[Federal Register Volume 71, Number 75 (Wednesday, April 19, 2006)]
[Rules and Regulations]
[Pages 20306-20308]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 06-3685]
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DEPARTMENT OF DEFENSE
GENERAL SERVICES ADMINISTRATION
NATIONAL AERONAUTICS AND SPACE ADMINISTRATION
48 CFR Parts 25 and 52
[FAC 2005-09; FAR Case 2006-001; Item VIII; Docket FAR-2006-0020]
RIN 9000-AK45
Federal Acquisition Regulation; FAR Case 2006-001, Free Trade
Agreements--Morocco
AGENCIES: Department of Defense (DoD), General Services Administration
(GSA), and National Aeronautics and Space Administration (NASA).
ACTION: Interim rule with request for comments.
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SUMMARY: The Civilian Agency Acquisition Council and the Defense
Acquisition Regulations Council (Councils) have agreed on an interim
rule amending the Federal Acquisition Regulation (FAR) to implement the
new Free Trade Agreement with Morocco as approved by Congress (Public
Law 108-302). This Free Trade Agreement went into effect January 1,
2006.
DATES: Effective Date: April 19, 2006.
Comment Date: Interested parties should submit written comments to
the FAR Secretariat on or before June 19, 2006 to be considered in the
formulation of a final rule.
ADDRESSES: Submit comments identified by FAC 2005-09, FAR case 2006-
001, by any of the following methods:
Federal eRulemaking Portal: http://www.regulations.gov.
Follow the instructions for submitting comments.
Agency Web Site: http://www.acqnet.gov/far/ProposedRules/proposed.htm. Click on the FAR case number to submit comments.
E-mail: [email protected]. Include FAC 2005-09, FAR
case 2006-001 in the subject line of the message.
Fax: 202-501-4067.
Mail: General Services Administration, Regulatory
Secretariat (VIR), 1800 F Street, NW., Room 4035, ATTN: Laurieann
Duarte, Washington, DC 20405.
Instructions: Please submit comments only and cite FAC 2005-09, FAR
case 2006-001, in all correspondence related to this case. All comments
received will be posted without change to http://www.acqnet.gov/far/ProposedRules/proposed.htm, including any personal and/or business
confidential information provided.
[[Page 20307]]
FOR FURTHER INFORMATION CONTACT For clarification of content, contact
Mr. William Clark, Procurement Analyst, at (202) 219-1813. Please cite
FAC 2005-09, FAR case 2006-001. For information pertaining to status or
publication schedules, contact the FAR Secretariat at (202) 501-4755.
SUPPLEMENTARY INFORMATION:
A. Background
This rule amends FAR Part 25 and the clauses at FAR 52.212-5,
Contract Terms and Conditions Required to Implement Statutes or
Executive Orders--Commercial Items, FAR 52.225-3, Buy American Act--
Free Trade Agreements--Israeli Trade Act, FAR 52.225-5, Trade
Agreements, FAR 52.225-11, Buy American Act--Construction Materials
under Trade Agreements, and FAR 52.225-12, Notice of Buy American Act
Requirement--Construction Materials under Trade Agreements, to
implement the new Free Trade Agreement with Morocco, as approved by
Congress (Public Law 108-302). This Free Trade Agreement waives the
applicability of the Buy American Act for some foreign supplies and
construction materials from Morocco, and specifies procurement
procedures designed to ensure fairness, applicable to the acquisition
of supplies and services.
This is not a significant regulatory action and, therefore, was not
subject to review under Section 6(b) of Executive Order 12866,
Regulatory Planning and Review, dated September 30, 1993. This rule is
not a major rule under 5 U.S.C. 804.
B. Regulatory Flexibility Act
The interim rule is not expected to 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. Although the rule
opens up Government procurement to the products of Morocco, the
Councils do not anticipate any significant economic impact on U.S.
small businesses. The Department of Defense only applies the trade
agreements to the non-defense items listed at DFARS 225.401-70, and
acquisitions that are set aside for small businesses are exempt.
Therefore, an Initial Regulatory Flexibility Analysis has not been
performed. The Councils will consider comments from small entities
concerning the affected FAR Parts 25 and 52 in accordance with 5 U.S.C.
610.
Interested parties must submit such comments separately and cite 5
U.S.C. 601, et seq. (FAC 2005-09, FAR case 2006-001), in
correspondence.
C. Paperwork Reduction Act
The Paperwork Reduction Act does apply; however, these changes to
the FAR do not impose additional information collection requirements to
the paperwork burden previously approved under OMB Control Numbers
9000-0025 and 9000-0141.
D. Determination to Issue an Interim Rule
A determination has been made under the authority of the Secretary
of Defense (DoD), the Administrator of General Services (GSA), and the
Administrator of the National Aeronautics and Space Administration
(NASA) that urgent and compelling reasons exist to promulgate this
interim rule without prior opportunity for public comment. This action
is necessary because the Free Trade Agreement with Morocco, as approved
by Congress (Public Law 108-302), went into effect January 1, 2006.
However, pursuant to Public Law 98-577 and FAR 1.501, the Councils will
consider public comments received in response to this interim rule in
the formation of the final rule.
List of Subjects in 48 CFR Parts 25 and 52
Government procurement.
Dated: April 12, 2006.
Gerald Zaffos,
Director, Contract Policy Division.
0
Therefore, DoD, GSA, and NASA amend 48 CFR parts 25 and 52 as set forth
below:
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1. The authority citation for 48 CFR parts 25 and 52 continues to read
as follows:
Authority: 40 U.S.C. 121(c); 10 U.S.C. chapter 137; and 42
U.S.C. 2473(c).
PART 25--FOREIGN ACQUISITION
25.003 [Amended]
0
2. Amend section 25.003, in paragraph (2) of the definition
``Designated country'' and the definition ``Free Trade Agreement
country'' by adding ``Morocco,'' after ``Mexico,''.
0
3. Amend section 25.400 by--
0
a. Removing from the end of paragraph (a)(2)(iii) the word ``and'';
0
b. Adding in paragraph (a)(2)(iv) the word ``and'' at the end of the
paragraph; and
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c. Adding a new paragraph (a)(2)(v) to read as follows:
25.400 Scope of Subpart.
(a) * * *
(2) * * *
(v) Morocco FTA (The United States--Morocco Free Trade Agreement,
as approved by Congress in the United States--Morocco Free Trade
Agreement Implementation Act (Pub. L. 108-302));
* * * * *
25.401 [Amended]
0
4. Amend section 25.401 in paragraph (b), in the table heading, by
removing from the fifth column the text ``Australia FTA'' and adding
``Australia and Morocco FTA'' in its place.
0
5. Amend section 25.402 by revising the table following paragraph (b)
to read as follows:
25.402 General.
* * * * *
(b) * * *
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Supply Contract Service Contract Construction
Trade Agreement (equal to or (equal to or Contract (equal
exceeding) exceeding) to or exceeding)
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WTO GPA................................................... $193,000 $193,000 $7,407,000
FTAs...................................................... ................ ................ ................
Australia FTA............................................ 64,786 64,786 7,407,000
Chile FTA................................................ 64,786 64,786 7,407,000
Morocco FTA.............................................. 193,000 193,000 7,407,000
NAFTA.................................................... ................ ................
-Canada.................................................. 25,000 64,786 8,422,165
-Mexico.................................................. 64,786 64,786 8,422,165
Singapore FTA............................................ 64,786 64,786 7,407,000
Israeli Trade Act......................................... $50,000 - -
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[[Page 20308]]
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6. Amend section 25.1102 by revising the second sentence of paragraph
(c)(3) to read as follows:
25.1102 Acquisition of construction.
* * * * *
(c) * * *
(3) * * * List in paragraph (b)(3) of the clause all foreign
construction material excepted from the requirements of the Buy
American Act, unless the excepted foreign construction material is from
a designated country other than Mexico.
* * * * *
PART 52--SOLICITATION PROVISIONS AND CONTRACT CLAUSES
52.212-5 [Amended]
0
7. Amend section 52.212-5 by revising the date of the clause to read
``(APR 2006)''; and by removing from paragraphs (b)(24)(i) and (b)(25)
``(JAN 2006)'' and adding ``(APR 2006)'' in its place.
52.225-3 [Amended]
0
8. Amend section 52.225-3 by revising the date of the clause to read
``(APR 2006)''; and in paragraph (c) by adding to the first sentence
``(except the Morocco FTA)'' after ``FTAs''.
52.225-5 [Amended]
0
9. Amend section 52.225-5 by revising the date of the clause to read
``(APR 2006)''; and in paragraph (a), in the definition ``Designated
country'' by adding to paragraph (2) ``Morocco,'' after ``Mexico,''.
52.225-11 [Amended]
0
10. Amend section 52.225-11 by--
0
a. Revising the date of the clause;
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b. Adding to paragraph (a), in the definition ``Designated country'' in
paragraph (2) ``Morocco,'' after ``Mexico,'';
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c. Removing from paragraph (b)(2) ``domestic,'' and adding ``domestic
or'' in its place.
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d. Amending Alternate I by--
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1. Revising the date of Alternate I;
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2. Removing from the introductory paragraph ``Australian or Chilean''
and adding ``Australian, Chilean, or Moroccan'' in its place;
0
3. Revising the definition ``Australian or Chilean construction
material''; and
0
4. Removing from paragraphs (b)(1) and (b)(2) ``Australian or Chilean''
and adding ``Australian, Chilean, or Moroccan'' in its place.
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The revised text reads as follows:
52.225-11 Buy American Act--Construction Materials under Trade
Agreements.
* * * * *
BUY AMERICAN ACT--CONSTRUCTION MATERIALS UNDER TRADE AGREEMENTS ``(APR
2006)''
* * * * *
Alternate I ``(APR 2006)''. * * *
Australian, Chilean, or Moroccan construction material means a
construction material that--
(1) Is wholly the growth, product, or manufacture of Australia,
Chile, or Morocco; or
(2) In the case of a construction material that consists in
whole or in part of materials from another country, has been
substantially transformed in Australia, Chile, or Morocco into a new
and different construction material distinct from the materials from
which it was transformed.
* * * * *
52.225-12 [Amended]
0
11. Amend section 52.225-12 by revising the date of Alternate II to
read ``(APR 2006)''; and by removing from paragraphs (a), (d)(1) twice,
and (d)(3) twice ``Australian or Chilean'' and adding ``Australian,
Chilean, or Moroccan'' in its place.
[FR Doc. 06-3685 Filed 4-18-06; 8:45 am]
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