Federal Acquisition Regulation; Javits-Wagner-O'Day Program (JWOD)

DEPARTMENT OF DEFENSE

DEPARTMENT OF DEFENSE

GENERAL SERVICES ADMINISTRATION

NATIONAL AERONAUTICS AND SPACE ADMINISTRATION

48 CFR Parts 8, 51, and 52

[FAC 90-37; FAR Case 91-108; Item II]

RIN 9000-AF71

Federal Acquisition Regulation; Javits-Wagner-O'Day Program

(JWOD)

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 and the Defense

Acquisition Regulations Council have agreed on a final rule amending

the Federal Acquisition Regulation (FAR) to clarify that the

Government's obligation to purchase items from statutorily mandated

sources of supply also applies when contractors purchase items for

Government use. This regulatory action was not subject to Office of

Management and Budget review under Executive Order 12866, dated

September 30, 1993.

EFFECTIVE DATE: March 26, 1996.

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 90-37,

FAR case 91-108.Q02

SUPPLEMENTARY INFORMATION:

A. Background

A proposed rule was published in the Federal Register at 59 FR

14454, March 28, 1994. The rule amended FAR Parts 8, 51, and 52 to

clarify that the statutory obligation for Government agencies to

purchase certain items from the Committee for Purchase from People Who

are Blind or Severely Disabled also applies when contractors purchase

items for Government use.

Five substantive comments from three sources were received during

the public comment period. Clarifying revisions have been made to

Secs. 51.101(c) and 52.208-9 of the rule as a result of the public

comments.

B. Regulatory Flexibility Act

The Department of Defense, the General Services Administration, and

the National Aeronautics and Space Administration certify that this

final rule will not have a significant economic impact on a substantial

number of small entities under the Regulatory Flexibility Act, 5 U.S.C.

601, et seq., because it merely clarifies that contractors must

purchase certain items from the same statutorily mandated sources that

Government agencies are required to use, when a contractor is

performing an agency's supply function.

C. Paperwork Reduction Act

The Paperwork Reduction Act does not apply because the changes to

the FAR do not impose recordkeeping or information collection

requirements, or collections of information from offerors, contractors,

or members of the public which require the approval of OMB under 44

U.S.C. 3501, et seq.

List of Subjects in 48 CFR Parts 8, 51, and 52

Government procurement.

Dated: January 11, 1996.

Edward C. Loeb,

Acting Director, Office of Federal Acquisition Policy.

Therefore, 48 CFR parts 8, 51, and 52 are amended as set forth

below:

1. The authority citation for 48 CFR parts 8, 51, and 52 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).

PART 8--REQUIRED SOURCES OF SUPPLIES AND SERVICES

2. Section 8.001 is amended by revising paragraphs (a)(2) (ii) and

(iii) and adding paragraph (c) to read as follows:

8.001 Priorities for use of Government supply sources.

(a) * * *

(2) * * *

(ii) Mandatory Federal Supply Schedules (see subpart 8.4);

(iii) Optional use Federal Supply Schedules (see subpart 8.4); and

* * * * *

(c) The statutory obligation for Government agencies to satisfy

their

[[Page 2631]]

requirements for supplies available from the Committee for Purchase

From People Who Are Blind or Severely Disabled also applies when

contractors purchase the supply items for Government use.

3. Section 8.003 is added to read as follows:

8.003 Contract clause.

The contracting officer shall insert the clause at 52.208-9,

Contractor Use of Mandatory Sources of Supply, in solicitations and

contracts which require a contractor to purchase supply items for

Government use that are available from the Committee for Purchase from

People Who Are Blind or Severely Disabled. The contracting officer

shall identify in the contract schedule the items which must be

purchased from a mandatory source and the specific source.

PART 51--USE OF GOVERNMENT SOURCES BY CONTRACTORS

4. Section 51.101 is amended by adding paragraph (c) to read as

follows:

51.101 Policy.

* * * * *

(c) Contracting officers shall authorize contractors purchasing

supply items for Government use that are available from the Committee

for Purchase from People Who Are Blind or Severely Disabled (see

subpart 8.7) to purchase such items from the Defense Logistics Agency

(DLA), the General Services Administration (GSA), and the Department of

Veterans Affairs (VA) if they are available from these agencies through

their distribution facilities. Mandatory supplies that are not

available from DLA/GSA/VA shall be ordered through the appropriate

central nonprofit agency (see 52.208-9(c)).

5. Section 51.102 is amended in the first sentence of the

introductory text of paragraph (a) by inserting after the word

``sources'' the phrase ``in accordance with 51.101 (a) or (b),'';

adding a new second sentence; and revising paragraph (c)(3) to read as

follows:

51.102 Authorization to use Government supply sources.

(a) * * * A written finding is not required when authorizing use of

the Government supply sources in accordance with 51.101(c). * * *

* * * * *

(c) * * *

(3) Approval for the contractor to use Department of Veterans

Affairs (VA) supply sources from the Deputy Assistant Secretary for

Acquisition and Materiel Management (Code 90), Office of Acquisition

and Materiel Management, Department of Veterans Affairs, 810 Vermont

Avenue, NW., Washington, DC 20420;

* * * * *

PART 52--SOLICITATION PROVISIONS AND CONTRACT CLAUSES

6. Section 52.208-9 is added to read as follows:

52.208-9 Contractor Use of Mandatory Sources of Supply.

As prescribed in 8.003, insert the following clause:

Contractor Use Of Mandatory Sources Of Supply (Mar 1996)

(a) Certain supplies to be provided under this contract for use

by the Government are required by law to be obtained from the

Committee for Purchase from People Who Are Blind or Severely

Disabled (Javits-Wagner-O' Day Act (JWOD) (41 U.S.C. 48)).

Additionally, certain of these supplies are available from the

Defense Logistics Agency (DLA), the General Services Administration

(GSA), or the Department of Veterans Affairs (VA). The Contractor

shall obtain mandatory supplies to be provided for Government use

under this contract from the specific sources indicated in the

contract schedule.

(b) The Contractor shall immediately notify the Contracting

Officer if a mandatory source is unable to provide the supplies by

the time required, or if the quality of supplies provided by the

mandatory source is unsatisfactory. The Contractor shall not

purchase the supplies from other sources until the Contracting

Officer has notified the Contractor that the mandatory source has

authorized purchase from other sources.

(c) Price and delivery information for the mandatory supplies is

available from the Contracting Officer for the supplies obtained

through the DLA/GSA/VA distribution facilities. For mandatory

supplies that are not available from DLA/GSA/VA, price and delivery

information is available from the appropriate central nonprofit

agency. Payments shall be made directly to the source making

delivery. Points of contract for JWOD central nonprofit agencies

are:

(1) National Industries for the Blind (NIB) 1901 North Beauregard

Street, Suite 200 Alexandria, VA 22311-1705 (703) 998-0770

(2) NISH, 2235 Cedar Lane, Vienna, VA 22182-5200 (703) 560-6800

(End of clause)

[FR Doc. 96-1016 Filed 1-25-96; 8:45 am]

BILLING CODE 6820-EP-M