.)


Labor Proposes Requiring WDOL Website

The Department of Labor (DOL) is proposing to amend its regulations to require contracting agencies to use the Wage Determinations OnLine (WDOL) website (http://www.wdol.gov) to obtain Service Contract Act and Davis-Bacon Act wage determinations. DOL would no longer publish paper copies of wage determinations.

Comments on the proposal must be received no later than January 18 by Alfred B. Robinson, Jr., Wage and Hour Division; http://www.regulations.gov; by e-mail to WHD-REG-1215-AB47@dol.gov; or by fax: 202-693-1302.


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