Rule2024-25967
General Services Administration Acquisition Regulation; SAM Representation for Leases
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
November 15, 2024
Effective
December 16, 2024
Issuing agencies
General Services Administration
Abstract
The General Services Administration is issuing this final rule amending the General Services Administration Acquisition Regulation (GSAR) to remove the requirement for lease offerors to have an active System for Award Management registration when submitting offers and instead allow offers up until the time of award to obtain an active registration.
Full Text
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<title>Federal Register, Volume 89 Issue 221 (Friday, November 15, 2024)</title>
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[Federal Register Volume 89, Number 221 (Friday, November 15, 2024)]
[Rules and Regulations]
[Pages 90238-90240]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2024-25967]
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GENERAL SERVICES ADMINISTRATION
48 CFR Parts 501, 552, and 570
[GSAR Case 2020-G512; Docket No. 2024-0010; Sequence No. 1]
RIN 3090-AK22
General Services Administration Acquisition Regulation; SAM
Representation for Leases
AGENCY: Office of Acquisition Policy, General Services Administration
(GSA).
ACTION: Final rule.
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SUMMARY: The General Services Administration is issuing this final rule
amending the General Services Administration Acquisition Regulation
(GSAR) to remove the requirement for lease offerors to have an active
System for Award Management registration when submitting offers and
instead allow offers up until the time of award to obtain an active
registration.
DATES: Effective December 16, 2024.
FOR FURTHER INFORMATION CONTACT: For clarification of content, contact
Ms. Michaela Mastroianni, Procurement Analyst, or Ms. Amy Lara,
Procurement Analyst, at <a href="/cdn-cgi/l/email-protection#4e293d2f3c3e2122272d370e293d2f60292138"><span class="__cf_email__" data-cfemail="066175677476696a6f657f4661756728616970">[email protected]</span></a> or 816-926-7172. For
information pertaining to status or publication schedules, contact the
Regulatory Secretariat at <a href="/cdn-cgi/l/email-protection#e2a5b1a3b08785b18781a2859183cc858d94"><span class="__cf_email__" data-cfemail="acebffedfec9cbffc9cfeccbdfcd82cbc3da">[email protected]</span></a> or 202-501-4755. Please
cite GSAR Case 2020-G512.
SUPPLEMENTARY INFORMATION:
I. Background
GSA published a proposed rule in the Federal Register at 89 FR
21230 on March 27, 2024, to amend the GSAR to create a SAM registration
provision specific for the acquisitions of leasehold interests in real
property. This provision was prompted by the implementation of FAR Case
2015-005 (see 83 FR 48691), which clarified the timing of registration
in the System for Award Management (SAM). Effective October 2018, this
FAR case implemented the requirement for an offeror to be registered in
SAM prior to the submission of an offer as opposed to the offerer being
registered prior to award as was previously followed before the FAR
change. While leasing of real property is not subject to the FAR, GSA
prescribed FAR clause 52.204-7 in solicitations for the lease of real
property. It found this FAR amendment had a significant effect on
prospective GSA lessors.
On February 12, 2020, GSA established a GSA specific version of the
FAR clause to permit the completion of SAM representation for leases
prior to award instead of prior to offer for leasing companies. GSA
would therefore only require the apparent awardee to complete the SAM
registration. This change will codify this provision in the GSAR.
II. Discussion and Analysis
A. Analysis of Public Comments
GSA provided the public a 60-day comment period (March 27, 2024, to
May 28, 2024). GSA did not receive any comments from the public.
B. Summary of Changes
Two editorial fixes were made:
<bullet> GSA corrected the Office of Management and Budget (OMB)
Control Number referenced in error in the proposed rule and included
the OMB Control Number in GSAR 501.106 for this final rule.
<bullet> The prescribed Alternate I (552.270-35) language was
erroneously not included in the proposed rule. This language is now
included.
III. Expected Impact of the Rule
There were no public comments received that are specific to the
[[Page 90239]]
economic impact statement of the rule. As such, the analysis remains
the same as before. This rule is not expected to have a significant
impact to Government or industry. This rule will reduce the burden on
leasing companies by allowing offerors to complete SAM representation
for leases prior to award instead of prior to offer. Completing SAM
representations prior to offer for each property is time consuming for
a leasing company and burdensome to effective competition. This will
streamline the process and encourage competition, which will benefit
the Government.
IV. Executive Orders 12866, 13563 and 14904
Executive Orders (E.O.s) 12866 and 13563 direct agencies to assess
all 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 emphasizes the importance of quantifying both costs and benefits,
of reducing costs, of harmonizing rules, and of promoting flexibility.
E.O. 14094 Modernizing Regulatory Review (<a href="https://www.federalregister.gov/documents/2023/04/11/2023-07760/modernizing-regulatory-review">https://www.federalregister.gov/documents/2023/04/11/2023-07760/modernizing-regulatory-review</a>) supplements and reaffirms the principles,
structures, and definitions governing contemporary regulatory review
established in E.O. 12866 and E.O. 13563. The Office of Information and
Regulatory Affairs (OIRA) has determined this rule not to be a
significant regulatory action and, therefore, is not subject to review
under section 6(b) of E.O. 12866, Regulatory Planning and Review, dated
September 30, 1993.
V. Congressional Review Act
OIRA has determined this rule is not to be a ``major rule'' under 5
U.S.C. 804(2). The Congressional Review Act, 5 U.S.C. 801 et seq., as
amended by the Small Business Regulatory Enforcement Fairness Act of
1996, generally provides that before a ``major rule'' may take effect,
the agency promulgating the rule must submit a rule report, which
includes a copy of the rule, to each House of the Congress and to the
Comptroller General of the United States. The General Services
Administration will submit a report containing this rule and other
required information to the U.S. Senate, the U.S. House of
Representatives, and the Comptroller General of the United States. A
major rule cannot take effect until 60 days after it is published in
the Federal Register.
VI. Regulatory Flexibility Act
GSA does not expect this rule to have a significant economic impact
on a substantial number of small entities within the meaning of the
Regulatory Flexibility Act, 5 U.S. 601, et seq. because it reduces the
burden on small business entities by allowing offerors to complete SAM
representation for leases prior to award instead of prior to offer, and
does not implement new or changed requirements. However, a Final
Regulatory Flexibility Analysis (FRFA) has been prepared consistent
with 5 U.S.C. 604.
The Regulatory Secretariat will submit a copy of the FRFA to the
Chief Counsel for Advocacy of the Small Business Administration. A copy
of the FRFA may be obtained from the Regulatory Secretariat Division.
The analysis is summarized as follows:
GSA is amending the GSAR to permit the completion of the SAM
representations at award instead of at offer for lease procurements.
There were no comments submitted and therefore no significant
issues raised by the public in response to the initial regulatory
flexibility analysis.
Two editorial fixes were made:
<bullet> GSA corrected the OMB Control Number referenced in
error in the proposed rule and included the OMB Control Number in
GSAR 501.106 for this final rule.
<bullet> The prescribed Alternate I (552.270-35) language was
erroneously not included in the proposed rule. This language is now
included.
The objective of the rule is to amend the GSAR to amend Part
552, Solicitation Provisions and Contract Clauses, of the GSAR by
creating Subsection 552.270-35, System for Award Management--
Leasing.
Title 40 of the United States Code (U.S.C.) Section 121
authorizes GSA to issue regulations, including the GSAR, to control
the relationship between GSA and contractors.
GSA has approximately 8,000 leases in total. Approximately 70
percent of leasing entities were small entities. This information is
based on internal inventory data sources.
GSA does not expect this rule to have a significant economic
impact on a substantial number of small business entities within the
meaning of the Regulatory Flexibility Act, at 5 U.S.C. 601. This
rule reduces the burden on small business entities by allowing
offerors to complete SAM representation for leases prior to award
instead of prior to offer, and does not implement new or changed
requirements.
The rule involves reporting and recordkeeping that are currently
covered under OMB Control Number 9000-0189, Certain Federal
Acquisition Regulation Part 4 Requirements. This rule does not
include any new reporting, recordkeeping, or other compliance
requirements for small business entities.
This rule does not duplicate, overlap, or conflict with any
other Federal rules.
There are no known alternatives to this rule which would
accomplish the stated objectives. This rule does not initiate or
impose any new administrative or performance requirements on small
business contractors.
VII. Paperwork Reduction Act
The Paperwork Reduction Act (44 U.S.C. chapter 35) does apply;
however these changes to the GSAR do not impose additional information
collection requirements to the paperwork burden previously approved
under the Office of Management and Budget Control Number 9000-0189,
Certain Federal Acquisition Regulation Part 4 Requirements.
List of Subjects in 48 CFR Parts 501, 552, and 570
Government procurement.
Jeffrey A. Koses,
Senior Procurement Executive, Office of Acquisition Policy, Office of
Government-wide Policy, General Services Administration.
Therefore, GSA is amending 48 CFR parts 501, 552, and 570 as set
forth below:
0
1. The authority citation for 48 CFR parts 501, 552, and 570 continues
to read as follows:
Authority: 40 U.S.C. 121(c).
PART 501--GENERAL SERVICES ADMINISTRATION ACQUISITION REGULATION
SYSTEM
0
2. In section 501.106, amend table 1 by adding in numerical order an
entry for ``552.270-35''.
The addition reads as follows:
501.106 OMB Approval under the Paperwork Reduction Act.
* * * * *
Table 1 to 501.106
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OMB control
GSAR reference No.
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* * * * *
552.270-35.............................................. 9000-0189
* * * * *
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PART 552--SOLICITATION PROVISIONS AND CONTRACT CLAUSES
0
3. Add section 552.270-35 to read as follows:
[[Page 90240]]
552.270-35 System for Award Management--Leasing.
As prescribed in 570.702, insert the following provision:
System for Award Management--Leasing (12/2024)
(a) Definitions. As used in this provision--
Electronic Funds Transfer (EFT) indicator means a four-character
suffix to the unique entity identifier. The suffix is assigned at the
discretion of the commercial, nonprofit, or Government entity to
establish additional System for Award Management records for
identifying alternative EFT accounts (see subpart 32.11) for the same
entity.
Registered in the System for Award Management (SAM) means that--
(i) The Offeror has entered all mandatory information, including
the unique entity identifier and the EFT indicator, if applicable, the
Commercial and Government Entity (CAGE) code, as well as data required
by the Federal Funding Accountability and Transparency Act of 2006 (see
subpart 4.14) into SAM;
(ii) The Offeror has completed the Core, Assertions,
Representations and Certifications, and Points of Contact sections of
the registration in SAM;
(iii) The Government has validated all mandatory data fields, to
include validation of the Taxpayer Identification Number (TIN) with the
Internal Revenue Service (IRS). The offeror will be required to provide
consent for TIN validation to the Government as a part of the SAM
registration process; and
(iv) The Government has marked the record ``Active''.
Unique entity identifier means a number or other identifier used to
identify a specific commercial, nonprofit, or Government entity. See
<a href="http://www.sam.gov">www.sam.gov</a> for the designated entity for establishing unique entity
identifiers.
(b)(1) An Offeror is required to be registered in SAM at time of
award, and shall maintain registration in SAM during contract
performance, and through final payment of any contract, basic
agreement, basic ordering agreement, or blanket purchasing agreement
resulting from this solicitation.
(2) The Offeror shall enter, in the block with its name and address
on the cover page of its offer, the annotation ``Unique Entity
Identifier'' followed by the unique entity identifier that identifies
the Offeror's name and address exactly as stated in the offer. The
Offeror also shall enter its EFT indicator, if applicable. The unique
entity identifier will be used by the Contracting Officer to verify
that the Offeror is registered in SAM.
(c) If the Offeror does not have a unique entity identifier, it
should contact the entity designated at <a href="http://www.sam.gov">www.sam.gov</a> for establishment
of the unique entity identifier directly to obtain one. The Offeror
should be prepared to provide the following information:
(1) Company legal business name.
(2) Tradestyle, doing business, or other name by which the entity
is commonly recognized.
(3) Company physical street address, city, state, and Zip Code.
(4) Company mailing address, city, state and Zip Code (if separate
from physical).
(5) Company telephone number.
(6) Date the company was started.
(7) Number of employees at your location.
(8) Chief executive officer/key manager.
(9) Line of business (industry).
(10) Company headquarters name and address (reporting relationship
within the entity).
(d) If the Offeror does not become registered in the SAM database
in the time prescribed by the Contracting Officer, the Contracting
Officer will proceed to award to the next otherwise successful
registered Offeror.
(e) Processing time should be taken into consideration when
registering. Offerors who are not registered in SAM should consider
applying for registration immediately upon receipt of the solicitation.
See <a href="https://www.sam.gov">https://www.sam.gov</a> for information on registration.
(End of provision)
Alternate I (12/2024).As prescribed in 570.702, substitute the
following paragraph (b)(1) for paragraph (b)(1) of the basic provision:
(b)(1) An Offeror is required to be registered in SAM as soon as
possible. If registration is not possible prior to award, the
Contractor shall be registered in SAM within 30 days after award or
before three days prior to submission of the first invoice, whichever
occurs first.
PART 570--ACQUIRING LEASEHOLD INTERESTS IN REAL PROPERTY
570.701 [Amended]
0
4. In section 570.701 amend the table in paragraph (a), in the second
column, by removing the entry ``52.204-7 System for Award Management.''
0
5. Amend section 570.702 by adding in numerical order and entry for
``552.270-35'' to read as follows:
570.702 GSAR solicitation provisions.
* * * * *
552.270-35 System for Award Management--Leasing (in lieu of FAR
52.204-7).
Use Alternate I of the provision for procurements not providing for
full and open competition due to unusual or compelling urgency.
[FR Doc. 2024-25967 Filed 11-14-24; 8:45 am]
BILLING CODE 6820-61-P
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