B-160254, NOV. 28, 1966

B-160254: Nov 28, 1966

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GENERAL SERVICES ADMINISTRATION: REFERENCE IS MADE TO LETTER OF OCTOBER 12. THE PROPOSED AMENDMENT WOULD PRESCRIBE PROCEDURES FOR IMPLEMENTING THE PROVISIONS OF 42 U.S.C. 1892 WHICH GIVES FEDERAL AGENCIES DISCRETIONARY AUTHORITY TO VEST NONPROFIT INSTITUTIONS OF HIGHER EDUCATION OR NONPROFIT ORGANIZATIONS WHOSE PRIMARY PURPOSE IS THE CONDUCT OF RESEARCH WITH TITLE TO EQUIPMENT PURCHASED WITH FUNDS AVAILABLE FOR GRANTS OR CONTRACTS FOR THE CONDUCT OF BASIC OR APPLIED RESEARCH. SINCE SUCH REPORTS ARE REQUIRED TO BE MADE IN ALL CASES. WHETHER TITLE TO EQUIPMENT IS TRANSFERRED BY CONTRACT OR AS A PART OF A GRANT. EXCEPT FOR THE REPORTING REQUIREMENTS OF SUBPARAGRAPH (D) APPLICATION OF THE PROVISIONS OF THIS SUBPART IS OPTIONAL.'.

B-160254, NOV. 28, 1966

TO ADMINISTRATOR, GENERAL SERVICES ADMINISTRATION:

REFERENCE IS MADE TO LETTER OF OCTOBER 12, 1966, FROM YOUR DEPUTY GENERAL COUNSEL ADDRESSED TO OUR DEPUTY GENERAL COUNSEL REQUESTING OUR COMMENTS ON A PROPOSED AMENDMENT OF THE FEDERAL PROCUREMENT REGULATIONS.

AS NOTED IN SUCH LETTER, THE PROPOSED AMENDMENT WOULD PRESCRIBE PROCEDURES FOR IMPLEMENTING THE PROVISIONS OF 42 U.S.C. 1892 WHICH GIVES FEDERAL AGENCIES DISCRETIONARY AUTHORITY TO VEST NONPROFIT INSTITUTIONS OF HIGHER EDUCATION OR NONPROFIT ORGANIZATIONS WHOSE PRIMARY PURPOSE IS THE CONDUCT OF RESEARCH WITH TITLE TO EQUIPMENT PURCHASED WITH FUNDS AVAILABLE FOR GRANTS OR CONTRACTS FOR THE CONDUCT OF BASIC OR APPLIED RESEARCH.

SUBPART 1-4.201-1 (D) PROVIDES FOR THE MAKING OF CERTAIN REPORTS TO THE CONGRESS. SINCE SUCH REPORTS ARE REQUIRED TO BE MADE IN ALL CASES, WHETHER TITLE TO EQUIPMENT IS TRANSFERRED BY CONTRACT OR AS A PART OF A GRANT, IT APPEARS THAT SUBPARAGRAPH (A) (3) SHOULD PROVIDE THAT ,EXCEPT FOR THE REPORTING REQUIREMENTS OF SUBPARAGRAPH (D) APPLICATION OF THE PROVISIONS OF THIS SUBPART IS OPTIONAL.'

WE NOTE THAT SUBPART 1-4.201-1 (D) DOES NOT SPECIFICALLY PROVIDE FOR REPORTING THE DOLLAR AMOUNTS OF GRANTS AS REQUIRED BY LAW. CONSEQUENTLY, WE BELIEVE THAT THIS REQUIREMENT SHOULD BE ADDED TO THE ITEMS LISTED THEREIN. ALSO, IN ORDER THAT SUCH REPORTS MIGHT BE MADE MORE MEANINGFUL, WE SUGGEST THAT CONSIDERATION BE GIVEN TO REQUIRING THAT THERE BE INCLUDED IN THOSE REPORTS ONE OR MORE OF THE FOLLOWING: (1) A DESCRIPTION OF THE ITEMS TRANSFERRED, (2) A STATEMENT OF THE PRINCIPAL CRITERIA RELIED UPON AS A BASIS FOR THE TRANSFER, OR (3) A STATEMENT THAT THE TRANSFERS WERE IN CONFORMITY WITH GSA REGULATIONS AND APPLICABLE LAW.