Government Contracts Rule Updates FAR’s Trade Agreements Acquisition Thresholds
Monday, February 10, 2020

Rule Updates FAR’s Trade Agreements Acquisition Thresholds

By Government Contracts Editorial Staff

The Civilian Agency Acquisition Council and the Defense Acquisition Regulations Council have issued Federal Acquisition Circular 2020-04, which contains one final rule (FAR Case 2019-012) amending the Federal Acquisition Regulation. The rule incorporates revised thresholds for application of the World Trade Organization Government Procurement Agreement and the Free Trade Agreements, as determined by the United States Trade Representative. This FAC also contains a Small Entity Compliance Guide. For the text of FAC 2020-04 see ¶70,002.215.

Thresholds. The trade agreements thresholds are adjusted every two years according to predetermined formulae set forth in the agreements. On December 23, 2019 (84 FR 70615), the Trade Representative published the new procurement thresholds. These thresholds went into effect on January 1, 2020. To implement the updated thresholds, this rule amends the table at FAR 25.402 and the trade agreements thresholds in FAR 22.1503, FAR 25.202, FAR 25.603, FAR 25.1101, and FAR 25.1102. In addition, the rule makes changes to the solicitation provision at FAR 52.204-8, Annual Representations and Certifications, and clause at FAR 52.222-19, Child Labor—Cooperation with Authorities and Remedies, with conforming changes to the clause dates in FAR 52.212-5, Contract Terms and Conditions Required to Implement Statutes or Executive Orders—Commercial Items, and FAR 52.213-4, Terms and Conditions—Simplified Acquisitions (Other Than Commercial Items). The effective date of this final rule is January 15, 2020.

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