0704-0286 Supporting Statement 2023-06-23

0704-0286 Supporting Statement 2023-06-23.docx

Defense Federal Acquisition Regulation Supplement (DFARS) Part 232, Contract Financing, and associated clauses

OMB: 0704-0359

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SUPPORTING STATEMENT – PART A


OMB Control Number 0704-0286 — Defense Federal Acquisition Regulation Supplement, Part 205, Publicizing Contract Actions, and Related Clause at DFARS 252.205



Summary of Changes from Previously Approved Collection

  • Decrease in estimated cost results from a decrease in the estimated hours, even though hourly labor rates increased for fiscal year 2023.

  • Decrease in the number of applicable contracts, respondents and responses as a result of an inflation adjustment to the acquisition threshold from $1 million to $1.5 million.


1. Need for the Information Collection


This statement supports a request for revision and renewal of a currently approved collection under OMB Control Number 0704-0286 for Defense Federal Acquisition Regulation Supplement (DFARS) part 205, Publicizing Contract Actions, and a related clause at 252.205-7000. DFARS clause 252.205-7000, Provision of Information to Cooperative Agreement Holders, implements 10 U.S.C. 4957 (formerly 10 U.S.C. 2416) by requiring contractors to provide cooperative agreement holders, upon request, with a list of the contractor’s employees or offices responsible for entering into subcontracts under Department of Defense (DoD) contracts. Contractors are not required to provide the listing to a particular cooperative agreement holder more frequently than once per year.


The information collection applies to solicitations and contracts, including solicitations and contracts using FAR part 12 procedures for the acquisition of commercial products and commercial services, that are expected to exceed $1.5 million.

2. Use of the Information

The information submitted under the clause at DFARS 252.205-7000 is used by cooperative agreement holders, as part of the Procurement Technical Assistance Program (PTAP), to identify and pursue contract opportunities with DoD. PTAP is administered by the Defense Logistics Agency's Office of Small Business Programs in cooperation with states, local governments, and nonprofit organizations. The purpose of the program is for the agreement holders to expand the number of businesses capable of participating in Government contracts.


3. Use of Information Technology


Information technology is used approximately 100% of the time to reduce burden. Where both DoD and contractors are capable of electronic interchange, the information collection requirement is submitted electronically.


4. Non-duplication

As a matter of policy, DoD reviews the Federal Acquisition Regulation (FAR) to determine if adequate language already exists. This information collection applies solely to DoD and does not duplicate any other requirement.

5. Burden on Small Business

The burden applied to small businesses is the minimum consistent with applicable laws, Executive orders, and prudent business practices.

6. Less Frequent Collection

This information is collected on occasion, only when a cooperative agreement holder requests it. The information collected to comply with the requirements of 10 U.S.C. 4957 need not be provided to a particular cooperative agreement holder more frequently than once a year.

7. Paperwork Reduction Act Guidelines

There are no special circumstances for collection. Collection of this information is consistent with the guidelines at 5 CFR 1320.5(d)(2).

8. Consultation and Public Comments

a. Public Notice

i. Public comments were solicited in the Federal Register on March 30, 2023 (88 FR 19096). No comments were received in response to this notice.

ii. A notice of submission to OMB for clearance of this information collection was published in the Federal Register on June 23, 2023 (88 FR 41087).

b. Consultation

Subject matter experts were consulted regarding the renewal of this information collection.

9. Gifts or Payment

DoD will not provide a payment or gift to respondents under this information collection requirement, other than remuneration of contractors under their contracts.

10. Confidentiality

This information is disclosed only to the extent consistent with statutory requirements, current regulations, and prudent business practices. No assurance of confidentiality is provided to respondents. A Privacy Act Statement is not required for this collection because DoD is not requesting individuals to furnish personal information for a system of records. The collection of information does not include any personally identifiable information; therefore, no Privacy Impact Assessment or Privacy Act System of Records Notice is required.

11. Sensitive Questions

No sensitive questions are involved in the information collection.

12. Respondent Burden and its Labor Costs

The estimated respondent burden is based on information generated from the Federal Procurement Data System (FPDS) using an average of fiscal year 2020, 2021, and 2022 data and estimates of processing times from contracting professionals familiar with cooperative agreements. The number of respondents is based on data from FPDS that indicates an average of 5,768 contractors are awarded contracts exceeding $1,500,000 each year. Of those 5,768 contractors, the Government estimates that approximately 90 percent (5,192 contractors) have been awarded contracts over $1,500,000 in prior years, so only 10 percent (576 contractors) would need to make initial information submissions. The Government estimates that it will take the 576 contractors 2 hours to prepare the initial submissions and transmit them to the cooperative agreement holders. At an estimated cost of $42 per hour, the annual respondent burden for initial submissions is estimated to be $48,384.


The remaining 5,192 contractors only need to update information previously developed and provide to the cooperative agreement holder. Based on experience, the Government estimates that it will take the contractor 1 hour to update and send the submission. At an estimated cost of $42 per hour, the annual respondent burden for subsequent submissions is estimated to be $218,064. Accordingly, the total estimation of the respondent burden is as follows—


Estimation of Respondent Burden Hours: 252.205-7000

Number of respondents

5,768

Responses per respondent

1

Number of responses

5,768

Hours per response (rounded)

1.1

Estimated hours (rounded)

6,345

Cost per hour1 (hourly wage)

$42

Cost per response

$46.20

Annual public burden

$266,482


13. Respondent Costs Other Than Burden Hour Costs

There are no annualized costs to respondents for this information collection other than the labor burden costs addressed in Item 12.

14. Cost to the Federal Government

DFARS 252.205-7000 requires prime contractors to submit the requested information directly to the cooperative agreement holders. Since the Government does not review or participate in any manner in the transaction, there is no Government burden associated with this requirement.

15. Reasons for Change in Burden

There is no change in the information collection requirements covered under OMB Control Number 0704-0286. The change in burden is a result of the following:

a. The threshold for providing the information required by DFARS 252.205-7000 increased from $1 million to $1.5 million as a result of the inflation adjustment of acquisition-related thresholds effective October 1, 2020 (85 FR 61504). The threshold increase resulted in fewer contractors having to provide the information required under this information collection.

b. The current OPM GS hourly labor rates for calendar year 2023 have increased from the 2020 rates. The change in burden is as follows:

0704-0286

2020

2023

Change

Number of respondents

7,027

5,768

(1,259)

Responses per respondent

1

1

0

Number of responses

7,027

5,768

(1,259)

Hours per response

1.10

1.10

0

Estimated hours

7,730

6,345

(1,385)

Cost per hour

$38

$42

$4.00

Annual public burden

$293,729

$266,482

($27,247)

16. Publication of Results

Results of this collection will not be published.

17. Non-Display of OMB Expiration Date

DoD is not requesting approval to omit display of the expiration date of OMB approval on the instrument of collection.

18. Exceptions to “Certification for Paperwork Reduction Submissions”

There are no exceptions to the certification accompanying this Paperwork Reduction Act submission.


1 Based on the salary table for GS-9/step 5 salary ($31.02 an hour for base salary) plus 36.25 percent burden, rounded to the nearest dollar, or $42 an hour. The burden rate used is that mandated by OMB memorandum M-08-13 for use in public-private competition. Reference Salary Table for GS employees, 2023-RUS, Effective January 2023, found at www.opm.gov).

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