Final Rule 2900-AQ04

Federal Register / Vol. 83, No. 185 / Monday, September 24, 2018 / Rules and Regulations
Intent to Delete for this Site was
published in the Federal Register (83
FR 33177) on July 17, 2018.
The closing date for comments on the
Notice of Intent to Delete was August
16, 2018. No adverse or Site related
public comments were received during
the comment period. Therefore, no
responsiveness summary was prepared.
EPA maintains the NPL as the list of
sites that appear to present a significant
risk to public health, welfare, or the
environment. Deletion from the NPL
does not preclude further remedial
action. Whenever there is a significant
release from a site deleted from the NPL,
the deleted site may be restored to the
NPL without application of the hazard
ranking system. Deletion of a site from
the NPL does not affect responsible
party liability in the unlikely event that
future conditions warrant further
actions.
List of Subjects in 40 CFR Part 300
Environmental protection, Air
pollution control, Chemicals, Hazardous
substances, Hazardous waste,
Intergovernmental relations, Penalties,
Reporting and recordkeeping
requirements, Superfund, Water
pollution control, Water supply.
Dated: August 31, 2018.
Cosmo Servidio,
Regional Administrator, Region III.

For reasons set out in the preamble,
40 CFR part 300 is amended as follows:
PART 300—NATIONAL OIL AND
HAZARDOUS SUBSTANCES
POLLUTION CONTINGENCY PLAN
1. The authority citation for part 300
continues to read as follows:

Authority: 33 U.S.C. 1321(d); 42 U.S.C.
9601–9657; E.O. 13626, 77 FR 56749, 3 CFR,
2013 Comp., p. 306; E.O. 12777, 56 FR 54757,
3 CFR, 1991 Comp., p. 351; E.O. 12580, 52
FR 2923, 3 CFR, 1987 Comp., p. 193.

2. Table 1 of appendix B to part 300
is amended by removing the listing
under Pennsylvania for ‘‘Dorney Road
Landfill’’.

■

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[FR Doc. 2018–20745 Filed 9–21–18; 8:45 am]
BILLING CODE 6560–50–P

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48 CFR Parts 829, 846, 847, 852, and
870
RIN 2900–AQ04

VA Acquisition Regulation: Taxes;
Quality Assurance; Transportation;
Solicitation Provisions and Contract
Clauses; and Special Procurement
Controls
Department of Veterans Affairs.
Final rule.

AGENCY:
ACTION:

The Department of Veterans
Affairs (VA) is amending and updating
its VA Acquisition Regulation (VAAR)
in phased increments to revise or
remove any policy superseded by
changes in the Federal Acquisition
Regulation (FAR), to remove procedural
guidance internal to VA into the VA
Acquisition Manual (VAAM), and to
incorporate any new agency specific
regulations or policies. These changes
seek to streamline and align the VAAR
with the FAR and remove outdated and
duplicative requirements and reduce
burden on contractors. The VAAM
incorporates portions of the removed
VAAR as well as other internal agency
acquisition policy. VA will rewrite
certain parts of the VAAR and VAAM,
and as VAAR parts are rewritten, we
will publish them in the Federal
Register. In particular, this rulemaking
revises VAAR concerning Taxes;
Quality Assurance; Transportation;
Solicitation Provisions and Contract
Clauses; and Special Procurement
Controls.

SUMMARY:

This rule is effective on October
24, 2018.
FOR FURTHER INFORMATION CONTACT: Mr.
Rafael N. Taylor, Senior Procurement
Analyst, Procurement Policy and
Warrant Management Services, 003A2A,
425 I Street NW, Washington, DC 20001,
(202) 382–2787. (This is not a toll-free
number.)
SUPPLEMENTARY INFORMATION: On April
25, 2018, VA published a proposed rule
in the Federal Register (83 FR 17979)
which announced VA’s intent to amend
regulations for VAAR Case RIN 2900–
AQ04 (parts 829, 846, and 847). In
particular, this final rule revises the 829
authorities to include the applicable
U.S. code citations where the Secretary
of the Treasury has exempted spirits
and alcohol purchases by the Federal
government, pursuant to 26 U.S.C.
5214(a)(2), 26 U.S.C. 5271, and 26
U.S.C. 7510; removes section 829.202–
70, Tax exemptions for alcohol
products, updates and moves it to the
DATES:

■

Appendix B to Part 300—[Amended]

DEPARTMENT OF VETERANS
AFFAIRS

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VAAM; adds a new section to provide
the legislative authorities for
withdrawal of distilled spirits from
bonded premises free of tax or without
payment of tax by, and for the use of,
the VA; removes section 829.302,
Application of State and local taxes to
the Government, to the VAAM; removes
829.302–70, Purchases made from
patients’ funds, and the clause it
prescribes, 852.229–70, Sales or Use
Taxes.
In part 846, Quality Assurance, this
rule adds a definition of ‘‘rejected
goods’’ as used in a revised clause;
revises subpart 846.3 to prescribe
clauses 852.236–74, Inspection of
Construction, 852.246–71, Rejected
Goods, 852.246–72, Frozen Processed
Foods, 852.246–73, Noncompliance
with Packaging, Packing, and/or
Marking Requirements, and 852.246–76,
Purchase of Shellfish; it reduces subpart
846.4 to three sections, 846.408–70,
Inspection of subsistence, 846.470, Use
of commercial organizations for
inspections and grading services, and
846.471, Food service equipment; it
removes a warranty clause because there
are sufficient FAR warranty clauses that
could be used; removes policy requiring
USDA inspections for subsistence since
the Department of Agriculture no longer
requires this type of inspection; removes
coverage requiring inspection of repairs
for properties under the Loan Guaranty
Program and Direct Loan Programs, as
such sections are unnecessary given that
a private contractor performs such
inspection and repair functions on VA’s
behalf; and provides coverage to state
VA’s policy regarding guarantee period
services.
This rule adds guidance in part 847 to
contracting officers for VA
transportation contracts and
transportation-related services and
subsequent payments on those
contracts; provides guidance on
contractual requirements for insurance
provisions and contractor personnel
performing on VA transportation
contracts; provides consignment
instructions; and adds a clause
providing packing instructions to ensure
acceptance by common carriers and safe
delivery at destination.
This rule also removes all remaining
sections of part 870 as the guidance
included therein was either moved to
other parts, out of date, or duplicative
of the FAR.
VA provided a 60-day comment
period for the public to respond to the
proposed rule. The comment period for
the proposed rule ended on June 25,
2018 and VA received no comments.
This document adopts as a final rule the
proposed rule published in the Federal

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Federal Register / Vol. 83, No. 185 / Monday, September 24, 2018 / Rules and Regulations

Register on April 25, 2018, with minor
formatting and/or grammatical edits.
This final rule has Federal Register
administrative format changes in the
amendatory text which make no
substantive text changes at the affected
sections.
Unfunded Mandates
The Unfunded Mandates Reform Act
of 1995 requires, at 2 U.S.C. 1532, that
agencies prepare an assessment of
anticipated costs and benefits before
issuing any rule that may result in the
expenditure by State, local, and tribal
Governments, in the aggregate, or by the
private sector, of $100 million or more
(adjusted annually for inflation) in any
one year. This final rule will have no
such effect on State, local, and tribal
Governments or on the private sector.
Paperwork Reduction Act
This final rule contains no provisions
constituting a collection of information
under the Paperwork Reduction Act of
1995 (44 U.S.C. 3501–3521).

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Regulatory Flexibility Act
This final rule will not have a
significant economic impact on a
substantial number of small entities as
they are defined in the Regulatory
Flexibility Act, 5 U.S.C. 601–612. This
final rule will generally be small
business neutral. The overall impact of
the rule will be of benefit to small
businesses owned by Veterans or
service-disabled Veterans as the VAAR
is being updated to remove extraneous
procedural information that applies
only to VA’s internal operating
procedures. VA is merely adding
existing and current regulatory
requirements to the VAAR and
removing any guidance that is
applicable only to VA’s internal
operation processes or procedures. VA
estimates no cost impact to individual
businesses will result from these rule
updates. This rulemaking does not
change VA’s policy regarding small
businesses, does not have an economic
impact to individual businesses, and
there are no increased or decreased
costs to small business entities. On this
basis, the final rule will not have an
economic impact on a substantial
number of small entities as they are
defined in the Regulatory Flexibility
Act, 5 U.S.C. 601–612. Therefore, under
5 U.S.C. 605(b), this regulatory action is
exempt from the initial and final
regulatory flexibility analysis
requirements of sections 603 and 604.

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Executive Orders 12866, 13563 and
13771

48 CFR Part 846
Government procurement.

Executive Orders (E.O.) 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. 12866, Regulatory
Planning and Review defines
‘‘significant regulatory action’’ to mean
any regulatory action that is likely to
result in a rule that may: ‘‘(1) Have an
annual effect on the economy of $100
million or more or adversely affect in a
material way the economy, a sector of
the economy, productivity, competition,
jobs, the environment, public health or
safety, or State, local, or tribal
governments or communities; (2) Create
a serious inconsistency or otherwise
interfere with an action taken or
planned by another agency; (3)
Materially alter the budgetary impact of
entitlements, grants, user fees, or loan
programs or the rights and obligations of
recipients thereof; or (4) Raise novel
legal or policy issues arising out of legal
mandates, the President’s priorities, or
the principles set forth in this Executive
order.’’
VA has examined the economic,
interagency, budgetary, legal, and policy
implications of this regulatory action,
and it has been determined not be a
significant regulatory action under E.O.
12866 because it does not raise novel
legal or policy issues arising out of legal
mandates, the President’s priorities, or
the principles set forth in this Executive
Order.
VA’s impact analysis can be found as
a supporting document at http://
www.regulations.gov, usually within 48
hours after the rulemaking document is
published. Additionally, a copy of the
rulemaking and its impact analysis are
available on VA’s website at http://
www.va.gov/orpm by following the link
for VA Regulations Published from FY
2004 Through Fiscal Year to Date. This
final rule is not subject to the
requirements of E.O. 13771 because this
final rule is expected to result in no
more than de minimis costs.

48 CFR Part 847
Government procurement,
Transportation.

List of Subjects
48 CFR Part 829
Government procurement, Taxes.

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48 CFR Part 852
Government procurement, Reporting
and recordkeeping requirements.
48 CFR Part 870
Asbestos, Frozen foods, Government
procurement, Telecommunications.
Signing Authority
The Secretary of Veterans Affairs
approved this document and authorized
the undersigned to sign and submit the
document to the Office of the Federal
Register for publication electronically as
an official document of the Department
of Veterans Affairs. Robert L. Wilkie,
Secretary, Department of Veterans
Affairs, approved this document on
August 24, 2018, for publication.
Dated: September 14, 2018.
Consuela Benjamin,
Regulations Development Coordinator, Office
of Regulation Policy & Management, Office
of the Secretary, Department of Veterans
Affairs.

For the reasons set out in the
preamble, VA amends 48 CFR parts 829,
846, 847, 852, and 870 as follows:
PART 829—TAXES
1. The authority citation for part 829
is revised to read as follows:

■

Authority: 26 U.S.C. 5214(a)(2), 5271,
7510; 40 U.S.C. 121(c); 41 U.S.C. 1303(a)(2);
41 U.S.C. 1702 and 48 CFR 1.301–1.304.

2. Subpart 829.2 is revised to read as
follows:

■

Subpart 829.2—Federal Excise Taxes
829.203

Other Federal tax exemptions.

829.203–70
products.

Tax exemptions for alcohol

(a) General. (1) Pursuant to 26 U.S.C.
5214(a)(2) and 26 U.S.C. 5271, VA may
purchase spirits using a tax exemption
as provided by Department of the
Treasury, Alcohol and Tobacco Tax and
Trade Bureau (TTB) regulations (see 27
CFR parts 1 through 39). As stated in 27
CFR 19.426, agencies of the United
States Government that wish to obtain
either specially denatured spirits or
spirits free of tax for nonbeverage
purposes must apply for and receive a
permit on form TTB F 5150.33 or must
have a previously issued permit on ATF
Form 1444.
(2) When purchasing spirits under a
tax exemption, the contracting officer

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shall indicate in the contract document
the basis for the exemption and make a
copy of the permit available to the
contractor. Upon receipt of the spirits,
the contractor shall return the permit to
the contracting officer unless future
orders are anticipated or as directed by
the contracting officer.
(3) Department of Veterans Affairs
activities that require spirits free of tax
for beverage purposes under 26 U.S.C.
7510 must provide a proper purchase
order signed by the head of the agency
or an authorized designee.
(b) Specially denatured spirits or
spirits free of tax for nonbeverage
purposes. Contracting officers may make
purchases of excise tax-free spirits,
including denatured alcohol and
specially denatured alcohol only from
qualified distillery plants or bonded
dealers.
(1) Permits previously issued on
Alcohol, Tobacco, and Firearms (ATF)
Form 1444, Tax-Free Spirits for Use of
United States, remain valid until
surrendered or cancelled.
(2) A copy of the current ATF Form
1444 or TTB Form 5150.33 shall be
made available to the supplier with the
initial order. The permit number only
needs to be referenced on any future
orders with the same supplier.
(c) Wine. No tax exemption form or
ATF/TTB permit is required for the taxfree procurement of wine from bonded
wine premises. The purchase order
must show the kind, quantity, and
alcohol content of the wine and must
state the purpose for which wine is to
be used (see 27 CFR 24.293). An extra
copy of a properly executed purchase
order may be furnished to the bonded
wine premises from which wine is
purchased to facilitate record keeping.
The order must be signed by the head
of the contracting activity or their
designee.
■ 3. Subpart 829.3 is revised to read as
follows:
Subpart 829.3—State and Local Taxes
829.303 Application of State and local
taxes to Government contractors and
subcontractors.

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(a) The authority to make the
determination prescribed in FAR
29.303(a) is delegated, without power of
redelegation, to the head of the
contracting activity (HCA).
PART 846—QUALITY ASSURANCE
4. The authority citation for part 846
is revised to read as follows:

■

Authority: 40 U.S.C. 121(c); 41 U.S.C.
1303; 41 U.S.C. 1702; and 48 CFR 1.301–
1.304.

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5. Subpart 846.1 is added to read as
follows:

■

Subpart 846.1—General
846.101

Definition.

As used in this part—
Rejected goods means supplies and/or
equipment failing to meet contractual
terms and conditions and/or generally
accepted quality standards that may be
returned by the Government at the
contractor’s risk and expense.
■ 6. Subpart 846.3 is revised to read as
follows:
Subpart 846.3—Contract Clauses
Sec.
846.312 Construction contracts.
846.370 Clauses for supplies, equipment or
perishable goods.
846.370–1 Rejected goods.
846.370–2 Frozen processed foods.
846.370–3 Noncompliance with packaging,
packing, and/or marking requirements.
846.370–4 Purchase of shellfish.

Subpart 846.3—Contract Clauses
846.312

Construction contracts.

The contracting officer shall insert the
clause at 852.236–74, Inspection of
Construction, in solicitations and
contracts for construction that include
the FAR clause at 52.246–12, Inspection
of Construction.
846.370 Clauses for supplies, equipment
or perishable goods.
846.370–1

Rejected goods.

The contracting officer shall insert the
clause at 852.246–71, Rejected Goods, in
solicitations and contracts for the
acquisition of supplies, equipment or
perishable goods. Perishable goods
include such items as packing house
and dairy products, bread and bakery
products, fresh and frozen fruits, and
vegetables.
846.370–2

Frozen processed foods.

(a) The contracting officer shall insert
the clause at 852.246–72, Frozen
Processed Foods, in solicitations and
contracts for frozen processed foods.
(b) The following frozen processed
food products must contain a label that
complies with the Federal Food, Drug
and Cosmetic Act (21 U.S.C. 301),
which requires all ingredients be listed
in accordance with their predominance
order:
(1) Frozen processed food products
that contain meat, poultry, or a
significant proportion of eggs.
(2) Frozen processed food products
that contain fish or fish products.
(3) Frozen bakery products.
(c) All procured frozen processed food
products that contain meat, poultry or a

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significant proportion of eggs must meet
the following requirements:
(1) The products must be processed or
prepared in plants operating under the
supervision of the Department of
Agriculture (USDA).
(2) The product must be inspected
and approved in accordance with USDA
regulations governing meat, poultry, or
egg inspection. A label or seal that
indicates compliance with USDA
regulations, affixed to the container,
will be accepted as evidence of
compliance.
(d) All procured frozen processed
food products that contain fish or fish
products must meet the following
requirements:
(1) The product must be processed or
prepared in plants or vessels, sanitarily
inspected, approved, and certified by
the United States Department of
Commerce (USDC). The products are
listed in USDC’s publication ‘‘USDC
Approved Establishments’’ under U.S.
Establishments Approved for Sanitation
and for Producing USDC Inspected
Fishery Products. The inspected
products packed under various labels
bearing the brand names are produced
in accordance with current U.S. Grade
Standards or official product
specifications, packed under optimum
hygienic conditions, and must meet
Federal, State, and city sanitation and
health regulations. Such brand label or
USDC seal indicating compliance with
USDC regulations, affixed to a
container, will be accepted as evidence
of compliance.
(2) If the conditions in paragraph
(d)(1) of this section were not met (e.g.,
no seal), the shipment may be lotinspected by the USDC and containers
stamped to indicate acceptance or a
Certification of Inspection issued to
accompany the shipment.
(e) Producers of frozen bakery
products that ship products in interstate
commerce are required to comply with
the Federal Food, Drug and Cosmetic
Act. Therefore, the product must be
verified as shipped interstate or that the
producer ships products to other
purchasers interstate.
846.370–3 Noncompliance with packaging,
packing, and/or marking requirements.

The contracting officer shall insert the
clause at 852.246–73, Noncompliance
with Packaging, Packing, and/or
Marking Requirements, in noncommercial item solicitations and
contracts for supplies or equipment
where there are special packaging,
packing and/or marking requirements.
The clause may be used in commercial
item acquisitions if a waiver is approved
in accordance with FAR 12.302(c).

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846.370–4

Federal Register / Vol. 83, No. 185 / Monday, September 24, 2018 / Rules and Regulations
Purchase of shellfish.

846.471

Subpart 846.4—Government Contract
Quality Assurance

(1) Division 14—Conveying
Equipment. (i) Electric Dumbwaiters
Geared Traction and Winding Drum (VA
14 12 11).
(ii) Electric Traction Elevators (VA 14
21 00).
(iii) Traction Cartlift (VA 14 21 11).
(iv) Hydraulic Elevators (VA 14 24
00).
(v) Hydraulic Cartlift (VA 14 24 11).
(2) Division 27—Communications. (i)
Public Address and Mass Notification
Systems (VA 27 51 16).
(ii) Intercommunication and Program
Systems (VA 27 51 23).
(g) The construction contractor shall
require the original installer of the
equipment, which is normally a
subcontractor, to provide the guarantee
period services.

Subpart 846.7—Warranties

PART 847—TRANSPORTATION

846.408–70

846.702–70 Guarantee period services and
specifications.

■

Subpart 846.4—Government Contract
Quality Assurance
Sec.
846.408–70 Inspection of subsistence.
846.470 Use of commercial organizations
for inspections and grading services.
846.471 Food service equipment.

Inspection of subsistence.

(a) The contracting officer shall
indicate the time and place of
inspection in the solicitation.
(b) The contracting officer shall also
provide in the solicitation that the
contractor is responsible for all of the
following:
(1) Arranging and paying for
inspection services.
(2) Obtaining from the inspectors a
certificate indicating that the product
complies with specifications.
(3) Assuring that the certificate, or
copy, accompanies the shipment.
(4) Furnishing samples for inspection
at the contractor’s expense.
(5) Indicating the address where
inspection will occur.
(c) The contracting officer must
furnish a copy of the purchase
document to the inspecting activity.
846.470 Use of commercial organizations
for inspections and grading services.

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Food service equipment.

(a) All new food service equipment
purchased for Dietetic Service through
other than the Defense General Supply
Center sources must meet requirements
set forth by NSF International (NSF) at
http://www.nsf.org.
(b) The contracting officer will ensure
that the following language is placed in
the solicitation to assert that the
equipment meets NSF standards:
The Government will accept an
affixed NSF label and/or documentation
of the NSF Certification from the
contractor as evidence that the subject
equipment meets NSF Sanitation
standards.
■ 8. Subpart 846.7 is revised to read as
follows:

(a) The U.S. Food and Drug
Administration (FDA) at http://
www.fda.gov provides quality assurance
seafood safety guidelines.
(b) The contracting officer shall insert
the clause at 852.246–76, Purchase of
Shellfish, in solicitations and contracts
for shellfish.
■ 7. Subpart 846.4 is revised to read as
follows:

The contracting officer may use a
commercial organization for inspection
and grading services when the
contracting officer determines that all of
the following exist:
(a) The results of a technical
inspection or grading are dependent
upon the application of scientific
principles or specialized techniques.
(b) VA is unable to employ the
personnel qualified to properly perform
the services and is unable to locate
another Federal agency capable of
providing the service.
(c) The inspection or grading results
issued by a private organization are
essential to verify the acceptance or
rejection of a special commodity.
(d) The services may be performed
without direct Government supervision.

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(a) Guarantee period of services are
associated with preserving and
protecting a specified piece of
contractor-installed equipment that is
guaranteed under a construction
contract. Specifications for certain highdollar or traditionally troublesome
equipment are designed to allow for the
original installer of the equipment to
service the equipment throughout the
guaranty period.
(b) Guarantee period services are not
the same as the 1-year general
construction guaranty clause found at
FAR clause 52.246–21, Warranty of
Construction.
(c) The contracting officer may
determine, when in the best interest of
VA that guarantee period services, not
to exceed a period of 5 years, are
appropriate to protect the integrity of
the installed equipment and ensure that
the equipment performs as guaranteed.
(d) When the determination is made
under paragraph (c) of this section, the
contracting officer shall include the
guarantee period of services as a
separately priced contract line item
number (CLIN) in solicitations and
contracts.
(e) The contracting officer shall insert
the clause at 852.246–75, Warranty of
Construction—Guarantee Period
Services, in solicitations and contracts
for construction that include the FAR
clause 52.246–21, Warranty of
Construction, and that also include
guarantee period services.
(f) In accordance with the approved
VA specifications, the following types of
equipment contain the guarantee period
services specifications. The following
represents a sampling of these
specifications.

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9. The authority citation for part 847
is revised to read as follows:

Authority: 38 U.S.C. 513; 40 U.S.C. 121(c);
41 U.S.C. 1303; 41 U.S.C. 1702; 41 CFR part
102–117; and 48 CFR 1.301–1.304.

10. Subpart 847.2 is added to read as
follows:

■

Subpart 847.2—Contracts for
Transportation or for TransportationRelated Services
Sec.
847.207 Solicitation provisions, contract
clauses, and special requirements.
847.207–8 Government responsibilities.
847.207–70 VA solicitation provisions,
contract clauses, and special
requirements.

Subpart 847.2—Contracts for
Transportation or for TransportationRelated Services
847.207 Solicitation provisions, contract
clauses, and special requirements.
847.207–8

Government responsibilities.

Transportation payments are audited
by the Traffic Manager, to ensure that
payment and payment mechanisms for
agency transportation are uniform and
appropriate in accordance with 41 CFR
part 102–118.
847.207–70 VA solicitation provisions,
contract clauses, and special requirements.

(a) Insurance under patient
transportation contracts. The
contracting officer shall ensure that all
the proper certificates of insurance are
submitted to perform on the contract, as
outlined in the solicitation, and
subsequently included in the contract
file. In accordance with 828.306, the
contracting officer shall insert the
provision at 852.228–71,
Indemnification and Insurance, in
solicitations when utilizing term

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Federal Register / Vol. 83, No. 185 / Monday, September 24, 2018 / Rules and Regulations
contracts or contracts of a continuing
nature for ambulance, automobile and
aircraft service. When contracting for
these services, consider using
requirements language such as the
following:
(1) Written proof of insurance
coverage as required and outlined in the
solicitation is required prior to award of
any contract. Coverage must be
maintained continually through the life
of the contract.
(2) Within 10 days of notification of
acceptance and pending award of
contract, the contractor shall furnish to
the contracting officer a certificate of
insurance which shall contain an
endorsement to the effect that
cancellation of, or any material change
in, the policies which adversely affect
the interests of the Government in such
insurance shall not be effective unless a
30-day advance written notice of
cancellation or change is furnished to
the contracting officer.
(3) Within 10 days of notification of
acceptance and pending award of
contract, and prior to award of a
contract, the contractor shall furnish to
the contracting officer a copy of the
contractor’s current and valid Worker’s
Compensation certificate.
(b) Contractor personnel. The
contracting officer shall ensure that
contractor personnel have the
appropriate level of training,
experience, licensure, and pertinent
qualifications to ensure patient safety.
When contracting for these services,
consider using requirements language
such as the following:
(1) All contractor personnel
performing contract services shall meet
the qualifications as specified in the
contract, as well as any qualifications
required by Federal, State, County, and
local Government entities from the
place in which they operate. Contractor
personnel shall meet these
qualifications at all times while
performing contract services.
(2) During the contract period of
performance, if the contractor proposes
to add-on, or replace personnel to
perform contract services, the contractor
shall submit required evidence of
training, certifications, licensing,
background, and security clearances,
and any other applicable qualifications
to the designated contracting officer’s
representative (COR). At no time shall
the contractor utilize add-on or
replacement personnel to perform
contract services who do not meet the
qualifications under the terms and
conditions of the contract.
(3) Records of contractor personnel
qualifications and eligibility to perform
on the contract must be current and

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maintained throughout the life of the
contract, and be made available for
inspection upon request. The contractor
shall forward to the contracting officer,
on an annual basis, a list of contractor
employees listing the employees name,
position(s), and licenses and/or
certifications and their current
certification number. This annual
statement of driver competency must
include any advanced certifications,
such as Advanced Cardiac Life Support
or specialized training to assist and
secure patients by stretcher or
wheelchair, as applicable.
(4) Within seven (7) days after receipt
of award notification, the contractor
shall provide evidence of required
training, certifications, licensing and
any other qualifications of any
personnel who will be performing
services under the contract. The initial
documentation shall be provided to the
contracting officer and COR.
(c) Contracts must include
requirements to report vehicle accidents
and incidents to the contracting officer
with a formal accident report.
(d) Contracts for ambulance services
must require that the contractor meet
the current specifications of Federal
Specification KKK–A–1822E, ‘‘Star of
Life Ambulance’’ standard.
(e) Contracts must include
requirements to ensure patient safety is
maintained through the consistent
practice of securing patient care
equipment, other cargo, and vehicles,
and ensure that security of patients in
vehicles is established and observed
when transportation needs are either
primary or secondary in the actual
performance of the contract. When
contracting for these services, consider
using requirements language to ensure
that patient transportation meets
industry standards for transporting
patients based on the patient’s
condition/needs (e.g., wheelchair,
ambulatory, on stretcher, etc.).
11. Subpart 847.3 is revised to read as
follows:

■

Subpart 847.3—Transportation in Supply
Contracts
847.302 Place of delivery—f.o.b. point.
847.305 Solicitation provisions, contract
clauses, and transportation factors.
847.305–10 Packing, marking, and
consignment instructions.
847.305–70 Potential destinations known
but quantities unknown.
847.305–71 VA contract clauses.
847.306 Transportation factors in the
evaluation of offers.
847.306–70 Records of claims.

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48261

Subpart 847.3—Transportation in
Supply Contracts
847.302

Place of delivery—f.o.b. point.

The contracting officer shall insert
clause 852.247–71, Delivery Location, or
a clause substantially the same as the
clause at 852.247–71, Delivery Location,
in supply contracts when it is necessary
to specify delivery locations. If
appropriate, the clause may reference an
attachment which lists various delivery
locations and other delivery details (e.g.,
quantities to be delivered to each
location, etc.).
847.305 Solicitation provisions, contract
clauses, and transportation factors.
847.305–10 Packing, marking, and
consignment instructions.

(a) The contracting officer shall insert
clause 852.247–72, Marking
Deliverables, or a clause substantially
the same as 852.247–72 in solicitations
and contracts if special marking on
deliverables are required.
(b) The contracting officer shall insert
the clause at 852.247–73, Packing for
Domestic Shipment, in contracts when
item(s) will be delivered for immediate
use to a destination in the continental
United States; when the material
specification or purchase description
does not provide preservation,
packaging, packing, and/or marking
requirements; and/or when the
requiring activity has not cited a
specific specification for packaging.
847.305–70 Potential destinations known
but quantities unknown.

When the contracting officer contracts
with multiple bidders to provide items
directly to VA field installations, on an
f.o.b. origin basis, the evaluation of bids
must follow specific procedures. In
these instances, the contracting officer
shall insert clause 852.247–70,
Determining Transportation Costs for
Evaluation of Offers, or a clause
substantially the same as clause
852.247–70. By inserting this clause,
each bid is placed on an equal basis,
even though specific quantities required
by each facility cannot be
predetermined. The contracting officer
must use an anticipated demand factor
in proportion to the number of hospital
beds or patient workload.
847.305–71

VA contract clauses.

(a) The contracting officer shall insert
clause 852.247–74, Advance Notice of
Shipment, or a clause substantially the
same as 852.247–74, in solicitations and
contracts when the f.o.b. point is
destination, and special Government
assistance is required in the delivery or
receipt of the items.

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847.306 Transportation factors in the
evaluation of offers.

Frozen Processed Foods (Oct 2018)
The products delivered under this contract
shall be in excellent condition, shall not
show evidence of defrosting, refreezing, or
freezer burn and shall be transported and
delivered to the consignee at a temperature
of 0 degrees Fahrenheit or lower.
(End of Clause)

847.306–70

■

(b) The contracting officer shall insert
clause 852.247–75, Bills of Lading, or a
clause substantially the same as clause
at 852.247–75, in f.o.b. origin
solicitations and contracts.

Records of claims.

When contracting for transportation,
and consistent with FAR 15.304,
contracting officers should consider
using offerors’ record of claims
involving loss or damage as an
evaluation factor or subfactor.
PART 852—SOLICITATION
PROVISIONS AND CONTRACT
CLAUSES
12. The authority citation for part 852
continues to read as follows:

■

Authority: 38 U.S.C. 8127–8128, and 8151–
8153; 40 U.S.C. 121(c); 41 U.S.C. 1121(c)(3);
41 U.S.C. 1303; 41 U.S.C. 1702; and 48 CFR
1.301–1.304.
852.229–70

[Removed and Reserved]

13. Section 852.229–70 is removed
and reserved.

■

852.246–70

[Removed and Reserved]

14. Section 852.246–70 is removed
and reserved.
■ 15. Section 852.246–71 is revised to
read as follows:
■

852.246–71

Rejected Goods.

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As prescribed in 846.370–1, insert the
following clause:
Rejected Goods (Oct 2018)
(a) Supplies and equipment. Rejected
goods will be held subject to Contractor’s
order for not more than 15 days, after which
the rejected merchandise will be returned to
the Contractor’s address at the Contractor’s
risk and expense. Expenses incident to the
examination and testing of materials or
supplies that have been rejected will be
charged to the Contractor.
(b) Perishable supplies. The Contractor
shall remove rejected perishable supplies
within 48 hours after notice of rejection.
Supplies determined to be unfit for human
consumption will not be removed without
permission of the local health authorities.
Supplies not removed within the allowed
time may be destroyed. The Department of
Veterans Affairs will not be responsible for,
nor pay for, products rejected. The Contractor
will be liable for costs incident to
examination of rejected products.
(End of Clause)

16. Section 852.246–72 is revised to
read as follows:

■

852.246–72

Frozen Processed Foods.

As prescribed in 846.370–2, insert the
following clause:

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17. Section 852.246–73 is revised to
read as follows:

852.246–73 Noncompliance with
Packaging, Packing, and/or Marking
Requirements.

As prescribed in 846.370–3, insert the
following clause:
Noncompliance With Packaging, Packing
and/or Marking Requirements (Oct 2018)
Failure to comply with the packaging,
packing and/or marking requirements
indicated herein, or incorporated herein by
reference, may result in rejection of the
merchandise and request for replacement or
repackaging, repacking, and/or marking. The
Government reserves the right, without
obtaining authority from the Contractor, to
perform the required repackaging, repacking,
and/or marking services and charge the
Contractor at the actual cost to the
Government for the same or have the
required repackaging, repacking, and/or
marking services performed commercially
under Government order and charge the
Contractor at the invoice rate. In connection
with any discount offered, time will be
computed from the date of completion of
such repackaging, repacking and/or marking
services.
(End of Clause)
852.246–74

[Removed and Reserved]

18. Section 852.246–74 is removed
and reserved.
■ 19. Section 852.246–75 is revised to
read as follows:
■

852.246–75 Warranty of Construction—
Guarantee Period Services.

As prescribed in 846.702–70(e), insert
the following clause:
Warranty of Construction—Guarantee
Period Services (Oct 2018)
The clause 52.246–21, Warranty of
Construction, is supplemented as follows:
Should the Contractor fail to complete the
work or fail to proceed promptly to provide
guarantee period services after notification by
the Contracting Officer, the Government may,
subject to the default clause contained at
FAR 52.249–10, Default (Fixed-Price
Construction), and after allowing the
Contractor 10 days to correct and comply
with the contract, terminate the right to
proceed with the work (or the separable part
of the work) that has been delayed or
unsatisfactorily performed. In this event, the
Government may take over the work and
complete it by contract or otherwise, and
may take possession of and use any
materials, appliances, and plant on the work
site necessary for completing the work. The

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Contractor and its sureties shall be liable for
any damages to the Government resulting
from the Contractor’s refusal or failure to
complete the work within this specified time,
whether or not the Contractor’s right to
proceed with the work is terminated. This
liability includes any increased costs
incurred by the Government in completing
the work.
(End of Clause)

20. Section 852.246–76 is added to
read as follows:

■

852.246–76

Purchase of Shellfish.

As prescribed in 846.370–4 insert the
following clause:
Purchase of Shellfish (OCT 2018)
The supplier certifies that oysters, clams,
and mussels will be furnished only from
plants approved by and operated under the
supervision of shellfish authorities of States
whose certifications are endorsed currently
by the U.S. Public Health Service, and the
names and certificate numbers of those
shellfish dealers must appear on current lists
published by the U.S. Public Health Service.
These items shall be packed and delivered in
approved containers, sealed in such manner
that tampering is easily discernible, and
marked with packer’s certificate number
impressed or embossed on the side of such
containers and preceded by the State
abbreviation. Containers shall be tagged or
labeled to show the name and address of the
approved producer or shipper, the name of
the State of origin, and the certificate number
of the approved producer or shipper.
(End of Clause)

21. Section 852.247–70 is revised to
read as follows:

■

852.247–70 Determining Transportation
Costs for Evaluation of Offers.

As prescribed in 847.305–70, insert
the following provision:
Determining Transportation Costs for
Evaluation of Offers (Oct 2018)
For the purpose of evaluating bids and for
no other purpose, the delivered price per unit
will be determined by adding the nationwide
average transportation charge to the f.o.b.
origin bid prices. The nationwide average
transportation charge will be determined by
applying the following formula: Multiply the
guaranteed shipping weight by the freight,
parcel post, or express rate, whichever is
proper, to each destination shown below and
then multiply the resulting transportation
charges by the anticipated demand factor
shown for each destination. Total the
resulting weighted transportation charges for
all destinations and divide the total by 20 to
give the nationwide average transportation
charge.

ANTICIPATED DEMAND
Area destination
Oakland, California .......................
Dallas, Texas ................................
Omaha, Nebraska ........................

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Factor
3
2
3

Federal Register / Vol. 83, No. 185 / Monday, September 24, 2018 / Rules and Regulations
(End of Clause)

ANTICIPATED DEMAND—Continued
Area destination

26. Section 852.247–75 is added to
read as follows:

■

Factor

Fort Wayne, Indiana .....................
Atlanta, Georgia ............................
New York, New York ....................

4
3
5

Total of factors ......................

20

22. Section 852.247–71 is added to
read as follows:

■

Delivery Location.

As prescribed in 847.302, insert a
clause substantially as follows:
Delivery Location (Oct 2018)
Shipment of deliverable items, other than
reports, shall be to: __ [Contracting Officer
shall insert appropriate identifying data].
(End of Clause)

23. Section 852.247–72 is added to
read as follows:

■

852.247–72

Marking Deliverables.

As prescribed in 847.305–10(a) insert
a clause substantially the same as:
Marking Deliverables (Oct 2018)
(a) The contract number shall be placed on
or adjacent to all exterior mailing or shipping
labels of deliverable items called for by the
contract.
(b) Mark deliverables, except reports, for:
__[Contracting Officer shall insert
appropriate identifying data].
(End of Clause)

24. Section 852.247–73 is added to
read as follows:

■

852.247–73
Shipment.

Packing for Domestic

As prescribed in 847.305–10(b), insert
the following clause:
Packing for Domestic Shipment (Oct 2018)
Material shall be packed for shipment in
such a manner that will insure acceptance by
common carriers and safe delivery at
destination. Containers and closures shall
comply with regulations of carriers as
applicable to the mode of transportation.
(End of Clause)

25. Section 852.247–74 is added to
read as follows:

■

852.247–74

Advance Notice of Shipment.

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As prescribed in 847.305–71(a), insert
the following clause:
Advance Notice of Shipment (Oct 2018)
__ [Insert number of work days] work days
prior to shipping item(s)
__ [Insert items to be shipped], the
Contractor shall furnish the anticipated
shipment date, bill of lading number (if
applicable), and carrier identity to __ [Insert
individual(s) to receive notification] and to
the Contracting Officer.

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18:18 Sep 21, 2018

Bills of Lading.

As prescribed in 847.305–71(b), insert
the following clause:

PART 870—[REMOVED AND
RESERVED]
29. Under the authority of 48 CFR
1.301 through 1.304, part 870 is
removed and reserved.

■

[FR Doc. 2018–20323 Filed 9–21–18; 8:45 am]
BILLING CODE 8320–01–P

Bills of Lading (Oct 2018)

(End of Provision)

852.247–71

852.247–75

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The purpose of this clause is to define
when a commercial bill of lading or a
Government bill of lading is to be used when
shipments of deliverable items under this
contract are f.o.b. origin.
(a) Commercial bills of lading. All
domestic shipments shall be made via
commercial bills of lading (CBLs). The
Contractor shall prepay domestic
transportation charges. The Government shall
reimburse the Contractor for these charges if
they are added to the invoice as a separate
line item supported by the paid freight
receipts. If paid receipts in support of the
invoice are not obtainable, a statement as
described below must be completed, signed
by an authorized company representative,
and attached to the invoice.
‘‘I certify that the shipments identified
below have been made, transportation
charges have been paid by __ [company
name], and paid freight or comparable
receipts are not obtainable.
Contract or Order Number: __
Destination: __ .’’
(b) Government bills of lading. (1)
International (export) and domestic overseas
shipments of items deliverable under this
contract shall be made by Government bills
of lading (GBLs). As used in this clause,
‘‘domestic overseas’’ means non-continental
United States, i.e., Hawaii, Commonwealth of
Puerto Rico, and possessions of the United
States.
(2) At least 15 days before shipment, the
Contractor shall request in writing GBLs
from: __ [Insert name, title, and mailing
address of designated transportation officer
or other official delegated responsibility for
GBLs]. If time is limited, requests may be by
telephone: __ [Insert appropriate telephone
number]. Requests for GBLs shall include the
following information.
(i) Item identification/description.
(ii) Origin and destination.
(iii) Individual and total weights.
(iv) Dimensional weight.
(v) Dimensions and total cubic footage.
(vi) Total number of pieces.
(vii) Total dollar value.
(viii) Other pertinent data.
(End of Clause)
852.270–2
■

27. Section 852.270–2 is removed.

852.270–3
■

[Removed]

[Removed]

28. Section 852.270–3 is removed.

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DEPARTMENT OF COMMERCE
National Oceanic and Atmospheric
Administration
50 CFR Part 679
[Docket No. 170817779–8161–02]
RIN 0648–XG398

Fisheries of the Exclusive Economic
Zone Off Alaska; Pacific Cod by Pot
Catcher/Processors in the Bering Sea
and Aleutian Islands Management Area
National Marine Fisheries
Service (NMFS), National Oceanic and
Atmospheric Administration (NOAA),
Commerce.
ACTION: Temporary rule; closure.
AGENCY:

NMFS is prohibiting directed
fishing for Pacific cod by catcher/
processors using pot gear in the Bering
Sea and Aleutian Islands management
area (BSAI). This action is necessary to
prevent exceeding the annual
apportionment of the 2018 Pacific cod
total allowable catch allocated to
catcher/processors using pot gear in the
BSAI.
DATES: Effective September 20, 2018,
through 2400 hours, A.l.t., December 31,
2018.
FOR FURTHER INFORMATION CONTACT: Josh
Keaton, 907–586–7228.
SUPPLEMENTARY INFORMATION: NMFS
manages the groundfish fishery in the
BSAI exclusive economic zone
according to the Fishery Management
Plan for Groundfish of the Bering Sea
and Aleutian Islands Management Area
(FMP) prepared by the North Pacific
Fishery Management Council under
authority of the Magnuson-Stevens
Fishery Conservation and Management
Act. Regulations governing fishing by
U.S. vessels in accordance with the FMP
appear at subpart H of 50 CFR part 600
and 50 CFR part 679.
The annual apportionment of the
2018 Pacific cod total allowable catch
(TAC) allocated to catcher/processors
using pot gear in the BSAI is 2,720
metric tons (mt) as established by the
final 2018 and 2019 harvest
specifications for groundfish in the
BSAI (83 FR 8365, February 27, 2018).
SUMMARY:

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