Summary
EPA-specific contracting regulation implementing FAR 42.12, covering waiver authority for certification requirements, Contracting Officer determination procedures for indirect cost rates, mandatory contract clauses (FACO and Indirect Costs), and detailed procedures for novation and change-of-name agreements when contractors undergo ownership transfers or name changes, including reporting, legal review, and distribution requirements.
Reason
This regulation imposes significant compliance costs on both EPA and contractors through complex administrative procedures that serve primarily internal agency convenience rather than protecting public welfare. The multi-step process for handling contractor changes—including mandatory reports to POTD, designation of responsible offices, legal sufficiency reviews, and distribution of supplemental agreements—creates bureaucratic overhead with no clear public benefit. These costs are borne by taxpayers and contractors without improving contract outcomes, and could be achieved more efficiently through standard contract law and agency discretion. The regulation's existence violates the principle that laws must be knowable and creates barriers to efficient government contracting.