§ 5-1.100 Scope of subpart.

This subpart establishes Chapter 5 of the Federal Procurement Regulations System, and states its relationship to the Federal Procurement Regulations (FPR), and to other procurement instructions governing GSA operations.

§ 5-1.101 Establishment of GSA-wide procurement policies and procedures.

GSA-wide procurement policies and procedures (Chapter 5) are prescribed by the Administrator of General Services and are established to provide, for all General Services Administration (GSA) activities, uniform policies and procedures applicable to procurement of personal property and nonpersonal services (including construction).

§ 5-1.102

Relationship of Chapter 5 to the FPR and other procurement instructions.

(a) Chapter 5 implements and supplements the FPR. Material published in the FPR, which has Government-wide applicability, becomes effective throughout GSA upon the effective date of the particular FPR material. Such material generally will not be repeated, paraphrased, or otherwise restated in Chapter 5.

(b) Implementing material is that which expands upon related FPR material. Supplementing material is that for which there is no counterpart in the FPR.

(c) Material in Chapter 5 may supersede the FPR, as when a deviation is authorized, but only when the deviation is explicitly referenced to the FPR. Where Chapter 5 contains no material implementing the FPR, the FPR will govern.

(d) Procurement instructions necessary to implement or supplement the FPR and Chapter 5 will be issued by the heads of the services and staff offices of GSA and their counterparts in the regional offices in appropriate chapters. These, together with the FPR and Chapter 5, constitute the General Services Administration Procurement Regulations (GSPR).

§ 5-1.103 Applicability.

Chapter 5 applies to all purchases and contracts made by the General Services Administration for the procurement of personal property and nonpersonal services (including construction). Unless otherwise specified, Chapter 5 applies to

purchases and contracts within and outside the United States.

§ 5-1.104 Method of issuance.

(a) All Chapter 5 material deemed necessary for business concerns and others interested to understand basic and significant GSA procurement policies and procedures will be published in the FEDERAL REGISTER. Other related material also may be published in the FEDERAL REGISTER when its inclusion will provide a logical, comprehensive statement of GSA procurement policies and procedures.

(b) The Chapter 5 material published in the FEDERAL REGISTER will be published in cumulative form in Chapter 5 of Title 41 of the Code of Federal Regulations. The FEDERAL REGISTER and Title 41 of the Code of Federal Regulations may be purchased from the Superintendent of Documents, Government Printing Office, Washington 25, D.C.

§ 5-1.105 Exclusions.

(a) Certain GSA procurement policies and procedures which come within the scope of this Chapter 5 nevertheless may be excluded therefrom when there is a justification therefor. These exclusions may include the following categories:

(1) Subject matter which bears a security classification.

(2) Policies or procedures which are expected to be effective for a period of less than six months.

(3) Policies or procedures which are effective on an experimental basis for a reasonable period.

(4) Policies and procedures pertaining to other functions of GSA as well as to procurement functions and there is need to make the issuance available simultaneously to all GSA employees concerned.

(5) Speed of issuance is essential, numerous changes are required in Chapter 5, and all necessary changes cannot be made promptly.

(b) Procurement procedures and instructions issued in other than the FPR System format under (a) (4) and (5), above, will be codified into Chapter 5 at the earliest practicable date, but in any event not later than six months from date of issuance.

§ 5-1.106 Arrangement.

(a) Generally, the numbering system used in Chapter 5 conforms to that of the FPR (see § 1-1.007-2). Thus, a particular procurement policy or procedure is identified by the same number in both the FPR and Chapter 5 except that the first digit of the number is either 1 (FPR) or 5.

(b) Where Chapter 5 implements a part, subpart, section, or subsection of the FPR, the implementing part, subpart, section or subsection of Chapter 5 will be numbered (and captioned) to correspond to the FPR part, subpart, section, or subsection.

(c) Where Chapter 5 supplements the FPR and thus deals with subject matter not contained in the FPR, the numbers in the group 50 through 69 will be assigned to the respective supplementing parts, subparts, or sections.

(d) Where the subject matter contained in the part, subpart, section, or subsection of the FPR requires no implementation, Chapter 5 will contain no corresponding part, subpart, section, or subsection. Thus, there may be gaps in the Chapter 5 series of part, subpart, section, or subsection numbers; in such cases, reference must be made to the FPR for policy and procedure applicable throughout GSA.

§ 5-1.106-3 Cross references.

(a) Within Chapter 5, cross references to the FPR will be made in the same manner as used within the FPR. Illustrations of cross references to the FPR are:

(1) Part 1-3.

(2) Subpart 1-3.1.

(3) § 1-3.413-5.

(b) Within Chapter 5, cross references to parts, subparts, and sections of Chapter 5 will be made in a manner generally similar to that used in making cross references to the FPR. For example, this paragraph would be referenced as "§ 5-1.106-3(b).”

Subpart 5-1.3-General Policies

SOURCE: §§ 5-1.302 to 5-1.350-4 appear at 26 F.R. 6199, July 11, 1961, except as otherwise noted.

§ 5-1.302 Procurement sources.

§ 5-1.302-50 Employees of the Federal Government.

No contract for the procurement of personal property or nonpersonal services (including construction) shall be entered into with any employee of the Federal Government or with any firm substantially owned or controlled by one or more employees of the Federal Government, except for the most cogent reasons and only with the approval of the head of the service or staff office conducting the procurement.

§ 5-1.305 Specifications.

§ 5-1.305-2 Exceptions to mandatory use of Federal Specifications.

Pursuant to § 1-1.305-2(f), when an Interim Federal Specification exists for a specific item which is also described in a Federal Specification, procuring activities shall use the Interim Federal Specification in lieu of the Federal Specification upon determination that the Federal Specification is not suitable for the specific application.

Any deviation from a Federal Specification contemplated under § 1-1.305-3 shall be submitted to the Commissioner, FSS, or his designee, for approval prior to use. The request shall include a statement describing the deviation, with justification therefor and, where applicable, a recommendation for revision or amendment of the specification.

§ 5-1.305-4 Optional use of Interim Federal Specifications.

Procuring activities shall use Interim Federal Specifications in lieu of Federal Specifications whenever practical, in accordance with § 5-1.305-2. When a procuring activity finds an Interim Federal Specification is not practical for use, or that changes are desirable, the Standardization Division, FSS, shall be so notified. The reasons for the impracticability and any recommendations for changes shall be included in the notification.

most appropriate specification is for determination by the contracting officer. § 5-1.305-50 Use and availability of specifications and standards.

(a) Rescinded or superseded specifications or standards shall not be used.

(b) Generally, specifications and standards shall be included by reference in invitations for bids and requests for proposals. The reference shall fully identify the specification or standard by type (e.g., Fed. Spec., Int. Fed. Spec., MIL, etc.) and number, and shall include amendments, supplements, and revisions, if any. The date should also be given if the number reference is not sufficient to identify the specification or standard beyond question.

(c) Business Service Centers stock most Federal, Interim Federal and GSA specifications, and Federal Standards, for issue in limited quantities to the general public without charge. When an invitation refers to a specification or standard not normally available from Business Service Centers, the contracting officer shall arrange, with appropriate Busines Service Centers or otherwise, to make copies available to bidders. The invitation or request shall state where copies of required specifications and standards can be obtained.

(d) When, prior to the time set for the opening of bids or receipt of proposals, the contracting officer discovers that an incorrect specification has been cited (e.g., not current, number and title do not agree, number and date do not agree, etc.), he shall take immediate corrective action. All prospective bidders who were sent the invitation shall be notified by amendment (see § 1-2.207), citing the correct specification. If the citation of an incorrect specification is not discovered until after bids have been opened, all bids should ordinarily be rejected and the requirement readvertised; but if the requirement is urgent or the deviation between the cited specification and the correct one is immaterial, and award based on the incorrent specification is considered in the best interest of the Government, the head of the procuring activity may authorize such award. When an award has been made, based on an incorrect specification undiscovered prior to award, contractors shall be required to comply with the specification cited in the contract unless cancellation is accomplished for the best interest of the Government, or un

When a bid or offer is rejected because of a determination by the contracting officer that the prospective contractor does not qualify as responsible, the contracting officer shall notify the prospective contractor by letter, setting forth the reasons for the rejection. This will provide opportunity, where applicable, for the correction of the offending practices prior to future offerings.

[26 F.R. 9749, Oct. 17, 1961]

§ 5-1.315 Use of liquidated damages provisions in procurement contracts.

§ 5-1.315-2 Policy.

Liquidated damages provisions shall not be used in contracts for supplies and services, other than construction, without the prior approval of the head of the procuring activity. In construction contracts, use shall be at the discretion of the contracting officer.

[26 F.R. 10354, Nov. 3, 1961]

§ 5-1.350 Advance notices of contract award.

Advance notice of award shall be in writing over the signature of the contracting officer except as otherwise authorized in this § 5-1.350. When an advance notice of award is issued, it shall be followed as soon as possible by the formal contract document.

[26 F.R. 10354, Nov. 3, 1961]

§ 5-1.350-1 Circumstances which warrant advance notice.

Advance notices of contract award may be issued by contracting officers under any one or more of the circumstances listed in this § 5-1.350-1 and § 5-1.350-3.

(a) A bid or offer is about to expire and it is necessary to issue an award notice promptly.

(b) Prompt action is necessary to afford the contractor an opportunity to secure necessary materials.

(c) Delivery or performance is urgent and cannot await release of formal contract documents.

(d) Contract involves work of an urgent nature and it is essential that the contractor rush all preliminaries prior to actual starting of work.

(e) Prompt action is necessary to secure advance predelivery samples on contracts.

(f) Prompt action is necessary to permit contractors to proceed with preparation of necessary catalogs and other Federal Supply Schedule data.

(g) A prospective contractor requests advice, orally or in writing, as to whether he is to receive the award, and gives good and sufficient reasons to the satisfaction of the contracting officer, why advance notice is desirable.

(h) Other compelling circumstances exist, but only with the approval of the head of the procuring activity. [26 F.R. 10354, Nov. 3, 1961]

§ 5-1.350–2 Telegraphic notices.

When justified, contracting officers may issue telegraphic notices. Such notices shall contain in addition to the requirements set forth in § 5-1.350-4, a statement that written confirmation will follow. Such confirmation shall be issued without delay.

[26 F.R. 10354, Nov. 3, 1961] § 5-1.350-3 Oral notices.

Oral notices shall not be used, except as authorized in this § 5-1.350-3. Such notices shall include a statement that written confirmation will follow, and such confirmation shall be issued without delay.

(a) Oral notices may be issued by DMS in negotiating the procurement of rubber and cordage fibers.

(b) Oral notices may be issued by TCS in negotiating the procurement of transportation and related services when the exigencies of the situation will not admit of delay, and when security regulations preclude telegraphic notice of award.

[26 F.R. 10354, Nov. 3, 1961]

§ 5-1.508-2

Failure or refusal to fur. nish Standard Form 119.

The name of each indicated successful bidder or proposed contractor who fails or refuses to furnish a completed Standard Form 119 (or a statement in lieu thereof as provided in § 1-1 507-2) shall be submitted, together with pertinent information, to the Compliance Division for appropriate action. If the contract has been awarded or offer accepted, consideration shall be given to the feasibility of terminating the contract, the future eligibility as a bidder or contractor of the concern in question, or other appropriate action.

Subpart 5-1.6-Debarred and

Ineligible Bidders

SOURCE: §§ 5-1.602 to 5-1.606-57 appear at 26 F.R. 6199, July 11, 1961.

§ 5-1.602 Establishment and maintenance of a list of firms or individuals debarred or ineligible.

(a) The Compliance Division shall establish and maintain a list of debarred or ineligible firms and individuals pursuant to § 1-1.602. This list shall be designated as the GSA Debarred Bid.. ders List, and its use is mandatory on all GSA procuring activities. § 5-1.603

Bases for debarment and ineligible list entry.

All firms and individuals within the categories specified in § 1-1.603 shall be placed on the GSA Debarred Bidders List by the Compliance Division as soon as official information is received of debarment or ineligibility. Administrative debarments under § 1-1.603 (d) are subject to determinations by GSA under § 5-1.606, pursuant to § 1-1.605.

§ 5-1.604 Treatment to be accorded firms or individuals in debarred or ineligible status.

(a) A determination that an exception is essential to the public interest may be made by the Commissioner of the procuring service for a specific procurement action only when a firm or individual is listed as debarred on the basis of § 11.603 (d). In such cases, the contract folder shall be documented to reflect the determination and the justification therefor.

(b) Bids or proposals shall not be solicited from concerns which have been found ineligible, as provided in § 11.604(d), because they do not qualify as "manufacturers" or "regular dealers" within the meaning of section 1(a) of the Walsh-Healey Public Contracts Act, if the procurement is estimated to exceed $10,000 and is for the same materials, supplies, articles, or equipment with respect to which the ineligibility extends.

(c) When circumstances indicate that a firm or individual is attempting to evade the prohibitions contained in § 1-1.604 and this § 5-1.604, and the contracting officer can establish identity between the suspect bidder and a debarred firm or individual, he shall apply the basic prohibitions and forward a statement of the circumstances to the

by

(a) Administrative debarments GSA shall be made by the Commissioner of the procuring service primarily concerned or by the Chairman of the Board of Review, in accordance with procedures set forth in § 5-1.606.

(b) Debarment shall generally be made for periods of not less than one year and not more than three years, dependng on the seriousness of the offense.

§ 5-1.606 Agency procedure.

§ 5-1.606-50 GSA administrative debarments.

Procedures governing GSA administrative debarments are authorized by § 1-1 603 (d). An administrative debarment is a final decision by GSA to debar and register the name of the debarred firm or individual on the GSA Debarred Bidders List. § 5-1.606-51 cies.

Debarment by other

agen

The Compliance Division shall review the bases for debarments made by other executive agencies for the purpose of determining whether debarments as authorized by § 1-1.605 (a) (4), should be recommended.

(a) If debarment by the other agency was due to conviction for violation of law as set forth in § 1-1.605 (a) (1) and (2), or was due to a violation of the Buy American Act (41 U.S.C. 10(b)), the Compliance Division shall notify the Commissioner primarily concerned, who shall take immediate action to debar. The ending of the period of debarment shall coincide with the date set by the original debarment action.

(b) If debarment by the other agency was for cause (a) (3) under § 1-1.605,