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MV-2020-10
August 13, 2020
MEMORANDUM FOR THE GSA ACQUISITION WORKFORCE
FROM AND DIGITALLY SIGNED BY: Jeffrey A. Koses, Senior Procurement Executive, Office of Acquisition Policy
SUBJECT: Workforce guidance on FY2019 NDAA Section 889 “Part B”
On this page:
The purpose of this Acquisition Letter (AL) is to provide implementation instructions for the recent interim Federal Acquisition Regulation (FAR) rule (the FAR rule; FAR Case 2019-009) on Section 889(a)(1)(B) of the John S. McCain National Defense Authorization Act (NDAA) for Fiscal Year 2019 (FY2019) (Public Law 115-232), commonly referred to as “889 Part B”.
This letter:
In response to significant national security concerns, as identified in the FAR rule published on July 14, 2020, Congress mandated two prohibitions in Section 889 of the NDAA. The first prohibition, which went into effect on August 13, 2019, prohibited the Federal Government (the Government) from purchasing telecommunications and video surveillance equipment or services manufactured or provided by five named companies and their subsidiaries or affiliates (prohibited telecom) [1]. The five named companies are: Huawei Technologies Company; ZTE Corporation; Hytera Communications Corporation; Hangzhou Hikvision Digital Technology Company; and Dahua Technology Company.
The second, broader prohibition, which takes effect on August 13, 2020, prohibits the Government from entering into a contract (or extending or renewing a contract) with companies that use any equipment, system, or service that uses prohibited telecom as a substantial or essential component of any system, or as critical technology as part of any system, unless a waiver is obtained or an exception applies.
The FAR rule, published on July 14, 2020, and effective on August 13, 2020, amended the FAR to implement this second prohibition. GSA applied the representation and reporting requirements in the FAR rule to real property lease acquisitions and Commercial Solution Opening procurements (CSOs) via a separate class deviation, CD-2020-15, issued on August 6, 2020, and effective on August 13, 2020. Effective August 13, 2020, the FAR rule and CD-2020-15, taken together, require contracting officers and lease contracting officers (collectively, hereinafter COs) to:
The representation provision at FAR 52.204-24 (AUG 2020) requires two representations from offerors. The first is regarding whether they will provide prohibited telecom to the Government, and the second is regarding whether they use prohibited telecom, regardless of whether that use is in performance of work under a Federal contract. The reporting clause at FAR 52.204-25 (AUG 2020) requires contractors to report to the CO if they identify prohibited telecom used during contract performance. These disclosures by contractors will drive COs’ actions with respect to 889 Part B compliance.
GSA communications with industry indicate that there may be widespread use of prohibited telecom throughout GSA’s industry base. Therefore, this AL provides guidance to COs on how to handle likely scenarios throughout the acquisition lifecycle to best meet mission needs as well as to track mission impact. See Appendix A for additional resources and references, including frequently asked questions. See Appendix B for a matrix to determine representation provision and reporting clause insertion for new solicitations, new contracts, and existing contracts (including real property lease acquisitions).
This AL is effective August 13, 2020, and remains in effect until rescinded, or incorporated into the General Services Administration Acquisition Regulation (GSAR).
This AL applies to all GSA contracting activities, including real property lease acquisitions, identified in GSAR part 570, and CSOs, identified in GSAR part 571. GSA contracting activities performing assisted acquisitions shall follow this policy except where identified in section 5 “Requirements”.
The Federal Acquisition Institute in partnership with the Defense Acquisition University has developed Government-wide training FAC 889, Section 889: Prohibition on Telecommunication and Video Equipment. GSA will also create a supplemental training to address GSA-specific guidance outlined in this AL [15].
All GSA employees with a FAC-C, FAC-COR, FAC-P/PM or LCP certification are required to take the FAI course and the GSA course no later than November 25, 2020.
The following documents are some of the statutes, regulations, and related guidance that govern information and information system security.
The following provision must be included in new and existing solicitations.
The following clause must be included in all contracts awarded by GSA on or after August 13, 2020.
The following clause must be included in all existing contracts and orders, as of August 13, 2020, as options to extend periods of performance are exercised, or periods of performance are otherwise extended.
Instructions: To use this language, please select your situation from the bold language in bracketed options below, and delete the inapplicable choice as well as the brackets and italicized “or”. You may change the bold font to normal at your discretion. Note this language may be used for both solicitations/requests for lease proposals and existing contracts.
Pursuant to Public Law No: 115-232, as implemented through FAR 4.2102, the Government is prohibited from entering into a contract, or extending or renewing a contract, with an entity that uses any equipment, system, or service that uses covered telecommunications equipment or services as a substantial or essential component of any system, or as critical technology as part of any system, unless an exception or waiver applies. [offeror name or contractor name] has [reported or represented] such use and the contracting officer has determined that the use is a substantial or essential component of any system, or as critical technology as part of any system, and that no exception or existing waiver applies. [offeror name or contractor name] is ineligible for [award or contract extension] and the contracting officer is hereby [eliminating the offeror from competition or not extending this contract or terminating (or cancelling) this contract].
[1] Section 889 of the NDAA uses the term “covered telecommunications equipment or services.” For ease of understanding, this AL uses the term “prohibited telecom” to mean “covered telecommunication equipment or services.” Section 889 of the NDAA defines “covered telecommunications equipment or services” as: “(A) Telecommunications equipment produced by Huawei Technologies Company or ZTE Corporation (or any subsidiary or affiliate of such entities). (B) For the purpose of public safety, security of government facilities, physical security surveillance of critical infrastructure, and other national security purposes, video surveillance and telecommunications equipment produced by Hytera Communications Corporation, Hangzhou Hikvision Digital Technology Company, or Dahua Technology Company (or any subsidiary or affiliate of such entities). (C) Telecommunications or video surveillance services provided by such entities or using such equipment. (D) Telecommunications or video surveillance equipment or services produced or provided by an entity that the Secretary of Defense, in consultation with the Director of the National Intelligence or the Director of the Federal Bureau of Investigation, reasonably believes to be an entity owned or controlled by, or otherwise connected to, the government of a covered foreign country.”
[2] GSA’s IDVs/IDIQs include Federal Supply Schedules (FSS), Government-wide Acquisition Contracts (GWACs), and Multiple-Award Contracts (MACs) contracts.
[3] Once the provision at FAR 52.204-26 has been updated, the frequently asked questions available on the Acquisition Portal at http://insite.gsa.gov/scrm (Note: link accessible to GSA employees only) will be updated accordingly.
[4] The Supply Chain Event Report is available on the Acquisition Portal at http://insite.gsa.gov/scrm (Note: link accessible to GSA employees only).
[5] Examples include 4PL Retail Stores and orders against Global Supply Single-Award BPAs Agreements for the requisition of supplies, Autochoice programs, and the CityPairs Contract.
[6] Examples include 4PL Retail Stores and orders against Global Supply Single-Award BPAs Agreements for the requisition of supplies, Autochoice programs, and the CityPairs Contract.
[7] The Supply Chain Event Report is available on the Acquisition Portal at http://insite.gsa.gov/scrm (Note: link accessible to GSA employees only).
[8] Information on ODNI waivers will be posted to the Acquisition Portal at http://insite.gsa.gov/scrm (Note: link accessible to GSA employees only), when available.
[9] For informational purposes, the prerequisites are: (1) GSA must designate a senior agency official for supply chain risk management; and (2) GSA must establish participation in an information-sharing environment when and as required by the Federal Acquisition Security Counsel (FASC).
[10] Prior to downloading this and any other document linked in this policy from OMB MAX, the CO must first request access to the 889 Guidance page on OMB MAX. To do this, visit this link: https://community.max.gov/x/o9VHg, then click on the registration link on the left.
[11] For information on sensitive technologies or sensitive data lists see, the OMB MAX 889 Guidance Site.
[12] For information on sensitive technologies or sensitive data lists see, the OMB MAX 889 Guidance Site.
[13] Using this ODNI guidance satisfies the FAR rule’s requirement to consult with ODNI.
[14] The CO shall submit the waiver to ODNI and the FASC via the email addresses available on the Acquisition Portal at http://insite.gsa.gov/scrm (Note: link accessible to GSA employees only).
[15] Additional details on the GSA-specific training will be available on the Acquisition Portal at http://insite.gsa.gov/scrm (Note: link accessible to GSA employees only).
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Rates for Alaska, Hawaii, and U.S. territories and possessions are set by the Department of Defense.
Rates for foreign countries are set by the Department of State.
Rates are available between 10/1/2022 and 09/30/2025.
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Traveler reimbursement is based on the location of the work activities and not the accommodations, unless lodging is not available at the work activity, then the agency may authorize the rate where lodging is obtained.
Unless otherwise specified, the per diem locality is defined as "all locations within, or entirely surrounded by, the corporate limits of the key city, including independent entities located within those boundaries."
Per diem localities with county definitions shall include"all locations within, or entirely surrounded by, the corporate limits of the key city as well as the boundaries of the listed counties, including independent entities located within the boundaries of the key city and the listed counties (unless otherwise listed separately)."
When a military installation or Government - related facility(whether or not specifically named) is located partially within more than one city or county boundary, the applicable per diem rate for the entire installation or facility is the higher of the rates which apply to the cities and / or counties, even though part(s) of such activities may be located outside the defined per diem locality.
An SBA program that helps provide a level playing field for small businesses owned by socially and economically disadvantaged people or entities that meet the following eligibility requirements:
See Title 13 Part 124 of the Code of Federal Regulations for more information.
A multiple-award IDIQ governmentwide acquisition contract offering complete and flexible IT solutions worldwide. A best-in-class GWAC and preferred governmentwide solution, Alliant 2 offers:
It provides best-value IT solutions to federal agencies, while strengthening chances in federal contracting for small businesses through subcontracting.
An agreement established by a government buyer with a Multiple Award Schedule contractor to fill repetitive needs for supplies or services.
Types of funds to use on specific expenses.
The work done to make a structure or system ready for use or to bring a construction or development project to a completed state.
Negotiated firm-fixed pricing on airline seats for official government travel. The locked-in ticket prices for the fiscal year save federal agencies time and money. Federal employees enjoy flexibility to change their plans without incurring penalties or additional costs. All negotiated rates have:
Use the CPP search tool to find current fares.
From 5 USC 5701(6), "continental United States" means the several states and the District of Columbia, but does not include Alaska or Hawaii.
A space where individuals work independently or co-work collaboratively in a shared office. The work environment is similar to a typical office, usually inclusive of office equipment and amenities. Typical features of co-working facilities include work spaces, wireless internet, communal printer/copier/fax, shared kitchens, restrooms and open seating areas. May also be referred to as a “shared office.”
A system that is bought from a commercial vendor to solve a particular problem, as opposed to one that a vendor custom builds.
An employee who negotiates and awards contracts with vendors and who has the sole authority to change, alter or modify a contract.
An employee whose duties are to develop proper requirements and ensure contractors meet the commitments during contract administration, including the timeliness and delivery of quality goods and services as required by the contract.
A request of GSA where a federal agency retains and manages all aspects of the procurement process and is able to work with the selected vendor after award.
An SBA program that gives preferential consideration for certain government contracts to businesses that meet the following eligibility requirements:
See Title 13 Part 127 Subpart B of the Code of Federal Regulations for more information.
The primary regulation for federal agencies to use when buying supplies and services with funds from Congress.
Use acquisition.gov to browse FAR parts or subparts or download the full FAR in various formats.
The travel and relocation policy for all federal civilian employees and others authorized to travel at government expense.
A program that promotes the adoption of secure cloud services across the federal government by providing a standardized approach to security and risk assessment.
A GSA business line that provides safe, reliable, low-cost vehicle solutions for federal agency customers and eligible entities. Offerings include:
A charge card for U.S. government personnel to use when paying for fuel and maintenance of GSA Fleet vehicles. Find out where the Fleet card is accepted, how to use it and more.
A Department of Homeland Security program that allows members to use expedited lanes at U.S. airports and when crossing international borders by air, land and sea.
A charge card for certain U.S. Government employees to use when buying mission-related supplies or services using simplified acquisition procedures, when applicable, and when the total cost does not exceed micro-purchase thresholds.
A charge card for U.S. government personnel to use when paying for reimbursable expenses while on official travel. Visit smartpay.gsa.gov for more.
A vehicle used to perform an agency’s mission(s), as authorized by the agency.
Pre-competed, multiple-award, indefinite delivery, indefinite quantity contracts that agencies can use to buy total IT solutions more efficiently and economically.
A ceremony marking the official start of a new construction project, typically involving driving shovels into ground at the site.
An online shopping and ordering system at gsaadvantage.gov that provides access for federal government employees and in some cases, state and local entities, to purchase from thousands of contractors offering millions of supplies and services.
An online auction site at gsaauctions.gov that allows the general public to bid on and buy excess federal personal property assets such as:
Real property for which GSA is responsible. It can be either federally owned or leased from a public or private property owner.
An SBA program that gives preferential consideration for certain government contracts to business that meet the following eligibility requirements:
See Title 13 Part 126 Subpart B of the Code of Federal Regulations for more information.
A type of contract when the quantity of supplies or services, above a specified minimum, the government will require is not known. IDIQs help streamline the contract process and speed service delivery.
A fee paid by businesses who are awarded contracts under Multiple Award Schedule to cover GSA’s cost of operating the program. The fee is a fixed percentage of reported sales under MAS contracts that contractors pay within 30 calendar days following the completion of each quarter.
A law that provides $3.375 billion for us to:
This includes $2.15 billion for low embodied carbon materials in construction projects, $975 million to support emerging and sustainable technologies, and $250 million for measures to convert more buildings into High Performance Buildings.
An investment in our nation’s infrastructure and competitiveness. The law provides funding for LPOE modernization projects that will create new good-paying jobs, bolster safety and security, and make our economy more resilient to supply chain challenges.
A written agreement entered into between two federal agencies, or major organizational units within an agency, which specifies the goods to be furnished or tasks to be accomplished by one agency (the servicing agency) in support of the other (the requesting agency).
A facility, also known as a border station, that provides controlled entry into or departure from the United States for persons or materials. It houses the U.S. Customs and Border Protection and other federal inspection agencies responsible for the enforcement of federal laws related to entering into or departing from the U.S.
An employee who is responsible for preparing, negotiating, awarding and monitoring compliance of lease agreements.
Criteria used to select the technically acceptable proposal with the lowest evaluated price. Solicitations must specify that award will be made on the basis of the lowest evaluated price of proposals meeting or exceeding the acceptability standards for non-cost factors.
The rate of reimbursement for driving a privately owned vehicle when your agency authorizes it. Current rates are at gsa.gov/mileage.
Long-term governmentwide contracts with commercial firms providing federal, state, and local government buyers access to more than 11 million commercial products and services at volume discount pricing. Also called Schedules or Federal Supply Schedules.
The standard federal agencies use to classify business establishments for the purpose of collecting, analyzing, and publishing statistical data related to the U.S. business economy.
A family of six separate governmentwide multiple award, IDIQ contracts for management and advisory, facilities, technical and engineering, logistics, intelligence services, research and development, environmental, and enterprise solutions.
A formal, signed agreement between GSA’s Public Buildings Service and a federal agency for a specific space assignment.
Services performed under a contract with a federal agency that include:
The per day rates for the lower 48 continental United States, which federal employees are reimbursed for expenses incurred while on official travel. Per diem includes three allowances:
An identification card that allows credentialed government personal to access facilities, computers, or information systems. May also be referred to as HSPD-12 card, LincPass, Smart Card, or CAC.
Furniture and equipment such as appliances, wall hangings, technological devices, and the relocation expenses for such property.
Information that can be used to distinguish or trace an individual’s identity, either alone or when combined with other information that is linked or linkable to a specific individual. Get our agency's privacy policies and practices as they apply to our employees, contractors, and clients.
You should only drive a privately owned vehicle for official travel after your agency evaluates the use of:
When your agency has determined a POV to be the most advantageous method of transportation, you are authorized reimbursement for mileage and some additional allowances (parking, bridge, road and tunnel fees, etc.).
Approvals from GSA’s congressional authorizing committees, the U.S. Senate Committee on Environment and Public Works and the U.S. House Committee on Transportation and Infrastructure, for proposed capital and leasing projects that require funding over an annually established threshold.
Region 1 (New England): Connecticut, Maine, Massachusetts, New Hampshire, Rhode Island, Vermont
Region 2 (Northeast and Caribbean): Northern New Jersey, New York, Puerto Rico, U.S. Virgin Islands
Region 3 (Mid-Atlantic): Delaware, parts of Maryland, Southern New Jersey, Pennsylvania, parts of Virginia, West Virginia
Region 4 (Southeast Sunbelt): Alabama, Florida, Georgia, Kentucky, Mississippi, North Carolina, South Carolina, Tennessee
Region 5 (Great Lakes): Illinois, Indiana, Michigan, Minnesota, Ohio, Wisconsin
Region 6 (Heartland): Iowa, Kansas, Missouri, Nebraska
Region 7 (Greater Southwest): Arkansas, Louisiana, New Mexico, Oklahoma, Texas
Region 8 (Rocky Mountain): Colorado, Montana, North Dakota, South Dakota, Utah, Wyoming
Region 9 (Pacific Rim): Arizona, California, Hawaii, Nevada
Region 10 (Northwest Arctic): Alaska, Idaho, Oregon, Washington
Region 11 (National Capital): Washington, D.C., area including parts of Maryland and Virginia
Formal agreements between GSA and a federal agency customer where GSA agrees to provide goods, services, or both, and the federal agency agrees to reimburse GSA’s direct and indirect costs. The customer portal for RWA information is called eRETA at extportal.pbs.gsa.gov.
A document used in negotiated procurements to communicate government requirements to prospective contractors (firms holding Multiple Award Schedule contracts) and to solicit proposals (offers) from them.
A document used to communicate government requirements, but which do not solicit binding offers. Quotations submitted in response are not offers. The Multiple Award Schedule order is the offer, and then the contractor can do something to show acceptance, like ordering supplies or contacting subcontractors.
An SBA program that gives preferential consideration for certain government contracts to businesses that meet the following eligibility requirements:
See Title 13 Part 128 Subpart B of the Code of Federal Regulations for more information.
An SBA designation for businesses that meet size standards set for each NAICS code. Most manufacturing companies with 500 employees or fewer, and most non-manufacturing businesses with average annual receipts under $7.5 million, will qualify as a small business.
See Title 13 Part 121.201 of the Code of Federal Regulations for more information.
To improve and stimulate small business utilization, we award contracts to businesses that are owned and controlled by socially and economically disadvantaged individuals. We have contracting assistance for:
A Small Business Administration program that gives preferential consideration for certain government contracts to business that meet the following eligibility requirements:
See Title 13 Section 124.1001 of the Code of Federal Regulations for more information.
The basis for the lease negotiation process, which becomes part of the lease. SFOs include the information necessary to enable prospective offerors to prepare proposals. See SFO minimum requirements.
Specific supply and service subcategories within our Multiple Award Schedule. For the Information Technology Category, a SIN might be new equipment or cloud services.
An online system at sam.gov, which the U.S. Government uses to consolidate acquisition and award systems for use by contractors wishing to do business with the federal government. Formerly known as FBO.gov, all contracting opportunities valued over $25,000 are posted at sam.gov.
When you use a government purchase card, such as the "GSA SmartPay" travel card for business travel, your lodging and rental car costs may be exempt from state sales tax. Individually billed account travel cards are not tax exempt in all states. Search for exemption status, forms and important information.
The finishes and fixtures federal agency tenants select that take a space from a shell condition to a finished, usable condition and compliant with all applicable building codes and standards.
A statute that applies to all Multiple Award Schedule contracts, unless otherwise stated in the solicitation or contract, which requires contractors to sell to the U.S. Government only products that are manufactured or “substantially transformed” in the U.S. or a TAA-designated country.
Vendors report transactional data — information generated when the government purchases goods or services from a vendor — to help us make federal government buying more effective.
See our TDR page for which SINs are eligible and which line-item data to submit.
A unique number required to do business with the federal government.
An indicator of how efficiently a federal agency is currently using space, it is traditionally calculated by dividing the usable square feet of the space, by the number of personnel who occupy the space.
A Small Business Administration program that gives preferential consideration for certain government contracts to businesses that meet the following eligibility requirements:
A governmentwide acquisition contract exclusively for service-disabled veteran-owned small businesses to sell IT services such as:
The amount of solid waste, such as trash or garbage, construction and demolition waste, and hazardous waste, that is reused, recycled or composted instead of being put in a landfill or burned.
A GSA program designed to promote recycling and reuse of solid waste.
A Small Business Administration program that gives preferential consideration for certain government contracts to businesses that meet the following eligibility requirements:
See Title 13 Part 127 Subpart B of the Code of Federal Regulations for more information.
U.S. General Services Administration