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cerns, development by DOD and GSA of small business contracting and subcontracting programs, publication of proposed procurements in the Commerce Business Daily, and small business set-aside programs

5 U.S.C. § 3109 which authorizes contracts with experts and consultants

50 U.S.C. §§ 1431-1435 which are the extraordinary relief provisions of Pub. L. 85-804 40 U.S.C. § 276c which is the payroll reporting provision of the Copeland Anti-Kickback Act.

These particular provisions are singled out here only because they are obvious examples of the types of provisions that could be consolidated in title 41. They are by no means exclusive. The exact parameters of the task will depend on the extent to which other legislation along the lines that we have recommended in this report is enacted. Many of our other recommendations, if followed, would serve as the building blocks for the consolidation of the procurement laws in title 41.

Outline of a Consolidated Procurement Statute

The possible ways for formulating a consolidated procurement statute are probably infinite. A schematic approach, with examples of the types of provisions appropriate for each section, is shown in the following outline. Existing and proposed statutory provisions are identified for descriptive purposes only.

CONSOLIDATED PROCUREMENT LAW SCHEMATIC

Cost Accounting Standards Board, 50 U.S.C.
App. § 2168
Renegotiation Board, 50 U.S.C. App.
§§ 1211-33

Basic Authority for All Agencies

Employ experts and consultants, 5 U.S.C. § 3109

Employ architects and engineers, 10 U.S.C. $ 4540

Acquire patents, data, and copyrights, 10 U.S.C. § 2386, etc.

Grant rights in patents, data, and copyrights (proposed)

Provide Government property and facilities, for example, title IV, Pub. L. 92-204 Provide R&D facilities, 10 U.S.C. § 2353 Transfer R&D equipment to nonprofits, 42 U.S.C. § 1892

Sell facilities to contractor in possession (proposed)

Contract for basic and applied research, 10 U.S.C. § 2358

Contract for research and development for 5 years, 10 U.S.C. § 2352

Contract for services for 5 years, 10 U.S.C. § 2306 (g)

Enter into grants in lieu of R&D contracts, 42 U.S.C. § 1891

Make advance payments, 10 U.S.C. § 2307 Formalize informal agreements, Pub. L. 85804

Gifts, 50 U.S.C. § 1151

Regulations

Regulatory system (proposed)

Authority of agency heads generally, 5 U.S.C. § 301

Authority of DOD, 10 U.S.C. § 2202

Organizational Structure

Interagency Boards and Authorities

Office of Federal Procurement Policy (proposed)

Personnel

Interagency delegations and transfers, 10 U.S.C. § 2308

Program Authorizations and Appropriations

Authorizations

Authorizations required before appropriations for DOD vessels, missiles, aircraft, NASA programs, AEC programs, Pub. L. 86-149, § 412(f) as amended, 10 U.S.C. § 133 note, architect-engineer advance planning appropriation authorized, 31 U.S.C. § 723

Multiyear authorization (proposed)

Appropriations

Annual appropriations to be applied to expenses of year, 31 U.S.C. § 712a

No contract in excess or advance of appropriations unless authorized expressly, 31 U.S.C. § 627, 665 (a), 41 U.S.C. § 11 Express appropriations required for buildings, 41 U.S.C. § 12

Express appropriations required for autos and aircraft, 31 U.S.C. § 638a Full building contract authorization if partly funded, 40 U.S.C. § 261

No-year funds for military equipment, public works, R&D, and missiles, 31 U.S.C. $649c

No-year funds for public works, 31 U.S.C. § 682

Multiyear funds or contract authority for supplies, services, leases, 10 year utilities, 40 U.S.C. § 481 (a) (3), 5 year service contracts, 10 U.S.C. § 2306 (g)

One-year contracts crossing fiscal years for DOD equipment and facilities, maintenance and repair, Pub. L. 91-668, § 807 (f), DOD leases, Pub. L. 91-668, § 807(j), Army fuel, 31 U.S.C. § 668, metered services, 31 U.S.C. §668a, NASA equipment and facilities, repair and maintenance, Pub. L. 91-699

Appropriation Controls

Recording of obligations, 31 U.S.C. § 200 (a) (1), (3), (4)

Apportionment of appropriations, 31 U.S.C. § 665 (c)

Interdepartmental orders as obligations, 31 U.S.C. § 686

Transfer of appropriations for obligation, 10 U.S.C. § 2309

Transfer of appropriations for interdepartmental orders, 31 U.S.C. § 686 (b)

Supply, Stock, and Industrial Funds

Industrial funds (proposed)
GSA funds, 40 U.S.C. §§ 756, 757
Naval procurement fund, Pub. L. 87-651
Naval stock fund, 31 U.S.C. § 644

Procurement Sources

In-house performance vs. contracting-out policy (numerous specific statutes) Interdepartmental procurement and orders, 31 U.S.C. § 686

Debarring Pinkerton-type agencies, 5 U.S.C. § 3108

Contracting Procedures and Elements

Award and Selection Procedures

Policy on formal advertising, competitive procedures and sole-source negotiation, 10 U.S.C. § 2304, 41 U.S.C. § 252 Formal advertising procedures, 10 U.S.C. § 2305, 41 U.S.C. § 253 Competitive negotiation procedures; determination and findings; solicitations; discussions within competitive range; evaluation factors-order and sources (proposed)

Small purchases (proposed)

Publication in Commerce Business Daily, 15 U.S.C. § 637(e)

Multiyear contracts (proposed)

Contract Types

Determination and findings for cost-type contracts, 10 U.S.C. § 2306(c)

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Advance and progress payments, 31 U.S.C. § 529

Assignment of contracts, 31 U.S.C. § 203, 41 U.S.C. § 15

Notice of subcontracts, 10 U.S.C. § 2306 (e) Access to records-agency and GAO, 10 U.S.C. §§ 2306 (f), 2313

Remission of liquidated damages, 10 U.S.C. § 2312

Contract Settlement Act, 41 U.S.C. §§ 101125

R&D vouchers, DOD, 10 U.S.C. § 2355 Adjustments for mistakes in bids, Pub. L. 85-804

Settling patent claims (proposed)

Settling breach of contract claims (proposed)

Cost, Fee, Profit, Price Limitations

Fees for R&D, architect-engineer, cost-plusa-fixed-fee contracts, 10 U.S.C. § 2306(d) Uniform cost accounting standards, Pub. L. 91-379, § 719

Independent research and development, bid

and proposal costs, Pub. L. 91-441, § 203 Research cost sharing, Pub. L. 92-78, § 504 Advertising costs, DOD, Pub. L. 91-668, § 834

Cost or pricing data, 10 U.S.C. § 2306(f) Profit policy (proposed)

Renegotiation, 50 U.S.C. App. § 1211 Vinson-Trammell Act, 10 U.S.C. § 2382 Advertising rules, 44 U.S.C. §§3702, 3703

Contract Financing and Payments

Assignment of claims, 31 U.S.C. § 203, 41 U.S.C. § 15

Advance payments, 31 U.S.C. § 529, 10 U.S.C. § 2307

Guaranteed loans, 50 U.S.C. App. § 2091

Bonds

Miller Act-mandatory bonds, 40 U.S.C. § 270a, waiver for cost-type contracts, 40 U.S.C. § 270e

Miller Act-discretionary bonds, 40 U.S.C. § 270a (c)

Bid bonds-authorized, 10 U.S.C. § 2381
Bid bonds-mandatory for printing, 44
U.S.C. § 511

Government Property

Authority to provide facilities-appropriation acts, e.g., title IV, Pub. L. 92-204 Authority to provide R&D facilities, 10 U.S.C. § 2353

Sale to contractor in possession (proposed) National industrial reserve, 50 U.S.C. § 451 Wind tunnels, 50 U.S.C. § 512

Nuclear and Extrahazardous Risks

R&D indemnification authority, 10 U.S.C. § 2354

Authority under Pub. L. 85-804
Catastrophic accidents (proposed)

Patents, Data, and Copyrights

Patents: acquiring rights privately developed, 10 U.S.C. § 2386; authorization and consent, 28 U.S.C. § 1498; settle patent claims data, mandatory requirement, 22 U.S.C. § 2356; settle data infringement claims (proposed)

Subcontracts

Notification of subcontracts, 10 U.S.C. 10 § 2306 (e)

Subcontractor Anti-Kickback Act, 41 U.S.C. § 51

Cost or pricing data requirements, 10 U.S.C. § 2306 (f)

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Emergency and Mobilization

Mandatory orders, 10 U.S.C. §§ 4501, 9501; 50 U.S.C. App. § 468; 50 U.S.C. App. $ 2071

Plant seizures, 10 U.S.C. §§ 4501, 9501; 50 U.S.C. § 468

Transportation facilities seizures, 10 U.S.C. SS 4742, 9742

Material priorities, 50 U.S.C. App. § 2071 Suspension of procurement laws, Pub. L. 85804

Extraordinary contractual authority, Pub. L. 85-804

Contract Settlement Act, 41 U.S.C. § 101 Strategic and critical materials, 50 U.S.C. $ 98

Contract Integrity, Standards of Conduct

Contingent fees, 10 U.S.C. § 2306 (f), 41
U.S.C. § 254(a)

Anti-gratuities, 10 U.S.C. § 2207
Officials not to benefit, 41 U.S.C. § 22; 18
U.S.C. § 431

Anti-kickback (subcontracts), 41 U.S.C. § 51
Anti-trust; report of violations, 10 U.S.C.

§ 2305(d); certification on road contracts, 23 U.S.C. § 112(d); collusive bidding, Maritime Administration contracts, 46 U.S.C. § 1224

Employees of NASA/DOD and contractors

annual reporting, 50 U.S.C. § 1436, 42 U.S.C. § 2462

Contractor employment of Navy and Marine Corps officers, 37 U.S.C. § 801 (a) Contracting with government employees, 33 U.S.C. § 725

Miscellaneous

Extraordinary contractual authority, Pub. L. 85-804

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Recodification of most statutes would involve remedial legislation. However, a number of statutes could be recodified without legislation. For example, 41 U.S.C. § 254a relates to negotiated overhead rates for institutions. It was not enacted as part of the original FPASA and is applicable to DOD, NASA, and the Coast Guard as well as the nondefense agencies. Nevertheless, it was put in chapter 4 of title 41 of the United States Code covering the FPASA provisions, including 41 U.S.C. § 252 (a) which states that the chapter does not apply to DOD, NASA, and the Coast Guard. The present arrangement gives the misleading impression that the section does not govern DOD, NASA, and the Coast Guard. The House Committee on the Judiciary could take the necessary corrective action since it is responsible for editorial management of the United States Code.9

Similarly, 41 U.S.C. § 256a, providing for remission of liquidated damages, is misplaced under chapter 4 since it was specifically enacted in lieu of § 256 for the purpose of placing it outside the scope of FPASA and thereby making it applicable to agencies exempt from FPASA. See note to 41 U.S.C. § 256a.

9 See 1 U.S.C. § 201 et seq.

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