Federal Acquisition Regulation (FAR): Business class airfare,

[Federal Register: August 12, 1998 (Volume 63, Number 155)]

[Proposed Rules]

[Page 43239-43240]

From the Federal Register Online via GPO Access [wais.access.gpo.gov]

[DOCID:fr12au98-27]

DEPARTMENT OF DEFENSE

GENERAL SERVICES ADMINISTRATION

NATIONAL AERONAUTICS AND SPACE ADMINISTRATION

48 CFR Part 31

[FAR Case 97-040]

RIN 9000-AH98

Federal Acquisition Regulation; Business Class Airfare

AGENCIES: Department of Defense (DOD), General Services Administration (GSA), and National Aeronautics and Space Administration (NASA).

ACTION: Proposed rule.

SUMMARY: The Civilian Agency Acquisition Council and the Defense Acquisition Regulations Council are proposing to amend the Federal Acquisition Regulation (FAR) to revise the ``travel costs'' cost principle to allow, in certain conditions, business class airfare costs for flights lasting more than 14 hours. This regulatory action was not subject to Office of Management and Budget review under Executive Order 12866, dated September 30, 1993. This is not a major rule under 5 U.S.C. 804.

DATES: Comments should be submitted on or before October 13, 1998 to be considered in the formulation of a final rule.

ADDRESSES: Interested parties should submit written comments to: General Services Administration, FAR Secretariat (MVR), 1800 F Street, NW, Room 4035, Washington, DC 20405.

E-mail comments submitted over Internet should be addressed to: farcase.97-040@gsa.gov.

Please cite FAR case 97-040 in all correspondence related to this case.

FOR FURTHER INFORMATION CONTACT: The FAR Secretariat, Room 4035, GS Building, Washington, DC 20405, (202) 501-4755, for information pertaining to status or publication schedules. For clarification of content, contact Ms. Linda Nelson, Procurement Analyst, at (202) 501- 1900. Please cite FAR case 97-040.

SUPPLEMENTARY INFORMATION:

1. Background

   The proposed rule revises paragraph (d) of FAR 31.205-46, travel costs, to allow, under certain conditions, contractor costs for business class airfare on flights lasting more than 14 hours. This FAR revision will make business class airfare requirements for contractor personnel consistent with business class airfare requirements in the Joint Travel Regulations and the Federal Travel Regulation for Government personnel.

2. Regulatory Flexibility Act

   This proposed rule is not expected to have a significant economic impact on a substantial number of small entities within the meaning of the Regulatory Flexibility Act, 5 U.S.C. 601, et seq., because most contracts awarded to small entities use simplified acquisition procedures or are awarded on a competitive, fixed-price basis, and do not require applications of the cost principle contained in this rule. An Initial Regulatory Flexibility Analysis has, therefore, not been performed. Comments from small entities concerning the affected FAR subpart will be considered in accordance with 5 U.S.C. 610 of the Act. Such comments must be submitted separately and should cite 5 U.S.C. 601, et seq. (FAR case 97-040), in correspondence.

3. Paperwork Reduction Act

   The Paperwork Reduction Act does not apply because the proposed changes to the FAR do not impose recordkeeping or information collection requirements, or collections of information from offerors, contractors, or members of the public which require the approval of the Office of Management and Budget under 44 U.S.C. 3501, et seq.

   List of Subjects in 48 CFR Part 31

   Government procurement.

   Dated: August 5, 1998. Edward C. Loeb, Director, Federal Acquisition Policy Division.

   Therefore, it is proposed that 48 CFR Part 31 be amended as set forth below:

   PART 31--CONTRACT COST PRINCIPLES AND PROCEDURES

   1. The authority citation for 48 CFR Part 31 continues to read as follows:

      Authority: 40 U.S.C. 486(c); 10 U.S.C. chapter 137; and 42 U.S.C. 2473(c).

   2. Section 31.205-46 is amended by revising paragraph (d) to read as follows:

      31.205-46 Travel costs.

      * * * * *

      (d)(1) Airfare costs in excess of the lowest customary standard, coach, or equivalent airfare offered during normal business hours are unallowable, except as permitted in paragraph (d)(2) of this section or when it is documented and justified that such standard, coach, or equivalent accommodations--

      [[Page 43240]]

      (i) Excessively prolong travel;

      (ii) Require circuitous routing;

      (iii) Require travel during unreasonable hours;

      (iv) Result in increased costs that would offset transportation savings;

      (v) Are not reasonably adequate for the physical or medical needs of the traveler;

      (vi) Are not reasonably available to meet mission requirements; or

      (vii) Are on a foreign carrier that lacks adequate sanitation or health standards.

      (2) Business class airfare costs are allowable when all of the following apply and are documented:

      (i) Either the origin or destination point is outside the continental United States.

      (ii) Scheduled flight time (including stopovers) is in excess of 14 hours.

      (iii) The traveler does not receive a rest stop en route or a rest period upon arrival at the destination point. * * * * *

      [FR Doc. 98-21442Filed8-11-98; 8:45 am]

      BILLING CODE 6820-EP-P