CHANGE TO THE FEDERAL PROCUREMENT REGULATIONS (FPR)

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP85-00988R000500030005-0
• Release Decision: RIFPUB
• Original Classification: K
• Document Page Count: 6
• Document Creation Date: December 22, 2016
• Document Release Date: July 15, 2009
• Sequence Number: 5
• Publication Date: March 27, 1978
• Content Type: REGULATION

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GENE? L 5ERVi ..?S A OMINJSTRATION
ti+~S it:ic'?'oN, D. C. 20405
TO Heads of Federal agencies
March 27, 1978
SUBJECT: Change to the Federal Procurement Regulations (FPR)
FEDERAL PROCUREMENT REGULATIONS
AMENDMENT 191
1. Purpose. This amendment transmits changed pages to the
Federal Procurement Regulations.
2. Effective date. The regulation transmitted by this
amendment ineffective M a y 1 5, 1 9 7 8, but may be observed
earlier.
3. Eackaround. The Energy Policy and Conservation Act
(42 U.S.C. 6361(a)(1)) requires the development of mandatory
standards with respect to energy conservation and energy
efficiency. The Act applies to the procurement policies and
decisions of the Federal Government. Executive Order 11912
required the Administrator of Federal Procurement Policy to
provide policy guidance concerning the application of energy
conservation and efficiency standards.to the Federal procure-
ment process. The Administrator of Federal Procurement Policy
issued Policy Letter 76-1 requesting heads of Federal depart-
ments and establishments to ensure application of the principles
of energy conservation and efficiency in the procurement of
property and services. The General Services Administration,
in cooperation with the Department of Defense, developed the
procedures prescribed by this amendment.
4. Eplanation of changes. Section 1-1.339 is added, which
prescribes procedures designed to achieve energy conservation
an;i\efficiency,by means of the procurement process.
OMON
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CG.WNTS OF PART 1-1 GENER?
PART 'I-1---GENERAL
Sec.
Sec.
1-1.305-1
Mandatory use of Federal Speci-
1-1.000
Scope of part.
fications.
1--1.305-2
Subpart 1-1.0-Regulation System
Exceptions to mandatory use of
Federal Specifications.
1-1.001
Scope of subpart.
1-1.305-3
Deviations from Federal Speci-
1-1.002
Purpose.
fications.
1-1.003
Authority.
1-1.305-4
Optional use of Interim Federal
1-1.004
Applicability.
Specifications.
1-1 004-1
Leases of Real Property.
1-1.305-5
Use of Federal and Interim
1-1.005
Exclusions.
Federal Spectncatlons in Fed-
1-1.006
Issuance.
eral construction contracts.
1-1.006-1
Code arrangement.
1-1.3056
Military and departmental speci-
1-1.006-2
Publication.
fications.
1-1.006-3
Copies.
1-1.306
Standards.
1--1.006--4
Coordination.
1-1.306-1
Mandatory use and application
1-1.007
Arrangement.
of Federal Standards.
1--1.007-1
General plan.
1-1.307
Purchase descriptions.
1-1.007-2
Numbering.
1-1.307-1
Appacability.
1-1.007-3
Citation.
1-1.307-2
General requirements.
1-1.008
Agency implementation.
1-1.307-3
Commercial. and State and local
1-1.009
Deviation.
government specifications and
1-1.009-1
Description.
standards.
1-1 009-2
Procedure.
1-1.307--4
Brand name products or equal.
1-1.009-3
Limitation on deviations.
1-1307-.i
Limitations on use of "brand
1-1.010
Interagency Procurement Policy
Committee.
name or equal" purchase de-
scr iotions.
1-1.011 O
ffice of Federal Procurement Pol-
icy Act.
1-1.307-6
Invitation for bids, "brand name
or equal" descriptions.
1-1.011-1
General.
1-1.307-7
I3id evaluation and award.
1-1.011-2
Declaration of policy.
"brand name or equal" de-
scriptions.
Su
bpart 1-1.1-(Reserved]
1-1.307-3
Procedure for negotiated pro-
Subpart 1-1.2-Definition of Terms
curements and small pur-
h
1-1
201 Definitions
ases.
c
.
-
1-1.307-0
202 Executive agency
1-1
Inspection and acceptance.
.
.
.
1-1.305
1-1.203 Federal agency.
1
1 Reter ved
1-1.309
1-1.204 ' ]lead of the agency.
~ Reserved]
1-1.310
1-1.205 Procuring activity.
. Reserved ;
1-1.206 Head of the procuring activity. 1-1.311
Priorities, allocations, and allot-
1-1.207 Contracting officer.
ments.
1--1.208 Contract. 1-1.312
Reser-ed ]
1-1.209 Procurement. 1-1.213
Accords of contract actions.
1-1.210 Reserved 1 1-1.314
Solicitations for informational
1-1.211 Reserved]
or planning purposes.
1-1.212 Reserved] 1-1.315
Use of liquidated damages pro-
1-1.213 Reserved]
visions in procurement con-
1--1.214 Reserved]
tracts.
1-1.215 Government instrumentality. i-1.315-1
General.
1-1.216 United States. 1-1.315-2
Policy.
1-1.217 Possessions. 1-1.315-3
Contract provisions.
1-1.218 Negotiation. 1-1.316
Time of delivery or performance.
1--1.219 Contract modification. 1-1.316-1
Scope and applicability.
1-1.220 Procurement item. 1-1.316-2
General.
1-1.316-3
Factors to be considered.
Subpart 1-1.3-General Policies 1-1.316-4
Terms.
1-1.301 Methods of procurement. 1-1.316-5
Time of delivery clauses.
1-1.301-1 Competition. 1-1.317
Noncollusive bids and proposals.
1-1.301-2 Formal advertising. 1-1.318
Disputes clause.
1-1.301-3 Negotiation. 1-1.318-1
302 Procurement sources.
1-1
Contracting officer's decision un-
der a Dispute,, clause.
.
1-1.318-2
302-1 General.
1-1
Relationship to the Equal Oppor-
.
302-2 Production and research and
1-1
tunity clause.
.
development penis. 1-1.319
Procurement of items using
1-1.302-3 Contracts between the Govern-
jewel hearings.
ment and Government em- 1-1.320
Subcontractor gifts and kick-
ployees or business concerns
backs.
substantially owned or con- 1-1.321
1 Reserved 1
'
trolled by Government em-
1-1.322
Payment of interest on contractors
ployees.
claims.
1-1.303 Approval signatures.
i-1.323
Preference for U.S. flag air car-
1-1.304 Designation of solicitation opening
riers.
time.
1-1.323-1
Policy.
1-1.305 Specifications.
1-1.323-2
Clause.
FEDERAL PROCUREMENT REGULATIONS
(SECOND EDITION, FPR AMENDMENT 191,,MARCH 1978)
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CO?NTS OF PART 1-1 GENER?
See
1-1.323-3 Availability or unavailability of
certificated air carrier.
1-1.323-4 Disallowance of expenditures.
1-1.323-5 Air freight forwarders.
1-1.324 [Reserved[
1-1.325 (Reserved]
1-1.326 [Reserved]
1-1.327 Protection of the privacy of in-
dividuals.
1-1.327-1 General.
1-1.327-2 Definitions.
1-1.327-3 Statutory requirements.
1-1.327-4 Applicability.
1-1.327-5 Procedures.
1-1.328 [Reserved]
1-1.329 [Reserved]
1-1.330 [It eserved]
1-1.332 [Reservers]
1-1.333 [Reserved]
1-1.334 [Reserved]
1-1.335 [Reserved]
1-1.336 [Reserved]
1-1;337 [Reserved]
1-1.338 [Reserved]
1-1.339 Energy conservation.
1-1.339-1 Authority.
1-1.339-2 Procedures.
1-1.339-3 Definitions.
Subpart 1-1.4-Procurement Responsibility and
Authority
1-1.400 Scope of subpart.
1-1.401 Responsibility of the head of the
procuring activity.
1-1.402 Authority of contracting officers.
1.?103 Requirements to he met before
entering into contracts.
1-1.404 Selection, designation. and ter-
mination of designation of
contracting officers.
1-1.404-1 Selection.
1-1.404-2 Designation.
1-1.401-3 Termination of designation.
1-1.404-4 Assignment of duties to con-
tracting officers
1-1.405 Ratification of unauthorized
contract awards.
1-1.500 Scope of subpart.
1-1.501 Applicability.
Sec.
1-1.502 Improper Influence.
1-1.503 Covenant.
1-1.504 General principles and standards
applicable to the covenant.
1-1.504-1 Use of principles and standards.
1-1.504-2 Contingent character of the fee.
1-1.504-3 Exceptions to the prohibition.
1-1.504-4 Bona fide employee.
1-1.504-5 Bona fide established commer-
cial or selling agency main-
tained by the contractor for
the purpose of securing busi-
ness.
1-1.504-6 Fees for "information."
1-1.505 Representation and agreement
required from prospective con-
tractors.
1-1.506 Interpretation of the representa-
tion.
1-1:507 Use of Standard Forin 119.
1-1.507-1 Form prescribed.
1-1.507-2 Statement in lieu.of form.
1-1.507-3 Exceptions.
1-1.508 Enforcement.
1-1.508-1 Failure or refusal to furnish rep-
resentation and agreement.
1-1.508-2 Failure or refusal to furnish
Standard Form 119.
1-1.508-3 Misrepresentations or violations
of the covenant against con-
tingent fees.
1-1.509 Preservation of records.
Subpart 1-1.6-Debarred, Suspended, and
Ineligible Bidders
1-1.600 Scope of subpart.
1-1.601 General.
1-1.601-1 Definitions.
1-1.602 Establishment and maintenance
of a list of concerns or Indi-
viduals debarred. suspended.
or declared ineligible.
1-1.602-1 Bases for entry on the debarred.
suspended, and ineligible bid-
ders list.
1-1.603 Treatment to he accorded firms
or individuals in debarred,
suspended, or ineligible status.
1-1.604 Causes and conditions applicable
to determination of debarment
by an executive agency.
FEDERAL PROCUREMENT REGULATIONS
(SECOND EDITION. FPR AMENDMENT 191. MARCH 1978)
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S?'ART 1-1.3 GENERAL POLICI?
However, the criminal penalties of the
Act do not extend to contractors or their
employees who design or develop systems
of records pursuant to a Government
contract.
(c) An agency which, within the limits
of its authority, fails to require that sys-
tems of records on individuals operated
on its behalf under contracts be main-
tained in accordance with the Act may
be civilly liable to individuals injured
as a consequence of any subsequent
failure to maintain records in conform-
able with the Act.. Any. officer or em-
ployee of the agency may be criminally
liable for violations of the Act. The refer-
ence in the Act to the contractor and his
employees as employees of the agency is
intended only for the purposes of the
criminal penalties of the Act and not to
.suggest that, by virtue of this language,
they are employees for any other
purposes.
? 1-1.327-4 Applicability.
(a) Whenever a Federal agency con-
tracts for the design, development, op-
eration, or maintenance of a system of
records on individuals on behalf of the
agency in order to accomplish an agency
function, the agency must apply the re-
quirements of the Act to the contractor
and his' employees working on that con-
tract. Systems of records on individuals
operated under a contract which are de-
signed to accomplish an agency function
are deemed to be maintained by the
agency and are subject to Section 3 of the
Act.
(b) (1) In order to establish the appli-
cability of the clause in ? 1-1.327-5, it is
necessary for the agency awarding a con-
tract to determine whether a purpose of
any system of records on individuals
which may be involved is to accomplish
an agency function. For the Act to be ap-
plicable, the contract need not have as
its sole purpose the design, development,
or operation of such a system of records,
but the contract should specifically state
whether it involves the design, develop-
ment, or operation of a system of rec-
ords. The Act is not applicable to a sys-
tem of records used by a contractor as. a
result of his management discretion. For
example, it is not applicable to systems
of personnel records maintained by con-
tractors on their own behalf.
(2) Illustrations of systems of records
to which the Act applies include the
following:
(i) The determinations on benefits are
made by Federal agencies:
(ii) Records are maintained for ad-
ministrative functions of a Federal
agency, such as personnel and payroll;
or
(iii) Health records are maintained by
an outside contractor engaged to provide
health services to agency personnel.
(3) Illustrations of systems of records
to which the Act does not apply include
the following:
(i) Records are maintained by the
contractor on individuals whom the con-
tractor employs in the process of provid-
ing goods and services to the Federal
Government: or
(ii) An agency contracts with a State
or private educational organization to
provide training, and the records gen-
erated on contract students pursuant to
their attendance (admission forms,
grade reports) are similar to those main-
tained on other students and are com-
mingled with their records on other
students.
? 1-1.327-5 Procedures.
(a) All procurement requirements
shall be reviewed to determine whether
the design, development, or operation of
a system of records on individuals to ac-
complish an agency function will he re-
quired, and the related contract shall
identify specifically which of those func-
tions is to be performed by the contrac-
tor. If the design, development, or opera-
tion of such a system is required, related
solicitations and contracts shall include
the notification set forth in ? 1-1.327-5
(b) and the clause set forth in ? 1-1.327-
5(c). Pertinent implementing agency
rules and regulations shall be made avail-
able in accordance with agency proce-
dures. All contract work statements shall
specifically identify (1) the system or
systems of records and (2) the work to
be performed by the contractor in terms
of any one of the following: (i) design,
(ii) development, or (iii) operation.
(b) The following notification shall be
included in every solicitation and result-
ing contract, and in every contract
awarded without a solicitation, when the
statement of work requires the design,
FEDERAL PROCUREMENT REGULATIONS
(SECOND EDITION, FPR At' ND;rt:NT 161., DECEMBER 1975)
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? . PART 1--1- GENERAL ~ ? -
development, or operation of a system of
records on individuals for an agency
function :
PRIVACY ACT NOTIFICATION
This procurement action requires theCon--
tractor to do one or more of the following:
design, develop, or operate a system of records
on individuals to accomplish an agency func-?
tion in accordance with the Privacy Act of
1974, Public Law 93-579, December 31, 1974
(5 U.S.C. 552a) and applicable agency regula-
tions. Violation of the Act may involve the
imposition of criminal penalties.
(c) The following clause shall be in-
cluded in every solicitation and resulting
contract, and in every contract awarded
without a solicitation, when the state-
ment of work requires the design,
development, or operation of a system of
records on individuals to accomplish an
agency function.
PRIVACY ACT
(a) The Contractor agrees:
(1) To comply with the Privacy Act of 1974
and the rules and regulations issued pursu-
ant to the Act in the design, development, or
operation of any system of records on individ-
uals in order to accomplish an agency func-
tion when the contract specifically identifies
(1) the system or systems of records and (ii)
the work to he performed by the contractor
in ternls of any one or combination of the
following: (A) design, (13) development, or
(C) operation;
(2) to include the solicitation notification
contained in this contract in every solicita-
tion and resulting subcontract and In every
subcontract awarded without a solicitation
when the statement of work In the-proposed
subcontract requires the design, develop-
ment, or operation of a system of records on
individuals to accomplish an agency func-
tion; and
(3) to include this clause, including this
paragraph (3), In all subcontracts awarded
pursuant to this contract which require the
design, development, or operation of such a
system of records.
(b) In the event of violations of the Act,
a civil action may be brought against the
124.8
agency involved where the violation concerns
the design, development, or operation of a
system of records on individuals to accom-
plish an agency function, and criminal penal-
ties may be imposed upon the officers or em-
ployees of the agency where the violation
concerns the operation of a st-stem of records
on individuals to accomplish an agency func-
tion. For purposes of the Act when the con-
tact Is for the operation of a system of
records on individuals 'to accomplish an
agency function, the contractor and any ern-
o:oyee of the contractor is considered to be
an employee of the agency.
(c) The terms used in this clause have the
following meanings:
(1) "Operation of a system of records"
means performance of any of the activities
associated with maintaining the system of
records including the collection, use, and dis-
semination of records.
(2) "Record" means any Item, collection,
or grouping of information about an 'indi-
vidual that is maintained by an agency, in-
cluding, but not limited to, his education,
financial transactions, medical history, and
criminal or employment history and that
contains his name, or the identifying num-
ber, symbol, or other identifying particular
assigned to the Individual, such as a finger
or voice print or a photograph.
(3) "System of records" on individuals
means a group of any records under the con-
trol of any agency from which information
is retrieved by the naive of the individual or
by some identifying number, symbol, or other
identifying particular assigned to the Indi-
vidual.
1-1.328 Reserved
1-1.329 Reserved
1-1.330 Reserved
1-1.331 [Reserved)
1.1.332 [Reserved]
1-1.333
1-1.334
1-1.335
1-1.336
1-1.337
1-1.338
? 1-1.339
Reserved
Reserved
Reserved
Reserved
Reserved
Reserved
Energy conservation.
? 1-1.339-1 Authority.
(a) The Energy Policy and Conserva-
tion Act (42 U.S.C. 6361(a)(1)) provides .j
FEDERAL PROCUREMENT REGULATIONS
(SECOND EDITION, FPR AMENDMENT 191. MARCH 1978)
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?PAR 1- 1-1.3 GENERRAL POLIC?
1-1.339-3(f)
as follows: "The President shall, to the the Motor Vehicle Information and extent of his authority under other Cost Savings Act) of a type-
law, establish or coordinate Federal (1) Which in operation consumes, or
agency actions to develop mandatory is designed to consume, energy; and
standards with respect to energy con- (2) Which, to any significant extent,
nervation and energy efficiency to is distributed in commerce for person-
govern the procurement policies and al use or consumption by individuals;
decisions of the Federal Government, without regard to whether such article
and all Federal agencies, and shall of such type is in fact distributed in
take such steps as are necessary to commerce for personal use or con-
cause such standards to b~ ir. ?enc;nc- sumption by an individual.
ed."
(h) The authority of the President (b) The term "covered product"
under the act was delegated by the matins a consumer product of one of
President, to the Administrator of the the foilowing types:
Office of Federal Procurement Policy (I) Refrigerators and refrigerator-
in Executive Order 11912. The Admin- freezers.
istrator issued Policy Letter No. 76-1, (2) Freezers.
which requested agencies " ' ? to (;;) Dishwashers.
ensure that, the principles of energy (4) Clothes dryers.
conservation and efficiency are ap- t5! Water heaters.
plied in the procurement of property (6) Room air-conditioners.
and services whenever the application (7) Home heating equipment, not in-
of such principles would be meaning- eluding furnaces.
ful and practicable and consistent with (g) Television sets.
agency programs and operational (9) Kitchen ranges and ovens.
needs." It also provided for irnplemen- (10) Clothes washers.
tation of the policy in the Federal Pro- (11) Humidifiers and dehumidifiers.
curement Regulations. (12) Central air-conditioners.
1-1.339-2 Procedures. (13) Furnaces.
(14) Any other type of product
(a) Energy conservation and energy which the Secretary of Energy classi-
efficiency criteria shall be applied in fies as a covered product pursuant to
the determination of requirements 42 U.S.C. 6292(b).
and source selection decisions when- (c) The term "energy use and effi-
ever the application of such criteria eieney label" means a label required to
would be meaningful, practical. and be provided by manufacturer of a cov-
consistent with agency programs and erect product pursuant to 42 U.S.C.
operational needs. Under this policy, 6296.
energy conservation and efficiency cri- (d) The term "manufacturer" means
teria shall be considered for applica- any person who manufactures a con-
tion along with price and other rel- sumer product.
evant factors in the preparation of so- (e) The term "energy efficiency
licitations; the evaulation of offers, standard" means a performance stan-
and the selection of bids and proposals dard-
for award. (1) Which prescribes a minimum
(b) When procuring consumer prod- level of energy efficiency for a covered
ucts, executive agencies shall take into product, determined in accordance
coilsideration energy use and efficien- with test procedures prescribed tinder
cy labels and p, escribed energy effi- 42 U.S.C. 6293; and
ciency standards as they become avail- (2) Which includes any other re-
able. quirements which the Secretary of
Energy may prescribe under 42 U.S.C.
? 1-1.339-3 Definitions. 6295(c).
(a) The term "consumer product" (f) The term "manufacture" means
means any article (other than an auto- to manufacture, produce, assemble, or
mobile, as defined in section 501(l) of import.
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