80 FR 10452 - Defense Federal Acquisition Regulation Supplement: Acquisition of the American Flag (DFARS Case 2015-D005)
DEPARTMENT OF DEFENSE
Defense Acquisition Regulations System Federal Register Volume 80, Issue 38 (February 26, 2015)
Defense Acquisition Regulations System
Federal Register Volume 80, Issue 38 (February 26, 2015)
| Page Range | 10452-10454 | |
| FR Document | 2015-03857 |
[Federal Register Volume 80, Number 38 (Thursday, February 26, 2015)] [Proposed Rules] [Pages 10452-10454] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2015-03857] ======================================================================= ----------------------------------------------------------------------- DEPARTMENT OF DEFENSE Defense Acquisition Regulations System 48 CFR Parts 205, 212, 225, and 252 RIN 0750-AI51 Defense Federal Acquisition Regulation Supplement: Acquisition of the American Flag (DFARS Case 2015-D005) AGENCY: Defense Acquisition Regulations System, Department of Defense (DoD). [[Page 10453]] ACTION: Proposed rule. ----------------------------------------------------------------------- SUMMARY: DoD is proposing to amend the Defense Federal Acquisition Regulation Supplement (DFARS) to implement sections of the Department of Defense Appropriations Acts for Fiscal Year (FY) 2014 and FY 2015 that prohibit use of funds made available under the acts for the purchase or manufacture of a flag of the United States, unless such flag is manufactured in the United States. DATES: Comments on the proposed rule should be submitted in writing to the address shown below on or before April 27, 2015, to be considered in the formation of a final rule. ADDRESSES: Submit comments identified by DFARS Case 2015-D005, using any of the following methods: [cir] Regulations.gov: http://www.regulations.gov. Submit comments via the Federal eRulemaking portal by entering ``DFARS Case 2015-D005'' under the heading ``Enter keyword or ID'' and selecting ``Search.'' Select the link ``Submit a Comment'' that corresponds with ``DFARS Case 2015-D005.'' Follow the instructions provided at the ``Submit a Comment'' screen. Please include your name, company name (if any), and ``DFARS Case 2015-D005'' on your attached document. [cir] Email: [email protected]. Include DFARS Case 2015-D005 in the subject line of the message. [cir] Fax: 571-372-6094. [cir] Mail: Defense Acquisition Regulations System, Attn: Ms. Amy G. Williams, OUSD(AT&L)DPAP/DARS, Room 3B941, 3060 Defense Pentagon, Washington, DC 20301-3060. Comments received generally will be posted without change to http://www.regulations.gov, including any personal information provided. To confirm receipt of your comment(s), please check www.regulations.gov, approximately two to three days after submission to verify posting (except allow 30 days for posting of comments submitted by mail). FOR FURTHER INFORMATION CONTACT: Ms. Amy G. Williams, telephone 571- 372-6106. SUPPLEMENTARY INFORMATION: I. Background DoD is proposing to amend the DFARS to implement sections 8123 of the Department of Defense Appropriations Act, 2014 (Division C, Title VIII of Pub. L. 113-76) and section 8119 of the Department of Defense Appropriations Act, 2015 (Division C, Title VIII of Pub. L. 113-235). These sections prohibit the use of funds appropriated under those acts for the purchase or manufacture of a flag of the United States unless such flag is treated as a covered item under 10 U.S.C. 2533a(b) (commonly known as the Berry Amendment). With some exceptions, the Berry Amendment restricts the purchase of certain items of food, clothing, fabrics, and hand or measuring tools (whether as end products or components), unless the items have been grown, reprocessed, reused, or produced in the United States. II. Discussion and Analysis The Berry Amendment is implemented in DFARS 225.7002 and associated clauses DFARS 252.225-7012 and 252.225-7015. This rule proposes to amend DFARS 225-7002-1, 225-7002-2, and 225.7002-3, and add a new clause at 252.225-70XX, Acquisition of the American Flag. Conforming changes are also required in DFARS 212.301(f) to apply the new clause to the acquisition of commercial items. Since most, if not all, flags are commercial items, this statute would be without affect if not applied to commercial items. Furthermore, this is an appropriations act restriction, which specifically prohibits the expenditure of any funds appropriated under these acts, unless the flags to be acquired are manufactured in the United States (regardless of whether the flags are commercial items.) III. Executive Orders 12866 and 13563 Executive Orders (E.O.s) 12866 and 13563 direct agencies to assess all costs and benefits of available regulatory alternatives and, if regulation is necessary, to select regulatory approaches that maximize net benefits (including potential economic, environmental, public health and safety effects, distributive impacts, and equity). E.O. 13563 emphasizes the importance of quantifying both costs and benefits, of reducing costs, of harmonizing rules, and of promoting flexibility. This is not a significant regulatory action and, therefore, was not subject to review under section 6(b) of E.O. 12866, Regulatory Planning and Review, dated September 30, 1993. This rule is not a major rule under 5 U.S.C. 804. IV. Regulatory Flexibility Act DoD does not expect this proposed rule 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. based on a review of historical purchasing data. However, an initial regulatory flexibility analysis has been performed and is summarized as follows: This rule is necessary to implement sections 8123 and 8119 of the DoD Appropriations Acts for FYs 2014 and 2015, respectively, and the same provision in subsequent DoD appropriations acts. The objective of the rule is to prohibit acquisition of a flag of the United States (Product or Service Code 8345), unless such flag, including the materials and components thereof, is manufactured in the United States, consistent with the requirements at 10 U.S.C. 2533a. The legal basis for the rule is sections 8123 and 8119 of the DoD Appropriations Acts for FYs 2014 and 2015 (Division C of Pub. Laws 113- 76 and 113-235, respectively. Based on FY 2013 Federal Procurement Data System data, there was only one acquisition of flags from a small business that exceeded the simplified acquisition threshold. There are no projected reporting or recordkeeping requirements. The rule only requires that if a contractor is to provide flags of the United States to DoD under a contract that exceeds the simplified acquisition threshold, the flags must be manufactured in the United States. The rule does not duplicate, overlap, or conflict with any other Federal rules. There are no significant alternatives that meet the requirement of the statute. DoD will also consider comments from small entities concerning the existing regulations in subparts affected by this rule in accordance with 5 U.S.C. 610. Interested parties must submit such comments separately and should cite 5 U.S.C. 610 (DFARS Case 2015-D005), in correspondence. V. Paperwork Reduction Act The rule does not contain any information collection requirements that require the approval of the Office of Management and Budget under the Paperwork Reduction Act (44 U.S.C. chapter 35). List of Subjects in 48 CFR Parts 205, 212, 225, and 252 Government procurement. Manuel Quinones, Editor, Defense Acquisition Regulations System. Therefore, 48 CFR parts 205, 212, 225, and 252 are proposed to be amended as follows: 0 1. The authority citation for parts 205, 212, 225, and 252 continues to read as follows: [[Page 10454]] Authority: 41 U.S.C. 1303 and 48 CFR chapter 1. PART 205--PUBLICIZING CONTRACT ACTIONS 205.301 [Amended] 0 2. Amend section 205.301, in paragraph (a)(S-70)(i) introductory text by removing ``225.7002-1(a)(2) through (10)'' and adding ``225.7002- 1(a)(1)(ii) through (x)'' in its place. PART 212--ACQUISITION OF COMMERCIAL ITEMS 0 3. Amend section 212.301, by adding paragraph (f)(ix)(CC) to read as follows: 212.301 Solicitation provisions and contract clauses for the acquisition of commercial items. (f) * * * (ix) * * * (CC) Use the clause at 252.225-70XX, Acquisition of the American Flag, as prescribed in 225.7002-3(c), to comply with section 8123 of the DoD Appropriations Act, 2014 (Pub. L. 113-76, Division C, Title VIII), and the same provision in subsequent DoD appropriations acts. * * * * * PART 225--FOREIGN ACQUISITION 0 4. Revise the section 225.7002 heading to read as follows: 225.7002 Restrictions on food, clothing, fabrics, hand or measuring tools, and flags. 0 5. Amend section 225.7002-1 by-- 0 a. Redesignating paragraphs (a) and (b) as (1) and (2), respectively; 0 b. Redesignating the introductory text as paragraph (a); 0 c. In the newly redesignated paragraph (1), further redesignating paragraphs (1) through (10) as (1)(i) through (x), respectively; 0 d. In the newly redesignated paragraph (1)(iii), further redesignating paragraphs (i) through (iii) as paragraphs (1)(iii)(A) through (C), respectively; 0 e. In the newly redesignated paragraph (1)(x), removing ``(Federal Supply Class 8465)'' and adding ``(Product or Service Code (PSC) 8465)'' in its place, and removing ``paragraph (a)'' and adding ``paragraph (a)(1)'' in its place; 0 f. In the newly redesignated paragraph (2), removing ``see PGI 225.7002-1(b)'' and adding ``see PGI 225.7002-1(a)(2)'' in its place; and 0 g. Adding a new paragraph (b). The addition reads as follows: 225.7002-1 Restrictions. * * * * * (b) In accordance with section 8123 of the Department of Defense Appropriations Act, 2014 (Pub. L. 113-76, Division C, Title VIII), and the same provision in subsequent Defense appropriations acts, except as provided in 225.7002-2, do not acquire a flag of the United States (PSC 8345), unless such flag, including the materials and components thereof, is manufactured in the United States, consistent with the requirements at 10 U.S.C. 2533a. 225.7002-2 [Amended] 0 6. Amend section 225.7002-2 by-- 0 a. In paragraph (l), removing ``Section 8118'' and adding ``section 8118'' in its place; 0 b. In paragraph (m)(1)(i), removing ``Federal Supply Group'' and adding ``Product or Service Group (PSG)'' in its place; 0 c. In paragraph (m)(1)(ii), removing ``Federal Supply Group'' and adding ``PSG'' in its place in two places; and 0 d. In paragraph (m)(1)(iv), removing ``Federal Supply Class'' and adding ``PSC'' in its place. 0 7. Amend section 225.7002-3 by adding a new paragraph (c) to read as follows: 225.7002-3 Contract clauses. * * * * * (c) Use the clause at 252.225-70XX, Acquisition of the American Flag, in solicitations and contracts, including solicitations and contracts using FAR part 12 procedures for the acquisition of commercial items, that are for the acquisition of the American flag, with an estimated value that exceeds the simplified acquisition threshold. PART 252--SOLICITATION PROVISIONS AND CONTRACT CLAUSES 0 8. Add section 252.225-70XX to read as follows: 252.225-70XX Acquisition of the American Flag. As prescribed in 225.7002-3(c), use the following clause: ACQUISITION OF THE AMERICAN FLAG (DATE) (a) Definition. United States, as used in this clause, means the 50 States, the District of Columbia, and outlying areas. (b) If the Contractor is required to deliver under this contract one or more American flags (Product or Service Code 8345), such flag(s), including the materials and components thereof, shall be manufactured in the United States, consistent with the requirements at 10 U.S.C. 2533a (commonly known as the ``Berry Amendment''). (c) This clause does not apply to the acquisition of any end items or components related to flying or displaying the flag (e.g., flagpoles and accessories). (End of clause) [FR Doc. 2015-03857 Filed 2-25-15; 8:45 am] BILLING CODE 5001-06-P
![10452 Federal Register / Vol. 80, No. 38 / Thursday, February 26, 2015 / Proposed Rules
applies to television broadcast licensees necessary to obtain a CORES FRN or reasonable and good faith efforts, filers
would apply to these stations. The SBA RUFRN, on the individual’s behalf. are unable to obtain a CORES FRN or
defines a television broadcast station as RUFRN from an individual with
E. Steps Taken To Minimize Significant
a small business if such station has no reportable interests. This alternative
Impact on Small Entities, and
more than $38.5 million in annual could reduce the burden for those filers
Significant Alternatives Considered
receipts. As of September 30, 2014, who are unable to, after reasonable and
there are approximately 430 licensed 56. The RFA requires an agency to good faith efforts, to obtain a CORES
Class A stations and 2,115 licensed describe any significant alternatives that FRN or RUFRN from an individual
LPTV stations. Given the nature of these might minimize any significant attributable interest holder, while
services, we will presume that all of economic impact on small entities. Such ensuring that the filer will be able to
these licensees qualify as small entities alternatives may include the following timely submit the Form 323. This will
under the SBA definition. We note, four alternatives (among others): (1) The allow the Commission to identify the
however, that under the SBA’s establishment of differing compliance or individual with a reportable interest
definition, revenue of affiliates that are reporting requirements or timetables that has failed to provide a CORES FRN
not LPTV stations should be aggregated that take into account the resources or RUFRN.
with the LPTV station revenues in available to small entities; (2) the
clarification, consolidation, or F. Federal Rules That May Duplicate,
determining whether a concern is small.
simplification of compliance and Overlap, or Conflict With the Proposed
Our estimate may thus overstate the
reporting requirements under the rule Rules
number of small entities since the
revenue figure on which it is based does for small entities; (3) the use of 58. None.
not include or aggregate revenues from performance, rather than design,
VI. Ordering Clauses
non-LPTV affiliated companies. standards; and (4) an exemption from
coverage of the rule, or any part thereof, 59. Accordingly, it is ordered that,
D. Description of Projected Reporting, for small entities. pursuant to the authority contained in
Recordkeeping, and Other Compliance 57. As noted, we are directed under sections 1, 2(a), 4(i,j), 257, and 303(r) of
Requirements law to describe any such alternatives we the Communications Act of 1934, as
55. There may be changes to reporting consider, including alternatives not amended, 47 U.S.C. 151, 152(a), 154(i)-
or recordkeeping requirements if the explicitly listed above. The Notice (j), 257, and 303(r), the Second FNPRM
Commission adopts the RUFRN proposes to allow individuals reported and Seventh FNPRM is adopted.
proposal for Form 323 and/or Form on Form 323 to obtain and provide an 60. It is further ordered that, pursuant
323–E. In the event that the RUFRN RUFRN in lieu of a traditional CORES to the authority contained in sections 1,
proposal is adopted for the Form 323 FRN. Similarly, the Notice proposes 2(a), 4(i, j), 257, and 303(r) of the
and/or Form 323–E, filers will have the making RUFRNs available to Form 323– Communications Act of 1934, as
option to obtain and report a unique E filers in the event that Form 323–E is amended, 47 U.S.C. 151, 152(a), 154(i,
identifier for individual attributable modified as proposed in the Fourth j), 257, 303(r), notice is hereby given of
interest holders that does not require Diversity Further Notice. The Notice the proposals described in this Second
submission of a full SSN to the also proposes eliminating the FNPRM and Seventh FNPRM.
Commission. Adoption of this proposal availability of SUFRNs for Form 323 61. It is further ordered that the
will allow an individual to obtain an and Form 323–E filings. In the Commission’s Consumer &
RUFRN from CORES by submitting an alternative, the Commission could Governmental Affairs Bureau, Reference
alternate set of identifying information. decide not to enact the RUFRN proposal Information Center, shall send a copy of
Individuals would not be required to contained in the Notice and not to the Second FNPRM and Seventh
obtain or report an RUFRN on the Form modify the availability of SUFRNs. The FNPRM, including the Initial Regulatory
323 and/or Form 323–E—instead, Commission also could defer these Flexibility Analysis, to the Chief
individuals could obtain and report a actions until a later time. Additionally, Counsel for Advocacy of the Small
CORES FRN. An individual who has the Commission could decide to treat Business Administration.
provided a CORES FRN on one or more noncommercial broadcasters differently Federal Communications Commission.
previous ownership filings may from commercial broadcast stations for Marlene H. Dortch,
continue to use that CORES FRN going purposes of uniquely identifying and Secretary.
forward. There also may be changes to tracking individual attributable interest [FR Doc. 2015–03988 Filed 2–25–15; 8:45 am]
reporting or recordkeeping requirements holders reported on the 323–E. While BILLING CODE 6712–01–P
if the Commission limits or eliminates decisions to adopt the RUFRN proposal
that availability of SUFRNs for and eliminate the Special Use FRN
broadcast ownership reports. Filers may might result in increased burdens on
DEPARTMENT OF DEFENSE
be obligated to instruct individuals reporting parties, the Notice tentatively
about their obligation to supply the filer concludes that any such burdens would Defense Acquisition Regulations
with a CORES FRN or RUFRN or to be minimal and that the benefits of System
provide the filer with the information having a unique identifier for data
sufficient to obtain one of these quality, searchability, cross-referencing 48 CFR Parts 205, 212, 225, and 252
identifiers on the individual’s behalf. A and aggregation purposes in order to
filer may also be required to inform further the Commission’s goal of RIN 0750–AI51
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individuals about potential enforcement advancing diversity of ownership in the
Defense Federal Acquisition
action for failure to obtain or report a broadcast industry would outweigh
Regulation Supplement: Acquisition of
CORES FRN or RUFRN. Moreover, if a those burdens. A unique identifier is
the American Flag (DFARS Case 2015–
filer reports an SUFRN for an individual necessary to improve the quality of the
D005)
interest holder, the filer may be required data collected on the Form 323. The
to show that the filer made reasonable Commission also seeks comment on AGENCY: Defense Acquisition
good faith efforts to obtain a CORES whether the Special Use FRN should be Regulations System, Department of
FRN or RUFRN, or the information available solely in instances where, after Defense (DoD).
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![10454 Federal Register / Vol. 80, No. 38 / Thursday, February 26, 2015 / Proposed Rules
Authority: 41 U.S.C. 1303 and 48 CFR ■ d. In the newly redesignated ■ 7. Amend section 225.7002–3 by
chapter 1. paragraph (1)(iii), further redesignating adding a new paragraph (c) to read as
paragraphs (i) through (iii) as follows:
PART 205—PUBLICIZING CONTRACT paragraphs (1)(iii)(A) through (C),
ACTIONS respectively; 225.7002–3 Contract clauses.
205.301 [Amended] ■ e. In the newly redesignated * * * * *
paragraph (1)(x), removing ‘‘(Federal (c) Use the clause at 252.225–70XX,
■ 2. Amend section 205.301, in
Supply Class 8465)’’ and adding Acquisition of the American Flag, in
paragraph (a)(S–70)(i) introductory text
‘‘(Product or Service Code (PSC) 8465)’’ solicitations and contracts, including
by removing ‘‘225.7002–1(a)(2) through
in its place, and removing ‘‘paragraph solicitations and contracts using FAR
(10)’’ and adding ‘‘225.7002–1(a)(1)(ii)
(a)’’ and adding ‘‘paragraph (a)(1)’’ in its part 12 procedures for the acquisition of
through (x)’’ in its place. place; commercial items, that are for the
■ f. In the newly redesignated paragraph
PART 212—ACQUISITION OF acquisition of the American flag, with
COMMERCIAL ITEMS (2), removing ‘‘see PGI 225.7002–1(b)’’ an estimated value that exceeds the
and adding ‘‘see PGI 225.7002–1(a)(2)’’ simplified acquisition threshold.
■ 3. Amend section 212.301, by adding in its place; and
paragraph (f)(ix)(CC) to read as follows: ■ g. Adding a new paragraph (b). PART 252—SOLICITATION
The addition reads as follows: PROVISIONS AND CONTRACT
212.301 Solicitation provisions and
contract clauses for the acquisition of 225.7002–1 Restrictions. CLAUSES
commercial items. * * * * *
(f) * * * (b) In accordance with section 8123 of ■ 8. Add section 252.225–70XX to read
(ix) * * * the Department of Defense as follows:
(CC) Use the clause at 252.225–70XX, Appropriations Act, 2014 (Pub. L. 113– 252.225–70XX Acquisition of the American
Acquisition of the American Flag, as 76, Division C, Title VIII), and the same Flag.
prescribed in 225.7002–3(c), to comply provision in subsequent Defense
with section 8123 of the DoD appropriations acts, except as provided As prescribed in 225.7002–3(c), use
Appropriations Act, 2014 (Pub. L. 113– in 225.7002–2, do not acquire a flag of the following clause:
76, Division C, Title VIII), and the same the United States (PSC 8345), unless ACQUISITION OF THE AMERICAN FLAG
provision in subsequent DoD such flag, including the materials and (DATE)
appropriations acts. components thereof, is manufactured in (a) Definition. United States, as used in this
* * * * * the United States, consistent with the clause, means the 50 States, the District of
requirements at 10 U.S.C. 2533a. Columbia, and outlying areas.
PART 225—FOREIGN ACQUISITION (b) If the Contractor is required to deliver
225.7002–2 [Amended]
under this contract one or more American
■ 4. Revise the section 225.7002 ■ 6. Amend section 225.7002–2 by— flags (Product or Service Code 8345), such
heading to read as follows: ■ a. In paragraph (l), removing ‘‘Section flag(s), including the materials and
8118’’ and adding ‘‘section 8118’’ in its components thereof, shall be manufactured
225.7002 Restrictions on food, clothing, place; in the United States, consistent with the
fabrics, hand or measuring tools, and flags. ■ b. In paragraph (m)(1)(i), removing requirements at 10 U.S.C. 2533a (commonly
■ 5. Amend section 225.7002–1 by— ‘‘Federal Supply Group’’ and adding known as the ‘‘Berry Amendment’’).
■ a. Redesignating paragraphs (a) and ‘‘Product or Service Group (PSG)’’ in its (c) This clause does not apply to the
(b) as (1) and (2), respectively; place; acquisition of any end items or components
■ b. Redesignating the introductory text ■ c. In paragraph (m)(1)(ii), removing related to flying or displaying the flag (e.g.,
as paragraph (a); ‘‘Federal Supply Group’’ and adding flagpoles and accessories).
■ c. In the newly redesignated ‘‘PSG’’ in its place in two places; and
paragraph (1), further redesignating ■ d. In paragraph (m)(1)(iv), removing (End of clause)
paragraphs (1) through (10) as (1)(i) ‘‘Federal Supply Class’’ and adding [FR Doc. 2015–03857 Filed 2–25–15; 8:45 am]
through (x), respectively; ‘‘PSC’’ in its place. BILLING CODE 5001–06–P
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Document Created: 2015-12-18 13:05:28
Document Modified: 2015-12-18 13:05:28
| Category | Regulatory Information | |
| Collection | Federal Register | |
| sudoc Class | AE 2.7: GS 4.107: AE 2.106: | |
| Publisher | Office of the Federal Register, National Archives and Records Administration | |
| Section | Proposed Rules | |
| Action | Proposed rule. | |
| Dates | Comments on the proposed rule should be submitted in writing to | |
| Contact | Ms. Amy G. Williams, telephone 571- 372-6106. | |
| FR Citation | 80 FR 10452 | |
| RIN Number | 0750-AI51 | |
| CFR Citation | 48
CFR
205 48 CFR 212 48 CFR 225 48 CFR 252 |
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