The
Civilian
Agency
Acquisition
and
Defense
Acquisition
Regulations
Councils
have
issued
Federal
Acquisition
Circular
2005-61,
which
contains
five
final
rules
amending
the
Federal
Acquisition
Regulation.
In
order
of
appearance,
the
rules
are:
Item
I—United
States-Korea
Free
Trade
Agreement
(FAR
Case
2012-004);
Item
II—Delete
Outdated
FAR
Reference
to
the
DoD
Industrial
Preparedness
Program
(FAR
Case
2012-026);
Item
III—NAICS
and
Size
Standards
(FAR
Case
2012-021);
and
Item
IV—Bid
Protest
and
Appeal
Authorities
(FAR
Case
2012-008).
Item
V
makes
technical
amendments
at
FAR
7.403
and
FAR
15.404-1.
This
FAC
also
contains
a
Small
Entity
Compliance
Guide.
A
full
listing
of
the
regulations
impacted
by
the
rules,
along
with
the
effective
date
for
each
rule,
appears
in
the
FAC
regulation
table
below.
For
the
text
of
FAC
2005-61,
see
¶70,002.151.
Korea
Free
Trade
The
FAR
Case
2012-004
rule
finalizes,
without
change,
an
interim
rule
issued
with
FAC
2005-57
that
amended
the
FAR
to
implement
the
United
States-Korea
Free
Trade
Agreement
(see
PL
112-41
and
19
USC
3805
note).
The
Republic
of
Korea
is
already
party
to
the
World
Trade
Organization
Government
Procurement
Agreement,
but
this
FTA
implements
a
lower
procurement
threshold.
The
interim
rule
added
the
Republic
of
Korea
to
the
definition
of
"Free
Trade
Agreement
country"
in
multiple
locations
in
the
FAR.
Eligible
goods
and
services
from
Korea
are
now
covered
when
valued
at
or
above
$100,000,
rather
than
at
or
above
the
WTO
GPA
threshold
of
$202,000.
The
threshold
for
the
Korea
FTA
for
construction,
$7,777,000,
is
the
same
as
the
threshold
for
the
WTO
GPA
for
construction.
The
Korea
FTA
$100,000
threshold
for
supplies
and
services
is
higher
than
the
threshold
for
supplies
and
services
for
most
of
the
FTAs
($77,494),
but
not
as
high
as
the
Bahrain,
Morocco,
Oman,
and
Peru
FTA
threshold
for
supplies
and
services
($202,000).
Therefore,
new
alternates
clauses
were
required
for
the
Buy
American
Act—Free
Trade
Agreements—Israeli
Trade
Act
provision
and
clause
(
FAR
52.225-3
and
FAR
52.225-4)
to
cover
acquisitions
that
are
valued
at
$77,494
or
more
but
less
than
$100,000.
In
that
dollar
range,
all
FTAs
apply
except
for
the
Bahrain,
Korea,
Morocco,
Oman,
and
Peru
FTAs.
The
interim
rule,
which
also
made
minor
editorial
changes,
also
impacted
FAR
4.1202,
FAR
25.003,
FAR
25.400
through
FAR
25.402,
FAR
25.1101,
FAR
52.204-8,
FAR
52.212-3,
FAR
52.212-5,
FAR
52.225-5,
FAR
52.225-11,
and
FAR
52.225-23.
Outdated
DoD
Program
The
FAR
Case
2012-026
rule
amends
the
FAR
to
delete
an
outdated
reference
to
the
DoD
Industrial
Preparedness
Program,
which
no
longer
exists.
There
is
no
impact
to
the
government
or
small
business
because
this
program
was
discontinued
in
1992.
The
rule
amends
FAR
6.302-3,
Industrial
mobilization;
engineering,
developmental,
or
research
capability;
or
expert
services,
to
remove
the
reference.
NAICS
and
Size
Standards
The
final
rule
associated
with
FAR
Case
2012-021
amends
the
FAR
to
clarify
that
new
North
American
Industry
Classification
System
codes
are
not
available
for
use
in
federal
contracting
until
the
Small
Business
Administration
publishes
corresponding
industry
size
standards.
NAICS
codes
are
updated
by
the
Office
of
Management
and
Budget
through
its
Economic
Classification
Policy
Committee
every
five
years.
The
clarifying
language
at
amended
FAR
19.001,
FAR
19.102,
and
FAR
19.303
is
provided
for
informational
purposes
and
only
addresses
internal
government
policies
and
procedures.
Published
size
standards
are
available
at
http://www.sba.gov/content/table-small-business-size-standards
and
at
SBA
121.201.
The
rule
will
not
have
a
significant
impact
on
the
government,
and
does
not
impose
additional
requirements
on
small
businesses.
Protests
and
Appeals
The
FAR
Case
2012-008
final
rule
amends
FAR
Part
33
to
identify
other
federal
court-related
protest
authorities
and
dispute-appeal
authorities
that
are
not
covered
by
FAR
Part
33.
Specifically,
this
final
rule
adds
a
new
regulation
at
FAR
33.001
to
note
that
28
USC
1491
authorizes
the
protest
jurisdiction
of
the
Court
of
Federal
Claims,
and
that
contracting
officers
should
contact
their
designated
legal
advisors
for
additional
information
whenever
they
become
aware
of
any
litigation
related
to
their
contracts.
This
rule
also
amends
the
definitions
regulation
at
FAR
33.101
to
define
"protest
venue"
as
including
the
Government
Accountability
Office
and
the
CFC,
but
not
district
courts.
The
rule
amends
FAR
33.102
to
provide
that
COs
must
consider
all
protests
and
seek
legal
advice
regardless
of
the
protest
venue.
FAR
33.105
is
added
to
state
that
procedures
for
CFC
protests
are
set
forth
in
the
court's
rules,
which
can
be
found
at
http://www.uscfc.uscourts.gov/rules-and-forms.
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