[Federal Register: September 6, 2007 (Volume 72, Number 172)]
[Rules and Regulations]
[Page 51193]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr06se07-17]
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DEPARTMENT OF DEFENSE
Defense Acquisition Regulations System
48 CFR Part 237
RIN 0750-AF69
Defense Federal Acquisition Regulation Supplement; Limitation on
Contracts for the Acquisition of Certain Services (DFARS Case 2006-
D054)
AGENCY: Defense Acquisition Regulations System, 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 implement Section 832 of
the National Defense Authorization Act for Fiscal Year 2007. Section
832 prohibits DoD from entering into a service contract to acquire a
military flight simulator unless certain waiver criteria apply.
EFFECTIVE DATE: September 6, 2007.
FOR FURTHER INFORMATION CONTACT: Mr. Michael Benavides, Defense
Acquisition Regulations System, OUSD (AT&L) DPAP (DARS), IMD 3D139,
3062 Defense Pentagon, Washington, DC 20301-3062. Telephone (703) 602-
1302; facsimile (703) 602-7887. Please cite DFARS Case 2006-D054.
SUPPLEMENTARY INFORMATION:
A. Background
Section 832 of the National Defense Authorization Act for Fiscal
Year 2007 (Pub. L. 109-364) prohibits DoD from entering into a service
contract to acquire a military flight simulator, unless the Secretary
of Defense determines that a waiver is necessary for national security
purposes and provides an economic analysis to the congressional defense
committees at least 30 days before the waiver takes effect. This final
rule adds text at DFARS 237.102-71 to reflect the provisions of Section
832 of Public Law 109-364.
This rule was not subject to Office of Management and Budget review
under Executive Order 12866, dated September 30, 1993.
B. Regulatory Flexibility Act
This rule will not have a significant cost or administrative impact
on contractors or offerors, or a significant effect beyond the internal
operating procedures of DoD. Therefore, publication for public comment
under 41 U.S.C. 418b is not required. However, DoD will consider
comments from small entities concerning the affected DFARS subpart in
accordance with 5 U.S.C. 610. Such comments should cite DFARS Case
2006-D054.
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 237
Government procurement.
Michele P. Peterson,
Editor, Defense Acquisition Regulations System.
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Therefore, 48 CFR part 237 is amended as follows:
PART 237--SERVICE CONTRACTING
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1. The authority citation for 48 CFR part 237 continues to read as
follows:
Authority: 41 U.S.C. 421 and 48 CFR Chapter 1.
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2. Section 237.102-71 is added to read as follows:
237.102-71 Limitation on service contracts for military flight
simulators.
(a) Definitions. As used in this subsection--
(1) Military flight simulator means any system to simulate the
form, fit, and function of a military aircraft that has no commonly
available commercial variant.
(2) Service contract means any contract entered into by DoD, the
principal purpose of which is to furnish services in the United States
through the use of service employees as defined in 41 U.S.C. 357(b).
(b) Under Section 832 of Public Law 109-364, DoD is prohibited from
entering into a service contract to acquire a military flight
simulator. However, the Secretary of Defense may waive this prohibition
with respect to a contract, if the Secretary--
(1) Determines that a waiver is necessary for national security
purposes; and
(2) Provides an economic analysis to the congressional defense
committees at least 30 days before the waiver takes effect. This
economic analysis shall include, at a minimum--
(i) A clear explanation of the need for the contract; and
(ii) An examination of at least two alternatives for fulfilling the
requirements that the contract is meant to fulfill, including the
following with respect to each alternative:
(A) A rationale for including the alternative.
(B) A cost estimate of the alternative and an analysis of the
quality of each cost estimate.
(C) A discussion of the benefits to be realized from the
alternative.
(D) A best value determination of each alternative and a detailed
explanation of the life-cycle cost calculations used in the
determination.
(c) When reviewing requirements or participating in acquisition
planning that would result in a military department or defense agency
acquiring a military flight simulator, the contracting officer shall
notify the program officials of the prohibition in paragraph (b) of
this subsection. If the program officials decide to request a waiver
from the Secretary of Defense under paragraph (b) of this subsection,
the contracting officer shall follow the procedures at PGI 237.102-71.
[FR Doc. E7-17425 Filed 9-5-07; 8:45 am]
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