Federal Acquisition Regulation; Storage of Contract Files

DEPARTMENT OF DEFENSE

GENERAL SERVICES ADMINISTRATION

NATIONAL AERONAUTICS AND SPACE ADMINISTRATION

48 CFR Part 4

[FAC 90-23; FAR Case 91-101; Item II]

RIN 9000-AF67

Federal Acquisition Regulation; Storage of Contract Files

AGENCIES: Department of Defense (DOD), General Services Administration

(GSA), and National Aeronautics and Space Administration (NASA).

ACTION: Final rule.

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SUMMARY: The Civilian Agency Acquisition Council (CAAC) and the Defense

Acquisition Regulations Council (DARC) have approved language in the

Federal Acquisition Regulation (FAR) to permit the use of various media

(paper, electronic, microfilm, etc.) for the storage of official

contract files by contractors and contracting and contract

administration offices. This regulatory action was not subject to

Office of Management and Budget review under Executive Order 12866,

dated September 30, 1993.

EFFECTIVE DATE: February 27, 1995.

FOR FURTHER INFORMATION CONTACT: Ms. Linda Klein at (202) 501-3775 in

reference to this FAR case. For general information, contact the FAR

Secretariat, room 4037, GS Building, Washington, DC 20405 (202) 501-

4755. Please cite FAC 90-23, FAR case 91-101.

SUPPLEMENTARY INFORMATION:

A. Background

FAR Subparts 4.7 and 4.8 are revised to permit contractors and

agencies to retain contract files in any medium (paper, electronic,

microfilm, etc.) or any combination of media as long as the

requirements of FAR Subpart 4.8 are satisfied. We also changed the

title of Subpart 4.8 from ``Contract Files'' to ``Government Contract

Files'' to better describe the contents of the subpart. This change

will permit contractors and the Government to minimize the space

required for storage of contract files and will provide ease of

handling and retrieval of the records.

B. Regulatory Flexibility Act

The final rule does not constitute a significant FAR revision

within the meaning of FAR 1.501 and Public Law 98-577, because the rule

affects internal Government operating procedures in that it permits

agencies to retain contract files in any medium (paper, electronic,

microfilm, etc.) or any combination of media, as long as the

requirements of FAR Subpart 4.8 are satisfied, and also allows

contractors to adopt the same methods of storing contract files if they

so desire. Publication for public comment is not required. Therefore,

the Regulatory Flexibility Act does not apply. However, comments from

small entities concerning the affected FAR subpart will be considered

in accordance with 5 U.S.C. 610. Such comments must be submitted

separately and cite 5 U.S.C. 601, et seq., (FAC 90-23, FAR case 91-101)

in correspondence.

C. Paperwork Reduction Act

This rule does not impose any reporting or recordkeeping

requirements or collection of information from offerors, contractors,

or members of the public which require the approval of the Office of

Management and Budget under 44 U.S.C. 3501, et seq.

List of Subjects in 48 CFR Part 4

Government procurement.

Dated: December 7, 1994.

Albert A. Vicchiolla,

Director, Office of Federal Acquisition Policy.

Therefore, 48 CFR part 4 is amended as set forth below:

PART 4--ADMINISTRATIVE MATTERS

1. The authority citation for 48 CFR part 4 continues to read as

follows:

Authority: 40 U.S.C. 486(c); 10 U.S.C. chapter 137; and 42

U.S.C. 2473(c).

2. Section 4.703 is amended by redesignating paragraph (d) as (e)

and adding a new paragraph (d) to read as follows:

4.703 Policy.

* * * * *

(d) Contractors may retain records in any medium (paper,

electronic, microfilm, etc.) or any combination of media, as long as

the requirements of this subpart are satisfied. The process used to

create and store records must record and reproduce the original

document, including signatures and other written or graphic images,

completely, accurately, and clearly. Data transfer, storage, and

retrieval procedures shall protect the original data from alteration.

* * * * *

Subpart 4.8--Government Contract Files

3. The heading of Subpart 4.8 is revised to read as set forth

above.

4. Section 4.802 is amended by adding a new paragraph (f) to read

as follows:

4.802 Contract files.

* * * * *

(f) Agencies may retain contract files in any medium (paper,

electronic, microfilm, etc.) or any combination of media, as long as

the requirements of this subpart are satisfied.

5. Section 4.805 is amended by--

(a) revising the section heading;

(b) redesignating the introductory paragraph as paragraph (a) and

revising the text;

(c) adding paragraph (b) before the table and (c) after the table;

(d) removing from the table under the ``Document'' column paragraph

(c), and redesignating paragraphs (a) through (n) as (b)(1) through

(13), respectively; and paragraphs (n)(1) and (2) as (b)(13)(i) and

(ii), respectively;

(e) removing from newly-designated paragraph (b)(10) the reference

``4.805(a)-(j)'' and inserting ``4.805(b)(1)-(9)'' in its place;

(f) removing from newly-designated paragraph (b)(11) the reference

``4.805(a)-(k)'' and inserting ``4.805(b)(1)-(10)'' in its place; and

(g) removing from newly-designated paragraph (b)(1) under the

``Retention Period'' column the words ``(b) through (n)'' and inserting

``(b)(2) through (13)'' in their place.The revised text reads as

follows:

4.805 Storage, handling, and disposal of contract files.

(a) Agencies shall prescribe procedures for the handling, storing,

and disposing of contract files. Such procedures shall take into

account documents held in other than paper format, such as microfilm

and various electronic media. The original medium on which the document

was created may be changed to facilitate storage as long as the

requirements of part 4, law and other regulations are satisfied. The

process used to create and store records must record and reproduce the

original document, including signatures and other written and graphic

images completely, accurately, and clearly. Data transfer, storage, and

retrieval procedures shall protect the original data from alteration.

Unless law or other regulations require signed originals to be kept,

they may be destroyed after the record copies on alternate media and

copies reproduced from the record copy are verified to be accurate,

complete and clear representations of the originals. Agency procedures

for contract file disposal shall include provisions that the documents

specified in paragraph (b) of this section shall not be destroyed

before the times indicated. When original documents have been converted

to alternate media for storage, the requirements in paragraph (b) of

this section shall apply to the record copies on the alternate media

instead of the original documents.

(b) If administrative records are mixed with program records and

cannot be economically segregated, the entire file should be kept for

the period of time approved for the program records. Similarly, if

documents, specified below, are part of a subject or case file which

documents activities different from those specified below, they should

be treated in the same manner as the files of which they are a part.

* * * * *

(c) Documents listed in paragraph (b)(1) under ``Document'' shall

not be destroyed until final clearance or settlement.

[FR Doc. 94-30667 Filed 12-27-94; 8:45 am]

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