9000-0010_Justification

9000-0010_Justification.doc

Progress Payments, SF 1443, FAR Sections Affected: Subpart 32.5; 52.232-13 thru 52.232-16

OMB: 9000-0010

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SUPPORTING STATEMENT

FOR PAPERWORK REDUCTION ACT SUBMISSION

9000-0010, PROGRESS PAYMENTS, SF 1443


A. Justification.


1. Administrative requirements. Certain Federal contracts provide for progress payments to be made to the contractor during performance of the contract. The requirement for certification and supporting information are necessary for the administration of statutory and regulatory limitation on the amount of progress payments under a contract. The submission of supporting cost schedules is an optional procedure that, when the contractor elects to have a group of individual orders treated as a single contract for progress payments purposes, is necessary for the administration of statutory and regulatory requirements concerning progress payments.


2. Uses of information. This information is used to determine the proper amount of payment to be made. The contractual requirement for submission of reports, certificates, financial statements and other pertinent 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. This requirement is being issued under the Federal Acquisition Regulation (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 solicitation-by-solicitation is not practical.


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


8. Efforts to consult with persons outside the agency. Under the procedures established for development of the FAR, agency and public comments were solicited. Notices published in the Federal Register at 73 FR 71625, on November 25, 2008, and 74 FR 9084, March 2, 2009, made this requirement available to the public and requested comments. No comments were received.

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


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


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


12 & 13. Estimated total annual public hour and cost burden. Time required to read and prepare information is estimated at 33 minutes per completion.


Estimated respondents/yr 27,000

Responses annually x 32

Total annual responses 864,000

Estimated hrs/response x .55

Estimated total burden/hrs 475,200

Averages wages/hr x $24

Average wages/yr $11,404,800

Benefits and overhead + 75%

Estimated cost to the public $19,958,400


14. Estimated cost to the Government. Time required for Governmentwide review is estimated at 1 hour per response.


Annual Reporting Burden and Cost


Reviewing time/hr 1

Responses/yr x 864,000

Review time/yr 864,000

Average wages/hr x $20

Average wages/yr $17,280,000

Benefits and overhead + 100%

Total Government cost $34,560,000



15. Explain reasons for program changes or adjustments reported in Item 13 or 14. This submission requests an extension of OMB approval of an information collection requirement in the Federal Acquisition Regulation (FAR). The information collection requirement in the FAR remains unchanged.


  1. 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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