Page:United States Statutes at Large Volume 102 Part 5.djvu/55

 PUBLIC LAW 100-679—NOV. 17, 1988

102 STAT. 4061

"(B) to establish procedures for the waiver of the requirements of this section with respect to individual contracts and subcontracts. "(g) REQUIREMENTS FOR STANDARDS.—(1) Prior to the promulgation under this section of cost accounting standards and interpretations thereof, the Board shall— "(A) take into account, after consultation and discussions with the Comptroller General and professional accounting organizations, contractors, and other interested parties— "(i) the probable costs of implementation, including inflationary effects, if any, compared to the probable benefits; "(ii) the advantages, disadvantages, and improvements anticipated in the pricing and administration of, and settlement of disputes concerning, contracts; and "(iii) the scope of, and alternatives available to, the action proposed to be taken; "(B) prepare and publish a report in the Federal Register on the issues reviewed under paragraph (I)(A); "(C)(i) publish an advanced notice of proposed rulemaking in the Federal Register in order to solicit comments on the report prepared pursuant to subparagraph (B); "(ii) provide all parties affected a period of not less than 60 days after such publication to submit their views and comments; and "(iii) during this 60-day period, consult with the Comptroller General and consider any recommendation the Comptroller General may make; and "(D) publish a notice of such proposed rulemaking in the Federal Register and provide all parties affected a period of not less than 60 days after such publication to submit their views and comments. "(2) Rules, regulations, cost accounting standards, and modifications thereof promulgated or amended under this section shall have the full force and effect of law, and shall become effective within 120 days after publication in the Federal Register in final form, unless the Board determines a longer period is necessary. Implementation dates for contractors and subcontractors shall be determined by the Board, but in no event shall such dates be later than the beginning of the second fiscal year of the contractor or subcontractor after the standard becomes effective. Rules, regulations, cost accounting standards, and modifications thereof promulgated or amended under this section shall be accompanied by prefatory comments and by illustrations, if necessary. "(3) The functions exercised under this section are excluded from the operation of sections 551, 553 through 559, and 701 through 706 of title 5, United States (Dode. "(h) IMPLEMENTING REGULATIONS.—(1) The Board shall promulgate rules and regulations for the implementation of cost accounting standards promulgated or interpreted under subsection (f). Such regulations shall be incorporated into the Federal Acquisition Regulation and shall require contractors and subcontractors as a condition of contracting with the United States to— "(A) disclose in writing their cost accounting practices, including methods of distinguishing direct costs from indirect costs and the basis used for allocating indirect costs; and "(B) agree to a contract price adjustment, with interest, for any increased costs paid to such contractor or subcontractor by

Reports. Federal Register, publication. Federal Register, publication.

Federal Register, publication. Effective date.

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