9000-0010 Supporting Statement 06.29.21 (1)

SUPPORTING STATEMENT

FOR PAPERWORK REDUCTION ACT SUBMISSION

OMB CONTROL NO. 9000-0010

PROGRESS PAYMENTS, SF 1443

FAR sections affected: 52.232-16 and SF 1443

A. Justification.

1. Administrative requirements.

This clearance covers the information that contractors must submit to comply with the following Federal Acquisition Regulation (FAR) requirements:

FAR 52.232-16, Progress Payments, and Standard Form (SF) 1443, Contractor’s Request for Progress Payment. Paragraph (g) of this FAR clause requires contractors to furnish reports, certificates, financial statements, and other pertinent information (including estimates to complete) reasonably requested by contracting officers for the administration of fixed-price contracts under which the Government will provide progress payments based on costs. Each request for progress payment shall be submitted on a SF 1443.

2. Uses of information. Contracting officers use this information to administer progress payments under a contract. This collection of information is necessary for protection of the Government against financial loss through making of progress payments.

3. Consideration of information technology. We use improved information technology to the maximum extent practicable. Where both the Government agency and contractors are capable of electronic interchange, the contractors may submit this information collection requirement electronically.

4. Efforts to identify duplication. These requirements are issued under the FAR, which has been developed to standardize Federal procurement practices and eliminate unnecessary duplication.

5. If the collection of information impacts small businesses or other entities, describe methods used to minimize burden. The burden applied to small businesses is the minimum consistent with applicable laws, Executive orders, regulations, and prudent business practices.

6. Describe consequence to Federal program or policy activities if the collection is not conducted or is conducted less frequently. Collection of information on a basis other than contract-by-contract is not practical.

7. Special circumstances for collection. Collection is consistent with guidelines in 5 CFR 1320.6.

8. Efforts to consult with persons outside the agency.

1. A 60-day notice was published in the Federal Register at 86 FR 22207, on April 27, 2021. No comments were received.

2. A 30-day notice was published in the Federal Register at 86 FR 36747, on July 13, 2021.

9. Explanation of any decision to provide any payment or gift to respondents, other than remuneration of contractors or grantees. Not applicable.

10. Describe assurance of confidentiality provided to respondents. This information is disclosed only to the extent consistent with prudent business practices, current regulations, and statutory requirements.

11. Additional justification for questions of a sensitive nature. No sensitive questions are involved.

12 & 13. Estimated total annual public hour and cost burden.

Based on Fiscal Year (FY) 2020 data in the Electronic Document Access (EDA) system (DoD official contract file system), 11,804 DoD contract awards contain FAR clause 52.232-16, Progress Payments. Time required to read and prepare information is estimated at 25 minutes per completion.

Estimated respondents/yr............................. 11,804

Responses per respondent.............................. x 32

Total annual responses...............................377,728

Estimated hrs/response................................ x .42

Estimated total burden hrs...........................158,646

Hourly rate*.......................................... x $57

Estimated cost to public...................... $9,042,822

* Based on the Office of Personnel Management (OPM) 2021 General Schedule (GS) 12/step 5 salary for the rest of the United States ($42.08 per hour) plus a 36.25 percent fringe factor, rounded to the nearest whole dollar. The fringe factor used is pursuant to the rate provided in OMB memorandum M-08-13 for use in public-private competition.

14. Estimated cost to the Government.

Time required for Governmentwide review is estimated at 45 minutes per response.

Total annual responses............................... 377,728

Review Time per response (hours)...................... x .75

Review time per year (hours)........................ 283,296

Hourly rate*.......................................... x $57

Estimated cost to the Government............. $ 16,147,872

15. Explain reasons for program changes or adjustments reported in Item 13 or 14. The decrease of responses from 632,160 to 377,728 and the associated decrease in estimated burden hours from 265,507 to 158,646 is an adjustment due to use of the most current data available.

16. Outline plans for published results of information collections. Results will not be tabulated or published.

17. Approval not to display expiration date. Not applicable.

18. Explanation of exception to certification statement. Not applicable.

B. Collections of Information Employing Statistical Methods.

Statistical methods are not used in this information collection.

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