[Federal Register: November 1, 2004 (Volume 69, Number 210)]
[Rules and Regulations]
[Page 63330-63331]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr01no04-11]
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DEPARTMENT OF DEFENSE
48 CFR Part 212
[DFARS Case 2003-D018]
Defense Federal Acquisition Regulation Supplement; Laws
Inapplicable to Commercial Subcontracts
AGENCY: Department of Defense (DoD).
ACTION: Final rule.
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SUMMARY: DoD has issued a final rule amending the Defense Federal
Acquisition Regulation Supplement (DFARS) to remove the Trade
Agreements Act and the Buy American Act from the list of laws
inapplicable to subcontracts for commercial items. This rule is a
result of a transformation initiative undertaken by DoD to dramatically
change the purpose and content of the DFARS.
DATES: Effective November 1, 2004.
FOR FURTHER INFORMATION CONTACT: Ms. Amy Williams, Defense Acquisition
Regulations Council, OUSD (AT&L) DPAP (DAR), IMD 3C132, 3062 Defense
Pentagon, Washington, DC 20301-3062. Telephone (703) 602-0328;
facsimile (703) 602-0350. Please cite DFARS Case 2003-D018.
SUPPLEMENTARY INFORMATION:
A. Background
DFARS Transformation is a major DoD initiative to dramatically
change the purpose and content of the DFARS. The objective is to
improve the efficiency and effectiveness of the acquisition process,
while allowing the acquisition workforce the flexibility to innovate.
The transformed DFARS will contain only requirements of law, DoD-wide
policies, delegations of FAR authorities, deviations from FAR
requirements, and policies/procedures
[[Page 63331]]
that have a significant effect beyond the internal operating procedures
of DoD or a significant cost or administrative impact on contractors or
offerors. Additional information on the DFARS Transformation initiative
is available at http://www.acq.osd.mil/dpap/dfars/transf.htm.
This final rule is a result of the DFARS Transformation initiative.
The rule amends DFARS 212.504 to remove the Trade Agreements Act (19
U.S.C. 2512) and the Buy American Act (41 U.S.C. 10) from the list of
laws inapplicable to subcontracts for the acquisition of commercial
items. Inclusion of these laws on the list is unnecessary, because the
Government does not apply the restrictions of the Buy American Act or
the Trade Agreements Act at the subcontract level. The prime contractor
is responsible for providing an end product that meets the requirements
of the Acts.
DoD published a proposed rule at 69 FR 8151 on February 23, 2004.
DoD received one comment in response to the proposed rule, and that
comment supported the rule. Therefore, DoD has adopted the proposed
rule as a final rule, with the addition of a correction to a cross-
reference in 212.504(a).
This rule was not subject to Office of Management and Budget review
under Executive Order 12866, dated September 30, 1993.
B. Regulatory Flexibility Act
DoD certifies that this final rule will not have a significant
economic impact on a substantial number of small entities within the
meaning of the Regulatory Flexibility Act, 5 U.S.C. 601, et seq.,
because the rule is a clarification of the Government's existing policy
of not applying the Buy American Act or the Trade Agreements Act at the
subcontract level.
C. Paperwork Reduction Act
The Paperwork Reduction Act does not apply because the rule does
not impose any information collection requirements that require the
approval of the Office of Management and Budget under 44 U.S.C. 3501,
et seq.
List of Subjects in 48 CFR Part 212
Government procurement.
Michele P. Peterson,
Executive Editor, Defense Acquisition Regulations Council.
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Therefore, 48 CFR part 212 is amended as follows:
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1. The authority citation for 48 CFR part 212 continues to read as
follows:
Authority: 41 U.S.C. 421 and 48 CFR Chapter 1.
PART 212--ACQUISITION OF COMMERCIAL ITEMS
212.504 [Amended]
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2. Section 212.504 is amended as follows:
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a. By removing paragraphs (a)(xxiii) and (a)(xxiv);
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b. By redesignating paragraph (a)(xxv) as paragraph (a)(xxiii); and
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c. In newly designated paragraph (a)(xxiii), in the second sentence, by
removing ``225.7019-2(b)'' and adding in its place ``225.7009-2(b)''.
[FR Doc. 04-24282 Filed 10-29-04; 8:45 am]
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